Quarterly report pursuant to Section 13 or 15(d)

Segment Information

v3.10.0.1
Segment Information
9 Months Ended
Sep. 30, 2018
Segment Reporting [Abstract]  
Segment Information

Note 12—Segment Information

The Company has organized its business into two operating segments based on the product specialties: the dermatology segment and the vascular segment.

In deciding how to allocate resources and assess performance, the Company’s chief operating decision maker regularly evaluates the sales and gross profit of these segments. Amounts included within selling, general and administrative expense and research and development expense are general to the Company and not specific to a particular segment; therefore, these amounts are not evaluated by the Company’s chief operating decision maker on a segmented basis.

The following tables summarize segment performance for the three and nine months ended September 30, 2018 and 2017 (in thousands):

 

 

 

Three months

ended September 30,

 

 

Nine months

ended September 30,

 

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

Vascular

 

$

789

 

 

$

43

 

 

$

973

 

 

$

68

 

Dermatology

 

 

1,275

 

 

 

1,248

 

 

 

3,296

 

 

 

3,865

 

Net revenue

 

$

2,064

 

 

$

1,291

 

 

$

4,269

 

 

$

3,933

 

Vascular

 

$

579

 

 

$

52

 

 

$

1,050

 

 

$

60

 

Dermatology

 

 

701

 

 

 

641

 

 

 

1,956

 

 

 

2,447

 

Cost of revenue

 

$

1,280

 

 

$

693

 

 

$

3,006

 

 

$

2,507

 

Vascular

 

$

210

 

 

$

(9

)

 

$

(77

)

 

$

8

 

Dermatology

 

 

574

 

 

 

607

 

 

 

1,340

 

 

 

1,418

 

Gross profit

 

$

784

 

 

$

598

 

 

$

1,263

 

 

$

1,426

 

 

Generally, all assets are common assets, except for demonstration lasers and lasers placed with customers, which are a subset of property and equipment. Demonstration lasers and lasers placed with customers aggregated in the vascular segment was $1.2 million and $0.2 million as of September 30, 2018 and December 31, 2017, respectively. Demonstration lasers and lasers placed with customers aggregated in the dermatology segment was $0.9 million and $0.3 million as of September 30, 2018 and December 31, 2017, respectively.

No sales to an individual customer or country other than the United States accounted for more than 10% of net revenue for the three or nine months ended September 30, 2018 or 2017. Net revenue, classified by the major geographic areas in which our customers are located, was as follows:

 

 

 

Three months

ended September 30,

 

 

Nine months

ended September 30,

 

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

United States

 

$

1,992

 

 

$

1,178

 

 

$

3,900

 

 

$

3,648

 

All other countries

 

 

72

 

 

 

113

 

 

 

369

 

 

 

285

 

Net revenue

 

$

2,064

 

 

$

1,291

 

 

$

4,269

 

 

$

3,933