Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Aug. 04, 2014 | |
Document And Entity Information | ' | ' |
Entity Registrant Name | 'Heska Corp | ' |
Entity Central Index Key | '0001038133 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Jun-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Is Entity a Well-known Seasoned Issuer? | 'No | ' |
Is Entity a Voluntary Filer? | 'No | ' |
Is Entity's Reporting Status Current? | 'Yes | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 6,287,556 |
Document Fiscal Period Focus | 'Q2 | ' |
Document Fiscal Year Focus | '2014 | ' |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $6,264 | $6,016 |
Accounts receivable, net of allowance for doubtful accounts of $209 and $265, respectively | 11,995 | 11,409 |
Due from - related parties | 1,094 | 1,200 |
Inventories, net | 12,666 | 11,687 |
Deferred tax asset, current | 2,177 | 2,156 |
Other current assets | 1,030 | 1,443 |
Total current assets | 35,226 | 33,911 |
Property and equipment, net | 12,258 | 9,928 |
Note receivable - related party | 1,436 | 1,407 |
Goodwill and other intangible assets | 21,516 | 21,571 |
Deferred tax asset, net of current portion | 26,239 | 26,358 |
Other long-term assets | 442 | 378 |
Total assets | 97,117 | 93,553 |
Current liabilities: | ' | ' |
Accounts payable | 5,106 | 4,448 |
Due to - related party | 667 | ' |
Accrued liabilities | 4,262 | 4,420 |
Current portion of deferred revenue | 4,205 | 3,908 |
Line of credit | 2,575 | 4,798 |
Other short-term borrowings, including current portion of long-term note payable | 159 | 132 |
Total current liabilities | 16,974 | 17,706 |
Long-term note payable, net of current portion | 276 | 369 |
Deferred revenue, net of current portion, and other | 13,319 | 11,298 |
Total liabilities | 30,569 | 29,373 |
Non-Controlling Interest | 14,865 | 13,659 |
Public Common Stock subject to redemption | 0 | 3,405 |
Stockholders' equity: | ' | ' |
Public common stock, $.01 par value, 7,500,000 shares authorized; 5,845,931 and 6,281,189 shares issued and outstanding, respectively | 63 | 58 |
Additional paid-in capital | 221,446 | 217,588 |
Accumulated other comprehensive income | 641 | 580 |
Accumulated deficit | -170,467 | -171,110 |
Total stockholders' equity | 51,683 | 47,116 |
Total liabilities and stockholders' equity | $97,117 | $93,553 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ' | ' |
Accounts receivable, net of allowance for doubtful accounts | $265 | $209 |
Preferred stock at par value | $0.01 | $0.01 |
Preferred stock shares authorized | 2,500,000 | 2,500,000 |
Common stock at par value | $0.01 | $0.01 |
Common stock shares authorized | 7,500,000 | 7,500,000 |
Public common stock at par value | $0.01 | $0.01 |
Public common stock shares authorized | 7,500,000 | 7,500,000 |
Public common stock shares issued | 63,000 | 58,000 |
Public common stock shares outstanding | 63,000 | 58,000 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Revenue, net: | ' | ' | ' | ' |
Core companion animal health | $17,486 | $15,851 | $34,852 | $31,500 |
Other vaccines, pharmaceuticals and products | 5,430 | 2,410 | 8,857 | 5,740 |
Total revenue, net | 22,916 | 18,261 | 43,709 | 37,240 |
Cost of revenue | 13,839 | 13,241 | 26,353 | 24,418 |
Gross profit | 9,077 | 5,020 | 17,356 | 12,822 |
Operating expenses: | ' | ' | ' | ' |
Selling and marketing | 4,752 | 4,838 | 9,697 | 9,963 |
Research and development | 374 | 483 | 762 | 873 |
General and administrative | 3,034 | 3,277 | 6,081 | 6,246 |
Total operating expenses | 8,160 | 8,598 | 16,540 | 17,082 |
Operating income (loss) | 917 | -3,578 | 816 | -4,260 |
Interest and other expense, net | -7 | 52 | 9 | 41 |
Income (loss) before income taxes | 924 | -3,630 | 807 | -4,301 |
Current tax expense | 32 | 59 | 53 | 65 |
Deferred tax expense (benefit) | 114 | -1,222 | 249 | -1,547 |
Total income tax expense (benefit) | 146 | -1,163 | 302 | -1,482 |
Net income (loss) | 778 | -2,467 | 505 | -2,819 |
Net income (loss) attributable to non-controlling interest | -291 | -239 | -756 | -205 |
Net income (loss) attributable to Heska Corporation | $1,069 | ($2,228) | $1,261 | ($2,614) |
Basic net income (loss) per share attributable to Heska Corporation | $0.18 | ($0.38) | $0.21 | ($0.46) |
Diluted net income (loss) per share attributable to Heska Corporation | $0.17 | ($0.38) | $0.20 | ($0.46) |
Weighted average outstanding shares used to compute basic net income (loss) per share attributable to Heska Corp. | 5,936 | 5,804 | 5,898 | 5,676 |
Weighted average outstanding shares used to compute diluted net income (loss) per share attributable to Heska Corp | 6,384 | 5,804 | 6,183 | 5,676 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Net Income (loss) | $778 | ($2,467) | $505 | ($2,819) |
Other comprehensive income (expense): | ' | ' | ' | ' |
Minimum pension liability | 8 | ' | -6 | ' |
Foreign currency translation | 43 | 13 | 70 | -94 |
Unrealized gain on available for sale investments | -2 | 13 | -2 | 13 |
Comprehensive income (loss) | 827 | -2,441 | 567 | -2,900 |
Comprehensive income (loss) attributable to Non-controlling interest | -291 | -239 | -756 | -205 |
Comprehensive income (loss) attributable to Heska Corporation | $1,118 | ($2,202) | $1,323 | ($2,695) |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES: | ' | ' |
Net income (loss) | $505 | ($2,819) |
Depreciation and amortization | 1,617 | 1,089 |
Deferred tax expense (benefit) | 249 | -1,547 |
Stock-based compensation | 586 | 231 |
Unrealized (gain)/loss on foreign currency translation | -5 | -24 |
Accounts receivable | -585 | 3,157 |
Inventories | -3,282 | -1,143 |
Other current assets | 394 | 577 |
Accounts payable | 1,523 | -1,000 |
Accrued liabilities and other | 33 | 518 |
Other non-current assets | -207 | 0 |
Deferred revenue and other liabilities | 2,335 | -102 |
Net cash provided by (used in) operating activities | 3,163 | -1,063 |
CASH FLOWS FROM PROVIDED BY (USED IN) INVESTING ACTIVITIES: | ' | ' |
Investment in subsidiary | 0 | -3,019 |
Purchase of property and equipment | -1,538 | -734 |
Proceeds from disposition of property and equipment | 6 | 5,020 |
Net cash provided by (used in) investing activities | -1,532 | 1,267 |
CASH FLOWS PROVIDED BY (USED IN) FINANCING ACTIVITIES: | ' | ' |
Proceeds from issuance of common stock | 902 | 111 |
Repayments of line of credit borrowings, net | -2,224 | -561 |
Repayments of other debt | -111 | -105 |
Net cash provided by (used in) financing activities | -1,433 | -555 |
EFFECT OF EXCHANGE RATE CHANGES ON CASH | 50 | -23 |
INCREASE IN CASH AND CASH EQUIVALENTS | 248 | -374 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 6,016 | 5,784 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 6,264 | 5,410 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ' | ' |
Cash paid for interest | 44 | 43 |
Cash paid for income taxes | 0 | 0 |
Non-cash transfer of inventory to property and equipment | 2,279 | 787 |
Accretion of non-controlling interest | $0 | $1,000 |
ORGANIZATION_AND_BUSINESS
ORGANIZATION AND BUSINESS | 6 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
ORGANIZATION AND BUSINESS | ' |
1. ORGANIZATION AND BUSINESS | |
Heska Corporation ("Heska" or the "Company") develops, manufactures, markets, sells and supports veterinary products. Heska's core focus is on the canine and feline companion animal health markets. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||||||||||||
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||||||||||||
Basis of Presentation | |||||||||||||
The accompanying unaudited condensed consolidated financial statements are the responsibility of the Company's management and have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and pursuant to the instructions to Form 10-Q and rules and regulations of the Securities and Exchange Commission (the "SEC"). The condensed consolidated balance sheet as of June 30, 2014, the condensed consolidated statements of operations for the three months and six months ended June 30, 2013 and 2014, the condensed consolidated statements of comprehensive income for the three months and six months ended June 30, 2013 and 2014 and the condensed consolidated statements of cash flows for the six months ended June 30, 2013 and 2014 are unaudited, but include, in the opinion of management, all adjustments (consisting of normal recurring adjustments) which the Company considers necessary for a fair presentation of its financial position, operating results and cash flows for the periods presented. All material intercompany transactions and balances have been eliminated in consolidation. Although the Company believes that the disclosures in these financial statements are adequate to make the information presented not misleading, certain information and footnote disclosures normally included in complete financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to the rules and regulations of the SEC. | |||||||||||||
Results for any interim period are not necessarily indicative of results for any future interim period or for the entire year. The accompanying financial statements and related disclosures have been prepared with the presumption that users of the interim financial information have read or have access to the audited financial statements for the preceding fiscal year. Accordingly, these financial statements should be read in conjunction with the audited financial statements and the related notes thereto for the year ended December 31, 2013, included in the Company's Annual Report on Form 10-K filed with the SEC on March 31, 2014. | |||||||||||||
Use of Estimates | |||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenue and expense during the reported period. Actual results could differ from those estimates. Significant estimates are required when establishing the allowance for doubtful accounts and the provision for excess/obsolete inventory, in determining the period over which the Company's obligations are fulfilled under agreements to license product rights and/or technology rights, in determining the need for, and the amount of, a valuation allowance on certain deferred tax assets and in determining the need for, and the amount of, an accrued liability for future payments related to minimum purchase obligations the Company may make in order to maintain certain product rights. | |||||||||||||
Inventories | |||||||||||||
Inventories are stated at the lower of cost or market using the first-in, first-out method. Inventory manufactured by the Company includes the cost of material, labor and overhead. If the cost of inventories exceeds estimated fair value, provisions are made to reduce the carrying value to estimated fair value. | |||||||||||||
Inventories, net consist of the following (in thousands): | |||||||||||||
December 31, | June 30, | ||||||||||||
2013 | 2014 | ||||||||||||
Raw materials | $ | 5,787 | $ | 6,057 | |||||||||
Work in process | 2,920 | 3,749 | |||||||||||
Finished goods | 4,784 | 4,317 | |||||||||||
Allowance for excess or obsolete inventory | (1,804 | ) | (1,457 | ) | |||||||||
$ | 11,687 | $ | 12,666 | ||||||||||
Basic and Diluted Net Income (Loss) Per Share | |||||||||||||
Basic net income (loss) per common share is computed using the weighted average number of common shares outstanding during the period. The weighted average number of common shares outstanding used to calculate basic net income per common share for the three and six months ended June 30, 2014 excluded unvested shares of restricted common stock, which totaled 303,572 shares at June 30, 2014. Diluted net income (loss) per share is computed using the sum of the weighted average number of shares of common stock outstanding, and, if not anti-dilutive, the effect of outstanding common stock equivalents (such as stock options and warrants) determined using the treasury stock method. | |||||||||||||
For the three and six months ended June 30, 2014, the Company reported net income attributable to Heska Corporation and therefore, dilutive common stock equivalent securities, as computed using the treasury method (but excluding options to purchase fractional shares resulting from the Company's December 2010 1-for-10 reverse stock split), were added to basic weighted average shares outstanding for the period to derive the weighted average shares for diluted earnings per share calculation. Common stock equivalent securities, other than options to purchase fractional shares, that were anti-dilutive for the three and six months ended June 30, 2014, and therefore excluded, were outstanding options to purchase 288,763 and 430,109 shares of common stock, respectively. These securities are anti-dilutive primarily due to exercise prices greater than the average trading price of the Company's common stock during the three and six months ended June 30, 2014. | |||||||||||||
For the three and six months ended June 30, 2013, the Company reported a net loss attributable to Heska Corporation and therefore all common stock equivalent securities would be anti-dilutive and were not included in the diluted earnings per share calculation for the period. Common stock equivalent securities, other than options to purchase fractional shares, that were anti-dilutive for the three and six months ended June 30, 2013, and therefore excluded, were outstanding options to purchase 1,177,736 and 1,206,864 shares of common stock, respectively. These securities are anti-dilutive due to the Company's net loss attributable to Heska Corporation for the three and six months ended June 30, 2013. |
ACQUISITION
ACQUISITION | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Business Combinations [Abstract] | ' | |||||||||||||||
Acquisition | ' | |||||||||||||||
3. ACQUISITION AND RELATED PARTY ITEMS | ||||||||||||||||
On February 24, 2013, the Company acquired a 54.6% interest in Cuattro Veterinary USA, LLC | ||||||||||||||||
("Cuattro Vet USA") for approximately $7.6 million in cash and stock, including more than $4 million in cash (the "Acquisition"). Immediately following and as a result of the transaction, former Cuattro Vet USA unit holders owned approximately 7.2% of the Company's Public Common Stock. The remaining minority position (45.4%) in Cuattro Vet USA is subject to purchase by Heska under performance-based puts and calls following calendar year 2015, 2016 and 2017. Should Heska undergo a change in control, as defined, prior to the end of 2017, Cuattro Vet USA minority unit holders will be entitled to sell their Cuattro Vet USA units to Heska at the highest call value they could have otherwise obtained. | ||||||||||||||||
Cuattro Vet USA was subsequently renamed Heska Imaging US, LLC ("Heska Imaging") and markets, sells and supports digital radiography and ultrasound products along with embedded software and support, data hosting and other services. | ||||||||||||||||
Shawna M. Wilson, Clint Roth, DVM, Steven M. Asakowicz, Rodney A. Lippincott, Kevin S. Wilson and Cuattro, LLC own approximately 29.75%, 8.39%, 4.09%, 3.07%, 0.05% and 0.05% of Heska Imaging, respectively. Kevin S. Wilson is the Chief Executive Officer and President of the Company, a member of the Company’s Board of Directors and the spouse of Shawna M. Wilson. Steven M. Asakowicz serves as Executive Vice President, Companion Animal Health Sales for the Company. Rodney A. Lippincott serves as Executive Vice President, Companion Animal Health Sales for the Company. Mr. Wilson, Mrs. Wilson and trusts for their children and family own a 100% interest in Cuattro, LLC. Cuattro, LLC owns a 100% interest in Cuattro Software, LLC. Mr. Wilson, Mrs. Wilson and trusts for their children and family own a majority interest in Cuattro Veterinary, LLC and Cuattro Medical, LLC. | ||||||||||||||||
Since January 1, 2014, Cuattro, LLC charged Heska Imaging $5.1 million, primarily related to digital imaging products, for which there is an underlying supply contract with minimum purchase obligations, software and services as well as other operating expenses; Heska Corporation charged Heska Imaging $1.8 million, primarily related to sales expenses; Heska Corporation net charged Cuattro, LLC $119Â thousand, primarily related to facility usage and other services. | ||||||||||||||||
At June 30, 2014, Heska Imaging has a $1.4 million note receivable, including accrued interest, from Cuattro Veterinary, LLC, which is due on March 15, 2016 and which is listed as "Note receivable – related party" on the Company's consolidated balance sheets; Heska Imaging had accounts receivable from Cuattro Software, LLC of $909 thousand, which is included in "Due from – related parties" on the Company's consolidated balance sheets; Heska Corporation had net accounts receivable from Cuattro, LLC of $185 thousand which is included in "Due from – related parties" on the Company's consolidated balance sheets; Heska Imaging had net accounts payable to Cuattro, LLC of $667 thousand which is included in "Due to – related party" on the Company's consolidated balance sheets; Heska Corporation had accounts receivable from Heska Imaging of $5.2 million, including accrued interest, which eliminated in consolidation of the Company's financial statements; all monies owed accrue interest at the same rate Heska Corporation pays under its credit and security agreement with Wells Fargo Bank, National Association ("Wells Fargo") once past due with the exception of the note receivable, which accrues at this rate to its maturity date. | ||||||||||||||||
The aggregate position in Heska Imaging of the unit holders who hold the 45.4% of Heska Imaging that Heska Corporation does not own (the "Put Value") is being accreted to its estimated redemption value in accordance with Heska Imaging's Amended and Restated Operating Agreement (the "Operating Agreement"). Since the Operating Agreement contains certain put rights that are out of the control of the Company, authoritative guidance requires the non-controlling interest, which includes the estimated values of such put rights, to be displayed outside of the equity section of the consolidated balance sheets. The adjustment to increase or decrease the Put Value to its expected redemption value and to estimate any distributions required under Heska Imaging's Operating Agreement to the unit holders who hold the 45.4% of Heska Imaging that Heska Corporation does not own (the "Imaging Minority") each reporting period is recorded to stockholders' equity in accordance with United States Generally Accepted Accounting Principles. | ||||||||||||||||
The following unaudited pro forma financial information presents the combined results of the Company and Cuattro Vet USA as if the Acquisition had closed on January 1, 2012. | ||||||||||||||||
Six Months Ended | ||||||||||||||||
June 30, | ||||||||||||||||
2013 | 2014 | |||||||||||||||
Revenue, net | $ | 38,140 | $ | 43,709 | ||||||||||||
Net income (loss) attributable to Heska Corporation | (3,010 | ) | 1,261 | |||||||||||||
Basic earnings (loss) per share attributable to Heska Corporation | $ | (0.53 | ) | $ | 0.21 | |||||||||||
Diluted earnings (loss) per share attributable to Heska Corporation | (0.53 | ) | 0.2 |
CAPITAL_STOCK
CAPITAL STOCK | 6 Months Ended | ||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||
Notes to Financial Statements | ' | ||||||||||||||||||
CAPITAL STOCK | ' | ||||||||||||||||||
4. CAPITAL STOCK | |||||||||||||||||||
The fair value of each option grant was estimated on the date of grant using the Black-Scholes option-pricing model, with the following weighted average assumptions for options granted in the three and six months ended June 30, 2013 and 2014. | |||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||
June 30, | June 30, | ||||||||||||||||||
2013 | 2014 | 2013 | 2014 | ||||||||||||||||
Risk-free interest rate | 0.46% | 1.10% | 0.50% | 1.07% | |||||||||||||||
Expected lives | 3.4 years | 3.3 years | 3.4 years | 3.3 years | |||||||||||||||
Expected volatility | 52% | 45% | 52% | 45% | |||||||||||||||
Expected dividend yield | 0% | 0% | 0% | 0% | |||||||||||||||
A summary of the Company's stock option plans, excluding options to purchase fractional shares resulting from the Company's December 2010 1-for-10 reverse stock split is as follows: | |||||||||||||||||||
Year Ended | Six Months Ended | ||||||||||||||||||
31-Dec-13 | 30-Jun-14 | ||||||||||||||||||
Weighted | Weighted | ||||||||||||||||||
Average | Average | ||||||||||||||||||
Exercise | Exercise | ||||||||||||||||||
Options | Price | Options | Price | ||||||||||||||||
Outstanding at beginning of period | 1,245,161 | $ | 11.054 | 1,321,232 | $ | 10.386 | |||||||||||||
Granted at market | 275,654 | $ | 7.532 | 31,200 | $ | 11.161 | |||||||||||||
Cancelled | (166,286 | ) | $ | 11.437 | (202,498 | ) | $ | 17.94 | |||||||||||
Exercised | (33,297 | ) | $ | 6.488 | (115,834 | ) | $ | 6.814 | |||||||||||
Outstanding at end of period | 1,321,232 | $ | 10.386 | 1,034,100 | $ | 9.33 | |||||||||||||
Exercisable at end of period | 939,458 | $ | 11.556 | 727,801 | $ | 10.055 | |||||||||||||
The estimated fair value of stock options granted during the six months ended June 30, 2013 and 2014 was computed to be approximately $506 thousand and $114 thousand, respectively. The amount is amortized ratably over the vesting period of the options. The per share weighted average estimated fair value of options granted during the six months ended June 30, 2013 and 2014 was computed to be approximately $3.12 and $3.66, respectively. The total intrinsic value of options exercised during the six months ended June 30, 2013 and 2014 was approximately $30 thousand and $440 thousand, respectively. The cash proceeds from options exercised during the six months ended June 30, 2013 and 2014 were approximately $66Â thousand and $789Â thousand, respectively. | |||||||||||||||||||
The following table summarizes information about stock options outstanding and exercisable at June 30, 2014, excluding outstanding options to purchase an aggregate of 45.7 fractional shares resulting from the Company's December 2010 1-for-10 reverse stock split with a weighted average remaining contractual life of 1.26 years, a weighted average exercise price of $10.89 and exercise prices ranging from $4.40 to $22.50. The Company intends to issue whole shares only from option exercises. | |||||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||
Exercise Prices | Number of | Weighted | Weighted | Number of | Weighted | ||||||||||||||
Options | Average | Average | Options | Average | |||||||||||||||
Outstanding | Remaining | Exercise | Exercisable | Exercise | |||||||||||||||
at | Contractual | Price | at | Price | |||||||||||||||
June 30, | Life in Years | June 30, | |||||||||||||||||
2014 | 2014 | ||||||||||||||||||
$Â Â 2.70 - $Â Â 6.76 | 172,178 | 5.87 | $ | 4.984 | 155,726 | $ | 4.921 | ||||||||||||
$Â Â 6.77 - $Â Â 8.00 | 288,502 | 8.6 | $ | 7.247 | 90,239 | $ | 7.156 | ||||||||||||
$Â Â 8.01 - $Â Â 8.76 | 160,688 | 8.32 | $ | 8.47 | 81,268 | $ | 8.459 | ||||||||||||
$Â Â 8.77 - $12.40 | 186,615 | 3.46 | $ | 9.878 | 174,451 | $ | 9.882 | ||||||||||||
$12.41 - $22.50 | 226,117 | 2.24 | $ | 15.457 | 226,117 | $ | 15.457 | ||||||||||||
$Â Â 2.70 - $22.50 | 1,034,100 | 5.78 | $ | 9.33 | 727,801 | $ | 10.055 | ||||||||||||
As of June 30, 2014, there was approximately $839 thousand of total unrecognized compensation cost related to outstanding stock options. That cost is expected to be recognized over a weighted average period of 2.0Â years, with approximately $215 thousand to be recognized in the six months ending December 31, 2014 and all the cost to be recognized as of February 2018, assuming all options vest according to the vesting schedules in place at June 30, 2014. As of June 30, 2014, the aggregate intrinsic value of outstanding options was approximately $2.6Â million and the aggregate intrinsic value of exercisable options was approximately $1.6Â million. | |||||||||||||||||||
On March 26, 2014, the Company issued 63,572 shares to Robert B. Grieve. Ph.D., who is currently the Company’s Executive Chairman, pursuant to an employment agreement between Dr. Grieve and the Company effective as of March 26, 2014 (the "Grieve Employment Agreement"). The shares were issued in five tranches and are subject to time-based vesting and other provisions outlined in the Grieve Employment Agreement. All shares are to vest in full as of April 30, 2017. | |||||||||||||||||||
On March 26, 2014, the Company issued 110,000 shares to Mr. Wilson pursuant to an employment agreement between Mr. Wilson and the Company effective as of March 26, 2014 (the"Wilson Employment Agreement"). The shares were issued in four equal tranches and are subject to time-based vesting and other provisions outlined in the Wilson Employment Agreement. The first tranche is to vest on September 26, 2014 each of the three remaining tranches is to vest on the succeeding March 26 until all shares are vested in full as of March 26, 2017. On May 6, 2014, the Company issued an additional 130,000 shares to Mr. Wilson following a vote of approval on the issuance by the Company’s stockholders. The shares were issued in ten equal tranches and five of which are subject to vesting based on the achievement of certain stock price targets as defined and further described in the Wilson Employment Agreement and five of which are subject to vesting based on certain "Adjusted EBITDA" targets as defined and further described in the Wilson Employment Agreement. |
SEGMENT_REPORTING
SEGMENT REPORTING | 6 Months Ended | |||||||||||||
Jun. 30, 2014 | ||||||||||||||
Notes to Financial Statements | ' | |||||||||||||
SEGMENT REPORTING | ' | |||||||||||||
5. SEGMENT REPORTING | ||||||||||||||
The Company is comprised of two reportable segments, Core Companion Animal Health ("CCA") and Other Vaccines, Pharmaceuticals and Products ("OVP"). The CCA segment includes blood testing instruments and supplies, digital imaging products, software and services, and single use products and services such as in-clinic heartworm diagnostic tests, heartworm preventive products, allergy immunotherapy products and allergy testing. These products are sold directly by the Company as well as through other distribution relationships. CCA segment products manufactured at the Des Moines, Iowa production facility included in our OVP segment's assets are transferred at cost and are not recorded as revenue for our OVP segment. The OVP segment includes private label vaccine and pharmaceutical production, primarily for cattle, but also for other animals including small mammals and horses. All OVP products are sold by third parties under third-party labels. | ||||||||||||||
Summarized financial information concerning the Company's reportable segments is shown in the following table (in thousands): | ||||||||||||||
Core | Other Vaccines, | |||||||||||||
Companion | Pharmaceuticals | |||||||||||||
Animal Health | and Products | Total | ||||||||||||
Six Months Ended | ||||||||||||||
June 30, 2013: | ||||||||||||||
Total revenue | $ | 31,500 | $ | 5,740 | $ | 37,240 | ||||||||
Operating income (loss) | (4,191 | ) | (69 | ) | (4,260 | ) | ||||||||
Interest expense | 128 | 19 | 147 | |||||||||||
Total assets | 78,161 | 10,584 | 88,745 | |||||||||||
Net assets | 38,078 | 8,164 | 46,242 | |||||||||||
Capital expenditures | 361 | 373 | 734 | |||||||||||
Depreciation and amortization | 696 | 393 | 1,089 | |||||||||||
Six Months Ended | ||||||||||||||
June 30, 2014: | ||||||||||||||
Total revenue | $ | 34,852 | $ | 8,857 | $ | 43,709 | ||||||||
Operating income (loss) | (265 | ) | 1,081 | 816 | ||||||||||
Interest expense | 74 | 28 | 102 | |||||||||||
Total assets | 81,903 | 15,214 | 97,117 | |||||||||||
Net assets | 39,968 | 11,715 | 51,683 | |||||||||||
Capital expenditures | 1,334 | 204 | 1,538 | |||||||||||
Depreciation and amortization | 1,231 | 386 | 1,617 | |||||||||||
Core | Other Vaccines, | |||||||||||||
Companion | Pharmaceuticals | |||||||||||||
Animal Health | and Products | Total | ||||||||||||
Three Months Ended | ||||||||||||||
June 30, 2013: | ||||||||||||||
Total revenue | $ | 15,851 | $ | 2,410 | $ | 18,261 | ||||||||
Operating income (loss) | (3,098 | ) | (480 | ) | (3,578 | ) | ||||||||
Interest expense | 77 | 13 | 90 | |||||||||||
Total assets | 78,161 | 10,584 | 88,745 | |||||||||||
Net assets | 38,078 | 8,164 | 46,242 | |||||||||||
Capital expenditures | 52 | 365 | 417 | |||||||||||
Depreciation and amortization | 417 | 198 | 615 | |||||||||||
Three Months Ended | ||||||||||||||
June 30, 2014: | ||||||||||||||
Total revenue | $ | 17,486 | $ | 5,430 | $ | 22,916 | ||||||||
Operating income (loss) | 43 | 874 | 917 | |||||||||||
Interest expense | 37 | 15 | 52 | |||||||||||
Total assets | 81,903 | 15,214 | 97,117 | |||||||||||
Net assets | 39,968 | 11,715 | 51,683 | |||||||||||
Capital expenditures | 123 | 98 | 221 | |||||||||||
Depreciation and amortization | 688 | 200 | 888 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||
Basis of Presentation | ' | ||||||||||||
Basis of Presentation | |||||||||||||
The accompanying unaudited condensed consolidated financial statements are the responsibility of the Company's management and have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and pursuant to the instructions to Form 10-Q and rules and regulations of the Securities and Exchange Commission (the "SEC"). The condensed consolidated balance sheet as of June 30, 2014, the condensed consolidated statements of operations for the three months and six months ended June 30, 2013 and 2014, the condensed consolidated statements of comprehensive income for the three months and six months ended June 30, 2013 and 2014 and the condensed consolidated statements of cash flows for the six months ended June 30, 2013 and 2014 are unaudited, but include, in the opinion of management, all adjustments (consisting of normal recurring adjustments) which the Company considers necessary for a fair presentation of its financial position, operating results and cash flows for the periods presented. All material intercompany transactions and balances have been eliminated in consolidation. Although the Company believes that the disclosures in these financial statements are adequate to make the information presented not misleading, certain information and footnote disclosures normally included in complete financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to the rules and regulations of the SEC. | |||||||||||||
Results for any interim period are not necessarily indicative of results for any future interim period or for the entire year. The accompanying financial statements and related disclosures have been prepared with the presumption that users of the interim financial information have read or have access to the audited financial statements for the preceding fiscal year. Accordingly, these financial statements should be read in conjunction with the audited financial statements and the related notes thereto for the year ended December 31, 2013, included in the Company's Annual Report on Form 10-K filed with the SEC on March 31, 2014. | |||||||||||||
Use of Estimates | ' | ||||||||||||
Use of Estimates | |||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenue and expense during the reported period. Actual results could differ from those estimates. Significant estimates are required when establishing the allowance for doubtful accounts and the provision for excess/obsolete inventory, in determining the period over which the Company's obligations are fulfilled under agreements to license product rights and/or technology rights, in determining the need for, and the amount of, a valuation allowance on certain deferred tax assets and in determining the need for, and the amount of, an accrued liability for future payments related to minimum purchase obligations the Company may make in order to maintain certain product rights. | |||||||||||||
Inventories | ' | ||||||||||||
Inventories | |||||||||||||
Inventories are stated at the lower of cost or market using the first-in, first-out method. Inventory manufactured by the Company includes the cost of material, labor and overhead. If the cost of inventories exceeds estimated fair value, provisions are made to reduce the carrying value to estimated fair value. | |||||||||||||
Inventories, net consist of the following (in thousands): | |||||||||||||
December 31, | June 30, | ||||||||||||
2013 | 2014 | ||||||||||||
Raw materials | $ | 5,787 | $ | 6,057 | |||||||||
Work in process | 2,920 | 3,749 | |||||||||||
Finished goods | 4,784 | 4,317 | |||||||||||
Allowance for excess or obsolete inventory | (1,804 | ) | (1,457 | ) | |||||||||
$ | 11,687 | $ | 12,666 | ||||||||||
Basic and Diluted Net Income Per Share | ' | ||||||||||||
Basic and Diluted Net Income (Loss) Per Share | |||||||||||||
Basic net income (loss) per common share is computed using the weighted average number of common shares outstanding during the period. The weighted average number of common shares outstanding used to calculate basic net income per common share for the three and six months ended June 30, 2014 excluded unvested shares of restricted common stock, which totaled 303,572 shares at June 30, 2014. Diluted net income (loss) per share is computed using the sum of the weighted average number of shares of common stock outstanding, and, if not anti-dilutive, the effect of outstanding common stock equivalents (such as stock options and warrants) determined using the treasury stock method. | |||||||||||||
For the three and six months ended June 30, 2014, the Company reported net income attributable to Heska Corporation and therefore, dilutive common stock equivalent securities, as computed using the treasury method (but excluding options to purchase fractional shares resulting from the Company's December 2010 1-for-10 reverse stock split), were added to basic weighted average shares outstanding for the period to derive the weighted average shares for diluted earnings per share calculation. Common stock equivalent securities, other than options to purchase fractional shares, that were anti-dilutive for the three and six months ended June 30, 2014, and therefore excluded, were outstanding options to purchase 288,763 and 430,109 shares of common stock, respectively. These securities are anti-dilutive primarily due to exercise prices greater than the average trading price of the Company's common stock during the three and six months ended June 30, 2014. | |||||||||||||
For the three and six months ended June 30, 2013, the Company reported a net loss attributable to Heska Corporation and therefore all common stock equivalent securities would be anti-dilutive and were not included in the diluted earnings per share calculation for the period. Common stock equivalent securities, other than options to purchase fractional shares, that were anti-dilutive for the three and six months ended June 30, 2013, and therefore excluded, were outstanding options to purchase 1,177,736 and 1,206,864 shares of common stock, respectively. These securities are anti-dilutive due to the Company's net loss attributable to Heska Corporation for the three and six months ended June 30, 2013. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||
Inventories | ' | ||||||||||||
Inventories, net consist of the following (in thousands): | |||||||||||||
December 31, | June 30, | ||||||||||||
2013 | 2014 | ||||||||||||
Raw materials | $ | 5,787 | $ | 6,057 | |||||||||
Work in process | 2,920 | 3,749 | |||||||||||
Finished goods | 4,784 | 4,317 | |||||||||||
Allowance for excess or obsolete inventory | (1,804 | ) | (1,457 | ) | |||||||||
$ | 11,687 | $ | 12,666 | ||||||||||
ACQUISITION_Tables
ACQUISITION (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Business Combinations [Abstract] | ' | |||||||||||||||
Pro forma financial information | ' | |||||||||||||||
Six Months Ended | ||||||||||||||||
June 30, | ||||||||||||||||
2013 | 2014 | |||||||||||||||
Revenue, net | $ | 38,140 | $ | 43,709 | ||||||||||||
Net income (loss) attributable to Heska Corporation | (3,010 | ) | 1,261 | |||||||||||||
Basic earnings (loss) per share attributable to Heska Corporation | $ | (0.53 | ) | $ | 0.21 | |||||||||||
Diluted earnings (loss) per share attributable to Heska Corporation | (0.53 | ) | 0.2 |
CAPITAL_STOCK_Tables
CAPITAL STOCK (Tables) | 6 Months Ended | ||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||
Notes to Financial Statements | ' | ||||||||||||||||||
Fair Value of each Option Grant | ' | ||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||
June 30, | June 30, | ||||||||||||||||||
2013 | 2014 | 2013 | 2014 | ||||||||||||||||
Risk-free interest rate | 0.46% | 1.10% | 0.50% | 1.07% | |||||||||||||||
Expected lives | 3.4 years | 3.3 years | 3.4 years | 3.3 years | |||||||||||||||
Expected volatility | 52% | 45% | 52% | 45% | |||||||||||||||
Expected dividend yield | 0% | 0% | 0% | 0% | |||||||||||||||
Summary of Company Stock Option Plans | ' | ||||||||||||||||||
Year Ended | Six Months Ended | ||||||||||||||||||
31-Dec-13 | 30-Jun-14 | ||||||||||||||||||
Weighted | Weighted | ||||||||||||||||||
Average | Average | ||||||||||||||||||
Exercise | Exercise | ||||||||||||||||||
Options | Price | Options | Price | ||||||||||||||||
Outstanding at beginning of period | 1,245,161 | $ | 11.054 | 1,321,232 | $ | 10.386 | |||||||||||||
Granted at market | 275,654 | $ | 7.532 | 31,200 | $ | 11.161 | |||||||||||||
Cancelled | (166,286 | ) | $ | 11.437 | (202,498 | ) | $ | 17.94 | |||||||||||
Exercised | (33,297 | ) | $ | 6.488 | (115,834 | ) | $ | 6.814 | |||||||||||
Outstanding at end of period | 1,321,232 | $ | 10.386 | 1,034,100 | $ | 9.33 | |||||||||||||
Exercisable at end of period | 939,458 | $ | 11.556 | 727,801 | $ | 10.055 | |||||||||||||
Stock Options Outstanding and Exercisable | ' | ||||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||
Exercise Prices | Number of | Weighted | Weighted | Number of | Weighted | ||||||||||||||
Options | Average | Average | Options | Average | |||||||||||||||
Outstanding | Remaining | Exercise | Exercisable | Exercise | |||||||||||||||
at | Contractual | Price | at | Price | |||||||||||||||
June 30, | Life in Years | June 30, | |||||||||||||||||
2014 | 2014 | ||||||||||||||||||
$Â Â 2.70 - $Â Â 6.76 | 172,178 | 5.87 | $ | 4.984 | 155,726 | $ | 4.921 | ||||||||||||
$Â Â 6.77 - $Â Â 8.00 | 288,502 | 8.6 | $ | 7.247 | 90,239 | $ | 7.156 | ||||||||||||
$Â Â 8.01 - $Â Â 8.76 | 160,688 | 8.32 | $ | 8.47 | 81,268 | $ | 8.459 | ||||||||||||
$Â Â 8.77 - $12.40 | 186,615 | 3.46 | $ | 9.878 | 174,451 | $ | 9.882 | ||||||||||||
$12.41 - $22.50 | 226,117 | 2.24 | $ | 15.457 | 226,117 | $ | 15.457 | ||||||||||||
$Â Â 2.70 - $22.50 | 1,034,100 | 5.78 | $ | 9.33 | 727,801 | $ | 10.055 | ||||||||||||
SEGMENT_REPORTING_Tables
SEGMENT REPORTING (Tables) | 6 Months Ended | |||||||||||||
Jun. 30, 2014 | ||||||||||||||
Notes to Financial Statements | ' | |||||||||||||
Segment Reporting | ' | |||||||||||||
5. SEGMENT REPORTING | ||||||||||||||
The Company is comprised of two reportable segments, Core Companion Animal Health ("CCA") and Other Vaccines, Pharmaceuticals and Products ("OVP"). The CCA segment includes blood testing instruments and supplies, digital imaging products, software and services, and single use products and services such as in-clinic heartworm diagnostic tests, heartworm preventive products, allergy immunotherapy products and allergy testing. These products are sold directly by the Company as well as through other distribution relationships. CCA segment products manufactured at the Des Moines, Iowa production facility included in our OVP segment's assets are transferred at cost and are not recorded as revenue for our OVP segment. The OVP segment includes private label vaccine and pharmaceutical production, primarily for cattle, but also for other animals including small mammals and horses. All OVP products are sold by third parties under third-party labels. | ||||||||||||||
Summarized financial information concerning the Company's reportable segments is shown in the following table (in thousands): | ||||||||||||||
Core | Other Vaccines, | |||||||||||||
Companion | Pharmaceuticals | |||||||||||||
Animal Health | and Products | Total | ||||||||||||
Six Months Ended | ||||||||||||||
June 30, 2013: | ||||||||||||||
Total revenue | $ | 31,500 | $ | 5,740 | $ | 37,240 | ||||||||
Operating income (loss) | (4,191 | ) | (69 | ) | (4,260 | ) | ||||||||
Interest expense | 128 | 19 | 147 | |||||||||||
Total assets | 78,161 | 10,584 | 88,745 | |||||||||||
Net assets | 38,078 | 8,164 | 46,242 | |||||||||||
Capital expenditures | 361 | 373 | 734 | |||||||||||
Depreciation and amortization | 696 | 393 | 1,089 | |||||||||||
Six Months Ended | ||||||||||||||
June 30, 2014: | ||||||||||||||
Total revenue | $ | 34,852 | $ | 8,857 | $ | 43,709 | ||||||||
Operating income (loss) | (265 | ) | 1,081 | 816 | ||||||||||
Interest expense | 74 | 28 | 102 | |||||||||||
Total assets | 81,903 | 15,214 | 97,117 | |||||||||||
Net assets | 39,968 | 11,715 | 51,683 | |||||||||||
Capital expenditures | 1,334 | 204 | 1,538 | |||||||||||
Depreciation and amortization | 1,231 | 386 | 1,617 | |||||||||||
Core | Other Vaccines, | |||||||||||||
Companion | Pharmaceuticals | |||||||||||||
Animal Health | and Products | Total | ||||||||||||
Three Months Ended | ||||||||||||||
June 30, 2013: | ||||||||||||||
Total revenue | $ | 15,851 | $ | 2,410 | $ | 18,261 | ||||||||
Operating income (loss) | (3,098 | ) | (480 | ) | (3,578 | ) | ||||||||
Interest expense | 77 | 13 | 90 | |||||||||||
Total assets | 78,161 | 10,584 | 88,745 | |||||||||||
Net assets | 38,078 | 8,164 | 46,242 | |||||||||||
Capital expenditures | 52 | 365 | 417 | |||||||||||
Depreciation and amortization | 417 | 198 | 615 | |||||||||||
Three Months Ended | ||||||||||||||
June 30, 2014: | ||||||||||||||
Total revenue | $ | 17,486 | $ | 5,430 | $ | 22,916 | ||||||||
Operating income (loss) | 43 | 874 | 917 | |||||||||||
Interest expense | 37 | 15 | 52 | |||||||||||
Total assets | 81,903 | 15,214 | 97,117 | |||||||||||
Net assets | 39,968 | 11,715 | 51,683 | |||||||||||
Capital expenditures | 123 | 98 | 221 | |||||||||||
Depreciation and amortization | 688 | 200 | 888 |
INVENTORIES_Details
INVENTORIES (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventories Details | ' | ' |
Raw materials | $6,057 | $5,787 |
Work in process | 3,749 | 2,920 |
Finished goods | 4,317 | 4,784 |
Allowance for excess or obsolete inventory | -1,457 | -1,804 |
Total Inventories | $12,666 | $11,687 |
SUMMARY_OF_SIGNIFICANT_ACCOUNT3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Accounting Policies [Abstract] | ' | ' | ' | ' |
Unvested shares of restricted stock | 303,572 | ' | 303,572 | ' |
Outstanding Options | $288,763 | $1,177,736 | $430,109 | $1,206,864 |
Acquisition_Details
Acquisition (Details) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Feb. 24, 2013 |
Cuattro Veterinary USA, LLC | ||
Interest acquired in combination | ' | 54.60% |
Cost of business acquisition in cash and stock | ' | $7,600 |
Minimum cash paid for acquisition | ' | 4,000 |
Following acquisition, former Cuattro Vet unit holders retained Public Common Stock | ' | 7.20% |
Remaining minority position of Cuattro Vet subject to purchase | ' | 45.40% |
Shawna M. Wilson | ' | 2975.00% |
Clint Roth, DVM | ' | 839.00% |
Steven M. Asakowicz | ' | 409.00% |
Rodney A. Lippincott | ' | 307.00% |
Kevin S. Wilson | ' | 5.00% |
Cuattro, LLC | ' | 5.00% |
Heska Imaging charges from Cuattro, LLC | 5,100 | ' |
Heska Imaging charges from Heska Corp. | 1,800 | ' |
Cuattro, LLC charges, net from Heska Corp. | 119 | ' |
Heska Imaging Note Receivable from Cuattro Vet, LLC | 1,400 | ' |
Heska Imaging accounts receivable from Cuattro Software, LLC | 909 | ' |
Heska Corp. accounts receivable from Cuattro, LLC | 185 | ' |
Heska Imaging accounts payable to Cuattro, LLC | 667 | ' |
Heska Corp. accounts receivable from Heska Imaging | $5,200 | ' |
Acquisition_Pro_forma_financia
Acquisition - Pro forma financial information (Details) (USD $) | 6 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Business Combinations [Abstract] | ' | ' |
Revenue, net | $43,709 | $38,140 |
Net income attributable to Heska Corporation | $1,261 | ($3,010) |
Basic earnings (loss) per share attributable to Heska Corporation | $0.21 | ($0.53) |
Diluted earnings (loss) per share attributable to Heska Corporation | $0.20 | ($0.53) |
FAIR_VALUE_OF_EACH_OPTION_GRAN
FAIR VALUE OF EACH OPTION GRANT (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Fair Value Of Each Option Grant Details | ' | ' | ' | ' |
Risk-free interest rate | 110.00% | 46.00% | 107.00% | 50.00% |
Expected lives, in years | '3.3 | '3.4 | '3.3 | '3.4 |
Expected volatility | 45.00% | 52.00% | 45.00% | 52.00% |
Expected dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
SUMMARY_OF_COMPANY_STOCK_OPTIO
SUMMARY OF COMPANY STOCK OPTION PLANS (Details) (USD $) | 3 Months Ended | 6 Months Ended |
Mar. 31, 2013 | Jun. 30, 2014 | |
Summary Of Company Stock Option Plans Details | ' | ' |
Outstanding at beginning of period | 1,245,161 | 1,321,232 |
Outstanding at begining of period, Weighted Average Exercise Price | $11.05 | $10.39 |
Granted at market, options | 275,654 | 31,200 |
Granted at market, Weighted Average Exercise Price | $7.53 | $11.16 |
Cancelled, Options | -166,286 | -202,498 |
Cancelled, Weighted Average Excercise Price | 11.437 | 17.94 |
Exercised, Options | ($33,297) | ($115,834) |
Exercised, Weighted Average Exercise Price | $6.49 | $6.81 |
Outstanding at beginning of period | 1,321,232 | 1,034,100 |
Outstanding at end of period, Weighted Average Exercise Price | $10.39 | $9.33 |
Exercisable at end of period, Options | 939,458 | 727,801 |
Exercisable at end of period, Weighted Average Exercise Price | $11.57 | $10.05 |
STOCK_OPTIONS_OUTSTANDING_Deta
STOCK OPTIONS OUTSTANDING (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 |
Stock options Outstanding | 1,034,100 | 1,321,232 | 1,321,232 | 1,245,161 |
Weighted Average Exercise Price on Outstanding Options | $10.05 | ' | $11.57 | ' |
Stock Options Exercisable | ' | $10.39 | ' | $11.05 |
Weighted Average Exercise Price on Exercisable Options | $9.33 | ' | $10.39 | ' |
$ 2.70 - $ 6.76 | ' | ' | ' | ' |
Stock options Outstanding | 172,178 | ' | ' | ' |
Average Remaining Contractual Life in Years | $5.87 | ' | ' | ' |
Weighted Average Exercise Price on Outstanding Options | $4.98 | ' | ' | ' |
Stock Options Exercisable | $155,726 | ' | ' | ' |
Weighted Average Exercise Price on Exercisable Options | $4.92 | ' | ' | ' |
$ 6.77 - $ 8.00 | ' | ' | ' | ' |
Stock options Outstanding | 288,502 | ' | ' | ' |
Average Remaining Contractual Life in Years | $8.60 | ' | ' | ' |
Weighted Average Exercise Price on Outstanding Options | $7.25 | ' | ' | ' |
Stock Options Exercisable | $90,239 | ' | ' | ' |
Weighted Average Exercise Price on Exercisable Options | $7.16 | ' | ' | ' |
$ 8.01 - $ 8.76 | ' | ' | ' | ' |
Stock options Outstanding | 160,688 | ' | ' | ' |
Average Remaining Contractual Life in Years | $8.32 | ' | ' | ' |
Weighted Average Exercise Price on Outstanding Options | $8.47 | ' | ' | ' |
Stock Options Exercisable | $81,268 | ' | ' | ' |
Weighted Average Exercise Price on Exercisable Options | $8.46 | ' | ' | ' |
$ 8.77 - $ 12.40 | ' | ' | ' | ' |
Stock options Outstanding | 186,615 | ' | ' | ' |
Average Remaining Contractual Life in Years | $3.46 | ' | ' | ' |
Weighted Average Exercise Price on Outstanding Options | $9.88 | ' | ' | ' |
Stock Options Exercisable | $174,451 | ' | ' | ' |
Weighted Average Exercise Price on Exercisable Options | $9.88 | ' | ' | ' |
$ 12.41 - $ 22.50 | ' | ' | ' | ' |
Stock options Outstanding | 226,117 | ' | ' | ' |
Average Remaining Contractual Life in Years | $2.24 | ' | ' | ' |
Weighted Average Exercise Price on Outstanding Options | $15.46 | ' | ' | ' |
Stock Options Exercisable | $226,117 | ' | ' | ' |
Weighted Average Exercise Price on Exercisable Options | $15.46 | ' | ' | ' |
$ 2.70 - $22.50 | ' | ' | ' | ' |
Stock options Outstanding | 1,034,100 | ' | ' | ' |
Average Remaining Contractual Life in Years | $5.78 | ' | ' | ' |
Weighted Average Exercise Price on Outstanding Options | $9.33 | ' | ' | ' |
Stock Options Exercisable | $727,801 | ' | ' | ' |
Weighted Average Exercise Price on Exercisable Options | $10.05 | ' | ' | ' |
CAPITAL_STOCK_Details
CAPITAL STOCK (Details) (USD $) | 6 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | 6-May-14 | Mar. 26, 2014 |
Notes to Financial Statements | ' | ' | ' | ' |
Fair Value Of Stock Options Granted | $114 | $506 | ' | ' |
Weighted Average Fair Value of Options | $3.66 | $3.12 | ' | ' |
Intrinsic Value of Options Exercised | 440 | 30 | ' | ' |
Cash Proceeds from Options Exercised | 789 | 66 | ' | ' |
Fractional Shares of Outstanding Options | $45.70 | ' | ' | ' |
Weighted Average Reamining Contractual Life | $1.26 | ' | ' | ' |
Weighted Average Exercise Price | $10.89 | ' | ' | ' |
Exercise Price Range Low | $4.40 | ' | ' | ' |
Exercise Price Range High | $22.50 | ' | ' | ' |
Unrecognized Compensation Costs of Options | 839 | ' | ' | ' |
Weighted Average Period of Unrecognized Cost | '2.0 | ' | ' | ' |
Option Compensation Costs to be Recognized this Year | 215 | ' | ' | ' |
Aggregate Intrinsic Value of Outstanding Options | 2,600 | ' | ' | ' |
Aggregate Intrinsic Value of Exercisable Options | $1,600 | ' | ' | ' |
Shares issued to Robert B. Grieve | ' | ' | ' | 63,572 |
Shares issued to Kevin Wilson | ' | ' | ' | 110,000 |
Additional shared issued to Kevin Wilson | ' | ' | 130,000 | ' |
SEGMENT_REPORTING_Details
SEGMENT REPORTING (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
Total revenue | $22,916 | $18,261 | $43,709 | $37,240 | ' |
Operating income (loss) | 917 | -3,578 | 816 | -4,260 | ' |
Interest expense | 52 | 90 | 102 | 147 | ' |
Total assets | 97,117 | 88,745 | 97,117 | 88,745 | 93,553 |
Net assets | 51,683 | 46,242 | 51,683 | 46,242 | ' |
Capital expenditures | 221 | 417 | -1,538 | -734 | ' |
Depreciation and amortization | 888 | 615 | 1,617 | 1,089 | ' |
CCA | ' | ' | ' | ' | ' |
Total revenue | 17,486 | 15,851 | 34,852 | 31,500 | ' |
Operating income (loss) | 43 | -3,098 | -265 | -4,191 | ' |
Interest expense | 37 | 77 | 74 | 128 | ' |
Total assets | 81,903 | 78,161 | 81,903 | 78,161 | ' |
Net assets | 39,968 | 38,078 | 39,968 | 38,078 | ' |
Capital expenditures | 123 | 52 | 1,334 | 361 | ' |
Depreciation and amortization | 688 | 417 | 1,231 | 696 | ' |
OVP | ' | ' | ' | ' | ' |
Total revenue | 5,430 | 2,410 | 8,857 | 5,740 | ' |
Operating income (loss) | 874 | -480 | 1,081 | -69 | ' |
Interest expense | 15 | 13 | 28 | 19 | ' |
Total assets | 15,214 | 10,584 | 15,214 | 10,584 | ' |
Net assets | 11,715 | 8,164 | 11,715 | 8,164 | ' |
Capital expenditures | 98 | 365 | 204 | 373 | ' |
Depreciation and amortization | $200 | $198 | $386 | $393 | ' |