Quarterly report pursuant to Section 13 or 15(d)

Note 3 - Segment Financial Information

v3.22.2.2
Note 3 - Segment Financial Information
 9 Months Ended
Sep. 30, 2022
Notes to Financial Statements  
Segment Reporting Disclosure [Text Block]

Note 3.  Segment Financial Information

 

In periods earlier than the quarter ended September 30, 2022, we managed our business as a single operating segment. During the quarter ended September 2022, we reassessed our business strategy and our CODM changed his approach to managing the business and allocating resources. As a result, we determined that we have two operating segments: Tellenger and Blockchain SCM. Tellenger provides professional services, primarily to US government agencies, related to legacy software migration and modernization, developing web-based and mobile device solutions, including dynamic electronic forms development and conversion, and data analytics. The Blockchain SCM segment is an early-stage business focused on developing, marketing, and selling a SaaS supply chain management platform built on blockchain technology.

 

No separate revenues and operating income for the Blockchain SCM operating segment are presented for the three- and nine-month periods ended September 30, 2021, since we did not own this SCM business during such prior periods.

 

 

Three Months Ended 9/30/22

    

Nine Months Ended 9/30/22

  
   

Tellenger

  

Blockchain
SCM

    

Corporate

    

Consolidated

      

Tellenger

  

Blockchain
SCM

    

Corporate

    

Consolidated

  

Revenue

$

2,306,379

$

 -   

  

$

 -   

  

$

2,306,379

    

$

9,052,411

$

566,862

  

$

 -   

  

$

9,619,273

  

Operating income (loss)

$

250,712

$

 (3,292,257

 )

$

 (1,696,317

 )

$

 (4,737,862

 )  

$

661,394

$

 (4,124,511

 )

$

 (5,784,490

 )

$

 (9,247,607

 )
Interest expense                   (20,437 )                     (59,574 )
Other income, net                   3,188                       3,977  
Loss before provision for income taxes                 $ (4,755,111 )                   $ (9,303,204 )

 

Corporate operating loss primarily includes stock-based compensation expenses, acquisition-related costs, and other expenses related to executive, legal, finance, tax, and investor relations expenses.

 

 

As of September 30, 2022
   

Tellenger

  

Blockchain SCM

  

Corporate

  

Consolidated
Intangible assets $ 1,225,844 $ 5,773,445 $ - $ 6,999,289

Total assets

$

6,858,228

$

7,137,786

$

2,611,677

$

16,607,691