SEGMENT INFORMATION AND GEOGRAPHIC DATA (Tables)

3 Months Ended

Mar. 31, 2015

SEGMENT INFORMATION AND GEOGRAPHIC DATA [Abstract]

Summary information by segment

Summary financial information by reportable segment is as follows:

	Three Months Ended March 31, 2015
	Wholesale			Moissanite.com			Charles & Colvard Direct			Total
Net sales
Loose jewels	$	3,687,893		$	133,266		$	-		$	3,821,159
Finished jewelry		2,224,267			970,660			1,360,978			4,555,905
Total	$	5,912,160		$	1,103,926			1,360,978			8,377,064
Product line cost of goods sold
Loose jewels	$	2,202,103		$	19,071		$	-		$	2,221,174
Finished jewelry		1,227,810			480,360			319,775			2,027,945
Total	$	3,429,913		$	499,431		$	319,775		$	4,249,119
Product line gross profit
Loose jewels	$	1,485,790		$	114,195		$	-		$	1,599,985
Finished jewelry		996,457			490,300			1,041,203			2,527,960
Total	$	2,482,247		$	604,495		$	1,041,203		$	4,127,945
Operating loss	$	(234,485	)		(403,420	)		(1,038,572	)	$	(1,676,477	)
Depreciation and amortization	$	160,640			31,707			26,381		$	218,728
Capital expenditures	$	109,564			533			7,007		$	117,104

	Three Months Ended March 31, 2014
	Wholesale			Moissanite.com			Charles & Colvard Direct			Total
Net sales
Loose jewels	$	3,533,784		$	146,940		$	-		$	3,680,724
Finished jewelry		1,619,831			561,268			205,730			2,386,829
Total	$	5,153,615		$	708,208		$	205,730		$	6,067,553
Product line cost of goods sold
Loose jewels	$	1,775,135		$	22,272		$	-		$	1,797,407
Finished jewelry		1,280,101			294,886			63,262			1,638,249
Total	$	3,055,236		$	317,158		$	63,262		$	3,435,656
Product line gross profit
Loose jewels	$	1,758,649		$	124,668		$	-		$	1,883,317
Finished jewelry		339,730			266,382			142,468			748,580
Total	$	2,098,379		$	391,050		$	142,468		$	2,631,897
Operating loss	$	(124,858	)		(404,771	)		(640,874	)	$	(1,170,503	)
Depreciation and amortization	$	179,673			73,159			24,966		$	277,798
Capital expenditures	$	28,325			-			-		$	28,325

	March 31, 2015
	Wholesale		Moissanite.com		Charles & Colvard Direct		Total
Total assets	$	50,746,106		106,794		93,559		$	50,946,459

	December 31, 2014
	Wholesale		Moissanite.com		Charles & Colvard Direct		Total
Total assets	$	51,183,888		128,049		114,460		$	51,426,397

Schedule of reconciliation of product line cost of goods sold to cost of goods sold as reported in consolidated financial statements

A reconciliation of the Company’s product line cost of goods sold to cost of goods sold as reported in the condensed consolidated financial statements is as follows:

	Three months ended March 31,
	2015		2014
Product line cost of goods sold	$	4,249,119	$	3,435,656
Non-capitalized manufacturing and production control expenses		147,112		155,023
Freight out		90,734		59,899
Inventory valuation allowances		204,000		24,000
Other inventory adjustments		152,938		(11,536	)
Cost of goods sold	$	4,843,903	$	3,663,042

Schedule of inventories by product line maintained in its wholesale distribution segment

The Company’s net inventories by product line maintained in the parent entity’s wholesale distribution segment are as follows:

	March 31, 2015		December 31, 2014
Loose jewels
Raw materials	$	5,156,656	$	4,658,692
Work-in-process		5,615,277		5,752,103
Finished goods		20,192,696		21,495,873
Finished goods on consignment		3,585		46,284
Total	$	30,968,214	$	31,952,952
Finished jewelry
Raw materials	$	253,360	$	258,707
Work-in-process		526,334		540,576
Finished goods		5,533,173		5,557,417
Finished goods on consignment		190,184		578,200
Total	$	6,503,051	$	6,934,900

Data by geographic area

The following presents certain data by geographic area:

	Three Months Ended March 31,
	2015		2014
Net sales
United States	$	7,762,346	$	5,709,033
International		614,718		358,520
Total	$	8,377,064	$	6,067,553

	March 31, 2015		December 31, 2014
Property and equipment, net
United States	$	1,800,466	$	1,859,355
International		-		-
Total	$	1,800,466	$	1,859,355

	March 31, 2015		December 31, 2014
Intangible assets, net
United States	$	31,907	$	39,050
International		148,794		177,897
Total	$	180,701	$	216,947