2017 Q2 Form 10-Q Financial Statement

#000071913517000029 Filed on August 03, 2017

View on sec.gov

Income Statement

Concept 2017 Q2 2016 Q2
Revenue $2.311M $9.295M
YoY Change -75.14% 27.78%
Cost Of Revenue $4.757M $4.595M
YoY Change 3.53% 11.26%
Gross Profit $1.572M $4.700M
YoY Change -66.55% 49.68%
Gross Profit Margin 68.02% 50.56%
Selling, General & Admin $2.929M $2.022M
YoY Change 44.86% -51.63%
% of Gross Profit 186.32% 43.02%
Research & Development $696.0K $592.0K
YoY Change 17.57% 16.08%
% of Gross Profit 44.27% 12.6%
Depreciation & Amortization $178.0K $173.0K
YoY Change 2.89% -24.78%
% of Gross Profit 11.32% 3.68%
Operating Expenses $6.348M $5.210M
YoY Change 21.84% 11.09%
Operating Profit -$1.306M -$510.0K
YoY Change 156.08% -67.1%
Interest Expense $0.00 -$10.00K
YoY Change -100.0% -120.0%
% of Operating Profit
Other Income/Expense, Net $2.000K -$9.000K
YoY Change -122.22%
Pretax Income -$1.304M -$519.0K
YoY Change 151.25% -65.4%
Income Tax $4.000K $0.00
% Of Pretax Income
Net Earnings -$1.308M -$519.0K
YoY Change 152.02% -65.4%
Net Earnings / Revenue -56.6% -5.58%
Basic Earnings Per Share -$130.00 -$0.02
Diluted Earnings Per Share -$0.04 -$0.02
COMMON SHARES
Basic Shares Outstanding 30.86M shares 27.05M shares
Diluted Shares Outstanding 30.86M shares 27.05M shares

Balance Sheet

Concept 2017 Q2 2016 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $10.30M $9.300M
YoY Change 10.75% -34.04%
Cash & Equivalents $10.29M $9.324M
Short-Term Investments
Other Short-Term Assets $1.300M $1.300M
YoY Change 0.0% -38.1%
Inventory $7.582M $6.400M
Prepaid Expenses
Receivables $4.929M $3.500M
Other Receivables $0.00 $0.00
Total Short-Term Assets $24.12M $20.60M
YoY Change 17.09% -15.92%
LONG-TERM ASSETS
Property, Plant & Equipment $6.240M $6.500M
YoY Change -4.0% -7.14%
Goodwill $185.0K
YoY Change
Intangibles $1.510M
YoY Change
Long-Term Investments
YoY Change
Other Assets $218.0K $500.0K
YoY Change -56.4% -28.57%
Total Long-Term Assets $8.436M $9.000M
YoY Change -6.27% -6.25%
TOTAL ASSETS
Total Short-Term Assets $24.12M $20.60M
Total Long-Term Assets $8.436M $9.000M
Total Assets $32.56M $29.60M
YoY Change 9.99% -13.2%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $2.077M $1.800M
YoY Change 15.39% 5.88%
Accrued Expenses $2.511M $2.600M
YoY Change -3.42% 36.84%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due $239.0K $200.0K
YoY Change 19.5% 0.0%
Total Short-Term Liabilities $5.618M $4.600M
YoY Change 22.13% 17.95%
LONG-TERM LIABILITIES
Long-Term Debt $2.575M $3.000M
YoY Change -14.17% -3.23%
Other Long-Term Liabilities $100.0K $200.0K
YoY Change -50.0% -66.67%
Total Long-Term Liabilities $2.575M $3.200M
YoY Change -19.53% -13.51%
TOTAL LIABILITIES
Total Short-Term Liabilities $5.618M $4.600M
Total Long-Term Liabilities $2.575M $3.200M
Total Liabilities $8.985M $8.300M
YoY Change 8.25% 3.75%
SHAREHOLDERS EQUITY
Retained Earnings -$26.43M
YoY Change
Common Stock $31.00K
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $23.57M $21.30M
YoY Change
Total Liabilities & Shareholders Equity $32.56M $29.60M
YoY Change 9.99% -13.2%

Cashflow Statement

Concept 2017 Q2 2016 Q2
OPERATING ACTIVITIES
Net Income -$1.308M -$519.0K
YoY Change 152.02% -65.4%
Depreciation, Depletion And Amortization $178.0K $173.0K
YoY Change 2.89% -24.78%
Cash From Operating Activities -$1.070M -$110.0K
YoY Change 872.73% -95.28%
INVESTING ACTIVITIES
Capital Expenditures -$80.00K -$20.00K
YoY Change 300.0% -90.48%
Acquisitions
YoY Change
Other Investing Activities
YoY Change
Cash From Investing Activities -$80.00K -$20.00K
YoY Change 300.0% -90.48%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -60.00K 0.000
YoY Change -100.0%
NET CHANGE
Cash From Operating Activities -1.070M -110.0K
Cash From Investing Activities -80.00K -20.00K
Cash From Financing Activities -60.00K 0.000
Net Change In Cash -1.210M -130.0K
YoY Change 830.77% -90.08%
FREE CASH FLOW
Cash From Operating Activities -$1.070M -$110.0K
Capital Expenditures -$80.00K -$20.00K
Free Cash Flow -$990.0K -$90.00K
YoY Change 1000.0% -95.75%

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103000 USD
CY2017Q2 us-gaap Other Assets Noncurrent
OtherAssetsNoncurrent
218000 USD
CY2016Q2 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
-9000 USD
us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
40000 USD
CY2017Q2 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
2000 USD
us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
59000 USD
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
41000 USD
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
151000 USD
CY2016Q4 us-gaap Preferred Stock Value
PreferredStockValue
1000 USD
CY2017Q2 us-gaap Preferred Stock Value
PreferredStockValue
1000 USD
CY2016Q4 us-gaap Prepaid Expense And Other Assets Current
PrepaidExpenseAndOtherAssetsCurrent
413000 USD
CY2017Q2 us-gaap Prepaid Expense And Other Assets Current
PrepaidExpenseAndOtherAssetsCurrent
538000 USD
us-gaap Proceeds From Repayments Of Long Term Debt And Capital Securities
ProceedsFromRepaymentsOfLongTermDebtAndCapitalSecurities
-120000 USD
us-gaap Proceeds From Repayments Of Long Term Debt And Capital Securities
ProceedsFromRepaymentsOfLongTermDebtAndCapitalSecurities
-119000 USD
CY2016Q2 us-gaap Professional Fees
ProfessionalFees
396000 USD
us-gaap Professional Fees
ProfessionalFees
753000 USD
CY2017Q2 us-gaap Professional Fees
ProfessionalFees
480000 USD
us-gaap Professional Fees
ProfessionalFees
870000 USD
CY2016Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
6449000 USD
CY2017Q2 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
6240000 USD
us-gaap Provision For Doubtful Accounts
ProvisionForDoubtfulAccounts
159000 USD
CY2017Q2 us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
696000 USD
us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
1405000 USD
CY2017Q2 us-gaap Purchase Obligation
PurchaseObligation
4000000 USD
CY2016Q2 us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
592000 USD
us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
1259000 USD
CY2016Q4 us-gaap Restricted Cash And Cash Equivalents
RestrictedCashAndCashEquivalents
779000 USD
CY2017Q2 us-gaap Restricted Cash And Cash Equivalents
RestrictedCashAndCashEquivalents
779000 USD
CY2016Q4 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-23434000 USD
CY2017Q2 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-26427000 USD
CY2016Q2 us-gaap Salaries And Wages
SalariesAndWages
2200000 USD
us-gaap Salaries And Wages
SalariesAndWages
4300000 USD
CY2017Q2 us-gaap Salaries And Wages
SalariesAndWages
2243000 USD
us-gaap Salaries And Wages
SalariesAndWages
4703000 USD
CY2016Q2 us-gaap Sales Revenue Net
SalesRevenueNet
9295000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
17070000 USD
CY2017Q2 us-gaap Sales Revenue Net
SalesRevenueNet
9799000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
18188000 USD
CY2016Q2 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
2022000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
4213000 USD
CY2017Q2 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
2929000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
5333000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
360000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
341000 USD
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Volatility Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate
0.680
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate
0.015
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures And Expirations In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresAndExpirationsInPeriod
203803 shares
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures And Expirations In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresAndExpirationsInPeriodWeightedAverageExercisePrice
4.84
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
505000 shares
CY2016Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
3752209 shares
CY2017Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
4053406 shares
CY2016Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
3.04
CY2017Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
2.98
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice
3.32
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1
P6Y
CY2015Q4 us-gaap Stockholders Equity
StockholdersEquity
23404000 USD
CY2016Q2 us-gaap Stockholders Equity
StockholdersEquity
21301000 USD
CY2016Q4 us-gaap Stockholders Equity
StockholdersEquity
26223000 USD
CY2017Q2 us-gaap Stockholders Equity
StockholdersEquity
23571000 USD
CY2016Q2 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
41000 USD
us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
128000 USD
CY2017Q2 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
38000 USD
us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
126000 USD
CY2016Q2 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
27051000 shares
us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
27051000 shares
CY2017Q2 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
30860000 shares
us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
30860000 shares
CY2016Q2 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
27051000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
27051000 shares
CY2017Q2 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
30860000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
30860000 shares
CY2016Q2 us-gaap Weighted Average Number Of Shares Issued Basic
WeightedAverageNumberOfSharesIssuedBasic
27051000 shares
us-gaap Weighted Average Number Of Shares Issued Basic
WeightedAverageNumberOfSharesIssuedBasic
27051000 shares
CY2017Q2 us-gaap Weighted Average Number Of Shares Issued Basic
WeightedAverageNumberOfSharesIssuedBasic
30860000 shares
us-gaap Weighted Average Number Of Shares Issued Basic
WeightedAverageNumberOfSharesIssuedBasic
30860000 shares
CY2016Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
27051000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
27051000 shares
CY2017Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
30860000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
30860000 shares
us-gaap Description Of New Accounting Pronouncements Not Yet Adopted
DescriptionOfNewAccountingPronouncementsNotYetAdopted
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">RECENT ACCOUNTING PRONOUNCEMENTS</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In January 2017, the Financial Accounting Standards Board (&#8220;FASB&#8221;) issued Accounting Standards Update (&#8220;ASU&#8221;) 2017-04, </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Intangibles-Goodwill and Other</font><font style="font-family:inherit;font-size:10pt;"> (Topic 350): </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Simplifying the Test for Goodwill Impairment</font><font style="font-family:inherit;font-size:10pt;">. The purpose of this ASU is to reduce the cost and complexity of evaluating goodwill for impairment. It eliminates the need for entities to calculate the implied fair value of goodwill by assigning the fair value of a reporting unit to all of its assets and liabilities as if that reporting unit had been acquired in a business combination. Under this ASU, an entity will perform its goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An impairment charge is recognized for the amount by which the carrying value exceeds the reporting unit's fair value. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted, however we have chosen not to do so. The amendment is not expected to have a material impact on our financial condition or results of operations.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In August 2016, the FASB issued ASU 2016-15, </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Classification of Certain Cash Receipts and Cash Payments</font><font style="font-family:inherit;font-size:10pt;">. The new guidance clarifies the classification of certain cash receipts and cash payments in the statement of cash flows, including debt prepayment or extinguishment costs, settlement of contingent consideration arising from a business combination, insurance settlement proceeds, and distributions from certain equity method investees. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. Early adoption is permitted, however we have chosen not to do so. The amendment is not expected to have a material impact on our financial condition or results of operations.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In March 2016, FASB issued ASU No. 2016-09</font><font style="font-family:inherit;font-size:10pt;font-style:italic;"> Compensation-Stock Compensation - (Topic 718)</font><font style="font-family:inherit;font-size:10pt;"> Improvements to employee share-based payments accounting as part of simplicity initiatives. This update involves several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. Some of the areas for simplification apply only to nonpublic entities. For us, the amendments in this Update are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. The amendment has not made a material impact on our financial condition or results of operations.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In February 2016, FASB issued ASU No. 2016-02, </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Leases (Topic 842)</font><font style="font-family:inherit;font-size:10pt;">. The core principle of Topic 842 is that a lessee should recognize the assets and liabilities that arise from leases. ASU 2016-02 is effective for public companies for annual reporting periods beginning after December 15, 2018, and interim periods within those fiscal years. The guidance may be adopted prospectively or retrospectively and early adoption is permitted. The Company is currently assessing the impact the adoption of ASU 2016-02 will have on its consolidated financial statements.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In May 2014, the FASB issued ASU No. 2014-09, </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Revenue from Contracts with Customers</font><font style="font-family:inherit;font-size:10pt;">, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU No. 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for us on January 1, 2018. Early adoption is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The amendment is not expected to have a material impact on our financial condition or results of operations.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">No other new accounting pronouncement issued or effective during the fiscal year had or is expected to have a material impact on our consolidated financial statements or disclosures.</font></div></div>

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