Quarterly report pursuant to Section 13 or 15(d)

Segment Reporting

v3.22.1
Segment Reporting
 9 Months Ended
Apr. 30, 2022
Segment Reporting [Abstract]  
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 April 30, 2022   Clinical
Services		     Products     Therapeutics     Other     Consolidated  
Revenues   $ 18,630     $ 7,592      
—
      
—
     $ 26,222  
                                         
Operating costs and expenses:                                        
Cost of revenues     11,180       4,869      
—
      
—
       16,049  
Research and development     666       458       9      
—
       1,133  
Selling, general and administrative     6,756       2,786      
—
       1,900       11,442  
Legal fee expense     12       10      
—
       712       734  
Total operating costs and expenses     18,614       8,123       9       2,612       29,358  
                                         
Operating income (loss)     16       (531 )     (9 )     (2,612 )     (3,136 )
                                         
Other income (expense):                                        
Interest, net     (2 )     10      
—
       46       54  
Other     15       (2 )    
—
       (729 )     (716 )
Foreign exchange loss    
—
       (1,056 )    
—
      
—
       (1,056 )
Net income (loss)   $ 29     $ (1,579 )   $ (9 )   $ (3,295 )   $ (4,854 )
                                         
Depreciation and amortization included above   $ 430       224      
—
       78       732  
                                         
Share-based compensation included in above:                                        
Selling, general and administrative     38       1      
—
       119       158  
Cost of revenues     4      
—
      
—
      
—
       4  
Total   $ 42       1      
—
       119       162  
                                         
Capital expenditures   $ 202       572      
—
       82       856  

 

Three months ended April 30, 2021   Clinical
Services		     Products     Therapeutics     Other     Consolidated  
Revenues   $ 25,018     $ 7,779      
—
      
—
     $ 32,797  
                                         
Operating costs and expenses:                                        
Cost of revenues     12,733       4,018      
—
      
—
       16,751  
Research and development     173       643     $ 20      
—
       836  
Selling, general and administrative     7,029       2,810       17     $ 2,226       12,082  
Legal fee expenses     95       10      
—
       956       1,061  
Total operating costs and expenses     20,030       7,481       37       3,182       30,730  
                                         
Operating income (loss)     4,988       298       (37 )     (3,182 )     2,067  
                                         
Other income (expense):                                        
Interest, net     (4 )     11      
—
       53       60  
Other     1       2      
—
       (91 )     (88 )
Foreign exchange loss    
—
       (33 )    
—
      
—
       (33 )
Net income (loss)   $ 4,985     $ 278     $ (37 )   $ (3,220 )   $ 2,006  
                                         
Depreciation and amortization included above   $ 399     $ 208     $
—
     $ 66     $ 673  
                                         
Share-based compensation included in above:                                        
Selling, general and administrative     9       41      
—
       208       258  
Cost of revenues     39      
—
      
—
      
—
       39  
Total   $ 48     $ 41     $ —     $ 208     $ 297  
                                         
Capital expenditures   $ 1,544     $ 180     $ —     $ 23     $ 1,747  

 

Nine months ended April 30, 2022   Clinical
Services		     Products     Therapeutics     Other     Consolidated  
Revenues – Services and Products   $ 62,045     $ 24,742      
—
      
—
     $ 86,787  
                                         
Operating costs and expenses:                                        
Cost of revenues     34,969       14,191      
—
      
—
       49,160  
Research and development     762       1,901     $ 34      
—
       2,697  
Selling, general and administrative     19,568       8,920      
—
     $ 8,472       36,960  
Legal and related expenses     217       23      
—
       4,621       4,861  
Total operating costs and expenses     55,516       25,035       34       13,093       93,678  
                                         
Operating income (loss)     6,529       (293 )     (34 )     (13,093 )     (6,891 )
                                         
Other income (expense):                                        
Interest, net     (7 )     28      
—
       140       161  
Other     69       3      
—
       (1,283 )     (1,211 )
Foreign exchange (loss)             (1,887 )     —       —       (1,887 )
Net income (loss)   $ 6,591     $ (2,149 )   $ (34 )   $ (14,236 )   $ (9,828 )
                                         
Depreciation and amortization included above   $ 1,286     $ 626     $
—
     $ 226     $ 2,138  
                                         
Share-based compensation included in above:                                        
Selling, general and administrative     74       2      
—
       961       1,037  
Cost of revenues     20      
—
      
—
      
—
       20  
Total   $ 94     $ 2     $ —     $ 961     $ 1,057  
                                         
Capital expenditures   $ 795     $ 1,788     $ —     $ 520     $ 3,103  

 

Nine months ended April 30, 2021   Clinical
Services		     Products     Therapeutics     Other     Consolidated  
Revenues – Services and Products   $ 70,229     $ 22,689       —       —     $ 92,918  
                                         
Operating costs and expenses:                                        
Cost of revenues     37,436       11,718       —       —       49,154  
Research and development     454       1,868     $ 66       —       2,388  
Selling, general and administrative     19,552       7,848       50     $ 5,659       33,109  
Legal and related expenses     191       16       —       3,786       3,993  
Total operating costs and expenses     57,633       21,450       116       9,445       88,644  
                                         
Operating income (loss)     12,596       1,239       (116 )     (9,445 )     4,274  
                                         
Other income (expense):                                        
Interest     (14 )     29       —       (55 )     (40 )
Other     30       6       —       (91 )     (55 )
Foreign exchange gain             428       —       —       428  
Net income (loss)   $ 12,612     $ 1,702     $ (116 )   $ (9,591 )   $ 4,607  
                                         
Depreciation and amortization included above   $ 1,189     $ 581     $ —     $ 198     $ 1,968  
                                         
Share-based compensation included in above:                                        
Selling, general and administrative     28       73       —       473       574  
Cost of revenues     66       —       —       —       66  
Total   $ 94     $ 73     $ —     $ 473     $ 640  
                                         
Capital expenditures   $ 2,425     $ 378     $ —     $ 67     $ 2,870