Note 16 - Segments

12 Months Ended

Dec. 31, 2021

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

16. SEGMENTS:

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 Company accounts for intersegment sales and transfers as if the sales or transfers were to third parties, that is, at current market prices. There were no material intersegment sales during the years ended December 31, 2021, 2020 or 2019.

The following table contains summarized information about reportable segment revenue, segment income or loss from continuing operations and segment assets for the periods ended December 31, 2021, 2020 and 2019 (in thousands):

	Truck		All
	Segment		Other			Totals
2021
Revenues from external customers	$	5,109,070	$	17,072		$	5,126,142
Interest income		657		–			657
Interest expense		2,119		308			2,427
Depreciation and amortization		53,096		258			53,354
Segment operating income		307,394		1,642			309,036
Segment income from continuing operations before taxes		312,350		1,333			313,683
Segment assets		3,068,365		51,612			3,119,977
Goodwill		367,771		2,560			370,331
Expenditures for segment assets		163,624		3,553			167,177
2020
Revenues from external customers	$	4,721,058	$	14,882		$	4,735,940
Interest income		713		–			713
Interest expense		9,444		283			9,727
Depreciation and amortization		57,162		294			57,456
Segment operating income		153,841		764			154,605
Segment income from continuing operations before taxes		151,222		501			151,723
Segment assets		2,939,390		46,003			2,985,393
Goodwill		289,582		2,560			292,142
Expenditures for segment assets		135,956		244			136,200
2019
Revenues from external customers	$	5,794,155	$	15,692		$	5,809,847
Interest income		1,680		–			1,680
Interest expense		30,201		286			30,487
Depreciation and amortization		55,036		336			55,372
Segment operating income (loss)		216,691		(286	)		216,405
Segment income from continuing operations before taxes		188,122		1,401			189,523
Segment assets		3,369,517		37,812			3,407,329
Goodwill		289,582		2,560			292,142
Expenditures for segment assets		292,980		513			293,493