XML 46 R30.htm IDEA: XBRL DOCUMENT v3.25.3
Note 18 - Segment and Geographic Information
 12 Months Ended
Sep. 30, 2025
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]

18.    Segment and Geographic Information

 

Operating segments are defined as components of an enterprise that engage in business activities from which it may recognize revenues and incur expenses, and for which discrete financial information is available and regularly reviewed by the CODM in deciding how to allocate resources and to assess performance. The Company’s operations are organized and managed by type of products and services and segment information is reported accordingly. The Company’s Chief Executive Officer is the Company’s CODM. There have been no operating segments aggregated to arrive at the Company’s reportable segments. Revenues for all operating segments include only transactions with unaffiliated customers and include no intersegment revenues. The accounting policies of the reportable segments are the same as those described in Note 2, Summary of Significant Accounting Policies.

 

As of  November 12, 2024, the Company’s B Medical Systems business met the “held for sale” criteria and “discontinued operations” criteria in accordance with FASB ASC 205 and the results of the B Medical Systems business are included within discontinued operations. As a result, the Company’s continuing operations includes the following two operating and reportable segments:

 

 

●

Sample Management Solutions. The Sample Management Solutions business resources operate as a single business unit offering end-to-end sample management products and services, including: Sample Repository Services and Core Products (Automated Stores, Cryogenic Systems, Automated Sample Tube, Consumables and Instruments and Controlled Rate Thawing Devices).

 

 

●

Multiomics. The Multiomics business resources operate as a single business unit offering genomic and other sample analysis services, including gene sequencing, synthesis and related services.

 

Management considers adjusted operating income (loss) as the primary performance metric when evaluating each segment’s operations. The Company uses this measure because it helps management understand and evaluate the segments’ core operating results and facilitates comparison of performance for determining compensation.

 

The CODM uses segment revenues and segment adjusted operating income (loss) predominantly in the monthly and quarterly business review processes. During these processes, the CODM considers budget-to-actual variances to evaluate both internal (for example, changes in selling prices, strategic growth investments, productivity and business mix) and external (for example, inflation and foreign currency) events and conditions. 

 

The following is the summary of the financial information for the Company’s reportable segments for the fiscal years ended September 30, 2025, 2024 and 2023 (in thousands):

 

  

Year Ended September 30,

 
  

2025

  

2024

  

2023

 

Revenue:

            

Sample Management Solutions

 $324,590  $318,896  $303,190 

Multiomics

  269,231   254,552   248,296 

Total revenue

 $593,821  $573,448  $551,486 
             

Adjusted operating income (loss):

            

Sample Management Solutions

 $27,550  $11,106  $(2,293)

Multiomics

  (11,937)  (7,733)  (13,337)

Segment adjusted operating income (loss)

  15,613   3,373   (15,630)
             

Amortization of completed technology

  7,965   8,066   7,847 

Amortization of intangible assets other than completed technology

  16,475   20,496   24,221 

Transformation(1) and rebranding costs

  10,405   9,879   (49)

Restructuring charges

  5,171   6,766   4,577 

Impairment of goodwill and intangible assets

  —   4,658   — 

Merger and acquisition costs and costs related to share repurchase(2)

  2,403   4,874   8,962 

Other miscellanous expenses

  38   (82)  58 

Total operating loss

  (26,844)  (51,284)  (61,246)

Interest income, net

  18,779   32,891   43,541 

Other income (expense), net

  922   (732)  (2,300)

Loss from continuing operations before income taxes

 $(7,143) $(19,125) $(20,005)

 

(1)

Transformation costs represent non-recurring expenses for strategic projects with anticipated long-term benefits to the Company focused on cost reduction and productivity improvement that do not meet the definition of restructuring charges. These costs are directed at simplifying, standardizing, streamlining, and optimizing the Company’s operations, processes and systems to permanently alter the Company’s operations for the long term. For a project to be considered transformational, successful completion of the project must be expected to bring long-term material benefits to the organization and involve significant changes to process and/or underlying technology. Transformation costs in the period result from actions taken as part of the Company’s 2024 transformation plan and primarily relate to one time asset write downs associated with changes in technology, one time inventory write downs relating to restructuring actions taken in the period, and third-party consulting costs associated with process and systems re-design.

(2)

Includes expenses related to governance-related matters.

 

Adjusted operating income (loss) excludes charges related to amortization of intangible assets, transformation costs, restructuring charges, goodwill and intangible asset impairment, merger and acquisition costs, costs related to share repurchase and governance-related matters, and other miscellaneous expenses.

 

The segment expenses regularly provided to the CODM are adjusted cost of revenues which primarily consist of costs of direct materials and direct labor, freight, warranty, depreciation expenses, and facilities costs and adjusted operating expenses which primarily consists of employee salaries and benefits for R&D, selling, marketing, and administrative personnel, commissions, advertising and promotional expenses, audit, legal and strategic consulting fees, depreciation expenses, facilities costs, insurance, and information systems costs. Centrally incurred costs are primarily allocated to segments using a percentage of budgeted segment revenue over total revenue.

 

Sample Management Solutions

 

Year Ended September 30,

 
  

2025

  

2024

  

2023

 
             

Total revenue

 $324,590  $318,896  $303,190 

Less: Adjusted cost of revenue

  163,345   173,173   169,106 

Less: Adjusted operating expenses

  133,695   134,617   136,377 

Adjusted operating income (loss)

 $27,550  $11,106  $(2,293)
             

Other Information

            

Depreciation Expense

 $11,457  $10,708  $10,527 

 

Multiomics

 

Year Ended September 30,

 
  

2025

  

2024

  

2023

 
             

Total revenue

 $269,231  $254,552  $248,296 

Less: Adjusted cost of revenue

  152,161   137,230   135,324 

Less: Adjusted operating expenses

  129,007   125,055   126,309 

Adjusted operating income (loss)

 $(11,937) $(7,733) $(13,337)
             
             

Other Information

            

Depreciation Expense

 $15,249  $14,486  $14,208 

 

The following is the summary of the asset information for the Company's reportable segments as of September 30, 2025 and 2024 (in thousands):

 

Assets:

 

September 30, 2025

  

September 30, 2024

  

September 30, 2023

 

Sample Management Solutions

 $854,402  $849,418  $675,247 

Multiomics

  445,212   462,825   534,437 

Total assets

 $1,299,614  $1,312,243  $1,209,684 

 

The following is a reconciliation of the segment assets to the corresponding amounts presented in the Consolidated Balance Sheets as of September 30, 2025 and 2024 (in thousands):

 
  

September 30,

  

September 30,

  

September 30,

 
  

2025

  

2024

  

2023

 

Segment assets

 $1,299,614  $1,312,243  $1,209,684 

Cash and cash equivalents, restricted cash, and marketable securities

  546,201   490,707   1,104,827 

Deferred tax assets

  726   837   657 

General corporate assets

  54,500   23,632   28,024 

Assets held for sale

  158,541   272,846   542,153 

Total assets

 $2,059,582  $2,100,265  $2,885,345 

 

Revenue from external customers is attributed to geographic areas based on locations in which the product is shipped. Net revenue by geographic area for the fiscal years ended September 30, 2025, 2024 and 2023 are as follows (in thousands):

 

  

Year Ended September 30,

 
  

2025

  

2024

  

2023

 

Geographic Location:

            

United States

 $365,003  $365,054  $351,405 

China

  58,347   58,242   52,131 

United Kingdom

  35,388   27,204   26,660 

Rest of Europe

  107,370   95,154   87,186 

Asia Pacific

  23,280   21,320   25,630 

Other

  4,433   6,474   8,474 

Total revenue

 $593,821  $573,448  $551,486 

 

Net long-lived assets, excluding goodwill and other intangible assets, by geographic area as of September 30, 2025 and 2024 is as follows (in thousands): 

 

  

September 30,

 
  

2025

  

2024

 

United States

 $116,681  $122,506 

China

  56,715   54,918 

Europe

  31,012   34,300 

Asia Pacific

  3,505   4,140 

Other

  89   164 

Total long-lived assets, net

 $208,002  $216,028 

 

Significant Customers

 

There were no customers that accounted for more than 10% of the Company's consolidated revenue for fiscal years 2025, 2024, and 2023. As of September 30, 2025, 2024 and 2023 there were no customers that accounted for 10% or more of the Company’s accounts receivable balance.