2019 UEM Edgenta Annual Report

201 UEM EDGENTA AT A GLANCE MESSAGE FROM OUR LEADERSHIP STRATEGIC FOCUS OPERATIONAL REVIEW SUSTAINABILITY EFFORTS CORPORATE GOVERNANCE INTRODUCTION FINANCIAL REVIEW ADDITIONAL INFORMATION Notes to the Financial Statements For the year ended 31 December 2019 UEM Edgenta Berhad Annual Report 2019 16. INTANGIBLE ASSETS (CONT’D.) (a) Goodwill Impairment testing of goodwill Goodwill is allocated and monitored by management across the following cash-generating unit (“CGU”): 2019 RM’000 2018 RM’000 Asset consultancy: Opus Group Berhad 38,636 38,636 Healthcare support: Edgenta Mediserve Sdn. Bhd. (“EMS”) 26,982 26,982 Edgenta UEMS Group: - Malaysia 63,647 63,528 - Singapore 268,762 268,258 - Taiwan 10,719 10,699 Property and Facility Solutions: EGT Group 49,600 49,600 Infrastructure services: Edgenta PROPEL Berhad 76,372 76,372 534,718 534,075 Goodwill is tested for impairment on an annual basis by comparing the carrying amount of the CGU with their respective recoverable amounts, which is based on value-in-use. The value-in-use is determined by discounting future cash flows over a period of five years including a terminal value. The future cash flows are based on management’s future business plan, which is the best estimate of immediate future performance. For EMS, the value-in-use is determined by discounting cash flows for a period of 10 years covering the concession period with no terminal value.