XML 33 R17.htm IDEA: XBRL DOCUMENT v2.4.0.6
OPERATING SEGMENT AND GEOGRAPHIC INFORMATION
 6 Months Ended
Jun. 30, 2012
Segment Reporting [Abstract]  
Operating Segment And Geographic Information [Text Block]
OPERATING SEGMENT AND GEOGRAPHIC INFORMATION
Our chief operating decision-maker is our Chief Executive Officer, who regularly evaluates our performance based on net sales and gross profit. The preparation of this segment analysis requires management to make estimates and assumptions around expenses below the gross profit level. While we believe the segment information to be directionally correct, actual results could differ from the estimates and assumptions used in preparing this information.
The accounting policies of the segments are the same as the policies discussed in Footnote B – Summary of Significant Accounting Policies.
We have three reportable operating segments, Clinical Laboratories, Pharmacogenomic Services and Diagnostic Tools. During the third quarter of 2011, we changed the manner in which we report segment results internally. Accordingly, segment results of the prior period have been reclassified to reflect these changes. Beginning with the third quarter of 2011, our chief operating decision-maker reviews our business as having three segments. The change in segments was driven by our corporate strategy to advance personalized medicine through proprietary molecular technologies and world-class clinical and research services. These lines of business are complementary with the Pharmacogenomics Services driving innovation and leading to kit production in our Diagnostic Tools segment and new tests in our Clinical Laboratories.
 
Segment information for the three months ended June 30, 2012 and 2011 is as follows:
 
 
Dollars in Thousands
 
2012
 
Clinical Laboratories
 
Pharmacogenomic Services
 
Diagnostic
Tools
 
Total
Net Sales
$
5,460

 
$
348

 
$
3,285

 
$
9,093

Gross Profit
3,035

 
82

 
1,445

 
4,562

Net Income (Loss) before Taxes
(446
)
 
(178
)
 
31

 
(593
)
Income Tax Benefit
—

 
—

 
(30
)
 
(30
)
Net Income (Loss)
$
(446
)
 
$
(178
)
 
$
61

 
$
(563
)
Depreciation/Amortization
$
431

 
$
36

 
$
65

 
$
532

Interest Expense, net
$
(215
)
 
$
(6
)
 
$
(10
)
 
$
(231
)
 
 
 
 
 
 
 
 
 
June 30, 2012
Total Assets
$
29,082

 
$
2,019

 
$
13,571

 
$
44,672



 
 
 
 
 
 
 
 
 
Dollars in Thousands
 
2011
 
Clinical Laboratories
 
Pharmacogenomic Services
 
Diagnostic
Tools
 
Total
Net Sales
$
3,864

 
$
1,002

 
$
2,801

 
$
7,667

Gross Profit
2,429

 
635

 
1,491

 
4,555

Net Loss before Taxes
(5,456
)
 
(287
)
 
(359
)
 
(6,102
)
Income Tax Benefit
—

 
—

 
(104
)
 
(104
)
Net Loss
$
(5,456
)
 
$
(287
)
 
$
(255
)
 
$
(5,998
)
Depreciation/Amortization
$
407

 
$
37

 
$
55

 
$
499

Restructure
$
—

 
$
—

 
$
11

 
$
11

Interest Expense, net
$
(240
)
 
$
—

 
$
—

 
$
(240
)
 
 
 
 
 
 
 
 
 
June 30, 2011
Total Assets
$
20,663

 
$
1,958

 
$
8,079

 
$
30,700



Segment information for the six months ended June 30, 2012 and 2011 is as follows:
 
Dollars in Thousands
 
2012
 
Clinical Laboratories
 
Pharmacogenomic Services
 
Diagnostic
Tools
 
Total
Net Sales
$
8,831

 
$
978

 
$
6,490

 
$
16,299

Gross Profit
4,308

 
456

 
2,902

 
7,666

Net Loss before Taxes
(2,614
)
 
(97
)
 
(574
)
 
(3,285
)
Income Tax Benefit
—

 
—

 
(26
)
 
(26
)
Net Loss
$
(2,614
)
 
$
(97
)
 
$
(548
)
 
$
(3,259
)
Depreciation/Amortization
$
847

 
$
68

 
$
130

 
$
1,045

Restructure
$
—

 
$
—

 
$
—

 
$
—

Interest Expense, net
$
(462
)
 
$
(11
)
 
$
(31
)
 
$
(504
)
 
 
 
 
 
 
 
 


 
 
 
 
 
 
 
 
 
Dollars in Thousands
 
2011
 
Clinical Laboratories
 
Pharmacogenomic Services
 
Diagnostic
Tools
 
Total
Net Sales
$
7,351

 
$
1,272

 
$
6,525

 
$
15,148

Gross Profit
4,328

 
522

 
3,892

 
8,742

Net Income (Loss) before Taxes
(8,745
)
 
(534
)
 
393

 
(8,886
)
Income Tax Benefit
—

 
—

 
(110
)
 
(110
)
Net Income (Loss)
$
(8,745
)
 
$
(534
)
 
$
503

 
$
(8,776
)
Depreciation/Amortization
$
801

 
$
71

 
$
120

 
$
992

Restructure
$
—

 
$
—

 
$
35

 
$
35

Interest Expense, net
$
(473
)
 
$
—

 
$
(5
)
 
$
(478
)
 
 
 
 
 
 
 
 

 
Net sales for the three and six months ended June 30, 2012 and 2011 by country were as follows:
 
 
Dollars in Thousands
 
Dollars in Thousands
 
Three Months Ended
 
Six Months Ended
 
June 30,
 
June 30,
 
2012
 
2011
 
2012
 
2011
United States
$
6,847

 
$
5,669

 
$
11,571

 
$
10,705

Italy
907

 
785

 
1,706

 
1,611

United Kingdom
232

 
233

 
567

 
491

All Other Countries
1,107

 
980

 
2,455

 
2,341

Total
$
9,093

 
$
7,667

 
$
16,299

 
$
15,148


Other than the United States, Italy and the United Kingdom, no country individually accounted for more than 5% of total net sales.

More than 95% of our long-lived assets are located within the United States. Substantially all of the remaining long-lived assets are located within Europe.