Note 11 - Operating Segments

3 Months Ended

Dec. 31, 2021

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

Note 11 - Operating Segments

The Company’s reportable segments are: (i) the Traditional Business and (ii) Journal Technologies. All inter-segment transactions were eliminated. Summarized financial information regarding the Company’s reportable segments is shown in the following table:         

Overall Financial Results (000)

For the three months ended December 31, 2021 and 2020

	Reportable Segments
	Traditional Business						Journal Technologies						Corporate						Total
	2021			2020			2021			2020			2021			2020			2021			2020
Revenues
Advertising	$	1,794		$	1,692		$	---		$	---		$	---		$	---		$	1,794		$	1,692
Circulation		1,110			1,203			---			---			---			---			1,110			1,203
Advertising service fees and other		670			634			---			---			---			---			670			634
Licensing and maintenance fees		---			---			4,480			5,033			---			---			4,480			5,033
Consulting fees		---			---			1,761			244			---			---			1,761			244
Other public service fees		---			---			1,713			1,614			---			---			1,713			1,614
Total operating revenues		3,574			3,529			7,954			6,891			---			---			11,528			10,420
Operating expenses
Salaries and employee benefits		2,225			1,920			6,122			5,972			---			---			8,347			7,892
Others		843			1,061			2,282			1,782			---			---			3,125			2,843
Total operating expenses		3,068			2,981			8,404			7,754			---			---			11,472			10,735
Income (loss) from operations		506			548			(450	)		(863	)		---			---			56			(315	)
Dividends and interest income		---			---			---			---			875			638			875			638
Interest expenses on note payable collateralized by real estate and other		---			---			---			---			(13	)		(21	)		(13	)		(21	)
Interest expense on margin loans		---			---			---			---			(86	)		(64	)		(86	)		(64	)
Gains on sales of marketable securities, net		---			---			---			---			46,694			---			46,694			---
Net unrealized gains (losses) on marketable securities		---			---			---			---			(36,088	)		81,212			(36,088	)		81,212
Pretax income (loss)		506			548			(450	)		(863	)		11,382			81,765			11,438			81,450
Income tax (expense) benefit		(205	)		(110	)		250			405			(4,605	)		(22,475	)		(4,560	)		(22,180	)
Net income (loss)	$	301		$	438		$	(200	)	$	(458	)	$	6,777		$	59,290		$	6,878		$	59,270
Total assets	$	21,984		$	21,799		$	18,925		$	19,923		$	395,098		$	261,621		$	436,007		$	303,343
Capital expenditures		---			---			---			---			---			---			---			---

During the three months ended December 31, 2021, the Traditional Business had total operating revenues of $3,574,000 with $2,464,000 recognized after services were provided and $1,110,000 recognized ratably over the publication subscription terms, as compared with total operating revenues of $3,529,000 with $2,326,000 recognized after services were provided and $1,203,000 recognized ratably over the publication subscription terms in the prior fiscal year period. Total operating revenues for the Company’s software business were $7,954,000 with $3,476,000 recognized upon completion of services and $4,478,000 recognized ratably over the subscription periods, as compared with total operating revenues of $6,891,000 with $1,869,000 recognized upon completion of services and $5,022,000 recognized ratably over the subscription periods in the prior fiscal year period.

Approximately 69% of the Company’s revenues during the three-month period ended December 31, 2021 were derived from Journal Technologies, as compared with 66% in the prior year period. In addition, the Company’s revenues have been primarily from the United States with approximately 6% from foreign countries during the three-months ended December 31, 2021. Journal Technologies’ revenues are primarily from governmental agencies.