Note E - Business Segments

9 Months Ended

Mar. 25, 2016

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

E . Business Segments

The Company and its subsidiaries are engaged in the manufacture and sale of marine and heavy-duty off-highway power transmission equipment. Principal products include marine transmissions, surface drives, propellers and boat management systems, as well as power-shift transmissions, hydraulic torque converters, power take-offs, industrial clutches and controls systems. The Company sells to both domestic and foreign customers in a variety of market areas, principally pleasure craft, commercial and military marine markets, as well as in the energy and natural resources, government and industrial markets.

The Company has two reportable segments: manufacturing and distribution. These segments are managed separately because each provides different services and requires different technology and marketing strategies. The accounting practices of the segments are the same as those described in the summary of significant accounting policies. Transfers among segments are at established inter-company selling prices. Management evaluates the performance of its segments based on net earnings.

Information about the Company’s segments is summarized as follows:

	For the Quarter Ended						For the Three Quarters Ended
	Mar. 25, 2016			Mar. 27, 2015			Mar. 25, 2016			Mar. 27, 2015
Net sales
Manufacturing segment sales	$	36,865		$	54,519		$	105,903		$	178,143
Distribution segment sales		17,566			26,261			54,372			79,247
Inter/Intra segment elimination - manufacturing		(10,154	)		(16,441	)		(28,034	)		(50,902	)
Inter/Intra segment elimination – distribution		(2,843	)		(3,398	)		(8,606	)		(8,032	)
	$	41,434		$	60,941		$	123,635		$	198,456
Net (loss) earnings attributable to Twin Disc
Manufacturing segment net (loss) earnings	$	(654	)	$	3,589		$	(4,610	)	$	12,793
Distribution segment net (loss) earnings		(433	)		1,341			7			4,297
Corporate and eliminations		124			(1,984	)		(2,983	)		(6,354	)
	$	(963	)	$	2,946		$	(7,586	)	$	10,736

Assets	Mar. 25, 2016			June 30, 2015
Manufacturing segment assets	$	221,199		$	254,749
Distribution segment assets		50,982			53,759
Corporate assets and elimination of intercompany assets		(53,771	)		(58,646	)
	$	218,410		$	249,862