Notes to the Financial Statements For the financial year ended 31 December 2024 36 OPERATING SEGMENTS Management determines the operating segment based on the reports reviewed and used for strategic decision making and resources allocation. The Group organises its reporting structure into segments by business activities to more accurately reflect the way the Group manage its businesses. For segment reporting purposes, the Group’s primary segment is based on business activities. The Group’s secondary segment is reported by geographical locations. The Group’s reportable operating segments are as follows: (i) Fee Income-related Business (FRB) involves investment and asset management of listed and unlisted funds, lodging management and commercial management. (ii) Real Estate Investment Business (REIB) involves investments in real estate assets and related financial products. (iii) Corporate and Others. Information regarding the operations of each reportable segment is included below. Management monitors the operating results of each of its primary segments for the purpose of making decisions on resource allocation and performance assessment. Performance is measured based on segment earnings before interest, tax, depreciation and amortisation (EBITDA). EBITDA is used to measure performance as management believes that such information is the most relevant in evaluating the results of certain segments relative to other entities that operate within these industries. Group financing (including finance costs) and income taxes are managed on a group basis and are not allocated to operating segments. Segment assets are presented net of inter-segment balances. Inter-segment pricing is determined on an arm’s length basis. In terms of secondary segment, the Group presents its businesses based on geographical locations based on Singapore, China, other emerging markets and other developed markets. Business Activities Fee Incomerelated Business Real Estate Investment Business Corporate and Others Elimination Total $’M $’M $’M $’M $’M 2024 Revenue External revenue 972 1,826 17 – 2,815 Inter-segment revenue 197 38 445 (680) – Total revenue 1,169 1,864 462 (680) 2,815 Segment results Company and subsidiaries 436 388 (23) – 801 Associates (1) 448 – – 447 Joint ventures 1 172 – – 173 EBITDA 436 1,008 (23) – 1,421 Depreciation and amortisation (140) Finance costs (507) Tax expense (80) Profit for the year 694 Segment assets 2,512 20,728 7,941 (6,471) 24,710 188 CapitaLand Investment Limited Notes to the Financial Statements For the financial year ended 31 December 2024 36 OPERATING SEGMENTS (continued) Business Activities (continued) Fee Incomerelated Business Real Estate Investment Business Corporate and Others Elimination Total $’M $’M $’M $’M $’M Other segment items Interest income 4 25 26 – 55 Depreciation and amortisation (20) (99) (21) – (140) Allowance for foreseeable losses on development properties for sale – (24) – – (24) Fair value loss on investment properties – (22) – – (22) Share-based expenses (9) (1) (14) – (24) Net loss on disposal of investments, investment properties and property, plant and equipment (1) (110) – – (111) Mark-to-market loss on derivative instruments – (5) (11) – (16) Write-back of listing and restructuring expenses – – 10 – 10 Acquisition-related costs on business combinations – (12) – – (12) Carrying amount in: – Associates 2 11,687 – – 11,689 – Joint ventures 5 1,958 – – 1,963 Capital expenditure# 24 510 20 – 554 # Capital expenditure consists of additions of property, plant and equipment, investment properties and intangible assets. 189 Annual Report 2024
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