Segment Reporting

12 Months Ended

Dec. 31, 2019

Segment Reporting [Abstract]

SEGMENT REPORTING

Note 17. SEGMENT REPORTING

In accordance with FASB ASC 280, "Segment Reporting" ("ASC 280"), the Company discloses financial and descriptive information about its reportable operating segments. Operating segments are components of an enterprise about which separate financial information is available and regularly evaluated by the chief operating decision maker in deciding how to allocate resources and in assessing performance.

The Company follows ASC 280, which establishes standards for reporting information about operating segments in annual and interim financial statements, and requires that companies report financial and descriptive information about their reportable segments based on a management approach. ASC 280 also establishes standards for related disclosures about products and services, geographic areas and major customers.

The Company currently divides its operations into two operating segments: Complex Machining which consists of AIM and NTW and Turbine Engine Components which consists of Sterling. Along with its operating subsidiaries, the Company reports the results of our corporate division as an independent segment.

The accounting policies of each of the segments are the same as those described in the Summary of Significant Accounting Policies. Intersegment transfers are recorded at the transferors cost, and there is no intercompany profit or loss on intersegment transfers. We evaluate performance based on revenue, gross profit contribution and assets employed.

Financial information about the Company's reporting segments for the years ended December 31, 2019 and 2018 are as follows:

	Year Ended December 31,
	2019			2018
COMPLEX MACHINING
Net Sales	$	48,226,000		$	39,745,000
Gross Profit		8,669,000			5,871,000
Pre Tax Income (Loss)		5,266,000			(75,000	)
Assets		45,268,000			41,947,000
TURBINE ENGINE COMPONENTS
Net Sales		6,347,000			4,785,000
Gross Profit (Loss)		473,000			(426,000	)
Pre Tax Loss		(500,000	)		(1,385,000	)
Assets		5,005,000			5,243,000
CORPORATE
Net Sales		-			-
Gross Profit		-			-
Pre Tax Loss		(7,327,000	)		(7,091,000	)
Assets		817,000			566,000
CONSOLIDATED
Net Sales		54,573,000			44,530,000
Gross Profit		9,142,000			5,445,000
Pre Tax Loss		(2,561,000	)		(8,551,000	)
Provision for Income Taxes		37,000			-
Loss from Discontinued Operations		(134,000	)		(2,441,000	)
Net Loss		(2,732,000	)		(10,992,000	)
Assets	$	51,090,000		$	47,756,000