XML 38 R23.htm IDEA: XBRL DOCUMENT v3.7.0.1
Segment Reporting
 12 Months Ended
Dec. 31, 2016
Segment Reporting [Abstract]  
Segment Reporting

16. SEGMENT REPORTING

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the Chief Operating Decision Maker (“CODM”), or decision making group, whose function is to allocate resources to and assess the performance of the operating segments. The Company has identified its chief executive officer as the CODM. In determining its reportable segments, the Company considered the markets and types of customers served and the products or services provided in those markets.

Prior to the acquisition of Allenex, the Company operated as a single reportable segment. Subsequent to the acquisition of Allenex, the Company has identified the following two reportable segments, which are the same as its operating segments:

 

•

CareDx: This segment focuses on discovery, development and commercialization of clinically differentiated, high-value diagnostic solutions for transplant patients. Its first commercialized testing solution, AlloMap, is a gene expression test that helps clinicians monitor and identify heart transplant recipients with stable graft function who have a low probability of moderate/severe acute cellular rejection.

 

•

Olerup: This segment develops, manufactures, markets and sells high quality products that increase the chance of successful transplants by facilitating a better match between a donor and a recipient of stem cells and organs. Its Olerup SSP product line, which addresses HLA typing, is used prior to hematopoietic stem cell/bone marrow and organ transplantations to match donors with recipients.

There were no intersegment sales for the years ended December 31, 2016. The following table summarizes the operating results of the Company’s reportable segments (in thousands):

 

 

 

Years Ended December 31,

 

 

 

2016

 

 

2015

 

 

2014

 

Total segments

 

 

 

 

 

 

 

 

 

 

 

 

Net revenues

 

$

40,631

 

 

$

28,144

 

 

$

27,306

 

Operating loss

 

 

(37,332

)

 

 

(11,932

)

 

 

1,250

 

Depreciation and amortization

 

 

2,920

 

 

 

796

 

 

 

512

 

CareDx

 

 

 

 

 

 

 

 

 

 

 

 

Net revenues

 

$

29,917

 

 

$

28,144

 

 

$

27,306

 

Operating loss

 

 

(18,374

)

 

 

(11,932

)

 

 

1,250

 

Depreciation and amortization

 

 

982

 

 

 

796

 

 

 

512

 

Olerup

 

 

 

 

 

 

 

 

 

 

 

 

Net revenues

 

$

10,714

 

 

$

—

 

 

$

—

 

Operating loss

 

 

(18,958

)

 

 

—

 

 

 

—

 

Depreciation and amortization

 

 

1,938

 

 

 

—

 

 

 

—

 

 

 

 

December 31, 2016

 

 

December 31, 2015

 

Assets:

 

 

 

 

 

 

 

 

CareDx

 

$

41,169

 

 

$

55,638

 

Olerup

 

 

35,561

 

 

 

—

 

Total assets

 

$

76,730

 

 

$

55,638

 

 

Revenues by geographic regions are based upon the customers’ ship-to address. The following table summarizes reportable revenues by geographic regions (in thousands):

 

 

 

Years Ended December 31,

 

 

 

2016

 

 

2015

 

 

2014

 

Revenues:

 

 

 

 

 

 

 

 

 

 

 

 

North America

 

$

33,215

 

 

$

28,144

 

 

$

27,306

 

Europe, Middle East and Africa

 

 

6,992

 

 

 

—

 

 

 

—

 

Latin America

 

 

424

 

 

 

—

 

 

 

—

 

Total

 

$

40,631

 

 

$

28,144

 

 

$

27,306

 

 

The following table summarizes long-lived assets, consisting of property and equipment, net, by geographic regions (in thousands):

 

 

 

December 31, 2016

 

 

December 31, 2015

 

Long-lived assets:

 

 

 

 

 

 

 

 

United States

 

$

2,052

 

 

$

2,425

 

Europe

 

 

879

 

 

 

—

 

Total

 

$

2,931

 

 

$

2,425