Segment Reporting

3 Months Ended

Mar. 31, 2021

Segment Reporting [Abstract]

Segment Reporting

Note 15 – Segment Reporting

The Company has defined three reportable segments: Water Filtration, Pathogen Detection and Renal Products. The Water Filtration segment primarily develops and sells high performance water purification filters. The Pathogen Detection segment develops and sells portable, real-time water testing systems designed to provide actionable data on waterborne pathogens in approximately one hour. The Renal Products segment is focused on the development of medical device products for patients with renal disease, including a 2^nd generation hemodiafiltration system for the treatment of patients with ESRD.

The Company’s chief operating decision maker evaluates the financial performance of the Company’s segments based upon segment revenues, gross margin and operating expenses which include research and development and selling, general and administrative expenses. Items below loss from operations are not reported by segment, since they are excluded from the measure of segment profitability reviewed by the Company’s chief operating decision maker. The Company does not report balance sheet information by segment since such information is not reviewed by the Company’s chief operating decision maker.

The accounting policies for the Company’s segments are the same as those described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020.

The tables below present segment information reconciled to total Company loss from operations, with segment operating loss including gross profit less direct research and development expenses and direct selling, general and administrative expenses to the extent specifically identified by segment:

	Three Months Ended March 31, 2021
	(in thousands)
	Water Filtration			Pathogen Detection			Renal Products			Nephros, Inc. Consolidated
Total net revenues	$	2,736		$	-		$	-		$	2,736
Gross margin		1,587			-			-			1,587
Research and development expenses		294			119			143			556
Depreciation and amortization expense		50			-			-			50
Selling, general and administrative expenses		1,876			101			22			1,999
Change in fair value of contingent consideration		-			-			-			-
Total operating expenses		2,220			220			165			2,605
Loss from operations	$	(633	)	$	(220	)	$	(165	)	$	(1,018	)

	Three Months Ended March 31, 2020
	(in thousands)
	Water Filtration			Pathogen Detection			Renal Products			Nephros, Inc. Consolidated
Total net revenues	$	2,511		$	18		$	-		$	2,529
Gross margin		1,480			11			-			1,491
Research and development expenses		310			52			201			563
Depreciation and amortization expense		46			-			-			46
Selling, general and administrative expenses		1,715			125			110			1,950
Change in fair value of contingent consideration		(42	)		-			-			(42	)
Total operating expenses		2,029			177			311			2,517
Loss from operations	$	(549	)	$	(166	)	$	(311	)	$	(1,026	)