10.

SEGMENT REPORTING

Operating segments are defined in accordance with ASC

280

as components of an enterprise for which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision making group, in deciding how to allocate resources and in assessing performance. The measurement basis of segment profit or loss is income (loss) from operations.

Management has identified

six

operating segments based on the activities of the Company in accordance with ASC

280

10.

These operating segments have been aggregated into

two

reportable segments, and an Other category. The

two

reportable segments are (

) Power and Electromechanical and (

) Energy.

During the

three

months ended

June 30, 2019,

the Company’s total revenues consisted of

73%

from the Power and Electromechanical segment and

27%

from the Energy segment. During the

three

months ended

June

30,

2018,

the Company's total revenues consisted of

88%

from the Power and Electromechanical segment and

12%

from the Energy segment. During the

six

months ended

June 30, 2019,

the Company's total revenues consisted of

74%

from the Power and Electromechanical segment and

26%

from the Energy segment. During the

six

months ended

June 30, 2018,

the Company's total revenues consisted of

83%

from the Power and Electromechanical segment and

17%

from the Energy segment.

The following information represents segment activity for the

three

months ended

June

30,

2019:

(in thousands)	Power and Electro- Mechanical		Energy			Other			Total
Revenues from external customers	$	16,550	$	6,261		$	—		$	22,811
Depreciation and amortization (1)		246		379			—			625
Interest expense		30		22			66			118
Profit (loss) from operations		776		(1,917	)		(1,316	)		(2,457	)
Expenditures for long-lived assets (2)		172		40			—			212

The following information represents segment activity for the

six

months ended

June

30,

2019:

(in thousands)	Power and Electro- Mechanical		Energy			Other			Total
Revenues from external customers	$	34,101	$	11,720		$	—		$	45,821
Depreciation and amortization (1)		591		778			—			1,369
Interest expense		40		31			132			203
Profit (loss) from operations		1,851		(4,501	)		(2,897	)		(5,547	)
Expenditures for long-lived assets (2)		332		97			—			429

(

)

For the

three

and

six

months ended

June

30,

2019,

Power and Electromechanical segment depreciation and amortization includes

$0.1

million and

$0.4

million, respectively, classified as cost of revenues in the Condensed Consolidated Statements of Operations.

(

)

Includes purchases of property, plant and equipment and the investment in other intangible assets.

The following information represents selected balance sheet items by segment as of

June

30,

2019:

(in thousands)	Power and Electro- Mechanical		Energy		Other		Total
Segment assets	$	56,482	$	21,757	$	896	$	79,135
Other intangible assets, net		8,321		4,707		—		13,028
Goodwill		13,094		—		—		13,094

The following information represents segment activity for the

three

months ended

June

30,

2018:

(in thousands)	Power and Electro- Mechanical		Energy			Other			Total
Revenues from external customers	$	20,320	$	2,807		$	—		$	23,127
Depreciation and amortization (1)		376		397			—			773
Interest expense		53		5			66			124
Profit (loss) from operations		1,962		(4,900	)		(1,231	)		(4,169	)
Expenditures for segment assets (2)		350		93			—			443

The following information represents segment activity for the

six

months ended

June

30,

2018:

(in thousands)	Power and Electro- Mechanical		Energy			Other			Total
Revenues from external customers	$	37,340	$	7,753		$	—		$	45,093
Depreciation and amortization (1)		741		762			—			1,503
Interest expense		106		7			125			238
Profit (loss) from operations		1,971		(7,425	)		(2,494	)		(7,948	)
Expenditures for segment assets (2)		670		166			—			836

(

)

For the

three

and

six

months ended

June 30, 2018,

Power and Electromechanical segment depreciation and amortization totals include

$0.2

million and

$0.4

million, respectively, classified as cost of revenues in the Condensed Consolidated Statements of Operations.

(

)

Includes purchases of property plant and equipment and the investment in other intangible assets.

The following information represents selected balance sheet items by segment as of

June

30,

2018:

(in thousands)	Power and Electro- Mechanical		Energy		Other		Total
Segment assets	$	50,194	$	25,005	$	6,318	$	81,517
Other intangibles assets, net		8,757		6,094		—		14,851
Goodwill		13,091		3,197		—		16,288

The following represents revenue by country:

(dollars in thousands)	For the Three Months Ended June 30,
	2019					2018
	Amount		%			Amount		%
USA	$	13,442		59	%	$	15,269		66	%
United Kingdom		4,212		18	%		2,034		9	%
All Others (1)		5,157		23	%		5,824		25	%
Total	$	22,811		100	%	$	23,127		100	%

(dollars in thousands)	For the Six Months Ended June 30,
	2019					2018
	Amount		%			Amount		%
USA	$	27,770		60	%	$	29,076		64	%
United Kingdom		7,670		17	%		5,394		12	%
All Others (1)		10,381		23	%		10,623		24	%
Total	$	45,821		100	%	$	45,093		100	%

(

)

other country represents greater than

10%

of revenues