Three Months Ended
|
Three Months Ended
|
|||||||
30-Sep-09
|
30-Sep-08
|
|||||||
GAAP
Net Income (Loss)
|
$
|
-2,287
|
$
|
853
|
||||
Adjustments:
|
||||||||
Expense
- non-cash employee compensation
|
1,176
|
1,713
|
||||||
Expense
- depreciation
|
7
|
9
|
||||||
Adjusted
Net Income (Loss)
|
$
|
-1,104
|
$
|
2,575
|
September 30,
|
December 31,
|
|||||||
2009
|
2008
|
|||||||
(Unaudited)
|
||||||||
ASSETS
|
||||||||
Current
Assets
|
||||||||
Cash
and cash equivalents
|
$ | 3,872,046 | $ | 5,580,244 | ||||
Restricted
cash
|
651,409 | 650,000 | ||||||
Accounts
receivable - project revenue and reimbursable project
costs
|
2,070,121 | 5,357,804 | ||||||
Prepaid
expenses & other current assets
|
865,283 | 394,315 | ||||||
Total
Current Assets
|
7,458,859 | 11,982,363 | ||||||
Property
Plant and Equipment -net
|
101,139 | 108,121 | ||||||
Other
Assets
|
||||||||
Patent
costs
|
241,845 | 217,875 | ||||||
Security
deposits
|
125,548 | 138,418 | ||||||
Total
Other Assets
|
367,393 | 356,293 | ||||||
Total
Assets
|
$ | 7,927,391 | $ | 12,446,777 | ||||
LIABILITIES
AND STOCKHOLDERS EQUITY
|
||||||||
Current
Liabilities
|
||||||||
Accounts
payable and accrued liabilities
|
$ | 2,081,323 | $ | 5,138,979 | ||||
Total
Liabilities
|
2,081,323 | 5,138,979 | ||||||
Commitments
and contingencies
|
||||||||
Stockholders'
Equity
|
||||||||
Preferred
stock, $0.001 par value, 50,000,000 authorized shares, no shares issued
and outstanding
|
- | - | ||||||
Common
stock, $0.001par value, 500,000,000 authorized, 10,154,168 shares issued
and outstanding at September 30, 2009 and 10,049,769 shares (restated for
reverse stock split of 1 to 30) issued and outstanding at December 31,
2008
|
10,154 | 10,050 | ||||||
Additional
paid in capital - stock and stock equivalents
|
52,996,913 | 48,898,894 | ||||||
Accumulated
Deficit
|
(46,646,308 | ) | (41,489,974 | ) | ||||
Common
stock reserved for issuance, 3,869 shares and 16,135 shares (restated for
reverse stock split of 1 to 30) at September 30, 2009 and December 31,
2008, respectively
|
34,250 | 114,787 | ||||||
Deferred
stock compensation
|
(548,941 | ) | (225,959 | ) | ||||
Total
Stockholders' Equity
|
5,846,068 | 7,307,798 | ||||||
Total
Liabilities and Stockholders' Equity
|
$ | 7,927,391 | $ | 12,446,777 |
Three Months Ended
|
Nine Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
2009
|
2008
|
2009
|
2008
|
|||||||||||||
Revenue:
|
||||||||||||||||
Consulting
Revenue
|
$ | 2,009,548 | $ | 6,746,500 | $ | 8,384,086 | $ | 14,863,125 | ||||||||
Cost
of Consulting Services Provided
|
1,289,552 | 1,862,309 | 4,926,916 | 5,246,875 | ||||||||||||
Gross
Margin
|
719,996 | 4,884,191 | 3,457,170 | 9,616,250 | ||||||||||||
Operating
Expenses
|
||||||||||||||||
General
and administrative
|
1,550,994 | 2,478,894 | 3,624,462 | 5,595,881 | ||||||||||||
Research
and development expenses
|
325,044 | 211,779 | 1,337,961 | 497,228 | ||||||||||||
General
and administrative - stock-based compensation
|
1,135,171 | 1,384,828 | 3,666,964 | 4,172,007 | ||||||||||||
Total
Operating Expenses
|
3,011,209 | 4,075,501 | 8,629,387 | 10,265,116 | ||||||||||||
Operating
income ( loss)
|
(2,291,213 | ) | 808,690 | (5,172,217 | ) | (648,866 | ) | |||||||||
Other
Income and (Expenses)
|
||||||||||||||||
Realized
loss on marketable securities
|
0 | 0 | 0 | (438,750 | ) | |||||||||||
Interest
income
|
5,197 | 19,113 | 21,717 | 162,293 | ||||||||||||
Foreign
currency transaction loss
|
(907 | ) | 0 | (5,834 | ) | 0 | ||||||||||
Total
Other Income and Expenses
|
4,290 | 19,113 | 15,883 | (276,457 | ) | |||||||||||
Net
income ( loss) before income taxes
|
(2,286,923 | ) | 827,803 | (5,156,334 | ) | (925,323 | ) | |||||||||
Income
taxes
|
0 | (24,799 | ) | 0 | 7,140 | |||||||||||
Net
income ( loss)
|
(2,286,923 | ) | 852,602 | (5,156,334 | ) | (932,463 | ) | |||||||||
Other
Comprehensive Income (Loss)
|
||||||||||||||||
Unrealized
gain on marketable securities
|
0 | 437,234 | 0 | 433,719 | ||||||||||||
Total
Comprehensive Income (Loss)
|
$ | (2,286,923 | ) | $ | 1,289,836 | $ | (5,156,334 | ) | $ | (498,744 | ) | |||||
Net
Income(Loss) Per Common Share, Basic and diluted
|
$ | (0.23 | ) | $ | 0.09 | $ | (0.51 | ) | $ | (0.09 | ) | |||||
Weighted
Average Number of shares outstanding for the period used to compute per
share data - (prior reporting periods restated to reflect 1 to 30 reverse
stock split)
|
10,140,767 | 9,987,178 | 10,085,913 | 10,013,543 |
Nine months ended
|
||||||||
September 30,
|
||||||||
2009
|
2008
|
|||||||
Operating
Activities:
|
||||||||
Net
Loss
|
$ | (5,156,334 | ) | $ | (932,463 | ) | ||
Adjustments
to reconcile net loss from operations to net cash used in operating
activities:
|
||||||||
Stock-based
compensation
|
3,694,604 | 4,500,411 | ||||||
Depreciation
and amortization
|
20,084 | 11,593 | ||||||
Loss
on marketable securities - available for sale
|
0 | 433,719 | ||||||
Changes
in non-cash operating working capital items:
|
||||||||
Accounts
receivable - fees and reimburseable project costs
|
3,287,683 | (759,929 | ) | |||||
Prepaid
expenses and other current assets
|
(470,968 | ) | 88,449 | |||||
Security
deposits
|
12,870 | (138,418 | ) | |||||
Accounts
payable, accrued liabilities and other current liabilities
|
(3,057,656 | ) | (319,406 | ) | ||||
Deferred
revenue
|
0 | (523,125 | ) | |||||
Deferred
project costs - net
|
0 | 371,631 | ||||||
Net
Cash Provided By (Used In) Operating Activities
|
(1,669,717 | ) | 2,732,462 | |||||
Investing
Activities:
|
||||||||
Property
and equipment
|
(13,102 | ) | (192,198 | ) | ||||
Patent
costs
|
(23,970 | ) | 0 | |||||
Net
Cash Used In Investing Activities
|
(37,072 | ) | (192,198 | ) | ||||
Financing
Activities:
|
||||||||
Proceeds
from issue of common shares
|
0 | 49,975 | ||||||
Payments
on notes payable and other
|
0 | (10,433 | ) | |||||
Increase
in restricted cash
|
(1,409 | ) | 0 | |||||
Net
Cash Provided by (Used In) Financing Activities
|
(1,409 | ) | 39,542 | |||||
Net
Increase (Decrease) In Cash and Cash Equivalents
|
(1,708,198 | ) | 2,579,806 | |||||
Cash
and Cash Equivalents, Beginning of Period
|
5,580,244 | 9,907,691 | ||||||
Reclassification
of cash equivalents to marketable securities - available for
sale
|
0 | (2,127,429 | ) | |||||
Cash
and Cash Equivalents, End of Period
|
$ | 3,872,046 | $ | 10,360,068 | ||||
Supplemental
Disclosure of Cash Flow Information
|
||||||||
Cash
paid during the year:
|
||||||||
Interest
paid
|
$ | 0 | $ | 40 | ||||
Income
taxes paid
|
$ | 266,000 | $ | 31,939 |