v3.24.2
Note 9 - Business Segments
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]

NOTE 9 – BUSINESS SEGMENTS

 

We identify our reportable segments based on our management structure and the financial data utilized by our chief operating decision maker to assess segment performance and allocate resources among our operating units. We have two reportable segments: Fleet Vehicles and Services and Specialty Vehicles.

 

We evaluate the performance of our reportable segments based on Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) and it is calculated by excluding items that we believe to be infrequent or not indicative of our underlying operating performance, as well as certain non-cash expenses. We define Adjusted EBITDA as income before interest, income taxes, depreciation and amortization, as adjusted to eliminate the impact of restructuring charges, acquisition related expenses and adjustments, non-cash stock-based compensation expenses, and other gains and losses not reflective of our ongoing operations.

 

Our FVS segment focuses on designing and manufacturing walk-in vans for parcel delivery, trades, and construction industries, the production of commercial truck bodies, and the distribution of related aftermarket parts and accessories.

 

Our SV segment consists of service bodies operations, operations that engineer and manufacture motorhome chassis, other specialty chassis and distributes related aftermarket parts and assemblies. We also provide vocation-specific equipment upfit services, which are marketed and sold under the Strobes-R-Us brand.

 

The accounting policies of the segments are the same as those described, or referred to, in “Note 1 – Nature of Operations and Basis of Presentation.” Assets and related depreciation expense in the column labeled “Eliminations and Other” pertain to capital assets maintained at the corporate level. Eliminations for inter-segment sales are shown in the column labeled “Eliminations and Other.” Adjusted EBITDA in the “Eliminations and Other” column contains corporate related expenses not allocable to the operating segments. Interest expense and Income tax expense are not included in the information utilized by the chief operating decision maker to assess segment performance and allocate resources, and accordingly, are excluded from the segment results presented below.

 

  

Three Months Ended

June 30, 2024

 
  Segment 
  

FVS

  

SV

  

Eliminations

and Other

  

Consolidated

 
                 

Fleet vehicle sales

 $92,244  $-  $-  $92,244 

Motorhome chassis sales

  -   18,946   -   18,946 

Other specialty vehicle sales

  -   58,062   76   58,138 

Aftermarket parts and accessories sales

  17,596   5,856   -   23,452 

Total sales

 $109,840  $82,864  $76  $192,780 
                 

Depreciation and amortization expense

 $2,016  $1,543  $1,216  $4,775 

Adjusted EBITDA

  8,368   17,549   (13,445)  12,472 

Segment assets

  219,306   204,030   74,232   497,568 

Capital expenditures  

  578   193   1,449   2,220 

  

  

Three Months Ended

June 30, 2023

 
  Segment 
  

FVS

  

SV

  

Eliminations

and Other

  

Consolidated

 
                 

Fleet vehicle sales

 $125,291  $-  $-  $125,291 

Motorhome chassis sales

  -   30,099   -   30,099 

Other specialty vehicle sales

  -   51,652   (1,443)  50,209 

Aftermarket parts and accessories sales

  13,692   5,810   -   19,502 

Total sales

 $138,983  $87,561  $(1,443) $225,101 
                 

Depreciation and amortization expense

 $1,641  $1,700  $845  $4,186 

Adjusted EBITDA

  12,468   17,367   (13,968)  15,867 

Segment assets

  252,352   194,718   48,776   495,846 

Capital expenditures  

  1,702   438   5,137   7,277 

  

 

  

Six Months Ended

June 30, 2024

 
  Segment 
  

FVS

  

SV

  

Eliminations

and Other

  

Consolidated

 
                 

Fleet vehicle sales

 $187,722  $-  $-  $187,722 

Motorhome chassis sales

  -   49,717   -   49,717 

Other specialty vehicle sales

  -   111,467   76   111,543 

Aftermarket parts and accessories sales

  29,877   11,810   -   41,687 

Total sales

 $217,599  $172,994  $76  $390,669 
                 

Depreciation and amortization expense

 $3,769  $3,085  $2,356  $9,210 

Adjusted EBITDA

  9,303   34,522   (25,265)  18,560 

Segment assets

  219,306   204,030   74,232   497,568 

Capital expenditures  

  1,363   606   2,392   4,361 

  

  

Six Months Ended

June 30, 2023

 
  Segment 
  

FVS

  

SV

  

Eliminations

and Other

  

Consolidated

 
                 

Fleet vehicle sales

 $272,570  $-  $-  $272,570 

Motorhome chassis sales

  -   58,059   -   58,059 

Other specialty vehicle sales

  -   106,349   (4,624)  101,725 

Aftermarket parts and accessories sales

  25,846   10,340   -   36,186 

Total sales

 $298,416  $174,748  $(4,624) $468,540 
                 

Depreciation and amortization expense

 $2,979  $3,379  $1,692  $8,050 

Adjusted EBITDA

  24,941   31,219   (29,505)  26,655 

Segment assets

  252,352   194,718   48,776   495,846 

Capital expenditures  

  3,567   1,179   7,435   12,181