Segment Reporting |
Operating segments are defined under U.S. GAAP
as components of an enterprise for which discrete financial information is available and are evaluated regularly by the enterprise’s
chief operating decision maker in determining how to allocate resources and assess performance. The Company operates in four reportable
business segments:
|
· |
Clinical Laboratory Operations, which specializes in providing urine and blood toxicology and pain medication testing to physicians, clinics and rehabilitation facilities in the United States. |
|
· |
Supportive Software Solutions, including EHR and medical billing and laboratory information management systems. |
|
· |
Decision Support and Informatics, which develops and markets medical information and clinical support products and services intended to set a standard for the clinical interpretation of genomics-based precision medicine. |
|
· |
Hospital Operations, which reflects the purchase of the Hospital Assets (see note 3) and the operations of Scott County Community Hospital, which has since been renamed as Big South Fork Medical Center. |
The accounting policies of the reportable segments
are the same as those described in Note 2, Summary of Significant Accounting Policies, of the Company’s audited consolidated
financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. Selected
financial information for the Company’s operating segments is as follows:
|
|
Three Months Ended March 31, |
|
|
|
2017 |
|
|
2016 |
|
Net revenues - External |
|
|
|
|
|
|
|
|
Clinical Laboratory Operations |
|
$ |
767,010 |
|
|
$ |
1,465,137 |
|
Supportive Software Solutions |
|
|
236,945 |
|
|
|
230,026 |
|
Decision Support and Informatics |
|
|
172,158 |
|
|
|
183,650 |
|
|
|
$ |
1,176,113 |
|
|
$ |
1,878,813 |
|
Net revenues - Intersegment |
|
|
|
|
|
|
|
|
Supportive Software Solutions |
|
$ |
78,326 |
|
|
$ |
296,348 |
|
|
|
$ |
78,326 |
|
|
$ |
296,348 |
|
(Loss) income from operations |
|
|
|
|
|
|
|
|
Clinical Laboratory Operations |
|
$ |
(1,341,998 |
) |
|
$ |
(2,650,540 |
) |
Supportive Software Solutions |
|
|
(718,546 |
) |
|
|
(1,313,313 |
) |
Decision Support and Informatics |
|
|
(301,001 |
) |
|
|
(881,566 |
) |
Hospital Operations |
|
|
(467,316 |
) |
|
|
– |
|
Corporate |
|
|
(1,804,517 |
) |
|
|
(1,952,437 |
) |
Eliminations |
|
|
7,851 |
|
|
|
33,660 |
|
|
|
$ |
(4,625,527 |
) |
|
$ |
(6,764,196 |
) |
Depreciation and amortization |
|
|
|
|
|
|
|
|
Clinical Laboratory Operations |
|
$ |
434,468 |
|
|
$ |
581,101 |
|
Supportive Software Solutions |
|
|
157,563 |
|
|
|
164,428 |
|
Decision Support and Informatics |
|
|
8,453 |
|
|
|
14,527 |
|
Corporate |
|
|
312 |
|
|
|
875 |
|
Eliminations |
|
|
(7,851 |
) |
|
|
(33,661 |
) |
|
|
$ |
592,945 |
|
|
$ |
727,270 |
|
Capital expenditures |
|
|
|
|
|
|
|
|
Clinical Laboratory Operations |
|
$ |
– |
|
|
$ |
16,885 |
|
Supportive Software Solutions |
|
|
– |
|
|
|
2,117 |
|
Hospital Operations |
|
|
1,090,922 |
|
|
|
– |
|
|
|
$ |
1,090,922 |
|
|
$ |
19,002 |
|
|
|
March 31, 2017 |
|
|
December 31, 2016 |
|
Total assets |
|
|
|
|
|
|
|
|
Clinical Laboratory Operations |
|
$ |
3,568,569 |
|
|
$ |
4,081,136 |
|
Supportive Software Solutions |
|
|
1,870,578 |
|
|
|
2,602,428 |
|
Decision Support and Informatics |
|
|
246,930 |
|
|
|
379,652 |
|
Hospital Operations |
|
|
1,342,804 |
|
|
|
– |
|
Corporate |
|
|
3,839,108 |
|
|
|
2,130,191 |
|
Eliminations |
|
|
(2,786,333 |
) |
|
|
(2,711,014 |
) |
|
|
$ |
8,081,656 |
|
|
$ |
6,482,393 |
|
|