Aware (AWRE) 10-Q 27 Jul 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Jul. 22, 2016
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		22,975,463
Document Type	10-Q
Document Period End Date	Jun. 30, 2016
Amendment Flag	false
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2

CONSOLIDATED BALANCE SHEETS (un

CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 52,256	$ 51,232
Accounts receivable, net	5,558	4,743
Prepaid expenses and other current assets	469	483
Total current assets	58,283	56,458
Property and equipment, net	4,816	4,977
Investments	858	869
Deferred tax assets	998	999
Other assets	206	316
Total assets	65,161	63,619
Current liabilities:
Accounts payable	1,055	234
Accrued expenses	991	952
Accrued income taxes		236
Deferred revenue	4,407	5,885
Total current liabilities	6,453	7,307
Long-term deferred revenue	211	131
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 22,916,561 as of June 30, 2016 and 22,935,988 as of December 31, 2015	229	229
Additional paid-in capital	103,226	102,968
Accumulated other comprehensive loss	(76)	(64)
Accumulated deficit	(44,882)	(46,952)
Total stockholders' equity	58,497	56,181
Total liabilities and stockholders' equity	$ 65,161	$ 63,619

CONSOLIDATED BALANCE SHEETS (u3

CONSOLIDATED BALANCE SHEETS (unaudited) (Parentheticals) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
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	0	0
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	22,916,561	22,935,988
Common stock, shares outstanding	22,916,561	22,935,988

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, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenue:
Software licenses	$ 5,347	$ 2,272	$ 8,121	$ 3,921
Software maintenance	1,181	1,278	2,462	2,431
Services	216	855	635	2,075
Hardware	31		317
Royalties	129	105	203	206
Total revenue	6,904	4,510	11,738	8,633
Costs and expenses:
Cost of software licenses	858		1,101
Cost of services	158	569	372	1,116
Cost of hardware	29		234
Research and development	1,802	1,439	3,451	2,874
Selling and marketing	1,111	1,064	2,031	2,036
General and administrative	872	961	1,595	1,746
Total costs and expenses	4,830	4,033	8,784	7,772
Operating income	2,074	477	2,954	861
Other income				12
Interest income	72	33	138	74
Income before provision for income taxes	2,146	510	3,092	947
Provision for income taxes	710	191	1,022	356
Net income	$ 1,436	$ 319	$ 2,070	$ 591
Net income per share - basic (in dollars per share)	$ 0.06	$ 0.01	$ 0.09	$ 0.03
Net income per share - diluted (in dollars per share)	$ 0.06	$ 0.01	$ 0.09	$ 0.03
Weighted-average shares - basic (in shares)	22,964	22,867	22,978	22,866
Weighted-average shares - diluted (in shares)	23,124	23,029	23,064	22,958
Comprehensive income:
Net income	$ 1,436	$ 319	$ 2,070	$ 591
Other comprehensive income (net of tax):
Unrealized losses on available for sale securities	(9)	(48)	(12)	(40)
Comprehensive income	$ 1,427	$ 271	$ 2,058	$ 551

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net income	$ 2,070	$ 591
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	324	309
Stock-based compensation	190	242
Deferred tax provision on other comprehensive income	6	21
Gain on sale of investments		(12)
Amortization of discount on investments	(6)	(5)
Changes in assets and liabilities:
Accounts receivable	(815)	(1,202)
Prepaid expenses and other current assets	14	(692)
Deferred tax assets	1	46
Accounts payable	821	(111)
Accrued expenses	39	118
Accrued income taxes	(236)
Deferred revenue	(1,398)	593
Net cash provided by (used in) operating activities	1,010	(102)
Cash flows from investing activities:
Purchases of property and equipment	(54)	(68)
Sales of investments		529
Purchase of other assets		(320)
Net cash provided by (used in) investing activities	(54)	141
Cash flows from financing activities:
Proceeds from issuance of common stock	21	22
Excess tax benefits from stock-based compensation	457	554
Payments made for taxes of employees who surrendered shares related to unrestricted stock	(61)	(87)
Repurchase of common stock	(349)
Net cash provided by financing activities	68	489
Increase in cash and cash equivalents	1,024	528
Cash and cash equivalents, beginning of period	51,232	43,985
Cash and cash equivalents, end of period	52,256	44,513
Supplemental disclosure:
Cash paid for income taxes	$ 833	$ 346

Nature of Business

Nature of Business	6 Months Ended
	Jun. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Business	A) Nature of Business.

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Basis Of Accounting [Abstract]
Basis of Presentation	B) 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, 2016, and of operations and cash flows for the interim periods ended June 30, 2016 and 2015. The results of operations for the interim period ended June 30, 2016 are not necessarily indicative of the results to be expected for the year.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	C) Fair Value Measurements. Cash and cash equivalents, which primarily include money market mutual funds, were $52.3 million and $51.2 million as of June 30, 2016 and December 31, 2015, respectively. We classified our cash equivalents of $43.3 million and $43.0 million as of June 30, 2016 and December 31, 2015 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 of available-for-sale investments as of June 30, 2016 and December 31, 2015. As of June 30, 2016, 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, 2016 Using: Quoted Prices in Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 858 $ - $ - Money market funds (included in cash and cash equivalents) 43,309 Total $ 44,167 $ - $ - As of December 31, 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 December 31, 2015 Using: Quoted Prices in Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 869 $ - $ - Money market funds (included in cash and cash equivalents) 43,027 Total $ 43,896 $ - $ -

Computation of Earnings per Sha

Computation of Earnings per Share	6 Months Ended
	Jun. 30, 2016
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, 2016 2015 2016 2015 Net income $ 1,436 $ 319 $ 2,070 $ 591 Shares outstanding: Weighted-average common shares outstanding 22,964 22,867 22,978 22,866 Additional dilutive common stock equivalents 160 162 86 92 Diluted shares outstanding 23,124 23,029 23,064 22,958 Net income per share – basic $ 0.06 $ 0.01 $ 0.09 $ 0.03 Net income per share - diluted $ 0.06 $ 0.01 $ 0.09 $ 0.03 For the three month periods ended June 30, 2016 and 2015, options to purchase 54,034 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, 2016 and 2015, options to purchase 54,034 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, 2016
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, 2016 2015 2016 2015 Cost of services $ 3 $ 12 $ 3 $ 13 Research and development 28 26 30 27 Selling and marketing 4 4 4 5 General and administrative 147 179 153 197 Stock-based compensation expense $ 182 $ 221 $ 190 $ 242 Stock Option Grants Unrestricted Stock Grants We granted shares of unrestricted stock in 2016 and 2015 that affected financial results for the three and six month periods ended June 30, 2016 and 2015. These grants are described below. 2016 Grant. 2015 Grant

Business Segments

Business Segments	6 Months Ended
	Jun. 30, 2016
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, 2016 and 2015 (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 United States $ 6,180 $ 2,526 $ 9,920 $ 5,014 Brazil 297 928 601 1,654 Rest of World 427 1,056 1,217 1,965 $ 6,904 $ 4,510 $ 11,738 $ 8,633 Revenue by product group for the three and six months ended June 30, 2016 and 2015 was (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 Biometrics $ 5,443 $ 3,883 $ 8,727 $ 7,731 Imaging 1,332 522 2,808 696 DSL royalties 129 105 203 206 $ 6,904 $ 4,510 $ 11,738 $ 8,633

Recent Accounting Pronouncement

Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2016
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Pronouncements	G) Recent Accounting Pronouncements. In November 2015, the FASB issued Accounting Standard Update 2015-17, "Balance Sheet Classification of Deferred Taxes," which requires that deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position to simplify the presentation of deferred income taxes. The standard is effective prospectively for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017, with early adoption permitted. We elected to early adopt this standard effective January 1, 2016. While the adoption of the standard did not have a material impact on our consolidated balance sheets, it is worth noting that we reclassified $184,000 of deferred tax assets that were previously included in current assets on our December 31, 2015 consolidated balance sheet. In March 2016, the FASB issued Accounting Standard Update 2016-09, “Improvements to Employee Share-Based Payment Accounting,” which is intended to simplify various aspects of how share-based payments are accounted for and presented in financial statements. The standard is effective prospectively for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017, with early adoption permitted. We are currently evaluating the effect this standard will have on our consolidated financial statements and related disclosures. With the exception of the standards 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, 2016.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	H) Income Taxes . In the six month periods ended June 30, 2016 and 2015, 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 $0.5 million and $0.6 million in the six month periods ended June 30, 2016 and 2015, respectively. These tax benefits were recorded as an equity adjustment to additional paid-in capital. As of June 30, 2016, we had a total of $1.0 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, 2015 of $5.5 million and $0.1 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 $0.5 million and $0.6 million

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	6 Months Ended
	Jun. 30, 2016
Equity [Abstract]
Accumulated Other Comprehensive Loss	I) Accumulated Other Comprehensive Loss. December 31, Increase/ Reclassification June30, 2015 Decrease Adjustments 2016 Unrealized losses on available for sale securities $ (137 ) $ 7 $ - $ (130 ) Unrealized gains on available for sale securities 40 (25 ) - 15 Net unrealized gains (losses) on available for sale securities (97 ) (18 ) - (115 ) Income tax benefit (expense) on other comprehensive loss 33 6 - 39 Total accumulated other comprehensive loss, net of taxes $ (64 ) $ (12 ) $ - $ (76 )

Share Repurchase Program

Share Repurchase Program	6 Months Ended
	Jun. 30, 2016
Share Repurchase Program [Abstract]
Share Repurchase Program	J) Share Repurchase Program.

Accounting Policies (Policies)

Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Basis of Presentation	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, 2016, and of operations and cash flows for the interim periods ended June 30, 2016 and 2015. The results of operations for the interim period ended June 30, 2016 are not necessarily indicative of the results to be expected for the year.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Schedule of assets measured at fair value on a recurring basis	Fair Value Measurement at June 30, 2016 Using: Quoted Prices in Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 858 $ - $ - Money market funds (included in cash and cash equivalents) 43,309 Total $ 44,167 $ - $ - Fair Value Measurement at December 31, 2015 Using: Quoted Prices in Significant Other Significant (Level 1) (Level 2) (Level 3) Corporate debt securities $ 869 $ - $ - Money market funds (included in cash and cash equivalents) 43,027 Total $ 43,896 $ - $ -

Computation of Earnings per S18

Computation of Earnings per Share (Tables)	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Schedule of net income per share	Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Net income $ 1,436 $ 319 $ 2,070 $ 591 Shares outstanding: Weighted-average common shares outstanding 22,964 22,867 22,978 22,866 Additional dilutive common stock equivalents 160 162 86 92 Diluted shares outstanding 23,124 23,029 23,064 22,958 Net income per share – basic $ 0.06 $ 0.01 $ 0.09 $ 0.03 Net income per share - diluted $ 0.06 $ 0.01 $ 0.09 $ 0.03

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2016
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, 2016 2015 2016 2015 Cost of services $ 3 $ 12 $ 3 $ 13 Research and development 28 26 30 27 Selling and marketing 4 4 4 5 General and administrative 147 179 153 197 Stock-based compensation expense $ 182 $ 221 $ 190 $ 242

Business Segments (Tables)

Business Segments (Tables)	6 Months Ended
	Jun. 30, 2016
Segment Reporting [Abstract]
Schedule of revenues generated from geographic regions	Three Months Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 United States $ 6,180 $ 2,526 $ 9,920 $ 5,014 Brazil 297 928 601 1,654 Rest of World 427 1,056 1,217 1,965 $ 6,904 $ 4,510 $ 11,738 $ 8,633
Schedule of revenue by product group	Three Months Ended Six Months Ended June 30, June 30, 2016 2015 2016 2015 Biometrics $ 5,443 $ 3,883 $ 8,727 $ 7,731 Imaging 1,332 522 2,808 696 DSL royalties 129 105 203 206 $ 6,904 $ 4,510 $ 11,738 $ 8,633

Accumulated Other Comprehensi21

Accumulated Other Comprehensive Loss (Tables)	6 Months Ended
	Jun. 30, 2016
Equity [Abstract]
Schedule of components of accumulated other comprehensive loss and activity	December 31, Increase/ Reclassification June30, 2015 Decrease Adjustments 2016 Unrealized losses on available for sale securities $ (137 ) $ 7 $ - $ (130 ) Unrealized gains on available for sale securities 40 (25 ) - 15 Net unrealized gains (losses) on available for sale securities (97 ) (18 ) - (115 ) Income tax benefit (expense) on other comprehensive loss 33 6 - 39 Total accumulated other comprehensive loss, net of taxes $ (64 ) $ (12 ) $ - $ (76 )

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, 2016	Dec. 31, 2015
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	$ 44,167	$ 43,896
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	858	869
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)	43,309	43,027
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 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 Measurements (Detail

Fair Value Measurements (Detail Textuals) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015	Jun. 30, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, primarily include money market funds	$ 52,256	$ 51,232	$ 44,513	$ 43,985
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	858	869
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 equivalents, primarily include money market funds	$ 43,300	$ 43,000

Computation of Earnings per S24

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, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Earnings Per Share [Abstract]
Net income	$ 1,436	$ 319	$ 2,070	$ 591
Shares outstanding:
Weighted-average common shares outstanding (in shares)	22,964	22,867	22,978	22,866
Additional dilutive common stock equivalents (in shares)	160	162	86	92
Diluted shares outstanding (in shares)	23,124	23,029	23,064	22,958
Net income per share - basic (in dollars per share)	$ 0.06	$ 0.01	$ 0.09	$ 0.03
Net income per share - diluted (in dollars per share)	$ 0.06	$ 0.01	$ 0.09	$ 0.03

Computation of Earnings per S25

Computation of Earnings per Share (Detail Textuals) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive common stock share purchase (in shares)	54,034	54,034	54,034	54,034

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, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 182	$ 221	$ 190	$ 242
Cost of services
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	3	12	3	13
Research and development
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	28	26	30	27
Selling and marketing
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	4	4	4	5
General and administrative operations
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 147	$ 179	$ 153	$ 197

Stock-Based Compensation (Detai

Stock-Based Compensation (Detail Textuals) - Unrestricted Stock Grants - 2001 Nonqualified Stock Plan - Directors, officers and employees - USD ($)	1 Months Ended				3 Months Ended	6 Months Ended	12 Months Ended
	Mar. 28, 2016	Jan. 31, 2016	Jul. 31, 2015	Mar. 31, 2015	Jun. 30, 2016	Jun. 30, 2016	Dec. 31, 2015
2016 Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted (in shares)	152,000
Stock-based compensation expense						$ 558,000
Stock based compensation expense charged					$ 182,000	190,000
Remaining stock based compensation expense					$ 368,000	$ 368,000
2015 Grant
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted (in shares)				152,000
Stock-based compensation expense							$ 682,000
Number of shares issued (in shares)		57,151	58,862
Number of common stock shares surrendered by employees withholding taxes		18,849	17,138
Common stock value surrendered by employees withholding taxes		$ 61,000	$ 69,000

Business Segments - Revenues ge

Business Segments - Revenues generated following geographic regions (Details ) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Segment Reporting Information [Line Items]
Revenue	$ 6,904	$ 4,510	$ 11,738	$ 8,633
Operating Segments | United States
Segment Reporting Information [Line Items]
Revenue	6,180	2,526	9,920	5,014
Operating Segments | Brazil
Segment Reporting Information [Line Items]
Revenue	297	928	601	1,654
Operating Segments | Rest of World
Segment Reporting Information [Line Items]
Revenue	$ 427	$ 1,056	$ 1,217	$ 1,965

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, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Segment Reporting Information [Line Items]
Revenue	$ 6,904	$ 4,510	$ 11,738	$ 8,633
Operating Segments | Biometrics
Segment Reporting Information [Line Items]
Revenue	5,443	3,883	8,727	7,731
Operating Segments | Imaging
Segment Reporting Information [Line Items]
Revenue	1,332	522	2,808	696
Operating Segments | DSL royalties
Segment Reporting Information [Line Items]
Revenue	$ 129	$ 105	$ 203	$ 206

Recent Accounting Pronounceme30

Recent Accounting Pronouncementsa (Detail Textuals)	6 Months Ended
	Jun. 30, 2016USD ($)
Accounting Changes and Error Corrections [Abstract]
Reclassification amount of deferred tax assets previously included in current assets	$ 184,000

Income Taxes (Detail Textuals)

Income Taxes (Detail Textuals) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Operating Loss Carryforwards [Line Items]
Income tax expense (benefit)	$ 710	$ 191	$ 1,022	$ 356
U.S. statutory tax rate			34.00%	34.00%
Tax benefits from stock-based awards			$ 500	$ 600
Deferred tax assets	$ 1,000		1,000
Equity adjustment to additional paid-in capital			$ 500	$ 600
Federal | Research and development credit carryforwards
Operating Loss Carryforwards [Line Items]
Net federal and state research and development credit carryforwards					$ 5,500
State | Research and development credit carryforwards
Operating Loss Carryforwards [Line Items]
Net federal and state research and development credit carryforwards					$ 100

Accumulated Other Comprehensi32

Accumulated Other Comprehensive Loss - Components of accumulated other comprehensive loss and activity (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2016USD ($)
Accumulated Other Comprehensive Income Loss [Roll Forward]
Beginning balance Net unrealized gains (losses) on available for sale securities	$ (97)
Beginning balance Income tax benefit (expense) on other comprehensive loss	33
Beginning balance Total accumulated other comprehensive loss, net of taxes	(64)
Increase/Decrease Net unrealized gains (losses) on available for sale securities	(18)
Increase/Decrease Income tax benefit (expense) on other comprehensive loss	6
Increase/Decrease Total accumulated other comprehensive loss, net of taxes	(12)
Reclassification Adjustments Net unrealized gains (losses) on available for sale securities
Reclassification Adjustments Income tax benefit (expense) on other comprehensive loss
Reclassification Adjustments Total accumulated other comprehensive loss, net of taxes
Ending balance Net unrealized gains (losses) on available for sale securities	(115)
Ending balance Income tax benefit (expense) on other comprehensive loss	39
Ending balance Total accumulated other comprehensive loss, net of taxes	(76)
Unrealized losses on available for sale securities
Accumulated Other Comprehensive Income Loss [Roll Forward]
Beginning balance Net unrealized gains (losses) on available for sale securities	(137)
Increase/Decrease Net unrealized gains (losses) on available for sale securities	7
Reclassification Adjustments Net unrealized gains (losses) on available for sale securities
Ending balance Net unrealized gains (losses) on available for sale securities	(130)
Unrealized gains on available for sale securities
Accumulated Other Comprehensive Income Loss [Roll Forward]
Beginning balance Net unrealized gains (losses) on available for sale securities	40
Increase/Decrease Net unrealized gains (losses) on available for sale securities	(25)
Reclassification Adjustments Net unrealized gains (losses) on available for sale securities
Ending balance Net unrealized gains (losses) on available for sale securities	$ 15

Share Repurchase Program (Detai

Share Repurchase Program (Detail Textuals) - Share Repurchase Program - USD ($)	3 Months Ended
	Jun. 30, 2016	Apr. 26, 2016
Equity, Class of Treasury Stock [Line Items]
Maximum amount of common stock authorized to repurchase		$ 10,000,000
Repurchase common stock (in shares)	81,980
Repurchase common stock	$ 349,000