Quarterly report pursuant to Section 13 or 15(d)

Segment Reporting

v3.24.1.u1
Segment Reporting
 3 Months Ended
Feb. 29, 2024
Segment Reporting [Abstract]  
Segment Reporting

Note 2 – 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, depreciation and amortization, operating profit, and interest expense for the three months ended February 29, 2024 and February 28, 2023:

 

 

 

For the three months ended

 

 

 

February 29, 2024

 

 

February 28, 2023

 

Net revenue:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

7,805,522

 

 

$

7,561,518

 

PrepaCyte CB

 

 

3,000

 

 

 

32,200

 

Public cord blood banking

 

 

43,713

 

 

 

230,697

 

Total net revenue

 

$

7,852,235

 

 

$

7,824,415

 

Cost of sales:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

1,884,566

 

 

$

1,687,250

 

PrepaCyte CB

 

 

25,483

 

 

 

17,122

 

Public cord blood banking

 

 

250,419

 

 

 

362,992

 

Total cost of sales

 

$

2,160,468

 

 

$

2,067,364

 

Operating profit:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

1,057,719

 

 

$

1,807,693

 

PrepaCyte CB

 

 

(29,428

)

 

 

8,133

 

Public cord blood banking

 

 

(207,068

)

 

 

(132,655

)

Total operating profit

 

$

821,223

 

 

$

1,683,171

 

Depreciation and amortization:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

25,879

 

 

$

273,539

 

PrepaCyte CB

 

 

6,945

 

 

 

6,945

 

Public cord blood banking

 

 

362

 

 

 

360

 

Total depreciation and amortization

 

$

33,186

 

 

$

280,844

 

Interest expense:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell service

 

$

256,459

 

 

$

466,231

 

PrepaCyte CB

 

 

—

 

 

 

—

 

Public cord blood banking

 

 

—

 

 

 

—

 

Total interest expense

 

$

256,459

 

 

$

466,231

 

 

The following table shows the assets by segment as of February 29, 2024 and November 30, 2023:

 

 

As of

 

 

As of

 

 

 

February 29, 2024

 

 

November 30, 2023

 

Assets:

 

 

 

 

 

 

Umbilical cord blood and cord tissue stem cell
   service

 

$

56,017,726

 

 

$

55,471,149

 

PrepaCyte CB

 

 

125,757

 

 

 

148,040

 

Public cord blood banking

 

 

5,567,291

 

 

 

5,601,581

 

Total assets

 

$

61,710,774

 

 

$

61,220,770