Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2019 | Aug. 01, 2019 | |
Document And Entity Information | ||
Entity Registrant Name | QUOTEMEDIA INC | |
Entity Central Index Key | 0001101433 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2019 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Is Entity's Reporting Status Current? | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Emerging Growth Company | false | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 90,477,798 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2019 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 1,015,468 | $ 810,332 |
Accounts receivable, net | 658,573 | 538,081 |
Prepaid expenses | 81,914 | 132,356 |
Other current assets | 205,360 | 170,914 |
Total current assets | 1,961,315 | 1,651,683 |
Deposits | 18,565 | 15,339 |
Property and equipment, net | 1,992,373 | 1,702,875 |
Goodwill | 110,000 | 110,000 |
Intangible assets | 54,147 | 57,029 |
Operating lease right-of-use assets | 228,229 | 0 |
Total assets | 4,364,629 | 3,536,926 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 1,541,383 | 1,495,064 |
Deferred revenue | 776,564 | 707,880 |
Current portion of operating lease liabilities | 176,147 | 0 |
Current portion of finance lease liabilities | 32,189 | 30,083 |
Total current liabilities | 2,526,283 | 2,233,027 |
Long-term portion of operating lease liabilities | 63,204 | 0 |
Long-term portion of finance lease liabilities | 31,051 | 46,457 |
Mezzanine equity: | ||
Series A Redeemable Convertible Preferred stock, $0.001 par value, 550,000 shares designated, 124,485 and 125,885 shares issued | 3,003,528 | 3,037,952 |
Stockholders' deficit: | ||
Preferred stock, 10,000,000 shares authorized, 550,000 shares designated | 0 | 0 |
Common stock, $0.001 par value, 150,000,000 shares authorized, 90,477,798 shares issued and outstanding | 90,479 | 90,479 |
Additional paid-in capital | 19,362,858 | 19,157,202 |
Accumulated deficit | (20,712,774) | (21,028,191) |
Total stockholders' deficit | (1,259,437) | (1,780,510) |
Total liabilities and stockholders' deficit | $ 4,364,629 | $ 3,536,926 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2019 | Dec. 31, 2018 |
Stockholders' deficit: | ||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares designated | 550,000 | 550,000 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 90,477,798 | 90,477,798 |
Common stock, shares outstanding | 90,477,798 | 90,477,798 |
Series A Redeemable Convertible Preferred Stock [Member] | ||
Mezzanine equity: | ||
Convertible Preferred stock, par value | $ 0.001 | $ 0.001 |
Convertible Preferred stock designated | 550,000 | 550,000 |
Convertible Preferred stock issued | 124,485 | 125,885 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Statement [Abstract] | ||||
LICENSING FEES | $ 2,984,846 | $ 2,798,570 | $ 5,855,465 | $ 5,465,810 |
COST OF REVENUE | 1,463,090 | 1,414,269 | 2,925,802 | 2,785,724 |
GROSS PROFIT | 1,521,756 | 1,384,301 | 2,929,663 | 2,680,086 |
OPERATING EXPENSES | ||||
Sales and marketing | 486,401 | 487,930 | 930,000 | 935,988 |
General and administrative | 524,923 | 500,238 | 1,046,059 | 1,038,593 |
Software development | 298,562 | 284,878 | 612,190 | 588,658 |
Total operating expenses | 1,309,886 | 1,273,046 | 2,588,249 | 2,563,239 |
OPERATING PROFIT | 211,870 | 111,255 | 341,414 | 116,847 |
OTHER INCOME (EXPENSES) | ||||
Foreign exchange gain (loss) | (7,256) | 4,383 | (21,314) | 8,200 |
Interest expense - other | (1,506) | (2,328) | (3,184) | (2,785) |
Total other income (expenses) | (8,762) | 2,055 | (24,498) | 5,415 |
NET INCOME BEFORE INCOME TAXES | 203,108 | 113,310 | 316,916 | 122,262 |
Income tax expense | (747) | (774) | (1,499) | (1,565) |
NET INCOME | $ 202,361 | $ 112,536 | $ 315,417 | $ 120,697 |
EARNINGS PER SHARE | ||||
Basic | $ 0 | $ 0 | $ 0 | $ 0 |
Diluted | $ 0 | $ 0 | $ 0 | $ 0 |
WEIGHTED AVERAGE SHARES OUTSTANDING | ||||
Basic | 90,477,798 | 90,477,798 | 90,477,798 | 90,477,798 |
Diluted | 108,113,462 | 99,803,542 | 104,356,197 | 101,186,441 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Operating activities: | ||
Net income | $ 315,417 | $ 120,697 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 511,333 | 431,799 |
Stock-based compensation expense | 206,232 | 226,232 |
Changes in assets and liabilities: | ||
Accounts receivable | (120,492) | (161,013) |
Prepaid expenses | 50,442 | 17,988 |
Other current assets | (34,446) | (7,985) |
Deposits | (3,226) | 655 |
Accounts payable and amounts due to related parties | 57,441 | (38,279) |
Deferred revenue | 68,684 | 83,020 |
Net cash provided by operating activities | 1,051,385 | 673,114 |
Investing activities: | ||
Purchase of fixed assets | (137,709) | (99,593) |
Purchase of intangible assets | 0 | (2,570) |
Capitalized application software | (660,240) | (430,781) |
Net cash used in investing activities | (797,949) | (532,944) |
Financing activities | ||
Repayment of capital lease financing | (13,300) | (6,610) |
Redemption of preferred stock | (35,000) | 0 |
Net cash used in financing activities | (48,300) | (6,610) |
Net increase in cash | 205,136 | 133,560 |
Cash and equivalents, beginning of period | 810,332 | 451,151 |
Cash and equivalents, end of period | $ 1,015,468 | $ 584,711 |
CONDENSED STATEMENTS OF STOCKHO
CONDENSED STATEMENTS OF STOCKHOLDERS' DEFICIT (Unaudited) - USD ($) | Series A Redeemable Convertible Preferred Stock | Common Stock | Additional Paid-In Capital | Accumulated Deficit | Total |
Beginning Balance, Shares at Dec. 31, 2017 | 127,685 | 90,477,798 | |||
Beginning Balance, Amount at Dec. 31, 2017 | $ 3,082,211 | $ 90,479 | $ 18,727,661 | $ (21,526,062) | $ (2,707,922) |
Costs associated with forgiveness of debt | (8,850) | (8,850) | |||
Stock-based compensation | 113,116 | 113,116 | |||
Net income | 8,161 | 8,161 | |||
Ending Balance, Shares at Mar. 31, 2018 | 127,685 | 90,477,798 | |||
Ending Balance, Amount at Mar. 31, 2018 | $ 3,082,211 | $ 90,479 | 18,831,927 | (21,517,901) | (2,595,495) |
Beginning Balance, Shares at Dec. 31, 2017 | 127,685 | 90,477,798 | |||
Beginning Balance, Amount at Dec. 31, 2017 | $ 3,082,211 | $ 90,479 | 18,727,661 | (21,526,062) | (2,707,922) |
Net income | 120,697 | ||||
Ending Balance, Shares at Jun. 30, 2018 | 127,685 | 90,477,798 | |||
Ending Balance, Amount at Jun. 30, 2018 | $ 3,082,211 | $ 90,479 | 18,945,043 | (21,405,365) | (2,369,843) |
Beginning Balance, Shares at Mar. 31, 2018 | 127,685 | 90,477,798 | |||
Beginning Balance, Amount at Mar. 31, 2018 | $ 3,082,211 | $ 90,479 | 18,831,927 | (21,517,901) | (2,595,495) |
Stock-based compensation | 113,116 | 113,116 | |||
Net income | 112,536 | 112,536 | |||
Ending Balance, Shares at Jun. 30, 2018 | 127,685 | 90,477,798 | |||
Ending Balance, Amount at Jun. 30, 2018 | $ 3,082,211 | $ 90,479 | 18,945,043 | (21,405,365) | (2,369,843) |
Beginning Balance, Shares at Dec. 31, 2018 | 125,885 | 90,477,798 | |||
Beginning Balance, Amount at Dec. 31, 2018 | $ 3,037,952 | $ 90,479 | 19,157,202 | (21,028,191) | (1,780,510) |
Stock-based compensation | 103,116 | 103,116 | |||
Net income | 113,056 | 113,056 | |||
Ending Balance, Shares at Mar. 31, 2019 | 125,885 | 90,477,798 | |||
Ending Balance, Amount at Mar. 31, 2019 | $ 3,037,952 | $ 90,479 | 19,260,318 | (20,915,135) | (1,564,338) |
Beginning Balance, Shares at Dec. 31, 2018 | 125,885 | 90,477,798 | |||
Beginning Balance, Amount at Dec. 31, 2018 | $ 3,037,952 | $ 90,479 | 19,157,202 | (21,028,191) | (1,780,510) |
Net income | 315,417 | ||||
Ending Balance, Shares at Jun. 30, 2019 | 124,485 | 90,477,798 | |||
Ending Balance, Amount at Jun. 30, 2019 | $ 3,003,528 | $ 90,479 | 19,362,858 | (20,712,774) | (1,259,437) |
Beginning Balance, Shares at Mar. 31, 2019 | 125,885 | 90,477,798 | |||
Beginning Balance, Amount at Mar. 31, 2019 | $ 3,037,952 | $ 90,479 | 19,260,318 | (20,915,135) | (1,564,338) |
Preferred shares issued (redeemed), Shares | (1,400) | ||||
Preferred shares issued (redeemed), Amount | $ (34,424) | (576) | (576) | ||
Stock-based compensation | 103,116 | 103,116 | |||
Net income | 202,361 | 202,361 | |||
Ending Balance, Shares at Jun. 30, 2019 | 124,485 | 90,477,798 | |||
Ending Balance, Amount at Jun. 30, 2019 | $ 3,003,528 | $ 90,479 | $ 19,362,858 | $ (20,712,774) | $ (1,259,437) |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the generally accepted accounting principles for interim financial statements and instructions for Form 10-Q. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments, consisting only of normal recurring adjustments considered necessary for a fair presentation, have been included. Operating results for any quarter are not necessarily indicative of the results for any other quarter or for a full year. In connection with the preparation of the condensed consolidated financial statements the Company evaluated subsequent events after the balance sheet date of June 30, 2019 through the filing of this report. As of June 30, 2019, the Company has a working capital deficit of $564,968. Our current liabilities include deferred revenue of $776,564. The costs expected to be incurred to realize the deferred revenue in the next 12 months are minimal. The Company has a plan in place for the next 12 months to ensure ongoing expenditures are balanced with the expected growth rate and believes cash on hand and cash generated will be sufficient to fund operations for the next 12 months. However, to implement our business plan may require additional financing. Additional financings may come from future equity or debt offerings that could result in dilution to our stockholders. No assurance can be given that additional financing will be available or that, if it is available, it will be on terms acceptable to us. These financial statements should be read in conjunction with our financial statements and the notes thereto for the fiscal year ended December 31, 2018 contained in our Form 10-K filed with the Securities and Exchange Commission dated March 29, 2019. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | a) Nature of operations We are a software developer and distributor of financial market data and related services to a global marketplace. We specialize in the collection, aggregation, and delivery of both delayed and real-time financial data content via the Internet. We develop and license software components that deliver dynamic content to banks, brokerage firms, financial institutions, mutual fund companies, online information and financial portals, media outlets, public companies, and corporate intranets. b) Basis of consolidation The consolidated financial statements include the operations of QuoteMedia, Ltd., a wholly owned subsidiary of QuoteMedia, Inc. All intercompany transactions and balances have been eliminated. c) Foreign currency translation and transactions The U.S. dollar is the functional currency of all our company's operations. Foreign currency asset and liability amounts are remeasured into U.S. dollars at end-of-period exchange rates, except for equipment and intangible assets, which are remeasured at historical rates. Foreign currency income and expenses are remeasured at average exchange rates in effect during the period, except for expenses related to balance sheet amounts remeasured at historical exchange rates. Exchange gains and losses arising from remeasurement of foreign currency-denominated monetary assets and liabilities are included in earnings in the period in which they occur. d) Allowances for doubtful accounts We maintain an allowance for doubtful accounts for estimated losses resulting from the inability of the Company’s customers to make required payments. The Company determines the allowance by reviewing the age of the receivables and assessing the anticipated ability of customers to pay. No collateral is required for any of the receivables and the Company does not usually apply financing charges to outstanding accounts receivable balances. If the financial condition of our customers were to deteriorate, adversely affecting their ability to make payments, additional allowances would be required. The allowance for doubtful accounts was $100,000 as of June 30, 2019 and December 31, 2018. e) Accounting Pronouncements Recently Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases In June 2018, the FASB issued ASU 2018-07, Compensation - Stock Compensation (Topic 718) Stock Compensation, Not Yet Adopted In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820) In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract Intangibles - Goodwill and Other Other accounting standards that have been issued by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company’s consolidated financial statements upon adoption. |
REVENUE
REVENUE | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE | Disaggregated Revenue The Company provides market data, financial web content solutions and cloud-based applications. Our revenue by type of service consists of the following: Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Portfolio Management Systems Corporate Quotestream $ 915,335 $ 881,557 $ 1,920,044 $ 1,747,020 Individual Quotestream 473,137 466,888 924,858 944,048 Interactive Content & Data Application 1,596,374 1,450,125 3,010,563 2,774,742 Total revenue $ 2,984,846 $ 2,798,570 $ 5,855,465 $ 5,465,810 Deferred Revenue Changes in deferred revenue for the period were as follows: Balance at December 31, 2018 $ 707,880 Revenue recognized in the current period from the amounts in the beginning balance (461,992 ) New deferrals, net of amounts recognized in the current period 523,233 Effects of foreign currency translation 7,443 Balance at June 30, 2019 $ 776,564 Practical Expedients As permitted under ASU 2014-09 (and related ASUs), unsatisfied performance obligations are not disclosed, as the original expected duration of substantially all of our contracts is one year or less. |
RELATED PARTIES
RELATED PARTIES | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
RELATED PARTIES | The Company entered into a five-year office lease with 410734 B.C. Ltd. effective May 1, 2016 for approximately $7,365 per month. David M. Shworan is a control person of 410734 B.C. Ltd. At June 30, 2019, there were no amounts due to 410734 B.C. Ltd. As a matter of policy all related party transactions are subject to review and approval by the Company’s Board of Directors. |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
LEASES | We have operating leases for corporate offices and finance leases for certain equipment. Our leases have remaining lease terms of 1 year to 4 years. We determine if an arrangement is a lease at inception. Operating lease assets and liabilities are included in operating lease right-of-use assets and operating lease liabilities, respectively, on our consolidated balance sheets. Finance lease assets and liabilities are included in property and equipment and finance lease liabilities, respectively, on our consolidated balance sheets. Operating lease right-of-use assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. We elected the short-term lease exception and therefore only recognize right-of-use assets and lease liabilities for leases with a term greater than one year. When determining lease terms, we factor in options to extend or terminate leases when it is reasonably certain that we will exercise that option. We have lease agreements with lease and non-lease components, which are generally accounted for separately. For certain leases we account for the lease and non-lease components as a single lease component. Supplemental balance sheet information related to leases was as follows: June 30, 2019 December 31, 2018 Operating Leases Operating lease right-of-use assets $ 228,229 $ - Current portion of operating lease liability $ 176,147 $ - Long-term portion of operating lease liability 63,204 - Total operating lease liability $ 239,351 $ - Finance Leases Computer equipment on financing lease $ 101,049 $ 101,049 Less: accumulated depreciation 35,362 17,836 Property and equipment, net $ 65,687 $ 83,213 Current portion of finance lease liability 32,189 30,083 Long-term portion of finance lease liability 31,051 46,457 Total finance lease liability $ 63,240 $ 76,540 June 30, 2019 December 31, 2018 Weighted Average Remaining Lease Term Operating leases 1.8 years - Finance leases 2.0 years 2.5 years Weighted Average Discount Rate Operating leases 9.7 % - Finance leases 8.9 % 8.9 % Maturities of lease liabilities were as follows: Year ending December 31, Operating Leases Finance Leases 2019 (excluding the six months ended June 30, 2019) $ 95,654 $ 18,266 2020 139,063 36,531 2021 22,855 12,170 2022 and thereafter - 2,151 Total lease payments 257,572 69,118 Less imputed interest (18,221 ) (5,878 ) Total $ 239,351 $ 63,240 The components of lease expense were as follows: Three months ended June 30, 2019 Six months ended June 30, 2019 Operating lease costs: Operating lease costs $ 46,090 $ 92,023 Short-term lease costs 33,311 65,761 Total operating lease costs $ 79,401 $ 157,784 Finance lease costs: Amortization $ 8,763 $ 17,526 Interest 1,543 3,217 Total finance lease cost $ 10,306 $ 20,743 Supplemental cash flow information related to leases was as follows: Three months ended June 30, 2019 Six months ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 46,150 $ 92,307 Operating cash flows from finance leases 1,543 3,217 Financing cash flows from finance leases 8,656 15,049 Right-of-use assets obtained in exchange for lease obligations: Operating leases - 307,549 |
STOCKHOLDERS' DEFICIT
STOCKHOLDERS' DEFICIT | 6 Months Ended |
Jun. 30, 2019 | |
Stockholders' deficit: | |
STOCKHOLDERS' DEFICIT | a) Preferred shares We are authorized to issue up to 10,000,000 non-designated preferred shares at the Board of Directors’ discretion. On December 28, 2017, a total of 550,000 shares of the Company’s Preferred Stock were designated as “Series A Redeemable Convertible Preferred Stock.” The Series A Redeemable Convertible Preferred Stock has no dividend or voting rights. Holders of Series A Redeemable Convertible Preferred Stock shall have the right to convert their shares into shares of common stock at the rate of 83.33 shares of common stock for one share of Series A Redeemable Convertible Preferred Stock, at any time following the date the closing price of a share of common stock on a securities exchange or actively traded over-the-counter market has exceeded $0.30 for ninety (90) consecutive trading days. The conversion rights are subject to the availability of authorized but unissued shares of common stock. In the event of any liquidation, dissolution, or winding up of the Company, whether voluntary or involuntary, before any distribution or payment is made to any holders of any shares of common stock, the holders of shares of Series A Redeemable Convertible Preferred Stock shall be entitled to be paid first out of the assets of the Corporation available for distribution to holders of the Company’s capital stock whether such assets are capital, surplus, or earnings, an amount equal to $25.00 per share of Series A Redeemable Convertible Preferred Stock. At June 30, 2019, 124,485 shares of Series A Redeemable Convertible Preferred Stock were outstanding. During the three and six months ended June 30, 2019 1,400 shares of Series A Redeemable Convertible Preferred Stock were redeemed. No shares of Series A Redeemable Convertible Preferred Stock were issued or redeemed during the three and six months ended June 30, 2018. b) Common stock No shares of common stock were issued during the six months ended June 30, 2019 and 2018. c) Stock Options and Warrants FASB ASC 718, Stock Compensation, Total estimated stock-based compensation expense, related to all of the Company’s stock-based awards, recognized for the three and six months ended June 30, 2019 and 2018 was comprised as follows: Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Sales and marketing $ 99,291 $ 99,291 $ 198,582 $ 198,582 General and administrative 2,700 12,700 5,400 25,400 Development 1,125 1,125 2,250 2,250 Stock based compensation expense $ 103,116 $ 113,116 $ 206,232 $ 226,232 Common Stock Options and Warrants There were 26,372,803 common stock warrants and options outstanding at June 30, 2019. No stock options or warrants to purchase common stock were granted or exercised during the six months ended June 30, 2019 and 2018. The following table summarizes our non-vested common stock option and warrant activity for the six months ended June 30, 2019: Common Stock Options and Warrants Weighted-Average Grant Date Exercise Price Non-vested at January 1, 2019 6,225,000 $ 0.08 Vested during the period (200,000 ) $ 0.04 Non-vested at June 30, 2019 6,025,000 $ 0.08 The following table summarizes the weighted average remaining contractual life and exercise price of common stock options and warrants outstanding at June 30, 2019: Common Stock Options and Warrants Outstanding Common Stock Options and Warrants Exercisable Weighted Number Average Weighted Number Weighted Outstanding at Remaining Average Exercisable at Average June 30, Contractual Exercise June 30, Exercise 2019 Life (Years) Price 2019 Price $0.03-0.10 26,372,803 9.9 $0.06 20,347,803 $0.05 At June 30, 2019, there was $106,623 of unrecognized compensation cost related to non-vested options and warrants granted to purchase common stock which is expected to be recognized over a weighted-average period of 2.95 years. All stock options and warrants to purchase common stock have been granted with exercise prices equal to or greater than the market value of the underlying common shares on the date of grant. Preferred Stock Warrants On December 28, 2017, the Company entered into a Compensation Agreement with David M. Shworan, the President and Chief Executive Officer of QuoteMedia, Ltd., a wholly owned subsidiary of Quotemedia, Inc., pursuant to which, in lieu of receiving a cash salary the Company will issue to Mr. Shworan warrants to purchase shares of Series A Redeemable Convertible Preferred Stock (“Compensation Preferred Stock Warrants”). Provided that Mr. Shworan is employed by or otherwise providing services to the Company or its subsidiaries on each of January 1, 2018 and 2019, the Company will issue to Mr. Shworan warrants to purchase up to 15,000 shares of Compensation Preferred Stock Warrants at an exercise price equal to $1.00 per share. A total of $90,000 and $180,000 of stock-based compensation expense was recognized related to the Compensation Preferred Stock Warrants during the three and six months ended June 30, 2019 and 2018, respectively. At June 30, 2019, there was $180,000 of unrecognized compensation costs related to the 15,000 Compensation Preferred Stock Warrants granted on January 1, 2019 which are expected to be recognized over a weighted-average period of 0.75 years. Also pursuant to the Compensation Agreement with Mr. Shworan, on December 28, 2017 the Company issued Mr. Shworan warrants to purchase up to 382,243 shares of Series A Redeemable Convertible Preferred Stock at an exercise price equal to $1.00 per share (“Liquidity Preferred Stock Warrant”). The Liquidity Preferred Stock Warrants only vest and become exercisable on the consummation of a Liquidity Event as defined in the Company’s Certificate of Designation of Series A Redeemable Convertible Preferred Stock. The probability of the liquidity event performance condition is not currently determinable or probable; therefore, no compensation expense has been recognized as of June 30, 2019. The probability is re-evaluated each reporting period. As of June 30, 2019, there was $9,173,832 in unrecognized stock-based compensation expense related to these Liquidity Preferred Stock Warrants. Since the Liquidity Preferred Stock Warrants only vest and become exercisable on the consummation of a Liquidity Event which is currently determined not to be probable, we are also unable to determine the weighted-average period over which the unrecognized compensation cost will be recognized. The following table represents total preferred stock warrant activity for the six months ended June 30, 2019: Preferred Stock Warrants Weighted-Average Exercise Price Outstanding at December 31, 2018 398,493 $ 1.00 Granted during the period 15,000 $ 1.00 Outstanding at June 30, 2019 413,493 $ 1.00 The following table summarizes the total non-vested preferred stock warrant activity for the six months ended June 30, 2019: Preferred Stock Warrants Weighted-Average Exercise Price Outstanding at December 31, 2018 382,243 $ 1.00 Granted during the period 15,000 $ 1.00 Vested during the period (7,500 ) $ 1.00 Outstanding at June 30, 2019 389,743 $ 1.00 The following table summarizes the weighted average remaining contractual life and exercise price of preferred stock warrants outstanding at June 30, 2019: Preferred Stock Warrants Outstanding Preferred Stock Warrants Exercisable Weighted Number Average Weighted Number Weighted Outstanding at Remaining Average Exercisable at Average June 30, Contractual Exercise June 30, Exercise 2019 Life (Years) Price 2019 Price $0.03-0.10 413,493 28.6 $1.00 23,750 $1.00 No preferred stock warrants were exercised for the six month ended June 30, 2019 and 2018. At June 30, 2019, the total aggregate intrinsic value of preferred stock warrants outstanding was $9,923,832. The aggregate intrinsic value of preferred stock warrants exercisable was $570,000. The intrinsic value of our preferred stock warrants is calculated as the amount by which the liquidation value of our Series A Redeemable Convertible Preferred Stock ($25) exceeds the exercise price of the warrant ($1). |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Jun. 30, 2019 | |
EARNINGS PER SHARE | |
EARNINGS PER SHARE | Basic net income per share is computed by dividing net income during the period by the weighted-average number of common shares outstanding, excluding the dilutive effects of common stock equivalents. Common stock equivalents include redeemable convertible preferred stock, stock options and warrants. Diluted net income per share is computed by dividing net income by the weighted-average number of dilutive common shares outstanding during the period. Diluted shares outstanding is calculated using the treasury stock method by adding to the weighted shares outstanding any potential shares of common stock from outstanding redeemable convertible preferred stock, stock options and warrants that are in-the-money. In periods when a net loss is reported, all common stock equivalents are excluded from the calculation because they would have an anti-dilutive effect, meaning the loss per share would be reduced. Therefore, in periods when a loss is reported, the calculation of basic and dilutive loss per share results in the same value. Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Net income $ 202,361 $ 112,536 $ 315,417 $ 120,697 Weighted average common shares used to calculate net income per share 90,477,798 90,477,798 90,477,798 90,477,798 Stock options and warrants to purchase common stock 17,635,664 9,325,744 13,878,399 10,708,643 Weighted average common shares used to calculate diluted net income per share 108,113,462 99,803,542 104,356,197 101,186,441 Net income per share – basic $ 0.00 $ 0.00 $ 0.00 $ 0.00 Net income per share - diluted $ 0.00 $ 0.00 $ 0.00 $ 0.00 The number of shares of potentially dilutive common stock related to options, warrants and redeemable convertible preferred stock that were excluded from the calculation of dilutive shares since the inclusion of such shares would be anti-dilutive for the three and six months ended June 30, 2019 and 2018 are shown below: Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Stock options and warrants to purchase common stock - 4,000,000 - 4,000,000 Warrants to purchase redeemable convertible preferred stock 2,604,063 1,354,113 2,604,063 1,354,113 Redeemable convertible preferred stock 10,489,997 10,639,991 10,489,997 10,639,991 Total potential common shares excluded 13,094,060 15,994,104 13,094,060 15,994,104 |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Nature of operations | We are a software developer and distributor of financial market data and related services to a global marketplace. We specialize in the collection, aggregation, and delivery of both delayed and real-time financial data content via the Internet. We develop and license software components that deliver dynamic content to banks, brokerage firms, financial institutions, mutual fund companies, online information and financial portals, media outlets, public companies, and corporate intranets. |
Basis of consolidation | The consolidated financial statements include the operations of QuoteMedia, Ltd., a wholly owned subsidiary of QuoteMedia, Inc. All intercompany transactions and balances have been eliminated. |
Foreign currency translation and transactions | The U.S. dollar is the functional currency of all our company's operations. Foreign currency asset and liability amounts are remeasured into U.S. dollars at end-of-period exchange rates, except for equipment and intangible assets, which are remeasured at historical rates. Foreign currency income and expenses are remeasured at average exchange rates in effect during the period, except for expenses related to balance sheet amounts remeasured at historical exchange rates. Exchange gains and losses arising from remeasurement of foreign currency-denominated monetary assets and liabilities are included in earnings in the period in which they occur. |
Allowances for doubtful accounts | We maintain an allowance for doubtful accounts for estimated losses resulting from the inability of the Company’s customers to make required payments. The Company determines the allowance by reviewing the age of the receivables and assessing the anticipated ability of customers to pay. No collateral is required for any of the receivables and the Company does not usually apply financing charges to outstanding accounts receivable balances. If the financial condition of our customers were to deteriorate, adversely affecting their ability to make payments, additional allowances would be required. The allowance for doubtful accounts was $100,000 as of June 30, 2019 and December 31, 2018. |
Accounting Pronouncements | Recently Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases In June 2018, the FASB issued ASU 2018-07, Compensation - Stock Compensation (Topic 718) Stock Compensation, Not Yet Adopted In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820) In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract Intangibles - Goodwill and Other Other accounting standards that have been issued by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company’s consolidated financial statements upon adoption. |
REVENUE (Tables)
REVENUE (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of disaggregated revenue | Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Portfolio Management Systems Corporate Quotestream $ 915,335 $ 881,557 $ 1,920,044 $ 1,747,020 Individual Quotestream 473,137 466,888 924,858 944,048 Interactive Content & Data Application 1,596,374 1,450,125 3,010,563 2,774,742 Total revenue $ 2,984,846 $ 2,798,570 $ 5,855,465 $ 5,465,810 |
Schedule of deferred revenue | Balance at December 31, 2018 $ 707,880 Revenue recognized in the current period from the amounts in the beginning balance (461,992 ) New deferrals, net of amounts recognized in the current period 523,233 Effects of foreign currency translation 7,443 Balance at June 30, 2019 $ 776,564 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Summary of lease | June 30, 2019 December 31, 2018 Operating Leases Operating lease right-of-use assets $ 228,229 $ - Current portion of operating lease liability $ 176,147 $ - Long-term portion of operating lease liability 63,204 - Total operating lease liability $ 239,351 $ - Finance Leases Computer equipment on financing lease $ 101,049 $ 101,049 Less: accumulated depreciation 35,362 17,836 Property and equipment, net $ 65,687 $ 83,213 Current portion of finance lease liability 32,189 30,083 Long-term portion of finance lease liability 31,051 46,457 Total finance lease liability $ 63,240 $ 76,540 June 30, 2019 December 31, 2018 Weighted Average Remaining Lease Term Operating leases 1.8 years - Finance leases 2.0 years 2.5 years Weighted Average Discount Rate Operating leases 9.7 % - Finance leases 8.9 % 8.9 % |
Maturities of lease liabilities | Year ending December 31, Operating Leases Finance Leases 2019 (excluding the six months ended June 30, 2019) $ 95,654 $ 18,266 2020 139,063 36,531 2021 22,855 12,170 2022 and thereafter - 2,151 Total lease payments 257,572 69,118 Less imputed interest (18,221 ) (5,878 ) Total $ 239,351 $ 63,240 |
Components of lease expense | Three months ended June 30, 2019 Six months ended June 30, 2019 Operating lease costs: Operating lease costs $ 46,090 $ 92,023 Short-term lease costs 33,311 65,761 Total operating lease costs $ 79,401 $ 157,784 Finance lease costs: Amortization $ 8,763 $ 17,526 Interest 1,543 3,217 Total finance lease cost $ 10,306 $ 20,743 |
Supplemental cash flow information | Three months ended June 30, 2019 Six months ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 46,150 $ 92,307 Operating cash flows from finance leases 1,543 3,217 Financing cash flows from finance leases 8,656 15,049 Right-of-use assets obtained in exchange for lease obligations: Operating leases - 307,549 |
STOCKHOLDERS' DEFICIT (Tables)
STOCKHOLDERS' DEFICIT (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Stockholders' deficit: | |
Summary of stock based compensation expense | Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Sales and marketing $ 99,291 $ 99,291 $ 198,582 $ 198,582 General and administrative 2,700 12,700 5,400 25,400 Development 1,125 1,125 2,250 2,250 Stock based compensation expense $ 103,116 $ 113,116 $ 206,232 $ 226,232 |
Non-vested common stock warrant and stock option activity | Common Stock Options and Warrants Weighted-Average Grant Date Exercise Price Non-vested at January 1, 2019 6,225,000 $ 0.08 Vested during the period (200,000 ) $ 0.04 Non-vested at June 30, 2019 6,025,000 $ 0.08 Common Stock Options and Warrants Outstanding Common Stock Options and Warrants Exercisable Weighted Number Average Weighted Number Weighted Outstanding at Remaining Average Exercisable at Average June 30, Contractual Exercise June 30, Exercise 2019 Life (Years) Price 2019 Price $0.03-0.10 26,372,803 9.9 $0.06 20,347,803 $0.05 |
Preferred stock warrant activity | Preferred Stock Warrants Weighted-Average Exercise Price Outstanding at December 31, 2018 398,493 $ 1.00 Granted during the period 15,000 $ 1.00 Outstanding at June 30, 2019 413,493 $ 1.00 Preferred Stock Warrants Outstanding Preferred Stock Warrants Exercisable Weighted Number Average Weighted Number Weighted Outstanding at Remaining Average Exercisable at Average June 30, Contractual Exercise June 30, Exercise 2019 Life (Years) Price 2019 Price $0.03-0.10 413,493 28.6 $1.00 23,750 $1.00 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
EARNINGS PER SHARE | |
Schedule of earnings per share, basic and diluted | Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Net income $ 202,361 $ 112,536 $ 315,417 $ 120,697 Weighted average common shares used to calculate net income per share 90,477,798 90,477,798 90,477,798 90,477,798 Stock options and warrants to purchase common stock 17,635,664 9,325,744 13,878,399 10,708,643 Weighted average common shares used to calculate diluted net income per share 108,113,462 99,803,542 104,356,197 101,186,441 Net income per share – basic $ 0.00 $ 0.00 $ 0.00 $ 0.00 Net income per share - diluted $ 0.00 $ 0.00 $ 0.00 $ 0.00 |
Schedule of potentially dilutive securities excluded from the computation of earnings per share | Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Stock options and warrants to purchase common stock - 4,000,000 - 4,000,000 Warrants to purchase redeemable convertible preferred stock 2,604,063 1,354,113 2,604,063 1,354,113 Redeemable convertible preferred stock 10,489,997 10,639,991 10,489,997 10,639,991 Total potential common shares excluded 13,094,060 15,994,104 13,094,060 15,994,104 |
BASIS OF PRESENTATION (Details
BASIS OF PRESENTATION (Details Narrative) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Working capital deficit | $ 564,968 | |
Deferred revenue | $ 776,564 | $ 707,880 |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||
Allowance for doubtful accounts | $ 100,000 | $ 100,000 |
REVENUE (Details)
REVENUE (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Total revenue | $ 2,984,846 | $ 2,798,570 | $ 5,855,465 | $ 5,465,810 |
Corporate Quotestream | ||||
Total revenue | 915,335 | 881,557 | 1,920,044 | 1,747,020 |
Individual Quotestream | ||||
Total revenue | 473,137 | 466,888 | 924,858 | 944,048 |
Interactive Content & Data Applications | ||||
Total revenue | $ 1,596,374 | $ 1,450,125 | $ 3,010,563 | $ 2,774,742 |
REVENUE (Details 1)
REVENUE (Details 1) | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Balance at January 1, 2019 | $ 707,880 |
Revenue recognized in the current period from the amounts in the beginning balance | (461,992) |
New deferrals, net of amounts recognized in the current period | 523,233 |
Effects of foreign currency translation | 7,443 |
Balance at June 30, 2019 | $ 776,564 |
LEASES (Details)
LEASES (Details) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 228,229 | $ 0 |
Current portion of operating lease liability | 176,147 | 0 |
Long-term portion of operating lease liability | 63,204 | 0 |
Total operating lease liability | 239,351 | 0 |
Computer equipment on financing lease | 101,049 | 101,049 |
Less: accumulated depreciation | 35,362 | 17,836 |
Property and equipment, net | 65,687 | 83,213 |
Current portion of finance lease liability | 32,189 | 30,083 |
Long-term portion of finance lease liability | 31,051 | 46,457 |
Total finance lease liability | $ 63,240 | $ 76,540 |
Weighted Average Remaining Lease Term | ||
Operating leases | 1 year 9 months 18 days | |
Finance leases | 2 years | 2 years 6 months |
Weighted Average Discount Rate | ||
Operating leases | 9.70% | 0.00% |
Finance leases | 8.90% | 8.90% |
LEASES (Details 1)
LEASES (Details 1) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Operating Lease Obligations | ||
2019 (excluding the six months ended June 30, 2019) | $ 95,654 | |
2020 | 139,063 | |
2021 | 22,855 | |
2022 and thereafter | 0 | |
Total lease payments | 257,572 | |
Less imputed interest | (18,221) | |
Total | 239,351 | $ 0 |
Finance Leases Obligations Payable within: | ||
2019 (excluding the six months ended June 30, 2019) | 18,266 | |
2020 | 36,531 | |
2021 | 12,170 | |
2022 and thereafter | 2,151 | |
Total lease payments | 69,118 | |
Less imputed interest | (5,878) | |
Total | $ 63,240 | $ 76,540 |
LEASES (Details 2)
LEASES (Details 2) - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Operating lease costs: | ||
Operating lease costs | $ 46,090 | $ 92,023 |
Short-term lease costs | 33,311 | 65,761 |
Total operating lease costs | 79,401 | 157,784 |
Finance lease costs: | ||
Amortization | 8,763 | 17,526 |
Interest | 1,543 | 3,217 |
Total finance lease cost | $ 10,306 | $ 20,743 |
LEASES (Details 3)
LEASES (Details 3) - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from operating leases | $ 46,150 | $ 92,307 |
Operating cash flows from finance leases | 1,543 | 3,217 |
Financing cash flows from finance leases | 8,656 | 15,049 |
Right-of-use assets obtained in exchange for lease obligations: | ||
Operating leases | $ 0 | $ 307,549 |
STOCKHOLDERS' DEFICIT (Details)
STOCKHOLDERS' DEFICIT (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Sales and marketing | $ 486,401 | $ 487,930 | $ 930,000 | $ 935,988 |
General and administrative | 524,923 | 500,238 | 1,046,059 | 1,038,593 |
Stock-based compensation expense | 103,116 | 113,116 | 206,232 | 226,232 |
Stock Options and Warrants [Member] | ||||
Sales and marketing | 99,291 | 99,291 | 198,582 | 198,582 |
General and administrative | 2,700 | 12,700 | 5,400 | 25,400 |
Development | 1,125 | 1,125 | 2,250 | 2,250 |
Stock-based compensation expense | $ 103,116 | $ 113,116 | $ 206,232 | $ 226,232 |
STOCKHOLDERS' DEFICIT (Details
STOCKHOLDERS' DEFICIT (Details 1) | 6 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Common Stock Options and Warrants | |
Shares | |
Outstanding - Opening Balance | shares | 6,225,000 |
Vested during the period | shares | (200,000) |
Outstanding - Ending Balance | shares | 6,025,000 |
Weighted-Average Exercise Price | |
Weighted-Average Exercise Price Outstanding - Opening Balance | $ / shares | $ 0.08 |
Vested during the period | $ / shares | 0.04 |
Weighted-Average Exercise Price Outstanding - Ending Balance | $ / shares | $ 0.08 |
Preferred Stock Warrant | |
Shares | |
Outstanding - Opening Balance | shares | 398,493 |
Granted during the period | shares | 15,000 |
Outstanding - Ending Balance | shares | 413,493 |
Weighted-Average Exercise Price | |
Weighted-Average Exercise Price Outstanding - Opening Balance | $ / shares | $ 1 |
Granted during the period | $ / shares | 1 |
Weighted-Average Exercise Price Outstanding - Ending Balance | $ / shares | $ 1 |
STOCKHOLDERS' DEFICIT (Detail_2
STOCKHOLDERS' DEFICIT (Details 2) - $0.03-$0.10 [Member] | 6 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Number Outstanding | shares | 26,372,803 |
Weighted Average Remaining Contractual Life | 9 years 10 months 24 days |
Weighted-Average Exercise Price, Outstanding | $ / shares | $ 0.06 |
Number Exercisable | shares | 20,347,803 |
Weighted-Average Exercise Price, Exercisable | $ / shares | $ 0.05 |
STOCKHOLDERS' DEFICIT (Detail_3
STOCKHOLDERS' DEFICIT (Details 3) - Preferred stock warrant [Member] | 6 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Warrants | |
Outstanding - Opening Balance | shares | 382,243 |
Warrants granted | shares | 15,000 |
Vested during the period | shares | (7,500) |
Outstanding - Ending Balance | shares | 389,743 |
Weighted-Average Exercise Price | |
Weighted-Average Exercise Price Outstanding - Opening Balance | $ / shares | $ 1 |
Warrants granted | $ / shares | 1 |
Vested during the period | $ / shares | 1 |
Weighted-Average Exercise Price Outstanding - Ending Balance | $ / shares | $ 1 |
STOCKHOLDERS' DEFICIT (Detail_4
STOCKHOLDERS' DEFICIT (Details 4) - Preferred Stock Warrant - $ / shares | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Range of exercise price, minimum | $ 0.03 | |
Range of exercise price, maximum | $ 0.10 | |
Number Outstanding | 413,493 | 398,493 |
Weighted Average Remaining Contractual Life | 28 years 7 months 6 days | |
Weighted-Average Exercise Price, Outstanding | $ 1 | $ 1 |
Number Exercisable | 23,750 | |
Weighted-Average Exercise Price, Exercisable | $ 1 |
STOCKHOLDERS' DEFICIT (Detail_5
STOCKHOLDERS' DEFICIT (Details Narrative) - shares | Jun. 30, 2019 | Dec. 31, 2018 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares designated | 550,000 | 550,000 |
Series A Redeemable Convertible Preferred Stock [Member] | ||
Convertible preferred stock issued | 124,485 | 125,885 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
EARNINGS PER SHARE | ||||||
Net income (loss) | $ 202,361 | $ 113,056 | $ 112,536 | $ 8,161 | $ 315,417 | $ 120,697 |
Weighted average common shares used to calculate net income per share | 90,477,798 | 90,477,798 | 90,477,798 | 90,477,798 | ||
Stock options and warrants to purchase common stock | 17,635,664 | 9,325,744 | 13,878,399 | 10,708,643 | ||
Weighted average common shares used to calculate diluted net income per share | 108,113,462 | 99,803,542 | 104,356,197 | 101,186,441 | ||
Net income (loss) per share - basic | $ 0 | $ 0 | $ 0 | $ 0 | ||
Net income (loss) per share - diluted | $ 0 | $ 0 | $ 0 | $ 0 |
EARNINGS PER SHARE (Details 1)
EARNINGS PER SHARE (Details 1) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Total potential common shares excluded | 13,094,060 | 15,994,104 | 13,094,060 | 15,994,104 |
Stock options and warrants to purchase common stock | ||||
Total potential common shares excluded | 4,000,000 | 4,000,000 | ||
Preferred stock warrant [Member] | ||||
Total potential common shares excluded | 2,604,063 | 1,354,113 | 2,604,063 | 1,354,113 |
Series A Redeemable Convertible Preferred Stock [Member] | ||||
Total potential common shares excluded | 10,489,997 | 10,639,991 | 10,489,997 | 10,639,991 |