| SEGMENT INFORMATION AND MAJOR SEGMENT CUSTOMERS |
NOTE 16 – SEGMENT INFORMATION AND MAJOR
CUSTOMERS
The Company currently has identified
three segments as follows:
REGS
Industrial
Cleaning
MV and SEM
Environmental Solutions
PWS
Solid
Waste
Reach has had
minimal operations through June 30, 2017. Substantially all of the assets and liabilities of Tactical, the rail car cleaning
segment, was sold July 31, 2017 (Note 11).
The composition of our reportable segments
is consistent with that used by our Chief Operating Decision Maker (“CODM”) to evaluate performance and allocate resources.
All of our operations are located in the U.S. We have not allocated corporate selling, general and administrative expenses, and
stock-based compensation to the segments. All intercompany transactions have been eliminated.
Segment information for the three months ended June 30, 2017 and
2016 is as follows:
| 2017 |
|
Industrial |
|
Environmental |
|
Solid |
|
|
|
|
| |
|
Cleaning (2) |
|
Solutions |
|
Waste |
|
Corporate |
|
Total (3) |
| Revenue |
|
$ |
555,500 |
|
|
$ |
1,862,500 |
|
|
$ |
74,500 |
|
|
$ |
— |
|
|
$ |
2,492,500 |
|
| Depreciation and amortization (1) |
|
|
87,000 |
|
|
|
75,700 |
|
|
|
42,400 |
|
|
|
24,500 |
|
|
|
229,600 |
|
| Interest expense |
|
|
6,100 |
|
|
|
4,200 |
|
|
|
— |
|
|
|
519,300 |
|
|
|
529,600 |
|
| Stock-based compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
39,800 |
|
|
|
39,800 |
|
| Net income (loss) |
|
|
(445,900 |
) |
|
|
243,000 |
|
|
|
(87,600 |
) |
|
|
(1,169,600 |
) |
|
|
(1,460,100 |
) |
Capital expenditures (cash and
noncash) |
|
|
60,400 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
60,400 |
|
| Total assets |
|
$ |
1,046,600 |
|
|
|
1,678,400 |
|
|
$ |
1,758,700 |
|
|
$ |
558,400 |
|
|
$ |
5,042,100 |
|
| 2016 |
|
Industrial |
|
Environmental |
|
Solid |
|
|
|
|
| |
|
Cleaning (2) |
|
Solutions |
|
Waste |
|
Corporate |
|
Total (3) |
| Revenue |
|
$ |
271,400 |
|
|
$ |
1,132,600 |
|
|
$ |
56,500 |
|
|
$ |
— |
|
|
$ |
1,460,500 |
|
| Depreciation and amortization (1) |
|
|
81,700 |
|
|
|
42,700 |
|
|
|
31,500 |
|
|
|
19,900 |
|
|
|
175,800 |
|
| Interest expense |
|
|
9,900 |
|
|
|
5,700 |
|
|
|
100 |
|
|
|
138,900 |
|
|
|
154,600 |
|
| Stock-based compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
42,900 |
|
|
|
42,900 |
|
| Net income (loss) |
|
|
(507,600 |
) |
|
|
188,300 |
|
|
|
(134,700 |
) |
|
|
(565,700 |
) |
|
|
(1,019,700 |
) |
Capital expenditures (cash and
noncash) |
|
|
10,100 |
|
|
|
3,900 |
|
|
|
3,100 |
|
|
|
— |
|
|
|
17,100 |
|
| Total assets |
|
$ |
1,255,700 |
|
|
$ |
1,993,700 |
|
|
$ |
2,918,000 |
|
|
$ |
992,300 |
|
|
$ |
7,159,700 |
|
Segment information for the six months ended June 30, 2017 and 2016
is as follows:
| 2017 |
|
Industrial |
|
Environmental |
|
Solid |
|
|
|
|
| |
|
Cleaning (2) |
|
Solutions |
|
Waste |
|
Corporate |
|
Total (3) |
| Revenue |
|
$ |
1,390,000 |
|
|
$ |
3,551,500 |
|
|
$ |
143,900 |
|
|
$ |
— |
|
|
$ |
5,085,400 |
|
| Depreciation and amortization (1) |
|
|
169,900 |
|
|
|
116,400 |
|
|
|
75,200 |
|
|
|
47,200 |
|
|
|
408,700 |
|
| Interest expense |
|
|
12,400 |
|
|
|
9,000 |
|
|
|
100 |
|
|
|
935,000 |
|
|
|
956,500 |
|
| Stock-based compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
56,800 |
|
|
|
56,800 |
|
| Net income (loss) |
|
|
(469,200 |
) |
|
|
460,400 |
|
|
|
(198,900 |
) |
|
|
(2,027,100 |
) |
|
|
(2,234,800 |
) |
Capital expenditures (cash and
noncash) |
|
|
60,400 |
|
|
|
1,300 |
|
|
|
— |
|
|
|
— |
|
|
|
61,700 |
|
| Total assets |
|
$ |
1,046,600 |
|
|
|
1,678,400 |
|
|
$ |
1,758,700 |
|
|
$ |
558,400 |
|
|
$ |
5,042,100 |
|
| 2016 |
|
Industrial |
|
Environmental |
|
Solid |
|
|
|
|
| |
|
Cleaning (2) |
|
Solutions |
|
Waste |
|
Corporate |
|
Total (3) |
| Revenue |
|
$ |
2,256,200 |
|
|
$ |
1,705,400 |
|
|
$ |
128,100 |
|
|
$ |
— |
|
|
$ |
4,089,700 |
|
| Depreciation and amortization (1) |
|
|
169,400 |
|
|
|
82,800 |
|
|
|
64,800 |
|
|
|
42,400 |
|
|
|
359,400 |
|
| Interest expense |
|
|
17,500 |
|
|
|
12,200 |
|
|
|
500 |
|
|
|
169,300 |
|
|
|
199,500 |
|
| Stock-based compensation |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
72,500 |
|
|
|
72,500 |
|
| Net income (loss) |
|
|
88,500 |
|
|
|
91,000 |
|
|
|
(303,400 |
) |
|
|
(1,022,500 |
) |
|
|
(1,146,400 |
) |
Capital expenditures (cash and
noncash) |
|
|
123,100 |
|
|
|
12,900 |
|
|
|
6,900 |
|
|
|
— |
|
|
|
142,900 |
|
| Total assets |
|
$ |
1,255,700 |
|
|
$ |
1,993,700 |
|
|
$ |
2,918,000 |
|
|
$ |
992,300 |
|
|
$ |
7,159,700 |
|
|
(1) |
Includes depreciation of property, equipment and leasehold improvement and amortization of intangibles |
|
(2) |
Includes mobile rail car cleaning and excludes locations classified as discontinued
operations |
|
(3) |
Excludes discontinued operations |
|