OPERATING SEGMENTS

9 Months Ended

Jul. 31, 2016

Segment Reporting [Abstract]

OPERATING SEGMENTS

OPERATING SEGMENTS

Operating segments are defined as components of an enterprise that engage in business activities and by which discrete financial information is available that is evaluated on a regular basis by the chief operating decision maker to make decisions about how to allocate resources to the segment and assess the performance of the segment. We have three operating segments: engineered building systems; metal components; and metal coil coating. All operating segments operate primarily in the nonresidential construction market. Sales and earnings are influenced by general economic conditions, the level of nonresidential construction activity, metal roof repair and retrofit demand and the availability and terms of financing available for construction. Products of our operating segments use similar basic raw materials. The engineered building systems segment includes the manufacturing of main frames, Long Bay® Systems and value-added engineering and drafting, which are typically not part of metal components or metal coil coating products or services. The metal components segment products include metal roof and wall panels, doors, metal partitions, metal trim, insulated panels and other related accessories. CENTRIA is included in the metal components segment. The metal coil coating segment consists of cleaning, treating, painting and slitting continuous steel coils before the steel is fabricated for use by construction and industrial users. The operating segments follow the same accounting policies used for our consolidated financial statements.

We evaluate a segment’s performance based primarily upon operating income before corporate expenses. Intersegment sales are recorded based on standard material costs plus a standard markup to cover labor and overhead and consist of (i) structural framing provided by the engineered building systems segment to the metal components segment; (ii) building components provided by the metal components segment to the engineered building systems segment; and (iii) hot-rolled, light gauge painted and slit material and other services provided by the metal coil coating segment to both the metal components and engineered building systems segments.

Corporate assets consist primarily of cash but also include deferred financing costs, deferred taxes and property, plant and equipment associated with our headquarters in Houston, Texas. These items (and income and expenses related to these items) are not allocated to the operating segments. Corporate unallocated expenses include share-based compensation expenses, and executive, legal, finance, tax, treasury, human resources, information technology, purchasing, marketing and corporate travel expenses. Additional unallocated expenses include interest income, interest expense, strategic development and acquisition related costs and other (expense) income.

The following table represents sales, operating income (loss) and total assets attributable to these operating segments for the periods indicated (in thousands):

	Fiscal Three Months Ended						Fiscal Nine Months Ended
	July 31, 2016			August 2, 2015			July 31, 2016			August 2, 2015
Total sales:
Engineered building systems	$	181,029		$	176,519		$	468,028		$	469,564
Metal components	287,307			251,191			751,610			645,098
Metal coil coating	72,069			62,383			178,452			167,991
Intersegment sales	(78,052		)	(69,304		)	(193,476		)	(178,791		)
Total sales	$	462,353		$	420,789		$	1,204,614		$	1,103,862
External sales:
Engineered building systems	$	175,471		$	172,223		$	455,876		$	455,379
Metal components	256,195			221,958			670,757			574,667
Metal coil coating	30,687			26,608			77,981			73,816
Total sales	$	462,353		$	420,789		$	1,204,614		$	1,103,862
Operating income (loss):
Engineered building systems	$	19,561		$	14,363		$	39,216		$	25,937
Metal components	37,497			17,025			71,436			32,302
Metal coil coating	8,748			5,497			18,272			11,872
Corporate	(22,271		)	(17,507		)	(59,538		)	(49,779		)
Total operating income	$	43,535		$	19,378		$	69,386		$	20,332
Unallocated other expense, net	(8,193		)	(8,638		)	(22,072		)	(21,977		)
Income (loss) before income taxes	$	35,342		$	10,740		$	47,314		$	(1,645	)

	July 31, 2016		November 1, 2015
Total assets:
Engineered building systems	$	232,587	$	218,646
Metal components	658,674		654,762
Metal coil coating	85,964		81,456
Corporate	74,594		124,865
Total assets	$	1,051,819	$	1,079,729