10. BUSINESS SEGMENTS
AMCON has two reportable business segments: the wholesale distribution of consumer products and the retail sale of health and natural food products. The retail health food stores’ operations are aggregated to comprise the Retail Segment because such operations have similar economic characteristics, as well as similar characteristics with respect to the nature of products sold, the type and class of customers for the health food products and the methods used to sell the products. Included in the “Other” column are intercompany eliminations, and assets held and charges incurred by our holding company. The segments are evaluated on revenues, gross margins, operating income (loss), and income before taxes.
|
|
Wholesale Segment |
|
Retail Segment |
|
Other |
|
Consolidated |
|
THREE MONTHS ENDED MARCH 2012: |
|
|
|
|
|
|
|
|
|
External revenue: |
|
|
|
|
|
|
|
|
|
Cigarettes |
|
$ |
198,856,415 |
|
$ |
— |
|
$ |
— |
|
$ |
198,856,415 |
|
Confectionery |
|
17,860,388 |
|
— |
|
— |
|
17,860,388 |
|
Health food |
|
— |
|
10,143,215 |
|
— |
|
10,143,215 |
|
Tobacco, foodservice & other |
|
48,969,248 |
|
— |
|
— |
|
48,969,248 |
|
Total external revenue |
|
265,686,051 |
|
10,143,215 |
|
— |
|
275,829,266 |
|
Depreciation |
|
419,695 |
|
102,044 |
|
937 |
|
522,676 |
|
Amortization |
|
91,251 |
|
— |
|
— |
|
91,251 |
|
Operating income (loss) |
|
2,961,121 |
|
1,125,248 |
|
(1,385,652 |
) |
2,700,717 |
|
Interest expense |
|
133,993 |
|
75,418 |
|
110,430 |
|
319,841 |
|
Income (loss) from operations before taxes |
|
2,873,713 |
|
1,055,015 |
|
(1,453,978 |
) |
2,474,750 |
|
Total assets |
|
89,010,587 |
|
12,809,831 |
|
1,163,482 |
|
102,983,900 |
|
Capital expenditures |
|
355,961 |
|
90,046 |
|
— |
|
446,007 |
|
|
|
|
|
|
|
|
|
|
|
THREE MONTHS ENDED MARCH 2011: |
|
|
|
|
|
|
|
|
|
External revenue: |
|
|
|
|
|
|
|
|
|
Cigarettes |
|
$ |
154,090,343 |
|
$ |
— |
|
$ |
— |
|
$ |
154,090,343 |
|
Confectionery |
|
14,258,544 |
|
— |
|
— |
|
14,258,544 |
|
Health food |
|
— |
|
9,908,134 |
|
— |
|
9,908,134 |
|
Tobacco, foodservice & other |
|
38,346,018 |
|
— |
|
— |
|
38,346,018 |
|
Total external revenue |
|
206,694,905 |
|
9,908,134 |
|
— |
|
216,603,039 |
|
Depreciation |
|
318,398 |
|
107,219 |
|
938 |
|
426,555 |
|
Amortization |
|
80,578 |
|
— |
|
— |
|
80,578 |
|
Operating income (loss) |
|
3,153,065 |
|
1,116,996 |
|
(1,317,724 |
) |
2,952,337 |
|
Interest expense |
|
115,095 |
|
96,438 |
|
52,339 |
|
263,872 |
|
Income (loss) from operations before taxes |
|
3,054,200 |
|
1,026,304 |
|
(1,346,828 |
) |
2,733,676 |
|
Total assets |
|
74,636,163 |
|
13,098,611 |
|
1,030,977 |
|
88,765,751 |
|
Capital expenditures |
|
602,351 |
|
61,866 |
|
— |
|
664,217 |
|
|
|
Wholesale Segment |
|
Retail Segment |
|
Other |
|
Consolidated |
|
SIX MONTHS ENDED MARCH 2012: |
|
|
|
|
|
|
|
|
|
External revenue: |
|
|
|
|
|
|
|
|
|
Cigarettes |
|
$ |
405,029,273 |
|
$ |
— |
|
$ |
— |
|
$ |
405,029,273 |
|
Confectionery |
|
35,359,329 |
|
— |
|
— |
|
35,359,329 |
|
Health food |
|
— |
|
18,676,642 |
|
— |
|
18,676,642 |
|
Tobacco, foodservice & other |
|
100,327,072 |
|
— |
|
— |
|
100,327,072 |
|
Total external revenue |
|
540,715,674 |
|
18,676,642 |
|
— |
|
559,392,316 |
|
Depreciation |
|
830,277 |
|
203,080 |
|
1,874 |
|
1,035,231 |
|
Amortization |
|
192,190 |
|
— |
|
— |
|
192,190 |
|
Operating income (loss) |
|
6,329,267 |
|
1,538,411 |
|
(2,492,780 |
) |
5,374,898 |
|
Interest expense |
|
269,060 |
|
158,412 |
|
316,479 |
|
743,951 |
|
Income (loss) from operations before taxes |
|
6,154,807 |
|
1,390,017 |
|
(2,668,739 |
) |
4,876,085 |
|
Total assets |
|
89,010,587 |
|
12,809,831 |
|
1,163,482 |
|
102,983,900 |
|
Capital expenditures |
|
583,352 |
|
124,372 |
|
— |
|
707,724 |
|
|
|
|
|
|
|
|
|
|
|
SIX MONTHS ENDED MARCH 2011: |
|
|
|
|
|
|
|
|
|
External revenue: |
|
|
|
|
|
|
|
|
|
Cigarettes |
|
$ |
329,862,580 |
|
$ |
— |
|
$ |
— |
|
$ |
329,862,580 |
|
Confectionery |
|
30,127,596 |
|
— |
|
— |
|
30,127,596 |
|
Health food |
|
— |
|
19,000,583 |
|
— |
|
19,000,583 |
|
Tobacco, foodservice & other |
|
82,569,441 |
|
— |
|
— |
|
82,569,441 |
|
Total external revenue |
|
442,559,617 |
|
19,000,583 |
|
— |
|
461,560,200 |
|
Depreciation |
|
628,630 |
|
214,615 |
|
1,875 |
|
845,120 |
|
Amortization |
|
159,596 |
|
— |
|
— |
|
159,596 |
|
Operating income (loss) |
|
8,090,052 |
|
1,909,085 |
|
(3,624,032 |
) |
6,375,105 |
|
Interest expense |
|
226,164 |
|
199,988 |
|
222,303 |
|
648,455 |
|
Income (loss) from operations before taxes |
|
7,882,840 |
|
1,720,389 |
|
(3,808,487 |
) |
5,794,742 |
|
Total assets |
|
74,636,163 |
|
13,098,611 |
|
1,030,977 |
|
88,765,751 |
|
Capital expenditures |
|
850,098 |
|
107,156 |
|
— |
|
957,254 |
| |