Acorn Energy (ACFN) 10-Q 9 Aug 21 2021 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2021	Aug. 05, 2021
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2021
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2021
Current Fiscal Year End Date	--12-31
Entity File Number	001-33886
Entity Registrant Name	ACORN ENERGY, INC.
Entity Central Index Key	0000880984
Entity Tax Identification Number	22-2786081
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	1000 N West Street
Entity Address, Address Line Two	Suite 1200
Entity Address, City or Town	Wilmington
Entity Address, State or Province	DE
Entity Address, Postal Zip Code	19801
City Area Code	410
Local Phone Number	654-3315
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		39,687,589

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2021	Dec. 31, 2020
Current assets:
Cash	$ 1,955,000	$ 2,063,000
Accounts receivable, net	706,000	608,000
Inventory, net	363,000	236,000
Deferred charges	738,000	764,000
Other current assets	144,000	126,000
Total current assets	3,906,000	3,797,000
Property and equipment, net	273,000	268,000
Right-of-use assets, net	447,000	494,000
Other assets	701,000	642,000
Total assets	5,327,000	5,201,000
Current liabilities:
Short-term credit		149,000
Accounts payable	277,000	229,000
Accrued expenses	215,000	168,000
Deferred revenue	3,239,000	3,214,000
Current operating lease liabilities	103,000	99,000
Other current liabilities	32,000	33,000
Total current liabilities	3,866,000	3,892,000
Long-term liabilities:
Deferred revenue	1,480,000	1,340,000
Long-term operating lease liabilities	391,000	443,000
Other long-term liabilities	49,000	45,000
Total long-term liabilities	1,920,000	1,828,000
Acorn Energy, Inc. shareholders
Common stock - $0.01 par value per share: Authorized – 42,000,000 shares; Issued – 39,687,589 shares at June 30, 2021 and December 31, 2020	397,000	397,000
Additional paid-in capital	102,762,000	102,726,000
Warrants	3,000	3,000
Accumulated deficit	(100,591,000)	(100,613,000)
Treasury stock, at cost – 801,920 shares at June 30, 2021 and December 31, 2020	(3,036,000)	(3,036,000)
Total Acorn Energy, Inc. shareholders’ deficit	(465,000)	(523,000)
Non-controlling interests	6,000	4,000
Total deficit	(459,000)	(519,000)
Total liabilities and deficit	$ 5,327,000	$ 5,201,000

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	42,000,000	42,000,000
Common stock, shares issued	39,687,589	39,687,589
Treasury stock, shares	801,920	801,920

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Income Statement [Abstract]
Revenue	$ 1,611	$ 1,468	$ 3,316	$ 2,806
Cost of sales	389	446	884	862
Gross profit	1,222	1,022	2,432	1,944
Operating expenses:
Research and development expense	175	138	353	293
Selling, general and administrative expense	1,042	906	2,048	1,947
Total operating expenses	1,217	1,044	2,401	2,240
Operating income (loss)	5	(22)	31	(296)
Finance expense, net	(1)	(10)	(5)	(20)
Income (loss) before income taxes	4	(32)	26	(316)
Income tax expense
Net income (loss)	4	(32)	26	(316)
Non-controlling interest share of net income	(2)	(1)	(4)
Net income (loss) attributable to Acorn Energy, Inc. shareholders	$ 2	$ (33)	$ 22	$ (316)
Basic and diluted net income (loss) per share attributable to Acorn Energy, Inc. shareholders:	$ 0	$ 0	$ 0	$ (0.01)
Weighted average number of shares outstanding attributable to Acorn Energy, Inc. shareholders – basic and diluted
Basic	39,687,000	39,687,000	39,687,000	39,659,000
Diluted	39,935,000	39,687,000	39,913,000	39,659,000

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Common Stock [Member]		Additional Paid-in Capital [Member]	Warrant [Member]	Retained Earnings [Member]	Treasury Stock [Member]	Total Acorn Energy, Inc. Shareholders' Deficit [Member]	Noncontrolling Interest [Member]	Total
Beginning Balances at Dec. 31, 2019	$ 396		$ 101,655	$ 1,021	$ (100,682)	$ (3,036)	$ (646)	$ 1	$ (645)
Beginning Balances, shares at Dec. 31, 2019	39,591,000					802,000
Net income (loss)					(283)		(283)	(1)	(284)
Accrued dividend in OmniMetrix preferred shares								(1)	(1)
Proceeds from stock option exercise	$ 1		18				19		19
Proceeds from stock option exercise, shares	96,000
Stock option compensation			6				6		6
Ending Balances at Mar. 31, 2020	$ 397		101,679	1,021	(100,965)	$ (3,036)	(904)	(1)	(905)
Ending Balances, shares at Mar. 31, 2020	39,687,000					802,000
Beginning Balances at Dec. 31, 2019	$ 396		101,655	1,021	(100,682)	$ (3,036)	(646)	1	(645)
Beginning Balances, shares at Dec. 31, 2019	39,591,000					802,000
Net income (loss)									(316)
Ending Balances at Jun. 30, 2020	$ 397		102,710	3	(100,998)	$ (3,036)	(924)	(1)	(925)
Ending Balances, shares at Jun. 30, 2020	39,687,000					802,000
Beginning Balances at Mar. 31, 2020	$ 397		101,679	1,021	(100,965)	$ (3,036)	(904)	(1)	(905)
Beginning Balances, shares at Mar. 31, 2020	39,687,000					802,000
Net income (loss)					(33)		(33)	1	(32)
Accrued dividend in OmniMetrix preferred shares								(1)	(1)
Value of expired warrants		[1]	1,018	(1,018)
Stock option compensation			13				13		13
Ending Balances at Jun. 30, 2020	$ 397		102,710	3	(100,998)	$ (3,036)	(924)	(1)	(925)
Ending Balances, shares at Jun. 30, 2020	39,687,000					802,000
Beginning Balances at Dec. 31, 2020	$ 397		102,726	3	(100,613)	$ (3,036)	(523)	4	(519)
Beginning Balances, shares at Dec. 31, 2020	39,687,000					802,000
Net income (loss)					20		20	2	22
Accrued dividend in OmniMetrix preferred shares								(1)	(1)
Stock option compensation			15				15		15
Ending Balances at Mar. 31, 2021	$ 397		102,741	3	(100,593)	$ (3,036)	(488)	5	(483)
Ending Balances, shares at Mar. 31, 2021	39,687,000					802,000
Beginning Balances at Dec. 31, 2020	$ 397		102,726	3	(100,613)	$ (3,036)	(523)	4	(519)
Beginning Balances, shares at Dec. 31, 2020	39,687,000					802,000
Net income (loss)									$ 26
Proceeds from stock option exercise, shares
Ending Balances at Jun. 30, 2021	$ 397		102,762	3	(100,591)	$ (3,036)	(465)	6	$ (459)
Ending Balances, shares at Jun. 30, 2021	39,687,000					802,000
Beginning Balances at Mar. 31, 2021	$ 397		102,741	3	(100,593)	$ (3,036)	(488)	5	(483)
Beginning Balances, shares at Mar. 31, 2021	39,687,000					802,000
Net income (loss)					2		2	2	4
Accrued dividend in OmniMetrix preferred shares								(1)	(1)
Stock option compensation			21				21		21
Ending Balances at Jun. 30, 2021	$ 397		$ 102,762	$ 3	$ (100,591)	$ (3,036)	$ (465)	$ 6	$ (459)
Ending Balances, shares at Jun. 30, 2021	39,687,000					802,000
[1]	Less than $1

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Cash flows provided by operating activities:
Net income (loss)	$ 26	$ (316)
Depreciation and amortization	37	21
Non-cash lease expense	59	59
Stock-based compensation	36	19
Change in operating assets and liabilities:
Decrease (increase) in accounts receivable	(98)	256
Increase in inventory	(127)	(10)
Increase in deferred charges	(33)	(5)
Decrease (increase) in other current assets and other assets	(18)	63
Increase (decrease) in accounts payable and accrued expenses	95	(4)
Increase (decrease) in deferred revenue	165	(10)
Decrease in operating lease liability	(60)	(38)
Increase in other current liabilities and non-current liabilities	1	43
Net cash provided by operating activities	83	78
Cash flows used in investing activities:
Investments in technology	(42)	(88)
Payments made for patent filings		(3)
Net cash used in investing activities	(42)	(91)
Cash flows provided by financing activities:
Short-term credit, net	(149)	45
Loan proceeds		462
Stock option exercise proceeds		19
Net cash (used in) provided by financing activities	(149)	526
Net (decrease) increase in cash	(108)	513
Cash at the beginning of the year	2,063	1,247
Cash at the end of the period	1,955	1,760
Cash paid during the year for:
Interest	4	16
Non-cash investing and financing activities:
Accrued preferred dividends to former Acorn director and/or former OmniMetrix CEO	$ 2	$ 2

BASIS OF PRESENTATION

BASIS OF PRESENTATION	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
BASIS OF PRESENTATION	NOTE 1— BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements of Acorn Energy, Inc. and its subsidiaries, OmniMetrix, LLC and OMX Holdings, Inc. (collectively, “Acorn” or “the Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete consolidated financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the six- and three-month periods ended June 30, 2021 are not necessarily indicative of the results that may be expected for the year ending December 31, 2021. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. Concentrations of Credit Risk Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of cash and trade accounts receivable. The Company’s cash was deposited with a U.S. bank and amounted to approximately $ 1,955,000 10% 18% 11% 90% 207,000 Basic and Diluted Net Income (Loss) Per Share Basic net income (loss) per share is computed by dividing the net income (loss) attributable to Acorn Energy, Inc. by the weighted average number of shares outstanding during the year, excluding treasury stock. Diluted net income (loss) per share is computed by dividing the net income (loss) by the weighted average number of shares outstanding plus the dilutive potential of common shares which would result from the exercise of stock options and warrants. The dilutive effects of stock options and warrants are excluded from the computation of diluted net loss per share if doing so would be antidilutive. The number of options that were excluded from the computation of diluted net loss per share, as they had an antidilutive effect, was approximately 286,000 (which have a weighted average exercise price of $ 0.79 ) and approximately 321,000 (which have a weighted average exercise price of $ 0.76 ) for the six- and three-month periods ending June 30, 2021, respectively. There were no anti-dilutive warrants. For both the six- and three-month periods ending June 30, 2020, the number of options and warrants that were excluded from the computation of diluted net loss per share, as they had an antidilutive effect, was approximately 858,000 options (which had a weighted average exercise price of $ 1.51 ) and approximately 35,000 warrants (which had a weighted average exercise price of $ 0.13 ). The following data represents the amounts used in computing EPS and the effect on net income (loss) and the weighted average number of shares of dilutive potential common stock (in thousands): SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES 2021 2020 2021 2020 Six months ended June 30, Three months ended June 30, 2021 2020 2021 2020 Net income (loss) available to common stockholders $ 22 $ (316 ) $ 2 $ (33 ) Weighted average share outstanding: Basic 39,687 39,659 39,687 39,687 Add: Warrants 27 — 27 — Add: Stock options 199 — 221 — Diluted 39,913 39,659 39,935 39,687 Basic and diluted net income (loss) per share $ 0.00 $ (0.01 ) $ 0.00 $ (0.00 )

RECENT AUTHORITATIVE GUIDANCE

RECENT AUTHORITATIVE GUIDANCE	6 Months Ended
	Jun. 30, 2021
Accounting Changes and Error Corrections [Abstract]
RECENT AUTHORITATIVE GUIDANCE	NOTE 2— RECENT AUTHORITATIVE GUIDANCE Recently Issued Accounting Principles Other than the pronouncement noted below, there have been no recent accounting pronouncements or changes in accounting pronouncements during the six- and three-month periods ended June 30, 2021, that are of material significance, or have potential material significance, to the Company. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (“ASC 326”), authoritative guidance amending how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. The guidance requires the application of a current expected credit loss model, which is a new impairment model based on expected losses. The new guidance is effective for interim and annual reporting periods beginning after December 15, 2022. The Company is currently evaluating the impact of the new guidance on its condensed consolidated financial statements and related disclosures.

LIQUIDITY

LIQUIDITY	6 Months Ended
	Jun. 30, 2021
Liquidity
LIQUIDITY	NOTE 3— LIQUIDITY At June 30, 2021, the Company had working capital of approximately $ 40 1,955 3,239 529 446 OmniMetrix is considered an essential business because it provides infrastructure support to both government and commercial sectors and across key industries. The Company has experienced minimal negative impacts due to the COVID-19 pandemic to date. Throughout the pandemic, the Company continued to realize new equipment sales (although not at the anticipated growth rate due to travel restrictions which have negatively impacted the sales closing timeline), has continued to collect its monthly recurring monitoring revenues and has retained its customer base. While the impacts of COVID-19 in the future are uncertain, the Company believes that due to the need for backup power and the desirability of remote monitoring services, it should be positioned for stable financial performance. Business travel has now started to resume and sales are returning to projected levels. As of August 5, 2021, the Company had cash of approximately $ 2,039,000

LEASES

LEASES	6 Months Ended
	Jun. 30, 2021
Leases
LEASES	NOTE 4— LEASES OmniMetrix leases office space and office equipment under operating lease agreements. The office lease expires on September 30, 2025 . The office equipment lease commenced in April 2019 and has a sixty-month term. Operating lease payments for the six months ended June 30, 2021 and 2020 were approximately $ 60 ,000 and $ 38 ,000, respectively. Operating lease payments for the three months ended June 30, 2021 and 2020 were approximately $ 30 ,000 and $ 10 ,000, respectively. The future minimum lease payments on non-cancellable operating leases as of June 30, 2021 using a discount rate of 4.5% are $ 494 ,000. Supplemental balance sheet information related to leases consisted of the following: Supplemental cash flow information related to leases consisted of the following (in thousands): SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES 2021 2020 June 30, 2021 2020 Cash paid for operating lease liabilities $ 60 $ 38 Supplemental balance sheet information related to leases consisted of the following: SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES 2021 Weighted average remaining lease terms for operating leases 4.23 The table below reconciles the undiscounted future minimum lease payments under non-cancelable lease agreements having initial terms in excess of one year to the total operating lease liabilities recognized on the unaudited condensed consolidated balance sheet as of June 30, 2021 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Twelve-month period ended June 30, 2022 $ 123 2023 126 2024 129 2025 131 2026 33 Total undiscounted cash flows 542 Less: Imputed interest (48 ) Present value of operating lease liabilities (a) $ 494 (a) Includes current portion of $ 103

DEBT

DEBT	6 Months Ended
	Jun. 30, 2021
Debt Disclosure [Abstract]
DEBT	NOTE 5— DEBT In March 2019, OmniMetrix reinstated its loan and security agreement which provided OmniMetrix with access to accounts receivable formula-based financing of the lesser of 75% of eligible receivables or $ 1,000 ,000. Debt incurred under this financing arrangement bore interest at the greater of 6% and prime plus 1.5% per year. In addition, OmniMetrix was to pay a monthly service charge of 0.75% of the average aggregate principal amount outstanding for the prior month, for an effective rate of interest on advances of 15% at February 28, 2021. OmniMetrix also agreed to continue to maintain a minimum loan balance of $ 150 ,000 in its line-of-credit with the lender for a minimum of two years beginning March 1, 2019. From time to time, the balance outstanding fell below $ 150 ,000 based on collections applied against the loan balance and the timing of loan draws. The monthly service charge and interest was calculated on the greater of the outstanding balance or $ 150 ,000. Interest expense for the period January 1, 2021 to February 28, 2021, when the line expired, was approximately $ 4 ,000 compared to approximately $ 16 ,000 and approximately $ 9 ,000 for the six months and three months ended June 30, 2020, respectively. OmniMetrix paid off the outstanding balance of approximately $ 149 February 28, 2021

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 6— COMMITMENTS AND CONTINGENCIES On August 19, 2019, OmniMetrix entered into an agreement with a software development partner to create and license to OmniMetrix a new software platform and application. Pursuant to this agreement, OmniMetrix paid this partner equal monthly payments over the first seven months of the term of the agreement equal to $ 200,000 In addition, OmniMetrix will pay the partner (i) a per-sensor monitoring fee for each sensor connected to the developed technology, or (ii) a percentage of any revenue received above a specified amount per sensor monitored per month in oil and gas applications only. Commencing on January 1, 2021, OmniMetrix pays the partner an annual licensing fee of $ 50,000 12,500 The Company entered into a new agreement effective May 1, 2020 for data hosting services, replacing an expiring agreement with the same vendor. The agreement has a twelve-month term and the total payments under this agreement are approximately $ 148,000 in the aggregate. In January 2021, the Company elected to renew this agreement for an additional twelve months under the same terms extending the agreement to April 30, 2022. Under the data hosting services agreement applicable during the respective periods, the Company paid approximately $ 79,000 and $ 66,000 in the six months ended June 30, 2021 and 2020, respectively, and approximately $ 42,000 and $ 30,000 in the three months ended June 30, 2021 and 2020, respectively. On March 17, 2021, the Company entered into a master services agreement for the development of a new user interface for its customer data portal. The cost of this project will be approximately $ 106,000 14,000 23,000 21,000 In addition to the above, the Company has approximately $ 563,000

EQUITY

EQUITY	6 Months Ended
	Jun. 30, 2021
Equity [Abstract]
EQUITY	NOTE 7— EQUITY (a) General At June 30, 2021 the Company had issued and outstanding 39,687,589 0.01 The Company is not authorized to issue preferred stock. Accordingly, no preferred stock is issued or outstanding. (b) Summary Employee Option Information The Company’s stock option plans provide for the grant to officers, directors and employees of options to purchase shares of common stock. The purchase price may be paid in cash or, if the option is “in-the-money” at the end of the option term, it is automatically exercised “net”. In a net exercise of an option, the Company does not require a payment of the exercise price of the option from the optionee, but reduces the number of shares of common stock issued upon the exercise of the option by the smallest number of whole shares that has an aggregate fair market value equal to or in excess of the aggregate exercise price for the option shares covered by the option exercised. Each option is exercisable for one share of the Company’s common stock. Most options expire within five to ten years from the date of the grant, and generally vest over a three-year period from the date of the grant. At June 30, 2021, 1,576,394 During the three months ended June 30, 2021, 100,000 30,000 35,000 100,000 no 62,000 No 177,000 134,000 The Company utilized the Black-Scholes option-pricing model to estimate fair value, utilizing the following assumptions for the respective years (all in weighted averages): SUMMARY OF BLACK-SCHOLES OPTION PRICING TO ESTIMATE FAIR VALUE Number of Options (in shares) Weighted Average Exercise Price Per Weighted Aggregate Outstanding at December 31, 2020 722,501 $ 0.62 4.4 $ 29,000 Granted 165,000 0.54 Exercised — — Forfeited or expired (40,255 ) 3.13 Outstanding at June 30, 2021 847,246 $ 0.48 4.7 $ 177,000 Exercisable at June 30, 2021 546,074 $ 0.50 3.9 years $ 134,000 The fair value of the options granted of approximately $ 62,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL Risk-free interest rate .44 % Expected term of options 3.9 Expected annual volatility 101 % Expected dividend yield — % (c) Stock-based Compensation Expense Stock-based compensation expense included in selling, general and administrative expenses in the Company’s unaudited condensed consolidated statements of operations was approximately $ 36,000 19,000 21,000 13,000 The total compensation cost related to non-vested awards not yet recognized was approximately $ 73,000 (d) Warrants The Company previously issued warrants at exercise prices equal to or greater than market value of the Company’s common stock at the date of issuance. A summary of warrant activity follows: SUMMARY OF WARRANT ACTIVITY Number of Warrants (in shares) Weighted Weighted Outstanding at December 31, 2020 35,000 $ 0.13 2.2 Granted — — Exercised — — Forfeited or expired — — Outstanding at June 30, 2021 35,000 $ 0.13 1.71

SEGMENT REPORTING

SEGMENT REPORTING	6 Months Ended
	Jun. 30, 2021
Segment Reporting [Abstract]
SEGMENT REPORTING	NOTE 8— SEGMENT REPORTING As of June 30, 2021, the Company operates in two ● The PG (Power Generation) segment provides wireless remote monitoring and control systems and services for critical assets as well as Internet of Things applications. The PG segment includes OmniMetrix’s monitoring device for industrial air compressors and dryers, and a new line of annunciators. ● The CP (Cathodic Protection) segment provides remote monitoring of cathodic protection systems on gas pipelines for gas utilities and pipeline companies. The Company’s reportable segments are strategic business units, offering different products and services, and are managed separately as each business requires different technology and marketing strategies. The following tables represent segmented data for the three-month and six-month periods ended June 30, 2021 and 2020 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Six months ended June 30, 2021: Revenues from external customers $ 2,837 $ 479 $ 3,316 Segment gross profit 2,150 282 2,432 Depreciation and amortization 32 5 37 Segment income(loss) before income taxes $ 510 $ (17 ) $ 493 Six months ended June 30, 2020: Revenues from external customers $ 2,371 $ 435 $ 2,806 Segment gross profit 1,720 224 1,944 Depreciation and amortization 17 4 21 Segment income(loss) before income taxes $ 204 $ (72 ) $ 132 Three months ended June 30, 2021: Revenues from external customers $ 1,379 $ 232 $ 1,611 Segment gross profit 1,082 140 1,222 Depreciation and amortization 19 3 22 Segment income(loss) before income taxes $ 234 $ (4 ) $ 230 Three months ended June 30, 2020: Revenues from external customers $ 1,262 $ 206 $ 1,468 Segment gross profit 915 107 1,022 Depreciation and amortization 4 1 5 Segment income(loss) before income taxes $ 199 $ (10 ) $ 189 The Company does not currently break out total assets by reportable segment as there is a high level of shared utilization between the segments. Further, the Chief Decision Maker does not review the assets by segment. Reconciliation of Segment Income (Loss) to Consolidated Net Income (Loss) Before Income Taxes SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED NET INCOME LOSS BEFORE INCOME TAXES Six months ended June 30, Three months ended June 30, 2021 2020 2021 2020 Total net income before income taxes for reportable segments $ 493 $ 132 $ 230 $ 189 Unallocated cost of corporate headquarters (467 ) (448 ) (226 ) (221 ) Consolidated net income (loss) before income taxes $ 26 $ (316 ) $ 4 $ (32 )

REVENUE

REVENUE	6 Months Ended
	Jun. 30, 2021
Revenue from Contract with Customer [Abstract]
REVENUE	NOTE 9— REVENUE The following table disaggregates the Company’s revenue for the three-and-six-month periods ended June 30, 2021 and 2020 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Six months ended June 30, 2021: PG Segment $ 942 $ 1,895 $ 2,837 CP Segment 349 130 479 Total Revenue $ 1,291 $ 2,025 $ 3,316 Hardware Monitoring Total Six months ended June 30, 2020: PG Segment $ 645 $ 1,726 $ 2,371 CP Segment 308 127 435 Total Revenue $ 953 $ 1,853 $ 2,806 Hardware Monitoring Total Three months ended June 30, 2021: PG Segment $ 425 $ 954 $ 1,379 CP Segment 169 63 232 Total Revenue $ 594 $ 1,017 $ 1,611 Hardware Monitoring Total Three months ended June 30, 2020: PG Segment $ 368 $ 894 $ 1,262 CP Segment 142 64 206 Total Revenue $ 510 $ 958 $ 1,468 Deferred revenue activity for the six months ended June 30, 2021 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2020 $ 2,576 $ 1,978 $ 4,554 Additions during the period 1,068 2,019 3,087 Recognized as revenue (898 ) (2,024 ) (2,922 ) Balance at June 30, 2021 $ 2,746 $ 1,973 $ 4,719 Amounts to be recognized as revenue in the twelve-month-period ending: June 30, 2022 $ 1,507 $ 1,732 $ 3,239 June 30, 2023 905 234 1,139 June 30, 2024 and thereafter 334 7 341 Total $ 2,746 $ 1,973 $ 4,719 Other revenue of approximately $ 394,000 Deferred charges relate only to the sale of equipment. Deferred charges activity for the six months ended June 30, 2021 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2020 $ 1,306 Additions, net of adjustments, during the period 472 Recognized as cost of sales (467 ) Balance at June 30, 2021 $ 1,311 Amounts to be recognized as cost of sales in the twelve-month-period ending: June 30, 2022 $ 738 June 30, 2023 425 * June 30, 2024 and thereafter 148 * $ 1,311 * Amounts included in other assets in the Company’s unaudited condensed consolidated balance sheets at June 30, 2021. Other cost of goods sold (COGS) recognized of approximately $ 231,000 is related to accessories, repairs, and other miscellaneous charges that are recognized to revenue when sold and are not deferred in addition to $ 186,000 in monitoring COGS which is not deferred. The following table provides a reconciliation of the Company’s sales commissions contract assets for the six-month period ended June 30, 2021 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2020 $ 136 $ 41 $ 177 Additions during the period 88 15 103 Amortization of sales commissions (48 ) (10 ) (58 ) Balance at June 30, 2021 $ 176 $ 46 $ 222 The capitalized sales commissions are included in other current assets (approximately $ 107,000 115,000 90,000 87,000

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2021
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 10— SUBSEQUENT EVENTS On July 6, 2021, the Company entered into an agreement with King Industrial Reality, Inc. to sublease 1,900 21,000 2,375

BASIS OF PRESENTATION (Tables)

BASIS OF PRESENTATION (Tables)	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES	The following data represents the amounts used in computing EPS and the effect on net income (loss) and the weighted average number of shares of dilutive potential common stock (in thousands): SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES 2021 2020 2021 2020 Six months ended June 30, Three months ended June 30, 2021 2020 2021 2020 Net income (loss) available to common stockholders $ 22 $ (316 ) $ 2 $ (33 ) Weighted average share outstanding: Basic 39,687 39,659 39,687 39,687 Add: Warrants 27 — 27 — Add: Stock options 199 — 221 — Diluted 39,913 39,659 39,935 39,687 Basic and diluted net income (loss) per share $ 0.00 $ (0.01 ) $ 0.00 $ (0.00 )

LEASES (Tables)

LEASES (Tables)	6 Months Ended
	Jun. 30, 2021
Leases
SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES	Supplemental cash flow information related to leases consisted of the following (in thousands): SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES 2021 2020 June 30, 2021 2020 Cash paid for operating lease liabilities $ 60 $ 38
SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES	Supplemental balance sheet information related to leases consisted of the following: SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES 2021 Weighted average remaining lease terms for operating leases 4.23
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS	The table below reconciles the undiscounted future minimum lease payments under non-cancelable lease agreements having initial terms in excess of one year to the total operating lease liabilities recognized on the unaudited condensed consolidated balance sheet as of June 30, 2021 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Twelve-month period ended June 30, 2022 $ 123 2023 126 2024 129 2025 131 2026 33 Total undiscounted cash flows 542 Less: Imputed interest (48 ) Present value of operating lease liabilities (a) $ 494 (a) Includes current portion of $ 103

EQUITY (Tables)

EQUITY (Tables)	6 Months Ended
	Jun. 30, 2021
Equity [Abstract]
SUMMARY OF BLACK-SCHOLES OPTION PRICING TO ESTIMATE FAIR VALUE	The Company utilized the Black-Scholes option-pricing model to estimate fair value, utilizing the following assumptions for the respective years (all in weighted averages): SUMMARY OF BLACK-SCHOLES OPTION PRICING TO ESTIMATE FAIR VALUE Number of Options (in shares) Weighted Average Exercise Price Per Weighted Aggregate Outstanding at December 31, 2020 722,501 $ 0.62 4.4 $ 29,000 Granted 165,000 0.54 Exercised — — Forfeited or expired (40,255 ) 3.13 Outstanding at June 30, 2021 847,246 $ 0.48 4.7 $ 177,000 Exercisable at June 30, 2021 546,074 $ 0.50 3.9 years $ 134,000
SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL	The fair value of the options granted of approximately $ 62,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL Risk-free interest rate .44 % Expected term of options 3.9 Expected annual volatility 101 % Expected dividend yield — %
SUMMARY OF WARRANT ACTIVITY	The Company previously issued warrants at exercise prices equal to or greater than market value of the Company’s common stock at the date of issuance. A summary of warrant activity follows: SUMMARY OF WARRANT ACTIVITY Number of Warrants (in shares) Weighted Weighted Outstanding at December 31, 2020 35,000 $ 0.13 2.2 Granted — — Exercised — — Forfeited or expired — — Outstanding at June 30, 2021 35,000 $ 0.13 1.71

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	6 Months Ended
	Jun. 30, 2021
Segment Reporting [Abstract]
SUMMARY OF SEGMENTED DATA	The following tables represent segmented data for the three-month and six-month periods ended June 30, 2021 and 2020 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Six months ended June 30, 2021: Revenues from external customers $ 2,837 $ 479 $ 3,316 Segment gross profit 2,150 282 2,432 Depreciation and amortization 32 5 37 Segment income(loss) before income taxes $ 510 $ (17 ) $ 493 Six months ended June 30, 2020: Revenues from external customers $ 2,371 $ 435 $ 2,806 Segment gross profit 1,720 224 1,944 Depreciation and amortization 17 4 21 Segment income(loss) before income taxes $ 204 $ (72 ) $ 132 Three months ended June 30, 2021: Revenues from external customers $ 1,379 $ 232 $ 1,611 Segment gross profit 1,082 140 1,222 Depreciation and amortization 19 3 22 Segment income(loss) before income taxes $ 234 $ (4 ) $ 230 Three months ended June 30, 2020: Revenues from external customers $ 1,262 $ 206 $ 1,468 Segment gross profit 915 107 1,022 Depreciation and amortization 4 1 5 Segment income(loss) before income taxes $ 199 $ (10 ) $ 189
SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED NET INCOME LOSS BEFORE INCOME TAXES	Reconciliation of Segment Income (Loss) to Consolidated Net Income (Loss) Before Income Taxes SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED NET INCOME LOSS BEFORE INCOME TAXES Six months ended June 30, Three months ended June 30, 2021 2020 2021 2020 Total net income before income taxes for reportable segments $ 493 $ 132 $ 230 $ 189 Unallocated cost of corporate headquarters (467 ) (448 ) (226 ) (221 ) Consolidated net income (loss) before income taxes $ 26 $ (316 ) $ 4 $ (32 )

REVENUE (Tables)

REVENUE (Tables)	6 Months Ended
	Jun. 30, 2021
Revenue from Contract with Customer [Abstract]
SCHEDULE OF DISAGGREGATES OF REVENUE	The following table disaggregates the Company’s revenue for the three-and-six-month periods ended June 30, 2021 and 2020 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Six months ended June 30, 2021: PG Segment $ 942 $ 1,895 $ 2,837 CP Segment 349 130 479 Total Revenue $ 1,291 $ 2,025 $ 3,316 Hardware Monitoring Total Six months ended June 30, 2020: PG Segment $ 645 $ 1,726 $ 2,371 CP Segment 308 127 435 Total Revenue $ 953 $ 1,853 $ 2,806 Hardware Monitoring Total Three months ended June 30, 2021: PG Segment $ 425 $ 954 $ 1,379 CP Segment 169 63 232 Total Revenue $ 594 $ 1,017 $ 1,611 Hardware Monitoring Total Three months ended June 30, 2020: PG Segment $ 368 $ 894 $ 1,262 CP Segment 142 64 206 Total Revenue $ 510 $ 958 $ 1,468
SCHEDULE OF DEFERRED REVENUE ACTIVITY	Deferred revenue activity for the six months ended June 30, 2021 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2020 $ 2,576 $ 1,978 $ 4,554 Additions during the period 1,068 2,019 3,087 Recognized as revenue (898 ) (2,024 ) (2,922 ) Balance at June 30, 2021 $ 2,746 $ 1,973 $ 4,719 Amounts to be recognized as revenue in the twelve-month-period ending: June 30, 2022 $ 1,507 $ 1,732 $ 3,239 June 30, 2023 905 234 1,139 June 30, 2024 and thereafter 334 7 341 Total $ 2,746 $ 1,973 $ 4,719
SCHEDULE OF DEFERRED CHARGES ACTIVITY	Deferred charges relate only to the sale of equipment. Deferred charges activity for the six months ended June 30, 2021 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2020 $ 1,306 Additions, net of adjustments, during the period 472 Recognized as cost of sales (467 ) Balance at June 30, 2021 $ 1,311 Amounts to be recognized as cost of sales in the twelve-month-period ending: June 30, 2022 $ 738 June 30, 2023 425 * June 30, 2024 and thereafter 148 * $ 1,311 * Amounts included in other assets in the Company’s unaudited condensed consolidated balance sheets at June 30, 2021.
SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS	The following table provides a reconciliation of the Company’s sales commissions contract assets for the six-month period ended June 30, 2021 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2020 $ 136 $ 41 $ 177 Additions during the period 88 15 103 Amortization of sales commissions (48 ) (10 ) (58 ) Balance at June 30, 2021 $ 176 $ 46 $ 222

SCHEDULE OF EFFECT ON NET INCOM

SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Accounting Policies [Abstract]
Net income (loss) available to common stockholders	$ 2	$ (33)	$ 22	$ (316)
Basic	39,687,000	39,687,000	39,687,000	39,659,000
Add: Warrants	27,000		27,000
Add: Stock options	221,000		199,000
Diluted	39,935,000	39,687,000	39,913,000	39,659,000
Basic and diluted net income (loss) per share	$ 0	$ 0	$ 0	$ (0.01)

BASIS OF PRESENTATION (Details

BASIS OF PRESENTATION (Details Narrative) - USD ($)	Aug. 05, 2021	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Product Information [Line Items]
Cash		$ 1,955,000		$ 1,955,000		$ 2,063,000
Stock Options [Member]
Product Information [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount		321,000		286,000	858,000
Weighted average exercise price of options and warrants		$ 0		$ 0.79	$ 1
Warrant [Member]
Product Information [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount			35,000
Weighted average exercise price of options and warrants			$ 0.13
Subsequent Event [Member]
Product Information [Line Items]
Collection of account receivable, percentage	90.00%
Proceeds from account receivable	$ 207,000
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | One Customer [Member]
Product Information [Line Items]
Concentrations of risk, percentage				10.00%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer One [Member]
Product Information [Line Items]
Concentrations of risk, percentage				18.00%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Two [Member]
Product Information [Line Items]
Concentrations of risk, percentage				11.00%

LIQUIDITY (Details Narrative)

LIQUIDITY (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2021	Aug. 05, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Working capital	$ 40,000
Cash	1,955,000		$ 2,063,000
Deferred revenue	3,239,000		$ 3,214,000
Cash		$ 2,039,000
OmniMetrix, LLC [Member]
Business Acquisition [Line Items]
Income from operations	529,000
Income from operations used by corporate headquarters	$ 446,000

SCHEDULE OF SUPPLEMENTAL CASH F

SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Leases
Cash paid for operating lease liabilities	$ 60	$ 38

SCHEDULE OF SUPPLEMENTAL BALANC

SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES (Details)	Jun. 30, 2021
Leases
Weighted average remaining lease terms for operating leases	4 years 2 months 23 days

SCHEDULE OF FUTURE MINIMUM LEAS

SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details) $ in Thousands	Jun. 30, 2021USD ($)
Leases
2022	$ 123
2023	126
2024	129
2025	131
2026	33
Total undiscounted cash flows	542
Less: Imputed interest	(48)
Operating Lease, Liability	$ 494	[1]
[1]	Includes current portion of $ 103

SCHEDULE OF FUTURE MINIMUM LE_2

SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details) (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2021	Dec. 31, 2020
Leases
Current operating lease	$ 103	$ 99

LEASES (Details Narrative)

LEASES (Details Narrative) - USD ($) $ in Thousands		1 Months Ended	3 Months Ended		6 Months Ended
		Apr. 30, 2019	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Operating Lease, Liability	[1]		$ 494		$ 494
Omni Metrix Holdings, Inc. [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Lessee, Operating Lease, Discount Rate			4.50%		4.50%
Operating Lease, Liability			$ 494		$ 494
Operating Lease Agreements [Member] | Omni Metrix Holdings, Inc. [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Lease Expiration Date					Sep. 30, 2025
Lessee, Operating Lease, Description		The office equipment lease
Operating Lease, Payments			$ 30	$ 10	$ 60	$ 38
[1]	Includes current portion of $ 103

DEBT (Details Narrative)

DEBT (Details Narrative) - USD ($) $ in Thousands	1 Months Ended	2 Months Ended	3 Months Ended	6 Months Ended
	Jun. 30, 2019	Feb. 28, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Entity Listings [Line Items]
Interest Expense		$ 4	$ 9		$ 16
Debt instrument expiration date						$ 149
OmniMetrix Technologies [Member]
Entity Listings [Line Items]
Debt instrument expiration date		$ 149
Debt instrument expiration date				Feb. 28, 2021
OmniMetrix Technologies [Member] | Share-based Compensation Arrangement by Share-based Payment Award, Options, Shares Issued for Net Exercises in Period
Entity Listings [Line Items]
Right-of-use assets, net of deferred rent	75.00%
Dividends paid [Table Text Block]	$ 1,000
Debt Instrument, Interest Rate Terms	Debt incurred under this financing arrangement bore interest at the greater of 6% and prime plus 1.5% per year.
Line of Credit Facility, Commitment Fee Percentage	0.75%
Debt Instrument, Interest Rate, Effective Percentage		15.00%
Restructuring costs - abandonment of fixed assets	$ 150
Regular dividend paid per share	$ 150			$ 150

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	Aug. 19, 2019	Mar. 17, 2021	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
New Agreement [Member]
Entity Listings [Line Items]
Payments for Loans					$ 148,000
Unallocated DSIT segment costs			$ 42,000	$ 30,000	79,000	$ 66,000
Master Services Agreement [Member]
Entity Listings [Line Items]
Cost of the project		$ 106,000
Monthly installments		14,000			$ 23,000
Debt Instrument increase		21,000
Contractual obligations related to software agreements, operating leases and contractual services		$ 563,000
OmniMetrix Technologies [Member]
Entity Listings [Line Items]
Monthly payments	$ 200,000
Partner sensor transaction description	In addition, OmniMetrix will pay the partner (i) a per-sensor monitoring fee for each sensor connected to the developed technology, or (ii) a percentage of any revenue received above a specified amount per sensor monitored per month in oil and gas applications only. Commencing on January 1, 2021, OmniMetrix pays the partner an annual licensing fee of $50,000 which is paid in quarterly increments of $12,500. The per-sensor monitoring fees have not yet commenced.
Annual licensing fee	$ 50,000
Monthly licensing fee	$ 12,500

SUMMARY OF BLACK-SCHOLES OPTION

SUMMARY OF BLACK-SCHOLES OPTION PRICING TO ESTIMATE FAIR VALUE (Details) - USD ($)	6 Months Ended
	Jun. 30, 2021
Equity [Abstract]
Number of Options (in shares), Outstanding at beginning of year	722,501
Weighted Average Exercise Price Per Share, Outstanding at beginning of year	$ 0.62
Weighted average remaining contractual life at begining	4 years 4 months 24 days
Aggregate intrinsic value at begining of year	$ 29,000
Number of Options (in shares), Granted at market price	165,000
Weighted Average Exercise Price Per Share, Granted	$ 0.54
Number of Options (in shares), Exercised
Weighted Average Exercise Price Per Share, Exercised
Number of Options (in shares), Forfeited or expired	(40,255)
Weighted Average Exercise Price Per Share, Forfeited or expired	$ 3.13
Number of Options (in shares), Outstanding at end of year	847,246
Weighted Average Exercise Price Per Share, Outstanding at end of year	$ 0.48
Weighted average remaining contractual life at end	4 years 8 months 12 days
Aggregate intrinsic value at end of year	$ 177,000
Number of Options (in shares), Exercisable at end of year	546,074
Weighted Average Exercise Price Per Share, Exercisable at end of year	$ 0.50
[custom:SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsExercisableOutstandingWeightedAverageRemainingContractualTerm]	3 years 10 months 24 days
Aggregate intrinsic value at exercisable	$ 134,000

SCHEDULE OF STOCK OPTIONS FAIR

SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL (Details)	6 Months Ended
	Jun. 30, 2021
Equity [Abstract]
Risk-free interest rate	0.44%
Expected term of options, in years	3 years 10 months 24 days
Expected annual volatility	101.00%
Expected dividend yield

SUMMARY OF WARRANT ACTIVITY (De

SUMMARY OF WARRANT ACTIVITY (Details)	6 Months Ended
	Jun. 30, 2021$ / sharesshares
Accumulated Other Comprehensive Income (Loss) [Line Items]
Weighted average remaining contractual life at begining	3 years 10 months 24 days
Weighted average remaining contractual life at end	4 years 8 months 12 days
Warrant [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of Warrants (in Shares), Outstanding at beginning balance | shares	35,000
Weighted Average Exercise Price Per Share, Outstanding at beginning balance | $ / shares	$ 0.13
Weighted average remaining contractual life at begining	2 years 2 months 12 days
Number of Warrants (in Shares), Granted | shares
Weighted Average Exercise Price Per Share, Granted | $ / shares
Number of Warrants (in Shares), Exercised | shares
Weighted Average Exercise Price Per Share, Exercised | $ / shares
Number of Warrants (in Shares), Forfeited or expired | shares
Weighted Average Exercise Price Per Share, Forfeited or expired | $ / shares
Number of Warrants (in Shares), Outstanding at end balance | shares	35,000
Weighted Average Exercise Price Per Share, Outstanding at end balance | $ / shares	$ 0.13
Weighted average remaining contractual life at end	1 year 8 months 15 days

EQUITY (Details Narrative)

EQUITY (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Subsidiary, Sale of Stock [Line Items]
Common stock, shares issued	39,687,589		39,687,589		39,687,589
Common stock, shares outstanding	39,687,589		39,687,589
Common stock par value	$ 0.01		$ 0.01		$ 0.01
Number of options granted during period			165,000
Fair value of options granted during period			$ 62,000
Number of options exercised
Intrinsic value of options outstanding	$ 177,000		$ 177,000		$ 29,000
Intrinsic value of options exercisable	134,000		134,000
Compensation cost, non-vested awards not yet recognized	73,000		73,000
Selling, General and Administrative Expenses [Member]
Subsidiary, Sale of Stock [Line Items]
Stock based compensation expense	$ 21,000	$ 13,000	$ 36,000	$ 19,000
Non Employee Stock Option [Member]
Subsidiary, Sale of Stock [Line Items]
Number of options exercised	0		0
Companys CFO [Member]
Subsidiary, Sale of Stock [Line Items]
Number of options granted during period	100,000		100,000
Directors [Member]
Subsidiary, Sale of Stock [Line Items]
Number of options granted during period			30,000
Companys CEO [Member]
Subsidiary, Sale of Stock [Line Items]
Number of options granted during period			35,000
Non Employee [Member]
Subsidiary, Sale of Stock [Line Items]
Number of options granted during period	0		0
Amended And Restated Two Thousand Six Stockincentive Plan [Member]
Subsidiary, Sale of Stock [Line Items]
Number of options available for grant	1,576,394		1,576,394

SUMMARY OF SEGMENTED DATA (Deta

SUMMARY OF SEGMENTED DATA (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Segment Reporting Information [Line Items]
Revenues from external customers	$ 1,611	$ 1,468	$ 3,316	$ 2,806
Segment gross profit	1,222	1,022	2,432	1,944
Depreciation and amortization	22	5	37	21
Segment income(loss) before income taxes	230	189	493	132
P G [Member]
Segment Reporting Information [Line Items]
Revenues from external customers	1,379	1,262	2,837	2,371
Segment gross profit	1,082	915	2,150	1,720
Depreciation and amortization	19	4	32	17
Segment income(loss) before income taxes	234	199	510	204
C P [Member]
Segment Reporting Information [Line Items]
Revenues from external customers	232	206	479	435
Segment gross profit	140	107	282	224
Depreciation and amortization	3	1	5	4
Segment income(loss) before income taxes	$ (4)	$ (10)	$ (17)	$ (72)

SCHEDULE OF RECONCILIATION OF S

SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED NET INCOME LOSS BEFORE INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Segment Reporting [Abstract]
Total net income before income taxes for reportable segments	$ 230	$ 189	$ 493	$ 132
Unallocated cost of corporate headquarters	(226)	(221)	(467)	(448)
Consolidated net income (loss) before income taxes	$ 4	$ (32)	$ 26	$ (316)

SEGMENT REPORTING (Details Narr

SEGMENT REPORTING (Details Narrative)	6 Months Ended
	Jun. 30, 2021Segments
Segment Reporting [Abstract]
Number of reportable segments	2

SCHEDULE OF DISAGGREGATES OF RE

SCHEDULE OF DISAGGREGATES OF REVENUE (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Disaggregation of Revenue [Line Items]
Total Revenue	$ 1,611	$ 1,468	$ 3,316	$ 2,806
Hardware [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	594	510	1,291	953
Monitoring [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	1,017	958	2,025	1,853
P G [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	1,379	1,262	2,837	2,371
P G [Member] | Hardware [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	425	368	942	645
P G [Member] | Monitoring [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	954	894	1,895	1,726
C P [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	232	206	479	435
C P [Member] | Hardware [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	169	142	349	308
C P [Member] | Monitoring [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	$ 63	$ 64	$ 130	$ 127

SCHEDULE OF DEFERRED REVENUE AC

SCHEDULE OF DEFERRED REVENUE ACTIVITY (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2021USD ($)
Disaggregation of Revenue [Line Items]
Balance at December 31, 2020	$ 4,554
Additions during the period	3,087
Recognized as revenue	(2,922)
Balance at June 30, 2021	4,719
June 30, 2022	3,239
June 30, 2023	1,139
June 30, 2024 and thereafter	341
Total	4,719
Hardware [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2020	2,576
Additions during the period	1,068
Recognized as revenue	(898)
Balance at June 30, 2021	2,746
June 30, 2022	1,507
June 30, 2023	905
June 30, 2024 and thereafter	334
Total	2,746
Monitoring [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2020	1,978
Additions during the period	2,019
Recognized as revenue	(2,024)
Balance at June 30, 2021	1,973
June 30, 2022	1,732
June 30, 2023	234
June 30, 2024 and thereafter	7
Total	$ 1,973

SCHEDULE OF DEFERRED CHARGES AC

SCHEDULE OF DEFERRED CHARGES ACTIVITY (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2021USD ($)
Revenue from Contract with Customer [Abstract]
Balance at December 31, 2020	$ 1,306
Additions, net of adjustments, during the period	472
Recognized as cost of sales	467
Balance at June 30, 2021	1,311
June 30, 2022	738
June 30, 2023	425	[1]
June 30, 2024 and thereafter	148	[1]
Total	$ 1,311
[1]	Amounts included in other assets in the Company’s unaudited condensed consolidated balance sheets at June 30, 2021.

SCHEDULE OF SALES COMMISSIONS C

SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2021USD ($)
Disaggregation of Revenue [Line Items]
Balance at December 31, 2020	$ 177
Additions during the period	103
Amortization of sales commissions	(58)
Balance at June 30, 2021	222
Hardware [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2020	136
Additions during the period	88
Amortization of sales commissions	(48)
Balance at June 30, 2021	176
Monitoring [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2020	41
Additions during the period	15
Amortization of sales commissions	(10)
Balance at June 30, 2021	$ 46

REVENUE (Details Narrative)

REVENUE (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020
Disaggregation of Revenue [Line Items]
Revenue	$ 1,611,000	$ 1,468,000	$ 3,316,000	$ 2,806,000
Cost of Goods and Services Sold	389,000	$ 446,000	884,000	$ 862,000
Other current assets	144,000		144,000		$ 126,000
Capitalized Sales Commissions [Member]
Disaggregation of Revenue [Line Items]
Other current assets	107,000		107,000		90,000
Other assets	$ 115,000		115,000		$ 87,000
Other Revenue and Miscellaneous Charges [Member]
Disaggregation of Revenue [Line Items]
Revenue			394,000
Other COGS and Miscellaneous Charges [Member]
Disaggregation of Revenue [Line Items]
Cost of Goods and Services Sold			231,000
Monitoring Services [Member]
Disaggregation of Revenue [Line Items]
Cost of Goods and Services Sold			$ 186,000

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member]	Jul. 06, 2021USD ($)ft²
Subsequent Event [Line Items]
Area of land	21,000
Sublease payment | $	$ 2,375
King Industrial Reality Inc [Member]
Subsequent Event [Line Items]
Area of land	1,900