Segment reporting

3 Months Ended

Apr. 01, 2017

Segment Reporting [Abstract]

Segment reporting

Segment reporting

The Company has three reporting segments: the Global Ceramic segment, the Flooring NA segment and the Flooring ROW segment. The Global Ceramic segment designs, manufactures, sources and markets a broad line of ceramic tile, porcelain tile, natural stone and other products, which it distributes primarily in North America, Europe and Russia through its network of regional distribution centers and Company-operated service centers using company-operated trucks, common carriers or rail transportation. The segment’s product lines are sold through Company-operated service centers, independent distributors, home center retailers, tile and flooring retailers and contractors. The Flooring NA segment designs, manufactures, sources and markets its floor covering product lines, including carpets, rugs, carpet pad, hardwood, laminate and vinyl products, including LVT, which it distributes through its network of regional distribution centers and satellite warehouses using company-operated trucks, common carrier or rail transportation. The segment’s product lines are sold through various selling channels, including independent floor covering retailers, home centers, mass merchandisers, department stores, shop at home, buying groups, commercial dealers and commercial end users. The Flooring ROW segment designs, manufactures, sources, licenses and markets laminate, hardwood flooring, roofing elements, insulation boards, medium-density fiberboard, chipboards, other wood products, sheet vinyl and LVT, which it distributes primarily in Europe and Russia through various selling channels, which include retailers, independent distributors and home centers.

The accounting policies for each operating segment are consistent with the Company’s policies for the consolidated financial statements. Amounts disclosed for each segment are prior to any elimination or consolidation entries. Corporate general and administrative expenses attributable to each segment are estimated and allocated accordingly. Segment performance is evaluated based on operating income.

Segment information is as follows:

	Three Months Ended
	April 1, 2017			April 2, 2016
Net sales:
Global Ceramic segment	$	784,969		773,726
Flooring NA segment	939,496			906,364
Flooring ROW segment	496,180			491,956
Intersegment sales	—			—
	$	2,220,645		2,172,046
Operating income (loss):
Global Ceramic segment	$	116,036		99,777
Flooring NA segment	92,142			75,351
Flooring ROW segment	76,095			79,537
Corporate and intersegment eliminations	(9,489		)	(8,993	)
	$	274,784		245,672

	April 1, 2017		December 31, 2016
Assets:
Global Ceramic segment	$	4,229,183	4,024,859
Flooring NA segment	3,528,062		3,410,856
Flooring ROW segment	2,801,782		2,689,592
Corporate and intersegment eliminations	168,490		105,289
	$	10,727,517	10,230,596