Industry Segment Information

12 Months Ended

Aug. 31, 2017

Industry Segment Information [Abstract]

Industry Segment Information

Note 16 – Industry Segment Information

The Company manages its business activities in two reportable segments: Irrigation and Infrastructure.  The accounting policies of the two reportable segments are the same as those described in Note 1, Description of Business and Significant Accounting Policies.  The Company evaluates the performance of its reportable segments based on segment sales, gross profit, and operating income, with operating income for segment purposes excluding unallocated corporate general and administrative expenses, interest income, interest expense, other income and expenses, and income taxes.  Operating income for segment purposes does include general and administrative expenses, selling expenses, engineering and research expenses and other overhead charges directly attributable to the segment.  There are no inter-segment sales.   

Irrigation

This reporting segment includes the manufacture and marketing of center pivot, lateral move, and hose reel irrigation systems as well as various water pumping stations, controls, filtration solutions and M2M technology.  The irrigation reporting segment consists of three operating segments that have similar economic characteristics and meet the aggregation criteria, including similar products, production processes, type or class of customer and methods for distribution. 

Infrastructure

This reporting segment includes the manufacture and marketing of moveable barriers, specialty barriers, crash cushions and end terminals, and road marking and road safety equipment; the manufacturing and selling of large diameter steel tubing and railroad signals and structures; and providing outsourced manufacturing and production services.  The infrastructure reporting segment consists of one operating segment.

The Company has no single major customer representing 10 percent or more of its total revenues during fiscal 2017,  2016, or 2015.

Summarized financial information concerning the Company’s reportable segments is shown in the following tables:

($ in thousands)	2017		2016		2015
Operating revenues:
Irrigation	$	418,041	$	421,641	$	451,205
Infrastructure		99,944		94,770		108,976
Total operating revenues	$	517,985	$	516,411	$	560,181
Operating income:
Irrigation	$	42,774	$	49,232	$	52,065
Infrastructure		20,131		18,535		20,249
Segment operating income		62,905		67,767		72,314
Unallocated general and administrative expenses		(22,704)		(33,392)		(21,619)
Interest and other income (expense), net		(4,486)		(5,087)		(3,944)
Earnings before income taxes	$	35,715	$	29,288	$	46,751
Total capital expenditures:
Irrigation	$	6,313	$	8,375	$	12,406
Infrastructure		1,562		2,977		2,671
Corporate		988		144		167
	$	8,863	$	11,496	$	15,244
Total depreciation and amortization:
Irrigation	$	11,840	$	11,774	$	11,000
Infrastructure		4,452		4,648		4,966
Corporate		386		459		446
	$	16,678	$	16,881	$	16,412

Total assets:
Irrigation	$	337,446	$	332,294	$	316,220
Infrastructure		80,187		81,160		79,436
Corporate		88,399		74,061		126,939
	$	506,032	$	487,515	$	522,595

Summarized financial information concerning the Company’s geographical areas is shown in the following tables.

		For the years ended August 31,
($ in thousands)		2017			2016			2015
	Revenues		% of total	Revenues		% of total	Revenues		% of total
United States	$	297,261	57	$	321,554	62	$	350,290	63
International		220,724	43		194,857	38		209,891	37
Total revenues	$	517,985	100	$	516,411	100	$	560,181	100
		For the years ended August 31,
($ in thousands)		2017			2016			2015
	Long-lived tangible assets		% of total	Long-lived tangible assets		% of total	Long-lived tangible assets		% of total
United States	$	54,199	73	$	58,098	75	$	61,332	78
International		20,299	27		19,529	25		17,324	22
Total long-lived assets	$	74,498	100	$	77,627	100	$	78,656	100