2017 Q2 Form 10-Q Financial Statement

#000136495417000157 Filed on July 31, 2017

View on sec.gov

Income Statement

Concept 2017 Q2 2016 Q2
Revenue $56.32M $53.04M
YoY Change 6.19% -20.91%
Cost Of Revenue $17.04M $21.41M
YoY Change -20.39% -40.96%
Gross Profit $39.28M $31.63M
YoY Change 24.17% 2.67%
Gross Profit Margin 69.74% 59.64%
Selling, General & Admin $24.60M $26.32M
YoY Change -6.52% 8.18%
% of Gross Profit 62.63% 83.2%
Research & Development $19.90M $16.03M
YoY Change 24.11% 20.84%
% of Gross Profit 50.67% 50.69%
Depreciation & Amortization $4.700M $6.200M
YoY Change -24.19% -61.49%
% of Gross Profit 11.97% 19.6%
Operating Expenses $44.56M $40.00M
YoY Change 11.38% -1.23%
Operating Profit -$5.282M -$8.375M
YoY Change -36.93% -13.63%
Interest Expense $0.00 -$100.0K
YoY Change -100.0% 0.0%
% of Operating Profit
Other Income/Expense, Net -$27.00K -$124.0K
YoY Change -78.23% 3000.0%
Pretax Income -$5.309M -$8.499M
YoY Change -37.53% -12.39%
Income Tax $716.0K $509.0K
% Of Pretax Income
Net Earnings -$6.025M -$9.008M
YoY Change -33.12% -11.08%
Net Earnings / Revenue -10.7% -16.98%
Basic Earnings Per Share -$0.06 -$0.10
Diluted Earnings Per Share -$0.06 -$99.56K
COMMON SHARES
Basic Shares Outstanding 95.05M shares 90.42M shares
Diluted Shares Outstanding 95.05M shares

Balance Sheet

Concept 2017 Q2 2016 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $66.10M $49.70M
YoY Change 33.0% -20.48%
Cash & Equivalents $66.09M $49.68M
Short-Term Investments $0.00
Other Short-Term Assets $7.571M $40.22M
YoY Change -81.18% 138.41%
Inventory
Prepaid Expenses $6.950M $5.608M
Receivables $8.750M $12.92M
Other Receivables $0.00 $0.00
Total Short-Term Assets $89.36M $108.4M
YoY Change -17.59% 9.35%
LONG-TERM ASSETS
Property, Plant & Equipment $40.29M $29.36M
YoY Change 37.26% 58.09%
Goodwill $116.2M $115.0M
YoY Change 1.09% 25.94%
Intangibles $17.97M $23.06M
YoY Change -22.08% 116.96%
Long-Term Investments $0.00
YoY Change -100.0%
Other Assets $4.297M $5.227M
YoY Change -17.79% 171.96%
Total Long-Term Assets $178.8M $184.5M
YoY Change -3.07% -2.1%
TOTAL ASSETS
Total Short-Term Assets $89.36M $108.4M
Total Long-Term Assets $178.8M $184.5M
Total Assets $268.2M $292.9M
YoY Change -8.44% 1.85%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $809.0K $6.260M
YoY Change -87.08% 63.36%
Accrued Expenses $27.86M $46.43M
YoY Change -39.99% 94.23%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $41.13M $67.15M
YoY Change -38.75% 41.4%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00
YoY Change
Other Long-Term Liabilities $5.000M $4.000M
YoY Change 25.0% -14.89%
Total Long-Term Liabilities $4.974M $4.010M
YoY Change 24.04% -15.26%
TOTAL LIABILITIES
Total Short-Term Liabilities $41.13M $67.15M
Total Long-Term Liabilities $4.974M $4.010M
Total Liabilities $46.10M $71.16M
YoY Change -35.21% 36.26%
SHAREHOLDERS EQUITY
Retained Earnings -$383.8M -$353.8M
YoY Change 8.47% 14.66%
Common Stock $605.7M $575.7M
YoY Change 5.22% 5.85%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $222.1M $221.7M
YoY Change
Total Liabilities & Shareholders Equity $268.2M $292.9M
YoY Change -8.44% 1.85%

Cashflow Statement

Concept 2017 Q2 2016 Q2
OPERATING ACTIVITIES
Net Income -$6.025M -$9.008M
YoY Change -33.12% -11.08%
Depreciation, Depletion And Amortization $4.700M $6.200M
YoY Change -24.19% -61.49%
Cash From Operating Activities $15.70M $12.10M
YoY Change 29.75% -161.11%
INVESTING ACTIVITIES
Capital Expenditures -$7.700M -$9.600M
YoY Change -19.79% 100.0%
Acquisitions
YoY Change
Other Investing Activities $100.0K $6.400M
YoY Change -98.44% -13.51%
Cash From Investing Activities -$7.600M -$3.100M
YoY Change 145.16% -219.23%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -11.90M -800.0K
YoY Change 1387.5% -136.36%
NET CHANGE
Cash From Operating Activities 15.70M 12.10M
Cash From Investing Activities -7.600M -3.100M
Cash From Financing Activities -11.90M -800.0K
Net Change In Cash -3.800M 8.200M
YoY Change -146.34% -154.67%
FREE CASH FLOW
Cash From Operating Activities $15.70M $12.10M
Capital Expenditures -$7.700M -$9.600M
Free Cash Flow $23.40M $21.70M
YoY Change 7.83% -244.67%

Facts In Submission

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CY2016Q4 us-gaap Other Assets Noncurrent
OtherAssetsNoncurrent
4412000 USD
CY2017Q2 us-gaap Other Assets Noncurrent
OtherAssetsNoncurrent
4297000 USD
CY2016Q2 us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Net Of Tax
OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentNetOfTax
-8000 USD
us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Net Of Tax
OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentNetOfTax
25000 USD
CY2017Q2 us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Net Of Tax
OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentNetOfTax
0 USD
us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Net Of Tax
OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentNetOfTax
0 USD
CY2016Q2 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
-71000 USD
us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
-36000 USD
CY2017Q2 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
153000 USD
us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
252000 USD
CY2016Q2 us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent
-79000 USD
us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent
-11000 USD
CY2017Q2 us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent
153000 USD
us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent
252000 USD
us-gaap Other Depreciation And Amortization
OtherDepreciationAndAmortization
6068000 USD
us-gaap Other Depreciation And Amortization
OtherDepreciationAndAmortization
9093000 USD
us-gaap Other Noncash Income Expense
OtherNoncashIncomeExpense
18000 USD
us-gaap Other Noncash Income Expense
OtherNoncashIncomeExpense
55000 USD
CY2016Q2 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
-63000 USD
us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
2000 USD
CY2017Q2 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
-9000 USD
us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
-208000 USD
us-gaap Payments For Previous Acquisition
PaymentsForPreviousAcquisition
0 USD
us-gaap Payments For Previous Acquisition
PaymentsForPreviousAcquisition
16750000 USD
CY2016 us-gaap Payments For Restructuring
PaymentsForRestructuring
1789000 USD
us-gaap Payments For Restructuring
PaymentsForRestructuring
915000 USD
us-gaap Payments Related To Tax Withholding For Share Based Compensation
PaymentsRelatedToTaxWithholdingForShareBasedCompensation
8240000 USD
us-gaap Payments Related To Tax Withholding For Share Based Compensation
PaymentsRelatedToTaxWithholdingForShareBasedCompensation
14850000 USD
us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
25164000 USD
us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
0 USD
us-gaap Payments To Acquire Marketable Securities
PaymentsToAcquireMarketableSecurities
7633000 USD
us-gaap Payments To Acquire Marketable Securities
PaymentsToAcquireMarketableSecurities
0 USD
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
14217000 USD
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
12507000 USD
CY2016Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2017Q2 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2016Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
10000000 shares
CY2017Q2 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
10000000 shares
CY2016Q4 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2017Q2 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
0 shares
CY2016Q4 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2017Q2 us-gaap Preferred Stock Shares Outstanding
PreferredStockSharesOutstanding
0 shares
CY2016Q4 us-gaap Preferred Stock Value
PreferredStockValue
0 USD
CY2017Q2 us-gaap Preferred Stock Value
PreferredStockValue
0 USD
CY2016Q4 us-gaap Prepaid Expense Current
PrepaidExpenseCurrent
2579000 USD
CY2017Q2 us-gaap Prepaid Expense Current
PrepaidExpenseCurrent
6950000 USD
us-gaap Proceeds From Sale And Maturity Of Available For Sale Securities
ProceedsFromSaleAndMaturityOfAvailableForSaleSecurities
6844000 USD
us-gaap Proceeds From Sale And Maturity Of Available For Sale Securities
ProceedsFromSaleAndMaturityOfAvailableForSaleSecurities
0 USD
us-gaap Proceeds From Sale And Maturity Of Marketable Securities
ProceedsFromSaleAndMaturityOfMarketableSecurities
22830000 USD
us-gaap Proceeds From Sale And Maturity Of Marketable Securities
ProceedsFromSaleAndMaturityOfMarketableSecurities
0 USD
CY2016Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
35305000 USD
CY2017Q2 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
40294000 USD
CY2016Q2 us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
16033000 USD
us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
32991000 USD
CY2017Q2 us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
19899000 USD
us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
39201000 USD
CY2016Q4 us-gaap Restricted Cash And Cash Equivalents Noncurrent
RestrictedCashAndCashEquivalentsNoncurrent
100000 USD
CY2017Q2 us-gaap Restricted Cash And Cash Equivalents Noncurrent
RestrictedCashAndCashEquivalentsNoncurrent
500000 USD
CY2016Q2 us-gaap Restructuring Charges
RestructuringCharges
-154000 USD
us-gaap Restructuring Charges
RestructuringCharges
-198000 USD
CY2016 us-gaap Restructuring Charges
RestructuringCharges
-423000 USD
CY2017Q2 us-gaap Restructuring Charges
RestructuringCharges
59000 USD
us-gaap Restructuring Charges
RestructuringCharges
959000 USD
CY2015Q4 us-gaap Restructuring Reserve
RestructuringReserve
2518000 USD
CY2016Q4 us-gaap Restructuring Reserve
RestructuringReserve
306000 USD
CY2017Q2 us-gaap Restructuring Reserve
RestructuringReserve
350000 USD
CY2017Q2 us-gaap Restructuring Reserve Current
RestructuringReserveCurrent
200000 USD
CY2017Q2 us-gaap Restructuring Reserve Noncurrent
RestructuringReserveNoncurrent
200000 USD
CY2016Q4 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-371328000 USD
CY2017Q2 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-383754000 USD
CY2016Q2 us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
3235000 USD
us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
15573000 USD
CY2017Q2 us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
0 USD
us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
0 USD
CY2016Q2 us-gaap Sales Revenue Net
SalesRevenueNet
53036000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
119690000 USD
CY2017Q2 us-gaap Sales Revenue Net
SalesRevenueNet
56317000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
118919000 USD
CY2016Q2 us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
37795000 USD
us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
77547000 USD
CY2017Q2 us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
56317000 USD
us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
118919000 USD
CY2016Q2 us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
11747000 USD
us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
26193000 USD
CY2017Q2 us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
10098000 USD
us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
26062000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
22491000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
17377000 USD
CY2016Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
232700 shares
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
0 shares
CY2017Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue
2.58
CY2016Q4 us-gaap Stockholders Equity
StockholdersEquity
221939000 USD
CY2017Q2 us-gaap Stockholders Equity
StockholdersEquity
222056000 USD
CY2016Q2 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
90416000 shares
us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
89767000 shares
CY2017Q2 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
95047000 shares
us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
93943000 shares
us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Reclassification of Prior Period Presentation</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:36px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In order to conform with current period presentation, </font><font style="font-family:inherit;font-size:10pt;">$0.1 million</font><font style="font-family:inherit;font-size:10pt;"> and </font><font style="font-family:inherit;font-size:10pt;">$0.5 million</font><font style="font-family:inherit;font-size:10pt;"> of sales revenues during the </font><font style="font-family:inherit;font-size:10pt;">three</font><font style="font-family:inherit;font-size:10pt;"> and </font><font style="font-family:inherit;font-size:10pt;">six months ended</font><font style="font-family:inherit;font-size:10pt;"> </font><font style="font-family:inherit;font-size:10pt;">June&#160;30, 2016</font><font style="font-family:inherit;font-size:10pt;">, respectively, have been reclassified to services revenues and </font><font style="font-family:inherit;font-size:10pt;">$0.3 million</font><font style="font-family:inherit;font-size:10pt;"> and </font><font style="font-family:inherit;font-size:10pt;">$0.7 million</font><font style="font-family:inherit;font-size:10pt;"> of sales cost of revenues during the </font><font style="font-family:inherit;font-size:10pt;">three</font><font style="font-family:inherit;font-size:10pt;"> and </font><font style="font-family:inherit;font-size:10pt;">six months ended</font><font style="font-family:inherit;font-size:10pt;"> </font><font style="font-family:inherit;font-size:10pt;">June&#160;30, 2016</font><font style="font-family:inherit;font-size:10pt;">, respectively, have been reclassified to services cost of revenues on our condensed consolidated statements of operations. Additionally, we have reclassified </font><font style="font-family:inherit;font-size:10pt;">$1.2 million</font><font style="font-family:inherit;font-size:10pt;"> from other current assets to accounts receivable on our condensed consolidated balance sheet as of </font><font style="font-family:inherit;font-size:10pt;">December&#160;31, 2016</font><font style="font-family:inherit;font-size:10pt;">. These changes in presentation do not affect previously reported results.</font></div></div>
us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;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%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:36px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The preparation of financial statements in conformity with generally accepted accounting principles in the United States (U.S. GAAP) requires management to make estimates, judgments, and assumptions that affect the reported amounts of assets and liabilities; the disclosure of contingent liabilities at the date of the financial statements; and the reported amounts of revenues and expenses during the reporting periods. Significant estimates, assumptions, and judgments are used for, but not limited to: revenue recognition, recoverability of accounts receivable, restructuring charges, share-based compensation expense including estimated forfeitures, accounting for income taxes, useful lives assigned to long-lived assets for depreciation and amortization, impairment of goodwill and long-lived assets, and the valuation of acquired intangible assets. We base our estimates on historical experience, knowledge of current business conditions, and various other factors we believe to be reasonable under the circumstances. These estimates are based on management&#8217;s knowledge about current events and expectations about actions we may undertake in the future. Actual results could differ from these estimates, and such differences could be material to our financial position and results of operations.</font></div></div>

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