Operations by Business Segment and Geographic Information

12 Months Ended

Dec. 31, 2012

Segment Reporting [Abstract]

Operations by Business Segment and Geographic Information

Operations by Business Segment and Geographic Information

Our operating results are reported in two segments: Residential and Commercial Services, and Utility Services.

Residential and Commercial Services provides for the treatment, preservation, maintenance, cultivation, planting and removal of trees, shrubs and other plant life; its services also include landscaping, tree surgery, tree feeding, and tree spraying, as well as the application of fertilizer, herbicides and insecticides. Utility Services is principally engaged in line clearing for investor-owned and municipal utilities, including the clearing of tree growth from power lines, clearance of rights-of-way and chemical brush control. Davey Resource Group , which provides services related to natural resource management and consulting, forestry research and development, and environmental planning is a nonreportable segment and, along with other operating activities; including research, technical support and diagnostic facilities are included in "All Other."

Measurement of Segment Profit and Loss and Segment Assets--We evaluate performance and allocate resources based primarily on operating income and also actively manage business unit operating assets. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies except that (a) we compute and recognize depreciation expense for our segments only by the straight-line method and (b) state income taxes are allocated to the segments. Corporate expenses are substantially allocated among the operating segments, but the nature of expenses allocated may differ from year-to-year. There are no intersegment revenues.

Segment assets are those generated or directly used by each segment, and include accounts receivable, operating supplies, and property and equipment.

S. Operations by Business Segment and Geographic Information (continued)

Information on reportable segments and reconciliation to the consolidated financial statements follows: 

	Utility Services		Residential Commercial Services		All Other		Reconciling  Adjustments				Consolidated
Fiscal Year 2012
Revenues	$	327,917	$	288,167	$	64,069	$	—			$	680,153
Income (loss) from operations	16,211		28,359		4,958		(3,761		)	(a)	45,767
Interest expense							(2,698		)		(2,698		)
Interest income							200				200
Other income (expense), net							(2,611		)		(2,611		)
Income before income taxes											$	40,658
Depreciation	$	21,242	$	11,974	$	1,864	$	2,285		(b)	$	37,365
Amortization	494		1,004		25		219				1,742
Capital expenditures	15,071		9,981		951		3,731				29,734
Segment assets, total	134,589		115,567		22,436		58,340			(c)	330,932
Fiscal Year 2011
Revenues	$	323,061	$	266,402	$	56,571	$	—			$	646,034
Income (loss) from operations	10,790		21,593		6,743		(6,325		)	(a)	32,801
Interest expense							(3,794		)		(3,794		)
Interest income							43				43
Litigation settlement							(2,900		)		(2,900		)
Other income (expense), net							(2,850		)		(2,850		)
Income before income taxes											$	23,300
Depreciation	$	22,308	$	11,917	$	1,666	$	1,927		(b)	$	37,818
Amortization	484		994		27		403				1,908
Capital expenditures	16,304		12,961		1,338		4,098				34,701
Segment assets, total	126,481		100,749		16,011		60,493			(c)	303,734
Fiscal Year 2010
Revenues	$	299,474	$	253,547	$	38,711	$	—			$	591,732
Income (loss) from operations	14,851		17,776		1,895		(4,910		)	(a)	29,612
Interest expense							(2,803		)		(2,803		)
Interest income							46				46
Other income (expense), net							(2,521		)		(2,521		)
Income before income taxes											$	24,334
Depreciation	$	20,977	$	12,106	$	1,267	$	1,180		(b)	$	35,530
Amortization	467		485		9		830				1,791
Capital expenditures	20,808		9,663		761		3,521				34,753
Segment assets, total	118,016		89,580		13,026		67,685			(c)	288,307

S. Operations by Business Segment and Geographic Information (continued)

Reconciling adjustments from segment reporting to consolidated external financial reporting include unallocated corporate items:

(a) Reconciling adjustments from segment reporting to consolidated external financial reporting include reclassification of depreciation expense and allocation of corporate expenses.

(b) Adjustments to declining-balance method depreciation expense from straight-line method and depreciation and amortization of corporate assets.

(c) Corporate assets include cash, prepaid expenses, corporate facilities, enterprise-wide information systems and other nonoperating assets.

Geographic Information--The following presents revenues and long-lived assets by geographic territory:

	Year Ended December 31,
	2012		2011		2010
Revenues
United States	$	607,339	$	577,613	$	531,698
Canada	72,814		68,421		60,034
	$	680,153	$	646,034	$	591,732
	December 31,
	2012		2011		2010
Long-lived assets, net
United States	$	139,680	$	141,108	$	142,013
Canada	15,219		16,121		15,469
	$	154,899	$	157,229	$	157,482