Gse Systems (GVP) 10-Q 14 Nov 23 2023 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2023	Oct. 31, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Document Transition Report	false
Entity File Number	001-14785
Entity Registrant Name	GSE Systems, Inc.
Entity Central Index Key	0000944480
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	52-1868008
Entity Address, Address Line One	6940 Columbia Gateway Dr.
Entity Address, Address Line Two	Suite 470
Entity Address, City or Town	Columbia
Entity Address, State or Province	MD
Entity Address, Postal Zip Code	21046
City Area Code	410
Local Phone Number	970-7800
Title of 12(b) Security	Common Stock, $0.01 Par Value
Trading Symbol	GVP
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		2,607,241

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 2,041	$ 2,789
Restricted cash, current	378	1,052
Contract receivables, net of allowance for credit loss	10,697	10,064
Prepaid expenses and other current assets	569	2,165
Total current assets	13,685	16,070
Equipment, software and leasehold improvements, net	648	772
Software development costs, net	698	574
Goodwill	5,362	6,299
Intangible assets, net	1,287	1,687
Restricted cash - long term	1,081	535
Operating lease right-of-use assets, net	518	506
Other assets	42	53
Total assets	23,321	26,496
Current liabilities:
Current portion of long-term note	1,445	3,038
Accounts payable	2,346	1,262
Accrued expenses	1,832	2,084
Accrued compensation	1,790	1,071
Billings in excess of revenue earned	4,215	4,163
Accrued warranty	265	370
Income taxes payable	1,629	1,774
Derivative liabilities	1,538	603
Other current liabilities	987	1,286
Total current liabilities	16,047	15,651
Long-term note, less current portion	942	310
Operating lease liabilities noncurrent	315	160
Other noncurrent liabilities	168	144
Total liabilities	17,472	16,265
Commitments and contingencies (Note 16)
Stockholders' equity:
Preferred stock $0.01 par value; 2,000,000 shares authorized; no shares issued and outstanding	0	0
Common stock $0.01 par value; 60,000,000 shares authorized, 2,648,085 and 2,404,681 shares issued, 2,488,194 and 2,244,790 shares outstanding, respectively	26	24
Additional paid-in capital	85,196	83,127
Accumulated deficit	(76,455)	(69,927)
Accumulated other comprehensive income	81	6
Treasury stock at cost, 159,891 shares	(2,999)	(2,999)
Total stockholders' equity	5,849	10,231
Total liabilities and stockholders' equity	$ 23,321	$ 26,496

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2023	Dec. 31, 2022
Stockholders' equity:
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	2,000,000	2,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	60,000,000	60,000,000
Common stock, shares issued (in shares)	2,648,085	2,404,681
Common stock, shares outstanding (in shares)	2,488,194	2,244,790
Treasury stock at cost (in shares)	159,891	159,891

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
CONSOLIDATED STATEMENTS OF OPERATIONS [Abstract]
Revenue	$ 11,566	$ 11,898	$ 34,826	$ 36,918
Cost of revenue	7,850	8,642	25,500	28,063
Gross profit	3,716	3,256	9,326	8,855
Operating expenses:
Selling, general and administrative	4,301	4,336	12,742	13,253
Research and development	139	186	474	510
Goodwill and intangible asset impairment charge	937	7,505	937	7,505
Depreciation	43	69	144	213
Amortization of intangible assets	108	209	400	700
Total operating expenses	5,528	12,305	14,697	22,181
Operating loss	(1,812)	(9,049)	(5,371)	(13,326)
Other income and (expenses), net
Interest expense, net	(430)	(422)	(1,483)	(928)
Change in fair value of derivative instruments, net	180	263	420	377
Other loss, net	(30)	(2)	(118)	(58)
Loss before income taxes	(2,092)	(9,210)	(6,552)	(13,935)
Benefit from income taxes	(70)	(218)	(81)	(108)
Net loss	$ (2,022)	$ (8,992)	$ (6,471)	$ (13,827)
Net loss per common share - basic (in dollars per share)	$ (0.82)	$ (4.22)	$ (2.7)	$ (6.55)
Net loss per common share - diluted (in dollars per share)	$ (0.82)	$ (4.22)	$ (2.7)	$ (6.55)
Weighted average shares outstanding used to compute net loss per share - basic (in shares)	2,480,505	2,128,888	2,398,468	2,110,194
Weighted average shares outstanding used to compute net loss per share - diluted (in shares)	2,480,505	2,128,888	2,398,468	2,110,194

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS [Abstract]
Net loss	$ (2,022)	$ (8,992)	$ (6,471)	$ (13,827)
Cumulative translation adjustment	15	91	75	166
Comprehensive loss	$ (2,007)	$ (8,901)	$ (6,396)	$ (13,661)

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock [Member]	Common Stock [Member] Cumulative Effect, Period of Adoption, Adjustment [Member]	Common Stock [Member] Cumulative Effect, Period of Adoption, Adjusted Balance [Member]	Additional Paid-in Capital [Member]	Additional Paid-in Capital [Member] Cumulative Effect, Period of Adoption, Adjustment [Member]	Additional Paid-in Capital [Member] Cumulative Effect, Period of Adoption, Adjusted Balance [Member]	Accumulated Deficit [Member]	Accumulated Deficit [Member] Cumulative Effect, Period of Adoption, Adjustment [Member]	Accumulated Deficit [Member] Cumulative Effect, Period of Adoption, Adjusted Balance [Member]	Accumulated Other Comprehensive Loss [Member]	Accumulated Other Comprehensive Loss [Member] Cumulative Effect, Period of Adoption, Adjustment [Member]	Accumulated Other Comprehensive Loss [Member] Cumulative Effect, Period of Adoption, Adjusted Balance [Member]	Treasury Stock [Member]	Treasury Stock [Member] Cumulative Effect, Period of Adoption, Adjustment [Member]	Treasury Stock [Member] Cumulative Effect, Period of Adoption, Adjusted Balance [Member]	Total	Cumulative Effect, Period of Adoption, Adjustment [Member]	Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Balance at Dec. 31, 2021	$ 23			$ 80,708			$ (54,584)			$ (104)			$ (2,999)			$ 23,043
Balance (in shares) at Dec. 31, 2021	2,253,000
Balance (in shares) at Dec. 31, 2021													(160,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation expense	$ 0			1,504			0			0			$ 0			1,504
Common stock issued for RSUs vested	$ 0			(1)			0			0			0			(1)
Common stock issued for RSUs vested (in shares)	44,000
Shares withheld to pay taxes	$ 0			(226)			0			0			0			(226)
Foreign currency translation adjustment	0			0			0			166			0			166
Repayment of convertible note in shares	$ 0			320			0			0			0			320
Repayment of convertible note in shares (in shares)	34,000
Net (loss) income	$ 0			0			(13,827)			0			0			(13,827)
Balance at Sep. 30, 2022	$ 23			82,305			(68,411)			62			$ (2,999)			10,980
Balance (in shares) at Sep. 30, 2022	2,332,000
Balance (in shares) at Sep. 30, 2022													(160,000)
Balance at Dec. 31, 2021	$ 23			80,708			(54,584)			(104)			$ (2,999)			23,043
Balance (in shares) at Dec. 31, 2021	2,253,000
Balance (in shares) at Dec. 31, 2021													(160,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update [Extensible Enumeration]								ASC 326 [Member]	ASC 326 [Member]
Balance at Dec. 31, 2022	$ 24	$ 0	$ 24	83,127	$ 0	$ 83,127	(69,927)	$ (57)	$ (69,984)	6	$ 0	$ 6	$ (2,999)	$ 0	$ (2,999)	$ 10,231	$ (57)	$ 10,174
Balance (in shares) at Dec. 31, 2022	2,405,000	0	2,405,000													2,404,681
Balance (in shares) at Dec. 31, 2022													(160,000)	0	(160,000)	(159,891)
Balance at Jun. 30, 2022	$ 23			81,529			(59,419)			(29)			$ (2,999)			$ 19,105
Balance (in shares) at Jun. 30, 2022	2,285,000
Balance (in shares) at Jun. 30, 2022													(160,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation expense	$ 0			479			0			0			$ 0			479
Common stock issued for RSUs vested	$ 0			0			0			0			0			0
Common stock issued for RSUs vested (in shares)	13,000
Shares withheld to pay taxes	$ 0			(23)			0			0			0			(23)
Foreign currency translation adjustment	0			0			0			91			0			91
Repayment of convertible note in shares	$ 0			320			0			0			0			320
Repayment of convertible note in shares (in shares)	34,000
Net (loss) income	$ 0			0			(8,992)			0			0			(8,992)
Balance at Sep. 30, 2022	$ 23			82,305			(68,411)			62			$ (2,999)			10,980
Balance (in shares) at Sep. 30, 2022	2,332,000
Balance (in shares) at Sep. 30, 2022													(160,000)
Balance at Dec. 31, 2022	$ 24	$ 0	$ 24	83,127	$ 0	$ 83,127	(69,927)	$ (57)	$ (69,984)	6	$ 0	$ 6	$ (2,999)	$ 0	$ (2,999)	$ 10,231	$ (57)	$ 10,174
Balance (in shares) at Dec. 31, 2022	2,405,000	0	2,405,000													2,404,681
Balance (in shares) at Dec. 31, 2022													(160,000)	0	(160,000)	(159,891)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation expense	$ 0			865			0			0			$ 0			$ 865
Common stock issued for RSUs vested	$ 0			0			0			0			0			0
Common stock issued for RSUs vested (in shares)	46,000
Shares withheld to pay taxes	$ 0			(88)			0			0			0			(88)
Foreign currency translation adjustment	0			0			0			75			0			75
Repayment of convertible note in shares	$ 2			1,292			0			0			0			1,294
Repayment of convertible note in shares (in shares)	197,000
Net (loss) income	$ 0			0			(6,471)			0			0			(6,471)
Balance at Sep. 30, 2023	$ 26			85,196			(76,455)			81			$ (2,999)			$ 5,849
Balance (in shares) at Sep. 30, 2023	2,648,000															2,648,085
Balance (in shares) at Sep. 30, 2023													(160,000)			(159,891)
Balance at Jun. 30, 2023	$ 26			84,879			(74,433)			66			$ (2,999)			$ 7,539
Balance (in shares) at Jun. 30, 2023	2,640,000
Balance (in shares) at Jun. 30, 2023													(160,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation expense	$ 0			327			0			0			$ 0			327
Common stock issued for RSUs vested	$ 0			0			0			0			0			0
Common stock issued for RSUs vested (in shares)	8,000
Shares withheld to pay taxes	$ 0			(10)			0			0			0			(10)
Foreign currency translation adjustment	0			0			0			15			0			15
Net (loss) income	0			0			(2,022)			0			0			(2,022)
Balance at Sep. 30, 2023	$ 26			$ 85,196			$ (76,455)			$ 81			$ (2,999)			$ 5,849
Balance (in shares) at Sep. 30, 2023	2,648,000															2,648,085
Balance (in shares) at Sep. 30, 2023													(160,000)			(159,891)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Cash flows from operating activities:
Net loss	$ (2,022)	$ (8,992)	$ (6,471)	$ (13,827)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Goodwill and intangible asset impairment charge	937	7,505	937	7,505
Depreciation	43	69	144	213
Legal settlement			750	0
Amortization of intangible assets	108	209	400	700
Amortization of capitalized software development costs			248	255
Amortization of deferred financing costs			22	11
Amortization of debt discount			981	925
Loss on debt settled in shares			145	21
Stock-based compensation expense			853	1,592
Credit loss expense	(6)	0	24	97
Change in fair value of derivative instruments, net			(420)	(377)
Foreign currency transaction (gain) loss			152	178
Deferred income taxes			3	(80)
Changes in assets and liabilities:
Contract receivables, net			(736)	922
Prepaid expenses and other assets			1,891	3,638
Accounts payable, accrued compensation and accrued expenses			1,572	539
Billings in excess of revenue earned			76	(818)
Accrued warranty			(98)	(163)
Other liabilities			(167)	(581)
Net cash provided by operating activities			306	750
Cash flows from investing activities:
Capital expenditures			(19)	(171)
Capitalized software development costs			(372)	(276)
Net cash used in investing activities			(391)	(447)
Cash flows from financing activities:
Repayment of line of credit			0	(1,817)
Repayment of insurance premium financing			(729)	(906)
Proceeds from issuance of long-term debt and warrants			1,800	5,750
Payments of debt issuance and original discount on issuance of long-term debt and warrants			(386)	(968)
Principal repayment of convertible note			(1,327)	(319)
Tax paid for shares withheld			(88)	(226)
Net cash (used in) provided by financing activities			(730)	1,514
Effect of exchange rate changes on cash			(61)	(124)
Net (decrease) increase in cash, cash equivalents and restricted cash			(876)	1,693
Cash, cash equivalents and restricted cash at beginning of the period			4,376	3,550	$ 3,550
Cash, cash equivalents and restricted cash at the end of the period	3,500	5,243	3,500	5,243	4,376
Cash and cash equivalents	2,041	3,660	2,041	3,660	2,789
Restricted cash, current	378	651	378	651	1,052
Restricted cash included in other long-term assets	1,081	932	1,081	932	535
Total cash, cash equivalents and restricted cash	3,500	5,243	3,500	5,243	$ 4,376
Non-cash financing activities
Repayment of convertible note in shares			1,293	320
Establishment of new right-of-use assets			333	60
Establishment of new operating lease liability			(333)	(58)
Discount on issuance of convertible note	$ 300	$ 750	$ 300	$ 750

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2023
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 1 - Summary of Significant Accounting Policies Basis of Presentation GSE Systems, Inc. is a leading provider of professional and technical engineering, staffing services and simulation software to clients in the power and process industries. References in this report to “GSE” or “we” or “our” or “the Company” are to GSE Systems, Inc. and our subsidiaries, collectively. The consolidated interim financial statements included herein have been prepared by GSE and are unaudited. In the opinion of our management, all adjustments and reclassifications of a normal and recurring nature necessary to present fairly the financial position, results of operations and cash flows for the periods presented, have been made. Certain information and note disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted. All intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. The accompanying balance sheet data as of December 31, 2022 was derived from our audited financial statements, but it does not include all disclosures required by U.S. GAAP. The results of operations for interim periods are not necessarily an indication of the results for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022, filed with the U.S. Securities and Exchange Commission on April 17, 2023. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as reported amounts of revenues and expenses during the reporting period. Our most significant estimates relate to revenue recognition on contracts with customers, product warranties, valuation of goodwill and intangible assets acquired including the determination of fair value in impairment tests, valuation of long-lived assets, valuation of stock-based compensation awards, the recoverability of deferred tax assets, and valuation of warrants and derivative liabilities related to our convertible notes. Actual results of these and other items not listed could differ from these estimates and those differences could be material. Reverse Stock Split On October 30, 2023, the Company effected a ten-for-one reverse stock split of the Company’s common stock whereby each ten shares of the Company’s authorized and outstanding common stock was replaced with one share of common stock. The par value of the common stock was not adjusted. Liquidity and Going Concern The accompanying consolidated financial statements of the Company have been prepared assuming the Company will continue as a going concern and in accordance with U.S. GAAP. The going concern basis of presentation assumes that the Company will continue in operation one year after the date these financial statements are issued and will be able to realize its assets and satisfy its liabilities and commitments in the normal course of business. Pursuant to the requirements of the Financial Accounting Standards Board’s (“FASB”) Accounting Standards Codification (“ASC”) Topic 205-40, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, management must evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company’s ability to continue as a going concern for one year from the date these financial statements are issued. This evaluation does not take into consideration the potential mitigating effect of management’s plans that have not been fully implemented or are not within control of the Company as of the date the financial statements are issued. When substantial doubt exists under this methodology, management evaluates whether the mitigating effect of its plans sufficiently alleviates substantial doubt about the Company’s ability to continue as a going concern. The mitigating effect of management’s plans, however, are only considered if both (1) it is probable that the plans will be effectively implemented within one year after the date that the financial statements are issued, and (2) it is probable that the plans, when implemented, will mitigate the relevant conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date that the financial statements are issued. Management determined that as of November 14, 2023 substantial doubt exits about the Company’s ability to continue as a going concern within the next twelve months. The implemented plans to mitigate relevant conditions may not alleviate management’s concerns that raise substantial doubt about the Company’s ability to continue as a going concern within the twelve months ended November 14, 2024. On November 4, 2022, the Company received a notification letter from NASDAQ related to NASDAQ Listing Rules informing us that the Company no longer meets the requirement to maintain a minimum bid price of $1.00 per share. The Company filed a Form 8-K on November 8, 2022, to disclose receipt of this letter. The Company had an initial 180-day period (or until May 3, 2023) to cure this deficiency by maintaining a closing bid price of $1 per share for at least 10 consecutive trading days, and if compliance was not achieved within the initial 180 calendar days we could petition NASDAQ for an additional period of 180 calendar days in which to increase the stock price. Anticipating that it would not regain compliance with the NASDAQ minimum closing bid price requirement by May 3, 2023, on April 19, 2023, the Company submitted a request for an additional 180-day period within which to regain compliance. On May 4, 2023, the Company received a letter from NASDAQ advising that the 180-day extension – expiring on October 30, 2023 – had been granted due to the facts that the Company: • had met the market value of publicly held shares requirement for continuing listing, • had met all other listing requirements for NASDAQ (other than bid price requirement), and • had provided written notice to NASDAQ with a plan of how it intends to regain compliance with the bid price requirement during the second 180-day period. The Company’s plan to regain compliance included continuing to monitor the closing bid price of its Common Stock and, if appropriate, implementing available options including, but not limited to, undertaking a reverse stock split of its outstanding securities at a ratio within the range of one-for-five to one-for-ten, which will have the initial effect of multiplying the trading price of the Company’s Common Stock by the same ratio. Because such an action requires stockholder approval, the Company put the matter before its stockholders for approval at the 2023 annual meeting of stockholders, which was held on June 12, 2023. On October 25, 2023, the Company filed a Certificate of Amendment to its Restated Certificate of Incorporation with the Secretary of State of Delaware to effect a ten-for-one reverse stock split (the “Reverse Stock Split”) of the Common Stock. The Reverse Stock Split went effective at 12:01 a.m. Eastern Time on October 30, 2023, and the Common Stock was quoted on the NASDAQ Capital Market on a post-split basis at the open of business on October 30, 2023. All shares and per share amounts in the these consolidated financial statements and accompanying notes have been retroactively adjusted to give effect to the reverse stock split. Immediately following the reverse stock split, the Company’s issued and outstanding shares of Common Stock decreased from 26,072,411 pre-split to approximately 2,607,241 post-split shares. Due to the nature of the Minimum Bid Price Requirement, however, the Company was required to have effectuated the Reverse Stock Split not later than ten ten On November 1, 2023, the Company submitted a timely appeal and request for hearing before a NASDAQ Hearings Panel (the “Panel”) to appeal the Staff Determination (the “Appeal”). The Company noted for the Panel that the Company has already effectuated the Reverse Stock Split and has satisfied the Minimum Bid Price Requirement through the submission of the Appeal. On November 2, 2023, the Company received a letter from the Panel (the “Panel Letter”) establishing a February 1, 2024 date for the hearing and stating that the delisting action referenced in the Staff Determination letter would be stayed pending a final written decision by the Panel. On November 3, 2023, in response to the Panel Letter, the Company submitted an expedited appeal and plan of compliance. While there can be no assurance that the Company will ultimately regain and sustain compliance for listing of its securities on NASDAQ, based upon discussions with the staff of NASDAQ, the Company expects that if it continues to meets the Minimum Bid Price Requirement through November 10, 2023, no further action will be taken by NASDAQ, the Staff Determination may be withdrawn at the discretion of the Nasdaq staff and the hearing scheduled before the Panel would become moot. If the Company’s Common Stock ceases to be listed on NASDAQ, which will not occur prior to the February 1, 2024 hearing before the Panel, Lind Global Fund II LP (“Lind Global”), as the holder of that certain convertible promissory note in the amount of $5,750,000 (as amended, the “2022 Convertible Note”) and that certain convertible promissory note in the amount of $1,800,000 (the “2023 Convertible Note” and, together with the 2022 Convertible Note, the “Convertible Notes”) (see Note 10 for further details), may deliver a notice of event of default together with a demand for payment to the Company for payment in full. If such a demand is delivered, the Company shall, within ten twenty The Company has incurred operating losses and has not demonstrated an ability to generate cash in excess of its operating expenses for a sustained period of time. During the year ended December 31, 2022, the Company generated a loss from operations of $14.4 million, which includes non-cash impairment charges of long-lived assets and goodwill from our Workforce Solutions segment totaling $7.5 million. During the nine months ended September 30, 2023, the Company generated $0.3 million of net cash provided by operating activities. As of September 30, 2023, the Company had unrestricted cash and cash equivalents of $2.0 million which is not sufficient to fund the Company’s planned operations through one year after the date the consolidated financial statements are issued. These factors create substantial doubt about the Company’s ability to continue as a going concern for at least one year after the date that our audited consolidated financial statements are issued. In making this assessment we performed a comprehensive analysis of our current circumstances and to alleviate these conditions, management is monitoring the Company’s performance and evaluating strategies to obtain the required additional funding for future operations. These strategies may include, but are not limited to, restructuring of operations to grow revenues and decrease expenses, obtaining equity financing, issuing debt, or entering into other financing arrangements. The analysis used to determine the Company’s ability to continue as a going concern does not include cash sources outside the Company’s direct control that management expects to be available within the next twelve months.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	9 Months Ended
	Sep. 30, 2023
Recent Accounting Pronouncements [Abstract]
Recent Accounting Pronouncements	Note 2 - Recent Accounting Pronouncements Accounting pronouncements recently adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326) to replace the incurred loss impairment methodology under U.S. GAAP. This ASU introduces a new accounting model, the Current Expected Credit Losses model (CECL), which could result in earlier recognition of credit losses and additional disclosures related to credit risk. The CECL model will require the Company to use a forward-looking expected credit loss impairment methodology for the recognition of credit losses for financial instruments at the time the financial asset is originated or acquired, and require a loss be recognized before it is realized. The expected credit losses are adjusted each period for changes in expected lifetime credit losses. The new standard will apply to accounts receivable, loans, and other financial instruments with credit risk. This standard was effective for the Company beginning January 1, 2023. The Company adopted the new guidance starting January 1, 2023 on a modified retrospective basis. The impact of this ASU is reflected in the consolidated financial statements and was not material. Management has evaluated other recently issued accounting pronouncements and does not believe that any of these pronouncements will have a significant impact on our consolidated financial statements and related disclosures.

Basic and Diluted Loss per Shar

Basic and Diluted Loss per Share	9 Months Ended
	Sep. 30, 2023
Basic and Diluted Loss per Share [Abstract]
Basic and Diluted Loss per Share	Note 3 - Basic and Diluted Loss per Share Basic earnings per share is based on the weighted average number of outstanding common shares for the period. Diluted earnings per share adjusts the weighted average shares outstanding for the potential dilution that could occur if outstanding RSU’s, stock options and warrants were exercised. Basic and diluted earnings per share are based on the weighted average number of outstanding shares for the period. The number of common shares and common share equivalents used in the determination of basic and diluted loss per common share were as follows: (in thousands, except for share data) Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Numerator: Net loss attributed to common stockholders $ (2,022 ) $ (8,992 ) $ (6,471 ) $ (13,827 ) Denominator: Weighted-average shares outstanding for basic earnings per share 2,480,505 2,128,888 2,398,468 2,110,194 Adjusted weighted-average shares outstanding and assumed conversions for diluted earnings per share 2,480,505 2,128,888 2,398,468 2,110,194 Total shares considered for dilution 1,103,556 520,376 1,176,007 520,376

Coronavirus Aid, Relief and Eco

Coronavirus Aid, Relief and Economic Security Act	9 Months Ended
	Sep. 30, 2023
Coronavirus Aid, Relief and Economic Security Act [Abstract]
Coronavirus Aid, Relief and Economic Security Act	Note 4 - Coronavirus Aid, Relief and Economic Security Act Employee Retention Credits (ERC) Employee retention tax credits, made available under the CARES Act, allow eligible employers to claim a refundable tax credit against the employer share of Social Security tax equal to 70% of the qualified wages they pay to employees, initially from March 27, 2020 until June 30, 2021, and extended through September 30, 2021. In 2021, we applied for $5.0 million in refunds from the Internal Revenue Service with filing of our 941s and achieved $2.2 million in credits from unremitted payroll taxes as allowed. We recorded other income of $7.2 million related to the employee retention tax credits earned for the year ended December 31, 2021. During the three months ended June 30, 2023, we received $0.1 million refund, closing out our Employee tax refund credits totaling $5.0 million.

Contract Receivables

Contract Receivables	9 Months Ended
	Sep. 30, 2023
Contract Receivables [Abstract]
Contract Receivables	Note 5 - Contract Receivables Contract receivables represent our unconditional rights to consideration due from our domestic and international customers. We expect to collect all contract receivables within the next twelve months. The components of contract receivables were as follows: (in thousands) September 30, 2023 December 31, 2022 Billed receivables $ 4,385 $ 6,074 Unbilled receivables 6,755 5,146 Allowance for credit loss (443 ) (1,156 ) Total contract receivables, net $ 10,697 $ 10,064 During the first quarter of 2023, the Company adopted ASU 2016-13, “Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments.” This ASU replaces the incurred loss impairment model with an expected credit loss impairment model for financial instruments, including accounts receivable. Under the new guidance, an entity recognizes its estimate of lifetime expected credit losses as an allowance, which the FASB believes will result in more timely recognition of such losses. Under the CECL impairment model, the Company develops and documents its allowance for credit losses on its contract receivables based on three portfolio segments by customer geographic location: North America, China, Rest of World (ROW). The determination of portfolio segments is based primarily on the qualitative consideration of the nature of the Company’s business operations and the characteristics of the underlying trade receivables. The following table sets forth the activity in the allowance for credit losses for the nine months ended September 30, 2023. (in thousands) Beginning balance at January 1, 2023 $ 1,156 Adoption of ASC326 Current Expected Credit Losses (CECL) 57 Adjusted balance at January 1, 2023 1,213 Current period provision for expected credit (recovery) loss (1 ) Write-offs charged against the allowance, net of recoveries (729 ) Currency adjustment (40 ) Balance at September 30 2023 $ 443 During the three months ended September 30, 2023 we recorded credit loss expense of $(6) thousand, and no credit loss expense was recorded during the three months ended September 30, 2022. During the nine months ended September 30, 2023 and 2022, we recorded credit loss expense of $24 thousand and $97 thousand, respectively. The write-offs charged against the allowance, net of recoveries is related to an unbilled receivable balance for a customer contract with our GSE Beijing entity, and had been fully reserved during the year ended 2021. During the three months ended June 30, 2023, management determine this amount to be fully uncollectible and was written off against the allowance. During the month of October 2023, we invoiced $3.2 million of the unbilled receivables as of September 30, 2023. Our foreign currency denominated contract receivables, billings in excess of revenue earned and subcontractor accruals that are related to the outstanding foreign exchange contracts are remeasured at the end of each reporting period into our functional currency, using the current exchange rate at the end of the period. The gain or loss resulting from such remeasurement is included in other income, net in the consolidated statements of operations. During the three months ended September 30, 2023 and 2022, we recognized a (loss) gain on remeasurement of these foreign exchange contracts of ($32) thousand and $6 thousand, respectively. During the nine months ended September 30, 2023 and 2022, we recognized a loss on remeasurement of these foreign exchange contracts of $(15) thousand and $(51) thousand, respectively.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	9 Months Ended
	Sep. 30, 2023
Goodwill and Intangible Assets [Abstract]
Goodwill and Intangible Assets	Note 6 - Goodwill and Intangible Assets The Company monitors operating results and events and circumstances that may indicate potential impairment of intangible assets . Management concluded that triggering events had occurred during the three and nine months ended September and During the three months ended September 30, 2022, we determined that the deterioration in sales, decline in revenues, delayed pipeline opportunities, and overall downward performance results and the forecast related to the Workforce Solutions business segment was material enough to be considered a triggering event that could result in impairment of our long-lived assets. We performed an interim analysis and determined an impairment existed at September 30, 2022 in accordance with ASC 350 & ASC 360. As such, we recorded an impairment tively. During the three months ended September 30, 2023, we determined that the overall market capitalization deterioration due to the falling share price, decline in revenues, and delayed pipeline opportunities was material enough to be considered a triggering event that could result in impairment of our long-lived assets. We performed an interim analysis and determined an impairment existed for the Workforce Solutions business segment at September 30, 2023 in accordance with ASC 350 & ASC 360. As such, we recorded an impairment of the related goodwill of $0.9 million for the three and nine months ended September 30, 2023 to the Training Services and Technical Staffing business units based on their pro rata share of Workforce Solution’s book value of Goodwill. No impairment was identified related to any other asset grouping. Goodwill The following table shows the gross carrying amount and impairment of goodwill: (in thousands) Goodwill Accumulated Impairment Net Engineering $ 8,278 $ (3,370 ) $ 4,908 Workforce Solutions 8,431 (7,977 ) 454 Net book value at September 30, 2023 $ 16,709 $ (11,347 ) $ 5,362 (in thousands) Goodwill Accumulated Impairment Net Engineering $ 8,278 $ (3,370 ) $ 4,908 Workforce Solutions 8,431 (7,040 ) 1,391 Net book value at December 31, 2022 $ 16,709 $ (10,410 ) $ 6,299 Intangible assets The following table shows the gross carrying amount and accumulated amortization of definite-lived intangible assets: (in thousands) As of September 30, 2023 Gross Carrying Amount Accumulated Amortization Impairment Net Amortized intangible assets: Customer relationships $ 8,628 $ (7,318 ) $ (464 ) $ 846 Trade names 1,689 (1,261 ) - 428 Developed technology 471 (471 ) - - Non-contractual customer relationships 433 (433 ) - - Noncompete agreement 527 (514 ) - 13 Alliance agreement 527 (527 ) - - Others 167 (167 ) - - Total $ 12,442 $ (10,691 ) $ (464 ) $ 1,287 (in thousands) As of December 31, 2022 Gross Carrying Amount Accumulated Amortization Impairment Net Amortized intangible assets: Customer relationships $ 8,628 $ (7,050 ) $ (464 ) $ 1,114 Trade names 1,689 (1,196 ) - 493 Developed technology 471 (471 ) - - Non-contractual customer relationships 433 (433 ) - - Noncompete agreement 527 (486 ) - 41 Alliance agreement 527 (488 ) - 39 Others 167 (167 ) - - Total $ 12,442 $ (10,291 ) $ (464 ) $ 1,687 Amortization expense related to definite-lived intangible assets totaled $0.1 million and $0.2 million for the three months ended September 30, 2023 and 2022 and $0.4 million and $0.7 million for the nine months ended September 30, 2023 and 2022, respectively. The following table shows the estimated amortization expense of the definite-lived intangible assets for the next five years and thereafter: (in thousands) Years ended December 31: 2023 remainder $ 108 2024 332 2025 255 2026 204 2027 169 Thereafter 219 Total $ 1,287

Equipment, Software and Leaseho

Equipment, Software and Leasehold Improvements	9 Months Ended
	Sep. 30, 2023
Equipment, Software and Leasehold Improvements [Abstract]
Equipment, Software and Leasehold Improvements	Note 7 - Equipment, Software and Leasehold Improvements Equipment, software and leasehold improvements, net consist of the following: (in thousands) September 30, 2023 December 31, 2022 Computer and equipment $ 2,375 $ 2,363 Software 2,292 2,291 Leasehold improvements 660 659 Furniture and fixtures 840 838 6,167 6,151 Accumulated depreciation (5,519 ) (5,379 ) Equipment, software and leasehold improvements, net $ 648 $ 772 Depreciation expense was $43 thousand and $69 thousand for the three months ended September 30, 2023 and 2022, respectively. Depreciation expense was $144 thousand and $213 thousand for the nine months ended September 30, 2023 and 2022, respectively

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2023
Fair Value of Financial Instruments [Abstract]
Fair Value of Financial Instruments	Note 8 - Fair Value of Financial Instruments ASC 820, Fair Value Measurement The levels of the fair value hierarchy established by ASC 820 are: Level 1: inputs are quoted prices, unadjusted, in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2: inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. A Level 2 input must be observable for substantially the full term of the asset or liability. Level 3: inputs are unobservable and reflect the reporting entity’s own assumptions about the assumptions that market participants would use in pricing the asset or liability. As of September 30, 2023 and December 31, 2022, we considered the recorded value of certain of our financial assets and liabilities, which consist primarily of cash and cash equivalents, contract receivable and accounts payable, to approximate fair value based upon their short-term nature. Our convertible debt issued in February 2022, amended in June 2023 and our new convertible debt issued in June 2023 (see Note 10) includes certain embedded redemption features that are required to be bifurcated as embedded derivatives and measured at fair value on a recurring basis. We estimate the fair value using a Monte Carlo simulation based on estimates of our future stock price and assumptions about the possible redemption scenarios. The Company used the Monte Carlo simulation model to determine the fair value of the Warrants (see Note 10) and Cash-Settled PRSUs, which required the input of subjective assumptions. The fair value of the Warrants as of September 30, 2023 was estimated with the following assumptions. Amended 2022 Convertible Note 2023 Convertible Note Exercise Price $ 19.40 $ 5.00 Common Stock Price $ 2.02 $ 2.02 Risk Free Rate 4.7 % 4.13 % Volatility 80.0 % 80.0 % Term (in years) 3.4 yrs. 4.7 yrs. The following table presents assets and liabilities measured at fair value at September 30, 2023 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Derivative liability $ - $ - $ 1,064 $ 1,064 Warrant liability - - 474 474 Cash settled performance-vesting restricted stock units - - 82 82 Total liabilities $ - $ - $ 1,620 $ 1,620 The following table presents assets and liabilities measured at fair value at December 31, 2022 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Derivative liability $ - $ - $ 285 $ 285 Warrant liability - - 267 267 Cash settled performance-vesting restricted stock units - - 51 51 Total liabilities $ - $ - $ 603 $ 603 The following table summarizes changes in the fair value of our Level 3 liabilities during the nine months ended September 30, 2023 (in thousands) Embedded Redemption Features Warrant Cash Settled PRSUs Level 3 Total Balance at December 31, 2022 $ 285 $ 267 $ 51 $ 603 FV of derivatives with new convertible note issuance 286 1,120 - 1,406 Change in FV included in gain on derivative instruments, net 493 (913 ) - (420 ) Stock compensation less payments made - - 31 31 Balance at September 30, 2023 $ 1,064 $ 474 $ 82 $ 1,620

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2023
Stock-Based Compensation [Abstract]
Stock-Based Compensation	Note 9 - Stock-Based Compensation We recognize compensation expense on a pro rata straight-line basis over the requisite service period for stock-based compensation awards with both graded and cliff vesting terms. We recognize the cumulative effect of a change in the number of awards expected to vest in compensation expense in the period of change. We have not capitalized any portion of our stock-based compensation. Our forfeiture rate is based on actuals. During the three months ended September 30, 2023 and 2022, we recognized $0.3 million and $0.5 million of stock-based compensation expense related to RSU and PRSU awards, respectively, under the fair value method. We recognized $0.9 million and $1.5 million of stock-based compensation expense related to RSU and PRSU awards for the nine months ended September 30, 2023 and 2022, respectively. During the three and nine months ended September 30, 2023, we granted approximately 45,455 and 90,782 time-based restricted stock units (“RSUs”) with an aggregate fair value of approximately $0.1 million and $0.3 million, respectively. During the nine months ended September 30, 2022, we granted approximately 96,025 time-based RSUs with an aggregate fair value of approximately $1.5 million We granted no 30, 2023 and 2022 approximately Typically RSUs vest quarterly in equal amounts over the course of one GSE’s 1995 long-term incentive program (“LTIP”) provides for the issuance of performance-vesting and time-vesting RSUs to certain executives and employees. Vesting of the performance-vesting restricted stock units (“PRSU”) is contingent upon the employee’s continued employment and the Company’s achievement of certain performance goals during designated performance periods as established by the Compensation Committee of the Company’s Board of Directors. We recognize compensation expense, net of estimated forfeitures, for PRSUs on a straight-line basis over the performance period based on the probable outcome of achievement of the financial targets. At the end of each reporting period, we estimate the number of PRSUs that are expected to vest, based on the probability and extent to which the performance goals will be met, and take into account these estimates when calculating the expense for the period. If the number of shares expected to be earned changes during the performance period, we make a cumulative adjustment to compensation expense based on the revised number of shares expected to be earned. During the nine months ended September 30, 2023 , we granted approximately 59,767 PRSU’s. These grants are subject to multiple vesting criteria including reaching a 20-day VWAP of $15.00 prior to the expiration of the awards, and a time-vesting restriction, which will vest in equal parts over the next 18 quarters. During the nine months ended September 30, 2022, there were 80,000 PRSUs granted including 20,000 cash-settled grants to employees. These grants are subject to multiple vesting criteria including reaching a 20-day VWAP of $19.40 prior to the expiration of the awards, and a time-vesting restriction, which will vest in equal portions over the next 15 quarters ending December 31, 2025. There were no PRSUs granted during the three months ended September 30, 2023 or September 30, 2022. nine months ended September 30 , 2023 and 2022 criteria for the Q1 2022 PRSU grant was achieved in April 2022 for the 80,000 PRSUs which will fully vest over the next 9 quarters . We did not grant any stock options for the nine months ended September

Debt

Debt	9 Months Ended
	Sep. 30, 2023
Debt [Abstract]
Debt	Note 10 - Debt Convertible Note On February 23, 2022, we entered into a Securities Purchase Agreement, as amended, with Lind Global, pursuant to which we issued to Lind Global the 2022 Convertible Note (see Note 1) and a common stock purchase warrant to acquire 128,373 shares of our Common Stock (the “2022 Warrant”). The 2022 Convertible Note does not bear interest but was issued at a $0.75 million discount (“OID”). We received proceeds of approximately $4.8 million net of the OID and expenses. On June 23, 2023, we entered into an Amended & Restated Agreement to amend the February 23, 2022 Securities Purchase Agreement (Original Note). (in thousands) 2022 Convertible Note 2023 Convertible Note Total Convertible Notes Amount Amount Amount Convertible Note issued $ 5,750 $ 1,800 $ 7,550 Debt discount (750 ) (300 ) (1,050 ) Issuance cost: Commitment fee (175 ) (52 ) (227 ) Balance of investor’s counsel fees (43 ) (34 ) (77 ) Net proceeds of Convertible Note $ 4,782 $ 1,414 $ 6,196 Additional OID costs not in original funds flow (121 ) (15 ) (136 ) Fair value of Warrant Liabilities on issuance (724 ) (1,119 ) (1,843 ) Fair value of Conversion Feature on issuance (306 ) (286 ) (592 ) A 25 30 55 A dditional OID costs not in original funds flow (660 ) 660 - Interest expense accrued on Convertible Note as of September 30, 2023 2,645 135 2,780 Principal and interest payments through September 30, 2023 (4,073 ) - (4,073 ) Balance of Convertible Note as of September 30, 2023 $ 1,568 $ 819 $ 2,387 The Convertible Note provides for 18 monthly principal repayments of $319 thousand beginning 180 days from issuance. Payments could be made in the form of cash, shares, or a combination of both at the discretion of GSE. The 2022 Convertible Note is convertible into our Common Stock at any time after the earlier of six months from issuance of the Convertible Note or the date of an effective registration statement filed with the SEC covering the underlying shares. The conversion price of the 2022 Convertible Note is equal to $19.40 per share, subject to customary adjustments. The 2022 Convertible Note matures in February of 2024 one third On June 23, 2023, the Company and Lind Global agreed to amend and restate the 2022 Convertible Note. The 2022 Convertible Note, as now amended, is now secured, interest free convertible promissory note in the principal amount of $2,747,228, such amount being the outstanding balance of the 2022 Convertible Note as of June 23, 2023. The 2022 Convertible Note now has a maturity date of August 23, 2024 and is now payable, commencing on July 23, 2023, in twelve (12) consecutive monthly payments of $186,343 each and two (2) final payments of $255,556 each. The remainder of the terms of the 2022 Convertible Note, including terms around payment, prepayment, default and conversion, are unchanged. On October 6, 2023, the Company and Lind Global entered into that certain First Amendment to the 2022 Convertible Note (“A&R Note Amendment”), amending the 2022 Convertible Note. The A&R Note Amendment amended Section 2.1 pertaining to events of default by deleting and replacing Section 2.1(r), which previously provided for an event of default under the Note in the event that the Company’s Market Capitalization was below $7 million for ten ten The 2022 Warrant entitles Lind Global to purchase up to 128,373 shares of our Common Stock until February 23, 2027, at an exercise price of $19.40 per share, subject to customary adjustments described therein. The Warrant is recorded at fair value upon issuance of $0.7 million and is classified as a current liability to be remeasured at each reporting period (see Note 8). The discount created by allocating proceeds to the Warrant results in a debt discount to be amortized as additional interest expense over the term of the Convertible Note. On June 23, 2023 in connection with the 2022 amended and restated Convertible Note transaction, the Company evaluated the amendment and concluded it qualified as a troubled debt restructuring. The restructuring did not result in a gain or loss but revised the effective interest rate used to amortized the note going forward. On June 23, 2023, the Company entered into a second Securities Purchase Agreement (the “2023 Purchase Agreement”) with Lind Global, pursuant to which the Company issued to Lind Global the 2023 Convertible Note. The Company and Lind Global also amended and restated the 2022 Convertible Note. The closings of the transactions contemplated under the 2023 Purchase Agreement may occur in tranches. The first closing occurred on June 23, 2023, and consisted of the issuance of a secured, two-year interest free convertible promissory note with a funding amount of $1,500,000 and a principal amount of $1,800,000 (the “2023 Convertible Note”) and the issuance of common stock purchase warrant to acquire 426,427 shares of the Company’s common stock (the “2023 Warrant” and, together with the 2022 Warrant, the “Warrants”). The proceeds from the transactions contemplated by the 2023 Purchase Agreement were for general working capital purposes and other corporate purposes. On October 6, 2023, the Company and Lind Global entered into that certain First Amendment to Senior Convertible Promissory Note, amending the Company’s 2023 Convertible Note (the “Note Amendment”). The Note Amendment amended Section 2.1 of the 2023 Convertible Note pertaining to events of default by deleting and replacing Section 2.1(r), which previously provided for an event of default under the Note in the event that the Company’s Market Capitalization (as defined in the Note) was below $7 million for ten ten Commencing one year after the issuance of the 2023 Convertible Note, the Company shall pay the outstanding principal amount of the 2023 Convertible Note in twelve (12) consecutive monthly payments of $150,000 each. At the option of the Company, the monthly payment can be made in cash, shares of the common stock of the Company (the “Repayment Shares”) at a price based on 90% of the average five (5) consecutive daily VWAPs during the twenty (20) days prior to the payment date, or a combination of cash and Repayment Shares, subject to the terms of the 2023 Convertible Note. The Repayment Shares must either be eligible for immediate resale under Rule 144 or be registered. The number of Repayment Shares is limited such that, when added to the number of shares of common stock issued and issuable pursuant to the transactions contemplated by the 2023 Purchase Agreement, it may not exceed 493,727 shares of common stock unless the Company obtains stockholder approval to issue additional Repayment Shares. The holder of the 2023 Convertible Note may elect with respect to no more than two (2) of the above described monthly payments to increase the amount of such monthly payment up to $300,000 each in Repayment Shares upon notice to the Company. Any such increased payment shall be deducted from the amount of the last monthly payment owed under the 2023 Convertible Note. The Company can prepay Lind Global all the outstanding principal amount of the 2023 Convertible Note, provided that Lind Global shall have the option to convert up to one third Upon the occurrence of an event of default as described in the 2023 Convertible Note, the 2023 Convertible Note will become immediately due and payable at the default premium described in the 2023 Convertible Note, subject to any cure periods described in the 2023 Convertible Note. Events of default include, but are not limited to, a payment default on any other indebtedness in excess of $250,000; the shares no longer publicly being traded or cease to be listed on a trading market; if after six months, the shares are not available for immediate resale under Rule 144; and the Company’s market capitalization is below $7,000,000 for ten six The 2023 Warrant entitles Lind Global to purchase up to 426,427 shares of common stock of the Company until the earlier of (a) June 23, 2028 and (b) a merger, sale event or other reclassification of the Company’s common stock, at an exercise price of $5.00 per share, subject to customary adjustments described therein. The 2023 Warrant is in addition to the 2022 Warrant. The Company evaluated the Convertible Notes and concluded that certain embedded redemption features are required to be accounted for as a derivative liability. Embedded redemption features were recorded at fair value upon issuance of $0.3 million and are classified as current liabilities to be remeasured at each reporting period ( see Upon issuance of the 2023 Convertible Note, the Company re-evaluated the 2022 Convertible Note, in accordance with ASC 815-40-25-10 and its sequencing policy, and concluded that the embedded conversion option is required to be bifurcated and accounted for as a derivative liability as a result of the Company not being able to assert that it would have sufficient shares in all cases to be able to settle the conversion of the 2022 Convertible Note. The embedded conversion option will be combined with the bifurcated redemption features as a single derivative and is classified as a current liability to be remeasured at each reporting period. The discount resulting from bifurcating the embedded conversion option will be amortized as additional interest expense over the term of the 2022 Convertible Note. The direct and incremental costs incurred are allocated to the Convertible Note and the Warrant based on a systematic and rational approach. The costs allocated to the Warrants have been expensed as incurred while those allocated to the Convertible Note have been capitalized and will be amortized as interest expense over the life of the Convertible Notes based on the effective interest rate. The Company will record ongoing changes to the fair value of the derivative liabilities as other non-operating income (expense). The Convertible Notes are evaluated as a potentially dilutive security in both periods of loss and income for diluted earnings per share purposes. The Warrants are considered a participating security and was not included in the calculation of basic earnings per share for the period ended September 30, 2023 as Company reflected net loss for this period. The Warrant will be included in the calculation of diluted earnings per share in periods of net income. The issuance costs with respect to the Convertible Notes, which are recorded as a debt discount, are deferred and amortized using the effective interest method as additional interest expense over the terms of the Convertible Note at an effective interest rate of 68.6%. The Company incurred total interest expense related to the Convertible Notes of $1.5 million, including $0.5 million default charge and the amortization of the various discounts for the nine months ended September 30, 2023, respectively. The Company incurred total interest expense related to the Convertible Notes of $0.4 million for both the three months ended September 30, 2023 and 2022. Revolving Line of Credit In February 2022, using proceeds from the Convertible Note, we repaid in full, all outstanding indebtedness of $1.8 million owed on our Amended and Restated Credit and Security Agreement between us, our subsidiaries, and Citizens Bank, N.A. (“Citizens”) was terminated. Certain letters of credit remain in place with Citizens. As of September 30, 2023, we had four letters of credit totaling $1.1 million outstanding to certain customers which were secured with restricted cash.

Product Warranty

Product Warranty	9 Months Ended
	Sep. 30, 2023
Product Warranty [Abstract]
Product Warranty	Note 11 - Product Warranty We accrue estimated warranty costs at the time the related revenue is recognized and based on historical experience and projected claims. Our System Design and Build contracts generally include a one year base warranty on the systems. The portion of our warranty provision expected to be incurred within twelve months is classified as current within accrued warranty and totals $265 thousand, and the remaining $137 thousand is classified as long-term within other non-current liabilities. The activity in the accrued warranty accounts during the current period is as follows: (in thousands) Balance at January 1, 2023 $ 503 Current period recovery (73 ) Current period claims (29 ) Currency adjustment 1 Balance at September 30, 2023 $ 402

Revenue

Revenue	9 Months Ended
	Sep. 30, 2023
Revenue [Abstract]
Revenue	Note 12 - Revenue We account for revenue in accordance with ASC 606, Revenue from Contracts with Customers. We primarily generate revenue through three distinct revenue streams: (1) System Design and Build (“SDB”), (2) Software and (3) Training and Consulting Services across our Engineering and Workforce Solutions segments. We recognize revenue from SDB and software contracts mainly through our Engineering segment. We recognize training and consulting service contracts through both segments. The following table represents a disaggregation of revenue by type of goods or services for the three and nine months ended September 30, 2023 and 2022, along with the reporting segment for each category: (in thousands) Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Engineering System Design and Build $ 1,192 $ 1,537 $ 4,801 $ 4,991 Over time 1,192 1,537 4,801 4,991 Software and Support 1,373 2,010 3,662 3,560 Point in time 259 530 627 662 Over time 1,114 1,480 3,035 2,898 Training and Consulting Services 6,092 4,505 16,180 13,851 Point in time 131 195 428 428 Over time 5,961 4,310 15,752 15,752 Workforce Solutions Training and Consulting Services 2,909 3,846 10,183 14,516 Point in time 16 52 225 52 Over time 2,893 3,794 9,958 14,464 Total revenue $ 11,566 $ 11,898 $ 34,826 $ 36,918 The following table reflects revenue recognized in the reporting periods presented that was included in contract liabilities from contracts with customers as of the beginning of the periods presented: ( in thousands Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Revenue recognized in the period from amounts included in billings in excess of revenue earned at the beginning of the period $ 466 $ 174 $ 3,571 $ 2,666

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2023
Income Taxes [Abstract]
Income Taxes	Note 13 - Income Taxes The following table presents the provision for income taxes and our effective tax rates: (in thousands) Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Loss before income taxes $ (2,092 ) $ (9,210 ) $ (6,552 ) $ (13,935 ) Benefit from income taxes (70 ) (218 ) (81 ) (108 ) Effective tax rate 3.35 % 2.4 % 1.24 % 0.8 % O ur income tax expense for the interim periods presented is determined using an estimate of our annual effective tax rate, adjusted for discrete items arising in that quarter. Total income tax benefit for the three and nine months ended September 30, 2023 was comprised mainly of current foreign tax benefit, deferred state tax benefit related to the portion of goodwill which cannot be offset by deferred tax assets and state tax expense. Total income tax benefit for the three and nine months ended September 30, 2022 was comprised mainly of current foreign tax benefit and deferred federal and state tax benefit related to the portion of goodwill which cannot be offset by deferred tax assets, and state tax expense. For the three and nine months ended September 30, 2023, the difference between our income tax benefit at an effective tax rate of 3.35% and 1.24% respectively, and the U.S. statutory federal income tax rate of 21% was primarily due to accruals related to uncertain tax positions for certain foreign tax contingencies, a change in valuation allowance in our U.S. entity, the permanent disallowance of interest expense related to disqualified debt, and discrete item adjustments for U.S. taxes. For the three and nine months ended September 30, 2022, the difference between our income tax benefit at an effective rate of 2.4% and 0.8% respectively, and the U.S. statutory federal income tax rate of 21% was primarily due to accruals related to uncertain tax positions for certain foreign tax contingencies, a change in tax valuation allowance in our U.S. entity, the permanent disallowance of interest expense related to disqualified debt, and discrete item adjustments for U.S. and foreign taxes. Because of our net operating loss carryforwards, we are subject to U.S. federal and state income tax examinations from the year 2003 and forward and are subject to foreign tax examinations by tax authorities for years 2017 and forward. An uncertain tax position taken or expected to be taken in a tax return is recognized in the consolidated financial statements when it is more likely than not (i.e., a likelihood of more than 50%) that the position would be sustained upon examination by tax authorities that have full knowledge of all relevant information. A recognized tax position is then measured at the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. Interest and penalties related to income taxes are accounted for as income tax expense We recognize deferred tax assets to the extent that it is believed that these assets are more likely than not to be realized. We have evaluated all positive and negative evidence and determined that we will continue to assess a full valuation allowance on our U.S., China, and Slovakia net deferred assets as of September 30, 2023. We have determined that it is not more likely than not that the Company will realize the benefits of its deferred taxes in the U.S. and foreign jurisdictions.

Leases

Leases	9 Months Ended
	Sep. 30, 2023
Leases [Abstract]
Leases	Note 14 - Leases We have lease agreements with lease and non-lease components, which are accounted for as a single lease. We apply a portfolio approach to effectively account for the operating lease ROU assets and liabilities. The operating lease ROU amortization was $311 thousand and $467 thousand for the nine months ended September 30, 2023 and 2022, respectively Lease contracts are evaluated at inception to determine whether they contain a lease and whether we obtain the right to control an identified asset. The following table summarizes the classification of operating ROU assets and lease liabilities on the consolidated balance sheets: (in thousands) As of Operating Leases Classification September 30, December 31, 2022 Leased Assets Operating lease - right of use assets Long term assets $ 518 $ 506 Lease Liabilities Operating lease liabilities - Current Other current liabilities 226 418 Operating lease liabilities Long term liabilities 315 160 $ 541 $ 578 On June 7, 2023 we entered into an office lease agreement to lease 2,704 square feet in Fort Worth, Texas for an initial lease term ending November 7, 2030. We entered into a lease agreement to lease 2,200 square feet of office space in Columbia, Maryland on September 26, 2022, through November 30, 2024 . On December 15, 2022, we terminated our lease for 1332 Londontown Boulevard, Eldersburg, Maryland (our former headquarters) and entered into a release and settlement agreement whereby we agreed to pay, and the landlord agreed to accept, a reduced monthly payment through May 1, 2023 in exchange for early termination of the lease. As a part of this agreement, we assigned both active subleases to the landlord effective as of the execution date The table below summarizes lease income and expense recorded in the consolidated statements of operations incurred during the three and nine months ended September 30, 2023 and 2022, ( in thousands Three months ended Nine months ended Lease Cost Classification September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Operating lease cost (1) Selling, general and administrative expenses $ 90 $ 174 $ 333 $ 534 Short-term leases costs (2) Selling, general and administrative expenses 2 15 27 45 Sublease income (3) Selling, general and administrative expenses - (18 ) - (55 ) Net lease cost $ 92 $ 171 $ 360 $ 524 (1) Includes variable lease costs which are immaterial. ( 2 ) Includes leases maturing less than twelve months from the report date. (3) Sublease portfolio consists of two tenants, which subleased parts of our principal executive office located at 1332 Londontown Blvd, Suite 200, Sykesville, MD. The Company is obligated under certain noncancelable operating leases for office facilities and equipment. Future minimum lease payments under noncancelable operating leases as of September 30, 2023 are as follows: (in thousands) Gross Future Minimum Lease Payments 2023 remainder $ 62 2024 220 2025 96 2026 91 2027 142 Thereafter - Total lease payments $ 611 Less: Interest 70 Present value of lease payments $ 541 We calculated the weighted-average remaining lease term, presented in years below and the weighted-average discount rate for our operating leases, and we use the incremental borrowing rate as the lease discount rate. Lease Term and Discount Rate September 30, 2023 December 31, 2022 Weighted-average remaining lease term (years) Operating leases 3.59 1.51 Weighted-average discount rate Operating leases 6.21 % 5.00 % The table below sets out the classification of lease payments in the consolidated statements of cash flows. (in thousands) Nine months ended Cash paid for amounts included in measurement of liabilities September 30, 2023 September 30, 2022 Operating cash flows used in operating leases $ 410 $ 934

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2023
Segment Information [Abstract]
Segment Information	Note 15 - Segment Information We have two reportable business segments. The Engineering segment provides simulation, training and engineering products and services delivered across the breadth of industries we serve. Solutions include simulation for both training and engineering applications. Example engineering services include, but are not limited to, plant design verification and validation, thermal performance evaluation and optimization programs, and engineering programs for plants for American Society of Mechanical Engineers (“ASME”) code and ASME Section XI. The Company provides these services across all market segments through our Performance, True North consulting, and DP Engineering subsidiaries. Example trai ning applications include turnkey and custom training services. Contract terms are typically less than two years. Workforce Solutions segment provides specialized workforce solutions primarily to the nuclear industry, working at clients’ facilities. This business is managed through our Hyperspring and Absolute subsidiaries. The business model, management focus, margins and other factors clearly separate this business line from the rest of the GSE product and service portfolio. The following table sets forth the revenue and operating results attributable to each reportable segment and includes a reconciliation of segment revenue to consolidated revenue and operating results to consolidated income before income taxes. Inter-segment revenue is eliminated in consolidation and is not significant: Three months ended Nine months ended (in thousands) September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Revenue: Engineering $ 8,657 $ 8,052 $ 24,643 $ 22,402 Workforce Solutions 2,909 3,846 10,183 14,516 Total revenue 11,566 11,898 34,826 36,918 Gross Profit Engineering 3,346 2,654 7,968 7,037 Workforce Solutions 370 602 1,358 1,818 Total gross profit 3,716 3,256 9,326 8,855 Operating loss Engineering (7 ) (1,403 ) (3,048 ) (5,511 ) Workforce Solutions (1,055 ) (7,646 ) (1,573 ) (7,815 ) Provision for legal settlement (750 ) - (750 ) - Operating loss (1,812 ) (9,049 ) (5,371 ) (13,326 ) Interest expense, net (430 ) (422 ) (1,483 ) (928 ) Change in fair value of derivative instruments, net 180 263 420 377 Other loss, net (30 ) (2 ) (118 ) (58 ) Loss before income taxes $ (2,092 ) $ (9,210 ) $ (6,552 ) $ (13,935 )

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2023
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Note 16 - Commitments and Contingencies Three former employees of Absolute Consulting, Inc. and Hyperspring, LLC, filed putative class action lawsuits against the Company, alleging that the Company failed to pay overtime wages as required by the Fair Labor Standards Act and state law. The three cases Natalie Adams v. Absolute Consulting, Inc. 6:20-cv-01099 Matthew Waldecker v. Hyperspring, LLC 2:20-cv-1948 Don Pharr v. Absolute Consulting, Inc. 23-cv-01558-JRR On August 22, 2023, Plaintiffs in Adams, Waldecker and Pharr and GSE Systems, Inc., Hyperspring and Absolute participated in private mediation. The mediation was successful and an agreement in principle was reached before the conclusion of the mediation to resolve and dismiss all three pending matters in exchange for a settlement payment. The parties’ settlement agreement was executed on October 30, 2023 and will result in the dismissal of all three cases. In addition to customary terms, GSE Systems, Hyperspring and Absolute will be obligated to make a series of payments in 2024, eventually totaling $750,000 inclusive of attorneys’ fees and costs. As this amount was probable and estimable, we have accrued the $750,000 as a part of Selling, general and administrative for the three and nine months ended September 30, 2023. Per ASC 450 Accounting for Contingencies

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2023
Summary of Significant Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation GSE Systems, Inc. is a leading provider of professional and technical engineering, staffing services and simulation software to clients in the power and process industries. References in this report to “GSE” or “we” or “our” or “the Company” are to GSE Systems, Inc. and our subsidiaries, collectively. The consolidated interim financial statements included herein have been prepared by GSE and are unaudited. In the opinion of our management, all adjustments and reclassifications of a normal and recurring nature necessary to present fairly the financial position, results of operations and cash flows for the periods presented, have been made. Certain information and note disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted. All intercompany accounts and transactions have been eliminated in consolidation. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X. The accompanying balance sheet data as of December 31, 2022 was derived from our audited financial statements, but it does not include all disclosures required by U.S. GAAP. The results of operations for interim periods are not necessarily an indication of the results for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022, filed with the U.S. Securities and Exchange Commission on April 17, 2023. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as reported amounts of revenues and expenses during the reporting period. Our most significant estimates relate to revenue recognition on contracts with customers, product warranties, valuation of goodwill and intangible assets acquired including the determination of fair value in impairment tests, valuation of long-lived assets, valuation of stock-based compensation awards, the recoverability of deferred tax assets, and valuation of warrants and derivative liabilities related to our convertible notes. Actual results of these and other items not listed could differ from these estimates and those differences could be material.
Reverse Stock Split	Reverse Stock Split On October 30, 2023, the Company effected a ten-for-one reverse stock split of the Company’s common stock whereby each ten shares of the Company’s authorized and outstanding common stock was replaced with one share of common stock. The par value of the common stock was not adjusted.
Liquidity and Going Concern	Liquidity and Going Concern The accompanying consolidated financial statements of the Company have been prepared assuming the Company will continue as a going concern and in accordance with U.S. GAAP. The going concern basis of presentation assumes that the Company will continue in operation one year after the date these financial statements are issued and will be able to realize its assets and satisfy its liabilities and commitments in the normal course of business. Pursuant to the requirements of the Financial Accounting Standards Board’s (“FASB”) Accounting Standards Codification (“ASC”) Topic 205-40, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, management must evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company’s ability to continue as a going concern for one year from the date these financial statements are issued. This evaluation does not take into consideration the potential mitigating effect of management’s plans that have not been fully implemented or are not within control of the Company as of the date the financial statements are issued. When substantial doubt exists under this methodology, management evaluates whether the mitigating effect of its plans sufficiently alleviates substantial doubt about the Company’s ability to continue as a going concern. The mitigating effect of management’s plans, however, are only considered if both (1) it is probable that the plans will be effectively implemented within one year after the date that the financial statements are issued, and (2) it is probable that the plans, when implemented, will mitigate the relevant conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date that the financial statements are issued. Management determined that as of November 14, 2023 substantial doubt exits about the Company’s ability to continue as a going concern within the next twelve months. The implemented plans to mitigate relevant conditions may not alleviate management’s concerns that raise substantial doubt about the Company’s ability to continue as a going concern within the twelve months ended November 14, 2024. On November 4, 2022, the Company received a notification letter from NASDAQ related to NASDAQ Listing Rules informing us that the Company no longer meets the requirement to maintain a minimum bid price of $1.00 per share. The Company filed a Form 8-K on November 8, 2022, to disclose receipt of this letter. The Company had an initial 180-day period (or until May 3, 2023) to cure this deficiency by maintaining a closing bid price of $1 per share for at least 10 consecutive trading days, and if compliance was not achieved within the initial 180 calendar days we could petition NASDAQ for an additional period of 180 calendar days in which to increase the stock price. Anticipating that it would not regain compliance with the NASDAQ minimum closing bid price requirement by May 3, 2023, on April 19, 2023, the Company submitted a request for an additional 180-day period within which to regain compliance. On May 4, 2023, the Company received a letter from NASDAQ advising that the 180-day extension – expiring on October 30, 2023 – had been granted due to the facts that the Company: • had met the market value of publicly held shares requirement for continuing listing, • had met all other listing requirements for NASDAQ (other than bid price requirement), and • had provided written notice to NASDAQ with a plan of how it intends to regain compliance with the bid price requirement during the second 180-day period. The Company’s plan to regain compliance included continuing to monitor the closing bid price of its Common Stock and, if appropriate, implementing available options including, but not limited to, undertaking a reverse stock split of its outstanding securities at a ratio within the range of one-for-five to one-for-ten, which will have the initial effect of multiplying the trading price of the Company’s Common Stock by the same ratio. Because such an action requires stockholder approval, the Company put the matter before its stockholders for approval at the 2023 annual meeting of stockholders, which was held on June 12, 2023. On October 25, 2023, the Company filed a Certificate of Amendment to its Restated Certificate of Incorporation with the Secretary of State of Delaware to effect a ten-for-one reverse stock split (the “Reverse Stock Split”) of the Common Stock. The Reverse Stock Split went effective at 12:01 a.m. Eastern Time on October 30, 2023, and the Common Stock was quoted on the NASDAQ Capital Market on a post-split basis at the open of business on October 30, 2023. All shares and per share amounts in the these consolidated financial statements and accompanying notes have been retroactively adjusted to give effect to the reverse stock split. Immediately following the reverse stock split, the Company’s issued and outstanding shares of Common Stock decreased from 26,072,411 pre-split to approximately 2,607,241 post-split shares. Due to the nature of the Minimum Bid Price Requirement, however, the Company was required to have effectuated the Reverse Stock Split not later than ten ten On November 1, 2023, the Company submitted a timely appeal and request for hearing before a NASDAQ Hearings Panel (the “Panel”) to appeal the Staff Determination (the “Appeal”). The Company noted for the Panel that the Company has already effectuated the Reverse Stock Split and has satisfied the Minimum Bid Price Requirement through the submission of the Appeal. On November 2, 2023, the Company received a letter from the Panel (the “Panel Letter”) establishing a February 1, 2024 date for the hearing and stating that the delisting action referenced in the Staff Determination letter would be stayed pending a final written decision by the Panel. On November 3, 2023, in response to the Panel Letter, the Company submitted an expedited appeal and plan of compliance. While there can be no assurance that the Company will ultimately regain and sustain compliance for listing of its securities on NASDAQ, based upon discussions with the staff of NASDAQ, the Company expects that if it continues to meets the Minimum Bid Price Requirement through November 10, 2023, no further action will be taken by NASDAQ, the Staff Determination may be withdrawn at the discretion of the Nasdaq staff and the hearing scheduled before the Panel would become moot. If the Company’s Common Stock ceases to be listed on NASDAQ, which will not occur prior to the February 1, 2024 hearing before the Panel, Lind Global Fund II LP (“Lind Global”), as the holder of that certain convertible promissory note in the amount of $5,750,000 (as amended, the “2022 Convertible Note”) and that certain convertible promissory note in the amount of $1,800,000 (the “2023 Convertible Note” and, together with the 2022 Convertible Note, the “Convertible Notes”) (see Note 10 for further details), may deliver a notice of event of default together with a demand for payment to the Company for payment in full. If such a demand is delivered, the Company shall, within ten twenty The Company has incurred operating losses and has not demonstrated an ability to generate cash in excess of its operating expenses for a sustained period of time. During the year ended December 31, 2022, the Company generated a loss from operations of $14.4 million, which includes non-cash impairment charges of long-lived assets and goodwill from our Workforce Solutions segment totaling $7.5 million. During the nine months ended September 30, 2023, the Company generated $0.3 million of net cash provided by operating activities. As of September 30, 2023, the Company had unrestricted cash and cash equivalents of $2.0 million which is not sufficient to fund the Company’s planned operations through one year after the date the consolidated financial statements are issued. These factors create substantial doubt about the Company’s ability to continue as a going concern for at least one year after the date that our audited consolidated financial statements are issued. In making this assessment we performed a comprehensive analysis of our current circumstances and to alleviate these conditions, management is monitoring the Company’s performance and evaluating strategies to obtain the required additional funding for future operations. These strategies may include, but are not limited to, restructuring of operations to grow revenues and decrease expenses, obtaining equity financing, issuing debt, or entering into other financing arrangements. The analysis used to determine the Company’s ability to continue as a going concern does not include cash sources outside the Company’s direct control that management expects to be available within the next twelve months.

Recent Accounting Pronounceme_2

Recent Accounting Pronouncements (Policies)	9 Months Ended
	Sep. 30, 2023
Recent Accounting Pronouncements [Abstract]
Accounting pronouncements recently adopted	Accounting pronouncements recently adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326) to replace the incurred loss impairment methodology under U.S. GAAP. This ASU introduces a new accounting model, the Current Expected Credit Losses model (CECL), which could result in earlier recognition of credit losses and additional disclosures related to credit risk. The CECL model will require the Company to use a forward-looking expected credit loss impairment methodology for the recognition of credit losses for financial instruments at the time the financial asset is originated or acquired, and require a loss be recognized before it is realized. The expected credit losses are adjusted each period for changes in expected lifetime credit losses. The new standard will apply to accounts receivable, loans, and other financial instruments with credit risk. This standard was effective for the Company beginning January 1, 2023. The Company adopted the new guidance starting January 1, 2023 on a modified retrospective basis. The impact of this ASU is reflected in the consolidated financial statements and was not material. Management has evaluated other recently issued accounting pronouncements and does not believe that any of these pronouncements will have a significant impact on our consolidated financial statements and related disclosures.

Basic and Diluted Loss per Sh_2

Basic and Diluted Loss per Share (Tables)	9 Months Ended
	Sep. 30, 2023
Basic and Diluted Loss per Share [Abstract]
Loss Per Share, Basic and Diluted	The number of common shares and common share equivalents used in the determination of basic and diluted loss per common share were as follows: (in thousands, except for share data) Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Numerator: Net loss attributed to common stockholders $ (2,022 ) $ (8,992 ) $ (6,471 ) $ (13,827 ) Denominator: Weighted-average shares outstanding for basic earnings per share 2,480,505 2,128,888 2,398,468 2,110,194 Adjusted weighted-average shares outstanding and assumed conversions for diluted earnings per share 2,480,505 2,128,888 2,398,468 2,110,194 Total shares considered for dilution 1,103,556 520,376 1,176,007 520,376

Contract Receivables (Tables)

Contract Receivables (Tables)	9 Months Ended
	Sep. 30, 2023
Contract Receivables [Abstract]
Contract Receivables	The components of contract receivables were as follows: (in thousands) September 30, 2023 December 31, 2022 Billed receivables $ 4,385 $ 6,074 Unbilled receivables 6,755 5,146 Allowance for credit loss (443 ) (1,156 ) Total contract receivables, net $ 10,697 $ 10,064
Allowance For Doubtful Account Rollforward	The following table sets forth the activity in the allowance for credit losses for the nine months ended September 30, 2023. (in thousands) Beginning balance at January 1, 2023 $ 1,156 Adoption of ASC326 Current Expected Credit Losses (CECL) 57 Adjusted balance at January 1, 2023 1,213 Current period provision for expected credit (recovery) loss (1 ) Write-offs charged against the allowance, net of recoveries (729 ) Currency adjustment (40 ) Balance at September 30 2023 $ 443

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2023
Goodwill and Intangible Assets [Abstract]
Net Carrying Amount of Goodwill	The following table shows the gross carrying amount and impairment of goodwill: (in thousands) Goodwill Accumulated Impairment Net Engineering $ 8,278 $ (3,370 ) $ 4,908 Workforce Solutions 8,431 (7,977 ) 454 Net book value at September 30, 2023 $ 16,709 $ (11,347 ) $ 5,362 (in thousands) Goodwill Accumulated Impairment Net Engineering $ 8,278 $ (3,370 ) $ 4,908 Workforce Solutions 8,431 (7,040 ) 1,391 Net book value at December 31, 2022 $ 16,709 $ (10,410 ) $ 6,299
Schedule of Acquired Finite-Lived Intangible Assets by Major Class	The following table shows the gross carrying amount and accumulated amortization of definite-lived intangible assets: (in thousands) As of September 30, 2023 Gross Carrying Amount Accumulated Amortization Impairment Net Amortized intangible assets: Customer relationships $ 8,628 $ (7,318 ) $ (464 ) $ 846 Trade names 1,689 (1,261 ) - 428 Developed technology 471 (471 ) - - Non-contractual customer relationships 433 (433 ) - - Noncompete agreement 527 (514 ) - 13 Alliance agreement 527 (527 ) - - Others 167 (167 ) - - Total $ 12,442 $ (10,691 ) $ (464 ) $ 1,287 (in thousands) As of December 31, 2022 Gross Carrying Amount Accumulated Amortization Impairment Net Amortized intangible assets: Customer relationships $ 8,628 $ (7,050 ) $ (464 ) $ 1,114 Trade names 1,689 (1,196 ) - 493 Developed technology 471 (471 ) - - Non-contractual customer relationships 433 (433 ) - - Noncompete agreement 527 (486 ) - 41 Alliance agreement 527 (488 ) - 39 Others 167 (167 ) - - Total $ 12,442 $ (10,291 ) $ (464 ) $ 1,687
Finite-Lived Intangible Assets, Future Amortization Expense	The following table shows the estimated amortization expense of the definite-lived intangible assets for the next five years and thereafter: (in thousands) Years ended December 31: 2023 remainder $ 108 2024 332 2025 255 2026 204 2027 169 Thereafter 219 Total $ 1,287

Equipment, Software and Lease_2

Equipment, Software and Leasehold Improvements (Tables)	9 Months Ended
	Sep. 30, 2023
Equipment, Software and Leasehold Improvements [Abstract]
Equipment, Software and Leasehold Improvements	Equipment, software and leasehold improvements, net consist of the following: (in thousands) September 30, 2023 December 31, 2022 Computer and equipment $ 2,375 $ 2,363 Software 2,292 2,291 Leasehold improvements 660 659 Furniture and fixtures 840 838 6,167 6,151 Accumulated depreciation (5,519 ) (5,379 ) Equipment, software and leasehold improvements, net $ 648 $ 772

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2023
Fair Value of Financial Instruments [Abstract]
Level 3 Fair Value Measurement Inputs	The Company used the Monte Carlo simulation model to determine the fair value of the Warrants (see Note 10) and Cash-Settled PRSUs, which required the input of subjective assumptions. The fair value of the Warrants as of September 30, 2023 was estimated with the following assumptions. Amended 2022 Convertible Note 2023 Convertible Note Exercise Price $ 19.40 $ 5.00 Common Stock Price $ 2.02 $ 2.02 Risk Free Rate 4.7 % 4.13 % Volatility 80.0 % 80.0 % Term (in years) 3.4 yrs. 4.7 yrs.
Assets and Liabilities Measured at Fair Value	The following table presents assets and liabilities measured at fair value at September 30, 2023 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Derivative liability $ - $ - $ 1,064 $ 1,064 Warrant liability - - 474 474 Cash settled performance-vesting restricted stock units - - 82 82 Total liabilities $ - $ - $ 1,620 $ 1,620 The following table presents assets and liabilities measured at fair value at December 31, 2022 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Derivative liability $ - $ - $ 285 $ 285 Warrant liability - - 267 267 Cash settled performance-vesting restricted stock units - - 51 51 Total liabilities $ - $ - $ 603 $ 603
Changes in Fair Value of Level 3 Liabilities	The following table summarizes changes in the fair value of our Level 3 liabilities during the nine months ended September 30, 2023 (in thousands) Embedded Redemption Features Warrant Cash Settled PRSUs Level 3 Total Balance at December 31, 2022 $ 285 $ 267 $ 51 $ 603 FV of derivatives with new convertible note issuance 286 1,120 - 1,406 Change in FV included in gain on derivative instruments, net 493 (913 ) - (420 ) Stock compensation less payments made - - 31 31 Balance at September 30, 2023 $ 1,064 $ 474 $ 82 $ 1,620

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2023
Debt [Abstract]
Convertible Note	On February 23, 2022, we entered into a Securities Purchase Agreement, as amended, with Lind Global, pursuant to which we issued to Lind Global the 2022 Convertible Note (see Note 1) and a common stock purchase warrant to acquire 128,373 shares of our Common Stock (the “2022 Warrant”). The 2022 Convertible Note does not bear interest but was issued at a $0.75 million discount (“OID”). We received proceeds of approximately $4.8 million net of the OID and expenses. On June 23, 2023, we entered into an Amended & Restated Agreement to amend the February 23, 2022 Securities Purchase Agreement (Original Note). (in thousands) 2022 Convertible Note 2023 Convertible Note Total Convertible Notes Amount Amount Amount Convertible Note issued $ 5,750 $ 1,800 $ 7,550 Debt discount (750 ) (300 ) (1,050 ) Issuance cost: Commitment fee (175 ) (52 ) (227 ) Balance of investor’s counsel fees (43 ) (34 ) (77 ) Net proceeds of Convertible Note $ 4,782 $ 1,414 $ 6,196 Additional OID costs not in original funds flow (121 ) (15 ) (136 ) Fair value of Warrant Liabilities on issuance (724 ) (1,119 ) (1,843 ) Fair value of Conversion Feature on issuance (306 ) (286 ) (592 ) A 25 30 55 A dditional OID costs not in original funds flow (660 ) 660 - Interest expense accrued on Convertible Note as of September 30, 2023 2,645 135 2,780 Principal and interest payments through September 30, 2023 (4,073 ) - (4,073 ) Balance of Convertible Note as of September 30, 2023 $ 1,568 $ 819 $ 2,387

Product Warranty (Tables)

Product Warranty (Tables)	9 Months Ended
	Sep. 30, 2023
Product Warranty [Abstract]
Activities in the Accrued Warranty Accounts	The activity in the accrued warranty accounts during the current period is as follows: (in thousands) Balance at January 1, 2023 $ 503 Current period recovery (73 ) Current period claims (29 ) Currency adjustment 1 Balance at September 30, 2023 $ 402

Revenue (Tables)

Revenue (Tables)	9 Months Ended
	Sep. 30, 2023
Revenue [Abstract]
Disaggregation of Revenue	The following table represents a disaggregation of revenue by type of goods or services for the three and nine months ended September 30, 2023 and 2022, along with the reporting segment for each category: (in thousands) Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Engineering System Design and Build $ 1,192 $ 1,537 $ 4,801 $ 4,991 Over time 1,192 1,537 4,801 4,991 Software and Support 1,373 2,010 3,662 3,560 Point in time 259 530 627 662 Over time 1,114 1,480 3,035 2,898 Training and Consulting Services 6,092 4,505 16,180 13,851 Point in time 131 195 428 428 Over time 5,961 4,310 15,752 15,752 Workforce Solutions Training and Consulting Services 2,909 3,846 10,183 14,516 Point in time 16 52 225 52 Over time 2,893 3,794 9,958 14,464 Total revenue $ 11,566 $ 11,898 $ 34,826 $ 36,918
Balance of Contract Liabilities and Revenue Recognized in Reporting Period	The following table reflects revenue recognized in the reporting periods presented that was included in contract liabilities from contracts with customers as of the beginning of the periods presented: ( in thousands Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Revenue recognized in the period from amounts included in billings in excess of revenue earned at the beginning of the period $ 466 $ 174 $ 3,571 $ 2,666

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2023
Income Taxes [Abstract]
Benefit from Income Taxes	The following table presents the provision for income taxes and our effective tax rates: (in thousands) Three months ended Nine months ended September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Loss before income taxes $ (2,092 ) $ (9,210 ) $ (6,552 ) $ (13,935 ) Benefit from income taxes (70 ) (218 ) (81 ) (108 ) Effective tax rate 3.35 % 2.4 % 1.24 % 0.8 %

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2023
Leases [Abstract]
Classification of Operating ROU Assets and Lease Liabilities on the Balance Sheet	Lease contracts are evaluated at inception to determine whether they contain a lease and whether we obtain the right to control an identified asset. The following table summarizes the classification of operating ROU assets and lease liabilities on the consolidated balance sheets: (in thousands) As of Operating Leases Classification September 30, December 31, 2022 Leased Assets Operating lease - right of use assets Long term assets $ 518 $ 506 Lease Liabilities Operating lease liabilities - Current Other current liabilities 226 418 Operating lease liabilities Long term liabilities 315 160 $ 541 $ 578
Lease Income and Expenses	The table below summarizes lease income and expense recorded in the consolidated statements of operations incurred during the three and nine months ended September 30, 2023 and 2022, ( in thousands Three months ended Nine months ended Lease Cost Classification September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Operating lease cost (1) Selling, general and administrative expenses $ 90 $ 174 $ 333 $ 534 Short-term leases costs (2) Selling, general and administrative expenses 2 15 27 45 Sublease income (3) Selling, general and administrative expenses - (18 ) - (55 ) Net lease cost $ 92 $ 171 $ 360 $ 524 (1) Includes variable lease costs which are immaterial. ( 2 ) Includes leases maturing less than twelve months from the report date. (3) Sublease portfolio consists of two tenants, which subleased parts of our principal executive office located at 1332 Londontown Blvd, Suite 200, Sykesville, MD.
Future Minimum Lease Payments	The Company is obligated under certain noncancelable operating leases for office facilities and equipment. Future minimum lease payments under noncancelable operating leases as of September 30, 2023 are as follows: (in thousands) Gross Future Minimum Lease Payments 2023 remainder $ 62 2024 220 2025 96 2026 91 2027 142 Thereafter - Total lease payments $ 611 Less: Interest 70 Present value of lease payments $ 541
Operating Lease Weighted Average Remaining Lease Term And Discount Rate	We calculated the weighted-average remaining lease term, presented in years below and the weighted-average discount rate for our operating leases, and we use the incremental borrowing rate as the lease discount rate. Lease Term and Discount Rate September 30, 2023 December 31, 2022 Weighted-average remaining lease term (years) Operating leases 3.59 1.51 Weighted-average discount rate Operating leases 6.21 % 5.00 %
Classification of Lease Payments in the Statement of Cash Flows	The table below sets out the classification of lease payments in the consolidated statements of cash flows. (in thousands) Nine months ended Cash paid for amounts included in measurement of liabilities September 30, 2023 September 30, 2022 Operating cash flows used in operating leases $ 410 $ 934

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2023
Segment Information [Abstract]
Reconciliation of Segment Revenue to Consolidated Revenue and Operating Results to Consolidated Income Before Income Taxes	The following table sets forth the revenue and operating results attributable to each reportable segment and includes a reconciliation of segment revenue to consolidated revenue and operating results to consolidated income before income taxes. Inter-segment revenue is eliminated in consolidation and is not significant: Three months ended Nine months ended (in thousands) September 30, 2023 September 30, 2022 September 30, 2023 September 30, 2022 Revenue: Engineering $ 8,657 $ 8,052 $ 24,643 $ 22,402 Workforce Solutions 2,909 3,846 10,183 14,516 Total revenue 11,566 11,898 34,826 36,918 Gross Profit Engineering 3,346 2,654 7,968 7,037 Workforce Solutions 370 602 1,358 1,818 Total gross profit 3,716 3,256 9,326 8,855 Operating loss Engineering (7 ) (1,403 ) (3,048 ) (5,511 ) Workforce Solutions (1,055 ) (7,646 ) (1,573 ) (7,815 ) Provision for legal settlement (750 ) - (750 ) - Operating loss (1,812 ) (9,049 ) (5,371 ) (13,326 ) Interest expense, net (430 ) (422 ) (1,483 ) (928 ) Change in fair value of derivative instruments, net 180 263 420 377 Other loss, net (30 ) (2 ) (118 ) (58 ) Loss before income taxes $ (2,092 ) $ (9,210 ) $ (6,552 ) $ (13,935 )

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended		12 Months Ended
	Oct. 30, 2023 shares	Sep. 30, 2023 USD ($) shares	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) Prices shares	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($) shares	Oct. 29, 2023 shares	Nov. 04, 2022 $ / shares
Liquidity and Going Concern [Abstract]
Share price (in dollars per share) | $ / shares								$ 1
Number of business days to cure deficiency				180 days
Closing bid share price (in dollars per share) | $ / shares								$ 1
Number of consecutive trading days				10 days
Additional period to increase stock price				180 days
Number of extension days				180 days
Common stock, shares issued (in shares) | shares		2,648,085		2,648,085		2,404,681
Common stock, shares outstanding (in shares) | shares		2,488,194		2,488,194		2,244,790
Number of trading days to satisfy the minimum bid price requirement				10 days
Term to pay a demand for payment				10 days
Percentage in which conversion price can be adjusted				80%
Number of lowest daily variable average weighted prices | Prices				3
Number of trading days prior to delivery				20 days
Percentage of outstanding principal amount to become due				120%
Operating loss		$ (1,812)	$ (9,049)	$ (5,371)	$ (13,326)	$ (14,400)
Net cash provided by operating activities				306	750
Long-lived assets and goodwill impairment		937	7,505	937	7,505
Cash and cash equivalents		2,041	3,660	2,041	3,660	2,789
Subsequent Event [Member]
Liquidity and Going Concern [Abstract]
Common stock, shares issued (in shares) | shares	2,607,241						26,072,411
Common stock, shares outstanding (in shares) | shares	2,607,241						26,072,411
Convertible Note [Member]
Liquidity and Going Concern [Abstract]
Convertible promissory note		6,196		6,196
2022 Convertible Promissory Note [Member]
Liquidity and Going Concern [Abstract]
Convertible promissory note		5,750		5,750
2023 Convertible Promissory Note. [Member]
Liquidity and Going Concern [Abstract]
Convertible promissory note		1,800		$ 1,800
Minimum [Member]
Liquidity and Going Concern [Abstract]
Reverse stock split				5
Minimum [Member] | Subsequent Event [Member]
Liquidity and Going Concern [Abstract]
Reverse stock split	10
Maximum [Member]
Liquidity and Going Concern [Abstract]
Reverse stock split				10
Workforce Solutions [Member]
Liquidity and Going Concern [Abstract]
Operating loss		$ (1,055)	$ (7,646)	$ (1,573)	$ (7,815)
Long-lived assets and goodwill impairment						$ 7,500

Basic and Diluted Loss per Sh_3

Basic and Diluted Loss per Share (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Numerator [Abstract]
Net loss attributed to common stockholders	$ (2,022)	$ (8,992)	$ (6,471)	$ (13,827)
Denominator [Abstract]
Weighted-average shares outstanding for basic earnings per share (in shares)	2,480,505	2,128,888	2,398,468	2,110,194
Adjusted weighted-average shares outstanding and assumed conversions for diluted earnings per share (in shares)	2,480,505	2,128,888	2,398,468	2,110,194
Total shares considered for dilution (in shares)	1,103,556	520,376	1,176,007	520,376

Coronavirus Aid, Relief and E_2

Coronavirus Aid, Relief and Economic Security Act (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2021	Jun. 30, 2023
Employee Retention Credits [Abstract]
Tax benefit recognized	$ (70)	$ (218)	$ (81)	$ (108)
Employee Retention Credits [Member]
Employee Retention Credits [Abstract]
Refund of employee retention credit					$ 5,000	$ 5,000
Tax benefit recognized					2,200
Other income					$ 7,200
Refund of employee retention credit receivable						$ 100

Contract Receivables (Details)

Contract Receivables (Details) $ in Thousands		3 Months Ended			9 Months Ended
	Oct. 31, 2023 USD ($)	Sep. 30, 2023 USD ($)	Mar. 31, 2023 USD ($) Segment	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Contract Receivables [Abstract]
Maximum term of contract receivables					12 months
Components of contract receivables [Abstract]
Billed receivables		$ 4,385			$ 4,385		$ 6,074
Unbilled receivables		6,755			6,755		5,146
Allowance for credit loss		(443)			(443)		(1,156)
Total contract receivables, net		10,697			10,697		10,064
Number of geographic portfolio segments | Segment			3
Allowance for Doubtful Accounts Receivable [Roll Forward]
Beginning balance			$ 1,156		1,156
Current period provision for expected credit (recovery) loss					(1)
Write-offs charged against the allowance, net of recoveries					(729)
Currency adjustment					(40)
Ending balance		443			443
Credit (recovery) loss expense		(6)		$ 0	24	$ 97
Unbilled Contract Receivables [Abstract]
Subsequent billing	$ 3,200
(Loss) gain on foreign exchange contracts		$ (32)		$ 6	(15)	$ (51)
ASC 326 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]
Components of contract receivables [Abstract]
Allowance for credit loss							(57)
Allowance for Doubtful Accounts Receivable [Roll Forward]
Beginning balance			57		57
ASC 326 [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Components of contract receivables [Abstract]
Allowance for credit loss							$ (1,213)
Allowance for Doubtful Accounts Receivable [Roll Forward]
Beginning balance			$ 1,213		$ 1,213

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Goodwill, Impaired [Abstract]
Goodwill	$ 16,709		$ 16,709		$ 16,709
Accumulated Impairment	(11,347)		(11,347)		(10,410)
Net	5,362		5,362		6,299
Amortized Intangible Assets [Abstract]
Gross carrying amount	12,442		12,442		12,442
Accumulated amortization	(10,691)		(10,691)		(10,291)
Impairment		$ 500	(464)		(464)
Impairment, Intangible Asset, Finite-Lived, Statement of Income or Comprehensive Income [Extensible Enumeration]				Intangible assets, net
Total	1,287		1,287		1,687
Amortization of intangible assets	108	209	400	$ 700
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2023 remainder	108		108
2024	332		332
2025	255		255
2026	204		204
2027	169		169
Thereafter	219		219
Total	1,287		1,287		1,687
Engineering [Member]
Goodwill, Impaired [Abstract]
Goodwill	8,278		8,278		8,278
Accumulated Impairment	(3,370)		(3,370)		(3,370)
Net	4,908		4,908		4,908
Workforce Solutions [Member]
Goodwill, Impaired [Abstract]
Goodwill	8,431		8,431		8,431
Accumulated Impairment	(7,977)		(7,977)		(7,040)
Net	454		454		1,391
Workforce Solutions [Member] | Training Services and Technical Staffing [Member]
Goodwill, Impaired [Abstract]
Accumulated Impairment		$ 7,000		$ 7,000
Workforce Solutions [Member] | Training Services [Member]
Goodwill, Impaired [Abstract]
Accumulated Impairment	900		900
Workforce Solutions [Member] | Technical Staffing [Member]
Goodwill, Impaired [Abstract]
Accumulated Impairment	900		900
Customer Relationships [Member]
Amortized Intangible Assets [Abstract]
Gross carrying amount	8,628		8,628		8,628
Accumulated amortization	(7,318)		(7,318)		(7,050)
Impairment			(464)		(464)
Total	846		846		1,114
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Total	846		846		1,114
Trade Names [Member]
Amortized Intangible Assets [Abstract]
Gross carrying amount	1,689		1,689		1,689
Accumulated amortization	(1,261)		(1,261)		(1,196)
Impairment			0		0
Total	428		428		493
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Total	428		428		493
Developed Technology [Member]
Amortized Intangible Assets [Abstract]
Gross carrying amount	471		471		471
Accumulated amortization	(471)		(471)		(471)
Impairment			0		0
Total	0		0		0
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Total	0		0		0
Non-Contractual Customer Relationships [Member]
Amortized Intangible Assets [Abstract]
Gross carrying amount	433		433		433
Accumulated amortization	(433)		(433)		(433)
Impairment			0		0
Total	0		0		0
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Total	0		0		0
Noncompete Agreement [Member]
Amortized Intangible Assets [Abstract]
Gross carrying amount	527		527		527
Accumulated amortization	(514)		(514)		(486)
Impairment			0		0
Total	13		13		41
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Total	13		13		41
Alliance Agreement [Member]
Amortized Intangible Assets [Abstract]
Gross carrying amount	527		527		527
Accumulated amortization	(527)		(527)		(488)
Impairment			0		0
Total	0		0		39
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Total	0		0		39
Others [Member]
Amortized Intangible Assets [Abstract]
Gross carrying amount	167		167		167
Accumulated amortization	(167)		(167)		(167)
Impairment			0		0
Total	0		0		0
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Total	$ 0		$ 0		$ 0

Equipment, Software and Lease_3

Equipment, Software and Leasehold Improvements (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Equipment, Software and Leasehold Improvements, Net [Abstract]
Equipment, software and leasehold improvements	$ 6,167		$ 6,167		$ 6,151
Accumulated depreciation	(5,519)		(5,519)		(5,379)
Equipment, software and leasehold improvements, net	648		648		772
Depreciation expense	43	$ 69	144	$ 213
Computer and Equipment [Member]
Equipment, Software and Leasehold Improvements, Net [Abstract]
Equipment, software and leasehold improvements	2,375		2,375		2,363
Software [Member]
Equipment, Software and Leasehold Improvements, Net [Abstract]
Equipment, software and leasehold improvements	2,292		2,292		2,291
Leasehold Improvements [Member]
Equipment, Software and Leasehold Improvements, Net [Abstract]
Equipment, software and leasehold improvements	660		660		659
Furniture and Fixtures [Member]
Equipment, Software and Leasehold Improvements, Net [Abstract]
Equipment, software and leasehold improvements	$ 840		$ 840		$ 838

Fair Value of Financial Instr_3

Fair Value of Financial Instruments (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2023 USD ($) $ / shares	Dec. 31, 2022 USD ($)
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	$ 1,620	$ 603
Changes in Fair Value of Level 3 Liabilities [Abstract]
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]	Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	$ 0	0
Significant Other Observable Inputs (Level 2) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	0	0
Significant Unobservable Inputs (Level 3) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	1,620	603
Changes in Fair Value of Level 3 Liabilities [Abstract]
Balance, Beginning Period	603
FV of derivatives with new convertible note issuance	1,406
Change in fair value included in gain on derivative instruments, net	(420)
Stock compensation less payments made	31
Balance, Ending Period	1,620
Embedded Redemption Features [Member] | Significant Unobservable Inputs (Level 3) [Member]
Changes in Fair Value of Level 3 Liabilities [Abstract]
Balance, Beginning Period	285
FV of derivatives with new convertible note issuance	286
Change in fair value included in gain on derivative instruments, net	493
Stock compensation less payments made	0
Balance, Ending Period	1,064
Cash Settled Performance-Vesting Restricted Stock Units [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	82	51
Cash Settled Performance-Vesting Restricted Stock Units [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	0	0
Cash Settled Performance-Vesting Restricted Stock Units [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	0	0
Cash Settled Performance-Vesting Restricted Stock Units [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	82	51
Changes in Fair Value of Level 3 Liabilities [Abstract]
Balance, Beginning Period	51
FV of derivatives with new convertible note issuance	0
Change in fair value included in gain on derivative instruments, net	0
Stock compensation less payments made	31
Balance, Ending Period	82
Derivative Liability [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	1,064	285
Derivative Liability [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	0	0
Derivative Liability [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	0	0
Derivative Liability [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	1,064	285
Warrant Liability [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	474	267
Warrant Liability [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	0	0
Warrant Liability [Member] | Significant Other Observable Inputs (Level 2) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	0	0
Warrant Liability [Member] | Significant Unobservable Inputs (Level 3) [Member]
Assets and Liabilities Measured at Fair Value [Abstract]
Total liabilities	474	$ 267
Changes in Fair Value of Level 3 Liabilities [Abstract]
Balance, Beginning Period	267
FV of derivatives with new convertible note issuance	1,120
Change in fair value included in gain on derivative instruments, net	(913)
Stock compensation less payments made	0
Balance, Ending Period	$ 474
Warrant Liability [Member] | Amended 2022 Convertible Notes [Member]
Fair Value Measurements [Abstract]
Term (in years)	3 years 4 months 24 days
Warrant Liability [Member] | 2023 Convertible Note [Member]
Fair Value Measurements [Abstract]
Term (in years)	4 years 8 months 12 days
Warrant Liability [Member] | Exercise Price [Member] | Amended 2022 Convertible Notes [Member]
Fair Value Measurements [Abstract]
Measurement input | $ / shares	19.4
Warrant Liability [Member] | Exercise Price [Member] | 2023 Convertible Note [Member]
Fair Value Measurements [Abstract]
Measurement input | $ / shares	5
Warrant Liability [Member] | Common Stock Price [Member] | Amended 2022 Convertible Notes [Member]
Fair Value Measurements [Abstract]
Measurement input | $ / shares	2.02
Warrant Liability [Member] | Common Stock Price [Member] | 2023 Convertible Note [Member]
Fair Value Measurements [Abstract]
Measurement input | $ / shares	2.02
Warrant Liability [Member] | Risk Free Rate [Member] | Amended 2022 Convertible Notes [Member]
Fair Value Measurements [Abstract]
Measurement input	0.047
Warrant Liability [Member] | Risk Free Rate [Member] | 2023 Convertible Note [Member]
Fair Value Measurements [Abstract]
Measurement input	0.0413
Warrant Liability [Member] | Volatility [Member] | Amended 2022 Convertible Notes [Member]
Fair Value Measurements [Abstract]
Measurement input	0.80
Warrant Liability [Member] | Volatility [Member] | 2023 Convertible Note [Member]
Fair Value Measurements [Abstract]
Measurement input	0.80

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) $ / shares in Units, $ in Millions	1 Months Ended	3 Months Ended		9 Months Ended
	Apr. 30, 2022 qtr shares	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2022 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) d qtr $ / shares shares	Sep. 30, 2022 USD ($) d qtr $ / shares shares
Share-based Compensation [Abstract]
Stock options granted (in shares)				0	0
Convertible Note [Member]
Share-based Compensation [Abstract]
Number of trading days | d				20	20
Exercise price (in dollars per share) | $ / shares		$ 15	$ 19.4	$ 15	$ 19.4
Restricted Stock Units [Member]
Share-based Compensation [Abstract]
RSUs granted (in shares)	80,000	45,455	0	90,782	96,025
Aggregate fair value for time-based RSUs | $		$ 0.1		$ 0.3	$ 1.5
RSUs vested (in shares)		54,999	11,299	98,446	49,281
Period to fully vest performance RSUs | qtr	9			18	15
Restricted Stock Units [Member] | Minimum [Member]
Share-based Compensation [Abstract]
Period in which time-based RSU's will vest annually in equal amounts				1 year
Restricted Stock Units [Member] | Maximum [Member]
Share-based Compensation [Abstract]
Period in which time-based RSU's will vest annually in equal amounts				3 years
PRSUs [Member]
Share-based Compensation [Abstract]
RSUs granted (in shares)		0	0	59,767	80,000
RSUs vested (in shares)				15,000	15,000
Cash Settled PRSUs [Member]
Share-based Compensation [Abstract]
RSUs granted (in shares)					20,000
RSUs vested (in shares)				3,750	3,750
RSU and PRSU [Member]
Share-based Compensation [Abstract]
Stock-based compensation expense | $		$ 0.3	$ 0.5	$ 0.9	$ 1.5

Debt, Convertible Note (Details

Debt, Convertible Note (Details)				3 Months Ended		9 Months Ended
	Oct. 06, 2023 $ / shares	Jun. 23, 2023 USD ($) $ / shares shares	Feb. 23, 2022 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) $ / shares	Sep. 30, 2022 USD ($) $ / shares	Sep. 30, 2023 USD ($) d Repayment $ / shares	Sep. 30, 2022 USD ($) d $ / shares
Convertible Debt [Abstract]
Percentage of outstanding principal amount to become due						120%
Amortization of debt discount						$ 981,000	$ 925,000
Maximum number of monthly repayments | Repayment						2
Minimum market capitalization requirement amount				$ 7,000,000		$ 7,000,000
Number of consecutive trading days						10 days
Percentage of outstanding principal required to be prepaid						105%
Maximum beneficial ownership percentage						50%
Maximum percentage of beneficial ownership of outstanding shares of common stock						4.99%
Maximum [Member]
Convertible Debt [Abstract]
Indebtedness to be maintained in event of default to avoid triggering of default terms				250,000		$ 250,000
Convertible Note [Member]
Convertible Debt [Abstract]
Convertible Note issued				7,550,000		7,550,000
Debt discount				(1,050,000)		(1,050,000)
Balance of Convertible Note				6,196,000		6,196,000
Additional OID costs not in original funds flow				(136,000)		(136,000)
Allocated OID costs to Warrants				55,000		55,000
Additional OID costs not in original funds flow				0		0
Interest expense accrued on Convertible Note						2,780,000
Principal and interest payments						(4,073,000)
Balance of Convertible Note				$ 2,387,000		$ 2,387,000
Number of monthly payments | Repayment						18
Monthly principal repayments			$ 319,000
Period for repayment of convertible note from issuance						180 days
Number of trading days | d						20	20
Exercise price (in dollars per share) | $ / shares				$ 15	$ 19.4	$ 15	$ 19.4
Effective interest rate				68.60%		68.60%
Amortization of debt discount				$ 400,000	$ 400,000	$ 1,500,000
Default charge				500,000		500,000
Convertible Note [Member] | Embedded Redemption Features [Member]
Convertible Debt [Abstract]
Fair value of Conversion Feature on issuance				(592,000)		(592,000)
Convertible Note [Member] | Warrant Liability [Member]
Convertible Debt [Abstract]
Fair value of Warrant Liabilities on issuance				(1,843,000)		(1,843,000)
Convertible Note [Member] | Commitment Fee [Member]
Convertible Debt [Abstract]
Issuance cost				(227,000)		(227,000)
Convertible Note [Member] | Investor's Counsel Fees [Member]
Convertible Debt [Abstract]
Issuance cost				(77,000)		(77,000)
2022 Convertible Note [Member]
Convertible Debt [Abstract]
Purchase of warrant to acquire shares of common stock (in shares) | shares			128,373
Convertible Note issued				5,750,000		5,750,000
Debt discount				(750,000)		(750,000)
Balance of Convertible Note				4,782,000		4,782,000
Additional OID costs not in original funds flow				(121,000)		(121,000)
Allocated OID costs to Warrants				25,000		25,000
Additional OID costs not in original funds flow				(660,000)		(660,000)
Interest expense accrued on Convertible Note						2,645,000
Principal and interest payments						(4,073,000)
Balance of Convertible Note				$ 1,568,000		$ 1,568,000
Period for conversion						6 months
Conversion price (in dollars per share) | $ / shares			$ 19.4
Debt Instrument, Debt Default, Percentage				20%		20%
Maturity date						Feb. 29, 2024
Conversion ratio			0.33
Percentage of outstanding principal amount to become due						120%
Percentage of volume-weighted average price			80%
Average of trading days | d						3
Number of trading days | d						20
Exercise price (in dollars per share) | $ / shares			$ 19.4
Fair value			$ 700,000
Net proceeds from issuance of convertible note			$ 4,800,000
2022 Convertible Note [Member] | Embedded Redemption Features [Member]
Convertible Debt [Abstract]
Fair value of Conversion Feature on issuance				$ (306,000)		$ (306,000)
2022 Convertible Note [Member] | Warrant Liability [Member]
Convertible Debt [Abstract]
Fair value of Warrant Liabilities on issuance				(724,000)		(724,000)
2022 Convertible Note [Member] | Commitment Fee [Member]
Convertible Debt [Abstract]
Issuance cost				(175,000)		(175,000)
2022 Convertible Note [Member] | Investor's Counsel Fees [Member]
Convertible Debt [Abstract]
Issuance cost				(43,000)		$ (43,000)
Amended Convertible Note 2022 [Member]
Convertible Debt [Abstract]
Balance of Convertible Note		$ 2,747,228
Number of monthly payments | Repayment						12
Monthly principal repayments						$ 186,343
Maturity date						Aug. 23, 2024
Number of final payments | Repayment						2
Amended Convertible Note 2022 [Member] | Payment One [Member]
Convertible Debt [Abstract]
Monthly principal repayments		255,556
Amended Convertible Note 2022 [Member] | Payment Two [Member]
Convertible Debt [Abstract]
Monthly principal repayments		$ 255,556
A&R Note Amendment [Member]
Convertible Debt [Abstract]
Average of trading days | d						3
Number of trading days | d						20
Minimum market capitalization requirement amount				7,000,000		$ 7,000,000
Number of consecutive trading days						10 days
A&R Note Amendment [Member] | Subsequent Event [Member]
Convertible Debt [Abstract]
Conversion price (in dollars per share) | $ / shares	$ 19.4
Percentage of volume-weighted average price	85%
Note Amendment [Member]
Convertible Debt [Abstract]
Minimum market capitalization requirement amount				7,000,000		$ 7,000,000
Number of consecutive trading days						10 days
2023 Convertible Note [Member]
Convertible Debt [Abstract]
Purchase of warrant to acquire shares of common stock (in shares) | shares		426,427
Convertible Note issued		$ 1,800,000		1,800,000		$ 1,800,000
Debt discount				(300,000)		(300,000)
Balance of Convertible Note		1,500,000		1,414,000		1,414,000
Additional OID costs not in original funds flow				(15,000)		(15,000)
Allocated OID costs to Warrants				30,000		30,000
Additional OID costs not in original funds flow				660,000		660,000
Interest expense accrued on Convertible Note						135,000
Principal and interest payments						0
Balance of Convertible Note				819,000		$ 819,000
Number of monthly payments | Repayment						12
Monthly principal repayments		$ 150,000
Period for conversion						1 year
Conversion price (in dollars per share) | $ / shares		$ 5
Conversion ratio						0.33
Percentage of volume-weighted average price		90%				85%
Average of trading days | d						5
Number of trading days | d						20
Exercise price (in dollars per share) | $ / shares		$ 5
Debt instrument term						2 years
Number of repayment shares issued and issuable (in shares) | shares		493,727
Threshold period for shares available for resale						6 months
Lowest trading days | d						3
2023 Convertible Note [Member] | Embedded Redemption Features [Member]
Convertible Debt [Abstract]
Fair value of Conversion Feature on issuance				(286,000)		$ (286,000)
2023 Convertible Note [Member] | Warrant Liability [Member]
Convertible Debt [Abstract]
Fair value of Warrant Liabilities on issuance				(1,119,000)		(1,119,000)
2023 Convertible Note [Member] | Commitment Fee [Member]
Convertible Debt [Abstract]
Issuance cost				(52,000)		(52,000)
2023 Convertible Note [Member] | Investor's Counsel Fees [Member]
Convertible Debt [Abstract]
Issuance cost				$ (34,000)		$ (34,000)
2023 Convertible Note [Member] | Payment One [Member]
Convertible Debt [Abstract]
Monthly principal repayments		$ 300,000
2023 Convertible Note [Member] | Payment Two [Member]
Convertible Debt [Abstract]
Monthly principal repayments		$ 300,000

Debt, Revolving Line of Credit

Debt, Revolving Line of Credit (Details) $ in Thousands	1 Months Ended	9 Months Ended
	Feb. 28, 2022 USD ($)	Sep. 30, 2023 USD ($) Letter	Sep. 30, 2022 USD ($)
Line of Credit Facility [Abstract]
Repayment on line of credit		$ 0	$ 1,817
Revolving Credit Facility [Member]
Line of Credit Facility [Abstract]
Repayment on line of credit	$ 1,800
Number of letters of credit | Letter		4
Outstanding letter of credit balance		$ 1,100

Product Warranty (Details)

Product Warranty (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2023 USD ($)
Product warranty provision [Abstract]
Warranty terms for SDB contracts	1 year
Accrued warranty, current	$ 265
Accrued warranty, noncurrent	137
Activities in product warranty account [Abstract]
Balance at beginning of period	503
Current period recovery	(73)
Current period claims	(29)
Currency adjustment	1
Balance at end of period	$ 402

Revenue (Details)

Revenue (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) Stream	Sep. 30, 2022 USD ($)
Disaggregation of Revenue [Abstract]
Number of distinct revenue streams | Stream			3
Revenue	$ 11,566	$ 11,898	$ 34,826	$ 36,918
Contract with Customer, Asset and Liability [Abstract]
Revenue recognized in the period from amounts included in billings in excess of revenue earned at the beginning of the period	466	174	3,571	2,666
Engineering [Member] | System Design and Build [Member]
Disaggregation of Revenue [Abstract]
Revenue	1,192	1,537	4,801	4,991
Engineering [Member] | System Design and Build [Member] | Over Time [Member]
Disaggregation of Revenue [Abstract]
Revenue	1,192	1,537	4,801	4,991
Engineering [Member] | Software and Support [Member]
Disaggregation of Revenue [Abstract]
Revenue	1,373	2,010	3,662	3,560
Engineering [Member] | Software and Support [Member] | Point in Time [Member]
Disaggregation of Revenue [Abstract]
Revenue	259	530	627	662
Engineering [Member] | Software and Support [Member] | Over Time [Member]
Disaggregation of Revenue [Abstract]
Revenue	1,114	1,480	3,035	2,898
Engineering [Member] | Training and Consulting Services [Member]
Disaggregation of Revenue [Abstract]
Revenue	6,092	4,505	16,180	13,851
Engineering [Member] | Training and Consulting Services [Member] | Point in Time [Member]
Disaggregation of Revenue [Abstract]
Revenue	131	195	428	428
Engineering [Member] | Training and Consulting Services [Member] | Over Time [Member]
Disaggregation of Revenue [Abstract]
Revenue	5,961	4,310	15,752	15,752
Workforce Solutions [Member]
Disaggregation of Revenue [Abstract]
Revenue	2,909	3,846	10,183	14,516
Workforce Solutions [Member] | Training and Consulting Services [Member]
Disaggregation of Revenue [Abstract]
Revenue	2,909	3,846	10,183	14,516
Workforce Solutions [Member] | Training and Consulting Services [Member] | Point in Time [Member]
Disaggregation of Revenue [Abstract]
Revenue	16	52	225	52
Workforce Solutions [Member] | Training and Consulting Services [Member] | Over Time [Member]
Disaggregation of Revenue [Abstract]
Revenue	$ 2,893	$ 3,794	$ 9,958	$ 14,464

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Taxes [Abstract]
Loss before income taxes	$ (2,092)	$ (9,210)	$ (6,552)	$ (13,935)
Benefit from income taxes	$ (70)	$ (218)	$ (81)	$ (108)
Effective tax rate	3.35%	2.40%	1.24%	0.80%
Statutory federal income tax rate	21%	21%	21%	21%
Income Tax Examination [Abstract]
Probability of uncertain tax position to be recognized			50%
Percentage of tax position realized upon ultimate settlement			50%
Federal [Member]
Income Tax Examination [Abstract]
Income tax examination, year under examination			2003
State [Member]
Income Tax Examination [Abstract]
Income tax examination, year under examination			2003
Foreign [Member]
Income Tax Examination [Abstract]
Income tax examination, year under examination			2017

Leases (Details)

Leases (Details) $ in Thousands				3 Months Ended		9 Months Ended
		Jun. 07, 2023 ft²	Sep. 26, 2022 ft²	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) Tenant	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Lessee, Lease, Description [Line Items]
Operating lease ROU amortization				$ 81	$ 159	$ 311	$ 467
Leased Assets [Abstract]
Operating lease - right of use assets				$ 518		$ 518		$ 506
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]				Operating lease - right of use assets		Operating lease - right of use assets		Operating lease - right of use assets
Lease Liabilities [Abstract]
Operating lease liabilities - current				$ 226		$ 226		$ 418
Operating lease liabilities				$ 315		$ 315		$ 160
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]				Operating lease liabilities		Operating lease liabilities		Operating lease liabilities
Lease liabilities				$ 541		$ 541		$ 578
Consolidated Statement of Operations Information [Abstract]
Operating lease cost	[1]			90	174	333	534
Short-term leases costs	[2]			2	15	27	45
Sublease income	[3]			0	(18)	0	(55)
Net lease cost				92	$ 171	$ 360	524
Number of tenants | Tenant						2
Minimum Lease Payments [Abstract]
2023 remainder				62		$ 62
2024				220		220
2025				96		96
2026				91		91
2027				142		142
Thereafter				0		0
Total lease payments				611		611
Less: Interest				70		70
Lease liabilities				$ 541		$ 541		$ 578
Lease Term and Discount Rate [Abstract]
Weighted-average remaining lease term (in years)				3 years 7 months 2 days		3 years 7 months 2 days		1 year 6 months 3 days
Weighted-average discount rate				6.21%		6.21%		5%
Cash paid for amounts included in measurement of liabilities [Abstract]
Operating cash flows used in operating leases						$ 410	$ 934
Fort Worth, Texas [Member]
Lease Liabilities [Abstract]
Area of office space leased | ft²		2,704
Lease expiration date						Nov. 07, 2030
Columbia, Maryland [Member]
Lease Liabilities [Abstract]
Area of office space leased | ft²			2,200
Lease agreement date						Sep. 26, 2022
Lease expiration date						Nov. 30, 2024
[1] Includes variable lease costs which are immaterial. Includes leases maturing less than twelve months from the report date.

Segment Information (Details)

Segment Information (Details) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) Segment	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]
Number of reportable business segments | Segment			2
Contract term			2 years
Segment Reporting Information, Profit (Loss) [Abstract]
Revenue	$ 11,566	$ 11,898	$ 34,826	$ 36,918
Gross profit	3,716	3,256	9,326	8,855
Operating loss	(1,812)	(9,049)	(5,371)	(13,326)	$ (14,400)
Interest expense, net	(430)	(422)	(1,483)	(928)
Change in fair value of derivative instruments, net	180	263	420	377
Other loss, net	(30)	(2)	(118)	(58)
Loss before income taxes	(2,092)	(9,210)	(6,552)	(13,935)
Engineering [Member]
Segment Reporting Information, Profit (Loss) [Abstract]
Revenue	8,657	8,052	24,643	22,402
Gross profit	3,346	2,654	7,968	7,037
Operating loss	(7)	(1,403)	(3,048)	(5,511)
Workforce Solutions [Member]
Segment Reporting Information, Profit (Loss) [Abstract]
Revenue	2,909	3,846	10,183	14,516
Gross profit	370	602	1,358	1,818
Operating loss	(1,055)	(7,646)	(1,573)	(7,815)
Provision for Legal Settlement [Member]
Segment Reporting Information, Profit (Loss) [Abstract]
Operating loss	$ (750)	$ 0	$ (750)	$ 0

Commitments and Contingencies (

Commitments and Contingencies (Details)		3 Months Ended	9 Months Ended	30 Months Ended
	Oct. 30, 2023 USD ($) Case	Sep. 30, 2023 USD ($)	Sep. 30, 2023 USD ($)	Jun. 08, 2023 Case Employee
Litigation Settlement [Abstract]
Number of former employees in subsidiaries that filed lawsuits | Employee				3
Number of cases filed | Case				3
Subsequent Event [Member]
Litigation Settlement [Abstract]
Number of cases dismissed | Case	3
Damages awarded value | $	$ 750,000
Selling, General and Administrative Expenses [Member]
Litigation Settlement [Abstract]
Accrued litigation expenses | $		$ 750,000	$ 750,000