BUSINESS SEGMENTS

3 Months Ended

Mar. 31, 2013

Segment Reporting [Abstract]

BUSINESS SEGMENTS

BUSINESS SEGMENTS

Our business is organized in the following three segments:  Explosive Metalworking, Oilfield Products, and AMK Welding. The Explosive Metalworking segment uses explosives to perform metal cladding and shock synthesis of industrial diamonds. The most significant product of this group is clad metal which is used in the fabrication of pressure vessels, heat exchangers, and transition joints for various industries, including upstream oil and gas, oil refinery, petrochemicals, hydrometallurgy, aluminum production, shipbuilding, power generation, industrial refrigeration, and similar industries.  The Oilfield Products segment manufactures, markets and sells oilfield perforating equipment and explosives, including detonating cords, detonators, bi-directional boosters and shaped charges, and seismic related explosives and accessories.  AMK Welding utilizes a number of welding technologies to weld components for manufacturers of jet engine and ground-based turbines.

The accounting policies of all the segments are the same as those described in the summary of significant accounting policies included herein and in our Annual Report on Form 10-K for the year ended December 31, 2012.  Our reportable segments are separately managed strategic business units that offer different products and services. Each segment’s products are marketed to different customer types and require different manufacturing processes and technologies.

Segment information is presented for the three months ended March 31, 2013 and 2012 as follows:

	Explosive Metalworking		Oilfield Products		AMK Welding			Total
For the three months ended March 31, 2013
Net sales	$	26,180	$	18,655	$	1,435		$	46,270
Depreciation and amortization	$	1,456	$	1,396	$	150		$	3,002
Income (loss) from operations	$	2,444	$	1,723	$	(294	)	$	3,873
Unallocated amounts:
Corporate expenses								(3,506		)
Stock-based compensation								(1,422		)
Other income								296
Interest expense								(172		)
Interest income								3
Consolidated loss before income taxes and non-controlling interest								$	(928	)

	Explosive Metalworking		Oilfield Products		AMK Welding			Total
For the three months ended March 31, 2012
Net sales	$	27,533	$	20,974	$	1,705		$	50,212
Depreciation and amortization	$	1,402	$	1,385	$	124		$	2,911
Income (loss) from operations	$	4,099	$	2,046	$	(87	)	$	6,058
Unallocated amounts:
Corporate expenses								(951		)
Stock-based compensation								(969		)
Other expense								(200		)
Interest expense								(211		)
Interest income								6
Consolidated income before income taxes and non-controlling interest								$	3,733

 During the three months ended March 31, 2013, no one customer accounted for more than 10% of total net sales.  During the three months ended March 31, 2012, no one customer accounted for more than 10% of total net sales.