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Segment Reporting and Concentrations
 9 Months Ended
Sep. 30, 2014
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
10.
Segment Reporting and Concentrations
 
The Company’s operations are classified into three reportable segments: Content Services (CS), Innodata Advanced Data Solutions (IADS) and Media Intelligence Solutions (MIS).
 
The CS segment provides solutions to digital retailers, information services companies, publishers and enterprises that have one or more of the following broad business requirements: development of digital content (including e-books); development of new digital information products; and operational support of existing digital information products and systems.
  
The IADS segment performs advanced data analysis. IADS operates through two subsidiaries: Synodex and docGenix. Synodex offers a range of data analysis services in the healthcare, medical and insurance areas. docGenix provides services to certain financial services institutions.
 
In July 2014, the Company acquired MediaMiser, an Ottawa, Canada-based provider of automated, real-time traditional and social media monitoring services. The MIS segment through its innovative web-based and mobile solutions, reduces the time and effort it takes to gather, analyze and distribute valuable business intelligence extracted from traditional and social media sources.
 
A significant portion of the Company’s revenues are generated from its production facilities in the Philippines, India, Sri Lanka, Israel and Canada.
 
Revenues from external clients and segment operating profit (loss), and other reportable segment information are as follows (in thousands):
 
 
 
Three Months Ended
 
Nine Months Ended
 
 
 
September 30,
 
September 30,
 
 
 
2014
 
2013
 
2014
 
2013
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
Content Services
 
$
14,032
 
$
15,591
 
$
42,162
 
$
47,867
 
IADS
 
 
115
 
 
155
 
 
365
 
 
942
 
MediaMiser
 
 
657
 
 
-
 
 
657
 
 
-
 
Total Consolidated
 
$
14,804
 
$
15,746
 
$
43,184
 
$
48,809
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income(loss) before provision for income taxes(1):
 
 
 
 
 
 
 
 
 
 
 
 
 
Content Services
 
$
1,950
 
$
1,934
 
$
4,821
 
$
4,015
 
IADS
 
 
(1,961)
 
 
(7,620)
 
 
(5,682)
 
 
(11,571)
 
MediaMiser
 
 
(109)
 
 
-
 
 
(109)
 
 
-
 
Total Consolidated
 
$
(120)
 
$
(5,686)
 
$
(970)
 
$
(7,556)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income(loss) before provision for income taxes(2):
 
 
 
 
 
 
 
 
 
 
 
 
 
Content Services
 
$
1,436
 
$
1,462
 
$
3,369
 
$
2,689
 
IADS
 
 
(1,447)
 
 
(7,148)
 
 
(4,230)
 
 
(10,245)
 
MediaMiser
 
 
(109)
 
 
-
 
 
(109)
 
 
-
 
Total Consolidated
 
$
(120)
 
$
(5,686)
 
$
(970)
 
$
(7,556)
 
 
 
 
September 30, 2014
 
December 31, 2013
 
Total assets:
 
 
 
 
 
 
 
Content Services
 
$
47,611
 
$
48,981
 
IADS
 
 
451
 
 
1,016
 
MediaMiser
 
 
7,396
 
 
-
 
Total Consolidated
 
$
55,458
 
$
49,997
 
 
(1) Before elimination of any inter-segment profits
(2) After elimination of any inter-segment profits
  
The following table summarizes revenues by geographic region (determined based upon customer’s domicile) (in thousands):
 
 
 
Three months ended
 
Nine months ended
 
 
 
September 30,
 
September 30,
 
 
 
2014
 
2013
 
2014
 
2013
 
 
 
 
 
 
 
 
 
 
 
United States
 
$
7,424
 
$
9,846
 
$
23,169
 
$
32,749
 
The Netherlands
 
 
2,540
 
 
2,151
 
 
7,824
 
 
6,574
 
United Kingdom
 
 
2,404
 
 
1,813
 
 
6,520
 
 
5,884
 
Canada
 
 
984
 
 
263
 
 
1,694
 
 
699
 
Other - principally Europe
 
 
1,452
 
 
1,673
 
 
3,977
 
 
2,903
 
 
 
$
14,804
 
$
15,746
 
$
43,184
 
$
48,809
 
 
Long-lived assets as of September 30, 2014 and December 31, 2013, respectively, by geographic region, are comprised of (in thousands):
 
 
 
September 30,
 
December 31,
 
 
 
2014
 
2013
 
 
 
 
 
 
 
United States
 
$
1,173
 
$
1,151
 
 
 
 
 
 
 
 
 
Foreign countries:
 
 
 
 
 
 
 
Philippines
 
 
2,238
 
 
1,917
 
India
 
 
2,460
 
 
2,660
 
Sri Lanka
 
 
1,008
 
 
989
 
Canada
 
 
6,426
 
 
-
 
Israel
 
 
34
 
 
41
 
Total foreign
 
 
12,166
 
 
5,607
 
 
 
$
13,339
 
$
6,758
 
 
Three clients generated approximately 41% of our total revenues for the three months ended September 30, 2014 and 37% of our total revenues for the three months ended September 30, 2013. One client accounted for less than 10% of our total revenues for the three months ended September 30, 2014 but accounted for 15% of total revenues for the three months ended September 30, 2013. No other client accounted for 10% or more of total revenues during these periods. Further, for the three months ended September 30, 2014 and 2013, revenues from non-U.S. clients accounted for 48% and 39%, respectively, of our total revenues.
 
Two clients generated approximately 32% and 25% of our total revenues for the nine months ended September 30, 2014 and 2013, respectively. Two other clients accounted for less than 10% of our total revenues for the nine months ended September 30, 2014 but accounted for 27% of our total revenues for the nine months ended September 30, 2013. No other client accounted for 10% or more of total revenues during these periods. Further, for the nine months ended September 30, 2014 and 2013, revenues from non-U.S. clients accounted for 46% and 36%, respectively, of our total revenues.
 
As of September 30, 2014, approximately 55% of the Company's accounts receivable was from foreign (principally European) clients and 44% of accounts receivable was due from three clients. As of December 31, 2013, approximately 38% of the Company's accounts receivable was from foreign (principally European) clients and 65% of accounts receivable was due from four clients.