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Segment Information | 9 Months Ended
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Apr. 30, 2015
Segment Reporting [Abstract] |
Segment Information | Segment Information Reportable operating segments are determined based on Comtech’s management approach. The management approach, as defined by FASB ASC 280, “Segment Reporting,” is based on the way that the chief operating decision maker organizes the segments within an enterprise for making decisions about resources to be allocated and assessing their performance. Our chief operating decision maker function for purposes of FASB ASC 280 consists of our President and Chief Executive Officer and our Executive Chairman. While our results of operations are primarily reviewed on a consolidated basis, the chief operating decision makers also manage the enterprise in three operating segments: (i) telecommunications transmission, (ii) RF microwave amplifiers, and (iii) mobile data communications. Telecommunications transmission products include satellite earth station products (such as analog and digital modems, frequency converters, power amplifiers, transceivers and voice gateways) and over-the-horizon microwave communications products and systems (such as digital troposcatter modems). RF microwave amplifier products include traveling wave tube amplifiers and solid-state, high-power narrow and broadband amplifier products that use the microwave and radio frequency spectrums. Mobile data communications products and services substantially relate to our support of the U.S. Army's BFT-1 and MTS programs, which are currently in a sustainment mode. We currently perform engineering services and satellite network operations on a cost-plus-fixed fee basis and program management services on a firm-fixed-price basis and we license certain of our intellectual property to the U.S. Army. Segment information is presented in the tables below:
|  | Three months ended April 30, 2015
|  | Telecommunications Transmission |  | RF Microwave Amplifiers |  | Mobile Data Communications |  | Unallocated |  | Total
Net sales |  | $ | 45,642,000 |  |  | 19,676,000 |  |  | 6,315,000 |  |  | — |  |  | $ | 71,633,000 |
Operating income (loss) |  | 7,283,000 |  |  | 1,254,000 |  |  | 2,642,000 |  |  | (4,019,000 | ) |  | 7,160,000 |
Interest income and other (expense) |  | (6,000 | ) |  | 6,000 |  |  | 4,000 |  |  | 103,000 |  |  | 107,000 |
Interest expense |  | 72,000 |  |  | — |  |  | — |  |  | — |  |  | 72,000 |
Depreciation and amortization |  | 2,198,000 |  |  | 940,000 |  |  | 78,000 |  |  | 1,255,000 |  |  | 4,471,000 |
Expenditure for long-lived assets, including intangibles |  | 403,000 |  |  | 117,000 |  |  | 149,000 |  |  | 19,000 |  |  | 688,000 |
Total assets at April 30, 2015 |  | 237,811,000 |  |  | 95,217,000 |  |  | 6,213,000 |  |  | 134,554,000 |  |  | 473,795,000 |
|  | Three months ended April 30, 2014
|  | Telecommunications Transmission |  | RF Microwave Amplifiers |  | Mobile Data Communications |  | Unallocated |  | Total
Net sales |  | $ | 61,235,000 |  |  | 22,499,000 |  |  | 5,171,000 |  |  | — |  |  | $ | 88,905,000 |
Operating income (loss) |  | 10,353,000 |  |  | 1,445,000 |  |  | 2,318,000 |  |  | (3,549,000 | ) |  | 10,567,000 |
Interest income and other (expense) |  | 21,000 |  |  | (14,000 | ) |  | 3,000 |  |  | 246,000 |  |  | 256,000 |
Interest expense |  | 62,000 |  |  | — |  |  | — |  |  | 1,931,000 |  |  | 1,993,000 |
Depreciation and amortization |  | 2,193,000 |  |  | 939,000 |  |  | 62,000 |  |  | 1,086,000 |  |  | 4,280,000 |
Expenditure for long-lived assets, including intangibles |  | 916,000 |  |  | 158,000 |  |  | 38,000 |  |  | — |  |  | 1,112,000 |
Total assets at April 30, 2014 |  | 251,156,000 |  |  | 89,177,000 |  |  | 5,811,000 |  |  | 287,461,000 |  |  | 633,605,000 |
|  | Nine months ended April 30, 2015
|  | Telecommunications Transmission |  | RF Microwave Amplifiers |  | Mobile Data Communications |  | Unallocated |  | Total
Net sales |  | $ | 150,865,000 |  |  | 60,086,000 |  |  | 18,875,000 |  |  | — |  |  | $ | 229,826,000 |
Operating income (loss) |  | 26,498,000 |  |  | 3,286,000 |  |  | 8,218,000 |  |  | (12,000,000 | ) |  | 26,002,000 |
Interest income and other (expense) |  | (61,000 | ) |  | (19,000 | ) |  | 10,000 |  |  | 351,000 |  |  | 281,000 |
Interest expense |  | 208,000 |  |  | — |  |  | — |  |  | 198,000 |  |  | 406,000 |
Depreciation and amortization |  | 6,607,000 |  |  | 2,725,000 |  |  | 220,000 |  |  | 3,668,000 |  |  | 13,220,000 |
Expenditure for long-lived assets, including intangibles |  | 1,683,000 |  |  | 791,000 |  |  | 293,000 |  |  | 66,000 |  |  | 2,833,000 |
Total assets at April 30, 2015 |  | 237,811,000 |  |  | 95,217,000 |  |  | 6,213,000 |  |  | 134,554,000 |  |  | 473,795,000 |
|  | Nine months ended April 30, 2014
|  | Telecommunications Transmission |  | RF Microwave Amplifiers |  | Mobile Data Communications |  | Unallocated |  | Total
Net sales |  | $ | 172,121,000 |  |  | 64,737,000 |  |  | 20,914,000 |  |  | — |  |  | $ | 257,772,000 |
Operating income (loss) |  | 29,550,000 |  |  | 3,113,000 |  |  | 9,697,000 |  |  | (10,522,000 | ) |  | 31,838,000 |
Interest income and other (expense) |  | 9,000 |  |  | (32,000 | ) |  | 9,000 |  |  | 771,000 |  |  | 757,000 |
Interest expense (income) |  | 182,000 |  |  | — |  |  | (3,000 | ) |  | 5,830,000 |  |  | 6,009,000 |
Depreciation and amortization |  | 6,683,000 |  |  | 2,827,000 |  |  | 199,000 |  |  | 3,134,000 |  |  | 12,843,000 |
Expenditure for long-lived assets, including intangibles |  | 3,830,000 |  |  | 415,000 |  |  | 284,000 |  |  | 7,000 |  |  | 4,536,000 |
Total assets at April 30, 2014 |  | 251,156,000 |  |  | 89,177,000 |  |  | 5,811,000 |  |  | 287,461,000 |  |  | 633,605,000 |
Unallocated expenses result from such corporate expenses as executive compensation, accounting, legal and other regulatory compliance related costs. In addition, unallocated expenses for the three and nine months ended April 30, 2015 and 2014 include $1,244,000 and $3,642,000, respectively, and $1,070,000 and $3,086,000, respectively, of stock-based compensation expense. Interest expense for the three and nine months ended April 30, 2014 primarily reflects interest on our 3.0% convertible senior notes which were settled in May 2014. Interest expense for both the nine months ended April 30, 2015 and 2014 includes interest on a committed $100,000,000 secured revolving credit facility that expired on October 31, 2014 and amortization of deferred financing costs, neither of which is allocated to the operating segments. Depreciation and amortization includes amortization of stock-based compensation. In addition, unallocated expenses for the nine months ended April 30, 2015 include $585,000 of expenses related to our strategic alternatives analysis which we concluded in December 2014. There were no such expenses during the three months ended April 30, 2015 or the three and nine months ended April 30, 2014. Unallocated assets at April 30, 2015 consist principally of cash and deferred tax assets. Intersegment sales for the three months ended April 30, 2015 and 2014 by the telecommunications transmission segment to the RF microwave amplifiers segment were $824,000 and $521,000, respectively. Intersegment sales for the nine months ended April 30, 2015 and 2014 by the telecommunications transmission segment to the RF microwave amplifiers segment were $1,833,000 and $1,286,000, respectively. Intersegment sales for the three months ended April 30, 2015 and 2014 by the telecommunications transmission segment to the mobile data communications segment were $127,000 and $41,000, respectively. Intersegment sales for the nine months ended April 30, 2015 and 2014 by the telecommunications transmission segment to the mobile data communications segment were $464,000 and $213,000, respectively. Intersegment sales for the three and nine months ended April 30, 2014 by the RF microwave amplifiers segment to the telecommunications transmission segment were $3,000 and $137,000, respectively. There were no intersegment sales for the three and nine months ended April 30, 2015 by the RF microwave amplifiers segment to the telecommunications transmission segment. Substantially all of our long-lived assets are located in the U.S. and all intersegment sales are eliminated in consolidation and are excluded from the tables above. In December 2014, our Board of Directors named a new President and Chief Executive Officer, succeeding our former President and Chief Executive Officer who is currently serving as Executive Chairman of our Board of Directors. Our new President and Chief Executive Officer was, and continues to be, a member of our Board of Directors. In March 2015, our President and Chief Executive Officer initiated an assessment of our operations to determine if changes in our business approach or operations would help us better serve our customers and potentially reduce our annual operating expenses. In connection with this review, in May 2015, we formed a joint venture consisting solely of our domestic operating subsidiaries whose main purpose is to further facilitate collaboration and allow us to propose on new opportunities (such as large U.S. government solicitations) with a unified approach. We also expanded, and expect to continue to expand, our corporate marketing and business development function to enhance our focus on existing and untapped market opportunities. This assessment of our operations is continuing and future changes may result in a change in our management approach which in turn may change the way we define our reportable operating segments, as such terms are defined by FASB ASC 280.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 + Details
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