Note 7 - Segment Information

9 Months Ended

Sep. 30, 2020

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

7 – Segment Information

The Company currently has one reportable business segment - the Truck Segment. The Truck Segment includes the Company’s operation of a nationwide network of commercial vehicle dealerships that provide an integrated one-stop source for the commercial vehicle needs of its customers, including retail sales of new and used commercial vehicles; aftermarket parts, service and collision center facilities; and financial services, including the financing of new and used commercial vehicle purchases, insurance products and truck leasing and rentals. The commercial vehicle dealerships are deemed a single reporting unit because they have similar economic characteristics. The Company’s chief operating decision maker considers the entire Truck Segment, not individual dealerships or departments within its dealerships, when making decisions about resources to be allocated to the segment and assessing its performance.

The Company also has revenues attributable to three other operating segments. These segments include a retail tire company, an insurance agency and a guest ranch operation and are included in the All Other column below. None of these segments has ever met any of the quantitative thresholds for determining reportable segments.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The Company evaluates performance based on operating income.

The following table contains summarized information about reportable segment revenues, segment income or loss from continuing operations and segment assets for the periods ended September 30, 2020 and 2019 (in thousands):

	Truck Segment		All Other			Total
As of and for the three months ended September 30, 2020
Revenues from external customers	$	1,174,662	$	3,906		$	1,178,568
Segment operating income		42,714		154			42,868
Segment income before taxes		43,844		84			43,928
Segment assets		2,965,188		45,501			3,010,689
For the nine months ended September 30, 2020
Revenues from external customers	$	3,456,780	$	10,963		$	3,467,743
Segment operating income		100,842		224			101,066
Segment income before taxes		98,097		12			98,109
As of and for the three months ended September 30, 2019
Revenues from external customers	$	1,595,285	$	3,980		$	1,599,265
Segment operating income (loss)		58,642		(319	)		58,323
Segment income before taxes		51,250		960			52,210
Segment assets		3,364,895		40,359			3,405,254
For the nine months ended September 30, 2019
Revenues from external customers	$	4,479,972	$	12,171		$	4,492,143
Segment operating income		176,963		19			176,982
Segment income before taxes		155,024		1,154			156,178