Business Segments

6 Months Ended

Sep. 28, 2014

Business Segments [Abstract]

Business Segments

Note 7. Business Segments

The Company evaluates its business as one segment, as the chief operating decision maker assesses performance and allocates resources on a consolidated basis. However, to provide investors with increased visibility into the markets it serves, the Company also reports revenue and gross profit by the following customer market units:  (1) public carriers, contractors and program managers, that are generally responsible for building and maintaining the infrastructure system and provide airtime service to individual subscribers; (2) private system operators and governments including commercial entities such as major utilities and transportation companies, federal agencies and state and local governments that run wireless networks for their own use; (3) commercial dealers and resellers that sell, install and/or service cellular telephone, wireless networking, broadband and two-way radio communications equipment primarily for the enterprise market; and (4) retailers, dealer agents and carriers.

The Company evaluates revenue, gross profit, and income before provision for income taxes in the aggregate.  Certain cost of sales and other applicable expenses have been allocated to each market unit based on a percentage of revenues and/or gross profit, where appropriate.

Market unit activity for the second quarter and first six months of fiscal years 2015 and 2014 are as follows (in thousands):

	Three Months Ended
	September 28, 2014		September 29, 2013
Revenues
Public Carriers, Contractors & Program Managers	$	40,853	$	40,948
Private & Government System Operators		29,446		31,059
Commercial Dealers & Resellers		36,780		36,433
Retailer, Independent Dealer Agents & Carriers		41,443		38,086
Total revenues		148,522		146,526
Gross Profit
Public Carriers, Contractors & Program Managers		7,347		9,015
Private & Government System Operators		8,082		8,377
Commercial Dealers & Resellers		10,289		10,093
Retailer, Independent Dealer Agents & Carriers		9,718		9,008
Total gross profit		35,436		36,493
Selling, general, administrative, and interest expenses		29,619		28,971
Income before provision for income taxes	$	5,817	$	7,522

	Six Months Ended
	September 28, 2014		September 29, 2013
Revenues
Public Carriers, Contractors & Program Managers	$	82,271	$	78,331
Private & Government System Operators		58,450		58,952
Commercial Dealers & Resellers		75,064		72,477
Retailer, Independent Dealer Agents & Carriers		85,683		80,875
Total revenues		301,468		290,635
Gross Profit
Public Carriers, Contractors & Program Managers		14,540		16,909
Private & Government System Operators		15,995		16,178
Commercial Dealers & Resellers		20,926		20,340
Retailer, Independent Dealer Agents & Carriers		19,224		18,504
Total gross profit		70,685		71,931
Selling, general, administrative, and interest expenses		58,824		57,499
Income before provision for income taxes	$	11,861	$	14,432

To provide investors with better visibility, the Company also discloses revenue and gross profit by its four product categories:

· Base station infrastructure products are used to build, repair and upgrade wireless telecommunications. Products include base station antennas, cable and transmission lines, small towers, lightning protection devices, connectors, power systems, miscellaneous hardware, and mobile antennas. Our base station infrastructure service offering includes connector installation, custom jumper assembly, site kitting and logistics integration.

· Network systems products are used to build and upgrade computing and Internet networks.  Products include fixed and mobile broadband equipment, distributed antenna systems (DAS), wireless networking, filtering systems, two-way radios and security and surveillance products.  This product category also includes training classes, technical support and engineering design services.

· Installation, test and maintenance products are used to install, tune, maintain and repair wireless communications equipment. Products include sophisticated analysis equipment and various frequency-, voltage- and power-measuring devices, as well as an assortment of tools, hardware, GPS, safety and replacement and component parts and supplies required by service technicians.

· Mobile device accessories include cellular phone and data device accessories such as replacement batteries, cases, speakers, mobile amplifiers, power supplies, headsets, mounts, car antennas, music accessories and data and memory cards. Retail merchandising displays, promotional programs, customized order fulfillment services and affinity-marketing programs, including private label Internet sites, complement our mobile devices and accessory product offering.

Supplemental revenue and gross profit information by product category for the second quarter and first six months of fiscal years 2015 and 2014 are as follows (in thousands):

	Three months ended September 28, 2014		Three months ended September 29, 2013
Revenues
Base station infrastructure	$	64,129	$	67,888
Network systems		27,496		21,838
Installation, test and maintenance		10,663		12,588
Mobile device accessories		46,234		44,212
Total revenues	$	148,522	$	146,526
Gross Profit
Base station infrastructure	$	16,817	$	18,765
Network systems		4,174		3,745
Installation, test and maintenance		2,284		2,780
Mobile device accessories		12,161		11,203
Total gross profit	$	35,436	$	36,493

	Six months ended September 28, 2014		Six months ended September 29, 2013
Revenues
Base station infrastructure	$	127,016	$	137,429
Network systems		58,040		40,901
Installation, test and maintenance		21,585		22,350
Mobile device accessories		94,827		89,955
Total revenues	$	301,468	$	290,635
Gross Profit
Base station infrastructure	$	33,892	$	37,654
Network systems		8,859		7,563
Installation, test and maintenance		4,817		5,130
Mobile device accessories		23,117		21,584
Total gross profit	$	70,685	$	71,931