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Segment Information
 3 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
SEGMENT INFORMATION

17. SEGMENT INFORMATION

 

Our business operations (being the development, acquisition, manufacture and sale of products that improve the health and productivity of dairy and beef cattle) are described in Note 1. Pursuant to Codification Topic 280, Segment Reporting, we operate in the following two reportable business segments: i) First Defense® and ii) Re-Tain®. The category we define as “Other” includes unallocated administrative and overhead expenses and other products excluding First Defense® and Re-Tain®. The significant accounting policies of these segments are described in Note 2. Product sales are the primary factor we use in determining our reportable segments. The governing regulatory authority (USDA or FDA) is also a factor in determining our reportable segments. Management monitors and evaluates segment performance from sales to net operating income (loss) closely. We are not organized by geographic region. No segments have been aggregated. The revenues and expenses allocated to each segment are in some cases direct and in other cases involve reasonable and consistent estimations by management. Each operating segment is defined as the component of our business for which financial information is available and evaluated regularly by our chief operating decision-maker in deciding how to allocate resources and in assessing performance. Our chief operating decision-maker is our President and CEO.

 

   During the Three-Month Period Ended March 31, 2022 
   First Defense®   Re-Tain®   Other   Total 
Product sales  $5,962,875   $
—
   $36,809   $5,999,684 
Costs of goods sold   2,852,329    
—
    44,132    2,896,461 
Gross margin   3,110,546    
—
    (7,323)   3,103,223 
                     
OPERATING EXPENSES:                    
Product development expenses   8,416    982,129    45,390    1,035,935 
Sales and marketing expenses   418,667    392,833    
—
    811,500 
Administrative expenses   
—
    
—
    462,800    462,800 
Operating activities   427,083    1,374,962    508,190    2,310,235 
                     
NET OPERATING INCOME (LOSS)  $2,683,463   $(1,374,962)  ($515,513)  $792,988 

 

   During the Three-Month Period Ended March 31, 2021 
   First Defense®   Re-Tain®   Other   Total 
Product sales  $4,023,471   $
—
   $83,675   $4,107,146 
Costs of goods sold   2,452,159    
—
    52,799    2,504,958 
Gross margin   1,571,312    
—
    30,876    1,602,188 
                     
OPERATING EXPENSES:                    
Product development expenses   7,518    968,254    55,292    1,031,064 
Sales and marketing expenses   431,153    89,214    230    520,597 
Administrative expenses   
—
    
—
    425,152    425,152 
Operating activities   438,671    1,057,468    480,674    1,976,813 
                     
NET OPERATING INCOME (LOSS)  $1,132,641   $(1,057,468)  $(449,798)  $(374,625)

 

   First Defense®   Re-Tain®   Total 
Total Assets as of March 31, 2022  $24,674,596   $22,024,900   $46,699,496 
Total Assets as of March 31, 2021  $17,688,025   $21,933,437   $39,621,462 
Depreciation and amortization expense during the three-month period ended March 31, 2022  $308,710   $314,818   $623,528 
Depreciation and amortization expense during the three-month period ended March 31, 2021  $264,428   $357,003   $621,431 
Capital Expenditures during the three-month period ended March 31, 2022  $740,467   $67,029   $807,496 
Capital Expenditures during the three-month period ended March 31, 2021  $349,316   $
—
   $349,316 

 

   During the Year Ended December 31, 2021 
   First Defense®   Re-Tain®   Other   Total 
Product sales  $18,933,092   $
—
   $309,877   $19,242,969 
Costs of goods sold   10,411,936    
—
    175,104    10,587,040 
Gross margin   8,521,156    
—
    134,773    8,655,929 
                     
OPERATING EXPENSES:                    
Product development expenses   25,374    3,887,781    255,363    4,168,518 
Sales and marketing expenses   1,942,391    561,288    247    2,503,926 
Administrative expenses   
—
    
—
    1,726,100    1,726,100 
Operating expenses   1,967,765    4,449,069    1,981,710    8,398,544 
                     
NET OPERATING INCOME (LOSS)  $6,553,391   $(4,449,069)  $(1,846,937)  $257,385 

 

   During the Year Ended December 31, 2020 
   First Defense®   Re-Tain®   Other   Total 
Product sales  $15,072,446   $
—
   $269,758   $15,342,204 
Costs of goods sold   8,285,073    
—
    194,305    8,479,378 
Gross margin   6,787,373    
—
    75,453    6,862,826 
                     
OPERATING EXPENSES:                    
Product development expenses   106,393    4,022,712    225,522    4,354,627 
Sales and marketing expenses   2,119,289    48,600    10    2,167,899 
Administrative expenses   
—
    
—
    1,720,653    1,720,653 
Operating expenses   2,225,682    4,071,312    1,946,185    8,243,179 
                     
NET OPERATING INCOME (LOSS)  $4,561,691   $(4,071,312)  $(1,870,732)  $(1,380,353)

 

   First Defense®   Re-Tain®   Total 
Total Assets as of December 31, 2021  $22,476,870   $21,988,818   $44,465,688 
Total Assets as of December 31, 2020  $18,416,157   $21,933,437   $40,349,594 
Depreciation and amortization expense
during the year ended December 31, 2021		  $1,095,620   $1,373,361   $2,468,981 
Depreciation and amortization expense
during the year ended December 31, 2020		  $1,003,577   $1,446,430   $2,450,007 
Capital Expenditures
during the year ended December 31, 2021		  $1,655,866   $952,783   $2,608,649 
Capital Expenditures
during the year ended December 31, 2020		  $3,454,076   $618,463   $4,072,539