Disaggregation of Revenues, Geographic Sales and Product Sales

6 Months Ended

Jun. 29, 2018

Disaggregation of Revenues, Geographic Sales and Product Sales Disclosure [Text Block]

Note 9 — Disaggregation of Revenues, Geographic Sales and Product Sales

In the following tables, revenues are disaggregated by category, sales by geographic market and sales by product data. The following breaks down revenues into the following categories (in thousands):

	Three Months Ended				Six Months Ended
	June 29, 2018		June 30, 2017		June 29, 2018		June 30, 2017
Non-consignment sales	$	29,661	$	18,086	$	51,842	$	33,842
Consignment sales		4,244		3,850		9,156		8,444
Total net sales		33,905		21,936		60,998		42,286
Royalty income (1)		149		128		306		259
Total revenues	$	34,054	$	22,064	$	61,304	$	42,545

(1)

Shown as a separate line item in other income, net on the Condensed Consolidated Statements of Operations.

The Company markets and sells its products in over 75 countries and conducts its manufacturing in the United States. Other than China and Japan, the Company does not conduct business in any country in which its sales exceed 10% of worldwide consolidated net sales. Sales are attributed to countries based on location of customers. The composition of the Company’s net sales to unaffiliated customers is set forth below (in thousands):

	Three Months Ended				Six Months Ended
	June 29, 2018		June 30, 2017		June 29, 2018		June 30, 2017
China	$	13,965	$	6,046	$	21,875	$	10,672
Japan		6,692		4,417		11,775		8,216
Other (1)		13,248		11,473		27,348		23,398
Total revenues	$	33,905	$	21,936	$	60,998	$	42,286

(1)

No other location individually exceeds 10% of the total sales.

In addition, domestic and foreign sales are as follows (in thousands):

	Three Months Ended				Six Months Ended
	June 29, 2018		June 30, 2017		June 29, 2018		June 30, 2017
Domestic	$	1,895	$	2,092	$	3,651	$	4,050
Foreign		32,010		19,844		57,347		38,236
Total revenues	$	33,905	$	21,936	$	60,998	$	42,286

100% of the Company’s sales are generated from the ophthalmic surgical product segment and the chief operating decision maker makes operating decisions and allocates resources based upon the consolidated operating results, and therefore the Company operates as one operating segment for financial reporting purposes. The Company’s principal products are implantable Collamer lenses (“ICLs”) used in refractive surgery and intraocular lenses (“IOLs”) used in cataract surgery. The composition of the Company’s net sales by product line is as follows (in thousands):

	Three Months Ended				Six Months Ended
	June 29, 2018		June 30, 2017		June 29, 2018		June 30, 2017
ICLs	$	27,292	$	16,317	$	48,450	$	31,588
Other product sales
IOLs		4,186		4,377		8,244		8,983
Other surgical products		2,427		1,242		4,304		1,715
Total other product sales		6,613		5,619		12,548		10,698
Total net sales	$	33,905	$	21,936	$	60,998	$	42,286

One customer, our distributor in China, accounted for 41% and 36% of net sales for the three and six months ended June 29, 2018, respectively, and the same customer accounted for 28% and 25% of net sales for the three and six months ended June 30, 2017, respectively. As of June 29, 2018 and December 29, 2017, respectively, one customer, our distributor in China, accounted for 40% and 24% of consolidated trade receivables.