14 — Segments and Other Geographic Reporting

The Company’s U.S. and International regions are considered two separate operating segments and are disclosed as two reportable segments. The segments represent geographic areas and reflect how the chief operating decision maker allocates resources and measures results, including total revenues, operating income and income before income taxes. The segments continue to share similar business models, services and economic characteristics. Intercompany income (expense) primarily related to charges for services provided by the U.S. segment.

The following tables present financial information by segment:



	Year Ended July 31, 2017
(In thousands)	United States			International			Total
Total service revenues and vehicle sales	$	1,193,188		$	254,793		$	1,447,981
Yard operations	585,587			92,814			678,401
Cost of vehicle sales	61,484			76,068			137,552
General and administrative	130,392			20,972			151,364
Impairment of long-lived assets	19,365			—			19,365
Operating income	396,360			64,939			461,299
Interest (expense) income, net	(23,373		)	1,000			(22,373		)
Other income, net	(10		)	1,184			1,174
Intercompany income (expense)	12,549			(12,549		)	—
Income before income tax expense	385,526			54,574			440,100
Income tax expense	34,985			10,854			45,839
Net income	$	350,541		$	43,720		$	394,261

Depreciation and amortization	$	47,507		$	9,493		$	57,000
Capital expenditures, including acquisitions	317,646			15,344			332,990
Total assets	1,514,018			468,483			1,982,501
Goodwill	259,162			81,081			340,243



	Year Ended July 31, 2016
(In thousands)	United States			International			Total
Total service revenues and vehicle sales	$	1,016,036		$	252,413		$	1,268,449
Yard operations	494,146			88,758			582,904
Cost of vehicle sales	55,866			85,093			140,959
General and administrative	118,315			19,801			138,116
Operating income	347,709			58,761			406,470
Interest (expense) income, net	(23,178		)	1,021			(22,157		)
Other income, net	1,216			10,336			11,552
Intercompany income (expense)	13,266			(13,266		)	—
Income before income tax expense	339,013			56,852			395,865
Income tax expense	115,667			9,838			125,505
Net income	$	223,346		$	47,014		$	270,360

Depreciation and amortization	$	39,083		$	9,492		$	48,575
Capital expenditures, including acquisitions	153,451			20,466			173,917
Total assets	1,249,755			400,065			1,649,820
Goodwill	179,906			80,292			260,198



	Year Ended July 31, 2015
(In thousands)	United States			International			Total
Total service revenues and vehicle sales	$	902,880		$	243,199		$	1,146,079
Yard operations	440,517			85,774			526,291
Cost of vehicle sales	52,232			84,180			136,412
General and administrative	120,140			18,835			138,975
Operating income	289,991			54,410			344,401
Interest (expense) income, net	(17,622		)	318			(17,304		)
Other income, net	2,707			2,265			4,972
Intercompany income (expense)	11,093			(11,093		)	—
Income before income tax expense	286,169			45,900			332,069
Income tax expense	102,379			9,907			112,286
Net income	$	183,790		$	35,993		$	219,783

Depreciation and amortization	$	36,238		$	10,335		$	46,573
Capital expenditures, including acquisitions	64,769			14,384			79,153
Total assets	1,404,946			393,714			1,798,660
Goodwill	176,890			94,960			271,850