Quarterly report pursuant to Section 13 or 15(d)

BASIS OF PRESENTATION (Details 2)

v3.21.2
BASIS OF PRESENTATION (Details 2) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Mar. 31, 2020
Jun. 30, 2019
Mar. 31, 2019
Jun. 30, 2020
Jun. 30, 2019
Error Corrections And Prior Period Adjustments Restatement [Line Items]            
REVENUES, NET $ 4,360,000   $ 5,493,000   $ 11,314,000 $ 10,200,000
COST OF GOODS SOLD 446,000   264,000   924,000 523,000
GROSS PROFIT 3,914,000   5,229,000   10,390,000 9,677,000
OPERATING EXPENSES            
Research and development 589,000   540,000   1,206,000 1,053,000
Selling 1,135,000   1,891,000   2,203,000 3,370,000
General and administrative 3,725,000   2,682,000   7,382,000 6,419,000
Total operating expenses 5,449,000   5,113,000   10,791,000 10,842,000
INCOME (LOSS) FROM OPERATIONS (1,535,000)   116,000   (401,000) (1,165,000)
OTHER INCOME (EXPENSE)            
Change in fair value of warrant derivative liabilities (101,000)   854,000   (76,000) (84,000)
Net losses on investment in marketable securities and long-term investment (5,631,000)   (10,537,000)   1,208,000 (16,994,000)
Losses on equity method investment (573,000)   (458,000)   (980,000) (449,000)
Interest and other income (loss) 567,000   307,000   600,000 230,000
Interest expense (1,309,000)   (7,827,000)   (3,109,000) (16,439,000)
Total other expenses (8,437,000)   (17,661,000)   (3,776,000) (33,736,000)
LOSS BEFORE INCOME TAXES (9,972,000)   (17,545,000)   (4,177,000) (34,901,000)
INCOME TAXES (BENEFIT) (499,000)   51,000   (213,000) 103,000
NET LOSS (9,473,000) $ 5,509,000 (17,596,000) $ (17,408,000) (3,964,000) (35,004,000)
NET LOSS ATTRIBUTABLE TO THE COMPANY     (17,596,000)     (35,004,000)
COMPONENTS OF OTHER COMPREHENSIVE INCOME (LOSS)            
Foreign currency translation adjustments (33,000) $ 61,000 6,000 $ 7,000 28,000 13,000
Other comprehensive income (loss) (33,000)   6,000   28,000 13,000
COMPREHENSIVE INCOME (LOSS)     (17,590,000)     (34,991,000)
Amounts attributable to noncontrolling interest:            
COMPREHENSIVE LOSS $ (9,506,000)   $ (17,590,000)   $ (3,936,000) $ (34,991,000)
NET LOSS PER COMMON SHARE - BASIC AND DILUTED $ (0.19)   $ (0.47)   $ (0.08) $ (0.93)
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING 48,987,189   37,836,678   48,805,829 37,656,058
Previously Reported [Member]            
Error Corrections And Prior Period Adjustments Restatement [Line Items]            
REVENUES, NET     $ 5,869,000     $ 11,176,000
COST OF GOODS SOLD     195,000     395,000
GROSS PROFIT     5,674,000     10,781,000
OPERATING EXPENSES            
Research and development     540,000     1,053,000
Selling     1,903,000     3,388,000
General and administrative     3,851,000     7,532,000
Total operating expenses     6,294,000     11,973,000
INCOME (LOSS) FROM OPERATIONS     (620,000)     (1,192,000)
OTHER INCOME (EXPENSE)            
Change in fair value of warrant derivative liabilities     247,000     199,000
Net losses on investment in marketable securities and long-term investment     (10,537,000)     (16,994,000)
Interest and other income (loss)     274,000     163,000
Interest expense     (8,474,000)     (15,439,000)
Total other expenses     (18,490,000)     (32,071,000)
LOSS BEFORE INCOME TAXES     (19,110,000)     (33,263,000)
INCOME TAXES (BENEFIT)     217,000     217,000
NET LOSS     (19,327,000)     (33,480,000)
Net (income) loss attributable to noncontrolling interests     688,000     674,000
NET LOSS ATTRIBUTABLE TO THE COMPANY     (18,639,000)     (32,806,000)
COMPONENTS OF OTHER COMPREHENSIVE INCOME (LOSS)            
Foreign currency translation adjustments     (9,000)     (2,000)
Other comprehensive income (loss)     (9,000)     (2,000)
COMPREHENSIVE INCOME (LOSS)     (19,336,000)     (33,482,000)
Amounts attributable to noncontrolling interest:            
Net (income) loss attributable to noncontrolling interests     688,000     674,000
Foreign currency translation adjustments     15,000     14,000
Comprehensive (income) loss attributable to noncontrolling interest     703,000     688,000
COMPREHENSIVE LOSS     $ (18,633,000)     $ (32,794,000)
NET LOSS PER COMMON SHARE - BASIC AND DILUTED     $ (0.52)     $ (0.91)
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING     35,857,944     35,857,944
Adjustments [Member]            
Error Corrections And Prior Period Adjustments Restatement [Line Items]            
REVENUES, NET [1]     $ (376,000)     $ (976,000)
COST OF GOODS SOLD [1]     69,000     128,000
GROSS PROFIT     (445,000)     (1,104,000)
OPERATING EXPENSES            
Selling [1]     (12,000)     (18,000)
General and administrative [1],[2]     (1,169,000)     (1,113,000)
Total operating expenses     (1,181,000)     (1,131,000)
INCOME (LOSS) FROM OPERATIONS     736,000     27,000
OTHER INCOME (EXPENSE)            
Change in fair value of warrant derivative liabilities [3]     607,000     (283,000)
Losses on equity method investment [2]     (458,000)     (449,000)
Interest and other income (loss) [1],[2]     33,000     67,000
Interest expense [1],[3]     647,000     (1,000,000)
Total other expenses     829,000     (1,665,000)
LOSS BEFORE INCOME TAXES     1,565,000     (1,638,000)
INCOME TAXES (BENEFIT) [1]     (166,000)     (114,000)
NET LOSS     1,731,000     (1,524,000)
Net (income) loss attributable to noncontrolling interests [2]     (688,000)     (674,000)
NET LOSS ATTRIBUTABLE TO THE COMPANY     1,043,000     (2,198,000)
COMPONENTS OF OTHER COMPREHENSIVE INCOME (LOSS)            
Foreign currency translation adjustments [2]     15,000     15,000
Other comprehensive income (loss)     15,000     15,000
COMPREHENSIVE INCOME (LOSS)     1,746,000     (1,509,000)
Amounts attributable to noncontrolling interest:            
Net (income) loss attributable to noncontrolling interests [2]     (688,000)     (674,000)
Foreign currency translation adjustments [2]     (15,000)     (14,000)
Comprehensive (income) loss attributable to noncontrolling interest     (703,000)     (688,000)
COMPREHENSIVE LOSS     $ 1,043,000     $ (2,197,000)
NET LOSS PER COMMON SHARE - BASIC AND DILUTED     $ 0.05     $ (0.01)
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING     37,836,678     37,656,058
[1] Corrections of other misstatement: period adjustment of variable consideration resulted in a decrease of $376,000 in revenues, net; and reclassification of shipping cost and royalty expense to cost of sales resulted in an increase of $69,000 in cost of sales and decreases of $12,000 and $58,000 in selling expense and general and administrative expense, respectively. Corrections of other misstatement for the six months ended June 30, 2019: period adjustment of variable consideration resulted in a decrease of $976,000 in revenues, net; reclassification of shipping cost and royalty expense to cost of sales resulted in an increase of $128,000 in cost of sales and decreases of $18,000 and $110,000 in selling expense and general and administrative expense, respectively; correction of stock modification accounting resulted in a decrease of $52,000 in general and administrative expense; correction of accounting treatment for convertible notes resulted in an increase of $1.3 million in interest expense; and correction of income tax provision resulted in an decrease of $113,000 in income tax provision.
[2] EJ Holdings adjustments: the correction of this misstatement resulted in increases of $33,000 in interest income and $15,000 in foreign currency translation adjustments and decreases of $1.1million in general and administrative expenses, $458,000 in loss on equity method investment, and $688,000 in net loss attributable to noncontrolling interest for three months ended June 30, 2019.  The correction of this misstatement resulted in increases of $67,000 in interest income and $14,000 in foreign currency translation adjustments and decreases of $1.1million in general and administrative expense, $449,000 in loss on equity method investment, and $674,000 in net loss attributable to noncontrolling interest for six months ended June 30, 2019.
[3] Warrant adjustments: the correction of this misstatement resulted in increases of $647,000 in interest expense and $607,000 in change in fair value of warrant derivative liabilities for the three months ended June 2019. The correction of this misstatement resulted in an increase of $335,000 in interest expense and a decrease of $283,000 in change in fair value of warrant derivative liabilities for six months ended June 30, 2019.