| SEGMENT INFORMATION |
NOTE
8 - SEGMENT INFORMATION
The
Company operates in two reportable segments, the operation of the hotel (“Hotel Operations”) and the investment of its cash
in marketable securities and other investments (“Investment Transactions”). These two operating segments, as presented in
the consolidated financial statements, reflect how management internally reviews each segment’s performance. Management also makes
operational and strategic decisions based on this same information.
Information
below represents reporting segments for the three months ended September 30, 2022 and 2021, respectively. Operating income from Hotel
operations consists of the operation of the hotel and operation of the garage. Loss from investment transactions consist of net investment
gain (loss), dividend and interest income and trading and margin interest expense. The other segment consists of corporate general and
administrative expenses and the income tax benefit for the entire Company.
SCHEDULE OF SEGMENT REPORTING INFORMATION, BY SEGMENT
| For the three months | |
Hotel | | |
Investment | | |
| | |
| |
| ended September 30, 2022 | |
Operations | | |
Transactions | | |
Corporate | | |
Total | |
| Revenues | |
$ | 12,310,000 | | |
$ | - | | |
$ | - | | |
$ | 12,310,000 | |
| Segment operating expenses | |
| (9,306,000 | ) | |
| - | | |
| (309,000 | ) | |
| (9,615,000 | ) |
| Segment income (loss) | |
| 3,004,000 | | |
| - | | |
| (309,000 | ) | |
| 2,695,000 | |
| Interest expense - mortgage | |
| (1,632,000 | ) | |
| - | | |
| - | | |
| (1,632,000 | ) |
| Interest expense - related party | |
| (430,000 | ) | |
| - | | |
| - | | |
| (430,000 | ) |
| Depreciation and amortization expense | |
| (627,000 | ) | |
| - | | |
| - | | |
| (627,000 | ) |
| Loss from investments | |
| - | | |
| (18,000 | ) | |
| - | | |
| (18,000 | ) |
| Income tax benefit | |
| - | | |
| - | | |
| 3,000 | | |
| 3,000 | |
| Net income (loss) | |
$ | 315,000 | | |
$ | (18,000 | ) | |
$ | (306,000 | ) | |
$ | (9,000 | ) |
| Total assets | |
$ | 41,514,000 | | |
$ | 295,000 | | |
$ | 8,316,000 | | |
$ | 50,125,000 | |
| As of and for the three months | |
Hotel | | |
Investment | | |
| | |
| |
| ended September 30, 2021 | |
Operations | | |
Transactions | | |
Corporate | | |
Total | |
| Revenues | |
$ | 6,805,000 | | |
$ | - | | |
$ | - | | |
$ | 6,805,000 | |
| Segment operating expenses | |
| (6,333,000 | ) | |
| - | | |
| (328,000 | ) | |
| (6,661,000 | ) |
| Segment income (loss) | |
| 472,000 | | |
| - | | |
| (328,000 | ) | |
| 144,000 | |
| Interest expense - mortgage | |
| (1,661,000 | ) | |
| - | | |
| - | | |
| (1,661,000 | ) |
| Interest expense - related party | |
| (237,000 | ) | |
| - | | |
| - | | |
| (237,000 | ) |
| Depreciation and amortization expense | |
| (529,000 | ) | |
| - | | |
| - | | |
| (529,000 | ) |
| Loss from investments | |
| - | | |
| (467,000 | ) | |
| - | | |
| (467,000 | ) |
| Income tax benefit | |
| - | | |
| - | | |
| 775,000 | | |
| 775,000 | |
| Net income (loss) | |
$ | (1,955,000 | ) | |
$ | (467,000 | ) | |
$ | 447,000 | | |
$ | (1,975,000 | ) |
| Total assets | |
$ | 40,704,000 | | |
$ | 2,525,000 | | |
$ | 9,020,000 | | |
$ | 52,249,000 | |
|