2024 Q2 Form 10-Q Financial Statement

#000162828024029005 Filed on June 20, 2024

View on sec.gov

Income Statement

Concept 2024 Q2 2024 Q1 2023 Q4
Revenue $14.96M $15.89M $54.25M
YoY Change 19.44% 11.18% 453.47%
Cost Of Revenue $4.861M $1.973M $9.354M
YoY Change 104.85% -2.57% 341.23%
Gross Profit $10.10M $13.92M $44.89M
YoY Change -0.52% 13.45% 484.46%
Gross Profit Margin 67.51% 87.58% 82.76%
Selling, General & Admin $25.49M $7.912M $30.59M
YoY Change 254.55% 7.53% 342.6%
% of Gross Profit 252.35% 56.86% 68.14%
Research & Development $7.707M $3.616M $13.17M
YoY Change 143.2% 7.14% 407.32%
% of Gross Profit 76.31% 25.98% 29.34%
Depreciation & Amortization $355.0K $120.0K $292.0K
YoY Change 14.89% -27.71% -47.01%
% of Gross Profit 3.52% 0.86% 0.65%
Operating Expenses $47.89M $11.53M $43.76M
YoY Change 362.37% 7.41% 360.27%
Operating Profit -$37.79M $2.388M $1.134M
YoY Change 18333.66% 55.77% -162.1%
Interest Expense $333.0K -$205.0K -$624.0K
YoY Change -38.07% 428.81%
% of Operating Profit -8.58% -55.03%
Other Income/Expense, Net
YoY Change
Pretax Income -$38.17M $2.183M $510.0K
YoY Change 8517.16% 81.61% -126.23%
Income Tax $200.0K $800.0K $826.0K
% Of Pretax Income 36.65% 161.96%
Net Earnings -$38.39M $1.378M -$316.0K
YoY Change 11497.58% 69.29% -89.56%
Net Earnings / Revenue -256.6% 8.67% -0.58%
Basic Earnings Per Share -$1.55 $0.07
Diluted Earnings Per Share -$1.55 $0.07 -$0.01
COMMON SHARES
Basic Shares Outstanding 26.29M shares 20.00M shares
Diluted Shares Outstanding 24.81M shares 20.00M shares

Balance Sheet

Concept 2024 Q2 2024 Q1 2023 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $88.89M $5.739M $4.421M
YoY Change 1300.2% -19.3%
Cash & Equivalents $34.27M $5.739M $4.421M
Short-Term Investments $54.61M $0.00
Other Short-Term Assets $3.369M $3.691M $3.712M
YoY Change 33.37% 50.53%
Inventory
Prepaid Expenses
Receivables $6.781M $5.562M $4.006M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $108.2M $24.23M $20.89M
YoY Change 445.61% -3.3%
LONG-TERM ASSETS
Property, Plant & Equipment $742.0K $656.0K $591.0K
YoY Change -71.32% -79.98%
Goodwill $9.026M $9.026M $9.026M
YoY Change
Intangibles
YoY Change
Long-Term Investments $13.39M
YoY Change
Other Assets $1.845M $2.057M $1.825M
YoY Change -9.34% 15.43%
Total Long-Term Assets $41.20M $23.13M $20.00M
YoY Change 138.92% 16.83%
TOTAL ASSETS
Total Short-Term Assets $108.2M $24.23M $20.89M
Total Long-Term Assets $41.20M $23.13M $20.00M
Total Assets $149.4M $47.36M $40.89M
YoY Change 302.96% 5.6%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $2.572M $3.332M $2.495M
YoY Change 227.64% 33.85%
Accrued Expenses $23.75M $9.945M $10.26M
YoY Change 129.92% -10.9%
Deferred Revenue $8.519M $7.935M $7.882M
YoY Change
Short-Term Debt $0.00 $2.016M $2.000M
YoY Change -100.0% 0.0%
Long-Term Debt Due $2.049M
YoY Change
Total Short-Term Liabilities $40.04M $26.23M $24.99M
YoY Change 80.23% 9.37%
LONG-TERM LIABILITIES
Long-Term Debt $2.738M $4.283M $0.00
YoY Change
Other Long-Term Liabilities $185.0K $197.0K $221.0K
YoY Change -95.67% -96.22%
Total Long-Term Liabilities $185.0K $4.480M $221.0K
YoY Change -95.67% -96.22%
TOTAL LIABILITIES
Total Short-Term Liabilities $40.04M $26.23M $24.99M
Total Long-Term Liabilities $185.0K $4.480M $221.0K
Total Liabilities $47.57M $36.77M $31.48M
YoY Change 79.57% 9.72%
SHAREHOLDERS EQUITY
Retained Earnings -$25.62M $12.77M $11.39M
YoY Change
Common Stock $3.000K $2.000K $2.000K
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $101.8M $10.60M $9.402M
YoY Change
Total Liabilities & Shareholders Equity $149.4M $47.36M $40.89M
YoY Change 302.96% 5.6%

Cashflow Statement

Concept 2024 Q2 2024 Q1 2023 Q4
OPERATING ACTIVITIES
Net Income -$38.39M $1.378M -$316.0K
YoY Change 11497.58% 69.29% -89.56%
Depreciation, Depletion And Amortization $355.0K $120.0K $292.0K
YoY Change 14.89% -27.71% -47.01%
Cash From Operating Activities -$6.222M -$2.572M -$986.0K
YoY Change -387.26% -613.37% -52.98%
INVESTING ACTIVITIES
Capital Expenditures $46.00K $10.00K $137.0K
YoY Change -77.23% -94.35% 53.93%
Acquisitions
YoY Change
Other Investing Activities -$67.81M
YoY Change
Cash From Investing Activities -$67.85M -$10.00K -$137.0K
YoY Change 33491.58% -94.35% 53.93%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 102.6M $3.873M -731.0K
YoY Change -11234.74% -765.46% -217.15%
NET CHANGE
Cash From Operating Activities -6.222M -$2.572M -986.0K
Cash From Investing Activities -67.85M -$10.00K -137.0K
Cash From Financing Activities 102.6M $3.873M -731.0K
Net Change In Cash 28.47M $1.318M -1.854M
YoY Change 2630.01% -820.22% 18.69%
FREE CASH FLOW
Cash From Operating Activities -$6.222M -$2.572M -$986.0K
Capital Expenditures $46.00K $10.00K $137.0K
Free Cash Flow -$6.268M -$2.582M -$1.123M
YoY Change -419.14% -896.91% -48.63%

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EffectOfExchangeRateOnCashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
75000 usd
CY2024Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
1318000 usd
CY2023Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
-183000 usd
CY2023Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
4421000 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
5478000 usd
CY2024Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
5739000 usd
CY2023Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
5295000 usd
CY2024Q1 us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<div style="margin-bottom:2pt;margin-top:4pt"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-style:italic;font-weight:700;line-height:120%">Revision of Prior Financial Statements</span></div><div style="margin-bottom:9.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-weight:400;line-height:120%">For the three months ended March 31, 2023, accrued expenses and general and administrative expenses were understated by $0.2 million in the Company’s condensed consolidated balance sheet and condensed consolidated statement of income, respectively, due to certain accruals for professional services rendered not being recorded. </span></div><div style="margin-bottom:9.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-weight:400;line-height:120%">The Company has determined that such errors are immaterial and has increased accrued expenses and other current liabilities and general and administrative expenses to correct these immaterial errors.</span></div>
CY2024Q1 us-gaap Use Of Estimates
UseOfEstimates
<div style="margin-bottom:2pt;margin-top:4pt"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Use of estimates</span></div><div style="margin-bottom:9.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-weight:400;line-height:120%">The preparation of financial statements in conformity with 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 financial statements. Estimates also affect the amounts of revenue and expenses during the reported periods. The Company’s most significant estimates relate to revenue recognition. Other estimates include, but are not limited to, accounts receivable allowances, stock-based compensation, valuation of goodwill and other intangible assets, contingent consideration, uncertain tax positions and income taxes. Actual results could differ from those estimates.</span></div>
CY2024Q1 us-gaap Concentration Risk Credit Risk
ConcentrationRiskCreditRisk
<div style="margin-bottom:2pt;margin-top:4pt"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Concentrations of credit risk</span></div><div style="margin-bottom:9.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-weight:400;line-height:120%">As of March 31, 2024, none of the Company’s customers represented more than 10% of the Company’s accounts receivable. As of December 31, 2023, two customers represented 20% and 15% of the Company’s accounts receivable. </span></div><div style="margin-bottom:9.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-weight:400;line-height:120%">During the three months ended March 31, 2024 one customer represented 11% of the Company’s total revenue. None of the Company’s customers represented more than 10% of the Company’s total revenue for the three months ended March 31, 2023.</span></div><div style="margin-bottom:9.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-weight:400;line-height:120%">In addition to the concentration of credit risk with respect to trade receivables, the Company's cash on deposit with financial institutions is also exposed to concentration risk. The Company's cash on deposit with financial institutions are insured through various public and private bank deposit insurance programs, foreign and domestic; however, a significant portion of cash balances held as of March 31, 2024 and December 31, 2023 exceeded insured limits. </span></div><div style="margin-bottom:9.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:9.5pt;font-weight:400;line-height:120%">As of March 31, 2024, $3.0 million, or 52%, of the Company’s cash was maintained with one financial institution, where the Company’s current deposits are in excess of federally insured limits. Past macroeconomic conditions have resulted in the actual or perceived financial distress of many financial institutions, including the failures of Silicon Valley Bank, Signature Bank, First Republic Bank and the UBS takeover of Credit Suisse. If the financial institutions with whom the Company does business were to be placed into receivership, the Company may be unable to access the cash it has on deposit with such institutions. If the Company is unable to access its cash as needed, the Company’s financial position and ability to operate its business could be adversely affected.</span></div>
CY2024Q1 us-gaap Provision For Doubtful Accounts
ProvisionForDoubtfulAccounts
200000 usd
CY2023Q1 us-gaap Provision For Doubtful Accounts
ProvisionForDoubtfulAccounts
21000 usd
CY2024Q1 us-gaap Allowance For Doubtful Accounts Receivable Current
AllowanceForDoubtfulAccountsReceivableCurrent
800000 usd
CY2023Q4 us-gaap Allowance For Doubtful Accounts Receivable Current
AllowanceForDoubtfulAccountsReceivableCurrent
500000 usd
CY2024Q1 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
-200000 usd
CY2023Q1 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
100000 usd
CY2024Q1 us-gaap Foreign Currency Transaction Gain Loss Realized After Tax
ForeignCurrencyTransactionGainLossRealizedAfterTax
-100000 usd
CY2023Q1 us-gaap Foreign Currency Transaction Gain Loss Realized After Tax
ForeignCurrencyTransactionGainLossRealizedAfterTax
-200000 usd
CY2024Q1 us-gaap Revenue Remaining Performance Obligation
RevenueRemainingPerformanceObligation
29100000 usd
CY2024Q1 us-gaap Revenue Remaining Performance Obligation Percentage
RevenueRemainingPerformanceObligationPercentage
0.49
CY2024Q1 us-gaap Revenue Remaining Performance Obligation Expected Timing Of Satisfaction Period1
RevenueRemainingPerformanceObligationExpectedTimingOfSatisfactionPeriod1
P12M
CY2024Q1 us-gaap Contract With Customer Liability Revenue Recognized
ContractWithCustomerLiabilityRevenueRecognized
2300000 usd
CY2024Q1 us-gaap Operating Lease Right Of Use Asset
OperatingLeaseRightOfUseAsset
2157000 usd
CY2023Q4 us-gaap Operating Lease Right Of Use Asset
OperatingLeaseRightOfUseAsset
1963000 usd
CY2024Q1 us-gaap Operating Lease Liability Current
OperatingLeaseLiabilityCurrent
817000 usd
CY2023Q4 us-gaap Operating Lease Liability Current
OperatingLeaseLiabilityCurrent
735000 usd
CY2024Q1 us-gaap Operating Lease Liability Noncurrent
OperatingLeaseLiabilityNoncurrent
1320000 usd
CY2023Q4 us-gaap Operating Lease Liability Noncurrent
OperatingLeaseLiabilityNoncurrent
1198000 usd
CY2024Q1 us-gaap Operating Lease Cost
OperatingLeaseCost
230000 usd
CY2023Q1 us-gaap Operating Lease Cost
OperatingLeaseCost
256000 usd
CY2024Q1 us-gaap Variable Lease Cost
VariableLeaseCost
60000 usd
CY2023Q1 us-gaap Variable Lease Cost
VariableLeaseCost
24000 usd
CY2024Q1 us-gaap Lease Cost
LeaseCost
290000 usd
CY2023Q1 us-gaap Lease Cost
LeaseCost
280000 usd
CY2024Q1 us-gaap Operating Lease Payments
OperatingLeasePayments
222000 usd
CY2023Q1 us-gaap Operating Lease Payments
OperatingLeasePayments
256000 usd
CY2024Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
567000 usd
CY2023Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
0 usd
CY2024Q1 us-gaap Operating Lease Weighted Average Remaining Lease Term1
OperatingLeaseWeightedAverageRemainingLeaseTerm1
P3Y10M6D
CY2023Q1 us-gaap Operating Lease Weighted Average Remaining Lease Term1
OperatingLeaseWeightedAverageRemainingLeaseTerm1
P4Y5M19D
CY2024Q1 us-gaap Operating Lease Weighted Average Discount Rate Percent
OperatingLeaseWeightedAverageDiscountRatePercent
0.0383
CY2023Q1 us-gaap Operating Lease Weighted Average Discount Rate Percent
OperatingLeaseWeightedAverageDiscountRatePercent
0.0413
CY2024Q1 us-gaap Lessee Operating Lease Liability Payments Remainder Of Fiscal Year
LesseeOperatingLeaseLiabilityPaymentsRemainderOfFiscalYear
622000 usd
CY2024Q1 us-gaap Lessee Operating Lease Liability Payments Due Next Twelve Months
LesseeOperatingLeaseLiabilityPaymentsDueNextTwelveMonths
652000 usd
CY2024Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Two
LesseeOperatingLeaseLiabilityPaymentsDueYearTwo
382000 usd
CY2024Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Three
LesseeOperatingLeaseLiabilityPaymentsDueYearThree
219000 usd
CY2024Q1 us-gaap Lessee Operating Lease Liability Payments Due Year Four
LesseeOperatingLeaseLiabilityPaymentsDueYearFour
194000 usd
CY2024Q1 svco Lessee Operating Lease Liability To Be Paid After Year Four
LesseeOperatingLeaseLiabilityToBePaidAfterYearFour
194000 usd
CY2024Q1 us-gaap Lessee Operating Lease Liability Payments Due
LesseeOperatingLeaseLiabilityPaymentsDue
2263000 usd
CY2024Q1 us-gaap Lessee Operating Lease Liability Undiscounted Excess Amount
LesseeOperatingLeaseLiabilityUndiscountedExcessAmount
126000 usd
CY2024Q1 us-gaap Operating Lease Liability
OperatingLeaseLiability
2137000 usd
CY2024Q1 us-gaap Operating Lease Liability Current
OperatingLeaseLiabilityCurrent
817000 usd
CY2024Q1 us-gaap Operating Lease Liability Noncurrent
OperatingLeaseLiabilityNoncurrent
1320000 usd
CY2024Q1 us-gaap Operating Lease Expense
OperatingLeaseExpense
300000 usd
CY2023Q1 us-gaap Operating Lease Expense
OperatingLeaseExpense
300000 usd
CY2023Q1 us-gaap Goodwill Period Increase Decrease
GoodwillPeriodIncreaseDecrease
0 usd
CY2024Q1 us-gaap Goodwill Period Increase Decrease
GoodwillPeriodIncreaseDecrease
0 usd
CY2024Q1 us-gaap Finite Lived Intangible Assets Gross
FiniteLivedIntangibleAssetsGross
910000 usd
CY2024Q1 us-gaap Finite Lived Intangible Assets Accumulated Amortization
FiniteLivedIntangibleAssetsAccumulatedAmortization
637000 usd
CY2024Q1 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
273000 usd
CY2023Q4 us-gaap Finite Lived Intangible Assets Gross
FiniteLivedIntangibleAssetsGross
5255000 usd
CY2023Q4 us-gaap Finite Lived Intangible Assets Accumulated Amortization
FiniteLivedIntangibleAssetsAccumulatedAmortization
4913000 usd
CY2023Q4 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
342000 usd
CY2023Q1 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
100000 usd
CY2024Q1 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
100000 usd
CY2024Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Remainder Of Fiscal Year
FiniteLivedIntangibleAssetsAmortizationExpenseRemainderOfFiscalYear
136000 usd
CY2024Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Next Twelve Months
FiniteLivedIntangibleAssetsAmortizationExpenseNextTwelveMonths
137000 usd
CY2024Q1 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
273000 usd
CY2024Q1 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
15889000 usd
CY2023Q1 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
14291000 usd
CY2024Q1 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
800000 usd
CY2023Q1 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
400000 usd
CY2024Q1 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0.37
CY2023Q1 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0.32
CY2024Q1 us-gaap Number Of Reportable Segments
NumberOfReportableSegments
1 segment
CY2024Q1 us-gaap Number Of Operating Segments
NumberOfOperatingSegments
1 segment
CY2024Q1 us-gaap Noncurrent Assets
NoncurrentAssets
656000 usd
CY2023Q4 us-gaap Noncurrent Assets
NoncurrentAssets
591000 usd
CY2022Q4 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliations Recurring Basis Liability Value
FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue
792000 usd
CY2023 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Gain Loss Included In Earnings
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityGainLossIncludedInEarnings
325000 usd
CY2023 svco Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Foreign Exchange Gain Loss
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityForeignExchangeGainLoss
3000 usd
CY2023Q4 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliations Recurring Basis Liability Value
FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue
112000 usd
CY2024Q1 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Gain Loss Included In Earnings
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityGainLossIncludedInEarnings
-8000 usd
CY2024Q1 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Settlements
FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilitySettlements
13000 usd
CY2024Q1 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliations Recurring Basis Liability Value
FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue
91000 usd

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