| Operating Segments |
NOTE 19 – 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 March 31, 2021 and June 30, 2020:
| |
|
As of |
|
|
As of |
|
| |
|
March 31, 2021 |
|
|
June 30, 2020 |
|
| Identifiable assets: |
|
|
|
|
|
|
|
|
| Corporate headquarters |
|
$ |
2,262,773 |
|
|
$ |
4,508,724 |
|
| North America |
|
|
5,798,737 |
|
|
|
5,949,653 |
|
| Europe |
|
|
10,928,592 |
|
|
|
10,856,814 |
|
| Asia - Pacific |
|
|
69,325,685 |
|
|
|
67,157,898 |
|
| Consolidated |
|
$ |
88,315,787 |
|
|
$ |
88,473,089 |
|
The following table presents a summary of investment
under equity method as of March 31, 2021 and June 30, 2020:
| |
|
As of |
|
|
As of |
|
| |
|
March 31, 2021 |
|
|
June 30, 2020 |
|
| Investment in associates under equity method: |
|
|
|
|
|
|
|
|
| Corporate headquarters |
|
$ |
401,307 |
|
|
$ |
473,692 |
|
| Asia - Pacific |
|
|
2,794,673 |
|
|
|
1,914,000 |
|
| Consolidated |
|
$ |
3,195,980 |
|
|
$ |
2,387,692 |
|
The following table presents a summary of operating
information for the three and nine months ended March 31:
| |
|
For the Three Months |
|
|
For the Nine Months |
|
| |
|
Ended March 31, |
|
|
Ended March 31, |
|
| |
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
| Revenues from unaffiliated customers: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| North America |
|
$ |
1,008,011 |
|
|
$ |
1,210,187 |
|
|
$ |
2,837,445 |
|
|
$ |
3,464,705 |
|
| Europe |
|
|
2,748,945 |
|
|
|
2,791,238 |
|
|
|
8,627,042 |
|
|
|
8,225,906 |
|
| Asia - Pacific |
|
|
10,027,040 |
|
|
|
9,467,570 |
|
|
|
28,088,347 |
|
|
|
30,900,462 |
|
| |
|
|
13,783,996 |
|
|
|
13,468,995 |
|
|
|
39,552,834 |
|
|
|
42,591,073 |
|
| Revenue from affiliated customers |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Asia - Pacific |
|
|
- |
|
|
|
61,842 |
|
|
|
- |
|
|
|
202,199 |
|
| |
|
|
- |
|
|
|
61,842 |
|
|
|
- |
|
|
|
202,199 |
|
| Consolidated |
|
$ |
13,783,996 |
|
|
$ |
13,530,837 |
|
|
$ |
39,552,834 |
|
|
$ |
42,793,272 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Intercompany revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Europe |
|
$ |
160,970 |
|
|
$ |
143,814 |
|
|
$ |
426,883 |
|
|
$ |
455,040 |
|
| Asia - Pacific |
|
|
3,810,340 |
|
|
|
2,048,652 |
|
|
|
9,094,697 |
|
|
|
5,618,855 |
|
| Eliminated |
|
$ |
3,971,310 |
|
|
$ |
2,192,466 |
|
|
$ |
9,521,580 |
|
|
$ |
6,073,895 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net income (loss) after taxes and before non-controlling interest: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Corporate headquarters |
|
$ |
(804,636 |
) |
|
$ |
240,294 |
|
|
$ |
1,536,305 |
|
|
$ |
(1,003,798 |
) |
| North America |
|
|
57,460 |
|
|
|
134,390 |
|
|
|
(271,356 |
) |
|
|
230,738 |
|
| Europe |
|
|
(474,629 |
) |
|
|
122,974 |
|
|
|
301,472 |
|
|
|
927,717 |
|
| Asia - Pacific |
|
|
246,635 |
|
|
|
971,435 |
|
|
|
(1,497,302 |
) |
|
|
(399,887 |
) |
| Consolidated |
|
$ |
(975,170 |
) |
|
$ |
1,469,093 |
|
|
$ |
69,119 |
|
|
$ |
(245,230 |
) |
The following table presents a summary of capital
expenditures for the nine months ended March 31:
| |
|
For the Nine Months |
|
| |
|
Ended March 31, |
|
| |
|
2021 |
|
|
2020 |
|
| Capital expenditures: |
|
|
|
|
|
|
|
|
| North America |
|
$ |
1,520 |
|
|
$ |
2,404 |
|
| Europe |
|
|
388,367 |
|
|
|
487,693 |
|
| Asia - Pacific |
|
|
1,719,171 |
|
|
|
521,188 |
|
| Consolidated |
|
$ |
2,109,058 |
|
|
$ |
1,011,285 |
|
|