| Segment Reporting |
The Company operates
in three segments which are characterized as: (1) Manufacturing, (2) Marketplace Platform and (3) Services. The Manufacturing
Segment consists of Marquis Industries, Inc., the Marketplace Platform segment consists of livedeal.com and Modern Everyday, Inc.,
and the Services segment consists of the Local Exchange Carrier billings business and Velocity Local.
The following tables summarize segment
information for the years ended September 30, 2016 and 2015:
|
|
Twelve Months Ended
September 30, |
|
| |
|
2016 |
|
|
2015 |
|
| Revenues |
|
|
|
|
|
|
| Marketplace platform |
|
$ |
5,438,007 |
|
|
$ |
15,868,448 |
|
| Manufacturing |
|
|
72,509,357 |
|
|
|
16,006,683 |
|
| Services |
|
|
1,006,883 |
|
|
|
1,494,735 |
|
| |
|
$ |
78,954,247 |
|
|
$ |
33,369,866 |
|
| |
|
|
|
|
|
|
|
|
| Gross profit |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
1,238,317 |
|
|
$ |
5,724,186 |
|
| Manufacturing |
|
|
17,771,735 |
|
|
|
4,187,026 |
|
| Services |
|
|
964,818 |
|
|
|
1,343,182 |
|
| |
|
$ |
19,974,870 |
|
|
$ |
11,254,394 |
|
| |
|
|
|
|
|
|
|
|
| Operating income (loss) |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
(5,172,406 |
) |
|
$ |
(11,807,737 |
) |
| Manufacturing |
|
|
6,529,469 |
|
|
|
563,503 |
|
| Services |
|
|
961,186 |
|
|
|
1,107,967 |
|
| |
|
$ |
2,318,249 |
|
|
$ |
(10,136,267 |
) |
| |
|
|
|
|
|
|
|
|
| Depreciation and amortization |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
284,593 |
|
|
$ |
633,732 |
|
| Manufacturing |
|
|
2,840,718 |
|
|
|
402,250 |
|
| Services |
|
|
– |
|
|
|
11,770 |
|
| |
|
$ |
3,125,311 |
|
|
$ |
1,047,752 |
|
| |
|
|
|
|
|
|
|
|
| Interest Expenses |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
2,947,294 |
|
|
$ |
4,214,171 |
|
| Manufacturing |
|
|
1,073,253 |
|
|
|
271,490 |
|
| Services |
|
|
– |
|
|
|
– |
|
| |
|
$ |
4,020,547 |
|
|
$ |
4,485,661 |
|
| |
|
|
|
|
|
|
|
|
| Provision for income taxes |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
(12,907,201 |
) |
|
$ |
– |
|
| Manufacturing |
|
|
413,980 |
|
|
|
376,000 |
|
| Services |
|
|
– |
|
|
|
– |
|
| |
|
$ |
(12,493,221 |
) |
|
$ |
376,000 |
|
| |
|
|
|
|
|
|
|
|
| Net income (loss) |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
6,604,121 |
|
|
$ |
(15,435,765 |
) |
| Manufacturing |
|
|
9,250,473 |
|
|
|
(184,841 |
) |
| Services |
|
|
2,099,457 |
|
|
|
954,477 |
|
| |
|
$ |
17,954,051 |
|
|
$ |
(14,666,129 |
) |
|
|
As of
September
30,
2016 |
|
|
As of
September
30,
2015 |
|
| Total Assets |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
15,053,993 |
|
|
$ |
6,811,977 |
|
| Manufacturing |
|
|
38,333,437 |
|
|
|
33,714,344 |
|
| Services |
|
|
79,970 |
|
|
|
138,035 |
|
| |
|
$ |
53,467,400 |
|
|
$ |
40,664,356 |
|
| |
|
|
|
|
|
|
|
|
| Intangible assets |
|
|
|
|
|
|
|
|
| Marketplace platform |
|
$ |
1,287,338 |
|
|
$ |
1,516,930 |
|
| Manufacturing |
|
|
402,452 |
|
|
|
800,000 |
|
| Services |
|
|
– |
|
|
|
– |
|
| |
|
$ |
1,689,790 |
|
|
$ |
2,316,930 |
|
|