Note 17 - Segments

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

17. SEGMENTS:

The Company currently has one reportable business segment - the Truck Segment. The Truck Segment includes the Company’s operation of a nationwide network of commercial vehicle dealerships that provide an integrated one-stop source for the commercial vehicle needs of its customers, including retail sales of new and used commercial vehicles; aftermarket parts, service and collision center facilities; and a wide array of financial services, including the financing of new and used commercial vehicle purchases, insurance products and truck leasing and rentals. The commercial vehicle dealerships are deemed a single reporting unit because they have similar economic characteristics. The Company’s chief operating decision maker considers the entire Truck Segment, not individual dealerships or departments within its dealerships, when making decisions about resources to be allocated to the segment and assessing its performance.

The Company also has revenues attributable to three other operating segments. These segments include a retail tire company, an insurance agency and a guest ranch operation and are included in the All Other column below. None of these segments has ever met any of the quantitative thresholds for determining reportable segments.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The Company evaluates performance based on income before income taxes, not including extraordinary items.

The Company accounts for intersegment sales and transfers as if the sales or transfers were to third parties, that is, at current market prices. There were no material intersegment sales during the years ended December 31, 2019, 2018 or 2017.

The following table contains summarized information about reportable segment revenue, segment income or loss from continuing operations and segment assets for the periods ended December 31, 2019, 2018 and 2017 (in thousands):

	Truck		All
	Segment		Other			Totals
2019
Revenues from external customers	$	5,794,155	$	15,692		$	5,809,847
Interest income		1,680		–			1,680
Interest expense		30,201		286			30,487
Depreciation and amortization		55,036		336			55,372
Segment operating income (loss)		216,691		(286	)		216,405
Segment income from continuing operations before taxes		188,122		1,401			189,523
Segment assets		3,369,517		37,812			3,407,329
Goodwill		289,582		2,560			292,142
Expenditures for segment assets		292,980		513			293,493
2018
Revenues from external customers	$	5,488,787	$	17,403		$	5,506,190
Interest income		1,376		–			1,376
Interest expense		20,850		208			21,058
Depreciation and amortization		70,170		319			70,489
Segment operating income		202,725		126			202,851
Segment income (loss) from continuing operations before taxes		183,251		(82	)		183,169
Segment assets		3,166,174		35,176			3,201,350
Goodwill		288,831		2,560			291,391
Expenditures for segment assets		238,229		31			238,260
2017
Revenues from external customers	$	4,698,035	$	15,847		$	4,713,882
Interest income		891		–			891
Interest expense		13,024		177			13,201
Depreciation and amortization		49,634		435			50,069
Segment operating income (loss)		149,338		(629	)		148,709
Segment income (loss) from continuing operations before taxes		137,205		(806	)		136,399
Segment assets		2,855,001		35,138			2,890,139
Goodwill		288,831		2,560			291,391
Expenditures for segment assets		209,852		65			209,917