Note 14 - Segment Reporting

9 Months Ended

Sep. 30, 2013

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

14.           Segment Reporting

The Company has determined that it has three reportable segments based on the Company’s method of internal reporting, which disaggregates business by geographic location. These segments are the Americas, Europe and Asia. The Company evaluates the performance of these segments based on income (loss) from operations, as well as other factors, that depend on the development status of these geographies. Such measures include the progress of its research and development activities, collaboration and licensing efforts, commercialization activities, product sales and other factors. The reportable segments have historically derived their revenue from joint collaboration and strategic alliance agreements. Transactions between the segments consist primarily of loans and the provision of research and development services. The following tables summarize the financial information by reportable geographic segment for the three and nine months ended September 30, 2013 and 2012:

(In thousands)	Americas		Europe			Asia			Consolidated
Three Months Ended September 30, 2013
Research and development revenue	$	2,027	$	-		$	-		$	2,027
Product royalty revenue		13,595		-			-			13,595
Product sales revenue		170		17			5,191			5,378
Co-promotion revenue		-		-			-			-
Contract and collaboration revenue		141		12			10			163
Total revenues		15,933		29			5,201			21,163
Cost of goods sold		3,389		4			2,874			6,267
Gross profit		12,544		25			2,327			14,896
Research and development expenses		2,467		1,088			919			4,474
Depreciation and amortization		309		47			8			364
Other operating expenses		8,893		1,646			563			11,102
Income (loss) from operations		875		(2,756	)		837			(1,044	)
Interest income		18		2			-			20
Interest expense		-		(417	)		(44	)		(461	)
Other non-operating expense, net		6		95			(150	)		(49	)
Income (loss) before income taxes	$	899	$	(3,076	)	$	643		$	(1,534	)
Capital expenditures	$	9	$	4		$	-		$	13
Three Months Ended September 30, 2012
Research and development revenue	$	665	$	72		$	-		$	737
Product royalty revenue		13,890		-			-			13,890
Product sales revenue		-		-			-			-
Co-promotion revenue		730		-			-			730
Contract and collaboration revenue		141		(15	)		13			139
Total revenues		15,426		57			13			15,496
Cost of goods sold		-		-			-			-
Gross profit		15,426		57			13			15,496
Research and development expenses		2,239		2,543			833			5,615
Depreciation and amortization		122		242			10			374
Other operating expenses		9,677		1,161			322			11,160
Income (loss) from operations		3,388		(3,889	)		(1,152	)		(1,653	)
Interest income		65		3			-			68
Interest expense		-		(556	)		(40	)		(596	)
Other non-operating expense, net		34		165			(191	)		8
Income (loss) before income taxes	$	3,487	$	(4,277	)	$	(1,383	)	$	(2,173	)
Capital expenditures	$	41	$	-		$	-		$	41

(In thousands)	Americas			Europe			Asia			Consolidated
Nine Months Ended September 30, 2013
Research and development revenue	$	16,288		$	-		$	-		$	16,288
Product royalty revenue		37,271			-			-			37,271
Product sales revenue		277			37			10,680			10,994
Co-promotion revenue		61			-			-			61
Contract and collaboration revenue		424			34			32			490
Total revenues		54,321			71			10,712			65,104
Cost of goods sold		3,465			12			5,980			9,457
Gross profit		50,856			59			4,732			55,647
Research and development expenses		6,446			4,307			3,775			14,528
Depreciation and amortization		543			548			26			1,117
Other operating expenses		27,368			3,374			2,743			33,485
Income (loss) from operations		16,499			(8,170	)		(1,812	)		6,517
Interest income		54			8			1			63
Interest expense		-			(1,326	)		(123	)		(1,449	)
Other non-operating expense, net		(9	)		(169	)		1,954			1,776
Income (loss) before income taxes	$	16,544		$	(9,657	)	$	20		$	6,907
Capital expenditures	$	40		$	110		$	3		$	153
Nine Months Ended September 30, 2012
Research and development revenue	$	5,878		$	74		$	466		$	6,418
Product royalty revenue		36,521			-			-			36,521
Product sales revenue		-			-			-			-
Co-promotion revenue		3,253			-			-			3,253
Contract and collaboration revenue		424			(30	)		39			433
Total revenues		46,076			44			505			46,625
Cost of goods sold		-			-			-			-
Gross profit		46,076			44			505			46,625
Research and development expenses		6,250			5,405			2,547			14,202
Depreciation and amortization		366			709			30			1,105
Other operating expenses		32,475			2,576			916			35,967
Income (loss) from operations		6,985			(8,646	)		(2,988	)		(4,649	)
Interest income		105			12			1			118
Interest expense		-			(1,656	)		(124	)		(1,780	)
Other non-operating expense, net		67			82			578			727
Income (loss) before income taxes	$	7,157		$	(10,208	)	$	(2,533	)	$	(5,584	)
Capital expenditures	$	293		$	3,445		$	-		$	3,738

As of September 30, 2013
Property and equipment, net	$	975	$	121	$	182	$	1,278
Identifiable assets, net of intercompany loans
and investments	$	97,915	$	13,420	$	18,385	$	129,720
As of December 31, 2012
Property and equipment, net	$	1,276	$	36	$	228	$	1,540
Identifiable assets, net of intercompany loans
and investments	$	87,731	$	25,465	$	14,600	$	127,796