Quarterly report pursuant to Section 13 or 15(d)

Note 16 - Segments

Note 16 - Segments

9 Months Ended

Sep. 30, 2017

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, 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.

Three Months Ended September 30, 201 7	Diagnostics			Therapeutics			Corporate			Total
Tc99m tilmanocept sales revenue :
United State s	$	—		$	—		$	—		$	—
Internationa l		—			—			—			—
Tc99m tilmanocept license revenu e		—			—			—			—
Grant and other revenu e		210,479			13,190			—			223,669
Total revenu e		210,479			13,190			—			223,669
Cost of goods sold, excluding depreciation and amortizatio n		—			—			—			—
Research and development expenses , excluding depreciation and amortization		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 (4 )		—			—			69,071			69,071
Income tax benefi t		175,496			46,942			553,312			775,750
Net loss from continuing operation s		(348,564	)		(93,235	)		(1,098,965	)		(1,540,764	)
Income from discontinued operations, net of ta x		5,399			—			—			5,399
Gain on sale of discontinued operations, net of ta x		145,877			—			—			145,877
Net los s		(197,288	)		(93,235	)		(1,098,965	)		(1,389,488	)
Total assets, net of depreciation and amortization :
United State s		14,675,489			10,591			7,835,426			22,521,506
Internationa l		82,334			—			1,867			84,201
Capital expenditures		—			—			23,247			23,247

Three Months Ended September 30 , 2016	Diagnostics		Therapeutics			Corporate			Total
Tc99m tilmanocept sales revenue:
United States	$	—	$	—		$	—		$	—
International		17,601		—			—			17,601
Tc99m tilmanocept license revenue		1,295,625		—			—			1,295,625
Grant and other revenue		500,628		10,346			—			510,974
Total revenue		1,813,854		10,346			—			1,824,200
Cost of goods sold, excluding depreciation and amortization		2,889		—			—			2,889
Research and development expenses, excluding depreciation and amortization		671,777		247,664			—			919,441
Selling, general and administrative expenses, excluding depreciation and amortization ( 1 )		—		27,758			1,694,073			1,721,831
Depreciation and amortization ( 2 )		—		—			89,849			89,849
Income (l oss) from operations ( 3 )		1,139,188		(265,076	)		(1,783,922	)		(909,810	)
Other expenses ( 4 )		—		—			(851,637	)		(851,637	)
Net income (loss) from continuing operations		1,139,188		(265,076	)		(2,635,559	)		(1,761,447	)
Income from discontinued operations, net of tax		1,701,911		—			—			1,701,911
Net income (loss)		2,841,099		(265,076	)		(2,635,559	)		(59,536	)
Total assets, net of depreciation and amortization:
United States		4,950,756		9,356			6,080,567			11,040,679
International		148,224		—			697			148,921
Capital expenditures		—		—			—			—

Nine Months Ended September 30, 2017	Diagnostics			Therapeutics			Corporate			Total
Tc99m tilmanocept sales revenue:
United States	$	—		$	—		$	—		$	—
International		—			—			—			—
Tc99m tilmanocept 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
Cost of goods sold, excluding depreciation and amortization		—			—			—			—
Research and development expenses, excluding depreciation and amortization		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
L oss from operations (3)		(955,626	)		(414,113	)		(8,987,383	)		(10,357,122	)
Other expenses (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

Nine Months Ended September 30 , 2016	Diagnostics			Therapeutics			Corporate			Total
Tc99m tilmanocept sales revenue:
United States	$	—		$	—		$	—		$	—
International		30,800			—			—			30,800
Tc99m tilmanocept license revenue		1,795,625			—			—			1,795,625
Grant and other revenue		2,051,622			61,798			—			2,113,420
Total revenue		3,878,047			61,798			—			3,939,845
Cost of goods sold, excluding depreciation and amortization		5,185			—			—			5,185
Research and development expenses, excluding depreciation and amortization		4,410,133			600,790			—			5,010,923
Selling, general and administrative expenses, excluding depreciation and amortization (1)		—			31,590			5,542,034			5,573,624
Depreciation and amortization (2)		—			—			258,999			258,999
Loss from operations (3)		(537,271	)		(570,582	)		(5,801,033	)		(6,908,886	)
Other income, excluding equity in loss of R-NAV, LLC (4)		—			—			1,664,265			1,664,265
Equity in loss of R-NAV, LLC		—			—			(15,159	)		(15,159	)
Net loss from continuing operations		(537,271	)		(570,582	)		(4,151,927	)		(5,259,780	)
Loss from discontinued operations, net of tax		(5,167,312	)		—			—			(5,167,312	)
Net loss		(5,704,583	)		(570,582	)		(4,151,927	)		(10,427,092	)
Total assets, net of depreciation and amortization:
United States		4,950,756			9,356			6,080,567			11,040,679
International		148,224			—			697			148,921
Capital expenditures		—			—			1,847			1,847

(

)

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 (

$50,326

and

$89,849

for the

three

-month periods ended

September 30, 2017

and

2016

and

$197,655

and

$258,999

for the

nine

-month periods ended

September 30, 2017

and

2016,

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.

(

)

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

not

currently allocated to our individual reportable segments.