Segment Data

9 Months Ended

Aug. 02, 2020

Segment Reporting [Abstract]

Segment Data

Segment Data

We report our segment data in accordance with the provisions of ASC 280, Segment Reporting, aligning with the way the Company evaluates its business performance and manages its operations. Our current reportable segments are (i) North American Staffing, (ii) International Staffing and (iii) North American MSP. The non-reportable businesses are combined and disclosed with corporate services under the category Corporate and Other.

In June 2019, the Company exited its customer care solutions business, which was reported as a part of the Corporate and Other category. This exit allows the Company to further strengthen its focus on its core staffing business and align its resources to streamline operations, improve cost competitiveness and increase profitability. The Company’s other non-reportable businesses will continue to be combined and disclosed with corporate services under the category Corporate and Other.

Segment operating income (loss) is comprised of segment net revenue less cost of services, selling, administrative and other operating costs, restructuring and severance costs, and impairment charges. The Company allocates to the segments all operating costs except for costs not directly related to the operating activities such as corporate-wide general and administrative costs. These costs are not allocated because doing so would not enhance the understanding of segment operating performance and are not used by management to measure segment performance.

Financial data concerning the Company’s segment revenue and operating income (loss) as well as results from Corporate and Other are summarized in the following tables (in thousands):

	Three Months Ended August 2, 2020
	Total		North American Staffing		International Staffing		North American MSP		Corporate and Other		Eliminations
Net revenue	$	185,941	$	154,711	$	21,749	$	9,436	$	149	$	(104)
Cost of services	155,983		130,829		17,805		7,375		78		(104)
Gross margin	29,958		23,882		3,944		2,061		71		—
Selling, administrative and other operating costs	31,245		19,053		3,312		1,117		7,763		—
Restructuring and severance costs	546		335		81		—		130		—
Impairment charges	2,384		1,803		—		—		581		—
Operating income (loss)	(4,217)		2,691		551		944		(8,403)		—
Other income (expense), net	(64)
Income tax provision	556
Net loss	$	(4,837)

	Three Months Ended July 28, 2019
	Total		North American Staffing		International Staffing		North American MSP		Corporate and Other (1)		Eliminations (2)
Net revenue	$	233,176	$	193,641	$	28,728	$	9,555	$	1,856	$	(604)
Cost of services	197,528		164,809		24,181		7,053		2,089		(604)
Gross margin	35,648		28,832		4,547		2,502		(233)		—
Selling, administrative and other operating costs	38,395		24,346		4,023		1,382		8,644		—
Restructuring and severance costs	2,017		121		182		—		1,714		—
Impairment charge	79		—		—		—		79		—
Operating income (loss)	(4,843)		4,365		342		1,120		(10,670)		—
Other income (expense), net	(1,049)
Income tax provision	165
Net loss	$	(6,057)

	Nine Months Ended August 2, 2020
	Total		North American Staffing		International Staffing		North American MSP		Corporate and Other		Eliminations
Net revenue	$	610,982	$	510,492	$	72,275	$	28,550	$	539	$	(874)
Cost of services	517,360		435,646		60,117		22,212		259		(874)
Gross margin	93,622		74,846		12,158		6,338		280		—
Selling, administrative and other operating costs	106,931		66,905		10,845		4,149		25,032		—
Restructuring and severance costs	2,203		761		192		—		1,250		—
Impairment charges	2,395		1,814		—		—		581		—
Operating income (loss)	(17,907)		5,366		1,121		2,189		(26,583)		—
Other income (expense), net	(2,389)
Income tax provision	774
Net loss	$	(21,070)

	Nine Months Ended July 28, 2019
	Total		North American Staffing		International Staffing		North American MSP		Corporate and Other (1)		Eliminations (2)
Net revenue	$	738,682	$	614,360	$	83,803	$	27,351	$	15,133	$	(1,965)
Cost of services	629,078		526,172		70,414		20,157		14,300		(1,965)
Gross margin	109,604		88,188		13,389		7,194		833		—
Selling, administrative and other operating costs	117,144		77,063		11,659		3,941		24,481		—
Restructuring and severance costs	2,800		329		456		68		1,947		—
Impairment charges	426		—		—		—		426		—
Operating income (loss)	(10,766)		10,796		1,274		3,185		(26,021)		—
Other income (expense), net	(3,000)
Income tax provision	671
Net loss	$	(14,437)

(1) Revenues are primarily derived from Volt Customer Care Solutions business through June 7, 2019.

(2) The majority of intersegment sales results from North American Staffing segment providing resources to Volt Customer Care Solutions business.