Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2022 | May 11, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Mar. 31, 2022 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2022 | |
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 | |
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 ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash | $ 1,784 | $ 1,722 |
Accounts receivable, net | 820 | 876 |
Inventory, net | 674 | 617 |
Deferred cost of goods sold | 851 | 799 |
Other current assets | 208 | 229 |
Total current assets | 4,337 | 4,243 |
Property and equipment, net | 656 | 517 |
Right-of-use assets, net | 374 | 399 |
Deferred cost of goods sold | 797 | 714 |
Other assets | 183 | 169 |
Total assets | 6,347 | 6,042 |
Current liabilities: | ||
Accounts payable | 516 | 457 |
Accrued expenses | 227 | 164 |
Deferred revenue | 3,652 | 3,541 |
Current operating lease liabilities | 109 | 107 |
Other current liabilities | 35 | 34 |
Total current liabilities | 4,539 | 4,303 |
Long-term liabilities: | ||
Deferred revenue | 2,040 | 1,852 |
Noncurrent operating lease liabilities | 308 | 336 |
Other long-term liabilities | 13 | 12 |
Total long-term liabilities | 2,361 | 2,200 |
Commitments and contingencies | ||
Acorn Energy, Inc. shareholders | ||
Common stock - $0.01 par value per share: Authorized – 42,000,000 shares; Issued – 39,687,589 shares at March 31, 2022 and December 31, 2021 | 397 | 397 |
Additional paid-in capital | 102,835 | 102,804 |
Accumulated deficit | (100,757) | (100,634) |
Treasury stock, at cost – 801,920 shares at March 31, 2022 and December 31, 2021 | (3,036) | (3,036) |
Total Acorn Energy, Inc. shareholders’ deficit | (561) | (469) |
Non-controlling interests | 8 | 8 |
Total deficit | (553) | (461) |
Total liabilities and deficit | $ 6,347 | $ 6,042 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Mar. 31, 2022 | Dec. 31, 2021 |
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 ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Statement [Abstract] | ||
Revenue | $ 1,751 | $ 1,705 |
Cost of sales | 493 | 495 |
Gross profit | 1,258 | 1,210 |
Operating expenses: | ||
Research and development expense | 198 | 178 |
Selling, general and administrative expense | 1,182 | 1,006 |
Total operating expenses | 1,380 | 1,184 |
Operating (loss) income | (122) | 26 |
Finance expense, net | (4) | |
(Loss) income before income taxes | (122) | 22 |
Income tax expense | ||
Net (loss) income | (122) | 22 |
Non-controlling interest share of net income | (1) | (2) |
Net (loss) income attributable to Acorn Energy, Inc. shareholders | $ (123) | $ 20 |
Basic and diluted net (loss) income per share attributable to Acorn Energy, Inc. shareholders: | ||
Total attributable to Acorn Energy, Inc. shareholders | $ 0 | $ 0 |
Weighted average number of shares outstanding attributable to Acorn Energy, Inc. shareholders – basic and diluted: | ||
Basic | 39,688 | 39,688 |
Diluted | 39,688 | 39,861 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Changes in Deficit (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Parent [Member] | Noncontrolling Interest [Member] |
Beginning balance at Dec. 31, 2020 | $ (519) | $ 397 | $ 102,729 | $ (100,613) | $ (3,036) | $ (523) | $ 4 |
Beginning balances, shares at Dec. 31, 2020 | 39,688 | 802 | |||||
Net income | 22 | 20 | 20 | 2 | |||
Accrued dividend in OmniMetrix preferred shares | (1) | (1) | |||||
Stock option compensation | 15 | 15 | 15 | ||||
Ending balance at Mar. 31, 2021 | (483) | $ 397 | 102,744 | (100,593) | $ (3,036) | (488) | 5 |
Beginning balances, shares at Mar. 31, 2021 | 39,688 | 802 | |||||
Beginning balance at Dec. 31, 2021 | (461) | $ 397 | 102,804 | (100,634) | $ (3,036) | (469) | 8 |
Beginning balances, shares at Dec. 31, 2021 | 39,688 | 802 | |||||
Net income | (122) | (123) | (123) | 1 | |||
Accrued dividend in OmniMetrix preferred shares | (1) | (1) | |||||
Stock option compensation | 31 | 31 | 31 | ||||
Ending balance at Mar. 31, 2022 | $ (553) | $ 397 | $ 102,835 | $ (100,757) | $ (3,036) | $ (561) | $ 8 |
Beginning balances, shares at Mar. 31, 2022 | 39,688 | 802 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash flows provided by operating activities: | ||
Net (loss) income | $ (122) | $ 22 |
Depreciation and amortization | 20 | 18 |
Non-cash lease expense | 29 | 29 |
Stock-based compensation | 31 | 15 |
Change in operating assets and liabilities: | ||
Decrease (increase) in accounts receivable | 56 | (39) |
Increase in inventory | (57) | (7) |
(Increase) decrease in deferred cost of goods sold | (135) | 61 |
Decrease (increase) in other current assets and other assets | 7 | (15) |
Increase (decrease) in deferred revenue | 299 | (74) |
Decrease in operating lease liability | (30) | (30) |
Increase in accounts payable, accrued expenses, other current liabilities and non-current liabilities | 123 | 88 |
Net cash provided by operating activities | 221 | 68 |
Cash flows used in investing activities: | ||
Investments in technology | (157) | (8) |
Other capital investments | (2) | |
Net cash used in investing activities | (159) | (8) |
Cash flows used in financing activities: | ||
Short-term credit, net | (149) | |
Net increase (decrease) in cash | 62 | (89) |
Cash at the beginning of the year | 1,722 | 2,063 |
Cash at the end of the period | 1,784 | 1,974 |
Cash paid during the year for: | ||
Interest | 4 | |
Non-cash investing and financing activities: | ||
Accrued preferred dividends to former CEO of OmniMetrix | $ 1 | $ 1 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [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 and consequently have been condensed. 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 three-month period ended March 31, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022. 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, 2021 filed with the Securities and Exchange Commission on March 31, 2022. |
ACCOUNTING POLICIES
ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | NOTE 2— ACCOUNTING POLICIES Use of Estimates in Preparation of Financial Statements The preparation of unaudited condensed consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the unaudited condensed unaudited consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. As applicable to these unaudited condensed consolidated financial statements, the most significant estimates and assumptions relate to uncertainties with respect to income taxes, inventories, account receivable allowances, contingencies, revenue recognition, management’s projections and analyses of the possible impairments. 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 $ 1,784,000 10 For the three months ended March 31, 2021, one customer represented approximately 11 10 84,000 Credit risk with respect to the balance of trade receivables is generally diversified due to the number of entities comprising the Company’s customer base. Basic and Diluted Net (Loss) Income Per Share Basic net (loss) income per share is computed by dividing the net (loss) income attributable to Acorn Energy, Inc. by the weighted average number of shares outstanding during the year, excluding treasury stock. Diluted net (loss) income per share is computed by dividing the net (loss) income 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 weighted average 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 929,000 (which have a weighted average exercise price of $ 0.41 ) and approximately 35,000 (which have a weighted average exercise price of $ 0.13 ), respectively, for the three-month period ending March 31, 2022. The weighted average number of options and warrants, in the aggregate, that were excluded from the computation of diluted net loss per share, as they had an antidilutive effect, was approximately 964,000 (which have a weighted average exercise price of $ 0.40 ) and approximately 245,000 (which have a weighted average exercise price of $ 0.99 ) for the three-month periods ending March 31, 2022 and 2021, respectively. 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 2022 2021 Three months ended March 31, 2022 2021 Net (loss) income available to common stockholders $ (123 ) $ 20 Weighted average shares outstanding: -Basic 39,688 39,688 Add: Warrants — 26 Add: Stock options — 147 -Diluted 39,688 39,861 Basic and diluted net (loss) income per share $ 0.00 $ 0.00 Recently Issued Accounting Principles Other than the pronouncement noted below, there have been no recent accounting pronouncements or changes in accounting pronouncements during the three-month period ended March 31, 2022, 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 unaudited condensed consolidated financial statements and related disclosures. |
LIQUIDITY
LIQUIDITY | 3 Months Ended |
Mar. 31, 2022 | |
Liquidity | |
LIQUIDITY | NOTE 3— LIQUIDITY As of March 31, 2022, the Company had approximately $ 1,784,000 At March 31, 2022, the Company had a negative working capital of approximately $ 202,000 . Its working capital included approximately $ 1,784,000 of cash and deferred revenue of approximately $ 3,652,000 . Such deferred revenue does not require significant cash outlay for the revenue to be recognized. Net cash increased during the three months ended March 31, 2022 by approximately $ 62,000 , of which approximately $ 221,000 was provided by operating activities and approximately $ 159,000 was used in investing activities 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 has continued to realize new equipment sales (although not at the anticipated growth rate due to travel and meeting 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 continue to be positioned for stable financial performance. As of May 11, 2022, the Company had cash of approximately $ 1,335,000 |
LEASES
LEASES | 3 Months Ended |
Mar. 31, 2022 | |
Leases | |
LEASES | NOTE 4— LEASES OmniMetrix leases office space and office equipment under operating lease agreements. The office lease has an expiration date of September 30, 2025. The office equipment lease was entered into in April 2019 and has a sixty-month term 30,000 4.5% 417,000 4.5% Supplemental cash flow information related to leases consisted of the following (in thousands): SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES For the three months ending March 31, 2022 2021 Cash paid for operating lease liabilities $ 30 $ 30 Supplemental balance sheet information related to leases consisted of the following: SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES 2022 Weighted average remaining lease terms for operating leases 3.48 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 balance sheet as of March 31, 2022 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Twelve-month period ended March 31, 2023 $ 125 2024 129 2025 129 2026 67 Total undiscounted cash flows 450 Less: Imputed interest (33 ) Present value of operating lease liabilities (a) $ 417 (a) Includes current portion of approximately $ 109,000 On July 6, 2021, the Company entered into an agreement with King Industrial Realty, Inc. to sublease from the Company 1,900 21,000 2,375 7,000 6,700 2,220 SCHEDULE OF SUBLEASES Twelve-month period ended March 31, 2023 $ 26 2024 26 2025 26 2026 14 Total undiscounted cash flows $ 92 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 5— 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 OmniMetrix will also 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 gas applications only. Commencing on January 1, 2021, OmniMetrix paid the partner a quarterly licensing fee of $ 12,500 4,450 17,800 4,450 In addition to the above, the Company has approximately $ 417,000 49,000 1.9 |
EQUITY
EQUITY | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
EQUITY | NOTE 6— EQUITY (a) General At March 31, 2022 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 three-year period from the date of the grant. At March 31, 2022, 1,484,850 During the three months ended March 31, 2022, 30,000 35,000 30,770 no 38,000 No 94,000 98,000 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, 2021 833,020 $ 0.39 4.7 $ 291,000 Granted 95,770 0.60 Exercised — — Forfeited or expired — — Outstanding at March 31, 2022 928,790 $ 0.41 4.7 $ 94,000 Exercisable at March 31, 2022 573,492 $ 0.34 4.0 $ 98,000 The fair value of the options granted of approximately $ 38,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL Risk-free interest rate 1.25 % Expected term of options 4.0 Expected annual volatility 93.9 % 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 $ 31,000 15,000 The total compensation cost related to non-vested awards not yet recognized was approximately $ 65,000 (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, 2021 35,000 $ 0.13 14.5 Granted — — Exercised — — Forfeited or expired — — Outstanding at March 31, 2022 35,000 $ 0.13 11.5 |
SEGMENT REPORTING
SEGMENT REPORTING | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | NOTE 7— SEGMENT REPORTING As of March 31, 2022, the Company operates in two ● The Power Generation (“PG”) segment provides wireless remote monitoring and control systems and services for critical assets as well as Internet of Things applications. ● The Cathodic Protection (“CP”) 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 periods ended March 31, 2022 and 2021 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Three months ended March 31, 2022: Revenues from external customers $ 1,445 $ 306 $ 1,751 Segment gross profit 1,073 185 1,258 Depreciation and amortization 17 3 20 Segment income (loss) before income taxes $ 189 $ (21 ) $ 168 Three months ended March 31, 2021: Revenues from external customers $ 1,458 $ 247 $ 1,705 Segment gross profit 1,068 142 1,210 Depreciation and amortization 16 2 18 Segment income (loss) before income taxes $ 276 $ (13 ) $ 263 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 Net Income (Loss) to Consolidated Net (Loss) Income Before Income Taxes SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED NET INCOME LOSS BEFORE INCOME TAXES 2022 2021 Three months ended March 31, 2022 2021 Total net income before income taxes for reportable segments $ 168 $ 263 Unallocated cost of corporate headquarters (290 ) (241 ) Consolidated net (loss) income before income taxes $ (122 ) $ 22 |
REVENUE
REVENUE | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE | NOTE 8— REVENUE The following table disaggregates the Company’s revenue for the three-month periods ended March 31, 2022 and 2021 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Three months ended March 31, 2022: PG Segment $ 523 $ 922 $ 1,445 CP Segment 238 68 306 Total Revenue $ 761 $ 990 $ 1,751 Hardware Monitoring Total Three months ended March 31, 2021: PG Segment $ 517 $ 941 $ 1,458 CP Segment 180 67 247 Total Revenue $ 697 $ 1,008 $ 1,705 Deferred revenue activity for the three months ended March 31, 2022 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2021 $ 3,268 $ 2,125 $ 5,393 Additions during the period 791 1,012 1,803 Recognized as revenue (514 ) (990 ) (1,504 ) Balance at March 31, 2022 $ 3,545 $ 2,147 $ 5,692 Amounts to be recognized as revenue in the twelve-month-period ending: March 31, 2022 $ 1,810 $ 1,842 $ 3,652 March 31, 2023 1,251 299 1,550 March 31, 2024 and thereafter 484 6 490 Total $ 3,545 $ 2,147 $ 5,692 Other revenue of approximately $ 247,000 Deferred charges relate only to the sale of equipment. Deferred charges activity for the three months ended March 31, 2022 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2021 $ 1,513 Additions, net of adjustments, during the period 377 Recognized as cost of sales (242 ) Balance at March 31, 2022 $ 1,648 Amounts to be recognized as cost of sales in the twelve-month-period ending: March 31, 2022 $ 851 March 31, 2023 572 * March 31, 2024 and thereafter 225 * $ 1,648 Other COGS recognized of approximately $ 174,000 77,000 * Amounts included in other assets in the Company’s unaudited condensed consolidated balance sheets at March 31, 2022. The following table provides a reconciliation of the Company’s sales commissions contract assets for the three-month period ended March 31, 2022 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2021 $ 242 $ 53 $ 295 Additions during the period 57 11 68 Amortization of sales commissions (35 ) (6 ) (41 ) Balance at March 31, 2022 $ 264 $ 58 $ 322 The capitalized sales commissions are included in other current assets (approximately $ 152,000 ) and other assets (approximately $ 170,000 ) in the Company’s unaudited condensed consolidated balance sheets at March 31, 2022. The capitalized sales commissions are included in other current assets (approximately $ 138,000 ) and other assets (approximately $ 157,000 ) in the Company’s unaudited condensed consolidated balance sheets at December 31, 2021. |
ACCOUNTING POLICIES (Policies)
ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Use of Estimates in Preparation of Financial Statements | Use of Estimates in Preparation of Financial Statements The preparation of unaudited condensed consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the unaudited condensed unaudited consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. As applicable to these unaudited condensed consolidated financial statements, the most significant estimates and assumptions relate to uncertainties with respect to income taxes, inventories, account receivable allowances, contingencies, revenue recognition, management’s projections and analyses of the possible impairments. |
Concentrations of Credit Risk | 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 $ 1,784,000 10 For the three months ended March 31, 2021, one customer represented approximately 11 10 84,000 Credit risk with respect to the balance of trade receivables is generally diversified due to the number of entities comprising the Company’s customer base. |
Basic and Diluted Net (Loss) Income Per Share | Basic and Diluted Net (Loss) Income Per Share Basic net (loss) income per share is computed by dividing the net (loss) income attributable to Acorn Energy, Inc. by the weighted average number of shares outstanding during the year, excluding treasury stock. Diluted net (loss) income per share is computed by dividing the net (loss) income 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 weighted average 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 929,000 (which have a weighted average exercise price of $ 0.41 ) and approximately 35,000 (which have a weighted average exercise price of $ 0.13 ), respectively, for the three-month period ending March 31, 2022. The weighted average number of options and warrants, in the aggregate, that were excluded from the computation of diluted net loss per share, as they had an antidilutive effect, was approximately 964,000 (which have a weighted average exercise price of $ 0.40 ) and approximately 245,000 (which have a weighted average exercise price of $ 0.99 ) for the three-month periods ending March 31, 2022 and 2021, respectively. 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 2022 2021 Three months ended March 31, 2022 2021 Net (loss) income available to common stockholders $ (123 ) $ 20 Weighted average shares outstanding: -Basic 39,688 39,688 Add: Warrants — 26 Add: Stock options — 147 -Diluted 39,688 39,861 Basic and diluted net (loss) income per share $ 0.00 $ 0.00 |
Recently Issued Accounting Principles | Recently Issued Accounting Principles Other than the pronouncement noted below, there have been no recent accounting pronouncements or changes in accounting pronouncements during the three-month period ended March 31, 2022, 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 unaudited condensed consolidated financial statements and related disclosures. |
ACCOUNTING POLICIES (Tables)
ACCOUNTING POLICIES (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
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 2022 2021 Three months ended March 31, 2022 2021 Net (loss) income available to common stockholders $ (123 ) $ 20 Weighted average shares outstanding: -Basic 39,688 39,688 Add: Warrants — 26 Add: Stock options — 147 -Diluted 39,688 39,861 Basic and diluted net (loss) income per share $ 0.00 $ 0.00 |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
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 For the three months ending March 31, 2022 2021 Cash paid for operating lease liabilities $ 30 $ 30 |
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 2022 Weighted average remaining lease terms for operating leases 3.48 |
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 balance sheet as of March 31, 2022 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Twelve-month period ended March 31, 2023 $ 125 2024 129 2025 129 2026 67 Total undiscounted cash flows 450 Less: Imputed interest (33 ) Present value of operating lease liabilities (a) $ 417 (a) Includes current portion of approximately $ 109,000 |
SCHEDULE OF SUBLEASES | SCHEDULE OF SUBLEASES Twelve-month period ended March 31, 2023 $ 26 2024 26 2025 26 2026 14 Total undiscounted cash flows $ 92 |
EQUITY (Tables)
EQUITY (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
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, 2021 833,020 $ 0.39 4.7 $ 291,000 Granted 95,770 0.60 Exercised — — Forfeited or expired — — Outstanding at March 31, 2022 928,790 $ 0.41 4.7 $ 94,000 Exercisable at March 31, 2022 573,492 $ 0.34 4.0 $ 98,000 |
SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL | The fair value of the options granted of approximately $ 38,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL Risk-free interest rate 1.25 % Expected term of options 4.0 Expected annual volatility 93.9 % 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, 2021 35,000 $ 0.13 14.5 Granted — — Exercised — — Forfeited or expired — — Outstanding at March 31, 2022 35,000 $ 0.13 11.5 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
SUMMARY OF SEGMENTED DATA | The following tables represent segmented data for the three-month periods ended March 31, 2022 and 2021 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Three months ended March 31, 2022: Revenues from external customers $ 1,445 $ 306 $ 1,751 Segment gross profit 1,073 185 1,258 Depreciation and amortization 17 3 20 Segment income (loss) before income taxes $ 189 $ (21 ) $ 168 Three months ended March 31, 2021: Revenues from external customers $ 1,458 $ 247 $ 1,705 Segment gross profit 1,068 142 1,210 Depreciation and amortization 16 2 18 Segment income (loss) before income taxes $ 276 $ (13 ) $ 263 |
SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED NET INCOME LOSS BEFORE INCOME TAXES | Reconciliation of Segment Net Income (Loss) to Consolidated Net (Loss) Income Before Income Taxes SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED NET INCOME LOSS BEFORE INCOME TAXES 2022 2021 Three months ended March 31, 2022 2021 Total net income before income taxes for reportable segments $ 168 $ 263 Unallocated cost of corporate headquarters (290 ) (241 ) Consolidated net (loss) income before income taxes $ (122 ) $ 22 |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
SCHEDULE OF DISAGGREGATES OF REVENUE | The following table disaggregates the Company’s revenue for the three-month periods ended March 31, 2022 and 2021 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Three months ended March 31, 2022: PG Segment $ 523 $ 922 $ 1,445 CP Segment 238 68 306 Total Revenue $ 761 $ 990 $ 1,751 Hardware Monitoring Total Three months ended March 31, 2021: PG Segment $ 517 $ 941 $ 1,458 CP Segment 180 67 247 Total Revenue $ 697 $ 1,008 $ 1,705 |
SCHEDULE OF DEFERRED REVENUE ACTIVITY | Deferred revenue activity for the three months ended March 31, 2022 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2021 $ 3,268 $ 2,125 $ 5,393 Additions during the period 791 1,012 1,803 Recognized as revenue (514 ) (990 ) (1,504 ) Balance at March 31, 2022 $ 3,545 $ 2,147 $ 5,692 Amounts to be recognized as revenue in the twelve-month-period ending: March 31, 2022 $ 1,810 $ 1,842 $ 3,652 March 31, 2023 1,251 299 1,550 March 31, 2024 and thereafter 484 6 490 Total $ 3,545 $ 2,147 $ 5,692 |
SCHEDULE OF DEFERRED CHARGES ACTIVITY | Deferred charges relate only to the sale of equipment. Deferred charges activity for the three months ended March 31, 2022 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2021 $ 1,513 Additions, net of adjustments, during the period 377 Recognized as cost of sales (242 ) Balance at March 31, 2022 $ 1,648 Amounts to be recognized as cost of sales in the twelve-month-period ending: March 31, 2022 $ 851 March 31, 2023 572 * March 31, 2024 and thereafter 225 * $ 1,648 |
SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS | The following table provides a reconciliation of the Company’s sales commissions contract assets for the three-month period ended March 31, 2022 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2021 $ 242 $ 53 $ 295 Additions during the period 57 11 68 Amortization of sales commissions (35 ) (6 ) (41 ) Balance at March 31, 2022 $ 264 $ 58 $ 322 |
SCHEDULE OF EFFECT ON NET INCOM
SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Accounting Policies [Abstract] | ||
Net (loss) income available to common stockholders | $ (123) | $ 20 |
Weighted average shares outstanding: | ||
-Basic | 39,688 | 39,688 |
Add: Warrants | 26 | |
Add: Stock options | 147 | |
-Diluted | 39,688 | 39,861 |
Basic and diluted net (loss) income per share | $ 0 | $ 0 |
ACCOUNTING POLICIES (Details Na
ACCOUNTING POLICIES (Details Narrative) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | May 11, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 |
Product Information [Line Items] | ||||
Cash and cash equivalents | $ 1,784 | $ 1,722 | ||
Stock Options [Member] | ||||
Product Information [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 929 | 964 | ||
Weighted average exercise price of options and warrants | $ 0.41 | $ 0.40 | ||
Warrant [Member] | ||||
Product Information [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 35 | 245 | ||
Weighted average exercise price of options and warrants | $ 0.13 | $ 0.99 | ||
Subsequent Event [Member] | ||||
Product Information [Line Items] | ||||
Proceeds from Accounts Receivable Securitization | $ 84 | |||
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Minimum [Member] | ||||
Product Information [Line Items] | ||||
Concentration Risk, Percentage | 10.00% | |||
Revenue Benchmark [Member] | One Customer Concentration Risk [Member] | Minimum [Member] | ||||
Product Information [Line Items] | ||||
Concentration Risk, Percentage | 11.00% | |||
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer One [Member] | ||||
Product Information [Line Items] | ||||
Concentration Risk, Percentage | 10.00% |
LIQUIDITY (Details Narrative)
LIQUIDITY (Details Narrative) - USD ($) | 3 Months Ended | ||||
Mar. 31, 2022 | Mar. 30, 2022 | Mar. 31, 2021 | May 11, 2022 | Dec. 31, 2021 | |
Cash | $ 1,784,000 | $ 1,722,000 | |||
[custom:WorkingCapital-0] | $ 202,000 | ||||
Deferred Revenue, Current | 3,652,000 | $ 3,541,000 | |||
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | 62,000 | $ (89,000) | |||
Net Cash Provided by (Used in) Investing Activities | $ 159,000 | $ 8,000 | |||
Cash | $ 1,335,000 | ||||
OmniMetrix, LLC [Member] | |||||
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | $ 221,000 |
SCHEDULE OF SUPPLEMENTAL CASH F
SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Leases | ||
Cash paid for operating lease liabilities | $ 30 | $ 30 |
SCHEDULE OF SUPPLEMENTAL BALANC
SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES (Details) | Mar. 31, 2022 |
Leases | |
Weighted average remaining lease terms for operating leases | 3 years 5 months 23 days |
SCHEDULE OF FUTURE MINIMUM LEAS
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details) $ in Thousands | Mar. 31, 2022USD ($) |
Leases | |
2023 | $ 125 |
2024 | 129 |
2025 | 129 |
2026 | 67 |
Total undiscounted cash flows | 450 |
Less: Imputed interest | (33) |
Operating Lease, Liability | $ 417 |
SCHEDULE OF FUTURE MINIMUM LE_2
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Leases | ||
Current operating lease | $ 109 | $ 107 |
SCHEDULE OF SUBLEASES (Details)
SCHEDULE OF SUBLEASES (Details) $ in Thousands | Mar. 31, 2022USD ($) |
Leases | |
2023 | $ 26 |
2024 | 26 |
2025 | 26 |
2026 | 14 |
Total undiscounted cash flows | $ 92 |
LEASES (Details Narrative)
LEASES (Details Narrative) | Jul. 06, 2021USD ($)ft² | Apr. 30, 2019 | Mar. 31, 2022USD ($) | Mar. 31, 2021USD ($) |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Lessee, operating lease, discount rate | 4.50% | |||
Operating lease, liability | $ 417,000 | |||
Sublease payments | $ 2,375 | |||
Leasehold Improvements, Gross | 7,000 | |||
Estimated Sublease Payments | 6,700 | |||
Service cost | $ 2,220,000 | |||
King Industrial Reality Inc [Member] | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Area of Land | ft² | 1,900 | |||
King Industrial Realty Inc [Member] | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Area of Land | ft² | 21,000 | |||
Operating Lease Agreements [Member] | Omni Metrix Holdings, Inc. [Member] | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Lessee, operating lease, description | The office equipment lease was entered into in April 2019 and has a sixty-month term | |||
Operating lease, payments | $ 30,000 | $ 30,000 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | Mar. 17, 2021 | Aug. 19, 2019 |
Master Services Agreement [Member] | ||
Operating lease obligations payable | $ 417,000 | |
Operating leaes and contractual services | 49,000 | |
Commitment payable | $ 1,900,000 | |
OmniMetrix, LLC [Member] | ||
Monthly payments | $ 200,000 | |
Quarterly licensing fee | 12,500 | |
Quarterly increments | 4,450 | |
Annual licensing fee | $ 17,800 | |
OmniMetrix Technologies [Member] | ||
Partner sensor transaction description | OmniMetrix will also 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 gas applications only. Commencing on January 1, 2021, OmniMetrix paid the partner a quarterly licensing fee of $12,500 which was renegotiated to $4,450 effective October 1, 2021. The annual licensing fee moving forward will be $17,800, which will be paid in quarterly increments of $4,450. The per-sensor monitoring fees have not yet commenced |
SUMMARY OF BLACK-SCHOLES OPTION
SUMMARY OF BLACK-SCHOLES OPTION PRICING TO ESTIMATE FAIR VALUE (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Equity [Abstract] | ||
Number of Options (in shares), Outstanding at beginning of year | 833,020 | |
Weighted Average Exercise Price Per Share, Outstanding at beginning of year | $ 0.39 | |
Weighted average remaining contractual life at end | 4 years 8 months 12 days | 4 years 8 months 12 days |
Aggregate intrinsic value at begining of year | $ 291,000 | |
Number of Options (in shares), Granted at market price | 95,770 | |
Weighted Average Exercise Price Per Share, Granted | $ 0.60 | |
Number of Options (in shares), Exercised | ||
Weighted Average Exercise Price Per Share, Exercised | ||
Number of Options (in shares), Forfeited or expired | ||
Weighted Average Exercise Price Per Share, Forfeited or expired | ||
Number of Options (in shares), Outstanding at end of year | 928,790 | 833,020 |
Weighted Average Exercise Price Per Share, Outstanding at end of year | $ 0.41 | $ 0.39 |
Aggregate intrinsic value at end of year | $ 94,000 | $ 291,000 |
Number of Options (in shares), Exercisable at end of year | 573,492 | |
Weighted Average Exercise Price Per Share, Exercisable at end of year | $ 0.34 | |
Weighted average remaining contractual life at exercisable at end of year | 4 years | |
Aggregate intrinsic value at exercisable | $ 98,000 |
SCHEDULE OF STOCK OPTIONS FAIR
SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL (Details) | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Risk-free interest rate | 1.25% |
Expected term of options, in years | 4 years |
Expected annual volatility | 93.90% |
Expected dividend yield |
SUMMARY OF WARRANT ACTIVITY (De
SUMMARY OF WARRANT ACTIVITY (Details) - $ / shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Number of Warrants (in Shares), Forfeited or expired | ||
Warrant [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Number of Warrants (in Shares), Outstanding at beginning balance | 35,000 | |
Weighted Average Exercise Price Per Share, Outstanding at beginning balance | $ 0.13 | |
Weighted average remaining contractual life at end | 11 months 15 days | 14 months 15 days |
Number of Warrants (in Shares), Granted | ||
Weighted Average Exercise Price Per Share, Granted | ||
Number of Warrants (in Shares), Exercised | ||
Weighted Average Exercise Price Per Share, Exercised | ||
Weighted Average Exercise Price Per Share, Forfeited or expired | ||
Number of Warrants (in Shares), Outstanding at end balance | 35,000 | 35,000 |
Weighted Average Exercise Price Per Share, Outstanding at end balance | $ 0.13 | $ 0.13 |
EQUITY (Details Narrative)
EQUITY (Details Narrative) - USD ($) | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Subsidiary, Sale of Stock [Line Items] | |||
Common stock issued | 39,687,589 | 39,687,589 | |
Common stock, shares outstanding | 39,687,589 | ||
Common stock par value | $ 0.01 | $ 0.01 | |
Number of options granted during period | 95,770 | ||
Fair value of options granted during period | $ 38,000 | ||
Number of options exercised | |||
Intrinsic value of options outstanding | $ 94,000 | $ 291,000 | |
Intrinsic value of options exercisable | 98,000 | ||
Compensation cost, non-vested awards not yet recognized | 65,000 | ||
Selling, General and Administrative Expenses [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Stock based compensation expense | $ 31,000 | $ 15,000 | |
Non Employee Stock Option [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Number of options exercised | 0 | ||
Employees [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Number of options granted during period | 30,000 | ||
Company's CEO [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Number of options granted during period | 35,000 | ||
Company's Vice President [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Number of options granted during period | 30,770 | ||
Non-employee [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Number of options granted during period | 0 | ||
Amended and Restated 2006 Stock Incentive Plan [Member] | |||
Subsidiary, Sale of Stock [Line Items] | |||
Number of options available for grant | 1,484,850 |
SUMMARY OF SEGMENTED DATA (Deta
SUMMARY OF SEGMENTED DATA (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting Information [Line Items] | ||
Revenues from external customers | $ 1,751 | $ 1,705 |
Segment gross profit | 1,258 | 1,210 |
Depreciation and amortization | 20 | 18 |
Segment income (loss) before income taxes | 168 | 263 |
PG [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues from external customers | 1,445 | 1,458 |
Segment gross profit | 1,073 | 1,068 |
Depreciation and amortization | 17 | 16 |
Segment income (loss) before income taxes | 189 | 276 |
CP [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenues from external customers | 306 | 247 |
Segment gross profit | 185 | 142 |
Depreciation and amortization | 3 | 2 |
Segment income (loss) before income taxes | $ (21) | $ (13) |
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 | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting [Abstract] | ||
Total net income before income taxes for reportable segments | $ 168 | $ 263 |
Unallocated cost of corporate headquarters | (290) | (241) |
Consolidated net (loss) income before income taxes | $ (122) | $ 22 |
SEGMENT REPORTING (Details Narr
SEGMENT REPORTING (Details Narrative) | 3 Months Ended |
Mar. 31, 2022Segments | |
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 | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 1,751 | $ 1,705 |
Hardware [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 761 | 697 |
Monitoring [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 990 | 1,008 |
PG [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 1,445 | 1,458 |
PG [Member] | Hardware [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 523 | 517 |
PG [Member] | Monitoring [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 922 | 941 |
CP [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 306 | 247 |
CP [Member] | Hardware [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 238 | 180 |
CP [Member] | Monitoring [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 68 | $ 67 |
SCHEDULE OF DEFERRED REVENUE AC
SCHEDULE OF DEFERRED REVENUE ACTIVITY (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Disaggregation of Revenue [Line Items] | |
Balance at December 31, 2021 | $ 5,393 |
Additions during the period | 1,803 |
Recognized as revenue | (1,504) |
Balance at March 31, 2022 | 5,692 |
March 31, 2022 | 3,652 |
March 31, 2023 | 1,550 |
March 31, 2024 and thereafter | 490 |
Total | 5,692 |
Hardware [Member] | |
Disaggregation of Revenue [Line Items] | |
Balance at December 31, 2021 | 3,268 |
Additions during the period | 791 |
Recognized as revenue | (514) |
Balance at March 31, 2022 | 3,545 |
March 31, 2022 | 1,810 |
March 31, 2023 | 1,251 |
March 31, 2024 and thereafter | 484 |
Total | 3,545 |
Monitoring [Member] | |
Disaggregation of Revenue [Line Items] | |
Balance at December 31, 2021 | 2,125 |
Additions during the period | 1,012 |
Recognized as revenue | (990) |
Balance at March 31, 2022 | 2,147 |
March 31, 2022 | 1,842 |
March 31, 2023 | 299 |
March 31, 2024 and thereafter | 6 |
Total | $ 2,147 |
SCHEDULE OF DEFERRED CHARGES AC
SCHEDULE OF DEFERRED CHARGES ACTIVITY (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022USD ($) | ||
Revenue from Contract with Customer [Abstract] | ||
Balance at December 31, 2021 | $ 1,513 | |
Additions, net of adjustments, during the period | 377 | |
Recognized as cost of sales | (242) | |
Balance at March 31, 2021 | 1,648 | |
March 31, 2022 | 851 | |
March 31, 2023 | 572 | [1] |
March 31, 2024 and thereafter | 225 | [1] |
Total | $ 1,648 | |
[1] | Amounts included in other assets in the Company’s unaudited condensed consolidated balance sheets at March 31, 2022. |
SCHEDULE OF SALES COMMISSIONS C
SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Disaggregation of Revenue [Line Items] | |
Balance at December 31, 2021 | $ 295 |
Additions during the period | 68 |
Amortization of sales commissions | (41) |
Balance at March 31, 2022 | 322 |
Hardware [Member] | |
Disaggregation of Revenue [Line Items] | |
Balance at December 31, 2021 | 242 |
Additions during the period | 57 |
Amortization of sales commissions | (35) |
Balance at March 31, 2022 | 264 |
Monitoring [Member] | |
Disaggregation of Revenue [Line Items] | |
Balance at December 31, 2021 | 53 |
Additions during the period | 11 |
Amortization of sales commissions | (6) |
Balance at March 31, 2022 | $ 58 |
REVENUE (Details Narrative)
REVENUE (Details Narrative) - USD ($) | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 1,751,000 | $ 1,705,000 | |
Cost of Goods and Services Sold | 493,000 | $ 495,000 | |
Other Assets, Current | 208,000 | $ 229,000 | |
Capitalized Sales Commissions [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Other Assets, Current | 152,000 | 138,000 | |
Other Assets | 170,000 | $ 157,000 | |
Other Revenue Related to Accessories, Repairs and Other Miscellaneous Charges [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 247,000 | ||
Other COGS and Miscellaneous Charges [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Cost of Goods and Services Sold | 174,000 | ||
Monitoring Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Cost of Goods and Services Sold | $ 77,000 |