Industry Segments

6 Months Ended

Jun. 30, 2018

Note 15.

Industry Segments

We have two major reportable operating segments, each of which focuses on a specific line of replacement parts. Our Engine Management Segment manufactures and remanufactures ignition and emission parts, ignition wires, battery cables, fuel system parts and sensors for vehicle systems. Our Temperature Control Segment manufactures and remanufactures air conditioning compressors, air conditioning and heating parts, engine cooling system parts, power window accessories and windshield washer system parts.

The following tables show our net sales, intersegment revenue and operating income by our operating segments (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
Net Sales (a)
Engine Management	$	203,429		$	223,349		$	402,917		$	434,663
Temperature Control		80,370			87,391			140,601			157,681
All Other		2,837			1,989			4,944			2,763
Consolidated	$	286,636		$	312,729		$	548,462		$	595,107

Intersegment Revenue (a)
Engine Management	$	4,981		$	5,831		$	10,972		$	13,143
Temperature Control		2,140			2,095			3,820			4,124
All Other		(7,121	)		(7,926	)		(14,792	)		(17,267	)
Consolidated	$	—		$	—		$	—		$	—

Operating Income
Engine Management	$	23,138		$	26,489		$	40,514		$	53,774
Temperature Control		4,882			8,262			5,713			12,229
All Other		(4,670	)		(5,352	)		(10,570	)		(11,142	)
Consolidated	$	23,350		$	29,399		$	35,657		$	54,861

a)	Segment net sales include intersegment sales in our Engine Management and Temperature Control segments.

For the disaggregation of our net sales from contracts with customers by geographic area, major product group and major sales channels for each of our segments, see Note 3, “Net Sales.”