GHL System Berhad Annual Report 2018

G H L S y s t e m S B e r h a d ( 2 9 3 0 4 0 - D ) 118 NOT ES TO THE F I NANC I A L STAT EMENTS 3 1 D e c e m b e r 2 0 1 8 C O N T ’ D 21. TRADE AND OTHER RECEIVABLES (cont’d) (g) ECL assessment for non-financial institutions customers as at 31 December 2018 are as follows (cont'd): The following table provides information about the exposure to credit risk and ECLs for trade receivables for non financial institutions customers as at 31 December 2018. Group Gross carrying amount Impairment loss allowance Credit impairment RM RM 31 December 2018 Current (not past due) 27,384,550 (136,923) No More than 30 days past due 7,474,765 (202,392) No More than 60 days past due 6,446,218 (1,095,857) No More than 90 days past due 1,132,598 (419,061) No More than 120 days past due 6,603,104 (4,748,871) Yes 49,041,235 (6,603,104) Company Gross carrying amount Impairment loss allowance Credit impairment RM RM 31 December 2018 Current (not past due) 99,261 (407) No More than 30 days past due 50,682 (32) No More than 60 days past due 175,622 (21,424) No More than 90 days past due 190,221 (76,844) No More than 120 days past due 12,502,531 (6,286,266) Yes 13,018,317 (6,384,973) (h) Impairment for other receivables are recognised based on the general approach within MFRS 9 using the forward looking expected credit loss model. The methodology used to determine the amount of the impairment is based on whether there has been a significant increase in credit risk since initial recognition of the financial asset. At the end of the reporting period, the Group assesses whether there has been a significant increase in credit risk for financial assets by comparing the risk of default occurring over the expected life with the risk of default since initial recognition. For those in which the credit risk has not increased significantly since initial recognition of the financial asset, twelve-month expected credit losses along with gross interest income are recognised. For those in which credit risk has increased significantly, lifetime expected credit losses along with the gross interest income are recognised. For those that are determined to be credit impaired, lifetime expected credit losses along with interest income on a net basis are recognised. (i) As at the end of each reporting period, no collateral has been obtained by the Group. Thus, the maximum credit risk exposure is equivalent to the gross carrying amount of trade receivables of the Group. (j) During the financial year, the Group did not renegotiate the term of any trade receivables.