19 IMPAIRMENT OF INTANGIBLE ASSETS (CONTINUED)
The key assumptions used are as follows:
2015
%
2014
%
Malaysia
Revenue
1
11
12
EBITDA margin
2
31 – 33
30
Discount rate
3
12
12
Terminal growth rate
4
5
5
Indonesia
Revenue
1
24
25
EBITDA margin
2
16 – 20
30
Discount rate
3
15
12
Terminal growth rate
4
4
5
Aged care facility
Revenue
1
6
8
EBITDA margin
2
2 – 8
30
Discount rate
3
10
12
Terminal growth rate
4
3
5
Assumptions:
1
Based on compounded annual growth rate
2
EBITDA margin over the budget period
3
Post-tax discount rate applied to the cash flow projections
4
Terminal growth rate used to extrapolate cash flows beyond the budget period
The Directors have determined the revenue and EBITDA margin based on expectations of market development. The post-tax
discount rates used are based on comparable healthcare companies and adjusted for projection risk. The terminal growth
rate does not exceed the long-term average growth rate for the relevant group of CGUs.
285
KPJ Healthcare Berhad
Annual Report
2015
NOTES TO THE
FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2015 (CONTINUED)
