2018 Q3 Form 10-Q Financial Statement

#000166607118000010 Filed on August 14, 2018

View on sec.gov

Income Statement

Concept 2018 Q3 2018 Q2 2017 Q2
Revenue $34.58M $35.57M $32.81M
YoY Change 10.11% 8.41% 26.74%
Cost Of Revenue $17.98M $19.75M $19.68M
YoY Change 23.74% 0.36% 25.03%
Gross Profit $16.60M $15.82M $13.13M
YoY Change -1.66% 20.49% 29.36%
Gross Profit Margin 48.0% 44.48% 40.02%
Selling, General & Admin $17.38M $19.23M $12.69M
YoY Change 27.98% 51.47% -19.61%
% of Gross Profit 104.68% 121.53% 96.67%
Research & Development $4.097M $4.888M $3.093M
YoY Change 19.76% 58.03% -18.39%
% of Gross Profit 24.68% 30.9% 23.56%
Depreciation & Amortization $780.0K $780.0K $760.0K
YoY Change 1.3% 2.63% -5.0%
% of Gross Profit 4.7% 4.93% 5.79%
Operating Expenses $21.47M $24.11M $15.79M
YoY Change 26.33% 52.76% -53.6%
Operating Profit -$8.658M -$11.63M -$5.317M
YoY Change 241.0% 118.81% -77.73%
Interest Expense $290.0K $620.0K $4.090M
YoY Change 314.29% -84.84% -156.96%
% of Operating Profit
Other Income/Expense, Net $290.0K -$1.419M $4.669M
YoY Change 346.15% -130.39% -905.0%
Pretax Income -$8.368M -$13.05M -$648.0K
YoY Change 238.24% 1914.35% -97.95%
Income Tax $0.00 $0.00 $0.00
% Of Pretax Income
Net Earnings -$8.368M -$13.05M -$648.0K
YoY Change 238.24% 1914.35% -97.95%
Net Earnings / Revenue -24.2% -36.7% -1.97%
Basic Earnings Per Share -$0.64 -$1.69
Diluted Earnings Per Share -$399.1K -$0.64 -$3.48
COMMON SHARES
Basic Shares Outstanding 21.30M shares 20.30M shares 3.221M shares
Diluted Shares Outstanding 20.30M shares 3.875M shares

Balance Sheet

Concept 2018 Q3 2018 Q2 2017 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $47.80M $50.50M $40.30M
YoY Change 69.5% 25.31%
Cash & Equivalents $47.81M $50.47M $40.34M
Short-Term Investments
Other Short-Term Assets $23.70M $23.40M $1.900M
YoY Change 848.0% 1131.58%
Inventory
Prepaid Expenses
Receivables $36.82M $40.49M $35.40M
Other Receivables $3.530M $3.073M $2.200M
Total Short-Term Assets $111.9M $117.5M $79.90M
YoY Change 57.09% 47.01%
LONG-TERM ASSETS
Property, Plant & Equipment $9.273M $7.829M $7.500M
YoY Change 30.61% 4.39%
Goodwill
YoY Change
Intangibles $365.0K $366.0K
YoY Change
Long-Term Investments
YoY Change
Other Assets $1.104M $1.097M $11.70M
YoY Change -92.39% -90.62%
Total Long-Term Assets $26.22M $22.79M $19.60M
YoY Change 18.12% 16.26%
TOTAL ASSETS
Total Short-Term Assets $111.9M $117.5M $79.90M
Total Long-Term Assets $26.22M $22.79M $19.60M
Total Assets $138.1M $140.2M $99.50M
YoY Change 47.83% 40.95%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $2.437M $918.0K $3.300M
YoY Change 35.39% -72.18%
Accrued Expenses $3.537M $4.510M $6.200M
YoY Change -54.06% -27.26%
Deferred Revenue $250.0K $174.0K
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $21.00K $22.00K $100.0K
YoY Change -79.0% -78.0%
Total Short-Term Liabilities $36.75M $52.55M $38.00M
YoY Change 10.35% 38.28%
LONG-TERM LIABILITIES
Long-Term Debt $46.79M $47.50M $65.40M
YoY Change -28.56% -27.38%
Other Long-Term Liabilities
YoY Change
Total Long-Term Liabilities $86.85M $50.93M $65.40M
YoY Change 32.59% -22.12%
TOTAL LIABILITIES
Total Short-Term Liabilities $36.75M $52.55M $38.00M
Total Long-Term Liabilities $86.85M $50.93M $65.40M
Total Liabilities $123.6M $103.5M $107.3M
YoY Change 20.46% -3.56%
SHAREHOLDERS EQUITY
Retained Earnings -$309.9M -$301.6M
YoY Change
Common Stock $359.5M $336.9M
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $51.23M $36.77M -$203.6M
YoY Change
Total Liabilities & Shareholders Equity $138.1M $140.2M $99.50M
YoY Change 47.83% 40.95%

Cashflow Statement

Concept 2018 Q3 2018 Q2 2017 Q2
OPERATING ACTIVITIES
Net Income -$8.368M -$13.05M -$648.0K
YoY Change 238.24% 1914.35% -97.95%
Depreciation, Depletion And Amortization $780.0K $780.0K $760.0K
YoY Change 1.3% 2.63% -5.0%
Cash From Operating Activities -$1.510M -$12.70M -$300.0K
YoY Change -85.55% 4133.33% -97.01%
INVESTING ACTIVITIES
Capital Expenditures -$2.030M -$1.370M -$110.0K
YoY Change 244.07% 1145.45% -83.08%
Acquisitions
YoY Change
Other Investing Activities
YoY Change
Cash From Investing Activities -$2.030M -$1.370M -$110.0K
YoY Change 244.07% 1145.45% -83.08%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 930.0K -5.020M 16.25M
YoY Change -178.15% -130.89% -14.2%
NET CHANGE
Cash From Operating Activities -1.510M -12.70M -300.0K
Cash From Investing Activities -2.030M -1.370M -110.0K
Cash From Financing Activities 930.0K -5.020M 16.25M
Net Change In Cash -2.610M -19.09M 15.84M
YoY Change -78.66% -220.52% 92.0%
FREE CASH FLOW
Cash From Operating Activities -$1.510M -$12.70M -$300.0K
Capital Expenditures -$2.030M -$1.370M -$110.0K
Free Cash Flow $520.0K -$11.33M -$190.0K
YoY Change -105.27% 5863.16% -97.98%

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us-gaap Costs And Expenses
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us-gaap Costs And Expenses
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0 USD
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CY2017Q2 us-gaap Deferred Costs
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28000 USD
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3670000 USD
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3437000 USD
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767000 USD
us-gaap Depreciation And Amortization
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1532000 USD
CY2018Q2 us-gaap Depreciation And Amortization
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784000 USD
us-gaap Depreciation And Amortization
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1694000 USD
us-gaap Depreciation Depletion And Amortization
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1532000 USD
us-gaap Depreciation Depletion And Amortization
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1694000 USD
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us-gaap Dilutive Securities
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0 USD
CY2018Q2 us-gaap Dilutive Securities
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us-gaap Dilutive Securities
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us-gaap Earnings Per Share Basic
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us-gaap Earnings Per Share Diluted
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us-gaap Earnings Per Share Diluted
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176000 USD
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4305000 USD
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9000000 USD
CY2017Q2 us-gaap Fair Value Adjustment Of Warrants
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us-gaap Fair Value Adjustment Of Warrants
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1793000 USD
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us-gaap Fair Value Adjustment Of Warrants
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us-gaap General And Administrative Expense
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us-gaap General And Administrative Expense
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15561000 USD
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us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
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us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
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CY2018Q2 us-gaap Income Tax Expense Benefit
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us-gaap Income Tax Expense Benefit
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us-gaap Increase Decrease In Accrued Liabilities
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us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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370000 USD
us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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us-gaap Interest Paid
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us-gaap Interest Paid
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us-gaap Net Income Loss Available To Common Stockholders Diluted
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us-gaap Net Income Loss Available To Common Stockholders Diluted
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us-gaap Nonoperating Income Expense
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us-gaap Nonoperating Income Expense
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us-gaap Number Of Operating Segments
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us-gaap Operating Income Loss
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us-gaap Operating Income Loss
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us-gaap Other Comprehensive Income Foreign Currency Transaction And Translation Adjustment Net Of Tax Portion Attributable To Parent
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CY2018Q2 us-gaap Other Comprehensive Income Foreign Currency Transaction And Translation Adjustment Net Of Tax Portion Attributable To Parent
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880000 USD
us-gaap Other Comprehensive Income Foreign Currency Transaction And Translation Adjustment Net Of Tax Portion Attributable To Parent
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372000 USD
us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
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372000 USD
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11940000 USD
us-gaap Proceeds From Issuance Of Redeemable Convertible Preferred Stock
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0 USD
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78000 USD
us-gaap Provision For Doubtful Accounts
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49000 USD
us-gaap Repayments Of Long Term Debt
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51811000 USD
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3093000 USD
us-gaap Research And Development Expense
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6106000 USD
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us-gaap Research And Development Expense
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20000000 USD
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CY2017Q2 us-gaap Revenues
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us-gaap Revenues
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59693000 USD
CY2018Q2 us-gaap Revenues
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us-gaap Revenues
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68283000 USD
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us-gaap Selling And Marketing Expense
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CY2018Q2 us-gaap Selling And Marketing Expense
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us-gaap Selling And Marketing Expense
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us-gaap Share Based Compensation
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us-gaap Share Based Compensation
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P4Y
CY2018Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Number Of Shares Authorized
ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfSharesAuthorized
1875000 shares
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Expirations In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpirationsInPeriod
81000 shares
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Expirations In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpirationsInPeriod
119000 shares
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ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod
34000 shares
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29000 shares
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3.91
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2137000 shares
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ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
2342000 shares
CY2017Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
2514000 shares
CY2018Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
2232000 shares
CY2016Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
15.00
CY2017Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
16.97
CY2017Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
18.42
CY2018Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
18.48
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice
3.80
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice
6.40
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Expirations In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExpirationsInPeriodWeightedAverageExercisePrice
11.31
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Expirations In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExpirationsInPeriodWeightedAverageExercisePrice
18.24
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
21.41
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
24.95
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice
21.13
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice
24.24
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Expiration Period
SharebasedCompensationArrangementBySharebasedPaymentAwardExpirationPeriod
P10Y
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested In Period Fair Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedInPeriodFairValue1
2200000 USD
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested In Period Fair Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedInPeriodFairValue1
4000000 USD
us-gaap Stock Issued During Period Shares Stock Options Exercised
StockIssuedDuringPeriodSharesStockOptionsExercised
148000 shares
us-gaap Stock Issued During Period Shares Stock Options Exercised
StockIssuedDuringPeriodSharesStockOptionsExercised
64000 shares
us-gaap Stock Issued During Period Value Conversion Of Convertible Securities
StockIssuedDuringPeriodValueConversionOfConvertibleSecurities
196594000 USD
us-gaap Stock Issued During Period Value New Issues
StockIssuedDuringPeriodValueNewIssues
66101000 USD
us-gaap Stock Issued During Period Value Stock Options Exercised
StockIssuedDuringPeriodValueStockOptionsExercised
144000 USD
CY2017Q4 us-gaap Stockholders Equity
StockholdersEquity
-208686000 USD
CY2018Q2 us-gaap Stockholders Equity
StockholdersEquity
36766000 USD
us-gaap Stockholders Equity Note Stock Split Conversion Ratio1
StockholdersEquityNoteStockSplitConversionRatio1
0.25
CY2017Q2 us-gaap Temporary Equity Accretion To Redemption Value Adjustment
TemporaryEquityAccretionToRedemptionValueAdjustment
4789000 USD
us-gaap Temporary Equity Accretion To Redemption Value Adjustment
TemporaryEquityAccretionToRedemptionValueAdjustment
5033000 USD
CY2018Q2 us-gaap Temporary Equity Accretion To Redemption Value Adjustment
TemporaryEquityAccretionToRedemptionValueAdjustment
0 USD
us-gaap Temporary Equity Accretion To Redemption Value Adjustment
TemporaryEquityAccretionToRedemptionValueAdjustment
157000 USD
CY2017Q4 us-gaap Temporary Equity Carrying Amount Attributable To Parent
TemporaryEquityCarryingAmountAttributableToParent
196437000 USD
CY2018Q2 us-gaap Temporary Equity Carrying Amount Attributable To Parent
TemporaryEquityCarryingAmountAttributableToParent
0 USD
CY2018Q1 us-gaap Temporary Equity Par Or Stated Value Per Share
TemporaryEquityParOrStatedValuePerShare
0.0001
CY2017Q1 us-gaap Temporary Equity Shares Authorized
TemporaryEquitySharesAuthorized
82683212 shares
CY2017Q2 us-gaap Temporary Equity Shares Authorized
TemporaryEquitySharesAuthorized
96131002 shares
CY2018Q1 us-gaap Temporary Equity Shares Authorized
TemporaryEquitySharesAuthorized
25000000 shares
CY2017Q4 us-gaap Warrants And Rights Outstanding
WarrantsAndRightsOutstanding
10230000 USD
CY2018Q2 us-gaap Warrants And Rights Outstanding
WarrantsAndRightsOutstanding
0 USD
CY2018Q1 us-gaap Warrants And Rights Outstanding Term
WarrantsAndRightsOutstandingTerm
P5Y3M18D
CY2017Q2 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
654000 shares
us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
0 shares
CY2018Q2 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
0 shares
us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
0 shares
CY2017Q2 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
3875000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
2935000 shares
CY2018Q2 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
20300000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
16716000 shares
CY2017Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
3221000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
2935000 shares
CY2018Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
20300000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
16716000 shares
us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;padding-bottom:12px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Use of Estimates</font></div><div style="line-height:120%;padding-bottom:12px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The preparation of financial statements in conformity with U.S.&#160;GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements. Significant items subject to such estimates and assumptions include revenue recognition,&#160;internal-use&#160;software development costs, income taxes, stock-based compensation, derivative instruments, income tax valuation allowance, contingencies and changes in fair value of our convertible promissory notes. We base our estimates on historical experience and also on assumptions that we believe are reasonable. Changes in facts or circumstances may cause us to change our assumptions and estimates in future periods and it is possible that actual results could differ from our current or revised future estimates.</font></div></div>

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