v3.25.1
Note F - Business Segments
 9 Months Ended
Mar. 28, 2025
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]

F.

Business Segments

 

The Company and its subsidiaries are engaged in the manufacture and sale of marine and heavy-duty off-highway power transmission equipment. Principal products include marine transmissions, azimuth drives, surface drives, propellers, and boat management systems, as well as power-shift transmissions, hydraulic torque converters, power take-offs, industrial clutches, and controls systems. The Company sells to both domestic and foreign customers in a variety of market areas, principally pleasure craft, commercial and military marine markets, as well as in the energy and natural resources, government, and industrial markets. The Company's worldwide sales to both domestic and foreign customers are transacted through a direct sales force and a distributor network.

 

The Company has two reportable segments: manufacturing and distribution.  These segment structures reflect the way management makes operating decisions and manages the growth and profitability of the business. It also corresponds with management’s approach of allocating resources and assessing the performance of its segments. The accounting practices of the segments are the same as those described in the summary of significant accounting policies. Transfers among segments are at established inter-company selling prices.  Management evaluates the performance of its segments based on net earnings.

 

Information about the Company’s segments is summarized as follows:

 

   

For the Quarter Ended

    

For the Three Quarters Ended

  
   

March 28, 2025

    

March 29, 2024

    

March 28, 2025

    

March 29, 2024

  

Net sales

                                

Manufacturing segment sales

   $ 72,484     $ 62,640     $ 212,265     $ 175,545  

Distribution segment sales

     30,138       37,022       95,448       107,117  

Inter/Intra segment elimination – manufacturing

     (15,215 )     (19,929 )     (44,273 )     (58,908 )

Inter/Intra segment elimination – distribution

     (6,165 )     (5,572 )     (19,380 )     (13,045 )
    $ 81,242     $ 74,161     $ 244,060     $ 210,709  

Net (loss) income attributable to Twin Disc, Incorporated

                                

Manufacturing segment net income

   $ 1,574     $ 5,662     $ 6,574     $ 9,298  

Distribution segment net income

     1,738       3,248       3,918       7,427  

Corporate and eliminations

     (4,784 )     (5,088 )     (13,809 )     (13,146 )
    $ (1,472 )   $ 3,822     $ (3,317 )   $ 3,579  

 

 

  

March 28, 2025

    

June 30, 2024

  
Assets                

Manufacturing segment assets

   $ 494,862     $ 443,149  

Distribution segment assets

     40,862       73,033  

Corporate assets and elimination of

                

intercompany assets

     (202,842 )     (204,124 )
    $ 332,882     $ 312,058  

 

Disaggregated revenue:

 

The following table presents details deemed most relevant to the users of the financial statements for the quarters ended March 28, 2025 and March 29, 2024.

 

Net sales by product group for the quarter ended March 28, 2025 is summarized as follows:

 

                   

Elimination of

          
   

Manufacturing

    

Distribution

    

Intercompany Sales

    

Total

  

Industrial

   $ 9,679     $ 1,400     $ (1,345 )   $ 9,734  

Land-based transmissions

     17,220       3,878       (3,322 )     17,776  

Marine and propulsion systems

     45,536       20,176       (16,414 )     49,298  

Other

     49       4,684       (299 )     4,434  

Total

   $ 72,484     $ 30,138     $ (21,380 )   $ 81,242  

 

 

Net sales by product group for the quarter ended March 29, 2024 is summarized as follows:

 

                   

Elimination of

          
   

Manufacturing

    

Distribution

    

Intercompany Sales

    

Total

  

Industrial

   $ 5,779     $ 1,084     $ (631 )   $ 6,232  

Land-based transmissions

     16,701       9,286       (6,898 )     19,089  

Marine and propulsion systems

     40,160       23,052       (17,968 )     45,244  

Other

     -       3,600       (4 )     3,596  

Total

   $ 62,640     $ 37,022     $ (25,501 )   $ 74,161  

 

 

Net Sales by product group for the three quarters ended March 28, 2025 is summarized as follows:

 

                   

Elimination of

          
   

Manufacturing

    

Distribution

    

Intercompany Sales

    

Total

  

Industrial

   $ 27,810     $ 3,506     $ (2,951 )   $ 28,365  

Land-based transmissions

     53,967       9,541       (9,438 )     54,070  

Marine and propulsion systems

     130,443       69,485       (50,503 )     149,425  

Other

     45       12,916       (761 )     12,200  

Total

   $ 212,265     $ 95,448     $ (63,653 )   $ 244,060  

 

 

Net Sales by product group for the three quarters ended March 29, 2024 is summarized as follows:

 

                   

Elimination of

          
   

Manufacturing

    

Distribution

    

Intercompany Sales

    

Total

  

Industrial

   $ 16,773     $ 3,670     $ (1,994 )   $ 18,449  

Land-based transmissions

     46,385       29,910       (22,765 )     53,530  

Marine and propulsion systems

     112,387       63,430       (47,166 )     128,651  

Other

     -       10,107       (28 )     10,079  

Total

   $ 175,545     $ 107,117     $ (71,953 )   $ 210,709