Quarterly report pursuant to Section 13 or 15(d)

Note 14 - Business Segment Information

v3.21.2
Note 14 - Business Segment Information
 6 Months Ended
Jun. 30, 2021
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]

14.

Business Segment Information

 

The Company’s reportable segments are organized based on service platforms, with the ITS segment reflecting higher margin rental revenues that generally include payments made by third-party and direct payers and the DME Services segment reflecting lower margin product sales and direct payer rental revenues. Resources are allocated and performance is assessed for these segments by the Company’s Chief Executive Officer, whom the Company has determined to be its chief operating decision-maker. The Company believes that reporting performance at the gross profit level is the best indicator of segment performance.

 

The financial information summarized below is presented by reportable segment for the three months ended June 30, 2021 and 2020:

 

2021

                                
                   

Corporate/

          

(in thousands)

  

ITS

    

DME Services

    

Eliminations

    

Total

  
                                 

Net revenues - external

   $ 16,334     $ 8,500     $ -     $ 24,834  

Net revenues - internal

     -       1,598       (1,598 )     -  

Total net revenues

     16,334       10,098       (1,598 )     24,834  

Gross profit

     10,451       4,599       -       15,050  
                                 

Selling, general and administrative expenses

                     14,354       14,354  

Interest expense

                     (317 )     (317 )

Other expense

                     (37 )     (37 )

Benefit from income taxes

                     478       478  
                                 

Net income

                           $ 820  
                                 

Total assets

   $ 60,876     $ 33,121     $ 2,000     $ 95,997  

Purchases of medical equipment

   $ 1,871     $ 736     $ -     $ 2,607  

Depreciation and amortization of intangible assets

   $ 2,732     $ 927     $ -     $ 3,659  

 

2020

                                
                   

Corporate/

          

(in thousands)

  

ITS

    

DME Services

    

Eliminations

    

Total

  
                                 

Net revenues - external

   $ 15,605     $ 10,394     $ -     $ 25,999  

Net revenues - internal

     -       1,258       (1,258 )     -  

Total net revenues

     15,605       11,652       (1,258 )     25,999  

Gross profit

     10,279       5,699       -       15,978  
                                 

Selling, general and administrative expenses

                     11,472       11,472  

Interest expense

                     (332 )     (332 )

Other expense

                     (9 )     (9 )

Provision for income taxes

                     (25 )     (25 )
                                 

Net income

                           $ 4,140  
                                 

Total assets

   $ 51,962     $ 30,007     $ 2,000     $ 83,969  

Purchases of medical equipment

   $ 2,663     $ 2,113     $ -     $ 4,776  

Depreciation and amortization of intangible assets

   $ 2,694     $ 836     $ -     $ 3,530  

 

The financial information summarized below is presented by reportable segment for the six months ended June 30, 2021 and 2020:

 

2021

                                
                   

Corporate/

          

(in thousands)

  

ITS

    

DME Services

    

Eliminations

    

Total

  
                                 

Net revenues - external

   $ 32,245     $ 17,052     $ -     $ 49,297  

Net revenues - internal

     -       3,044       (3,044 )     -  

Total net revenues

     32,245       20,096       (3,044 )     49,297  

Gross profit

     20,454       9,172       -       29,626  
                                 

Selling, general and administrative expenses

                     28,057       28,057  

Interest expense

                     (639 )     (639 )

Other expense

                     (106 )     (106 )

Benefit from income taxes

                     657       657  
                                 

Net income

                           $ 1,481  
                                 

Total assets

   $ 60,876     $ 33,121     $ 2,000     $ 95,997  

Purchases of medical equipment

   $ 3,492     $ 1,451     $ -     $ 4,943  

Depreciation and amortization of intangible assets

   $ 5,428     $ 1,801     $ -     $ 7,229  

 

2020

                                
                   

Corporate/

          

(in thousands)

  

ITS

    

DME Services

    

Eliminations

    

Total

  
                                 

Net revenues - external

   $ 29,731     $ 17,821     $ -     $ 47,552  

Net revenues - internal

     -       2,496       (2,496 )     -  

Total net revenues

     29,731       20,317       (2,496 )     47,552  

Gross profit

     19,385       9,256       -       28,641  
                                 

Selling, general and administrative expenses

                     24,102       24,102  

Interest expense

                     (735 )     (735 )

Other expense

                     (28 )     (28 )

Provision for income taxes

                     (54 )     (54 )
                                 

Net income

                           $ 3,722  
                                 

Total assets

   $ 51,962     $ 30,007     $ 2,000     $ 83,969  

Purchases of medical equipment

   $ 5,020     $ 3,763     $ -     $ 8,783  

Depreciation and amortization of intangible assets

   $ 5,348     $ 1,584     $ -     $ 6,932