Quarterly report pursuant to Section 13 or 15(d)

Operating Segments

v3.3.0.814
Operating Segments
 3 Months Ended
Sep. 30, 2015
Operating Segments  
Operating Segments

NOTE 15 – OPERATING SEGMENTS

 

The Company has identified three 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. The Company accounts for intra-company sales and expenses as if the sales or expenses were to third parties and eliminates them in the consolidation.

 

The following table presents a summary of identifiable assets as of September 30, 2015 and June 30, 2015:

 

    As of
September 30, 2015 		    As of
June 30, 2015 		 
Identifiable assets:                
Corporate headquarters   $ 3,732,708     $ 4,896,334  
North America     7,163,840       7,162,846  
Europe     6,511,940       6,631,945  
Asia - Pacific     68,899,247       70,271,209  
Consolidated   $ 86,307,735     $ 88,962,334  

 

The following table presents a summary of operating information for the three months ended September 30:

 

    For the Three Months  
    Ended September 30,  
    2015     2014  
Revenues from unaffiliated customers:                
North America   $ 1,502,468     $ 1,166,777  
Europe     1,498,531       1,561,023  
Asia - Pacific     7,958,466       5,814,361  
      10,959,465       8,542,161  
Revenue from affiliated customers                
Europe     447,840       288,990  
Asia - Pacific     1,897,799       1,396,000  
      2,345,639       1,684,990  
Consolidated   $ 13,305,104     $ 10,227,151  
                 
Intercompany revenue                
Europe   $ 136,786     $ 130,528  
Asia - Pacific     944,189       281,119  
Eliminated   $ 1,080,975     $ 411,647  
                 
Net income (loss) after taxes and before non-controlling interest:                
Corporate headquarters   $ (713,650 )   $ (692,556 )
North America     376,714       102,073  
Europe     (194,581 )     (120,144 )
Asia - Pacific     311,991       (1,518,596 )
Consolidated   $ (219,526 )   $ (2,229,223 )

 

The following table presents a summary of capital expenditures for the three months ended September 30:

 

    2015     2014  
Capital expenditures:                
Corporate headquarters   $ -     $ 1,786  
North America     22,677       4,866  
Europe     43,819       42,918  
Asia - Pacific     559,298       981,558  
Consolidated   $ 625,794     $ 1,031,128