Great Elm Capital 10-Q 9 Feb 18 2018 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Dec. 31, 2017	Jan. 31, 2018
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2017
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q2
Entity Registrant Name	Great Elm Capital Group, Inc.
Entity Central Index Key	1,082,506
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		25,448,418

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Dec. 31, 2017	Jun. 30, 2017
Current assets:
Cash and cash equivalents	$ 47,337	$ 45,894
Investment management fees receivable - related party	612	549
Related party dividend receivable	557	163
Related party receivable	324	348
Investments, at fair value (cost $30,000)	19,352	20,886
Prepaid and other current assets	365	174
Total current assets	68,547	68,014
Investment management fee receivable, net of current portion	5,257	2,757
Property and equipment, net	44	41
Identifiable intangible assets, net	3,800	4,102
Right to use assets, net	1,606	1,688
Other assets, net	92	92
Total assets	79,346	76,694
Current liabilities:
Accounts payable	180	52
Accrued liabilities	501	1,019
Accrued legal expense	169	164
Accrued compensation	772	214
Lease liability	168	421
Liabilities related to discontinued operations	3,608	3,608
Related party notes payable	76	250
Total current liabilities	5,474	5,728
Lease liability, net of current portion	1,553	1,640
Warrant liability		186
Related party notes payable, net of current portion	3,224	2,924
Total liabilities	10,251	10,478
Commitments and contingencies
Stockholders' equity:
Preferred stock, par value $0.001 per share; 5,000 authorized and zero outstanding
Common stock, par value $0.001 per share; 350,000,000 shares authorized; and 25,448,418 shares issued and 24,589,116 shares outstanding at December 31, 2017; and 24,258,847 shares issued and 23,200,153 shares outstanding at June 30, 2017	25	23
Additional paid-in-capital	3,301,146	3,293,683
Accumulated deficit	(3,231,679)	(3,227,480)
Total Great Elm Capital Group, Inc.'s stockholders' equity	69,492	66,226
Non-controlling interest	(397)	(10)
Total stockholders' equity	69,095	66,216
Total liabilities and stockholders' equity	$ 79,346	$ 76,694

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Dec. 31, 2017	Jun. 30, 2017
Statement Of Financial Position [Abstract]
Investments, cost basis	$ 30,000
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000	5,000
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	350,000,000	350,000,000
Common stock, shares issued	25,448,418	24,258,847
Common stock, shares outstanding	24,589,116	23,200,153

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Income Statement [Abstract]
Investment management and administration fees	$ 2,523	$ 1,342	$ 4,291	$ 1,342
Operating costs and expenses:
Investment management expenses	2,263	1,089	5,333	1,089
Amortization and depreciation	133	1,018	313	1,018
General and administrative	1,131	(1,297)	3,017	1,241
Total operating costs and expenses	3,527	810	8,663	3,348
Operating income (loss)	(1,004)	532	(4,372)	(2,006)
Dividends and interest income	959	326	1,450	326
Unrealized loss on investment in GECC	(1,180)	(7,049)	(1,534)	(7,049)
Interest expense	(37)	(2,650)	(135)	(6,103)
Other income, net	60	11	5	11
Loss from continuing operations, before income taxes	(1,202)	(8,830)	(4,586)	(14,821)
Benefit from income taxes		(486)		(964)
Loss from continuing operations	(1,202)	(8,344)	(4,586)	(13,857)
Discontinued operations:
Income from discontinued operations, net of tax		210		2,308
Income from discontinued operations, net of tax		210		2,308
Net loss	(1,202)	(8,134)	(4,586)	(11,549)
Less: Net loss attributable to non-controlling interest	(33)	(166)	(387)	(166)
Net loss attributable to Great Elm Capital Group, Inc.	$ (1,169)	$ (7,968)	$ (4,199)	$ (11,383)
Basic and diluted earnings (loss) per share attributable to Great Elm Capital Group, Inc. from:
Continuing operations	$ (0.05)	$ (0.81)	$ (0.18)	$ (1.40)
Discontinued operations		0.02		0.24
Net loss per share	$ (0.05)	$ (0.79)	$ (0.18)	$ (1.17)
Weighted average shares outstanding:
Basic and diluted	24,562	10,073	23,898	9,770

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Statement Of Income And Comprehensive Income [Abstract]
Net loss	$ (1,202)	$ (8,134)	$ (4,586)	$ (11,549)
Total comprehensive loss	(1,202)	(8,134)	(4,586)	(11,549)
Comprehensive loss attributable to non-controlling interest	(33)	(166)	(387)	(166)
Total comprehensive loss attributable to Great Elm Capital Group	$ (1,169)	$ (7,968)	$ (4,199)	$ (11,383)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flow (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Cash flows from operating activities:
Net loss	$ (4,586)	$ (11,549)
(Income) from discontinued operations		(2,308)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	313	1,018
Stock-based compensation	2,684	650
Unrealized loss on investments at fair value	1,534	7,049
Other non-cash (income) expense, net	55	(7)
Amortization of debt discount and issuance costs		2,802
Changes in operating assets and liabilities:
Related party receivables, net	(2,934)	(1,122)
Prepaid assets, deposits, and other assets	(191)	(331)
Accounts payable and accrued liabilities	9	(2,292)
Net cash used in operating activities - continuing operations	(3,116)	(6,090)
Net cash used in operating activities - discontinued operations		(961)
Net cash used in operating activities	(3,116)	(7,051)
Cash flows from investing activities:
Acquisition of subsidiary		(80)
Deconsolidation of GECC into equity method investment		(30,000)
Purchases of property and equipment	(13)
Net cash used in investing activities	(13)	(30,080)
Cash flows from financing activities:
Principal payment on related party note payable		(36,588)
Proceeds from issuance of common stock, gross	4,572	44,885
Payment of equity issuance costs		(2,033)
Net cash provided by financing activities	4,572	6,264
Net increase (decrease) in cash and cash equivalents	1,443	(30,867)
Cash and cash equivalents at beginning of period	45,894	80,711
Cash and cash equivalents at end of period	47,337	49,844
Cash paid for interest	42	3,250
Supplemental disclosure of non-cash investing and financing activities:
Offering costs included in accounts payable		215
Issuance of related party note payable in acquisition		3,424
Warrant liability settled with common stock issuance	$ 194
Issuance of equity-linked instruments classified as warrant liability		$ 216

Nature of Operations

Nature of Operations	6 Months Ended
	Dec. 31, 2017
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Nature of Operations	1. Nature of Operations Great Elm Capital Group, Inc. (the Company On September 27, 2016, the Company’s wholly-owned Securities and Exchange Commission-registered investment advisor subsidiary Great Elm Capital Management, Inc., a Delaware corporation ( GECM GECC

Basis of Presentation and Signi

Basis of Presentation and Significant Accounting Policies	6 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
Basis of Presentation and Significant Accounting Policies	2. Basis of Presentation and Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions for Form 10-Q and, therefore, do not include all information and footnotes which are normally included in the Company’s Form 10-K. These financial statements reflect all adjustments (consisting of normal recurring items or items discussed herein) that management believes are necessary to fairly state results for the interim periods presented. Results of operations for interim periods are not necessarily indicative of annual results of operations. Use of Estimates The preparation of these financial statements in accordance with accounting principles generally accepted in the United States of America ( US GAAP Principles of Consolidation The Company consolidates the assets, liabilities, and operating results of its wholly-owned subsidiaries; majority-owned subsidiaries; and subsidiaries that it has control over. The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, GECM; and its majority-owned subsidiary, GECC GP Corp. ( GP Corp Non-controlling interests in the Company’s subsidiaries are reported as a component of equity, separate from the Company’s equity. Results of operations attributable to the non-controlling interests are included in the Company’s consolidated statements of operations. Segments The Company has two segments, investment management and general corporate. The Company’s chief operating decision maker regularly reviews each segment for purposes of allocating resources and assessing performance. C ash and Cash Equivalents Cash and cash equivalents are comprised of cash and highly liquid investments with original maturities of 90 days or less at the date of purchase. Cash equivalents consist primarily of exchange traded money market funds. The Company is exposed to credit risk in the event of default by the financial institutions or the issuers of these investments to the extent the amounts on deposit or invested are in excess of amounts that are insured. Revenue Recognition The Company recognizes revenue on services at the time when services are performed, and the following conditions are met: persuasive evidence of an arrangement exists, the service is complete, the price is fixed and determinable, and collection of the proceeds is reasonably assured. If the conditions for revenue recognition are not met, the Company defers the revenue until all conditions are met. The Company recognizes revenue from its investment management business at amounts that reflect the consideration to which it expects to be entitled in exchange for providing services to its customer. Investment management revenue primarily consists of fees based on a percentage of assets under management; fees based on the performance of managed assets; and administrative fees; as follows: Management Fees Under GECC’s investment management agreement with GECM (the IMA Incentive Fees The incentive fee from GECC consists of two components, an investment income component and a capital gains component. Under the investment income component, on a quarterly basis, GECC will pay GECM 20% of the amount by which GECC’s pre-incentive fee net investment income (the Pre-Incentive Fee Net Investment Income Under the capital gains component of the incentive fee, GECC is obligated to pay GECM, at the end of each calendar year, 20% of the aggregate cumulative realized capital gains from November 4, 2016 through the end of such calendar year, computed net of aggregate cumulative realized capital losses and aggregate cumulative unrealized depreciation through the end of such calendar year, less the aggregate amount of any previously paid capital gains incentive fees. Incentive fees are recorded based upon an assumed liquidation of GECC’s net assets on the reporting date and the distribution of the net proceeds in accordance with GECC’s income allocation provisions. Incentive fees recorded may be subject to reversal to the extent the amount recorded exceeds the amount due to GECM based on negative investment performance after the reporting date. Accrued but unpaid incentive fees and deferred incentive fees as of the reporting date are recorded in related party investment management fees receivable in the accompanying consolidated balance sheet. Incentive fees realized and collected are not subject to reversal. As of December 31, 2017 and June 30, 2017, approximately $4.0 million and $1.7 million, respectively, of incentive fees recognized in revenue were subject to reversal. Investment Management Expenses The Company classifies all direct expenses of its investment management segment including: payroll, stock-compensation, and related taxes and benefits; facilities costs; and professional fees; in investment management expenses in the accompanying consolidated statements of operations. GECM has a three-year contractual consulting arrangement with a third party to provide services in exchange for 26% of the base management fee paid by GECC. Concentration of Risk and Related Parties The Company has placed substantially all of its cash with two well established financial institutions, and its cash equivalents consist primarily of an exchange traded money market fund with the same institution. The Company is exposed to credit risk related to the potential inability to access liquidity in the financial institution where its cash and cash equivalents are concentrated. The Company’s net revenue and receivables from continuing operations for the periods presented were attributable to the management of one investment vehicle, GECC. GECC is a related party, based on the Company owning approximately 18% of the outstanding common stock of GECC. The Company’s outstanding debt, the GP Corp. Note, is held by MAST Capital Management LLC (MAST Capital Identifiable Intangible Assets The Company amortizes its identifiable intangible assets over their estimated useful lives using a discounted cash flow attribution method. The Company currently amortizes its identifiable intangible assets over a period of fifteen years. Reclassifications The Company reclassified the prior period presentation to conform to the current period presentation by separating its investment management expenses, and amortization and depreciation from its general and administrative expenses in the accompanying consolidated statements of operations. This reclassification resulted in a reduction to general and administrative expenses of $2.1 million for the three and six months ended December 31, 2016. Additionally, the Company increased its administrative fee income and expense by $0.06 million for the three and six months ended December 31, 2016 to conform to the current period presentation. These reclassifications did not have an impact on the Company’s previously presented net results of operations, financial position, or cash flows. Recently Issued Accounting Standards. In May 2014, the Financial Accounting Standards Board ( FASB 1. Identifying the contract(s) with a customer. 2. Identifying the performance obligations in the contract. 3. Determining the transaction price. 4. Allocate the transaction price to the performance obligations in the contract. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The new standard permits for two alternative implementation methods, the use of either (1) full retrospective application to each prior reporting period presented or (2) modified retrospective application in which the cumulative effect of initially applying the revenue standard is recognized as an adjustment to the opening balance of retained earnings in the period of adoption. The Company plans to adopt the new standard in the first quarter of its 2019 fiscal year using the modified retrospective transition method. The Company has evaluated the potential impacts of the new revenue recognition standard and has determined that the recognition of a portion of its investment management incentive fees are to be deferred upon implementation. As of December 31, 2017, the Company preliminarily estimated approximately $2.0 to $2.5 million of the total incentive fees receivable that if not collected prior to the first quarter of its 2019 fiscal year, will be retroactively adjusted upon adoption of the new revenue standard. The Company is continuing to evaluate the new guidance for any other impacts adoption may have on the Company’s consolidated financial position, results of operations, and cash flows.

Investments, at Fair Value

Investments, at Fair Value	6 Months Ended
	Dec. 31, 2017
Fair Value Disclosures [Abstract]
Investments, at Fair Value	3. Investments, at Fair Value The Company owns approximately 18% (or 1,966,667 shares) of the outstanding shares of GECC and values its ownership based on the NASDAQ-listed market price of GECC common stock (a Level 1 input in accordance with the US GAAP fair value hierarchy). During the three and six months ended December 31, 2017, the Company recorded an unrealized loss of $1.2 million and $1.5 million, respectively, on the fair value of its investment in GECC. For the three and six months ended December 31, 2016, the Company recognized a net unrealized loss on its investment in GECC of $7.0 million. The Company deconsolidated its investment in GECC on November 1, 2016.

Separation Agreement

Separation Agreement	6 Months Ended
	Dec. 31, 2017
Business Combinations [Abstract]
Separation Agreement	4. Separation Agreement As part of the entry into the investment management business in November 2016, the Company acquired assets, assumed liabilities; and entered into cost and profit sharing agreements with MAST Capital, a related party. In consideration for the assets acquired, the Company’s majority-owned subsidiary, GP Corp. issued a senior secured note payable ( GP Corp. Note Cost Sharing Agreement MAST Warrant In September 2017, the Company entered into a Separation Agreement with MAST Capital. The Separation Agreement, contemplated, among other things, an amendment of the GP Corp. Note to be in an aggregate principal amount of $3.3 million, the issuance of a warrant to MAST Capital to purchase 420,000 shares of common stock with an exercise price based on the average of the quoted market prices for the ten days preceding notice of exercise, the termination of the Cost Sharing Agreement, and the exchange of the MAST Warrant for 54,733 shares of common stock of the Company.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Dec. 31, 2017
Related Party Transactions [Abstract]
Related Party Transactions (not disclosed elsewhere)	5. Related Party Transactions (not disclosed elsewhere) The Company’s wholly-owned subsidiary, GECM, manages GECC’s investment portfolio. The Company owns approximately 18% of the outstanding shares of GECC, and the Company’s Chief Executive Officer is also the Chief Executive Officer of GECC and Chief Investment Officer of GECM, in addition to being a member of the board of directors of the Company and chairman of the board of GECC. All of the Company’s investment management and administrative fee revenue for the periods presented was generated from the management and administration of GECC. As of and for the three In Thousands months ended December 31, 2017 2016 Investment in GECC Unrealized loss on investment in GECC recorded in the period $ (1,180 ) $ (7,049 ) GECC dividends recorded in the period $ 883 $ 326 Management of GECC Reimbursement of GECC formation expenses for the period $ — $ 2,989 Investment management fees earned in the period $ 2,216 $ 1,280 GECC administration fees earned in the period $ 307 $ 62 GECC administration expenses incurred in the period $ (307 ) $ (62 ) Net receivable due from GECC at the end of the period $ 6,750 $ 1,991 Profit Sharing with GP Corp. GP Corp. Note balance at the end of the period $ 3,300 $ 3,424 GP Corp. Note interest incurred in the period $ (37 ) $ (67 ) GP Corp. net loss attributable to Great Elm Capital Group, Inc. $ (134 ) $ (867 ) As of and for the six In Thousands months ended December 31, 2017 2016 Investment in GECC Unrealized loss on investment in GECC recorded in the period $ (1,534 ) $ (7,049 ) GECC dividends recorded in the period $ 1,373 $ 326 Management of GECC Reimbursement of GECC formation expenses for the period $ — $ 2,989 Investment management fees for the period $ 3,657 $ 1,280 GECC administrative fees earned in the period $ 634 $ 62 GECC administrative expenses incurred during the period $ (634 ) $ (62 ) Net receivable due from GECC at the end of the period $ 6,750 $ 1,991 Profit Sharing with GP Corp. GP Corp. Note balance at the end of the period $ 3,300 $ 3,424 GP Corp. Note interest incurred in the period $ (135 ) $ (67 ) GP Corp. net loss attributable to Great Elm Capital Group, Inc. $ (1,549 ) $ (867 ) For the three and six months ended December 31, 2017, the Company received cash proceeds totaling $4.6 million from the exercise of 1,266,000 warrants by a designee of Northern Right Capital. Matthew A. Drapkin, a member of the Company’s board of directors, is the Chief Executive Officer of Northern Right Capital.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Dec. 31, 2017
Equity [Abstract]
Stockholders' Equity	6. Stockholders’ Equity Stock Compensation Performance Shares (Restricted Stock Awards) During the six months ended December 31, 2017, the Company granted 57,416 restricted stock awards that carry both performance and service conditions to vest with an estimated grant date fair value of approximately $0.2 million. As of December 31, 2017, the Company had 859,302 restricted stock awards that carry both performance and service conditions to vest. The awards vest over a five-year service period, with the first twenty percent of the award vesting on the first anniversary of the grant, and the remaining award vesting quarterly through November 3, 2021. In addition, the restricted stock awards are subject to pro-rated forfeiture based on the collection of cumulative fees under the IMA of at least $40 million for the five-year period ended November 3, 2021. The Company estimates the performance condition is probable of being achieved. The Company accounts for forfeitures of the restricted stock awards in the period incurred. During the six months ended December 31, 2017, 256,808 restricted stock awards were forfeited. All previously recognized compensation cost associated with the forfeiture during the period, totaling $0.5 million, was reversed. Additionally, in September 2017, the Company modified all of the outstanding restricted stock awards to include a change in control acceleration event. This modification did not result in the recognition of an additional compensation cost. For the three and six months ended December 31, 2017, the Company recognized compensation cost totaling $0.3 million and $0.4 million, respectively, associated with the performance-based awards. For the three and six-month periods ended December 31, 2016, the Company recognized compensation cost totaling $0.3 million. The following table summarizes the Company’s restricted stock award activity as of and through December 31, 2017 (in thousands, except per share amounts): Weighted Average Restricted Grant Date Restricted Stock Awards and Units Stock Fair Value Outstanding at June 30, 2017 1,147 $ 3.88 Granted 75 3.57 Vested (68 ) 3.60 Forfeited (257 ) 3.95 Outstanding at December 31, 2017 897 $ 3.86 Stock Options During the six months ended December 31, 2017, the Company issued 2,027,056 stock options with an estimated grant date fair value of $3.9 million. The Company utilizes a Black-Scholes option pricing model to estimate the fair value of its option awards. The assumptions used to value the stock options granted during the six-months ended December 31, 2017 consisted of: expected volatilities between 63.0 to 63.4%; no expected dividend yields; risk-free rates between 1.5 and 1.8%; and expected terms between 3 and 6.5 years. The following table summarizes the Company’s option award activity as of and through December 31, 2017 (in thousands, except per share amounts): Weighted Average Weighted Remaining Average Contractual Aggregate Options Options Exercise Price Term (years) Intrinsic Value Outstanding at June 30, 2017 722 $ 7.46 Options granted 2,027 3.59 Exercised — — Forfeited, cancelled or expired (128 ) 10.45 Outstanding at December 31, 2017 2,621 $ 4.32 7.88 $ 1,059 Exercisable at December 31, 2017 511 7.39 7.61 108 Vested and expected to vest as of December 31, 2017 2,621 $ 4.32 7.88 $ 1,059 During the three months and six months ended December 31, 2017, the Company recognized total stock based compensation associated with all restricted stock and stock options of $0.9 million and $2.7 million, respectively. During the three months and six months ended December 31, 2016, the Company recognized total stock based compensation associated with all restricted stock and stock options of $0.5 million and $0.6 million, respectively. As of December 31, 2017, unrecognized compensation costs associated with outstanding stock and stock-linked awards totaled approximately $5.3 million. GP Corp. Stock - Non-Controlling Interest In September 2017, the Company eliminated the vesting provisions and removed the call rights for the GP Corp. stock owned by employees of the Company. As a result of the elimination, the Company recognized stock-based compensation expense of $1.5 million for the six months ended December 31, 2017, equal to the estimated fair value of the non-controlling interest held by our employees in GP Corp. Other Equity Transactions Warrants During the six months ended December 31, 2017, the Company issued warrants to purchase 1,686,000 shares of common stock with an estimated grant date fair value of $0.05 million. The exercise price of the warrants is variable and based on the average of quoted market prices for the ten days preceding notice of exercise. The Company utilized a Monte-Carlo simulation model to estimate the fair value of its equity-classified warrant issuances. The following table illustrates the Company’s warrant activity as of and through December 31, 2017 (in thousands, except per share amounts): Weighted Average Weighted Remaining Average Contractual Aggregate Warrants Shares Exercise Price Term (years) Intrinsic Value Outstanding at June 30, 2017 55 $ 0.01 Granted 1,686 3.60 Exercised (1,266 ) 3.60 Forfeited, cancelled or expired (55 ) 0.01 Outstanding at December 31, 2017 420 $ 4.05 1.67 $ 13 Exercisable and vested at December 31, 2017 420 $ 4.05 1.67 $ 13 For the three and six months ended December 31, 2017, the Company received cash proceeds totaling $4.6 million from the exercise of 1,266,000 warrants by a designee of Northern Right Capital. Matthew A. Drapkin, a member of the Company’s board of directors, is the Chief Executive Officer of Northern Right Capital. The Company had classified the MAST Warrant as a liability and valued, on a recurring basis, using a Black-Scholes-Merton option pricing model and Level 3 inputs within the fair value hierarchy. In September 2017, the Company exchanged the MAST Warrant for 54,733 shares of common stock. The following table sets forth a summary of the changes in the fair value of the Company’s warrant liability that was measured at fair value on a recurring basis (in thousands): December 31, 2017 June 30, 2017 Beginning of period $ 186 $ — Aggregate fair value of warrant issued — 216 Re-measurement of warrant liability loss (gain) 8 (30 ) Settlement (194 ) — End of period $ — $ 186

Operating Leases

Operating Leases	6 Months Ended
	Dec. 31, 2017
Leases Operating [Abstract]
Operating Leases	7. Operating Leases The Company entered into a lease for office space located in Waltham, MA. On the commencement date of the lease, the non-cancellable term was for eighty-eight months from the occupancy date of June 1, 2017 and contains an option to extend for an additional sixty-month period. The lease payments commenced on October 1, 2017, four months after the Company began to occupy the space. On an annual basis, the lease payments increase at an average rate of approximately 2.4% from $28 to $32 thousand per month. As of December 31, 2017, the Company had a remaining right lease liability of approximately $1.7 million related to its current office space.

Segment Information

Segment Information	6 Months Ended
	Dec. 31, 2017
Segment Reporting [Abstract]
Segment Information	8 . Segment Information The Company’s chief operating decision maker allocates resources based on two operating segments: investment management and general corporate. The Company’s investment management business is based on the management of GECC, a related party. Prior to the acquisition of the investment management business in November 2016, the Company viewed all of its operations as a single integrated business. The following table illustrates the segment information (in thousands): For the Three Months Ended December 31, 2017 For the Three Months Ended December 31, 2016 Investment Management General Corporate Total Investment Management General Corporate Total Revenue: Total revenue $ 2,523 $ — $ 2,523 $ 1,342 $ — $ 1,342 Operating costs and expenses: Operating expenses $ 2,396 $ 1,131 $ 3,527 $ 2,107 $ (1,297 ) $ 810 Other income (expense): Total other income (expense), net $ 23 $ (221 ) $ (198 ) $ (67 ) $ (9,295 ) $ (9,362 ) Operating income (loss): Total pre-tax income (loss) from continuing operations $ 150 $ (1,352 ) $ (1,202 ) $ (832 ) $ (7,998 ) $ (8,830 ) Benefit from income tax $ — $ — $ — $ — $ (486 ) $ (486 ) Income from discontinued operations, net — — — — 210 210 Net income (loss) $ 150 $ (1,352 ) (1,202 ) $ (832 ) $ (7,302 ) $ (8,134 ) Less: net loss attributable to non-controlling interest (33 ) — (33 ) (166 ) — (166 ) Net income (loss) attributable to Great Elm Capital Group $ 183 $ (1,352 ) (1,169 ) $ (666 ) $ (7,302 ) $ (7,968 ) For the Six Months Ended December 31, 2017 For the Six Months Ended December 31, 2016 Investment Management General Corporate Total Investment Management General Corporate Total Revenue: Total revenue $ 4,291 $ — $ 4,291 $ 1,342 $ — $ 1,342 Operating costs and expenses: Operating expenses $ 5,646 $ 3,017 $ 8,663 $ 2,107 $ 1,241 $ 3,348 Other expense: Total other expense, net $ (122 ) $ (92 ) $ (214 ) $ (67 ) $ (12,748 ) $ (12,815 ) Operating loss: Total pre-tax loss from continuing operations $ (1,477 ) $ (3,109 ) $ (4,586 ) $ (832 ) $ (13,989 ) $ (14,821 ) Benefit from income tax $ — $ — $ — $ — $ (964 ) $ (964 ) Income from discontinued operations, net — — — — 2,308 2,308 Net loss $ (1,477 ) $ (3,109 ) (4,586 ) $ (832 ) $ (10,717 ) $ (11,549 ) Less: net loss attributable to non- controlling interest (387 ) — (387 ) (166 ) — (166 ) Net loss attributable to Great Elm Capital Group $ (1,090 ) $ (3,109 ) (4,199 ) $ (666 ) $ (10,717 ) $ (11,383 ) The Company’s investment management business includes identifiable intangible assets. The following tables provide detail associated with the Company’s identifiable intangible assets (dollar amounts in thousands): As of December 31, 2017 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Weighted Average Useful Life (in years) Amortized intangible assets: Investment management agreement $ 3,900 $ (552 ) $ 3,348 15 Assembled workforce 526 (74 ) 452 15 Total $ 4,426 $ (626 ) $ 3,800 Aggregate Amortization Expense: 2017 2016 For the three months ended December 31, $ 129 $ 1,014 For the six months ended December 31, $ 302 $ 1,014 Estimated Amortization Expense: For the year ended June 30, 2018 $ 269 For the year ended June 30, 2019 621 For the year ended June 30, 2020 599 For the year ended June 30, 2021 456 For the year ended June 30, 2022 382

Related Party Borrowings

Related Party Borrowings	6 Months Ended
	Dec. 31, 2017
Debt Disclosure [Abstract]
Related Party Borrowings	9. Related Party Borrowings As of June 30, 2017, the GP Corp. Note payable had a maximum principal balance of $10.8 million and a carrying value of approximately $3.2 million which approximated its fair value. Under the terms of the GP Corp. Note, GECM’s annual operating expenses in excess of $1.4 million, after giving effect to the cost-sharing recoveries, were to be offset against the GP Corp. Note principal and accrued interest. In purchase accounting, the GP Corp. Note was recorded at $3.2 million, reflecting a reduction of the principal based on an estimate of the offset GECM operating expenses as discussed in Note 4. In September 2017, the GP Corp. Note was amended and restated to reduce the maximum principal balance payable under the note from $10.8 million to $3.3 million. In conjunction with the principal reduction, the Cost Sharing Agreement setoff provision was eliminated. Since the amendment resulted in a substantial change to the GP Corp. Note, the Company accounted for the amendment as a debt extinguishment. On the amendment date, the Company recognized, in other income (expense), a loss on debt extinguishment of $0.05 million. As part of the consideration to effect the principal reduction, the Company issued MAST Capital a warrant to purchase up to 420,000 shares of restricted common stock. On the grant date, the warrants had an estimated fair value of $0.01 million. The GP Corp. Note is held by MAST Capital, due in November 2026, and is secured by a profit sharing agreement related to GECM’s management of GECC. The GP Corp. Note requires quarterly interest only payments and annual principal payments of $0.08 million, based on the Company’s fiscal year ending June 30. The GP Corp. Note does not have any recourse to any of the Company’s operations or net assets not related to GECM’s management services to GECC. The GP Corp. Note may be prepaid at par value at any time with prior written notice to the holders of the GP Corp. Note. Additionally, GP Corp. is required to prepay the GP Corp. Note upon certain material liquidation transactions. For the three and six months ended December 31, 2017, the Company incurred interest expense of approximately $0.04 million and $0.1 million respectively. During the three and six months ended December 31, 2016, the Company recognized interest expense of approximately $2.6 million and $6.1 million, respectively, associated with its previously outstanding Senior Secured Notes Payable held by affiliates of MAST Capital that were retired in October 2016.

Income Tax

Income Tax	6 Months Ended
	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Income Tax	10. Income Tax As of December 31, 2017, the Company has net operating loss ( NOL On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was signed into law. Among other changes is a reduction in the federal corporate income tax rate from 35% to 21%, effective January 1, 2018. The Company has provisionally revalued its deferred tax assets as a result of the Tax Act. As the Company has not yet finalized its calculation of its deferred tax position as of the enactment date, the impact of the tax law change has not been finalized as of December 31, 2017. Based on the Company’s provisional estimate, the effect of the reduction in the corporate income tax rate resulted in a reduction in deferred tax assets of approximately $248 million and an off-setting adjustment to the valuation allowance. As of December 31, 2017 and June 30, 2017, the Company had provided a full valuation allowance for all of its federal and state deferred tax assets, therefore the reduction in the federal deferred tax assets resulting from the Tax Act had no effect on the Company’s consolidated balance sheet or statements of operations as of, and for the three and six months ended December 31, 2017. The Company’s revaluation of its deferred tax assets is subject to further refinement as additional information becomes available and further analysis is completed.

Subsequent Events

Subsequent Events	6 Months Ended
	Dec. 31, 2017
Subsequent Events [Abstract]
Subsequent Events	11. Subsequent Events On January 29, 2018, upon expiration of the Company’s current rights plan, a new rights plan went into effect. The new plan will expire on January 29, 2028. On February 1, 2018, GECM entered into investment management agreements (the “IMAs”) to manage three separate accounts totaling approximately $30 million for an institutional investor.

Basis of Presentation and Sig18

Basis of Presentation and Significant Accounting Policies (Policies)	6 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions for Form 10-Q and, therefore, do not include all information and footnotes which are normally included in the Company’s Form 10-K. These financial statements reflect all adjustments (consisting of normal recurring items or items discussed herein) that management believes are necessary to fairly state results for the interim periods presented. Results of operations for interim periods are not necessarily indicative of annual results of operations.
Use of Estimates	Use of Estimates The preparation of these financial statements in accordance with accounting principles generally accepted in the United States of America ( US GAAP
Principles of Consolidation	Principles of Consolidation The Company consolidates the assets, liabilities, and operating results of its wholly-owned subsidiaries; majority-owned subsidiaries; and subsidiaries that it has control over. The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, GECM; and its majority-owned subsidiary, GECC GP Corp. ( GP Corp Non-controlling interests in the Company’s subsidiaries are reported as a component of equity, separate from the Company’s equity. Results of operations attributable to the non-controlling interests are included in the Company’s consolidated statements of operations.
Segments	Segments The Company has two segments, investment management and general corporate. The Company’s chief operating decision maker regularly reviews each segment for purposes of allocating resources and assessing performance.
Cash and Cash Equivalents	C ash and Cash Equivalents Cash and cash equivalents are comprised of cash and highly liquid investments with original maturities of 90 days or less at the date of purchase. Cash equivalents consist primarily of exchange traded money market funds. The Company is exposed to credit risk in the event of default by the financial institutions or the issuers of these investments to the extent the amounts on deposit or invested are in excess of amounts that are insured.
Revenue Recognition	Revenue Recognition The Company recognizes revenue on services at the time when services are performed, and the following conditions are met: persuasive evidence of an arrangement exists, the service is complete, the price is fixed and determinable, and collection of the proceeds is reasonably assured. If the conditions for revenue recognition are not met, the Company defers the revenue until all conditions are met. The Company recognizes revenue from its investment management business at amounts that reflect the consideration to which it expects to be entitled in exchange for providing services to its customer. Investment management revenue primarily consists of fees based on a percentage of assets under management; fees based on the performance of managed assets; and administrative fees; as follows: Management Fees Under GECC’s investment management agreement with GECM (the IMA Incentive Fees The incentive fee from GECC consists of two components, an investment income component and a capital gains component. Under the investment income component, on a quarterly basis, GECC will pay GECM 20% of the amount by which GECC’s pre-incentive fee net investment income (the Pre-Incentive Fee Net Investment Income Under the capital gains component of the incentive fee, GECC is obligated to pay GECM, at the end of each calendar year, 20% of the aggregate cumulative realized capital gains from November 4, 2016 through the end of such calendar year, computed net of aggregate cumulative realized capital losses and aggregate cumulative unrealized depreciation through the end of such calendar year, less the aggregate amount of any previously paid capital gains incentive fees. Incentive fees are recorded based upon an assumed liquidation of GECC’s net assets on the reporting date and the distribution of the net proceeds in accordance with GECC’s income allocation provisions. Incentive fees recorded may be subject to reversal to the extent the amount recorded exceeds the amount due to GECM based on negative investment performance after the reporting date. Accrued but unpaid incentive fees and deferred incentive fees as of the reporting date are recorded in related party investment management fees receivable in the accompanying consolidated balance sheet. Incentive fees realized and collected are not subject to reversal. As of December 31, 2017 and June 30, 2017, approximately $4.0 million and $1.7 million, respectively, of incentive fees recognized in revenue were subject to reversal.
Investment Management Expenses	Investment Management Expenses The Company classifies all direct expenses of its investment management segment including: payroll, stock-compensation, and related taxes and benefits; facilities costs; and professional fees; in investment management expenses in the accompanying consolidated statements of operations. GECM has a three-year contractual consulting arrangement with a third party to provide services in exchange for 26% of the base management fee paid by GECC.
Concentration of Risk and Related Parties	Concentration of Risk and Related Parties The Company has placed substantially all of its cash with two well established financial institutions, and its cash equivalents consist primarily of an exchange traded money market fund with the same institution. The Company is exposed to credit risk related to the potential inability to access liquidity in the financial institution where its cash and cash equivalents are concentrated. The Company’s net revenue and receivables from continuing operations for the periods presented were attributable to the management of one investment vehicle, GECC. GECC is a related party, based on the Company owning approximately 18% of the outstanding common stock of GECC. The Company’s outstanding debt, the GP Corp. Note, is held by MAST Capital Management LLC (MAST Capital
Identifiable Intangible Assets	Identifiable Intangible Assets The Company amortizes its identifiable intangible assets over their estimated useful lives using a discounted cash flow attribution method. The Company currently amortizes its identifiable intangible assets over a period of fifteen years.
Reclassifications	Reclassifications The Company reclassified the prior period presentation to conform to the current period presentation by separating its investment management expenses, and amortization and depreciation from its general and administrative expenses in the accompanying consolidated statements of operations. This reclassification resulted in a reduction to general and administrative expenses of $2.1 million for the three and six months ended December 31, 2016. Additionally, the Company increased its administrative fee income and expense by $0.06 million for the three and six months ended December 31, 2016 to conform to the current period presentation. These reclassifications did not have an impact on the Company’s previously presented net results of operations, financial position, or cash flows.
Recently Issued Accounting Standards	Recently Issued Accounting Standards. In May 2014, the Financial Accounting Standards Board ( FASB 1. Identifying the contract(s) with a customer. 2. Identifying the performance obligations in the contract. 3. Determining the transaction price. 4. Allocate the transaction price to the performance obligations in the contract. 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The new standard permits for two alternative implementation methods, the use of either (1) full retrospective application to each prior reporting period presented or (2) modified retrospective application in which the cumulative effect of initially applying the revenue standard is recognized as an adjustment to the opening balance of retained earnings in the period of adoption. The Company plans to adopt the new standard in the first quarter of its 2019 fiscal year using the modified retrospective transition method. The Company has evaluated the potential impacts of the new revenue recognition standard and has determined that the recognition of a portion of its investment management incentive fees are to be deferred upon implementation. As of December 31, 2017, the Company preliminarily estimated approximately $2.0 to $2.5 million of the total incentive fees receivable that if not collected prior to the first quarter of its 2019 fiscal year, will be retroactively adjusted upon adoption of the new revenue standard. The Company is continuing to evaluate the new guidance for any other impacts adoption may have on the Company’s consolidated financial position, results of operations, and cash flows.

Related Party Transactions (Tab

Related Party Transactions (Tables)	6 Months Ended
	Dec. 31, 2017
Related Party Transactions [Abstract]
Schedule of Investments and Sharing Agreements	As of and for the three In Thousands months ended December 31, 2017 2016 Investment in GECC Unrealized loss on investment in GECC recorded in the period $ (1,180 ) $ (7,049 ) GECC dividends recorded in the period $ 883 $ 326 Management of GECC Reimbursement of GECC formation expenses for the period $ — $ 2,989 Investment management fees earned in the period $ 2,216 $ 1,280 GECC administration fees earned in the period $ 307 $ 62 GECC administration expenses incurred in the period $ (307 ) $ (62 ) Net receivable due from GECC at the end of the period $ 6,750 $ 1,991 Profit Sharing with GP Corp. GP Corp. Note balance at the end of the period $ 3,300 $ 3,424 GP Corp. Note interest incurred in the period $ (37 ) $ (67 ) GP Corp. net loss attributable to Great Elm Capital Group, Inc. $ (134 ) $ (867 ) As of and for the six In Thousands months ended December 31, 2017 2016 Investment in GECC Unrealized loss on investment in GECC recorded in the period $ (1,534 ) $ (7,049 ) GECC dividends recorded in the period $ 1,373 $ 326 Management of GECC Reimbursement of GECC formation expenses for the period $ — $ 2,989 Investment management fees for the period $ 3,657 $ 1,280 GECC administrative fees earned in the period $ 634 $ 62 GECC administrative expenses incurred during the period $ (634 ) $ (62 ) Net receivable due from GECC at the end of the period $ 6,750 $ 1,991 Profit Sharing with GP Corp. GP Corp. Note balance at the end of the period $ 3,300 $ 3,424 GP Corp. Note interest incurred in the period $ (135 ) $ (67 ) GP Corp. net loss attributable to Great Elm Capital Group, Inc. $ (1,549 ) $ (867 )

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	6 Months Ended
	Dec. 31, 2017
Stockholders Equity Note [Line Items]
Activity of Restricted Stock Award	The following table summarizes the Company’s restricted stock award activity as of and through December 31, 2017 (in thousands, except per share amounts): Weighted Average Restricted Grant Date Restricted Stock Awards and Units Stock Fair Value Outstanding at June 30, 2017 1,147 $ 3.88 Granted 75 3.57 Vested (68 ) 3.60 Forfeited (257 ) 3.95 Outstanding at December 31, 2017 897 $ 3.86
Summary of Option Activity	The following table summarizes the Company’s option award activity as of and through December 31, 2017 (in thousands, except per share amounts): Weighted Average Weighted Remaining Average Contractual Aggregate Options Options Exercise Price Term (years) Intrinsic Value Outstanding at June 30, 2017 722 $ 7.46 Options granted 2,027 3.59 Exercised — — Forfeited, cancelled or expired (128 ) 10.45 Outstanding at December 31, 2017 2,621 $ 4.32 7.88 $ 1,059 Exercisable at December 31, 2017 511 7.39 7.61 108 Vested and expected to vest as of December 31, 2017 2,621 $ 4.32 7.88 $ 1,059
Schedule of Warrant Activity	The following table illustrates the Company’s warrant activity as of and through December 31, 2017 (in thousands, except per share amounts): Weighted Average Weighted Remaining Average Contractual Aggregate Warrants Shares Exercise Price Term (years) Intrinsic Value Outstanding at June 30, 2017 55 $ 0.01 Granted 1,686 3.60 Exercised (1,266 ) 3.60 Forfeited, cancelled or expired (55 ) 0.01 Outstanding at December 31, 2017 420 $ 4.05 1.67 $ 13 Exercisable and vested at December 31, 2017 420 $ 4.05 1.67 $ 13
Warrant
Stockholders Equity Note [Line Items]
Summary of Changes in Fair Value of Company's Warrant Liability Measured at Fair Value on Recurring Basis	The following table sets forth a summary of the changes in the fair value of the Company’s warrant liability that was measured at fair value on a recurring basis (in thousands): December 31, 2017 June 30, 2017 Beginning of period $ 186 $ — Aggregate fair value of warrant issued — 216 Re-measurement of warrant liability loss (gain) 8 (30 ) Settlement (194 ) — End of period $ — $ 186

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Dec. 31, 2017
Segment Reporting [Abstract]
Schedule of Segment Information	The following table illustrates the segment information (in thousands): For the Three Months Ended December 31, 2017 For the Three Months Ended December 31, 2016 Investment Management General Corporate Total Investment Management General Corporate Total Revenue: Total revenue $ 2,523 $ — $ 2,523 $ 1,342 $ — $ 1,342 Operating costs and expenses: Operating expenses $ 2,396 $ 1,131 $ 3,527 $ 2,107 $ (1,297 ) $ 810 Other income (expense): Total other income (expense), net $ 23 $ (221 ) $ (198 ) $ (67 ) $ (9,295 ) $ (9,362 ) Operating income (loss): Total pre-tax income (loss) from continuing operations $ 150 $ (1,352 ) $ (1,202 ) $ (832 ) $ (7,998 ) $ (8,830 ) Benefit from income tax $ — $ — $ — $ — $ (486 ) $ (486 ) Income from discontinued operations, net — — — — 210 210 Net income (loss) $ 150 $ (1,352 ) (1,202 ) $ (832 ) $ (7,302 ) $ (8,134 ) Less: net loss attributable to non-controlling interest (33 ) — (33 ) (166 ) — (166 ) Net income (loss) attributable to Great Elm Capital Group $ 183 $ (1,352 ) (1,169 ) $ (666 ) $ (7,302 ) $ (7,968 ) For the Six Months Ended December 31, 2017 For the Six Months Ended December 31, 2016 Investment Management General Corporate Total Investment Management General Corporate Total Revenue: Total revenue $ 4,291 $ — $ 4,291 $ 1,342 $ — $ 1,342 Operating costs and expenses: Operating expenses $ 5,646 $ 3,017 $ 8,663 $ 2,107 $ 1,241 $ 3,348 Other expense: Total other expense, net $ (122 ) $ (92 ) $ (214 ) $ (67 ) $ (12,748 ) $ (12,815 ) Operating loss: Total pre-tax loss from continuing operations $ (1,477 ) $ (3,109 ) $ (4,586 ) $ (832 ) $ (13,989 ) $ (14,821 ) Benefit from income tax $ — $ — $ — $ — $ (964 ) $ (964 ) Income from discontinued operations, net — — — — 2,308 2,308 Net loss $ (1,477 ) $ (3,109 ) (4,586 ) $ (832 ) $ (10,717 ) $ (11,549 ) Less: net loss attributable to non- controlling interest (387 ) — (387 ) (166 ) — (166 ) Net loss attributable to Great Elm Capital Group $ (1,090 ) $ (3,109 ) (4,199 ) $ (666 ) $ (10,717 ) $ (11,383 )
Detail Associated with Identifiable Intangible Assets	The Company’s investment management business includes identifiable intangible assets. The following tables provide detail associated with the Company’s identifiable intangible assets (dollar amounts in thousands): As of December 31, 2017 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Weighted Average Useful Life (in years) Amortized intangible assets: Investment management agreement $ 3,900 $ (552 ) $ 3,348 15 Assembled workforce 526 (74 ) 452 15 Total $ 4,426 $ (626 ) $ 3,800
Summary of Amortization Expense of Identifiable Intangible Assets	Aggregate Amortization Expense: 2017 2016 For the three months ended December 31, $ 129 $ 1,014 For the six months ended December 31, $ 302 $ 1,014 Estimated Amortization Expense: For the year ended June 30, 2018 $ 269 For the year ended June 30, 2019 621 For the year ended June 30, 2020 599 For the year ended June 30, 2021 456 For the year ended June 30, 2022 382

Nature of Operations (Details)

Nature of Operations (Details)	6 Months Ended
	Dec. 31, 2017Segment
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Number of operating segments	2

Basis of Presentation and Sig23

Basis of Presentation and Significant Accounting Policies (Details)	3 Months Ended	6 Months Ended
	Dec. 31, 2016USD ($)	Dec. 31, 2017USD ($)ReportingSegment	Dec. 31, 2016USD ($)	Jun. 30, 2017USD ($)	Nov. 01, 2016
Significant Accounting Policies [Line Items]
Number of Reportable Segments | ReportingSegment		2
Incentive fee recognized in revenue that are subject to reversal		$ 4,000,000		$ 1,700,000
Term of contractual arrangement to provide investment management related services		3 years
Percentage of fees for investment management related services		26.00%
Amortization period of intangible assets		15 years
Estimated incentive fees receivable		$ 5,257,000		$ 2,757,000
Minimum
Significant Accounting Policies [Line Items]
Estimated incentive fees receivable		2,000,000
Maximum
Significant Accounting Policies [Line Items]
Estimated incentive fees receivable		$ 2,500,000
General and Administrative Expenses
Significant Accounting Policies [Line Items]
Prior period reclassification adjustment	$ 2,100,000		$ 2,100,000
Administrative Fee Income
Significant Accounting Policies [Line Items]
Prior period reclassification adjustment	60,000		60,000
Administrative Fee Expense
Significant Accounting Policies [Line Items]
Prior period reclassification adjustment	$ (60,000)		$ (60,000)
GECC
Significant Accounting Policies [Line Items]
Annual rate of base management fee earned as percentage of average adjusted gross assets		1.50%
Incentive fee earned on net investment income		20.00%
Fixed hurdle rate per quarter		1.75%
Incentive fee earned on net capital gains		20.00%
Percentage of ownership interest (as a percent)		18.00%			18.00%
GECC | Common Stock
Significant Accounting Policies [Line Items]
Percentage of ownership interest (as a percent)		18.00%
MAST Capital Investor
Significant Accounting Policies [Line Items]
Percentage of outstanding shares, held by MAST capital		7.70%

Investments, at Fair Value (Det

Investments, at Fair Value (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Jun. 30, 2017	Nov. 01, 2016
Outstanding shares	24,589,116,000		24,589,116,000		23,200,153,000
Unrealized loss on investment in GECC	$ (1,180)	$ (7,049)	$ (1,534)	$ (7,049)
GECC
Percentage of ownership interest (as a percent)	18.00%		18.00%			18.00%
Outstanding shares	1,966,667		1,966,667
Unrealized loss on investment in GECC	$ (1,200)	$ (7,000)	$ (1,500)	$ (7,000)

Separation Agreement - Addition

Separation Agreement - Additional Information (Details) - USD ($)	1 Months Ended		6 Months Ended
	Sep. 30, 2017	Nov. 30, 2016	Dec. 31, 2017	Jun. 30, 2017
Business Acquisition [Line Items]
Common stock, shares authorized			350,000,000,000	350,000,000,000
Common stock, par value			$ 0.001	$ 0.001
Estimated grant date fair value			$ 50,000
Warrants granted to purchase common stock			1,686,000
Number of days preceding the date notice of exercise			10 days
Common stock fully vested			511,000
MAST Capital Investor
Business Acquisition [Line Items]
Warrants granted to purchase common stock	420,000
Number of days preceding the date notice of exercise	10 days
Maximum | MAST Capital Investor
Business Acquisition [Line Items]
Warrants granted to purchase common stock	420,000
GP Corp.
Business Acquisition [Line Items]
Secured notes, amount	$ 3,300,000
Common stock fully vested	54,733
Acquisition Agreement with MAST Capital | GP Corp. | Maximum
Business Acquisition [Line Items]
Secured notes, amount		$ 10,800,000
MAST Capital Investor
Business Acquisition [Line Items]
Annual investment management expenses		$ 1,400,000
MAST Capital Investor | Warrant
Business Acquisition [Line Items]
Common stock, shares authorized		54,733
Common stock, par value		$ 0.01
Estimated grant date fair value		$ 200,000

Related Party Transactions (not

Related Party Transactions (not disclosed elsewhere) - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Dec. 31, 2017	Dec. 31, 2017	Nov. 01, 2016
GECC
Related Party Transaction [Line Items]
Percentage of ownership interest (as a percent)	18.00%	18.00%	18.00%
Northern Right Capital Management, L.P.
Related Party Transaction [Line Items]
Cash proceeds from exercise of warrants	$ 4.6	$ 4.6
Exercise of warrants	1,266,000	1,266,000

Related Party Transactions (n27

Related Party Transactions (not disclosed elsewhere) - Schedule of Investments and Sharing Agreements - (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016	Jun. 30, 2017
Related Party Transaction [Line Items]
Unrealized loss on investment in GECC recorded in the period	$ (1,180)	$ (7,049)	$ (1,534)	$ (7,049)
Related party receivable	324		324		$ 348
Less: Net loss attributable to non-controlling interest	(33)	(166)	(387)	(166)
Investment in GECC
Related Party Transaction [Line Items]
Unrealized loss on investment in GECC recorded in the period	(1,180)	(7,049)	(1,534)	(7,049)
GECC dividends recorded in the period	883	326	1,373	326
Management of GECC
Related Party Transaction [Line Items]
Reimbursement of GECC formation expenses for the period		2,989		2,989
Investment management fees earned in the period	2,216	1,280	3,657	1,280
GECC administration fees earned in the period	307	62	634	62
GECC administration expenses incurred in the period	(307)	(62)	(634)	(62)
Related party receivable	6,750	1,991	6,750	1,991
Profit Sharing with GP Corp
Related Party Transaction [Line Items]
Secured notes, amount	3,300	3,424	3,300	3,424
GP Corp. Note interest incurred in the period	(37)	(67)	(135)	(67)
Less: Net loss attributable to non-controlling interest	$ (134)	$ (867)	$ (1,549)	$ (867)

Stockholders' Equity - Performa

Stockholders' Equity - Performance Shares (Restricted Stock Awards) (Details) - Restricted Stock - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Stockholders' Equity
Granted			57,416
Grant date fair value			$ 0.2
Outstanding shares			859,302
Vesting period			5 years
IMA collections performance requirement			$ 40
Maximum term of IMA fees earned			5 years
Restricted stock awards forfeited			256,808
Compensation cost reversed			$ 0.5
Recognized compensation cost related to performance based awards	$ 0.3	$ 0.3	$ 0.4	$ 0.3
Vesting on First Anniversary of Grant
Stockholders' Equity
Percentage vesting			20.00%

Stockholders' Equity - Activity

Stockholders' Equity - Activity of Restricted Stock Award (Details) - Restricted Stock	6 Months Ended
	Dec. 31, 2017$ / sharesshares
Shares
Beginning Balance | shares	1,147,000
Granted | shares	75,000
Vested | shares	(68,000)
Forfeited | shares	(256,808)
Ending Balance | shares	897,000
Weighted average grant date fair value
Beginning Balance | $ / shares	$ 3.88
Granted | $ / shares	3.57
Vested | $ / shares	3.60
Forfeited | $ / shares	3.95
Ending Balance | $ / shares	$ 3.86

Stockholders' Equity - Stock Op

Stockholders' Equity - Stock Options (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Stockholders' Equity
Options granted			2,027,000
Stock-based compensation			$ 2,684	$ 650
Total unrecognized compensation cost	$ 5,300		$ 5,300
Employee Stock Option
Stockholders' Equity
Options granted			2,027,056
Estimated grant date fair value of options			$ 3,900
Expected volatility, minimum			63.00%
Expected volatility, maximum			63.40%
Expected dividend yield			$ 0
Risk-free rate, minimum			1.50%
Risk-free rate, maximum			1.80%
Employee Stock Option | Minimum
Stockholders' Equity
Expected term (years)			3 years
Employee Stock Option | Maximum
Stockholders' Equity
Expected term (years)			6 years 6 months
Restricted Stock Awards and Stock Options
Stockholders' Equity
Stock-based compensation	$ 900	$ 500	$ 2,700	$ 600

Stockholders' Equity - Summary

Stockholders' Equity - Summary of Option Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands	6 Months Ended
	Dec. 31, 2017USD ($)$ / sharesshares
Shares
Beginning Balance | shares	722
Options granted | shares	2,027
Forfeited, cancelled or expired | shares	(128)
Ending Balance | shares	2,621
Exercisable | shares	511
Vested and expected to vest | shares	2,621
Weighted average exercise price
Beginning Balance | $ / shares	$ 7.46
Options granted | $ / shares	3.59
Forfeited, cancelled or expired | $ / shares	10.45
Ending Balance | $ / shares	4.32
Exercisable | $ / shares	7.39
Vested and expected to vest | $ / shares	$ 4.32
Weighted average remaining contractual term
Outstanding	7 years 10 months 17 days
Exercisable	7 years 7 months 9 days
Vested and expected to vest	7 years 10 months 17 days
Aggregate Intrinsic Value, Outstanding | $	$ 1,059
Aggregate Intrinsic Value, Exercisable | $	108
Aggregate Intrinsic Value, Vested and expected to vest | $	$ 1,059

Stockholders' Equity - Non-Cont

Stockholders' Equity - Non-Controlling Interest (Details) $ in Millions	6 Months Ended
	Dec. 31, 2017USD ($)
GP Corp.
Stockholders' Equity
Stock-based compensation expense	$ 1.5

Stockholders' Equity - Warrants

Stockholders' Equity - Warrants (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	6 Months Ended
	Sep. 30, 2017	Dec. 31, 2017	Dec. 31, 2017
Class Of Warrant Or Right [Line Items]
Warrants granted to purchase common stock		1,686,000	1,686,000
Estimated grant date fair value		$ 50	$ 50
Number of days preceding the date notice of exercise			10 days
MAST Warrant | Common Stock
Class Of Warrant Or Right [Line Items]
Common stock issued in exchange of cancelled warrant	54,733
Northern Right Capital Management, L.P.
Class Of Warrant Or Right [Line Items]
Cash proceeds from warrants exercised		$ 4,600	$ 4,600
Warrant exercised		1,266,000	1,266,000

Stockholders' Equity - Schedule

Stockholders' Equity - Schedule of Warrant Activity (Details) - Warrant $ / shares in Units, shares in Thousands	6 Months Ended
	Dec. 31, 2017USD ($)$ / sharesshares
Shares
Beginning Balance | shares	55
Granted | shares	1,686
Warrants Exercised, Shares | shares	(1,266)
Forfeited | shares	(55)
Ending Balance | shares	420
Warrants Exercisable and vested, Shares | shares	420
Weighted average exercise price
Beginning Balance | $ / shares	$ 0.01
Exercise Price | $ / shares	3.60
Warrants Exercised, Weighted Average Exercise Price | $ / shares	3.60
Warrants Forfeited, cancelled or expired, Weighted Average Exercise Price | $ / shares	0.01
Ending Balance | $ / shares	4.05
Warrants Exercisable and vested, Weighted Average Exercise Price | $ / shares	$ 4.05
Weighted average remaining contractual term
Warrants Outstanding, Weighted Average Remaining Contractual Term	1 year 8 months 1 day
Warrants Exercisable and vested, Weighted Average Remaining Contractual Term	1 year 8 months 1 day
Aggregate Intrinsic Value
Warrants Outstanding, Aggregate Intrinsic Value | $	$ 13
Warrants Exercisable and vested, Weighted Average Remaining Contractual Term | $	$ 13

Stockholders' Equity - Summar35

Stockholders' Equity - Summary of Changes in Fair Value of Company's Warrant Liability Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Dec. 31, 2017	Jun. 30, 2017
Class Of Warrant Or Right [Line Items]
Beginning of period	$ 186
End of period		$ 186
Fair Value Measurement Recurring Basis
Class Of Warrant Or Right [Line Items]
Beginning of period	186
Aggregate fair value of warrant issued		216
Re-measurement of warrant liability loss (gain)	8	(30)
Settlement	$ (194)
End of period		$ 186

Operating Leases - Additional I

Operating Leases - Additional Information (Details) - USD ($) $ in Thousands	Jun. 01, 2017	Dec. 31, 2017
Operating Leased Assets [Line Items]
Operating lease remaining initial term	88 months
Operating leases optional lease extension period	60 months
Increase in average rate of lease payment		2.40%
Lease liability		$ 1,700
Minimum
Operating Leased Assets [Line Items]
Increase in average rate of lease payment, amount		28
Maximum
Operating Leased Assets [Line Items]
Increase in average rate of lease payment, amount		$ 32

Segment Information - Additiona

Segment Information - Additional Information (Details)	6 Months Ended
	Dec. 31, 2017Segment
Segment Reporting [Abstract]
Number of operating segments	2

Segment Information - Schedule

Segment Information - Schedule of Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Revenue:
Total revenue	$ 2,523	$ 1,342	$ 4,291	$ 1,342
Operating costs and expenses:
Operating expenses	3,527	810	8,663	3,348
Other income (expense):
Total other income (expense), net	(198)	(9,362)	(214)	(12,815)
Operating income (loss):
Loss from continuing operations, before income taxes	(1,202)	(8,830)	(4,586)	(14,821)
Benefit from income taxes		(486)		(964)
Income from discontinued operations, net		210		2,308
Net loss	(1,202)	(8,134)	(4,586)	(11,549)
Less: net loss attributable to non-controlling interest	(33)	(166)	(387)	(166)
Net loss attributable to Great Elm Capital Group, Inc.	(1,169)	(7,968)	(4,199)	(11,383)
Investment Management
Revenue:
Total revenue	2,523	1,342	4,291	1,342
Operating costs and expenses:
Operating expenses	2,396	2,107	5,646	2,107
Other income (expense):
Total other income (expense), net	23	(67)	(122)	(67)
Operating income (loss):
Loss from continuing operations, before income taxes	150	(832)	(1,477)	(832)
Net loss	150	(832)	(1,477)	(832)
Less: net loss attributable to non-controlling interest	(33)	(166)	(387)	(166)
Net loss attributable to Great Elm Capital Group, Inc.	183	(666)	(1,090)	(666)
General Corporate
Operating costs and expenses:
Operating expenses	1,131	(1,297)	3,017	1,241
Other income (expense):
Total other income (expense), net	(221)	(9,295)	(92)	(12,748)
Operating income (loss):
Loss from continuing operations, before income taxes	(1,352)	(7,998)	(3,109)	(13,989)
Benefit from income taxes		(486)		(964)
Income from discontinued operations, net		210		2,308
Net loss	(1,352)	(7,302)	(3,109)	(10,717)
Net loss attributable to Great Elm Capital Group, Inc.	$ (1,352)	$ (7,302)	$ (3,109)	$ (10,717)

Segment Information - Detail As

Segment Information - Detail Associated with Identifiable Intangible Assets (Details) - USD ($) $ in Thousands	6 Months Ended
	Dec. 31, 2017	Jun. 30, 2017
Acquired Finite Lived Intangible Assets [Line Items]
Net Carrying Amount	$ 3,800	$ 4,102
Investment Management
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	4,426
Accumulated Amortization	(626)
Net Carrying Amount	3,800
Investment Management | Investment Management Agreement
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	3,900
Accumulated Amortization	(552)
Net Carrying Amount	$ 3,348
Weighted Average Useful Life (in years)	15 years
Investment Management | Assembled Workforce
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 526
Accumulated Amortization	(74)
Net Carrying Amount	$ 452
Weighted Average Useful Life (in years)	15 years

Segment Information -Summary of

Segment Information -Summary of Amortization Expense of Identifiable Intangible Assets (Details) - Investment Management - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Acquired Indefinite Lived Intangible Assets [Line Items]
Aggregate Amortization Expense	$ 129	$ 1,014	$ 302	$ 1,014
Estimated Amortization Expense, For the year ended June 30, 2018	269		269
Estimated Amortization Expense, For the year ended June 30, 2019	621		621
Estimated Amortization Expense, For the year ended June 30, 2020	599		599
Estimated Amortization Expense, For the year ended June 30, 2021	456		456
Estimated Amortization Expense, For the year ended June 30, 2022	$ 382		$ 382

Related Party Borrowings - Addi

Related Party Borrowings - Additional Information (Detail) - USD ($)	Jun. 30, 2017	Sep. 30, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Notes payable, carrying value	$ 2,924,000		$ 3,224,000		$ 3,224,000
Warrants granted to purchase common stock			1,686,000		1,686,000
Interest expense			$ 37,000	$ 2,650,000	$ 135,000	$ 6,103,000
MAST Capital Investor
Debt Instrument [Line Items]
Warrants granted to purchase common stock		420,000
Warrants grant date estimated fair value		$ 10,000
MAST Capital Investor | Maximum
Debt Instrument [Line Items]
Warrants granted to purchase common stock		420,000
GP Corp.
Debt Instrument [Line Items]
Loss on debt extinguishment		$ 50,000
GP Corp. | Maximum
Debt Instrument [Line Items]
Secured notes, amount		10,800,000
GP Corp. | Minimum
Debt Instrument [Line Items]
Secured notes, amount		3,300,000
GP Corp Note
Debt Instrument [Line Items]
Notes payable, carrying value	3,200,000
Base amount for which excess annual operating expenses, net of cost-sharing recoveries to be offset to the principal payment obligation	1,400,000
GP Corp Note | Acquisition Agreement with MAST Capital
Debt Instrument [Line Items]
Mandatory annual payments on debt		$ 80,000
Secured notes, due date		Nov. 30, 2026
GP Corp Note | Maximum
Debt Instrument [Line Items]
Secured notes, amount	$ 10,800,000
Senior Secured Notes | MAST Capital Investor
Debt Instrument [Line Items]
Interest expense				$ 2,600,000		$ 6,100,000

Income Tax - Additional Informa

Income Tax - Additional Information (Detail) - USD ($) $ in Millions	Jan. 01, 2018	Dec. 31, 2017
Income Tax
Federal net operating loss carryforwards		$ 1,700
Operating loss carryforward for state income tax		$ 217
Federal corporate income tax rate		35.00%
Effect of reduction in corporate income tax		$ 248
Subsequent Event
Income Tax
Federal corporate income tax rate	21.00%
Minimum | Federal
Income Tax
Operating loss carryforwards expiration period		2,018
Minimum | State
Income Tax
Operating loss carryforwards expiration period		2,018
Maximum | Federal
Income Tax
Operating loss carryforwards expiration period		2,036
Maximum | State
Income Tax
Operating loss carryforwards expiration period		2,036

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - Subsequent Event $ in Millions	Feb. 01, 2018USD ($)Account	Jan. 29, 2018
Current Rights Plan
Subsequent Event [Line Items]
Expiration date of rights plan		Jan. 29, 2018
New Rights Plan
Subsequent Event [Line Items]
Expiration date of rights plan		Jan. 29, 2028
Investment Management Agreement
Subsequent Event [Line Items]
Number of accounts in investment management | Account	3
Investment management agreements amount | $	$ 30