Note 16 - Segments

12 Months Ended

Dec. 31, 2024

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

16. SEGMENTS:

The Company reports information based on operating segments identified in accordance with how the chief operating decision maker (“CODM”) evaluates business performance and allocates resources. As of the reporting period, the Company operates with one CODM: W.M. “Rusty” Rush, the Chief Executive Officer, President and Chairman of the Board.

As of the reporting period, 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 in 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 sales, service and collision center facilities; vehicle upfitting 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 CODM 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.

In addition to the Truck Segment, the Company generates revenue from two additional operating segments: Retail Tire Sales and Insurance Services. These operating segments do not meet the quantitative thresholds for separate reporting as specified under the guidance of ASU 2023-07. Therefore, they are consolidated under the “All Other” category in the segment disclosures below. These segments share accounting policies consistent with the summary of significant accounting policies.

There were no material intersegment sales for the years ended December 31, 2024, 2023, or 2022.

	Truck		All
	Segment		Other			Totals
2024
Revenues from external customers	$	7,788,842	$	15,904		$	7,804,746
Cost of products sold		6,271,327		2,003			6,273,330
Controllable expenses		952,973		5,953			958,926
Allocated expenses		96,159		8,240			104,400
Segment operating income (loss)	$	468,383	$	(292	)	$	468,090
Other Income		583		–			583
Interest income		1,166		–			1,166
Interest expense		71,658		366			72,024
Income taxes		92,845		–			92,845
Net income (loss)	$	305,628	$	(658	)	$	304,970
Segment assets		4,561,583		55,964			4,617,547
Goodwill		424,933		2,560			427,493
Capital expenditures		432,400		647			433,047
Depreciation and amortization		68,031		518			68,549

	Truck		All
	Segment		Other			Totals
2023
Revenues from external customers	$	7,909,230	$	15,794		$	7,925,024
Cost of products sold		6,329,629		2,305			6,331,934
Controllable expenses		789,109		4,907			794,016
Allocated expenses		278,117		8,576			286,693
Segment operating income (loss)	$	512,375	$	6		$	512,381
Other Income		2,597		–			2,597
Interest income		777		–			777
Interest expense		53,324		370			53,694
Income taxes		114,000		–			114,000
Net income (loss)	$	348,437	$	(364	)	$	348,061
Segment assets		4,308,264		55,977			4,364,241
Goodwill		418,148		2,560			420,708
Capital expenditures		367,942		939			368,881
Depreciation and amortization		59,373		457			59,830

	Truck		All
	Segment		Other		Totals
2022
Revenues from external customers	$	7,084,849	$	16,821	$	7,101,670
Cost of products sold		5,611,521		2,990		5,614,511
Controllable expenses		790,854		4,016		794,870
Allocated expenses		177,059		9,117		186,176
Segment operating income (loss)	$	505,415		698		506,113
Other Income		22,338		–		22,338
Interest income		639		–		639
Interest expense		19,389		374		19,763
Income taxes		117,242		–		117,242
Net income (loss)	$	391,761	$	324	$	392,085
Segment assets		3,769,007		52,059		3,821,066
Goodwill		413,803		2,560		416,363
Capital expenditures		242,503		557		243,060
Depreciation and amortization		55,354		311		55,665