Note 8 - Segment and Related Information

6 Months Ended

Mar. 31, 2017

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

8.

SEGMENT AND RELATED INFORMATION

The Company operates

two

reportable segments:

1)

test and measurement and

2)

industrial hose. The Company's management evaluates segment performance based primarily on operating earnings before taxes. Non-operating items such as marketing and general administrative expenses, interest income and interest expense are included in unallocated expenses. Depreciation expense on assets used in manufacturing are considered part of each segment's operating performance. Depreciation expense on non-manufacturing assets is included in unallocated expenses.

Test and Measurement

:

This segment consists of diagnostic tools and equipment sold to the automotive industry and indicators and gauges sold primarily to companies in the aircraft and locomotive industries. These products are sold to original equipment manufacturers and to the aftermarket using a variety of distribution methods.

Industrial

Hose:

This segment consists primarily of flexible metal and silicone hose products designed and manufactured or distributed primarily to the trucking industry and other industrial end-users. These products are sold to original equipment manufacturers and to the aftermarket using a variety of distribution methods.

Information by industry segment is set forth below:

 

	Three Months Ended March 31,						Six Months Ended March 31,
	2017			2016			2017			2016
Sales
Test and Measurement	$	1,770,071		$	1,046,624		$	2,597,137		$	2,423,496
Industrial Hose		1,576,244			-			3,106,104			-
Total Sales	$	3,346,315		$	1,046,624		$	5,703,241		$	2,423,496
Income (Loss) Before Provision for Income Taxes
Test and Measurement	$	734,228		$	79,370			688,818			468,948
Industrial Hose		425,970			-			815,607			-
Administrative and Other Expenses		(938,931	)		(543,814	)		(1,588,864	)		(980,581	)
Income (Loss) Before Provision for Income Taxes	$	221,267		$	(464,444	)	$	(84,439	)	$	(511,633	)

Geographical Information

The Company sells the majority (over

95%)

of its product within the United States of America. All export sales to foreign countries, which include sales to Australia, Canada, England, Mexico, Taiwan, are made in United States of America Dollars.