Quarterly report pursuant to Section 13 or 15(d)

Business Segments and Customer Information

v3.3.0.814
Business Segments and Customer Information
 9 Months Ended
Sep. 30, 2015
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") and direct sales to the United States Postal Service ("USPS") and to other customers.

Aviation Group - Our Aviation Group, formed in January 2015 when we completed the Aviation Acquisition, provides MRO services, parts supply and distribution, and supply chain solutions for general aviation 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 the United States Department of Defense ("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 the IT, Energy and Management Consulting Group reportable segment 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 nine-months ended September 30, 2015 and 2014 is as follows (in thousands):

   
Three months
    
Nine months
  
   
2015
    
2014
    
2015
    
2014
  
Revenues:
                
  Supply Chain Management Group
  
$
50,315
    
$
44,542
    
$
144,429
    
$
127,478
  
  Aviation Group
    
32,976
      
-
      
87,644
      
-
  
  Federal Services Group
    
42,240
      
41,915
      
117,774
      
155,117
  
  IT, Energy and Management Consulting Group
    
11,865
      
15,292
      
39,466
      
46,525
  
    Total revenues
  
$
137,396
    
$
101,749
    
$
389,313
    
$
329,120
  
                                 
Operating income:
                                
  Supply Chain Management Group
  
$
9,235
    
$
6,195
    
$
26,222
    
$
21,713
  
  Aviation Group
    
2,116
      
-
      
6,833
      
-
  
  Federal Services Group
    
1,152
      
(105
)
    
529
      
4,259
  
  IT, Energy and Management Consulting Group
    
1,169
      
1,866
      
3,872
      
5,151
  
  Corporate/unallocated expenses
    
(429
)
    
(773
)
    
(2,033
)
    
(1,880
)
   Operating income
  
$
13,243
    
$
7,183
    
$
35,423
    
$
29,243
  
 
   
September 30,
    
December 31,
  
   
2015
    
2014
  
Total assets:
        
  Supply Chain Management Group
  
$
196,355
    
$
192,720
  
  Aviation Group
    
269,743
      
-
  
  Federal Services Group
    
33,014
      
36,225
  
  IT, Energy and Management Consulting Group
    
47,559
      
49,790
  
  Corporate
    
78,018
      
76,595
  
   Total assets
  
$
624,689
    
$
355,330
  
 
Customer Information

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

   
Three months ended September 30,
    
Nine months ended September 30,
  
 
 
  
2015
    
%
    
2014
    
%
    
2015
    
%
    
2014
    
%
  
Source of Revenues
                                
U.S. Postal Service
  
$
47,356
      
34.5
    
$
43,273
      
42.5
    
$
136,875
      
35.1
    
$
123,865
      
37.6
  
Department of Energy
    
2,817
      
2.0
      
4,791
      
4.7
      
11,923
      
3.1
      
14,340
      
4.4
  
Department of Treasury
    
418
      
0.3
      
263
      
0.3
      
1,405
      
0.4
      
9,194
      
2.8
  
Other government
    
6,861
      
5.0
      
9,197
      
9.0
      
18,085
      
4.6
      
23,664
      
7.2
  
Total – Federal civilian agencies
    
57,452
      
41.8
      
57,524
      
56.5
      
168,288
      
43.2
      
171,063
      
52.0
  
                                                                 
U.S. Navy
    
24,036
      
17.5
      
20,568
      
20.2
      
68,040
      
17.5
      
69,324
      
21.1
  
Army/Army Reserve
    
20,476
      
14.9
      
21,855
      
21.5
      
58,204
      
15.0
      
83,579
      
25.4
  
U.S. Air Force
    
869
      
0.6
      
800
      
0.8
      
2,583
      
0.6
      
2,405
      
0.7
  
Total - DoD
    
45,381
      
33.0
      
43,223
      
42.5
      
128,827
      
33.1
      
155,308
      
47.2
  
                                                                 
Commercial Aviation
    
32,976
      
24.0
      
-
      
-
      
87,644
      
22.5
      
-
      
-
  
Other commercial
    
1,587
      
1.2
      
1,002
      
1.0
      
4,554
      
1.2
      
2,749
      
0.8
  
Commercial
    
34,563
      
25.2
      
1,002
      
1.0
      
92,198
      
23.7
      
2,749
      
0.8
  
                                                                 
Total
  
$
137,396
      
100
    
$
101,749
      
100
    
$
389,313
      
100
    
$
329,120
      
100