Quarterly report pursuant to Section 13 or 15(d)

Note 15 - Segments

Note 15 - Segments

9 Months Ended

Sep. 30, 2018

Segment Reporting Disclosure [Text Block]

Segments

We report information about our operating segments using the “management approach” in accordance with current accounting standards. This information is based on the way management organizes and reports the segments within the enterprise for making operating decisions and assessing performance. Our reportable segments are identified based on differences in products, services and markets served. There were

inter-segment sales. We manage our business based on

two

primary types of drug products: (i) diagnostic substances, including

Tc99m

tilmanocept and other diagnostic applications of our Manocept platform, and

NAV4694

(sublicensed in

April 2018),

and (ii) therapeutic development programs, including therapeutic applications of our Manocept platform and all development programs undertaken by MT.

The information in the following tables is derived directly from each reportable segment’s financial reporting.

T hree Months Ended September 30, 2018	Diagnostics			Therapeutics			Corporate			Total
Royalty revenue	$	2,382		$	—		$	—		$	2,382
License revenue		19,930			—			—			19,930
Grant and other revenue		65,505			143,641			—			209,146
Total revenue		87,817			143,641			—			231,458
Cost of revenue		38,101			—			—			38,101
Research and development expenses		711,355			514,415			—			1,225,770
Selling, general and administrative expenses, excluding depreciation and amortization (1)		—			20,532			2,630,581			2,651,113
Depreciation and amortization (2)		—			—			37,590			37,590
Loss from operations (3)		(661,639	)		(391,306	)		(2,668,171	)		(3,721,116	)
Other expense (4)		—			—			(24,534	)		(24,534	)
Income tax expense		(10,081	)		(3,879	)		(62,299	)		(76,259	)
Net loss from continuing operations		(671,720	)		(395,185	)		(2,755,004	)		(3,821,909	)
Net loss		(671,720	)		(395,185	)		(2,755,004	)		(3,821,909	)
Total assets, net of depreciation and amortization:
United States	$	117,722		$	72,622		$	8,899,301		$	9,089,645
International		18,239			—			1,158			19,397
Capital expenditures		—			—			16,152			16,152

T hree Months Ended September 30, 2017	Diagnostics			Therapeutics			Corporate			Total
Grant and other revenue	$	210,479		$	13,190		$	—		$	223,669
Research and development expenses		734,539			140,008			—			874,547
Selling, general and administrative expenses, excluding depreciation and amortization (1)		—			13,359			1,671,022			1,684,381
Depreciation and amortization (2)		—			—			50,326			50,326
Loss from operations (3)		(524,060	)		(140,177	)		(1,721,348	)		(2,385,585	)
Other income		—			—			69,071			69,071
Income tax benefit		175,496			46,942			553,312			775,750
Net loss from continuing operations		(348,564	)		(93,235	)		(1,098,965	)		(1,540,764	)
Income from discontinued operations, net of tax		5,399			—			—			5,399
Gain on sale of discontinued operations, net of tax		145,877			—			—			145,877
Net loss		(197,288	)		(93,235	)		(1,098,965	)		(1,389,488	)
Total assets, net of depreciation and amortization:
United States	$	14,675,489		$	10,591		$	7,835,426		$	22,521,506
International		82,334			—			1,867			84,201
Capital expenditures		—			—			23,247			23,247

Nine Months Ended September 30, 2018	Diagnostics			Therapeutics			Corporate			Total
Royalty revenue	$	9,842		$	—		$	—		$	9,842
License revenue		277,639			—			—			277,639
Grant and other revenue		454,830			307,719			—			762,549
Total revenue		742,311			307,719			—			1,050,030
Cost of revenue		73,811			—			—			73,811
Research and development expenses		2,409,524			957,920			—			3,367,444
Selling, general and administrative expenses, excluding depreciation and amortization (1)		—			45,769			6,095,617			6,141,386
Depreciation and amortization (2)		—			—			113,088			113,088
Loss from operations (3)		(1,741,024	)		(695,970	)		(6,208,705	)		(8,645,699	)
Other expense (4)		—			—			(4,284,014	)		(4,284,014	)
Income tax expense		(8,797	)		(3,517	)		(53,017	)		(65,330	)
Net loss from continuing operations		(1,749,821	)		(699,487	)		(10,545,736	)		(12,995,043	)
Loss from discontinued operations, net of tax		(1,938	)		—			—			(1,938	)
Gain on sale of discontinued operations, net of tax		43,053			—			—			43,053
Net loss		(1,708,706	)		(699,487	)		(10,545,736	)		(12,953,928	)
Total assets, net of depreciation and amortization:
United States	$	117,722		$	72,622		$	8,899,301		$	9,089,645
International		18,239			—			1,158			19,397
Capital expenditures		—			—			19,317			19,317

Nine Months Ended September 30, 2017	Diagnostics			Therapeutics			Corporate			Total
License revenue	$	100,000		$	—		$	—		$	100,000
Grant and other revenue		1,200,216			115,082			—			1,315,298
Total revenue		1,300,216			115,082			—			1,415,298
Research and development expenses		2,255,842			509,853			—			2,765,695
Selling, general and administrative expenses, excluding depreciation and amortization (1)		—			19,342			8,789,728			8,809,070
Depreciation and amortization (2)		—			—			197,655			197,655
Loss from operations (3)		(955,626	)		(414,113	)		(8,987,383	)		(10,357,122	)
Other expense (4)		—			—			(1,061,190	)		(1,061,190	)
Income tax benefit		323,149			140,034			3,397,972			3,861,156
Net loss from continuing operations		(632,477	)		(274,079	)		(6,650,601	)		(7,557,156	)
Loss from discontinued operations, net of tax		(332,838	)		—			—			(332,838	)
Gain on sale of discontinued operations, net of tax		86,894,000			—			—			86,894,000
Net income (loss)		85,928,685			(274,079	)		(6,650,601	)		79,004,006
Total assets, net of depreciation and amortization:
United States	$	14,675,489		$	10,591		$	7,835,426		$	22,521,506
International		82,334			—			1,867			84,201
Capital expenditures		—			—			31,417			31,417

(

)

General and administrative expenses, excluding depreciation and amortization, represent costs that relate to the general administration of the Company and as such are

not

currently allocated to our individual reportable segments.

(

)

Depreciation and amortization is reflected in selling, general and administrative expenses (

$37,590

and

$50,326

for the

three

-month periods ended

September 30, 2018

and

2017,

and

$113,088

and

$197,655

for the

nine

-month periods ended

September 30, 2018

and

2017,

respectively).

(

)

Income (loss) from operations does

not

reflect the allocation of certain selling, general and administrative expenses, excluding depreciation and amortization, to our individual reportable segments, other than those expenses directly incurred by MT.

(

)

Amounts consist primarily of losses on debt extinguishment and changes in fair value of financial instruments, which are

not

currently allocated to our individual reportable segments.