Segment And Geographic Information

6 Months Ended

Jun. 30, 2017

Segment And Geographic Information [Abstract]

Segment And Geographic Information

(15)  Segment and Geographic Information

The Company organizes itself by the nature of the services it provides which includes equipment leasing (consisting of container leasing and rail leasing) and logistics.

The container leasing segment is aggregated with equipment management and derives its revenue from the ownership and leasing of containers and fees earned for managing container portfolios on behalf of third party investors. The rail leasing segment derives its revenue from the ownership and leasing of railcars. The logistics segment derives its revenue from the provision of logistics services. There are no inter-segment revenues.

With the exception of administrative expenses, operating expenses are directly attributable to each segment. Administrative expenses that are not directly attributable to a segment are allocated to container or rail leasing based on the net book value of equipment in each segment.

The following tables show condensed segment information for the three and six months ended June 30, 2017 and 2016, reconciled to the Company’s income before income taxes and non-controlling interest as shown in its consolidated statements of income for such periods (in thousands):

	Three Months Ended June 30, 2017
	Container Leasing		Rail Leasing		Logistics		Total
Total revenue	$	54,960	$	8,127	$	19,605	$	82,692
Total operating expenses		32,234		5,375		20,315		57,924
Operating income (loss)		22,726		2,752		(710)		24,768
Total other expenses		9,395		2,778		-		12,173
Income (loss) before income taxes and non-controlling interest	$	13,331	$	(26)	$	(710)	$	12,595
Goodwill	$	-	$	-	$	15,794	$	15,794
Total assets	$	1,684,166	$	386,648	$	39,890	$	2,110,704
Purchase of rental equipment (1)	$	76,479	$	3,998	$	-	$	80,477

CAI INTERNATIONAL, INC.

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

	Three Months Ended June 30, 2016
	Container Leasing		Rail Leasing		Logistics		Total
Total revenue	$	51,669	$	7,591	$	12,382	$	71,642
Total operating expenses		40,048		4,202		12,534		56,784
Operating income (loss)		11,621		3,389		(152)		14,858
Total other expenses		9,274		1,509		-		10,783
Income (loss) before income taxes and non-controlling interest	$	2,347	$	1,880	$	(152)	$	4,075
Goodwill	$	-	$	-	$	15,482	$	15,482
Total assets	$	1,672,310	$	323,456	$	39,361	$	2,035,127
Purchase of rental equipment (1)	$	28,235	$	56,160	$	-	$	84,395

	Six Months Ended June 30, 2017
	Container Leasing		Rail Leasing		Logistics		Total
Total revenue	$	107,914	$	16,180	$	40,104	$	164,198
Total operating expenses		69,518		10,504		41,457		121,479
Operating income (loss)		38,396		5,676		(1,353)		42,719
Total other expenses		18,809		5,349		1		24,159
Income (loss) before income taxes and non-controlling interest	$	19,587	$	327	$	(1,354)	$	18,560
Purchase of rental equipment (1)	$	113,973	$	14,620	$	-	$	128,593

	Six Months Ended June 30, 2016
	Container Leasing		Rail Leasing		Logistics		Total
Total revenue	$	103,214	$	14,848	$	20,546	$	138,608
Total operating expenses		76,335		7,996		20,963		105,294
Operating income (loss)		26,879		6,852		(417)		33,314
Total other expenses		18,044		2,911		-		20,955
Income (loss) before income taxes and non-controlling interest	$	8,835	$	3,941	$	(417)	$	12,359
Purchase of rental equipment (1)	$	48,453	$	81,786	$	-	$	130,239

(1)  Represents cash disbursements for purchasing of rental equipment as reflected in the consolidated statements of cash flows for the periods indicated.

Geographic Data

The Company earns its revenue primarily from intermodal containers which are deployed by its customers in a wide variety of global trade routes. Virtually all of the Company’s containers are used internationally and typically no container is domiciled in one particular place for a prolonged period of time. As such, substantially all of the Company’s long-lived assets are considered to be international, with no single country of use.

The Company’s railcars, with a net book value of $379.5 million as of June 30, 2017, are used primarily to transport cargo within North America.

CAI INTERNATIONAL, INC.

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

The following table represents the geographic allocation of revenue for the periods indicated based on customers’ primary domicile (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2017		2016		2017		2016
United States	$	29,567	$	22,137	$	60,077	$	39,379
France		8,238		7,349		16,662		14,309
Switzerland		6,413		5,060		11,905		10,009
Japan		5,036		5,273		10,067		11,438
Singapore		5,012		4,286		9,324		8,640
Korea		4,497		3,703		8,265		7,542
Other Asia		10,715		10,648		21,463		21,291
Other Europe		11,276		10,303		21,089		20,188
Other International		1,938		2,883		5,346		5,812
Total revenue	$	82,692	$	71,642	$	164,198	$	138,608