Note 13 - Segment Information

9 Months Ended

Oct. 01, 2022

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

13.  Segment Information

The Company follows ASC 280, “Segment Reporting,” which establishes standards for companies to report information about operating segments, geographic areas and major customers.  The accounting policies of each reportable segment are the same as those described in the summary of significant accounting policies (see Note 1 to the Company’s Consolidated Financial Statements included in its Annual Report on Form 10-K for the year ended January 1, 2022).

Segment operating income (loss) 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 reportable segments consistent with the Company’s management system:

Thirteen Weeks Ended October 1, 2022	Engineering			Specialty Health Care		Information Technology		Corporate		Total
Revenue	$	20,922		$	27,997	$	9,233	$	-	$	58,152
Cost of services		15,594			19,014		6,186		-		40,794
Gross profit		5,328			8,983		3,047		-		17,358
Selling, general and administrative		4,531			5,933		2,087		-		12,551
Depreciation and amortization of property and equipment		136			101		29		-		266
Gain on sale of assets		(219	)		-		-		-		(219	)
Operating income	$	880		$	2,949	$	931	$	-		4,760
Total assets as of October 1, 2022	$	32,343		$	33,280	$	8,579	$	2,607	$	76,809
Capital expenditures	$	207		$	9	$	39	$	266	$	521

Thirteen Weeks Ended October 2, 2021	Engineering			Specialty Health Care		Information Technology		Corporate		Total
Revenue	$	16,482		$	19,646	$	9,343	$	-	$	45,471
Cost of services		12,694			14,115		6,448		-		33,257
Gross profit		3,788			5,531		2,895		-		12,214
Selling, general and administrative		3,834			4,415		2,133		-		10,382
Depreciation and amortization of property and equipment		120			99		31		-		250
Amortization of acquired intangible assets		6			-		-		-		6
Gain on sale of assets		(2,151	)		-		-		-		(2,151	)
Operating income	$	1,979		$	1,017	$	731	$	-	$	3,727
Total assets as of October 2, 2021	$	29,020		$	26,483	$	8,560	$	6,228	$	70,291
Capital expenditures	$	16		$	168	$	35	$	139	$	358

Thirty-Nine Weeks Ended October 1, 2022	Engineering			Specialty Health Care		Information Technology		Corporate		Total
Revenue	$	61,726		$	123,638	$	29,095	$	-	$	214,459
Cost of services		45,653			86,772		19,573		-		151,998
Gross profit		16,073			36,866		9,522		-		62,461
Selling, general and administrative		12,659			21,203		6,100		-		39,962
Depreciation and amortization of property and equipment		332			322		75		-		729
Gain on sale of assets		(219	)		-		-		-		(219	)
Operating income	$	3,301		$	15,341	$	3,347	$	-	$	21,989
Total assets as of October 1, 2022	$	32,343		$	33,280	$	8,579	$	2,607	$	76,809
Capital expenditures	$	496		$	57	$	102	$	275	$	930

Thirty-Nine Weeks Ended October 2, 2021	Engineering			Specialty Health Care		Information Technology		Corporate		Total
Revenue	$	47,882		$	63,723	$	27,348	$	-	$	138,953
Cost of services		36,875			47,564		19,184		-		103,623
Gross profit		11,007			16,159		8,164		-		35,330
Selling, general and administrative		10,570			12,937		6,059		-		29,566
Depreciation and amortization of property and equipment		428			260		87		-		775
Amortization of acquired intangible assets		95			-		-		-		95
Gain on sale of assets		(2,151	)		-		-		-		(2,151	)
Operating income	$	2,065		$	2,962	$	2,018	$	-	$	7,045
Total assets as of October 2, 2021	$	29,020		$	26,483	$	8,560	$	6,228	$	70,291
Capital expenditures	$	55		$	235	$	44	$	165	$	499

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. Revenue by geographic area for the thirteen and thirty-nine weeks ended October 1, 2022 and October 2, 2021 was as follows: 

	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	October 1, 2022		October 2, 2021		October 1, 2022		October 2, 2021
Revenue
U. S.	$	55,180	$	41,584	$	205,162	$	124,337
Canada		1,091		1,912		3,555		8,371
Puerto Rico		1,261		1,245		3,760		4,128
Serbia		620		730		1,982		2,117
	$	58,152	$	45,471	$	214,459	$	138,953

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

	October 1, 2022		January 1, 2022
Total assets
U. S.	$	73,700	$	69,566
Canada		959		1,327
Puerto Rico		1,351		963
Serbia		799		996
	$	76,809	$	72,852