Segment Reporting

9 Months Ended

Oct. 01, 2021

Segment Reporting [Abstract]

Segment Reporting

Note 9:  Segment Reporting

The Company has two reportable operating segments based on two primary areas of service. The Engineering and Other Scientific segment is a broad service group providing technical consulting in different practices primarily in engineering. The Environmental and Health segment provides services in the areas of environmental, epidemiology and health risk analysis. This segment provides a wide range of consulting services relating to environmental hazards and risks and the impact on both human health and the environment. Our Chief Executive Officer, the chief operating decision maker, reviews revenues and operating income for each of our reportable segments, but does not review total assets in evaluating segment performance and capital allocation.

Segment information for the three and nine months ended October 1, 2021 and October 2, 2020 follows:

Revenues

	Three Months Ended				Nine Months Ended
(In thousands)	October 1, 2021		October 2, 2020		October 1, 2021		October 2, 2020
Engineering and Other Scientific	$	97,100	$	79,230	$	288,848	$	236,239
Environmental and Health		19,305		19,433		63,915		60,422
Total revenues	$	116,405	$	98,663	$	352,763	$	296,661

Operating Income

	Three Months Ended						Nine Months Ended
(In thousands)	October 1, 2021			October 2, 2020			October 1, 2021			October 2, 2020
Engineering and Other Scientific	$	36,676		$	25,952		$	108,646		$	73,400
Environmental and Health		5,851			6,449			21,265			20,751
Total segment operating income		42,527			32,401			129,911			94,151
Corporate operating expense		(10,408	)		(11,994	)		(44,362	)		(28,636	)
Total operating income	$	32,119		$	20,407		$	85,549		$	65,515

Certain operating expenses are excluded from the Company’s measure of segment operating income. These expenses include the costs associated with our human resources, finance, information technology, and business development groups; the deferred compensation expense/benefit due to the change in value of assets associated with our deferred compensation plan; stock-based compensation associated with restricted stock unit and stock option awards; and the change in our allowance for contract losses and doubtful accounts.

Capital Expenditures

	Three Months Ended				Nine Months Ended
(In thousands)	October 1, 2021		October 2, 2020		October 1, 2021		October 2, 2020
Engineering and Other Scientific	$	563	$	594	$	1,981	$	2,061
Environmental and Health		57		22		136		103
Total segment capital expenditures		620		616		2,117		2,164
Corporate capital expenditures		778		1,005		3,086		2,140
Total capital expenditures	$	1,398	$	1,621	$	5,203	$	4,304

Depreciation and Amortization

	Three Months Ended				Nine Months Ended
(In thousands)	October 1, 2021		October 2, 2020		October 1, 2021		October 2, 2020
Engineering and Other Scientific	$	1,089	$	1,043	$	3,074	$	3,248
Environmental and Health		49		48		141		141
Total segment depreciation and    amortization		1,138		1,091		3,215		3,389
Corporate depreciation and amortization		507		598		1,728		1,787
Total depreciation and amortization	$	1,645	$	1,689	$	4,943	$	5,176

One client comprised 15% of the Company’s revenues during the three months ended October 1, 2021. The same client comprised 13% of the Company’s revenues during the nine months ended October 1, 2021. No other single client comprised more than 10% of the Company’s revenues during the three and nine months ended October 1, 2021. No single client comprised more than 10% of the Company’s revenues during the three months and nine months ended October 2, 2020.