v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting

Note 13 – Segment Reporting

Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision-maker (CODM) in deciding how to allocate resources and assess performance. The Company's Chief Executive Officer and Chief Financial Officer, as a group, represent the entity's chief operating decision makers. The Company’s CODM views the Company’s operations and manages its business as a single operating segment focused on diagnostic testing in the clinical setting and providing services to biopharmaceutical companies (see Note 9 – Revenue and Accounts Receivable Credit Concentration). The CODM views the Company's operations as a single operating segment as each revenue stream utilizes the same equipment and resources. In addition, discrete financial information is not available for each revenue stream other than gross margin. The accounting policies of the segment are the same as those described in Note 2 – Summary of Significant Accounting Policies and Other Information.

Substantially all the Company’s revenue and all long-lived assets were derived or are located in the United States for the three and six months ended June 30, 2026 and 2025. The measure of segment assets is reported on the balance sheet as total assets.

As a single operating segment, the CODM assesses how to allocate resources and measures the Company's performance based on net income or loss that is reported on the statement of operations as net loss. The CODM uses net income or loss to evaluate the return generated from segment assets in deciding whether to reinvest into the segment or into other parts of the entity, such as acquisitions. Net income or loss is used to monitor budget versus actual results, which are used in assessing performance of the segment and in establishing management's compensation.

The CODM regularly reviews the following significant expenses and other segment items. A summary of the significant expenses and other segment items reported in the Company’s statements of operations as of the dates indicated is as follows (in thousands):

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Revenues

 

$

26,861

 

 

$

20,018

 

 

$

52,416

 

 

$

37,976

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

Direct costs and expenses (less employee related expenses and depreciation and amortization)

 

 

3,540

 

 

 

3,050

 

 

 

6,252

 

 

 

5,573

 

Employee related expenses (less share-based compensation expenses)

 

 

19,420

 

 

 

16,966

 

 

 

38,629

 

 

 

31,770

 

Contracted services expenses

 

 

1,692

 

 

 

1,858

 

 

 

3,381

 

 

 

4,180

 

Sales and marketing education and event expenses

 

 

2,235

 

 

 

1,983

 

 

 

4,446

 

 

 

3,852

 

Occupancy and equipment service expenses

 

 

974

 

 

 

947

 

 

 

1,970

 

 

 

1,951

 

Clinical trials and associated costs

 

 

191

 

 

 

501

 

 

 

829

 

 

 

1,003

 

Depreciation and amortization expense

 

 

1,386

 

 

 

1,437

 

 

 

2,783

 

 

 

2,876

 

Share-based compensation expenses

 

 

820

 

 

 

1,039

 

 

 

1,935

 

 

 

2,011

 

Interest expense

 

 

1,982

 

 

 

1,898

 

 

 

3,959

 

 

 

3,583

 

Change in fair value of warrant liability, net

 

 

—

 

 

 

(98

)

 

 

—

 

 

 

280

 

Other segment items (1)

 

 

1,894

 

 

 

1,905

 

 

 

3,298

 

 

 

3,466

 

Net loss

 

$

(7,273

)

 

$

(11,468

)

 

$

(15,066

)

 

$

(22,569

)
(1)
Other segment items in segment net loss primarily include software and IT related expenses, administrative and professional development expenses, risk management and insurance expenses, other non-cash expenses, and allocated overhead expenses.