Note 7 - Segment Information

9 Months Ended

Sep. 30, 2022

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 network of commercial vehicle dealerships throughout the United States and Ontario, Canada 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 income before income taxes, not including extraordinary items.

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, 2022 and 2021 (in thousands):

	Truck Segment		All Other		Total
As of and for the three months ended September 30, 2022
Revenues from external customers	$	1,859,823	$	4,463	$	1,864,286
Segment operating income		126,770		267		127,037
Segment income before taxes		120,373		174		120,547
Segment assets		3,688,151		54,428		3,742,579
For the nine months ended September 30, 2022
Revenues from external customers	$	5,205,802	$	12,927	$	5,218,729
Segment operating income		368,596		963		369,559
Segment income before taxes		380,397		682		381,079
As of and for the three months ended September 30, 2021
Revenues from external customers	$	1,261,885	$	4,636	$	1,266,521
Segment operating income		89,841		328		90,169
Segment income before taxes		91,595		254		91,849
Segment assets		2,722,614		54,715		2,777,329
For the nine months ended September 30, 2021
Revenues from external customers	$	3,801,675	$	12,667	$	3,814,342
Segment operating income		217,953		1,232		219,185
Segment income before taxes		222,218		1,017		223,235