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Note H - Segment Information | 6 Months Ended
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Dec. 31, 2021
Notes to Financial Statements |
Segment Reporting Disclosure [Text Block] | H. Segment Information Our business consists of two segments for financial reporting purposes. The two segments are identified as (i) private-label contract manufacturing, which primarily relates to the provision of private-label contract manufacturing services to companies that market and distribute nutritional supplements and other health care products, and (ii) patent and trademark licensing, which primarily includes direct raw material sales and royalty income from our license and supply agreements associated with the sale and use of beta-alanine under our CarnoSyn® and SR CarnoSyn® trade names. We evaluate performance of these segments based on a number of factors. The primary performance measures for each segment are net sales and income or loss from operations before the allocation of certain corporate level expenses. Operating income or loss for each segment does not include corporate general and administrative expenses, interest expense and other miscellaneous income and expense items. Corporate general and administrative expenses include, but are not limited to human resources, corporate legal, finance, information technology, and other corporate level related expenses, which are not allocated to any segment. Transfers of raw materials between segments are recorded at cost. The accounting policies of our segments are the same as those described in the summary of significant accounting policies in Note A above and in the consolidated financial statements included in our 2021 Annual Report. Our operating results by business segment were as follows (in thousands):
|  | Three Months Ended December 31, |  |  | Six Months Ended December 31, |
|  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |
Net Sales |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Private label contract manufacturing |  | $ | 33,677 |  |  | $ | 45,326 |  |  | $ | 67,271 |  |  | $ | 82,373 |
Patent and trademark licensing |  |  | 4,050 |  |  |  | 2,757 |  |  |  | 8,796 |  |  |  | 5,436 |
Total Net Sales |  | $ | 37,727 |  |  | $ | 48,083 |  |  | $ | 76,067 |  |  | $ | 87,809 |
|  | Three Months Ended December 31, |  |  | Six Months Ended December 31, |
|  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |
Income from Operations |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Private label contract manufacturing |  | $ | 2,761 |  |  | $ | 6,843 |  |  | $ | 6,461 |  |  | $ | 10,270 |
Patent and trademark licensing |  |  | 1,757 |  |  |  | 529 |  |  |  | 4,393 |  |  |  | 1,199 |
Income from operations of reportable segments |  |  | 4,518 |  |  |  | 7,372 |  |  |  | 10,854 |  |  |  | 11,469 |
Corporate expenses not allocated to segments |  |  | (2,117 | ) |  |  | (1,980 | ) |  |  | (4,225 | ) |  |  | (3,992 | )
Total Income from Operations |  | $ | 2,401 |  |  | $ | 5,392 |  |  | $ | 6,629 |  |  | $ | 7,477 |
|  | December 31, 2021 |  |  | June 30, 2021 |
Total Assets |  |  |  |  |  |  |  |
Private-label contract manufacturing |  | $ | 99,746 |  |  | $ | 95,324 |
Patent and trademark licensing |  |  | 27,612 |  |  |  | 24,957 |
|  | $ | 127,358 |  |  | $ | 120,281 |
Our private-label contract manufacturing products are sold both in the U.S. and in markets outside the U.S., including Europe, Canada, Australia, New Zealand, Mexico and Asia. Our primary markets outside the U.S. are Europe and Asia. Our patent and trademark licensing activities are primarily based in the U.S. Net sales by geographic region, based on the customers’ location, were as follows (in thousands):
|  | Three Months Ended December 31, |  |  | Six Months Ended December 31, |
|  | 2021 |  |  | 2020 |  |  | 2021 |  |  | 2020 |
United States |  | $ | 25,402 |  |  | $ | 23,074 |  |  | $ | 48,897 |  |  | $ | 42,860 |
Markets outside of the United States |  |  | 12,325 |  |  |  | 25,009 |  |  |  | 27,170 |  |  |  | 44,949 |
Total |  | $ | 37,727 |  |  | $ | 48,083 |  |  | $ | 76,067 |  |  | $ | 87,809 |
Products manufactured by our Swiss subsidiary ("NAIE") accounted for 89% of net sales in markets outside the U.S. for the three months ended December 31, 2021 and 84% for the six months ended December 31, 2021. Products manufactured by our Swiss subsidiary ("NAIE") accounted for 83% of net sales in markets outside the U.S. for the three months ended December 31, 2020 and 85% for the six months ended December 31, 2020. No products manufactured by NAIE were sold in U.S. markets during the three and six month periods ended December 31, 2021 and 2020. Long-lived assets by geographic region, based on the location of the company or subsidiary at which they were located or made, were as follows (in thousands):
|  | December 31, 2021 |  |  | June 30, 2021 |
United States |  | $ | 38,976 |  |  | $ | 21,109 |
Europe |  |  | 15,307 |  |  |  | 17,039 |
Total Long-Lived Assets |  | $ | 54,283 |  |  | $ | 38,148 |
Total assets by geographic region, based on the location of the company or subsidiary at which they were located or made, were as follows (in thousands):
|  | December 31, 2021 |  |  | June 30, 2021 |
United States |  | $ | 74,290 |  |  | $ | 67,307 |
Europe |  |  | 53,068 |  |  |  | 52,974 |
Total Assets |  | $ | 127,358 |  |  | $ | 120,281 |
Capital expenditures by geographic region, based on the location of the company or subsidiary at which they were located or made, were as follows (in thousands):
|  | Six Months Ended December 31, |
|  | 2021 |  |  | 2020 |
United States |  | $ | 19,250 |  |  | $ | 1,033 |
Europe |  |  | 394 |  |  |  | 2,001 |
Total Capital Expenditures |  | $ | 19,644 |  |  | $ | 3,034 |

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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