Page 10 -

3. Segment information (continued)
(b) Segment analysed by geographical areas

Revenue
Six months ended
30th September
2015 2014
HK$’000 HK$’000

North America 1,370,845 1,053,067
Asia 10,513 32,956
Europe 1,730 2,465
Others – 6,908

1,383,088 1,095,396

The analysis of revenue by geographical segment is based on the destination to
which the shipments are made. Primarily all of the Group’s assets and capital
expenditure for the six months ended 30th September 2015 and 2014 were
located or utilised in the PRC or Hong Kong.

4. Expenses by nature
Expenses included in cost of goods sold, selling expenses, administrative expenses and
other operating expenses are analysed as follows:
Six months ended
30th September
2015 2014
HK$’000 HK$’000
Amortisation of intangible assets 3,900 3,900
Depreciation 15,941 16,716
Employee benefit expenses 128,195 112,754
Severance pay 3,800 16,394

5. Income tax expenses/credit

Hong Kong profits tax has been provided at the rate of 16.5% (2014: 16.5%) on the
estimated assessable profits for the period. Taxation on overseas profits has been
calculated on the estimated assessable profits for the period at the rates of taxation
prevailing in the countries in which the Group operates.

8 ALCO HOLDINGS LIMITED Interim Report 2015