Quarterly report pursuant to Section 13 or 15(d)

Business Segments and Customer Information

v2.4.0.8
Business Segments and Customer Information
 6 Months Ended
Jun. 30, 2014
Business Segments and Customer Information [Abstract]  
Business Segments and Customer Information
(6) Business Segments and Customer Information

Business Segments

Management of our business operations is conducted under four reportable operating segments:

Supply Chain Management Group – Our Supply Chain Management Group supplies vehicle parts primarily through a Managed Inventory Program ("MIP") to USPS and direct sales to other clients.

International Group - Our International Group provides engineering, industrial, logistics and foreign military sales services to the U.S. military and other government agencies.

Federal Group - Our Federal Group provides legacy equipment sustainment, engineering, technical, management, integrated logistics support and information technology services to DoD and other government agencies.

IT, Energy and Management Consulting Group – Our IT, Energy and Management Consulting Group provides technical and consulting services primarily to various civilian government agencies.

These segments operate under separate management teams and financial information is produced for each segment.  The entities within each of the Supply Chain Management Group, International Group, Federal Group, and IT, Energy and Management Consulting Group reportable segments meet the aggregation of operating segments criteria as defined by the accounting standard for segment reporting.  We evaluate segment performance based on consolidated revenues and operating income. Net sales of our business segments exclude intersegment sales as these activities are eliminated in consolidation.

Our segment information for the three- and six-months ended June 30, 2014 and 2013 is as follows (in thousands):

 
 
Three months
 
 
Six months
 
 
 
2014
 
 
2013
 
 
2014
 
 
2013
 
Revenues:
 
 
 
 
 
 
 
 
  Supply Chain Management Group
 
$
42,313
 
 
$
36,891
 
 
$
82,936
 
 
$
74,594
 
  International Group
 
 
26,794
 
 
 
36,239
 
 
 
61,510
 
 
 
71,629
 
  Federal Group
 
 
23,137
 
 
 
26,817
 
 
 
51,692
 
 
 
54,388
 
  IT, Energy and Management Consulting Group
 
 
15,718
 
 
 
19,115
 
 
 
31,233
 
 
 
37,608
 
    Total revenues
 
$
107,962
 
 
$
119,062
 
 
$
227,371
 
 
$
238,219
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Operating income:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  Supply Chain Management Group
 
$
7,697
 
 
$
6,974
 
 
$
15,518
 
 
$
13,129
 
  International Group
 
 
759
 
 
 
1,473
 
 
 
3,148
 
 
 
3,166
 
  Federal Group
 
 
887
 
 
 
2,510
 
 
 
1,216
 
 
 
3,641
 
  IT, Energy and Management Consulting Group
 
 
1,832
 
 
 
2,492
 
 
 
3,285
 
 
 
3,731
 
  Corporate/unallocated expenses
 
 
(472
)
 
 
(748
)
 
 
(1,107
)
 
 
(1,024
)
   Operating income
 
$
10,703
 
 
$
12,701
 
 
$
22,060
 
 
$
22,643
 
 
Customer Information

Our revenue by customer is as follows (in thousands):

 
  
Three months
    
Six months
  
 
  
ended June 30,
    
ended June 30,
  
 
  
2014
    
2013
    
2014
    
2013
  
Source of Revenues
  
   
   
   
 
Army/Army Reserve
  
$
28,026
    
$
28,161
    
$
61,724
    
$
59,754
  
U.S. Navy
    
24,142
      
27,745
      
48,756
      
53,149
  
U.S. Air Force
    
809
      
3,228
      
1,605
      
6,407
  
Total - DoD
    
52,977
      
59,134
      
112,085
      
119,310
  
 
                                
U.S. Postal Service
    
41,263
      
34,446
      
80,592
      
68,828
  
Department of Energy
    
4,923
      
5,214
      
9,549
      
10,106
  
Department of Treasury
    
573
      
9,302
      
8,931
      
18,811
  
Department of Interior
    
500
      
2,809
      
695
      
5,544
  
Other government
    
6,788
      
7,577
      
13,772
      
14,466
  
Total – Federal civilian agencies
    
54,047
      
59,348
      
113,539
      
117,755
  
 
                                
Commercial
    
938
      
580
      
1,747
      
1,154
  
 
                                
Total
  
$
107,962
    
$
119,062
    
$
227,371
    
$
238,219