BUSINESS SEGMENTS

12 Months Ended

Sep. 30, 2017

BUSINESS SEGMENTS

BUSINESS SEGMENTS

11. BUSINESS SEGMENTS:

The Company 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		Retail
	Segment		Segment		Other		Consolidated
FISCAL YEAR ENDED 2017:
External revenues:
Cigarettes	$	909,533,495	$	—	$	—	$	909,533,495
Tobacco		158,899,064		—		—		158,899,064
Confectionery		80,129,898		—		—		80,129,898
Health food		—		25,421,603		—		25,421,603
Foodservice & other		101,000,348		—		—		101,000,348
Total external revenue		1,249,562,805		25,421,603		—		1,274,984,408
Depreciation		1,295,534		488,941		—		1,784,475
Amortization		265,000		—		—		265,000
Operating income (loss)		13,665,234		(1,801,581)		(5,638,900)		6,224,753
Interest expense		101,691		—		723,999		825,690
Income (loss) from operations before taxes		13,663,327		(1,786,851)		(6,437,900)		5,438,576
Total assets		117,297,333		14,399,224		108,330		131,804,887
Capital expenditures		525,558		2,040,141		—		2,565,699
FISCAL YEAR ENDED 2016:
External revenue:
Cigarettes	$	929,512,552	$	—	$	—	$	929,512,552
Tobacco		153,176,500		—		—		153,176,500
Confectionery		83,196,699		—		—		83,196,699
Health food		—		27,416,987		—		27,416,987
Foodservice & other		101,322,485		—		—		101,322,485
Total external revenue		1,267,208,236		27,416,987		—		1,294,625,223
Depreciation		1,390,625		440,375		—		1,831,000
Amortization		331,667		—		—		331,667
Operating income (loss)		16,177,122		51,749		(5,354,936)		10,873,935
Interest expense		115,415		—		607,806		723,221
Income (loss) from operations before taxes		16,148,463		69,952		(5,962,742)		10,255,673
Total assets		97,819,841		12,896,376		105,254		110,821,471
Capital expenditures		851,718		743,130		—		1,594,848