Quarterly report pursuant to Section 13 or 15(d)

Note 18 - Segment And Geographic Areas

v2.4.0.6
Note 18 - Segment And Geographic Areas
 6 Months Ended
Dec. 31, 2012
Segment Reporting Disclosure [Text Block]
NOTE 18 – SEGMENT AND GEOGRAPHIC AREAS

The Company has identified three global regions or segments for its products and services; North America, Europe, and Asia-Pacific.  Our reportable segments are business units located in different global regions. Each business unit provides similar products and services; license fees for leasing and asset-based software, related maintenance fees, and implementation and IT consulting services.  Separate management of each segment is required because each business unit is subject to different operational issues and strategies due to their particular regional location.  We account for intra-company sales and expenses as if the sales or expenses were to third parties and eliminate them in the consolidation.  The following table presents a summary of operating information and certain balance sheet information for the six months ended December 31:

   
2012
   
2011
 
 Revenues from unaffiliated customers:
           
 North America
  $ 2,667,104     $ 1,749,313  
 Europe
    3,919,329       2,506,234  
 Asia - Pacific
    16,139,086       10,579,213  
 Revenue from related party
    154,050       -  
 Consolidated
  $ 22,879,569     $ 14,834,760  
                 
 Operating income (loss):
               
 Corporate headquarters
  $ (1,571,519 )   $ (1,664,711 )
 North America
    (473,482 )     21,932  
 Europe
    746,291       (112,664 )
 Asia - Pacific
    5,720,304       2,145,505  
 Consolidated
  $ 4,421,594     $ 390,063  
                 
Net income (loss) after taxes and before non-controlling interest:
         
 Corporate headquarters
  $ (1,841,321 )   $ (2,130,465 )
 North America
    (514,199 )     21,308  
 Europe
    655,192       (13,771 )
 Asia - Pacific
    6,650,215       1,947,348  
 Consolidated
  $ 4,949,887     $ (175,579 )
                 
 Identifiable assets:
               
 Corporate headquarters
  $ 14,642,936     $ 14,077,314  
 North America
    3,379,705       2,460,475  
 Europe
    6,201,762       6,884,161  
 Asia - Pacific
    74,329,735       62,556,489  
 Consolidated
  $ 98,554,138     $ 85,978,439  
                 
 Depreciation and amortization:
               
 Corporate headquarters
  $ 67,898     $ 35,353  
 North America
    323,016       150,023  
 Europe
    457,469       300,783  
 Asia - Pacific
    1,809,211       1,596,160  
 Consolidated
  $ 2,657,594     $ 2,082,319  
                 
 Capital expenditures:
               
 Corporate headquarters
  $ 2,157     $ -  
 North America
    41,520       9,348  
 Europe
    13,369       484,485  
 Asia - Pacific
    3,480,872       2,338,379  
 Consolidated
  $ 3,537,918     $ 2,832,212  

Net revenues by our various products and services provided for the period ended December 31, are as follows:

   
2012
   
2011
 
 Licensing Fees
  $ 6,747,348     $ 3,123,705  
 Maintenance Fees
    4,710,519       4,158,488  
 Services
    11,267,652       7,552,567  
 Services to related party
    154,050       -  
 Total
  $ 22,879,569     $ 14,834,760  

During the six months ended December 31, 2012, revenue services were provide to Atheeb NetSol Saudi Company Limited (related party).