Note 10 - Segment Reporting

3 Months Ended

Mar. 31, 2023

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

NOTE 10:         SEGMENT REPORTING

The Company operates through three segments: CVD Equipment, Stainless Design Concepts (“SDC”) and CVD Materials. The CVD Equipment segment manufactures and sells chemical vapor deposition, physical vapor transport and similar equipment. The SDC segment designs and manufactures ultra-high purity gas and chemical delivery control systems. The CVD Materials segment that provides material coatings for aerospace, medical, electronic and other applications and is not considered a core business of the Company. The Company evaluates performance based on several factors, of which the primary financial measure is income (loss) before taxes.

The Company’s corporate administration activities are reported in the “Corporate” column. These activities primarily include expenses related to certain corporate officers and support staff, expenses related to the Company’s Board of Directors, stock option expense for options and shares of restricted stock granted to corporate administration employees, certain consulting expenses, investor and shareholder relations activities, and all of the Company’s legal, auditing and professional fees.

Elimination entries included in the “Eliminations” column represent intersegment revenues and cost of revenues that are eliminated in consolidation. Intersegment sales for the three months ended March 31, 2023 and 2022 by the SDC segment to the CVD Equipment segment were $129,000 and $44,000, respectively.

The following table presents certain information regarding the Company’s segments as of and for the three months ended March 31, 2023 and 2022 (in thousands):

2023
	CVD Equipment		SDC		CVD Materials		Eliminations			Corporate			Consolidated
Assets	$	28,509	$	4,467	$	1,783	$	25		$	-		$	34,784
Revenue	$	5,845	$	2,312	$	667	$	(129	)	$	-		$	8,695
Operating (loss) income		138		631		81		-			(1,037	)		(187	)
Pretax (loss) income		141		631		108		-			(918	)		(38	)
Depreciation and amortization	$	131	$	12	$	23	$	-		$	-		$	166
Purchase of property, plant & equipment	$	136	$	10	$	-	$	-		$	-		$	146

2022
	CVD Equipment			SDC		CVD Materials			Eliminations			Corporate			Consolidated
Assets	$	25,312		$	4,858	$	1,809		$	28		$	-		$	32,007
Revenue	$	2,827		$	1,415	$	458		$	(44	)	$	-		$	4,656
Operating (loss) income		(736	)		442		30			-			(706	)		(970	)
Pretax (loss) income		(726	)		442		(7	)		-			(706	)		(997	)
Depreciation and amortization	$	216		$	13	$	22		$	-		$	-		$	251
Purchase of property, plant & equipment	$	145		$	2	$	30		$	-		$	-		$	177