94
TEHO INTERNATIONAL INC LTD.
Annual Report 2016
NOTES
TO THE FINANCIAL STATEMENTS
Year ended 30 June 2016
29 FINANCIAL INSTRUMENTS: INFORMATIONON FINANCIAL RISKS (CONT’D)
As part of the process of setting customer credit limits, different credit terms are used.
The average credit period generally granted to trade receivable customers is about 30
to 90 days (2015: 30 to 90 days). However, some customers take a longer period to
settle the amounts.
Exposure to credit risk
The maximum exposure to credit risk for trade and other receivables at the reporting
date by business segment is set out below.
Group
Company
2016
2015
2016
2015
$
$
$
$
Marine & Offshore
10,488,156 13,660,267 5,429,784 5,646,128
Property development
4,728,074 3,417,074 17,005,398 24,312,198
15,216,230 17,077,341 22,435,182 29,958,326
The concentration of trade receivables by top 3 significant customers as at the end of
financial year is as follows:
Group
2016
2015
$
$
Top 1 customer
720,180 2,279,778
Top 2 customers
1,110,264 2,847,129
Top 3 customers
1,468,138 3,381,875
29 FINANCIAL INSTRUMENTS: INFORMATIONON FINANCIAL RISKS (CONT’D)
(a) Ageing analysis of the age of trade receivable amounts (unsecured) that are past
due as at the end of financial year but not impaired:
Group
2016
2015
$
$
Past due 1 to 60 days
3,499,013 5,273,488
Past due 61 to 90 days
502,016 787,427
Past due over 90 days
1,550,980 1,900,148
Total
5,552,009 7,961,063
The Group believes that the above amounts are still collectible in full, based
on historic payment behaviour and extensive analyses of customer credit risk,
including underlying customers’ credit ratings, when available.
(b) Ageing analysis as at the end of financial year of trade receivable amounts that
are impaired:
Group
2016
2015
$
$
Trade receivables:
Past due over 90 days
579,037
418,180
The allowance which is disclosed in the Note 11 is based on individual accounts
totalling $579,037 (2015: $418,180) that are determined to be impaired at the end
of the financial year. These are not secured.
Other receivables are normally with no fixed terms and therefore there is no
maturity.
