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Business Segments and Major Customer Information
 12 Months Ended
Jan. 31, 2021
Segment Reporting [Abstract]  
Business Segments and Major Customer Information
NOTE 16BUSINESS SEGMENTS AND MAJOR CUSTOMER INFORMATION

The Company's operating segments, which are also its reportable business segments, are defined by their product lines which have been generally grouped based on technology, manufacturing processes, and end-use application. The Company's business segments are Applied Technology Division, Engineered Films Division, and Aerostar Division. Separate financial information is available for each segment and regularly evaluated by the Company's chief operating decision-maker, the President and Chief Executive Officer, in making resource allocation decisions for the Company's segments. Segment information is reported consistent with the Company's management reporting structure.

Applied Technology designs, manufactures, sells, and services innovative precision agriculture products and information management tools, which are collectively referred to as precision agriculture equipment, that help farmers reduce costs, more precisely control inputs, and improve farm yields for the global agriculture market. The Applied Technology product families include application controls, GPS-guidance steering systems, field computers, automatic boom controls, machine automation, and injection systems. Applied Technology's services include wireless connectivity, cloud-based data management and logistics services. Applied Technology’s acquisition of Smart Ag and DOT in November 2019, further disclosed in Note 6 Acquisitions and Investments in Businesses and Technologies, brings a unique U-shaped platform designed to autonomously handle a large variety of agriculture implements along with perception, path planning, machine safety, and remote communication solutions to the precision ag market.

Engineered Films produces high-performance plastic films and sheeting for geomembrane, agricultural, construction, and industrial applications and also offers design-build and installation services of these plastic films and sheeting. Plastic film and sheeting can be purchased separately or together with installation services. Engineered Films sells both direct to end-customers and through independent third-party distributors. The majority of product sold into the construction and agriculture markets is through distributors, while sales into the geomembrane and industrial markets are more direct in nature. The Company extrudes a significant portion of the film converted for its commercial products and believes it is one of the largest sheeting converters in the United States in the markets it serves. Engineered Films' ability to extrude and convert films, along with offering installation services for its geomembrane products, allows it to provide a more customized solution to customers. A number of film manufacturers compete with the Company on both price and product availability.
Aerostar serves the aerospace and defense and commercial lighter-than-air markets. Aerostar's core products include high-altitude stratospheric platforms, technical services, and radar systems. These products can be integrated with additional third-party sensors to provide research, communications, and situational awareness capabilities to governmental and commercial customers. Aerostar’s growth strategy emphasizes the design and manufacture of proprietary products in these markets. Aerostar also pursues product and support services contracts with U.S. government agencies as well as sales of radar systems in international markets.
The Company measures the performance of its segments based on their operating income excluding administrative and general expenses. The accounting policies of the operating segments are the same as those described in Note 1 "Summary of Significant Accounting Policies." Other income, interest expense, and income taxes are not allocated to individual operating segments, and assets not identifiable to an individual segment are included as corporate assets.

Business segment financial performance and other information is as follows:
For the years ended January 31,
202120202019
APPLIED TECHNOLOGY DIVISION
Sales$147,198 $130,460 $129,749 
Operating income(a)(f)
26,468 30,672 39,044 
Assets(b)(c)
176,535 172,320 79,742 
Capital expenditures2,571 1,464 2,050 
Depreciation and amortization5,093 3,995 3,433 
ENGINEERED FILMS DIVISION
Sales(d)
$147,921 $197,719 $226,574 
Operating income(a)
15,743 28,695 39,714 
Assets(b)
147,085 158,440 159,592 
Capital expenditures11,583 5,317 9,544 
Depreciation and amortization9,719 9,518 9,149 
AEROSTAR DIVISION
Sales $53,343 $54,443 $50,867 
Operating income(a)
4,399 8,597 8,179 
Assets(b)
22,896 26,344 21,515 
Capital expenditures1,148 652 168 
Depreciation and amortization1,065 933 891 
INTERSEGMENT ELIMINATIONS
Sales
Applied Technology Division$(3)$(2)$(10)
Engineered Films Division(100)(90)(512)
Aerostar Division— — — 
Operating income(a)
72 — (35)
Assets(b)
(32)(104)(104)
REPORTABLE SEGMENTS TOTAL
Sales(d)
$348,359 $382,530 $406,668 
Operating income(a)(f)
46,682 67,964 86,902 
Assets(b)
346,484 357,000 260,745 
Capital expenditures15,302 7,433 11,762 
Depreciation and amortization15,877 14,446 13,473 
CORPORATE & OTHER
Operating (loss) from administrative expenses(a)(e)
$(27,031)$(28,025)$(31,769)
Assets(b)(c)(g)
62,887 46,257 99,500 
Capital expenditures845 1,127 2,365 
Depreciation and amortization1,544 1,795 1,650 
TOTAL COMPANY
Sales(d)
$348,359 $382,530 $406,668 
Operating income(e)(f)
19,651 39,939 55,133 
Assets409,371 403,257 360,245 
Capital expenditures16,147 8,560 14,127 
Depreciation and amortization17,421 16,241 15,123 
(a) At the segment level, operating income does not include an allocation of general and administrative expenses and, as a result, general and administrative expenses are reported as "Operating (loss) from administrative expenses" in Corporate & Other.
(b) Certain facilities owned by the Company are shared by more than one reporting segment. All facilities are reported as an asset based on the segment that acquired the asset as the Company believes this most appropriately reflects the total assets of each business segment. Expenses and costs related to these facilities, including depreciation expense, are allocated and reported in each reporting segment's operating income for each fiscal year presented.
(c) Applied Technology fiscal 2021 and 2020 Assets include goodwill and intangible assets related to the acquisitions of Smart Ag and DOT. These assets are further disclosed in Note 6 "Acquisitions and Investments in Business Technologies". Fiscal 2020 Assets for the Corporate & Other segment reflect the use of cash to fund the acquisitions of Smart Ag and DOT.
(d) Economic conditions as a result of the global pandemic have created weak demand across a majority of Engineered Films' end-markets for fiscal 2021. Additionally, there were no sales of hurricane recovery film in fiscal 2021, while in fiscal 2020 and 2019 there were hurricane film sales of $1,860 and $14,494, respectively.
(e) Fiscal 2019 administrative expenses included a $4,503 expense related to the previously announced gift to SDSU. Fiscal 2021 and 2020 included approximately $2,089 and $2,700 of expenses related to Project Atlas. Project Atlas related expenses in fiscal 2019 were approximately $4,000.
(f) Applied Technology's operating income for fiscal 2021 includes $16,646 of costs and expenses incurred primarily for research and development related to Raven Autonomy™ to drive commercialization of its autonomous technology. Applied Technology's operating income for fiscal 2020 includes $2,834 of costs and expenses incurred in fourth quarter of fiscal 2020 related to Raven Autonomy™ .
(g) Assets are principally cash, investments, and other receivables.

Sales to one OEM customer in the Applied Technology Division accounted for 10% of the Company's consolidated nets sales in fiscal year 2021 and 14% of consolidated accounts receivable at January 31, 2021. No customers accounted for 10% or more of consolidated net sales in fiscal 2020 or 2019.

Substantially all of the Company's long-lived assets are located in the United States. Foreign sales are attributed to countries based on location of the customer. Net sales to customers outside the United States were as follows:
For the years ended January 31,
202120202019
Canada$13,025 $12,121 $12,492 
Europe15,867 14,681 15,786 
Latin America6,709 8,261 5,950 
Asia5,168 3,387 7,240 
Other foreign sales4,945 3,682 6,861 
Total foreign sales45,714 42,132 48,329 
United States302,645 340,398 358,339 
$348,359 $382,530 $406,668