Wah Seong Corporation Berhad Annual Report 2018

30 PROVISION FOR WARRANTIES Group 2018 2017 RM’000 RM’000 At 1 January 6,929 9,470 Additions 4,501 4,476 Utilisation - (808) Reversal (2,621) (5,747) Effect of exchange rate changes 86 (462) At 31 December 8,895 6,929 The Group recognises the estimated liability to repair or replace products when the underlying products or services are sold. It is expected that most of these costs will be incurred over the warranty period which extends up to 4 years. 31 GROSS REVENUE Group Company 2018 2017 2018 2017 RM’000 RM’000 RM’000 RM’000 Revenue from contracts with customers Contract revenue 2,172,634 1,673,141 - - Sale of goods 721,925 772,225 - - 2,894,559 2,445,366 - - Revenue from other sources Rental income 64,545 39,979 - - Commission income - 2,683 - - Dividend income - - 9,094 10,863 Interest income - - 8,839 11,319 Management fees - - 701 3,212 Other services 2,027 4,072 - - 66,572 46,734 18,634 25,394 2,961,131 2,492,100 18,634 25,394 Revenue from contracts with customers is represented by: Group 2018 RM’000 Timing of revenue recognition - Over time 2,024,442 - At a point in time 870,117 2,894,559 Comparative information for the previous financial year is not required to be disclosed in accordance with MFRS 15. NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2018 ANNUAL REPORT 2018 157