Quarterly report pursuant to Section 13 or 15(d)

Note 3 - Segment Information

v3.3.0.814
Note 3 - Segment Information
 3 Months Ended
Sep. 30, 2015
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]
Note 3. Segment Information:
 
The Company's management evaluates segment operating performance based on operating income before certain charges to cost of sales and selling, general and administrative expenses, principally associated with acquisition accounting related to inventory, amortization of acquisition-related intangible assets and other acquisition-related expenses. Prior period segment results, which reported segment earnings before income taxes, have been reclassified to reflect segment performance based on operating income.
 
Beginning in the first quarter of fiscal 2016, the Clinical Controls segment includes the financial results of the Company’s BiosPacific business. Historically, this business was managed and reported as part of the Biotechnology segment. The recent acquisition of Cliniqa and its commonality of customer and end markets with BiosPacific influenced this management and reporting change. All comparisons to prior periods reflect the new reporting structure as if it existed in the prior reporting periods.
 
The following is financial information relating to the Company's reportable segments (in thousands):
 
 
 
Quarter Ended
 
 
 
September 30,
 
 
 
2015
 
 
2014
 
Net sales
                
Biotechnology
   $ 75,743     $ 76,453  
Clinical Controls
     20,362       19,119  
Protein Platforms
     16,296       12,914  
Inter segment
     (20
)
     (9
)
Consolidated net sales
   $ 112,381     $ 108,477  
Segment operating income
                
Biotechnology
   $ 39,316     $ 40,446  
Clinical Controls
     4,711       6,108  
Protein Platforms
     (1,172
)
     2,604  
Subtotal reportable segments
     42,855       49,159  
Cost recognized on sale of acquired inventory
     (1,112
)
     (3,167
)
Amortization of acquisition related intangible assets
     (7,411
)
     (5,728
)
Acquisition related expenses
     (301
)
     (2,370
)
Stock-based compensation
     (2,038
)
     (1,362
)
Corporate general and administrative
     (965
)
     (1,316
)
Consolidated operating income   $ 31,028     $ 35,216