Reportable Operating Segments

3 Months Ended

Mar. 31, 2015

Reportable Operating Segments

Reportable Operating Segments

Note 20—Reportable Operating Segments

In the third quarter 2014, the Company reorganized its business segments to match the change in the Company’s internal organization and management structure. All prior period amounts related to the segment change have been retrospectively reclassified to conform to the new presentation. The following is a brief description of each of the Company’s reportable segments and business activities.

The West segment includes the underground and industrial operations and construction services performed by ARB, ARB Structures, Inc., Rockford, Alaska Continental Pipeline, Inc., Q3C, Primoris Renewables, LLC, Juniper Rock Corporation, and Vadnais, acquired in June 2014.  Most of the entities perform work primarily in California; however, Rockford operates throughout the United States and Q3C operates in Colorado and the upper Midwest United States. The Blythe joint venture is also included as a part of the segment.  The West segment consists of businesses headquartered primarily in the western United States.

The East segment includes the JCG Heavy Civil division, the JCG Infrastructure and Maintenance division, BW Primoris and the Cardinal Contractors, Inc. construction business, located primarily in the southeastern United States and in the Gulf Coast region of the United States.

The Energy segment businesses are located primarily in the southeastern United States, the Gulf Coast region and the upper Midwest region of the United States. The segment includes the operations of the PES pipeline and gas facility construction and maintenance operations, the JCG Industrial division and the newly acquired Primoris AV, Surber and Ram-Fab operations. Additionally, the segment includes the OnQuest, Inc. and OnQuest Canada, ULC operations for the design and installation of LNG facilities and high-performance furnaces and heaters for the oil refining, petrochemical and power generation industries.

All intersegment revenues and gross profit, which were immaterial, have been eliminated in the following tables.

Segment Revenues

Revenue by segment for the three months ended March 31, 2015 and 2014 were as follows:

	For the three months ended March 31,
	2015				2014
Segment	Revenue		% of Segment Revenue		Revenue		% of Segment Revenue
West	$	186,385	47.5	%	$	234,027	49.8	%
East	123,700		31.5	%	106,970		22.8	%
Energy	82,695		21.0	%	129,077		27.4	%
Total	$	392,780	100.0	%	$	470,074	100.0	%

Segment Gross Profit

Gross profit by segment for the three months ended March 31, 2015 and 2014 were as follows:

	For the three months ended March 31,
	2015				2014
Segment	Gross Profit		% of Segment Revenue		Gross Profit		% of Segment Revenue
West	$	21,464	11.5	%	$	31,674	13.5	%
East	9,108		7.4	%	6,758		6.3	%
Energy	7,433		9.0	%	11,325		8.8	%
Total	$	38,005	9.7	%	$	49,757	10.6	%

Segment Goodwill

The following presents the amount of goodwill recorded by segment at March 31, 2015 and at December 31, 2014.

Segment	March 31, 2015		December 31, 2014
West	$	45,239	$	45,239
East	43,267		43,267
Energy	40,221		30,904
Total	$	128,727	$	119,410

Geographic Region — Revenues and Total Assets

The majority of the Company’s revenues are derived from customers in the United States, and less than 1% is generated from sources outside of the United States. Approximately 1% of total assets were located outside of the United States.