| Segment Information |
Note 21 – 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
| | Trash Management
| | Corporate unallocated and Eliminations
| | Consolidated
|
| Three Months ended September 30, 2015
|
| | | | | | | |
| Net sales
| $
| 33,156
| $
| 636,107
| $
| -
| $
| 669,263
|
| Income from operations
|
| 7,355
| | 11,516
| | (204,264)
| | (185,393)
|
| Interest income
|
| 3,346
| | -
| | 23,821
| | 27,167
|
| Interest expense
|
| 649
| | 4,881
| | (1,384)
| | 4,146
|
| Depreciation and amortization
|
| 386
| | 7,564
| | 1,197
| | 9,147
|
|
| | | | | | | |
| Three Months ended September 30, 2014
|
| | | | | | | |
| Net sales
| $
| 1,600
| $
| 544,615
| $
| -
| $
| 546,215
|
| Income from operations
|
| (4,070)
| | 41,646
| | (207,704)
| | (170,128)
|
| Interest income
|
| -
| | -
| | 12,453
| | 12,453
|
| Interest expense
|
| -
| | 7,043
| | -
| | 7,043
|
| Depreciation and amortization
|
| -
| | 4,917
| | 946
| | 5,863
|
|
| | | | | | | |
| Nine Months ended September 30, 2015
|
| | | | | | | |
| Net sales
| $
| 63,465
| $
| 1,808,035
| $
| -
| $
| 1,871,500
|
| Income from operations
|
| 200
| | 92,103
| | (665,134)
| | (572,831)
|
| Interest income
|
| 5,814
| | -
| | 42,040
| | 47,854
|
| Interest expense
|
| 987
| | 14,660
| | (3,442)
| | 12,205
|
| Depreciation and amortization
|
| 830
| | 21,184
| | 2,564
| | 24,578
|
|
| | | | | | | |
| Nine Months ended September 30, 2014
|
| | | | | | | |
| Net sales
| $
| 2,550
| $
| 1,543,578
| $
| -
| $
| 1,546,128
|
| Income from operations
|
| (37,770)
| | 154,943
| | (698,261)
| | (581,088)
|
| Interest income
|
| -
| | -
| | 15,982
| | 15,982
|
| Interest expense
|
| -
| | 13,454
| | 96
| | 13,550
|
| Depreciation and amortization
|
| -
| | 17,100
| | 2,214
| | 19,314
|
|
| | | | | | | |
| Total assets:
|
| | | | | | | |
| September 30, 2015
| $
| 2,335,005
| $
| 1,097,137
| $
| 1,600,357
| $
| 5,018,254
|
| September 30, 2014
|
| 1,541,533
| | 2,553,400
| | 1,443,834
| | 5,538,767
|
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 September 30
| | Nine months ended September 30
|
|
| 2015
| | 2014
| | 2015
| | 2014
|
| Operating income
| $
| (185,393)
| $
| (170,128)
| $
| (572,831)
| $
| (581,088)
|
| Gain recognized on purchase of majority interest in WCI
|
| -
| | -
| | -
| | 1,250,964
|
| Interest income
|
| 27,167
| | 12,453
| | 47,854
| | 15,982.00
|
| Interest expense
|
| (4,146)
| | (7,043)
| | (12,205)
| | (13,550)
|
| Loan costs
|
| -
| | -
| | -
| | (635,851)
|
| Gain (loss) on investments
|
| 556
| | (7,782)
| | (2,082)
| | (5,590)
|
| Gain on conversion of investment in
|
| | | | | | | |
| MicroCannaBiz to note receivable
|
| -
| | -
| | 35,360
| | -
|
| Gain (loss) on equipment disposals
|
| -
| | (4,925)
| | -
| | (1,886)
|
| Other income
|
| -
| | -
| | -
| | 167
|
|
| | | | | | | |
| Income before income taxes
| $
| (161,816)
| $
| (177,425)
| $
| (503,904)
| $
| 29,148
|
|