13. SEGMENT REPORTING

Domestic and international sales from continuing operations are as follows in millions of dollars:

 

 

2026

 

 

2025

 

Domestic

 

$

81.6

 

 

$

60.4

 

International

 

 

111.0

 

 

 

106.8

 

Total

 

$

192.6

 

 

$

167.2

 

 

The Company is organized into seven geographical operating segments that are based on management responsibilities: U.S. Operations (including Corporate), Europe, Mexico, Asia, Canada, Latin America and Other Foreign.

Gross profit and Operating profit are the measures used by the chief operating decision maker, identified as our President and Chief Executive Officer, to evaluate segment performance and identify opportunities when allocating resources.

The accounting principles applied at the reportable segment level in determining the segment measure of profit or loss are the same as those applied at the consolidated financial statement level. Sales and transfers between operating segments are accounted for at market-based transaction prices and are eliminated in consolidation.

Our U.S. operations include a facility in Alabama (primarily the distribution to customers of the bulk of our products and the light manufacturing of our chemical, wovens, reflective, and fire products) and facilities in Arizona, California and Iowa (fire services). The Company also maintains one manufacturing facility in China (primarily disposable and chemical suit production), a manufacturing facility in Mexico (primarily disposable, reflective, fire and chemical suit production), a manufacturing facility in Vietnam (primarily disposable production), a manufacturing facility in Argentina (primarily wovens production), a manufacturing facility in Romania (boots), a manufacturing facility in New Zealand (helmets) and two small manufacturing facilities in India (primarily disposable and wovens production). Our China and Vietnam facilities produce a significant portion of the Company’s products. We evaluate the performance of these entities based on gross profit, which is defined as net sales less cost of goods sold, and operating income (loss), which is defined as income before income taxes, interest expense and other income and expenses. We have sales forces in the U.S., Canada, Mexico, Europe, Latin America, India, Russia, Kazakhstan, Australia, New Zealand and China, which sell and distribute products shipped from the U.S., Mexico, China, Vietnam or India.

The table below represents information about reportable segments for the years ended January 31, 2026 and 2025 noted therein (amounts may not foot due to rounding):

 

 

Year Ended January 31,

 

 

2026

 

 

2025

 

 

(in millions of dollars)

 

Net Sales

 

 

 

 

 

 

U.S. Operations

 

$

89.1

 

 

$

66.7

 

Europe

 

 

56.5

 

 

 

42.9

 

Mexico

 

 

7.5

 

 

 

7.6

 

Asia

 

 

50.2

 

 

 

53.8

 

Canada

 

 

9.1

 

 

 

10.3

 

Latin America

 

 

16.8

 

 

 

21.3

 

Other foreign

 

 

18.3

 

 

 

18.3

 

Less intersegment sales

 

 

(54.9

)

 

 

(53.7

)

Consolidated sales

 

$

192.6

 

 

$

167.2

 

External Sales

 

 

 

 

 

 

U.S. Operations

 

$

81.6

 

 

$

60.4

 

Europe

 

 

54.2

 

 

 

42.1

 

Mexico

 

 

4.7

 

 

 

5.0

 

Asia

 

 

14.5

 

 

 

13.9

 

Canada

 

 

8.9

 

 

 

10.3

 

Latin America

 

 

16.4

 

 

 

21.2

 

Other foreign

 

 

12.3

 

 

 

14.3

 

Consolidated external sales

 

$

192.6

 

 

$

167.2

 

Intersegment Sales

 

 

 

 

 

 

U.S. Operations

 

$

7.5

 

 

$

6.3

 

Europe

 

 

2.2

 

 

 

0.8

 

Mexico

 

 

2.8

 

 

 

2.6

 

Asia

 

 

35.7

 

 

 

39.9

 

Canada

 

 

0.2

 

 

 

 

Latin America

 

 

0.5

 

 

 

0.1

 

Other foreign

 

 

6.0

 

 

 

4.0

 

Consolidated intersegment sales

 

$

54.9

 

 

$

53.7

 

 

 

Year Ended January 31,

 

 

2026

 

 

2025

 

 

(in millions of dollars)

 

Cost of Goods Sold:

 

 

 

 

 

 

U.S. Operations

 

$

60.9

 

 

$

41.6

 

Europe

 

 

42.5

 

 

 

32.5

 

Mexico

 

 

8.0

 

 

 

7.1

 

Asia

 

 

40.4

 

 

 

41.7

 

Canada

 

 

6.3

 

 

 

6.2

 

Latin America

 

 

11.5

 

 

 

11.4

 

Other foreign

 

 

12.5

 

 

 

10.9

 

Less intersegment cost of goods sold

 

 

(52.8

)

 

 

(52.9

)

Consolidated cost of goods sold

 

$

129.3

 

 

$

98.5

 

Gross Profit (Loss);

 

 

 

 

 

 

U.S. Operations

 

$

28.2

 

 

$

25.0

 

Europe

 

 

14.0

 

 

 

10.4

 

Mexico

 

 

(0.5

)

 

 

0.6

 

Asia

 

 

9.8

 

 

 

12.1

 

Canada

 

 

2.8

 

 

 

4.1

 

Latin America

 

 

5.3

 

 

 

9.8

 

Other foreign

 

 

5.8

 

 

 

7.4

 

Less intersegment loss

 

 

(2.1

)

 

 

(0.7

)

Consolidated gross profit

 

$

63.3

 

 

$

68.7

 

Operating Expenses(1):

 

 

 

 

 

 

U.S. Operations

 

$

45.2

 

 

$

33.4

 

Europe

 

 

15.1

 

 

 

19.5

 

Mexico

 

 

(0.7

)

 

 

2.1

 

Asia

 

 

6.3

 

 

 

5.6

 

Canada

 

 

2.5

 

 

 

4.2

 

Latin America

 

 

5.7

 

 

 

5.4

 

Other foreign

 

 

6.1

 

 

 

9.1

 

Less intersegment loss

 

 

(1.4

)

 

 

(1.4

)

Consolidated operating expenses

 

$

78.8

 

 

$

77.9

 

Operating (Loss) Profit:

 

 

 

 

 

 

U.S. Operations

 

$

(17.0

)

 

$

(8.0

)

Europe

 

 

(1.1

)

 

 

(9.6

)

Mexico

 

 

0.2

 

 

 

(1.5

)

Asia

 

 

3.5

 

 

 

6.5

 

Canada

 

 

0.3

 

 

 

(0.2

)

Latin America

 

 

(0.4

)

 

 

4.5

 

Other foreign

 

 

(0.3

)

 

 

(1.7

)

Less intersegment loss

 

 

(0.7

)

 

 

(0.7

)

Consolidated operating loss

 

$

(15.5

)

 

$

(9.3

)

 

(1)
Includes the goodwill impairment, gain on sale-leaseback transaction and lease impairments

 

 

As of January 31,

 

 

2026

 

 

2025

 

 

(in millions of dollars)

 

Total Assets:

 

 

 

 

 

 

U.S. Operations

 

$

170.4

 

 

$

167.4

 

Europe

 

 

61.1

 

 

 

60.3

 

Mexico

 

 

11.7

 

 

 

13.7

 

Asia

 

 

48.5

 

 

 

48.0

 

Canada

 

 

6.8

 

 

 

6.4

 

Latin America

 

 

23.6

 

 

 

21.7

 

Other foreign

 

 

19.8

 

 

 

18.3

 

Less intersegment

 

 

(132.0

)

 

 

(123.3

)

Consolidated assets

 

$

209.9

 

 

$

212.5

 

Total Assets Less Intersegment:

 

 

 

 

 

 

U.S. Operations

 

$

90.8

 

 

$

85.6

 

Europe

 

 

50.3

 

 

 

55.3

 

Mexico

 

 

8.2

 

 

 

11.2

 

Asia

 

 

20.8

 

 

 

21.3

 

Canada

 

 

2.9

 

 

 

4.6

 

Latin America

 

 

19.3

 

 

 

18.0

 

Other foreign

 

 

17.6

 

 

 

16.5

 

Consolidated assets

 

$

209.9

 

 

$

212.5

 

Total Goodwill and Intangible Assets

 

 

 

 

 

 

U.S. Operations

 

$

25.3

 

 

$

17.1

 

Europe

 

 

19.9

 

 

 

22.7

 

Other foreign

 

 

1.8

 

 

 

1.9

 

Consolidated goodwill and intangible assets

 

$

47.0

 

 

$

41.7

 

Historical Timeline

Fiscal YearFiled
2026Apr 16, 2026Showing above
2025Apr 17, 2025
2024Apr 11, 2024
2023Apr 18, 2023
2022Apr 21, 2022
2021Apr 16, 2021
2020Apr 15, 2020
2019Apr 16, 2019
2018Apr 16, 2018
2017Apr 26, 2017
2016Apr 21, 2016

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.