AJ Lucas Group Limited Annual Report 1999

AJ Lucas Group Limited and its controlled entitiesConcise financial reportNotes to the financial statements for the year ended 30 June 19991. BASIS OF PREPARATION OF CONCISE FINANCIAL REPORTThe concise financial report has been prepared in accordance with the Corporations Law, Accounting StandardAASB 1039 “Concise Financial Reports” and applicable Urgent Issues Group Consensus Views. The financialstatements and specific disclosures required by AASB 1039 have been derived from the consolidated entity’s fullfinancial report for the financial year. Other information included in the concise financial report is consistent withthe consolidated entity’s full financial report. The concise financial report does not, and cannot be expected to, provideas full an understanding of the financial performance, financial position and financing and investingactivities of the consolidated entity as the full financial report.It has been prepared on the basis of historical costs and, except where stated, does not take into account changingmoney values or current valuations of non-current assets.These accounting polices have been consistently applied by each entity in the consolidated entity and are consistentwith those of the previous year.Where necessary, comparative information has been reclassified to achieve consistency in disclosure with currentfinancial year amounts and other disclosures.2. SEGMENT INFORMATIONAustralia Asia/Pacific Consolidated1999 1998 1999 1998 1999 1998Consolidated entity $ $ $ $ $ $Geographical segmentsContract revenue from customersoutside the economic entity 21,194,540 21,202,114 2,618,785 — 23,813,325 21,202,114Other revenues 149,144 28,471 — 149,144 28,471Total revenue 23,962,469 21,230,585Segment operating profit 1,412,890 1,206,627 295,360 — 1,708,250 1,206,627Operating profit before income tax 1,708,250 1,206,627Segment assets 10,213,690 8,694,500 4,502,066 — 14,715,756 8,694,500Total assets 14,715,756 8,694,500Industry SegmentsThe consolidated entity operates predominantly in the civil engineering industry and provides directional drillingand specialist infrastructure services.3. DIVIDENDSNo dividends were proposed or paid by the Company during the financial year.4. CONTINGENT LIABILITIESThe details and estimated maximum amounts of major contingent liabilities that may become payable are set outbelow. The directors are not aware of any circumstance or information which would lead them to believe thatthese liabilities will crystallise and consequently no provisions are included in the financial statements in respectof these matters.Joint ventureThe consolidated entity has a commitment to the Clough Lucas Joint Venture to supply funds as and when needed,as determined by the Management Committee of the joint venture. Failure to supply funds may result inexclusion from the joint venture.PAGE 20