Segment Information

12 Months Ended

Apr. 30, 2014

Segment Information

(9) Segment Information

The Company provides our software solutions through three major business segments, which are further broken down into a total of four major product and service groups. The three business segments are (1) Supply Chain Management (SCM), (2) Enterprise Resource Planning (ERP), and (3) Information Technology (IT) Consulting.

The SCM segment consists of Logility, Inc., a wholly-owned subsidiary, as well as its subsidiary, DMI, which provides collaborative supply chain solutions to streamline and optimize the forecasting, production, distribution and management of products between trading partners. The ERP segment consists of (1) American Software ERP, which provides purchasing and materials management, customer order processing, financial, e-commerce and traditional manufacturing solutions, and (2) New Generation Computing (NGC), which provides industry-specific business software to both retailers and manufacturers in the apparel, sewn products and furniture industries. The IT Consulting segment consists of The Proven Method, Inc., an IT staffing and consulting services firm. We also provide support for our software products, such as software enhancements, documentation, updates, customer education, consulting, systems integration services, and maintenance.

Our chief operating decision maker is the President and Chief Executive Officer. While the CEO is apprised of a variety of financial metrics and information, we manage our business primarily on a segment basis, with the CEO evaluating performance based upon segment operating profit or loss that includes an allocation of common expenses, but excludes certain unallocated expenses.

All of our revenues are derived from external customers. We do not have any inter-segment revenue. Our income taxes and dividends are paid at a consolidated level. Consequently, it is not practical to show these items by operating segment.

Following is information related to each segment as of and for the years ended April 30, 2014, 2013 and 2012:

	2014			2013			2012
Revenues:
Enterprise Resource Planning	$	11,517		$	12,825		$	13,651
Supply Chain Management		64,331			62,410			63,610
IT Consulting		24,753			25,232			25,375
	$	100,601		$	100,467		$	102,636
Operating income/(loss) before intersegment eliminations:
Enterprise Resource Planning	$	(5,132	)	$	(4,741	)	$	(4,947	)
Supply Chain Management		17,468			16,881			19,335
IT Consulting		2,189			1,644			1,780
	$	14,525		$	13,784		$	16,168
Intersegment eliminations:
Enterprise Resource Planning	$	(1,882	)	$	(1,916	)	$	(1,571	)
Supply Chain Management		1,778			1,804			1,503
IT Consulting		104			112			68
	$	—		$	—		$	—
Operating income (loss) after intersegment eliminations:
Enterprise Resource Planning	$	(7,014	)	$	(6,657	)	$	(6,518	)
Supply Chain Management		19,246			18,685			20,838
IT Consulting		2,293			1,756			1,848
	$	14,525		$	13,784		$	16,168
Capital expenditures:
Enterprise Resource Planning	$	125		$	513		$	162
Supply Chain Management		118			196			205
IT Consulting		12			27			5
	$	255		$	736		$	372
Capitalized Software:
Enterprise Resource Planning	$	—		$	—		$	—
Supply Chain Management		2,949			3,418			2,731
IT Consulting		—			—			—
	$	2,949		$	3,418		$	2,731
Depreciation and amortization:
Enterprise Resource Planning	$	887		$	916		$	1,046
Supply Chain Management		1,706			3,228			3,252
IT Consulting		12			9			4
	$	2,605		$	4,153		$	4,302
Interest Income:
Enterprise Resource Planning	$	343		$	452		$	363
Supply Chain Management		592			688			925
IT Consulting		—			—			—
	$	935		$	1,140		$	1,288
Earnings (loss) before income taxes:
Enterprise Resource Planning	$	(3,830	)	$	(2,976	)	$	(3,804	)
Supply Chain Management		17,541			16,897			19,290
IT Consulting		2,186			1,604			1,785
	$	15,897		$	15,525		$	17,271

	April 30, 2014		April 30, 2013		April 30, 2012
Total Consolidated Assets:
Enterprise Resource Planning	$	39,283	$	36,985	$	33,594
Supply Chain Management		86,854		70,982		77,288
IT Consulting		5,083		5,103		5,671
	$	131,220	$	113,070	$	116,553

International Revenue and Significant Customer

International revenues approximated $17.1 million or 17%, $14.0 million or 14%, and $16.2 million or 16%, of consolidated revenues for the years ended April 30, 2014, 2013, and 2012, respectively, and were derived primarily from customers in Canada and Europe. International revenue is based on the delivery of software and performance of services.

No one customer accounted for more than 10% of total revenues for the year ended April 30, 2014. One customer accounted for approximately 11% and 15% of consolidated revenues for the years ended April 30, 2013 and 2012, respectively, principally from our IT consulting segment. Accounts receivable from this customer were approximately $1.6 million at April 30, 2013 and 2012, respectively.