| Segment reporting |
Note 11 – Segment reporting
The Company has three reportable segments: Products, Clinical Services
and Therapeutics. The Company’s Products segment develops, manufactures, and markets products to research and pharmaceutical customers.
The Clinical Services segment provides diagnostic services to the health care community. The Company’s Therapeutics segment conducts
research and development activities for therapeutic drug candidates. The Company evaluates segment performance based on segment income
(loss) before taxes. Costs excluded from segment income (loss) before taxes and reported as “Other” consist of corporate general
and administrative costs which are not allocable to the three reportable segments. All intersegment activities are eliminated.
Legal and related expenses incurred to defend the Company’s intellectual
property, which may result in settlements recognized in another segment and other general corporate matters are considered a component
of the Other segment. Legal and related expenses specific to other segments’ activities are allocated to those segments. Management
of the Company assesses assets on a consolidated basis only and therefore, assets by reportable segment have not been included in the
reportable segments below. The accounting policies of the reportable segments are the same as those described in the summary of significant
accounting policies.
The following financial information represents the operating results
of the reportable segments of the Company:
| Three months ended October 31, 2021 |
|
Clinical
Services |
|
|
Products |
|
|
Therapeutics |
|
|
Other |
|
|
Consolidated |
|
| Revenues |
|
$ |
19,741 |
|
|
$ |
6,778 |
|
|
|
— |
|
|
|
— |
|
|
$ |
26,519 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Cost of revenues |
|
|
11,203 |
|
|
|
4,070 |
|
|
|
— |
|
|
|
— |
|
|
|
15,273 |
|
| Research and development |
|
|
7 |
|
|
|
732 |
|
|
|
5 |
|
|
|
— |
|
|
|
744 |
|
| Selling, general and administrative |
|
|
6,001 |
|
|
|
3,095 |
|
|
|
— |
|
|
|
1,956 |
|
|
|
11,052 |
|
| Legal fee expense |
|
|
57 |
|
|
|
13 |
|
|
|
— |
|
|
|
1,212 |
|
|
|
1,282 |
|
| Total operating costs and expenses |
|
|
17,268 |
|
|
|
7,910 |
|
|
|
5 |
|
|
|
3,168 |
|
|
|
28,351 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating income (loss) |
|
|
2,473 |
|
|
|
(1,132 |
) |
|
|
(5 |
) |
|
|
(3,168 |
) |
|
|
(1,832 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Other income (expense): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Interest, net |
|
|
(2 |
) |
|
|
9 |
|
|
|
— |
|
|
|
32 |
|
|
|
39 |
|
| Other |
|
|
49 |
|
|
|
2 |
|
|
|
— |
|
|
|
(196 |
) |
|
|
(145 |
) |
| Foreign exchange loss |
|
|
— |
|
|
|
(381 |
) |
|
|
— |
|
|
|
— |
|
|
|
(381 |
) |
| Net income (loss) |
|
$ |
2,520 |
|
|
$ |
(1,502 |
) |
|
$ |
(5 |
) |
|
$ |
(3,332 |
) |
|
$ |
(2,319 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Depreciation and amortization included above |
|
$ |
418 |
|
|
|
212 |
|
|
|
— |
|
|
|
71 |
|
|
|
701 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Share-based compensation included in above: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Selling, general and administrative |
|
|
20 |
|
|
|
19 |
|
|
|
— |
|
|
|
173 |
|
|
|
212 |
|
| Cost of revenues |
|
|
4 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
4 |
|
| Total |
|
$ |
24 |
|
|
|
19 |
|
|
|
— |
|
|
|
173 |
|
|
|
216 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Capital expenditures |
|
$ |
310 |
|
|
|
486 |
|
|
|
— |
|
|
|
237 |
|
|
|
1,033 |
|
| Three months ended October 31, 2020 |
|
Clinical
Services |
|
|
Products |
|
|
Therapeutics |
|
|
Other |
|
|
Consolidated |
|
| Revenues – Services and Products |
|
$ |
21,223 |
|
|
$ |
7,432 |
|
|
|
— |
|
|
|
— |
|
|
$ |
28,655 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating costs and expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Cost of revenues |
|
|
12,995 |
|
|
|
3,763 |
|
|
|
— |
|
|
|
— |
|
|
|
16,758 |
|
| Research and development |
|
|
121 |
|
|
|
592 |
|
|
$ |
33 |
|
|
|
— |
|
|
|
746 |
|
| Selling, general and administrative |
|
|
6,098 |
|
|
|
2,445 |
|
|
|
17 |
|
|
$ |
1,454 |
|
|
|
10,014 |
|
| Legal and related expenses |
|
|
25 |
|
|
|
5 |
|
|
|
— |
|
|
|
610 |
|
|
|
640 |
|
| Total operating costs and expenses |
|
|
19,239 |
|
|
|
6,805 |
|
|
|
50 |
|
|
|
2,064 |
|
|
|
28,158 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating income (loss) |
|
|
1,984 |
|
|
|
627 |
|
|
|
(50 |
) |
|
|
(2,064 |
) |
|
|
497 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Other income (expense): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Interest, net |
|
|
(6 |
) |
|
|
10 |
|
|
|
— |
|
|
|
(55 |
) |
|
|
(51 |
) |
| Other |
|
|
15 |
|
|
|
2 |
|
|
|
— |
|
|
|
— |
|
|
|
17 |
|
| Foreign exchange loss |
|
|
— |
|
|
|
(164 |
) |
|
|
— |
|
|
|
— |
|
|
|
(164 |
) |
| Net income (loss) |
|
$ |
1,993 |
|
|
$ |
475 |
|
|
$ |
(50 |
) |
|
$ |
(2,119 |
) |
|
$ |
299 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Depreciation and amortization included above |
|
$ |
409 |
|
|
$ |
185 |
|
|
$ |
— |
|
|
$ |
66 |
|
|
$ |
660 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Share-based compensation included in above: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Selling, general and administrative |
|
|
9 |
|
|
|
16 |
|
|
|
— |
|
|
|
129 |
|
|
|
154 |
|
| Cost of revenues |
|
|
13 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
13 |
|
| Total |
|
$ |
22 |
|
|
$ |
16 |
|
|
$ |
— |
|
|
$ |
129 |
|
|
$ |
167 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Capital expenditures |
|
$ |
540 |
|
|
$ |
44 |
|
|
$ |
— |
|
|
$ |
33 |
|
|
$ |
617 |
|
|