Segments

9 Months Ended

Sep. 30, 2022

Segment Reporting [Abstract]

SEGMENTS

NOTE 18 — SEGMENTS

The Company has two reportable segments: Material Handling and Construction Equipment. The Company’s segments are determined based on management structure, which is organized based on types of products sold, as described in the following paragraph. The operating results for each segment are reported separately to the Company’s Chief Executive Officer to make decisions regarding the allocation of resources, to assess the Company’s operating performance and to make strategic decisions.

The Material Handling segment is principally engaged in operations related to the sale, service, and rental of lift trucks and other material handling equipment in Michigan, Illinois, Indiana, New York (including New York City), Virginia and the New England region (including Boston) of the United States as well as Ontario and Quebec provinces of Canada. As of September 30, 2022, the Material Handling segment included the YIT acquisition and its related results since the acquisition during the quarter.

The Construction Equipment segment is principally engaged in operations related to the sale, service, and rental of construction equipment in Michigan, Illinois, Indiana, Ohio, New York, Florida and the New England region (including Boston) of the United States.

The Company retains various unallocated expense items at the general corporate level, which the Company refers to as “Corporate” in the table below. Corporate holds corporate debt and has minor activity all together. Corporate incurs expenses associated with compensation (including share-based compensation) of our directors, corporate officers and certain members of our shared-services leadership team, consulting and legal fees related to acquisitions and capital raising activities, corporate governance and compliance related matters, certain corporate development related expenses, interest expense associated with original issue discounts and deferred financing cost related to previous capital raises, and a portion of the Company’s income tax provision.

The following table presents the Company’s results of operations by reportable segment for the three months ended September 30, 2022 (amounts in millions):

	Three Months Ended September 30, 2022
	Material Handling		Construction Equipment		Corporate			Total
New and used equipment sales	$	83.7	$	126.4	$	—		$	210.1
Parts sales		22.3		39.5		—			61.8
Service revenue		29.6		24.7		—			54.3
Rental revenue		17.7		32.5		—			50.2
Rental equipment sales		2.0		26.6		—			28.6
Total revenues	$	155.3	$	249.7	$	—		$	405.0
Interest expense		3.1		4.8		0.6			8.5
Depreciation and amortization		7.2		22.4		—			29.6
Income (loss) before taxes		4.6		5.7		(4.9	)		5.4

The following table presents the Company’s results of operations by reportable segment for the nine months ended September 30, 2022 (amounts in millions):

	Nine Months Ended September 30, 2022
	Material Handling		Construction Equipment		Corporate			Total
New and used equipment sales	$	222.7	$	356.3	$	—		$	579.0
Parts sales		61.6		111.9		—			173.5
Service revenue		83.2		71.0		—			154.2
Rental revenue		44.7		86.8		—			131.5
Rental equipment sales		4.2		100.8		—			105.0
Total revenues	$	416.4	$	726.8	$	—		$	1,143.2
Interest expense		8.0		12.1		1.3			21.4
Depreciation and amortization		18.6		62.5		—			81.1
Income (loss) before taxes		13.5		9.9		(12.6	)		10.8

The following table presents the Company’s results of operations by reportable segment for the three months ended September 30, 2021 (amounts in millions):

	Three Months Ended September 30, 2021
	Material Handling		Construction Equipment			Corporate			Total
New and used equipment sales	$	57.2	$	79.6		$	—		$	136.8
Parts sales		16.8		28.0			—			44.8
Service revenue		23.7		18.2			—			41.9
Rental revenue		12.6		29.1			—			41.7
Rental equipment sales		—		29.8			—			29.8
Total revenues	$	110.3	$	184.7		$	—		$	295.0
Interest expense		2.0		3.5			0.6			6.1
Depreciation and amortization		4.9		20.0			—			24.9
Income (loss) before taxes		3.4		(0.3	)		(3.0	)		0.1

The following table presents the Company’s results of operations by reportable segment for the nine months ended September 30, 2021 (amounts in millions):

	Nine Months Ended September 30, 2021
	Material Handling		Construction Equipment			Corporate			Total
New and used equipment sales	$	174.7	$	217.9		$	—		$	392.6
Parts sales		47.7		82.6			—			130.3
Service revenue		70.4		52.6			—			123.0
Rental revenue		35.1		77.9			—			113.0
Rental equipment sales		0.8		96.8			—			97.6
Total revenues	$	328.7	$	527.8		$	—		$	856.5
Interest expense		6.2		10.3			1.4			17.9
Depreciation and amortization		14.1		56.1			—			70.2
Income (loss) before taxes		6.6		(5.3	)		(21.1	)		(19.8	)

The following table presents the Company’s identified assets by reportable segment as of September 30, 2022 and December 31, 2021 (amounts in millions):

	September 30, 2022		December 31, 2021
Segment assets:
Material handling	$	392.1	$	325.1
Construction equipment		735.5		655.8
Corporate		15.0		1.7
Total assets	$	1,142.6	$	982.6