Annual report pursuant to Section 13 and 15(d)

Segment Reporting

v3.24.0.1
Segment Reporting
 12 Months Ended
Nov. 30, 2023
Segment Reporting [Abstract]  
Segment Reporting

NOTE 5 – SEGMENT REPORTING

The Company is organized in three reportable segments:

1.
The cellular processing and cryogenic storage of umbilical cord blood and cord tissue stem cells for family use. Revenue is generated from the initial processing and testing fees and the annual storage fees charged each year for storage (the “Umbilical cord blood and cord tissue stem cell service”).
2.
The manufacture of PrepaCyte CB units, the processing technology used to process umbilical cord blood stem cells. Revenue is generated from the sales of the PrepaCyte CB units (the “PrepaCyte CB”).
3.
The cellular processing and cryogenic storage of umbilical cord blood stem cells for public use. Revenue is generated from the sale of the cord blood units to the National Marrow Donor Program (“NMDP”), which distributes the cord blood units to transplant centers located in the United States, and around the world.

The following table shows, by segment: net revenue, cost of sales, operating profit, depreciation and amortization, interest expense, and assets for the years ended November 30, 2023 and November 30, 2022:

 

 

 

For the years ended November 30,

 

 

 

2023

 

 

2022

 

Net revenue:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

30,796,091

 

 

$

29,771,123

 

PrepaCyte CB

 

 

66,456

 

 

 

104,000

 

Public cord blood banking

 

 

481,148

 

 

 

461,626

 

Total net revenue

 

$

31,343,695

 

 

$

30,336,749

 

Cost of sales:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

7,268,724

 

 

$

7,095,113

 

PrepaCyte CB

 

 

35,490

 

 

 

100,715

 

Public cord blood banking

 

 

1,138,096

 

 

 

1,596,530

 

Total cost of sales

 

$

8,442,310

 

 

$

8,792,358

 

Operating (loss) profit:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

(7,911,698

)

 

$

5,185,305

 

PrepaCyte CB

 

 

3,188

 

 

 

(24,493

)

Public cord blood banking

 

 

(4,395,522

)

 

 

(1,136,345

)

Total operating (loss) profit

 

$

(12,304,032

)

 

$

4,024,467

 

Depreciation and amortization:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

1,095,009

 

 

$

1,090,309

 

PrepaCyte CB

 

 

27,778

 

 

 

27,778

 

Public cord blood banking

 

 

1,441

 

 

 

1,441

 

Total depreciation and amortization

 

$

1,124,228

 

 

$

1,119,528

 

Interest expense:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

1,236,794

 

 

$

1,521,767

 

PrepaCyte CB

 

 

—

 

 

 

—

 

Public cord blood banking

 

 

—

 

 

 

—

 

Total interest expense

 

$

1,236,794

 

 

$

1,521,767

 

 

The following table shows the assets by segment as of November 30, 2023 and November 30, 2022:

 

 

As of

 

 

As of

 

 

 

November 30, 2023

 

 

November 30, 2022

 

Assets:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell
   service

 

$

55,471,149

 

 

$

54,849,697

 

PrepaCyte CB

 

 

148,040

 

 

 

176,546

 

Public cord blood banking

 

 

5,601,581

 

 

 

9,861,811

 

Total assets

 

$

61,220,770

 

 

$

64,888,054