Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Mar. 31, 2015 | 15-May-15 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | ADAT | |
Entity Registrant Name | AUTHENTIDATE HOLDING CORP | |
Entity Central Index Key | 885074 | |
Current Fiscal Year End Date | -24 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 41,964,118 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Jun. 30, 2014 |
In Thousands, unless otherwise specified | ||
Current assets | ||
Cash and cash equivalents | $295 | $1,084 |
Restricted cash | 256 | 256 |
Marketable securities | 210 | |
Accounts receivable, net | 389 | 508 |
Inventory | 918 | 2,937 |
Prepaid expenses and other current assets | 351 | 259 |
Total current assets | 2,209 | 5,254 |
Property and equipment, net | 382 | 448 |
Other assets | ||
Licenses, net | 1,831 | 1,933 |
Other assets, net | 531 | 593 |
Total assets | 4,953 | 8,228 |
Current liabilities | ||
Accounts payable, accrued expenses and other liabilities | 2,178 | 2,806 |
Notes payable, net of unamortized discount | 1,038 | |
Deferred revenue | 94 | 78 |
Total current liabilities | 3,310 | 2,884 |
Long-term deferred revenue | 121 | 126 |
Total liabilities | 3,431 | 3,010 |
Commitments and contingencies (Note 11) | ||
Shareholders' equity | ||
Preferred stock, $.10 par value; 5,000 shares authorized, Series B, 28 shares and Series D, 665 shares issued and outstanding on March 31, 2015 and June 30, 2014, respectively | 69 | 69 |
Common stock, $.001 par value; 100,000 shares authorized, 41,919 and 38,511 shares issued and outstanding on March 31, 2015 and June 30, 2014, respectively | 42 | 39 |
Additional paid-in capital | 204,744 | 201,492 |
Accumulated deficit | -203,333 | -196,382 |
Total shareholders' equity | 1,522 | 5,218 |
Total liabilities and shareholders' equity | $4,953 | $8,228 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2015 | Jun. 30, 2014 |
Preferred stock, par value | $0.10 | $0.10 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 41,919,000 | 38,511,000 |
Common stock, shares outstanding | 41,919,000 | 38,511,000 |
Series B Redeemable Convertible Preferred Stock [Member] | ||
Preferred stock, shares issued | 28,000 | 28,000 |
Preferred stock, shares outstanding | 28,000 | 28,000 |
Series D Preferred Stock [Member] | ||
Preferred stock, shares issued | 665,000 | 665,000 |
Preferred stock, shares outstanding | 665,000 | 665,000 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations and Comprehensive Operations (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues | ||||
Hosted software services | $470 | $523 | $1,459 | $1,720 |
Telehealth products and services | 299 | 698 | 1,709 | 2,766 |
Total revenues | 769 | 1,221 | 3,168 | 4,486 |
Operating expenses | ||||
Cost of revenues | 319 | 835 | 1,663 | 3,072 |
Selling, general and administrative | 2,319 | 1,602 | 6,435 | 5,071 |
Product development | 310 | 275 | 1,049 | 780 |
Depreciation and amortization | 200 | 191 | 599 | 569 |
Total operating expenses | 3,148 | 2,903 | 9,746 | 9,492 |
Operating loss | -2,379 | -1,682 | -6,578 | -5,006 |
Other (expense) income, net | -70 | 101 | -70 | -26 |
Net loss | -2,449 | -1,581 | -6,648 | -5,032 |
Basic and diluted loss per common share | ($0.06) | ($0.04) | ($0.17) | ($0.20) |
Comprehensive operations | ||||
Net loss | -2,449 | -1,581 | -6,648 | -5,032 |
Comprehensive loss | ($2,449) | ($1,581) | ($6,648) | ($5,032) |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Cash flows from operating activities | ||
Net loss | ($6,648,000) | ($5,032,000) |
Adjustments to reconcile net loss to net cash used by operating activities | ||
Amortization of debt discount and deferred financing costs | 61,000 | 127,000 |
Depreciation and amortization | 599,000 | 569,000 |
Share-based compensation | 453,000 | 398,000 |
Share-based severance | 153,000 | |
Warrants issued for services | 44,000 | 109,000 |
Restricted shares and stock options issued for services | 259,000 | 170,000 |
Net gain on sale of non-core assets | -101,000 | |
Changes in assets and liabilities | ||
Accounts receivable | 119,000 | -93,000 |
Inventory | 2,019,000 | 920,000 |
Prepaid expenses and other current assets | -92,000 | 225,000 |
Accounts payable, accrued expenses and other liabilities | -758,000 | -739,000 |
Deferred revenue | 11,000 | -140,000 |
Net cash used in operating activities | -3,780,000 | -3,587,000 |
Cash flows from investing activities | ||
Purchases of property and equipment | -178,000 | -231,000 |
Other intangible assets acquired | -191,000 | -69,000 |
Sales of marketable securities | 210,000 | |
Net proceeds from sale of non-core assets | 851,000 | |
Net cash (used) provided by investing activities | -159,000 | 551,000 |
Cash flows from financing activities | ||
Net proceeds from issuance of common stock and warrants | 2,118,000 | 2,854,000 |
Proceeds from issuance of short-term promissory notes | 1,250,000 | |
Repayment of short-term promissory notes | -200,000 | |
Repayment of senior secured notes | -850,000 | |
Dividends paid | -18,000 | -53,000 |
Net cash provided by financing activities | 3,150,000 | 1,951,000 |
Net decrease in cash and cash equivalents | -789,000 | -1,085,000 |
Cash and cash equivalents, beginning of period | 1,084,000 | 3,505,000 |
Cash and cash equivalents, end of period | $295,000 | $2,420,000 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended | |
Mar. 31, 2015 | ||
Accounting Policies [Abstract] | ||
Basis of Presentation | 1 | Basis of Presentation |
The accompanying unaudited condensed consolidated financial statements have been prepared by the company pursuant to the rules and regulations of the Securities and Exchange Commission and, in the opinion of management, reflect all adjustments, consisting of only normal recurring adjustments, necessary for a fair presentation of the results of the interim periods presented. The condensed consolidated financial statements include the accounts of Authentidate Holding Corp. (AHC) and its subsidiaries (collectively, the “company”). All significant intercompany transactions and balances have been eliminated in consolidation. The results of operations for the period ended March 31, 2015 are not necessarily indicative of the results to be expected for the full year. Certain information and footnote disclosures normally included in the annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the annual consolidated financial statements and notes thereto included in the company’s Form 10-K for the fiscal year ended June 30, 2014 and the corresponding Management’s Discussion and Analysis of Financial Condition and Results of Operations. | ||
The company has incurred significant losses and our operations and product development activities have required substantial capital investment to date. Additionally, on March 6, 2015 we announced that the Department of Veterans Affairs (VA) informed the company that it did not intend to exercise the fourth and final option year under our contract for telehealth products and services. The company’s contract with the VA was originally awarded in April 2011 and consisted of a base year and four one-year option years which were exercisable at the VA’s sole discretion. The current option year under the contract expired on May 15, 2015 and we expect that the transition process with the VA will have been completed by that date. Our VA revenue included both recurring service revenues as well as hardware sales. As a result of the non-renewal of the VA contract we expect to report significantly reduced revenues over the next several quarters and we have taken steps to reduce our operating costs and better align our resources with the growth opportunities we intend to pursue. The VA had been our largest customer, accounting for approximately 58% and 51% of our total revenue for the year ended June 30, 2014 and the nine months ended March 31, 2015, respectively. Through March 31, 2015, cost reductions include eliminating 20 positions throughout the company, or approximately 43% of our workforce, and several consultants. During the third quarter the company recorded charges of approximately $70,000 related to workforce severance and expects these expense reductions to result in annualized operating cost savings of approximately $2.8 million starting in the fourth quarter of fiscal 2015. However, we have an immediate need for additional capital and are exploring additional potential transactions to improve our capital position and ensure we are able to meet our financing and working capital requirements. Based on our business plan, we expect our existing resources, revenues generated from operations, net proceeds from our debt financing transactions in February and April 2015, other transactions we are considering and proceeds received from the potential exercise of outstanding warrants (of which there can be no assurance) or a restructuring of outstanding debt obligations (of which there can be no assurance) to satisfy our working capital requirements for at least the next twelve months. If necessary, management of the company believes that it can reduce operating expenses and/or raise additional equity or debt financing to satisfy its working capital requirements. However, no assurances can be given that we will be able to support our costs or pay debt obligations due in July 2015 through revenues derived from operations or generate sufficient cash flow to satisfy our other obligations or that the company will be able to continue as a going concern. If our available cash resources and projected revenue levels are not sufficient to sustain our operations, or otherwise meet our cash needs, we will need to raise additional capital to fund operations and to meet our obligations in the future. Currently, the company does not have any definitive agreements with any third-parties for such transactions and there can be no assurance that the company will be successful in raising additional capital or securing financing when needed or on terms satisfactory to the company. |
Loss_Per_Share
Loss Per Share | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||
Loss Per Share | 2 | Loss Per Share | |||||||||||||||
The following table sets forth the calculation of basic and diluted loss per share for the periods presented (in thousands, except per share data): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
March 31, | March 31, | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Net loss | $ | (2,449 | ) | $ | (1,581 | ) | $ | (6,648 | ) | $ | (5,032 | ) | |||||
Preferred stock dividends | (101 | ) | (101 | ) | (303 | ) | (303 | ) | |||||||||
Deemed preferred stock dividends | — | — | — | (2,017 | ) | ||||||||||||
Net loss applicable to common shareholders | $ | (2,550 | ) | $ | (1,682 | ) | $ | (6,951 | ) | $ | (7,352 | ) | |||||
Weighted average shares | 41,780 | 38,335 | 40,923 | 36,809 | |||||||||||||
Basic and diluted loss per common share | $ | (0.06 | ) | $ | (0.04 | ) | $ | (0.17 | ) | $ | (0.20 | ) | |||||
The deemed preferred stock dividends included in the loss per share calculation represent the accretion of the fair value of approximately $2,150,000 allocated to a non-cash beneficial conversion feature related to the Series D preferred stock issued in June 2013. The beneficial conversion feature was being amortized over the period from issuance through the earliest permitted conversion date in December 2013. The fair value of the warrants was determined using the Black-Scholes option pricing model. All common stock equivalents were excluded from the loss per share calculation for all periods presented because the impact is antidilutive. At March 31, 2015, options (3,908,000), restricted stock units (488,000), warrants (26,955,000), Series D preferred stock (6,125,000) and Series B preferred stock (250,000) were outstanding. At March 31, 2014, options (3,446,000), restricted stock units (947,000), warrants (26,808,000), Series D preferred stock (6,125,000) and Series B preferred stock (250,000) were outstanding. |
ShareBased_Compensation
Share-Based Compensation | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Share-Based Compensation | 3 | Share-Based Compensation | |||||||||||||||
Share-based compensation by category is as follows (in thousands): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
March 31, | March 31, | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
SG&A | $ | 145 | $ | 159 | $ | 408 | $ | 353 | |||||||||
Product development | 10 | 10 | 30 | 30 | |||||||||||||
Cost of revenues | 5 | 5 | 15 | 15 | |||||||||||||
Share-based compensation expense | $ | 160 | $ | 174 | $ | 453 | $ | 398 | |||||||||
We computed the estimated fair values of all option-based compensation using the Black-Scholes option pricing model and the assumptions set forth in the following table. We based our estimate of the life of these options on historical averages over the past five years and estimates of expected future behavior. The expected volatility was based on the company’s historical stock volatility. The assumptions used in the company’s Black-Scholes calculations for fiscal 2015 and 2014 are as follows: | |||||||||||||||||
Risk Free | Dividend | Volatility | Weighted | ||||||||||||||
Interest Rate | Yield | Factor | Average | ||||||||||||||
Expected | |||||||||||||||||
Option Life | |||||||||||||||||
(Months) | |||||||||||||||||
Fiscal year 2015 | 0.6 | % | 0 | % | 84 | % | 48 | ||||||||||
Fiscal year 2014 | 1.4 | % | 0 | % | 89 | % | 48 | ||||||||||
The Black-Scholes option-pricing model requires the input of highly subjective assumptions. Because the company’s employee stock options have characteristics significantly different from those of traded options, and because changes in the subjective input assumptions can materially affect the fair value estimate, in management’s opinion, the existing models may not provide a reliable single measure of the fair value of share-based compensation for employee stock options. Management will continue to assess the assumptions and methodologies used to calculate estimated fair value of share-based compensation as circumstances change and additional data becomes available over time, which may result in changes to these assumptions and methodologies. Such changes could materially impact the company’s fair value determination. | |||||||||||||||||
On August 23, 2011, the stockholders approved the 2011 Omnibus Equity Incentive Plan (the 2011 Plan). The 2011 Plan replaces the 2010 Employee Stock Option Plan and the 2001 Non-Executive Director Stock Option Plan. On May 1, 2014, the stockholders approved an amendment to the 2011 Plan to increase the number of shares of common stock available for issuance under the plan by 3,400,000 shares. As amended, the 2011 Plan provides for the issuance of up to 6,750,000 shares of the company’s common stock in connection with stock options, restricted share awards and other stock compensation vehicles. | |||||||||||||||||
Stock option activity under the company’s stock option plans for employees and non-executive directors for the period ended March 31, 2015 is as follows (in thousands, except per share and average life data): | |||||||||||||||||
Employees Information | Number of | Weighted | Weighted | Aggregate | |||||||||||||
Options | Average | Average | Intrinsic | ||||||||||||||
Exercise | Remaining | Value | |||||||||||||||
Price | Contractual | ||||||||||||||||
Life (Years) | |||||||||||||||||
Outstanding June 30, 2014 | 2,619 | $ | 3.59 | ||||||||||||||
Granted | 715 | 0.84 | |||||||||||||||
Expired/forfeited | (915 | ) | 4.92 | ||||||||||||||
Outstanding March 31, 2015 | 2,419 | $ | 2.31 | 6.26 | $ | — | |||||||||||
Exercisable at March 31, 2015 | 1,368 | $ | 3 | 4.37 | $ | — | |||||||||||
Expected to vest at March 31, 2015 | 823 | $ | 1.38 | 7.77 | $ | — | |||||||||||
Non-Executive Director Information | Number of | Weighted | Weighted | Aggregate | |||||||||||||
Options | Average | Average | Intrinsic | ||||||||||||||
Exercise | Remaining | Value | |||||||||||||||
Price | Contractual | ||||||||||||||||
Life (Years) | |||||||||||||||||
Outstanding, June 30, 2014 | 742 | $ | 1.39 | ||||||||||||||
Granted | 758 | 0.54 | |||||||||||||||
Expired | (10 | ) | 14.3 | ||||||||||||||
Outstanding March 31, 2015 | 1,490 | $ | 0.87 | 7.31 | $ | — | |||||||||||
Non-executive director options are granted at market price and vest on the grant date. | |||||||||||||||||
As of March 31, 2015, there were approximately 488,000 restricted stock units outstanding that were granted to employees as of January 15, 2013 and January 28, 2014 in connection with the company’s compensation modification program. These restricted stock units vest when the company achieves cash flow breakeven, as defined. | |||||||||||||||||
As of March 31, 2015, there was approximately $548,000 of total unrecognized compensation expense related to unvested share-based compensation arrangements that is expected to be recognized over a weighted-average period of 20 months. | |||||||||||||||||
No options were exercised during the nine month periods ended March 31, 2015 and 2014, respectively. The weighted average grant date fair value of options granted during the nine month periods ended March 31, 2015 and 2014 was approximately $0.50 and $0.63, respectively. These values were calculated using the Black-Scholes option-pricing model. | |||||||||||||||||
The total fair value of options vested was $552,000 and $358,000 for the nine month periods ended March 31, 2015 and 2014, respectively. | |||||||||||||||||
In December 2012, the board of directors agreed that all non-employee directors would receive all of their cash director compensation, including amounts payable for committee service, service as a committee chair and per meeting fees, in restricted shares of our common stock or stock options issued at fair value in accordance with the terms of the 2011 Plan for periods ending after December 2012. During the nine months ended March 31, 2015, the company issued 62,252 shares of restricted common stock and 643,109 stock options (both valued at approximately $259,100) to certain non-executive directors in connection with this program. In April 2015 the company issued 45,524 shares of restricted common stock (valued at approximately $15,000) to a director under this program for the quarter ended March 31, 2015. |
Marketable_Securities
Marketable Securities | 9 Months Ended | |
Mar. 31, 2015 | ||
Investments, Debt and Equity Securities [Abstract] | ||
Marketable Securities | 4 | Marketable Securities |
During the quarter ended December 31, 2014, we converted our marketable securities, which consisted primarily of money market investments, to cash. Prior to that we classified our investments as “available for sale” and they were recorded at cost which approximated fair value due to their variable interest rates. As a result, we have had no cumulative gross unrealized holding gains (losses) or gross realized gains (losses) from such investments through the date of the sale. All income generated from these investments is recorded as interest income. |
Sale_of_NonCore_Assets
Sale of Non-Core Assets | 9 Months Ended | |
Mar. 31, 2015 | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Sale of Non-Core Assets | 5 | Sale of Non-Core Assets |
In February 2014, the company completed the sale of all of its shares in Health Fusion, Inc. in connection with a share buy-back program initiated by Health Fusion. Net proceeds from the sale were approximately $851,000 and the company recorded a gain on the sale of this investment of approximately $101,000 which was included in other income for the quarter ended March 31, 2014. The company made its investment in Health Fusion in fiscal 2005. The investment was accounted for using the cost method and was included in other assets through the date of the sale. |
Inventory
Inventory | 9 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Inventory | 6 | Inventory | |||||||
In connection with our manufacturing and sales plans for our telehealth service, the company has purchased certain components and contract manufacturing services for the production of the monitoring appliances. These inventory amounts are stated at the lower of cost or market and consist of the following (in thousands): | |||||||||
March 31, | June 30, | ||||||||
2015 | 2014 | ||||||||
Purchased components | $ | 585 | $ | 2,735 | |||||
Finished goods | 333 | 202 | |||||||
Total inventory | $ | 918 | $ | 2,937 | |||||
The company purchased certain components under arrangements that required payment only after such components where actually used in production. Based on the company’s current production plans we have determined that approximately $1.6 million of such components recorded in prior periods will not be used. Accordingly, we offset this inventory balance against the related accounts payable balance during the quarter ended March 31, 2015. |
Other_Intangible_Assets
Other Intangible Assets | 9 Months Ended | ||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||
Other Intangible Assets | 7 | Other Intangible Assets | |||||||||||||||||||||||||
The following table sets forth licenses, net and other intangible assets that are included in other assets as follows (in thousands): | |||||||||||||||||||||||||||
March 31, 2015 | June 30, 2014 | ||||||||||||||||||||||||||
Gross | Accumulated | Net Book | Gross | Accumulated | Net Book | Useful Life | |||||||||||||||||||||
Carrying | Amortization | Value | Carrying | Amortization | Value | In Years | |||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||||
Patents | $ | 357 | $ | 271 | $ | 86 | $ | 353 | $ | 256 | $ | 97 | 17 | ||||||||||||||
Trademarks | 212 | 105 | 107 | 205 | 97 | 108 | 20 | ||||||||||||||||||||
Acquired technologies | 95 | 72 | 23 | 72 | 72 | — | 2 | ||||||||||||||||||||
Licenses | 4,047 | 2,216 | 1,831 | 3,887 | 1,954 | 1,933 | 3 - 10 | ||||||||||||||||||||
Total | $ | 4,711 | $ | 2,664 | $ | 2,047 | $ | 4,517 | $ | 2,379 | $ | 2,138 | |||||||||||||||
As of March 31, 2015 and June 30, 2014 goodwill amounted to approximately $50,000 and is included in other assets. | |||||||||||||||||||||||||||
The company amortizes licenses and other intangible assets under the straight line method. Amortization expense was approximately $95,000 and $285,000 for the three and nine months ended March 31, 2015 and $85,000 and $250,000 for the prior year periods, respectively. Amortization expense for the next five fiscal years and thereafter is expected to be as follows (in thousands): | |||||||||||||||||||||||||||
June 30, | |||||||||||||||||||||||||||
2015 | $ | 108 | |||||||||||||||||||||||||
2016 | 465 | ||||||||||||||||||||||||||
2017 | 373 | ||||||||||||||||||||||||||
2018 | 287 | ||||||||||||||||||||||||||
2019 | 274 | ||||||||||||||||||||||||||
Thereafter | 540 | ||||||||||||||||||||||||||
$ | 2,047 | ||||||||||||||||||||||||||
Notes_Payable
Notes Payable | 9 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Notes Payable | 8 | Notes Payable | |||||||
On January 29, 2015, the company received a short-term loan of $200,000 from a strategic lender pursuant to which we issued a secured promissory note to the lender in the aggregate principal amount of $200,000. The note was secured by a first priority lien on certain equipment owned by the company with a net present value equivalent to the face value of the note, was due and payable on March 30, 2015 and accrued interest at the rate of 6% per annum. The note and accrued interest was repaid on the maturity date. | |||||||||
On February 17, 2015, the company entered into a securities purchase agreement with an accredited investor pursuant to which we issued a promissory note in the aggregate principal amount of $100,000 and common stock purchase warrants to purchase up to 80,000 shares of common stock for gross proceeds of $100,000. The note is an unsecured obligation of the company, is not convertible into equity securities of the company and accrues interest at a rate of 8% per annum. The note is due and payable on the six month anniversary of the issue date, subject to the right of the investor to extend the maturity date for up to an additional six months. The note contains covenants and events of default customary for similar transactions. In addition, the company will repay the principal amount of the note in the event it completes one or more subsequent financings resulting in gross proceeds of at least $3,000,000. The net proceeds from this transaction were approximately $92,000. The warrants vest in equal monthly installments over twelve months if the notes are outstanding and, subject to vesting requirements, are exercisable for a period of 54 months commencing on the six month anniversary of the issuance date at an initial exercise price of $1.01 per share. Although the securities purchase agreement that the company entered into with this investor contemplated a second closing for $900,000 of additional proceeds, the second closing did not occur and the company did not receive the additional funds. | |||||||||
On February 17, 2015, in a separate transaction, the company issued a short-term promissory note in the aggregate principal amount of $950,000 and warrants to purchase 99,500 shares of common stock to an accredited investor for gross proceeds of $950,000. The holder of the short-term note is an entity controlled by Douglas B. Luce, the brother of J. David Luce, a member of the board of directors of the company. The short-term note is an unsecured obligation of the company, is not convertible into equity securities of the company and accrues interest at a rate of 5.76% per annum. The short-term note was due and payable on the first to occur of the one month anniversary of the issue date or the date on which the company received at least $950,000 in proceeds from equity or debt financing. The short-term note contains covenants and events of default customary for similar transactions. The net proceeds from this transaction were approximately $940,000. The warrants are exercisable for a period of 54 months commencing on the six month anniversary of the issuance date and have an initial exercise price of $1.01 per share. | |||||||||
On April 3, 2015, the company entered into an amendment agreement with the holder of the $950,000 short-term promissory note in order to amend such note to extend its maturity date from March 19, 2015 to July 2, 2015. In addition, pursuant to the amendment agreement, the company also agreed to grant the holder the right to exchange the principal amount of the short-term note (and unpaid interest thereon) into the securities of the company sold in the next financing, as defined in the amendment agreement. In consideration of waivers previously granted by the holder of potential events of default under the short-term note and the amendment to extend the maturity date, the company agreed to issue the holder warrants to purchase 3,166,667 shares of common stock of the company. The warrants are exercisable for a period of 54 months commencing six months following the date of issuance and have an exercise price equal to $0.31 per share. | |||||||||
The company allocated the proceeds from the note transactions to the notes and the related warrants based on the relative fair values of such instruments using the fair value of the notes at a market rate of interest and the fair value of the warrants based on the Black-Scholes option pricing model and the applicable assumptions set forth in Note 3 of Notes to Condensed Consolidated Financial Statements. This allocation resulted in effective interest rates for the $100,000 note of approximately 39% per annum and for the $950,000 short-term note of approximately 65% per annum, respectively. However, since the subjective nature of the inputs for the option pricing models can materially affect fair value estimates, in management’s opinion, such models may not provide a reliable single measure of the fair value of the warrants and the resulting effective interest rates. In connection with the note transactions the company recorded promissory notes of $1,050,000, debt discount of $61,000, and additional paid-in-capital of $61,000 related to the fair value of the warrants. The non-cash amortization of the debt discount and deferred financing costs of $61,000 is included in other expense for the period ended March 31, 2015. | |||||||||
In connection with the extension of the $950,000 short-term note discussed above, the company issued additional warrants and added a conversion option for the holder that, for accounting purposes, resulted in an extinguishment of the old note and the creation of a new short-term note. The company completed this transaction on April 3, 2015 and will record a non-cash loss on extinguishment of approximately $500,000 related primarily to the fair value of the warrants issued with the extension in the fourth quarter of 2015. | |||||||||
The following table sets forth the notes and unamortized debt discount (in thousands): | |||||||||
March 31, | June 30, | ||||||||
2015 | 2014 | ||||||||
Notes payable | $ | 1,050 | $ | — | |||||
Unamortized debt discount | (12 | ) | — | ||||||
Notes payable | $ | 1,038 | $ | — | |||||
Preferred_Stock
Preferred Stock | 9 Months Ended | |
Mar. 31, 2015 | ||
Equity [Abstract] | ||
Preferred Stock | 9 | Preferred Stock |
As of March 31, 2015, there are 28,000 shares of Series B preferred stock outstanding. The Series B preferred stock was originally issued in a private financing in October 1999 and the conversion and redemption features were amended in October 2002 to provide for the rights and obligations described in this note. The company has the right to repurchase the outstanding Series B preferred stock at a redemption price equal to $25.00 per share, plus accrued and unpaid dividends. The holder of such shares has the right to convert shares of preferred stock into an aggregate of 250,000 shares of our common stock at a conversion rate of $2.80 per share. In the event the company elects to redeem these securities, the holder will be able to exercise its conversion right subsequent to the date that we issue a notice of redemption but prior to the deemed redemption date as would be set forth in such notice. At March 31, 2015, the company has accrued dividends in the amount of $52,500 which remain unpaid. | ||
As of March 31, 2015, there are 665,000 shares of Series D convertible preferred stock outstanding. The Series D preferred stock was issued in June 2013 in connection with the cancelation of an aggregate principal amount of $6,500,000 of senior secured notes and can be converted by the holders into an aggregate of 6,125,024 shares of common stock at an initial conversion rate of $1.08571 per share. The holders of such shares have the right to convert the preferred shares at anytime commencing on the six month anniversary of the issue date; however, the shares received upon conversion may not be offered or sold except pursuant to an effective registration statement or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws. The company has the right to repurchase the outstanding Series D preferred stock at a redemption price equal to $10.00 per share, plus accrued and unpaid dividends, beginning two years after issuance and to require holders to convert their Series D preferred stock beginning three years after issuance. Dividends on the Series D preferred stock accrue at a rate of 5% per annum and are payable semi-annually in cash or stock at the company’s option. The company settled accrued dividends of $167,616 as of December 31, 2014 to holders of Series D convertible preferred stock through the issuance of 154,385 shares of restricted common stock in accordance with the applicable terms of the series D convertible preferred stock. At March 31, 2015, the company has accrued dividends in the amount of $83,100 which remain unpaid. |
Shareholders_Equity
Shareholder's Equity | 9 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||
Shareholder's Equity | 10 | Shareholder’s Equity | |||||||||||||||||||
The changes in shareholders’ equity for the nine months ended March 31, 2015 are summarized as follows (in thousands): | |||||||||||||||||||||
Preferred | Common | Additional | Accumulated | Total | |||||||||||||||||
Stock | Stock | Paid-in | Deficit | Shareholders’ | |||||||||||||||||
Capital | Equity | ||||||||||||||||||||
Balance, June 30, 2014 | $ | 69 | $ | 39 | $ | 201,492 | $ | (196,382 | ) | $ | 5,218 | ||||||||||
Preferred stock dividends | (303 | ) | (303 | ) | |||||||||||||||||
Restricted stock issued for preferred stock dividends | 167 | 167 | |||||||||||||||||||
Share-based compensation expense | 453 | 453 | |||||||||||||||||||
Share based severance | 153 | 153 | |||||||||||||||||||
Issuance of common stock, net | 3 | 2,115 | 2,118 | ||||||||||||||||||
Restricted shares and stock options issued for services | 259 | 259 | |||||||||||||||||||
Warrants issued with debt | 61 | 61 | |||||||||||||||||||
Warrants issued for services | 44 | 44 | |||||||||||||||||||
Net loss | (6,648 | ) | (6,648 | ) | |||||||||||||||||
Balance, March 31, 2015 | $ | 69 | $ | 42 | $ | 204,744 | $ | (203,333 | ) | $ | 1,522 | ||||||||||
During the nine months ended March 31, 2015 there were no stock options or warrants exercised. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended | |
Mar. 31, 2015 | ||
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments and Contingencies | 11 | Commitments and Contingencies |
On January 6, 2012, ExpressMD Solutions LLC, a subsidiary of the company, was served with a summons and complaint in a purported patent infringement lawsuit filed by Robert Bosch Healthcare Systems, Inc. (“Plaintiff”) against ExpressMD Solutions LLC, in the U.S. District Court for the Northern District of California, Case No. 5:12-cv-00068-JW. The complaint alleges that the ExpressMD Solutions’ “Electronic House Call” product infringes one or more claims of certain patents allegedly owned by the Plaintiff. Plaintiff is seeking injunctive relief, damages, punitive damages, interest, and other costs and expenses. ExpressMD Solutions filed an answer to the complaint on January 27, 2012 and asserted counterclaims seeking declarations that the patents are invalid and not infringed. On May 11, 2012, Plaintiff filed an amended complaint, dropping two patents previously asserted and adding one new patent. Express MD Solutions filed a motion to dismiss on June 15, 2012, which the Court granted with leave for Plaintiff to amend the complaint. Plaintiff filed a second amended complaint on July 24, 2012. Express MD filed an answer on August 7, 2012 and asserted counterclaims seeking invalidity of the patents and a declaration of non-infringement. On September 6, 2012 the case was reassigned to a new judge. An initial case management conference was held before the court on January 11, 2013. On January 21, 2013, Express MD Solutions filed a request for reexamination of one of the four patents asserted by Plaintiff. On February 27, 2013, the U.S. Patent and Trademark Office issued an order granting the request for reexamination. Additionally, two of the remaining three patents asserted by Plaintiff were placed into reexamination at the end of 2012 based on requests filed by a third party. The fourth patent asserted by Plaintiff expired on November 17, 2012. On January 22, 2013, Express MD Solutions filed a motion to stay the case pending the conclusion of the reexamination of Plaintiff’s three unexpired asserted patents. On January 22, 2013, Plaintiff filed a motion with the court for leave to file a third amended complaint and first amended infringement contentions. Express MD Solutions filed a response in opposition to Plaintiff’s motion on February 5, 2013 and on such date Plaintiff filed an opposition to Express MD Solutions’ motion to stay the case. On February 12, 2013, Express MD Solutions filed a reply in further support of its motion for a stay and Plaintiff filed a reply in further support of its motion to amend. On February 27, 2013, the Court granted Express MD Solutions’ motion and issued an order staying the case until final decision on all of the reexaminations, including through appeals. On November 28, 2014, the Plaintiff and Express MD Solutions filed a stipulation to dismiss one of the asserted patents from the case and to lift the stay, based on a final decision being entered in each of the reexaminations with respect to the remaining three patents being asserted in the case. On December 3, 2014, the judge issued an order lifting the stay and dismissing the patent from the case. On December 5, 2014, the court issued an order setting the case management schedule. We believe that we have strong defenses to Plaintiff’s allegations and we intend to continue to vigorously defend the litigation. In addition, we intend to exercise our rights of set-off and indemnification as against EncounterCare Solutions, Inc. and the co-licensor to us of the patents in issue. Based on the facts of which we are currently aware, management believes that this matter will not have a material adverse effect on our financial position, results of operations, or cash flows. However, this matter is subject to inherent uncertainties and management’s assessment may change in the future. | ||
We are also subject to claims and litigation arising in the ordinary course of business. Our management considers that any liability from any reasonably foreseeable disposition of such claims and litigation, individually or in the aggregate, would not have a material adverse effect on our consolidated financial position, results of operations or cash flows. | ||
We are not currently engaged in any other litigation which would be anticipated to have a material adverse effect on our financial condition or results of operations. | ||
We have entered into employment agreements with our chief executive officer and chief financial officer that specify the executive’s current compensation, benefits and perquisites, the executive’s entitlements upon termination of employment, and other employment rights and responsibilities. In connection with the termination of the company’s employment relationship with its former chief executive officer and president in February 2015, the company is presently reviewing its severance obligations to him and the vesting and other post-termination provisions of certain of the unexercised stock options and other unvested stock options and unvested restricted stock units held by him as of the effective date of his separation from the company. | ||
We have entered into various agreements by which we may be obligated to indemnify the other party with respect to certain matters. Generally, these indemnification provisions are included in contracts arising in the normal course of business under which we customarily agree to hold the indemnified party harmless against losses arising from a breach of representations related to such matters as intellectual property rights. Payments by us under such indemnification clauses are generally conditioned on the other party making a claim. Such claims are generally subject to challenge by us and to dispute resolution procedures specified in the particular contract. Further, our obligations under these arrangements may be limited in terms of time and/or amount and, in some instances, we may have recourse against third parties for certain payments made by us. It is not possible to predict the maximum potential amount of future payments under these indemnification agreements due to the conditional nature of our obligations and the unique facts of each particular agreement. Historically, we have not made any payments under these agreements that have been material individually or in the aggregate. As of March 31, 2015, we are not aware of any obligations under such indemnification agreements that would require material payments. |
Income_Taxes
Income Taxes | 9 Months Ended | |
Mar. 31, 2015 | ||
Income Tax Disclosure [Abstract] | ||
Income Taxes | 12 | Income Taxes |
The company continues to recognize its tax benefits which are fully offset by a valuation allowance due to the uncertainty that the deferred tax assets will be realized. We will continue to evaluate the realizability of our net deferred tax assets and may record additional benefits in future earnings if we determine the realization of these assets is more likely than not. |
Other_Expense_Income
Other (Expense) Income | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Other Income and Expenses [Abstract] | |||||||||||||||||
Other (Expense) Income | 13 | Other (Expense) Income | |||||||||||||||
Other (expense) income consists of the following (in thousands): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
March 31, | March 31, | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Amortization of debt discount | $ | (50 | ) | $ | — | $ | (50 | ) | $ | (126 | ) | ||||||
Amortization of deferred financing costs | (11 | ) | — | (11 | ) | (1 | ) | ||||||||||
Interest expense | (9 | ) | — | (9 | ) | — | |||||||||||
Net gain from sale of non-core assets | — | 101 | 101 | ||||||||||||||
Total other (expense) income | $ | (70 | ) | $ | 101 | $ | (70 | ) | $ | (26 | ) | ||||||
The amortization of debt discount and deferred financing costs for fiscal 2015 relates to the notes discussed in Note 8 of Notes to Condensed Consolidated Financial Statements and for fiscal 2014 to $850,000 of senior secured notes that were repaid on October 31, 2013, the stated maturity date. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value Measurements | 14 | Fair Value Measurements | |||||||||||||||
The company measures fair value for financial assets and liabilities in accordance with the provisions of the accounting guidance regarding fair value measurements. The guidance utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. A brief description of those three levels is as follows: | |||||||||||||||||
• | Level 1: | Observable inputs such as quoted prices in active markets for identical assets or liabilities. | |||||||||||||||
• | Level 2: | Inputs other than quoted prices for identical assets or liabilities that are observable for the asset or liability, either directly or indirectly. | |||||||||||||||
• | Level 3: | Significant unobservable inputs. | |||||||||||||||
The company’s assets subject to fair value measurements as of March 31, 2015 and June 30, 2014 are as follows (in thousands): | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Using Fair Value Hierarchy | |||||||||||||||||
Fair value | Level 1 | Level 2 | Level 3 | ||||||||||||||
31-Mar-15 | |||||||||||||||||
Current marketable securities - available for sale | $ | — | $ | — | $ | — | $ | — | |||||||||
Total | $ | — | $ | — | $ | — | $ | — | |||||||||
30-Jun-14 | |||||||||||||||||
Current marketable securities - available for sale | $ | 210 | $ | 210 | $ | — | $ | — | |||||||||
Total | $ | 210 | $ | 210 | $ | — | $ | — | |||||||||
For the nine months ended March 31, 2015 and 2014, no gains or losses resulting from the fair value measurement of financial assets were included in the company’s earnings. During the quarter ended December 31, 2014, we converted our marketable securities, which consisted primarily of money market investments to cash. |
Accounting_Standards_Adopted_i
Accounting Standards Adopted in Fiscal 2015 | 9 Months Ended | |||
Mar. 31, 2015 | ||||
Accounting Changes and Error Corrections [Abstract] | ||||
Accounting Standards Adopted in Fiscal 2015 | 15 | Accounting Standards Adopted in Fiscal 2015 | ||
The company adopted the following FASB Accounting Standards Update (ASU) during fiscal 2015: | ||||
• | ASU No. 2013 - 11, Income Taxes (Topic 740) – Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward or Tax Credit Carryforward Exists (a consensus of FASB Emerging Issues Task Force), which finalizes Proposed ASU No. EITF-13C, and provides explicit guidance regarding the presentation in the statement of financial position of an unrecognized tax benefit when a net operating loss carryforward or a tax credit carryforward exists. In particular, ASU No. 2013-11 provides that an entity’s unrecognized tax benefit, or a portion of its unrecognized tax benefit, should be presented in its financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, with one exception. That exception states that, to the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position, or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. As to the foregoing exception, ASU No. 2013-11 explains that the determination of whether a deferred tax asset is available is based on the unrecognized tax benefit and deferred tax asset that exist at the reporting date and should be made presuming disallowance of the tax position at the reporting date. For example, an entity should not evaluate whether the deferred tax asset expires before the statue of limitations on the tax position or whether the deferred tax asset may be used prior to the unrecognized tax benefit being settled. ASU No. 2013-11 applies prospectively to all entities that have unrecognized tax benefits when a net operating loss carryforward, a similar tax loss or a tax credit carryforward exists at the reporting date and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. | |||
The adoption of the ASU described above had no impact on the company’s results of operations or financial position. |
Common_Stock_Warrants
Common Stock Warrants | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Common Stock Warrants | 16 | Common Stock Warrants | |||||||||||||||
During the nine months ended March 31, 2015, the company issued warrants to purchase shares of its common stock as follows. The company issued 150,000 warrants to a consultant for services with an exercise price of $0.84 per share in September 2014. These warrants vest monthly in arrears through March 31, 2015, have a two year life and, are exercisable beginning six months after the grant date. The fair value of these warrants, as determined by the Black Scholes Model, is being charged to operations over the service period. Further, as discussed more fully in Notes 8 and 17 of Notes to Condensed Consolidated Financial Statements, the company issued warrants to purchase 179,500 shares of the company’s common stock in connection with the issuance of promissory notes in February 2015 and 1,003,678 shares of the company’s common stock in a registered direct offering in August 2014. | |||||||||||||||||
A schedule of common stock warrant activity is as follows (in thousands, except per share and average life data): | |||||||||||||||||
Number of | Weighted | Weighted | Aggregate | ||||||||||||||
Shares | Average | Average | Intrinsic | ||||||||||||||
Exercise Price | Remaining | Value | |||||||||||||||
Per Share | Contractual Life | ||||||||||||||||
(Years) | |||||||||||||||||
Outstanding, June 30, 2014 | 26,807 | $ | 1.26 | ||||||||||||||
Warrants issued | 1,333 | 0.9 | |||||||||||||||
Warrants expired | (1,185 | ) | 1.92 | ||||||||||||||
Outstanding, March 31, 2015 | 26,955 | $ | 1.21 | 2.81 | $ | — | |||||||||||
Exercisable, March 31, 2015 | 26,276 | $ | 1.21 | 2.61 | $ | — | |||||||||||
Recent_Equity_Offerings
Recent Equity Offerings | 9 Months Ended | |
Mar. 31, 2015 | ||
Text Block [Abstract] | ||
Recent Equity Offerings | 17 | Recent Equity Offerings |
On August 28, 2014, the company completed a registered direct offering with certain institutional and/or accredited investors, including certain affiliated persons, of 3,041,454 shares of common stock and warrants to purchase up to an aggregate of 1,003,678 shares of common stock for gross proceeds of $2.17 million. The purchase price for a unit was $0.71, except that such purchase price per unit was $0.75125 for those investors that are our officers or directors. The warrants are exercisable for a period of 54 months commencing on the six month anniversary of the date on which they are issued and have an initial exercise price of $0.8875 per share. After deducting offering expenses, the company received net proceeds of approximately $2.12 million. The fair value of these warrants using the Black-Scholes option pricing model was approximately $0.42 million. One of the investors in the offering, Lazarus Investment Partners LLLP, was the beneficial owner of approximately 29.6% of our common stock immediately prior to the offering, agreed to purchase $500,000 worth of shares of common stock and warrants (704,225 shares and 232,394 warrants). The manager of the general partner of Lazarus Investment Partners, LLLP, is the brother of Dr. Todd A. Borus, a member of our board of directors. Dr. Borus agreed to purchase 33,278 shares of common stock and 10,982 warrants (proceeds of $25,000). Further, Sarah Trent Harris, a family member of Charles C. Lucas, the Chairman of our Board, agreed to purchase 211,268 shares of common stock and 69,718 warrants (proceeds of $150,000). In addition, an entity controlled by Douglas B. Luce, the brother of J. David Luce, a member of our board of directors, agreed to purchase 352,113 shares of common stock and 116,197 warrants (proceeds of $250,000). O’Connell Benjamin, our former chief executive officer agreed to purchase 133,111 shares of common stock and 43,927 warrants (proceeds of $100,000) and William A. Marshall, our chief financial officer, agreed to purchase 66,556 shares of common stock and 21,963 warrants (proceeds of $50,000). |
Other_Subsequent_Events
Other Subsequent Events | 9 Months Ended | |
Mar. 31, 2015 | ||
Subsequent Events [Abstract] | ||
Other Subsequent Events | 18 | Other Subsequent Events |
On April 24, 2015, the company issued a short-term promissory note in the aggregate principal amount of $500,000 to Lazarus Investment Partners LLLP, the beneficial owner of approximately 29.4% of our common stock immediately prior to the note transaction, for gross proceeds of $500,000. In consideration for the short-term note transaction, the company agreed to reduce the exercise price on approximately 6,233,600 warrants held by Lazarus to $0.25 based on the most recent closing bid price of the common stock prior to the note transaction, and to extend the expiration date of the warrants to October 25, 2019. The short-term note is an unsecured obligation of the company, is not convertible into equity securities of the company and accrues interest at a rate of 5.76% per annum. The short-term note is due and payable on the first to occur of July 2, 2015, or the date on which the company receives at least $900,000 in cash proceeds from an equity or debt financing. The short-term note contains covenants and events of default customary for similar transactions. The net proceeds from this transaction were approximately $500,000. The warrants, as amended, are exercisable for a period of approximately 54 months and have an initial exercise price of $0.25 per share. |
Loss_Per_Share_Tables
Loss Per Share (Tables) | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||
Calculation of Basic and Diluted Loss Per Share | The following table sets forth the calculation of basic and diluted loss per share for the periods presented (in thousands, except per share data): | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
March 31, | March 31, | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Net loss | $ | (2,449 | ) | $ | (1,581 | ) | $ | (6,648 | ) | $ | (5,032 | ) | |||||
Preferred stock dividends | (101 | ) | (101 | ) | (303 | ) | (303 | ) | |||||||||
Deemed preferred stock dividends | — | — | — | (2,017 | ) | ||||||||||||
Net loss applicable to common shareholders | $ | (2,550 | ) | $ | (1,682 | ) | $ | (6,951 | ) | $ | (7,352 | ) | |||||
Weighted average shares | 41,780 | 38,335 | 40,923 | 36,809 | |||||||||||||
Basic and diluted loss per common share | $ | (0.06 | ) | $ | (0.04 | ) | $ | (0.17 | ) | $ | (0.20 | ) | |||||
ShareBased_Compensation_Tables
Share-Based Compensation (Tables) | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Summary of Share-Based Compensation Expense by Category | Share-based compensation by category is as follows (in thousands): | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
March 31, | March 31, | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
SG&A | $ | 145 | $ | 159 | $ | 408 | $ | 353 | |||||||||
Product development | 10 | 10 | 30 | 30 | |||||||||||||
Cost of revenues | 5 | 5 | 15 | 15 | |||||||||||||
Share-based compensation expense | $ | 160 | $ | 174 | $ | 453 | $ | 398 | |||||||||
Summary of Estimated Fair Value of Share-Based Compensation Using Black-Scholes Option Pricing Model and Assumptions | The assumptions used in the company’s Black-Scholes calculations for fiscal 2015 and 2014 are as follows: | ||||||||||||||||
Risk Free | Dividend | Volatility | Weighted | ||||||||||||||
Interest Rate | Yield | Factor | Average | ||||||||||||||
Expected | |||||||||||||||||
Option Life | |||||||||||||||||
(Months) | |||||||||||||||||
Fiscal year 2015 | 0.6 | % | 0 | % | 84 | % | 48 | ||||||||||
Fiscal year 2014 | 1.4 | % | 0 | % | 89 | % | 48 | ||||||||||
Summary of Stock Option Activity under Stock Option Plans for Employees and Non-Executive Directors | Stock option activity under the company’s stock option plans for employees and non-executive directors for the period ended March 31, 2015 is as follows (in thousands, except per share and average life data): | ||||||||||||||||
Employees Information | Number of | Weighted | Weighted | Aggregate | |||||||||||||
Options | Average | Average | Intrinsic | ||||||||||||||
Exercise | Remaining | Value | |||||||||||||||
Price | Contractual | ||||||||||||||||
Life (Years) | |||||||||||||||||
Outstanding June 30, 2014 | 2,619 | $ | 3.59 | ||||||||||||||
Granted | 715 | 0.84 | |||||||||||||||
Expired/forfeited | (915 | ) | 4.92 | ||||||||||||||
Outstanding March 31, 2015 | 2,419 | $ | 2.31 | 6.26 | $ | — | |||||||||||
Exercisable at March 31, 2015 | 1,368 | $ | 3 | 4.37 | $ | — | |||||||||||
Expected to vest at March 31, 2015 | 823 | $ | 1.38 | 7.77 | $ | — | |||||||||||
Non-Executive Director Information | Number of | Weighted | Weighted | Aggregate | |||||||||||||
Options | Average | Average | Intrinsic | ||||||||||||||
Exercise | Remaining | Value | |||||||||||||||
Price | Contractual | ||||||||||||||||
Life (Years) | |||||||||||||||||
Outstanding, June 30, 2014 | 742 | $ | 1.39 | ||||||||||||||
Granted | 758 | 0.54 | |||||||||||||||
Expired | (10 | ) | 14.3 | ||||||||||||||
Outstanding March 31, 2015 | 1,490 | $ | 0.87 | 7.31 | $ | — | |||||||||||
Inventory_Tables
Inventory (Tables) | 9 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Schedule of Inventory | These inventory amounts are stated at the lower of cost or market and consist of the following (in thousands): | ||||||||
March 31, | June 30, | ||||||||
2015 | 2014 | ||||||||
Purchased components | $ | 585 | $ | 2,735 | |||||
Finished goods | 333 | 202 | |||||||
Total inventory | $ | 918 | $ | 2,937 | |||||
Other_Intangible_Assets_Tables
Other Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||
Net Licenses and Other Intangible Assets | The following table sets forth licenses, net and other intangible assets that are included in other assets as follows (in thousands): | ||||||||||||||||||||||||||
March 31, 2015 | June 30, 2014 | ||||||||||||||||||||||||||
Gross | Accumulated | Net Book | Gross | Accumulated | Net Book | Useful Life | |||||||||||||||||||||
Carrying | Amortization | Value | Carrying | Amortization | Value | In Years | |||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||||
Patents | $ | 357 | $ | 271 | $ | 86 | $ | 353 | $ | 256 | $ | 97 | 17 | ||||||||||||||
Trademarks | 212 | 105 | 107 | 205 | 97 | 108 | 20 | ||||||||||||||||||||
Acquired technologies | 95 | 72 | 23 | 72 | 72 | — | 2 | ||||||||||||||||||||
Licenses | 4,047 | 2,216 | 1,831 | 3,887 | 1,954 | 1,933 | 3 - 10 | ||||||||||||||||||||
Total | $ | 4,711 | $ | 2,664 | $ | 2,047 | $ | 4,517 | $ | 2,379 | $ | 2,138 | |||||||||||||||
Amortization Expense | Amortization expense for the next five fiscal years and thereafter is expected to be as follows (in thousands): | ||||||||||||||||||||||||||
June 30, | |||||||||||||||||||||||||||
2015 | $ | 108 | |||||||||||||||||||||||||
2016 | 465 | ||||||||||||||||||||||||||
2017 | 373 | ||||||||||||||||||||||||||
2018 | 287 | ||||||||||||||||||||||||||
2019 | 274 | ||||||||||||||||||||||||||
Thereafter | 540 | ||||||||||||||||||||||||||
$ | 2,047 | ||||||||||||||||||||||||||
Notes_Payable_Tables
Notes Payable (Tables) | 9 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Schedule of Notes and Unamortized Debt Discount | The following table sets forth the notes and unamortized debt discount (in thousands): | ||||||||
March 31, | June 30, | ||||||||
2015 | 2014 | ||||||||
Notes payable | $ | 1,050 | $ | — | |||||
Unamortized debt discount | (12 | ) | — | ||||||
Notes payable | $ | 1,038 | $ | — | |||||
Shareholders_Equity_Tables
Shareholder's Equity (Tables) | 9 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||
Changes in Shareholders' Equity | The changes in shareholders’ equity for the nine months ended March 31, 2015 are summarized as follows (in thousands): | ||||||||||||||||||||
Preferred | Common | Additional | Accumulated | Total | |||||||||||||||||
Stock | Stock | Paid-in | Deficit | Shareholders’ | |||||||||||||||||
Capital | Equity | ||||||||||||||||||||
Balance, June 30, 2014 | $ | 69 | $ | 39 | $ | 201,492 | $ | (196,382 | ) | $ | 5,218 | ||||||||||
Preferred stock dividends | (303 | ) | (303 | ) | |||||||||||||||||
Restricted stock issued for preferred stock dividends | 167 | 167 | |||||||||||||||||||
Share-based compensation expense | 453 | 453 | |||||||||||||||||||
Share based severance | 153 | 153 | |||||||||||||||||||
Issuance of common stock, net | 3 | 2,115 | 2,118 | ||||||||||||||||||
Restricted shares and stock options issued for services | 259 | 259 | |||||||||||||||||||
Warrants issued with debt | 61 | 61 | |||||||||||||||||||
Warrants issued for services | 44 | 44 | |||||||||||||||||||
Net loss | (6,648 | ) | (6,648 | ) | |||||||||||||||||
Balance, March 31, 2015 | $ | 69 | $ | 42 | $ | 204,744 | $ | (203,333 | ) | $ | 1,522 | ||||||||||
Other_Expense_Income_Tables
Other (Expense) Income (Tables) | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Other Income and Expenses [Abstract] | |||||||||||||||||
Summary of Other (Expense) Income | Other (expense) income consists of the following (in thousands): | ||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
March 31, | March 31, | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Amortization of debt discount | $ | (50 | ) | $ | — | $ | (50 | ) | $ | (126 | ) | ||||||
Amortization of deferred financing costs | (11 | ) | — | (11 | ) | (1 | ) | ||||||||||
Interest expense | (9 | ) | — | (9 | ) | — | |||||||||||
Net gain from sale of non-core assets | — | 101 | 101 | ||||||||||||||
Total other (expense) income | $ | (70 | ) | $ | 101 | $ | (70 | ) | $ | (26 | ) | ||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Assets Subject to Fair Value Measurements | The company’s assets subject to fair value measurements as of March 31, 2015 and June 30, 2014 are as follows (in thousands): | ||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Using Fair Value Hierarchy | |||||||||||||||||
Fair value | Level 1 | Level 2 | Level 3 | ||||||||||||||
31-Mar-15 | |||||||||||||||||
Current marketable securities - available for sale | $ | — | $ | — | $ | — | $ | — | |||||||||
Total | $ | — | $ | — | $ | — | $ | — | |||||||||
30-Jun-14 | |||||||||||||||||
Current marketable securities - available for sale | $ | 210 | $ | 210 | $ | — | $ | — | |||||||||
Total | $ | 210 | $ | 210 | $ | — | $ | — | |||||||||
Common_Stock_Warrants_Tables
Common Stock Warrants (Tables) | 9 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Equity [Abstract] | |||||||||||||||||
Schedule of Common Stock Warrant Activity | A schedule of common stock warrant activity is as follows (in thousands, except per share and average life data): | ||||||||||||||||
Number of | Weighted | Weighted | Aggregate | ||||||||||||||
Shares | Average | Average | Intrinsic | ||||||||||||||
Exercise Price | Remaining | Value | |||||||||||||||
Per Share | Contractual Life | ||||||||||||||||
(Years) | |||||||||||||||||
Outstanding, June 30, 2014 | 26,807 | $ | 1.26 | ||||||||||||||
Warrants issued | 1,333 | 0.9 | |||||||||||||||
Warrants expired | (1,185 | ) | 1.92 | ||||||||||||||
Outstanding, March 31, 2015 | 26,955 | $ | 1.21 | 2.81 | $ | — | |||||||||||
Exercisable, March 31, 2015 | 26,276 | $ | 1.21 | 2.61 | $ | — | |||||||||||
Basis_of_Presentation_Addition
Basis of Presentation - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended |
Mar. 31, 2015 | Mar. 31, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | |
Positions | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Number of positions eliminated | 20 | |||
Number of positions eliminated, percentage | 43.00% | |||
Workforce severance charges | $70,000 | $153,000 | ||
Veterans Affairs [Member] | Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Concentration risk percentage | 51.00% | 58.00% | ||
Forecast [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Reduction in future annualized operating cost | $2,800,000 |
Loss_Per_Share_Calculation_of_
Loss Per Share - Calculation of Basic and Diluted Loss Per Share (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings Per Share [Abstract] | ||||
Net loss | ($2,449) | ($1,581) | ($6,648) | ($5,032) |
Preferred stock dividends | -101 | -101 | -303 | -303 |
Deemed preferred stock dividends | -2,017 | |||
Net loss applicable to common shareholders | ($2,550) | ($1,682) | ($6,951) | ($7,352) |
Weighted average shares | 41,780 | 38,335 | 40,923 | 36,809 |
Basic and diluted loss per common share | ($0.06) | ($0.04) | ($0.17) | ($0.20) |
Loss_Per_Share_Additional_Info
Loss Per Share - Additional Information (Detail) (USD $) | 1 Months Ended | 9 Months Ended | |
Jun. 30, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | |
Options [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Antidilutive securities outstanding | -3,908,000 | -3,446,000 | |
Restricted Stock Units [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Antidilutive securities outstanding | -488,000 | -947,000 | |
Warrants [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Antidilutive securities outstanding | -26,955,000 | -26,808,000 | |
Series D Preferred Stock [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Accretion of the fair value allocated to a non-cash beneficial conversion feature | $2,150,000 | ||
Antidilutive securities outstanding | -6,125,000 | -6,125,000 | |
Series B Preferred Stock [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Antidilutive securities outstanding | -250,000 | -250,000 |
ShareBased_Compensation_Summar
Share-Based Compensation - Summary of Share-Based Compensation Expense by Category (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Share-based compensation expense | $160 | $174 | $453 | $398 |
SG&A [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Share-based compensation expense | 145 | 159 | 408 | 353 |
Product Development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Share-based compensation expense | 10 | 10 | 30 | 30 |
Cost of Revenues [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Share-based compensation expense | $5 | $5 | $15 | $15 |
ShareBased_Compensation_Summar1
Share-Based Compensation - Summary of Estimated Fair Value of Share-Based Compensation using Black-Scholes Option Pricing Model and Assumptions (Detail) | 9 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Risk Free Interest Rate | 0.60% | 1.40% |
Dividend Yield | 0.00% | 0.00% |
Volatility Factor | 84.00% | 89.00% |
Weighted Average Expected Option Life (Months) | 48 months | 48 months |
ShareBased_Compensation_Additi
Share-Based Compensation - Additional Information (Detail) (USD $) | 9 Months Ended | 0 Months Ended | 1 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | 1-May-14 | Apr. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation expense related to unvested share-based compensation arrangements | $548,000 | |||
Unrecognized compensation expense expected to be recognized over a weighted average period | 20 months | |||
Stock options exercised | 0 | 0 | ||
Weighted average grant date fair value of options granted | $0.50 | $0.63 | ||
Total fair value of options vested | 552,000 | 358,000 | ||
Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock units outstanding | 488,000 | |||
2011 Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common stock shares available for issuance | 6,750,000 | |||
Increase the number of shares of common stock available for issuance | 3,400,000 | |||
2011 Plan [Member] | Non-Executive [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock options issued | 643,109 | |||
Fair value of stock options issued | 259,100 | |||
Fair value of restricted common stock issued | 259,100 | |||
2011 Plan [Member] | Non-Executive [Member] | Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted common stock shares issued | 62,252 | |||
2011 Plan [Member] | Subsequent Event [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Fair value of restricted common stock issued | $15,000 | |||
2011 Plan [Member] | Subsequent Event [Member] | Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted common stock shares issued | 45,524 |
ShareBased_Compensation_Summar2
Share-Based Compensation - Summary of Stock Option Activity under Stock Option Plans for Employees and Non-Executive Directors (Detail) (USD $) | 9 Months Ended |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 |
Employees Information [Member] | |
Number of Options | |
Outstanding, Balance | 2,619,000 |
Granted | 715,000 |
Expired/forfeited | -915,000 |
Outstanding, Balance | 2,419,000 |
Exercisable, Balance | 1,368,000 |
Expected to vest, Balance | 823,000 |
Weighted Average Exercise Price | |
Outstanding, Balance | $3.59 |
Granted | $0.84 |
Expired/forfeited | $4.92 |
Outstanding, Balance | $2.31 |
Exercisable, Balance | $3 |
Expected to vest, Balance | $1.38 |
Weighted Average Remaining Contractual Life (Years) | |
Outstanding, Balance | 6 years 3 months 4 days |
Exercisable, Balance | 4 years 4 months 13 days |
Expected to vest, Balance | 7 years 9 months 7 days |
Aggregate Intrinsic Value | |
Outstanding, Balance | $0 |
Exercisable, Balance | 0 |
Expected to vest, Balance | 0 |
Non-Executive Director Information [Member] | |
Number of Options | |
Outstanding, Balance | 742,000 |
Granted | 758,000 |
Expired | -10,000 |
Outstanding, Balance | 1,490,000 |
Weighted Average Exercise Price | |
Outstanding, Balance | $1.39 |
Granted | $0.54 |
Expired | $14.30 |
Outstanding, Balance | $0.87 |
Weighted Average Remaining Contractual Life (Years) | |
Outstanding, Balance | 7 years 3 months 22 days |
Aggregate Intrinsic Value | |
Outstanding, Balance | $0 |
Marketable_Securities_Addition
Marketable Securities - Additional Information (Detail) (USD $) | 9 Months Ended |
Mar. 31, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Cumulative gross unrealized holding gains (losses) | $0 |
Gross realized gains (losses) | $0 |
Sale_of_NonCore_Assets_Additio
Sale of Non-Core Assets - Additional Information (Detail) (USD $) | 9 Months Ended | 1 Months Ended |
Mar. 31, 2014 | Feb. 28, 2014 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Net proceeds from sale | $851,000 | |
Health Fusion Inc [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Net proceeds from sale | 851,000 | |
Gain on sale of investment | $101,000 |
Inventory_Schedule_of_Inventor
Inventory - Schedule of Inventory (Detail) (USD $) | Mar. 31, 2015 | Jun. 30, 2014 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
Purchased components | $585 | $2,735 |
Finished goods | 333 | 202 |
Total inventory | $918 | $2,937 |
Inventory_Additional_Informati
Inventory - Additional Information (Detail) (USD $) | Mar. 31, 2015 |
In Millions, unless otherwise specified | |
Inventory Disclosure [Abstract] | |
Inventory balance offset against accounts payable | $1.60 |
Other_Intangible_Assets_Net_Li
Other Intangible Assets - Net Licenses and Other Intangible Assets (Detail) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Jun. 30, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $4,711 | $4,517 |
Accumulated Amortization | 2,664 | 2,379 |
Net Book Value | 2,047 | 2,138 |
Patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 357 | 353 |
Accumulated Amortization | 271 | 256 |
Net Book Value | 86 | 97 |
Useful Life In Years | 17 years | |
Trademarks [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 212 | 205 |
Accumulated Amortization | 105 | 97 |
Net Book Value | 107 | 108 |
Useful Life In Years | 20 years | |
Acquired Technologies [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 95 | 72 |
Accumulated Amortization | 72 | 72 |
Net Book Value | 23 | |
Useful Life In Years | 2 years | |
Licenses [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 4,047 | 3,887 |
Accumulated Amortization | 2,216 | 1,954 |
Net Book Value | $1,831 | $1,933 |
Minimum [Member] | Licenses [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Useful Life In Years | 3 years | |
Maximum [Member] | Licenses [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Useful Life In Years | 10 years |
Other_Intangible_Assets_Additi
Other Intangible Assets - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Jun. 30, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||||
Goodwill | $50,000 | $50,000 | $50,000 | ||
Amortization expense | $95,000 | $85,000 | $285,000 | $250,000 |
Other_Intangible_Assets_Amorti
Other Intangible Assets - Amortization Expense (Detail) (USD $) | Mar. 31, 2015 | Jun. 30, 2014 |
In Thousands, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2015 | $108 | |
2016 | 465 | |
2017 | 373 | |
2018 | 287 | |
2019 | 274 | |
Thereafter | 540 | |
Net Book Value | $2,047 | $2,138 |
Notes_Payable_Additional_Infor
Notes Payable - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | 0 Months Ended | |||||
Jan. 29, 2015 | Aug. 28, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Feb. 17, 2015 | Apr. 03, 2015 | Sep. 30, 2014 | Jun. 30, 2014 | |
Debt Instrument [Line Items] | ||||||||
Short term loan | $200,000 | $1,250,000 | ||||||
Warrants, exercisable period | 54 months | |||||||
Warrant exercise price per share | $0.89 | $0.84 | ||||||
Debt instrument carrying amount | 1,050,000 | |||||||
Debt discount | 12,000 | |||||||
Additional paid-in-capital related to issuance of warrants | 44,000 | |||||||
Non-cash amortization of the debt discount and deferred financing costs | 61,000 | 127,000 | ||||||
Promissory Note, With 8% [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument interest rate | 8.00% | |||||||
Aggregate principal amount of promissory notes | 100,000 | |||||||
Issuance of warrants | 80,000 | |||||||
Gross proceeds from issuance of common stock and warrants | 100,000 | |||||||
Debt instrument expiration period | 6 months | |||||||
Proceeds to be raised from other financing sources to repay the note | 3,000,000 | |||||||
Net proceeds from issuance of short term promissory notes | 92,000 | |||||||
Warrants, exercisable period | 54 months | |||||||
Warrant exercise price per share | $1.01 | |||||||
Additional proceeds from notes payable | 900,000 | |||||||
Effective interest rate of notes | 39.00% | |||||||
Promissory Note 5.76% Interest Rate [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument maturity date | 19-Mar-15 | |||||||
Debt instrument interest rate | 5.76% | |||||||
Aggregate principal amount of promissory notes | 950,000 | |||||||
Issuance of warrants | 99,500 | |||||||
Proceeds to be raised from other financing sources to repay the note | 950,000 | |||||||
Net proceeds from issuance of short term promissory notes | 940,000 | |||||||
Warrants, exercisable period | 54 months | |||||||
Warrant exercise price per share | $1.01 | |||||||
Effective interest rate of notes | 65.00% | |||||||
Debt instrument carrying amount | 1,050,000 | |||||||
Debt discount | 61,000 | |||||||
Additional paid-in-capital related to issuance of warrants | 61,000 | |||||||
Non-cash amortization of the debt discount and deferred financing costs | 61,000 | |||||||
Promissory Note 5.76% Interest Rate [Member] | Amendment Agreement [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument maturity date | 2-Jul-15 | |||||||
Issuance of warrants | 3,166,667 | |||||||
Warrants, exercisable period | 54 months | |||||||
Warrant exercise price per share | 0.31 | |||||||
Gain or loss on the extinguishment | 500,000 | |||||||
Secured Promissory Note [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Issuance of secured promissory notes | $200,000 | |||||||
Debt instrument maturity date | 30-Mar-15 | 30-Mar-15 | ||||||
Debt instrument interest rate | 6.00% |
Notes_Payable_Schedule_of_Note
Notes Payable - Schedule of Notes and Unamortized Debt Discount (Detail) (USD $) | Mar. 31, 2015 | Jun. 30, 2014 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ||
Notes payable | $1,050 | |
Unamortized debt discount | -12 | |
Notes payable | $1,038 |
Preferred_Stock_Additional_Inf
Preferred Stock - Additional Information (Detail) (USD $) | 9 Months Ended | 6 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | |
Series B Preferred Stock [Member] | |||
Preferred Stock [Line Items] | |||
Preferred stock, shares outstanding | 28,000 | ||
Redemption price of preferred stock per share | $25 | ||
Conversion rate of common stock per share | $2.80 | ||
Conversion of preferred stock and accrued dividends into common stock shares | 250,000 | ||
Accrued dividend | $52,500 | ||
Series D Preferred Stock [Member] | |||
Preferred Stock [Line Items] | |||
Preferred stock, shares outstanding | 665,000 | 665,000 | |
Redemption price of preferred stock per share | $10 | ||
Conversion rate of common stock per share | $1.09 | ||
Conversion of preferred stock and accrued dividends into common stock shares | 6,125,024 | ||
Accrued dividend | 83,100 | ||
Accrued dividend rate | 5.00% | ||
Preferred stock repurchased period | 2 years | ||
Preferred stock conversion period | 3 years | ||
Series D Preferred Stock [Member] | Senior Secured Notes [Member] | |||
Preferred Stock [Line Items] | |||
Aggregate principal amount of senior secured notes | 6,500,000 | ||
Series D Preferred Stock [Member] | Dividend Paid [Member] | |||
Preferred Stock [Line Items] | |||
Payment of accrued dividend | $167,616 | ||
Outstanding stock of restricted common stock | 154,385 |
Shareholders_Equity_Changes_in
Shareholder's Equity - Changes in Shareholders' Equity (Detail) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Jun. 30, 2014 |
Stockholders Equity [Line Items] | |||||
Beginning balance | $5,218 | ||||
Preferred stock dividends | -101 | -101 | -303 | -303 | |
Restricted stock issued for preferred stock dividends | 167 | ||||
Share-based compensation expense | 453 | ||||
Share based severance | 153 | ||||
Issuance of common stock, net | 2,118 | ||||
Restricted shares and stock options issued for services | 259 | ||||
Warrants issued with debt | 61 | ||||
Warrants issued for services | 44 | ||||
Net loss | -2,449 | -1,581 | -6,648 | -5,032 | |
Ending balance | 1,522 | 1,522 | |||
Preferred Stock [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning balance | 69 | ||||
Ending balance | 69 | 69 | 69 | ||
Common Stock [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning balance | 39 | ||||
Issuance of common stock, net | 3 | ||||
Ending balance | 42 | 42 | |||
Additional Paid-in Capital [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning balance | 201,492 | ||||
Restricted stock issued for preferred stock dividends | 167 | ||||
Share-based compensation expense | 453 | ||||
Share based severance | 153 | ||||
Issuance of common stock, net | 2,115 | ||||
Restricted shares and stock options issued for services | 259 | ||||
Warrants issued with debt | 61 | ||||
Warrants issued for services | 44 | ||||
Ending balance | 204,744 | 204,744 | |||
Accumulated Deficit [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning balance | -196,382 | ||||
Preferred stock dividends | -303 | ||||
Net loss | -6,648 | ||||
Ending balance | ($203,333) | ($203,333) |
Shareholders_Equity_Additional
Shareholder's Equity - Additional Information (Detail) | 9 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Equity [Abstract] | ||
Stock options exercised | 0 | 0 |
Warrants exercised | 0 |
Other_Expense_Income_Summary_o
Other (Expense) Income - Summary of Other (Expense) Income (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 |
Other Income and Expenses [Abstract] | ||||
Amortization of debt discount | ($50) | ($50) | ($126) | |
Amortization of deferred financing costs | -11 | -11 | -1 | |
Interest expense | -9 | -9 | ||
Net gain from sale of non-core assets | 101 | 101 | ||
Total other (expense) income | ($70) | $101 | ($70) | ($26) |
Other_Expense_Income_Additiona
Other (Expense) Income - Additional Information (Detail) (USD $) | 9 Months Ended | 0 Months Ended | 9 Months Ended |
Mar. 31, 2014 | Oct. 31, 2013 | Mar. 31, 2015 | |
Component of Other Income, Nonoperating [Abstract] | |||
Senior secured notes repaid | $850,000 | ||
Senior Secured Notes [Member] | |||
Component of Other Income, Nonoperating [Abstract] | |||
Senior secured notes repaid | $850,000 | ||
Senior secured notes stated maturity date | 31-Oct-13 |
Fair_Value_Measurements_Assets
Fair Value Measurements - Assets Subject to Fair Value Measurements (Detail) (USD $) | Jun. 30, 2014 | Mar. 31, 2015 |
In Thousands, unless otherwise specified | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Current marketable securities - available for sale | $210 | |
Marketable Securities [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Current marketable securities - available for sale | 210 | |
Level 1 [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Current marketable securities - available for sale | 210 | |
Level 1 [Member] | Marketable Securities [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Current marketable securities - available for sale | 210 | |
Level 2 [Member] | Marketable Securities [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Current marketable securities - available for sale | ||
Level 3 [Member] | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Current marketable securities - available for sale |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | 9 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Fair Value Disclosures [Abstract] | ||
Gains or losses resulting from fair value measurement of financial assets included in earnings | $0 | $0 |
Common_Stock_Warrants_Addition
Common Stock Warrants - Additional Information (Detail) (USD $) | 1 Months Ended | 0 Months Ended | |
Sep. 30, 2014 | Aug. 28, 2014 | Feb. 28, 2015 | |
Class of Warrant or Right [Line Items] | |||
Warrants issued to consultant for services | 150,000 | ||
Exercise price per share | $0.84 | 0.8875 | |
Warrants vesting start date | 31-Mar-15 | ||
Warrants life | 2 years | ||
Institutional Investors [Member] | |||
Class of Warrant or Right [Line Items] | |||
Issuance of warrants to purchase common stock | 1,003,678 | ||
Promissory Note [Member] | |||
Class of Warrant or Right [Line Items] | |||
Issuance of warrants to purchase common stock | 179,500 |
Common_Stock_Warrants_Schedule
Common Stock Warrants - Schedule of Common Stock Warrant Activity (Detail) (Warrants [Member], USD $) | 9 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 |
Warrants [Member] | |
Number of Shares | |
Outstanding, June 30, 2014 | 26,807 |
Warrants issued | 1,333 |
Warrants expired | -1,185 |
Outstanding, March 31, 2015 | 26,955 |
Exercisable, March 31, 2015 | 26,276 |
Weighted Average Exercise Price Per Share | |
Outstanding, June 30, 2014 | $1.26 |
Warrants issued | $0.90 |
Warrants expired | $1.92 |
Outstanding, March 31, 2015 | $1.21 |
Exercisable, March 31, 2015 | $1.21 |
Weighted Average Remaining Contractual Life (Years) | |
Outstanding, March 31, 2015 | 2 years 9 months 22 days |
Exercisable, March 31, 2015 | 2 years 7 months 10 days |
Aggregate Intrinsic Value | |
Outstanding, March 31, 2015 | $0 |
Exercisable, March 31, 2015 | $0 |
Recent_Equity_Offerings_Additi
Recent Equity Offerings - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | ||||
Aug. 28, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Sep. 30, 2014 | Aug. 28, 2014 | Jun. 30, 2014 | |
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 41,919,000 | 38,511,000 | ||||
Gross proceeds from issuance of common stock and warrants | $2,170,000 | |||||
Purchase price per unit | $0.71 | $0.71 | ||||
Warrants, exercisable period | 54 months | |||||
Exercise price of warrants | $0.89 | $0.84 | $0.89 | |||
Warrants, Not exercisable period from issuance date | 6 months | |||||
Net proceeds from issuance of warrants | 2,120,000 | |||||
Proceeds from sale of common stock and warrants | 2,118,000 | 2,854,000 | ||||
Warrants [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Fair value of warrants | 420,000 | |||||
Accredited Investor [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 3,041,454 | 3,041,454 | ||||
Institutional Investors [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Issuance of warrants to purchase common stock | 1,003,678 | |||||
Director [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 33,278 | 33,278 | ||||
Issuance of warrants to purchase common stock | 10,982 | |||||
Purchase price per unit | $0.75 | $0.75 | ||||
Proceeds from sale of common stock and warrants | 25,000 | |||||
Lazarus Investment Partners LLLP [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 704,225 | 704,225 | ||||
Issuance of warrants to purchase common stock | 232,394 | |||||
Percentage of ownership on common stock | 29.60% | |||||
Purchase amount | 500,000 | |||||
Board of Directors Chairman [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 211,268 | 211,268 | ||||
Issuance of warrants to purchase common stock | 69,718 | |||||
Proceeds from sale of common stock and warrants | 150,000 | |||||
Director One [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 352,113 | 352,113 | ||||
Issuance of warrants to purchase common stock | 116,197 | |||||
Proceeds from sale of common stock and warrants | 250,000 | |||||
Chief Executive Officer [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 133,111 | 133,111 | ||||
Issuance of warrants to purchase common stock | 43,927 | |||||
Proceeds from sale of common stock and warrants | 100,000 | |||||
Chief Financial Officer [Member] | ||||||
Conversion of Stock [Line Items] | ||||||
Common stock, shares issued | 66,556 | 66,556 | ||||
Issuance of warrants to purchase common stock | 21,963 | |||||
Proceeds from sale of common stock and warrants | $50,000 |
Other_Subsequent_Events_Additi
Other Subsequent Events - Additional Information (Detail) (USD $) | 0 Months Ended | ||
Aug. 28, 2014 | Apr. 24, 2015 | Sep. 30, 2014 | |
Subsequent Event [Line Items] | |||
Warrants, exercisable period | 54 months | ||
Warrant exercise price per share | $0.89 | $0.84 | |
Lazarus Investment Partners LLLP [Member] | |||
Subsequent Event [Line Items] | |||
Percentage of ownership on common stock | 29.60% | ||
Subsequent Event [Member] | Lazarus Investment Partners LLLP [Member] | |||
Subsequent Event [Line Items] | |||
Net proceeds from issuance of short term promissory notes | $500,000 | ||
Percentage of ownership on common stock | 29.40% | ||
Gross proceeds from issuance of common stock and warrants | 500,000 | ||
Debt instrument interest rate | 5.76% | ||
Proceeds to be raised from other financing sources to repay the note | 900,000 | ||
Net proceeds from issuance of warrants | $500,000 | ||
Warrants, exercisable period | 54 months | ||
Warrant exercise price per share | $0.25 | ||
Warrants held by related party | 6,233,600 | ||
Warrant expiration date | 2-Jul-15 |