Cover
Cover - shares | 9 Months Ended | |
Jan. 31, 2023 | Mar. 10, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jan. 31, 2023 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2023 | |
Current Fiscal Year End Date | --04-30 | |
Entity File Number | 001-33417 | |
Entity Registrant Name | OCEAN POWER TECHNOLOGIES, INC. | |
Entity Central Index Key | 0001378140 | |
Entity Tax Identification Number | 22-2535818 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 28 ENGELHARD DRIVE | |
Entity Address, Address Line Two | SUITE B | |
Entity Address, City or Town | MONROE TOWNSHIP | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 08831 | |
City Area Code | (609) | |
Local Phone Number | 730-0400 | |
Title of 12(b) Security | Common Stock $0.001 par value | |
Trading Symbol | OPTT | |
Security Exchange Name | NYSEAMER | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 56,213,728 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 10,920 | $ 7,885 |
Short term investments | 30,005 | 49,384 |
Restricted cash, short-term | 65 | 258 |
Accounts receivable | 706 | 482 |
Contract assets | 93 | 386 |
Inventory | 1,436 | 442 |
Other current assets | 1,997 | 467 |
Total current assets | 45,222 | 59,304 |
Property and equipment, net | 591 | 445 |
Intangibles, net | 4,017 | 4,136 |
Right-of-use asset, net | 522 | 752 |
Restricted cash, long-term | 154 | 219 |
Goodwill | 8,537 | 8,537 |
Total assets | 59,043 | 73,393 |
Current liabilities: | ||
Accounts payable | 591 | 905 |
Accrued expenses | 1,626 | 877 |
Contingent liabilities, current portion | 875 | 748 |
Right-of-use liability, current portion | 320 | 319 |
Contract liabilities | 1,334 | 129 |
Total current liabilities | 4,746 | 2,978 |
Deferred tax liability | 203 | 203 |
Right-of-use liability, less current portion | 282 | 538 |
Contingent liabilities, less current portion | 870 | 843 |
Total liabilities | 6,101 | 4,562 |
Commitments and contingencies (Note 15) | ||
Shareholders’ Equity: | ||
Preferred stock, $0.001 par value; authorized 5,000,000 shares, none issued or outstanding | ||
Common stock, $0.001 par value; authorized 100,000,000 shares, issued 56,254,642 shares and 55,905,213 shares, respectively; outstanding 56,213,728 shares and 55,881,861 shares, respectively | 56 | 56 |
Treasury stock, at cost; 40,914 shares and 23,352 shares, respectively | (355) | (341) |
Additional paid-in capital | 323,843 | 322,932 |
Accumulated deficit | (270,556) | (253,770) |
Accumulated other comprehensive loss | (46) | (46) |
Total shareholders’ equity | 52,942 | 68,831 |
Total liabilities and shareholders’ equity | $ 59,043 | $ 73,393 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jan. 31, 2023 | Apr. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 56,254,642 | 55,905,213 |
Common stock, shares outstanding | 56,213,728 | 55,881,861 |
Treasury stock, shares | 40,914,000 | 23,352,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Income Statement [Abstract] | ||||
Revenues | $ 734 | $ 484 | $ 1,752 | $ 1,003 |
Cost of revenues | 598 | 597 | 1,382 | 1,320 |
Gross margin (loss) | 136 | (113) | 370 | (317) |
(Gain)/loss from change in fair value of consideration | 373 | (60) | 154 | (60) |
Operating expenses | 6,820 | 5,439 | 19,546 | 15,451 |
Operating loss | (7,057) | (5,492) | (19,330) | (15,708) |
Interest income, net | 229 | 16 | 604 | 56 |
Other income, proceeds from insurance claim | 458 | 458 | ||
Other income, employee retention credit | 1,202 | |||
Gain on extinguishment of PPP loan | 890 | |||
Foreign exchange gain | 2 | 5 | 2 | |
Loss before income taxes | (6,368) | (5,471) | (17,064) | (14,762) |
Income tax benefit | 278 | 278 | 1,041 | |
Net loss | $ (6,090) | $ (5,471) | $ (16,786) | $ (13,721) |
Basic and diluted net loss per share | $ (0.11) | $ (0.10) | $ (0.30) | $ (0.26) |
Weighted average shares used to compute basic and diluted net loss per common share | 55,966,672 | 55,308,799 | 55,918,284 | 53,408,998 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Income Statement [Abstract] | ||||
Net loss | $ (6,090) | $ (5,471) | $ (16,786) | $ (13,721) |
Foreign currency translation adjustment | (1) | (14) | ||
Total comprehensive loss | $ (6,090) | $ (5,472) | $ (16,786) | $ (13,735) |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance, value at Apr. 30, 2021 | $ 52 | $ (338) | $ 315,821 | $ (234,896) | $ (171) | $ 80,468 |
Balance, shares at Apr. 30, 2021 | 52,479,051 | (21,040) | ||||
Net loss | (13,721) | (13,721) | ||||
Share-based compensation | 864 | 864 | ||||
Proceeds from stock options exercises | $ 1 | 89 | 90 | |||
Proceeds from stock options exercises, shares | 85,000 | |||||
Issuance of shares for acquisition | $ 3 | 5,852 | 5,855 | |||
Issuance of shares in acquisition, shares | 3,330,162 | |||||
Other comprehensive gain/(loss) | (14) | (14) | ||||
Balance, value at Jan. 31, 2022 | $ 56 | $ (338) | 322,626 | (248,617) | (185) | 73,542 |
Balance, shares at Jan. 31, 2022 | 55,894,213 | (21,040) | ||||
Balance, value at Oct. 31, 2021 | $ 52 | $ (338) | 316,389 | (243,191) | (139) | 72,773 |
Balance, shares at Oct. 31, 2021 | 52,499,051 | (21,040) | ||||
Net loss | (5,471) | (5,471) | ||||
Share-based compensation | 317 | 317 | ||||
Proceeds from stock options exercises | $ 1 | 68 | 69 | |||
Proceeds from stock options exercises, shares | 65,000 | |||||
Issuance of shares for acquisition | $ 3 | 5,852 | 5,855 | |||
Issuance of shares in acquisition, shares | 3,330,162 | |||||
Other comprehensive gain/(loss) | 45 | (46) | (1) | |||
Balance, value at Jan. 31, 2022 | $ 56 | $ (338) | 322,626 | (248,617) | (185) | 73,542 |
Balance, shares at Jan. 31, 2022 | 55,894,213 | (21,040) | ||||
Balance, value at Apr. 30, 2022 | $ 56 | $ (341) | 322,932 | (253,770) | (46) | 68,831 |
Balance, shares at Apr. 30, 2022 | 55,905,213 | (23,352) | ||||
Net loss | (16,786) | (16,786) | ||||
Share-based compensation | 911 | 911 | ||||
Common stock issued upon vesting of restricted stock | ||||||
Common stock issued upon vesting of restricted stock, shares | 349,429 | |||||
Acquisition of treasury stock | $ (14) | $ (14) | ||||
Acquisition of treasury stock, shares | (17,562) | |||||
Proceeds from stock options exercises, shares | ||||||
Balance, value at Jan. 31, 2023 | $ 56 | $ (355) | 323,843 | (270,556) | (46) | $ 52,942 |
Balance, shares at Jan. 31, 2023 | 56,254,642 | (40,914) | ||||
Balance, value at Oct. 31, 2022 | $ 56 | $ (341) | 323,564 | (264,466) | (46) | 58,767 |
Balance, shares at Oct. 31, 2022 | 55,921,880 | (23,352) | ||||
Net loss | (6,090) | (6,090) | ||||
Share-based compensation | 279 | 279 | ||||
Common stock issued upon vesting of restricted stock | ||||||
Common stock issued upon vesting of restricted stock, shares | 332,762 | |||||
Acquisition of treasury stock | $ (14) | (14) | ||||
Acquisition of treasury stock, shares | (17,562) | |||||
Balance, value at Jan. 31, 2023 | $ 56 | $ (355) | $ 323,843 | $ (270,556) | $ (46) | $ 52,942 |
Balance, shares at Jan. 31, 2023 | 56,254,642 | (40,914) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Cash flows from operating activities: | ||
Net loss | $ (16,786,000) | $ (13,721,000) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation of fixed assets | 157,000 | 104,000 |
Amortization of intangible assets | 119,000 | 18,000 |
Amortization of right of use asset | 230,000 | 211,000 |
Amortization of premium on short term investments | 198,000 | |
Change in contingent consideration liability | 154,000 | (60,000) |
Gain on extinguishment of PPP Loan | (890,000) | |
Share based compensation | 911,000 | 864,000 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (224,000) | 237,000 |
Contract assets | 293,000 | (217,000) |
Inventory | (995,000) | (193,000) |
Other assets | (1,530,000) | 51,000 |
Accounts payable | (314,000) | (165,000) |
Accrued expenses | 747,000 | (589,000) |
Change in lease liability | (254,000) | (228,000) |
Contract liabilities | 1,205,000 | 15,000 |
Litigation payable | (1,224,000) | |
Net cash used in operating activities | (16,089,000) | (15,787,000) |
Cash flows from investing activities: | ||
Redemptions of short term investments | 49,584,000 | |
Purchases of short term investments | (30,402,000) | |
Payments for MAR acquisition, net of cash acquired | (3,544,000) | |
Purchase of property, plant and equipment | (302,000) | (319,000) |
Net cash provided by (used in) investing activities | 18,880,000 | (3,863,000) |
Cash flows from financing activities: | ||
Acquisition of treasury stock for withholding taxes paid on vesting of restricted stock units | (14,000) | |
Proceeds from issuance of common stock | 90,000 | |
Net cash (used in) provided by financing activities | (14,000) | 90,000 |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (14,000) | |
Net increase / (decrease) in cash, cash equivalents and restricted cash | 2,777,000 | (19,574,000) |
Cash, cash equivalents and restricted cash, beginning of period | 8,362,000 | 83,634,000 |
Cash, cash equivalents and restricted cash, end of period | 11,139,000 | 64,060,000 |
Supplemental disclosure of noncash investing and financing activities: | ||
Issuance of common stock in acquisition of MAR | 5,855,000 | |
Contingent liability | 1,591,000 | |
Advance Payable - MAR | $ 456,000 |
Background, Basis of Presentati
Background, Basis of Presentation and Liquidity | 9 Months Ended |
Jan. 31, 2023 | |
Accounting Policies [Abstract] | |
Background, Basis of Presentation and Liquidity | (1) Background, Basis of Presentation and Liquidity (a) Background Ocean Power Technologies, Inc. (“OPTI”) was founded in 1984 in New Jersey, commenced business operations in 1994 and re-incorporated in Delaware in 2007. Ocean Power Technologies, Inc. acquired 3dent Technology, LLC (“3Dent”), in February 2021 and Marine Advanced Robotics, Inc. (“MAR”) in November 2021, both of which are now included as part of OPTI. OPTI, along with its subsidiaries, (the “Company”) is a complete solutions provider, controlling the design, manufacturing, sales, installation, operations and maintenance of its products and services. The Company’s solutions provide distributed offshore power and data which is persistent, reliable, autonomous, renewable, and economical along with power, transportation, and communications for remote surface and subsea applications. Historically, funding from government agencies, such as research and development grants, accounted for a significant portion of the Company’s revenues. The Company’s objective is to generate the majority of its revenues from the sale or lease of its products and solutions, and sales of services to support business operations. (b) Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and for interim financial information in accordance with the Securities and Exchange Commission (“SEC”), instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. The interim operating results are not necessarily indicative of the results for a full year or for any other interim period. Further information on potential factors that could affect the Company’s financial results can be found in the Company’s Annual Report on Form 10-K for the year ended April 30, 2022, as filed with the SEC and elsewhere in our subsequent Exchange Act filings, including this Form 10-Q. Certain items have been reclassified from prior periods to be consistent with current GAAP presentations. (c) Liquidity For the nine months ended January 31, 2023, the Company incurred net losses of approximately $ 16.8 16.1 270.6 11.0 30.0 On November 20, 2020, the Company entered into an At-the-Market Offering Agreement with AGP (the “2020 ATM Facility”) pursuant to which the Company may issue and sell, from time to time, shares of the Company’s common stock having an aggregate offering price of up to $ 100.0 50.0 25.0 million of common stock up to a total of $ 75.0 million under the 2020 ATM Facility. As of January 31, 2023, an aggregate of $ 50.0 25.0 On September 18, 2020, the Company entered into a common stock purchase agreement with Aspire Capital which provided that, subject to certain terms, conditions and limitations, Aspire Capital was committed to purchase up to an aggregate of $ 12.5 19.99% 19.99% 3,722,251 9,864,706 19.99% 3,722,251 11.8 3.17 0.7 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Jan. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | (2) Summary of Significant Accounting Policies (a) Consolidation The accompanying consolidated financial statements include the accounts of the Company and its majority-owned subsidiaries, Ocean Power Technologies Ltd. in the United Kingdom, and Ocean Power Technologies (Australasia) Pty Ltd. in Australia (“OPT-A”). OPT-A is in the process of being liquidated due to inactivity. All documents have been filed with the Australian Tax Organization and the Company expects this to be completed in the current fiscal year. All significant intercompany accounts and transactions have been eliminated in consolidation. (b) Use of Estimates The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Significant items subject to such estimates and assumptions include, among other items, stock-based compensation, valuations, purchase price allocations and contingent consideration related to business combinations, expected future cash flows including growth rates, discount rates, terminal values and other assumptions and estimates used to evaluate the recoverability of long-lived assets, goodwill and other intangible assets and the related amortization methods and periods, and estimated hours and costs to complete customer contracts for purposes of revenue recognition. Actual results could differ from those estimates. (c) Cash, Cash Equivalents, Restricted Cash and Security Agreements and Short Term Investments Cash and Cash Equivalents The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. The Company invests excess cash in a money market account or in short term investments that are held-to-maturity. The Company had cash and cash equivalents of approximately $ 10.9 7.9 Restricted Cash and Security Agreements The Company has a letter of credit agreement with Santander Bank, N.A. (“Santander”). Cash of $ 154,000 Santander also issued a letter of credit to subsidiaries of Enel Green Power (“EGP”) pursuant to the Company’s contracts with EGP. This letter of credit was originally issued in the amount of $ 645,000 323,000 258,000 65,000 The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Balance Sheets that total to the same amounts shown in the Consolidated Statements of Cash Flows. Schedule of Cash and Cash Equivalents and Restricted Cash January 31, April 30, (in thousands) Cash and cash equivalents $ 10,920 $ 7,885 Restricted cash- short term 65 258 Restricted cash- long term 154 219 Cash, cash equivalents, restricted cash and restricted cash equivalents $ 11,139 $ 8,362 Short term investments During fiscal 2022, the Company acquired investment securities through Charles Schwab Bank. As of January 31, 2023 and April 30, 2022, their carrying value was approximately $ 30.0 million and $ 49.4 million, respectively. All short term investments consist of corporate bonds, government agency bonds, or U.S. Treasury Notes and Bonds, are investment grade rated or better, and mature within 12 months. The Company has the ability and the intention to hold all investments to maturity, and as such are classified as held-to-maturity investments and carried at amortized cost. The total recognized interest expense on the premium we paid for the securities for the nine month period ended January 31, 2023 and 2022 is approximately $ 0.2 million and zero , respectively. Additionally, there has been no impairment on these investments. The following table summarizes the Company’s short term investments as of January 31, 2023: Schedule of Investments and Unrealized Gains/Losses Category Amortized Cost Unrealized Market Value Corporate Bonds $ 18,554 $ 54 $ 18,608 Government Bonds & Notes 8,079 $ (22 ) 8,057 Government Agency 3,372 $ 419 3,791 Total Short term investments $ 30,005 $ 451 $ 30,456 (d) Concentration of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of trade accounts receivable, short term investments and cash equivalents. The Company believes that its credit risk is limited because the Company’s current contracts are with entities with a reliable payment history. The Company invests its excess cash in a money market fund and short term held-to maturity investments and does not believe that it is exposed to any significant risks related to its cash accounts, money market fund, or held-to maturity investments. Cash is also maintained at foreign financial institutions. Cash in foreign financial institutions as of January 31, 2023 was approximately $ 14,000 For the nine months ended January 31, 2023 and 2022, the Company had two and four customers whose revenues accounted for at least 10% of the Company’s consolidated revenues, respectively. These revenues accounted for approximately 28% 58% 63% 71% (e) Share-Based Compensation Costs resulting from all share-based payment transactions are recognized in the consolidated financial statements at their fair values. The aggregate share-based compensation expense recorded in the Consolidated Statements of Operations for the nine months ended January 31, 2023 and 2022 was approximately $ 0.9 0.9 0.3 (f) Revenue Recognition The Company accounts for revenues in accordance with Accounting Standards Codification 606 (ASC 606) for contracts with customers and Accounting Standards Codification 842 (ASC 842) for leasing arrangements. In relation to ASC 606, which states that a performance obligation is the unit of account for revenue recognition, the Company assesses the goods or services promised in a contract with a customer and identifies as a performance obligation as either: a) a good or service (or a bundle of goods or services) that is distinct; or b) a series of distinct goods or services that are substantially the same and that have the same pattern of transfer to the customer. A contract may contain a single performance obligation or multiple performance obligations. For contracts with multiple performance obligations, the Company allocates the contracted transaction price to each performance obligation based upon the relative standalone selling price, which represents the price the Company would sell a promised good or service separately to a customer. The Company determines the standalone selling price based upon the facts and circumstances of each obligated good or service. When no observable standalone selling price is available, the standalone selling price is generally estimated based upon the Company’s forecast of the total cost to satisfy the performance obligation plus an appropriate profit margin. The nature of the Company’s contracts may give rise to several types of variable consideration, including unpriced change orders, liquidated damages and penalties. Variable consideration can also arise from modifications to the scope of services. Variable consideration is included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur once the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include such amounts in the transaction price are based largely on our assessment of legal enforceability, performance, and any other information (historical, current, and forecasted) that is reasonably available to us. There was no variable consideration as of January 31, 2023 or 2022. The Company presents shipping and handling costs, that occur after control of the promised goods or services transfer to the customer, as fulfillment costs in costs of goods sold and regular shipping and handling activities charged to operating expenses. The Company recognizes revenue when or as it satisfies a performance obligation by transferring a good or service to a customer, either (1) at a point in time or (2) over time. A good or service is transferred when or as the customer obtains control. The evaluation of whether control of each performance obligation is transferred at a point in time or over time is made at contract inception. Input measures such as costs incurred are utilized to assess progress against specific contractual performance obligations for the Company’s services. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the services to be provided. For the Company, the input method using costs incurred or labor hours best represents the measure of progress against the performance obligations incorporated within the contractual agreements. If estimated total costs on any contract project a loss, the Company charges the entire estimated loss to operations in the period the loss becomes known. The cumulative effect of revisions to revenue, estimated costs to complete contracts, including penalties, change orders, claims, anticipated losses, and others are recorded in the accounting period in which the events indicating a loss are known and the loss can be reasonably estimated. These loss projects are re-assessed for each subsequent reporting period until the project is complete. Such revisions could occur at any time and the effects may be material. The Company’s contracts are either cost-plus contracts, fixed-price contracts, time and material agreements, lease or service agreements. Under cost plus contracts, customers are billed for actual expenses incurred plus an agreed-upon fee. The Company has two types of fixed-price contracts, firm fixed-price and cost-sharing. Under firm fixed-price contracts, the Company receives an agreed-upon amount for providing products and services specified in the contract, and a profit or loss is recognized depending on whether actual costs are more or less than the agreed upon amount. Under cost-sharing contracts, the fixed amount agreed upon with the customer is only intended to fund a portion of the costs on a specific project. Under cost sharing contracts, an amount corresponding to the revenue is recorded in cost of revenues, resulting in gross profit on these contracts of zero. The Company’s share of the costs is recorded as product development expense. The Company reports its disaggregation of revenues by contract type since this method best represents the Company’s business. For the nine-month periods ended January 31, 2023 and 2022, all of the Company’s contracts were classified as firm fixed-price. The Company at times enters into agreements with government agencies through Small Business Innovation Research (“SBIR”) contract agreements. These are typically fixed-priced agreements where the Company retains ownership of the data and grants the government a license with unlimited rights to use, disclose, reproduce, prepare derivative works and publicly distribute the data. Time and materials agreements are billed based solely on the cost of time spent working on the contract and the material used. As of January 31, 2023, the Company’s total remaining performance obligations, also referred to as backlog, totaled $ 2.5 85% 2.1 The Company also enters into lease arrangements for its PowerBuoys and Wave Adaptive Modular Vessels (“WAM-V®”) with certain customers. Revenue related to multiple-element arrangements is allocated to lease and non-lease elements based on their relative standalone selling prices or expected cost plus a margin approach. Lease elements generally include a PowerBuoy, WAM-V®, and components, while non-lease elements, which the Company expects to become more prevalent, generally include engineering, monitoring and support services. In the lease arrangement, the customer may be provided an option to extend the lease term or purchase the leased buoy or WAM-V® at some point during and/or at the end of the lease term. At inception of a contract, the Company classifies leases as either operating or financing in accordance with the authoritative accounting guidance contained within ASC Topic 842, “Leases”. If the direct financing or sales-type classification criteria are met, then the lease is accounted for as a finance lease. All others are treated as operating leases. The Company recognizes revenue from operating lease arrangements generally on a straight-line basis over the lease term, or as agreed upon in-use days are utilized, which is presented in Revenues in the Consolidated Statement of Operations. The below table represents the total revenue recognized under ASC 606 and ASC 842 for the three and nine months ended January 31, 2023 and 2022. Schedule of Revenue Recognizes From Operating Lease Arrangements Three months ended January 31, 2023 Three months ended January 31, 2022 ASC 606 ASC 842 Total ASC 606 ASC 842 Total (in thousands) (in thousands) Revenue $ 559 $ 175 $ 734 $ 484 $ — $ 484 Nine months ended January 31, 2023 Nine months ended January 31, 2022 ASC 606 ASC 842 Total ASC 606 ASC 842 Total (in thousands) (in thousands) Revenue $ 1,562 $ 190 $ 1,752 $ 1,003 $ — $ 1,003 (g) Other Income – Employee Retention Credit The Coronavirus Aid, Relief and Economic Security (“CARES”) Act provided an employee retention credit (“ERC”), which was a refundable tax credit against certain employment taxes of up to $ 5,000 per employee for eligible employers. The tax credit was equal to 50% of qualified wages paid to employees during a quarter, capped at $ 10,000 of qualified wages per employee through December 31, 2020. Additional relief provisions were passed by the United States government, which extend and slightly expand the qualified wage caps on these credits through December 31, 2021. Based on these additional provisions, the tax credit is now equal to 70% of qualified wages paid to employees during a quarter, and the limit on qualified wages per employee has been increased to $ 10,000 of qualified wages per quarter. During the three-month period ended October 31, 2022, the Company determined that it qualified for the tax credit under “CARES” and submitted claims of approximately $ 612,000 590,000 1,202,000 In November 2022 the Company received approximately $ 205,000 (h) Net Loss per Common Share Basic and diluted net loss per common share for all periods presented is computed by dividing net loss by the weighted average number of shares of common stock and common stock equivalents outstanding during the period. Due to the Company’s net losses, potentially dilutive securities, consisting of options to purchase shares of common stock, potential exercises of warrants on common stock and unvested restricted stock issued to employees and non-employee directors, were excluded from the diluted loss per share calculation due to their anti-dilutive effect. In computing diluted net loss per common share on the Consolidated Statement of Operations, potential exercises of warrants on common stock, options to purchase shares of common stock and non-vested restricted stock issued to employees and non-employee directors, totaling 8,010,373 6,356,123 (i) Recently Issued Accounting Standards In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-13, “ Financial Instruments Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments.” Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) |
Account Receivable, Contract As
Account Receivable, Contract Assets and Contract Liabilities | 9 Months Ended |
Jan. 31, 2023 | |
Account Receivable Contract Assets And Contract Liabilities | |
Account Receivable, Contract Assets and Contract Liabilities | (3) Account Receivable, Contract Assets and Contract Liabilities The following provides further details on the balance sheet accounts of accounts receivable, contract assets and contract liabilities from contracts with customers: Schedule of Accounts Receivable, Contract Assets and Contract Liabilities January 31, April 30, (in thousands) Accounts receivable $ 706 $ 482 Contract assets 93 386 Contract liabilities 1,334 129 Accounts Receivable The Company grants credit to its customers, generally without collateral, under normal payment terms (typically 30 to 60 days after invoicing). Generally, invoicing occurs after the related services are performed or control of goods have transferred to the customer. Accounts receivable represent an unconditional right to consideration arising from the Company’s performance under contracts with customers. The carrying value of such receivables represents their estimated realizable value. Contract Assets Contract assets include unbilled amounts typically resulting from arrangements whereby the right to payment is conditional on completing additional tasks or services for a performance obligation. The decrease in contract assets is primarily a result of services performed relating to MAR projects for which revenue was recognized in prior periods but was billed during the nine months ended January 31, 2023. Significant changes in the contract assets balances during the period were as follows: Schedule of Significant Changes in Contract assets and Contract Liabilities Nine months ended (in thousands) Transferred to receivables from contract assets recognized at the beginning of the period $ (1,646 ) Revenue recognized and not billed as of the end of the period 1,353 Net change in contract assets $ (293 ) Contract Liabilities Contract liabilities consist of amounts invoiced to customers in excess of revenue recognized. The increase in contract liabilities is primarily due to payments received for the following; $ 1.0 0.4 Significant changes in the contract liabilities balances during the period are as follows: Nine months ended (in thousands) Revenue recognized that was included in the contract liabilities balance as of the beginning of the period $ (447 ) Payments collected for which revenue has not been recognized 1,652 Net change in contract liabilities $ 1,205 |
Inventory
Inventory | 9 Months Ended |
Jan. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventory | (4) Inventory The Company holds inventory related to the production of its WAM-V® and PowerBuoy® products. Schedule of Inventory January 31, April 30, (in thousands) Raw Materials $ 1,191 $ 198 Work in Process 245 244 Inventory, net $ 1,436 $ 442 |
Other Current Assets
Other Current Assets | 9 Months Ended |
Jan. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Current Assets | (5) Other Current Assets Other current assets consisted of the following at January 31, 2023 and April 30, 2022: Schedule of Other Current Assets January 31, April 30, (in thousands) Prepaid insurance $ 424 $ 182 Prepaid software & licenses 135 127 Prepaid project costs 26 — Prepaid sales & marketing 161 50 Employee retention credit receivable 997 — Interest receivable 119 — Other receivables 72 24 Prepaid expenses- other 63 84 Total other current assets $ 1,997 $ 467 |
Property and Equipment, net
Property and Equipment, net | 9 Months Ended |
Jan. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, net | (6) Property and Equipment, net The components of property and equipment, net as of January 31, 2023 and April 30, 2022 consisted of the following: Schedule of Components of Property and Equipment January 31, April 30, (in thousands) Equipment $ 869 $ 615 Computer equipment & software 623 571 Office furniture & equipment 59 352 Leasehold improvements 538 477 Construction in process 15 15 Property and equipment, gross 2,104 2,030 Less: accumulated depreciation (1,513 ) (1,585 ) Property and equipment, net $ 591 $ 445 Depreciation expense was approximately $ 157,000 and $ 104,000 for the nine-month periods ended January 31, 2023 and 229,000 of fully depreciated fixed assets that were no longer in use that were written off. During the nine months ended January 31, 2023, the Company purchased approximately $ 302,000 of new equipment. |
Intangible Assets
Intangible Assets | 9 Months Ended |
Jan. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | (7) Intangible Assets The components of intangible assets, net as of January 31, 2023 and April 30, 2022 consisted of the following: Schedule of Components of Intangible Assets January 31, April 30, (in thousands) Patents $ 2,729 $ 2,729 Trademarks 2,769 2,769 Tradename 130 130 Customer Relationships 150 150 Intangible assets, gross $ 5,778 $ 5,778 Accumulated amortization (1,761 ) (1,642 ) Intangible assets, net $ 4,017 $ 4,136 Amortization expense was approximately $ 119,000 18,000 40,000 6,000 |
Goodwill
Goodwill | 9 Months Ended |
Jan. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | (8) Goodwill Goodwill in the amount of $ 8.5 no |
Leases
Leases | 9 Months Ended |
Jan. 31, 2023 | |
Leases [Abstract] | |
Leases | (9) Leases Lessee Information Right-of-use asset and operating lease liabilities are recognized based on the present value of future minimum lease payments over the lease term at commencement date. When the implicit rate of the lease is not provided or cannot be determined, the Company uses the incremental borrowing rate based on the information available at the effective date to determine the present value of future payments. Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise those options. The renewal options have not been included in the lease term as they are not reasonably certain of exercise. The Company’s operating leases consist of leases for office facilities and warehouse space. Lease expense for minimum lease payments is recognized on a straight- line basis over the lease term and consists of interest on the lease liability and the amortization of the right of use asset. The Company has a lease for its facility located in Monroe Township, New Jersey that is used as warehouse/production space and the Company’s principal offices and corporate headquarters. The lease includes an initial lease term of seven years The Company also signed a new lease located in Houston, Texas for office space for our local employees. The lease term is for 1 expire in January of 2024 The Company also has a lease with the University of California Berkeley in Richmond, California that was assumed as part of the MAR acquisition. The lease is currently a month-to-month lease in accordance with the lease agreement. In accordance with ASC 842, since the remaining lease term at the time of the acquisition of MAR was less than 12 months, the lease was not recognized as a right-of-use asset. Subsequent to January 31, 2023 (see Note 18) the Company entered into a new lease for facility located in Oakland, California with a commencement date to be determined upon completion of work to be performed by the landlord. The term of the lease is for 62 the Company to terminate the lease after 39 months 25,000 The operating lease cash flow payments for the three months ended January 31, 2023 and 2022 were $ 110,000 111,000 326,000 315,000 The components of lease expense in the Consolidated Statement of Operations for the three and nine months ended January 31, 2023 and 2022 were as follows: Schedule of Operating Lease Costs Three months ended Nine months ended 2023 2022 2023 2022 (in thousands) (in thousands) Operating lease cost $ 92 $ 92 $ 276 $ 276 Short-term lease cost 8 12 24 22 Total lease cost $ 100 $ 104 $ 300 $ 298 Information related to the Company’s right-of use assets and lease liabilities as of January 31, 2023 was as follows: Schedule of Right-of use Assets and Lease Liabilities January 31, (in thousands) Operating lease: Operating right-of-use asset, net $ 522 Right-of-use liability- current $ 320 Right-of-use liability- long term 282 Total lease liability $ 602 Weighted average remaining lease term- operating leases 1.69 Weighted average discount rate- operating leases 8.5 % Total remaining lease payments under the Company’s operating leases are as follows: Schedule of Future Minimum Lease payments Under Operating Lease January 31, (in thousands) Remainder of fiscal year 2023 $ 106 2024 398 2025 184 Total future minimum lease payments $ 688 Less imputed interest (86 ) Total $ 602 |
Accrued Expenses
Accrued Expenses | 9 Months Ended |
Jan. 31, 2023 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | (10) Accrued Expenses Accrued expenses consisted of the following at January 31, 2023 and April 30, 2022: Schedule of Accrued Expenses January 31, April 30, (in thousands) Project costs $ 363 $ 59 Contract loss reserve - 328 Employee incentive payments 1,037 266 Accrued salary and benefits 50 60 Professional fees 55 30 Other 121 134 Accrued expenses total $ 1,626 $ 877 |
Warrants
Warrants | 9 Months Ended |
Jan. 31, 2023 | |
Warrants | |
Warrants | (11) Warrants Equity Classified Warrants On April 8, 2019, the Company issued and sold 1,542,000 3,385,680 0.01 The underwritten public offering also included the issuance of common stock warrants to purchase up to 4,927,680 3.85 five years 732,500 The pre-funded and common warrants issued in the Company’s April 8, 2019 public offering did not meet the criteria to be classified as a liability award and therefore were treated as an equity award and recorded as a component of shareholders’ equity in the Consolidated Balance Sheets. |
Paycheck Protection Program Loa
Paycheck Protection Program Loan | 9 Months Ended |
Jan. 31, 2023 | |
Debt Disclosure [Abstract] | |
Paycheck Protection Program Loan | (12) Paycheck Protection Program Loan On March 27, 2020, the U.S. Government passed into law the CARES Act. On May 3, 2020, the Company signed a Paycheck Protection Program (“PPP”) loan with Santander as the lender for $ 890,000 The Company filed its loan forgiveness application at the end of February 2021 asking for 100 890,000 |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Jan. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation | (13) Share-Based Compensation In 2015, upon approval by the Company’s shareholders, the Company’s 2015 Omnibus Incentive Plan (the “2015 Plan”) became effective. A total of 1,332,036 At subsequent shareholder meetings, including most recently in January 2023, the shareholders approved an aggregate increase to the 2015 Plan of 3,050,000 4,382,036 38,000 On January 18, 2018, the Company’s Board of Directors adopted the Company’s Employment Inducement Incentive Award Plan (the “2018 Inducement Plan”) pursuant to which the Company reserved 25,000 250,000 275,000 161,000 Stock Options The Company estimates the fair value of each stock option award granted with service-based vesting requirements, using the Black-Scholes option pricing model, assuming no dividends, and using weighted average valuation assumptions. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant commensurate with the expected life of the award. The expected life (estimated period of time outstanding) of the stock options granted was estimated using the “simplified” method as permitted by the SEC’s Staff Accounting Bulletin No. 110, Share-Based Payment. The Company granted options to acquire 601,089 793,850 376,000. Schedule of Valuations Assumptions Nine months ended 2023 2022 Risk-free interest rate 3.5 % 1.5 % Expected dividend yield 0 % 0 % Expected life (in years) 5.5 5.6 Expected volatility 109.0 % 121.9 % A summary of stock options under our Stock Incentive Plans is detailed in the following table. Schedule of Stock Option Activity Shares Underlying Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (In Years) Outstanding as of April 30, 2022 1,110,356 $ 2.34 9.2 Granted 601,089 $ 0.68 Exercised — $ — Cancelled/forfeited (135,903 ) $ 1.88 Outstanding as of January 31, 2023 1,575,542 $ 1.75 9.0 Exercisable as of January 31, 2023 540,546 $ 3.19 7.9 As of January 31, 2023, the total intrinsic value of outstanding and exercisable options was approximately zero 1,035,000 $10,000 9.5 230,000 183,000 62,000 68,000 0.8 2.4 Performance Stock Options A summary of performance stock options under our Stock Incentive Plans is detailed in the following table. Schedule of Stock Option Activity Shares Underlying Options Weighted Average Exercise Price Weighted Remaining Contractual Term (In Years) Outstanding as of April 30, 2022 210,122 $ 2.20 8.8 Granted — $ — Exercised — $ — Cancelled/forfeited (8,466 ) $ 2.93 Outstanding as of January 31, 2023 201,656 $ 2.17 8.1 Exercisable as of January 31, 2023 — $ — As of January 31, 2023, approximately 202,000 zero 8.1 132,000 123,000 31,000 62,000 22,000 0.4 Restricted Stock Units Compensation expense for non-vested restricted stock units is generally recorded based on its market value on the date of grant and recognized ratably over the associated service and performance period. During the nine months ended January 31, 2023 and 2022, the Company granted 1,608,681 777,764 A summary of non-vested restricted stock units under our Stock Incentive Plans is as follows: Schedule of Non-vested Restricted Stock Activity Number of Shares Weighted Average Price Unvested at April 30, 2022 827,764 $ 1.41 Granted 1,608,681 $ 0.77 Vested and issued (349,429 ) $ 1.40 Cancelled/forfeited (49,021 ) Unvested at January 31, 2023 2,037,995 $ 0.91 There was approximately $ 549,000 43,000 185,000 14,000 1,576,000 1.6 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Jan. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | (14) Fair Value Measurements ASC Topic 820, “ Fair Value Measurements” Level Unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 Inputs other than quoted prices in active markets that are observable for the asset or liability, either directly or indirectly. Level 3 Inputs that are unobservable for the asset or liability. Disclosure of Fair Values The Company’s financial instruments that are not re-measured at fair value include cash, cash equivalents, restricted cash, accounts receivable, contract assets and liabilities, deposits, accounts payable, and accrued expenses. The Company’s contingent consideration liability represents the only asset or liability classified financial instrument that is measured at fair value on a recurring basis. The total carrying value of our short term investments approximates fair value due to the short term nature of these investments. As of January 31, 2023 and April 30, 2022, the carrying values were $ 30.0 49.4 Additionally, there is a Level 3 contingent liability related to earnouts as part of the MAR acquisition in the amount of $ 1.7 0.1 1.6 Transfers into or out of any hierarchy level are recognized at the end of the reporting period in which the transfers occurred. There were no transfers between any hierarchy levels during each of the three and nine months ended January 31, 2023 and 2022. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Jan. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (15) Commitments and Contingencies Spain Income Tax Audit The Company underwent an income tax audit in Spain for the period from 2011 to 2014, when its Spanish branch was closed. On July 30, 2018, the Spanish tax inspector concluded that although there was no tax owed in light of losses reported, the Company’s Spanish branch owed penalties for failure to properly account for the income associated with the funding grant. During the year ended April 30, 2022, the Company received notice from the Spanish Central Economic and Administrative Tribunal (“Spanish Tax Administration”) that it agreed with the inspector and ruled that the Company owes the full amount of the penalty in the amount of € 279,870 331,000 279,870 |
Income Taxes
Income Taxes | 9 Months Ended |
Jan. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (16) Income Taxes Uncertain Tax Positions We account for income taxes in accordance with ASC 740 . The guidance requires the Company to recognize in its consolidated financial statements the impact of a tax position if that position is more likely than not to be sustained upon examination, based on the technical merits of the position. The Company has appealed the results of the income tax audit in Spain for the period from 2011 to 2014, when the Company’s Spanish branch was closed (see Note 15). At January 31, 2023, the Company had no uncertain tax positions. The Company does not expect any material increase or decrease in its income tax expense or benefit in the next twelve months, related to examinations or uncertain tax positions. Net operating loss and credit carry forwards since inception remain open to examination by taxing authorities and will continue to remain open for a period of time after utilization. Income Tax Benefit The Company has sold New Jersey State net operating losses and research development credits under the New Jersey Economic Development Authority Tax Transfer program which has resulted in $ 278,000 1.0 million of |
Operating Segments and Geograph
Operating Segments and Geographic Information | 9 Months Ended |
Jan. 31, 2023 | |
Segment Reporting [Abstract] | |
Operating Segments and Geographic Information | (17) Operating Segments and Geographic Information The Company’s business consists of one |
Subsequent Events
Subsequent Events | 9 Months Ended |
Jan. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | (18) Subsequent Events The Company entered into a new lease for facility located in Oakland, California with a commencement date to be determined upon completion of work to be performed by the landlord. The term of the lease is for 62 the Company to terminate the lease after 39 months 25,000 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Jan. 31, 2023 | |
Accounting Policies [Abstract] | |
Consolidation | (a) Consolidation The accompanying consolidated financial statements include the accounts of the Company and its majority-owned subsidiaries, Ocean Power Technologies Ltd. in the United Kingdom, and Ocean Power Technologies (Australasia) Pty Ltd. in Australia (“OPT-A”). OPT-A is in the process of being liquidated due to inactivity. All documents have been filed with the Australian Tax Organization and the Company expects this to be completed in the current fiscal year. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates | (b) Use of Estimates The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Significant items subject to such estimates and assumptions include, among other items, stock-based compensation, valuations, purchase price allocations and contingent consideration related to business combinations, expected future cash flows including growth rates, discount rates, terminal values and other assumptions and estimates used to evaluate the recoverability of long-lived assets, goodwill and other intangible assets and the related amortization methods and periods, and estimated hours and costs to complete customer contracts for purposes of revenue recognition. Actual results could differ from those estimates. |
Cash, Cash Equivalents, Restricted Cash and Security Agreements and Short Term Investments | (c) Cash, Cash Equivalents, Restricted Cash and Security Agreements and Short Term Investments Cash and Cash Equivalents The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. The Company invests excess cash in a money market account or in short term investments that are held-to-maturity. The Company had cash and cash equivalents of approximately $ 10.9 7.9 Restricted Cash and Security Agreements The Company has a letter of credit agreement with Santander Bank, N.A. (“Santander”). Cash of $ 154,000 Santander also issued a letter of credit to subsidiaries of Enel Green Power (“EGP”) pursuant to the Company’s contracts with EGP. This letter of credit was originally issued in the amount of $ 645,000 323,000 258,000 65,000 The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Balance Sheets that total to the same amounts shown in the Consolidated Statements of Cash Flows. Schedule of Cash and Cash Equivalents and Restricted Cash January 31, April 30, (in thousands) Cash and cash equivalents $ 10,920 $ 7,885 Restricted cash- short term 65 258 Restricted cash- long term 154 219 Cash, cash equivalents, restricted cash and restricted cash equivalents $ 11,139 $ 8,362 Short term investments During fiscal 2022, the Company acquired investment securities through Charles Schwab Bank. As of January 31, 2023 and April 30, 2022, their carrying value was approximately $ 30.0 million and $ 49.4 million, respectively. All short term investments consist of corporate bonds, government agency bonds, or U.S. Treasury Notes and Bonds, are investment grade rated or better, and mature within 12 months. The Company has the ability and the intention to hold all investments to maturity, and as such are classified as held-to-maturity investments and carried at amortized cost. The total recognized interest expense on the premium we paid for the securities for the nine month period ended January 31, 2023 and 2022 is approximately $ 0.2 million and zero , respectively. Additionally, there has been no impairment on these investments. The following table summarizes the Company’s short term investments as of January 31, 2023: Schedule of Investments and Unrealized Gains/Losses Category Amortized Cost Unrealized Market Value Corporate Bonds $ 18,554 $ 54 $ 18,608 Government Bonds & Notes 8,079 $ (22 ) 8,057 Government Agency 3,372 $ 419 3,791 Total Short term investments $ 30,005 $ 451 $ 30,456 |
Concentration of Credit Risk | (d) Concentration of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of trade accounts receivable, short term investments and cash equivalents. The Company believes that its credit risk is limited because the Company’s current contracts are with entities with a reliable payment history. The Company invests its excess cash in a money market fund and short term held-to maturity investments and does not believe that it is exposed to any significant risks related to its cash accounts, money market fund, or held-to maturity investments. Cash is also maintained at foreign financial institutions. Cash in foreign financial institutions as of January 31, 2023 was approximately $ 14,000 For the nine months ended January 31, 2023 and 2022, the Company had two and four customers whose revenues accounted for at least 10% of the Company’s consolidated revenues, respectively. These revenues accounted for approximately 28% 58% 63% 71% |
Share-Based Compensation | (e) Share-Based Compensation Costs resulting from all share-based payment transactions are recognized in the consolidated financial statements at their fair values. The aggregate share-based compensation expense recorded in the Consolidated Statements of Operations for the nine months ended January 31, 2023 and 2022 was approximately $ 0.9 0.9 0.3 |
Revenue Recognition | (f) Revenue Recognition The Company accounts for revenues in accordance with Accounting Standards Codification 606 (ASC 606) for contracts with customers and Accounting Standards Codification 842 (ASC 842) for leasing arrangements. In relation to ASC 606, which states that a performance obligation is the unit of account for revenue recognition, the Company assesses the goods or services promised in a contract with a customer and identifies as a performance obligation as either: a) a good or service (or a bundle of goods or services) that is distinct; or b) a series of distinct goods or services that are substantially the same and that have the same pattern of transfer to the customer. A contract may contain a single performance obligation or multiple performance obligations. For contracts with multiple performance obligations, the Company allocates the contracted transaction price to each performance obligation based upon the relative standalone selling price, which represents the price the Company would sell a promised good or service separately to a customer. The Company determines the standalone selling price based upon the facts and circumstances of each obligated good or service. When no observable standalone selling price is available, the standalone selling price is generally estimated based upon the Company’s forecast of the total cost to satisfy the performance obligation plus an appropriate profit margin. The nature of the Company’s contracts may give rise to several types of variable consideration, including unpriced change orders, liquidated damages and penalties. Variable consideration can also arise from modifications to the scope of services. Variable consideration is included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur once the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include such amounts in the transaction price are based largely on our assessment of legal enforceability, performance, and any other information (historical, current, and forecasted) that is reasonably available to us. There was no variable consideration as of January 31, 2023 or 2022. The Company presents shipping and handling costs, that occur after control of the promised goods or services transfer to the customer, as fulfillment costs in costs of goods sold and regular shipping and handling activities charged to operating expenses. The Company recognizes revenue when or as it satisfies a performance obligation by transferring a good or service to a customer, either (1) at a point in time or (2) over time. A good or service is transferred when or as the customer obtains control. The evaluation of whether control of each performance obligation is transferred at a point in time or over time is made at contract inception. Input measures such as costs incurred are utilized to assess progress against specific contractual performance obligations for the Company’s services. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the services to be provided. For the Company, the input method using costs incurred or labor hours best represents the measure of progress against the performance obligations incorporated within the contractual agreements. If estimated total costs on any contract project a loss, the Company charges the entire estimated loss to operations in the period the loss becomes known. The cumulative effect of revisions to revenue, estimated costs to complete contracts, including penalties, change orders, claims, anticipated losses, and others are recorded in the accounting period in which the events indicating a loss are known and the loss can be reasonably estimated. These loss projects are re-assessed for each subsequent reporting period until the project is complete. Such revisions could occur at any time and the effects may be material. The Company’s contracts are either cost-plus contracts, fixed-price contracts, time and material agreements, lease or service agreements. Under cost plus contracts, customers are billed for actual expenses incurred plus an agreed-upon fee. The Company has two types of fixed-price contracts, firm fixed-price and cost-sharing. Under firm fixed-price contracts, the Company receives an agreed-upon amount for providing products and services specified in the contract, and a profit or loss is recognized depending on whether actual costs are more or less than the agreed upon amount. Under cost-sharing contracts, the fixed amount agreed upon with the customer is only intended to fund a portion of the costs on a specific project. Under cost sharing contracts, an amount corresponding to the revenue is recorded in cost of revenues, resulting in gross profit on these contracts of zero. The Company’s share of the costs is recorded as product development expense. The Company reports its disaggregation of revenues by contract type since this method best represents the Company’s business. For the nine-month periods ended January 31, 2023 and 2022, all of the Company’s contracts were classified as firm fixed-price. The Company at times enters into agreements with government agencies through Small Business Innovation Research (“SBIR”) contract agreements. These are typically fixed-priced agreements where the Company retains ownership of the data and grants the government a license with unlimited rights to use, disclose, reproduce, prepare derivative works and publicly distribute the data. Time and materials agreements are billed based solely on the cost of time spent working on the contract and the material used. As of January 31, 2023, the Company’s total remaining performance obligations, also referred to as backlog, totaled $ 2.5 85% 2.1 The Company also enters into lease arrangements for its PowerBuoys and Wave Adaptive Modular Vessels (“WAM-V®”) with certain customers. Revenue related to multiple-element arrangements is allocated to lease and non-lease elements based on their relative standalone selling prices or expected cost plus a margin approach. Lease elements generally include a PowerBuoy, WAM-V®, and components, while non-lease elements, which the Company expects to become more prevalent, generally include engineering, monitoring and support services. In the lease arrangement, the customer may be provided an option to extend the lease term or purchase the leased buoy or WAM-V® at some point during and/or at the end of the lease term. At inception of a contract, the Company classifies leases as either operating or financing in accordance with the authoritative accounting guidance contained within ASC Topic 842, “Leases”. If the direct financing or sales-type classification criteria are met, then the lease is accounted for as a finance lease. All others are treated as operating leases. The Company recognizes revenue from operating lease arrangements generally on a straight-line basis over the lease term, or as agreed upon in-use days are utilized, which is presented in Revenues in the Consolidated Statement of Operations. The below table represents the total revenue recognized under ASC 606 and ASC 842 for the three and nine months ended January 31, 2023 and 2022. Schedule of Revenue Recognizes From Operating Lease Arrangements Three months ended January 31, 2023 Three months ended January 31, 2022 ASC 606 ASC 842 Total ASC 606 ASC 842 Total (in thousands) (in thousands) Revenue $ 559 $ 175 $ 734 $ 484 $ — $ 484 Nine months ended January 31, 2023 Nine months ended January 31, 2022 ASC 606 ASC 842 Total ASC 606 ASC 842 Total (in thousands) (in thousands) Revenue $ 1,562 $ 190 $ 1,752 $ 1,003 $ — $ 1,003 |
Other Income – Employee Retention Credit | (g) Other Income – Employee Retention Credit The Coronavirus Aid, Relief and Economic Security (“CARES”) Act provided an employee retention credit (“ERC”), which was a refundable tax credit against certain employment taxes of up to $ 5,000 per employee for eligible employers. The tax credit was equal to 50% of qualified wages paid to employees during a quarter, capped at $ 10,000 of qualified wages per employee through December 31, 2020. Additional relief provisions were passed by the United States government, which extend and slightly expand the qualified wage caps on these credits through December 31, 2021. Based on these additional provisions, the tax credit is now equal to 70% of qualified wages paid to employees during a quarter, and the limit on qualified wages per employee has been increased to $ 10,000 of qualified wages per quarter. During the three-month period ended October 31, 2022, the Company determined that it qualified for the tax credit under “CARES” and submitted claims of approximately $ 612,000 590,000 1,202,000 In November 2022 the Company received approximately $ 205,000 |
Net Loss per Common Share | (h) Net Loss per Common Share Basic and diluted net loss per common share for all periods presented is computed by dividing net loss by the weighted average number of shares of common stock and common stock equivalents outstanding during the period. Due to the Company’s net losses, potentially dilutive securities, consisting of options to purchase shares of common stock, potential exercises of warrants on common stock and unvested restricted stock issued to employees and non-employee directors, were excluded from the diluted loss per share calculation due to their anti-dilutive effect. In computing diluted net loss per common share on the Consolidated Statement of Operations, potential exercises of warrants on common stock, options to purchase shares of common stock and non-vested restricted stock issued to employees and non-employee directors, totaling 8,010,373 6,356,123 |
Recently Issued Accounting Standards | (i) Recently Issued Accounting Standards In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-13, “ Financial Instruments Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments.” Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842) |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Cash and Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Balance Sheets that total to the same amounts shown in the Consolidated Statements of Cash Flows. Schedule of Cash and Cash Equivalents and Restricted Cash January 31, April 30, (in thousands) Cash and cash equivalents $ 10,920 $ 7,885 Restricted cash- short term 65 258 Restricted cash- long term 154 219 Cash, cash equivalents, restricted cash and restricted cash equivalents $ 11,139 $ 8,362 |
Schedule of Investments and Unrealized Gains/Losses | The following table summarizes the Company’s short term investments as of January 31, 2023: Schedule of Investments and Unrealized Gains/Losses Category Amortized Cost Unrealized Market Value Corporate Bonds $ 18,554 $ 54 $ 18,608 Government Bonds & Notes 8,079 $ (22 ) 8,057 Government Agency 3,372 $ 419 3,791 Total Short term investments $ 30,005 $ 451 $ 30,456 |
Schedule of Revenue Recognizes From Operating Lease Arrangements | The Company recognizes revenue from operating lease arrangements generally on a straight-line basis over the lease term, or as agreed upon in-use days are utilized, which is presented in Revenues in the Consolidated Statement of Operations. The below table represents the total revenue recognized under ASC 606 and ASC 842 for the three and nine months ended January 31, 2023 and 2022. Schedule of Revenue Recognizes From Operating Lease Arrangements Three months ended January 31, 2023 Three months ended January 31, 2022 ASC 606 ASC 842 Total ASC 606 ASC 842 Total (in thousands) (in thousands) Revenue $ 559 $ 175 $ 734 $ 484 $ — $ 484 Nine months ended January 31, 2023 Nine months ended January 31, 2022 ASC 606 ASC 842 Total ASC 606 ASC 842 Total (in thousands) (in thousands) Revenue $ 1,562 $ 190 $ 1,752 $ 1,003 $ — $ 1,003 |
Account Receivable, Contract _2
Account Receivable, Contract Assets and Contract Liabilities (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Account Receivable Contract Assets And Contract Liabilities | |
Schedule of Accounts Receivable, Contract Assets and Contract Liabilities | The following provides further details on the balance sheet accounts of accounts receivable, contract assets and contract liabilities from contracts with customers: Schedule of Accounts Receivable, Contract Assets and Contract Liabilities January 31, April 30, (in thousands) Accounts receivable $ 706 $ 482 Contract assets 93 386 Contract liabilities 1,334 129 |
Schedule of Significant Changes in Contract assets and Contract Liabilities | Significant changes in the contract assets balances during the period were as follows: Schedule of Significant Changes in Contract assets and Contract Liabilities Nine months ended (in thousands) Transferred to receivables from contract assets recognized at the beginning of the period $ (1,646 ) Revenue recognized and not billed as of the end of the period 1,353 Net change in contract assets $ (293 ) Significant changes in the contract liabilities balances during the period are as follows: Nine months ended (in thousands) Revenue recognized that was included in the contract liabilities balance as of the beginning of the period $ (447 ) Payments collected for which revenue has not been recognized 1,652 Net change in contract liabilities $ 1,205 |
Inventory (Tables)
Inventory (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | The Company holds inventory related to the production of its WAM-V® and PowerBuoy® products. Schedule of Inventory January 31, April 30, (in thousands) Raw Materials $ 1,191 $ 198 Work in Process 245 244 Inventory, net $ 1,436 $ 442 |
Other Current Assets (Tables)
Other Current Assets (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Current Assets | Other current assets consisted of the following at January 31, 2023 and April 30, 2022: Schedule of Other Current Assets January 31, April 30, (in thousands) Prepaid insurance $ 424 $ 182 Prepaid software & licenses 135 127 Prepaid project costs 26 — Prepaid sales & marketing 161 50 Employee retention credit receivable 997 — Interest receivable 119 — Other receivables 72 24 Prepaid expenses- other 63 84 Total other current assets $ 1,997 $ 467 |
Property and Equipment, net (Ta
Property and Equipment, net (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Components of Property and Equipment | The components of property and equipment, net as of January 31, 2023 and April 30, 2022 consisted of the following: Schedule of Components of Property and Equipment January 31, April 30, (in thousands) Equipment $ 869 $ 615 Computer equipment & software 623 571 Office furniture & equipment 59 352 Leasehold improvements 538 477 Construction in process 15 15 Property and equipment, gross 2,104 2,030 Less: accumulated depreciation (1,513 ) (1,585 ) Property and equipment, net $ 591 $ 445 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Components of Intangible Assets | The components of intangible assets, net as of January 31, 2023 and April 30, 2022 consisted of the following: Schedule of Components of Intangible Assets January 31, April 30, (in thousands) Patents $ 2,729 $ 2,729 Trademarks 2,769 2,769 Tradename 130 130 Customer Relationships 150 150 Intangible assets, gross $ 5,778 $ 5,778 Accumulated amortization (1,761 ) (1,642 ) Intangible assets, net $ 4,017 $ 4,136 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Leases [Abstract] | |
Schedule of Operating Lease Costs | The components of lease expense in the Consolidated Statement of Operations for the three and nine months ended January 31, 2023 and 2022 were as follows: Schedule of Operating Lease Costs Three months ended Nine months ended 2023 2022 2023 2022 (in thousands) (in thousands) Operating lease cost $ 92 $ 92 $ 276 $ 276 Short-term lease cost 8 12 24 22 Total lease cost $ 100 $ 104 $ 300 $ 298 |
Schedule of Right-of use Assets and Lease Liabilities | Information related to the Company’s right-of use assets and lease liabilities as of January 31, 2023 was as follows: Schedule of Right-of use Assets and Lease Liabilities January 31, (in thousands) Operating lease: Operating right-of-use asset, net $ 522 Right-of-use liability- current $ 320 Right-of-use liability- long term 282 Total lease liability $ 602 Weighted average remaining lease term- operating leases 1.69 Weighted average discount rate- operating leases 8.5 % |
Schedule of Future Minimum Lease payments Under Operating Lease | Total remaining lease payments under the Company’s operating leases are as follows: Schedule of Future Minimum Lease payments Under Operating Lease January 31, (in thousands) Remainder of fiscal year 2023 $ 106 2024 398 2025 184 Total future minimum lease payments $ 688 Less imputed interest (86 ) Total $ 602 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consisted of the following at January 31, 2023 and April 30, 2022: Schedule of Accrued Expenses January 31, April 30, (in thousands) Project costs $ 363 $ 59 Contract loss reserve - 328 Employee incentive payments 1,037 266 Accrued salary and benefits 50 60 Professional fees 55 30 Other 121 134 Accrued expenses total $ 1,626 $ 877 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 9 Months Ended |
Jan. 31, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Schedule of Valuations Assumptions | Schedule of Valuations Assumptions Nine months ended 2023 2022 Risk-free interest rate 3.5 % 1.5 % Expected dividend yield 0 % 0 % Expected life (in years) 5.5 5.6 Expected volatility 109.0 % 121.9 % |
Schedule of Stock Option Activity | A summary of stock options under our Stock Incentive Plans is detailed in the following table. Schedule of Stock Option Activity Shares Underlying Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (In Years) Outstanding as of April 30, 2022 1,110,356 $ 2.34 9.2 Granted 601,089 $ 0.68 Exercised — $ — Cancelled/forfeited (135,903 ) $ 1.88 Outstanding as of January 31, 2023 1,575,542 $ 1.75 9.0 Exercisable as of January 31, 2023 540,546 $ 3.19 7.9 |
Schedule of Non-vested Restricted Stock Activity | A summary of non-vested restricted stock units under our Stock Incentive Plans is as follows: Schedule of Non-vested Restricted Stock Activity Number of Shares Weighted Average Price Unvested at April 30, 2022 827,764 $ 1.41 Granted 1,608,681 $ 0.77 Vested and issued (349,429 ) $ 1.40 Cancelled/forfeited (49,021 ) Unvested at January 31, 2023 2,037,995 $ 0.91 |
Performance Stock Options [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Schedule of Stock Option Activity | A summary of performance stock options under our Stock Incentive Plans is detailed in the following table. Schedule of Stock Option Activity Shares Underlying Options Weighted Average Exercise Price Weighted Remaining Contractual Term (In Years) Outstanding as of April 30, 2022 210,122 $ 2.20 8.8 Granted — $ — Exercised — $ — Cancelled/forfeited (8,466 ) $ 2.93 Outstanding as of January 31, 2023 201,656 $ 2.17 8.1 Exercisable as of January 31, 2023 — $ — |
Background, Basis of Presenta_2
Background, Basis of Presentation and Liquidity (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 26 Months Ended | ||||||||
Jan. 10, 2022 | Dec. 23, 2020 | Sep. 18, 2020 | Apr. 08, 2019 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Apr. 30, 2022 | Nov. 20, 2020 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||
Net loss | $ 6,090 | $ 5,471 | $ 16,786 | $ 13,721 | |||||||
Cash in operations | 16,089 | 15,787 | |||||||||
Accumulated deficit | 270,556 | 270,556 | $ 270,556 | $ 253,770 | |||||||
Cash | 11,000 | 11,000 | 11,000 | ||||||||
Short-term investments | 30,005 | 30,005 | 30,005 | $ 49,384 | |||||||
Offering amount capacity | $ 90 | ||||||||||
Number of common stock shares sold | 1,542,000 | ||||||||||
2020 ATM Facility [Member] | |||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||
Proceeds from issuance or sale of equity, net of issuance costs | $ 75,000 | ||||||||||
Offering amount capacity | $ 25,000 | ||||||||||
2020 ATM Facility [Member] | Alliance Global Partners [Member] | |||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||
Offering amount capacity | $ 50,000 | 50,000 | 50,000 | $ 100,000 | |||||||
Proceeds from issuance or sale of equity, net of issuance costs | $ 50,000 | ||||||||||
Offering amount capacity | 25,000 | ||||||||||
Stock Purchase Agreement [Member] | Aspire Capital Fund, LLC [Member] | |||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||
Proceeds from issuance or sale of equity, net of issuance costs | $ 11,800 | ||||||||||
Aggregate purchase of common stock. | $ 12,500 | ||||||||||
Percentage of outstanding common stock | 19.99% | 19.99% | |||||||||
Shares can be issued based upon outstanding percentage | 3,722,251 | ||||||||||
Additional sales of common stock shares sold | 9,864,706 | ||||||||||
Number of common stock shares sold | 3,722,251 | ||||||||||
Combined purchase price per share | $ 3.17 | $ 3.17 | $ 3.17 | ||||||||
Proceeds from issuance or sale of equity, net of issuance costs | $ 700 |
Schedule of Cash and Cash Equiv
Schedule of Cash and Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Accounting Policies [Abstract] | ||
Cash and cash equivalents | $ 10,920 | $ 7,885 |
Restricted cash- short term | 65 | 258 |
Restricted cash- long term | 154 | 219 |
Cash, cash equivalents, restricted cash and restricted cash equivalents | $ 11,139 | $ 8,362 |
Schedule of Investments and Unr
Schedule of Investments and Unrealized Gains/Losses (Details) $ in Thousands | 9 Months Ended |
Jan. 31, 2023 USD ($) | |
Net Investment Income [Line Items] | |
Amortized Cost | $ 30,005 |
Unrealized Gains (Losses) | 451 |
Market Value | 30,456 |
Corporate Bonds [Member] | |
Net Investment Income [Line Items] | |
Amortized Cost | 18,554 |
Unrealized Gains (Losses) | 54 |
Market Value | 18,608 |
Government Bonds and Notes [Member] | |
Net Investment Income [Line Items] | |
Amortized Cost | 8,079 |
Unrealized Gains (Losses) | (22) |
Market Value | 8,057 |
Government Agency [Member] | |
Net Investment Income [Line Items] | |
Amortized Cost | 3,372 |
Unrealized Gains (Losses) | 419 |
Market Value | $ 3,791 |
Schedule of Revenue Recognizes
Schedule of Revenue Recognizes From Operating Lease Arrangements (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Revenue | $ 734 | $ 484 | $ 1,752 | $ 1,003 |
Accounting Standards Update 2014-09 [Member] | ||||
Revenue | 559 | 484 | 1,562 | 1,003 |
Accounting Standards Update 2016-02 [Member] | ||||
Revenue | $ 175 | $ 190 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details Narrative) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||||
Dec. 31, 2021 | Dec. 31, 2020 | Nov. 30, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | Apr. 30, 2022 | Apr. 30, 2021 | Aug. 31, 2020 | |
Product Information [Line Items] | ||||||||||
Cash and cash equivalents | $ 10,920,000 | $ 10,920,000 | $ 7,885,000 | |||||||
Investment securities | 30,005,000 | 30,005,000 | 49,384,000 | |||||||
Investment owned at cost | 200,000 | $ 0 | ||||||||
Share based compensation expense | 300,000 | $ 300,000 | 900,000 | 900,000 | ||||||
Revenue remaining performance obligation | 2,500,000 | $ 2,500,000 | ||||||||
Revenue remaining performance obligation, percentage | 85% | |||||||||
Other income | $ 1,202,000 | |||||||||
Antidilutive securities earnings per share | 8,010,373 | 6,356,123 | ||||||||
Internal Revenue Service (IRS) [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Reveune from IRS | $ 205,000 | |||||||||
Cares ERC [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Claime amount | $ 590,000 | $ 612,000 | ||||||||
Other income | $ 1,202,000 | |||||||||
Employee Retention Credit [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
[custom:CretainEmployeeTaxes-0] | $ 5,000 | |||||||||
Credit Derivative, Liquidation Proceeds, Percentage | 70% | 50% | ||||||||
Salary and Wage, NonOfficer, Excluding Cost of Good and Service Sold | $ 10,000 | $ 10,000 | ||||||||
Maximum [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Revenue remaining performance obligation | $ 2,100,000 | $ 2,100,000 | ||||||||
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Two and Four Customers [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Concentration risk percentage | 28% | 58% | ||||||||
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Five and Four Customers [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Concentration risk percentage | 63% | 71% | ||||||||
Santander Bank [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Deposits | $ 154,000 | $ 154,000 | ||||||||
Letters of credit issued amount | $ 645,000 | |||||||||
Letter of credit amount reduced | 258,000 | 258,000 | $ 323,000 | |||||||
Santander Bank [Member] | January 2024 [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Letters of credit issued amount | 65,000 | 65,000 | ||||||||
Foreign Financial Institutions [Member] | ||||||||||
Product Information [Line Items] | ||||||||||
Cash and cash equivalents | $ 14,000 | $ 14,000 |
Schedule of Accounts Receivable
Schedule of Accounts Receivable, Contract Assets and Contract Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Account Receivable Contract Assets And Contract Liabilities | ||
Accounts receivable | $ 706 | $ 482 |
Contract assets | 93 | 386 |
Contract liabilities | $ 1,334 | $ 129 |
Schedule of Significant Changes
Schedule of Significant Changes in Contract assets and Contract Liabilities (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Account Receivable Contract Assets And Contract Liabilities | ||
Transferred to receivables from contract assets recognized at the beginning of the period | $ (1,646) | |
Revenue recognized and not billed as of the end of the period | 1,353 | |
Net change in contract assets | (293) | |
Revenue recognized that was included in the contract liabilities balance as of the beginning of the period | (447) | |
Payments collected for which revenue has not been recognized | 1,652 | |
Net change in contract liabilities | $ 1,205 | $ 15 |
Account Receivable, Contract _3
Account Receivable, Contract Assets and Contract Liabilities (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Revenue | $ 734 | $ 484 | $ 1,752 | $ 1,003 |
Grant Revenue [Member] | ||||
Revenue | 1,000 | |||
Sales Revenue [Member] | ||||
Revenue | $ 400 |
Schedule of Inventory (Details)
Schedule of Inventory (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Inventory Disclosure [Abstract] | ||
Raw Materials | $ 1,191 | $ 198 |
Work in Process | 245 | 244 |
Inventory, net | $ 1,436 | $ 442 |
Schedule of Other Current Asset
Schedule of Other Current Assets (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Prepaid insurance | $ 424 | $ 182 |
Prepaid software & licenses | 135 | 127 |
Prepaid project costs | 26 | |
Prepaid sales & marketing | 161 | 50 |
Employee retention credit receivable | 997 | |
Interest receivable | 119 | |
Other receivables | 72 | 24 |
Prepaid expenses- other | 63 | 84 |
Total other current assets | $ 1,997 | $ 467 |
Schedule of Components of Prope
Schedule of Components of Property and Equipment (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 2,104 | $ 2,030 |
Less: accumulated depreciation | (1,513) | (1,585) |
Property and equipment, net | 591 | 445 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 869 | 615 |
Computer Equipment & Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 623 | 571 |
Office Furniture and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 59 | 352 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 538 | 477 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 15 | $ 15 |
Property and Equipment, net (De
Property and Equipment, net (Details Narrative) - USD ($) | 9 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Property, Plant and Equipment [Line Items] | ||
Depreciation | $ 157,000 | $ 104,000 |
[custom:DepreciatedFixedAssetWrittenOff] | 229,000 | |
Payments to Acquire Property, Plant, and Equipment | 302,000 | $ 319,000 |
New Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Payments to Acquire Property, Plant, and Equipment | $ 302,000 |
Schedule of Components of Intan
Schedule of Components of Intangible Assets (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Patents | $ 2,729 | $ 2,729 |
Trademarks | 2,769 | 2,769 |
Tradename | 130 | 130 |
Customer Relationships | 150 | 150 |
Intangible assets, gross | 5,778 | 5,778 |
Accumulated amortization | (1,761) | (1,642) |
Intangible assets, net | $ 4,017 | $ 4,136 |
Intangible Assets (Details Narr
Intangible Assets (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization expense | $ 40,000 | $ 6,000 | $ 119,000 | $ 18,000 |
Goodwill (Details Narrative)
Goodwill (Details Narrative) - USD ($) | 9 Months Ended | |||
Jan. 31, 2023 | Jan. 31, 2022 | Apr. 30, 2022 | Nov. 30, 2021 | |
Goodwill | $ 8,537,000 | $ 8,537,000 | ||
Impairment of goodwill | $ 0 | $ 0 | ||
Marine Advanced Robotics, Inc. [Member] | ||||
Goodwill | $ 8,500,000 |
Schedule of Operating Lease Cos
Schedule of Operating Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Leases [Abstract] | ||||
Operating lease cost | $ 92 | $ 92 | $ 276 | $ 276 |
Short-term lease cost | 8 | 12 | 24 | 22 |
Total lease cost | $ 100 | $ 104 | $ 300 | $ 298 |
Schedule of Right-of use Assets
Schedule of Right-of use Assets and Lease Liabilities (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Leases [Abstract] | ||
Operating right-of-use asset, net | $ 522 | $ 752 |
Right-of-use liability- current | 320 | 319 |
Right-of-use liability- long term | 282 | $ 538 |
Total lease liability | $ 602 | |
Weighted average remaining lease term- operating leases | 1 year 8 months 8 days | |
Weighted average discount rate- operating leases | 8.50% |
Schedule of Future Minimum Leas
Schedule of Future Minimum Lease payments Under Operating Lease (Details) $ in Thousands | Jan. 31, 2023 USD ($) |
Leases [Abstract] | |
Remainder of fiscal year 2023 | $ 106 |
2024 | 398 |
2025 | 184 |
Total future minimum lease payments | 688 |
Less imputed interest | (86) |
Total | $ 602 |
Leases (Details Narrative)
Leases (Details Narrative) - USD ($) | 2 Months Ended | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2023 | Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Operating lease cash flow payments | $ 110,000 | $ 111,000 | $ 326,000 | $ 315,000 | |
Subsequent Event [Member] | |||||
Lease commencement date | 62 months | ||||
Lease termination description | the Company to terminate the lease after 39 months | ||||
Rent expense | $ 25,000 | ||||
Monroe Township [Member] | |||||
Lessee, operating lease, option to extend | The lease includes an initial lease term of seven years which is set to expire in November of 2024, and contains an option to extend the lease for another five years | ||||
Lease commencement date | 7 years | 7 years | |||
Houston, Texas [Member] | |||||
Lessee, operating lease, option to extend | expire in January of 2024 | ||||
Lease commencement date | 1 year | 1 year |
Schedule of Accrued Expenses (D
Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands | Jan. 31, 2023 | Apr. 30, 2022 |
Payables and Accruals [Abstract] | ||
Project costs | $ 363 | $ 59 |
Contract loss reserve | 328 | |
Employee incentive payments | 1,037 | 266 |
Accrued salary and benefits | 50 | 60 |
Professional fees | 55 | 30 |
Other | 121 | 134 |
Accrued expenses total | $ 1,626 | $ 877 |
Warrants (Details Narrative)
Warrants (Details Narrative) - $ / shares | Apr. 08, 2019 | Jan. 31, 2023 |
Number of common stock shares sold | 1,542,000 | |
Warrants to purchase common stock exercised | 732,500 | |
Underwritten Public Offering [Member] | ||
Warrants to purchase common stock exercised | 4,927,680 | |
Exercise price of warrants | $ 3.85 | |
Warrants and rights outstanding, term | 5 years | |
Pre-funded Warrants [Member] | ||
Warrants to purchase common stock exercised | 3,385,680 | |
Exercise price of warrants | $ 0.01 |
Paycheck Protection Program L_2
Paycheck Protection Program Loan (Details Narrative) - Paycheck Protection Program [Member] - USD ($) | 9 Months Ended | ||
Feb. 28, 2021 | May 03, 2020 | Jan. 31, 2023 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Proceeds from loan originations | $ 890,000 | ||
Debt forgiveness, description | The Company filed its loan forgiveness application at the end of February 2021 asking for 100% forgiveness of the loan. In June 2021, the Company was informed that its application was approved, and that the loan was fully forgiven. The Company recognized a gain on forgiveness of PPP loan of approximately $890,000 during the nine months ended January 31, 2022 | ||
Debt interest rate | 100% | ||
Repayments of long-term debt | $ 890,000 |
Schedule of Valuations Assumpti
Schedule of Valuations Assumptions (Details) - Share-Based Payment Arrangement, Option [Member] | 9 Months Ended | |
Jan. 31, 2023 | Jan. 31, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Risk-free interest rate | 3.50% | 1.50% |
Expected dividend yield | 0% | 0% |
Expected life (in years) | 5 years 6 months | 5 years 7 months 6 days |
Expected volatility | 109% | 121.90% |
Schedule of Stock Option Activi
Schedule of Stock Option Activity (Details) - $ / shares | 9 Months Ended |
Jan. 31, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Underlying Options Outstanding, beginning | 1,110,356 |
Weighted Average Exercise Price, Beginning balance | $ 2.34 |
Weighted Average Remaining Contractual Term (In Years), Beginning | 9 years 2 months 12 days |
Shares underlying Options Outstanding, Granted | 601,089 |
Weighted Average Exercise Price, Granted | $ 0.68 |
Shares Underlying Options ,Exercised | |
Weighted Average Exercise Price, Exercised | |
Shares Underlying Options, Cancelled/forfeited | (135,903) |
Weighted Average Exercise Price, Cancelled/forfeited | $ 1.88 |
Shares Underlying Options, ending | 1,575,542 |
Weighted average exercise price, ending balance | $ 1.75 |
Weighted Average Remaining Contractual Term (In Years), Ending | 9 years |
Shares Underlying Options, Exercisable at Ending | 540,546 |
Weighted Average Exercise Price, Exercisable at ending | $ 3.19 |
Weighted Average Remaining Contractual Term (In Years), Exercisable at Ending | 7 years 10 months 24 days |
Performance Stock Options [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Shares Underlying Options Outstanding, beginning | 210,122 |
Weighted Average Exercise Price, Beginning balance | $ 2.20 |
Weighted Average Remaining Contractual Term (In Years), Beginning | 8 years 9 months 18 days |
Shares underlying Options Outstanding, Granted | |
Weighted Average Exercise Price, Granted | |
Shares Underlying Options ,Exercised | |
Weighted Average Exercise Price, Exercised | |
Shares Underlying Options, Cancelled/forfeited | (8,466) |
Weighted Average Exercise Price, Cancelled/forfeited | $ 2.93 |
Shares Underlying Options, ending | 201,656 |
Weighted average exercise price, ending balance | $ 2.17 |
Weighted Average Remaining Contractual Term (In Years), Ending | 8 years 1 month 6 days |
Shares Underlying Options, Exercisable at Ending | |
Weighted Average Exercise Price, Exercisable at ending |
Schedule of Non-vested Restrict
Schedule of Non-vested Restricted Stock Activity (Details) - Non-vested Restricted Stock [Member] | 9 Months Ended |
Jan. 31, 2023 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Number of Shares, Unvested, Beginning | 827,764 |
Weighted Average Price per Share, Unvested, Beginning | $ / shares | $ 1.41 |
Number of Shares, Unvested, Granted | 1,608,681 |
Weighted Average Price per Share, Unvested, Granted | $ / shares | $ 0.77 |
Number of Shares, Unvested, Vested and issued | (349,429) |
Weighted Average Price per Share, Unvested, Vested | $ / shares | $ 1.40 |
Number of Shares, Cancelled/forfeited | (49,021) |
Number of Shares, Unvested, Ending | 2,037,995 |
Weighted Average Price per Share, Unvested, Ending | $ / shares | $ 0.91 |
Share-Based Compensation (Detai
Share-Based Compensation (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||||||
Jan. 31, 2023 | Jan. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | Feb. 09, 2022 | Feb. 08, 2022 | Jan. 18, 2018 | Dec. 31, 2015 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||||
Shares underlying options outstanding, granted | 601,089 | |||||||
Unrecognized compensation cost | $ 800,000 | $ 800,000 | ||||||
Share-based compensation of weighted-average period | 2 years 4 months 24 days | |||||||
Share-Based Payment Arrangement, Option [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||||
Shares underlying options outstanding, granted | 601,089 | 793,850 | 601,089 | 793,850 | ||||
Weighted average grant date fair value of the options granted | $ 376,000 | |||||||
Options, outstanding, intrinsic value | $ 0 | $ 0 | ||||||
Options, number of shares unvested | 1,035,000 | 1,035,000 | ||||||
Weighted average remaining contractual term | 9 years 6 months | |||||||
Share-based payment arrangement, expense | $ 62,000 | 68,000 | $ 230,000 | $ 183,000 | ||||
Employee Stock Option One [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||||
Options, outstanding, intrinsic value | 10,000 | 10,000 | ||||||
Performance Shares [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||||
Options, outstanding, intrinsic value | $ 0 | $ 0 | ||||||
Options, number of shares unvested | 202,000 | 202,000 | ||||||
Weighted average remaining contractual term | 8 years 1 month 6 days | |||||||
Share-based payment arrangement, expense | $ 31,000 | 62,000 | $ 132,000 | 123,000 | ||||
Unrecognized compensation cost | 22,000 | $ 22,000 | ||||||
Share-based compensation of weighted-average period | 4 months 24 days | |||||||
Restricted Stock [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||||
Share-based payment arrangement, expense | 185,000 | $ 14,000 | $ 549,000 | $ 43,000 | ||||
Share-based compensation of weighted-average period | 1 year 7 months 6 days | |||||||
Number of restricted shares, granted | 1,608,681 | 777,764 | ||||||
Unrecognized compensation cost | $ 1,576,000 | $ 1,576,000 | ||||||
2015 Omnibus Incentive Plan [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||||
Share-based compensation arrangement shares authorized | 4,382,036 | 4,382,036 | 1,332,036 | |||||
Share-based compensation arrangement shares aggregate increase | $ 3,050,000 | $ 3,050,000 | ||||||
Capital shares reserved for future issuance | 38,000 | 38,000 | ||||||
2018 Inducement Plan [Member] | ||||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||||
Share-based compensation arrangement shares authorized | 275,000 | 250,000 | ||||||
Capital shares reserved for future issuance | 25,000 | |||||||
Available for grant | 161,000 | 161,000 |
Fair Value Measurements (Detail
Fair Value Measurements (Details Narrative) - USD ($) $ in Millions | 9 Months Ended | |
Jan. 31, 2023 | Apr. 30, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of investments | $ 30 | $ 49.4 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent liability MAR acquisition amount | 1.7 | |
Decrease in contingent liability | 0.1 | |
Fair value of contingent consideration | $ 1.6 |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - Tax Authority, Spain [Member] | Jan. 25, 2021 EUR (€) | Apr. 30, 2022 USD ($) | Apr. 30, 2022 EUR (€) |
Operating Loss Carryforwards [Line Items] | |||
Income tax penalties | $ 331,000 | € 279,870 | |
Payment of tax on damages | € 279,870 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) | Jan. 31, 2023 | Jan. 31, 2022 |
New Jersey Division of Taxation [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss | $ 278,000 | $ 1,000,000 |
Operating Segments and Geogra_2
Operating Segments and Geographic Information (Details Narrative) | 9 Months Ended |
Jan. 31, 2023 Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 1 |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) - Subsequent Event [Member] | 2 Months Ended |
Mar. 31, 2023 USD ($) | |
Subsequent Event [Line Items] | |
Lease commencement date | 62 months |
Lease termination description | the Company to terminate the lease after 39 months |
Rent expense | $ 25,000 |