Segment Information

6 Months Ended

Jun. 30, 2021

Segment Reporting [Abstract]

SEGMENT INFORMATION

17. SEGMENT INFORMATION

We principally operate in the business segment described in Note 1. Pursuant to Codification Topic 280, Segment Reporting, we operate in one reportable business segment, that being the development, acquisition, manufacture and sale of products that improve the health and productivity of dairy and beef cattle. Almost all of our internally funded product development expenses are in support of such products. The significant accounting policies of this segment are described in Note 2. Our single operating segment is defined as the component of our business for which financial information is available and evaluated regularly by our chief operating decision-maker in deciding how to allocate resources and in assessing performance. Our chief operating decision-maker is our President and CEO.

Sales of the First Defense^® product line aggregated 98% and 99% of our total product sales during the three-month periods ended June 30, 2021 and 2020, respectively and 98% of our total product sales during both of the six-month periods ended June 30, 2021 and 2020. Our primary customers for the majority of our product sales (89% and 88% during the three-month periods ended June 30, 2021 and 2020, respectively and 88% during both of the six-month periods ended June 30, 2021 and 2020) are in the U.S. dairy and beef industries. Product sales to international customers, who are also in the dairy and beef industries, aggregated 11% and 12% of our total product sales during the three-month periods ended June 30, 2021 and 2020, respectively, and 12% of our total product sales during both of the six-month periods ended June 30, 2021 and 2020.