Quarterly report pursuant to Section 13 or 15(d)

Segment information

v3.7.0.1
Segment information
6 Months Ended
Jun. 30, 2017
Segment information [Abstract]  
Segment Reporting Disclosure [Text Block]
14.
Segment information
 
The reportable segments are components of the Company that offer different products and are separately managed, with separate financial information available that is separately evaluated regularly by the Company’s chief operating decision maker (“CODM”), the Chief Executive Officer, in determining the performance of the business. The Company categorizes its business into three reportable segments, namely (i) Lithium Business; (ii) Ni-MH Batteries and Accessories; and (iii) New Materials.
 
The descriptions of the reportable segments have been extended from Lithium Batteries and Ni-MH Batteries to Lithium Business and Ni-MH Batteries and Accessories, respectively. Lithium Business mainly consists of lithium batteries, power storage system and power source solutions. Ni-MH Batteries and Accessories mainly consists of Ni-MH rechargeable batteries, sized batteries in blister packing as well as chargers and battery packs. Prior to the six months ended June 30, 2017, the sales of products except for the batteries in the two reporting segments were insignificant.
 
The CODM evaluates performance based on each reporting segment’s net sales, cost of sales, gross profit and total assets. Net sales, cost of sales, gross profit and total assets by segments were set out as follows:
 
 
 
Three months ended
 
Six months ended
 
 
 
June 30,
 
June 30,
 
 
 
2017
 
2016
 
2017
 
2016
 
 
 
(Unaudited)
 
(Unaudited)
 
(Unaudited)
 
(Unaudited)
 
 
 
$
 
$
 
$
 
$
 
Net sales
 
 
 
 
 
 
 
 
 
 
 
 
 
Lithium Business
 
 
37,009,048
 
 
23,666,887
 
 
64,499,542
 
 
38,981,832
 
Ni-MH Batteries and Accessories
 
 
11,783,901
 
 
11,972,810
 
 
24,311,214
 
 
24,829,135
 
New Materials
 
 
2,906,981
 
 
1,092,613
 
 
4,756,022
 
 
2,018,398
 
Total
 
 
51,699,930
 
 
36,732,310
 
 
93,566,778
 
 
65,829,365
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cost of Sales
 
 
 
 
 
 
 
 
 
 
 
 
 
Lithium Business
 
 
28,310,375
 
 
18,857,605
 
 
49,950,244
 
 
31,364,936
 
Ni-MH Batteries and Accessories
 
 
9,013,125
 
 
8,869,549
 
 
18,201,515
 
 
18,475,355
 
New Materials
 
 
2,304,664
 
 
1,361,485
 
 
3,408,419
 
 
2,468,364
 
Total
 
 
39,628,164
 
 
29,088,639
 
 
71,560,178
 
 
52,308,655
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gross Profit
 
 
 
 
 
 
 
 
 
 
 
 
 
Lithium Business
 
 
8,698,673
 
 
4,809,282
 
 
14,549,298
 
 
7,616,896
 
Ni-MH Batteries and Accessories
 
 
2,770,776
 
 
3,103,261
 
 
6,109,699
 
 
6,353,780
 
New Materials
 
 
602,317
 
 
(268,872)
 
 
1,347,603
 
 
(449,966)
 
Total
 
 
12,071,766
 
 
7,643,671
 
 
22,006,600
 
 
13,520,710
 
 
 
 
June 30
 
December 31,
 
 
 
2017
 
2016
 
 
 
(Unaudited)
 
 
 
 
 
$
 
$
 
Total Assets
 
 
 
 
 
 
 
Lithium Business
 
 
129,591,163
 
 
115,116,508
 
Ni-MH Batteries and Accessories
 
 
46,881,968
 
 
37,994,369
 
New Materials
 
 
11,677,769
 
 
10,220,873
 
Total
 
 
188,150,900
 
 
163,331,750
 
 
All long-lived assets of the Company are located in the PRC. Geographic information about the sales and accounts receivable based on the location of the Company’s customers were set out as follows:
 
 
 
Three months ended
 
Six months ended
 
 
 
June 30,
 
June 30,
 
 
 
2017
 
2016
 
2017
 
2016
 
 
 
(Unaudited)
 
(Unaudited)
 
(Unaudited)
 
(Unaudited)
 
 
 
$
 
$
 
$
 
$
 
Net sales
 
 
 
 
 
 
 
 
 
 
 
 
 
China Mainland
 
 
32,086,138
 
 
28,855,932
 
 
54,247,730
 
 
37,385,011
 
Asia, others
 
 
12,092,612
 
 
6,295,056
 
 
25,788,170
 
 
18,275,423
 
Europe
 
 
3,612,677
 
 
208,548
 
 
8,465,407
 
 
6,524,327
 
North America
 
 
3,604,935
 
 
1,285,688
 
 
4,663,067
 
 
2,919,834
 
South America
 
 
205,549
 
 
14,074
 
 
267,286
 
 
478,971
 
Africa
 
 
55,567
 
 
25,968
 
 
55,567
 
 
50,001
 
Others
 
 
42,452
 
 
47,044
 
 
79,551
 
 
195,798
 
 
 
 
51,699,930
 
 
36,732,310
 
 
93,566,778
 
 
65,829,365
 
 
 
 
June 30
 
December 31,
 
 
 
2017
 
2016
 
 
 
(Unaudited)
 
 
 
 
 
$
 
$
 
Accounts receivable
 
 
 
 
 
 
 
China Mainland
 
 
29,275,047
 
 
29,663,633
 
Asia, others
 
 
10,496,258
 
 
10,441,358
 
Europe
 
 
2,507,947
 
 
3,875,979
 
North America
 
 
423,027
 
 
2,260,840
 
South America
 
 
15,803
 
 
26,610
 
Africa
 
 
378
 
 
378
 
Others
 
 
18,747
 
 
11,971
 
 
 
 
42,737,207
 
 
46,280,769