Segment and Geographic Information

12 Months Ended

Sep. 30, 2019

21. Segment and Geographic Information

Effective September 30, 2018, the Company began reporting and evaluating financial information for three operating business segments: Oil and Gas Markets, Adjacent Markets and Emerging Markets. The Oil and Gas Markets segment was previously referred to as our Seismic segment. This segment’s products include wireless seismic data acquisition systems, reservoir characterization products and services, and traditional seismic exploration products such as geophones, hydrophones, leader wire, connectors, cables, marine streamer retrieval and steering devices and various other seismic products. Our Adjacent Markets segment was previously referred to as our Non-Seismic segment. This segment’s products include imaging equipment, water meter products, offshore cables, as well as seismic sensors used for vibration monitoring and geotechnical applications such as mine safety applications and earthquake detection. The Emerging Markets segment was added in conjunction with the acquisition of Quantum, which designs and markets seismic products targeted at the border and perimeter security markets.

The following tables summarize the Company’s segment information:

	YEAR ENDED SEPTEMBER 30,
	2019			2018
Revenue:
Oil and Gas Markets	$	64,966		$	44,951
Adjacent Markets		30,156			29,932
Emerging Markets		159			286
Corporate		528			579
Total		95,809			75,748
Income (loss) from operations:
Oil and Gas Markets		3,095			(14,070	)
Adjacent Markets		6,234			5,345
Emerging Markets		(2,306	)		(718	)
Corporate		(5,990	)		(11,300	)
Total		1,033			(20,743	)
Depreciation and amortization expenses:
Oil and Gas Markets		16,865			13,348
Adjacent Markets		466			490
Emerging Markets		1,164			194
Corporate		844			380
Total		19,339			14,412
Impairment, inventory obsolescence and stock-based compensation expenses:
Oil and Gas Markets		6,046			6,243
Adjacent Markets		92			164
Emerging Markets		68			14
Corporate		737			823
Total		6,943			7,244
Interest income:
Oil and Gas Markets		1,033			614
Adjacent Markets		1			—
Emerging Markets		—			—
Corporate		274			469
Total		1,308			1,083
Interest expense:
Oil and Gas Markets		—			2
Adjacent Markets		—			—
Emerging Markets		—			1
Corporate		99			333
Total		99			336

The Company’s manufacturing operations for its business segments are combined. Therefore, the Company does not segregate and report separate balance sheet accounts for each of its segments and, therefore, no such segment balance sheet information is presented in the table above.

“Corporate” revenue consists of rental revenue earned from an operating lease of a surplus building located in Houston, Texas. “Corporate” loss from operations primarily consists of the Company’s Houston headquarters general and administrative expenses.

The Company generates revenue from product sales, rentals and services from its subsidiaries located in the United States, Canada, Colombia, the Russian Federation and the United Kingdom. Revenue information for the Company is as follows (in thousands):

	YEAR ENDED SEPTEMBER 30,
	2019			2018
United States	$	91,222		$	79,019
Canada		5,266			8,311
Colombia		408			300
Russian Federation		4,286			3,539
United Kingdom		2,905			3,095
Eliminations		(8,278	)		(18,516	)
	$	95,809		$	75,748

A summary of revenue by geographic area is as follows (in thousands):

	YEAR ENDED SEPTEMBER 30,
	2019		2018
Africa	$	20,192	$	5
Asia		10,171		2,143
Canada		5,232		15,945
Europe		25,860		4,743
United States		32,397		50,522
Other		1,957		2,390
	$	95,809	$	75,748

Revenue is attributed to countries based on the ultimate destination of the product sold, if known. If the ultimate destination is not known, revenue is attributed to countries based on the geographic location of the initial shipment.

Long-lived assets, excluding deferred tax assets, were as follows (in thousands):

	AS OF SEPTEMBER 30,
	2019		2018
United States	$	118,064	$	106,079
Canada		10,419		13,515
Colombia		671		1,002
Russian Federation		961		1,143
United Kingdom		430		428
China		13		13
	$	130,558	$	122,180