Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Feb. 23, 2023 | Jun. 30, 2022 | |
Document Information [Line Items] | |||
Entity Central Index Key | 0000070487 | ||
Entity Registrant Name | National Research Corporation | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2022 | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 001-35929 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 47-0634000 | ||
Entity Address, Address Line One | 1245 Q Street | ||
Entity Address, City or Town | Lincoln | ||
Entity Address, State or Province | NE | ||
Entity Address, Postal Zip Code | 68508 | ||
City Area Code | 402 | ||
Local Phone Number | 475-2525 | ||
Title of 12(b) Security | Common Stock, $.001 par value | ||
Trading Symbol | NRC | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 444,018,792 | ||
Entity Common Stock, Shares Outstanding | 24,594,390 | ||
Auditor Name | KPMG LLP | ||
Auditor Firm ID | 1997 | ||
Auditor Location | Lincoln, Nebraska |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 25,026 | $ 54,361 |
Trade accounts receivable, less allowance for doubtful accounts of $65 and $94, respectively | 14,461 | 13,728 |
Prepaid expenses | 2,386 | 3,884 |
Income taxes receivable | 733 | 752 |
Other current assets | 1,110 | 982 |
Total current assets | 43,716 | 73,707 |
Net property and equipment | 17,248 | 12,391 |
Intangible assets, net | 1,611 | 1,790 |
Goodwill, Ending Balance | 61,614 | 61,614 |
Operating lease right-of-use assets | 556 | 975 |
Deferred contract costs, net | 2,441 | 3,772 |
Deferred income taxes | 14 | 14 |
Other | 3,261 | 3,277 |
Total assets | 130,461 | 157,540 |
Current liabilities: | ||
Current portion of notes payable, net of unamortized debt issuance costs | 4,491 | 4,278 |
Accounts payable | 1,153 | 1,943 |
Accrued wages and bonuses | 4,551 | 7,139 |
Accrued expenses | 3,983 | 5,450 |
Dividends payable | 2,956 | 3,044 |
Deferred revenue | 15,198 | 17,213 |
Other current liabilities | 1,085 | 1,321 |
Total current liabilities | 33,417 | 40,388 |
Notes payable, net of current portion and unamortized debt issuance costs | 17,690 | 22,269 |
Deferred income taxes | 5,274 | 7,002 |
Other long-term liabilities | 2,047 | 2,544 |
Total liabilities | 58,428 | 72,203 |
Shareholders’ equity: | ||
Preferred stock, $0.01 par value, authorized 2,000,000 shares, none issued | 0 | 0 |
Common stock, $0.001 par value; authorized 110,000,000 shares, issued 30,922,181 in 2022 and 30,898,600 in 2021, outstanding 24,628,173 in 2022 and 25,361,409 in 2021 | 31 | 31 |
Additional paid-in capital | 175,453 | 173,942 |
Retained earnings (accumulated deficit) | (25,184) | (36,112) |
Accumulated other comprehensive loss, foreign currency translation adjustment | (2,375) | |
Treasury stock, at cost; 6,294,008 Common shares in 2022 and 5,537,191 Common shares in 2021 | (78,267) | (50,149) |
Total shareholders’ equity | 72,033 | 85,337 |
Total liabilities and shareholders’ equity | $ 130,461 | $ 157,540 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Allowance for doubtful accounts | $ 65 | $ 94 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 110,000,000 | 110,000,000 |
Common stock, shares issued (in shares) | 30,922,181 | 30,898,600 |
Common stock, shares outstanding (in shares) | 24,628,173 | 25,361,409 |
Treasury stock, shares (in shares) | 6,294,008 | 5,537,191 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue | $ 151,568 | $ 147,954 | $ 133,277 |
Insurance recoveries | 533 | ||
Operating expenses: | |||
Direct | 57,049 | 52,350 | 49,187 |
Selling, general and administrative | 42,699 | 38,960 | 34,441 |
Depreciation, amortization and impairment | 5,277 | 6,374 | 7,505 |
Total operating expenses | 105,025 | 97,684 | 91,133 |
Operating income | 46,543 | 50,270 | 42,677 |
Other income (expense): | |||
Interest income | 168 | 14 | 18 |
Interest expense | (1,209) | (1,667) | (1,813) |
Reclassification of cumulative foreign currency translation adjustment into earnings | (2,569) | ||
Other, net | (118) | 4 | 585 |
Total other income (expense) | (3,728) | (1,649) | (1,210) |
Income before income taxes | 42,815 | 48,621 | 41,467 |
Provision for income taxes | 11,015 | 11,155 | 4,207 |
Net income | $ 31,800 | $ 37,466 | $ 37,260 |
Earnings per share of common stock: | |||
Basic earnings per share (in dollars per share) | $ 1.28 | $ 1.47 | $ 1.48 |
Diluted earnings per share (in dollars per share) | $ 1.27 | $ 1.46 | $ 1.45 |
Weighted average shares and share equivalents outstanding | |||
Basic (in shares) | 24,922 | 25,422 | 25,170 |
Diluted (in shares) | 25,052 | 25,640 | 25,696 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Net income | $ 31,800 | $ 37,466 | $ 37,260 |
Other comprehensive income (loss): | |||
Other comprehensive loss, foreign currency translation adjustment | (194) | 24 | (190) |
Reclassification of cumulative foreign currency translation adjustment into earnings | 2,569 | 0 | 0 |
Other comprehensive income (loss) | 2,375 | 24 | (190) |
Comprehensive income | $ 34,175 | $ 37,490 | $ 37,070 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Treasury Stock [Member] | Total |
Balances at Dec. 31, 2019 | $ 30 | $ 162,154 | $ (93,357) | $ (2,209) | $ (33,726) | $ 32,892 |
Purchase of shares treasury stock | 0 | 0 | 0 | 0 | (10,001) | (10,001) |
Issuance of common shares for the exercise of stock options | 1 | 8,951 | 0 | 0 | 0 | 8,952 |
Forfeiture of restricted common shares | 0 | 0 | 0 | 0 | 0 | 0 |
Non-cash stock compensation expense | 0 | 680 | 0 | 0 | 0 | 680 |
Dividends declared | 0 | 0 | (5,278) | 0 | 0 | (5,278) |
Other comprehensive loss, foreign currency translation adjustment | 0 | 0 | 0 | (190) | 0 | (190) |
Net income | 0 | 0 | 37,260 | 0 | 0 | 37,260 |
Reclassification of cumulative foreign currency translation adjustment into earnings | 0 | |||||
Balances at Dec. 31, 2020 | 31 | 171,785 | (61,375) | (2,399) | (43,727) | 64,315 |
Purchase of shares treasury stock | 0 | 0 | 0 | 0 | (6,422) | (6,422) |
Issuance of common shares for the exercise of stock options | 0 | 1,534 | 0 | 0 | 0 | 1,534 |
Non-cash stock compensation expense | 0 | 623 | 0 | 0 | 0 | 623 |
Dividends declared | 0 | 0 | (12,203) | 0 | 0 | (12,203) |
Other comprehensive loss, foreign currency translation adjustment | 0 | 0 | 0 | 24 | 0 | 24 |
Net income | 0 | 0 | 37,466 | 0 | 0 | 37,466 |
Reclassification of cumulative foreign currency translation adjustment into earnings | 0 | |||||
Balances at Dec. 31, 2021 | 31 | 173,942 | (36,112) | (2,375) | (50,149) | 85,337 |
Purchase of shares treasury stock | 0 | 0 | 0 | 0 | (28,118) | (28,118) |
Issuance of common shares for the exercise of stock options | 0 | 311 | 0 | 0 | 0 | 311 |
Non-cash stock compensation expense | 0 | 1,200 | 0 | 0 | 0 | 1,200 |
Dividends declared | 0 | 0 | (20,872) | 0 | 0 | (20,872) |
Other comprehensive loss, foreign currency translation adjustment | 0 | 0 | 0 | (194) | 0 | (194) |
Net income | 0 | 0 | 31,800 | 0 | 0 | 31,800 |
Reclassification of cumulative foreign currency translation adjustment into earnings | 0 | 0 | 0 | $ 2,569 | 0 | 2,569 |
Balances at Dec. 31, 2022 | $ 31 | $ 175,453 | $ (25,184) | $ (78,267) | $ 72,033 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Parentheticals) - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Purchase of shares of treasury stock (in shares) | 756,817 | 153,005 | 180,112 |
Shares of common stock for the exercise of stock options (in shares) | 23,581 | 116,753 | 630,373 |
Issuance of restricted common shares, net of forfeitures (in shares) | 6,793 | ||
Dividends declared per common share (in dollars per share) | $ 0.84 | $ 0.48 | $ 0.21 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities: | |||
Net income | $ 31,800,000 | $ 37,466,000 | $ 37,260,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation, amortization and impairment | 5,277,000 | 6,374,000 | 7,505,000 |
Reclassification of cumulative translation adjustment into earnings | 2,569,000 | ||
Deferred income taxes | (1,729,000) | (277,000) | (134,000) |
Reserve for uncertain tax positions | 488,000 | 310,000 | 185,000 |
Gain on insurance recoveries for damaged property | (260,000) | ||
Loss on disposal of property and equipment | 11,000 | 7,000 | 12,000 |
Non-cash share-based compensation expense | 1,200,000 | 623,000 | 680,000 |
Change in assets and liabilities: | |||
Trade accounts receivable | (733,000) | 343,000 | (2,271,000) |
Prepaid expenses and other current and long-term assets | 1,634,000 | (842,000) | (827,000) |
Operating lease assets and liability, net | (39,000) | (34,000) | 16,000 |
Deferred contract costs, net | 1,331,000 | 783,000 | (351,000) |
Accounts payable | (589,000) | 4,000 | (247,000) |
Accrued expenses, wages and bonuses | (2,947,000) | (285,000) | 1,370,000 |
Income taxes receivable and payable | 6,000 | 484,000 | (1,529,000) |
Deferred revenue | (2,014,000) | 1,388,000 | (773,000) |
Net cash provided by operating activities | 36,265,000 | 46,344,000 | 40,636,000 |
Cash flows from investing activities: | |||
Purchases of property and equipment | (9,835,000) | (5,514,000) | (3,984,000) |
Acquisition consideration | (3,000,000) | ||
Insurance proceeds for damaged property | 260,000 | ||
Net cash used in investing activities | (9,835,000) | (8,514,000) | (3,724,000) |
Cash flows from financing activities: | |||
Payments on notes payable | (4,305,000) | (4,093,000) | (3,568,000) |
Payment of debt issuance costs | (92,000) | (36,000) | |
Payments on finance lease obligations | (469,000) | (493,000) | (332,000) |
Proceeds from the exercise of stock options | 0 | 446,000 | 1,734,000 |
Payment of payroll tax withholdings on share-based awards exercised | (190,000) | (721,000) | (2,784,000) |
Payment of deferred acquisition consideration | (1,950,000) | ||
Repurchase of shares for treasury | (27,616,000) | (4,142,000) | |
Payment of dividends on common stock | (20,961,000) | (9,159,000) | (10,517,000) |
Net cash used in financing activities | (55,583,000) | (18,162,000) | (15,503,000) |
Effect of exchange rate changes on cash | (182,000) | 3,000 | (236,000) |
Net increase (decrease) in cash and cash equivalents | (29,335,000) | 19,671,000 | 21,173,000 |
Cash and cash equivalents at beginning of period | 54,361,000 | 34,690,000 | 13,517,000 |
Cash and cash equivalents at end of period | 25,026,000 | 54,361,000 | 34,690,000 |
Supplemental disclosure of cash paid for: | |||
Interest expense, net of capitalized amounts | 1,342,000 | 1,554,000 | 1,735,000 |
Income taxes | 12,233,000 | 10,644,000 | 5,217,000 |
Supplemental disclosure of non-cash investing and financing activities: | |||
Finance lease obligations originated for property and equipment | 40,000 | 817,000 | |
Purchase of property and equipment in accounts payable and accrued expenses | 1,109,000 | 979,000 | 127,000 |
Stock tendered to the Company for cashless exercise of stock options in connection with equity incentive plans | $ 311,000 | 1,088,000 | $ 7,217,000 |
Deferred acquisition consideration | $ 1,950,000 |
Note 1 - Summary of Significant
Note 1 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | ( 1 Summary of Significant Accounting Policies Description of Business and Basis of Presentation National Research Corporation, doing business as NRC Health (“NRC Health,” the “Company,” “we,” “our,” “us” or similar terms), is a leading provider of analytics and insights that facilitate measurement and improvement of the patient and employee experience while also increasing patient engagement and customer loyalty for healthcare organizations in the United States. Our purpose is to humanize healthcare and support organizations in their understanding of each person they serve not Principles of Consolidation The consolidated financial statements include the accounts of the Company and our wholly-owned subsidiary, National Research Corporation Canada. All significant intercompany transactions and balances have been eliminated. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Translation of Foreign Currencies Gains and losses related to transactions denominated in a currency other than the functional currency of the country in which we operate and short-term intercompany accounts are included in other income (expense) in the consolidated statements of income. Our Canadian subsidiary uses Canadian dollars as its functional currency. We translate its assets and liabilities into U.S. dollars at the exchange rate in effect at the balance sheet date. We translate its revenue and expenses at the average exchange rate during the period. We included foreign currency translation gains and losses in accumulated other comprehensive income (loss), a component of shareholders’ equity. During December 2022, Revenue Recognition We derive a majority of our revenues from our annually renewable subscription-based service agreements with our customers, which include performance measurement and improvement services, healthcare analytics and governance education services. Such agreements are generally cancelable on short or no 3 ● Identify the contract, or contracts, with a customer; ● Identify the performance obligations in the contract; ● Determine the transaction price; ● Allocate the transaction price to the identified performance obligations; and ● Recognize revenue when, or as, we satisfy the performance obligations. Our revenue arrangements with a client may one may one one not not Our arrangements with customers consist principally of four 1 2 one 3 4 Subscription-based services - twelve may One-time services one Fixed, non-subscription services Unit-price services Revenue is presented net of any sales tax charged to our clients that we are required to remit to taxing authorities. We recognize contract assets or unbilled receivables related to revenue recognized for services completed but not Deferred Contract Costs Deferred contract costs, net is stated at gross deferred costs less accumulated amortization. We defer commissions and incentives, including payroll taxes, if they are incremental and recoverable costs of obtaining a renewable customer contract. Deferred contract costs are amortized over the estimated term of the contract, including renewals, which generally ranges from three five one December 31, 2022, 2021 2020, December 31, 2022 2021, 2021 December 31, 2022, 2021 2020 2022 2021 2020 (In thousands) Direct expenses $ 146 $ 157 $ 272 Selling, general and administrative expenses $ 1,625 $ 2,494 $ 2,970 Total amortization $ 1,771 $ 2,651 $ 3,242 Additional expense included in selling, general and administrative expenses for impairment of costs capitalized due to lost clients was $14,000, $31,000 and $63,000 for the years December 31, 2022, 2021 2020, Trade Accounts Receivable The allowance for doubtful accounts is our best estimate of the amount of probable credit losses in our existing accounts receivable, determined based on our historical write-off experience, current economic conditions and reasonable and supportable forecasts about the future. We review the allowance for doubtful accounts monthly. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The following table provides the activity in the allowance for doubtful accounts for the years ended December 31, 2022, 2021 2020 Balance at Beginning of Year Bad Debt Expense Write-offs, net of Recoveries Balance at End of Year Year Ended December 31, 2020 $ 144 $ 46 $ 70 $ 120 Year Ended December 31, 2021 $ 120 $ 38 $ 64 $ 94 Year Ended December 31, 2022 $ 94 $ 19 $ 48 $ 65 Property and Equipment Property and equipment is stated at cost. Major expenditures to purchase property or to substantially increase useful lives of property are capitalized. Maintenance, repairs and minor renewals are expensed as incurred. When assets are retired or otherwise disposed of, their costs and related accumulated depreciation are removed from the accounts and resulting gains or losses are included in income. We capitalize certain costs incurred in connection with obtaining or developing internal-use software, including payroll and payroll-related costs for employees who are directly associated with the internal-use software projects and external direct costs of materials and services. Capitalization of such costs ceases when the project is substantially complete and ready for its intended purpose. Costs incurred during the preliminary project and post-implementation stages, as well as software maintenance and training costs are expensed as incurred. We capitalized approximately $3.6 million, $2.8 million and $2.7 million of costs incurred for the development of internal-use software for the years ended December 31, 2022, 2021 2020, When a software license is included in a cloud computing arrangement and we have the legal right, ability and feasibility to download the software, it is accounted for as software, included in property and equipment, and amortized. If a software license is not not We provide for depreciation and amortization of property and equipment using annual rates which are sufficient to amortize the cost of depreciable assets over their estimated useful lives. We use the straight-line method of depreciation and amortization over estimated useful lives of two ten three five one five seven forty Impairment of Long-Lived Assets and Amortizing Intangible Assets Long-lived assets, such as property and equipment and purchased intangible assets subject to depreciation or amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not first not third December 31, 2022, 2021, 2020. Among others, management believes the following circumstances are important indicators of potential impairment of such assets and as a result may ● Significant underperformance in comparison to historical or projected operating results; ● Significant changes in the manner or use of acquired assets or our overall strategy; ● Significant negative trends in our industry or the overall economy; ● A significant decline in the market price for our common stock for a sustained period; and ● Our market capitalization falling below the book value of our net assets. Goodwill and Intangible Assets Intangible assets include customer relationships, trade names, technology, and goodwill. Intangible assets with estimable useful lives are amortized over their respective estimated useful lives to their estimated residual values and reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not October 1 may not When performing the impairment assessment, we will first not not 2022, 2021 2020. Goodwill is an asset representing the future economic benefits arising from other assets acquired in a business combination that are not October 1, may not We review goodwill for impairment by first may not October 1, 2022 December 31, 2022 2021. September 2022, December 2020 not September 2022. September 2022. December 31, 2020. In March 2021, six one one no 19 not not not December 31, 2022. Insurance Recoveries We record insurance recoveries when the realization of the claim is probable. In 2020 February 2020 ( “February February not 2020, Income Taxes We use the asset and liability method of accounting for income taxes. Under that method, deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis using enacted tax rates. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances, if any, are established when necessary to reduce deferred tax assets to the amount that is more likely than not December 31, 2022, 2021, 2020, We recognize the effect of income tax positions only if those positions are more likely than not 50% In 2021, 2019 12, 740 no Share-Based Compensation All of our existing stock option awards and non-vested stock awards have been determined to be equity-classified awards. The compensation expense on share-based payments is recognized based on the grant-date fair value of those awards. We recognize the excess tax benefits and tax deficiencies in the income statement when options are exercised. Amounts recognized in the financial statements with respect to these plans are as follows: 2022 2021 2020 (In thousands) Amounts charged against income, before income tax benefit $ 1,200 $ 623 $ 680 Amount of related income tax benefit (436 ) (919 ) (6,764 ) Net (benefit) expense to net income $ 764 $ (296 ) $ (6,084 ) We refer to our restricted stock awards as “non-vested” stock in these consolidated financial statements. Cash and Cash Equivalents We consider all highly liquid investments with original maturities of three December 31, 2022, 2021, may Leases We determine whether a lease is included in an agreement at inception. We recognize a lease liability and a right-of-use (“ROU”) asset on the balance sheet for our operating leases under which we are lessee. Operating lease ROU assets are included in operating lease right-of-use assets in our consolidated balance sheet. Finance lease assets are included in property and equipment. Operating and finance lease liabilities are included in other current liabilities and other long-term liabilities. Certain lease arrangements may not ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments during the lease term. ROU assets and lease liabilities are recorded at lease commencement based on the estimated present value of lease payments. Because the rate of interest implicit in each lease is not Due to remote working arrangements, we reassessed our office needs and subleased our Seattle location under an agreement considered to be an operating lease beginning in May 2021. not 2021 no 2022 2020. Fair Value Measurements Our valuation techniques are based on maximizing observable inputs and minimizing the use of unobservable inputs when measuring fair value. Observable inputs reflect readily obtainable data from independent sources, while unobservable inputs reflect our market assumptions. The inputs are then classified into the following hierarchy: ( 1 1 2 2 1 not 3 3 The following details our financial assets within the fair value hierarchy at December 31, 2022 2021: Level 1 Level 2 Level 3 Total (In thousands) As of December 31, 2022 Money Market Funds $ 24,927 $ — $ — $ 24,927 Total Cash Equivalents $ 24,927 $ — $ — $ 24,927 As of December 31, 2021 Money Market Funds $ 6,306 $ — $ — $ 6,306 Total Cash Equivalents $ 6,306 $ — $ — $ 6,306 There were no December 31, 2022 2021. Our long-term debt described in Note 8 2 The following are the carrying amount and estimated fair values of long-term debt: December 31, 2022 December 31, 2021 (In thousands) Total carrying amount of long-term debt $ 22,315 $ 26,620 Estimated fair value of long-term debt $ 21,668 $ 27,708 The carrying amounts of accounts receivable, accounts payable, and accrued expenses approximate their fair value. All non-financial assets that are not 3 2021. December 31, 2022 2021, December 31, 2020. 3 Commitments and Contingencies not December 31, 2022 We are self-insured for group medical and dental insurance. We carry excess loss coverage in the amount of $150,000 per covered person per year for group medical insurance. We do not not 2022, 2021 2020, not third December 31, 2022 2021, Earnings Per Share Basic net income per share was computed using the weighted-average number of common shares outstanding during the period. Diluted net income per share was computed using the weighted-average number of common shares and, if dilutive, the potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable upon the exercise of stock options and vesting of restricted stock. The dilutive effect of outstanding stock options is reflected in diluted earnings per share by application of the treasury stock method. We had 83,070, 127,185 and 65,127 options of Common Stock for the years ended December 31, 2022, 2021 2020, 2022 2021 2020 (In thousands, except per share data) Numerator for net income per share - basic: Net income $ 31,800 $ 37,466 $ 37,260 Allocation of distributed and undistributed income to unvested restricted stock shareholders (16 ) (18 ) (57 ) Net income attributable to common shareholders $ 31,784 $ 37,448 $ 37,203 Denominator for net income per share - basic: Weighted average common shares outstanding – basic 24,922 25,422 25,170 Net income per share – basic $ 1.28 $ 1.47 $ 1.48 Numerator for net income per share - diluted: Net income attributable to common shareholders for basic computation $ 31,784 $ 37,448 $ 37,203 Denominator for net income per share - diluted: Weighted average common s 24,922 25,422 25,170 Weighted average effect of dilutive securities – stock options 130 218 526 Denominator for diluted earnings per share – adjusted weighted average shares 25,052 25,640 25,696 Net income per share – diluted $ 1.27 $ 1.46 $ 1.45 |
Note 2 - Acquisition
Note 2 - Acquisition | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | ( 2 ACQUISITION On January 4, 2021, January 2022. Amount of Identified Assets Acquired and Liabilities Assumed ($ in thousands) Current Assets $ 184 Property and equipment 10 Customer related 100 Technology 600 Goodwill 4,340 Total assets acquired $ 5,234 Current liabilities 284 Net assets acquired $ 4,950 The identifiable intangible assets are being amortized over their estimated useful lives of 5 years. The goodwill and identifiable intangible assets are deductible for tax purposes. Goodwill related to the acquisition was primarily attributable to anticipated synergies and other intangibles that do not The financial results associated with the PatientWisdom assets we acquired and liabilities we assumed are included in our consolidated financial statements from the date of acquisition, although the amounts are insignificant for 2022 2021. not 2021 December 31, 2021. |
Note 3 - Contracts With Custome
Note 3 - Contracts With Customers | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | ( 3 Contracts with Customers The following table disaggregates revenue for the years ended December 31, 2022, 2021 2020 2022 2021 2020 Subscription services recognized ratably over time $ 141,981 $ 137,008 $ 122,499 Services recognized at a point in time 4,231 3,216 2,932 Fixed, non-subscription recognized over time 3,134 3,065 2,907 Unit price services recognized over time 2,222 4,665 4,939 Total revenue $ 151,568 $ 147,954 $ 133,277 The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers (In thousands): December 31, 2022 December 31, 2021 Accounts receivables $ 14,461 $ 13,728 Contract assets included in other current assets $ 102 $ 99 Deferred revenue $ 15,198 $ 17,213 Significant changes in contract assets and contract liabilities during the years ended December 31, 2022 2021 2022 2021 Contract Asset Deferred Revenue Contract Asset Deferred Revenue Increase (Decrease) Revenue recognized that was included in deferred revenue at beginning of year due to completion of services $ - $ (17,170 ) $ - $ (15,631 ) Increases due to invoicing of client, net of amounts recognized as revenue - 15,081 - 16,694 Decreases due to completion of services (or portion of services) and transferred to accounts receivable (99 ) - (311 ) - Change due to cumulative catch-up adjustments arising from changes in expected contract consideration - 74 - 326 Increases due to revenue recognized in the period with additional performance obligations before invoicing 102 - 99 - We have elected to apply the practical expedient to not one one December 31, 2022 2023, 2024, 2025, |
Note 4 - Equity Investments
Note 4 - Equity Investments | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Investment [Text Block] | ( 4 Equity Investments We make equity investments to promote business and strategic objectives. For investments that do not not not not |
Note 5 - Property and Equipment
Note 5 - Property and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | ( 5 Property and Equipment At December 31, 2022, 2021, 2022 2021 (In thousands) Furniture and equipment $ 4,753 $ 4,901 Computer equipment 2,639 2,672 Computer software 29,876 27,828 Building 12,561 9,271 Leaseholds 502 502 Land 425 425 Property and equipment at cost 50,756 45,599 Less accumulated depreciation and amortization 33,508 33,208 Net property and equipment $ 17,248 $ 12,391 Depreciation and amortization expense related to property and equipment, including assets under capital lease, for the years ended December 31, 2022, 2021, 2020 2022 not 2021 2020. 2022, 2021, 2020. |
Note 6 - Goodwill and Intangibl
Note 6 - Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | ( 6 Goodwill and Intangible Assets Goodwill and intangible assets consisted of the following at December 31, 2022: Gross Accumulated Impairment Net (In thousands) Goodwill $ 62,328 $ (714 ) $ 61,614 Useful Life Gross Accumulated Amortization Net (In years) (In thousands) Non-amortizing intangible assets: Indefinite trade name 1,191 1,191 Amortizing intangible assets: Customer related 5 - 15 9,192 9,132 60 Technology 3 - 7 1,959 1,599 360 Trade names 10 1,572 1,572 — Total amortizing intangible assets 12,723 12,303 420 Total intangible assets other than goodwill $ 13,914 $ 12,303 $ 1,611 Goodwill and intangible assets consisted of the following at December 31, 2021: Gross Accumulated Impairment Net (In thousands) Goodwill $ 62,328 $ (714 ) $ 61,614 Useful Life Gross Accumulated Amortization Net (In years) (In thousands) Non-amortizing intangible assets: Indefinite trade name 1,191 1,191 Amortizing intangible assets: Customer related 5 - 15 9,445 9,325 120 Technology 3 - 7 1,959 1,480 479 Trade names 10 1,572 1,572 — Total amortizing intangible assets 12,976 12,377 599 Total intangible assets other than goodwill $ 14,167 $ 12,377 $ 1,790 The following represents a summary of changes in the carrying amount of goodwill for the years ended December 31, 2022 2021 Balance as of December 31, 2020 $ 57,255 Goodwill acquired 4,340 Foreign currency translation 19 Balance as of December 31, 2021 $ 61,614 There were no changes in goodwill during 2022 December 31, 2021. As discussed in Note 1, December 2020. Aggregate amortization expense for customer related intangibles, trade names, and technology for the years ended December 31, 2022, 2021 2020 2023, 2024, 2025 2025. |
Note 7 - Income Taxes
Note 7 - Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | ( 7 Income Taxes For the years ended December 31, 2022, 2021, 2020, 2022 2021 2020 (In thousands) U.S. Operations $ 43,156 $ 48,145 $ 41,357 Foreign Operations (341 ) 476 110 Income before income taxes $ 42,815 $ 48,621 $ 41,467 Income tax expense consisted of the following components: 2022 2021 2020 (In thousands) Federal: Current $ 9,988 $ 9,092 $ 3,546 Deferred (1,427 ) (224 ) (308 ) Total $ 8,561 $ 8,868 $ 3,238 Foreign Current $ (90 ) $ 143 $ 225 Deferred — (17 ) (6 ) Total $ (90 ) $ 126 $ 219 State Current $ 2,846 $ 2,197 $ 578 Deferred (302 ) (36 ) 172 Total $ 2,544 $ 2,161 $ 750 Total $ 11,015 $ 11,155 $ 4,207 As a result of the Tax Cuts and Jobs Act (the “Tax Act”), we determined that we would no 2022 2020, We qualify for tax incentives through the Nebraska Advantage LB312 December 31, 2022, 2021 2020, December 31, 2022, 2021 2020, The differences between income taxes expected at the U.S. federal statutory income tax rate of 21 2022 2021 2020 (In thousands) Expected federal income taxes $ 8,991 $ 10,210 $ 8,708 Foreign tax rate differential (24 ) 26 6 State income taxes, net of federal benefit and state tax credits 2,100 1,531 607 Share-based compensation (120 ) (660 ) (5,713 ) Compensation limit for covered employees — — 463 Federal tax credits (408 ) (272 ) (261 ) Uncertain tax positions 22 254 157 Reclassification of cumulative translation adjustment into earnings 539 — — Goodwill Impairment — — 184 Withholding tax on repatriation of foreign earnings (100 ) 8 18 GILTI — — 10 Other 15 58 28 $ 11,015 $ 11,155 $ 4,207 Deferred tax assets and liabilities at December 31, 2022 2021, 2022 2021 (In thousands) Deferred tax assets: Allowance for doubtful accounts $ 16 $ 24 Accrued expenses 691 687 Share-based compensation 1,072 740 Accrued bonuses 96 267 Employer payroll tax deferral — 200 Uncertain tax positions 256 161 Research & experimental expenditures 856 — Other 78 66 Gross deferred tax assets 3,065 2,145 Less valuation allowance — — Deferred tax assets 3,065 2,145 Deferred tax liabilities: Prepaid expenses 135 89 Deferred contract costs 601 945 Property and equipment 1,066 1,579 Intangible assets 6,523 6,338 Repatriation withholding — 182 Deferred tax liabilities 8,325 9,133 Net deferred tax liabilities $ (5,260 ) $ (6,988 ) In March 27, 2020, December 31, 2020. December 2021, December 2022. no On August 16, 2022, 2022 not In assessing the realizability of deferred tax assets, we consider whether it is more likely than not not not 2020, The Tax Act amended Section 174 174 five 2021. December 31, 2022. We had an unrecognized tax benefit at December 31, 2022 2021, December 31, 2022 2021, December 31, 2022 2021, 2022 2021 (In thousands) Balance of unrecognized tax benefits at December 31, 2020 $ 768 Reductions due to lapse of applicable statute of limitations (38 ) Reductions due to tax positions of prior years — Reductions due to settlement with taxing authorities — Additions based on tax positions related to the current year 345 Balance of unrecognized tax benefits at December 31, 2021 $ 1,075 Reductions due to lapse of applicable statute of limitations (76 ) Additions due to tax positions of prior years — Reductions due to settlement with taxing authorities — Additions based on tax positions related to the current year 558 Balance of unrecognized tax benefits at December 31, 2022 $ 1,557 We file income tax returns in the U.S. federal jurisdiction, various state jurisdictions, and Canada federal and provincial jurisdictions. Tax years 2019 2016 2018 |
Note 8 - Notes Payable
Note 8 - Notes Payable | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | ( 8 Notes Payable Our long-term debt consists of the following: 2022 2021 (In thousands) Term Loans $ 22,315 $ 26,620 Less: current portion (4,491 ) (4,278 ) Less: unamortized debt issuance costs (134 ) (73 ) Notes payable, net of current portion $ 17,690 $ 22,269 Our amended and restated credit agreement (the “Credit Agreement”) with First National Bank of Omaha (“FNB”) was amended and restated on September 30, 2022 may The amended Term Loan revised the remaining payments for the then existing outstanding balance at September 30, 2022 May 2027. Borrowings under the Line of Credit and the Delayed Draw Term Loan, if any, bear interest at a floating rate equal to the 30 December 31, 2022). May 2025. December 31, 2022, not 2022. no We are obligated to pay ongoing unused commitment fees quarterly in arrears pursuant to the Line of Credit and the Delayed Draw Term Loan facility at a rate of 0.20% per annum based on the actual daily unused portions of the Line of Credit and the Delayed Draw Term Loan facility, respectively. The Credit Agreement is collateralized by substantially all of our assets, subject to permitted liens and other agreed exceptions, and contains customary representations, warranties, affirmative and negative covenants (including financial covenants) and events of default. The negative covenants include, among other things, restrictions regarding the incurrence of indebtedness and liens, repurchases of our Common Stock and acquisitions, subject in each case to certain exceptions. Pursuant to the Credit Agreement, we are required to maintain a minimum fixed charge coverage ratio of 1.10x 3.00x December 31, 2022, Scheduled maturities of notes payable at December 31, 2022 2023 $ 4,529 2024 4,762 2025 5,011 2026 5,271 2027 2,742 |
Note 9 - Share-based Compensati
Note 9 - Share-based Compensation | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | ( 9 Share-Based Compensation We measure and recognize compensation expense for all share-based payments based on the grant-date fair value of those awards. All of our existing stock option awards and unvested stock awards have been determined to be equity-classified awards. We account for forfeitures as they occur. Our 2004 “2004 2004 not one ten three December 31, 2022, 2004 2004 Our 2006 “2006 may five ten December 31, 2022, 2006 2006 During 2022, 2021 2020, 2022 2021 2020 Expected dividend yield at date of grant 3.39 % 2.15 % 1.84 % Expected stock price volatility 35.52 % 34.85 % 33.62 % Risk-free interest rate 2.33 % 0.91 % 1.35 % Expected life of options (in years) 6.3 7.01 7.39 The risk-free interest rate assumptions were based on the U.S. Treasury yield curve in effect at the time of the grant. The expected volatility was based on historical monthly price changes of our stock based on the expected life of the options at the date of grant. The expected life of options is the average number of years we estimate that options will be outstanding. We consider groups of associates that have similar historical exercise behavior separately for valuation purposes. The following table summarizes stock option activity under 2006 2004 December 31, 2022: Number of Weighted Average Exercise Price Weighted Average Remaining Contractual Terms (Years) Aggregate Intrinsic Value (In thousands) Common Stock Outstanding at December 31, 2021 477,640 $ 30.88 Granted 127,227 $ 36.67 Exercised 23,581 $ 13.17 Outstanding at December 31, 2022 581,286 $ 32.86 5.44 $ 4,739 Exercisable at December 31, 2022 323,140 $ 26.97 3.55 $ 4,369 The following table summarizes information related to stock options for the years ended December 31, 2022, 2021 2020: 2022 2021 2020 Weighted average grant date fair value of stock options granted $ 9.43 $ 12.55 $ 18.67 Intrinsic value of stock options exercised (in thousands) $ 648 $ 3,535 $ 25,912 Intrinsic value of stock options vested (in thousands) $ 4,369 $ 4,805 $ 1,965 As of December 31, 2022, There was $446,000 and $1.7 million in cash received from stock options exercised for the years ended December 31, 2021 2020, December 31, 2022. December 31, 2022, 2021, 2020, December 31, 2022, 2021, 2020, During 2021 2006 No December 31, 2022 2020. December 31, 2022, 2006 five not December 31, 2022, 2021, 2020, December 31, 2020. December 31, 2022 2021. The following table summarizes information regarding non-vested stock granted to associates under the 2006 December 31, 2022: Common Stock Outstanding Common Stock Weighted Average Grant Date Fair Value Per Share Outstanding at December 31, 2021 12,698 $ 42.92 Granted — $ — Vested — $ — Forfeited — $ — Outstanding at December 31, 2022 12,698 $ 42.92 As of December 31, 2022, |
Note 10 - Leases
Note 10 - Leases | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Leases Disclosure [Text Block] | ( 10 Leases We lease printing, computer, other equipment and office space in the United States and Canada. The leases remaining terms as of December 31, 2022 one Certain equipment and office lease agreements include provisions for periodic adjustments to rates and charges. The rates and charges are adjusted based on actual usage or actual costs for internet, common area maintenance, taxes or insurance, as determined by the lessor and are considered variable lease costs. The components of lease expense for the years ended December 31, 2022, 2021 2020 2022 2021 2020 Operating leases $ 527 $ 669 $ 600 Finance leases: Asset amortization 462 489 355 Interest on lease liabilities 19 34 37 Variable lease cost 95 99 62 Short-term lease cost 87 59 42 Sublease income (123 ) (81 ) — Total net lease cost $ 1,067 $ 1,269 $ 1,096 In 2020, Supplemental balance sheet information related to leases (in thousands): December 31, 2022 December 31, 2021 Operating leases: Operating ROU assets $ 556 $ 975 Current operating lease liabilities 522 493 Noncurrent operating lease liabilities 333 820 Total operating lease liabilities $ 855 $ 1,313 December 31, 2022 December 31, 2021 Finance leases: Furniture and equipment $ 1,042 $ 1,042 Computer Equipment 659 659 Computer Software 207 207 Property and equipment under finance lease, gross 1,908 1,908 Less accumulated amortization 1,537 1,074 Property and equipment under finance lease, net $ 371 $ 834 Current obligations of finance leases $ 311 $ 470 Noncurrent obligations of finance leases 39 348 Total finance lease liabilities $ 350 $ 818 Weighted average remaining lease term (in years): Operating leases 1.95 2.80 Finance leases 1.15 1.93 Weighted average discount rate: Operating leases 3.97 % 3.85 % Finance leases 3.54 % 3.42 % Supplemental cash flow and other information related to leases were as follows (in thousands): 2022 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 563 $ 680 $ 596 Operating cash flows from finance leases 18 34 36 Financing cash flows from finance leases 469 493 332 ROU assets obtained in exchange for operating lease liabilities 83 560 276 ROU assets obtained in exchange for finance lease liabilities — 40 817 Undiscounted payments under non-cancelable finance and operating leases at December 31, 2022 Finance Leases Operating Leases 2023 $ 315 $ 547 2024 23 227 2025 11 118 2026 10 — 2027 — — Thereafter — — Total minimum lease payments 359 892 Less: Amount representing interest 9 37 Present value of minimum lease payments 350 855 Less: Current portion 311 522 Lease obligations, net of current portion $ 39 $ 333 Undiscounted cash receipts due under the sublease agreement at December 31, 2022 Operating Lease 2023 $ 122 2024 127 2025 65 Total minimum lease receipts $ 314 |
Note 11 - Related Party
Note 11 - Related Party | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | ( 11 Related Party Mr. Hays, our Chief Executive Officer and director, is an owner of approximately 13% December 31, 2022. December 31, 2022. A director who began serving on our board in May 2021, 2021 not December 31, 2021 A director, who served on our board through October 2021, January 2020 October 2021. 2021 2020 A director, who served on our board through May 2020, 2020 2020. During 2017, 2016 December 31, 2021 2020 no June 30, 2021 |
Note 12 - Associate Benefits
Note 12 - Associate Benefits | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Compensation and Employee Benefit Plans [Text Block] | ( 12 Associate Benefits We sponsor a qualified 401 no 401 first 2022, 2021, 2020, 401 |
Note 13 - Segment Information
Note 13 - Segment Information | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | ( 13 Segment Information In March 2021, six one Our Canada office was closed in 2022. no 2022. 2022 2021 2020 Revenue: United States $ 150,775 $ 144,987 $ 130,305 Canada 793 2,967 2,972 Total $ 151,568 $ 147,954 $ 133,277 Long-lived assets: United States $ 86,718 $ 83,722 $ 77,448 Canada 27 111 1,863 Total $ 86,745 $ 83,833 $ 79,311 Total assets: United States $ 130,151 $ 153,879 $ 128,319 Canada 310 3,661 5,104 Total $ 130,461 $ 157,540 $ 133,423 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The consolidated financial statements include the accounts of the Company and our wholly-owned subsidiary, National Research Corporation Canada. All significant intercompany transactions and balances have been eliminated. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Translation of Foreign Currencies Gains and losses related to transactions denominated in a currency other than the functional currency of the country in which we operate and short-term intercompany accounts are included in other income (expense) in the consolidated statements of income. Our Canadian subsidiary uses Canadian dollars as its functional currency. We translate its assets and liabilities into U.S. dollars at the exchange rate in effect at the balance sheet date. We translate its revenue and expenses at the average exchange rate during the period. We included foreign currency translation gains and losses in accumulated other comprehensive income (loss), a component of shareholders’ equity. During December 2022, |
Revenue [Policy Text Block] | Revenue Recognition We derive a majority of our revenues from our annually renewable subscription-based service agreements with our customers, which include performance measurement and improvement services, healthcare analytics and governance education services. Such agreements are generally cancelable on short or no 3 ● Identify the contract, or contracts, with a customer; ● Identify the performance obligations in the contract; ● Determine the transaction price; ● Allocate the transaction price to the identified performance obligations; and ● Recognize revenue when, or as, we satisfy the performance obligations. Our revenue arrangements with a client may one may one one not not Our arrangements with customers consist principally of four 1 2 one 3 4 Subscription-based services - twelve may One-time services one Fixed, non-subscription services Unit-price services Revenue is presented net of any sales tax charged to our clients that we are required to remit to taxing authorities. We recognize contract assets or unbilled receivables related to revenue recognized for services completed but not |
Deferred Charges, Policy [Policy Text Block] | Deferred Contract Costs Deferred contract costs, net is stated at gross deferred costs less accumulated amortization. We defer commissions and incentives, including payroll taxes, if they are incremental and recoverable costs of obtaining a renewable customer contract. Deferred contract costs are amortized over the estimated term of the contract, including renewals, which generally ranges from three five one December 31, 2022, 2021 2020, December 31, 2022 2021, 2021 December 31, 2022, 2021 2020 2022 2021 2020 (In thousands) Direct expenses $ 146 $ 157 $ 272 Selling, general and administrative expenses $ 1,625 $ 2,494 $ 2,970 Total amortization $ 1,771 $ 2,651 $ 3,242 Additional expense included in selling, general and administrative expenses for impairment of costs capitalized due to lost clients was $14,000, $31,000 and $63,000 for the years December 31, 2022, 2021 2020, |
Accounts Receivable [Policy Text Block] | Trade Accounts Receivable The allowance for doubtful accounts is our best estimate of the amount of probable credit losses in our existing accounts receivable, determined based on our historical write-off experience, current economic conditions and reasonable and supportable forecasts about the future. We review the allowance for doubtful accounts monthly. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The following table provides the activity in the allowance for doubtful accounts for the years ended December 31, 2022, 2021 2020 Balance at Beginning of Year Bad Debt Expense Write-offs, net of Recoveries Balance at End of Year Year Ended December 31, 2020 $ 144 $ 46 $ 70 $ 120 Year Ended December 31, 2021 $ 120 $ 38 $ 64 $ 94 Year Ended December 31, 2022 $ 94 $ 19 $ 48 $ 65 |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Property and equipment is stated at cost. Major expenditures to purchase property or to substantially increase useful lives of property are capitalized. Maintenance, repairs and minor renewals are expensed as incurred. When assets are retired or otherwise disposed of, their costs and related accumulated depreciation are removed from the accounts and resulting gains or losses are included in income. We capitalize certain costs incurred in connection with obtaining or developing internal-use software, including payroll and payroll-related costs for employees who are directly associated with the internal-use software projects and external direct costs of materials and services. Capitalization of such costs ceases when the project is substantially complete and ready for its intended purpose. Costs incurred during the preliminary project and post-implementation stages, as well as software maintenance and training costs are expensed as incurred. We capitalized approximately $3.6 million, $2.8 million and $2.7 million of costs incurred for the development of internal-use software for the years ended December 31, 2022, 2021 2020, When a software license is included in a cloud computing arrangement and we have the legal right, ability and feasibility to download the software, it is accounted for as software, included in property and equipment, and amortized. If a software license is not not We provide for depreciation and amortization of property and equipment using annual rates which are sufficient to amortize the cost of depreciable assets over their estimated useful lives. We use the straight-line method of depreciation and amortization over estimated useful lives of two ten three five one five seven forty |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Impairment of Long-Lived Assets and Amortizing Intangible Assets Long-lived assets, such as property and equipment and purchased intangible assets subject to depreciation or amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not first not third December 31, 2022, 2021, 2020. Among others, management believes the following circumstances are important indicators of potential impairment of such assets and as a result may ● Significant underperformance in comparison to historical or projected operating results; ● Significant changes in the manner or use of acquired assets or our overall strategy; ● Significant negative trends in our industry or the overall economy; ● A significant decline in the market price for our common stock for a sustained period; and ● Our market capitalization falling below the book value of our net assets. |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Goodwill and Intangible Assets Intangible assets include customer relationships, trade names, technology, and goodwill. Intangible assets with estimable useful lives are amortized over their respective estimated useful lives to their estimated residual values and reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not October 1 may not When performing the impairment assessment, we will first not not 2022, 2021 2020. Goodwill is an asset representing the future economic benefits arising from other assets acquired in a business combination that are not October 1, may not We review goodwill for impairment by first may not October 1, 2022 December 31, 2022 2021. September 2022, December 2020 not September 2022. September 2022. December 31, 2020. In March 2021, six one one no 19 not not not December 31, 2022. |
Insurance Recoveries [Policy Text Block] | Insurance Recoveries We record insurance recoveries when the realization of the claim is probable. In 2020 February 2020 ( “February February not 2020, |
Income Tax, Policy [Policy Text Block] | Income Taxes We use the asset and liability method of accounting for income taxes. Under that method, deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis using enacted tax rates. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances, if any, are established when necessary to reduce deferred tax assets to the amount that is more likely than not December 31, 2022, 2021, 2020, We recognize the effect of income tax positions only if those positions are more likely than not 50% In 2021, 2019 12, 740 no |
Share-Based Payment Arrangement [Policy Text Block] | Share-Based Compensation All of our existing stock option awards and non-vested stock awards have been determined to be equity-classified awards. The compensation expense on share-based payments is recognized based on the grant-date fair value of those awards. We recognize the excess tax benefits and tax deficiencies in the income statement when options are exercised. Amounts recognized in the financial statements with respect to these plans are as follows: 2022 2021 2020 (In thousands) Amounts charged against income, before income tax benefit $ 1,200 $ 623 $ 680 Amount of related income tax benefit (436 ) (919 ) (6,764 ) Net (benefit) expense to net income $ 764 $ (296 ) $ (6,084 ) We refer to our restricted stock awards as “non-vested” stock in these consolidated financial statements. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents We consider all highly liquid investments with original maturities of three December 31, 2022, 2021, may |
Lessee, Leases [Policy Text Block] | Leases We determine whether a lease is included in an agreement at inception. We recognize a lease liability and a right-of-use (“ROU”) asset on the balance sheet for our operating leases under which we are lessee. Operating lease ROU assets are included in operating lease right-of-use assets in our consolidated balance sheet. Finance lease assets are included in property and equipment. Operating and finance lease liabilities are included in other current liabilities and other long-term liabilities. Certain lease arrangements may not ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments during the lease term. ROU assets and lease liabilities are recorded at lease commencement based on the estimated present value of lease payments. Because the rate of interest implicit in each lease is not Due to remote working arrangements, we reassessed our office needs and subleased our Seattle location under an agreement considered to be an operating lease beginning in May 2021. not 2021 no 2022 2020. |
Fair Value Measurement, Policy [Policy Text Block] | Fair Value Measurements Our valuation techniques are based on maximizing observable inputs and minimizing the use of unobservable inputs when measuring fair value. Observable inputs reflect readily obtainable data from independent sources, while unobservable inputs reflect our market assumptions. The inputs are then classified into the following hierarchy: ( 1 1 2 2 1 not 3 3 The following details our financial assets within the fair value hierarchy at December 31, 2022 2021: Level 1 Level 2 Level 3 Total (In thousands) As of December 31, 2022 Money Market Funds $ 24,927 $ — $ — $ 24,927 Total Cash Equivalents $ 24,927 $ — $ — $ 24,927 As of December 31, 2021 Money Market Funds $ 6,306 $ — $ — $ 6,306 Total Cash Equivalents $ 6,306 $ — $ — $ 6,306 There were no December 31, 2022 2021. Our long-term debt described in Note 8 2 The following are the carrying amount and estimated fair values of long-term debt: December 31, 2022 December 31, 2021 (In thousands) Total carrying amount of long-term debt $ 22,315 $ 26,620 Estimated fair value of long-term debt $ 21,668 $ 27,708 The carrying amounts of accounts receivable, accounts payable, and accrued expenses approximate their fair value. All non-financial assets that are not 3 2021. December 31, 2022 2021, December 31, 2020. 3 |
Commitments and Contingencies, Policy [Policy Text Block] | Commitments and Contingencies not December 31, 2022 We are self-insured for group medical and dental insurance. We carry excess loss coverage in the amount of $150,000 per covered person per year for group medical insurance. We do not not 2022, 2021 2020, not third December 31, 2022 2021, |
Earnings Per Share, Policy [Policy Text Block] | Earnings Per Share Basic net income per share was computed using the weighted-average number of common shares outstanding during the period. Diluted net income per share was computed using the weighted-average number of common shares and, if dilutive, the potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable upon the exercise of stock options and vesting of restricted stock. The dilutive effect of outstanding stock options is reflected in diluted earnings per share by application of the treasury stock method. We had 83,070, 127,185 and 65,127 options of Common Stock for the years ended December 31, 2022, 2021 2020, 2022 2021 2020 (In thousands, except per share data) Numerator for net income per share - basic: Net income $ 31,800 $ 37,466 $ 37,260 Allocation of distributed and undistributed income to unvested restricted stock shareholders (16 ) (18 ) (57 ) Net income attributable to common shareholders $ 31,784 $ 37,448 $ 37,203 Denominator for net income per share - basic: Weighted average common shares outstanding – basic 24,922 25,422 25,170 Net income per share – basic $ 1.28 $ 1.47 $ 1.48 Numerator for net income per share - diluted: Net income attributable to common shareholders for basic computation $ 31,784 $ 37,448 $ 37,203 Denominator for net income per share - diluted: Weighted average common s 24,922 25,422 25,170 Weighted average effect of dilutive securities – stock options 130 218 526 Denominator for diluted earnings per share – adjusted weighted average shares 25,052 25,640 25,696 Net income per share – diluted $ 1.27 $ 1.46 $ 1.45 |
Note 1 - Summary of Significa_2
Note 1 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Amortization of Capitalized Contract Cost [Table Text Block] | 2022 2021 2020 (In thousands) Direct expenses $ 146 $ 157 $ 272 Selling, general and administrative expenses $ 1,625 $ 2,494 $ 2,970 Total amortization $ 1,771 $ 2,651 $ 3,242 |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | Balance at Beginning of Year Bad Debt Expense Write-offs, net of Recoveries Balance at End of Year Year Ended December 31, 2020 $ 144 $ 46 $ 70 $ 120 Year Ended December 31, 2021 $ 120 $ 38 $ 64 $ 94 Year Ended December 31, 2022 $ 94 $ 19 $ 48 $ 65 |
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | 2022 2021 2020 (In thousands) Amounts charged against income, before income tax benefit $ 1,200 $ 623 $ 680 Amount of related income tax benefit (436 ) (919 ) (6,764 ) Net (benefit) expense to net income $ 764 $ (296 ) $ (6,084 ) |
Fair Value, by Balance Sheet Grouping [Table Text Block] | Level 1 Level 2 Level 3 Total (In thousands) As of December 31, 2022 Money Market Funds $ 24,927 $ — $ — $ 24,927 Total Cash Equivalents $ 24,927 $ — $ — $ 24,927 As of December 31, 2021 Money Market Funds $ 6,306 $ — $ — $ 6,306 Total Cash Equivalents $ 6,306 $ — $ — $ 6,306 December 31, 2022 December 31, 2021 (In thousands) Total carrying amount of long-term debt $ 22,315 $ 26,620 Estimated fair value of long-term debt $ 21,668 $ 27,708 |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | 2022 2021 2020 (In thousands, except per share data) Numerator for net income per share - basic: Net income $ 31,800 $ 37,466 $ 37,260 Allocation of distributed and undistributed income to unvested restricted stock shareholders (16 ) (18 ) (57 ) Net income attributable to common shareholders $ 31,784 $ 37,448 $ 37,203 Denominator for net income per share - basic: Weighted average common shares outstanding – basic 24,922 25,422 25,170 Net income per share – basic $ 1.28 $ 1.47 $ 1.48 Numerator for net income per share - diluted: Net income attributable to common shareholders for basic computation $ 31,784 $ 37,448 $ 37,203 Denominator for net income per share - diluted: Weighted average common s 24,922 25,422 25,170 Weighted average effect of dilutive securities – stock options 130 218 526 Denominator for diluted earnings per share – adjusted weighted average shares 25,052 25,640 25,696 Net income per share – diluted $ 1.27 $ 1.46 $ 1.45 |
Note 2 - Acquisition (Tables)
Note 2 - Acquisition (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | Amount of Identified Assets Acquired and Liabilities Assumed ($ in thousands) Current Assets $ 184 Property and equipment 10 Customer related 100 Technology 600 Goodwill 4,340 Total assets acquired $ 5,234 Current liabilities 284 Net assets acquired $ 4,950 |
Note 3 - Contracts With Custo_2
Note 3 - Contracts With Customers (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | 2022 2021 2020 Subscription services recognized ratably over time $ 141,981 $ 137,008 $ 122,499 Services recognized at a point in time 4,231 3,216 2,932 Fixed, non-subscription recognized over time 3,134 3,065 2,907 Unit price services recognized over time 2,222 4,665 4,939 Total revenue $ 151,568 $ 147,954 $ 133,277 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | December 31, 2022 December 31, 2021 Accounts receivables $ 14,461 $ 13,728 Contract assets included in other current assets $ 102 $ 99 Deferred revenue $ 15,198 $ 17,213 2022 2021 Contract Asset Deferred Revenue Contract Asset Deferred Revenue Increase (Decrease) Revenue recognized that was included in deferred revenue at beginning of year due to completion of services $ - $ (17,170 ) $ - $ (15,631 ) Increases due to invoicing of client, net of amounts recognized as revenue - 15,081 - 16,694 Decreases due to completion of services (or portion of services) and transferred to accounts receivable (99 ) - (311 ) - Change due to cumulative catch-up adjustments arising from changes in expected contract consideration - 74 - 326 Increases due to revenue recognized in the period with additional performance obligations before invoicing 102 - 99 - |
Note 5 - Property and Equipme_2
Note 5 - Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | 2022 2021 (In thousands) Furniture and equipment $ 4,753 $ 4,901 Computer equipment 2,639 2,672 Computer software 29,876 27,828 Building 12,561 9,271 Leaseholds 502 502 Land 425 425 Property and equipment at cost 50,756 45,599 Less accumulated depreciation and amortization 33,508 33,208 Net property and equipment $ 17,248 $ 12,391 |
Note 6 - Goodwill and Intangi_2
Note 6 - Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | Gross Accumulated Impairment Net (In thousands) Goodwill $ 62,328 $ (714 ) $ 61,614 Useful Life Gross Accumulated Amortization Net (In years) (In thousands) Non-amortizing intangible assets: Indefinite trade name 1,191 1,191 Amortizing intangible assets: Customer related 5 - 15 9,192 9,132 60 Technology 3 - 7 1,959 1,599 360 Trade names 10 1,572 1,572 — Total amortizing intangible assets 12,723 12,303 420 Total intangible assets other than goodwill $ 13,914 $ 12,303 $ 1,611 Gross Accumulated Impairment Net (In thousands) Goodwill $ 62,328 $ (714 ) $ 61,614 Useful Life Gross Accumulated Amortization Net (In years) (In thousands) Non-amortizing intangible assets: Indefinite trade name 1,191 1,191 Amortizing intangible assets: Customer related 5 - 15 9,445 9,325 120 Technology 3 - 7 1,959 1,480 479 Trade names 10 1,572 1,572 — Total amortizing intangible assets 12,976 12,377 599 Total intangible assets other than goodwill $ 14,167 $ 12,377 $ 1,790 |
Schedule of Goodwill [Table Text Block] | Balance as of December 31, 2020 $ 57,255 Goodwill acquired 4,340 Foreign currency translation 19 Balance as of December 31, 2021 $ 61,614 |
Note 7 - Income Taxes (Tables)
Note 7 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | 2022 2021 2020 (In thousands) U.S. Operations $ 43,156 $ 48,145 $ 41,357 Foreign Operations (341 ) 476 110 Income before income taxes $ 42,815 $ 48,621 $ 41,467 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | 2022 2021 2020 (In thousands) Federal: Current $ 9,988 $ 9,092 $ 3,546 Deferred (1,427 ) (224 ) (308 ) Total $ 8,561 $ 8,868 $ 3,238 Foreign Current $ (90 ) $ 143 $ 225 Deferred — (17 ) (6 ) Total $ (90 ) $ 126 $ 219 State Current $ 2,846 $ 2,197 $ 578 Deferred (302 ) (36 ) 172 Total $ 2,544 $ 2,161 $ 750 Total $ 11,015 $ 11,155 $ 4,207 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2022 2021 2020 (In thousands) Expected federal income taxes $ 8,991 $ 10,210 $ 8,708 Foreign tax rate differential (24 ) 26 6 State income taxes, net of federal benefit and state tax credits 2,100 1,531 607 Share-based compensation (120 ) (660 ) (5,713 ) Compensation limit for covered employees — — 463 Federal tax credits (408 ) (272 ) (261 ) Uncertain tax positions 22 254 157 Reclassification of cumulative translation adjustment into earnings 539 — — Goodwill Impairment — — 184 Withholding tax on repatriation of foreign earnings (100 ) 8 18 GILTI — — 10 Other 15 58 28 $ 11,015 $ 11,155 $ 4,207 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2022 2021 (In thousands) Deferred tax assets: Allowance for doubtful accounts $ 16 $ 24 Accrued expenses 691 687 Share-based compensation 1,072 740 Accrued bonuses 96 267 Employer payroll tax deferral — 200 Uncertain tax positions 256 161 Research & experimental expenditures 856 — Other 78 66 Gross deferred tax assets 3,065 2,145 Less valuation allowance — — Deferred tax assets 3,065 2,145 Deferred tax liabilities: Prepaid expenses 135 89 Deferred contract costs 601 945 Property and equipment 1,066 1,579 Intangible assets 6,523 6,338 Repatriation withholding — 182 Deferred tax liabilities 8,325 9,133 Net deferred tax liabilities $ (5,260 ) $ (6,988 ) |
Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block] | (In thousands) Balance of unrecognized tax benefits at December 31, 2020 $ 768 Reductions due to lapse of applicable statute of limitations (38 ) Reductions due to tax positions of prior years — Reductions due to settlement with taxing authorities — Additions based on tax positions related to the current year 345 Balance of unrecognized tax benefits at December 31, 2021 $ 1,075 Reductions due to lapse of applicable statute of limitations (76 ) Additions due to tax positions of prior years — Reductions due to settlement with taxing authorities — Additions based on tax positions related to the current year 558 Balance of unrecognized tax benefits at December 31, 2022 $ 1,557 |
Note 8 - Notes Payable (Tables)
Note 8 - Notes Payable (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | 2022 2021 (In thousands) Term Loans $ 22,315 $ 26,620 Less: current portion (4,491 ) (4,278 ) Less: unamortized debt issuance costs (134 ) (73 ) Notes payable, net of current portion $ 17,690 $ 22,269 |
Schedule of Maturities of Long-Term Debt [Table Text Block] | 2023 $ 4,529 2024 4,762 2025 5,011 2026 5,271 2027 2,742 |
Note 9 - Share-based Compensa_2
Note 9 - Share-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Share-Based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | 2022 2021 2020 Expected dividend yield at date of grant 3.39 % 2.15 % 1.84 % Expected stock price volatility 35.52 % 34.85 % 33.62 % Risk-free interest rate 2.33 % 0.91 % 1.35 % Expected life of options (in years) 6.3 7.01 7.39 |
Share-Based Payment Arrangement, Activity [Table Text Block] | Number of Weighted Average Exercise Price Weighted Average Remaining Contractual Terms (Years) Aggregate Intrinsic Value (In thousands) Common Stock Outstanding at December 31, 2021 477,640 $ 30.88 Granted 127,227 $ 36.67 Exercised 23,581 $ 13.17 Outstanding at December 31, 2022 581,286 $ 32.86 5.44 $ 4,739 Exercisable at December 31, 2022 323,140 $ 26.97 3.55 $ 4,369 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value, Intrinsic Value of Exercised and Vested in Period, and Fair Value of Vested in Period [Table Text Block] | 2022 2021 2020 Weighted average grant date fair value of stock options granted $ 9.43 $ 12.55 $ 18.67 Intrinsic value of stock options exercised (in thousands) $ 648 $ 3,535 $ 25,912 Intrinsic value of stock options vested (in thousands) $ 4,369 $ 4,805 $ 1,965 |
Schedule of Nonvested Share Activity [Table Text Block] | Common Stock Outstanding Common Stock Weighted Average Grant Date Fair Value Per Share Outstanding at December 31, 2021 12,698 $ 42.92 Granted — $ — Vested — $ — Forfeited — $ — Outstanding at December 31, 2022 12,698 $ 42.92 |
Note 10 - Leases (Tables)
Note 10 - Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Lease, Cost [Table Text Block] | 2022 2021 2020 Operating leases $ 527 $ 669 $ 600 Finance leases: Asset amortization 462 489 355 Interest on lease liabilities 19 34 37 Variable lease cost 95 99 62 Short-term lease cost 87 59 42 Sublease income (123 ) (81 ) — Total net lease cost $ 1,067 $ 1,269 $ 1,096 |
Lessee, Lease, Balance Sheet Information [Table Text Block] | December 31, 2022 December 31, 2021 Operating leases: Operating ROU assets $ 556 $ 975 Current operating lease liabilities 522 493 Noncurrent operating lease liabilities 333 820 Total operating lease liabilities $ 855 $ 1,313 December 31, 2022 December 31, 2021 Finance leases: Furniture and equipment $ 1,042 $ 1,042 Computer Equipment 659 659 Computer Software 207 207 Property and equipment under finance lease, gross 1,908 1,908 Less accumulated amortization 1,537 1,074 Property and equipment under finance lease, net $ 371 $ 834 Current obligations of finance leases $ 311 $ 470 Noncurrent obligations of finance leases 39 348 Total finance lease liabilities $ 350 $ 818 Weighted average remaining lease term (in years): Operating leases 1.95 2.80 Finance leases 1.15 1.93 Weighted average discount rate: Operating leases 3.97 % 3.85 % Finance leases 3.54 % 3.42 % |
Lease, Cash flow [Table Text Block] | 2022 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 563 $ 680 $ 596 Operating cash flows from finance leases 18 34 36 Financing cash flows from finance leases 469 493 332 ROU assets obtained in exchange for operating lease liabilities 83 560 276 ROU assets obtained in exchange for finance lease liabilities — 40 817 |
Lessee, Operating and Finance Lease, Liability, Maturity [Table Text Block] | Finance Leases Operating Leases 2023 $ 315 $ 547 2024 23 227 2025 11 118 2026 10 — 2027 — — Thereafter — — Total minimum lease payments 359 892 Less: Amount representing interest 9 37 Present value of minimum lease payments 350 855 Less: Current portion 311 522 Lease obligations, net of current portion $ 39 $ 333 |
Lessor, Operating Lease, Payment to be Received, Fiscal Year Maturity [Table Text Block] | Operating Lease 2023 $ 122 2024 127 2025 65 Total minimum lease receipts $ 314 |
Note 13 - Segment Information (
Note 13 - Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | 2022 2021 2020 Revenue: United States $ 150,775 $ 144,987 $ 130,305 Canada 793 2,967 2,972 Total $ 151,568 $ 147,954 $ 133,277 Long-lived assets: United States $ 86,718 $ 83,722 $ 77,448 Canada 27 111 1,863 Total $ 86,745 $ 83,833 $ 79,311 Total assets: United States $ 130,151 $ 153,879 $ 128,319 Canada 310 3,661 5,104 Total $ 130,461 $ 157,540 $ 133,423 |
Note 1 - Summary of Significa_3
Note 1 - Summary of Significant Accounting Policies (Details Textual) | 1 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) shares | Dec. 31, 2020 USD ($) shares | |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, Net of Tax | $ (2,569,000) | $ 0 | $ 0 | |
Incremental Costs of Obtaining a Contract, Deferred During Period | 454,000 | 1,900,000 | 3,700,000 | |
Capitalized Contract Cost, Net, Noncurrent | 2,441,000 | 3,772,000 | ||
Capitalized Contract Cost, Impairment Loss | 14,000 | 31,000 | 63,000 | |
Capitalized Computer Software, Additions | 3,600,000 | 2,800,000 | 2,700,000 | |
Asset Impairment Charges, Total | 0 | 0 | ||
Impairment of Intangible Assets (Excluding Goodwill), Total | 0 | 0 | $ 0 | |
Goodwill, Impairment Loss | 0 | $ 0 | ||
Number of Operating Segments | 1 | 1 | 6 | |
Number of Reporting Units | 1 | |||
Income Tax Credits and Adjustments | 36,000 | $ 10,000 | $ 45,000 | |
Cash Equivalents, at Carrying Value, Total | 24,900,000 | 6,300,000 | ||
Operating Lease, Impairment Loss | 324,000 | |||
Excess Loss Coverage Per Person | 150,000 | |||
Claims Loss Coverage, Minimum Aggregate Deductible | 4,700,000 | 3,200,000 | $ 2,800,000 | |
Self Insurance Reserve, Current | $ 424,000 | $ 406,000 | ||
Common Class A [Member] | ||||
Stock Options Excluded from Computation of Earnings Per Share, Amount (in shares) | shares | 83,070 | 127,185 | 65,127 | |
Cyber Attack [Member] | Recoveries Received Direct by the Company [Member] | ||||
Proceeds from Insurance Settlement, Operating Activities | $ 3,300,000 | |||
Cyber Attack [Member] | Recoveries Paid Directly by Insurer to Outside Vendor [Member] | ||||
Proceeds from Insurance Settlement, Operating Activities | 447,000 | |||
Cyber Attack [Member] | Reimbursement for Lost Revenue [Member] | ||||
Insurance Recoveries | 533,000 | |||
Property Damage Excluding Cyber Attack [Member] | Other Income [Member] | ||||
Insurance Recoveries | 260,000 | |||
Canadian Subsidiary [Member] | ||||
Goodwill, Impairment Loss | $ 714,000 | |||
Number of Customers | 1 | |||
Minimum [Member] | ||||
Capitalized Contract Cost, Amortization Period (Year) | 3 years | |||
Minimum [Member] | Furniture and Fixtures [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 2 years | |||
Minimum [Member] | Computer Equipment [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 3 years | |||
Minimum [Member] | Software and Software Development Costs [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 1 year | |||
Minimum [Member] | Building and Building Improvements [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 7 years | |||
Maximum [Member] | ||||
Capitalized Contract Cost, Amortization Period (Year) | 5 years | |||
Maximum [Member] | Furniture and Fixtures [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 10 years | |||
Maximum [Member] | Computer Equipment [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 5 years | |||
Maximum [Member] | Software and Software Development Costs [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 5 years | |||
Maximum [Member] | Building and Building Improvements [Member] | ||||
Property, Plant and Equipment, Useful Life (Year) | 40 years |
Note 1 - Summary of Significa_4
Note 1 - Summary of Significant Accounting Policies - Amortization Expense Classification (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Capitalized contract cost | $ 1,771 | $ 2,651 | $ 3,242 |
Direct Expenses [Member] | |||
Capitalized contract cost | 146 | 157 | 272 |
Selling, General and Administrative Expenses [Member] | |||
Capitalized contract cost | $ 1,625 | $ 2,494 | $ 2,970 |
Note 1 - Summary of Significa_5
Note 1 - Summary of Significant Accounting Policies - Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Balance | $ 94 | $ 120 | $ 144 |
Bad debt expense | 19 | 38 | 46 |
Write-offs | 48 | 64 | 70 |
Balance | $ 65 | $ 94 | $ 120 |
Note 1 - Summary of Significa_6
Note 1 - Summary of Significant Accounting Policies - Share-based Compensation Amounts Recognized in Financial Statements (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Non-cash share-based compensation expense | $ 1,200 | $ 623 | $ 680 |
Amount of related income tax benefit | (436) | (919) | (6,764) |
Net (benefit) expense to net income | $ 764 | $ (296) | $ (6,084) |
Note 1 - Summary of Significa_7
Note 1 - Summary of Significant Accounting Policies - Fair Value of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Total carrying amount of long-term debt | $ 22,315 | $ 26,620 |
Estimated fair value of long-term debt | 21,668 | 27,708 |
Fair Value, Recurring [Member] | ||
Assets, fair value | 24,927 | 6,306 |
Money Market Funds [Member] | Fair Value, Recurring [Member] | ||
Assets, fair value | 24,927 | 6,306 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | ||
Assets, fair value | 24,927 | 6,306 |
Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member] | Fair Value, Recurring [Member] | ||
Assets, fair value | $ 24,927 | $ 6,306 |
Note 1 - Summary of Significa_8
Note 1 - Summary of Significant Accounting Policies - Net Income Per Share Computation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Numerator for net income per share - basic: | |||
Net income | $ 31,800 | $ 37,466 | $ 37,260 |
Allocation of distributed and undistributed income to unvested restricted stock shareholders | (16) | (18) | (57) |
Net income attributable to common shareholders | $ 31,784 | $ 37,448 | $ 37,203 |
Denominator for net income per share - basic: | |||
Weighted average common shares outstanding – basic (in shares) | 24,922 | 25,422 | 25,170 |
Net income per share – basic (in dollars per share) | $ 1.28 | $ 1.47 | $ 1.48 |
Numerator for net income per share - diluted: | |||
Net income attributable to common shareholders | $ 31,784 | $ 37,448 | $ 37,203 |
Weighted average common shares outstanding – basic (in shares) | 24,922 | 25,422 | 25,170 |
Weighted average effect of dilutive securities – stock options (in shares) | 130 | 218 | 526 |
Denominator for diluted earnings per share – adjusted weighted average shares (in shares) | 25,052 | 25,640 | 25,696 |
Net income per share – diluted (in dollars per share) | $ 1.27 | $ 1.46 | $ 1.45 |
Note 2 - Acquisition (Details T
Note 2 - Acquisition (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Jan. 04, 2021 | Jan. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Payments to Acquire Businesses, Gross | $ 3,000,000 | |||
Payment for Contingent Consideration Liability, Financing Activities | $ 1,950,000 | |||
Selling, General and Administrative Expenses [Member] | ||||
Business Combination, Acquisition Related Costs | $ 119,000 | |||
PatientWisdom, Inc. [Member] | ||||
Payments to Acquire Businesses, Gross | $ 3,000,000 | |||
Business Combination, Consideration Transferred, Total | $ 5,000,000 | |||
Payment for Contingent Consideration Liability, Financing Activities | $ 2,000,000 | |||
Finite-Lived Intangible Asset, Useful Life (Year) | 5 years |
Note 2 - Acquisition - Fair Val
Note 2 - Acquisition - Fair Value of Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 04, 2021 | Dec. 31, 2020 |
Goodwill | $ 61,614 | $ 61,614 | $ 57,255 | |
PatientWisdom, Inc. [Member] | ||||
Current Assets | $ 184 | |||
Property and equipment | 10 | |||
Goodwill | 4,340 | |||
Total assets acquired | 5,234 | |||
Current liabilities | 284 | |||
Net assets acquired | 4,950 | |||
PatientWisdom, Inc. [Member] | Customer Relationships [Member] | ||||
Intangible assets | 100 | |||
PatientWisdom, Inc. [Member] | Technology-Based Intangible Assets [Member] | ||||
Intangible assets | $ 600 |
Note 3 - Contracts With Custo_3
Note 3 - Contracts With Customers 1 (Details Textual) $ in Millions | Dec. 31, 2022 USD ($) |
Long-Term Contract with Customer [Member] | |
Revenue, Remaining Performance Obligation, Amount | $ 1.6 |
Note 3 - Contracts With Custo_4
Note 3 - Contracts With Customers 2 (Details Textual) - Long-Term Contract with Customer [Member] | Dec. 31, 2022 USD ($) |
Revenue, Remaining Performance Obligation, Amount | $ 1,600,000 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | |
Revenue, Remaining Performance Obligation, Amount | $ 972,000 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period (Year) | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |
Revenue, Remaining Performance Obligation, Amount | $ 621,000 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period (Year) | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Revenue, Remaining Performance Obligation, Amount | $ 15,000 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period (Year) | 1 year |
Note 3 - Contracts With Custo_5
Note 3 - Contracts With Customers - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue | $ 151,568 | $ 147,954 | $ 133,277 |
Transferred over Time [Member] | Subscription Services [Member] | |||
Revenue | 141,981 | 137,008 | 122,499 |
Transferred over Time [Member] | Fixed, Non-subscription Services [Member] | |||
Revenue | 3,134 | 3,065 | 2,907 |
Transferred over Time [Member] | Unit Price Services [Member] | |||
Revenue | 2,222 | 4,665 | 4,939 |
Transferred at Point in Time [Member] | Service [Member] | |||
Revenue | $ 4,231 | $ 3,216 | $ 2,932 |
Note 3 - Contracts With Custo_6
Note 3 - Contracts With Customers - Information About Receivables, Contract Assets, and Contract Liabilities From Contracts With Customers (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts receivables | $ 14,461 | $ 13,728 |
Deferred revenue | 15,198 | 17,213 |
Revenue recognized that was included in deferred revenue at beginning of year due to completion of services | (17,170) | (15,631) |
Increases due to invoicing of client, net of amounts recognized as revenue | 15,081 | 16,694 |
Decreases due to completion of services (or portion of services) and transferred to accounts receivable | (99) | (311) |
Change due to cumulative catch-up adjustments arising from changes in expected contract consideration | 74 | 326 |
Increases due to revenue recognized in the period with additional performance obligations before invoicing | 102 | 99 |
Other Current Assets [Member] | ||
Contract assets included in other current assets | $ 102 | $ 99 |
Note 4 - Equity Investments (De
Note 4 - Equity Investments (Details Textual) $ in Millions | Dec. 31, 2022 USD ($) |
Equity Securities without Readily Determinable Fair Value, Amount | $ 1.3 |
Cost Method Investment, Ownership Percentage | 13.80% |
Note 5 - Property and Equipme_3
Note 5 - Property and Equipment (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest Costs Capitalized | $ 216,000 | $ 0 | $ 0 |
Impairment, Long-Lived Asset, Held-for-Use, Total | 0 | 0 | 0 |
Including Assets Held under Capital Lease [Member] | |||
Depreciation, Depletion and Amortization, Nonproduction, Total | $ 5,100,000 | $ 5,700,000 | $ 6,500,000 |
Note 5 - Property and Equipme_4
Note 5 - Property and Equipment - Summary of Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Property and equipment at cost | $ 50,756 | $ 45,599 |
Less accumulated depreciation and amortization | 33,508 | 33,208 |
Net property and equipment | 17,248 | 12,391 |
Furniture and Fixtures [Member] | ||
Property and equipment at cost | 4,753 | 4,901 |
Computer Equipment [Member] | ||
Property and equipment at cost | 2,639 | 2,672 |
Software and Software Development Costs [Member] | ||
Property and equipment at cost | 29,876 | 27,828 |
Building and Building Improvements [Member] | ||
Property and equipment at cost | 12,561 | 9,271 |
Leasehold Improvements [Member] | ||
Property and equipment at cost | 502 | 502 |
Land [Member] | ||
Property and equipment at cost | $ 425 | $ 425 |
Note 6 - Goodwill and Intangi_3
Note 6 - Goodwill and Intangible Assets (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill, Period Increase (Decrease), Total | $ 0 | ||
Goodwill, Ending Balance | 61,614,000 | $ 61,614,000 | $ 57,255,000 |
Goodwill, Impairment Loss | 0 | 0 | |
Amortization of Intangible Assets | 180,000 | $ 320,000 | 318,000 |
Finite-Lived Intangible Asset, Expected Amortization, Year Two | 140,000 | ||
Finite-Lived Intangible Asset, Expected Amortization, Year Three | 140,000 | ||
Finite-Lived Intangible Asset, Expected Amortization, Year Four | 140,000 | ||
Finite-Lived Intangible Asset, Expected Amortization, after Year Five | $ 0 | ||
Canadian Subsidiary [Member] | |||
Goodwill, Impairment Loss | $ 714,000 |
Note 6 - Goodwill and Intangi_4
Note 6 - Goodwill and Intangible Assets - Summary of Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill | $ 62,328 | $ 62,328 | |
Goodwill, Accumulated Depreciation | (714) | (714) | |
Goodwill, Ending Balance | 61,614 | 61,614 | $ 57,255 |
Finite-lived intangible assets, gross | 12,723 | 12,976 | |
Finite-lived intangible assets, accumulated amortization | 12,303 | 12,377 | |
Finite-lived intangible assets, net | 420 | 599 | |
Total intangible assets other than goodwill | 13,914 | 14,167 | |
Total intangible assets other than goodwill | 1,611 | 1,790 | |
Customer Relationships [Member] | |||
Finite-lived intangible assets, gross | 9,192 | 9,445 | |
Finite-lived intangible assets, accumulated amortization | 9,132 | 9,325 | |
Finite-lived intangible assets, net | $ 60 | $ 120 | |
Customer Relationships [Member] | Minimum [Member] | |||
Finite-Lived Intangible Asset, Useful Life (Year) | 5 years | 5 years | |
Customer Relationships [Member] | Maximum [Member] | |||
Finite-Lived Intangible Asset, Useful Life (Year) | 15 years | 15 years | |
Technology-Based Intangible Assets [Member] | |||
Finite-lived intangible assets, gross | $ 1,959 | $ 1,959 | |
Finite-lived intangible assets, accumulated amortization | 1,599 | 1,480 | |
Finite-lived intangible assets, net | $ 360 | $ 479 | |
Technology-Based Intangible Assets [Member] | Minimum [Member] | |||
Finite-Lived Intangible Asset, Useful Life (Year) | 3 years | 3 years | |
Technology-Based Intangible Assets [Member] | Maximum [Member] | |||
Finite-Lived Intangible Asset, Useful Life (Year) | 7 years | 7 years | |
Trade Names [Member] | |||
Finite-Lived Intangible Asset, Useful Life (Year) | 10 years | 10 years | |
Finite-lived intangible assets, gross | $ 1,572 | $ 1,572 | |
Finite-lived intangible assets, accumulated amortization | 1,572 | 1,572 | |
Finite-lived intangible assets, net | 0 | 0 | |
Trade Names 1 [Member] | |||
Indefinite trade name | $ 1,191 | $ 1,191 |
Note 6 - Goodwill and Intangi_5
Note 6 - Goodwill and Intangible Assets - Summary of Changes in the Carrying Amount of Goodwill (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
Goodwill | $ 57,255 |
Goodwill acquired | 4,340 |
Foreign currency translation | 19 |
Goodwill | $ 61,614 |
Note 7 - Income Taxes (Details
Note 7 - Income Taxes (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Deemed Dividend Paid by Foreign Subsidiary | $ 1,400,000 | $ 9,600,000 | ||
Withholding Tax on Dividend Distribution, Percent | 5% | 5% | ||
Cumulative Tax Incentives | $ 510,000 | $ 473,000 | 435,000 | |
Income Tax Credits and Adjustments | 36,000 | 10,000 | 45,000 | |
Social Security Tax Payable, Current | 656,000 | 1,300,000 | ||
Deferred Social Security Tax Paid | $ 656,000 | |||
Deferred Tax Asset, Prior Year Foreign Tax Credit Carryforwards, Write Off | 535,000 | |||
Reserach and Experimentation Costs Deferred | 3,500,000 | 3,500,000 | ||
Deferred Tax Assets, Research and Expenditures | 856,000 | 856,000 | 0 | |
Deferred Tax Assets, Software Development Costs | 52,000 | 52,000 | ||
Unrecognized Tax Benefits, Ending Balance | 1,557,000 | 1,557,000 | 1,075,000 | $ 768,000 |
Unrecognized Tax Benefits, Interest on Income Taxes Accrued | 25,000 | 25,000 | 19,000 | |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | $ 1,300,000 | $ 1,300,000 | $ 918,000 | |
Domestic Tax Authority [Member] | ||||
Open Tax Year | 2019 2020 2021 2022 | |||
State and Local Jurisdiction [Member] | ||||
Open Tax Year | 2016 2017 2018 2019 2020 2021 2022 | |||
Foreign Tax Authority [Member] | Canada Revenue Agency [Member] | ||||
Open Tax Year | 2018 2019 2020 2021 2022 | |||
Domestic Research [Member] | ||||
Tax Amortization Period (Year) | 5 years | |||
Foreign Research [Member] | ||||
Tax Amortization Period (Year) | 15 years | |||
Canadian Subsidiary [Member] | ||||
Capital Returns from Subsidiary | $ 1,200,000 |
Note 7 - Income Taxes - Income
Note 7 - Income Taxes - Income Before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
U.S. Operations | $ 43,156 | $ 48,145 | $ 41,357 |
Foreign Operations | (341) | 476 | 110 |
Income before income taxes | $ 42,815 | $ 48,621 | $ 41,467 |
Note 7 - Income Taxes - Incom_2
Note 7 - Income Taxes - Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current | $ 9,988 | $ 9,092 | $ 3,546 |
Deferred | (1,427) | (224) | (308) |
Total | 8,561 | 8,868 | 3,238 |
Current | (90) | 143 | 225 |
Deferred | 0 | (17) | (6) |
Total | (90) | 126 | 219 |
Current | 2,846 | 2,197 | 578 |
Deferred | (302) | (36) | 172 |
Total | 2,544 | 2,161 | 750 |
Income Tax Expense (Benefit), Total | $ 11,015 | $ 11,155 | $ 4,207 |
Note 7 - Income Taxes - Incom_3
Note 7 - Income Taxes - Income Tax Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Expected federal income taxes | $ 8,991 | $ 10,210 | $ 8,708 |
Foreign tax rate differential | (24) | 26 | 6 |
State income taxes, net of federal benefit and state tax credits | 2,100 | 1,531 | 607 |
Share-based compensation | (120) | (660) | (5,713) |
Compensation limit for covered employees | 0 | 0 | 463 |
Federal tax credits | (408) | (272) | (261) |
Uncertain tax positions | 22 | 254 | 157 |
Reclassification of cumulative translation adjustment into earnings | 539 | 0 | 0 |
Goodwill Impairment | 0 | 0 | 184 |
Withholding tax on repatriation of foreign earnings | (100) | 8 | 18 |
GILTI | 0 | 0 | 10 |
Other | 15 | 58 | 28 |
Income Tax Expense (Benefit), Total | $ 11,015 | $ 11,155 | $ 4,207 |
Note 7 - Income Taxes - Deferre
Note 7 - Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred tax assets: | ||
Allowance for doubtful accounts | $ 16,000 | $ 24,000 |
Accrued expenses | 691,000 | 687,000 |
Share-based compensation | 1,072,000 | 740,000 |
Accrued bonuses | 96,000 | 267,000 |
Employer payroll tax deferral | 0 | 200,000 |
Uncertain tax positions | 256,000 | 161,000 |
Deferred Tax Assets, Research and Expenditures | 856,000 | 0 |
Other | 78,000 | 66,000 |
Gross deferred tax assets | 3,065,000 | 2,145,000 |
Deferred tax assets | 3,065,000 | 2,145,000 |
Deferred tax liabilities: | ||
Prepaid expenses | 135,000 | 89,000 |
Deferred contract costs | 601,000 | 945,000 |
Property and equipment | 1,066,000 | 1,579,000 |
Intangible assets | 6,523,000 | 6,338,000 |
Repatriation withholding | 0 | 182,000 |
Deferred tax liabilities | 8,325,000 | 9,133,000 |
Net deferred tax liabilities | $ (5,260,000) | $ (6,988,000) |
Note 7 - Income Taxes - Change
Note 7 - Income Taxes - Change in Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Balance of unrecognized tax benefits | $ 1,075 | $ 768 |
Reductions due to lapse of applicable statute of limitations | (76) | (38) |
Reductions due to tax positions of prior years | 0 | |
Additions based on tax positions related to the current year | 558 | 345 |
Balance of unrecognized tax benefits | $ 1,557 | $ 1,075 |
Note 8 - Notes Payable (Details
Note 8 - Notes Payable (Details Textual) - Credit Agreement [Member] - First National Bank of Omaha [Member] | 9 Months Ended | 12 Months Ended |
Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Debt Instrument, Covenant, Minimum Fixed Charge Coverage Ratio | 1.10 | |
Debt Instrument, Covenant, Exception, Fixed Charge Coverage Ratio, Dividend Threshold | $ 5,500,000 | |
Debt Instrument, Covenant, Maximum Cash Flow Leverage Ratio | 3 | |
Secured Overnight Financing Rate (SOFR) [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.35% | |
Term Loan [Member] | ||
Debt Instrument, Face Amount | $ 23,412,383 | |
Debt Instrument, Periodic Payment, Total | $ 462,988 | |
Debt Instrument, Interest Rate, Stated Percentage | 5% | |
Delayed Draw Term Loan [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 75,000,000 | |
Revolving Credit Facility [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 30,000,000 | |
Debt Instrument, Percentage Bearing Variable Interest, Percentage Rate | 6.10% | |
Long-Term Line of Credit, Total | $ 0 | |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.20% |
Note 8 - Notes Payable - Summar
Note 8 - Notes Payable - Summary of Notes Payable (Details) - Term Loan [Member] - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Term Loans | $ 22,315 | $ 26,620 |
Less: current portion | (4,491) | (4,278) |
Less: unamortized debt issuance costs | (134) | (73) |
Notes payable, net of current portion | $ 17,690 | $ 22,269 |
Note 8 - Notes Payable - Schedu
Note 8 - Notes Payable - Scheduled Maturities of Notes Payable (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
2023 | $ 4,529 |
2024 | 4,762 |
2025 | 5,011 |
2026 | 5,271 |
2027 | $ 2,742 |
Note 9 - Share-based Compensa_3
Note 9 - Share-based Compensation (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Proceeds from Stock Options Exercised | $ 0 | $ 446,000 | $ 1,734,000 |
Share-Based Payment Arrangement, Exercise of Option, Tax Benefit | $ 160,000 | $ 862,000 | $ 6,300,000 |
Common Stock Options [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares) | 127,227 | 101,091 | 70,471 |
Share-Based Payment Arrangement, Option [Member] | |||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 1,200,000 | ||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 2 years 7 months 17 days | ||
Share-Based Payment Arrangement, Option [Member] | Direct, Selling, General and Administrative Expenses [Member] | |||
Share-Based Payment Arrangement, Expense | $ 1,100,000 | $ 607,000 | $ 680,000 |
Nonvested [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 5 years | ||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | $ 327,000 | ||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year) | 3 years | ||
Nonvested [Member] | Direct, Selling, General and Administrative Expenses [Member] | |||
Share-Based Payment Arrangement, Expense | $ 109,000 | 17,000 | 23,000 |
Restricted Stock [Member] | |||
Share-Based Payment Arrangement, Expense | $ 0 | $ 0 | |
Tax Benefit Realized Restricted Stock Vested | $ 235,000 | ||
Director Plan 2004 [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 707,862 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options Grants Cumulative (in shares) | 2,292,138 | ||
Director Plan 2004 [Member] | Nonqualified Stock Options [Member] | Director [Member] | |||
Share Based Compensation, Arrangement By Share Based Payment Award, Options Grant, Amount | $ 100,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 1 year | ||
Director Plan 2004 [Member] | Nonqualified Stock Options [Member] | Director [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period (Year) | 10 years | ||
Director Plan 2004 [Member] | Nonqualified Stock Options [Member] | Director [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period (Year) | 3 years | ||
Director Plan 2004 [Member] | Common Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 3,000,000 | ||
The 2006 Equity Incentive Plan [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant (in shares) | 751,778 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options Grants Cumulative (in shares) | 1,048,222 | ||
The 2006 Equity Incentive Plan [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period (Year) | 10 years | ||
The 2006 Equity Incentive Plan [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period (Year) | 5 years | ||
The 2006 Equity Incentive Plan [Member] | Nonvested [Member] | |||
Stock Issued During Period, Shares, Restricted Stock Award, Gross (in shares) | 12,698 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Nonvested Restricted Stock, Outstanding Number (in shares) | 12,698 | ||
The 2006 Equity Incentive Plan [Member] | Common Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in shares) | 1,800,000 |
Note 9 - Share-based Compensa_4
Note 9 - Share-based Compensation - Stock Options Valuation Assumptions (Details) - Common Stock [Member] | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Expected dividend yield at date of grant | 3.39% | 2.15% | 1.84% |
Expected stock price volatility | 35.52% | 34.85% | 33.62% |
Risk-free interest rate | 2.33% | 0.91% | 1.35% |
Expected life of options (in years) (Year) | 6 years 3 months 18 days | 7 years 3 days | 7 years 4 months 20 days |
Note 9 - Share-based Compensa_5
Note 9 - Share-based Compensation - Stock Option Activity Under Equity Incentive Plans and Director Plan (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Exercised, number of options (in shares) | 23,581 | 116,753 | 630,373 |
Common Stock Options [Member] | |||
Beginning balance, outstanding, number of options (in shares) | 477,640 | ||
Beginning balance, outstanding, weighted average exercise price (in dollars per share) | $ 30.88 | ||
Granted, number of options (in shares) | 127,227 | 101,091 | 70,471 |
Granted, weighted average exercise price (in dollars per share) | $ 36.67 | ||
Exercised, number of options (in shares) | 23,581 | ||
Exercised, weighted average exercise price (in dollars per share) | $ 13.17 | ||
Ending balance, outstanding, number of options (in shares) | 581,286 | 477,640 | |
Ending balance, outstanding, weighted average exercise price (in dollars per share) | $ 32.86 | $ 30.88 | |
Outstanding, weighted average remaining contractual term (Year) | 5 years 5 months 8 days | ||
Outstanding, aggregate intrinsic value | $ 4,739 | ||
Exercisable, number of options (in shares) | 323,140 | ||
Weighted average exercise price (in dollars per share) | $ 26.97 | ||
Exercisable, weighted average remaining contractual term (Year) | 3 years 6 months 18 days | ||
Exercisable, aggregate intrinsic value | $ 4,369 |
Note 9 - Share-based compensa_6
Note 9 - Share-based compensation - Stock Option Activity (Details) - Common Stock [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Weighted average grant date fair value of stock options granted (in dollars per share) | $ 9.43 | $ 12.55 | $ 18.67 |
Intrinsic value of stock options exercised (in thousands) | $ 648 | $ 3,535 | $ 25,912 |
Intrinsic value of stock options vested (in thousands) | $ 4,369 | $ 4,805 | $ 1,965 |
Note 9 - Share-based Compensa_7
Note 9 - Share-based Compensation - Non-vested Stock (Details) - Common Stock [Member] | 12 Months Ended |
Dec. 31, 2022 $ / shares shares | |
Outstanding (in shares) | shares | 12,698 |
Outstanding (in dollars per share) | $ / shares | $ 42.92 |
Granted (in shares) | shares | 0 |
Granted (in dollars per share) | $ / shares | $ 0 |
Vested (in shares) | shares | 0 |
Vested (in dollars per share) | $ / shares | $ 0 |
Forfeited (in shares) | shares | 0 |
Forfeited (in dollars per share) | $ / shares | $ 0 |
Outstanding (in shares) | shares | 12,698 |
Outstanding (in dollars per share) | $ / shares | $ 42.92 |
Note 10 - Leases (Details Textu
Note 10 - Leases (Details Textual) | Dec. 31, 2022 |
Minimum [Member] | |
Lessee, Operating Lease, Remaining Lease Term (Year) | 1 year |
Maximum [Member] | |
Lessee, Operating Lease, Remaining Lease Term (Year) | 3 years 11 months 4 days |
Note 10 - Leases - Lease Expens
Note 10 - Leases - Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Operating leases | $ 527 | $ 669 | $ 600 |
Asset amortization | 462 | 489 | 355 |
Interest on lease liabilities | 19 | 34 | 37 |
Variable lease cost | 95 | 99 | 62 |
Short-term lease cost | 87 | 59 | 42 |
Sublease income | (123) | (81) | 0 |
Total net lease cost | $ 1,067 | $ 1,269 | $ 1,096 |
Note 10 - Leases - Supplemental
Note 10 - Leases - Supplemental Balance Sheet Information Related to Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Operating lease right-of-use assets | $ 556 | $ 975 |
Property and equipment at cost | 50,756 | 45,599 |
Less accumulated depreciation and amortization | 33,508 | 33,208 |
Property and equipment under finance lease, net | $ 17,248 | $ 12,391 |
Operating leases (Year) | 1 year 11 months 12 days | 2 years 9 months 18 days |
Finance leases (Year) | 1 year 1 month 24 days | 1 year 11 months 4 days |
Operating leases | 3.97% | 3.85% |
Finance leases | 3.54% | 3.42% |
Other Current Liabilities [Member] | ||
Current portion, operating leases | $ 522 | $ 493 |
Current portion, finance leases | 311 | |
Other Noncurrent Liabilities [Member] | ||
Operating lease obligations, net of current portion | 333 | 820 |
Noncurrent obligations of finance leases | 39 | |
Other Current Liabilities and Other Noncurrent Liabilities [Member] | ||
Total operating lease liabilities | 855 | 1,313 |
Total finance lease liabilities | 350 | |
Property and Equipment [Member] | ||
Current portion, finance leases | 311 | 470 |
Noncurrent obligations of finance leases | 39 | 348 |
Total finance lease liabilities | 350 | 818 |
Furniture and Equipment Held under Finance Leases [Member] | ||
Property and equipment at cost | 1,042 | 1,042 |
Computer Equipment Held under Finance Leases [Member] | ||
Property and equipment at cost | 659 | 659 |
Computer Software Held under Finance Leases [Member] | ||
Property and equipment at cost | 207 | 207 |
Assets Held under Finance Leases [Member] | ||
Property and equipment at cost | 1,908 | 1,908 |
Less accumulated depreciation and amortization | 1,537 | 1,074 |
Property and equipment under finance lease, net | $ 371 | $ 834 |
Note 10 - Leases - Supplement_2
Note 10 - Leases - Supplemental Cash Flow and Other Information Related to Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Operating cash flows from operating leases | $ 563 | $ 680 | $ 596 |
Operating cash flows from finance leases | 18 | 34 | 36 |
Financing cash flows from finance leases | 469 | 493 | 332 |
ROU assets obtained in exchange for operating lease liabilities | 83 | 560 | 276 |
ROU assets obtained in exchange for finance lease liabilities | $ 0 | $ 40 | $ 817 |
Note 10 - Leases - Undiscounted
Note 10 - Leases - Undiscounted Payments Under Non-cancelable Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
2023, finance leases | $ 315 | |
2023, operating leases | 547 | |
2024, finance leases | 23 | |
2024, operating leases | 227 | |
2025, finance leases | 11 | |
2025, operating leases | 118 | |
2026, finance leases | 10 | |
2027, finance leases | 0 | |
Finance leases, total minimum lease payments | 359 | |
Operating leases, total minimum lease payments | 892 | |
Finance leases, less: Amount representing interest | 9 | |
Operating leases, less: Amount representing interest | 37 | |
Other Current Liabilities and Other Noncurrent Liabilities [Member] | ||
Present value of minimum finance lease payments | 350 | |
Present value of minimum operating lease payments | 855 | $ 1,313 |
Other Current Liabilities [Member] | ||
Current portion, finance leases | 311 | |
Current portion, operating leases | 522 | 493 |
Other Noncurrent Liabilities [Member] | ||
Finance leases obligations, net of current portion | 39 | |
Operating lease obligations, net of current portion | $ 333 | $ 820 |
Note 10 - Leases - Undiscount_2
Note 10 - Leases - Undiscounted Payments Under Sublease (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
2023 | $ 122 |
2024 | 127 |
2025 | 65 |
Total minimum lease receipts | $ 314 |
Note 11 - Related Party (Detail
Note 11 - Related Party (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Chief Executive Officer [Member] | Nebraska Global Investment Company LLC [Member] | |||
Officer Ownership Percentage in Vendor | 13% | ||
Don’t Panic Labs, LLC [Member] | |||
Related Party Transaction, Amounts of Transaction | $ 196,000 | ||
Allina Health [Member] | |||
Revenue from Related Parties | $ 1,700,000 | ||
Ameritas Life Insurance Corp [Member] | |||
Related Party Transaction, Amounts of Transaction | 278,000 | $ 248,000 | |
IMA Financial Group [Member] | Purchasing Directors and Officers and Employment Practices Liability Insurance [Member] | |||
Related Party Transaction, Amounts of Transaction | 1,100,000 | ||
PracticingExcellence.com [Member] | |||
Revenue from Related Parties | $ 35,000 | $ 294,000 |
Note 12 - Associate Benefits (D
Note 12 - Associate Benefits (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 25% | ||
Defined Contribution Plan, Maximum Percentage of Annual Contribution Employee Subject to Match | 6% | ||
Defined Contribution Plan, Employers Matching Contribution, Annual Vesting Percentage | 20% | ||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 588,000 | $ 531,000 | $ 521,000 |
Note 13 - Segment Information_2
Note 13 - Segment Information (Details Textual) | 1 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | |
Number of Operating Segments | 1 | 1 | 6 |
Note 13 - Segment Information -
Note 13 - Segment Information - Assets by Geographic Area (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue | $ 151,568 | $ 147,954 | $ 133,277 |
Long-lived assets | 86,745 | 83,833 | 79,311 |
Total assets | 130,461 | 157,540 | 133,423 |
UNITED STATES | |||
Revenue | 150,775 | 144,987 | 130,305 |
Long-lived assets | 86,718 | 83,722 | 77,448 |
Total assets | 130,151 | 153,879 | 128,319 |
CANADA | |||
Revenue | 793 | 2,967 | 2,972 |
Long-lived assets | 27 | 111 | 1,863 |
Total assets | $ 310 | $ 3,661 | $ 5,104 |