Annual report pursuant to Section 13 and 15(d)

Note 21 - Segments

v3.8.0.1
Note 21 - Segments
12 Months Ended
Dec. 31, 2017
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]
2
1
.
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
no
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, our R-NAV joint venture (terminated on
May 31, 2016),
NAV4694
and
NAV5001
(license terminated in
April 2015),
and (ii) therapeutic development programs, including therapeutic applications of our Manocept platform and all development programs undertaken by Macrophage Therapeutics, Inc.
 
The information in the following tables is derived directly from each reportable segment
’s financial reporting. Certain revenue and expense amounts in the years ended
December 31, 2017,
2016
and
2015
have been reclassified to discontinued operations. See Note
3.
 
Year Ended December 31, 2017
 
Diagnostics
   
Therapeutics
   
Corporate
   
Total
 
Tc99m tilmanocept sales revenue:
                               
United States
  $
    $
    $
    $
 
International
   
     
     
     
 
Tc99m tilmanocept license revenue
   
100,000
     
     
     
100,000
 
Tc99m tilmanocept royalty revenue
   
9,126
     
     
     
9,126
 
Grant and other revenue
   
1,506,232
     
195,079
     
     
1,701,311
 
Total revenue
   
1,615,358
     
195,079
     
     
1,810,437
 
Cost of goods sold
   
3,651
     
     
     
3,651
 
Research and development expenses, excluding depreciation and amortization
   
3,784,255
     
729,587
     
     
4,513,842
 
Selling, general and administrative expenses, excluding depreciation and amortization
(a)
   
     
34,484
     
10,895,301
     
10,929,785
 
Depreciation and amortization
(b)
   
     
     
240,166
     
240,166
 
L
oss from operations
(c)
   
(2,172,548
)
   
(568,992
)
   
(11,135,467
)
   
(13,877,007
)
Other income (expense)
(d)
   
     
     
(3,912,679
)
   
(3,912,679
)
Benefit from income taxes
   
496,127
     
129,936
     
3,436,426
     
4,062,489
 
L
oss from continuing operations
   
(1,676,421
)
   
(439,056
)
   
(11,611,720
)
   
(13,727,197
)
Income
from discontinued operations, net of tax effect
   
88,673,053
     
     
     
88,673,053
 
Net income (loss)
   
86,996,632
     
(439,056
)
   
(11,611,720
)
   
74,945,856
 
Total assets, net of depreciation and amortization:
                               
United States
  $
13,065,871
    $
49,001
    $
7,634,237
    $
20,749,109
 
International
   
30,476
     
     
1,851
     
32,327
 
Capital expenditures
   
     
     
33,690
     
33,690
 
 
 
Year Ended December 31, 2016
 
Diagnostics
   
Therapeutics
   
Corporate
   
Total
 
Tc99m tilmanocept sales revenue:
                               
United States
  $
    $
    $
    $
 
International
   
39,601
     
     
     
39,601
 
Tc99m tilmanocept license revenue
   
1,795,625
     
     
     
1,795,625
 
Grant and other revenue
   
3,011,642
     
124,766
     
     
3,136,408
 
Total revenue
   
4,846,868
     
124,766
     
     
4,971,634
 
Cost of goods sold, excluding depreciation and amortization
   
62,260
     
     
     
62,260
 
Research and development expenses, excluding depreciation and amortization
   
6,375,929
     
762,151
     
     
7,138,080
 
Selling, general and administrative expenses, excluding depreciation and amortization
(a)
   
     
63,158
     
7,403,329
     
7,466,487
 
Depreciation and amortization
(b)
   
56,317
     
     
397,232
     
453,549
 
L
oss from operations
(c)
   
(1,647,638
)
   
(700,543
)
   
(7,800,561
)
   
(10,148,742
)
Other income (expense), excluding equity in the loss of R-NAV, LLC
(d)
   
     
     
2,786,007
     
2,786,007
 
Equity in the loss of R-NAV, LLC
   
     
     
(15,159
)
   
(15,159
)
L
oss from continuing operations
   
(1,647,638
)
   
(700,543
)
   
(5,029,713
)
   
(7,377,894
)
Loss from discontinued operations, net of tax effect
   
(6,931,137
)
   
     
     
(6,931,137
)
Net loss
   
(8,578,775
)
   
(700,543
)
   
(5,029,713
)
   
(14,309,031
)
Total assets, net of depreciation and amortization:
                               
United States
  $
3,815,271
    $
15,075
    $
8,498,797
    $
12,329,143
 
International
   
131,752
     
     
781
     
132,533
 
Capital expenditures
   
     
     
1,847
     
1,847
 
 
Year Ended December 31, 2015
 
Diagnostics
   
Therapeutics
   
Corporate
   
Total
 
Tc99m tilmanocept sales revenue:
                               
United States
  $
    $
    $
    $
 
International
   
19,075
     
     
     
19,075
 
Tc99m tilmanocept license revenue
   
1,133,333
     
     
     
1,133,333
 
Grant and other revenue
   
1,860,953
     
     
     
1,860,953
 
Total revenue
   
3,013,361
     
     
     
3,013,361
 
Cost of goods sold, excluding depreciation and amortization
   
3,226
     
     
     
3,226
 
Research and development expenses, excluding depreciation and amortization
   
9,831,834
     
730,895
     
     
10,562,729
 
Selling, general and administrative expenses, excluding depreciation and amortization
(a)
   
     
123,884
     
10,242,066
     
10,365,950
 
Depreciation and amortization
(b)
   
232,091
     
     
290,105
     
522,196
 
Loss from operations
(c)
   
(7,053,790
)
   
(854,779
)
   
(10,532,171
)
   
(18,440,740
)
Other income (expense), excluding equity in the loss of R-NAV, LLC
(d)
   
     
     
(4,298,604
)
   
(4,298,604
)
Equity in the loss of R-NAV, LLC
   
     
     
(305,253
)
   
(305,253
)
L
oss from continuing operations
   
(7,053,790
)
   
(854,779
)
   
(15,136,028
)
   
(23,044,597
)
Income
(loss) from discontinued operations,
net of tax effect
(e)
   
(5,713,598
)
   
     
1,194,660
     
(4,518,938
)
Net loss
   
(12,767,388
)
   
(854,779
)
   
(13,941,368
)
   
(27,563,535
)
Total assets, net of depreciation and amortization:
                               
United States
  $
4,161,029
    $
    $
10,391,805
    $
14,552,834
 
International
   
410,666
     
     
1,013
     
411,679
 
Capital expenditures
   
26,589
     
     
12,412
     
39,001
 
 
 
 
(a)
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. Marketing and selling expenses are allocated to our individual reportable segments.
 
(b)
Depreciation and amortization is reflected in research and development (
$0,
$0
and
$10,617
for the years ended
December 31, 2017,
2016
and
2015,
respectively), and selling, general and administrative expenses (
$240,166,
$397,232
and
$460,839
for the years ended
December 31, 2017,
2016
and
2015,
respectively).
 
(c)
Loss from operations does
not
reflect the allocation of certain selling, general and administrative expenses, excluding depreciation and amortization, to our individual reportable segments.
 
(d)
Amounts consist primarily of interest income, interest expense, changes in fair value of financial instruments, and losses on debt extinguishment, which are
not
currently allocated to our individual reportable segments.
 
(e)
Amount
not
allocated to a reportable segment represents contingent consideration recognized related to
2015
GDS Business revenue royalties pursuant to the
2011
sale of the GDS Business to Devicor, net of tax effect. See Note
1
(a).