Note 14 - Segment Information

12 Months Ended

Jan. 02, 2021

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

14. SEGMENT INFORMATION

The Company follows “Disclosures about Segments of an Enterprise and Related Information,” which establishes standards for companies to report information about operating segments, geographic areas and major customers. The accounting policies of each segment are the same as those described in the summary of significant accounting policies (see Note

1

to these Consolidated Financial Statements.)

Segment operating income includes selling, general and administrative expenses directly attributable to that segment as well as charges for allocating corporate costs to each of the operating segments. The following tables reflect the results of the segments consistent with the Company's management system:

Fiscal Year Ended January 2, 2021	Engineering			Specialty Health Care			Information Technology			Corporate			Total
Revenue	$	57,715		$	60,481		$	32,213		$	-		$	150,409
Cost of services		41,227			47,116			23,211			-			111,554
Gross profit		16,488			13,365			9,002			-			38,855
Selling, general and administrative		12,931			15,504			9,116			-			37,551
Depreciation and amortization of property and equipment		638			319			108			-			1,065
Amortization of acquired intangible assets		321			-			-			-			321
Write-off of receivables and professional fees incurred related to arbitration		8,397			-			-			-			8,397
Impairment of right of use assets and related costs		-			-			-			2,231			2,231
Tax credit professional fees		-			-			-			240			240
Operating income (loss)	$	(5,799	)	$	(2,458	)	$	(222	)	$	(2,471	)	$	(10,950	)
Total assets as of January 2, 2021	$	33,782		$	19,141		$	7,498		$	7,918		$	68,339
Capital expenditures	$	26		$	36		$	48		$	350		$	460

Fiscal Year Ended December 28, 2019	Engineering		Specialty Health Care		Information Technology		Corporate			Total
Revenue	$	67,873	$	89,348	$	33,879	$	-		$	191,100
Cost of services		49,395		68,464		24,649		-			142,508
Gross profit		18,478		20,884		9,230		-			48,592
Selling, general and administrative		13,648		17,643		9,099		-			40,390
Depreciation and amortization of property and equipment		841		336		84		-			1,261
Amortization of acquired intangible assets		327		-		-		-			327
Tax credit professional fees		-		-		-		47			47
Operating income (loss)	$	3,662	$	2,905	$	47	$	(47	)	$	6,567
Total assets as of December 28, 2019	$	52,342	$	29,781	$	8,178	$	5,872		$	96,173
Capital expenditures	$	82	$	121	$	69	$	95		$	367

The Company derives a majority of its revenue from offices in the United States. Revenues reported for each operating segment are all from external customers. The Company is domiciled in the United States and its segments operate in the United States, Canada, Puerto Rico and Serbia. Revenues by geographic area for the fiscal years ended

January 2, 2021

and

December 28, 2019

are as follows:

	Fiscal Year Ended
	January 2,		December 28,
	2021		2019
Revenues
United States	$	126,238	$	166,750
Canada		15,310		16,822
Puerto Rico		5,702		4,942
Serbia		3,159		2,586
	$	150,409	$	191,100

Total assets by geographic area as of the reported periods are as follows:

	Fiscal Year Ended
	January 2,		December 28,
	2021		2019
Total Assets
United States	$	56,308	$	82,110
Canada		7,067		9,638
Puerto Rico		1,483		1,103
Serbia		3,481		3,322
	$	68,339	$	96,173