Revenue and Accounts Receivable

9 Months Ended

Mar. 31, 2024

Revenue from Contract with Customer [Abstract]

Revenue and Accounts Receivable

Note 5. – Revenue and Accounts Receivable

Revenues by payor were as follows for the three and nine months ended March 31, 2002 and 2023:

	Three Months Ended				Nine Months Ended
	March 31,				March 31,
	2024		2023		2024		2023
Medicare	$	3,207	$	3,521	$	11,021	$	10,377
Medicaid		1,506		1,802		4,898		5,048
Retail and Institutional Pharmacy		1,517		1,632		4,839		5,666
Managed Care & Other Insurance		1,022		1,032		3,179		4,572
Self-pay		189		180		532		564
Other		21		14		58		43
Total Net Revenues	$	7,462	$	8,181	$	24,527	$	26,270

The revenues for the three months ended March 31, 2024 includes $57 of prior period sales tax refunds as a result of a reduction in the accrued sales tax liability as described in Note 10. The revenues for nine months ended March 31, 2024 includes $437 of prior period sales tax refunds, compared to $2,615 increase in revenues in the nine months ended March 31, 2023 as a result of a reduction in the accrued sales tax liability as described in Note 10.

Accounts Receivable and Allowance for Doubtful Accounts

The Company adopted Financial Accounting Standards Board Accounting Standards Codification (“ASC”) Topic 326, Financial Statements – Credit Losses (“Topic 326”) with an adoption date of July 1, 2023. This standard requires a financial asset (or a group of financial assets) measured at amortized cost basis, to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset(s) to present the net carrying value at the amount expected to be collected on the financial assets. The Company evaluates the valuation of accounts receivable concessions allowances based upon its historical collection trends, as well as its understanding of the nature and collectability of accounts based on their age and other

factors. The model is based on the credit losses expected to arise over the life of the asset based on the Company’s expectations as of the balance sheet date through analyzing historical customer data as well as taking into consideration current and estimated future economic trends. The Company adopted Topic 326 and determined it did not have a material financial impact.

The roll forward of the allowance for doubtful accounts for the three and nine months ended March 31, 2024 was as follows:

June 30, 2023 balance	$	532
Concession allowance expense		79
Write-offs		(203	)
September 30, 2023 balance		408
Concession allowance expense		67
Write-offs		(104	)
December 31, 2023 balance		371
Concession allowance expense		272
Write-offs		(363	)
March 31, 2024 balance	$	280