Note 15 - Segments

12 Months Ended

Dec. 31, 2024

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

NOTE 15 – SEGMENTS

The Company has determined its operating segments in accordance with ASC 280, Segment Reporting. Factors used to determine the Company’s reportable segments include the availability of separate financial statements, the existence of locally based leadership across geographic regions, the economic factors affecting each segment, and the evaluation of operating results at the segment level. The Company’s Chief Operating Decision Maker (“CODM”), its chief executive officer, allocates the Company’s resources for each of the operating segments and evaluates their relative performance based on gross profit, operating loss, and net loss. Operating expenses are disaggregated by department for purposes of evaluating each segment’s performance. Each operating segment listed below has separate financial statements and locally based leadership that are evaluated based on the results of their respective segments. It should be noted that the operating segments below have different products and services.

The Company has two reportable segments, which have been delineated by location and business area:

● Pittsburgh segment: provides services that include the application of AI using its proprietary biobank of 150,000+ tumor samples. Pittsburgh also creates proprietary 3D culture models used in drug development.

● Eagan segment: produces the FDA-cleared STREAMWAY System and associated products for automated medical fluid waste management and patient-to-drain medical fluid disposal.

As described in Note 2, the Company’s former Birmingham operating segment met the criteria to be reported as discontinued operations during the third quarter of 2024. As such, the former Birmingham segment is excluded from the tables below, which only reflect continuing operations for all periods presented.

See discussion of revenue recognition in Note 1 – Organization and Summary of Significant Accounting Policies for a description of the products and services recognized in each segment. All revenues are earned from external customers.

The tables below summarize the Company’s segment reporting as of and for the years ended December 31, 2024, and 2023.

	Year Ended December 31, 2024
	Pittsburgh			Eagan			Corporate			Total
Revenue	$	84,812		$	1,539,005		$	-		$	1,623,817
Cost of sales		78,285			747,852			-			826,137
Gross profit		6,527			791,153			-			797,680
General and administrative expenses		2,022,732			184,095			5,213,065			7,419,892
Operations expenses		2,234,501			609,584			6,960			2,851,045
Sales and marketing expenses		5			633,015			833,193			1,466,213
Total operating (loss)		(4,250,711	)		(635,541	)		(6,053,218	)		(10,939,470	)
Other segment items		(606	)		(9	)		79,880			79,265
Segment (loss)	$	(4,251,317	)	$	(635,550	)	$	(5,973,338	)	$	(10,860,205	)

	December 31, 2024
	Pittsburgh		Eagan		Corporate		Total
Assets	$	2,615,291	$	1,410,090	$	893,487	$	4,918,868
Depreciation and amortization		124,939		29,743		7,397		162,079
Expenditures for additions to long-lived assets		3,032		6,478		-		9,510

	Year Ended December 31, 2023
	Pittsburgh			Eagan			Corporate			Total
Revenue	$	492,596		$	1,135,101		$	-		$	1,627,697
Cost of sales		195,105			414,107			-			609,212
Gross profit		297,491			720,993			-			1,018,485
General and administrative expenses		2,364,640			518,017			5,498,260			8,380,917
Operations expenses		2,443,316			806,658			18,192			3,268,165
Sales and marketing expenses		299			364,697			1,122,142			1,487,139
Total operating (loss)		(4,510,763	)		(968,379	)		(6,638,594	)		(12,117,736	)
Other segment items		6,857			(902	)		94,220			100,175
Segment (loss)	$	(4,503,906	)	$	(969,281	)	$	(6,544,374	)	$	(12,017,561	)

	December 31, 2023
	Pittsburgh		Eagan		Corporate		Total
Assets	$	3,263,270	$	1,390,031	$	8,782,034	$	13,435,335
Depreciation and amortization		207,658		29,750		7,381		244,788
Expenditures for additions to long-lived assets		7,424		24,691		15,437		47,550

Other segment items are comprised of other income, other expenses, and gain on derivative instruments. Other income primarily consists of interest income. Other expenses primarily consist of interest expense and, in the year ended December 31, 2023, losses on a note receivable deemed uncollectible.

In each of the years ended December 31, 2024, and 2023, substantially all the Company revenues were located or derived from operations in the United States. As of December 31, 2024, all the Company’s long-lived assets were located within the United States. During the year ended December 31, 2024, revenues of $459,369 reported in the Company’s Eagan operating segment were attributable to a single customer. As of December 31, 2024, accounts receivable due from this customer was $144,880. During the year ended December 31, 2023, revenues of $489,921 reported in the Company’s Pittsburgh segment were attributable to a single customer. As of December 31, 2023, accounts receivable due from this customer was $52,072.