Industry Segment Information

9 Months Ended

May 31, 2019

Note 15 – Industry Segment Information

The Company manages its business activities in two reportable segments: irrigation and infrastructure. The Company evaluates the performance of its reportable segments based on segment sales, gross profit and operating income, with operating income for segment purposes excluding unallocated corporate general and administrative expenses, interest income, interest expense, other income and expenses and income taxes. Operating income for segment purposes includes general and administrative expenses, selling expenses, engineering and research expenses and other overhead charges directly attributable to the segment. There are no inter-segment sales included in the amounts disclosed. The Company had no single customer who represented 10 percent or more of its total revenues during the three and nine months ended May 31, 2019 and 2018.

Irrigation - This reporting segment includes the manufacture and marketing of center pivot, lateral move, and hose reel irrigation systems, as well as various innovative technology solutions such as GPS positioning and guidance, variable rate irrigation, remote irrigation management and scheduling technology, irrigation consulting and design and industrial IoT solutions. The irrigation reporting segment consists of one operating segment.

Infrastructure – This reporting segment includes the manufacture and marketing of moveable barriers, specialty barriers, crash cushions and end terminals, and road marking and road safety equipment; the manufacturing and selling of large diameter steel tubing and railroad signals and structures; and providing outsourced manufacturing and production services. The infrastructure reporting segment consists of one operating segment.

	Three months ended						Nine months ended
($ in thousands)	May 31, 2019			May 31, 2018			May 31, 2019			May 31, 2018
Operating revenues:
Irrigation:
North America	$	62,974		$	87,407		$	177,118		$	234,023
International		35,644			41,015			104,876			109,617
Irrigation total		98,618			128,421			281,994			343,639
Infrastructure		22,436			41,150			60,193			80,797
Total operating revenues	$	121,054		$	169,571		$	342,187		$	424,436

Operating income:
Irrigation	$	11,037		$	11,718		$	26,341		$	31,502
Infrastructure		3,537			14,248			7,259			20,058
Corporate		(10,099	)		(7,152	)		(31,545	)		(19,254	)
Total operating income		4,475			18,814			2,055			32,306

Interest and other expense, net		(1,246	)		(1,369	)		(2,213	)		(4,393	)
Earnings (loss) before income taxes	$	3,229		$	17,445		$	(158	)	$	27,913

Capital expenditures:
Irrigation	$	3,828		$	1,950		$	8,306		$	5,985
Infrastructure		3,064			252			3,430			716
Corporate		1,617			3			8,474			219
	$	8,509		$	2,205		$	20,210		$	6,920
Depreciation and amortization:
Irrigation	$	2,373		$	2,974		$	7,071		$	9,047
Infrastructure		905			1,153			2,789			3,435
Corporate		285			125			592			369
	$	3,563		$	4,252		$	10,452		$	12,851

($ in thousands)	May 31, 2019		May 31, 2018		August 31, 2018
Total assets:
Irrigation	$	306,714	$	326,058	$	277,712
Infrastructure		80,971		88,616		69,919
Corporate		118,237		105,104		152,184
	$	505,922	$	519,778	$	499,815