Spok (SPOK) 10-Q 28 Apr 22 2022 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	Mar. 31, 2022	Apr. 22, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2022
Document Transition Report	false
Entity File Number	001-32358
Entity Registrant Name	SPOK HOLDINGS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	16-1694797
Entity Address, Address Line One	5911 Kingstown Village Pkwy, 6th Floor
Entity Address, City or Town	Alexandria,
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	22315
City Area Code	800
Local Phone Number	611-8488
Title of 12(b) Security	Common Stock, par value $0.0001 per share
Trading Symbol	SPOK
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		19,693,657
Entity Central Index Key	0001289945
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Amendment Flag	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 31,350	$ 44,583
Short-term investments	14,978	14,999
Accounts receivable, net	23,373	26,908
Prepaid expenses	8,095	6,641
Other current assets	878	922
Total current assets	78,674	94,053
Non-current assets:
Property and equipment, net	6,642	6,746
Operating lease right-of-use assets	14,993	15,821
Goodwill	99,175	99,175
Deferred income tax assets, net	32,684	31,653
Other non-current assets	707	706
Total non-current assets	154,201	154,101
Total assets	232,875	248,154
Current liabilities:
Accounts payable	3,863	5,292
Accrued compensation and benefits	15,769	13,948
Deferred revenue	24,223	25,608
Operating lease liabilities	5,112	5,405
Other current liabilities	5,147	4,745
Total current liabilities	54,114	54,998
Non-current liabilities:
Asset retirement obligations	6,372	6,355
Operating lease liabilities	11,256	11,883
Other non-current liabilities	1,238	1,227
Total non-current liabilities	18,866	19,465
Total liabilities	72,980	74,463
Commitments and contingencies (Note 13)
Stockholders' equity:
Preferred stock	0	0
Common stock	2	2
Additional paid-in capital	97,197	97,291
Accumulated other comprehensive loss	(1,563)	(1,588)
Retained earnings	64,259	77,986
Total stockholders’ equity	159,895	173,691
Total liabilities and stockholders' equity	$ 232,875	$ 248,154

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Revenue:
Total revenue	$ 33,825	$ 36,036
Operating expenses:
Cost of revenue (exclusive of items shown separately below)	7,804	7,982
Research and development	6,497	4,444
Technology operations	7,013	7,204
Selling and marketing	5,315	5,139
General and administrative	10,435	10,280
Depreciation, amortization and accretion	934	2,727
Severance and restructuring	4,495	0
Total operating expenses	42,493	37,776
Operating loss	(8,668)	(1,740)
Interest income	67	61
Other expense	(13)	(27)
Loss before income taxes	(8,614)	(1,706)
Benefit from (provision for) income taxes	1,400	(591)
Net loss	$ (7,214)	$ (2,297)
Basic net loss per common share (in usd per share)	$ (0.37)	$ (0.12)
Diluted net loss per common share (in usd per share)	$ (0.37)	$ (0.12)
Basic weighted average common shares outstanding (in shares)	19,599,526	19,272,786
Diluted weighted average common shares outstanding (in shares)	19,599,526	19,272,786
Cash dividends declared per common share (in usd per share)	$ 0.3125	$ 0.1250
Wireless revenue
Revenue:
Total revenue	$ 18,846	$ 20,120
Software revenue
Revenue:
Total revenue	$ 14,979	$ 15,916

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Statement of Comprehensive Income [Abstract]
Net loss	$ (7,214)	$ (2,297)
Other comprehensive income, net of tax:
Foreign currency translation adjustments	25	14
Other comprehensive income	25	14
Comprehensive loss	$ (7,189)	$ (2,283)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital & Accumulated Other Comprehensive Loss	Retained Earnings
Beginning balance (in shares) at Dec. 31, 2020		19,384,192
Beginning balance at Dec. 31, 2020	$ 200,613	$ 2	$ 90,328	$ 110,283
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(2,297)			(2,297)
Purchase of common stock for tax withholding and other (shares)		(132,281)
Purchase of common stock for tax withholding and other	(1,444)		(1,444)
Amortization of stock-based compensation	2,239		2,239
Cash dividends declared	(2,553)			(2,553)
Issuance of restricted stock under the 2020 equity plan and other (in shares)		20,952
Issuance of common stock in lieu of cash compensation (in shares)		50,741
Cumulative translation adjustment	14		14
Ending balance (in shares) at Mar. 31, 2021		19,323,604
Ending balance at Mar. 31, 2021	196,572	$ 2	91,137	105,433
Beginning balance (in shares) at Dec. 31, 2021		19,828,033
Beginning balance at Dec. 31, 2021	173,691	$ 2	95,703	77,986
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(7,214)			(7,214)
Purchase of common stock for tax withholding and other (shares)		(134,354)
Purchase of common stock for tax withholding and other	(1,209)		(1,209)
Amortization of stock-based compensation	1,115		1,115
Cash dividends declared	(6,513)			(6,513)
Cumulative translation adjustment	25		25
Ending balance (in shares) at Mar. 31, 2022		19,693,679
Ending balance at Mar. 31, 2022	$ 159,895	$ 2	$ 95,634	$ 64,259

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Operating activities:
Net loss	$ (7,214)	$ (2,297)
Adjustments to reconcile net loss to net cash net (used ) provided by operating activities:
Depreciation, amortization and accretion	934	2,727
Deferred income tax (benefit) expense	(1,024)	510
Stock-based compensation	1,115	2,239
Provisions for credit losses, service credits and other	594	215
Changes in assets and liabilities:
Accounts receivable	2,951	1,039
Prepaid expenses and other assets	(1,421)	457
Net operating lease liabilities	(91)	338
Accounts payable, accrued liabilities and other	879	(3,038)
Deferred revenue	(1,602)	(1,471)
Net cash (used in) provided by operating activities	(4,879)	719
Investing activities:
Purchases of property and equipment	(679)	(727)
Capitalized software development	0	(2,920)
Purchase of short-term investments	(14,967)	(14,995)
Maturity of short-term investments	15,000	15,000
Net cash used in investing activities	(646)	(3,642)
Financing activities:
Cash distributions to stockholders	(6,524)	(2,730)
Purchase of common stock for tax withholding on vested equity awards	(1,209)	(1,444)
Net cash used in financing activities	(7,733)	(4,174)
Effect of exchange rate on cash and cash equivalents	25	14
Net decrease in cash and cash equivalents	(13,233)	(7,083)
Cash and cash equivalents, beginning of period	44,583	48,729
Cash and cash equivalents, end of period	31,350	41,646
Supplemental disclosure:
Income tax refunds received	$ (39)	$ (118)

Organization and Significant Ac

Organization and Significant Accounting Policies	3 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Organization and Significant Accounting Policies	ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES Spok Holdings, Inc. (NASDAQ: SPOK) ("Spok," "we," "our" or the "Company"), through its wholly owned subsidiary Spok, Inc., is proud to be the global leader in healthcare communications. We deliver clinical information to care teams when and where it matters most to improve patient outcomes. Top hospitals rely on Spok products and services to enhance workflows for clinicians, support administrative compliance, and provide a better experience for patients. We offer a focused suite of unified clinical communication and collaboration solutions that include call center applications, clinical alerting and notifications, one-way and advanced two-way wireless messaging services, mobile communications and public safety solutions. We provide one-way and advanced two-way wireless messaging services, including information services, throughout the United States. These services are offered on a local, regional and nationwide basis employing digital networks. One-way messaging consists of numeric and alphanumeric messaging services. Numeric messaging services enable subscribers to receive messages that are composed entirely of numbers, such as a phone number, while alphanumeric messages may include numbers and letters, which enable subscribers to receive text messages. Two-way messaging services enable subscribers to send and receive messages to and from other wireless messaging devices, including pagers, personal digital assistants and personal computers. We also offer voice mail, personalized greetings, message storage and retrieval, and equipment loss and/or maintenance protection to both one-way and two-way messaging subscribers. These services are commonly referred to as wireless messaging and information services. We also develop, sell and support enterprise-wide systems for hospitals and other organizations needing to automate, centralize and standardize clinical communications. These solutions are used for contact centers, clinical alerting and notification, mobile communications and messaging and for public safety notifications. These areas of market focus complement the market focus of our wireless services outlined above. Basis of Presentation The accompanying Condensed Consolidated Financial Statements include our accounts and the accounts of our wholly owned direct and indirect subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Our Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and the rules and regulations of the United States Securities and Exchange Commission (the “SEC”). In management's opinion, the unaudited Condensed Consolidated Financial Statements include all adjustments and accruals that are necessary for the presentation of the results of all interim periods reported herein and all such adjustments are of a normal, recurring nature. Amounts shown in the Condensed Consolidated Statements of Operations within the operating expense categories of cost of revenue; research and development; technology operations; selling and marketing; and general and administrative are recorded exclusive of depreciation, amortization and accretion. These items are shown separately to the extent that they are considered material for the periods presented. Certain prior period amounts in the Condensed Consolidated Financial Statements have been reclassified to conform to the current period's presentation. These reclassifications had no effect on the reported results of operations or the Condensed Consolidated Balance Sheets. The financial information included herein, other than the Condensed Consolidated Balance Sheet as of December 31, 2021, is unaudited. The Condensed Consolidated Balance Sheet as of December 31, 2021, has been derived from, but does not include all, the disclosures contained in the audited Consolidated Financial Statements as of and for the year ended December 31, 2021. These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and accompanying notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2021 (the “2021 Annual Report”). The Condensed Consolidated Statements of Operations for the interim periods presented are not necessarily indicative of the results that may be expected for a full year. Use of Estimates The preparation of these Condensed Consolidated Financial Statements requires management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures. On an ongoing basis, we evaluate estimates and assumptions, including, but not limited to, those related to the impairment of long-lived assets, goodwill, accounts receivable allowances, revenue recognition, determining the standalone selling price of performance obligations, variable consideration, restructuring related liabilities, depreciation expense, asset retirement obligations and income taxes. We base our estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

Risks and Other Important Facto

Risks and Other Important Factors	3 Months Ended
	Mar. 31, 2022
Risks and Uncertainties [Abstract]
Risks and Other Important Factors	RISKS AND OTHER IMPORTANT FACTORSSee “Item 1A. Risk Factors” of Part II of this Quarterly Report on Form 10-Q (“Quarterly Report”) and "Item 1A. Risk Factors" of Part I of the 2021 Annual Report, which describe key risks associated with our operations and industry.

Recent Accounting Standards

Recent Accounting Standards	3 Months Ended
	Mar. 31, 2022
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Standards	RECENT ACCOUNTING STANDARDS The Company considers the applicability and impact of all Accounting Standards Updates ("ASUs") issued by the Financial Accounting Standards Board ("FASB"). The Company has determined that all recent ASUs issued by the FASB are either not applicable or are expected to have minimal impact on the Company's Condensed Consolidated Financial Statements.

Significant Accounting Policies

Significant Accounting Policies Update	3 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Significant Accounting Policies Update	SIGNIFICANT ACCOUNTING POLICIES UPDATE Our significant accounting policies are detailed in Note 1, “Organization and Significant Accounting Policies” of the 2021 Annual Report.

Restructuring

Restructuring	3 Months Ended
	Mar. 31, 2022
Restructuring and Related Activities [Abstract]
Restructuring	RESTRUCTURING In February 2022, the Company announced a new strategic business plan that includes a restructuring of its business to discontinue our integrated communications and collaboration platform, Spok Go ® , eliminate all associated costs and optimize the Company’s existing structure to drive continued cost improvement. As part of the restructuring program, the Company is eliminating approximately 175 positions, primarily in research and development, but also in professional services, selling and marketing, and back-office support functions. The following table provides a summary of our cost estimates by major type of expense associated with the strategic business plan. The restructuring actions associated with these charges are expected to be substantially complete in 2022. Total Estimated Amount to be Incurred Strategic Business Plan Estimates (Dollars in millions) Severance and personnel related costs $5.7 million to $6.6 million Contractual terminations $0.5 million to $0.9 million Total severance and restructuring related charges $6.2 million to $7.5 million For the three months ended March 31, 2022, the Company incurred total severance and restructuring costs of $4.5 million, which is included within the Condensed Consolidated Statement of Operations. These costs are as follows: For the Three Months Ended March 31, (Dollars in thousands) 2022 Severance and personnel related costs $ 3,997 Contractual terminations 498 Total severance and restructuring costs $ 4,495 A summary of activity for the three months ended March 31, 2022, for restructuring-related liabilities associated with the strategic business plan, which is included within accrued compensation and benefits and other current liabilities within the Condensed Consolidated Balance Sheet, is as follows: (Dollars in thousands) Balance at December 31, 2021 $ — Restructuring and other charges 4,495 Payments (34) Non-cash adjustment (124) Balance at March 31, 2022 $ 4,337

Revenue, Deferred Revenue And P

Revenue, Deferred Revenue And Prepaid Commissions	3 Months Ended
	Mar. 31, 2022
Revenue from Contract with Customer [Abstract]
Revenue, Deferred Revenue and Prepaid Commissions	REVENUE, DEFERRED REVENUE AND PREPAID COMMISSIONS Wireless Revenue Wireless revenue consists of two primary components: paging revenue and product and other revenue. Paging revenue consists primarily of recurring fees associated with the provision of messaging services and fees for paging devices and is net of a provision for service credits. Product and other revenue reflects system sales, the sale of devices and charges for paging devices that are not returned and are net of anticipated credits. Our core offering includes subscriptions to one-way or two-way messaging services for a periodic (monthly, quarterly, semiannual, or annual) service fee. This is generally based upon the type of service provided, the geographic area covered, the number of devices provided to the customer and the period of commitment. A subscriber to one-way messaging services may select coverage on a local, regional or nationwide basis to best meet their messaging needs. Two-way messaging is generally offered on a nationwide basis. (See Item 1. “Business,” in the 2021 Annual Report for more details.) Software Revenue Software revenue consists of two primary components: operations revenue and maintenance revenue. Operations revenue consists primarily of license revenues for our healthcare communications solutions, revenue from the sale of equipment that facilitates the use of our software solutions, and professional services revenue related to the implementation of our solutions. Maintenance revenue is for ongoing support of our software solutions or related equipment and access to when-and-if available software updates. Maintenance is generally purchased and renewed on an annual basis. Revenue Recognition Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Our software licenses and hardware are generally recognized at a point in time when we have transferred control to the customer. For software licenses, revenue is not recognized until the related license(s) has been made available to the customer and the customer can begin to benefit from its right to use the license(s). Our software licenses represent a right to use Spok’s intellectual property ("IP") as it exists at a point in time at which the license is granted. Many of our software licenses have significant standalone functionality due to their ability to process a transaction or perform a function or task, and we do not need to maintain those products, once provided to the customer, for value to exist. While the functionality of the IP that we license may substantively change during the license period, customers are not contractually or practically required to update their license as a result of those changes. Our wireless, professional, and maintenance services are generally recognized over time due to a customer's simultaneous receipt and consumption of the benefit as we perform the work. As we transfer control over time, we recognize revenue based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires significant judgment and is based on the nature of the products or services to be provided. Generally, we use the time-elapsed measure of progress for performance obligations that include wireless, maintenance. We believe this method best depicts the simultaneous transfer and consumption of the benefit based on our performance as these services are generally considered standby services. For professional services, we leverage an input methodology based on the number of hours worked on a project versus the total expected hours necessary to complete the project. Revenues are recognized proportionally as hours are incurred. The following table presents our revenues disaggregated by revenue type: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Revenue: Paging revenue $ 18,313 $ 19,353 Product and other revenue 533 767 Wireless revenue $ 18,846 $ 20,120 License $ 1,824 $ 1,552 Professional services 3,336 4,354 Hardware 589 616 Operations revenue 5,749 6,522 Maintenance 9,230 9,394 Software revenue $ 14,979 $ 15,916 Total revenue $ 33,825 $ 36,036 The U.S. was the only country that accounted for more than 10% of the Company’s total revenue for the three months ended March 31, 2022, and 2021. Revenue generated in the U.S. and internationally consisted of the following for the periods stated: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 United States $ 32,772 $ 35,174 International 1,053 862 Total revenue $ 33,825 $ 36,036 Deferred Revenues Our deferred revenues represent payments made by, or due from, customers in advance of our performance. Changes in the balance of total deferred revenue during the three months ended March 31, 2022, are as follows: (Dollars in thousands) December 31, 2021 Additions Revenue Recognized March 31, 2022 Deferred Revenue $ 26,406 $ 13,491 $ (15,093) $ 24,804 During the three months ended March 31, 2022, the Company recognized $9.7 million related to amounts deferred as of December 31, 2021. Prepaid Commissions Our prepaid commissions represent payments made to employees in advance of our performance on the related underlying contracts. These costs have been incurred directly in relation to obtaining a contract. As such, these costs are amortized over the estimated period of benefit. Changes in the balance of total prepaid commissions during the three months ended March 31, 2022 are as follows: (Dollars in thousands) December 31, 2021 Additions Commissions Recognized March 31, 2022 Prepaid Commissions $ 1,821 $ 831 $ (1,024) $ 1,628 Prepaid commissions are included within prepaid expenses in the Condensed Consolidated Balance Sheets and commissions expense is included within selling and marketing in the Condensed Consolidated Statements of Operations. Remaining Performance Obligations The balance of remaining performance obligations at March 31, 2022, was $40.5 million. We expect to recognize approximately $29.6 million of our remaining performance obligations over the next 12 months, with the remaining balance recognized thereafter.

Leases

Leases	3 Months Ended
	Mar. 31, 2022
Leases [Abstract]
Leases	LEASES We have operating lease arrangements for corporate offices, cellular towers, storage units and small building space. The building space is used to house infrastructure, such as transmitters, antennae and other various equipment for the Company’s wireless paging services. For leases with a term of 12 months or less, renewal terms are generally of an evergreen nature (either month-to-month or year-to-year). For leases with a term greater than 12 months, renewal terms are generally explicit and provide for one to five optional renewals consistent with the initial term. Many of our leases, with the exception of those for our corporate offices, include options to terminate the lease within one year. Variable lease payments, residual value guarantees or purchase options are not generally present in these leases. Lease costs are included in technology operations and general and administrative expenses in the Condensed Consolidated Statements of Operations. The following table presents lease costs disaggregated by type: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Operating lease cost $ 1,482 $ 1,470 Short-term lease cost 2,633 2,739 Total lease cost $ 4,115 $ 4,209 The following table presents supplemental cash flow information: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Cash paid for amounts included in the measurement of lease liabilities - operating leases $ 1,535 $ 1,375 The following table presents the weighted average remaining lease term and discount rate: March 31, (Dollars in thousands) 2022 2021 Weighted-average remaining lease term - operating leases (in years) 4.60 5.09 Weighted-average discount rate - operating leases 4.42% 4.65% Maturities of lease liabilities as of March 31, 2022, were as follows: For the Year Ended December 31, (Dollars in thousands) 2022 (remaining nine months) $ 3,784 2023 4,309 2024 3,419 2025 2,459 2026 2,079 Thereafter 2,078 Total future lease payments 18,128 Imputed interest (1,760) Total $ 16,368

Consolidated Financial Statemen

Consolidated Financial Statement Components	3 Months Ended
	Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Consolidated Financial Statement Components	CONSOLIDATED FINANCIAL STATEMENT COMPONENTS Depreciation, Amortization and Accretion Depreciation, amortization and accretion expenses consisted of the following for the periods stated: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Depreciation Leasehold improvements $ 19 $ 16 Asset retirement costs (175) (22) Paging and computer equipment 850 1,069 Furniture, fixtures and vehicles 70 58 Total depreciation 764 1,121 Amortization Intangible assets — 417 Capitalized software development costs — 1,035 Total amortization — 1,452 Accretion 170 154 Total depreciation, amortization and accretion expense $ 934 $ 2,727 Accounts Receivable, Net Accounts receivable was recorded net of an allowance of $1.4 million at March 31, 2022, and December 31, 2021, respectively. Accounts receivable, net includes $7.7 million and $7.1 million of unbilled receivables at March 31, 2022, and December 31, 2021, respectively. Unbilled receivables are defined as the Company's right to consideration in exchange for goods or services that we have transferred to the customer but have not yet billed for, generally as a result of contractual billing terms. Property and Equipment, Net Property and equipment, net consisted of the following as of the dates stated: (Dollars in thousands) Useful Life March 31, 2022 December 31, 2021 Leasehold improvements shorter of useful life or lease term $ 2,747 $ 3,307 Asset retirement costs 1-5 2,307 2,307 Paging and computer equipment 1-5 88,467 89,844 Furniture, fixtures and vehicles 3-5 3,539 3,668 Total property and equipment 97,060 99,126 Accumulated depreciation (90,418) (92,380) Total property and equipment, net $ 6,642 $ 6,746

Goodwill

Goodwill	3 Months Ended
	Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	GOODWILL During the quarter ended March 31, 2022, we determined, based on qualitative assessment, that the Company's change in its strategic business plan and the accompanying restructuring, announced in February 2022, created a triggering event that required further assessment. As such, we performed a quantitative assessment. Based on this assessment, the estimated fair value of the reporting unit exceeded the carrying value of the Company, which indicated an impairment did not exist. For purposes of the goodwill impairment assessment, the Company as a whole is considered to be the reporting unit. The fair value of the reporting unit is estimated under a market-based approach using the fair value of the Company's common stock. While an impairment assessment is performed annually in the fourth quarter of the fiscal year, the Company monitors its business environment for potential triggering events on a quarterly basis. There is potential for impairment charges being recognized in future periods based on these ongoing assessments.

Asset Retirement Obligations

Asset Retirement Obligations	3 Months Ended
	Mar. 31, 2022
Asset Retirement Obligation Disclosure [Abstract]
Asset Retirement Obligations	ASSET RETIREMENT OBLIGATIONS The components of the changes in the asset retirement obligation liabilities were: (Dollars in thousands) Short-Term Long-Term Total Balance at December 31, 2021 $ 130 $ 6,355 $ 6,485 Accretion 34 136 170 Amounts paid (96) — (96) Reclassifications 119 (119) — Balance at March 31, 2022 $ 187 $ 6,372 $ 6,559 The short-term portion of the balance above is included within other current liabilities in the Condensed Consolidated Balance Sheets at March 31, 2022, and December 31, 2021. The cost associated with the estimated removal costs and timing refinements due to ongoing network rationalization activities is expected to accrete to a total liability of $7.8 million. The total estimated liability is based on the transmitter locations remaining after we have consolidated the number of networks we operate and assume the underlying leases continue to be renewed to that future date. Accretion expense related solely to asset retirement obligations and was recorded based on the interest method.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2022
Equity [Abstract]
Stockholders' Equity	STOCKHOLDERS' EQUITY General Our authorized capital stock consists of 75 million shares of common stock, par value $0.0001 per share, and 25 million shares of preferred stock, par value $0.0001 per share. At March 31, 2022, and December 31, 2021, we had no stock options outstanding. At March 31, 2022, and December 31, 2021, there were 19,693,679 and 19,828,033 shares of common stock outstanding, respectively, and no shares of preferred stock outstanding. Rights Plan On September 2, 2021, the Company entered into a Rights Agreement between the Company and Computershare Trust Company, N.A., as Rights Agent (as amended from time to time, the “Rights Agreement”), that was approved by our Board of Directors. In connection with the Rights Agreement, a dividend was declared of one preferred stock purchase right (individually, a “Right” and collectively, the “Rights”) for each share of our common stock outstanding at the close of business on September 17, 2021. Each Right will entitle the registered holder thereof, after the Rights become exercisable and until August 31, 2022 (or the earlier redemption, exchange or termination of the Rights), to purchase from the Company one one-tenth of a share of Series A Junior Participating Preferred Stock, par value $0.00001 per share (the “Series A Preferred”), of the Company at a price of $50.95 per one one-tenth of a share of Series A Preferred. The Rights become exercisable upon the earlier to occur of (i) the close of business on the tenth business day following a public announcement that a person or group of affiliated or associated persons has acquired, or obtained the right to acquire, beneficial ownership of 10% (20% in the case of a passive institutional investor) or more of our common stock (an “Acquiring Person”) or (ii) the close of business on the tenth business day (or such later date as may be determined by action of our Board of Directors prior to such time as any person or group of affiliated or associated persons becomes an Acquiring Person) following the commencement or announcement of an intention to make a tender offer or exchange offer, the consummation of which would result in a person or group becoming an Acquiring Person. Dividends Cash distributions to stockholders, as disclosed in the Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2022, and 2021, include previously declared cash dividends on shares of vested restricted common stock ("restricted stock") issued to our non-executive directors and dividends related to vested restricted stock units ("RSUs") issued to eligible employees. Cash dividends on RSUs and restricted stock have been accrued and are paid when the applicable vesting conditions are met. Accrued cash dividends on forfeited restricted stock and RSUs are also forfeited. The following table details our cash dividends declared and paid in 2022 through the date hereof: (Dollars in thousands) Declaration Date Record Date Payment Date Per Share Amount Total Declared (1) February 16, 2022 March 16, 2022 March 30, 2022 $ 0.3125 $ 6,513 Total $ 0.3125 $ 6,513 (1) The total declared reflects the cash dividends declared in relation to common stock, deferred stock units ("DSUs") and unvested RSUs. On April 27, 2022, our Board of Directors declared a regular quarterly cash dividend of $0.3125 per share of common stock with a record date of May 25, 2022, and a payment date of June 24, 2022. Cash dividends related to common stock of approximately $6.1 million will be paid from available cash on hand. Common Stock Repurchase Program On February 16, 2022, our Board of Directors authorized a share repurchase program for up to $10 million of the Company’s common stock. Under the repurchase program, repurchases can be made from time to time using a variety of methods, which may include open market purchases, privately negotiated transactions or otherwise, all in accordance with the rules of the SEC and other applicable legal requirements. The specific timing, price and size of purchases will depend on prevailing stock prices, general economic and market conditions, legal requirements and other considerations. The repurchase program does not obligate the Company to acquire any particular amount of common stock, and the repurchase program may be suspended or discontinued at any time at the Company’s discretion. For the three months ended March 31, 2022, we repurchased no common stock. Net Loss per Common Share Basic net loss per common share is computed on the basis of the weighted average common shares outstanding. Diluted net loss per common share is computed on the basis of the weighted average common shares outstanding plus the effect of all potentially dilutive common shares, including outstanding restricted stock and RSUs, which are treated as contingently issuable shares, using the “treasury stock” method. The components of basic and diluted net (loss) per common share were as follows for the periods stated: For the Three Months Ended March 31, (in thousands, except for share and per share amounts) 2022 2021 Numerator: Net loss $ (7,214) $ (2,297) Denominator: Basic and diluted weighted average common shares outstanding 19,599,526 19,272,786 Basic and diluted net loss per common share $ (0.37) $ (0.12) For the three months ended March 31, 2022, and 2021 the following securities were excluded from the calculation of diluted shares outstanding as the effect would have been anti-dilutive: For the Three Months Ended March 31, 2022 2021 Restricted stock units 270,225 292,059 Stock-Based Compensation Plans On March 23, 2012, our Board of Directors adopted the Spok Holdings, Inc. 2012 Equity Incentive Award Plan (the “2012 Equity Plan”) that our stockholders subsequently approved on May 16, 2012. A total of 2,194,986 shares of common stock were reserved for issuance under this plan. On April 29, 2020, our Board of Directors adopted the Spok Holdings, Inc. 2020 Equity Incentive Award Plan (the “2020 Equity Plan” and, together with the 2012 Equity Plan, the "Equity Plans") that our stockholders subsequently approved on July 28, 2020. At July 28, 2020, a total of 1,699,950 shares of common stock had been reserved for issuance under the Equity Plans, including 1,600,000 shares available under the 2020 Equity Plan and 99,950 shares which, as of the shareholder approval date, remained available for issuance under the 2012 Equity Plan. No further grants will be made under the 2012 Equity Plan, although, the 2012 Equity Plan continues to govern all outstanding awards thereunder. Awards under the 2020 Equity Plan may be in the form of stock options, restricted common stock, RSUs, performance awards, dividend equivalents, stock payment awards, deferred stock, DSUs, stock appreciation rights or other stock or cash-based awards. Restricted stock awards generally vest one year from the date of grant. Related dividends accumulate during the vesting period and are paid at the time of vesting. Contingent RSUs generally vest over a three-year performance period upon successful completion of the performance objectives. Non-contingent RSUs generally vest in thirds, annually, over a three-year period. Dividend equivalent rights generally accompany each RSU award and those rights accumulate and vest along with the underlying RSU. Dividend equivalent rights generally accompany each DSU award and are paid to participants in cash on the Company's applicable dividend payment date whether the DSU is vested or unvested. The dividend equivalent right associated with a DSU continues until delivery of the underlying shares of common stock is made. Payment of the underlying shares of common stock occurs at the earliest of a participant's separation from service, disability, death, or a change in control. Any shares subject to an award under the 2012 Equity Plan that are forfeited or expire will be available for the future grant of awards under the 2020 Equity Plan. As of March 31, 2022, there was an aggregate of 270,885 unvested RSUs under the 2012 Equity Plan. The following table summarizes the activities under the Equity Plans from January 1, 2022, through March 31, 2022: Activity Total equity securities available at January 1, 2022 990,129 RSU, DSU, and restricted stock awarded to eligible employees, net of forfeitures (443,901) Total equity securities available at March 31, 2022 546,228 The following table details activities with respect to outstanding RSUs, DSUs, and restricted stock under the Equity Plans for the three months ended March 31, 2022: Shares Weighted- Unvested at January 1, 2022 771,171 $ 11.24 Granted 454,429 8.65 Vested (12,890) 11.10 Forfeited (10,390) 11.92 Unvested at March, 31 2022 1,202,320 $ 10.26 Of the 1,202,320 unvested RSUs, DSUs and restricted stock outstanding at March 31, 2022, 571,898 RSUs include contingent performance requirements for vesting purposes. At March 31, 2022, there was $6.7 million of unrecognized net compensation cost related to RSUs and restricted stock, which is expected to be recognized over a weighted average period of 1.9 years. For the first three quarters of 2021, qualified employees received a portion of their compensation in the form of shares of the Company's common stock in lieu of cash. These awards were made in advance on a quarterly basis and vested immediately. For the three months ended March 31, 2021, 50,741 shares of common stock were issued, with a weighted average grant date fair value of $12.13. Employee Stock Purchase Plan In 2016, our Board of Directors adopted the Spok Holdings, Inc. Employee Stock Purchase Plan (the "ESPP") that our stockholders subsequently approved on July 25, 2016. A total of 250,000 shares of common stock were reserved for issuance under this plan. The ESPP allows employees to purchase shares of common stock at a discounted rate, subject to plan limitations. Under the ESPP, eligible participants can voluntarily elect to have contributions withheld from their pay for the duration of an offering period, subject to the ESPP limits. At the end of an offering period, contributions will be used to purchase the Company's common stock at a discount to the market price based on the first or last day of the offering period, whichever is lower. Participants are required to hold common stock for a minimum period of two years from the grant date. Participants will begin earning dividends on shares after the purchase date. Each offering period will generally last for no longer than six months. Once an offering period begins, participants cannot adjust their withholding amount. If a participant chooses to withdraw, any previously withheld funds will be returned to the participant, with no stock purchased, and that participant will be eligible to participate in the ESPP during the next offering period. If the participant terminates employment with the Company during the offering period, all contributions will be returned to the employee and no stock will be purchased. The Company uses the Black-Scholes model to calculate the fair value of the common stock to be purchased each offering period on the offer date. The Black-Scholes model requires the use of estimates for the expected term, the expected volatility of the underlying common stock over the expected term, the risk-free interest rate and the expected dividend payment. For the three months ended March 31, 2022, and 2021, no shares of the Company's stock were purchased. The following table summarizes the activities under the ESPP from January 1, 2022, through March 31, 2022: Activity Total ESPP equity securities available at January 1, 2022 133,184 ESPP common stock purchased by eligible employees — Total ESPP securities available at March 31, 2022 133,184 Amounts withheld from participants will be classified as Accrued compensation and benefits in the Condensed Consolidated Balance Sheets until funds are used to purchase shares. This liability amount is immaterial to the Condensed Consolidated Financial Statements. Stock-Based Compensation Expense We record all stock-based compensation, which consist of RSUs, DSUs, restricted stock, equity in lieu of salary, and the option to purchase common stock under the ESPP, at fair value as of the grant date. Stock-based compensation expense is recognized based on a straight-line amortization basis over the respective service period. Forfeitures and withdrawals are accounted for as incurred. The following table reflects the items for stock-based compensation expense in the Condensed Consolidated Statements of Operations for the periods stated: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Performance-based RSUs $ 460 $ 573 Time-based RSUs, DSUs and restricted stock 655 1,023 Equity in lieu of salary — 622 ESPP — 21 Total stock-based compensation $ 1,115 $ 2,239

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES The Coronavirus Aid, Relief, and Economic Security ("CARES") Act was signed into law on March 27, 2020, to provide stimulus and relief in response to the coronavirus disease 2019 ("COVID-19") pandemic and resulting economic collapse. The CARES Act allows for the deferral of payment on the Company's share of the 6.2% Social Security tax on wages paid beginning on March 27, 2020 and ending on December 31, 2020. Deferred amounts are payable in two installments, with 50% of such taxes due on December 31, 2021, and the remainder due on December 31, 2022. This resulted in a total deferral of approximately $2.1 million of payroll taxes under this provision, of which $1.0 million remains due by December 31, 2022, and is included within current liabilities in the Condensed Consolidated Balance Sheet. Spok files a consolidated U.S. federal income tax return and income tax returns in various state, local and foreign jurisdictions as required. Our quarterly tax provision and our quarterly estimate of our annual effective tax rate are subject to significant variation due to several factors, including variability in accurately predicting our pre-tax and taxable income and loss and the mix of jurisdictions to which they relate, changes in how we do business, changes in our stock price, foreign currency gains (losses), tax law developments (including changes in statutes, regulations, case law, and administrative practices), and relative changes of expenses or losses for which tax benefits are not recognized. Additionally, our effective tax rate can be more or less volatile based on the amount of pre-tax income or loss. For example, the impact of discrete items and non-deductible expenses on our effective tax rate is greater when our pre-tax income is lower. For 2022, the anticipated effective income tax rate is expected to continue to differ from the federal statutory rate of 21% primarily due to the effect of state income taxes, permanent differences between book and taxable income, and certain discrete items. We had total net deferred income tax assets ("DTAs") of $32.7 million and $31.7 million at March 31, 2022, and December 31, 2021, respectively. We had a valuation allowance of $25.2 million and $24.2 million at March 31, 2022, and December 31, 2021, respectively. We assess the recoverability of our deferred income tax assets, which represent the tax benefits of future tax deductions, based on available positive and negative evidence and by considering the adequacy of future taxable income from all sources, including prudent and feasible tax planning strategies. This assessment is required to determine whether, based on all available evidence, it is "more likely than not" (meaning a probability of greater than 50%) that all or some portion of the deferred income tax assets will be realized in future periods. During the fourth quarter of each year, we update our multi-year forecast of taxable income for our operations, which assists in analyzing the recoverability of our DTAs. Deferred income tax assets which are not currently covered by a valuation allowance are those that are indefinite-lived, or whose temporary differences would reverse in the future and may result in the creation of an indefinite-lived deferred income tax asset, which we consider to be realized through future taxable income despite near-term uncertainties. The amount of deferred income tax assets considered realizable, however, could be adjusted in the future if objective negative evidence in the form of cumulative losses is no longer present, additional weight is given to subjective evidence such as our projections for future profitability and growth, or other relevant factors arise.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIESThere have been no material changes during the three months ended March 31, 2022, to the commitments and contingencies previously reported in the 2021 Annual Report.

Related Parties

Related Parties	3 Months Ended
	Mar. 31, 2022
Related Party Transactions [Abstract]
Related Parties	RELATED PARTIESA member of our Board of Directors, who was appointed at the beginning of 2020, serves as Chief Information Officer for an entity that is also a customer of the Company. For the three months ended March 31, 2022, and 2021, we recognized revenues of $0.1 million and $0.2 million respectively, related to contracts from the entity at which the individual is employed.

Organization and Significant _2

Organization and Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying Condensed Consolidated Financial Statements include our accounts and the accounts of our wholly owned direct and indirect subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Our Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and the rules and regulations of the United States Securities and Exchange Commission (the “SEC”). In management's opinion, the unaudited Condensed Consolidated Financial Statements include all adjustments and accruals that are necessary for the presentation of the results of all interim periods reported herein and all such adjustments are of a normal, recurring nature. Amounts shown in the Condensed Consolidated Statements of Operations within the operating expense categories of cost of revenue; research and development; technology operations; selling and marketing; and general and administrative are recorded exclusive of depreciation, amortization and accretion. These items are shown separately to the extent that they are considered material for the periods presented. Certain prior period amounts in the Condensed Consolidated Financial Statements have been reclassified to conform to the current period's presentation. These reclassifications had no effect on the reported results of operations or the Condensed Consolidated Balance Sheets. The financial information included herein, other than the Condensed Consolidated Balance Sheet as of December 31, 2021, is unaudited. The Condensed Consolidated Balance Sheet as of December 31, 2021, has been derived from, but does not include all, the disclosures contained in the audited Consolidated Financial Statements as of and for the year ended December 31, 2021. These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and accompanying notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2021 (the “2021 Annual Report”). The Condensed Consolidated Statements of Operations for the interim periods presented are not necessarily indicative of the results that may be expected for a full year.
Use of Estimates	Use of Estimates The preparation of these Condensed Consolidated Financial Statements requires management to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures. On an ongoing basis, we evaluate estimates and assumptions, including, but not limited to, those related to the impairment of long-lived assets, goodwill, accounts receivable allowances, revenue recognition, determining the standalone selling price of performance obligations, variable consideration, restructuring related liabilities, depreciation expense, asset retirement obligations and income taxes. We base our estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.
Recent Accounting Standards	RECENT ACCOUNTING STANDARDS The Company considers the applicability and impact of all Accounting Standards Updates ("ASUs") issued by the Financial Accounting Standards Board ("FASB"). The Company has determined that all recent ASUs issued by the FASB are either not applicable or are expected to have minimal impact on the Company's Condensed Consolidated Financial Statements.

Restructuring (Tables)

Restructuring (Tables)	3 Months Ended
	Mar. 31, 2022
Restructuring and Related Activities [Abstract]
Schedule of Restructuring and Related Costs	The following table provides a summary of our cost estimates by major type of expense associated with the strategic business plan. The restructuring actions associated with these charges are expected to be substantially complete in 2022. Total Estimated Amount to be Incurred Strategic Business Plan Estimates (Dollars in millions) Severance and personnel related costs $5.7 million to $6.6 million Contractual terminations $0.5 million to $0.9 million Total severance and restructuring related charges $6.2 million to $7.5 million For the Three Months Ended March 31, (Dollars in thousands) 2022 Severance and personnel related costs $ 3,997 Contractual terminations 498 Total severance and restructuring costs $ 4,495
Summary of Restructuring Reserve	A summary of activity for the three months ended March 31, 2022, for restructuring-related liabilities associated with the strategic business plan, which is included within accrued compensation and benefits and other current liabilities within the Condensed Consolidated Balance Sheet, is as follows: (Dollars in thousands) Balance at December 31, 2021 $ — Restructuring and other charges 4,495 Payments (34) Non-cash adjustment (124) Balance at March 31, 2022 $ 4,337

Revenue, Deferred Revenue And_2

Revenue, Deferred Revenue And Prepaid Commissions (Tables)	3 Months Ended
	Mar. 31, 2022
Revenue from Contract with Customer [Abstract]
Schedule of Revenue	The following table presents our revenues disaggregated by revenue type: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Revenue: Paging revenue $ 18,313 $ 19,353 Product and other revenue 533 767 Wireless revenue $ 18,846 $ 20,120 License $ 1,824 $ 1,552 Professional services 3,336 4,354 Hardware 589 616 Operations revenue 5,749 6,522 Maintenance 9,230 9,394 Software revenue $ 14,979 $ 15,916 Total revenue $ 33,825 $ 36,036 For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 United States $ 32,772 $ 35,174 International 1,053 862 Total revenue $ 33,825 $ 36,036
Schedule of Deferred Revenue	Changes in the balance of total deferred revenue during the three months ended March 31, 2022, are as follows: (Dollars in thousands) December 31, 2021 Additions Revenue Recognized March 31, 2022 Deferred Revenue $ 26,406 $ 13,491 $ (15,093) $ 24,804
Schedule of Deferred Commissions	Changes in the balance of total prepaid commissions during the three months ended March 31, 2022 are as follows: (Dollars in thousands) December 31, 2021 Additions Commissions Recognized March 31, 2022 Prepaid Commissions $ 1,821 $ 831 $ (1,024) $ 1,628

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2022
Leases [Abstract]
Schedule of Lease Costs	The following table presents lease costs disaggregated by type: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Operating lease cost $ 1,482 $ 1,470 Short-term lease cost 2,633 2,739 Total lease cost $ 4,115 $ 4,209 The following table presents supplemental cash flow information: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Cash paid for amounts included in the measurement of lease liabilities - operating leases $ 1,535 $ 1,375 The following table presents the weighted average remaining lease term and discount rate: March 31, (Dollars in thousands) 2022 2021 Weighted-average remaining lease term - operating leases (in years) 4.60 5.09 Weighted-average discount rate - operating leases 4.42% 4.65%
Schedule of Maturities of Lease Liabilities	Maturities of lease liabilities as of March 31, 2022, were as follows: For the Year Ended December 31, (Dollars in thousands) 2022 (remaining nine months) $ 3,784 2023 4,309 2024 3,419 2025 2,459 2026 2,079 Thereafter 2,078 Total future lease payments 18,128 Imputed interest (1,760) Total $ 16,368

Consolidated Financial Statem_2

Consolidated Financial Statement Components (Tables)	3 Months Ended
	Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Summary of Depreciation, Amortization and Accretion	Depreciation, amortization and accretion expenses consisted of the following for the periods stated: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Depreciation Leasehold improvements $ 19 $ 16 Asset retirement costs (175) (22) Paging and computer equipment 850 1,069 Furniture, fixtures and vehicles 70 58 Total depreciation 764 1,121 Amortization Intangible assets — 417 Capitalized software development costs — 1,035 Total amortization — 1,452 Accretion 170 154 Total depreciation, amortization and accretion expense $ 934 $ 2,727
Property, Plant and Equipment	Property and equipment, net consisted of the following as of the dates stated: (Dollars in thousands) Useful Life March 31, 2022 December 31, 2021 Leasehold improvements shorter of useful life or lease term $ 2,747 $ 3,307 Asset retirement costs 1-5 2,307 2,307 Paging and computer equipment 1-5 88,467 89,844 Furniture, fixtures and vehicles 3-5 3,539 3,668 Total property and equipment 97,060 99,126 Accumulated depreciation (90,418) (92,380) Total property and equipment, net $ 6,642 $ 6,746

Asset Retirement Obligations (T

Asset Retirement Obligations (Tables)	3 Months Ended
	Mar. 31, 2022
Asset Retirement Obligation Disclosure [Abstract]
Changes in Asset Retirement Obligation Liabilities	The components of the changes in the asset retirement obligation liabilities were: (Dollars in thousands) Short-Term Long-Term Total Balance at December 31, 2021 $ 130 $ 6,355 $ 6,485 Accretion 34 136 170 Amounts paid (96) — (96) Reclassifications 119 (119) — Balance at March 31, 2022 $ 187 $ 6,372 $ 6,559

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Mar. 31, 2022
Equity [Abstract]
Cash Dividends Declared	The following table details our cash dividends declared and paid in 2022 through the date hereof: (Dollars in thousands) Declaration Date Record Date Payment Date Per Share Amount Total Declared (1) February 16, 2022 March 16, 2022 March 30, 2022 $ 0.3125 $ 6,513 Total $ 0.3125 $ 6,513 (1) The total declared reflects the cash dividends declared in relation to common stock, deferred stock units ("DSUs") and unvested RSUs.
Basic and Diluted Net Loss Per Common Shares	The components of basic and diluted net (loss) per common share were as follows for the periods stated: For the Three Months Ended March 31, (in thousands, except for share and per share amounts) 2022 2021 Numerator: Net loss $ (7,214) $ (2,297) Denominator: Basic and diluted weighted average common shares outstanding 19,599,526 19,272,786 Basic and diluted net loss per common share $ (0.37) $ (0.12)
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	For the three months ended March 31, 2022, and 2021 the following securities were excluded from the calculation of diluted shares outstanding as the effect would have been anti-dilutive: For the Three Months Ended March 31, 2022 2021 Restricted stock units 270,225 292,059
Activities Under Equity Plan	The following table summarizes the activities under the Equity Plans from January 1, 2022, through March 31, 2022: Activity Total equity securities available at January 1, 2022 990,129 RSU, DSU, and restricted stock awarded to eligible employees, net of forfeitures (443,901) Total equity securities available at March 31, 2022 546,228 Activity Total ESPP equity securities available at January 1, 2022 133,184 ESPP common stock purchased by eligible employees — Total ESPP securities available at March 31, 2022 133,184
Summary of Outstanding RSUs	The following table details activities with respect to outstanding RSUs, DSUs, and restricted stock under the Equity Plans for the three months ended March 31, 2022: Shares Weighted- Unvested at January 1, 2022 771,171 $ 11.24 Granted 454,429 8.65 Vested (12,890) 11.10 Forfeited (10,390) 11.92 Unvested at March, 31 2022 1,202,320 $ 10.26
Stock Based Compensation Expense	The following table reflects the items for stock-based compensation expense in the Condensed Consolidated Statements of Operations for the periods stated: For the Three Months Ended March 31, (Dollars in thousands) 2022 2021 Performance-based RSUs $ 460 $ 573 Time-based RSUs, DSUs and restricted stock 655 1,023 Equity in lieu of salary — 622 ESPP — 21 Total stock-based compensation $ 1,115 $ 2,239

Restructuring - Additional Info

Restructuring - Additional Information (Details) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2022USD ($)	Mar. 31, 2021USD ($)	Dec. 31, 2022position
Restructuring Cost and Reserve [Line Items]
Severance and restructuring | $	$ 4,495	$ 0
Forecast
Restructuring Cost and Reserve [Line Items]
Number of positions to be eliminated | position			175

Restructuring - Summary of Cost

Restructuring - Summary of Cost Estimates (Details) $ in Millions	Feb. 28, 2022USD ($)
Minimum
Restructuring Cost and Reserve [Line Items]
Total severance and restructuring related charges	$ 6.2
Minimum | Severance and personnel related costs
Restructuring Cost and Reserve [Line Items]
Total severance and restructuring related charges	5.7
Minimum | Contractual terminations
Restructuring Cost and Reserve [Line Items]
Total severance and restructuring related charges	0.5
Maximum
Restructuring Cost and Reserve [Line Items]
Total severance and restructuring related charges	7.5
Maximum | Severance and personnel related costs
Restructuring Cost and Reserve [Line Items]
Total severance and restructuring related charges	6.6
Maximum | Contractual terminations
Restructuring Cost and Reserve [Line Items]
Total severance and restructuring related charges	$ 0.9

Restructuring - Restructuring C

Restructuring - Restructuring Costs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Restructuring and Related Activities [Abstract]
Severance and personnel related costs	$ 3,997
Contractual terminations	498
Total severance and restructuring costs	$ 4,495	$ 0

Restructuring - Activity for Re

Restructuring - Activity for Restructuring Related Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Restructuring Reserve [Roll Forward]
Balance at December 31, 2021	$ 0
Restructuring and other charges	4,495	$ 0
Payments	(34)
Non-cash adjustment	$ (124)
Balance at March 31, 2022		$ 4,337

Revenue, Deferred Revenue And_3

Revenue, Deferred Revenue And Prepaid Commissions - Additional Information and Disaggregation of Revenue (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022USD ($)revenue_component	Mar. 31, 2021USD ($)
Revenues from External Customers and Long-Lived Assets
Total revenue	$ 33,825	$ 36,036
Deferred revenue recognized from previous period	9,700
United States
Revenues from External Customers and Long-Lived Assets
Total revenue	32,772	35,174
International
Revenues from External Customers and Long-Lived Assets
Total revenue	$ 1,053	862
Wireless revenue
Revenues from External Customers and Long-Lived Assets
Revenue primary component | revenue_component	2
Total revenue	$ 18,846	20,120
Paging revenue
Revenues from External Customers and Long-Lived Assets
Total revenue	18,313	19,353
Product and other revenue
Revenues from External Customers and Long-Lived Assets
Total revenue	$ 533	767
Software revenue
Revenues from External Customers and Long-Lived Assets
Revenue primary component | revenue_component	2
Total revenue	$ 14,979	15,916
License
Revenues from External Customers and Long-Lived Assets
Total revenue	1,824	1,552
Professional services
Revenues from External Customers and Long-Lived Assets
Total revenue	3,336	4,354
Hardware
Revenues from External Customers and Long-Lived Assets
Total revenue	589	616
Operations revenue
Revenues from External Customers and Long-Lived Assets
Total revenue	$ 5,749	6,522
Maintenance
Revenues from External Customers and Long-Lived Assets
Typical duration of revenue recognition	Maintenance revenue is for ongoing support of our software solutions or related equipment and access to when-and-if available software updates.
Total revenue	$ 9,230	$ 9,394

Revenue, Deferred Revenue And_4

Revenue, Deferred Revenue And Prepaid Commissions - Deferred Revenues (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022USD ($)
Contract With Customer, Asset And Liability [Roll Forward]
Beginning balance	$ 26,406
Additions	13,491
Revenue Recognized	(15,093)
Ending balance	$ 24,804

Revenue, Deferred Revenue And_5

Revenue, Deferred Revenue And Prepaid Commissions - Prepaid Commissions (Details) - Prepaid Commissions $ in Thousands	3 Months Ended
	Mar. 31, 2022USD ($)
Capitalized Contract Cost
Beginning balance	$ 1,821
Additions	831
Commissions Recognized	(1,024)
Ending balance	$ 1,628

Revenue, Deferred Revenue And_6

Revenue, Deferred Revenue And Prepaid Commissions - Remaining Performance Obligations (Details) $ in Millions	Mar. 31, 2022USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 40.5
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 29.6
Remaining performance obligation, period	12 months

Leases - Additional Information

Leases - Additional Information (Details)	3 Months Ended
	Mar. 31, 2022renewal
Lessee, Lease, Description [Line Items]
Termination term	1 year
Minimum
Lessee, Lease, Description [Line Items]
Number of renewal options	1
Maximum
Lessee, Lease, Description [Line Items]
Number of renewal options	5

Leases - Lease Costs (Details)

Leases - Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Leases [Abstract]
Operating lease cost	$ 1,482	$ 1,470
Short-term lease cost	2,633	2,739
Total lease cost	4,115	4,209
Cash paid for amounts included in the measurement of lease liabilities - operating leases	$ 1,535	$ 1,375
Weighted-average remaining lease term - operating leases (in years)	4 years 7 months 6 days	5 years 1 month 2 days
Weighted-average discount rate - operating leases	4.42%	4.65%

Leases - Lease Maturities (Deta

Leases - Lease Maturities (Details) $ in Thousands	Mar. 31, 2022USD ($)
Leases [Abstract]
2022 (remaining nine months)	$ 3,784
2023	4,309
2024	3,419
2025	2,459
2026	2,079
Thereafter	2,078
Total future lease payments	18,128
Imputed interest	(1,760)
Total	$ 16,368

Consolidated Financial Statem_3

Consolidated Financial Statement Components - Depreciation, Amortization and Accretion (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Property, Plant and Equipment [Line Items]
Asset retirement costs	$ (175)	$ (22)
Total depreciation	764	1,121
Amortization
Intangible assets	0	417
Capitalized software development costs	0	1,035
Total amortization	0	1,452
Accretion	170	154
Total depreciation, amortization and accretion expense	934	2,727
Leasehold improvements
Property, Plant and Equipment [Line Items]
Depreciation	19	16
Paging and computer equipment
Property, Plant and Equipment [Line Items]
Depreciation	850	1,069
Furniture, fixtures and vehicles
Property, Plant and Equipment [Line Items]
Depreciation	$ 70	$ 58

Consolidated Financial Statem_4

Consolidated Financial Statement Components - Accounts Receivable, Net (Details) - USD ($) $ in Millions	Mar. 31, 2022	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Allowance for doubtful accounts receivable	$ 1.4	$ 1.4
Unbilled receivables	$ 7.7	$ 7.1

Consolidated Financial Statem_5

Consolidated Financial Statement Components - Property and Equipment, Net (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 97,060	$ 99,126
Accumulated depreciation	(90,418)	(92,380)
Total property and equipment, net	6,642	6,746
Leasehold improvements
Property, Plant and Equipment [Line Items]
Total property and equipment	2,747	3,307
Asset retirement costs
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 2,307	2,307
Asset retirement costs | Minimum
Property, Plant and Equipment [Line Items]
Useful Life (In Years)	1 year
Asset retirement costs | Maximum
Property, Plant and Equipment [Line Items]
Useful Life (In Years)	5 years
Paging and computer equipment
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 88,467	89,844
Paging and computer equipment | Minimum
Property, Plant and Equipment [Line Items]
Useful Life (In Years)	1 year
Paging and computer equipment | Maximum
Property, Plant and Equipment [Line Items]
Useful Life (In Years)	5 years
Furniture, fixtures and vehicles
Property, Plant and Equipment [Line Items]
Total property and equipment	$ 3,539	$ 3,668
Furniture, fixtures and vehicles | Minimum
Property, Plant and Equipment [Line Items]
Useful Life (In Years)	3 years
Furniture, fixtures and vehicles | Maximum
Property, Plant and Equipment [Line Items]
Useful Life (In Years)	5 years

Asset Retirement Obligations -

Asset Retirement Obligations - Changes in Asset Retirement Obligation Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
Balance at December 31, 2021	$ 6,485
Accretion	170	$ 154
Amounts paid	(96)
Reclassifications	0
Balance at March 31, 2022	6,559
Short-Term Portion
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
Balance at December 31, 2021	130
Accretion	34
Amounts paid	(96)
Reclassifications	119
Balance at March 31, 2022	187
Long-Term Portion
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
Balance at December 31, 2021	6,355
Accretion	136
Amounts paid	0
Reclassifications	(119)
Balance at March 31, 2022	$ 6,372

Asset Retirement Obligations _2

Asset Retirement Obligations - Additional Information (Details) $ in Millions	Mar. 31, 2022USD ($)
Asset Retirement Obligation Disclosure [Abstract]
Estimated liability	$ 7.8

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Details)	Sep. 02, 2021day$ / sharesshares	Mar. 31, 2022USD ($)$ / sharesshares	Mar. 31, 2021$ / sharesshares	Apr. 27, 2022USD ($)$ / shares	Feb. 16, 2022USD ($)	Dec. 31, 2021shares	Jul. 28, 2020shares	May 16, 2012shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock authorized (in shares)		75,000,000
Common stock par value (in usd per share) | $ / shares		$ 0.0001
Preferred stock authorized (in shares)		25,000,000
Preferred stock par value (in usd per share) | $ / shares	$ 0.00001	$ 0.0001
Options outstanding (in shares)		0				0
Common stock outstanding (in shares)		19,693,679				19,828,033
Preferred stock outstanding (in shares)		0				0
Number of rights issued for each share of common stock outstanding (in shares)	1
Number of Series A Junior Participating Preferred Stock shares attributable to each right (in shares)	0.10
Exercise price of right (in usd per share) | $ / shares	$ 50.95
Acquiring person, percentage of ownership threshold	10.00%
Acquiring person, passive institutional investor, percentage of ownership threshold	20.00%
Number of business days following tender or exchange offer to trigger exercisability | day	10
Common stock repurchase program, authorized amount | $					$ 10,000,000
Stock repurchased during period (in shares)		0
Shares reserved for future issuance (in shares)							1,699,950
Subsequent Event
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividend rate (in usd per share) | $ / shares				$ 0.3125
Dividends declared | $				$ 6,100,000
Unvested RSUs, DSUs and Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity instruments other than options, nonvested (in shares)		1,202,320				771,171
Shares issued, weighted average grant date fair value (in usd per share) | $ / shares		$ 8.65
2012 Equity Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)							99,950	2,194,986
Shares issued (in shares)			50,741
2012 Equity Plan | Contingent RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity instruments other than options, nonvested (in shares)		571,898
2012 Equity Plan | Restricted Stock and Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity instruments other than options, nonvested (in shares)		270,885
Compensation cost not yet recognized, share-based awards other than options | $		$ 6,700,000
Weighted-average period over which cost is expected to be recognized		1 year 10 months 24 days
2012 Equity Plan | Share-based Payment Arrangement
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares issued, weighted average grant date fair value (in usd per share) | $ / shares			$ 12.13
2020 Equity Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)							1,600,000
2020 Equity Plan | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		1 year
2020 Equity Plan | Contingent RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
2020 Equity Plan | Non-contingent RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
ESPP
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares reserved for future issuance (in shares)		250,000
Award required holding period		2 years
ESPP | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Offering period, maximum		6 months

Stockholders' Equity - Cash Div

Stockholders' Equity - Cash Dividends Declared to Stockholders (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Per share amount (in usd per share)	$ 0.3125	$ 0.1250
Total declared	$ 6,513	$ 2,553
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Per share amount (in usd per share)	$ 0.3125
Total declared	$ 6,513
Common Stock | Installment One
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Declaration Date	Feb. 16, 2022
Record Date	Mar. 16, 2022
Payment Date	Mar. 30, 2022
Per share amount (in usd per share)	$ 0.3125
Total declared	$ 6,513

Stockholders' Equity - Basic an

Stockholders' Equity - Basic and Diluted Net Income (Loss) Per Common Shares (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Numerator:
Net loss	$ (7,214)	$ (2,297)
Denominator:
Basic weighted average common shares outstanding (in shares)	19,599,526	19,272,786
Diluted weighted average common shares outstanding (in shares)	19,599,526	19,272,786
Basic net (loss) income per common share (in usd per share)	$ (0.37)	$ (0.12)
Diluted net (loss) income per common share (in usd per share)	$ (0.37)	$ (0.12)

Stockholders' Equity - Antidilu

Stockholders' Equity - Antidilutive Securities Excluded from Computation of Net Income Per Share (Details) - shares	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Equity [Abstract]
Antidilutive securities restricted stock units (in shares)	270,225	292,059

Stockholders' Equity - Activiti

Stockholders' Equity - Activities Under Equity Plan (Details)	3 Months Ended
	Mar. 31, 2022shares
ESPP
Share-based Compensation Arrangement By Share-based Payment Award, Shares Authorized [Roll Forward]
Shares available for grant (in shares)	133,184
ESPP common stock purchased by eligible employees (in shares)	0
Shares available for grant (in shares)	133,184
Unvested RSUs, DSUs and Restricted Stock
Share-based Compensation Arrangement By Share-based Payment Award, Shares Authorized [Roll Forward]
RSU, DSU, and restricted stock awarded to eligible employees (in shares)	(454,429)
Unvested RSUs, DSUs and Restricted Stock | 2012 Equity Plan
Share-based Compensation Arrangement By Share-based Payment Award, Shares Authorized [Roll Forward]
Shares available for grant (in shares)	990,129
RSU, DSU, and restricted stock awarded to eligible employees (in shares)	(443,901)
Shares available for grant (in shares)	546,228

Stockholders' Equity - Summary

Stockholders' Equity - Summary of Outstanding RSUs (Details) - Unvested RSUs, DSUs and Restricted Stock	3 Months Ended
	Mar. 31, 2022$ / sharesshares
Shares
Beginning balance (in shares) | shares	771,171
Granted (in shares) | shares	454,429
Vested (in shares) | shares	(12,890)
Forfeited (in shares) | shares	(10,390)
Ending balance (in shares) | shares	1,202,320
Weighted- Average Grant Date Fair Value
Beginning balance (in usd per share) | $ / shares	$ 11.24
Granted (in usd per share) | $ / shares	8.65
Vested (in usd per share) | $ / shares	11.10
Forfeited (in usd per share) | $ / shares	11.92
Ending balance (in usd per share) | $ / shares	$ 10.26

Stockholders' Equity - Stock-ba

Stockholders' Equity - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	$ 1,115	$ 2,239
Performance-based RSUs
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	460	573
Time-based RSUs, DSUs and restricted stock
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	655	1,023
Equity in lieu of salary
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	0	622
ESPP
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation	$ 0	$ 21

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Tax Contingency [Line Items]
Accrued payroll taxes, remaining due	$ 1,000
Deferred income tax assets, net	32,684	$ 31,653
Valuation allowance	$ 25,200	$ 24,200
CARES Act
Income Tax Contingency [Line Items]
Payroll Tax Deferral, CARES Act			$ 2,100

Related Parties (Details)

Related Parties (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Director
Related Party Transaction [Line Items]
Revenue from related parties	$ 0.1	$ 0.2