Business and segment information

12 Months Ended

Jan. 31, 2016

Business and segment information [Abstract]

Business and segment information [Text Block]

Note 1 - Business and segment information

MFRI, Inc. ("MFRI", the "Company", or the "Registrant") was incorporated in Delaware on October 12, 1993. As of January 31, 2016, MFRI is engaged in the manufacture and sale of products in one distinct segment: Piping Systems. As described below, prior to January 29, 2016, the Company was also engaged in the manufacture and sale of products in the Filtration Products segment.

Fiscal year. The Company's fiscal year ends on January 31. Years and balances described as 2015 and 2014 are the fiscal years ended January 31, 2016 and 2015, respectively.

Nature of business. Piping Systems engineers, designs, manufactures and sells specialty piping and leak detection and location systems. This segment's specialty piping systems include (i) industrial and secondary containment piping systems for transporting chemicals, hazardous fluids and petroleum products, (ii) insulated and jacketed district heating and cooling piping systems for efficient energy distribution to multiple locations from central energy plants, and (iii) oil and gas gathering flow and long lines for oil and mineral transportation. Piping Systems' leak detection and location systems are sold with many of its piping systems and on a stand-alone basis, to monitor areas where fluid intrusion may contaminate the environment, endanger personal safety, cause a fire hazard, impair essential services or damage equipment or property.

Prior to January 29, 2016, the Company had a Filtration Products segment. This business is reported as discontinued operations in the consolidated financial statements and the notes to consolidated financial statements have been restated to conform to the current year reporting of this business. For further information, see Note 4 - Discontinued operations, in the Notes to Consolidated Financial Statements.

Segment information was as follows:

	2015	2014
Net sales
Piping Systems	$122,696	$126,923
Gross profit
Piping Systems	$26,741	$30,774
Income (loss) from operations
Piping Systems	$10,537	$12,740
Corporate	(7,659)	(6,893)
Total income from operations	$2,878	$5,847
Segment assets
Piping Systems	$112,161	$99,065
Corporate	10,229	7,533
Total segment assets	$122,390	$106,598
Capital expenditures
Piping Systems	$4,762	$3,953
Corporate	289	485
Total capital expenditures	$5,051	$4,438
Depreciation and amortization
Piping Systems	$3,735	$3,635
Corporate	469	552
Total depreciation and amortization	$4,204	$4,187

Geographic information. Net sales are attributed to a geographic area based on the destination of the product shipment. Sales to foreign customers was 52% in 2015 compared to 50% in 2014. Long-lived assets are based on the physical location of the assets and consist of property, plant and equipment used in the generation of revenues in the geographic area.

	2015	2014
Net sales
United States	$58,707	$64,063
Middle East	60,749	50,430
Europe	73	372
Canada	2,581	3,248
India	372	5,099
Other Americas	72	3,657
Other	142	54
Total net sales	$122,696	$126,923
Property, plant and equipment, net of accumulated depreciation
United States	$13,822	$12,166
Middle East	11,211	11,608
India	367	391
Total	$25,400	$24,165