Quarterly report pursuant to Section 13 or 15(d)

Business Segment Information

v3.23.2
Business Segment Information
 6 Months Ended
Jun. 30, 2023
Segment Reporting [Abstract]  
Business Segment Information Business Segment InformationDuring the second quarter of 2023, the Company renamed its two operating segments. Prior to that time the Patient Services segment was known as Integrated Therapy Services and the Device Solutions segment was known as Durable Medical Equipment Services. The changes were for marketing purposes only and there were no changes to the operations of either segment. The Company’s reportable segments are organized based on service platforms, with the Patient Services segment reflecting higher margin rental revenues that generally include payments made by third-party and direct payers and
the Device Solutions segment reflecting lower margin product sales, direct payer rental and service 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, 2023 and 2022:
2023
(in thousands) Patient Services Device Solutions
Corporate/
Eliminations
Total
 
Net revenues - external $ 19,319 $ 12,416 $ — $ 31,735
Net revenues - internal — 1,681 (1,681) —
Total net revenues 19,319 14,097 (1,681) 31,735
Gross profit 11,845 4,597 — 16,442
Selling, general and administrative expenses 15,194 15,194
Interest expense (620) (620)
Other income 2 2
Provision for income taxes (195) (195)
Net income $ 435
Total assets $ 60,243 $ 40,506 $ 2,000 $ 102,749
Purchases of medical equipment $ 1,539 $ 1,487 $ — $ 3,026
Depreciation and amortization of intangible assets $ 2,078 $ 1,015 $ — $ 3,093
2022
(in thousands) Patient Services Device Solutions
Corporate/
Eliminations
Total
Net revenues - external $ 17,244 $ 9,798 $ — $ 27,042
Net revenues - internal — 1,762 (1,762) —
Total net revenues 17,244 11,560 (1,762) 27,042
Gross profit 10,113 4,788 — 14,901
Selling, general and administrative expenses 14,694 14,694
Interest expense (314) (314)
Other expense (30) (30)
Provision for income taxes (27) (27)
Net loss $ (164)
Total assets $ 62,310 $ 34,507 $ 2,000 $ 98,817
Purchases of medical equipment $ 3,325 $ 413 $ — $ 3,738
Depreciation and amortization of intangible assets $ 2,371 $ 1,029 $ — $ 3,400
The financial information summarized below is presented by reportable segment for the six months ended June 30, 2023 and 2022:
2023
(in thousands) Patient Services Device Solutions
Corporate/
Eliminations
Total
 
Net revenues - external $ 38,093 $ 24,012 $ — $ 62,105
Net revenues - internal — 3,311 (3,311) —
Total net revenues 38,093 27,323 (3,311) 62,105
Gross profit 23,386 8,596 — 31,982
Selling, general and administrative expenses 30,841 30,841
Interest expense (1,104) (1,104)
Other expense (33) (33)
Benefit from income taxes 107 107
Net income $ 111
Total assets $ 60,243 $ 40,506 $ 2,000 $ 102,749
Purchases of medical equipment $ 4,212 $ 2,782 $ — $ 6,994
Depreciation and amortization of intangible assets $ 4,256 $ 2,040 $ — $ 6,296
2022
(in thousands) Patient Services Device Solutions
Corporate/
Eliminations
Total
Net revenues - external $ 33,885 $ 19,920 $ — $ 53,805
Net revenues - internal — 3,250 (3,250) —
Total net revenues 33,885 23,170 (3,250) 53,805
Gross profit 20,851 9,417 — 30,268
Selling, general and administrative expenses 30,586 30,586
Interest expense (591) (591)
Other expense (58) (58)
Benefit from income taxes 435 435
Net loss $ (532)
Total assets $ 62,310 $ 34,507 $ 2,000 $ 98,817
Purchases of medical equipment $ 4,836 $ 1,833 $ — $ 6,669
Depreciation and amortization of intangible assets $ 4,769 $ 2,047 $ — $ 6,816