Note 2 - Assets Held for Sale and Discontinued Operations

12 Months Ended

Jan. 31, 2023

Notes to Financial Statements

Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

2. Assets Held for Sale and Discontinued Operations

On July 27, 2020, the Board determined to exit the Leasing Business. As a result, the assets, excluding cash, and liabilities of the Leasing Business are considered held for sale and its results of operations are reported as discontinued operations as of January 31, 2023 and 2022 and for the years then ended. The Company originally anticipated selling the discontinued operations in multiple transactions, potentially involving the sale of legal entities, assets, or a combination of both, within the twelve months ending  July 31, 2021. As of January 31, 2023, we have substantially completed the sale of our discontinued operations.

The assets reported as held for sale consist of the following:

	As of January 31,
	2023		2022
Current assets of discontinued operations:	(in thousands)
Accounts receivable, net		—		177
Inventories, net		—		2
Prepaid expenses and other current assets		—		167
Seismic equipment lease pool and property and equipment, net		—		738
Loss recognized on classification as held for sale		—		(925	)
Total assets of discontinued operations	$	—	$	159

The liabilities reported as held for sale consist of the following:

	As of January 31,
	2023		2022
Current liabilities of discontinued operations:	(in thousands)
Accounts payable	$	—	$	132
Deferred revenue		—		73
Accrued expenses and other current liabilities		—		507
Income taxes payable		—		241
Total liabilities of discontinued operations	$	—	$	953

The results of operations from discontinued operations for the twelve months ended January 31, 2023 and 2022, consist of the following:

	Twelve Months Ended January 31,
	2023			2022
Revenues:	(in thousands)
Revenue from discontinued operations	$	—		$	878
Cost of sales:
Cost of discontinued operations		91			993
Operating expenses:
Selling, general and administrative		765			1,622
(Recovery) provision for doubtful accounts		—			(450	)
Depreciation and amortization		—			5
Total operating expenses		765			1,177
Operating loss		(856	)		(1,292	)
Other (expense) income		(545	)		93
Loss before income taxes from discontinued operations		(1,401	)		(1,199	)
Provision for income taxes from discontinued operations		—			(307	)
Net loss from discontinued operations		(1,401	)		(1,506	)

The significant operating and investing noncash items and capital expenditures related to discontinued operations are summarized below:

	As of January 31,
	2023		2022
	(in thousands)
Depreciation and amortization	$	—	$	5
(Recovery) provisions for doubtful accounts	$	—	$	(450	)
Sale of assets held for sale	$	1,052	$	6,198