MISC Integrated Annual Report 2020

3. REVENUE Group Corporation 2020 2019 2020 2019 RM’000 RM’000 RM’000 RM’000 Revenue from contracts with customers Voyage, lightering and other shipping related income 2,099,762 2,721,968 – – Construction contract and marine repair (Note 23) 1,926,878 936,523 – – Non-shipping income 303,605 382,765 7,673 5,079 4,330,245 4,041,256 7,673 5,079 Revenue from charter Charter income 4,091,421 3,862,807 926,574 927,547 Finance income on lease receivables 979,568 1,058,661 79,383 83,363 5,070,989 4,921,468 1,005,957 1,010,910 Total revenue 9,401,234 8,962,724 1,013,630 1,015,989 Non-shipping income mainly represents revenue generated from the operation and maintenance of offshore floating assets, management of operation of ports, marine terminals and marine vessels, provision of marine support services and consulting services for marine matters. Timing of recognition for revenue from contracts with customers The following table provides the disaggregation of revenue from contracts with customers based on timing of recognition: Group Corporation 2020 2019 2020 2019 RM’000 RM’000 RM’000 RM’000 Goods and services transferred at a point in time 543,511 440,230 – – Services transferred over time 3,786,734 3,601,026 7,673 5,079 Total 4,330,245 4,041,256 7,673 5,079 3. REVENUE (CONT’D. ) Contract balances The following table provides information about receivables, contracts assets and contracts liabilities from contracts with customers. Group 2020 2019 RM’000 RM’000 Receivables 416,563 714,045 Contract assets (Note 23) 491,259 39,137 Contract liabilities (Note 23) (15,395) (5,993) 892,427 747,189 Amount due from customers on contracts primarily relates to the Group’s rights to consideration for work completed but not billed at the reporting date. Amount due from customers on contracts are transferred to receivables when rights become unconditional. Amount due to customers on contracts primarily relate to the advance consideration received from the customer, for which revenue is recognised over time when the Group progressively satisfies its performance obligation. Transaction price allocated to the remaining performance obligations The following table shows revenue expected to be recognised in the future related to performance obligations that are unsatisfied (or partially satisfied) at the reporting date. The disclosure is only providing information for contracts that have a duration of more than one year. Under 1 year 1-5 years Total RM’000 RM’000 RM’000 Group Construction contract and marine repair 3,989,827 5,858,006 9,847,833 Non-shipping income 50,951 180,921 231,872 Total 4,040,778 6,038,927 10,079,705 31 December 2020 NOTES TO THE FINANCIAL STATEMENTS 31 December 2020 NOTES TO THE FINANCIAL STATEMENTS 10 364 10 365 /// Leadership / Governance / Financial Statements / Additional Information / Annual General Meeting ////// /// Leadership / Governance / Financial Statements / Additional Information / Annual General Meeting ////// Section Section MISC Berhad / Integrated Annual Report 2020 MISC Berhad / Integrated Annual Report 2020