$HGBL
Heritage Global Inc.

2018 Q2 Form 10-Q Financial Statement

#000156459018019413 Filed on August 06, 2018

View on sec.gov

Income Statement

Concept 2018 Q2 2017 Q2
Revenue $6.820M $4.782M
YoY Change 42.62% 20.76%
Cost Of Revenue $1.030M $1.680M
YoY Change -38.69% 60.0%
Gross Profit $5.790M $3.110M
YoY Change 86.17% 6.87%
Gross Profit Margin 84.9% 65.04%
Selling, General & Admin $4.080M $3.000M
YoY Change 36.0% -2.09%
% of Gross Profit 70.47% 96.46%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $80.00K $80.00K
YoY Change 0.0% 0.0%
% of Gross Profit 1.38% 2.57%
Operating Expenses $4.160M $3.080M
YoY Change 35.06% 0.52%
Operating Profit $1.630M $30.00K
YoY Change 5333.33% -112.82%
Interest Expense -$40.00K -$30.00K
YoY Change 33.33% -147.62%
% of Operating Profit -2.45% -100.0%
Other Income/Expense, Net $160.0K -$180.0K
YoY Change -188.89% 8900.0%
Pretax Income $1.750M -$184.0K
YoY Change -1051.09% -129.39%
Income Tax $60.00K $15.00K
% Of Pretax Income 3.43%
Net Earnings $1.685M -$199.0K
YoY Change -946.73% -131.89%
Net Earnings / Revenue 24.71% -4.16%
Basic Earnings Per Share -$0.01
Diluted Earnings Per Share $58.14K -$0.01
COMMON SHARES
Basic Shares Outstanding 28.48M
Diluted Shares Outstanding 28.48M

Balance Sheet

Concept 2018 Q2 2017 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $4.750M $2.600M
YoY Change 82.69% 27.45%
Cash & Equivalents $4.752M $2.600M
Short-Term Investments
Other Short-Term Assets $430.0K $370.0K
YoY Change 16.22% -22.92%
Inventory $220.0K $260.0K
Prepaid Expenses
Receivables $823.0K $1.140M
Other Receivables $0.00 $0.00
Total Short-Term Assets $6.230M $4.370M
YoY Change 42.56% -39.67%
LONG-TERM ASSETS
Property, Plant & Equipment $190.0K $120.0K
YoY Change 58.33% -25.0%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $250.0K $310.0K
YoY Change -19.35% 14.81%
Total Long-Term Assets $10.34M $10.59M
YoY Change -2.36% -2.27%
TOTAL ASSETS
Total Short-Term Assets $6.230M $4.370M
Total Long-Term Assets $10.34M $10.59M
Total Assets $16.57M $14.96M
YoY Change 10.76% -17.26%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $6.530M $6.940M
YoY Change -5.91% 7.1%
Accrued Expenses
YoY Change
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due $510.0K $500.0K
YoY Change 2.0% -88.24%
Total Short-Term Liabilities $8.750M $8.047M
YoY Change 8.74% -28.15%
LONG-TERM LIABILITIES
Long-Term Debt $630.0K $120.0K
YoY Change 425.0%
Other Long-Term Liabilities $2.160M
YoY Change 20.67%
Total Long-Term Liabilities $630.0K $2.280M
YoY Change -72.37% 27.37%
TOTAL LIABILITIES
Total Short-Term Liabilities $8.750M $8.047M
Total Long-Term Liabilities $630.0K $2.280M
Total Liabilities $9.890M $11.29M
YoY Change -12.36% -19.05%
SHAREHOLDERS EQUITY
Retained Earnings -$280.8M
YoY Change
Common Stock $285.0K
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $6.686M $3.679M
YoY Change
Total Liabilities & Shareholders Equity $16.57M $14.96M
YoY Change 10.73% -17.23%

Cashflow Statement

Concept 2018 Q2 2017 Q2
OPERATING ACTIVITIES
Net Income $1.685M -$199.0K
YoY Change -946.73% -131.89%
Depreciation, Depletion And Amortization $80.00K $80.00K
YoY Change 0.0% 0.0%
Cash From Operating Activities $4.310M -$680.0K
YoY Change -733.82% -157.63%
INVESTING ACTIVITIES
Capital Expenditures -$20.00K $0.00
YoY Change -100.0%
Acquisitions
YoY Change
Other Investing Activities $0.00
YoY Change -100.0%
Cash From Investing Activities -$20.00K $0.00
YoY Change -100.0%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -1.140M -560.0K
YoY Change 103.57% 40.0%
NET CHANGE
Cash From Operating Activities 4.310M -680.0K
Cash From Investing Activities -20.00K 0.000
Cash From Financing Activities -1.140M -560.0K
Net Change In Cash 3.150M -1.240M
YoY Change -354.03% -272.22%
FREE CASH FLOW
Cash From Operating Activities $4.310M -$680.0K
Capital Expenditures -$20.00K $0.00
Free Cash Flow $4.330M -$680.0K
YoY Change -736.76% -153.97%

Facts In Submission

Frame Concept Type Concept / XBRL Key Value Unit
CY2018Q2 us-gaap Accounts Receivable Net Current
AccountsReceivableNetCurrent
823000
CY2017Q4 us-gaap Accounts Receivable Net Current
AccountsReceivableNetCurrent
384000
us-gaap Costs And Expenses
CostsAndExpenses
9395000
CY2018Q2 us-gaap Unsecured Debt Current
UnsecuredDebtCurrent
366000
CY2017Q4 us-gaap Unsecured Debt Current
UnsecuredDebtCurrent
356000
CY2017Q4 us-gaap Due To Related Parties Noncurrent
DueToRelatedPartiesNoncurrent
786000
CY2017Q2 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
4782000
us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
12630000
us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
9815000
us-gaap Costs And Expenses
CostsAndExpenses
9595000
us-gaap Increase Decrease In Accounts Payable And Accrued Liabilities
IncreaseDecreaseInAccountsPayableAndAccruedLiabilities
1474000
us-gaap Increase Decrease In Accounts Payable And Accrued Liabilities
IncreaseDecreaseInAccountsPayableAndAccruedLiabilities
195000
us-gaap Stock Issued During Period Value Stock Options Exercised
StockIssuedDuringPeriodValueStockOptionsExercised
74000
us-gaap Profit Loss
ProfitLoss
2974000
us-gaap Profit Loss
ProfitLoss
55000
us-gaap Interest Expense Related Party
InterestExpenseRelatedParty
7000
us-gaap Interest Expense Related Party
InterestExpenseRelatedParty
20000
us-gaap Share Based Compensation
ShareBasedCompensation
146000
us-gaap Share Based Compensation
ShareBasedCompensation
132000
us-gaap Increase Decrease In Accounts Receivable
IncreaseDecreaseInAccountsReceivable
439000
us-gaap Increase Decrease In Accounts Receivable
IncreaseDecreaseInAccountsReceivable
-103000
us-gaap Increase Decrease In Inventories
IncreaseDecreaseInInventories
52000
us-gaap Increase Decrease In Inventories
IncreaseDecreaseInInventories
1000
us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets
73000
us-gaap Increase Decrease In Prepaid Deferred Expense And Other Assets
IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets
65000
us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
4040000
us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
884000
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
77000
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
0
us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
-77000
us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
0
us-gaap Repayments Of Short Term Debt
RepaymentsOfShortTermDebt
0
us-gaap Payment For Contingent Consideration Liability Financing Activities
PaymentForContingentConsiderationLiabilityFinancingActivities
400000
us-gaap Repayments Of Related Party Debt
RepaymentsOfRelatedPartyDebt
248000
us-gaap Repayments Of Related Party Debt
RepaymentsOfRelatedPartyDebt
415000
us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
-1320000
us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
-814000
us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Excluding Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseExcludingExchangeRateEffect
2643000
us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Excluding Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseExcludingExchangeRateEffect
70000
CY2017Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
2109000
CY2016Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
2530000
CY2018Q2 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
4752000
CY2017Q2 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations
2600000
us-gaap Income Taxes Paid
IncomeTaxesPaid
16000
us-gaap Interest Paid Net
InterestPaidNet
68000
us-gaap Interest Paid Net
InterestPaidNet
2000
us-gaap Use Of Estimates
UseOfEstimates
<div> <p style="margin-top:6pt;margin-bottom:0pt;text-indent:0%;font-weight:bold;font-family:Times New Roman;font-size:10pt;font-style:normal;text-transform:none;font-variant: normal;">Use of Estimates</p> <p style="margin-top:12pt;margin-bottom:0pt;font-family:Times New Roman;font-size:10pt;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;text-indent:4.54%;">The preparation of the Company&#8217;s consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Management bases its estimates and judgments on historical experience and various other factors that are believed to be reasonable under the circumstances. Actual results could differ from those estimates.</p> <p style="margin-top:12pt;margin-bottom:0pt;text-indent:4.54%;font-family:Times New Roman;font-size:10pt;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">Significant estimates include the assessment of collectability of revenue recognized, and the valuation of accounts receivable, inventory, other assets, goodwill and intangible assets, liabilities, contingent consideration, deferred income tax assets and liabilities, and stock-based compensation. These estimates have the potential to significantly impact the Company&#8217;s consolidated financial statements, either because of the significance of the financial statement item to which they relate, or because they require judgment and estimation due to the uncertainty involved in measuring, at a specific point in time, events that are continuous in nature.</p></div>
us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<div> <p style="margin-top:18pt;margin-bottom:0pt;text-indent:0%;font-weight:bold;font-family:Times New Roman;font-size:10pt;font-style:normal;text-transform:none;font-variant: normal;">Reclassifications </p> <p style="margin-top:12pt;margin-bottom:0pt;font-family:Times New Roman;font-size:10pt;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;text-indent:4.54%;">Certain prior year balances within the condensed consolidated financial statements have been reclassified to conform to the current year presentation.</p></div>
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod
931550
CY2017Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
5040450
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
526500
us-gaap Stock Issued During Period Shares Stock Options Exercised
StockIssuedDuringPeriodSharesStockOptionsExercised
173130
CY2018Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
4462270
CY2018Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableNumber
1927845
CY2017Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
0.97
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice
0.43
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice
0.43
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
1.88
us-gaap Convertible Preferred Stock Terms Of Conversion
ConvertiblePreferredStockTermsOfConversion
The Company’s Class N preferred shares, each of which is convertible to 40 common shares, have the right to receive dividends or dividend equivalents should the Company declare dividends on its common stock.
CY2018Q2 us-gaap Convertible Preferred Stock Shares Issued Upon Conversion
ConvertiblePreferredStockSharesIssuedUponConversion
40
CY2018Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
0.74
CY2018Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableWeightedAverageExercisePrice
1.12
CY2018Q2 us-gaap Incremental Common Shares Attributable To Share Based Payment Arrangements
IncrementalCommonSharesAttributableToShareBasedPaymentArrangements
414087
us-gaap Incremental Common Shares Attributable To Share Based Payment Arrangements
IncrementalCommonSharesAttributableToShareBasedPaymentArrangements
407305
us-gaap Incremental Common Shares Attributable To Share Based Payment Arrangements
IncrementalCommonSharesAttributableToShareBasedPaymentArrangements
16160
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
4200000
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
2000000
CY2018Q2 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
1000000
CY2017Q2 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
5100000
CY2017Q4 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
1440000
CY2018Q2 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
1317000
us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
100000
CY2018Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Remainder Of Fiscal Year
FiniteLivedIntangibleAssetsAmortizationExpenseRemainderOfFiscalYear
123000
CY2018Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Two
FiniteLivedIntangibleAssetsAmortizationExpenseYearTwo
239000
CY2018Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Three
FiniteLivedIntangibleAssetsAmortizationExpenseYearThree
236000
CY2018Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Four
FiniteLivedIntangibleAssetsAmortizationExpenseYearFour
236000
CY2018Q2 us-gaap Finite Lived Intangible Assets Amortization Expense Year Five
FiniteLivedIntangibleAssetsAmortizationExpenseYearFive
128000
CY2018Q2 us-gaap Finite Lived Intangible Assets Amortization Expense After Year Five
FiniteLivedIntangibleAssetsAmortizationExpenseAfterYearFive
355000
us-gaap Goodwill Impairment Loss
GoodwillImpairmentLoss
0
CY2017Q2 us-gaap Goodwill Impairment Loss
GoodwillImpairmentLoss
0
CY2018Q2 us-gaap Unsecured Long Term Debt
UnsecuredLongTermDebt
630000
CY2017Q4 us-gaap Unsecured Long Term Debt
UnsecuredLongTermDebt
786000
CY2018Q2 us-gaap Loans Payable
LoansPayable
1137000
CY2017Q4 us-gaap Loans Payable
LoansPayable
1524000
CY2018Q2 us-gaap Operating Loss Carryforwards
OperatingLossCarryforwards
76300000
CY2018Q2 us-gaap Tax Credit Carryforward Amount
TaxCreditCarryforwardAmount
500000
hgbl Operating Loss Carryforwards Expiration
OperatingLossCarryforwardsExpiration
Substantially all of the net operating loss carry forwards and unused minimum tax credit carry forwards expire between 2024 and 2036.
us-gaap Operating Loss Carryforwards Limitations On Use
OperatingLossCarryforwardsLimitationsOnUse
The Company’s utilization of restricted net operating tax loss carry forwards against future income for tax purposes is restricted pursuant to the “change in ownership” rules in Section 382 of the Internal Revenue Code.

Files In Submission

Name View Source Status
0001564590-18-019413-index-headers.html Edgar Link pending
0001564590-18-019413-index.html Edgar Link pending
0001564590-18-019413.txt Edgar Link pending
0001564590-18-019413-xbrl.zip Edgar Link pending
FilingSummary.xml Edgar Link unprocessable
Financial_Report.xlsx Edgar Link pending
g1pzh2qbm3jy000001.jpg Edgar Link pending
hgbl-10q_20180630.htm Edgar Link pending
hgbl-20180630.xml Edgar Link completed
hgbl-20180630.xsd Edgar Link pending
hgbl-20180630_cal.xml Edgar Link unprocessable
hgbl-20180630_def.xml Edgar Link unprocessable
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