QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
(Address of principal executive office) | ||
(Registrant's telephone number, including area code) |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. | |||||
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). | |||||
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. | |||||
Large accelerated filer £ Accelerated filer £ | |||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. | |||||
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). | Yes | ||||
Page | ||||||||
September 30, 2022 and December 31, 2021 | ||||||||
Three and Nine Months Ended September 30, 2022 and 2021 | ||||||||
Three and Nine Months Ended September 30, 2022 and 2021 | ||||||||
Nine Months Ended September 30, 2022 and 2021 | ||||||||
Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds. | |||||||
Exhibits | ||||||||
September 30, 2022 | December 31, 2021 | ||||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | $ | |||||||||
Restricted cash | |||||||||||
Accounts receivable, net of allowances of $ | |||||||||||
Unbilled revenue | |||||||||||
Inventories, net of allowances of $ | |||||||||||
Prepaid expenses and other assets | |||||||||||
Total current assets | |||||||||||
Property and equipment, at cost: | |||||||||||
Machinery and equipment | |||||||||||
Leasehold improvements | |||||||||||
Total property and equipment, at cost | |||||||||||
Less: Accumulated depreciation | ( | ( | |||||||||
Net property and equipment | |||||||||||
Right-of-use lease assets | |||||||||||
Intangibles, net of accumulated amortization | |||||||||||
Goodwill | |||||||||||
Other assets | |||||||||||
Total assets | $ | $ |
Liabilities and Shareholders’ Equity | |||||||||||
Current liabilities: | |||||||||||
Accounts payable | $ | $ | |||||||||
Accrued expenses | |||||||||||
Deferred revenue | |||||||||||
Bank line of credit | |||||||||||
Right-of-use lease obligations, current | |||||||||||
Finance lease obligations, current | |||||||||||
Other current liabilities | |||||||||||
Total current liabilities | |||||||||||
Right-of-use lease obligations, long-term | |||||||||||
Finance lease obligations, long-term | |||||||||||
Total liabilities | |||||||||||
Shareholders’ equity: | |||||||||||
Common stock, $ | |||||||||||
Paid in capital | |||||||||||
Retained earnings | |||||||||||
Total shareholders’ equity | |||||||||||
Total liabilities and shareholders’ equity | $ | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
$ | $ | $ | $ | ||||||||||||||||||||
Cost of sales | |||||||||||||||||||||||
Gross profit | |||||||||||||||||||||||
Operating expenses | |||||||||||||||||||||||
Selling, general and administrative expenses | |||||||||||||||||||||||
Depreciation and amortization expense | |||||||||||||||||||||||
Gain on disposal of assets | |||||||||||||||||||||||
Income (loss) from operations | ( | ( | |||||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||
Gain on extinguishment of debt | |||||||||||||||||||||||
Interest income | |||||||||||||||||||||||
Other expense, net | ( | ( | ( | ( | |||||||||||||||||||
Interest expense | ( | ( | ( | ( | |||||||||||||||||||
Other income (expense), net | ( | ( | |||||||||||||||||||||
Income (loss) before income taxes | ( | ||||||||||||||||||||||
Benefit for income taxes | ( | ( | |||||||||||||||||||||
Net income (loss) | $ | $ | $ | $ | ( | ||||||||||||||||||
Income (loss) per share: | |||||||||||||||||||||||
Basic and diluted | $ | $ | $ | $ | ( | ||||||||||||||||||
Shares used in per share calculation: | |||||||||||||||||||||||
Basic and diluted | |||||||||||||||||||||||
Common Stock | Paid-in Capital | Retained Earnings | |||||||||||||||||||||||||||
Shares | Amount | Total | |||||||||||||||||||||||||||
Balance, December 31, 2021 | $ | $ | $ | $ | |||||||||||||||||||||||||
Net loss | — | — | — | ( | ( | ||||||||||||||||||||||||
Common stock issuance | — | ||||||||||||||||||||||||||||
Restricted stock issuance | — | ||||||||||||||||||||||||||||
Amortization of stock-based compensation | — | — | — | ||||||||||||||||||||||||||
Balance, March 31, 2022 | $ | $ | $ | $ | |||||||||||||||||||||||||
Net income | — | — | — | ||||||||||||||||||||||||||
Common stock issuance | — | — | |||||||||||||||||||||||||||
Restricted stock forfeitures | ( | ( | — | ||||||||||||||||||||||||||
Amortization of stock-based compensation | — | — | — | ||||||||||||||||||||||||||
Balance, June 30, 2022 | $ | $ | $ | $ | |||||||||||||||||||||||||
Net income | |||||||||||||||||||||||||||||
Common stock issuance | — | ||||||||||||||||||||||||||||
Stock option exercise | — | ||||||||||||||||||||||||||||
Restricted stock issuance, net of forfeitures | ( | — | |||||||||||||||||||||||||||
Amortization of stock-based compensation | — | — | — | ||||||||||||||||||||||||||
Balance, September 30, 2022 | $ | $ | $ | $ | |||||||||||||||||||||||||
Common Stock | Paid-in Capital | Retained Earnings | |||||||||||||||||||||||||||
Shares | Amount | Total | |||||||||||||||||||||||||||
Balance, December 31, 2020 | $ | $ | ( | $ | $ | ||||||||||||||||||||||||
Net loss | — | — | — | ( | ( | ||||||||||||||||||||||||
Common stock issuance | — | — | |||||||||||||||||||||||||||
Restricted stock issuance, net of forfeitures | ( | ( | — | — | ( | ||||||||||||||||||||||||
Stock option exercise | — | — | |||||||||||||||||||||||||||
Amortization of stock-based compensation | — | — | — | ||||||||||||||||||||||||||
Balance, March 31, 2021 | $ | $ | ( | $ | $ | ||||||||||||||||||||||||
Net loss | — | — | — | ( | ( | ||||||||||||||||||||||||
Restricted stock issuance | ( | — | |||||||||||||||||||||||||||
Amortization of stock-based compensation | — | — | — | ||||||||||||||||||||||||||
Balance, June 30, 2021 | $ | $ | ( | $ | $ | ||||||||||||||||||||||||
Net income | — | — | — | ||||||||||||||||||||||||||
Stock option exercise | — | ( | — | ||||||||||||||||||||||||||
Restricted stock issuance | ( | — | |||||||||||||||||||||||||||
Amortization of stock-based compensation | — | — | — | ||||||||||||||||||||||||||
Balance, September 30, 2021 | $ | $ | ( | $ | $ |
Nine Months Ended September 30, | |||||||||||
2022 | 2021 | ||||||||||
Operating Activities: | |||||||||||
Net income (loss) | $ | $ | ( | ||||||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||||||
Depreciation | |||||||||||
Amortization | |||||||||||
Non cash amortization of right-of-use asset and liability | ( | ( | |||||||||
Provision for excess and obsolete inventories | |||||||||||
Charge for lower of cost or net realizable value inventories | |||||||||||
Stock based compensation expense | |||||||||||
Gain from disposal of property and equipment | ( | ( | |||||||||
Gain on extinguishment of debt | ( | ||||||||||
Changes in assets and liabilities: | |||||||||||
Accounts receivable | ( | ||||||||||
Unbilled revenue | ( | ( | |||||||||
Income tax receivable/payable | |||||||||||
Inventories | ( | ( | |||||||||
Prepaid expenses and other assets | ( | ( | |||||||||
Accounts payable | |||||||||||
Accrued expenses and other liabilities | |||||||||||
Deferred revenue | |||||||||||
Net cash provided by (used in) operating activities | ( | ||||||||||
Investing Activities: | |||||||||||
Proceeds from promissory note receivable | |||||||||||
Purchases of property and equipment | ( | ( | |||||||||
Disposals of property and equipment | |||||||||||
Net cash provided by investing activities | |||||||||||
Financing Activities: | |||||||||||
Payments on bank line of credit | ( | ( | |||||||||
Payments on financing lease obligations | ( | ( | |||||||||
Payments on notes payable | |||||||||||
Proceeds from sale of common stock | |||||||||||
Proceeds from stock options exercised | |||||||||||
Net cash used in financing activities | ( | ( | |||||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | ( | ||||||||||
Cash, cash equivalents and restricted cash at beginning of period | |||||||||||
Cash, cash equivalents and restricted cash at end of period | $ | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Wireless services sales | $ | $ | $ | $ | |||||||||||||||||||
Telco equipment | |||||||||||||||||||||||
Telco repair | |||||||||||||||||||||||
Telco recycle | |||||||||||||||||||||||
Total sales | $ | $ | $ | $ |
September 30, 2022 | December 31, 2021 | ||||||||||
New equipment | $ | $ | |||||||||
Refurbished and used equipment | |||||||||||
Allowance for excess and obsolete inventory | ( | ( | |||||||||
Total inventories, net | $ | $ |
September 30, 2022 | |||||||||||||||||
Intangible assets: | Gross | Accumulated Amortization | Net | ||||||||||||||
Customer relationships – | $ | $ | ( | $ | |||||||||||||
Trade name – | ( | ||||||||||||||||
Total intangible assets | $ | $ | ( | $ |
December 31, 2021 | |||||||||||||||||
Intangible assets: | Gross | Accumulated Amortization | Net | ||||||||||||||
Customer relationships – | $ | $ | ( | $ | |||||||||||||
Trade name – | ( | ||||||||||||||||
Total intangible assets | $ | $ | ( | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Net income (loss) attributable to common shareholders | $ | $ | $ | $ | ( | ||||||||||||||||||
Basic and diluted weighted average shares | |||||||||||||||||||||||
Basic and diluted income (loss) per common share | $ | $ | $ | $ | ( | ||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Stock options excluded | |||||||||||||||||||||||
Weighted average exercise price of stock options | $ | $ | |||||||||||||||||||||
Average market price of common stock | $ | $ |
(in thousands) | Nine Months Ended September 30, | ||||||||||
2022 | 2021 | ||||||||||
Supplemental cash flow information: | |||||||||||
Cash paid for interest | $ | $ | |||||||||
Supplemental noncash investing and financing activities: | |||||||||||
Assets acquired under financing leases | $ | $ | |||||||||
Shares | Fair Value | ||||||||||
Non-vested at June 30, 2022 | $ | ||||||||||
Granted | |||||||||||
Vested | ( | ( | |||||||||
Forfeited | |||||||||||
Non-vested at September 30, 2022 | $ |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
(in thousands) | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Sales | |||||||||||||||||||||||
Wireless | $ | $ | $ | $ | |||||||||||||||||||
Telco | |||||||||||||||||||||||
Total sales | $ | $ | $ | $ | |||||||||||||||||||
Gross profit | |||||||||||||||||||||||
Wireless | $ | $ | $ | $ | |||||||||||||||||||
Telco | |||||||||||||||||||||||
Total gross profit (loss) | $ | $ | $ | $ | |||||||||||||||||||
Income (loss) from operations | |||||||||||||||||||||||
Wireless | $ | ( | $ | ( | $ | ( | $ | ( | |||||||||||||||
Telco | ( | ( | |||||||||||||||||||||
Total income (loss) from operations | $ | $ | ( | $ | $ | ( |
(in thousands) | September 30, 2022 | December 31, 2021 | |||||||||
Segment assets | |||||||||||
Wireless | $ | $ | |||||||||
Telco | |||||||||||
Non-allocated | |||||||||||
Total assets | $ | $ |
Three Months Ended September 30, 2022 | Three Months Ended September 30, 2021 | ||||||||||||||||||||||||||||||||||
Wireless | Telco | Total | Wireless | Telco | Total | ||||||||||||||||||||||||||||||
Income (loss) from operations | $ | (202) | $ | 1,994 | $ | 1,792 | $ | (2,105) | $ | (130) | $ | (2,235) | |||||||||||||||||||||||
Depreciation and amortization expense | 173 | 121 | 294 | 202 | 127 | 329 | |||||||||||||||||||||||||||||
Stock compensation expense | 78 | 72 | 150 | 132 | 36 | 168 | |||||||||||||||||||||||||||||
Adjusted EBITDA | $ | 49 | $ | 2,187 | $ | 2,236 | $ | (1,771) | $ | 33 | $ | (1,738) | |||||||||||||||||||||||
Nine Months Ended September 30, 2022 | Nine Months Ended September 30, 2021 | ||||||||||||||||||||||||||||||||||
Wireless | Telco | Total | Wireless | Telco | Total | ||||||||||||||||||||||||||||||
Income (loss) from operations | $ | (3,859) | $ | 5,632 | $ | 1,773 | $ | (5,759) | $ | (1,624) | $ | (7,383) | |||||||||||||||||||||||
Depreciation and amortization expense | 561 | 364 | 925 | 563 | 384 | 947 | |||||||||||||||||||||||||||||
Stock compensation expense | 234 | 266 | 500 | 375 | 318 | 693 | |||||||||||||||||||||||||||||
Adjusted EBITDA | $ | (3,064) | $ | 6,262 | $ | 3,198 | $ | (4,821) | $ | (922) | $ | (5,743) |
Exhibit No. | Description | ||||
31.1 | |||||
31.2 | |||||
32.1 | |||||
32.2 | |||||
101.INS | XBRL Instance Document. | ||||
101.SCH | XBRL Taxonomy Extension Schema. | ||||
101.CAL | XBRL Taxonomy Extension Calculation Linkbase. | ||||
101.DEF | XBRL Taxonomy Extension Definition Linkbase. | ||||
101.LAB | XBRL Taxonomy Extension Label Linkbase. | ||||
101.PRE | XBRL Taxonomy Extension Presentation Linkbase. |
ADDVANTAGE TECHNOLOGIES GROUP, INC. (Registrant) | |||||
Date: November 14, 2022 | |||||
/s/ Joseph E. Hart | |||||
Joseph E. Hart, | |||||
President and Chief Executive Officer | |||||
(Principal Executive Officer) | |||||
Date: November 14, 2022 | |||||
/s/ Michael A. Rutledge | |||||
Michael A. Rutledge | |||||
Chief Financial Officer | |||||
(Principal Financial Officer) |
Date: | November 14, 2022 | ||||||||||
/s/ Joseph E. Hart Joseph E. Hart President and Chief Executive Officer |
Date: | November 14, 2022 | ||||||||||
/s/ Michael A. Rutledge Michael A. Rutledge Chief Financial Officer |
/s/ Joseph E. Hart | |||||||||||
Name: | Joseph E. Hart | ||||||||||
Title: | President and Chief Executive Officer | ||||||||||
Date: | November 14, 2022 |
/s/ Michael A. Rutledge | |||||||||||
Name: | Michael A. Rutledge | ||||||||||
Title: | Chief Financial Officer | ||||||||||
Date: | November 14, 2022 |
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 250 | $ 250 |
Allowance for excess and obsolete inventory | $ 3,831 | $ 3,567 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 30,000,000 | 30,000,000 |
Common stock, shares issued (in shares) | 14,043,642 | 13,041,127 |
Common stock, shares outstanding (in shares) | 14,043,642 | 13,041,127 |
Consolidated Statements of Operations - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
|
Income Statement [Abstract] | ||||
Sales | $ 25,926 | $ 19,727 | $ 77,474 | $ 49,411 |
Cost of sales | 17,383 | 14,679 | 55,026 | 36,913 |
Gross profit | 8,543 | 5,048 | 22,448 | 12,498 |
Operating expenses | 2,303 | 2,607 | 7,600 | 7,282 |
Selling, general and administrative expenses | 4,464 | 4,357 | 12,459 | 11,675 |
Depreciation and amortization expense | 295 | 329 | 925 | 947 |
Gain on disposal of assets | 311 | 10 | 309 | 23 |
Income (loss) from operations | 1,792 | (2,235) | 1,773 | (7,383) |
Other income (expense): | ||||
Gain on extinguishment of debt | 0 | 2,955 | 0 | 2,955 |
Interest income | 0 | 20 | 0 | 87 |
Other expense, net | (273) | (49) | (675) | (91) |
Interest expense | (36) | (82) | (134) | (170) |
Other income (expense), net | (309) | 2,844 | (809) | 2,781 |
Income (loss) before income taxes | 1,483 | 609 | 964 | (4,602) |
Benefit for income taxes | 0 | (30) | 0 | (53) |
Net income (loss) | $ 1,483 | $ 639 | $ 964 | $ (4,549) |
Income (loss) per share: | ||||
Basic (in dollars per share) | $ 0.11 | $ 0.05 | $ 0.07 | $ (0.36) |
Diluted (in dollars per share) | $ 0.11 | $ 0.05 | $ 0.07 | $ (0.36) |
Shares used in per share calculation: | ||||
Basic (in shares) | 13,638,162 | 12,543,727 | 13,302,410 | 12,485,719 |
Diluted (in shares) | 13,638,162 | 12,543,727 | 13,302,410 | 12,485,719 |
Product, Sales | Product [Member] | Product [Member] | Product [Member] | Product [Member] |
Basis of Presentation and Accounting Policies |
9 Months Ended |
---|---|
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Accounting Policies | Basis of Presentation and Accounting Policies Basis of presentation The consolidated financial statements include the accounts of ADDvantage Technologies Group, Inc. and its subsidiaries, all of which are wholly owned (collectively, the “Company”). Intercompany balances and transactions have been eliminated in consolidation. The Company’s reportable segments are Wireless Infrastructure Services (“Wireless”) and Telecommunications (“Telco”). The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial statements and do not include all the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. However, the information furnished reflects all adjustments, which are, in the opinion of management, necessary in order to make the unaudited consolidated financial statements not misleading. The Company’s business is subject to seasonal variations due to weather in the geographic areas where services are performed, as well as calendar events and national holidays. Therefore, the results of operations for the nine months ended September 30, 2022 and 2021, are not necessarily indicative of the results to be expected for the full fiscal year. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2021. Change in year end In September 2022, the Company's Board of Directors approved a change in the Company's fiscal year end from September 30 to December 31, effective for the fiscal year beginning January 1, 2022. As a result of the change in year end, the Company filed a Transition Report on Form 10-Q for the period from October 1, 2021 through December 31, 2021. The Company's fiscal year will run from January 1, 2022 through December 31, 2022. Recently Issued Accounting Standards In June 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-13: “Financial Instruments – Credit Losses (Topic 326) – Measurement of Credit Losses on Financial Instruments.” This ASU requires entities to measure all expected credit losses for most financial assets held at the reporting date based on an expected loss model which includes historical experience, current conditions, and reasonable and supportable forecasts. Upon adoption, entities will use forward-looking information to better form their credit loss estimates. This ASU also requires enhanced disclosures to help financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an entity’s portfolio. On November 15, 2019, the FASB delayed the effective date of the standard for companies that qualify under smaller reporting company reporting rules. As amended, the effective date of ASC Topic 326 was delayed until fiscal years beginning after December 15, 2022 for SEC filers that are eligible to be smaller reporting companies under the Securities and Exchange Commission definition. We are currently in the process of evaluating this new standard update, however we do not anticipate the adoption will have a material impact on our results.
|
Revenue Recognition |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue Recognition | Revenue Recognition The Company’s principal sales are from Wireless services, sales of Telco equipment and Telco recycled equipment, primarily in the United States. Sales to international customers totaled approximately $1.1 million and $1.7 million for the three months ended September 30, 2022 and 2021, respectively, and $4.6 million and $4.3 million for the nine months ended September 30, 2022 and 2021, respectively. The Company’s customers include wireless carriers, wireless equipment providers, multiple system operators, resellers and direct sales to end-user customers. Sales, which individually amounted to 10% or greater of the Company's revenue, to two customers totaled 30%, and to one customer totaled 20% of consolidated revenues for the nine months ended September 30, 2022 and 2021, respectively. Our sales by type were as follows, in thousands:
Contract assets and contract liabilities are included in unbilled revenue and deferred revenue, respectively, in the consolidated balance sheets. At September 30, 2022 and December 31, 2021, contract assets were $2.6 million and $2.2 million, respectively, and contract liabilities were $0.3 million and $0.2 million, respectively. The Company recognized $0.2 million of contract revenue during the nine months ended September 30, 2022 related to contract liabilities recorded in deferred revenue at December 31, 2021.
|
Accounts Receivable Agreements |
9 Months Ended |
---|---|
Sep. 30, 2022 | |
Receivables [Abstract] | |
Accounts Receivable Agreements | Accounts Receivable Agreements On March 17, 2022, the Company replaced its $3.0 million credit facility for its Nave and Triton subsidiaries with its primary financial lender with new accounts receivable purchase facilities with capacities of $12.5 million for Nave and $3.0 million for Triton. The lender charges a fee of 1.3% of sold receivables, and both facilities mature on March 17, 2023. On March 17, 2022, the Company also restructured its accounts receivable purchase facilities secured by the Company’s Fulton subsidiary’s receivables. Under the restructure, the credit capacity excluding a major customer is $1.0 million, with a fee of 1.6% of sold receivables. The credit capacity secured by receivables of a major customer is $2.5 million, with a fee of 1.5% of sold receivables. The facilities mature on December 17, 2022. For all four facilities, the lender advances the Company 90% of sold receivables and establishes a reserve of 10% of the sold receivables at initial sale, which increases to 100% over time after 120 days, until the Company collects the sold receivables. The Company has a total capacity under all four facilities of $19.0 million, which has been reallocated between the facilities to accommodate current needs. As of September 30, 2022, the lender has a reserve against the sold receivables of $1.8 million, which is reflected as restricted cash on the consolidated balance sheets. The facilities agreements address events and conditions which may obligate the Company to immediately repay the institution the outstanding purchase price of the receivables sold. The total amount of receivables uncollected by the institution was $11.0 million at September 30, 2022 for which there is a limit of $19.0 million. Although the sale of receivables is with recourse, the Company did not record a recourse obligation at September 30, 2022 as the Company concluded that the sold receivables are collectible. For the nine months ended September 30, 2022 and 2021, the Company received proceeds from the sold receivables from all of the facilities of $59.8 million and $13.3 million, respectively, and included the proceeds in net cash provided by or used in operating activities in the consolidated statements of cash flows. The Company recorded costs of $0.8 million and $0.1 million for the nine months ended September 30, 2022 and 2021, respectively, in other expense in the consolidated statements of operations.
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Inventories |
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Inventory Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventories | InventoriesInventories, which are all within the Telco segment, at September 30, 2022 and December 31, 2021 are as follows, in thousands:
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Intangible Assets |
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Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intangible Assets | Intangible Assets The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the asset’s carrying amount may not be recoverable. The Company groups assets and liabilities at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets and liabilities and evaluate the asset group against the sum of the undiscounted future cash flows. If the undiscounted future cash flows do not indicate the carrying amount of the asset is recoverable, an impairment charge is measured as the amount by which the carrying amount of the asset group exceeds its fair value based on discounted cash flow analysis or appraisals. Intangible assets with their associated accumulated amortization at September 30, 2022 and December 31, 2021 are as follows, in thousands:
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Debt |
9 Months Ended |
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Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Debt Credit Agreement On March 17, 2022, the Company closed its $3.0 million credit facility for its Nave and Triton subsidiaries with its primary financial lender. See Note 3 - Accounts Receivable Agreements for more information about the Company's receivables purchase facilities.
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Equity Distribution Agreement and Sale of Common Stock |
9 Months Ended |
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Sep. 30, 2022 | |
Equity [Abstract] | |
Equity Distribution Agreement and Sale of Common Stock | Equity Distribution Agreement and Sale of Common Stock On April 24, 2020, the Company entered into an Equity Distribution Agreement with Northland Securities, Inc., as agent (“Northland”), pursuant to which the Company may offer and sell, from time to time, through Northland, shares of the Company’s common stock, par value 0.01 per share, having an aggregate offering price of up to $13.9 million ("Shares"). The offer and sale of the Shares will be made pursuant to a shelf registration statement on Form S-3 and the related prospectus filed by the Company with the Securities and Exchange Commission (the “SEC”) on March 3, 2020, as amended on March 23, 2020, and declared effective by the SEC on April 1, 2020. Pursuant to the Sales Agreement, Northland may sell the Shares by any method permitted by law deemed to be an “at the market offering” as defined in Rule 415 of the Securities Act of 1933 (the “Securities Act”), including sales made by means of ordinary brokers’ transactions, including on The Nasdaq Global Market, at market prices or as otherwise agreed with Northland. Northland will use commercially reasonable efforts consistent with its normal trading and sales practices to sell the Shares from time to time, based upon instructions from the Company, including any price or size limits or other customary parameters or conditions the Company may impose. The Sales Agreement may be terminated without prior notice at any time prior to the fulfillment if additional sales are deemed not warranted. The Company will pay Northland a commission rate equal to an aggregate of 3.0% of the aggregate gross proceeds from each sale of Shares and have agreed to provide Northland with customary indemnification and contribution rights. The Company will also reimburse Northland for certain specified expenses in connection with entering into the Sales Agreement. The Sales Agreement contains customary representations and warranties and conditions to the placements of the Shares pursuant thereto.During the nine months ended September 30, 2022, 892,181 shares were sold by Northland on behalf of the Company with gross proceeds of $1.7 million, and net proceeds after commissions and fees of $1.6 million.
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Earnings per Share |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | Earnings Per Share Basic and diluted earnings per share for the three and nine months ended September 30, 2022 and 2021 are (in thousands, except per share amounts):
The table below includes information related to stock options that were outstanding at the end of each respective three and nine month period ended September 30, but have been excluded from the computation of weighted-average stock options for dilutive securities because their effect would be anti-dilutive.
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Supplemental Cash Flow Information |
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Supplemental Cash Flow Elements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Supplemental Cash Flow Information | Supplemental Cash Flow Information
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Stock-Based Compensation |
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Share-Based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-Based Compensation | Stock-Based Compensation Plan Information The 2015 Incentive Stock Plan (the “Plan”) provides for awards of stock options and restricted stock to officers, directors, key employees and consultants. In September 2022, at the Company's annual meeting of shareholders, the shareholders authorized an additional 1,000,000 shares of common stock be added to the Plan. At September 30, 2022, 3,100,415 shares of common stock were reserved for stock award grants under the Plan. Of these reserved shares, 1,160,695 shares were available for future grants. Stock Options As of December 31, 2021, there were 50,000 stock options with a weighted average exercise price of $1.28 per share and an aggregate intrinsic value of $22 thousand outstanding under the Plan. There were 50,000 stock options exercised during the nine months ended September 30, 2022. As of September 30, 2022, no stock options remained outstanding. Restricted stock awards A summary of the Company's non-vested restricted share awards at September 30, 2022 and changes during the quarter ended September 30, 2022 is presented in the following table (in thousands, except shares):
During the three month period ended September 30, 2022 and 2021, expenses related to share-based arrangements including restricted stock and stock option awards, were $0.1 million and $0.2 million, respectively. During the nine month period ended September 30, 2022 and 2021, compensation expenses related to share-based arrangements including restricted stock and stock option awards, were $0.5 million and $0.7 million respectively. The Company did not recognize a tax benefit for compensation expense recognized during the three and nine month period ended September 30, 2022 and 2021. At September 30, 2022, unrecognized compensation expense related to non-vested stock-based compensation awards not yet recognized in the consolidated statements of operations was $0.4 million. That cost is expected to be recognized over a period of 2.75 years.
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Leases |
9 Months Ended |
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Sep. 30, 2022 | |
Leases [Abstract] | |
Leases | Leases Our Wireless segment has an operating lease for a building in Fridley, Minnesota for Fulton Technologies, Inc. As a result of closing down and vacating Fulton Technologies, Inc.’s Minnesota office in May 2019, a third-party telecom company began subleasing this building in June 2019. The lease term expired on December 31, 2021. Our Telco segment has an operating lease for a building in Jessup, Maryland for Nave Communications. As a result of moving Nave’s operations to Palco Telecom, a third-party logistics provider in Huntsville, Alabama, in fiscal year 2020, Nave completely vacated the building in May 2020 and has subleased the building through the end of the lease period. Rental payments received related to these subleases were recorded as a reduction to rent expense in our consolidated statements of operations for the three and nine month periods ending September 30, 2022 and 2021.
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Segment Reporting |
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Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting | Segment Reporting The Company is reporting its financial performance based on its external reporting segments: Wireless Infrastructure Services and Telecommunications. These reportable segments are described below. Wireless Infrastructure Services (“Wireless”) The Company's Wireless segment provides turn-key wireless infrastructure services for the four major U.S. wireless carriers, communication tower companies, national integrators, and original equipment manufacturers that support these wireless carriers. These services primarily consist of the installation and upgrade of technology on cell sites and the construction of new small cells for 5G. Telecommunications (“Telco”) The Company’s Telco segment sells new and refurbished telecommunications networking equipment, including both central office and customer premise equipment, to its customer base of telecommunications providers, enterprise customers and resellers located primarily in North America. This segment also offers its customers repair and testing services for telecommunications networking equipment. The Company evaluates performance and allocates its resources based on operating income. The accounting policies of its reportable segments are the same as those described in the summary of significant accounting policies. Segment assets consist primarily of cash and cash equivalents, accounts receivable, inventory, property and equipment, goodwill and intangible assets. The Company allocates its corporate general and administrative expenses to the reportable segments.
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Basis of Presentation and Accounting Policies (Policies) |
9 Months Ended |
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Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of presentation | Basis of presentation The consolidated financial statements include the accounts of ADDvantage Technologies Group, Inc. and its subsidiaries, all of which are wholly owned (collectively, the “Company”). Intercompany balances and transactions have been eliminated in consolidation. The Company’s reportable segments are Wireless Infrastructure Services (“Wireless”) and Telecommunications (“Telco”). The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial statements and do not include all the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. However, the information furnished reflects all adjustments, which are, in the opinion of management, necessary in order to make the unaudited consolidated financial statements not misleading. The Company’s business is subject to seasonal variations due to weather in the geographic areas where services are performed, as well as calendar events and national holidays. Therefore, the results of operations for the nine months ended September 30, 2022 and 2021, are not necessarily indicative of the results to be expected for the full fiscal year. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2021.
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Recently Issued Accounting Standards | Recently Issued Accounting Standards In June 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-13: “Financial Instruments – Credit Losses (Topic 326) – Measurement of Credit Losses on Financial Instruments.” This ASU requires entities to measure all expected credit losses for most financial assets held at the reporting date based on an expected loss model which includes historical experience, current conditions, and reasonable and supportable forecasts. Upon adoption, entities will use forward-looking information to better form their credit loss estimates. This ASU also requires enhanced disclosures to help financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an entity’s portfolio. On November 15, 2019, the FASB delayed the effective date of the standard for companies that qualify under smaller reporting company reporting rules. As amended, the effective date of ASC Topic 326 was delayed until fiscal years beginning after December 15, 2022 for SEC filers that are eligible to be smaller reporting companies under the Securities and Exchange Commission definition. We are currently in the process of evaluating this new standard update, however we do not anticipate the adoption will have a material impact on our results.
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Change in year end | Change in year end In September 2022, the Company's Board of Directors approved a change in the Company's fiscal year end from September 30 to December 31, effective for the fiscal year beginning January 1, 2022. As a result of the change in year end, the Company filed a Transition Report on Form 10-Q for the period from October 1, 2021 through December 31, 2021. The Company's fiscal year will run from January 1, 2022 through December 31, 2022.
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Revenue Recognition (Tables) |
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Disaggregation of Revenue | Our sales by type were as follows, in thousands:
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Inventories (Tables) |
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Inventory Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Inventories | Inventories, which are all within the Telco segment, at September 30, 2022 and December 31, 2021 are as follows, in thousands:
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Intangible Assets (Tables) |
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Schedule of Intangible Assets and Goodwill | Intangible assets with their associated accumulated amortization at September 30, 2022 and December 31, 2021 are as follows, in thousands:
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Earnings Per Share (Tables) |
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted | Basic and diluted earnings per share for the three and nine months ended September 30, 2022 and 2021 are (in thousands, except per share amounts):
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Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The table below includes information related to stock options that were outstanding at the end of each respective three and nine month period ended September 30, but have been excluded from the computation of weighted-average stock options for dilutive securities because their effect would be anti-dilutive.
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Supplemental Cash Flow Information (Tables) |
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Supplemental Cash Flow Elements [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Cash Flow, Supplemental Disclosures |
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Stock-Based Compensation (Tables) |
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Sep. 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-Based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Disclosure of Share-based Compensation Arrangements by Share-based Payment Award | A summary of the Company's non-vested restricted share awards at September 30, 2022 and changes during the quarter ended September 30, 2022 is presented in the following table (in thousands, except shares):
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Segment Reporting (Tables) |
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Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Segment Reporting Information, by Segment | The Company evaluates performance and allocates its resources based on operating income. The accounting policies of its reportable segments are the same as those described in the summary of significant accounting policies. Segment assets consist primarily of cash and cash equivalents, accounts receivable, inventory, property and equipment, goodwill and intangible assets. The Company allocates its corporate general and administrative expenses to the reportable segments.
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Revenue Recognition - Additional Information (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
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Disaggregation of Revenue [Line Items] | |||||
Total sales | $ 25,926 | $ 19,727 | $ 77,474 | $ 49,411 | |
Contract assets | 2,578 | 2,578 | $ 2,219 | ||
Contract liabilities | 287 | 287 | $ 207 | ||
Contract liabilities, revenue recognized | $ 200 | ||||
Customer Concentration Risk | Revenue Benchmark | Two Customers | |||||
Disaggregation of Revenue [Line Items] | |||||
Concentration risk, percentage | 30.00% | ||||
Customer Concentration Risk | Revenue Benchmark | One Customer | |||||
Disaggregation of Revenue [Line Items] | |||||
Concentration risk, percentage | 20.00% | ||||
Non-US | |||||
Disaggregation of Revenue [Line Items] | |||||
Total sales | $ 1,100 | $ 1,700 | $ 4,600 | $ 4,300 |
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
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Disaggregation of Revenue [Line Items] | ||||
Total sales | $ 25,926 | $ 19,727 | $ 77,474 | $ 49,411 |
Wireless services sales | ||||
Disaggregation of Revenue [Line Items] | ||||
Total sales | 7,898 | 6,992 | 22,907 | 15,462 |
Telco equipment | ||||
Disaggregation of Revenue [Line Items] | ||||
Total sales | 18,028 | 12,272 | 54,363 | 33,287 |
Telco repair | ||||
Disaggregation of Revenue [Line Items] | ||||
Total sales | 0 | 13 | 12 | 21 |
Telco recycle | ||||
Disaggregation of Revenue [Line Items] | ||||
Total sales | $ 0 | $ 450 | $ 192 | $ 641 |
Inventories - Schedule of Inventory (Details) - USD ($) $ in Thousands |
Sep. 30, 2022 |
Dec. 31, 2021 |
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Inventory [Line Items] | ||
Allowance for excess and obsolete inventory | $ (3,831) | $ (3,567) |
Total inventories, net | 8,665 | 5,653 |
New equipment | ||
Inventory [Line Items] | ||
Inventory, gross | 2,192 | 1,396 |
Refurbished and used equipment | ||
Inventory [Line Items] | ||
Inventory, gross | $ 10,304 | $ 7,824 |
Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands |
9 Months Ended | 12 Months Ended |
---|---|---|
Sep. 30, 2022 |
Dec. 31, 2021 |
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Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 5,277 | $ 5,277 |
Accumulated Amortization | (4,489) | (4,250) |
Net | 788 | 1,027 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 3,155 | 3,155 |
Accumulated Amortization | (2,886) | (2,807) |
Net | $ 269 | $ 348 |
Useful life | 10 years | 10 years |
Trade name | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 2,122 | $ 2,122 |
Accumulated Amortization | (1,603) | (1,443) |
Net | $ 519 | $ 679 |
Useful life | 10 years | 10 years |
Debt (Details) - USD ($) |
Sep. 30, 2022 |
Mar. 17, 2022 |
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Debt Disclosure [Abstract] | ||
Line of credit, maximum borrowing capacity | $ 19,000,000 | $ 3,000,000 |
Equity Distribution Agreement and Sale of Common Stock (Details) - USD ($) $ / shares in Units, $ in Thousands |
9 Months Ended | |||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
Apr. 24, 2020 |
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Subsidiary, Sale of Stock [Line Items] | ||||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | ||
Proceeds from issuance of common stock gross | $ 1,700 | |||
Proceeds from sale of common stock, gross | $ 1,627 | $ 21 | ||
Sales Agreement With Northland | ||||
Subsidiary, Sale of Stock [Line Items] | ||||
Common stock, par value (in dollars per share) | $ 0.01 | |||
Maximum aggregate offering price | $ 13,900 | |||
Commission rate | 3.00% | |||
Common stock issuance (in shares) | 892,181 |
Earnings Per Share - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 9 Months Ended | ||||||
---|---|---|---|---|---|---|---|---|
Sep. 30, 2022 |
Jun. 30, 2022 |
Mar. 31, 2022 |
Sep. 30, 2021 |
Jun. 30, 2021 |
Mar. 31, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
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Earnings Per Share [Abstract] | ||||||||
Net income (loss) attributable to common shareholders | $ 1,483 | $ 875 | $ (1,394) | $ 639 | $ (2,124) | $ (3,064) | $ 964 | $ (4,549) |
Basic weighted average shares (in shares) | 13,638,162 | 12,543,727 | 13,302,410 | 12,485,719 | ||||
Diluted weighted average shares (in shares) | 13,638,162 | 12,543,727 | 13,302,410 | 12,485,719 | ||||
Basic income (loss) per common share (in dollars per share) | $ 0.11 | $ 0.05 | $ 0.07 | $ (0.36) | ||||
Diluted income (loss) per common share (in dollars per share) | $ 0.11 | $ 0.05 | $ 0.07 | $ (0.36) |
Earnings Per Share - Anti-dilutive Securities (Details) - $ / shares |
3 Months Ended | 9 Months Ended | ||
---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
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Earnings Per Share [Abstract] | ||||
Stock options excluded (in shares) | 0 | 50,000 | 0 | 50,000 |
Weighted average exercise price of stock options (in dollars per share) | $ 1.28 | $ 1.28 | ||
Average market price of common stock (in dollars per share) | $ 2.45 | $ 2.58 |
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands |
9 Months Ended | |
---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
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Supplemental cash flow information: | ||
Cash paid for interest | $ 134 | $ 214 |
Supplemental noncash investing and financing activities: | ||
Assets acquired under financing leases | $ 273 | $ 1,589 |
Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 9 Months Ended | |||
---|---|---|---|---|---|
Sep. 30, 2022 |
Sep. 30, 2021 |
Sep. 30, 2022 |
Sep. 30, 2021 |
Dec. 31, 2021 |
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Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock options outstanding (in shares) | 50,000 | 50,000 | 50,000 | ||
Weighted average exercise price (in dollars per share) | $ 1.28 | ||||
Options outstanding, intrinsic value | $ 22 | ||||
Compensation expense | $ 100 | $ 200 | $ 500 | $ 700 | |
Compensation cost, not yet recognized | $ 400 | $ 400 | |||
Recognized over a period | 2 years 9 months | ||||
The 2015 Incentive Stock Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Additional shareholders authorized (in shares) | 1,000,000 | ||||
Common stock, capital shares reserved for future issuance (in shares) | 3,100,415 | 3,100,415 | |||
Number of shares available for grant (in shares) | 1,160,695 | 1,160,695 |
Stock-Based Compensation - Schedule of Non-vested Restricted Share Awards (Details) $ in Thousands |
3 Months Ended |
---|---|
Sep. 30, 2022
USD ($)
shares
| |
Shares | |
Non-vested, beginning balance (in shares) | shares | 531,787 |
Granted (in shares) | shares | 108,000 |
Vested (in shares) | shares | (107,190) |
Forfeited (in shares) | shares | 0 |
Non-vested, ending balance (in shares) | shares | 532,597 |
Fair Value | |
Non-vested, beginning balance | $ | $ 1,228 |
Granted | $ | 146 |
Vested | $ | (269) |
Forfeited | $ | 0 |
Non-vested, ending balance | $ | $ 1,105 |
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