Note 2 - Liquidity

6 Months Ended

Jun. 30, 2020

Notes to Financial Statements

Substantial Doubt about Going Concern [Text Block]

NOTE

2

-  LIQUIDITY AND UNCERTAINTIES

     

The Company has evaluated 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 within

one

year after the date that the consolidated financial statements are issued.

In the

second

quarter of

2020

the Company completed

two

capital raises. In

April

and

June

of

2020,

the Company completed Common Stock Offerings generating net proceeds of approximately

$4.6

 million and

$13.4

million, respectively See Note

9.

As of

June 30, 2020

cash on hand was approximately

$16.6

million, an increase of

$15.1

million from

December 31, 2019.

With the combination of these

two

Common Stock Offerings, the Company has sufficient liquidity to support operations beyond a year after the condensed consolidated financial statements issue date.

The coronavirus (COVID-

19

) that was reported to have surfaced in Wuhan, China in

December 2019

and that has now spread to other countries throughout the world has and is expected to adversely impact our operations and those of our

third

-party partners.  As a result of the reduced hours and closings of dental offices throughout the country and the rest of the world due to the continuing spread of COVID-

19,

we anticipate that our revenue for the

third

quarter, and possibly the

fourth

quarter, will be adversely affected. In the quarter ending

June 30, 2020,

the Company has experienced a significant negative impact in dental related revenues. At this point in time, we can identify a slow pick up in dental instrument and disposable sales through beginning in the

third

quarter. However, it is still too early to determine an estimate of what those impacts will be, or the continuing effect COVID-

19

may

have on our

third

and

fourth

quarter revenue. In addition, it is too early to determine what the effect will be on the anticipated commercialization of our CompuFlo Epidural system as a medical device during

2020.

The extent to which the coronavirus impacts our operations or those of our

third

-party partners also depend on future developments which are still highly uncertain and cannot be predicted with confidence at this time. Such future developments could have a material adverse effect on our financial results and our ability to conduct business as expected.