Acorn Energy (ACFN) 10-Q 9 May 24 2024 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Mar. 31, 2024	May 07, 2024
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Mar. 31, 2024
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2024
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	770
Local Phone Number	209-0012
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		2,487,307

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Current assets:
Cash	$ 1,417	$ 1,449
Accounts receivable, net	487	536
Inventory, net	788	962
Deferred cost of goods sold (COGS)	709	809
Other current assets	285	280
Total current assets	3,686	4,036
Property and equipment, net	544	570
Right-of-use assets, net	166	193
Deferred COGS	341	476
Other assets	142	174
Total assets	4,879	5,449
Current liabilities:
Accounts payable	208	288
Accrued expenses	124	132
Deferred revenue	3,823	4,034
Current operating lease liabilities	124	123
Other current liabilities	27	30
Total current liabilities	4,306	4,607
Long-term liabilities:
Deferred revenue	1,205	1,550
Noncurrent operating lease liabilities	66	98
Other long-term liabilities	21	20
Total liabilities	5,598	6,275
Acorn Energy, Inc. stockholders
Common stock - $0.01 par value per share: 42,000,000 shares authorized, 2,537,485 and 2,534,969 shares issued at March 31, 2024 and December 31, 2023, respectively, and 2,487,307 and 2,484,791 shares outstanding at March 31, 2024 and December 31, 2023, respectively	25	25
Additional paid-in capital	103,361	103,321
Accumulated stockholders’ deficit	(101,083)	(101,148)
Treasury stock, at cost – 50,178 shares at March 31, 2024 and December 31, 2023	(3,036)	(3,036)
Total Acorn Energy, Inc. stockholders’ deficit	(733)	(838)
Non-controlling interests	14	12
Total deficit	(719)	(826)
Total liabilities and deficit	$ 4,879	$ 5,449

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2024	Dec. 31, 2023
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	2,537,485	2,534,969
Common stock, shares outstanding	2,487,307	2,484,791
Treasury stock, common shares	50,178	50,178

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands		3 Months Ended
		Mar. 31, 2024	Mar. 31, 2023
Income Statement [Abstract]
Revenue		$ 2,132	$ 1,749
COGS		541	433
Gross profit		1,591	1,316
Operating expenses:
Research and development expenses (R&D)		238	214
Selling, general and administrative (SG&A) expenses		1,275	1,197
Total operating expenses		1,513	1,411
Operating income (loss)		78	(95)
Interest income, net		15	11
Income (loss) before income taxes		93	(84)
Income tax expense		25
Net income (loss)		68	(84)
Non-controlling interest share of income		(3)	(1)
Net income (loss) attributable to Acorn Energy, Inc. stockholders		$ 65	$ (85)
Basic and diluted net income (loss) per share attributable to Acorn Energy, Inc. stockholders:
Net income (loss) per share -basic	[1]	$ 0.03	$ (0.03)
Net income (loss) per share -diluted	[1]	$ 0.03	$ (0.03)
Weighted average number of shares outstanding attributable to Acorn Energy, Inc. stockholders – basic and diluted:
Basic	[1]	2,486	2,483
Diluted	[1]	2,494	2,483
[1]As adjusted to reflect the September 2023 1-for-16

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Operations (Unaudited) (Parenthetical)	Sep. 05, 2023
Income Statement [Abstract]
Reverse stock split	1-for-16

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Deficit (Unaudited) - USD ($) $ in Thousands		Total	Common Stock [Member]		Additional Paid-in Capital [Member]	[1]	Retained Earnings [Member]	Treasury Stock, Common [Member]		Parent [Member]	Noncontrolling Interest [Member]
Balance at Dec. 31, 2022		$ (1,011)	$ 25	[1]	$ 103,261		$ (101,267)	$ (3,036)		$ (1,017)	$ 6
Balance, shares at Dec. 31, 2022	[1]		2,482,000					50,000
Net loss		(84)		[1]			(85)			(85)	1
Proceeds from warrant exercise		5		[1],[2]	5					5
Proceeds from warrant exercise, shares	[1]		2,000
Accrued dividend in OmniMetrix preferred shares		(1)		[1]							(1)
Stock-based compensation		17		[1]	17					17
Balance at Mar. 31, 2023		(1,074)	$ 25	[1]	103,283		(101,352)	$ (3,036)		(1,080)	6
Balance, shares at Mar. 31, 2023			2,484,000					50,000	[1]
Balance at Dec. 31, 2023		(826)	$ 25	[1]	103,321		(101,148)	$ (3,036)		(838)	12
Balance, shares at Dec. 31, 2023	[1]		2,484,000					50,000
Net loss		68		[1]			65			65	3
Proceeds from stock option exercise		$ 13		[1],[2]	13					13
Proceeds from stock option exercise, shares		2,812	3,000	[2]
Accrued dividend in OmniMetrix preferred shares		$ (1)		[1]							(1)
Stock-based compensation		27		[1]	27					27
Balance at Mar. 31, 2024		$ (719)	$ 25	[1]	$ 103,361		$ (101,083)	$ (3,036)		$ (733)	$ 14
Balance, shares at Mar. 31, 2024			2,487,000					50,000	[1]
[1]As adjusted to account for the September 2023 1-for-16

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Changes in Deficit (Unaudited) (Parenthetical)	Sep. 05, 2023
Equity [Abstract]
Reverse stock split	1-for-16

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Cash flows used in operating activities:
Net income (loss)	$ 68,000	$ (84,000)
Depreciation and amortization	28,000	38,000
(Decrease) increase in the provision for credit loss	(7,000)	2,000
Impairment of inventory	9,000	3,000
Non-cash lease expense	32,000	31,000
Stock-based compensation	27,000	17,000
Change in operating assets and liabilities:
Decrease (increase) in accounts receivable	56,000	(176,000)
Decrease (increase) in inventory	165,000	(18,000)
Decrease in deferred COGS	235,000	37,000
Decrease (increase) in other current assets and other assets	27,000	(20,000)
(Decrease) increase in deferred revenue	(556,000)	45,000
Decrease in operating lease liability	(36,000)	(33,000)
(Decrease) increase in accounts payable, accrued expenses, other current liabilities and non-current liabilities	(91,000)	75,000
Net cash used in operating activities	(43,000)	(83,000)
Cash flows used in investing activities:
Investments in technology	(2,000)	(26,000)
Net cash used in investing activities	(2,000)	(26,000)
Cash flows provided by financing activities:
Stock option exercise proceeds	13,000
Warrant exercise proceeds		5,000
Net cash provided by financing activities	13,000	5,000
Net decrease in cash	(32,000)	(104,000)
Cash at the beginning of the period	1,449,000	1,450,000	$ 1,450,000
Cash at the end of the period	1,417,000	1,346,000	$ 1,449,000
Cash paid during the year for:
Interest	1,000
Income taxes	2,000
Non-cash investing and financing activities:
Accrued preferred dividends to former CEO of OmniMetrix	$ 1,000	$ 1,000

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Mar. 31, 2024
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. (“Acorn”) and its subsidiaries, OmniMetrix, LLC (“OmniMetrix”) and OMX Holdings, Inc. (collectively, with Acorn and OmniMetrix, “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. The December 31, 2023 consolidated balance sheet data were derived from audited financial statements but do not include all disclosures required by accounting principles generally accepted in the United States of America. 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 periods ended March 31, 2024 and 2023 are not necessarily indicative of the results that may be expected for the year ending December 31, 2024. All dollar amounts, except per share data, 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, 2023, filed with the Securities and Exchange Commission on March 7, 2024. Reverse Stock Split On September 5, 2023, the Board of Directors of Acorn approved a Certificate of Amendment to Acorn’s Restated Certificate of Incorporation (the “Certificate of Amendment”) that provided for a 1-for-16 347

ACCOUNTING POLICIES

ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2024
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. 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 $ 1,417,000 10 13 25 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 conducts an assessment at each reporting period of the Company’s inventory reserve and writes-off inventory when the items are deemed obsolete. Revenue Recognition The Company’s revenue recognition policy is consistent with applicable revenue recognition guidance and interpretations. The core principle of Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers Revenue from sales of the hardware products that are distinct products are recorded when shipped while the revenue from sales of the hardware products (product versions sold prior to September 1, 2023) that were not separable from the Company’s monitoring services was deferred and amortized over the estimated unit life. Revenue from the prepayment of monitoring fees (generally paid twelve months in advance) are recorded as deferred revenue upon receipt of payment from the customer and then amortized to revenue over the monitoring service period. See Notes 9 and 10 for the disaggregation of the Company’s revenue for the periods presented. Any sales tax, value added tax, and other tax the Company collects concurrent with revenue producing activities are excluded from revenue. Income Taxes The Company and its subsidiaries are subject to U.S. federal income tax and income taxes imposed in the state and local jurisdictions where it operates its businesses. Deferred income taxes are determined using the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which these temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in the tax rates is recognized in income in the period that includes the enactment date. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will be realized. The income tax expense in the three-month period ended March 31, 2024 represents the estimated state tax of various states on the 2023 income of OmniMetrix. 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 and warrants. The dilutive effects of stock options and warrants are excluded from the computation of diluted net income (loss) per share if doing so would be antidilutive. The combined 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 34,000 7.77 65,000 6.56 The following data represents the amounts used in computing earnings per share and the effect on net income (loss) and the weighted average number of shares of dilutive potential common stock (as adjusted to account for the September 2023 1-for-16 reverse stock split) (in thousands, except per share data): SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES 2024 2023 Three months ended 2024 2023 Net income (loss) attributable to common stockholders $ 65 $ (85 ) Weighted average shares outstanding: -Basic 2,486 2,483 Add: Stock options 8 — -Diluted 2,494 2,483 Basic and diluted net income (loss) per share $ 0.03 $ (0.03 ) Recent Accounting Pronouncements In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires disaggregated information about a reporting entity’s effective tax rate reconciliation, as well as information related to income taxes paid to enhance the transparency and decision usefulness of income tax disclosures. This ASU will be effective for the annual period ending December 31, 2025. The Company is currently evaluating the timing and impacts of adoption of this ASU.

LIQUIDITY

LIQUIDITY	3 Months Ended
	Mar. 31, 2024
Liquidity
LIQUIDITY	NOTE 3— LIQUIDITY As of March 31, 2024, the Company had $ 1,417,000 At March 31, 2024, the Company had a negative working capital of $ 620,000 1,417,000 3,823,000 556,000 5,584,000 5,028,000 32,000 43,000 2,000 13,000 As of May 7, 2024, the Company had cash of $ 1,455,000

ALLOWANCE FOR CREDIT LOSSES

ALLOWANCE FOR CREDIT LOSSES	3 Months Ended
	Mar. 31, 2024
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 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, 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 customer’s ability to pay. These factors include the customer’s 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 March 31, 2024, the Company had gross receivables of $ 493,000 6,000 The following is a tabular reconciliation of the Company’s allowance for credit losses: SCHEDULE OF ALLOWANCES FOR CREDIT LOSSES March 31, 2024 December 31, 2023 As of March 31, 2024 December 31, 2023 (in thousands) Balance at beginning of period $ 10 $ 10 Provision for credit losses adjustment (7 ) 2 Net credits (charge-offs) 3 (2 ) Balance at end of period $ 6 $ 10

INVENTORY

INVENTORY	3 Months Ended
	Mar. 31, 2024
Inventory Disclosure [Abstract]
INVENTORY	NOTE 5— INVENTORY SCHEDULE OF INVENTORY March 31, 2024 December 31, 2023 As of March 31, 2024 December 31, 2023 (in thousands) Raw materials $ 720 $ 904 Finished goods 68 58 Inventory net $ 788 $ 962 At March 31, 2024 and December 31, 2023, the Company’s inventory reserve was $ 9,000 8,000

LEASES

LEASES	3 Months Ended
	Mar. 31, 2024
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 had a sixty-month term. This lease is currently month-to-month until the Company negotiates a new term. Operating lease payments for the three-month periods ended March 31, 2024 and 2023 were $ 32,000 and $ 31,000 , respectively. The present value of future minimum lease payments on non-cancelable operating leases as of March 31, 2024 using a discount rate of 4.5 % is $ 190,000 . The 4.5 % discount rate used was the estimated incremental borrowing rate when the lease was entered into, which, as defined in ASC 842: 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, 2024 2023 Cash paid for operating lease liabilities $ 32 $ 31 Supplemental balance sheet information related to leases consisted of the following: SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES 2024 Weighted average remaining lease terms for operating leases 1.5 The table below reconciles the undiscounted future minimum lease payments under non-cancelable lease agreements having initial terms in excess of one year to the total operating lease liabilities recognized on the unaudited condensed consolidated balance sheet as of March 31, 2024 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Year ended 2025 $ 129 2026 67 Total undiscounted cash flows 196 Less: Imputed interest (6 ) Present value of operating lease liabilities (a) $ 190 (a) Includes current portion of $ 124,000 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 2,000 2,750 SCHEDULE OF SUBLEASES Year ended 2025 $ 29 2026 14 Total undiscounted cash flows $ 43

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2024
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 7— COMMITMENTS AND CONTINGENCIES The Company has $ 190,000 622,000 252,000 220,000 150,000 299,000

STOCKHOLDERS_ DEFICIT

STOCKHOLDERS’ DEFICIT	3 Months Ended
	Mar. 31, 2024
Equity [Abstract]
STOCKHOLDERS’ DEFICIT	NOTE 8— STOCKHOLDERS’ DEFICIT (a) General At March 31, 2024, Acorn had 2,537,485 2,487,307 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 March 31, 2024, 68,869 During the three-month period ended March 31, 2024, 7,900 2,500 2,200 2,200 1,000 no During the three-month period ended March 31, 2024, 2,812 SCHEDULE OF BLACK-SCHOLES OPTION PRICING ESTIMATE FAIR VALUE Number of Options (in shares) Weighted Average Exercise Price Per Weighted Aggregate Outstanding at December 31, 2023 71,893 $ 6.41 3.8 $ 40,000 Granted 7,900 6.08 Exercised (2,812 ) 5.12 Forfeited or expired — — Outstanding at March 31, 2024 76,981 $ 6.42 4.0 $ 85,000 Exercisable at March 31, 2024 66,106 $ 6.46 3.6 $ 74,000 The fair value of the options granted of $ 47,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES Risk-free interest rate 3.92 % Expected term of options 4.9 Expected annual volatility 194.1 % Expected dividend yield — % (c) Stock Option Compensation Expense Stock option compensation expense included in selling, general and administrative expenses in the Company’s unaudited condensed consolidated statements of operations was $ 27,000 17,000 The total compensation cost related to non-vested awards not yet recognized was $ 45,000

SEGMENT REPORTING

SEGMENT REPORTING	3 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
SEGMENT REPORTING	NOTE 9— SEGMENT REPORTING As of March 31, 2024, 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 three-month periods ended March 31, 2024 and 2023 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Three months ended March 31, 2024: Revenues from external customers $ 1,794 $ 338 $ 2,132 Segment gross profit 1,398 193 1,591 Depreciation and amortization 24 4 28 Segment income (loss) before income taxes $ 416 $ (18 ) $ 398 Three months ended March 31, 2023: Revenues from external customers $ 1,507 $ 242 $ 1,749 Segment gross profit 1,179 137 1,316 Depreciation and amortization 33 5 38 Segment income (loss) before income taxes $ 199 $ (48 ) $ 151 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 Income (Loss) Before Income Taxes SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS 2024 2023 Three months ended March 31, 2024 2023 (in thousands) Total net income before income taxes for reportable segments $ 398 $ 151 Unallocated cost of corporate headquarters (305 ) (235 ) Consolidated net income (loss) before income taxes $ 93 $ (84 )

REVENUE

REVENUE	3 Months Ended
	Mar. 31, 2024
Schedule Of Deferred Charges Activity
REVENUE	NOTE 10— REVENUE The following table disaggregates the Company’s revenue for the three-month periods ended March 31, 2024 and 2023 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Three months ended March 31, 2024: PG Segment $ 753 $ 1,041 $ 1,794 CP Segment 277 61 338 Total Revenue $ 1,030 $ 1,102 $ 2,132 Hardware Monitoring Total Three months ended March 31, 2023: PG Segment $ 549 $ 958 $ 1,507 CP Segment 176 66 242 Total Revenue $ 725 $ 1,024 $ 1,749 Deferred revenue activity for the three-month period ended March 31, 2024 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2023 $ 2,965 $ 2,619 $ 5,584 Additions during the period — 1,081 1,081 Recognized as revenue (535 ) (1,102 ) (1,637 ) Balance at March 31, 2024 $ 2,430 $ 2,598 $ 5,028 Amounts to be recognized as revenue in the twelve-month-period ending: March 31, 2025 $ 1,621 $ 2,202 $ 3,823 March 31, 2026 751 393 1,144 March 31, 2027 and thereafter 58 3 61 Total $ 2,430 $ 2,598 $ 5,028 The amount of hardware revenue recognized during the three-month period ended March 31, 2024 that was included in deferred revenue at the beginning of the fiscal year was $ 535,000 954,000 The following table provides a reconciliation of the Company’s hardware revenue for the three-month periods ended March 31, 2024 and 2023 (in thousands): SCHEDULE OF RECONCILIATION OF HARDWARE REVENUE Reconciliation of Hardware Revenue 2024 2023 Three months ended March 31, Reconciliation of Hardware Revenue 2024 2023 Amortization of deferred revenue $ 535 $ 585 Hardware sales (new product versions) 376 — Other accessories, services, shipping and miscellaneous charges 119 140 Total hardware revenue $ 1,030 $ 725 Deferred COGS relate only to the sale of equipment. Deferred COGS activity for the three-month period ended March 31, 2024 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2023 $ 1,285 Additions, net of adjustments, during the period — Recognized as cost of sales (235 ) Balance at March 31, 2024 $ 1,050 Amounts to be recognized as COGS in the twelve-month-period ending: March 31, 2025 $ 709 March 31, 2026 316 March 31, 2027 and thereafter 25 $ 1,050 The following table provides a reconciliation of the Company’s COGS expense for the three-month periods ended March 31, 2024 and 2023 (in thousands): SCHEDULE OF RECONCILIATION OF COGS EXPENSE Reconciliation of COGS Expense 2024 2023 Three months ended March 31, Reconciliation of COGS Expense 2024 2023 Amortization of deferred COGS $ 235 $ 268 COGS of hardware sales (new product versions) 163 — Data costs for monitoring 62 75 Other COGS of accessories, services, shipping and miscellaneous charges 81 90 Total COGS expense $ 541 $ 433 The following table provides a reconciliation of the Company’s sales commissions contract assets for the three-month period ended March 31, 2024 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2023 $ 268 $ 96 $ 364 Additions during the period — 8 8 Amortization of sales commissions (48 ) (10 ) (58 ) Balance at March 31, 2024 $ 220 $ 94 $ 314 The capitalized sales commissions are included in other current assets ($ 184,000 130,000 202,000 162,000 Amounts to be recognized as sales commission expense in the twelve-month-period ending (in thousands): SCHEDULE OF SALES COMMISSIONS EXPENSE March 31, 2025 $ 184 March 31, 2026 101 March 31, 2027 and thereafter 29 Total $ 314

RELATED PARTY BALANCES AND TRAN

RELATED PARTY BALANCES AND TRANSACTIONS	3 Months Ended
	Mar. 31, 2024
Related Party Transactions [Abstract]
RELATED PARTY BALANCES AND TRANSACTIONS	NOTE 11— RELATED PARTY BALANCES AND TRANSACTIONS Officer and Director Fees The Company recorded consulting service fees to officers of $ 134,000 130,000 The Company recorded fees to directors of $ 18,000 15,000

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2024
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.
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 $ 1,417,000 10 13 25
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 conducts an assessment at each reporting period of the Company’s inventory reserve and writes-off inventory when the items are deemed obsolete.
Revenue Recognition	Revenue Recognition The Company’s revenue recognition policy is consistent with applicable revenue recognition guidance and interpretations. The core principle of Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers Revenue from sales of the hardware products that are distinct products are recorded when shipped while the revenue from sales of the hardware products (product versions sold prior to September 1, 2023) that were not separable from the Company’s monitoring services was deferred and amortized over the estimated unit life. Revenue from the prepayment of monitoring fees (generally paid twelve months in advance) are recorded as deferred revenue upon receipt of payment from the customer and then amortized to revenue over the monitoring service period. See Notes 9 and 10 for the disaggregation of the Company’s revenue for the periods presented. Any sales tax, value added tax, and other tax the Company collects concurrent with revenue producing activities are excluded from revenue.
Income Taxes	Income Taxes The Company and its subsidiaries are subject to U.S. federal income tax and income taxes imposed in the state and local jurisdictions where it operates its businesses. Deferred income taxes are determined using the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which these temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in the tax rates is recognized in income in the period that includes the enactment date. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will be realized. The income tax expense in the three-month period ended March 31, 2024 represents the estimated state tax of various states on the 2023 income of OmniMetrix.
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 and warrants. The dilutive effects of stock options and warrants are excluded from the computation of diluted net income (loss) per share if doing so would be antidilutive. The combined 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 34,000 7.77 65,000 6.56 The following data represents the amounts used in computing earnings per share and the effect on net income (loss) and the weighted average number of shares of dilutive potential common stock (as adjusted to account for the September 2023 1-for-16 reverse stock split) (in thousands, except per share data): SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES 2024 2023 Three months ended 2024 2023 Net income (loss) attributable to common stockholders $ 65 $ (85 ) Weighted average shares outstanding: -Basic 2,486 2,483 Add: Stock options 8 — -Diluted 2,494 2,483 Basic and diluted net income (loss) per share $ 0.03 $ (0.03 )
Recent Accounting Pronouncements	Recent Accounting Pronouncements In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires disaggregated information about a reporting entity’s effective tax rate reconciliation, as well as information related to income taxes paid to enhance the transparency and decision usefulness of income tax disclosures. This ASU will be effective for the annual period ending December 31, 2025. The Company is currently evaluating the timing and impacts of adoption of this ASU.

ACCOUNTING POLICIES (Tables)

ACCOUNTING POLICIES (Tables)	3 Months Ended
	Mar. 31, 2024
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 earnings per share and the effect on net income (loss) and the weighted average number of shares of dilutive potential common stock (as adjusted to account for the September 2023 1-for-16 reverse stock split) (in thousands, except per share data): SCHEDULE OF EFFECT ON NET INCOME LOSS AND WEIGHTED AVERAGE NUMBER OF SHARES 2024 2023 Three months ended 2024 2023 Net income (loss) attributable to common stockholders $ 65 $ (85 ) Weighted average shares outstanding: -Basic 2,486 2,483 Add: Stock options 8 — -Diluted 2,494 2,483 Basic and diluted net income (loss) per share $ 0.03 $ (0.03 )

ALLOWANCE FOR CREDIT LOSSES (Ta

ALLOWANCE FOR CREDIT LOSSES (Tables)	3 Months Ended
	Mar. 31, 2024
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 March 31, 2024 December 31, 2023 As of March 31, 2024 December 31, 2023 (in thousands) Balance at beginning of period $ 10 $ 10 Provision for credit losses adjustment (7 ) 2 Net credits (charge-offs) 3 (2 ) Balance at end of period $ 6 $ 10

INVENTORY (Tables)

INVENTORY (Tables)	3 Months Ended
	Mar. 31, 2024
Inventory Disclosure [Abstract]
SCHEDULE OF INVENTORY	SCHEDULE OF INVENTORY March 31, 2024 December 31, 2023 As of March 31, 2024 December 31, 2023 (in thousands) Raw materials $ 720 $ 904 Finished goods 68 58 Inventory net $ 788 $ 962

LEASES (Tables)

LEASES (Tables)	3 Months Ended
	Mar. 31, 2024
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, 2024 2023 Cash paid for operating lease liabilities $ 32 $ 31
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 2024 Weighted average remaining lease terms for operating leases 1.5
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS	The table below reconciles the undiscounted future minimum lease payments under non-cancelable lease agreements having initial terms in excess of one year to the total operating lease liabilities recognized on the unaudited condensed consolidated balance sheet as of March 31, 2024 (in thousands): SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS Year ended 2025 $ 129 2026 67 Total undiscounted cash flows 196 Less: Imputed interest (6 ) Present value of operating lease liabilities (a) $ 190 (a) Includes current portion of $ 124,000
SCHEDULE OF SUBLEASES	SCHEDULE OF SUBLEASES Year ended 2025 $ 29 2026 14 Total undiscounted cash flows $ 43

STOCKHOLDERS_ DEFICIT (Tables)

STOCKHOLDERS’ DEFICIT (Tables)	3 Months Ended
	Mar. 31, 2024
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 Weighted Aggregate Outstanding at December 31, 2023 71,893 $ 6.41 3.8 $ 40,000 Granted 7,900 6.08 Exercised (2,812 ) 5.12 Forfeited or expired — — Outstanding at March 31, 2024 76,981 $ 6.42 4.0 $ 85,000 Exercisable at March 31, 2024 66,106 $ 6.46 3.6 $ 74,000
SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES	The fair value of the options granted of $ 47,000 SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES Risk-free interest rate 3.92 % Expected term of options 4.9 Expected annual volatility 194.1 % Expected dividend yield — %

SEGMENT REPORTING (Tables)

SEGMENT REPORTING (Tables)	3 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
SUMMARY OF SEGMENTED DATA	The following tables represent segmented data for the three-month periods ended March 31, 2024 and 2023 (in thousands): SUMMARY OF SEGMENTED DATA PG CP Total Three months ended March 31, 2024: Revenues from external customers $ 1,794 $ 338 $ 2,132 Segment gross profit 1,398 193 1,591 Depreciation and amortization 24 4 28 Segment income (loss) before income taxes $ 416 $ (18 ) $ 398 Three months ended March 31, 2023: Revenues from external customers $ 1,507 $ 242 $ 1,749 Segment gross profit 1,179 137 1,316 Depreciation and amortization 33 5 38 Segment income (loss) before income taxes $ 199 $ (48 ) $ 151
SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS	Reconciliation of Segment Net Income (Loss) to Consolidated Net Income (Loss) Before Income Taxes SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS 2024 2023 Three months ended March 31, 2024 2023 (in thousands) Total net income before income taxes for reportable segments $ 398 $ 151 Unallocated cost of corporate headquarters (305 ) (235 ) Consolidated net income (loss) before income taxes $ 93 $ (84 )

REVENUE (Tables)

REVENUE (Tables)	3 Months Ended
	Mar. 31, 2024
Schedule Of Deferred Charges Activity
SCHEDULE OF DISAGGREGATES OF REVENUE	The following table disaggregates the Company’s revenue for the three-month periods ended March 31, 2024 and 2023 (in thousands): SCHEDULE OF DISAGGREGATES OF REVENUE Hardware Monitoring Total Three months ended March 31, 2024: PG Segment $ 753 $ 1,041 $ 1,794 CP Segment 277 61 338 Total Revenue $ 1,030 $ 1,102 $ 2,132 Hardware Monitoring Total Three months ended March 31, 2023: PG Segment $ 549 $ 958 $ 1,507 CP Segment 176 66 242 Total Revenue $ 725 $ 1,024 $ 1,749
SCHEDULE OF DEFERRED REVENUE ACTIVITY	Deferred revenue activity for the three-month period ended March 31, 2024 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED REVENUE ACTIVITY Hardware Monitoring Total Balance at December 31, 2023 $ 2,965 $ 2,619 $ 5,584 Additions during the period — 1,081 1,081 Recognized as revenue (535 ) (1,102 ) (1,637 ) Balance at March 31, 2024 $ 2,430 $ 2,598 $ 5,028 Amounts to be recognized as revenue in the twelve-month-period ending: March 31, 2025 $ 1,621 $ 2,202 $ 3,823 March 31, 2026 751 393 1,144 March 31, 2027 and thereafter 58 3 61 Total $ 2,430 $ 2,598 $ 5,028
SCHEDULE OF RECONCILIATION OF HARDWARE REVENUE	The following table provides a reconciliation of the Company’s hardware revenue for the three-month periods ended March 31, 2024 and 2023 (in thousands): SCHEDULE OF RECONCILIATION OF HARDWARE REVENUE Reconciliation of Hardware Revenue 2024 2023 Three months ended March 31, Reconciliation of Hardware Revenue 2024 2023 Amortization of deferred revenue $ 535 $ 585 Hardware sales (new product versions) 376 — Other accessories, services, shipping and miscellaneous charges 119 140 Total hardware revenue $ 1,030 $ 725
SCHEDULE OF DEFERRED CHARGES ACTIVITY	Deferred COGS relate only to the sale of equipment. Deferred COGS activity for the three-month period ended March 31, 2024 can be seen in the table below (in thousands): SCHEDULE OF DEFERRED CHARGES ACTIVITY Balance at December 31, 2023 $ 1,285 Additions, net of adjustments, during the period — Recognized as cost of sales (235 ) Balance at March 31, 2024 $ 1,050 Amounts to be recognized as COGS in the twelve-month-period ending: March 31, 2025 $ 709 March 31, 2026 316 March 31, 2027 and thereafter 25 $ 1,050
SCHEDULE OF RECONCILIATION OF COGS EXPENSE	The following table provides a reconciliation of the Company’s COGS expense for the three-month periods ended March 31, 2024 and 2023 (in thousands): SCHEDULE OF RECONCILIATION OF COGS EXPENSE Reconciliation of COGS Expense 2024 2023 Three months ended March 31, Reconciliation of COGS Expense 2024 2023 Amortization of deferred COGS $ 235 $ 268 COGS of hardware sales (new product versions) 163 — Data costs for monitoring 62 75 Other COGS of accessories, services, shipping and miscellaneous charges 81 90 Total COGS expense $ 541 $ 433
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, 2024 (in thousands): SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS Hardware Monitoring Total Balance at December 31, 2023 $ 268 $ 96 $ 364 Additions during the period — 8 8 Amortization of sales commissions (48 ) (10 ) (58 ) Balance at March 31, 2024 $ 220 $ 94 $ 314
SCHEDULE OF SALES COMMISSIONS EXPENSE	Amounts to be recognized as sales commission expense in the twelve-month-period ending (in thousands): SCHEDULE OF SALES COMMISSIONS EXPENSE March 31, 2025 $ 184 March 31, 2026 101 March 31, 2027 and thereafter 29 Total $ 314

BASIS OF PRESENTATION (Details

BASIS OF PRESENTATION (Details Narrative)	Sep. 05, 2023 USD ($)
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Reverse stock split	1-for-16
Shares repurchased	$ 347

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, 2024	Mar. 31, 2023
Accounting Policies [Abstract]
Net income (loss) attributable to common stockholders		$ 65	$ (85)
Weighted average shares outstanding:
-Basic	[1]	2,486	2,483
Add: Stock options		8	0
-Diluted	[1]	2,494	2,483
Basic net income (loss) per share	[1]	$ 0.03	$ (0.03)
Diluted net income (loss) per share	[1]	$ 0.03	$ (0.03)
[1]As adjusted to reflect the September 2023 1-for-16

ACCOUNTING POLICIES (Details Na

ACCOUNTING POLICIES (Details Narrative) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Product Information [Line Items]
Deposits assets	$ 1,417,000
Antidilutive securities excluded from computation of earnings per share, amount	34,000	65,000
Weighted average exercise price	$ 7.77	$ 6.56
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | One Customer [Member]
Product Information [Line Items]
Concentration risk percentage	10%
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Two Customer [Member]
Product Information [Line Items]
Concentration risk percentage	13%		25%

LIQUIDITY (Details Narrative)

LIQUIDITY (Details Narrative) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023	May 07, 2024
Cash	$ 1,417,000
Working capital	620,000
Deferred revenue	3,823,000		$ 4,034,000
Total deferred revenue decreased	(556,000)	$ 45,000
Increase decrease in net cash	32,000	104,000
Net cash used in operating activities	43,000	83,000
Net cash used in investing activities	2,000	26,000
Net cash used in financing activities	13,000	$ 5,000
Cash	1,417,000		1,449,000
Subsequent Event [Member]
Cash				$ 1,455,000
Maximum [Member]
Total deferred revenue decreased			$ 5,584,000
Minimum [Member]
Total deferred revenue decreased	$ 5,028,000

SCHEDULE OF ALLOWANCES FOR CRED

SCHEDULE OF ALLOWANCES FOR CREDIT LOSSES (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2024	Dec. 31, 2023
Receivables [Abstract]
Balance at beginning of period	$ 10	$ 10
Provision for credit losses adjustment	(7)	2
Net credits (charge-offs)	3	(2)
Balance at end of period	$ 6	$ 10

ALLOWANCE FOR CREDIT LOSSES (De

ALLOWANCE FOR CREDIT LOSSES (Details Narrative) $ in Thousands	Mar. 31, 2024 USD ($)
Receivables [Abstract]
Gross receivables	$ 493
Allowances for credit losses	$ 6

SCHEDULE OF INVENTORY (Details)

SCHEDULE OF INVENTORY (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Inventory Disclosure [Abstract]
Raw materials	$ 720	$ 904
Finished goods	68	58
Inventory net	$ 788	$ 962

INVENTORY (Details Narrative)

INVENTORY (Details Narrative) - USD ($)	Mar. 31, 2024	Dec. 31, 2023
Inventory Disclosure [Abstract]
Inventory reserves	$ 9,000	$ 8,000

SCHEDULE OF SUPPLEMENTAL CASH F

SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Leases
Cash paid for operating lease liabilities	$ 32	$ 31

SCHEDULE OF SUPPLEMENTAL BALANC

SCHEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO LEASES (Details)	Mar. 31, 2024
Leases
Weighted average remaining lease terms for operating leases	1 year 6 months

SCHEDULE OF FUTURE MINIMUM LEAS

SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details)	Mar. 31, 2024 USD ($)
Leases
2025	$ 129,000
2026	67,000
Total undiscounted cash flows	196,000
Less: Imputed interest	(6,000)
Present value of operating lease liabilities	$ 190,000	[1]
[1]Includes current portion of $ 124,000

SCHEDULE OF FUTURE MINIMUM LE_2

SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS (Details) (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Leases
Operating leases current portion	$ 124	$ 123

SCHEDULE OF SUBLEASES (Details)

SCHEDULE OF SUBLEASES (Details) $ in Thousands	Mar. 31, 2024 USD ($)
Leases
2025	$ 29
2026	14
Total undiscounted cash flows	$ 43

LEASES (Details Narrative)

LEASES (Details Narrative)			3 Months Ended
		Jul. 06, 2021 USD ($) ft²	Mar. 31, 2024 USD ($)	Mar. 31, 2023 USD ($)
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Lessee, Operating Lease, Discount Rate			4.50%
Operating Lease, Liability	[1]		$ 190,000
Sublease payment		$ 2,375
Leasehold Improvements, Gross			$ 2,000
Annual service cost		$ 2,750
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 Expiration Date			Sep. 30, 2025
Operating Lease, Payments			$ 32,000	$ 31,000
[1]Includes current portion of $ 124,000

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative)	3 Months Ended
	Mar. 31, 2024 USD ($)
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Operating lease obligations payable	$ 190,000	[1]
Master Services Agreement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Operating lease obligations payable	190,000
Operating leases and contractual services	622,000
Contractual services, year one	252,000
Contractual services, year two	220,000
Contractual services, year three	150,000
Commitment payable	$ 299,000
[1]Includes current portion of $ 124,000

SCHEDULE OF BLACK-SCHOLES OPTIO

SCHEDULE OF BLACK-SCHOLES OPTION PRICING ESTIMATE FAIR VALUE (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2024	Dec. 31, 2023
Equity [Abstract]
Number of Options (in shares), Outstanding at beginning of year	71,893
Weighted Average Exercise Price Per Share, Outstanding at beginning of year	$ 6.41
Weighted average remaining contractual life at end	4 years	3 years 9 months 18 days
Aggregate intrinsic value at beginning of year	$ 40,000
Number of Options (in shares), Granted	7,900
Weighted Average Exercise Price Per Share, Granted	$ 6.08
Number of Options (in shares), Exercised	(2,812)
Weighted Average Exercise Price Per Share, Exercised	$ 5.12
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	76,981	71,893
Weighted Average Exercise Price Per Share, Outstanding at end of year	$ 6.42	$ 6.41
Aggregate intrinsic value at end of year	$ 85,000	$ 40,000
Number of Options (in shares), Exercisable at end of year	66,106
Weighted Average Exercise Price Per Share, Exercisable at end of year	$ 6.46
Weighted average remaining contractual life at exercisable at end of year	3 years 7 months 6 days
Aggregate intrinsic value, Exercisable at end of year	$ 74,000

SCHEDULE OF STOCK OPTIONS FAIR

SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS ESTIMATED USING BLACK-SCHOLES (Details)	3 Months Ended
	Mar. 31, 2024 USD ($)
Equity [Abstract]
Fair value of options granted	$ 47,000
Risk-free interest rate	3.92%
Expected term of options, in years	4 years 10 months 24 days
Expected annual volatility	194.10%
Expected dividend yield

STOCKHOLDERS_ DEFICIT (Details

STOCKHOLDERS’ DEFICIT (Details Narrative) - USD ($)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Common stock, shares issued	2,537,485		2,534,969
Common stock, shares outstanding	2,487,307		2,484,791
Common stock, par value	$ 0.01		$ 0.01
Number of options granted during period	7,900
Number of options exercisable	$ 74,000
Compensation cost, non-vested awards not yet recognized	45,000
Selling, General and Administrative Expenses [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock based compensation expense	27,000	$ 17,000
Options Held [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options exercisable	$ 2,812
Share-Based Payment Arrangement, Employee [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	1,000
Share-Based Payment Arrangement, Nonemployee [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	0
Non-Employee Directors [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	7,900
Director [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	2,500
Chief Executive Officer [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	2,200
Chief Financial Officer [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of options granted during period	2,200
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	68,869

SUMMARY OF SEGMENTED DATA (Deta

SUMMARY OF SEGMENTED DATA (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Segment Reporting Information [Line Items]
Revenue from external customers	$ 2,132	$ 1,749
Segment gross profit	1,591	1,316
Depreciation and amortization	28	38
Segment income (loss) before income taxes	398	151
PG [Member]
Segment Reporting Information [Line Items]
Revenue from external customers	1,794	1,507
Segment gross profit	1,398	1,179
Depreciation and amortization	24	33
Segment income (loss) before income taxes	416	199
CP [Member]
Segment Reporting Information [Line Items]
Revenue from external customers	338	242
Segment gross profit	193	137
Depreciation and amortization	4	5
Segment income (loss) before income taxes	$ (18)	$ (48)

SCHEDULE OF RECONCILIATION OF S

SCHEDULE OF RECONCILIATION OF SEGMENT DATA TO CONSOLIDATED STATEMENT OF OPERATIONS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Segment Reporting [Abstract]
Total net income before income taxes for reportable segments	$ 398	$ 151
Unallocated cost of corporate headquarters	(305)	(235)
Income (loss) before income taxes	$ 93	$ (84)

SCHEDULE OF DISAGGREGATES OF RE

SCHEDULE OF DISAGGREGATES OF REVENUE (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Total Revenue	$ 2,132	$ 1,749
PG [Member]
Total Revenue	1,794	1,507
CP [Member]
Total Revenue	338	242
Hardware [Member]
Total Revenue	1,030	725
Hardware [Member] | PG [Member]
Total Revenue	753	549
Hardware [Member] | CP [Member]
Total Revenue	277	176
Monitoring [Member]
Total Revenue	1,102	1,024
Monitoring [Member] | PG [Member]
Total Revenue	1,041	958
Monitoring [Member] | CP [Member]
Total Revenue	$ 61	$ 66

SCHEDULE OF DEFERRED REVENUE AC

SCHEDULE OF DEFERRED REVENUE ACTIVITY (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2024 USD ($)
Balance at December 31, 2023	$ 5,584
Additions during the period	1,081
Recognized as revenue	(1,637)
Total	5,028
March 31, 2025	3,823
March 31, 2026	1,144
March 31, 2027 and thereafter	61
Hardware [Member]
Balance at December 31, 2023	2,965
Additions during the period
Recognized as revenue	(535)
Total	2,430
March 31, 2025	1,621
March 31, 2026	751
March 31, 2027 and thereafter	58
Monitoring [Member]
Balance at December 31, 2023	2,619
Additions during the period	1,081
Recognized as revenue	(1,102)
Total	2,598
March 31, 2025	2,202
March 31, 2026	393
March 31, 2027 and thereafter	$ 3

SCHEDULE OF RECONCILIATION OF H

SCHEDULE OF RECONCILIATION OF HARDWARE REVENUE (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue	$ 2,132	$ 1,749
Hardware [Member]
Revenue	1,030	725
Hardware [Member] | Amortization [Member]
Revenue	535	585
Hardware [Member] | Hardware Sales [Member]
Revenue	376
Hardware [Member] | Other Accessories [Member]
Revenue	$ 119	$ 140

SCHEDULE OF DEFERRED CHARGES AC

SCHEDULE OF DEFERRED CHARGES ACTIVITY (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2024 USD ($)
Schedule Of Deferred Charges Activity
Balance at December 31, 2023	$ 1,285
Additions, net of adjustments, during the period
Recognized as cost of sales	(235)
Balance at March 31, 2024	1,050
March 31, 2025	709
March 31, 2026	316
March 31, 2027 and thereafter	25
Total	$ 1,050

SCHEDULE OF RECONCILIATION OF C

SCHEDULE OF RECONCILIATION OF COGS EXPENSE (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenue	$ 2,132	$ 1,749
C O G S [Member]
Revenue	541	433
C O G S [Member] | Amortization [Member]
Revenue	235	268
C O G S [Member] | C O G S Of Hardware Sales [Member]
Revenue	163
C O G S [Member] | C O G S Data Costs [Member]
Revenue	62	75
C O G S [Member] | Other C O G S Accessories [Member]
Revenue	$ 81	$ 90

SCHEDULE OF SALES COMMISSIONS C

SCHEDULE OF SALES COMMISSIONS CONTRACT ASSETS (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2024 USD ($)
Balance at December 31, 2023	$ 364
Additions during the period	8
Amortization of sales commissions	(58)
Balance at March 31, 2024	314
Hardware [Member]
Balance at December 31, 2023	268
Additions during the period
Amortization of sales commissions	(48)
Balance at March 31, 2024	220
Monitoring [Member]
Balance at December 31, 2023	96
Additions during the period	8
Amortization of sales commissions	(10)
Balance at March 31, 2024	$ 94

SCHEDULE OF SALES COMMISSIONS E

SCHEDULE OF SALES COMMISSIONS EXPENSE (Details) $ in Thousands	Mar. 31, 2024 USD ($)
Schedule Of Deferred Charges Activity
March 31, 2025	$ 184
March 31, 2026	101
March 31, 2027 and thereafter	29
Total	$ 314

REVENUE (Details Narrative)

REVENUE (Details Narrative) - USD ($)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Revenue	$ 2,132,000	$ 1,749,000
Other current assets	285,000			$ 280,000
Capitalized Sales Commissions [Member]
Other current assets	184,000			202,000
Other assets		130,000		$ 162,000
Other Revenue Related to Accessories, Repairs and Other Miscellaneous Charges [Member]
Revenue	535,000
Monitoring [Member]
Revenue	$ 1,102,000	$ 1,024,000
Deferred revenue recognized			$ 954,000

RELATED PARTY BALANCES AND TR_2

RELATED PARTY BALANCES AND TRANSACTIONS (Details Narrative) - USD ($)	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Officer [Member]
Consulting and other fees to directors	$ 134,000	$ 130,000
Director [Member]
Consulting and other fees to directors	$ 18,000	$ 15,000