IFRS 8 paras 22, 23, 28, profit, assets and liabilities, reconciliations and disaggregated IFRS 15 information

Diploma PLC – Annual report – 30 September 2019

Industry: distribution

3. Business Sector analysis
The Chief Operating Decision Maker (“CODM”) for the purposes of IFRS8 is the CEO. The financial performance of the business Sectors are reported to the CODM on a monthly basis and this information is used to allocate resources on an appropriate basis.

For management reporting purposes, the Group is organised into three main reportable business Sectors: Life Sciences, Seals and Controls. These Sectors are the Group’s operating segments as defined by IFRS8 and form the basis of the primary reporting format disclosures below. The CODM reviews discrete financial information at these operating segments level. The principal activities of each of these Sectors is described in the Strategic Report on pages 1 to 33. Sector revenue represents revenue from external customers; there is no inter-Sector revenue.

Sector results, assets and liabilities include items directly attributable to a Sector, as well as those that can be allocated on a reasonable basis. Sector assets exclude cash and cash equivalents, deferred tax assets and corporate assets that cannot be allocated on a reasonable basis to a business Sector. Sector liabilities exclude borrowings, retirement benefit obligations, deferred tax liabilities, acquisition liabilities and corporate liabilities that cannot be allocated on a reasonable basis to a business Sector. These items are shown collectively in the following analysis as “unallocated assets” and “unallocated liabilities”, respectively.

diploma1

Other Sector information

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Accrued income (“contract assets”) at 30 September 2019 of £1.5m (2018: £1.6m) and deferred revenue (“contract liabilities”) of £2.6m at 30 September 2019 (2018: £2.4m) is included in trade and other receivables (note 16) and trade and other payables (note 17), respectively.
4. Geographic segment analysis by origin

diploma3

1 Non-current assets exclude investments and deferred tax assets