Business Segment Information

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Business Segment Information

13. Business Segment Information

Our business consists of two segments: our “Diagnostics” business, which primarily consists of the development, manufacture, and sale of rapid diagnostic tests used to determine if a person has a variety of infectious diseases including, HIV, HCV, and COVID-19. The Diagnostic business also manufactures and sells oral fluid substance abuse testing products. Our “Molecular Solutions” business is operated by our wholly-owned subsidiaries DNAG, Diversigen, and Novosanis. This segment of the business consists of the development, manufacture, and sale of kits that are used to collect, stabilize, transport and store a biological sample of genetic material for molecular testing. In addition, our Molecular Solutions business provides microbiome laboratory services.

We organized our operating segments according to the nature of the products included in those segments. The accounting policies of the segments are the same as those described in the summary of significant accounting policies (see Note 1). We evaluate performance of our operating segments based on revenue and operating income. We do not allocate interest income, interest expense, other income, other expenses or income taxes to our operating segments. Reportable segments have no inter-segment revenues and inter-segment expenses have been eliminated.

The following table summarizes operating segment information for the three and six months ended June 30, 2022 and 2021, and asset information as of June 30, 2022 and December 31, 2021:

	Three Months Ended June 30,						Six Months Ended June 30,
	2022			2021			2022			2021
Net revenues:
Diagnostics	$	60,455		$	19,311		$	98,765		$	33,857
Molecular Solutions		19,776			38,296			49,173			82,332
Total	$	80,231		$	57,607		$	147,938		$	116,189
Operating income (loss):
Diagnostics	$	(11,776	)	$	(11,850	)	$	(31,563	)	$	(23,967	)
Molecular Solutions		(9,513	)		13,648			(5,704	)		36,187
Total	$	(21,289	)	$	1,798		$	(37,267	)	$	12,220
Depreciation and amortization:
Diagnostics	$	1,903		$	939		$	3,630		$	1,829
Molecular Solutions		1,879			1,716			3,834			3,315
Total	$	3,782		$	2,655		$	7,464		$	5,144
Loss on impairment:
Diagnostics	$	8,517		$	—		$	8,517		$	—
Molecular Solutions		2,025			—			2,025			—
Total	$	10,542		$	—		$	10,542		$	—
Capital expenditures:
Diagnostics(1)	$	4,302		$	8,513		$	23,434		$	16,150
Molecular Solutions		919			3,355			2,006			6,779
Total	$	5,221		$	11,868		$	25,440		$	22,929

(1) Excludes $5,615 and $33,803 for purchases of property and equipment under government contracts for the three and six months ended June 30, 2022, respectively.

	June 30, 2022		December 31, 2021
Total assets:
Diagnostics	$	249,123	$	209,674
Molecular Solutions		180,131		251,316
Total	$	429,254	$	460,990