Quarterly report pursuant to Section 13 or 15(d)

Business Segments and Customer Information

v2.4.1.9
Business Segments and Customer Information
 3 Months Ended
Mar. 31, 2015
Business Segments and Customer Information [Abstract]  
Business Segments and Customer Information
(6) Business Segments and Customer Information

Business Segments

Beginning in 2015, we have consolidated our former International and Federal Groups into a single operating group and named it our Federal Services Group. 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") and direct sales to USPS and to other clients.

Aviation Group - Our Aviation Group, formed in January 2015 when we acquired our aviation businesses, provides MRO services, parts supply and distribution, and supply chain solutions for business aviation and regional jet aircraft engines and engine accessories.

Federal Services Group - Our Federal Services Group provides engineering, industrial, logistics, foreign military sales, and legacy equipment sustainment 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 DoD and civilian government agencies.

These segments operate under separate management teams and financial information is produced for each segment.  The entities within each of the Federal Services 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 months ended March 31, 2015 and 2014 is as follows (in thousands):

   
Three Months
  
   
ended March 31,
  
   
2015
    
2014
  
Revenues:
        
  Supply Chain Management Group
  
$
46,242
    
$
40,623
  
  Aviation Group
    
22,764
      
-
  
  Federal Services Group
    
37,792
      
63,270
  
  IT, Energy and Management Consulting Group
    
13,993
      
15,516
  
    Total revenues
  
$
120,791
    
$
119,409
  
                 
Operating income:
                
  Supply Chain Management Group
  
$
8,306
    
$
7,821
  
  Aviation Group
    
2,113
      
-
  
  Federal Services Group
    
(267
)
    
2,718
  
  IT, Energy and Management Consulting Group
    
1,215
      
1,453
  
  Corporate/unallocated expenses
    
(683
)
    
(635
)
   Operating income
  
$
10,684
    
$
11,357
  
   
March 31,
    
December 31,
  
   
2015
    
2014
  
Total assets:
        
  Supply Chain Management Group
  
$
216,098
    
$
192,720
  
  Aviation Group
    
277,844
      
-
  
  Federal Services Group
    
38,050
      
36,225
  
  IT, Energy and Management Consulting Group
    
24,722
      
49,790
  
  Corporate/unallocated expenses
    
86,756
      
76,595
  
   Total assets
  
$
643,470
    
$
355,330
  

Customer Information

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

   
Three Months
  
   
ended March 31,
  
   
2015
    
%
    
2014
    
%
  
Source of Revenues
                
                 
U.S. Navy
  
$
21,397
      
17.7
    
$
24,614
      
20.6
  
Army/Army Reserve
    
19,171
      
15.9
      
33,698
      
28.2
  
U.S. Air Force
    
790
      
0.7
      
796
      
0.7
  
Total - DoD
    
41,358
      
34.3
      
59,108
      
49.5
  
                                 
U.S. Postal Service
    
44,180
      
36.6
      
39,329
      
32.9
  
Department of Energy
    
4,444
      
3.7
      
4,626
      
3.9
  
Department of Treasury
    
415
      
0.3
      
8,358
      
7.0
  
Other government
    
6,423
      
5.3
      
7,179
      
6.0
  
Total – Federal civilian agencies
    
55,462
      
45.9
      
59,492
      
49.8
  
                                 
Commercial
    
23,971
      
19.8
      
809
      
0.7
  
                                 
Total
  
$
120,791
      
100.0
    
$
119,409
      
100.0