Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Nov. 06, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | PRSS | |
Entity Registrant Name | CAFEPRESS INC. | |
Entity Central Index Key | 1,117,733 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 16,945,998 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 26,316 | $ 26,971 |
Short-term investments | 14,153 | 0 |
Accounts receivable | 820 | 1,029 |
Inventory, net | 4,543 | 6,750 |
Deferred costs | 846 | 1,948 |
Assets held for sale, current | 0 | 15,944 |
Prepaid expenses and other current assets | 3,948 | 4,517 |
Restricted cash | 3,417 | 0 |
Total current assets | 54,043 | 57,159 |
Property and equipment, net | 8,946 | 11,659 |
Goodwill | 20,899 | 20,535 |
Assets held for sale, non-current | 0 | 32,891 |
Other assets | 578 | 241 |
TOTAL ASSETS | 84,466 | 122,485 |
CURRENT LIABILITIES: | ||
Accounts payable | 1,350 | 8,015 |
Partner commissions payable | 37 | 1,100 |
Accrued royalties payable | 3,234 | 5,883 |
Accrued liabilities | 6,841 | 12,007 |
Deferred revenue | 1,338 | 2,448 |
Capital lease obligation, current | 559 | 494 |
Liabilities held for sale, current | 0 | 20,825 |
Total current liabilities | 13,359 | 50,772 |
Capital lease obligation, non-current | 491 | 910 |
Liabilities held for sale, non-current | 0 | 79 |
Other long-term liabilities | 308 | 539 |
TOTAL LIABILITIES | $ 14,158 | $ 52,300 |
Commitments and Contingencies | ||
Stockholders' Equity: | ||
Preferred stock, $0.0001 par value: 10,000 shares authorized as of September 30, 2015 and December 31, 2014; none issued and outstanding | $ 0 | $ 0 |
Common stock, $0.0001 par value — 500,000 shares authorized and 17,037 and 17,417 shares issued and outstanding as of September 30, 2015 and December 31, 2014, respectively | 2 | 2 |
Additional paid-in capital | 99,937 | 101,158 |
Accumulated deficit | (29,631) | (30,975) |
TOTAL STOCKHOLDERS' EQUITY | 70,308 | 70,185 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 84,466 | $ 122,485 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, share authorized | 10,000,000 | 10,000,000 |
Preferred stock, share issued | 0 | 0 |
Preferred stock, share outstanding | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 17,173,000 | 17,417,000 |
Common stock, shares outstanding | 17,173,000 | 17,417,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Statement [Abstract] | ||||
Net revenues | $ 19,472 | $ 25,897 | $ 64,812 | $ 81,612 |
Cost of net revenues | 11,463 | 16,686 | 39,213 | 52,048 |
Gross profit | 8,009 | 9,211 | 25,599 | 29,564 |
Operating expenses: | ||||
Sales and marketing | 4,146 | 6,497 | 13,757 | 21,520 |
Technology and development | 2,972 | 3,417 | 8,961 | 10,100 |
General and administrative | 2,978 | 4,955 | 9,319 | 12,739 |
Business Combination, Acquisition Related Costs | 0 | 50 | 0 | 50 |
Restructuring costs | 4 | 42 | 530 | 42 |
Total operating expenses | 10,100 | 14,961 | 32,567 | 44,451 |
Loss from operations | (2,091) | (5,750) | (6,968) | (14,887) |
Interest income | 12 | 4 | 34 | 9 |
Interest expense | (19) | (17) | (46) | (61) |
Other (expense) income, net | (51) | 0 | 14 | (19) |
Loss before income taxes | (2,149) | (5,763) | (6,966) | (14,958) |
Benefit from income taxes | 1,521 | (367) | 108 | (582) |
Net loss from continuing operations | (3,670) | (5,396) | (7,074) | (14,376) |
Income (loss) from discontinued operations, net of tax | 1,610 | (857) | 8,418 | (1,012) |
Net income (loss) | $ (2,060) | $ (6,253) | $ 1,344 | $ (15,388) |
Basic: | ||||
Continuing operations (usd per share) | $ (0.21) | $ (0.31) | $ (0.41) | $ (0.83) |
Discontinued operations (usd per share) | 0.09 | (0.05) | 0.49 | (0.06) |
Diluted: | ||||
Continuing operations (usd per share) | (0.21) | (0.31) | (0.41) | (0.83) |
Discontinued operations (usd per share) | $ 0.09 | $ (0.05) | $ 0.48 | $ (0.06) |
Shares used in computing net income (loss) per share of common stock: | ||||
Basic (usd per share) | 17,094 | 17,324 | 17,351 | 17,273 |
Diluted (usd per share) | 17,153 | 17,324 | 17,403 | 17,273 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash Flows from Operating Activities: | ||
Net income (loss) | $ 1,344 | $ (15,388) |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||
Depreciation and amortization | 5,439 | 7,497 |
Amortization of intangible assets | 1,229 | 3,258 |
Loss on disposal of fixed assets | 209 | 67 |
Stock-based compensation | 1,316 | 2,287 |
Change in fair value of contingent consideration liability | 0 | (741) |
Impairment charges - assets held for sale | 7,311 | 0 |
Gain on sale of businesses | (17,319) | 0 |
Deferred income taxes | 82 | 401 |
Changes in operating assets and liabilities, net of effect of divestitures: | ||
Accounts receivable | 209 | 2,746 |
Inventory | 2,207 | 1,454 |
Prepaid expenses and other current assets | 1,646 | (2,656) |
Other assets | 68 | 78 |
Accounts payable | (6,709) | (13,663) |
Partner commissions payable | (1,063) | (1,996) |
Accrued royalties payables | (2,649) | (2,029) |
Accrued and other liabilities | (5,509) | (518) |
Assets and liabilities held for sale | 1,125 | (1,331) |
Deferred revenue | (1,110) | (319) |
Net cash used in operating activities | (12,174) | (20,853) |
Cash Flows from Investing Activities: | ||
Purchase of short-term investments | (19,880) | 0 |
Proceeds from maturities of short-term investments | 5,727 | 1,493 |
Proceeds from sale of businesses, net | 34,438 | 0 |
Purchase of property and equipment | (782) | (2,144) |
Capitalization of software and website development costs | (1,661) | (2,269) |
Change in restricted cash | (3,417) | 75 |
Net cash provided by (used in) investing activities | 14,425 | (2,845) |
Cash Flows from Financing Activities: | ||
Principal payments on capital lease obligations | (354) | (431) |
Proceeds from exercise of common stock options | 390 | 448 |
Payments under insurance financing | 0 | (256) |
Repurchases of common stock | (2,942) | 0 |
Net cash used in financing activities | (2,906) | (239) |
Net increase (decrease) in cash and cash equivalents | (655) | (23,937) |
Cash and cash equivalents - beginning of period | 26,971 | 32,205 |
Cash and cash equivalents - end of period | 26,316 | 8,268 |
Supplemental Disclosures of Cash Flow Information: | ||
Cash paid for interest | 61 | 115 |
Income taxes paid during the period | 90 | 7 |
Non-cash Investing and Financing Activities: | ||
Accrued purchases of property and equipment | $ 51 | $ 336 |
Business and Summary of Signifi
Business and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Business and Summary of Significant Accounting Policies | Business and Summary of Significant Accounting Policies Business CafePress Inc., or the Company, formerly CafePress.com, Inc., was incorporated under the laws of the State of California on October 18, 1999 . On January 19, 2005 , the Company was reincorporated under the laws of the State of Delaware. On June 7, 2011, the name of the Company was changed to CafePress Inc. CafePress is a leading online retailer enabling consumers to shop, create, and sell a wide variety of customized and personalized made-on-demand products such as t-shirts, mugs, pillows, and more through its flagship website, CafePress.com. In addition, under its Retail Partners Channel, the company sells its products through a variety of leading online marketplace and third-party retail channels under the CafePress brand. CafePress also leverages its Licensed Content relationships, which consists of large entertainment companies and brands, to create unique officially licensed and crowd-sourced “fan” products for sale within its own marketplace and third-party retail partner channels. Basis of Presentation The accompanying unaudited condensed financial statements include the accounts of the Company and its wholly owned subsidiary. All intercompany transactions and balances have been eliminated. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles, or U.S. GAAP, and following the requirements of the Securities and Exchange Commission, or SEC, for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP can be condensed or omitted. These financial statements have been prepared on the same basis as the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments that are necessary for a fair statement of the Company’s financial information. The results of operations for the three and nine months ended September 30, 2015 are not necessarily indicative of the results to be expected for the year ending December 31, 2015 or for any other interim period or for any other future year. The balance sheet as of December 31, 2014 has been derived from audited financial statements at that date but does not include all of the information required by U.S. GAAP for complete financial statements. The accompanying condensed consolidated financial statements and related financial information should be read in conjunction with the audited financial statements and the related notes thereto for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K as filed on March 31, 2015 with the SEC. Segments The Company’s chief operating decision maker is its Chief Executive Officer, who manages the Company’s operations on a consolidated basis for purposes of allocating resources. As a result, the Company has a single operating segment which is the Company’s single reportable segment. All of the Company’s principal operations and decision-making functions are located in the United States. Discontinued operations Prior year financial statements have been recast to reflect the sale of the Company’s InvitationBox.com business assets in the fourth quarter of 2014, the sale of its Art and Groups businesses in the first fiscal quarter of 2015, and the sale of its EZ Prints, Inc. assets in the third quarter of 2015 in accordance with the Financial Accounting Standards Board Accounting Standards Codification 205-20-55 within discontinued operations. Results of discontinued operations are excluded from the accompanying notes to the consolidated financial statements for all periods presented, unless otherwise noted. See Note 4, Discontinued Operations , in the accompanying Notes to Consolidated Financial Statements. 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 and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including but not limited to those related to revenue recognition, provisions for doubtful accounts, credit card chargebacks, sales returns, inventory write-downs, stock-based compensation, legal contingencies, depreciable lives, asset impairments, accounting for business combinations, and income taxes including required valuation allowances. The Company bases its estimates on historical experience, projections for future performance and other assumptions that it believes to be reasonable under the circumstances. Actual results could differ materially from those estimates. Revenue Recognition The Company recognizes revenues from product sales, net of estimated returns based on historical experience, when the following revenue recognition criteria are met: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred or the service has been provided; (3) the selling price or fee revenue earned is fixed or determinable; and (4) collection of the resulting receivable is reasonably assured. The Company evaluates whether it is appropriate to record the gross amount of product sales and related costs as product revenues or the net amount earned as fulfillment revenues. Revenues are recorded at the gross amount when the Company is the primary obligor in a transaction, is subject to inventory and credit risk, has latitude in establishing prices and selecting suppliers, or has most of these indicators. When the Company is not the primary obligor and does not take inventory risk, revenues will be recorded at the net amount received by the Company as fulfillment revenues. Product sales and shipping revenues are recognized net of promotional discounts, rebates, and return allowances. Revenues from product sales and services rendered are recorded net of sales and consumption taxes. The Company periodically provides incentive offers to customers to encourage purchases. Such offers include current discount offers, such as percentage discounts off current purchases, and other similar offers. Current discount offers, when used by customers, are treated as a reduction of revenues. The Company maintains an allowance for estimated future returns and credit card chargebacks based on current period revenues and historical experience. The Company accounts for flash deal promotions through group-buying websites as gift certificates. Deferred revenue is recorded at the time of the promotion based on the gross fee payable by the end customer as the Company considers it is the primary obligor in the transaction. The Company defers the costs for the direct and incremental sales commission retained by group-buying websites and records the associated expense as a component of sales and marketing expense at the time revenue is recognized. Revenue is recognized on redemption of the offer and delivery of the product to the Company’s customers. The Company recognizes gift certificate breakage from flash deal promotions, its internally managed voucher promotions, and gift certificate sales as a component of revenues. The Company monitors historical breakage experience and when sufficient history of redemption exists, the Company records breakage revenue in proportion to actual gift certificate redemptions. When the Company concludes that insufficient history of redemption and breakage experience exists, breakage revenue is recognized upon expiration of the flash deal promotion or in the period the Company considers the obligation for future performance related to such breakage to be remote. Changes in customers’ behavior could impact the amounts that are ultimately redeemed and could affect the breakage recognized as a component of revenues. Deferred revenues include funds received in advance of product fulfillment, deferred revenue for flash deal promotions and gift cards and amounts deferred until applicable revenue recognition criteria are met. Direct and incremental costs associated with deferred revenue are deferred, classified as deferred costs and recognized in the period revenue is recognized. Goodwill Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed related to a business combination. Goodwill is presumed to have an indefinite life and is not subject to amortization. The Company conducts a quantitative test for the impairment of goodwill at least annually, as of July 1 of each year, and also whenever events or changes in circumstances indicate that the carrying value of the goodwill may not be fully recoverable. The quantitative impairment test is a two-step process. The first step is a comparison of the fair value of the reporting unit with its carrying amount, including goodwill. If this step indicates impairment, then the Company needs to proceed with Step 2 where the potential impairment loss is measured as the excess of recorded goodwill over its implied fair value. The Company determined its reporting units for goodwill impairment testing by identifying those components at, or one level below, the operating segments that (1) constitute a business, (2) have discrete financial information available, and (3) are regularly reviewed by segment management. As of the dates of the Company’s annual goodwill impairment test and other goodwill impairment analyses, it had one operating segment and one reporting unit. In performing the Company’s quantitative impairment tests, it determines the fair value of its reporting unit through a combination of the income and market approaches. Under the income approach, the Company estimates fair value based on a discounted cash flow model using a discount rate determined by management to be commensurate with the risk inherent in the Company’s current business model. Under the market approach, the Company estimates the fair value of its overall business based on its current market capitalization, market comparables, or other objective evidence of fair value. During fiscal year 2014, the Company’s market value dropped below its book value, it had management changes, and it had changes to certain strategic objectives and operations. The Company considered these items to be triggering events which resulted in additional goodwill impairment tests carried out at September 30, 2014 and December 31, 2014. As a result, the Company updated its quantitative impairment test using a combination of the income and market approaches. Based on the Company’s goodwill impairment analyses performed as of September 30, 2014 and as of December 31, 2014, which considered cash flows from continuing operations, excluding the sale of its InvitationBox.com, Art, and Groups businesses there was excess fair value over carrying value of 20% and 27%, respectively. Accordingly, the Company concluded that step two of the goodwill impairment tests were not required at either of these dates and no impairment was recorded. In the first quarter of 2015, the Company closed the sale of its Art and Groups businesses and in the second quarter of 2015 classified its EZ Prints business as “Assets Held for Sale” and “Liabilities Held for Sale” in accordance with FASB Accounting Standards Codification (“ASC”) 205-20-55, Presentation of Financial Statements and ASC 360, Property, Plant, and Equipment. The Company considered these items to be triggering events, and accordingly, performed goodwill impairment tests as of March 31, 2015 and June 30, 2015. These tests resulted in estimated excess fair value over carrying value of 3% and 6% , respectively. Accordingly, the Company concluded that step two of the goodwill impairment tests was not required at either of these dates and no impairment was recorded. In the third quarter of 2015, the Company performed its annual impairment test as of July 1, 2015 and, subsequently, performed an impairment test as of September 1, 2015 upon the sale of its EZ Prints business assets, which it considered a triggering event. These tests resulted in estimated excess fair value over carrying value of 6% and 7% , respectively. Accordingly, the Company concluded that step two of the goodwill impairment tests was not required at either of these dates and no impairment was recorded. The application of the goodwill impairment test requires judgment, including the identification of reporting units, assigning assets and liabilities to reporting units, assigning goodwill to reporting units, and determining the fair value of each reporting unit. Significant judgment, and the use of significant estimates and assumptions, is required to estimate the fair value of reporting units, including estimating future cash flows, future market conditions, and determining the appropriate discount rates, growth rates, and operating margins, among others. The Company’s discounted cash flow analyses factor in assumptions on revenue and expense growth rates. These estimates are based upon the Company’s historical experience and projections of future activity, factoring in customer demand, and a cost structure necessary to achieve the related revenues. Additionally, these discounted cash flow analyses factor in expected amounts of working capital and weighted average cost of capital. The Company believes its assumptions are reasonable, however, the fair value of the reporting unit is close to its carrying amount, including goodwill, and is sensitive to changes in assumptions. There can be no assurance that its estimates and assumptions made for purposes of its goodwill impairment testing, at the annual date and the interim testing date, will prove to be accurate predictions of the future. A sustained decline in the Company’s stock price and resulting market capitalization, decline in overall revenues, delays in expected new business opportunities, unforeseen losses or failure to achieve planned profitability improvements in the future and changes in other estimates and assumptions as noted above could result in a significant goodwill impairment charge. In addition, a change in reporting units from any further reorganization, could materially affect the determination of reporting units or fair value for each reporting unit, which could trigger impairment in the future. It is not possible at this time to determine if any such future impairment charge would result. The change in the carrying amount of goodwill is as follows (in thousands): Carrying Amount Balance at December 31, 2014 $ 20,535 Divestiture of business — adjustment based on final sale price 364 Balance at September 30, 2015 $ 20,899 Recent accounting pronouncements In September 2015, the FASB issued new guidance related to business combinations. The new guidance requires that adjustments made to provisional amounts recognized in a business combination be recorded in the period such adjustments are determined, rather than retrospectively adjusting previously reported amounts. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements. In July 2015, the FASB issued ASU 2015-11, Inventory - Simplifying the Measurement of Inventory (Topic 330) . ASU 2015-11 requires inventory to be subsequently measured using the lower of cost and net realizable value, thereby eliminating the market value approach. Net realizable value is defined as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation.” ASU 2015-11 is effective for reporting periods beginning after December 15, 2016 and is applied prospectively. Early adoption is permitted. The Company is evaluating the impact, if any, of adopting this new accounting guidance on its financial statements. In August 2014, the Financial Accounting Standards Board (FASB) issued a new accounting standard to provide guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and to provide related footnote disclosures. The new standard is effective for the Company in the fourth quarter of fiscal 2017 with early adoption permitted. The Company is currently evaluating adoption methods and whether this standard will have a material impact on its financial statements and related disclosures. In May 2014, the FASB issued a new accounting standard that requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The new standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. Early application is not permitted. The new standard will be effective for the Company beginning January 1, 2018. The new standard permits the use of either the retrospective or cumulative effect transition method. The Company is currently evaluating adoption methods and whether this standard will have a material impact on its financial statements and related disclosures. In April 2014, the FASB issued a new accounting standard that limits discontinued operations reporting to situations where the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results, and requires expanded disclosures for discontinued operations. The new standard became effective prospectively for disposals occurring in fiscal years beginning after December 15, 2014. The adoption of this standard did not have a material impact on the Company’s financial statements and related disclosures. In 2013, the FASB issued a new accounting standard that requires the presentation of certain unrecognized tax benefits as reductions to deferred tax assets rather than as liabilities in the Consolidated Balance Sheets when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The standard required adoption on a prospective basis in the first quarter of 2015. The adoption of this standard did not have a material impact on the Company’s financial statements and related disclosures. Revision of Prior Periods During the fourth quarter of 2014, the Company identified errors in its accounting for certain inventory purchases and other operating costs that were originally recognized in the fourth quarter of 2010 through the third quarter of 2014. The identified errors related to the incorrect invoice vouchering of prepayments of inventory purchases and certain operating expense transactions. The Company assessed the materiality of the errors on each financial period impacted in accordance with the SEC’s Staff Accounting Bulletin (“SAB”) No. 99 and SAB No. 108 and concluded that the error was not material to any previously issued financial statements, but was material in the aggregate to the results of the fourth quarter of 2014 and therefore it was not recorded as an out of period adjustment. Accordingly, the financial statements provided herein have been revised to correct these errors. The adjustments related to years prior to 2012 are reflected as a $0.3 million increase to the beginning Accumulated Deficit for 2012. The revision had no net impact on the Company’s net cash provided by operating activities for any period presented. The following tables summarize the corrections to the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2014 (after adjusting for discontinued operations) and Condensed Consolidated Statements of Cash Flow for the nine months ended September 30, 2014 (in thousands): Three Months Ended As previously reported Adjustment As revised Statements of Operations: Cost of net revenues $ 16,628 $ 58 $ 16,686 Loss before income taxes $ (5,705 ) $ (58 ) $ (5,763 ) Net loss from continuing operations $ (5,338 ) $ (58 ) $ (5,396 ) Basic and diluted net loss per share of common stock from continuing operations $ (0.31 ) $ — $ (0.31 ) Nine Months Ended As previously reported Adjustment As revised Statements of Operations: Cost of net revenues $ 52,015 $ 33 $ 52,048 Loss before income taxes $ (14,925 ) $ (33 ) $ (14,958 ) Net loss from continuing operations $ (14,343 ) $ (33 ) $ (14,376 ) Basic and diluted net loss per share of common stock from continuing operations $ (0.83 ) $ — $ (0.83 ) Nine Months Ended As previously reported Adjustment As revised Statements of Cash Flow: Net loss $ (15,214 ) $ (174 ) $ (15,388 ) Accounts receivable $ 2,753 $ (7 ) $ 2,746 Prepaid expenses and other current assets $ (2,268 ) $ (388 ) $ (2,656 ) Accounts payable $ (13,650 ) $ (13 ) $ (13,663 ) Accrued royalties payable $ (1,920 ) $ (109 ) $ (2,029 ) Accrued and other liabilities $ (943 ) $ 425 $ (518 ) Deferred income taxes $ 331 $ 70 $ 401 Deferred revenue $ (515 ) $ 196 $ (319 ) |
Investments and Fair Value of F
Investments and Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Investments and Fair Value of Financial Instruments | Investments and Fair Value of Financial Instruments The components of the Company’s cash, cash equivalents and short-term investments, including unrealized gains and losses associated with each are as follows (in thousands): September 30, 2015 Amortized cost Gross unrealized gains Gross unrealized losses Fair Value Cash and cash equivalents: Cash $ 14,207 $ — $ — $ 14,207 Money market funds 12,109 — — 12,109 Total cash equivalents 26,316 — — 26,316 Short-term investments: Certificates of deposit 14,153 — — 14,153 Total cash and cash equivalents and short term investments $ 40,469 $ — $ — $ 40,469 December 31, 2014 Amortized cost Gross unrealized gains Gross unrealized losses Fair Value Cash and cash equivalents: Cash $ 8,383 $ — $ — $ 8,383 Money market funds 18,588 — — 18,588 Total cash and cash equivalents and short term investments $ 26,971 $ — $ — $ 26,971 The Company records its financial assets and liabilities at fair value. The accounting guidance for fair value provides a framework for measuring fair value, clarifies the definition of fair value, and expands disclosures regarding fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. The accounting guidance establishes a three-tiered hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: Level 1 — Quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company’s financial instruments, including cash and cash equivalents, short-term investments, accounts receivable, short-term borrowings, accounts payable, partner commissions payable and accrued liabilities have carrying amounts which approximate fair value due to the short-term maturity of these instruments. The following table represents the Company’s fair value hierarchy for its financial assets and liabilities (in thousands): September 30, 2015 Total Fair Value Level I Level II Level III Cash and cash equivalents: Money market funds $ 12,109 $ 12,109 $ — $ — Short-term investments: Certificates of deposit 14,153 14,153 — — Total financial assets $ 26,262 $ 26,262 $ — $ — December 31, 2014 Total Fair Value Level I Level II Level III Cash and cash equivalents: Money market funds $ 18,588 $ 18,588 $ — $ — Total financial assets $ 18,588 $ 18,588 $ — $ — The Company holds money market funds that invest primarily in high-quality short-term money market instruments, including certificates of deposit, banker’s acceptances, commercial paper, and other money market securities. Investments in these funds are not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. As of September 30, 2015 , the Company held certificates of deposits, classified as cash equivalents or short-term investments, based on the original term. A certificate of deposit is a time deposit with a fixed term that is commonly offered by banks, thrifts, and credit unions. As of September 30, 2015 , the certificates of deposit held by the Company had a term of 365 days or less. All certificates of deposit held by the Company were within the insured limits of the FDIC. |
Balance Sheet Items
Balance Sheet Items | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Balance Sheet Items | Balance Sheet Items Inventory, net are comprised of the following (in thousands): September 30, December 31, 2014 Raw materials $ 5,206 $ 7,153 Finished goods 32 — Less: reserve for obsolescence (695 ) (403 ) Inventory, net $ 4,543 $ 6,750 Property and equipment, net are comprised of the following (in thousands): September 30, December 31, 2014 Building $ 3,782 $ 3,782 Computer equipment and office furniture 13,347 13,262 Computer software 2,339 2,221 Internal use software and website development 14,176 12,886 Production equipment 18,951 19,276 Leasehold improvements 5,080 4,933 Total property and equipment 57,675 56,360 Less: accumulated depreciation and amortization (48,729 ) (44,701 ) Property and equipment, net $ 8,946 $ 11,659 Property and equipment acquired under capital leases are as follows (in thousands): September 30, December 31, 2014 Building $ 3,782 $ 3,782 Less: accumulated depreciation (3,198 ) (2,958 ) Building, net $ 584 $ 824 Production equipment $ 389 $ 389 Less: accumulated depreciation (384 ) (372 ) Production equipment, net $ 5 $ 17 Depreciation and amortization expense was $1.6 million and $1.8 million for the three months ended September 30, 2015 and 2014 , respectively, and $4.9 million and $5.6 million for the nine months ended September 30, 2015 and 2014 , respectively. Depreciation expense for assets under capital leases was $ 0.1 million for both the three months ended September 30, 2015 and 2014 , respectively, and $ 0.3 million for both the nine months ended September 30, 2015 and 2014 , respectively. Accrued liabilities consist of the following (in thousands): September 30, December 31, 2014 Payroll and employee related expense $ 2,370 $ 1,673 Production costs 1,177 3,496 Unclaimed royalty payments 1,030 984 Other accrued liabilities 988 2,467 Professional services 648 2,174 Accrued advertising 429 480 Royalties-minimum guarantee 115 439 Allowance for sales returns and chargebacks 84 294 Accrued liabilities $ 6,841 $ 12,007 The following table presents the changes in the allowance for sales returns and chargebacks (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 Balance, beginning of period $ 107 $ 138 $ 294 $ 295 Add: provision 514 811 1,910 2,481 Less: deductions and other adjustments (537 ) (859 ) (2,120 ) (2,686 ) Balance, end of period $ 84 $ 90 $ 84 $ 90 |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations In the fourth quarter of 2014 and the first quarter of 2015, in order to improve the Company’s core business and further enhance stockholder value, the Company entered into definitive agreements to divest its Art, Groups and InvitationBox.com businesses for a total of approximately $40.3 million in cash. The Art and Groups asset sales closed in the first fiscal quarter of 2015 and the InvitationBox.com asset sale closed in the fourth fiscal quarter of 2014. The Company has classified the assets and liabilities associated with the Art and Groups businesses as assets and liabilities held for sale in the Company’s consolidated balance sheet at December 31, 2014 in accordance with ASC 360-10-45 which was prior to January 1, 2015, the effective date of the new accounting standards in relation to discontinued operations reporting. See Note 1. Business and Summary of Significant Accounting Policies, Recent Accounting Pronouncements. Therefore, the Company did not apply the new accounting standard to the divestitures of Art and Groups businesses although the businesses were disposed of after the effective date. In the second quarter of 2015, the Company committed to a plan to divest its EZ Prints business. Certain assets and liabilities of the EZ Prints business have been classified as assets and liabilities held for sale in accordance with ASC 205-20-55 in the Company's Consolidated Balance Sheets and have been included in discontinued operations for all periods presented. In addition, condensed cash flow information for all periods presented is included. In the second quarter of 2015, the Company reviewed the carrying value of the EZ Prints assets as compared to the fair value of such assets as measured by the offers received. Accordingly, as prescribed by ASC 360, Impairment or Disposal of Long-Lived Assets , the Company recorded an impairment charge of $7.3 million to lower the carrying value of the assets to fair value, which is included in the operating section of “Discontinued Operations” in the Consolidated Statement of Operations. The Company completed the sale of its EZ Prints business in the third quarter of 2015 and recorded a gain on the sale of $0.3 million which is included in the "Other (income)\expense" section of “Discontinued Operations” in the Consolidated Statement of Operations. Income (loss) from discontinued operations, net of tax, in the Company’s Consolidated Statements of Operations, represents the net income from the disposal of assets and liabilities associated with the sale of Art and Groups in the first quarter of 2015, the impairment charge associated with the writedown of EZ Prints net assets to fair value in the second quarter of 2015, the gain on disposal of the EZ Prints business in the third quarter of 2015, as well as the historical operations of the Art, Groups, InvitationBox.com and EZ Prints businesses for all periods presented in accordance with ASC 205-20-55. EZ Prints business asset sale On September 1, 2015, the Company sold its EZ Prints business, which provided a suite of enterprise class deployable software products and services focused on private label e-commerce customization services, pursuant to an asset purchase agreement with EZ Prints Holdings, Inc. (“EZP Holdings”). Vincent Sarrecchia, the chief executive officer of EZP Holdings, was previously serving as the interim chief executive officer of the EZ Prints business pursuant to a consulting agreement with the Company. Total consideration for the sale was $0.6 million , of which $0.1 million has been received and $0.5 million is in the form of a note receivable due on or before December 31, 2018. As part of the closing of the sale, the Company agreed to pay a current obligation of $1.25 million to one of the Company's current customers. The Company also entered into a transition services agreement with EZP Holdings for a maximum period of one year from the closing date, a license agreement whereby the Company continues to have the right to use certain software, and cross fulfillment agreements whereby each party agrees to fulfill certain products for the other party. The Company's management is required to estimate the expected continuing cashflows against the cashflows of the disposed business in order to determine if discontinued operations presentation is applicable. Management has estimated the expected future cashflows in relation to the transition services agreement, the license agreement, and the cross fulfillment agreements on a gross basis in relation to the expected cashflows of the disposed business and has concluded that these cashflows will be insignificant to the disposed business. The Company will have no involvement in the management of EZP Holdings. As a result, management has applied discontinued operations presentation to the EZ Prints business asset sale in accordance with the ASC 205-20-55. Art business asset sale On March 1, 2015, the Company sold its Art business, which enabled users to transform photographs and images into canvas works of art, pursuant to an asset purchase agreement with Circle Graphics, Inc. (“Circle Graphics”). The Company received proceeds of $28.5 million , net of expenses, of which $2.4 million is in escrow for its indemnification obligations pursuant to an escrow agreement between the Company, Circle Graphics and the escrow agent. The Company also entered into a transition services agreement with Circle Graphics for a period of one year from the closing date, and a commercial agreement whereby certain products purchased on the Company’s websites will be exclusively fulfilled by Circle Graphics for a period of three years following the closing date. There is no material relationship between the Company and Circle Graphics. Management is required to estimate the expected continuing cashflows against the cashflows of the disposed business in order to determine if discontinued operations presentation is applicable. Management has estimated the expected future cashflows in relation to the commercial agreement and the transition services agreement on a gross basis in relation to the expected cashflows of the disposed business and has concluded that these cashflows will be insignificant to the disposed business. The Company will have no involvement in the management of Circle Graphics. As a result, management has applied discontinued operations presentation to the Art business asset sale in accordance with the ASC 205-20-55. Groups business asset sale On March 6, 2015, the Company sold its Groups business, which provided personalized apparel and merchandise for groups and organizations through its e-commerce websites, pursuant to an asset purchase agreement with Logo Sportswear Inc. (“Logo Sportswear”). The Company received proceeds of $9.2 million , net of expenses, of which $1.0 million is in escrow for its indemnification obligations pursuant to an escrow agreement between the Company, Logo Sportswear and the escrow agent. In connection with the sale of the Groups business, the Company also entered into a transition services agreement for a period of one year from the closing date and referral agreement with Logo Sportswear for a period of two years following the closing date. There is no material relationship between the Company and Logo Sportswear. Management is required to estimate the expected continuing cashflows against the cashflows of the disposed business in order to determine if discontinued operations presentation is applicable. Management has estimated the expected future cashflows in relation to the referral agreement and the transition services agreement on a gross basis in relation to the expected cashflows of the disposed business and has concluded that these cashflows will be insignificant to the disposed business. The Company will have no involvement in the management of Logo Sportswear. As a result, management has applied discontinued operations presentation to the Groups business asset sale in accordance with the ASC 205-20-55. InvitationBox.com business asset sale On November 5, 2014, the Company entered into an asset purchase agreement with Phoenix Online LLC, a related party, pursuant to which the Company sold certain assets and liabilities of its InvitationBox.com business for a nominal amount of cash and quarterly revenue share payments equal to: a) 5% of the gross revenue generated by the InvitationBox.com business for a period of five years from the effective date of the asset purchase agreement; b) 3% of the gross revenue generated by the InvitationBox.com business for a period of five years from the effective date of the asset purchase agreement as consideration for the Company’s guaranty of a certain assumed lease for up to $900,000 ; and c) 2% of the gross revenue generated by the InvitationBox.com business for a period of five years from the effective date of the asset purchase agreement as consideration for certain transition services to be provided by the Company. The Company will have no involvement in the management of Phoenix Online, LLC. If and when such guaranty is released or the underlying lease is terminated, and/or the transition services end, the additional cash revenue payments will cease. Financial information for the combined discontinued operations is summarized as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net revenues $ 2,440 $ 22,422 $ 22,280 $ 66,273 Cost of net revenues 1,735 13,854 14,623 40,849 Gross profit 705 8,568 7,657 25,424 Operating expenses: Sales and marketing 187 6,194 4,825 18,129 Technology and development 463 1,976 3,030 5,855 General and administrative 282 917 1,375 2,665 Acquisition related costs — 575 — (719 ) Impairment charges — — 7,311 — Restructuring costs — (342 ) — 449 Total operating expenses 932 9,320 16,541 26,379 Loss from operations (227 ) (752 ) (8,884 ) (955 ) Interest expense — (19 ) (17 ) (57 ) Gain on sale of assets 257 — 17,319 — Income (loss) before income taxes 30 (771 ) 8,418 (1,012 ) Provision (benefit) for income taxes (1,580 ) 86 — — Net income (loss) from discontinued operations $ 1,610 $ (857 ) $ 8,418 $ (1,012 ) Components of assets and liabilities held for sale (in thousands): December 31, Assets Cash and cash equivalents $ 3,678 Accounts receivable 7,564 Inventory 2,323 Deferred costs 1,402 Prepaid expense and other current assets 977 Assets held for sale — short term $ 15,944 Property and equipment, net $ 4,513 Goodwill 18,660 Intangible assets, net 9,511 Other assets 207 Assets held for sale — long term $ 32,891 Liabilities Accounts payable $ 8,773 Partner commissions payable 3,486 Accrued royalties payable 1,023 Accrued liabilities 3,575 Deferred revenue 3,936 Capital lease obligations, current 32 Liabilities held for sale — short-term $ 20,825 Liabilities held for sale — long term $ 79 Condensed cash flow information for EZ Prints discontinued operations is summarized as follows (in thousands): Nine Months Ended September 30, 2015 2014 Cash Flows from Operating Activities: Net loss $ (9,386 ) $ (4,287 ) Adjustments to reconcile net loss to net cash (used in) provided by operating activities: Depreciation and amortization 555 883 Amortization of intangible assets 1,229 1,846 Stock-based compensation 38 64 Change in fair value of contingent consideration liability — (194 ) Gain on sale of assets (257 ) — Impairment charge 7,311 — Change in operating assets and liabilities 295 3,363 Net cash (used in) provided by operating activities (215 ) 1,675 Cash Flows from Investing Activities: Purchase of property and equipment (121 ) (154 ) Capitalization of software and website development costs (127 ) (167 ) Divestiture of business, cash (3,215 ) — Net cash used in investing activities (3,463 ) (321 ) Cash Flows from Financing Activities: Principal payments on capital lease obligations — (23 ) Net cash used in financing activities — (23 ) Net (decrease) increase in cash and cash equivalents (3,678 ) 1,331 Cash and cash equivalents — beginning of period 3,678 1,130 Cash and cash equivalents — end of period $ — $ 2,461 |
Line of Credit
Line of Credit | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Line of Credit | Line of Credit In March 2013, the Company entered into a credit agreement which provides for a revolving credit facility of $5.0 million to fund acquisitions, share repurchases and other general corporate needs. The credit line is available through June 2016 and bears interest at either the London Inter Bank Offer Rate + 1.75% or the bank’s prime rate + .75% . This credit agreement requires the Company to comply with various financial covenants, all of which the Company was in compliance with at September 30, 2015 and December 31, 2014 , and is secured by all assets of the Company. There were no draws against the facility as of September 30, 2015 and December 31, 2014 . In July 2014, the Company amended its credit agreement (See Note 12, Commitments and Contingencies ) which extended the maximum amount available under the Company’s revolving credit facility from $5.0 million to $6.5 million , and simultaneously entered into a Letter of Credit in connection with its amended facility lease agreement for $1.5 million . The Letter of Credit will expire no later than September 15, 2020 . All other terms, conditions, covenants and the interest rate under the original March 2013 credit facility remained the same. The revolving credit facility is available for ordinary operations. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The fair value of the Company’s stock-based payment awards was estimated on the grant date using the Black-Scholes option-pricing model. The expected term of options granted is calculated using the simplified method. The risk-free rate is based on the rates in effect at the time of grant for zero coupon U.S. Treasury notes with maturities approximately equal to each grant’s expected life. The expected volatility is based upon the volatility of a group of publicly traded industry peer companies. A dividend yield of zero is applied since the Company has not historically paid dividends and has no intention to pay dividends in the near future. The following table summarizes stock option activity related to shares of common stock (in thousands, except the weighted average exercise price): Number of Stock Options Outstanding Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding — December 31, 2014 2,750 $ 9.70 3.39 $ — Granted 718 4.26 Exercised (148 ) 2.62 Forfeited (1,125 ) 12.50 Outstanding — September 30, 2015 2,195 $ 6.91 5.35 $ 201 Vested and expected to vest — September 30, 2015 1,543 $ 7.86 4.71 $ 124 Options exercisable — September 30, 2015 895 $ 9.88 3.49 $ 45 The fair value of the option awards was calculated using the Black-Scholes option valuation model with the following assumptions: Three Months Ended Nine Months Ended 2015 2014 2015 2014 Expected term (in years) 6.0 4.5 5.0 4.5 Risk-free interest rate 1.4 % 1.6 % 1.3 % 1.6 % Expected volatility 47 % 48 % 47 % 48 % Expected dividend rate 0.0 % 0.0 % 0.0 % 0.0 % Restricted Stock Unit Activity The Company may grant restricted stock units, or RSUs, to its employees, consultants or outside directors under the provisions of the Company’s Amended and Restated 2012 Stock Incentive Plan. The cost of RSUs is determined using the fair value of the Company’s common stock on the date of grant. Compensation cost is amortized on a straight-line basis over the requisite service period. Restricted stock unit activity for the nine months ended September 30, 2015 is summarized as follows (unit numbers in thousands): Number of Units Outstanding Weighted Average Grant Date Fair Value Per Unit Awarded and unvested at December 31, 2014 243 $ 5.81 Granted 316 4.14 Vested (110 ) 5.49 Forfeited and canceled (107 ) 5.85 Awarded and unvested at September 30, 2015 342 $ 4.42 Stock-Based Compensation Expense Cost of net revenues and operating expenses include stock-based compensation as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 Cost of net revenues $ 41 $ 41 $ 123 $ 126 Sales and marketing 48 78 242 248 Technology and development 35 67 138 210 General and administrative 295 543 768 1,598 Total stock-based compensation expense $ 419 $ 729 $ 1,271 $ 2,182 Capitalizable stock-based compensation relating to software development was not significant for any period presented. |
Stock Repurchase Program
Stock Repurchase Program | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Stock Repurchase Program | Stock Repurchase Program: In May 2015, the Company’s Board of Directors approved a stock repurchase program of up to 20% of the outstanding shares of its common stock or an aggregate of 3.5 million shares of the Company’s common stock, whichever is less, over a period of one year . Any stock repurchases may be made through open market and privately negotiated transactions, or as otherwise may be determined by management, at times and in such amounts as management deems appropriate, and may or may not be made pursuant to one or more Rule 10b5-1trading plans adopted in accordance with Rule 10b5-1 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Under a Rule 10b5-1trading plan, the Company may repurchase its shares regardless of any subsequent possession of material nonpublic information. The timing and amount of stock repurchased, if any, will depend on a variety of factors including stock price, market conditions, corporate and regulatory requirements (including applicable securities laws and regulations and the rules of The NASDAQ Stock Market), any additional constraints related to material inside information the Company may possess, and capital availability. During the three months ended September 30, 2015 , the Company repurchased 148,383 shares of its common stock at an average cost of $4.41 per share for a total cost of $0.7 million . During the nine months ended September 30, 2015 , the Company repurchased 637,570 shares of its common stock at an average cost of $4.60 per share for a total cost of $2.9 million . All repurchased shares were retired. |
Net Income (Loss) per Share of
Net Income (Loss) per Share of Common Stock | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) per Share of Common Stock | Net Income (Loss) per Share of Common Stock Basic net income (loss) per share is computed by dividing the net income (loss) attributable to common shares for the period by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share attributed to common shares is computed by dividing the net loss attributable to common shares for the period by the weighted average number of common and potential common shares outstanding during the period, if the effect of each class of potential common shares is dilutive. Potential common shares include restricted stock units and incremental shares of common stock issuable upon the exercise of stock options. The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share of common stock (in thousands, except for per share amounts). Three Months Ended Nine Months Ended 2015 2014 2015 2014 Numerator: Net loss from continuing operations $ (3,670 ) $ (5,396 ) $ (7,074 ) $ (14,376 ) Income (loss) from discontinued operations, net of tax 1,610 (857 ) 8,418 (1,012 ) Net income (loss) $ (2,060 ) $ (6,253 ) $ 1,344 $ (15,388 ) Shares used in computing net income (loss) per share of common stock: Basic 17,094 17,324 17,351 17,273 Diluted 17,153 17,324 17,403 17,273 Net income (loss) per share of common stock: Basic: Continuing operations $ (0.21 ) $ (0.31 ) $ (0.41 ) $ (0.83 ) Discontinued operations $ 0.09 $ (0.05 ) $ 0.49 $ (0.06 ) Total $ (0.12 ) $ (0.36 ) $ 0.08 $ (0.89 ) Diluted: Continuing operations $ (0.21 ) $ (0.31 ) $ (0.41 ) $ (0.83 ) Discontinued operations $ 0.09 $ (0.05 ) $ 0.48 $ (0.06 ) Total $ (0.12 ) $ (0.36 ) $ 0.08 $ (0.89 ) The following outstanding shares of potentially dilutive securities were excluded from the computation of diluted net income (loss) per share of common stock for the periods in which the Company incurred a loss because including them would have been antidilutive: September 30, 2015 2014 Stock options to purchase common stock 2,195 2,898 Restricted stock units 342 318 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recorded a $1.5 million expense and $0.4 million benefit for income taxes for the three months ended September 30, 2015 and 2014 , respectively and a $0.1 million expense and $0.6 million benefit for income taxes for the nine months ended September 30, 2015 and 2014 . During the quarter ended September 30, 2015, the tax benefit from continuing operations under the intraperiod allocation rules was reversed upon the sale of the EZ Prints business as the Company now expects a taxable loss in discontinued operations. During the quarter ended December 31, 2013, the Company weighed both positive and negative evidence and determined that there is a need for the valuation allowance due to the existence of three years of historical cumulative losses which the Company considered significant verifiable negative evidence. Accordingly, the Company recorded a non-cash income tax provision of $9.3 million to its valuation allowance. As of September 30, 2015 , the Company continues to maintain a valuation allowance on its deferred tax assets. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information Operating segments are defined as components of an enterprise that engage in business activities for which separate financial information is available and evaluated by the chief operating decision maker in deciding how to allocate resources and assessing performance. The Company’s chief operating decision maker is its chief executive officer. The chief executive officer reviews financial information presented on a consolidated basis, for purposes of allocating resources and evaluating financial performance. The Company has one business activity and there are no segment managers who are held accountable for operations, or plan for levels or components below the consolidated unit level. Accordingly, the Company operates as a single reportable segment. The Company’s revenues by geographic region, based on the location to where the product was shipped, are summarized as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 United States $ 16,995 $ 21,683 $ 56,830 $ 68,792 International 2,477 4,214 7,982 12,820 Total $ 19,472 $ 25,897 $ 64,812 $ 81,612 All of the Company’s long-lived assets are located in the United States. |
Restructuring
Restructuring | 9 Months Ended |
Sep. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring Restructuring costs were $4 thousand and $0.5 million for the three and nine months ended September 30, 2015 , and were $42 thousand for the three and nine months ended September 30, 2014 and are included in “Restructuring costs” in the accompanying Condensed Consolidated Statements of Operations. In 2015, this expense consists of charges related to the downsizing of the Company’s San Mateo, California operations, including a $0.3 million charge for the early termination of its lease for office space and a $0.2 million charge for severance payments related to a headcount reduction. The change in the restructuring liability is summarized as follows: Three Months Ended Nine Months Ended 2015 2014 2015 2014 Accrued restructuring balance, beginning of period $ 33 $ — $ — $ — Employee severance 4 — 199 — Lease restructuring — 42 331 42 Cash payments (37 ) (42 ) (530 ) (42 ) Accrued restructuring balance, end of period $ — $ — $ — $ — |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Leases Lease agreements are accounted for as either operating or capital leases depending on certain defined criteria. The Company leases certain of its facilities and equipment under capital and operating leases with various expiration dates through 2021. Certain of the operating lease agreements contain rent holidays and rent escalation provisions. Rent holidays and rent escalation provisions are considered in determining straight-line rent expense to be recorded over the lease term. The lease term begins on the date of initial possession of the lease property for purposes of recognizing rent expense on a straight-line basis over the term of the lease. In 2005, the Company entered into a capital lease agreement for a production facility in Louisville, Kentucky consisting of 126,352 square feet. The lease was amended in May 2007 to lease an additional 20,000 square feet. The capital lease has an interest rate of 6.5% and expires in 2017 . Pursuant to an amendment to the lease in August of 2012, the Company added 184,813 square feet. On August 1, 2014, the Company further amended its primary facility lease (“Facility Lease Amendment”) to extend the term related only to the 184,813 square feet of leased production and office space from July 31, 2014 to July 31, 2021 . In connection with the Facility Lease Amendment, the Company also entered into an option to terminate the lease in its entirety on or after July 31, 2018 . In the case of such early lease termination, the Company would be required to pay a termination fee dependent upon the effective date of an early lease termination, as follows: (i) For a termination effective as of July 31, 2018: $1,512,679 (ii) For a termination effective as of July 31, 2019: $934,814 (iii) For a termination effective as of July 31, 2020: $429,736 . Under the terms of the Facility Lease Amendment, the Company is further required to maintain a Letter of Credit naming the Landlord as the beneficiary for the maximum amount of the termination fee for which the Company may be liable under the terms of the Facility Lease Amendment. See Note 5, Line of Credit. In October 2007, the Company entered into an operating lease for office space in San Mateo, California. In December 2012, the Company amended the lease agreement. The amended lease term ends in March 2018. The lease includes an option for early termination effective January 31, 2016 . On June 12, 2015, the Company exercised the early termination option and, accordingly, paid a termination fee of $0.3 million . See Note 11, Restructuring . In July 2015, the Company entered into an operating lease for office space in Hayward, California. The lease commences on January 1, 2016 and ends on January 31, 2019. Future minimum lease payments under noncancelable operating and capital leases as of September 30, 2015 are as follows: Years Ended December 31, Capital leases Operating leases Remaining three months of 2015 $ 155 $ 381 2016 607 947 2017 355 917 2018 — 637 2019 — 19 Total minimum lease payments 1,117 $ 2,901 Less amount representing interest (67 ) Present value of capital lease obligations 1,050 Less current portion (559 ) Long-term portion of capital lease obligations $ 491 The future minimum operating lease commitments assume that the Company exercises its option for early termination under its current primary facility lease agreement, and does not include an early termination fee of approximately $1.5 million in 2017. |
Related Party Transaction
Related Party Transaction | 9 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transaction | Related Party Transaction On September 1, 2015, the Company sold its EZ Prints business, which provided a suite of enterprise class deployable software products and services focused on private label e-commerce customization services, pursuant to an asset purchase agreement with EZP Holdings. Vincent Sarrecchia, the chief executive officer of EZP Holdings, was previously serving as the interim chief executive officer of the EZ Prints business pursuant to a consulting agreement with the Company. Total consideration for the sale was $0.6 million , of which $0.1 million has been received by the Company and $0.5 million is in the form of a note receivable due on or before December 31, 2018. As part of the closing, the Company agreed to pay a current obligation of $1.25 million to one of EZ Prints' current customers. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On October 9, 2015, the Company entered into a purchase agreement (the "Purchase Agreement") to acquire approximately 1.6 acres of land and an on-site building with approximately 25,000 square feet located in Louisville, Kentucky, which the Company expects to use for its corporate offices. Under the Purchase Agreement, the Company will pay the seller a total purchase price of $1.8 million , with $1.65 million due upon closing, and the remaining $150,000 due after the completion of certain post-closing conditions, including the receipt of governmental approvals. The Purchase Agreement also contains certain representations and warranties of the Company, and provides for a due diligence period of 60 days from October 9, 2015. The transaction is expected to close within 30 days after the completion of the due diligence period. |
Business and Summary of Signi20
Business and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Business | Business CafePress Inc., or the Company, formerly CafePress.com, Inc., was incorporated under the laws of the State of California on October 18, 1999 . On January 19, 2005 , the Company was reincorporated under the laws of the State of Delaware. On June 7, 2011, the name of the Company was changed to CafePress Inc. |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed financial statements include the accounts of the Company and its wholly owned subsidiary. All intercompany transactions and balances have been eliminated. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles, or U.S. GAAP, and following the requirements of the Securities and Exchange Commission, or SEC, for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP can be condensed or omitted. These financial statements have been prepared on the same basis as the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments that are necessary for a fair statement of the Company’s financial information. The results of operations for the three and nine months ended September 30, 2015 are not necessarily indicative of the results to be expected for the year ending December 31, 2015 or for any other interim period or for any other future year. The balance sheet as of December 31, 2014 has been derived from audited financial statements at that date but does not include all of the information required by U.S. GAAP for complete financial statements. The accompanying condensed consolidated financial statements and related financial information should be read in conjunction with the audited financial statements and the related notes thereto for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K as filed on March 31, 2015 with the SEC. |
Segments | Segments The Company’s chief operating decision maker is its Chief Executive Officer, who manages the Company’s operations on a consolidated basis for purposes of allocating resources. As a result, the Company has a single operating segment which is the Company’s single reportable segment. All of the Company’s principal operations and decision-making functions are located in the United States. |
Discontinued operations | Discontinued operations Prior year financial statements have been recast to reflect the sale of the Company’s InvitationBox.com business assets in the fourth quarter of 2014, the sale of its Art and Groups businesses in the first fiscal quarter of 2015, and the sale of its EZ Prints, Inc. assets in the third quarter of 2015 in accordance with the Financial Accounting Standards Board Accounting Standards Codification 205-20-55 within discontinued operations. Results of discontinued operations are excluded from the accompanying notes to the consolidated financial statements for all periods presented, unless otherwise noted. See Note 4, Discontinued Operations , in the accompanying Notes to Consolidated Financial Statements. |
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 and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including but not limited to those related to revenue recognition, provisions for doubtful accounts, credit card chargebacks, sales returns, inventory write-downs, stock-based compensation, legal contingencies, depreciable lives, asset impairments, accounting for business combinations, and income taxes including required valuation allowances. The Company bases its estimates on historical experience, projections for future performance and other assumptions that it believes to be reasonable under the circumstances. Actual results could differ materially from those estimates. |
Revenue Recognition | Revenue Recognition The Company recognizes revenues from product sales, net of estimated returns based on historical experience, when the following revenue recognition criteria are met: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred or the service has been provided; (3) the selling price or fee revenue earned is fixed or determinable; and (4) collection of the resulting receivable is reasonably assured. The Company evaluates whether it is appropriate to record the gross amount of product sales and related costs as product revenues or the net amount earned as fulfillment revenues. Revenues are recorded at the gross amount when the Company is the primary obligor in a transaction, is subject to inventory and credit risk, has latitude in establishing prices and selecting suppliers, or has most of these indicators. When the Company is not the primary obligor and does not take inventory risk, revenues will be recorded at the net amount received by the Company as fulfillment revenues. Product sales and shipping revenues are recognized net of promotional discounts, rebates, and return allowances. Revenues from product sales and services rendered are recorded net of sales and consumption taxes. The Company periodically provides incentive offers to customers to encourage purchases. Such offers include current discount offers, such as percentage discounts off current purchases, and other similar offers. Current discount offers, when used by customers, are treated as a reduction of revenues. The Company maintains an allowance for estimated future returns and credit card chargebacks based on current period revenues and historical experience. The Company accounts for flash deal promotions through group-buying websites as gift certificates. Deferred revenue is recorded at the time of the promotion based on the gross fee payable by the end customer as the Company considers it is the primary obligor in the transaction. The Company defers the costs for the direct and incremental sales commission retained by group-buying websites and records the associated expense as a component of sales and marketing expense at the time revenue is recognized. Revenue is recognized on redemption of the offer and delivery of the product to the Company’s customers. The Company recognizes gift certificate breakage from flash deal promotions, its internally managed voucher promotions, and gift certificate sales as a component of revenues. The Company monitors historical breakage experience and when sufficient history of redemption exists, the Company records breakage revenue in proportion to actual gift certificate redemptions. When the Company concludes that insufficient history of redemption and breakage experience exists, breakage revenue is recognized upon expiration of the flash deal promotion or in the period the Company considers the obligation for future performance related to such breakage to be remote. Changes in customers’ behavior could impact the amounts that are ultimately redeemed and could affect the breakage recognized as a component of revenues. Deferred revenues include funds received in advance of product fulfillment, deferred revenue for flash deal promotions and gift cards and amounts deferred until applicable revenue recognition criteria are met. Direct and incremental costs associated with deferred revenue are deferred, classified as deferred costs and recognized in the period revenue is recognized. |
Goodwill | Goodwill Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed related to a business combination. Goodwill is presumed to have an indefinite life and is not subject to amortization. The Company conducts a quantitative test for the impairment of goodwill at least annually, as of July 1 of each year, and also whenever events or changes in circumstances indicate that the carrying value of the goodwill may not be fully recoverable. The quantitative impairment test is a two-step process. The first step is a comparison of the fair value of the reporting unit with its carrying amount, including goodwill. If this step indicates impairment, then the Company needs to proceed with Step 2 where the potential impairment loss is measured as the excess of recorded goodwill over its implied fair value. The Company determined its reporting units for goodwill impairment testing by identifying those components at, or one level below, the operating segments that (1) constitute a business, (2) have discrete financial information available, and (3) are regularly reviewed by segment management. As of the dates of the Company’s annual goodwill impairment test and other goodwill impairment analyses, it had one operating segment and one reporting unit. In performing the Company’s quantitative impairment tests, it determines the fair value of its reporting unit through a combination of the income and market approaches. Under the income approach, the Company estimates fair value based on a discounted cash flow model using a discount rate determined by management to be commensurate with the risk inherent in the Company’s current business model. Under the market approach, the Company estimates the fair value of its overall business based on its current market capitalization, market comparables, or other objective evidence of fair value. During fiscal year 2014, the Company’s market value dropped below its book value, it had management changes, and it had changes to certain strategic objectives and operations. The Company considered these items to be triggering events which resulted in additional goodwill impairment tests carried out at September 30, 2014 and December 31, 2014. As a result, the Company updated its quantitative impairment test using a combination of the income and market approaches. Based on the Company’s goodwill impairment analyses performed as of September 30, 2014 and as of December 31, 2014, which considered cash flows from continuing operations, excluding the sale of its InvitationBox.com, Art, and Groups businesses there was excess fair value over carrying value of 20% and 27%, respectively. Accordingly, the Company concluded that step two of the goodwill impairment tests were not required at either of these dates and no impairment was recorded. In the first quarter of 2015, the Company closed the sale of its Art and Groups businesses and in the second quarter of 2015 classified its EZ Prints business as “Assets Held for Sale” and “Liabilities Held for Sale” in accordance with FASB Accounting Standards Codification (“ASC”) 205-20-55, Presentation of Financial Statements and ASC 360, Property, Plant, and Equipment. The Company considered these items to be triggering events, and accordingly, performed goodwill impairment tests as of March 31, 2015 and June 30, 2015. These tests resulted in estimated excess fair value over carrying value of 3% and 6% , respectively. Accordingly, the Company concluded that step two of the goodwill impairment tests was not required at either of these dates and no impairment was recorded. In the third quarter of 2015, the Company performed its annual impairment test as of July 1, 2015 and, subsequently, performed an impairment test as of September 1, 2015 upon the sale of its EZ Prints business assets, which it considered a triggering event. These tests resulted in estimated excess fair value over carrying value of 6% and 7% , respectively. Accordingly, the Company concluded that step two of the goodwill impairment tests was not required at either of these dates and no impairment was recorded. The application of the goodwill impairment test requires judgment, including the identification of reporting units, assigning assets and liabilities to reporting units, assigning goodwill to reporting units, and determining the fair value of each reporting unit. Significant judgment, and the use of significant estimates and assumptions, is required to estimate the fair value of reporting units, including estimating future cash flows, future market conditions, and determining the appropriate discount rates, growth rates, and operating margins, among others. The Company’s discounted cash flow analyses factor in assumptions on revenue and expense growth rates. These estimates are based upon the Company’s historical experience and projections of future activity, factoring in customer demand, and a cost structure necessary to achieve the related revenues. Additionally, these discounted cash flow analyses factor in expected amounts of working capital and weighted average cost of capital. The Company believes its assumptions are reasonable, however, the fair value of the reporting unit is close to its carrying amount, including goodwill, and is sensitive to changes in assumptions. There can be no assurance that its estimates and assumptions made for purposes of its goodwill impairment testing, at the annual date and the interim testing date, will prove to be accurate predictions of the future. A sustained decline in the Company’s stock price and resulting market capitalization, decline in overall revenues, delays in expected new business opportunities, unforeseen losses or failure to achieve planned profitability improvements in the future and changes in other estimates and assumptions as noted above could result in a significant goodwill impairment charge. In addition, a change in reporting units from any further reorganization, could materially affect the determination of reporting units or fair value for each reporting unit, which could trigger impairment in the future. It is not possible at this time to determine if any such future impairment charge would result. |
Recent accounting pronouncements | Recent accounting pronouncements In September 2015, the FASB issued new guidance related to business combinations. The new guidance requires that adjustments made to provisional amounts recognized in a business combination be recorded in the period such adjustments are determined, rather than retrospectively adjusting previously reported amounts. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted. We are evaluating the impact, if any, of adopting this new accounting guidance on our consolidated financial statements. In July 2015, the FASB issued ASU 2015-11, Inventory - Simplifying the Measurement of Inventory (Topic 330) . ASU 2015-11 requires inventory to be subsequently measured using the lower of cost and net realizable value, thereby eliminating the market value approach. Net realizable value is defined as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation.” ASU 2015-11 is effective for reporting periods beginning after December 15, 2016 and is applied prospectively. Early adoption is permitted. The Company is evaluating the impact, if any, of adopting this new accounting guidance on its financial statements. In August 2014, the Financial Accounting Standards Board (FASB) issued a new accounting standard to provide guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and to provide related footnote disclosures. The new standard is effective for the Company in the fourth quarter of fiscal 2017 with early adoption permitted. The Company is currently evaluating adoption methods and whether this standard will have a material impact on its financial statements and related disclosures. In May 2014, the FASB issued a new accounting standard that requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The new standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. Early application is not permitted. The new standard will be effective for the Company beginning January 1, 2018. The new standard permits the use of either the retrospective or cumulative effect transition method. The Company is currently evaluating adoption methods and whether this standard will have a material impact on its financial statements and related disclosures. In April 2014, the FASB issued a new accounting standard that limits discontinued operations reporting to situations where the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results, and requires expanded disclosures for discontinued operations. The new standard became effective prospectively for disposals occurring in fiscal years beginning after December 15, 2014. The adoption of this standard did not have a material impact on the Company’s financial statements and related disclosures. In 2013, the FASB issued a new accounting standard that requires the presentation of certain unrecognized tax benefits as reductions to deferred tax assets rather than as liabilities in the Consolidated Balance Sheets when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The standard required adoption on a prospective basis in the first quarter of 2015. The adoption of this standard did not have a material impact on the Company’s financial statements and related disclosures. |
Revision of Prior Periods | Revision of Prior Periods During the fourth quarter of 2014, the Company identified errors in its accounting for certain inventory purchases and other operating costs that were originally recognized in the fourth quarter of 2010 through the third quarter of 2014. The identified errors related to the incorrect invoice vouchering of prepayments of inventory purchases and certain operating expense transactions. The Company assessed the materiality of the errors on each financial period impacted in accordance with the SEC’s Staff Accounting Bulletin (“SAB”) No. 99 and SAB No. 108 and concluded that the error was not material to any previously issued financial statements, but was material in the aggregate to the results of the fourth quarter of 2014 and therefore it was not recorded as an out of period adjustment. Accordingly, the financial statements provided herein have been revised to correct these errors. The adjustments related to years prior to 2012 are reflected as a $0.3 million increase to the beginning Accumulated Deficit for 2012. The revision had no net impact on the Company’s net cash provided by operating activities for any period presented. |
Business and Summary of Signi21
Business and Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary of Change in Carrying Amount of Goodwill | The change in the carrying amount of goodwill is as follows (in thousands): Carrying Amount Balance at December 31, 2014 $ 20,535 Divestiture of business — adjustment based on final sale price 364 Balance at September 30, 2015 $ 20,899 |
Summary of Corrections to Company's Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Cash Flow | The following tables summarize the corrections to the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2014 (after adjusting for discontinued operations) and Condensed Consolidated Statements of Cash Flow for the nine months ended September 30, 2014 (in thousands): Three Months Ended As previously reported Adjustment As revised Statements of Operations: Cost of net revenues $ 16,628 $ 58 $ 16,686 Loss before income taxes $ (5,705 ) $ (58 ) $ (5,763 ) Net loss from continuing operations $ (5,338 ) $ (58 ) $ (5,396 ) Basic and diluted net loss per share of common stock from continuing operations $ (0.31 ) $ — $ (0.31 ) Nine Months Ended As previously reported Adjustment As revised Statements of Operations: Cost of net revenues $ 52,015 $ 33 $ 52,048 Loss before income taxes $ (14,925 ) $ (33 ) $ (14,958 ) Net loss from continuing operations $ (14,343 ) $ (33 ) $ (14,376 ) Basic and diluted net loss per share of common stock from continuing operations $ (0.83 ) $ — $ (0.83 ) Nine Months Ended As previously reported Adjustment As revised Statements of Cash Flow: Net loss $ (15,214 ) $ (174 ) $ (15,388 ) Accounts receivable $ 2,753 $ (7 ) $ 2,746 Prepaid expenses and other current assets $ (2,268 ) $ (388 ) $ (2,656 ) Accounts payable $ (13,650 ) $ (13 ) $ (13,663 ) Accrued royalties payable $ (1,920 ) $ (109 ) $ (2,029 ) Accrued and other liabilities $ (943 ) $ 425 $ (518 ) Deferred income taxes $ 331 $ 70 $ 401 Deferred revenue $ (515 ) $ 196 $ (319 ) |
Investments and Fair Value of22
Investments and Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Components of Cash, Cash Equivalents and Short-Term Investments, Including Unrealized Gains and Losses | The components of the Company’s cash, cash equivalents and short-term investments, including unrealized gains and losses associated with each are as follows (in thousands): September 30, 2015 Amortized cost Gross unrealized gains Gross unrealized losses Fair Value Cash and cash equivalents: Cash $ 14,207 $ — $ — $ 14,207 Money market funds 12,109 — — 12,109 Total cash equivalents 26,316 — — 26,316 Short-term investments: Certificates of deposit 14,153 — — 14,153 Total cash and cash equivalents and short term investments $ 40,469 $ — $ — $ 40,469 December 31, 2014 Amortized cost Gross unrealized gains Gross unrealized losses Fair Value Cash and cash equivalents: Cash $ 8,383 $ — $ — $ 8,383 Money market funds 18,588 — — 18,588 Total cash and cash equivalents and short term investments $ 26,971 $ — $ — $ 26,971 |
Fair Value Hierarchy for its Financial Assets and Liabilities | The following table represents the Company’s fair value hierarchy for its financial assets and liabilities (in thousands): September 30, 2015 Total Fair Value Level I Level II Level III Cash and cash equivalents: Money market funds $ 12,109 $ 12,109 $ — $ — Short-term investments: Certificates of deposit 14,153 14,153 — — Total financial assets $ 26,262 $ 26,262 $ — $ — December 31, 2014 Total Fair Value Level I Level II Level III Cash and cash equivalents: Money market funds $ 18,588 $ 18,588 $ — $ — Total financial assets $ 18,588 $ 18,588 $ — $ — |
Balance Sheet Items (Tables)
Balance Sheet Items (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Inventory, Net | Inventory, net are comprised of the following (in thousands): September 30, December 31, 2014 Raw materials $ 5,206 $ 7,153 Finished goods 32 — Less: reserve for obsolescence (695 ) (403 ) Inventory, net $ 4,543 $ 6,750 |
Property and Equipment, Net | Property and equipment, net are comprised of the following (in thousands): September 30, December 31, 2014 Building $ 3,782 $ 3,782 Computer equipment and office furniture 13,347 13,262 Computer software 2,339 2,221 Internal use software and website development 14,176 12,886 Production equipment 18,951 19,276 Leasehold improvements 5,080 4,933 Total property and equipment 57,675 56,360 Less: accumulated depreciation and amortization (48,729 ) (44,701 ) Property and equipment, net $ 8,946 $ 11,659 |
Schedule of Property and Equipment Acquired under Capital Leases | Property and equipment acquired under capital leases are as follows (in thousands): September 30, December 31, 2014 Building $ 3,782 $ 3,782 Less: accumulated depreciation (3,198 ) (2,958 ) Building, net $ 584 $ 824 Production equipment $ 389 $ 389 Less: accumulated depreciation (384 ) (372 ) Production equipment, net $ 5 $ 17 |
Components of Accrued Liabilities | Accrued liabilities consist of the following (in thousands): September 30, December 31, 2014 Payroll and employee related expense $ 2,370 $ 1,673 Production costs 1,177 3,496 Unclaimed royalty payments 1,030 984 Other accrued liabilities 988 2,467 Professional services 648 2,174 Accrued advertising 429 480 Royalties-minimum guarantee 115 439 Allowance for sales returns and chargebacks 84 294 Accrued liabilities $ 6,841 $ 12,007 |
Allowances for Sales Returns and Chargebacks | The following table presents the changes in the allowance for sales returns and chargebacks (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 Balance, beginning of period $ 107 $ 138 $ 294 $ 295 Add: provision 514 811 1,910 2,481 Less: deductions and other adjustments (537 ) (859 ) (2,120 ) (2,686 ) Balance, end of period $ 84 $ 90 $ 84 $ 90 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Summary of Financial Information for discontinued operations | Financial information for the combined discontinued operations is summarized as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net revenues $ 2,440 $ 22,422 $ 22,280 $ 66,273 Cost of net revenues 1,735 13,854 14,623 40,849 Gross profit 705 8,568 7,657 25,424 Operating expenses: Sales and marketing 187 6,194 4,825 18,129 Technology and development 463 1,976 3,030 5,855 General and administrative 282 917 1,375 2,665 Acquisition related costs — 575 — (719 ) Impairment charges — — 7,311 — Restructuring costs — (342 ) — 449 Total operating expenses 932 9,320 16,541 26,379 Loss from operations (227 ) (752 ) (8,884 ) (955 ) Interest expense — (19 ) (17 ) (57 ) Gain on sale of assets 257 — 17,319 — Income (loss) before income taxes 30 (771 ) 8,418 (1,012 ) Provision (benefit) for income taxes (1,580 ) 86 — — Net income (loss) from discontinued operations $ 1,610 $ (857 ) $ 8,418 $ (1,012 ) |
Components of Assets and Liabilities Held for Sale | Components of assets and liabilities held for sale (in thousands): December 31, Assets Cash and cash equivalents $ 3,678 Accounts receivable 7,564 Inventory 2,323 Deferred costs 1,402 Prepaid expense and other current assets 977 Assets held for sale — short term $ 15,944 Property and equipment, net $ 4,513 Goodwill 18,660 Intangible assets, net 9,511 Other assets 207 Assets held for sale — long term $ 32,891 Liabilities Accounts payable $ 8,773 Partner commissions payable 3,486 Accrued royalties payable 1,023 Accrued liabilities 3,575 Deferred revenue 3,936 Capital lease obligations, current 32 Liabilities held for sale — short-term $ 20,825 Liabilities held for sale — long term $ 79 |
EZ Prints [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Summary of Condensed Cash Flow Information Discontinued Operations | Condensed cash flow information for EZ Prints discontinued operations is summarized as follows (in thousands): Nine Months Ended September 30, 2015 2014 Cash Flows from Operating Activities: Net loss $ (9,386 ) $ (4,287 ) Adjustments to reconcile net loss to net cash (used in) provided by operating activities: Depreciation and amortization 555 883 Amortization of intangible assets 1,229 1,846 Stock-based compensation 38 64 Change in fair value of contingent consideration liability — (194 ) Gain on sale of assets (257 ) — Impairment charge 7,311 — Change in operating assets and liabilities 295 3,363 Net cash (used in) provided by operating activities (215 ) 1,675 Cash Flows from Investing Activities: Purchase of property and equipment (121 ) (154 ) Capitalization of software and website development costs (127 ) (167 ) Divestiture of business, cash (3,215 ) — Net cash used in investing activities (3,463 ) (321 ) Cash Flows from Financing Activities: Principal payments on capital lease obligations — (23 ) Net cash used in financing activities — (23 ) Net (decrease) increase in cash and cash equivalents (3,678 ) 1,331 Cash and cash equivalents — beginning of period 3,678 1,130 Cash and cash equivalents — end of period $ — $ 2,461 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Option Activity Related to Shares of Common Stock | The following table summarizes stock option activity related to shares of common stock (in thousands, except the weighted average exercise price): Number of Stock Options Outstanding Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding — December 31, 2014 2,750 $ 9.70 3.39 $ — Granted 718 4.26 Exercised (148 ) 2.62 Forfeited (1,125 ) 12.50 Outstanding — September 30, 2015 2,195 $ 6.91 5.35 $ 201 Vested and expected to vest — September 30, 2015 1,543 $ 7.86 4.71 $ 124 Options exercisable — September 30, 2015 895 $ 9.88 3.49 $ 45 |
Fair Value of Option Awards | The fair value of the option awards was calculated using the Black-Scholes option valuation model with the following assumptions: Three Months Ended Nine Months Ended 2015 2014 2015 2014 Expected term (in years) 6.0 4.5 5.0 4.5 Risk-free interest rate 1.4 % 1.6 % 1.3 % 1.6 % Expected volatility 47 % 48 % 47 % 48 % Expected dividend rate 0.0 % 0.0 % 0.0 % 0.0 % |
Restricted Stock Award and Restricted Stock Unit Activity | Restricted stock unit activity for the nine months ended September 30, 2015 is summarized as follows (unit numbers in thousands): Number of Units Outstanding Weighted Average Grant Date Fair Value Per Unit Awarded and unvested at December 31, 2014 243 $ 5.81 Granted 316 4.14 Vested (110 ) 5.49 Forfeited and canceled (107 ) 5.85 Awarded and unvested at September 30, 2015 342 $ 4.42 |
Cost of Net Revenues and Operating Expenses Include Stock-Based Compensation | Cost of net revenues and operating expenses include stock-based compensation as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 Cost of net revenues $ 41 $ 41 $ 123 $ 126 Sales and marketing 48 78 242 248 Technology and development 35 67 138 210 General and administrative 295 543 768 1,598 Total stock-based compensation expense $ 419 $ 729 $ 1,271 $ 2,182 |
Net Income (Loss) per Share o26
Net Income (Loss) per Share of Common Stock (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Net Income (Loss) per Share of Common Stock | The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share of common stock (in thousands, except for per share amounts). Three Months Ended Nine Months Ended 2015 2014 2015 2014 Numerator: Net loss from continuing operations $ (3,670 ) $ (5,396 ) $ (7,074 ) $ (14,376 ) Income (loss) from discontinued operations, net of tax 1,610 (857 ) 8,418 (1,012 ) Net income (loss) $ (2,060 ) $ (6,253 ) $ 1,344 $ (15,388 ) Shares used in computing net income (loss) per share of common stock: Basic 17,094 17,324 17,351 17,273 Diluted 17,153 17,324 17,403 17,273 Net income (loss) per share of common stock: Basic: Continuing operations $ (0.21 ) $ (0.31 ) $ (0.41 ) $ (0.83 ) Discontinued operations $ 0.09 $ (0.05 ) $ 0.49 $ (0.06 ) Total $ (0.12 ) $ (0.36 ) $ 0.08 $ (0.89 ) Diluted: Continuing operations $ (0.21 ) $ (0.31 ) $ (0.41 ) $ (0.83 ) Discontinued operations $ 0.09 $ (0.05 ) $ 0.48 $ (0.06 ) Total $ (0.12 ) $ (0.36 ) $ 0.08 $ (0.89 ) |
Computation of Diluted Net Income (Loss) per Share of Common Stock | The following outstanding shares of potentially dilutive securities were excluded from the computation of diluted net income (loss) per share of common stock for the periods in which the Company incurred a loss because including them would have been antidilutive: September 30, 2015 2014 Stock options to purchase common stock 2,195 2,898 Restricted stock units 342 318 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Revenues by Geographic Region | The Company’s revenues by geographic region, based on the location to where the product was shipped, are summarized as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 United States $ 16,995 $ 21,683 $ 56,830 $ 68,792 International 2,477 4,214 7,982 12,820 Total $ 19,472 $ 25,897 $ 64,812 $ 81,612 |
Restructuring (Tables)
Restructuring (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Summary of Change in Restructuring Liability | The change in the restructuring liability is summarized as follows: Three Months Ended Nine Months Ended 2015 2014 2015 2014 Accrued restructuring balance, beginning of period $ 33 $ — $ — $ — Employee severance 4 — 199 — Lease restructuring — 42 331 42 Cash payments (37 ) (42 ) (530 ) (42 ) Accrued restructuring balance, end of period $ — $ — $ — $ — |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future Minimum Lease Payments Under Noncancelable Operating and Capital Leases | Future minimum lease payments under noncancelable operating and capital leases as of September 30, 2015 are as follows: Years Ended December 31, Capital leases Operating leases Remaining three months of 2015 $ 155 $ 381 2016 607 947 2017 355 917 2018 — 637 2019 — 19 Total minimum lease payments 1,117 $ 2,901 Less amount representing interest (67 ) Present value of capital lease obligations 1,050 Less current portion (559 ) Long-term portion of capital lease obligations $ 491 |
Business and Summary of Signi30
Business and Summary of Significant Accounting Policies - Additional Information (Detail) | Sep. 01, 2015USD ($) | Jul. 02, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Sep. 30, 2015SegmentReporting_Unit | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | Jul. 01, 2015 | Dec. 31, 2011USD ($) |
Subsidiary or Equity Method Investee [Line Items] | |||||||||
Date of incorporation | Oct. 18, 1999 | ||||||||
Date of reincorporation | Jan. 19, 2005 | ||||||||
Number of operating segments | Segment | 1 | ||||||||
Reporting unit | Reporting_Unit | 1 | ||||||||
Updated impairment analysis, description | Based on the Company’s goodwill impairment analyses performed as of September 30, 2014 and as of December 31, 2014, which considered cash flows from continuing operations, excluding the sale of its InvitationBox.com, Art, and Groups businesses there was excess fair value over carrying value of 20% and 27%, respectively. Accordingly, the Company concluded that step two of the goodwill impairment tests were not required at either of these dates and no impairment was recorded. | ||||||||
Percentage of fair value in excess of carrying amount | 7.00% | 6.00% | 3.00% | 20.00% | 27.00% | 6.00% | |||
Impairment of goodwill | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | |||
Increase to beginning accumulated deficit | $ 300,000 |
Business and Summary of Signi31
Business and Summary of Significant Accounting Policies - Summary of Change in Carrying Amount of Goodwill (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Goodwill [Roll Forward] | |
Balance at December 31, 2014 | $ 20,535 |
Divestiture of business - adjustment based on final sale price | 364 |
Balance at September 30, 2015 | $ 20,899 |
Business and Summary of Signi32
Business and Summary of Significant Accounting Policies - Summary of Corrections to Company's Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Cash Flow (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Statements of Operations: | ||||
Cost of net revenues | $ 11,463 | $ 16,686 | $ 39,213 | $ 52,048 |
Loss before income taxes | (2,149) | (5,763) | (6,966) | (14,958) |
Net loss from continuing operations | (3,670) | $ (5,396) | (7,074) | $ (14,376) |
Basic and diluted net loss per share of common stock from continuing operations | $ (0.31) | $ (0.83) | ||
Statements of Cash Flow: | ||||
Net loss | $ (2,060) | $ (6,253) | 1,344 | $ (15,388) |
Accounts receivable | 209 | 2,746 | ||
Prepaid expenses and other current assets | 1,646 | (2,656) | ||
Accounts payable | (6,709) | (13,663) | ||
Accrued royalties payable | (2,649) | (2,029) | ||
Accrued and other liabilities | (5,509) | (518) | ||
Deferred income taxes | 82 | 401 | ||
Deferred revenue | $ (1,110) | (319) | ||
As Previously Reported [Member] | ||||
Statements of Operations: | ||||
Cost of net revenues | 16,628 | 52,015 | ||
Loss before income taxes | (5,705) | (14,925) | ||
Net loss from continuing operations | $ (5,338) | $ (14,343) | ||
Basic and diluted net loss per share of common stock from continuing operations | $ (0.31) | $ (0.83) | ||
Statements of Cash Flow: | ||||
Net loss | $ (15,214) | |||
Accounts receivable | 2,753 | |||
Prepaid expenses and other current assets | (2,268) | |||
Accounts payable | (13,650) | |||
Accrued royalties payable | (1,920) | |||
Accrued and other liabilities | (943) | |||
Deferred income taxes | 331 | |||
Deferred revenue | (515) | |||
Adjustment [Member] | ||||
Statements of Operations: | ||||
Cost of net revenues | $ 58 | 33 | ||
Loss before income taxes | (58) | (33) | ||
Net loss from continuing operations | $ (58) | $ (33) | ||
Basic and diluted net loss per share of common stock from continuing operations | $ 0 | $ 0 | ||
Statements of Cash Flow: | ||||
Net loss | $ (174) | |||
Accounts receivable | (7) | |||
Prepaid expenses and other current assets | (388) | |||
Accounts payable | (13) | |||
Accrued royalties payable | (109) | |||
Accrued and other liabilities | 425 | |||
Deferred income taxes | 70 | |||
Deferred revenue | $ 196 |
Investments and Fair Value of33
Investments and Fair Value of Financial Instruments - Components of Cash, Cash Equivalents and Short-Term Investments, Including Unrealized Gains and Losses (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized cost | $ 26,316 | $ 26,971 | $ 8,268 | $ 32,205 |
Gross unrealized gains | 0 | |||
Gross unrealized losses | 0 | |||
Fair value | 26,316 | |||
Amortized cost | 14,153 | 0 | ||
Total cash and cash equivalents and short-term investments, Amortized cost | 40,469 | 26,971 | ||
Total cash and cash equivalents and short term investments, Gross unrealized gains | 0 | 0 | ||
Total cash and cash equivalents and short term investments, Gross unrealized losses | 0 | 0 | ||
Total cash and cash equivalents and short term investments, Fair value | 40,469 | 26,971 | ||
Certificates of deposit [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized cost | 14,153 | |||
Gross unrealized gains | 0 | |||
Gross unrealized losses | 0 | |||
Fair value | 14,153 | |||
Cash [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized cost | 14,207 | 8,383 | ||
Gross unrealized gains | 0 | 0 | ||
Gross unrealized losses | 0 | 0 | ||
Fair value | 14,207 | 8,383 | ||
Money market funds [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Amortized cost | 12,109 | 18,588 | ||
Gross unrealized gains | 0 | 0 | ||
Gross unrealized losses | 0 | 0 | ||
Fair value | $ 12,109 | $ 18,588 |
Investments and Fair Value of34
Investments and Fair Value of Financial Instruments - Fair Value Hierarchy for its Financial Assets and Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Cash and cash equivalents: | ||
Fair value | $ 26,316 | |
Short-term investments: | ||
Total financial assets | 26,262 | $ 18,588 |
Certificates of deposit [Member] | ||
Short-term investments: | ||
Fair value | 14,153 | |
Money market funds [Member] | ||
Cash and cash equivalents: | ||
Fair value | 12,109 | 18,588 |
Level I [Member] | ||
Short-term investments: | ||
Total financial assets | 26,262 | 18,588 |
Level I [Member] | Certificates of deposit [Member] | ||
Short-term investments: | ||
Fair value | 14,153 | |
Level I [Member] | Money market funds [Member] | ||
Cash and cash equivalents: | ||
Fair value | 12,109 | 18,588 |
Level II [Member] | ||
Short-term investments: | ||
Total financial assets | 0 | 0 |
Level II [Member] | Certificates of deposit [Member] | ||
Short-term investments: | ||
Fair value | 0 | |
Level II [Member] | Money market funds [Member] | ||
Cash and cash equivalents: | ||
Fair value | 0 | 0 |
Level III [Member] | ||
Short-term investments: | ||
Total financial assets | 0 | 0 |
Level III [Member] | Certificates of deposit [Member] | ||
Short-term investments: | ||
Fair value | 0 | |
Level III [Member] | Money market funds [Member] | ||
Cash and cash equivalents: | ||
Fair value | $ 0 | $ 0 |
Balance Sheet Items - Schedule
Balance Sheet Items - Schedule of Inventory, Net (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Raw materials | $ 5,206 | $ 7,153 |
Finished goods | 32 | 0 |
Less: reserve for obsolescence | (695) | (403) |
Inventory, net | $ 4,543 | $ 6,750 |
Balance Sheet Items - Property
Balance Sheet Items - Property and Equipment, Net (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 57,675 | $ 56,360 |
Less: accumulated depreciation and amortization | (48,729) | (44,701) |
Property and equipment, net | 8,946 | 11,659 |
Computer software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 2,339 | 2,221 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 3,782 | 3,782 |
Computer equipment and office furniture [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 13,347 | 13,262 |
Internal use software and website development [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 14,176 | 12,886 |
Production equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 18,951 | 19,276 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 5,080 | $ 4,933 |
Balance Sheet Items - Schedul37
Balance Sheet Items - Schedule of Property and Equipment Acquired under Capital Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Building [Member] | ||
Capital Leased Assets [Line Items] | ||
Building and Production equipment | $ 3,782 | $ 3,782 |
Less: accumulated depreciation | (3,198) | (2,958) |
Building and Production equipment, net | 584 | 824 |
Production equipment [Member] | ||
Capital Leased Assets [Line Items] | ||
Building and Production equipment | 389 | 389 |
Less: accumulated depreciation | (384) | (372) |
Building and Production equipment, net | $ 5 | $ 17 |
Balance Sheet Items - Additiona
Balance Sheet Items - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Property, Plant and Equipment [Line Items] | ||||
Depreciation and amortization expense | $ 1,600 | $ 1,800 | $ 5,439 | $ 7,497 |
Depreciation expense for assets under capital leases | $ 100 | $ 100 | 300 | 300 |
Continuing operations [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Depreciation and amortization expense | $ 4,900 | $ 5,600 |
Balance Sheet Items - Component
Balance Sheet Items - Components of Accrued Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||
Payroll and employee related expense | $ 2,370 | $ 1,673 | ||||
Production costs | 1,177 | 3,496 | ||||
Unclaimed royalty payments | 1,030 | 984 | ||||
Other accrued liabilities | 988 | 2,467 | ||||
Professional services | 648 | 2,174 | ||||
Accrued advertising | 429 | 480 | ||||
Royalties-minimum guarantee | 115 | 439 | ||||
Allowance for sales returns and chargebacks | 84 | $ 107 | 294 | $ 90 | $ 138 | $ 295 |
Accrued liabilities | $ 6,841 | $ 12,007 |
Balance Sheet Items - Allowance
Balance Sheet Items - Allowances for Sales Returns and Chargebacks (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Movement in Valuation Allowances and Reserves [Roll Forward] | ||||
Balance, beginning of period | $ 107 | $ 138 | $ 294 | $ 295 |
Add: provision | 514 | 811 | 1,910 | 2,481 |
Less: deductions and other adjustments | (537) | (859) | (2,120) | (2,686) |
Balance, end of period | $ 84 | $ 90 | $ 84 | $ 90 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) - USD ($) | Sep. 01, 2015 | Mar. 06, 2015 | Mar. 01, 2015 | Nov. 05, 2014 | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | Mar. 31, 2015 | Sep. 30, 2015 | Sep. 30, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Increase in shareholders equity through agreement | $ 40,300,000 | $ 40,300,000 | ||||||||
Impairment charge | $ 7,311,000 | $ 0 | ||||||||
Proceeds from sale of business | 34,438,000 | 0 | ||||||||
Phoenix Online LLC [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Payment of percentage revenue in period | 5 years | |||||||||
Phoenix Online LLC [Member] | Maximum [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Assumed lease | $ 900,000 | |||||||||
Phoenix Online LLC [Member] | Condition one [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Percentage of gross revenue | 5.00% | |||||||||
Phoenix Online LLC [Member] | Condition two [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Percentage of gross revenue | 3.00% | |||||||||
Phoenix Online LLC [Member] | Condition Three [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Percentage of gross revenue | 2.00% | |||||||||
Circle Graphics, Inc. [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from sale of business | $ 28,500,000 | |||||||||
Escrow deposits related to property sales | $ 2,400,000 | |||||||||
Logo Sportswear Inc. [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Proceeds from sale of business | $ 9,200,000 | |||||||||
Escrow deposits related to property sales | $ 1,000,000 | |||||||||
EZ Prints [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Impairment charge | $ 7,300,000 | $ 7,311,000 | $ 0 | |||||||
Gain on sale of discontinued operations | $ 300,000 | |||||||||
Total consideration for the sale of business | $ 600,000 | |||||||||
Proceeds from sale of business | 100,000 | |||||||||
Notes receivable as part of sale of business | 500,000 | |||||||||
Payment to a customer as part of closing of sale of business | $ 1,250,000 | |||||||||
Transition services agreement, period | 1 year |
Discontinued Operations - Summa
Discontinued Operations - Summary of Financial Information for Discontinued Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Operating expenses: | ||||
Impairment charges | $ 7,311 | $ 0 | ||
Net income (loss) from discontinued operations | $ 1,610 | $ (857) | 8,418 | (1,012) |
InvitationBox.com [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Net revenues | 2,440 | 22,422 | 22,280 | 66,273 |
Cost of net revenues | 1,735 | 13,854 | 14,623 | 40,849 |
Gross profit | 705 | 8,568 | 7,657 | 25,424 |
Operating expenses: | ||||
Sales and marketing | 187 | 6,194 | 4,825 | 18,129 |
Technology and development | 463 | 1,976 | 3,030 | 5,855 |
General and administrative | 282 | 917 | 1,375 | 2,665 |
Acquisition related costs | 0 | 575 | 0 | (719) |
Impairment charges | 0 | 0 | 7,311 | 0 |
Restructuring costs | 0 | (342) | 0 | 449 |
Total operating expenses | 932 | 9,320 | 16,541 | 26,379 |
Loss from operations | (227) | (752) | (8,884) | (955) |
Interest expense | 0 | (19) | (17) | (57) |
Gain on sale of assets | 257 | 0 | 17,319 | 0 |
Income (loss) before income taxes | 30 | (771) | 8,418 | (1,012) |
Provision (benefit) for income taxes | (1,580) | 86 | 0 | 0 |
Net income (loss) from discontinued operations | $ 1,610 | $ (857) | $ 8,418 | $ (1,012) |
Discontinued Operations - Compo
Discontinued Operations - Components of Assets and Liabilities Held for Sale (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Assets | ||
Assets held for sale - short term | $ 0 | $ 15,944 |
Assets held for sale - long term | 0 | 32,891 |
Liabilities | ||
Liabilities held for sale - short-term | 0 | 20,825 |
Liabilities held for sale - long term | $ 0 | 79 |
InvitationBox.com [Member] | ||
Assets | ||
Cash and cash equivalents | 3,678 | |
Accounts receivable | 7,564 | |
Inventory | 2,323 | |
Deferred costs | 1,402 | |
Prepaid expense and other current assets | 977 | |
Assets held for sale - short term | 15,944 | |
Property and equipment, net | 4,513 | |
Goodwill | 18,660 | |
Intangible assets, net | 9,511 | |
Other assets | 207 | |
Assets held for sale - long term | 32,891 | |
Liabilities | ||
Accounts payable | 8,773 | |
Partner commissions payable | 3,486 | |
Accrued royalties payable | 1,023 | |
Accrued liabilities | 3,575 | |
Deferred revenue | 3,936 | |
Capital lease obligations, current | 32 | |
Liabilities held for sale - short-term | 20,825 | |
Liabilities held for sale - long term | $ 79 |
Discontinued Operations - Sum44
Discontinued Operations - Summary of Condensed Cash Flow Information Discontinued Operations (Detail) - USD ($) $ in Thousands | Sep. 01, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 |
Cash Flows from Operating Activities: | ||||||
Income (loss) from discontinued operations, net of tax | $ 1,610 | $ (857) | $ 8,418 | $ (1,012) | ||
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ||||||
Impairment charge | 7,311 | 0 | ||||
Cash Flows from Investing Activities: | ||||||
Proceeds from sale of business | 34,438 | 0 | ||||
EZ Prints [Member] | ||||||
Cash Flows from Operating Activities: | ||||||
Income (loss) from discontinued operations, net of tax | (9,386) | (4,287) | ||||
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ||||||
Depreciation and amortization | 555 | 883 | ||||
Amortization of intangible assets | 1,229 | 1,846 | ||||
Stock-based compensation | 38 | 64 | ||||
Change in fair value of contingent consideration liability | 0 | (194) | ||||
Gain on sale of assets | (257) | 0 | ||||
Impairment charge | $ 7,300 | 7,311 | 0 | |||
Change in operating assets and liabilities | 295 | 3,363 | ||||
Net cash (used in) provided by operating activities | (215) | 1,675 | ||||
Cash Flows from Investing Activities: | ||||||
Purchase of property and equipment | (121) | (154) | ||||
Capitalization of software and website development costs | (127) | (167) | ||||
Proceeds from sale of business | $ 100 | |||||
Divestiture of businesses, cash | (3,215) | 0 | ||||
Net cash used in investing activities | (3,463) | (321) | ||||
Cash Flows from Financing Activities: | ||||||
Principal payments on capital lease obligations | 0 | (23) | ||||
Net cash used in financing activities | 0 | (23) | ||||
Net (decrease) increase in cash and cash equivalents | (3,678) | 1,331 | ||||
Cash and cash equivalents - beginning of period | 3,678 | 1,130 | ||||
Cash and cash equivalents - end of period | $ 0 | $ 2,461 | $ 0 | $ 2,461 |
Line of Credit - Additional Inf
Line of Credit - Additional Information (Detail) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Dec. 31, 2014 | Jul. 31, 2014 | Mar. 31, 2013 | |
Line of Credit Facility [Line Items] | ||||
Letter of credit expiration date | Sep. 15, 2020 | |||
Facility Lease Amendment [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Letter of credit | $ 1,500,000 | |||
Revolving credit facility expiring march 2015 [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Line of credit facility, maximum credit availability | $ 6,500,000 | $ 5,000,000 | ||
Draws against the facility | $ 0 | $ 0 | ||
Revolving credit facility expiring march 2015 [Member] | London inter bank offer rate [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Interest rate added to the reference rate | 1.75% | 1.75% | ||
Revolving credit facility expiring march 2015 [Member] | Prime rate [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Interest rate added to the reference rate | 0.75% | 0.75% |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||
Expected dividend rate | 0.00% | 0.00% | 0.00% | 0.00% |
Dividends paid | $ 0 | $ 0 | $ 0 | $ 0 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity Related to Shares of Common Stock (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2015 | Dec. 31, 2014 | |
Number of Stock Options Outstanding | ||
Beginning balance, options | 2,750 | |
Granted, options | 718 | |
Exercised, options | (148) | |
Forfeited, options | (1,125) | |
Ending balance, options | 2,195 | 2,750 |
Number of stock options outstanding, options vested and expected to vest | 1,543 | |
Number of stock options outstanding, options exercisable | 895 | |
Weighted- Average Exercise Price | ||
Beginning balance (usd per option) | $ 9.70 | |
Granted (usd per option) | 4.26 | |
Exercised (usd per option) | 2.62 | |
Forfeited (usd per option) | 12.50 | |
Ending balance (usd per option) | 6.91 | $ 9.70 |
Weighted-average exercise price, options vested and expected to vest | 7.86 | |
Weighted-average exercise price, options exercisable | $ 9.88 | |
Weighted-average remaining contractual life (years), Outstanding | 5 years 4 months 6 days | 3 years 4 months 21 days |
Weighted-average remaining contractual life (years), options vested and expected to vest | 4 years 8 months 16 days | |
Weighted-average remaining contractual life (years), options exercisable | 3 years 5 months 27 days | |
Aggregate intrinsic value, outstanding | $ 201 | |
Aggregate intrinsic value, options vested and expected to vest | 124 | |
Aggregate Intrinsic Value, options exercisable | $ 45 |
Stock-Based Compensation - Fair
Stock-Based Compensation - Fair Value of Option Awards (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||
Expected term (in years) | 6 years | 4 years 6 months | 5 years | 4 years 6 months |
Risk-free interest rate | 1.40% | 1.60% | 1.30% | 1.60% |
Expected volatility | 47.00% | 48.00% | 47.00% | 48.00% |
Expected dividend rate | 0.00% | 0.00% | 0.00% | 0.00% |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock Award and Restricted Stock Unit Activity (Detail) shares in Thousands | 9 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Number of Units Outstanding | |
Awarded and unvested, restricted stock units, beginning balance | shares | 243 |
Granted, restricted stock units | shares | 316 |
Vested, restricted stock units | shares | (110) |
Forfeited and cancelled, restricted stock units | shares | (107) |
Awarded and unvested, restricted stock units, ending balance | shares | 342 |
Weighted Average Grant Date Fair Value Per Unit | |
Awarded and unvested, beginning balance (usd per unit) | $ 5.81 |
Granted (usd per unit) | 4.14 |
Vested (usd per unit) | 5.49 |
Forfeited and cancelled (usd per unit) | 5.85 |
Awarded and unvested, ending balance (usd per unit) | $ 4.42 |
Stock-Based Compensation - Cost
Stock-Based Compensation - Cost of Net Revenues and Operating Expenses Include Stock-Based Compensation (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | $ 1,316 | $ 2,287 | ||
Continuing operations [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | $ 419 | $ 729 | 1,271 | 2,182 |
Continuing operations [Member] | Cost of net revenues [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 41 | 41 | 123 | 126 |
Continuing operations [Member] | Sales and marketing [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 48 | 78 | 242 | 248 |
Continuing operations [Member] | Technology and development [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 35 | 67 | 138 | 210 |
Continuing operations [Member] | General and administrative [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | $ 295 | $ 543 | $ 768 | $ 1,598 |
Stock Repurchase Program - Addi
Stock Repurchase Program - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended |
May. 31, 2015 | Sep. 30, 2015 | Sep. 30, 2015 | |
Equity, Class of Treasury Stock [Line Items] | |||
Stock repurchase in shares | 3,500,000 | ||
Stock repurchase in period | 1 year | ||
Stock repurchase, description | In May 2015, the Company’s Board of Directors approved a stock repurchase program of up to 20% of the outstanding shares of its common stock or an aggregate of 3.5 million shares of the Company’s common stock, whichever is less, over a period of one year . | ||
Common stock [Member] | |||
Equity, Class of Treasury Stock [Line Items] | |||
Treasury stock, shares, repurchased | 148,383 | 637,570 | |
Treasury stock, average cost per share | $ 4.41 | $ 4.60 | |
Treasury stock, value | $ 0.7 | $ 2.9 | |
Maximum [Member] | |||
Equity, Class of Treasury Stock [Line Items] | |||
Percentage of stock repurchase on outstanding shares | 20.00% |
Net Income (Loss) per Share o52
Net Income (Loss) per Share of Common Stock - Basic and Diluted Net Income (Loss) per Share of Common Stock (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Earnings Per Share [Abstract] | ||||
Net loss from continuing operations | $ (3,670) | $ (5,396) | $ (7,074) | $ (14,376) |
Income (loss) from discontinued operations, net of tax | 1,610 | (857) | 8,418 | (1,012) |
Net income (loss) | $ (2,060) | $ (6,253) | $ 1,344 | $ (15,388) |
Shares used in computing net income (loss) per share of common stock: | ||||
Basic (usd per share) | 17,094 | 17,324 | 17,351 | 17,273 |
Diluted (usd per share) | 17,153 | 17,324 | 17,403 | 17,273 |
Basic: | ||||
Continuing operations (usd per share) | $ (0.21) | $ (0.31) | $ (0.41) | $ (0.83) |
Discontinued operations (usd per share) | 0.09 | (0.05) | 0.49 | (0.06) |
Total | (0.12) | (0.36) | 0.08 | (0.89) |
Diluted: | ||||
Continuing operations (usd per share) | (0.21) | (0.31) | (0.41) | (0.83) |
Discontinued operations (usd per share) | 0.09 | (0.05) | 0.48 | (0.06) |
Total | $ (0.12) | $ (0.36) | $ 0.08 | $ (0.89) |
Net Income (Loss) per Share o53
Net Income (Loss) per Share of Common Stock - Computation of Diluted Net Income (Loss) per Share of Common Stock (Detail) - shares shares in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Stock options to purchase common stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Dilutive securities excluded from computation of diluted net (loss) income per share | 2,195 | 2,898 |
Restricted stock units [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Dilutive securities excluded from computation of diluted net (loss) income per share | 342 | 318 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Benefit from income taxes | $ 1,521 | $ (367) | $ 108 | $ (582) |
Non-cash income tax provision for valuation allowance | $ 9,300 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2015SegmentEntitySegment_Manager | |
Segment Reporting [Abstract] | |
Number of business activity | Entity | 1 |
Number of segment managers | Segment_Manager | 0 |
Number of reportable segment | 1 |
Segment Information - Schedule
Segment Information - Schedule of Revenues by Geographic Region (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Total | $ 19,472 | $ 25,897 | $ 64,812 | $ 81,612 |
United States [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total | 16,995 | 21,683 | 56,830 | 68,792 |
International [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total | $ 2,477 | $ 4,214 | $ 7,982 | $ 12,820 |
Restructuring - Additional Info
Restructuring - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Restructuring and Related Activities [Abstract] | ||||
Restructuring costs | $ 4 | $ 42 | $ 530 | $ 42 |
Early lease termination fee | 300 | 300 | ||
Severance costs | $ 4 | $ 0 | $ 199 | $ 0 |
Restructuring - Summary of Chan
Restructuring - Summary of Change in Restructuring Liability (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Restructuring Reserve [Roll Forward] | ||||
Accrued restructuring balance, beginning of period | $ 33 | $ 0 | $ 0 | $ 0 |
Employee severance | 4 | 0 | 199 | 0 |
Lease restructuring | 0 | 42 | 331 | 42 |
Cash payments | (37) | (42) | (530) | (42) |
Accrued restructuring balance, end of period | $ 0 | $ 0 | $ 0 | $ 0 |
Commitments and Contingencies-
Commitments and Contingencies- Additional Information (Detail) | Aug. 01, 2014ft² | May. 31, 2007ft² | Sep. 30, 2015USD ($) | Dec. 31, 2005ft² | Jul. 31, 2020USD ($) | Jul. 31, 2019USD ($) | Jul. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Jun. 12, 2015USD ($) |
Other Commitments [Line Items] | |||||||||
Area of leased production facility under capital lease | ft² | 126,352 | ||||||||
Additional area of leased production facility under capital lease | ft² | 20,000 | ||||||||
Capital lease interest rate | 6.50% | ||||||||
Capital lease, expiration year | 2,017 | ||||||||
Early lease termination fee | $ 300,000 | ||||||||
Operating lease term, expiration year month | 2018-03 | ||||||||
Operating lease early termination effective date | Jan. 31, 2016 | ||||||||
Early lease termination fee | $ 300,000 | ||||||||
Facility Lease Amendment [Member] | |||||||||
Other Commitments [Line Items] | |||||||||
Area of leased office space | ft² | 184,813 | ||||||||
Lease start date | Jul. 31, 2014 | ||||||||
Lease end date | Jul. 31, 2021 | ||||||||
Early lease termination date | Jul. 31, 2018 | ||||||||
EZ Prints [Member] | Georgia [Member] | |||||||||
Other Commitments [Line Items] | |||||||||
Lease agreement with related party, expiration month year | 2016-03 | ||||||||
Forecast [Member] | |||||||||
Other Commitments [Line Items] | |||||||||
Early lease termination fee | $ 1,500,000 | ||||||||
Forecast [Member] | Early Lease Termination Fee [Member] | |||||||||
Other Commitments [Line Items] | |||||||||
Early lease termination fee | $ 429,736 | $ 934,814 | $ 1,512,679 |
Commitments and Contingencies -
Commitments and Contingencies - Future Minimum Lease Payments Under Noncancelable Operating and Capital Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Capital leases | ||
Capital lease, Remaining three months of 2015 | $ 155 | |
Capital leases, 2016 | 607 | |
Capital leases, 2017 | 355 | |
Capital leases, 2018 | 0 | |
Capital Leases, 2019 | 0 | |
Capital leases, Total minimum lease payments | 1,117 | |
Operating leases | ||
Operating leases, Remaining three months of 2015 | 381 | |
Operating leases, 2016 | 947 | |
Operating leases, 2017 | 917 | |
Operating leases, 2018 | 637 | |
Operating Leases, 2019 | 19 | |
Operating leases, Total minimum lease payments | 2,901 | |
Less amount representing interest | (67) | |
Present value of capital lease obligations | 1,050 | |
Less current portion | (559) | $ (494) |
Long-term portion of capital lease obligations | 491 | $ 910 |
Present value of capital lease obligations | $ 1,050 |
Related Party Transaction (Deta
Related Party Transaction (Details) - USD ($) $ in Thousands | Sep. 01, 2015 | Sep. 30, 2015 | Sep. 30, 2014 |
Related Party Transaction [Line Items] | |||
Proceeds from sale of business | $ 34,438 | $ 0 | |
EZ Prints [Member] | |||
Related Party Transaction [Line Items] | |||
Total consideration for the sale of business | $ 600 | ||
Proceeds from sale of business | 100 | ||
Notes receivable as part of sale of business | 500 | ||
Payment to a customer as part of closing of sale of business | $ 1,250 |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent event [Member] ft² in Thousands, $ in Thousands | Oct. 09, 2015USD ($)aft² |
Subsequent Event [Line Items] | |
Area of land to be purchased for corporate offices | a | 1.6 |
Square feet of building to be purchased for corporate offices | ft² | 25 |
Total purchase price of land and building for future corporate offices | $ 1,800 |
Amount due upon closing for purchase of land and building for future corporate offices | 1,650 |
Amount due after closing for purchase of land and building for future corporate offices | $ 150 |
Due diligence period | 60 days |
Period for completion of closing after due diligence period | 30 days |