Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 03, 2022 | |
Document Information Line Items | ||
Entity Registrant Name | RUBICON TECHNOLOGY, INC. | |
Trading Symbol | RBCN | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 2,462,889 | |
Amendment Flag | false | |
Entity Central Index Key | 0001410172 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-33834 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 36-4419301 | |
Entity Address, Address Line One | 900 East Green Street | |
Entity Address, City or Town | Bensenville | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60106 | |
City Area Code | (847) | |
Local Phone Number | 295-7000 | |
Title of 12(b) Security | Common Stock, par value $.001 per share | |
Security Exchange Name | NASDAQ | |
Entity Interactive Data Current | Yes |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalents | $ 10,673 | $ 11,260 |
Short-term investments | 15,834 | 14,751 |
Accounts receivable, net | 1,025 | 719 |
Inventories | 651 | 658 |
Other inventory supplies | 125 | 133 |
Prepaid expenses and other current assets | 103 | 167 |
Assets held for sale | 529 | 529 |
Total current assets | 28,940 | 28,217 |
Grants receivable | 250 | |
Inventories, non-current | 533 | 468 |
Property and equipment, net | 2,241 | 2,301 |
Total assets | 31,964 | 30,986 |
Liabilities and stockholders’ equity | ||
Accounts payable | 380 | 545 |
Accrued payroll | 519 | 426 |
Accrued and other current liabilities | 234 | 220 |
Corporate income and franchise taxes | 300 | 327 |
Accrued real estate taxes | 75 | 78 |
Advance payments | 2 | |
Total current liabilities | 1,508 | 1,598 |
Total liabilities | 1,508 | 1,598 |
Commitments and contingencies (Note 8) | ||
Stockholders’ equity | ||
Preferred stock, $.001 par value, 1,000,000 undesignated shares authorized, no shares issued or outstanding | ||
Common stock, $.001 par value, 8,200,000 shares authorized; 2,995,680 and 2,995,680 shares issued; 2,446,652 and 2,446,652 shares outstanding, respectively | 29 | 29 |
Additional paid-in capital | 376,677 | 376,640 |
Treasury stock, at cost, 549,028 and 549,028 shares | (15,147) | (15,147) |
Accumulated other comprehensive loss | (1) | (1) |
Accumulated deficit | (331,102) | (332,133) |
Total stockholders’ equity | 30,456 | 29,388 |
Total liabilities and stockholders’ equity | $ 31,964 | $ 30,986 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Preferred stock par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value (in Dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 8,200,000 | 8,200,000 |
Common stock, shares issued | 2,995,680 | 2,995,680 |
Common stock, shares outstanding | 2,446,652 | 2,446,652 |
Treasury stock, shares | 549,028 | 549,028 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Revenue | $ 805 | $ 848 | $ 1,777 | $ 1,343 |
Cost of goods sold | 439 | 633 | 1,019 | 1,020 |
Gross profit | 366 | 215 | 758 | 323 |
Operating expenses: | ||||
General and administrative | 722 | 524 | 1,226 | 1,275 |
Sales and marketing | 31 | 67 | 71 | 137 |
Gain on sale or disposal of assets | (639) | (370) | (1,071) | (370) |
Other gain | (189) | |||
Income (loss) from continuing operations | 252 | (6) | 721 | (719) |
Other income: | ||||
Interest income | 30 | 2 | 34 | 3 |
Unrealized gain on equity investments | 4 | 11 | ||
Grant revenue | 250 | 250 | ||
Total other income | 284 | 2 | 295 | 3 |
Income (loss) before income taxes from continuing operations | 536 | (4) | 1,016 | (716) |
Income tax expense | ||||
Income (loss) from continuing operations | 536 | (4) | 1,016 | (716) |
Income (loss) from discontinued operations, net of taxes | 1 | (115) | 15 | (210) |
Net income (loss) | $ 537 | $ (119) | $ 1,031 | $ (926) |
Net income (loss) per common share: basic | ||||
Continuing operations (in Dollars per share) | $ 0.22 | $ 0 | $ 0.42 | $ (0.29) |
Discontinued operations (in Dollars per share) | 0 | (0.05) | 0.01 | (0.09) |
Net income (loss) per common share: diluted | ||||
Continuing operations (in Dollars per share) | 0.22 | 0 | 0.41 | (0.29) |
Discontinued operations (in Dollars per share) | $ 0 | $ (0.05) | $ 0.01 | $ (0.09) |
Weighted average common shares outstanding used in computing net income (loss) per common share | ||||
Basic (in Shares) | 2,446,652 | 2,433,725 | 2,446,652 | 2,433,725 |
Diluted (in Shares) | 2,475,446 | 2,433,725 | 2,461,465 | 2,433,725 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Income (loss) from continuing operations | $ 536 | $ (4) | $ 1,016 | $ (716) |
Income (loss) from discontinued operations | 1 | (115) | 15 | (210) |
Net income (loss) | 537 | (119) | 1,031 | (926) |
Other comprehensive income (loss): | ||||
Unrealized gain on investments | 1 | |||
Comprehensive income (loss) | $ 538 | $ (119) | $ 1,031 | $ (926) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders’ Equity (Unaudited) - USD ($) $ in Thousands | Common stock | Treasury stock | Additional paid-in capital | Accum other comp loss | Accum deficit | Total |
Balance at Dec. 31, 2020 | $ 29 | $ (15,147) | $ 376,456 | $ 0 | $ (331,403) | $ 29,935 |
Balance (in Shares) at Dec. 31, 2020 | 2,971,283 | (549,028) | ||||
Stock-based compensation | 341 | 341 | ||||
Common stock issued, net of shares withheld for employee taxes | (162) | (162) | ||||
Common stock issued, net of shares withheld for employee taxes (in Shares) | 16,600 | |||||
Net income (loss) | (807) | (807) | ||||
Balance at Mar. 31, 2021 | $ 29 | $ (15,147) | 376,635 | (332,210) | 29,307 | |
Balance (in Shares) at Mar. 31, 2021 | 2,987,883 | (549,028) | ||||
Balance at Dec. 31, 2020 | $ 29 | $ (15,147) | 376,456 | 0 | (331,403) | 29,935 |
Balance (in Shares) at Dec. 31, 2020 | 2,971,283 | (549,028) | ||||
Net income (loss) | (926) | |||||
Balance at Jun. 30, 2021 | $ 29 | $ (15,147) | 376,645 | (332,329) | 29,198 | |
Balance (in Shares) at Jun. 30, 2021 | 2,994,223 | (549,028) | ||||
Balance at Mar. 31, 2021 | $ 29 | $ (15,147) | 376,635 | (332,210) | 29,307 | |
Balance (in Shares) at Mar. 31, 2021 | 2,987,883 | (549,028) | ||||
Stock-based compensation | 30 | 30 | ||||
Common stock issued, net of shares withheld for employee taxes | (20) | (20) | ||||
Common stock issued, net of shares withheld for employee taxes (in Shares) | 6,340 | |||||
Net income (loss) | (119) | (119) | ||||
Balance at Jun. 30, 2021 | $ 29 | $ (15,147) | 376,645 | (332,329) | 29,198 | |
Balance (in Shares) at Jun. 30, 2021 | 2,994,223 | (549,028) | ||||
Balance at Dec. 31, 2021 | $ 29 | $ (15,147) | 376,640 | (1) | (332,133) | 29,388 |
Balance (in Shares) at Dec. 31, 2021 | 2,995,680 | (549,028) | ||||
Stock-based compensation | 18 | 18 | ||||
Unrealized gain (loss) on investments, net of tax | (1) | (1) | ||||
Net income (loss) | 494 | 494 | ||||
Balance at Mar. 31, 2022 | $ 29 | $ (15,147) | 376,658 | (2) | (331,639) | 29,899 |
Balance (in Shares) at Mar. 31, 2022 | 2,995,680 | (549,028) | ||||
Balance at Dec. 31, 2021 | $ 29 | $ (15,147) | 376,640 | (1) | (332,133) | 29,388 |
Balance (in Shares) at Dec. 31, 2021 | 2,995,680 | (549,028) | ||||
Net income (loss) | 1,031 | |||||
Balance at Jun. 30, 2022 | $ 29 | $ (15,147) | 376,677 | (1) | (331,102) | 30,456 |
Balance (in Shares) at Jun. 30, 2022 | 2,995,680 | (549,028) | ||||
Balance at Mar. 31, 2022 | $ 29 | $ (15,147) | 376,658 | (2) | (331,639) | 29,899 |
Balance (in Shares) at Mar. 31, 2022 | 2,995,680 | (549,028) | ||||
Stock-based compensation | 19 | 19 | ||||
Unrealized gain (loss) on investments, net of tax | 1 | 1 | ||||
Net income (loss) | 537 | 537 | ||||
Balance at Jun. 30, 2022 | $ 29 | $ (15,147) | $ 376,677 | $ (1) | $ (331,102) | $ 30,456 |
Balance (in Shares) at Jun. 30, 2022 | 2,995,680 | (549,028) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from continuing operating activities | ||
Income (loss) from continuing operations | $ 1,016 | $ (716) |
Adjustments to reconcile net income (loss) from continuing operations to net cash used in continuing operations | ||
Depreciation and amortization | 60 | 74 |
Gain on sale or disposal of assets | (1,071) | (370) |
Other gain | (189) | |
Stock-based compensation | 37 | 371 |
Unrealized gain on equity investments, net | (11) | |
Changes in operating assets and liabilities: | ||
Accounts receivable | (314) | (1) |
Inventories | (58) | 106 |
Other inventory supplies | (7) | 2 |
Prepaid expenses and other assets | 63 | 143 |
Grants receivable | (250) | |
Accounts payable | (47) | (108) |
Accrued payroll | 92 | 63 |
Accrued real estate taxes | (2) | 3 |
Corporate income and franchise taxes | (27) | 11 |
Advanced payments | (1) | (18) |
Accrued and other current liabilities | 108 | 13 |
Net cash used in continuing operations | (601) | (427) |
Cash flows used in discontinued operations | (190) | |
Cash flows from investing activities | ||
Proceeds from sale or disposal of assets | 1,086 | 370 |
Purchases of investments | (1,091) | (3) |
Proceeds from sale of investments | 19 | 1 |
Net cash provided by investing activities | 14 | 368 |
Cash flows from financing activities | ||
Taxes paid related to net share settlement of equity awards | (181) | |
Net cash used in financing activities | (181) | |
Net decrease in cash and cash equivalents | (587) | (430) |
Cash and cash equivalents, beginning of period | 11,260 | 11,130 |
Cash and cash equivalents, end of period | $ 10,673 | $ 10,700 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
BASIS OF PRESENTATION | 1. BASIS OF PRESENTATION Interim financial data The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for complete consolidated financial statements and should be read in conjunction with Rubicon Technology, Inc.’s (the “Company”) annual report filed on Form 10-K for the fiscal year ended December 31, 2021. In the opinion of management, all adjustments (consisting only of adjustments of a normal and recurring nature) considered necessary for a fair presentation of the results of operations have been included. Consolidated operating results for the three and six-month periods ended June 30, 2022, are not necessarily indicative of results that may be expected for the year ending December 31, 2022. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of consolidation The Consolidated Financial Statements include the accounts of the Company and its wholly owned subsidiaries, Rubicon Worldwide LLC, doing business as Rubicon Technology Worldwide LLC, Rubicon Technology BP LLC, and the discontinued operations of Rubicon DTP LLC. In June 2021, the operations of Rubicon DTP LLC were discontinued. All intercompany transactions and balances have been eliminated in consolidation. Investments We invest our available cash primarily in U.S. Treasury securities, investment grade commercial paper, FDIC guaranteed certificates of deposit, common stock, equity-related securities and corporate notes. Investments classified as available-for-sale debt securities are carried at fair value with unrealized gains and losses recorded in accumulated other comprehensive income (loss). Investments in equity securities are reported at fair value, with both realized and unrealized gains and losses recorded in other income (expenses), in the Consolidated Statements of Operations. Investments in which the Company has the ability and intent, if necessary, to liquidate in order to support the current operations are classified as short-term. The Company reviews its available-for-sale debt securities investments at the end of each quarter for other-than-temporary declines in fair value based on the specific identification method. The Company considers various factors in determining whether an impairment is other-than-temporary, including the severity and duration of the impairment, changes in underlying credit ratings, forecasted recovery, its ability and intent to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made. When the Company concludes that an other-than-temporary impairment has resulted, the difference between the fair value and carrying value is written off and recorded as a charge on the Consolidated Statements of Operations. Accounts receivable The majority of the Company’s accounts receivable is due from defense subcontractors, industrial manufacturers, fabricators, and resellers. Credit is extended based on an evaluation of the customer’s financial condition. Accounts receivable are due based on contract terms and at stated amounts due from customers, net of an allowance for doubtful accounts. Losses from credit sales are provided for in the financial statements. Accounts outstanding longer than the contractual payment terms are considered past due. The Company determines its allowance by considering a number of factors, including length of time customer’s account is past due, customer’s current ability to pay and the condition of the general economy and industry as a whole. The Company writes off accounts receivable when they are deemed uncollectible and such write-offs, net of payments received, are recorded as a reduction to the allowance. Grants receivable and grant revenue Section 2301 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) and its subsequent amendments in sections 206 and 207 of the Taxpayer Certainty and Disaster Tax Relief Act of 2020, provides for a refundable payroll tax credit (Employee Retention Credit or ERC) to eligible employers with less than 500 employees who paid qualified wages after March 12, 2020 and before June 30, 2021. During the quarter ended June 30, 2022, the Company determined that although it did not meet the eligibility conditions during the period beginning March 12, 2020 and ending December 31, 2020, it did qualify to claim the ERC for the periods ending March 31, 2021 and June 30, 2021. As such, the Company recorded Grant Revenue and Grants Receivable of approximately $250,000 related to its pending ERC claim analogous to ASC Subtopic 958-605. Since the Company does not expect to receive the funds for the ERC claim for at least twelve months, the receivable has been classified as a non-current asset on its balance sheet. Purchases of Equity Securities by the Issuer and Affiliated Purchasers In November 2018, the Company’s Board of Directors authorized a program to repurchase up to $3,000,000 of its common stock. In July 2020, the Company used all of the original authorized $3,000,000. On December 14, 2020, Rubicon’s Board of Directors authorized an additional $3,000,000 for the repurchase of the Company’s common stock. The Company’s share repurchase program does not obligate it to acquire any specific number of shares. The timing, price and volume of repurchases will be based on market conditions, relevant securities laws and other factors. The stock repurchases may be made from time to time, through solicited or unsolicited transactions in the open market, in privately negotiated transactions or pursuant to a Rule 10b5-1 plan. The program may be terminated, suspended or modified at any time. There can be no assurance as to the number of shares of common stock repurchased. The Company records treasury stock purchases under the cost method whereby the entire cost of the acquired stock is recorded as treasury stock. No shares of the Company’s common stock were repurchased during the six months ended June 30, 2022. The dollar value of shares that may yet to be purchased under the program is $3,000,000. Inventories Inventories are valued at the lower of cost or net realizable value. Net realizable value is determined based on an estimated selling price in the ordinary course of business less reasonably predictable costs of completion and disposal. Raw materials cost is determined using the first-in, first-out method, and work-in-process and finished goods costs are determined on a standard cost basis, which includes materials, labor and manufacturing overhead. The Company reduces the carrying value of its inventories for differences between the cost and the estimated net realizable value, taking into account usage, expected demand, technological obsolescence and other information. The Company establishes inventory reserves when conditions exist that suggest inventory may be in excess of anticipated demand or is obsolete based on customer specifications. The Company evaluates the ability to realize the value of its inventory based on a combination of factors, including forecasted sales, estimated current and future market value and changes in customers’ product specifications. The Company’s method of estimating excess and obsolete inventory has remained consistent for all periods presented. Inventories of continuing operations consisted of the following: June 30, December 31, (in thousands) Raw materials $ 444 $ 468 Work-in-process 333 328 Finished goods 407 330 $ 1,184 $ 1,126 Discontinued operations had no inventories as of June 30, 2022 and December 31, 2021, respectively. As of June 30, 2022 and December 31, 2021, the Company made the determination that certain inventories were such that the likelihood of significant usage within the current year was doubtful and reclassified such inventory items as non-current in the reported financial statements. Property and equipment Property and equipment of continuing operations consisted of the following: June 30, 2022 December 31, 2021 (in thousands) Machinery, equipment and tooling $ 3,296 $ 3,296 Buildings 1,711 1,711 Information systems 819 819 Land and land improvements 594 594 Furniture and fixtures 7 7 Total cost 6,427 6,427 Accumulated depreciation and amortization (4,186 ) (4,126 ) Property and equipment, net $ 2,241 $ 2,301 Discontinued operations had no property and equipment as of June 30, 2022 and December 31, 2021, respectively. Assets held for sale and long-lived assets When circumstances, such as adverse market conditions, indicate that the carrying value of a long-lived asset may be impaired, the Company performs an analysis to review the recoverability of the asset’s carrying value. The Company makes estimates of the undiscounted cash flows (excluding interest charges) from the expected future operations of the asset. These estimates consider factors such as expected future operating income, operating trends and prospects, as well as the effects of demand, competition and other factors. If the analysis indicates that the carrying value is not recoverable from future cash flows, an impairment loss is recognized to the extent that the carrying value exceeds the estimated fair value. The estimated fair value of assets is determined using appraisal techniques, which assume the highest and best use of the asset by market participants, considering the use of the asset that is physically possible, legally permissible and financially feasible at the measurement date. Any impairment losses are recorded as operating expenses which reduce net income. For the year ended December 31, 2021, the Company reviewed the current fair value of its assets and concluded no adjustments were needed. Additionally, no adjustments were recorded for the three and six months ended June 30, 2022. The Company will continue to assess its long-lived assets to ensure the carrying amount of these assets is still appropriate given any changes in the asset usage, marketplace and other factors used in determining the current fair value. The Company completed a sale of excess consumable assets in the amount of approximately $654,000 and $1,086,000 during the three months and six months ended June 30, 2022, respectively. On February 7, 2022, we entered into a real estate sale contract to sell our parcel of land in Batavia, Illinois for $722,000 and expect our net proceeds, if the sale is consummated, after the payment of fees, real estate taxes, brokerage and legal fees, transfer and withholding taxes and other expenses to be approximately $600,000. The closing of the sale of the Property is subject to certain conditions precedent. There is currently no anticipated closing date. Revenue recognition The Company recognizes revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers The Company does not provide maintenance or other services and it does not have sales that involve bill and hold arrangements, multiple elements or deliverables. However, the Company does provide product warranty for up to 90 days, for which the Company has accrued a warranty reserve of $1,000 and $1,000 at June 30, 2022 and December 31, 2021, respectively. Net income (loss) per common share Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding during the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted-average number of diluted common shares outstanding during the period. Diluted shares outstanding are calculated by adding to the weighted-average shares (a) any outstanding stock options based on the treasury stock method and (b) restricted stock units (“RSU”). Basic and diluted net income (loss) per common share for the three months ended June 30, 2022 and 2021, were $0.22 and $0.00, respectively. For the six months ended June 30, 2022 and 2021, basic net income (loss) per common share were $0.42 and $(0.29), respectively, and diluted net income (loss) per common share for continuing operations were $0.41 and $(0.29), respectively. The Company had outstanding options exercisable into 3,050 and 7,000 shares of the Company’s common stock, and RSUs outstanding in the amount of 28,030 and 3,030 at June 30, 2022 and June 30, 2021, respectively. These options and RSU’s did not have a material effect at June 30, 2022 and would have been anti-dilutive at June 30, 2021. New accounting pronouncements adopted The Company has evaluated other recently issued accounting pronouncements and does not believe that any of these pronouncements will have a significant impact the Company’s consolidated financial statements and related disclosures. |
Investments
Investments | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure Text Block Supplement [Abstract] | |
INVESTMENTS | 3. INVESTMENTS The Company invests its available cash primarily in U.S. Treasury securities, investment grade commercial paper, FDIC guaranteed certificates of deposit, equity-related securities and corporate notes. Investments classified as available-for-sale debt securities are carried at fair value with unrealized gains and losses recorded in accumulated other comprehensive income/(loss). Investments in equity securities are reported at fair value, with both realized and unrealized gains and losses recorded in other income (expense), in the consolidated statements of operations. The following table presents the amortized cost and gross unrealized losses on all securities at June 30, 2022: Amortized Gross Gross Fair (in thousands) Short-term investments: U.S. Treasury securities $ 14,768 $ - $ - $ 14,768 Marketable securities 1,055 11 - 1,066 Total short-term investments 15,823 11 - 15,834 The following table presents the amortized cost and gross unrealized losses on all securities at December 31, 2021: Amortized Gross Gross Fair (in thousands) Short-term investments: U.S. Treasury securities $ 14,751 $ - $ - $ 14,751 Total short-term investments 14,751 - - 14,751 The Company values its investments at fair value, defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value, which are the following: ● Level 1—Quoted prices in active markets for identical assets or liabilities. ● Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. ● Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company’s fixed-income available-for-sale debt securities consist of U.S. Treasury securities. The Company values these securities based on pricing from pricing vendors, who may use quoted prices in active markets for identical assets (Level 1 inputs) or inputs other than quoted prices that are observable either directly or indirectly (Level 2 inputs) in determining fair value. The valuation techniques used to measure the fair value of the Company’s financial instruments having Level 2 inputs were derived from non-binding market consensus prices that are corroborated by observable market data, quoted market prices for similar instruments, or pricing models, such as discounted cash flow techniques. The following table summarizes the Company’s financial assets measured at fair value on a recurring basis as of June 30, 2022: Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 3,088 $ - $ - $ 3,088 Investments: Available-for-sale securities — current: U.S. Treasury securities - 14,768 - 14,768 Marketable securities 1,066 - - 1,066 Total $ 4,154 $ 14,768 $ - $ 18,922 The following table summarizes the Company’s financial assets measured at fair value on a recurring basis as of December 31, 2021: Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 3,137 $ - $ - $ 3,137 Investments: Available-for-sale securities — current: U.S. Treasury securities - 14,751 - 14,751 Total $ 3,137 $ 14,751 $ - $ 17,888 There are no terms or conditions restricting the Company from redeeming any of its investments. In addition to the debt securities noted above, the Company had approximately $7,600,000 and $8,100,000 of time deposits included in cash and cash equivalents as of June 30, 2022 and December 31, 2021, respectively. |
Discontinued Operations_ Closur
Discontinued Operations: Closure of Direct Dose Rx | 6 Months Ended |
Jun. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISCONTINUED OPERATIONS: Closure of Direct Dose Rx | 4. DISCONTINUED OPERATIONS: Closure of Direct Dose Rx On June 24, 2021, the Company’s Board of Directors decided to close its pharmacy operations, Rubicon DTP LLC, doing business as Direct Dose Rx. Immediately thereafter, Direct Dose Rx began transitioning its customers to other providers and began the process of closing its operations. Direct Dose was launched as a start-up pharmacy primarily to deliver medications and vitamins to patients being discharged from skilled nursing facilities. Based on the Company’s review and analysis of ASC 205-20 Presentation of Discontinued Operations, it concluded to present the discontinued operations separately. Three months ended Six months ended 2022 2021 2022 2021 (unaudited) (in thousands) Revenues (discontinued operations) $ - $ 136 - $ 370 Operating (income) expense (discontinued operations) (1 ) 251 (15 ) 580 Income (loss) from discontinued operations, net of taxes $ 1 $ (115 ) $ 15 $ (210 ) |
Significant Customers
Significant Customers | 6 Months Ended |
Jun. 30, 2022 | |
Significant Customers Disclosure [Abstract] | |
SIGNIFICANT CUSTOMERS | 5. SIGNIFICANT CUSTOMERS For the three months ended June 30, 2022, the Company had six customers individually that accounted for approximately 17%, 16%, 14%, 13%, 12% and 10% of revenue. For the three months ended June 30, 2021, the Company had three customers individually that accounted for approximately 16%, 12%, and 12% of revenue. For the six months ended June 30, 2022, the Company had five customers that accounted for approximately 17%, 14%, 12%, 11% and 11% of revenue. For the six months ended June 30, 2021, the Company had three customers that accounted for approximately 12%, 11%, and 10% of revenue. No other customer accounted for 10% or more of the Company’s revenues during the three and six months ended June 30, 2022 and 2021. We expect our sales to continue to be concentrated among a small number of customers. We also expect that our significant customers may change from time to time. Customers individually representing more than 10% of trade receivables accounted for approximately 66% and 80% of accounts receivable as of June 30, 2022 and December 31, 2021, respectively. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS’ EQUITY | 6. STOCKHOLDERS’ EQUITY Common shares reserved As of June 30, 2022, the Company had reserved 3,050 and 28,030 shares of common stock for issuance upon the exercise of outstanding common stock options and vesting of RSUs, respectively. Also, 305,731 shares of the Company’s common stock were reserved for future grants of stock options and RSUs (or other similar equity instruments) under the Rubicon Technology, Inc. 2016 Stock Incentive Plan (the “2016 Plan”) as of June 30, 2022. |
Stock Incentive Plans
Stock Incentive Plans | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK INCENTIVE PLANS | 7. STOCK INCENTIVE PLANS In August 2007, the Company adopted the Rubicon Technology Inc. 2007 Stock Incentive Plan, which was amended and restated effective in March 2011 (the “2007 Plan”), and which allowed for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, RSUs, performance awards and bonus shares. The maximum number of shares that could be awarded under the 2007 Plan was 440,769 shares. Options granted under the 2007 Plan entitled the holder to purchase shares of the Company’s common stock at the specified option exercise price, which could not be less than the fair value of the common stock on the grant date. On June 24, 2016, the plan terminated with the adoption of the Rubicon Technology, Inc. 2016 Stock Incentive Plan (the “2016 Plan”). Any existing awards under the 2007 Plan remain outstanding in accordance with their current terms under the 2007 Plan. In June 2016, the Company’s stockholders approved adoption of the 2016 Plan effective as of March 17, 2016, which allows for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, RSUs, performance awards and bonus shares. The Compensation Committee of the Board administers the 2016 Plan. The committee determines the type of award to be granted, the fair value, the number of shares covered by the award, and the time when the award vests and may be exercised. Pursuant to the 2016 Plan, 305,731 shares of the Company’s common stock plus any shares subject to outstanding awards under the 2007 Plan that subsequently expire unexercised, are forfeited without the delivery of shares or are settled in cash, will be available for issuance under the 2016 Plan. The 2016 Plan will automatically terminate on March 17, 2026, unless the Company terminates it sooner. The following table summarizes the activity of the stock incentive and equity plans as of June 30, 2022, and changes during the six months then ended: Shares available for grant Number of options outstanding Weighted- average exercise price Number of restricted stock and board shares issued Number of RSUs outstanding At January 1, 2022 304,731 4,050 $ 14.16 99,570 28,030 Granted - - 0.00 - - Exercised/issued - - 6.10 - - Cancelled/forfeited 1,000 (1,000 ) 8.34 - - At June 30, 2022 305,731 3,050 $ 16.07 99,570 28,030 The Company’s aggregate intrinsic value is calculated as the difference between the exercise price of the underlying stock options and the fair value of the Company’s common stock. Based on the fair value of the common stock at June 30, 2022, there was $7,000 of intrinsic value arising from 2,250 in the money stock options exercisable and outstanding. The Company uses the Black-Scholes option pricing model to value stock options. The Company uses historical stock price average to determine its volatility assumptions. The assumed risk-free rates were based on U.S. Treasury rates in effect at the time of grant with a term consistent with the expected option lives. The expected term is based upon the vesting term of the Company’s options. The stock compensation expense was allocated using the straight-line method. As of September 2020, all options had been fully expensed. As such, there is no stock compensation expense or unrecognized compensation expense related to stock options as of June 30, 2022 and 2021. As of June 30, 2022 and December 31, 2021, the Company did not have any non-vested options. The Company used Monte Carlo simulation model valuation technique to determine the fair value of RSUs granted because the awards vest based upon achievement of market price targets. The Monte Carlo simulation model utilizes multiple input variables that determine the probability of satisfying the market condition stipulated in the award and calculates the fair value of each RSU. Compensation expense related to the RSUs is recognized by the Company over a service period that was derived from the statistical valuation methods used to estimate the fair value of the RSUs at grant date. During the three months and six months ended June 30, 2022, the Company recorded $18,417 and $36,834 respectively, in RSU expense related to employee compensation. For the three and six months ended June 30, 2021, no RSU expense related to employee compensation was recorded. The Company’s board of directors are compensated partially in cash and partially in RSUs. For the three and six months ended June 30, 2022, the Company recorded $7,500 and $15,000, respectively, of stock compensation expense related to RSUs granted to the board of directors. For the three and six months ended June 30, 2021, the Company recorded $7,500 and $15,000, respectively, of stock compensation expense related to RSUs granted to the board of directors. A summary of the Company’s RSUs for the six month period ended June 30, 2022 is presented below: RSUs outstanding Weighted time of Aggregate value Non-vested RSUs as of January 1, 2022 28,030 $ 9.29 Granted - 0.00 Vested - 0.00 Cancelled - 0.00 Non-vested RSUs at June 30, 2022 28,030 $ 9.29 $ 260,399 For the six months ended June 30, 2022, the Company did not recognize any expense for the granting of shares to employees of the Company as a bonus. For the six months ended June 30, 2021, the Company awarded approximately 31,550 shares to an officer of the Company with a fair market value of approximately $341,000. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 8. COMMITMENTS AND CONTINGENCIES Litigation From time to time, the Company experiences routine litigation in the normal course of its business. The management of the Company does not believe any pending litigation, will have a material adverse effect on the financial condition, results of operations or cash flows of the Company. COVID-19 Pandemic In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic. The full impact of the COVID-19 outbreak is unknown and cannot be reasonably estimated. The magnitude and duration of the COVID-19 outbreak, as well as other factors, could result in a material impact to the Company’s financial statements in future reporting periods. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 9. INCOME TAXES In 2017, the U.S. enacted the Tax Cuts and Jobs Act (the “Act”) which, among other provisions, reduced the U.S. corporate tax rate from 35% to 21% effective January 1, 2018. The SEC issued guidance, Staff Accounting Bulletin 118, on accounting for the tax effects of the Act. The guidance allows the Company to record provisional amounts for those impacts, with the requirement that the accounting be completed in a period not to exceed one year from the date of enactment. The Company has completed its accounting for the tax effects of enactment of the Act. The deemed inclusion from the repatriation tax increased from $3,900,000 at the time of provision to $5,000,000 at the time the calculation was finalized for the tax return. The increase of the inclusion related primarily to the refinement of Malaysia earnings and profits. As the Company is in a full valuation allowance position, an equal benefit adjustment was recorded for the impact of the increase of the deemed repatriation tax. The Company is subject to taxation in the U.S. and in U.S. state jurisdictions. On a quarterly basis, the Company assesses the recoverability of deferred tax assets and the need for a valuation allowance. Such evaluations involve the application of significant judgment, and multiple factors, both positive and negative, are considered. For the period ended June 30, 2022, a valuation allowance has been included in the 2021 forecasted effective tax rate. The Company is in a cumulative loss position for the past three years, which is considered significant negative evidence that is difficult to overcome on a “more likely than not” standard through objectively verifiable data. Under the accounting standards, objective verifiable evidence is given greater weight than subjective evidence such as the Company’s projections for future growth. Based on an evaluation in accordance with the accounting standards, as of December 31, 2015, a valuation allowance has been recorded against the net U.S. deferred tax assets in order to measure only the portion of the deferred tax assets that are more likely than not to be realized based on the weight of all available evidence. At June 30, 2022, the Company continues to be in a three-year cumulative loss position, therefore, until an appropriate level of profitability is attained, the Company expects to maintain a full valuation allowance on its U.S. net deferred tax assets. Any U.S. tax benefits or tax expense recorded on the Company’s consolidated statements of operations will be offset with a corresponding adjustment from the use of the net operating loss (“NOL”) carry-forward asset which currently has a full valuation allowance. In the event that the Company changes its determination as to the amount of deferred tax assets that can be realized, the Company will adjust its valuation allowance with a corresponding impact to the provision for income taxes in the period in which such determination is made. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | 10. SEGMENT INFORMATION Revenue is attributed by geographic region based on ship-to location of the Company’s customers. The following table summarizes revenue by geographic region: Three months ended Six months ended 2022 2021 2022 2021 (in thousands) (in thousands) North America $ 643 $ 754 $ 1,411 $ 1,108 Asia 133 70 326 209 Other 29 24 40 26 Total revenue $ 805 $ 848 $ 1,777 $ 1,343 For the three and six months ended June 30, 2022 and 2021, all revenues from continuing operations were from the sale of optical sapphire products. All of the Company’s assets are located in the United States. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 11. SUBSEQUENT EVENTS On July 5, 2022 the Company announced that it had entered into a definitive Stock Purchase and Sale Agreement (“Sale Agreement”) with Janel Corporation ("Janel"), pursuant to which Janel will commence a cash tender offer to purchase up to 45% of the outstanding shares of Rubicon's common stock on a fully-diluted basis at a price of $20.00 per share. The Sale Agreement and the transactions contemplated thereby have been unanimously approved by the board of directors of both companies. Janel's obligation to complete the tender offer, among other things, is subject to the receipt of at least 35% of the outstanding shares of Rubicon's common stock on a fully-diluted basis. Upon completion of the tender offer, Rubicon will distribute cash in the amount of $11.00 per share to the Company’s stockholders. Upon closing of the tender offer, two of Rubicon’s current directors will resign and Janel will have the right to select two individuals to fill the vacancies created by the resignations. The tender offer is expected to close in August of 2022. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Principles of consolidation | Principles of consolidation The Consolidated Financial Statements include the accounts of the Company and its wholly owned subsidiaries, Rubicon Worldwide LLC, doing business as Rubicon Technology Worldwide LLC, Rubicon Technology BP LLC, and the discontinued operations of Rubicon DTP LLC. In June 2021, the operations of Rubicon DTP LLC were discontinued. All intercompany transactions and balances have been eliminated in consolidation. |
Investments | Investments We invest our available cash primarily in U.S. Treasury securities, investment grade commercial paper, FDIC guaranteed certificates of deposit, common stock, equity-related securities and corporate notes. Investments classified as available-for-sale debt securities are carried at fair value with unrealized gains and losses recorded in accumulated other comprehensive income (loss). Investments in equity securities are reported at fair value, with both realized and unrealized gains and losses recorded in other income (expenses), in the Consolidated Statements of Operations. Investments in which the Company has the ability and intent, if necessary, to liquidate in order to support the current operations are classified as short-term. The Company reviews its available-for-sale debt securities investments at the end of each quarter for other-than-temporary declines in fair value based on the specific identification method. The Company considers various factors in determining whether an impairment is other-than-temporary, including the severity and duration of the impairment, changes in underlying credit ratings, forecasted recovery, its ability and intent to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made. When the Company concludes that an other-than-temporary impairment has resulted, the difference between the fair value and carrying value is written off and recorded as a charge on the Consolidated Statements of Operations. |
Accounts receivable | Accounts receivable The majority of the Company’s accounts receivable is due from defense subcontractors, industrial manufacturers, fabricators, and resellers. Credit is extended based on an evaluation of the customer’s financial condition. Accounts receivable are due based on contract terms and at stated amounts due from customers, net of an allowance for doubtful accounts. Losses from credit sales are provided for in the financial statements. Accounts outstanding longer than the contractual payment terms are considered past due. The Company determines its allowance by considering a number of factors, including length of time customer’s account is past due, customer’s current ability to pay and the condition of the general economy and industry as a whole. The Company writes off accounts receivable when they are deemed uncollectible and such write-offs, net of payments received, are recorded as a reduction to the allowance. |
Grants receivable and grant revenue | Grants receivable and grant revenue Section 2301 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) and its subsequent amendments in sections 206 and 207 of the Taxpayer Certainty and Disaster Tax Relief Act of 2020, provides for a refundable payroll tax credit (Employee Retention Credit or ERC) to eligible employers with less than 500 employees who paid qualified wages after March 12, 2020 and before June 30, 2021. During the quarter ended June 30, 2022, the Company determined that although it did not meet the eligibility conditions during the period beginning March 12, 2020 and ending December 31, 2020, it did qualify to claim the ERC for the periods ending March 31, 2021 and June 30, 2021. As such, the Company recorded Grant Revenue and Grants Receivable of approximately $250,000 related to its pending ERC claim analogous to ASC Subtopic 958-605. Since the Company does not expect to receive the funds for the ERC claim for at least twelve months, the receivable has been classified as a non-current asset on its balance sheet. |
Purchases of Equity Securities by the Issuer and Affiliated Purchasers | Purchases of Equity Securities by the Issuer and Affiliated Purchasers In November 2018, the Company’s Board of Directors authorized a program to repurchase up to $3,000,000 of its common stock. In July 2020, the Company used all of the original authorized $3,000,000. On December 14, 2020, Rubicon’s Board of Directors authorized an additional $3,000,000 for the repurchase of the Company’s common stock. The Company’s share repurchase program does not obligate it to acquire any specific number of shares. The timing, price and volume of repurchases will be based on market conditions, relevant securities laws and other factors. The stock repurchases may be made from time to time, through solicited or unsolicited transactions in the open market, in privately negotiated transactions or pursuant to a Rule 10b5-1 plan. The program may be terminated, suspended or modified at any time. There can be no assurance as to the number of shares of common stock repurchased. The Company records treasury stock purchases under the cost method whereby the entire cost of the acquired stock is recorded as treasury stock. No shares of the Company’s common stock were repurchased during the six months ended June 30, 2022. The dollar value of shares that may yet to be purchased under the program is $3,000,000. |
Inventories | Inventories Inventories are valued at the lower of cost or net realizable value. Net realizable value is determined based on an estimated selling price in the ordinary course of business less reasonably predictable costs of completion and disposal. Raw materials cost is determined using the first-in, first-out method, and work-in-process and finished goods costs are determined on a standard cost basis, which includes materials, labor and manufacturing overhead. The Company reduces the carrying value of its inventories for differences between the cost and the estimated net realizable value, taking into account usage, expected demand, technological obsolescence and other information. The Company establishes inventory reserves when conditions exist that suggest inventory may be in excess of anticipated demand or is obsolete based on customer specifications. The Company evaluates the ability to realize the value of its inventory based on a combination of factors, including forecasted sales, estimated current and future market value and changes in customers’ product specifications. The Company’s method of estimating excess and obsolete inventory has remained consistent for all periods presented. Inventories of continuing operations consisted of the following: June 30, December 31, (in thousands) Raw materials $ 444 $ 468 Work-in-process 333 328 Finished goods 407 330 $ 1,184 $ 1,126 Discontinued operations had no inventories as of June 30, 2022 and December 31, 2021, respectively. As of June 30, 2022 and December 31, 2021, the Company made the determination that certain inventories were such that the likelihood of significant usage within the current year was doubtful and reclassified such inventory items as non-current in the reported financial statements. |
Property and equipment | Property and equipment Property and equipment of continuing operations consisted of the following: June 30, 2022 December 31, 2021 (in thousands) Machinery, equipment and tooling $ 3,296 $ 3,296 Buildings 1,711 1,711 Information systems 819 819 Land and land improvements 594 594 Furniture and fixtures 7 7 Total cost 6,427 6,427 Accumulated depreciation and amortization (4,186 ) (4,126 ) Property and equipment, net $ 2,241 $ 2,301 Discontinued operations had no property and equipment as of June 30, 2022 and December 31, 2021, respectively. |
Assets held for sale and long-lived assets | Assets held for sale and long-lived assets When circumstances, such as adverse market conditions, indicate that the carrying value of a long-lived asset may be impaired, the Company performs an analysis to review the recoverability of the asset’s carrying value. The Company makes estimates of the undiscounted cash flows (excluding interest charges) from the expected future operations of the asset. These estimates consider factors such as expected future operating income, operating trends and prospects, as well as the effects of demand, competition and other factors. If the analysis indicates that the carrying value is not recoverable from future cash flows, an impairment loss is recognized to the extent that the carrying value exceeds the estimated fair value. The estimated fair value of assets is determined using appraisal techniques, which assume the highest and best use of the asset by market participants, considering the use of the asset that is physically possible, legally permissible and financially feasible at the measurement date. Any impairment losses are recorded as operating expenses which reduce net income. For the year ended December 31, 2021, the Company reviewed the current fair value of its assets and concluded no adjustments were needed. Additionally, no adjustments were recorded for the three and six months ended June 30, 2022. The Company will continue to assess its long-lived assets to ensure the carrying amount of these assets is still appropriate given any changes in the asset usage, marketplace and other factors used in determining the current fair value. The Company completed a sale of excess consumable assets in the amount of approximately $654,000 and $1,086,000 during the three months and six months ended June 30, 2022, respectively. On February 7, 2022, we entered into a real estate sale contract to sell our parcel of land in Batavia, Illinois for $722,000 and expect our net proceeds, if the sale is consummated, after the payment of fees, real estate taxes, brokerage and legal fees, transfer and withholding taxes and other expenses to be approximately $600,000. The closing of the sale of the Property is subject to certain conditions precedent. There is currently no anticipated closing date. |
Revenue recognition | Revenue recognition The Company recognizes revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers The Company does not provide maintenance or other services and it does not have sales that involve bill and hold arrangements, multiple elements or deliverables. However, the Company does provide product warranty for up to 90 days, for which the Company has accrued a warranty reserve of $1,000 and $1,000 at June 30, 2022 and December 31, 2021, respectively. |
Net income (loss) per common share | Net income (loss) per common share Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding during the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted-average number of diluted common shares outstanding during the period. Diluted shares outstanding are calculated by adding to the weighted-average shares (a) any outstanding stock options based on the treasury stock method and (b) restricted stock units (“RSU”). Basic and diluted net income (loss) per common share for the three months ended June 30, 2022 and 2021, were $0.22 and $0.00, respectively. For the six months ended June 30, 2022 and 2021, basic net income (loss) per common share were $0.42 and $(0.29), respectively, and diluted net income (loss) per common share for continuing operations were $0.41 and $(0.29), respectively. The Company had outstanding options exercisable into 3,050 and 7,000 shares of the Company’s common stock, and RSUs outstanding in the amount of 28,030 and 3,030 at June 30, 2022 and June 30, 2021, respectively. These options and RSU’s did not have a material effect at June 30, 2022 and would have been anti-dilutive at June 30, 2021. |
New accounting pronouncements adopted | New accounting pronouncements adopted The Company has evaluated other recently issued accounting pronouncements and does not believe that any of these pronouncements will have a significant impact the Company’s consolidated financial statements and related disclosures. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Schedule of inventories | June 30, December 31, (in thousands) Raw materials $ 444 $ 468 Work-in-process 333 328 Finished goods 407 330 $ 1,184 $ 1,126 |
Schedule of property and equipment | June 30, 2022 December 31, 2021 (in thousands) Machinery, equipment and tooling $ 3,296 $ 3,296 Buildings 1,711 1,711 Information systems 819 819 Land and land improvements 594 594 Furniture and fixtures 7 7 Total cost 6,427 6,427 Accumulated depreciation and amortization (4,186 ) (4,126 ) Property and equipment, net $ 2,241 $ 2,301 |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure Text Block Supplement [Abstract] | |
Schedule of amortized cost and gross unrealized losses on all securities | Amortized Gross Gross Fair (in thousands) Short-term investments: U.S. Treasury securities $ 14,768 $ - $ - $ 14,768 Marketable securities 1,055 11 - 1,066 Total short-term investments 15,823 11 - 15,834 Amortized Gross Gross Fair (in thousands) Short-term investments: U.S. Treasury securities $ 14,751 $ - $ - $ 14,751 Total short-term investments 14,751 - - 14,751 |
Schedule of financial assets measured at fair value on a recurring basis | Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 3,088 $ - $ - $ 3,088 Investments: Available-for-sale securities — current: U.S. Treasury securities - 14,768 - 14,768 Marketable securities 1,066 - - 1,066 Total $ 4,154 $ 14,768 $ - $ 18,922 Level 1 Level 2 Level 3 Total (in thousands) Cash equivalents: Money market funds $ 3,137 $ - $ - $ 3,137 Investments: Available-for-sale securities — current: U.S. Treasury securities - 14,751 - 14,751 Total $ 3,137 $ 14,751 $ - $ 17,888 |
Discontinued Operations_ Clos_2
Discontinued Operations: Closure of Direct Dose Rx (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of discontinued operations | Three months ended Six months ended 2022 2021 2022 2021 (unaudited) (in thousands) Revenues (discontinued operations) $ - $ 136 - $ 370 Operating (income) expense (discontinued operations) (1 ) 251 (15 ) 580 Income (loss) from discontinued operations, net of taxes $ 1 $ (115 ) $ 15 $ (210 ) |
Stock Incentive Plans (Tables)
Stock Incentive Plans (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of summarizes the activity of the stock incentive and equity plans | Shares available for grant Number of options outstanding Weighted- average exercise price Number of restricted stock and board shares issued Number of RSUs outstanding At January 1, 2022 304,731 4,050 $ 14.16 99,570 28,030 Granted - - 0.00 - - Exercised/issued - - 6.10 - - Cancelled/forfeited 1,000 (1,000 ) 8.34 - - At June 30, 2022 305,731 3,050 $ 16.07 99,570 28,030 |
Schedule of the company’s RSUs for the three month period ended | RSUs outstanding Weighted time of Aggregate value Non-vested RSUs as of January 1, 2022 28,030 $ 9.29 Granted - 0.00 Vested - 0.00 Cancelled - 0.00 Non-vested RSUs at June 30, 2022 28,030 $ 9.29 $ 260,399 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of revenue by geographic region | Three months ended Six months ended 2022 2021 2022 2021 (in thousands) (in thousands) North America $ 643 $ 754 $ 1,411 $ 1,108 Asia 133 70 326 209 Other 29 24 40 26 Total revenue $ 805 $ 848 $ 1,777 $ 1,343 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||
Feb. 07, 2022 | Jul. 31, 2020 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | Dec. 14, 2020 | Nov. 30, 2018 | |
Summary of Significant Accounting Policies (Details) [Line Items] | |||||||||
Grant receivable | $ 250,000 | $ 250,000 | |||||||
Repurchase of common stock | 3,000,000 | 3,000,000 | |||||||
Original authorized amount | $ 3,000,000 | ||||||||
Current inventory | 88,000 | 88,000 | |||||||
Sale of assets | 654,000 | $ 1,086,000 | |||||||
Net proceeds | $ 600,000 | ||||||||
Warrant term | 90 days | ||||||||
Warranty reserve | $ 1,000 | $ 1,000 | $ 1,000 | ||||||
Basic net income (loss) per common share (in Dollars per share) | $ 0.22 | $ 0.42 | $ (0.29) | ||||||
Diluted net income (loss) per common share (in Dollars per share) | $ 0 | $ 0.41 | $ (0.29) | ||||||
Outstanding options exercisable shares (in Shares) | 3,050 | 7,000 | 3,050 | 7,000 | |||||
Restricted Stock Units [Member] | |||||||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||||||
Outstanding shares (in Shares) | 28,030 | 3,030 | 28,030 | 3,030 | |||||
Illinois [Member] | |||||||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||||||
Real estate sale of land | $ 722,000 | ||||||||
Board of Directors [Member] | |||||||||
Summary of Significant Accounting Policies (Details) [Line Items] | |||||||||
Repurchase of common stock | $ 3,000,000 | $ 3,000,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - Schedule of inventories - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Schedule of inventories [Abstract] | ||
Raw materials | $ 444 | $ 468 |
Work-in-process | 333 | 328 |
Finished goods | 407 | 330 |
Inventories | $ 1,184 | $ 1,126 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details) - Schedule of property and equipment - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Total cost | $ 6,427 | $ 6,427 |
Accumulated depreciation and amortization | (4,186) | (4,126) |
Property and equipment, net | 2,241 | 2,301 |
Machinery, equipment and tooling [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | 3,296 | 3,296 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | 1,711 | 1,711 |
Information systems [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | 819 | 819 |
Land and land improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | 594 | 594 |
Furniture and fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total cost | $ 7 | $ 7 |
Investments (Details)
Investments (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Disclosure Text Block Supplement [Abstract] | ||
Cash and cash equivalents | $ 7,600,000 | $ 8,100,000 |
Investments (Details) - Schedul
Investments (Details) - Schedule of amortized cost and gross unrealized losses on all securities - Short-term Investments [Member] - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
U.S. Treasury Securities [Member] | ||
Investments (Details) - Schedule of amortized cost and gross unrealized losses on all securities [Line Items] | ||
Amortized cost | $ 14,768 | $ 14,751 |
Gross unrealized gains | ||
Gross unrealized losses | ||
Fair value | 14,768 | 14,751 |
Marketable Securities [Member] | ||
Investments (Details) - Schedule of amortized cost and gross unrealized losses on all securities [Line Items] | ||
Amortized cost | 1,055 | |
Gross unrealized gains | 11 | |
Gross unrealized losses | ||
Fair value | 1,066 | |
Total Short-term Investments [Member] | ||
Investments (Details) - Schedule of amortized cost and gross unrealized losses on all securities [Line Items] | ||
Amortized cost | 15,823 | 14,751 |
Gross unrealized gains | 11 | |
Gross unrealized losses | ||
Fair value | $ 15,834 | $ 14,751 |
Investments (Details) - Sched_2
Investments (Details) - Schedule of financial assets measured at fair value on a recurring basis - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Available-for-sale securities — current: | ||
Total | $ 17,888 | |
Money market funds [Member] | ||
Cash equivalents: | ||
Cash equivalents | $ 3,088 | 3,137 |
U.S. Treasury securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | 14,768 | 14,751 |
Marketable securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | 1,066 | |
Total | 18,922 | |
Level 1 [Member] | ||
Available-for-sale securities — current: | ||
Total | 3,137 | |
Level 1 [Member] | Money market funds [Member] | ||
Cash equivalents: | ||
Cash equivalents | 3,088 | 3,137 |
Level 1 [Member] | U.S. Treasury securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | ||
Level 1 [Member] | Marketable securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | 1,066 | |
Total | 4,154 | |
Level 2 [Member] | ||
Available-for-sale securities — current: | ||
Total | 14,751 | |
Level 2 [Member] | Money market funds [Member] | ||
Cash equivalents: | ||
Cash equivalents | ||
Level 2 [Member] | U.S. Treasury securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | 14,768 | 14,751 |
Level 2 [Member] | Marketable securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | ||
Total | 14,768 | |
Level 3 [Member] | ||
Available-for-sale securities — current: | ||
Total | ||
Level 3 [Member] | Money market funds [Member] | ||
Cash equivalents: | ||
Cash equivalents | ||
Level 3 [Member] | U.S. Treasury securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | ||
Level 3 [Member] | Marketable securities [Member] | ||
Available-for-sale securities — current: | ||
Available-for-sale securities — current | ||
Total |
Discontinued Operations_ Clos_3
Discontinued Operations: Closure of Direct Dose Rx (Details) - Schedule of discontinued operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Schedule of discontinued operations [Abstract] | ||||
Revenues (discontinued operations) | $ 136 | $ 370 | ||
Operating (income) expense (discontinued operations) | (1) | 251 | (15) | 580 |
Income (loss) from discontinued operations, net of taxes | $ 1 | $ (115) | $ 15 | $ (210) |
Significant Customers (Details)
Significant Customers (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Significant Customers (Details) [Line Items] | |||||
Other customers revenues percentages | 10% | 10% | 10% | 10% | |
Trade Accounts Receivable [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 10% | 10% | |||
Trade Accounts Receivable [Member] | Customer individually [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 66% | 80% | |||
Sales Revenue, Net [Member] | Customer One [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 17% | 16% | 17% | 12% | |
Sales Revenue, Net [Member] | Customer Two [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 16% | 12% | 14% | 11% | |
Sales Revenue, Net [Member] | Customer Three [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 14% | 12% | 12% | 10% | |
Sales Revenue, Net [Member] | Customer Four [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 13% | 11% | |||
Sales Revenue, Net [Member] | Customer Five [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 12% | 11% | |||
Sales Revenue, Net [Member] | Customer Six [Member] | |||||
Significant Customers (Details) [Line Items] | |||||
Concentration risk percentage | 10% |
Stockholders' Equity (Details)
Stockholders' Equity (Details) | Jun. 30, 2022 shares |
Stockholders' Equity Note [Abstract] | |
Reserved common stock shares for issuance | 3,050 |
Reserved common stock shares for outstanding | 28,030 |
Common stock reserved for future grants | 305,731 |
Stock Incentive Plans (Details)
Stock Incentive Plans (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Aug. 31, 2007 | |
Stock Incentive Plans (Details) [Line Items] | |||||
Fair value of common stock | $ 7,000 | ||||
Expense related to employee compensation | $ 18,417 | 36,834 | |||
Stock compensation expense | $ 7,500 | $ 7,500 | $ 15,000 | $ 15,000 | |
Share issued (in Shares) | 31,550 | 31,550 | |||
Fair market value | $ 341,000 | ||||
2007 Stock Incentive Plan [Member] | |||||
Stock Incentive Plans (Details) [Line Items] | |||||
Maximum number of shares awarded or sold (in Shares) | 440,769 | ||||
2016 Plan [Member] | |||||
Stock Incentive Plans (Details) [Line Items] | |||||
Common stock shares subject to outstanding (in Shares) | 305,731 | 305,731 | |||
Plan termination date, description | The 2016 Plan will automatically terminate on March 17, 2026, unless the Company terminates it sooner. | ||||
Stock options [Member] | |||||
Stock Incentive Plans (Details) [Line Items] | |||||
Stock options exercisable and outstanding (in Shares) | 2,250 |
Stock Incentive Plans (Detail_2
Stock Incentive Plans (Details) - Schedule of summarizes the activity of the stock incentive and equity plans | 6 Months Ended |
Jun. 30, 2022 $ / shares shares | |
Schedule of summarizes the activity of the stock incentive and equity plans [Abstract] | |
Shares available for grant, Beginning | 304,731 |
Number of options outstanding, Beginning | 4,050 |
Weighted-average option exercise price, Beginning (in Dollars per share) | $ / shares | $ 14.16 |
Number of restricted stock and board shares issued, Beginning | 99,570 |
Number of RSUs outstanding, Beginning | 28,030 |
Shares available for grant, Ending | 305,731 |
Number of options outstanding, Ending | 3,050 |
Weighted-average option exercise price, Ending (in Dollars per share) | $ / shares | $ 16.07 |
Number of restricted stock and board shares issued, Ending | 99,570 |
Number of RSUs outstanding, Ending | 28,030 |
Weighted-average option exercise price, Granted (in Dollars per share) | $ / shares | $ 0 |
Weighted-average option exercise price, Exercised/issued (in Dollars per share) | $ / shares | $ 6.1 |
Shares available for grant, Cancelled/forfeited | 1,000 |
Number of options outstanding, Cancelled/forfeited | (1,000) |
Weighted-average option exercise price, Cancelled/forfeited (in Dollars per share) | $ / shares | $ 8.34 |
Stock Incentive Plans (Detail_3
Stock Incentive Plans (Details) - Schedule of the company’s RSUs for the three month period ended - Restricted Stock Units (RSUs) [Member] $ / shares in Units, $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) $ / shares shares | |
Stock Incentive Plans (Details) - Schedule of the company’s RSUs for the three month period ended [Line Items] | |
Non-vested RSUs outstanding, Beginning balance | shares | 28,030 |
Weighted-average price at time of grant, Non-vested , Beginning balance | $ / shares | $ 9.29 |
Non-vested RSUs outstanding, Granted | shares | |
Weighted-average price at time of grant, Granted | $ / shares | $ 0 |
Non-vested RSUs outstanding, Vested | shares | |
Weighted-average price at time of grant, Vested | $ / shares | $ 0 |
Non-vested RSUs outstanding, Cancelled | shares | |
Weighted-average price at time of grant, Cancelled | $ / shares | $ 0 |
Non-vested RSUs outstanding, Ending balance | shares | 28,030 |
Weighted-average price at time of grant, Non-vested, Ending balance | $ / shares | $ 9.29 |
Aggregate intrinsic value, Non-vested, Ending balance | $ | $ 260,399 |
Income Taxes (Details)
Income Taxes (Details) | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Income Taxes (Details) [Line Items] | |
Maturity date | Jan. 01, 2018 |
Maximum [Member] | |
Income Taxes (Details) [Line Items] | |
U.S. corporate tax rate | 35% |
Repatriation tax | $ 5,000,000 |
Minimum [Member] | |
Income Taxes (Details) [Line Items] | |
U.S. corporate tax rate | 21% |
Repatriation tax | $ 3,900,000 |
Segment Information (Details) -
Segment Information (Details) - Schedule of revenue by geographic region - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Total revenue | $ 805 | $ 848 | $ 1,777 | $ 1,343 |
North America [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | 643 | 754 | 1,411 | 1,108 |
Asia [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | 133 | 70 | 326 | 209 |
Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenue | $ 29 | $ 24 | $ 40 | $ 26 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | Jul. 05, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Subsequent Events (Details) [Line Items] | |||
Common stock, price per share | $ 0.001 | $ 0.001 | |
Subsequent Event [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Outstanding percent | 45% | ||
Subsequent Event [Member] | Common Stock [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Common stock, price per share | $ 20 | ||
Rubicon's [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Price per share | $ 11 | ||
Rubicon's [Member] | Subsequent Event [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Outstanding percent | 35% |