9. SEGMENT AND GEOGRAPHIC REPORTING

3 Months Ended

Nov. 30, 2014

Segments, Geographical Areas [Abstract]

SEGMENT AND GEOGRAPHIC REPORTING

We account for segments and geographic revenues in accordance with guidance issued by the FASB. Our reportable segments are strategic business units that offer different products and services.

Results for each segment and consolidated results are as follows for the three months ended November 30, 2014 (in thousands):

November 30, 2014
	Simulations Plus, Inc		Cognigen Corporation*		Eliminations			Total
Net Revenues	$	2,951	$	1,135				$	4,086
Income (loss) from operations before income taxes	$	683	$	63				$	746
Total assets	$	25,905	$	8,441	$	(7,238	)	$	27,108
Capital expenditures	$	17	$	3				$	20
Capitalized software costs	$	274	$	24				$	298
Depreciation and Amortization	$	367	$	91				$	458

*Cognigen Corporation was acquired on September 2, 2014.

In addition, the Company allocates revenues to geographic areas based on the locations of its customers. Geographical revenues for the three months ended November 30, 2014 and 2013 were as follows (in thousands):

November 30, 2014

	North America		Europe		Asia		South America		Total
Simulations Plus, Inc.	$	1,346	$	640	$	965	$	–	$	2,951
Cognigen Corporation*		1,135		–		–		–		1,135
Total	$	2,481	$	640	$	965		–	$	4,086

*Cognigen Corporation was acquired on September 2, 2014