Annual report pursuant to Section 13 and 15(d)

Entity Level Information

v3.22.1
Entity Level Information
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Entity Level Information

NOTE 13 —Entity Level Information

Segment Information—The Company operates in one reporting segment.

Operating segments are defined as components of an enterprise about which separate financial information is evaluated regularly by the chief operating decision maker, who is the chief operating officer, in deciding how to allocate resources and assessing performance. The Company’s chief operating decision maker allocates resources and assesses performance based upon discrete financial information at the consolidated level.

The following table summarizes the revenue by region based on ship-to destinations for the periods ended:

 

 

 

For the Years Ended

 

 

 

December 31

 

 

 

2021

 

 

2020

 

U.S.

 

$

42,356

 

 

$

46,107

 

Canada and Latin America

 

 

9,401

 

 

 

14,228

 

Europe and Middle East

 

 

1,142

 

 

 

1,978

 

Asia Pacific

 

 

1,671

 

 

 

1,679

 

 

 

$

54,570

 

 

$

63,992

 

 

Long-lived assets located in the United States and Asia Pacific region were $2,370 and $3,040, and $534 and $782 as of December 31, 2021 and 2020, respectively.

The composition of revenues is as follows:

 

 

 

For the Years Ended

 

 

 

December 31

 

 

 

2021

 

 

2020

 

Product Sales

 

$

54,476

 

 

$

63,627

 

Services

 

 

94

 

 

 

365

 

Total revenues

 

$

54,570

 

 

$

63,992

 

 

Concentrations of Credit Risk—The Company’s product revenues are concentrated in the technology industry, which is highly competitive and rapidly changing. Significant technological changes in the industry or customer requirements, or the emergence of competitive products with new capabilities or technologies, could adversely affect the Company’s consolidated operating results. Financial instruments that potentially subject the Company to credit risk consist primarily of cash and cash equivalents and accounts receivable. Cash and cash equivalents are deposited with high-quality, federally insured commercial banks in the United States and cash balances are in excess of federal insurance limits at December 31, 2021 and 2020. The Company generally does not require collateral or other security in support of accounts receivable. To reduce credit risk, management performs ongoing credit evaluations of its customers’ financial condition. The Company analyzes the need for reserves for potential credit losses and records allowances for doubtful accounts when necessary. The Company had allowances for such losses totaling approximately $932 and $65 at December 31, 2021 and 2020, respectively.

Receivables from one customer approximated 70% of total accounts receivable at December 31, 2021 and two customers approximated 26% and 10% of total accounts receivable at December 31, 2020.                          

Revenue from certain customers in 2021 and 2020 accounted for approximately the following percentage of total revenues:

 

 

 

For the Years Ended

December 31,

 

 

 

2021

 

 

2020

 

Customer A

 

 

23

%

 

15

%

Customer B

 

 

23

%

 

 

40

%

Customer C

 

 

22

%

 

 

10

%

Customer D

 

8

%

 

 

11

%

Total

 

 

76

%

 

 

76

%