Note 11 - Segment and Related Information

9 Months Ended

Jun. 30, 2017

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

11.

SEGMENT AND RELATED INFORMATION

 

The Company operates

three

reportable segments:

1

) commercial air handling,

2

) test and measurement and

3

) industrial hose. The Company's management evaluates segment performance based primarily on operating earnings before taxes.. 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 selling, general and administrative expenses.

Commercial Air Handling

:

This segment manufactures custom air handling units under fixed price contract to customers in the health care, university, research, pharmaceutical and industrial manufacturing market segments, and across the United States and worldwide.

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						Nine Months Ended
	June 30						June 30
	2017			2016			2017			2016
Sales
Commercial Air Handling	$	3,343,945		$	-		$	3,343,945		$	-
Test and Measurement		2,452,854			1,530,244			5,049,991			3,953,740
Industrial Hose		1,423,827			-			4,529,931			-
Total Sales	$	7,220,626		$	1,530,244		$	12,923,867		$	3,953,740
Income (Loss) Before Provision for Income Taxes
Commercial Air Handling		607,471			-			607,471			-
Test and Measurement (1)		880,600			(8,095	)		(19,446	)		(519,728	)
Industrial Hose		(509,175	)		-			306,433			-
Income (Loss) Before Provision for Income Taxes	$	978,896		$	(8,095	)	$	894,458		$	(519,728	)

( 1 ) Certain Expenses such as corporate general and administrative expenses, acquisition related expense and interest expense are included in the Test and Measurement division.