Note 16 - Operating Segments

9 Months Ended

Nov. 30, 2020

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

NOTE

16

– OPERATING SEGMENTS

The Company classifies its business interests into

five

reportable segments: Franchising, Manufacturing, Retail Stores, U-Swirl operations and Other. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note

1

to these consolidated financial statements and Note

1

to the Company's consolidated financial statements included in the Company's Annual Report on Form

10

-K for the fiscal year ended

February

29,

2020.

The Company evaluates performance and allocates resources based on operating contribution, which excludes unallocatedcorporate general and administrative costs and income tax expense or benefit. The Company's reportable segments are strategic businesses that utilize common merchandising, distribution and marketing functions, as well as common information systems and corporate administration. All inter-segment sales prices are market based. Each segment is managed separately because of the differences in required infrastructure and the difference in products and services:

Three Months Ended November 30, 2020	Franchising			Manufacturing			Retail		U-Swirl			Other			Total
Total revenues	$	934,793		$	5,880,361		$	273,378	$	451,466		$	-		$	7,539,998
Intersegment revenues		(1,145	)		(309,986	)		-		-			-			(311,131	)
Revenue from external customers		933,648			5,570,375			273,378		451,466			-			7,228,867
Segment profit (loss)		274,748			986,763			35,935		(30,060	)		(571,278	)		696,108
Total assets		1,232,759			10,647,718			640,383		5,036,284			10,723,870			28,281,014
Capital expenditures		-			16,830			-		-			9,376			26,206
Total depreciation & amortization	$	8,998		$	161,902		$	1,393	$	134,773		$	19,506		$	326,572

Three Months Ended November 30, 2019	Franchising			Manufacturing			Retail			U-Swirl		Other			Total
Total revenues	$	1,110,143		$	6,100,755		$	260,002		$	757,475	$	-		$	8,228,375
Intersegment revenues		(671	)		(314,452	)		-			-		-			(315,123	)
Revenue from external customers		1,109,472			5,786,303			260,002			757,475		-			7,913,252
Segment profit (loss)		427,705			1,001,264			(4,649	)		455		(1,518,634	)		(93,859	)
Total assets		1,189,288			12,346,000			1,046,795			5,540,055		9,055,397			29,177,535
Capital expenditures		16,223			347,310			(7,837	)		2,324		25,330			383,350
Total depreciation & amortization	$	11,909		$	151,771		$	2,572		$	175,359	$	22,581		$	364,192

Nine Months Ended November 30, 2020	Franchising			Manufacturing			Retail			U-Swirl			Other			Total
Total revenues	$	2,230,132		$	11,941,869		$	527,061		$	1,300,326		$	-		$	15,999,388
Intersegment revenues		(2,555	)		(738,127	)		-			-			-			(740,682	)
Revenue from external customers		2,227,577			11,203,742			527,061			1,300,326			-			15,258,706
Segment profit (loss)		189,964			692,962			(419,967	)		(475,875	)		(4,036,968	)		(4,049,884	)
Total assets		1,232,759			10,647,718			640,383			5,036,284			10,723,870			28,281,014
Capital expenditures		150			42,027			72			1,712			33,098			77,059
Total depreciation & amortization	$	29,231		$	486,254		$	6,188		$	422,545		$	60,321		$	1,004,539

Nine Months Ended November 30, 2019	Franchising			Manufacturing			Retail			U-Swirl		Other			Total
Total revenues	$	4,054,989		$	16,681,908		$	758,083		$	3,040,031	$	-		$	24,535,011
Intersegment revenues		(3,278	)		(807,212	)		-			-		-			(810,490	)
Revenue from external customers		4,051,711			15,874,696			758,083			3,040,031		-			23,724,521
Segment profit (loss)		1,874,593			3,125,311			(11,683	)		576,499		(3,467,032	)		2,097,688
Total assets		1,189,288			12,346,000			1,046,795			5,540,055		9,055,397			29,177,535
Capital expenditures		24,723			732,989			24,787			3,997		77,874			864,370
Total depreciation & amortization	$	33,093		$	453,751		$	7,715		$	551,336	$	68,783		$	1,114,678