Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Sep. 30, 2015 | Nov. 03, 2015 | |
DocumentAndEntityInformationAbstract | ||
Entity Registrant Name | E DIGITAL CORP | |
Entity Central Index Key | 886,328 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2015 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --03-31 | |
Is Entity a Well-known Seasoned Issuer? | No | |
Is Entity a Voluntary Filer? | No | |
Is Entity's Reporting Status Current? | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 293,678,330 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,016 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Sep. 30, 2015 | Mar. 31, 2015 |
Current | ||
Cash and cash equivalents | $ 1,481,132 | $ 1,952,981 |
Accounts receivable, net | 8,761 | 11,218 |
Inventory, net | 0 | 0 |
Deposits and prepaid expenses | 39,806 | 42,538 |
Total current assets | 1,529,699 | 2,006,737 |
Property, equipment and intangibles, net of accumulated depreciation and amortization of $161,753 and $166,529, respectively | 30,403 | 7,215 |
Total assets | 1,560,102 | 2,013,952 |
Current | ||
Accounts payable, trade | 143,438 | 140,293 |
Accrued and other liabilities | 107,000 | 156,759 |
Total current liabilities | $ 250,438 | $ 297,052 |
Commitments and Contingencies | ||
Stockholders' equity | ||
Preferred stock, $0.001 par value; 5,000,000 shares authorized, none issued and outstanding | $ 0 | $ 0 |
Common stock, $0.001 par value, authorized 350,000,000, 293,428,330 and 293,378,330 issued and outstanding, respectively | 293,678 | 293,378 |
Additional paid-in capital | 82,998,169 | 82,931,048 |
Accumulated deficit | (81,982,183) | (81,507,526) |
Total stockholders' equity | 1,309,664 | 1,716,900 |
Total liabilities and stockholders' equity | $ 1,560,102 | $ 2,013,952 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Sep. 30, 2015 | Mar. 31, 2015 |
ASSETS | ||
Accumulated depreciation | $ 161,753 | $ 166,529 |
Stockholders' equity | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ .001 | $ 0.001 |
Common stock, shares authorized | 350,000,000 | 350,000,000 |
Common stock, shares issued | 293,678,330 | 298,378,330 |
Common stock, shares outstanding | 293,678,330 | 293,378,330 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Revenues: | ||||
Products and services | $ 10,905 | $ 54,468 | $ 16,031 | $ 104,716 |
Patent licensing | 153,500 | 340,034 | 693,500 | 972,534 |
Total Revenues | 164,405 | 394,502 | 709,531 | 1,077,250 |
Cost of revenues: | ||||
Products and services | 4,308 | 105,616 | 8,256 | 159,407 |
Patent licensing and litigation costs | 112,500 | 113,089 | 225,000 | 225,589 |
Contingent legal fees and expenses | 56,573 | 96,712 | 286,895 | 303,376 |
Selling and administrative | 260,158 | 176,717 | 481,183 | 363,487 |
Research and related expenditures | 85,248 | 75,224 | 182,854 | 167,808 |
Total operating costs and expenses | 518,787 | 567,358 | 1,184,188 | 1,219,667 |
Operating loss before provision for income taxes | (354,382) | (172,856) | (474,657) | (142,417) |
Provision for income taxes | 0 | 0 | 0 | 0 |
Net loss for the period | $ (354,382) | $ (172,856) | $ (474,657) | $ (142,417) |
Loss per common share - basic and diluted | $ 0 | $ 0 | $ 0 | $ 0 |
Weighted average common shares outstanding | ||||
Basic and diluted | 293,621,265 | 293,328,330 | 293,507,292 | 293,328,330 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 6 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
OPERATING ACTIVITIES | ||
Net loss for period | $ (474,657) | $ (142,417) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 1,969 | 2,584 |
Inventory market and reserve adjustment | 0 | 51,956 |
Stock-based compensation | 60,821 | 25,058 |
Changes in assets and liabilities: | ||
Accounts receivable | 2,457 | 176,892 |
Inventory | 0 | 1,963 |
Deposits and prepaid expenses | 2,732 | 16,510 |
Accounts payable, trade | 3,145 | 37,037 |
Accrued and other liabilities | (49,759) | (111,693) |
Cash provided by (used in) operating activities | (453,292) | 57,890 |
INVESTING ACTIVITIES | ||
Purchase of equipment and intangibles | (25,157) | 0 |
Cash used in investing activities | (25,157) | 0 |
FINANCING ACTIVITIES | ||
Proceeds from sale of common stock | 6,600 | 0 |
Cash used in financing activities | 6,600 | 0 |
Net increase (decrease) in cash and cash equivalents | (471,849) | 57,890 |
Cash and cash equivalents, beginning of period | 1,952,981 | 1,787,863 |
Cash and cash equivalents, end of period | $ 1,481,132 | $ 1,845,753 |
1. NATURE OF OPERATIONS AND BAS
1. NATURE OF OPERATIONS AND BASIS OF PRESENTATION | 6 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
1. NATURE OF OPERATIONS AND BASIS OF PRESENTATION | e.Digital Corporation is a holding company incorporated under the laws of Delaware that operates through a wholly-owned California subsidiary of the same name. The Company is developing and marketing an intellectual property portfolio consisting of context and interpersonal awareness systems (Nunchi® technology), advanced data security technologies (microSignet technology), secure communication technologies (Synap technology) and other technologies. Unaudited Interim Financial Statements These unaudited condensed consolidated financial statements have been prepared by management in accordance with accounting principles generally accepted in the United States and with the instructions to Form 10-Q and Article 10 of Regulation S-X which contemplates the realization of assets and the discharge of liabilities in the normal course of business for the foreseeable future. These interim condensed consolidated financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. In the opinion of management, the unaudited consolidated financial statements reflect all adjustments considered necessary for a fair statement of the Company's financial position at September 30, 2015, and the results of its operations and cash flows for the periods presented, consisting only of normal and recurring adjustments. All significant intercompany transactions have been eliminated in consolidation. Operating results for the six months ended September 30, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending March 31, 2016. For further information, refer to the Company's consolidated financial statements and footnotes thereto for the year ended March 31, 2015 filed on Form 10-K. Liquidity / Going Concern The Company has incurred significant historical losses and negative cash flow from operations and has an accumulated deficit of $81,982,183 at September 30, 2015. Other than cash on hand, the Company has no other sources of financing currently available as of September 30, 2015. The Company may incur additional losses in the future until licensing or other revenues are sufficient to sustain continued profitability. Until the Company can demonstrate sustained profitability, its ability to continue as a going concern is in doubt and may be dependent upon obtaining additional financing in the future. There is no assurance that the Company will be successful in generating or raising funds, if necessary, to sustain its operations for twelve months or beyond. Should the Company be unable to generate funds or obtain required financing, it may have to curtail operations, which may have a material adverse effect on its financial position and results of operations. Uncertainty as to the outcome of these factors raises substantial doubt about the Companys ability to continue as a going concern. These consolidated financial statements do not give effect to any adjustments that would be necessary should the Company be unable to continue as a going concern and therefore be required to realize its assets and discharge its liabilities in other than the normal course of business and at amounts different from those reflected in the accompanying consolidated financial statements. Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
2. RECENT ACCOUNTING PRONOUNCEM
2. RECENT ACCOUNTING PRONOUNCEMENTS | 6 Months Ended |
Sep. 30, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
2. RECENT ACCOUNTING PRONOUNCEMENTS | In April 2014, the FASB issued ASU No. 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date In June 2014, the FASB issued ASU No. 2014-12, Compensation Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide that a Performance Target Could be Achieved after the Requisite Service Period In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements Going Concern (Subtopic 205-40) - Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern. Since this guidance primarily addresses certain disclosures to the financial statements, we anticipate no impact on our financial position, results of operations or cash flows from adopting this standard. . In January 2015, the FASB issued ASU 2015-01, Extraordinary and Unusual Items, In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory Other Accounting Standards Updates not effective until after September 30, 2015 are not expected to have a material effect on the Companys financial position or results of operations. |
3. LOSS PER SHARE
3. LOSS PER SHARE | 6 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
3. LOSS PER SHARE | Basic loss per common share is computed by dividing loss for the period by the weighted-average number of shares of common stock outstanding during the period. Diluted loss per common share is computed by dividing loss attributable by the weighted-average number of shares of common stock outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the potentially dilutive securities had been issued. Potentially dilutive securities included outstanding stock options. There was no material difference in basic and diluted loss per share or basic and diluted weighted average shares outstanding for the periods presented. |
4. LIQUIDITY
4. LIQUIDITY | 6 Months Ended |
Sep. 30, 2015 | |
Notes to Financial Statements | |
4. LIQUIDITY | The Company has not identified any trends or any known demands, commitments, events or uncertainties that will result in or that are reasonably likely to result in a material increase or decrease of liquidity. During the third quarter of fiscal 2015 the Company ceased marketing eVU products and accessories, but provided service to one customer through September 30, 2015. The termination of eVU operations and the loss of eVU revenues did not have a material impact on liquidity, results of operations or financial condition of the Company. |
5. INVENTORIES
5. INVENTORIES | 6 Months Ended |
Sep. 30, 2015 | |
Inventory Disclosure [Abstract] | |
5. INVENTORIES | Inventory is recorded at the lower of cost or net realizable value. The cost of substantially all the Companys inventory is determined by the weighted average cost method. The Company reserves for inventory that is obsolete or determined to be slow-moving and classifies the slow moving portion of inventory as a long-term asset. The Company has ceased offering new eVU systems and accordingly has fully reserved inventory at September 30, 2015. Inventories consisted of the following: September 30, March 31, 2015 2015 $ $ Raw materials 50,297 37,559 Work in process 12,842 Finished goods 29,512 29,512 79,809 79,913 Reserve for obsolescence (79,809 ) (79,913 ) The foregoing is net of an aggregate lower-of-cost-or-market inventory adjustment of $67,301 at September 30, 2015 and $70,858 at March 31, 2015. The Company has ceased offering new eVU systems and accordingly has fully reserved inventory at September 30, 2015. |
6. STOCK-BASED COMPENSATION COS
6. STOCK-BASED COMPENSATION COSTS | 6 Months Ended |
Sep. 30, 2015 | |
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | |
6. STOCK-BASED COMPENSATION COSTS | The Company accounts for stock-based compensation under the provisions of ASC 718, Share-Based Payment Equity-Based Payments to Non-Employees. Three Months Ended Six Months Ended September 30, September 30, 2015 2014 2015 2014 $ $ $ $ Research and development 5,159 2,547 10,488 5,094 Selling and administrative 24,653 9,982 50,333 19,964 Total stock-based compensation expense 29,812 12,529 60,821 25,058 No stock options were granted during the three or six-month periods ended September 30, 2015 and 2014. As of September 30, 2015 total estimated compensation cost of stock options granted but not yet vested was $57,870 and is expected to be recognized over the weighted average period of 1.0 years. See Note 7 for further information on outstanding stock options. |
7. STOCKHOLDERS' EQUITY
7. STOCKHOLDERS' EQUITY | 6 Months Ended |
Sep. 30, 2015 | |
Stockholders' equity | |
7. STOCKHOLDERS' EQUITY | The following table summarizes stockholders equity transactions during the six-month period ended September 30, 2015: Common stock Additional Accumulated Total stockholders' Shares Amount paid-in capital deficit equity $ $ $ $ Balance, April 1, 2015 293,378,330 293,378 82,931,048 (81,507,526 ) 1,716,900 Stock-based compensation 60,821 60,821 Shares issued on exercise of stock options 300,000 300 6,300 6,600 Loss for the period (474,657 ) (474,657 ) Balance, September 30, 2015 293,678,330 293,678 82,998,169 (81,982,183 ) 1,309,664 Options The following table summarizes stock option activity for the period: Weighted average Aggregate Shares exercise price Intrinsic Value # $ $ Outstanding April 1, 2015 5,948,578 0.0670 Granted Exercised (300,000 ) 0.0220 Canceled/expired (50,000 ) 0.1100 Outstanding September 30, 2015 5,598,578 0.0687 $ 22,799 Exercisable at September 30, 2015 4,578,578 0.0595 $ 22,799 (1) Options outstanding are exercisable at prices ranging from $0.022 to $0.11 and expire over the period from 2015 to 2019. (2) Aggregate intrinsic value is based on the closing price of our common stock on September 30, 2015 of $0.0435 and excludes the impact of options that were not in-the-money. Share warrants No warrants were outstanding at September 30, 2015 and September 30, 2014. Since the Company has a net operating loss carryforward as of September 30, 2015, no excess tax benefit for the tax deductions related to stock-based awards was recognized for the quarter ended September 30, 2015. Additionally, no incremental tax benefits were recognized from stock options exercised during the quarter ended September 30, 2015 that would have resulted in a reclassification to reduce net cash provided by operating activities with an offsetting increase in net cash provided by financing activities. |
8. FAIR VALUE MEASUREMENTS
8. FAIR VALUE MEASUREMENTS | 6 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
8. FAIR VALUE MEASUREMENTS | Cash and cash equivalents are measured at fair value in the Companys consolidated financial statements. Accounts receivable are financial assets with carrying values that approximate fair value due to the short-term nature of these assets. Accounts payable, and accrued and other liabilities are financial liabilities with carrying values that approximate fair value due to the short-term nature of these liabilities. Effective April 1, 2008 the Company adopted and follows ASC 820, Fair Value Measurements and Disclosures The Companys cash and cash equivalents are valued using unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 inputs under ASC 820). |
9. SEGMENT INFORMATION
9. SEGMENT INFORMATION | 6 Months Ended |
Sep. 30, 2015 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
9. SEGMENT INFORMATION | ASC 280 Segment Reporting Accounting policies for each of the operating segments are the same as on a consolidated basis. Reportable segment information for the three and six months ended September 30, 2015 and 2014 is as follows: For the three months ended For the six months ended September 30, September 30, 2015 2014 2015 2014 $ $ $ $ SEGMENT REVENUES: Products and services 10,905 54,468 16,031 104,716 Patent licensing 153,500 340,034 693,500 972,534 Total revenue 164,405 394,502 709,531 1,077,250 SEGMENT COST OF REVENUES: Products and services 4,308 105,616 8,256 159,407 Patent licensing and litigation costs 112,500 113,089 225,000 225,589 Contingent legal fees and expenses 56,573 96,712 286,895 303,376 Total cost of revenues 173,381 315,417 520,151 688,372 RECONCILIATION: Segment income (loss) before corporate costs (8,976) 79,085 189,380 388,878 Other corporate operating costs 345,406 251,941 664,037 531,295 Operating (loss) before provision for income taxes (354,382) (172,856) (474,657) (142,417) The Company does not have significant assets employed in the patent license segment and does not track capital expenditures or assets by reportable segment. Consequently it is not practicable to show this information. Revenue by geographic region is determined based on the location of the Companys direct customers or distributors for product sales and services. Patent license revenue is considered United States revenue as payments are for licenses for United States operations irrespective of the location of the licensees home domicile. For the three months ended For the six months ended September 30, September 30, 2015 2014 2015 2014 $ $ $ $ United States 153,500 340,034 693,500 972,534 International 10,905 54,468 16,031 104,716 Total revenue 164,405 394,502 709,531 1,077,250 Revenues from three licensees comprised 25%, 21% and 14% of revenue for the six months ended September 30, 2015, with no other licensee or customer accounting for more than 10% of revenues. Revenues from two licensees comprised 13%, and 12% of revenue for the six months ended September 30, 2014, with no other licensee accounting for more than 10% of revenues. Accounts receivable from one customer comprised 100% of net accounts receivable at September 30, 2015. Accounts receivable from three customers comprised 56%, 30% and 10% of net accounts receivable at September 30, 2014. |
5. INVENTORIES (Tables)
5. INVENTORIES (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | September 30, March 31, 2015 2015 $ $ Raw materials 50,297 37,559 Work in process 12,842 Finished goods 29,512 29,512 79,809 79,913 Reserve for obsolescence (79,809 ) (79,913 ) |
6. STOCK-BASED COMPENSATION C16
6. STOCK-BASED COMPENSATION COSTS (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | |
Stock-based compensation expense | Three Months Ended Six Months Ended September 30, September 30, 2015 2014 2015 2014 $ $ $ $ Research and development 5,159 2,547 10,488 5,094 Selling and administrative 24,653 9,982 50,333 19,964 Total stock-based compensation expense 29,812 12,529 60,821 25,058 |
7. STOCKHOLDERS' EQUITY (Tables
7. STOCKHOLDERS' EQUITY (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Stockholders' equity | |
Summarizes stockholders' equity transactions | Common stock Additional Accumulated Total stockholders' Shares Amount paid-in capital deficit equity $ $ $ $ Balance, April 1, 2015 293,378,330 293,378 82,931,048 (81,507,526 ) 1,716,900 Stock-based compensation 60,821 60,821 Shares issued on exercise of stock options 300,000 300 6,300 6,600 Loss for the period (474,657 ) (474,657 ) Balance, September 30, 2015 293,678,330 293,678 82,998,169 (81,982,183 ) 1,309,664 |
Summarizes stock option activity | Weighted average Aggregate Shares exercise price Intrinsic Value # $ $ Outstanding April 1, 2015 5,948,578 0.0670 Granted Exercised (300,000 ) 0.0220 Canceled/expired (50,000 ) 0.1100 Outstanding September 30, 2015 5,598,578 0.0687 $ 22,799 Exercisable at September 30, 2015 4,578,578 0.0595 $ 22,799 |
9. SEGMENT INFORMATION (Tables)
9. SEGMENT INFORMATION (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Reportable segment information | For the three months ended For the six months ended September 30, September 30, 2015 2014 2015 2014 $ $ $ $ SEGMENT REVENUES: Products and services 10,905 54,468 16,031 104,716 Patent licensing 153,500 340,034 693,500 972,534 Total revenue 164,405 394,502 709,531 1,077,250 SEGMENT COST OF REVENUES: Products and services 4,308 105,616 8,256 159,407 Patent licensing and litigation costs 112,500 113,089 225,000 225,589 Contingent legal fees and expenses 56,573 96,712 286,895 303,376 Total cost of revenues 173,381 315,417 520,151 688,372 RECONCILIATION: Segment income (loss) before corporate costs (8,976) 79,085 189,380 388,878 Other corporate operating costs 345,406 251,941 664,037 531,295 Operating (loss) before provision for income taxes (354,382) (172,856) (474,657) (142,417) |
Revenue by geographic region | For the three months ended For the six months ended September 30, September 30, 2015 2014 2015 2014 $ $ $ $ United States 153,500 340,034 693,500 972,534 International 10,905 54,468 16,031 104,716 Total revenue 164,405 394,502 709,531 1,077,250 |
5. INVENTORIES (Details)
5. INVENTORIES (Details) - USD ($) | Sep. 30, 2015 | Mar. 31, 2015 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 50,297 | $ 37,559 |
Work in process | 0 | 12,842 |
Finished goods | 29,512 | 29,512 |
Total Current Inventory | 79,809 | 79,913 |
Reserve for obsolescence | (79,809) | (79,913) |
Inventory, net | $ 0 | $ 0 |
5. INVENTORIES (Details Narrati
5. INVENTORIES (Details Narratives) - USD ($) | Sep. 30, 2015 | Mar. 31, 2015 |
Inventory Disclosure [Abstract] | ||
Aggregate lower of cost-or-market adjustment | $ 67,301 | $ 70,858 |
6. STOCK-BASED COMPENSATION C21
6. STOCK-BASED COMPENSATION COSTS (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Total stock-based compensation expense | $ 29,812 | $ 12,529 | $ 60,821 | $ 25,058 |
Research and Development Expense [Member] | ||||
Total stock-based compensation expense | 5,159 | 2,547 | 10,488 | 5,094 |
Selling and Administrative Expenses [Member] | ||||
Total stock-based compensation expense | $ 24,653 | $ 9,982 | $ 50,333 | $ 19,964 |
6. STOCK-BASED COMPENSATION C22
6. STOCK-BASED COMPENSATION COSTS (Details Narrative) | 6 Months Ended |
Sep. 30, 2015USD ($) | |
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | |
Compensation cost of options granted but not yet vested | $ 57,870 |
Nonvested weighted average period | 1 year |
7. STOCKHOLDERS EQUITY (Details
7. STOCKHOLDERS EQUITY (Details) - USD ($) | 3 Months Ended | 6 Months Ended |
Sep. 30, 2015 | Sep. 30, 2015 | |
Common Stock | ||
Beginning balance, shares | 293,378,330 | |
Beginning balance, value | $ 293,378 | |
Shares issued on exercise of stock options, shares | 300,000 | |
Shares issued on exercise of stock options, value | $ 300 | |
Ending balance, shares | 293,678,330 | 293,678,330 |
Ending balance, value | $ 293,678 | $ 293,678 |
Additional Paid-In Capital | ||
Beginning balance, value | 82,931,048 | |
Stock-based compensation | 60,821 | |
Shares issued on exercise of stock options, value | 6,300 | |
Ending balance, value | 82,998,169 | 82,998,169 |
Accumulated Deficit | ||
Beginning balance, value | (81,507,526) | |
Loss for the period | (474,657) | |
Ending balance, value | (81,982,183) | (81,982,183) |
Beginning balance, value | 1,716,900 | |
Stock-based compensation | 60,821 | |
Shares issued on exercise of stock options, value | 6,600 | |
Loss for the period | (354,382) | (474,657) |
Ending balance, value | $ 1,309,664 | $ 1,309,664 |
7. STOCKHOLDERS' EQUITY (Detail
7. STOCKHOLDERS' EQUITY (Details-Stock Option Activity) | 6 Months Ended |
Sep. 30, 2015USD ($)$ / sharesshares | |
Shares | |
Options Outstanding, beginning balance | shares | 5,948,578 |
Granted | shares | 0 |
Exercised | shares | (300,000) |
Canceled/expired | shares | (50,000) |
Outstanding, ending balance | shares | 5,598,578 |
Exercisable | shares | 4,578,578 |
Weighted average exercise price | |
Options Outstanding, beginning balance | $ .0670 |
Granted | |
Exercised | $ 0.022 |
Canceled/expired | .110 |
Outstanding, ending balance | .0687 |
Exercisable | $ .0595 |
Aggregate Intrinsic Value | |
Outstanding, ending balance | $ | $ 22,799 |
Exercisable | $ | $ 22,799 |
7. STOCKHOLDERS' EQUITY (Deta25
7. STOCKHOLDERS' EQUITY (Details Narrative) | 6 Months Ended |
Sep. 30, 2015USD ($)$ / shares | |
Stockholders' equity | |
Options outstanding exercisable at prices range Minimum | $ .022 |
Options outstanding exercisable at prices range Maximum | 0.11 |
Aggregate intrinsic value | $ .0435 |
Warrants outstanding | $ | $ 0 |
9. SEGMENT INFORMATION (Details
9. SEGMENT INFORMATION (Details - Segment info) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Total revenue | $ 164,405 | $ 394,502 | $ 709,531 | $ 1,077,250 |
Total cost of revenues | 173,381 | 315,417 | 520,151 | 688,372 |
Segment income before corporate costs | (8,976) | 79,085 | 189,380 | 388,878 |
Other corporate operating costs | 345,406 | 251,941 | 664,037 | 531,295 |
Operating (loss) income before provision for income taxes | (354,382) | (172,856) | (474,657) | (142,417) |
Products And Services [Member] | ||||
Total revenue | 10,905 | 54,468 | 16,031 | 104,716 |
Total cost of revenues | 4,308 | 105,616 | 8,256 | 159,407 |
Patent Licensing | ||||
Total revenue | 153,500 | 340,034 | 693,500 | 972,534 |
Patent licensing and litigation costs | ||||
Total cost of revenues | 112,500 | 113,089 | 225,000 | 225,589 |
Contingent Legal Fees [Member] | ||||
Total cost of revenues | $ 56,573 | $ 96,712 | $ 286,895 | $ 303,376 |
9. SEGMENT INFORMATION (Detai27
9. SEGMENT INFORMATION (Details - Revenue by Geographic Region) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Total revenue | $ 164,405 | $ 394,502 | $ 709,531 | $ 1,077,250 |
UNITED STATES | ||||
Total revenue | 153,500 | 340,034 | 693,500 | 972,534 |
International | ||||
Total revenue | $ 10,905 | $ 54,468 | $ 16,031 | $ 104,716 |
9. SEGMENT INFORMATION (Detai28
9. SEGMENT INFORMATION (Details Narrative) | 6 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Revenue | Customer1 | ||
Concentration percentage | 25.00% | 13.00% |
Revenue | Customer2 | ||
Concentration percentage | 21.00% | 12.00% |
Revenue | Customer3 | ||
Concentration percentage | 14.00% | |
Accounts Receivable | Customer1 | ||
Concentration percentage | 100.00% | 56.00% |
Accounts Receivable | Customer2 | ||
Concentration percentage | 30.00% | |
Accounts Receivable | Customer3 | ||
Concentration percentage | 10.00% |
10. COMMITMENTS AND CONTINGENCI
10. COMMITMENTS AND CONTINGENCIES (Details Narrative) | 6 Months Ended |
Sep. 30, 2015USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Monthly retainer fee against future contingency recoveries | $ 30,000 |
Future lease commitments | 148,012 |
Deferred rent | 23,339 |
Cash in excess of FDIC insured limits | 1,240,000 |
Company matching contributions to 401K Plan | $ 5,049 |
11. INCOME TAXES (Details Narra
11. INCOME TAXES (Details Narrative) | 6 Months Ended |
Sep. 30, 2015USD ($) | |
Income Tax Disclosure [Abstract] | |
Provision for income taxes | $ 0 |
Effective tax rate | 0.00% |
Liabilities for uncertain tax positions | $ 0 |