Document And Entity Information
Document And Entity Information | 9 Months Ended |
Sep. 30, 2020shares | |
Document Information [Line Items] | |
Entity Registrant Name | OTELCO INC. |
Entity Central Index Key | 0001288359 |
Trading Symbol | otel |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Non-accelerated Filer |
Entity Current Reporting Status | Yes |
Entity Emerging Growth Company | false |
Entity Small Business | true |
Entity Interactive Data Current | Yes |
Entity Shell Company | false |
Document Type | 10-Q |
Document Period End Date | Sep. 30, 2020 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | Q3 |
Amendment Flag | false |
Title of 12(b) Security | Class A Common Stock ($0.01 par value per share) |
Common Class A [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding (in shares) | 3,421,794 |
Common Class B [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding (in shares) | 0 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Current assets | ||
Cash and cash equivalents | $ 8,086 | $ 3,113 |
Accounts receivable: | ||
Due from subscribers, net of allowance for doubtful accounts of $253 and $209, respectively | 3,985 | 3,908 |
Other | 1,946 | 1,905 |
Materials and supplies | 3,731 | 3,954 |
Prepaid expenses | 1,310 | 1,624 |
Other assets | 207 | 251 |
Total current assets | 19,265 | 14,755 |
Property and equipment, net | 59,465 | 57,284 |
Goodwill | 44,976 | 44,976 |
Intangible assets, net | 249 | 530 |
Operating lease right-of-use asset | 1,636 | 1,146 |
Investments | 1,458 | 1,477 |
Other assets | 120 | 577 |
Total assets | 127,169 | 120,745 |
Current liabilities | ||
Accounts payable | 1,779 | 1,525 |
Accrued expenses | 5,835 | 4,861 |
Advance billings and payments | 1,606 | 1,618 |
Customer deposits | 27 | 44 |
Current operating lease liability | 398 | 296 |
Current maturity of long-term notes payable, net of debt issuance cost | 3,872 | 3,929 |
Total current liabilities | 13,517 | 12,273 |
Deferred income taxes | 21,521 | 21,521 |
Advance billings and payments | 2,011 | 2,157 |
Other liabilities | 1 | 12 |
Long-term operating lease liability | 1,238 | 850 |
PPP notes payable | 2,975 | |
Long-term notes payable, less current maturities and debt issuance cost | 62,133 | 65,172 |
Total liabilities | 103,396 | 101,985 |
Stockholders' equity | ||
Additional paid in capital | 4,411 | 4,275 |
Retained earnings | 19,328 | 14,451 |
Total stockholders' equity | 23,773 | 18,760 |
Total liabilities and stockholders' equity | 127,169 | 120,745 |
Common Class A [Member] | ||
Stockholders' equity | ||
Class A Common Stock, $.01 par value-authorized 10,000,000 shares; issued and outstanding 3,421,794 and 3,412,805 shares, respectively | $ 34 | $ 34 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Allowance for doubtful accounts | $ 253 | $ 209 |
Common Class A [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, issued (in shares) | 3,421,794 | 3,412,805 |
Common stock, outstanding (in shares) | 3,421,794 | 3,412,805 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenues | $ 15,574 | $ 15,762 | $ 46,464 | $ 47,175 |
Operating expenses | ||||
Cost of services | 7,422 | 7,542 | 22,235 | 22,630 |
Selling, general and administrative expenses | 3,459 | 2,506 | 9,326 | 7,535 |
Depreciation and amortization | 2,088 | 1,873 | 6,163 | 5,698 |
Total operating expenses | 12,969 | 11,921 | 37,724 | 35,863 |
Income from operations | 2,605 | 3,841 | 8,740 | 11,312 |
Other income (expense) | ||||
Interest expense | (931) | (1,315) | (3,100) | (4,044) |
Other income | 6 | 5 | 813 | 604 |
Total other expense | (925) | (1,310) | (2,287) | (3,440) |
Income before income tax expense | 1,680 | 2,531 | 6,453 | 7,872 |
Income tax expense | (452) | (712) | (1,576) | (2,056) |
Net income | $ 1,228 | $ 1,819 | $ 4,877 | $ 5,816 |
Weighted average number of common shares outstanding: | ||||
Basic (in shares) | 3,421,794 | 3,410,936 | 3,421,794 | 3,410,936 |
Diluted (in shares) | 3,440,772 | 3,431,229 | 3,440,772 | 3,431,229 |
Basic net income per common share (in dollars per share) | $ 0.36 | $ 0.53 | $ 1.43 | $ 1.71 |
Diluted net income per common share (in dollars per share) | $ 0.36 | $ 0.53 | $ 1.42 | $ 1.70 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member]Common Class A [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Balance (in shares) at Dec. 31, 2018 | 3,388,624 | |||
Balance at Dec. 31, 2018 | $ 34 | $ 4,213 | $ 6,655 | $ 10,902 |
Net income | 2,281 | 2,281 | ||
Stock-based compensation expense | 71 | 71 | ||
Tax withholdings paid on behalf of employees for restricted stock units | (183) | (183) | ||
Issuance of Class A Stock (in shares) | 22,312 | |||
Issuance of Class A Stock | ||||
Balance (in shares) at Mar. 31, 2019 | 3,410,936 | |||
Balance at Mar. 31, 2019 | $ 34 | 4,101 | 8,936 | 13,071 |
Balance (in shares) at Dec. 31, 2018 | 3,388,624 | |||
Balance at Dec. 31, 2018 | $ 34 | 4,213 | 6,655 | 10,902 |
Net income | 5,816 | |||
Balance (in shares) at Sep. 30, 2019 | 3,410,936 | |||
Balance at Sep. 30, 2019 | $ 34 | 4,203 | 12,471 | 16,708 |
Balance (in shares) at Mar. 31, 2019 | 3,410,936 | |||
Balance at Mar. 31, 2019 | $ 34 | 4,101 | 8,936 | 13,071 |
Net income | 1,716 | 1,716 | ||
Stock-based compensation expense | 43 | 43 | ||
Balance (in shares) at Jun. 30, 2019 | 3,410,936 | |||
Balance at Jun. 30, 2019 | $ 34 | 4,144 | 10,652 | 14,830 |
Net income | 1,819 | 1,819 | ||
Stock-based compensation expense | 59 | 59 | ||
Balance (in shares) at Sep. 30, 2019 | 3,410,936 | |||
Balance at Sep. 30, 2019 | $ 34 | 4,203 | 12,471 | 16,708 |
Balance (in shares) at Dec. 31, 2019 | 3,412,805 | |||
Balance at Dec. 31, 2019 | $ 34 | 4,275 | 14,451 | 18,760 |
Net income | 2,218 | 2,218 | ||
Stock-based compensation expense | 52 | 52 | ||
Tax withholdings paid on behalf of employees for restricted stock units | (20) | (20) | ||
Issuance of Class A Stock (in shares) | 8,989 | |||
Issuance of Class A Stock | ||||
Balance (in shares) at Mar. 31, 2020 | 3,421,794 | |||
Balance at Mar. 31, 2020 | $ 34 | 4,307 | 16,669 | 21,010 |
Balance (in shares) at Dec. 31, 2019 | 3,412,805 | |||
Balance at Dec. 31, 2019 | $ 34 | 4,275 | 14,451 | 18,760 |
Net income | 4,877 | |||
Balance (in shares) at Sep. 30, 2020 | 3,421,794 | |||
Balance at Sep. 30, 2020 | $ 34 | 4,411 | 19,328 | 23,773 |
Balance (in shares) at Mar. 31, 2020 | 3,421,794 | |||
Balance at Mar. 31, 2020 | $ 34 | 4,307 | 16,669 | 21,010 |
Net income | 1,431 | 1,431 | ||
Stock-based compensation expense | 52 | 52 | ||
Balance (in shares) at Jun. 30, 2020 | 3,421,794 | |||
Balance at Jun. 30, 2020 | $ 34 | 4,359 | 18,100 | 22,493 |
Net income | 1,228 | 1,228 | ||
Stock-based compensation expense | 52 | 52 | ||
Balance (in shares) at Sep. 30, 2020 | 3,421,794 | |||
Balance at Sep. 30, 2020 | $ 34 | $ 4,411 | $ 19,328 | $ 23,773 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 4,877,000 | $ 5,816,000 |
Adjustments to reconcile net income to cash flows provided by operating activities: | ||
Depreciation | 5,939,000 | 5,465,000 |
Amortization | 224,000 | 233,000 |
Amortization of loan costs | 379,000 | 342,000 |
Non-cash lease amortization | 311,000 | 166,000 |
Provision for uncollectible accounts receivable | 283,000 | 163,000 |
Stock-based compensation | 156,000 | 173,000 |
Gain on the sale of property | (211,000) | |
Changes in operating assets and liabilities | ||
Accounts receivable | (358,000) | (198,000) |
Materials and supplies | 223,000 | (1,448,000) |
Prepaid expenses and other assets | 771,000 | (337,000) |
Accounts payable and accrued expenses | 1,228,000 | 1,743,000 |
Advance billings and payments | (158,000) | (248,000) |
Other liabilities | (339,000) | (182,000) |
Net cash from operating activities | 13,325,000 | 11,688,000 |
Cash flows used in investing activities: | ||
Acquisition and construction of property and equipment | (8,066,000) | (7,594,000) |
Proceeds from the sale of property | 234,000 | |
Net cash used in investing activities | (7,832,000) | (7,594,000) |
Cash flows used in financing activities: | ||
Loan origination costs | (213,000) | (12,000) |
Principal repayment of long-term notes payable | (3,262,000) | (3,262,000) |
Interest rate cap | 4,000 | |
Tax withholdings paid on behalf of employees for restricted stock units | (20,000) | (183,000) |
Proceeds from PPP loan | 2,975,000 | |
Net cash used in financing activities | (520,000) | (3,453,000) |
Net increase in cash and cash equivalents | 4,973,000 | 641,000 |
Cash and cash equivalents, beginning of period | 3,113,000 | 4,657,000 |
Cash and cash equivalents, end of period | 8,086,000 | 5,298,000 |
Supplemental disclosures of cash flow information: | ||
Interest paid | 2,707,000 | 3,717,000 |
Income taxes paid | $ 788,000 | $ 1,243,000 |
Note 1 - Organization and Basis
Note 1 - Organization and Basis of Financial Reporting | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Nature of Operations [Text Block] | 1. Organization and Basis of Financial Reporting Basis of Presentation and Principles of Consolidation The condensed consolidated financial statements include the accounts of Otelco Inc. (the “Company”) and its subsidiaries, all of which are either directly or indirectly wholly owned. These include: Blountsville Telephone LLC; Brindlee Mountain Telephone LLC; CRC Communications LLC; Granby Telephone LLC; Hopper Telecommunications LLC; Mid-Maine Telecom LLC; Mid-Maine TelPlus LLC; Otelco Mid-Missouri LLC and its wholly owned subsidiary I-Land Internet Services LLC; Otelco Telecommunications LLC; Otelco Telephone LLC; Pine Tree Telephone LLC; Saco River Telephone LLC; Shoreham Telephone LLC; and War Telephone LLC. The accompanying condensed consolidated financial statements include the accounts of the Company and all of the aforesaid subsidiaries after elimination of all material intercompany balances and transactions. The unaudited operating results for the nine September 30, 2020, not may December 31, 2020, The condensed consolidated financial statements and notes included in this Quarterly Report on Form 10 10 December 31, 2019. December 31, 2019 Certain items in prior year's condensed consolidated financial statements have been reclassified to conform with 2020 COVID- 19 A novel strain of coronavirus (COVID- 19 first December 2019, March 11, 2020. 19 March 2020 third 2020, 19 no September 30, 2020, 19 19 CARES Act The Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) was enacted on March 27, 2020. not Additionally, the Company applied for and received funds under the Paycheck Protection Program (the “PPP Loan”) in the amount of $2,975,000. October 1, 2020. not The PPP Loan received by the Company has a two 1.0% may no The PPP Loan was used to retain Otelco's employees and allow them to be able to continue to provide essential telecommunications and data services for its customers during the initial peak of the COVID- 19 four 19 19 Recently Adopted Accounting Pronouncements In February 2016, 2016 02, Leases (Topic 842 2016 02” . December 15, 2018, January 2017, 2017 03, 2016 02 2016 02 January 2018, 2018 01, Leases (Topic 842 842 not 2016 02 not 840, Leases 2016 02 2016 02. July 2018, 2018 10, Codification Improvements to Topic 842, 2016 02. July 2018, 2018 11, Leases (Topic 842 2018 11” not December 2018, 2018 20, Narrow-Scope Improvements for Lessors. March 2019, 2019 01, Codification Improvements. not 250, 2016 02, not not not 2016 02. not two 2018 11; not $1,073,919 no 2016 02 December 31, 2019. In June 2018, 2018 07, Compensation – Stock Compensation (Topic 718 2018 07” . 2017 09, December 15, 2018, no 2014 09, Revenue from Contracts with Customers (Topic 606 2014 09” not In August 2018, 2018 13, Fair Value Measurement (Topic 820 2018 13” . 2018 13, 2018 13 December 15, 2019, not In November 2019, 2019 08, Compensation – Stock Compensation (Topic 718 606 2019 08” 2019 08, 2018 07 2019 08 December 15, 2019, no 2018 07. not not Recent Accounting Pronouncements During 2019, 2019 01 2019 12 2020, 2020 01 2020 08. In November 2018, 2018 19, Codification Improvements to Topic 326, 2018 19” . 2016 13, Financial Instruments - Credit Losses (Topic 326 2016 13” June 2016, first 2016 13, 2018 19. April 2019, 2019 04, Codification Improvements to Topic 326, 815, 825, 2016 13 June 2016, May 2019, 2019 05, Financial Instruments – Credit Losses (Topic 326 2016 13 June 2016, 2016 13, 1 2 326 20 825 10. 2016 13, 2018 19. November 2019, 2019 10, Financial Instruments – Credit Losses (Topic 326 815 842 2019 10” . not not November 2019, 2019 11, Codification Improvements to Topic 326, 2016 13. February 2020, 2020 02, Financial Instruments – Credit Losses (Topic 326 842 2019 10 December 15, 2022, December 15, 2018, not In December 2019, 2019 12, Income Taxes (Topic 740 2019 12” 740. 2019 12 December 15, 2020. not not |
Note 2 - Notes Payable
Note 2 - Notes Payable | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 2. Notes Payable Notes payable consists of the following (in thousands, except percentages) as of: Current Long-term September 30, 2020 December 31, 2019 Loan with CoBank, ACB (the "Credit Facility"); variable interest rate of 4.66% at September 30, 2020, interest is monthly, paid in arrears on the last business day of each month. The Credit Facility is secured by the total assets of the subsidiary guarantors. The unpaid balance is due November 3, 2022. $ 4,350 $ 62,600 $ 66,950 $ 70,212 Debt issuance cost (478 ) (467 ) (945 ) (1,111 ) Notes payable, net of debt issuance cost $ 3,872 $ 62,133 $ 66,005 $ 69,101 Associated with the Credit Facility, the Company incurred $2.3 $212 first 2020. December 31, 2019, $379 $342 nine September 30, 2020, 2019, The revolving credit facility associated with the Company's Credit Facility had a maximum borrowing capacity of $5.0 September 30, 2020. November 3, 2022. no September 30, 2020. 0.50% 0.50% 0.38% October 22, 2018. nine September 30, 2020 0.50% eighty-eight 0.38% one hundred eighty-five $17 $14 nine September 30, 2020, 2019, Maturities of notes payable for the next five no 2020 (remaining) $ 1,088 2021 4,350 2022 61,512 2023 - 2024 - Total $ 66,950 The Company's notes payable agreements are subject to certain financial covenants and restrictions on indebtedness, financial guarantees, business combinations and other related items. As of September 30, 2020, |
Note 3 - Income Tax
Note 3 - Income Tax | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 3. Income Tax Provision for income tax expense was $1.6 nine September 30, 2020, $2.1 nine September 30, 2019. 21.0% September 30, 2020, September 30, 2019, 24.4% 26.1%, |
Note 4 - Net Income Per Common
Note 4 - Net Income Per Common Share | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 4. Net Income per Common Share Basic net income per common share is computed by dividing net income by the weighted-average number of common shares outstanding for the period. Diluted net income per common share reflects the potential dilution that would occur should all of the shares of Class A common stock underlying restricted stock units (“RSUs”) be issued. A reconciliation of the common shares for purposes of the calculation of the Company's basic and diluted net income per common share is as follows (weighted average number of common shares outstanding in whole numbers and net income in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Weighted average number of common shares outstanding - basic 3,421,794 3,410,936 3,421,794 3,410,936 Effect of dilutive securities 18,978 20,293 18,978 20,293 Weighted average number of common shares and potential common shares - diluted 3,440,772 3,431,229 3,440,772 3,431,229 Net income $ 1,228 $ 1,819 $ 4,877 $ 5,816 Net income per common share - basic $ 0.36 $ 0.53 $ 1.43 $ 1.71 Net income per common share - diluted $ 0.36 $ 0.53 $ 1.42 $ 1.70 |
Note 5 - Revenue Streams and Co
Note 5 - Revenue Streams and Concentrations | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 5. Revenue Streams and Concentration s Revenue Streams The Company identifies its revenue streams with similar characteristics as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Local services $ 4,594 $ 13,899 Network access 4,963 14,936 Internet 4,032 11,671 Transport services 1,087 3,289 Video and security 722 2,151 Managed services 176 518 Total revenues $ 15,574 $ 46,464 The Company identifies its revenue streams with similar characteristics as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Local services $ 4,717 $ 14,585 Network access 5,436 15,970 Internet 3,673 10,996 Transport services 1,091 3,143 Video and security 691 2,028 Managed services 154 453 Total revenues $ 15,762 $ 47,175 ASU 2014 09 five The following table identifies revenue generated from customers (in thousands): Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Local services $ 4,594 $ 13,899 Network access 786 2,451 Internet 4,032 11,671 Transport services 1,049 3,176 Video and security 722 2,151 Managed services 176 518 Total revenues generated from customers $ 11,359 $ 33,866 The following table identifies revenue generated from customers (in thousands): Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Local services $ 4,717 $ 14,585 Network access 1,086 3,273 Internet 3,673 10,996 Transport services 1,054 3,030 Video and security 691 2,028 Managed services 154 453 Total revenues generated from customers $ 11,375 $ 34,365 The following table summarizes the revenue generated from contracts with customers among each revenue stream for the three nine September 30, 2020 ( Three Months Ended September 30, 2020 % In-Scope % Total Month to month ("MTM") customers $ 7,239 64.7 % 46.5 % Competitive local exchange carrier ("CLEC") business customers 3,158 28.2 20.3 Network access 487 4.4 3.1 Total revenue streams 10,884 97.3 69.9 Global access* 299 2.7 1.9 Total revenue from contracts with customers 11,183 100.0 % 71.8 Managed services** 176 n/a 1.1 Total revenue generated from customers 11,359 n/a 72.9 Indefeasible rights-of-use agreements** 38 n/a 0.3 Network access** 4,177 n/a 26.8 Total revenues $ 15,574 100.0 % *Fixed fees charged to MTM customers and CLEC business customers. ** Revenue generated from sources not 2014 09. Nine Months Ended September 30, 2020 % In-Scope % Total MTM customers $ 21,298 63.9 % 45.8 % CLEC business customers 9,599 28.8 20.7 Network access 1,534 4.6 3.3 Total revenue streams 32,431 97.3 69.8 Global access* 917 2.7 2.0 Total revenue from contracts with customers 33,348 100.0 % 71.8 Managed services** 518 n/a 1.1 Total revenue generated from customers 33,866 n/a 72.9 Indefeasible rights-of-use agreements** 113 n/a 0.2 Network access** 12,485 n/a 26.9 Total revenues $ 46,464 100.0 % *Fixed fees charged to MTM customers and CLEC business customers. ** Revenue generated from sources not 2014 09. The following table summarizes the revenue generated from contracts with customers among each revenue stream for the three nine September 30, 2019 ( Three Months Ended September 30, 2019 % In-Scope % Total MTM customers $ 6,847 61.0 % 43.4 % CLEC business customers 3,288 29.3 20.9 Network access 640 5.7 4.1 Total revenue streams 10,775 96.0 68.4 Global access* 446 4.0 2.8 Total revenue from contracts with customers 11,221 100.0 % 71.2 Managed services** 154 n/a 1.0 Total revenue generated from customers 11,375 n/a 72.2 Indefeasible rights-of-use agreements** 37 n/a 0.2 Network access** 4,350 n/a 27.6 Total revenues $ 15,762 100.0 % *Fixed fees charged to MTM customers and CLEC business customers. ** Revenue generated from sources not 2014 09. Nine Months Ended September 30, 2019 % In-Scope % Total MTM customers $ 20,769 61.3 % 44.0 % CLEC business customers 9,870 29.1 20.9 Network access 1,908 5.6 4.1 Total revenue streams 32,547 96.0 69.0 Global access* 1,365 4.0 2.9 Total revenue from contracts with customers 33,912 100.0 % 71.9 Managed services** 453 n/a 1.0 Total revenue generated from customers 34,365 n/a 72.9 Indefeasible rights-of-use agreements** 113 n/a 0.2 Network access** 12,697 n/a 26.9 Total revenues $ 47,175 100.0 % *Fixed fees charged to MTM customers and CLEC business customers. ** Revenue generated from sources not 2014 09. Payment terms vary by customer. The Company typically invoices customers in the month following when the service was provided. The term between invoicing and when payment is due is less than a year and is not Revenue is recognized net of taxes collected on behalf of third As of September 30, 2020, $6.6 September 30, 2020, $944 $5.4 two five not one The deferred revenue balance as of June 30, 2020, $3.7 $1.4 three September 30, 2020, September 30, 2020, Revenue Concentrations Revenues from the FCC Universal Service Fund, Connect America Fund, and Alternative Connect America Cost Model funding are used to improve and upgrade the Company's network to promote support for the availability and affordability of advanced telecommunications services. Revenues from these sources amounted to 23.9% 24.3% nine September 30, 2020, 2019, |
Note 6 - Commitments and Contin
Note 6 - Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 6. Commitments and Contingencies From time to time, the Company may may none |
Note 7 - Leases
Note 7 - Leases | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | 7. Leases ASU 2016 02 1, Organization and Basis of Financial Reporting – Recently Adopted Accounting Pronouncements not not not 2016 02. not two 2018 11; not January 1, 2019, $1,073,919 no In consideration of whether an agreement contains a lease as defined under ASU 2016 02, three three 2016 02. In calculating the lease liability, the Company considered the lease term in which the Company would include any periods covered by an option to extend the lease if the lessee is reasonably certain to exercise that option. The Company evaluated factors that might create an economic incentive to exercise options to extend, including contract, asset, entity and market-based factors. The Company determined that there would be no not A lessee may 12 not In discounting the liability, ASU 2016 02 5.0% 7.0% 5 10 Maturities of lease liabilities as of September 30, 2020 Leased Real Property and Office Facilities 2020 (remaining) $ 123 2021 460 2022 302 2023 285 2024 153 Thereafter 691 Total lease payments $ 2,014 Less: Interest (378 ) Present value of lease liabilities $ 1,636 Supplemental cash flow information related to operating leases was as follows (in thousands, except years and percentages): Three Months Ended September 30, 2020 September 30, 2019 Cash paid for amounts included in the measurment of lease liabilities: Operating cash outflow from operating leases (122 ) (108 ) Weighted-average remaining lease term - operating leases (in years) 6.5 3.6 Weighted-average discount rate - operating leases 6.5 % 6.5 % Nine Months Ended September 30, 2020 September 30, 2019 Cash paid for amounts included in the measurment of lease liabilities: Operating cash outflow from operating leases (365 ) (325 ) Weighted-average remaining lease term - operating leases (in years) 6.5 3.6 Weighted-average discount rate - operating leases 6.5 % 6.5 % |
Note 8 - Stock Plans
Note 8 - Stock Plans | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Shareholders' Equity and Share-based Payments [Text Block] | 8. Stock Plans The Company has previously granted RSUs underlying 401,111 December 31, 2018. one five 401,111 334,799 December 31, 2018. no no 2019. nine September 30, 2020, 14,500 fourteen The following table summarizes RSU activity for the nine September 30, 2019: Weighted Average Grant Date RSUs Fair Value Outstanding at December 31, 2018 66,312 $ 9.06 Granted - - Vested (34,202 ) 5.09 Forfeited or cancelled (11,817 ) 13.30 Outstanding at September 30, 2019 20,293 13.30 The following table summarizes RSU activity for the nine September 30, 2020: Weighted Average Grant Date RSUs Fair Value Outstanding at December 31, 2019 17,648 $ 13.30 Granted 14,500 9.22 Vested (12,920 ) 13.30 Forfeited or cancelled (250 ) 9.22 Outstanding at September 30, 2020 18,978 10.24 Stock-based compensation expense related to RSUs was $49 $108 nine September 30, 2020, 2019, 60 As of September 30, 2020, 2019, $131 $108 2024. On October 15, 2018, 29,460 20,540 five 20% October 15, 2019, one no The following table summarizes ISO and NQ stock option activity for the nine September 30, 2019: Weighted Average ISOs and NQ Grant Date Stock Options Fair Value Outstanding at December 31, 2018 50,000 $ 16.97 Granted - - Vested - - Forfeited or cancelled - - Outstanding at September 30, 2019 50,000 16.97 On January 2, 2020, 34,500 30,000 five 20% January 1, 2021, one fourteen no The following table summarizes ISO and NQ stock option activity for the nine September 30, 2020: Weighted Average ISOs and NQ Grant Date Stock Options Fair Value Outstanding at December 31, 2019 40,000 $ 16.97 Granted 64,500 9.22 Vested - - Forfeited or cancelled (250 ) 9.22 Outstanding at September 30, 2020 104,250 12.19 Stock-based compensation expense related to ISOs and NQ stock options was $107 $65 nine September 30, 2020, 2019, As of September 30, 2020, 2019, $503 $351 2024. |
Note 9 - Goodwill
Note 9 - Goodwill | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | 9. Goodwill The Company evaluated its goodwill for impairment as of September 30, 2020, 19 not September 30, 2020. |
Note 10 - Subsequent Events
Note 10 - Subsequent Events | 9 Months Ended |
Sep. 30, 2020 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 10. Subsequent Events On July 27, 2020, 8 July 26, 2020 ( may August 20, 2020, 14A September 9, 2020, 14A October 9, 2020 On September 1, 2020, No. 1:20 01165 September 21, 2020, 1:20 07756 14 1934 14a 9 20 1934. While Otelco believes that the disclosures set forth in the Preliminary Proxy Statement and Definitive Proxy Statement complied fully with applicable law, to resolve the alleged stockholders' claims and moot the disclosure claims, to avoid nuisance, potential expense, and delay and to provide additional information to our stockholders, the Company voluntarily supplemented the Definitive Proxy Statement with additional disclosures filed with the SEC on October 1, 2020. On October 9, 2020, On November 3, 2020, $3.5 six |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation and Principles of Consolidation The condensed consolidated financial statements include the accounts of Otelco Inc. (the “Company”) and its subsidiaries, all of which are either directly or indirectly wholly owned. These include: Blountsville Telephone LLC; Brindlee Mountain Telephone LLC; CRC Communications LLC; Granby Telephone LLC; Hopper Telecommunications LLC; Mid-Maine Telecom LLC; Mid-Maine TelPlus LLC; Otelco Mid-Missouri LLC and its wholly owned subsidiary I-Land Internet Services LLC; Otelco Telecommunications LLC; Otelco Telephone LLC; Pine Tree Telephone LLC; Saco River Telephone LLC; Shoreham Telephone LLC; and War Telephone LLC. The accompanying condensed consolidated financial statements include the accounts of the Company and all of the aforesaid subsidiaries after elimination of all material intercompany balances and transactions. The unaudited operating results for the nine September 30, 2020, not may December 31, 2020, The condensed consolidated financial statements and notes included in this Quarterly Report on Form 10 10 December 31, 2019. December 31, 2019 Certain items in prior year's condensed consolidated financial statements have been reclassified to conform with 2020 |
Effect of Covid-19 Pandemic [Policy Text Block] | COVID- 19 A novel strain of coronavirus (COVID- 19 first December 2019, March 11, 2020. 19 March 2020 third 2020, 19 no September 30, 2020, 19 19 |
CARES Act [Policy Text Block] | CARES Act The Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) was enacted on March 27, 2020. not Additionally, the Company applied for and received funds under the Paycheck Protection Program (the “PPP Loan”) in the amount of $2,975,000. October 1, 2020. not The PPP Loan received by the Company has a two 1.0% may no The PPP Loan was used to retain Otelco's employees and allow them to be able to continue to provide essential telecommunications and data services for its customers during the initial peak of the COVID- 19 four 19 19 |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted Accounting Pronouncements In February 2016, 2016 02, Leases (Topic 842 2016 02” . December 15, 2018, January 2017, 2017 03, 2016 02 2016 02 January 2018, 2018 01, Leases (Topic 842 842 not 2016 02 not 840, Leases 2016 02 2016 02. July 2018, 2018 10, Codification Improvements to Topic 842, 2016 02. July 2018, 2018 11, Leases (Topic 842 2018 11” not December 2018, 2018 20, Narrow-Scope Improvements for Lessors. March 2019, 2019 01, Codification Improvements. not 250, 2016 02, not not not 2016 02. not two 2018 11; not $1,073,919 no 2016 02 December 31, 2019. In June 2018, 2018 07, Compensation – Stock Compensation (Topic 718 2018 07” . 2017 09, December 15, 2018, no 2014 09, Revenue from Contracts with Customers (Topic 606 2014 09” not In August 2018, 2018 13, Fair Value Measurement (Topic 820 2018 13” . 2018 13, 2018 13 December 15, 2019, not In November 2019, 2019 08, Compensation – Stock Compensation (Topic 718 606 2019 08” 2019 08, 2018 07 2019 08 December 15, 2019, no 2018 07. not not Recent Accounting Pronouncements During 2019, 2019 01 2019 12 2020, 2020 01 2020 08. In November 2018, 2018 19, Codification Improvements to Topic 326, 2018 19” . 2016 13, Financial Instruments - Credit Losses (Topic 326 2016 13” June 2016, first 2016 13, 2018 19. April 2019, 2019 04, Codification Improvements to Topic 326, 815, 825, 2016 13 June 2016, May 2019, 2019 05, Financial Instruments – Credit Losses (Topic 326 2016 13 June 2016, 2016 13, 1 2 326 20 825 10. 2016 13, 2018 19. November 2019, 2019 10, Financial Instruments – Credit Losses (Topic 326 815 842 2019 10” . not not November 2019, 2019 11, Codification Improvements to Topic 326, 2016 13. February 2020, 2020 02, Financial Instruments – Credit Losses (Topic 326 842 2019 10 December 15, 2022, December 15, 2018, not In December 2019, 2019 12, Income Taxes (Topic 740 2019 12” 740. 2019 12 December 15, 2020. not not |
Note 2 - Notes Payable (Tables)
Note 2 - Notes Payable (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Maturities of Long-term Debt [Table Text Block] | 2020 (remaining) $ 1,088 2021 4,350 2022 61,512 2023 - 2024 - Total $ 66,950 |
New Credit Facility [Member] | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | Current Long-term September 30, 2020 December 31, 2019 Loan with CoBank, ACB (the "Credit Facility"); variable interest rate of 4.66% at September 30, 2020, interest is monthly, paid in arrears on the last business day of each month. The Credit Facility is secured by the total assets of the subsidiary guarantors. The unpaid balance is due November 3, 2022. $ 4,350 $ 62,600 $ 66,950 $ 70,212 Debt issuance cost (478 ) (467 ) (945 ) (1,111 ) Notes payable, net of debt issuance cost $ 3,872 $ 62,133 $ 66,005 $ 69,101 |
Note 4 - Net Income Per Commo_2
Note 4 - Net Income Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Weighted average number of common shares outstanding - basic 3,421,794 3,410,936 3,421,794 3,410,936 Effect of dilutive securities 18,978 20,293 18,978 20,293 Weighted average number of common shares and potential common shares - diluted 3,440,772 3,431,229 3,440,772 3,431,229 Net income $ 1,228 $ 1,819 $ 4,877 $ 5,816 Net income per common share - basic $ 0.36 $ 0.53 $ 1.43 $ 1.71 Net income per common share - diluted $ 0.36 $ 0.53 $ 1.42 $ 1.70 |
Note 5 - Revenue Streams and _2
Note 5 - Revenue Streams and Concentrations (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Local services $ 4,594 $ 13,899 Network access 4,963 14,936 Internet 4,032 11,671 Transport services 1,087 3,289 Video and security 722 2,151 Managed services 176 518 Total revenues $ 15,574 $ 46,464 Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Local services $ 4,717 $ 14,585 Network access 5,436 15,970 Internet 3,673 10,996 Transport services 1,091 3,143 Video and security 691 2,028 Managed services 154 453 Total revenues $ 15,762 $ 47,175 Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Local services $ 4,594 $ 13,899 Network access 786 2,451 Internet 4,032 11,671 Transport services 1,049 3,176 Video and security 722 2,151 Managed services 176 518 Total revenues generated from customers $ 11,359 $ 33,866 Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Local services $ 4,717 $ 14,585 Network access 1,086 3,273 Internet 3,673 10,996 Transport services 1,054 3,030 Video and security 691 2,028 Managed services 154 453 Total revenues generated from customers $ 11,375 $ 34,365 Three Months Ended September 30, 2020 % In-Scope % Total Month to month ("MTM") customers $ 7,239 64.7 % 46.5 % Competitive local exchange carrier ("CLEC") business customers 3,158 28.2 20.3 Network access 487 4.4 3.1 Total revenue streams 10,884 97.3 69.9 Global access* 299 2.7 1.9 Total revenue from contracts with customers 11,183 100.0 % 71.8 Managed services** 176 n/a 1.1 Total revenue generated from customers 11,359 n/a 72.9 Indefeasible rights-of-use agreements** 38 n/a 0.3 Network access** 4,177 n/a 26.8 Total revenues $ 15,574 100.0 % Nine Months Ended September 30, 2020 % In-Scope % Total MTM customers $ 21,298 63.9 % 45.8 % CLEC business customers 9,599 28.8 20.7 Network access 1,534 4.6 3.3 Total revenue streams 32,431 97.3 69.8 Global access* 917 2.7 2.0 Total revenue from contracts with customers 33,348 100.0 % 71.8 Managed services** 518 n/a 1.1 Total revenue generated from customers 33,866 n/a 72.9 Indefeasible rights-of-use agreements** 113 n/a 0.2 Network access** 12,485 n/a 26.9 Total revenues $ 46,464 100.0 % Three Months Ended September 30, 2019 % In-Scope % Total MTM customers $ 6,847 61.0 % 43.4 % CLEC business customers 3,288 29.3 20.9 Network access 640 5.7 4.1 Total revenue streams 10,775 96.0 68.4 Global access* 446 4.0 2.8 Total revenue from contracts with customers 11,221 100.0 % 71.2 Managed services** 154 n/a 1.0 Total revenue generated from customers 11,375 n/a 72.2 Indefeasible rights-of-use agreements** 37 n/a 0.2 Network access** 4,350 n/a 27.6 Total revenues $ 15,762 100.0 % Nine Months Ended September 30, 2019 % In-Scope % Total MTM customers $ 20,769 61.3 % 44.0 % CLEC business customers 9,870 29.1 20.9 Network access 1,908 5.6 4.1 Total revenue streams 32,547 96.0 69.0 Global access* 1,365 4.0 2.9 Total revenue from contracts with customers 33,912 100.0 % 71.9 Managed services** 453 n/a 1.0 Total revenue generated from customers 34,365 n/a 72.9 Indefeasible rights-of-use agreements** 113 n/a 0.2 Network access** 12,697 n/a 26.9 Total revenues $ 47,175 100.0 % |
Note 7 - Leases (Tables)
Note 7 - Leases (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Leased Real Property and Office Facilities 2020 (remaining) $ 123 2021 460 2022 302 2023 285 2024 153 Thereafter 691 Total lease payments $ 2,014 Less: Interest (378 ) Present value of lease liabilities $ 1,636 |
Lease, Cost [Table Text Block] | Three Months Ended September 30, 2020 September 30, 2019 Cash paid for amounts included in the measurment of lease liabilities: Operating cash outflow from operating leases (122 ) (108 ) Weighted-average remaining lease term - operating leases (in years) 6.5 3.6 Weighted-average discount rate - operating leases 6.5 % 6.5 % Nine Months Ended September 30, 2020 September 30, 2019 Cash paid for amounts included in the measurment of lease liabilities: Operating cash outflow from operating leases (365 ) (325 ) Weighted-average remaining lease term - operating leases (in years) 6.5 3.6 Weighted-average discount rate - operating leases 6.5 % 6.5 % |
Note 8 - Stock Plans (Tables)
Note 8 - Stock Plans (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Notes Tables | |
Share-based Payment Arrangement, Restricted Stock Unit, Activity [Table Text Block] | Weighted Average Grant Date RSUs Fair Value Outstanding at December 31, 2018 66,312 $ 9.06 Granted - - Vested (34,202 ) 5.09 Forfeited or cancelled (11,817 ) 13.30 Outstanding at September 30, 2019 20,293 13.30 Weighted Average Grant Date RSUs Fair Value Outstanding at December 31, 2019 17,648 $ 13.30 Granted 14,500 9.22 Vested (12,920 ) 13.30 Forfeited or cancelled (250 ) 9.22 Outstanding at September 30, 2020 18,978 10.24 |
Share-based Payment Arrangement, Option, Activity [Table Text Block] | Weighted Average ISOs and NQ Grant Date Stock Options Fair Value Outstanding at December 31, 2018 50,000 $ 16.97 Granted - - Vested - - Forfeited or cancelled - - Outstanding at September 30, 2019 50,000 16.97 Weighted Average ISOs and NQ Grant Date Stock Options Fair Value Outstanding at December 31, 2019 40,000 $ 16.97 Granted 64,500 9.22 Vested - - Forfeited or cancelled (250 ) 9.22 Outstanding at September 30, 2020 104,250 12.19 |
Note 1 - Organization and Bas_2
Note 1 - Organization and Basis of Financial Reporting (Details Textual) - USD ($) | 1 Months Ended | 9 Months Ended | |||
May 04, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Jan. 01, 2019 | |
Proceeds from Paycheck Protection Program Under CARES Act | $ 2,975,000 | $ 2,975,000 | |||
Operating Lease, Liability, Total | 1,636,000 | ||||
Operating Lease, Right-of-Use Asset | $ 1,636,000 | $ 1,146,000 | |||
Accounting Standards Update 2016-02 [Member] | |||||
Operating Lease, Liability, Total | $ 1,073,919 | ||||
Operating Lease, Right-of-Use Asset | $ 1,073,919 |
Note 2 - Notes Payable (Details
Note 2 - Notes Payable (Details Textual) - USD ($) $ in Thousands | Oct. 22, 2018 | Oct. 21, 2018 | Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2020 |
Amortization of Debt Issuance Costs | $ 379 | $ 342 | |||
Line of Credit Facility, Commitment Fee Amount | 17 | 14 | |||
New Credit Facility [Member] | |||||
Debt Issuance Costs, Gross | $ 2,300 | ||||
Debt Issuance Costs Incurred During Noncash or Partial Noncash Transaction | 212 | ||||
Amortization of Debt Issuance Costs | 379 | $ 342 | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 5,000 | ||||
Line of Credit Facility, Commitment Fee Percentage | 0.38% | 0.50% | 0.38% | ||
Previous Credit Facility [Member] | |||||
Long-term Line of Credit, Total | $ 0 |
Note 2 - Notes Payable - New Cr
Note 2 - Notes Payable - New Credit Facility (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Notes payable, net of debt issuance cost, current | $ 3,872 | $ 3,929 |
Notes payable, net of debt issuance cost | 62,133 | 65,172 |
Notes payable, net of debt issuance cost | 66,950 | |
New Credit Facility [Member] | ||
Long term debt, current | 4,350 | |
Long term debt, noncurrent | 62,600 | |
Long term debt, carrying amount | 66,950 | 70,212 |
Debt issuance cost, current | (478) | |
Debt issuance cost, long-term | (467) | |
Debt issuance cost | (945) | (1,111) |
Notes payable, net of debt issuance cost, current | 3,872 | |
Notes payable, net of debt issuance cost | 62,133 | |
Notes payable, net of debt issuance cost | $ 66,005 | $ 69,101 |
Note 2 - Notes Payable - New _2
Note 2 - Notes Payable - New Credit Facility (Details) (Parentheticals) | Sep. 30, 2020 |
New Credit Facility [Member] | |
Notes payable, interest rate | 4.66% |
Note 2 - Notes Payable - Maturi
Note 2 - Notes Payable - Maturities of Notes Payable (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2020 (remaining) | $ 1,088 |
2021 | 4,350 |
2022 | 61,512 |
2023 | |
2024 | |
Total | $ 66,950 |
Note 3 - Income Tax (Details Te
Note 3 - Income Tax (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Tax Expense (Benefit), Total | $ 452 | $ 712 | $ 1,576 | $ 2,056 |
Effective Income Tax Rate Reconciliation, Percent, Total | 24.40% | 26.10% |
Note 4 - Net Income Per Commo_3
Note 4 - Net Income Per Common Share - Reconciliation of Income (Loss) Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Weighted average number of common shares outstanding - basic (in shares) | 3,421,794 | 3,410,936 | 3,421,794 | 3,410,936 | ||||
Effect of dilutive securities (in shares) | 18,978 | 20,293 | 18,978 | 20,293 | ||||
Weighted average number of common shares and potential common shares - diluted (in shares) | 3,440,772 | 3,431,229 | 3,440,772 | 3,431,229 | ||||
Net income | $ 1,228 | $ 1,431 | $ 2,218 | $ 1,819 | $ 1,716 | $ 2,281 | $ 4,877 | $ 5,816 |
Net income per common share - basic (in dollars per share) | $ 0.36 | $ 0.53 | $ 1.43 | $ 1.71 | ||||
Net income per common share - diluted (in dollars per share) | $ 0.36 | $ 0.53 | $ 1.42 | $ 1.70 |
Note 5 - Revenue Streams and _3
Note 5 - Revenue Streams and Concentrations (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | |
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenue, Remaining Performance Obligation, Amount | $ 6,600 | $ 6,600 | ||
Contract with Customer, Liability, Revenue Recognized | 1,400 | $ 3,700 | ||
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | National Exchange Carrier Association [Member] | ||||
Concentration Risk, Percentage | 23.90% | 24.30% | ||
Short-term Contract with Customer [Member] | ||||
Revenue, Remaining Performance Obligation, Amount | 944 | $ 944 | ||
Long-term Contract with Customer [Member] | ||||
Revenue, Remaining Performance Obligation, Amount | $ 5,400 | $ 5,400 | ||
Long-term Contract with Customer [Member] | Minimum [Member] | ||||
Revenue, Expected to Recognize, Term (Year) | 2 years | |||
Long-term Contract with Customer [Member] | Maximum [Member] | ||||
Revenue, Expected to Recognize, Term (Year) | 5 years |
Note 5 - Revenue Streams and _4
Note 5 - Revenue Streams and Concentrations - Revenue Streams (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Revenues | $ 15,574 | $ 15,762 | $ 46,464 | $ 47,175 | |
Revenues, within scope of ASU 2014-09 | $ 15,574 | $ 47,175 | |||
Revenues, percentage | 100.00% | ||||
Revenue Benchmark [Member] | |||||
Revenues, percentage | 100.00% | 100.00% | 100.00% | ||
Month-to-Month Customers [Member] | |||||
Revenues, within scope of ASU 2014-09 | $ 7,239 | $ 6,847 | $ 21,298 | $ 20,769 | |
Revenues, percentage within scope of ASU 2014-09 | 64.70% | 61.00% | 63.90% | 61.30% | |
Revenues, percentage | 46.50% | ||||
Month-to-Month Customers [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | 43.40% | 45.80% | 44.00% | ||
Competitive Local Exchange Carrier Business Customers [Member] | |||||
Revenues, within scope of ASU 2014-09 | $ 3,158 | $ 3,288 | $ 9,599 | $ 9,870 | |
Revenues, percentage within scope of ASU 2014-09 | 28.20% | 29.30% | 28.80% | 29.10% | |
Revenues, percentage | 20.30% | ||||
Competitive Local Exchange Carrier Business Customers [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | 20.90% | 20.70% | 20.90% | ||
Network Access Customers [member] | |||||
Revenues, within scope of ASU 2014-09 | $ 487 | $ 640 | $ 1,534 | $ 1,908 | |
Revenues, percentage within scope of ASU 2014-09 | 4.40% | 5.70% | 4.60% | 5.60% | |
Revenues, percentage | 3.10% | ||||
Network Access Customers [member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | 4.10% | 3.30% | 4.10% | ||
Month-to-Month, Competitive Local Exchange Carrier Business, and Network Access Customers [Member] | |||||
Revenues, within scope of ASU 2014-09 | $ 10,884 | $ 10,775 | $ 32,431 | $ 32,547 | |
Revenues, percentage within scope of ASU 2014-09 | 97.30% | 96.00% | 97.30% | 96.00% | |
Revenues, percentage | 69.90% | ||||
Month-to-Month, Competitive Local Exchange Carrier Business, and Network Access Customers [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | 68.40% | 69.80% | 69.00% | ||
Global Access Customers [Member] | |||||
Revenues, within scope of ASU 2014-09 | [1] | $ 299 | $ 446 | $ 917 | $ 1,365 |
Revenues, percentage within scope of ASU 2014-09 | [1] | 2.70% | 4.00% | 2.70% | 4.00% |
Revenues, percentage | [1] | 1.90% | |||
Global Access Customers [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | [1] | 2.80% | 2.00% | 2.90% | |
Month-to-Month, Competitive Local Exchange Carrier Business, Network Access, and Global Access Customers [Member] | |||||
Revenues, within scope of ASU 2014-09 | $ 11,183 | $ 11,221 | $ 33,348 | $ 33,912 | |
Revenues, percentage within scope of ASU 2014-09 | 100.00% | 100.00% | 100.00% | 100.00% | |
Revenues, percentage | 71.80% | ||||
Month-to-Month, Competitive Local Exchange Carrier Business, Network Access, and Global Access Customers [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | 71.20% | 71.80% | 71.90% | ||
Managed Services [Member] | |||||
Revenues | [2] | $ 154 | $ 518 | $ 453 | |
Revenues, within scope of ASU 2014-09 | [2] | $ 176 | |||
Revenues, percentage | [2] | 1.10% | |||
Managed Services [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | [2] | 1.00% | 1.10% | 1.00% | |
Sales Channel, Directly to Consumer [Member] | |||||
Revenues | $ 11,359 | $ 11,375 | $ 33,866 | $ 34,365 | |
Revenues, within scope of ASU 2014-09 | $ 11,359 | $ 34,365 | |||
Revenues, percentage | 72.90% | ||||
Sales Channel, Directly to Consumer [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | 72.20% | 72.90% | 72.90% | ||
Local services [Member] | |||||
Revenues | $ 4,594 | $ 4,717 | $ 13,899 | $ 14,585 | |
Local services [Member] | Sales Channel, Directly to Consumer [Member] | |||||
Revenues | 4,594 | 4,717 | 13,899 | 14,585 | |
Network Access [Member] | |||||
Revenues | 4,963 | 5,436 | 14,936 | 15,970 | |
Network Access [Member] | Sales Channel, Directly to Consumer [Member] | |||||
Revenues | 786 | 1,086 | 2,451 | 3,273 | |
Internet [Member] | |||||
Revenues | 4,032 | 3,673 | 11,671 | 10,996 | |
Internet [Member] | Sales Channel, Directly to Consumer [Member] | |||||
Revenues | 4,032 | 3,673 | 11,671 | 10,996 | |
Transport Services [Member] | |||||
Revenues | 1,087 | 1,091 | 3,289 | 3,143 | |
Transport Services [Member] | Sales Channel, Directly to Consumer [Member] | |||||
Revenues | 1,049 | 1,054 | 3,176 | 3,030 | |
Video and Security [Member] | |||||
Revenues | 722 | 691 | 2,151 | 2,028 | |
Video and Security [Member] | Sales Channel, Directly to Consumer [Member] | |||||
Revenues | 722 | 691 | 2,151 | 2,028 | |
Management Service [Member] | |||||
Revenues | 176 | 154 | 518 | 453 | |
Management Service [Member] | Sales Channel, Directly to Consumer [Member] | |||||
Revenues | 176 | 154 | 518 | 453 | |
Indefeasible Rights-Of-Use Agreements, Outside of ASU 2014-09 Scope [Member] | |||||
Revenues | [2] | $ 37 | $ 113 | $ 113 | |
Revenues, within scope of ASU 2014-09 | [2] | $ 38 | |||
Revenues, percentage | [2] | 0.30% | |||
Indefeasible Rights-Of-Use Agreements, Outside of ASU 2014-09 Scope [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | [2] | 0.20% | 0.20% | 0.20% | |
Network Access, Outside of ASU 2014-09 Scope [Member] | |||||
Revenues | [2] | $ 4,350 | $ 12,485 | $ 12,697 | |
Revenues, within scope of ASU 2014-09 | [2] | $ 4,177 | |||
Revenues, percentage | [2] | 26.80% | |||
Network Access, Outside of ASU 2014-09 Scope [Member] | Revenue Benchmark [Member] | |||||
Revenues, percentage | [2] | 27.60% | 26.90% | 26.90% | |
[1] | Fixed fees charged to MTM customers and CLEC business customers. | ||||
[2] | Revenue generated from sources not within the scope of ASU 2014-09. |
Note 7 - Leases (Details Textua
Note 7 - Leases (Details Textual) - USD ($) | 9 Months Ended | ||
Sep. 30, 2020 | Dec. 31, 2019 | Jan. 01, 2019 | |
Operating Lease, Right-of-Use Asset | $ 1,636,000 | $ 1,146,000 | |
Operating Lease, Liability, Total | $ 1,636,000 | ||
Minimum [Member] | |||
Commercial Borrowing Rate | 5.00% | ||
Loan Collateralized by Real Estate, Term (Year) | 5 years | ||
Maximum [Member] | |||
Commercial Borrowing Rate | 7.00% | ||
Loan Collateralized by Real Estate, Term (Year) | 10 years | ||
Accounting Standards Update 2016-02 [Member] | |||
Operating Lease, Right-of-Use Asset | $ 1,073,919 | ||
Operating Lease, Liability, Total | $ 1,073,919 |
Note 7 - Leases - Undiscounted
Note 7 - Leases - Undiscounted and Discounted Cash Flows for Leases (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2020 (remaining) | $ 123 |
2021 | 460 |
2022 | 302 |
2023 | 285 |
2024 | 153 |
Thereafter | 691 |
Total lease payments | 2,014 |
Less: Interest | (378) |
Present value of lease liabilities | $ 1,636 |
Note 7 - Leases - Lease Informa
Note 7 - Leases - Lease Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Operating cash outflow from operating leases | $ (122) | $ (108) | $ (365) | $ (325) |
Weighted-average remaining lease term - operating leases (in years) (Year) | 6 years 182 days | 3 years 219 days | 6 years 182 days | 3 years 219 days |
Weighted-average discount rate - operating leases | 6.50% | 6.50% | 6.50% | 6.50% |
Note 8 - Stock Plans (Details T
Note 8 - Stock Plans (Details Textual) - USD ($) $ in Thousands | Jan. 02, 2020 | Oct. 15, 2018 | Jun. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Incentive and Non-Qualified Stock Options [Member] | |||||||
Share-based Payment Arrangement, Amount Capitalized | $ 0 | $ 0 | |||||
Share-based Payment Arrangement, Expense | $ 107 | $ 65 | |||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 503 | $ 351 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 20.00% | 20.00% | |||||
Restricted Stock Units (RSUs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 14,500 | 0 | 401,111 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 5 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested or Cancelled (in shares) | 334,799 | ||||||
Share-based Payment Arrangement, Amount Capitalized | $ 0 | ||||||
Share-based Payment Arrangement, Expense | $ 49 | $ 108 | |||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 131 | $ 108 | |||||
Restricted Stock Units (RSUs) [Member] | Minimum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 1 year | ||||||
Restricted Stock Units (RSUs) [Member] | Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 5 years | ||||||
Incentive Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in shares) | 34,500 | 29,460 | |||||
Non-Qualified Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in shares) | 30,000 | 20,540 | |||||
Incentive and Non-Qualified Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 5 years | 5 years | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in shares) | 64,500 |
Note 8 - Stock Plans - Summary
Note 8 - Stock Plans - Summary of RSU Activity (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | |
Restricted stock units outstanding (in shares) | 17,648 | 66,312 | 66,312 | |
Outstanding, weighted average grant date fair value (in dollars per share) | $ 13.30 | $ 9.06 | $ 9.06 | |
Restricted stock units granted (in shares) | 14,500 | 0 | 401,111 | |
Granted, weighted average grant date fair value (in dollars per share) | $ 9.22 | |||
Restricted stock units vested (in shares) | (12,920) | (34,202) | ||
Vested, weighted average grant date fair value (in dollars per share) | $ 13.30 | $ 5.09 | ||
Restricted stock units forfeited or cancelled (in shares) | (250) | (11,817) | ||
Forfeited or cancelled, weighted average grant date fair value (in dollars per share) | $ 9.22 | $ 13.30 | ||
Restricted stock units outstanding (in shares) | 18,978 | 20,293 | 17,648 | 66,312 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ 10.24 | $ 13.30 | $ 13.30 | $ 9.06 |
Note 8 - Stock Plans - Summar_2
Note 8 - Stock Plans - Summary of Stock Option Activity (Details) - Incentive and Non-Qualified Stock Options [Member] - $ / shares | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Stock options outstanding (in shares) | 40,000 | 50,000 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ 16.97 | $ 16.97 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in shares) | 64,500 | |
Granted, weighted average grant date fair value (in dollars per share) | $ 9.22 | |
Stock options vested (in shares) | ||
Vested, weighted average grant date fair value (in dollars per share) | ||
Stock options forfeited or cancelled (in shares) | (250) | |
Forfeited or cancelled, weighted average grant date fair value (in dollars per share) | $ 9.22 | |
Stock options outstanding (in shares) | 104,250 | 50,000 |
Outstanding, weighted average grant date fair value (in dollars per share) | $ 12.19 | $ 16.97 |
Note 9 - Goodwill (Details Text
Note 9 - Goodwill (Details Textual) $ in Thousands | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Goodwill, Impairment Loss | $ 0 |
Note 10 - Subsequent Events (De
Note 10 - Subsequent Events (Details Textual) $ in Millions | 5 Months Ended |
Mar. 31, 2021USD ($) | |
Forecast [Member] | |
Merger Agreement, Maximum Incremental Revenue | $ 3.5 |