Note 9 - Segment Information

9 Months Ended

Sep. 30, 2016

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

9.      Segment Information

The Company reports net revenues from continuing operations and operating income from continuing operations by reportable segment. Reportable segments are components of the Company for which separate financial information is available that is evaluated on a regular basis by the chief operating decision maker in deciding how to allocate resources and in assessing performance.

The Company provides similar merchandising and marketing services throughout the world, operating within two reportable segments, its Domestic Division and its International Division. The Company uses those divisions to improve its administration and operational and strategic focuses, and it tracks and reports certain financial information separately for each of those divisions. The Company measures the performance of its Domestic and International Divisions and subsidiaries using the same metrics. The primary measurement utilized by management is operating profits, historically the key indicator of long-term growth and profitability, as the Company is focused on reinvesting the operating profits of each of its international subsidiaries back into its local markets in an effort to improve market share and continued expansion efforts.

Management evaluates performance as follows (in thousands):

 

	Three Months Ended September 30,						Nine Months Ended September 30,
	201 6			201 5			2016			2015
Revenue:
United States	$	11,332		$	10,706		$	32,268		$	32,783
International		22,106			17,563			57,513			54,219
Total revenue	$	33,438		$	28,269		$	89,781		$	87,002
Operating income (loss):
United States	$	(184	)	$	63		$	(120	)	$	309
International		614			166			1,496			784
Total operating income	$	430		$	229		$	1,376		$	1,093
Interest expense:
United States	$	36		$	25		$	88		$	66
International		15			22			23			121
Total interest expense	$	51		$	47		$	111		$	187
Other (income), net:
United States	$	–		$	–		$	–		$	–
International		(78	)		(8	)		(183	)		(68	)
Total other (income), net	$	(78	)	$	(8	)	$	(183	)	$	(68	)
Income before income tax expense:
United States	$	(220	)	$	38		$	(208	)	$	243
International		677			152			1,656			731
Total income before income tax expense	$	457		$	190		$	1,448		$	974
Income tax (benefit) expense:
United States	$	(306	)	$	(66	)	$	(394	)	$	(74	)
International		275			149			594			509
Total income tax expense	$	(31	)	$	83		$	200		$	435
Net income:
United States	$	86		$	104		$	186		$	317
International		402			3			1,062			222
Total net income	$	488		$	107		$	1,248		$	539
Depreciation and amortization:
United States	$	334		$	344		$	1,014		$	1,004
International		152			127			445			410
Total depreciation and amortization	$	486		$	471		$	1,459		$	1,414
Capital expenditures:
United States	$	291		$	213		$	798		$	918
International		151			119			376			320
Total capital expenditures	$	442		$	332		$	1,174		$	1,238

Note: There were no inter-company sales for the nine months ended September 30, 2016 or 2015.

	September 30,		December 31,
	201 6		201 5
Assets:
United States	$	23,936	$	21,799
International		31,548		21,607
Total assets	$	55,484	$	43,406

Geographic Data

(in thousands)

	Three Months Ended September 30 ,										Nine Months Ended September 30 ,
	20 16					2015					20 16					2015
International revenue:			% of consolidated net revenue					% of consolidated net revenue					% of consolidated net revenue					% of consolidated net revenue
South Africa	$	5,936		17.8	%	$	4,968		17.6	%	$	14,871		16.6	%	$	15,189		17.5	%
Mexico		5,495		16.4			3,962		14.0			15,600		17.4			12,076		13.9
China		3,029		9.1			3,682		13.0			8,646		9.6			10,197		11.7
Brazil		1,850		5.5			–		–			1,850		2.1			–		–
Japan		1,799		5.4			1,306		4.6			5,157		5.7			3,907		4.5
India		1,523		4.6			1,385		4.9			4,203		4.7			5,001		5.7
Canada		1,453		4.3			1,368		4.8			4,582		5.1			4,173		4.8
Australia		945		2.8			829		2.9			2,359		2.6			3,316		3.8
Turkey		76		0.2			63		0.2			245		0.3			360		0.4
Total international revenue	$	22,106		66.1	%	$	17,563		62.0	%	$	57,513		64.1	%	$	54,219		62.3	%

	September 30,		December 31,
	20 16		20 15
Long lived assets:
United States	$	11,325	$	10,147
International		4,445		3,148
Total long lived assets	$	15,770	$	13,295