Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Feb. 18, 2021 | Jun. 30, 2020 | |
Cover [Abstract] | |||
Entity Registrant Name | PERMA FIX ENVIRONMENTAL SERVICES INC | ||
Entity Central Index Key | 0000891532 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2020 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business Flag | true | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 72,649,482 | ||
Entity Common Stock, Shares Outstanding | 12,165,734 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2020 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Current assets: | |||
Cash | $ 7,924 | $ 390 | |
Accounts receivable, net of allowance for doubtful accounts of $404 and $487, respectively | 9,659 | 13,178 | |
Unbilled receivables | 14,453 | 7,984 | |
Inventories | 610 | 487 | |
Prepaid and other assets | 3,967 | 2,983 | |
Current assets related to discontinued operations | 22 | 104 | |
Total current assets | 36,635 | 25,126 | |
Property and equipment: | |||
Buildings and land | 20,139 | 19,967 | |
Equipment | 22,090 | 20,068 | |
Vehicles | 457 | 410 | |
Leasehold improvements | 23 | 23 | |
Office furniture and equipment | 1,413 | 1,418 | |
Construction-in-progress | 1,569 | 1,609 | |
Total property and equipment | 45,691 | 43,495 | |
Less accumulated depreciation | (27,908) | (26,919) | |
Net property and equipment | 17,783 | 16,576 | |
Property and equipment related to discontinued operations | 81 | 81 | |
Operating lease right-of-use assets | 2,287 | 2,545 | |
Intangibles and other long term assets: | |||
Permits | 8,922 | 8,790 | |
Other intangible assets - net | 875 | 1,065 | |
Finite risk sinking fund (restricted cash) | 11,446 | 11,307 | |
Other assets | 890 | 989 | |
Other assets related to discontinued operations | 36 | ||
Total assets | [1] | 78,919 | 66,515 |
Current liabilities: | |||
Accounts payable | 15,382 | 9,277 | |
Accrued expenses | 6,381 | 6,118 | |
Disposal/transportation accrual | 1,220 | 1,156 | |
Deferred revenue | 4,614 | 5,456 | |
Accrued closure costs - current | 75 | 84 | |
Current portion of long-term debt | [2] | 3,595 | 1,300 |
Current portion of operating lease liabilities | 273 | 244 | |
Current portion of finance lease liabilities | 525 | 471 | |
Current liabilities related to discontinued operations | 898 | 994 | |
Total current liabilities | 32,963 | 25,100 | |
Accrued closure costs | 6,290 | 5,957 | |
Deferred tax liabilities | 471 | 590 | |
Long-term debt, less current portion | 3,134 | 2,580 | |
Long-term operating lease liabilities, less current portion | 2,070 | 2,342 | |
Long-term finance lease liabilities, less current portion | 662 | 466 | |
Other long-term liabilities | 626 | ||
Long-term liabilities related to discontinued operations | 252 | 244 | |
Total long-term liabilities | 13,505 | 12,179 | |
Total liabilities | 46,468 | 37,279 | |
Commitments and Contingencies (Note 14) | |||
Stockholders' Equity: | |||
Preferred Stock, $.001 par value; 2,000,000 shares authorized, no shares issued and outstanding | |||
Common Stock, $.001 par value; 30,000,000 shares authorized; 12,161,539 and 12,123,520 shares issued, respectively; 12,153,897 and 12,115,878 shares outstanding, respectively | 12 | 12 | |
Additional paid-in capital | 108,931 | 108,457 | |
Accumulated deficit | (74,455) | (77,315) | |
Accumulated other comprehensive loss | (207) | (211) | |
Less Common Stock in treasury, at cost; 7,642 shares | (88) | (88) | |
Total Perma-Fix Environmental Services, Inc. stockholders' equity | 34,193 | 30,855 | |
Non-controlling interest | (1,742) | (1,619) | |
Total stockholders' equity | 32,451 | 29,236 | |
Total liabilities and stockholders' equity | $ 78,919 | $ 66,515 | |
[1] | Segment assets have been adjusted for intercompany accounts to reflect actual assets for each segment. | ||
[2] | Net of debt discount/debt issuance costs of ($0) and ($248,000) at December 31, 2020 and December 31, 2019, respectively. The Promissory Note provided for prepayment of principal over the term of the Note without penalty. In 2019, the Company made total prepayment of principal of $520,000 which was reflected in the current portion of the debt. In 2020, the outstanding principal balance of $1,980,000 was paid-in-full of which of which $416,000 was prepaid. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 404 | $ 487 |
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value | $ 0.001 | $ .001 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 12,161,539 | 12,123,520 |
Common stock, shares outstanding | 12,153,897 | 12,115,878 |
Treasury stock, shares | 7,642 | 7,642 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement [Abstract] | ||
Net revenues | $ 105,426 | $ 73,459 |
Cost of goods sold | 89,533 | 57,875 |
Gross profit | 15,893 | 15,584 |
Selling, general and administrative expenses | 11,774 | 11,862 |
Research and development | 762 | 750 |
Loss on disposal of property and equipment | 29 | 3 |
Income from operations | 3,328 | 2,969 |
Other income (expense): | ||
Interest income | 140 | 337 |
Interest expense | (398) | (432) |
Interest expense-financing fees | (294) | (208) |
Other | 211 | 223 |
Loss on debt extinguishment of debt | (27) | |
Income from continuing operations before taxes | 2,960 | 2,889 |
Income tax (benefit) expense | (189) | 157 |
Income from continuing operations, net of taxes | 3,149 | 2,732 |
Loss from discontinued operations, net of taxes of $0 | (412) | (541) |
Net income | 2,737 | 2,191 |
Net loss attributable to non-controlling interest | (123) | (124) |
Net income attributable to Perma-Fix Environmental Services, Inc. common stockholders | $ 2,860 | $ 2,315 |
Net income (loss) per common share attributable to Perma-Fix Environmental Services, Inc. stockholders - basic: | ||
Continuing operations | $ .27 | $ .24 |
Discontinued operations | (.03) | (.05) |
Net income per common share | .24 | .19 |
Net income (loss) per common share attributable to Perma-Fix Environmental Services, Inc. stockholders - diluted: | ||
Continuing operations | .26 | .24 |
Discontinued operations | (.03) | (.05) |
Net income per common share | $ .23 | $ .19 |
Number of common shares used in computing net income (loss) per share: | ||
Basic | 12,139 | 12,046 |
Diluted | 12,347 | 12,060 |
Consolidated Statements of Op_2
Consolidated Statements of Operations (Parenthetical) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement [Abstract] | ||
Loss from discontinued operations, tax | $ 0 | $ 0 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | ||
Net Income | $ 2,737 | $ 2,191 |
Other comprehensive income: | ||
Foreign currency translation adjustments | 4 | 3 |
Total other comprehensive income | 4 | 3 |
Comprehensive income | 2,741 | 2,194 |
Comprehensive loss attributable to non-controlling interest | (123) | (124) |
Comprehensive income attributable to Perma-Fix Environmental Services, Inc. common stockholders | $ 2,864 | $ 2,318 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-In Capital [Member] | Common Stock Held In Treasury [Member] | Accumulated Other Comprehensive Loss [Member] | Non-controlling Interest in Subsidiary [Member] | Accumulated Deficit [Member] | Total |
Balance at Dec. 31, 2018 | $ 12 | $ 107,548 | $ (88) | $ (214) | $ (1,495) | $ (79,630) | $ 26,133 |
Balance, shares at Dec. 31, 2018 | 11,944,215 | ||||||
Net Income (loss) | (124) | 2,315 | 2,191 | ||||
Foreign currency translation | 3 | 3 | |||||
Issuance of Common Stock for services | 241 | 241 | |||||
Issuance of Common Stock for services, shares | 71,905 | ||||||
Stock-Based Compensation | 179 | 179 | |||||
Issuance of Common Stock with debt | 263 | 263 | |||||
Issuance of Common Stock with debt, shares | 75,000 | ||||||
Issuance of warrant with debt | 93 | 93 | |||||
Issuance of Common Stock upon exercise of options | 133 | 133 | |||||
Issuance of Common Stock upon exercise of options, shares | 32,400 | ||||||
Balance at Dec. 31, 2019 | $ 12 | 108,457 | $ (88) | (211) | (1,619) | (77,315) | 29,236 |
Balance, shares at Dec. 31, 2019 | 12,123,520 | ||||||
Net Income (loss) | (123) | 2,860 | 2,737 | ||||
Foreign currency translation | 4 | 4 | |||||
Issuance of Common Stock for services | 232 | 232 | |||||
Issuance of Common Stock for services, shares | 34,135 | ||||||
Stock-Based Compensation | 236 | 236 | |||||
Issuance of Common Stock upon exercise of options | 6 | 6 | |||||
Issuance of Common Stock upon exercise of options, shares | 3,884 | ||||||
Balance at Dec. 31, 2020 | $ 12 | $ 108,931 | $ (88) | $ (207) | $ (1,742) | $ (74,455) | $ 32,451 |
Balance, shares at Dec. 31, 2020 | 12,161,539 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Cash flows from operating activities: | |||
Net income | $ 2,737 | $ 2,191 | |
Less: loss on discontinued operations, net of taxes of $0 (Note 9) | (412) | (541) | |
Income from continuing operations | 3,149 | 2,732 | |
Adjustments to reconcile net income from continuing operations to cash provided by (used in) operating activities: | |||
Depreciation and amortization | 1,596 | 1,342 | |
Interest on finance lease with purchase option | 9 | 3 | |
Loss on extinguishment of debt | 27 | ||
Amortization of debt issuance/debt discount costs | 294 | 208 | |
Deferred tax (benefit) expense | (119) | 4 | |
(Recovery of) provision for bad debt reserves | (101) | 386 | |
Loss on disposal of property and equipment | 29 | 3 | |
Issuance of common stock for services | 232 | 241 | |
Stock-based compensation | 236 | 179 | |
Changes in operating assets and liabilities of continuing operations: | |||
Accounts receivable | 3,620 | (5,829) | |
Unbilled receivables | (6,469) | (4,879) | |
Prepaid expenses, inventories and other assets | 1,147 | 923 | |
Accounts payable, accrued expenses and unearned revenue | 4,217 | 664 | |
Cash provided by (used in) continuing operations | 7,867 | (4,023) | |
Cash used in discontinued operations | (499) | (660) | |
Cash provided by (used in) operating activities | 7,368 | (4,683) | |
Cash flows from investing activities: | |||
Purchases of property and equipment (net) | [1] | (1,715) | (1,535) |
Proceeds from sale of property and equipment | 4 | 2 | |
Cash used in investing activities of continuing operations | (1,711) | (1,533) | |
Cash provided by investing activities of discontinued operations | 118 | 121 | |
Cash used in investing activities | (1,593) | (1,412) | |
Cash flows from financing activities: | |||
Borrowing on revolving credit | 102,788 | 59,333 | |
Repayments of revolving credit borrowings | (103,109) | (59,651) | |
Proceeds from issuance of long-term debt | 5,666 | 2,500 | |
Proceeds from finance leases | 405 | ||
Principal repayment of finance lease liabilities | (615) | (272) | |
Principal repayments of long term debt | (2,759) | (1,344) | |
Payment of debt issuance costs | (85) | (112) | |
Proceeds from issuance of common stock upon exercise of options | 6 | 133 | |
Cash provided by financing activities of continuing operations | 1,892 | 992 | |
Effect of exchange rate changes on cash | 6 | 19 | |
Increase (decrease) in cash and finite risk sinking fund (restricted cash) (Note 2) | 7,673 | (5,084) | |
Cash and finite risk sinking fund (restricted cash) at beginning of period (Note 2) | 11,697 | 16,781 | |
Cash and finite risk sinking fund (restricted cash) at end of period (Note 2) | 19,370 | 11,697 | |
Supplemental disclosure: | |||
Interest paid | 366 | 422 | |
Income taxes paid | 70 | 245 | |
Non-cash investing and financing activities: | |||
Equipment purchase subject to finance lease | 856 | 393 | |
Equipment purchase subject to financing | 27 | ||
Issuance of Common Stock with debt | 263 | ||
Issuance of Warrant with debt | $ 93 | ||
[1] | Net of financed amount of $883,000 and $393,000 for the year ended December 31, 2020 and 2019, respectively. |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Cash Flows [Abstract] | ||
Loss from discontinued operations, tax | $ 0 | $ 0 |
Description of Business and Bas
Description of Business and Basis of Presentation | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Basis of Presentation | NOTE 1 DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Perma-Fix Environmental Services, Inc. (the Company, which may be referred to as we, us, or our), an environmental and technology know-how company, is a Delaware corporation, engaged through its subsidiaries, in three reportable segments: TREATMENT SEGMENT, which includes: - nuclear, low-level radioactive, mixed waste (containing both hazardous and low-level radioactive constituents), hazardous and non-hazardous waste treatment, processing and disposal services primarily through four uniquely licensed and permitted treatment and storage facilities; and - R&D activities to identify, develop and implement innovative waste processing techniques for problematic waste streams. In 2020, we expanded our low-level radioactive waste processing and treatment capability within our Treatment Segment through the addition of our Oak Ridge Environmental Waste Operations Center (“EWOC”) facility. The EWOC facility serves primarily as a multi-disciplinary equipment and component processing center for large component, size/volume reduction, sort/segregation, waste transload, and system operability testing. The ultimate objective will be receipt, preparation, packaging, and transportation of low-level radioactive waste to final disposal facilities (landfills, approved radiological waste repositories). Operations at the facility have been limited to date as we continue to complete transition of the site. No revenue was generated at EWOC in 2020. SERVICES SEGMENT, which includes: - Technical services, which include: ○ professional radiological measurement and site survey of large government and commercial installations using advanced methods, technology and engineering; ○ integrated Occupational Safety and Health services including IH assessments; hazardous materials surveys, e.g., exposure monitoring; lead and asbestos management/abatement oversight; indoor air quality evaluations; health risk and exposure assessments; health & safety plan/program development, compliance auditing and training services; and OSHA citation assistance; ○ global technical services providing consulting, engineering, project management, waste management, environmental, and decontamination and decommissioning field, technical, and management personnel and services to commercial and government customers; and ○ on-site waste management services to commercial and governmental customers. - Nuclear services, which include: ○ technology-based services including engineering, D&D, specialty services and construction, logistics, transportation, processing and disposal; ○ remediation of nuclear licensed and federal facilities and the remediation cleanup of nuclear legacy sites. Such services capability includes: project investigation; radiological engineering; partial and total plant D&D; facility decontamination, dismantling, demolition, and planning; site restoration; logistics; transportation; and emergency response; and - A company owned equipment calibration and maintenance laboratory that services, maintains, calibrates, and sources (i.e., rental) health physics, IH and customized NEOSH instrumentation. - A company owned gamma spectroscopy laboratory for the analysis of oil and gas industry solids and liquids. MEDICAL SEGMENT, which includes: R&D of the Company’s medical isotope production technology by our majority-owned Polish subsidiary, Perma-Fix Medical (“PF Medical” or the “Medical Segment”). The Company’s Medical Segment has not generated any revenue as it remains in the R&D stage and has substantially reduced its R&D costs and activities due to the need for capital to fund these activities. All costs incurred by the Medical Segment are reflected within R&D in the accompanying consolidated financial statements. The Company’s continuing operations consist of the operations of our subsidiaries/facilities as follow: Diversified Scientific Services, Inc. (“DSSI”), Perma-Fix of Florida, Inc. (“PFF”), Perma-Fix of Northwest Richland, Inc. (“PFNWR”), Safety & Ecology Corporation (“SEC”), Perma-Fix Environmental Services UK Limited (“PF UK Limited”), Perma-Fix of Canada, Inc. (“PF Canada”), PF Medical, East Tennessee Materials & Energy Corporation (“M&EC”) (facility closure completed in 2019), EWOC and Perma-Fix ERRG, a variable interest entity (“VIE”) for which we are the primary beneficiary (See “Note 19 - Variable Interest Entities (“VIE”) for a discussion of this VIE). The Company’s discontinued operations (see Note 9) consist of operations of all our subsidiaries included in our Industrial Segment which encompasses subsidiaries divested in 2011 and prior and three previously closed locations. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The Company’s consolidated financial statements include our accounts, those of our wholly-owned subsidiaries, our majority-owned Polish subsidiary, Perma-Fix Medical and Perma-Fix ERRG, a VIE for which we are the primary beneficiary as discussed above, after elimination of all significant intercompany accounts and transactions. Use of Estimates The Company prepares financial statements in conformity with accounting standards generally accepted in U.S. GAAP, which may require estimates of future cash flows 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, as well as, the reported amounts of revenues and expenses during the reporting period. Due to the inherent uncertainty involved in making estimates, actual results could differ from those estimates. Cash and Finite Risk Sinking Fund (Restricted Cash) At December 31, 2020, the Company had cash on hand of approximately $7,924,000, which included account balances of our foreign subsidiaries totaling approximately $377,000. At December 31, 2019, the Company had cash on hand of approximately $390,000, which reflected primarily account balances of our foreign subsidiaries totaling approximately $388,000. At December 31, 2020 and 2019, the Company had finite risk sinking funds of approximately $11,446,000 and $11,307,000, respectively, which represented cash held as collateral under the Company’s financial assurance policy (see “Note 14 – Commitment and Contingencies – Insurance” for a discussion of this fund). Accounts Receivable Accounts receivable are customer obligations due under normal trade terms requiring payment within 30 or 60 days from the invoice date based on the customer type (government, broker, or commercial). The carrying amount of accounts receivable is reduced by an allowance for doubtful accounts, which is a valuation allowance that reflects management’s best estimate of the amounts that will not be collected. The Company regularly reviews all accounts receivable balances that exceed 60 days from the invoice date and based on an assessment of current credit worthiness, estimates the portion, if any, of the balance that will not be collected. This analysis excludes government related receivables due to our past successful experience in their collectability. Specific accounts that are deemed to be uncollectible are reserved at 100% of their outstanding balance. The remaining balances aged over 60 days have a percentage applied by aging category, based on historical experience that allows us to calculate the total allowance required. Once the Company has exhausted all options in the collection of a delinquent accounts receivable balance, which includes collection letters, demands for payment, collection agencies and attorneys, the account is deemed uncollectible and subsequently written off. The write off process involves approvals from senior management based on required approval thresholds. The following table sets forth the activity in the allowance for doubtful accounts for the years ended December 31, 2020 and 2019 (in thousands): Year Ended December 31, 2020 2019 Allowance for doubtful accounts - beginning of year $ 487 $ 105 (Recovery of) provision for bad debt reserve (101 ) 386 Recovery of write-off (write-off) 18 (4 ) Allowance for doubtful accounts - end of year $ 404 $ 487 Unbilled Receivables Unbilled receivables are generated by differences between invoicing timing and our over time revenue recognition methodology used for revenue recognition purposes. As major processing and contract completion phases are completed and the costs are incurred, the Company recognizes the corresponding percentage of revenue. Within our Treatment Segment, the facilities experience delays in processing invoices due to the complexity of the documentation that is required for invoicing, as well as the difference between completion of revenue recognition milestones and agreed upon invoicing terms, which results in unbilled receivables. The timing differences occur for several reasons which include: partially from delays in the final processing of all wastes associated with certain work orders and partially from delays for analytical testing that is required after the facilities have processed waste but prior to our release of waste for disposal. The tasks relating to these delays can take months to complete but are generally completed within twelve months. Unbilled receivables within our Services Segment can result from: (1) revenue recognized by our Earned Value Management program (a program which integrates project scope, schedule, and cost to provide an objective measure of project progress) but invoice milestones have not yet been met and/or (2) contract claims and pending change orders, including Requests for Equitable Adjustments (“REAs”) when work has been performed and collection of revenue is reasonably assured. Inventories Inventories consist of treatment chemicals, saleable used oils, and certain supplies. Additionally, the Company has replacement parts in inventory, which are deemed critical to the operating equipment and may also have extended lead times should the part fail and need to be replaced. Inventories are valued at the lower of cost or net realizable value with cost determined by the first-in, first-out method. Disposal and Transportation Costs The Company accrues for waste disposal based upon a physical count of the waste at each facility at the end of each accounting period. Current market prices for transportation and disposal costs are applied to the end of period waste inventories to calculate for the transportation and disposal accruals. Property and Equipment Property and equipment expenditures are capitalized and depreciated using the straight-line method over the estimated useful lives of the assets for financial statement purposes, while accelerated depreciation methods are principally used for income tax purposes. Generally, asset lives range from ten to forty years for buildings (including improvements and asset retirement costs) and three to seven years for office furniture and equipment, vehicles, and decontamination and processing equipment. Leasehold improvements are capitalized and amortized over the lesser of the term of the lease or the life of the asset. Maintenance and repairs are charged directly to expense as incurred. The cost and accumulated depreciation of assets sold or retired are removed from the respective accounts, and any gain or loss from sale or retirement is recognized in the accompanying Consolidated Statements of Operations. Renewals and improvements, which extend the useful lives of the assets, are capitalized. Certain property and equipment expenditures are financed through leases. Amortization of financed leased assets is computed using the straight-line method over the estimated useful lives of the assets. At December 31, 2020, assets recorded under finance leases were $2,285,000 less accumulated depreciation of $291,000, resulting in net fixed assets under finance leases of $1,994,000. At December 31, 2019, assets recorded under finance leases were $1,410,000 less accumulated depreciation of $71,000, resulting in net fixed assets under finance leases of $1,339,000. These assets are recorded within net property and equipment on the Consolidated Balance Sheets. Long-lived assets, such as property, plant and equipment, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset. Assets to be disposed of are separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell, and are no longer depreciated. Our depreciation expense totaled approximately $1,357,000 and $1,086,000 in 2020 and 2019, respectively. Leases The Company accounts for leases in accordance with Financial Accounting Standards Board’s (“FASB”) Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842).” At the inception of an arrangement, the Company determines if an arrangement is, or contains, a lease based on facts and circumstances present in that arrangement. Lease classifications, recognition, and measurement are then determined at the lease commencement date. The Company’s operating lease right-of-use (“ROU”) assets and operating lease liabilities represent primarily leases for office and warehouse spaces used to conduct our business. These leases have remaining terms of approximately 3 to 9 years which include one or more options to renew. The Company includes renewal options in valuing its ROU assets and liabilities when it determines that it is reasonably certain to exercise these renewal options. As most of our operating leases do not provide an implicit rate, the Company uses its incremental borrowing rate as the discount rate when determining the present value of the lease payments. The incremental borrowing rate is determined based on the Company’s secured borrowing rate, lease terms and current economic environment. Some of our operating leases include both lease (rent payments) and non-lease components (maintenance costs such as cleaning and landscaping services). The Company has elected the practical expedient to account for lease component and non-lease component as a single component for all leases under ASU 2016-02. Lease expense for operating leases is recognized on a straight-line basis over the lease term. Finance leases primarily consist of processing and transport equipment used by our facilities’ operations. Our finance leases also include a building with land for our waste treatment operations. The Company’s finance leases generally have initial terms between one to six years and some of the leases include options to purchase the underlying assets at fair market value at the conclusion of the lease term. The lease for the building and land has a term of two years with an option to buy at the end of the lease term, which the Company is reasonably certain to exercise. See “Property and Equipment” above for assets recorded under financed leases. Borrowing rates for our finance leases are either explicitly stated in the lease agreements or implicitly determined from available terms in the lease agreements. The Company adopted the policy to not recognize ROU assets and liabilities for short term leases. Capitalized Interest The Company’s policy is to capitalize interest cost incurred on debt during the construction of projects for its use. A reconciliation of our total interest cost to “Interest Expense” as reported on our Consolidated Statements of Operations for 2020 and 2019 is as follows: (Amounts in Thousands) 2020 2019 Interest cost capitalized $ — $ 29 Interest cost charged to expense 398 432 Total interest $ 398 $ 461 Intangible Assets Intangible assets consist primarily of the recognized value of the permits required to operate our business. Indefinite-lived intangible assets are not amortized but are reviewed for impairment annually as of October 1, or when events or changes in the business environment indicate that the carrying value may be impaired. If the fair value of the asset is less than the carrying amount, a quantitative test is performed to determine the fair value. The impairment loss, if any, is measured as the excess of the carrying value of the asset over its fair value. Judgments and estimates are inherent in these analyses and include assumptions for, among other factors, forecasted revenue, gross margin, growth rate, operating income, timing of expected future cash flows, and the determination of appropriate long-term discount rates. Impairment testing of our indefinite-lived permits related to our Treatment reporting unit as of October 1, 2020 and 2019 resulted in no impairment charges. Intangible assets that have definite useful lives are amortized using the straight-line method over the estimated useful lives (with the exception of customer relationships which are amortized using an accelerated method) and are excluded from our annual intangible asset valuation review as of October 1. Definite-lived intangible assets are also tested for impairment whenever events or changes in circumstances suggest impairment might exist. R&D Operational innovation and technical know-how are very important to the success of our business. Our goal is to discover, develop, and bring to market innovative ways to process waste that address unmet environmental needs and to develop new company service offerings. The Company conducts research internally and also through collaborations with other third parties. R&D costs consist primarily of employee salaries and benefits, laboratory costs, third party fees, and other related costs associated with the development and enhancement of new potential waste treatment processes and new technology and are charged to expense when incurred in accordance with ASC Topic 730, “Research and Development.” The Company’s R&D expenses included approximately $311,000 and $314,000 for the years ended December 31, 2020 and 2019, respectively, incurred by our Medical Segment. Accrued Closure Costs and ARO Accrued closure costs represent our estimated environmental liability to clean up our facilities, as required by our permits, in the event of closure. ASC 410, “Asset Retirement and Environmental Obligations” requires that the discounted fair value of a liability for an ARO be recognized in the period in which it is incurred with the associated ARO capitalized as part of the carrying cost of the asset. The recognition of an ARO requires that management make numerous estimates, assumptions and judgments regarding such factors as estimated probabilities, timing of settlements, material and service costs, current technology, laws and regulations, and credit adjusted risk-free rate to be used. This estimate is inflated, using an inflation rate, to the expected time at which the closure will occur, and then discounted back, using a credit adjusted risk free rate, to the present value. ARO’s are included within buildings as part of property and equipment and are depreciated over the estimated useful life of the property. In periods subsequent to initial measurement of the ARO, the Company must recognize period-to-period changes in the liability resulting from the passage of time and revisions to either the timing or the amount of the original estimate of undiscounted cash flows. Increases in the ARO liability due to passage of time impact net income as accretion expense, which is included in cost of goods sold. Changes in costs resulting from changes or expansion at the facilities require adjustment to the ARO liability and are capitalized and charged as depreciation expense, in accordance with the Company’s depreciation policy. Income Taxes Income taxes are accounted for in accordance with ASC 740, “Income Taxes.” Under ASC 740, the provision for income taxes is comprised of taxes that are currently payable and deferred taxes that relate to the temporary differences between financial reporting carrying values and tax bases of assets and liabilities. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. ASC 740 requires that deferred income tax assets be reduced by a valuation allowance if it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The Company regularly assesses the likelihood that the deferred tax asset will be recovered from future taxable income. The Company considers projected future taxable income and ongoing tax planning strategies, then records a valuation allowance to reduce the carrying value of the net deferred income taxes to an amount that is more likely than not to be realized. ASC 740 sets out a consistent framework for preparers to use to determine the appropriate recognition and measurement of uncertain tax positions. ASC 740 uses a two-step approach wherein a tax benefit is recognized if a position is more-likely-than-not to be sustained. The amount of the benefit is then measured to be the highest tax benefit which is greater than 50% likely to be realized. ASC 740 also sets out disclosure requirements to enhance transparency of an entity’s tax reserves. The Company recognizes accrued interest and income tax penalties related to unrecognized tax benefits as a component of income tax expense. The Company reassesses the validity of our conclusions regarding uncertain income tax positions on a quarterly basis to determine if facts or circumstances have arisen that might cause us to change our judgment regarding the likelihood of a tax position’s sustainability under audit. Foreign Currency The Company’s foreign subsidiaries include PF UK Limited, PF Canada and PF Medical. Assets and liabilities are translated to U.S. dollars at the exchange rate in effect at the balance sheet date and revenue and expenses at the average exchange rate for the period. Foreign currency translation adjustments for these subsidiaries are accumulated as a separate component of accumulated other comprehensive income (loss) in stockholders’ equity. Gains and losses resulting from foreign currency transactions are recognized in the Consolidated Statements of Operations. Concentration Risk The Company performed services relating to waste generated by government clients (domestic and foreign (primarily Canadian)), either indirectly for others as a subcontractor to government entities or directly as a prime contractor, representing approximately $96,582,000, or 91.6%, of our total revenue during 2020, as compared to $59,985,000, or 81.7%, of our total revenue during 2019. Revenue generated by the Company as a subcontractor to a customer for a remediation project performed for a government entity (the “DOE”) within our Services Segment in 2020 and 2019 accounted for approximately $41,011,000 or 38.9% and $8,529,000 or 11.6% (included in revenues generated relating to government clients above) of the Company’s total revenue for 2020 and 2019, respectively. This remediation project included among other things, decontamination support of a building. As work progressed throughout stages of this project in 2020, additional contaminations were regularly discovered which resulted in approval in additional work to be performed under this project. This project is expected to be completed by the first half of 2021. As our revenues are project/event based where the completion of one contract with a specific customer may be replaced by another contract with a different customer from year to year, the Company does not believe the loss of one specific customer from one year to the next will generally have a material adverse effect on our operations and financial condition. Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and accounts receivable. The Company maintains cash with high quality financial institutions, which may exceed Federal Deposit Insurance Corporation (“FDIC”) insured amounts from time to time. Concentration of credit risk with respect to accounts receivable is limited due to the Company’s large number of customers and their dispersion throughout the United States as well as with the significant amount of work that we perform for the federal and Canadian government. The Company had three government related customers whose total unbilled and net outstanding receivable balances represented 41.1%, 19.0% and 12.5% of the Company’s total consolidated unbilled and net accounts receivable at December 31, 2020. The Company had two government related customers whose total unbilled and net outstanding receivable balances represented 12.5% and 34.3% of the Company’s total consolidated unbilled and net accounts receivable at December 31, 2019. Revenue Recognition and Related Policies The Company recognizes revenue in accordance with FASB’s ASC 606, “Revenue from Contracts with Customers.” ASC 606 provides a single, comprehensive revenue recognition model for all contracts with customers. Under ASC 606, a five-step process is utilized in order to determine revenue recognition, depicting the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. Under ASC 606, a performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account. A contract transaction price is allocated to each distinct performance obligation and recognized as revenues as the performance obligation is satisfied. Treatment Segment Revenues: Contracts in our Treatment Segment primarily have a single performance obligation as the promise to receive, treat and dispose of waste is not separately identifiable in the contract and, therefore, not distinct. Performance obligations are generally satisfied over time using the input method. Under the input method, the Company uses a measure of progress divided into major phases which include receipt (ranging from 9.0% to 50%), treatment/processing (ranging from 15% to 89%) and shipment/final disposal (ranging from 2% to 52%). As major processing phases are completed and the costs are incurred, the proportional percentage of revenue is recognized. Transaction price for Treatment Segment contracts are determined by the stated fixed rate per unit price as stipulated in the contract. Services Segment Revenues: Revenues for our Services Segment are generated from time and materials, cost reimbursement or fixed price arrangements: The Company’s primary obligation to customers in time and materials contracts relate to the provision of services to the customer at the direction of the customer. This provision of services at the request of the customer is the performance obligation, which is satisfied over time. Revenue earned from time and materials contracts is determined using the input method and is based on contractually defined billing rates applied to services performed and materials delivered. The Company’s primary performance obligation to customers in cost reimbursement contracts is to complete certain tasks and work streams. Each specified work stream or task within the contract is considered to be a separate performance obligation. The transaction price is calculated using an estimated cost to complete the various scope items to achieve the performance obligation as stipulated in the contract. An estimate is prepared for each individual scope item in the contract and the transaction price is allocated on a time and materials basis as services are provided. Revenue from cost reimbursement contracts is recognized over time using the input method based on costs incurred, plus a proportionate amount of fee earned. Under fixed price contracts, the objective of the project is not attained unless all scope items within the contract are completed and all of the services promised within fixed fee contracts constitute a single performance obligation. Transaction price is estimated based upon the estimated cost to complete the overall project. Revenue from fixed price contracts is recognized over time using the output or input method. For the output method, revenue is recognized based on milestone attained on the project. For the input method, revenue is recognized based on costs incurred on the project relative to the total estimated costs of the project. The majority of our revenue is derived from short term contracts with an original expected length of one year or less. Also, the nature of our contracts generally does not give rise to variable consideration. Significant Payment Terms Invoicing is based on schedules established in customer contracts. Payment terms vary by customers but are generally established at 30 days from invoicing. Incremental Costs to Obtain a Contract Costs incurred to obtain contracts with our customers are immaterial and as a result, the Company expenses (within selling, general and administration expenses (“SG&A”)) incremental costs incurred in obtaining contracts with our customer as incurred. Remaining Performance Obligations The Company applies the practical expedient in ASC 606-10-50-14 and does not disclose information about remaining performance obligations that have original expected durations of one year or less. Within our Services Segment, there are service contracts which provide that the Company has a right to consideration from a customer in an amount that corresponds directly with the value to the customer of our performance completed to date. For those contracts, the Company has utilized the practical expedient in ASC 606-10-55-18, which allows the Company to recognize revenue in the amount for which we have the right to invoice; accordingly, the Company does not disclose the value of remaining performance obligations for those contracts. Stock-Based Compensation Stock-based compensation granted to employees are accounted for in accordance with ASC 718, “Compensation – Stock Compensation.” Stock-based payment transactions for acquiring goods and services from nonemployees are also accounted for under ASC 718. ASC 718 requires stock-based payments to employees and nonemployees, including grant of options, to be recognized in the Statement of Operations based on their fair values. The Company uses the Black-Scholes option-pricing model to determine the fair-value of stock-based awards which requires subjective assumptions. Assumptions used to estimate the fair value of stock-based awards include the exercise price of the award, the expected term, the expected volatility of our stock over the stock-based award’s expected term, the risk-free interest rate over the award’s expected term, and the expected annual dividend yield. The Company accounts for forfeitures when they occur. Comprehensive Income (Loss) The components of comprehensive income (loss) are net income (loss) and the effects of foreign currency translation adjustments. Income (Loss) Per Share Basic income (loss) per share is calculated based on the weighted-average number of outstanding common shares during the applicable period. Diluted income (loss) per share is based on the weighted-average number of outstanding common shares plus the weighted-average number of potential outstanding common shares. In periods where they are anti-dilutive, such amounts are excluded from the calculations of dilutive earnings per share. Income (loss) per share is computed separately for each period presented. Fair Value of Financial Instruments Certain assets and liabilities are required to be recorded at fair value on a recurring basis, while other assets and liabilities are recorded at fair value on a nonrecurring basis. Fair value is determined based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies, is: Level 1 — Level 2 — Level 3 — Financial instruments include cash (Level 1), accounts receivable, accounts payable, and debt obligations (Level 3). Credit is extended to customers based on an evaluation of a customer’s financial condition and, generally, collateral is not required. Recently Adopted Accounting Standards In August 2018, the FASB issued ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement.” ASU 2018-13 improves the disclosure requirements on fair value measurements. ASU 2018-13 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The adoption of ASU No. 2018-13 by the Company effective January 1, 2020 did not have a material impact on the Company’s financial statements or disclosures. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (“ASU 848”): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” ASU 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference London Interbank Offered Rate (“LIBOR”) or another rate that is expected to be discontinued. The amendments in the ASU are effective for all entities as of March 12, 2020 through December 31, 2022. The adoption of ASU 2020-04 on March 12, 2020 by the Company did not have a material impact on the Company’s financial statements. The Company will continue to assess the potential impact of this ASU through the effective period. Recently Issued Accounting Standards – Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, “Credit Losses (Topic 326) - Measurement of Credit Losses on Financial Instruments and subsequent amendments to the initial guidance: ASU 2018-19 “Codification Improvements to Topic 326, Financial Instruments - Credit Losses,” ASU 2019-04 “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments,” ASU 2019-05 “Financial Instruments - Credit Losses (Topic 326): Targeted Transition Relief,” ASU 2019-11 “Codification Improvements to Topic 326, Financial Instruments - Credit Losses” and ASU 2020-02, “Financial Instruments—Credit Losses (Topic 326) and Leases (Topic 842)” (collectively, “Topic 326”). Topic 326 introduces an approach, based on expected losses, to estimate credit losses on certain types of financial instruments and modifies the impairment model for available-for-sale debt securities. The new approach to estimating credit losses (referred to as the current expected credit losses model) applies to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables and loans. Entities are required to apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. These ASUs are effective January 1, 2023 for the Company as a smaller reporting company. The Company had expected to early adopt theses ASUs effective January 1, 2020; however, due to the need for reallocation of the Company’s resources to manage COVID-19 related matters, the Company has deferred adoption of theses ASUs effective January 1, 2020 and expect to adopt these ASUs by January 1, 2023. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. This ASU is effective January 1, 2021 for the Company. The Company does not expect the adoption of this ASU will have a material impact on the Company’s financial statements. In January 2020, the FASB issued ASU 2020-01, “Investments - Equity Securities (Topic 321), Investments - Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815), clarifying the Interactions between Topic 321, Topic 323, and Topic 815.” In August 2020, the FASB issued ASU No. 2020-06, “Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity.” ASU 2020-06 simplifies the accounting for convertible instruments by removing major separation models and removing certain |
COVID-19 Impact
COVID-19 Impact | 12 Months Ended |
Dec. 31, 2020 | |
pesi_DisposalGroupIncludingDiscontinuedOperationAccountsPayableAndOtherLiabilities | |
COVID-19 Impact | NOTE 3 COVID-19 IMPACT The COVID-19 pandemic that started in early part of 2020 continues to present potential new risks to our business and continues to result in significant volatility in the U.S. and international markets. The Company continues to closely monitor the impact of the COVID-19 pandemic on all aspects of our business. Starting in late March 2020, the Company’s operations were impacted by the shutdown of a number of projects and the delays of certain waste shipments. Since the latter part of the second quarter of 2020, all of the projects that were previously shutdown within our Services Segment restarted as stay-at-home orders and certain other restrictions resulting from the pandemic were lifted. Despite the shutdown of certain projects for part of 2020, revenues generated within our Services Segment in 2020 exceeded our revenue generated in 2019 by approximately $42,188,000. The Company continues to experience delays in waste shipments from certain customers within our Treatment Segment directly related to the impact of COVID-19 including generator shutdowns and limited sustained operations, along with other factors. However, the Company expects to see a gradual return in waste receipts from these customers starting in the first half of 2021 as they accelerate operations. As the impact of COVID-19 remains fluid, the uncertainty in waste receipt shipments may impact our results of operations for the first quarter of 2021 and potentially the second quarter of 2021. The potential for a material impact on the Company’s business increases the longer COVID-19 impacts the level of economic activities in the United States and globally as our customers may continue to delay waste shipments and project work may shut down again. For this reason, we cannot reasonably estimate with any degree of certainty the future impact COVID-19 may have on our results of operations, financial position, and liquidity which may impact our ability to meet our financial covenant requirements under our credit facility. The Company’s cash flow requirements during 2020 were primarily financed by our operations, credit facility availability, and proceeds from the PPP Loan (established under the CARES Act) that the Company entered into with its credit facility lender in April 2020 (see “Note 10 – Long Term Debt – PPP Loan” for further detail of this loan). At December 31, 2020, the Company had borrowing availability under its revolving credit facility of approximately $14,220,000 which was based on a percentage of eligible receivables and subject to certain reserves and included its cash on hand of approximately $7,924,000. The Company’s working capital at December 31, 2020 was approximately $3,672,000 as compared to working capital of $26,000 at December 31, 2019. Our working capital at December 31, 2020 included the classification of approximately $3,191,000 of the outstanding PPP Loan balance of $5,318,000 at December 31, 2020 as “Current portion of long-term debt” on our Consolidated Balance Sheets. We have applied for forgiveness on repayment of the entire PPP Loan balance which is subject to the review and approval of our lender and the SBA. At this time, the Company believes it has sufficient liquidity on hand to fund cash flow requirements for the next twelve months which consist primarily of general working capital needs, scheduled principal payments on our debt obligations, remediation projects, and planned capital expenditures. The Company plans to fund these requirements from our operations, credit facility availability, and cash on hand. The Company is continually reviewing operating costs during this volatile time and is committed to further reducing operating costs to bring them in line with revenue levels, when necessary. These measures include curtailing capital expenditures, eliminating non-essential expenditures and implementing a hiring freeze as needed. The Company is closely monitoring our customers’ payment performance. However, as a significant portion of our revenues is derived from government related contracts, the Company does not expect its accounts receivable collections to be materially impacted due to COVID-19. As previously disclosed, the Company’s Medical Segment has not generated any revenue. The Company anticipates that its Medical Segment will not resume full R&D activities until it obtains the necessary funding through obtaining its own credit facility or additional equity raise or obtaining new partners willing to fund its R&D activities. If the Medical Segment is unable to raise the necessary capital, the Medical Segment could be required to further reduce, delay or eliminate its R&D program. |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | NOTE 4 REVENUE Disaggregation of Revenue In general, the Company’s business segmentation is aligned according to the nature and economic characteristics of our services and provides meaningful disaggregation of each business segment’s results of operations. The following tables present further disaggregation of our revenues by different categories for our Services and Treatment Segments: Revenue by Contract Type (In thousands) Twelve Months Ended Tweleve Months Ended December 31, 2020 December 31, 2019 Treatment Services Total Treatment Services Total Fixed price $ 30,143 $ 8,970 $ 39,113 $ 40,364 $ 12,162 $ 52,526 Time and materials — 66,313 66,313 — 20,788 20,788 Cost reimbursement — — — — 145 145 Total $ 30,143 $ 75,283 $ 105,426 $ 40,364 $ 33,095 $ 73,459 Revenue by generator (In thousands) Twelve Months Ended Twelve Months Ended December 31, 2020 December 31, 2019 Treatment Services Total Treatment Services Total Domestic government $ 22,795 $ 68,237 $ 91,032 $ 29,420 $ 25,077 $ 54,497 Domestic commercial 6,933 1,825 8,758 10,601 2,724 13,325 Foreign government 415 5,135 5,550 279 5,209 5,488 Foreign commercial — 86 86 64 85 149 Total $ 30,143 $ 75,283 $ 105,426 $ 40,364 $ 33,095 $ 73,459 Contract Balances The timing of revenue recognition, billings, and cash collections results in accounts receivable and unbilled receivables (contract assets). The Company’s contract liabilities consist of deferred revenues which represents advance payment from customers in advance of the completion of our performance obligation. The following table represents changes in our contract assets and contract liabilities balances: Year-to-date Year-to-date (In thousands) December 31, 2020 December 31, 2019 Change ($) Change (%) Contract assets Account receivables, net of allowance $ 9,659 $ 13,178 $ (3,519 ) (26.7 )% Unbilled receivables - current 14,453 7,984 6,469 81.0 % Contract liabilities Deferred revenue $ 4,614 $ 5,456 $ (842 ) (15.4 )% During the twelve months ended December 31, 2020 and 2019, the Company recognized revenue of $8,094,000 and $10,354,000, respectively, related to untreated waste that was in the Company’s control as of the beginning of each respective year. Revenue recognized in each period related to performance obligations satisfied within the respective period. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Leases | NOTE 5 LEASES The components of lease cost for the Company’s leases were as follows (in thousands): Twelve Months Ended December 31, 2020 2019 Operating Leases: Lease cost $ 456 $ 456 Finance Leases: Amortization of ROU assets 220 63 Interest on lease liability 143 63 363 126 Short-term lease rent expense 15 43 Total lease cost $ 834 $ 625 The weighted average remaining lease term and the weighted average discount rate for operating and finance leases at December 31, 2020 was: Operating Leases Finance Leases Weighted average remaining lease terms (years) 8.0 3.5 Weighted average discount rate 8.0 % 7.3 % The weighted average remaining lease term and the weighted average discount rate for operating and finance leases at December 31, 2019 was: Operating Leases Finance Leases Weighted average remaining lease terms (years) 8.8 2.0 Weighted average discount rate 8.0 % 9.3 % The following table reconciles the undiscounted cash flows for the operating and finance leases at December 31, 2020 to the operating and finance lease liabilities recorded on the balance sheet (in thousands): Operating Leases Finance Leases 2021 $ 450 $ 587 2022 458 271 2023 466 150 2024 342 146 2025 304 146 2025 and thereafter 1,154 18 Total undiscounted lease payments 3,174 1,318 Less: Imputed interest (831 ) (131 ) Present value of lease payments $ 2,343 $ 1,187 Current portion of operating lease obligations $ 273 $ — Long-term operating lease obligations, less current portion $ 2,070 $ — Current portion of finance lease obligations $ — $ 525 Long-term finance lease obligations, less current portion $ — $ 662 Supplemental cash flow and other information related to our leases were as follows (in thousands): Twelve Months Ended December 31, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow from operating leases $ 442 $ 434 Operating cash flow from finance leases $ 143 $ 63 Financing cash flow from finance leases $ 615 $ 272 ROU assets obtained in exchange for lease obligations for: Finance liabilities $ 874 $ 893 Operating liabilities $ — $ 182 |
Permit and Other Intangible Ass
Permit and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Permit and Other Intangible Assets | NOTE 6 PERMIT AND OTHER INTANGIBLE ASSETS The following table summarizes changes in the carrying value of permits. No permit exists at our Services and Medical Segments. Permit (amount in thousands) Treatment Balance as of December 31, 2018 $ 8,443 PCB permit amortized (1) (7 ) Permit in progress 354 Balance as of December 31, 2019 8,790 Permit in progress 132 Balance as of December 31, 2020 $ 8,922 The following table summarizes information relating to the Company’s definite-lived intangible assets: Weighted Average December 31, 2020 December 31, 2019 Amortization Gross Net Gross Net Intangibles (amount in Period Carrying Accumulated Carrying Carrying Accumulated Carrying thousands) (Years) Amount Amortization Amount Amount Amortization Amount Patent 13 $ 742 $ (334 ) $ 408 $ 760 $ (358 ) $ 402 Software 3 418 (411 ) 7 414 (408 ) 6 Customer relationships 10 3,370 (2,910 ) 460 3,370 (2,713 ) 657 Permit — — — — 545 (545 ) — Total $ 4,530 $ (3,655 ) $ 875 $ 5,089 $ (4,024 ) $ 1,065 The intangible assets noted above were amortized on a straight-line basis over their useful lives with the exception of customer relationships which were amortized using an accelerated method. The following table summarizes the expected amortization over the next five years for our definite-lived intangible assets: Amount Year (In thousands) 2021 199 2022 172 2023 132 2024 11 2025 11 Amortization expense recorded for definite-lived intangible assets was approximately $239,000 and $256,000, for the years ended December 31, 2020 and 2019, respectively. |
Capital Stock, Stock Plans, War
Capital Stock, Stock Plans, Warrants, and Stock Based Compensation | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Capital Stock, Stock Plans,Warrants, and Stock Based Compensation | NOTE 7 CAPITAL STOCK, STOCK PLANS, WARRANTS, AND STOCK BASED COMPENSATION Stock Option Plans The Company adopted the 2003 Outside Directors Stock Plan (the “2003 Plan”), which was approved by our stockholders at the Company’s July 29, 2003 Annual Meeting of Stockholders. Non-Qualified Stock Options (“NQSOs”) granted under the 2003 Plan generally have a vesting period of six months from the date of grant and a term of 10 years, with an exercise price equal to the closing trade price on the date prior to grant date. The 2003 Plan also provides for the issuance to each outside director a number of shares of the Company’s Common Stock in lieu of 65% or 100% (based on option elected by each director) of the fee payable to the eligible director for services rendered as a member of the Board. The number of shares issued is determined at 75% of the market value as defined in the plan (the Company recognizes 100% of the market value of the shares issued). The 2003 Plan, as amended, also provides for the grant of an NQSO to purchase up to 6,000 shares of our Common Stock for each outside director upon initial election to the Board, and the grant of an NQSO to purchase 2,400 shares of our Common Stock upon each re-election. The number of shares of the Company’s Common Stock authorized under the 2003 Plan is 1,100,000. At December 31, 2020, the 2003 Plan had available for issuance 218,577 shares. The Company’s 2017 Stock Option Plan (“2017 Plan”) authorizes the grant of options to officers and employees of the Company, including any employee who is also a member of the Board, as well as to consultants of the Company. The 2017 Plan authorizes an aggregate grant of 1,140,000 NQSOs and ISOs, which includes a rollover of 140,000 shares that had remained available for issuance under the 2010 Stock Option Plan (“2010 Plan”) immediately upon the approval of the 2017 Plan and an increase of 600,000 shares to the 2017 Plan which was approved by the Company’s stockholders at the 2020 Annual Meeting of Stockholders held on July 22, 2020 (“2020 Annual Meeting”). Consultants of the Company can only be granted NQSOs. The term of each stock option granted under the 2017 Plan shall be fixed by the Compensation Committee, but no stock options will be exercisable more than ten years after the grant date, or in the case of an ISO granted to a 10% stockholder, five years after the grant date. The exercise price of any ISO granted under the 2017 Plan to an individual who is not a 10% stockholder at the time of the grant shall not be less than the fair market value of the shares at the time of the grant, and the exercise price of any ISO granted to a 10% stockholder shall not be less than 110% of the fair market value at the time of grant. The exercise price of any NQSOs granted under the plan shall not be less than the fair market value of the shares at the time of grant. At December 31, 2020, the 2017 Plan had available for issuance 647,500 shares. Upon the approval of the 2017 Plan as discussed above, no further options remained available for issuance under the 2010 Plan. On September 29, 2020, the 2010 Plan expired; however, an option (ISO) issued under the 2010 Plan prior to the expiration of the 2010 Plan for the purchase of up to 50,000 shares of our Common Stock at $3.97 per share will remain in effect until the earlier of the exercise date by the optionee or the maturity date of May 15, 2022. Stock Options to Employees and Outside Director On February 4, 2020, the Company granted 6,000 NQSOs from the Company’s 2003 Plan to a new director elected by the Company’s Board to fill a vacancy on the Board. The options granted were for a contractual term of ten years with a vesting period of six months. The exercise price of the options was $7.00 per share, which was equal to the Company’s closing stock price per share the day preceding the grant date, pursuant to the 2003 Plan. On July 22, 2020, the Company granted an aggregate of 12,000 NQSOs from the Company’s 2003 Plan to five of the six re-elected directors at the Company’s 2020 Annual Meeting. Dr. Louis F. Centofanti, the Company’s EVP of Strategic Initiatives and also a Board member, was not eligible to receive options under the 2003 Plan as an employee of the Company, pursuant to the 2003 Plan. The NQSOs granted were for a contractual term of ten years with a vesting period of six months. The exercise price of the NQSO was $6.70 per share, which was equal to our closing stock price the day preceding the grant date, pursuant to the 2003 Plan. On August 10, 2020, the Company granted 6,000 NQSOs from the Company’s 2003 Plan to a new director elected by the Company’s Board to fill a vacancy on the Board. The options granted were for a contractual term of ten years with a vesting period of six months. The exercise price of the options was $7.29 per share, which was equal to the Company’s closing stock price per share the day preceding the grant date, pursuant to the 2003 Plan. On January 17, 2019 the Company granted 105,000 ISOs from the 2017 Plan to certain employees, which included our executive officers as follows: 25,000 ISOs to our CEO; 15,000 ISOs to our CFO; and 15,000 ISOs to our EVP of Strategic Initiatives. The ISOs granted were for a contractual term of six years with one-fifth vesting annually over a five-year period. The exercise price of the ISO was $3.15 per share, which was equal to the fair market value of the Company’s Common Stock on the date of grant. On July 25, 2019, the Company granted an aggregate of 12,000 NQSOs from the Company’s 2003 Plan to five of the six re-elected directors at the Company’s Annual Meeting of Stockholders held on July 25, 2019. Dr. Louis F. Centofanti (a Board member) was not eligible to receive options under the 2003 Plan as an employee of the Company, pursuant to the 2003 Plan. The NQSOs granted were for a contractual term of ten years with a vesting period of six months. The exercise price of the NQSO was $3.31 per share, which was equal to our closing stock price the day preceding the grant date, pursuant to the 2003 Plan. On August 29, 2019 the Company granted an aggregate of 12,500 ISOs from the 2017 Plan to certain employees. The ISOs granted were for a contractual term of six years with one-fifth vesting annually over a five-year period. The exercise price of the ISO was $3.90 per share, which was equal to the fair market value of the Company’s Common Stock on the date of grant. During 2020, the Company issued 2,000 shares of its Common Stock resulting from the exercise of options from the Company’s 2017 Plan for total proceeds of $6,300. Additionally, the Company issued 1,884 shares of its Common Stock from cashless exercises of 8,000 and 2,500 options at $3.60 per share and $3.15 per share, respectively. The Company issued an aggregate of 32,400 shares of Common Stock in 2019 from exercises of options resulting in total proceed of approximately $133,000. The Company estimates fair value of stock options using the Black-Scholes valuation model. Assumptions used to estimate the fair value of stock options granted include the exercise price of the award, the expected term, the expected volatility of the Company’s stock over the option’s expected term, the risk-free interest rate over the option’s expected term, and the expected annual dividend yield. The fair value of the options granted during 2020 and 2019 and the related assumptions used in the Black-Scholes option model used to value the options granted were as follows. No options were granted to employees in 2020: Employee Stock Option Granted 2019 Weighted-average fair value per share $ 1.46 Risk -free interest rate (1) 1.40%-2.58 % Expected volatility of stock (2) 48.67%-51.38 % Dividend yield None Expected option life (3) 5.0 years Outside Director Stock Options Granted 2020 2019 Weighted-average fair value per share $ 4.66 $ 2.27 Risk -free interest rate (1) 0.59%-1.61 % 2.08 % Expected volatility of stock (2) 55.83%-56.68 % 54.28 % Dividend yield None None Expected option life (3) 10.0 years 10.0 years (1) (2) (3) The following table summarizes stock-based compensation recognized for fiscal years 2020 and 2019. Year Ended 2020 2019 Employee Stock Options $ 132,000 $ 150,000 Director Stock Options 104,000 29,000 Total $ 236,000 $ 179,000 At December 31, 2020, the Company has approximately $274,000 of total unrecognized compensation costs related to unvested options for employee and directors. The weighted average period over which the unrecognized compensation costs are expected to be recognized is approximately 2.1 years. Stock Options to Consultant The Company granted a NQSO to Robert Ferguson on July 27, 2017 from the Company’s 2017 Plan for the purchase of up to 100,000 shares of the Company’s Common Stock (“Ferguson Stock Option”) in connection with his work as a consultant to the Company’s Test Bed Initiative (“TBI”) at our PFNWR facility at an exercise price of $3.65 per share, which was the fair market value of the Company’s Common Stock on the date of grant. The term of the Ferguson Stock Option is seven years from the grant date. The vesting of the Ferguson Stock Option is subject to the achievement of three separate milestones by certain dates. On January 17, 2019, the Company’s Compensation and Board approved an amendment to the Ferguson Stock Option whereby the vesting date for the second milestone for the purchase of up to 30,000 shares of the Company’s Common Stock was extended to March 31, 2020 from January 27, 2019. On March 27, 2020, the Compensation Committee and the Board approved another amendment to the Ferguson Stock Option whereby the vesting date for the second milestone was further extended to December 31, 2021 from March 31, 2020 and the vesting date for the third milestone for the purchase of up to 60,000 shares of the Company’s Common Stock was extended to December 31, 2022 from January 27, 2021. The 10,000 options under the first milestone were exercised by Robert Ferguson in May 2018. The Company has not recognized compensation costs (fair value of approximately $262,000 at December 31, 2020) for the remaining 90,000 Ferguson Stock Option under the remaining two milestones since achievement of the performance obligation under each of the two remaining milestones is uncertain at December 31, 2020. All other terms of the Ferguson Stock Option remain unchanged. Summary of Stock Option Plans The summary of the Company’s total plans as of December 31, 2020 and 2019, and changes during the period then ended are presented as follows: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (4) Options outstanding January 1, 2020 681,300 $ 3.84 Granted 24,000 $ 6.92 Exercised (12,500 ) $ 3.47 $ 16,060 Forfeited/expired (34,400 ) $ 5.52 Options outstanding end of period (1) 658,400 $ 3.87 3.5 $ 1,426,143 Options exercisable at December 31, 2020 (2) 356,400 $ 3.99 3.3 $ 732,163 Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (4) Options outstanding January 1, 2019 616,000 $ 4.23 Granted 129,500 3.24 Exercised (32,400 ) 4.10 $ 93,000 Forfeited/expired (31,800 ) 8.68 Options outstanding end of period (3) 681,300 $ 3.84 4.2 $ 3,587,000 Options exercisable as of December 31, 2019 (3) 286,800 $ 4.28 3.8 $ 1,383,000 (1) (2) (3) (4) exercise price The summary of the Company’s nonvested options as of December 31, 2020 and changes during the period then ended are presented as follows: Weighted Average Grant-Date Shares Fair Value Non-vested options January 1, 2020 394,500 $ 1.77 Granted 24,000 4.66 Vested (96,500 ) 2.00 Forfeited (20,000 ) 1.62 Non-vested options at December 31, 2020 302,000 $ 1.94 Warrant In connection with a $2,500,000 loan that the Company executed April 1, 2019 with Mr. Robert Ferguson, the Company issued a Warrant to Mr. Ferguson for the purchase of up to 60,000 shares of our Common Stock at an exercise price of $3.51 per share. The Warrant is exercisable six months from April 1, 2019 and expires on April 1, 2024 and remains outstanding at December 31, 2020 (see “Note 10 – Long Term Debt” for further information of this Warrant). Common Stock Issued for Services The Company issued a total of 34,135 and 71,905 shares of our Common Stock in 2020 and 2019, respectively, under our 2003 Plan to our outside directors as compensation for serving on our Board. As a member of the Board, each director elects to receive either 65% or 100% of the director’s fee in shares of our Common Stock. The number of shares received is calculated based on 75% of the fair market value of our Common Stock determined on the business day immediately preceding the date that the quarterly fee is due. The balance of each director’s fee, if any, is payable in cash. The Company recorded approximately $250,000 and $232,000 in compensation expense (included in SG&A expenses) for the twelve months ended December 31, 2020 and 2019, respectively, for the portion of director fees earned in the Company’s Common Stock. Shares Reserved At December 31, 2020, the Company has reserved approximately 658,400 shares of our Common Stock for future issuance under all of the option arrangements. |
Income (Loss) Per Share
Income (Loss) Per Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Income (Loss) Per Share | NOTE 8 INCOME (LOSS) PER SHARE The following table reconciles the income (loss) and average share amounts used to compute both basic and diluted loss per share: Years Ended December 31, (Amounts in Thousands, Except for Per Share Amounts) 2020 2019 Net income attributable to Perma-Fix Environmental Services, Inc., common stockholders: Income from continuing operations, net of taxes $ 3,149 $ 2,732 Net loss attributable to non-controlling interest (123 ) (124 ) Income from continuing operations attributable to Perma-Fix Environmental Services, Inc. common stockholders $ 3,272 $ 2,856 Loss from discontinuing operations attributable to Perma-Fix Environmental Services, Inc. common stockholders (412 ) (541 ) Net income attributable to Perma-Fix Environmental Services, Inc. common stockholders $ 2,860 $ 2,315 Basic income per share attributable to Perma-Fix Environmental Services, Inc. common stockholders $ .24 $ .19 Diluted income per share attributable to Perma-Fix Environmental Services, Inc. common stockholders $ .23 $ .19 Weighted average shares outstanding: Basic weighted average shares outstanding 12,139 12,046 Add: dilutive effect of stock options 184 14 Add: dilutive effect of warrants 24 — Diluted weighted average shares outstanding 12,347 12,060 Potential shares excluded from above weighted average share calculations due to their anti-dilutive effect include: Stock options 42 482 Warrant — 60 |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | NOTE 9 DISCONTINUED OPERATIONS The Company’s discontinued operations consist of all our subsidiaries included in our Industrial Segment which encompasses subsidiaries divested in 2011 and prior and three previously closed locations. The Company incurred losses from discontinued operations of $412,000 and $541,000 for the years ended December 31, 2020 and 2019 (net of taxes of $0 for each period), respectively. The loss for the year ended 2019 included an increase of approximately $50,000 in remediation reserve for our PFM subsidiary due to reassessment of the remediation reserve. The remaining loss for each of the periods noted above was primarily due to costs incurred in the administration and continued monitoring of our discontinued operations. The following table presents the major class of assets of discontinued operations at December 31, 2020 and December 31, 2019. No assets and liabilities were held for sale at each of the periods noted. December 31, December 31, (Amounts in Thousands) 2020 2019 Current assets Other assets $ 22 $ 104 Total current assets 22 104 Long-term assets Property, plant and equipment, net (1) 81 81 Other assets — 36 Total long-term assets 81 117 Total assets $ 103 $ 221 Current liabilities Accounts payable $ 4 $ 8 Accrued expenses and other liabilities 150 169 Environmental liabilities 744 817 Total current liabilities 898 994 Long-term liabilities Closure liabilities 142 134 Environmental liabilities 110 110 Total long-term liabilities 252 244 Total liabilities $ 1,150 $ 1,238 (1) The Company’s discontinued operations included a note receivable in the original amount of approximately $375,000 recorded in May 2016 resulting from the sale of property at our Perma-Fix of Michigan, Inc. (“PFMI”) subsidiary. This note required 60 equal monthly installment payments by the buyer of approximately $7,250 (which includes interest). On July 24, 2020, the purchaser of the property paid off the outstanding note receivable balance of approximately $105,000. Environmental Liabilities The Company has three remediation projects, which are currently in progress relating to our PFD, PFM and PFSG (closed locations) subsidiaries. The Company divested PFD in 2008; however, the environmental liability of PFD was retained by the Company upon the divestiture of PFD. These remediation projects principally entail the removal/remediation of contaminated soil and, in most cases, the remediation of surrounding ground water. The remediation activities are closely reviewed and monitored by the applicable state regulators. At December 31, 2020, we had total accrued environmental remediation liabilities of $854,000, a decrease of $73,000 from the December 31, 2019 balance of $927,000. The decrease represents payments made on remediation projects for our PFSG and PFD subsidiaries. At December 31, 2020, $744,000 of the total accrued environmental liabilities was recorded as current. The current and long-term accrued environmental liabilities at December 31, 2020 are summarized as follows (in thousands). Current Long-term Accrual Accrual Total PFD $ 17 $ 60 $ 77 PFM $ 50 15 65 PFSG $ 677 35 712 Total liability $ 744 $ 110 $ 854 |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | NOTE 10 LONG-TERM DEBT Long-term debt consists of the following at December 31, 2020 and December 31, 2019: (Amounts in Thousands) December 31, 2020 December 31, 2019 Revolving Credit Effective interest rate for 2020 and 2019 was 6.1% and 6.6%, respectively. (1) $ — $ 321 Term Loan (1) 1,388 (2) 1,827 (2) Promissory Note (3) — (4) 1,732 (4) Promissory Note (3) 5,318 (5) — Note Payable 23 — Total debt 6,729 3,880 Less current portion of long-term debt 3,595 (4) 1,300 (4) Long-term debt $ 3,134 $ 2,580 (1) (2) (3) (4) (5) Revolving Credit and Term Loan Agreement The Company entered into an Amended and Restated Revolving Credit, Term Loan and Security Agreement, dated October 31, 2011 (“Amended Loan Agreement”), with PNC National Association (“PNC”), acting as agent and lender. The Amended Loan Agreement had been amended from time to time since the execution of the Amended Loan Agreement. The Amended Loan Agreement, as subsequently amended (“Revised Loan Agreement”), provided the Company with the following credit facility with a maturity date of March 24, 2021: (a) up to $12,000,000 revolving credit (“revolving credit”) and (b) a term loan (“term loan”) of approximately $6,100,000. The maximum that the Company can borrow under the revolving credit was based on a percentage of eligible receivables (as defined) at any one time reduced by outstanding standby letters of credit and borrowing reductions that our lender may impose from time to time. Payment of annual rate of interest due on the revolving credit under the Revised Loan Agreement was at prime (3.25% at December 31, 2020) plus 2% and the term loan at prime plus 2.5%. On May 8, 2020, the Company entered into a Second Amended and Restated Revolving Credit, Term Loan and Security Agreement (the “New Loan Agreement”) with PNC, replacing our previous Revised Loan Agreement with PNC. The New Loan Agreement provides the Company with the following credit facility: ● up to $18,000,000 revolving credit facility, subject to the amount of borrowings based on a percentage of eligible receivables and subject to certain reserves; and ● a term loan of $1,741,818, which requires monthly installments of $35,547. The New Loan Agreement terminates as of May 15, 2024, unless sooner terminated. Similar to our Revised Loan Agreement, the New Loan Agreement requires the Company to meet certain customary financial covenants, including, among other things, a minimum Tangible Adjusted Net Worth requirement of $27,000,000 at all times; maximum capital spending of $6,000,000 annually; and a minimum FCCR requirement of 1.15:1. Under the New Loan Agreement, payment of annual rate of interest due on the credit facility is as follows: ● revolving credit at prime plus 2.50% or LIBOR plus 3.50% and the term loan at prime plus 3.00% or LIBOR plus 4.00%. The Company can only elect to use the LIBOR interest payment option after it becomes compliant with meeting the minimum FCCR of 1.15:1; and ● Upon the achievement of a FCCR of greater than 1.25:1, the Company has the option of paying an annual rate of interest due on the revolving credit at prime plus 2.00% or LIBOR plus 3.00% and the term loan at prime plus 2.50% or LIBOR plus 3.50%. The Company met this FCCR in each of the quarters in 2020. Upon meeting the FCCR of 1.25:1, this interest payment option will remain in place in the event that the Company’s future FCCR falls below 1.25:1. Under the LIBOR option of interest payment noted above, a LIBOR floor of 0.75% shall apply in the event that LIBOR falls below 0.75% at any point in time. Pursuant to the New Loan Agreement, the Company may terminate the New Loan Agreement upon 90 days’ prior written notice upon payment in full of our obligations under the New Loan Agreement. The Company has agreed to pay PNC 1.0% of the total financing in the event we pay off our obligations on or before May 7, 2021 and 0.5% of the total financing if we pay off our obligations after May 7, 2021 but prior to or on May 7, 2022. No early termination fee shall apply if we pay off our obligations under the New Loan Agreement after May 7, 2022. In connection with New Loan Agreement, the Company paid its lender a fee of $50,000 and incurred other direct costs of approximately $35,000, which are being amortized over the term of the New Loan Agreement as interest expense-financing fees. As a result of the termination of the Revised Loan Agreement, the Company recorded approximately $27,000 in loss on extinguishment of debt in accordance with ASC 470-50, “Debt – Modifications and Extinguishment.” At December 31, 2020, the borrowing availability under our revolving credit was approximately $14,220,000, based on our eligible receivables and includes a reduction in borrowing availability of approximately $3,026,000 from outstanding standby letters of credit. The Company’s credit facility under its Revised and New Loan Agreement with PNC contains certain financial covenants, along with customary representations and warranties. A breach of any of these financial covenants, unless waived by PNC, could result in a default under our credit facility allowing our lender to immediately require the repayment of all outstanding debt under our credit facility and terminate all commitments to extend further credit. The Company met its financial covenant requirements in 2020, including its quarterly FCCR requirements. Loan and Securities Purchase Agreement, Promissory Note and Subordination Agreement On April 1, 2019, the Company completed a lending transaction with Robert Ferguson (the “Lender”), whereby the Company borrowed from the Lender the sum of $2,500,000 pursuant to the terms of a Loan and Security Purchase Agreement and promissory note (the “Loan”). The Lender is a shareholder of the Company and also serves as a consultant to the Company in connection with the Company’s TBI at its PFNWR subsidiary. Proceeds from the Loan were used for general working capital purposes. The Loan is unsecured, with a term of two years with interest payable at a fixed interest rate of 4.00% per annum. The Loan provides for monthly payments of accrued interest only during the first year of the Loan, with the first interest payment due May 1, 2019 and monthly payments of approximately $208,333 in principal plus accrued interest starting in the second year of the Loan. The Loan also allows for prepayment of principal payments over the term of the Loan without penalty with such prepayment of principal payments to be applied to the second year of the loan payments at the Company’s discretion. In December 2020, the Loan was paid-in-full. In connection with this capital raise transaction described above and consideration for us receiving the Loan, the Company issued a Warrant (the “Warrant”) to the Lender to purchase up to 60,000 shares of our Common Stock at an exercise price of $3.51 per share, which was the closing bid price for a share of our Common Stock on NASDAQ.com immediately preceding the execution of the Loan and Warrant. The Warrant expires on April 1, 2024 and remains outstanding at December 31, 2020. As further consideration for this capital raise transaction relating to the Loan, the Company also issued 75,000 shares of its Common Stock to the Lender. The fair value of the Warrant and Common Stock and the related closing fees incurred from the transaction totaled approximately $398,000 and was recorded as debt discount/debt issuance costs which has been fully amortized as interest expense – financing fees. The 75,000 shares of Common Stock, the Warrant and the 60,000 shares of Common Stock that may be purchased under the Warrant were and will be issued in a private placement that was and will be exempt from registration under Rule 506 and/or Sections 4(a)(2) and 4(a)(5) of the Securities Act of 1933, as amended (the “Act”) and bear a restrictive legend against resale except in a transaction registered under the Act or in a transaction exempt from registration thereunder. PPP Loan On April 14, 2020, the Company entered into a promissory note with PNC, our credit facility lender, in the amount of approximately $5,666,000 (“PPP Loan”) under the PPP. The PPP was established under the CARES Act and is administered by the SBA. On June 5, 2020, the Flexibility Act was signed into law which amended the CARES Act. The note evidencing the PPP Loan contains events of default relating to, among other things, payment defaults, breach of representations and warranties, and provisions of the promissory note. During the third quarter of 2020, the Company repaid approximately $348,000 of the PPP Loan to PNC resulting from clarification made in the loan calculation at the time of the loan origination. Under the terms of the Flexibility Act, the Company can apply for and be granted forgiveness for all or a portion of the PPP Loan. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds by the Company for eligible payroll costs, mortgage interest, rent and utility costs and the maintenance of employee and compensation levels for the covered period (which is defined as a 24 week period, beginning April 14, 2020, the date in which proceeds from the PPP Loan was disbursed to the Company by PNC). At least 60% of such forgiven amount must be used for eligible payroll costs. On October 5, 2020, the Company applied for forgiveness on repayment of the loan balance as permitted under the program, which is subject to the review and approval of our lender and the SBA. If all or a portion of the PPP Loan is not forgiven, all or the remaining portion of the loan will be for a term of two years but can be prepaid at any time prior to maturity without any prepayment penalties. The annual interest rate on the PPP Loan is 1.0% and no payments of principal or interest are due until SBA remits the loan forgiveness amount to our lender. While the Company’s PPP Loan currently has a two year maturity, the Flexibility Act permits the Company to request a five year maturity with our lender. At December 31, 2020, the Company has not received a determination on potential forgiveness on any portion of the PPP Loan balance; therefore, the Company has classified approximately $3,191,000 of the PPP Loan balance as “Current portion of long-term debt,” on its Consolidated Balance Sheets, which was based on payment of the PPP Loan starting in July 2021 (10 months from end of our covered period) in accordance with the terms of our PPP Loan agreement. The following table details the amount of the maturities of long-term debt maturing in future years at December 31, 2020 (excludes debt issuance costs of $105,000). Year ending December 31: (In thousands) 2021 3,627 2022 2,562 2023 431 2024 214 Total $ 6,834 |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2020 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | NOTE 11 ACCRUED EXPENSES Accrued expenses include the following (in thousands) at December 31: 2020 2019 Salaries and employee benefits $ 4,203 $ 3,908 Accrued sales, property and other tax 589 793 Interest payable 50 17 Insurance payable 1,145 935 Other 394 465 Total accrued expenses $ 6,381 $ 6,118 Accrued expenses for 2020 included a total of approximately $419,000 in compensation expenses accrued under the 2020 Management Incentive Plans (“MIPs”) for our executives (see “Note 16 – Related Party Transactions – MIPs” for further discussion of the 2020 MIPs) in addition to a 2020 discretionary bonus of approximately $27,000 payable to the Company’s EVP of Nuclear and Technical Services approved by the Company’s Compensation Committee. Accrued expenses for 2019 included an aggregate of approximately $360,000 in compensation expenses accrued under 2019 MIPs for our executive officers and our SVP of Nuclear and Technical Services, which total amount was paid at the end of May 2020. |
Accrued Closure Costs and ARO
Accrued Closure Costs and ARO | 12 Months Ended |
Dec. 31, 2020 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Accrued Closure Costs and ARO | NOTE 12 ACCRUED CLOSURE COSTS AND ARO Accrued closure costs represent our estimated environmental liability to clean up our fixed-based regulated facilities as required by our permits, in the event of closure. Changes to reported closure liabilities (current and long-term) for the years ended December 31, 2020 and 2019, were as follows: Amounts in thousands Balance as of December 31, 2018 6,750 Accretion expense 320 Spending (1,359 ) Adjustment to closure liability 330 Balance as of December 31, 2019 $ 6,041 Accretion expense 335 Spending (11 ) Balance as of December 31, 2020 $ 6,365 The Company recorded an additional $330,000 of closure costs and current closure liabilities in 2019 due to finalization of closure requirements for the Company’s M&EC facility. In 2019, the Company completed the closure and decommissioning activities of its M&EC facility in accordance with M&EC’s license and permit requirements. The spending of approximately $11,000 and $1,359,000 in 2020 and 2019, respectively, was primarily for the closure of the Company’s M&EC facility. Closure liabilities of M&EC are classified as current in the Consolidated Balance Sheets for 2020 and 2019. The reported closure asset or ARO, is reported as a component of “Net Property and equipment” in the Consolidated Balance Sheets at December 31, 2020 and 2019 with the following activity for the years ended December 31, 2020 and 2019: Amounts in thousands Balance as of December 31, 2018 3,730 Amortization of closure and post-closure asset (191 ) Balance as of December 31, 2019 $ 3,539 Amortization of closure and post-closure asset (191 ) Balance as of December 31, 2020 $ 3,348 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 13 INCOME TAXES The components of income (loss) before income tax (benefit) expense by jurisdiction for continuing operations for the years ended December 31, consisted of the following (in thousands): 2020 2019 United States 4,778 4,120 Canada (1,391 ) (735 ) United Kingdom (121 ) (184 ) Poland (306 ) (312 ) Total income before tax (benefit) expense $ 2,960 $ 2,889 The components of current and deferred federal and state income tax (benefit) expense for continuing operations for the years ended December 31, consisted of the following (in thousands): 2020 2019 Federal income tax expense - deferred 4 5 State income tax (benefit) expense - current (70 ) 153 State income tax (benefit) expense - deferred (123 ) (1 ) Total income tax (benefit) expense $ (189 ) $ 157 An overall reconciliation between the expected tax (benefit) expense using the federal statutory rate of 21% for each of the years ended 2020 and 2019 and the (benefit) expense for income taxes from continuing operations as reported in the accompanying Consolidated Statement of Operations is provided below (in thousands). 2020 2019 Federal tax expense at statutory rate $ 622 $ 607 State tax (benefit) expense, net of federal benefit (192 ) 152 Change in deferred tax rates (71 ) 106 Permanent items 126 54 Difference in foreign rate (68 ) (27 ) Change in deferred tax liabilities (256 ) 835 Other 117 (218 ) Decrease in valuation allowance (467 ) (1,352 ) Income tax (benefit) expense $ (189 ) $ 157 The global intangible low-taxed income (“GILTI”) provisions under the Tax Cuts and Jobs Act of 2017 (the “TCJA”) require the Company to include in its U.S. income tax return foreign subsidiary earnings in excess of an allowable return on the foreign subsidiary’s tangible assets. The Company has elected to account for GILTI tax in the period in which it is incurred, and therefore has not provided any deferred tax impacts of GILTI in its consolidated financial statements for the years ended December 31, 2020 and 2019. As the foreign subsidiaries are all in loss positions for 2020, there is no GILTI inclusion for the current year. On March 27, 2020, the CARES Act was enacted and signed into law. The CARES Act included a number of income tax law changes, including modifications to the interest limitation under Internal Revenue Code (“IRC”) §163(j) and reinstatement of the ability to carry back net operating losses. The income tax items in the CARES Act did not have a material impact on the Company’s 2020 income tax provision. The Company had temporary differences and net operating loss carry forwards from both our continuing and discontinued operations, which gave rise to deferred tax assets and liabilities at December 31, 2020 and 2019 as follows (in thousands): 2020 2019 Deferred tax assets: Net operating losses $ 8,662 $ 9,391 Environmental and closure reserves 1,839 1,977 Lease liability 642 742 Other 1,734 1,295 Deferred tax liabilities: Depreciation and amortization (3,447 ) (3,211 ) Goodwill and indefinite lived intangible assets (471 ) (590 ) Right-of-use lease asset (627 ) (730 ) 481(a) adjustment (209 ) (336 ) Prepaid expenses (22 ) (22 ) 8,101 8,516 Valuation allowance (8,572 ) (9,106 ) Net deferred income tax liabilities (471 ) (590 ) In 2020 and 2019, the Company concluded that it was more likely than not that $8,572,000 and $9,106,000 of our deferred income tax assets would not be realized, and as such, a full valuation allowance was applied against those deferred income tax assets. The Company has estimated net operating loss carryforwards (“NOLs”) for federal and state income tax purposes of approximately $14,264,000 and $71,316,000, respectively, as of December 31, 2020. The estimated consolidated federal and state NOLs include approximately $2,455,000 and $3,774,000, respectively, of our majority-owned subsidiary, PF Medical, which is not part of our consolidated group for tax purposes. These net operating losses can be carried forward and applied against future taxable income, if any, and expire in various amounts starting in 2021. Approximately $12,199,000 of our federal NOLs were generated after December 31, 2017 and thus do not expire. However, as a result of various stock offerings and certain acquisitions, which in the aggregate constitute a change in control, the use of these NOLs will be limited under the provisions of Section 382 of the Internal Revenue Code of 1986, as amended. Additionally, NOLs may be further limited under the provisions of Treasury Regulation 1.1502-21 regarding Separate Return Limitation Years. The tax years 2017 through 2020 remain open to examination by taxing authorities in the jurisdictions in which the Company operates. No uncertain tax positions were identified by the Company for the years currently open under statute of limitations. The Company had no federal income tax payable for the years ended December 31, 2020 and 2019. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 14 COMMITMENTS AND CONTINGENCIES Hazardous Waste In connection with our waste management services, the Company processes both hazardous and non-hazardous waste, which we transport to our own, or other, facilities for destruction or disposal. As a result of disposing of hazardous substances, in the event any cleanup is required at the disposal site, the Company could be a potentially responsible party for the costs of the cleanup notwithstanding any absence of fault on our part. Legal Matters In the normal course of conducting our business, we are involved in various litigation. We are not a party to any litigation or governmental proceeding which our management believes could result in any judgments or fines against us that could would have a material adverse effect on our financial position, liquidity or results of future operations. During July 2020, Tetra Tech EC, Inc. (“Tetra Tech”) filed a complaint in the United States District Court for the Northern District of California against CH2M Hill, Inc. (“CH2M”) and four subcontractors of CH2M, including the Company (“Defendants”). The complaint alleges claims for negligence, negligent misrepresentation and equitable indemnification against all defendants related to alleged damages suffered by Tetra Tech in respect of certain draft reports prepared by defendants at the request of the U.S. Navy as part of an investigation and review of certain whistleblower complaints about Tetra Tech’s environmental restoration at the Hunter’s Point Naval Shipyard in San Francisco. CH2M was hired by the Navy in 2016 to review Tetra Tech’s work. CH2M subcontracted with environmental consulting and cleanup firms Battelle Memorial Institute, Cabrera Services, Inc., SC&A, Inc. and the Company to assist with the review, according to the complaint. The complaint alleges that the subject draft reports were prepared negligently and in a biased manner, made public, and caused The Company has provided notice of this lawsuit to our insurance carrier. Our insurance carrier is providing a defense on our behalf in connection with this lawsuit, subject to a $100,000 self-insured retention and the terms and limitations contained in the insurance policy. On January 7, 2021 Defendants’ motion to dismiss the complaint in its entirety was granted without prejudice, with leave to amend. Tetra Tech subsequently filed a First Amended Complaint (“FAC”) and Defendants filed a motion to dismiss Tetra Tech’s FAC. At this time, the Company continues to believe it does not have any liability to Tetra Tech. Insurance The Company has a 25-year finite risk insurance policy entered into in June 2003 (“2003 Closure Policy”) with AIG which provides financial assurance to the applicable states for our permitted facilities in the event of unforeseen closure. The 2003 Closure Policy, as amended, provides for a maximum allowable coverage of $28,177,000 which includes available capacity to allow for annual inflation and other performance and surety bond requirements. Total coverage under the 2003 Closure Policy, as amended, was $19,651,000 at December 31, 2020. At December 31, 2020 and December 31, 2019, finite risk sinking funds contributed by the Company related to the 2003 Closure Policy which is included in other long term assets on the accompanying Consolidated Balance Sheets totaled $11,446,000 and $11,307,000, respectively, which included interest earned of $1,975,000 and $1,836,000 on the finite risk sinking funds as of December 31, 2020 and December 31, 2019, respectively. Interest income for the year ended 2020 and 2019 was approximately $139,000 and $337,000, respectively. If the Company so elects, AIG is obligated to pay us an amount equal to 100% of the finite risk sinking fund account balance in return for complete release of liability from both us and any applicable regulatory agency using this policy as an instrument to comply with financial assurance requirements. Letter of Credits and Bonding Requirements From time to time, the Company is required to post standby letters of credit and various bonds to support contractual obligations to customers and other obligations, including facility closures. At December 31, 2020, the total amount of standby letters of credit outstanding was approximately $3,026,000 and the total amount of bonds outstanding was approximately $46,388,000. |
Profit Sharing Plan
Profit Sharing Plan | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
Profit Sharing Plan | NOTE 15 PROFIT SHARING PLAN The Company adopted a 401(k) Plan in 1992, which is intended to comply with Section 401 of the Internal Revenue Code and the provisions of the Employee Retirement Income Security Act of 1974. All full-time employees who have attained the age of 18 are eligible to participate in the 401(k) Plan. Eligibility is immediate upon employment but enrollment is only allowed during four quarterly open periods of January 1, April 1, July 1, and October 1. Participating employees may make annual pretax contributions to their accounts up to 100% of their compensation, up to a maximum amount as limited by law. The Company, at its discretion, may make matching contributions of 25% based on the employee’s elective contributions. Company contributions vest over a period of five years. In 2020 and 2019, the Company contributed approximately $594,000 and $395,000 in 401(k) matching funds, respectively. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 16 RELATED PARTY TRANSACTIONS David Centofanti David Centofanti serves as our Vice President of Information Systems. For such position, he received annual compensation of $181,000 and $177,000 for 2020 and 2019, respectively. David Centofanti is the son of our EVP of Strategic Initiatives and a Board member. Employment Agreements The Company entered into an employment agreement with each of Mark Duff, President and CEO, Dr. Louis Centofanti, EVP of Strategic Initiatives, Ben Naccarato, EVP and CFO, Andrew Lombardo, EVP of Nuclear and Technical Services, and Richard Grondin, EVP of Waste Treatment Operations, with each employment agreement dated July 22, 2020 (each employment agreement referred to as the “New Employment Agreement”). The Company had entered into an employment agreement with each of Mark Duff, Dr. Louis Centofanti and Ben Naccarato on September 8, 2017 which each of the employment agreement was terminated effective July, 22, 2020 upon the execution of the New Employment Agreement with Mark Duff, Dr. Louis Centofanti and Ben Naccarato. Each New Employment Agreement is effective for three years from July 22, 2020 (the “Initial Term”) unless earlier terminated by the Company or by the executive officer. At the end of the Initial Term of each New Employment Agreement, each New Employment Agreement will automatically be extended for one additional year, unless at least six months prior to the expiration of the Initial Term, we or the executive officer provides written notice not to extend the terms of the New Employment Agreement. Each New Employment Agreement provides for annual base salary, performance bonuses (as provided in the MIP as approved by our Compensation Committee and Board) and other benefits commonly found in such agreement. Pursuant to each New Employment Agreement, if the executive officer’s employment is terminated due to death/disability or for cause (as defined in the agreements), the Company will pay to the executive officer or to his estate an amount equal to the sum of any unpaid base salary and accrued unused vacation time through the date of termination and any benefits due to the executive officer under any employee benefit plan (the “Accrued Amounts”) plus any performance compensation payable pursuant to the MIP with respect to the fiscal year immediately preceding the date of termination. If the executive officer terminates his employment for “good reason” (as defined in the agreements) or is terminated by us without cause (including any such termination for “good reason” or without cause within 24 months after a Change in Control (as defined in the agreement)), the Company will pay the executive officer the Accrued Amounts, two years of full base salary, and two times the performance compensation (under the MIP) earned with respect to the fiscal year immediately preceding the date of termination provided the performance compensation earned with respect to the fiscal year immediately preceding the date of termination has not been paid. If performance compensation earned with respect to the fiscal year immediately preceding the date of termination has been made to the executive officer, the executive officer will be paid an additional year of the performance compensation earned with respect to the fiscal year immediately preceding the date of termination. If the executive terminates his employment for a reason other than for good reason, the Company will pay to the executive an amount equal to the Accrued Amounts plus any performance compensation payable pursuant to the MIP with respect to the fiscal year immediately preceding the date of termination. If there is a Change in Control (as defined in the agreements), all outstanding stock options to purchase common stock held by the executive officer will immediately become exercisable in full commencing on the date of termination through the original term of the options. In the event of the death of an executive officer, all outstanding stock options to purchase common stock held by the executive officer will immediately become exercisable in full commencing on the date of death, with such options exercisable for the lesser of the original option term or twelve months from the date of the executive officer’s death. In the event an executive officer terminates his employment for “good reason” or is terminated by the Company without cause, all outstanding stock options to purchase common stock held by the executive officer will immediately become exercisable in full commencing on the date of termination, with such options exercisable for the lesser of the original option term or within 60 days from the date of the executive’s date of termination. Severance benefits payable with respect to a termination (other than Accrued Amounts) shall not be payable until the termination constitutes a “separation from service” (as defined under Treasury Regulation Section 1.409A-1(h)). MIPs On January 16, 2020, the Company’s Board and the Compensation Committee approved individual MIP for each Mark Duff, CEO and President, Ben Naccarato, EVP and CFO, Dr. Louis Centofanti, EVP of Strategic Initiatives and Andy Lombardo, who was appointed by our Board to the position of EVP of Nuclear and Technical Services and an executive officer of the Company on January 16, 2020. Mr. Lombardo previously held the position of SVP of Nuclear and Technical Services. Additionally, on July 22, 2020, the Company’s Board and the Compensation Committee approved a MIP for Richard Grondin who was appointed by the Board to the position of EVP of Waste Treatment Operations and an executive officer of the Company. Mr. Grondin previously held the position of Vice President of Western Operations within our Treatment Segment. Each of the MIPs is effective January 1, 2020 and applicable for year ended December 31, 2020. Each MIP provides guidelines for the calculation of annual cash incentive-based compensation, subject to Compensation Committee oversight and modification. Each MIP awards cash compensation based on achievement of performance thresholds, with the amount of such compensation established as a percentage of the executive’s 2020 annual base salary. The potential target performance compensation ranges from 5% to 150% of the base salary for the CEO ($17,220 to $516,600), 5% to 100% of the base salary for the CFO ($14,000 to $280,000), 5% to 100% of the base salary for the EVP of Strategic Initiatives ($11,667 to $233,336), 5% to 100% of the base salary for the EVP of Nuclear and Technical Services ($14,000 to $280,000) and 5% to 100% ($12,000 to $240,000) of the base salary for the EVP of Waste Treatment Operations. Each of the three executives in 2019 (Mark Duff, Ben Naccarato, Dr. Louis Centofanti) also had a MIP for 2019 which also provided guidelines for the calculation of annual cash incentive-based compensation, similar to the 2020 MIPs discussed above. An aggregate of approximately $271,000 in compensation expenses was earned under the MIPs for the Company’s three executives for 2019 which was paid to the executives at the end of May 2020. Prior to being named an executive officer of the Company on January 16, 2020, Andy Lombardo had a MIP for 2019 as the SVP of Nuclear and Technical Services. Andy Lombardo earned approximately $89,000 under the 2019 MIP which was also paid by the Company to him at the end of May 2020. Salary On January 16, 2020, the Board, with the approval of the Compensation Committee approved the following salary increase for the Company’s NEO effective January 1, 2020: ● Annual base salary for Mark Duff, CEO and President, was increased to $344,400 from $287,000. ● Annual base salary for Ben Naccarato, who was promoted to EVP and CFO from VP and CFO, was increased to $280,000 from $235,231; and ● Annual base salary for Andy Lombardo, who was appointed to the position of EVP of Nuclear and Technical Services as discussed above, was increased to $280,000 from $258,662, which was the annual base salary that Mr. Lombardo earned as SVP of Nuclear and Technical Services and prior to his appointment as an executive officer of the Company by the Board. Additionally, as a result of Mr. Grondin’s appointment by the Board to the position of EVP of Waste Treatment and an executive officer on July 22, 2020, his annual salary was increased from $208,000 as Vice President of Western Operations within our Treatment Segment to $240,000, effective July 22, 2020. |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Segment Reporting | NOTE 17 SEGMENT REPORTING In accordance with ASC 280, “Segment Reporting”, we define an operating segment as a business activity: ● from which we may earn revenue and incur expenses; ● whose operating results are regularly reviewed by the chief operating decision maker (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance; and ● for which discrete financial information is available. We currently have three reporting segments, which include Treatment and Services Segments, which are based on a service offering approach; and Medical, whose primary purpose is the R&D of a medical isotope production technology. The Medical Segment has not generated any revenues and all costs incurred are reflected within R&D in the accompanying consolidated financial statements. As previously disclosed, the Medical Segment has substantially reduced its R&D costs and activities due to the need for capital to fund these activities. The Company anticipates that the Medical Segment will not resume full R&D activities until the necessary capital is obtained through its own credit facility or additional equity raise, or obtains partners willing to provide funding for its R&D. Our reporting segments exclude our corporate headquarter, business center and our discontinued operations (see “Note 9 – Discontinued Operations”) which do not generate revenues. The table below shows certain financial information of our reporting segments as of and for the years ended December 31, 2020 and 2019 (in thousands). Segment Reporting as of and for the year ended December 31, 2020 Treatment Services Medical Segments Total Corporate (2) Consolidated Total Revenue from external customers $ 30,143 $ 75,283 — $ 105,426 (3)(4) $ — $ 105,426 Intercompany revenues 1,493 25 — 1,518 — — Gross profit 5,491 10,402 — 15,893 — 15,893 Research and development 243 132 311 686 76 762 Interest income 1 — — 1 139 140 Interest expense (115 ) (27 ) — (142 ) (256 ) (398 ) Interest expense-financing fees — — — — (294 ) (294 ) Depreciation and amortization 1,204 354 — 1,558 38 1,596 Segment income (loss) before income taxes 1,494 7,826 (311 ) 9,009 (6,049 ) 2,960 Income tax (benefit) expense (264 ) 6 — (258 ) 69 (189 ) Segment income (loss) 1,758 7,820 (311 ) 9,267 (6,118 ) 3,149 Segment assets (1) 32,324 22,368 (8) 17 54,709 24,210 (5) 78,919 Expenditures for segment assets (net) 1,264 451 — 1,715 — 1,715 (7) Total debt — 23 — 23 6,706 6,729 (6) Segment Reporting as of and for the year ended December 31, 2019 Treatment Services Medical Segments Total Corporate (2) Consolidated Total Revenue from external customers $ 40,364 $ 33,095 — $ 73,459 (3)(4) $ — $ 73,459 Intercompany revenues 329 38 — 367 — — Gross profit 12,248 3,336 — 15,584 — 15,584 Research and development 401 12 314 727 23 750 Interest income — — — — 337 337 Interest expense (129 ) (23 ) — (152 ) (280 ) (432 ) Interest expense-financing fees — — — — (208 ) (208 ) Depreciation and amortization 999 318 — 1,317 25 1,342 Segment income (loss) before income taxes 7,973 795 (314 ) 8,454 (5,565 ) 2,889 Income tax expense 153 — — 153 4 157 Segment income (loss) 7,820 795 (314 ) 8,301 (5,569 ) 2,732 Segment assets (1) 34,260 15,410 (8) 16 49,686 16,829 (5) 66,515 Expenditures for segment assets (net) 1,366 169 — 1,535 — 1,535 (7) Total debt — — — — 3,880 3,880 (6) (1) Segment assets have been adjusted for intercompany accounts to reflect actual assets for each segment. (2) Amounts reflect the activity for corporate headquarters not included in the segment information. (3) The Company performed services relating to waste generated by government clients (domestic and foreign (primarily Canadian)), either directly as a prime contractor or indirectly for others as a subcontractor to government entities, representing approximately 96,582,000 or 91.6% of total revenue for 2020 and $59,985,000 or 81.7% of total revenue for 2019. The following reflects such revenue generated by our two segments: 2020 2019 Treatment Services Total Treatment Services Total Domestic government $ 22,795 $ 68,237 $ 91,032 $ 29,420 $ 25,077 $ 54,497 Foreign government 415 5,135 5,550 279 5,209 5,488 Total $ 23,210 $ 73,372 $ 96,582 $ 29,699 $ 30,286 $ 59,985 (4) The following table reflects revenue based on customer location: 2020 2019 United States $ 99,790 $ 67,822 Canada 5,550 5,488 United Kingdom 86 149 Total $ 105,426 $ 73,459 (5) Amount includes assets from our discontinued operations of $103,000 and $221,000 at December 31, 2020 and 2019, respectively. (6) Net of debt discount/debt issuance costs of ($105,000) and ($340,000) for 2020 and 2019, respectively (see “Note 10 – “Long-Term Debt” for additional information). (7) Net of financed amount of $883,000 and $393,000 for the year ended December 31, 2020 and 2019, respectively. (8) Includes long-lived asset (net) for our PF Canada, Inc. subsidiary of $33,000 and $41,000 for the year ended December 31, 2020 and 2019, respectively. |
Deferral of Employment Tax Depo
Deferral of Employment Tax Deposits | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Deferral of Employment Tax Deposits | NOTE 18 DEFERRAL OF EMPLOYMENT TAX DEPOSITS The CARES Act, as amended by the Flexibility Act which was signed into law on June 5, 2020, provides employers the option to defer the payment of an employer’s share of social security taxes beginning on March 27, 2020 through December 31, 2020 with 50% of the amount of social security taxes deferred to become due on December 31, 2021 with the remaining 50% due on December 31, 2022. The Company elected to defer such taxes starting in mid-April 2020. At December 31, 2020, the Company has deferred payment of approximately $1,252,000 in its share of social security taxes, of which approximately $626,000 is included in “Other long-term liabilities,” with the remaining balance included in “Accrued expenses” within current liabilities in the Company’s Consolidated Balance Sheets. |
Variable Interest Entities (VIE
Variable Interest Entities (VIE) | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities ("VIE") | NOTE 19 VARIABLE INTEREST ENTITIES (“VIE”) On May 24, 2019, the Company and Engineering/Remediation Resources Group, Inc. (“ERRG”) entered into an unpopulated joint venture agreement for project work bids within the Company’s Services Segment. The joint venture is doing business as Perma-Fix ERRG, a general partnership. The Company has a 51% partnership interest in the joint venture and ERRG has a 49% partnership interest in the joint venture. Activities under Perma-Fix ERRG did not commence until the first quarter of 2020. The Company determines whether joint ventures in which it has invested meet the criteria of a VIE at the start of each new venture and when a reconsideration event has occurred. A VIE is a legal entity that satisfies any of the following characteristics: (a) the legal entity does not have sufficient equity investment at risk; (b) the equity investors at risk as a group, lack the characteristics of a controlling financial interest; or (c) the legal entity is structured with disproportionate voting rights. The Company consolidates a VIE if it is determined to be the primary beneficiary of the VIE. The primary beneficiary has both the power to direct the activities of the VIE that most significantly impact the entity’s economic performance and the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. Based on the Company’s evaluation of Perma-Fix ERRG and related agreements with Perma-Fix ERRG, the Company determined that Perma-Fix ERRG is a VIE in which we are the primary beneficiary. At December 31, 2020, Perma-Fix ERRG had total assets of $2,723,000 and total liabilities of $2,723,000 which are all recorded as current. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 20 SUBSEQUENT EVENTS Management evaluated events occurring subsequent to December 31, 2020 through March 29, 2021, the date these consolidated financial statements were available for issuance, and other than as noted below determined that no material recognizable subsequent events occurred. MIPs On January 21, 2021, the Company’s Compensation Committee and the Board approved individual MIP for the calendar year 2021 for each CEO, EVP and CFO, EVP of Strategic Initiatives, EVP of Nuclear and Technical Services and EVP of Waste Treatment Operations. Each of the MIPs is effective January 1, 2021 and applicable for year 2021. Each MIP provides guidelines for the calculation of annual cash incentive-based compensation, subject to Compensation Committee oversight and modification. Each MIP awards cash compensation based on achievement of performance thresholds, with the amount of such compensation established as a percentage of the executive’s 2021 annual base salary at the time of the approval of the MIP. The potential target performance compensation ranges from 5% to 150% of the base salary for the CEO ($17,220 to $516,600), 5% to 100% of the base salary for the CFO ($14,000 to $280,000), 5% to 100% of the base salary for the EVP of Strategic Initiatives ($11,667 to $233,336), 5% to 100% of the base salary for the EVP of Nuclear and Technical Services ($14,000 to $280,000) and 5% to 100% ($12,000 to $240,000) of the base salary for the EVP of Waste Treatment Operations. Executive Officer Salary In February 2021, the Company’s Compensation Committee approved an annual salary cost of living adjustment of approximately 2.3% to take into effect April 1, 2021 for each of our executive officers. Board Compensation On January 21, 2021, the Company’s Compensation Committee and the Board approved the following revision to the compensation of each non-employee Board member and the Board Committee(s) for which the Board member serves, effective January 1, 2021. ● each director is to be paid a quarterly fee of $11,500 from $8,000; ● the Chairman of the Board is to be paid an additional quarterly fee of $8,750 from $7,500; ● the Chairman of the Audit Committee is to be paid an additional quarterly fee of $6,250 from $5,500; ● the Chairman of each of the Compensation Committee, the Corporate Governance and Nominating Committee (the “Nominating Committee”), and the Strategic Advisory Committee (the “Strategic Committee”) is to receive $3,125 in quarterly fee. No such quarterly fee was previously paid. The Chairman of the Board is not eligible to receive a quarterly fee for serving as the Chairman of any the aforementioned Committees ; ● each Audit Committee member (excluding the Chairman of the Audit Committee) is to receive $1,250 in quarterly fee; and ● each member of the Compensation Committee, the Nominating Committee, and the Strategic Committee is to receive a quarterly fee of $500. Such fee is payable only if the member does not serve as the Chairman of the Audit Committee, the Nominating Committee, the Strategic Committee or as the Chairman of the Board. Each non-employee Board member will continue to receive $1,000 for each board meeting attendance and a $500 fee for meeting attendance via conference call. Each non-employee director may continue to elect to have either 65% or 100% of such fees payable in Common Stock under the 2003 Plan, with the balance, if any, payable in cash (see “Note 7 – Capital Stock, Stock Plans, Warrants, and Stock Based Compensation – Stock Option Plans” for a discussion of the 2003 Plan). |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The Company’s consolidated financial statements include our accounts, those of our wholly-owned subsidiaries, our majority-owned Polish subsidiary, Perma-Fix Medical and Perma-Fix ERRG, a VIE for which we are the primary beneficiary as discussed above, after elimination of all significant intercompany accounts and transactions. |
Use of Estimates | Use of Estimates The Company prepares financial statements in conformity with accounting standards generally accepted in U.S. GAAP, which may require estimates of future cash flows 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, as well as, the reported amounts of revenues and expenses during the reporting period. Due to the inherent uncertainty involved in making estimates, actual results could differ from those estimates. |
Cash and Finite Risk Sinking Fund (Restricted Cash) | Cash and Finite Risk Sinking Fund (Restricted Cash) At December 31, 2020, the Company had cash on hand of approximately $7,924,000, which included account balances of our foreign subsidiaries totaling approximately $377,000. At December 31, 2019, the Company had cash on hand of approximately $390,000, which reflected primarily account balances of our foreign subsidiaries totaling approximately $388,000. At December 31, 2020 and 2019, the Company had finite risk sinking funds of approximately $11,446,000 and $11,307,000, respectively, which represented cash held as collateral under the Company’s financial assurance policy (see “Note 14 – Commitment and Contingencies – Insurance” for a discussion of this fund). |
Accounts Receivable | Accounts Receivable Accounts receivable are customer obligations due under normal trade terms requiring payment within 30 or 60 days from the invoice date based on the customer type (government, broker, or commercial). The carrying amount of accounts receivable is reduced by an allowance for doubtful accounts, which is a valuation allowance that reflects management’s best estimate of the amounts that will not be collected. The Company regularly reviews all accounts receivable balances that exceed 60 days from the invoice date and based on an assessment of current credit worthiness, estimates the portion, if any, of the balance that will not be collected. This analysis excludes government related receivables due to our past successful experience in their collectability. Specific accounts that are deemed to be uncollectible are reserved at 100% of their outstanding balance. The remaining balances aged over 60 days have a percentage applied by aging category, based on historical experience that allows us to calculate the total allowance required. Once the Company has exhausted all options in the collection of a delinquent accounts receivable balance, which includes collection letters, demands for payment, collection agencies and attorneys, the account is deemed uncollectible and subsequently written off. The write off process involves approvals from senior management based on required approval thresholds. The following table sets forth the activity in the allowance for doubtful accounts for the years ended December 31, 2020 and 2019 (in thousands): Year Ended December 31, 2020 2019 Allowance for doubtful accounts - beginning of year $ 487 $ 105 (Recovery of) provision for bad debt reserve (101 ) 386 Recovery of write-off (write-off) 18 (4 ) Allowance for doubtful accounts - end of year $ 404 $ 487 |
Unbilled Receivables | Unbilled Receivables Unbilled receivables are generated by differences between invoicing timing and our over time revenue recognition methodology used for revenue recognition purposes. As major processing and contract completion phases are completed and the costs are incurred, the Company recognizes the corresponding percentage of revenue. Within our Treatment Segment, the facilities experience delays in processing invoices due to the complexity of the documentation that is required for invoicing, as well as the difference between completion of revenue recognition milestones and agreed upon invoicing terms, which results in unbilled receivables. The timing differences occur for several reasons which include: partially from delays in the final processing of all wastes associated with certain work orders and partially from delays for analytical testing that is required after the facilities have processed waste but prior to our release of waste for disposal. The tasks relating to these delays can take months to complete but are generally completed within twelve months. Unbilled receivables within our Services Segment can result from: (1) revenue recognized by our Earned Value Management program (a program which integrates project scope, schedule, and cost to provide an objective measure of project progress) but invoice milestones have not yet been met and/or (2) contract claims and pending change orders, including Requests for Equitable Adjustments (“REAs”) when work has been performed and collection of revenue is reasonably assured. |
Inventories | Inventories Inventories consist of treatment chemicals, saleable used oils, and certain supplies. Additionally, the Company has replacement parts in inventory, which are deemed critical to the operating equipment and may also have extended lead times should the part fail and need to be replaced. Inventories are valued at the lower of cost or net realizable value with cost determined by the first-in, first-out method. |
Disposal and Transportation Costs | Disposal and Transportation Costs The Company accrues for waste disposal based upon a physical count of the waste at each facility at the end of each accounting period. Current market prices for transportation and disposal costs are applied to the end of period waste inventories to calculate for the transportation and disposal accruals. |
Property and Equipment | Property and Equipment Property and equipment expenditures are capitalized and depreciated using the straight-line method over the estimated useful lives of the assets for financial statement purposes, while accelerated depreciation methods are principally used for income tax purposes. Generally, asset lives range from ten to forty years for buildings (including improvements and asset retirement costs) and three to seven years for office furniture and equipment, vehicles, and decontamination and processing equipment. Leasehold improvements are capitalized and amortized over the lesser of the term of the lease or the life of the asset. Maintenance and repairs are charged directly to expense as incurred. The cost and accumulated depreciation of assets sold or retired are removed from the respective accounts, and any gain or loss from sale or retirement is recognized in the accompanying Consolidated Statements of Operations. Renewals and improvements, which extend the useful lives of the assets, are capitalized. Certain property and equipment expenditures are financed through leases. Amortization of financed leased assets is computed using the straight-line method over the estimated useful lives of the assets. At December 31, 2020, assets recorded under finance leases were $2,285,000 less accumulated depreciation of $291,000, resulting in net fixed assets under finance leases of $1,994,000. At December 31, 2019, assets recorded under finance leases were $1,410,000 less accumulated depreciation of $71,000, resulting in net fixed assets under finance leases of $1,339,000. These assets are recorded within net property and equipment on the Consolidated Balance Sheets. Long-lived assets, such as property, plant and equipment, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset. Assets to be disposed of are separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell, and are no longer depreciated. Our depreciation expense totaled approximately $1,357,000 and $1,086,000 in 2020 and 2019, respectively. |
Leases | Leases The Company accounts for leases in accordance with Financial Accounting Standards Board’s (“FASB”) Accounting Standards Update (“ASU”) 2016-02, “Leases (Topic 842).” At the inception of an arrangement, the Company determines if an arrangement is, or contains, a lease based on facts and circumstances present in that arrangement. Lease classifications, recognition, and measurement are then determined at the lease commencement date. The Company’s operating lease right-of-use (“ROU”) assets and operating lease liabilities represent primarily leases for office and warehouse spaces used to conduct our business. These leases have remaining terms of approximately 3 to 9 years which include one or more options to renew. The Company includes renewal options in valuing its ROU assets and liabilities when it determines that it is reasonably certain to exercise these renewal options. As most of our operating leases do not provide an implicit rate, the Company uses its incremental borrowing rate as the discount rate when determining the present value of the lease payments. The incremental borrowing rate is determined based on the Company’s secured borrowing rate, lease terms and current economic environment. Some of our operating leases include both lease (rent payments) and non-lease components (maintenance costs such as cleaning and landscaping services). The Company has elected the practical expedient to account for lease component and non-lease component as a single component for all leases under ASU 2016-02. Lease expense for operating leases is recognized on a straight-line basis over the lease term. Finance leases primarily consist of processing and transport equipment used by our facilities’ operations. Our finance leases also include a building with land for our waste treatment operations. The Company’s finance leases generally have initial terms between one to six years and some of the leases include options to purchase the underlying assets at fair market value at the conclusion of the lease term. The lease for the building and land has a term of two years with an option to buy at the end of the lease term, which the Company is reasonably certain to exercise. See “Property and Equipment” above for assets recorded under financed leases. Borrowing rates for our finance leases are either explicitly stated in the lease agreements or implicitly determined from available terms in the lease agreements. The Company adopted the policy to not recognize ROU assets and liabilities for short term leases. |
Capitalized Interest | Capitalized Interest The Company’s policy is to capitalize interest cost incurred on debt during the construction of projects for its use. A reconciliation of our total interest cost to “Interest Expense” as reported on our Consolidated Statements of Operations for 2020 and 2019 is as follows: (Amounts in Thousands) 2020 2019 Interest cost capitalized $ — $ 29 Interest cost charged to expense 398 432 Total interest $ 398 $ 461 |
Intangible Assets | Intangible Assets Intangible assets consist primarily of the recognized value of the permits required to operate our business. Indefinite-lived intangible assets are not amortized but are reviewed for impairment annually as of October 1, or when events or changes in the business environment indicate that the carrying value may be impaired. If the fair value of the asset is less than the carrying amount, a quantitative test is performed to determine the fair value. The impairment loss, if any, is measured as the excess of the carrying value of the asset over its fair value. Judgments and estimates are inherent in these analyses and include assumptions for, among other factors, forecasted revenue, gross margin, growth rate, operating income, timing of expected future cash flows, and the determination of appropriate long-term discount rates. Impairment testing of our indefinite-lived permits related to our Treatment reporting unit as of October 1, 2020 and 2019 resulted in no impairment charges. Intangible assets that have definite useful lives are amortized using the straight-line method over the estimated useful lives (with the exception of customer relationships which are amortized using an accelerated method) and are excluded from our annual intangible asset valuation review as of October 1. Definite-lived intangible assets are also tested for impairment whenever events or changes in circumstances suggest impairment might exist. |
R&D | R&D Operational innovation and technical know-how are very important to the success of our business. Our goal is to discover, develop, and bring to market innovative ways to process waste that address unmet environmental needs and to develop new company service offerings. The Company conducts research internally and also through collaborations with other third parties. R&D costs consist primarily of employee salaries and benefits, laboratory costs, third party fees, and other related costs associated with the development and enhancement of new potential waste treatment processes and new technology and are charged to expense when incurred in accordance with ASC Topic 730, “Research and Development.” The Company’s R&D expenses included approximately $311,000 and $314,000 for the years ended December 31, 2020 and 2019, respectively, incurred by our Medical Segment. |
Accrued Closure Costs and ARO | Accrued Closure Costs and ARO Accrued closure costs represent our estimated environmental liability to clean up our facilities, as required by our permits, in the event of closure. ASC 410, “Asset Retirement and Environmental Obligations” requires that the discounted fair value of a liability for an ARO be recognized in the period in which it is incurred with the associated ARO capitalized as part of the carrying cost of the asset. The recognition of an ARO requires that management make numerous estimates, assumptions and judgments regarding such factors as estimated probabilities, timing of settlements, material and service costs, current technology, laws and regulations, and credit adjusted risk-free rate to be used. This estimate is inflated, using an inflation rate, to the expected time at which the closure will occur, and then discounted back, using a credit adjusted risk free rate, to the present value. ARO’s are included within buildings as part of property and equipment and are depreciated over the estimated useful life of the property. In periods subsequent to initial measurement of the ARO, the Company must recognize period-to-period changes in the liability resulting from the passage of time and revisions to either the timing or the amount of the original estimate of undiscounted cash flows. Increases in the ARO liability due to passage of time impact net income as accretion expense, which is included in cost of goods sold. Changes in costs resulting from changes or expansion at the facilities require adjustment to the ARO liability and are capitalized and charged as depreciation expense, in accordance with the Company’s depreciation policy. |
Income Taxes | Income Taxes Income taxes are accounted for in accordance with ASC 740, “Income Taxes.” Under ASC 740, the provision for income taxes is comprised of taxes that are currently payable and deferred taxes that relate to the temporary differences between financial reporting carrying values and tax bases of assets and liabilities. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. ASC 740 requires that deferred income tax assets be reduced by a valuation allowance if it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The Company regularly assesses the likelihood that the deferred tax asset will be recovered from future taxable income. The Company considers projected future taxable income and ongoing tax planning strategies, then records a valuation allowance to reduce the carrying value of the net deferred income taxes to an amount that is more likely than not to be realized. ASC 740 sets out a consistent framework for preparers to use to determine the appropriate recognition and measurement of uncertain tax positions. ASC 740 uses a two-step approach wherein a tax benefit is recognized if a position is more-likely-than-not to be sustained. The amount of the benefit is then measured to be the highest tax benefit which is greater than 50% likely to be realized. ASC 740 also sets out disclosure requirements to enhance transparency of an entity’s tax reserves. The Company recognizes accrued interest and income tax penalties related to unrecognized tax benefits as a component of income tax expense. The Company reassesses the validity of our conclusions regarding uncertain income tax positions on a quarterly basis to determine if facts or circumstances have arisen that might cause us to change our judgment regarding the likelihood of a tax position’s sustainability under audit. |
Foreign Currency | Foreign Currency The Company’s foreign subsidiaries include PF UK Limited, PF Canada and PF Medical. Assets and liabilities are translated to U.S. dollars at the exchange rate in effect at the balance sheet date and revenue and expenses at the average exchange rate for the period. Foreign currency translation adjustments for these subsidiaries are accumulated as a separate component of accumulated other comprehensive income (loss) in stockholders’ equity. Gains and losses resulting from foreign currency transactions are recognized in the Consolidated Statements of Operations. |
Concentration Risk | Concentration Risk The Company performed services relating to waste generated by government clients (domestic and foreign (primarily Canadian)), either indirectly for others as a subcontractor to government entities or directly as a prime contractor, representing approximately $96,582,000, or 91.6%, of our total revenue during 2020, as compared to $59,985,000, or 81.7%, of our total revenue during 2019. Revenue generated by the Company as a subcontractor to a customer for a remediation project performed for a government entity (the “DOE”) within our Services Segment in 2020 and 2019 accounted for approximately $41,011,000 or 38.9% and $8,529,000 or 11.6% (included in revenues generated relating to government clients above) of the Company’s total revenue for 2020 and 2019, respectively. This remediation project included among other things, decontamination support of a building. As work progressed throughout stages of this project in 2020, additional contaminations were regularly discovered which resulted in approval in additional work to be performed under this project. This project is expected to be completed by the first half of 2021. As our revenues are project/event based where the completion of one contract with a specific customer may be replaced by another contract with a different customer from year to year, the Company does not believe the loss of one specific customer from one year to the next will generally have a material adverse effect on our operations and financial condition. Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and accounts receivable. The Company maintains cash with high quality financial institutions, which may exceed Federal Deposit Insurance Corporation (“FDIC”) insured amounts from time to time. Concentration of credit risk with respect to accounts receivable is limited due to the Company’s large number of customers and their dispersion throughout the United States as well as with the significant amount of work that we perform for the federal and Canadian government. The Company had three government related customers whose total unbilled and net outstanding receivable balances represented 41.1%, 19.0% and 12.5% of the Company’s total consolidated unbilled and net accounts receivable at December 31, 2020. The Company had two government related customers whose total unbilled and net outstanding receivable balances represented 12.5% and 34.3% of the Company’s total consolidated unbilled and net accounts receivable at December 31, 2019. |
Revenue Recognition and Related Policies | Revenue Recognition and Related Policies The Company recognizes revenue in accordance with FASB’s ASC 606, “Revenue from Contracts with Customers.” ASC 606 provides a single, comprehensive revenue recognition model for all contracts with customers. Under ASC 606, a five-step process is utilized in order to determine revenue recognition, depicting the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. Under ASC 606, a performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account. A contract transaction price is allocated to each distinct performance obligation and recognized as revenues as the performance obligation is satisfied. Treatment Segment Revenues: Contracts in our Treatment Segment primarily have a single performance obligation as the promise to receive, treat and dispose of waste is not separately identifiable in the contract and, therefore, not distinct. Performance obligations are generally satisfied over time using the input method. Under the input method, the Company uses a measure of progress divided into major phases which include receipt (ranging from 9.0% to 50%), treatment/processing (ranging from 15% to 89%) and shipment/final disposal (ranging from 2% to 52%). As major processing phases are completed and the costs are incurred, the proportional percentage of revenue is recognized. Transaction price for Treatment Segment contracts are determined by the stated fixed rate per unit price as stipulated in the contract. Services Segment Revenues: Revenues for our Services Segment are generated from time and materials, cost reimbursement or fixed price arrangements: The Company’s primary obligation to customers in time and materials contracts relate to the provision of services to the customer at the direction of the customer. This provision of services at the request of the customer is the performance obligation, which is satisfied over time. Revenue earned from time and materials contracts is determined using the input method and is based on contractually defined billing rates applied to services performed and materials delivered. The Company’s primary performance obligation to customers in cost reimbursement contracts is to complete certain tasks and work streams. Each specified work stream or task within the contract is considered to be a separate performance obligation. The transaction price is calculated using an estimated cost to complete the various scope items to achieve the performance obligation as stipulated in the contract. An estimate is prepared for each individual scope item in the contract and the transaction price is allocated on a time and materials basis as services are provided. Revenue from cost reimbursement contracts is recognized over time using the input method based on costs incurred, plus a proportionate amount of fee earned. Under fixed price contracts, the objective of the project is not attained unless all scope items within the contract are completed and all of the services promised within fixed fee contracts constitute a single performance obligation. Transaction price is estimated based upon the estimated cost to complete the overall project. Revenue from fixed price contracts is recognized over time using the output or input method. For the output method, revenue is recognized based on milestone attained on the project. For the input method, revenue is recognized based on costs incurred on the project relative to the total estimated costs of the project. The majority of our revenue is derived from short term contracts with an original expected length of one year or less. Also, the nature of our contracts generally does not give rise to variable consideration. Significant Payment Terms Invoicing is based on schedules established in customer contracts. Payment terms vary by customers but are generally established at 30 days from invoicing. Incremental Costs to Obtain a Contract Costs incurred to obtain contracts with our customers are immaterial and as a result, the Company expenses (within selling, general and administration expenses (“SG&A”)) incremental costs incurred in obtaining contracts with our customer as incurred. Remaining Performance Obligations The Company applies the practical expedient in ASC 606-10-50-14 and does not disclose information about remaining performance obligations that have original expected durations of one year or less. Within our Services Segment, there are service contracts which provide that the Company has a right to consideration from a customer in an amount that corresponds directly with the value to the customer of our performance completed to date. For those contracts, the Company has utilized the practical expedient in ASC 606-10-55-18, which allows the Company to recognize revenue in the amount for which we have the right to invoice; accordingly, the Company does not disclose the value of remaining performance obligations for those contracts. |
Stock-Based Compensation | Stock-Based Compensation Stock-based compensation granted to employees are accounted for in accordance with ASC 718, “Compensation – Stock Compensation.” Stock-based payment transactions for acquiring goods and services from nonemployees are also accounted for under ASC 718. ASC 718 requires stock-based payments to employees and nonemployees, including grant of options, to be recognized in the Statement of Operations based on their fair values. The Company uses the Black-Scholes option-pricing model to determine the fair-value of stock-based awards which requires subjective assumptions. Assumptions used to estimate the fair value of stock-based awards include the exercise price of the award, the expected term, the expected volatility of our stock over the stock-based award’s expected term, the risk-free interest rate over the award’s expected term, and the expected annual dividend yield. The Company accounts for forfeitures when they occur. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) The components of comprehensive income (loss) are net income (loss) and the effects of foreign currency translation adjustments. |
Income (Loss) Per Share | Income (Loss) Per Share Basic income (loss) per share is calculated based on the weighted-average number of outstanding common shares during the applicable period. Diluted income (loss) per share is based on the weighted-average number of outstanding common shares plus the weighted-average number of potential outstanding common shares. In periods where they are anti-dilutive, such amounts are excluded from the calculations of dilutive earnings per share. Income (loss) per share is computed separately for each period presented. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Certain assets and liabilities are required to be recorded at fair value on a recurring basis, while other assets and liabilities are recorded at fair value on a nonrecurring basis. Fair value is determined based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies, is: Level 1 — Level 2 — Level 3 — Financial instruments include cash (Level 1), accounts receivable, accounts payable, and debt obligations (Level 3). Credit is extended to customers based on an evaluation of a customer’s financial condition and, generally, collateral is not required. |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards In August 2018, the FASB issued ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement.” ASU 2018-13 improves the disclosure requirements on fair value measurements. ASU 2018-13 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The adoption of ASU No. 2018-13 by the Company effective January 1, 2020 did not have a material impact on the Company’s financial statements or disclosures. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (“ASU 848”): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” ASU 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference London Interbank Offered Rate (“LIBOR”) or another rate that is expected to be discontinued. The amendments in the ASU are effective for all entities as of March 12, 2020 through December 31, 2022. The adoption of ASU 2020-04 on March 12, 2020 by the Company did not have a material impact on the Company’s financial statements. The Company will continue to assess the potential impact of this ASU through the effective period. |
Recently Issued Accounting Standards - Not Yet Adopted | Recently Issued Accounting Standards – Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, “Credit Losses (Topic 326) - Measurement of Credit Losses on Financial Instruments and subsequent amendments to the initial guidance: ASU 2018-19 “Codification Improvements to Topic 326, Financial Instruments - Credit Losses,” ASU 2019-04 “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments,” ASU 2019-05 “Financial Instruments - Credit Losses (Topic 326): Targeted Transition Relief,” ASU 2019-11 “Codification Improvements to Topic 326, Financial Instruments - Credit Losses” and ASU 2020-02, “Financial Instruments—Credit Losses (Topic 326) and Leases (Topic 842)” (collectively, “Topic 326”). Topic 326 introduces an approach, based on expected losses, to estimate credit losses on certain types of financial instruments and modifies the impairment model for available-for-sale debt securities. The new approach to estimating credit losses (referred to as the current expected credit losses model) applies to most financial assets measured at amortized cost and certain other instruments, including trade and other receivables and loans. Entities are required to apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. These ASUs are effective January 1, 2023 for the Company as a smaller reporting company. The Company had expected to early adopt theses ASUs effective January 1, 2020; however, due to the need for reallocation of the Company’s resources to manage COVID-19 related matters, the Company has deferred adoption of theses ASUs effective January 1, 2020 and expect to adopt these ASUs by January 1, 2023. In December 2019, the FASB issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. This ASU is effective January 1, 2021 for the Company. The Company does not expect the adoption of this ASU will have a material impact on the Company’s financial statements. In January 2020, the FASB issued ASU 2020-01, “Investments - Equity Securities (Topic 321), Investments - Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815), clarifying the Interactions between Topic 321, Topic 323, and Topic 815.” In August 2020, the FASB issued ASU No. 2020-06, “Debt – Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity.” ASU 2020-06 simplifies the accounting for convertible instruments by removing major separation models and removing certain settlement condition qualifiers for the derivatives scope exception for contracts in an entity’s own equity, and simplifies the related diluted net income per share calculation for both Subtopics. ASU 2020-06 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2023, for the Company as a smaller reporting company. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company is currently evaluating the impact of this ASU on its consolidated financial statements and disclosures. In October 2020, the FASB issued ASU No 2020-10, “Codification Improvements.” ASU 2020-10 updates various codification topics by clarifying or improving disclosure requirements. ASU 2020-10 is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. This ASU is effective January 1, 2021 for the Company. The Company does not expect the adoption of this ASU will have a material impact on the Company’s financial statements and disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Credit Losses for Financing Receivables, Current | The following table sets forth the activity in the allowance for doubtful accounts for the years ended December 31, 2020 and 2019 (in thousands): Year Ended December 31, 2020 2019 Allowance for doubtful accounts - beginning of year $ 487 $ 105 (Recovery of) provision for bad debt reserve (101 ) 386 Recovery of write-off (write-off) 18 (4 ) Allowance for doubtful accounts - end of year $ 404 $ 487 |
Schedule of Capitalized Interest | The Company’s policy is to capitalize interest cost incurred on debt during the construction of projects for its use. A reconciliation of our total interest cost to “Interest Expense” as reported on our Consolidated Statements of Operations for 2020 and 2019 is as follows: (Amounts in Thousands) 2020 2019 Interest cost capitalized $ — $ 29 Interest cost charged to expense 398 432 Total interest $ 398 $ 461 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following tables present further disaggregation of our revenues by different categories for our Services and Treatment Segments: Revenue by Contract Type (In thousands) Twelve Months Ended Tweleve Months Ended December 31, 2020 December 31, 2019 Treatment Services Total Treatment Services Total Fixed price $ 30,143 $ 8,970 $ 39,113 $ 40,364 $ 12,162 $ 52,526 Time and materials — 66,313 66,313 — 20,788 20,788 Cost reimbursement — — — — 145 145 Total $ 30,143 $ 75,283 $ 105,426 $ 40,364 $ 33,095 $ 73,459 Revenue by generator (In thousands) Twelve Months Ended Twelve Months Ended December 31, 2020 December 31, 2019 Treatment Services Total Treatment Services Total Domestic government $ 22,795 $ 68,237 $ 91,032 $ 29,420 $ 25,077 $ 54,497 Domestic commercial 6,933 1,825 8,758 10,601 2,724 13,325 Foreign government 415 5,135 5,550 279 5,209 5,488 Foreign commercial — 86 86 64 85 149 Total $ 30,143 $ 75,283 $ 105,426 $ 40,364 $ 33,095 $ 73,459 |
Schedule of Contract Assets and Liabilities | The following table represents changes in our contract assets and contract liabilities balances: Year-to-date Year-to-date (In thousands) December 31, 2020 December 31, 2019 Change ($) Change (%) Contract assets Account receivables, net of allowance $ 9,659 $ 13,178 $ (3,519 ) (26.7 )% Unbilled receivables - current 14,453 7,984 6,469 81.0 % Contract liabilities Deferred revenue $ 4,614 $ 5,456 $ (842 ) (15.4 )% |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Schedule of Components of Lease Cost | The components of lease cost for the Company’s leases were as follows (in thousands): Twelve Months Ended December 31, 2020 2019 Operating Leases: Lease cost $ 456 $ 456 Finance Leases: Amortization of ROU assets 220 63 Interest on lease liability 143 63 363 126 Short-term lease rent expense 15 43 Total lease cost $ 834 $ 625 |
Schedule of Weighted Average Lease | The weighted average remaining lease term and the weighted average discount rate for operating and finance leases at December 31, 2020 was: Operating Leases Finance Leases Weighted average remaining lease terms (years) 8.0 3.5 Weighted average discount rate 8.0 % 7.3 % |
Schedule of Operating Lease Liability Maturity | The weighted average remaining lease term and the weighted average discount rate for operating and finance leases at December 31, 2019 was: Operating Leases Finance Leases Weighted average remaining lease terms (years) 8.8 2.0 Weighted average discount rate 8.0 % 9.3 % |
Schedule of Finance Lease Liability Maturity | The following table reconciles the undiscounted cash flows for the operating and finance leases at December 31, 2020 to the operating and finance lease liabilities recorded on the balance sheet (in thousands): Operating Leases Finance Leases 2021 $ 450 $ 587 2022 458 271 2023 466 150 2024 342 146 2025 304 146 2025 and thereafter 1,154 18 Total undiscounted lease payments 3,174 1,318 Less: Imputed interest (831 ) (131 ) Present value of lease payments $ 2,343 $ 1,187 Current portion of operating lease obligations $ 273 $ — Long-term operating lease obligations, less current portion $ 2,070 $ — Current portion of finance lease obligations $ — $ 525 Long-term finance lease obligations, less current portion $ — $ 662 |
Schedule of Supplemental Cash Flow and Other Information Related to Leases | Supplemental cash flow and other information related to our leases were as follows (in thousands): Twelve Months Ended December 31, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow from operating leases $ 442 $ 434 Operating cash flow from finance leases $ 143 $ 63 Financing cash flow from finance leases $ 615 $ 272 ROU assets obtained in exchange for lease obligations for: Finance liabilities $ 874 $ 893 Operating liabilities $ — $ 182 |
Permit and Other Intangible A_2
Permit and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | The following table summarizes changes in the carrying value of permits. No permit exists at our Services and Medical Segments. Permit (amount in thousands) Treatment Balance as of December 31, 2018 $ 8,443 PCB permit amortized (1) (7 ) Permit in progress 354 Balance as of December 31, 2019 8,790 Permit in progress 132 Balance as of December 31, 2020 $ 8,922 |
Schedule of Finite-Lived Intangible Assets | The following table summarizes information relating to the Company’s definite-lived intangible assets: Weighted Average December 31, 2020 December 31, 2019 Amortization Gross Net Gross Net Intangibles (amount in Period Carrying Accumulated Carrying Carrying Accumulated Carrying thousands) (Years) Amount Amortization Amount Amount Amortization Amount Patent 13 $ 742 $ (334 ) $ 408 $ 760 $ (358 ) $ 402 Software 3 418 (411 ) 7 414 (408 ) 6 Customer relationships 10 3,370 (2,910 ) 460 3,370 (2,713 ) 657 Permit — — — — 545 (545 ) — Total $ 4,530 $ (3,655 ) $ 875 $ 5,089 $ (4,024 ) $ 1,065 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The following table summarizes the expected amortization over the next five years for our definite-lived intangible assets: Amount Year (In thousands) 2021 199 2022 172 2023 132 2024 11 2025 11 |
Capital Stock, Stock Plans, W_2
Capital Stock, Stock Plans, Warrants, and Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The fair value of the options granted during 2020 and 2019 and the related assumptions used in the Black-Scholes option model used to value the options granted were as follows. No options were granted to employees in 2020: Employee Stock Option Granted 2019 Weighted-average fair value per share $ 1.46 Risk -free interest rate (1) 1.40%-2.58 % Expected volatility of stock (2) 48.67%-51.38 % Dividend yield None Expected option life (3) 5.0 years Outside Director Stock Options Granted 2020 2019 Weighted-average fair value per share $ 4.66 $ 2.27 Risk -free interest rate (1) 0.59%-1.61 % 2.08 % Expected volatility of stock (2) 55.83%-56.68 % 54.28 % Dividend yield None None Expected option life (3) 10.0 years 10.0 years (1) (2) (3) |
Schedule of Share-based Compensation, Allocation of Recognized Period Costs | The following table summarizes stock-based compensation recognized for fiscal years 2020 and 2019. Year Ended 2020 2019 Employee Stock Options $ 132,000 $ 150,000 Director Stock Options 104,000 29,000 Total $ 236,000 $ 179,000 |
Schedule of Stock Options Roll Forward | The summary of the Company’s total plans as of December 31, 2020 and 2019, and changes during the period then ended are presented as follows: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (4) Options outstanding January 1, 2020 681,300 $ 3.84 Granted 24,000 $ 6.92 Exercised (12,500 ) $ 3.47 $ 16,060 Forfeited/expired (34,400 ) $ 5.52 Options outstanding end of period (1) 658,400 $ 3.87 3.5 $ 1,426,143 Options exercisable at December 31, 2020 (2) 356,400 $ 3.99 3.3 $ 732,163 Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (4) Options outstanding January 1, 2019 616,000 $ 4.23 Granted 129,500 3.24 Exercised (32,400 ) 4.10 $ 93,000 Forfeited/expired (31,800 ) 8.68 Options outstanding end of period (3) 681,300 $ 3.84 4.2 $ 3,587,000 Options exercisable as of December 31, 2019 (3) 286,800 $ 4.28 3.8 $ 1,383,000 (1) (2) (3) (4) exercise price |
Schedule of Non Vested Options | The summary of the Company’s nonvested options as of December 31, 2020 and changes during the period then ended are presented as follows: Weighted Average Grant-Date Shares Fair Value Non-vested options January 1, 2020 394,500 $ 1.77 Granted 24,000 4.66 Vested (96,500 ) 2.00 Forfeited (20,000 ) 1.62 Non-vested options at December 31, 2020 302,000 $ 1.94 |
Income (Loss) Per Share (Tables
Income (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table reconciles the income (loss) and average share amounts used to compute both basic and diluted loss per share: Years Ended December 31, (Amounts in Thousands, Except for Per Share Amounts) 2020 2019 Net income attributable to Perma-Fix Environmental Services, Inc., common stockholders: Income from continuing operations, net of taxes $ 3,149 $ 2,732 Net loss attributable to non-controlling interest (123 ) (124 ) Income from continuing operations attributable to Perma-Fix Environmental Services, Inc. common stockholders $ 3,272 $ 2,856 Loss from discontinuing operations attributable to Perma-Fix Environmental Services, Inc. common stockholders (412 ) (541 ) Net income attributable to Perma-Fix Environmental Services, Inc. common stockholders $ 2,860 $ 2,315 Basic income per share attributable to Perma-Fix Environmental Services, Inc. common stockholders $ .24 $ .19 Diluted income per share attributable to Perma-Fix Environmental Services, Inc. common stockholders $ .23 $ .19 Weighted average shares outstanding: Basic weighted average shares outstanding 12,139 12,046 Add: dilutive effect of stock options 184 14 Add: dilutive effect of warrants 24 — Diluted weighted average shares outstanding 12,347 12,060 Potential shares excluded from above weighted average share calculations due to their anti-dilutive effect include: Stock options 42 482 Warrant — 60 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of Disposal Groups, Including Discontinued Operation Balance Sheet | The following table presents the major class of assets of discontinued operations at December 31, 2020 and December 31, 2019. No assets and liabilities were held for sale at each of the periods noted. December 31, December 31, (Amounts in Thousands) 2020 2019 Current assets Other assets $ 22 $ 104 Total current assets 22 104 Long-term assets Property, plant and equipment, net (1) 81 81 Other assets — 36 Total long-term assets 81 117 Total assets $ 103 $ 221 Current liabilities Accounts payable $ 4 $ 8 Accrued expenses and other liabilities 150 169 Environmental liabilities 744 817 Total current liabilities 898 994 Long-term liabilities Closure liabilities 142 134 Environmental liabilities 110 110 Total long-term liabilities 252 244 Total liabilities $ 1,150 $ 1,238 (1) |
Schedule of Current and Long Term Accrued Environmental Liability | The current and long-term accrued environmental liabilities at December 31, 2020 are summarized as follows (in thousands). Current Long-term Accrual Accrual Total PFD $ 17 $ 60 $ 77 PFM $ 50 15 65 PFSG $ 677 35 712 Total liability $ 744 $ 110 $ 854 |
Long Term Debt (Tables)
Long Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Long term Debt | Long-term debt consists of the following at December 31, 2020 and December 31, 2019: (Amounts in Thousands) December 31, 2020 December 31, 2019 Revolving Credit Effective interest rate for 2020 and 2019 was 6.1% and 6.6%, respectively. (1) $ — $ 321 Term Loan (1) 1,388 (2) 1,827 (2) Promissory Note (3) — (4) 1,732 (4) Promissory Note (3) 5,318 (5) — Note Payable 23 — Total debt 6,729 3,880 Less current portion of long-term debt 3,595 (4) 1,300 (4) Long-term debt $ 3,134 $ 2,580 (1) (2) (3) (4) (5) |
Schedule of Maturities of Long-term Debt | The following table details the amount of the maturities of long-term debt maturing in future years at December 31, 2020 (excludes debt issuance costs of $105,000). Year ending December 31: (In thousands) 2021 3,627 2022 2,562 2023 431 2024 214 Total $ 6,834 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses include the following (in thousands) at December 31: 2020 2019 Salaries and employee benefits $ 4,203 $ 3,908 Accrued sales, property and other tax 589 793 Interest payable 50 17 Insurance payable 1,145 935 Other 394 465 Total accrued expenses $ 6,381 $ 6,118 |
Accrued Closure Costs and ARO (
Accrued Closure Costs and ARO (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of Change in Asset Retirement Obligation | Changes to reported closure liabilities (current and long-term) for the years ended December 31, 2020 and 2019, were as follows: Amounts in thousands Balance as of December 31, 2018 6,750 Accretion expense 320 Spending (1,359 ) Adjustment to closure liability 330 Balance as of December 31, 2019 $ 6,041 Accretion expense 335 Spending (11 ) Balance as of December 31, 2020 $ 6,365 |
Schedule of Asset Retirement Obligations | The reported closure asset or ARO, is reported as a component of “Net Property and equipment” in the Consolidated Balance Sheets at December 31, 2020 and 2019 with the following activity for the years ended December 31, 2020 and 2019: Amounts in thousands Balance as of December 31, 2018 3,730 Amortization of closure and post-closure asset (191 ) Balance as of December 31, 2019 $ 3,539 Amortization of closure and post-closure asset (191 ) Balance as of December 31, 2020 $ 3,348 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income (loss) Before Income Tax (Benefit) Expense | The components of income (loss) before income tax (benefit) expense by jurisdiction for continuing operations for the years ended December 31, consisted of the following (in thousands): 2020 2019 United States 4,778 4,120 Canada (1,391 ) (735 ) United Kingdom (121 ) (184 ) Poland (306 ) (312 ) Total income before tax (benefit) expense $ 2,960 $ 2,889 |
Schedule of Components of Income Tax (Benefit) Expense | The components of current and deferred federal and state income tax (benefit) expense for continuing operations for the years ended December 31, consisted of the following (in thousands): 2020 2019 Federal income tax expense - deferred 4 5 State income tax (benefit) expense - current (70 ) 153 State income tax (benefit) expense - deferred (123 ) (1 ) Total income tax (benefit) expense $ (189 ) $ 157 |
Schedule of Effective Income Tax Rate Reconciliation | An overall reconciliation between the expected tax (benefit) expense using the federal statutory rate of 21% for each of the years ended 2020 and 2019 and the (benefit) expense for income taxes from continuing operations as reported in the accompanying Consolidated Statement of Operations is provided below (in thousands). 2020 2019 Federal tax expense at statutory rate $ 622 $ 607 State tax (benefit) expense, net of federal benefit (192 ) 152 Change in deferred tax rates (71 ) 106 Permanent items 126 54 Difference in foreign rate (68 ) (27 ) Change in deferred tax liabilities (256 ) 835 Other 117 (218 ) Decrease in valuation allowance (467 ) (1,352 ) Income tax (benefit) expense $ (189 ) $ 157 |
Schedule of Deferred Tax Assets and Liabilities | The Company had temporary differences and net operating loss carry forwards from both our continuing and discontinued operations, which gave rise to deferred tax assets and liabilities at December 31, 2020 and 2019 as follows (in thousands): 2020 2019 Deferred tax assets: Net operating losses $ 8,662 $ 9,391 Environmental and closure reserves 1,839 1,977 Lease liability 642 742 Other 1,734 1,295 Deferred tax liabilities: Depreciation and amortization (3,447 ) (3,211 ) Goodwill and indefinite lived intangible assets (471 ) (590 ) Right-of-use lease asset (627 ) (730 ) 481(a) adjustment (209 ) (336 ) Prepaid expenses (22 ) (22 ) 8,101 8,516 Valuation allowance (8,572 ) (9,106 ) Net deferred income tax liabilities (471 ) (590 ) |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | The table below shows certain financial information of our reporting segments as of and for the years ended December 31, 2020 and 2019 (in thousands). Segment Reporting as of and for the year ended December 31, 2020 Treatment Services Medical Segments Total Corporate (2) Consolidated Total Revenue from external customers $ 30,143 $ 75,283 — $ 105,426 (3)(4) $ — $ 105,426 Intercompany revenues 1,493 25 — 1,518 — — Gross profit 5,491 10,402 — 15,893 — 15,893 Research and development 243 132 311 686 76 762 Interest income 1 — — 1 139 140 Interest expense (115 ) (27 ) — (142 ) (256 ) (398 ) Interest expense-financing fees — — — — (294 ) (294 ) Depreciation and amortization 1,204 354 — 1,558 38 1,596 Segment income (loss) before income taxes 1,494 7,826 (311 ) 9,009 (6,049 ) 2,960 Income tax (benefit) expense (264 ) 6 — (258 ) 69 (189 ) Segment income (loss) 1,758 7,820 (311 ) 9,267 (6,118 ) 3,149 Segment assets (1) 32,324 22,368 (8) 17 54,709 24,210 (5) 78,919 Expenditures for segment assets (net) 1,264 451 — 1,715 — 1,715 (7) Total debt — 23 — 23 6,706 6,729 (6) Segment Reporting as of and for the year ended December 31, 2019 Treatment Services Medical Segments Total Corporate (2) Consolidated Total Revenue from external customers $ 40,364 $ 33,095 — $ 73,459 (3)(4) $ — $ 73,459 Intercompany revenues 329 38 — 367 — — Gross profit 12,248 3,336 — 15,584 — 15,584 Research and development 401 12 314 727 23 750 Interest income — — — — 337 337 Interest expense (129 ) (23 ) — (152 ) (280 ) (432 ) Interest expense-financing fees — — — — (208 ) (208 ) Depreciation and amortization 999 318 — 1,317 25 1,342 Segment income (loss) before income taxes 7,973 795 (314 ) 8,454 (5,565 ) 2,889 Income tax expense 153 — — 153 4 157 Segment income (loss) 7,820 795 (314 ) 8,301 (5,569 ) 2,732 Segment assets (1) 34,260 15,410 (8) 16 49,686 16,829 (5) 66,515 Expenditures for segment assets (net) 1,366 169 — 1,535 — 1,535 (7) Total debt — — — — 3,880 3,880 (6) (1) Segment assets have been adjusted for intercompany accounts to reflect actual assets for each segment. (2) Amounts reflect the activity for corporate headquarters not included in the segment information. (3) The Company performed services relating to waste generated by government clients (domestic and foreign (primarily Canadian)), either directly as a prime contractor or indirectly for others as a subcontractor to government entities, representing approximately 96,582,000 or 91.6% of total revenue for 2020 and $59,985,000 or 81.7% of total revenue for 2019. The following reflects such revenue generated by our two segments: 2020 2019 Treatment Services Total Treatment Services Total Domestic government $ 22,795 $ 68,237 $ 91,032 $ 29,420 $ 25,077 $ 54,497 Foreign government 415 5,135 5,550 279 5,209 5,488 Total $ 23,210 $ 73,372 $ 96,582 $ 29,699 $ 30,286 $ 59,985 (4) The following table reflects revenue based on customer location: 2020 2019 United States $ 99,790 $ 67,822 Canada 5,550 5,488 United Kingdom 86 149 Total $ 105,426 $ 73,459 (5) Amount includes assets from our discontinued operations of $103,000 and $221,000 at December 31, 2020 and 2019, respectively. (6) Net of debt discount/debt issuance costs of ($105,000) and ($340,000) for 2020 and 2019, respectively (see “Note 10 – “Long-Term Debt” for additional information). (7) Net of financed amount of $883,000 and $393,000 for the year ended December 31, 2020 and 2019, respectively. (8) Includes long-lived asset (net) for our PF Canada, Inc. subsidiary of $33,000 and $41,000 for the year ended December 31, 2020 and 2019, respectively. |
Schedule of Revenue by Major Customers by Reporting Segments | 2020 2019 Treatment Services Total Treatment Services Total Domestic government $ 22,795 $ 68,237 $ 91,032 $ 29,420 $ 25,077 $ 54,497 Foreign government 415 5,135 5,550 279 5,209 5,488 Total $ 23,210 $ 73,372 $ 96,582 $ 29,699 $ 30,286 $ 59,985 |
Schedule of Revenue Based on Customer Location | United States Canada United Kingdom Total |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details Narrative) - USD ($) $ in Thousands | Oct. 02, 2020 | Oct. 02, 2019 | Dec. 31, 2020 | Dec. 31, 2019 |
Cash on hand | $ 7,924 | $ 390 | ||
Finite risk sinking fund | $ 11,446 | 11,307 | ||
Percentage of reserves for doubtful accounts receivable | 100.00% | |||
Finance leases assets recorded | $ 2,285 | 1,410 | ||
Finance leases accumulated depreciation | 291 | 71 | ||
Finance leases net fixed asset | 1,994 | 1,339 | ||
Depreciation | 1,357 | 1,086 | ||
Impairment charges | ||||
Research and development expense | $ 762 | 750 | ||
Income tax likelihood | Greater than 50% | |||
Net revenues | $ 105,426 | 73,459 | ||
Government Clients [Member] | Sales Revenue, Net [Member] | ||||
Net revenues | $ 96,582 | $ 59,985 | ||
Concentration risk percentage | 91.60% | 81.70% | ||
Customer One [Member] | Unbilled and Accounts Receivables [Member] | ||||
Concentration risk percentage | 41.10% | 12.50% | ||
Customer Two [Member] | Unbilled and Accounts Receivables [Member] | ||||
Concentration risk percentage | 19.00% | 34.30% | ||
Customer Three [Member] | Unbilled and Accounts Receivables [Member] | ||||
Concentration risk percentage | 12.50% | |||
Medical Segment [Member] | ||||
Research and development expense | $ 311 | $ 314 | ||
Services Segment [Member] | Government Clients [Member] | Sales Revenue, Net [Member] | ||||
Net revenues | $ 41,011 | $ 8,529 | ||
Concentration risk percentage | 38.90% | 11.60% | ||
Minimum [Member] | ||||
Operating lease term | 3 years | |||
Minimum [Member] | Receipt [Member] | ||||
Percentage of revenue recognized | 9.00% | |||
Minimum [Member] | Treatment/ Processing [Member] | ||||
Percentage of revenue recognized | 15.00% | |||
Minimum [Member] | Shipment/ Final Disposal [Member] | ||||
Percentage of revenue recognized | 2.00% | |||
Maximum [Member] | ||||
Operating lease term | 10 years | |||
Maximum [Member] | Receipt [Member] | ||||
Percentage of revenue recognized | 50.00% | |||
Maximum [Member] | Treatment/ Processing [Member] | ||||
Percentage of revenue recognized | 89.00% | |||
Maximum [Member] | Shipment/ Final Disposal [Member] | ||||
Percentage of revenue recognized | 52.00% | |||
Building [Member] | Minimum [Member] | ||||
Property, plant and equipment, useful life | 10 years | |||
Building [Member] | Maximum [Member] | ||||
Property, plant and equipment, useful life | 40 years | |||
Office Furniture And Equipment [Member] | Minimum [Member] | ||||
Property, plant and equipment, useful life | 3 years | |||
Office Furniture And Equipment [Member] | Maximum [Member] | ||||
Property, plant and equipment, useful life | 7 years | |||
Office/Warehouse Spaces [Member] | Minimum [Member] | ||||
Operating lease term | 3 years | |||
Office/Warehouse Spaces [Member] | Maximum [Member] | ||||
Operating lease term | 9 years | |||
Processing and Transport Equipment [Member] | Minimum [Member] | ||||
Finance lease term | 1 year | |||
Processing and Transport Equipment [Member] | Maximum [Member] | ||||
Finance lease term | 6 years | |||
Building and Land [Member] | ||||
Finance lease term | 2 years | |||
Foreign Subsidiaries [Member] | ||||
Cash on hand | $ 377 | $ 388 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Credit Losses for Financing Receivables, Current (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Allowance for doubtful accounts - beginning of year | $ 487 | $ 105 |
(Recovery of) provision for bad debt reserve | (101) | 386 |
Recovery of write-off (write-off) | 18 | (4) |
Allowance for doubtful accounts - end of year | $ 404 | $ 487 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Capitalized Interest (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | ||
Interest cost capitalized | $ 29 | |
Interest cost charged to expense | 398 | 432 |
Total interest | $ 398 | $ 461 |
COVID-19 Impact (Details Narrat
COVID-19 Impact (Details Narrative) - USD ($) | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Apr. 14, 2020 | ||
Net revenues | $ 105,426,000 | $ 73,459,000 | ||
Cash on hand | 7,924,000 | 390,000 | ||
Working capital | 3,672,000 | 26,000 | ||
Current portion of long term debt | [1] | 3,595,000 | 1,300,000 | |
Total debt | 6,729,000 | $ 3,880,000 | ||
Paycheck Protection Program Loan [Member] | ||||
Current portion of long term debt | 3,191,000 | |||
Total debt | 5,318,000 | $ 5,666,000 | ||
Revolving Credit Facility [Member] | ||||
Line of credit facility, remaining borrowing capacity | 14,220,000 | |||
Change in Service Segment [Member] | ||||
Net revenues | $ 42,188,000 | |||
[1] | Net of debt discount/debt issuance costs of ($0) and ($248,000) at December 31, 2020 and December 31, 2019, respectively. The Promissory Note provided for prepayment of principal over the term of the Note without penalty. In 2019, the Company made total prepayment of principal of $520,000 which was reflected in the current portion of the debt. In 2020, the outstanding principal balance of $1,980,000 was paid-in-full of which of which $416,000 was prepaid. |
Revenue (Details Narrative)
Revenue (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | ||
Revenue recognized | $ 8,094 | $ 10,354 |
Revenue - Schedule of Disaggreg
Revenue - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Net revenues | $ 105,426 | $ 73,459 |
Fixed Price [Member] | ||
Net revenues | 39,113 | 52,526 |
Time and Materials [Member] | ||
Net revenues | 66,313 | 20,788 |
Cost Reimbursement [Member] | ||
Net revenues | 145 | |
Treatment [Member] | ||
Net revenues | 30,143 | 40,364 |
Treatment [Member] | Fixed Price [Member] | ||
Net revenues | 30,143 | 40,364 |
Treatment [Member] | Time and Materials [Member] | ||
Net revenues | ||
Treatment [Member] | Cost Reimbursement [Member] | ||
Net revenues | ||
Services [Member] | ||
Net revenues | 75,283 | 33,095 |
Services [Member] | Fixed Price [Member] | ||
Net revenues | 8,970 | 12,162 |
Services [Member] | Time and Materials [Member] | ||
Net revenues | 66,313 | 20,788 |
Services [Member] | Cost Reimbursement [Member] | ||
Net revenues | 145 | |
Domestic Government [Member] | ||
Net revenues | 91,032 | 54,497 |
Domestic Government [Member] | Treatment [Member] | ||
Net revenues | 22,795 | 29,420 |
Domestic Government [Member] | Services [Member] | ||
Net revenues | 68,237 | 25,077 |
Domestic Commercial [Member] | ||
Net revenues | 8,758 | 13,325 |
Domestic Commercial [Member] | Treatment [Member] | ||
Net revenues | 6,933 | 10,601 |
Domestic Commercial [Member] | Services [Member] | ||
Net revenues | 1,825 | 2,724 |
Foreign Government [Member] | ||
Net revenues | 5,550 | 5,488 |
Foreign Government [Member] | Treatment [Member] | ||
Net revenues | 415 | 279 |
Foreign Government [Member] | Services [Member] | ||
Net revenues | 5,135 | 5,209 |
Foreign Commercial [Member] | ||
Net revenues | 86 | 149 |
Foreign Commercial [Member] | Treatment [Member] | ||
Net revenues | 64 | |
Foreign Commercial [Member] | Services [Member] | ||
Net revenues | $ 86 | $ 85 |
Revenue - Schedule of Contract
Revenue - Schedule of Contract Assets and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Account receivables, net of allowance | $ 9,659 | $ 13,178 |
Account receivables, net of allowance Year-to-date Change | (3,519) | |
Unbilled receivables - current | 14,453 | 7,984 |
Deferred revenue | 4,614 | $ 5,456 |
Deferred revenue Year-to-date Change | $ (842) | |
Year-to-date Change [Member] | ||
Changes in Account receivables, net of allowance, percentage | (26.70%) | |
Changes in Unbilled receivables - current, percentage | 81.00% | |
Changes in Deferred revenue, percentage | (15.40%) | |
Year-to-date Change [Member] | ||
Unbilled receivables - current | $ 6,469 |
Leases - Schedule of Components
Leases - Schedule of Components of Lease Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | ||
Operating Leases cost | $ 456 | $ 456 |
Finance Leases: Amortization of ROU assets | 220 | 63 |
Finance Leases: Interest on lease liability | 143 | 63 |
Finance Leases | 363 | 126 |
Short-term lease rent expense | 15 | 43 |
Total lease cost | $ 834 | $ 625 |
Leases - Schedule of Weighted A
Leases - Schedule of Weighted Average Lease (Details) | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Operating Leases, Weighted average remaining lease terms (years) | 8 years | 8 years 9 months 18 days |
Operating Leases, Weighted average discount rate | 8.00% | 8.00% |
Finance Leases, Weighted average remaining lease terms (years) | 3 years 6 months | 2 years |
Finance Leases, Weighted average discount rate | 7.30% | 9.30% |
Leases - Schedule of Operating
Leases - Schedule of Operating Lease Liability Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Operating Leases 2021 | $ 450 | |
Operating Leases 2022 | 458 | |
Operating Leases 2023 | 466 | |
Operating Leases 2024 | 342 | |
Operating Leases 2025 | 304 | |
Operating Leases 2025 and thereafter | 1,154 | |
Operating Leases Total undiscounted lease payments | 3,174 | |
Operating Leases Less: Imputed interest | (831) | |
Operating Leases Present value of lease payments | 2,343 | |
Current portion of operating lease obligations | 273 | $ 244 |
Long-term operating lease obligations, less current portion | $ 2,070 | $ 2,342 |
Leases - Schedule of Finance Le
Leases - Schedule of Finance Lease Liability Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Finance Leases 2021 | $ 587 | |
Finance Leases 2022 | 271 | |
Finance Leases 2023 | 150 | |
Finance Leases 2024 | 146 | |
Finance Leases 2025 | 146 | |
Finance Leases 2025 and thereafter | 18 | |
Finance Leases Total undiscounted lease payments | 1,318 | |
Finance Leases Less: Imputed interest | (131) | |
Finance Leases Present value of lease payments | 1,187 | |
Current portion of finance lease obligations | 525 | $ 471 |
Long-term finance lease obligations, less current portion | $ 662 | $ 466 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Cash Flow and Other Information Related to Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | ||
Operating cash flow from operating leases | $ 442 | $ 434 |
Operating cash flow from finance leases | 143 | 63 |
Financing cash flow from finance leases | 615 | 272 |
ROU assets obtained in exchange for lease obligations for finance liabilities | 874 | 893 |
ROU assets obtained in exchange for lease obligations for operating liabilities | $ 182 |
Permit and Other Intangible A_3
Permit and Other Intangible Assets (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense of intangible asset | $ 239 | $ 256 |
Permit and Other Intangible A_4
Permit and Other Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Balance | $ 8,790 | $ 8,443 |
PCB permit amortized | (7) | |
Permits in progress | 132 | 354 |
Balance | $ 8,922 | $ 8,790 |
Permit and Other Intangible A_5
Permit and Other Intangible Assets - Schedule of Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Gross Carrying Amount | $ 4,530 | $ 5,089 |
Accumulated Amortization | (3,655) | (4,024) |
Finite-Lived Intangible Assets, Net | $ 875 | 1,065 |
Patent [Member] | ||
Weighted Average Amortization Period (Years) | 13 years | |
Gross Carrying Amount | $ 742 | 760 |
Accumulated Amortization | (334) | (358) |
Finite-Lived Intangible Assets, Net | $ 408 | 402 |
Software [Member] | ||
Weighted Average Amortization Period (Years) | 3 years | |
Gross Carrying Amount | $ 418 | 414 |
Accumulated Amortization | (411) | (408) |
Finite-Lived Intangible Assets, Net | $ 7 | 6 |
Customer Relationships [Member] | ||
Weighted Average Amortization Period (Years) | 10 years | |
Gross Carrying Amount | $ 3,370 | 3,370 |
Accumulated Amortization | (2,910) | (2,713) |
Finite-Lived Intangible Assets, Net | 460 | 657 |
Permit [Member] | ||
Gross Carrying Amount | 545 | |
Accumulated Amortization | (545) | |
Finite-Lived Intangible Assets, Net |
Permit and Other Intangible A_6
Permit and Other Intangible Assets - Schedule of Finite-Lived Intangible Assets, Future Amortization Expense (Details) - Intangible Assets [Member] $ in Thousands | Dec. 31, 2020USD ($) |
2021 | $ 199 |
2022 | 172 |
2023 | 132 |
2024 | 11 |
2025 | $ 11 |
Capital Stock, Stock Plans, W_3
Capital Stock, Stock Plans, Warrants, and Stock-Based Compensation (Details Narrative) - USD ($) | Sep. 29, 2020 | Aug. 10, 2020 | Jul. 22, 2020 | Mar. 27, 2020 | Feb. 04, 2020 | Aug. 29, 2019 | Jul. 25, 2019 | Apr. 02, 2019 | Jan. 17, 2019 | Jan. 17, 2019 | Jul. 27, 2017 | May 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 |
Number of stock option shares granted | 24,000 | |||||||||||||
Proceeds from exercise of stock options | $ 6,000 | $ 133,000 | ||||||||||||
Number of common shares reserved for future issuance | 658,400 | |||||||||||||
Ferguson Stock Option [Member] | ||||||||||||||
Options to purchase shares of common stock | 60,000 | 30,000 | ||||||||||||
Options extended date description | The Compensation Committee and the Board approved another amendment to the Ferguson Stock Option whereby the vesting date for the second milestone was further extended to December 31, 2021 from March 31, 2020 and the vesting date for the third milestone for the purchase of up to 60,000 shares of the Company's Common Stock was extended to December 31, 2022 from January 27, 2021. | The Company's Common Stock was extended to March 31, 2020 from January 27, 2019 | ||||||||||||
Employee and Directors [Member] | ||||||||||||||
Unrecognized compensation cost related to unvested options consultant | $ 274,000 | |||||||||||||
Weighted average term for unrecognized and unvested option to be recognized | 2 years 4 days | |||||||||||||
Robert Ferguson [Member] | ||||||||||||||
Number of options exercised | 10,000 | |||||||||||||
Unrecognized compensation cost related to unvested options consultant | $ 262,000 | |||||||||||||
Remaining stock option | 90,000 | |||||||||||||
Loans payable | $ 2,500,000 | |||||||||||||
Warrant to purchase | 60,000 | |||||||||||||
Warrants exercise price | $ 3.51 | |||||||||||||
Warrant exercisable, description | The Warrant is exercisable six months from April 1, 2019 and expires on April 1, 2024 and remains outstanding at December 31, 2020 | |||||||||||||
Common Stock [Member] | ||||||||||||||
Stock issued during period for services, shares | 34,135 | 71,905 | ||||||||||||
2003 Outside Directors Stock Plan [Member] | ||||||||||||||
Stock options, expiration period | 10 years | |||||||||||||
Share-based compensation arrangement by share-based payment award percentage of stock in lieu of fee payable | 65.00% | |||||||||||||
Percentage of directors fees, description | The 2003 Plan also provides for the issuance to each outside director a number of shares of the Company's Common Stock in lieu of 65% or 100% (based on option elected by each director) of the fee payable to the eligible director for services rendered as a member of the Board. The number of shares issued is determined at 75% of the market value as defined in the plan (the Company recognizes 100% of the market value of the shares issued). | |||||||||||||
Shares remaining available for issuance | 218,577 | |||||||||||||
2003 Outside Directors Stock Plan [Member] | Common Stock [Member] | ||||||||||||||
Number of shares available for issuance | 1,100,000 | |||||||||||||
2003 Outside Directors Stock Plan [Member] | Election [Member] | ||||||||||||||
Options granted to purchase shares upon re-election | 2,400 | |||||||||||||
2003 Outside Directors Stock Plan [Member] | Election [Member] | Maximum [Member] | ||||||||||||||
Options granted to purchase shares upon initial election | 6,000 | |||||||||||||
2017 Stock Option Plan [Member] | ||||||||||||||
Shares remaining available for issuance | 647,500 | |||||||||||||
Number of stock option shares granted | 12,500 | |||||||||||||
Stock options, exercise price | $ 3.90 | |||||||||||||
Stock options granted contractual term | 6 years | |||||||||||||
2017 Stock Option Plan [Member] | One-Fifth Vesting [Member] | ||||||||||||||
Stock options granted vesting period | 5 years | |||||||||||||
2017 Stock Option Plan [Member] | Officers and Employees [Member] | ||||||||||||||
Number of shares available for issuance | 1,140,000 | |||||||||||||
Shares remaining available for issuance | 600,000 | |||||||||||||
2017 Stock Option Plan [Member] | Consultant [Member] | ||||||||||||||
Number of stock option shares granted | 100,000 | |||||||||||||
Stock options, exercise price | $ 3.65 | |||||||||||||
2010 Stock Option Plan [Member] | ||||||||||||||
Number of stock option shares granted | 50,000 | |||||||||||||
Stock options, exercise price | $ 3.97 | |||||||||||||
Stock options, expiration date | May 15, 2022 | |||||||||||||
2010 Stock Option Plan [Member] | Officers and Employees [Member] | ||||||||||||||
Shares remaining available for issuance | 140,000 | |||||||||||||
2003 Plan [Member] | ||||||||||||||
Number of stock option shares granted | 6,000 | 12,000 | 6,000 | 12,000 | ||||||||||
Stock options, exercise price | $ 7.29 | $ 6.70 | $ 7 | $ 3.31 | ||||||||||
Stock options granted contractual term | 10 years | 10 years | 10 years | 10 years | ||||||||||
Stock options granted vesting period | 6 months | 6 months | 6 months | 6 months | ||||||||||
2017 Plan [Member] | ||||||||||||||
Number of stock option shares granted | 105,000 | |||||||||||||
Stock options, exercise price | $ 3.15 | |||||||||||||
Stock options granted contractual term | 6 years | |||||||||||||
2017 Plan [Member] | One-Fifth Vesting [Member] | ||||||||||||||
Stock options granted vesting period | 5 years | |||||||||||||
2017 Plan [Member] | CEO [Member] | ||||||||||||||
Number of stock option shares granted | 25,000 | |||||||||||||
2017 Plan [Member] | CFO [Member] | ||||||||||||||
Number of stock option shares granted | 15,000 | |||||||||||||
2017 Plan [Member] | EVP of Strategic Initiatives [Member] | ||||||||||||||
Number of stock option shares granted | 15,000 | |||||||||||||
2017 Stock Option Plan [Member] | ||||||||||||||
Fair market value of shares, granted description | The term of each stock option granted under the 2017 Plan shall be fixed by the Compensation Committee, but no stock options will be exercisable more than ten years after the grant date, or in the case of an ISO granted to a 10% stockholder, five years after the grant date. The exercise price of any ISO granted under the 2017 Plan to an individual who is not a 10% stockholder at the time of the grant shall not be less than the fair market value of the shares at the time of the grant, and the exercise price of any ISO granted to a 10% stockholder shall not be less than 110% of the fair market value at the time of grant. | |||||||||||||
Number of options exercised | 2,000 | 32,400 | ||||||||||||
Proceeds from exercise of stock options | $ 6,300 | $ 133,000 | ||||||||||||
Number of shares issued from option exercise (cashless) | 1,884 | |||||||||||||
2017 Stock Option Plan [Member] | First Separate Options [Member] | ||||||||||||||
Stock options, exercise price | $ 3.60 | |||||||||||||
Number of options exercised | 8,000 | |||||||||||||
2017 Stock Option Plan [Member] | Second Separate Options [Member] | ||||||||||||||
Stock options, exercise price | $ 3.15 | |||||||||||||
Number of options exercised | 2,500 | |||||||||||||
2003 Outside Directors Stock Option Plan [Member] | ||||||||||||||
Percentage of directors fees, description | As a member of the Board, each director elects to receive either 65% or 100% of the director's fee in shares of our Common Stock. The number of shares received is calculated based on 75% of the fair market value of our Common Stock determined on the business day immediately preceding the date that the quarterly fee is due. | |||||||||||||
Stock issued during period for services, shares | 34,135 | 71,905 | ||||||||||||
The 2003 Outside Directors Stock Plan [Member] | Portion of Director Fee Earned in Common Stock [Member] | ||||||||||||||
Allocated share-based compensation expense | $ 250,000 | $ 232,000 |
Capital Stock, Stock Plans,Warr
Capital Stock, Stock Plans,Warrants, and Stock Based Compensation - Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Employee Stock Option Granted [Member] | |||
Weighted-average fair value per option | $ 1.46 | ||
Dividend yield | 0.00% | ||
Expected option life | [1] | 5 years | |
Employee Stock Option Granted [Member] | Minimum [Member] | |||
Risk -free interest rate | [2] | 1.40% | |
Expected volatility of stock | [3] | 48.67% | |
Employee Stock Option Granted [Member] | Maximum [Member] | |||
Risk -free interest rate | [2] | 2.58% | |
Expected volatility of stock | [3] | 51.38% | |
Outside Director Stock Options Granted [Member] | |||
Weighted-average fair value per option | $ 4.66 | $ 2.27 | |
Risk -free interest rate | [2] | 2.08% | |
Expected volatility of stock | [3] | 54.28% | |
Dividend yield | 0.00% | 0.00% | |
Expected option life | [1] | 10 years | 10 years |
Outside Director Stock Options Granted [Member] | Minimum [Member] | |||
Risk -free interest rate | [2] | 0.59% | |
Expected volatility of stock | [3] | 55.83% | |
Outside Director Stock Options Granted [Member] | Maximum [Member] | |||
Risk -free interest rate | [2] | 1.61% | |
Expected volatility of stock | [3] | 56.68% | |
[1] | The expected option life is based on historical exercises and post-vesting data. | ||
[2] | The risk-free interest rate is based on the U.S. Treasury yield in effect at the grant date over the expected term of the option. | ||
[3] | The expected volatility is based on historical volatility from our traded Common Stock over the expected term of the option. |
Capital Stock, Stock Plans,Wa_2
Capital Stock, Stock Plans,Warrants, and Stock Based Compensation - Schedule of Share-based Compensation, Allocation of Recognized Period Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Stock-based compensation | $ 236 | $ 179 |
Employee Stock Options [Member] | ||
Stock-based compensation | 132 | 150 |
Director Stock Options [Member] | ||
Stock-based compensation | $ 104 | $ 29 |
Capital Stock, Stock Plans,Wa_3
Capital Stock, Stock Plans,Warrants, and Stock Based Compensation - Schedule of Stock Options Roll Forward (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | ||||
Shares Options Granted | 24,000 | ||||
Stock Option [Member] | |||||
Shares Options Outstanding Beginning | 681,300 | [1] | 616,000 | ||
Shares Options Granted | 24,000 | 129,500 | |||
Shares Options Exercised | (12,500) | (32,400) | |||
Shares Options Forfeited/expired | (34,400) | (31,800) | |||
Shares Options Outstanding Ending | 654,800 | [2] | 681,300 | [1] | |
Shares Options Exercisable | 356,400 | [3] | 286,800 | [1] | |
Weighted Average Exercise Price Options Outstanding Beginning | $ 3.84 | [1] | $ 4.23 | ||
Weighted Average Exercise Price Options Granted | 6.92 | 3.24 | |||
Weighted Average Exercise Price Options Exercised | 3.47 | 4.10 | |||
Weighted Average Exercise Price Options Forfeited/expired | 5.52 | 8.68 | |||
Weighted Average Exercise Price Options Outstanding Ending | 3.87 | [2] | 3.84 | [1] | |
Weighted Average Exercise Price Options Exercisable | $ 3.99 | [3] | $ 4.28 | [1] | |
Weighted Average Remaining Contractual Term (years) Outstanding | 3 years 6 months | [2] | 4 years 2 months 12 days | [1] | |
Weighted Average Remaining Contractual Term (years) Exercisable | 3 years 3 months 19 days | [3] | 3 years 9 months 18 days | [1] | |
Aggregate Intrinsic Value Options Exercised | [4] | $ 16,060 | $ 93,000 | ||
Aggregate Intrinsic Value Options Outstanding | [4] | 1,426,143 | [2] | 3,587,000 | [1] |
Aggregate Intrinsic Value Options Exercisable | [4] | $ 732,163 | [3] | $ 1,383,000 | [1] |
[1] | Options with exercise prices ranging from $2.79 to $8.40 | ||||
[2] | Options with exercise prices ranging from $2.79 to $7.29 | ||||
[3] | Options with exercise prices ranging from $2.79 to $7.05 | ||||
[4] | The intrinsic value of a stock option is the amount by which the market value of the underlying stock exceeds the exercise price. |
Capital Stock, Stock Plans,Wa_4
Capital Stock, Stock Plans,Warrants, and Stock Based Compensation - Schedule of Stock Options Roll Forward (Details) (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Stock Option Outstanding [Member] | ||
Stock option exercise price per share lower limit | $ 2.79 | $ 2.79 |
Stock option exercise price per share upper limit | 7.29 | 8.40 |
Stock Option Exercisable [Member] | ||
Stock option exercise price per share lower limit | 2.79 | 2.79 |
Stock option exercise price per share upper limit | $ 7.05 | $ 8.40 |
Capital Stock, Stock Plans,Wa_5
Capital Stock, Stock Plans,Warrants, and Stock Based Compensation - Schedule of Non Vested Options (Details) | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Share-based Payment Arrangement [Abstract] | |
Shares non vested options, beginning | shares | 394,500 |
Shares non vested options, granted | shares | 24,000 |
Shares non vested options, vested | shares | (96,500) |
Shares non vested options, forfeited | shares | (20,000) |
Shares non vested options, ending | shares | 302,000 |
Weighted average grant date fair value non vested options, beginning | $ / shares | $ 1.77 |
Weighted average grant date fair value non vested options, granted | $ / shares | 4.66 |
Weighted average grant date fair value non vested options, Vested | $ / shares | 2 |
Weighted average grant date fair value non vested options, forfeited | $ / shares | 1.62 |
Weighted average grant date fair value non vested options, ending | $ / shares | $ 1.94 |
Income (Loss) Per Share - Sched
Income (Loss) Per Share - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Earnings Per Share [Abstract] | ||
Income from continuing operations, net of taxes | $ 3,149 | $ 2,732 |
Net loss attributable to non-controlling interest | (123) | (124) |
Income from continuing operations attributable to Perma-Fix Environmental Services, Inc. common stockholders | 3,272 | 2,856 |
Loss from discontinuing operations attributable to Perma-Fix Environmental Services, Inc. common stockholders | (412) | (541) |
Net income attributable to Perma-Fix Environmental Services, Inc. common stockholders | $ 2,860 | $ 2,315 |
Basic income per share attributable to Perma-Fix Environmental Services, Inc. common stockholders | $ .24 | $ .19 |
Diluted income per share attributable to Perma-Fix Environmental Services, Inc. common stockholders | $ .23 | $ .19 |
Basic weighted average shares outstanding | 12,139 | 12,046 |
Add: dilutive effect of stock options | 184 | 14 |
Add: dilutive effect of warrants | 24 | |
Diluted weighted average shares outstanding | 12,347 | 12,060 |
Potential shares excluded from above weighted average share calculations due to their anti-dilutive effect include: Stock options | 42 | 482 |
Potential shares excluded from above weighted average share calculations due to their anti-dilutive effect include: Warrant | 60 |
Discontinued Operations (Detail
Discontinued Operations (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | ||
May 31, 2016 | Dec. 31, 2020 | Dec. 31, 2019 | Jul. 24, 2020 | |
Loss from discontinued operations, net of taxes of $0 | $ (412,000) | $ (541,000) | ||
Tax effect of discontinued operation | 0 | 0 | ||
Increase (decrease) in environmental liability | 73,000 | |||
Accrued environmental remediation liabilities | 854,000 | 927,000 | ||
Accrued environmental liabilities, current | $ 744,000 | 817,000 | ||
Perma-Fix of Memphis, Inc. [Member] | ||||
Increase (decrease) in environmental liability | $ 50,000 | |||
Perma-Fix of Michigan, Inc. [Member] | ||||
Disposal group, including discontinued operation, consideration, after closing | $ 375,000 | |||
Disposal group, including discontinued operation, consideration, installment payment | $ 7,250 | |||
Disposal group, including discontinued operation, consideration, remaining balance | $ 105,000 |
Discontinued Operations - Sched
Discontinued Operations - Schedule of Disposal Groups, Including Discontinued Operation Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |||
Other assets | $ 22 | $ 104 | |
Total current assets | 22 | 104 | |
Property, plant and equipment, net | [1] | 81 | 81 |
Other assets | 36 | ||
Total long-term assets | 81 | 117 | |
Total assets | 103 | 221 | |
Accounts payable | 4 | 8 | |
Accrued expenses and other liabilities | 150 | 169 | |
Environmental liabilities | 744 | 817 | |
Total current liabilities | 898 | 994 | |
Closure liabilities | 142 | 134 | |
Environmental liabilities | 110 | 110 | |
Total long-term liabilities | 252 | 244 | |
Total liabilities | $ 1,150 | $ 1,238 | |
[1] | Net of accumulated depreciation of $10,000 for each period presented. |
Discontinued Operations - Sch_2
Discontinued Operations - Schedule of Disposal Groups, Including Discontinued Operation Balance Sheet (Details) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | ||
Accumulated depreciation | $ 10 | $ 10 |
Discontinued Operations - Sch_3
Discontinued Operations - Schedule of Current and Long Term Accrued Environmental Liability (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Current Accrual | $ 744,000 | $ 817,000 |
Long-term Accrual | 110,000 | |
Total | 854,000 | $ 927,000 |
PFD [Member] | ||
Current Accrual | 17,000 | |
Long-term Accrual | 60,000 | |
Total | 77,000 | |
PFM [Member] | ||
Current Accrual | 50,000 | |
Long-term Accrual | 15,000 | |
Total | 65,000 | |
PFSG [Member] | ||
Current Accrual | 677,000 | |
Long-term Accrual | 35,000 | |
Total | $ 712,000 |
Long Term Debt (Details Narrati
Long Term Debt (Details Narrative) - USD ($) | May 08, 2020 | Apr. 14, 2020 | Apr. 02, 2019 | Oct. 31, 2011 | Sep. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Long-term debt | $ 6,729,000 | $ 3,880,000 | ||||||
Fixed charge coverage ratio | Upon the achievement of a FCCR of greater than 1.25:1 | |||||||
Loss on extinguishment of debt | (27,000) | |||||||
Letters of credit outstanding, amount | 3,026,000 | |||||||
Debt discount and debt issuance costs | 0 | (248,000) | ||||||
Repayments of loan debt | 1,980,000 | |||||||
Current portion of long term debt | [1] | 3,595,000 | 1,300,000 | |||||
Debt issuance costs | 105,000 | 340,000 | ||||||
New Loan Agreement [Member] | ||||||||
Debt instrument maturity date | May 15, 2024 | |||||||
Fixed charge coverage ratio | The New Loan Agreement requires the Company to meet certain customary financial covenants, including, among other things, a minimum Tangible Adjusted Net Worth requirement of $27,000,000 at all times; maximum capital spending of $6,000,000 annually; and a minimum FCCR requirement of 1.15:1. | |||||||
Indirect cost including legal fees | $ 35,000 | |||||||
Loss on extinguishment of debt | 27,000 | |||||||
New Loan Agreement [Member] | Lender [Member] | ||||||||
Debt instrument fees | $ 50,000 | |||||||
Loan and Securities Purchase Agreement, Promissory Note and Subordination Agreement [Member] | ||||||||
Long-term debt | $ 2,500,000 | |||||||
Debt instrument, interest rate, stated percentage | 4.00% | |||||||
Debt instrument, first required interest payment | May 1, 2019 | |||||||
Debt instrument, periodic payment, principal | $ 208,333 | |||||||
Warrants to purchase share of common stock | 60,000 | |||||||
Warrants exercise price | $ 3.51 | |||||||
Debt discount and debt issuance costs | $ 398,000 | |||||||
Loan and Securities Purchase Agreement, Promissory Note and Subordination Agreement [Member] | Private Placement [Member] | ||||||||
Warrants to purchase share of common stock | 60,000 | |||||||
Shares issued to lender | 75,000 | |||||||
London Interbank Offered Rate (LIBOR) [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 0.75% | |||||||
Term Loan [Member] | ||||||||
Long-term debt | [2],[3] | $ 1,388,000 | $ 1,827,000 | |||||
Term Loan [Member] | Prime [Member] | New Loan Agreement [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 3.00% | |||||||
Term Loan [Member] | Prime [Member] | Upon the achievement of a FCCR of greater than 1.25:1 [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 2.50% | |||||||
Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | New Loan Agreement [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 4.00% | |||||||
Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | Upon the achievement of a FCCR of greater than 1.25:1 [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 3.50% | |||||||
PNC Bank [Member] | New Loan Agreement [Member] | On or Before May 7, 2021 [Member] | ||||||||
Financing fee percentage | 1.00% | |||||||
PNC Bank [Member] | New Loan Agreement [Member] | After May 7, 2021 But Prior to or On May 7, 2022 [Member] | ||||||||
Financing fee percentage | 0.50% | |||||||
Revised Loan Agreement [Member] | PNC Bank [Member] | Term Loan [Member] | ||||||||
Long-term debt | $ 6,100,000 | |||||||
Term Loan Agreement [Member] | Prime [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 2.50% | |||||||
Paycheck Protection Program Loan [Member] | ||||||||
Long-term debt | $ 5,666,000 | $ 5,318,000 | ||||||
Debt term | 2 years | |||||||
Debt interest rate | 1.00% | |||||||
Current portion of long term debt | 3,191,000 | |||||||
Paycheck Protection Program Loan [Member] | Lender [Member] | ||||||||
Loan amount | $ 5,666,000 | |||||||
Repayments of loan debt | $ 348,000 | |||||||
Debt term | 5 years | |||||||
Revolving Credit Facility [Member] | ||||||||
Line of credit facility, remaining borrowing capacity | 14,220,000 | |||||||
Letters of credit outstanding, amount | 3,026,000 | |||||||
Debt issuance costs | $ 105,000 | |||||||
Revolving Credit Facility [Member] | Prime [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 3.25% | |||||||
Revolving Credit Facility [Member] | Prime [Member] | New Loan Agreement [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 2.50% | |||||||
Revolving Credit Facility [Member] | Prime [Member] | Upon the achievement of a FCCR of greater than 1.25:1 [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 2.00% | |||||||
Revolving Credit Facility [Member] | Plus [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 2.00% | |||||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | New Loan Agreement [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 3.50% | |||||||
Fixed charge coverage ratio | The Company can only elect to use the LIBOR interest payment option after it becomes compliant with meeting the minimum FCCR of 1.15:1 | |||||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Upon the achievement of a FCCR of greater than 1.25:1 [Member] | ||||||||
Debt Instrument, basis spread on variable rate | 3.00% | |||||||
Revolving Credit Facility [Member] | Revised Loan Agreement [Member] | PNC Bank [Member] | ||||||||
Line of credit facility, maximum borrowing capacity | $ 12,000,000 | |||||||
Debt instrument maturity date | Mar. 24, 2021 | |||||||
Revolving Credit Facility [Member] | Term Loan Agreement [Member] | ||||||||
Long-term debt | $ 1,741,818 | |||||||
Annual rate of interest description | Payment of annual rate of interest due on the revolving credit under the Revised Loan Agreement was at prime (3.25 at December 31, 2020) plus 2% and the term loan at prime plus 2.5%. | |||||||
Monthly installments | 35,547 | |||||||
Revolving Credit Facility [Member] | Term Loan Agreement [Member] | Maximum [Member] | ||||||||
Line of credit facility | $ 18,000,000 | |||||||
[1] | Net of debt discount/debt issuance costs of ($0) and ($248,000) at December 31, 2020 and December 31, 2019, respectively. The Promissory Note provided for prepayment of principal over the term of the Note without penalty. In 2019, the Company made total prepayment of principal of $520,000 which was reflected in the current portion of the debt. In 2020, the outstanding principal balance of $1,980,000 was paid-in-full of which of which $416,000 was prepaid. | |||||||
[2] | Net of debt issuance costs of ($105,000) and ($92,000) at December 31, 2020 and December 31, 2019, respectively. | |||||||
[3] | Our revolving credit facility is collateralized by our accounts receivable and our term loan is collateralized by our property, plant, and equipment. Effective July 1, 2019, monthly installment principal payment on the Term Loan was amended to approximately $35,500 from approximately $101,600. See "Revolving Credit and Term Loan Agreement" below for terms of the Company's credit facility prior to the New Loan Agreement dated May 8, 2020. |
Long Term Debt - Schedule of Lo
Long Term Debt - Schedule of Long term Debt (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | ||
Total debt | $ 6,729 | $ 3,880 | ||
Less current portion of long-term debt | [1] | 3,595 | 1,300 | |
Long-term debt | 3,134 | 2,580 | ||
Revolving Credit [Member] | ||||
Total debt | [2] | 321 | ||
Term Loan [Member] | ||||
Total debt | [2],[3] | 1,388 | 1,827 | |
Promissory Note [Member] | ||||
Total debt | [1],[4] | 1,732 | ||
Promissory Note [Member] | ||||
Total debt | [4] | 5,318 | [5] | |
Note Payable [Member] | ||||
Total debt | $ 23 | |||
[1] | Net of debt discount/debt issuance costs of ($0) and ($248,000) at December 31, 2020 and December 31, 2019, respectively. The Promissory Note provided for prepayment of principal over the term of the Note without penalty. In 2019, the Company made total prepayment of principal of $520,000 which was reflected in the current portion of the debt. In 2020, the outstanding principal balance of $1,980,000 was paid-in-full of which of which $416,000 was prepaid. | |||
[2] | Our revolving credit facility is collateralized by our accounts receivable and our term loan is collateralized by our property, plant, and equipment. Effective July 1, 2019, monthly installment principal payment on the Term Loan was amended to approximately $35,500 from approximately $101,600. See "Revolving Credit and Term Loan Agreement" below for terms of the Company's credit facility prior to the New Loan Agreement dated May 8, 2020. | |||
[3] | Net of debt issuance costs of ($105,000) and ($92,000) at December 31, 2020 and December 31, 2019, respectively. | |||
[4] | Uncollateralized note. | |||
[5] | Entered into with the Company's credit facility lender under the PPP under the CARES Act (see "PPP Loan" below for further information on this loan and its terms). |
Long Term Debt - Schedule of _2
Long Term Debt - Schedule of Long term Debt (Details) (Parenthetical) - USD ($) | May 08, 2020 | Apr. 02, 2020 | Jul. 02, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Jun. 10, 2020 | Apr. 14, 2020 |
Debt issuance costs net | $ (105,000) | $ (340,000) | |||||
Debt discount including debt issuance | 0 | (248,000) | |||||
Prepayments in principal amount | 416,000 | $ 520,000 | |||||
Repayments of loan debt | $ 1,980,000 | ||||||
Promissory Note [Member] | |||||||
Effective interest rate | 4.00% | ||||||
Principal amount | $ 208,000 | ||||||
Promissory Note [Member] | |||||||
Effective interest rate | 1.00% | ||||||
Note Payable [Member] | |||||||
Effective interest rate | 5.64% | ||||||
Revolving Credit [Member] | |||||||
Debt due date | May 15, 2024 | ||||||
Effective interest rate | 6.10% | 6.60% | |||||
Term Loan [Member] | |||||||
Debt due date | May 15, 2024 | ||||||
Effective interest rate | 5.20% | 6.90% | |||||
Principal amount | $ 101,600 | ||||||
Amended Term Loan [Member] | |||||||
Principal amount | $ 35,500 |
Long-Term Debt - Schedule of Ma
Long-Term Debt - Schedule of Maturities of Long-term Debt (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Debt Disclosure [Abstract] | |
2021 | $ 3,627 |
2022 | 2,562 |
2023 | 431 |
2024 | 214 |
Total | $ 6,834 |
Accrued Expenses (Details Narra
Accrued Expenses (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
2020 Management Incentive Plan [Member] | ||
Compensation expenses | $ 419 | |
2020 Management Incentive Plan [Member] | Discretionary Bonus [Member] | ||
Compensation expenses | $ 27 | |
2019 Management Incentive Plan [Member] | ||
Compensation expenses | $ 360 |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Payables and Accruals [Abstract] | ||
Salaries and employee benefits | $ 4,203 | $ 3,908 |
Accrued sales, property and other tax | 589 | 793 |
Interest payable | 50 | 17 |
Insurance payable | 1,145 | 935 |
Other | 394 | 465 |
Total accrued expenses | $ 6,381 | $ 6,118 |
Accrued Closure Costs and ARO_2
Accrued Closure Costs and ARO (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Asset retirement obligation, liabilities settled | $ 11 | $ 1,359 |
M&EC [Member] | ||
Asset retirement obligation, revision of estimate | 330 | |
Asset retirement obligation, liabilities settled | $ 11 | $ 1,359 |
Accrued Closure Costs and ARO -
Accrued Closure Costs and ARO - Schedule of Change in Asset Retirement Obligation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Asset Retirement Obligation Disclosure [Abstract] | ||
Balance at beginning | $ 6,041 | $ 6,750 |
Accretion expense | 335 | 320 |
Spending | (11) | (1,359) |
Adjustment to closure liability | 330 | |
Balance at end | $ 6,365 | $ 6,041 |
Accrued Closure Costs and ARO_3
Accrued Closure Costs and ARO - Schedule of Asset Retirement Obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Asset Retirement Obligation Disclosure [Abstract] | ||
Balance at beginning | $ 3,539 | $ 3,730 |
Amortization of closure and post-closure asset | (191) | (191) |
Balance at end | $ 3,348 | $ 3,539 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Federal corporate tax rate | 21.00% | 21.00% |
Deferred income tax assets | $ 8,572 | $ 9,106 |
Income tax expiration description | Expire in various amounts starting in 2021. | |
Deferred net operating loss | $ 8,662 | 9,391 |
Uncertain tax positions | ||
Federal [Member] | ||
Deferred income tax assets | ||
Net operating loss carryforwards | 14,264 | |
Deferred net operating loss | 12,199 | |
Federal [Member] | Majority-owned Subsidiary [Member] | ||
Net operating loss carryforwards | 2,455 | |
State [Member] | ||
Net operating loss carryforwards | 71,316 | |
State [Member] | Majority-owned Subsidiary [Member] | ||
Net operating loss carryforwards | $ 3,774 |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income (loss) Before Income Tax (Benefit) Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income before tax (benefit) expense | $ 2,960 | $ 2,889 |
United States [Member] | ||
Income before tax (benefit) expense | 4,778 | 4,120 |
Canada [Member] | ||
Income before tax (benefit) expense | (1,391) | (735) |
United Kingdom [Member] | ||
Income before tax (benefit) expense | (121) | (184) |
POLAND [Member] | ||
Income before tax (benefit) expense | $ (306) | $ (312) |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Income Tax (Benefit) Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||
Federal income tax expense - deferred | $ 4 | $ 5 |
State income tax (benefit) expense - current | (70) | 153 |
State income tax (benefit) expense - deferred | (123) | (1) |
Total income tax (benefit) expense | $ (189) | $ 157 |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||
Federal tax expense at statutory rate | $ 622 | $ 607 |
State tax (benefit) expense, net of federal benefit | (192) | 152 |
Change in deferred tax rates | (71) | 106 |
Permanent items | 126 | 54 |
Difference in foreign rate | (68) | (27) |
Change in deferred tax liabilities | (256) | 835 |
Other | 117 | (218) |
Decrease in valuation allowance | (467) | (1,352) |
Income tax (benefit) expense | $ (189) | $ 157 |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Income Tax Disclosure [Abstract] | ||
Net operating losses | $ 8,662 | $ 9,391 |
Environmental and closure reserves | 1,839 | 1,977 |
Lease liability | 642 | 742 |
Other | 1,734 | 1,295 |
Depreciation and amortization | (3,447) | (3,211) |
Goodwill and indefinite lived intangible assets | (471) | (590) |
Right-of-use lease asset | (627) | (730) |
481(a) adjustment | (209) | (336) |
Prepaid expenses | (22) | (22) |
Deferred tax assets liabilities gross | (8,101) | (8,516) |
Valuation allowance | (8,572) | (9,106) |
Net deferred income tax liabilities | $ (471) | $ (590) |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jul. 30, 2020 | Jun. 30, 2003 | Dec. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2003 | |
Self-insured retention | $ 100,000 | ||||
Finite risk sinking fund (restricted cash) | $ 11,446 | $ 11,307 | |||
Interest income, other | 140 | 337 | |||
Letters of credit outstanding, amount | 3,026 | ||||
Bond outstanding | 46,388 | ||||
American International Group, Inc [Member] | |||||
Period of finite risk insurance policy | 25 years | ||||
Maximum allowable coverage of insurance policy | $ 28,177 | ||||
Coverage amount under the policy | 19,651 | ||||
Interest earned on sinking fund | 1,975 | 1,836 | |||
Interest income, other | $ 139 | $ 337 | |||
Insurers obligation to entity on termination of contract | 100.00% |
Profit Sharing Plan (Details Na
Profit Sharing Plan (Details Narrative) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)Integer | Dec. 31, 2019USD ($) | |
Retirement Benefits [Abstract] | ||
Minimum age for full time employees to participate in plan | 18 | |
Number of quarterly open periods for enrollment | 4 | |
Defined contribution plan, maximum annual contributions per employee, percent | 100.00% | |
Defined contribution plan, employer matching contribution, percent of employees' gross pay | 25.00% | |
Defined contribution plan employers contribution vesting period | 5 years | |
Defined contribution plan, employer discretionary contribution amount | $ | $ 594 | $ 395 |
Related Party Transactions (Det
Related Party Transactions (Details Narrative) - USD ($) | Jul. 22, 2020 | Jan. 16, 2020 | Dec. 31, 2020 | Dec. 31, 2019 |
Vice President of Information Systems [Member] | Dr. David Centofanti [Member] | ||||
Compensation | $ 181,000 | $ 177,000 | ||
CEO [Member] | ||||
Deferred compensation arrangement with individual, cash awards granted, minimum, percentage | 5.00% | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, percentage | 150.00% | |||
Deferred compensation arrangement with individual, cash awards granted, minimum, amount | $ 17,220 | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, amount | $ 516,600 | |||
CFO [Member] | ||||
Deferred compensation arrangement with individual, cash awards granted, minimum, percentage | 5.00% | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, percentage | 100.00% | |||
Deferred compensation arrangement with individual, cash awards granted, minimum, amount | $ 14,000 | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, amount | $ 280,000 | |||
EVP of Strategic Initiatives [Member] | ||||
Deferred compensation arrangement with individual, cash awards granted, minimum, percentage | 5.00% | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, percentage | 100.00% | |||
Deferred compensation arrangement with individual, cash awards granted, minimum, amount | $ 11,667 | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, amount | $ 233,336 | |||
EVP Of Nuclear And Technical Services [Member] | ||||
Deferred compensation arrangement with individual, cash awards granted, minimum, percentage | 5.00% | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, percentage | 100.00% | |||
Deferred compensation arrangement with individual, cash awards granted, minimum, amount | $ 14,000 | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, amount | $ 280,000 | |||
EVP of Waste Treatment Operations [Member] | ||||
Deferred compensation arrangement with individual, cash awards granted, minimum, percentage | 5.00% | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, percentage | 100.00% | |||
Deferred compensation arrangement with individual, cash awards granted, minimum, amount | $ 12,000 | |||
Deferred compensation arrangement with individual, cash awards granted, maximum, amount | 240,000 | |||
Three Executive [Member] | ||||
Aggregate compensation expenses | 271,000 | |||
Andy Lombardo [Member] | ||||
Payments to related party transaction | $ 89,000 | |||
Andy Lombardo [Member] | Maximum [Member] | ||||
Annual base salary increase | 280,000 | |||
Andy Lombardo [Member] | Minimum [Member] | ||||
Annual base salary increase | 258,662 | |||
Mark Duff [Member] | Maximum [Member] | ||||
Annual base salary increase | 344,400 | |||
Mark Duff [Member] | Minimum [Member] | ||||
Annual base salary increase | 287,000 | |||
Ben Naccarato [Member] | Maximum [Member] | ||||
Annual base salary increase | 280,000 | |||
Ben Naccarato [Member] | Minimum [Member] | ||||
Annual base salary increase | $ 235,231 | |||
Mr. Grondin [Member] | ||||
Annual base salary increase | $ 208,000 | |||
Vice President of Western Operations [Member] | ||||
Annual base salary increase | $ 240,000 |
Segment Reporting (Details Narr
Segment Reporting (Details Narrative) | 12 Months Ended |
Dec. 31, 2020Integer | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segment Reporting - Schedule of
Segment Reporting - Schedule of Segment Reporting Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Revenue from external customers | $ 105,426 | $ 73,459 | |
Intercompany revenues | |||
Gross profit | 15,893 | 15,584 | |
Research and development | 762 | 750 | |
Interest income | 140 | 337 | |
Interest expense | (398) | (432) | |
Interest expense-financing fees | (294) | (208) | |
Depreciation and amortization | 1,596 | 1,342 | |
Segment income (loss) before income taxes | 2,960 | 2,889 | |
Income tax (benefit) expense | (189) | 157 | |
Segment income (loss) | 3,149 | 2,732 | |
Segment assets | [1] | 78,919 | 66,515 |
Expenditures for segment assets (net) | [2] | 1,715 | 1,535 |
Total debt | [3] | 6,729 | 3,880 |
Treatment [Member] | |||
Revenue from external customers | 30,143 | 40,364 | |
Intercompany revenues | 1,493 | 329 | |
Gross profit | 5,491 | 12,248 | |
Research and development | 243 | 401 | |
Interest income | 1 | ||
Interest expense | (115) | (129) | |
Interest expense-financing fees | |||
Depreciation and amortization | 1,204 | 999 | |
Segment income (loss) before income taxes | 1,494 | 7,973 | |
Income tax (benefit) expense | (264) | 153 | |
Segment income (loss) | 1,758 | 7,820 | |
Segment assets | [1] | 32,324 | 34,260 |
Expenditures for segment assets (net) | 1,264 | 1,366 | |
Total debt | |||
Services [Member] | |||
Revenue from external customers | 75,283 | 33,095 | |
Intercompany revenues | 25 | 38 | |
Gross profit | 10,402 | 3,336 | |
Research and development | 132 | 12 | |
Interest income | |||
Interest expense | (27) | (23) | |
Interest expense-financing fees | |||
Depreciation and amortization | 354 | 318 | |
Segment income (loss) before income taxes | 7,826 | 795 | |
Income tax (benefit) expense | 6 | ||
Segment income (loss) | 7,820 | 795 | |
Segment assets | [1],[4] | 22,368 | 15,410 |
Expenditures for segment assets (net) | 451 | 169 | |
Total debt | 23 | ||
Medical [Member] | |||
Revenue from external customers | |||
Intercompany revenues | |||
Gross profit | |||
Research and development | 311 | 314 | |
Interest income | |||
Interest expense | |||
Interest expense-financing fees | |||
Depreciation and amortization | |||
Segment income (loss) before income taxes | (311) | (314) | |
Income tax (benefit) expense | |||
Segment income (loss) | (311) | (314) | |
Segment assets | [1] | 17 | 16 |
Expenditures for segment assets (net) | |||
Total debt | |||
Segments Total [Member] | |||
Revenue from external customers | [5],[6] | 105,426 | 73,459 |
Intercompany revenues | 1,518 | 367 | |
Gross profit | 15,893 | 15,584 | |
Research and development | 686 | 727 | |
Interest income | 1 | ||
Interest expense | (142) | (152) | |
Interest expense-financing fees | |||
Depreciation and amortization | 1,558 | 1,317 | |
Segment income (loss) before income taxes | 9,009 | 8,454 | |
Income tax (benefit) expense | (258) | 153 | |
Segment income (loss) | 9,267 | 8,301 | |
Segment assets | [1] | 54,709 | 49,686 |
Expenditures for segment assets (net) | 1,715 | 1,535 | |
Total debt | 23 | ||
Corporate [Member] | |||
Revenue from external customers | [7] | ||
Intercompany revenues | [7] | ||
Gross profit | [7] | ||
Research and development | [7] | 76 | 23 |
Interest income | [7] | 139 | 337 |
Interest expense | [7] | (256) | (280) |
Interest expense-financing fees | [7] | (294) | (208) |
Depreciation and amortization | [7] | 38 | 25 |
Segment income (loss) before income taxes | [7] | (6,049) | (5,565) |
Income tax (benefit) expense | [7] | 69 | 4 |
Segment income (loss) | [7] | (6,118) | (5,569) |
Segment assets | [1],[7],[8] | 24,210 | 16,829 |
Expenditures for segment assets (net) | [7] | ||
Total debt | [7] | $ 6,706 | $ 3,880 |
[1] | Segment assets have been adjusted for intercompany accounts to reflect actual assets for each segment. | ||
[2] | Net of financed amount of $883,000 and $393,000 for the year ended December 31, 2020 and 2019, respectively. | ||
[3] | Net of debt discount/debt issuance costs of ($105,000) and ($340,000) for 2020 and 2019, respectively (see "Note 10 - Long-Term Debt" for additional information). | ||
[4] | Includes long-lived asset (net) for our PF Canada, Inc. subsidiary of $33,000 and $41,000 for the year ended December 31, 2020 and 2019, respectively. | ||
[5] | The Company performed services relating to waste generated by government clients (domestic and foreign (primarily Canadian)), either directly as a prime contractor or indirectly for others as a subcontractor to government entities, representing approximately 96,582,000 or 91.6% of total revenue for 2020 and $59,985,000 or 81.7% of total revenue for 2019. The following reflects such revenue generated by our two segments: 2020 Domestic government Treatment 22,795 Foreign government Treatment 415 Total 23,210 Domestic government Services 68,237 Foreign government Services 5,135 Total 73,372 Total 91,032 5,550 96,582 2019 Domestic government Treatment 29,420 Foreign government Treatment 279 Total 29,699 Domestic government Services 25,077 Foreign government Services 5,209 Total Services 30,286 Total 54,497 5,488 59,985 | ||
[6] | The following table reflects revenue based on customer location: 2020 United States 99,790 Canada 5,550 United Kingdom 86 Total 105,426 2019 United States 67,822 Canada 5,488 United Kingdom 149 Total 73,459 | ||
[7] | Amounts reflect the activity for corporate headquarters not included in the segment information. | ||
[8] | Amount includes assets from our discontinued operations of $103,000 and $221,000 at December 31, 2020 and 2019, respectively. |
Segment Reporting - Schedule _2
Segment Reporting - Schedule of Segment Reporting Information (Details) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Net revenues | $ 105,426 | $ 73,459 |
Assets of disposal group including discontinued operation including not held for sale | 103 | 221 |
Debt issuance costs | 105 | 340 |
Financed portion amount in the purchase of capital expenditure | 883 | 393 |
Long-lived asset (net) | 875 | 1,065 |
Perma-Fix [Member] | ||
Long-lived asset (net) | 33 | 41 |
Sales Revenue [Member] | Customer Concentration Risk [Member] | Domestic and Foreign Government [Member] | ||
Net revenues | $ 96,582 | $ 59,985 |
Concentration risk, percentage | 91.60% | 81.70% |
Segment Reporting - Schedule _3
Segment Reporting - Schedule of Revenue by Major Customers by Reporting Segments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues | $ 96,582 | $ 59,985 |
Treatment [Member] | ||
Revenues | 23,210 | 29,699 |
Services [Member] | ||
Revenues | 73,372 | 30,286 |
Domestic Government [Member] | ||
Revenues | 91,032 | 54,497 |
Domestic Government [Member] | Treatment [Member] | ||
Revenues | 22,795 | 29,420 |
Domestic Government [Member] | Services [Member] | ||
Revenues | 68,237 | 25,077 |
Foreign Government [Member] | ||
Revenues | 5,550 | 5,488 |
Foreign Government [Member] | Treatment [Member] | ||
Revenues | 415 | 279 |
Foreign Government [Member] | Services [Member] | ||
Revenues | $ 5,135 | $ 5,209 |
Segment Reporting - Schedule _4
Segment Reporting - Schedule of Revenue Based on Customer Location (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Net revenues | $ 105,426 | $ 73,459 |
United States [Member] | ||
Net revenues | 99,790 | 67,822 |
Canada [Member] | ||
Net revenues | 5,550 | 5,488 |
United Kingdom [Member] | ||
Net revenues | $ 86 | $ 149 |
Deferral of Employment Tax De_2
Deferral of Employment Tax Deposits (Details Narrative) - USD ($) | 1 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Other long-term liabilities | $ 626,000 | |
Deferral of Employment Tax Deposits [Member] | ||
Remaining payment of social security taxes amount | $ 1,252,000 | |
Social security taxes deferred description | The CARES Act, as amended by the Flexibility Act which was signed into law on June 5, 2020, provides employers the option to defer the payment of an employer's share of social security taxes beginning on March 27, 2020 through December 31, 2020 with 50% of the amount of social security taxes deferred to become due on December 31, 2021 with the remaining 50% due on December 31, 2022. The Company elected to defer such taxes starting in mid-April 2020. At December 31, 2020, the Company has deferred payment of approximately $1,252,000 in its share of social security taxes, of which approximately $626,000 is included in "Other long-term liabilities," with the remaining balance included in "Accrued expenses" within current liabilities in the Company's Consolidated Balance Sheets. | |
Deferral of Employment Tax Deposits [Member] | December 31, 2021 [Member] | ||
Percentage of social security taxes deferred payable | 50.00% | |
Deferral of Employment Tax Deposits [Member] | December 31, 2022 [Member] | ||
Percentage of social security taxes deferred payable | 50.00% |
Variable Interest Entities (V_2
Variable Interest Entities (VIE) (Details Narrative) - USD ($) $ in Thousands | May 24, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | |
Partnership interest rate | 51.00% | |||
Total assets | [1] | $ 78,919 | $ 66,515 | |
Total liabilities | 46,468 | $ 37,279 | ||
Engineering/Remediation Resources Group, Inc [Member] | ||||
Partnership interest rate | 49.00% | |||
Perma-Fix ERRG [Member] | ||||
Total assets | 2,723 | |||
Total liabilities | $ 2,723 | |||
[1] | Segment assets have been adjusted for intercompany accounts to reflect actual assets for each segment. |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) - Subsequent Event [Member] - USD ($) | Jan. 21, 2021 | Feb. 28, 2021 |
Chairman of Compensation Committee, Nominating Committee and the Strategic Committee [Member] | ||
Board chairman committee fees | $ 3,125 | |
Compensation Committee, Nominating Committee and the Strategic Committee [Member] | ||
Committee member fees | 500 | |
Non-Employee Board Member [Member] | ||
Board attendance fees | $ 500 | |
Board meeting attendance description | Each non-employee Board member will continue to receive $1,000 for each board meeting attendance and a $500 fee for meeting attendance via conference call. | |
Non-Employee Director [Member] | 2003 Plan [Member] | ||
Fees payable description | Each non-employee director may continue to elect to have either 65% or 100% of such fees payable in Common Stock under the 2003 Plan, with the balance, if any, payable in cash (see "Note 7 - Capital Stock, Stock Plans, Warrants, and Stock Based Compensation - Stock Option Plans" for a discussion of the 2003 Plan). | |
CEO [Member] | ||
Compensation arrangement with individual, cash awards, minimum, percentage | 5.00% | |
Compensation arrangement with individual, cash awards, maximum, percentage | 150.00% | |
Compensation arrangement with individual, cash awards, minimum, amount | $ 17,220 | |
Compensation arrangement with individual, cash awards, maximum, amount | $ 516,600 | |
CFO [Member] | ||
Compensation arrangement with individual, cash awards, minimum, percentage | 5.00% | |
Compensation arrangement with individual, cash awards, maximum, percentage | 100.00% | |
Compensation arrangement with individual, cash awards, minimum, amount | $ 14,000 | |
Compensation arrangement with individual, cash awards, maximum, amount | $ 280,000 | |
EVP of Strategic Initiatives [Member] | ||
Compensation arrangement with individual, cash awards, minimum, percentage | 5.00% | |
Compensation arrangement with individual, cash awards, maximum, percentage | 100.00% | |
Compensation arrangement with individual, cash awards, minimum, amount | $ 11,667 | |
Compensation arrangement with individual, cash awards, maximum, amount | $ 233,336 | |
EVP Of Nuclear And Technical Services [Member] | ||
Compensation arrangement with individual, cash awards, minimum, percentage | 5.00% | |
Compensation arrangement with individual, cash awards, maximum, percentage | 100.00% | |
Compensation arrangement with individual, cash awards, minimum, amount | $ 14,000 | |
Compensation arrangement with individual, cash awards, maximum, amount | $ 280,000 | |
EVP of Waste Treatment Operations [Member] | ||
Compensation arrangement with individual, cash awards, minimum, percentage | 5.00% | |
Compensation arrangement with individual, cash awards, maximum, percentage | 100.00% | |
Compensation arrangement with individual, cash awards, minimum, amount | $ 12,000 | |
Compensation arrangement with individual, cash awards, maximum, amount | 240,000 | |
Executive Officer [Member] | ||
Compensation expense, increased percentage | 2.30% | |
Director [Member] | Revised [Member] | ||
Quarterly fee | 11,500 | |
Director [Member] | Prior to Revision [Member] | ||
Quarterly fee | 8,000 | |
Chairman of the Board [Member] | Revised [Member] | ||
Quarterly fee | 8,750 | |
Chairman of the Board [Member] | Prior to Revision [Member] | ||
Quarterly fee | 7,500 | |
Chairman of the Audit Committee [Member] | Revised [Member] | ||
Quarterly fee | 6,250 | |
Chairman of the Audit Committee [Member] | Prior to Revision [Member] | ||
Quarterly fee | 5,500 | |
Audit Committee Member [Member] | ||
Audit committee member fees | $ 1,250 |