Note 6 - Segment Information

6 Months Ended

Jun. 30, 2025

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

6 – Segment Information

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.

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 segment operating income, 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 June 30, 2025 and 2024 (in thousands):

	Truck Segment			All Other			Totals
As of and for the three months ended June 30, 2025
Revenues from external customers	$	1,926,222		$	4,485		$	1,930,707
Cost of products sold		1,550,455			581			1,551,036
Controllable expenses		219,008			2,407			221,415
Allocated expenses		47,110			941			48,050
Segment operating income (loss)	$	109,649		$	556		$	110,206
Other Income		(372	)		-			(372	)
Interest income		365			-			365
Interest expense		13,000			91			13,091
Income taxes		24,119			-			24,119
Net income (loss)	$	72,523		$	465		$	72,989
Segment assets		4,653,484			62,290			4,715,774
Capital expenditures		125,146			526			125,672
Depreciation and amortization		17,463			148			17,611
As of and for the six months ended June 30, 2025
Revenues from external customers	$	3,773,566		$	7,971		$	3,781,537
Cost of products sold		3,043,162			945			3,044,106
Controllable expenses		436,216			3,751			439,968
Allocated expenses		92,428			2,962			95,388
Segment operating income (loss)	$	201,760		$	315		$	202,075
Other Income		(812	)		-			(812	)
Interest income		1,039			-			1,039
Interest expense		26,447			182			26,629
Income taxes		42,068			-			42,068
Net income (loss)	$	133,473		$	133		$	133,606
Segment assets		4,653,484			62,290			4,715,774
Capital expenditures		238,460			526			238,986
Depreciation and amortization		34,578			288			34,867
As of and for the three months ended June 30, 2024
Revenues from external customers	$	2,022,756		$	4,272		$	2,027,028
Cost of products sold		1,634,108			531			1,634,639
Controllable expenses		217,818			1,719			219,537
Allocated expenses		46,277			2,095			48,372
Segment operating income (loss)	$	124,553		$	(73	)	$	124,481
Other Income		44			-			44
Interest income		342			-			342
Interest expense		19,713			92			19,806
Income taxes		26,278			-			26,278
Net income (loss)	$	78,948		$	(165	)	$	78,783
Segment assets		4,446,418			60,108			4,506,526
Capital expenditures		100,048			-			100,048
Depreciation and amortization		16,363			129			16,492
As of and for the six months ended June 30, 2024
Revenues from external customers	$	3,890,803		$	8,224		$	3,899,027
Cost of products sold		3,115,761			1,002			3,116,763
Controllable expenses		447,433			3,217			450,649
Allocated expenses		92,269			4,254			96,524
Segment operating income (loss)	$	235,340		$	(249	)	$	235,091
Other Income		221			-			221
Interest income		543			-			543
Interest expense		37,796			184			37,980
Income taxes		47,603			-			47,603
Net income (loss)	$	150,705		$	(433	)	$	150,272
Segment assets		4,446,418			60,108			4,506,526
Capital expenditures		193,178			-			193,178
Depreciation and amortization		31,985			257			32,242