Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 30, 2020 | Jul. 31, 2020 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Fiscal Year Focus | 2020 | |
Document Period End Date | Jun. 30, 2020 | |
Current Fiscal Year End Date | --03-31 | |
Document Transition Report | false | |
Entity File Number | 001-36827 | |
Entity Registrant Name | Anterix Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 3 Garret Mountain Plaza | |
Entity Address, Address Line Two | Suite 401 | |
Entity Address, City or Town | Woodland Park | |
Entity Address, State or Province | NJ | |
Entity Tax Identification Number | 33-0745043 | |
Entity Address, Postal Zip Code | 07424 | |
City Area Code | 973 | |
Local Phone Number | 771-0300 | |
Title of 12(b) Security | Common Stock, $0.0001 par value | |
Trading Symbol | ATEX | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 17,296,295 | |
Amendment Flag | false | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001304492 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2020 | Mar. 31, 2020 |
Current Assets | ||
Cash and cash equivalents | $ 124,766 | $ 137,453 |
Accounts receivable, net of allowance for doubtful accounts of $10 and $12, respectively | 25 | 61 |
Prepaid expenses and other current assets | 1,597 | 4,638 |
Total current assets | 126,388 | 142,152 |
Property and equipment, net | 5,867 | 7,000 |
Right of use assets, net | 6,090 | 6,500 |
Intangible assets | 115,839 | 111,526 |
Equity method investment | 35 | 39 |
Other assets | 166 | 180 |
Total assets | 254,385 | 267,397 |
Current liabilities | ||
Accounts payable and accrued expenses | 3,988 | 5,649 |
Due to related parties | 106 | 110 |
Restructuring reserve | 341 | 636 |
Operating lease liabilities | 1,611 | 1,695 |
Deferred revenue | 729 | 733 |
Total current liabilities | 6,775 | 8,823 |
Noncurrent liabilities | ||
Operating lease liabilities | 6,668 | 7,051 |
Deferred revenue | 2,551 | 2,733 |
Deferred income tax | 3,095 | 3,084 |
Other liabilities | 849 | 640 |
Total liabilities | 19,938 | 22,331 |
Commitments and contingencies | ||
Stockholders' equity | ||
Preferred stock, $0.0001 par value per share, 10,000,000 shares authorized and no shares outstanding at June 30, 2020 and March 31, 2020 | ||
Common stock, $0.0001 par value per share, 100,000,000 shares authorized and 17,289,027 shares issued and outstanding at June 30, 2020 and 17,184,712 shares issued and outstanding at March 31, 2020 | 2 | 2 |
Additional paid-in capital | 455,489 | 450,978 |
Accumulated deficit | (221,044) | (205,914) |
Total stockholders' equity | 234,447 | 245,066 |
Total liabilities and stockholders' equity | $ 254,385 | $ 267,397 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2020 | Mar. 31, 2020 |
Consolidated Balance Sheets [Abstract] | ||
Allowance for doubtful accounts | $ 10 | $ 12 |
Preferred Stock, par value | $ 0.0001 | $ 0.0001 |
Preferred Stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred Stock, shares outstanding | 0 | 0 |
Common Stock, par value | $ 0.0001 | $ 0.0001 |
Common Stock, shares authorized | 100,000,000 | 100,000,000 |
Common Stock, shares issued | 17,289,027 | 17,184,712 |
Common Stock, shares outstanding | 17,289,027 | 17,184,712 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 3 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Operating revenues | ||
Operating revenues | $ 256,000 | $ 453,000 |
Operating expenses | ||
Direct cost of revenue (exclusive of depreciation and amortization) | 548,000 | 918,000 |
General and administrative | 5,738,000 | 4,848,000 |
Sales and support | 661,000 | 1,214,000 |
Product development | 692,000 | 680,000 |
Depreciation and amortization | 1,208,000 | 642,000 |
Stock compensation expense | 1,955,000 | 1,577,000 |
Restructuring costs | 13,000 | 110,000 |
Impairment of long-lived assets | 29,000 | 0 |
Total operating expenses | 10,844,000 | 9,989,000 |
Loss from disposal of intangible assets | (4,678,000) | |
Loss from operations | (15,266,000) | (9,536,000) |
Interest income | 41,000 | 354,000 |
Other income | 110,000 | 100,000 |
Loss on equity method investment | (4,000) | |
Loss before income taxes | (15,119,000) | (9,082,000) |
Income tax expense | 11,000 | 292,000 |
Net loss | $ (15,130,000) | $ (9,374,000) |
Net loss per common share basic and diluted | $ (0.88) | $ (0.63) |
Weighted-average common shares used to compute basic and diluted net loss per share | 17,207,532 | 14,763,379 |
Service [Member] | ||
Operating revenues | ||
Operating revenues | $ 74,000 | $ 271,000 |
Spectrum [Member] | ||
Operating revenues | ||
Operating revenues | $ 182,000 | $ 182,000 |
Consolidated Statement of Stock
Consolidated Statement of Stockholders’ Equity - USD ($) $ in Thousands | Common Stock [Member]Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Common Stock [Member] | Additional Paid-in Capital [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Additional Paid-in Capital [Member]Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Accumulated Deficit [Member]Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Accumulated Deficit [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Total | |
Balance at Mar. 31, 2019 | $ 1 | $ 1 | $ (188) | $ 349,039 | $ 349,227 | $ 188 | $ (168,276) | $ (168,464) | $ 180,764 | $ 180,764 | |
Balance, Shares at Mar. 31, 2019 | 14,739,145 | 14,739,145 | |||||||||
Equity based compensation | [1] | 1,577 | 1,577 | ||||||||
Equity based compensation, Shares | [1] | 24,853 | |||||||||
Stock option exercises | 1,719 | 1,719 | |||||||||
Stock option exercises, Shares | 79,323 | ||||||||||
Shares withheld for taxes | (142) | (142) | |||||||||
Shares withheld for taxes, Shares | (3,208) | ||||||||||
Net loss | (9,374) | (9,374) | |||||||||
Balance at Jun. 30, 2019 | $ 1 | 352,193 | (177,650) | 174,544 | |||||||
Balance, Shares at Jun. 30, 2019 | 14,840,113 | ||||||||||
Balance at Mar. 31, 2020 | $ 2 | 450,978 | (205,914) | 245,066 | |||||||
Balance, Shares at Mar. 31, 2020 | 17,184,712 | ||||||||||
Equity based compensation | [1] | 1,955 | 1,955 | ||||||||
Equity based compensation, Shares | [1] | 38,465 | |||||||||
Equity payment of prior year accrued employee related expenses | 1,537 | 1,537 | |||||||||
Equity payment of prior year accrued employee related expenses, Shares | 19,733 | ||||||||||
Stock option exercises | 1,019 | 1,019 | |||||||||
Stock option exercises, Shares | 46,117 | ||||||||||
Net loss | (15,130) | (15,130) | |||||||||
Balance at Jun. 30, 2020 | $ 2 | $ 455,489 | $ (221,044) | $ 234,447 | |||||||
Balance, Shares at Jun. 30, 2020 | 17,289,027 | ||||||||||
[1] | includes restricted shares |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 3 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (15,130,000) | $ (9,374,000) |
Adjustments to reconcile net loss to net cash used by operating activities | ||
Depreciation and amortization | 1,208,000 | 642,000 |
Non-cash compensation expense attributable to stock awards | 1,955,000 | 1,577,000 |
Deferred income taxes | 11,000 | 292,000 |
Bad debt expense | 87,000 | |
Loss from disposal of intangible assets | 4,678,000 | |
(Gain) loss on disposal of long-lived assets | (1,000) | 1,000 |
Impairment of long-lived assets | 29,000 | 0 |
Loss on equity method investment | 4,000 | |
Changes in operating assets and liabilities | ||
Accounts receivable | 36,000 | 182,000 |
Prepaid expenses and other assets | 3,055,000 | (7,000) |
Right of use assets | 411,000 | 347,000 |
Accounts payable and accrued expenses | (124,000) | (1,372,000) |
Due to related parties | (4,000) | (73,000) |
Restructuring reserve | (295,000) | (803,000) |
Operating lease liabilities | (467,000) | (324,000) |
Deferred revenue | (187,000) | (199,000) |
Other liabilities | 209,000 | (6,000) |
Net cash used by operating activities | (4,612,000) | (9,030,000) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchases of intangible assets | (8,991,000) | |
Purchases of equipment | (103,000) | (247,000) |
Net cash used by investing activities | (9,094,000) | (247,000) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Proceeds from stock option exercises | 1,019,000 | 1,719,000 |
Payments of withholding tax on net issuance of restricted stock | (142,000) | |
Net cash provided by financing activities | 1,019,000 | 1,577,000 |
Net change in cash and cash equivalents | (12,687,000) | (7,700,000) |
CASH AND CASH EQUIVALENTS | ||
Beginning of the period | 137,453,000 | 76,722,000 |
End of the period | 124,766,000 | 69,022,000 |
Cash paid during the period: | ||
Taxes paid | $ 1,000 | |
Non-cash investing activity: | ||
Equity payment of prior year accrued employee related expenses | $ 1,537,000 |
Nature of Operations
Nature of Operations | 3 Months Ended |
Jun. 30, 2020 | |
Nature of Operations [Abstract] | |
Nature of Operations | 1. Nature of Operations  Anterix Inc. (formerly known as pdvWireless, Inc., the “Company”) is a wireless communications company focused on commercializing its spectrum assets to enable its targeted utility and critical infrastructure customers to deploy private broadband networks, technologies and solutions. The Company is the largest holder of licensed spectrum in the 900 MHz band (896-901/935-940 MHz) with nationwide coverage throughout the contiguous United States, Hawaii, Alaska and Puerto Rico. On May 13, 2020, the Federal Communications Commission (“FCC”) approved a Report and Order to modernize and realign the 900 MHz band to increase its usability and capacity by allowing it to be utilized for the deployment of broadband networks, technologies and solutions (the “Report and Order”). The Company is now engaged in qualifying for and securing broadband licenses from the FCC, with a focus on pursuing licenses in those counties in which it believes it has near-term commercial opportunities. At the same time, the Company’s sales and marketing organization is pursuing opportunities to lease the broadband licenses it secures to its targeted utility and critical infrastructure customers.  The Company was originally incorporated in California in 1997 and reincorporated in Delaware in 2014. In November 2015, the Company changed its name from Pacific DataVision, Inc. to pdvWireless, Inc. On August 6, 2019, the Company changed its name from pdvWireless, Inc. to Anterix Inc. The Company maintains offices in Woodland Park, New Jersey and McLean, Virginia.  Historical Business Operations  Historically, the Company generated revenue principally from its pdvConnect and TeamConnect businesses. pdvConnect is a mobile communication and workforce management solution. The Company historically marketed pdvConnect primarily through two Tier 1 carriers in the United States. In Fiscal 2016, it began offering a commercial push-to-talk (“PTT”) service, which was marketed as TeamConnect, in seven major metropolitan areas throughout the United States, including Atlanta, Baltimore/Washington, Chicago, Dallas, Houston, New York and Philadelphia. It primarily offered the TeamConnect service to customers indirectly through third-party sales representatives who were primarily selected from Motorola’s nationwide dealer network.  In June 2018, the Company announced its plan to restructure its operations to align and focus its business priorities on its broadband spectrum initiatives. Consistent with this restructuring plan, the Company transferred its TeamConnect business in December 2018 to A BEEP LLC (“A BEEP”) and Goosetown Enterprises, Inc (“Goosetown”), with the Company continuing to provide customer care, billing and collection services through April 1, 2019. On December 31, 2018, the Company entered into a memorandum of understanding (“MOU”) with the principals of Goosetown. Under the terms of the MOU, the Company assigned the intellectual property rights to its TeamConnect and pdvConnect related applications to TeamConnect LLC (the “LLC”). The LLC assumed customer care services related to the pdvConnect service, with the Company providing transition services to the LLC through April 1, 2019. On April 1 , 2020, the Company transferred its pdvConnect customers to the LLC and the LLC agreed to pay the Company a certain portion of the recurring revenues from these customers.  Follow-on Offering  In July 2019, the Company completed a registered follow-on offering in which it sold 2,222,223 shares of its common stock at a purchase price to the public of $45.00 per share. Net proceeds were approximately $94.2 million after deducting $5.5 million in underwriting discounts and commissions, and $0.3 million in offering expenses.  Executive Succession Plan  On June 25, 2020, the Company issued a press release announcing an effective date of July 1, 2020 for its executive leadership succession plan (the “ Succession Plan ”), which followed the achievement of the FCC Report and Order. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Jun. 30, 2020 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies  Basis of Presentation and Use of Estimates  The unaudited consolidated financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information. Pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”), certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted.  Because certain information and footnote disclosures have been condensed or omitted, these unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2020, as filed on May 28, 2020 with the SEC. In the Company’s opinion all normal and recurring adjustments considered necessary for a fair presentation of the financial position, results of operations and cash flows for the periods presented have been included. The Company believes that the disclosures made in the unaudited consolidated interim financial statements are adequate to make the information not misleading. The results of operations for the interim periods presented are not necessarily indicative of the results for the year. The Company is also required to make certain estimates with regard to the valuation of awards and forfeiture rates for its share-based award programs. New estimates in the period relate to determining the Company’s estimated incremental borrowing rate in recognizing right of use assets and operating lease liabilities. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the financial statements in the applicable period. Accordingly, actual results could materially differ from those estimates.  The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries, including PDV Spectrum Holding Company, LLC formed in April 2014. All significant intercompany accounts and transactions have been eliminated in consolidation.  Reclassifications  Certain prior year amounts have been reclassified to conform to the presentation of the corresponding amounts in the financial statements for the three months ended June 30, 2020. These reclassifications had no effect on previously reported net loss or net loss per common share basic and diluted.  Intangible Assets  Intangible assets are wireless licenses that will be used to provide the Company with the exclusive right to utilize designated radio frequency spectrum to provide wireless communication services. On May 13, 2020, the FCC approved the Report and Order to modernize and realign the 900 MHz band to increase its usability and capacity by allowing it to be utilized for the deployment of broadband networks, technologies and solutions. The Company is now engaged in qualifying for and securing broadband licenses from the FCC, with a focus on pursuing licenses in those counties in which it believes it has near-term commercial opportunities. While licenses are issued for only a fixed time, generally ten years, such licenses are subject to renewal by the FCC. License renewals have occurred routinely and at nominal cost in the past. There are currently no legal, regulatory, contractual, competitive, economic or other factors that limit the useful life of the Company’s wireless licenses. As a result, the Company has determined that the wireless licenses should be treated as an indefinite-lived intangible asset. The Company will evaluate the useful life determination for its wireless licenses each year to determine whether events and circumstances continue to support their treatment as an indefinite useful life asset.  The licenses are tested for impairment annually on an aggregate basis, as the Company will be utilizing the wireless licenses on an integrated basis as part of developing broadband. In the year ended March 31, 2020, (“Fiscal 2020”), the Company performed a step zero qualitative approach to test indefinite-lived intangible assets for impairment by first assessing qualitative factors to determine whether it is more-likely-than-not that the fair value of an indefinite-lived intangible asset is impaired as a basis for determining whether it is necessary to perform quantitative impairment testing. There are no triggering events indicating impairment in the three months ended June 30, 2020.  See Note 4 “Intangible Assets” for a discussion of the Company’s loss from the disposal of intangible assets incurred during the quarter ended June 30, 2020.  Long-Lived Asset and Right of Use Asset Impairment  The Company evaluates long-lived assets, including right of use assets, other than intangible assets with indefinite lives, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset group may not be recoverable. Asset groups are determined at the lowest level for which identifiable cash flows are largely independent of cash flows of other groups of assets and liabilities. When the carrying amount of the asset groups are not recoverable and exceeds its fair value, an impairment loss is recognized equal to the excess of the asset group’s carrying value over the estimated fair value. During the three months ended June 30, 2020, the Company recorded a $29,000 non-cash impairment charge for long-lived assets consisting of $29,000 for network site costs to reduce the carrying values to zero . There was no impairment charge for the three months ending June 30, 2019. Net Loss Per Share of Common Stock  Basic net loss per common share is calculated by dividing the net loss attributable to common stockholders by the weighted-average number of common shares outstanding during the period, without consideration for potentially dilutive securities. For purposes of the diluted net loss per share calculation, preferred stock, stock options, restricted stock and warrants are considered to be potentially dilutive securities. Because the Company has reported a net loss for the three months ended June 30, 2020 and 2019, respectively, diluted net loss per common share is the same as basic net loss per common share for those periods.  Common stock equivalents resulting from potentially dilutive securities approximated 1,586,000 and 1,395,000 at June 30, 2020 and 2019, respectively, and have not been included in the dilutive weighted average shares of common stock outstanding, as their effects are anti-dilutive.  Recently Issued Accounting Pronouncements  In June 2016, the FASB issued ASC 326, Financial Instruments - Credit Losses and has subsequently modified several areas of the standard in order to provide additional clarity and improvements. The new standard requires entities to use a Current Expected Credit Loss impairment model based on expected losses rather than incurred losses. Under this model, an entity would recognize an impairment allowance equal to its current estimate of all contractual cash flows that the entity does not expect to collect from financial assets measured at amortized cost within the scope of the standard. The entity's estimate would consider relevant information about past events, current conditions and reasonable and supportable forecasts, which will result in recognition of lifetime expected credit losses. As a smaller reporting company, the standard will be effective for the Company's fiscal year beginning April 2023, including interim reporting periods within that fiscal year, although early adoption is permitted. The Company is evaluating the potential impact that ASC 326 and subsequent modifications may have on its consolidated financial statements.  Other accounting standards that have been issued or proposed by the FASB or other standard-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company’s consolidated financial statements upon adoption. |
Revenue
Revenue | 3 Months Ended |
Jun. 30, 2020 | |
Revenue [Abstract] | |
Revenue | 3. Revenue  In December 201 8, the Company’s board of directors (the “Board”) approved the transfer of its TeamConnect business and support for its pdvConnect business to help reduce operating costs and to allow the Company to focus on its FCC initiatives and future broadband opportunities. Specifically, the Company entered into: (i) a Customer Acquisition and Resale Agreement with A BEEP on January 2, 2019, (ii) a Customer Acquisition, Resale and Licensing Agreement with Goosetown on January 2, 2019 and (iii) a n MOU with the principals of Goosetown on December 31, 2018. Under the A BEEP and Goosetown Agreements, the Company agreed to: (i) transfer its TeamConnect customers located in the Atlanta, Chicago, Dallas, Houston and Phoenix metropolitan markets to A BEEP, (ii) transfer its TeamConnect customers located in the Baltimore/Washington DC, Philadelphia and New York metropolitan markets to Goosetown, (iii) provide A BEEP and Goosetown with access to MotoTRBO Systems and (iv) grant A BEEP and Goosetown the right to resell access to the MotoTRBO Systems pursuant to separate Mobile Virtual Network Operation arrangements for a two -year period. The Company also granted Goosetown a license to sell the business applications the Company developed for its TeamConnect service. On March 31, 2019, the agreements were amended to formally set the transition date for the businesses as April 1, 2019 and to clarify the responsibilities between the parties.  Under these agreements, A BEEP and Goosetown agreed to provide customer care, billing and collection services for their respective acquired customers. The Company continued to provide these services through April 1, 2019 to help facilitate the transitioning of the acquired customers. Additionally, the Company is required to maintain and pay all site lease, backhaul and utility costs required to operate the MotoTRBO Systems for a two -year period. As part of the Company’s efforts to clear the 900 MHz spectrum for broadband use, A BEEP and Goosetown are required to migrate the acquired customers off the MotoTRBO Systems over the two -year period. In consideration for the customers and rights the Company transferred, A BEEP and Goosetown are required to pay a certain portion of the recurring revenues they receive from the acquired customers ranging from 100% to 20% during the terms of the agreements. Additionally, A BEEP is required to pay the Company a portion of recurring revenue from customers who utilize A BEEP’s push-to-talk Diga-talk Plus application service ranging from 35% to 15% for a period of two years. For a period of two years, Goosetown is required to pay the Company 20% of recurring revenues from the TeamConnect applications it licensed.  Under the terms of the MOU that the Company entered into with the principals of Goosetown on December 31, 2018, the Company assigned the intellectual property rights to its TeamConnect and pdvConnect related applications to the LLC. The LLC also assumed customer care services related to the pdvConnect service, with the Company providing transition services to the LLC through April 1, 2019. On April 1, 2020, the Company transferred its pdvConnect customers to the LLC, and the LLC agreed to pay the Company a certain portion of the recurring revenues from these customers.  In accordance with ASC 606, when the customer purchased or received a discounted handset in connection with entering into a contract for service, the Company allocated revenue between the handset and the service based on the relative standalone selling price. Revenue was recognized when the performance obligation which includes providing the services or transferring control of promised handsets, which are distinct to a customer, had been satisfied. Revenue was recognized in an amount that reflects the consideration the Company expects to be entitled to for those performance obligations.  Service Revenue . The Company has historically derived its service revenue from a fixed monthly recurring unit price per user, with 30-day payment terms, for its pdvConnect, TeamConnect and Diga-talk service offerings.  pdvConnect is a proprietary cloud-based mobile resource management solution which has historically been sold as a separate software-as-a-service offering for dispatch-centric business customers who utilize Tier 1 cellular networks, and to a lesser extent, who utilize land mobile radio networks not operated by the Company. pdvConnect was historically sold directly by the Company or through two Tier 1 domestic carriers. The service is contracted and billed on a month-to-month basis, and the Company satisfies its performance obligation over time as the services are delivered. On April 1, 2020, these customers were transferred to the LLC. The LLC agreed to pay the Company a certain portion of the recurring revenues through the term of the agreement.  TeamConnect combines pdvConnect with push-to-talk (“PTT”) mobile communication services involving digital network architecture and mobile devices. The contract period for the TeamConnect service varies from a month-to-month basis to 24 months. The customer is billed at the beginning of each month of the contract term. The Company recognizes revenue as it satisfies its performance obligation over time as the services are delivered. On April 1, 2019, these customers were transitioned to A BEEP and Goosetown. A BEEP and Goosetown agreed to pay the Company a certain portion of the recurring revenues during the term of the agreements. While the customer remains on the Company’s MotoTRBO Systems, the portion of recurring revenues paid by A BEEP and Goosetown is recorded as revenue.  Spectrum Revenue. In September 201 4, Motorola paid the Company an upfront, fully-paid fee of $7.5 million in order to use a portion of the Company’s wireless spectrum licenses. The payment of the fee is accounted for as deferred revenue on the Company’s consolidated balance sheets and is recognized ratably as the service is provided over the contractual term of approximately ten years. The revenue recognized for the three months ended June 3 0 , 2020 and 2019 was approximately $182,000 each period .  Contract Assets. Contract assets include the portion of the Company’s future service invoices which have been allocated to the discounted price of the radios and amortized as a reduction against service revenue over the contract period.  The Company also recognizes a contract asset for the incremental costs of obtaining a contract with a customer. These costs include commissions for salespeople and commissions paid to third-party dealers. These costs are amortized ratably using the portfolio approach over the estimated customer contract period. The Company reviews the contract asset on a periodic basis to determine if an impairment exists. If it is determined that there is an impairment, the contract asset will be expensed. Under the previous accounting standard, the Company expensed commissions as incurred.  As a result of transferring customers to A BEEP and Goosetown, all contract and contract acquisition costs were impaired. The Company increased direct cost of revenue amounting to $178,000 and sales and support expense amounting to $258,000 for the three months ended June 30 , 20 19 .  Contract liabilities. Contract liabilities primarily relate to advance consideration received from customers for spectrum services, for which revenue is recognized over time, as the services are performed. These contract liabilities are recorded as deferred revenue on the balance sheet. The related liability as of March 31, 2020 of $3.5 million has been reduced by revenue recognized in the three months ended June 30, 2020 of $0.2 million leaving a remaining liability of $3.3 million as of June 30, 2020. |
Intangible Assets
Intangible Assets | 3 Months Ended |
Jun. 30, 2020 | |
Intangible Assets [Abstract] | |
Intangible Assets | 4. Intangible Assets  Wireless licenses are considered indefinite-lived intangible assets. Indefinite-lived intangible assets are not subject to amortization but instead are tested for impairment annually, or more frequently if an event indicates that the asset might be impaired. There were no impairment charges related to the Company’s indefinite-lived intangible assets during the three months ended June 30, 2020 and 2019.  During the three months ended June 30, 2020, the Company entered into agreements with several third parties in multiple U.S. markets to acquire wireless licenses for cash consideration of $9.0 million, after receiving FCC approval.  The nation’s railroads, particularly the major freight lines, operate on six narrowband 900 MHz channels licensed to their trade association, the Association of American Railroads (“AAR”). Three of these narrowband channels are located in the 900 MHz broadband segment created by the FCC in the Report and Order. As a result, in order to qualify for broadband licenses under the Report and Order, the Company will be required to provide spectrum for the relocation of the AAR channels to narrowband channels outside the 900 MHz broadband segment.  In January 2020, the Company entered into an agreement with the AAR in which it agreed to cancel licenses in the 900 MHz band to enable the AAR to relocate its operations, including operations utilizing the three channels located in the 900 MHz broadband segment (the “AAR Agreement”). The FCC referenced the AAR agreement in the Report and Order, and required the Company to cancel its licenses and return them to the FCC in accordance with the AAR Agreement. The Report and Order provides that the FCC will make the channels associated with these licenses available to the AAR to enable the AAR to relocate their current operations. The Report and Order also provides that the FCC will credit the Company for its cancelled licenses for purposes of determining the Company’s eligibility to secure broadband licenses and the calculation of any anti-windfall payments.  In accordance with the Report and Order, the Company cancelled its licenses in the three months ended June 30, 2020. Because the Company did not receive any licenses nor monetary reimbursement in exchange for the cancellation, but only credit for purposes of determining its future eligibility and payment obligations for broadband licenses under the Report and Order, the Company recorded a $4.7 million loss from disposal of the intangible assets in the Consolidated Statements of Operations for the three months ended June 30, 2020.  Intangible assets consist of the following at June 30 , 2020 and March 31, 2020 (in thousands):    Wireless Licenses  Balance at March 31, 2020 $ 111,526  Acquisitions 8,991  Cancellations (4,678)  Balance at June 30, 2020 $ 115,839 |
Equity Method Investment
Equity Method Investment | 3 Months Ended |
Jun. 30, 2020 | |
Equity Method Investment [Abstract] | |
Equity Method Investment | 5. Equity Method Investment  In connection with the transfer of its TeamConnect business and support for its pdvConnect business, the Company entered into a memorandum of understanding (“MOU”) with the principals of Goosetown on December 31, 2018. Under the MOU, the Company agreed to assign the intellectual property rights to its pdvConnect application to the LLC, a new entity formed by the principals of Goosetown, in exchange for a 19.5% ownership interest in the LLC, effective April 30, 2019. The Goosetown principals have agreed to fund the future operations of the LLC, subject to certain limitations. The LLC has assumed the Company’s software support and maintenance obligations under the Goosetown and A BEEP Agreements. The LLC has also assumed customer care services related to the Company’s pdvConnect application. The Company provided transition services to the LLC through April 1, 2019 to facilitate an orderly transition of the customer care services . On April 1, 2020, the Company transferred its pdvConnect customers to the LLC, and the LLC agreed to pay the Company a certain portion of the recurring revenues from these customers. During the three months ended June 30, 2020 , the change in the carrying value of the investment in the LLC is summarized as follows (in thousands):    Equity Method Investment  Equity method investment carrying value at March 31, 2020 $ 39  Share of net loss from LLC (4)  Equity method investment carrying value at June 30, 2020 $ 35 |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Jun. 30, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 6. Related Party Transactions  Under the terms of the MOU, the Company is obligated to pay the LLC a monthly service fee for a 24 -month period ending on January 7, 2021 for its assumption of the Company’s support obligations under the A BEEP and Goosetown agreements. The Company is also obligated to pay the LLC a certain portion of the billed revenue received by the Company from pdvConnect customers for a 48 -month period. For the three months ended June 30, 2020 and 2019, the Company incurred $176,000 and $264,000 under the MOU, respectively. As of June 30, 2020 and March 31, 2020, the Company owed $1,000 and $12,000 to the LLC, respectively.  The Company did no t purchase any equipment from Motorola for the three months ended June 30, 2020. The Company purchased $9,000 of equipment from Motorola for the three months ended June 30, 2019. The Motorola revenue recognized for the three months ended June 30, 2020 and , 2019 were approximately $182,000 each quarter. As of June 30, 2020 and March 31, 2020, the Company owed $105,000 and $98,000 to Motorola, respectively.  On May 5, 2020, the Company entered into a consulting agreement with Rachelle B. Chong under which Ms. Chong will serve as a Senior Advisor to the Company’s management team effective May 15, 2020. In connection with the consulting agreement, Ms. Chong submitted her resignation from the Company’s Board of Directors and as a member of the Board’s Nominating and Corporate Governance Committee. During the three months ended June 30, 2020, the Company incurred $24,000 in consulting fees to Ms. Chong. As of June 30, 2020, the Company did no t owe Ms. Chong fees for consulting services. |
Impairment and Restructuring Ch
Impairment and Restructuring Charges | 3 Months Ended |
Jun. 30, 2020 | |
Impairment and Restructuring Charges [Abstract] | |
Impairment and Restructuring Charges | 7. Impairment and Restructuring Charges  Long-lived Assets and Right of Use Assets Impairment.  During the three months ended June 30, 2020, the Company recorded a $29,000 non-cash impairment charge for long-lived assets consisting of $29,000 for network site costs to reduce the carrying values to zero . There was no impairment charge for the three months ending June 30, 2019.  Restructuring Charges.  April 2018 and June 2018 restructuring activities . In April 2018, the Company announced a shift in its focus and resources in order to pursue its regulatory initiatives at the FCC and prepare for the future deployment of broadband and other advanced technologies and services. In light of this shift in focus, the Company’s Board also approved a chief executive officer transition plan, under which, John Pescatore, the Company’s chief executive officer and president, transitioned to the position of vice chairman and Morgan O’Brien, the Company’s then-current vice chairman, assumed the position as the new chief executive officer. In connection with the transition, the Company and Mr. Pescatore entered into a Continued Service, Consulting and Transition Agreement and a separate Consulting Agreement (the “CEO Transition Agreements”) and the Company also entered into additional consulting and transition agreements with several other key employees.  On June 1, 2018, the Company’s Board approved an initial plan to restructure its business aimed at reducing the operating costs of its TeamConnect and pdvConnect businesses and better aligning and focusing its business priorities on its spectrum initiatives. As part of the restructuring plan, the Company eliminated approximately 20 positions, or 20% of its workforce, primarily from its TeamConnect and pdvConnect businesses. In August 2018, the Company continued with its restructuring efforts and eliminated approximately seven additional positions.  For the three months ended June 30, 2020 , total accrued restructuring charges for the April 2018 and June 2018 restructuring activities were as follows (in thousands):    Restructuring Activities  Balance at March 31, 2020 $ 565  Cash payments (309)  Balance at June 30, 2020 (classified as current liabilities - restructuring reserve) $ 256  December 2018 cost reductions. On December 31, 2018, the Company’s board of directors approved the following cost reduction actions: (i) the elimination of approximately 20 positions, or 30% of the Company’s workforce and (ii) the closure of its office in San Diego, California (collectively, the “December 2018 Cost-Reduction Actions”). For the three months ended June 30, 2020 and 2019, the Company recorded an additional restructuring charge relating to the December 2018 Cost-Reduction Actions amounting to $14,000 and $144,000 , respectively, related to employee severance and benefit costs. For the three months ended June 30, 2019, the Company reduced the facility exit costs accrual for its San Diego, California office by approximately $28,000 . The Company completed the cost reduction and restructuring actions in July 31, 2019 and the related cash payments for severance costs was completed by the end of August 31, 2019.  For the three months ended June 30, 2020, total December 2018 cost reduction charges were as follows (in thousands):    Restructuring Activities  Balance at March 31, 2020 $ 71  Severance costs 14  Cash payments —  Balance at June 30, 2020 (classified as current liabilities - restructuring reserve) $ 85   |
Leases
Leases | 3 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Leases | 8. Leases  A lease is defined as a contract that conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. On April 1, 2019, the Company adopted ASC 842 and it primarily affected the accounting treatment for operating lease agreements in which the Company is the lessee.   Substantially all of the leases in which the Company is the lessee are comprised of corporate office space and tower space. The Company is obligated under certain lease agreements for office space with lease terms expiring on various dates from October 14, 2024 through June 30, 2027, which includes a ten -year lease extension for its corporate headquarters. The Company entered into multiple lease agreements for tower space related to its TeamConnect business. The lease expiration dates range from July 31, 2020 to June 30, 2026.  Substantially all of the Company’s leases are classified as operating leases, and as such, were previously not recognized on the Company’s Consolidated Balance Sheet. With the adoption of Topic 842, operating lease agreements are required to be recognized on the Consolidated Balance Sheet as Right of Use (“ROU”) assets and corresponding lease liabilities.  ROU assets include any prepaid lease payments and exclude any lease incentives and initial direct costs incurred. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The lease terms may include options to extend or terminate the lease if it is reasonably certain that the Company will exercise that option.  Weighted-average remaining lease term and discount rate for the Company’s operating leases are as follows:     Three months ended June 30,  2020 2019  Weighted average term - operating lease liabilities 4.83 years 5.53 years  Weighted average incremental borrowing rate – operating lease liabilities 13% 13%  Rent expense amounted to approximately $0.7 million for the three months ended June 30, 2020, of which approximately $0.4 million was classified as cost of revenue and the remainder of approximately $0.3 million was classified in operating expenses in the Consolidated Statements of Operations. Rent expense amounted to approximately $0.6 million for the three months June 30, 2019, of which approximately $0.4 million , was classified as cost of revenue and the remainder of approximately $0.2 million was classified in operating expenses in the Consolidated Statements of Operations . In June 2020, the Company terminated an operating tower space lease early resulting in a non-cash reductions in ROU assets by $19,000 , operating lease liabilities by $20,000 and gain in disposal of long-lived asset by $1,000 .  The following table presents net lease cost for the three months ended June 30, 2020 and 2019 (in thousands):    Three months ended June 30,  2020 2019  Lease cost  Operating lease cost (cost resulting from lease payments) $ 659 $ 624  Short term lease cost 3 22  Sublease income (3) (4)  Net lease cost $ 659 $ 642  The following table presents supplemental cash flow and non-cash activity information for the three months ended June 30, 2020 and 2019 (in thousands):    Three months ended June 30,  2020 2019  Operating cash flow information:  Operating lease - operating cash flows (fixed payments) $ 723 $ 637  Operating lease - operating cash flows (liability reduction) $ 467 $ 324  Non-cash activity:  Right of use assets obtained in exchange for new operating lease liabilities $ — $ 7,904   The following table presents supplemental balance sheet information as of June 30, 2020 and March 31, 2020 (in thousands):     June 30, 2020 March 31, 2020  Non-current assets - right of use assets, net $ 6,090 $ 6,500  Current liabilities - operating lease liabilities $ 1,611 $ 1,695  Non-current liabilities - operating lease liabilities $ 6,668 $ 7,051  Future minimum payments under non-cancelable leases for office and tower spaces (exclusive of real estate tax, utilities, maintenance and other costs borne by the Company), for the remaining terms of the leases following the three months ended June 30, 2020 are as follows (in thousands):    Operating  Fiscal Year Leases  2021 (excluding the three months ended June 30, 2020) $ 1,977  2022 2,292  2023 2,126  2024 1,920  2025 1,532  After 2025 1,373  Total future minimum lease payments 11,220  Amount representing interest (2,941)  Present value of net future minimum lease payments $ 8,279 |
Income Taxes
Income Taxes | 3 Months Ended |
Jun. 30, 2020 | |
Income Taxes [Abstract] | |
Income Taxes | 9. Income Taxes  On March 27, 2020, the Coronavirus Aid Relief and Economic Security (“CARES”) Act was signed into law. The Act contains several new or changed income tax provisions, including but not limited to the following: increased limitation threshold for determining deductible interest expense, class life changes to qualified improvements (in general, from 39 years to 15 years) and the ability to carry back net operating losses (“NOLs”) incurred from tax years 2018 through 2020 up to the five preceding tax years. Most of these provisions are either not applicable or have no material effect on the Company. However, the CARES Act changed the language of when NOLs converted from a 20-year life to an indefinite life. From the Tax Cuts and Jobs Act of 2017 (“TCJA”) rule, NOLs in tax periods ending after December 31, 2017 had an indefinite life. Under the new CARES Act, NOLs generated in periods beginning after December 31, 2017 are carried forward indefinitely. This dating change effectively disqualified the Company's March 31, 2018 NOL as an indefinite lived asset and source of taxable income to offset the Company's deferred tax liability stemming from indefinite-lived intangibles. The Company's NOLs generated after March 31, 2018, may continue to be used as an indefinite-lived asset to offset the deferred tax liability, but limited to 80% of future taxable income (or the balance of the deferred tax liability as of March 31, 2020). The total impact of this date change from the CARES Act increased the Company's net federal deferred tax liability from approximately $0.2 million to $1.6 million as of March 31, 2020. The state deferred tax liability of approximately $1.4 million as of March 31, 2020 is unchanged.  For the year ended March 31, 2019, the Company had federal and state NOL carryforwards of approximately $164.0 million and $74.0 million, respectively, expiring in various amounts from 2020 through 2038 , to offset future taxable income. Federal and state NOLs generated during the March 31, 2019 period of approximately $38.5 million and $6.0 million, respectively, can be carried forward indefinitely but limited to 80% of future taxable income when used. For the year ended March 31, 2020, the Company incurred federal and state operating losses of approximately $48.1 million and $38.8 million, respectively, to offset future taxable income, of which the entire $48.1 million federal NOL and $9.2 million of state NOLs can be carried forward indefinitely, but can only offset 80% of taxable income when used.  For the three months ended June 30, 2020, the Company incurred federal and state net operating losses of approximately $14.9 million and $12.0 million, respectively, to offset future taxable income, of which $19.0 million can be carried forward indefinitely, but can only offset 80% of taxable income when used.  The Company used a discrete effective tax rate method to calculate taxes for the three months ended June 30, 2020. The Company determined that applying an estimate of the annual effective tax rate would not provide a reasonable estimate as small changes in estimated “ordinary” loss would result in significant changes in the estimated annual effective tax rate. Accordingly, for the three months ending June 30, 2020, the Company recorded a total deferred tax expense of $11,000 due to the inability to use some portion of federal and state NOL carryforwards against the deferred tax liability created by amortization of indefinite-lived intangibles. |
Stock Acquisition Rights, Stock
Stock Acquisition Rights, Stock Options and Warrants | 3 Months Ended |
Jun. 30, 2020 | |
Stock Acquisition Rights, Stock Options and Warrants [Abstract] | |
Stock Acquisition Rights, Stock Options and Warrants | 10. Stock Acquisition Rights, Stock Options and Warrants  The Company established the 2014 Stock Plan (the “2014 Stock Plan”) to attract, retain and reward individuals who contribute to the achievement of the Company’s goals and objectives. This 2014 Stock Plan superseded previous stock plans although under such previous plans, 19,358 stock option shares were outstanding and vested as of June 30, 2020.  The Company’s Board has reserved 4,147,985 shares of common stock for issuance under its 2014 Stock Plan as of June 30, 2020, of which 890,473 shares are available for future issuance. The number of shares may increase, based on Board approval, each January 1 through January 1, 2024 by an amount equal to the lesser of (i) 5% of the number of shares of common stock issued and outstanding on the immediately preceding December 31 or (ii) a lesser amount determined by the Board. Effective January 1, 2020, the Board elected to increase the shares authorized under the 2014 Stock Plan by 342,762 shares, which represented 2% of the of the Company’s common stock issued and outstanding as of December 31, 2019.  Restricted Stock and Restricted Stock Units  A summary of non-vested restricted stock activity for the three months ended June 30, 2020 is as follows:     Weighted  Average  Restricted Grant Day  Stock Fair Value  Non-vested restricted stock outstanding at March 31, 2020 352,194 $ 37.41  Granted 205,981 49.86  Forfeited — —  Vested (53,957) 42.13  Non-vested restricted stock outstanding at June 30, 2020 504,218 $ 41.99  The Company recognizes compensation expense for restricted stock on a straight-line basis over the explicit vesting period. Vested restricted stock units are settled and issuable upon the earlier of the date the employee ceases to be an employee of the Company or a date certain in the future. Stock compensation expense related to restricted stock was approximately $1.7 million and $1.0 million for the three months ended June 30 , 2020 and 2019, respectively.  At June 30, 2020, there was $17.1 million of unvested compensation expense for restricted stock, which is expected to be recognized over a weighted average period of 2.8 years.  Performance Stock Units  A summary of the performance stock unit activity for the three months ended June 30, 2020 is as follows:     Weighted  Average  Performance Grant Day  Stock Fair Value  Performance stock outstanding at March 31, 2020 138,984 $ 46.85  Granted 30,049 49.92  Forfeited — —  Vested — —  Performance stock outstanding at June 30, 2020 169,033 $ 47.10  On February 28, 2020, the Company awarded 95,538 performance-based restricted stock units. The performance goals are:  (A) Target Goal : 50% of the shares vest upon (i) achievement by December 31, 2020 of a Final Order from the FCC providing for the creation and allocation of licenses for spectrum in the 900 MHz band consisting of paired blocks of contiguous spectrum, each containing at least 3 MHz of contiguous spectrum, authorized for broadband wireless communications uses and (ii) the lack of objection by the Company’s Board to the terms and conditions (including, but not limited to, the rebanding, clearing and relocation procedures, license assignment and award mechanisms and technical and operational rules) set forth or referenced in the Final Order; and  (B) Stretch Goal : The remaining 50% of the performance shares vest and settle upon the occurrence of all three of the following conditions: (i) the Company enters into one or more long-term agreement(s) with critical infrastructure or enterprise business(es) to enable such business(es) to utilize the Company’s spectrum for broadband connectivity; (ii) the combined total contract dollars payable to the Company over the initial term(s) of such agreement(s) equals or exceeds a certain amount as specified by the Board; and (iii) the agreement(s) is/are binding on such business(es) and is/are either not contingent on prior Board approval(s) or such approval(s) has/have been received. If all of these conditions have not been achieved by December 30, 2020, the performance shares will expire unvested.  Additionally, on February 28, 2020, the Company awarded 43,446 performance-based restricted stock units. The performance goal related to these units is: 100% of the shares will vest upon (i) achievement by December 31, 2020 of a Final Order from the FCC providing for the creation and allocation of licenses for spectrum in the 900 MHz band consisting of paired blocks of contiguous spectrum, each containing at least 3 MHz of contiguous spectrum, authorized for broadband wireless communications uses and (ii) the lack of objection by the Company’s Board to the terms and conditions (including, but not limited to, the rebanding, clearing and relocation procedures, license assignment and award mechanisms and technical and operational rules) set forth or referenced in the Final Order.  On June 24, 2020, the Company awarded up to 60,098 performance-based restricted units to the newly appointed President and Chief Executive Officer as part of the Succession Plan, (the “CEO Performance Units”). The performance-based restricted units will vest based on the Company’s achievement of revenue metric over a four -year measurement period from the grant date, with 30,049 units vesting if the target revenue metric is achieved and up to 60,098 vesting if the maximum revenue metric is achieved.  For the three months ended June 30, 20 20, the Company recorded stock compensation expense amounting to approximately $7,000 for the CEO Performance Units. For the three months ended June 30, 201 9 , there was no stock compensation expense recognized for the performance -based restricted stock units. A s of June 30, 20 20 , there was approximately $8.0 million of unvested compensation expense related to the outstanding performance -based restricted stock units .  Stock Options  A summary of stock option activity for the three months ended June 30, 2020 is as follows:     Options Weighted Average Exercise Price  Options outstanding at March 31, 2020 1,807,466 $ 23.93  Options granted 60,558 49.92  Options exercised (58,704) (29.39)  Options forfeited/expired — —  Options outstanding at June 30, 2020 1,809,320 $ 24.63  On June 24, 2020 , the Company awarded a stock option to purchase 60,558 shares of common stock to its newly appointed President and Chief Executive Officer as part of the Succession Plan. The award has a contractual life of 10 years . 25% of the option shares will vest on July 1, 2021with the remaining shares vesting in three equal annual installments, based on the President and Chief Executive Officer’s continuous service to the Company through the applicable vesting dates.  The Black-Scholes option model requires weighted average assumptions to be used for the calculation of the Company’s stock compensation expense. The assumptions used during the three months ended June 30, 2020 were: the expected life of the award was 6.07 years; the risk free interest rate was 0.43% ; the expected volatility rate was 53.41% ; the expected dividend yield was 0.0% ; and the expected forfeiture rate was 0% .  Stock compensation expense related to the amortization of the fair value of stock options issued was approximately $0.2 million for the three months ended June 30, 2020. For the three months ended June 30, 2019, stock compensation expense was approximately $0.6 million .  As of June 30, 2020, there was approximately $2.0 million of unrecognized compensation expense related to non-vested stock options granted under the Company’s stock option plans which is expected to be recognized over a weighted-average period of 1.9 years.  Performance Stock Options  A summary of the performance stock options as of June 30, 2020 is as follows:     Performance Options Weighted Average Exercise Price  Performance Options outstanding at March 31, 2020 82,197 $ 46.85  Performance Options granted — —  Performance Options exercised — —  Performance Options forfeited/expired — —  Performance Options outstanding at June 30, 2020 82,197 $ 46.85  On February 28, 2020, the Company awarded 67,562 performance-based stock options. The performance goals are:  (A) Target Goal : 50% of the shares vest upon (i) achievement by December 31, 2020 of a Final Order from the FCC providing for the creation and allocation of licenses for spectrum in the 900 MHz band consisting of paired blocks of contiguous spectrum, each containing at least 3 MHz of contiguous spectrum, authorized for broadband wireless communications uses and (ii) the lack of objection by the Company’s Board to the terms and conditions (including, but not limited to, the rebanding, clearing and relocation procedures, license assignment and award mechanisms and technical and operational rules) set forth or referenced in the Final Order and  (B) Stretch Goal : The remaining 50% of the performance shares vest and settle upon the occurrence of all three of the following conditions: (i) the Company enters into one or more long-term agreement(s) with critical infrastructure or enterprise business(es) to enable such business(es) to utilize the Company’s spectrum for broadband connectivity; (ii) the combined total contract dollars payable to the Company over the initial term(s) of such agreement(s) equals or exceeds a certain amount as specified by the Board; and (iii) the agreement(s) is/are binding on such business(es) and is/are either not contingent on prior Board of Director approval(s) or such approval(s) has/have been received. If all of these conditions have not been achieved by December 30, 2020, the performance shares will expire unvested.  Additionally, the Company awarded 14,635 performance-based stock options on February 28, 2020. The performance goal is: 100% of the shares will vest upon (i) achievement by December 31, 2020 of a Final Order from the FCC providing for the creation and allocation of licenses for spectrum in the 900 MHz band consisting of paired blocks of contiguous spectrum, each containing at least 3 MHz of contiguous spectrum, authorized for broadband wireless communications uses and (ii) the lack of objection by the Company’s Board to the terms and conditions (including, but not limited to, the rebanding, clearing and relocation procedures, license assignment and award mechanisms and technical and operational rules) set forth or referenced in the Final Order.  For the three months ended June 30 , 2020, there was no stock compensation expense recognized for the 82,197 performance-based stock options. As of June 30 , 2020, there was approximately $1.4 million of unvested compensation expense relating to the outstanding performance-based stock options.  Motorola Investment  On September 15, 2014, Motorola invested $10.0 million to purchase 500,000 Class B Units of the Company’s subsidiary, PDV Spectrum Holding Company, LLC (at a price equal to $20.00 per unit). The Company owns 100% of the Class A Units in this subsidiary. Motorola has the right at any time to convert its 500,000 Class B Units into 500,000 shares of the Company’s common stock. The Company also has the right to force Motorola’s conversion of these Class B Units into shares of its common stock at its election. Motorola is not entitled to any assets, profits or distributions from the operations of the subsidiary. In addition, Motorola’s conversion ratio from Class B Units to shares of the Company’s common stock is fixed on a one -for-one basis, and is not dependent on the performance or valuation of either the Company or the subsidiary. The Class B Units have no redemption or call provisions and can only be converted into shares of the Company’s common stock. Management has determined that this investment does not meet the criteria for temporary equity or non-controlling interest due to the limited rights that Motorola has as a holder of Class B Units, and accordingly has presented this investment as part of its permanent equity within Additional Paid-in Capital in the accompanying consolidated financial statements. |
Contingencies
Contingencies | 3 Months Ended |
Jun. 30, 2020 | |
Contingencies [Abstract] | |
Contingencies | 11. Contingencies  Liti gation  From time to time, the Company may be involved in litigation that arises from the ordinary operations of the business, such as contractual or employment disputes or other general actions. The Company is not involved in any material legal proceedings at this time.  COVID-19 Pandemic  In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (“COVID-19”) as a pandemic and COVID-19 continues to cause significant disruptions throughout the United States. The ultimate extent of the impact of COVID-19 on the financial performance of the Company and its ability to secure broadband licenses pursuant to the terms of the 900 MHz Report and Order and to commercialize any broadband licenses it secures, will depend on future developments, including the duration and spread of COVID-19, the laws, orders and restrictions imposed by federal, state and local governmental agencies, and the overall economy, all of which are highly uncertain and cannot be predicted. If the financial markets and/or the overall economy are impacted for an extended period, the Company's operating results may be materially and adversely affected. The Company is actively managing the business to maintain its cash flow and believes that it has adequate liquidity through at least the next twelve months. |
Concentrations of Credit Risk
Concentrations of Credit Risk | 3 Months Ended |
Jun. 30, 2020 | |
Concentrations of Credit Risk [Abstract] | |
Concentrations of Credit Risk | 12. Concentrations of Credit Risk  Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents and trade accounts receivable.  The Company places its cash and temporary cash investments with financial institutions for which credit loss is not anticipated.  As of June 30, 2020 , the Company sells its pdvConnect product and extends credit predominately to one third-party carrier. The Company maintains allowances for doubtful accounts based on factors surrounding the write-off history, historical trends, and other information. |
Business Concentrations
Business Concentrations | 3 Months Ended |
Jun. 30, 2020 | |
Business Concentrations [Abstract] | |
Business Concentrations | 13. Business Concentrations  For the three months ended June 30, 2020 , the Company had one reseller that accounted for approximately 14% of total operating revenues. For the three months ended June 30, 2019, the Company had two Tier 1 domestic carrier that accounted for approximately 89% of operating revenues.  As of June 30, 2020 , the Company had one domestic carrier that accounted for approximately 73% of total accounts receivable. As of March 31, 2020, the Company had one domestic carrier and one reseller that accounted for approximately 71% of total accounts receivable .  |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Jun. 30, 2020 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation and Use of Estimates | Basis of Presentation and Use of Estimates  The unaudited consolidated financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information. Pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”), certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted.  Because certain information and footnote disclosures have been condensed or omitted, these unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2020, as filed on May 28, 2020 with the SEC. In the Company’s opinion all normal and recurring adjustments considered necessary for a fair presentation of the financial position, results of operations and cash flows for the periods presented have been included. The Company believes that the disclosures made in the unaudited consolidated interim financial statements are adequate to make the information not misleading. The results of operations for the interim periods presented are not necessarily indicative of the results for the year. The Company is also required to make certain estimates with regard to the valuation of awards and forfeiture rates for its share-based award programs. New estimates in the period relate to determining the Company’s estimated incremental borrowing rate in recognizing right of use assets and operating lease liabilities. Estimates and assumptions are reviewed periodically, and the effects of revisions are reflected in the financial statements in the applicable period. Accordingly, actual results could materially differ from those estimates.  The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries, including PDV Spectrum Holding Company, LLC formed in April 2014. All significant intercompany accounts and transactions have been eliminated in consolidation.  |
Reclassifications |  Reclassifications  Certain prior year amounts have been reclassified to conform to the presentation of the corresponding amounts in the financial statements for the three months ended June 30, 2020. These reclassifications had no effect on previously reported net loss or net loss per common share basic and diluted.  |
Intangible Assets |  Intangible Assets  Intangible assets are wireless licenses that will be used to provide the Company with the exclusive right to utilize designated radio frequency spectrum to provide wireless communication services. On May 13, 2020, the FCC approved the Report and Order to modernize and realign the 900 MHz band to increase its usability and capacity by allowing it to be utilized for the deployment of broadband networks, technologies and solutions. The Company is now engaged in qualifying for and securing broadband licenses from the FCC, with a focus on pursuing licenses in those counties in which it believes it has near-term commercial opportunities. While licenses are issued for only a fixed time, generally ten years, such licenses are subject to renewal by the FCC. License renewals have occurred routinely and at nominal cost in the past. There are currently no legal, regulatory, contractual, competitive, economic or other factors that limit the useful life of the Company’s wireless licenses. As a result, the Company has determined that the wireless licenses should be treated as an indefinite-lived intangible asset. The Company will evaluate the useful life determination for its wireless licenses each year to determine whether events and circumstances continue to support their treatment as an indefinite useful life asset.  The licenses are tested for impairment annually on an aggregate basis, as the Company will be utilizing the wireless licenses on an integrated basis as part of developing broadband. In the year ended March 31, 2020, (“Fiscal 2020”), the Company performed a step zero qualitative approach to test indefinite-lived intangible assets for impairment by first assessing qualitative factors to determine whether it is more-likely-than-not that the fair value of an indefinite-lived intangible asset is impaired as a basis for determining whether it is necessary to perform quantitative impairment testing. There are no triggering events indicating impairment in the three months ended June 30, 2020.  See Note 4 “Intangible Assets” for a discussion of the Company’s loss from the disposal of intangible assets incurred during the quarter ended June 30, 2020.  |
Long-Lived Assets and Right of Use Assets Impairment | Long-Lived Asset and Right of Use Asset Impairment  The Company evaluates long-lived assets, including right of use assets, other than intangible assets with indefinite lives, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset group may not be recoverable. Asset groups are determined at the lowest level for which identifiable cash flows are largely independent of cash flows of other groups of assets and liabilities. When the carrying amount of the asset groups are not recoverable and exceeds its fair value, an impairment loss is recognized equal to the excess of the asset group’s carrying value over the estimated fair value. During the three months ended June 30, 2020, the Company recorded a $29,000 non-cash impairment charge for long-lived assets consisting of $29,000 for network site costs to reduce the carrying values to zero . There was no impairment charge for the three months ending June 30, 2019. |
Net Loss Per Share of Common Stock | Net Loss Per Share of Common Stock  Basic net loss per common share is calculated by dividing the net loss attributable to common stockholders by the weighted-average number of common shares outstanding during the period, without consideration for potentially dilutive securities. For purposes of the diluted net loss per share calculation, preferred stock, stock options, restricted stock and warrants are considered to be potentially dilutive securities. Because the Company has reported a net loss for the three months ended June 30, 2020 and 2019, respectively, diluted net loss per common share is the same as basic net loss per common share for those periods.  Common stock equivalents resulting from potentially dilutive securities approximated 1,586,000 and 1,395,000 at June 30, 2020 and 2019, respectively, and have not been included in the dilutive weighted average shares of common stock outstanding, as their effects are anti-dilutive. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements  In June 2016, the FASB issued ASC 326, Financial Instruments - Credit Losses and has subsequently modified several areas of the standard in order to provide additional clarity and improvements. The new standard requires entities to use a Current Expected Credit Loss impairment model based on expected losses rather than incurred losses. Under this model, an entity would recognize an impairment allowance equal to its current estimate of all contractual cash flows that the entity does not expect to collect from financial assets measured at amortized cost within the scope of the standard. The entity's estimate would consider relevant information about past events, current conditions and reasonable and supportable forecasts, which will result in recognition of lifetime expected credit losses. As a smaller reporting company, the standard will be effective for the Company's fiscal year beginning April 2023, including interim reporting periods within that fiscal year, although early adoption is permitted. The Company is evaluating the potential impact that ASC 326 and subsequent modifications may have on its consolidated financial statements.  Other accounting standards that have been issued or proposed by the FASB or other standard-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company’s consolidated financial statements upon adoption. |
Intangible Assets (Tables)
Intangible Assets (Tables) | 3 Months Ended |
Jun. 30, 2020 | |
Intangible Assets [Abstract] | |
Schedule of Indefinite-Lived Intangible Assets |   Wireless Licenses  Balance at March 31, 2020 $ 111,526  Acquisitions 8,991  Cancellations (4,678)  Balance at June 30, 2020 $ 115,839  |
Equity Method Investment (Table
Equity Method Investment (Tables) | 3 Months Ended |
Jun. 30, 2020 | |
Equity Method Investment [Abstract] | |
Equity Method Investment |   Equity Method Investment  Equity method investment carrying value at March 31, 2020 $ 39  Share of net loss from LLC (4)  Equity method investment carrying value at June 30, 2020 $ 35  |
Impairment and Restructuring _2
Impairment and Restructuring Charges (Tables) | 3 Months Ended |
Jun. 30, 2020 | |
April 2018 And June 2018 Restructuring Activities [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Schedule of Accrued Restructuring Charges |   Restructuring Activities  Balance at March 31, 2020 $ 565  Cash payments (309)  Balance at June 30, 2020 (classified as current liabilities - restructuring reserve) $ 256   |
December 2018 Cost Reductions [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Schedule of Accrued Restructuring Charges |   Restructuring Activities  Balance at March 31, 2020 $ 71  Severance costs 14  Cash payments —  Balance at June 30, 2020 (classified as current liabilities - restructuring reserve) $ 85   |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Additional Lease Cost Information |   Three months ended June 30,  2020 2019  Weighted average term - operating lease liabilities 4.83 years 5.53 years  Weighted average incremental borrowing rate – operating lease liabilities 13% 13%   |
Lease Cost |   Three months ended June 30,  2020 2019  Lease cost  Operating lease cost (cost resulting from lease payments) $ 659 $ 624  Short term lease cost 3 22  Sublease income (3) (4)  Net lease cost $ 659 $ 642  |
Supplemental Lease Information | The following table presents supplemental cash flow and non-cash activity information for the three months ended June 30, 2020 and 2019 (in thousands):    Three months ended June 30,  2020 2019  Operating cash flow information:  Operating lease - operating cash flows (fixed payments) $ 723 $ 637  Operating lease - operating cash flows (liability reduction) $ 467 $ 324  Non-cash activity:  Right of use assets obtained in exchange for new operating lease liabilities $ — $ 7,904   The following table presents supplemental balance sheet information as of June 30, 2020 and March 31, 2020 (in thousands):     June 30, 2020 March 31, 2020  Non-current assets - right of use assets, net $ 6,090 $ 6,500  Current liabilities - operating lease liabilities $ 1,611 $ 1,695  Non-current liabilities - operating lease liabilities $ 6,668 $ 7,051   |
Future Minimum Payments |   Operating  Fiscal Year Leases  2021 (excluding the three months ended June 30, 2020) $ 1,977  2022 2,292  2023 2,126  2024 1,920  2025 1,532  After 2025 1,373  Total future minimum lease payments 11,220  Amount representing interest (2,941)  Present value of net future minimum lease payments $ 8,279  |
Stock Acquisition Rights, Sto_2
Stock Acquisition Rights, Stock Options and Warrants (Tables) | 3 Months Ended |
Jun. 30, 2020 | |
Stock Acquisition Rights, Stock Options and Warrants [Abstract] | |
Summary of Restricted Stock and Restricted Stock Units Activity |    Weighted  Average  Restricted Grant Day  Stock Fair Value  Non-vested restricted stock outstanding at March 31, 2020 352,194 $ 37.41  Granted 205,981 49.86  Forfeited — —  Vested (53,957) 42.13  Non-vested restricted stock outstanding at June 30, 2020 504,218 $ 41.99  |
Summary of Performance Stock Activity |    Weighted  Average  Performance Grant Day  Stock Fair Value  Performance stock outstanding at March 31, 2020 138,984 $ 46.85  Granted 30,049 49.92  Forfeited — —  Vested — —  Performance stock outstanding at June 30, 2020 169,033 $ 47.10  |
Summary of Stock Option Activity |    Options Weighted Average Exercise Price  Options outstanding at March 31, 2020 1,807,466 $ 23.93  Options granted 60,558 49.92  Options exercised (58,704) (29.39)  Options forfeited/expired — —  Options outstanding at June 30, 2020 1,809,320 $ 24.63  |
Summary of Performance Stock Options |    Performance Options Weighted Average Exercise Price  Performance Options outstanding at March 31, 2020 82,197 $ 46.85  Performance Options granted — —  Performance Options exercised — —  Performance Options forfeited/expired — —  Performance Options outstanding at June 30, 2020 82,197 $ 46.85   |
Nature of Operations (Details)
Nature of Operations (Details) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | |
Jul. 31, 2019USD ($)$ / sharesshares | Jun. 30, 2020item | Sep. 15, 2014$ / shares | |
Conversion of Stock [Line Items] | |||
Sale of stock | shares | 2,222,223 | ||
Sale of stock, price per share | $ / shares | $ 45 | ||
Issuance of stock during July 2019 follow-on offering, net of closing costs | $ 94.2 | ||
Underwriting discounts | 5.5 | ||
Offering expenses | $ 0.3 | ||
TeamConnect LLC [Member] | |||
Conversion of Stock [Line Items] | |||
Metropolitan market areas | item | 7 | ||
PDV Spectrum Holding Company, LLC [Member] | Common Class B Units [Member] | |||
Conversion of Stock [Line Items] | |||
Sale of stock, price per share | $ / shares | $ 20 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | 3 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Summary Of Significant Accounting Policies [Line Items] | |||
Impairment of long-lived assets | $ 29,000 | $ 0 | |
Property and equipment, net | $ 5,867,000 | $ 7,000,000 | |
Wireless licenses term | 10 years | ||
Potentially dilutive securities outstanding but excluded from computation of earnings per share | 1,586,000 | 1,395,000 | |
Property, Plant and Equipment [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Impairment of long-lived assets | $ 29,000 | ||
Property and equipment, net | $ 0 | ||
TeamConnect LLC [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Ownership percentage | 19.50% |
Revenue (Details)
Revenue (Details) - USD ($) | 3 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | Sep. 30, 2014 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Revenue recognized | $ 200,000 | |||
Contract liability | 3,300,000 | $ 3,500,000 | ||
Cost of Revenue [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Contract and contract acquisition costs | $ 178,000 | |||
Sales [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Contract and contract acquisition costs | 258,000 | |||
Spectrum [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Revenue recognized | $ 182,000 | $ 182,000 | ||
Contract liability | $ 7,500,000 | |||
Contractual term | 10 years | |||
TeamConnect LLC [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Service fee term | 24 months | |||
Goosetown And A BEEP [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Service transition period | 2 years | |||
Recurring revenue term | 2 years | |||
Service fee term | 2 years | |||
Purchased Customers [Member] | Maximum [Member] | Goosetown And A BEEP [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Recurring revenue | 100.00% | |||
Purchased Customers [Member] | Minimum [Member] | Goosetown And A BEEP [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Recurring revenue | 20.00% | |||
Diga-Talk Plus [Member] | A BEEP [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Service fee term | 2 years | |||
Diga-Talk Plus [Member] | Goosetown [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Recurring revenue | 20.00% | |||
Recurring revenue term | 2 years | |||
Diga-Talk Plus [Member] | Maximum [Member] | A BEEP [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Recurring revenue | 35.00% | |||
Diga-Talk Plus [Member] | Minimum [Member] | A BEEP [Member] | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Recurring revenue | 15.00% |
Intangible Assets (Narrative) (
Intangible Assets (Narrative) (Details) - USD ($) | 3 Months Ended | 15 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Acquired Indefinite-lived Intangible Assets [Line Items] | ||
impairment charges | $ 0 | |
Acquisitions | $ 9,000,000 | |
Loss from disposal of intangible assets | (4,678,000) | |
Wireless Licenses [Member] | ||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||
Acquisitions | $ 8,991,000 |
Intangible Assets (Schedule of
Intangible Assets (Schedule of Indefinite-Lived Intangible Assets) (Details) $ in Thousands | 3 Months Ended |
Jun. 30, 2020USD ($) | |
Indefinite-lived Intangible Assets [Line Items] | |
Balance | $ 111,526 |
Acquisitions | 9,000 |
Balance | 115,839 |
Wireless Licenses [Member] | |
Indefinite-lived Intangible Assets [Line Items] | |
Balance | 111,526 |
Acquisitions | 8,991 |
Cancellations | (4,678) |
Balance | $ 115,839 |
Equity Method Investment (Narra
Equity Method Investment (Narrative) (Details) | Jun. 30, 2020 |
TeamConnect LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Ownership percentage | 19.50% |
Equity Method Investment (Equit
Equity Method Investment (Equity Method Investment) (Details) $ in Thousands | 3 Months Ended |
Jun. 30, 2020USD ($) | |
Schedule of Equity Method Investments [Line Items] | |
Equity method investment carrying value | $ 39 |
Share of net loss from LLC | (4) |
Equity method investment carrying value | 35 |
TeamConnect LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Equity method investment carrying value | 39 |
Share of net loss from LLC | (4) |
Equity method investment carrying value | $ 35 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 3 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | Sep. 30, 2014 | |
Related Party Transaction [Line Items] | ||||
Consulting fees | $ 1,955,000 | $ 1,577,000 | ||
Contract liability | 3,300,000 | $ 3,500,000 | ||
Revenue recognized | 200,000 | |||
Rachelle B. Chong [Member] | ||||
Related Party Transaction [Line Items] | ||||
Consulting fees | 24,000 | |||
Payable to related parties | 0 | |||
Motorola [Member] | ||||
Related Party Transaction [Line Items] | ||||
Purchase of equipment | 0 | 9,000 | ||
Revenue recognized | 182,000 | 182,000 | ||
Equipment Supplier [Member] | ||||
Related Party Transaction [Line Items] | ||||
Payable to related parties | 105,000 | 98,000 | ||
Spectrum [Member] | ||||
Related Party Transaction [Line Items] | ||||
Contract liability | $ 7,500,000 | |||
Revenue recognized | $ 182,000 | 182,000 | ||
TeamConnect LLC [Member] | ||||
Related Party Transaction [Line Items] | ||||
Service fee term | 24 months | |||
TeamConnect LLC [Member] | PDVConnect [Member] | ||||
Related Party Transaction [Line Items] | ||||
Contract liability | $ 1,000 | $ 12,000 | ||
Recurring revenue term | 48 months | |||
Goosetown And A BEEP [Member] | ||||
Related Party Transaction [Line Items] | ||||
Service fee term | 2 years | |||
Recurring revenue term | 2 years | |||
Goosetown And A BEEP [Member] | PDVConnect [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenue recognized | $ 176,000 | $ 264,000 |
Impairment and Restructuring _3
Impairment and Restructuring Charges (Narrative) (Details) | Dec. 31, 2018employee | Jun. 01, 2018employee | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2020USD ($) |
Restructuring Cost and Reserve [Line Items] | |||||
Impairment of long-lived assets | $ 29,000 | $ 0 | |||
Property and equipment, net | 5,867,000 | $ 7,000,000 | |||
April 2018 And June 2018 Restructuring Activities [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Positions eliminated | employee | 20 | ||||
Percentage of positions eliminated | 20.00% | ||||
December 2018 Cost Reductions [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Positions eliminated | employee | 20 | ||||
Percentage of positions eliminated | 30.00% | ||||
Severance costs | 14,000 | 144,000 | |||
Facility exit | $ 28,000 | ||||
Property, Plant and Equipment [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Impairment of long-lived assets | 29,000 | ||||
Property and equipment, net | $ 0 |
Impairment and Restructuring _4
Impairment and Restructuring Charges (Schedule of Accrued Restructuring Charges) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
April 2018 And June 2018 Restructuring Activities [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Balance | $ 565 | |
Cash payments | (309) | |
Balance | 256 | |
December 2018 Cost Reductions [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Balance | 71 | |
Severance costs | 14 | $ 144 |
Balance | $ 85 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Lease [Line Items] | |||
Lease extension | 10 years | 10 years | |
Lease rent expense | $ 700 | $ 600 | |
Decrease in ROU | $ 19 | ||
Decrease in liability | 20 | ||
Gain on disposal | $ 1 | ||
Cost of Revenue [Member] | |||
Lease [Line Items] | |||
Lease rent expense | 400 | 400 | |
Operating Expense [Member] | |||
Lease [Line Items] | |||
Lease rent expense | $ 300 | $ 200 |
Leases (Additional Lease Cost I
Leases (Additional Lease Cost Information) (Details) | Jun. 30, 2020 | Jun. 30, 2019 |
Lease, Cost [Abstract] | ||
Weighted average term - operating lease liabilities | 4 years 9 months 29 days | 5 years 6 months 11 days |
Weighted average incremental borrowing rate – operating lease liabilities | 13.00% | 13.00% |
Leases (Lease Cost) (Details)
Leases (Lease Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Lease, Cost [Abstract] | ||
Operating lease cost (cost resulting from lease payments) | $ 659 | $ 624 |
Short term lease cost | 3 | 22 |
Sublease income | (3) | (4) |
Net lease cost | $ 659 | $ 642 |
Leases (Supplemental Lease Info
Leases (Supplemental Lease Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Leases [Abstract] | |||
Operating lease - operating cash flows (fixed payments) | $ 723 | $ 637 | |
Operating lease - operating cash flows (liability reduction) | 467 | 324 | |
Right of use assets obtained in exchange for new operating lease liabilities | 7,904 | ||
Non-current assets - right of use assets, net | 6,090 | 6,500 | $ 6,500 |
Current liabilities - operating lease liabilities | 1,611 | 1,695 | 1,695 |
Non-current liabilities - operating lease liabilities | $ 6,668 | $ 7,051 | $ 7,051 |
Leases (Future Minimum Payments
Leases (Future Minimum Payments) (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Leases [Abstract] | |
2021 (excluding the three months ended June 30, 2020) | $ 1,977 |
2022 | 2,292 |
2023 | 2,126 |
2024 | 1,920 |
2025 | 1,532 |
After 2025 | 1,373 |
Total future minimum lease payments | 11,220 |
Amount representing interest | (2,941) |
Present value of net future minimum lease payments | $ 8,279 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | |
Income Tax Disclosure [Line Items] | |||
Net NOL carryforwards | $ 12,000 | ||
Net operating loss carryforwards, no expiration | 19,000 | ||
Deferred tax expense | 11 | ||
Internal Revenue Service (IRS) [Member] | |||
Income Tax Disclosure [Line Items] | |||
Deferred tax liabilitiy | 1,600 | $ 200 | |
Net NOL carryforwards | $ 14,900 | ||
Net operating loss carryforwards, no expiration | 48,100 | $ 38,500 | |
Net operating loss carryforwards | 48,100 | 164,000 | |
State [Member] | |||
Income Tax Disclosure [Line Items] | |||
Deferred tax liabilitiy | 1,400 | ||
Net operating loss carryforwards, no expiration | 9,200 | 6,000 | |
Net operating loss carryforwards | $ 38,800 | $ 74,000 | |
Minimum [Member] | Federal and State [Member] | |||
Income Tax Disclosure [Line Items] | |||
Operating loss carryforwards, expiration year | Jan. 1, 2020 | ||
Maximum [Member] | Federal and State [Member] | |||
Income Tax Disclosure [Line Items] | |||
Operating loss carryforwards, expiration year | Dec. 31, 2038 |
Stock Acquisition Rights, Sto_3
Stock Acquisition Rights, Stock Options and Warrants (Narrative) (Details) - USD ($) | Jun. 24, 2020 | Feb. 28, 2020 | Sep. 15, 2014 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Mar. 31, 2020 | Jul. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Sale of stock, price per share | $ 45 | |||||||
Subsidiary equity units for which investor has right to convert to common stock | 500,000 | |||||||
2014 Stock Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock options outstanding | 19,358 | |||||||
Common stock authorized and reserved for issuance | 4,147,985 | |||||||
Shares available | 890,473 | |||||||
Additional common stock authorized and reserved for future issuance | 342,762 | |||||||
Percentage of increase in number of shares of common stock issued and outstanding | 5.00% | 2.00% | ||||||
Common Class B Units [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Conversion ratio | one | |||||||
Common Class A [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of units owned | 100.00% | |||||||
PDV Spectrum Holding Company, LLC [Member] | Common Class B Units [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Proceeds from investment, shares | 500,000 | |||||||
Sale of stock, price per share | $ 20 | |||||||
Stock issued during period value to purchase of assets | $ 10,000,000 | |||||||
First Anniversary [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of vesting for stock granted to employees | 25.00% | |||||||
Performance-Based Stock Options [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock options outstanding | 82,197 | 82,197 | ||||||
Stock compensation expense | $ 0 | |||||||
Unvested compensation expense | $ 1,400,000 | |||||||
Options, Granted | 67,562 | |||||||
Stock Outstanding | 82,197 | |||||||
Performance-Based Stock Options [Member] | Additional [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Options, Granted | 14,635 | |||||||
Performance-Based Stock Options [Member] | First Anniversary [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of vesting for stock granted to employees | 50.00% | |||||||
Performance-Based Stock Options [Member] | First Anniversary [Member] | Additional [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of vesting for stock granted to employees | 100.00% | |||||||
Performance-Based Stock Options [Member] | Second Anniversary [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of vesting for stock granted to employees | 50.00% | |||||||
Stock Option [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock options outstanding | 1,809,320 | 1,807,466 | ||||||
Stock compensation expense | $ 200,000 | $ 600,000 | ||||||
Unvested compensation expense | $ 2,000,000 | |||||||
Weighted average period of recognition of unrecognized compensation cost | 1 year 10 months 24 days | |||||||
Vesting term | 10 years | |||||||
Options, Granted | 60,558 | 60,558 | ||||||
Expected term | 6 years 26 days | |||||||
Risk-free interest rate | 0.43% | |||||||
Volatility | 53.41% | |||||||
Dividend yield | 0.00% | |||||||
Forfeiture rate | 0.00% | |||||||
Restricted Stock [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock compensation expense | $ 1,700,000 | $ 1,000,000 | ||||||
Unvested compensation expense | $ 17,100,000 | |||||||
Weighted average period of recognition of unrecognized compensation cost | 2 years 9 months 18 days | |||||||
Stock Outstanding | 504,218 | 352,194 | ||||||
Performance-Based Restricted Stock Units [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Unvested compensation expense | $ 8,000,000 | |||||||
Vesting term | 4 years | |||||||
Stock issued during period | 60,098 | 95,538 | ||||||
Vesting, revenue metric | 30,049 | |||||||
Stock Outstanding | 169,033 | 138,984 | ||||||
Performance-Based Restricted Stock Units [Member] | Additional [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock issued during period | 43,446 | |||||||
Performance-Based Restricted Stock Units [Member] | Chief Executive Officer [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Stock compensation expense | $ 7,000 | |||||||
Performance-Based Restricted Stock Units [Member] | Maximum [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Vesting, revenue metric | 60,098 | |||||||
Performance-Based Restricted Stock Units [Member] | First Anniversary [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of vesting for stock granted to employees | 50.00% | |||||||
Performance-Based Restricted Stock Units [Member] | First Anniversary [Member] | Additional [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of vesting for stock granted to employees | 100.00% | |||||||
Performance-Based Restricted Stock Units [Member] | Second Anniversary [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Percentage of vesting for stock granted to employees | 50.00% |
Stock Acquisition Rights, Sto_4
Stock Acquisition Rights, Stock Options and Warrants (Summary of Restricted Stock and Restricted Stock Units Activity) (Details) - Restricted Stock [Member] | 3 Months Ended |
Jun. 30, 2020$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock Outstanding | shares | 352,194 |
Stock, Granted | shares | 205,981 |
Stock, Vested | shares | (53,957) |
Stock Outstanding | shares | 504,218 |
Weighted Average Grant Date Fair Value, Stock Outstanding | $ / shares | $ 37.41 |
Weighted Average Grant Date Fair Value, Stock, Granted | $ / shares | 49.86 |
Weighted Average Grant Date Fair Value, Stock, Vested | $ / shares | (42.13) |
Weighted Average Grant Date Fair Value, Stock Outstanding | $ / shares | $ 41.99 |
Stock Acquisition Rights, Sto_5
Stock Acquisition Rights, Stock Options and Warrants (Summary of Performance Stock Activity) (Details) - Performance-Based Restricted Stock Units [Member] | 3 Months Ended |
Jun. 30, 2020$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock Outstanding | shares | 138,984 |
Stock, Granted | shares | 30,049 |
Stock, Forfeited | shares | |
Stock, Vested | shares | |
Stock Outstanding | shares | 169,033 |
Weighted Average Grant Date Fair Value, Stock Outstanding | $ / shares | $ 46.85 |
Weighted Average Grant Date Fair Value, Stock, Granted | $ / shares | 49.92 |
Weighted Average Grant Date Fair Value, Stock, Forfeited | $ / shares | |
Weighted Average Grant Date Fair Value, Stock, Vested | $ / shares | |
Weighted Average Grant Date Fair Value, Stock Outstanding | $ / shares | $ 47.10 |
Stock Acquisition Rights, Sto_6
Stock Acquisition Rights, Stock Options and Warrants (Summary of Stock Option Activity) (Details) - Stock Option [Member] - $ / shares | Jun. 24, 2020 | Jun. 30, 2020 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 1,807,466 | |
Options, Granted | 60,558 | 60,558 |
Options, Exercised | (58,704) | |
Options Outstanding | 1,809,320 | |
Weighted Average Exercise Price, Options outstanding | $ 23.93 | |
Weighted Average Exercise Price, Granted | 49.92 | |
Weighted Average Exercise Price, Exercised | (29.39) | |
Weighted Average Exercise Price, forfeited/expired | ||
Weighted Average Exercise Price, Options outstanding | $ 24.63 |
Stock Acquisition Rights, Sto_7
Stock Acquisition Rights, Stock Options and Warrants (Summary of Performance Stock Options) (Details) - Performance-Based Stock Options [Member] - $ / shares | Feb. 28, 2020 | Jun. 30, 2020 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Outstanding | 82,197 | |
Options, Granted | 67,562 | |
Options, Exercised | ||
Options, Forfeited/Expired | ||
Options Outstanding | 82,197 | |
Weighted Average Exercise Price, Options outstanding | $ 46.85 | |
Weighted Average Exercise Price, Granted | ||
Weighted Average Exercise Price, Exercised | ||
Weighted Average Exercise Price, forfeited/expired | ||
Weighted Average Exercise Price, Options outstanding | $ 46.85 |
Concentrations of Credit Risk (
Concentrations of Credit Risk (Details) | 3 Months Ended |
Jun. 30, 2020item | |
Credit Concentration Risk [Member] | |
Concentration Risk [Line Items] | |
Number of carriers | 1 |
Business Concentrations (Detail
Business Concentrations (Details) - Customer Concentration Risk [Member] - item | 3 Months Ended | 12 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | |
Tier 1 Carrier Partner [Member] | Sales Revenue, Services, Net [Member] | |||
Concentration Risk [Line Items] | |||
Number of carriers | 2 | ||
Concentration risk, percentage | 89.00% | ||
Domestic Carriers [Member] | Accounts Receivable [Member] | |||
Concentration Risk [Line Items] | |||
Number of carriers | 1 | 1 | |
Concentration risk, percentage | 73.00% | ||
Reseller [Member] | Sales Revenue, Services, Net [Member] | |||
Concentration Risk [Line Items] | |||
Number of resellers | 1 | ||
Concentration risk, percentage | 14.00% | ||
Reseller [Member] | Accounts Receivable [Member] | |||
Concentration Risk [Line Items] | |||
Number of resellers | 1 | ||
Domestic Carrier And Reseller [Member] | Accounts Receivable [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 71.00% |