10. SEGMENT AND GEOGRAPHIC REPORTING

12 Months Ended

Aug. 31, 2019

Segments, Geographical Areas [Abstract]

SEGMENT AND GEOGRAPHIC REPORTING

NOTE 10 – 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 years ended August 31, 2019, 2018 and 2017 (in thousands, because of rounding, numbers may not foot):

Year ended August 31, 2019
	Simulations Plus, Inc.		Cognigen Corporation		DILIsym		Eliminations			Total
Net Revenues	$	19,585	$	9,321	$	5,065				$	33,970
Income from operations before income taxes	$	7,752	$	1,481	$	1,416				$	10,648
Total assets	$	38,535	$	11,196	$	13,168	$	(17,702	)	$	45,197
Goodwill	$	0	$	4,789	$	5,598				$	10,387
Capital expenditures	$	39	$	79	$	20				$	138
Capitalized software costs	$	1,482	$	114	$	172				$	1,768
Depreciation and Amortization	$	1,806	$	364	$	580				$	2,750

Year ended August 31, 2018
	Simulations Plus, Inc.		Cognigen Corporation		DILIsym		Eliminations			Total
Net Revenues	$	17,553	$	7,857	$	4,257				$	29,667
Income from operations before income taxes	$	7,533	$	1,902	$	863				$	10,298
Total assets	$	38,000	$	8,733	$	14,248	$	(17,702	)	$	43,279
Goodwill	$	0	$	4,789	$	5,598				$	10,387
Capital expenditures	$	65	$	100	$	18				$	183
Capitalized software costs	$	1,365	$	625	$	155				$	2,145
Depreciation and Amortization	$	1,748	$	401	$	572				$	2,721

Year ended August 31, 2017
	Simulations Plus, Inc.		Cognigen Corporation		DILIsym		Eliminations			Total
Net Revenues	$	15,600	$	7,300	$	1,238				$	24,138
Income from operations before income taxes	$	6,194	$	1,750	$	320				$	8,264
Total assets	$	33,056	$	9,363	$	13,794	$	(17,702	)	$	38,512
Goodwill	$	0	$	4,789	$	5,598				$	10,387
Capital expenditures	$	48	$	96	$	1,384				$	1,528
Capitalized software costs	$	1,133	$	219	$	24				$	1,376
Depreciation and Amortization	$	1618	$	374	$	135				$	2,127

In addition, the Company allocates revenues to geographic areas based on the locations of its customers. Geographical revenues for the years ended August 31, 2019, 2018 and 2017 were as follows (in thousands, because of rounding, numbers may not foot):

Year ended August 31, 2019

	North America		Europe		Asia		South America		Total
Simulations Plus, Inc.	$	9,327	$	5,144	$	5,060	$	54	$	19,585
Cognigen Corporation		9,321		–		–		–		9,321
DILIsym Services, Inc.		3,875		685		505		–		5,065
Total	$	22,523	$	5,829	$	5,565	$	54	$	33,971

Year ended August 31, 2018

	North America		Europe		Asia		South America		Total
Simulations Plus, Inc.	$	7,826	$	4,964	$	4,733	$	30	$	17,553
Cognigen Corporation		7,857		–		–		–		7,857
DILIsym Services, Inc.		3,163		312		782		–		4,257
Total	$	18,846	$	5,276	$	5,515	$	30	$	29,667

Year ended August 31, 2017

	North America		Europe		Asia		South America		Total
Simulations Plus, Inc.	$	7,846	$	3,826	$	3,926	$	1	$	15,600
Cognigen Corporation		7,300		–		–		–		7,300
DILIsym Services, Inc.*		851		151		236		–		1,238
Total	$	15,997	$	3,977	$	4,162	$	1	$	24,138

*DILIsym was acquired on June 1, 2017.