Segment Information

3 Months Ended

Mar. 31, 2018

Segment Information [Abstract]

Segment Information

18. Segment Information

The Company has two reportable business segments.  The Performance Improvement Solutions segment provides simulation, training and engineering products and services delivered across the breadth of industries we serve. Solutions include simulation for both training and engineering applications.  Example training applications include turnkey and custom training services, while engineering services include plant design verification and validation. The Company provides these services across all market segments. Contract terms are typically less than two years.

The Nuclear Industry Training and Consulting segment provides specialized workforce solutions primarily to the nuclear industry, working at clients' facilities. This business is managed through our Hyperspring and Absolute subsidiaries. The business model, management focus, margins and other factors clearly separate this business line from the rest of the GSE product and service portfolio.

The following table sets forth the revenue and operating results attributable to each reportable segment and includes a reconciliation of segment revenue to consolidated revenue and operating results to consolidated loss before income taxes:

(in thousands)	Three months ended
	March 31,
	2018		2017
Revenue:
Performance Improvement Solutions	$	9,901	$	9,670
Nuclear Industry Training and Consulting		12,994		6,672
	$	22,895	$	16,342
Operating income:
Performance Improvement Solutions	$	(790)	$	(110)
Nuclear Industry Training and Consulting		(338)		307
Change in fair value of contingent consideration, net		-		(254)
Operating loss		(1,128)		(57)
Interest income, net		22		27
Loss on derivative instruments, net		(156)		(160)
Other income (expense), net		25		(3)
Loss before income taxes	$	(1,237)	$	(193)

Effective January 2018, and due to the acquisition of Absolute, the Performance Improvement Solutions allocated corporate overhead to the Nuclear Industry Training and Consulting segment. For the three months ended March 31, 2018 and 2017, a total of $1.2 million and $0.6 million of corporate overhead, respectively, was allocated to Nuclear Industry Training and Consulting segment. Prior period amounts were reclassified to reflect the change.