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Segment Reporting
 6 Months Ended
Jun. 30, 2020
Segment Reporting [Abstract]  
SEGMENT REPORTING

Note 11. SEGMENT REPORTING

 

In accordance with FASB ASC 280, "Segment Reporting" ("ASC 280"), the Company discloses financial and descriptive information about its reportable operating segments. Operating segments are components of an enterprise about which separate financial information is available and regularly evaluated by the chief operating decision maker in deciding how to allocate resources and in assessing performance.

  

The Company follows ASC 280, which establishes standards for reporting information about operating segments in annual and interim financial statements, and requires that companies report financial and descriptive information about their reportable segments based on a management approach. ASC 280 also establishes standards for related disclosures about products and services, geographic areas and major customers.

 

The Company currently divides its operations into two operating segments: Complex Machining, which consists of AIM and NTW; and Turbine Engine Components, which consists of Sterling. Along with its operating subsidiaries, the Company reports the results of its corporate division as an independent segment.

 

For reporting purposes, EPC and ECC have been classified as discontinued operations for the three and six months ending June 30, 2019.

 

The accounting policies of each of the segments are the same as those described in the Summary of Significant Accounting Policies. Intersegment transfers are recorded at the transferor's cost, and there is no intercompany profit or loss on intersegment transfers. We evaluate performance based on revenue, gross profit contribution and assets employed.

 

Financial information about the Company's reporting segments for the three and six months ended June 30, 2020 and 2019 are as follows:

 

   For the Three Months Ended
June 30,		   For the Six Months Ended
June 30,		 
   2020   2019   2020   2019 
   (unaudited)   (unaudited)   (unaudited)   (unaudited) 
COMPLEX MACHINING                
Net Sales  $7,308,000   $11,701,000   $19,372,000   $24,119,000 
Gross Profit   681,000    2,095,000    2,849,000    4,308,000 
Pre Tax (Loss) Income from continuing operations   (10,000)   1,351,000    1,160,000    2,794,000 
Assets   48,490,000    47,176,000    48,490,000    47,176,000 
                     
TURBINE ENGINE COMPONENTS                    
Net Sales   1,186,000    1,667,000    2,569,000    3,127,000 
Gross (Loss) Profit   (67,000)   96,000    (54,000)   157,000 
Pre Tax Loss from continuing operations   (217,000)   (111,000)   (343,000)   (281,000)
Assets   4,430,000    5,575,000    4,430,000    5,575,000 
                     
CORPORATE                    
Net Sales   -    -    -    - 
Gross Profit   -    -    -    - 
Pre Tax Loss from continuing operations   (1,357,000)   (1,975,000)   (2,757,000)   (4,243,000)
Assets   1,808,000    568,000    1,808,000    568,000 
                     
CONSOLIDATED                    
Net Sales   8,494,000    13,368,000    21,941,000    27,246,000 
Gross Profit   614,000    2,191,000    2,795,000    4,465,000 
Pretax net loss from continuing operations   (1,584,000)   (735,000)   (1,940,000)   (1,730,000)
Benefit from Income Taxes   -    -    (1,414,000)   - 
Income from Discontinued Operations, net of taxes   -    -    -    72,000 
Net Loss   (1,584,000)   (735,000)   (526,000)   (1,658,000)
Assets  $54,728,000   $53,319,000   $54,728,000   $53,319,000