v3.22.4
Reportable Segment and Major Customers Information
 3 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Reportable Segment and Major Customers Information
15.
Reportable Segment and Major Customers Information
The Company’s reportable segments maintain separate financial information for which results of operations are evaluated on a regular basis by the Company’s chief operating decision maker in deciding how to allocate resources and in assessing performance.
The Company records the direct costs of business operations to the reportable segments, including allocations for certain corporate-wide costs such as treasury management, human resources and technology, among others. Corporate provides certain executive management and administrative services to each reportable segment. These services primarily include executive oversight by
non-segment-specific
executives, including the Board of Directors, along with certain other corporate-wide support functions such as insurance, legal and business development. The Company generally does not allocate these types of corporate expenses to the reportable segments.
Reportable segment and corporate information for the interim periods is as follows:
 
    
Diagnostics
    
Life Science
     
Corporate
(1)
    
Eliminations
(2)
    
Total
  
Three Months Ended December 31, 2022
 
Net revenues -
                                          
Third-party
    $ 39,366     $ 17,536      $ —       $ —       $ 56,902  
Inter-segment
      86       8        —         (94 )      —    
Operating
income 
(loss)
      3,160       5,383        (36,693 )      35       (28,115 ) 
Goodwill (December 31, 2022)
      94,432       26,135        —         —         120,567  
Other intangible assets, net (December 31, 2022)
      71,570       2        —         —         71,572  
Total assets (December 31, 2022)
      353,997       102,775        —         (9 )      456,763  
    
 
 
    
 
 
     
 
 
    
 
 
    
 
 
  
Three Months Ended December 31, 2021
                                          
Net revenues -
                                          
Third-party
    $ 33,204     $ 55,137      $ —       $ —       $ 88,341  
Inter-segment
      34       55        —         (89 )      —    
Operating income (loss)
      (1,763 )      26,602        (4,571 )      15       20,283  
Goodwill (September 30, 2022)
      94,412       21,890        —         —         116,302  
Other intangible assets, net (September 30, 2022)
      74,129       2        —         —         74,131  
Total assets (September 30, 2022)
      357,630       105,511        —         (44 )      463,097  
    
 
 
    
 
 
     
 
 
    
 
 
    
 
 
  
 
(1)
 
Includes acquisition and transaction related costs and litigation and select legal costs of $34,048 and $281 in the three months ended December 31, 2022 and 2021, respectively.
(2)
 
Eliminations consist of inter-segment transactions.
A reconciliation of reportable segment operating income (loss) to consolidated earnings
 (loss)
before income taxes is as follows:
 
Three Months Ended December 31,
   
2022
     
2021
  
Operating income
 (loss):
                  
Diagnostics segment
    $ 3,160      $ (1,763)
Life Science segment
      5,383        26,602  
Eliminations
      35        15  
    
 
 
     
 
 
  
Total operating income
      8,578        24,854  
Corporate expenses
      (36,693 )       (4,571 ) 
Interest income
      3        1  
Interest expense
      (148 )       (372 ) 
Other, net
      (837 )       (161 ) 
    
 
 
     
 
 
  
Consolidated earnings
(loss) 
before income taxes
    $ (29,097 )    $ 19,751  
    
 
 
     
 
 
  
Transactions between reportable segments are accounted for at established intercompany prices for internal and management purposes, with all intercompany amounts eliminated in consolidation.
Net revenues generated by the Company’s three major Diagnostics segment product families – gastrointestinal, respiratory illnesses and blood chemistry – accounted for 57% and 32% of consolidated net revenues during the three months ended December 31, 2022 and 2021, respectively.
Three individual Diagnostics and two Life Science segment customers, including their affiliates, comprising 10% or more of reportable segment net revenues were as follows:
 

Three Months Ended December 31,
  
2022
 
 
2021
 
Diagnostics
                 
Customer A
      7 %     10 %
Customer B
      10 %     11 %
Customer C
      12 %     11 %
Life Science
  
 
Customer D
  
 
—
%
 
 
23
%
Customer
E
      4 %     14 %
Customer 
F
      12 %     5 %
In addition,
one of 
the Life Science segment customers, including their affiliates, identified above accounted for greater than 10% of consolidated net revenues as follows:
 

Three Months Ended December 31,
  
2022
 
 
2021
 
Life Science
                 
Customer D
      — %     14 %
No individual Diagnostics segment customer accounted for greater than 10% of
consolidated
net revenues during the three months ended December 31, 2022 or 2021.
During the three months ended December 31, 2022 and 2021, the Life Science segment’s ten largest customers, including their affiliates, accounted for approximately 42% and 67%, respectively, of Life Science segment net revenues, and 13% and 42%, respectively, of consolidated net revenues.
No Diagnostics or Life Science segment customer accounted for greater than 10% of consolidated accounts receivable as of December 31,
2022
, while one Diagnostics segment customer (Customer B above) and one Life Science segment customer (
Customer F
above) accounted for approximately 12% and 11%, respectively, of consolidated accounts receivable as of September 30, 2022.