Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Apr. 13, 2018 | Jun. 30, 2017 | |
Document Information [Line Items] | |||
Entity Registrant Name | ChinaNet Online Holdings, Inc. | ||
Entity Central Index Key | 1,376,321 | ||
Trading Symbol | cnet | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 16,132,543 | ||
Entity Public Float | $ 9,537,436 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Current assets: | |||
Cash and cash equivalents | $ 2,952 | $ 3,035 | |
Term deposit | 3,056 | ||
Accounts receivable, net | 7,215 | 3,322 | |
Other receivables, net | 2,646 | 89 | |
Prepayment and deposit to suppliers | 4,073 | 4,760 | |
Due from related parties, net | 14 | 213 | |
Total current assets | 16,900 | 14,475 | |
Long-term investments | 918 | 1,340 | |
Property and equipment, net | 299 | 471 | |
Intangible assets, net | 3,808 | 7,264 | |
Goodwill | 5,277 | 4,970 | |
Deferred tax assets, net | 1,358 | 1,522 | |
Total Assets | 28,560 | 30,042 | |
Current liabilities: | |||
Short-term bank loan * | [1] | 765 | 721 |
Accounts payable * | [1] | 2,851 | 102 |
Advances from customers * | [1] | 3,559 | 1,420 |
Accrued payroll and other accruals * | [1] | 559 | 685 |
Due to investors related to terminated security purchase agreements | 938 | 884 | |
Payable for purchasing of software technology * | [1] | 436 | 411 |
Taxes payable * | [1] | 3,168 | 2,910 |
Other payables * | [1] | 687 | 487 |
Total current liabilities | 12,963 | 7,620 | |
Long-term borrowing from a director | 134 | 126 | |
Total Liabilities | 13,097 | 7,746 | |
Commitments and contingencies | |||
Equity: | |||
Common stock (US$0.001 par value; authorized 50,000,000 shares; issued and outstanding 13,982,542 shares and 12,158,542 shares at December 31, 2017 and 2016, respectively) | 14 | 12 | |
Additional paid-in capital | 31,554 | 29,285 | |
Statutory reserves | 2,607 | 2,607 | |
Accumulated deficit | (20,487) | (10,362) | |
Accumulated other comprehensive income | 1,598 | 700 | |
Total ChinaNet Online Holdings, Inc.’s stockholders’ equity | 15,286 | 22,242 | |
Noncontrolling interests | 177 | 54 | |
Total equity | 15,463 | 22,296 | |
Total Liabilities and Equity | $ 28,560 | $ 30,042 | |
[1] | All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company's general assets (Note 2). |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 13,982,542 | 12,158,542 |
Common stock, shares outstanding (in shares) | 13,982,542 | 12,158,542 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues | ||
From unrelated parties | $ 46,598,000 | $ 34,300,000 |
From related parties | 35,000 | 450,000 |
Total revenues | 46,633,000 | 34,750,000 |
Cost of revenues | 42,020,000 | 26,999,000 |
Gross profit | 4,613,000 | 7,751,000 |
Operating expenses | ||
Sales and marketing expenses | 2,734,000 | 4,074,000 |
General and administrative expenses | 7,464,000 | 7,670,000 |
Research and development expenses | 1,261,000 | 1,996,000 |
Impairment on long-term investments included in total operating expenses | 44,000 | 159,000 |
Impairment on intangible assets included in total operating expenses | 2,552,000 | |
Total operating expenses | 14,055,000 | 13,899,000 |
Loss from operations | (9,442,000) | (6,148,000) |
Other income/(expenses) | ||
Interest income | 40,000 | 90,000 |
Interest expense | (147,000) | (13,000) |
Other expenses | (211,000) | (112,000) |
Total other expense | (318,000) | (35,000) |
Loss before income tax expense, noncontrolling interests and discontinued operation | (9,760,000) | (6,183,000) |
Income tax expense | (251,000) | (102,000) |
Loss from continuing operation | (10,011,000) | (6,285,000) |
Loss from and on disposal of discontinued operation, net of income tax | (59,000) | |
Net loss | (10,011,000) | (6,344,000) |
Net income attributable to noncontrolling interests from continuing operations | (114,000) | (148,000) |
Net loss attributable to ChinaNet Online Holdings, Inc. | (10,125,000) | (6,492,000) |
Net loss | (10,011,000) | (6,344,000) |
Foreign currency translation gain/(loss) | 907,000 | (1,377,000) |
Comprehensive Loss | (9,104,000) | (7,721,000) |
Comprehensive income attributable to noncontrolling interests | (123,000) | (127,000) |
Comprehensive loss attributable to ChinaNet Online Holdings, Inc. | $ (9,227,000) | $ (7,848,000) |
Loss from continuing operations per common share | ||
Basic and diluted (in dollars per share) | $ (0.84) | $ (0.57) |
Loss from discontinued operations per common share | ||
Basic and diluted (in dollars per share) | $ (0.01) | |
Weighted average number of common shares outstanding: | ||
Basic and diluted (in shares) | 12,116,783 | 11,357,907 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities | ||
Net loss | $ (10,011) | $ (6,344) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Depreciation and amortization | 1,422 | 1,572 |
Share-based compensation expenses | 2,271 | 2,309 |
Provision of allowances for doubtful accounts | 1,462 | 368 |
Impairment on intangible assets | 2,552 | |
Impairment on long-term investments included in total operating expenses | 44 | 159 |
Loss on deconsolidation of VIEs | 9 | |
Loss on disposal of fixed assets | 2 | 116 |
Deferred taxes | 251 | 102 |
Changes in operating assets and liabilities | ||
Accounts receivable | (4,848) | (975) |
Other receivables | 78 | 1,527 |
Prepayment and deposit to suppliers | 948 | 1,144 |
Due from related parties | (7) | (336) |
Accounts payable | 2,654 | (137) |
Advances from customers | 1,985 | (362) |
Accrued payroll and other accruals | 141 | 21 |
Other payables | (58) | 413 |
Taxes payable | 76 | 19 |
Commitment and contingencies | (126) | |
Net cash used in operating activities | (1,320) | (563) |
Cash flows from investing activities | ||
Payment for office equipment and leasehold improvement | (4) | (148) |
Payment for purchasing of software technology | (1,969) | |
Term deposit matured during the period | 3,140 | |
Long-term investment in cost method investees | (470) | |
Withdraw long-term investment in cost method investees | 444 | |
Short-term loan to an unrelated party | (2,814) | |
Repayment of short-term loan from an unrelated party | 296 | |
Proceeds from disposal of VIEs | 28 | |
Cash effect on deconsolidation of a VIE | (17) | |
Net cash provided by/(used in) investing activities | 1,062 | (2,576) |
Cash flows from financing activities | ||
Proceeds from short-term bank loan | 741 | 753 |
Repayment of short-term bank loan | (741) | |
Net cash provided by financing activities | 753 | |
Change in cash and cash equivalents included in assets classified as held for sale | 177 | |
Effect of exchange rate fluctuation on cash and cash equivalents | 175 | (259) |
Net decrease in cash and cash equivalents | (83) | (2,468) |
Cash and cash equivalents at beginning of the year | 3,035 | 5,503 |
Cash and cash equivalents at end of the year | 2,952 | 3,035 |
Supplemental disclosure of cash flow information | ||
Income taxes paid | 2 | |
Interest expense paid | 38 | 13 |
Non-cash transactions: | ||
Payable for purchasing of software technologies | $ 411 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Statutory Reserves [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Dec. 31, 2015 | 11,856,304 | ||||||
Balance at Dec. 31, 2015 | $ 12 | $ 26,528 | $ 2,607 | $ (3,870) | $ 2,056 | $ 375 | $ 27,708 |
Restricted shares issued for services (in shares) | 36,000 | ||||||
Restricted shares issued for services | 371 | 371 | |||||
Share-based compensation related to shares granted to employees and directors (in shares) | 266,238 | ||||||
Share-based compensation related to shares granted to employees and directors | 177 | 177 | |||||
Share-based compensation expenses related to common stock purchase options granted to employees and directors in 2015 | 201 | 201 | |||||
Share-based compensation related to restricted shares granted | 1,560 | 1,560 | |||||
Reverse of goodwill allocated to disposal group attributable to noncontrolling interest | 448 | (448) | |||||
Net loss for the year | (6,492) | 148 | (6,344) | ||||
Foreign currency translation adjustment | (1,356) | (21) | (1,377) | ||||
Balance (in shares) at Dec. 31, 2016 | 12,158,542 | ||||||
Balance at Dec. 31, 2016 | $ 12 | 29,285 | 2,607 | (10,362) | 700 | 54 | 22,296 |
Restricted shares issued for services (in shares) | 174,000 | ||||||
Restricted shares issued for services | 234 | 234 | |||||
Share-based compensation related to shares granted to employees and directors (in shares) | 1,650,000 | ||||||
Share-based compensation related to shares granted to employees and directors | $ 2 | 1,703 | 1,705 | ||||
Share-based compensation expenses related to common stock purchase options granted to employees and directors in 2015 | 155 | 155 | |||||
Share-based compensation related to restricted shares granted | 177 | 177 | |||||
Net loss for the year | (10,125) | 114 | (10,011) | ||||
Foreign currency translation adjustment | 898 | 9 | 907 | ||||
Balance (in shares) at Dec. 31, 2017 | 13,982,542 | ||||||
Balance at Dec. 31, 2017 | $ 14 | $ 31,554 | $ 2,607 | $ (20,487) | $ 1,598 | $ 177 | $ 15,463 |
Note 1 - Organization and Natur
Note 1 - Organization and Nature of Operations | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Nature of Operations [Text Block] | 1. Organization and nature of operations ChinaNet Online Holdings, Inc. (the “Company”) was incorporated in the State of Texas in April 2006 October 2006. June 26, 2009, O2O The Company’s wholly owned subsidiary, China Net BVI was incorporated in the British Virgin Islands on August 13, 2007. April 11, 2008, PRC regulations prohibit direct foreign ownership of business entities providing internet content, or ICP services in the PRC, and used to restrict foreign ownership of business entities engaging in the advertising business, which was subsequently lifted in June 2015. 100% may Pursuant to the Contractual Agreements, all of the equity owners' rights and obligations of the VIEs were assigned to Rise King WFOE, which resulted in the equity owners lacking the ability to make decisions that have a significant effect on the VIEs, Rise King WFOE's ability to extract the profits from the operation of the VIEs and assume the residual benefits of the VIEs. Due to the fact that Rise King WFOE and its indirect parent are the sole interest holders of the VIEs, the Company included the assets, liabilities, revenues and expenses of the VIEs in its consolidated financial statements, which is consistent with the provisions of FASB Accounting Standards Codification ("ASC") Topic 810 10. As of December 31, 2017, 51% 10% 10% 51% a 19% 23.18% 25.5% As of December 31, 2017, two four 15% two 19% The Company operated its business primarily in China through its PRC subsidiaries and operating entities, or VIEs as discussed above. On August 18, 2016, one two one 1 2.5 August 19, 2016 ( two one one No not no 30,395,722 August 19, 2016 12,158,542 1 2.5 |
Note 2 - Variable Interest Enti
Note 2 - Variable Interest Entities | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Variable Interest Entities Disclosure [Text Block] | 2. Variable Interest Entities To satisfy PRC laws and regulations, the Company conducts certain business in the PRC through its Variable Interest Entities (“VIEs”). Risks in Relation to the VIE Structure The Ministry of Commerce of PRC (“MOFCOM”) published a discussion draft of the proposed Foreign Investment Law (the “Draft”) in January 2015 The MOFCOM is currently soliciting comments on the Draft and substantial uncertainties exist with respect to its enactment timetable, interpretation and implementation. The Draft, if enacted as proposed, may Under the Draft, VIEs that are controlled via contractual arrangement would be deemed as FIEs, if they are ultimately "controlled" by foreign investors. Therefore, for any companies with a VIE structure in an industry category that falls under restricted to foreign investment or prohibited from foreign investment, the VIE structure may may not may In conclusion, if the Draft enacted as proposed, it is possible that the Company's conduct of certain of its operations and businesses through the VIEs could be found by PRC authorities to be in violation of PRC laws and regulations prohibiting or restricting foreign ownership of companies that engage in such operations and businesses. If such a finding were made, regulatory authorities with jurisdiction over the licensing and operation of such businesses would have broad discretion in dealing with such a violation, including levying fines, confiscating the Company's income, revoking the business or operating licenses of the affected businesses, requiring the Company to restructure its ownership structure or operations, or requiring the Company to discontinue all or any portion of its operations. Any of these actions could cause significant disruption to the Company's business operations, and have a material adverse impact on the Company's cash flows, financial position and operating performance. The Company's management considers the possibility of such a finding by PRC regulatory authorities to be remote. These contractual arrangements may not may may may may may may not may not not not not The Company's agreements with respect to its consolidated VIEs are approved and in place. The Company's management believes that such agreements are enforceable, and considers it a remote possibility that PRC regulatory authorities with jurisdiction over the Company's operations and contractual relationships would find the agreements to be unenforceable under existing laws. The significant terms of the VIE Agreements are summarized below: Exclusive Business Cooperation Agreements: not 100% may 100% ten may Exclusive Option Agreements: 10, ten Equity Pledge Agreements: one not may ten not Irrevocable Powers of Attorney: As a result of these VIE Agreements, the Company through its wholly-owned subsidiary, Rise King WFOE, was granted with unconstrained decision making rights and power over key strategic and operational functions that would significantly impact the PRC Operating Entities or the VIEs’ economic performance, which includes, but is not 100% Summarized below is the information related to the consolidated VIEs’ assets and liabilities as of December 31, 2017 2016, As of December 31, 2017 2016 US$(’000) US$(’000) Assets Current assets: Cash and cash equivalents $ 2,904 $ 2,915 Term deposit - 3,056 Accounts receivable, net 7,215 3,315 Other receivables, net 2,629 71 Prepayment and deposit to suppliers 4,009 4,710 Due from related parties, net 14 197 Total current assets 16,771 14,264 Long-term investments - 43 Property and equipment, net 177 286 Intangible assets, net 2,112 5,468 Goodwill 5,277 4,970 Deferred tax assets 975 1,241 Total Assets $ 25,312 $ 26,272 Liabilities Current liabilities: Short-term bank loan $ 765 $ 721 Accounts payable 2,848 83 Advances from customers 3,559 1,388 Accrued payroll and other accruals 159 256 Due to Control Group 11 10 Payable for purchasing of software technology 436 411 Taxes payable 2,711 2,480 Other payables 155 162 Total current liabilities 10,644 5,511 Total Liabilities $ 10,644 $ 5,511 All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not Summarized below is the information related to the financial performance of the VIEs reported in the Company’s consolidated statements of operations and comprehensive loss for the years ended December 31, 2017 2016, Year Ended December 31, 2017 2016 US$(’000) US$(’000) Revenues $ 46,576 $ 34,643 Cost of revenues 42,019 26,916 Total operating expenses (including impairment of intangible assets and long-term investments) 9,897 9,167 Loss from discontinued operations - 59 Net loss before allocation to noncontrolling interests 5,878 1,627 |
Note 3 - Summary of Significant
Note 3 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 3. Summary of significant accounting policies a) Basis of presentation The consolidated financial statements are prepared and presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). b) Principles of consolidation The consolidated financial statements include the financial statements of all the subsidiaries and VIEs of the Company. All transactions and balances between the Company and its subsidiaries and VIEs have been eliminated upon consolidation. According to the agreements between Beijing CNET Online and Shanghai Borongdingsi, although Beijing CNET Online legally owns 51% not not c) Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of these consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. The Company continually evaluates these estimates and assumptions based on the most recently available information, historical experience and various other assumptions that the Company believes to be reasonable under the circumstances. Since the use of estimates is an integral component of the financial reporting process, actual results could differ from those estimates. d) Foreign currency translation and transactions The functional currency of the Company is United States dollars (“US$”), and the functional currency of China Net HK is Hong Kong dollars (“HK$”). The functional currency of the Company’s PRC operating subsidiaries and VIEs is Renminbi (“RMB”), and PRC is the primary economic environment in which the Company operates. For financial reporting purposes, the financial statements of the Company’s PRC operating subsidiaries and VIEs, which are prepared using the RMB, are translated into the Company’s reporting currency, the United States Dollar (“U.S. dollar”). Assets and liabilities are translated using the exchange rate at each balance sheet date. Revenue and expenses are translated using average rates prevailing during each reporting period, and stockholders’ equity is translated at historical exchange rates. Adjustments resulting from the translation are recorded as a separate component of accumulated other comprehensive income in stockholders’ equity. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transactions. The resulting exchange differences are included in the determination of net loss of the consolidated statements of operations and comprehensive loss for the respective periods. The exchange rates used to translate amounts in RMB into US$ for the purposes of preparing the consolidated financial statements are as follows: As of December 31, 2017 2016 Balance sheet items, except for equity accounts 6.5342 6.9370 Year Ended December 31, 2017 2016 Items in the statements of income and comprehensive income, and statements of cash flows 6.7518 6.6423 No e) Cash and cash equivalents Cash and cash equivalents consist of cash on hand and bank deposits, which are unrestricted as to withdrawal and use. The Company considers all highly liquid investments with original maturities of three f) Term deposits Term deposits consist of bank deposits with an original maturity of between three twelve g) Accounts receivable, other receivables, and due from related parties, net Accounts receivable, other receivables and due from related parties are recorded at net realizable value consisting of the carrying amount less an allowance for uncollectible accounts as needed. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable, other receivables and due from related parties. The Company determines the allowance based on aging data, historical collection experience, customer specific facts and economic conditions. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. As of December 31, 2017 2016, US$1.41 not December 31, 2017 2016, US$1.46 US$0.37 h) Long-term investments Equity method investments Investee companies that are not 323 not 20% 50% not When the Company’s carrying value in an equity method investee company is reduced to zero, no not not Cost method investments Investee companies that are not not 325 20: 20% Impairment for long-term investments The Company assesses its long-term investments for other-than-temporary impairment by considering factors including, but not For the years ended December 31, 2017 2016, US$0.04 US$0.16 i) Property and equipment, net Property and equipment are recorded at cost less accumulated depreciation and amortization. Depreciation is calculated on the straight-line method after taking into account their respective estimated residual values over the following estimated useful lives: Leasehold improvements (years) 3 Vehicles 5 Office equipment 3 - 5 Electronic devices 5 Depreciation expenses are included in sales and marketing expenses, general and administrative expenses and research and development expenses. Leasehold improvements are amortized over the lesser of the lease term or estimated useful life. When property and equipment are retired or otherwise disposed of, resulting gain or loss is included in net income or loss in the period of disposition. Maintenance and repairs which do not j) Intangible assets, net Purchased software and software platform is initially recorded at cost and amortized on a straight-line basis over the estimated useful economic life of 2 10 Intangible assets other than goodwill acquired through various acquisitions are amortized on a straight-line basis over their expected useful economic lives. Customer Relationship (years) 5 - 9 Non-Compete Agreement 5 - 6 Software Technologies 5 The Company accounted for website development costs in accordance with ASC Topic 350 50, 350 50 December 31, 2017 2016, not k) Impairment of long-lived assets Long-lived assets, which include tangible long-lived assets and intangible long-lived assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not For the years ended December 31, 2017 2016, US$2.55 3 11 l) Goodwill Goodwill represents the excess of the purchase price over the fair value of the identifiable assets and liabilities acquired as a result of the Company's acquisitions of interests in its consolidated VIEs. Goodwill is not two not first 805 Application of a goodwill impairment test requires significant management judgment, including the identification of reporting units, assigning assets and liabilities to reporting units, assigning goodwill to reporting units, and determining the fair value of each reporting unit. The judgment in estimating the fair value of reporting units includes estimating future cash flows, determining appropriate discount rates and making other assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit. In the fourth 2015, 350: 20 40, 350 20 40 3 350 20 40 7, US$914,000 fourth 2016, no 360. As of December 31, 2017 2016, December 31, 2017 2016, 3 12 For the years ended December 31, 2017 2016, not m) Noncontrolling interest The Company accounts for noncontrolling interest in accordance with ASC Topic 810 10 45, 810 10 45 n) Fair value The Company’s financial instruments primarily consist of cash and cash equivalents, accounts receivable, other receivables, accounts payable and payable for purchasing of software technology. The carrying values of these financial instruments approximate fair values due to their short maturities. ASC Topic 820 three may Level 1 Level 2 1 not Level 3 no Determining which category an asset or liability falls within the hierarchy requires significant judgment. The Company evaluates its hierarchy disclosures each quarter. The Company’s intangible assets and goodwill are measured at fair value on a nonrecurring basis and they are recorded at fair value only when impairment is recognized. The fair value of intangible assets was determined using income approach or cost approach, and the fair value of goodwill was determined using income approach. The following table summarizes the quantitative information about the Company’s Level 3 Valuation technique(s) Unobservable inputs Ranges As of December 31, 2017 Intangible assets Multi-period Excess Earning/ Remaining useful life (years) 3.25 - 8.5 Discount rate 24% Contributory asset charge 15.9% - 24% Goodwill Discounted Cash Flow Base projection period (years) 5 Discount rate 20% Terminal growth rate 3.5% As of December 31, 2016 Intangible assets Multi-period Excess Earning/ Remaining useful life (years) 1 - 9.5 Discount rate 24% Contributory asset charge 12.9% - 24% Goodwill/ Discounted Cash Flow Base projection period (years) 5 Discount rate 20% Terminal growth rate 3.5% Remaining useful life was determined based on the remaining estimated useful life of the assets being valued. Contributory asset charges were determined based on the nature (risk) and liquidity of the respective contributory asset. Base projection period adopted by the Company was commonly used in the market practice. Terminal growth rate was determined based on the estimated long-term GDP growth rate of China. Discount rate for goodwill/disposal group was determined based on the appropriate Weighted Average Cost of Capital (WACC) should be adopted by the Company to estimate the fair value of goodwill/disposal group, and the discount rate adopted for intangible assets represented a 4% o) Revenue recognition The Company's revenue recognition policies are in compliance with ASC Topic 605 605, four Sales include revenues from selling advertising time purchased from TV stations, internet advertising space on the Company’s website portals and effective sales lead information collected, providing online advertising, precision marketing, data service and other related value-added services. Advertising contracts establish the fixed price and advertising services to be provided. Pursuant to advertising contracts, the Company provides advertisement placements in different formats, including but not two 605, 45. not p) Cost of revenues Cost of revenues primarily includes the cost of media advertising time, internet advertising related resources and other technical services purchased from third q) Advertising costs Advertising costs for the Company’s own brand building are not December 31, 2017 2016, US$1,717,000 US$2,360,000, r) Research and development expenses The Company accounts for the cost of developing and upgrading technologies and platforms and intellectual property that are used in its daily operations in research and development cost. Research and development costs are charged to expense when incurred. Expenses for research and development for the years ended December 31, 2017 2016 US$1,261,000 US$1,996,000, s) Income taxes The Company follows the guidance of ASC Topic 740 not not t) Uncertain tax positions The Company follows the guidance of ASC Topic 740 not The Company recognizes interest on non-payment of income taxes and penalties associated with tax positions when a tax position does not not three five RMB100,000. ten no not December 31, 2017 2016 not December 31, 2017 2016, u) Share-based Compensation The Company accounted for share-based compensation to employees in accordance with ASC Topic 718 v) Comprehensive income The Company accounts for comprehensive income in accordance with ASC Topic 220 w) Earnings (loss) per share Earnings (loss) per share are calculated in accordance with ASC Topic 260, x Commitments and contingencies The Company has adopted ASC Topic 450 20, not y) Recent accounting standards In May 2014, No. 2014 09, 606 2015, 2016 2017 No. 2014 09 605 five 1 2 3 4 5 not No. 2014 09 2014 09 December 15, 2017, December 15, 2016, January 1, 2018 not In February 2016, No. 2016 02, 842 12 not December 15, 2018, first 2019 no No. 2016 02 2018. In March 2016, No. 2016 09, 718 December 15, 2016, not In January 2017, No. 2017 01, 805 not not not 1 2 two not 606. December 15, 2017, No not In January 2017, No. 2017 04, 350 2 2, not zero 2 zero first first December 15, 2019. January 1, 2017. In February 2018, 2018 02: 220 not December 15, 2018, Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not not |
Note 4 - Term Deposit
Note 4 - Term Deposit | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Term Deposit [Text Block] | 4. Term deposit Term deposit as of December 31, 2016 one July 7, 2017. 2.25% |
Note 5 - Accounts Receivable, N
Note 5 - Accounts Receivable, Net | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Accounts Receivable Disclosure [Text Block] | 5. Accounts receivable, net As of December 31, 2017 2016 US$(’000) US$(’000) Accounts receivable 10,008 6,034 Allowance for doubtful debts (2,793 ) (2,712 ) Accounts receivable, net 7,215 3,322 All of the accounts receivable are non-interest bearing. Based on the assessment of the collectability of the accounts receivable as of December 31, 2017 2016, US$2,793,000 US$2,712,000 six six December 31, 2017, US$1.28 December 31, 2016, US$0.04 December 31, 2017, US$1.41 |
Note 6 - Other Receivables, Net
Note 6 - Other Receivables, Net | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 6. Other receivables, net Other receivables as of December 31, 2017 US$2.6 third June 30, 2018. US$2.91 US$0.31 December 2017, first 2018. As of December 31, 2017 2016, RMB 6.0 US $0.9 no December 31, 2017 2016, December 31, 2017, US$30,000 December 31, 2016, US$256,000. |
Note 7 - Prepayments and Deposi
Note 7 - Prepayments and Deposit to Suppliers | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Prepayments and Deposits to Suppliers Disclosure [Text Block] | 7. Prepayments and deposit to suppliers As of December 31, 2017 2016 US$(’000) US$(’000) Deposits to TV and internet resources providers 1,870 1,074 Prepayments to TV and internet resources providers 1,331 2,874 Deposits to other service providers 765 721 Other deposits and prepayments 107 91 4,073 4,760 The Company purchases internet resources from large internet search engines and technical services from suppliers to attract more internet traffic to its advertising portals and provide value-added services to its clients. The Company also purchases TV advertising time slots for resale through broadcast advertisements to promote brands, business information, products and services of its clients. Deposits to TV and internet resources providers are paid as contractual deposits to the Company’s resources and services suppliers. As of December 31, 2017 2016, two According to the contracts signed between the Company and its suppliers, the Company is normally required to pay the contract amounts in advance. These prepayments will be transferred to cost of revenues when the related services are provided. As of December 31, 2017 2016, two As of December 31, 2017 2016, December 31, 2017. March 2018. |
Note 8 - Due From Related Parti
Note 8 - Due From Related Parties, Net | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Due from Related Parties Disclosure [Text Block] | 8. Due from related parties, net As of December 31, 2017 2016 US$(’000) US$(’000) Beijing Saimeiwei Food Equipment Technology Co., Ltd. 33 31 Chuangshi Meiwei (Beijing) International Investment Management Co., Ltd. 156 150 Guohua Shiji (Beijing) Communication Co., Ltd. 184 175 ChinaNet Chuang Tou (Shenzhen) Co., Ltd. 14 - Beijing Saturday Education Technology Co., Ltd. - 1 387 357 Allowance for doubtful debts (373 ) (144 ) Due from related parties, net 14 213 Related parties of the Company represented the Company’s direct or indirect unconsolidated investee companies. As of December 31, 2017 2016, RMB1.0 US$0.15 RMB1.2 US$0.18 one Based on the assessment of the collectability, the Company provided full allowance for doubtful accounts against its service fee receivables due from Saimeiwei, Guohua Shiji and Chuangshi Meiwei and its short-term working capital loan lent to Guohua Shiji and Chuangshi Meiwei, with an approximately US$0.21 US$0.15 December 31, 2017 2016, 9. |
Note 9 - Long-term Investments
Note 9 - Long-term Investments | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 9. Long-term investments As of December 31, 2017 2016 US$(’000) US$(’000) Equity method investments: Investment in equity method investees 753 709 Advance to equity method investees 80 75 Impairment on equity method investments (833 ) (784 ) Total equity method investments - - Cost method investments: Investment in cost method investees 1,125 1,492 Impairment on cost method investments (207 ) (152 ) Total cost method investments 918 1,340 Total long-term investments 918 1,340 Equity method investments As of December 31, 2017 2016, 23.18% 25.5% 2015, two zero December 31, 2015. Cost method investments As of December 31, 2017 2016, 19% 10% 15% two December 31, 2017: ChinaNet Beijing Chuangshi Guohua ChinaNet Total US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) Balance as of December 31, 2015 - 17 154 3 939 1,113 Investment during the year 8 - - 25 418 451 Impairment on cost method investments (8 ) - (144 ) - - (152 ) Exchange translation adjustment - (1 ) (10 ) (1 ) (60 ) (72 ) Balance as of December 31, 2016 - 16 - 27 1,297 1,340 Withdraw of cash investment - - - - (459 ) (459 ) Impairment on cost method investments - (17 ) - (29 ) - (46 ) Exchange translation adjustment - 1 - 2 80 83 Balance as of December 31, 2017 - - - - 918 918 The Company invested in Guohua Shiji which provides internet and information technical services, and invested in ChinaNet Korea and Chuangshi Meiwei which provide franchise consulting services for Korean food and beverage brands introduced to China. As the business plan of these companies were not 2017, not zero December 31, 2017 zero December 31, 2016, US$0.04 US$0.16 December 31, 2017 2016, no |
Note 10 - Property and Equipmen
Note 10 - Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | 10. Property and equipment, net As of December 31, 2017 2016 US$(’000) US$(’000) Leasehold improvement 337 317 Vehicles 810 763 Office equipment 1,410 1,371 Electronic devices 1,164 1,096 Property and equipment, cost 3,721 3,547 Less: accumulated depreciation (3,258 ) (2,922 ) Less: impairment loss on abandoned fixed assets (164 ) (154 ) Property and equipment, net 299 471 Depreciation expenses in the aggregate for the years ended December 31, 2017 2016 US$196,000 US$248,000, |
Note 11 - Intangible Assets, Ne
Note 11 - Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | 11. Intangible assets, net As of December 31, 2017 2016 US$(’000) US$(’000) Intangible assets not subject to amortization: Domain name 1,478 1,393 Intangible assets subject to amortization: Customer relationship 2,038 1,920 Non-compete agreements 1,122 1,057 Software technologies 314 295 Cloud compute software technology 1,420 1,338 Internet safety, information exchange security and data encryption software 1,990 1,874 Intelligent marketing data service platform 4,942 4,655 Cloud video management system 1,454 1,369 Other computer software 120 113 Intangible assets, cost 14,878 14,014 Less: accumulated amortization (6,443 ) (4,875 ) Less: accumulated impairment losses (4,627 ) (1,875 ) Intangible assets, net 3,808 7,264 Amortization expenses in aggregate for the years ended December 31, 2017 2016 US$1,226,000 US$1,324,000, The Company performed an impairment analysis on its intangible assets as of December 31, 2017 2016, 3 For the year ended December 31, 2017, US$2.55 December 31, 2016, not Based on the net carrying value of the finite-lived intangible assets recorded, which weighted average remaining useful life was 6.38 December 31, 2017, no US$ 656,000 December 31, 2018, 2019 2020, US$646,000 December 31, 2021, US$497,000 December 31, 2022. |
Note 12 - Goodwill
Note 12 - Goodwill | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Goodwill Disclosure [Text Block] | 12. Goodwill Amount US$(’000) Balance as of December 31, 2015 4,396 Goodwill adjustment due to reclassify disposal group to held and used 914 Exchange translation adjustment (340 ) Balance as of December 31, 2016 4,970 Exchange translation adjustment 307 Balance as of December 31, 2017 5,277 The Company’s goodwill arose from various business combinations consummated in 2011. As discussed in Note 3 fourth 2015, 350: 20 40, 350 20 40 3 350 20 40 7, US$914,000 fourth 2016, no 360. The fair value of reporting units was determined using the income approach by a discounted cash flow analysis. The discounted cash flow method is premised on the concept that the value is based on the present value of all future cash flows by applying an appropriate discount rate. The future benefits generating cash flows consist of current income distributions, appreciation in the asset, or a combination of both. In essence, this valuation method requires a forecast to be made of cash flow, going out far enough into the future until an assumed stabilization occurs for the assets being appraised. This methodology assumes that the forecasted income/cash flow will not 3 For the years ended December 31, 2017 2016, not |
Note 13 - Short-term Bank Loan
Note 13 - Short-term Bank Loan | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Short-term Debt [Text Block] | 13. Short-term bank loan Short-term bank loan as of December 31, 2017 2016 RMB 5.0 US $0.8 one RMB 3.0 US $0.5 July 18, 2017, August 16, 2017, August 15, 2018, RMB 2.0 US $0.3 October 18, 2017, October 23, 2017, October 22, 2018. 5.655% 30% |
Note 14 - Accrued Payroll and O
Note 14 - Accrued Payroll and Other Accruals | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | 14. Accrued payroll and other accruals As of December 31, 2017 2016 US$(’000) US$(’000) Accrued payroll and staff welfare 203 319 Accrued operating expenses 356 366 559 685 |
Note 15 - Due to Investors Rela
Note 15 - Due to Investors Related to Terminated Security Purchase Agreements | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Guarantee Payment and Prepayment from New Investors [Text Block] | 15. Due to investors related to terminated security purchase agreements In May 2015, 10% 15% US$819,000 10% US$119,000 Due to certain restriction stipulated in the “Measures for Overseas Investment Management” issued by the Ministry of Commerce of the PRC (the “MOFCOM”), the Company and its investors experienced difficulties in obtaining approval for the transactions from the MOFCOM. As a result, on May 12, 2016, two not 2016 2017. January 1, 2017, 12% no December 31, 2017. December 31, 2017 US$0.11 In February 2018, December 31, 2017 US$0.14 March 2018, RMB3.0 US$0.46 June 2018. not 2018. |
Note 16 - Payable for Purchasin
Note 16 - Payable for Purchasing of Software Technology | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities for Software Disclosure [Text Block] | 16. Payable for purchasing of software technology Payable for purchasing of software technology as of December 31, 2017 2016 fourth 2016. March 2018. |
Note 17 - Taxation
Note 17 - Taxation | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 17. Taxation 1 Income tax The entities within the Company file separate tax returns in the respective tax jurisdictions in which they operate. i). a. On December 22, 2017, not 35% 21% 2018 one i). b. The Company is incorporated in the state of Nevada. Under the current law of Nevada, the Company is not not No no December 31, 2017, not i). c. On December 22, 2017, No. 118 118” 118 not one 740 118, 740 i). d. As of December 31, 2017, effects of the Act, based on which, the Company concluded that no one December 31, 2017, one not not may 2018 may no fourth 2018 ii). China Net BVI was incorporated in the British Virgin Islands (“BVI”). Under the current law of the BVI, China Net BVI is not no iii). China Net HK was incorporated in Hong Kong and does not No no December 31, 2017 no iv). The Company’s PRC operating subsidiaries and VIEs, being incorporated in the PRC, are governed by the income tax law of the PRC and is subject to PRC enterprise income tax (“EIT”). The EIT rate of PRC is 25%, • In November 2015, 15% November 2018. December 31, 2017 2016, 15%. • The applicable income tax rate for other PRC operating entities of the Company is 25% December 31, 2017 2016. • The current EIT law also imposed a 10% 5% For the years ended December 31, 2017 2016, not 2 Turnover taxes and the relevant surcharges Service revenues provided by the Company’s PRC operating subsidiaries and VIEs were subject to Value Added Tax (“VAT”). VAT rate for provision of modern services (other than lease of corporeal movables) is 6% 3%. December 31, 2017 2016, 6%, 3% 12% 14% As of December 31, 2017, 2016, As of December 31, 2017 2016 US$(’000) US$(’000) PRC turnover tax and surcharge payable 1,295 1,147 PRC enterprise income tax payable 1,873 1,763 Taxes payable 3,168 2,910 A reconciliation of the income tax benefit determined at the U.S. federal corporate income tax rate to the Company’s effective income tax expense is as follows: Year Ended December 31, 2017 2016 US$(’000) US$(’000) Pre-tax loss (9,760 ) (6,183 ) U.S. federal rate 35 % 35 % Income tax benefit computed at U.S. federal rate 3,416 2,164 Reconciling items: Rate differential for PRC earnings (724 ) (354 ) Preferential tax treatments and tax holiday effects (238 ) (158 ) Tax effect on toll charge income from the Act (492 ) - Tax effect on enactment of new tax rate (1,859 ) - Tax effect on change of net operating loss treatment - (924 ) Valuation allowance on deferred tax assets (434 ) (743 ) Others 80 (87 ) Effective income tax expense (251 ) (102 ) For the years ended December 31, 2017 2016, Year Ended December 31, 2017 2016 US$(’000) US$(’000) Current-PRC (1 ) - Deferred-PRC (250 ) (102 ) Income tax expense (251 ) (102 ) The Company’s deferred tax assets at December 31, 2017 December 31, 2016 As of December 31, 2017 2016 US$(’000) US$(’000) Net operating loss carryforward 7,657 7,461 Bad debts provision 879 931 Valuation allowance (7,178 ) (6,870 ) Total net deferred tax assets 1,358 1,522 The U.S. holding company has incurred aggregate net operating losses of approximately US$13,275,660 December 31, 2017. 2037. not 21%. US$1,859,000 no In accordance with the Company’s preliminary assessment of its one US$1,404,340 No December 31, 2017, The net operating losses carried forward incurred by the Company’s PRC subsidiaries and VIEs were approximately US$23,959,000 US$17,939,000 December 31, 2017 2016, 2022. The Company recorded approximately US$7,178,000 US$6,870,000 December 31, 2017 2016, not not For the years ended December 31, 2017 2016, US$308,000 US$527,000, |
Note 18 - Long-term Borrowing F
Note 18 - Long-term Borrowing From a Director | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Long-Term Borrowing from Director Disclosure [Text Block] | 18. Long-term borrowing from a director Long-term borrowing from a director is a non-interest bearing loan from a director of the Company relating to the original paid-in capital contribution in the Company’s wholly-owned subsidiary Rise King WFOE, which is not one |
Note 19 - Restricted Net Assets
Note 19 - Restricted Net Assets | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Restricted Assets Disclosure [Text Block] | 19. Restricted Net Assets As most of the Company’s operations are conducted through its PRC subsidiaries and VIEs, the Company’s ability to pay dividends is primarily dependent on receiving distributions of funds from its PRC subsidiaries and VIEs. Relevant PRC statutory laws and regulations permit payments of dividends by its PRC subsidiaries and VIEs only out of their retained earnings, if any, as determined in accordance with PRC accounting standards and regulations and after it has met the PRC requirements for appropriation to statutory reserves. Paid in capital of the PRC subsidiaries and VIEs included in the Company’s consolidated net assets are also non-distributable for dividend purposes. In accordance with the PRC regulations on Enterprises with Foreign Investment, a WFOE established in the PRC is required to provide certain statutory reserves, namely general reserve fund, the enterprise expansion fund and staff welfare and bonus fund which are appropriated from net profit as reported in the enterprise’s PRC statutory accounts. A WFOE is required to allocate at least 10% 50% not 10% 50% not As a result of these PRC laws and regulations, the Company’s PRC subsidiaries and VIEs are restricted in their ability to transfer a portion of their net assets to the Company. As of December 31, 2017 2016, US$8.2 US$7.8 The current PRC Enterprise Income Tax (“EIT”) Law also imposed a 10% 5% The ability of the Company’s PRC subsidiaries and VIEs to make dividends and other payments to the Company may Foreign currency exchange regulation in China is primarily governed by the following rules: • Foreign Exchange Administration Rules ( 1996 August 2008, • Administration Rules of the Settlement, Sale and Payment of Foreign Exchange ( 1996 Currently, under the Administration Rules, Renminbi is freely convertible for current account items, including the distribution of dividends, interest payments, trade and service related foreign exchange transactions, but not may Although the current Exchange Rules allow the convertibility of Chinese Renminbi into foreign currency for current account items, conversion of Chinese Renminbi into foreign exchange for capital items, such as foreign direct investment, loans or securities, requires the approval of SAFE, which is under the authority of the People’s Bank of China. These approvals, however, do not not may As of December 31, 2017 2016, US$10.6 US$17.6 US$2.7 US$2.5 December 31, 2017 2016, may may US$8.2 US$7.8 December 31, 2017 2016, |
Note 20 - Related Party Transac
Note 20 - Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | 20. Related party transactions Revenue from related parties: Year Ended December 31, 2017 2016 US$(’000) US$(’000) -Beijing Saturday Education Technology Co., Ltd. 6 240 -Chuangshi Meiwei (Beijing) International Investment Management Co., Ltd. 17 170 -ChinaNet Chuang Tou (Shenzhen) Co., Ltd. 13 - -Beijing Saimeiwei Food Equipment Technology Co., Ltd, - 36 -Guohua Shiji (Beijing) Communication Co., Ltd. (1 ) 4 35 450 Related parties of the Company represented the Company’s direct or indirect unconsolidated investee companies. The Company provides advertising, marketing and data services to these related parties in its normal course of business on the same terms as those provided to its unrelated clients. |
Note 21 - Employee Defined Cont
Note 21 - Employee Defined Contribution Plan | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | 21. Employee defined contribution plan Full time employees of the Company in the PRC participate in a government mandated defined contribution plan, pursuant to which certain pension benefits, medical care, employee housing fund and other welfare benefits are provided to employees. Chinese labor regulations require that the PRC subsidiaries of the Company make contributions to the government for these benefits based on certain percentages of the employees’ salaries. The employee benefits were expensed as incurred. The Company has no US$405,000 US$595,000 December 31, 2017 2016, |
Note 22 - Concentration of Risk
Note 22 - Concentration of Risk | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | 22. Concentration of risk Credit risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash and cash equivalents, term deposit, accounts receivable and other receivables. As of December 31, 2017 2016, third Risk arising from operations in foreign countries All of the Company’s operations are conducted within the PRC. The Company’s operations in the PRC are subject to various political, economic, and other risks and uncertainties inherent in the PRC. Among other risks, the Company’s operations in the PRC are subject to the risks of restrictions on transfer of funds, changing taxation policies, foreign exchange restrictions; and political conditions and governmental regulations. Currency convertibility risk Significant part of the Company’s businesses is transacted in RMB, which is not may Concentration of customers For the year ended December 31, 2017, three 12%, 12% 10% no 10% December 31, 2017 2016. As of December 31, 2017, four 22%, 14%, 14% 11% December 31, 2016, two 22% 14% no 10% December 31, 2017 2016. Concentration of suppliers For the year ended December 31, 2017, two 64% 26% December 31, 2016, two 39% no 10% December 31, 2017 2016. |
Note 23 - Commitments and Conti
Note 23 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 23. Commitments and contingencies The following table sets forth the Company’s operating lease commitment as of December 31, 2017: Office Rental US$(’000) Year ending December 31, -2018 349 -2019 86 Total 435 For the years ended December 31, 2017 2016, US$409,000 US$580,000, |
Note 24 - Discontinued Operatio
Note 24 - Discontinued Operation | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | 24. Discontinued operation In the fourth 2015, one June 2016, third December 31, 2016, US$0.06 |
Note 25 - Segment Reporting
Note 25 - Segment Reporting | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 25. Segment reporting The Company follows ASC Topic 280 For the year ended December 31, 2017 Internet TV & Others Inter- Total US$ US$ US$ US$ US$ Revenues 46,291 342 - - 46,633 Cost of revenues 41,747 273 - - 42,020 Total operating expenses 9,758 90 4,207 (1) - 14,055 Impairment on intangible assets included in total operating expenses 2,552 - - - 2,552 Impairment on long-term investments included in total operating expenses 28 16 - - 44 Depreciation and amortization expense included in total operating expenses 1,333 1 88 - 1,422 Operating loss (5,214 ) (21 ) (4,207 ) - (9,442 ) Expenditure for long-term assets 1 1 2 - 4 Net loss from continuing operations (5,752 ) (21 ) (4,238 ) - (10,011 ) Total assets – December 31, 2017 28,524 402 11,013 (11,379 ) 28,560 ( 1 Including approximately US$2,271,000 For the year ended December 31, 2016 Internet TV & Others Inter- segment Total US$ US$ US$ US$ US$ Revenues 34,750 - - - 34,750 Cost of revenues 26,999 - - - 26,999 Total operating expenses 8,777 468 4,654 (1) - 13,899 Impairment on long-term investments included in total operating expenses - - 159 - 159 Depreciation and amortization expense included in total operating expenses 1,470 2 100 - 1,572 Operating loss (1,026 ) (468 ) (4,654 ) - (6,148 ) Expenditure for long-term assets 2,003 - 114 - 2,117 Net loss from continuing operations (1,154 ) (468 ) (4,663 ) - (6,285 ) Total assets – December 31, 2016 29,520 348 11,882 (11,708 ) 30,042 ( 1 Including approximately US$2,309,000 |
Note 26 - Loss Per Share
Note 26 - Loss Per Share | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 26. Loss per share Basic and diluted loss per share for each of the periods presented is calculated as follows (All amounts, except number of shares and per share data, are presented in thousands of U.S. dollars): Year Ended December 31, 2017 2016 US$(’000) US$(’000) Net loss attributable to ChinaNet Online Holdings, Inc. from continuing operations (numerator for basic and diluted loss per share from continuing operations) $ (10,125 ) $ (6,433 ) Net loss attributable to ChinaNet Online Holdings, Inc. from discontinued operation (numerator for basic and diluted loss per share from discontinued operation) - (59 ) Weighted average number of common shares outstanding – Basic and diluted 12,116,783 11,357,907 Loss per share -Basic and diluted from continuing operations $ (0.84 ) $ (0.57 ) Loss per share -Basic and diluted from discontinued operation $ - $ (0.01 ) For the year ended December 31, 2017, not 835,216 not 266,238 For the year ended December 31, 2016, not 835,216 not 796,657 |
Note 27 - Share-based Compensat
Note 27 - Share-based Compensation Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 27. Share-based compensation expenses The Company granted 75,000 20,000 December 31, 2017 2016, US$1.09 US$3.00 US$82,000 US$60,000 December 31, 2017 2016, In February 2017, 20,000 one US$1.12 December 31, 2017 US$22,000. In July 2017, 75,000 two 12 July 1, 2017. US$1.09 December 31, 2017 US$41,000. In November 2017, 40,000 one US$1.12 December 31, 2017 US$45,000. In December 2017, 12,000 US$1.09 December 31, 2017 US$13,000. In December 2017, 2015 1,590,000 US$1.03 December 31, 2017 US$1,638,000. On April 1, 2016, 16,000 two 12 April 1, 2016. US$1.73 US$7,000 US$21,000 December 31, 2017 2016, On September 14, 2015, 2015 266,238 third US$2.10 5% December 31, 2017 2016 US$177,000, On September 14, 2015, 2015 5 477,240 US$2.10 159,080 159,080 September 14, 2016 159,080 September 14, 2017. US$1.03 US$1.39 December 31, 2017 2016 US$155,000 US$201,000, The Company granted 140,000 24 May 1, 2015. US$3.93 December 31, 2017 2016 US$91,000 US$276,000, On November 14, 2016, 12,000 March 2017. US$1.20 December 31, 2016 US$14,000. On December 30, 2014, 1,680,000 613,334 533,333 December 30, 2015 533,333 December 30, 2016. US$2.93 US$1,560,000 December 31, 2016. Options issued and outstanding at December 31, 2017 two Option Outstanding Option Exercisable Number of Weighted Weighted Number of Weighted Weighted Balance, December 31, 2015 835,216 5.04 $ 2.49 517,056 5.24 $ 2.73 Granted/Vested - 159,080 3.70 $ 2.10 Forfeited - - Exercised - - Balance, December 31, 2016 835,216 4.04 $ 2.49 676,136 4.11 $ 2.59 Granted/Vested - 159,080 2.70 $ 2.10 Forfeited - - Exercised - - Balance, December 31, 2017 835,216 3.04 $ 2.49 835,216 3.04 $ 2.49 The aggregate unrecognized share-based compensation expenses as of December 31, 2017 2016 US$154,000 US$544,000, December 31, 2017 December 31, 2018. |
Note 28 - Subsequent Event
Note 28 - Subsequent Event | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 28. Subsequent event The Company has performed an evaluation of subsequent events through the date the financial statements were issued, and has determined that there are no On January 17, 2018, 2,150,001 three $5.15 645,000 $6.60 30 $11.1 On February 28, 2018, third US$4.5 US$2.25 On March 5, 2018, 49% RMB15 US$2.3 50% 50% RMB7.5 US$1.15 June 2018. no |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | a) Basis of presentation The consolidated financial statements are prepared and presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). |
Consolidation, Policy [Policy Text Block] | b) Principles of consolidation The consolidated financial statements include the financial statements of all the subsidiaries and VIEs of the Company. All transactions and balances between the Company and its subsidiaries and VIEs have been eliminated upon consolidation. According to the agreements between Beijing CNET Online and Shanghai Borongdingsi, although Beijing CNET Online legally owns 51% not not |
Use of Estimates, Policy [Policy Text Block] | c) Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of these consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. The Company continually evaluates these estimates and assumptions based on the most recently available information, historical experience and various other assumptions that the Company believes to be reasonable under the circumstances. Since the use of estimates is an integral component of the financial reporting process, actual results could differ from those estimates. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | d) Foreign currency translation and transactions The functional currency of the Company is United States dollars (“US$”), and the functional currency of China Net HK is Hong Kong dollars (“HK$”). The functional currency of the Company’s PRC operating subsidiaries and VIEs is Renminbi (“RMB”), and PRC is the primary economic environment in which the Company operates. For financial reporting purposes, the financial statements of the Company’s PRC operating subsidiaries and VIEs, which are prepared using the RMB, are translated into the Company’s reporting currency, the United States Dollar (“U.S. dollar”). Assets and liabilities are translated using the exchange rate at each balance sheet date. Revenue and expenses are translated using average rates prevailing during each reporting period, and stockholders’ equity is translated at historical exchange rates. Adjustments resulting from the translation are recorded as a separate component of accumulated other comprehensive income in stockholders’ equity. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transactions. The resulting exchange differences are included in the determination of net loss of the consolidated statements of operations and comprehensive loss for the respective periods. The exchange rates used to translate amounts in RMB into US$ for the purposes of preparing the consolidated financial statements are as follows: As of December 31, 2017 2016 Balance sheet items, except for equity accounts 6.5342 6.9370 Year Ended December 31, 2017 2016 Items in the statements of income and comprehensive income, and statements of cash flows 6.7518 6.6423 No |
Cash and Cash Equivalents, Policy [Policy Text Block] | e) Cash and cash equivalents Cash and cash equivalents consist of cash on hand and bank deposits, which are unrestricted as to withdrawal and use. The Company considers all highly liquid investments with original maturities of three |
Term Deposits [Policy Text Block] | f) Term deposits Term deposits consist of bank deposits with an original maturity of between three twelve |
Receivables, Policy [Policy Text Block] | g) Accounts receivable, other receivables, and due from related parties, net Accounts receivable, other receivables and due from related parties are recorded at net realizable value consisting of the carrying amount less an allowance for uncollectible accounts as needed. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable, other receivables and due from related parties. The Company determines the allowance based on aging data, historical collection experience, customer specific facts and economic conditions. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. As of December 31, 2017 2016, US$1.41 not December 31, 2017 2016, US$1.46 US$0.37 |
Investment, Policy [Policy Text Block] | h) Long-term investments Equity method investments Investee companies that are not 323 not 20% 50% not When the Company’s carrying value in an equity method investee company is reduced to zero, no not not Cost method investments Investee companies that are not not 325 20: 20% Impairment for long-term investments The Company assesses its long-term investments for other-than-temporary impairment by considering factors including, but not For the years ended December 31, 2017 2016, US$0.04 US$0.16 |
Property, Plant and Equipment, Policy [Policy Text Block] | i) Property and equipment, net Property and equipment are recorded at cost less accumulated depreciation and amortization. Depreciation is calculated on the straight-line method after taking into account their respective estimated residual values over the following estimated useful lives: Leasehold improvements (years) 3 Vehicles 5 Office equipment 3 - 5 Electronic devices 5 Depreciation expenses are included in sales and marketing expenses, general and administrative expenses and research and development expenses. Leasehold improvements are amortized over the lesser of the lease term or estimated useful life. When property and equipment are retired or otherwise disposed of, resulting gain or loss is included in net income or loss in the period of disposition. Maintenance and repairs which do not |
Intangible Assets, Finite-Lived, Policy [Policy Text Block] | j) Intangible assets, net Purchased software and software platform is initially recorded at cost and amortized on a straight-line basis over the estimated useful economic life of 2 10 Intangible assets other than goodwill acquired through various acquisitions are amortized on a straight-line basis over their expected useful economic lives. Customer Relationship (years) 5 - 9 Non-Compete Agreement 5 - 6 Software Technologies 5 The Company accounted for website development costs in accordance with ASC Topic 350 50, 350 50 December 31, 2017 2016, not |
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block] | k) Impairment of long-lived assets Long-lived assets, which include tangible long-lived assets and intangible long-lived assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not For the years ended December 31, 2017 2016, US$2.55 3 11 |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | l) Goodwill Goodwill represents the excess of the purchase price over the fair value of the identifiable assets and liabilities acquired as a result of the Company's acquisitions of interests in its consolidated VIEs. Goodwill is not two not first 805 Application of a goodwill impairment test requires significant management judgment, including the identification of reporting units, assigning assets and liabilities to reporting units, assigning goodwill to reporting units, and determining the fair value of each reporting unit. The judgment in estimating the fair value of reporting units includes estimating future cash flows, determining appropriate discount rates and making other assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit. In the fourth 2015, 350: 20 40, 350 20 40 3 350 20 40 7, US$914,000 fourth 2016, no 360. As of December 31, 2017 2016, December 31, 2017 2016, 3 12 For the years ended December 31, 2017 2016, not |
Noncontrolling Interest [Policy Text Block] | m) Noncontrolling interest The Company accounts for noncontrolling interest in accordance with ASC Topic 810 10 45, 810 10 45 |
Fair Value Measurement, Policy [Policy Text Block] | n) Fair value The Company’s financial instruments primarily consist of cash and cash equivalents, accounts receivable, other receivables, accounts payable and payable for purchasing of software technology. The carrying values of these financial instruments approximate fair values due to their short maturities. ASC Topic 820 three may Level 1 Level 2 1 not Level 3 no Determining which category an asset or liability falls within the hierarchy requires significant judgment. The Company evaluates its hierarchy disclosures each quarter. The Company’s intangible assets and goodwill are measured at fair value on a nonrecurring basis and they are recorded at fair value only when impairment is recognized. The fair value of intangible assets was determined using income approach or cost approach, and the fair value of goodwill was determined using income approach. The following table summarizes the quantitative information about the Company’s Level 3 Valuation technique(s) Unobservable inputs Ranges As of December 31, 2017 Intangible assets Multi-period Excess Earning/ Remaining useful life (years) 3.25 - 8.5 Discount rate 24% Contributory asset charge 15.9% - 24% Goodwill Discounted Cash Flow Base projection period (years) 5 Discount rate 20% Terminal growth rate 3.5% As of December 31, 2016 Intangible assets Multi-period Excess Earning/ Remaining useful life (years) 1 - 9.5 Discount rate 24% Contributory asset charge 12.9% - 24% Goodwill/ Discounted Cash Flow Base projection period (years) 5 Discount rate 20% Terminal growth rate 3.5% Remaining useful life was determined based on the remaining estimated useful life of the assets being valued. Contributory asset charges were determined based on the nature (risk) and liquidity of the respective contributory asset. Base projection period adopted by the Company was commonly used in the market practice. Terminal growth rate was determined based on the estimated long-term GDP growth rate of China. Discount rate for goodwill/disposal group was determined based on the appropriate Weighted Average Cost of Capital (WACC) should be adopted by the Company to estimate the fair value of goodwill/disposal group, and the discount rate adopted for intangible assets represented a 4% |
Revenue Recognition, Policy [Policy Text Block] | o) Revenue recognition The Company's revenue recognition policies are in compliance with ASC Topic 605 605, four Sales include revenues from selling advertising time purchased from TV stations, internet advertising space on the Company’s website portals and effective sales lead information collected, providing online advertising, precision marketing, data service and other related value-added services. Advertising contracts establish the fixed price and advertising services to be provided. Pursuant to advertising contracts, the Company provides advertisement placements in different formats, including but not two 605, 45. not |
Cost of Sales, Policy [Policy Text Block] | p) Cost of revenues Cost of revenues primarily includes the cost of media advertising time, internet advertising related resources and other technical services purchased from third |
Advertising Costs, Policy [Policy Text Block] | q) Advertising costs Advertising costs for the Company’s own brand building are not December 31, 2017 2016, US$1,717,000 US$2,360,000, |
Research and Development Expense, Policy [Policy Text Block] | r) Research and development expenses The Company accounts for the cost of developing and upgrading technologies and platforms and intellectual property that are used in its daily operations in research and development cost. Research and development costs are charged to expense when incurred. Expenses for research and development for the years ended December 31, 2017 2016 US$1,261,000 US$1,996,000, |
Income Tax, Policy [Policy Text Block] | s) Income taxes The Company follows the guidance of ASC Topic 740 not not |
Income Tax Uncertainties, Policy [Policy Text Block] | t) Uncertain tax positions The Company follows the guidance of ASC Topic 740 not The Company recognizes interest on non-payment of income taxes and penalties associated with tax positions when a tax position does not not three five RMB100,000. ten no not December 31, 2017 2016 not December 31, 2017 2016, |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | u) Share-based Compensation The Company accounted for share-based compensation to employees in accordance with ASC Topic 718 |
Comprehensive Income, Policy [Policy Text Block] | v) Comprehensive income The Company accounts for comprehensive income in accordance with ASC Topic 220 |
Earnings Per Share, Policy [Policy Text Block] | w) Earnings (loss) per share Earnings (loss) per share are calculated in accordance with ASC Topic 260, |
Commitments and Contingencies, Policy [Policy Text Block] | x Commitments and contingencies The Company has adopted ASC Topic 450 20, not |
New Accounting Pronouncements, Policy [Policy Text Block] | y) Recent accounting standards In May 2014, No. 2014 09, 606 2015, 2016 2017 No. 2014 09 605 five 1 2 3 4 5 not No. 2014 09 2014 09 December 15, 2017, December 15, 2016, January 1, 2018 not In February 2016, No. 2016 02, 842 12 not December 15, 2018, first 2019 no No. 2016 02 2018. In March 2016, No. 2016 09, 718 December 15, 2016, not In January 2017, No. 2017 01, 805 not not not 1 2 two not 606. December 15, 2017, No not In January 2017, No. 2017 04, 350 2 2, not zero 2 zero first first December 15, 2019. January 1, 2017. In February 2018, 2018 02: 220 not December 15, 2018, Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not not |
Note 2 - Variable Interest En36
Note 2 - Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Variable Interest Entities [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Assets Current assets: Cash and cash equivalents $ 2,904 $ 2,915 Term deposit - 3,056 Accounts receivable, net 7,215 3,315 Other receivables, net 2,629 71 Prepayment and deposit to suppliers 4,009 4,710 Due from related parties, net 14 197 Total current assets 16,771 14,264 Long-term investments - 43 Property and equipment, net 177 286 Intangible assets, net 2,112 5,468 Goodwill 5,277 4,970 Deferred tax assets 975 1,241 Total Assets $ 25,312 $ 26,272 Liabilities Current liabilities: Short-term bank loan $ 765 $ 721 Accounts payable 2,848 83 Advances from customers 3,559 1,388 Accrued payroll and other accruals 159 256 Due to Control Group 11 10 Payable for purchasing of software technology 436 411 Taxes payable 2,711 2,480 Other payables 155 162 Total current liabilities 10,644 5,511 Total Liabilities $ 10,644 $ 5,511 |
Financial Performance of VIEs [Table Text Block] | Year Ended December 31, 2017 2016 US$(’000) US$(’000) Revenues $ 46,576 $ 34,643 Cost of revenues 42,019 26,916 Total operating expenses (including impairment of intangible assets and long-term investments) 9,897 9,167 Loss from discontinued operations - 59 Net loss before allocation to noncontrolling interests 5,878 1,627 |
Note 3 - Summary of Significa37
Note 3 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Foreign Currency Exchange Rates [Table Text Block] | As of December 31, 2017 2016 Balance sheet items, except for equity accounts 6.5342 6.9370 Year Ended December 31, 2017 2016 Items in the statements of income and comprehensive income, and statements of cash flows 6.7518 6.6423 |
Property, Plant and Equipment, Useful Life [Table Text Block] | Leasehold improvements (years) 3 Vehicles 5 Office equipment 3 - 5 Electronic devices 5 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Customer Relationship (years) 5 - 9 Non-Compete Agreement 5 - 6 Software Technologies 5 |
Fair Value Inputs, Assets, Quantitative Information [Table Text Block] | Valuation technique(s) Unobservable inputs Ranges As of December 31, 2017 Intangible assets Multi-period Excess Earning/ Remaining useful life (years) 3.25 - 8.5 Discount rate 24% Contributory asset charge 15.9% - 24% Goodwill Discounted Cash Flow Base projection period (years) 5 Discount rate 20% Terminal growth rate 3.5% As of December 31, 2016 Intangible assets Multi-period Excess Earning/ Remaining useful life (years) 1 - 9.5 Discount rate 24% Contributory asset charge 12.9% - 24% Goodwill/ Discounted Cash Flow Base projection period (years) 5 Discount rate 20% Terminal growth rate 3.5% |
Note 5 - Accounts Receivable,38
Note 5 - Accounts Receivable, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Accounts Receivable [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Accounts receivable 10,008 6,034 Allowance for doubtful debts (2,793 ) (2,712 ) Accounts receivable, net 7,215 3,322 |
Note 7 - Prepayments and Depo39
Note 7 - Prepayments and Deposit to Suppliers (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Prepayments and Deposit to Suppliers [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Deposits to TV and internet resources providers 1,870 1,074 Prepayments to TV and internet resources providers 1,331 2,874 Deposits to other service providers 765 721 Other deposits and prepayments 107 91 4,073 4,760 |
Note 8 - Due From Related Par40
Note 8 - Due From Related Parties, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Due From Related Parties [Member] | |
Notes Tables | |
Schedule of Related Party Transactions [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Beijing Saimeiwei Food Equipment Technology Co., Ltd. 33 31 Chuangshi Meiwei (Beijing) International Investment Management Co., Ltd. 156 150 Guohua Shiji (Beijing) Communication Co., Ltd. 184 175 ChinaNet Chuang Tou (Shenzhen) Co., Ltd. 14 - Beijing Saturday Education Technology Co., Ltd. - 1 387 357 Allowance for doubtful debts (373 ) (144 ) Due from related parties, net 14 213 |
Note 9 - Long-term Investments
Note 9 - Long-term Investments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Investment In and Advance to Equity Investment Affiliates [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Equity method investments: Investment in equity method investees 753 709 Advance to equity method investees 80 75 Impairment on equity method investments (833 ) (784 ) Total equity method investments - - Cost method investments: Investment in cost method investees 1,125 1,492 Impairment on cost method investments (207 ) (152 ) Total cost method investments 918 1,340 Total long-term investments 918 1,340 |
Schedule of Cost Method Investments [Table Text Block] | ChinaNet Beijing Chuangshi Guohua ChinaNet Total US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) Balance as of December 31, 2015 - 17 154 3 939 1,113 Investment during the year 8 - - 25 418 451 Impairment on cost method investments (8 ) - (144 ) - - (152 ) Exchange translation adjustment - (1 ) (10 ) (1 ) (60 ) (72 ) Balance as of December 31, 2016 - 16 - 27 1,297 1,340 Withdraw of cash investment - - - - (459 ) (459 ) Impairment on cost method investments - (17 ) - (29 ) - (46 ) Exchange translation adjustment - 1 - 2 80 83 Balance as of December 31, 2017 - - - - 918 918 |
Note 10 - Property and Equipm42
Note 10 - Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Property and Equipment [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Leasehold improvement 337 317 Vehicles 810 763 Office equipment 1,410 1,371 Electronic devices 1,164 1,096 Property and equipment, cost 3,721 3,547 Less: accumulated depreciation (3,258 ) (2,922 ) Less: impairment loss on abandoned fixed assets (164 ) (154 ) Property and equipment, net 299 471 |
Note 11 - Intangible Assets, 43
Note 11 - Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Finite and Indefinite-Lived Intangible Assets [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Intangible assets not subject to amortization: Domain name 1,478 1,393 Intangible assets subject to amortization: Customer relationship 2,038 1,920 Non-compete agreements 1,122 1,057 Software technologies 314 295 Cloud compute software technology 1,420 1,338 Internet safety, information exchange security and data encryption software 1,990 1,874 Intelligent marketing data service platform 4,942 4,655 Cloud video management system 1,454 1,369 Other computer software 120 113 Intangible assets, cost 14,878 14,014 Less: accumulated amortization (6,443 ) (4,875 ) Less: accumulated impairment losses (4,627 ) (1,875 ) Intangible assets, net 3,808 7,264 |
Note 12 - Goodwill (Tables)
Note 12 - Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | Amount US$(’000) Balance as of December 31, 2015 4,396 Goodwill adjustment due to reclassify disposal group to held and used 914 Exchange translation adjustment (340 ) Balance as of December 31, 2016 4,970 Exchange translation adjustment 307 Balance as of December 31, 2017 5,277 |
Note 14 - Accrued Payroll and45
Note 14 - Accrued Payroll and Other Accruals (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Accrued payroll and staff welfare 203 319 Accrued operating expenses 356 366 559 685 |
Note 17 - Taxation (Tables)
Note 17 - Taxation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule Of Taxes Payable [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) PRC turnover tax and surcharge payable 1,295 1,147 PRC enterprise income tax payable 1,873 1,763 Taxes payable 3,168 2,910 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Year Ended December 31, 2017 2016 US$(’000) US$(’000) Pre-tax loss (9,760 ) (6,183 ) U.S. federal rate 35 % 35 % Income tax benefit computed at U.S. federal rate 3,416 2,164 Reconciling items: Rate differential for PRC earnings (724 ) (354 ) Preferential tax treatments and tax holiday effects (238 ) (158 ) Tax effect on toll charge income from the Act (492 ) - Tax effect on enactment of new tax rate (1,859 ) - Tax effect on change of net operating loss treatment - (924 ) Valuation allowance on deferred tax assets (434 ) (743 ) Others 80 (87 ) Effective income tax expense (251 ) (102 ) |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Year Ended December 31, 2017 2016 US$(’000) US$(’000) Current-PRC (1 ) - Deferred-PRC (250 ) (102 ) Income tax expense (251 ) (102 ) |
Schedule Of Deferred Tax Assets [Table Text Block] | As of December 31, 2017 2016 US$(’000) US$(’000) Net operating loss carryforward 7,657 7,461 Bad debts provision 879 931 Valuation allowance (7,178 ) (6,870 ) Total net deferred tax assets 1,358 1,522 |
Note 20 - Related Party Trans47
Note 20 - Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Revenue from Related Parties [Member] | |
Notes Tables | |
Schedule of Related Party Transactions [Table Text Block] | Year Ended December 31, 2017 2016 US$(’000) US$(’000) -Beijing Saturday Education Technology Co., Ltd. 6 240 -Chuangshi Meiwei (Beijing) International Investment Management Co., Ltd. 17 170 -ChinaNet Chuang Tou (Shenzhen) Co., Ltd. 13 - -Beijing Saimeiwei Food Equipment Technology Co., Ltd, - 36 -Guohua Shiji (Beijing) Communication Co., Ltd. (1 ) 4 35 450 |
Note 23 - Commitments and Con48
Note 23 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Office Rental US$(’000) Year ending December 31, -2018 349 -2019 86 Total 435 |
Note 25 - Segment Reporting (Ta
Note 25 - Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Internet TV & Others Inter- Total US$ US$ US$ US$ US$ Revenues 46,291 342 - - 46,633 Cost of revenues 41,747 273 - - 42,020 Total operating expenses 9,758 90 4,207 (1) - 14,055 Impairment on intangible assets included in total operating expenses 2,552 - - - 2,552 Impairment on long-term investments included in total operating expenses 28 16 - - 44 Depreciation and amortization expense included in total operating expenses 1,333 1 88 - 1,422 Operating loss (5,214 ) (21 ) (4,207 ) - (9,442 ) Expenditure for long-term assets 1 1 2 - 4 Net loss from continuing operations (5,752 ) (21 ) (4,238 ) - (10,011 ) Total assets – December 31, 2017 28,524 402 11,013 (11,379 ) 28,560 Internet TV & Others Inter- segment Total US$ US$ US$ US$ US$ Revenues 34,750 - - - 34,750 Cost of revenues 26,999 - - - 26,999 Total operating expenses 8,777 468 4,654 (1) - 13,899 Impairment on long-term investments included in total operating expenses - - 159 - 159 Depreciation and amortization expense included in total operating expenses 1,470 2 100 - 1,572 Operating loss (1,026 ) (468 ) (4,654 ) - (6,148 ) Expenditure for long-term assets 2,003 - 114 - 2,117 Net loss from continuing operations (1,154 ) (468 ) (4,663 ) - (6,285 ) Total assets – December 31, 2016 29,520 348 11,882 (11,708 ) 30,042 |
Note 26 - Loss Per Share (Table
Note 26 - Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Year Ended December 31, 2017 2016 US$(’000) US$(’000) Net loss attributable to ChinaNet Online Holdings, Inc. from continuing operations (numerator for basic and diluted loss per share from continuing operations) $ (10,125 ) $ (6,433 ) Net loss attributable to ChinaNet Online Holdings, Inc. from discontinued operation (numerator for basic and diluted loss per share from discontinued operation) - (59 ) Weighted average number of common shares outstanding – Basic and diluted 12,116,783 11,357,907 Loss per share -Basic and diluted from continuing operations $ (0.84 ) $ (0.57 ) Loss per share -Basic and diluted from discontinued operation $ - $ (0.01 ) |
Note 27 - Share-based Compens51
Note 27 - Share-based Compensation Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Option Outstanding Option Exercisable Number of Weighted Weighted Number of Weighted Weighted Balance, December 31, 2015 835,216 5.04 $ 2.49 517,056 5.24 $ 2.73 Granted/Vested - 159,080 3.70 $ 2.10 Forfeited - - Exercised - - Balance, December 31, 2016 835,216 4.04 $ 2.49 676,136 4.11 $ 2.59 Granted/Vested - 159,080 2.70 $ 2.10 Forfeited - - Exercised - - Balance, December 31, 2017 835,216 3.04 $ 2.49 835,216 3.04 $ 2.49 |
Note 1 - Organization and Nat52
Note 1 - Organization and Nature of Operations (Details Textual) | Aug. 19, 2016shares | Dec. 31, 2017shares | Dec. 31, 2016shares | Aug. 18, 2016shares |
Wholly-owned Investment Holding Companies Incorporated | 2 | |||
Common Stock, Shares, Issued | 12,158,542 | 13,982,542 | 12,158,542 | 30,395,722 |
Reverse Stock Split [Member] | ||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 2.5 | |||
Shanghai Borongdingsi [Member] | Beijing CNET Online [Member] | ||||
Consolidated Subsidiary Ownership Percentage | 51.00% | |||
Chuangshi Meiwei [Member] | Beijing CNET Online [Member] | ||||
Consolidated Subsidiary Ownership Percentage | 10.00% | |||
Beijing Saturday [Member] | Beijing CNET Online [Member] | ||||
Consolidated Subsidiary Ownership Percentage | 10.00% | |||
Beijing Chuang Fu Tian Xia [Member] | Beijing CNET Online [Member] | ||||
Consolidated Subsidiary Ownership Percentage | 51.00% | |||
Guohua Shiji [Member] | Beijing CNET Online [Member] | ||||
Consolidated Subsidiary Ownership Percentage | 19.00% | |||
Shenzhen Mingshan [Member] | ||||
Equity Method Investment, Ownership Percentage | 23.18% | 23.18% | ||
Shenzhen Mingshan [Member] | Beijing CNET Online [Member] | ||||
Equity Method Investment, Ownership Percentage | 23.18% | |||
Zhao Shang Ke Hubei [Member] | ||||
Equity Method Investment, Ownership Percentage | 25.50% | 25.50% | ||
Zhao Shang Ke Hubei [Member] | Beijing CNET Online [Member] | ||||
Equity Method Investment, Ownership Percentage | 25.50% | |||
ChinaNet Korea [Member] | ChinaNet Investment BVI [Member] | ||||
Equity Method Investment, Ownership Percentage | 15.00% | |||
Number Of Unaffiliated Investors in Business Entity | 4 | |||
ChinaNet Chuang Tou [Member] | ChinaNet Online PRC [Member] | ||||
Equity Method Investment, Ownership Percentage | 19.00% | |||
Number Of Unaffiliated Investors in Business Entity | 2 | |||
PRC Operating Entities Business Operations, VIE [Member] | ||||
Income Earned, Percentage | 100.00% |
Note 2 - Variable Interest En53
Note 2 - Variable Interest Entities (Details Textual) - PRC Operating Entities Business Operations, VIE [Member] - Rise King WFOE [Member] | 12 Months Ended |
Dec. 31, 2017CNY (¥) | |
Exclusive Business Cooperation Agreements, Service Fee Percentage of Net Income of Operating Entity | 10000.00% |
Exclusive Business Cooperation Agreements, Expiration Period | 10 years |
Exclusive Option Agreements, Option to Purchase Equity Interests, Price Per Equity Interest in Any Operating Entity | ¥ 10 |
Exclusive Option Agreements, Expiration Period | 10 years |
Note 2 - Variable Interest En54
Note 2 - Variable Interest Entities - Consolidated VIEs' Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash and cash equivalents | $ 2,952 | $ 3,035 | $ 5,503 | |
Term deposit | 3,056 | |||
Accounts receivable, net | 7,215 | 3,322 | ||
Other receivables, net | 2,646 | 89 | ||
Prepayment and deposit to suppliers | 4,073 | 4,760 | ||
Due from Related Parties, Current | 14 | 213 | ||
Total current assets | 16,900 | 14,475 | ||
Long-term investments | 918 | 1,340 | ||
Property and equipment, net | 299 | 471 | ||
Intangible assets, net | 3,808 | 7,264 | ||
Goodwill | 5,277 | 4,970 | $ 4,396 | |
Deferred tax assets, net | 1,358 | 1,522 | ||
Total Assets | 28,560 | 30,042 | ||
Short-term Bank Loans and Notes Payable | [1] | 765 | 721 | |
Accounts payable | [1] | 2,851 | 102 | |
Advances from customers | [1] | 3,559 | 1,420 | |
Accrued payroll and other accruals | [1] | 559 | 685 | |
Payable for purchasing of software technology * | [1] | 436 | 411 | |
Taxes payable | [1] | 3,168 | 2,910 | |
Other payables | [1] | 687 | 487 | |
Total current liabilities | 12,963 | 7,620 | ||
Total Liabilities | 13,097 | 7,746 | ||
VIEs [Member] | ||||
Cash and cash equivalents | 2,904 | 2,915 | ||
Term deposit | 3,056 | |||
Accounts receivable, net | 7,215 | 3,315 | ||
Other receivables, net | 2,629 | 71 | ||
Prepayment and deposit to suppliers | 4,009 | 4,710 | ||
Due from Related Parties, Current | 14 | 197 | ||
Total current assets | 16,771 | 14,264 | ||
Long-term investments | 43 | |||
Property and equipment, net | 177 | 286 | ||
Intangible assets, net | 2,112 | 5,468 | ||
Goodwill | 5,277 | 4,970 | ||
Deferred tax assets, net | 975 | 1,241 | ||
Total Assets | 25,312 | 26,272 | ||
Short-term Bank Loans and Notes Payable | 765 | 721 | ||
Accounts payable | 2,848 | 83 | ||
Advances from customers | 3,559 | 1,388 | ||
Accrued payroll and other accruals | 159 | 256 | ||
Due to Control Group | 11 | 10 | ||
Payable for purchasing of software technology * | 436 | 411 | ||
Taxes payable | 2,711 | 2,480 | ||
Other payables | 155 | 162 | ||
Total current liabilities | 10,644 | 5,511 | ||
Total Liabilities | $ 10,644 | $ 5,511 | ||
[1] | All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company's general assets (Note 2). |
Note 2 - Variable Interest En55
Note 2 - Variable Interest Entities - Consolidated VIEs' Financial Performance (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues | $ 46,598 | $ 34,300 |
Cost of revenues | 42,020 | 26,999 |
Total operating expenses (including impairment of intangible assets and long-term investments) | 14,055 | 13,899 |
Loss from discontinued operations | (59) | |
Net loss | (10,011) | (6,344) |
VIEs [Member] | ||
Revenues | 46,576 | 34,643 |
Cost of revenues | 42,019 | 26,916 |
Total operating expenses (including impairment of intangible assets and long-term investments) | 9,897 | 9,167 |
Loss from discontinued operations | 59 | |
Net loss | $ 5,878 | $ 1,627 |
Note 3 - Summary of Significa56
Note 3 - Summary of Significant Accounting Policies (Details Textual) | 12 Months Ended | |||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2017CNY (¥) | Dec. 31, 2015USD ($) | |
Allowance for Doubtful Accounts Receivable, Write-offs | $ 1,410,000 | $ 0 | ||
Provision for Doubtful Accounts | 1,462,000 | 368,000 | ||
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net | $ 44,000 | 159,000 | ||
Finite-Lived Intangible Asset, Useful Life | 6 years 138 days | |||
Capitalized Computer Software, Amortization | $ 0 | 0 | ||
Impairment of Intangible Assets (Excluding Goodwill) | 2,550,000 | 0 | ||
Goodwill, Impairment Loss | $ 0 | 0 | ||
Premium on WACC in Consideration of Higher Risk Associated With Intangible Assets, Percentage | 4.00% | 4.00% | ||
Advertising Expense | $ 1,717,000 | 2,360,000 | ||
Research and Development Expense | 1,261,000 | 1,996,000 | ||
Statute of Limitations, Special Circumstances, Underpayment of Taxes Threshold | ¥ | ¥ 100,000 | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 0 | 0 | ||
Unrecognized Tax Benefits | 0 | 0 | ||
Internet Ad [Member] | ||||
Goodwill, Gross | $ 914,000 | |||
Goodwill, Impairment Loss | $ 0 | $ 0 | ||
Minimum [Member] | ||||
Maturity of Time Deposits | 3 years | |||
Equity Method Investment, Ownership Percentage | 20.00% | 20.00% | ||
Minimum [Member] | Purchased Software and Software Platform [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 2 years | |||
Maximum [Member] | ||||
Maturity of Time Deposits | 12 years | |||
Equity Method Investment, Ownership Percentage | 50.00% | 50.00% | ||
Maximum [Member] | Purchased Software and Software Platform [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 10 years | |||
Shanghai Borongdingsi [Member] | ||||
Consolidated Subsidiary Ownership Percentage | 51.00% | 51.00% |
Note 3 - Summary of Significa57
Note 3 - Summary of Significant Accounting Policies- Exchange Rates Used to Translate Amounts In RMB Into US$ (Details) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Items in the statements of income and comprehensive income, and statements of cash flows | 6.7518 | 6.6423 |
Balance Sheet Items, Except Equity Accounts [Member] | ||
Balance sheet items, except for equity accounts | 6.5342 | 6.937 |
Note 3 - Summary of Significa58
Note 3 - Summary of Significant Accounting Policies - Estimated Useful Lives of Property, Plant, and Equipment (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Leasehold Improvements [Member] | |
Property and equipment, useful life (Year) | 3 years |
Vehicles [Member] | |
Property and equipment, useful life (Year) | 5 years |
Office Equipment [Member] | Minimum [Member] | |
Property and equipment, useful life (Year) | 3 years |
Office Equipment [Member] | Maximum [Member] | |
Property and equipment, useful life (Year) | 5 years |
Electronic Devices [Member] | |
Property and equipment, useful life (Year) | 5 years |
Note 3 - Summary of Significa59
Note 3 - Summary of Significant Accounting Policies - Intangible Assets Amortization Schedule (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Intangible assets, useful life (Year) | 6 years 138 days |
Customer Relationships [Member] | Minimum [Member] | |
Intangible assets, useful life (Year) | 5 years |
Customer Relationships [Member] | Maximum [Member] | |
Intangible assets, useful life (Year) | 9 years |
Noncompete Agreements [Member] | Minimum [Member] | |
Intangible assets, useful life (Year) | 5 years |
Noncompete Agreements [Member] | Maximum [Member] | |
Intangible assets, useful life (Year) | 6 years |
Software Technologies [Member] | |
Intangible assets, useful life (Year) | 5 years |
Note 3 - Summary of Significa60
Note 3 - Summary of Significant Accounting Policies - Quantitative Information About Level 3 Fair Value Measurements (Details) - Fair Value, Inputs, Level 3 [Member] - Fair Value, Measurements, Nonrecurring [Member] | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Intangible Assets [Member] | Multi-period Excess Earning [Member] | ||
Discount rate | 24.00% | 24.00% |
Goodwill [Member] | Discounted Cash Flow [Member] | ||
Remaining useful life (Year) | 5 years | 5 years |
Discount rate | 20.00% | 20.00% |
Terminal growth rate | 3.50% | 3.50% |
Minimum [Member] | Intangible Assets [Member] | Multi-period Excess Earning [Member] | ||
Remaining useful life (Year) | 3 years 91 days | 1 year |
Contributory asset charge | 15.90% | 12.90% |
Maximum [Member] | Intangible Assets [Member] | Multi-period Excess Earning [Member] | ||
Remaining useful life (Year) | 8 years 182 days | 9 years 182 days |
Contributory asset charge | 24.00% | 24.00% |
Note 4 - Term Deposit (Details
Note 4 - Term Deposit (Details Textual) | Dec. 31, 2016 |
Time Deposits, Weighted Average Interest Rate, Maturities Year One | 2.25% |
Note 5 - Accounts Receivable,62
Note 5 - Accounts Receivable, Net (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance for Doubtful Accounts Receivable, Current | $ 2,793,000 | $ 2,712,000 |
Provision for Doubtful Accounts | 1,462,000 | 368,000 |
Allowance for Doubtful Accounts Receivable, Write-offs | 1,410,000 | 0 |
Internet Advertising and TV Advertising [Member] | ||
Allowance for Doubtful Accounts Receivable, Current | $ 2,793,000 | 2,712,000 |
Number of Months Past Due | 180 days | |
Provision for Doubtful Accounts | $ 1,280,000 | |
Provision for Doubtful Accounts Reversal | $ 40,000 | |
Allowance for Doubtful Accounts Receivable, Write-offs | $ 1,410,000 |
Note 5 - Accounts Receivable,63
Note 5 - Accounts Receivable, Net - Accounts Receivable, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts receivable | $ 10,008 | $ 6,034 |
Allowance for doubtful debts | (2,793) | (2,712) |
Accounts receivable, net | $ 7,215 | $ 3,322 |
Note 6 - Other Receivables, N64
Note 6 - Other Receivables, Net (Details Textual) ¥ in Millions | 1 Months Ended | 12 Months Ended | ||||
Dec. 31, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2017CNY (¥) | Nov. 30, 2017USD ($) | Dec. 31, 2016CNY (¥) | |
Proceeds from Collection of Loans Receivable | $ 296,000 | |||||
Provision for Doubtful Accounts | 1,462,000 | 368,000 | ||||
Internet Advertising And TV Advertising Contractual Deposit [Member] | ||||||
Allowance for Doubtful Accounts Receivable | $ 900,000 | 900,000 | 900,000 | ¥ 6 | ¥ 6 | |
Provision for Doubtful Accounts Reversal | 30,000 | |||||
Provision for Doubtful Accounts | $ 256,000 | |||||
Short-term Working Capital Loan to an Unrelated Third Party [Member] | ||||||
Loans Receivable, Net | 2,600,000 | $ 2,600,000 | $ 2,910,000 | |||
Proceeds from Collection of Loans Receivable | $ 310,000 |
Note 7 - Prepayments and Depo65
Note 7 - Prepayments and Deposit to Suppliers (Details Textual) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Number of Largest Internet Resources Suppliers | 2 | 2 |
Note 7 - Prepayments and Depo66
Note 7 - Prepayments and Deposit to Suppliers - Prepayments and Deposit to Suppliers (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Prepayment and deposit to suppliers | $ 4,073 | $ 4,760 |
Deposits to TV Ad and Internet Ad Resources Providers [Member] | ||
Prepayment and deposit to suppliers | 1,870 | 1,074 |
Prepayment to TV Ad and Internet Ad Resources Providers [Member] | ||
Prepayment and deposit to suppliers | 1,331 | 2,874 |
Deposits to Other Service Providers [Member] | ||
Prepayment and deposit to suppliers | 765 | 721 |
Other Deposits and Prepayments [Member] | ||
Prepayment and deposit to suppliers | $ 107 | $ 91 |
Note 8 - Due From Related Par67
Note 8 - Due From Related Parties, Net (Details Textual) $ in Thousands, ¥ in Millions | Dec. 31, 2017USD ($) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016USD ($) | Dec. 31, 2016CNY (¥) |
Due from Related Parties, Current | $ 14 | $ 213 | ||
Allowance for Doubtful Accounts Receivable, Related Party, Current | 373 | 144 | ||
Related-party Working Capital Loans [Member] | Chuangshi Meiwei and Guoshua Shiji [Member] | ||||
Due from Related Parties, Current | 150 | ¥ 1 | 180 | ¥ 1.2 |
Allowance for Doubtful Accounts Receivable, Related Party, Current | $ 210 | $ 150 |
Note 8 - Due From Related Par68
Note 8 - Due From Related Parties, Net - Due from Related Parties (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Due from related parties, gross | $ 387 | $ 357 |
Allowance for doubtful debts | (373) | (144) |
Due from related parties, net | 14 | 213 |
Beijing Saimeiwei Food Equipment Technology [Member] | ||
Due from related parties, gross | 33 | 31 |
Chuangshi Meiwei [Member] | ||
Due from related parties, gross | 156 | 150 |
Guohua Shiji [Member] | ||
Due from related parties, gross | 184 | 175 |
ChinaNet Chuang Tou [Member] | ||
Due from related parties, gross | 14 | |
Beijing Saturday Education Technology Co., Ltd. [Member] | ||
Due from related parties, gross | $ 1 |
Note 9 - Long-term Investment69
Note 9 - Long-term Investments (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Equity Method Investments | $ 753 | $ 709 | |
Cost Method Investments | 918 | 1,340 | $ 1,113 |
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net | 44 | 159 | |
Cost-method Investments, Other than Temporary Impairment | $ 0 | $ 0 | |
Shenzhen Mingshan [Member] | |||
Equity Method Investment, Ownership Percentage | 23.18% | 23.18% | |
Zhao Shang Ke Hubei [Member] | |||
Equity Method Investment, Ownership Percentage | 25.50% | 25.50% | |
Shenzhen Mingsham and Zhao Shang Ke Hubei [Member] | |||
Equity Method Investments | 0 | ||
ChinaNet Chuang Tou [Member] | |||
Cost Method Investment Ownership Percentage | 19.00% | 19.00% | |
Cost Method Investments | $ 918 | $ 1,297 | 939 |
Chuangshi Meiwei [Member] | |||
Cost Method Investment Ownership Percentage | 10.00% | 10.00% | |
Cost Method Investments | $ 0 | 154 | |
ChinaNet Korea [Member] | |||
Cost Method Investment Ownership Percentage | 15.00% | 15.00% | |
Cost Method Investments | $ 0 | ||
Guohua Shiji [Member] | |||
Cost Method Investment Ownership Percentage | 19.00% | 19.00% | |
Cost Method Investments | $ 0 | $ 27 | 3 |
Beijing Saturday [Member] | |||
Cost Method Investment Ownership Percentage | 10.00% | 10.00% | |
Cost Method Investments | $ 0 | $ 16 | $ 17 |
Note 9 - Long-term Investment70
Note 9 - Long-term Investments - Summary of Investment in and Advance to Equity Investment Affiliates (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Investment in equity method investees | $ 753 | $ 709 | |
Advance to equity method investees | 80 | 75 | |
Impairment on equity method investments | (833) | (784) | |
Total equity method investments | |||
Investment in cost method investees | 1,125 | 1,492 | |
Impairment on cost method investments | (207) | (152) | |
Total cost method investments | 918 | 1,340 | $ 1,113 |
Total long-term investments | $ 918 | $ 1,340 |
Note 9 - Long-term Investment71
Note 9 - Long-term Investments - Movement in Cost Method Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Cost method investments, balance | $ 1,340 | $ 1,113 |
Investment during the year | 451 | |
Impairment on cost method investments | (46) | (152) |
Exchange translation adjustment | 83 | (72) |
Withdraw of cash investment | (459) | |
Cost method investments, balance | 918 | 1,340 |
ChinaNet Korea [Member] | ||
Cost method investments, balance | 0 | |
Investment during the year | 8 | |
Impairment on cost method investments | (8) | |
Exchange translation adjustment | ||
Withdraw of cash investment | ||
Cost method investments, balance | 0 | |
Beijing Saturday [Member] | ||
Cost method investments, balance | 16 | 17 |
Investment during the year | ||
Impairment on cost method investments | (17) | |
Exchange translation adjustment | 1 | (1) |
Withdraw of cash investment | ||
Cost method investments, balance | 0 | 16 |
Chuangshi Meiwei [Member] | ||
Cost method investments, balance | 0 | 154 |
Investment during the year | ||
Impairment on cost method investments | (144) | |
Exchange translation adjustment | (10) | |
Withdraw of cash investment | ||
Cost method investments, balance | 0 | |
Guohua Shiji [Member] | ||
Cost method investments, balance | 27 | 3 |
Investment during the year | 25 | |
Impairment on cost method investments | (29) | |
Exchange translation adjustment | 2 | (1) |
Withdraw of cash investment | ||
Cost method investments, balance | 0 | 27 |
ChinaNet Chuang Tou [Member] | ||
Cost method investments, balance | 1,297 | 939 |
Investment during the year | 418 | |
Impairment on cost method investments | ||
Exchange translation adjustment | 80 | (60) |
Withdraw of cash investment | (459) | |
Cost method investments, balance | $ 918 | $ 1,297 |
Note 10 - Property and Equipm72
Note 10 - Property and Equipment, Net (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Depreciation | $ 196,000 | $ 248,000 |
Note 10 - Property and Equipm73
Note 10 - Property and Equipment, Net - Property and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property and equipment, gross | $ 3,721 | $ 3,547 |
Less: accumulated depreciation | (3,258) | (2,922) |
Less: impairment loss on abandoned fixed assets | (164) | (154) |
Property and equipment, net | 299 | 471 |
Leaseholds and Leasehold Improvements [Member] | ||
Property and equipment, gross | 337 | 317 |
Vehicles [Member] | ||
Property and equipment, gross | 810 | 763 |
Office Equipment [Member] | ||
Property and equipment, gross | 1,410 | 1,371 |
Electronic Devices [Member] | ||
Property and equipment, gross | $ 1,164 | $ 1,096 |
Note 11 - Intangible Assets, 74
Note 11 - Intangible Assets, Net (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Amortization of Intangible Assets | $ 1,226,000 | $ 1,324,000 |
Impairment of Intangible Assets, Finite-lived | $ 2,550,000 | $ 0 |
Finite-Lived Intangible Asset, Useful Life | 6 years 138 days | |
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 656,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 646,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 497,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 656,000 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Three | $ 656,000 |
Note 11 - Intangible Assets, 75
Note 11 - Intangible Assets, Net - Intangible Assets, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Finite-lived intangible assets | $ 14,878 | $ 14,014 |
Less: accumulated amortization | (6,443) | (4,875) |
Less: accumulated impairment losses | (4,627) | (1,875) |
Intangible assets, net | 3,808 | 7,264 |
Customer Relationships [Member] | ||
Finite-lived intangible assets | 2,038 | 1,920 |
Noncompete Agreements [Member] | ||
Finite-lived intangible assets | 1,122 | 1,057 |
Software Technologies [Member] | ||
Finite-lived intangible assets | 314 | 295 |
Cloud-Computing Based Software Platforms [Member] | ||
Finite-lived intangible assets | 1,420 | 1,338 |
Internet Safety, Information Exchange Security and Data Encryption Software [Member] | ||
Finite-lived intangible assets | 1,990 | 1,874 |
Intelligent Marketing Data Service Platform [Member] | ||
Finite-lived intangible assets | 4,942 | 4,655 |
Computer Software, Cloud Video Management System [Member] | ||
Finite-lived intangible assets | 1,454 | 1,369 |
Other Computer Software [Member] | ||
Finite-lived intangible assets | 120 | 113 |
Domain Name [Member] | ||
Domain name | $ 1,478 | $ 1,393 |
Note 12 - Goodwill (Details Tex
Note 12 - Goodwill (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Goodwill, Impairment Loss | $ 0 | $ 0 | |
Internet Ad [Member] | |||
Goodwill, Impairment Loss | $ 0 | $ 0 | |
Disposal Group, Held-for-sale, Not Discontinued Operations [Member] | Liansuo.com [Member] | Internet Ad [Member] | |||
Disposal Group, Including Discontinued Operation, Goodwill | $ 914,000 |
Note 12 - Goodwill - Goodwill (
Note 12 - Goodwill - Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance as of December 31, 2015 | $ 4,970 | $ 4,396 |
Goodwill adjustment due to reclassify disposal group to held and used | 914 | |
Exchange translation adjustment | 307 | (340) |
Balance | $ 5,277 | $ 4,970 |
Note 13 - Short-term Bank Loan
Note 13 - Short-term Bank Loan (Details Textual) $ in Thousands, ¥ in Millions | 12 Months Ended | ||||
Dec. 31, 2017USD ($) | Dec. 31, 2017CNY (¥) | Dec. 31, 2016USD ($) | Dec. 31, 2016CNY (¥) | ||
Short-term Bank Loans and Notes Payable | [1] | $ 765 | $ 721 | ||
Short-term Debt, Weighted Average Interest Rate, at Point in Time | 5.655% | 5.655% | |||
Debt Instrument, Basis Spread on Variable Rate | 30.00% | ||||
VIEs [Member] | |||||
Short-term Bank Loans and Notes Payable | $ 765 | 721 | |||
VIEs [Member] | Loans Payable [Member] | |||||
Short-term Bank Loans and Notes Payable | 800 | ¥ 5 | 800 | ¥ 5 | |
VIEs [Member] | Loan Payable Maturing on August 15, 2018 [Member] | |||||
Short-term Bank Loans and Notes Payable | 500 | 3 | |||
VIEs [Member] | Loan Payable Maturing on July 18, 2017 [Member] | |||||
Short-term Bank Loans and Notes Payable | 500 | 3 | |||
VIEs [Member] | Loan Payable Maturing on October 18, 2017 [Member] | |||||
Short-term Bank Loans and Notes Payable | $ 300 | ¥ 2 | |||
VIEs [Member] | Loan Payable Maturing on October 22, 2018 [Member] | |||||
Short-term Bank Loans and Notes Payable | $ 300 | ¥ 2 | |||
[1] | All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company's general assets (Note 2). |
Note 14 - Accrued Payroll and79
Note 14 - Accrued Payroll and Other Accruals - Accrued Payroll and Other Accruals (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Accrued payroll and other accruals * | [1] | $ 559 | $ 685 |
Accrued Payroll and Staff Welfare [Member] | |||
Accrued payroll and other accruals * | 203 | 319 | |
Accrued Operating Expenses [Member] | |||
Accrued payroll and other accruals * | $ 356 | $ 366 | |
[1] | All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company's general assets (Note 2). |
Note 15 - Due to Investors Re80
Note 15 - Due to Investors Related to Terminated Security Purchase Agreements (Details Textual) ¥ in Millions | 1 Months Ended | 12 Months Ended | ||||
Mar. 31, 2018USD ($) | Mar. 31, 2018CNY (¥) | Feb. 28, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | May 31, 2015USD ($) | |
Number of Investors Security Purchase Agreement Terminated | 2 | |||||
Repayment for Security Purchase Agreement | $ 0 | $ 0 | ||||
Security Purchase Agreement Termination Failure to Refund Amounts Annualized Interest Rate for Unpaid Amounts | 12.00% | |||||
Subsequent Event [Member] | ||||||
Repayment for Security Purchase Agreement | $ 140,000 | |||||
Other Payables [Member] | ||||||
Common Stock Purchase Agreement, Accrued Interest | $ 110,000 | |||||
Jinrun Fangzhou [Member] | ||||||
Common Stock Purchase Agreement Guarantee Payments Initial Payment Due Within Five Days Percentage | 10.00% | |||||
Common Stock Purchase Agreement Guarantee Payment Due Within Thirty Days, Percentage | 15.00% | |||||
Common Stock Purchase Agreement Guarantee Payment | $ 819,000 | |||||
Jinrun Fangzhou [Member] | Subsequent Event [Member] | ||||||
Repayment for Security Purchase Agreement | $ 460,000 | ¥ 3 | ||||
Dongsys Innovation [Member] | ||||||
Common Stock Purchase Agreement Guarantee Payments Initial Payment Due Within Five Days Percentage | 10.00% | |||||
Common Stock Purchase Agreement Guarantee Payment | $ 119,000 |
Note 17 - Taxation (Details Tex
Note 17 - Taxation (Details Textual) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Nov. 30, 2015 | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 35.00% | ||
Federal Income Tax Expense (Benefit), Continuing Operations | $ 0 | |||
Profits Assessable | $ 0 | |||
Income Tax Withholding Rate Pursuant to EIT Law | 10.00% | |||
Operating Loss Carryforwards | $ 13,275,660 | |||
Deferred Tax Assets Increase (Decrease) | 1,859,000 | |||
Undistributed Earnings of Foreign Subsidiaries | 1,404,340 | |||
Deferred Tax Assets, Valuation Allowance | 7,178,000 | $ 6,870,000 | ||
Deferred Tax Assets, Bad Debts Provision [Member] | ||||
Deferred Tax Assets, Valuation Allowance | 308,000 | 527,000 | ||
Deferred Tax Assets Adjustment Related to New Tax Act [Member] | ||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 1,859,000 | |||
Minimum [Member] | ||||
PRC Value Added Tax Surcharge Rate | 12.00% | |||
Maximum [Member] | ||||
PRC Value Added Tax Surcharge Rate | 14.00% | |||
PRC Subsidiary And VIE's [Member] | ||||
Operating Loss Carryforwards | $ 23,959,000 | 17,939,000 | ||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 7,178,000 | $ 6,870,000 | ||
Hong Kong [Member] | ||||
Federal Income Tax Expense (Benefit), Continuing Operations | 0 | |||
Profits Assessable | 0 | |||
Other Tax Expense (Benefit) | $ 0 | |||
PRC [Member] | ||||
PRC Value Added Tax Rate for Modern Service Provided | 6.00% | 6.00% | ||
PRC [Member] | Provision of Modern Services Small Scale Tax Payer [Member] | ||||
PRC Value Added Tax Rate for Modern Service Provided Small Scale Tax Payer | 3.00% | 3.00% | ||
PRC [Member] | Other PRC Operating Entities [Member] | ||||
Applicable Income Tax Rate | 25.00% | 25.00% | ||
PRC [Member] | Business Opportunity Online [Member] | ||||
Applicable Income Tax Rate | 15.00% | 15.00% | ||
PRC [Member] | Business Opportunity Online [Member] | Minimum [Member] | ||||
Enterprise Income Tax Rate In PRC | 15.00% | |||
Tax Treaty Agreement [Member] | ||||
Income Tax Withholding Rate Pursuant to EIT Law | 5.00% | |||
Scenario, Forecast [Member] | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% |
Note 17 - Taxation - Taxes Paya
Note 17 - Taxation - Taxes Payable (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
PRC turnover tax and surcharge payable | $ 1,295 | $ 1,147 | |
PRC enterprise income tax payable | 1,873 | 1,763 | |
Taxes payable | [1] | $ 3,168 | $ 2,910 |
[1] | All of the VIEs' assets can be used to settle obligations of their primary beneficiary. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on the Company's general assets (Note 2). |
Note 17 - Taxation - Reconcilia
Note 17 - Taxation - Reconciliation of the Income Tax (Expense)/Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Pre-tax loss | $ (9,760) | $ (6,183) |
U.S. federal rate | 35.00% | 35.00% |
Income tax benefit computed at U.S. federal rate | $ 3,416 | $ 2,164 |
Rate differential for PRC earnings | (724) | (354) |
Preferential tax treatments and tax holiday effects | (238) | (158) |
Tax effect on toll charge income from the Act | (492) | |
Tax effect on enactment of new tax rate | (1,859) | |
Tax effect on change of net operating loss treatment | (924) | |
Valuation allowance on deferred tax assets | (434) | (743) |
Others | 80 | (87) |
Effective income tax expense | $ (251) | $ (102) |
Note 17 - Taxation - Income Tax
Note 17 - Taxation - Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Current-PRC | $ (1) | |
Deferred-PRC | (250) | (102) |
Effective income tax expense | $ (251) | $ (102) |
Note 17 - Taxation - Deferred T
Note 17 - Taxation - Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Net operating loss carryforward | $ 7,657 | $ 7,461 |
Bad debts provision | 879 | 931 |
Valuation allowance | (7,178) | (6,870) |
Total net deferred tax assets | $ 1,358 | $ 1,522 |
Note 19 - Restricted Net Asse86
Note 19 - Restricted Net Assets (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Amount of Restricted Net Assets for Consolidated and Unconsolidated Subsidiaries | $ 8,200 | $ 7,800 |
Withholding Tax Rate Pursuant To EIT Law | 10.00% | |
Preferential Withholding Tax Rate | 5.00% | |
Statutory Accounting Practices, Retained Earnings Not Available for Dividends | $ 2,607 | 2,607 |
PRC Subsidiary And VIE's [Member] | ||
Amount of Restricted Net Assets for Consolidated and Unconsolidated Subsidiaries | 10,600 | 17,600 |
Statutory Accounting Practices, Retained Earnings Not Available for Dividends | $ 2,700 | $ 2,500 |
WFOE [Member] | ||
Minimum Percentage Of Annual After-tax Profit For General Reserve | 10.00% | |
Minimum Required Reserve As Percent Of Registered Capital | 50.00% | |
Domestic Enterprise [Member] | ||
Minimum Percentage Of Annual After-tax Profit For General Reserve | 10.00% | |
Minimum Required Reserve As Percent Of Registered Capital | 50.00% |
Note 20 - Related Party Trans87
Note 20 - Related Party Transactions - Revenue from Related Parties (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
From related parties | $ 35 | $ 450 |
Beijing Saturday Education Technology Co., Ltd. [Member] | ||
From related parties | 6 | 240 |
Chuangshi Meiwei [Member] | ||
From related parties | 17 | 170 |
ChinaNet Chuang Tou [Member] | ||
From related parties | 13 | |
Beijing Saimeiwei Food Equipment Technology [Member] | ||
From related parties | 36 | |
Guohua Shiji [Member] | ||
From related parties | $ (1) | $ 4 |
Note 21 - Employee Defined Co88
Note 21 - Employee Defined Contribution Plan (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Contribution Plan, Cost | $ 405,000 | $ 595,000 |
Note 22 - Concentration of Ri89
Note 22 - Concentration of Risk (Details Textual) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | ||
Number of Customers | 3 | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customer 1 [Member] | ||
Concentration Risk, Percentage | 12.00% | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customer 2 [Member] | ||
Concentration Risk, Percentage | 12.00% | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customer 3 [Member] | ||
Concentration Risk, Percentage | 10.00% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Number of Customers | 4 | 2 |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer 1 [Member] | ||
Concentration Risk, Percentage | 22.00% | 22.00% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer 2 [Member] | ||
Concentration Risk, Percentage | 14.00% | 14.00% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer 3 [Member] | ||
Concentration Risk, Percentage | 14.00% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer 4 [Member] | ||
Concentration Risk, Percentage | 11.00% | |
Cost Of Sales Total [Member] | Supplier Concentration Risk [Member] | ||
Number of Suppliers | 2 | 2 |
Cost Of Sales Total [Member] | Supplier Concentration Risk [Member] | Supplier 1 [Member] | ||
Concentration Risk, Percentage | 64.00% | 39.00% |
Cost Of Sales Total [Member] | Supplier Concentration Risk [Member] | Supplier 2 [Member] | ||
Concentration Risk, Percentage | 26.00% | 39.00% |
Note 23 - Commitments and Con90
Note 23 - Commitments and Contingencies (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Leases, Rent Expense, Net | $ 409,000 | $ 580,000 |
Note 23 - Commitments and Con91
Note 23 - Commitments and Contingencies - Contractual Obligations (Details) - Office Rental [Member] $ in Thousands | Dec. 31, 2017USD ($) |
(2,018) | $ 349 |
(2,019) | 86 |
Total | $ 435 |
Note 24 - Discontinued Operat92
Note 24 - Discontinued Operation (Details Textual) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent | $ 60 |
Note 25 - Segment Reporting (De
Note 25 - Segment Reporting (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Allocated Share-based Compensation Expense | $ 2,271,000 | $ 2,309,000 |
Note 25 - Segment Reporting - S
Note 25 - Segment Reporting - Summary of Segment Reporting Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | |||
Revenues | $ 46,633 | $ 34,750 | ||
Cost of revenues | 42,020 | 26,999 | ||
Total operating expenses | 14,055 | 13,899 | ||
Impairment on intangible assets included in total operating expenses | 2,552 | |||
Impairment on long-term investments included in total operating expenses | 44 | 159 | ||
Depreciation and amortization expense included in total operating expenses | 1,422 | 1,572 | ||
Operating income/(loss) | (9,442) | (6,148) | ||
Expenditure for long-term assets | 4 | 2,117 | ||
Net income/(loss) from continuing operations | (10,011) | (6,285) | ||
Total assets | 28,560 | 30,042 | ||
Intersegment Eliminations [Member] | ||||
Revenues | ||||
Cost of revenues | ||||
Total operating expenses | ||||
Impairment on intangible assets included in total operating expenses | ||||
Impairment on long-term investments included in total operating expenses | ||||
Depreciation and amortization expense included in total operating expenses | ||||
Operating income/(loss) | ||||
Expenditure for long-term assets | ||||
Net income/(loss) from continuing operations | ||||
Total assets | (11,379) | (11,708) | ||
Internet Ad [Member] | Operating Segments [Member] | ||||
Revenues | 46,291 | 34,750 | ||
Cost of revenues | 41,747 | 26,999 | ||
Total operating expenses | 9,758 | 8,777 | ||
Impairment on intangible assets included in total operating expenses | 2,552 | |||
Impairment on long-term investments included in total operating expenses | 28 | |||
Depreciation and amortization expense included in total operating expenses | 1,333 | 1,470 | ||
Operating income/(loss) | (5,214) | (1,026) | ||
Expenditure for long-term assets | 1 | 2,003 | ||
Net income/(loss) from continuing operations | (5,752) | (1,154) | ||
Total assets | 28,524 | 29,520 | ||
TV Ad [Member] | Operating Segments [Member] | ||||
Revenues | 342 | |||
Cost of revenues | 273 | |||
Total operating expenses | 90 | 468 | ||
Impairment on intangible assets included in total operating expenses | ||||
Impairment on long-term investments included in total operating expenses | 16 | |||
Depreciation and amortization expense included in total operating expenses | 1 | 2 | ||
Operating income/(loss) | (21) | (468) | ||
Expenditure for long-term assets | 1 | |||
Net income/(loss) from continuing operations | (21) | (468) | ||
Total assets | 402 | 348 | ||
Others [Member] | Operating Segments [Member] | ||||
Revenues | ||||
Cost of revenues | ||||
Total operating expenses | 4,207 | [1] | 4,654 | [2] |
Impairment on intangible assets included in total operating expenses | ||||
Impairment on long-term investments included in total operating expenses | 159 | |||
Depreciation and amortization expense included in total operating expenses | 88 | 100 | ||
Operating income/(loss) | (4,207) | (4,654) | ||
Expenditure for long-term assets | 2 | 114 | ||
Net income/(loss) from continuing operations | (4,238) | (4,663) | ||
Total assets | $ 11,013 | $ 11,882 | ||
[1] | Including approximately US$2,271,000 share-based compensation expenses. | |||
[2] | Including approximately US$2,309,000 share-based compensation expenses. |
Note 26 - Loss Per Share (Detai
Note 26 - Loss Per Share (Details Textual) - shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Employee Stock Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 835,216 | 835,216 |
Restricted Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 266,238 | 796,657 |
Note 26 - Loss Per Share - Basi
Note 26 - Loss Per Share - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Net loss attributable to ChinaNet Online Holdings, Inc. from continuing operations (numerator for basic and diluted loss per share from continuing operations) | $ (10,125) | $ (6,433) |
Loss from and on disposal of discontinued operation, net of income tax | $ (59) | |
Weighted average number of common shares outstanding – Basic and diluted (in shares) | 12,116,783 | 11,357,907 |
Loss per share -Basic and diluted from continuing operations (in dollars per share) | $ (0.84) | $ (0.57) |
Loss per share -Basic and diluted from discontinued operation (in dollars per share) | $ (0.01) |
Note 27 - Share-based Compens97
Note 27 - Share-based Compensation Expenses (Details Textual) - USD ($) | Nov. 14, 2016 | Apr. 01, 2016 | Sep. 14, 2015 | Dec. 30, 2014 | Dec. 31, 2017 | Nov. 30, 2017 | Jul. 31, 2017 | Feb. 28, 2017 | May 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 |
Allocated Share-based Compensation Expense | $ 2,271,000 | $ 2,309,000 | |||||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 154,000 | 154,000 | 544,000 | ||||||||
Employees and Directors [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | |||||||||||
Share Price | $ 2.10 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 477,240 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 159,080 | ||||||||||
Employees and Directors [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | Vesting on September 14, 2016 [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 159,080 | ||||||||||
Employees and Directors [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | Vesting on September 14, 2017 [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 159,080 | ||||||||||
Restricted Stock [Member] | Director 1 [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 20,000 | ||||||||||
Share Price | $ 1.12 | ||||||||||
Allocated Share-based Compensation Expense | 22,000 | ||||||||||
Restricted Stock [Member] | Two Management Consulting Service Providers [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 75,000 | ||||||||||
Share Price | $ 1.09 | ||||||||||
Allocated Share-based Compensation Expense | 41,000 | ||||||||||
Management Consulting Service Term | 1 year | ||||||||||
Restricted Stock [Member] | Director 2 [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 40,000 | ||||||||||
Share Price | $ 1.12 | ||||||||||
Allocated Share-based Compensation Expense | $ 45,000 | ||||||||||
Restricted Stock [Member] | Financial Advisory Service Provider [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 12,000 | ||||||||||
Share Price | $ 1.20 | $ 1.09 | $ 1.09 | ||||||||
Allocated Share-based Compensation Expense | $ 13,000 | 14,000 | |||||||||
Stock Issued During Period, Shares, Issued for Services | 12,000 | ||||||||||
Restricted Stock [Member] | Management and Employees [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 1,590,000 | ||||||||||
Share Price | $ 1.03 | $ 1.03 | |||||||||
Allocated Share-based Compensation Expense | $ 1,638,000 | ||||||||||
Restricted Stock [Member] | Two Marketing Service Providers [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 16,000 | ||||||||||
Share Price | $ 1.73 | ||||||||||
Allocated Share-based Compensation Expense | 7,000 | 21,000 | |||||||||
Marketing Service Term | 1 year | ||||||||||
Restricted Stock [Member] | Employees and Directors [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 266,238 | ||||||||||
Share Price | $ 2.10 | ||||||||||
Allocated Share-based Compensation Expense | 177,000 | 177,000 | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award Forfeiture Rate | 5.00% | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 5 years | ||||||||||
Restricted Stock [Member] | Management Consulting Service Provider [Member] | |||||||||||
Share Price | $ 3.93 | ||||||||||
Allocated Share-based Compensation Expense | 91,000 | 276,000 | |||||||||
Management Consulting Service Term | 2 years | ||||||||||
Share-based Goods and Nonemployee Services Transaction, Quantity of Securities Issued | 140,000 | ||||||||||
Restricted Stock [Member] | Executive Officer [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 1,680,000 | ||||||||||
Share Price | $ 2.93 | ||||||||||
Allocated Share-based Compensation Expense | 1,560,000 | ||||||||||
Restricted Stock [Member] | Executive Officer [Member] | Upon Issuance [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 613,334 | ||||||||||
Restricted Stock [Member] | Executive Officer [Member] | This Year [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 533,333 | ||||||||||
Restricted Stock [Member] | Executive Officer [Member] | Next Year [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 533,333 | ||||||||||
Employee Stock Option [Member] | Employees and Directors [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | |||||||||||
Allocated Share-based Compensation Expense | $ 155,000 | $ 201,000 | |||||||||
Employee Stock Option [Member] | Employees and Directors [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | Minimum [Member] | |||||||||||
Share Price | $ 1.03 | ||||||||||
Employee Stock Option [Member] | Employees and Directors [Member] | The 2015 Omnibus Securities and Incentive Plan [Member] | Maximum [Member] | |||||||||||
Share Price | $ 1.39 | ||||||||||
Investor Relations Services Provider [Member] | Restricted Stock [Member] | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 75,000 | 20,000 | |||||||||
Share Price | $ 1.09 | $ 1.09 | $ 3 | ||||||||
Allocated Share-based Compensation Expense | $ 82,000 | $ 60,000 |
Note 27 - Share-based Compens98
Note 27 - Share-based Compensation Expenses - Options Issued and Outstanding (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Options outstanding, number of underlying shares (in shares) | 835,216 | 835,216 | |
Options outstanding, weighted average remaining contractual life (Year) | 3 years 14 days | 4 years 14 days | 5 years 14 days |
Options outstanding, weighted average exercise price (in dollars per share) | $ 2.49 | $ 2.49 | |
Option exercisable, number of underlying shares (in shares) | 676,136 | 517,056 | |
Option exercisable, weighted average remaining contractual life (Year) | 3 years 14 days | 4 years 40 days | 5 years 87 days |
Option exercisable, weighted average exercise price (in dollars per share) | $ 2.59 | $ 2.73 | |
Options outstanding, granted/vested shares (in shares) | 0 | 0 | |
Options outstanding, granted/vested, weighted average exercise price (in dollars per share) | $ 0 | $ 0 | |
Option exercisable, granted/vested shares (in shares) | 159,080 | 159,080 | |
Option exercisable, granted/vested, weighted average remaining contractual life (Year) | 2 years 255 days | 3 years 255 days | |
Option exercisable, granted/vested, weighted average exercise price (in dollars per share) | $ 2.10 | $ 2.10 | |
Options outstanding, forfeited (in shares) | 0 | 0 | |
Options outstanding, forfeited, weighted average exercise price (in dollars per share) | $ 0 | $ 0 | |
Options outstanding, exercised (in shares) | 0 | 0 | |
Options outstanding, exercised, weighted average exercise price (in dollars per share) | $ 0 | $ 0 | |
Options outstanding, number of underlying shares (in shares) | 835,216 | 835,216 | 835,216 |
Options outstanding, weighted average exercise price (in dollars per share) | $ 2.49 | $ 2.49 | $ 2.49 |
Option exercisable, number of underlying shares (in shares) | 835,216 | 676,136 | 517,056 |
Option exercisable, weighted average exercise price (in dollars per share) | $ 2.49 | $ 2.59 | $ 2.73 |
Note 28 - Subsequent Event (Det
Note 28 - Subsequent Event (Details Textual) $ / shares in Units, ¥ in Millions | Feb. 28, 2018USD ($) | Jan. 17, 2018USD ($)$ / sharesshares | Apr. 01, 2018USD ($) | Apr. 01, 2018CNY (¥) | May 31, 2018USD ($) | May 31, 2018CNY (¥) |
Scenario, Forecast [Member] | Acquisition of Chuang Fu Tian Xi [Member] | ||||||
Business Acquisition, Percentage of Voting Interests Acquired | 49.00% | 49.00% | ||||
Business Combination, Consideration Transferred | $ 2,300,000 | ¥ 15 | ||||
Business Combination, Percentage of Consideration Paid in Cash | 50.00% | 50.00% | ||||
Business Combination, Percentage of Consideration Paid in Common Stock | 50.00% | 50.00% | ||||
Subsequent Event [Member] | ||||||
Development Blockchain Technology Based Applications, Contract Amount | $ 4,500,000 | |||||
Payment for Blockchain Technology Based Applications Development Contract | $ 2.25 | |||||
Subsequent Event [Member] | Acquisition of Chuang Fu Tian Xi [Member] | ||||||
Payments to Acquire Businesses, Gross | $ 1,150,000 | ¥ 7.5 | ||||
Subsequent Event [Member] | Private Placement Warrants [Member] | ||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | shares | 645,000 | |||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 6.60 | |||||
Class of Warrant or Right, Term | 2 years 180 days | |||||
Subsequent Event [Member] | Private Placement [Member] | ||||||
Stock Issued During Period, Shares, New Issues | shares | 2,150,001 | |||||
Shares Issued, Price Per Share | $ / shares | $ 5.15 | |||||
Proceeds from Issuance of Common Stock | $ 11,100,000 |