NOTE 12 – 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) is primarily related to charges for services provided by the U.S. segment.

The following tables present financial information by segment:



	Three Months Ended April 30, 2018									Three Months Ended April 30, 2017
(In thousands)	United States			International			Total			United States			International			Total
Total service revenues and vehicle sales	$	385,281		$	92,917		$	478,198		$	307,120		$	66,742		$	373,862
Yard operations	170,637			30,955			201,592			142,631			23,941			166,572
Cost of vehicle sales	27,456			30,082			57,538			15,009			19,776			34,785
General and administrative	36,300			8,149			44,449			30,363			5,354			35,717
Operating income	150,888			23,731			174,619			119,117			17,671			136,788
Interest (expense) income, net	(4,765		)	631			(4,134		)	(5,766		)	260			(5,506		)
Other (expense) income, net	(52		)	783			731			(399		)	205			(194		)
Intercompany income (expense)	44,463			(44,463		)	—			2,717			(2,717		)	—
Income before income taxes	190,534			(19,318		)	171,216			115,669			15,419			131,088
Income tax expense	39,366			4,445			43,811			37,691			2,851			40,542
Net income (loss)	$	151,168		$	(23,763	)	$	127,405		$	77,978		$	12,568		$	90,546

Depreciation and amortization	$	14,189		$	2,384		$	16,573		$	10,904		$	2,304		$	13,208
Capital expenditures, including acquisitions	57,028			20,672			77,700			40,872			1,426			42,298



	Nine Months Ended April 30, 2018									Nine Months Ended April 30, 2017
(In thousands)	United States			International			Total			United States			International			Total
Total service revenues and vehicle sales	$	1,121,521		$	234,951		$	1,356,472		$	879,093		$	190,292		$	1,069,385
Yard operations	552,848			83,535			636,383			435,179			68,085			503,264
Cost of vehicle sales	75,010			71,138			146,148			43,731			57,827			101,558
General and administrative	103,746			20,687			124,433			98,492			15,579			114,071
Operating income	389,917			59,591			449,508			301,691			48,801			350,492
Interest (expense) income, net	(15,881		)	788			(15,093		)	(17,690		)	802			(16,888		)
Other (expense) income, net	(4,653		)	20			(4,633		)	(310		)	427			117
Intercompany income (expense)	100,377			(100,377		)	—			8,372			(8,372		)	—
Income before income taxes	469,760			(39,978		)	429,782			292,063			41,658			333,721
Income tax expense	110,628			10,888			121,516			1,065			8,764			9,829
Net income (loss)	$	359,132		$	(50,866	)	$	308,266		$	290,998		$	32,894		$	323,892

Depreciation and amortization	$	41,772		$	8,574		$	50,346		$	35,957		$	7,175		$	43,132
Capital expenditures, including acquisitions	152,737			35,745			188,482			128,934			5,776			134,710



	April 30, 2018						July 31, 2017
(In thousands)	United States		International		Total		United States		International		Total
Total assets	$	1,702,637	$	462,556	$	2,165,193	$	1,514,018	$	468,483	$	1,982,501
Goodwill	257,896		84,563		342,459		259,162		81,081		340,243