SEGMENT REPORTING

12 Months Ended

Dec. 31, 2013

Notes to Financial Statements

SEGMENT REPORTING

10. SEGMENT REPORTING

The Company is comprised of two reportable segments, Core Companion Animal Health ("CCA") and Other Vaccines, Pharmaceuticals and Products ("OVP"). The Core Companion Animal Health segment includes diagnostic instruments and supplies, as well as single use diagnostic and other tests, pharmaceuticals and vaccines, primarily for canine and feline use. The CCA segment also includes digital radiography and ultrasound products along with embedded software and support, data hosting and other services from Heska Imaging after February 24, 2013. These products are sold directly by the Company as well as through independent third-party distributors and through other distribution relationships. CCA segment products manufactured at the Des Moines, Iowa production facility included in the OVP segment's assets are transferred at cost and are not recorded as revenue for the OVP segment. The Other Vaccines, Pharmaceuticals and Products segment includes private label vaccine and pharmaceutical production, primarily for cattle, but also for other animals including small mammals and fish. All OVP products are sold by third parties under third-party labels.

Summarized financial information concerning the Company's reportable segments is shown in the following table (in thousands):

	Core Companion Animal Health		Other Vaccines, Pharmaceuticals and Products		Total
2011:
Total revenue	$	57,481	$	12,584		$	70,065
Operating income		1,564		1,685			3,249
Interest expense		107		17			124
Total assets		51,172		10,722			61,894
Net assets		40,435		8,004			48,439
Capital expenditures		495		589			1,084
Depreciation and amortization		1,192		860			2,052

	Core Companion Animal Health		Other Vaccines, Pharmaceuticals and Products		Total
2012:
Total revenue	$	61,502	$	11,303		$	72,805
Operating income		1,160		998			2,158
Interest expense		91		26			117
Total assets		55,071		11,755			66,826
Net assets		39,726		9,136			48,862
Capital expenditures		634		875			1,509
Depreciation and amortization		862		837			1,699

	Core Companion Animal Health			Other Vaccines, Pharmaceuticals and Products		Total
2013:
Total revenue	$	66,404		$	11,935		$	78,339
Operating income (loss)		(2,295	)		865			(1,430	)
Interest expense		45			29			74
Total assets		81,041			12,512			93,553
Net assets		37,732			9,384			47,116
Capital expenditures		512			1,418			1,930
Depreciation and amortization		1,691			806			2,497

Total revenue by principal geographic area was as follows (in thousands):

	For the Years Ended December 31,
	2011		2012		2013
United States	$	60,383	$	64,552	$	71,713
Europe		3,408		2,996		2,738
Other International		6,274		5,257		3,888
Total	$	70,065	$	72,805	$	78,339

Total assets by principal geographic areas were as follows (in thousands):

	December 31,
	2011		2012		2013
United States	$	58,984	$	63,980	$	90,572
Europe		2,910		2,846		2,981
Other International		—		—		—
Total	$	61,894	$	66,826	$	93,553