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

11. Segment Reporting

 

In accordance with ASC 280, “Segment Reporting”, the Company defines an operating segment as a business activity: (1) from which we may earn revenue and incur expenses; (2) whose operating results are regularly reviewed by the CODM to make decisions about resources to be allocated to the segment and assess its performance; and (3) for which discrete financial information is available.

 

The Company has two reporting segments, consisting of the Treatment and Services Segments, which are primarily based on a service offering approach and defined as follow:

 

TREATMENT SEGMENT includes:

 

-nuclear, low-level radioactive, mixed waste (containing both hazardous and low-level radioactive constituents), hazardous and non-hazardous waste treatment, processing and disposal services primarily through four uniquely licensed and permitted treatment and storage facilities; and
-R&D activities to identify, develop and implement innovative waste processing techniques for problematic waste streams.

 

SERVICES SEGMENT includes:

 

-Technical services:

 

○professional radiological measurement and site survey of large government and commercial installations using advanced methods, technology and engineering;
○integrated occupational safety and health services including IH assessments; hazardous materials surveys, e.g., exposure monitoring; lead and asbestos management/abatement oversight; indoor air quality evaluations; health risk and exposure assessments; health & safety plan/program development, compliance auditing and training services; and OSHA citation assistance;
○global technical services providing consulting, engineering, project management, waste management, environmental, and D&D field, technical, and management personnel and services to commercial and government customers; and
○on-site waste management services to commercial and governmental customers.

 

-Nuclear services:

 

○technology-based services including engineering, D&D, specialty services and construction, logistics, transportation, processing and disposal;
○remediation of nuclear licensed and federal facilities and the remediation cleanup of nuclear legacy sites. Such services capability includes project investigation; radiological engineering; partial and total plant D&D; facility decontamination, dismantling, demolition, and planning; site restoration; logistics; transportation; and emergency response; and

 

-A company owned equipment calibration and maintenance laboratory that services, maintains, calibrates, and sources (i.e., rental) health physics, IH and customized NEOSH instrumentation.

 

The Company’s CODM is represented by its CEO and COO (or “CODM group”). The CODM group evaluates the performance of the Treatment and Services segments and allocates resources to each reporting segment based on revenue and income (loss) from operations by comparing actual results for these measures to budgeted and forecasted amounts on a monthly, quarterly and year-to-date basis. The Company’s CODM group does not evaluate and allocate resources for the reportable segments using assets, including expenditures for additions to long-lived assets; therefore, the Company does not disclose asset information for its reporting segments.

 

 

The Company’s reportable segments exclude corporate headquarters, which support the Company’s two reportable segments through executive management, finance, treasury, human resources, accounting, legal, and other corporate functions. The financial results of corporate headquarters are not included in segment income (loss) from operations, the measure reviewed by the CODM, and are presented as unallocated corporate expenses in the reconciliation of segment income (loss) from operations to consolidated income (loss) from continuing operations before income taxes. The Company’s reportable segments also exclude discontinued operations (see Note 10 – Discontinued Operations), which do not generate revenues.

 

The table below summarizes segment loss from operations, the measure reviewed by the CODM, and reconciles this measure to consolidated loss from continuing operations before income taxes for the three and six months ended June 30, 2026 and 2025. Significant segment expense categories included in segment loss from operations include payroll and benefits, materials and supplies, disposal, transportation, and subcontract expenses. These expense categories are presented separately, where applicable. R&D expenses, while not considered a significant segment expense category, are also presented separately because they are regularly provided to the CODM (in thousands).

 

Segment Reporting for the Three Months Ended June 30, 2026

 

   Treatment   Services    Consolidated Total 
Revenue from external customers  $8,289   $4,596    $12,885 
Cost of Goods Sold:                
Payroll and benefits expenses   5,458    2,293      
Material and supplies expenses   1,573    —      
Disposal expenses   911    —      
Transportation expenses   436    —      
Subcontract expenses   —    665      
Other cost of goods sold (1)   2,563    1,489      
Total cost of goods sold   10,941    4,447      
Gross (loss) profit   (2,652)   149     
SG&A:                
Payroll and benefits   890    552      
Other SG&A (2)   396    (145)     
Total SG&A   1,286    407      
R&D   189    4      
Loss from operations  $(4,127)  $(262)    (4,389)
Interest income              203 
Interest expense              (73)
Interest expense-financing fees              (21)
Other income              136 
Unallocated corporate expenses (3)              (2,118)
Loss from continuing operations before taxes             $(6,262)

 

Segment Reporting for the Three Months Ended June 30, 2025

 

   Treatment   Services    Consolidated Total 
Revenue from external customers  $11,397   $3,189    $14,586 
Cost of Goods Sold:                
Payroll and benefits expenses   4,742    1,874      
Material and supplies expenses   1,235    —      
Disposal expenses   1,095    —      
Transportation expenses   366    —      
Subcontract expenses   —    158      
Other cost of goods sold (1)   2,393    1,176      
Total cost of goods sold   9,831    3,208      
Gross profit (loss)   1,566    (19)     
SG&A:                
Payroll and benefits   942    647      
Other SG&A (2)   408    176      
Total SG&A   1,350    823      
R&D   232    4      
Gain on disposal of property and equipment   (1)   —     
Loss from operations  $(15)  $(846)    (861)
Interest income              301 
Interest expense              (124)
Interest expense-financing fees              (21)
Other income              155 
Unallocated corporate expenses (3)              (2,033)
Loss from continuing operations before taxes             $(2,583)

 

 

Segment Reporting for the Six Months Ended June 30, 2026

 

   Treatment   Services    Consolidated Total 
Revenue from external customers  $16,168   $7,843    $24,011 
Cost of Goods Sold:                
Payroll and benefits expenses   10,222    4,421      
Material and supplies expenses   2,918    —      
Disposal expenses   2,366    —      
Transportation expenses   825    —      
Subcontract expenses   —    670      
Other cost of goods sold (1)   5,322    2,651      
Total cost of goods sold   21,653    7,742      
Gross (loss) profit   (5,485)   101     
SG&A:                
Payroll and benefits   1,768    1,162      
Other SG&A (2)   957    62      
Total SG&A   2,725    1,224      
R&D   419    4      
Loss from operations  $(8,629)  $(1,127)    (9,756)
Interest income              384 
Interest expense              (133)
Interest expense-financing fees              (43)
Other income              144 
Unallocated corporate expenses (3)              (4,233)
Loss from continuing operations before taxes             $(13,637)

 

Segment Reporting for the Six Months Ended June 30, 2025

 

   Treatment   Services    Consolidated Total 
Revenue from external customers  $20,583   $7,922    $28,505 
Cost of Goods Sold:                
Payroll and benefits expenses   9,179    3,887      
Material and supplies expenses   2,586    —      
Disposal expenses   1,316    —      
Transportation expenses   861    —      
Subcontract expenses   —    1,066      
Other cost of goods sold (1)   4,825    2,581      
Total cost of goods sold   18,767    7,534      
Gross profit   1,816    388      
SG&A:                
Payroll and benefits   1,815    1,185      
Other SG&A (2)   891    374      
Total SG&A   2,706    1,559      
R&D   523    27      
Gain on disposal of property and equipment   (1)   (5)    
Loss from operations  $(1,412)  $(1,193)    (2,605)
Interest income              636 
Interest expense              (236)
Interest expense-financing fees              (41)
Other income              188 
Unallocated corporate expenses (3)              

(4,025

)
Loss from continuing operations before taxes             $(6,083)

 

(1)  Other cost of goods sold for each reportable segment includes:
  Treatment - lab, regulatory, repair and maintenance, depreciation and amortization, travel, outside services and general expenses.
  Services - material and supplies, disposal, transportation, lab, regulatory, repair and maintenance, depreciation and amortization, travel, outside services and general expenses.
   
(2)  Other SG&A for each reportable segment includes:
  Treatment-depreciation and amortization, travel, outside services, repair and maintenance and general expenses.
  Services- travel, outside services, repair and maintenance and general expenses.
   
(3) The following table reflects the unallocated corporate expenses. “Other” unallocated corporate expenses consists of repair and maintenance, depreciation and amortization, travel, public company, outside services, general and R&D expenses. (in thousands)

 

   2026   2025   2026   2025 
   Three Months Ended   Six Months Ended 
   June 30,   June 30, 
   2026   2025   2026   2025 
Payroll and benefits  $924   $940   $1,921   $1,871 
Other   1,194    1,093    2,312    2,154 
Total  $2,118   $2,033   $4,233   $4,025 

 

 

The following table presents depreciation and amortization for the three and six months ended June 30, (in thousand):

 

   2026   2025   2026   2025 
   Three Months Ended   Six Months Ended 
   June 30,   June 30, 
   2026   2025   2026   2025 
Treatment  $449   $389   $904   $771 
Services   24    38    48    81 
Total segment   473    427    952    852 
Corporate   11    10    22    21 
Total  $484   $437   $974   $873