Segment Reporting Disclosure [Text Block] | 13. Operating Segments The Company operates in two segments: advanced wound care and traditional wound care products. They are managed separately as each segment requires different technology, marketing and sales strategies. Advanced wound care products principally consist of both novel and otherwise differentiated dressings, devices and skin substitutes designed to promote wound healing and/or prevent infection. Traditional wound care products principally consist of commodity related dressings, ointments, gauze bandages, adhesive bandages, wound closure strips, catheter fasteners and skin care products. Advanced and traditional wound care products are marketed globally to acute care, extended care, home health care, wound and burn care clinics and physician offices. The Company utilizes a broad network of well-established distributors to deploy the majority of its products to end users. A smaller portion of the Company’s sales are sold directly to care providers and through retail. The advanced and traditional wound care products are both manufactured internally and sourced from third party suppliers. The majority of marketing expenses are deployed in support of advanced wound care products with traditional wound care products requiring limited support. The Company utilizes direct sales representatives, distributor relationships and contractual relationships with buying groups and wound care service providers to sell its products. Direct sales representatives are used solely in support of advanced wound care sales in the U.S. and the U.K. and for both advanced and traditional wound care products in Canada. Each operating segment is managed at the segment contribution level consisting of gross profit minus direct expense consisting of distribution, marketing, sales, research and development and intangible amortization expenses. Expenses are allocated directly by segment to the extent possible. Expenses common to both operating segments are allocated consistently using activity based assumptions. The aggregation or allocation of indirect expenses by segment is not practical. Year Ended December 31, 2015 Advanced Traditional Other Total Net sales $ 41,782,144 $ 42,692,140 $ - $ 84,474,284 Gross profit 21,040,514 11,693,661 - 32,734,175 Direct expense (32,684,540) (5,156,199) - (37,840,739) Segment contribution $ (11,644,026) $ 6,537,462 - (5,106,564) Indirect expenses $ (15,260,099) (15,260,099) Net loss from continuing operations $ (20,366,663) Restructuring and $ 722,810 $ 105,075 $ 1,630,670 $ 2,458,555 Depreciation $ 512,862 $ 223,102 $ 189,633 $ 925,597 Amortization $ 2,699,259 $ 285,000 $ - $ 2,984,259 Capital expenditures $ 1,475,994 $ 75,441 $ 259,890 $ 1,811,325 As of December 31, 2015 Equipment and $ 2,649,208 $ 701,548 $ 778,452 $ 4,129,208 Identifiable intangible $ 9,379,938 $ 451,307 $ - $ 9,831,245 Goodwill $ 6,337,967 $ 7,119,726 $ - $ 13,457,693 Total assets $ 34,794,250 $ 23,956,132 $ 56,029,773 $ 114,780,155 Year Ended December 31, 2014 Advanced Traditional Other Total Net sales $ 38,110,851 $ 45,634,829 $ - $ 83,745,680 Gross profit 18,170,944 11,938,991 - 30,109,935 Direct expense (30,919,972) (5,193,516) - (36,113,488) Segment contribution $ (12,749,028) $ 6,745,475 - (6,003,553) Indirect expenses $ (14,841,062) (14,841,062) Net loss from continuing operations $ (20,844,615) Depreciation $ 464,686 $ 226,830 $ 176,098 $ 867,614 Amortization $ 2,789,763 $ 285,481 $ - $ 3,075,244 Capital expenditures $ 918,673 $ 198,374 $ 603,050 $ 1,720,097 As of December 31, 2014 Equipment and $ 2,274,254 $ 598,781 $ 725,619 $ 3,598,654 Identifiable intangible $ 12,079,197 $ 736,307 $ - $ 12,815,504 Goodwill $ 6,337,967 $ 7,119,726 $ - $ 13,457,693 Total assets $ 35,033,245 $ 20,475,555 $ 83,781,666 $ 139,290,466 Year Ended December 31, 2013 Advanced Traditional Other Total Net sales $ 33,928,535 $ 45,782,445 $ - $ 79,710,980 Gross profit 16,837,797 12,552,677 - 29,390,474 Direct expense (21,404,045) (5,059,141) - (26,463,186) Segment contribution $ (4,566,248) $ 7,493,536 - 2,927,288 Indirect expenses $ (15,456,784) (15,456,784) Net loss from continuing operations $ (12,529,496) Depreciation $ 477,118 $ 264,841 $ 136,192 $ 878,151 Amortization $ 2,557,805 $ 285,080 $ - $ 2,842,885 Capital Expenditures $ 437,169 $ 24,193 $ 234,414 $ 695,776 A geographical breakdown of the Company’s sales (based on customer location), gross profit, equipment and improvements, net, and intangible assets, net are as follows: United States Canada Other Total 2015 Net sales $ 65,613,639 $ 9,701,712 $ 9,158,933 $ 84,474,284 Gross profit $ 24,907,022 $ 4,263,083 $ 3,564,070 $ 32,734,175 Equipment and improvements, net $ 1,142,655 $ 2,859,316 $ 127,237 $ 4,129,208 Identifiable intangible assets, net $ 9,831,245 - - $ 9,831,245 Goodwill $ 13,457,693 - - $ 13,457,693 2014 Net sales $ 63,324,527 $ 11,859,900 $ 8,561,253 $ 83,745,680 Gross profit $ 25,415,410 $ 1,134,949 $ 3,559,576 $ 30,109,935 Equipment and improvements, net $ 1,204,152 $ 2,203,015 $ 207,272 $ 3,614,439 Identifiable intangible assets, net $ 12,815,504 - - $ 12,815,504 Goodwill $ 13,457,693 - - $ 13,457,693 2013 Net sales $ 61,234,755 $ 11,084,430 $ 7,391,795 $ 79,710,980 Gross profit $ 23,956,554 $ 2,371,054 $ 3,062,866 $ 29,390,474 |