Business Segments and Geographic Data

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Business Segments and Geographic Data

Note 14

Business Segments and Geographic Data:

The Company has organized its business into three operating segments to align its organization based upon the Company’s management structure, products and services offered, markets served and types of customers, as follows: The Consumer segment derives its revenues from the design, development, manufacturing and selling of long-term hair reduction and acne consumer products. The Physician Recurring segment derives its revenues mainly from the sales of skincare products. The Professional segment generates revenues from the sale of equipment, such as medical and esthetic light and heat based products. Management reviews financial information presented on an operating segment basis for the purposes of making certain operating decisions and assessing financial performance. Unallocated operating expenses include costs that are not specific to a particular segment but are general to the group; included are expenses incurred for administrative and accounting staff, general liability and other insurance, professional fees and other similar corporate expenses. Interest and other financing income (expense), net is also not allocated to the operating segments. Unallocated assets include cash and cash equivalents, prepaid expenses and deposits.

The following tables reflect results of operations from our business segments for the periods indicated below:

	Three Months Ended March 31, 2016 (unaudited)
	CONSUMER			PHYSICIAN RECURRING			PROFESSIONAL			TOTAL
Revenues	$	9,922		$	1,208		$	103		$	11,233
Cost of revenues		2,219			466			69			2,754
Gross profit		7,703			742			34			8,479
Gross profit %		77.6	%		61.5	%		33.0	%		75.5	%
Allocated operating expenses:
Engineering and product development		272			42			-			314
Selling and marketing		6,961			829			13			7,803
Loss on sale of assets								843			843
Unallocated operating expenses		-			-			-			3,965
		7,233			871			856			12,925
Income (loss) from continuing operations		470			(129	)		(822	)		(4,446	)
Interest  and other financing expense, net		-			-			-			(333	)
Income (loss) from continuing operations before income taxes	$	470		$	(129	)	$	(822	)	$	(4,779	)

	Three Months Ended March 31, 2015 (unaudited)
	CONSUMER			PHYSICIAN RECURRING			PROFESSIONAL			TOTAL
Revenues	$	18,129		$	1,730		$	814		$	20,673
Cost of revenues		3,497			628			533			4,658
Gross profit		14,632			1,102			281			16,015
Gross profit %		80.7	%		63.7	%		34.5	%		77.5	%
Allocated operating expenses:
Engineering and product development		338			8			(8	)		338
Selling and marketing		14,719			1,117			95			15,931
Unallocated operating expenses		-			-			-			4,042
		15,057			1125			87			20,311
Income (loss) from continuing operations		(425	)		(23	)		194			(4,296	)
Interest and other financing expense, net		-			-			-			(2,556	)
Income (loss) from continuing operations before income taxes	$	(425	)	$	(23	)	$	194		$	(6,852	)

For the three months ended March 31, 2016 and 2015, net revenues by geographic area (determined by ship to location) were as follows:

	Three Months Ended March 31,
	2016		2015
	(unaudited)		(unaudited)
North America 1	$	7,313	$	15,217
Asia Pacific		514		677
Europe (including Israel)		3,391		4,664
South America		15		115
	$	11,233	$	20,673
1 United States	$	6,094	$	13,131
1 Canada	$	695	$	2,062

As of March 31, 2016 and December 31, 2015, long-lived assets by geographic area were as follows:

	March 31, 2016		December 31, 2014
	(unaudited)
North America	$	193	$	169
Asia Pacific		41		41
Europe (including Israel)		1,039		1,096
	$	1,273	$	1,306

The Company discusses segmental details in its Management Discussion and Analysis found elsewhere in this Quarterly Report on Form 10-Q.