Registration of securities issued in business combination transactions

Note 19 - Reportable Segments

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Note 19 - Reportable Segments
 3 Months Ended 12 Months Ended
Mar. 31, 2024
Dec. 31, 2023
Notes to Financial Statements    
Segment Reporting Disclosure [Text Block]

Note 19.  Reportable Segments

 

The Company has two reportable segments: (i) e-Commerce Operations, which involves acquiring and leasing, primarily an e-commerce platform to collaborate with businesses to optimize their ability to sell their goods online, domestically, and internationally, and enabling customers and partners to optimize their e-commerce presence and revenue, and other related businesses and (ii) Healthcare Operations, which provides TPA, data management, COVID-19 related diagnostics and vaccinations, prescription pharmaceuticals, compounded medications, telepharmacy services, anti-retroviral medications, medication therapy management, the supply of prescription medications to long-term care facilities, medication adherence packaging, contracted pharmacy services for 340B covered entities under the 340B Drug Discount Pricing Program, and health practice risk management. 

 

The Company evaluates the performance of each of the segments based on profit or loss after general and administrative expenses. While the Company believes there are synergies between the two business segments, the segments are managed separately because each requires different business strategies.


The following tables present a summary of the reportable segments (in thousands):

For the Three Months Ended March 31, 2024

  

e-Commerce Operations

    

Healthcare Operations

    

Eliminations

    

Total

  

Pharmacy prescription and other revenue, net of PBM fees

   $ —     $ 11,324     $ —     $ 11,324  

e-Commerce revenue

     2,865       —       —       2,865  

Pharmacy 340B contract revenue

     —       3,304       —       3,304  

Revenues, net

   $ 2,865     $ 14,628     $ —     $ 17,493  
                                 

Expenses:

                                

Cost of revenue

     2,060       10,623       —       12,683  

Selling, general and administrative

     1,166       899       (60 )     2,005  

Salaries, wages and payroll taxes

     508       2,116       —       2,624  

Impairment loss

     —       132       —       132  

Professional fees

     507       478       —       985  

Depreciation and amortization

     130       776       —       906  
      4,371       15,024       (60 )     19,335  

Loss before other (income) expense

     (1,506 )     (396 )     60       (1,842 )

Other (expense) income

     (203 )     (25 )     (60 )     (168 )

Loss before income taxes

     (1,303 )     (371 )     —       (1,674 )

Income taxes

     (27 )     —       —       (27 )

Net loss

   $ (1,330 )   $ (371 )   $ —     $ (1,701 )

 

 

For the Three Months Ended March 31, 2023

  

e-Commerce Operations

    

Healthcare Operations

    

Eliminations

    

Total

  

Pharmacy prescription and other revenue, net of PBM fees

   $ —     $ —     $ —     $ —  

e-Commerce revenue

     2,876       —       —       2,876  

Pharmacy 340B contract revenue

     —       —       —       —  

Revenues, net

   $ 2,876     $ —     $ —     $ 2,876  
                                 

Expenses:

                                

Cost of revenue

     2,255       —       —       2,255  

Selling, general and administrative

     788       —       —       788  

Salaries, wages and payroll taxes

     588       —       —       588  

Professional fees

     321       —       —       321  

Depreciation and amortization

     162       —       —       162  
      4,114       —       —       4,114  

Loss before other (income) expense

     (1,238 )     —       —       (1,238 )

Other (expense) income

     (83 )     —       —       (83 )

Loss before income taxes

     (1,155 )     —       —       (1,155 )

Income taxes

     —       —       —       —  

Loss before equity method investment

     (1,155 )     —       —       (1,155 )

Equity in net loss of affiliate

     (32 )     —       —       (32 )

Net loss

   $ (1,187 )   $ —     $ —     $ (1,187 )

 

   

e-Commerce Operations

    

Healthcare Operations

    

Eliminations

    

Total

  

Total assets as of March 31, 2024

   $ 40,342     $ 41,398     $ (16,679 )   $ 65,061  
                         

Total assets as of December 31, 2023

   $ 40,764     $ 40,384     $ (16,679 )   $ 64,469  

 

 

Note 23.  Reportable Segments

 

The Company has two reportable segments: (i) e-Commerce Operations, which involves acquiring and leasing, primarily an e-commerce platform to collaborate with businesses to optimize their ability to sell their goods online, domestically, and internationally, and enabling customers and partners to optimize their e-commerce presence and revenue, and other related businesses and (ii) Healthcare Operations, which provides TPA, data management, COVID-19 related diagnostics and vaccinations, prescription pharmaceuticals, compounded medications, telepharmacy services, anti-retroviral medications, medication therapy management, the supply of prescription medications to long-term care facilities, medication adherence packaging, contracted pharmacy services for 340B covered entities under the 340B Drug Discount Pricing Program, and health practice risk management. 

 

The Company evaluates the performance of each of the segments based on profit or loss after general and administrative expenses. While the Company believes there are synergies between the two business segments, the segments are managed separately because each requires different business strategies.

 

The following tables present a summary of the reportable segments (in thousands):

 

For the Twelve Months Ended December 31, 2023

  

e-Commerce Operations

    

Healthcare Operations

    

Eliminations

    

Total

  

Pharmacy prescription and other revenue, net of PBM fees

   $ —     $ 21,412     $ —     $ 21,412  

e-Commerce revenue

     10,977       —       —       10,977  

Pharmacy 340B contract revenue

     —       5,367       —       5,367  

Revenues, net

   $ 10,977     $ 26,779     $ —     $ 37,756  
                                 

Expenses:

                                

Cost of revenue

     8,122       18,323       —       26,445  

Selling, general and administrative

     6,633       3,277       —       9,910  

Salaries, wages and payroll taxes

     2,670       3,973       —       6,643  

Goodwill impairment

     —       13,895       —       13,895  

Professional fees

     1,595       506       (120 )     1,981  

Depreciation and amortization

     647       1,463       —       2,110  

Total expenses

     19,667       41,437       (120 )     60,984  

Loss before other (income) expense

   $ (8,690 )   $ (14,658 )   $ 120     $ (23,228 )
                                 

For the Twelve Months Ended December 31, 2022

  

e-Commerce Operations

    

Healthcare Operations

    

Eliminations

    

Total

  

Pharmacy prescription and other revenue, net of PBM fees

   $ —     $ —     $ —     $ —  

e-Commerce revenue

     11,710       —       —       11,710  

Pharmacy 340B contract revenue

     —       —       —       —  

Revenues, net

   $ 11,710     $ —     $ —     $ 11,710  
                                 

Expenses:

                                

Cost of revenue

     9,221       —       —       9,221  

Selling, general and administrative

     5,085       —       —       5,085  

Salaries, wages and payroll taxes

     2,565       —       —       2,565  

Professional fees

     1,552       —       —       1,552  

Depreciation and amortization

     490       —       —       490  

Total expenses

     18,913       —       —       18,913  

Loss before other (income) expense

   $ (7,203 )   $ —     $ —     $ (7,203 )

 

   

e-Commerce Operations

    

Healthcare Operations

    

Eliminations

    

Total

  

Total assets as of December 31, 2023

   $ 40,764     $ 40,384     $ (16,679 )   $ 64,469  
                         

Total assets as of December 31, 2022

   $ 28,644     $ —     $ —     $ 28,644  

  

Capital expenditures for the year ended December 31, 2023 were approximately  $109,000 for e-Commerce Operations and $538,000 for Healthcare Operations.