Aware (AWRE) 10-Q 28 Jul 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 22, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	AWARE INC /MA/
Entity Central Index Key	1,015,739
Trading Symbol	awre
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		22,929,901
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2

CONSOLIDATED BALANCE SHEETS (un

CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 44,513	$ 43,985
Accounts receivable, net	4,821	3,619
Inventories	2	2
Deferred tax assets	189	168
Prepaid expenses and other current assets	1,093	401
Total current assets	50,618	48,175
Property and equipment, net	5,140	5,289
Investments	856	1,428
Long term deferred tax assets	737	804
Other assets	425	197
Total assets	57,776	55,893
Current liabilities:
Accounts payable	147	258
Accrued expenses	938	820
Deferred revenue	2,836	2,352
Total current liabilities	3,921	3,430
Long-term deferred revenue	$ 183	$ 74
Commitments and contingent liabilities
Stockholders' equity:
Preferred stock, $1.00 par value; 1,000,000 shares authorized, none outstanding
Common stock, $.01 par value; 70,000,000 shares authorized; issued and outstanding 22,871,039 as of June 30, 2015 and 22,808,761 as of December 31, 2014	$ 229	$ 228
Additional paid-in capital	104,487	103,756
Accumulated other comprehensive loss	(69)	(29)
Accumulated deficit	(50,975)	(51,566)
Total stockholders' equity	53,672	52,389
Total liabilities and stockholders' equity	$ 57,776	$ 55,893

CONSOLIDATED BALANCE SHEETS (u3

CONSOLIDATED BALANCE SHEETS (unaudited) (Parentheticals) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Statement Of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares outstanding
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	70,000,000	70,000,000
Common stock, shares issued	22,871,039	22,808,761
Common stock, shares outstanding	22,871,039	22,808,761

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenue:
Software licenses	$ 2,272	$ 2,065	$ 3,921	$ 3,682
Software maintenance	1,278	1,152	2,431	2,197
Services	855	1,338	2,075	2,346
Hardware		2,048		4,681
Royalties	105	164	206	478
Total revenue	4,510	6,767	8,633	13,384
Costs and expenses:
Cost of hardware		1,411		3,313
Cost of services	569	618	1,116	1,082
Research and development	1,439	1,400	2,874	2,679
Selling and marketing	1,064	981	2,036	1,839
General and administrative	961	975	1,746	1,779
Total costs and expenses	4,033	5,385	7,772	10,692
Operating income	477	1,382	861	2,692
Other income/(expense)		(59)	12	(59)
Interest income	33	52	74	139
Income before provision for income taxes	510	1,375	947	2,772
Provision for income taxes	191	510	356	1,026
Net income	$ 319	$ 865	$ 591	$ 1,746
Net income per share - basic	$ 0.01	$ 0.04	$ 0.03	$ 0.08
Net income per share - diluted	$ 0.01	$ 0.04	$ 0.03	$ 0.08
Weighted-average shares - basic	22,867	22,630	22,866	22,628
Weighted-average shares - diluted	23,029	22,837	22,958	22,769
Comprehensive income:
Net income	$ 319	$ 865	$ 591	$ 1,746
Other comprehensive income (net of tax):
Unrealized gains (losses) on available for sale securities	(48)	37	(40)	121
Comprehensive income:	$ 271	$ 902	$ 551	$ 1,867

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income	$ 591	$ 1,746
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	309	269
Stock-based compensation	242	322
Amortization of premium on investments	(5)
Deferred tax provision on other comprehensive income	21	(79)
(Gain)/loss on sale of investments	(12)	59
Changes in assets and liabilities:
Accounts receivable	(1,202)	(1,312)
Inventories		1,538
Prepaid expenses and other current assets	(692)	338
Deferred tax assets	46	197
Accounts payable	(111)	(923)
Accrued expenses	118	170
Accrued income taxes		88
Deferred revenue	593	270
Net cash provided by (used in) operating activities	(102)	2,683
Cash flows from investing activities:
Purchases of property and equipment	(68)	(101)
Sales of investments	529	1,432
Purchase of other assets	(320)
Net cash provided by investing activities	141	1,331
Cash flows from financing activities:
Proceeds from issuance of common stock	22	68
Excess tax benefits from stock-based compensation	554	592
Payments made for taxes of employees who surrendered shares related to unrestricted stock	(87)	(92)
Net cash provided by financing activities	489	568
Increase in cash and cash equivalents	528	4,582
Cash and cash equivalents, beginning of period	43,985	72,660
Cash and cash equivalents, end of period	44,513	77,242
Supplemental disclosure:
Cash paid for income taxes	346	2
Non-cash transactions:
Stock option receivables offset against proceeds from issuance of common stock	$ 0	$ 138

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2015
Basis Of Accounting [Abstract]
Basis of Presentation	A) Basis of Presentation. The accompanying unaudited consolidated balance sheets, statements of income and comprehensive income, and statements of cash flows reflect all adjustments (consisting only of normal recurring items) which are, in the opinion of management, necessary for a fair presentation of financial position at June 30, 2015, and of operations and cash flows for the interim periods ended June 30, 2015 and 2014. The results of operations for the interim period ended June 30, 2015 are not necessarily indicative of the results to be expected for the year.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Fair Value Measurements	B) Fair Value Measurements. Cash and cash equivalents, which primarily include money market mutual funds, were $44.5 million and $44.0 million as of June 30, 2015 and December 31, 2014, respectively. We classified our cash equivalents of $34.3 million and $34.3 million as of June 30, 2015 and December 31, 2014 within Level 1 of the fair value hierarchy because they are valued using quoted market prices. Our investments, which consist of high yield corporate debt securities, are also classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices. We categorize our investments as available-for-sale securities, and carry them at fair value in our financial statements. We had $0.9 million and $1.4 million of available-for-sale investments as of June 30, 2015 and December 31, 2014, respectively. As of June 30, 2015, our assets that are measured at fair value on a recurring basis and whose carrying values approximate their respective fair values include the following (in thousands): Fair Value Measurement at June 30, 2015 Using: Quoted Prices in Identical Assets Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 856 $ - $ - Money market funds (included in cash and cash equivalents) 34,311 Total $ 35,167 $ - $ - As of December 31, 2014, our assets that are measured at fair value on a recurring basis and whose carrying values approximate their respective fair values include the following (in thousands): Fair Value Measurement at December 31, 2014 Using: Quoted Prices in Identical Assets Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 1,428 $ - $ - Money market funds (included in cash and cash equivalents) 34,339 Total $ 35,767 $ - $ -

Inventories

Inventories	6 Months Ended
	Jun. 30, 2015
Inventory Disclosure [Abstract]
Inventories	C) Inventories.

Computation of Earnings per Sha

Computation of Earnings per Share	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Computation of Earnings per Share	D) Computation of Earnings per Share. Net income per share is calculated as follows (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net income $ 319 $ 865 $ 591 $ 1,746 Shares outstanding Weighted-average common shares outstanding 22,867 22,630 22,866 22,628 Additional dilutive common stock equivalents 162 207 92 141 Diluted shares outstanding 23,029 22,837 22,958 22,769 Net income per share – basic $ 0.01 $ 0.04 $ 0.03 $ 0.08 Net income per share - diluted $ 0.01 $ 0.04 $ 0.03 $ 0.08 For the three month periods ended June 30, 2015 and 2014, options to purchase 54,034 and 821,838 shares of common stock were outstanding, but were not included in the computation of diluted EPS because the options’ exercise prices were greater than the average market price of the common stock and thus would be anti-dilutive. For the six month periods ended June 30, 2015 and 2014, options to purchase 54,034 and 821,838 shares of common stock, respectively, were outstanding, but were not included in the computation of diluted EPS because the options’ exercise prices were greater than the average market price of the common stock and thus would be anti-dilutive.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2015
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]
Stock-Based Compensation	E) Stock-Based Compensation. Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Cost of services $ 12 $ 14 $ 13 $ 15 Research and development 26 34 27 37 Selling and marketing 4 6 5 6 General and administrative 179 239 197 264 Stock-based compensation expense $ 221 $ 293 $ 242 $ 322 Stock Option Grants Unrestricted Stock Grants We granted shares of unrestricted stock in 2015 and 2014 that affected financial results for the three and six month periods ended June 30, 2015 and 2014. These grants are described below. 2015 Grant. 2014 Grant

Business Segments

Business Segments	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Business Segments	F) Business Segments We conduct our operations in the United States and sell our products and services to domestic and international customers. Revenues were generated from the following geographic regions for the three and six months ended June 30, 2015 and 2014 (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 United States $ 2,526 $ 5,295 $ 5,014 $ 10,791 Brazil 928 398 1,654 437 Rest of World 1,056 1,074 1,965 2,156 $ 4,510 $ 6,767 $ 8,633 $ 13,384 Revenue by product group for the three and six months ended June 30, 2015 and 2014 was (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Biometrics $ 3,883 $ 6,029 $ 7,731 $ 12,210 Imaging 522 574 696 697 DSL royalties 105 164 206 477 $ 4,510 $ 6,767 $ 8,633 $ 13,384

Recent Accounting Pronouncement

Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2015
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Pronouncements	G) Recent Accounting Pronouncements. With the exception of the new revenue standard discussed above, there have been no other recently issued accounting pronouncements that are of significance or potential significance to us that we have not adopted as of June 30, 2015.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	H) Income Taxes. Income tax expense was $0.2 million and $0.5 million for the three months ended June 30, 2015 and 2014, respectively. Income tax expense was $0.4 million and $1.0 million for the six months ended June 30, 2015 and 2014, respectively. Income tax expense in the three and six month periods of 2015 and 2014 was based on the U.S. statutory rate of 34%, increased by state income taxes. In the six month periods ended June 30, 2015 and 2014, we utilized deferred tax assets to reduce our tax liability payable to the government. A portion of the deferred tax assets we used comprised cumulative deductions for stock options in excess of book expense. Under income tax accounting rules, that portion of tax benefits attributable to such deductions must be recorded as an adjustment to equity versus a reduction of income tax expense. The tax benefits from such stock-based awards were $0.6 million and $0.6 million in the six month periods ended June 30, 2015 and 2014, respectively. These tax benefits were recorded as an equity adjustment to additional paid-in capital. As of June 30, 2015, we had a total of $0.9 million of deferred tax assets for which we had recorded no valuation allowance. We will continue to assess the level of valuation allowance in future periods. Should evidence regarding the realizability of tax assets change at a future point in time, the valuation allowance will be adjusted accordingly. In addition to deferred tax assets carried on our balance sheet, we also had net federal and state research and development credit carryforwards available at December 31, 2014 of $4.0 million and $0.3 million. These credits were not recorded as tax assets as they relate to excess stock compensation deductions that may not be recorded as tax assets under generally accepted accounting principles until the amounts have been utilized to reduce our tax liability. To the extent that these assets are used to reduce future taxes, the benefit will be recorded as a reduction to additional paid-in capital. The aforementioned $0.6 million and $0.6 million The Internal Revenue Service commenced an examination of our tax return for the year ended December 31, 2012 in September 2014.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Accumulated Other Comprehensive Loss	I) Accumulated Other Comprehensive Loss. December 31, Increase/ Reclassification June 30, Unrealized losses on available for sale securities ($ 87 ) ($ 63 ) $ - ($ 150 ) Unrealized gains on available for sale securities 43 (10 ) 12 45 Net unrealized gains (losses) on available for sale securities (44 ) (73 ) 12 (a) (105 ) Income tax benefit (expense) on other comprehensive loss 15 25 (4 ) 36 Total accumulated other comprehensive loss, net of taxes ($ 29 ) ($ 48 ) $ 8 ($ 69 ) (a) – Classified in other income.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Schedule of assets measured at fair value on a recurring basis	Fair Value Measurement at June 30, 2015 Using: Quoted Prices in Identical Assets Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 856 $ - $ - Money market funds (included in cash and cash equivalents) 34,311 Total $ 35,167 $ - $ - Fair Value Measurement at December 31, 2014 Using: Quoted Prices in Identical Assets Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 1,428 $ - $ - Money market funds (included in cash and cash equivalents) 34,339 Total $ 35,767 $ - $ -

Computation of Earnings per S16

Computation of Earnings per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Schedule of net income per share	Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net income $ 319 $ 865 $ 591 $ 1,746 Shares outstanding Weighted-average common shares outstanding 22,867 22,630 22,866 22,628 Additional dilutive common stock equivalents 162 207 92 141 Diluted shares outstanding 23,029 22,837 22,958 22,769 Net income per share – basic $ 0.01 $ 0.04 $ 0.03 $ 0.08 Net income per share - diluted $ 0.01 $ 0.04 $ 0.03 $ 0.08

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]
Schedule of stock-based employee compensation expense included in unaudited consolidated statements of comprehensive income	Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Cost of services $ 12 $ 14 $ 13 $ 15 Research and development 26 34 27 37 Selling and marketing 4 6 5 6 General and administrative 179 239 197 264 Stock-based compensation expense $ 221 $ 293 $ 242 $ 322

Business Segments (Tables)

Business Segments (Tables)	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Schedule of revenues generated from geographic regions	Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 United States $ 2,526 $ 5,295 $ 5,014 $ 10,791 Brazil 928 398 1,654 437 Rest of World 1,056 1,074 1,965 2,156 $ 4,510 $ 6,767 $ 8,633 $ 13,384
Schedule of revenue by product group	Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Biometrics $ 3,883 $ 6,029 $ 7,731 $ 12,210 Imaging 522 574 696 697 DSL royalties 105 164 206 477 $ 4,510 $ 6,767 $ 8,633 $ 13,384

Accumulated Other Comprehensi19

Accumulated Other Comprehensive Loss (Tables)	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Schedule of components of accumulated other comprehensive loss and activity	December 31, Increase/ Reclassification June 30, Unrealized losses on available for sale securities ($ 87 ) ($ 63 ) $ - ($ 150 ) Unrealized gains on available for sale securities 43 (10 ) 12 45 Net unrealized gains (losses) on available for sale securities (44 ) (73 ) 12 (a) (105 ) Income tax benefit (expense) on other comprehensive loss 15 25 (4 ) 36 Total accumulated other comprehensive loss, net of taxes ($ 29 ) ($ 48 ) $ 8 ($ 69 ) (a) – Classified in other income.

Fair Value Measurements - Asset

Fair Value Measurements - Assets measured at fair value on a recurring basis (Details) - Fair value on recurring basis - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value Measurement, Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets measured at fair value
Fair Value Measurement, Significant Other Observable Inputs (Level 2) | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Corporate debt securities
Fair Value Measurement, Significant Other Observable Inputs (Level 2) | Money market funds (included in cash and cash equivalents)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds (included in cash and cash equivalents)
Fair Value Measurement, Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets measured at fair value	$ 35,167	$ 35,767
Fair Value Measurement, Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Corporate debt securities	856	1,428
Fair Value Measurement, Quoted Prices in Active Markets for Identical Assets (Level 1) | Money market funds (included in cash and cash equivalents)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds (included in cash and cash equivalents)	$ 34,311	$ 34,339
Fair Value Measurement, Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets measured at fair value
Fair Value Measurement, Significant Unobservable Inputs (Level 3) | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Corporate debt securities
Fair Value Measurement, Significant Unobservable Inputs (Level 3) | Money market funds (included in cash and cash equivalents)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Money market funds (included in cash and cash equivalents)

Fair Value Measurements (Detail

Fair Value Measurements (Detail Textuals) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, primarily include money market funds	$ 44,513	$ 43,985	$ 77,242	$ 72,660
Fair value on recurring basis | Corporate debt securities | Fair Value Measurement, Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investments	856	1,428
Fair value on recurring basis | Money market funds (included in cash and cash equivalents) | Fair Value Measurement, Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, primarily include money market funds	$ 34,300	$ 34,300

Computation of Earnings per S22

Computation of Earnings per Share - Summary of net income per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Earnings Per Share [Abstract]
Net income	$ 319	$ 865	$ 591	$ 1,746
Shares outstanding:
Weighted average common shares outstanding (in shares)	22,867	22,630	22,866	22,628
Additional dilutive common stock equivalents (in shares)	162	207	92	141
Diluted shares outstanding (in shares)	23,029	22,837	22,958	22,769
Net income per share - basic	$ 0.01	$ 0.04	$ 0.03	$ 0.08
Net income per share - diluted	$ 0.01	$ 0.04	$ 0.03	$ 0.08

Computation of Earnings per S23

Computation of Earnings per Share (Detail Textuals) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive common stock Share purchase (in shares)	54,034	821,838	54,034	821,838

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of stock-based employee compensation expenses (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	$ 221	$ 293	$ 242	$ 322
Cost of services
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	12	14	13	15
Research and development
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	26	34	27	37
Selling and marketing
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	4	6	5	6
General and administrative
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	$ 179	$ 239	$ 197	$ 264

Stock-Based Compensation (Detai

Stock-Based Compensation (Detail Textuals) - Unrestricted Stock Grants - 2001 Nonqualified Stock Plan - Directors, officers and employees - USD ($)	Jul. 01, 2015	Jul. 01, 2014	Mar. 26, 2015	Jan. 31, 2015	Mar. 31, 2014	Jun. 30, 2015	Jun. 30, 2015	Dec. 31, 2014
2014 Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted (in shares)					152,000
Stock-based compensation expense								$ 876,000
Number of shares issued (in shares)		58,769		56,804
Number of common stock shares surrendered by employees withholding taxes		17,231		19,196
Common stock value surrendered by employees withholding taxes		$ 113,000		$ 87,000
2015 Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted (in shares)			152,000
Number of shares issuable in future			76,000
Stock-based compensation expense							$ 682,000
Stock based compensation expense charged						$ 221,000	236,000
Remaining stock based compensation expense						$ 446,000	$ 446,000
2015 Grant | Subsequent Event
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued (in shares)	76,000

Business Segments - Revenues ge

Business Segments - Revenues generated following geographic regions (Details ) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Segment Reporting Information [Line Items]
Revenue	$ 4,510	$ 6,767	$ 8,633	$ 13,384
Operating Segments | United States
Segment Reporting Information [Line Items]
Revenue	2,526	5,295	5,014	10,791
Operating Segments | Brazil
Segment Reporting Information [Line Items]
Revenue	928	398	1,654	437
Operating Segments | Rest of World
Segment Reporting Information [Line Items]
Revenue	$ 1,056	$ 1,074	$ 1,965	$ 2,156

Business Segments - Summary of

Business Segments - Summary of revenue by product group (Details 1) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Segment Reporting Information [Line Items]
Revenue	$ 4,510	$ 6,767	$ 8,633	$ 13,384
Operating Segments | Biometrics
Segment Reporting Information [Line Items]
Revenue	3,883	6,029	7,731	12,210
Operating Segments | Imaging
Segment Reporting Information [Line Items]
Revenue	522	574	696	697
Operating Segments | DSL royalties
Segment Reporting Information [Line Items]
Revenue	$ 105	$ 164	$ 206	$ 477

Income Taxes (Detail Textuals)

Income Taxes (Detail Textuals) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Operating Loss Carryforwards [Line Items]
Income tax expense	$ 191	$ 510	$ 356	$ 1,026
Income tax U.S. statutory rate	34.00%	34.00%	34.00%	34.00%
Tax benefits from stock-based awards			$ 600	$ 600
Deferred tax assets	$ 900		900
Equity adjustment to additional paid-in capital			$ 600	$ 600
Federal | Research and development credit carryforwards
Operating Loss Carryforwards [Line Items]
Net federal and state research and development credit carryforwards					$ 4,000
State | Research and development credit carryforwards
Operating Loss Carryforwards [Line Items]
Net federal and state research and development credit carryforwards					$ 300

Accumulated Other Comprehensi29

Accumulated Other Comprehensive Loss - Components of accumulated other comprehensive loss and activity (Details) $ in Thousands		6 Months Ended
		Jun. 30, 2015USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance Net unrealized gains (losses) on available for sale securities		$ (44)
Beginning balance Income tax benefit (expense) on other comprehensive loss		15
Beginning balance Total accumulated other comprehensive loss, net of taxes		(29)
Increase/Decrease Net unrealized gains (losses) on available for sale securities		(73)
Increase/Decrease Income tax benefit (expense) on other comprehensive loss		25
Increase/Decrease Total accumulated other comprehensive loss, net of taxes		(48)
Reclassification Adjustments Net unrealized gains (losses) on available for sale securities	[1]	12
Reclassification Adjustments Income tax benefit (expense) on other comprehensive loss		(4)
Reclassification Adjustments Total accumulated other comprehensive loss, net of taxes		8
Ending balance Net unrealized gains (losses) on available for sale securities		(105)
Ending balance Income tax benefit (expense) on other comprehensive loss		36
Ending balance Total accumulated other comprehensive loss, net of taxes		(69)
Unrealized losses on available for sale securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance Net unrealized gains (losses) on available for sale securities		(87)
Increase/Decrease Net unrealized gains (losses) on available for sale securities		$ (63)
Reclassification Adjustments Net unrealized gains (losses) on available for sale securities
Ending balance Net unrealized gains (losses) on available for sale securities		$ (150)
Unrealized gains on available for sale securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance Net unrealized gains (losses) on available for sale securities		43
Increase/Decrease Net unrealized gains (losses) on available for sale securities		(10)
Reclassification Adjustments Net unrealized gains (losses) on available for sale securities		12
Ending balance Net unrealized gains (losses) on available for sale securities		$ 45
[1]	Classified in other income.