Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2016 | Apr. 27, 2016 | |
Document And Entity Information | ||
Entity Registrant Name | SPYR, Inc. | |
Entity Central Index Key | 829,325 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2016 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Is Entity a Well-known Seasoned Issuer? | No | |
Is Entity a Voluntary Filer? | No | |
Is Entity's Reporting Status Current? | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 153,183,127 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2,016 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Mar. 31, 2016 | Dec. 31, 2015 |
Current Assets: | ||
Cash and cash equivalents | $ 5,889,744 | $ 6,903,887 |
Accounts receivable, net | 27,553 | 7,701 |
Inventory | 10,134 | 12,957 |
Prepaid expenses | 40,587 | 55,533 |
Capitalized licensing rights, net | 82,500 | 80,000 |
Trading securities, at market value | 794,441 | 324,444 |
Total Current Assets | 6,844,959 | 7,384,522 |
Property and equipment, net | 286,139 | 274,886 |
Intangible assets, net | 20,407 | 21,307 |
Other assets | 22,299 | 22,299 |
TOTAL ASSETS | 7,173,804 | 7,703,014 |
Current Liabilities: | ||
Accounts payable and accrued liabilities | $ 138,829 | 104,871 |
Related party accounts payable | 7,506 | |
Total Current Liabilities | $ 138,829 | 112,377 |
STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.0001 par value, 10,000,000 shares authorized 107,636 Class A shares issued and outstanding as of March 31, 2016 and 2015; 20,000 Class E shares issued and outstanding as of March 31, 2016 and 2015 | 13 | 13 |
Common Stock, $0.0001 par value, 250,000,000 shares authorized 153,183,127 and 151,508,127 shares issued and outstanding as of March 31, 2016 and 2015 | 15,319 | 15,151 |
Additional paid-in capital | 31,527,375 | 31,269,822 |
Accumulated deficit | (24,507,732) | (23,694,349) |
Total Stockholders' Equity | 7,034,975 | 7,590,637 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 7,173,804 | 7,703,014 |
Class A Preferred Stock [Member] | ||
STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.0001 par value, 10,000,000 shares authorized 107,636 Class A shares issued and outstanding as of March 31, 2016 and 2015; 20,000 Class E shares issued and outstanding as of March 31, 2016 and 2015 | 11 | 11 |
Total Stockholders' Equity | 11 | 11 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 11 | 11 |
Class E Preferred Stock [Member] | ||
STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.0001 par value, 10,000,000 shares authorized 107,636 Class A shares issued and outstanding as of March 31, 2016 and 2015; 20,000 Class E shares issued and outstanding as of March 31, 2016 and 2015 | 2 | 2 |
Total Stockholders' Equity | 2 | 2 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 2 | $ 2 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2016 | Dec. 31, 2015 |
Preferred stock, par value per share | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, par value per share | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 153,183,127 | 151,508,127 |
Common stock, shares outstanding | 153,183,127 | 151,508,127 |
Class A Preferred Stock [Member] | ||
Preferred stock, par value per share | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 107,636 | 107,636 |
Preferred stock, shares outstanding | 107,636 | 107,636 |
Class E Preferred Stock [Member] | ||
Preferred stock, par value per share | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 20,000 | 20,000 |
Preferred stock, shares outstanding | 20,000 | 20,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Income Statement [Abstract] | ||
Revenues | $ 332,389 | $ 331,921 |
Cost of sales | 97,484 | 100,588 |
Gross Margin | 234,905 | 231,333 |
Expenses | ||
Labor and related expenses | 552,556 | 785,844 |
Rent | 104,356 | 74,525 |
Depreciation and amortization | 37,657 | 18,702 |
Professional fees | 218,965 | 1,210,606 |
Other general and administrative | 285,157 | 97,929 |
Total Operating Expenses | 1,198,691 | 2,187,606 |
Operating Loss | (963,786) | (1,956,273) |
Other Income (Expense) | ||
Interest and dividend income | 5,433 | 5,353 |
Change in unrealized gain (loss) on trading securities | 100,202 | (1,122,546) |
Gain (loss) on sale of marketable securities | 49,262 | (298,122) |
Total Other Income (Expense) | 154,897 | (1,415,315) |
Loss from continuing operations | (808,889) | (3,371,588) |
Discontinued Operations | ||
Gain (Loss) on discontinued operations | (4,494) | 37,539 |
Net Loss | $ (813,383) | $ (3,334,049) |
Loss from continuing operations | ||
Basic and Diluted earnings per share | $ (0.01) | $ (0.02) |
Gain (Loss) on discontinued operations | ||
Basic and Diluted earnings per share | ||
Net Loss | ||
Basic and Diluted earnings per share | $ (0.01) | $ (0.02) |
Weighted Average Common Shares | ||
Basic and Diluted | 152,289,857 | 142,754,422 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements Of Changes In Stockholders' Equity (Unaudited) - 3 months ended Mar. 31, 2016 - USD ($) | Class A Preferred Stock [Member] | Class E Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Total |
Balance preferred stock, shares at Dec. 31, 2015 | 107,636 | 20,000 | ||||
Balance common stock, shares at Dec. 31, 2015 | 151,508,127 | 151,508,127 | ||||
Balance, value at Dec. 31, 2015 | $ 11 | $ 2 | $ 15,151 | $ 31,269,822 | $ (23,694,349) | $ 7,590,637 |
Common stock issued for employee compensation, shares | 1,325,000 | |||||
Common stock issued for employee compensation, value | $ 133 | 199,379 | 199,512 | |||
Common stock issued for professional fees, shares | 350,000 | |||||
Common stock issued for professional fees, value | $ 35 | 52,465 | 52,500 | |||
Vesting of shares of common stock issued for services, value | $ 5,709 | 5,709 | ||||
Net loss | $ (813,383) | $ (813,383) | ||||
Balance preferred stock , shares at Mar. 31, 2016 | 107,636 | 20,000 | ||||
Balance common stock, shares at Mar. 31, 2016 | 153,183,127 | 153,183,127 | ||||
Balance, value at Mar. 31, 2016 | $ 11 | $ 2 | $ 15,319 | $ 31,527,375 | $ (24,507,732) | $ 7,034,975 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements Of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Cash Flows From Operating Activities: | ||
Net loss for the period | $ (813,383) | $ (3,334,049) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Gain (Loss) on discontinued operations | (4,494) | 37,539 |
Depreciation and amortization | 37,657 | 18,702 |
Common stock issued for employee compensation | 199,512 | 803,875 |
Common stock issued for professional fees | 52,500 | $ 891,458 |
Vesting of shares of common stock issued for services | 5,709 | |
Unrealized (gain) loss on trading securities | 100,202 | $ (1,122,546) |
(Gain) loss on sale of trading securities | 49,262 | (298,122) |
(Increase) decrease in accounts receivables | 19,852 | $ (4,173) |
Decrease in inventory | (2,823) | |
Decrease in prepaid expenses | (14,946) | $ (1,565) |
Increase in accounts payable and accrued liabilities | 33,958 | 40,137 |
Decrease in related party accounts payable | (7,506) | (270,000) |
Net Cash Used for Operating Activities from Continuing Operations | (638,606) | (461,010) |
Net Cash Used for Operating Activities from Discontinued Operations | (4,494) | (8,420) |
Net Cash Used in Operating Activities | (643,100) | $ (469,430) |
Cash Flows From Investing Activities: | ||
Increase in capitalized licensing rights | 10,000 | |
Purchases of trading securities | 510,000 | |
Proceeds from sale of trading securities | 189,467 | $ 747,489 |
Purchase of property and equipment | $ 40,510 | 20,173 |
Purchase of intangible assets | 20,202 | |
Net Cash (Used in) Provided by Investing Activities | $ (371,043) | $ 707,114 |
Cash Flows From Financing Activities: | ||
Net Cash Provided by Financing Activities | ||
Net Change in Cash | $ (1,014,143) | $ 237,684 |
Cash and cash equivalents at beginning of period | 6,903,887 | 6,994,180 |
Cash and cash equivalents at end of period | $ 5,889,744 | $ 7,231,864 |
Supplemental Disclosure of Interest and Income Taxes Paid: | ||
Interest paid during the period | ||
Income taxes paid during the period | ||
Supplemental Disclosure of Non-cash Investing and Financing Activities: | ||
Common stock issued for acquisition of Franklin Networks, Inc. | $ 1,700,000 |
Organization And Summary Of Sig
Organization And Summary Of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2016 | |
Organization And Summary Of Significant Accounting Policies | |
Organization and Summary of Significant Accounting Policies | NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Interim Financial Statements The accompanying condensed consolidated financial statements are unaudited. These unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and applicable rules and regulations of the Securities and Exchange Commission (SEC) regarding interim financial reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Companys Annual Report on Form 10-K for the fiscal year ended December 31, 2015 filed with the SEC. The condensed consolidated balance sheet as of December 31, 2015 included herein was derived from the audited consolidated financial statements as of that date, but does not include all disclosures, including notes, required by GAAP. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary to fairly present the Company's financial position and results of operations for the interim periods reflected. Except as noted, all adjustments contained herein are of a normal recurring nature. Results of operations for the fiscal periods presented herein are not necessarily indicative of fiscal year-end results. Organization The Company was incorporated as Conceptualistics, Inc. on January 6, 1988 in Delaware. Subsequent to its incorporation, the Company changed its name to Eat at Joes, Ltd. In February 2015, the Company changed its name to SPYR, Inc. and adopted a new ticker symbol SPYR effective March 12, 2015. Nature of Business The primary focus of SPYR, Inc. (the Company) is to act as a holding company and develop a portfolio of profitable subsidiaries, not limited by any particular industry or business. We currently own three operating subsidiaries, one in the restaurant industry and two in the digital technology industry, each having their own particular focus. Through our wholly owned subsidiaries, SPYR APPS, LLC and SPYR APPS Oy, we operate our mobile games and applications business. The focus of the SPYR APPS subsidiaries is the development and publication of our own mobile games as well as the publication of games developed by third-party developers. Through our other wholly owned subsidiary, E.A.J.: PHL Airport, Inc., we own and operate the restaurant Eat at Joes ®, which is located in the Philadelphia International Airport and has been in operations since 1997. Principles of Consolidation The consolidated financial statements include the accounts of SPYR, Inc. and its wholly-owned subsidiaries, E.A.J.: PHL, Airport Inc., a Pennsylvania corporation, SPYR APPS, LLC, a Nevada Limited Liability Company, SPYR APPS, Oy, a Finnish Limited Liability Company, and E.A.J Market East, Inc. a Nevada corporation (Dormant). Intercompany accounts and transactions have been eliminated. Revenue Recognition The Company generates revenues from its wholly owned subsidiaries, which operate separate and distinct businesses. The following is a summary of our revenue recognition policies. Through our wholly owned subsidiary SPYR APPS, LLC, we develop, publish and co-publish mobile games, and then generate revenue through those games by way of advertising and in-app purchases. The Company recognizes revenue using four basic criteria that must be met before revenue can be recognized: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred; (3) the selling price is fixed and determinable; and (4) collectability is reasonably assured, which is typically after receipt of payment and delivery. The Companys dedicated mobile gaming applications can be downloaded through the app stores maintained by Apple and Google. The Companys cross platform gaming application which can be played on personal computers, Facebook and mobile devices, can be downloaded from the internet and Facebook as well as through the app stores maintained by Apple, Google and Amazon. The Company receives revenue from sale of advertising provided with games and through in-app purchases. The Company also receives revenue from publishing agreements entered into during 2015 for one mobile game and one cross platform game. Though our wholly owned subsidiary E.A.J.: PHL, Airport, Inc. we generate revenue from the sale of food and beverage products through our restaurant. Revenue from the restaurant is recognized upon sale to a customer and receipt of payment. Income Taxes The Company accounts for income taxes under the provisions of ASC 740 Accounting for Income Taxes, which requires a company to first determine whether it is more likely than not (which is defined as a likelihood of more than fifty percent) that a tax position will be sustained based on its technical merits as of the reporting date, assuming that taxing authorities will examine the position and have full knowledge of all relevant information. A tax position that meets this more likely than not threshold is then measured and recognized at the largest amount of benefit that is greater than fifty percent likely to be realized upon effective settlement with a taxing authority. Deferred income taxes are recognized for the tax consequences related to temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for tax purposes at each year end, based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. A valuation allowance is recognized when, based on the weight of all available evidence, it is considered more likely than not that all, or some portion, of the deferred tax assets will not be realized. The Company evaluates its valuation allowance requirements based on projected future operations. When circumstances change and cause a change in management's judgment about the recoverability of deferred tax assets, the impact of the change on the valuation is reflected in current income. Income tax expense is the sum of current income tax plus the change in deferred tax assets and liabilities. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates and assumptions used by management affected impairment analysis for fixed assets, intangible assets, amounts of potential liabilities and valuation of issuance of equity securities. Actual results could differ from those estimates. Earnings (Loss) Per Share The Companys computation of earnings (loss) per share (EPS) includes basic and diluted EPS. Basic EPS is calculated by dividing the Companys net income (loss) available to common stockholders by the weighted average number of common shares during the period. Diluted EPS reflects the potential dilution, using the treasury stock method that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the net income (loss) of the Company. In computing diluted EPS, the treasury stock method assumes that outstanding options and warrants are exercised and the proceeds are used to purchase common stock at the average market price during the period. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest and are included in the calculation of diluted weighted average number of common shares outstanding from the time they are granted. The basic and fully diluted shares for the three months ended March 31, 2016 are the same because the inclusion of the potential shares (Non-vested Common 241,667, Class A 26,909,028, Class E 696,767) would have had an anti-dilutive effect due to the Company generating a loss for the three months ended March 31, 2016. The basic and fully diluted shares for the three months ended March 31, 2015 are the same because the inclusion of the potential shares (Non-vested Common 458,333, Class A 26,909,028, Class E 161,394) would have had an anti-dilutive effect due to the Company generating a loss for the three months ended March 31, 2015. Stock-Based Compensation The Company periodically issues stock options and warrants to employees and non-employees in non-capital raising transactions for services and for financing costs. The Company accounts for stock option and warrant grants issued and vesting to employees based on the authoritative guidance provided by the Financial Accounting Standards Board whereas the value of the award is measured on the date of grant and recognized over the vesting period. The Company accounts for stock option and warrant grants issued and vesting to non-employees in accordance with the authoritative guidance of the Financial Accounting Standards Board (FASB) whereas the value of the stock compensation is based upon the measurement date as determined at either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. Non-employee stock-based compensation charges generally are amortized over the vesting period on a straight-line basis. In certain circumstances where there are no future performance requirements by the non-employee, option grants are immediately vested and the total stock-based compensation charge is recorded in the period of the measurement date. The fair value of the Company's stock option and warrant grants is estimated using the Black-Scholes Option Pricing model, which uses certain assumptions related to risk-free interest rates, expected volatility, expected life of the stock options or warrants, and future dividends. Compensation expense is recorded based upon the value derived from the Black-Scholes Option Pricing model, and based on actual experience. The assumptions used in the Black-Scholes Option Pricing model could materially affect compensation expense recorded in future periods. The Company also issues restricted shares of its common stock for share-based compensation programs to employees and non-employees. The Company measures the compensation cost with respect to restricted shares to employees based upon the estimated fair value at the date of the grant, and is recognized as expense over the period which an employee is required to provide services in exchange for the award. For non-employees, the Company measures the compensation cost with respect to restricted shares based upon the estimated fair value at the measurement date which is either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. Fair Value of Financial Instruments The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and paragraph 820-10-35-37 of the FASB Accounting Standards Codification (Paragraph 820-10-35-37) to measure the fair value of its financial instruments. Paragraph 820-10-35-37 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. GAAP), and expands disclosures about fair value measurements. To increase consistency and comparability in fair value measurements and related disclosures, Paragraph 820-10-35-37 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad levels. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The three (3) levels of the fair value hierarchy are described below: Level 1: Quoted market prices available in active markets for identical assets or liabilities as of the reporting date. Level 2: Pricing inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. Level 3: Pricing inputs that are generally observable inputs and not corroborated by market data. The carrying amounts of the Companys financial assets and liabilities, such as cash and cash equivalents, inventory, prepaid expenses, and accounts payable and accrued expenses approximate their fair values because of the short maturity of those instruments. The Companys trading securities are measured at fair value using level 1 fair values. Software Licensing Costs Software licensing costs pertains to non-refundable payments made to independent gaming software developers pursuant to licensing agreements executed in 2015. The payments are intended to assist gaming software developers in the marketing and further development of two gaming software applications. Software licensing costs were $90,000 and $0 for the three months ended March 31, 2016 and 2015, respectively and was reflected as part of Other General and Administrative Expenses on the accompanying consolidated statements of operations. Capitalized Licensing Rights Capitalized licensing rights represent fees paid to intellectual property rights holders for use of their trademarks, copyrights, software, technology, music or other intellectual property or proprietary rights in the development of our products. Depending upon the agreement with the rights holder, we may obtain the right to use the intellectual property in multiple products over a number of years, or alternatively, for a single product. Significant management judgments and estimates are utilized in assessing the recoverability of capitalized costs. In evaluating the recoverability of capitalized costs, the assessment of expected product performance utilizes forecasted sales amounts and estimates of additional costs to be incurred. If revised forecasted or actual product sales are less than the originally forecasted amounts utilized in the initial recoverability analysis, the net realizable value may be lower than originally estimated in any given quarter, which could result in an impairment charge. Material differences may result in the amount and timing of expenses for any period if management makes different judgments or utilizes different estimates in evaluating these qualitative factors. As of December 31, 2015, the Company capitalized $80,000 as a result of the acquisition of licensing rights for two gaming applications. The Company estimates that the two gaming applications will have an estimated life ranging from two to five years, which approximates the term of the respective licenses. During the period ended March 31, 2016, the Company capitalized an additional $10,000 and amortized $7,500. As of March 31, 2016, the unamortized capitalized licensing rights amounted to $82,500. Recent Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers In February 2016, the FASB issued Accounting Standards Update (ASU) No. 2016-02, Leases Other recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company's present or future consolidated financial statements. |
Trading Securities
Trading Securities | 3 Months Ended |
Mar. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Trading Securities | NOTE 2 - TRADING SECURITIES Trading securities are purchased with the intent of selling them in the short term. Trading securities are recorded at market value and the difference between market value and cost of the securities is recorded as an unrealized gain or loss in the statement of operations. Gains from the sales of such marketable securities will be utilized to fund payment of obligations and to provide working capital for operations and to finance future growth, including, but not limited to: conducting our ongoing business, conducting strategic business development, marketing analysis, due diligence investigations into possible acquisitions, and research and development and implementation of the Companys business plans generally. The Companys securities investments that are bought and held principally for the purpose of selling them in the near term are classified as trading securities. Trading securities are recorded at fair value based on quoted market price (level 1) on the balance sheet in current assets, with the change in fair value during the period included in earnings. Investments in securities are summarized as follows: Fair Value at Year Beginning of Year Purchases Proceeds from Sale Gain on Sale Unrealized Gain Fair Value at End of Year 2016 $ 324,444 $ 510,000 $ (189,467 ) $ 49,262 $ 100,202 $ 794,441 Realized gains and losses are determined on the basis of specific identification. During the three months ended March 31, 2016 and 2015, sales proceeds and gross realized gains and losses on securities classified as available-for-sale securities and trading securities were: March 31, March 31, Sales proceeds $ 189,467 $ 747,489 Gross realized (losses) $ $ (298,122 ) Gross realized gains 49,262 Gain on sale of marketable securities $ 49,262 $ (298,122 ) The following table discloses the assets measured at fair value on a recurring basis and the methods used to determine fair value: Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant in Active Other Unobservable Fair Value at Markets Observable Inputs Inputs March 31, 2016 (Level 1) (Level 2) (Level 3) Trading securities $ 794,441 $ 794,441 $ $ Money market funds 192,080 192,080 Total $ 986,521 $ 986,521 $ $ Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant in Active Other Unobservable Fair Value at Markets Observable Inputs Inputs December 31, (Level 1) (Level 2) (Level 3) Trading securities $ 324,444 $ 324,444 $ $ Money market funds 332,706 332,706 Total $ 657,150 $ 657,150 $ $ Generally, for all trading securities and available-for-sale securities, fair value is determined by reference to quoted market prices (level 1). |
Property And Equipment
Property And Equipment | 3 Months Ended |
Mar. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | NOTE 3 PROPERTY AND EQUIPMENT Property and equipment consisted of the following: March 31, December 31, Equipment $ 143,771 $ 131,821 Furniture & fixtures 115,503 86,943 Leasehold improvements 381,450 381,450 640,724 600,214 Less: accumulated depreciation and amortization (354,585 ) (325,328 ) Property and Equipment, Net $ 286,139 $ 274,886 Depreciation and amortization expense for the three months ended March 31, 2016 and 2015 was $29,257 and $18,702, respectively. |
Commitments And Contingencies
Commitments And Contingencies | 3 Months Ended |
Mar. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 4 COMMITMENTS AND CONTINGENCIES Legal Proceedings We are involved in certain legal proceedings that arise from time to time in the ordinary course of our business. Except for income tax contingencies, we record accruals for contingencies to the extent that our management concludes that the occurrence is probable and that the related amounts of loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. A material legal proceeding that is currently pending is as follows: On October 14, 2015, the Company was named as a defendant in a case filed in the United States District Court for the District of Delaware case: Zakeni Limited v. SPYR, Inc., f/k/a Eat at Joes., Ltd. The suit relates to the Companys issuance of its convertible debentures in the aggregate principal amount of $1,500,000 in 1998. The plaintiff is seeking payment or conversion of said convertible debentures together with accrued interest and unspecified damages. The Company believes the claim is not a valid debt, is vigorously defending this lawsuit, and filed a motion to dismiss, which is pending before the Court. Based upon available information at this very early stage of litigation it is the opinion of management and belief of in-house counsel that the Company will obtain a favorable ruling and no amount will be awarded to the plaintiff in this action. Accordingly, Management believes the likelihood of material loss resulting from this lawsuit to be remote. |
Common Stock Transactions
Common Stock Transactions | 3 Months Ended |
Mar. 31, 2016 | |
Equity [Abstract] | |
Common Stock Transactions | NOTE 5 COMMON STOCK TRANSACTIONS During the three months ended March 31, 2016, the Company issued an aggregate of 1,325,000 shares of common stock to employees with a total fair value of $199,512 for services rendered. The shares issued are non-refundable and deemed earned upon issuance. As a result, the Company expensed the entire $199,512 upon issuance. The shares issued were valued at the date of the respective agreements. During the three months ended March 31, 2016, the Company issued an aggregate of 350,000 shares of restricted common stock to consultants with a total fair value of $52,500 for services rendered. The shares issued are non-refundable and deemed earned upon issuance. As a result, the Company expensed the entire $52,500 upon issuance. The shares issued were valued at the date of the respective agreements. Common Stock with Vesting Terms: In August 2015, the Company granted and issued 100,000 shares of its restricted common stock to an employee pursuant to an employment agreement. The 100,000 shares vest over a period of one year with a fair value of $37,000 at the date of grant. In February 2015, the Company granted and issued 500,000 shares of its restricted common stock to a consultant pursuant to a consulting agreement. The 500,000 shares are forfeitable and are deemed earned upon completion of service over a period of twenty four months. The Company recognizes the fair value of these shares as they vest. During the three months ended March 31, 2016, 87,500 of these shares vested and as a result, the Company recognized compensation cost of $5,709. As of March 31, 2016, total unvested shares totaled 241,667 shares with unearned compensation costs of $42,542 which will be recognized in fiscal years 2016 and 2017. The following table summarizes common stock with vesting terms activity: Weighted Average Number of Grant Date Shares Fair Value Non-vested, December 31, 2015 329,167 $ 0.48 Granted - - Vested (87,500) 0.46 Forfeited - - Non-vested, March 31, 2016 241,667 $ 0.48 |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | NOTE 6 SEGMENT REPORTING The Company operated in one segment as of the beginning of 2015, but concurrent with the organization of SPYR APPS, LLC on March 24, 2015, it operates in two segments: Digital Media and Restaurant, which provide different products or services. Digital Media Segment Restaurant Segment - Revenue and expenses earned and charged between segments are eliminated in consolidation. Corporate expenses, interest income, interest expense, gains and losses on trading or marketable securities and income taxes are managed on a total company basis. Information related to these segments is as follows: REPORTABLE SEGMENTS THREE MONTHS ENDED MARCH 31, 2016 Digital Media Restaurants Corporate Consolidated Revenues $ 35,327 $ 297,062 $ $ 332,389 Cost of sales 97,484 97,484 General and administrative 333,809 238,490 588,735 1,161,034 Depreciation and amortization 7,500 18,721 11,436 37,657 Operating loss $ (305,982 ) $ (57,633 ) $ (600,171 ) $ (963,786 ) Current assets 136,687 $ 245,652 $ 6,462,620 $ 6,844,959 Property and equipment, net 78,003 208,136 286,139 Intangible assets 20,407 20,407 Other non-current assets 16,610 5,689 22,299 Total assets $ 136,687 $ 340,265 $ 6,696,852 $ 7,173,804 REPORTABLE SEGMENTS THREE MONTHS ENDED MARCH 31, 2015 Digital Media Restaurants Corporate Consolidated Revenues $ $ 331,921 $ $ 331,921 Cost of sales 100,588 100,588 General and administrative 274,099 1,894,805 2,168,904 Depreciation and amortization 17,797 905 18,702 Operating Loss $ $ (60,563 ) $ (1,895,710 ) $ (1,956,273 ) Current assets $ 200,543 $ 10,666,526 $ 10,867,069 Property and equipment, net 149,647 7,074 156,721 Intangible assets 25,202 25,202 Other non-current assets 15,000 5,689 20,689 Total assets $ $ 365,190 $ 10,704,491 $ 11,069,681 |
Discontinued Operations
Discontinued Operations | 3 Months Ended |
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
Discontinued Operations | NOTE 7 DISCONTINUED OPERATIONS On February 23, 2015 the Company entered into an agreement whereby, the Company issued an aggregate of 2.5 million shares of its restricted On December 31, 2015, the Company and the former owners of Franklin, McGarrity, Palm and Pilgrim Consulting Services, Inc. agreed to unwind the agreement and return the original consideration exchanged in the contract. As a result, the Company recognized a loss of $1,638,536 due to the write off of the unamortized intangible assets, goodwill and deferred tax liability, reduced by the fair value of the 2.5 million shares of common stock returned to the Company amounting to $500,000 or a net amount of $1,138,536. In addition, the Company also recognized a loss from discontinued operations of $1,205,988 which includes stock-based compensation of $279,258. In addition, during the three months ended March 31, 2016, the Company incurred expenses of $4,494 related to Franklin. During the three months ended March 31, 2015, Franklin generated a gain from operations of $37,539. Pursuant to ASC 2014-08, Reporting of Discontinued Operations, the Company reported the gain (loss) from operations as a gain (loss) from discontinued operations in the accompanying statements of operations since the Company considered its decision to rescind the Franklin acquisition as a strategic shift that has a major effect in the Companys operations and financial results. |
Organization And Summary Of S14
Organization And Summary Of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2016 | |
Organization And Summary Of Significant Accounting Policies Policies | |
Interim Financial Statements | Interim Financial Statements The accompanying condensed consolidated financial statements are unaudited. These unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and applicable rules and regulations of the Securities and Exchange Commission (SEC) regarding interim financial reporting. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Companys Annual Report on Form 10-K for the fiscal year ended December 31, 2015 filed with the SEC. The condensed consolidated balance sheet as of December 31, 2015 included herein was derived from the audited consolidated financial statements as of that date, but does not include all disclosures, including notes, required by GAAP. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary to fairly present the Company's financial position and results of operations for the interim periods reflected. Except as noted, all adjustments contained herein are of a normal recurring nature. Results of operations for the fiscal periods presented herein are not necessarily indicative of fiscal year-end results. |
Organization | Organization The Company was incorporated as Conceptualistics, Inc. on January 6, 1988 in Delaware. Subsequent to its incorporation, the Company changed its name to Eat at Joes, Ltd. In February 2015, the Company its name to SPYR, Inc. and adopted a new ticker symbol SPYR effective March 12, 2015. |
Nature of Business | Nature of Business The primary focus of SPYR, Inc. (the Company) is to act as a holding company and develop a portfolio of profitable subsidiaries, not limited by any particular industry or business. We currently own three operating subsidiaries, one in the restaurant industry and two in the digital technology industry, each having their own particular focus. Through our wholly owned subsidiaries, SPYR APPS, LLC and SPYR APPS Oy, we operate our mobile games and applications business. The focus of the SPYR APPS subsidiaries is the development and publication of our own mobile games as well as the publication of games developed by third-party developers. Through our other wholly owned subsidiary, E.A.J.: PHL Airport, Inc., we own and operate the restaurant Eat at Joes ®, which is located in the Philadelphia International Airport and has been in operations since 1997. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of SPYR, Inc. and its wholly-owned subsidiaries, E.A.J.: PHL, Airport Inc., a Pennsylvania corporation, SPYR APPS, LLC, a Nevada Limited Liability Company, SPYR APPS, Oy, a Finnish Limited Liability Company, and E.A.J Market East, Inc. a Nevada corporation (Dormant). Intercompany accounts and transactions have been eliminated. |
Revenue Recognition | Revenue Recognition The Company generates revenues from its wholly owned subsidiaries, which operate separate and distinct businesses. The following is a summary of our revenue recognition policies. Through our wholly owned subsidiary SPYR APPS, LLC, we develop, publish and co-publish mobile games, and then generate revenue through those games by way of advertising and in-app purchases. The Company recognizes revenue using four basic criteria that must be met before revenue can be recognized: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred; (3) the selling price is fixed and determinable; and (4) collectability is reasonably assured, which is typically after receipt of payment and delivery. The Companys dedicated mobile gaming applications can be downloaded through the app stores maintained by Apple and Google. The Companys cross platform gaming application which can be played on personal computers, Facebook and mobile devices, can be downloaded from the internet and Facebook as well as through the app stores maintained by Apple, Google and Amazon. The Company receives revenue from sale of advertising provided with games and through in-app purchases. The Company also receives revenue from publishing agreements entered into during 2015 for one mobile game and one cross platform game. Though our wholly owned subsidiary E.A.J.: PHL, Airport, Inc. we generate revenue from the sale of food and beverage products through our restaurant. Revenue from the restaurant is recognized upon sale to a customer and receipt of payment. |
Income Taxes | Income Taxes The Company accounts for income taxes under the provisions of ASC 740 Accounting for Income Taxes, which requires a company to first determine whether it is more likely than not (which is defined as a likelihood of more than fifty percent) that a tax position will be sustained based on its technical merits as of the reporting date, assuming that taxing authorities will examine the position and have full knowledge of all relevant information. A tax position that meets this more likely than not threshold is then measured and recognized at the largest amount of benefit that is greater than fifty percent likely to be realized upon effective settlement with a taxing authority. Deferred income taxes are recognized for the tax consequences related to temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for tax purposes at each year end, based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. A valuation allowance is recognized when, based on the weight of all available evidence, it is considered more likely than not that all, or some portion, of the deferred tax assets will not be realized. The Company evaluates its valuation allowance requirements based on projected future operations. When circumstances change and cause a change in management's judgment about the recoverability of deferred tax assets, the impact of the change on the valuation is reflected in current income. Income tax expense is the sum of current income tax plus the change in deferred tax assets and liabilities. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates and assumptions used by management affected impairment analysis for fixed assets, intangible assets, amounts of potential liabilities and valuation of issuance of equity securities. Actual results could differ from those estimates. |
Earnings (Loss) Per Share | Earnings (Loss) Per Share The Companys computation of earnings (loss) per share (EPS) includes basic and diluted EPS. Basic EPS is calculated by dividing the Companys net income (loss) available to common stockholders by the weighted average number of common shares during the period. Diluted EPS reflects the potential dilution, using the treasury stock method that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the net income (loss) of the Company. In computing diluted EPS, the treasury stock method assumes that outstanding options and warrants are exercised and the proceeds are used to purchase common stock at the average market price during the period. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest and are included in the calculation of diluted weighted average number of common shares outstanding from the time they are granted. The basic and fully diluted shares for the three months ended March 31, 2016 are the same because the inclusion of the potential shares (Non-vested Common 241,667, Class A 26,909,028, Class E 696,767) would have had an anti-dilutive effect due to the Company generating a loss for the three months ended March 31, 2016. The basic and fully diluted shares for the three months ended March 31, 2015 are the same because the inclusion of the potential shares (Non-vested Common 458,333, Class A 26,909,028, Class E 161,394) would have had an anti-dilutive effect due to the Company generating a loss for the three months ended March 31, 2015. |
Stock-Based Compensation | Stock-Based Compensation The Company periodically issues stock options and warrants to employees and non-employees in non-capital raising transactions for services and for financing costs. The Company accounts for stock option and warrant grants issued and vesting to employees based on the authoritative guidance provided by the Financial Accounting Standards Board whereas the value of the award is measured on the date of grant and recognized over the vesting period. The Company accounts for stock option and warrant grants issued and vesting to non-employees in accordance with the authoritative guidance of the Financial Accounting Standards Board (FASB) whereas the value of the stock compensation is based upon the measurement date as determined at either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. Non-employee stock-based compensation charges generally are amortized over the vesting period on a straight-line basis. In certain circumstances where there are no future performance requirements by the non-employee, option grants are immediately vested and the total stock-based compensation charge is recorded in the period of the measurement date. The fair value of the Company's stock option and warrant grants is estimated using the Black-Scholes Option Pricing model, which uses certain assumptions related to risk-free interest rates, expected volatility, expected life of the stock options or warrants, and future dividends. Compensation expense is recorded based upon the value derived from the Black-Scholes Option Pricing model, and based on actual experience. The assumptions used in the Black-Scholes Option Pricing model could materially affect compensation expense recorded in future periods. The Company also issues restricted shares of its common stock for share-based compensation programs to employees and non-employees. The Company measures the compensation cost with respect to restricted shares to employees based upon the estimated fair value at the date of the grant, and is recognized as expense over the period which an employee is required to provide services in exchange for the award. For non-employees, the Company measures the compensation cost with respect to restricted shares based upon the estimated fair value at the measurement date which is either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and paragraph 820-10-35-37 of the FASB Accounting Standards Codification (Paragraph 820-10-35-37) to measure the fair value of its financial instruments. Paragraph 820-10-35-37 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. GAAP), and expands disclosures about fair value measurements. To increase consistency and comparability in fair value measurements and related disclosures, Paragraph 820-10-35-37 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad levels. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The three (3) levels of the fair value hierarchy are described below: Level 1: Quoted market prices available in active markets for identical assets or liabilities as of the reporting date. Level 2: Pricing inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. Level 3: Pricing inputs that are generally observable inputs and not corroborated by market data. The carrying amounts of the Companys financial assets and liabilities, such as cash and cash equivalents, inventory, prepaid expenses, and accounts payable and accrued expenses approximate their fair values because of the short maturity of those instruments. The Companys trading securities are measured at fair value using level 1 fair values. |
Software Licensing Costs | Software Licensing Costs Software licensing costs pertains to non-refundable payments made to independent gaming software developers pursuant to licensing agreements executed in 2015. The payments are intended to assist gaming software developers in the marketing and further development of two gaming software applications. Software licensing costs were $90,000 and $0 for the three months ended March 31, 2016 and 2015, respectively and was reflected as part of Other General and Administrative Expenses on the accompanying consolidated statements of operations. |
Capitalized Licensing Rights | Capitalized Licensing Rights Capitalized licensing rights represent fees paid to intellectual property rights holders for use of their trademarks, copyrights, software, technology, music or other intellectual property or proprietary rights in the development of our products. Depending upon the agreement with the rights holder, we may obtain the right to use the intellectual property in multiple products over a number of years, or alternatively, for a single product. Significant management judgments and estimates are utilized in assessing the recoverability of capitalized costs. In evaluating the recoverability of capitalized costs, the assessment of expected product performance utilizes forecasted sales amounts and estimates of additional costs to be incurred. If revised forecasted or actual product sales are less than the originally forecasted amounts utilized in the initial recoverability analysis, the net realizable value may be lower than originally estimated in any given quarter, which could result in an impairment charge. Material differences may result in the amount and timing of expenses for any period if management makes different judgments or utilizes different estimates in evaluating these qualitative factors. As of December 31, 2015, the Company capitalized $80,000 as a result of the acquisition of licensing rights for two gaming applications. The Company estimates that the two gaming applications will have an estimated life ranging from two to five years, which approximates the term of the respective licenses. During the period ended March 31, 2016, the Company capitalized an additional $10,000 and amortized $7,500. As of March 31, 2016, the unamortized capitalized licensing rights amounted to $82,500. |
Recent Accounting Standards | Recent Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers In February 2016, the FASB issued Accounting Standards Update (ASU) No. 2016-02, Leases Other recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission did not or are not believed by management to have a material impact on the Company's present or future consolidated financial statements. |
Trading Securities (Tables)
Trading Securities (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Trading Securities Tables | |
Schedule of Change in Investment in Securities | Investments in securities are summarized as follows: Fair Value at Year Beginning of Year Purchases Proceeds from Sale Gain on Sale Unrealized Gain Fair Value at End of Year 2016 $ 324,444 $ 510,000 $ (189,467 ) $ 49,262 $ 100,202 $ 794,441 |
Schedule of Gross Realized Gain\Loss on Securities | Realized gains and losses are determined on the basis of specific identification. During the three months ended March 31, 2016 and 2015, sales proceeds and gross realized gains and losses on securities classified as available-for-sale securities and trading securities were: March 31, March 31, Sales proceeds $ 189,467 $ 747,489 Gross realized (losses) $ $ (298,122 ) Gross realized gains 49,262 Gain on sale of marketable securities $ 49,262 $ (298,122 ) |
Schedule of Fair Value of Assets Measured on Recurring Basis | The following table discloses the assets measured at fair value on a recurring basis and the methods used to determine fair value: Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant in Active Other Unobservable Fair Value at Markets Observable Inputs Inputs March 31, 2016 (Level 1) (Level 2) (Level 3) Trading securities $ 794,441 $ 794,441 $ $ Money market funds 192,080 192,080 Total $ 986,521 $ 986,521 $ $ Fair Value Measurements at Reporting Date Using Quoted Prices Significant Significant in Active Other Unobservable Fair Value at Markets Observable Inputs Inputs December 31, (Level 1) (Level 2) (Level 3) Trading securities $ 324,444 $ 324,444 $ $ Money market funds 332,706 332,706 Total $ 657,150 $ 657,150 $ $ |
Property And Equipment (Tables)
Property And Equipment (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consisted of the following: March 31, December 31, Equipment $ 143,771 $ 131,821 Furniture & fixtures 115,503 86,943 Leasehold improvements 381,450 381,450 640,724 600,214 Less: accumulated depreciation and amortization (354,585 ) (325,328 ) Property and Equipment, Net $ 286,139 $ 274,886 |
Common Stock Transactions (Tabl
Common Stock Transactions (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Common Stock Transactions Tables | |
Summarizes Common Stock with Vesting Terms Activity | The following table summarizes common stock with vesting terms activity: Weighted Average Number of Grant Date Shares Fair Value Non-vested, December 31, 2015 329,167 $ 0.48 Granted - - Vested (87,500) 0.46 Forfeited - - Non-vested, March 31, 2016 241,667 $ 0.48 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting | Information related to these segments is as follows: REPORTABLE SEGMENTS THREE MONTHS ENDED MARCH 31, 2016 Digital Media Restaurants Corporate Consolidated Revenues $ 35,327 $ 297,062 $ $ 332,389 Cost of sales 97,484 97,484 General and administrative 333,809 238,490 588,735 1,161,034 Depreciation and amortization 7,500 18,721 11,436 37,657 Operating loss $ (305,982 ) $ (57,633 ) $ (600,171 ) $ (963,786 ) Current assets 136,687 $ 245,652 $ 6,462,620 $ 6,844,959 Property and equipment, net 78,003 208,136 286,139 Intangible assets 20,407 20,407 Other non-current assets 16,610 5,689 22,299 Total assets $ 136,687 $ 340,265 $ 6,696,852 $ 7,173,804 REPORTABLE SEGMENTS THREE MONTHS ENDED MARCH 31, 2015 Digital Media Restaurants Corporate Consolidated Revenues $ $ 331,921 $ $ 331,921 Cost of sales 100,588 100,588 General and administrative 274,099 1,894,805 2,168,904 Depreciation and amortization 17,797 905 18,702 Operating Loss $ $ (60,563 ) $ (1,895,710 ) $ (1,956,273 ) Current assets $ 200,543 $ 10,666,526 $ 10,867,069 Property and equipment, net 149,647 7,074 156,721 Intangible assets 25,202 25,202 Other non-current assets 15,000 5,689 20,689 Total assets $ $ 365,190 $ 10,704,491 $ 11,069,681 |
Trading Securities (Schedule Of
Trading Securities (Schedule Of Change In Investment In Securities) (Details) - Trading Securities [Member] | 3 Months Ended |
Mar. 31, 2016USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Fair Value at Beginning of Year | $ 324,444 |
Purchases | 510,000 |
Proceeds from Sale | (189,467) |
Gain on Sale | 49,262 |
Unrealized Gain | 100,202 |
Fair Value at End of Year | $ 794,441 |
Trading Securities (Schedule 20
Trading Securities (Schedule Of Gross Realized Gain/Loss) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Trading Securities Schedule Of Gross Realized Gainloss Details | ||
Sales proceeds | $ 189,467 | $ 747,489 |
Gross realized (losses) | $ 298,122 | |
Gross realized gains | $ 49,262 | |
Gain on sale of marketable securities | $ 49,262 | $ (298,122) |
Trading Securities (Schedule 21
Trading Securities (Schedule Of Fair Value Of Assets) (Details) - USD ($) | Mar. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Trading Securities | $ 794,441 | $ 324,444 |
Fair Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Trading Securities | 794,441 | 324,444 |
Money market funds | 192,080 | 332,706 |
Total | 986,521 | 657,150 |
Fair Value Measurements At Reporting Date Using Quoted Prices in Active Markets (Level 1) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Trading Securities | 794,441 | 324,444 |
Money market funds | 192,080 | 332,706 |
Total | $ 986,521 | $ 657,150 |
Fair Value Measurements At Reporting Date Using Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Trading Securities | ||
Money market funds | ||
Total | ||
Fair Value Measurements At Reporting Date Using Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Trading Securities | ||
Money market funds | ||
Total |
Property And Equipment (Details
Property And Equipment (Details) - USD ($) | Mar. 31, 2016 | Dec. 31, 2015 | Mar. 31, 2015 |
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, Gross | $ 640,724 | $ 600,214 | |
Less: accumulated depreciation and amortization | 354,585 | 325,328 | |
Property and Equipment, Net | 286,139 | 274,886 | $ 156,721 |
Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, Gross | 143,771 | 131,821 | |
Furniture And Fixtures [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, Gross | 115,503 | 86,943 | |
Leasehold Improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property and Equipment, Gross | $ 381,450 | $ 381,450 |
Common Stock Transactions (Deta
Common Stock Transactions (Details) | 3 Months Ended |
Mar. 31, 2016$ / sharesshares | |
Number of Shares | |
Non-vested, December 31, 2015 | shares | 329,167 |
Granted | shares | |
Vested | shares | (87,500) |
Forfeited | shares | |
Non-vested, March 31, 2016 | shares | 241,667 |
Weighted Average Grant Date Fair Value | |
Non-vested, December 31, 2015 | $ / shares | $ 0.48 |
Granted | $ / shares | |
Vested | $ / shares | $ 0.46 |
Forfeited | $ / shares | |
Non-vested, March 31, 2016 | $ / shares | $ 0.48 |
Segment Reporting (Details)
Segment Reporting (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Revenues | $ 332,389 | $ 331,921 | |
Cost of sales | 97,484 | 100,588 | |
General and administrative | 1,161,034 | 2,168,904 | |
Depreciation and amortization | 37,657 | 18,702 | |
Operating loss | (963,786) | (1,956,273) | |
Current assets | 6,844,959 | 10,867,069 | $ 7,384,522 |
Property and equipment, net | 286,139 | 156,721 | 274,886 |
Intangible assets | 20,407 | 25,202 | 21,307 |
Other non-current assets | 22,299 | 20,689 | 22,299 |
Total assets | 7,173,804 | $ 11,069,681 | $ 7,703,014 |
Operating Segments [Member] | Digital Media [Member] | |||
Revenues | $ 35,327 | ||
Cost of sales | |||
General and administrative | $ 333,809 | ||
Depreciation and amortization | 7,500 | ||
Operating loss | (305,982) | ||
Current assets | $ 136,687 | ||
Property and equipment, net | |||
Intangible assets | |||
Other non-current assets | |||
Total assets | $ 136,687 | ||
Operating Segments [Member] | Restaurants [Member] | |||
Revenues | 297,062 | $ 331,921 | |
Cost of sales | 97,484 | 100,588 | |
General and administrative | 238,490 | 274,099 | |
Depreciation and amortization | 18,721 | 17,797 | |
Operating loss | (57,633) | (60,563) | |
Current assets | 245,652 | 200,543 | |
Property and equipment, net | $ 78,003 | $ 149,647 | |
Intangible assets | |||
Other non-current assets | $ 16,610 | $ 15,000 | |
Total assets | $ 340,265 | $ 365,190 | |
Operating Segments [Member] | Corporate [Member] | |||
Revenues | |||
Cost of sales | |||
General and administrative | $ 588,735 | $ 1,894,805 | |
Depreciation and amortization | 11,436 | 905 | |
Operating loss | (600,171) | (1,895,710) | |
Current assets | 6,462,620 | 10,666,526 | |
Property and equipment, net | 208,136 | 7,074 | |
Intangible assets | 20,407 | 25,202 | |
Other non-current assets | 5,689 | 5,689 | |
Total assets | $ 6,696,852 | $ 10,704,491 |
Organization And Summary Of S25
Organization And Summary Of Significant Accounting Policies (Narrative) (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Two Gaming Applications [Member] | |||
Capitalized licensing rights | $ 82,500 | $ 80,000 | |
Capitalized licensing rights, additions | 10,000 | ||
Licensing rights, amortization | $ 7,500 | ||
Two Gaming Applications [Member] | Minimum [Member] | |||
Estimated useful life of gaming applications | 2 years | ||
Two Gaming Applications [Member] | Maximum [Member] | |||
Estimated useful life of gaming applications | 5 years | ||
Other General And Administrative Expense [Member] | |||
Software licensing cost | $ 90,000 | $ 0 | |
Non-Vested Common [Member] | |||
Antidilutive shares excluded from computation of basic earnings per share | 241,667 | 458,333 | |
Class A Preferred Stock [Member] | |||
Antidilutive shares excluded from computation of basic earnings per share | 26,909,028 | 26,909,028 | |
Class E Preferred Stock [Member] | |||
Antidilutive shares excluded from computation of basic earnings per share | 696,767 | 161,394 |
Property And Equipment (Narrati
Property And Equipment (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2016USD ($) | |
Property And Equipment Narrative Details | |
Depreciation and amortization | $ 29,257 |
Commitments And Contingencies (
Commitments And Contingencies (Narrative) (Details) - Suit Relates To Issuance Of Convertible Debentures [Member] | Oct. 14, 2015USD ($) |
Loss Contingencies [Line Items] | |
Defendant name | SPYR, Inc., f/k/a Eat at Joes., Ltd |
Plaintiff name | Zakeni Limited |
Domicile of litigation | Case filed in the United States District Court for the District of Delaware case |
Sought damages value | $ 1,500,000 |
Sought damages description | The plaintiff is seeking payment or conversion of said convertible debentures together with accrued interest and unspecified damages. |
Common Stock Transactions (Narr
Common Stock Transactions (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | ||
Aug. 31, 2015 | Feb. 28, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | |
Stock issued for employee compensation, value | $ 199,512 | |||
Stock issued to consultants for services, value | 52,500 | |||
Fair value of stock at grant date | $ 5,709 | |||
No of shares vested | 87,500 | |||
Recognized compensation costs | $ 5,709 | |||
Unvested compensation shares not yet recognized | 241,667 | |||
Unvested compensation costs not yet recognized | $ 42,542 | |||
Unvested compensation expected recognition period | It will be recognized in fiscal years 2016 and 2017. | |||
Common Stock [Member] | ||||
Stock issued for employee compensation, shares | 1,325,000 | |||
Stock issued for employee compensation, value | $ 133 | |||
Stock issued to consultants for services, shares | 350,000 | |||
Stock issued to consultants for services, value | $ 35 | |||
Fair value of stock at grant date | ||||
Restricted Common Stock [Member] | Employment Agreement [Member] | ||||
No of stock or warrants granted | 100,000 | |||
Fair value of stock at grant date | $ 37,000 | |||
Stock or warrants vesting period | 1 year | |||
Restricted Common Stock [Member] | Consultants [Member] | ||||
Stock issued to consultants for services, shares | 350,000 | |||
Stock issued to consultants for services, value | $ 52,500 | |||
Restricted Common Stock [Member] | Consulting Agreement [Member] | ||||
No of stock or warrants granted | 500,000 | |||
Stock or warrants vesting period | 24 months |
Discontinued Operations (Narrat
Discontinued Operations (Narrative) (Details) - USD ($) | Dec. 31, 2015 | Feb. 23, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 |
Restructuring Cost and Reserve [Line Items] | |||||
Common stock issued for acquisition of Franklin Networks, Inc, value | $ 1,700,000 | ||||
Acquisition Agreement With Franklin Networks, Inc [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Fair value of intangible assets acquired in acquisition | $ 671,131 | ||||
Fair value of deferred tax liability acquired in acquisition | 117,741 | ||||
Fair value of goodwill acquired in acquisition | $ 1,146,610 | ||||
Wrote off of unamortized intangible assets, goodwill and deferred tax liability | $ 1,638,536 | ||||
Loss on rescission of discontinued operations | $ (1,138,536) | ||||
Gain (loss) from operations from discontinued operations | $ (4,494) | $ 37,539 | (1,205,988) | ||
Acquisition Agreement With Franklin Networks, Inc [Member] | Stock-Based Compensation [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Gain (loss) from operations from discontinued operations | $ (279,258) | ||||
Acquisition Agreement With Franklin Networks, Inc [Member] | Restricted Common Stock [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Common stock issued for acquisition of Franklin Networks, Inc, shares | 2,500,000 | ||||
Common stock issued for acquisition of Franklin Networks, Inc, value | $ 1,700,000 | ||||
Common stock cancelled on rescinded acquisition of Franklin Networks, Inc, shares | 2,500,000 | ||||
Common stock cancelled on rescinded acquisition of Franklin Networks, Inc, value | $ 500,000 |