Kenon Holdings Ltd. (ifrs-full:DisclosureOfEntitysReportableSegmentsExplanatory)

Note 30 – Segment, Customer and Geographic Information

General

The following summary describes the Group’s reportable segments in 2017:

OPC – OPC Energy Ltd operates in the Israeli electricity generation sector, including the initiation, development, construction and operation of power plants and the sale and supply of electricity.

Qoros Automotive – A China-based automotive company that is jointly-owned with a subsidiary of Wuhu Chery, a state controlled holding enterprise and large Chinese automobile manufacturing company.

In addition to the segments detailed above, the Group has other activities, such as the discontinued power businesses in Latin America and Caribbean, container shipping services and renewable energy businesses categorized as Others.

Evaluation of the operating segments performance is based on Adjusted EBITDA. Adjusted EBITDA is defined as the net income (loss) excluding depreciation and amortization, financing income, income taxes and other items as presented in the tables below.

There were no intersegment sales in 2017, 2016 and 2015.

B.	Information regarding reportable segments

Financial information of the reportable segments is set forth in the following table.

	OPC			Qoros*			Other			Adjustments			Total
	$ thousands
2017
Total sales		365,395			-			309			-			365,704

Income/(loss) before taxes		22,708			(121,198	)		(37,146	)		-			(135,636	)
Income Taxes		(8,945	)		-			(63,864	)		-			(72,809	)
Income/(loss) from continuing operations		13,763			(121,198	)		(101,010	)		-			(208,445	)

Depreciation and amortization		30,102			-			692			-			30,794
Financing income		(1,088	)		-			(13,230	)		11,414			(2,904	)
Financing expenses		33,753			-			47,827			(11,414	)		70,166
Other items:
Share in losses/(income) of associated companies		-			121,198			(10,533	)		-			110,665
Write back of impairment of investments		-			-			(28,758	)		-			(28,758	)
		62,767			121,198			(4,002	)		-			179,963

Adjusted EBITDA		85,475			-			(41,148	)		-			44,327

Segment assets		939,809			-			1,464,354			-			2,404,163
Investments in associated companies		-			1,694			120,000			-			121,694
														2,525,857
Segment liabilities		742,692			-			731,818			-			1,474,510
Capital expenditure		109,226			-			121,245			-			230,471

* Associated Company – See Note 10.A.2 and 10.C.b.

	OPC			Qoros*			Other			Adjustments			Total
	$ thousands
2016
Total sales		324,188			-			65			-			324,253

Income/(loss) before taxes		20,450			(142,534	)		(304,816	)		-			(426,900	)
Income Taxes		(67	)		-			(2,185	)		-			(2,252	)
Income/(loss) from continuing operations		20,383			(142,534	)		(307,001	)		-			(429,152	)

Depreciation and amortization		26,697			-			589			-			27,286
Financing income		(2,988	)		-			(17,081	)		12,345			(7,724	)
Financing expenses		22,838			-			36,783			(12,345	)		47,276
Other items:
Share in losses/(income) of associated companies		-			142,534			43,681			-			186,215
Provision of financial guarantee		-			-			130,193			-			130,193
Impairment of investments		-			-			72,263			-			72,263
		46,547			142,534			266,428			-			455,509

Adjusted EBITDA		66,997			-			(38,388	)		-			28,609

Segment assets		667,631			-			4,261,929			-			4,929,560
Investments in associated companies		-			117,593			90,640			-			208,233
														5,137,793
Segment liabilities		533,684			-			3,709,905			-			4,243,589
Capital expenditure		72,540			-			245,313			-			317,853

*	Associated Company – See Note 10.A.2 and 10.C.b.

	OPC			Qoros*			Other			Adjustments		Total
	$ thousands
2015
Total sales		325,570			-			329			-		325,899

Income/(loss) before taxes		29,975			(196,223	)		198,402			-		32,154
Income Taxes		(8,151	)		-			(892	)		-		(9,043	)
Income/(loss) from continuing operations		21,824			(196,223	)		197,510			-		23,111

Depreciation and amortization		25,435			-			1,605			-		27,040
Financing income		(3,140	)		-			(7,581	)		-		(10,721	)
Financing expenses		26,315			-			10,079			-		36,394
Other items:
Share in losses/(income) of associated companies		-			196,223			(9,190	)		-		187,033
Gain from distribution of dividend in kind		-			-			(209,710	)		-		(209,710	)
Asset impairment		-			-			6,541			-		6,541
		48,610			196,223			(208,256	)		-		36,577

Adjusted EBITDA		78,585			-			(9,854	)		-		68,731

Segment assets		810,551			-			3,303,204			-		4,113,755
Investments in associated companies		-			158,729			210,293			-		369,022
													4,482,777
Segment liabilities		676,832			-			2,542,390			-		3,219,222
Capital expenditure		18,273			-			556,116			-		574,389

*	Associated Company – See Note 10.A.2 and 10.C.b.

C.	Customer and Geographic Information

Major customers

Following is information on the total sales of the Group to material customers and the percentage of the Group’s total revenues (in $ thousand):

	2017					2016					2015
Customer	Total revenues		Percentage of revenues of the Group			Total revenues		Percentage of revenues of the Group			Total revenues		Percentage of revenues of the Group

Customer 1		75,735		20.71	%		59,880		18.47	%		70,545		21.65	%
Customer 2		*		*			*		*			35,760		10.97	%
Customer 3		53,605		14.66	%		39,355		12.14	%		43,904		13.47	%
Customer 4		50,447		13.79	%		32,446		10.01	%		35,650		10.94	%
Customer 5		38,212		10.45	%		36,391		11.22	%		*		*

(*)

Represents an amount less than 10% of revenues.

Information based on geographic areas

The Group’s geographic revenues are as follows:

	For the year ended December 31
	2017		2016		2015
	$ thousands
Israel		365,395		324,188		325,570
Others		309		65		329
Total revenues		365,704		324,253		325,899

The Group’s non-current assets* on the basis of geographic location:

	As at December 31
	2017		2016
	$ thousands
Peru		-		1,910,421
Guatemala		-		682,985
Israel		617,358		495,639
Others		447		785,033
Total non-current assets		617,805		3,874,078

* Composed of property, plant and equipment and intangible assets.

Kenon Holdings Ltd. | CIK:0001611005 |

ifrs-full:DisclosureOfEntitysReportableSegmentsExplanatory