Heska Corp. (HSKA) 10-Q 10 Aug 20 2020 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2020	Aug. 06, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2020
Document Transition Report	false
Entity File Number	000-22427
Entity Registrant Name	HESKA CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	77-0192527
Entity Address, Address Line One	3760 Rocky Mountain Avenue
Entity Address, City or Town	Loveland
Entity Address, State or Province	CO
Entity Address, Postal Zip Code	80538
City Area Code	970
Local Phone Number	493-7272
Title of 12(b) Security	Common stock, $0.01 par value
Trading Symbol	HSKA
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		9,443,718
Entity Central Index Key	0001038133
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2020

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 79,189	$ 89,030
Accounts receivable, net of allowance for doubtful accounts of $696 and $186, respectively	26,312	15,161
Inventories	40,772	26,601
Net investment in leases, current, net of allowance for doubtful accounts of $93 and $105, respectively	4,565	3,856
Prepaid expenses	3,077	2,219
Other current assets	4,467	3,000
Total current assets	158,382	139,867
Property and equipment, net	33,873	15,469
Operating lease right-of-use assets	5,988	5,726
Goodwill	84,741	36,204
Other intangible assets, net	54,782	11,472
Deferred tax asset, net	8,205	6,429
Net investment in leases, non-current	15,307	14,307
Investments in unconsolidated affiliates	7,265	7,424
Other non-current assets	8,356	7,526
Total assets	376,899	244,424
Current liabilities:
Accounts payable	11,891	6,600
Accrued liabilities	13,211	6,345
Accrued purchase consideration payable	0	14,579
Operating lease liabilities, current	2,108	1,745
Deferred revenue, current, and other	5,644	2,930
Total current liabilities	32,854	32,199
Convertible note, non-current, net	48,396	45,348
Deferred revenue, non-current	5,204	5,966
Other long-term borrowings	507	1,121
Related party loan	1,134	0
Operating lease liabilities, non-current	4,341	4,413
Deferred tax liability	14,071	691
Other liabilities	434	152
Total liabilities	106,941	89,890
Redeemable non-controlling interest and mezzanine equity	(89)	170
Stockholders' equity:
Preferred stock, $.01 par value, 2,500,000 shares authorized, none issued or outstanding	0	0
Common stock, $.01 par value, 13,250,000 and 10,250,000 shares authorized, respectively, none issued or outstanding	0	0
Public common stock, $.01 par value, 13,250,000 and 10,250,000 shares authorized, 9,414,834 and 7,881,928 shares issued and outstanding, respectively	94	79
Additional paid-in capital	415,687	290,216
Accumulated other comprehensive income	2,373	513
Accumulated deficit	(148,107)	(136,444)
Total stockholders' equity	270,047	154,364
Total liabilities, mezzanine equity and stockholders' equity	$ 376,899	$ 244,424

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Allowance for doubtful accounts	$ 232	$ 186
Leases, allowance for doubtful accounts	$ 85	$ 105
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	2,500,000	2,500,000
Preferred stock, shares issued (in shares)	122,000	0
Preferred stock, shares outstanding (in shares)	122,000	0
Traditional Common Stock
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	10,250,000	10,250,000
Common stock, shares issued (in shares)	0	0
Common stock, shares outstanding (in shares)	0	0
Public Common Stock
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	10,250,000	10,250,000
Common stock, shares issued (in shares)	7,843,079	7,881,928
Common stock, shares outstanding (in shares)	7,843,079	7,881,928

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenues [Abstract]
Revenue, net	$ 45,712	$ 28,146	$ 76,366	$ 57,657
Cost of revenue	27,847	15,734	45,053	32,702
Gross profit	17,865	12,412	31,313	24,955
Operating expenses:
Selling and marketing	9,583	6,715	16,963	13,748
Research and development	1,696	2,239	3,824	3,605
General and administrative	11,040	4,024	19,599	8,243
Total operating expenses	22,319	12,978	40,386	25,596
Operating loss	(4,454)	(566)	(9,073)	(641)
Interest and other expense (income), net	2,145	21	4,343	5
Loss before income taxes and equity in losses of unconsolidated affiliates	(6,599)	(587)	(13,416)	(646)
Income tax expense (benefit):
Current income tax expense	31	28	56	72
Deferred income tax benefit	(243)	(454)	(1,776)	(1,508)
Total income tax benefit	(212)	(426)	(1,720)	(1,436)
Net (loss) income before equity in losses of unconsolidated affiliates	(6,387)	(161)	(11,696)	790
Equity in losses of unconsolidated affiliates	(87)	(127)	(217)	(308)
Net (loss) income after equity in losses of unconsolidated affiliates	(6,474)	(288)	(11,913)	482
Net loss attributable to redeemable non-controlling interest	(117)	(47)	(268)	(91)
Net (loss) income attributable to Heska Corporation	$ (6,357)	$ (241)	$ (11,645)	$ 573
Earnings Per Share [Abstract]
Basic (loss) earnings per share attributable to Heska Corporation (in dollars per share)	$ (0.72)	$ (0.03)	$ (1.43)	$ 0.08
Diluted (loss) earnings per share attributable to Heska Corporation (in dollars per share)	$ (0.72)	$ (0.03)	$ (1.43)	$ 0.07
Weighted average outstanding shares used to compute basic (loss) earnings per share attributable to Heska Corporation (in shares)	8,776	7,486	8,165	7,463
Weighted average outstanding shares used to compute diluted (loss) earnings per share attributable to Heska Corporation (in shares)	8,776	7,486	8,165	7,956

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]
Net (loss) income after equity in losses from unconsolidated affiliates	$ (6,474)	$ (288)	$ (11,913)	$ 482
Other comprehensive (loss) income:
Foreign currency translation	2,216	83	1,860	21
Comprehensive (loss) income	(4,258)	(205)	(10,053)	503
Comprehensive loss attributable to redeemable non-controlling interest	(117)	(47)	(268)	(91)
Comprehensive (loss) income attributable to Heska Corporation	$ (4,141)	$ (158)	$ (9,785)	$ 594

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Cumulative Effect, Period of Adoption, Adjusted Balance	Preferred Stock	Preferred StockCumulative Effect, Period of Adoption, Adjusted Balance	Traditional Common Stock	Traditional Common StockCumulative Effect, Period of Adoption, Adjusted Balance	Additional Paid-in Capital	Additional Paid-in CapitalCumulative Effect, Period of Adoption, Adjusted Balance	Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss)Cumulative Effect, Period of Adoption, Adjusted Balance	Accumulated Deficit	Accumulated DeficitCumulative Effect, Period of Adoption, Adjustment	Accumulated DeficitCumulative Effect, Period of Adoption, Adjusted Balance
Beginning balance (in shares) at Dec. 31, 2018				0		7,676,000
Beginning balance at Dec. 31, 2018	$ 122,409			$ 0		$ 77		$ 257,034		$ 277		$ (134,979)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss attributable to Heska Corporation	573											573
Issuance of common stock, net of shares withheld for employee taxes (in shares)						118,000
Issuance of common stock, net of shares withheld for employee taxes	(2,461)					$ 1		(2,462)
Stock-based compensation	2,380							2,380
Other comprehensive income (loss)	21									21
Ending balance (in shares) at Jun. 30, 2019				0		7,794,000
Ending balance at Jun. 30, 2019	122,922			$ 0		$ 78		256,952		298		(134,406)
Beginning balance (in shares) at Mar. 31, 2019				0		7,747,000
Beginning balance at Mar. 31, 2019	121,277			$ 0		$ 77		255,150		215		(134,165)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss attributable to Heska Corporation	(241)											(241)
Issuance of common stock, net of shares withheld for employee taxes (in shares)						47,000
Issuance of common stock, net of shares withheld for employee taxes	608					$ 1		607
Stock-based compensation	1,195							1,195
Other comprehensive income (loss)	83									83
Ending balance (in shares) at Jun. 30, 2019				0		7,794,000
Ending balance at Jun. 30, 2019	122,922			$ 0		$ 78		256,952		298		(134,406)
Beginning balance (in shares) at Dec. 31, 2019				0	0	7,882,000	7,882,000
Beginning balance at Dec. 31, 2019	154,364	$ (18)	$ 154,346	$ 0	$ 0	$ 79	$ 79	290,216	$ 290,216	513	$ 513	(136,444)	$ (18)	$ (136,462)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss attributable to Heska Corporation	(11,645)											(11,645)
Issuance of common stock, net of shares withheld for employee taxes (in shares)						24,000
Issuance of common stock, net of shares withheld for employee taxes	904							904
Issuance of preferred stock, net of issuance costs (in shares)				122,000
Issuance of preferred stock, net of issuance costs	121,785			$ 1				121,784
Conversion of preferred stock to common stock (in shares)				(122,000)		1,509,000
Conversion of preferred stock to common stock	0			$ (1)		$ 15		(14)
Stock-based compensation	2,797							2,797
Other comprehensive income (loss)	1,860									1,860
Ending balance (in shares) at Jun. 30, 2020				0		9,415,000
Ending balance at Jun. 30, 2020	270,047			$ 0		$ 94		415,687		2,373		(148,107)
Beginning balance (in shares) at Mar. 31, 2020				122		7,843,000
Beginning balance at Mar. 31, 2020	270,638			$ 1		$ 78		412,152		157		(141,750)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss attributable to Heska Corporation	(6,357)											(6,357)
Issuance of common stock, net of shares withheld for employee taxes (in shares)						63,000
Issuance of common stock, net of shares withheld for employee taxes	1,106					$ 1		1,105
Conversion of preferred stock to common stock (in shares)				122		1,509,000
Conversion of preferred stock to common stock	0			$ (1)		$ 15		(14)
Stock-based compensation	2,444							2,444
Other comprehensive income (loss)	2,216									2,216
Ending balance (in shares) at Jun. 30, 2020				0		9,415,000
Ending balance at Jun. 30, 2020	$ 270,047			$ 0		$ 94		$ 415,687		$ 2,373		$ (148,107)

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash flows from operating activities:
Net (loss) income after equity in losses from unconsolidated affiliates	$ (11,913)	$ 482
Adjustments to reconcile net income to cash (used in) provided by operating activities:
Depreciation and amortization	4,704	2,522
Non-cash impact of operating leases	840	750
Deferred income tax benefit	(1,776)	(1,508)
Stock-based compensation	2,797	2,380
Equity in losses of unconsolidated affiliates	217	308
Amortization of debt discount and issuance costs	3,049	0
Other losses	65	245
Changes in operating assets and liabilities (net of the effect of acquisitions):
Accounts receivable	(1,268)	3,764
Inventories	(4,094)	(2,978)
Lease receivable, current	(733)	(392)
Other current assets	670	(531)
Accounts payable	(2,732)	(707)
Due to related parties	0	(226)
Accrued liabilities and other	(932)	(7,680)
Lease receivable, non-current	242	(1,090)
Other non-current assets	(235)	28
Deferred revenue and other	(1,996)	(723)
Net cash used in operating activities	(13,095)	(5,356)
Cash flows from investing activities:
Investment in subsidiary, net of cash acquired	0	(622)
Purchases of property and equipment	(316)	(629)
Net cash used in investing activities	(119,926)	(1,251)
Cash flows from financing activities:
Borrowings on line of credit	0	6,750
Payment of preferred stock issuance costs	(214)	0
Preferred stock proceeds	122,000	0
Proceeds from issuance of common stock	1,514	1,018
Repurchase of common stock	(610)	(3,480)
Repayments of other debt	(109)	(1,083)
Borrowings on other debts	410	0
Net cash provided by financing activities	122,991	3,205
Foreign exchange effect on cash and cash equivalents	189	5
Net increase (decrease) in cash and cash equivalents	(9,841)	(3,397)
Cash and cash equivalents, beginning of period	89,030	13,389
Cash and cash equivalents, end of period	79,189	9,992
Supplemental disclosure of cash flow information:
Non-cash transfers of equipment between inventory and property and equipment, net	1,560	878
Non-cash conversion of preferred stock to common stock	122,000	0
CVM
Cash flows from investing activities:
Acquisition of CVM	(14,420)	0
Scil Animal Care Company
Cash flows from investing activities:
Acquisition of CVM	$ (105,190)	$ 0

CAPITAL STOCK - ADDITIONAL INFO

CAPITAL STOCK - ADDITIONAL INFORMATION (Details) $ in Millions	Mar. 30, 2020USD ($)$ / sharesshares	Jun. 30, 2020$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average purchase price of shares purchased (in dollars per share)		$ 66.92
Preferred stock, shares issued (in shares) | shares		122,000
Preferred stock, par value (in dollars per share)		$ 0.01
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected volatility (as a percent)		0.24%
Historical volatility rate (as a percent)		46.00%
Expected lives (in years)		4 years 6 months
Preferred Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Preferred stock, shares issued (in shares) | shares	122,000
Preferred stock, par value (in dollars per share)	$ 0.01
Sale of stock, price per share	$ 1,000
Sale of stock, consideration received per transaction | $	$ 122
Payments of stock issuance costs | $	$ 0.2
Convertible, preferred stock, shares issuable upon conversion	12.4
Preferred stock, convertible, conversion price (in dollars per share)	$ 80.85
Conversion of convertible securities (in shares) | shares		(122,000)

OPERATIONS AND SUMMARY OF SIGNI

OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Heska Corporation and its wholly-owned subsidiaries ("Heska", the "Company", "we" or "our") sell veterinary and animal health diagnostic and specialty products. Our offerings include Point of Care diagnostic laboratory instruments and supplies; digital imaging diagnostic products, software and services; vaccines; local and cloud-based data services; allergy testing and immunotherapy; and single-use offerings such as in-clinic diagnostic tests and heartworm preventive products. Our core focus is on supporting veterinarians in the canine and feline healthcare space. Basis of Presentation and Consolidation The accompanying interim Condensed Consolidated Financial Statements are unaudited. The interim unaudited Condensed Consolidated Financial Statements have been prepared on a basis consistent with the annual consolidated financial statements and, in the opinion of management, reflect all adjustments, which include normal, recurring adjustments, necessary to present fairly the financial position of the Company as of June 30, 2020, and the results of our operations and statements of stockholders' equity for the three and six months ended June 30, 2020 and 2019, and cash flows for the six months ended June 30, 2020 and 2019. The unaudited Condensed Consolidated Financial Statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been condensed or omitted pursuant to such rules and regulations. Our unaudited Condensed Consolidated Financial Statements include our accounts and the accounts of our wholly-owned subsidiaries since their respective dates of acquisitions. All intercompany accounts and transactions have been eliminated in consolidation. Where our ownership of a subsidiary is less than 100%, the non-controlling interest is reported on our Condensed Consolidated Balance Sheets. The non-controlling interest in our consolidated net income is reported as "Net loss attributable to redeemable non-controlling interest" on our Condensed Consolidated Statements of Income. These unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and Notes thereto contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2019 and other financial information filed with the SEC. Reclassification To maintain consistency and comparability, certain amounts in the financial statements have been reclassified to conform to current year presentation. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates are required when establishing the allowance for doubtful accounts and the net realizable value of inventory; determining future costs associated with warranties provided; determining the period over which our obligations are fulfilled under agreements to license product rights and/or technology rights; evaluating long-lived and intangible assets and investments for estimated useful lives and impairment; estimating the useful lives of instruments under leasing arrangements; determining the allocation of purchase price under purchase accounting; estimating the expense associated with the granting of stock; determining the need for, and the amount of a valuation allowance on deferred tax assets; determining the value of the non-controlling interest in a business combination; and determining the fair value of the liability component associated with the issuance of convertible debt. Critical Accounting Policies Our accounting policies are described in our audited Consolidated Financial Statements and Notes thereto contained in our Annual Report on Form 10-K for the year ended December 31, 2019, and other than the recently adopted accounting pronouncements described below have not changed materially since such filing. Adoption of New Accounting Pronouncements In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-13, Financial Instruments - Credit Losses (Topic 326) , which requires that financial assets measured at amortized cost be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset to present the net carrying value at the amount expected to be collected. The income statement reflects the measurement of credit losses for newly recognized financial assets, as well as the increases or decreases of expected credit losses that have taken place during the period. The measurement of expected credit losses is based upon historical experience, current conditions and reasonable and supportable forecasts that affect the collectability of the reported amount. Subsequent to the issuance of ASU 2016-13, the FASB issued ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments - Credit Losses , in November 2018 . This ASU clarifies that receivables from operating leases are accounted for using the lease guidance and not as financial instruments. In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments , which further clarifies and improves guidance related to accounting for credit losses. In May 2019, the FASB issued ASU 2019-05, Financial Instruments - Credit Losses (Topic 326) . This ASU provides relief to certain entities adopting ASU 2016-13. The amendment provides entities with an option to irrevocably elect the fair value option for certain financial assets. The Company adopted ASU 2016-13 with a cumulative-effect adjustment in retained earnings as of January 1, 2020. The impact of the adoption was not material to the Company's consolidated financial statements. We continuously monitor our customers' credit worthiness and establish allowances for estimated credit losses related to our accounts receivable, net investment in leases, and promissory notes. Our allowances are established based on factors surrounding the credit risk of specific customers, historical experience including collections and write-off history, and current economic conditions. Account Balances are considered past due if payments have not been received within agreed upon invoice and/or contract terms and the Company may employ collection agencies and legal counsel to pursue recovery of defaulted amounts. Account balances are written off against the allowance after all collection efforts have been exhausted and it is probable the receivable will not be recovered. The Company also performs a qualitative assessment, on a quarterly basis, to monitor economic factors and other uncertainties that may require additional adjustments for the expected credit loss allowance. The Company will continue to actively monitor the impact of the recent coronavirus ("COVID-19") pandemic on expected credit losses. Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which is intended to simplify various aspects related to the accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740, and also clarifies and amends existing guidance to improve consistent application. This guidance will be effective for interim and annual periods beginning after December 15, 2020, and early adoption is permitted. We are currently evaluating the impact of this update on our consolidated financial statements. In January 2020, the FASB issued ASU 2020-01, Investments-Equity Securities (Topic 321) , Investments-Equity Method and Joint Ventures (Topic 323) , and Derivatives and Hedging (Topic 815)

REVENUE

REVENUE	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
REVENUE	REVENUE We separate our goods and services among two reportable segments, North America and International. The two segments consist of revenue originating from: • North America: including the United States, Canada and Mexico • International: all geographies outside North America, including Australia, France, Germany, Italy, Malaysia, Spain and Switzerland Refer to Note 17 for further detail regarding the change in reportable segments which required recast of prior period presentation. The following table summarizes our segment revenue (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 North America Revenue: POC Lab Instruments & Other $ 1,942 $ 1,404 $ 3,314 $ 3,307 Sales-type leases 1,020 1,492 2,264 3,234 POC Lab Consumables 13,537 13,182 27,223 25,499 POC Imaging 4,148 4,166 7,644 9,231 PVD 4,880 2,721 9,384 5,392 OVP 3,455 3,431 6,802 8,225 Total North America Revenue $ 28,982 $ 26,396 $ 56,631 $ 54,888 International Revenue: POC Lab Instruments & Other $ 1,928 $ 16 $ 2,117 $ 16 Sales-type leases 278 — 323 — POC Lab Consumables 9,470 25 10,032 25 POC Imaging 4,404 1,064 5,762 1,408 PVD 650 645 1,501 1,320 OVP — — — — Total International Revenue $ 16,730 $ 1,750 $ 19,735 $ 2,769 Total Revenue $ 45,712 $ 28,146 $ 76,366 $ 57,657 Remaining Performance Obligations Remaining performance obligations represent the aggregate transaction price allocated to performance obligations with an original contract term greater than one year which are fully or partially unsatisfied at the end of the period. Remaining performance obligations include non-cancelable purchase orders, the non-lease portion of minimum purchase commitments under long-term supply arrangements, extended warranty, service and other long-term contracts. Remaining performance obligations do not include revenue from contracts with customers with an original term of one year or less, revenue from long-term supply arrangements with no minimum purchase requirements, revenue expected from purchases made in excess of the minimum purchase requirements, or revenue from instruments leased to customers. While the remaining performance obligation disclosure is similar in concept to backlog, the definition of remaining performance obligations excludes leases and contracts that provide the customer with the right to cancel or terminate for convenience with no substantial penalty, even if historical experience indicates the likelihood of cancellation or termination is remote. Additionally, the Company has elected to exclude contracts with customers with an original term of one year or less from remaining performance obligations. As of June 30, 2020, the aggregate amount of the transaction price allocated to remaining minimum performance obligations was approximately $128.2 million. As of June 30, 2020, the Company expects to recognize revenue as follows (in thousands): Year Ending December 31, Revenue 2020 (remaining) $ 14,944 2021 27,589 2022 24,426 2023 21,679 2024 17,365 Thereafter 22,242 $ 128,245 Contract Balances The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (contract assets) and deferred revenue, and customer deposits and billings in excess of revenue recognized (contract liabilities) on the Condensed Consolidated Balance Sheets. In addition, the Company defers certain costs incurred to obtain contracts (contract costs). Contract Receivables Certain unbilled receivable balances related to long-term contracts for which we provide a free term to the customer are recorded in "Other current assets" and "Other non-current assets" on the accompanying Condensed Consolidated Balance Sheets. We have no further performance obligations related to these receivable balances and the collection of these balances occurs over the term of the underlying contract. The balances as of June 30, 2020 were $1.2 million and $3.9 million for current and non-current assets, respectively, shown net of related unearned interest. The balances as of December 31, 2019 were $1.1 million and $3.7 million for current and non-current assets, respectively, shown net of related unearned interest.

ACQUISITION AND RELATED PARTY I

ACQUISITION AND RELATED PARTY ITEMS	6 Months Ended
	Jun. 30, 2020
Business Combinations and Related Party Disclosure [Abstract]
ACQUISITION AND RELATED PARTY ITEMS	ACQUISITIONS AND RELATED PARTY ITEMS scil Acquisition On April 1, 2020, the Company completed the acquisition of scil animal care company GmbH (“scil”) from Covetrus, Inc. The Company purchased 100% of the capital stock of scil for an aggregate purchase price of approximately $111 million in cash. The acquisition represents a key milestone in the Company's long-term strategic plan creating a global veterinary diagnostics company with leadership positions in key geographic markets. The purchase price exceeded the fair value of the identifiable net assets, resulting in goodwill of $48.1 million, of which $39.2 million is within our International segment and $8.9 million is within our North America segment. All of the goodwill is tax deductible for U.S. federal income tax purposes which may result in a decrease to Heska's future U.S. federal tax liability. The acquisition was accounted for using the acquisition method of accounting in accordance with ASC 805, Business Combinations . ASC 805 requires, among other things, that assets acquired and liabilities assumed be recognized at their fair values, as determined in accordance with ASC 820, Fair Value Measurements , as of the acquisition date. As such, the total purchase consideration was allocated to the assets acquired and liabilities assumed based on a preliminary estimate of their fair values as of April 1, 2020. The total purchase consideration is subject to customary working capital adjustments. The information below represents the preliminary purchase price allocation of scil (in thousands): April 1, 2020 Total purchase consideration $ 111,564 Cash and cash equivalents 5,837 Accounts receivable 11,087 Inventories 11,373 Prepaid expenses 1,391 Other current assets 281 Property and equipment 19,023 Operating lease right-of-use assets 869 Other intangible assets 44,119 Deferred tax asset 1,013 Investments in unconsolidated affiliates 55 Other non-current assets 1,373 Total assets acquired 96,421 Accounts payable 8,721 Accrued liabilities 6,270 Operating lease liabilities, current 353 Deferred revenue, current, and other 2,669 Deferred revenue, non-current 132 Operating lease liabilities, non-current 524 Deferred tax liability 14,044 Other liabilities 274 Net assets acquired 63,434 Goodwill 48,130 Total fair value of consideration transferred $ 111,564 The Company's preliminary estimates of fair values of the assets acquired and the liabilities assumed are based on the information currently available, and the Company is continuing to evaluate the underlying inputs and assumptions used in its valuations. Accordingly, these preliminary estimates are subject to change during the measurement period, which is up to one year from the date of the acquisition. Among items still being evaluated is an existing uncertain tax position of approximately $1.0 million that scil had prior to acquisition. This tax position is still being evaluated during the allowed measurement period. The uncertain tax position may or may not change based on the results of the evaluation. A decrease in the fair value of assets acquired or an increase in the fair value of liabilities assumed in the acquisition from those valuations would result in a corresponding increase in the amount of goodwill from the acquisition. Intangible assets acquired, amortization method and estimated useful life as of April 1, 2020, was as follows (dollars in thousands): Useful Life Amortization Fair Value Customer relationships 10 years Straight-line $ 35,948 Internally developed software 7 years Straight-line 350 Backlog 0.2 years Straight-line 208 Non-compete agreements 2 years Straight-line 59 Trade name subject to amortization 0.8 years Straight-line 66 Trademarks and trade names not subject to amortization n/a Indefinite 7,488 Total intangible assets acquired $ 44,119 scil generated net revenue of $16.6 million and a net loss of $0.6 million for the period from April 1, 2020 to June 30, 2020. The Company incurred acquisition related costs of approximately $2.5 million and $5.0 million for the three and six months ended June 30, 2020, respectively, which are included within general and administrative expenses on our Consolidated Statements of Income. Unaudited Pro Forma Financial Information The following tables present unaudited supplemental pro forma financial information as if the acquisition had occurred on January 1, 2019 (in thousands, except per share amounts): Six Months Ended June 30, 2020 Revenue, net $ 94,917 Net (loss) income before equity in losses of unconsolidated affiliates $ (12,512) Net (loss) income attributable to Heska Corporation $ (12,461) Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Revenue, net $ 47,276 $ 95,026 Net (loss) income before equity in losses of unconsolidated affiliates $ (400) $ (955) Net (loss) income attributable to Heska Corporation $ (480) $ (1,172) The pro forma financial information presented above has been prepared by combining our historical results and the historical results of scil and further reflects the effect of purchase accounting adjustments, including: (i) amortization of acquired intangible assets, (ii) the impact of certain fair value adjustments such as depreciation on the acquired property, plant and equipment, and (iii) historical intercompany sales between the Company and scil. The unaudited pro forma results are presented for informational purposes only and are not necessarily indicative of what actual results of operations would have been if the acquisition had occurred as the beginning of the period presented, nor are they indicative of future results of operations. CVM On December 5, 2019, Heska entered into a definitive agreement to purchase 100% of the outstanding shares of CVM Diagnostico Veternario S.L. and CVM Ecografia S.L. (collectively, “CVM”), primarily to expand international operations in Europe. CVM is headquartered in Tudela, outside of Madrid, Spain. CVM mainly operates in Spain. The terms of the agreement transferred control of CVM upon signing, and the transfer of the purchase price of approximately $14.4 million and shares occurred in January 2020. The purchase price exceeded the fair value of the identifiable net assets and, accordingly, $8.9 million was allocated to goodwill within the International segment based on the preliminary purchase price allocation, all of which is tax deductible for U.S. federal income tax purposes. The preliminary fair values allocated to CVM's assets and liabilities as of the acquisition date, as well as the purchase price, are reflected in the table below (in thousands): December 5, 2019 Consideration paid to former owners $ 14,420 Cash and cash equivalents 1,226 Accounts receivable 583 Inventories 1,621 Other current assets 1,186 Property and equipment 345 Other intangible assets 2,608 Other non-current assets 460 Total assets acquired 8,029 Accounts payable (94) Accrued liabilities (471) Current portion of deferred revenue, and other (54) Deferred tax liability (683) Other long-term borrowings (1,109) Other liabilities (157) Net assets acquired 5,461 Goodwill 8,959 Total fair value of consideration transferred $ 14,420 The Company's preliminary estimates of fair values of the assets acquired and the liabilities assumed are based on the information that was available at the date of the acquisition, and the Company is continuing to evaluate the underlying inputs and assumptions used in its valuations. Accordingly, these preliminary estimates are subject to change during the measurement period, which is up to one year from the date of the acquisition. During the six months ended June 30, 2020, the Company made certain valuation adjustments to provisional amounts previously recognized. These adjustments resulted in a net $110 thousand increase of goodwill, primarily due to fair value adjustments resulting in a decrease in net identifiable assets acquired. Intangible assets acquired, amortization method and estimated useful life as of December 5, 2019, was as follows (dollars in thousands): Useful Life Amortization Method Fair Value Customer relationships 6 years Straight-line $ 2,440 Trade name 4 years Straight-line 111 Developed technology n/a Indefinite 57 $ 2,608 CVM generated net revenue of $0.8 million and net income of $0.1 million, for the period from December 6, 2019 to December 31, 2019. CVM generated net revenue of $1.7 million and $3.1 million and net income of $0.1 million and $0.1 million for the three and six months ended June 30, 2020, respectively. The Company incurred acquisition related costs of approximately $0.1 million and $0.2 million for the three three and six months ended June 30, 2020, respectively, which are included within general and administrative expenses on our Consolidated Statements of Income. Unaudited Pro Forma Financial Information The following table presents unaudited supplemental pro forma financial information as if the CVM acquisition had occurred on January 1, 2019 (in thousands): Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Revenue, net $ 29,931 $ 61,552 Net (loss) income before equity in losses of unconsolidated affiliates $ (198) $ 626 Net (loss) income attributable to Heska Corporation $ (278) $ 409 The pro forma financial information presented above has been prepared by combining our historical results and the historical results of CVM and further reflects the effect of purchase accounting adjustments. The unaudited pro forma results are presented for informational purposes only and are not necessarily indicative of what actual results of operations would have been if the acquisition had occurred as the beginning of the period presented, nor are they indicative of future results of operations. CVM management conducts related party activities with Practice Clinicas Veterinarias Moviles, S.L. ("CVM Practice"), which is owned by CVM's management. CVM leases two warehouses from CVM Practice and is the debtor of two loans with CVM Practice. CVM Practice charged CVM $15 thousand and $0 during the six months ended June 30, 2020 and 2019, respectively, all of which is related to lease payments. The right-of-use asset and lease liability amounts related to the warehouse leases were approximately $169 thousand and $0 as of June 30, 2020 and December 31, 2019, respectively. All accrued interest is due upon termination of the loans with CVM Practice and as such, the amount due includes principal and interest. The Company had payables to CVM Practice of approximately $1.0 million and $0 as of June 30, 2020 and December 31, 2019, respectively, which is included in "Related party loan" on the Company's Condensed Consolidated Balance Sheet. The change from December 31, 2019 to June 30, 2020 is due to a reorganization regarding CVM management and the control that they exercise subsequent to the scil acquisition. Other Related Party Activities Cuattro, LLC ("Cuattro"), which is owned by Kevin S. Wilson, the CEO and President of the Company, in addition to Mrs. Wilson and trusts for the benefit of Mr. and Mrs. Wilson's children and family, charged Heska Imaging $0 and $6 thousand during the six months ended June 30, 2020 and 2019, respectively. The 2019 charges primarily related to digital imaging products, pursuant to an underlying supply contract that contains minimum purchase obligations, software and services as well as other operating expenses. Pursuant to the December 18, 2018 transaction in which the Company acquired certain assets from Cuattro, Cuattro was obligated, without further compensation, to assist the Company with the implementation of a third-party image hosting platform and necessary data migration. The implementation and migration were completed, on schedule, as of June 30, 2020 and as such there will be no further related party activities with Cuattro.

INVESTMENTS IN UNCONSOLIDATED A

INVESTMENTS IN UNCONSOLIDATED AFFILIATES	6 Months Ended
	Jun. 30, 2020
Equity Method Investments and Joint Ventures [Abstract]
INVESTMENTS IN UNCONSOLIDATED AFFILIATES	INVESTMENTS IN UNCONSOLIDATED AFFILIATES The carrying values of investments in unconsolidated affiliates, categorized by type of investment, is as follows (in thousands): June 30, 2020 December 31, 2019 Equity method investment $ 4,247 $ 4,406 Non-marketable equity security investment 3,018 3,018 $ 7,265 $ 7,424 Equity Method Investment On September 24, 2018, we invested approximately $5.1 million, including costs, in exchange for an approximately 25.0% interest of a business as part of our product development strategy. In connection with the investment, the Company entered into a Manufacturing Supply Agreement that grants the Company global exclusivity to specified products to be delivered under the agreement for a 15-year period that begins upon the Company's receipt and acceptance of an initial order under the agreement. The Company accounts for this investment using the equity method of accounting. Under the equity method, the carrying value of the investment is adjusted for the Company's proportionate share of the investee's reported earnings or losses with the corresponding share of earnings or losses reported as Equity in losses of unconsolidated affiliates, listed below Net income before equity in losses of unconsolidated affiliates within the Condensed Consolidated Statements of Income. Non-Marketable Equity Security Investment On August 8, 2018, the Company invested approximately $3.0 million, including costs, in MBio Diagnostics, Inc. ("MBio"), in exchange for preferred stock, representing an approximately 5.0% interest in MBio. The Company’s investment in MBio is a non-marketable equity security, recorded using the measurement alternative of cost minus impairment, if any, plus or minus changes resulting from qualifying observable price changes. As part of the agreement, the Company entered into a Supply and License Agreement with MBio, which provides that MBio produce and commercialize products that will enhance the Company's diagnostic portfolio. As part of this agreement, the Company made an upfront payment to MBio of $1.0 million related to a worldwide exclusive license agreement over a 20-year period, recorded in both short and long-term other

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES Our total income tax benefit for our loss before income taxes were as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Loss before income taxes and equity in losses of unconsolidated affiliates $ (6,599) $ (587) $ (13,416) $ (646) Total income tax benefit (212) (426) (1,720) (1,436) There were cash payments for income taxes of $340 thousand and $347 thousand for the three and six months ended June 30, 2020, respectively, and there were cash payments of $28 thousand and cash refunds, net of payments, of $0.1 million, respectively, for income taxes for the three and six months ended June 30, 2019. The Company’s tax benefit was $0.2 million and $1.7 million for the three and six months ended June 30, 2020, respectively, compared to the tax benefit of $0.4 million and $1.4 million for the three and six months ended June 30, 2019, respectively. The increase in tax benefits in the six month period is due to the higher financial loss offset by transaction costs and a small increase in the partial valuation allowance further discussed below. The Company recognized $0.2 million in excess tax benefits related to employee share-based compensation for the three months ended June 30, 2020, compared to $0.3 million recognized for the three months ended June 30, 2019. The Company recognized $0.5 million in excess tax benefits related to employee share-based compensation for the six months ended June 30, 2020, compared to $1.4 million recognized for the six months ended June 30, 2019.

LEASES

LEASES	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
LEASES, LESSEE	LEASES Lessee Accounting The Company leases buildings, office equipment, and vehicle s. The following table summarizes the Company's operating and finance lease balances (in thousands): Leases Balance Sheet Location June 30, 2020 December 31, 2019 Assets Operating Operating lease right-of-use assets $ 5,988 $ 5,726 Finance Property and equipment, net 1,815 81 Total Leased Assets $ 7,803 $ 5,807 Liabilities Operating Operating lease liabilities, current $ 2,108 $ 1,745 Operating lease liabilities, non-current 4,341 4,413 Finance Deferred revenue, current, and other 307 47 Other liabilities 318 37 Total Lease Liabilities $ 7,074 $ 6,242 For the three and six months ended June 30, 2020, operating lease expense was approximately $0.7 million and $1.3 million, respectively, including immaterial variable lease costs. For the three and six months ended June 30, 2019, operating lease expense was approximately $0.6 million and $1.1 million, respectively, including immaterial variable lease costs. For the three and six months ended June 30, 2020, finance lease amortization expense was $165 thousand and $176 thousand, respectively. For the three and six months ended June 30, 2019, finance lease amortization expense was $5 thousand and $14 thousand, respectively. For the three and six months ended June 30, 2020, finance lease interest expense was $3 thousand and $4 thousand, respectively. For the three and six months ended June 30, 2019, finance lease interest expense was $0 and $1 thousand, respectively. Supplemental cash flow information related to the Company's operating and finance leases for the six months ended June 30, 2020 and 2019, respectively, was as follows (in thousands): Six Months Ended June 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows - operating leases $ 1,011 $ 889 Operating cash outflows - finance leases $ 4 $ 1 Financing cash outflows - finance leases $ 83 $ 10 ROU assets obtained in exchange for new lease obligations: Operating leases $ 316 $ 341 Finance leases $ 110 $ — The following table presents the weighted average remaining lease term and weighted average discount rate related to the Company's leases: June 30, 2020 December 31, 2019 Weighted average remaining lease term: Operating 3.4 years 3.8 years Finance 2.8 years 2.0 years Weighted average discount rate: Operating 4.3 % 4.4 % Finance 2.7 % 4.0 % The following table presents the maturity of the Company's lease liabilities as of June 30, 2020 (in thousands): Year Ending December 31, Operating Leases Finance Leases Remainder of 2020 $ 1,303 $ 162 2021 1,909 252 2022 1,591 115 2023 1,881 44 2024 99 34 Thereafter 179 37 Total lease payments 6,962 644 Less: imputed interest 513 19 Total lease liabilities $ 6,449 $ 625 Lessor Accounting The Company enters into sales-type leases as part of our subscription agreements. The following table presents the maturity of the Company's lease receivables as of June 30, 2020 (in thousands): Year Ending December 31, Remainder of 2020 $ 2,288 2021 4,695 2022 4,392 2023 3,678 2024 2,723 Thereafter 2,203 Total undiscounted future maturities 19,979 Less: interest 107 Total lease receivables $ 19,872
LEASES, LESSOR	LEASES Lessee Accounting The Company leases buildings, office equipment, and vehicle s. The following table summarizes the Company's operating and finance lease balances (in thousands): Leases Balance Sheet Location June 30, 2020 December 31, 2019 Assets Operating Operating lease right-of-use assets $ 5,988 $ 5,726 Finance Property and equipment, net 1,815 81 Total Leased Assets $ 7,803 $ 5,807 Liabilities Operating Operating lease liabilities, current $ 2,108 $ 1,745 Operating lease liabilities, non-current 4,341 4,413 Finance Deferred revenue, current, and other 307 47 Other liabilities 318 37 Total Lease Liabilities $ 7,074 $ 6,242 For the three and six months ended June 30, 2020, operating lease expense was approximately $0.7 million and $1.3 million, respectively, including immaterial variable lease costs. For the three and six months ended June 30, 2019, operating lease expense was approximately $0.6 million and $1.1 million, respectively, including immaterial variable lease costs. For the three and six months ended June 30, 2020, finance lease amortization expense was $165 thousand and $176 thousand, respectively. For the three and six months ended June 30, 2019, finance lease amortization expense was $5 thousand and $14 thousand, respectively. For the three and six months ended June 30, 2020, finance lease interest expense was $3 thousand and $4 thousand, respectively. For the three and six months ended June 30, 2019, finance lease interest expense was $0 and $1 thousand, respectively. Supplemental cash flow information related to the Company's operating and finance leases for the six months ended June 30, 2020 and 2019, respectively, was as follows (in thousands): Six Months Ended June 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows - operating leases $ 1,011 $ 889 Operating cash outflows - finance leases $ 4 $ 1 Financing cash outflows - finance leases $ 83 $ 10 ROU assets obtained in exchange for new lease obligations: Operating leases $ 316 $ 341 Finance leases $ 110 $ — The following table presents the weighted average remaining lease term and weighted average discount rate related to the Company's leases: June 30, 2020 December 31, 2019 Weighted average remaining lease term: Operating 3.4 years 3.8 years Finance 2.8 years 2.0 years Weighted average discount rate: Operating 4.3 % 4.4 % Finance 2.7 % 4.0 % The following table presents the maturity of the Company's lease liabilities as of June 30, 2020 (in thousands): Year Ending December 31, Operating Leases Finance Leases Remainder of 2020 $ 1,303 $ 162 2021 1,909 252 2022 1,591 115 2023 1,881 44 2024 99 34 Thereafter 179 37 Total lease payments 6,962 644 Less: imputed interest 513 19 Total lease liabilities $ 6,449 $ 625 Lessor Accounting The Company enters into sales-type leases as part of our subscription agreements. The following table presents the maturity of the Company's lease receivables as of June 30, 2020 (in thousands): Year Ending December 31, Remainder of 2020 $ 2,288 2021 4,695 2022 4,392 2023 3,678 2024 2,723 Thereafter 2,203 Total undiscounted future maturities 19,979 Less: interest 107 Total lease receivables $ 19,872

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE The following is a reconciliation of the weighted-average shares outstanding used in the calculation of basic and diluted earnings per share ("EPS") for the three and six months ended June 30, 2020 and 2019 (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net (loss) income attributable to Heska Corporation $ (6,357) $ (241) $ (11,645) $ 573 Basic weighted-average common shares outstanding 8,776 7,486 8,165 7,463 Assumed exercise of dilutive stock options and restricted shares — — — 493 Diluted weighted-average common shares outstanding $ 8,776 $ 7,486 $ 8,165 $ 7,956 Basic (loss) earnings per share attributable to Heska Corporation $ (0.72) $ (0.03) $ (1.43) $ 0.08 Diluted (loss) earnings per share attributable to Heska Corporation $ (0.72) $ (0.03) $ (1.43) $ 0.07 The following potentially outstanding common shares from convertible preferred stock, convertible senior notes, stock options and restricted stock awards were excluded from the computation of diluted EPS because the effect would have been anti-dilutive (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Convertible preferred stock 332 — 920 — Convertible senior notes — — 21 — Stock options and restricted stock 355 714 299 225 687 714 1,240 225 As more fully described in Note 16, our Notes are convertible under certain circumstances, as defined in the indenture, into a combination of cash and shares of our common stock. The Company intends to settle the principal value of the Notes in cash and issue shares of our common stock to settle the intrinsic value of the conversion feature. The Company will use the treasury stock method when calculating the potential dilutive effect of the conversion feature on earnings per share, if any. Potential dilution upon conversion of the Notes occurs when the average market price per share of our common stock is greater than the conversion price of the Notes of $86.63. For the periods presented, all potentially dilutive shares relating to the Notes were not included in the computation of diluted EPS as the effect would have been anti-dilutive. As discussed in Note 12, the Company issued and sold an aggregate of 122,000 shares of its Preferred Stock to certain investors in a private placement offering. The shares were converted into 1,508,964 shares of Public Common Stock, effective on April 21, 2020. The potential dilutive effect of the convertible preferred stock was calculated using the if-converted method for the period the preferred shares were outstanding. For the three and six months ended June 30, 2020, these shares were excluded from the computation of diluted EPS because the effect would have been anti-dilutive.

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND OTHER INTANGIBLES	GOODWILL AND OTHER INTANGIBLES The following summarizes the change in goodwill during the six months ended June 30, 2020 (in thousands): Carrying amount, December 31, 2019 $ 36,204 Goodwill attributable to acquisitions 48,241 Foreign currency adjustments 296 Carrying amount, June 30, 2020 $ 84,741 Other intangibles consisted of the following (in thousands): June 30, 2020 December 31, 2019 Gross Carrying Amount Accum. Amortiz. Net Carrying Amount Gross Carrying Amount Accum. Amortiz. Net Carrying Amount Intangible assets subject to amortization: Customer relationships and other $ 43,401 $ (3,819) $ 39,582 $ 6,205 $ (2,226) $ 3,979 Developed technology $ 8,629 $ (1,248) $ 7,381 $ 8,200 $ (819) $ 7,381 Trade names 181 (31) $ 150 112 — $ 112 Intangible assets not subject to amortization: Trade names $ 7,669 $ — 7,669 $ — $ — $ — Total intangible assets $ 59,880 $ (5,098) $ 54,782 $ 14,517 $ (3,045) $ 11,472 Amortization expense relating to other intangibles was as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Amortization expense $ 1,624 $ 305 $ 2,053 $ 607 The remaining weighted-average amortization period for intangible assets is approximately 9.1 years. Estimated amortization expense related to intangibles for each of the five years from 2020 (remaining) through 2024 and thereafter is as follows (in thousands): Year Ending December 31, 2020 (remaining) $ 2,813 2021 5,517 2022 5,482 2023 5,122 2024 5,000 Thereafter 23,179 Total amortization related to finite-lived intangible assets $ 47,113 Indefinite-lived intangible assets $ 7,669 Net intangible assets $ 54,782

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	6 Months Ended
	Jun. 30, 2020
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	PROPERTY AND EQUIPMENT, NET Property and equipment, net, consisted of the following (in thousands): June 30, 2020 December 31, 2019 Land $ 2,385 $ 694 Building 11,887 3,845 Machinery and equipment 37,293 28,777 Office furniture and equipment 1,995 1,345 Computer hardware and software 4,480 3,408 Leasehold and building improvements 10,660 10,558 Construction in progress 86 671 Property and equipment, gross 68,786 49,298 Less accumulated depreciation (34,913) (33,829) Total property and equipment, net $ 33,873 $ 15,469 The Company has subscription agreements whereby its instruments in inventory may be placed at a customer's location on a rental basis. The cost of these instruments is transferred to machinery and equipment and depreciated, typically over a 5 to 7 year period depending on the circumstance under which the instrument is placed with the customer. Our cost of instruments under operating leases as of June 30, 2020 and December 31, 2019, was $7.9 million and $8.1 million, respectively, before accumulated depreciation of $4.4 million and $4.6 million, respectively.

INVENTORIES, NET

INVENTORIES, NET	6 Months Ended
	Jun. 30, 2020
Inventory Disclosure [Abstract]
INVENTORIES, NET	INVENTORIES Inventories consisted of the following (in thousands): June 30, 2020 December 31, 2019 Raw materials $ 14,281 $ 14,597 Work in process 4,275 2,730 Finished goods 22,216 9,274 Total inventories $ 40,772 $ 26,601

ACCRUED LIABILITIES

ACCRUED LIABILITIES	6 Months Ended
	Jun. 30, 2020
Payables and Accruals [Abstract]
ACCRUED LIABILITIES	ACCRUED LIABILITIES Accrued liabilities consisted of the following (in thousands): June 30, 2020 December 31, 2019 Accrued payroll and employee benefits $ 5,032 $ 1,175 Accrued property taxes 386 681 Accrued purchase orders 1,038 739 Accrued taxes 1,979 586 Other 4,776 3,164 Total accrued liabilities $ 13,211 $ 6,345 Other accrued liabilities consist of items that are individually less than 5% of total current liabilities.

CAPITAL STOCK

CAPITAL STOCK	6 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
CAPITAL STOCK	CAPITAL STOCK During the six months ended June 30, 2020, the Company granted the following stock options and restricted stock awards: Six Months Ended June 30, 2020 Options/Awards Weighted-Average Grant Date Fair Value Stock options 305,250 $ 23.38 Restricted stock awards 30,500 $ 66.92 The Company used the Black-Scholes option pricing model to determine the grant date fair value of stock options with service and/or company performance conditions. The model used the following weighted average assumptions: risk-free interest rate of 0.24%, expected volatility of 46.0% based on historical stock volatility, expected term of 4.5 years based on historical exercises, and no expected dividend yield. For stock options with market conditions, we utilized a Monte Carlo simulation model to estimate grant date fair value. Compensation cost is recognized ratably over the vesting periods of the options. We valued the restricted stock awards related to service and/or company performance targets based on grant date fair value and will expense over the period when achievement of those conditions is deemed probable. Series X Convertible Preferred Stock On March 30, 2020, the Company completed a private placement offering in which the Company issued and sold an aggregate of 122,000 shares of its Series X Convertible Preferred Stock, par value $0.01 per share (the "Preferred Stock"). The shares of Preferred Stock issued and sold were priced at $1,000 per share (the “Stated Value”), resulting in gross proceeds of $122.0 million, less issuance costs of $0.2 million. The Company used approximately $111 million of the proceeds from the offering to fund the April 1, 2020 acquisition of scil and plans to use the remaining proceeds for working capital and general corporate purposes. The offering was made pursuant to the Securities Purchase Agreement (the “Securities Purchase Agreement”), dated as of January 12, 2020, by and among the Company and certain investors, and subsequent amendment (the “Securities Purchase Agreement Amendment”) to the Securities Purchase agreement, entered

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME	6 Months Ended
	Jun. 30, 2020
Equity [Abstract]
ACCUMULATED OTHER COMPREHENSIVE INCOME	ACCUMULATED OTHER COMPREHENSIVE INCOME Accumulated other comprehensive income (loss) consisted of the following (in thousands): Minimum Pension Liability Foreign Currency Translation Total Accumulated Other Comprehensive Income Balances at December 31, 2019 $ (346) $ 859 $ 513 Current period other comprehensive income — 1,860 1,860 Balances at June 30, 2020 $ (346) $ 2,719 $ 2,373

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Warranties The Company's current terms and conditions of sale include a limited warranty that its products and services will conform to published specifications at the time of shipment and a more extensive warranty related to certain products. The Company also sells a renewal warranty for certain of its products. The typical remedy for breach of warranty is to correct or replace any defective product, and if not possible or practical, the Company will accept the return of the defective product and refund the amount paid. Historically, the Company has incurred minimal warranty costs. The Company's warranty reserve was $0.5 million and $0.3 million as of June 30, 2020 and December 31, 2019, respectively. Litigation From time to time, the Company may be involved in litigation relating to claims arising out of its operations. The Company records accruals for outstanding legal matters when it believes it is probable that a loss will be incurred, and the amount can be reasonably estimated. On February 18, 2020, a former managing director of scil filed a claim disputing the effective date of the termination of his management service agreement and the validity of the Company´s waiver of his two-year post-contractual non-compete obligation. The Company intends to defend itself against the claim. Whether or not this will be successful, depends on complex facts and circumstances. The Company is, based on the advice of its legal counsel, confident that it will be successful in evidencing the effective date of the termination of the management service agreement and as such, no accrual has been recorded for this ongoing litigation. Additionally, we are indemnified by the scil acquisition agreement for this claim. On October 10, 2018, we reached an agreement in principle to settle the complaint that was filed against the Company by Shaun Fauley on March 12, 2015 in the U.S. District Court Northern District of Illinois (the "Court") alleging our transmittal of unauthorized faxes in violation of the federal Telephone Consumer Protection Act of 1991, as amended by the Junk Fax Prevention Act of 2005, as a class action (the "Fauley Complaint"). The settlement, which received the Court's approval on February 28, 2019 and was not subsequently appealed by a class member, required us to make available a total of $6.8 million to pay class members, as well as to pay attorneys' fees and expenses to legal counsel to the class. The Company recorded the loss provision in the third quarter of 2018 in connection with the settlement agreement and does not have insurance coverage for the Fauley Complaint. The payment in respect of the settlement was made in full on April 3, 2019, and all activity related to the Fauley Complaint has ceased. As of June 30, 2020, the Company was not a party to any other legal proceedings that were expected, individually or in the aggregate, to have a material adverse effect on its business, financial condition, or operating results. Off-Balance Sheet Commitments We have no off-balance sheet arrangements or variable interest entities. Purchase Obligations

INTEREST AND OTHER EXPENSE, NET

INTEREST AND OTHER EXPENSE, NET	6 Months Ended
	Jun. 30, 2020
Other Income and Expenses [Abstract]
INTEREST AND OTHER EXPENSE, NET	INTEREST AND OTHER EXPENSE (INCOME), NET Interest and other expense (income), net, consisted of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest income $ (120) $ (133) $ (353) $ (225) Interest expense 2,333 147 4,679 224 Other expense (income), net (68) 7 17 6 Total interest and other expense (income), net $ 2,145 $ 21 $ 4,343 $ 5

CONVERTIBLE NOTES AND CREDIT FA

CONVERTIBLE NOTES AND CREDIT FACILITY	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
CONVERTIBLE NOTES AND CREDIT FACILITY	CONVERTIBLE NOTES AND CREDIT FACILITY Convertible Notes On September 17, 2019, the Company issued $86.25 million aggregate principal amount of 3.750% Convertible Senior Notes due 2026 (the "Notes"), which included the exercise in full of an $11.25 million purchase option, to certain financial institutions as the initial purchasers of the Notes (the "Initial Purchasers"). The Company pays interest on the Notes semiannually in arrears at a rate of 3.750% per annum on March 15 and September 15 of each year. The Notes are senior unsecured obligations of the Company. The Notes were issued pursuant to an Indenture, dated September 17, 2019 (the “Indenture”), between the Company and U.S. Bank National Association, as trustee. The net proceeds from the sale of the Notes were approximately $83.7 million after deducting the initial purchasers' discounts and the offering expenses payable by the Company. The Company used approximately $12.8 million of the net proceeds from the Notes to repay all outstanding indebtedness on its existing Credit Facility, and an additional $2.0 million to fully fund a cash collateralized letter of credit facility as required under the amendment to the Credit Agreement entered into in September 2019. The Company subsequently terminated the Credit Facility with JPMorgan Chase Bank, N.A. on December 31, 2019. The Company expects to use the remainder of the net proceeds from the sale of the Notes to fund its intended expansion efforts, including through acquisitions of complementary businesses or technologies or other strategic transactions, and for working capital and other general corporate purposes. Refer to Note 16, Convertible Notes and Credit Facility, in the Notes to Consolidated Financial Statements included in Part II, Item 8 of the Company's 2019 Form 10-K for further information on the Notes. During the three and six months ended June 30, 2020, the conditions allowing holders of the Notes to convert have not been met. The Notes were therefore not convertible during the three and six months ended June 30, 2020 and the liability component was classified as long-term debt on the Company's Condensed Consolidated Balance Sheet as of June 30, 2020. The following table summarizes the net carrying amount of the liability component of the Notes (in thousands): June 30, 2020 December 31, 2019 Carrying amount of equity component $ 39,508 $ 39,508 Principal amount of the Notes 86,250 86,250 Unamortized debt discount (37,854) (40,902) Net carrying amount $ 48,396 $ 45,348 Interest expense related to the Notes for the three and six months ended June 30, 2020 was $2.3 million and $4.7 million, respectively, which is comprised of the amortization of debt discount and debt issuance costs and the contractual coupon interest as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest expense related to contractual coupon interest $ 809 $ — $ 1,617 $ — Interest expense related to amortization of the debt discount 1,524 — 3,049 — $ 2,333 $ — $ 4,666 $ — As of June 30, 2020, the remaining period over which the unamortized discount will be amortized is 74.5 months. The estimated fair value of the Notes was $110.0 million and $116.0 million as of June 30, 2020 and December 31, 2019, respectively, determined through consideration of quoted market prices in less active markets. The fair value measurement is classified as Level 2 in the fair value hierarchy, which is defined in ASC 820 as inputs other than quoted prices in active markets that are either directly or indirectly observable. Based on our closing stock price of $93.17 on June 30, 2020, the if-converted value exceeded the aggregate principal amount of the Notes by $6.5 million.

SEGMENT REPORTING

SEGMENT REPORTING	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
SEGMENT REPORTING	SEGMENT REPORTING On April 1, 2020, Heska completed the acquisition of scil. Following this acquisition, we restructured our operating segments based on how the Chief Operating Decision Maker (“CODM”) manages the business, allocates resources, makes operating decisions and evaluates operating performance. The CODM changed how he assesses performance and allocates resources based on geographic regions in order to better align with the global operations of the Company. Based on this change, the Company determined it has two reportable segments and revised prior comparative periods to conform to the current period segment presentation. The Company’s two segments are North America and International. The North America segment is comprised of our operations in the United States, Canada and Mexico and the International segment is comprised geographies outside of North America, which are our operations primarily in Australia, France, Germany, Italy, Malaysia, Spain and Switzerland. Certain expenses incurred at the Company’s headquarters located in the North America segment are allocated to each segment in a manner consistent with where the benefits from the expenses are derived. Sales and transfers between operating segments are accounted for at market-based transaction prices and are eliminated in consolidation. The Company's sales are determined by the country of origin where the sale occurred. For a description of Heska's previous operating segments, refer to Note 17 to the consolidated financial statements of Heska's 2019 Annual Report on Form 10-K. Our CODM continues to evaluate segment performance and allocate resources based on Revenue, Cost of Revenue, Gross Profit, Gross Margin and Operating Income. The CODM does not evaluate operating segments using asset information; however, we have included total asset information by segment below as there was a material change in total assets by segment as of June 30, 2020 due to the acquisition of scil. Summarized financial information concerning the Company's reportable segments is shown in the following tables (in thousands): Three Months Ended June 30, 2020 North America International Total Total revenue $ 28,982 $ 16,730 $ 45,712 Cost of revenue 16,222 11,625 $ 27,847 Gross profit 12,760 5,105 $ 17,865 Gross margin 44.0 % 30.5 % 39.1 % Operating loss (3,067) (1,387) $ (4,454) Three Months Ended June 30, 2019 North America International Total Total revenue $ 26,396 $ 1,750 $ 28,146 Cost of revenue 14,446 1,288 $ 15,734 Gross profit 11,950 462 $ 12,412 Gross margin 45.3 % 26.4 % 44.1 % Operating loss (265) (301) $ (566) Six Months Ended June 30, 2020 North America International Total Total revenue $ 56,631 $ 19,735 $ 76,366 Cost of revenue 31,368 13,685 $ 45,053 Gross profit 25,263 6,050 $ 31,313 Gross margin 44.6 % 30.7 % 41.0 % Operating loss (7,161) (1,912) $ (9,073) Six Months Ended June 30, 2019 North America International Total Total revenue $ 54,888 $ 2,769 $ 57,657 Cost of revenue 30,634 2,068 $ 32,702 Gross profit 24,254 701 $ 24,955 Gross margin 44.2 % 25.3 % 43.3 % Operating loss (158) (483) $ (641) Asset information by reportable segment as of June 30, 2020 is as follows (in thousands): As of June 30, 2020 North America International Total Total assets $ 119,475 $ 257,424 $ 376,899 Asset information by reportable segment as of December 31, 2019 is as follows (in thousands): As of December 31, 2019 North America International Total Total assets $ 219,402 $ 25,022 $ 244,424

OPERATIONS AND SUMMARY OF SIG_2

OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation and Consolidation	The accompanying interim Condensed Consolidated Financial Statements are unaudited. The interim unaudited Condensed Consolidated Financial Statements have been prepared on a basis consistent with the annual consolidated financial statements and, in the opinion of management, reflect all adjustments, which include normal, recurring adjustments, necessary to present fairly the financial position of the Company as of June 30, 2020, and the results of our operations and statements of stockholders' equity for the three and six months ended June 30, 2020 and 2019, and cash flows for the six months ended June 30, 2020 and 2019. The unaudited Condensed Consolidated Financial Statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been condensed or omitted pursuant to such rules and regulations. Our unaudited Condensed Consolidated Financial Statements include our accounts and the accounts of our wholly-owned subsidiaries since their respective dates of acquisitions. All intercompany accounts and transactions have been eliminated in consolidation. Where our ownership of a subsidiary is less than 100%, the non-controlling interest is reported on our Condensed Consolidated Balance Sheets. The non-controlling interest in our consolidated net income is reported as "Net loss attributable to redeemable non-controlling interest" on our Condensed Consolidated Statements of Income. These unaudited Condensed Consolidated Financial Statements should be read in conjunction with the audited Consolidated Financial Statements and Notes thereto contained in our Annual Report on Form 10-K for the fiscal year ended December 31, 2019 and other financial information filed with the SEC.
Reclassification	To maintain consistency and comparability, certain amounts in the financial statements have been reclassified to conform to current year presentation.
Use of Estimates	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates are required when establishing the allowance for doubtful accounts and the net realizable value of inventory; determining future costs associated with warranties provided; determining the period over which our obligations are fulfilled under agreements to license product rights and/or technology rights; evaluating long-lived and intangible assets and investments for estimated useful lives and impairment; estimating the useful lives of instruments under leasing arrangements; determining the allocation of purchase price under purchase accounting; estimating the expense associated with the granting of stock; determining the need for, and the amount of a valuation allowance on deferred tax assets; determining the value of the non-controlling interest in a business combination; and determining the fair value of the liability component associated with the issuance of convertible debt.
Recent Accounting Pronouncements	Adoption of New Accounting Pronouncements In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-13, Financial Instruments - Credit Losses (Topic 326) , which requires that financial assets measured at amortized cost be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset to present the net carrying value at the amount expected to be collected. The income statement reflects the measurement of credit losses for newly recognized financial assets, as well as the increases or decreases of expected credit losses that have taken place during the period. The measurement of expected credit losses is based upon historical experience, current conditions and reasonable and supportable forecasts that affect the collectability of the reported amount. Subsequent to the issuance of ASU 2016-13, the FASB issued ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments - Credit Losses , in November 2018 . This ASU clarifies that receivables from operating leases are accounted for using the lease guidance and not as financial instruments. In April 2019, the FASB issued ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments , which further clarifies and improves guidance related to accounting for credit losses. In May 2019, the FASB issued ASU 2019-05, Financial Instruments - Credit Losses (Topic 326) . This ASU provides relief to certain entities adopting ASU 2016-13. The amendment provides entities with an option to irrevocably elect the fair value option for certain financial assets. The Company adopted ASU 2016-13 with a cumulative-effect adjustment in retained earnings as of January 1, 2020. The impact of the adoption was not material to the Company's consolidated financial statements. We continuously monitor our customers' credit worthiness and establish allowances for estimated credit losses related to our accounts receivable, net investment in leases, and promissory notes. Our allowances are established based on factors surrounding the credit risk of specific customers, historical experience including collections and write-off history, and current economic conditions. Account Balances are considered past due if payments have not been received within agreed upon invoice and/or contract terms and the Company may employ collection agencies and legal counsel to pursue recovery of defaulted amounts. Account balances are written off against the allowance after all collection efforts have been exhausted and it is probable the receivable will not be recovered. The Company also performs a qualitative assessment, on a quarterly basis, to monitor economic factors and other uncertainties that may require additional adjustments for the expected credit loss allowance. The Company will continue to actively monitor the impact of the recent coronavirus ("COVID-19") pandemic on expected credit losses. Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which is intended to simplify various aspects related to the accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740, and also clarifies and amends existing guidance to improve consistent application. This guidance will be effective for interim and annual periods beginning after December 15, 2020, and early adoption is permitted. We are currently evaluating the impact of this update on our consolidated financial statements. In January 2020, the FASB issued ASU 2020-01, Investments-Equity Securities (Topic 321) , Investments-Equity Method and Joint Ventures (Topic 323) , and Derivatives and Hedging (Topic 815)

REVENUE (Tables)

REVENUE (Tables)	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	he following table summarizes our segment revenue (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 North America Revenue: POC Lab Instruments & Other $ 1,942 $ 1,404 $ 3,314 $ 3,307 Sales-type leases 1,020 1,492 2,264 3,234 POC Lab Consumables 13,537 13,182 27,223 25,499 POC Imaging 4,148 4,166 7,644 9,231 PVD 4,880 2,721 9,384 5,392 OVP 3,455 3,431 6,802 8,225 Total North America Revenue $ 28,982 $ 26,396 $ 56,631 $ 54,888 International Revenue: POC Lab Instruments & Other $ 1,928 $ 16 $ 2,117 $ 16 Sales-type leases 278 — 323 — POC Lab Consumables 9,470 25 10,032 25 POC Imaging 4,404 1,064 5,762 1,408 PVD 650 645 1,501 1,320 OVP — — — — Total International Revenue $ 16,730 $ 1,750 $ 19,735 $ 2,769 Total Revenue $ 45,712 $ 28,146 $ 76,366 $ 57,657
Schedule of Timing of Revenue Expected to be Recognized	As of June 30, 2020, the Company expects to recognize revenue as follows (in thousands): Year Ending December 31, Revenue 2020 (remaining) $ 14,944 2021 27,589 2022 24,426 2023 21,679 2024 17,365 Thereafter 22,242 $ 128,245

ACQUISITION AND RELATED PARTY_2

ACQUISITION AND RELATED PARTY ITEMS ACQUISITION AND RELATED PARTY ITEMS (Tables)	6 Months Ended
	Jun. 30, 2020
Business Combinations and Related Party Disclosure [Abstract]
Schedule of Business Acquisitions, by Acquisition	The information below represents the preliminary purchase price allocation of scil (in thousands): April 1, 2020 Total purchase consideration $ 111,564 Cash and cash equivalents 5,837 Accounts receivable 11,087 Inventories 11,373 Prepaid expenses 1,391 Other current assets 281 Property and equipment 19,023 Operating lease right-of-use assets 869 Other intangible assets 44,119 Deferred tax asset 1,013 Investments in unconsolidated affiliates 55 Other non-current assets 1,373 Total assets acquired 96,421 Accounts payable 8,721 Accrued liabilities 6,270 Operating lease liabilities, current 353 Deferred revenue, current, and other 2,669 Deferred revenue, non-current 132 Operating lease liabilities, non-current 524 Deferred tax liability 14,044 Other liabilities 274 Net assets acquired 63,434 Goodwill 48,130 Total fair value of consideration transferred $ 111,564 The preliminary fair values allocated to CVM's assets and liabilities as of the acquisition date, as well as the purchase price, are reflected in the table below (in thousands): December 5, 2019 Consideration paid to former owners $ 14,420 Cash and cash equivalents 1,226 Accounts receivable 583 Inventories 1,621 Other current assets 1,186 Property and equipment 345 Other intangible assets 2,608 Other non-current assets 460 Total assets acquired 8,029 Accounts payable (94) Accrued liabilities (471) Current portion of deferred revenue, and other (54) Deferred tax liability (683) Other long-term borrowings (1,109) Other liabilities (157) Net assets acquired 5,461 Goodwill 8,959 Total fair value of consideration transferred $ 14,420
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination	Intangible assets acquired, amortization method and estimated useful life as of April 1, 2020, was as follows (dollars in thousands): Useful Life Amortization Fair Value Customer relationships 10 years Straight-line $ 35,948 Internally developed software 7 years Straight-line 350 Backlog 0.2 years Straight-line 208 Non-compete agreements 2 years Straight-line 59 Trade name subject to amortization 0.8 years Straight-line 66 Trademarks and trade names not subject to amortization n/a Indefinite 7,488 Total intangible assets acquired $ 44,119 Intangible assets acquired, amortization method and estimated useful life as of December 5, 2019, was as follows (dollars in thousands): Useful Life Amortization Method Fair Value Customer relationships 6 years Straight-line $ 2,440 Trade name 4 years Straight-line 111 Developed technology n/a Indefinite 57 $ 2,608
Business Acquisition, Pro Forma Information	The following tables present unaudited supplemental pro forma financial information as if the acquisition had occurred on January 1, 2019 (in thousands, except per share amounts): Six Months Ended June 30, 2020 Revenue, net $ 94,917 Net (loss) income before equity in losses of unconsolidated affiliates $ (12,512) Net (loss) income attributable to Heska Corporation $ (12,461) Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Revenue, net $ 47,276 $ 95,026 Net (loss) income before equity in losses of unconsolidated affiliates $ (400) $ (955) Net (loss) income attributable to Heska Corporation $ (480) $ (1,172) The following table presents unaudited supplemental pro forma financial information as if the CVM acquisition had occurred on January 1, 2019 (in thousands): Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Revenue, net $ 29,931 $ 61,552 Net (loss) income before equity in losses of unconsolidated affiliates $ (198) $ 626 Net (loss) income attributable to Heska Corporation $ (278) $ 409

INVESTMENTS IN UNCONSOLIDATED_2

INVESTMENTS IN UNCONSOLIDATED AFFILIATES (Tables)	6 Months Ended
	Jun. 30, 2020
Equity Method Investments and Joint Ventures [Abstract]
Carrying values of investments in unconsolidated entities	The carrying values of investments in unconsolidated affiliates, categorized by type of investment, is as follows (in thousands): June 30, 2020 December 31, 2019 Equity method investment $ 4,247 $ 4,406 Non-marketable equity security investment 3,018 3,018 $ 7,265 $ 7,424

INCOME TAXES (Tables)

INCOME TAXES (Tables)	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Schedule of components of income tax expense	Our total income tax benefit for our loss before income taxes were as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Loss before income taxes and equity in losses of unconsolidated affiliates $ (6,599) $ (587) $ (13,416) $ (646) Total income tax benefit (212) (426) (1,720) (1,436)

LEASES (Tables)

LEASES (Tables)	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
Assets and Liabilities, Lessee	The following table summarizes the Company's operating and finance lease balances (in thousands): Leases Balance Sheet Location June 30, 2020 December 31, 2019 Assets Operating Operating lease right-of-use assets $ 5,988 $ 5,726 Finance Property and equipment, net 1,815 81 Total Leased Assets $ 7,803 $ 5,807 Liabilities Operating Operating lease liabilities, current $ 2,108 $ 1,745 Operating lease liabilities, non-current 4,341 4,413 Finance Deferred revenue, current, and other 307 47 Other liabilities 318 37 Total Lease Liabilities $ 7,074 $ 6,242
Additional lease information	Supplemental cash flow information related to the Company's operating and finance leases for the six months ended June 30, 2020 and 2019, respectively, was as follows (in thousands): Six Months Ended June 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows - operating leases $ 1,011 $ 889 Operating cash outflows - finance leases $ 4 $ 1 Financing cash outflows - finance leases $ 83 $ 10 ROU assets obtained in exchange for new lease obligations: Operating leases $ 316 $ 341 Finance leases $ 110 $ — The following table presents the weighted average remaining lease term and weighted average discount rate related to the Company's leases: June 30, 2020 December 31, 2019 Weighted average remaining lease term: Operating 3.4 years 3.8 years Finance 2.8 years 2.0 years Weighted average discount rate: Operating 4.3 % 4.4 % Finance 2.7 % 4.0 %
Schedule of maturity of operating leases	The following table presents the maturity of the Company's lease liabilities as of June 30, 2020 (in thousands): Year Ending December 31, Operating Leases Finance Leases Remainder of 2020 $ 1,303 $ 162 2021 1,909 252 2022 1,591 115 2023 1,881 44 2024 99 34 Thereafter 179 37 Total lease payments 6,962 644 Less: imputed interest 513 19 Total lease liabilities $ 6,449 $ 625
Lessor, maturity of undiscounted lease receivables	The following table presents the maturity of the Company's lease receivables as of June 30, 2020 (in thousands): Year Ending December 31, Remainder of 2020 $ 2,288 2021 4,695 2022 4,392 2023 3,678 2024 2,723 Thereafter 2,203 Total undiscounted future maturities 19,979 Less: interest 107 Total lease receivables $ 19,872

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Reconciliation of basic and diluted earnings per share	The following is a reconciliation of the weighted-average shares outstanding used in the calculation of basic and diluted earnings per share ("EPS") for the three and six months ended June 30, 2020 and 2019 (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Net (loss) income attributable to Heska Corporation $ (6,357) $ (241) $ (11,645) $ 573 Basic weighted-average common shares outstanding 8,776 7,486 8,165 7,463 Assumed exercise of dilutive stock options and restricted shares — — — 493 Diluted weighted-average common shares outstanding $ 8,776 $ 7,486 $ 8,165 $ 7,956 Basic (loss) earnings per share attributable to Heska Corporation $ (0.72) $ (0.03) $ (1.43) $ 0.08 Diluted (loss) earnings per share attributable to Heska Corporation $ (0.72) $ (0.03) $ (1.43) $ 0.07
Schedule of antidilutive securities excluded from computation of earnings per share	otentially outstanding common shares from convertible preferred stock, convertible senior notes, stock options and restricted stock awards were excluded from the computation of diluted EPS because the effect would have been anti-dilutive (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Convertible preferred stock 332 — 920 — Convertible senior notes — — 21 — Stock options and restricted stock 355 714 299 225 687 714 1,240 225

GOODWILL AND OTHER INTANGIBLES

GOODWILL AND OTHER INTANGIBLES (Tables)	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of changes in goodwill	The following summarizes the change in goodwill during the six months ended June 30, 2020 (in thousands): Carrying amount, December 31, 2019 $ 36,204 Goodwill attributable to acquisitions 48,241 Foreign currency adjustments 296 Carrying amount, June 30, 2020 $ 84,741
Schedule of other intangible assets	Other intangibles consisted of the following (in thousands): June 30, 2020 December 31, 2019 Gross Carrying Amount Accum. Amortiz. Net Carrying Amount Gross Carrying Amount Accum. Amortiz. Net Carrying Amount Intangible assets subject to amortization: Customer relationships and other $ 43,401 $ (3,819) $ 39,582 $ 6,205 $ (2,226) $ 3,979 Developed technology $ 8,629 $ (1,248) $ 7,381 $ 8,200 $ (819) $ 7,381 Trade names 181 (31) $ 150 112 — $ 112 Intangible assets not subject to amortization: Trade names $ 7,669 $ — 7,669 $ — $ — $ — Total intangible assets $ 59,880 $ (5,098) $ 54,782 $ 14,517 $ (3,045) $ 11,472
Schedule of amortization expense on intangible assets	Amortization expense relating to other intangibles was as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Amortization expense $ 1,624 $ 305 $ 2,053 $ 607
Schedule of estimated future amortization expense	Estimated amortization expense related to intangibles for each of the five years from 2020 (remaining) through 2024 and thereafter is as follows (in thousands): Year Ending December 31, 2020 (remaining) $ 2,813 2021 5,517 2022 5,482 2023 5,122 2024 5,000 Thereafter 23,179 Total amortization related to finite-lived intangible assets $ 47,113 Indefinite-lived intangible assets $ 7,669 Net intangible assets $ 54,782

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	6 Months Ended
	Jun. 30, 2020
Property, Plant and Equipment [Abstract]
Schedule of property and equipment	Property and equipment, net, consisted of the following (in thousands): June 30, 2020 December 31, 2019 Land $ 2,385 $ 694 Building 11,887 3,845 Machinery and equipment 37,293 28,777 Office furniture and equipment 1,995 1,345 Computer hardware and software 4,480 3,408 Leasehold and building improvements 10,660 10,558 Construction in progress 86 671 Property and equipment, gross 68,786 49,298 Less accumulated depreciation (34,913) (33,829) Total property and equipment, net $ 33,873 $ 15,469

INVENTORIES, NET (Tables)

INVENTORIES, NET (Tables)	6 Months Ended
	Jun. 30, 2020
Inventory Disclosure [Abstract]
Schedule of inventory	Inventories consisted of the following (in thousands): June 30, 2020 December 31, 2019 Raw materials $ 14,281 $ 14,597 Work in process 4,275 2,730 Finished goods 22,216 9,274 Total inventories $ 40,772 $ 26,601

ACCRUED LIABILITIES (Tables)

ACCRUED LIABILITIES (Tables)	6 Months Ended
	Jun. 30, 2020
Payables and Accruals [Abstract]
Schedule of accrued liabilities	Accrued liabilities consisted of the following (in thousands): June 30, 2020 December 31, 2019 Accrued payroll and employee benefits $ 5,032 $ 1,175 Accrued property taxes 386 681 Accrued purchase orders 1,038 739 Accrued taxes 1,979 586 Other 4,776 3,164 Total accrued liabilities $ 13,211 $ 6,345

CAPITAL STOCK (Tables)

CAPITAL STOCK (Tables)	6 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
Schedule of stock options plans	During the six months ended June 30, 2020, the Company granted the following stock options and restricted stock awards: Six Months Ended June 30, 2020 Options/Awards Weighted-Average Grant Date Fair Value Stock options 305,250 $ 23.38 Restricted stock awards 30,500 $ 66.92

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)	6 Months Ended
	Jun. 30, 2020
Equity [Abstract]
Schedule of accumulated other comprehensive income (loss)	Accumulated other comprehensive income (loss) consisted of the following (in thousands): Minimum Pension Liability Foreign Currency Translation Total Accumulated Other Comprehensive Income Balances at December 31, 2019 $ (346) $ 859 $ 513 Current period other comprehensive income — 1,860 1,860 Balances at June 30, 2020 $ (346) $ 2,719 $ 2,373

INTEREST AND OTHER EXPENSE, N_2

INTEREST AND OTHER EXPENSE, NET (Tables)	6 Months Ended
	Jun. 30, 2020
Other Income and Expenses [Abstract]
Schedule of interest expense (income) and other income, net	Interest and other expense (income), net, consisted of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest income $ (120) $ (133) $ (353) $ (225) Interest expense 2,333 147 4,679 224 Other expense (income), net (68) 7 17 6 Total interest and other expense (income), net $ 2,145 $ 21 $ 4,343 $ 5

CONVERTIBLE NOTES AND CREDIT _2

CONVERTIBLE NOTES AND CREDIT FACILITY (Tables)	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Convertible Debt	June 30, 2020 December 31, 2019 Carrying amount of equity component $ 39,508 $ 39,508 Principal amount of the Notes 86,250 86,250 Unamortized debt discount (37,854) (40,902) Net carrying amount $ 48,396 $ 45,348
Interest Income and Interest Expense Disclosure	Interest expense related to the Notes for the three and six months ended June 30, 2020 was $2.3 million and $4.7 million, respectively, which is comprised of the amortization of debt discount and debt issuance costs and the contractual coupon interest as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Interest expense related to contractual coupon interest $ 809 $ — $ 1,617 $ — Interest expense related to amortization of the debt discount 1,524 — 3,049 — $ 2,333 $ — $ 4,666 $ —

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Reconciliation of Revenue from Segments to Consolidated	Summarized financial information concerning the Company's reportable segments is shown in the following tables (in thousands): Three Months Ended June 30, 2020 North America International Total Total revenue $ 28,982 $ 16,730 $ 45,712 Cost of revenue 16,222 11,625 $ 27,847 Gross profit 12,760 5,105 $ 17,865 Gross margin 44.0 % 30.5 % 39.1 % Operating loss (3,067) (1,387) $ (4,454) Three Months Ended June 30, 2019 North America International Total Total revenue $ 26,396 $ 1,750 $ 28,146 Cost of revenue 14,446 1,288 $ 15,734 Gross profit 11,950 462 $ 12,412 Gross margin 45.3 % 26.4 % 44.1 % Operating loss (265) (301) $ (566) Six Months Ended June 30, 2020 North America International Total Total revenue $ 56,631 $ 19,735 $ 76,366 Cost of revenue 31,368 13,685 $ 45,053 Gross profit 25,263 6,050 $ 31,313 Gross margin 44.6 % 30.7 % 41.0 % Operating loss (7,161) (1,912) $ (9,073) Six Months Ended June 30, 2019 North America International Total Total revenue $ 54,888 $ 2,769 $ 57,657 Cost of revenue 30,634 2,068 $ 32,702 Gross profit 24,254 701 $ 24,955 Gross margin 44.2 % 25.3 % 43.3 % Operating loss (158) (483) $ (641)
Schedule of revenue from external customers and long-lived assets, by geographical areas	Asset information by reportable segment as of June 30, 2020 is as follows (in thousands): As of June 30, 2020 North America International Total Total assets $ 119,475 $ 257,424 $ 376,899 Asset information by reportable segment as of December 31, 2019 is as follows (in thousands): As of December 31, 2019 North America International Total Total assets $ 219,402 $ 25,022 $ 244,424

REVENUE (Details)

REVENUE (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)segment	Jun. 30, 2019USD ($)	Dec. 31, 2019USD ($)
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Number of reportable segments | segment			2
Revenue, net	$ 45,712	$ 28,146	$ 76,366	$ 57,657
Contract receivables, current	1,200		1,200		$ 1,100
Contract receivables, noncurrent	3,900		3,900		3,700
Current portion of deferred revenue, and other	8,600		8,600		$ 8,700
Contract liabilities, revenue recognized			2,000
Contract liabilities, increase due to additional deferred sales			1,300
Scil Animal Care Company
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Contract with customer, liability	600		600
North America
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	28,982	26,396	56,631	54,888
International
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	16,730	1,750	19,735	2,769
POC Lab Instruments & Other | North America
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	1,942	1,404	3,314	3,307
POC Lab Instruments & Other | International
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	1,928	16	2,117	16
Sales-type leases | North America
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	1,020	1,492	2,264	3,234
Sales-type leases | International
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	278	0	323	0
POC Lab Consumables | North America
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	13,537	13,182	27,223	25,499
POC Lab Consumables | International
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	9,470	25	10,032	25
POC Imaging | North America
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	4,148	4,166	7,644	9,231
POC Imaging | International
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	4,404	1,064	5,762	1,408
PVD | North America
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	4,880	2,721	9,384	5,392
PVD | International
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	650	645	1,501	1,320
OVP | North America
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	3,455	3,431	6,802	8,225
OVP | International
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue, net	$ 0	$ 0	$ 0	$ 0

REVENUE - Performance Obligatio

REVENUE - Performance Obligations (Details) $ in Thousands	Jun. 30, 2020USD ($)
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 128,245
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 14,944
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	6 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 27,589
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 24,426
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 21,679
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 17,365
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 22,242
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction

ACQUISITION AND RELATED PARTY_3

ACQUISITION AND RELATED PARTY ITEMS - Additional Information (Details)	Apr. 01, 2020USD ($)	Dec. 05, 2019USD ($)	Dec. 31, 2019USD ($)	Jun. 30, 2020USD ($)segment	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)segment	Jun. 30, 2019USD ($)
Business Acquisition [Line Items]
Goodwill			$ 36,204,000	$ 84,741,000		$ 84,741,000
Goodwill, period increase (decrease)						110,000
Related party loan			0	1,134,000		1,134,000
Operating cash outflows - operating leases						1,011,000	$ 889,000
Operating lease right-of-use assets			5,726,000	5,988,000		5,988,000
Total lease liabilities				$ 6,449,000		$ 6,449,000
International
Business Acquisition [Line Items]
Goodwill	$ 39,200,000
North America
Business Acquisition [Line Items]
Goodwill	$ 8,900,000
CVM Practice | Affiliated Entity
Business Acquisition [Line Items]
Number of warehouses | segment				2		2
Number of loans | segment				2		2
Operating cash outflows - operating leases						$ 15,000	0
Operating lease right-of-use assets			0	$ 169,000		169,000
Total lease liabilities			0	169,000		169,000
Accounts payable, related parties			0	1,000,000		1,000,000
Cuattro, LLC | Heska Imaging | Affiliated Entity
Business Acquisition [Line Items]
Related party - amount of transaction						0	6,000
Heska Imaging | Affiliated Entity
Business Acquisition [Line Items]
Related party loan			0	0		0
Scil Animal Care Company
Business Acquisition [Line Items]
Percentage of voting interest acquired	100.00%
Cash consideration transferred	$ 111,000,000
Purchase price	111,564,000
Goodwill	$ 48,130,000
Acquisition related costs				2,500,000		5,000,000
Revenue, net				16,600,000	$ 47,276,000	94,917,000	95,026,000
Net (loss) income attributable to Heska Corporation				600,000	(480,000)	(12,461,000)	(1,172,000)
CVM
Business Acquisition [Line Items]
Percentage of voting interest acquired		100.00%
Purchase price		$ 14,400,000
Goodwill		8,959,000
Equity interest issued and issuable		$ 8,900,000
Acquisition related costs				100,000		200,000
Revenue of acquiree since acquisition date			800,000
Net income of acquiree since acquisition date			$ 100,000
Revenue, net				1,700,000	29,931,000	3,100,000	61,552,000
Net (loss) income attributable to Heska Corporation				$ 100,000	$ (278,000)	$ 100,000	$ 409,000

ACQUISITION AND RELATED PARTY_4

ACQUISITION AND RELATED PARTY ITEMS - Fair Values of Assets and Liabilties at Scil Acquisition Date (Details) - USD ($) $ in Thousands	Apr. 01, 2020	Jun. 30, 2020	Dec. 31, 2019
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]
Goodwill		$ 84,741	$ 36,204
Scil Animal Care Company
Business Combination, Consideration Transferred, Including Equity Interest in Acquiree Held Prior to Combination [Abstract]
Total fair value of consideration transferred	$ 111,564
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]
Cash and cash equivalents	5,837
Accounts receivable	11,087
Inventories	11,373
Prepaid expenses	1,391
Other current assets	281
Property and equipment	19,023
Operating lease right-of-use assets	869
Other intangible assets	44,119
Deferred tax asset	1,013
Investments in unconsolidated affiliates	55
Other non-current assets	1,373
Total assets acquired	96,421
Accounts payable	8,721
Accrued liabilities	6,270
Operating lease liabilities, current	353
Current portion of deferred revenue, and other	2,669
Deferred revenue, non-current	132
Operating lease liabilities, non-current	524
Deferred tax liability	14,044
Other liabilities	274
Net assets acquired	63,434
Goodwill	48,130
Total fair value of consideration transferred	$ 111,564

ACQUISITION AND RELATED PARTY_5

ACQUISITION AND RELATED PARTY ITEMS - Fair Value of Assets and Liabilities at CVM Acquisition Date (Details) - USD ($) $ in Thousands	Dec. 05, 2019	Jun. 30, 2020	Dec. 31, 2019
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]
Goodwill		$ 84,741	$ 36,204
CVM
Business Combination, Consideration Transferred, Including Equity Interest in Acquiree Held Prior to Combination [Abstract]
Consideration paid to former owners	$ 14,420
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]
Cash and cash equivalents	1,226
Accounts receivable	583
Inventories	1,621
Other current assets	1,186
Property and equipment	345
Other intangible assets	2,608
Other non-current assets	460
Total assets acquired	8,029
Accounts payable	(94)
Accrued liabilities	(471)
Current portion of deferred revenue, and other	(54)
Deferred tax liability	(683)
Other long-term borrowings	(1,109)
Other liabilities	(157)
Net assets acquired	5,461
Goodwill	8,959
Total fair value of consideration transferred	$ 14,420

ACQUISITION AND RELATED PARTY_6

ACQUISITION AND RELATED PARTY ITEMS - Intangible Assets Acquired, Amortization Method (Details) - USD ($) $ in Thousands	Apr. 01, 2020	Dec. 05, 2019	Jun. 30, 2020	Dec. 31, 2019
Business Acquisition [Line Items]
Gross Carrying Amount			$ 59,880	$ 14,517
Scil Animal Care Company
Business Acquisition [Line Items]
Gross Carrying Amount	$ 44,119
Scil Animal Care Company | Trade names
Business Acquisition [Line Items]
Finite-lived intangible assets acquired	$ 7,488
CVM
Business Acquisition [Line Items]
Gross Carrying Amount			2,608
CVM | Developed technology
Business Acquisition [Line Items]
Indefinite-lived intangible assets acquired			$ 57
Customer relationships | Scil Animal Care Company
Business Acquisition [Line Items]
Useful Life	10 years
Finite-lived intangible assets acquired	$ 35,948
Customer relationships | CVM
Business Acquisition [Line Items]
Useful Life		6 years
Finite-lived intangible assets acquired		$ 2,440
Internally developed software | Scil Animal Care Company
Business Acquisition [Line Items]
Useful Life	7 years
Finite-lived intangible assets acquired	$ 350
Backlog | Scil Animal Care Company
Business Acquisition [Line Items]
Useful Life	2 months 12 days
Finite-lived intangible assets acquired	$ 208
Non-compete agreements | Scil Animal Care Company
Business Acquisition [Line Items]
Useful Life	2 years
Finite-lived intangible assets acquired	$ 59
Trade names | Scil Animal Care Company
Business Acquisition [Line Items]
Useful Life	9 months 18 days
Finite-lived intangible assets acquired	$ 66
Trade names | CVM
Business Acquisition [Line Items]
Useful Life		4 years
Finite-lived intangible assets acquired		$ 111

ACQUISITION AND RELATED PARTY_7

ACQUISITION AND RELATED PARTY ITEMS - Unaudited Pro Forma Financial Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Scil Animal Care Company
Business Acquisition [Line Items]
Revenue, net	$ 16,600	$ 47,276	$ 94,917	$ 95,026
Net (loss) income before equity in losses of unconsolidated affiliates		(400)	(12,512)	(955)
Net (loss) income attributable to Heska Corporation	600	(480)	(12,461)	(1,172)
CVM
Business Acquisition [Line Items]
Revenue, net	1,700	29,931	3,100	61,552
Net (loss) income before equity in losses of unconsolidated affiliates		(198)		626
Net (loss) income attributable to Heska Corporation	$ 100	$ (278)	$ 100	$ 409

INVESTMENTS IN UNCONSOLIDATED_3

INVESTMENTS IN UNCONSOLIDATED AFFILIATES (Details) - USD ($) $ in Thousands	Sep. 24, 2018	Aug. 08, 2018	Jun. 30, 2020	Dec. 31, 2019
Schedule of Equity Method Investments [Line Items]
Equity method investment			$ 4,247	$ 4,406
Non-marketable equity security investment			3,018	3,018
Investments			$ 7,265	$ 7,424
General Fluidics Corporation
Schedule of Equity Method Investments [Line Items]
Supply commitment term	15 years
General Fluidics Corporation
Schedule of Equity Method Investments [Line Items]
Payments to acquire equity method investments	$ 5,100
Ownership percentage	25.00%
MBio Diagnostics, Inc.
Schedule of Equity Method Investments [Line Items]
Payments to acquire non-marketable securities		$ 3,000
Non-Marketable equity security investment, ownership percentage		5.00%
Intangible asset acquired		$ 1,000
Intangible assets acquired, useful life		20 years
Contingent consideration on milestones		$ 10,000

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income before income taxes	$ (6,599)	$ (587)	$ (13,416)	$ (646)
Total income tax benefit	(212)	(426)	(1,720)	(1,436)
Cash paid for income taxes	340	28	347
Excess tax benefits related to employee share-based compensation	200	$ 300	500	$ 1,400
Deferred tax assets, valuation allowance	$ 300		$ 300

LEASES - Operating and Financin

LEASES - Operating and Financing Lease Balances (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Operating lease right-of-use assets	$ 5,988	$ 5,726
Property and equipment, net	1,815	81
Total Leased Assets	7,803	5,807
Operating lease liabilities, current	2,108	1,745
Operating lease liabilities, non-current	4,341	4,413
Deferred revenue, current, and other	307	47
Other liabilities	318	37
Total Lease Liabilities	$ 7,074	$ 6,242

LEASES - Additional Information

LEASES - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Leases [Abstract]
Operating lease, expense	$ 700	$ 600	$ 1,300	$ 1,100
Finance lease amortization expense	165	5	176	14
Finance lease, interest expense	$ 3	$ 0	$ 4	$ 1

LEASES - Supplemental Cash Flow

LEASES - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows - operating leases	$ 1,011	$ 889
Operating cash outflows - finance leases	4	1
Financing cash outflows - finance leases	83	10
ROU assets obtained in exchange for new lease obligations:
Operating leases	316	341
Finance leases	$ 110	$ 0

LEASES - Weighted Average Remai

LEASES - Weighted Average Remaining Lease Term and Weighted Average Discount Rate (Details)	Jun. 30, 2020	Dec. 31, 2019
Weighted average remaining lease term:
Operating	3 years 4 months 24 days	3 years 9 months 18 days
Finance	2 years 9 months 18 days	2 years
Weighted average discount rate:
Operating	4.30%	4.40%
Finance	2.70%	4.00%

LEASES - Lessee Accounting (Det

LEASES - Lessee Accounting (Details) $ in Thousands	Jun. 30, 2020USD ($)
Operating Leases
Remainder of 2020	$ 1,303
2020	1,909
2021	1,591
2022	1,881
2023	99
Thereafter	179
Total lease payments	6,962
Less: imputed interest	513
Total lease liabilities	6,449
Finance Leases
Remainder of 2020	162
2021	252
2022	115
2023	44
2024	34
Thereafter	37
Total lease payments	644
Less: imputed interest	19
Total lease liabilities	$ 625

LEASES - Lessor Accounting (Det

LEASES - Lessor Accounting (Details) $ in Thousands	Jun. 30, 2020USD ($)
Lessor, Operating Lease, Payments, Fiscal Year Maturity [Abstract]
Remainder of 2020	$ 2,288
2020	4,695
2021	4,392
2022	3,678
2023	2,723
Thereafter	2,203
Lessor, operating lease, payments to be received	19,979
Less: interest	107
Total lease receivables	$ 19,872

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	Apr. 14, 2020	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Sep. 17, 2019
Earnings Per Share [Abstract]
Net (loss) income attributable to Heska Corporation		$ (6,357)	$ (241)	$ (11,645)	$ 573
Basic weighted-average common shares outstanding (in shares)		8,776,000	7,486,000	8,165,000	7,463,000
Assumed exercise of dilutive stock options and restricted shares		0	0	0	493,000
Diluted weighted-average common shares outstanding		8,776,000	7,486,000	8,165,000	7,956,000
Basic (loss) earnings per share attributable to Heska Corporation (in dollars per share)		$ (0.72)	$ (0.03)	$ (1.43)	$ 0.08
Diluted (loss) earnings per share attributable to Heska Corporation (in dollars per share)		$ (0.72)	$ (0.03)	$ (1.43)	$ 0.07
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options and restricted units excluded from computation of earnings per share		687,000	714,000	1,240,000	225,000
Series X Convertible Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion of convertible securities (in shares)	122,000
Traditional Common Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion of convertible securities (in shares)	1,508,964
Convertible Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options and restricted units excluded from computation of earnings per share		332,000	0	920,000	0
Senior Convertible Note
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options and restricted units excluded from computation of earnings per share		0	0	21,000	0
Stock Options And Restricted Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options and restricted units excluded from computation of earnings per share		355,000	714,000	299,000	225,000
Senior Convertible Note | Convertible Debt
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion price (in dollars per share)						$ 86.63

GOODWILL AND OTHER INTANGIBLE_2

GOODWILL AND OTHER INTANGIBLES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Goodwill [Roll Forward]
Carrying amount, December 31, 2019			$ 36,204
Goodwill attributable to acquisitions			48,241
Foreign currency adjustments			296
Carrying amount, June 30, 2020	$ 84,741		84,741
Finite-Lived Intangible Assets, Net [Abstract]
Accumulated amortization	(5,098)		(5,098)		$ (3,045)
Net carrying amount	47,113		47,113
Indefinite-lived Intangible Assets [Line Items]
Indefinite-lived intangible assets	7,669		7,669
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross Carrying Amount	59,880		59,880		14,517
Accumulated amortization	(5,098)		(5,098)		(3,045)
Net intangible assets	54,782		54,782		11,472
Amortization expense	1,624	$ 305	2,053	$ 607
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2020 (remaining)	2,813		2,813
2020	5,517		5,517
2021	5,482		5,482
2022	5,122		5,122
2023	5,000		5,000
Thereafter	23,179		23,179
Net carrying amount	47,113		47,113
Indefinite-lived intangible assets	7,669		7,669
Net intangible assets	54,782		54,782		11,472
Trade names
Indefinite-lived Intangible Assets [Line Items]
Indefinite-lived intangible assets	7,669		7,669		0
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Indefinite-lived intangible assets	7,669		7,669		0
Customer relationships and other
Finite-Lived Intangible Assets, Net [Abstract]
Gross carrying amount	43,401		43,401		6,205
Accumulated amortization	(3,819)		(3,819)		(2,226)
Net carrying amount	39,582		39,582		3,979
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated amortization	(3,819)		(3,819)		(2,226)
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Net carrying amount	39,582		39,582		3,979
Developed technology
Finite-Lived Intangible Assets, Net [Abstract]
Gross carrying amount	8,629		8,629		8,200
Accumulated amortization	(1,248)		(1,248)		(819)
Net carrying amount	7,381		7,381		7,381
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated amortization	(1,248)		(1,248)		(819)
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Net carrying amount	7,381		7,381		7,381
Trade names
Finite-Lived Intangible Assets, Net [Abstract]
Gross carrying amount	181		181		112
Accumulated amortization	(31)		(31)		0
Net carrying amount	150		150		112
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated amortization	(31)		(31)		0
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Net carrying amount	$ 150		$ 150		$ 112

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 68,786		$ 68,786		$ 49,298
Less accumulated depreciation	(34,913)		(34,913)		(33,829)
Total property and equipment, net	33,873		33,873		15,469
Depreciation and amortization	1,700	$ 900	2,700	$ 1,900
Land
Property, Plant and Equipment [Line Items]
Property and equipment, gross	2,385		2,385		694
Building
Property, Plant and Equipment [Line Items]
Property and equipment, gross	11,887		11,887		3,845
Machinery and equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	37,293		37,293		28,777
Office furniture and equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	1,995		1,995		1,345
Computer hardware and software
Property, Plant and Equipment [Line Items]
Property and equipment, gross	4,480		4,480		3,408
Leasehold and building improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	10,660		10,660		10,558
Construction in progress
Property, Plant and Equipment [Line Items]
Property and equipment, gross	86		$ 86		671
Machinery and equipment | Minimum
Property, Plant and Equipment [Line Items]
Property plant and equipment, useful life			5 years
Machinery and equipment | Maximum
Property, Plant and Equipment [Line Items]
Property plant and equipment, useful life			7 years
Leased equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	7,900		$ 7,900		8,100
Less accumulated depreciation	$ (4,400)		$ (4,400)		$ (4,600)

INVENTORIES, NET (Details)

INVENTORIES, NET (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Inventory Disclosure [Abstract]
Raw materials	$ 14,281	$ 14,597
Work in process	4,275	2,730
Finished goods	22,216	9,274
Total inventory, net	$ 40,772	$ 26,601

ACCRUED LIABILITIES (Details)

ACCRUED LIABILITIES (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Payables and Accruals [Abstract]
Accrued payroll and employee benefits	$ 5,032	$ 1,175
Accrued property taxes	386	681
Accrued purchase orders	1,038	739
Accrued taxes	1,979	586
Other	4,776	3,164
Total accrued liabilities	$ 13,211	$ 6,345
Percentage of total current liabilities	5.00%

CAPITAL STOCK - STOCK OPTIONS A

CAPITAL STOCK - STOCK OPTIONS AND RESTRICTED STOCK (Details)	6 Months Ended
	Jun. 30, 2020$ / sharesshares
Options/Awards Granted
Stock options (in shares) | shares	305,250
Restricted stock awards (in shares) | shares	30,500
Weighted-Average Grant Date Fair Value (per option/award)
Stock options (in dollars per share) | $ / shares	$ 23.38
Restricted stock awards (in dollars per share) | $ / shares	$ 66.92

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2020USD ($)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	$ 154,364
Ending balance	270,047
Total Accumulated Other Comprehensive Income
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	513
Current period other comprehensive income	1,860
Ending balance	2,373
Minimum Pension Liability
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(346)
Current period other comprehensive income	0
Ending balance	(346)
Foreign Currency Translation
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	859
Current period other comprehensive income	1,860
Ending balance	$ 2,719

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Millions	Feb. 28, 2019	Jun. 30, 2019	Jun. 30, 2020	Dec. 31, 2019
Long-term Purchase Commitment [Line Items]
Increase in royalties payable		$ 0.1
Warranty reserve			$ 0.5	$ 0.3
Litigation settlement, amount	$ 6.8
Unconditional annual minimum inventory purchases			$ 25.5

INTEREST AND OTHER EXPENSE, N_3

INTEREST AND OTHER EXPENSE, NET (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Other Income and Expenses [Abstract]
Interest income	$ (120)	$ (133)	$ (353)	$ (225)
Interest expense	2,333	147	4,679	224
Other, net	(68)	7	17	6
Total interest and other expense (income), net	2,145	21	4,343	5
Cash paid for interest	$ 4	$ 71	$ 1,600	$ 127

CONVERTIBLE NOTES AND CREDIT _3

CONVERTIBLE NOTES AND CREDIT FACILITY - Convertible Notes Narrative (Details)	Sep. 17, 2019USD ($)$ / shares	Jun. 30, 2020USD ($)$ / shares	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)$ / shares	Jun. 30, 2019USD ($)	Dec. 31, 2019USD ($)
Debt Instrument [Line Items]
Debt instrument, convertible, remaining discount amortization period				77 months 15 days
Share price | $ / shares		$ 93.17		$ 93.17
Senior Convertible Note
Debt Instrument [Line Items]
Proceeds from convertible debt	$ 83,700,000
Debt instrument, convertible, conversion ratio	0.0115434
Debt instrument, convertible, if-converted value in excess of principal				$ 6,500,000
Convertible Debt | Senior Convertible Note
Debt Instrument [Line Items]
Aggregate principal amount	$ 86,250,000	$ 86,250,000		86,250,000		$ 86,250,000
Debt instrument, interest rate, stated percentage	3.75%
Conversion price (in dollars per share) | $ / shares	$ 86.63
Interest expense, debt		2,333,000	$ 0	4,666,000	$ 0
Carrying amount of equity component		39,508,000		39,508,000		39,508,000
Fair Value, Inputs, Level 2 | Senior Convertible Note
Debt Instrument [Line Items]
Convertible debt, fair value		$ 110,000,000		$ 110,000,000		$ 116,000,000
Initial Purchasers | Convertible Debt | Senior Convertible Note
Debt Instrument [Line Items]
Aggregate principal amount	$ 11,250,000

CONVERTIBLE NOTES AND CREDIT _4

CONVERTIBLE NOTES AND CREDIT FACILITY - Carrying Amount of Debt (Details) - Convertible Debt - Senior Convertible Note - USD ($)	Jun. 30, 2020	Dec. 31, 2019	Sep. 17, 2019
Debt Instrument [Line Items]
Carrying amount of equity component	$ 39,508,000	$ 39,508,000
Aggregate principal amount	86,250,000	86,250,000	$ 86,250,000
Unamortized debt discount	(37,854,000)	(40,902,000)
Net carrying amount	$ 48,396,000	$ 45,348,000

CONVERTIBLE NOTES AND CREDIT _5

CONVERTIBLE NOTES AND CREDIT FACILITY - Interest Expense (Details) - Convertible Debt - Senior Convertible Note - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Debt Instrument [Line Items]
Interest expense related to contractual coupon interest	$ 809	$ 0	$ 1,617	$ 0
Interest expense related to amortization of the debt discount	1,524	0	3,049	0
Interest expense, debt	$ 2,333	$ 0	$ 4,666	$ 0

CONVERTIBLE NOTES AND CREDIT _6

CONVERTIBLE NOTES AND CREDIT FACILITY - Credit Facility Narrative (Details) - Line of Credit $ in Millions	6 Months Ended
	Jun. 30, 2020USD ($)
Revolving Credit Facility
Debt Instrument [Line Items]
Repayments of debt	$ 12.8
Letter of Credit
Debt Instrument [Line Items]
Collateral amount	$ 2

SEGMENT REPORTING - NARRATIVE (

SEGMENT REPORTING - NARRATIVE (Details)	6 Months Ended
	Jun. 30, 2020segment
Segment Reporting [Abstract]
Number of reportable segments	2

SEGMENT REPORTING (Details)

SEGMENT REPORTING (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Segment Reporting, Other Significant Reconciling Item [Line Items]
Total revenue	$ 45,712	$ 28,146	$ 76,366	$ 57,657
Cost of revenue	27,847	15,734	45,053	32,702
Gross profit	$ 17,865	$ 12,412	$ 31,313	$ 24,955
Gross margin	39.10%	44.10%	41.00%	43.30%
Operating loss	$ (4,454)	$ (566)	$ (9,073)	$ (641)
Total assets	376,899		376,899		$ 244,424
North America
Segment Reporting, Other Significant Reconciling Item [Line Items]
Total revenue	28,982	26,396	56,631	54,888
Cost of revenue	16,222	14,446	31,368	30,634
Gross profit	$ 12,760	$ 11,950	$ 25,263	$ 24,254
Gross margin	44.00%	45.30%	44.60%	44.20%
Operating loss	$ (3,067)	$ (265)	$ (7,161)	$ (158)
Total assets	119,475		119,475		219,402
International
Segment Reporting, Other Significant Reconciling Item [Line Items]
Total revenue	16,730	1,750	19,735	2,769
Cost of revenue	11,625	1,288	13,685	2,068
Gross profit	$ 5,105	$ 462	$ 6,050	$ 701
Gross margin	30.50%	26.40%	30.70%	25.30%
Operating loss	$ (1,387)	$ (301)	$ (1,912)	$ (483)
Total assets	$ 257,424		$ 257,424		$ 25,022