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SEGMENT INFORMATION
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
SEGMENT INFORMATION

11. SEGMENT INFORMATION

 

The Company operates and manages its business as a single reporting segment. The business provides esoteric molecular diagnostic testing, and pathology services to aid physicians in their evaluation of cancer risk in patients with indeterminate biopsies and a perceived high risk of cancer from clinical features. We develop and commercialize genomic tests and related first-line assays that can personalize medicine to help improve patient diagnosis and management. The Company’s chief operating decision maker (“CODM”) is the chief executive officer.

 

The CODM assesses performance for the segment and decides how to allocate resources based on consolidated net income that is also reported on the consolidated statements of operations. The monitoring of budgeted versus actual results is used in assessing performance of the segment and in establishing resource allocation across the organization.

 

The measure of segment assets is reported on the consolidated balance sheet as total consolidated assets. All the Company’s long-lived assets are located in the United States. The accounting policies of the segment are the same as those described in Note 1, Nature of Business and Significant Accounting Policies included in our Annual Report on Form 10-K.

 

The following table presents reportable segment profit and loss, including significant expense categories, attributable to the Company’s reportable segment for the periods presented:

 

   2026   2025   2026   2025 
   For The Three Months   For The Six Months 
   Ended June 30,   Ended June 30, 
   2026   2025   2026   2025 
                 
Revenue, net:  $9,131   $9,232   $18,163   $20,747 
Less:                    
Cost of revenue:                    
Fixed   1,769    1,694    3,466    3,384 
Variable   1,709    2,262    3,140    4,717 
Operating and other expenses:                    
Sales and marketing   2,207    2,910    4,384    5,723 
Research and development   149    173    301    350 
General and administrative   2,976    2,661    5,427    5,211 
Interest & other expense, net   (9)   65    (18)   123 
Provision for income taxes   64    -    366    18 
Segment net income (loss)   266    (533)   1,097    1,221 
Reconciliation of profit or loss:                    
Loss on discontinued operations   (108)   (107)   (218)   (214)
Consolidated net income (loss)  $158   $(640)  $879   $1,007 

 

 

Adjusted EBITDA, a non-GAAP financial measure, is a metric used by the CODM to measure cash flow of the ongoing business. Adjusted EBITDA is defined as income or loss from continuing operations, plus depreciation and amortization, non-cash stock-based compensation, non-recurring legal expenses, severance expense, asset impairment, interest and taxes, and other non-cash expenses including change in fair value of notes payable. The legal expenses included are related to NASDAQ uplist costs, special proxy and charter work, and an employment dispute. The table below includes a reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure.

   2026   2025   2026   2025 
   Three Months Ended   Six Months Ended 
   June 30,   June 30, 
   2026   2025   2026   2025 
Income (loss) from continuing operations (GAAP Basis)  $266   $(533)  $1,097   $1,221 
Depreciation and amortization   127    101    245    196 
Stock-based compensation   4    9    8    24 
Non-recurring legal expenses   65    -    380    - 
Severance & related expense   -    524    -    692 
Asset impairment - lab supplies   -    198    -    198 
Lab supplies write-off   217    -    217    - 
Taxes expense   64    -    366    18 
Note payable interest   -    49    -    127 
Other income/expense, net   (9)   10    (18)   14 
Change in fair value of note payable   -    7    -    (18)
Adjusted EBITDA  $734   $365   $2,295   $2,472