Annual Report 2023

NOTESTOTHE CONSOLIDATED FINANCIAL STATEMENTS For the year ended 31 December 2023 84 The United Laboratories International Holdings Limited Annual Report 2023 5. REVENUE AND SEGMENT INFORMATION (Continued) Segment information HKFRS 8 Operating Segments requires operating segments to be identified on the basis of internal reports about components of the Group that are regularly reviewed by the chief operating decision maker (“CODM”) (i.e. executive directors of the Company) for the purpose of allocating resources to segments and assessing their performance. The three revenue streams are the operating and reportable segments of the Group on which the Group reports its primary segment information. (a) Segment revenue and results Year ended 31 December 2023 Intermediate Bulk Finished Segments products medicine products total Elimination Consolidated RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 RMB’000 REVENUE External sales 2,316,878 6,399,180 5,023,821 13,739,879 – 13,739,879 Inter-segment sales 3,436,223 993,005 – 4,429,228 (4,429,228) – Segment revenue 5,753,101 7,392,185 5,023,821 18,169,107 (4,429,228) 13,739,879 RESULT Segment profit (Note) 1,984,461 781,837 588,488 3,354,786 Share of results of an associate 143 Unallocated other income 152,447 Unallocated corporate expenses (166,674) Unallocated other gains and losses, net 69,790 Impairment losses reversed under expected credit loss model, net 552 Finance costs (66,896) Profit before taxation 3,344,148 Note : Segments profit arrived after the deduction of research and development expenditures amounted to RMB757,248,000 of which included intermediate products of RMB113,744,000, bulk medicine of RMB187,563,000 and finished products of RMB455,941,000 for the year ended 31 December 2023.