☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 02-0377419 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |
98 Spit Brook Road, Suite 100, Nashua, NH | 03062 | |
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||
Common Stock, $0.01 par value | ICAD | The Nasdaq Stock Market LLC |
Large Accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer | ☒ | Smaller reporting company | ☒ | |||
Emerging growth company | ☐ |
Page | ||||||
PART I | FINANCIAL INFORMATION | |||||
Item 1 | Financial Statements (unaudited) | |||||
3 | ||||||
4 | ||||||
5 | ||||||
6 | ||||||
Item 2 | ||||||
Item 3 | ||||||
Item 4 | ||||||
39 | ||||||
PART II | 40 | |||||
Item 1A | 40 | |||||
41 | ||||||
42 | ||||||
March 31, | December 31, | |||||||
2021 | 2020 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 46,907 | $ | 27,186 | ||||
Trade accounts receivable, net of allowance for doubtful accounts of $111 in 2021 and $111 in 2020 | 10,649 | 10,027 | ||||||
Inventory, net | 2,498 | 3,144 | ||||||
Prepaid expenses and other current assets | 2,188 | 1,945 | ||||||
Total current assets | 62,242 | 42,302 | ||||||
Property and equipment, net of accumulated depreciation of $6,854 in 2021 and $6,778 in 2020 | �� | 930 | 744 | |||||
Operating lease assets | 1,565 | 1,758 | ||||||
Other assets | 1,564 | 1,527 | ||||||
Intangible assets, net of accumulated amortization of $8,552 in 2021 and $8,494 in 2020 | 831 | 889 | ||||||
Goodwill | 8,362 | 8,362 | ||||||
Total assets | $ | 75,494 | $ | 55,582 | ||||
Liabilities and Stockholders’ Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 1,251 | $ | 2,869 | ||||
Accrued and other expenses | 5,819 | 7,039 | ||||||
Notes payable - current portion | 269 | 0 | ||||||
Lease payable - current portion | 847 | 726 | ||||||
Deferred revenue | 5,957 | 6,117 | ||||||
Total current liabilities | 14,143 | 16,751 | ||||||
Lease payable, long-term portion | 860 | 1,075 | ||||||
Notes payable, long-term portion | 6,703 | 6,960 | ||||||
Deferred revenue, long-term portion | 420 | 267 | ||||||
Deferred tax | 4 | 4 | ||||||
Total liabilities | 22,130 | 25,057 | ||||||
Commitments and Contingencies (Note 7) | 0 | 0 | ||||||
Stockholders’ equity: | ||||||||
Preferred stock, $0.01 par value: authorized 1,000,000 shares; NaN . | 0— | 0— | ||||||
Common stock, $0.01 par value: authorized 30,000,000 shares; issued 25,143,432 a s of March 31, 2021 and 23,693,735 as of December 31, 2020. | ||||||||
Outstanding 24,957,601 as of March 31, 2021 and 23,508,575 as of December 31, 2020 . | 251 | 236 | ||||||
Additional paid-in capital | 298,106 | 273,639 | ||||||
Accumulated deficit | (243,578 | ) | (241,935 | ) | ||||
Treasury stock at cost, 185,831 shares in 2021 and 2020 | (1,415 | ) | (1,415 | ) | ||||
Total stockholders’ equity | 53,364 | 30,525 | ||||||
Total liabilities and stockholders’ equity | $ | 75,494 | $ | 55,582 | ||||
(Unaudited) | ||||||||
September 30, | December 31, | |||||||
2021 | 2020 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 35,805 | $ | 27,186 | ||||
Trade accounts receivable, net of allowance for doubtful accounts of $87 in 2021 and $111 in 2020 | 11,792 | 10,027 | ||||||
Inventory, net | 3,290 | 3,144 | ||||||
Prepaid expenses and other current assets | 1,989 | 1,945 | ||||||
Total current assets | 52,876 | 42,302 | ||||||
Property and equipment, net of accumulated depreciation of $7,020 in 2021 and $6,778 in 2020 | 925 | 744 | ||||||
Operating lease assets | 1,176 | 1,758 | ||||||
Other assets | 1,657 | 1,527 | ||||||
Intangible assets, net of accumulated amortization of $8,667 in 2021 and $8,494 in 2020 | 741 | 889 | ||||||
Goodwill | 8,362 | 8,362 | ||||||
Total assets | $ | 65,737 | $ | 55,582 | ||||
Liabilities and Stockholders’ Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 2,651 | $ | 2,869 | ||||
Accrued and other expenses | 5,523 | 7,039 | ||||||
Lease payable — current portion | 856 | 726 | ||||||
Deferred revenue | 5,930 | 6,117 | ||||||
Total current liabilities | 14,960 | 16,751 | ||||||
Lease payable, long-term portion | 431 | 1,075 | ||||||
Notes payable, long-term portion | — | 6,960 | ||||||
Deferred revenue, long-term portion | 520 | 267 | ||||||
Deferred tax | 5 | 4 | ||||||
Total liabilities | 15,916 | 25,057 | ||||||
Commitments and Contingencies | 0 | 0 | ||||||
Stockholders’ equity: | ||||||||
Preferred stock, $0.01 par value: authorized 1,000,000 shares; NaN issued. | 0— | 0— | ||||||
Common stock, $0.01 par value: authorized 60,000,000 shares; issued 25,287,837 as of September 30, 2021 and 23,693,735 as of December 31, 2020. | ||||||||
Outstanding 25,102,006 as of September 30, 2021 and 23,508,575 as of December 31, 2020. | 253 | 236 | ||||||
Additional paid-in capital | 300,017 | 273,639 | ||||||
Accumulated deficit | (249,034 | ) | (241,935 | ) | ||||
Treasury stock at cost, 185,831 shares in 2021 and 2020 | (1,415 | ) | (1,415 | ) | ||||
Total stockholders’ equity | 49,821 | 30,525 | ||||||
Total liabilities and stockholders’ equity | $ | 65,737 | $ | 55,582 | ||||
Three Months Ended March 31, | ||||||||
2021 | 2020 | |||||||
Revenue: | ||||||||
Products | $ | 5,557 | $ | 3,795 | ||||
Service and supplies | 3,087 | 2,756 | ||||||
Total revenue | 8,644 | 6,551 | ||||||
Cost of revenue: | ||||||||
Products | 1,409 | 1,017 | ||||||
Service and supplies | 867 | 927 | ||||||
Amortization and depreciation | 79 | 97 | ||||||
Total cost of revenue | 2,355 | 2,041 | ||||||
Gross profit | 6,289 | 4,510 | ||||||
Operating expenses: | ||||||||
Engineering and product development | 2,192 | 2,211 | ||||||
Marketing and sales | 3,424 | 3,608 | ||||||
General and administrative | 2,151 | 2,532 | ||||||
Amortization and depreciation | 55 | 52 | ||||||
Total operating expenses | 7,822 | 8,403 | ||||||
Loss from operations | (1,533 | ) | (3,893 | ) | ||||
Interest expense | (112 | ) | (130 | ) | ||||
Other income | 2 | 42 | ||||||
Loss on extinguishment of debt | — | (341 | ) | |||||
Loss on fair value of convertible debentures | — | (7,464 | ) | |||||
Other expense, net | (110 | ) | (7,893 | ) | ||||
Loss before income tax expense | (1,643 | ) | (11,786 | ) | ||||
Tax expense | 0 | (26 | ) | |||||
Net loss and comprehensive loss | $ | (1,643 | ) | $ | (11,812 | ) | ||
Net loss per share: | ||||||||
Basic | $ | (0.07 | ) | $ | (0.59 | ) | ||
Diluted | $ | (0.07 | ) | $ | (0.59 | ) | ||
Weighted average number of shares used in computing loss per share: | ||||||||
Basic | 23,929 | 20,175 | ||||||
Diluted | 23,929 | 20,175 | ||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Revenue: | ||||||||||||||||
Products | $ | 6,320 | $ | 4,538 | $ | 16,429 | $ | 11,220 | ||||||||
Service and supplies | 3,041 | 2,591 | 9,401 | 8,027 | ||||||||||||
Total revenue | 9,361 | 7,129 | 25,830 | 19,247 | ||||||||||||
Cost of revenue: | ||||||||||||||||
Products | 1,807 | 1,345 | 4,592 | 2,899 | ||||||||||||
Service and supplies | 763 | 667 | 2,462 | 2,169 | ||||||||||||
Amortization and depreciation | 79 | 92 | 237 | 287 | ||||||||||||
Total cost of revenue | 2,649 | 2,104 | 7,291 | 5,355 | ||||||||||||
Gross profit | 6,712 | 5,025 | 18,539 | 13,892 | ||||||||||||
Operating expenses: | ||||||||||||||||
Engineering and product development | 2,285 | 1,849 | 6,745 | 5,938 | ||||||||||||
Marketing and sales | 3,886 | 2,979 | 10,739 | 9,218 | ||||||||||||
General and administrative | 2,658 | 1,834 | 7,461 | 6,476 | ||||||||||||
Amortization and depreciation | 64 | 52 | 178 | 153 | ||||||||||||
Total operating expenses | 8,893 | 6,714 | 25,123 | 21,785 | ||||||||||||
Loss from operations | (2,181 | ) | (1,689 | ) | (6,584 | ) | (7,893 | ) | ||||||||
Interest expense | 0 | (115 | ) | (141 | ) | (360 | ) | |||||||||
Other income | 5 | 10 | 12 | 85 | ||||||||||||
Loss on extinguishment of debt | 0 | — | (386 | ) | (341 | ) | ||||||||||
Loss on fair value of convertible debentures | — | — | — | (7,464 | ) | |||||||||||
Other income (expense), net | 5 | (105 | ) | (515 | ) | (8,080 | ) | |||||||||
Loss before income tax expense | (2,176 | ) | (1,794 | ) | (7,099 | ) | (15,973 | ) | ||||||||
Tax expense | — | (3 | ) | — | (34 | ) | ||||||||||
Net loss and comprehensive loss | $ | (2,176 | ) | $ | (1,797 | ) | $ | (7,099 | ) | $ | (16,007 | ) | ||||
Net loss per share: | ||||||||||||||||
Basic | $ | (0.09 | ) | $ | (0.08 | ) | $ | (0.29 | ) | $ | (0.73 | ) | ||||
Diluted | $ | (0.09 | ) | $ | (0.08 | ) | $ | (0.29 | ) | $ | (0.73 | ) | ||||
Weighted average number of shares used in computing loss per share: | ||||||||||||||||
Basic | 25,053 | 23,173 | 24,662 | 21,827 | ||||||||||||
Diluted | 25,053 | 23,173 | 24,662 | 21,827 | ||||||||||||
For the three months ended March 31, | ||||||||
2021 | 2020 | |||||||
(in thousands) | ||||||||
Cash flow from operating activities: | ||||||||
Net loss | $ | (1,643 | ) | $ | (11,812 | ) | ||
Adjustments to reconcile net loss to net cash used for operating activities: | ||||||||
Amortization | 58 | 78 | ||||||
Depreciation | 76 | 71 | ||||||
Bad debt provision | — | 119 | ||||||
Stock-based compensation | 935 | 464 | ||||||
Amortization of debt discount and debt costs | 12 | 40 | ||||||
Loss on extinguishment of debt | — | 341 | ||||||
Deferred tax expense | — | 1 | ||||||
Change in fair value of convertible debentures | — | 7,464 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | (622 | ) | 2,610 | |||||
Inventory | 647 | 149 | ||||||
Prepaid and other assets | (89 | ) | (72 | ) | ||||
Accounts payable | (1,617 | ) | (317 | ) | ||||
Accrued expenses | (1,313 | ) | (439 | ) | ||||
Deferred revenue | (7 | ) | (113 | ) | ||||
Total adjustments | (1,920 | ) | 10,396 | |||||
Net cash used for operating activities | (3,563 | ) | (1,416 | ) | ||||
Cash flow from investing activities: | ||||||||
Additions to patents, technology and other | — | (1 | ) | |||||
Additions to property and equipment | (262 | ) | (155 | ) | ||||
Net cash used for investing activities | (262 | ) | (156 | ) | ||||
Cash flow from financing activities: | ||||||||
Issuance of common stock pursuant to stock option plans | 270 | 196 | ||||||
Issuance of common stock pursuant to Employee Stock Purchase Plan | 47 | — | ||||||
Proceeds from issuance of common stock, net | 23,229 | — | ||||||
Principal repayment of debt financing | — | (4,638 | ) | |||||
Repayment on line of credit | — | (2,000 | ) | |||||
Proceeds from notes payable | — | 7,000 | ||||||
Debt issuance costs | — | (43 | ) | |||||
Net cash provided by financing activities | 23,546 | 515 | ||||||
Increase (decrease in cash and equivalents) | 19,721 | (1,057 | ) | |||||
Cash and cash equivalents, beginning of period | 27,186 | 15,313 | ||||||
Cash and cash equivalents, end of period | $ | 46,907 | $ | 14,256 | ||||
Supplemental disclosure of cash flow information: | ||||||||
Interest paid | $ | 92 | $ | 122 | ||||
Taxes paid | $ | — | $ | 26 | ||||
Issuance of common stock upon conversion of debentures | — | 21,164 | ||||||
Right-of-use | $ | — | $ | 69 | ||||
For the Nine Months ended September 30, | ||||||||
2021 | 2020 | |||||||
(in thousands) | ||||||||
Cash flow from operating activities: | ||||||||
Net loss | $ | (7,099 | ) | $ | (16,007 | ) | ||
Adjustments to reconcile net loss to net cash used for operating activities: | ||||||||
Amortization | 176 | 234 | ||||||
Depreciation | 242 | 206 | ||||||
Bad debt provision | (25 | ) | 80 | |||||
Stock-based compensation | 2,102 | 2,542 | ||||||
Amortization of debt discount and debt costs | 17 | 65 | ||||||
Loss on extinguishment of debt | 386 | 341 | ||||||
Deferred tax expense | — | 1 | ||||||
Change in fair value of convertible debentures | — | 7,464 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | (1,827 | ) | 1,151 | |||||
Inventory | (146 | ) | (535 | ) | ||||
Prepaid and other assets | 493 | 69 | ||||||
Accounts payable | (217 | ) | 96 | |||||
Accrued expenses | (2,028 | ) | (2,322 | ) | ||||
Deferred revenue | 65 | 532 | ||||||
Total adjustments | (762 | ) | 9,924 | |||||
Net cash used for operating activities | (7,861 | ) | (6,083 | ) | ||||
Cash flow from investing activities: | ||||||||
Additions to patents, technology and other | (24 | ) | (11 | ) | ||||
Additions to property and equipment | (426 | ) | (275 | ) | ||||
Net cash used for investing activities | (450 | ) | (286 | ) | ||||
Cash flow from financing activities: | ||||||||
Issuance of common stock pursuant to stock option plans | 933 | 415 | ||||||
Issuance of common stock pursuant to Employee Stock Purchase Plan | 190 | 209 | ||||||
Proceeds from issuance of common stock, net | 23,229 | 12,174 | ||||||
Taxes paid related to restricted stock issuance | (59 | ) | (225 | ) | ||||
Principal payments of capital lease obligations | — | (4,638 | ) | |||||
Repayment of debt financing | (7,363 | ) | 775 | |||||
Repayment on line of credit | — | (2,000 | ) | |||||
Proceeds from notes payable | — | 6,957 | ||||||
Debt issuance costs | — | 22 | ||||||
Net cash provided by financing activities | 16,930 | 13,689 | ||||||
Increase in cash and equivalents | 8,619 | 7,320 | ||||||
Cash and cash equivalents, beginning of period | 27,186 | 15,313 | ||||||
Cash and cash equivalents, end of period | $ | 35,805 | $ | 22,633 | ||||
Supplemental disclosure of cash flow information: | ||||||||
Interest paid | $ | 92 | $ | 127 | ||||
Taxes paid | $ | — | $ | 34 | ||||
Issuance of common stock upon conversion of debentures | — | 21,164 | ||||||
Right-of-use | $ | — | $ | 69 | ||||
Common Stock | Additional Paid-in Capital | |||||||||||||||||||||||
Number of Shares Issued | Par Value | Accumulated Deficit | Treasury Stock | Stockholders’ Equity | ||||||||||||||||||||
Balance at December 31, 2020 | 23,694,406 | 236 | 273,639 | (241,935 | ) | (1,415) | $ | 30,525 | ||||||||||||||||
Issuance of common stock relative to vesting of restricted stock | 43,831 | 1 | (60 | ) | — | — | (59 | ) | ||||||||||||||||
Issuance of common stock, net | 1,393,738 | 14 | 23,215 | — | — | 23,229 | ||||||||||||||||||
Issuance of common stock pursuant to stock option plans | 138,450 | 2 | 931 | — | — | 933 | ||||||||||||||||||
Issuance of common stock pursuant Employee Stock Purchase Plan | 17,412 | — | 190 | — | — | 190 | ||||||||||||||||||
Stock-based compensation | — | — | 2,102 | — | — | 2,102 | ||||||||||||||||||
Net loss | — | — | — | (7,099 | ) | — | (7,099 | ) | ||||||||||||||||
Balance at September 30, 2021 | 25,287,837 | $ | 253 | $ | 300,017 | $ | (249,034 | ) | $ | (1,415 | ) | $ | 49,821 | |||||||||||
Common Stock | Additional Paid-in Capital | |||||||||||||||||||||||
Number of Shares Issued | Par Value | Accumulated Deficit | Treasury Stock | Stockholders’ Equity | ||||||||||||||||||||
Balance at June 30, 2021 | 25,213,302 | 251 | 299,049 | (246,858 | ) | (1,415 | ) | $ | 51,027 | |||||||||||||||
Issuance of common stock relative to vesting of restricted stock | 14,665 | 1 | (60 | ) | — | — | (59 | ) | ||||||||||||||||
Issuance of common stock, net | 54,702 | 1 | 296 | — | — | 297 | ||||||||||||||||||
Issuance of common stock pursuant to stock option plans | — | — | — | — | — | — | ||||||||||||||||||
Issuance of common stock pursuant Employee Stock Purchase Plan | 5,168 | — | 76 | — | — | 76 | ||||||||||||||||||
Stock-based compensation | — | — | 656 | — | — | 656 | ||||||||||||||||||
Net loss | — | — | — | (2,176 | ) | — | (2,176 | ) | ||||||||||||||||
Balance at September 30, 2021 | 25,287,837 | $ | 253 | $ | 300,017 | $ | (249,034 | ) | $ | (1,415 | ) | $ | 49,821 | |||||||||||
Common Stock | Additional Paid-in Capital | |||||||||||||||||||||||
Number of Shares Issued | Par Value | Accumulated Deficit | Treasury Stock | Stockholders’ Equity | ||||||||||||||||||||
Balance at December 31, 2019 | 19,546,151 | $ | 196 | $ | 230,615 | $ | (224,325 | ) | $ | (1,415) | $ | 5,071 | ||||||||||||
Issuance of common stock relative to vesting of restricted stock, net | 97,830 | — | (225 | ) | — | — | (225 | ) | ||||||||||||||||
Issuance of common stock pursuant to stock option plans | 94,678 | 1 | 416 | — | — | 417 | ||||||||||||||||||
Stock Issuance Net | 1,562,500 | 16 | 12,158 | — | — | 12,174 | ||||||||||||||||||
Issuance of common stock pursuant Employee Stock Purchase Plan | 34,857 | 209 | 209 | |||||||||||||||||||||
Issuance of stock upon conversion of Debentures | 1,819,466 | 18 | 21,146 | — | — | 21,164 | ||||||||||||||||||
Stock-based compensation | — | — | 2,542 | 2,542 | ||||||||||||||||||||
Net loss | — | — | — | (16,007 | ) | — | (16,007 | ) | ||||||||||||||||
Balance at September 30, 2020 | 23,155,482 | $ | 231 | $ | 266,861 | $ | (240,332 | ) | $ | (1,415 | ) | $ | 25,345 | |||||||||||
Common Stock | Additional | ||||||||||||||||||||||||
Number of | Paid-in | Accumulated | Treasury | Stockholders’ | |||||||||||||||||||||
Shares Issued | Par Value | Capital | Deficit | Stock | Equity | ||||||||||||||||||||
Balance at December 31, 2020 | 23,694,406 | $ | 236 | $ | 273,639 | $ | (241,935 | ) | (1,415 | ) | $ | 30,525 | |||||||||||||
Issuance of common stock relative to vesting of restricted stock | 20,000 | — | — | — | — | — | |||||||||||||||||||
Issuance of common stock, net | 1,393,738 | 14 | 23,215 | — | — | 23,229 | |||||||||||||||||||
Issuance of common stock pursuant to stock option plans | 28,934 | 1 | 270 | — | — | 271 | |||||||||||||||||||
Issuance of common stock pursuant Employee Stock Purchase Plan | 6,354 | — | 47 | — | — | 47 | |||||||||||||||||||
Stock-based compensation | — | — | 935 | — | — | 935 | |||||||||||||||||||
Net loss | — | — | — | (1,643 | ) | — | (1,643 | ) | |||||||||||||||||
Balance at March 31, 2021 | 25,143,432 | $ | 251 | $ | 298,106 | $ | (243,578 | ) | $ | (1,415 | ) | $ | 53,364 |
Common Stock | Additional | |||||||||||||||||||||||
Number of | Paid-in | Accumulated | Treasury | Stockholders’ | ||||||||||||||||||||
Shares Issued | Par Value | Capital | Deficit | Stock | Equity | |||||||||||||||||||
Balance at December 31, 2019 | 19,546,151 | $ | 196 | $ | 230,615 | $ | (224,325 | ) | $ | (1,415 | ) | $ | 5,071 | |||||||||||
Issuance of common stock relative to vesting of restricted stock | 23,500 | — | — | — | — | — | ||||||||||||||||||
Issuance of common stock pursuant to stock option plans | 36,799 | 1 | 195 | — | — | 196 | ||||||||||||||||||
Issuance of stock upon conversion of Debentures | 1,819,466 | 18 | 21,146 | — | — | 21,164 | ||||||||||||||||||
Stock-based compensation | 464 | 464 | ||||||||||||||||||||||
Net loss | — | — | — | (11,812 | ) | — | (11,812 | ) | ||||||||||||||||
Balance at March 31, 2020 | 21,425,916 | $ | 215 | $ | 252,420 | $ | (236,137 | ) | $ | (1,415 | ) | $ | 15,083 |
Common Stock | Additional Paid-in Capital | |||||||||||||||||||||||
Number of Shares Issued | Par Value | Accumulated Deficit | Treasury Stock | Stockholders’ Equity | ||||||||||||||||||||
Balance at June 30, 2020 | 23,060,272 | $ | 231 | $ | 266,211 | $ | (238,535 | ) | $ | (1,415 | ) | $ | 26,492 | |||||||||||
Issuance of common stock relative to vesting of restricted stock | 29,106 | — | (94 | ) | — | — | (94 | ) | ||||||||||||||||
Issuance of common stock pursuant to stock option plans | 49,712 | — | 185 | — | — | 185 | ||||||||||||||||||
Stock Issuance Net | — | — | — | — | — | — | ||||||||||||||||||
Issuance of common stock pursuant Employee Stock Purchase Plan | 16,392 | — | 94 | — | — | 94 | ||||||||||||||||||
Issuance of stock upon conversion of Debentures | — | — | — | — | — | — | ||||||||||||||||||
Stock-based compensation | — | — | 465 | — | — | 465 | ||||||||||||||||||
Net loss | — | — | — | (1,797 | ) | — | (1,797 | ) | ||||||||||||||||
Balance at September 30, 2020 | 23,155,482 | $ | 231 | $ | 266,861 | $ | (240,332 | ) | $ | (1,415 | ) | $ | 25,345 | |||||||||||
Three months ended September 30, 2021 | ||||||||||||
Reportable Segments | ||||||||||||
Detection | Therapy | Total | ||||||||||
Major Goods/Service Lines | ||||||||||||
Products | $ | 4,454 | $ | 2,358 | $ | 6,812 | ||||||
Service contracts | 1,554 | 398 | 1,952 | |||||||||
Supply and source usage agreements | — | 562 | 562 | |||||||||
Professional services | — | 35 | 35 | |||||||||
Other | — | — | — | |||||||||
$ | 6,008 | $ | 3,353 | $ | 9,361 | |||||||
Timing of Revenue Recognition | ||||||||||||
Goods transferred at a point in time | $ | 4,454 | $ | 2,393 | $ | 6,847 | ||||||
Services transferred over time | 1,554 | 960 | 2,514 | |||||||||
$ | 6,008 | $ | 3,353 | $ | 9,361 | |||||||
Sales Channels | ||||||||||||
Direct sales force | $ | 3,629 | $ | 1,403 | $ | 5,032 | ||||||
OEM partners | 2,379 | — | 2,379 | |||||||||
Channel partners | — | 1,950 | 1,950 | |||||||||
$ | 6,008 | $ | 3,353 | $ | 9,361 | |||||||
Nine months ended September 30, 2021 | ||||||||||||
Reportable Segments | ||||||||||||
Detection | Therapy | Total | ||||||||||
Major Goods/Service Lines | ||||||||||||
Products | $ | 11,778 | $ | 6,580 | $ | 18,358 | ||||||
Service contracts | 4,737 | 1,109 | 5,846 | |||||||||
Supply and source usage agreements | — | 1,572 | 1,572 | |||||||||
Professional services | — | 54 | 54 | |||||||||
Other | — | — | — | |||||||||
$ | 16,515 | $ | 9,315 | $ | 25,830 | |||||||
Timing of Revenue Recognition | ||||||||||||
Goods transferred at a point in time | $ | 11,778 | $ | 6,633 | $ | 18,411 | ||||||
Services transferred over time | 4,737 | $ | 2,682 | 7,419 | ||||||||
$ | 16,515 | $ | 9,315 | $ | 25,830 | |||||||
Sales Channels | ||||||||||||
Direct sales force | $ | 10,691 | $ | 3,632 | $ | 14,323 | ||||||
OEM partners | 5,824 | — | 5,824 | |||||||||
Channel partners | — | 5,683 | 5,683 | |||||||||
$ | 16,515 | $ | 9,315 | $ | 25,830 |
Three months ended March 31, 2021 | ||||||||||||
Reportable Segments | ||||||||||||
Detection | Therapy | Total | ||||||||||
Major Goods/Service Lines | ||||||||||||
Products | $ | 4,161 | $ | 2,103 | $ | 6,264 | ||||||
Service contracts | 1,558 | 340 | 1,898 | |||||||||
Supply and source usage agreements | — | 481 | 481 | |||||||||
Professional services | — | 1 | 1 | |||||||||
$ | 5,719 | $ | 2,925 | $ | 8,644 | |||||||
Timing of Revenue Recognition | ||||||||||||
Goods transferred at a point in time | $ | 4,161 | $ | 2,104 | $ | 6,265 | ||||||
Services transferred over time | 1,558 | 821 | 2,379 | |||||||||
$ | 5,719 | $ | 2,925 | $ | 8,644 | |||||||
Sales Channels | ||||||||||||
Direct sales force | $ | 3,875 | $ | 674 | $ | 4,549 | ||||||
OEM partners | 1,844 | — | 1,844 | |||||||||
Channel partners | — | 2,251 | 2,251 | |||||||||
$ | 5,719 | $ | 2,925 | $ | 8,644 |
Three months ended March 31, 2020 | Three months ended September 30, 2020 | |||||||||||||||||||||||
Reportable Segments | Reportable Segments | |||||||||||||||||||||||
Detection | Therapy | Total | Detection | Therapy | Total | |||||||||||||||||||
Major Goods/Service Lines | ||||||||||||||||||||||||
Products | $ | 3,100 | $ | 1,346 | $ | 4,446 | $ | 3,889 | $ | 1,038 | $ | 4,927 | ||||||||||||
Service contracts | 1,347 | 347 | 1,694 | 1,400 | 347 | 1,747 | ||||||||||||||||||
Supply and source usage agreements | — | 371 | 371 | — | 444 | 444 | ||||||||||||||||||
Professional services | — | 11 | 11 | — | 9 | 9 | ||||||||||||||||||
Other | 29 | 0 | 29 | 2 | — | 2 | ||||||||||||||||||
$ | 4,476 | $ | 2,075 | $ | 6,551 | $ | 5,291 | $ | 1,838 | $ | 7,129 | |||||||||||||
Timing of Revenue Recognition | ||||||||||||||||||||||||
Goods transferred at a point in time | $ | 3,129 | $ | 1,383 | $ | 4,512 | $ | 3,889 | $ | 1,051 | $ | 4,940 | ||||||||||||
Services transferred over time | 1,347 | 692 | 2,039 | 1,402 | 787 | 2,189 | ||||||||||||||||||
$ | 5,291 | $ | 1,838 | $ | 7,129 | |||||||||||||||||||
$ | 4,476 | $ | 2,075 | $ | 6,551 | |||||||||||||||||||
Sales Channels | ||||||||||||||||||||||||
Direct sales force | $ | 2,172 | $ | 1,469 | $ | 3,641 | $ | 2,904 | $ | 857 | $ | 3,761 | ||||||||||||
OEM partners | 2,304 | — | 2,304 | 2,387 | — | 2,387 | ||||||||||||||||||
Channel partners | — | 606 | 606 | — | 981 | 981 | ||||||||||||||||||
$ | 4,476 | $ | 2,075 | $ | 6,551 | $ | 5,291 | $ | 1,838 | $ | 7,129 | |||||||||||||
Nine months ended September 30, 2020 | ||||||||||||||||||||||||
Reportable Segments | ||||||||||||||||||||||||
Detection | Therapy | Total | ||||||||||||||||||||||
Major Goods/Service Lines | ||||||||||||||||||||||||
Products | $ | 9,690 | $ | 2,959 | $ | 12,649 | ||||||||||||||||||
Service contracts | 4,151 | 1,079 | 5,230 | |||||||||||||||||||||
Supply and source usage agreements | — | 1,305 | 1,305 | |||||||||||||||||||||
Professional services | — | 20 | 20 | |||||||||||||||||||||
Other | 43 | — | 43 | |||||||||||||||||||||
$ | 13,884 | $ | 5,363 | $ | 19,247 | |||||||||||||||||||
Timing of Revenue Recognition | ||||||||||||||||||||||||
Goods transferred at a point in time | $ | 9,731 | $ | 3,039 | $ | 12,770 | ||||||||||||||||||
Services transferred over time | 4,153 | 2,324 | 6,477 | |||||||||||||||||||||
$ | 13,884 | $ | 5,363 | $ | 19,247 | |||||||||||||||||||
Sales Channels | ||||||||||||||||||||||||
Direct sales force | $ | 7,785 | $ | 3,131 | $ | 10,916 | ||||||||||||||||||
OEM partners | 6,099 | — | 6,099 | |||||||||||||||||||||
Channel partners | — | 2,232 | 2,232 | |||||||||||||||||||||
$ | 13,884 | $ | 5,363 | $ | 19,247 | |||||||||||||||||||
Balance at March 31, 2021 | Balance at December 31, 2020 | |||||||
Receivables, which are included in ‘Trade accounts receivable’ | $ | 10,649 | $ | 10,027 | ||||
Current contract assets, which are included in “Prepaid and other assets” | 701 | 481 | ||||||
Non-current contract assets, which are included in “other assets” | 1,478 | 1,434 | ||||||
Contract liabilities, which are included in “Deferred revenue” | 6,377 | 6,384 |
Contract balances | ||||||||
Balance at | Balance at | |||||||
September 30, 2021 | December 31, 2020 | |||||||
Receivables, which are included in ‘Trade accounts receivable’ | $ | 11,792 | $ | 10,027 | ||||
Current other assets” | 658 | 481 | ||||||
Non-current contract assets, which are included in “otherassets” | 1,602 | 1,434 | ||||||
Contract liabilities, which are included in “Deferred revenue” | 6,450 | 6,384 |
Contract liabilities | March 31, 2021 | December 31, 2020 | ||||||
Short term | $ | 5,957 | $ | 6,117 | ||||
Long term | 420 | 267 | ||||||
Total | $ | 6,377 | $ | 6,384 | ||||
Contract liabilities | September 30, 2021 | December 31, 2020 | ||||||
Short term | $ | 5,930 | $ | 6,117 | ||||
Long term | 520 | 267 | ||||||
Total | $ | 6,450 | $ | 6,384 | ||||
Nine Months Ended September 30, 2021 | ||||||||
Three Months Ended March 31, 2021 | ||||||||
Balance at beginning of period | $ | 6,384 | $ | 6,384 | ||||
Deferral of revenue | 3,259 | 9,761 | ||||||
Recognition of deferred revenue | (3,266 | ) | (9,695 | ) | ||||
Balance at end of period | $ | 6,377 | $ | 6,450 | ||||
Three Months Ended | ||||||||
March 31, | ||||||||
2021 | 2020 | |||||||
Net loss | $ | (1,643 | ) | $ | (11,812 | ) | ||
Shares used in the calculation of basic and diluted net loss per share | 23,929 | 20,175 | ||||||
Diluted shares used in the calculation of net loss per share | 23,929 | 20,175 | ||||||
Net loss per share - basic and diluted | $ | (0.07 | ) | $ | (0.59 | ) | ||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Net loss | $ | (2,176 | ) | $ | (1,797 | ) | $ | (7,099 | ) | $ | (16,007 | ) | ||||
Shares used in the calculation of basic and diluted net loss per share | 25,053 | 23,173 | 24,662 | 21,827 | ||||||||||||
Diluted shares used in the calculation of net loss per share | 25,053 | 23,173 | 24,662 | 21,827 | ||||||||||||
Net loss per share—basic and diluted | $ | (0.09 | ) | $ | (0.08 | ) | $ | (0.29 | ) | $ | (0.73 | ) |
As of | ||||||||
March 31, | ||||||||
2021 | 2020 | |||||||
Stock options | 2,246,776 | 1,747,363 | ||||||
Restricted stock | 31,654 | 74,492 | ||||||
Total | 2,278,430 | 1,821,855 | ||||||
As of September 30, | ||||||||
2021 | 2020 | |||||||
Stock options | 2,509,511 | 1,971,704 | ||||||
Restricted stock | 1,750 | 29,166 | ||||||
Total | 2,511,261 | 2,000,870 | ||||||
September 30, 2021 | December 31, 2020 | |||||||
Raw materials | $ | 1,845 | $ | 1,538 | ||||
Work in process | 104 | 76 | ||||||
Finished Goods | 1,567 | 1,774 | ||||||
Inventory Gross | 3,516 | 3,388 | ||||||
Inventory Reserve | (225 | ) | (244 | ) | ||||
Inventory Net | $ | 3,290 | $ | 3,144 | ||||
March 31, 2021 | December 31, 2020 | |||||||
Raw materials | $ | 1,305 | $ | 1,538 | ||||
Work in process | 194 | 76 | ||||||
Finished Goods | 1,238 | 1,774 | ||||||
Inventory Gross | 2,737 | 3,388 | ||||||
Inventory Reserve | (239 | ) | (244 | ) | ||||
Inventory Net | $ | 2,498 | $ | 3,144 | ||||
Input | December 31, 2019 | February 21, 2020 | ||||||
Company’s stock price | $ | 7.77 | $ | 11.64 | ||||
Conversion price | 4.00 | 4.00 | ||||||
Remaining term (years) | 1.97 | 0.00 | ||||||
Equity volatility | 49.00 | % | N/A | |||||
Risk free rate | 1.57 | % | N/A | |||||
Probability of default event 1 | 0.45 | % | N/A | |||||
Utilization of Forced Conversion (if available) 1 | 100.00 | % | 100.00 | % | ||||
Exercise of Default Redemption (if available) 1 | 100.00 | % | N/A | |||||
Effective discount rate 1 | 18.52 | % | N/A |
Input | December 31, 2019 | February 21, 2020 | ||||||
Company’s stock price | $ | 7.77 | $ | 11.64 | ||||
Conversion price | 4.00 | 4.00 | ||||||
Remaining term (years) | 1.97 | 0.00 | ||||||
Equity volatility | 49.00 | % | N/A | |||||
Risk free rate | 1.57 | % | N/A | |||||
1 Probability of default event | 0.45 | % | N/A | |||||
1 Utilization of Forced Conversion (if available) | 100.00 | % | 100.00 | % | ||||
1 Exercise of Default Redemption (if available) | 100.00 | % | N/A | |||||
1 Effective discount rate | 18.52 | % | N/A |
1 | Represents a Level 3 unobservable input, as defined in Note |
Convertible Debentures | December 31, 2019 | February 21, 2020 | ||||||
Fair value, in accordance with fair value option | $ | 13,642 | $ | 21,164 | ||||
Principal value outstanding | $ | 6,970 | $ | 6,970 | ||||
Convertible Debentures | December 31, 2019 | February 21, 2020 | ||||||
Fair value, in accordance with fair value option | $ | 13,642 | $ | 21,164 | ||||
Principal value outstanding | $ | 6,970 | $ | 6,970 | ||||
Fiscal Year | Amount Due | |||
2021 | 281 | |||
2022 | 3,224 | |||
2023 | 3,636 | |||
2024 | 712 | |||
Total | $ | 7,853 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Cash interest expense | $ | 0 | $ | 94 | $ | 141 | $ | 232 | ||||||||
Interest on convertible debentures | — | — | — | 49 | ||||||||||||
Accrual of notes payable final payment | — | 8 | — | 47 | ||||||||||||
Amortization of debt costs | — | 13 | — | 32 | ||||||||||||
Total interest expense | $ | 0 | $ | 115 | $ | 141 | $ | 360 | ||||||||
Three Months Ended March 31, | ||||||||
2021 | 2020 | |||||||
Cash interest expense | $ | 92 | $ | 43 | ||||
Interest on convertible debentures | — | 49 | ||||||
Accrual of notes payable final payment | 7 | 31 | ||||||
Amortization of debt costs | 13 | 7 | ||||||
Total interest expense | $ | 112 | $ | 130 | ||||
Lease Cost | Classification | Three Months Ended March 31, 2021 | ||||
Operating lease cost - Right of Use Asset | Operating expenses | $ | 217 | |||
Operating lease cost - Variable | Operating expenses | 57 | ||||
Finance lease costs | ||||||
Amortization of leased assets | Amortization and depreciation | 0 | ||||
Interest on lease liabilities | Interest expense | 0 | ||||
Total | $ | 274 |
Lease Cost | Classification | Three Months Ended September 30, 2021 | Nine Months Ended September 30, 2021 | |||||||
Operating lease cost—Right of Use Asset | Operating expenses | $ | 214 | $ | 649 | |||||
Operating lease cost—Variable | Operating expenses | 63 | $ | 127 | ||||||
Total | $ | 277 | $ | 776 | ||||||
Three Months Ended March 31, 2021 | ||||
Cash paid from operating cash flows for operating leases | $ | 118 | ||
As of March 31, 2021 | ||||
Weighted-average remaining lease term of operating leases (in years) | 1.96 | |||
Weighted-average discount rate for operating leases | 5.5 | % |
Three Months Ended September 30, 2021 | Nine Months Ended September 30, 2021 | |||||||||
Cash paid from operating cash flows for operating leases | $ | 230 | $ | 581 |
As of September 30, 2021 | ||||
Weighted-average remaining lease term of operating leases (in years) | 1.47 | |||
Weighted-average discount rate for operating leases | 5.5 | % |
Three Months Ended March 31, 2021: | Operating Leases | |||||||
As of September 30, 2021: | Operating Leases | |||||||
2021 | 692 | 229 | ||||||
2022 | 899 | 899 | ||||||
2023 | 211 | 211 | ||||||
2024 | 5 | 5 | ||||||
Total lease payments | 1,807 | 1,344 | ||||||
Less: imputed interest | (100 | ) | (57 | ) | ||||
Total lease liabilities | 1,707 | 1,287 | ||||||
Less: current portion of lease liabilities | (847 | ) | (856 | ) | ||||
Long-term lease liabilities | $ | 860 | $ | 431 | ||||
March 31, | ||||
2021 | 2020 | |||
Average risk-free interest rate | 0.20% | 1.24% | ||
Expected dividend yield | NaN | NaN | ||
Expected life | 3.5 years | 3.5 years | ||
Expected volatility | 66.0% to 66.0% | 50.2% to 64.0% | ||
Weighted average exercise price | $18.00 | $8.26 | ||
Weighted average fair value | $8.37 | $3.19 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||
Average risk-free interest rate | 0.41 | % | 0.15 | % | 0.28 | % | 0.79 | % | ||||
Expected dividend yield | NaN | NaN | NaN | NaN | ||||||||
Expected life | 3.5 years | 3.5 years | 3.5 years | 3.5 years | ||||||||
Expected volatility | 65.57% to 67.42 | % | 66.0% to 66.0 | % | 65.57% to 67.42 | % | 50.2 to 65.7 | % | ||||
Weighted average exercise price | $15.04 | $8.84 | $16.61 | $10.08 | ||||||||
Weighted average fair value | $6.18 | $4.11 | $7.34 | $4.34 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||||||
March 31, | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
2021 | 2020 | |||||||||||||||||||||||
Cost of revenue | $ | 14 | $ | 1 | $ | 3 | $ | 3 | $ | 20 | $ | 28 | ||||||||||||
Engineering and product development | 149 | 54 | 73 | 64 | 281 | 406 | ||||||||||||||||||
Marketing and sales | 353 | 58 | 149 | 61 | 629 | 608 | ||||||||||||||||||
General and administrative | 419 | 351 | 431 | 337 | 1,172 | 1,500 | ||||||||||||||||||
$ | 935 | $ | 464 | $ | 656 | $ | 465 | $ | 2,102 | $ | 2,542 | |||||||||||||
Remaining expense | $ | 4,972 | ||
Weighted average term | 1.3 |
Remaining expense | $ | 3,823 | ||
Weighted average term | 1.26 |
As of | As of September 30, | |||||||||||||||
March 31, | ||||||||||||||||
Aggregate intrinsic value | 2021 | 2020 | 2021 | 2020 | ||||||||||||
Stock options | $ | 29,305 | $ | 2,273 | $ | 8,765 | $ | 6,679 | ||||||||
Restricted stock | 672 | 1,396 | 19 | 257 |
Fair Value Measurements as of December 31, 2020 | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Assets | ||||||||||||||||
Money market accounts | $ | 27,186 | — | — | $ | 27,186 | ||||||||||
Total Assets | $ | 27,186 | — | — | $ | 27,186 | ||||||||||
Fair Value Measurements (in thousands) as of March 31, 2021 | ||||||||||||||||||||||||||||||||
Fair Value Measurements (in thousands) as of September 30, 2021 | Fair Value Measurements (in thousands) as of September 30, 2021 | |||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||
Money market accounts | $ | 46,907 | — | — | $ | 46,907 | $ | 35,805 | — | — | $ | 35,805 | ||||||||||||||||||||
Total Assets | $ | 46,907 | — | — | $ | 46,907 | $ | 35,805 | — | — | $ | 35,805 | ||||||||||||||||||||
Consolidated reporting unit | Detection | Therapy | Total | |||||||||||||
Accumulated Goodwill | $ | 47,937 | $ | — | $ | — | $ | 47,937 | ||||||||
Accumulated impairment | (26,828 | ) | — | — | (26,828 | ) | ||||||||||
Fair value allocation | (21,109 | ) | 7,663 | 13,446 | — | |||||||||||
Acquisition of DermEbx and Radion | — | — | 6,154 | 6,154 | ||||||||||||
Acquisition measurement period adjustments | — | — | 116 | 116 | ||||||||||||
Acquisition of VuComp | — | 1,093 | — | 1,093 | ||||||||||||
Sale of MRI assets | — | (394 | ) | (394 | ) | |||||||||||
Impairment | — | — | (19,716 | ) | (19,716 | ) | ||||||||||
Balance at December 31, 2020 and September 30, 2021 | — | 8,362 | — | 8,362 |
Consolidated reporting unit | Detection | Therapy | Total | |||||||||||||
Accumulated Goodwill | $ | 47,937 | $ | — | $ | — | $ | 47,937 | ||||||||
Accumulated impairment | (26,828 | ) | — | — | (26,828 | ) | ||||||||||
Fair value allocation | (21,109 | ) | 7,663 | 13,446 | — | |||||||||||
Acquisition of DermEbx and Radion | — | — | 6,154 | 6,154 | ||||||||||||
Acquisition measurement period adjustments | — | — | 116 | 116 | ||||||||||||
Acquisition of VuComp | — | 1,093 | — | 1,093 | ||||||||||||
Sale of MRI assets | — | (394 | ) | (394 | ) | |||||||||||
Impairment | — | — | (19,716 | ) | (19,716 | ) | ||||||||||
Balance at December 31, 2020 and March 31, 2021 | — | 8,362 | — | 8,362 | ||||||||||||
Three Months Ended | Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
March 31, | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
2021 | 2020 | |||||||||||||||||||||||
Segment revenues: | ||||||||||||||||||||||||
Detection | $ | 5,719 | $ | 4,476 | $ | 6,008 | $ | 5,291 | $ | 16,515 | $ | 13,885 | ||||||||||||
Therapy | 2,925 | 2,075 | 3,353 | 1,838 | 9,315 | 5,362 | ||||||||||||||||||
Total Revenue | $ | 8,644 | $ | 6,551 | $ | 9,361 | $ | 7,129 | $ | 25,830 | $ | 19,247 | ||||||||||||
Segment gross profit: | ||||||||||||||||||||||||
Detection | $ | 4,725 | $ | 3,467 | $ | 5,058 | $ | 4,227 | $ | 13,788 | $ | 11,227 | ||||||||||||
Therapy | 1,564 | 1,043 | 1,654 | 798 | 4,751 | 2,665 | ||||||||||||||||||
Segment gross profit | $ | 6,289 | $ | 4,510 | $ | 6,712 | $ | 5,025 | $ | 18,539 | $ | 13,892 | ||||||||||||
Segment operating income (loss): | ||||||||||||||||||||||||
Detection | $ | 941 | $ | (346 | ) | $ | 671 | $ | 866 | $ | 1,664 | $ | 721 | |||||||||||
Therapy | (312 | ) | (1,006 | ) | (173 | ) | (711 | ) | (735 | ) | (2,149 | ) | ||||||||||||
Segment operating income (loss) | $ | 629 | $ | (1,352 | ) | $ | 498 | $ | 155 | $ | 929 | $ | (1,428 | ) | ||||||||||
General, administrative, depreciation and amortization expense | $ | (2,162 | ) | $ | (2,541 | ) | $ | (2,679 | ) | $ | (1,844 | ) | $ | (7,513 | ) | $ | (6,465 | ) | ||||||
Interest expense | (112 | ) | (130 | ) | — | (115 | ) | (141 | ) | (360 | ) | |||||||||||||
Other income | 2 | 42 | 5 | 10 | 12 | 85 | ||||||||||||||||||
Loss on extinguishment of debt | — | (341 | ) | — | — | (386 | ) | (341 | ) | |||||||||||||||
Fair value of convertible debentures | — | (7,464 | ) | — | — | — | (7,464 | ) | ||||||||||||||||
Loss before income tax | $ | (1,643 | ) | $ | (11,786 | ) | $ | (2,176 | ) | $ | (1,794 | ) | $ | (7,099 | ) | $ | (15,973 | ) | ||||||
Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
Three months ended March 31, | Three months ended September 30, | |||||||||||||||||||||||||||||||
2021 | 2020 | Change | % Change | 2021 | 2020 | Change | % Change | |||||||||||||||||||||||||
Detection revenue | ||||||||||||||||||||||||||||||||
Product revenue | $ | 4,161 | $ | 3,100 | $ | 1,061 | 34.2 | % | $ | 4,454 | $ | 3,889 | $ | 565 | 14.5 | % | ||||||||||||||||
Service and supplies revenue | 1,558 | 1,376 | 182 | 13.2 | % | 1,554 | 1,402 | 152 | 10.8 | % | ||||||||||||||||||||||
Subtotal | 5,719 | 4,476 | 1,243 | 27.8 | % | 6,008 | 5,291 | 717 | 13.6 | % | ||||||||||||||||||||||
Therapy revenue | ||||||||||||||||||||||||||||||||
Product revenue | 1,396 | 695 | 701 | 100.9 | % | 1,866 | 649 | 1,217 | 187.5 | % | ||||||||||||||||||||||
Service and supplies revenue | 1,529 | 1,380 | 149 | 10.8 | % | 1,487 | 1,189 | 298 | 25.1 | % | ||||||||||||||||||||||
Subtotal | 2,925 | 2,075 | 850 | 41.0 | % | 3,353 | 1,838 | 1,515 | 82.4 | % | ||||||||||||||||||||||
Total revenue | $ | 8,644 | $ | 6,551 | $ | 2,093 | 31.9 | % | $ | 9,361 | $ | 7,129 | $ | 2,232 | 31.3 | % | ||||||||||||||||
Nine months ended September 30, | ||||||||||||||||
2021 | 2020 | Change | % Change | |||||||||||||
Detection revenue | ||||||||||||||||
Product revenue | $ | 11,779 | $ | 9,691 | $ | 2,088 | 21.5 | % | ||||||||
Service revenue | $ | 4,736 | 4,194 | 542 | 12.9 | % | ||||||||||
Subtotal | 16,515 | 13,885 | 2,630 | 18.9 | % | |||||||||||
Therapy revenue | ||||||||||||||||
Product revenue | $ | 4,650 | 1,529 | 3,121 | 204.1 | % | ||||||||||
Service revenue | $ | 4,665 | 3,833 | 832 | 21.7 | % | ||||||||||
Subtotal | 9,315 | 5,362 | 3,953 | 73.7 | % | |||||||||||
Total revenue | $ | 25,830 | $ | 19,247 | $ | 6,583 | 34.2 | % | ||||||||
Three months ended March 31, | Three months ended September 30, | |||||||||||||||||||||||||||||||
2021 | 2020 | Change | % Change | 2021 | 2020 | Change | % Change | |||||||||||||||||||||||||
Products | $ | 1,409 | $ | 1,017 | $ | 392 | 38.5 | % | $ | 1,807 | $ | 1,345 | $ | 462 | 34.3 | % | ||||||||||||||||
Service and supplies | 867 | 927 | (60 | ) | (6.5 | )% | 763 | 667 | 96 | 14.4 | % | |||||||||||||||||||||
Amortization and depreciation | 79 | 97 | (18 | ) | (18.6 | )% | 79 | 92 | (13 | ) | (14.1 | )% | ||||||||||||||||||||
Total cost of revenue | $ | 2,355 | $ | 2,041 | $ | 314 | 15.4 | % | $ | 2,649 | $ | 2,104 | $ | 545 | �� | 25.9 | % | |||||||||||||||
Gross profit | $ | 6,289 | $ | 4,510 | $ | 1,779 | 39.4 | % | $ | 6,712 | $ | 5,025 | $ | 1,687 | 33.6 | % | ||||||||||||||||
Three months ended March 31, | ||||||||||||||||||||||||||||||||
2021 | 2020 | Change | % Change | |||||||||||||||||||||||||||||
Detection gross profit | $ | 4,725 | $ | 3,467 | $ | 1,258 | 36.3 | % | ||||||||||||||||||||||||
Therapy gross profit | 1,564 | 1,043 | 521 | 50.0 | % | |||||||||||||||||||||||||||
Gross profit | $ | 6,289 | $ | 4,510 | $ | 1,779 | 39.4 | % | ||||||||||||||||||||||||
Gross profit % | 72.8 | % | 68.8 | % |
Three months ended September 30, | ||||||||||||||||
2021 | 2020 | Change | % Change | |||||||||||||
Detection gross profit | $ | 5,058 | $ | 4,227 | $ | 831 | 19.7 | % | ||||||||
Therapy gross profit | 1,654 | 798 | 856 | 107.3 | % | |||||||||||
Gross profit | 6,712 | 5,025 | 1,687 | 33.6 | % | |||||||||||
2021 | 2020 | Change | % Change | |||||||||||||
Products | $ | 4,592 | $ | 2,899 | $ | 1,693 | 58.4 | % | ||||||||
Service and supplies | 2,462 | 2,169 | 293 | 13.5 | % | |||||||||||
Amortization and depreciation | 237 | 287 | (50 | ) | (17.4 | )% | ||||||||||
Total cost of revenue | $ | 7,291 | $ | 5,355 | $ | 1,936 | 36.2 | % | ||||||||
Gross profit | $ | 18,539 | $ | 13,892 | $ | 4,647 | 33.5 | % |
Nine months ended September 30, | ||||||||||||||||
2021 | 2020 | Change | % Change | |||||||||||||
Detection gross profit | $ | 13,788 | $ | 11,227 | $ | 2,561 | 22.8 | % | ||||||||
Therapy gross profit | 4,751 | 2,665 | 2,086 | 78.3 | % | |||||||||||
Gross profit | 18,539 | 13,892 | 4,647 | 33.5 | % | |||||||||||
Three months ended March 31, | Three months ended September 30, | |||||||||||||||||||||||||||||||
2021 | 2020 | Change $ | Change % | 2021 | 2020 | Change | Change % | |||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||
Engineering and product development | $ | 2,192 | $ | 2,211 | $ | (19 | ) | (0.9 | )% | $ | 2,285 | $ | 1,849 | $ | 436 | 23.6 | % | |||||||||||||||
Marketing and sales | 3,424 | 3,608 | (184 | ) | (5.1 | )% | 3,886 | 2,979 | 907 | 30.4 | % | |||||||||||||||||||||
General and administrative | 2,151 | 2,532 | (381 | ) | (15.0 | )% | 2,658 | 1,834 | 824 | 44.9 | % | |||||||||||||||||||||
Amortization and depreciation | 55 | 52 | 3 | 5.8 | % | 64 | 52 | 12 | 23.1 | % | ||||||||||||||||||||||
Total operating expenses | $ | 7,822 | $ | 8,403 | $ | (581 | ) | (6.9 | )% | $ | 8,893 | $ | 6,714 | $ | 2,179 | 32.5 | % | |||||||||||||||
Three months ended September 30, | ||||||||||||||||
2021 | 2020 | Change | Change % | |||||||||||||
Interest expense | $ | — | $ | (115 | ) | $ | 115 | (100.0 | )% | |||||||
Other income | 5 | 10 | (5 | ) | (50.0 | )% | ||||||||||
$ | 5 | $ | (105 | ) | $ | 110 | (104.8 | )% | ||||||||
Tax benefit (expense) | $ | — | $ | (3 | ) | $ | 3 | (100.0 | )% |
Nine months ended September 30, | ||||||||||||||||
2021 | 2020 | Change | Change % | |||||||||||||
Operating expenses: | ||||||||||||||||
Engineering and product development | $ | 6,745 | $ | 5,938 | $ | 807 | 13.6 | % | ||||||||
Marketing and sales | 10,739 | 9,218 | 1,521 | 16.5 | % | |||||||||||
General and administrative | 7,461 | 6,476 | 985 | 15.2 | % | |||||||||||
Amortization and depreciation | 178 | 153 | 25 | 16.3 | % | |||||||||||
Total operating expenses | $ | 25,123 | $ | 21,785 | $ | 3,338 | 15.3 | % | ||||||||
Three months ended March 31, | Nine months ended September 30, | |||||||||||||||||||||||||||||||
2021 | 2020 | Change $ | Change % | 2021 | 2020 | Change | Change % | |||||||||||||||||||||||||
Interest expense | $ | (112 | ) | $ | (130 | ) | $ | 18 | (13.8 | )% | $ | (141 | ) | $ | (360 | ) | $ | 219 | (60.8 | )% | ||||||||||||
Other income | 12 | 85 | (73 | ) | (85.9 | )% | ||||||||||||||||||||||||||
Loss on extinguishment of debt | — | (341 | ) | 341 | (100.0 | )% | (386 | ) | (341 | ) | (45 | ) | 13.2 | % | ||||||||||||||||||
Other income | 2 | 42 | (40 | ) | (95.2 | )% | ||||||||||||||||||||||||||
Loss on fair value of debentures | — | (7,464 | ) | 7,464 | (100.0 | )% | — | (7,464 | ) | 7,464 | (100.0 | )% | ||||||||||||||||||||
$ | (110 | ) | $ | (7,893 | ) | $ | 7,783 | (98.6 | )% | $ | (515) | $ | (8,080 | ) | $ | 7,565 | (93.6 | )% | ||||||||||||||
Tax expense | $ | — | $ | (26 | ) | $ | 26 | (100.0 | )% | |||||||||||||||||||||||
Tax benefit (expense) | $ | — | $ | (34 | ) | $ | 34 | (100.0 | )% |
For the three months ended March 31, | For the nine months ended September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
(in thousands) | (in thousands) | |||||||||||||||
Net cash used for operating activities | $ | (3,563 | ) | $ | (1,416 | ) | $ | (7,861 | ) | $ | (6,083 | ) | ||||
Net cash used for investing activities | (262 | ) | (156 | ) | (450 | ) | (286 | ) | ||||||||
Net cash provided by financing activities | 23,546 | 515 | 16,930 | 13,689 | ||||||||||||
Increase (decrease) in cash and equivalents | $ | 19,721 | $ | (1,057 | ) | |||||||||||
Increase in cash and equivalents | $ | 8,619 | $ | 7,320 | ||||||||||||
Item 3. | Quantitative and Qualitative Disclosures about Market Risk |
Item 4. | Controls and Procedures |
Item |
1A. | Risk Factors: |
Item 6. | Exhibits |
* | Filed herewith |
** | Furnished herewith |
iCAD, Inc. |
(Registrant) |
Date: | ||||||||
By: | /s/ Michael Klein | |||||||
Name: | Michael Klein | |||||||
Title: | Chief Executive Officer (Principal Executive Officer) |
Date: | ||||||||
By: | /s/ Charles R. | |||||||
Name: | Charles R. | |||||||
Title: | Chief Financial Officer (Principal Financial Officer) |