Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Oct. 31, 2015 | Dec. 15, 2015 | |
Entity Registrant Name | Comarco Inc | |
Entity Central Index Key | 22,252 | |
Trading Symbol | cmro | |
Current Fiscal Year End Date | --01-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | No | |
Entity Common Stock, Shares Outstanding (in shares) | 14,644,165 | |
Document Type | 10-Q | |
Document Period End Date | Oct. 31, 2015 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Oct. 31, 2015 | Jan. 31, 2015 |
ASSETS | ||
Cash and cash equivalents | $ 985,000 | $ 2,140,000 |
Accounts receivable due from suppliers, net of reserves of $0 | 122,000 | 122,000 |
Other current assets | 80,000 | 7,000 |
Total current assets | 1,187,000 | 2,269,000 |
Property and equipment, net | 4,000 | 8,000 |
Restricted cash | 82,000 | 5,000 |
Total assets | 1,273,000 | 2,282,000 |
LIABILITIES AND STOCKHOLDERS' DEFICIT | ||
Accounts payable | 734,000 | 737,000 |
Accrued liabilities | $ 675,000 | 848,000 |
Income taxes payable | 40,000 | |
Total current liabilities | $ 1,409,000 | 1,625,000 |
Total liabilities | $ 1,409,000 | $ 1,625,000 |
Commitments and Contingencies | ||
Stockholders' Deficit: | ||
Preferred stock, no par value, 10,000,000 shares authorized; no shares issued or outstanding | $ 0 | $ 0 |
Common stock, $0.10 par value, 50,625,000 shares authorized; 14,644,165 and 14,684,165 shares issued and outstanding at October 31, 2015 January 31, 2015, respectively | 1,464,000 | 1,468,000 |
Additional paid-in capital | 18,355,000 | 18,322,000 |
Accumulated deficit | (19,955,000) | (19,133,000) |
Total stockholders' deficit | (136,000) | 657,000 |
Total liabilities and stockholders' deficit | $ 1,273,000 | $ 2,282,000 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) | Oct. 31, 2015 | Jan. 31, 2015 |
Accounts receivable, reserves | $ 0 | $ 0 |
Preferred Stock, Par Value (in dollars per share) | $ 0 | $ 0 |
Preferred Stock Shares Authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, Shares Issued (in shares) | 0 | 0 |
Preferred Stock, Shares Outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized (in shares) | 50,625,000 | 50,625,000 |
Common stock, shares issued (in shares) | 14,644,165 | 14,684,165 |
Common stock, shares outstanding (in shares) | 14,644,165 | 14,684,165 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2015 | Oct. 31, 2014 | |
Revenue | ||||
Cost of revenue | $ (1,099) | |||
Gross profit | 1,099 | |||
Selling, general and administrative expenses | $ 236 | $ 241 | $ 789 | 835 |
Engineering and support expenses | 10 | 89 | 58 | 283 |
246 | 330 | 847 | 1,118 | |
Operating loss | $ (246) | $ (330) | $ (847) | (19) |
Interest expense, net | (380) | |||
Change in fair value of derivative liabilities | 226 | |||
Other income, net | $ 25 | 6,662 | ||
(Loss) Income from operations before income taxes | $ (246) | $ (330) | $ (822) | 6,489 |
Income tax expense | 2 | |||
Net (loss) income | $ (246) | $ (330) | $ (822) | $ 6,487 |
Basic (loss) income per share: (in dollars per share) | $ (0.02) | $ (0.02) | $ (0.06) | $ 0.44 |
Diluted (loss) income per share: (in dollars per share) | $ (0.02) | $ (0.02) | $ (0.06) | $ 0.44 |
Weighted-average shares outstanding: | ||||
Basic (in shares) | 14,644 | 14,684 | 14,654 | 14,684 |
Diluted (in shares) | 14,644 | 14,886 | 14,654 | 14,830 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Oct. 31, 2015 | Oct. 31, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net (loss) income | $ (822,000) | $ 6,487,000 |
Adjustments to reconcile net loss from continuing operations to net cash used in operating activities: | ||
Depreciation and amortization | $ 4,000 | 5,000 |
Amortization of loan discount | 333,000 | |
Stock-based compensation expense | $ 29,000 | 36,000 |
Provision for doubtful accounts receivable | 6,000 | |
Change in fair value of derivative liabilities | (226,000) | |
Changes in operating assets and liabilities | ||
Other assets | $ (73,000) | (6,000) |
Increase (Decrease) in Accounts Payable | (3,000) | (3,617,000) |
Accrued liabilities | (173,000) | $ (249,000) |
Income taxes payable | (40,000) | |
Net cash (used in) provided by operating activities | (1,078,000) | $ 2,769,000 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Restricted cash | (77,000) | 77,000 |
Net cash (used in) provided by investing activites | $ (77,000) | 77,000 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Loan repayment | (1,500,000) | |
Net cash used in financing activities | (1,500,000) | |
Net (decrease) increase in cash and cash equivalents | $ (1,155,000) | 1,346,000 |
Cash and cash equivalents, beginning of period | 2,140,000 | 1,096,000 |
Cash and cash equivalents, end of period | $ 985,000 | 2,442,000 |
Supplementary disclosures of cash flow information: | ||
Cash paid for interest | 68,000 | |
Cash paid for income taxes, net of refunds | $ 40,000 | $ 2,000 |
Note 1 - Organization
Note 1 - Organization | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. Organization Comarco, Inc. was incorporated in California in 1960 and its common stock has been publicly traded since 1971, when it was spun-off from Genge Industries, Inc. Comarco Inc.’s wholly-owned subsidiary, Comarco Wireless Technologies, Inc. (“CWT”), was incorporated in the state of Delaware in September 1993. Comarco and CWT are collectively referred to as “we,” “us,” “our,” “Comarco,” or the “Company”. |
Note 2 - Current Developments,
Note 2 - Current Developments, Future Operations, Liquidity and Capital Resources | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Going Concern [Text Block] | 2. Current Developments, Future Operations, Liquidity and Capital Resources The condensed financial statements have been prepared assuming that we will continue to operate as a going concern, which contemplates that we will realize returns on our assets and satisfy our liabilities and commitments in the ordinary course of business. Our consolidated financial statements do not reflect any adjustments related to the outcome of the uncertainty of this outcome. As discussed elsewhere in this report, we are currently generating no revenues and have ceased traditional operations. Our future is highly dependent on our ability to successfully resolve our current litigation, monetize on our portfolio of patents, generate positive cash flows and/or obtain borrowings or raise capital to meet our liquidity needs. As previously announced in August 2013, Lenovo Information Products Co., Ltd. (“Lenovo”), our only material customer, notified us of their intention to cease offering our Constellation product, the power adapter we designed and developed for Lenovo, and terminate its relationship with us. We completed shipping product to Lenovo during our third quarter ended November 30, 2013. The loss of Lenovo as a customer eliminated our only commercial revenue source and has had a material adverse impact on our results of operations. We have reduced and/or eliminated certain operating expenses to minimize future losses and cash burn and will continue our efforts in this regard. Two of our recent litigation matters have concluded. In the Chicony Power Technology, Co. Ltd., (“Chicony”) matter, effective as of May 15, 2014, Chicony entered into a settlement agreement with us that dismissed all claims between the two parties arising from the litigation. Pursuant to the terms of the settlement agreement, Chicony agreed to pay us $7.6 million. Settlement amounts of $4.0 million and $3.6 million were paid on May 16, 2014 and May 30, 2014, respectively. Of the $7.6 million, we retained $6.5 million, after distributing $1.1 million in attorneys’ fees and other costs. In connection with the settlement, certain contract manufacturer costs payable to Chicony totaling $1.1 million were discharged and reflected as a reduction of cost of revenues. In our litigation with ACCO Brands USA LLC and its Kensington Computer Products Group division (collectively “Kensington”), on February 4, 2014, we entered into a confidential settlement and licensing agreement with an effective date of February 1, 2014 that established a forward royalty program and dismissed all claims between the two parties arising from this matter. On March 10, 2014, we filed a lawsuit in federal court against Targus Group International, Inc. (“Targus”) for patent infringement, breach of contract, intentional interference with contract, violation of business and professional codes, misrepresentation and fraudulent concealment (the “Federal Action”). Targus sought reexamination of the patents at issue. The Federal Action was voluntarily dismissed at our request without prejudice to re-filing the federal claims. On June 5, 2014, we then filed a state court action for breach of contract, fraudulent concealment, unfair competition and accounting in the Orange County Superior Court (the “State Court Action”). On December 4, 2014, the Superior Court ordered the State Court Action into arbitration and the arbitration hearing is set for April 2016. We are seeking damages of at least $17 million. We intend to vigorously pursue our rights in this case, although the outcome of this matter is not determinable as of the date of this report. On February 3, 2015, we filed a lawsuit against Apple, Inc. (“Apple”) for patent infringement. The complaint alleges that Apple products sold in the United States utilizing the Apple Lightning® power supply adapter system, including most iPad®, iPhone®, and iPod® products, infringe the Company’s patented intellectual property. On February 13, 2015, we filed a lawsuit against Best Buy Co., Inc. (“Best Buy”) for patent infringement under the patent laws of the United States. The complaint alleges that certain Best Buy power charging products sold in the United States under the Rocketfish brand infringe the Company’s patented intellectual property. We intend to vigorously pursue our rights in this case, although the outcome of this matter is not determinable as of the date of this report. We believe that our patent portfolio covering key technical aspects of our products could potentially generate a future revenue stream based upon royalties paid to us by others for the use of some or all of our patents in third party products. We continue to explore opportunities to expand, protect, and monetize our patent portfolio, including through the sale or licensing of our patent portfolio. We may or may not resume our traditional activities of producing innovative charging solutions for battery powered devices. There are no assurances that any of these potential opportunities or activities will occur or be successful. We had negative working capital of approximately $0.2 million as of October 31, 2015, which includes liabilities of $0.4 million related to the remaining balance owed to our former counsel Pillsbury Winthrop Shaw Pittman, LLP (“Pillsbury”) and $0.6 million owed to Zheng Ge Electrical Co., Ltd. (“Zheng Ge”) for contract manufacturing services for our former Bronx product, which was subsequently subject to recall (see Note 6). The $0.4 million balance to Pillsbury will be paid, if at all, in the event we obtain any monetary recovery, whether through settlement, judgment or otherwise, from or as a result of any of our current or future lawsuits related to our intellectual property (see Note 6). Regarding the $0.6 million liability to Zheng Ge, we dispute our obligation to pay this amount based on the recall of the Bronx product. It is possible that an ultimate resolution with Zheng Ge may include a net settlement, although we currently have no legal right to offset the $0.6 million owed by us. Because of the contingent nature of our liability to Pillsbury and that we dispute our obligation to pay Zheng Ge, we believe that our working capital, although a deficit of $0.2 million for accounting purposes, will allow us to discharge non-contingent and non-disputed liabilities and commitments in the normal course of business over the next twelve months. We are currently generating no revenues and have ceased traditional operations. Our future is highly dependent on our ability to successfully resolve our current litigation, capitalize on our portfolio of patents, generate positive cash flows and/or obtain borrowings or raise capital to meet our future liquidity needs. The opinion the Company received from its independent registered public accounting firm on its January 31, 2015 financial statements contains and explanatory paragraph stating that there is substantial doubt regarding the Company’s ability to continue as a going concern. We have and will continue to analyze alternatives to build and/or preserve value for our stakeholders, including, but not limited to, exploring additional investment and incremental financing from current and/or new investors, the engagement of advisors to assist in exploring strategic options for us as well as identifying potential partnerships for the purpose of monetizing some or all of the our patent portfolio and past, present, and future infringement claims. However, there can be no assurances that we will be successful in identifying and/or implementing any of these alternatives, or if implemented, that any of these alternatives will successfully preserve or increase shareholder value. |
Note 3 - Summary of Significant
Note 3 - Summary of Significant Accounting Policies | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 3. Summary of Significant Accounting Policies The summary of our significant accounting policies presented below is designed to assist the reader in understanding our condensed consolidated financial statements. Basis of Presentation The accompanying condensed consolidated balance sheet as of October 31, 2015, which has been derived from our audited financial statements, and our unaudited interim condensed consolidated financial statements as of October 31, 2015 included herein have been prepared without audit in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The Company believes that the disclosures are adequate to make the information presented not misleading when read in conjunction with the audited consolidated financial statements included in the Company’s annual report on Form 10-K for its fiscal year ended January 31, 2015 (the “2015 Form 10-K”), which was filed with the SEC on April 30, 2015. The accounting policies followed by the Company are set forth in Note 2 to the Company’s audited financial statements included in the 2015 Form 10-K. The unaudited interim condensed consolidated financial information presented herein reflects all adjustments, consisting only of normal recurring accruals, which are, in the opinion of management, necessary for a fair presentation of the consolidated results for the interim periods presented. The consolidated results for the three and nine months ended October 31, 2015 are not necessarily indicative of the results to be expected for the fiscal year ending January 31, 2016. Principles of Consolidation The unaudited interim condensed consolidated financial statements of the Company include the accounts of Comarco, Inc. and CWT, its wholly owned subsidiary. All material intercompany balances, transactions, and profits and losses have been eliminated. Cash and Cash Equivalents All highly liquid investments with original maturity dates of three months or less when acquired are classified as cash and cash equivalents. The fair value of cash and cash equivalents approximates the amounts shown in the consolidated financial statements. Cash and cash equivalents are generally maintained in uninsured accounts, typically Eurodollar deposits with daily liquidity, which are subject to investment risk including possible loss of Accounts Receivable Due from Suppliers Previously, when we were engaged in our traditional operations of producing charging solutions for battery powered devices, we were often able to source components locally that we later sold to our contract manufacturers, who built the finished goods, and other suppliers. This was especially true when new products were initially introduced into production. Sales to our contract manufacturers (or “CMs”) and other suppliers were excluded from revenue and were recorded as a reduction to cost of revenue. As of October 31, 2015, the entire accounts receivable due from suppliers was from Zheng Ge, a tip supplier for our Bronx product, which was subject to a recall. We ceased paying Zheng Ge during the course of the product recall while we investigated the manufacturing defect which ultimately caused the recall and, likewise, Zheng Ge ceased paying us. As of October 31, 2015, we owe Zheng Ge $0.6 million for contract manufacturing services. Although we currently have no legal right to offset the $0.6 million owed by us, it is possible that an ultimate resolution with Zheng Ge may include a net settlement. Accordingly, we did not provide an allowance for doubtful accounts against the Zheng Ge receivable. Restricted Cash Our restricted cash balances are secured by separate bank accounts and represent 1) $5,000 which serves as collateral for credit card orders placed through our internet website and 2) a $77,000 letter of credit that serves as the security deposit for our corporate office lease. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenue and expenses during the periods reported. Actual results could materially differ from those estimates. Certain accounting principles require subjective and complex judgments to be used in the preparation of financial statements. Accordingly, a different financial presentation could result depending on the judgments, estimates, or assumptions that are used. Such estimates and assumptions include, but are not specifically limited to, those required in the assessment of the impairment of long-lived assets, valuation allowances for deferred tax assets, valuation of derivative liabilities and determination of stock-based compensation. Fair Value of Financial Instruments Our financial instruments include cash and cash equivalents, accounts receivable due from customers and suppliers, accounts payable and accrued liabilities. The carrying amount of cash and cash equivalents, accounts receivable, accounts payable, and accrued liabilities are considered to be representative of their respective fair values because of the short-term nature of those instruments. Legal expense classification Our legal expenses are classified in either selling, general, and administrative expenses or engineering and support expenses depending on the nature of the legal expense. All legal expenses incurred related to our intellectual property, including associated litigation expense and maintenance of our patent portfolio, are included in engineering and support expenses in our consolidated statement of operations. All other legal expenses, including all other litigation expense and public company legal expense, are included in selling, general, and administrative expenses in our consolidated statement of operations. |
Note 4 - Stock-Based Compensati
Note 4 - Stock-Based Compensation | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 4. Stock-Based Compensation We grant stock awards for a fixed number of shares to employees, consultants, and directors pursuant to the Company’s shareholder-approved equity incentive plans. We account for stock-based compensation using the modified prospective method, which requires measurement of compensation cost for all stock awards at fair value on date of grant and recognition of compensation over the service period for awards expected to vest. The fair value of stock options is determined using a Lattice Binomial model for options with performance-based vesting tied to the Company’s stock price and the Black-Scholes valuation model for options with ratable term vesting. Both the Lattice Binomial and Black-Scholes valuation models require the input of subjective assumptions. These assumptions include estimating the length of time optionees will retain their vested stock options before exercising them (the “expected term”), the estimated volatility of our common stock price over the expected term, and the number of awards that will ultimately not complete their vesting requirements (“forfeitures”). Changes in these subjective assumptions can materially affect the estimate of fair value of stock-based compensation and, consequently, the related amount recognized as an expense on the consolidated statements of operations. As required under applicable accounting rules, we review our valuation assumptions at each grant date and, as a result, we are likely to change our valuation assumptions used to value stock-based awards granted in future periods. The values derived from using either the Lattice Binomial or the Black-Scholes model are recognized as an expense over the vesting period, net of estimated forfeitures. The estimation of stock awards that will ultimately vest requires significant judgment. Actual results, and future changes in estimates, may differ from our current estimates. The compensation expense recognized is summarized in the table below (in thousands except per share amounts): Three Months Ended Nine Months Ended October 31, October 31, 2015 2014 2015 2014 Stock-based compensation expense $ 13 $ 12 $ 29 $ 36 Impact on basic and diluted earnings per share $ (0.00 ) $ (0.00 ) $ (0.00 ) $ (0.00 ) The total compensation cost related to nonvested awards not yet recognized is approximately $30,000. During the nine months ended October 31, 2015, 350,000 stock options were granted and no restricted stock units were granted. The fair value of the 350,000 options granted under our stock option plans during the nine months ended October 31, 2015 was estimated on the date of grant using the following weighted average assumptions: Nine Months Ended October 31, 2015 Weighted average risk-free interest rate 2 % Expected life (in years) 10 Expected stock volatility 152 % Dividend yield - Expected forfeitures - During the three and nine months ended October 31, 2014, no stock awards were granted. Transactions and other information related to stock options granted under these plans for the nine months ended October 31, 2015 are summarized below: Outstanding Options Weighted-Ave. Number of Exercise Shares Price Balance, January 31, 2015 600,000 $ 0.96 Options granted 350,000 0.15 Options canceled or expired - - Options exercise - - Balance, October 31, 2015 950,000 $ 0.66 Stock Options Exercisable at October 31, 2015 560,000 $ 0.94 Transactions and other information related to restricted stock granted under these plans for the nine months ended October 31, 2015 are summarized below: Outstanding Restricted Stock Units Weighted-Ave. Number of Exercise Shares Price Balance, January 31, 2015 390,000 $ 0.18 Restricted stock granted - - Restricted stock forfeited (40,000 ) 0.18 Resticted stock vested (350,000 ) 0.18 Balance, October 31, 2015 - $ - As of October 31, 2015, the stock awards outstanding have an aggregate intrinsic value of $700, based on a closing market price of $0.16 per share on October 31, 2015. The following table summarizes information about the Company’s stock awards outstanding at October 31, 2015: Awards Outstanding Options Exercisable Weighted-Ave. Range of Number Remaining Weighted-Ave. Number Weighted-Ave. Exercise/Grant Prices Outstanding Contractual Life Exercise/Grant Price Exercisable Exercise Price $0.14 250,000 9.64 $ 0.14 0 $ 0.14 $0.16 100,000 9.59 $ 0.16 0 $ 0.16 $0.40 465,000 6.95 $ 0.40 465,000 $ 0.40 $1.09 100,000 3.03 1.09 60,000 1.09 $4.53 15,000 2.33 4.53 15,000 4.53 $10.43 20,000 0.64 10.43 20,000 10.43 950,000 0.66 560,000 0.94 Shares available under the plans for future grants at October 31, 2015 were 129,724. |
Note 5 - Net (Loss) Income Per
Note 5 - Net (Loss) Income Per Share | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 5. Net (Loss) Income Per Share The Company calculates basic (loss) income per share by dividing net (loss) income by the weighted-average number of common shares outstanding during the reporting period. Diluted (loss) income per share reflects the effects of potentially dilutive securities. Since the Company incurred a net loss for the three and nine months ended October 31, 2015, basic and diluted loss per share for this period was the same because the inclusion of dilutive potential common shares related to outstanding stock awards in the calculation would have been antidilutive. Potential common shares of 787,912 and 662,868 relating to outstanding stock awards to directors and our employee, respectively, have been excluded from diluted weighted average common shares for the three and nine months ended October 31, 2015, respectively, as the effect would have been antidilutive. The following table presents reconciliations of the numerators and denominators of the basic and diluted loss per share computations for net (loss) income. In the tables below, “Net (loss) income” represents the numerator and “shares” represents the denominator (in thousands, except per share amounts): Three Months Ended October 31, Nine Months Ended October 31, 2015 2014 2015 2014 Net (loss) income $ (246 ) $ (330 ) $ (822 ) $ 6,487 Basic net (loss) income per share: Weighted-average shares outstanding-Basic 14,644 14,684 14,654 14,684 Basic net (loss) income per share $ (0.02 ) $ (0.02 ) $ (0.06 ) $ 0.44 Diluted net (loss) income per share: Weighted average shares outstanding - basic 14,644 14,684 14,654 14,684 Effect of potentially dilutive securities - 202 - 146 Weighted average shares outstanding - diluted 14,644 14,886 14,654 14,830 Diluted net (loss) income per share $ (0.02 ) $ (0.02 ) $ (0.06 ) $ 0.44 |
Note 6 - Supplier Concentration
Note 6 - Supplier Concentrations | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Customer and Supplier Concentrations [Text Block] | 6. Supplier Concentrations The suppliers comprising 10 percent or more of the Company’s gross accounts receivable due from suppliers at either October 31, 2015 and January 31, 2015 are listed below (in thousands, except percentages). As of October 31, As of January 31, 2015 2015 Total gross accounts receivable due from suppliers $ 122 100 % $ 122 100 % Accounts receivable concentration: Zheng Ge Electrical Co., Ltd. $ 122 100 % $ 122 100 % $ 122 100 % $ 122 100 % Zheng Ge was a tip supplier for our Bronx product, which was subject to a recall. We previously sourced some of the component parts that Zheng Ge used in the manufacture of the tips. We ceased paying Zheng Ge during the course of the product recall. Likewise, Zheng Ge ceased paying us. The companies comprising 10 percent or more of our gross accounts payable at either October 31, 2015 and January 31, 2015 are listed below (in thousands, except percentages). As of October 31, As of January 31, 2015 2015 Total gross accounts payable $ 734 100 % $ 737 100 % Supplier concentration: Zheng Ge 270 37 % 270 37 % Pillsbury Winthrop Shaw Pittman, LLP 432 59 % 432 59 % $ 702 96 % $ 702 95 % Pillsbury was our former legal counsel for the Kensington litigation as well as other patent and intellectual property matters (see Note 9). On May 28, 2014, we entered into an agreement with Pillsbury in which we paid Pillsbury a lump sum of $1.5 million and the remaining balance of $0.4 million (“the Balance”) was modified and is to be paid, if at all, in the event we obtain any monetary recovery, whether through settlement, judgment or otherwise, after May 28, 2014 from or as a result of any of our current or future lawsuits related to our intellectual property. The amount payable shall be equal to the Balance plus 20% per annum, compounded annually from May 28, 2014. In connection with the $1.5 million lump-sum partial repayment, no gain was recognized. |
Note 7 - Accrued Liabilities
Note 7 - Accrued Liabilities | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | 7. Accrued Liabilities Accrued liabilities consist of the following (in thousands): October 31, January 31, 2015 2015 Uninvoiced materials and services received $ 331 $ 331 Accrued legal and professional fees 97 138 Accrued payroll and related expenses 29 38 Other 218 341 $ 675 $ 848 As of October 31, 2015, approximately $0.3 million or 98 percent of total uninvoiced materials and services of $0.3 million, included in accrued liabilities, were due to Zheng Ge. As discussed in Notes 2 and 3 above, we dispute our obligation to pay Zheng Ge due to the recall of the Bronx product. |
Note 8 - Commitments and Contin
Note 8 - Commitments and Contingencies | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 8. Commitments and Contingencies Executive Severance Commitments We have a severance compensation agreement with our Chief Executive Officer, Thomas Lanni. This agreement requires us to pay Mr. Lanni, in the event of a termination of employment following a change of control of the Company or certain other circumstances, the amount of his then current annual base salary and the amount of any bonus amount he would have achieved for the year in which the termination occurs plus the acceleration of unvested options. We have not recorded any liability in the consolidated financial statements for this agreement. As a result of the Company’s sale of the 6,250,000 shares of common stock to Elkhorn Partners in 2013, Elkhorn’s beneficial ownership of the Company increased from approximately 9% to approximately 49% of the Company’s outstanding voting stock, making Elkhorn the Company’s largest shareholder and resulting in a change of control for purposes of the severance compensation agreement. Mr. Lanni has waived his right to receive payments under this agreement as a result of the change in Elkhorn’s beneficial ownership of the Company. Executive and Board of Directors Compensation On November 2, 2013, the Company approved a deferred compensation plan for its Chief Executive Officer and Board of Directors. As of October 31, 2015, no compensation expense has been accrued under this deferred compensation plan as its goal has not yet been attained. Legal Contingencies On March 10, 2014, we filed a lawsuit in federal court against Targus for patent infringement, breach of contract, intentional interference with contract, violation of business and professional codes, misrepresentation and fraudulent concealment. Targus sought reexamination of the patents at issue. The federal action was voluntarily dismissed at our request without prejudice to re-filing the federal claims. A state court action for breach of contract, fraudulent concealment, unfair competition and accounting was then filed by us in the Orange County Superior Court on June 5, 2014. On December 4, 2014, the Superior Court ordered the state court action into arbitration and the arbitration hearing is set for April 2016. We are seeking damages of at least $17 million. Although we intend to vigorously pursue our rights in this case, the outcome of this matter is not determinable as of the date of this report. On February 3, 2015, we filed a lawsuit against Apple for patent infringement. The complaint alleges that Apple products sold in the United States utilizing the Apple Lightning® power supply adapter system, including most iPad®, iPhone®, and iPod® products, infringe the Company’s patented intellectual property. This lawsuit represents our most significant enforcement effort to date, and, together with the Best Buy and Targus lawsuits, demonstrates the our ongoing and accelerated efforts to methodically pursue those companies that we believe have infringed on the intellectual property estate that we have developed over the last 20 years. Although we intend to vigorously pursue our rights in this case, the outcome of this matter is not determinable as of the date of this report. On February 13, 2015, we filed a lawsuit against Best Buy for patent infringement under the patent laws of the United States. The complaint alleges that certain Best Buy power charging products sold in the United States under the Rocketfish brand infringe the Company’s patented intellectual property. Although we intend to vigorously pursue our rights in this case, the outcome of this matter is not determinable as of the date of this report. In addition to the pending matters described above, we are, from time to time, involved in various legal proceedings incidental to the conduct of our business. We are unable to predict the ultimate outcome of these matters. |
Note 9 - Legal Settlement
Note 9 - Legal Settlement | 9 Months Ended |
Oct. 31, 2015 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | 9. Legal Settlement On April 26, 2011, Chicony, the contract manufacturer of the Bronx product that was the subject of a product recall, filed a complaint against us for breach of contract, seeking payment of $1.2 million for the alleged non-payment by us of amounts alleged by Chicony to be due it for products purchased from it by the Company. We denied liability and filed a cross-complaint on May 13, 2011 seeking the recovery of damages of $4.9 million caused by Chicony's failure to adhere to our technical specifications when manufacturing the Bronx product, which we believe resulted in the recall of the product. On April 16, 2013, the court approved our first-amended cross-complaint, which added intentional interference to our complaint and increased the damages we were seeking to at least $15.0 million. On February 4, 2014, a jury returned a verdict in our favor and awarded us damages of approximately $10.8 million, offset by previously accrued liabilities of $1.1 million for a net award of approximately $9.7 million. Effective as of May 15, 2014, Chicony entered into a settlement agreement with us that dismissed all claims between the parties arising from the litigation referenced above. Pursuant to the terms of the settlement agreement, Chicony agreed to pay us $7.6 million in lieu of the jury’s net award of $9.7 million or any other related costs or fees. $4.0 million of the settlement amount was paid to us on May 16, 2014, with the balance of $3.6 million paid to us on May 30, 2014. We recorded a gain of $7.6 million associated with this settlement in the quarter ended July 31, 2014. As a result of the settlement agreement, the $1.1 million payable to Chicony for contract manufacturing costs has been legally dismissed and discharged and recorded as an offset to Cost of Revenues in the quarter ended July 31, 2014. Further pursuant to the settlement agreement, each party released the other and its affiliates from any and all claims related to the subject matter of the litigation and we covenanted not to sue Chicony on the next 500,000 power adapters sold by Chicony after May 15, 2014 that we allege infringe on our intellectual property rights. The settlement agreement also contains other representations, warranties and covenants of both parties that are customary for an agreement of this type. On September 1, 2011, subsequent to receiving an infringement notification from us, Kensington filed a lawsuit against us alleging that five of our patents relating to power technology are invalid and/or not infringed by products made and/or sold by Kensington. On February 29, 2012, we denied these claims and filed a cross-complaint alleging infringement by Kensington of each of these five patents. On February 4, 2014, Kensington entered into a settlement and licensing agreement with the Company with an effective date of February 1, 2014 that dismissed all claims between the two parties arising from the litigation referenced above. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Oct. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation The accompanying condensed consolidated balance sheet as of October 31, 2015, which has been derived from our audited financial statements, and our unaudited interim condensed consolidated financial statements as of October 31, 2015 included herein have been prepared without audit in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The Company believes that the disclosures are adequate to make the information presented not misleading when read in conjunction with the audited consolidated financial statements included in the Company’s annual report on Form 10-K for its fiscal year ended January 31, 2015 (the “2015 Form 10-K”), which was filed with the SEC on April 30, 2015. The accounting policies followed by the Company are set forth in Note 2 to the Company’s audited financial statements included in the 2015 Form 10-K. The unaudited interim condensed consolidated financial information presented herein reflects all adjustments, consisting only of normal recurring accruals, which are, in the opinion of management, necessary for a fair presentation of the consolidated results for the interim periods presented. The consolidated results for the three and nine months ended October 31, 2015 are not necessarily indicative of the results to be expected for the fiscal year ending January 31, 2016. |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The unaudited interim condensed consolidated financial statements of the Company include the accounts of Comarco, Inc. and CWT, its wholly owned subsidiary. All material intercompany balances, transactions, and profits and losses have been eliminated. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents All highly liquid investments with original maturity dates of three months or less when acquired are classified as cash and cash equivalents. The fair value of cash and cash equivalents approximates the amounts shown in the consolidated financial statements. Cash and cash equivalents are generally maintained in uninsured accounts, typically Eurodollar deposits with daily liquidity, which are subject to investment risk including possible loss of |
Accounts Receivable from Suppliers [Policy Text Block] | Accounts Receivable Due from Suppliers Previously, when we were engaged in our traditional operations of producing charging solutions for battery powered devices, we were often able to source components locally that we later sold to our contract manufacturers, who built the finished goods, and other suppliers. This was especially true when new products were initially introduced into production. Sales to our contract manufacturers (or “CMs”) and other suppliers were excluded from revenue and were recorded as a reduction to cost of revenue. As of October 31, 2015, the entire accounts receivable due from suppliers was from Zheng Ge, a tip supplier for our Bronx product, which was subject to a recall. We ceased paying Zheng Ge during the course of the product recall while we investigated the manufacturing defect which ultimately caused the recall and, likewise, Zheng Ge ceased paying us. As of October 31, 2015, we owe Zheng Ge $0.6 million for contract manufacturing services. Although we currently have no legal right to offset the $0.6 million owed by us, it is possible that an ultimate resolution with Zheng Ge may include a net settlement. Accordingly, we did not provide an allowance for doubtful accounts against the Zheng Ge receivable. |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Restricted Cash Our restricted cash balances are secured by separate bank accounts and represent 1) $5,000 which serves as collateral for credit card orders placed through our internet website and 2) a $77,000 letter of credit that serves as the security deposit for our corporate office lease. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenue and expenses during the periods reported. Actual results could materially differ from those estimates. Certain accounting principles require subjective and complex judgments to be used in the preparation of financial statements. Accordingly, a different financial presentation could result depending on the judgments, estimates, or assumptions that are used. Such estimates and assumptions include, but are not specifically limited to, those required in the assessment of the impairment of long-lived assets, valuation allowances for deferred tax assets, valuation of derivative liabilities and determination of stock-based compensation. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments Our financial instruments include cash and cash equivalents, accounts receivable due from customers and suppliers, accounts payable and accrued liabilities. The carrying amount of cash and cash equivalents, accounts receivable, accounts payable, and accrued liabilities are considered to be representative of their respective fair values because of the short-term nature of those instruments. |
Selling, General and Administrative Expenses, Policy [Policy Text Block] | Legal expense classification Our legal expenses are classified in either selling, general, and administrative expenses or engineering and support expenses depending on the nature of the legal expense. All legal expenses incurred related to our intellectual property, including associated litigation expense and maintenance of our patent portfolio, are included in engineering and support expenses in our consolidated statement of operations. All other legal expenses, including all other litigation expense and public company legal expense, are included in selling, general, and administrative expenses in our consolidated statement of operations. |
Note 4 - Stock-Based Compensa16
Note 4 - Stock-Based Compensation (Tables) | 9 Months Ended |
Oct. 31, 2015 | |
Notes Tables | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | Three Months Ended Nine Months Ended October 31, October 31, 2015 2014 2015 2014 Stock-based compensation expense $ 13 $ 12 $ 29 $ 36 Impact on basic and diluted earnings per share $ (0.00 ) $ (0.00 ) $ (0.00 ) $ (0.00 ) |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Nine Months Ended October 31, 2015 Weighted average risk-free interest rate 2 % Expected life (in years) 10 Expected stock volatility 152 % Dividend yield - Expected forfeitures - |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Outstanding Options Weighted-Ave. Number of Exercise Shares Price Balance, January 31, 2015 600,000 $ 0.96 Options granted 350,000 0.15 Options canceled or expired - - Options exercise - - Balance, October 31, 2015 950,000 $ 0.66 Stock Options Exercisable at October 31, 2015 560,000 $ 0.94 |
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | Outstanding Restricted Stock Units Weighted-Ave. Number of Exercise Shares Price Balance, January 31, 2015 390,000 $ 0.18 Restricted stock granted - - Restricted stock forfeited (40,000 ) 0.18 Resticted stock vested (350,000 ) 0.18 Balance, October 31, 2015 - $ - |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding and Exercisable [Table Text Block] | Awards Outstanding Options Exercisable Weighted-Ave. Range of Number Remaining Weighted-Ave. Number Weighted-Ave. Exercise/Grant Prices Outstanding Contractual Life Exercise/Grant Price Exercisable Exercise Price $0.14 250,000 9.64 $ 0.14 0 $ 0.14 $0.16 100,000 9.59 $ 0.16 0 $ 0.16 $0.40 465,000 6.95 $ 0.40 465,000 $ 0.40 $1.09 100,000 3.03 1.09 60,000 1.09 $4.53 15,000 2.33 4.53 15,000 4.53 $10.43 20,000 0.64 10.43 20,000 10.43 950,000 0.66 560,000 0.94 |
Note 5 - Net (Loss) Income Pe17
Note 5 - Net (Loss) Income Per Share (Tables) | 9 Months Ended |
Oct. 31, 2015 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended October 31, Nine Months Ended October 31, 2015 2014 2015 2014 Net (loss) income $ (246 ) $ (330 ) $ (822 ) $ 6,487 Basic net (loss) income per share: Weighted-average shares outstanding-Basic 14,644 14,684 14,654 14,684 Basic net (loss) income per share $ (0.02 ) $ (0.02 ) $ (0.06 ) $ 0.44 Diluted net (loss) income per share: Weighted average shares outstanding - basic 14,644 14,684 14,654 14,684 Effect of potentially dilutive securities - 202 - 146 Weighted average shares outstanding - diluted 14,644 14,886 14,654 14,830 Diluted net (loss) income per share $ (0.02 ) $ (0.02 ) $ (0.06 ) $ 0.44 |
Note 6 - Supplier Concentrati18
Note 6 - Supplier Concentrations (Tables) | 9 Months Ended |
Oct. 31, 2015 | |
Notes Tables | |
Schedule of Accounts Receivable by Major Suppliers by Reporting Segments [Table Text Block] | As of October 31, As of January 31, 2015 2015 Total gross accounts receivable due from suppliers $ 122 100 % $ 122 100 % Accounts receivable concentration: Zheng Ge Electrical Co., Ltd. $ 122 100 % $ 122 100 % $ 122 100 % $ 122 100 % |
Equity Method Investments [Table Text Block] | As of October 31, As of January 31, 2015 2015 Total gross accounts payable $ 734 100 % $ 737 100 % Supplier concentration: Zheng Ge 270 37 % 270 37 % Pillsbury Winthrop Shaw Pittman, LLP 432 59 % 432 59 % $ 702 96 % $ 702 95 % |
Note 7 - Accrued Liabilities (T
Note 7 - Accrued Liabilities (Tables) | 9 Months Ended |
Oct. 31, 2015 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | October 31, January 31, 2015 2015 Uninvoiced materials and services received $ 331 $ 331 Accrued legal and professional fees 97 138 Accrued payroll and related expenses 29 38 Other 218 341 $ 675 $ 848 |
Note 2 - Current Developments20
Note 2 - Current Developments, Future Operations, Liquidity and Capital Resources (Details Textual) - USD ($) | Dec. 04, 2014 | May. 30, 2014 | May. 16, 2014 | May. 15, 2014 | Feb. 04, 2014 | May. 30, 2014 | Oct. 31, 2015 | Oct. 31, 2014 | Jan. 31, 2015 |
Chicony Power Technology Company Ltd [Member] | Net of Attorneys Fees [Member] | |||||||||
Proceeds from Legal Settlements | $ 6,500,000 | ||||||||
Chicony Power Technology Company Ltd [Member] | Cost of Sales [Member] | |||||||||
Increase (Decrease) in Accounts Payable | (1,100,000) | ||||||||
Chicony Power Technology Company Ltd [Member] | |||||||||
Litigation Settlement, Amount | $ 7,600,000 | $ 7,600,000 | $ 9,700,000 | ||||||
Proceeds from Legal Settlements | $ 3,600,000 | $ 4,000,000 | |||||||
Professional Fees | $ 1,100,000 | ||||||||
Pillsbury Winthrop Shaw Pittman L L P [Member] | Litigation Reserve [Member | |||||||||
Liabilities, Current | $ 400,000 | ||||||||
Zheng Ge Electrical Company Ltd [Member] | Litigation Reserve [Member | |||||||||
Liabilities, Current | 600,000 | ||||||||
Increase (Decrease) in Accounts Payable | (3,000) | $ (3,617,000) | |||||||
Legal Contingency Damage Seeking Value | $ 17,000,000 | ||||||||
Negative Working Capital | 200,000 | ||||||||
Liabilities, Current | $ 1,409,000 | $ 1,625,000 |
Note 3 - Summary of Significa21
Note 3 - Summary of Significant Accounting Policies (Details Textual) | Oct. 31, 2015USD ($) |
Collateral for Credit Card [Member] | |
Restricted Cash and Cash Equivalents | $ 5,000 |
Letter of Credit [Member] | |
Restricted Cash and Cash Equivalents | 77,000 |
Accounts Payable and Other Accrued Liabilities | $ 600,000 |
Note 4 - Stock-Based Compensa22
Note 4 - Stock-Based Compensation (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |
Oct. 31, 2014 | Oct. 31, 2015 | Oct. 31, 2014 | |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 0 | 0 | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 0 | 350,000 | 0 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 30,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 700 | ||
Share Price | $ 0.16 | ||
Common Stock, Capital Shares Reserved for Future Issuance | 129,724 |
Note 4 - Stock-Based Compensa23
Note 4 - Stock-Based Compensation - Share-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2015 | Oct. 31, 2014 | |
Stock-based compensation expense | $ 13 | $ 12 | $ 29 | $ 36 |
Impact on basic and diluted earnings per share (in dollars per share) | $ 0 | $ 0 | $ 0 | $ 0 |
Note 4 - Stock-Based Compensa24
Note 4 - Stock-Based Compensation - Weighted Average Assumptions (Details) | 9 Months Ended |
Oct. 31, 2015 | |
Weighted average risk-free interest rate | 2.00% |
Expected life (in years) | 10 years |
Expected stock volatility | 152.00% |
Dividend yield | |
Expected forfeitures |
Note 4 - Stock-Based Compensa25
Note 4 - Stock-Based Compensation - Stock Options Activity (Details) | 9 Months Ended |
Oct. 31, 2015$ / sharesshares | |
Balance (in shares) | shares | 600,000 |
Balance (in dollars per share) | $ / shares | $ 0.96 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | shares | 350,000 |
Options granted weighted-average exercise price (in dollars per share) | $ / shares | $ 0.15 |
Options canceled or expired (in shares) | shares | 0 |
Options canceled or expired weighted-average exercise price (in dollars per share) | $ / shares | $ 0 |
Options exercise (in shares) | shares | 0 |
Options exercise weighted-average exercise price (in dollars per share) | $ / shares | $ 0 |
Balance (in shares) | shares | 950,000 |
Balance (in dollars per share) | $ / shares | $ 0.66 |
Stock Options Exercisable at October 31, 2015 (in shares) | shares | 560,000 |
Stock Options Exercisable at October 31, 2015 (in dollars per share) | $ / shares | $ 0.94 |
Note 4 - Stock-Based Compensa26
Note 4 - Stock-Based Compensation - Restricted Stock Activity (Details) - Restricted Stock [Member] | 9 Months Ended |
Oct. 31, 2015$ / sharesshares | |
Balance (in shares) | shares | 390,000 |
Balance (in dollars per share) | $ / shares | $ 0.18 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 0 |
Restricted stock granted (in dollars per share) | $ / shares | |
Restricted stock forfeited (in shares) | shares | (40,000) |
Restricted stock forfeited (in dollars per share) | $ / shares | $ 0.18 |
Resticted stock vested (in shares) | shares | (350,000) |
Resticted stock vested (in dollars per share) | $ / shares | $ 0.18 |
Balance (in shares) | shares | 0 |
Balance (in dollars per share) | $ / shares |
Note 4 - Stock-Based Compensa27
Note 4 - Stock-Based Compensation - Stock Awards Outstanding (Details) | 9 Months Ended |
Oct. 31, 2015$ / sharesshares | |
Range 1 [Member] | |
Number Outstanding (in shares) | shares | 250,000 |
Weighted-Ave. Remaining Contractual Life | 9 years 233 days |
Range of Exercise/Grant Prices (in dollars per share) | $ / shares | $ 0.14 |
Number Exercisable (in shares) | shares | 0 |
Weighted-Ave. Exercise Price (in dollars per share) | $ / shares | $ 0.14 |
Range 2 [Member] | |
Number Outstanding (in shares) | shares | 100,000 |
Weighted-Ave. Remaining Contractual Life | 9 years 215 days |
Range of Exercise/Grant Prices (in dollars per share) | $ / shares | $ 0.16 |
Number Exercisable (in shares) | shares | 0 |
Weighted-Ave. Exercise Price (in dollars per share) | $ / shares | $ 0.16 |
Range 3 [Member] | |
Number Outstanding (in shares) | shares | 465,000 |
Weighted-Ave. Remaining Contractual Life | 6 years 346 days |
Range of Exercise/Grant Prices (in dollars per share) | $ / shares | $ 0.40 |
Number Exercisable (in shares) | shares | 465,000 |
Weighted-Ave. Exercise Price (in dollars per share) | $ / shares | $ 0.40 |
Range 4 [Member] | |
Number Outstanding (in shares) | shares | 100,000 |
Weighted-Ave. Remaining Contractual Life | 3 years 10 days |
Range of Exercise/Grant Prices (in dollars per share) | $ / shares | $ 1.09 |
Number Exercisable (in shares) | shares | 60,000 |
Weighted-Ave. Exercise Price (in dollars per share) | $ / shares | $ 1.09 |
Range 5 [Member] | |
Number Outstanding (in shares) | shares | 15,000 |
Weighted-Ave. Remaining Contractual Life | 2 years 120 days |
Range of Exercise/Grant Prices (in dollars per share) | $ / shares | $ 4.53 |
Number Exercisable (in shares) | shares | 15,000 |
Weighted-Ave. Exercise Price (in dollars per share) | $ / shares | $ 4.53 |
Range 6 [Member] | |
Number Outstanding (in shares) | shares | 20,000 |
Weighted-Ave. Remaining Contractual Life | 233 days |
Range of Exercise/Grant Prices (in dollars per share) | $ / shares | $ 10.43 |
Number Exercisable (in shares) | shares | 20,000 |
Weighted-Ave. Exercise Price (in dollars per share) | $ / shares | $ 10.43 |
Number Outstanding (in shares) | shares | 950,000 |
Weighted-Ave. Remaining Contractual Life | |
Range of Exercise/Grant Prices (in dollars per share) | $ / shares | $ 0.66 |
Number Exercisable (in shares) | shares | 560,000 |
Weighted-Ave. Exercise Price (in dollars per share) | $ / shares | $ 0.94 |
Note 5 - Net (Loss) Income Pe28
Note 5 - Net (Loss) Income Per Share (Details Textual) - shares | 3 Months Ended | 9 Months Ended |
Oct. 31, 2015 | Oct. 31, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 787,912 | 662,868 |
Note 5 - Net (Loss) Income Pe29
Note 5 - Net (Loss) Income Per Share - Summary of Basic and Diluted Earnings Per Share (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2015 | Oct. 31, 2014 | |
Net (loss) income | $ (246) | $ (330) | $ (822) | $ 6,487 |
Basic net (loss) income per share: | ||||
Weighted-average shares outstanding-Basic (in shares) | 14,644 | 14,684 | 14,654 | 14,684 |
Basic net (loss) income per share (in dollars per share) | $ (0.02) | $ (0.02) | $ (0.06) | $ 0.44 |
Diluted net (loss) income per share: | ||||
Weighted-average shares outstanding-Basic (in shares) | 14,644 | 14,684 | 14,654 | 14,684 |
Effect of potentially dilutive securities (in shares) | 202 | 146 | ||
Weighted average shares outstanding - diluted (in shares) | 14,644 | 14,886 | 14,654 | 14,830 |
Diluted net (loss) income per share (in dollars per share) | $ (0.02) | $ (0.02) | $ (0.06) | $ 0.44 |
Note 6 - Supplier Concentrati30
Note 6 - Supplier Concentrations (Details Textual) - Pillsbury Winthrop Shaw Pittman L L P [Member] $ in Millions | May. 28, 2014USD ($) |
Lump Sum Legal Fee | $ 1.5 |
Accrued Professional Fees | $ 0.4 |
Interest Rate for Outstanding Legal Fees Payable Solely with Settlement | 20.00% |
Note 6 - Supplier Concentrati31
Note 6 - Supplier Concentrations - Supplier Concentration Risk Accounts Receivable (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Oct. 31, 2015 | Jan. 31, 2015 | |
Supplier Concentration Risk [Member] | Zheng Ge Electrical Company Ltd [Member] | ||
Total gross accounts receivable due from suppliers | $ 122 | $ 122 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Accounts receivable concentration: | ||
Total gross accounts receivable due from suppliers | $ 122 | $ 122 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Supplier Concentration Risk [Member] | ||
Total gross accounts receivable due from suppliers | $ 122 | $ 122 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Accounts receivable concentration: | ||
Total gross accounts receivable due from suppliers | $ 122 | $ 122 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Total gross accounts receivable due from suppliers | $ 122 | $ 122 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Total gross accounts receivable due from suppliers | $ 122 | $ 122 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Note 6 - Supplier Concentrati32
Note 6 - Supplier Concentrations - Supplier Concentration Risk Accounts Payable (Details) - USD ($) | 9 Months Ended | 12 Months Ended |
Oct. 31, 2015 | Jan. 31, 2015 | |
Supplier Concentration Risk [Member] | Accounts Payable [Member] | Zheng Ge Electrical Company Ltd [Member] | ||
Total gross accounts payable | $ 270,000 | $ 270,000 |
Accounts receivable due from suppliers, percentage | 37.00% | 37.00% |
Accounts receivable concentration: | ||
Total gross accounts payable | $ 270,000 | $ 270,000 |
Accounts receivable due from suppliers, percentage | 37.00% | 37.00% |
Supplier Concentration Risk [Member] | Accounts Payable [Member] | Pillsbury Winthrop Shaw Pittman L L P [Member] | ||
Total gross accounts payable | $ 432,000 | $ 432,000 |
Accounts receivable due from suppliers, percentage | 59.00% | 59.00% |
Accounts receivable concentration: | ||
Total gross accounts payable | $ 432,000 | $ 432,000 |
Accounts receivable due from suppliers, percentage | 59.00% | 59.00% |
Supplier Concentration Risk [Member] | Accounts Payable [Member] | ||
Total gross accounts payable | $ 702,000 | $ 702,000 |
Accounts receivable due from suppliers, percentage | 96.00% | 95.00% |
Accounts receivable concentration: | ||
Total gross accounts payable | $ 702,000 | $ 702,000 |
Accounts receivable due from suppliers, percentage | 96.00% | 95.00% |
Supplier Concentration Risk [Member] | Zheng Ge Electrical Company Ltd [Member] | ||
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Accounts receivable concentration: | ||
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Supplier Concentration Risk [Member] | ||
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Accounts receivable concentration: | ||
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Total gross accounts payable | $ 734,000 | $ 737,000 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Total gross accounts payable | $ 734,000 | $ 737,000 |
Accounts receivable due from suppliers, percentage | 100.00% | 100.00% |
Note 7 - Accrued Liabilities (D
Note 7 - Accrued Liabilities (Details Textual) | 9 Months Ended |
Oct. 31, 2015USD ($) | |
Zheng Ge Electrical Company Ltd [Member] | Uninvoiced Materials and Services [Member] | |
Loss Contingencies [Line Items] | |
Accounts Payable and Other Accrued Liabilities | $ 300,000 |
Percent of Total Uninvoiced Materials and Services | 98.00% |
Zheng Ge Electrical Company Ltd [Member] | Total Uninvoiced Materials and Services [Member] | |
Loss Contingencies [Line Items] | |
Accounts Payable and Other Accrued Liabilities | $ 300,000 |
Accounts Payable and Other Accrued Liabilities | $ 600,000 |
Note 7 - Accrued Liabilities -
Note 7 - Accrued Liabilities - Accrued Liabilities (Details) - USD ($) $ in Thousands | Oct. 31, 2015 | Jan. 31, 2015 |
Uninvoiced Materials and Services Received [Member] | ||
Accrued liabilities | $ 331 | $ 331 |
Accrued Legal and Professional Fees [Member] | ||
Accrued liabilities | 97 | 138 |
Accrued Payroll and Related Expenses [Member] | ||
Accrued liabilities | 29 | 38 |
Accrued Other Liabilities [Member] | ||
Accrued liabilities | 218 | 341 |
Accrued liabilities | $ 675 | $ 848 |
Note 8 - Commitments and Cont35
Note 8 - Commitments and Contingencies (Details Textual) - USD ($) $ in Millions | Dec. 04, 2014 | Oct. 31, 2015 | Jan. 31, 2015 | Feb. 11, 2013 |
Previous Ownership Percentage [Member] | ||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 9.00% | |||
New Ownership Percentage [Member] | ||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 49.00% | |||
Common Stock, Shares, Issued | 14,644,165 | 14,684,165 | 6,250,000 | |
Legal Contingency Damage Seeking Value | $ 17 |
Note 9 - Legal Settlement (Deta
Note 9 - Legal Settlement (Details Textual) $ in Millions | May. 30, 2014USD ($) | May. 16, 2014USD ($) | May. 15, 2014USD ($) | Feb. 04, 2014USD ($) | Apr. 26, 2011USD ($) | Jul. 31, 2014USD ($) | Apr. 16, 2013USD ($) | Feb. 29, 2012 | Sep. 01, 2011 | May. 13, 2011USD ($) |
Additional Damages Sought [Member] | ||||||||||
Loss Contingencies [Line Items] | ||||||||||
Gain Contingency, Unrecorded Amount | $ 15 | |||||||||
Gross Amount [Member] | Chicony Power Technology Company Ltd [Member] | ||||||||||
Loss Contingencies [Line Items] | ||||||||||
Litigation Settlement, Amount | $ 10.8 | |||||||||
Chicony Power Technology Company Ltd [Member] | ||||||||||
Loss Contingencies [Line Items] | ||||||||||
Litigation Settlement, Amount | $ 7.6 | $ 7.6 | 9.7 | |||||||
Previously Accrued Seeking Payments | $ 1.1 | |||||||||
Proceeds from Legal Settlements | $ 3.6 | $ 4 | ||||||||
Gain (Loss) Related to Litigation Settlement | $ 7.6 | |||||||||
Number of Units Under Indemnity Agreement | 500,000 | |||||||||
Loss Contingency, Damages Sought, Value | $ 1.2 | |||||||||
Loss Contingency Amount Claimed for Recovery of Damages | $ 4.9 | |||||||||
Number of Patents Relating to Power Technology | 5 | |||||||||
Number of Comarco Patents | 5 |