$HDSN
HUDSON TECHNOLOGIES INC /NY

2016 Q3 Form 10-Q Financial Statement

#000114420417057706 Filed on November 09, 2017

View on sec.gov

Income Statement

Concept 2016 Q3
Revenue $34.93M
YoY Change 61.1%
Cost Of Revenue $22.89M
YoY Change 32.33%
Gross Profit $12.04M
YoY Change 174.64%
Gross Profit Margin 34.47%
Selling, General & Admin $3.895M
YoY Change 56.93%
% of Gross Profit 32.35%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $580.0K
YoY Change 7.41%
% of Gross Profit 4.82%
Operating Expenses $4.022M
YoY Change 62.05%
Operating Profit $8.018M
YoY Change 321.56%
Interest Expense $296.0K
YoY Change 88.54%
% of Operating Profit 3.69%
Other Income/Expense, Net -$296.0K
YoY Change 88.54%
Pretax Income $7.722M
YoY Change 342.52%
Income Tax $2.933M
% Of Pretax Income 37.98%
Net Earnings $4.789M
YoY Change 342.61%
Net Earnings / Revenue 13.71%
Basic Earnings Per Share $0.14
Diluted Earnings Per Share $0.14
COMMON SHARES
Basic Shares Outstanding 33.87M shares
Diluted Shares Outstanding 35.30M shares

Balance Sheet

Concept 2016 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $4.000M
YoY Change 300.0%
Cash & Equivalents $4.000M
Short-Term Investments
Other Short-Term Assets $1.100M
YoY Change -81.36%
Inventory $66.60M
Prepaid Expenses
Receivables $9.200M
Other Receivables $0.00
Total Short-Term Assets $80.80M
YoY Change 23.36%
LONG-TERM ASSETS
Property, Plant & Equipment $7.100M
YoY Change -5.56%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $1.800M
YoY Change 2068.67%
Total Long-Term Assets $13.10M
YoY Change -19.1%
TOTAL ASSETS
Total Short-Term Assets $80.80M
Total Long-Term Assets $13.10M
Total Assets $93.90M
YoY Change 14.95%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $4.200M
YoY Change -59.22%
Accrued Expenses $3.400M
YoY Change 1600.0%
Deferred Revenue
YoY Change
Short-Term Debt $15.00M
YoY Change
Long-Term Debt Due $300.0K
YoY Change -98.0%
Total Short-Term Liabilities $24.60M
YoY Change -3.46%
LONG-TERM LIABILITIES
Long-Term Debt $4.100M
YoY Change -6.33%
Other Long-Term Liabilities $0.00
YoY Change -100.0%
Total Long-Term Liabilities $4.100M
YoY Change -30.26%
TOTAL LIABILITIES
Total Short-Term Liabilities $24.60M
Total Long-Term Liabilities $4.100M
Total Liabilities $28.70M
YoY Change -8.48%
SHAREHOLDERS EQUITY
Retained Earnings
YoY Change
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $65.20M
YoY Change
Total Liabilities & Shareholders Equity $93.90M
YoY Change 14.95%

Cashflow Statement

Concept 2016 Q3
OPERATING ACTIVITIES
Net Income $4.789M
YoY Change 342.61%
Depreciation, Depletion And Amortization $580.0K
YoY Change 7.41%
Cash From Operating Activities $11.59M
YoY Change -331.8%
INVESTING ACTIVITIES
Capital Expenditures -$360.0K
YoY Change 260.0%
Acquisitions
YoY Change
Other Investing Activities $0.00
YoY Change
Cash From Investing Activities -$360.0K
YoY Change 227.27%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -8.800M
YoY Change -288.84%
NET CHANGE
Cash From Operating Activities 11.59M
Cash From Investing Activities -360.0K
Cash From Financing Activities -8.800M
Net Change In Cash 2.430M
YoY Change -640.0%
FREE CASH FLOW
Cash From Operating Activities $11.59M
Capital Expenditures -$360.0K
Free Cash Flow $11.95M
YoY Change -343.88%

Facts In Submission

Frame Concept Type Concept / XBRL Key Value Unit
CY2017Q3 us-gaap Deferred Tax Assets Net Noncurrent
DeferredTaxAssetsNetNoncurrent
1874000 USD
CY2016Q4 us-gaap Deferred Tax Assets Net Noncurrent
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2532000 USD
CY2016Q3 us-gaap Revenues
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34930000 USD
us-gaap Gross Profit
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34955000 USD
us-gaap Gross Profit
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us-gaap Operating Income Loss
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24768000 USD
us-gaap Operating Income Loss
OperatingIncomeLoss
21180000 USD
CY2017Q3 us-gaap Interest Expense
InterestExpense
24000 USD
us-gaap Interest Expense
InterestExpense
170000 USD
us-gaap Interest Expense
InterestExpense
919000 USD
CY2017Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments
1452000 USD
CY2016Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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7722000 USD
us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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24598000 USD
us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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20261000 USD
CY2017Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
-652000 USD
CY2016Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
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us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
8236000 USD
us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
7699000 USD
us-gaap Net Income Loss
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16362000 USD
CY2016Q3 us-gaap Earnings Per Share Basic
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0.14
us-gaap Earnings Per Share Basic
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0.38
CY2017Q3 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
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CY2016Q3 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
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us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
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us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
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CY2017Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
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41869528 shares
CY2016Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
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33873479 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
41648439 shares
CY2017Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
43463982 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
34341930 shares
us-gaap Share Based Compensation
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28000 USD
us-gaap Amortization Of Financing Costs
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33000 USD
us-gaap Increase Decrease In Accounts Receivable
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9241000 USD
us-gaap Increase Decrease In Inventories
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-4790000 USD
us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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5754000 USD
us-gaap Net Cash Provided By Used In Operating Activities
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us-gaap Payments To Acquire Property Plant And Equipment
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us-gaap Net Cash Provided By Used In Investing Activities
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-861000 USD
us-gaap Repayments Of Short Term Debt
RepaymentsOfShortTermDebt
0 USD
us-gaap Repayments Of Long Term Debt
RepaymentsOfLongTermDebt
172000 USD
us-gaap Net Cash Provided By Used In Financing Activities
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-1213000 USD
us-gaap Cash And Cash Equivalents Period Increase Decrease
CashAndCashEquivalentsPeriodIncreaseDecrease
10063000 USD
us-gaap Interest Paid Net
InterestPaidNet
227000 USD
hdsn Payment Of Deferred Acquisition Cost
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528000 USD
us-gaap Depreciation Depletion And Amortization
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1723000 USD
us-gaap Provision For Doubtful Accounts
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17000 USD
us-gaap Share Based Compensation
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601000 USD
us-gaap Amortization Of Financing Costs
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113000 USD
us-gaap Increase Decrease In Accounts Receivable
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4834000 USD
us-gaap Increase Decrease In Inventories
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us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
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-741000 USD
us-gaap Increase Decrease In Accounts Payable And Accrued Liabilities
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-2760000 USD
us-gaap Net Cash Provided By Used In Operating Activities
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us-gaap Payments To Acquire Property Plant And Equipment
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us-gaap Net Cash Provided By Used In Investing Activities
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-877000 USD
us-gaap Repayments Of Short Term Debt
RepaymentsOfShortTermDebt
5205000 USD
us-gaap Net Cash Provided By Used In Financing Activities
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-3846000 USD
us-gaap Cash And Cash Equivalents Period Increase Decrease
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2718000 USD
us-gaap Interest Paid Net
InterestPaidNet
806000 USD
us-gaap Increase Decrease In Accrued Income Taxes Payable
IncreaseDecreaseInAccruedIncomeTaxesPayable
793000 USD
us-gaap Increase Decrease In Accrued Income Taxes Payable
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CY2015Q4 us-gaap Cash And Cash Equivalents At Carrying Value
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us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
658000 USD
us-gaap Deferred Income Tax Expense Benefit
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1584000 USD
us-gaap Income Taxes Paid Net
IncomeTaxesPaidNet
6785000 USD
us-gaap Income Taxes Paid Net
IncomeTaxesPaidNet
4328000 USD
dei Entity Incorporation Date Of Incorporation
EntityIncorporationDateOfIncorporation
1991-01-11
CY2017Q3 us-gaap Deferred Tax Assets Liabilities Net
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1900000 USD
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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CY2016Q4 hdsn Production Phase Down Percentage
ProductionPhaseDownPercentage
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CY2016Q4 us-gaap Property Plant And Equipment Gross
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CY2017Q3 us-gaap Property Plant And Equipment Gross
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CY2016Q4 us-gaap Accumulated Depreciation Depletion And Amortization Property Plant And Equipment
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CY2017Q3 us-gaap Accumulated Depreciation Depletion And Amortization Property Plant And Equipment
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us-gaap Depreciation
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1300000 USD
us-gaap Depreciation
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CY2017Q3 us-gaap Finite Lived Intangible Assets Gross
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CY2017Q3 us-gaap Finite Lived Intangible Assets Accumulated Amortization
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CY2016Q4 us-gaap Finite Lived Intangible Assets Accumulated Amortization
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CY2017Q3 us-gaap Finite Lived Intangible Assets Net
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CY2016Q4 us-gaap Finite Lived Intangible Assets Net
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us-gaap Amortization Of Intangible Assets
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us-gaap Amortization Of Intangible Assets
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400000 USD
us-gaap Allocated Share Based Compensation Expense
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CY2017Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Number Of Shares Authorized
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CY2017Q3 us-gaap Deferred Compensation Arrangement With Individual Common Stock Reserved For Future Issuance
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CY2017Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Intrinsic Value
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CY2016Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Intrinsic Value
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CY2012Q2 us-gaap Line Of Credit Facility Maximum Borrowing Capacity
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CY2017Q3 us-gaap Line Of Credit Facility Current Borrowing Capacity
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50000000 USD
CY2017Q3 us-gaap Letters Of Credit Outstanding Amount
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130000 USD
CY2013Q1 us-gaap Line Of Credit Facility Maximum Borrowing Capacity
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CY2015 us-gaap Business Combination Contingent Consideration Arrangements Change In Amount Of Contingent Consideration Liability1
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CY2015 hdsn Business Combination Provisional Information Initial Accounting Incomplete Adjustment Goodwill
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CY2015 us-gaap Business Combination Provisional Information Initial Accounting Incomplete Adjustment Intangibles
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CY2015 us-gaap Business Combination Provisional Information Initial Accounting Incomplete Adjustment Inventory
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CY2015Q4 us-gaap Business Combination Contingent Consideration Arrangements Range Of Outcomes Value High
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CY2015Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Property Plant And Equipment
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1600000 USD
CY2015Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Intangibles
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1600000 USD
CY2015Q1 us-gaap Business Acquisition Purchase Price Allocation Goodwill Expected Tax Deductible Amount
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CY2016Q4 us-gaap Commitments And Contingencies
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USD
CY2017Q3 us-gaap Commitments And Contingencies
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USD
CY2017Q3 us-gaap Common Stock Par Or Stated Value Per Share
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CY2016Q4 us-gaap Common Stock Par Or Stated Value Per Share
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0.01
CY2017Q3 us-gaap Common Stock Shares Authorized
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CY2016Q4 us-gaap Common Stock Shares Authorized
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CY2017Q3 us-gaap Common Stock Shares Issued
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CY2017Q3 us-gaap Common Stock Shares Outstanding
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CY2016Q4 us-gaap Common Stock Shares Issued
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CY2016Q4 us-gaap Common Stock Shares Outstanding
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CY2015Q1 hdsn Business Acquisition Purchase Price Allocation Description
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The purchase price for this acquisition was $2.4 million cash paid at closing and the assumption of a liability of $20,000, and a maximum of an additional $3.0 million earn-out.
us-gaap Line Of Credit Facility Interest Rate Description
LineOfCreditFacilityInterestRateDescription
Interest charges with respect to loans were computed on the actual principal amount of loans outstanding during the month at a rate per annum equal to (A) with respect to Domestic Rate Loans (as defined in the PNC Facility), the sum of the Alternate Base Rate (as defined in the PNC Facility) plus one half of one percent (.50%) and (B) with respect to Eurodollar Rate Loans, the sum of the Eurodollar Rate plus two and one quarter of one percent (2.25%).
us-gaap Allocated Share Based Compensation Expense
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28000 USD
us-gaap Concentration Risk Credit Risk
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<div style="MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif "> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><strong><font style="FONT-SIZE: 10pt">Credit Risk</font></strong></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of temporary cash investments and trade accounts receivable. The Company maintains its temporary cash investments in highly-rated financial institutions and, at times, the balances exceed FDIC insurance coverage. The Company's trade accounts receivable are primarily due from companies throughout the United States. The Company reviews each customer's credit history before extending credit.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The Company establishes an allowance for doubtful accounts based on factors associated with the credit risk of specific accounts, historical trends, and other information. The carrying value of the Company&#8217;s accounts receivable is reduced by the established allowance for doubtful accounts. The allowance for doubtful accounts includes any accounts receivable balances that are determined to be uncollectible, along with a general reserve for the remaining accounts receivable balances. The Company adjusts its reserves based on factors that affect the collectability of the accounts receivable balances.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt"></font> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">For the nine month period ended September 30, 2017, <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> </font><font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font>two customers each accounted for 10% or more of the Company&#8217;s revenues <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> </font><font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font>and, in the aggregate these two customers accounted for <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 37</font>% of the Company&#8217;s revenues. At September 30, 2017, there were $<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt">4.3</font> million in outstanding receivables from these customers.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">For the nine month period ended September 30, 2016, <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> </font><font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font>two customers each accounted for 10% or more of the Company&#8217;s revenue<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font>s <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> </font>and, in the aggregate these two customers accounted for <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 33</font>% of the Company&#8217;s revenues. At September 30, 2016, there were no outstanding receivables from these customers.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <font style="FONT-SIZE: 10pt">The loss of a principal customer or a decline in the economic prospects of and/or a reduction in purchases of the Company's products or services by any such customer could have a material adverse effect on the Company's operating results and financial position.</font></div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
CY2016Q3 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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73034 shares
us-gaap Use Of Estimates
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<div style="MARGIN: 0pt 0px; FONT: 10pt Times New Roman, Times, Serif "> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><strong><font style="FONT-SIZE: 10pt">Estimates and Risks</font></strong></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The preparation of financial statements in conformity with generally accepted accounting principles in the United States requires management to make estimates and assumptions that affect reported amounts of certain assets and liabilities, the disclosure of contingent assets and liabilities, and the results of operations during the reporting period. Actual results could differ from these estimates.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The Company utilizes both internal and external sources to evaluate potential current and future liabilities for various commitments and contingencies. In the event that the assumptions or conditions change in the future, the estimates could differ from the original estimates.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;TEXT-INDENT: 0.5in; MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">Several of the Company's accounting policies involve significant judgments, uncertainties and estimates. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities. Actual results may differ from these estimates under different assumptions or conditions. To the extent that actual results differ from management's judgments and estimates, there could be a material adverse effect on the Company. On a continuous basis, the Company evaluates its estimates, including, but not limited to, those estimates related to its allowance for doubtful accounts, inventory reserves, and valuation allowance for the deferred tax assets relating to its NOLs and commitments and contingencies. With respect to accounts receivable, the Company estimates the necessary allowance for doubtful accounts based on both historical and anticipated trends of payment history and the ability of the customer to fulfill its obligations. For inventory, the Company evaluates both current and anticipated sales prices of its products to determine if a write down of inventory to net realizable value is necessary. In determining the Company&#8217;s valuation allowance for its deferred tax assets, the Company assesses its ability to generate taxable income in the future.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt"></font> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The Company participates in an industry that is highly regulated, and changes in the regulations affecting our business could affect our operating results. Currently the Company purchases virgin hydrochlorofluorocarbon (&#8220;HCFC&#8221;) and hydrofluorocarbon (&#8220;HFC&#8221;) refrigerants and reclaimable, primarily HCFC, HFC and chlorofluorocarbon (&#8220;CFC&#8221;), refrigerants from suppliers and its customers. Effective January 1, 1996, the Clean Air Act (the &#8220;Act&#8221;) prohibited the production of virgin CFC refrigerants and limited the production of virgin HCFC refrigerants. Effective January 2004, the Act further limited the production of virgin HCFC refrigerants and federal regulations were enacted which established production and consumption allowances for HCFC refrigerants which imposed limitations on the importation of certain virgin HCFC refrigerants. Under the Act, production of certain virgin HCFC refrigerants is scheduled to be phased out during the period 2010 through 2020, and production of all virgin HCFC refrigerants is scheduled to be phased out by 2030. In October 2014, the EPA published a final rule providing further reductions in the production and consumption allowances for virgin HCFC refrigerants for the years 2015 through 2019 (the &#8220;Final Rule&#8221;). In the Final Rule, the EPA has established a linear draw down for the production or importation of virgin HCFC-22 that started at approximately <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font>22 million pounds in 2015 and reduces by approximately 4.5 million pounds each year and ends at zero in 2020<font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"></font>. In October 2016, more than 200 countries, including the United States, agreed to amend the Montreal Protocol to phase down production of HFCs by <font style="FONT-FAMILY: 'Times New Roman','serif'; FONT-SIZE: 10pt"> 85</font>% between now and 2047. The amendment establishes timetables for all developed and developing countries to freeze and then reduce production levels and use of HFCs, with the first reductions by developed countries starting in 2019.</font></div> <font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">To the extent that the Company is unable to source sufficient quantities of refrigerants or is unable to obtain refrigerants on commercially reasonable terms or experiences a decline in demand and/or price for refrigerants sold by the Company, the Company could realize reductions in revenue from refrigerant sales, which could have a material adverse effect on its operating results and its financial position.</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">&#160;</font></div> <div style="CLEAR:both; FONT-FAMILY:Times New Roman;FONT-SIZE: 10pt;MARGIN: 0in 0in 0pt" align="justify"><font style="FONT-SIZE: 10pt">The Company is subject to various legal proceedings. The Company assesses the merit and potential liability associated with each of these proceedings. In addition, the Company estimates potential liability, if any, related to these matters. To the extent that these estimates are not accurate, or circumstances change in the future, the Company could realize liabilities, which could have a material adverse effect on its operating results and its financial position.</font></div> </div><table border="0" style="width:100%; table-layout:fixed;" cellspacing="0" cellpadding="0"><tr><td></td></tr></table>
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercises In Period Total Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisesInPeriodTotalIntrinsicValue
5200000 USD
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercises In Period Total Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisesInPeriodTotalIntrinsicValue
1500000 USD
us-gaap Concentration Risk Customer
ConcentrationRiskCustomer
two customers each accounted for 10% or more of the Companys revenues
us-gaap Concentration Risk Customer
ConcentrationRiskCustomer
two customers each accounted for 10% or more of the Companys revenues
us-gaap Operating Loss Carryforwards Limitations On Use
OperatingLossCarryforwardsLimitationsOnUse
All the Companys remaining NOLs of approximately $4.1 million are subject to annual limitations of $1.3 million
hdsn Production And Importation Permission Description
ProductionAndImportationPermissionDescription
22 million pounds in 2015 and reduces by approximately 4.5 million pounds each year and ends at zero in 2020
hdsn Deferred Acquisition Payable Adjustment
DeferredAcquisitionPayableAdjustment
0 USD
hdsn Deferred Acquisition Payable Adjustment
DeferredAcquisitionPayableAdjustment
594000 USD
us-gaap Payments Related To Tax Withholding For Share Based Compensation
PaymentsRelatedToTaxWithholdingForShareBasedCompensation
1235000 USD
us-gaap Payments Related To Tax Withholding For Share Based Compensation
PaymentsRelatedToTaxWithholdingForShareBasedCompensation
0 USD
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
1170534 shares
hdsn Number Of Shares Withheld
NumberOfSharesWithheld
414229 shares
us-gaap Stock Issued During Period Shares Stock Options Exercised
StockIssuedDuringPeriodSharesStockOptionsExercised
984861 shares
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested And Expected To Vest Outstanding Weighted Average Remaining Contractual Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageRemainingContractualTerm1
P1Y8M12D
CY2017Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingNumber
2229537 shares
CY2017Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageExercisePrice
2.50
us-gaap Proceeds From Issuance Of Long Term Debt
ProceedsFromIssuanceOfLongTermDebt
0 USD
us-gaap Proceeds From Issuance Of Long Term Debt
ProceedsFromIssuanceOfLongTermDebt
27000 USD
CY2017Q3 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
3473000 USD
CY2016Q3 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
3895000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
9823000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
8507000 USD
CY2017Q3 us-gaap Adjustment For Amortization
AdjustmentForAmortization
121000 USD
CY2016Q3 us-gaap Adjustment For Amortization
AdjustmentForAmortization
127000 USD
us-gaap Adjustment For Amortization
AdjustmentForAmortization
364000 USD
us-gaap Adjustment For Amortization
AdjustmentForAmortization
365000 USD
CY2017Q3 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
0 shares
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
0 shares

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