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Psychemedics(PMD) - 2023 Q1 - Quarterly Report
2023-05-11 21:15
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2023 or ☐ Transition report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 for the transition period from _________ to __________ Commission file number: 1-13738 PSYCHEMEDICS CORPORATION (Exact Name of Registrant as Specified in its Charter) Delaware 58-1701987 (State or O ...
Psychemedics(PMD) - 2022 Q4 - Annual Report
2023-03-27 14:00
FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 1-13738 PSYCHEMEDICS CORPORATION (Exact Name of Registrant as Specified in Its Charter) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Delaware 58-1701987 (State or Other Jurisdiction of Incorporation or Organization) 289 Great Roa ...
Psychemedics(PMD) - 2022 Q3 - Quarterly Report
2022-11-10 22:26
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the quarterly period ended September 30, 2022 or ☐ Transition report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 for the transition period from _________ to __________ Commission file number: 1-13738 PSYCHEMEDICS CORPORATION (Exact Name of Registrant as Specified in its Charter) Incorporation or Organizati ...
Psychemedics(PMD) - 2022 Q2 - Quarterly Report
2022-08-10 21:16
FORM 10-Q ☒ Quarterly report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the quarterly period ended June 30, 2022 or ☐ Transition report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 for the transition period from _________ to __________ Commission file number: 1-13738 PSYCHEMEDICS CORPORATION (Exact Name of Registrant as Specified in its Charter) Delaware 58-1701987 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (State or Ot ...
Psychemedics(PMD) - 2022 Q1 - Quarterly Report
2022-05-11 21:15
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2022 or ☐ Transition report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 for the transition period from _________ to __________ Commission file number: 1-13738 PSYCHEMEDICS CORPORATION Securities registered pursuant to section 12(b) of the act: | | | registered | | --- | ...
Psychemedics(PMD) - 2021 Q4 - Annual Report
2022-03-30 21:01
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2021 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 1-13738 PSYCHEMEDICS CORPORATION (Exact Name of Registrant as Specified in Its Charter) Delaware 58-1701987 (State or Other Jurisdiction of Incorporation or Organization) (I.R.S. Emplo ...
Psychemedics(PMD) - 2021 Q3 - Quarterly Report
2021-11-15 22:01
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the quarterly period ended September 30, 2021 or ☐ Transition report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 for the transition period from _________ to __________ Commission file number: 1-13738 PSYCHEMEDICS CORPORATION (Exact Name of Registrant as Specified in its Charter) | Delaware | 58-1701987 | | ...
Psychemedics(PMD) - 2021 Q2 - Quarterly Report
2021-08-12 21:10
[PART I - FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) [Financial Statements (unaudited)](index=4&type=section&id=Item%201%20-%20Financial%20Statements%20(unaudited)) The unaudited financial statements for the period ended June 30, 2021, reflect a return to profitability with increased assets and positive operating cash flow, driven by revenue recovery and CARES Act benefits [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Condensed Consolidated Balance Sheet Highlights (in millions) | Account | June 30, 2021 | December 31, 2020 | | :--- | :--- | :--- | | **Assets** | | | | Cash | $2.7M | $2.8M | | Total Current Assets | $11.7M | $9.6M | | **Total Assets** | **$24.6M** | **$24.0M** | | **Liabilities & Equity** | | | | Total Current Liabilities | $4.6M | $3.9M | | Total Liabilities | $11.5M | $11.5M | | **Total Shareholders' Equity** | **$13.1M** | **$12.5M** | | **Total Liabilities and Shareholders' Equity** | **$24.6M** | **$24.0M** | [Condensed Consolidated Statements of Operations and Comprehensive Income /(Loss)](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Income%20%2F(Loss)) Statement of Operations Highlights (in millions, except per share data) | Metric | Q2 2021 | Q2 2020 | H1 2021 | H1 2020 | | :--- | :--- | :--- | :--- | :--- | | Revenues | $6.1M | $3.3M | $11.8M | $10.9M | | Gross profit (loss) | $2.4M | $(0.3M) | $5.0M | $2.5M | | Operating income (loss) | $0.2M | $(3.3M) | $0.3M | $(3.5M) | | Net income (loss) | $0.1M | $(2.1M) | $0.2M | $(2.2M) | | Diluted net income (loss) per share | $0.02 | $(0.37) | $0.04 | $(0.40) | [Condensed Consolidated Statements of Shareholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Shareholders'%20Equity) - Total Shareholders' Equity increased from **$12.5 million** at the end of 2020 to **$13.1 million** as of June 30, 2021, primarily driven by **$0.2 million** net income and **$0.4 million** stock-based compensation expense for the six-month period[10](index=10&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash Flow Summary for Six Months Ended June 30 (in millions) | Cash Flow Activity | 2021 | 2020 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $0.2M | $(3.7M) | | Net cash used in investing activities | $(0.1M) | $(0.7M) | | Net cash (used in) provided by financing activities | $(0.3M) | $0.8M | | **Net decrease in cash** | **$(0.2M)** | **$(3.6M)** | | Cash, end of period | $2.7M | $3.7M | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail the significant impacts of COVID-19, including volume effects and CARES Act relief, revenue sources, and debt arrangements including PPP loan forgiveness - The COVID-19 pandemic has had a significant impact on operations, adversely affecting hiring and thus testing volume both domestically and internationally[20](index=20&type=chunk) - The company recognized an employee retention credit under the CARES Act, which reduced cost of revenues and operating expenses by **$0.8 million** for Q2 2021 and **$1.6 million** for H1 2021[22](index=22&type=chunk) - In July 2021, the company's Paycheck Protection Program (PPP) loan of approximately **$2.2 million**, including principal and accrued interest, was forgiven in full by the SBA[47](index=47&type=chunk)[70](index=70&type=chunk) Revenue by Source (in millions) | Source | H1 2021 | H1 2020 | | :--- | :--- | :--- | | Testing | $10.4M | $9.8M | | Shipping/Collection (hair) | $1.3M | $1.0M | | Other | $0.1M | $0.1M | | **Total Revenue** | **$11.8M** | **$10.9M** | Revenue by Geographic Region (in millions) | Region | H1 2021 | H1 2020 | | :--- | :--- | :--- | | United States | $11.0M | $9.5M | | Brazil | $0.5M | $1.1M | | Other | $0.3M | $0.2M | | **Total Revenue** | **$11.8M** | **$10.9M** | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=18&type=section&id=Item%202%20-%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes Q2 2021 performance improvement to increased sales volume and tax credits, with strong domestic revenue growth, reduced operating expenses, and adequate liquidity for the next 12 months [Overview](index=19&type=section&id=Overview) Q2 and H1 2021 Financial Highlights vs. 2020 | Metric | Q2 2021 | Q2 2020 | H1 2021 | H1 2020 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $6.1M | $3.3M | $11.8M | $10.9M | | Net Income (Loss) | $0.1M | ($2.1M) | $0.2M | ($2.2M) | | Diluted EPS | $0.02 | ($0.37) | $0.04 | ($0.40) | - The increase in revenue and earnings for Q2 2021 was primarily due to higher domestic and international sales volume and a refundable employee retention tax credit of **$0.8 million**[54](index=54&type=chunk) - No cash dividends were paid in the first six months of 2021, compared to **$0.18** per share paid in the same period of 2020[54](index=54&type=chunk) [Results of Operations](index=19&type=section&id=Results%20of%20Operations) - Q2 2021 revenue increased **84%** YoY, driven by a **95%** increase in total volume as 2020 was heavily impacted by COVID-19, with domestic revenues rising **80%** and international revenues rising **153%** in the quarter[56](index=56&type=chunk) - For the first six months of 2021, domestic revenues increased **16%** due to stronger job creation, while international revenues decreased **42%**, primarily from lower Brazil testing volume[56](index=56&type=chunk) - Gross profit margin for H1 2021 was **42%**, up from **23%** in H1 2020, positively impacted by higher sales volume and the employee retention tax credit[57](index=57&type=chunk) - G&A expenses for Q2 2021 decreased **31%** YoY, mainly due to the absence of non-recurring legal fees from 2020 and salary reductions in 2021[58](index=58&type=chunk) - Marketing and selling expenses for Q2 2021 decreased **23%** YoY, primarily from reduced personnel and travel costs[60](index=60&type=chunk) [Liquidity and Capital Resources](index=20&type=section&id=Liquidity%20and%20Capital%20Resources) - As of June 30, 2021, the company had **$2.7 million** in cash and **$7.1 million** in working capital[64](index=64&type=chunk) - For the first six months of 2021, operating activities provided **$0.2 million** of cash, investing activities used **$0.1 million**, and financing activities used **$0.3 million**[64](index=64&type=chunk) - In July 2021, the SBA approved the forgiveness of the full **$2.2 million** PPP loan, including principal and interest[70](index=70&type=chunk) - Management believes existing funds and cash flow are adequate to fund the business for at least the next **12 months**, but notes that economic conditions related to COVID-19 are expected to continue to adversely affect results[71](index=71&type=chunk) [Controls and Procedures](index=21&type=section&id=Item%204%20-%20Controls%20and%20Procedures) Management, including the CEO and Controller, concluded that the company's disclosure controls and procedures were effective as of June 30, 2021, with no significant changes to internal controls - Management, including the CEO and Controller, concluded that the company's disclosure controls and procedures were effective as of the end of the period covered by the report[72](index=72&type=chunk) - No significant changes in internal control over financial reporting occurred during the most recent fiscal quarter that materially affected, or are reasonably likely to materially affect, these controls[73](index=73&type=chunk) [PART II - OTHER INFORMATION](index=22&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) [Risk Factors](index=22&type=section&id=Item%201A%20-%20Risk%20Factors) There have been no material changes to the company's risk factors from its Form 10-K, except for the resolved PPP loan risk due to its full forgiveness - There have been no material changes in the risk factors from the Form 10-K, except for the risk related to the PPP Loan, which was **100%** forgiven by the SBA in July 2021[76](index=76&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=22&type=section&id=Item%202%20-%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company did not engage in any purchases of its own equity securities during the first six months of 2021 - There were no purchases of treasury stock in the first six months of 2021[77](index=77&type=chunk) [Other Information](index=22&type=section&id=Item%205%20-%20Other%20Information) The company entered into a five-year change in control severance agreement with its Vice President and Controller, providing for twelve months of termination pay under specific conditions - The company entered into a **five-year** change in control severance agreement with Andrew Limbek, Vice President, Controller, effective **September 1, 2021**[78](index=78&type=chunk) - The agreement provides for **twelve months** of termination pay if Mr. Limbek's employment is terminated without Cause or he resigns for Good Reason within **twelve months** following a Change in Control[78](index=78&type=chunk) [Exhibits](index=22&type=section&id=Item%206%20-%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including required certifications by officers and Inline XBRL documents
Psychemedics(PMD) - 2021 Q1 - Quarterly Report
2021-05-13 21:19
UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2021 or ☐ Transition report pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 for the transition period from ________ to ________ Commission file number: 1-13738 PSYCHEMEDICS CORPORATION (Exact Name of Registrant as Specified in its Charter) Incorporation or Organization) Del ...
Psychemedics(PMD) - 2020 Q4 - Annual Report
2021-03-26 21:00
Part I [Business](index=5&type=section&id=Item%201%2E%20Business) Psychemedics Corporation provides patented hair analysis for drug abuse testing, offering a longer detection window primarily for workplace screening, while facing competition from larger laboratories - The company's core business is **drug detection through hair analysis** using a patented method involving hair digestion, enzyme immunoassay (EIA), and mass spectrometry confirmation[19](index=19&type=chunk) - The company's testing offers a **three-month detection window**, a significant advantage over urinalysis's few-day window[31](index=31&type=chunk) - Primary markets include **workplace drug testing** for applicants and employees, with additional services for schools, parents, and professional drivers, notably in Brazil[42](index=42&type=chunk)[48](index=48&type=chunk)[49](index=49&type=chunk) International Revenue as a Percentage of Consolidated Revenue | Year | Percentage of Revenue from outside the U.S. | | :--- | :--- | | 2020 | 9% | | 2019 | 27% | | 2018 | 32% | - Customer concentration significantly decreased in 2020, with **no single customer representing 10% or more of revenue**, compared to **26% in 2019** and **31% in 2018** from one customer[56](index=56&type=chunk) Research and Development Expenses (2018-2020) | Year | R&D Expense (in millions) | | :--- | :--- | | 2020 | $1.3 | | 2019 | $1.6 | | 2018 | $1.6 | [Risk Factors](index=10&type=section&id=Item%201A%2E%20Risk%20Factors) The company faces significant risks from the COVID-19 pandemic, intense competition, international operations (especially Brazil), intellectual property protection, cybersecurity, and stock price volatility due to dividend suspension - The **COVID-19 pandemic** continues to adversely affect business operations and financial conditions by disrupting normal operations and impacting customer demand[72](index=72&type=chunk)[74](index=74&type=chunk) - The company obtained a **$2.2 million Paycheck Protection Program (PPP) loan**, which is subject to U.S. Treasury audit and may not be fully forgiven, potentially limiting available funds[75](index=75&type=chunk)[76](index=76&type=chunk)[77](index=77&type=chunk) - Intense **price and service competition** from larger, better-capitalized laboratories could negatively impact net revenues and profitability[78](index=78&type=chunk)[79](index=79&type=chunk) - A significant portion of business from **Brazil** exposes the company to risks including political instability, currency fluctuations, and reliance on a single distributor[99](index=99&type=chunk)[104](index=104&type=chunk) - The Board of Directors **suspended its quarterly dividend** after Q1 2020 due to the COVID-19 pandemic, with no assurance of resumption, potentially affecting stock price[111](index=111&type=chunk) [Unresolved Staff Comments](index=16&type=section&id=Item%201B%2E%20Unresolved%20Staff%20Comments) Not applicable [Properties](index=16&type=section&id=Item%202%2E%20Properties) The company leases its corporate offices in Acton, MA, and two laboratory facilities in Culver City, CA, with varying lease expiration dates - Corporate offices are leased in **Acton, MA (6,000 sq. ft.)**[114](index=114&type=chunk) - Two laboratory facilities are leased in **Culver City, CA, totaling 30,000 sq. ft.** plus storage space[115](index=115&type=chunk) [Legal Proceedings](index=16&type=section&id=Item%203%2E%20Legal%20Proceedings) The company is involved in various legal matters in the ordinary course of business but does not expect their disposition to have a material adverse effect on its operations or financial condition [Mine Safety Disclosures](index=16&type=section&id=Item%204%2E%20Mine%20Safety%20Disclosures) Not applicable Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=17&type=section&id=Item%205%2E%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on NASDAQ under "PMD", with quarterly dividends suspended after Q1 2020 due to COVID-19, and no share repurchases in 2020 Quarterly Stock Price and Dividends (2019-2020) | Period | High | Low | Dividends per Share | | :--- | :--- | :--- | :--- | | **Fiscal 2020** | | | | | First Quarter | $10.69 | $4.54 | $0.18 | | Second Quarter | $6.79 | $4.89 | - | | Third Quarter | $6.35 | $4.33 | - | | Fourth Quarter | $5.44 | $3.58 | - | | **Fiscal 2019** | | | | | First Quarter | $19.64 | $13.68 | $0.18 | | Second Quarter | $14.67 | $9.25 | $0.18 | | Third Quarter | $10.36 | $7.12 | $0.18 | | Fourth Quarter | $9.80 | $8.30 | $0.18 | - The **quarterly dividend was suspended** after the first quarter of 2020 due to the COVID-19 outbreak[122](index=122&type=chunk) - The company **did not repurchase any common shares** for treasury during 2020[123](index=123&type=chunk) [Selected Financial Data](index=18&type=section&id=Item%206%2E%20Selected%20Financial%20Data) The company experienced a significant financial decline from 2018 to 2020, with revenue falling to **$21.4 million** and a net loss of **$3.9 million** in 2020, reversing prior year profits Selected Financial Data (2016-2020, in thousands, except per share data) | | 2020 | 2019 | 2018 | 2017 | 2016 | | :--- | :--- | :--- | :--- | :--- | :--- | | Revenue | $21,360 | $37,678 | $42,674 | $39,701 | $38,980 | | Gross profit | $4,886 | $16,444 | $20,618 | $19,822 | $21,450 | | (Loss) income from operations | $(6,066) | $2,998 | $7,610 | $8,157 | $10,110 | | Net (loss) income | $(3,859) | $1,542 | $4,584 | $6,121 | $6,678 | | Total assets | $24,003 | $27,531 | $24,974 | $26,508 | $25,032 | | Shareholders' equity | $12,512 | $16,820 | $18,747 | $18,620 | $15,607 | | Diluted net (loss) income per share | $(0.70) | $0.28 | $0.83 | $1.10 | $1.22 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=19&type=section&id=Item%207%2E%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the **significant 2020 financial decline** to COVID-19, resulting in **$21.4 million revenue** (43% decrease) and a **$3.9 million net loss**, with liquidity supported by cash and a PPP loan [Results of Operations](index=20&type=section&id=Results%20of%20Operations) In 2020, revenue decreased **43% to $21.4 million** due to a **56% volume drop**, leading to a **70% decline in gross profit** and a **$6.1 million operating loss**, exacerbated by an **82% fall in international revenue** Revenue by Geographic Region (in thousands) | Region | 2020 | 2019 | 2018 | | :--- | :--- | :--- | :--- | | United States | $19,486 | $27,329 | $29,189 | | Brazil | $1,344 | $9,819 | $13,046 | | Other | $530 | $530 | $439 | | **Total Revenue** | **$21,360** | **$37,678** | **$42,674** | Year-over-Year Comparison: 2020 vs. 2019 (in thousands) | Metric | 2020 | 2019 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Revenues | $21,360 | $37,678 | $(16,318) | -43% | | Gross profit | $4,886 | $16,444 | $(11,558) | -70% | | Operating (loss) income | $(6,066) | $2,998 | $(9,064) | -302% | | Net (loss) income | $(3,859) | $1,542 | $(5,401) | -350% | - The **43% revenue decline in 2020** was driven by a **56% decrease in volume**, with international revenue falling **82%** and domestic revenue **29%**, primarily due to the COVID-19 pandemic[137](index=137&type=chunk) [Liquidity and Capital Resources](index=21&type=section&id=Liquidity%20and%20Capital%20Resources) Cash and cash equivalents decreased to **$2.8 million** by year-end 2020, with operating activities using **$4.1 million** in cash, while financing activities provided **$0.5 million**, largely from a **$2.2 million PPP loan** Summary of Cash Flows (in millions) | Cash Flow Activity | 2020 | 2019 | 2018 | | :--- | :--- | :--- | :--- | | Net Cash (Used in) Provided by Operating Activities | $(4.1) | $4.3 | $7.9 | | Net Cash (Used in) Provided by Investing Activities | $(0.9) | $2.1 | $(5.4) | | Net Cash Provided by (Used in) Financing Activities | $0.5 | $(3.0) | $(5.6) | - On May 4, 2020, the company borrowed approximately **$2.2 million** under the Paycheck Protection Program (PPP), with a forgiveness application submitted on November 6, 2020[155](index=155&type=chunk)[156](index=156&type=chunk) - The Board of Directors **suspended the quarterly dividend payment** after Q1 2020 to prioritize liquidity and strengthen the balance sheet[153](index=153&type=chunk) [Critical Accounting Policies](index=22&type=section&id=Critical%20Accounting%20Policies) Management identifies critical accounting policies including **Revenue Recognition** (at point of service), **Estimates** (bad debts, asset lives), **Capitalized Development Costs** (internal-use software), **Allowance for Doubtful Accounts**, and **Income Taxes** - Revenue from drug testing services is recognized at a point in time when the **test is performed and results are reported** to the customer[158](index=158&type=chunk) - The company capitalizes costs for internal-use software application development, amortizing them over **5 years**, with **$213 thousand capitalized in 2020**[162](index=162&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=23&type=section&id=Item%207A%2E%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Not required [Financial Statements and Supplementary Data](index=24&type=section&id=Item%208%2E%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements for 2018-2020, including the unqualified auditor's report from BDO USA, LLP, noting the adoption of ASC 842 for leases in 2019 - The independent auditor, BDO USA, LLP, issued an **unqualified opinion**, affirming the fair presentation of the company's financial position in all material respects[173](index=173&type=chunk) - The company adopted the new lease accounting standard (**ASC 842**) on January 1, 2019, recognizing right-of-use assets and lease liabilities on the balance sheet[174](index=174&type=chunk)[230](index=230&type=chunk) Disaggregated Revenue by Source (in thousands) | Revenue Source | 2020 | 2019 | 2018 | | :--- | :--- | :--- | :--- | | Testing | $19,068 | $34,555 | $39,174 | | Shipping / Collection (hair) | $2,174 | $2,876 | $3,159 | | Other | $118 | $247 | $341 | | **Total Revenue** | **$21,360** | **$37,678** | **$42,674** | Selected Quarterly Financial Data - 2020 (in thousands) | Quarter Ended - 2020 | Revenues | Gross profit | Net loss | Diluted net loss per share | | :--- | :--- | :--- | :--- | :--- | | MAR 31 | $7,537 | $2,728 | $(159) | $(0.03) | | JUN 30 | $3,314 | $(252) | $(2,050) | $(0.37) | | SEP 30 | $5,174 | $1,133 | $(1,107) | $(0.20) | | DEC 31 | $5,335 | $1,277 | $(543) | $(0.10) | [Changes in and Disagreements With Accountants on Accounting and Financial Disclosure](index=44&type=section&id=Item%209%2E%20Changes%20in%20and%20Disagreements%20With%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) None [Controls and Procedures](index=44&type=section&id=Item%209A%2E%20Controls%20and%20Procedures) As of December 31, 2020, management concluded that both disclosure controls and internal control over financial reporting were effective, with no material changes during the recent fiscal quarter - Management concluded that the company's **disclosure controls and procedures were effective** as of December 31, 2020[275](index=275&type=chunk) - Based on the COSO 2013 framework, management concluded that the company's **internal control over financial reporting was effective** as of December 31, 2020[278](index=278&type=chunk) [Other Information](index=45&type=section&id=Item%209B%2E%20Other%20Information) None Part III This section covers directors, executive officers, corporate governance, compensation, security ownership, and accountant fees, with most details incorporated by reference from the 2021 proxy statement [Directors, Executive Officers and Corporate Governance](index=45&type=section&id=Item%2010%2E%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) This item lists executive officers and directors as of March 26, 2021, including Raymond C. Kubacki as Chairman, CEO, and President, along with their biographies and the company's code of ethics Executive Officers and Directors | Name | Age | Position | | :--- | :--- | :--- | | Raymond C. Kubacki | 76 | Chairman, Chief Executive Officer, President, Director | | Charles Doucot | 55 | Executive Vice President | | Andrew Limbek | 35 | Vice President, Controller | | Michael I. Schaffer, Ph.D. | 76 | Vice President, Laboratory Operations | | Harry Connick | 95 | Director | | Walter S. Tomenson, Jr. | 74 | Director | | Robyn C. Davis | 59 | Director | | Fred J. Weinert | 73 | Director, Lead Independent Director | [Executive Compensation](index=46&type=section&id=Item%2011%2E%20Executive%20Compensation) The information required by this item is incorporated by reference from the company's proxy statement for the 2021 Annual Meeting of Stockholders [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=46&type=section&id=Item%2012%2E%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) The information required by this item is incorporated by reference from the company's proxy statement for the 2021 Annual Meeting of Stockholders [Certain Relationships and Related Transactions, and Director Independence](index=46&type=section&id=Item%2013%2E%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) The information required by this item is incorporated by reference from the company's proxy statement for the 2021 Annual Meeting of Stockholders [Principal Accountant Fees and Services](index=46&type=section&id=Item%2014%2E%20Principal%20Accountant%20Fees%20and%20Services) The information required by this item is incorporated by reference from the company's proxy statement for the 2021 Annual Meeting of Stockholders Part IV [Exhibits, Financial Statement Schedules](index=46&type=section&id=Item%2015%2E%20Exhibits%2C%20Financial%20Statement%20Schedules) This section refers to financial statements in Part II, Item 8, and directs to the Exhibit Index for a list of all filed exhibits [Form 10-K Summary](index=46&type=section&id=Item%2016%2E%20Form%2010-K%20Summary) None