Industry Segments

9 Months Ended

Jan. 31, 2024

Segment Reporting [Abstract]

Industry Segments

Industry Segments

FASB ASC 280, Segment Reporting, establishes standards for reporting information about operating segments. Operating segments are defined as components of a public entity about which separate financial information is available that is evaluated regularly by the chief operating decision makers (“CODMs”), or decision making group, in deciding how to allocate resources and in assessing performance. Our CODMs are our Chief Executive Officer and President and our Chief Financial Officer. While our CODMs are apprised of a variety of financial metrics and information, we manage our business primarily on a segment basis, with the CODMs evaluating performance based upon segment operating profit or loss that includes an allocation of common expenses, but excludes certain unallocated corporate expenses, which are included in the Other segment. Our CODMs review the operating results of our two segments, assess performance and allocate resources in a manner that is consistent with the changing market dynamics that we have experienced. The two operating segments are: (1) Supply Chain Management (“SCM”) and (2) Other.

The SCM segment leverages a single platform spanning seven supply chain process areas, including product, demand, inventory, supply, deploy, integrated business planning and supply chain data management. The Other segment consists of (i) American Software enterprise resource planning ("ERP"), which provides purchasing and materials management, client order processing, financial, e-commerce and traditional manufacturing solutions, and (ii) unallocated corporate overhead expenses.

All of our revenue is derived from external clients. 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.

In the following table, we have broken down the intersegment transactions applicable to the three and nine months ended January 31, 2024 and 2023 (in thousands):

	Three Months Ended January 31,				Nine Months Ended January 31,
	2024		2023		2024		2023
Revenue:
Supply Chain Management	$	25,009	$	26,952	$	75,558	$	79,886
Other	527		475		1,569		1,601
	$	25,536	$	27,427	$	77,127	$	81,487
Operating income\(loss):
Supply Chain Management	$	6,119	$	7,763	$	18,396	$	22,587
Other	(5,304)		(5,018)		(14,960)		(14,950)
	$	815	$	2,745	$	3,436	$	7,637
Capital expenditures:
Supply Chain Management	$	21	$	14	$	434	$	1,604
Other	47		935		155		2,051
	$	68	$	949	$	589	$	3,655
Depreciation and amortization:
Supply Chain Management	$	1,462	$	675	$	3,115	$	2,042
Other	172		113		526		347
	$	1,634	$	788	$	3,641	$	2,389
Earnings\(loss) before income taxes:
Supply Chain Management	$	7,810	$	8,094	$	20,353	$	22,695
Other	(2,578)		(4,015)		(11,191)		(13,750)
	$	5,232	$	4,079	$	9,162	$	8,945