Quarterly report pursuant to Section 13 or 15(d)

Operating Segments (Tables)

Operating Segments (Tables)

6 Months Ended

Jun. 30, 2021

Schedule of Segment Reporting Information

The table below presents certain financial information of our operating segments for the three and six months ended June 30, 2021 and 2020 (in thousands):

Segment Reporting for the Quarter Ended June 30, 2021

		Treatment		Services			Medical			Segments Total			Corporate ⁽¹⁾			Consolidated Total
Revenue from external customers	$	7,706		$	8,439			—		$	16,145		$	—		$	16,145
Intercompany revenues		319			32			—			351			—			—
Gross profit (negative gross profit)		1,433			(467	)		—			966			—			966
Research and development		43			19			72			134			10			144
Interest income		—			—			—			—			2			2
Interest expense		(18	)		—			—			(18	)		(47	)		(65	)
Interest expense-financing fees		—			—			—			—			(9	)		(9	)
Depreciation and amortization		310			85			—			395			5			400
Segment income (loss) before income taxes		471			(1,292	)		(72	)		(893	)		4,027	⁽²⁾		3,134
Income tax expense		3			10			—			13			—			13
Segment income (loss)		468			(1,302	)		(72	)		(906	)		4,027			3,121
Expenditures for segment assets		270			10			—			280			9			289	⁽³⁾

Segment Reporting for the Quarter Ended June 30, 2020

		Treatment		Services			Medical			Segments Total			Corporate ⁽¹⁾			Consolidated Total
Revenue from external customers	$	7,840		$	14,207			—		$	22,047		$	—		$	22,047
Intercompany revenues		446			5			—			451			—			—
Gross profit		1,695			1,615			—			3,310			—			3,310
Research and development		52			46			74			172			37			209
Interest income		1			—			—			1			27			28
Interest expense		(28	)		(4	)		—			(32	)		(67	)		(99	)
Interest expense-financing fees		—			—			—			—			(60	)		(60	)
Depreciation and amortization		275			84			—			359			5			364
Segment income (loss) before income taxes		750			1,031			(74	)		1,707			(1,456	)		251
Income tax benefit		(9	)		—			—			(9	)		—			(9	)
Segment income (loss)		759			1,031			(74	)		1,716			(1,456	)		260
Expenditures for segment assets		320			146			—			466			2			468	⁽⁴⁾

Segment Reporting for the Six Months Ended June 30, 2021

		Treatment		Services			Medical			Segments Total			Corporate ⁽¹⁾			Consolidated Total
Revenue from external customers	$	15,201		$	24,077			—		$	39,278		$	—		$	39,278
Intercompany revenues		979			39			—			1,018			—			—
Gross profit		2,358			964			—			3,322			—			3,322
Research and development		90			32			149			271			24			295
Interest income		—			—			—			—			21			21
Interest expense		(37	)		(8	)		—			(45	)		(87	)		(132	)
Interest expense-financing fees		—			—			—			—			(17	)		(17	)
Depreciation and amortization		620			170			—			790			9			799
Segment income (loss) before income taxes		352			(737	)		(149	)		(534	)		2,613	⁽²⁾		2,079
Income tax (benefit) expense		(14	)		10			—			(4	)		—			(4	)
Segment income (loss)		366			(747	)		(149	)		(530	)		2,613			2,083
Expenditures for segment assets		627			14			—			641			9			650	⁽³⁾

Segment Reporting for the Six Months Ended June 30, 2020

		Treatment		Services			Medical			Segments Total			Corporate ⁽¹⁾			Consolidated Total
Revenue from external customers	$	17,403		$	29,504			—		$	46,907		$	—		$	46,907
Intercompany revenues		653			13			—			666			—			—
Gross profit		4,440			3,510			—			7,950			—			7,950
Research and development		145			112			140			397			44			441
Interest income		1			—			—			1			83			84
Interest expense		(46	)		(10	)		—			(56	)		(163	)		(219	)
Interest expense-financing fees		—			—			—			—			(129	)		(129	)
Depreciation and amortization		539			162			—			701			10			711
Segment income (loss) before income taxes		2,297			2,349			(140	)		4,506			(2,933	)		1,573
Income tax expense		5			—			—			5			—			5
Segment income (loss)		2,292			2,349			(140	)		4,501			(2,933	)		1,568
Expenditures for segment assets		1,000			361			—			1,361			5			1,366	⁽⁴⁾

⁽¹⁾	Amounts reflect the activity for corporate headquarters not included in the segment information.

⁽²⁾	Amounts includes approximately $5,381,000 of “Gain on extinguishment of debt” recorded in connection with the Company’s PPP Loan which was forgiven by the SBA effective June 15, 2021 (see “Note 8 – Long Term Debt – PPP Loan” for information of this loan forgiveness).

⁽³⁾	Net of financed amount of $0 and $29,000 for the three and six months ended June 30, 2021, respectively.

⁽⁴⁾	Net of financed amount of $51,000 and $132,000 for the three and six months ended June 30, 2020, respectively.