Quarterly report pursuant to Section 13 or 15(d)

Segment Reporting

v3.20.2
Segment Reporting
9 Months Ended
Jun. 30, 2020
Segment Reporting [Abstract]  
Segment Reporting

Note 16:

  Segment Reporting

The Company operates in three segments which are characterized as: (1) Manufacturing, (2) Retail and Online, and (3) Services. The Manufacturing Segment consists of Marquis Industries, the Retail and Online segment consists of Vintage Stock and ApplianceSmart, and the Services segment consists of the directory services business.

The following tables summarize segment information for the three and nine months ended June 30, 2020 and 2019:

 

 

 

For the Three Months Ended June 30,

 

 

For the Nine Months Ended June 30,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail and Online

 

$

14,259

 

 

$

23,973

 

 

$

54,733

 

 

$

80,366

 

Manufacturing

 

 

28,079

 

 

 

22,913

 

 

 

75,747

 

 

 

66,358

 

Services

 

 

134

 

 

 

157

 

 

 

424

 

 

 

488

 

 

 

$

42,472

 

 

$

47,043

 

 

$

130,904

 

 

$

147,212

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross profit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail and Online

 

$

8,009

 

 

$

12,455

 

 

$

29,464

 

 

$

38,773

 

Manufacturing

 

 

8,579

 

 

 

6,644

 

 

 

21,255

 

 

 

18,001

 

Services

 

 

125

 

 

 

147

 

 

 

396

 

 

 

460

 

 

 

$

16,713

 

 

$

19,246

 

 

$

51,115

 

 

$

57,234

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail and Online

 

$

1,586

 

 

$

552

 

 

$

2,770

 

 

$

183

 

Manufacturing

 

 

4,280

 

 

 

3,111

 

 

 

9,381

 

 

 

7,304

 

Services

 

 

124

 

 

 

146

 

 

 

394

 

 

 

458

 

 

 

$

5,990

 

 

$

3,809

 

 

$

12,545

 

 

$

7,945

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail and Online

 

$

331

 

 

$

(520

)

 

$

1,482

 

 

$

1,150

 

Manufacturing

 

 

984

 

 

 

610

 

 

 

2,472

 

 

 

2,982

 

Services

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

1,315

 

 

$

90

 

 

$

3,954

 

 

$

4,132

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail and Online

 

$

715

 

 

$

1,206

 

 

$

2,512

 

 

$

3,501

 

Manufacturing

 

 

440

 

 

 

399

 

 

 

1,270

 

 

 

1,292

 

Services

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

1,155

 

 

$

1,605

 

 

$

3,782

 

 

$

4,793

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) before provision for income

   taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail and Online

 

$

1,199

 

 

$

(617

)

 

$

778

 

 

$

(3,222

)

Manufacturing

 

 

3,685

 

 

 

2,512

 

 

 

7,681

 

 

 

7,579

 

Services

 

 

124

 

 

 

147

 

 

 

394

 

 

 

458

 

 

 

$

5,008

 

 

$

2,042

 

 

$

8,853

 

 

$

4,815

 

 

Chapter 11 Filing of ApplianceSmart, Inc.

 

On December 9, 2019, ApplianceSmart filed a voluntary petition (the “Chapter 11 Case”) in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”) seeking relief under Chapter 11 of Title 11 of the United States Code (the “Bankruptcy Code”). The bankruptcy affects Live Ventures’ indirect subsidiary ApplianceSmart only and does not affect any other subsidiary of Live Ventures, or Live Ventures itself.  As part of the Chapter 11 process, ApplianceSmart expects to work with its lenders and creditors to restructure and or settle secured and unsecured indebtedness.  

ApplianceSmart expects to continue to operate its business in the ordinary course of business as debtor-in-possession under the jurisdiction of the Bankruptcy Court and in accordance with applicable provisions of the Bankruptcy Code and the orders of the Bankruptcy Court. In addition, the Company reserves its right to file a motion seeking authority to use cash collateral of the lenders under the reserve-based revolving credit facility.

The case is being administrated under the caption In re: ApplianceSmart, Inc. (case number 19-13887). Court filings and other information related to the Chapter 11 Case are available at the PACER Case Locator website for those registered to do so or at the Courthouse located at One Bowling Green, Manhattan, New York 10004.

The Company will continue to consolidate ApplianceSmart as ApplianceSmart remains under the control of management and not the Bankruptcy Court. ApplianceSmart maintains its ability to operate under the normal course of business throughout the bankruptcy proceedings. The Company will continue to evaluate any triggering events that indicate a loss of control that may result in deconsolidation.