Business Segments

The Company reports its financial results in two reportable business segments: Wind and Grid.

Through the Company’s Windtec Solutions, the Wind business segment enables manufacturers to field wind turbines with exceptional power output, reliability and affordability. The Company supplies advanced power electronics and control systems, licenses its highly engineered wind turbine designs, and provides extensive customer support services to wind turbine manufacturers. The Company’s design portfolio includes a broad range of drive trains and power ratings of 2 megawatts ("MWs") and higher. The Company provides a broad range of power electronics and software-based control systems that are highly integrated and designed for optimized performance, efficiency, and grid compatibility.

Through the Company’s Gridtec Solutions, the Grid business segment enables electric utilities and renewable energy project developers to connect, transmit and distribute power with exceptional efficiency, reliability and affordability. The sales process is enabled by transmission planning services that allow it to identify power grid congestion, poor power quality and other risks, which helps the Company determine how its solutions can improve network performance. These services often lead to sales of grid interconnection solutions for wind farms and solar power plants, power quality systems, and transmission and distribution cable systems. The Company also sells ship protection products to the U.S. Navy through its Grid business segment.

The operating results for the two business segments are as follows (in thousands):



	Fiscal Years Ended March 31,
	2018		2017		2016
Revenues:
Wind	$	14,294	$	47,269	$	68,883
Grid	34,109		27,926		27,140
Total	$	48,403	$	75,195	$	96,023



	Fiscal Years Ended March 31,
	2018			2017			2016
Operating loss:
Wind	$	(8,904	)	$	(4,174	)	$	(1,256	)
Grid	(18,963		)	(20,476		)	(14,835		)
Unallocated corporate expenses	(4,290		)	(2,892		)	(4,027		)
Total	$	(32,157	)	$	(27,542	)	$	(20,118	)

Total assets for the two business segments as of March 31, 2018 and March 31, 2017 are as follows (in thousands):



	March 31, 2018		March 31, 2017
Wind	$	16,790	$	18,346
Grid	37,012		31,060
Corporate assets	34,373		50,838
Total	$	88,175	$	100,244

The accounting policies of the business segments are the same as those for the consolidated Company. The Company’s business segments have been determined in accordance with the Company’s internal management structure, which is organized based on operating activities. The Company evaluates performance based upon several factors, of which the primary financial measures are segment revenues and segment operating loss. The disaggregated financial results of the segments reflect allocation of certain functional expense categories consistent with the basis and manner in which Company management internally disaggregates financial information for the purpose of assisting in making internal operating decisions. In addition, certain corporate expenses which the Company does not believe are specifically attributable or allocable to either of the two business segments have been excluded from the segment operating loss.

Unallocated corporate expenses primarily consist of stock-based compensation expense of $2.7 million, $2.9 million, and $3.2 million, in the fiscal years ended March 31, 2018, 2017, and 2016, respectively, restructuring charges of $1.5 million for the fiscal year ended March 31, 2018, and impairment charges of $0.8 million, for the fiscal year ended March 31, 2016, and a change in the fair value of contingent consideration of $0.1 million for the fiscal year ended March 31, 2018.

Geographic information about revenue, based on shipments to customers by region, is as follows (in thousands):



	Fiscal years ended March 31,
	2018		2017		2016
India	$	12,932	$	44,243	$	59,640
U.S.	17,315		16,224		14,565
China	679		2,004		8,455
Asia Pacific	3,754		2,106		5,364
Africa	118		1,548		2,697
Australia	3,072		4,053		2,410
Europe	5,405		3,624		1,775
Canada	1,120		1,393		1,117
Middle East	4,008		—		—
Total	$	48,403	$	75,195	$	96,023

In the fiscal years ended March 31, 2018, 2017, and 2016, 64%, 78%, and 85% of the Company’s revenues, respectively, were recognized from sales outside the United States. The Company maintains operations in Austria, Romania, and the United States and sales and service support centers around the world.

In the fiscal years ended March 31, 2018, 2017 and 2016, Inox accounted for approximately 27%, 59%, and 62% of the Company’s total revenues, respectively.

Geographic information about property, plant and equipment associated with particular regions is as follows (in thousands):



	March 31,
	2018		2017
North America	$	11,933	$	42,699
Europe	478		602
Asia Pacific	102		137
Total	$	12,513	$	43,438