XML 27 R16.htm IDEA: XBRL DOCUMENT
v3.25.1

Segment reporting and concentrations | 3 Months Ended
--- | ---
Mar. 31, 2025
Segment reporting and concentrations |
Segment reporting and concentrations | 10.Segment reporting and concentrations The Company’s operations are classified in three reporting segments: Digital Data Solutions (“DDS”), Synodex and Agility. The DDS segment provides AI data preparation services, collecting or creating training data, annotating training data, and training AI algorithms for its customers, and AI model deployment and integration. The DDS segment also provides a range of data engineering support services including data transformation, data curation, data hygiene, data consolidation, data extraction, data compliance, and master data management. The Synodex segment provides an industry platform that transforms medical records into useable digital data organized in accordance with its proprietary data models or customer data models. The Agility segment provides an industry platform that provides marketing communications and public relations professionals with the ability to target and distribute content to journalists and social media influencers world-wide and to monitor and analyze global news channels (print, web, radio and TV) and social media channels. A significant portion of the Company’s revenues is generated from its locations in the Philippines, India, Sri Lanka, Canada, Germany, Israel, United States and the United Kingdom. The Company’s chief operating decision maker (“CODM”) is the senior executive committee that includes the chief executive officer, the chief operating officer, and the chief financial officer (interim). The U.S. GAAP measures used by the Company’s CODM to evaluate segment performance and allocate resources—such as employees, property, and financial or capital resources during the annual budgeting and forecasting process, are Revenues, Gross Profit and Income before provision for income taxes. Performance results are monitored, reviewed, and measured monthly and quarterly by comparing budget and forecast to actual results for profit measures, assessing returns on investment, compensation decisions and changing strategies, if required. The accounting policies used by the DDS, Synodex and Agility segments are the same as those described in the summary of significant accounting policies. The measure of segment assets is reported on the balance sheet as total consolidated assets shown in the table below (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | March 31, 2025 |  | December 31, 2024*
Total assets: |  | ​ |  |  | ​ |
DDS | ​ | $ | 102,723 | ​ | $ | 91,588
Synodex | ​ |  | 4,743 | ​ |  | 4,790
Agility(1) | ​ |  | 17,744 | ​ |  | 17,071
Total Consolidated | ​ | $ | 125,210 | ​ | $ | 113,449
​ *Prior period segment assets of DDS, Synodex and Agility segments have been reclassified to align with the current period presentation, with no impact on the Company’s consolidated results.
(1) | Agility assets include goodwill of $2.0 million for each of the periods ended March 31, 2025 and December 31, 2024.
(2) | Segment assets consist of cash, receivables, prepaid and other assets, property and equipment, right of-use-assets, deferred income tax and intangibles.
The table below shows segment information for other significant income statement items (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Three Months Ended March 31, 2025
​ |  | ​ | DDS | ​ | ​ | Synodex |  | Agility |  | Total
Revenues |  | $ | 50,831 |  | $ | 2,013 | ​ | $ | 5,500 | ​ | $ | 58,344
Direct operating costs (1) (3) | ​ | ​ | 31,102 | ​ | ​ | 1,461 | ​ | ​ | 2,529 | ​ | ​ | 35,092
Gross profit | ​ |  | 19,729 | ​ |  | 552 | ​ | ​ | 2,971 | ​ | ​ | 23,252
Selling and administrative expenses (2) (4) | ​ |  | 11,594 | ​ |  | 286 | ​ | ​ | 3,100 | ​ | ​ | 14,980
Segment operating income | ​ | ​ | 8,135 | ​ | ​ | 266 | ​ | ​ | (129) | ​ | ​ | 8,272
Interest income, net | ​ |  | (127) | ​ |  | - | ​ | ​ | - | ​ | ​ | (127)
Income (loss) before provision for income taxes | ​ | $ | 8,262 | ​ | $ | 266 | ​ | $ | (129) | ​ | $ | 8,399
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Three Months Ended March 31, 2024
​ | ​ | DDS |  | Synodex |  | Agility |  | Total
Revenues |  | $ | 19,705 |  | $ | 1,871 | ​ | $ | 4,928 | ​ | $ | 26,504
Direct operating costs (1) (3) | ​ | ​ | 13,147 | ​ | ​ | 1,472 | ​ | ​ | 2,250 | ​ | ​ | 16,869
Gross profit | ​ | ​ | 6,558 | ​ | ​ | 399 | ​ | ​ | 2,678 | ​ | ​ | 9,635
Selling and administrative expenses (2) (4) | ​ | ​ | 5,795 | ​ | ​ | 123 | ​ | ​ | 2,387 | ​ | ​ | 8,305
Segment operating income | ​ | ​ | 763 | ​ | ​ | 276 | ​ | ​ | 291 | ​ | ​ | 1,330
Interest (income) expense, net | ​ | ​ | (85) | ​ | ​ | - | ​ | ​ | 1 | ​ | ​ | (84)
Income before provision for income taxes | ​ | $ | 848 | ​ | $ | 276 | ​ | $ | 290 | ​ | $ | 1,414
​
(1) | Direct operating costs consist of direct and indirect labor costs, occupancy costs, data center hosting fees, cloud services, content acquisition costs, depreciation and amortization, travel, telecommunications, computer services and supplies, realized (gain) loss on forward contracts, foreign currency revaluation (gain) loss, recruitment costs and other direct expenses that are incurred in providing services to our customers.
(2) | Selling and administrative expenses consist of payroll and related costs including commissions, bonuses, and stock-based compensation; marketing, advertising, trade conferences and related expenses; new services research and related software development expenses, software subscriptions, professional and consultant fees, provision for credit losses and other administrative overhead expenses.
(3) | Includes non-cash expenses which consist mainly of depreciation, amortization of capitalized software development costs and stock-based compensation expense.
(4) | Includes non-cash expenses which consist mainly of stock-based compensation expense.
Revenues for the three-month periods ended March 31, 2025, and 2024 by geographic region (determined based upon customer’s domicile), were as follows (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | For the Three Months Ended
​ | ​ | March 31,
​ |  | 2025 |  | 2024
United States | ​ | $ | 48,897 | ​ | $ | 17,872
Canada | ​ |  | 2,723 | ​ |  | 2,226
United Kingdom | ​ |  | 2,426 | ​ |  | 2,249
The Netherlands | ​ | ​ | 2,165 | ​ | ​ | 2,039
Others - principally other European countries | ​ |  | 2,133 | ​ |  | 2,118
Totals | ​ | $ | 58,344 | ​ | $ | 26,504
​ Long-lived assets as of March 31, 2025 and December 31, 2024 by geographic region were comprised of (in thousands): ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | March 31, |  | December 31,
​ |  | 2025 |  | 2024
United States | ​ | $ | 10,633 | ​ | $ | 10,182
​ | ​ |  | ​ | ​ |  | ​
Foreign countries: | ​ |  | ​ | ​ |  | ​
Canada | ​ |  | 6,214 | ​ |  | 6,265
United Kingdom | ​ |  | 784 | ​ |  | 806
Philippines | ​ |  | 3,606 | ​ |  | 3,532
India | ​ |  | 2,367 | ​ |  | 2,251
Sri Lanka | ​ |  | 621 | ​ |  | 587
Israel | ​ |  | 74 | ​ |  | 63
Germany | ​ | ​ | 4 | ​ | ​ | 4
Total foreign | ​ |  | 13,670 | ​ |  | 13,508
Totals | ​ | $ | 24,303 | ​ | $ | 23,690
​ Long-lived assets include the unamortized balance of right-of-use assets amounting to $4.0 million and $4.2 million as of March 31, 2025 and December 31, 2024, respectively. One customer in the DDS segment generated approximately 61% and 24% of the Company’s total revenues for the three months ended March 31, 2025 and 2024, respectively. No other customer accounted for 10% or more of total revenues during these periods. Further revenues from non-U.S. customers accounted for 16% and 33% of the Company’s total revenues for the three months ended March 31, 2025 and 2024, respectively. As of March 31, 2025, approximately 17% of the Company’s accounts receivable was due from foreign (principally European) customers and 51% of the Company’s accounts receivable was due from one customer. As of December 31, 2024, approximately 16% of the Company’s accounts receivable was due from foreign (principally European) customers and 61% of the Company’s accounts receivable was due from two customers. No other customer accounted for 10% or more of the accounts receivable as of March 31, 2025 and December 31, 2024.

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 48 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-48 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 270 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (i) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482964/270-10-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (ee) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 5: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 6: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 7: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 8: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 9: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 10: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 11: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-22 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-31 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-34 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26C Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26B Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-15 Reference 18: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-42 Reference 19: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-40 Reference 20: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/280/tableOfContent Reference 21: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26 Reference 22: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-41 Reference 23: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 24: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 25: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration