Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2020 | May 08, 2020 | |
Document Information [Line Items] | ||
Entity Registrant Name | NOVATION COMPANIES, INC. | |
Entity Central Index Key | 0001025953 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Emerging Growth Company | false | |
Entity Small Business | true | |
Entity Interactive Data Current | Yes | |
Entity Common Stock, Shares Outstanding (in shares) | 114,655,893 | |
Entity Shell Company | false | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 1,589 | $ 2,032 |
Accounts and unbilled receivables | 6,364 | 6,583 |
Prepaid expenses | 692 | 647 |
Other | 15 | 21 |
Total current assets | 8,660 | 9,283 |
Non-current assets: | ||
Goodwill | 3,905 | 3,905 |
Intangible assets, net | 5,485 | 5,784 |
Property and equipment, net | 103 | 125 |
Operating lease right-of-use asset | 266 | 316 |
Other | 5 | 4 |
Total non-current assets | 9,764 | 10,134 |
Total assets | 18,424 | 19,417 |
Current liabilities: | ||
Accounts payable and accrued expenses | 465 | 524 |
Accrued compensation and benefits payable | 2,359 | 2,717 |
Health and wellness program liability | 492 | 492 |
Operating lease liability | 190 | 205 |
Accrued claim settlements | 246 | 246 |
Other | 46 | 36 |
Total current liabilities | 3,798 | 4,220 |
Non-current liabilities: | ||
Senior notes, including debt premium | 87,631 | 86,824 |
Accrued claim settlements | 246 | 307 |
Operating lease liability | 88 | 125 |
Total non-current liabilities | 87,965 | 87,256 |
Total liabilities | 91,763 | 91,476 |
Shareholders' deficit: | ||
Common stock, $.01 par value per share, 780,000,000 shares authorized: 114,655,893 and 112,355,893 and shares issued and outstanding as of March 31, 2020 and December 31, 2019 respectively | 1,146 | 1,123 |
Additional paid-in capital | 746,123 | 746,112 |
Accumulated deficit | (820,608) | (819,294) |
Total shareholders' deficit | (73,339) | (72,059) |
Total liabilities and shareholders' deficit | $ 18,424 | $ 19,417 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares | Mar. 31, 2020 | Dec. 31, 2019 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 780,000,000 | 780,000,000 |
Common stock, shares issued (in shares) | 114,655,893 | 112,355,893 |
Common stock, shares outstanding (in shares) | 114,655,893 | 112,355,893 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Service fee income | $ 14,033 | $ 15,854 |
Cost and expenses: | ||
Cost of services | 12,560 | 14,097 |
General and administrative expenses | 1,979 | 2,258 |
Operating loss | (506) | (501) |
Other income (expense) | 13 | (19) |
Interest expense | (810) | (1,381) |
Reorganization items, net | (31) | |
Loss before income taxes | (1,303) | (1,932) |
Income tax expense (benefit) | 11 | (7) |
Net loss | (1,314) | (1,925) |
Other comprehensive income: | ||
Unrealized gain on marketable securities | 1 | |
Total other comprehensive income | 1 | |
Total comprehensive loss | $ (1,314) | $ (1,924) |
Loss per share: | ||
Basic (in dollars per share) | $ (0.01) | $ (0.02) |
Diluted (in dollars per share) | $ (0.01) | $ (0.02) |
Weighted average common shares outstanding: | ||
Basic (in shares) | 110,188,393 | 94,970,561 |
Diluted (in shares) | 110,188,393 | 94,970,561 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Shareholders' Deficit (Unaudited) - USD ($) $ in Thousands | Cumulative Effect, Period of Adoption, Adjustment [Member]Common Stock [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Additional Paid-in Capital [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Retained Earnings [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]AOCI Attributable to Parent [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance at Dec. 31, 2018 | $ 991 | $ 745,104 | $ (809,050) | $ (1) | $ (62,956) | |||||
Issuances of nonvested stock | 25 | (25) | ||||||||
Compensation recognized under stock compensation plans | 70 | 70 | ||||||||
Net loss | 1,925 | 1,925 | ||||||||
Net loss | (1,925) | (1,925) | ||||||||
Balance at Mar. 31, 2019 | $ (19) | $ (19) | 1,016 | 745,149 | (810,994) | (64,829) | ||||
Other comprehensive income (loss) | 1 | 1 | ||||||||
Balance at Dec. 31, 2019 | 1,123 | 746,112 | (819,294) | (72,059) | ||||||
Issuances of nonvested stock | 23 | (23) | ||||||||
Compensation recognized under stock compensation plans | 34 | 34 | ||||||||
Net loss | 1,314 | 1,314 | ||||||||
Net loss | (1,314) | (1,314) | ||||||||
Balance at Mar. 31, 2020 | $ 1,146 | $ 746,123 | $ (820,608) | $ (73,339) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash flows from operating activities: | ||
Net loss | $ (1,314) | $ (1,925) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Amortization of intangible assets | 299 | 299 |
Amortization of debt premium and prepaid interest into interest expense | 807 | |
Amortization of prepaid expenses | 245 | 293 |
Depreciation expense | 22 | 7 |
Lease expense | (2) | (13) |
Loss on disposal of fixed assets | 11 | |
Compensation recognized under stock compensation plans | 34 | 70 |
Changes in operating assets and liabilities: | ||
Accounts and unbilled receivables | 219 | (283) |
Accounts payable and accrued expenses | (59) | 6 |
Accrued compensation and benefits payable | (358) | 340 |
Accrued interest payable | 43 | |
Accrued claim settlements | (61) | (274) |
Other current assets and liabilities, net | (275) | (462) |
Other noncurrent assets and liabilities, net | (166) | |
Net cash used in operating activities | (432) | (2,065) |
Cash flows from investing activities: | ||
Purchase of property and equipment | (11) | (7) |
Net cash used in investing activities | (11) | (7) |
Cash flows from financing activities: | ||
Borrowings under revolving line of credit | 8,685 | |
Repayments of borrowings under revolving line of credit | (10,633) | |
Paydowns of long-term debt | (31) | |
Net cash used in financing activities | (1,979) | |
Net decrease in cash and cash equivalents | (443) | (4,051) |
Cash and cash equivalents, beginning of period | 2,032 | 9,249 |
Cash and cash equivalents, end of period | 1,589 | 5,198 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | $ 3 | $ 1,353 |
Note 1 - Condensed Consolidated
Note 1 - Condensed Consolidated Financial Statement Presentation | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | Note 1. Description of Operations – $0.01 Prior to the Company's acquisition of HCS in 2017, 2018, 33 no March 31, 2020 December 31, 2019 Liquidity and Going Concern – three March 31, 2020 1.3 0.4 March 31, 2020 73.3 1.6 91.8 1.6 0.6 From January 2019 August 2019, 3.5% March 30, 2033, Management continues to work toward expanding HCS’s customer base by increasing revenue from existing customers, looking at methods to reduce overall operating costs, both at HCS and the corporate level, and targeting new customers that have not 5 2019 not August 2019 March 2022, April 2022 In addition, the recent developments of the coronavirus (COVID- 19 8% second no 19 Our historical operating results and poor cash flow suggest substantial doubt exists related to the Company's ability to continue as a going concern. There is still significant uncertainty regarding the future impact that COVID- 19 no not one Condensed Consolidated Financial Statement Presentation – The Company's condensed consolidated financial statements are unaudited. In the opinion of management, all necessary adjustments have been made, which were of a normal and recurring nature, for a fair presentation of the condensed consolidated financial statements. The Company's condensed consolidated financial statements should be read in conjunction with Management's Discussion and Analysis of Financial Condition and Results of Operations included herein and the consolidated financial statements of the Company and the notes thereto included in the Company's Annual Report on Form 10 December 31, 2019 2019 10 |
Note 2 - Revenue; Accounts and
Note 2 - Revenue; Accounts and Unbilled Receivables | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | Note 2. Staffing services include the augmentation of customers' workforce with our contingent employees performing services under the customer's supervision, which provides our customers with a source of flexible labor at a competitive cost. Customer contracts are typically annual contracts but may 60 The Company recognizes revenue when control of the promised services is transferred to customers and for the amount that reflects the consideration we are entitled to receive in exchange for those services. Furthermore, revenue is recognized over time based on a fixed amount for each hour of staffing service provided as our customers benefit from our services and as we provide them. Performance Obligations — not not no Contract Balances — two not Disaggregation of Revenue — Three Months Ended March 31, 2020 Three Months Ended March 31, 2019 Type of Customer CSB $ 13,767 98.1 % $ 15,255 96.2 % Other 266 1.9 % 599 3.8 % Total $ 14,033 100.0 % $ 15,854 100.0 % Accounts and unbilled receivables are summarized as follows, in thousands: March 31, 2020 (unaudited) December 31, 2019 Accounts receivable $ 4,234 $ 4,083 Unbilled receivables (Contract Assets) 2,139 2,500 Allowance for doubtful accounts (9 ) — Total $ 6,364 $ 6,583 During the three March 31, 2020 59% three three March 31, 2019 50% three March 31, 2020 March 31, 2019 67% 48% four three March 31, 2020 March 31, 2019 97% 95% 12 14 |
Note 3 - Goodwill and Intangibl
Note 3 - Goodwill and Intangible Assets | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | Note 3. March 31, 2020 (unaudited) December 31, 2019 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Indefinite-lived assets (in thousands) Goodwill $ 3,905 $ - $ 3,905 $ 3,905 $ - $ 3,905 Tradenames 1,147 - 1,147 1,147 - 1,147 $ 5,052 $ - $ 5,052 $ 5,052 $ - $ 5,052 Finite-lived assets (in thousands) Customer relationships $ 6,895 $ 2,627 $ 4,268 $ 6,895 $ 2,380 $ 4,515 Non-compete agreement 627 557 70 627 505 122 $ 7,522 $ 3,184 $ 4,338 $ 7,522 $ 2,885 $ 4,637 Amortization expense (unaudited, in thousands) Three Months Ended March 31, 2020 and 2019 $ 299 Estimated future amortization expense (unaudited, in thousands) 2020 $ 808 2021 985 2022 985 2023 985 Thereafter 575 Total estimated amortization expense $ 4,338 |
Note 4 - Leases
Note 4 - Leases | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | Note 4. Our leases consist primarily of office space. Leases with an initial term of 12 not not Most leases include one one three not three March 31, 2020 2019 were immaterial. As our leases do not Maturities of lease liabilities were as follows (in thousands): March 31, 2020 (unaudited) Remaining 2020 $ 163 2021 110 2022 20 Thereafter - Total $ 293 Less interest 15 Present value of lease liabilities $ 278 Other information related to the Company's operating leases was as follows (in thousands): March 31, 2020 (unaudited) Lease Term and Discount Rate Weighted average remaining lease term (years) 1.54 Weighted average discount rate 6.75 % |
Note 5 - Borrowings
Note 5 - Borrowings | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | Note 5. Note Refinancing and 2017 August 9, 2019, 2017 January 2019 third 2028 March 31, 2020 $85.9 three “2017 2017 March 30, 2033, 1% April 1, 2019 December 31, 2023; 2% January 1, 2024 December 31, 2028; 10% January 1, 2029 December 31, 2019, 50% 2017 may 30 2017 101% 2017 July 27, 2017 On April 1, 2019 July 1, 2019, 2017 $2.6 $0.4 $2.2 not April 1, 2022. not December 31, 2021. not may, 2017 first 2017 9,000,000 ten 22,250,000 $0.01 $0.9 $0.5 The carrying value of the 2017 March 31, 2020 (unaudited) December 31, 2019 Principal balance $ 85,938 $ 85,938 Unamortized debt premium 1,694 886 Total, 2017 Notes $ 87,631 $ 86,824 |
Note 6 - Commitments and Contin
Note 6 - Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | Note 6. Contingencies — 2016, 2006 third 1997 2007, third $43.1 not third may not no not 2010. Historically, repurchases of loans or indemnification of losses where a loan defect has been alleged have been insignificant and any future losses for alleged loan defects have not no not not not 2007, not Pending Litigation — Although it is not not, not not one On May 21, 2008, June 16, 2009, 11, 12 15 1933, August 31, 2009, March 31, 2011, second May 16, 2011, March 29, 2012, second March 1, 2013, not April 23, 2013 five not February 5, 2015, March 8, 2017, May 10, 2017. not no October 19, 2018 March 7, 2019 March 8, 2019, March 26, 2019. no not On June 20, 2011, August 24, 2012, September 12, 2013. August 27, 2013, 12 §1787 14 June 16, 2014, 134 2175 2014 August 19, 2014, October 2, 2014, March 22, 2016, not On February 28, 2013, 2007 1 not June 28, 2013. June 24, 2013, 43 43 $6.5 August 19, 2013, seven 43 October 9, 2013, This motion to dismiss was withdrawn after plaintiff filed an amended complaint on January 28, 2014, March 4, 2014, November 30, 2017, The parties have reached a settlement of this matter. On October 25, 2018, November 19, 2018, $0.3 March 1, 2019. three $0.3 second 2018 DB Structured Products, Inc., Deutsche Bank AG, Deutsche Bank National Trust Company, Deutsche Bank Securities Inc., Greenwich Capital Derivatives, Inc., RBS Acceptance Inc., RBS Financial Products Inc., RBS Securities Inc., The Royal Bank of Scotland PLC, Wachovia Investment Holdings, LLC, Wells Fargo & Company, Wells Fargo Advisors, LLC, Wells Fargo Bank, N.A. and Wells Fargo Securities, LLC (collectively, the “Indemnity Claimants”) filed proofs of claim in the Company’s bankruptcy case asserting the right to be indemnified by the Company for, and/or to receive contribution from the company in respect of, certain liabilities incurred as a result of their roles in the issuance of residential mortgage-backed securities sponsored by the Company. The Company filed an objection in the bankruptcy case seeking to disallow and expunge the Indemnity Claimants’ proofs of claim. The Indemnity Claimants’ claims were not not The parties have reached a settlement in this matter, which was approved by the court on November 29, 2018. $0.5 December 21, 2018. three $0.4 second 2018 |
Note 7 - Fair Value Accounting
Note 7 - Fair Value Accounting | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | Note 7. Fair Value Measurements — two • Level 1 • Level 2 1 • Level 3 no The following table provides the estimated fair value of financial instruments and presents amounts that have been determined using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret market data to develop the estimates of fair value. Accordingly, the estimates presented herein are not not The estimated fair values of the Company's financial instruments are (in thousands): March 31, 2020 (unaudited) December 31, 2019 Carrying Value Fair Value Carrying Value Fair Value Financial liabilities: 2017 Notes (Level 3) $ 87,631 $ 17,349 $ 86,824 $ 21,289 The 2017 not 2017 3 no No three 3.5% March 2033. three |
Note 8 - Income Taxes
Note 8 - Income Taxes | 3 Months Ended |
Mar. 31, 2020 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | Note 8. Prior to 2017, no not March 31, 2020 December 31, 2019 $ 166.9 166.5 may 0% not As of March 31, 2020 $ 727.6 $250.3 not may not 2025 2037. 2017, 2017 2019 not not 93.0 may 2017 2004. may 2024 2037. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Liquidity and Going Concern [Policy Text Block] | Liquidity and Going Concern – three March 31, 2020 1.3 0.4 March 31, 2020 73.3 1.6 91.8 1.6 0.6 From January 2019 August 2019, 3.5% March 30, 2033, Management continues to work toward expanding HCS’s customer base by increasing revenue from existing customers, looking at methods to reduce overall operating costs, both at HCS and the corporate level, and targeting new customers that have not 5 2019 not August 2019 March 2022, April 2022 In addition, the recent developments of the coronavirus (COVID- 19 8% second no 19 Our historical operating results and poor cash flow suggest substantial doubt exists related to the Company's ability to continue as a going concern. There is still significant uncertainty regarding the future impact that COVID- 19 no not one |
Consolidation, Policy [Policy Text Block] | Condensed Consolidated Financial Statement Presentation – The Company's condensed consolidated financial statements are unaudited. In the opinion of management, all necessary adjustments have been made, which were of a normal and recurring nature, for a fair presentation of the condensed consolidated financial statements. The Company's condensed consolidated financial statements should be read in conjunction with Management's Discussion and Analysis of Financial Condition and Results of Operations included herein and the consolidated financial statements of the Company and the notes thereto included in the Company's Annual Report on Form 10 December 31, 2019 2019 10 |
Note 2 - Revenue; Accounts an_2
Note 2 - Revenue; Accounts and Unbilled Receivables (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended March 31, 2020 Three Months Ended March 31, 2019 Type of Customer CSB $ 13,767 98.1 % $ 15,255 96.2 % Other 266 1.9 % 599 3.8 % Total $ 14,033 100.0 % $ 15,854 100.0 % |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | March 31, 2020 (unaudited) December 31, 2019 Accounts receivable $ 4,234 $ 4,083 Unbilled receivables (Contract Assets) 2,139 2,500 Allowance for doubtful accounts (9 ) — Total $ 6,364 $ 6,583 |
Note 3 - Goodwill and Intangi_2
Note 3 - Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Notes Tables | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | March 31, 2020 (unaudited) December 31, 2019 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Indefinite-lived assets (in thousands) Goodwill $ 3,905 $ - $ 3,905 $ 3,905 $ - $ 3,905 Tradenames 1,147 - 1,147 1,147 - 1,147 $ 5,052 $ - $ 5,052 $ 5,052 $ - $ 5,052 Finite-lived assets (in thousands) Customer relationships $ 6,895 $ 2,627 $ 4,268 $ 6,895 $ 2,380 $ 4,515 Non-compete agreement 627 557 70 627 505 122 $ 7,522 $ 3,184 $ 4,338 $ 7,522 $ 2,885 $ 4,637 |
Finite-lived Intangible Assets Amortization Expense [Table Text Block] | Amortization expense (unaudited, in thousands) Three Months Ended March 31, 2020 and 2019 $ 299 Estimated future amortization expense (unaudited, in thousands) 2020 $ 808 2021 985 2022 985 2023 985 Thereafter 575 Total estimated amortization expense $ 4,338 |
Note 4 - Leases (Tables)
Note 4 - Leases (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Notes Tables | |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | March 31, 2020 (unaudited) Remaining 2020 $ 163 2021 110 2022 20 Thereafter - Total $ 293 Less interest 15 Present value of lease liabilities $ 278 |
Operating Lease, Other Information [Table Text Block] | March 31, 2020 (unaudited) Lease Term and Discount Rate Weighted average remaining lease term (years) 1.54 Weighted average discount rate 6.75 % |
Note 5 - Borrowings (Tables)
Note 5 - Borrowings (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | March 31, 2020 (unaudited) December 31, 2019 Principal balance $ 85,938 $ 85,938 Unamortized debt premium 1,694 886 Total, 2017 Notes $ 87,631 $ 86,824 |
Note 7 - Fair Value Accounting
Note 7 - Fair Value Accounting (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Notes Tables | |
Fair Value, by Balance Sheet Grouping [Table Text Block] | March 31, 2020 (unaudited) December 31, 2019 Carrying Value Fair Value Carrying Value Fair Value Financial liabilities: 2017 Notes (Level 3) $ 87,631 $ 17,349 $ 86,824 $ 21,289 |
Note 1 - Condensed Consolidat_2
Note 1 - Condensed Consolidated Financial Statement Presentation (Details Textual) $ / shares in Units, $ in Thousands | 3 Months Ended | 8 Months Ended | 12 Months Ended | ||
Mar. 31, 2020USD ($)$ / shares | Mar. 31, 2019USD ($) | Aug. 31, 2019 | Dec. 31, 2018USD ($) | Dec. 31, 2019USD ($)$ / shares | |
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |||
Net Income (Loss) Attributable to Parent, Total | $ (1,314) | $ (1,925) | |||
Net Cash Provided by (Used in) Operating Activities, Total | (432) | (2,065) | |||
Stockholders' Equity Attributable to Parent, Ending Balance | (73,339) | $ (64,829) | $ (62,956) | $ (72,059) | |
Cash and Cash Equivalents, at Carrying Value, Ending Balance | 1,589 | 2,032 | |||
Liabilities, Total | $ 91,763 | 91,476 | |||
Workforce Reduction Due to Impact of COVID-19, Percent | 8.00% | ||||
Senior Notes [Member] | The 2017 Notes [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 3.50% | ||||
NovaStar Mortgage LLC [Member] | |||||
Cash and Cash Equivalents, at Carrying Value, Ending Balance | $ 600 | ||||
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | |||||
Number of Debt Securities Unsold | 33 | ||||
Debt Securities, Available-for-sale, Total | $ 0 | $ 0 |
Note 2 - Revenue; Accounts an_3
Note 2 - Revenue; Accounts and Unbilled Receivables (Details Textual) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Customer Contracts, Notice of Termination Period (Day) | 60 days | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | ||
Number of Major Customers | 3 | 3 |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Three Customers [Member] | ||
Concentration Risk, Percentage | 59.00% | |
Customer Concentration Risk [Member] | Revenue Benchmark [Member] | Four Customers [Member] | ||
Concentration Risk, Percentage | 50.00% | |
Customer Concentration Risk [Member] | Accounts Receivable [Member] | ||
Number of Major Customers | 4 | 3 |
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Three Customers [Member] | ||
Concentration Risk, Percentage | 48.00% | |
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Four Customers [Member] | ||
Concentration Risk, Percentage | 67.00% | |
Customer Concentration Risk [Member] | Accounts and Unbilled Receivables [Member] | Twelve CSB Customers [Member] | ||
Concentration Risk, Percentage | 97.00% | |
Number of Major Customers | 12 | |
Customer Concentration Risk [Member] | Accounts and Unbilled Receivables [Member] | Fourteen CSB Customers [Member] | ||
Concentration Risk, Percentage | 95.00% | |
Number of Major Customers | 14 |
Note 2 - Revenue; Accounts an_4
Note 2 - Revenue; Accounts and Unbilled Receivables - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Financial services revenue, amount | $ 14,033 | $ 15,854 |
Financial services revenue, percentage | 100.00% | 100.00% |
CSB Customers [Member] | ||
Financial services revenue, amount | $ 13,767 | $ 15,255 |
Financial services revenue, percentage | 98.10% | 96.20% |
Non-CSB Customers [Member] | ||
Financial services revenue, amount | $ 266 | $ 599 |
Financial services revenue, percentage | 1.90% | 3.80% |
Note 2 - Revenue; Accounts an_5
Note 2 - Revenue; Accounts and Unbilled Receivables - Accounts and Unbilled Receivables (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Accounts receivable | $ 4,234 | $ 4,083 |
Unbilled receivables (Contract Assets) | 2,139 | 2,500 |
Allowance for doubtful accounts | (9) | |
Total | $ 6,364 | $ 6,583 |
Note 3 - Goodwill and Intangi_3
Note 3 - Goodwill and Intangible Assets - Summary of Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Goodwill | $ 3,905 | $ 3,905 |
Tradenames | 1,147 | 1,147 |
Indefinite-lived assets | 5,052 | 5,052 |
Finite-lived intangible assets, gross | 7,522 | 7,522 |
Finite-lived intangible assets, accumulated amortization | 3,184 | 2,885 |
Finite-lived intangible assets, net | 4,338 | 4,637 |
Customer Relationships [Member] | ||
Finite-lived intangible assets, gross | 6,895 | 6,895 |
Finite-lived intangible assets, accumulated amortization | 2,627 | 2,380 |
Finite-lived intangible assets, net | 4,268 | 4,515 |
Noncompete Agreements [Member] | ||
Finite-lived intangible assets, gross | 627 | 627 |
Finite-lived intangible assets, accumulated amortization | 557 | 505 |
Finite-lived intangible assets, net | $ 70 | $ 122 |
Note 3 - Goodwill and Intangi_4
Note 3 - Goodwill and Intangible Assets - Estimated Amortization Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Three Months Ended March 31, 2020 and 2019 | $ 299 | $ 299 |
2020 | 808 | |
2021 | 985 | |
2022 | 985 | |
2023 | 985 | |
Thereafter | 575 | |
Total estimated amortization expense | $ 4,338 |
Note 4 - Leases (Details Textua
Note 4 - Leases (Details Textual) | Mar. 31, 2020 |
Minimum [Member] | |
Lessee, Operating Lease, Renewal Term (Year) | 1 year |
Maximum [Member] | |
Lessee, Operating Lease, Renewal Term (Year) | 3 years |
Note 4 - Leases - Maturities of
Note 4 - Leases - Maturities of lease liabilities (Details) $ in Thousands | Mar. 31, 2020USD ($) |
Remaining 2020 | $ 163 |
2021 | 110 |
2022 | 20 |
Thereafter | |
Total | 293 |
Less interest | 15 |
Present value of lease liabilities | $ 278 |
Note 4 - Leases - Operating Lea
Note 4 - Leases - Operating Lease Information (Details) | Mar. 31, 2020 |
Weighted average remaining lease term (years) (Year) | 1 year 197 days |
Weighted average discount rate | 6.75% |
Note 5 - Borrowings (Details Te
Note 5 - Borrowings (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | 51 Months Ended | 57 Months Ended | 60 Months Ended | ||
Mar. 31, 2020 | Jul. 01, 2019 | Mar. 31, 2019 | Dec. 31, 2019 | Mar. 30, 2033 | Dec. 31, 2023 | Dec. 31, 2028 | |
Amortization of Debt Discount (Premium) | $ 807 | ||||||
Warrants Issued in Debt Restructuring [Member] | |||||||
Warrants and Rights Outstanding, Term (Year) | 10 years | ||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in shares) | 22,250,000 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ 0.01 | ||||||
Common Stock [Member] | |||||||
Stock Issued During Period, Shares, Issued for Debt Restructuring (in shares) | 9,000,000 | ||||||
Senior Notes [Member] | Post-modification Notes [Member] | |||||||
Debt Instrument, Face Amount | $ 85,900 | ||||||
Senior Notes [Member] | The 2017 Notes [Member] | |||||||
Percentage of of Excess Cash Flow Each Year to Noteholders | 50.00% | ||||||
Debt Instrument, Redemption Notice, Number Of Days (Day) | 30 days | ||||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 101.00% | ||||||
Interest Paid, Including Capitalized Interest, Operating and Investing Activities, Total | $ 2,600 | ||||||
Debt Instrument, Aggregate Amount Due | 400 | ||||||
Payments Against Future Quarterly Interest Payments | $ 2,200 | ||||||
Amortization of Debt Discount (Premium) | $ 900 | ||||||
Interest Payable | $ 500 | ||||||
Senior Notes [Member] | The 2017 Notes [Member] | Forecast [Member] | |||||||
Debt Instrument, Interest Rate During Period | 10.00% | 1.00% | 2.00% |
Note 5 - Borrowings - Schedule
Note 5 - Borrowings - Schedule of Debt (Details) - The 2017 Notes [Member] - Senior Notes [Member] - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Principal balance | $ 85,938 | $ 85,938 |
Unamortized debt premium | 1,694 | 886 |
Total, 2017 Notes | $ 87,631 | $ 86,824 |
Note 6 - Commitments and Cont_2
Note 6 - Commitments and Contingencies (Details Textual) $ in Millions | Mar. 01, 2019USD ($) | Dec. 21, 2018USD ($) | Nov. 29, 2018USD ($) | Jun. 24, 2013USD ($) | Dec. 31, 2007USD ($) |
NovaStar Mortgage Funding Trust Case [Member] | |||||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate, Number of Loans | 43 | ||||
Loans Summoned in Litigation Case | $ 6.5 | ||||
Payments for Legal Settlements | $ 0.3 | ||||
Settlement Period for Quarterly Payments (Year) | 3 years | ||||
Loss Contingency Accrual, Ending Balance | $ 0.3 | ||||
Indemnity Claimants’ Claims [Member] | |||||
Settlement Period for Quarterly Payments (Year) | 3 years | ||||
Loss Contingency Accrual, Ending Balance | $ 0.4 | ||||
Litigation Settlement, Amount Awarded to Other Party | $ 0.5 | ||||
Claims to Repurchase Securitized Loans [Member] | |||||
Principal Amount Outstanding on Loans Securitized or Asset-backed Financing Arrangement | $ 43,100 |
Note 7 - Fair Value Accountin_2
Note 7 - Fair Value Accounting (Details Textual) | 3 Months Ended |
Mar. 31, 2020 | |
Post-modification Notes [Member] | Senior Notes [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Debt Instrument, Basis Spread on Variable Rate | 3.50% |
Note 7 - Fair Value Accountin_3
Note 7 - Fair Value Accounting - Carrying Values and Fair Values of Financial Instruments (Details) - Fair Value, Inputs, Level 3 [Member] - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Reported Value Measurement [Member] | ||
2017 Notes (Level 3) | $ 87,631 | $ 86,824 |
Estimate of Fair Value Measurement [Member] | ||
2017 Notes (Level 3) | $ 17,349 | $ 21,289 |
Note 8 - Income Taxes (Details
Note 8 - Income Taxes (Details Textual) - USD ($) xbrli-pure in Thousands, $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
Deferred Tax Assets, Valuation Allowance, Total | $ 166.9 | $ 166.5 |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 0.00% | |
Operating Loss Carryforwards, Total | $ 727.6 | |
Operating Loss Carryforwards, Mortgage Securities | 250.3 | |
Operating Loss Carryforwards with No Expiration | $ 93 | |
Domestic Tax Authority [Member] | Internal Revenue Service (IRS) [Member] | Earliest Tax Year [Member] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2025 | |
Domestic Tax Authority [Member] | Internal Revenue Service (IRS) [Member] | Latest Tax Year [Member] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2037 |