Numerex (NMRX) 10-Q 5 Nov 14 2014 Q3 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	9 Months Ended
	Sep. 30, 2014	Nov. 05, 2014
Document And Entity Information [Abstract]	'	'
Entity Registrant Name	'NUMEREX CORP /PA/	'
Entity Central Index Key	'0000870753	'
Trading Symbol	'nmrx	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	18,976,496
Document Type	'10-Q	'
Document Period End Date	30-Sep-14	'
Amendment Flag	'false	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q3	'

UNAUDITED_CONDENSED_CONSOLIDAT

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
CURRENT ASSETS	'	'
Cash and cash equivalents	$16,357	$25,603
Accounts receivable, less allowance for doubtful accounts of $1,495 and $674	13,018	9,385
Financing receivables, current	1,568	1,223
Inventory, net of reserve for obsolescence	8,250	8,315
Prepaid expenses and other current assets	1,704	1,833
Deferred tax assets, current	2,742	2,742
Assets of discontinued operations	'	840
TOTAL CURRENT ASSETS	43,639	49,941
Financing receivables, less current portion	3,133	3,029
Property and equipment, net of accumulated depreciation and amortization of $3,257 and $1,879	4,503	3,125
Software, net of accumulated amortization	6,255	6,381
Other intangibles, net of accumulated amortization	19,518	5,617
Goodwill	48,340	26,941
Deferred tax assets, less current portion	2,596	3,958
Other assets	2,210	2,298
TOTAL ASSETS	130,194	101,290
CURRENT LIABILITIES	'	'
Accounts payable	11,531	9,953
Accrued expenses and other current liabilities	2,872	2,004
Deferred revenues	1,993	1,894
Current portion of long-term debt	3,758	633
Obligations under capital leases	233	306
Liabilities of discontinued operations	'	207
TOTAL CURRENT LIABILITIES	20,387	14,997
Long-term debt, less current portion	20,625	475
Obligations under capital lease, less current portion	'	148
Other liabilities	1,590	1,693
TOTAL LIABILITIES	42,602	17,313
COMMITMENTS AND CONTINGENCIES	'	'
SHAREHOLDERS' EQUITY	'	'
Preferred stock, no par value; authorized 3,000; none issued	'	'
Additional paid-in capital	98,371	95,777
Treasury stock, at cost, 1,300 and 1,241 shares	-5,352	-5,238
Accumulated other comprehensive loss	-34	-24
Accumulated deficit	-5,393	-6,538
TOTAL SHAREHOLDERS' EQUITY	87,592	83,977
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	130,194	101,290
Class A Common Stock	'	'
SHAREHOLDERS' EQUITY	'	'
Common stock value	'	'
Class B Common Stock	'	'
SHAREHOLDERS' EQUITY	'	'
Common stock value	'	'

UNAUDITED_CONDENSED_CONSOLIDAT1

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parentheticals) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Accounts receivable, allowance for doubtful accounts (in dollars)	$1,495	$674
Property and equipment, accumulated depreciation and amortization (in dollars)	$3,257	$1,879
Preferred stock, no par value (in dollars per share)	'	'
Preferred stock, shares authorized	3,000	3,000
Preferred stock, shares issued	'	'
Treasury stock, at cost, shares	1,300	1,241
Class A Common Stock	'	'
Common stock, no par value (in dollars per share)	'	'
Common stock, shares authorized	30,000	30,000
Common stock, shares issued	20,269	20,069
Common stock, shares outstanding	18,969	18,828
Class B Common Stock	'	'
Common stock, no par value (in dollars per share)	'	'
Common stock, shares authorized	5,000	5,000
Common stock, shares issued	'	'

UNAUDITED_CONDENSED_CONSOLIDAT2

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Net sales:	'	'	'	'
Subscription and support revenues	$17,429	$13,482	$47,530	$37,932
Embedded devices and hardware	8,234	8,469	21,483	17,727
Total net sales	25,663	21,951	69,013	55,659
Cost of sales, exclusive of a portion of depreciation and amortization shown below:	'	'	'	'
Subscription and support revenues	7,011	5,622	18,647	16,531
Embedded devices and hardware	7,365	7,348	18,517	16,575
Gross profit	11,287	8,981	31,849	22,553
Operating expenses:	'	'	'	'
Sales and marketing	3,029	2,636	9,066	6,907
General and administrative	3,429	3,174	11,207	9,828
Engineering and development	2,430	1,317	5,794	3,626
Depreciation and amortization	1,597	1,209	4,570	3,485
Operating income (loss)	802	645	1,212	-1,293
Interest expense	278	75	564	220
Other (income) expense, net	-97	30	-1,272	25
Income (loss) from continuing operations before income taxes	621	540	1,920	-1,538
Income tax expense (benefit)	358	-35	283	-2,549
Income from continuing operations, net of income taxes	263	575	1,637	1,011
Loss from discontinued operations, net of income taxes	'	'	-492	-1,437
Net income (loss)	263	575	1,145	-426
Other items of comprehensive (loss) income, net of income taxes:	'	'	'	'
Foreign currency translation adjustment	-13	8	-10	-13
Comprehensive income (loss)	$250	$583	$1,135	($439)
Basic earnings per share:	'	'	'	'
Income from continuing operations (in dollars per share)	$0.01	$0.03	$0.09	$0.06
Loss from discontinued operations (in dollars per share)	$0	$0	($0.03)	($0.08)
Net income (loss) (in dollars per share)	$0.01	$0.03	$0.06	($0.02)
Diluted earnings per share:	'	'	'	'
Income from continuing operations (in dollars per share)	$0.01	$0.03	$0.09	$0.05
Loss from discontinued operations (in dollars per share)	$0	$0	($0.03)	($0.07)
Net income (loss) (in dollars per share)	$0.01	$0.03	$0.06	($0.02)
Weighted average shares outstanding used in computing earnings per share:	'	'	'	'
Basic (in shares)	18,956	18,565	18,900	18,193
Diluted (in shares)	19,263	19,014	19,253	18,746

UNAUDITED_CONDENSED_CONSOLIDAT3

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (USD $)	Common Shares	Additional Paid-in Capital	Treasury Stock	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit	Total
In Thousands, unless otherwise specified		USD ($)	USD ($)	USD ($)	USD ($)	USD ($)
Balance at Dec. 31, 2013	'	$95,777	($5,238)	($24)	($6,538)	$83,977
Balance (in shares) at Dec. 31, 2013	20,069	'	'	'	'	'
Increase (Decrease) in Stockholders' Equity [Roll Forward]	'	'	'	'	'	'
Equity-based compensation expense	'	1,833	'	'	'	1,833
Equity-based compensation expense (in shares)	1	'	'	'	'	'
Equity-based compensation plan activity	'	935	'	'	'	935
Equity-based compensation plan activity (in shares)	199	'	'	'	'	'
Value of shares retained to pay employee taxes	'	-174	-114	'	'	-288
Translation adjustment	'	'	'	-10	'	-10
Net income	'	'	'	'	1,145	1,145
Balance at Sep. 30, 2014	'	$98,371	($5,352)	($34)	($5,393)	$87,592
Balance (in shares) at Sep. 30, 2014	20,269	'	'	'	'	'

UNAUDITED_CONDENSED_CONSOLIDAT4

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Cash flows from operating activities:	'	'
Net income (loss)	$1,145	($426)
Less loss from discontinued operations, net of income taxes	-492	-1,437
Income from continuing operations, net of income taxes	1,637	1,011
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation and amortization	4,969	3,552
Equity-based compensation expense	1,833	1,323
Deferred income taxes	36	-2,473
Bad debt expense	364	350
Inventory reserves	415	704
Gain on sale of cost method investment	-1,109	'
Other non-cash expense	76	187
Changes in assets and liabilities, net of effects of acquisitions:	'	'
Accounts and financing receivables	-1,638	-2,886
Inventory, net	613	-1,045
Accounts payable, accrued expenses and other liabilities	208	412
Deferred revenue	-77	990
Other	-275	1,210
Net cash provided by operating activities	7,052	3,335
Cash flows from investing activities:	'	'
Net cash paid for acquisition	-37,113	-177
Purchases of property and equipment	-1,335	-1,002
Purchases of intangible and other assets	-2,709	-2,599
Proceeds from sale-leaseback of equipment	'	716
Proceeds from sale of cost basis investment	1,309	'
Other	'	-11
Net cash used in investing activities	-39,848	-3,073
Cash flows from financing activities:	'	'
Principal payments on debt	-1,725	-6,975
Principal payments on capital lease obligations	-221	-198
Proceeds from underwritten offering, net of offering costs	'	27,731
Proceeds from long-term debt	25,000	'
Equity-based compensation plan activity	647	-28
Deferred financing costs	-293	'
Proceeds from exercise of warrants	'	193
Net cash provided by financing activities	23,408	20,723
Cash flows from discontinued operations:	'	'
Cash provided by (used in) operating activities	142	-105
Cash provided by (used in) investing activities	'	-11
Net cash provided by (used in) discontinued operations	142	-116
Net (decrease) increase in cash and cash equivalents	-9,246	20,869
Cash and cash equivalents at beginning of year	25,603	4,948
Cash and cash equivalents at end of period	16,357	25,817
Supplemental disclosures of cash flow information:	'	'
Cash paid for interest	488	144
Cash paid for income taxes	83	76
Disclosure of non-cash investing and financing activities:	'	'
Note issued in conjunction with disposal of discontinued operations	35	'
Capital Expenditures in Accounts Payable	386	'
Capital leases	'	$716
Common stock issuable in connection with acquisition	'	925

NATURE_OF_OPERATIONS_AND_BASIS

NATURE OF OPERATIONS AND BASIS OF PRESENTATION	9 Months Ended
	Sep. 30, 2014
Nature Of Operations And Basis Of Presentation [Abstract]	'
NATURE OF OPERATIONS AND BASIS OF PRESENTATION	'
	NOTE A – NATURE OF OPERATIONS AND BASIS OF PRESENTATION
	As used herein, except as otherwise indicated by context, references to “we,” “us,” or “Numerex” refer to Numerex Corp. and its subsidiaries. We are a leading provider of interactive and on-demand machine-to-machine (M2M) enterprise solutions enabling the Internet of Things (IoT). The Company provides its technology and services through its integrated M2M horizontal platforms, which are generally sold on a subscription basis. The Company offers Numerex DNA® that may include hardware and smart Devices, cellular and satellite Network services, and software Applications that are delivered through Numerex FAST® (Foundation Application Software Technology). The Company also provides business services to enable the development of efficient, reliable, and secure solutions while accelerating deployment. Numerex is ISO 27001 information security-certified, highlighting the Company’s focus on M2M data security, service reliability and around-the-clock support of its customers’ M2M solutions.
	We prepared the accompanying unaudited condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States of America, referred to as GAAP, for interim financial information and the Rules and Regulations issued by the Securities Exchange Commission, or SEC, as applicable. These financial statements include all of our accounts and those of our wholly-owned subsidiaries. We have eliminated intercompany transactions and balances in consolidation.
	Certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted, although we believe that the disclosures made are adequate to make the information not misleading. In the opinion of management, the accompanying financial statements reflect all adjustments, which consist of normal recurring adjustments unless otherwise disclosed, considered necessary for a fair presentation of our financial position as of September 30, 2014 and our operating results and cash flows for the interim periods presented. The accompanying condensed consolidated balance sheet as of December 31, 2013 was derived from our audited financial statements, but does not include all disclosures required by GAAP. The financial information presented herein should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2013 which includes information and disclosures not included in this quarterly report.
	The preparation of financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. Actual results may differ materially from these estimates. Operating results for the three and nine months ended September 30, 2014 may not be indicative of the results that may be expected for the year ending December 31, 2014 or any future periods.
	Reclassifications
	Certain prior period amounts in the accompanying consolidated balance sheet have been reclassified to conform to the current period presentation.

MERGER_AND_ACQUISITIONS

MERGER AND ACQUISITIONS	9 Months Ended
	Sep. 30, 2014
Acquisition [Abstract]	'
MERGER AND ACQUISITIONS	'
	NOTE B – MERGER AND ACQUISITIONS
	2014 Merger
	On May 5, 2014, in accordance with the terms and conditions of the merger agreement, we merged our wholly-owned subsidiary with and into Omnilink Systems Inc. (Omnilink) with Omnilink surviving the merger as a wholly-owned subsidiary of the Company. The purchase price of $37.5 million was composed of a cash payment of $37.3 million and a working capital adjustment of $0.2 million, subject to post-closing purchase price adjustments and escrows as provided in the merger agreement.
	Omnilink provides tracking and monitoring services for people and valuable assets via Omnilink’s M2M platform that connects hardware, networks, software, and support services. We expect our combination with Omnilink to provide operating synergies and create potential growth opportunities through product enhancement and channel expansion. The assets, liabilities and operating results of Omnilink are reflected in our condensed consolidated financial statements commencing from the merger date. Transaction costs of $1.0 million for the nine months ended September 30, 2014 have been recorded in general and administrative expense in the accompanying consolidated statement of operations and comprehensive income (loss).
	The following table summarizes the estimated fair values of the assets acquired and liabilities assumed as of the closing date of the Omnilink merger (dollars in thousands):
						Estimated
			Fair Value			Useful Lives
	Cash		$	195			n/a
	Accounts receivable			2,677			n/a
	Inventory			963			n/a
	Prepaid and other assets			377			n/a
	Property and equipment			1,613			4	(a)
	Other non-current assets			2			n/a
	Customer relationships			6,056			11
	Technology			4,998			14
	Trade names			3,632		Indefinite
	Goodwill			21,310		Indefinite
	Total identifiable assets acquired			41,823
	Accounts payable			(1,756	)		n/a
	Accrued expenses			(1,195	)		n/a
	Deferred revenue			(64	)		n/a
	Deferred tax liability			(1,326	)		n/a
	Total liabilities assumed			(4,341	)
	Net assets acquired		$	37,482
	(a)	The weighted average remaining useful life for all property and equipment is approximately four years.
	The above fair value purchase price allocations are provisional and subject to change. The total purchase consideration for the merger was allocated to identifiable assets purchased and liabilities assumed based on fair value. The estimated fair value attributed to intangible assets, other than Goodwill, was based on appropriate valuation techniques. The final valuation of assets acquired and liabilities assumed is expected to be completed as soon as possible, but no later than one year from the acquisition date. Given the scope of the operational integration and valuation efforts, as well as the complexity presented in the valuation of the tax effects related to tax attributes and other deferred tax items, the valuation of certain assets and liabilities is still being completed. The primary area that is not yet finalized relates to the calculation of deferred taxes and the corresponding effect on the residual value of goodwill. We have recorded deferred tax liabilities for indefinite lived assets which will not be offset against deferred tax assets.
	The gross amount of accounts receivable in the table above is $2.9 million. Based on the nature and financial strength of the customers, we expect to collect amounts due for the accounts receivable of $2.7 million. Our best estimate at the merger date of the contractual cash flows not expected to be collected is $0.2 million.
	The residual allocation to goodwill results from such factors as an assembled workforce, expected significant synergies for market growth and profitability as well as Omnilink’s service and product lines contributing to our becoming the market leader in select M2M vertical markets. The total amount of goodwill will not be deductible for tax purposes.
	Unaudited Pro forma Results
	The condensed consolidated statement of operations for the nine months ended September 30, 2014 includes approximately $5.4 million of revenues contributed by Omnilink products and services for the period from May 5, 2014 through September 30, 2014. Immediately upon closing the merger, we began integrating Omnilink’s operations with our existing operations. As a result, the legacy and acquired businesses are now sharing various selling, general and administrative functions. Any measure of stand-alone profitability for Omnilink in the post-acquisition period is not material and cannot be calculated accurately due to the shared cost structure of the acquired and legacy businesses.
	The following table presents the Company’s unaudited pro forma consolidated net sales, income (loss) from continuing operations before income taxes and net income (loss) for the nine months ended September 30, 2014 and 2013, based on the historical statements of operations of Numerex and of Omnilink, giving effect to the Omnilink merger and related financing as if they had occurred on January 1, 2013. The unaudited pro forma financial information is not necessarily indicative of what the Company’s consolidated results of operations actually would have been had the acquisition occurred at the beginning of each year. In addition, the unaudited pro forma financial information does not attempt to project the future results of operations of the combined company.
			Unaudited Pro Forma Results
			Nine Months Ended
			September 30,			September 30,
			2014			2013
	Net sales		$	73,412		$	62,261
	Income (loss) from continuing operations,
	before income tax			2,134			(3,234	)
	Net income (loss)			1,725			(490	)
	Basic and diluted income (loss) per
	common share		$	0.09		$	(0.13	)
	The unaudited pro forma financial information above gives effect to the following:
		●	Adjust depreciation expense for a 2014 net reduction of $88,000 and a 2013 net reduction of $44,000 for the effect of recording property and equipment at estimated fair value.
		●	Adjust amortization expense for a 2014 net increase of $0.3 million and a 2013 net increase of $0.7 million for the effect of recording intangible assets at estimated fair value.
		●	Adjust interest expense for a 2014 net increase of $0.1 million and a 2013 net increase of $0.5 million due to the repayment of Omnilink’s debt balances in conjunction with the merger and the merger-related debt incurred by Numerex and related amortization of deferred financing costs.
		●	Adjust expense by $1.0 million to reclassify expense recorded for merger-related costs in the nine month period ended September 30, 2014, to the nine month period ended September 30, 2013, to reflect the expenses as of the pro forma merger date of January 1, 2013.
	The unaudited pro forma results do not include any revenue or cost reductions that may be achieved through the business combination, or the impact of non-recurring items directly related to the business combination.
	2013 Acquisitions
	On December 2, 2013, we acquired substantially all the assets, products and technologies of a small technology company that provided remote monitoring and management of bulk storage tanks. The acquisition expands the scope and scale of our capabilities in supply chain and remote monitoring markets. Total consideration was $2.8 million in cash, of which $0.2 million will be paid on December 2, 2014. Goodwill of $1.5 million was recorded in connection with this acquisition. Pro forma results of operations were not presented as the acquisition was not material to our results of operations for the periods presented.
	On February 1, 2013, we purchased substantially all of the assets and business of a small technology company that provides products and services for environmental monitoring, wireless remote control and monitoring, wireless sensor networks, and connected device consulting. We acquired the company’s assets to expand our technical capabilities and the market segments we serve. Total consideration was $1.1 million, comprised of $0.2 million in cash and 73,587 shares of our common stock having a fair value at the time of issuance of $0.9 million and the assumption of certain liabilities. The shares of common stock are subject to various time-based selling restrictions. Pro forma results of operations were not presented as the acquisition was not material to our results of operations for the periods presented.

DISCONTINUED_OPERATIONS

DISCONTINUED OPERATIONS	9 Months Ended
	Sep. 30, 2014
Discontinued Operations and Disposal Groups [Abstract]	'
DISCONTINUED OPERATIONS	'
	NOTE C – DISCONTINUED OPERATIONS
	During the year ended December 31, 2013, we decided to exit certain businesses and related products that are not core to our future business plans. These non-core businesses include BNI Solutions, Inc. (BNI), Digilog, Inc. and DCX Systems, Inc. These businesses were previously reported in our consolidated financial statements as a separate segment, “Other Services”. The related products and services included video conferencing hardware and installation of telecommunications equipment, all of which were unrelated to our core M2M communication products and services.
	All assets and liabilities of the discontinued operations were reclassified into two line items, assets and liabilities of discontinued operations, and classified as current in the accompanying December 31, 2013 condensed consolidated balance sheets. All revenues and expenses of the discontinued operations were reclassified and presented in the accompanying condensed consolidated statements of operations and comprehensive income (loss) as loss from discontinued operations, net of income taxes, after income from continuing operations, net of income taxes and before net loss. Similarly, all cash flows of the discontinued operations were reclassified and presented in the accompanying condensed consolidated statements of cash flows as cash flows from discontinued operations.
	On June 30, 2014, we completed the sale and disposition of all of the capital stock of BNI and remaining discontinued operations were subsequently dissolved. The following table presents the summarized financial results of the discontinued operations for the nine months ended September 30, 2014, and the three and nine months ended September 30, 2013 (in thousands):
		Nine Months Ended						Three Months Ended
		September 30,						September 30,
		2014			2013			2013
	Revenues from discontinued operations	$	207		$	960		$	377
	Loss (income) from discontinued operations before
	income taxes		(285	)		(1,527	)		125
	Income tax benefit (expense)		127			90			(125	)
	(Loss) income from discontinued operations, net of
	income taxes		(158	)		(1,437	)		-
	Loss on disposal of subsidiary included in
	discontinued operations		(309	)		-			-
	Loss on dissolution of subsidiaries included in
	discontinued operations		(25	)		-			-
	Net loss from discontinued operations	$	(492	)	$	(1,437	)	$	-
	There are no assets or liabilities reported as discontinued operations as of September 30, 2014 due to our disposal and dissolution of all discontinued operations. The following table summarizes the assets and liabilities reported as discontinued operations as of December 31, 2013 (in thousands):
		December 31,
		2013
	ASSETS
	CURRENT ASSETS
	Accounts receivable, less allowance
	for doubtful accounts of $600	$	253
	Inventory, net of reserve for obsolescence of $30		122
	Prepaid expenses and other current assets		164
	TOTAL CURRENT ASSETS		539
	Property and equipment, net		9
	Other assets		292
	TOTAL ASSETS OF DISCONTINUED OPERATIONS	$	840
	LIABILITIES
	CURRENT LIABILITIES
	Accounts payable	$	10
	Accrued expenses and other current liabilities		171
	Deferred revenues		26
	TOTAL LIABILITIES OF DISCONTINUED OPERATIONS	$	207
	We recorded a pre-tax loss on the disposal of discontinued operations of $0.3 million for the nine months ended September 30, 2014 related to the sale of assets related to BNI. The loss on the disposal of discontinued operations is calculated as follows:
	Proceeds	$	35,000
	Less:
	Carrying value		(344,016	)
	Pre-tax loss on disposal of discontinued operations	$	(309,016	)
	We recorded a pre-tax loss of $25,000 on the dissolution of other subsidiaries included in discontinued operations for the nine months ended September 30, 2014.

INVENTORY

INVENTORY	9 Months Ended
	Sep. 30, 2014
Inventory [Abstract]	'
INVENTORY	'
	NOTE D - INVENTORY
	Inventory consisted of the following (in thousands):
		September 30,			December 31,
		2014			2013
	Raw materials	$	889		$	1,503
	Finished goods		8,620			7,922
	Reserve for obsolescence		(1,259	)		(1,110	)
		$	8,250		$	8,315

INTANGIBLE_ASSETS

INTANGIBLE ASSETS	9 Months Ended
	Sep. 30, 2014
Intangible Assets [Abstract]	'
INTANGIBLE ASSETS	'
	NOTE E – INTANGIBLE ASSETS
	Intangible Assets Other Than Goodwill
	Intangible assets other than goodwill are summarized as follows (dollars in thousands):
		As of September 30, 2014									As of December 31, 2013
		Weighted-Average Remaining		Gross		Accumulated Amortization			Net Book		Gross		Accumulated Amortization			Net Book
		Lives		Carrying					Value		Carrying					Value
				Amount							Amount
	Purchased and developed software		1.6	$	9,800	$	(5,696	)	$	4,104	$	8,836	$	(3,706	)	$	5,130
	Software in development		n/a		2,151		-			2,151		1,251		-			1,251
	Total software				11,951		(5,696	)		6,255		10,087		(3,706	)		6,381
	Licenses		0.5		12,763		(11,813	)		950		12,646		(11,415	)		1,231
	Customer relationships		8.8		8,287		(1,124	)		7,163		2,231		(602	)		1,629
	Technologies		13.6		4,998		(149	)		4,849		-		-			-
	Patents and trademarks		4.3		4,082		(1,536	)		2,546		3,260		(1,172	)		2,088
	Trade names		Indefinite		3,632		-			3,632		-		-			-
	Other		n/a		378		-			378		669		-			669
	Total other intangibles				34,140		(14,622	)		19,518		18,806		(13,189	)		5,617
				$	46,091	$	(20,318	)	$	25,773	$	28,893	$	(16,895	)	$	11,998
	Remaining useful lives in the preceding table were calculated on a weighted average basis as of September 30, 2014. We did not incur significant costs to renew or extend the term of acquired intangible assets during the three or nine months ending September 30, 2014. We acquired intangible assets, excluding goodwill, totaling $14.7 million in the merger during the nine months ended September 30, 2014. See Note B – Merger and Acquisitions.
	Amortization expense related to intangible assets was $1.2 million and $0.9 million for the three months ended September 30, 2014 and 2013, respectively, and was $3.4 million and $2.7 million for the nine months ended September 30, 2014 and 2013, respectively. Amortization expense recorded in cost of subscription revenues in the accompanying condensed consolidated statements of operations and comprehensive (loss) income was $0.2 million and $0.1 million for the three months ended September 30, 2014 and 2013, respectively, and was $0.4 million and $0.2 million for the nine months ended September 30, 2014 and 2013, respectively.
	Goodwill
	The carrying amount of goodwill for the nine months ended September 30, 2014 is as follows (in thousands):
	31-Dec-13	$	26,941
	Acquisition		21,310
	Measurement period adjustment		89
	30-Sep-14	$	48,340
	Acquisition related goodwill additions were the result of the Omnilink merger. See Note B - Merger and Acquisitions.
	The measurement period adjustment is related to lease receivables on the opening balance sheet of our December 2013 acquisition with no effect on the statement of operations and an immaterial effect on the associated balance sheet captions.
	Accumulated impairment losses were $6.1 million as of September 30, 2014 and December 31, 2013. We did not record any goodwill impairment losses in continuing operations for the three or nine months ended September 30, 2014 or 2013.

DEBT

DEBT	9 Months Ended
	Sep. 30, 2014
Debt Disclosure [Abstract]	'
DEBT	'
	NOTE F – DEBT
	Debt consisted of the following (dollars in thousands):
		September 30,		December 31,
		2014		2013
	Seller financed note payable, with interest at 4.25%, monthly
	payments of principal and interest, secured by equipment,
	due September 2015	$	633	$	1,108
	Note payable to Silicon Valley Bank, with interest at our
	option of prime rate or LIBOR rate plus margin, quarterly
	payments of principal and interest, secured by assets of
	our subsidiaries, due May 2019		23,750		-
			24,383		1,108
	Less current portion of long-term debt		3,758		633
	Noncurrent portion of long-term debt	$	20,625	$	475
	On May 5, 2014, we entered into a Second Amended and Restated Loan and Security Agreement (the “Loan Agreement”) with Silicon Valley Bank in order to, among other things, establish a term loan of $25.0 million and a revolving line of credit of up to $5.0 million (collectively, the “Credit Facility”). The proceeds from the term loan were used to finance the Omnilink merger. See Note B – Merger and Acquisitions.
	Under the Loan Agreement, the maturity date of the loan is May 5, 2019 with regular required quarterly principal payments beginning June 30, 2014 equal to one fourth of 10% of the original principal amount through the quarter ended March 31, 2015 and increments to 15% for the quarterly periods through March 31, 2017 and to 20% for the quarterly periods through March 31, 2019 with any unpaid principal due at maturity. The interest rate applicable to amounts drawn from the Credit Facility currently is 3.4% as of September 30, 2014 and is, at our option, determined by reference to the prime rate or LIBOR rate plus a margin established in the Loan Agreement. The Credit Facility is secured by all assets, including our intellectual property. The Loan Agreement includes customary representations and warranties as well as affirmative and negative covenants.

LOSS_CONTINGENCY

LOSS CONTINGENCY	9 Months Ended
	Sep. 30, 2014
Loss Contingency [Abstract]	'
LOSS CONTINGENCY	'
	NOTE G – LOSS CONTINGENCY
	We have a loss contingency for a billing dispute with one of our vendors. The contingency relates to the transition to an amended agreement with the vendor. The financial statements as of September 30, 2014 reflect our best estimate of costs related to the transition to the amended agreement. However, if we cannot satisfactorily resolve the dispute, we may owe the vendor an additional amount of up $0.5 million.

EQUITYBASED_COMPENSATION

EQUITY-BASED COMPENSATION	9 Months Ended
	Sep. 30, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
EQUITY-BASED COMPENSATION	'
	NOTE H – EQUITY-BASED COMPENSATION
	At our annual shareholder meeting on May 16, 2014, our shareholders approved the 2014 Stock and Incentive Plan (the “Plan”) to replace the Numerex Corporation 2006 Long Term Incentive Plan, as amended (the “2006 Plan”). The maximum number of shares of Class A common stock that may be issued under the Plan is 3.3 million shares less any shares remaining to be issued from the 2006 Plan plus the number of shares, but not in excess of 500,000 shares, covered by awards providing for the issuance of shares granted under the 2006 Plan that cease to be covered by such awards by reason of termination, expiration or forfeiture of the award after adoption of the Plan.

INCOME_TAXES

INCOME TAXES	9 Months Ended
	Sep. 30, 2014
Income Taxes [Abstract]	'
INCOME TAXES	'
	NOTE I – INCOME TAXES
	We calculate our interim income tax provision in accordance with the accounting guidance for income taxes in interim periods. At the end of each interim period, we make our best estimate of the annual expected effective tax rate and apply that rate to our ordinary year-to-date income or loss. In addition, we calculate a year-to-date adjustment to increase or decrease our income tax provision to take into account our current expected effective tax rate. The tax or benefit related to significant, unusual, or extraordinary items that will be separately reported or reported net of their related tax effect are individually computed and recognized in the interim period in which those items occur.
	For the three and nine months ended September 30, 2014, we recorded income tax expense from continuing operations of $0.4 million and $0.3 million, respectively, as compared to an income tax benefit of less than $0.1 million and $2.5 million, respectively, for the three and nine months ended September 30, 2013. Our income tax expense of $0.4 million for the three months ended September 30, 2014 includes a year-to-date adjustment of $0.2 million or 31.3% of the quarter’s pre-tax income, to increase our tax provision for the six months ended June 30, 2014 to our current estimated effective tax rate. Our effective tax rates for the three and nine months ended September 30, 2014 differed from the federal statutory rate applied to income and losses before income taxes primarily as a result of a number of discrete items, including (1) the effect of expenses that are not deductible for income tax purposes, including a portion of transaction costs incurred in the Omnilink merger and (2) state income taxes, including the tax effect of changes in effective state income tax rates resulting from the merger with Omnilink. In addition, the effective tax rate for the nine months ended September 30, 2014, was reduced for the income tax benefit from the capital loss on the disposal of BNI due to the ability to offset capital gains in our current tax year and to carry back for capital gains in prior tax years.
	For the three months ended September 30, 2013, the difference between our effective tax rate and the federal statutory tax rate resulted primarily from a reduction in our reserve for state income taxes related to unrecognized tax benefits. The difference between our effective tax rate and the federal statutory tax rate for the nine months ended September 30, 2013 was primarily from our tax accounting method change related to our 2003 acquisition of our former joint venture partner’s interest in our Cellemetry LLC subsidiary. State tax accruals related to unrecognized tax benefits also contributed to the difference between the effective and federal statutory tax rates for the nine months ended September 30, 2013.
	We continue to maintain a valuation allowance for deferred tax assets related to certain state and foreign net operating losses for which we have determined it is more likely than not expiration will occur before utilization. We file U.S., state and foreign income tax returns in jurisdictions with varying statutes of limitation. The 2010 through 2013 tax years generally remain subject to examination by federal and most state tax authorities. However, certain returns from years in which net operating losses have arisen are still open for examination by the tax authorities.
	We are in the process of finalizing the fair value purchase price allocations for the Omnilink acquisition. Income taxes related to Omnilink have not been recorded because the analysis for deferred taxes related to some assets, liabilities, tax attributes and other items is incomplete and we have not yet determined the magnitude of net deferred tax assets and associated valuation allowances, if any. See Note B – Merger and Acquisitions.

OTHER_INCOME_EXPENSE_NET

OTHER (INCOME) EXPENSE, NET	9 Months Ended
	Sep. 30, 2014
Other Income and Expenses [Abstract]	'
OTHER (INCOME) EXPENSE, NET	'
	NOTE J – OTHER (INCOME) EXPENSE, NET
	Other (income) expense, net includes $1.1 million for the nine months ended September 30, 2014 for a pre-tax gain on the sale of a cost method investment in a privately-held business. The carrying value of our investment was $0.2 million and we sold it for proceeds of $1.3 million.

NET_EARNINGS_PER_SHARE

NET EARNINGS PER SHARE	9 Months Ended
	Sep. 30, 2014
Net Earnings Per Share [Abstract]	'
NET EARNINGS PER SHARE	'
	NOTE K – NET EARNINGS PER SHARE
	Basic earnings per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period excluding the dilutive impact of common stock equivalents. Diluted earnings per share include the effect of all potentially dilutive securities on earnings per share. The dilutive effect of outstanding equity-based compensation awards and warrants is computed using the treasury stock method. The computation of diluted earnings per share does not assume exercise of securities that would have an anti-dilutive effect on earnings.
	The following table presents a reconciliation of the shares used in the calculation of basic and diluted net income (loss) per share from continuing operations contained in our condensed consolidated statements of operations and comprehensive income (loss) (in thousands):
		For the three months ended				For the nine months ended
		September 30,				September 30,
		2014		2013		2014		2013
	Income from continuing operations, net of income taxes	$	263	$	575	$	1,637	$	1,011
	Weighted average shares outstanding:
	Basic		18,956		18,565		18,900		18,193
	Dilutive effect of common stock equivalents		307		449		353		553
	Diluted		19,263		19,014		19,253		18,746
	Anti-dilutive equity-based compensation awards and warrants		757		626		757		626

RECENT_ACCOUNTING_PRONOUNCEMEN

RECENT ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Sep. 30, 2014
Recent Accounting Pronouncements [Abstract]	'
RECENT ACCOUNTING PRONOUNCEMENTS	'
	NOTE L – RECENT ACCOUNTING PRONOUNCEMENTS
	In June 2014, the Financial Accounting Standards Board (FASB) issued guidance that applies to all reporting entities that grant their employees share-based payments in which the terms of the award provide that a performance target that affects vesting could be achieved after the requisite service period. It requires that a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition and follows existing accounting guidance for the treatment of performance conditions. The standard will be effective for us prospectively for fiscal years, and interim reporting periods within those years, beginning January 1, 2016, with early adoption permitted. We do not expect the adoption of this guidance to have a material impact on our financial position or results of operations.
	In May 2014, the FASB issued new accounting guidance for revenue recognized from contracts with customers. The core principle of the guidance is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. The guidance will become effective for us for fiscal years, and interim reporting periods within those years, beginning January 1, 2017 and will require retrospective application. We are currently in the process of evaluating the impact of adoption on our consolidated financial statements.
	In April 2014, the FASB issued amendments to guidance for reporting discontinued operations and disposals of components of an entity. The amended guidance requires that a disposal representing a strategic shift that has (or will have) a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. The amendments also expand the disclosure requirements for discontinued operations. The amendments are effective for us prospectively for fiscal years, and interim reporting periods within those years, beginning January 1, 2015 (early adoption is permitted only for disposals that have not been previously reported). The implementation of the amended guidance is not expected to have a material impact on our consolidated financial position or results of operations.
	In July 2013, the FASB issued new accounting guidance related to the presentation of unrecognized tax benefits when a net operating loss carry-forward, a similar tax loss, or a tax credit carry-forward exists. This guidance clarifies that an unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carry-forward, a similar tax loss, or a tax credit carry-forward if such settlement is required or expected in the event the uncertain tax position is disallowed. In situations where a net operating loss carry-forward, a similar tax loss, or a tax credit carry-forward is not available at the reporting date under the tax law of the applicable jurisdiction or the tax law of the jurisdiction does not require, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. This guidance was effective for us prospectively for fiscal years, and interim periods within those years, beginning January 1, 2014. Because the guidance only affects presentation, adoption did not have a material effect on our financial condition or results of operations.
	In March 2013, the FASB issued an update to the accounting standards to clarify the applicable guidance for a parent company’s accounting for the release of the cumulative translation adjustment into net income upon derecognition of certain subsidiaries or groups of assets within a foreign entity or of an investment in a foreign entity. This guidance was effective for us prospectively for fiscal periods beginning after January 1, 2014. Adoption did not have a material impact on our financial condition or results of operations.

MERGER_AND_ACQUISITIONS_Tables

MERGER AND ACQUISITIONS (Tables)	9 Months Ended
	Sep. 30, 2014
Acquisition [Abstract]	'
Schedule of allocation of the purchase price and summary of estimated useful lives	'
						Estimated
			Fair Value			Useful Lives
	Cash		$	195			n/a
	Accounts receivable			2,677			n/a
	Inventory			963			n/a
	Prepaid and other assets			377			n/a
	Property and equipment			1,613			4	(a)
	Other non-current assets			2			n/a
	Customer relationships			6,056			11
	Technology			4,998			14
	Trade names			3,632		Indefinite
	Goodwill			21,310		Indefinite
	Total identifiable assets acquired			41,823
	Accounts payable			(1,756	)		n/a
	Accrued expenses			(1,195	)		n/a
	Deferred revenue			(64	)		n/a
	Deferred tax liability			(1,326	)		n/a
	Total liabilities assumed			(4,341	)
	Net assets acquired		$	37,482
	(a)	The weighted average remaining useful life for all property and equipment is approximately four years.
Schedule of unaudited pro forma consolidated income statement	'
			Unaudited Pro Forma Results
			Nine Months Ended
			September 30,			September 30,
			2014			2013
	Net sales		$	73,412		$	62,261
	Income (loss) from continuing operations,
	before income tax			2,134			(3,234	)
	Net income (loss)			1,725			(490	)
	Basic and diluted income (loss) per
	common share		$	0.09		$	(0.13	)

DISCONTINUED_OPERATIONS_Tables

DISCONTINUED OPERATIONS (Tables)	9 Months Ended
	Sep. 30, 2014
Discontinued Operations and Disposal Groups [Abstract]	'
Schedule of financial results of the discontinued operations	'
		Nine Months Ended						Three Months Ended
		September 30,						September 30,
		2014			2013			2013
	Revenues from discontinued operations	$	207		$	960		$	377
	Loss (income) from discontinued operations before
	income taxes		(285	)		(1,527	)		125
	Income tax benefit (expense)		127			90			(125	)
	(Loss) income from discontinued operations, net of
	income taxes		(158	)		(1,437	)		-
	Loss on disposal of subsidiary included in
	discontinued operations		(309	)		-			-
	Loss on dissolution of subsidiaries included in
	discontinued operations		(25	)		-			-
	Net loss from discontinued operations	$	(492	)	$	(1,437	)	$	-
Schedule of assets and liabilities reported as discontinued operations	'
		December 31,
		2013
	ASSETS
	CURRENT ASSETS
	Accounts receivable, less allowance for doubtful accounts of $600	$	253
	Inventory, net of reserve for obsolescence of $30		122
	Prepaid expenses and other current assets		164
	TOTAL CURRENT ASSETS		539
	Property and equipment, net		9
	Other assets		292
	TOTAL ASSETS OF DISCONTINUED OPERATIONS	$	840
	LIABILITIES
	CURRENT LIABILITIES
	Accounts payable	$	10
	Accrued expenses and other current liabilities		171
	Deferred revenues		26
	TOTAL LIABILITIES OF DISCONTINUED OPERATIONS	$	207
Schedule for gain (loss) on the disposal of discontinued operations	'
	Proceeds	$	35,000
	Less:
	Carrying value		(344,016	)
	Pre-tax loss on disposal of discontinued operations	$	(309,016	)

INVENTORY_Tables

INVENTORY (Tables)	9 Months Ended
	Sep. 30, 2014
Inventory [Abstract]	'
Schedule of inventory	'
		September 30,			December 31,
		2014			2013
	Raw materials	$	889		$	1,503
	Finished goods		8,620			7,922
	Reserve for obsolescence		(1,259	)		(1,110	)
		$	8,250		$	8,315

INTANGIBLE_ASSETS_Tables

INTANGIBLE ASSETS (Tables)	9 Months Ended
	Sep. 30, 2014
Intangible Assets [Abstract]	'
Schedule of intangible assets other than goodwill	'
		As of September 30, 2014									As of December 31, 2013
		Weighted-Average Remaining		Gross		Accumulated Amortization			Net Book		Gross		Accumulated Amortization			Net Book
		Lives		Carrying					Value		Carrying					Value
				Amount							Amount
	Purchased and developed software		1.6	$	9,800	$	(5,696	)	$	4,104	$	8,836	$	(3,706	)	$	5,130
	Software in development		n/a		2,151		-			2,151		1,251		-			1,251
	Total software				11,951		(5,696	)		6,255		10,087		(3,706	)		6,381
	Licenses		0.5		12,763		(11,813	)		950		12,646		(11,415	)		1,231
	Customer relationships		8.8		8,287		(1,124	)		7,163		2,231		(602	)		1,629
	Technologies		13.6		4,998		(149	)		4,849		-		-			-
	Patents and trademarks		4.3		4,082		(1,536	)		2,546		3,260		(1,172	)		2,088
	Trade names		Indefinite		3,632		-			3,632		-		-			-
	Other		n/a		378		-			378		669		-			669
	Total other intangibles				34,140		(14,622	)		19,518		18,806		(13,189	)		5,617
				$	46,091	$	(20,318	)	$	25,773	$	28,893	$	(16,895	)	$	11,998
Schedule of goodwill	'
	31-Dec-13	$	26,941
	Acquisition		21,310
	Measurement period adjustment		89
	30-Sep-14	$	48,340

DEBT_Tables

DEBT (Tables)	9 Months Ended
	Sep. 30, 2014
Debt Disclosure [Abstract]	'
Schedule of debt	'
		September 30,		December 31,
		2014		2013
	Seller financed note payable, with interest at 4.25%, monthly payments of principal and interest, secured by equipment, due September 2015	$	633	$	1,108
	Note payable to Silicon Valley Bank, with interest at our option of prime rate or LIBOR rate plus margin, quarterly payments of principal and interest, secured by assets of our subsidiaries, due May 2019		23,750		-
			24,383		1,108
	Less current portion of long-term debt		3,758		633
	Noncurrent portion of long-term debt	$	20,625	$	475

NET_EARNINGS_PER_SHARE_Tables

NET EARNINGS PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2014
Net Earnings Per Share [Abstract]	'
Schedule of basic and diluted weighted average shares outstanding for earnings per share calculations	'
		For the three months ended				For the nine months ended
		September 30,				September 30,
		2014		2013		2014		2013
	Income from continuing operations, net of income taxes	$	263	$	575	$	1,637	$	1,011
	Weighted average shares outstanding:
	Basic		18,956		18,565		18,900		18,193
	Dilutive effect of common stock equivalents		307		449		353		553
	Diluted		19,263		19,014		19,253		18,746
	Anti-dilutive equity-based compensation awards and warrants		757		626		757		626

MERGER_AND_ACQUISITIONS_Summar

MERGER AND ACQUISITIONS - Summary of provisional measurements (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013	5-May-14		5-May-14	5-May-14	5-May-14
In Thousands, unless otherwise specified			Omnilink Systems, Inc.		Omnilink Systems, Inc.	Omnilink Systems, Inc.	Omnilink Systems, Inc.
					Customer relationships	Technology	Trade names
Business Acquisition [Line Items]	'	'	'		'	'	'
Cash	'	'	$195		'	'	'
Accounts receivable	'	'	2,677		'	'	'
Inventory	'	'	963		'	'	'
Prepaid and other assets	'	'	377		'	'	'
Property and equipment	'	'	1,613		'	'	'
Other non-current assets	'	'	2		'	'	'
Intangible assets other than goodwill	14,700	'	'		6,056	4,998	3,632
Goodwill	48,340	26,941	21,310		'	'	'
Total identifiable assets acquired	'	'	41,823		'	'	'
Accounts payable	'	'	-1,756		'	'	'
Accrued expenses	'	'	-1,195		'	'	'
Deferred revenue	'	'	-64		'	'	'
Deferred tax liability	'	'	-1,326		'	'	'
Total liabilities assumed	'	'	-4,341		'	'	'
Net assets acquired	'	'	$37,482		'	'	'
Property and equipment, lives in years	'	'	'4 years	[1]	'	'	'
Goodwill, lives in years	'	'	'Indefinite		'	'	'
Estimated useful lives of acquired finite lived intangible assets	'	'	'		'11 years	'14 years	'
Estimated useful lives of acquired indefinite lived intangible assets	'	'	'		'	'	'Indefinite
[1]	The weighted average remaining useful life for all property and equipment is approximately four years.

MERGER_AND_ACQUISITIONS_Unaudi

MERGER AND ACQUISITIONS - Unaudited proforma results (Details 1) (USD $)	9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Acquisition [Abstract]	'	'
Net sales	$73,412	$62,261
Income (loss) from continuing operations, before income tax	2,134	-3,234
Net income (loss)	$1,725	($490)
Basic and diluted income (loss) per common share (in dollars per share)	$0.09	($0.13)

MERGER_AND_ACQUISITIONS_Detail

MERGER AND ACQUISITIONS (Detail Textuals) (Omnilink Systems, Inc., Merger agreement, USD $)	0 Months Ended	9 Months Ended
In Millions, unless otherwise specified	5-May-14	Sep. 30, 2014
		General and administrative expense
Business Acquisition [Line Items]	'	'
Total consideration	$37.50	'
Consideration paid in cash	37.3	'
Working capital adjustment	0.2	'
Transaction costs	'	$1

MERGER_AND_ACQUISITIONS_Detail1

MERGER AND ACQUISITIONS (Detail Textuals 1) (Omnilink Systems, Inc., USD $)	5-May-14
Omnilink Systems, Inc.	'
Business Acquisition [Line Items]	'
Accounts receivable gross	$2,900,000
Accounts receivable net	2,677,000
Accounts receivable allowances	$200,000

MERGER_AND_ACQUISITIONS_Detail2

MERGER AND ACQUISITIONS (Detail Textuals 2) (USD $)	3 Months Ended		9 Months Ended		5 Months Ended	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2014	Sep. 30, 2013
					Omnilink Systems, Inc.	Omnilink Systems, Inc.	Omnilink Systems, Inc.
Business Acquisition [Line Items]	'	'	'	'	'	'	'
Net sales contributed by Omnilink	$25,663,000	$21,951,000	$69,013,000	$55,659,000	$5,400,000	'	'
Adjustment for increase (decrease) depreciation expense	'	'	'	'	'	-88,000	-44,000
Adjustment for amortization expense	'	'	'	'	'	300,000	700,000
Adjustment for interest expense	'	'	'	'	'	100,000	500,000
Adjustment for acquisition related costs	'	'	'	'	'	$1,000,000	$1,000,000

MERGER_AND_ACQUISITIONS_Detail3

MERGER AND ACQUISITIONS (Detail Textuals 3) (USD $)	Sep. 30, 2014	Dec. 31, 2013	Feb. 01, 2013	Dec. 02, 2013
			Small technology company	Small technology company
Business Acquisition [Line Items]	'	'	'	'
Total consideration	'	'	$1,100,000	$2,800,000
Consideration paid in cash	'	'	200,000	'
Number of common shares issued	'	'	73,587	'
Fair value of shares issuable	'	'	900,000	'
Cash to be paid on December 2, 2014	'	'	'	200,000
Goodwill in connection with acquisition	$48,340,000	$26,941,000	'	$1,500,000

DISCONTINUED_OPERATIONS_Summar

DISCONTINUED OPERATIONS - Summary of financial results of discontinued operations (Details) (Discontinued operations, BNI Solutions, Inc. Digilog, Inc. and DCX Systems, Inc., USD $)	3 Months Ended	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Discontinued operations | BNI Solutions, Inc. Digilog, Inc. and DCX Systems, Inc.	'	'	'
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]	'	'	'
Revenues from discontinued operations	$377	$207	$960
Loss (income) from discontinued operations before income taxes	125	-285	-1,527
Income tax benefit (expense)	-125	127	90
(Loss) income from discontinued operations, net of income taxes	'	-158	-1,437
Loss on disposal of subsidiary included in discontinued operations	'	-309	'
Loss on dissolution of subsidiaries included in discontinued operations	'	-25	'
Net loss from discontinued operations	'	($492)	($1,437)

DISCONTINUED_OPERATIONS_Summar1

DISCONTINUED OPERATIONS - Summary of assets and liabilities reported as discontinued operations (Details 1) (USD $)	Dec. 31, 2013
In Thousands, unless otherwise specified
CURRENT ASSETS	'
TOTAL CURRENT ASSETS	$840
Discontinued operations | BNI Solutions, Inc. Digilog, Inc. and DCX Systems, Inc.	'
CURRENT ASSETS	'
Accounts receivable, less allowance for doubtful accounts of $600	253
Inventory, net of reserve for obsolescence of $30	122
Prepaid expenses and other current assets	164
TOTAL CURRENT ASSETS	539
Property and equipment, net	9
Other assets	292
TOTAL ASSETS OF DISCONTINUED OPERATIONS	840
CURRENT LIABILITIES	'
Accounts payable	10
Accrued expenses and other current liabilities	171
Deferred revenues	26
TOTAL LIABILITIES OF DISCONTINUED OPERATIONS	$207

DISCONTINUED_OPERATIONS_Summar2

DISCONTINUED OPERATIONS - Summary of assets and liabilities reported as discontinued operations (Details 1) (Parentheticals) (Discontinued operations, BNI Solutions, Inc. Digilog, Inc. and DCX Systems, Inc., USD $)	Dec. 31, 2013
In Thousands, unless otherwise specified
Discontinued operations | BNI Solutions, Inc. Digilog, Inc. and DCX Systems, Inc.	'
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]	'
Allowance for doubtful accounts	$600
Reserve for obsolescence	$30

DISCONTINUED_OPERATIONS_Summar3

DISCONTINUED OPERATIONS - Summary of loss on disposal of discontinued operations (Details 2) (Discontinued operations, BNI Solutions Inc, USD $)	9 Months Ended
	Sep. 30, 2014
Discontinued operations | BNI Solutions Inc	'
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]	'
Proceeds	$35,000
Less: Carrying value	-344,016
Pre-tax loss on disposal of discontinued operations	($309,016)

DISCONTINUED_OPERATIONS_Detail

DISCONTINUED OPERATIONS (Detail Textuals) (Discontinued operations, BNI Solutions Inc, USD $)	9 Months Ended
	Sep. 30, 2014
Discontinued operations | BNI Solutions Inc	'
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]	'
Pre-tax loss on disposal of discontinued operations	($309,016)
Pre-tax loss on dissolution of other subsidiaries included in discontinued operations	($25,000)

INVENTORY_Summary_of_inventory

INVENTORY - Summary of inventory (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Inventory [Abstract]	'	'
Raw materials	$889	$1,503
Finished goods	8,620	7,922
Reserve for obsolescence	-1,259	-1,110
Inventory, net	$8,250	$8,315

INTANGIBLE_ASSETS_Summary_of_i

INTANGIBLE ASSETS - Summary of intangible assets other than goodwill (Details) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	$46,091	$28,893
Accumulated Amortization	-20,318	-16,895
Net Book Value	25,773	11,998
Purchased and developed software	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Weighted Remaining Average Useful Lives	'1 year 7 months 6 days	'
Gross Carrying Amount	9,800	8,836
Accumulated Amortization	-5,696	-3,706
Net Book Value	4,104	5,130
Software in development	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	2,151	1,251
Accumulated Amortization	'	'
Net Book Value	2,151	1,251
Total software	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	11,951	10,087
Accumulated Amortization	-5,696	-3,706
Net Book Value	6,255	6,381
Licenses	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Weighted Remaining Average Useful Lives	'6 months	'
Gross Carrying Amount	12,763	12,646
Accumulated Amortization	-11,813	-11,415
Net Book Value	950	1,231
Customer relationships	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Weighted Remaining Average Useful Lives	'8 years 9 months 18 days	'
Gross Carrying Amount	8,287	2,231
Accumulated Amortization	-1,124	-602
Net Book Value	7,163	1,629
Technologies	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Weighted Remaining Average Useful Lives	'13 years 7 months 6 days	'
Gross Carrying Amount	4,998	'
Accumulated Amortization	-149	'
Net Book Value	4,849	'
Patents and trademarks	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Weighted Remaining Average Useful Lives	'4 years 3 months 18 days	'
Gross Carrying Amount	4,082	3,260
Accumulated Amortization	-1,536	-1,172
Net Book Value	2,546	2,088
Trade names	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Weighted Remaining Average Useful Lives	'Indefinite	'
Gross Carrying Amount	3,632	'
Net Book Value	3,632	'
Other	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	378	669
Accumulated Amortization	'	'
Net Book Value	378	669
Total Other Intangibles	'	'
Finite Lived And Indefinite Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	34,140	18,806
Accumulated Amortization	-14,622	-13,189
Net Book Value	$19,518	$5,617

INTANGIBLE_ASSETS_Summary_of_c

INTANGIBLE ASSETS -Summary of carrying amount of goodwill (Details 1) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014
Goodwill [Roll Forward]	'
31-Dec-13	$26,941
Acquisition	21,310
Measurement period adjustment	89
30-Sep-14	$48,340

INTANGIBLE_ASSETS_Detail_Textu

INTANGIBLE ASSETS (Detail Textuals) (USD $)	3 Months Ended		9 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Intangible Assets [Abstract]	'	'	'	'	'
Acquired intangible assets, excluding goodwill	$14.70	'	$14.70	'	'
Amortization of intangible assets	1.2	0.9	3.4	2.7	'
Amortization of intangible assets is recorded in cost of subscription revenue	0.2	0.1	0.4	0.2	'
Accumulated impairment losses	$6.10	'	$6.10	'	$6.10

DEBT_Summary_of_debt_Details

DEBT - Summary of debt (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Debt Instrument [Line Items]	'	'
Long-term debt, total	$24,383	$1,108
Less current portion of long-term debt	3,758	633
Noncurrent portion of long-term debt	20,625	475
Seller financed note payable, with interest at 4.25%, due September 2015	'	'
Debt Instrument [Line Items]	'	'
Long-term debt, total	633	1,108
Note payable to Silicon Valley Bank with interest of prime rate or LIBOR rate plus margin, due May 2019	'	'
Debt Instrument [Line Items]	'	'
Long-term debt, total	$23,750	'

DEBT_Summary_of_debt_Parenthet

DEBT - Summary of debt (Parentheticals) (Details)	Sep. 30, 2014
Debt Disclosure [Abstract]	'
Interest rate of seller financed note payable	4.25%

DEBT_Detail_Textuals

DEBT (Detail Textuals) (Silicon Valley Bank, USD $)	9 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014
Term loan	'
Debt Instrument [Line Items]	'
Available credit amount	$25
Description of debt compliance	'Under the Loan Agreement, the maturity date of the loan is May 5, 2019 with regular required quarterly principal payments beginning June 30, 2014 equal to one fourth of 10% of the original principal amount through the quarter ended March 31, 2015 and increments to 15% for the quarterly periods through March 31, 2017 and to 20% for the quarterly periods through March 31, 2019 with any unpaid principal due at maturity.
Interest rate applicable to amounts drawn	3.40%
Revolving line of credit	'
Debt Instrument [Line Items]	'
Available credit amount	$5

LOSS_CONTINGENCY_Detail_Textua

LOSS CONTINGENCY (Detail Textuals) (USD $)	3 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014
Loss Contingency [Abstract]	'
Loss contingency for a billing dispute	$0.50

EQUITYBASED_COMPENSATION_Detai

EQUITY-BASED COMPENSATION (Detail Textuals) (2014 Stock and Incentive Plan, Maximum, Class A Common Stock)	16-May-14
2014 Stock and Incentive Plan | Maximum | Class A Common Stock	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'
Number of shares available for issuance	3,300,000
Maximum number of shares to be covered under previous plan	500,000

INCOME_TAXES_Detail_Textuals

INCOME TAXES (Detail Textuals) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Income Taxes [Abstract]	'	'	'	'
Income tax expense (benefit)	$358,000	($35,000)	$283,000	($2,549,000)
Income tax, year to date adjustment	$200,000	'	'	'
Income tax year to date adjustment, percetage	31.30%	'	'	'

OTHER_INCOME_EXPENSE_NET_Detai

OTHER (INCOME) EXPENSE, NET (Detail Textuals) (USD $)	9 Months Ended
	Sep. 30, 2014
Other Income and Expenses [Abstract]	'
Pre-tax gain on sale of cost method investment	$1,109,000
Carrying value of investment	200,000
Proceeds from sale of cost basis investment	$1,309,000

NET_EARNINGS_PER_SHARE_Basic_a

NET EARNINGS PER SHARE - Basic and diluted weighted average shares outstanding for earnings per share calculations (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Net Earnings Per Share [Abstract]	'	'	'	'
Income from continuing operations, net of income taxes	$263	$575	$1,637	$1,011
Weighted average shares outstanding:	'	'	'	'
Basic	18,956	18,565	18,900	18,193
Dilutive effect of common stock equivalents	307	449	353	553
Diluted	19,263	19,014	19,253	18,746
Anti-dilutive equity-based compensation awards and warrants	757	626	757	626