Assets Held for Sale and Discontinued Operations

6 Months Ended

Jul. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

Assets Held for Sale and Discontinued Operations

Assets Held for Sale and Discontinued OperationsOn July 27, 2020, the Board determined to exit the Leasing Business, which comprises essentially all operations of the Equipment Leasing segment. As a result, the assets, excluding cash, and liabilities of the Leasing Business are considered held for sale and the operations of the business are reported as discontinued operations as of July 31, 2021 and for all comparative periods presented in these condensed consolidated financial statements. The Company originally anticipated selling the discontinued operations in multiple transactions, which may involve the sale of legal entities, assets, or a combination of both, within the twelve months ending July 31, 2021.

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

	July 31, 2021		January 31, 2021
Current assets of discontinued operations:
Accounts receivable, net	1,151		1,668
Inventories, net	68		352
Prepaid expenses and other current assets	120		150
Seismic equipment lease pool and property and equipment, net	1,973		2,151
Total assets of discontinued operations	$	3,312	$	4,321

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

	July 31, 2021		January 31, 2021
Current liabilities of discontinued operations:
Accounts payable	$	21	$	59
Deferred revenue	73		73
Accrued expenses and other current liabilities	611		831
Total liabilities of discontinued operations	705		963

The results of operations from discontinued operations for the three and six months ended July 31, 2021 and 2020, consist of the following:

	For the Three Months Ended July 31,				For the Six Months Ended July 31,
	2021		2020		2021		2020
Revenues:
Revenue from discontinued operations	$	757	$	1,230	$	787	$	5,418
Cost of sales:
Cost of discontinued operations	332		1,642		705		4,126
Operating expenses:
Selling, general and administrative	378		1,476		720		3,176
Provision for doubtful accounts	(2)		470		(445)		470
Depreciation and amortization	2		41		3		85
Total operating expenses	378		1,987		278		3,731
Operating income (loss)	47		(2,399)		(196)		(2,439)
Other income (expenses)	35		72		(4)		75
Loss on disposal (including $2,745 of cumulative translation loss)	—		(1,859)		—		(1,859)
Income (loss) before income taxes	82		(4,186)		(200)		(4,223)
Provision for income taxes	(3)		(522)		(4)		(700)
Net income (loss)	79		(4,708)		(204)		(4,923)

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

	For the Six Months Ended July 31,
	2021		2020
Depreciation and amortization	$	—	$	1,771
Gross profit from sale of lease pool equipment	$	—	$	(1,324)
(Recovery) provisions for doubtful accounts	$	(445)	$	470
Loss on disposal of discontinued operations	$	—	$	1,859
Sale of used lease pool equipment	$	—	$	1,988
Sale of assets held for sale	$	1,245	$	—