Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v3.2.0.727
Segment Information
6 Months Ended
Jun. 30, 2015
Segment Information:  
Segment Information

Note 20 – Segment Information  

 

The Company is operating an acquisition and investment business.  Majority owned subsidiaries of 51% or more are consolidated.  The Company has determined that beginning in January 2014 there are two reportable segments, which are 1) the cannabis and medical marijuana segment which includes the receivable from Bhang of $1,500,000, the convertible note receivable and accrued interest from Electrum, and the operation of subsidiaries in the Cannabis and medical marijuana sector, and 2) the Company’s legacy investment in WCI which works with business park owners, governmental centers, and apartment complexes to reduce their trash related operating costs.  The Company also has certain small cancer related legacy investments and an investment in note receivable from a non-affiliated party that is included in the Corporate and Eliminations section below. 

 

 

Cannabis and Medical Marijuana Segment

Legacy Investment

Corporate and Eliminations

Consolidated

Three months ended June 30, 2015

 

Net sales

$

30,308

$

598,078

$

-

$

628,386

Income (loss) from operations

 

(7,155)

18,588

(205,554)

(194,121)

Interest expense

 

338

5,004

(1,472)

3,870

Depreciation and amortization

 

444

6,810

684

7,938

 

 

 

 

 

 

 

 

 

Three months ended June 30, 2014

 

Net sales

$

950

$

508,155

$

-

$

509,105

Income (loss) from operations

 

(12,150)

46,247

(349,885)

(315,788)

Interest expense

 

-

7,523

3

7,526

Depreciation and amortization

 

-

6,091

(2,101)

3,990

 

 

 

 

 

 

 

 

 

Six months ended June 30, 2015

 

Net sales

$

30,308

$

1,171,928

$

-

$

1,202,236

Income (loss) from operations

 

(7,155)

80,586

(460,868)

(387,437)

Interest expense

 

338

9,778

(2,057)

8,059

Depreciation and amortization

 

444

13,620

1,367

15,431

 

 

 

 

 

 

 

 

 

Six months ended June 30, 2014

 

Net sales

$

950

$

998,963

$

-

$

999,913

Income (loss) from operations

 

(33,701)

114,282

(491,530)

(410,949)

Interest expense

 

-

11,617

399

12,016

Depreciation and amortization

 

-

12,182

1,268

13,450

 

 

 

 

 

 

 

 

 

Total assets:

 

 

 

 

 

 

 

 

June 30, 2015

$

2,267,542

$

1,097,137

$

1,667,820

$

5,032,499

June 30, 2014

 

1,606,043

 

1,122,564

 

1,783,787

 

4,512,394

 

 

 

 

 

 

 

 

 

 

 

The following table reconciles operating segments and corporate-unallocated operating income (loss) to consolidated income before income taxes, as presented in the unaudited condensed consolidated income statements:

               

 

Three months ended June 30

Six months ended June 30

 

2015

2014

2015

2014

Operating income

$

(194,121)

$

(315,788)

$

(387,437)

$

(410,949)

Gain recognized on purchase of majority

   interest in WCI

 

-

-

-

1,250,000

Interest income

 

18,109

3,595

20,687

3,595.00

Interest expense

 

(3,870)

(7,526)

(8,059)

(12,016)

Loan costs

 

-

(635,851)

-

(635,851)

Gain (loss) on investments

 

(3,977)

816

(2,639)

2,192

Gain on conversion of investment in

   MicroCannaBiz to note receivable

 

35,360

-

35,360

-

Gain (loss) on equipment disposals

 

-

3,039

-

3,039

Other income

 

-

25

-

100

 

  Income before income taxes

$

(148,499)

$

(951,690)

$

(342,088)

$

200,110