Segment information, as discussed in note 1 (q), is presented in the consolidated financial statements in respect of the Group's geographical segments. This reflects the Group's management and internal reporting structure, and the operating basis on which individual operations are reviewed by the Chief Operating Decision Maker (the Board).

Performance is measured based on each segment's underlying profit before finance costs and income tax as included in the internal management reports that are reviewed by the Chief Operating Decision Maker. This 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 the industry.

Inter-segment pricing is determined on an arm's length basis.

Segment results, assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a reasonable basis.

Goodwill and intangible assets acquired on business combinations are included in the region to which they relate.

Geographical operating segments

The Group is comprised of the following main geographical operating segments:

— UK

— Europe: includes Norway, Sweden, Hungary, Ireland, Holland, Italy, Germany, Spain and Poland

— USA: includes USA and Mexico

— Asia: includes Malaysia, China, Singapore, Taiwan, Thailand and India

In presenting information on the basis of geographical operating segments, segment revenue and segment assets are based on the geographical location of our entities across the world, and are consolidated into the four distinct geographical regions, which the Board use to monitor and assess the Group.

March 2017UK
£000
Europe
£000
USA
£000
Asia
£000
Common costs
£000
Total
£000
Revenue
Revenue from external customers66,82567,2315,90046,556186,512
Inter segment revenue2,4436131237,26210,441
Total revenue69,26867,8446,02353,818196,953
Underlying operating result6,5389,8183348,005(3,677)21,018
Net financing costs(145)(73)20(323)(521)
Underlying segment result6,3939,7453348,025(4,000)20,497
Separately disclosed items (see note 2)(3,157)
Profit before tax17,340
Specific disclosure items
Depreciation and amortisation4231,62625973763,123
Assets and liabilities
Segment assets40,34868,2893,74258,8765,975177,230
Segment liabilities(19,535)(13,689)(294)(11,581)(30,433)(75,532)
March 2016UK^
£000
Europe
£000
USA
£000
Asia*
£000
Common
costs^
£000
Total
£000
Revenue
Revenue from external customers64,15654,0304,60238,582161,370
Inter segment revenue2,057341976,2768,771
Total revenue66,21354,3714,69944,858170,141
Underlying operating result6,1726,8804016,730(3,390)16,793
Net financing costs(278)(107)(2)(29)(375)(791)
Underlying segment result5,8946,7733996,701(3,765)16,002
Separately disclosed items (see note 2)(2,925)
Profit before tax13,077
Specific disclosure items
Depreciation and amortisation2311,18122833642,331
Assets and liabilities
Segment assets36,52563,5683,16450,2954,481158,033
Segment liabilities(15,792)(14,952)(385)(9,679)(33,475)(74,283)

^ Including the offset of the UK overdrafts from Common costs, as allowable under financing agreements with HSBC

* Historically this was stated after eliminating revenue between Asian entities. However management believe it is more appropriate to include this in the inter segment revenue number above and therefore this has been restated to £6.3m from £5.8m. In FY2017 the equivalent adjustment was £0.3m

There were no material differences in Europe and USA between the external revenue based on location of the entities and the location of the customers. Of the UK external revenue £11.3m (2016: £10.4m) was sold into the European market. Of the Asian external revenue, £4.6m (2016: £3.9m) was sold into the American market and £5.5m (2016: £5.9m) sold into the European market.

Revenue is derived solely from the manufacture and logistical supply of industrial fasteners and category 'C' components.