Operations by Business Segment

9 Months Ended

Oct. 03, 2015

Segment Reporting [Abstract]

Operations by business segment [Text Block]

Operations by Business Segment

We provide a wide range of arboriculture, horticulture, environmental and consulting services to residential, utility, commercial and government entities throughout the United States and Canada. We have two reportable operating segments organized by type or class of customer: Residential and Commercial, and Utility.

Residential and Commercial--Residential and Commercial provides services to our residential and commercial customers including: the treatment, preservation, maintenance, removal and planting of trees, shrubs and other plant life; the practice of landscaping, grounds maintenance, tree surgery, tree feeding and tree spraying; the application of fertilizer, herbicides and insecticides; and, natural resource management and consulting, forestry research and development, and environmental planning.

Utility--Utility is principally engaged in providing services to our utility customers--investor-owned, municipal utilities, and rural electric cooperatives--including: the practice of line-clearing and vegetation management around power lines, rights-of-way and chemical brush control; and, natural resource management and consulting, forestry research and development, and environmental planning.

All other operating activities, including research, technical support and laboratory 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. Segment information, including reconciling adjustments, is presented consistent with the basis described in our 2014 Annual Report.    

Segment information reconciled to consolidated external reporting information follows:

L. Operations by Business Segment (continued)

	Utility		Residential and Commercial		All Other			Reconciling Adjustments				Consolidated
Three Months Ended October 3, 2015
Revenues	$	114,884	$	109,108	$	989		$	—			$	224,981
Income (loss) from operations	6,267		13,513		(1,378		)	(2,225		)	(a)	16,177
Interest expense								(827		)		(827		)
Interest income								85				85
Other income (expense), net								(2,068		)		(2,068		)
Income before income taxes												$	13,367
Segment assets, total	$	164,841	$	163,935	$	—		$	84,340		(b)	$	413,116
Three Months Ended September 27, 2014
Revenues	$	108,096	$	107,671	$	837		$	—			$	216,604
Income (loss) from operations	5,725		13,421		(514		)	(1,488		)	(a)	17,144
Interest expense								(676		)		(676		)
Interest income								56				56
Other income (expense), net								(1,112		)		(1,112		)
Income before income taxes												$	15,412
Segment assets, total	$	155,231	$	156,685	$	—		$	74,680		(b)	$	386,596
Nine Months Ended October 3, 2015
Revenues	$	323,804	$	298,200	$	2,042		$	—			$	624,046
Income (loss) from operations	17,630		32,336		(4,916		)	(5,062		)	(a)	39,988
Interest expense								(2,517		)		(2,517		)
Interest income								207				207
Other income (expense), net								(3,776		)		(3,776		)
Income before income taxes												$	33,902
Segment assets, total	$	164,841	$	163,935	$	—		$	84,340		(b)	$	413,116
Nine Months Ended September 27, 2014
Revenues	$	296,230	$	288,990	$	1,954		$	—			$	587,174
Income (loss) from operations	14,450		29,318		(4,121		)	(3,413		)	(a)	36,234
Interest expense								(2,101		)		(2,101		)
Interest income								201				201
Other income (expense), net								(2,417		)		(2,417		)
Income before income taxes												$	31,917
Segment assets, total	$	155,231	$	156,685	$	—		$	74,680		(b)	$	386,596

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

(a) Reclassification of depreciation expense and allocation of corporate expenses.

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