Note 18 - Supplementary Financial Information (Unaudited)

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Quarterly Financial Information [Text Block]

18.  Supplementary Financial Information (Unaudited)

Quarterly Results of Operations

	Year Ended December 31, 2019
	Mar. 31, 2019			Jun. 30, 2019			Sept. 30, 2019			Dec. 31, 2019
	(in thousands, except per share amounts)
Revenue	$	82,223		$	86,285		$	94,231		$	102,896
Gross profit		47,631			49,109			54,482			61,599
Net loss		(22,745	)		(20,578	)		(16,180	)		(13,408	)
Basic earnings per share		(0.51	)		(0.46	)		(0.36	)		(0.29	)
Diluted earnings per share		(0.51	)		(0.46	)		(0.36	)		(0.29	)

	Year Ended December 31, 2018
	Mar. 31, 2018(1)			Jun. 30, 2018			Sept. 30, 2018			Dec. 31, 2018(2)
	(in thousands, except per share amounts)
Revenue	$	60,136		$	69,814		$	78,009		$	86,531
Gross profit		32,546			39,611			43,462			49,526
Net loss		(22,991	)		(28,464	)		(22,665	)		(21,631	)
Basic earnings per share		(0.53	)		(0.65	)		(0.52	)		(0.49	)
Diluted earnings per share		(0.53	)		(0.65	)		(0.52	)		(0.49	)

As further described in note 1, in connection with the preparation of the Company’s 2019 year-end audited consolidated financial statements, the Company identified a classification error in its previously filed unaudited interim condensed consolidated statements of cash flows for the three, six and nine months ended March 31, 2019 and March 31, 2018, June 30, 2019 and June 30, 2018 and September 30, 2019 and September 30, 2018, respectively. Specifically, it was determined that payments made under the Company’s multi-year agreements for the purchase of internal use intangible assets should have been classified as use of cash for financing activities and not as use of cash for investing activities as originally presented.

Management has concluded that such classification error did not result in the previously issued unaudited interim condensed consolidated financial statements being materially misstated. The Company will, however, revise the 2019 unaudited quarterly condensed consolidated statements of cash flows in connection with the future filings of its 2020 Form 10-Qs to correct for such classification error.  

(1) The benefit for income taxes included partial release of federal valuation allowance resulting from the transfer of an acquired in-process research and development to developed technology in 2018 which allowed the related deferred tax liability to be considered a source of income for realizing deferred tax assets, as well as the revaluation of the foreign deferred tax liability on the in-process research and development based on the foreign tax rates applicable to the anticipated reversal periods.

(2) The Company recorded a charge of $7,000 due to impairment of a non-marketable equity investment.