Segmented Information

12 Months Ended

Dec. 31, 2015

Segmented Information [Abstract]

Segmented Information

4.Segmented  information

The Company’s principal business activity is the sale of industrial equipment and other assets at auctions. The Company’s operations are comprised of two reportable segments as determined by their differing service delivery model, these are:

Core Auction segment, a network of auction locations that conduct live, unreserved auctions with both on-site and online bidding; and

EquipmentOne segment, a secure online marketplace that facilitates private equipment transactions.

The accounting policies of the segments are similar to those described in the significant accounting policies in note 2. The Chief Operating Decision Maker evaluates each segment‘s performance based on earnings (loss) from operations. The significant non-cash item included in segment earnings (loss) from operations is depreciation and amortization.

	Core		Equipment-
Year ended December 31, 2015	Auction		One			Consolidated
Revenues	$	500,764	$	15,111	$	515,875
Direct expenses, excluding
depreciation and amortization		(56,026)		-		(56,026)
Selling, general and administrative expenses		(241,274)		(13,716)		(254,990)
Depreciation and amortization expenses		(39,016)		(3,016)		(42,032)
	$	164,448	$	(1,621)	$	162,827
Gain on disposition of property,
plant and equipment						9,691
Foreign exchange gain						2,322
Operating income					$	174,840
Equity income						916
Other and income tax expenses						(37,181)
Net income					$	138,575

	Core		Equipment-
Year ended December 31, 2014	Auction		One			Consolidated
Revenues	$	467,919	$	13,178	$	481,097
Direct expenses, excluding
depreciation and amortization		(57,884)		-		(57,884)
Selling, general and administrative expenses		(233,438)		(14,782)		(248,220)
Depreciation and amortization expenses		(40,872)		(3,664)		(44,536)
Impairment loss		(8,084)		-		(8,084)
	$	127,641	$	(5,268)	$	122,373
Gain on disposition of property,
plant and equipment						3,512
Foreign exchange gain						2,042
Operating income					$	127,927
Equity income						458
Other and income tax expenses						(35,822)
Net income					$	92,563

4.  Segmented information (continued)

	Core		Equipment-
Year ended December 31, 2013	Auction		One			Consolidated
Revenues	$	453,994	$	13,409	$	467,403
Direct expenses, excluding
depreciation and amortization		(54,008)		-		(54,008)
Selling, general and administrative expenses		(227,402)		(16,334)		(243,736)
Depreciation and amortization expenses		(39,578)		(3,702)		(43,280)
	$	133,006	$	(6,627)	$	126,379
Gain on disposition of property,
plant and equipment						10,552
Foreign exchange gain						28
Operating income					$	136,959
Equity income						405
Other and income tax expenses						(42,919)
Net income					$	94,445

The Chief Operating Decision Maker does not evaluate the performance of its operating segments based on segment assets and liabilities. The Company does not classify liabilities on a segmented basis.

The Company‘s geographic information as determined by the revenue and location of assets is as follows:

		United States		Canada		Europe		Other		Consolidated
Revenues for the year ended:
December 31, 2015	$	257,824	$	166,528	$	48,419	$	43,104	$	515,875
December 31, 2014		223,770		154,392		58,782		44,153		481,097
December 31, 2013		224,214		135,545		65,016		42,628		467,403

		United States		Canada		Europe		Other		Consolidated
Long-lived assets:
December 31, 2015	$	289,126	$	106,924	$	79,578	$	52,963	$	528,591
December 31, 2014		302,189		126,396		91,592		60,524		580,701

Revenue information is based on the locations of the auction and the assets at the time of sale.