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Segment Information
 12 Months Ended
Oct. 31, 2012
Segment Reporting [Abstract]  
Segment Information

Note 5 - Segment information

 

The Company aggregates operating divisions into operating segments which have similar economic characteristics and divisions are similar in the majority of the following areas: (1) the nature of the product and services; (2) the nature of the production process; (3) the type or class of customer for their products and services; (4) the methods used to distribute their products or services; (5) if applicable, the nature of the regulatory environment. The Company has four segments - RF Connector and Cable Assembly, Medical Cabling and Interconnector, RF Wireless, and Cables Unlimited based upon this evaluation.

 

The RF Connector and Cable Assembly segment is comprised of three divisions, the Cables Unlimited segment and the Medical Cabling and Interconnector segment are each comprised of one division, while the RF Wireless segment is comprised of two divisions.  The four divisions that meet the quantitative thresholds for segment reporting are Connector & Cable Assembly, Cables Unlimited, Bioconnect and RF Neulink. Each of the other divisions aggregated into these segments have similar products that are marketed to their respective customer base; production and product development processes are similar in nature. The specific customers are different for each division; however, there is some overlapping of product sales to them. The methods used to distribute products are similar within each division aggregated.

 

Management identifies the Company’s segments based on strategic business units that are, in turn, based along market lines. These strategic business units offer products and services to different markets in accordance with their customer base and product usage. For segment reporting purposes, the Company aggregates the Connector & Cable Assembly, Aviel, and Oddcables.com divisions into the RF Connector and Cable Assembly segment, while the Cables Unlimited division constitutes the Cables Unlimited segment. The Bioconnect Division makes up the Medical Cabling and Interconnector segment, and the RF Neulink and RadioMobile divisions make up the RF Wireless segment.

 

As reviewed by the Company’s chief operating decision maker, the Company evaluates the performance of each segment based on income or loss before income taxes. The Company charges depreciation and amortization directly to each division within the segment. All stock based compensation is attributed to the RF Connector and Cable Assembly segment. Inventory, fixed assets, goodwill and intangible assets are the only assets identified by segment. Except as discussed above, the accounting policies for segment reporting are the same as for the Company as a whole.

 

Substantially all of the Company’s operations are conducted in the United States; however, the Company derives a portion of its revenue from export sales. The Company attributes sales to geographic areas based on the location of the customers. The following table presents the sales of the Company by geographic area for the years ended October 31, 2012 and 2011:

 

    2012     2011  
             
United States   $ 28,621,502     $ 17,330,928  
Foreign countries:                
Canada     830,262       1,117,660  
Israel     256,967       386,426  
Mexico     396,954       388,191  
All other     126,968       210,298  
                 
Totals   $ 30,232,653     $ 19,433,503  

 

Net sales, income (loss) before provision for income taxes and other related segment information as of October 31, 2012 and 2011, and for the years then ended follows:

 

  RF Connectors
and
Cable Assembly		     Cables
Unlimited		     Medical
Cabling and
Interconnector		     RF Wireless     Corporate     Total  
2012                                                
Net sales   $ 14,176,074     $ 10,912,717     $ 2,598,383     $ 2,545,479     $ -     $ 30,232,653  
Income before provision for income taxes     1,599,461       1,719,522       652,533       126,595       14,798       4,112,909  
Depreciation and amortization     215,704       340,058       40,409       3,653               599,824  
Total assets     5,364,284       6,902,164       575,209       475,151       12,146,610       25,463,418  
Additions to equipment and furnishings     304,586       276,025       -       9,489       -       590,100  
                                                 
2011                                                
Net sales   $ 13,867,770     $ 2,643,552     $ 2,153,639     $ 768,542     $ -     $ 19,433,503  
Income (loss) before provision for income taxes     1,317,319       21,757       438,839       (669,383 )     43,311       1,151,843  
Depreciation, amortization and impairment     177,329       179,607       32,811       1,886               391,633  
Total assets     5,280,427       7,614,660       585,557       503,890       10,393,412       24,377,946  
Additions to equipment and furnishings     272,606       18,549       77,050       -       -       368,205