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Segment Reporting and Concentrations
 6 Months Ended
Jun. 30, 2016
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
9.
Segment Reporting and Concentrations
 
The Company’s operations are classified into three reportable segments: Digital Data Solutions (DDS), Innodata Advanced Data Solutions (IADS) and Media Intelligence Solutions (MIS).
 
The DDS 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. In December 2014, the Company acquired intellectual property and related assets of Bulldog Reporter. Both these businesses constitute the Company’s MIS segment.
 
A significant portion of the Company’s revenues is generated from its production facilities in the Philippines, India, Sri Lanka, Canada, Germany and Israel.
 
Revenues from external clients and segment operating profit (loss), and other reportable segment information are as follows (in thousands):
 
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
 
 
2016
 
2015
 
2016
 
2015
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
DDS
 
$
13,232
 
$
12,370
 
$
26,876
 
$
24,561
 
IADS
 
 
1,165
 
 
545
 
 
2,062
 
 
950
 
MediaMiser
 
 
1,245
 
 
1,148
 
 
2,402
 
 
2,354
 
Total Consolidated
 
$
15,642
 
$
14,063
 
$
31,340
 
$
27,865
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loss before provision for income taxes(1):
 
 
 
 
 
 
 
 
 
 
 
 
 
DDS
 
$
81
 
$
701
 
$
2,327
 
$
1,064
 
IADS
 
 
(1,089)
 
 
(1,500)
 
 
(2,458)
 
 
(3,095)
 
MediaMiser
 
 
(604)
 
 
(388)
 
 
(1,072)
 
 
(587)
 
Total Consolidated
 
$
(1,612)
 
$
(1,187)
 
$
(1,203)
 
$
(2,618)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loss before provision for income taxes(2):
 
 
 
 
 
 
 
 
 
 
 
 
 
DDS
 
$
(640)
 
$
98
 
$
902
 
$
(120)
 
IADS
 
 
(374)
 
 
(898)
 
 
(1,045)
 
 
(1,912)
 
MediaMiser
 
 
(598)
 
 
(387)
 
 
(1,060)
 
 
(586)
 
Total Consolidated
 
$
(1,612)
 
$
(1,187)
 
$
(1,203)
 
$
(2,618)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
June 30, 2016
 
December 31, 2015
 
Total assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
DDS
 
 
 
 
 
 
 
$
41,513
 
$
41,842
 
IADS
 
 
 
 
 
 
 
 
1,242
 
 
1,026
 
MediaMiser
 
 
 
 
 
 
 
 
9,298
 
 
8,369
 
Total Consolidated
 
 
 
 
 
 
 
$
52,053
 
$
51,237
 
 
(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
 
Six months ended
 
 
 
June 30,
 
June 30,
 
 
 
2016
 
2015
 
2016
 
2015
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
United States
 
$
8,079
 
$
6,615
 
$
16,351
 
$
13,203
 
The Netherlands
 
 
2,529
 
 
2,648
 
 
5,090
 
 
4,760
 
United Kingdom
 
 
1,999
 
 
2,050
 
 
3,980
 
 
4,251
 
Canada
 
 
1,498
 
 
1,456
 
 
2,974
 
 
2,827
 
Other - principally Europe
 
 
1,537
 
 
1,294
 
 
2,945
 
 
2,824
 
 
 
$
15,642
 
$
14,063
 
$
31,340
 
$
27,865
 
 
Long-lived assets as of June 30, 2016 and December 31, 2015, respectively, by geographic region, are comprised of (in thousands):
 
 
 
June 30,
 
December 31,
 
 
 
2016
 
2015
 
 
 
 
 
 
 
 
 
United States
 
$
1,292
 
$
1,104
 
 
 
 
 
 
 
 
 
Foreign countries:
 
 
 
 
 
 
 
Philippines
 
 
1,537
 
 
5,223
 
India
 
 
1,657
 
 
1,611
 
Sri Lanka
 
 
518
 
 
1,580
 
Canada
 
 
5,252
 
 
635
 
Israel
 
 
30
 
 
31
 
Germany
 
 
2
 
 
2
 
Total foreign
 
 
8,996
 
 
9,082
 
 
 
$
10,288
 
$
10,186
 
 
Two clients in the DDS Segment generated approximately 33% of the Company’s total revenues for the three months ended June 30, 2016 and 36% of the Company’s total revenues for the three months ended June 30, 2015. No other client accounted for 10% or more of total revenues during these periods. Further, for the three months ended June 30, 2016 and 2015, revenues from non-U.S. clients accounted for 48% and 53%, respectively, of the Company’s total revenues.
 
Two clients in the DDS Segment generated approximately 32% of the Company’s total revenues for the six months ended June 30, 2016 and 35% of the Company’s total revenues for the six months ended June 30, 2015. Another client in the DDS segment accounted for 10% of the Company’s total revenues for the six months ended June 30, 2016 but accounted for less than 10% of the Company’s total revenues for the six months ended June 30, 2015. No other client accounted for 10% or more of total revenues during these periods. Further, for the six months ended June 30, 2016 and 2015, revenues from non-U.S. clients accounted for 48% and 53%, respectively, of the Company’s total revenues.
 
As of June 30, 2016, approximately 57% of the Company's accounts receivable was from foreign (principally European) clients and 59% of accounts receivable was due from four clients. As of December 31, 2015, approximately 62% of the Company's accounts receivable was from foreign (principally European) clients and 68% of accounts receivable was due from four clients.