Document_And_Entity_Informatio
Document And Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Oct. 31, 2013 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'Energy Recovery, Inc. | ' |
Document Type | '10-Q | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Common Stock, Shares Outstanding | ' | 51,114,528 |
Amendment Flag | 'false | ' |
Entity Central Index Key | '0001421517 | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Document Period End Date | 30-Sep-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $15,815 | $16,642 |
Restricted cash | 4,633 | 5,235 |
Short-term investments | 5,997 | 9,497 |
Accounts receivable, net of allowance for doubtful accounts of $269 and $217 at September 30, 2013 and December 31, 2012, respectively | 6,132 | 13,240 |
Unbilled receivables | 1,040 | 5,020 |
Inventories | 8,960 | 5,135 |
Deferred tax assets, net | 500 | 500 |
Land and building held for sale | ' | 1,345 |
Prepaid expenses and other current assets | 1,313 | 4,245 |
Total current assets | 44,390 | 60,859 |
Restricted cash, non-current | 3,900 | 4,366 |
Unbilled receivables, non-current | ' | 868 |
Long-term investments | 13,078 | 4,773 |
Property and equipment, net of accumulated depreciation of $11,399 and $9,306 at September 30, 2013 and December 31, 2012, respectively | 14,654 | 15,967 |
Goodwill | 12,790 | 12,790 |
Other intangible assets, net | 4,238 | 4,929 |
Other assets, non-current | 2 | 2 |
Total assets | 93,052 | 104,554 |
Current liabilities: | ' | ' |
Accounts payable | 1,336 | 2,154 |
Accrued expenses and other current liabilities | 6,101 | 8,555 |
Income taxes payable | 24 | 39 |
Accrued warranty reserve | 1,036 | 1,172 |
Deferred revenue | 788 | 918 |
Current portion of capital lease obligations | ' | 18 |
Total current liabilities | 9,285 | 12,856 |
Deferred tax liabilities, non-current, net | 1,873 | 1,706 |
Deferred revenue, non-current | 154 | 411 |
Other non-current liabilities | 2,112 | 2,200 |
Total liabilities | 13,424 | 17,173 |
Commitments and Contingencies (Note 9) | ' | ' |
Stockholders’ equity: | ' | ' |
Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued or outstanding | 0 | 0 |
Common stock, $0.001 par value; 200,000,000 shares authorized; 52,891,423 and 51,108,820 shares issued and outstanding, respectively, at September 30, 2013; and 52,685,129 and 50,902,526 shares issued and outstanding, respectively, at December 31, 2012 | 53 | 53 |
Additional paid-in capital | 119,372 | 117,264 |
Accumulated other comprehensive loss | -107 | -79 |
Treasury stock, at cost, 1,782,603 shares repurchased at September 30, 2013 and December 31, 2012 | -4,000 | -4,000 |
Accumulated deficit | -35,690 | -25,857 |
Total stockholders’ equity | 79,628 | 87,381 |
Total liabilities and stockholders’ equity | $93,052 | $104,554 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for doubtful accounts (in Dollars) | $269 | $217 |
Property and equipment, accumulated depreciation (in Dollars) | $11,399 | $9,306 |
Preferred stock, par value (in Dollars per share) | $0.00 | $0.00 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in Dollars per share) | $0.00 | $0.00 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 52,891,423 | 52,685,129 |
Common stock, shares outstanding | 51,108,820 | 50,902,526 |
Treasury stock, shares repurchased | 1,782,603 | 1,782,603 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Net revenue | $4,868 | $10,498 | $19,810 | $27,550 |
Cost of revenue | 1,966 | 4,696 | 8,615 | 13,836 |
Gross profit | 2,902 | 5,802 | 11,195 | 13,714 |
Operating expenses: | ' | ' | ' | ' |
General and administrative | 3,625 | 3,825 | 11,121 | 10,899 |
Sales and marketing | 1,737 | 1,860 | 5,607 | 5,114 |
Research and development | 1,027 | 1,495 | 3,246 | 3,055 |
Amortization of intangible assets | 230 | 262 | 691 | 785 |
Restructuring charges | 140 | 167 | 184 | 277 |
Total operating expenses | 6,759 | 7,609 | 20,849 | 20,130 |
Loss from operations | -3,857 | -1,807 | -9,654 | -6,416 |
Interest expense | ' | -1 | ' | -6 |
Other non-operating income (expense), net | 27 | 36 | 79 | 99 |
Loss before income taxes | -3,830 | -1,772 | -9,575 | -6,323 |
Provision (benefit) for income taxes | 36 | 54 | 258 | -253 |
Net loss | ($3,866) | ($1,826) | ($9,833) | ($6,070) |
Basic and diluted loss per share (in Dollars per share) | ($0.08) | ($0.04) | ($0.19) | ($0.12) |
Basic and diluted shares used in per share calculation (in Shares) | 51,052 | 50,872 | 51,020 | 51,638 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive (Loss) Income (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Net loss | ($3,866) | ($1,826) | ($9,833) | ($6,070) |
Other comprehensive income (loss) net of tax: | ' | ' | ' | ' |
Foreign currency translation adjustments | -10 | -5 | -8 | 2 |
Unrealized gain (loss) on investments | 15 | 13 | -20 | 45 |
Other comprehensive income (loss) | 5 | 8 | -28 | 47 |
Comprehensive loss | ($3,861) | ($1,818) | ($9,861) | ($6,023) |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash Flows From Operating Activities | ' | ' |
Net loss | ($9,833) | ($6,070) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' |
Depreciation and amortization | 2,801 | 2,945 |
Loss on disposal of fixed assets | 19 | ' |
Non-cash restructuring charges | 184 | 243 |
Amortization of premiums/discounts on investments | 279 | 402 |
Interest accrued on notes receivables from stockholders | ' | -1 |
Share-based compensation | 1,717 | 2,097 |
(Gain) loss on foreign currency transactions | -5 | 3 |
Deferred income taxes | 167 | 162 |
Provision for (recovery of) doubtful accounts | 248 | -69 |
Provision for warranty claims | 177 | 283 |
Valuation adjustments for inventory reserves | 81 | 20 |
Other non-cash adjustments | -88 | 45 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | 6,869 | -3,674 |
Unbilled receivables | 4,848 | -1,361 |
Inventories | -3,906 | 1,283 |
Prepaid and other assets | 2,933 | 405 |
Accounts payable | -718 | 60 |
Accrued expenses and other liabilities | -2,635 | 30 |
Income taxes payable | -17 | 13 |
Deferred revenue | -387 | 1,198 |
Net cash provided by (used in) operating activities | 2,734 | -1,986 |
Cash Flows From Investing Activities | ' | ' |
Capital expenditures | -1,077 | -2,105 |
Proceeds from sale of assets held for sale | 1,161 | ' |
Purchase of marketable securities | -13,104 | -861 |
Maturities of marketable securities | 8,000 | 8,261 |
Decrease in restricted cash | 1,068 | 611 |
Net cash (used in) provided by investing activities | -3,952 | 5,906 |
Cash Flows From Financing Activities | ' | ' |
Repayment of long-term debt | ' | -85 |
Repayment of capital lease obligation | -18 | -76 |
Net proceeds from issuance of common stock | 425 | 7 |
Repurchase of common stock | ' | -4,000 |
Net cash provided by (used in) financing activities | 407 | -4,154 |
Effect of exchange rate differences on cash and cash equivalents | -16 | 14 |
Net change in cash and cash equivalents | -827 | -220 |
Cash and cash equivalents, beginning of period | 16,642 | 18,507 |
Cash and cash equivalents, end of period | $15,815 | $18,287 |
Note_1_The_Company_and_Summary
Note 1 - The Company and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | ' |
Note 1 — The Company and Summary of Significant Accounting Policies | |
The Company | |
Energy Recovery, Inc. (the “Company”, “Energy Recovery”, “we”, “our”, or “us”) designs, develops, manufactures, and sells energy recovery devices that harness the reusable energy from industrial fluid flows and pressure cycles. Our products are marketed and sold in fluid flow markets under the trademarks ERI®, PX®, Pressure Exchanger®, and PX Pressure Exchanger®. Our products are developed and manufactured in the United States of America (“U.S.”) at our headquarters in San Leandro, California. We also have sales offices in Madrid, Spain; Dubai, United Arab Emirates; and Shanghai, Peoples Republic of China. | |
Use of Estimates | |
The preparation of condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires our management to make judgments, assumptions, and estimates that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Our most significant estimates and judgments involve the determination of revenue recognition; allowance for doubtful accounts; allowance for product warranty; valuation of stock options; valuation and impairment of goodwill, long-lived assets, and acquired intangible assets; valuation of fair value of assets held for sale; useful lives for depreciation and amortization; valuation adjustments for excess and obsolete inventory; deferred taxes and valuation allowances on deferred tax assets; and evaluation and measurement of contingencies, including contingent consideration. Actual results could differ materially from those estimates. | |
Basis of Presentation | |
The condensed consolidated financial statements include the accounts of Energy Recovery, Inc. and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. | |
The accompanying condensed consolidated financial statements have been prepared by us, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The December 31, 2012 condensed consolidated balance sheet was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP; however, we believe that the disclosures are adequate to make the information presented not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto for the fiscal year ended December 31, 2012 included in our Annual Report on Form 10-K filed with the SEC on March 12, 2013. | |
In the opinion of management, all adjustments, consisting of only normal recurring adjustments that are necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, have been made. The results of operations for the interim periods are not necessarily indicative of the operating results for the full fiscal year or any future periods. | |
Recent Accounting Pronouncements | |
In July 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. The amendment requires that an unrecognized tax benefit be presented in financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. If an applicable deferred tax asset is not available or a company does not expect to use the applicable deferred tax asset, the unrecognized tax benefit should be presented as a liability in the financial statements and should not be combined with an unrelated deferred tax asset. The amendment is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The amendments should be applied prospectively to all unrecognized tax benefits that exist at the effective date; however, retrospective application is permitted. Adoption of this guidance is not expected to have a significant impact on our financial statements. | |
In April 2013, the FASB issued ASU No. 2013-07, Liquidation Basis Accounting. The amendment requires (1) an entity to prepare its financial statements using the liquidation basis of accounting when liquidation is imminent; (2) that financial statements prepared using the liquidation basis of accounting present relevant information about an entity’s expected resources in liquidation by measuring and presenting assets at the amount of the expected cash proceeds from liquidation; and (3) disclosures about an entity’s plan for liquidation, the methods and significant assumptions used to measure assets and liabilities, the type and amount of costs and income accrued, and the expected duration of the liquidation process. This update is effective prospectively for entities that determine liquidation is imminent during the annual reporting periods beginning after December 15, 2013 and interim reporting periods therein. Adoption of this guidance is not expected to have an impact on our financial statements absent any indication that liquidation is imminent. | |
In March 2013, the FASB issued ASU No. 2013-05, Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity. The amendment is to resolve the diversity in practice of which subtopic applies to the release of the cumulative translation adjustment into net income when a parent company either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or business (other than a sale of in substance real estate or conveyance of oil and gas mineral rights) within a foreign entity. This update is effective prospectively for reporting periods after December 15, 2013. Adoption of this guidance is not expected to have a material impact on our financial statements. | |
In February 2013, the FASB issued ASU No. 2013-04, Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation is Fixed at the Reporting Date. The standard provides guidance on the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this update is fixed at the reporting date, except for obligations addressed within existing guidance in U.S. GAAP. This update is effective for reporting periods after December 15, 2013. Adoption of this guidance is not expected to have a material impact on our financial statements. | |
Also in February 2013, the FASB issued ASU No. 2013-02, Reporting Amounts Reclassified Out of Accumulated Other Comprehensive Income. The standard requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component and present significant amounts reclassified by the respective line items of net income, but only if the reclassified amount is required to be reclassified by U.S. GAAP. Amounts not required to be reclassified by U.S. GAAP must be cross-referenced to other disclosures required by U.S. GAAP that provide additional detail about those amounts. This update is effective prospectively for reporting periods after December 15, 2012, with early adoption permitted. Adoption of this guidance required additional disclosure, but did not have a material impact on our financial statements. | |
In January 2013, the FASB issued ASU No. 2013-01, Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities. The update was issued to address implementation issues about the scope of ASU 2011-11, Disclosures about Offsetting Assets and Liabilities. The amendment affects entities that have derivatives, including bifurcated embedded derivatives, repurchase agreements, reverse repurchase agreements, securities borrowing, and securities lending transactions that are either offset or subject to an enforceable master netting arrangement or similar agreement. Entities with other types of financial assets and liabilities subject to a master netting arrangement or similar agreement are also affected because this amendment makes them no longer subject to the disclosure requirements of ASU No. 2011-11. This amendment is applicable for periods beginning on or after January 1, 2013. Adoption of this guidance did not have a material impact on our financial statements. | |
In July 2012, the FASB issued ASU No. 2012-02, Intangibles-Goodwill and Other, Testing Indefinite-Lived Assets for Impairment. The standard provides entities an option to perform a qualitative assessment to determine whether the existence of events and circumstances indicate that it is more likely than not that the indefinite-lived intangible asset is impaired. If an entity concludes, as a result of its qualitative assessment, that it is more likely than not that the fair value of the indefinite-lived intangible asset is less than its carrying amount, then the quantitative impairment test is required. Otherwise, no further testing is required. This standard is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012, with early adoption permitted. Adoption of this guidance did not have a material impact on our financial statements. |
Note_2_Goodwill_and_Other_Inta
Note 2 - Goodwill and Other Intangible Assets | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Text Block] | ' | ||||||||||||||||
Note 2 — Goodwill and Other Intangible Assets | |||||||||||||||||
Goodwill of $12.8 million at September 30, 2013 and December 31, 2012 was the result of our acquisition of Pump Engineering, LLC in December 2009. During the three and nine months ended September 30, 2013, there were no changes in the recognized amount of goodwill. | |||||||||||||||||
The components of identifiable other intangible assets, all of which are finite-lived, as of September 30, 2013 and December 31, 2012, respectively, were as follows (in thousands): | |||||||||||||||||
30-Sep-13 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (2,338 | ) | $ | — | $ | 3,762 | ||||||||
Non-compete agreements | 1,310 | (1,131 | ) | — | 179 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (891 | ) | — | 99 | ||||||||||||
Patents | 585 | (345 | ) | (42 | ) | 198 | |||||||||||
Total | $ | 11,485 | $ | (6,185 | ) | $ | (1,062 | ) | $ | 4,238 | |||||||
31-Dec-12 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (1,881 | ) | $ | — | $ | 4,219 | ||||||||
Non-compete agreements | 1,310 | (1,015 | ) | — | 295 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (792 | ) | — | 198 | ||||||||||||
Patents | 585 | (326 | ) | (42 | ) | 217 | |||||||||||
Total | $ | 11,485 | $ | (5,494 | ) | $ | (1,062 | ) | $ | 4,929 | |||||||
In 2012, we determined that the capitalized cost associated with our acquired trademark intangibles was impaired with the launch of the Company’s new branding strategy and the discontinuation of the use of the trademarks “PEI” and “Pump Engineering” in the fourth quarter of 2012. Accordingly, we recorded an impairment charge of $1.0 million for the year ended December 31, 2012 and have not recorded any amortization expense in 2013 related to this intangible asset. |
Note_3_Loss_Per_Share
Note 3 - Loss Per Share | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Earnings Per Share [Text Block] | ' | ||||||||||||||||
Note 3 — Loss per Share | |||||||||||||||||
Basic and diluted loss per share are based on the weighted average number of common shares outstanding during the period. Potentially dilutive securities are excluded from the calculation of loss per share, as their inclusion would be anti-dilutive. | |||||||||||||||||
The following table shows the computation of basic and diluted loss per share (in thousands, except per share data): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Numerator: | |||||||||||||||||
Net loss | $ | (3,866 | ) | $ | (1,826 | ) | $ | (9,833 | ) | $ | (6,070 | ) | |||||
Denominator: | |||||||||||||||||
Basic and diluted weighted average common shares outstanding | 51,052 | 50,872 | 51,020 | 51,638 | |||||||||||||
Basic and diluted loss per share | $ | (0.08 | ) | $ | (0.04 | ) | $ | (0.19 | ) | $ | (0.12 | ) | |||||
The following potential common shares were not considered for the computation of diluted loss per share because their effect would have been anti-dilutive (in thousands): | |||||||||||||||||
Three and Nine Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Stock options | 7,303 | 6,595 | |||||||||||||||
Warrants | 900 | 970 | |||||||||||||||
Restricted awards* | — | 5 | |||||||||||||||
* Includes restricted stock and restricted stock units. |
Note_4_Other_Financial_Informa
Note 4 - Other Financial Information | 9 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Disclosure Text Block Supplement [Abstract] | ' | ||||||||||||
Additional Financial Information Disclosure [Text Block] | ' | ||||||||||||
Note 4 — Other Financial Information | |||||||||||||
Restricted Cash | |||||||||||||
We have pledged cash in connection with contingent payments resulting from a business acquisition, stand-by letters of credit, and credit cards. We have deposited corresponding amounts into money market and non-interest bearing accounts at two financial institutions for these items as follows (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Contingent and other consideration for acquisition | $ | 2,504 | $ | 2,504 | |||||||||
Collateral for stand-by letters of credit | 1,814 | 2,416 | |||||||||||
Collateral for credit cards | 315 | 315 | |||||||||||
Current restricted cash | $ | 4,633 | $ | 5,235 | |||||||||
Contingent and other consideration for acquisition | $ | 1,000 | $ | 1,000 | |||||||||
Collateral for stand-by letters of credit | 2,900 | 3,366 | |||||||||||
Non-current restricted cash | $ | 3,900 | $ | 4,366 | |||||||||
Total restricted cash | $ | 8,533 | $ | 9,601 | |||||||||
Inventories | |||||||||||||
For the periods indicated, our inventories consisted of the following (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Raw materials | $ | 3,119 | $ | 3,406 | |||||||||
Work in process | 1,782 | 1,489 | |||||||||||
Finished goods | 4,059 | 240 | |||||||||||
Inventories | $ | 8,960 | $ | 5,135 | |||||||||
Land and Building Held for Sale | |||||||||||||
In 2011, we initiated a restructuring plan to consolidate our North American operations and transfer our Michigan-based operations to our manufacturing center and headquarters in San Leandro, California. In connection with this restructuring plan, we classified the land and building located in Michigan as assets held for sale at December 31, 2011. At December 31, 2012 and June 30, 2013, these assets totaled $1.3 million. The assets were sold in September 2013. Net proceeds from the sale totaled $1.2 million, resulting in a loss on sale of $0.1 million. As the assets were part of the restructuring plan, the loss on sale was reported in the Condensed Consolidated Statement of Operations as restructuring charges. | |||||||||||||
Prepaid Expenses and Other Current Assets | |||||||||||||
Prepaid expenses and other current assets consisted of the following (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Prepaid income taxes and carryback tax refund | $ | — | $ | 3,221 | |||||||||
Interest receivable | 136 | 140 | |||||||||||
Supplier advances | 142 | 222 | |||||||||||
Other prepaid expenses and current assets | 1,035 | 662 | |||||||||||
Accrued expenses and other current liabilities | $ | 1,313 | $ | 4,245 | |||||||||
Accrued Expenses and Other Current Liabilities | |||||||||||||
Accrued expenses and other current liabilities consisted of the following (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Payroll and commissions payable | $ | 3,044 | $ | 4,687 | |||||||||
Contingent consideration (current portion) and legal expenses | 1,556 | 1,506 | |||||||||||
Professional fees | 518 | 455 | |||||||||||
Other accrued expenses and current liabilities | 983 | 1,907 | |||||||||||
Accrued expenses and other current liabilities | $ | 6,101 | $ | 8,555 | |||||||||
Accumulated Other Comprehensive Loss | |||||||||||||
Changes in accumulated other comprehensive loss for the nine months ended September 30, 2013 by component were as follows (in thousands): | |||||||||||||
Foreign | Unrealized | Total Accumulated | |||||||||||
Currency | Gains (Losses) | Other | |||||||||||
Translation | on | Comprehensive | |||||||||||
Adjustments | Investments | Loss | |||||||||||
Balance, December 31, 2012 | $ | (94 | ) | $ | 15 | $ | (79 | ) | |||||
Net other comprehensive loss | (8 | ) | (20 | ) | (28 | ) | |||||||
Balance, September 30, 2013 | $ | (102 | ) | $ | (5 | ) | $ | (107 | ) | ||||
There were no reclassifications of amounts out of accumulated other comprehensive loss for the nine months ended September 30, 2013, as there were no sales of securities or translation adjustments that impacted other comprehensive loss. |
Note_5_Investments
Note 5 - Investments | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Table Text Block [Abstract] | ' | ||||||||||||||||
Marketable Securities [Table Text Block] | ' | ||||||||||||||||
Note 5 — Investments | |||||||||||||||||
All of our short-term and long-term investments are classified as available-for-sale. | |||||||||||||||||
Available-for-sale securities at September 30, 2013 consisted of the following (in thousands): | |||||||||||||||||
Amortized Cost | Gross Unrealized Holding Gains | Gross Unrealized Holding Losses | Fair Value | ||||||||||||||
Certificates of deposit | $ | 250 | $ | — | $ | — | $ | 250 | |||||||||
State and local government obligations | 2,980 | 2 | (1 | ) | 2,981 | ||||||||||||
Corporate notes and bonds | 2,760 | 6 | — | 2,766 | |||||||||||||
Short-term investments | $ | 5,990 | $ | 8 | $ | (1 | ) | $ | 5,997 | ||||||||
State and local government obligations | 697 | 2 | — | 699 | |||||||||||||
Corporate notes and bonds | 12,393 | 7 | (21 | ) | 12,379 | ||||||||||||
Long-term investments | $ | 13,090 | $ | 9 | $ | (21 | ) | $ | 13,078 | ||||||||
Total available-for-sale securities | $ | 19,080 | $ | 17 | $ | (22 | ) | $ | 19,075 | ||||||||
Available-for-sale securities at December 31, 2012 consisted of the following (in thousands): | |||||||||||||||||
Amortized Cost | Gross Unrealized Holding Gains | Gross Unrealized Holding Losses | Fair Value | ||||||||||||||
Certificates of deposit | $ | 250 | $ | — | $ | — | $ | 250 | |||||||||
State and local government obligations | 2,444 | 3 | (1 | ) | 2,446 | ||||||||||||
Corporate notes and bonds | 6,799 | 3 | (1 | ) | 6,801 | ||||||||||||
Short-term investments | $ | 9,493 | $ | 6 | $ | (2 | ) | $ | 9,497 | ||||||||
State and local government obligations | 1,381 | 6 | (2 | ) | 1,385 | ||||||||||||
Corporate notes and bonds | 3,381 | 13 | (6 | ) | 3,388 | ||||||||||||
Long-term investments | $ | 4,762 | $ | 19 | $ | (8 | ) | $ | 4,773 | ||||||||
Total available-for-sale securities | $ | 14,255 | $ | 25 | $ | (10 | ) | $ | 14,270 | ||||||||
Expected maturities can differ from contractual maturities because borrowers may have the right to prepay obligations without prepayment penalties. The amortized cost and fair value of available-for-sale securities that had stated maturities as of September 30, 2013 are shown below by contractual maturity (in thousands): | |||||||||||||||||
30-Sep-13 | |||||||||||||||||
Amortized Cost | Fair Value | ||||||||||||||||
Due in one year or less | $ | 1,576 | $ | 1,576 | |||||||||||||
Due after one year through three years | 17,504 | 17,499 | |||||||||||||||
Total available-for-sale securities | $ | 19,080 | $ | 19,075 | |||||||||||||
Note_6_Debt
Note 6 - Debt | 9 Months Ended |
Sep. 30, 2013 | |
Disclosure Text Block Supplement [Abstract] | ' |
Debt and Capital Leases Disclosures [Text Block] | ' |
Note 6 — Debt | |
Lines of Credit | |
In June 2012, we entered into a loan agreement (the “2012 Agreement”) with a financial institution. The 2012 Agreement provides for a total available credit line of $16.0 million. Under the 2012 Agreement, we are allowed to draw advances not to exceed, at any time, $10.0 million as revolving loans. The total stand-by letters of credit issued under the 2012 Agreement may not exceed the lesser of the $16.0 million credit line or the credit line minus all outstanding revolving loans. At no time may the aggregate of the revolving loans and stand-by letters of credit exceed the total available credit line of $16.0 million. Revolving loans may be in the form of a base rate loan that bears interest equal to the prime rate plus 0% or a Eurodollar loan that bears interest equal to the adjusted LIBO rate plus 1.25%. Stand-by letters of credit are subject to customary fees and expenses for issuance or renewal. The unused portion of the credit facility is subject to a facility fee in an amount equal to 0.25% per annum of the average unused portion of the revolving line. The 2012 Agreement also requires us to maintain a cash collateral balance equal to 101% of all outstanding advances and all outstanding stand-by letters of credit collateralized by the line of credit. The 2012 Agreement matures on June 5, 2015 and is collateralized by substantially all of our assets. At December 31, 2012, the amount of outstanding stand-by letters of credit collateralized under the 2012 Agreement totaled $1.4 million. As of September 30, 2013, there were no advances drawn and $0.7 million in stand-by letters of credit collateralized under the 2012 Agreement. Total restricted cash related to these stand-by letters of credit totaled $0.7 million as of September 30, 2013. | |
We are subject to certain financial and administrative covenants under the 2012 Agreement. As of September 30, 2013, we were in compliance with these covenants. | |
In 2009, we entered into a loan and security agreement (the “2009 Agreement”) with another financial institution. The 2009 Agreement, as amended, provided a total available credit line of $16.0 million. Under the 2009 Agreement, we were allowed to draw advances of up $10.0 million on a revolving line of credit or utilize up to $15.9 million as collateral for stand-by letters of credit, provided that the aggregate of the outstanding advances and collateral did not exceed the total available credit line of $16.0 million. Advances under the revolving line of credit incurred interest based on a prime rate index or LIBOR plus 1.375%. The 2009 Agreement, as amended, also required us to maintain cash collateral balances equal to at least 101% of the face amount of all outstanding stand-by letters of credit collateralized by the line of credit and 100% of the amount of all outstanding advances. The amended 2009 Agreement expired on May 30, 2012. There were no advances drawn under the 2009 Agreement’s credit line at the time it expired. At December 31, 2012, the amount of remaining outstanding stand-by letters of credit issued under the 2009 Agreement totaled $4.3 million. As of September 30, 2013, remaining stand-by letters of credit issued under the 2009 Agreement totaled $4.0 million. Total restricted cash related to these stand-by letters of credit was approximately $4.0 million as of September 30, 2013. |
Note_7_Equity
Note 7 - Equity | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Disclosure Text Block Supplement [Abstract] | ' | ||||||||||||||||
Shareholders' Equity and Share-based Payments [Text Block] | ' | ||||||||||||||||
Note 7 — Equity | |||||||||||||||||
Share-Based Compensation Expense | |||||||||||||||||
For the three and nine months ended September 30, 2013 and 2012, we recognized share-based compensation expense related to employees and consultants as follows (in thousands): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Cost of revenue | $ | 18 | $ | 25 | $ | 57 | $ | 90 | |||||||||
General and administrative | 339 | 440 | 1,153 | 1,464 | |||||||||||||
Sales and marketing | 123 | 94 | 358 | 434 | |||||||||||||
Research and development | 50 | 30 | 149 | 109 | |||||||||||||
Total share-based compensation expense | $ | 530 | $ | 589 | $ | 1,717 | $ | 2,097 | |||||||||
As of September 30, 2013, total unrecognized compensation cost related to non-vested share-based awards, net of estimated forfeitures, was $3.4 million, which is expected to be recognized as expense over a weighted average period of approximately 2.4 years. | |||||||||||||||||
In January 2013, we granted 100,000 stock options to an employee in connection with the offer letter of employment in July 2011. The options vest over a four-year period beginning on the first day of employment, have an exercise price of $3.42 per share based on the date of grant, and expire 10 years from the grant date. | |||||||||||||||||
In March 2013, we granted 843,600 stock options to certain officers and other employees. The options vest over a four-year period, have an exercise price of $3.92 per share, and expire 10 years from the grant date. | |||||||||||||||||
During the third quarter of 2013, we granted 120,652 stock options to the non-employee members of our Board of Directors in accordance with the annual compensation terms approved by the Compensation Committee of the Board of Directors. The options fully vest in June 2014, have an exercise price of $5.43 per share, and expire 10 years from the grant date. |
Note_8_Income_Taxes
Note 8 - Income Taxes | 9 Months Ended |
Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Income Tax Disclosure [Text Block] | ' |
Note 8 — Income Taxes | |
The effective income tax rate for the nine months ended September 30, 2013 and 2012 was an expense of (2.7%) and a benefit of 4.0%, respectively. The tax expense for the nine months ended September 30, 2013 primarily relates to the accretion of the deferred tax liability for the timing difference regarding the tax basis of goodwill recognized during the period and the truing up of tax refunds receivable following the net operating loss and general business credit carrybacks to prior tax years. The net loss for the nine months ended September 30, 2013 did not yield an income tax benefit as we continue to provide a full valuation allowance on our deferred tax assets. The tax benefit recognized for the nine months ended September 30, 2012 primarily related to the recognition of state tax refunds from prior-year returns. |
Note_9_Commitments_and_Conting
Note 9 - Commitments and Contingencies | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||||||||||
Commitments and Contingencies Disclosure [Text Block] | ' | ||||||||||||||||
Note 9 — Commitments and Contingencies | |||||||||||||||||
Operating Lease Obligations | |||||||||||||||||
We lease facilities under fixed non-cancellable operating leases that expire on various dates through November 2019. | |||||||||||||||||
Future minimum lease payments consist of the following (in thousands): | |||||||||||||||||
September 30, | |||||||||||||||||
2013 | |||||||||||||||||
2013 (remaining three months) | $ | 394 | |||||||||||||||
2014 | 1,627 | ||||||||||||||||
2015 | 1,544 | ||||||||||||||||
2016 | 1,581 | ||||||||||||||||
2017 | 1,569 | ||||||||||||||||
Thereafter | 2,924 | ||||||||||||||||
Total future minimum lease payments | $ | 9,639 | |||||||||||||||
Product Warranty | |||||||||||||||||
The following table summarizes the activity related to the product warranty liability during the three and nine months ended September 30, 2013 and 2012 (in thousands): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Balance, beginning of period | $ | 1,027 | $ | 943 | $ | 1,172 | $ | 852 | |||||||||
Warranty costs charged to cost of revenue | 39 | 109 | 177 | 283 | |||||||||||||
Change in estimate | — | — | (132 | ) | — | ||||||||||||
Utilization of warranty | (30 | ) | (34 | ) | (181 | ) | (117 | ) | |||||||||
Balance, end of period | $ | 1,036 | $ | 1,018 | $ | 1,036 | $ | 1,018 | |||||||||
Based on management’s analysis of warranty liability experience, we recorded a change in estimate of our warranty reserve of $132,000 during the second quarter of 2013. | |||||||||||||||||
Purchase Obligations | |||||||||||||||||
We enter into purchase order arrangements with our vendors. As of September 30, 2013, there are open purchase orders for which we have not yet received the related goods or services. These arrangements are subject to change based on our sales demand forecasts, and we have the right to cancel the arrangements prior to the date of delivery. As of September 30, 2013, we had approximately $3.0 million of cancellable open purchase order arrangements related primarily to materials and parts. | |||||||||||||||||
Guarantees | |||||||||||||||||
We enter into indemnification provisions under our agreements with other companies in the ordinary course of business, typically with customers. Under these provisions, we generally indemnify and hold harmless the indemnified party for losses suffered or incurred by the indemnified party as a result of our activities, generally limited to personal injury and property damage caused by our employees at a customer’s desalination plant in proportion to the employee’s percentage of fault for the accident. Damages incurred for these indemnifications would be covered by our general liability insurance to the extent provided by the policy limitations. We have not incurred material costs to defend lawsuits or settle claims related to these indemnification agreements. As a result, the estimated fair value of these agreements is not material. Accordingly, we have no liabilities recorded for these agreements as of September 30, 2013 and December 31, 2012. | |||||||||||||||||
In certain cases, we issue warranty and product performance guarantees to our customers for amounts ranging from 10% to 20%, and in some cases up to 30%, of the total sales agreement to endorse the execution of product delivery and the warranty of design work, fabrication, and operating performance. These guarantees, generally in the form of stand-by letters of credit or bank guarantees secured by stand-by letters of credit, typically remain in place for periods ranging from 12 to 36 months and, in some cases up to 65 months, and relate to the underlying product warranty period. The stand-by letters of credit are collateralized by restricted cash and our credit facility. Of the $4.7 million in outstanding stand-by letters of credit at September 30, 2013, $4.0 million was issued under the 2009 Agreement and $0.7 million was issued under the 2012 Agreement. The stand-by letters of credit outstanding at September 30, 2013 were collateralized by restricted cash of $4.7 million. | |||||||||||||||||
Litigation | |||||||||||||||||
Note 9 – Commitments and Contingencies, under the caption “Litigation” of our Annual Report on Form 10-K filed with the SEC on March 12, 2013, provides information on certain litigation in which we are involved. Unfavorable rulings, judgments, or settlement terms regarding these litigation matters could have a material adverse impact on our business, financial condition, results of operations, and cash flows. Although none of the litigation matters can be quantified with absolute certainty, we have established accruals covering exposure and relating to contingencies to the extent that they are reasonably estimable and probable based on available facts. Except for the updates below, there have been no material developments to these matters; therefore, we have made no changes to our accruals in the first nine months of 2013. | |||||||||||||||||
On September 4, 2013, the parties in Radakovich v. Energy Recovery, Inc., Case No. 2:11-cv-13443 in the United States District Court for the Eastern District of Michigan, presented oral arguments on their respective motions for summary judgment. To date, the court has not ruled on the motions. | |||||||||||||||||
On October 7, 2013, the evidentiary proceedings concluded in the matter of Morgan Technical Ceramics Auburn Inc. v. Energy Recovery, Inc., Case No. RG11-608399. The court has not yet made any findings of fact. | |||||||||||||||||
In addition to the above litigation matters, we are a defendant in a lawsuit filed by one of our competitors on October 4, 2013, entitled “Fluid Equipment Development Co., LLC, d/b/a FEDCO of Michigan v. Energy Recovery, Inc.” in the U.S. District Court for the Eastern district of Michigan (Southern Division). The complaint alleges false advertising under federal and Michigan state statutes based on claims made by us related to certain of our products. Plaintiffs seek injunctive relief and as of yet, unspecified damages, attorney’s fees, and litigation costs. We intend to defend this case vigorously and believe that we have meritorious defenses against the suit, although we cannot guarantee that we will ultimately prevail. |
Note_10_Business_Segment_and_G
Note 10 - Business Segment and Geographic Information | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Reporting Disclosure [Text Block] | ' | ||||||||||||||||
Note 10 — Business Segment and Geographic Information | |||||||||||||||||
We manufacture and sell high-efficiency energy recovery devices and pumps as well as related services under one reportable segment. Our chief operating decision-maker is the chief executive officer (“CEO”). The CEO reviews financial information presented on a consolidated basis for purposes of making operating decisions and assessing financial performance. Accordingly, we have concluded that we have one reportable segment. | |||||||||||||||||
The following geographic information includes net revenue to our domestic and international customers based on the customers’ requested delivery locations, except for certain cases in which the customer directed us to deliver our products to a location that differs from the known ultimate location of use. In such cases, the ultimate location of use, rather than the delivery location, is reflected in the table below (in thousands, except percentages): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Domestic revenue | $ | 778 | $ | 1,266 | $ | 2,541 | $ | 3,054 | |||||||||
International revenue | 4,090 | 9,232 | 17,269 | 24,496 | |||||||||||||
Total revenue | $ | 4,868 | $ | 10,498 | $ | 19,810 | $ | 27,550 | |||||||||
Revenue by country: | |||||||||||||||||
United States | 16 | % | 12 | % | 13 | % | 11 | % | |||||||||
India | 2 | * | 11 | * | |||||||||||||
China | 17 | 4 | 9 | 6 | |||||||||||||
South Korea | 16 | 1 | 5 | 2 | |||||||||||||
Turkey | 13 | * | 3 | * | |||||||||||||
Israel | * | 49 | * | 25 | |||||||||||||
Australia | * | 4 | * | 16 | |||||||||||||
Others ** | 36 | 30 | 59 | 40 | |||||||||||||
Total | 100 | % | 100 | % | 100 | % | 100 | % | |||||||||
* Less than 1% | |||||||||||||||||
** Includes remaining countries not separately disclosed. | |||||||||||||||||
No country in this line item accounted for more than 10% of our net revenue during the periods presented. | |||||||||||||||||
Substantially all of our long-lived assets were located in the United States at September 30, 2013 and December 31, 2012. |
Note_11_Concentrations
Note 11 - Concentrations | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Risks and Uncertainties [Abstract] | ' | ||||||||||||||||
Concentration Risk Disclosure [Text Block] | ' | ||||||||||||||||
Note 11 — Concentrations | |||||||||||||||||
Customers accounting for 10% or more of our accounts receivable and unbilled receivables were as follows: | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
I.V.M. Minrav Sadyt | 14 | % | 26 | % | |||||||||||||
(a consortium of Minrav Holdings, Ltd and Sadyt, a Valoriza Agua company) | |||||||||||||||||
IDE Technologies LTD | 12 | % | * | ||||||||||||||
UTE Abeima Teyma Nungua (a joint venture of Abeinsa Infraestructuras Medio Ambiente, S.A. y Teyma Gestiόn de Contratos de Construcciόn e Inguenierίa, S.A., Uniόn Temporal de Empresas, Ley 18/1982, Nungua) | 11 | % | * | ||||||||||||||
Via Maris Desalination | * | 13 | % | ||||||||||||||
(a Global Environmental Solutions (GES) company) | |||||||||||||||||
* Less than 10%. | |||||||||||||||||
Revenue from customers representing 10% or more of net revenue varies from period to period. Customers representing 10% or more of net revenue for the periods indicated were: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
UNI E&T Co Ltd. | 17 | % | * | * | * | ||||||||||||
Qingdao FTZ Gem–In International | 16 | % | * | * | * | ||||||||||||
Hyflux Ltd. | 10 | % | * | * | * | ||||||||||||
I.V.M. Minrav Sadyt | * | 38 | % | * | 17 | % | |||||||||||
(a consortium of Minrav Holdings, Ltd and Sadyt, a Valoriza Agua company) | |||||||||||||||||
Via Maris Desalination | * | 10 | % | * | * | ||||||||||||
(a Global Environmental Solutions (GES) company) | |||||||||||||||||
Southern Seawater JV (a joint venture of Tecnicas Reunidas Australia Pty Ltd, Valoriza Water Australia Pty Ltd, A.J. Lucas Operations Pty ltd, and Worley Parsons Services Pty Ltd) | * | * | * | 13 | % | ||||||||||||
* Less than 10%. | |||||||||||||||||
No other customer accounted for more than 10% of our net revenue during any of these periods. |
Note_12_Fair_Value_Measurement
Note 12 - Fair Value Measurements | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Disclosures [Text Block] | ' | ||||||||||||||||
Note 12 — Fair Value Measurements | |||||||||||||||||
The authoritative guidance for measuring fair value prioritizes the inputs used into the following hierarchy: | |||||||||||||||||
Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities; | |||||||||||||||||
Level 2 — Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable; and | |||||||||||||||||
Level 3 — Unobservable inputs in which little or no market activity exists, therefore requiring an entity to develop its own assumptions that market participants would use in pricing. | |||||||||||||||||
The carrying values of cash and cash equivalents, restricted cash, accounts receivable, unbilled receivables, accounts payable, and other accrued expenses approximate fair value due to the short-term maturity of those instruments. For our investments in available-for-sale securities, if quoted prices in active markets for identical investments are not available to determine fair value (Level 1), then we use quoted prices for similar assets or inputs other than quoted prices that are observable either directly or indirectly (Level 2). The investments included in Level 2 consist primarily of certificates of deposits; commercial paper; and municipal, corporate, and agency obligations. The carrying amount of the contingent consideration arising from our acquisition of Pump Engineering, LLC is measured at fair value on a recurring basis using unobservable inputs in which little or no market activity exists (Level 3). The estimated fair value of the contingent consideration is determined based entirely on management’s assessment of the weighted probability of payment under various scenarios. | |||||||||||||||||
The fair value of financial assets and liabilities measured on a recurring basis for the indicated periods was as follows (in thousands): | |||||||||||||||||
September 30, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2013 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 5,997 | $ | — | $ | 5,997 | $ | — | |||||||||
Long-term available-for-sale securities | 13,078 | — | 13,078 | — | |||||||||||||
Total assets | $ | 19,075 | $ | — | $ | 19,075 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Contingent consideration* | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
Total liabilities | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2012 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 9,497 | $ | — | $ | 9,497 | $ | — | |||||||||
Long-term available-for-sale securities | 4,773 | — | 4,773 | — | |||||||||||||
Total assets | $ | 14,270 | $ | — | $ | 14,270 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Contingent consideration* | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
Total liabilities | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
*Included in Accrued Expenses and Other Current Liabilities and Other Non-Current Liabilities. | |||||||||||||||||
The reconciliation of the beginning and ending balances for assets and liabilities measured on a recurring basis using significant unobservable inputs (Level 3) for the period ended September 30, 2013 was as follows (in thousands): | |||||||||||||||||
Contingent | |||||||||||||||||
Consideration | |||||||||||||||||
Balance, December 31, 2012 | $ | 1,524 | |||||||||||||||
Change in value | — | ||||||||||||||||
Balance, September 30, 2013 | $ | 1,524 | |||||||||||||||
As of December 31, 2012, we had assets held for sale of $1.3 million related to our Michigan manufacturing facility. The assets included a building and land that was classified as held for sale at December 31, 2011 in connection with our restructuring plan to consolidate our North American operations and transfer all manufacturing operations to San Leandro, California. The fair value of these assets was determined based on Level 2 inputs, primarily sales data for similar properties in the area. | |||||||||||||||||
The assets were sold in September 2013. Net proceeds from the sale totaled $1.2 million, resulting in a loss on sale of $140,000. As the assets were part of the restructuring plan, the loss on sale was reported in the Condensed Consolidated Statement of Operations as a restructuring charge in the third quarter of 2013. Additional changes related to this asset during the nine months ended September 30, 2013 included an impairment loss of $44,000 prior to the sale during the second quarter of 2013. | |||||||||||||||||
The fair value of assets held for sale, measured on a non-recurring basis at December 31, 2012, was as follows (in thousands): | |||||||||||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2012 | Inputs | Inputs | Inputs | ||||||||||||||
Assets held for sale | $ | 1,345 | $ | — | $ | 1,345 | $ | — | |||||||||
Accounting_Policies_by_Policy_
Accounting Policies, by Policy (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Use of Estimates, Policy [Policy Text Block] | ' |
Use of Estimates | |
The preparation of condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires our management to make judgments, assumptions, and estimates that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Our most significant estimates and judgments involve the determination of revenue recognition; allowance for doubtful accounts; allowance for product warranty; valuation of stock options; valuation and impairment of goodwill, long-lived assets, and acquired intangible assets; valuation of fair value of assets held for sale; useful lives for depreciation and amortization; valuation adjustments for excess and obsolete inventory; deferred taxes and valuation allowances on deferred tax assets; and evaluation and measurement of contingencies, including contingent consideration. Actual results could differ materially from those estimates. | |
Basis of Accounting, Policy [Policy Text Block] | ' |
Basis of Presentation | |
The condensed consolidated financial statements include the accounts of Energy Recovery, Inc. and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. | |
The accompanying condensed consolidated financial statements have been prepared by us, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The December 31, 2012 condensed consolidated balance sheet was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP; however, we believe that the disclosures are adequate to make the information presented not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto for the fiscal year ended December 31, 2012 included in our Annual Report on Form 10-K filed with the SEC on March 12, 2013. | |
In the opinion of management, all adjustments, consisting of only normal recurring adjustments that are necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, have been made. The results of operations for the interim periods are not necessarily indicative of the operating results for the full fiscal year or any future periods. | |
New Accounting Pronouncements, Policy [Policy Text Block] | ' |
Recent Accounting Pronouncements | |
In July 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. The amendment requires that an unrecognized tax benefit be presented in financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. If an applicable deferred tax asset is not available or a company does not expect to use the applicable deferred tax asset, the unrecognized tax benefit should be presented as a liability in the financial statements and should not be combined with an unrelated deferred tax asset. The amendment is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The amendments should be applied prospectively to all unrecognized tax benefits that exist at the effective date; however, retrospective application is permitted. Adoption of this guidance is not expected to have a significant impact on our financial statements. | |
In April 2013, the FASB issued ASU No. 2013-07, Liquidation Basis Accounting. The amendment requires (1) an entity to prepare its financial statements using the liquidation basis of accounting when liquidation is imminent; (2) that financial statements prepared using the liquidation basis of accounting present relevant information about an entity’s expected resources in liquidation by measuring and presenting assets at the amount of the expected cash proceeds from liquidation; and (3) disclosures about an entity’s plan for liquidation, the methods and significant assumptions used to measure assets and liabilities, the type and amount of costs and income accrued, and the expected duration of the liquidation process. This update is effective prospectively for entities that determine liquidation is imminent during the annual reporting periods beginning after December 15, 2013 and interim reporting periods therein. Adoption of this guidance is not expected to have an impact on our financial statements absent any indication that liquidation is imminent. | |
In March 2013, the FASB issued ASU No. 2013-05, Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity. The amendment is to resolve the diversity in practice of which subtopic applies to the release of the cumulative translation adjustment into net income when a parent company either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or business (other than a sale of in substance real estate or conveyance of oil and gas mineral rights) within a foreign entity. This update is effective prospectively for reporting periods after December 15, 2013. Adoption of this guidance is not expected to have a material impact on our financial statements. | |
In February 2013, the FASB issued ASU No. 2013-04, Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation is Fixed at the Reporting Date. The standard provides guidance on the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this update is fixed at the reporting date, except for obligations addressed within existing guidance in U.S. GAAP. This update is effective for reporting periods after December 15, 2013. Adoption of this guidance is not expected to have a material impact on our financial statements. | |
Also in February 2013, the FASB issued ASU No. 2013-02, Reporting Amounts Reclassified Out of Accumulated Other Comprehensive Income. The standard requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component and present significant amounts reclassified by the respective line items of net income, but only if the reclassified amount is required to be reclassified by U.S. GAAP. Amounts not required to be reclassified by U.S. GAAP must be cross-referenced to other disclosures required by U.S. GAAP that provide additional detail about those amounts. This update is effective prospectively for reporting periods after December 15, 2012, with early adoption permitted. Adoption of this guidance required additional disclosure, but did not have a material impact on our financial statements. | |
In January 2013, the FASB issued ASU No. 2013-01, Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities. The update was issued to address implementation issues about the scope of ASU 2011-11, Disclosures about Offsetting Assets and Liabilities. The amendment affects entities that have derivatives, including bifurcated embedded derivatives, repurchase agreements, reverse repurchase agreements, securities borrowing, and securities lending transactions that are either offset or subject to an enforceable master netting arrangement or similar agreement. Entities with other types of financial assets and liabilities subject to a master netting arrangement or similar agreement are also affected because this amendment makes them no longer subject to the disclosure requirements of ASU No. 2011-11. This amendment is applicable for periods beginning on or after January 1, 2013. Adoption of this guidance did not have a material impact on our financial statements. | |
In July 2012, the FASB issued ASU No. 2012-02, Intangibles-Goodwill and Other, Testing Indefinite-Lived Assets for Impairment. The standard provides entities an option to perform a qualitative assessment to determine whether the existence of events and circumstances indicate that it is more likely than not that the indefinite-lived intangible asset is impaired. If an entity concludes, as a result of its qualitative assessment, that it is more likely than not that the fair value of the indefinite-lived intangible asset is less than its carrying amount, then the quantitative impairment test is required. Otherwise, no further testing is required. This standard is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012, with early adoption permitted. Adoption of this guidance did not have a material impact on our financial statements. |
Note_2_Goodwill_and_Other_Inta1
Note 2 - Goodwill and Other Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of Finite-Lived Intangible Assets [Table Text Block] | ' | ||||||||||||||||
30-Sep-13 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (2,338 | ) | $ | — | $ | 3,762 | ||||||||
Non-compete agreements | 1,310 | (1,131 | ) | — | 179 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (891 | ) | — | 99 | ||||||||||||
Patents | 585 | (345 | ) | (42 | ) | 198 | |||||||||||
Total | $ | 11,485 | $ | (6,185 | ) | $ | (1,062 | ) | $ | 4,238 | |||||||
31-Dec-12 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (1,881 | ) | $ | — | $ | 4,219 | ||||||||
Non-compete agreements | 1,310 | (1,015 | ) | — | 295 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (792 | ) | — | 198 | ||||||||||||
Patents | 585 | (326 | ) | (42 | ) | 217 | |||||||||||
Total | $ | 11,485 | $ | (5,494 | ) | $ | (1,062 | ) | $ | 4,929 |
Note_3_Loss_Per_Share_Tables
Note 3 - Loss Per Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | ' | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Numerator: | |||||||||||||||||
Net loss | $ | (3,866 | ) | $ | (1,826 | ) | $ | (9,833 | ) | $ | (6,070 | ) | |||||
Denominator: | |||||||||||||||||
Basic and diluted weighted average common shares outstanding | 51,052 | 50,872 | 51,020 | 51,638 | |||||||||||||
Basic and diluted loss per share | $ | (0.08 | ) | $ | (0.04 | ) | $ | (0.19 | ) | $ | (0.12 | ) | |||||
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | ' | ||||||||||||||||
Three and Nine Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Stock options | 7,303 | 6,595 | |||||||||||||||
Warrants | 900 | 970 | |||||||||||||||
Restricted awards* | — | 5 |
Note_4_Other_Financial_Informa1
Note 4 - Other Financial Information (Tables) | 9 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Disclosure Text Block Supplement [Abstract] | ' | ||||||||||||
Schedule of Restricted Cash and Cash Equivalents [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Contingent and other consideration for acquisition | $ | 2,504 | $ | 2,504 | |||||||||
Collateral for stand-by letters of credit | 1,814 | 2,416 | |||||||||||
Collateral for credit cards | 315 | 315 | |||||||||||
Current restricted cash | $ | 4,633 | $ | 5,235 | |||||||||
Contingent and other consideration for acquisition | $ | 1,000 | $ | 1,000 | |||||||||
Collateral for stand-by letters of credit | 2,900 | 3,366 | |||||||||||
Non-current restricted cash | $ | 3,900 | $ | 4,366 | |||||||||
Total restricted cash | $ | 8,533 | $ | 9,601 | |||||||||
Schedule of Inventory, Current [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Raw materials | $ | 3,119 | $ | 3,406 | |||||||||
Work in process | 1,782 | 1,489 | |||||||||||
Finished goods | 4,059 | 240 | |||||||||||
Inventories | $ | 8,960 | $ | 5,135 | |||||||||
Schedule of Other Current Assets [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Prepaid income taxes and carryback tax refund | $ | — | $ | 3,221 | |||||||||
Interest receivable | 136 | 140 | |||||||||||
Supplier advances | 142 | 222 | |||||||||||
Other prepaid expenses and current assets | 1,035 | 662 | |||||||||||
Accrued expenses and other current liabilities | $ | 1,313 | $ | 4,245 | |||||||||
Schedule of Accrued Liabilities [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2013 | 2012 | ||||||||||||
Payroll and commissions payable | $ | 3,044 | $ | 4,687 | |||||||||
Contingent consideration (current portion) and legal expenses | 1,556 | 1,506 | |||||||||||
Professional fees | 518 | 455 | |||||||||||
Other accrued expenses and current liabilities | 983 | 1,907 | |||||||||||
Accrued expenses and other current liabilities | $ | 6,101 | $ | 8,555 | |||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | ' | ||||||||||||
Foreign | Unrealized | Total Accumulated | |||||||||||
Currency | Gains (Losses) | Other | |||||||||||
Translation | on | Comprehensive | |||||||||||
Adjustments | Investments | Loss | |||||||||||
Balance, December 31, 2012 | $ | (94 | ) | $ | 15 | $ | (79 | ) | |||||
Net other comprehensive loss | (8 | ) | (20 | ) | (28 | ) | |||||||
Balance, September 30, 2013 | $ | (102 | ) | $ | (5 | ) | $ | (107 | ) |
Note_5_Investments_Tables
Note 5 - Investments (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Table Text Block [Abstract] | ' | ||||||||||||||||
Available-for-sale Securities [Table Text Block] | ' | ||||||||||||||||
Amortized Cost | Gross Unrealized Holding Gains | Gross Unrealized Holding Losses | Fair Value | ||||||||||||||
Certificates of deposit | $ | 250 | $ | — | $ | — | $ | 250 | |||||||||
State and local government obligations | 2,980 | 2 | (1 | ) | 2,981 | ||||||||||||
Corporate notes and bonds | 2,760 | 6 | — | 2,766 | |||||||||||||
Short-term investments | $ | 5,990 | $ | 8 | $ | (1 | ) | $ | 5,997 | ||||||||
State and local government obligations | 697 | 2 | — | 699 | |||||||||||||
Corporate notes and bonds | 12,393 | 7 | (21 | ) | 12,379 | ||||||||||||
Long-term investments | $ | 13,090 | $ | 9 | $ | (21 | ) | $ | 13,078 | ||||||||
Total available-for-sale securities | $ | 19,080 | $ | 17 | $ | (22 | ) | $ | 19,075 | ||||||||
Amortized Cost | Gross Unrealized Holding Gains | Gross Unrealized Holding Losses | Fair Value | ||||||||||||||
Certificates of deposit | $ | 250 | $ | — | $ | — | $ | 250 | |||||||||
State and local government obligations | 2,444 | 3 | (1 | ) | 2,446 | ||||||||||||
Corporate notes and bonds | 6,799 | 3 | (1 | ) | 6,801 | ||||||||||||
Short-term investments | $ | 9,493 | $ | 6 | $ | (2 | ) | $ | 9,497 | ||||||||
State and local government obligations | 1,381 | 6 | (2 | ) | 1,385 | ||||||||||||
Corporate notes and bonds | 3,381 | 13 | (6 | ) | 3,388 | ||||||||||||
Long-term investments | $ | 4,762 | $ | 19 | $ | (8 | ) | $ | 4,773 | ||||||||
Total available-for-sale securities | $ | 14,255 | $ | 25 | $ | (10 | ) | $ | 14,270 | ||||||||
Schedule of Available-for-sale Securities Reconciliation [Table Text Block] | ' | ||||||||||||||||
30-Sep-13 | |||||||||||||||||
Amortized Cost | Fair Value | ||||||||||||||||
Due in one year or less | $ | 1,576 | $ | 1,576 | |||||||||||||
Due after one year through three years | 17,504 | 17,499 | |||||||||||||||
Total available-for-sale securities | $ | 19,080 | $ | 19,075 |
Note_7_Equity_Tables
Note 7 - Equity (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Disclosure Text Block Supplement [Abstract] | ' | ||||||||||||||||
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | ' | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Cost of revenue | $ | 18 | $ | 25 | $ | 57 | $ | 90 | |||||||||
General and administrative | 339 | 440 | 1,153 | 1,464 | |||||||||||||
Sales and marketing | 123 | 94 | 358 | 434 | |||||||||||||
Research and development | 50 | 30 | 149 | 109 | |||||||||||||
Total share-based compensation expense | $ | 530 | $ | 589 | $ | 1,717 | $ | 2,097 |
Note_9_Commitments_and_Conting1
Note 9 - Commitments and Contingencies (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||||||||||
Operating Leases of Lessee Disclosure [Table Text Block] | ' | ||||||||||||||||
September 30, | |||||||||||||||||
2013 | |||||||||||||||||
2013 (remaining three months) | $ | 394 | |||||||||||||||
2014 | 1,627 | ||||||||||||||||
2015 | 1,544 | ||||||||||||||||
2016 | 1,581 | ||||||||||||||||
2017 | 1,569 | ||||||||||||||||
Thereafter | 2,924 | ||||||||||||||||
Total future minimum lease payments | $ | 9,639 | |||||||||||||||
Schedule of Product Warranty Liability [Table Text Block] | ' | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Balance, beginning of period | $ | 1,027 | $ | 943 | $ | 1,172 | $ | 852 | |||||||||
Warranty costs charged to cost of revenue | 39 | 109 | 177 | 283 | |||||||||||||
Change in estimate | — | — | (132 | ) | — | ||||||||||||
Utilization of warranty | (30 | ) | (34 | ) | (181 | ) | (117 | ) | |||||||||
Balance, end of period | $ | 1,036 | $ | 1,018 | $ | 1,036 | $ | 1,018 |
Note_10_Business_Segment_and_G1
Note 10 - Business Segment and Geographic Information (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block] | ' | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Domestic revenue | $ | 778 | $ | 1,266 | $ | 2,541 | $ | 3,054 | |||||||||
International revenue | 4,090 | 9,232 | 17,269 | 24,496 | |||||||||||||
Total revenue | $ | 4,868 | $ | 10,498 | $ | 19,810 | $ | 27,550 | |||||||||
Revenue by country: | |||||||||||||||||
United States | 16 | % | 12 | % | 13 | % | 11 | % | |||||||||
India | 2 | * | 11 | * | |||||||||||||
China | 17 | 4 | 9 | 6 | |||||||||||||
South Korea | 16 | 1 | 5 | 2 | |||||||||||||
Turkey | 13 | * | 3 | * | |||||||||||||
Israel | * | 49 | * | 25 | |||||||||||||
Australia | * | 4 | * | 16 | |||||||||||||
Others ** | 36 | 30 | 59 | 40 | |||||||||||||
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Note_11_Concentrations_Tables
Note 11 - Concentrations (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Note 11 - Concentrations (Tables) [Line Items] | ' | ||||||||||||||||
Major Customers, Policy [Policy Text Block] | ' | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
UNI E&T Co Ltd. | 17 | % | * | * | * | ||||||||||||
Qingdao FTZ Gem–In International | 16 | % | * | * | * | ||||||||||||
Hyflux Ltd. | 10 | % | * | * | * | ||||||||||||
I.V.M. Minrav Sadyt | * | 38 | % | * | 17 | % | |||||||||||
(a consortium of Minrav Holdings, Ltd and Sadyt, a Valoriza Agua company) | |||||||||||||||||
Via Maris Desalination | * | 10 | % | * | * | ||||||||||||
(a Global Environmental Solutions (GES) company) | |||||||||||||||||
Southern Seawater JV (a joint venture of Tecnicas Reunidas Australia Pty Ltd, Valoriza Water Australia Pty Ltd, A.J. Lucas Operations Pty ltd, and Worley Parsons Services Pty Ltd) | * | * | * | 13 | % | ||||||||||||
Accounts Receivable [Member] | ' | ||||||||||||||||
Note 11 - Concentrations (Tables) [Line Items] | ' | ||||||||||||||||
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | ' | ||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2013 | 2012 | ||||||||||||||||
I.V.M. Minrav Sadyt | 14 | % | 26 | % | |||||||||||||
(a consortium of Minrav Holdings, Ltd and Sadyt, a Valoriza Agua company) | |||||||||||||||||
IDE Technologies LTD | 12 | % | * | ||||||||||||||
UTE Abeima Teyma Nungua (a joint venture of Abeinsa Infraestructuras Medio Ambiente, S.A. y Teyma Gestiόn de Contratos de Construcciόn e Inguenierίa, S.A., Uniόn Temporal de Empresas, Ley 18/1982, Nungua) | 11 | % | * | ||||||||||||||
Via Maris Desalination | * | 13 | % | ||||||||||||||
(a Global Environmental Solutions (GES) company) |
Note_12_Fair_Value_Measurement1
Note 12 - Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | ' | ||||||||||||||||
September 30, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2013 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 5,997 | $ | — | $ | 5,997 | $ | — | |||||||||
Long-term available-for-sale securities | 13,078 | — | 13,078 | — | |||||||||||||
Total assets | $ | 19,075 | $ | — | $ | 19,075 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Contingent consideration* | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
Total liabilities | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2012 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 9,497 | $ | — | $ | 9,497 | $ | — | |||||||||
Long-term available-for-sale securities | 4,773 | — | 4,773 | — | |||||||||||||
Total assets | $ | 14,270 | $ | — | $ | 14,270 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Contingent consideration* | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
Total liabilities | $ | 1,524 | $ | — | $ | — | $ | 1,524 | |||||||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | ' | ||||||||||||||||
Contingent | |||||||||||||||||
Consideration | |||||||||||||||||
Balance, December 31, 2012 | $ | 1,524 | |||||||||||||||
Change in value | — | ||||||||||||||||
Balance, September 30, 2013 | $ | 1,524 | |||||||||||||||
Fair Value Measurements, Nonrecurring [Table Text Block] | ' | ||||||||||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2012 | Inputs | Inputs | Inputs | ||||||||||||||
Assets held for sale | $ | 1,345 | $ | — | $ | 1,345 | $ | — |
Note_2_Goodwill_and_Other_Inta2
Note 2 - Goodwill and Other Intangible Assets (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2012 | Sep. 30, 2013 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' |
Goodwill | $12,790,000 | $12,790,000 |
Impairment of Intangible Assets, Finite-lived | $1,000,000 | ' |
Note_2_Goodwill_and_Other_Inta3
Note 2 - Goodwill and Other Intangible Assets (Details) - Identifiable Intangible Assets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | $11,485 | $11,485 |
Accumulated Amortization | -6,185 | -5,494 |
Accumulated Impairment Losses | -1,062 | -1,062 |
Net Carrying Amount | 4,238 | 4,929 |
Developed Technology Rights [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 6,100 | 6,100 |
Accumulated Amortization | -2,338 | -1,881 |
Net Carrying Amount | 3,762 | 4,219 |
Noncompete Agreements [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 1,310 | 1,310 |
Accumulated Amortization | -1,131 | -1,015 |
Net Carrying Amount | 179 | 295 |
Order or Production Backlog [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 1,300 | 1,300 |
Accumulated Amortization | -1,300 | -1,300 |
Trademarks [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 1,200 | 1,200 |
Accumulated Amortization | -180 | -180 |
Accumulated Impairment Losses | -1,020 | -1,020 |
Customer Relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 990 | 990 |
Accumulated Amortization | -891 | -792 |
Net Carrying Amount | 99 | 198 |
Patents [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 585 | 585 |
Accumulated Amortization | -345 | -326 |
Accumulated Impairment Losses | -42 | -42 |
Net Carrying Amount | $198 | $217 |
Note_3_Loss_Per_Share_Details_
Note 3 - Loss Per Share (Details) - Computation of Basic and Diluted Earnings Per Share (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Numerator: | ' | ' | ' | ' |
Net loss (in Dollars) | ($3,866) | ($1,826) | ($9,833) | ($6,070) |
Denominator: | ' | ' | ' | ' |
Basic and diluted weighted average common shares outstanding | 51,052 | 50,872 | 51,020 | 51,638 |
Basic and diluted loss per share (in Dollars per share) | ($0.08) | ($0.04) | ($0.19) | ($0.12) |
Note_3_Loss_Per_Share_Details_1
Note 3 - Loss Per Share (Details) - Antidilutive Securities Excluded from Computation of Diluted Earnings Per Share | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | ||
Equity Option [Member] | ' | ' | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ||
Antidilutive securities | 7,303 | 6,595 | ||
Warrant [Member] | ' | ' | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ||
Antidilutive securities | 900 | 970 | ||
Restricted Stock [Member] | ' | ' | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ||
Antidilutive securities | ' | [1] | 5 | [1] |
[1] | Includes restricted stock and restricted stock units. |
Note_4_Other_Financial_Informa2
Note 4 - Other Financial Information (Details) (USD $) | 9 Months Ended | ||
Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | |
Disclosure Text Block Supplement [Abstract] | ' | ' | ' |
Real Estate Held-for-sale | ' | $1,300,000 | $1,345,000 |
Proceeds from Sale of Property Held-for-sale | 1,161,000 | ' | ' |
Gain (Loss) on Sale of Properties | ($140,000) | ' | ' |
Note_4_Other_Financial_Informa3
Note 4 - Other Financial Information (Details) - Restricted Cash (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted cash, current | $4,633 | $5,235 |
Restricted cash, noncurrent | 3,900 | 4,366 |
Total restricted cash | 8,533 | 9,601 |
Contingent and Other Consideration for Acquisition [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted cash, current | 2,504 | 2,504 |
Restricted cash, noncurrent | 1,000 | 1,000 |
Collateral for Letters of Credit [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted cash, current | 1,814 | 2,416 |
Restricted cash, noncurrent | 2,900 | 3,366 |
Collateral for Credit Cards [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Restricted cash, current | $315 | $315 |
Note_4_Other_Financial_Informa4
Note 4 - Other Financial Information (Details) - Inventories (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Inventories [Abstract] | ' | ' |
Raw materials | $3,119 | $3,406 |
Work in process | 1,782 | 1,489 |
Finished goods | 4,059 | 240 |
Inventories | $8,960 | $5,135 |
Note_4_Other_Financial_Informa5
Note 4 - Other Financial Information (Details) - Prepaid Expenses and Other Current Assets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Prepaid Expenses and Other Current Assets [Abstract] | ' | ' |
Prepaid income taxes and carryback tax refund | $0 | $3,221 |
Interest receivable | 136 | 140 |
Supplier advances | 142 | 222 |
Other prepaid expenses and current assets | 1,035 | 662 |
Accrued expenses and other current liabilities | $1,313 | $4,245 |
Note_4_Other_Financial_Informa6
Note 4 - Other Financial Information (Details) - Accrued Expenses and Other Current Liabilities (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accrued Expenses and Other Current Liabilities [Abstract] | ' | ' |
Payroll and commissions payable | $3,044 | $4,687 |
Contingent consideration (current portion) and legal expenses | 1,556 | 1,506 |
Professional fees | 518 | 455 |
Other accrued expenses and current liabilities | 983 | 1,907 |
Accrued expenses and other current liabilities | $6,101 | $8,555 |
Note_4_Other_Financial_Informa7
Note 4 - Other Financial Information (Details) - Changes in Accumulated Other Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance | ' | ' | ($79) | ' |
Net other comprehensive loss | 5 | 8 | -28 | 47 |
Balance | -107 | ' | -107 | ' |
Accumulated Translation Adjustment [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance | ' | ' | -94 | ' |
Net other comprehensive loss | ' | ' | -8 | ' |
Balance | -102 | ' | -102 | ' |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Balance | ' | ' | 15 | ' |
Net other comprehensive loss | ' | ' | -20 | ' |
Balance | ($5) | ' | ($5) | ' |
Note_5_Investments_Details_Ava
Note 5 - Investments (Details) - Available-For-Sale Securities (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | $19,080 | $14,255 |
Gross Unrealized Holding Gains | 17 | 25 |
Gross Unrealized Holding Losses | -22 | -10 |
Fair Value | 19,075 | 14,270 |
Certificates of Deposit [Member] | Short-term Investments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 250 | 250 |
Gross Unrealized Holding Gains | 0 | 0 |
Gross Unrealized Holding Losses | 0 | 0 |
Fair Value | 250 | 250 |
State and Local Government Obligations [Member] | Short-term Investments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 2,980 | 2,444 |
Gross Unrealized Holding Gains | 2 | 3 |
Gross Unrealized Holding Losses | -1 | -1 |
Fair Value | 2,981 | 2,446 |
State and Local Government Obligations [Member] | Other Long-term Investments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 697 | 1,381 |
Gross Unrealized Holding Gains | 2 | 6 |
Gross Unrealized Holding Losses | 0 | -2 |
Fair Value | 699 | 1,385 |
Corporate Debt Securities [Member] | Short-term Investments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 2,760 | 6,799 |
Gross Unrealized Holding Gains | 6 | 3 |
Gross Unrealized Holding Losses | 0 | -1 |
Fair Value | 2,766 | 6,801 |
Corporate Debt Securities [Member] | Other Long-term Investments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 12,393 | 3,381 |
Gross Unrealized Holding Gains | 7 | 13 |
Gross Unrealized Holding Losses | -21 | -6 |
Fair Value | 12,379 | 3,388 |
Short-term Investments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 5,990 | 9,493 |
Gross Unrealized Holding Gains | 8 | 6 |
Gross Unrealized Holding Losses | -1 | -2 |
Fair Value | 5,997 | 9,497 |
Other Long-term Investments [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized Cost | 13,090 | 4,762 |
Gross Unrealized Holding Gains | 9 | 19 |
Gross Unrealized Holding Losses | -21 | -8 |
Fair Value | $13,078 | $4,773 |
Note_5_Investments_Details_Amo
Note 5 - Investments (Details) - Amortized Cost and Fair Value of Available-For-Sale Securities (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Amortized Cost and Fair Value of Available-For-Sale Securities [Abstract] | ' | ' |
Due in one year or less | $1,576 | ' |
Due in one year or less | 1,576 | ' |
Due after one year through three years | 17,504 | ' |
Due after one year through three years | 17,499 | ' |
Total available-for-sale securities | 19,080 | ' |
Total available-for-sale securities | $19,075 | $14,270 |
Note_6_Debt_Details
Note 6 - Debt (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Jun. 05, 2012 | Dec. 31, 2009 | Dec. 31, 2009 | Jun. 05, 2012 | Jun. 05, 2012 | Jun. 05, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2009 | Sep. 30, 2013 | Dec. 31, 2012 |
All Outstanding Advances and All Outstanding Letters of Credit [Member] | All Outstanding Letters of Credit [Member] | All Outstanding Advances [Member] | Prime Rate [Member] | London Interbank Offered Rate (LIBOR) [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | The 2009 Agreement [Member] | The 2009 Agreement [Member] | The 2009 Agreement [Member] | |||
The 2012 Agreement [Member] | The 2009 Agreement [Member] | The 2009 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | |||||||||
Note 6 - Debt (Details) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | $16,000,000 | ' | ' | $16,000,000 | ' | ' |
Line of Credit Facility, Capacity Available for Trade Purchases | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | ' | ' | 10,000,000 | ' | ' |
Debt Instrument, Basis Spread on Variable Rate | ' | ' | ' | ' | ' | 0.00% | 1.25% | ' | ' | ' | 1.38% | ' | ' |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | ' | ' | ' | ' | ' | ' | ' | 0.25% | ' | ' | ' | ' | ' |
Cash Collateral Balance Required by Credit Agreement | ' | ' | 101.00% | 101.00% | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of Credit Outstanding, Amount | 4,700,000 | ' | ' | ' | ' | ' | ' | ' | 700,000 | 1,400,000 | ' | 4,000,000 | 4,300,000 |
Restricted Cash and Cash Equivalents | 8,533,000 | 9,601,000 | ' | ' | ' | ' | ' | ' | 700,000 | ' | ' | ' | ' |
Line of Credit Facility, Capacity Available for Specific Purpose Other than for Trade Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,900,000 | ' | ' |
Restricted Cash and Cash Equivalents, Noncurrent | $3,900,000 | $4,366,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $4,000,000 | ' |
Note_7_Equity_Details
Note 7 - Equity (Details) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |
In Millions, except Share data, unless otherwise specified | Mar. 31, 2013 | Jan. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
Disclosure Text Block Supplement [Abstract] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized (in Dollars) | ' | ' | $3.40 | $3.40 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | ' | ' | ' | '2 years 146 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures (in Shares) | 843,600 | 100,000 | 120,652 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '4 years | '4 years | ' | ' |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price (in Dollars per share) | $3.92 | $3.42 | $5.43 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants In Period, Expiration Period | '10 years | '10 years | '10 years | ' |
Note_7_Equity_Details_Sharebas
Note 7 - Equity (Details) - Share-based Compensation Expense (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense | $530 | $589 | $1,717 | $2,097 |
Cost of Sales [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense | 18 | 25 | 57 | 90 |
General and Administrative Expense [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense | 339 | 440 | 1,153 | 1,464 |
Selling and Marketing Expense [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense | 123 | 94 | 358 | 434 |
Research and Development Expense [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Share-based compensation expense | $50 | $30 | $149 | $109 |
Note_8_Income_Taxes_Details
Note 8 - Income Taxes (Details) | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | |
Income Tax Disclosure [Abstract] | ' | ' |
Effective Income Tax Rate Reconciliation, Percent | 2.70% | 4.00% |
Note_9_Commitments_and_Conting2
Note 9 - Commitments and Contingencies (Details) (USD $) | 3 Months Ended | 9 Months Ended |
Jun. 30, 2013 | Sep. 30, 2013 | |
Note 9 - Commitments and Contingencies (Details) [Line Items] | ' | ' |
Standard Product Warranty Accrual, Preexisting, Increase (Decrease) | $132,000 | $132,000 |
Cancellable Open Purchase Order Arrangements | ' | 3,000,000 |
Letters of Credit Outstanding, Amount | ' | 4,700,000 |
Restricted Cash Used to Collateralize Irrevocable Standby Letters of Credit | ' | 4,700,000 |
The 2009 Agreement [Member] | ' | ' |
Note 9 - Commitments and Contingencies (Details) [Line Items] | ' | ' |
Letters of Credit Outstanding, Amount | ' | 4,000,000 |
The 2012 Agreement [Member] | ' | ' |
Note 9 - Commitments and Contingencies (Details) [Line Items] | ' | ' |
Letters of Credit Outstanding, Amount | ' | $700,000 |
Minimum [Member] | ' | ' |
Note 9 - Commitments and Contingencies (Details) [Line Items] | ' | ' |
Warranty and Product Performance Guarantees as Percentage of Total Sales Agreement | ' | 10.00% |
Warranty and Product Performance Guarantees Period | ' | '12 months |
Maximum [Member] | ' | ' |
Note 9 - Commitments and Contingencies (Details) [Line Items] | ' | ' |
Warranty and Product Performance Guarantees as Percentage of Total Sales Agreement | ' | 20.00% |
Warranty and Product Performance Guarantees Period | ' | '36 months |
Some Cases [Member] | ' | ' |
Note 9 - Commitments and Contingencies (Details) [Line Items] | ' | ' |
Warranty and Product Performance Guarantees as Percentage of Total Sales Agreement | ' | 30.00% |
Warranty and Product Performance Guarantees Period | ' | '65 months |
Note_9_Commitments_and_Conting3
Note 9 - Commitments and Contingencies (Details) - Operating Lease Obligations (USD $) | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |
Operating Lease Obligations [Abstract] | ' |
2013 (remaining three months) | $394 |
2014 | 1,627 |
2015 | 1,544 |
2016 | 1,581 |
2017 | 1,569 |
Thereafter | 2,924 |
Total future minimum lease payments | $9,639 |
Note_9_Commitments_and_Conting4
Note 9 - Commitments and Contingencies (Details) - Product Warranty Liability (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Product Warranty Liability [Abstract] | ' | ' | ' | ' | ' |
Balance, beginning of period | $1,027,000 | ' | $943,000 | $1,172,000 | $852,000 |
Warranty costs charged to cost of revenue | 39,000 | ' | 109,000 | 177,000 | 283,000 |
Change in estimate | ' | -132,000 | ' | -132,000 | ' |
Utilization of warranty | -30,000 | ' | -34,000 | -181,000 | -117,000 |
Balance, end of period | $1,036,000 | $1,027,000 | $1,018,000 | $1,036,000 | $1,018,000 |
Note_10_Business_Segment_and_G2
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Sales Revenue (in Dollars) | $4,868 | $10,498 | $19,810 | $27,550 | ||||
Percentage Revenue | 100.00% | 100.00% | 100.00% | 100.00% | ||||
Domestic [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Sales Revenue (in Dollars) | 778 | 1,266 | 2,541 | 3,054 | ||||
International [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Sales Revenue (in Dollars) | $4,090 | $9,232 | $17,269 | $24,496 | ||||
United States [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | 16.00% | 12.00% | 13.00% | 11.00% | ||||
India [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | 2.00% | ' | [1] | 11.00% | ' | [1] | ||
China [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | 17.00% | 4.00% | 9.00% | 6.00% | ||||
South Korea [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | 16.00% | 1.00% | 5.00% | 2.00% | ||||
Turkey [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | 13.00% | ' | [1] | 3.00% | ' | [1] | ||
Israel [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | ' | [1] | 49.00% | ' | [1] | 25.00% | ||
Austrailia [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | ' | [1] | 4.00% | ' | [1] | 16.00% | ||
Others [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage Revenue | 36.00% | [2] | 30.00% | [2] | 59.00% | [2] | 40.00% | [2] |
[1] | Less than 1% | |||||||
[2] | Includes remaining countries not separately disclosed. |
Note_11_Concentrations_Details
Note 11 - Concentrations (Details) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2013 | Sep. 30, 2013 | |
Other Customers [Member] | ' | ' |
Note 11 - Concentrations (Details) [Line Items] | ' | ' |
Number of Customers Accounted for 10% or More of Net Revenue | 0 | 0 |
Accounts Receivable [Member] | ' | ' |
Note 11 - Concentrations (Details) [Line Items] | ' | ' |
Concentration Risk Benchmark, Instant | 10.00% | 10.00% |
Sales Revenue, Goods, Net [Member] | ' | ' |
Note 11 - Concentrations (Details) [Line Items] | ' | ' |
Concentration Risk Benchmark | ' | 10.00% |
Note_11_Concentrations_Details1
Note 11 - Concentrations (Details) - Accounts Receivable Concentrations | Sep. 30, 2013 | Dec. 31, 2012 | ||
I.V.M. Minrav Sadyt [Member] | ' | ' | ||
Concentration Risk [Line Items] | ' | ' | ||
Accounts receivable concentration | 14.00% | 26.00% | ||
IDE Technologies LTD [Member] | ' | ' | ||
Concentration Risk [Line Items] | ' | ' | ||
Accounts receivable concentration | 12.00% | ' | [1] | |
UTE Abeima Teyma Nungua [Member] | ' | ' | ||
Concentration Risk [Line Items] | ' | ' | ||
Accounts receivable concentration | 11.00% | ' | [1] | |
Via Maris Desalination [Member] | ' | ' | ||
Concentration Risk [Line Items] | ' | ' | ||
Accounts receivable concentration | ' | [1] | 13.00% | |
[1] | Less than 10%. |
Note_11_Concentrations_Details2
Note 11 - Concentrations (Details) - Revenue Concentrations (Sales [Member]) | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |||||
UNI E&T Co Ltd. [Member] | ' | ' | ' | ' | ||||
Note 11 - Concentrations (Details) - Revenue Concentrations [Line Items] | ' | ' | ' | ' | ||||
Revenue | 17.00% | ' | [1] | ' | [1] | ' | [1] | |
Qingdao FTZ Gem–In International [Member] | ' | ' | ' | ' | ||||
Note 11 - Concentrations (Details) - Revenue Concentrations [Line Items] | ' | ' | ' | ' | ||||
Revenue | 16.00% | ' | [1] | ' | [1] | ' | [1] | |
Hyflux Ltd.[Member] | ' | ' | ' | ' | ||||
Note 11 - Concentrations (Details) - Revenue Concentrations [Line Items] | ' | ' | ' | ' | ||||
Revenue | 10.00% | ' | [1] | ' | [1] | ' | [1] | |
I.V.M. Minrav Sadyt [Member] | ' | ' | ' | ' | ||||
Note 11 - Concentrations (Details) - Revenue Concentrations [Line Items] | ' | ' | ' | ' | ||||
Revenue | ' | [1] | 38.00% | ' | [1] | 17.00% | ||
Via Maris Desalination [Member] | ' | ' | ' | ' | ||||
Note 11 - Concentrations (Details) - Revenue Concentrations [Line Items] | ' | ' | ' | ' | ||||
Revenue | ' | [1] | 10.00% | ' | [1] | ' | [1] | |
Southern Seawater JV [Member] | ' | ' | ' | ' | ||||
Note 11 - Concentrations (Details) - Revenue Concentrations [Line Items] | ' | ' | ' | ' | ||||
Revenue | ' | [1] | ' | [1] | ' | [1] | 13.00% | |
[1] | Less than 10%. |
Note_12_Fair_Value_Measurement2
Note 12 - Fair Value Measurements (Details) (USD $) | 9 Months Ended | ||
Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | |
Fair Value Disclosures [Abstract] | ' | ' | ' |
Real Estate Held-for-sale | ' | $1,300,000 | $1,345,000 |
Proceeds from Sale of Property Held-for-sale | 1,161,000 | ' | ' |
Gain (Loss) on Sale of Properties | -140,000 | ' | ' |
Impairment of Long-Lived Assets to be Disposed of | $44,000 | ' | ' |
Note_12_Fair_Value_Measurement3
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | $19,075 | $14,270 | ||
Total assets | 19,075 | 14,270 | ||
Contingent consideration | 1,524 | [1] | 1,524 | [1] |
Total liabilities | 1,524 | 1,524 | ||
Fair Value, Inputs, Level 1 [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Contingent consideration | ' | [1] | ' | [1] |
Fair Value, Inputs, Level 2 [Member] | Short-term Investments [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 5,997 | 9,497 | ||
Fair Value, Inputs, Level 2 [Member] | Other Long-term Investments [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 13,078 | 4,773 | ||
Fair Value, Inputs, Level 2 [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Total assets | 19,075 | 14,270 | ||
Contingent consideration | ' | [1] | ' | [1] |
Fair Value, Inputs, Level 3 [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Contingent consideration | 1,524 | [1] | 1,524 | [1] |
Total liabilities | 1,524 | 1,524 | ||
Short-term Investments [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 5,997 | 9,497 | ||
Other Long-term Investments [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | $13,078 | $4,773 | ||
[1] | Included in Accrued Expenses and Other Current Liabilities and Other Non-Current Liabilities. |
Note_12_Fair_Value_Measurement4
Note 12 - Fair Value Measurements (Details) - Reconciliation of Assets and Liabilities Measured on a Recurring Basis Using Significant Unobservable Inputs (Contingent Consideration [Member], USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 |
Contingent Consideration [Member] | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' |
Balance, December 31, 2012 | $1,524 |
Change in value | 0 |
Balance, September 30, 2013 | $1,524 |
Note_12_Fair_Value_Measurement5
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Non-recurring Basis (USD $) | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Non-recurring Basis [Line Items] | ' |
Assets held for sale | $1,345 |
Fair Value, Inputs, Level 2 [Member] | ' |
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Non-recurring Basis [Line Items] | ' |
Assets held for sale | $1,345 |