Note 16 - Segment Information

12 Months Ended

Dec. 31, 2017

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

( 16 ) SEGMENT INFORMATION

As discussed in Note

1,

during

2016,

we reorganized our business from

three

product segments (Thermal Products, Mechanical Products and Electrical Products) into

two

product segments (Thermal and EMS). Accordingly, effective

January 1, 2017,

we have

two

reportable segments, which are also our reporting units. Prior period information has been reclassified to be comparable to the presentation for

2017.

Thermal includes the operations of Temptronic, Thermonics, Sigma, inTEST Thermal Solutions GmbH (Germany), inTEST Pte, Limited (Singapore) and Ambrell, which we acquired in

May 2017,

as discussed in Note

3.

Sales of this segment consist primarily of temperature management systems which we design, manufacture and market under our Temptronic, Thermonics and Sigma product lines, and precision induction heating systems which are designed, manufactured and marketed by Ambrell. In addition, this segment provides post-warranty service and support.

EMS includes the operations of our manufacturing facilities in Mt. Laurel, New Jersey and Fremont, California. Sales of this segment consist primarily of manipulator, docking hardware and tester interface products, which we design, manufacture and market.

We operate our business worldwide and sell our products both domestically and internationally. Both of our segments sell to semiconductor manufacturers,

third

-party test and assembly houses and ATE manufacturers. Thermal also sells into a variety of markets outside of the ATE market, including the automotive, consumer electronics, consumer product packaging, defense/aerospace, energy, fiber optics, industrial, telecommunications and other markets.

	Years Ended December 31,
	2017			2016
Net revenues from unaffiliated customers:
Ther mal	$	42,233		$	24,033
EMS		24,568			16,194
	$	66,801		$	40,227
Depreciation/amortization:
Ther mal	$	1,628		$	440
EMS		151			159
	$	1,779		$	599
Operating income (loss):
Ther mal	$	(822	)	$	4,210
EMS		6,830			989
Corporate		(2,397	)		(1,053	)
	$	3,611		$	4,146
Earnings (loss) before income tax expense (benefit):
Ther mal	$	(686	)	$	4,193
EMS		6,869			1,021
Corporate		(2,345	)		(1,007	)
	$	3,838		$	4,207
Income tax expense (benefit):
Ther mal	$	1,665		$	1,544
EMS		1,819			376
Corporate		(621	)		(371	)
	$	2,863		$	1,549
Net earnings (loss):
Ther mal	$	(2,351	)	$	2,649
EMS		5,050			645
Corporate		(1,724	)		(636	)
	$	975		$	2,658

	Years Ended December 31,
	2017		2016
Capital expenditures:
Ther mal	$	659	$	262
EMS		86		77
	$	745	$	339

	December 31,
	2017		2016
Identifiable assets:
Ther mal	$	50,408	$	19,893
EMS		12,085		22,951
	$	62,493	$	42,844

The following table provides information about our geographic areas of operation. Net revenues from unaffiliated customers are based on the location to which the goods are shipped.

	Years Ended December 31,
	2017		2016
Net revenues from unaffiliated customers:
U.S.	$	20,205	$	13,061
Foreign		46,596		27,166
	$	66,801	$	40,227

	December 31,
	2017		2016
Property and equipment:
U.S.	$	991	$	691
Foreign		550		253
	$	1,541	$	944