BUSINESS SEGMENTS

12 Months Ended

Sep. 30, 2018

BUSINESS SEGMENTS

BUSINESS SEGMENTS

11. BUSINESS SEGMENTS:

The Company has two reportable business segments: the wholesale distribution of consumer products and the retail sale of health and natural food products. The retail health food stores’ operations are aggregated to comprise the Retail Segment because such operations have similar economic characteristics, as well as similar characteristics with respect to the nature of products sold, the type and class of customers for the health food products and the methods used to sell the products. Included in the “Other” column are intercompany eliminations, and assets held and charges incurred by our holding company. The segments are evaluated on revenues, gross margins, operating income (loss), and income before taxes.

	Wholesale		Retail
	Segment		Segment		Other		Consolidated
FISCAL YEAR ENDED 2018:
External revenues:
Cigarettes	$	933,920,414	$	—	$	—	$	933,920,414
Tobacco		172,904,744		—		—		172,904,744
Confectionery		78,915,899		—		—		78,915,899
Health food				29,572,602		—		29,572,602
Foodservice & other		106,992,999		—		—		106,992,999
Total external revenue		1,292,734,056		29,572,602		—		1,322,306,658
Depreciation		1,338,476		900,295		—		2,238,771
Amortization		79,375		—		—		79,375
Operating income (loss)		15,000,101		(3,144,133)		(5,937,027)		5,918,941
Interest expense		91,276		—		1,103,097		1,194,373
Income (loss) from operations before taxes		14,950,647		(3,134,613)		(7,037,424)		4,778,610
Total assets		125,152,820		14,639,962		161,372		139,954,154
Capital expenditures		1,590,784		1,635,323		—		3,226,107
FISCAL YEAR ENDED 2017:
External revenue:
Cigarettes	$	909,533,495	$	—	$	—	$	909,533,495
Tobacco		158,899,064		—		—		158,899,064
Confectionery		80,129,898		—		—		80,129,898
Health food		—		25,421,603		—		25,421,603
Foodservice & other		101,000,348		—		—		101,000,348
Total external revenue		1,249,562,805		25,421,603		—		1,274,984,408
Depreciation		1,295,534		488,941		—		1,784,475
Amortization		265,000		—		—		265,000
Operating income (loss)		13,665,234		(1,801,581)		(5,638,900)		6,224,753
Interest expense		101,691		—		723,999		825,690
Income (loss) from operations before taxes		13,663,327		(1,786,851)		(6,437,900)		5,438,576
Total assets		117,297,333		14,399,224		108,330		131,804,887
Capital expenditures		525,558		2,040,141		—		2,565,699