Segments

12 Months Ended

Dec. 31, 2022

Segment Reporting [Abstract]

Segments

SegmentsThe Company's CODM assesses the operating performance of and allocates resources for several operating segments using Segment Adjusted EBITDA. Management believes this financial metric is a key indicator of operating results since it excludes noncash revenues and expenses that are not reflective of the underlying business performance of an individual enterprise. The Company defines Segment Adjusted EBITDA as net income (loss) before (i) interest expense, (ii) income tax expense or benefit, (iii) depreciation and amortization, (iv) stock-based compensation expense, (v) loss on settlement agreements where

noncash consideration is paid, (vi) adjustments for accrued bonuses paid in equity awards, (vii) gain or loss on disposals of assets, (viii) loss on impairment of goodwill and other noncurrent assets, (ix) equity in net loss of affiliates, and (x) recognition of previously deferred revenue associated with upfront and milestone payments as well as cash outflows from capital expenditures and investments in affiliates but includes proceeds from the sale of assets in the period sold. Segment Adjusted EBITDA excludes the gain or loss on disposals of assets and include proceeds from the sale of assets in the period sold.

Because the Company uses Segment Adjusted EBITDA as its primary measure of segment performance, it has included this measure in its discussion of segment operating results. The Company has also disclosed revenues from external customers and intersegment revenues for each reportable segment. Corporate expenses are not allocated to the segments and are managed at a consolidated level. The CODM does not use total assets by segment to evaluate segment performance or allocate resources, and accordingly, these amounts are not required to be disclosed. The Company's segment presentation excludes amounts related to the businesses included in the Transactions, the operations of MBP Titan and Trans Ova which are reported as discontinued operations (Note 3).

For the year ended December 31, 2022, the Company's reportable segments were (i) Biopharmaceuticals and (ii) Exemplar. These identified reportable segments met the quantitative thresholds to be reported separately for the year ended December 31, 2022. See Note 2 for a description of Biopharmaceuticals and Exemplar.

Segment Adjusted EBITDA by reportable segment was as follows:

	Year Ended December 31,
	2022		2021		2020
Biopharmaceuticals	$	(45,039)	$	(45,754)	$	(35,378)
Exemplar	4,997		6,898		4,004
Segment Adjusted EBITDA for operating segments	$	(40,042)	$	(38,856)	$	(31,374)

The table below reconciles Segment Adjusted EBITDA for reportable segments to consolidated net loss from continuing operations before income taxes:

	Year Ended December 31,
	2022		2021		2020
Segment Adjusted EBITDA for reportable segments	$	(40,042)	$	(38,856)	$	(31,374)
All Other Segment Adjusted EBITDA			—		—
Remove cash paid for capital expenditures, net of proceeds from sale of assets, and cash paid for investments in affiliates	1,362		2,483		605
Add recognition of previously deferred revenue associated with upfront and milestone payments	16,007		2,034		25,005
Other expenses:
Interest expense	(6,774)		(18,755)		(18,209)
Depreciation and amortization	(7,191)		(8,139)		(8,292)
Loss from disposals of assets			(53)		(50)
Impairment losses	(1,120)		(543)		(814)
Stock-based compensation expense	(10,197)		(13,554)		(19,008)
Adjustment related to accrued bonuses paid in equity awards	1,698		—		2,833
Equity in net loss of affiliates	861		(3)		(603)
Other	(105)		(19)		11
Unallocated corporate costs	(32,913)		(33,506)		(48,915)
Eliminations	(1,552)		(2,056)		(5,713)
Consolidated loss from continuing operations before income taxes	$	(79,966)	$	(110,967)	$	(104,524)

Revenues by reportable segment were as follows:

	Year Ended December 31, 2022
	Biopharmaceuticals		Exemplar		Total
Revenues from external customers	$	14,894	$	12,015	$	26,909
Intersegment revenues	1,446		—		1,446
Total segment revenues	$	16,340	$	12,015	$	28,355

	Year Ended December 31, 2021
	Biopharmaceuticals		Exemplar		Total
Revenues from external customers	$	922	$	13,345	$	14,267
Intersegment revenues	1,637		—		1,637
Total segment revenues	$	2,559	$	13,345	$	15,904

	Year Ended December 31, 2020
	Biopharmaceuticals		Exemplar		Total
Revenues from external customers	$	21,780	$	10,158	$	31,938
Intersegment revenues	4,797		—		4,797
Total segment revenues	$	26,577	$	10,158	$	36,735

The table below reconciles total segment revenues from reportable segments to total consolidated revenues:

	Year Ended December 31,
	2022		2021		2020
Total segment revenues from reportable segments	$	28,355	$	15,904	$	36,735
Other revenues, including from other operating segments	—		—		54
Elimination of intersegment revenues	(1,446)		(1,637)		(4,797)
Total consolidated revenues	$	26,909	$	14,267	$	31,992

For the years ended December 31, 2022, 2021, and 2020, 59.6%, 61.5%, and 51.9% of total Exemplar segment revenue was attributable to one customer, respectively. The Company recognized revenues derived in foreign countries totaling $233, $378, and $595 for the years ended December 31, 2022, 2021, and 2020, respectively.

Goodwill by reportable segment was as follows:

	Biopharmaceuticals		Exemplar		Total
Goodwill
Balances at December 31, 2020	$	17,693	$	20,076	$	37,769
Foreign currency translation adjustments	(215)		—		(215)
Balances at December 31, 2021	17,478		20,076		37,554
Foreign currency translation adjustments	(149)		—		(149)
Impairments	(482)		—		(482)
Balances at December 31, 2022	$	16,847	$	20,076	$	36,923

As of December 31, 2022 and 2021, the Company had $2,591 and $4,463, respectively, of long-lived assets in foreign countries.