Quarterly report pursuant to Section 13 or 15(d)

Operating Segments

v3.8.0.1
Operating Segments
3 Months Ended
Mar. 31, 2018
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
Note 13 – Operating Segments
 
The Company determined its operating segments on the same basis that it assesses performance and makes operating decisions. The Company manages and measures the performance of its business in two distinct operating segments: Construction and Service. These segments are reflective of how the Company's Chief Operating Decision Maker ("CODM") reviews operating results for the purposes of allocating resources and assessing performance. The Company's CODM is comprised of its Chief Executive Officer, Chief Financial Officer and Chief Operating Officer.
 
The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The CODM evaluates performance based on income from operations of the respective segments after the allocation of Corporate office operating expenses. In accordance with ASC Topic 280 – Segment Reporting, the Company has elected to aggregate all of the construction branches into one Construction reportable segment and all of the service branches into one Service reportable segment. All transactions between segments are eliminated in consolidation. Our Corporate department provides general and administrative support services to our two operating segments. The CODM allocates costs between segments for selling, general and administrative expenses and depreciation expense.
 
All of the Company’s identifiable assets are located in the United States, which is where the Company is domiciled. The Company does not have sales outside the United States. The Company does not identify capital expenditures and total assets, including goodwill, by segment in its internal financial reports due in part to the shared use of a centralized fleet of vehicles and specialized equipment. Interest expense is not allocated to segments because of the corporate management of debt service including interest.
 
Condensed consolidated segment information for the periods presented is as follows:
 
 
 
Three months ended
 
(in thousands)
 
March 31, 2018
 
March 31, 2017
 
Statement of Operations Data:
 
 
 
 
 
 
 
Revenue:
 
 
 
 
 
 
 
Construction
 
$
96,810
 
$
91,465
 
Service
 
 
23,739
 
 
23,725
 
Total revenue
 
 
120,549
 
 
115,190
 
 
 
 
 
 
 
 
 
Gross profit:
 
 
 
 
 
 
 
Construction
 
 
9,271
 
 
8,949
 
Service
 
 
4,016
 
 
4,820
 
Total gross profit
 
 
13,287
 
 
13,769
 
 
 
 
 
 
 
 
 
Selling, general and administrative expenses:
 
 
 
 
 
 
 
Construction
 
 
7,866
 
 
7,281
 
Service
 
 
4,019
 
 
3,451
 
Corporate
 
 
3,781
 
 
3,835
 
Total selling, general and administrative expenses
 
 
15,666
 
 
14,567
 
Amortization of intangibles
 
 
335
 
 
1,008
 
Operating loss
 
$
(2,714)
 
$
(1,806)
 
 
 
 
 
 
 
 
 
Operating loss for reportable segments
 
$
(2,714)
 
$
(1,806)
 
Less unallocated amounts:
 
 
 
 
 
 
 
Interest expense, net
 
 
769
 
 
454
 
(Gain) loss on sale of property and equipment
 
 
(16)
 
 
37
 
Total unallocated amounts
 
 
753
 
 
491
 
Total consolidated loss before income taxes
 
$
(3,467)
 
$
(2,297)
 
 
 
 
 
 
 
 
 
Other Data:
 
 
 
 
 
 
 
Depreciation and amortization:
 
 
 
 
 
 
 
Construction
 
$
666
 
$
978
 
Service
 
 
180
 
 
489
 
Corporate
 
 
525
 
 
1,179
 
Total other data
 
$
1,371
 
$
2,646