Segment Information

3 Months Ended

Jun. 30, 2023

Segment Information [Abstract]

Segment Information

17. Segment Information

Effective as of the fourth quarter of fiscal 2023, the Company revised its segment reporting as it determined that its three operating segments no longer met the criteria to be aggregated. The Company recast its prior year segment disclosures to conform to the current year’s presentation.

The Company’s three operating segments are:

• Hard Parts, including (i) light duty rotating electric products such as alternators and starters, (ii) wheel hub products, (iii) brake-related products, including brake calipers, brake boosters, brake rotors, brake pads and brake master cylinders, and (iv) turbochargers,

• Test Solutions and Diagnostic Equipment, including (i) applications for combustion engine vehicles, including bench top testers for alternators and starters, (ii) equipment for the pre- and post-production of electric vehicles, and (iii) software emulation of power systems applications for the electrification of all forms of transportation (including automobiles, trucks, the emerging electrification of systems within the aerospace industry, and electric vehicle charging stations), and

• Heavy Duty, including non-discretionary automotive aftermarket replacement hard parts for heavy-duty truck, industrial, marine, and agricultural applications.

The Company’s Hard Parts operating segment meets the criteria of a reportable segment while Test Solutions and Diagnostic Equipment and Heavy Duty are not material, are not required to be separately reported, and are included within the “all other” category.

Financial information relating to the Company’s segments is as follows:

	Three Months Ended June 30, 2023
	Hard Parts		All Other			Total
Net sales to external customers	$	149,747,000	$	9,958,000		$	159,705,000
Intersegment sales		132,000		95,000			227,000
Operating income (loss)		11,506,000		(1,079,000	)		10,427,000
Depreciation and amortization		2,679,000		354,000			3,033,000
Segment assets		1,063,301,000		52,368,000			1,115,669,000
Capital expenditures		40,000		-			40,000

	Three Months Ended June 30, 2022
	Hard Parts		All Other			Total
Net sales to external customers	$	152,428,000	$	11,557,000		$	163,985,000
Intersegment sales		147,000		142,000			289,000
Operating income (loss)		9,611,000		(2,280,000	)		7,331,000
Depreciation and amortization		2,751,000		373,000			3,124,000
Segment assets		1,005,718,000		44,530,000			1,050,248,000
Capital expenditures		1,342,000		33,000			1,375,000

	Three Months Ended
	June 30,
Net sales	2023			2022
Total net sales for reportable segment	$	149,879,000		$	152,575,000
Other net sales		10,053,000			11,699,000
Elimination of intersegment net sales		(227,000	)		(289,000	)
Total consolidated net sales	$	159,705,000		$	163,985,000

	Three Months Ended
	June 30,
Profit or loss	2023			2022
Total operating income for reportable segment	$	11,506,000		$	9,611,000
Other operating loss		(1,079,000	)		(2,280,000	)
Elimination of intersegment operating income		14,000			4,000
Interest expense, net		(11,720,000	)		(6,921,000	)
Change in fair value of compound net derivative liability		(140,000	)		-
Total consolidated (loss) income before income tax (benefit) expense	$	(1,419,000	)	$	414,000

Assets	June 30, 2023			March 31, 2023
Total assets for reportable segment	$	1,063,301,000		$	1,032,739,000
Other assets		52,368,000			49,778,000
Elimination of intersegment assets		(57,482,000	)		(53,952,000	)
Total consolidated assets	$	1,058,187,000		$	1,028,565,000