Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2023 | Nov. 03, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2023 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 001-34170 | |
Entity Registrant Name | MicroVision, Inc. | |
Entity Central Index Key | 0000065770 | |
Entity Tax Identification Number | 91-1600822 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 18390 NE 68th Street | |
Entity Address, City or Town | Redmond | |
Entity Address, State or Province | WA | |
Entity Address, Postal Zip Code | 98052 | |
City Area Code | (425) | |
Local Phone Number | 936-6847 | |
Title of 12(b) Security | Common Stock, $0.001 par value per share | |
Trading Symbol | MVIS | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 189,985,743 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 49,366 | $ 20,536 |
Investment securities, available-for-sale | 28,677 | 62,173 |
Restricted cash, current | 3,263 | |
Accounts receivable, net | 740 | |
Inventory | 3,616 | 1,861 |
Advance to Ibeo | 4,132 | |
Other current assets | 5,765 | 2,306 |
Total current assets | 91,427 | 91,008 |
Property and equipment, net | 9,461 | 6,830 |
Operating lease right-of-use asset | 14,223 | 14,579 |
Restricted cash | 961 | 1,418 |
Intangible assets, net | 17,766 | 75 |
Other assets | 2,110 | 1,086 |
Total assets | 135,948 | 114,996 |
Current liabilities | ||
Accounts payable | 2,294 | 2,061 |
Accrued liabilities | 7,204 | 2,058 |
Accrued liability for Ibeo business combination | 6,118 | |
Contract liabilities | 4,958 | 4,601 |
Current portion of operating lease liability | 2,432 | 1,846 |
Current portion of finance lease obligations | 2 | 21 |
Other current liabilities | 1,058 | 839 |
Total current liabilities | 24,066 | 11,426 |
Operating lease liability, net of current portion | 13,027 | 13,829 |
Other long-term liabilities | 597 | |
Total liabilities | 37,690 | 25,255 |
Commitments and contingencies (Note 10) | ||
Shareholders’ equity | ||
Preferred stock, par value $0.001; 25,000 shares authorized; no and no shares issued and outstanding | ||
Common stock, par value $0.001; 310,000 shares authorized; 189,829 and 170,503 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively | 190 | 171 |
Additional paid-in capital | 843,975 | 772,221 |
Subscriptions receivable | (323) | |
Accumulated other comprehensive gain (loss) | 45 | (127) |
Accumulated deficit | (745,629) | (682,524) |
Total shareholders’ equity | 98,258 | 89,741 |
Total liabilities and shareholders’ equity | $ 135,948 | $ 114,996 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 25,000 | 25,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 310,000 | 310,000 |
Common stock, shares issued | 189,829 | 170,503 |
Common stock, shares outstanding | 189,829 | 170,503 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||||
Revenue | $ 1,047 | $ 2,158 | $ 664 | |
Cost of Revenue | 625 | 45 | 1,870 | 67 |
Gross profit | 422 | (45) | 288 | 597 |
Research and development expense | 15,584 | 7,535 | 42,127 | 22,828 |
Sales, marketing, general and administrative expense | 8,743 | 5,522 | 27,172 | 17,664 |
Gain on disposal of fixed assets | (10) | (25) | ||
Total operating expenses | 24,317 | 13,057 | 69,274 | 40,492 |
Loss from operations | (23,895) | (13,102) | (68,986) | (39,895) |
Bargain purchase gain, net of tax | 1,706 | |||
Other income | 637 | 251 | 4,846 | 279 |
Net loss before taxes | (23,258) | (12,851) | (62,434) | (39,616) |
Income tax expense | (211) | (671) | ||
Net loss | $ (23,469) | $ (12,851) | $ (63,105) | $ (39,616) |
Net loss per share, basic | $ (0.12) | $ (0.08) | $ (0.35) | $ (0.24) |
Net loss per share, diluted | $ (0.12) | $ (0.08) | $ (0.35) | $ (0.24) |
Weighted-average shares outstanding - basic | 188,306 | 165,687 | 180,156 | 165,167 |
Weighted-average shares outstanding - diluted | 188,306 | 165,687 | 180,156 | 165,167 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||||
Net loss | $ (23,469) | $ (12,851) | $ (63,105) | $ (39,616) |
Other comprehensive loss: | ||||
Unrealized gain (loss) on investment securities, available-for-sale | 22 | (16) | 117 | (175) |
Foreign currency translation adjustments | 31 | 55 | ||
Total comprehensive income (loss) | 53 | (16) | 172 | (175) |
Comprehensive loss | $ (23,416) | $ (12,867) | $ (62,933) | $ (39,791) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Receivables from Stockholder [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2021 | $ 164 | $ 742,042 | $ (19) | $ (629,433) | $ 112,754 | |
Beginning balance, share at Dec. 31, 2021 | 164,363 | |||||
Share-based compensation expense | $ 1 | 11,934 | 11,935 | |||
Share-based compensation expense, share | 997 | |||||
Exercise of options | $ 1 | 726 | 727 | |||
Exercise of options, share | 525 | |||||
Net loss | (39,616) | (39,616) | ||||
Other comprehensive loss | (175) | (175) | ||||
Ending balance, value at Sep. 30, 2022 | $ 166 | 754,702 | (194) | (669,049) | 85,625 | |
Ending balance, share at Sep. 30, 2022 | 165,885 | |||||
Beginning balance, value at Dec. 31, 2021 | $ 164 | 742,042 | (19) | (629,433) | 112,754 | |
Beginning balance, share at Dec. 31, 2021 | 164,363 | |||||
Ending balance, value at Dec. 31, 2022 | $ 171 | 772,221 | (127) | (682,524) | $ 89,741 | |
Ending balance, share at Dec. 31, 2022 | 170,503 | 170,503 | ||||
Beginning balance, value at Jun. 30, 2022 | $ 165 | 750,311 | (178) | (656,198) | $ 94,100 | |
Beginning balance, share at Jun. 30, 2022 | 165,438 | |||||
Share-based compensation expense | 4,081 | 4,081 | ||||
Share-based compensation expense, share | 240 | |||||
Exercise of options | $ 1 | 310 | 311 | |||
Exercise of options, share | 207 | |||||
Net loss | (12,851) | (12,851) | ||||
Other comprehensive loss | (16) | (16) | ||||
Ending balance, value at Sep. 30, 2022 | $ 166 | 754,702 | (194) | (669,049) | 85,625 | |
Ending balance, share at Sep. 30, 2022 | 165,885 | |||||
Beginning balance, value at Dec. 31, 2022 | $ 171 | 772,221 | (127) | (682,524) | $ 89,741 | |
Beginning balance, share at Dec. 31, 2022 | 170,503 | 170,503 | ||||
Ending balance, value at Jun. 30, 2023 | $ 188 | 835,410 | (925) | (8) | (722,160) | $ 112,505 |
Ending balance, share at Jun. 30, 2023 | 187,620 | |||||
Beginning balance, value at Dec. 31, 2022 | $ 171 | 772,221 | (127) | (682,524) | $ 89,741 | |
Beginning balance, share at Dec. 31, 2022 | 170,503 | 170,503 | ||||
Share-based compensation expense | $ 1 | 10,769 | $ 10,770 | |||
Share-based compensation expense, share | 1,410 | |||||
Exercise of options | 175 | 175 | ||||
Exercise of options, share | 191 | |||||
Sales of common stock, net | $ 18 | 60,810 | (323) | 60,505 | ||
Sales of common stock, net, share | 17,725 | |||||
Net loss | (63,105) | (63,105) | ||||
Other comprehensive loss | 172 | 172 | ||||
Ending balance, value at Sep. 30, 2023 | $ 190 | 843,975 | (323) | 45 | (745,629) | $ 98,258 |
Ending balance, share at Sep. 30, 2023 | 189,829 | 189,829 | ||||
Beginning balance, value at Jun. 30, 2023 | $ 188 | 835,410 | (925) | (8) | (722,160) | $ 112,505 |
Beginning balance, share at Jun. 30, 2023 | 187,620 | |||||
Share-based compensation expense | 4,343 | 4,343 | ||||
Share-based compensation expense, share | 411 | |||||
Exercise of options | 7 | 7 | ||||
Exercise of options, share | 11 | |||||
Sales of common stock, net | $ 2 | 4,215 | 602 | 4,819 | ||
Sales of common stock, net, share | 1,787 | |||||
Net loss | (23,469) | (23,469) | ||||
Other comprehensive loss | 53 | 53 | ||||
Ending balance, value at Sep. 30, 2023 | $ 190 | $ 843,975 | $ (323) | $ 45 | $ (745,629) | $ 98,258 |
Ending balance, share at Sep. 30, 2023 | 189,829 | 189,829 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities | ||
Net loss | $ (63,105) | $ (39,616) |
Adjustments to reconcile net loss to net cash used in operations: | ||
Depreciation and amortization | 6,288 | 1,425 |
Bargain purchase gain, net of tax | (1,706) | |
Gain on disposal of fixed assets | (25) | |
Impairment of property and equipment | 12 | 60 |
Inventory write-downs | 61 | 60 |
Share-based compensation expense | 11,506 | 11,935 |
Net accretion of premium on short-term investments | (986) | 290 |
Change in: | ||
Accounts receivable | (740) | |
Inventory | (619) | (42) |
Other current and non-current assets | (3,214) | (662) |
Accounts payable | 896 | (2,160) |
Accrued liabilities | 4,321 | 418 |
Contract liabilities and other current liabilities | (1,405) | (386) |
Operating lease liabilities | (1,813) | (938) |
Other long-term liabilities | 17 | |
Net cash used in operating activities | (50,512) | (29,616) |
Cash flows from investing activities | ||
Sales of investment securities | 61,700 | 34,700 |
Purchases of investment securities | (27,101) | (63,726) |
Cash paid for Ibeo business combination | (11,233) | |
Purchases of property and equipment | (1,981) | (2,017) |
Net cash provided by (used in) investing activities | 21,385 | (31,043) |
Cash flows from financing activities | ||
Principal payments under finance leases | (19) | (20) |
Principal payments under long-term debt | (392) | |
Proceeds from stock option exercises | 175 | 727 |
Net proceeds from issuance of common stock | 60,607 | |
Net cash provided by financing activities | 60,763 | 315 |
Change in cash, cash equivalents, and restricted cash | 31,636 | (60,344) |
Cash, cash equivalents, and restricted cash at beginning of period | 21,954 | 83,739 |
Cash, cash equivalents, and restricted cash at end of period | 53,590 | 23,395 |
Supplemental schedule of non-cash investing and financing activities | ||
Non-cash additions to property and equipment | 645 | |
Amounts issued to escrow for acquisition consideration | 3,263 | |
Acquisition of right-to-use asset | 1,294 | 9,622 |
Accrued financing fees | 101 | |
Issuance of common stock for subscriptions receivable | 323 | |
Foreign currency translation adjustments | 55 | |
Unrealized loss on investment securities, available-for-sale | $ 117 | $ 175 |
Reconciliation of Cash Suppleme
Reconciliation of Cash Supplement (unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Cash and cash equivalents | $ 49,366 | $ 20,536 |
Restricted cash, current | 3,263 | |
Restricted cash | 961 | 1,418 |
Cash, cash equivalents and restricted cash | $ 53,590 | $ 21,954 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure [Table] | ||||
Net Income (Loss) Attributable to Parent | $ (23,469) | $ (12,851) | $ (63,105) | $ (39,616) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 shares | |
Trading Arrangements, by Individual [Table] | |
Material Terms of Trading Arrangement | (c) Except as disclosed below during the three months ended September 30, 2023, none of our directors or officers (as defined in Rule 16a-1(f) under the Securities Exchange Act of 1934, as amended) adopted or terminated a Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement (as such terms are defined in Item 408 of Regulation S-K of the Securities Act of 1933, as amended). In connection with the vesting of shares of our common stock underlying restricted stock unit or performance stock unit awards, and pursuant to the terms of our 2022 Equity Incentive Plan, on August 14, 2023 Sumit Sharma Chief Executive Officer 300,000 2.8 |
Name | Sumit Sharma |
Title | Chief Executive Officer |
Adoption Date | August 14, 2023 |
Aggregate Available | 300,000 |
2022 Equity Incentive Plan [Member] | |
Trading Arrangements, by Individual [Table] | |
Aggregate Available | 2,800,000 |
MANAGEMENT_S STATEMENT
MANAGEMENT’S STATEMENT | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
MANAGEMENT’S STATEMENT | 1. MANAGEMENT’S STATEMENT The Condensed Consolidated Balance Sheets as of September 30, 2023, the Condensed Consolidated Statements of Operations, Condensed Consolidated Statements of Comprehensive Loss and the Condensed Consolidated Statements of Shareholders’ Equity for the three and nine months ended September 30, 2023 and 2022, and the Condensed Consolidated Statements of Cash Flows for the nine months ended September 30, 2023 and 2022, have been prepared by MicroVision, Inc. (“we” or “our”) and have not been audited. In the opinion of management, all adjustments necessary to state fairly the financial position at September 30, 2023 and the results of operations and cash flows for all periods presented have been made and consist of normal recurring adjustments. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to the rules of the Securities and Exchange Commission (SEC). The year-end condensed balance sheet data was derived from audited financial statements but does not include all disclosures required by accounting principles generally accepted in the United States of America. You should read these Condensed Consolidated financial statements in conjunction with the financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the operating results that may be attained for the entire fiscal year. We are developing lidar sensors and perception software to address the needs of the Level 2+, or L2+, and Level 3, or L3, advanced driver-assistance systems (ADAS) markets to be used in automotive safety and autonomous driving applications. Our micro-electromechanical systems, or MEMS-based high-speed lidar sensors, which we call MAVIN™, use our pioneering laser beam scanning (LBS) technology. Our solution-based development approach recognizes two key realities of the L2+ and L3 markets: that safety is mission critical and that OEMs require cost efficiency and integration adaptability. With these factors in mind, we believe that our best-in-class MAVIN lidar sensors support critical safety needs by providing the highest resolution at range and velocity of moving objects with a dynamic field of view while running at 30 hertz, thus enabling ADAS features, such as automatic emergency braking, forward collision warning, and automatic emergency steering, at higher speeds of operation than most competing products. We completed the acquisition of Ibeo Automotive Systems GmbH (“Ibeo”) assets on January 31, 2023 pursuant to the terms and subject to the conditions of the Asset Purchase Agreement, dated December 1, 2022, and amended as of January 31, 2023, by and between our wholly owned subsidiary, MicroVision GmbH organized under the laws of The Federal Republic of Germany, and Ibeo for a purchase price of EUR 15.0 16.3 3.9 4.1 2.7 3.0 599,000 650,000 250 2.3 2.5 We have incurred significant losses since inception. We have funded our operations to date primarily through the sale of common stock, convertible preferred stock, warrants, the issuance of convertible debt and, to a lesser extent, from development contract revenues, product sales and licensing activities. At September 30, 2023, we had total liquidity of $ 78.0 million including $ 49.4 million in cash and cash equivalents and $ 28.7 million in short-term investment securities. Based on our current operating plan, we anticipate that we have sufficient cash and cash equivalents to fund our operations for at least the next 12 months. 30.6 Principles of Consolidation The condensed consolidated financial statements include the accounts of MicroVision, Inc. and MicroVision GmbH. MicroVision GmbH is a wholly owned subsidiary of MicroVision, Inc. All material intercompany accounts and transactions have been eliminated in consolidation. Foreign Currency Translation The functional currency for our German operation is the Euro, which represents the currency of its primary economic environment. The results of operations for the German operation are translated from the local currency into U.S. dollars using the average exchange rates during each period. All assets and liabilities are translated using exchange rates at the end of each period, with foreign currency translation adjustments included as a component of other comprehensive loss. All equity transactions and certain assets are translated using historical rates. The consolidated financial statements are presented in U.S. dollars. Segment Information We determine operating segments based on how our chief operating decision maker (“CODM”) manages the business, makes operating decisions around the allocation of resources, and evaluates operating performance. Our CODM is our Executive Management team, who reviews our operating results on a consolidated basis. We operate as one segment, which relates to sale and servicing of lidar hardware and software. The profitability of our product group is not a determining factor in allocating resources and the CODM does not evaluate profitability below the level of the consolidated company. |
NET LOSS PER SHARE
NET LOSS PER SHARE | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
NET LOSS PER SHARE | 2. NET LOSS PER SHARE Basic net loss per share is calculated using the weighted-average number of common shares outstanding during the period. Net loss per share, assuming dilution, is calculated using the weighted-average number of common shares outstanding and the dilutive effect of all potentially dilutive securities, including common stock equivalents and convertible securities. Net loss per share, assuming dilution, is equal to basic net loss per share because the effect of dilutive securities outstanding during the period, including options and warrants computed using the treasury stock method, is anti-dilutive. The components of basic and diluted net loss per share were as follows (in thousands, except loss per share data): SCHEDULE OF BASIC AND DILUTED NET LOSS PER SHARE 2023 2022 2023 2022 Three Months Ended Nine Months Ended September 30, September 30, 2023 2022 2023 2022 Numerator: Net loss available for common shareholders - basic and diluted $ (23,469 ) $ (12,851 ) $ (63,105 ) $ (39,616 ) Denominator: Weighted-average common shares outstanding - basic and diluted 188,306 165,687 180,156 165,167 Net loss per share - basic and diluted $ (0.12 ) $ (0.08 ) $ (0.35 ) $ (0.24 ) For the three and nine months ended September 30, 2023 and 2022, we excluded the following securities from net loss per share as the effect of including them would have been anti-dilutive: outstanding options exercisable into a total of 752,000 954,000 10,323,000 9,591,000 |
BUSINESS COMBINATION
BUSINESS COMBINATION | 9 Months Ended |
Sep. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
BUSINESS COMBINATION | 3. BUSINESS COMBINATION On January 31, 2023, we completed the acquisition of certain net assets of Ibeo, a lidar hardware and software provider based in Hamburg, Germany. The purpose of the acquisition was to acquire certain Ibeo assets, intellectual property, and teams, which will enable us to expand our total addressable market and diversify our revenue profile. Total consideration related to this transaction, subject to settlement of working capital adjustments, was approximately EUR 19.9 21.6 7.0 7.6 6.6 7.1 3.0 3.3 0.6 0.7 2.7 2.9 2.7 0.6 The transaction has been accounted for as a business combination. The results of operations for the acquisition are included in our consolidated financial statements from the date of acquisition onwards. The following table summarizes the preliminary purchase price allocation to assets acquired and liabilities assumed (in thousands): SCHEDULE OF RECOGNIZED IDENTIFIED ASSETS ACQUIRED AND LIABILITIES ASSUMED Weighted Average Amount Useful Life (in years) Purchase consideration: Cash paid at closing (1) $ 8,245 Cash in escrow (2) 3,263 Holdback amount (3) 2,928 Advances to Ibeo (4) 7,120 Total purchase consideration $ 21,556 Inventory $ 1,197 Other current assets 703 Operating lease right-of-use asset 234 Property and equipment, net 5,330 Intangible assets: Acquired technology 17,987 13 Order backlog 26 1 Contract liabilities (1,178 ) Operating lease liabilities (234 ) Deferred tax liabilities (803 ) Total identifiable net assets $ 23,262 Bargain purchase gain (5) (1,706 ) (1) Represents $ 7.6 0.7 (2) Recorded as restricted cash and accrued liability to Ibeo in our condensed consolidated balance sheet. Pursuant to the terms of the Asset Purchase Agreement, $ 3.3 (3) Recorded in accrued liability to Ibeo in our condensed consolidated balance sheet. Payment of this amount is pending review of holdback from the sellers. (4) Represents $ 4.1 3.0 (5) The bargain purchase gain represents the excess of the fair value of the underlying net assets acquired and liabilities assumed over the purchase consideration and is included in bargain purchase gain in the Condensed Consolidated Statement of Operations. The bargain purchase gain was attributable to the negotiation process with Ibeo during its insolvency proceedings resulting in cash consideration paid being less than the fair value of the net assets. The estimated fair value of acquired technology was calculated through the income approach using the multi-period excess earnings and relief from royalty methodologies. The estimated fair value of the order backlog was calculated through the income approach using the multi-period excess earnings methodology. The initial allocation of the purchase price was based on preliminary valuations and assumptions and is subject to change within the measurement period. We expect to finalize the allocation of the purchase price as soon as practicable and no later than one year from the acquisition date. Supplemental Unaudited Pro Forma Information The below unaudited pro forma financial information summarizes the combined results of operations for the Company and Ibeo as if the acquisition had been completed on January 1, 2022. The unaudited pro forma information presented below is for informational purposes only and is not necessarily indicative of our consolidated results of operations of the combined business had the acquisition actually occurred at the beginning of fiscal year 2022 or the results of our future operations of the combined businesses. Nonrecurring pro forma adjustments include: ● Recognition of the bargain purchase gain as if incurred in the first quarter of 2022; ● Acquisition-related costs of $ 1.1 The following table summarizes the unaudited pro forma results (in thousands): SCHEDULE OF BUSINESS ACQUISITION, PRO FORMA INFORMATION 2023 2022 2023 2022 Three Months Ended Nine Months Ended September 30, September 30, 2023 2022 2023 2022 Total revenue $ 1,047 63 2,707 5,580 Net loss (23,469 ) (34,874 ) (60,506 ) (91,963 ) |
REVENUE RECOGNITION
REVENUE RECOGNITION | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE RECOGNITION | 4. REVENUE RECOGNITION The following is a description of principal activities from which we generate revenue. Revenues are recognized when control of the promised goods or services are transferred to our customers, in an amount that reflects the consideration that we expect to receive in exchange for those goods or services. We generate all of our revenue from contracts with customers. We evaluate contracts based on the 5-step model as stated in Topic 606 as follows: (i) identify the contract, (ii) identify the performance obligations, (iii) determine the transaction price, (iv) allocate the transaction price, and (v) recognize revenue when (or as) performance obligations are satisfied. A contract contains a promise (or promises) to transfer goods or services to a customer. A performance obligation is a promise (or a group of promises) that is distinct, as defined in the revenue standard. The transaction price is the amount of consideration an entity expects to be entitled to from a customer in exchange for providing the goods or services. A number of factors should be considered to determine the transaction price, including whether there is variable consideration, a significant financing component, noncash consideration, or amounts payable to the customer. The determination of variable consideration will require a significant amount of judgment. In estimating the transaction price we will use either the expected value method or the most likely amount method. The transaction price is allocated to the separate performance obligations in the contract based on relative standalone selling prices. Determining the relative standalone selling price can be challenging when goods or services are not sold on a standalone basis. The revenue standard sets out several methods that can be used to estimate a standalone selling price when one is not directly observable. Allocating discounts and variable consideration must also be considered. Allocating the transaction price can require significant judgement on our part. Revenue is recognized when (or as) the customer obtains control of the good or service/performance obligations are satisfied. Topic 606 provides guidance to help determine if a performance obligation is satisfied at a point in time or over time. Where a performance obligation is satisfied over time, the related revenue is also recognized over time. Disaggregation of revenue The following table provides information about disaggregated revenue by timing of revenue recognition, (in thousands): SCHEDULE OF DISAGGREGATION OF REVENUE Three Months Ended September 30, 2023 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ 1,047 $ - $ - $ 1,047 Product and services transferred over time - - - - Total $ 1,047 $ - $ - $ 1,047 Nine Months Ended September 30, 2023 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ 1,898 $ - $ - $ 1,898 Product and services transferred over time - - 260 260 Total $ 1,898 $ - $ 260 $ 2,158 Three Months Ended September 30, 2022 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ - $ - $ - $ - Product and services transferred over time - - - - Total $ - $ - $ - $ - Nine Months Ended September 30, 2022 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ - $ 664 $ - $ 664 Product and services transferred over time - - - - Total $ - $ 664 $ - $ 664 Contract balances Under Topic 606, our rights to consideration are presented separately depending on whether those rights are conditional or unconditional. We present our unconditional rights to consideration as “accounts receivable” in our Balance Sheet. Significant changes in the contract assets and the contract liabilities balances during the period are as follows (in thousands, except percentages): SCHEDULE OF CONTRACT WITH CUSTOMER, CONTRACT ASSET, CONTRACT LIABILITY, AND RECEIVABLE September 30, December 31, 2023 2022 $ Change % Change Contract assets $ - $ - $ - - Contract liabilities 4,958 4,601 357 7.8 Net contract assets (liabilities) $ 4,958 $ 4,601 $ 357 7.8 In April 2017, we signed a contract with Microsoft Corporation to develop an LBS display system. Under the agreement, we received an upfront payment of $ 10.0 5.4 0 In connection with our January 2023 acquisition of assets from Ibeo, we assumed contract liabilities totaling approximately $ 1.2 787,000 926,000 Transaction price allocated to the remaining performance obligations The $ 10.0 4.6 The remaining balance of the contract liabilities assumed in our acquisition of assets from Ibeo was approximately $ 252,000 The following table provides information about the estimated timing of revenue recognition (in thousands): SCHEDULE OF ESTIMATED TIMING OF REVENUE RECOGNITION Remainder of 2023 2024 Revenue $ 347 $ - |
INVESTMENT SECURITIES, AVAILABL
INVESTMENT SECURITIES, AVAILABLE-FOR-SALE AND FAIR VALUE MEASUREMENTS | 9 Months Ended |
Sep. 30, 2023 | |
Investments, All Other Investments [Abstract] | |
INVESTMENT SECURITIES, AVAILABLE-FOR-SALE AND FAIR VALUE MEASUREMENTS | 5. INVESTMENT SECURITIES, AVAILABLE-FOR-SALE AND FAIR VALUE MEASUREMENTS Our investment securities, available-for-sale are comprised of corporate and government debt securities. The principal markets for the debt securities are dealer markets which have a high level of price transparency. The market participants for debt securities are typically large money center banks and regional banks, brokers, dealers, pension funds, and other entities with debt investment portfolios. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the authoritative guidance establishes a three level fair value inputs hierarchy and requires an entity to maximize the use of observable valuation inputs and minimize the use of unobservable inputs. We use market data, assumptions and risks we believe market participants would use in measuring the fair value of the asset or liability, including the risks inherent in the inputs and the valuation techniques. The hierarchy is summarized below. Level 1 - Quoted prices in active markets for identical assets and liabilities at the measurement date that the reporting entity has the ability to access. Level 2 - Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3 - Unobservable inputs for which there is little or no market data, which requires us to develop our own assumptions, which are significant to the measurement of the fair values. The valuation inputs hierarchy classification for assets measured at fair value on a recurring basis are summarized below as of September 30, 2023 and December 31, 2022 (in thousands). These tables do not include cash held in our money market savings accounts. SCHEDULE OF FAIR VALUE HIERARCHY ASSETS AND LIABILITIES Level 1 Level 2 Level 3 Total As of September 30, 2023 Assets Corporate debt securities $ - $ 9,215 $ - $ 9,215 U.S. Treasury securities - 19,462 - 19,462 $ - $ 28,677 $ - $ 28,677 Level 1 Level 2 Level 3 Total As of December 31, 2022 Assets Corporate debt securities $ - $ 15,500 $ - $ 15,500 U.S. Treasury securities - 46,673 - 46,673 $ - $ 62,173 $ - $ 62,173 Our short-term investments are summarized below as of September 30, 2023 and December 31, 2022 (in thousands). SCHEDULE OF UNREALIZED GAIN OR LOSS ON SHORT-TERM INVESTMENTS Investment Cost/ Gross Gross Securities, Amortized Unrealized Unrealized Available- Cost Gains Losses For-Sale As of September 30, 2023 Assets Corporate debt securities $ 9,220 $ 1 $ (6 ) $ 9,215 U.S. Treasury securities 19,468 - (6 ) 19,462 $ 28,688 $ 1 $ (12 ) $ 28,677 Investment Cost/ Gross Gross Securities, Amortized Unrealized Unrealized Available- Cost Gains Losses For-Sale As of December 31, 2022 Assets Corporate debt securities $ 15,538 $ - $ (38 ) $ 15,500 U.S. Treasury securities 46,762 2 (91 ) 46,673 $ 62,300 $ 2 $ (129 ) $ 62,173 The maturities of the investment securities available-for-sale as of September 30, 2023 and December 31, 2022 are shown below (in thousands): SCHEDULE OF MATURITY DATE OF AVAILABLE-FOR-SALE SECURITIES Gross Gross Amortized Unrealized Unrealized Estimated Cost Gains Losses Fair Value As of September 30, 2023 Maturity date Less than one year $ 28,688 $ 1 $ (12 ) $ 28,677 $ 28,688 $ 28,677 Gross Gross Amortized Unrealized Unrealized Estimated Cost Gains Losses Fair Value As of December 31, 2022 Maturity date Less than one year $ 62,300 $ 2 $ (129 ) $ 62,173 $ 62,300 $ 62,173 The following table summarizes investments that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for more than 12 months as of September 30, 2023 and December 31, 2022 (in thousands): SCHEDULE OF UNREALIZED LOSS ON INVESTMENTS SECURITIES Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses As of September 30, 2023 Corporate debt securities $ 2,988 $ (6 ) $ - $ - $ 2,988 $ (6 ) U.S. Treasury securities 12,570 (6 ) - - 12,570 (6 ) $ 15,558 $ (12 ) $ - $ - $ 15,558 $ (12 ) Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses As of December 31, 2022 Corporate debt securities $ 12,295 $ (38 ) $ - $ - $ 12,295 $ (38 ) U.S. Treasury securities 34,530 (91 ) - - 34,530 (91 ) $ 46,825 $ (129 ) $ - $ - $ 46,825 $ (129 ) |
CONCENTRATION OF CREDIT RISK AN
CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS AND SUPPLIERS | 9 Months Ended |
Sep. 30, 2023 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS AND SUPPLIERS | 6. CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS AND SUPPLIERS Concentration of credit risk Financial instruments that potentially subject us to a concentration of credit risk are primarily cash equivalents and investment securities. As of September 30, 2023, our cash and cash equivalents are comprised of operating checking accounts and short-term highly rated money market savings accounts. Our short-term investments are comprised of highly rated corporate bonds and U.S. Treasury securities. Concentration of major customers and suppliers For the three months ended September 30, 2023, one commercial customer accounted for $ 742,000 71% 78,000 8% 825,000 38% 364,000 17% 246,000 11% 206,000 10% 0 664,000 100% Typically, a significant concentration of our components and the products we have sold are manufactured and obtained from single or limited-source suppliers. The loss of any single or limited-source supplier, the failure of any of these suppliers to perform as expected, or the disruption in the supply chain of components from these suppliers could subject us to risks and uncertainties including, but not limited to, increased cost of sales, possible loss of revenues, or significant delays in product development or product deliveries, any of which could adversely affect our financial condition and operating results. |
FINANCIAL STATEMENT COMPONENTS
FINANCIAL STATEMENT COMPONENTS | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
FINANCIAL STATEMENT COMPONENTS | 7. FINANCIAL STATEMENT COMPONENTS The following financial statement components changed significantly as a result of our January 2023 acquisition of assets from Ibeo. Inventory Inventory consists of the following: COMPONENTS OF INVENTORY September 30, December 31, (in thousands) 2023 2022 Raw materials $ 1,562 $ 1,556 Work in process 305 305 Finished goods 1,749 - Total inventory $ 3,616 $ 1,861 Inventory is computed using the first-in, first-out (FIFO) method and is stated at the lower of cost and net realizable value. Management periodically assesses the need to account for obsolescence of inventory and adjusts the carrying value of inventory to its net realizable value when required. Property and equipment Property and equipment consists of the following: COMPONENTS OF PROPERTY, PLANT AND EQUIPMENT September 30, December 31, (in thousands) 2023 2022 Production equipment $ 6,140 $ 6,140 Leasehold improvements 3,843 3,789 Computer hardware and software/lab equipment 12,110 10,515 Office furniture and equipment 5,196 1,804 Property and equipment, gross 27,289 22,248 Less: Accumulated depreciation (17,828 ) (15,418 ) Property and equipment, net $ 9,461 $ 6,830 Depreciation expense was $ 1.1 153,000 2.8 533,000 Intangible assets The components of intangible assets were as follows: SUMMARY OF COMPONENTS OF INTANGIBLE ASSETS As of September 30, 2023 Gross Net Weighted Carrying Accumulated Carrying Average Remaining (in thousands) Amount Amortization Amount Period (Years) Acquired technology $ 20,172 $ 2,415 $ 17,757 12 Backlog 26 17 9 - $ 20,198 $ 2,432 $ 17,766 As of December 31, 2022 Gross Net Weighted Carrying Accumulated Carrying Average Remaining (in thousands) Amount Amortization Amount Period (Years) Acquired technology $ 951 $ 876 $ 75 4 $ 951 $ 876 $ 75 Amortization expense was $ 573,000 10,000 1.6 30,000 The following table outlines our estimated future amortization expense related to intangible assets held at September 30, 2023 by line item on the statement of operations (in thousands): ESTIMATED FUTURE AMORTIZATION EXPENSE RELATED TO INTANGIBLE ASSETS Research and Cost of Development Years Ended December 31, Revenue Expense Total 2023 $ 387 $ 179 $ 566 2024 1,548 556 2,104 2025 1,548 52 1,600 2026 1,548 24 1,572 Thereafter 11,924 - 11,924 Total $ 16,955 $ 811 $ 17,766 |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
SHARE-BASED COMPENSATION | 8. SHARE-BASED COMPENSATION We issue share-based compensation to employees in the form of stock options, restricted stock units (RSUs), and performance stock units (PSUs). We account for the share-based awards by recognizing the fair value of share-based compensation expense on a straight-line basis over the service period of the award, net of estimated forfeitures. The fair value of stock options is estimated on the grant date using the Black-Scholes option pricing model. The fair value of RSUs and non-executive PSUs is determined by the closing price of our common stock on the grant date or the period end date for the awards that are being measured by the service inception date. Changes in estimated inputs or using other option valuation methods may result in materially different option values and share-based compensation expense. The following table summarizes the amount of share-based compensation expense by line item on the statements of operations: SCHEDULE OF SHARE-BASED COMPENSATION EXPENSE (in thousands) 2023 2022 2023 2022 Share-based compensation expense Three Months Ended Nine Months Ended September 30, September 30, (in thousands) 2023 2022 2023 2022 Research and development expense $ 2,194 $ 1,831 $ 4,438 $ 5,681 Sales, marketing, general and administrative expense 2,497 2,250 7,068 6,254 Total Share-based compensation expense $ 4,691 $ 4,081 $ 11,506 $ 11,935 Options activity and positions The following table summarizes shares, weighted-average exercise price, weighted-average remaining contractual term and aggregate intrinsic value of options outstanding and options exercisable as of September 30, 2023: SCHEDULE OF VALUATION ASSUMPTIONS FOR WEIGHTED-AVERAGE GRANT Weighted- Weighted- Average Average Remaining Aggregate Exercise Contractual Intrinsic Options Shares Price Term (years) Value Outstanding as of September 30, 2023 752,000 $ 1.35 4.9 $ 746,000 Exercisable as of September 30, 2023 752,000 $ 1.35 4.9 $ 746,000 As of September 30, 2023, there is no unrecognized share-based employee compensation related to stock options. Restricted stock activity and positions The following table summarizes activity and positions with respect to RSUs and PSUs for the nine months ended September 30, 2023: SCHEDULE OF ACTIVITY AND POSITIONS WITH RESPECT TO RSUS AND PSUS Weighted-average Shares price Unvested as of December 31, 2022 8,866,000 $ 3.85 Granted 3,254,000 $ 4.02 Vested (1,374,000 ) $ 7.86 Forfeited (423,000 ) $ 8.09 Unvested as of September 30, 2023 10,323,000 $ 3.19 During the nine months ended September 30, 2023, we issued 2.6 During the nine months ended September 30, 2023, we issued 106,000 426,000 During the nine months ended September 30, 2023, we issued 408,000 During the nine months ended September 30, 2023, we issued 275,000 vest quarterly As of September 30, 2023, our unrecognized share-based compensation related to RSUs was $ 6.6 1.5 5.9 2.0 4.6 1.1 In June 2022, we issued 6.0 During the nine months ended September 30, 2022, we issued 2.4 During the nine months ended September 30, 2022, we issued 511,000 |
LEASES
LEASES | 9 Months Ended |
Sep. 30, 2023 | |
Leases | |
LEASES | 9. LEASES We lease our office space and certain equipment under finance and operating leases. Our leases have remaining lease terms of one to ten years. Our office lease agreement includes both lease and non-lease components, which are accounted for separately. Our finance leases contain options to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless we are reasonably certain to exercise the purchase option. In September 2021, we entered into an office lease with Redmond East Office Park LLC, a Washington limited liability company, pursuant to which we will lease approximately 16,681 128 500,000 3.0 We have the option to extend the term for one ten-year renewal period, provided that the rent would be subject to market adjustment at the beginning of the renewal term. The total minimum lease payments related to this lease is $ 6.4 In September 2021, we entered into a second office lease with Redmond East Office Park LLC, pursuant to which we will lease approximately 36,062 120 1.1 3.0 We have the option to extend the term for one ten-year renewal period, provided that the rent would be subject to market adjustment at the beginning of the renewal term. The total minimum lease payments related to this lease are $ 13.0 3.0 In April 2022, we entered into an office lease with Universal-Investment-Gesellschaft mbH, a German investment company, pursuant to which we lease approximately 3,533 76,000 380,000 In September 2022, we entered into a second office lease with Universal-Investment-Gesellschaft mbH, a German investment company, pursuant to which we lease approximately 3,810 92,000 461,000 In connection with our January 2023 acquisition of assets from Ibeo, we assumed three leases in Hamburg, Germany. One lease is with IntReal International Real Estate Kapitalverwaltungsgesellschaft and covers approximately 5,511 65,000 259,000 234,000 32,529 190,000 13,127 146,000 The components of lease expense were as follows: SCHEDULE OF COMPONENTS OF LEASE EXPENSE (in thousands) 2023 2022 2023 2022 Three Months Ended Nine Months Ended September 30, September 30, (in thousands) 2023 2022 2023 2022 Operating lease expense $ 667 $ 365 $ 1,949 $ 865 Finance lease expense: Amortization of leased assets 6 6 19 19 Interest on lease liabilities - 1 1 2 Total finance lease expense 6 7 20 21 Total lease expense $ 673 $ 372 $ 1,969 $ 886 Supplemental cash flow information related to leases was as follows: SCHEDULE OF CASH FLOW INFORMATION RELATED TO LEASES (in thousands) 2023 2022 Nine Months Ended September 30, (in thousands) 2023 2022 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases $ 1,813 938 Operating cash flows from finance leases 1 2 Financing cash flows from finance leases 19 20 Supplemental balance sheet information related to leases was as follows: SCHEDULE OF CASH FLOW INFORMATION RELATED TO LEASES September 30, December 31, (in thousands) 2023 2022 Operating leases Operating lease right-of-use assets $ 14,223 $ 14,579 Current portion of operating lease liability 2,432 1,846 Operating lease liability, net of current portion 13,027 13,829 Total operating lease liabilities $ 15,459 $ 15,675 Finance leases Property and equipment, at cost $ 112 $ 112 Accumulated depreciation (93 ) (80 ) Property and equipment, net $ 19 $ 32 Current portion of finance lease obligations $ 2 $ 21 Finance lease obligations, net of current portion - - Total finance lease liabilities $ 2 $ 21 Weighted Average Remaining Lease Term Operating leases 8.7 9.6 Finance leases 0.1 0.8 Weighted Average Discount Rate Operating leases 4.6 % 4.6 % Finance leases 5.6 % 6.3 % As of September 30, 2023, maturities of lease liabilities were as follows: SCHEDULE OF MATURITIES OF LEASE LIABILITIES (in thousands) Operating Finance Years Ended December 31, leases leases 2023 $ 642 $ 2 2024 2,340 - 2025 2,003 - 2026 2,023 - Thereafter 11,631 - Total minimum lease payments 18,639 2 Less: amount representing interest (3,180 ) - Present value of capital lease liabilities $ 15,459 $ 2 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 10. COMMITMENTS AND CONTINGENCIES Purchase commitments During the quarter ended September 30, 2023, we entered into a $ 12.3 3.1 Litigation We are subject to various claims and pending or threatened lawsuits in the normal course of business. We are not currently party to any legal proceedings that management believes are reasonably possible to have a material adverse effect on our financial position, results of operations or cash flows. |
COMMON STOCK
COMMON STOCK | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
COMMON STOCK | 11. COMMON STOCK In June 2021, we entered into a $ 140.0 140.0 8.3 81.8 5.0 12.5 In June 2023, we entered into a $ 45.0 45.0 10.9 43.9 In August 2023, we entered into a $ 35.0 35.0 1.8 4.2 150,000 323,000 323,000 30.6 |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 12. INCOME TAXES We recognized income tax expense of $ 211,000 0 As of September 30, 2023, we continue to have no |
NET LOSS PER SHARE (Tables)
NET LOSS PER SHARE (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
SCHEDULE OF BASIC AND DILUTED NET LOSS PER SHARE | The components of basic and diluted net loss per share were as follows (in thousands, except loss per share data): SCHEDULE OF BASIC AND DILUTED NET LOSS PER SHARE 2023 2022 2023 2022 Three Months Ended Nine Months Ended September 30, September 30, 2023 2022 2023 2022 Numerator: Net loss available for common shareholders - basic and diluted $ (23,469 ) $ (12,851 ) $ (63,105 ) $ (39,616 ) Denominator: Weighted-average common shares outstanding - basic and diluted 188,306 165,687 180,156 165,167 Net loss per share - basic and diluted $ (0.12 ) $ (0.08 ) $ (0.35 ) $ (0.24 ) |
BUSINESS COMBINATION (Tables)
BUSINESS COMBINATION (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
SCHEDULE OF RECOGNIZED IDENTIFIED ASSETS ACQUIRED AND LIABILITIES ASSUMED | The following table summarizes the preliminary purchase price allocation to assets acquired and liabilities assumed (in thousands): SCHEDULE OF RECOGNIZED IDENTIFIED ASSETS ACQUIRED AND LIABILITIES ASSUMED Weighted Average Amount Useful Life (in years) Purchase consideration: Cash paid at closing (1) $ 8,245 Cash in escrow (2) 3,263 Holdback amount (3) 2,928 Advances to Ibeo (4) 7,120 Total purchase consideration $ 21,556 Inventory $ 1,197 Other current assets 703 Operating lease right-of-use asset 234 Property and equipment, net 5,330 Intangible assets: Acquired technology 17,987 13 Order backlog 26 1 Contract liabilities (1,178 ) Operating lease liabilities (234 ) Deferred tax liabilities (803 ) Total identifiable net assets $ 23,262 Bargain purchase gain (5) (1,706 ) (1) Represents $ 7.6 0.7 (2) Recorded as restricted cash and accrued liability to Ibeo in our condensed consolidated balance sheet. Pursuant to the terms of the Asset Purchase Agreement, $ 3.3 (3) Recorded in accrued liability to Ibeo in our condensed consolidated balance sheet. Payment of this amount is pending review of holdback from the sellers. (4) Represents $ 4.1 3.0 (5) The bargain purchase gain represents the excess of the fair value of the underlying net assets acquired and liabilities assumed over the purchase consideration and is included in bargain purchase gain in the Condensed Consolidated Statement of Operations. The bargain purchase gain was attributable to the negotiation process with Ibeo during its insolvency proceedings resulting in cash consideration paid being less than the fair value of the net assets. |
SCHEDULE OF BUSINESS ACQUISITION, PRO FORMA INFORMATION | The following table summarizes the unaudited pro forma results (in thousands): SCHEDULE OF BUSINESS ACQUISITION, PRO FORMA INFORMATION 2023 2022 2023 2022 Three Months Ended Nine Months Ended September 30, September 30, 2023 2022 2023 2022 Total revenue $ 1,047 63 2,707 5,580 Net loss (23,469 ) (34,874 ) (60,506 ) (91,963 ) |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
SCHEDULE OF DISAGGREGATION OF REVENUE | The following table provides information about disaggregated revenue by timing of revenue recognition, (in thousands): SCHEDULE OF DISAGGREGATION OF REVENUE Three Months Ended September 30, 2023 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ 1,047 $ - $ - $ 1,047 Product and services transferred over time - - - - Total $ 1,047 $ - $ - $ 1,047 Nine Months Ended September 30, 2023 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ 1,898 $ - $ - $ 1,898 Product and services transferred over time - - 260 260 Total $ 1,898 $ - $ 260 $ 2,158 Three Months Ended September 30, 2022 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ - $ - $ - $ - Product and services transferred over time - - - - Total $ - $ - $ - $ - Nine Months Ended September 30, 2022 License and Product royalty Contract revenue revenue revenue Total Timing of revenue recognition: Products transferred at a point in time $ - $ 664 $ - $ 664 Product and services transferred over time - - - - Total $ - $ 664 $ - $ 664 |
SCHEDULE OF CONTRACT WITH CUSTOMER, CONTRACT ASSET, CONTRACT LIABILITY, AND RECEIVABLE | Significant changes in the contract assets and the contract liabilities balances during the period are as follows (in thousands, except percentages): SCHEDULE OF CONTRACT WITH CUSTOMER, CONTRACT ASSET, CONTRACT LIABILITY, AND RECEIVABLE September 30, December 31, 2023 2022 $ Change % Change Contract assets $ - $ - $ - - Contract liabilities 4,958 4,601 357 7.8 Net contract assets (liabilities) $ 4,958 $ 4,601 $ 357 7.8 |
SCHEDULE OF ESTIMATED TIMING OF REVENUE RECOGNITION | The following table provides information about the estimated timing of revenue recognition (in thousands): SCHEDULE OF ESTIMATED TIMING OF REVENUE RECOGNITION Remainder of 2023 2024 Revenue $ 347 $ - |
INVESTMENT SECURITIES, AVAILA_2
INVESTMENT SECURITIES, AVAILABLE-FOR-SALE AND FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Investments, All Other Investments [Abstract] | |
SCHEDULE OF FAIR VALUE HIERARCHY ASSETS AND LIABILITIES | The valuation inputs hierarchy classification for assets measured at fair value on a recurring basis are summarized below as of September 30, 2023 and December 31, 2022 (in thousands). These tables do not include cash held in our money market savings accounts. SCHEDULE OF FAIR VALUE HIERARCHY ASSETS AND LIABILITIES Level 1 Level 2 Level 3 Total As of September 30, 2023 Assets Corporate debt securities $ - $ 9,215 $ - $ 9,215 U.S. Treasury securities - 19,462 - 19,462 $ - $ 28,677 $ - $ 28,677 Level 1 Level 2 Level 3 Total As of December 31, 2022 Assets Corporate debt securities $ - $ 15,500 $ - $ 15,500 U.S. Treasury securities - 46,673 - 46,673 $ - $ 62,173 $ - $ 62,173 |
SCHEDULE OF UNREALIZED GAIN OR LOSS ON SHORT-TERM INVESTMENTS | Our short-term investments are summarized below as of September 30, 2023 and December 31, 2022 (in thousands). SCHEDULE OF UNREALIZED GAIN OR LOSS ON SHORT-TERM INVESTMENTS Investment Cost/ Gross Gross Securities, Amortized Unrealized Unrealized Available- Cost Gains Losses For-Sale As of September 30, 2023 Assets Corporate debt securities $ 9,220 $ 1 $ (6 ) $ 9,215 U.S. Treasury securities 19,468 - (6 ) 19,462 $ 28,688 $ 1 $ (12 ) $ 28,677 Investment Cost/ Gross Gross Securities, Amortized Unrealized Unrealized Available- Cost Gains Losses For-Sale As of December 31, 2022 Assets Corporate debt securities $ 15,538 $ - $ (38 ) $ 15,500 U.S. Treasury securities 46,762 2 (91 ) 46,673 $ 62,300 $ 2 $ (129 ) $ 62,173 |
SCHEDULE OF MATURITY DATE OF AVAILABLE-FOR-SALE SECURITIES | The maturities of the investment securities available-for-sale as of September 30, 2023 and December 31, 2022 are shown below (in thousands): SCHEDULE OF MATURITY DATE OF AVAILABLE-FOR-SALE SECURITIES Gross Gross Amortized Unrealized Unrealized Estimated Cost Gains Losses Fair Value As of September 30, 2023 Maturity date Less than one year $ 28,688 $ 1 $ (12 ) $ 28,677 $ 28,688 $ 28,677 Gross Gross Amortized Unrealized Unrealized Estimated Cost Gains Losses Fair Value As of December 31, 2022 Maturity date Less than one year $ 62,300 $ 2 $ (129 ) $ 62,173 $ 62,300 $ 62,173 |
SCHEDULE OF UNREALIZED LOSS ON INVESTMENTS SECURITIES | The following table summarizes investments that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for more than 12 months as of September 30, 2023 and December 31, 2022 (in thousands): SCHEDULE OF UNREALIZED LOSS ON INVESTMENTS SECURITIES Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses As of September 30, 2023 Corporate debt securities $ 2,988 $ (6 ) $ - $ - $ 2,988 $ (6 ) U.S. Treasury securities 12,570 (6 ) - - 12,570 (6 ) $ 15,558 $ (12 ) $ - $ - $ 15,558 $ (12 ) Less than Twelve Months Twelve Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses As of December 31, 2022 Corporate debt securities $ 12,295 $ (38 ) $ - $ - $ 12,295 $ (38 ) U.S. Treasury securities 34,530 (91 ) - - 34,530 (91 ) $ 46,825 $ (129 ) $ - $ - $ 46,825 $ (129 ) |
FINANCIAL STATEMENT COMPONENTS
FINANCIAL STATEMENT COMPONENTS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
COMPONENTS OF INVENTORY | Inventory consists of the following: COMPONENTS OF INVENTORY September 30, December 31, (in thousands) 2023 2022 Raw materials $ 1,562 $ 1,556 Work in process 305 305 Finished goods 1,749 - Total inventory $ 3,616 $ 1,861 |
COMPONENTS OF PROPERTY, PLANT AND EQUIPMENT | Property and equipment consists of the following: COMPONENTS OF PROPERTY, PLANT AND EQUIPMENT September 30, December 31, (in thousands) 2023 2022 Production equipment $ 6,140 $ 6,140 Leasehold improvements 3,843 3,789 Computer hardware and software/lab equipment 12,110 10,515 Office furniture and equipment 5,196 1,804 Property and equipment, gross 27,289 22,248 Less: Accumulated depreciation (17,828 ) (15,418 ) Property and equipment, net $ 9,461 $ 6,830 |
SUMMARY OF COMPONENTS OF INTANGIBLE ASSETS | The components of intangible assets were as follows: SUMMARY OF COMPONENTS OF INTANGIBLE ASSETS As of September 30, 2023 Gross Net Weighted Carrying Accumulated Carrying Average Remaining (in thousands) Amount Amortization Amount Period (Years) Acquired technology $ 20,172 $ 2,415 $ 17,757 12 Backlog 26 17 9 - $ 20,198 $ 2,432 $ 17,766 As of December 31, 2022 Gross Net Weighted Carrying Accumulated Carrying Average Remaining (in thousands) Amount Amortization Amount Period (Years) Acquired technology $ 951 $ 876 $ 75 4 $ 951 $ 876 $ 75 |
ESTIMATED FUTURE AMORTIZATION EXPENSE RELATED TO INTANGIBLE ASSETS | The following table outlines our estimated future amortization expense related to intangible assets held at September 30, 2023 by line item on the statement of operations (in thousands): ESTIMATED FUTURE AMORTIZATION EXPENSE RELATED TO INTANGIBLE ASSETS Research and Cost of Development Years Ended December 31, Revenue Expense Total 2023 $ 387 $ 179 $ 566 2024 1,548 556 2,104 2025 1,548 52 1,600 2026 1,548 24 1,572 Thereafter 11,924 - 11,924 Total $ 16,955 $ 811 $ 17,766 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
SCHEDULE OF SHARE-BASED COMPENSATION EXPENSE | The following table summarizes the amount of share-based compensation expense by line item on the statements of operations: SCHEDULE OF SHARE-BASED COMPENSATION EXPENSE (in thousands) 2023 2022 2023 2022 Share-based compensation expense Three Months Ended Nine Months Ended September 30, September 30, (in thousands) 2023 2022 2023 2022 Research and development expense $ 2,194 $ 1,831 $ 4,438 $ 5,681 Sales, marketing, general and administrative expense 2,497 2,250 7,068 6,254 Total Share-based compensation expense $ 4,691 $ 4,081 $ 11,506 $ 11,935 |
SCHEDULE OF VALUATION ASSUMPTIONS FOR WEIGHTED-AVERAGE GRANT | The following table summarizes shares, weighted-average exercise price, weighted-average remaining contractual term and aggregate intrinsic value of options outstanding and options exercisable as of September 30, 2023: SCHEDULE OF VALUATION ASSUMPTIONS FOR WEIGHTED-AVERAGE GRANT Weighted- Weighted- Average Average Remaining Aggregate Exercise Contractual Intrinsic Options Shares Price Term (years) Value Outstanding as of September 30, 2023 752,000 $ 1.35 4.9 $ 746,000 Exercisable as of September 30, 2023 752,000 $ 1.35 4.9 $ 746,000 |
SCHEDULE OF ACTIVITY AND POSITIONS WITH RESPECT TO RSUS AND PSUS | The following table summarizes activity and positions with respect to RSUs and PSUs for the nine months ended September 30, 2023: SCHEDULE OF ACTIVITY AND POSITIONS WITH RESPECT TO RSUS AND PSUS Weighted-average Shares price Unvested as of December 31, 2022 8,866,000 $ 3.85 Granted 3,254,000 $ 4.02 Vested (1,374,000 ) $ 7.86 Forfeited (423,000 ) $ 8.09 Unvested as of September 30, 2023 10,323,000 $ 3.19 |
LEASES (Tables)
LEASES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Leases | |
SCHEDULE OF COMPONENTS OF LEASE EXPENSE | The components of lease expense were as follows: SCHEDULE OF COMPONENTS OF LEASE EXPENSE (in thousands) 2023 2022 2023 2022 Three Months Ended Nine Months Ended September 30, September 30, (in thousands) 2023 2022 2023 2022 Operating lease expense $ 667 $ 365 $ 1,949 $ 865 Finance lease expense: Amortization of leased assets 6 6 19 19 Interest on lease liabilities - 1 1 2 Total finance lease expense 6 7 20 21 Total lease expense $ 673 $ 372 $ 1,969 $ 886 |
SCHEDULE OF CASH FLOW INFORMATION RELATED TO LEASES | Supplemental cash flow information related to leases was as follows: SCHEDULE OF CASH FLOW INFORMATION RELATED TO LEASES (in thousands) 2023 2022 Nine Months Ended September 30, (in thousands) 2023 2022 Cash paid for amounts included in measurement of lease liabilities: Operating cash flows from operating leases $ 1,813 938 Operating cash flows from finance leases 1 2 Financing cash flows from finance leases 19 20 |
SCHEDULE OF CASH FLOW INFORMATION RELATED TO LEASES | Supplemental balance sheet information related to leases was as follows: SCHEDULE OF CASH FLOW INFORMATION RELATED TO LEASES September 30, December 31, (in thousands) 2023 2022 Operating leases Operating lease right-of-use assets $ 14,223 $ 14,579 Current portion of operating lease liability 2,432 1,846 Operating lease liability, net of current portion 13,027 13,829 Total operating lease liabilities $ 15,459 $ 15,675 Finance leases Property and equipment, at cost $ 112 $ 112 Accumulated depreciation (93 ) (80 ) Property and equipment, net $ 19 $ 32 Current portion of finance lease obligations $ 2 $ 21 Finance lease obligations, net of current portion - - Total finance lease liabilities $ 2 $ 21 Weighted Average Remaining Lease Term Operating leases 8.7 9.6 Finance leases 0.1 0.8 Weighted Average Discount Rate Operating leases 4.6 % 4.6 % Finance leases 5.6 % 6.3 % |
SCHEDULE OF MATURITIES OF LEASE LIABILITIES | As of September 30, 2023, maturities of lease liabilities were as follows: SCHEDULE OF MATURITIES OF LEASE LIABILITIES (in thousands) Operating Finance Years Ended December 31, leases leases 2023 $ 642 $ 2 2024 2,340 - 2025 2,003 - 2026 2,023 - Thereafter 11,631 - Total minimum lease payments 18,639 2 Less: amount representing interest (3,180 ) - Present value of capital lease liabilities $ 15,459 $ 2 |
MANAGEMENT_S STATEMENT (Details
MANAGEMENT’S STATEMENT (Details Narrative) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||
Dec. 01, 2022 USD ($) | Dec. 01, 2022 EUR (€) | Feb. 28, 2023 USD ($) | Feb. 28, 2023 EUR (€) | Jan. 31, 2023 USD ($) Employees | Jan. 31, 2023 EUR (€) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 EUR (€) | Sep. 30, 2023 USD ($) | Sep. 30, 2023 USD ($) | Jan. 31, 2023 EUR (€) Employees | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||
Number of employees | Employees | 250 | 250 | |||||||||
Cash and cash equivalents | $ 78,000,000 | $ 78,000,000 | |||||||||
Cash and cash equivalents | $ 20,536,000 | 49,366,000 | 49,366,000 | ||||||||
Available for sale securities debt securities | 62,173,000 | 28,677,000 | 28,677,000 | ||||||||
Share issued value | $ 4,819,000 | 60,505,000 | |||||||||
ATM Equity Offering Agreement [Member] | |||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||
Share issued value | $ 30,600,000 | ||||||||||
Ibeo Automotive Systems Gmbh [Member] | |||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||
Consideration transferred | $ 16,300,000 | € 15,000,000 | |||||||||
Payments to acquire productive assets | $ 650,000 | € 599,000 | $ 3,000,000 | € 2,700,000 | $ 4,100,000 | € 3,900,000 | |||||
Reimbursement of headcount reduction costs receivable | $ 2,500,000 | € 2,300,000 |
SCHEDULE OF BASIC AND DILUTED N
SCHEDULE OF BASIC AND DILUTED NET LOSS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Earnings Per Share [Abstract] | ||||
Net loss available for common shareholders - basic and diluted | $ (23,469) | $ (12,851) | $ (63,105) | $ (39,616) |
Weighted-average shares outstanding - basic | 188,306 | 165,687 | 180,156 | 165,167 |
Weighted-average shares outstanding - diluted | 188,306 | 165,687 | 180,156 | 165,167 |
Net loss per share, basic | $ (0.12) | $ (0.08) | $ (0.35) | $ (0.24) |
Net loss per share, diluted | $ (0.12) | $ (0.08) | $ (0.35) | $ (0.24) |
NET LOSS PER SHARE (Details Nar
NET LOSS PER SHARE (Details Narrative) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share-Based Payment Arrangement [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti dilutive outstanding options exercisable into common stock | 752,000 | 954,000 | 752,000 | 954,000 |
Restricted Stock Units (RSUs) [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti dilutive outstanding options exercisable into common stock | 10,323,000 | 9,591,000 | 10,323,000 | 9,591,000 |
SCHEDULE OF RECOGNIZED IDENTIFI
SCHEDULE OF RECOGNIZED IDENTIFIED ASSETS ACQUIRED AND LIABILITIES ASSUMED (Details) $ in Thousands, € in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||||
Jan. 31, 2023 USD ($) | Jan. 31, 2023 EUR (€) | Jan. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | |||
Business Acquisition [Line Items] | ||||||||||
Cash in escrow | $ 3,263 | |||||||||
Bargain purchase gain(1) | (1,706) | |||||||||
Ibeo Automotive Systems Gmbh [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Cash paid at closing | [1] | 8,245 | ||||||||
Cash in escrow | $ 3,300 | € 3 | 3,263 | [2] | ||||||
Holdback amount | 2,900 | 2.7 | 2,928 | [3] | ||||||
Advances to Ibeo | 7,100 | 6.6 | $ 3,000 | $ 4,100 | 7,120 | [4] | ||||
Total purchase consideration | $ 21,600 | € 19.9 | 21,556 | |||||||
Inventory | 1,197 | 1,197 | ||||||||
Other current assets | 703 | 703 | ||||||||
Operating lease right-of-use asset | 234 | 234 | ||||||||
Property and equipment, net | 5,330 | 5,330 | ||||||||
Contract liabilities | (1,178) | (1,178) | ||||||||
Operating lease liabilities | (234) | (234) | ||||||||
Deferred tax liabilities | (803) | (803) | ||||||||
Total identifiable net assets | 23,262 | 23,262 | ||||||||
Bargain purchase gain(1) | [5] | (1,706) | ||||||||
Ibeo Automotive Systems Gmbh [Member] | Developed Technology Rights [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Order backlog | 17,987 | $ 17,987 | ||||||||
Order backlog weighted average useful life | 13 years | |||||||||
Ibeo Automotive Systems Gmbh [Member] | Order Backlog [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Order backlog | $ 26 | $ 26 | ||||||||
Order backlog weighted average useful life | 1 year | |||||||||
[1]Represents $ 7.6 0.7 3.3 4.1 3.0 |
SCHEDULE OF RECOGNIZED IDENTI_2
SCHEDULE OF RECOGNIZED IDENTIFIED ASSETS ACQUIRED AND LIABILITIES ASSUMED (Details) (Parenthetical) - Ibeo Automotive Systems Gmbh [Member] $ in Thousands, € in Millions | 1 Months Ended | 9 Months Ended | |||||
Feb. 28, 2023 USD ($) | Jan. 31, 2023 USD ($) | Jan. 31, 2023 EUR (€) | Jan. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Sep. 30, 2023 USD ($) | [1] | |
Business Acquisition [Line Items] | |||||||
Payments to acquire productive assets | $ 700 | $ 7,600 | € 7 | ||||
Withheld amount from purchase price | $ 3,300 | ||||||
Advances to Ibeo | $ 7,100 | € 6.6 | $ 3,000 | $ 4,100 | $ 7,120 | ||
[1]Represents $ 4.1 3.0 |
SCHEDULE OF BUSINESS ACQUISITIO
SCHEDULE OF BUSINESS ACQUISITION, PRO FORMA INFORMATION (Details) - Ibeo Automotive Systems Gmbh [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Business Acquisition [Line Items] | ||||
Total revenue | $ 1,047 | $ 63 | $ 2,707 | $ 5,580 |
Net loss | $ (23,469) | $ (34,874) | $ (60,506) | $ (91,963) |
BUSINESS COMBINATION (Details N
BUSINESS COMBINATION (Details Narrative) $ in Thousands, € in Millions | 1 Months Ended | 9 Months Ended | |||||||
Feb. 28, 2023 USD ($) | Jan. 31, 2023 USD ($) | Jan. 31, 2023 EUR (€) | Jan. 01, 2022 USD ($) | Jan. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | ||
Business Acquisition [Line Items] | |||||||||
Cash in escrow | $ 3,263 | ||||||||
Acquisition-related Costs [Member] | |||||||||
Business Acquisition [Line Items] | |||||||||
Revenues | $ 1,100 | ||||||||
Ibeo Automotive Systems Gmbh [Member] | |||||||||
Business Acquisition [Line Items] | |||||||||
Consideration transferred | $ 21,600 | € 19.9 | 21,556 | ||||||
Payments to Acquire Productive Assets | $ 700 | 7,600 | 7 | ||||||
Advances to Ibeo | 7,100 | 6.6 | $ 3,000 | $ 4,100 | 7,120 | [1] | |||
Cash in escrow | 3,300 | 3 | 3,263 | [2] | |||||
Payments of merger related costs | 700 | 0.6 | |||||||
Business combination deferred consideration | 2,900 | 2.7 | $ 2,928 | [3] | |||||
Business combination remaining consideration payable after approval of holdback calculations | € | € 2.7 | ||||||||
Business combination Acquisition-related cost | $ 600 | ||||||||
[1]Represents $ 4.1 3.0 3.3 |
SCHEDULE OF DISAGGREGATION OF R
SCHEDULE OF DISAGGREGATION OF REVENUE (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Disaggregation of Revenue [Line Items] | ||||
Total | $ 1,047 | $ 2,158 | $ 664 | |
Transferred at Point in Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,047 | 1,898 | 664 | |
Transferred over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 260 | |||
Product Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,047 | 1,898 | ||
Product Revenue [Member] | Transferred at Point in Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,047 | 1,898 | ||
Product Revenue [Member] | Transferred over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | ||||
License And Royalty Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 664 | |||
License And Royalty Revenue [Member] | Transferred at Point in Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 664 | |||
License And Royalty Revenue [Member] | Transferred over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | ||||
Contract Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 260 | |||
Contract Revenue [Member] | Transferred at Point in Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | ||||
Contract Revenue [Member] | Transferred over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | $ 260 |
SCHEDULE OF CONTRACT WITH CUSTO
SCHEDULE OF CONTRACT WITH CUSTOMER, CONTRACT ASSET, CONTRACT LIABILITY, AND RECEIVABLE (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | ||
Contract assets | ||
Contract liabilities | 4,958 | 4,601 |
Change in contract liabilities | $ 357 | |
Percentage change in contract liabilities | 7.80% | |
Net contract assets (liabilities) | $ 4,958 | $ 4,601 |
Change in net contract assets (liabilities) | $ 357 | |
Percentage change in net contract assets (liabilities) | 7.80% |
SCHEDULE OF ESTIMATED TIMING OF
SCHEDULE OF ESTIMATED TIMING OF REVENUE RECOGNITION (Details) | Sep. 30, 2023 USD ($) |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Revenue | $ 252,000 |
Remainder Of Two Thousand Twenty Three [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Revenue | 347,000 |
Two Thousand Twenty Four [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Revenue |
REVENUE RECOGNITION (Details Na
REVENUE RECOGNITION (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2023 | Dec. 31, 2022 | Apr. 17, 2017 | |
Disaggregation of Revenue [Line Items] | ||||
Contract with customer, liability, revenue recognized | $ 787,000 | $ 926,000 | ||
Contract with customer liability | 4,958,000 | 4,958,000 | $ 4,601,000 | |
Remaining balance of contract liabilities | 252,000 | 252,000 | ||
License [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Deferred revenue | $ 10,000,000 | |||
Contract with customer, liability, revenue recognized | 0 | 0 | $ 5,400,000 | |
Contract with customer liability | 4,600,000 | 4,600,000 | ||
License And Royalty Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Contract with customer liability | $ 1,200,000 | $ 1,200,000 |
SCHEDULE OF FAIR VALUE HIERARCH
SCHEDULE OF FAIR VALUE HIERARCHY ASSETS AND LIABILITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | $ 28,677 | $ 62,173 |
Corporate Debt Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | 9,215 | 15,500 |
US Treasury Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | 19,462 | 46,673 |
Fair Value, Recurring [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets, Total | 28,677 | 62,173 |
Fair Value, Recurring [Member] | Corporate Debt Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | 9,215 | 15,500 |
Fair Value, Recurring [Member] | US Treasury Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | 19,462 | 46,673 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets, Total | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | Corporate Debt Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | ||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | US Treasury Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | ||
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets, Total | 28,677 | 62,173 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | Corporate Debt Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | 9,215 | 15,500 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | US Treasury Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | 19,462 | 46,673 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets, Total | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Corporate Debt Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets | ||
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | US Treasury Securities [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Assets |
SCHEDULE OF UNREALIZED GAIN OR
SCHEDULE OF UNREALIZED GAIN OR LOSS ON SHORT-TERM INVESTMENTS (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items] | ||
Amortized Cost | $ 28,688 | $ 62,300 |
Gross Unrealized Gains | 1 | 2 |
Gross Unrealized Losses | (12) | (129) |
Investment Securities Available-For-Sale | 28,677 | 62,173 |
Corporate Debt Securities [Member] | ||
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items] | ||
Amortized Cost | 9,220 | 15,538 |
Gross Unrealized Gains | 1 | |
Gross Unrealized Losses | (6) | (38) |
Investment Securities Available-For-Sale | 9,215 | 15,500 |
US Treasury Securities [Member] | ||
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items] | ||
Amortized Cost | 19,468 | 46,762 |
Gross Unrealized Gains | 2 | |
Gross Unrealized Losses | (6) | (91) |
Investment Securities Available-For-Sale | $ 19,462 | $ 46,673 |
SCHEDULE OF MATURITY DATE OF AV
SCHEDULE OF MATURITY DATE OF AVAILABLE-FOR-SALE SECURITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items] | ||
Amortized Cost | $ 28,688 | $ 62,300 |
Gross Unrealized Gains | 1 | 2 |
Gross Unrealized Losses | (12) | (129) |
Estimated Fair Value | 28,677 | 62,173 |
Corporate Debt and US Treasury Securities [Member] | ||
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items] | ||
Amortized Cost | 28,688 | 62,300 |
Gross Unrealized Gains | 1 | 2 |
Gross Unrealized Losses | (12) | (129) |
Estimated Fair Value | $ 28,677 | $ 62,173 |
SCHEDULE OF UNREALIZED LOSS ON
SCHEDULE OF UNREALIZED LOSS ON INVESTMENTS SECURITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Investments [Line Items] | ||
Less than Twelve Months, Fair Value | $ 15,558 | $ 46,825 |
Less than Twelve Months, Gross Unrealized Losses | (12) | (129) |
Twelve Months or Greater, Fair Value | ||
Twelve Months or Greater, Gross Unrealized Losses | ||
Total, Fair Value | 15,558 | 46,825 |
Total, Gross Unrealized Losses | (12) | (129) |
Corporate Debt Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Less than Twelve Months, Fair Value | 2,988 | 12,295 |
Less than Twelve Months, Gross Unrealized Losses | (6) | (38) |
Twelve Months or Greater, Fair Value | ||
Twelve Months or Greater, Gross Unrealized Losses | ||
Total, Fair Value | 2,988 | 12,295 |
Total, Gross Unrealized Losses | (6) | (38) |
US Treasury Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Less than Twelve Months, Fair Value | 12,570 | 34,530 |
Less than Twelve Months, Gross Unrealized Losses | (6) | (91) |
Twelve Months or Greater, Fair Value | ||
Twelve Months or Greater, Gross Unrealized Losses | ||
Total, Fair Value | 12,570 | 34,530 |
Total, Gross Unrealized Losses | $ (6) | $ (91) |
CONCENTRATION OF CREDIT RISK _2
CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS AND SUPPLIERS (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
One Commercial Customer [Member] | Customer [Member] | Concentration Of Major Customers And Suppliers [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenue | $ 742,000 | $ 825,000 | ||
Concentration risk, percentage | 71% | 38% | ||
Second Commercial Customer [Member] | Customer [Member] | Concentration Of Major Customers And Suppliers [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenue | $ 78,000 | $ 364,000 | ||
Concentration risk, percentage | 8% | 17% | ||
Third Commercial Customer [Member] | Customer [Member] | Concentration Of Major Customers And Suppliers [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenue | $ 246,000 | |||
Concentration risk, percentage | 11% | |||
Fourth Commercial Customer [Member] | Customer [Member] | Concentration Of Major Customers And Suppliers [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenue | $ 206,000 | |||
Concentration risk, percentage | 10% | |||
Revenue Benchmark [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenue | $ 0 | $ 664,000 | ||
Revenue Benchmark [Member] | Customer [Member] | Concentration Of Major Customers And Suppliers [Member] | ||||
Concentration Risk [Line Items] | ||||
Concentration risk, percentage | 100% |
COMPONENTS OF INVENTORY (Detail
COMPONENTS OF INVENTORY (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Raw materials | $ 1,562 | $ 1,556 |
Work in process | 305 | 305 |
Finished goods | 1,749 | |
Total inventory | $ 3,616 | $ 1,861 |
COMPONENTS OF PROPERTY, PLANT A
COMPONENTS OF PROPERTY, PLANT AND EQUIPMENT (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 27,289 | $ 22,248 |
Less: Accumulated depreciation | (17,828) | (15,418) |
Property and equipment, net | 9,461 | 6,830 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 6,140 | 6,140 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 3,843 | 3,789 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 12,110 | 10,515 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 5,196 | $ 1,804 |
SUMMARY OF COMPONENTS OF INTANG
SUMMARY OF COMPONENTS OF INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 20,198 | $ 951 |
Accumulated Amortization | 2,432 | 876 |
Gross Carrying Amount | 17,766 | 75 |
Acquired Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 20,172 | 951 |
Accumulated Amortization | 2,415 | $ 876 |
Gross Carrying Amount | $ 17,757 | |
Weighted Average Remaining Period (Years) | 12 years | 4 years |
Backlog [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 26 | |
Accumulated Amortization | 17 | |
Gross Carrying Amount | $ 9 |
ESTIMATED FUTURE AMORTIZATION E
ESTIMATED FUTURE AMORTIZATION EXPENSE RELATED TO INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
2023 | $ 566 | |
2024 | 2,104 | |
2025 | 1,600 | |
2026 | 1,572 | |
Thereafter | 11,924 | |
Total | 17,766 | $ 75 |
Cost of Sales [Member] | ||
2023 | 387 | |
2024 | 1,548 | |
2025 | 1,548 | |
2026 | 1,548 | |
Thereafter | 11,924 | |
Total | 16,955 | |
Research and Development Expense [Member] | ||
2023 | 179 | |
2024 | 556 | |
2025 | 52 | |
2026 | 24 | |
Thereafter | ||
Total | $ 811 |
FINANCIAL STATEMENT COMPONENT_2
FINANCIAL STATEMENT COMPONENTS (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Depreciation expense | $ 1,100,000 | $ 153,000 | $ 2,800,000 | $ 533,000,000 |
Amortization expense | $ 573,000 | $ 10,000 | $ 1,600,000 | $ 30,000 |
SCHEDULE OF SHARE-BASED COMPENS
SCHEDULE OF SHARE-BASED COMPENSATION EXPENSE (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total Share-based compensation expense | $ 4,691 | $ 4,081 | $ 11,506 | $ 11,935 |
Research and Development Expense [Member] | ||||
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total Share-based compensation expense | 2,194 | 1,831 | 4,438 | 5,681 |
Sales Marketing General And Administrative Expense [Member] | ||||
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Total Share-based compensation expense | $ 2,497 | $ 2,250 | $ 7,068 | $ 6,254 |
SCHEDULE OF VALUATION ASSUMPTIO
SCHEDULE OF VALUATION ASSUMPTIONS FOR WEIGHTED-AVERAGE GRANT (Details) $ / shares in Units, $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) $ / shares shares | |
Share-Based Payment Arrangement [Abstract] | |
Options, Outstanding, Beginning Balance | shares | 752,000 |
Option Weighted Average Exercise Price, Outstanding | $ / shares | $ 1.35 |
Option Weighted Average Remaining Contractual Term (years), Exercisable | 4 years 10 months 24 days |
Aggregate award, options, outstanding, intrinsic value, Outstanding | $ | $ 746,000 |
Options, Exercisable Ending Balance | shares | 752,000 |
Option Weighted Average Exercise Price, Exercisable | $ / shares | $ 1.35 |
Option Weighted Average Remaining Contractual Term (years), Outstanding | 4 years 10 months 24 days |
Option Aggregate award, options, outstanding, intrinsic value, Exercisable | $ | $ 746,000 |
SCHEDULE OF ACTIVITY AND POSITI
SCHEDULE OF ACTIVITY AND POSITIONS WITH RESPECT TO RSUS AND PSUS (Details) | 9 Months Ended |
Sep. 30, 2023 $ / shares shares | |
Share-Based Payment Arrangement [Abstract] | |
Shares, Unvested, Beginning Balance | shares | 8,866,000 |
Weighted average Price, Unvested, Beginning Balance | $ / shares | $ 3.85 |
Shares, Granted | shares | 3,254,000 |
Weighted average Price , Granted | $ / shares | $ 4.02 |
Shares, Vested | shares | (1,374,000) |
Weighted average Price , Vested | $ / shares | $ 7.86 |
Shares, Forfeited | shares | (423,000) |
Weighted average Price , Forfeited | $ / shares | $ 8.09 |
Shares, Unvested, Ending Balance | shares | 10,323,000 |
Weighted average Price, Unvested, Ending Balance | $ / shares | $ 3.19 |
SHARE-BASED COMPENSATION (Detai
SHARE-BASED COMPENSATION (Details Narrative) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Shares issued | 3,254,000 | |||
Number of shares, cancelled | 423,000 | |||
Performance Shares [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Amortization period | 1 year 1 month 6 days | |||
Performance Shares [Member] | Share Based Payment Arrangement Non Executive [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, number of shares authorized | 4,600,000 | |||
Performance Shares [Member] | Share Based Payment Arrangement Non Executive [Member] | PSU To Non Executive [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Shares issued | 2,400,000 | |||
Performance Shares [Member] | Share Based Payment Arrangement Non Executive [Member] | RSU To Non Executive [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Shares issued | 511,000 | |||
Performance Shares [Member] | Share Based Payment Arrangement Executive [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Unrecognized share-based employee compensation | $ 5.9 | |||
Amortization period | 2 years | |||
Restricted Stock Units (RSUs) [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Unrecognized share-based employee compensation | $ 6.6 | |||
Amortization period | 1 year 6 months | |||
Restricted Stock Units (RSUs) [Member] | PSU To Non Executive [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Terms of Award | we issued 408,000 time-based RSUs to non-executive employees for promotion, retention, and new hire grants. These shares were valued based on the closing price of our common stock on the dates of grant. These shares vest over three or four years from the date of grant. | |||
Shares issued | 408,000 | |||
PSU To Non Executive [Member] | Performance Shares [Member] | Share Based Payment Arrangement Non Executive [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Terms of Award | we issued 2.6 million PSUs to non-executive employees subject to the achievement of development goals. These shares are liabilities subject to mark-to-market accounting as the number of shares was not fixed when issued. One-third of these shares will vest in connection with 2023 achievement of the milestones and the remaining two-thirds will vest over two years from June 30, 2023. | |||
Shares issued | 2,600,000 | |||
Number of shares, cancelled | 426,000 | 106,000 | ||
Restricted Stock Units To Independent Director [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Shares issued | 275,000 | |||
Share based compensation by share based award description of award vesting rights | vest quarterly | |||
PSU To Executives [Member] | Performance Shares [Member] | Share Based Payment Arrangement Executive [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Terms of Award | In June 2022, we issued 6.0 million PSUs to our executive officers. The PSUs are subject to the achievement of performance goals and time-based vesting. The PSUs will become eligible to vest if the closing price of our common stock reaches or exceeds specified price thresholds for at least 20 consecutive trading days during the performance period through December 31, 2025. If the performance goals are met, the portion of the PSUs deemed earned will become subject to time-based vesting in equal quarterly installments over two years starting from the date on which the goal is achieved. These PSUs were valued using a Monte Carlo simulation model using the following inputs: stock price, volatility, and risk-free interest rates. | |||
Shares issued | 6,000,000 |
SCHEDULE OF COMPONENTS OF LEASE
SCHEDULE OF COMPONENTS OF LEASE EXPENSE (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Leases | ||||
Operating lease expense | $ 667 | $ 365 | $ 1,949 | $ 865 |
Amortization of leased assets | 6 | 6 | 19 | 19 |
Interest on lease liabilities | 1 | 1 | 2 | |
Total finance lease expense | 6 | 7 | 20 | 21 |
Total lease expense | $ 673 | $ 372 | $ 1,969 | $ 886 |
SCHEDULE OF CASH FLOW INFORMATI
SCHEDULE OF CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Lessee, Lease, Description [Line Items] | |||
Operating cash flows from operating leases | $ 1,813 | $ 938 | |
Operating cash flows from finance leases | 1 | 2 | |
Financing cash flows from finance leases | 19 | $ 20 | |
Operating lease right-of-use assets | 14,223 | $ 14,579 | |
Current portion of operating lease liability | 2,432 | 1,846 | |
Operating lease liability, net of current portion | 13,027 | 13,829 | |
Total operating lease liabilities | 15,459 | 15,675 | |
Property and equipment, at cost | 27,289 | 22,248 | |
Accumulated depreciation | (17,828) | (15,418) | |
Property and equipment, net | 9,461 | 6,830 | |
Current portion of finance lease obligations | 2 | 21 | |
Finance lease obligations, net of current portion | |||
Total finance lease liabilities | $ 2 | $ 21 | |
Operating Lease, Weighted Average Remaining Lease Term | 8 years 8 months 12 days | 9 years 7 months 6 days | |
Finance Lease, Weighted Average Remaining Lease Term | 1 month 6 days | 9 months 18 days | |
Operating Lease, Weighted Average Discount Rate, Percent | 4.60% | 4.60% | |
Finance Lease, Weighted Average Discount Rate, Percent | 5.60% | 6.30% | |
Financial Lease [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Property and equipment, at cost | $ 112 | $ 112 | |
Accumulated depreciation | (93) | (80) | |
Property and equipment, net | $ 19 | $ 32 |
SCHEDULE OF MATURITIES OF LEASE
SCHEDULE OF MATURITIES OF LEASE LIABILITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Leases | ||
Operating leases, 2023 | $ 642 | |
Finance leases, 2023 | 2 | |
Operating leases, 2024 | 2,340 | |
Finance leases, 2024 | ||
Operating leases, 2025 | 2,003 | |
Finance leases, 2025 | ||
Operating leases, 2026 | 2,023 | |
Finance leases, 2026 | ||
Operating leases, Thereafter | 11,631 | |
Finance leases, Thereafter | ||
Operating leases, Total minimum lease payments | 18,639 | |
Financing leases, Total minimum lease payments | 2 | |
Less: Operating leases, amount representing interest | (3,180) | |
Less: Finance leases, amount representing interest | ||
Operating leases, Present value of capital lease liabilities | 15,459 | $ 15,675 |
Financing leases, Present value of capital lease liabilities | $ 2 | $ 21 |
LEASES (Details Narrative)
LEASES (Details Narrative) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||
Jan. 31, 2023 USD ($) ft² | Sep. 30, 2022 USD ($) ft² | Apr. 30, 2022 USD ($) ft² | Sep. 30, 2021 USD ($) ft² | Jun. 30, 2023 USD ($) | Sep. 30, 2023 USD ($) | Mar. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Lessee, Lease, Description [Line Items] | ||||||||
Lessee, Finance Lease, Description | Our finance leases contain options to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless we are reasonably certain to exercise the purchase option. | |||||||
Lease space for office | $ 14,223,000 | $ 14,579,000 | ||||||
Redmond East Office Park Llc [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lease space for office | ft² | 16,681 | |||||||
Lessee, operating lease, term of contract | 128 months | |||||||
Annual base rent | $ 500,000 | |||||||
Percentage of annual increase in rent | 3% | |||||||
Operating leases, future minimum payments due | $ 6,400,000 | |||||||
Second Redmond East Office Park Llc [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Operating leases, future minimum payments due | $ 13,000,000 | |||||||
Universal Investment Gesellschaft Mbh [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lease space for office | ft² | 3,810 | 3,533 | ||||||
Annual base rent | $ 76,000 | |||||||
Operating leases, future minimum payments due | $ 461,000 | $ 380,000 | ||||||
Intreal International Real Estate Kapitalverwaltungsgesellschaft [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lease space for office | ft² | 5,511 | |||||||
Annual base rent | $ 65,000 | |||||||
Operating leases, future minimum payments due | $ 259,000 | |||||||
Lease space for office | $ 234,000 | |||||||
Neuer Holtigbaum [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lease space for office | ft² | 32,529 | |||||||
Operating leases, future minimum payments due | $ 190,000 | |||||||
Bg Bau Berufsgenossenschaft Der Bauwirtschaft [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lease space for office | ft² | 13,127 | |||||||
Operating leases, future minimum payments due | $ 146,000 | |||||||
Office Lease [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lessee operating lease description | In September 2021, we entered into an office lease with Redmond East Office Park LLC, a Washington limited liability company, pursuant to which we will lease approximately 16,681 square feet of space located in Redmond, Washington that we will use primarily for general office space. The lease provides for an initial term of 128 months that commenced November 1, 2021. Pursuant to the lease, annual base rent was approximately $500,000 for the first year and is subject to annual increases of 3.0%. In addition to base rent, we pay additional rent comprised of our proportionate share of any operating expenses, real estate taxes, and management fees. We have the option to extend the term for one ten-year renewal period, provided that the rent would be subject to market adjustment at the beginning of the renewal term. The total minimum lease payments related to this lease is $6.4 million. | |||||||
Lessee, operating sublease, option | We have the option to extend the term for one ten-year renewal period, provided that the rent would be subject to market adjustment at the beginning of the renewal term. The total minimum lease payments related to this lease is $6.4 million. | |||||||
Second Office Lease [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lessee operating lease description | In September 2021, we entered into a second office lease with Redmond East Office Park LLC, pursuant to which we will lease approximately 36,062 square feet of space located in Redmond, Washington that we will use primarily for product testing and lab space. The lease provides for an initial term of 120 months that commenced on December 1, 2022. Pursuant to the lease, annual base rent will be approximately $1.1 million for the first year and is subject to annual increases of 3.0%. In addition to base rent, we will pay additional rent comprised of our proportionate share of any operating expenses, real estate taxes, and management fees | |||||||
Lessee, operating sublease, option | We have the option to extend the term for one ten-year renewal period, provided that the rent would be subject to market adjustment at the beginning of the renewal term. The total minimum lease payments related to this lease are $13.0 million. | |||||||
Second Office Lease [Member] | Other Nonoperating Income (Expense) [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Gain loss on termination of lease | $ 3,000,000 | |||||||
Lease Space Two [Member] | Redmond East Office Park Llc [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lease space for office | ft² | 36,062 | |||||||
Lessee, operating lease, term of contract | 120 months | |||||||
Annual base rent | $ 1,100,000 | |||||||
Percentage of annual increase in rent | 3% | |||||||
Nuremberg Office Lease [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Lessee operating lease description | In September 2022, we entered into a second office lease with Universal-Investment-Gesellschaft mbH, a German investment company, pursuant to which we lease approximately 3,810 square feet of space located in Nuremberg, Germany that we use primarily for general office space for business development activities. The lease provides for a term of 60 months that commenced November 15, 2022. Pursuant to the lease, annual base rent is approximately $92,000 per year. The total minimum lease payments related to this lease is approximately $461,000. | In April 2022, we entered into an office lease with Universal-Investment-Gesellschaft mbH, a German investment company, pursuant to which we lease approximately 3,533 square feet of space located in Nuremberg, Germany that we use primarily for product testing for engineering and development activities. The lease provides for a term of 60 months that commenced May 1, 2022. Pursuant to the lease, annual base rent is approximately $76,000 per year. The total minimum lease payments related to this lease is approximately $380,000. | ||||||
Universal Investment Gesellschaft Mbh [Member] | ||||||||
Lessee, Lease, Description [Line Items] | ||||||||
Annual base rent | $ 92,000 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) $ in Millions | Sep. 30, 2023 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Purchase commitment amount | $ 12.3 |
Purchase commitment, remaining future payments | $ 3.1 |
COMMON STOCK (Details Narrative
COMMON STOCK (Details Narrative) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Aug. 30, 2023 | Jun. 30, 2023 | Jun. 30, 2021 | Sep. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 4,819,000 | $ 60,505,000 | |||||||
Net proceed | 60,607,000 | ||||||||
Subscriptions receivable | 323,000 | 323,000 | |||||||
June 2021 [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 12,500,000 | $ 81,800,000 | |||||||
Number of shares issued | 5,000,000 | 8,300,000 | |||||||
June Two Thousand Twenty Three [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 43,900,000 | ||||||||
Number of shares issued | 10,900,000 | ||||||||
Common Stock [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 2,000 | $ 18,000 | |||||||
Number of shares issued | 1,787,000 | 17,725,000 | |||||||
Subscriptions receivable | $ 323,000 | $ 323,000 | |||||||
Common Stock [Member] | October 2023 [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 323,000 | ||||||||
Number of shares issued | 150,000 | ||||||||
ATM Equity Offering Agreement [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 30,600,000 | ||||||||
ATM Equity Offering Agreement [Member] | Common Stock [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 30,600,000 | ||||||||
ATM Equity Offering Agreement [Member] | Craig Hallum [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 35,000,000 | $ 45,000,000 | $ 140,000,000 | ||||||
ATM Equity Offering Agreement [Member] | Craig Hallum [Member] | Common Stock [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Share issued value | $ 35,000,000 | $ 45,000,000 | $ 140,000,000 | ||||||
Sales Agreement [Member] | Common Stock [Member] | |||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||
Sale of stock | 1,800,000 | ||||||||
Net proceed | $ 4,200,000 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Operating Loss Carryforwards [Line Items] | ||||
Income tax expense | $ 211,000 | $ 671,000 | ||
Unrecognized tax | 0 | $ 0 | ||
Foreign Tax Authority [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Income tax expense | $ 211,000 | $ 0 |