Serba Dinamik Annual Report 2021

Registration No: 201501042584 (1167905-P) Serba Dinamik Holdings Berhad (Incorporated in Malaysia) 106 23. Revenue and cost of contracts with customers (continued) (b) Disaggregation of revenue Nature of goods or services Timing of recognition or method used to recognise revenue Significant payment term Variable element in consideration Warranty O&M Revenue from O&M services is derived from provision of manpower services and supply of materials. For manpower services, the revenue is recognised over the period in which the services are rendered. Revenue from supply of materials is recognised at point in time when the customer accepts the delivery of the goods. Credit period of 90 days from invoice date. Not applicable. Generally, the warranty on the maintenance service covers a period of 3 to 12 months after the services have been satisfactorily performed. EPCC – contract revenue Revenue is recognised overtime using the cost incurred method. Based on agreed milestones. There would be liquidated and ascertained damages for late delivery Defect liability period of 12 to 24 months is given to the customers. EPCC – others Revenue from other EPCC services is derived from provision of manpower services and supply of materials. For manpower services, the revenue is recognised over the period in which the services are rendered. Revenue from supply of materials is recognised at point in time when the customer accepts the delivery of the goods. Credit period of 90 days from invoice date. Not applicable. Not applicable. ICT Revenue is recognised overtime when customer receives benefits as entity performs. Credit period of 90 days from invoice date. Not applicable. Not applicable. E&T Revenue is recognised overtime when customer receives benefits as entity performs. Credit period of 90 days from invoice date. Not applicable. Not applicable.