Annual report pursuant to Section 13 and 15(d)

Segment Information

v3.19.1
Segment Information
12 Months Ended
Dec. 31, 2018
Segment Reporting [Abstract]  
Segment Information

Note 13—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 years ended December 31, 2018 and 2017 (in thousands):

 

 

 

For the Year Ended December 31,

 

 

 

2018

 

 

2017

 

Vascular

 

$

1,552

 

 

$

259

 

Dermatology

 

 

4,705

 

 

 

5,611

 

Net revenue

 

$

6,257

 

 

$

5,870

 

Vascular

 

$

1,521

 

 

$

193

 

Dermatology

 

 

2,685

 

 

 

3,972

 

Cost of revenue

 

$

4,206

 

 

$

4,165

 

Vascular

 

$

31

 

 

$

66

 

Dermatology

 

 

2,020

 

 

 

1,639

 

Gross profit

 

$

2,051

 

 

$

1,705

 

 

Generally, all assets are common assets, except for demonstration lasers and lasers placed with customers, which are a subset of property and equipment. The net book value of the demonstration lasers and lasers placed with customers aggregated in the vascular segment was $2.2 million and $0.2 million as of December 31, 2018 and 2017, respectively. The net book value of the demonstration lasers and lasers placed with customers aggregated in the dermatology segment was $0.7 million and $0.3 million as of December 31, 2018 and 2017, respectively.

Net revenue, classified by the major geographic areas in which our customers are located, was as follows (in thousands):

 

 

 

For the Year Ended December 31,

 

 

 

2018

 

 

2017

 

United States

 

$

5,835

 

 

$

5,273

 

All other countries

 

 

422

 

 

 

597

 

Net revenue

 

$

6,257

 

 

$

5,870