Acorn Energy (ACFN) 10-Q 10 Aug 23 2023 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2023	Aug. 08, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2023
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		39,757,589

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2023	Dec. 31, 2022
Current assets:
Cash	$ 1,573,000	$ 1,450,000
Accounts receivable, net	701,000	597,000
Inventory, net	803,000	789,000
Deferred cost of goods sold (COGS)	917,000	887,000
Other current assets	398,000	288,000
Total current assets	4,392,000	4,011,000
Property and equipment, net	614,000	653,000
Operating right-of-use assets, net	246,000	298,000
Deferred COGS	733,000	807,000
Other assets	224,000	215,000
Total assets	6,209,000	5,984,000
Current liabilities:
Accounts payable	321,000	243,000
Accrued expenses	157,000	171,000
Deferred revenue	4,154,000	3,984,000
Operating lease liabilities	119,000	116,000
Other current liabilities	30,000	58,000
Total current liabilities	4,781,000	4,572,000
Long-term liabilities:
Deferred revenue	2,213,000	2,187,000
Operating lease liabilities	160,000	220,000
Other long-term liabilities	18,000	16,000
Total long-term liabilities	2,391,000	2,423,000
Commitments and contingencies (Note 7)
Acorn Energy, Inc. stockholders
Common stock - $0.01 par value per share: Authorized – 42,000,000 shares; issued and outstanding – 39,757,589 and 39,722,589 shares at June 30, 2023 and December 31, 2022, respectively	397,000	397,000
Additional paid-in capital	102,924,000	102,889,000
Accumulated stockholders’ deficit	(101,256,000)	(101,267,000)
Treasury stock, at cost – 801,920 shares at June 30, 2023 and December 31, 2022	(3,036,000)	(3,036,000)
Total Acorn Energy, Inc. stockholders’ deficit	(971,000)	(1,017,000)
Non-controlling interest	8,000	6,000
Total stockholders’ deficit	(963,000)	(1,011,000)
Total liabilities and stockholders’ deficit	$ 6,209,000	$ 5,984,000

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
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	39,757,589	39,722,589
Common stock, shares outstanding	39,757,589	39,722,589
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, 2023	Jun. 30, 2022		Jun. 30, 2023	Jun. 30, 2022
Income Statement [Abstract]
Revenue	$ 1,973	$ 1,621		$ 3,722	$ 3,372
COGS	483	375		916	868
Gross profit	1,490	1,246		2,806	2,504
Operating expenses:
Research and development (R&D) expense	188	212		402	410
Selling, general and administrative (SG&A) expense	1,219	1,205		2,416	2,387
Impairment of software		51			51
Total operating expenses	1,407	1,468		2,818	2,848
Operating (loss) income	83	(222)		(12)	(344)
Interest income (expense), net	16	(1)		27	(1)
Income (loss) before income taxes	99	(223)		15	(345)
Income tax expense
Net income (loss)	99	(223)		15	(345)
Non-controlling interest share of net income	(3)		[1]	(4)	(1)
Net income (loss) attributable to Acorn Energy, Inc. stockholders	$ 96	$ (223)		$ 11	$ (346)
Basic net income (loss) per share	$ 0	$ (0.01)		$ 0	$ (0.01)
Diluted net income (loss) per share	$ 0	$ (0.01)		$ 0	$ (0.01)
Weighted average number of shares outstanding attributable to Acorn Energy, Inc. stockholders – basic and diluted
Basic	39,758	39,688		39,746	39,688
Diluted	39,784	39,688		39,780	39,688
[1]Less than $1

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Changes in Deficit (Unaudited) - USD ($) $ in Thousands	Total	Common Stock [Member]		Additional Paid-in Capital [Member]	Retained Earnings [Member]	Treasury Stock, Common [Member]	Parent [Member]	Noncontrolling Interest [Member]
Balance at Dec. 31, 2021	$ (461)	$ 397		$ 102,804	$ (100,634)	$ (3,036)	$ (469)	$ 8
Balance, shares at Dec. 31, 2021		39,688				802
Net (income) loss	(122)				(123)		(123)	1
Accrued dividend in OmniMetrix preferred shares	(1)							(1)
Stock-based compensation	31			31			31
Balance at Mar. 31, 2022	(553)	$ 397		102,835	(100,757)	$ (3,036)	(561)	8
Balance, shares at Mar. 31, 2022		39,688				802
Balance at Dec. 31, 2021	(461)	$ 397		102,804	(100,634)	$ (3,036)	(469)	8
Balance, shares at Dec. 31, 2021		39,688				802
Net (income) loss	(345)
Balance at Jun. 30, 2022	(755)	$ 397		102,857	(100,980)	$ (3,036)	(762)	7
Balance, shares at Jun. 30, 2022		39,688				802
Balance at Mar. 31, 2022	(553)	$ 397		102,835	(100,757)	$ (3,036)	(561)	8
Balance, shares at Mar. 31, 2022		39,688				802
Net (income) loss	(223)				(223)		(223)		[1]
Accrued dividend in OmniMetrix preferred shares	(1)							(1)
Stock-based compensation	22			22			22
Balance at Jun. 30, 2022	(755)	$ 397		102,857	(100,980)	$ (3,036)	(762)	7
Balance, shares at Jun. 30, 2022		39,688				802
Balance at Dec. 31, 2022	(1,011)	$ 397		102,889	(101,267)	$ (3,036)	(1,017)	6
Balance, shares at Dec. 31, 2022		39,723				802
Net (income) loss	(84)				(85)		(85)	1
Proceeds from warrant exercise	5		[1]	5			5
Proceeds from warrant exercise, shares		35
Accrued dividend in OmniMetrix preferred shares	(1)							(1)
Stock-based compensation	17			17			17
Balance at Mar. 31, 2023	(1,074)	$ 397		102,911	(101,352)	$ (3,036)	(1,080)	6
Balance, shares at Mar. 31, 2023		39,758				802
Balance at Dec. 31, 2022	(1,011)	$ 397		102,889	(101,267)	$ (3,036)	(1,017)	6
Balance, shares at Dec. 31, 2022		39,723				802
Net (income) loss	15
Balance at Jun. 30, 2023	(963)	$ 397		102,924	(101,256)	$ (3,036)	(971)	8
Balance, shares at Jun. 30, 2023		39,758				802
Balance at Mar. 31, 2023	(1,074)	$ 397		102,911	(101,352)	$ (3,036)	(1,080)	6
Balance, shares at Mar. 31, 2023		39,758				802
Net (income) loss	99				96		96	3
Accrued dividend in OmniMetrix preferred shares	(1)							(1)
Stock-based compensation	13			13			13
Balance at Jun. 30, 2023	$ (963)	$ 397		$ 102,924	$ (101,256)	$ (3,036)	$ (971)	$ 8
Balance, shares at Jun. 30, 2023		39,758				802
[1]Less than $1

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash flows provided by (used in) operating activities:
Net income (loss)	$ 15	$ (345)
Depreciation and amortization	76	48
Impairment of inventory	8
Impairment of software		51
Non-cash lease expense	63	59
Stock-based compensation	30	53
Change in operating assets and liabilities:
(Increase) decrease in accounts receivable	(104)	292
Increase in inventory	(22)	(298)
Decrease (increase) in deferred COGS	44	(117)
Increase in other current assets and other assets	(119)	(1)
Increase (decrease) in accounts payable and accrued expenses	64	(125)
Increase in deferred revenue	196	242
Decrease in operating lease liability	(67)	(62)
(Decrease) increase in other current liabilities and non-current liabilities	(29)	9
Net cash provided by (used in) operating activities	155	(194)
Cash flows used in investing activities:
Investments in technology	(37)	(266)
Other capital investments		(3)
Net cash used in investing activities	(37)	(269)
Cash flows used in financing activities:
Warrant exercise proceeds	5
Net cash provided by financing activities	5
Net increase (decrease) in cash	123	(463)
Cash at the beginning of the year	1,450	1,722
Cash at the end of the period	1,573	1,259
Cash paid during the period for:
Interest	1	1
Non-cash investing and financing activities:
Accrued preferred dividends to former CEO of OmniMetrix	$ 2	$ 2

BASIS OF PRESENTATION

BASIS OF PRESENTATION	6 Months Ended
	Jun. 30, 2023
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. 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, 2023 and 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2023. All dollar amounts are rounded to the nearest thousand and, thus, are approximate. 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, 2022, filed with the Securities and Exchange Commission on March 16, 2023.

ACCOUNTING POLICIES

ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2023
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 consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. As applicable to these unaudited condensed consolidated financial statements, the most significant estimates and assumptions relate to uncertainties with respect to revenue recognition and management’s projections. 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 $ 1,573,000 at June 30, 2023. The Company does not believe there is a significant risk of non-performance by its counterparties. For the three- and six-month periods ended June 30, 2023, there was one customer (the same customer in both periods) that represented 21 % and 15 % of the Company’s total invoiced sales, respectively. At June 30, 2023, the Company had two customers that represented greater than 10 % of our accounts receivable with balances representing 25 % and 14 % of the Company’s total accounts receivable. As of August 8, 2023, we have collected 64 277,000 100 177,000 12 % of the accounts receivable at December 31, 2022 was due from one customer which was subsequently collected in full. 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. Although we do not believe there is significant risk of non-performance by these counterparties, any failures or defaults on their part could negatively impact the value of our financial instruments and could have a material adverse effect on our business, operations or financial condition. Inventory Inventories are comprised of components (raw materials), work-in-process and finished goods, which are measured at the lower of cost or net realizable value. Raw materials inventory is generally comprised of radios, cables, antennas, and electrical components. Finished goods inventory consists of fully assembled systems ready for final shipment to the customer. Costs are determined at cost of acquisition on a weighted average basis and include all outside production and applicable shipping costs. All inventories are periodically reviewed to identify slow-moving and obsolete inventory. Management conducted an assessment and wrote-off inventory carried at $ 8,000 5,000 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 period, 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. The dilutive effects of stock options are excluded from the computation of diluted net income (loss) per share if doing so would be antidilutive. For the six-month period ending June 30, 2023, the number of options that were excluded from the computation of diluted net loss, as they had an antidilutive effect, was 897,000 0.43 1,003,039 0.42 979,000 0.41 35,000 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 2023 2022 2023 2022 Six months ended June 30, Three months ended June 30, 2023 2022 2023 2022 Net income (loss) available to common stockholders $ 11 $ (346 ) $ 96 $ (223 ) Weighted average share outstanding: Basic 39,746 39,688 39,758 39,688 Add: Stock options 34 — 26 — Diluted 39,780 39,688 39,784 39,688 Basic and diluted net income (loss) per share $ 0.00 $ (0.01 ) $ 0.00 $ (0.01 ) Recently Adopted Accounting Standards Other than the pronouncement noted below, there have been no recent accounting pronouncements or changes in accounting standards during the six-month period ended June 30, 2023 that would affect the Company’s financial statements. On January 1, 2023, the Company adopted ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This guidance was issued to provide financial statement users with more useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. Specifically, this guidance requires entities to utilize a new “expected loss” model as it relates to trade and other receivables. The adoption of the standard impacts the way the Company estimates the allowance for doubtful accounts on its trade and other receivables. Refer to Note 4, “Allowance for Credit Losses,” for further information regarding the Company’s allowance for expected credit losses.

LIQUIDITY

LIQUIDITY	6 Months Ended
	Jun. 30, 2023
Liquidity
LIQUIDITY	NOTE 3— LIQUIDITY As of June 30, 2023, the Company had cash of $ 1,573,000 At June 30, 2023, the Company had negative working capital of $ 389,000 1,573,000 4,154,000 123,000 155,000 37,000 5,000 As of August 8, 2023, the Company had cash of $ 1,738,000

ALLOWANCE FOR CREDIT LOSSES

ALLOWANCE FOR CREDIT LOSSES	6 Months Ended
	Jun. 30, 2023
Receivables [Abstract]
ALLOWANCE FOR CREDIT LOSSES	NOTE 4— ALLOWANCE FOR CREDIT LOSSES For the Company, ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” applies to its contract assets (deferred COGS and deferred sales commissions), lease receivables (sublease, see Note 6) and trade receivables. There are no expected or estimated credit losses on the Company’s contract assets or its lease receivable based on the Company’s implementation of ASU 2016-13. The Company’s trade receivables primarily arise from the sale of our products to independent residential dealers, industrial distributors and dealers, national and regional retailers, equipment distributors, solar installers, and certain end users with payment terms generally ranging from 30 to 60 days. The Company evaluates the credit risk of a customer when extending credit based on a combination of various financial and qualitative factors that may affect the customers’ ability to pay. These factors include the customers’ financial condition and past payment experience. The Company maintains an allowance for credit losses, which represents an estimate of expected losses over the remaining contractual life of its receivables considering current market conditions and estimates for supportable forecasts when appropriate. The Company measures expected credit losses on its trade receivables on an entity-by-entity basis. The estimate of expected credit losses considers a historical loss experience rate that is adjusted for delinquency trends, collection experience, and/or economic risk where appropriate. Additionally, management develops a specific allowance for trade receivables known to have a high risk of expected future credit loss. The Company has historically experienced immaterial write-offs given the nature of the customers that receive credit. As of June 30, 2023, the Company had gross receivables of $ 707,000 6,000 The following is a tabular reconciliation of the Company’s allowance for credit losses: SCHEDULE OF ALLOWANCES FOR CREDIT LOSSES June 30, 2023 December 31, 2022 As of June 30, 2023 December 31, 2022 (in thousands) Balance at beginning of period $ 10 $ 6 Provision for credit losses 2 3 Net (charge-offs) credits (6 ) 1 Balance at end of period $ 6 $ 10

INVENTORY

INVENTORY	6 Months Ended
	Jun. 30, 2023
Inventory Disclosure [Abstract]
INVENTORY	NOTE 5— INVENTORY SCHEDULE OF INVENTORY June 30, 2023 December 31, 2022 As of June 30, 2023 December 31, 2022 (in thousands) Raw materials $ 729 $ 684 Finished goods 74 105 Inventory net $ 803 $ 789 At June 30, 2023 and December 31, 2022, the Company’s inventory reserve was $ 4,000 All inventories are periodically reviewed to identify slow-moving and obsolete inventory. Management conducted an assessment and wrote-off inventory carried at $ 8,000 5,000

LEASES

LEASES	6 Months Ended
	Jun. 30, 2023
Leases
LEASES	NOTE 6— 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 63,000 62,000 32,000 32,000 4.5 279,000 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 Six Months Ending June 30, 2023 2022 Cash paid for operating lease liabilities $ 63 $ 62 Supplemental balance sheet information related to leases consisted of the following: SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES 2023 Weighted average remaining lease terms for operating leases 2.24 The table below reconciles the undiscounted future minimum lease payments under non-cancelable lease agreements having initial terms of more than one year to the total operating lease liabilities recognized on the unaudited condensed consolidated balance sheet as of June 30, 2023 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Year ended June 30, 2024 $ 129 2025 131 2026 33 Total undiscounted cash flows 293 Less: Imputed interest (14 ) Present value of operating lease liabilities (a) $ 279 (a) Includes current portion of $ 119,000 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 6,100 2,220 SCHEDULE OF SUBLEASES Year ended June 30, 2024 $ 28 2025 29 2026 7 Total undiscounted cash flows $ 64

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 7— COMMITMENTS AND CONTINGENCIES The Company has $ 279,000 41,000 631,000

EQUITY

EQUITY	6 Months Ended
	Jun. 30, 2023
Equity [Abstract]
EQUITY	NOTE 8— EQUITY (a) General At June 30, 2023 the Company had issued and outstanding 39,757,589 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, 2023, 1,240,351 During the six months ended June 30, 2023, 215,000 110,000 55,000 35,000 100,000 25,000 no No options were exercised in the six and three months ended June 30, 2023. The intrinsic value of options outstanding and of options exercisable at June 30, 2023 was $ 8,000 SCHEDULE OF BLACK-SCHOLES OPTION PRICING ESTIMATE FAIR VALUE Number of Options (in shares) Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Outstanding at December 31, 2022 943,790 $ 0.42 4.3 $ 16,000 Granted 215,000 0.33 Exercised — — Forfeited or expired (20,501 ) 0.40 Outstanding at June 30, 2023 1,138,289 $ 0.40 4.5 $ 8,000 Exercisable at June 30, 2023 899,258 $ 0.41 4.0 $ 8,000 The fair value of the options granted of $ 46,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL Risk-free interest rate 3.9 % Expected term of options 4.1 Expected annual volatility 94.5 % Expected dividend yield — % (c) Stock-based Compensation Expense Stock-based compensation expense included in SG&A expenses in the Company’s unaudited condensed consolidated statements of operations was $ 30,000 53,000 13,000 22,000 The total compensation cost related to non-vested awards not yet recognized was $ 43,000 59,000 (d) Warrants The Company previously issued warrants at exercise prices equal to or greater than the 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 Average Exercise Price Per Share Weighted Average Remaining Contractual Life Outstanding at December 31, 2022 35,000 $ 0.13 2.5 Granted — — Exercised (35,000 ) 0.13 Forfeited or expired — — Outstanding at June 30, 2023 — $ — —

SEGMENT REPORTING

SEGMENT REPORTING	6 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
SEGMENT REPORTING	NOTE 9— SEGMENT REPORTING As of June 30, 2023, the Company operates in two reportable operating segments, both of which are performed through the Company’s OmniMetrix subsidiary: ● Power Generation (“PG”). ● Cathodic Protection (“CP”). TM 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 six-month and three-month periods ended June 30, 2023 and 2022 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Six months ended June 30, 2023: Revenues from external customers $ 3,196 $ 526 $ 3,722 Segment gross profit 2,495 311 2,806 Depreciation and amortization 65 11 76 Segment income (loss) before income taxes $ 530 $ (40 ) $ 490 Six months ended June 30, 2022: Revenues from external customers $ 2,825 $ 547 $ 3,372 Segment gross profit 2,164 340 2,504 Depreciation and amortization 41 8 49 Segment income (loss) before income taxes* $ 262 $ (45 ) $ 217 Three months ended June 30, 2023: Revenues from external customers $ 1,689 $ 284 $ 1,973 Segment gross profit 1,316 174 1,490 Depreciation and amortization 32 6 38 Segment income before income taxes $ 331 $ 8 $ 339 Three months ended June 30, 2022: Revenues from external customers $ 1,380 $ 241 $ 1,621 Segment gross profit 1,091 155 1,246 Depreciation and amortization 24 5 29 Segment income (loss) before income taxes* $ 73 $ (24 ) $ 49 * Software impairment of $ 51,000 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 STATEMENT OF OPERATIONS 2023 2022 2023 2022 Six months ended June 30, Three months ended June 30, 2023 2022 2023 2022 Total net income before income taxes for reportable segments * $ 490 $ 217 $ 339 $ 49 Unallocated cost of corporate headquarters (475 ) (511 ) (240 ) (221 ) Consolidated net income (loss) before income taxes $ 15 $ (294 ) $ 99 $ (172 ) * Software impairment of $ 51,000

REVENUE

REVENUE	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
REVENUE	NOTE 10— REVENUE The following table disaggregates the Company’s revenue for the six-month and three-month periods ended June 30, 2023 and 2022 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Six months ended June 30, 2023: PG Segment $ 1,237 $ 1,959 $ 3,196 CP Segment 396 130 526 Total Revenue $ 1,633 $ 2,089 $ 3,722 Hardware Monitoring Total Six months ended June 30, 2022: PG Segment $ 1,002 $ 1,823 $ 2,825 CP Segment 414 133 547 Total Revenue $ 1,416 $ 1,956 $ 3,372 Hardware Monitoring Total Three months ended June 30, 2023: PG Segment $ 688 $ 1,001 $ 1,689 CP Segment 220 64 284 Total Revenue $ 908 $ 1,065 $ 1,973 Hardware Monitoring Total Three months ended June 30, 2022: PG Segment $ 479 $ 901 $ 1,380 CP Segment 176 65 241 Total Revenue $ 655 $ 966 $ 1,621 Deferred revenue activity for the six months ended June 30, 2023 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2022 $ 3,751 $ 2,420 $ 6,171 Additions during the period 1,278 2,200 3,478 Recognized as revenue (1,192 ) (2,090 ) (3,282 ) Balance at June 30, 2023 $ 3,837 $ 2,530 $ 6,367 Amounts to be recognized as revenue in the twelve-month-period ending: June 30, 2024 $ 2,099 2,055 4,154 June 30, 2025 1,312 471 1,783 June 30, 2026 and thereafter 426 4 430 $ 3,837 2,530 6,367 Other revenue of $ 440,000 The amount of hardware revenue recognized during the six months ended June 30, 2023 that was included in deferred revenue at the beginning of the fiscal year was $ 1,018,000 1,472,000 Deferred charges relate only to the sale of equipment. Deferred charges activity for the six months ended June 30, 2023 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2022 $ 1,694 Additions, net of adjustments, during the period 496 Recognized as COGS (540 ) Balance at June 30, 2023 $ 1,650 Amounts to be recognized as COGS in the twelve-month-period ending: June 30, 2024 $ 917 June 30, 2025 563 June 30, 2026 and thereafter 170 $ 1,650 Data costs paid to AT&T and the COGS related to sales of upgrade kits, accessories and repairs of $ 376,000 The following table provides a reconciliation of the Company’s sales commissions contract assets for the six-month period ended June 30, 2023 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2022 $ 319 $ 80 $ 399 Additions during the period 115 30 145 Amortization of sales commissions (97 ) (17 ) (114 ) Balance at June 30, 2023 $ 337 93 430 The capitalized sales commissions are included in other current assets ($ 218,000 212,000 196,000 203,000 Amounts to be recognized as sales commission expense in the twelve-month-period ending: SCHEDULE OF SALES COMMISSIONS EXPENSE June 30, 2024 $ 218 June 30, 2025 145 June 30, 2026 and thereafter 67 Total $ 430 The contract assets of deferred COGS and deferred sales commissions are subject to review under ASU 2016-13, see Notes 2 and 4; however, no credit losses on contract assets are expected based on the Company’s implementation of ASU 2016-13.

RELATED PARTY BALANCES AND TRAN

RELATED PARTY BALANCES AND TRANSACTIONS	6 Months Ended
	Jun. 30, 2023
Related Party Transactions [Abstract]
RELATED PARTY BALANCES AND TRANSACTIONS	NOTE 11— RELATED PARTY BALANCES AND TRANSACTIONS Officer and Director Fees The Company recorded fees to officers of $ 261,000 261,000 131,000 131,000 The Company recorded fees to directors of $ 34,000 30,000 19,000 15,000 Intercompany The intercompany balance due to Acorn from OmniMetrix for amounts loaned, accrued interest and expenses paid by Acorn on OmniMetrix’s behalf was $ 3,112,000 3,677,000 565,000 692,000 89,000 38,000 During the six months ended June 30, 2022, the intercompany amount due to Acorn from OmniMetrix decreased by $ 556,000 780,000 89,000 38,000 97,000

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2023
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 consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. As applicable to these unaudited condensed consolidated financial statements, the most significant estimates and assumptions relate to uncertainties with respect to revenue recognition and management’s projections.
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 $ 1,573,000 at June 30, 2023. The Company does not believe there is a significant risk of non-performance by its counterparties. For the three- and six-month periods ended June 30, 2023, there was one customer (the same customer in both periods) that represented 21 % and 15 % of the Company’s total invoiced sales, respectively. At June 30, 2023, the Company had two customers that represented greater than 10 % of our accounts receivable with balances representing 25 % and 14 % of the Company’s total accounts receivable. As of August 8, 2023, we have collected 64 277,000 100 177,000 12 % of the accounts receivable at December 31, 2022 was due from one customer which was subsequently collected in full. 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. Although we do not believe there is significant risk of non-performance by these counterparties, any failures or defaults on their part could negatively impact the value of our financial instruments and could have a material adverse effect on our business, operations or financial condition.
Inventory	Inventory Inventories are comprised of components (raw materials), work-in-process and finished goods, which are measured at the lower of cost or net realizable value. Raw materials inventory is generally comprised of radios, cables, antennas, and electrical components. Finished goods inventory consists of fully assembled systems ready for final shipment to the customer. Costs are determined at cost of acquisition on a weighted average basis and include all outside production and applicable shipping costs. All inventories are periodically reviewed to identify slow-moving and obsolete inventory. Management conducted an assessment and wrote-off inventory carried at $ 8,000 5,000
Basic and Diluted Net Income (Loss) Per Share	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 period, 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. The dilutive effects of stock options are excluded from the computation of diluted net income (loss) per share if doing so would be antidilutive. For the six-month period ending June 30, 2023, the number of options that were excluded from the computation of diluted net loss, as they had an antidilutive effect, was 897,000 0.43 1,003,039 0.42 979,000 0.41 35,000 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 2023 2022 2023 2022 Six months ended June 30, Three months ended June 30, 2023 2022 2023 2022 Net income (loss) available to common stockholders $ 11 $ (346 ) $ 96 $ (223 ) Weighted average share outstanding: Basic 39,746 39,688 39,758 39,688 Add: Stock options 34 — 26 — Diluted 39,780 39,688 39,784 39,688 Basic and diluted net income (loss) per share $ 0.00 $ (0.01 ) $ 0.00 $ (0.01 )
Recently Adopted Accounting Standards	Recently Adopted Accounting Standards Other than the pronouncement noted below, there have been no recent accounting pronouncements or changes in accounting standards during the six-month period ended June 30, 2023 that would affect the Company’s financial statements. On January 1, 2023, the Company adopted ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This guidance was issued to provide financial statement users with more useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. Specifically, this guidance requires entities to utilize a new “expected loss” model as it relates to trade and other receivables. The adoption of the standard impacts the way the Company estimates the allowance for doubtful accounts on its trade and other receivables. Refer to Note 4, “Allowance for Credit Losses,” for further information regarding the Company’s allowance for expected credit losses.

ACCOUNTING POLICIES (Tables)

ACCOUNTING POLICIES (Tables)	6 Months Ended
	Jun. 30, 2023
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 2023 2022 2023 2022 Six months ended June 30, Three months ended June 30, 2023 2022 2023 2022 Net income (loss) available to common stockholders $ 11 $ (346 ) $ 96 $ (223 ) Weighted average share outstanding: Basic 39,746 39,688 39,758 39,688 Add: Stock options 34 — 26 — Diluted 39,780 39,688 39,784 39,688 Basic and diluted net income (loss) per share $ 0.00 $ (0.01 ) $ 0.00 $ (0.01 )

ALLOWANCE FOR CREDIT LOSSES (Ta

ALLOWANCE FOR CREDIT LOSSES (Tables)	6 Months Ended
	Jun. 30, 2023
Receivables [Abstract]
SCHEDULE OF ALLOWANCES FOR CREDIT LOSSES	The following is a tabular reconciliation of the Company’s allowance for credit losses: SCHEDULE OF ALLOWANCES FOR CREDIT LOSSES June 30, 2023 December 31, 2022 As of June 30, 2023 December 31, 2022 (in thousands) Balance at beginning of period $ 10 $ 6 Provision for credit losses 2 3 Net (charge-offs) credits (6 ) 1 Balance at end of period $ 6 $ 10

INVENTORY (Tables)

INVENTORY (Tables)	6 Months Ended
	Jun. 30, 2023
Inventory Disclosure [Abstract]
SCHEDULE OF INVENTORY	SCHEDULE OF INVENTORY June 30, 2023 December 31, 2022 As of June 30, 2023 December 31, 2022 (in thousands) Raw materials $ 729 $ 684 Finished goods 74 105 Inventory net $ 803 $ 789

LEASES (Tables)

LEASES (Tables)	6 Months Ended
	Jun. 30, 2023
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 Six Months Ending June 30, 2023 2022 Cash paid for operating lease liabilities $ 63 $ 62
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 2023 Weighted average remaining lease terms for operating leases 2.24
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS	The table below reconciles the undiscounted future minimum lease payments under non-cancelable lease agreements having initial terms of more than one year to the total operating lease liabilities recognized on the unaudited condensed consolidated balance sheet as of June 30, 2023 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Year ended June 30, 2024 $ 129 2025 131 2026 33 Total undiscounted cash flows 293 Less: Imputed interest (14 ) Present value of operating lease liabilities (a) $ 279 (a) Includes current portion of $ 119,000
SCHEDULE OF SUBLEASES	SCHEDULE OF SUBLEASES Year ended June 30, 2024 $ 28 2025 29 2026 7 Total undiscounted cash flows $ 64

EQUITY (Tables)

EQUITY (Tables)	6 Months Ended
	Jun. 30, 2023
Equity [Abstract]
SCHEDULE OF BLACK-SCHOLES OPTION PRICING ESTIMATE FAIR VALUE	SCHEDULE OF BLACK-SCHOLES OPTION PRICING ESTIMATE FAIR VALUE Number of Options (in shares) Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Outstanding at December 31, 2022 943,790 $ 0.42 4.3 $ 16,000 Granted 215,000 0.33 Exercised — — Forfeited or expired (20,501 ) 0.40 Outstanding at June 30, 2023 1,138,289 $ 0.40 4.5 $ 8,000 Exercisable at June 30, 2023 899,258 $ 0.41 4.0 $ 8,000
SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL	The fair value of the options granted of $ 46,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL Risk-free interest rate 3.9 % Expected term of options 4.1 Expected annual volatility 94.5 % Expected dividend yield — %
SUMMARY OF WARRANT ACTIVITY	The Company previously issued warrants at exercise prices equal to or greater than the 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 Average Exercise Price Per Share Weighted Average Remaining Contractual Life Outstanding at December 31, 2022 35,000 $ 0.13 2.5 Granted — — Exercised (35,000 ) 0.13 Forfeited or expired — — Outstanding at June 30, 2023 — $ — —

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	6 Months Ended
	Jun. 30, 2023
Segment Reporting [Abstract]
SUMMARY OF SEGMENTED DATA	The following tables represent segmented data for the six-month and three-month periods ended June 30, 2023 and 2022 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Six months ended June 30, 2023: Revenues from external customers $ 3,196 $ 526 $ 3,722 Segment gross profit 2,495 311 2,806 Depreciation and amortization 65 11 76 Segment income (loss) before income taxes $ 530 $ (40 ) $ 490 Six months ended June 30, 2022: Revenues from external customers $ 2,825 $ 547 $ 3,372 Segment gross profit 2,164 340 2,504 Depreciation and amortization 41 8 49 Segment income (loss) before income taxes* $ 262 $ (45 ) $ 217 Three months ended June 30, 2023: Revenues from external customers $ 1,689 $ 284 $ 1,973 Segment gross profit 1,316 174 1,490 Depreciation and amortization 32 6 38 Segment income before income taxes $ 331 $ 8 $ 339 Three months ended June 30, 2022: Revenues from external customers $ 1,380 $ 241 $ 1,621 Segment gross profit 1,091 155 1,246 Depreciation and amortization 24 5 29 Segment income (loss) before income taxes* $ 73 $ (24 ) $ 49 * Software impairment of $ 51,000
SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS	Reconciliation of Segment Income (Loss) to Consolidated Net Income (Loss) Before Income Taxes SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS 2023 2022 2023 2022 Six months ended June 30, Three months ended June 30, 2023 2022 2023 2022 Total net income before income taxes for reportable segments * $ 490 $ 217 $ 339 $ 49 Unallocated cost of corporate headquarters (475 ) (511 ) (240 ) (221 ) Consolidated net income (loss) before income taxes $ 15 $ (294 ) $ 99 $ (172 ) * Software impairment of $ 51,000

REVENUE (Tables)

REVENUE (Tables)	6 Months Ended
	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
SCHEDULE OF DISAGGREGATES OF REVENUE	The following table disaggregates the Company’s revenue for the six-month and three-month periods ended June 30, 2023 and 2022 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Six months ended June 30, 2023: PG Segment $ 1,237 $ 1,959 $ 3,196 CP Segment 396 130 526 Total Revenue $ 1,633 $ 2,089 $ 3,722 Hardware Monitoring Total Six months ended June 30, 2022: PG Segment $ 1,002 $ 1,823 $ 2,825 CP Segment 414 133 547 Total Revenue $ 1,416 $ 1,956 $ 3,372 Hardware Monitoring Total Three months ended June 30, 2023: PG Segment $ 688 $ 1,001 $ 1,689 CP Segment 220 64 284 Total Revenue $ 908 $ 1,065 $ 1,973 Hardware Monitoring Total Three months ended June 30, 2022: PG Segment $ 479 $ 901 $ 1,380 CP Segment 176 65 241 Total Revenue $ 655 $ 966 $ 1,621
SCHEDULE OF DEFERRED REVENUE ACTIVITY	Deferred revenue activity for the six months ended June 30, 2023 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2022 $ 3,751 $ 2,420 $ 6,171 Additions during the period 1,278 2,200 3,478 Recognized as revenue (1,192 ) (2,090 ) (3,282 ) Balance at June 30, 2023 $ 3,837 $ 2,530 $ 6,367 Amounts to be recognized as revenue in the twelve-month-period ending: June 30, 2024 $ 2,099 2,055 4,154 June 30, 2025 1,312 471 1,783 June 30, 2026 and thereafter 426 4 430 $ 3,837 2,530 6,367
SCHEDULE OF DEFERRED CHARGES ACTIVITY	Deferred charges relate only to the sale of equipment. Deferred charges activity for the six months ended June 30, 2023 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2022 $ 1,694 Additions, net of adjustments, during the period 496 Recognized as COGS (540 ) Balance at June 30, 2023 $ 1,650 Amounts to be recognized as COGS in the twelve-month-period ending: June 30, 2024 $ 917 June 30, 2025 563 June 30, 2026 and thereafter 170 $ 1,650
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, 2023 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2022 $ 319 $ 80 $ 399 Additions during the period 115 30 145 Amortization of sales commissions (97 ) (17 ) (114 ) Balance at June 30, 2023 $ 337 93 430
SCHEDULE OF SALES COMMISSIONS EXPENSE	Amounts to be recognized as sales commission expense in the twelve-month-period ending: SCHEDULE OF SALES COMMISSIONS EXPENSE June 30, 2024 $ 218 June 30, 2025 145 June 30, 2026 and thereafter 67 Total $ 430

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, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Accounting Policies [Abstract]
Net income (loss) available to common stockholders	$ 96	$ (223)	$ 11	$ (346)
Weighted average share outstanding:
Basic	39,758	39,688	39,746	39,688
Add: Stock options	26		34
Diluted	39,784	39,688	39,780	39,688
Basic net income (loss) per share	$ 0	$ (0.01)	$ 0	$ (0.01)
Diluted net income (loss) per share	$ 0	$ (0.01)	$ 0	$ (0.01)

ACCOUNTING POLICIES (Details Na

ACCOUNTING POLICIES (Details Narrative) - USD ($)			3 Months Ended		6 Months Ended		12 Months Ended
	Aug. 08, 2023	Jun. 30, 2023	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Product Information [Line Items]
Deposit Assets		$ 1,573,000	$ 1,573,000		$ 1,573,000
Inventory write off			$ 5,000		$ 8,000
Stock Options [Member]
Product Information [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount			1,003,039	979,000	897,000	979,000
Weighted average exercise price			0.42	0.41	0.43	0.41
Warrant [Member]
Product Information [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount				35,000		35,000
Weighted average exercise price				0.13		0.13
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | One Customer [Member]
Product Information [Line Items]
Concentration Risk, Percentage			21%		15%
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Two Customer [Member]
Product Information [Line Items]
Concentration Risk, Percentage					10%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | One Customer [Member]
Product Information [Line Items]
Concentration Risk, Percentage					25%		12%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Two Customer [Member]
Product Information [Line Items]
Concentration Risk, Percentage	64%	100%			14%
Outstanding amount	$ 277,000	$ 177,000

LIQUIDITY (Details Narrative)

LIQUIDITY (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Aug. 08, 2023	Dec. 31, 2022
Liquidity
Cash	$ 1,573,000
Working capital	389,000
Deferred revenue	4,154,000			$ 3,984,000
Net increase (decrease) in cash	123,000	$ (463,000)
Operating activities	155,000	(194,000)
Investing activities	37,000	269,000
Financing activities	5,000
Cash	$ 1,573,000		$ 1,738,000	$ 1,450,000

SCHEDULE OF ALLOWANCES FOR CRED

SCHEDULE OF ALLOWANCES FOR CREDIT LOSSES (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Receivables [Abstract]
Balance at beginning of period	$ 10	$ 6
Provision for credit losses	2	3
Net (charge-offs) credits	(6)	1
Balance at end of period	$ 6	$ 10

ALLOWANCE FOR CREDIT LOSSES (De

ALLOWANCE FOR CREDIT LOSSES (Details Narrative)	Jun. 30, 2023 USD ($)
Receivables [Abstract]
Gross receivables	$ 707,000
Allowances for credit losses	$ 6,000

SCHEDULE OF INVENTORY (Details)

SCHEDULE OF INVENTORY (Details) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Raw materials	$ 729	$ 684
Finished goods	74	105
Inventory net	$ 803	$ 789

INVENTORY (Details Narrative)

INVENTORY (Details Narrative) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Inventory valuation reserves	$ 4,000	$ 4,000	$ 4,000
Inventory write off	$ 5,000	$ 8,000

SCHEDULE OF SUPPLEMENTAL CASH F

SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Leases
Cash paid for operating lease liabilities	$ 63	$ 62

SCHEDULE OF SUPPLEMENTAL BALANC

SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES (Details)	Jun. 30, 2023
Leases
Weighted average remaining lease terms for operating leases	2 years 2 months 26 days

SCHEDULE OF FUTURE MINIMUM LEAS

SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details) $ in Thousands	Jun. 30, 2023 USD ($)
Leases
2024	$ 129
2025	131
2026	33
Total undiscounted cash flows	293
Less: Imputed interest	(14)
Present value of operating lease liabilities	$ 279	[1]
[1]Includes current portion of $ 119,000

SCHEDULE OF FUTURE MINIMUM LE_2

SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details) (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Leases
Operating leases current portion	$ 119	$ 116

SCHEDULE OF SUBLEASES (Details)

SCHEDULE OF SUBLEASES (Details) $ in Thousands	Jun. 30, 2023 USD ($)
Leases
2024	$ 28
2025	29
2026	7
Total undiscounted cash flows	$ 64

LEASES (Details Narrative)

LEASES (Details Narrative)			1 Months Ended	3 Months Ended		6 Months Ended
		Jul. 06, 2021 USD ($) ft²	Apr. 30, 2019	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Operating lease discount rate				4.50%		4.50%
Operating lease payments	[1]			$ 279,000		$ 279,000
Sublease payment		$ 2,375
Estimated sublease payments		6,100
Annual service cost		$ 2,220
King Industrial Reality Inc [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Office and production space | ft²		1,900
King Industrial Realty Inc [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Office and production space | ft²		21,000
Operating Lease Agreements [Member] | Omni Metrix Holdings, Inc. [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Lease description			The office equipment lease was entered into in April 2019 and has a sixty-month term
Operating lease payments				$ 32,000	$ 32,000	$ 63,000	$ 62,000
[1]Includes current portion of $ 119,000

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative)	6 Months Ended
	Jun. 30, 2023 USD ($)
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Operating lease obligations payable	$ 279,000	[1]
Master Services Agreement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Operating lease obligations payable	279,000
Operating leases and contractual services	41,000
Commitment payable	$ 631,000
[1]Includes current portion of $ 119,000

SCHEDULE OF BLACK-SCHOLES OPTIO

SCHEDULE OF BLACK-SCHOLES OPTION PRICING ESTIMATE FAIR VALUE (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
Equity [Abstract]
Number of Options (in shares), Outstanding at beginning of year	943,790
Weighted Average Exercise Price Per Share, Outstanding at beginning of year	$ 0.42
Weighted average remaining contractual life at end	4 years 6 months	4 years 3 months 18 days
Aggregate intrinsic value at beginning of year	$ 16,000
Number of Options (in shares), Granted	215,000
Weighted Average Exercise Price Per Share, Granted	$ 0.33
Number of Options (in shares), Exercised
Weighted Average Exercise Price Per Share, Exercised
Number of Options (in shares), Forfeited or expired	(20,501)
Weighted Average Exercise Price Per Share, Forfeited or expired	$ 0.40
Number of Options (in shares), Outstanding at end of year	1,138,289	943,790
Weighted Average Exercise Price Per Share, Outstanding at end of year	$ 0.40	$ 0.42
Aggregate intrinsic value at end of year	$ 8,000	$ 16,000
Number of Options (in shares), Exercisable at end of year	899,258
Weighted Average Exercise Price Per Share, Exercisable at end of year	$ 0.41
Weighted average remaining contractual life at exercisable at end of year	4 years
Aggregate intrinsic value, Exercisable at end of year	$ 8,000

SCHEDULE OF STOCK OPTIONS FAIR

SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES PRICING MODEL (Details)	6 Months Ended
	Jun. 30, 2023
Equity [Abstract]
Risk-free interest rate	3.90%
Expected term of options, in years	4 years 1 month 6 days
Expected annual volatility	94.50%
Expected dividend yield

SUMMARY OF WARRANT ACTIVITY (De

SUMMARY OF WARRANT ACTIVITY (Details) - Warrant [Member] - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2023	Dec. 31, 2022
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 begining		2 months 15 days
Number of Warrants (in Shares), Granted
Weighted Average Exercise Price Per Share, Granted
Number of Warrants (in Shares), Exercised	(35,000)
Weighted Average Exercise Price Per Share, Exercised	$ 0.13
Number of Warrants (in Shares), Forfeited or expired
Weighted Average Exercise Price Per Share, Forfeited or expired
Number of Warrants (in Shares), Outstanding at end balance		35,000
Weighted Average Exercise Price Per Share, Outstanding at end balance		$ 0.13

EQUITY (Details Narrative)

EQUITY (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Common stock, shares issued	39,757,589		39,757,589		39,722,589
Common stock, shares outstanding	39,757,589		39,757,589		39,722,589
Common stock, par value	$ 0.01		$ 0.01		$ 0.01
Number of options granted during period			215,000
Intrinsic value of options outstanding	$ 8,000		$ 8,000		$ 16,000
Intrinsic value of options exercisable	8,000		8,000
Fair value of options granted			46,000
Compensation cost, non-vested awards not yet recognized	43,000	$ 59,000	43,000	$ 59,000
Selling, General and Administrative Expenses [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock based compensation expense	13,000	$ 22,000	30,000	$ 53,000
Options Held [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Intrinsic value of options outstanding	8,000		8,000
Intrinsic value of options exercisable	$ 8,000		$ 8,000
Share-Based Payment Arrangement, Employee [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period			25,000
Share-Based Payment Arrangement, Nonemployee [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	0		0
Non-Employee Directors [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	110,000		215,000
Director [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period			55,000
Chief Executive Officer [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period			35,000
Chief Financial Officer [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period			100,000
Amended and Restated 2006 Stock Incentive Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options available for grant	1,240,351		1,240,351

SUMMARY OF SEGMENTED DATA (Deta

SUMMARY OF SEGMENTED DATA (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022		Jun. 30, 2023	Jun. 30, 2022
Segment Reporting Information [Line Items]
Revenue from external customers	$ 1,973	$ 1,621		$ 3,722	$ 3,372
Segment gross profit	1,490	1,246		2,806	2,504
Depreciation and amortization	38	29		76	49
Segment income (loss) before income taxes	339	49	[1]	490	217	[1]
Software impairment				8
Software [Member]
Segment Reporting Information [Line Items]
Software impairment		51,000			51,000
PG [Member]
Segment Reporting Information [Line Items]
Revenue from external customers	1,689	1,380		3,196	2,825
Segment gross profit	1,316	1,091		2,495	2,164
Depreciation and amortization	32	24		65	41
Segment income (loss) before income taxes	331	73	[1]	530	262	[1]
CP [Member]
Segment Reporting Information [Line Items]
Revenue from external customers	284	241		526	547
Segment gross profit	174	155		311	340
Depreciation and amortization	6	5		11	8
Segment income (loss) before income taxes	$ 8	$ (24)	[1]	$ (40)	$ (45)	[1]
[1]Software impairment of $ 51,000

SUMMARY OF SEGMENTED DATA (De_2

SUMMARY OF SEGMENTED DATA (Details) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Line Items]
Software impairment		$ 8
Software [Member]
Property, Plant and Equipment [Line Items]
Software impairment	$ 51,000		$ 51,000

SCHEDULE OF RECONCILIATION OF S

SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Segment Reporting [Abstract]
Total net income before income taxes for reportable segments	[1]	$ 339	$ 49	$ 490	$ 217
Unallocated cost of corporate headquarters		(240)	(221)	(475)	(511)
Consolidated net income (loss) before income taxes		$ 99	$ (172)	$ 15	$ (294)
[1]Software impairment of $ 51,000

SCHEDULE OF RECONCILIATION OF_2

SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS (Details) (Paranthetical) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Line Items]
Software impairment		$ 8
Software [Member]
Property, Plant and Equipment [Line Items]
Software impairment	$ 51,000		$ 51,000

SCHEDULE OF DISAGGREGATES OF RE

SCHEDULE OF DISAGGREGATES OF REVENUE (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Disaggregation of Revenue [Line Items]
Total Revenue	$ 1,973	$ 1,621	$ 3,722	$ 3,372
PG [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	1,689	1,380	3,196	2,825
CP [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	284	241	526	547
Hardware [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	908	655	1,633	1,416
Hardware [Member] | PG [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	688	479	1,237	1,002
Hardware [Member] | CP [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	220	176	396	414
Monitoring [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	1,065	966	2,089	1,956
Monitoring [Member] | PG [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	1,001	901	1,959	1,823
Monitoring [Member] | CP [Member]
Disaggregation of Revenue [Line Items]
Total Revenue	$ 64	$ 65	$ 130	$ 133

SCHEDULE OF DEFERRED REVENUE AC

SCHEDULE OF DEFERRED REVENUE ACTIVITY (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($)
Disaggregation of Revenue [Line Items]
Balance at December 31, 2022	$ 6,171
Additions during the period	3,478
Recognized as revenue	(3,282)
Balance at June 30, 2023	6,367
June 30, 2024	4,154
June 30, 2025	1,783
June 30, 2026 and thereafter	430
Total	6,367
Hardware [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2022	3,751
Additions during the period	1,278
Recognized as revenue	(1,192)
Balance at June 30, 2023	3,837
June 30, 2024	2,099
June 30, 2025	1,312
June 30, 2026 and thereafter	426
Total	3,837
Monitoring [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2022	2,420
Additions during the period	2,200
Recognized as revenue	(2,090)
Balance at June 30, 2023	2,530
June 30, 2024	2,055
June 30, 2025	471
June 30, 2026 and thereafter	4
Total	$ 2,530

SCHEDULE OF DEFERRED CHARGES AC

SCHEDULE OF DEFERRED CHARGES ACTIVITY (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($)
Revenue from Contract with Customer [Abstract]
Balance at December 31, 2022	$ 1,694
Additions, net of adjustments, during the period	496
Recognized as COGS	(540)
Balance at June 30, 2023	1,650
June 30, 2024	917
June 30, 2025	563
June 30, 2026 and thereafter	170
Total	$ 1,650

SCHEDULE OF SALES COMMISSIONS C

SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2023 USD ($)
Disaggregation of Revenue [Line Items]
Balance at December 31, 2022	$ 399
Additions during the period	145
Amortization of sales commissions	(114)
Balance at June 30, 2023	430
Hardware [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2022	319
Additions during the period	115
Amortization of sales commissions	(97)
Balance at June 30, 2023	337
Monitoring [Member]
Disaggregation of Revenue [Line Items]
Balance at December 31, 2022	80
Additions during the period	30
Amortization of sales commissions	(17)
Balance at June 30, 2023	$ 93

SCHEDULE OF SALES COMMISSIONS E

SCHEDULE OF SALES COMMISSIONS EXPENSE (Details) $ in Thousands	Jun. 30, 2023 USD ($)
Revenue from Contract with Customer [Abstract]
June 30, 2024	$ 218
June 30, 2025	145
June 30, 2026 and thereafter	67
Total	$ 430

REVENUE (Details Narrative)

REVENUE (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Disaggregation of Revenue [Line Items]
Revenue	$ 1,973,000	$ 1,621,000	$ 3,722,000	$ 3,372,000
Data costs (COGS)	483,000	375,000	916,000	868,000
Other current assets	398,000		398,000		$ 288,000
Capitalized Sales Commissions [Member]
Disaggregation of Revenue [Line Items]
Other current assets	218,000		218,000		196,000
Other assets	212,000		212,000		$ 203,000
Other Revenue Related to Accessories, Repairs and Other Miscellaneous Charges [Member]
Disaggregation of Revenue [Line Items]
Revenue			440,000
Hardware [Member]
Disaggregation of Revenue [Line Items]
Revenue	908,000	655,000	1,633,000	1,416,000
Deferred revenue recognized			1,018,000
Monitoring [Member]
Disaggregation of Revenue [Line Items]
Revenue	$ 1,065,000	$ 966,000	2,089,000	$ 1,956,000
Deferred revenue recognized			1,472,000
Upgrade Kits Accessories and Repairs [Member]
Disaggregation of Revenue [Line Items]
Data costs (COGS)			$ 376,000

RELATED PARTY BALANCES AND TR_2

RELATED PARTY BALANCES AND TRANSACTIONS (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Related Party [Member]
Related Party Transaction [Line Items]
Accrued interest and expenses	$ 3,112,000		$ 3,112,000		$ 3,677,000
Related party expenses paid				$ 97,000
OmniMetrix, LLC [Member]
Related Party Transaction [Line Items]
Increase decrease in related parties			565,000	556,000
Debt repayment			692,000	780,000
Interest			89,000	89,000
Dividends			38,000	38,000
Officer [Member]
Related Party Transaction [Line Items]
Consulting and other fees to officer	131,000	$ 131,000	261,000	261,000
Director [Member]
Related Party Transaction [Line Items]
Consulting and other fees to directors	$ 19,000	$ 15,000	$ 34,000	$ 30,000