Document_And_Entity_Informatio
Document And Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Nov. 04, 2014 | |
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 | ' | 51,876,515 |
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 | 'Yes | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $17,423 | $14,371 |
Restricted cash | 3,357 | 4,311 |
Short-term investments | 13,751 | 5,856 |
Accounts receivable, net of allowance for doubtful accounts of $259 and $241 at September 30, 2014 and December 31, 2013, respectively | 3,997 | 15,222 |
Unbilled receivables | 941 | 5,442 |
Inventories | 10,227 | 4,955 |
Deferred tax assets, net | 698 | 698 |
Prepaid expenses and other current assets | 2,107 | 1,018 |
Total current assets | 52,501 | 51,873 |
Restricted cash, non-current | 2,084 | 4,468 |
Unbilled receivables, non-current | ' | 1,197 |
Long-term investments | 1,381 | 13,694 |
Property and equipment, net of accumulated depreciation of $14,457 and $12,082 at September 30, 2014 and December 31, 2013, respectively | 13,873 | 13,903 |
Goodwill | 12,790 | 12,790 |
Other intangible assets, net | 3,362 | 4,008 |
Other assets, non-current | 2 | 2 |
Total assets | 85,993 | 101,935 |
Current liabilities: | ' | ' |
Accounts payable | 1,253 | 1,209 |
Accrued expenses and other current liabilities | 5,357 | 7,963 |
Income taxes payable | 15 | 22 |
Accrued warranty reserve | 689 | 709 |
Deferred revenue | 1,099 | 779 |
Total current liabilities | 8,413 | 10,682 |
Deferred tax liabilities, non-current, net | 2,300 | 2,131 |
Deferred revenue, non-current | 13 | 130 |
Other non-current liabilities | 898 | 2,077 |
Total liabilities | 11,624 | 15,020 |
Commitments and Contingencies (Note 9) | ' | ' |
Stockholders’ equity: | ' | ' |
Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued or outstanding | ' | ' |
Common stock, $0.001 par value; 200,000,000 shares authorized; 53,916,801 and 51,766,598 shares issued and outstanding at September 30, 2014, respectively; and 53,136,704 and 51,354,101 shares issued and outstanding at December 31, 2013, respectively | 54 | 53 |
Additional paid-in capital | 122,738 | 119,932 |
Accumulated other comprehensive loss | -27 | -107 |
Treasury stock, at cost, 2,150,203 and 1,782,603 shares repurchased at September 30, 2014 and December 31, 2013, respectively | -5,633 | -4,000 |
Accumulated deficit | -42,763 | -28,963 |
Total stockholders’ equity | 74,369 | 86,915 |
Total liabilities and stockholders’ equity | $85,993 | $101,935 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for doubtful accounts (in Dollars) | $259 | $241 |
Property and equipment, accumulated depreciation (in Dollars) | $14,457 | $12,082 |
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 | 53,916,801 | 53,136,704 |
Common stock, shares outstanding | 51,766,598 | 51,354,101 |
Treasury stock, at cost, shares | 2,150,203 | 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, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Net revenue | $5,342 | $4,868 | $15,646 | $19,810 |
Cost of revenue | 3,007 | 1,966 | 7,991 | 8,615 |
Gross profit | 2,335 | 2,902 | 7,655 | 11,195 |
Operating expenses: | ' | ' | ' | ' |
General and administrative | 3,078 | 3,625 | 8,112 | 11,121 |
Sales and marketing | 2,351 | 1,737 | 7,548 | 5,607 |
Research and development | 2,131 | 1,027 | 5,089 | 3,246 |
Amortization of intangible assets | 216 | 230 | 646 | 691 |
Restructuring charges | ' | 140 | ' | 184 |
Total operating expenses | 7,776 | 6,759 | 21,395 | 20,849 |
Loss from operations | -5,441 | -3,857 | -13,740 | -9,654 |
Other non-operating income, net of expenses | -2 | 27 | 127 | 79 |
Loss before income taxes | -5,443 | -3,830 | -13,613 | -9,575 |
Provision for income taxes | 63 | 36 | 187 | 258 |
Net loss | ($5,506) | ($3,866) | ($13,800) | ($9,833) |
Basic and diluted net loss per share (in Dollars per share) | ($0.11) | ($0.08) | ($0.27) | ($0.19) |
Shares used in basic and diluted per share calculation (in Shares) | 51,861 | 51,052 | 51,626 | 51,020 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Net loss | ($5,506) | ($3,866) | ($13,800) | ($9,833) |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Foreign currency translation adjustments | 22 | -10 | 68 | -8 |
Unrealized (loss) gain on investments | -6 | 15 | 12 | -20 |
Other comprehensive income (loss) | 16 | 5 | 80 | -28 |
Comprehensive loss | ($5,490) | ($3,861) | ($13,720) | ($9,861) |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash Flows From Operating Activities | ' | ' |
Net loss | ($13,800) | ($9,833) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' |
Depreciation and amortization | 3,025 | 2,801 |
Loss on disposal of fixed assets | ' | 19 |
Non-cash restructuring charges | ' | 184 |
Amortization of premiums/discounts on investments | 348 | 279 |
Share-based compensation | 1,628 | 1,717 |
(Gain) loss on foreign currency transactions | -10 | -5 |
Deferred income taxes | 169 | 167 |
Provision for doubtful accounts | 293 | 248 |
Provision for warranty claims | 87 | 177 |
Valuation adjustments for excess or obsolete inventory | 212 | 81 |
Other non-cash adjustments | -179 | -88 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | 10,935 | 6,869 |
Unbilled receivables | 5,698 | 4,848 |
Inventories | -5,484 | -3,906 |
Prepaid and other assets | -1,045 | 2,933 |
Accounts payable | 64 | -718 |
Accrued expenses and other liabilities | -2,256 | -2,635 |
Change in fair value of contingent consideration (Note 4 & Note12) | -1,524 | ' |
Income taxes payable | -7 | -17 |
Deferred revenue | 203 | -387 |
Net cash (used in) provided by operating activities | -1,643 | 2,734 |
Cash Flows From Investing Activities | ' | ' |
Capital expenditures | -2,301 | -1,077 |
Proceeds from sale of assets held for sale | ' | 1,161 |
Purchase of marketable securities | -273 | -13,104 |
Maturities of marketable securities | 4,355 | 8,000 |
Release of restricted cash | 3,338 | 1,068 |
Net cash provided by (used in) investing activities | 5,119 | -3,952 |
Cash Flows From Financing Activities | ' | ' |
Repayment of capital lease obligation | ' | -18 |
Net proceeds from issuance of common stock | 1,165 | 425 |
Repurchase of common stock for treasury | -1,633 | ' |
Net cash (used in) provided by financing activities | -468 | 407 |
Effect of exchange rate differences on cash and cash equivalents | 44 | -16 |
Net change in cash and cash equivalents | 3,052 | -827 |
Cash and cash equivalents, beginning of period | 14,371 | 16,642 |
Cash and cash equivalents, end of period | $17,423 | $15,815 |
Note_1_The_Company_and_Summary
Note 1 - The Company and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2014 | |
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 transform untapped energy into reusable energy from industrial fluid flows and pressure cycles. Our products are marketed and sold in fluid flow markets, such as desalination and oil and gas, under the trademarks ERI®, PX®, Pressure Exchanger®, PX Pressure Exchanger®, IsoBoost™, IsoGen™, and IsoPro™. 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 more significant estimates and judgments that we believe are the most critical to aid in fully understanding and evaluating our reported financial results are 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; 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, 2013 condensed consolidated balance sheet was derived from audited financial statements, and may 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, 2013 included in our Annual Report on Form 10-K filed with the SEC on March 11, 2014. | |
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. | |
Change in Method of Accounting for Inventory Valuation | |
Prior to January 1, 2014, inventories were stated at the lower of cost (using the weighted average cost method) or market. Effective January 1, 2014, with the final implementation of our new enterprise resource planning (“ERP”) system, we changed our method of accounting for inventories to the first-in, first-out (“FIFO”) method. We believe that the change is preferable, as the FIFO method better reflects the current value of inventories and provides more accurate matching of manufacturing costs and revenues. Due to the limited capabilities of our former ERP system, we determined that it was impracticable to retrospectively apply the FIFO costing method to prior periods. As such, prior period consolidated financial statements have not been retroactively adjusted. The cumulative effect of this change was not material. | |
Recent Accounting Pronouncements | |
On May 28, 2014, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers. The amendment requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, which is January 1, 2017 for us. Early application is not permitted. ASU 2014-09 permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect that ASU 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. |
Note_2_Goodwill_and_Other_Inta
Note 2 - Goodwill and Other Intangible Assets | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Text Block] | ' | ||||||||||||||||
Note 2 — Goodwill and Other Intangible Assets | |||||||||||||||||
Goodwill as of September 30, 2014 and December 31, 2013 of $12.8 million was the result of our acquisition of Pump Engineering, LLC in December 2009. During the three and nine months ended September 30, 2014, 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 the dates indicated were as follows (in thousands): | |||||||||||||||||
30-Sep-14 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (2,948 | ) | $ | — | $ | 3,152 | ||||||||
Non-compete agreements | 1,310 | (1,285 | ) | — | 25 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (978 | ) | — | 12 | ||||||||||||
Patents | 585 | (370 | ) | (42 | ) | 173 | |||||||||||
Total | $ | 11,485 | $ | (7,061 | ) | $ | (1,062 | ) | $ | 3,362 | |||||||
31-Dec-13 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (2,491 | ) | $ | — | $ | 3,609 | ||||||||
Non-compete agreements | 1,310 | (1,169 | ) | — | 141 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (924 | ) | — | 66 | ||||||||||||
Patents | 585 | (351 | ) | (42 | ) | 192 | |||||||||||
Total | $ | 11,485 | $ | (6,415 | ) | $ | (1,062 | ) | $ | 4,008 | |||||||
Accumulated impairment losses at September 30, 2014 include a $1.0 million impairment loss from 2012 for trademarks, a $31,000 loss for patents from 2007, and an $11,000 loss for patents from 2010. |
Note_3_Loss_per_Share
Note 3 - Loss per Share | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Earnings Per Share [Text Block] | ' | ||||||||||||||||
Note 3 — Loss per Share | |||||||||||||||||
Basic and diluted net loss per share is based on the weighted average number of common shares outstanding during the period. Potential 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, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Net loss | $ | (5,506 | ) | $ | (3,866 | ) | $ | (13,800 | ) | $ | (9,833 | ) | |||||
Denominator: | |||||||||||||||||
Basic and diluted weighted average common shares outstanding | 51,861 | 51,052 | 51,626 | 51,020 | |||||||||||||
Basic and diluted net loss per share | $ | (0.11 | ) | $ | (0.08 | ) | $ | (0.27 | ) | $ | (0.19 | ) | |||||
The following potential common shares were not considered in the computation of diluted loss per share because their effect would have been anti-dilutive (in thousands): | |||||||||||||||||
Three and Nine Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Stock options | 6,481 | 7,303 | |||||||||||||||
Warrants | 200 | 900 | |||||||||||||||
Note_4_Other_Financial_Informa
Note 4 - Other Financial Information | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
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 stand-by letters of credit and credit cards. We have deposited corresponding amounts into money market and non-interest bearing accounts at three financial institutions for these items as follows (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Contingent and other consideration for acquisition | $ | — | $ | 2,504 | |||||||||
Collateral for stand-by letters of credit | 3,042 | 1,492 | |||||||||||
Collateral for credit cards | 315 | 315 | |||||||||||
Current restricted cash | $ | 3,357 | $ | 4,311 | |||||||||
Contingent and other consideration for acquisition | $ | — | $ | 1,000 | |||||||||
Collateral for stand-by letters of credit | 2,084 | 3,468 | |||||||||||
Non-current restricted cash | $ | 2,084 | $ | 4,468 | |||||||||
Total restricted cash | $ | 5,441 | $ | 8,779 | |||||||||
We acquired Pump Engineering, LLC in December 2009. Under the terms of the purchase agreement, $3.5 million of consideration was contingent upon achievement of certain performance milestones. These performance milestones were tied to: (i) achieving certain minimum product energy efficiency metrics ($1.3 million); (ii) meeting certain product delivery time schedules ($1.2 million); and (iii) meeting certain product warranty metrics ($1.0 million). During the fourth quarter of 2010, the first two performance milestones were not met. Accordingly, we withheld payment of $2.5 million under the contractual terms of the purchase agreement. | |||||||||||||
In August 2011, the former shareholders of Pump Engineering, LLC filed a claim against us seeking damages in the amount of $2.5 million and their litigation costs. As a result, we restricted cash of $3.5 million, the entire amount of the original contingent consideration in an escrow account. On August 8, 2014, we entered into a settlement agreement (the “Agreement”) in this matter. Under the Agreement, we received $2.125 million from the established escrow account, and the plaintiffs received $1.375 million from the said escrow account with neither party admitting to any liability or responsibility. The $3.5 million of restricted cash related to the amount held in escrow was released. | |||||||||||||
Inventories | |||||||||||||
Our inventories consisted of the following (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Raw materials | $ | 3,327 | $ | 2,431 | |||||||||
Work in process | 2,365 | 1,427 | |||||||||||
Finished goods | 4,535 | 1,097 | |||||||||||
Inventories | $ | 10,227 | $ | 4,955 | |||||||||
Prepaid Expenses and Other Current Assets | |||||||||||||
Prepaid expenses and other current assets consisted of the following (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Interest receivable | $ | 107 | $ | 163 | |||||||||
Supplier advances | 743 | 203 | |||||||||||
Other prepaid expenses and current assets | 1,257 | 652 | |||||||||||
Prepaid expenses and other current assets | $ | 2,107 | $ | 1,018 | |||||||||
Accrued Expenses and Other Current Liabilities | |||||||||||||
Accrued expenses and other current liabilities consisted of the following (in thousands): | |||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Payroll and commissions payable | $ | 2,827 | $ | 4,857 | |||||||||
Contingent consideration (current portion) and legal expenses | 1,256 | 1,603 | |||||||||||
Other accrued expenses and current liabilities | 1,274 | 1,503 | |||||||||||
Accrued expenses and other current liabilities | $ | 5,357 | $ | 7,963 | |||||||||
Accumulated Other Comprehensive Loss | |||||||||||||
Changes in accumulated other comprehensive loss by component for the nine months ended September 30, 2014 were as follows (in thousands): | |||||||||||||
Foreign | Unrealized | Total Accumulated | |||||||||||
Currency | Gains (Losses) | Other | |||||||||||
Translation | on | Comprehensive | |||||||||||
Adjustments | Investments | Loss | |||||||||||
Balance, December 31, 2013 | $ | (106 | ) | $ | (1 | ) | $ | (107 | ) | ||||
Net other comprehensive income | 68 | 12 | 80 | ||||||||||
Balance, September 30, 2014 | $ | (38 | ) | $ | 11 | $ | (27 | ) | |||||
There were no reclassifications of amounts out of accumulated other comprehensive loss, as there have been no sales of securities or translation adjustments that impacted other comprehensive income during the quarter. The tax impact of the changes in accumulated other comprehensive loss was not material. |
Note_5_Investments
Note 5 - Investments | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||||||||||
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | ' | ||||||||||||||||||||||||
Note 5 — Investments | |||||||||||||||||||||||||
Our short-term and long-term investments are all classified as available-for-sale. There were no sales of available-for-sale securities during the three and nine months ended September 30, 2014. | |||||||||||||||||||||||||
Available-for-sale securities as of the dates indicated consisted of the following (in thousands): | |||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||
Amortized Cost | Gross Unrealized | Gross Unrealized | Fair Value | ||||||||||||||||||||||
Holding Gains | Holding Losses | ||||||||||||||||||||||||
Short-term investments: | |||||||||||||||||||||||||
State and local government obligations | $ | 677 | $ | — | $ | — | $ | 677 | |||||||||||||||||
Corporate notes and bonds | 13,059 | 16 | (1 | ) | 13,074 | ||||||||||||||||||||
Total short-term investments | $ | 13,736 | $ | 16 | $ | (1 | ) | $ | 13,751 | ||||||||||||||||
Long-term investments: | |||||||||||||||||||||||||
Corporate notes and bonds | $ | 1,384 | $ | 1 | $ | (4 | ) | $ | 1,381 | ||||||||||||||||
Total long-term investments | $ | 1,384 | $ | 1 | $ | (4 | ) | $ | 1,381 | ||||||||||||||||
Total available-for-sale securities | $ | 15,120 | $ | 17 | $ | (5 | ) | $ | 15,132 | ||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized Cost | Gross Unrealized | Gross Unrealized | Fair Value | ||||||||||||||||||||||
Holding Gains | Holding Losses | ||||||||||||||||||||||||
Short-term investments: | |||||||||||||||||||||||||
State and local government obligations | 2,113 | 3 | — | 2,116 | |||||||||||||||||||||
Corporate notes and bonds | 3,739 | 2 | (1 | ) | 3,740 | ||||||||||||||||||||
Total short-term investments | $ | 5,852 | $ | 5 | $ | (1 | ) | $ | 5,856 | ||||||||||||||||
Long-term investments: | |||||||||||||||||||||||||
State and local government obligations | 227 | 1 | — | 228 | |||||||||||||||||||||
Corporate notes and bonds | 13,472 | 11 | (17 | ) | 13,466 | ||||||||||||||||||||
Total long-term investments | $ | 13,699 | $ | 12 | $ | (17 | ) | $ | 13,694 | ||||||||||||||||
Total available-for-sale securities | $ | 19,551 | $ | 17 | $ | (18 | ) | $ | 19,550 | ||||||||||||||||
Gross unrealized losses and fair values of our investments in an unrealized loss position as of the dates indicated, aggregated by investment category and length of time that the security has been in a continuous loss position, were as follows (in thousands): | |||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||
Less than 12 months | 12 months or greater | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
Corporate notes and bonds | $ | 3,129 | $ | (5 | ) | $ | — | $ | — | $ | 3,129 | $ | (5 | ) | |||||||||||
Total | $ | 3,129 | $ | (5 | ) | $ | — | $ | — | $ | 3,129 | $ | (5 | ) | |||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Less than 12 months | 12 months or greater | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
Corporate notes and bonds | $ | 4,919 | $ | (17 | ) | $ | 524 | $ | (1 | ) | $ | 5,443 | $ | (18 | ) | ||||||||||
Total | $ | 4,919 | $ | (17 | ) | $ | 524 | $ | (1 | ) | $ | 5,443 | $ | (18 | ) | ||||||||||
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, 2014 are shown below by contractual maturity (in thousands): | |||||||||||||||||||||||||
September 30,2014 | |||||||||||||||||||||||||
Amortized Cost | |||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Due in one year or less | $ | — | $ | — | |||||||||||||||||||||
Due after one year through three years | 15,120 | 15,132 | |||||||||||||||||||||||
Total available-for-sale securities | $ | 15,120 | $ | 15,132 | |||||||||||||||||||||
Note_6_Lines_of_Credit
Note 6 - Lines of Credit | 9 Months Ended |
Sep. 30, 2014 | |
Debt Disclosure [Abstract] | ' |
Debt Disclosure [Text Block] | ' |
Note 6 — Lines of Credit | |
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 LIBOR 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 in June 2015 and is collateralized by substantially all of our assets. As of September 30, 2014 and December 31, 2013, there were no advances drawn under the 2012 Agreement. Stand-by letters of credit collateralized under the 2012 Agreement totaled $2.7 million and $1.3 million as of September 30, 2014 and December 31, 2013, respectively. Total cash restricted related to these stand-by letters of credit totaled $2.7 million and $1.3 million as of September 30, 2014 and December 31, 2013, respectively. | |
We are subject to certain financial and administrative covenants under the 2012 Agreement. As of September 30, 2014, 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 to $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 2009 Agreement expired at the end of May 2012, at which time we became required to maintain a cash collateral balance equal to at least 105% of the face amount of all outstanding stand-by letters of credit collateralized by the line of credit. There were no advances drawn under the 2009 Agreement’s credit line at the time it expired. Remaining stand-by letters of credit issued under the 2009 Agreement totaled $2.3 million and $3.6 million as of September 30, 2014 and December 31, 2013, respectively. Total cash restricted related to these stand-by letters of credit totaled $2.4 million and $3.7 million as of September 30, 2014 and December 31, 2013, respectively. |
Note_7_Equity
Note 7 - Equity | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Disclosure Text Block Supplement [Abstract] | ' | ||||||||||||||||
Shareholders' Equity and Share-based Payments [Text Block] | ' | ||||||||||||||||
Note 7 — Equity | |||||||||||||||||
Stock Repurchase Program | |||||||||||||||||
In February 2014, our Board of Directors authorized a stock repurchase program under which up to three million shares, not to exceed $6.0 million in aggregate cost, of our outstanding common stock could be repurchased through December 31, 2014 at the discretion of management. We account for treasury stock using the cost method. Cost includes fees charged in connection with acquiring the treasury stock. During the three months ended September 30, 2014, 252,300 shares at an aggregate cost of $1.0 million were repurchased under this authorization. During the nine months ended September 30, 2014, 367,600 shares at an aggregate cost of $1.6 million were repurchased under this authorization. | |||||||||||||||||
In October 2014, an additional 329,253 shares at an aggregate cost of $1.2 million were repurchased under this authorization. | |||||||||||||||||
Share-Based Compensation Expense | |||||||||||||||||
For the three and nine months ended September 30, 2014 and 2013, 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, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Cost of revenue | $ | 27 | $ | 18 | $ | 75 | $ | 57 | |||||||||
General and administrative | 222 | 339 | 916 | 1,153 | |||||||||||||
Sales and marketing | 80 | 123 | 388 | 358 | |||||||||||||
Research and development | 84 | 50 | 249 | 149 | |||||||||||||
Total share-based compensation expense | $ | 413 | $ | 530 | $ | 1,628 | $ | 1,717 | |||||||||
As of September 30, 2014, total unrecognized compensation cost related to non-vested share-based awards, net of estimated forfeitures, was $3.9 million, which is expected to be recognized as expense over a weighted average period of approximately 2.98 years. | |||||||||||||||||
In March 2014, we granted 957,000 stock options to certain officers and other employees. The options vest over a four-year period, have an exercise price of $6.00 per share, and expire 10 years from the grant date. | |||||||||||||||||
Also, in March 2014, we granted 10,000 stock options to an employee. The options vest over a four-year period, have an exercise price of $5.32 per share, and expire 10 years from the grant date. | |||||||||||||||||
In April 2014, we granted 440,000 stock options to our President and Chief Executive Officer in lieu of his participation in the 2014 cash incentive plan. The options vest over a four-year period, have an exercise price of $4.96 per share, and expire 10 years from the grant date. | |||||||||||||||||
In June 2014, we granted 50,000 stock options to a certain employee as part of the offer letter of employment. The options vest over a four-year period, have an exercise price of $5.91 per share, and expire 10 years from the grant date. | |||||||||||||||||
In July 2014, we granted 100,000 stock options to our new Chief Financial Officer as part of his promotion. The options vest over a four-year period, have an exercise price of $4.91 per share, and expire 10 years from the grant date. | |||||||||||||||||
On October 1, 2014, we granted 100,000 and 180,000 stock options to our new Chief Financial Officer as the second part of his promotion and to certain other employees, respectively. The options vest over a four-year period, have an exercise price of $3.31 per share, and expire 10 years from the grant date. | |||||||||||||||||
On October 15, 2014, we granted 75,000 stock options to our new Chief Sales Officer as part of his offer letter of employment. The options vest over a four-year period, have an exercise price of $3.80 per share, and expire 10 years from the grant date. | |||||||||||||||||
Warrants | |||||||||||||||||
On July 29, 2014, warrants to purchase 400,000 shares of common stock were exercised for 311,111 shares in lieu of cash proceeds. The remaining 88,889 warrants were cancelled and considered payment for the exercise. |
Note_8_Income_Taxes
Note 8 - Income Taxes | 9 Months Ended |
Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Tax Disclosure [Text Block] | ' |
Note 8 — Income Taxes | |
The effective tax rate for the nine months ended September 30, 2014 and 2013 was (1.4%) and (2.7%), respectively. As of December 31, 2013, a valuation allowance of approximately $13.4 million was established to reduce our deferred income tax assets to the amount expected to be realized. As such, no tax benefit related to our pre-tax loss was recognized for the three or nine months ended September 30, 2014, as there was no change in our assessment of the amount of deferred income tax assets expected to be realized. |
Note_9_Commitments_and_Conting
Note 9 - Commitments and Contingencies | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
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, | |||||||||||||||||
2014 | |||||||||||||||||
2014 (remaining three months) | $ | 456 | |||||||||||||||
2015 | 1,543 | ||||||||||||||||
2016 | 1,575 | ||||||||||||||||
2017 | 1,567 | ||||||||||||||||
2018 | 1,591 | ||||||||||||||||
Thereafter | 1,398 | ||||||||||||||||
Total future minimum lease payments | $ | 8,130 | |||||||||||||||
Product Warranty | |||||||||||||||||
The following table summarizes the activity related to the product warranty liability during the three and nine months ended September 30, 2014 and 2013 (in thousands): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Balance, beginning of period | $ | 705 | $ | 1,027 | $ | 709 | $ | 1,172 | |||||||||
Warranty costs charged to cost of revenue | 34 | 39 | 87 | 177 | |||||||||||||
Change in estimate | — | — | — | (132 | ) | ||||||||||||
Utilization of warranty | (50 | ) | (30 | ) | (107 | ) | (181 | ) | |||||||||
Balance, end of period | $ | 689 | $ | 1,036 | $ | 689 | $ | 1,036 | |||||||||
Based on management’s analysis of warranty liability experience, a change in estimate of our warranty reserve of $132,000 was recorded in 2013. | |||||||||||||||||
Purchase Obligations | |||||||||||||||||
We enter into purchase order arrangements with our vendors. As of September 30, 2014, there were open purchase orders for which we had 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, 2014, we had approximately $1.8 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 had no liabilities recorded for these agreements as of September 30, 2014 and December 31, 2013. | |||||||||||||||||
In certain cases, we issue warranty and product performance guarantees to our customers for amounts ranging from 10% 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 up to 24 months and in some cases up to 59 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 $5.0 million in outstanding stand-by letters of credit at September 30, 2014, $2.3 million was issued under the 2009 Agreement and $2.7 million was issued under the 2012 Agreement. The stand-by letters of credit outstanding at September 30, 2014 were collateralized by restricted cash of $5.1 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 11, 2014, 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. | |||||||||||||||||
See Note 4 – “Equity – Restricted Cash,” for a discussion of our August 2014 settlement of the litigation concerning the Pump Engineering, LLC acquisition. | |||||||||||||||||
On September 10, 2014, the Company terminated the employment of Mr. Borja Sanchez-Blanco, Senior Vice President of Sales, for cause on the basis of breach of duty of trust and conduct leading to conflicts of interest. On October 3, 2014, Mr. Blanco filed a complaint with the labor commissioner in Madrid, Spain against the Company and its subsidiary Energy Recovery Iberia SL. Mr. Blanco alleges among other things, that he was terminated without cause. The complaint alleges wages due (salary and bonus) of approximately €567,000 and alleged stock option gains of €630,000, as a result of the alleged termination without cause. At this time, no reserve has been accrued as we have determined that an award to Mr. Blanco is not probable. |
Note_10_Business_Segment_and_G
Note 10 - Business Segment and Geographic Information | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
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 attributable 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, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Domestic revenue | $ | 249 | $ | 778 | $ | 833 | $ | 2,541 | |||||||||
International revenue | 5,093 | 4,090 | 14,813 | 17,269 | |||||||||||||
Total revenue | $ | 5,342 | $ | 4,868 | $ | 15,646 | $ | 19,810 | |||||||||
Revenue by country: | |||||||||||||||||
Egypt | 13 | % | 2 | % | 9 | % | 4 | % | |||||||||
United States | 5 | 16 | 5 | 13 | |||||||||||||
Singapore | 4 | 11 | 2 | 4 | |||||||||||||
China | 3 | 17 | 6 | 9 | |||||||||||||
Turkey | 3 | 13 | 2 | 3 | |||||||||||||
India | 2 | 2 | 4 | 11 | |||||||||||||
South Korea | * | 16 | * | 5 | |||||||||||||
Others ** | 70 | 23 | 72 | 51 | |||||||||||||
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. | ||||||||||||||||
All of our long-lived assets were located in the United States at September 30, 2014 and December 31, 2013. |
Note_11_Concentrations
Note 11 - Concentrations | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
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, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Customer A | * | 19 | % | ||||||||||||||
Customer B | * | 16 | % | ||||||||||||||
Customer C | * | 17 | % | ||||||||||||||
Customer D | * | 14 | % | ||||||||||||||
* Less than 10%. | |||||||||||||||||
Revenue from customers representing 10% or more of net revenue varies from period to period. For the periods indicated, customers representing 10% or more of net revenue were: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Customer E | * | 17 | % | * | * | ||||||||||||
Customer F | * | 16 | % | * | * | ||||||||||||
Customer G | * | 10 | % | * | * | ||||||||||||
* Less than 10%. | |||||||||||||||||
Note_12_Fair_Value_Measurement
Note 12 - Fair Value Measurements | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Disclosures [Text Block] | ' | ||||||||||||||||
Note 12 — Fair Value Measurements | |||||||||||||||||
The authoritative guidance for measuring fair value provides a hierarchy that prioritizes the inputs to valuation techniques used in measuring fair value as follows: | |||||||||||||||||
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 was measured at fair value on a recurring basis using unobservable inputs in which little or no market activity existed (Level 3). The estimated fair value of the contingent consideration was determined based entirely on management’s assessment of the weighted probability of payment under various scenarios. See Note 4 – “Equity – Restricted Cash,” for a discussion of our August 2014 settlement of the litigation concerning this contingent consideration. | |||||||||||||||||
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 | ||||||||||||||
2014 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 13,751 | $ | — | $ | 13,751 | $ | — | |||||||||
Long-term available-for-sale securities | 1,381 | — | 1,381 | — | |||||||||||||
Total assets | $ | 15,132 | $ | — | $ | 15,132 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Contingent consideration* | $ | — | $ | — | $ | — | $ | — | |||||||||
Total liabilities | $ | — | $ | — | $ | — | $ | — | |||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2013 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 5,856 | $ | — | $ | 5,856 | $ | — | |||||||||
Long-term available-for-sale securities | 13,694 | — | 13,694 | — | |||||||||||||
Total assets | $ | 19,550 | $ | — | $ | 19,550 | $ | — | |||||||||
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, 2014 was as follows (in thousands): | |||||||||||||||||
Contingent | |||||||||||||||||
Consideration | |||||||||||||||||
Balance, December 31, 2013 | $ | 1,524 | |||||||||||||||
Net gain on settlement | (149 | ) | |||||||||||||||
Settlement payment | (1,375 | ) | |||||||||||||||
Balance, September 30, 2014 | $ | — | |||||||||||||||
Note_13_Subsequent_Events
Note 13 - Subsequent Events | 9 Months Ended |
Sep. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events [Text Block] | ' |
Note 13 — Subsequent Events | |
See Note 7 – “Equity”, for discussion of options granted and shares repurchased in October 2014. | |
See Note 9 – “Commitments and Contingencies – Litigation”, for discussion of Litigation arising in October 2014. |
Accounting_Policies_by_Policy_
Accounting Policies, by Policy (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
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 more significant estimates and judgments that we believe are the most critical to aid in fully understanding and evaluating our reported financial results are 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; 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, 2013 condensed consolidated balance sheet was derived from audited financial statements, and may 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, 2013 included in our Annual Report on Form 10-K filed with the SEC on March 11, 2014. | |
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. | |
Inventory, Policy [Policy Text Block] | ' |
Change in Method of Accounting for Inventory Valuation | |
Prior to January 1, 2014, inventories were stated at the lower of cost (using the weighted average cost method) or market. Effective January 1, 2014, with the final implementation of our new enterprise resource planning (“ERP”) system, we changed our method of accounting for inventories to the first-in, first-out (“FIFO”) method. We believe that the change is preferable, as the FIFO method better reflects the current value of inventories and provides more accurate matching of manufacturing costs and revenues. Due to the limited capabilities of our former ERP system, we determined that it was impracticable to retrospectively apply the FIFO costing method to prior periods. As such, prior period consolidated financial statements have not been retroactively adjusted. The cumulative effect of this change was not material. | |
New Accounting Pronouncements, Policy [Policy Text Block] | ' |
Recent Accounting Pronouncements | |
On May 28, 2014, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers. The amendment requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, which is January 1, 2017 for us. Early application is not permitted. ASU 2014-09 permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect that ASU 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. |
Note_2_Goodwill_and_Other_Inta1
Note 2 - Goodwill and Other Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of Finite-Lived Intangible Assets [Table Text Block] | ' | ||||||||||||||||
30-Sep-14 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (2,948 | ) | $ | — | $ | 3,152 | ||||||||
Non-compete agreements | 1,310 | (1,285 | ) | — | 25 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (978 | ) | — | 12 | ||||||||||||
Patents | 585 | (370 | ) | (42 | ) | 173 | |||||||||||
Total | $ | 11,485 | $ | (7,061 | ) | $ | (1,062 | ) | $ | 3,362 | |||||||
31-Dec-13 | |||||||||||||||||
Gross | Accumulated | Accumulated | Net | ||||||||||||||
Carrying | Amortization | Impairment | Carrying | ||||||||||||||
Amount | Losses | Amount | |||||||||||||||
Developed technology | $ | 6,100 | $ | (2,491 | ) | $ | — | $ | 3,609 | ||||||||
Non-compete agreements | 1,310 | (1,169 | ) | — | 141 | ||||||||||||
Backlog | 1,300 | (1,300 | ) | — | — | ||||||||||||
Trademarks | 1,200 | (180 | ) | (1,020 | ) | — | |||||||||||
Customer relationships | 990 | (924 | ) | — | 66 | ||||||||||||
Patents | 585 | (351 | ) | (42 | ) | 192 | |||||||||||
Total | $ | 11,485 | $ | (6,415 | ) | $ | (1,062 | ) | $ | 4,008 |
Note_3_Loss_per_Share_Tables
Note 3 - Loss per Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
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, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Numerator: | |||||||||||||||||
Net loss | $ | (5,506 | ) | $ | (3,866 | ) | $ | (13,800 | ) | $ | (9,833 | ) | |||||
Denominator: | |||||||||||||||||
Basic and diluted weighted average common shares outstanding | 51,861 | 51,052 | 51,626 | 51,020 | |||||||||||||
Basic and diluted net loss per share | $ | (0.11 | ) | $ | (0.08 | ) | $ | (0.27 | ) | $ | (0.19 | ) | |||||
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | ' | ||||||||||||||||
Three and Nine Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Stock options | 6,481 | 7,303 | |||||||||||||||
Warrants | 200 | 900 |
Note_4_Other_Financial_Informa1
Note 4 - Other Financial Information (Tables) | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Disclosure Text Block Supplement [Abstract] | ' | ||||||||||||
Schedule of Restricted Cash and Cash Equivalents [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Contingent and other consideration for acquisition | $ | — | $ | 2,504 | |||||||||
Collateral for stand-by letters of credit | 3,042 | 1,492 | |||||||||||
Collateral for credit cards | 315 | 315 | |||||||||||
Current restricted cash | $ | 3,357 | $ | 4,311 | |||||||||
Contingent and other consideration for acquisition | $ | — | $ | 1,000 | |||||||||
Collateral for stand-by letters of credit | 2,084 | 3,468 | |||||||||||
Non-current restricted cash | $ | 2,084 | $ | 4,468 | |||||||||
Total restricted cash | $ | 5,441 | $ | 8,779 | |||||||||
Schedule of Inventory, Current [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Raw materials | $ | 3,327 | $ | 2,431 | |||||||||
Work in process | 2,365 | 1,427 | |||||||||||
Finished goods | 4,535 | 1,097 | |||||||||||
Inventories | $ | 10,227 | $ | 4,955 | |||||||||
Schedule of Other Current Assets [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Interest receivable | $ | 107 | $ | 163 | |||||||||
Supplier advances | 743 | 203 | |||||||||||
Other prepaid expenses and current assets | 1,257 | 652 | |||||||||||
Prepaid expenses and other current assets | $ | 2,107 | $ | 1,018 | |||||||||
Schedule of Accrued Liabilities [Table Text Block] | ' | ||||||||||||
September 30, | December 31, | ||||||||||||
2014 | 2013 | ||||||||||||
Payroll and commissions payable | $ | 2,827 | $ | 4,857 | |||||||||
Contingent consideration (current portion) and legal expenses | 1,256 | 1,603 | |||||||||||
Other accrued expenses and current liabilities | 1,274 | 1,503 | |||||||||||
Accrued expenses and other current liabilities | $ | 5,357 | $ | 7,963 | |||||||||
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, 2013 | $ | (106 | ) | $ | (1 | ) | $ | (107 | ) | ||||
Net other comprehensive income | 68 | 12 | 80 | ||||||||||
Balance, September 30, 2014 | $ | (38 | ) | $ | 11 | $ | (27 | ) |
Note_5_Investments_Tables
Note 5 - Investments (Tables) | 9 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||||||||||
Available-for-sale Securities [Table Text Block] | ' | ||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||
Amortized Cost | Gross Unrealized | Gross Unrealized | Fair Value | ||||||||||||||||||||||
Holding Gains | Holding Losses | ||||||||||||||||||||||||
Short-term investments: | |||||||||||||||||||||||||
State and local government obligations | $ | 677 | $ | — | $ | — | $ | 677 | |||||||||||||||||
Corporate notes and bonds | 13,059 | 16 | (1 | ) | 13,074 | ||||||||||||||||||||
Total short-term investments | $ | 13,736 | $ | 16 | $ | (1 | ) | $ | 13,751 | ||||||||||||||||
Long-term investments: | |||||||||||||||||||||||||
Corporate notes and bonds | $ | 1,384 | $ | 1 | $ | (4 | ) | $ | 1,381 | ||||||||||||||||
Total long-term investments | $ | 1,384 | $ | 1 | $ | (4 | ) | $ | 1,381 | ||||||||||||||||
Total available-for-sale securities | $ | 15,120 | $ | 17 | $ | (5 | ) | $ | 15,132 | ||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Amortized Cost | Gross Unrealized | Gross Unrealized | Fair Value | ||||||||||||||||||||||
Holding Gains | Holding Losses | ||||||||||||||||||||||||
Short-term investments: | |||||||||||||||||||||||||
State and local government obligations | 2,113 | 3 | — | 2,116 | |||||||||||||||||||||
Corporate notes and bonds | 3,739 | 2 | (1 | ) | 3,740 | ||||||||||||||||||||
Total short-term investments | $ | 5,852 | $ | 5 | $ | (1 | ) | $ | 5,856 | ||||||||||||||||
Long-term investments: | |||||||||||||||||||||||||
State and local government obligations | 227 | 1 | — | 228 | |||||||||||||||||||||
Corporate notes and bonds | 13,472 | 11 | (17 | ) | 13,466 | ||||||||||||||||||||
Total long-term investments | $ | 13,699 | $ | 12 | $ | (17 | ) | $ | 13,694 | ||||||||||||||||
Total available-for-sale securities | $ | 19,551 | $ | 17 | $ | (18 | ) | $ | 19,550 | ||||||||||||||||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Table Text Block] | ' | ||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||
Less than 12 months | 12 months or greater | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
Corporate notes and bonds | $ | 3,129 | $ | (5 | ) | $ | — | $ | — | $ | 3,129 | $ | (5 | ) | |||||||||||
Total | $ | 3,129 | $ | (5 | ) | $ | — | $ | — | $ | 3,129 | $ | (5 | ) | |||||||||||
31-Dec-13 | |||||||||||||||||||||||||
Less than 12 months | 12 months or greater | Total | |||||||||||||||||||||||
Fair Value | Gross | Fair Value | Gross | Fair Value | Gross | ||||||||||||||||||||
Unrealized | Unrealized | Unrealized | |||||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
Corporate notes and bonds | $ | 4,919 | $ | (17 | ) | $ | 524 | $ | (1 | ) | $ | 5,443 | $ | (18 | ) | ||||||||||
Total | $ | 4,919 | $ | (17 | ) | $ | 524 | $ | (1 | ) | $ | 5,443 | $ | (18 | ) | ||||||||||
Investments Classified by Contractual Maturity Date [Table Text Block] | ' | ||||||||||||||||||||||||
September 30,2014 | |||||||||||||||||||||||||
Amortized Cost | |||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Due in one year or less | $ | — | $ | — | |||||||||||||||||||||
Due after one year through three years | 15,120 | 15,132 | |||||||||||||||||||||||
Total available-for-sale securities | $ | 15,120 | $ | 15,132 |
Note_7_Equity_Tables
Note 7 - Equity (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
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, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Cost of revenue | $ | 27 | $ | 18 | $ | 75 | $ | 57 | |||||||||
General and administrative | 222 | 339 | 916 | 1,153 | |||||||||||||
Sales and marketing | 80 | 123 | 388 | 358 | |||||||||||||
Research and development | 84 | 50 | 249 | 149 | |||||||||||||
Total share-based compensation expense | $ | 413 | $ | 530 | $ | 1,628 | $ | 1,717 |
Note_9_Commitments_and_Conting1
Note 9 - Commitments and Contingencies (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||||||||||
Operating Leases of Lessee Disclosure [Table Text Block] | ' | ||||||||||||||||
September 30, | |||||||||||||||||
2014 | |||||||||||||||||
2014 (remaining three months) | $ | 456 | |||||||||||||||
2015 | 1,543 | ||||||||||||||||
2016 | 1,575 | ||||||||||||||||
2017 | 1,567 | ||||||||||||||||
2018 | 1,591 | ||||||||||||||||
Thereafter | 1,398 | ||||||||||||||||
Total future minimum lease payments | $ | 8,130 | |||||||||||||||
Schedule of Product Warranty Liability [Table Text Block] | ' | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Balance, beginning of period | $ | 705 | $ | 1,027 | $ | 709 | $ | 1,172 | |||||||||
Warranty costs charged to cost of revenue | 34 | 39 | 87 | 177 | |||||||||||||
Change in estimate | — | — | — | (132 | ) | ||||||||||||
Utilization of warranty | (50 | ) | (30 | ) | (107 | ) | (181 | ) | |||||||||
Balance, end of period | $ | 689 | $ | 1,036 | $ | 689 | $ | 1,036 |
Note_10_Business_Segment_and_G1
Note 10 - Business Segment and Geographic Information (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
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, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Domestic revenue | $ | 249 | $ | 778 | $ | 833 | $ | 2,541 | |||||||||
International revenue | 5,093 | 4,090 | 14,813 | 17,269 | |||||||||||||
Total revenue | $ | 5,342 | $ | 4,868 | $ | 15,646 | $ | 19,810 | |||||||||
Revenue by country: | |||||||||||||||||
Egypt | 13 | % | 2 | % | 9 | % | 4 | % | |||||||||
United States | 5 | 16 | 5 | 13 | |||||||||||||
Singapore | 4 | 11 | 2 | 4 | |||||||||||||
China | 3 | 17 | 6 | 9 | |||||||||||||
Turkey | 3 | 13 | 2 | 3 | |||||||||||||
India | 2 | 2 | 4 | 11 | |||||||||||||
South Korea | * | 16 | * | 5 | |||||||||||||
Others ** | 70 | 23 | 72 | 51 | |||||||||||||
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Note_11_Concentrations_Tables
Note 11 - Concentrations (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Accounts Receivable [Member] | ' | ||||||||||||||||
Note 11 - Concentrations (Tables) [Line Items] | ' | ||||||||||||||||
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | ' | ||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Customer A | * | 19 | % | ||||||||||||||
Customer B | * | 16 | % | ||||||||||||||
Customer C | * | 17 | % | ||||||||||||||
Customer D | * | 14 | % | ||||||||||||||
Sales Revenue, Net [Member] | ' | ||||||||||||||||
Note 11 - Concentrations (Tables) [Line Items] | ' | ||||||||||||||||
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | ' | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Customer E | * | 17 | % | * | * | ||||||||||||
Customer F | * | 16 | % | * | * | ||||||||||||
Customer G | * | 10 | % | * | * |
Note_12_Fair_Value_Measurement1
Note 12 - Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
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 | ||||||||||||||
2014 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 13,751 | $ | — | $ | 13,751 | $ | — | |||||||||
Long-term available-for-sale securities | 1,381 | — | 1,381 | — | |||||||||||||
Total assets | $ | 15,132 | $ | — | $ | 15,132 | $ | — | |||||||||
Liabilities: | |||||||||||||||||
Contingent consideration* | $ | — | $ | — | $ | — | $ | — | |||||||||
Total liabilities | $ | — | $ | — | $ | — | $ | — | |||||||||
December 31, | Level 1 | Level 2 | Level 3 | ||||||||||||||
2013 | Inputs | Inputs | Inputs | ||||||||||||||
Assets: | |||||||||||||||||
Short-term available-for-sale securities | $ | 5,856 | $ | — | $ | 5,856 | $ | — | |||||||||
Long-term available-for-sale securities | 13,694 | — | 13,694 | — | |||||||||||||
Total assets | $ | 19,550 | $ | — | $ | 19,550 | $ | — | |||||||||
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, 2013 | $ | 1,524 | |||||||||||||||
Net gain on settlement | (149 | ) | |||||||||||||||
Settlement payment | (1,375 | ) | |||||||||||||||
Balance, September 30, 2014 | $ | — |
Note_2_Goodwill_and_Other_Inta2
Note 2 - Goodwill and Other Intangible Assets (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | |
Note 2 - Goodwill and Other Intangible Assets (Details) [Line Items] | ' | ' | ' |
Goodwill | $12,790,000 | $12,790,000 | $12,790,000 |
Goodwill, Period Increase (Decrease) | 0 | 0 | ' |
Finite-Lived Intangible Assets, Accumulated Impairment Losses | 1,062,000 | 1,062,000 | 1,062,000 |
Trademarks from 2012 [Member] | ' | ' | ' |
Note 2 - Goodwill and Other Intangible Assets (Details) [Line Items] | ' | ' | ' |
Finite-Lived Intangible Assets, Accumulated Impairment Losses | 1,000,000 | 1,000,000 | ' |
Patents from 2007 [Member] | ' | ' | ' |
Note 2 - Goodwill and Other Intangible Assets (Details) [Line Items] | ' | ' | ' |
Finite-Lived Intangible Assets, Accumulated Impairment Losses | 31,000 | 31,000 | ' |
Patents from 2010 [Member] | ' | ' | ' |
Note 2 - Goodwill and Other Intangible Assets (Details) [Line Items] | ' | ' | ' |
Finite-Lived Intangible Assets, Accumulated Impairment Losses | $11,000 | $11,000 | ' |
Note_2_Goodwill_and_Other_Inta3
Note 2 - Goodwill and Other Intangible Assets (Details) - Identifiable Intangible Assets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | $11,485,000 | $11,485,000 |
Accumulated Amortization | -7,061,000 | -6,415,000 |
Accumulated Impairment Losses | -1,062,000 | -1,062,000 |
Net Carrying Amount | 3,362,000 | 4,008,000 |
Developed Technology Rights [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 6,100,000 | 6,100,000 |
Accumulated Amortization | -2,948,000 | -2,491,000 |
Net Carrying Amount | 3,152,000 | 3,609,000 |
Noncompete Agreements [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 1,310,000 | 1,310,000 |
Accumulated Amortization | -1,285,000 | -1,169,000 |
Net Carrying Amount | 25,000 | 141,000 |
Order or Production Backlog [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 1,300,000 | 1,300,000 |
Accumulated Amortization | -1,300,000 | -1,300,000 |
Trademarks [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 1,200,000 | 1,200,000 |
Accumulated Amortization | -180,000 | -180,000 |
Accumulated Impairment Losses | -1,020,000 | -1,020,000 |
Customer Relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 990,000 | 990,000 |
Accumulated Amortization | -978,000 | -924,000 |
Net Carrying Amount | 12,000 | 66,000 |
Patents [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 585,000 | 585,000 |
Accumulated Amortization | -370,000 | -351,000 |
Accumulated Impairment Losses | -42,000 | -42,000 |
Net Carrying Amount | $173,000 | $192,000 |
Note_3_Loss_per_Share_Details_
Note 3 - Loss per Share (Details) - Computation of Basic and Diluted Loss Per Share (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Numerator: | ' | ' | ' | ' |
Net loss | ($5,506) | ($3,866) | ($13,800) | ($9,833) |
Denominator: | ' | ' | ' | ' |
Basic and diluted weighted average common shares outstanding | 51,861 | 51,052 | 51,626 | 51,020 |
Basic and diluted net loss per share | ($0.11) | ($0.08) | ($0.27) | ($0.19) |
Note_3_Loss_per_Share_Details_1
Note 3 - Loss per Share (Details) - Antidilutive Securities Excluded from Computation of Diluted Earnings Per Share | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Employee Stock Option [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Antidilutive securities | 6,481 | 7,303 |
Warrant [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Antidilutive securities | 200 | 900 |
Note_4_Other_Financial_Informa2
Note 4 - Other Financial Information (Details) (USD $) | 9 Months Ended | 9 Months Ended | 0 Months Ended | 3 Months Ended | ||||||||
Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Aug. 07, 2011 | Dec. 31, 2009 | Dec. 31, 2009 | Dec. 31, 2009 | Aug. 08, 2014 | Aug. 07, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | Accumulated Translation Adjustment [Member] | Contingent and Other Consideration for Acquisition [Member] | Achieving Certain Minimum Product Energy Efficiency Metrics [Member] | Meeting Certain Product Delivery Time Schedules [Member] | Meeting Certain Product Warranty Metrics [Member] | Former Shareholders of Pump Engineering Versus Energy Recovery [Member] | Former Shareholders of Pump Engineering Versus Energy Recovery [Member] | Pump Engineering, LLC [Member] | Pump Engineering, LLC [Member] | |||
Former Shareholders of Pump Engineering Versus Energy Recovery [Member] | Pump Engineering, LLC [Member] | Pump Engineering, LLC [Member] | Pump Engineering, LLC [Member] | |||||||||
Note 4 - Other Financial Information (Details) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business Combination, Contingent Consideration, Liability | ' | ' | ' | ' | ' | $1,300,000 | $1,200,000 | $1,000,000 | ' | ' | ' | $3,500,000 |
Business Combination, Contingent Consideration, Withhold Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,500,000 | ' |
Loss Contingency, Damages Sought, Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,500,000 | ' | ' |
Restricted Cash and Cash Equivalents | 5,441,000 | 8,779,000 | ' | ' | 3,500,000 | ' | ' | ' | ' | ' | ' | ' |
Cash Received From Litigation Escrow Account | ' | ' | ' | ' | ' | ' | ' | ' | 2,125,000 | ' | ' | ' |
Litigation Settlement, Amount | ' | ' | ' | ' | ' | ' | ' | ' | -1,375,000 | ' | ' | ' |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | $0 | ' | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | ' |
Note_4_Other_Financial_Informa3
Note 4 - Other Financial Information (Details) - Restricted Cash (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Current restricted cash | $3,357 | $4,311 |
Current restricted cash | 3,357 | 4,311 |
Non-current restricted cash | 2,084 | 4,468 |
Non-current restricted cash | 2,084 | 4,468 |
Total restricted cash | 5,441 | 8,779 |
Contingent and Other Consideration for Acquisition [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Current restricted cash | ' | 2,504 |
Current restricted cash | ' | 2,504 |
Non-current restricted cash | ' | 1,000 |
Non-current restricted cash | ' | 1,000 |
Collateral for Stand-by Letters of Credit [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Current restricted cash | 3,042 | 1,492 |
Current restricted cash | 3,042 | 1,492 |
Non-current restricted cash | 2,084 | 3,468 |
Non-current restricted cash | 2,084 | 3,468 |
Total restricted cash | 5,100 | ' |
Collateral for Credit Cards [Member] | ' | ' |
Restricted Cash and Cash Equivalents Items [Line Items] | ' | ' |
Current restricted cash | 315 | 315 |
Current restricted cash | $315 | $315 |
Note_4_Other_Financial_Informa4
Note 4 - Other Financial Information (Details) - Inventories (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventories [Abstract] | ' | ' |
Raw materials | $3,327 | $2,431 |
Work in process | 2,365 | 1,427 |
Finished goods | 4,535 | 1,097 |
Inventories | $10,227 | $4,955 |
Note_4_Other_Financial_Informa5
Note 4 - Other Financial Information (Details) - Prepaid Expenses and Other Current Assets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Prepaid Expenses and Other Current Assets [Abstract] | ' | ' |
Interest receivable | $107 | $163 |
Supplier advances | 743 | 203 |
Other prepaid expenses and current assets | 1,257 | 652 |
Prepaid expenses and other current assets | $2,107 | $1,018 |
Note_4_Other_Financial_Informa6
Note 4 - Other Financial Information (Details) - Accrued Expenses and Other Current Liabilities (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accrued Expenses and Other Current Liabilities [Abstract] | ' | ' |
Payroll and commissions payable | $2,827 | $4,857 |
Contingent consideration (current portion) and legal expenses | 1,256 | 1,603 |
Other accrued expenses and current liabilities | 1,274 | 1,503 |
Accrued expenses and other current liabilities | $5,357 | $7,963 |
Note_4_Other_Financial_Informa7
Note 4 - Other Financial Information (Details) - Accumulated Other Comprehensive Loss (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' |
Balance | ($27) | ' | ($27) | ' | ($107) |
Net other comprehensive income | 16 | 5 | 80 | -28 | ' |
Accumulated Translation Adjustment [Member] | ' | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' |
Balance | -38 | ' | -38 | ' | -106 |
Net other comprehensive income | ' | ' | 68 | ' | ' |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ' | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' |
Balance | 11 | ' | 11 | ' | -1 |
Net other comprehensive income | ' | ' | $12 | ' | ' |
Note_5_Investments_Details
Note 5 - Investments (Details) (USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 |
Investments, Debt and Equity Securities [Abstract] | ' | ' |
Proceeds from Sale of Available-for-sale Securities | $0 | $0 |
Note_5_Investments_Details_Ava
Note 5 - Investments (Details) - Available-For-Sale Securities (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Short-term investments: | ' | ' |
Amortized Cost | $15,120 | $19,551 |
Gross Unrealized Holding Gains | 17 | 17 |
Gross Unrealized Holding Losses | -5 | -18 |
Fair Value | 15,132 | 19,550 |
Short-term Investments [Member] | US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Short-term investments: | ' | ' |
Amortized Cost | 677 | 2,113 |
Gross Unrealized Holding Gains | ' | 3 |
Fair Value | 677 | 2,116 |
Short-term Investments [Member] | Corporate Debt Securities [Member] | ' | ' |
Short-term investments: | ' | ' |
Amortized Cost | 13,059 | 3,739 |
Gross Unrealized Holding Gains | 16 | 2 |
Gross Unrealized Holding Losses | -1 | -1 |
Fair Value | 13,074 | 3,740 |
Short-term Investments [Member] | ' | ' |
Short-term investments: | ' | ' |
Amortized Cost | 13,736 | 5,852 |
Gross Unrealized Holding Gains | 16 | 5 |
Gross Unrealized Holding Losses | -1 | -1 |
Fair Value | 13,751 | 5,856 |
Other Long-term Investments [Member] | US States and Political Subdivisions Debt Securities [Member] | ' | ' |
Short-term investments: | ' | ' |
Amortized Cost | ' | 227 |
Gross Unrealized Holding Gains | ' | 1 |
Fair Value | ' | 228 |
Other Long-term Investments [Member] | Corporate Debt Securities [Member] | ' | ' |
Short-term investments: | ' | ' |
Amortized Cost | 1,384 | 13,472 |
Gross Unrealized Holding Gains | 1 | 11 |
Gross Unrealized Holding Losses | -4 | -17 |
Fair Value | 1,381 | 13,466 |
Other Long-term Investments [Member] | ' | ' |
Short-term investments: | ' | ' |
Amortized Cost | 1,384 | 13,699 |
Gross Unrealized Holding Gains | 1 | 12 |
Gross Unrealized Holding Losses | -4 | -17 |
Fair Value | $1,381 | $13,694 |
Note_5_Investments_Details_Gro
Note 5 - Investments (Details) - Gross Unrealized Losses and Fair Values of Investments (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Note 5 - Investments (Details) - Gross Unrealized Losses and Fair Values of Investments [Line Items] | ' | ' |
Fair value, less than 12 months | $3,129 | $4,919 |
Gross unrealized losses, less then 12 months | -5 | -17 |
Fair value, 12 months or greater | ' | 524 |
Gross unrealized losses, 12 months or greater | ' | -1 |
Fair value, total | 3,129 | 5,443 |
Gross unrealized losses, total | -5 | -18 |
Corporate Debt Securities [Member] | ' | ' |
Note 5 - Investments (Details) - Gross Unrealized Losses and Fair Values of Investments [Line Items] | ' | ' |
Fair value, less than 12 months | 3,129 | 4,919 |
Gross unrealized losses, less then 12 months | -5 | -17 |
Fair value, 12 months or greater | ' | 524 |
Gross unrealized losses, 12 months or greater | ' | -1 |
Fair value, total | 3,129 | 5,443 |
Gross unrealized losses, total | ($5) | ($18) |
Note_5_Investments_Details_Amo
Note 5 - Investments (Details) - Amortized Cost and Fair Value of Available-For-Sale Securities (USD $) | Sep. 30, 2014 |
In Thousands, unless otherwise specified | |
Amortized Cost and Fair Value of Available-For-Sale Securities [Abstract] | ' |
Due in one year or less | $0 |
Due in one year or less | 0 |
Due after one year through three years | 15,120 |
Due after one year through three years | 15,132 |
Total available-for-sale securities | 15,120 |
Total available-for-sale securities | $15,132 |
Note_6_Lines_of_Credit_Details
Note 6 - Lines of Credit (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Jun. 05, 2012 | Jun. 05, 2012 | Jun. 05, 2012 | Sep. 30, 2014 | Dec. 31, 2013 | Jun. 05, 2012 | Sep. 30, 2014 | Dec. 31, 2013 | Jun. 05, 2012 | Dec. 31, 2009 | Dec. 31, 2009 | Dec. 31, 2009 | Sep. 30, 2014 | Dec. 31, 2013 | 31-May-12 |
Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [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 2009 Agreement [Member] | The 2009 Agreement [Member] | The 2009 Agreement [Member] | |||
The 2012 Agreement [Member] | The 2012 Agreement [Member] | The 2009 Agreement [Member] | The 2009 Agreement [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Standby Letters of Credit [Member] | Revolving Credit Facility [Member] | Standby Letters of Credit [Member] | |||||||||||
Prime Rate [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||||||||||||
Note 6 - Lines of Credit (Details) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | $10,000,000 | ' | ' | ' | ' | ' | $16,000,000 | $10,000,000 | $15,900,000 | $16,000,000 | ' | ' | ' |
Line of Credit Facility, Capacity Available for Trade Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
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% | ' | ' | ' | ' | ' | 105.00% |
Long-term Line of Credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of Credit Outstanding, Amount | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,700,000 | 1,300,000 | ' | ' | ' | ' | 2,300,000 | 3,600,000 | ' |
Restricted Cash and Cash Equivalents | $5,441,000 | $8,779,000 | $2,700,000 | $1,300,000 | $2,400,000 | $3,700,000 | $5,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash Collateral Balance, Percentage of Outstanding Standby Letters of Credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 101.00% | ' | ' | ' |
Cash Collateral Balance, Percentage of Outstanding Advances | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' |
Note_7_Equity_Details
Note 7 - Equity (Details) (USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | ||||||
In Millions, except Share data, unless otherwise specified | Jul. 29, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Feb. 28, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Apr. 30, 2014 | Oct. 01, 2014 | Jun. 30, 2014 | Oct. 01, 2014 | Jul. 31, 2014 | Oct. 15, 2014 | Oct. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Apr. 30, 2014 | Oct. 01, 2014 | Jun. 30, 2014 | Oct. 01, 2014 | Jul. 31, 2014 | Oct. 15, 2014 |
Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Subsequent Event [Member] | Certain Officers and Other Employees [Member] | An Emloyee [Member] | Chief Executive Officer [Member] | Certain Employee [Member] | Certain Employee [Member] | Chief Financial Officer [Member] | Chief Financial Officer [Member] | Chief Sales Officer [Member] | |||||
Certain Officers and Other Employees [Member] | An Emloyee [Member] | Chief Executive Officer [Member] | Certain Employee [Member] | Certain Employee [Member] | Chief Financial Officer [Member] | Chief Financial Officer [Member] | Chief Sales Officer [Member] | ||||||||||||||
Note 7 - Equity (Details) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Repurchase Program, Number of Shares Authorized to be Repurchased (in Shares) | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount (in Dollars) | ' | $6 | $6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Treasury Stock, Shares, Acquired (in Shares) | ' | 252,300 | 367,600 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 329,253 | ' | ' | ' | ' | ' | ' | ' | ' |
Treasury Stock, Value, Acquired, Cost Method (in Dollars) | ' | 1 | 1.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.2 | ' | ' | ' | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized (in Dollars) | ' | $3.90 | $3.90 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | ' | ' | '2 years 357 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures (in Shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 957,000 | 10,000 | 440,000 | 180,000 | 50,000 | 100,000 | 100,000 | 75,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | ' | ' | ' | '4 years | '4 years | '4 years | '4 years | '4 years | '4 years | '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) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $6 | $5.32 | $4.96 | $3.31 | $5.91 | $3.31 | $4.91 | $3.80 |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | ' | ' | ' | ' | '10 years | '10 years | '10 years | '10 years | '10 years | '10 years | '10 years | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants Exercised during the Period (in Shares) | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares Issued Upon Exercise of Warrants (in Shares) | 311,111 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants Cancelled and Considered Payment During the Period (in Shares) | 88,889 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
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, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Share based compensation expense | $413 | $530 | $1,628 | $1,717 |
Cost of Sales [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Share based compensation expense | 27 | 18 | 75 | 57 |
General and Administrative Expense [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Share based compensation expense | 222 | 339 | 916 | 1,153 |
Selling and Marketing Expense [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Share based compensation expense | 80 | 123 | 388 | 358 |
Research and Development Expense [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Share based compensation expense | $84 | $50 | $249 | $149 |
Note_8_Income_Taxes_Details
Note 8 - Income Taxes (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Effective Income Tax Rate Reconciliation, Percent | ' | 1.40% | 2.70% | ' |
Deferred Tax Assets, Valuation Allowance | ' | ' | ' | $13,400,000 |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $0 | $0 | ' | ' |
Note_9_Commitments_and_Conting2
Note 9 - Commitments and Contingencies (Details) | 9 Months Ended | 12 Months Ended | 0 Months Ended | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Oct. 03, 2014 | Oct. 03, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Nov. 05, 2014 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | |
USD ($) | USD ($) | USD ($) | Salary and Bonus [Member] | Alleged Stock Option [Member] | Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | Collateral for Stand-by Letters of Credit [Member] | Subsequent Event [Member] | Indemnification Agreement [Member] | Indemnification Agreement [Member] | The 2009 Agreement [Member] | The 2009 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | Minimum [Member] | Maximum [Member] | |
Subsequent Event [Member] | Subsequent Event [Member] | The 2009 Agreement [Member] | The 2009 Agreement [Member] | The 2012 Agreement [Member] | The 2012 Agreement [Member] | USD ($) | Mr. Borja Sanchez-Blanco [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||||
Mr. Borja Sanchez-Blanco [Member] | Mr. Borja Sanchez-Blanco [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||
EUR (€) | EUR (€) | ||||||||||||||||||
Note 9 - Commitments and Contingencies (Details) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Product Warranty Accrual, Preexisting, Increase (Decrease) | ($132,000) | ($132,000) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecorded Unconditional Purchase Obligation | ' | ' | 1,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Guarantor Obligations, Current Carrying Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' |
Warranty and Product Performance Guarantees as Percentage of Total Sales Agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | 30.00% |
Warranty and Product Performance Guarantees Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '24 months | '59 months |
Letters of Credit Outstanding, Amount | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,300,000 | 3,600,000 | 2,700,000 | 1,300,000 | ' | ' |
Restricted Cash and Cash Equivalents | ' | 8,779,000 | 5,441,000 | ' | ' | 2,400,000 | 3,700,000 | 2,700,000 | 1,300,000 | 5,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss Contingency, Damages Sought, Value (in Euro) | ' | ' | ' | 567,000 | 630,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss Contingency Accrual | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | ' | ' | ' | ' | ' | ' | ' | ' |
Note_9_Commitments_and_Conting3
Note 9 - Commitments and Contingencies (Details) - Operating Lease Obligations (USD $) | Sep. 30, 2014 |
In Thousands, unless otherwise specified | |
Operating Lease Obligations [Abstract] | ' |
2014 (remaining three months) | $456 |
2015 | 1,543 |
2016 | 1,575 |
2017 | 1,567 |
2018 | 1,591 |
Thereafter | 1,398 |
Total future minimum lease payments | $8,130 |
Note_9_Commitments_and_Conting4
Note 9 - Commitments and Contingencies (Details) - Product Warranty Liability (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Product Warranty Liability [Abstract] | ' | ' | ' | ' | ' |
Balance, beginning of period | $705,000 | $1,027,000 | $709,000 | $1,172,000 | $1,172,000 |
Warranty costs charged to cost of revenue | 34,000 | 39,000 | 87,000 | 177,000 | ' |
Change in estimate | ' | ' | ' | -132,000 | -132,000 |
Utilization of warranty | -50,000 | -30,000 | -107,000 | -181,000 | ' |
Balance, end of period | $689,000 | $1,036,000 | $689,000 | $1,036,000 | $709,000 |
Note_10_Business_Segment_and_G2
Note 10 - Business Segment and Geographic Information (Details) | 9 Months Ended |
Sep. 30, 2014 | |
Segment Reporting [Abstract] | ' |
Number of Reportable Segments | 1 |
Note_10_Business_Segment_and_G3
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, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Revenue (in Dollars) | $5,342 | $4,868 | $15,646 | $19,810 | ||||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | EGYPT | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | 13.00% | 2.00% | 9.00% | 4.00% | ||||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | UNITED STATES | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | 5.00% | 16.00% | 5.00% | 13.00% | ||||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | SINGAPORE | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | 4.00% | 11.00% | 2.00% | 4.00% | ||||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | CHINA | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | 3.00% | 17.00% | 6.00% | 9.00% | ||||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | TURKEY | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | 3.00% | 13.00% | 2.00% | 3.00% | ||||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | INDIA | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | 2.00% | 2.00% | 4.00% | 11.00% | ||||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | South Korea [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | ' | [1] | 16.00% | ' | [1] | 5.00% | ||
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | Others [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Percentage revenue | 70.00% | [2] | 23.00% | [2] | 72.00% | [2] | 51.00% | [2] |
Sales Revenue, Net [Member] | Geographic Concentration Risk [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
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] | ' | ' | ' | ' | ||||
Revenue (in Dollars) | 249 | 778 | 833 | 2,541 | ||||
International [Member] | ' | ' | ' | ' | ||||
Note 10 - Business Segment and Geographic Information (Details) - Revenues by Geographic Area [Line Items] | ' | ' | ' | ' | ||||
Revenue (in Dollars) | $5,093 | $4,090 | $14,813 | $17,269 | ||||
[1] | Less than 1%. | |||||||
[2] | Includes remaining countries not separately disclosed. No country in this line itemaccounted for more than 10% of our net revenue during the periods presented. |
Note_11_Concentrations_Details
Note 11 - Concentrations (Details) - Accounts Receivable Concentrations (Accounts Receivable [Member], Customer Concentration Risk [Member]) | 9 Months Ended | ||
Sep. 30, 2014 | Dec. 31, 2013 | ||
Customer A [Member] | ' | ' | |
Concentration Risk [Line Items] | ' | ' | |
Customer | ' | [1] | 19.00% |
Customer B [Member] | ' | ' | |
Concentration Risk [Line Items] | ' | ' | |
Customer | ' | [1] | 16.00% |
Customer C [Member] | ' | ' | |
Concentration Risk [Line Items] | ' | ' | |
Customer | ' | [1] | 17.00% |
Customer D [Member] | ' | ' | |
Concentration Risk [Line Items] | ' | ' | |
Customer | ' | [1] | 14.00% |
[1] | Less than 10%. |
Note_11_Concentrations_Details1
Note 11 - Concentrations (Details) - Revenue Concentrations (Sales Revenue, Goods, Net [Member], Customer Concentration Risk [Member]) | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Customer E [Member] | ' | ' | ' | ' | |||
Concentration Risk [Line Items] | ' | ' | ' | ' | |||
Customer | ' | [1] | 17.00% | ' | [1] | ' | [1] |
Customer F [Member] | ' | ' | ' | ' | |||
Concentration Risk [Line Items] | ' | ' | ' | ' | |||
Customer | ' | [1] | 16.00% | ' | [1] | ' | [1] |
Customer G [Member] | ' | ' | ' | ' | |||
Concentration Risk [Line Items] | ' | ' | ' | ' | |||
Customer | ' | [1] | 10.00% | ' | [1] | ' | [1] |
[1] | Less than 10%. |
Note_12_Fair_Value_Measurement2
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | ||
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 | $15,132 | $19,550 | ||
Total assets | 15,132 | 19,550 | ||
Total liabilities | ' | 1,524 | ||
Short-term Investments [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [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 | 13,751 | 5,856 | ||
Short-term Investments [Member] | Fair Value, Measurements, Recurring [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 | 13,751 | 5,856 | ||
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 | 13,751 | 5,856 | ||
Other Long-term Investments [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [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 | 1,381 | 13,694 | ||
Other Long-term Investments [Member] | Fair Value, Measurements, Recurring [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 | 1,381 | 13,694 | ||
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 | 1,381 | 13,694 | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [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] | Fair Value, Measurements, Recurring [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] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Total assets | 15,132 | 19,550 | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Contingent consideration | ' | [1] | 1,524 | [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] | ' | ' | ||
Total liabilities | ' | 1,524 | ||
Fair Value, Measurements, Recurring [Member] | ' | ' | ||
Note 12 - Fair Value Measurements (Details) - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis [Line Items] | ' | ' | ||
Contingent consideration | ' | [1] | $1,524 | [1] |
[1] | Included in Accrued Expenses and Other Current Liabilities and Other Non-Current Liabilities. |
Note_12_Fair_Value_Measurement3
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, 2014 | Dec. 30, 2013 |
Contingent Consideration [Member] | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Balance | ' | $1,524 |
Net gain on settlement | -149 | ' |
Settlement payment | -1,375 | ' |
Balance | ' | $1,524 |