Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2020 | May 05, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-36583 | |
Entity Registrant Name | ENERGY FOCUS, INC/DE | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 94-3021850 | |
Entity Address, Address Line One | 32000 Aurora Road | |
Entity Address, Address Line Two | Suite B | |
Entity Address, City or Town | Solon | |
Entity Address, State or Province | OH | |
Entity Address, Postal Zip Code | 44139 | |
City Area Code | (440) | |
Local Phone Number | 715-1300 | |
Title of 12(b) Security | Common Stock, par value $0.0001 per share | |
Trading Symbol | EFOI | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 15,896,956 | |
Entity Central Index Key | 0000924168 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Trade accounts receivable, less allowances | $ 16 | $ 28 |
Preferred stock, par value (in usd per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, authorized (in shares) | 5,000,000 | 2,000,000 |
Preferred Stock, Shares Issued | 2,709,018 | 0 |
Preferred stock, outstanding (in shares) | 2,709,018 | 0 |
Common stock, par value (in usd per share) | $ 0.0001 | $ 0.0001 |
Common stock, authorized (in shares) | 50,000,000 | 30,000,000 |
Common stock, issued (in shares) | 15,896,632 | 12,428,418 |
Common stock, outstanding (in shares) | 15,896,632 | 12,428,418 |
Series A Convertible Preferred Stock | ||
Preferred stock, authorized (in shares) | 3,300,000 | 0 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income Statement [Abstract] | ||
Net sales | $ 3,783 | $ 3,177 |
Cost of sales | 2,751 | 3,079 |
Gross profit | 1,032 | 98 |
Operating expenses: | ||
Product development | 282 | 526 |
Selling, general, and administrative | 2,027 | 2,241 |
Restructuring | 134 | |
Total operating expenses | 2,295 | 2,901 |
Loss from operations | (1,263) | (2,803) |
Other expenses (income): | ||
Interest expense | 133 | 43 |
Income from change in fair value of warrants | (873) | 0 |
Other expenses | 18 | 19 |
Net loss | $ (541) | $ (2,865) |
Denominator: | ||
Net loss | $ (0.04) | $ (0.24) |
Weighted average common shares outstanding: | ||
Basic and diluted | 15,430 | 12,126 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | ||
Net Income (Loss) Attributable to Parent | $ (541) | $ (2,865) |
Other comprehensive loss: | ||
Foreign currency translation adjustments | 0 | 0 |
Comprehensive loss | $ (541) | $ (2,865) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Preferred Stock | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Loss | Accumulated Deficit |
Balance at the beginning of the period (in shares) at Dec. 31, 2018 | 12,091 | |||||
Balance at the beginning of the period at Dec. 31, 2018 | $ 11,052 | $ 1 | $ 128,367 | $ (1) | $ (117,315) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 150 | |||||
Issuance of common stock under employee stock option and stock purchase plans | 0 | |||||
Common stock withheld in lieu of income tax withholding on vesting of restricted stock units (in shares) | (50) | |||||
Common stock withheld in lieu of income tax withholding on vesting of restricted stock units | (111) | (111) | ||||
Stock-based compensation | 543 | 543 | ||||
Net loss from continuing operations | (2,865) | (2,865) | ||||
Balance at the end of the period (in shares) at Mar. 31, 2019 | 12,191 | |||||
Balance at the end of the period at Mar. 31, 2019 | 8,433 | $ 1 | 128,799 | (1) | (120,366) | |
Balance at the beginning of the period (in shares) at Dec. 31, 2019 | 0 | 12,428 | ||||
Balance at the beginning of the period at Dec. 31, 2019 | 3,996 | $ 0 | $ 1 | 128,872 | (3) | (124,874) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 27 | |||||
Issuance of common stock under employee stock option and stock purchase plans | 0 | |||||
Issuance of common stock and warrants (in shares) | 3,442 | |||||
Issuance of common stock and warrants | 2,750 | $ 1 | 2,749 | |||
Offering costs on issuance of common stock and warrants | (474) | (474) | ||||
Warrant liability | (1,636) | (1,636) | ||||
Conversion of notes to preferred stock | 1,769 | 1,769 | ||||
Conversion of notes to preferred stock | 2,709 | |||||
Stock-based compensation | 20 | 20 | ||||
Net loss from continuing operations | (541) | (541) | ||||
Balance at the end of the period (in shares) at Mar. 31, 2020 | 2,709 | 15,897 | ||||
Balance at the end of the period at Mar. 31, 2020 | $ 5,884 | $ 0 | $ 2 | $ 131,300 | $ (3) | $ (125,415) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash flows from operating activities: | ||
Net loss | $ (541) | $ (2,865) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation | 46 | 105 |
Stock-based compensation | 20 | 543 |
Change in fair value of warrant liabilities | (873) | 0 |
Provision for doubtful accounts receivable | (12) | 26 |
Provision for slow-moving and obsolete inventories | (34) | (836) |
Provision for warranties | 0 | 101 |
Amortization of loan discounts and origination fees | 38 | 20 |
Gain on dispositions of property and equipment | 0 | (1) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 445 | (210) |
Inventories | 1,546 | 643 |
Prepaid and other assets | (187) | 459 |
Accounts payable | (152) | (1,329) |
Accrued and other liabilities | 222 | (195) |
Deferred revenue | (14) | (17) |
Total adjustments | 1,045 | (691) |
Net cash provided by (used in) operating activities | 504 | (3,556) |
Cash flows from investing activities: | ||
Acquisitions of property and equipment | (47) | (5) |
Proceeds from the sale of property and equipment | 0 | 1 |
Net cash used in investing activities | (47) | (4) |
Cash flows from financing activities: | ||
Proceeds from the issuance of common stock and warrants | 2,750 | |
Offering costs paid on the issuance of common stock and warrants | (474) | |
Principal payments under finance lease obligations | (1) | (1) |
Common stock withheld in lieu of income tax withholding on vesting of restricted stock units | 0 | (111) |
Payments on the Iliad Note | (226) | 0 |
Net proceeds from (payment on) credit line borrowings | 55 | (462) |
Proceeds from convertible notes | 0 | 1,660 |
Net cash provided by financing activities | 2,104 | 1,086 |
Net increase (decrease) in cash and restricted cash | 2,561 | (2,474) |
Cash and restricted cash, beginning of period | 692 | 6,335 |
Cash and restricted cash, end of period | 3,253 | 3,861 |
Classification of cash and restricted cash: | ||
Cash and restricted cash | $ 3,253 | $ 3,861 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash | $ 2,911 | $ 350 |
Trade accounts receivable, less allowances of $16 and $28, respectively | 1,904 | 2,337 |
Inventories, net | 4,700 | 6,168 |
Prepaid and other current assets | 666 | 479 |
Total current assets | 10,181 | 9,334 |
Property and equipment, net | 390 | 389 |
Operating lease right-of-use assets | 1,179 | 1,289 |
Restructured lease right-of-use assets | 268 | 322 |
Other assets | 405 | 405 |
Total assets | 12,423 | 11,739 |
Current liabilities: | ||
Accounts payable | 1,188 | 1,340 |
Accrued liabilities | 104 | 179 |
Accrued legal and professional fees | 322 | 215 |
Accrued payroll and related benefits | 448 | 360 |
Accrued sales commissions | 39 | 32 |
Accrued severance | 3 | 7 |
Accrued restructuring | 24 | 24 |
Accrued warranty reserve | 240 | 195 |
Deferred revenue | 4 | 18 |
Operating lease liabilities | 567 | 550 |
Restructured lease liabilities | 325 | 319 |
Finance lease liabilities | 3 | 3 |
Warrant liabilities | 763 | 0 |
Convertible notes | 0 | 1,700 |
Iliad note, net of discount and loan origination fees | 854 | 885 |
Credit line borrowings, net of loan origination fees | 790 | 715 |
Total current liabilities | 5,674 | 6,542 |
Other liabilities | 7 | 14 |
Operating lease liabilities, net of current portion | 770 | 906 |
Restructured lease liabilities, net of current portion | 85 | 168 |
Finance lease liabilities, net of current portion | 3 | 4 |
Iliad note, net of current maturities | 0 | 109 |
Total liabilities | 6,539 | 7,743 |
STOCKHOLDERS' EQUITY | ||
Preferred Stock, Value, Issued | 0 | 0 |
Common Stock, Value, Issued | 2 | 1 |
Additional paid-in capital | 131,300 | 128,872 |
Accumulated other comprehensive loss | (3) | (3) |
Accumulated deficit | (125,415) | (124,874) |
Total stockholders' equity | 5,884 | 3,996 |
Total liabilities and stockholders' equity | $ 12,423 | $ 11,739 |
Nature of Operations
Nature of Operations | 3 Months Ended |
Mar. 31, 2020 | |
Disclosure Text Block [Abstract] | |
Nature of Operations | NATURE OF OPERATIONS |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary in Taiwan during 2019. All significant inter-company balances and transactions have been eliminated. Unless indicated otherwise, the information in the Notes to the Consolidated Financial Statements relates to our operations. We have prepared the accompanying financial data for the three months ended March 31, 2020 and 2019 pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations. The accompanying financial data and information should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2019 (“2019 Annual Report”). The Condensed Consolidated Balance Sheet as of December 31, 2019 has been derived from the audited consolidated financial statements at that date but does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, the accompanying condensed consolidated financial statements contain all normal and recurring adjustments necessary to present fairly our Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019, Condensed Consolidated Statements of Operations for the three months ended March 31, 2020 and 2019, Condensed Consolidated Statements of Comprehensive Loss for the three months ended March 31, 2020 and 2019, Condensed Consolidated Statements of Changes in Stockholders’ Equity for the three months ended March 31, 2020 and 2019, and Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2020 and 2019. Use of estimates The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in our financial statements and accompanying notes. Management bases its estimates on historical experience and various other assumptions believed to be reasonable. Although these estimates are based on management’s best knowledge of current events and actions that may impact us in the future, actual results may vary from the estimates. Estimates include, but are not limited to, the establishment of reserves for accounts receivable, sales returns, inventory obsolescence and warranty claims; the useful lives of property and equipment; valuation allowance for net deferred taxes; the cost and offsetting income related to subleased property; and stock-based compensation. In addition, estimates and assumptions associated with the determination of the fair value of financial instruments and evaluation of long-lived assets for impairment requires considerable judgment. Actual results could differ from those estimates and such differences could be material. Certain risks and concentrations We have certain customers whose net sales individually represented 10% or more of our total net sales, or whose net trade accounts receivable balance individually represented 10% or more of our total net trade accounts receivable, as follows: For the three months ended March 31, 2020, sales to our primary distributor for the U.S. Navy and a regional commercial lighting retrofit company accounted for approximately 38% and 15% of net sales, respectively. When sales to our primary distributor for the U.S. Navy are combined with sales to shipbuilders for the U.S. Navy, total net sales of products for the U.S. Navy comprised approximately 46% of net sales for the same period. For the three months ended March 31, 2019, sales to our primary distributor for the U.S. Navy and a regional commercial lighting retrofit company accounted for approximately 22% and 30% of net sales, respectively. When sales to our primary distributor for the U.S. Navy are combined with sales to shipbuilders for the U.S. Navy, total net sales of products for the U.S. Navy comprised approximately 32% of net sales for the same period. A regional commercial lighting retrofit company and our primary distributor for the U.S. Navy accounted for approximately 12% and 44% of net trade accounts receivable, respectively, at March 31, 2020. At December 31, 2019, our primary distributor for the U.S. Navy accounted for approximately 10% of net trade accounts receivable and a large regional retrofit company accounted for 41% of our net trade accounts receivable. Recent accounting pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which significantly changes the accounting for credit losses on instruments within its scope. The new guidance introduces an approach based on expected losses to estimate credit losses on certain financial instruments, including trade receivables, and requires an entity to recognize an allowance based on its estimate of expected credit losses rather than incurred losses. For smaller reporting companies, this standard will be effective for interim and annual periods starting after December 15, 2022 and will generally require adoption on a modified retrospective basis. We are in the process of evaluating the impact of the standard. Revenue Net sales include revenues from sales of products and shipping and handling charges, net of estimates for product returns. Revenue is measured at the amount of consideration we expect to receive in exchange for the transferred products. We recognize revenue at the point in time when we transfer the promised products to the customer and the customer obtains control over the products. Distributors’ obligations to us are not contingent upon the resale of our products. We recognize revenue for shipping and handling charges at the time the goods are shipped to the customer, and the costs of outbound freight are included in cost of sales. We provide for product returns based on historical return rates. While we incur costs for sales commissions to our sales employees and outside agents, we recognize commission costs concurrent with the related revenue, as the amortization period is less than one year. We do not incur any other incremental costs to obtain contracts with our customers. Our product warranties are assurance-type warranties, which promise the customer that the products are as specified in the contract. Therefore, the product warranties are not a separate performance obligation and are accounted for as described below. Sales taxes assessed by governmental authorities are accounted for on a net basis and are excluded from net sales. The following table provides a disaggregation of product net sales for the periods presented (in thousands): Three months ended 2020 2019 Net sales: Commercial $ 1,736 $ 1,983 MMM products 2,047 1,194 Total net sales $ 3,783 $ 3,177 Accounts Receivable Our trade accounts receivable consists of amounts billed to and currently due from customers. Our customers are concentrated in the United States. In the normal course of business, we extend unsecured credit to our customers related to the sale of our products. Credit is extended to customers based on an evaluation of the customer’s financial condition and the amounts due are stated at their estimated net realizable value. During the first eleven months of 2019 we evaluated and monitored the creditworthiness of each customer on a case-by-case basis. However, during December 2019 we transitioned to an account receivable insurance program with a high credit worthy insurance company where we have the large majority of the accounts receivable insured with a portion of self-retention. This third party also provides credit-worthiness ratings and metrics that significantly assists us in evaluating the credit worthiness of both existing and new customers. We maintain allowances for sales returns and doubtful accounts receivable to provide for the estimated number of account receivables that will not be collected. The allowance is based on an assessment of customer creditworthiness and historical payment experience, the age of outstanding receivables, and performance guarantees to the extent applicable. Past due amounts are written off when our internal collection efforts have been unsuccessful, and payments subsequently received on such receivables are credited to the allowance for doubtful accounts. We do not generally require collateral from our customers. Our standard payment terms with customers are net 30 days from the date of shipment, and we do not generally offer extended payment terms to our customers, but exceptions are made in some cases to certain customers or with particular orders. Accordingly, we do not adjust trade accounts receivable for the effects of financing, as we expect the period between the transfer of product to the customer and the receipt of payment from the customer to be in line with our standard payment terms. Geographic information All of our long-lived fixed assets are located in the United States. Sales attributable to customers outside the United States for both the three months ended March 31, 2020 and 2019 were less than 1% of net sales. The geographic location of our net sales is derived from the destination to which we ship the product. Net loss per share Basic loss per share is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted loss per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive potential common shares consist of incremental shares upon the exercise of stock options and warrants, unless the effect would be anti-dilutive. The following table presents a reconciliation of basic and diluted loss per share computations (in thousands): Three months ended 2020 2019 Numerator: Net loss $ (541) $ (2,865) Denominator: Basic weighted average common shares outstanding 15,430 12,126 As a result of the net loss we incurred for three months ended March 31, 2020 and 2019, options, warrants and convertible securities representing approximately 8 thousand and 28 thousand shares of common stock were excluded from the loss per share calculation, respectively, because their inclusion would have been anti-dilutive. Product warranties Through March 31, 2016, we warranted finished goods against defects in material and workmanship under normal use and service for periods generally between one ® , our Battery Backup TLED, the troffer luminaires, and certain Globe Lights for a period of ten years and all other LED products for five years per the Terms and Conditions outlined on our website. Beginning in October 2019, TLEDs (excluding Red Caps ® ) are warranted for ten years and the warranty for all of our other products is five years. Warranty settlement costs consist of actual amounts expensed for warranty, which are largely a result of the cost of replacement products provided to our customers. A liability for the estimated future costs under product warranties is maintained for products under warranty based on the actual claims incurred to date and the estimated nature, frequency, and costs of future claims. These estimates are inherently uncertain and changes to our historical or projected experience may cause material changes to our warranty reserves in the future. We continuously review the assumptions related to the adequacy of our warranty reserve, including product failure rates, and make adjustments to the existing warranty liability when there are changes to these estimates or the underlying replacement product costs, or the warranty period expires. The following table summarizes warranty activity for the periods presented (in thousands): Three months ended 2020 2019 Balance at beginning of period $ 195 $ 258 Warranty accruals for current period sales 7 12 Adjustments to existing warranties 44 89 In kind settlements made during the period (6) (7) Accrued warranty reserve $ 240 $ 352 Financial Instruments In January 2020, we completed a registered direct offering for the sale of 3,441,803 shares of our common stock to certain institutional investors, at a purchase price of $0.674 per share. We also sold, to the same institutional investors, warrants to purchase up to 3,441,803 shares of common stock at an exercise price of $0.674 per share in a concurrent private placement for a purchase price of $0.125 per warrant. We paid the placement agent commissions of $193 thousand plus $50 thousand in expenses in connection with the registered direct offering and the concurrent private placement, and we also paid legal, accounting and other fees of $231 thousand related to the offering. Total offering costs of $474 thousand have been presented as a reduction of additional paid-in capital and have been netted within equity. In addition, we issued warrants to the placement agent to purchase up to 240,926 shares of common stock at an exercise price of $0.9988 per share. Net proceeds to us from the sale of common stock and warrants (the “January 2020 Equity Offering”) were approximately $2.3 million. In accordance with the terms of the Iliad Note, 10% of the gross proceeds from the January 2020 Equity Offering ($275 thousand) were used to make payments on the Iliad Note, of which $226 thousand went towards the outstanding principal amount. The warrants have been classified as liabilities, as opposed to equity, due to the potential adjustment to the exercise price that could result upon late delivery of the shares or potential cash settlement and are recorded at their fair values at each balance sheet date. Please also refer to Note 9, “Stockholder’s Equity”. Fair Value Measurements The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value, giving the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below. We classify the inputs used to measure fair value into the following hierarchy: Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability. Level 3 Unobservable inputs for the asset or liability. The following table provides a summary of the financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2020 (in thousands): Fair Value Measurements at March 31, 2020 Using Balance as of Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Description March 31, 2020 Warrant liabilities $ 763 $ — $ — $ 763 A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. In determining the appropriate levels, we perform a detailed analysis of the assets and liabilities whose fair value is measured on a recurring basis. We review and reassess the fair value hierarchy classifications on a quarterly basis. Changes from one quarter to the next related to the observability of inputs in a fair value measurement may result in a reclassification between fair value hierarchy levels. There were no reclassifications for all periods presented. The estimated fair value of warrants accounted for as liabilities, representing a level 3 fair value measure, was determined on the issuance date and subsequently marked to market at each financial reporting date. We use the Black-Scholes valuation model to value the warrant liabilities at fair value. The fair value is estimated using the expected volatility based on our historical volatility and is determined using probability weighted-average assumptions, when appropriate. The following inputs were used at March 31, 2020: Expected Risk-Free Expected Volatility Interest Rate Life Warrants with greater than one-year remaining term 97.05% 0.34% - 0.36% 4.29 - 4.79 years A roll-forward of fair value measurements using significant unobservable inputs (Level 3) for the warrants is as follows (in thousands): Three months ended Balance January 1, 2020 $ — Issuance of warrants January 2020 1,636 Income from change in fair value of warrants (873) Balance March 31, 2020 $ 763 |
Restructuring
Restructuring | 3 Months Ended |
Mar. 31, 2020 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | RESTRUCTURING For the three months ended March 31, 2020, we recorded net restructuring credits of approximately $14 thousand, related to the costs and offsetting sublease income and accretion expense for the remaining lease obligation for our former New York, New York office. For additional information regarding the restructuring actions taken as part of the 2017 and 2019 restructuring plans, please refer to Note 3, “Restructuring,” included under Item 8 of our 2019 Annual Report. Our restructuring liabilities consist of estimated ongoing costs related to long-term operating lease obligations, which the Company has exited. The recorded value of the ongoing lease obligations is based on the remaining lease term and payment amount, discounted to present value. Changes in subsequent periods resulting from a revision to either the timing or the amount of estimated cash flows over the future period are measured using the credit adjusted, risk free rate that was used to measure the restructuring liabilities initially. Please also refer to Note 6, “Leases”. The following is a reconciliation of the beginning and ending balances of our restructuring liability as it relates to the 2017 and 2019 restructuring plans (in thousands): Restructuring Liability Balance at December 31, 2019 $ 38 Accretion of lease obligations 1 Payments (8) Balance at March 31, 2020 31 The following is a reconciliation of the ending balance of our restructuring liability at March 31, 2020 to the balance sheet: Restructuring Liability Balance at March 31, 2020 $ 31 Less, short-term restructuring liability 24 Long-term restructuring liability, included in other liabilities $ 7 As a result of the restructuring actions and initiatives described above, we have reduced our operating expenses to be more commensurate with our sales volumes. However, we continue to incur losses and have a substantial accumulated deficit, and substantial doubt about our ability to continue as a going concern continues to exist at March 31, 2020. Since the executive transition on April 1, 2019, we have continued to evaluate and assess strategic options as we seek to achieve profitability. We plan to achieve profitability through growing our sales by continuing to execute on our multi-channel sales strategy that targets key verticals such as government, healthcare, education and commercial and industrial, complemented by our marketing outreach campaigns, channel partnerships, and additional sales from a new e-commerce platform, which we plan to launch in the second quarter of 2020. We also plan to continue to develop advanced lighting and lighting control technologies and introduce impactful new products such as the EnFocus™, a breakthrough lighting control platform we officially launched during the second quarter of 2020. In addition, we continue to apply rigorous and financial disciplines in our organizational structure, business processes and policies, and supply chain practices to help accelerate our path towards profitability. As described in Note 9, we also raised approximately $2.3 million of net proceeds upon the issuance of common stock and warrants under the January 2020 Equity Offering The restructuring and cost cutting initiatives implemented during 2019 as well as the January 2020 equity offering that significantly strengthened our balance sheet were designed to allow us to effectively execute these strategies. However, our efforts may not occur as quickly as we envision or be successful, due to the long sales cycle in our industry, the corresponding time required to ramp up sales from new products and markets into this sales cycle, the timing of introductions of additional new products, significant competition, potential sales volatility given our customer concentration, and the recent and lingering economic impact from COVID-19 pandemic, among other factors. As a result, we will continue to review and pursue selected external funding sources to ensure adequate financial resources to execute across the timelines required to achieve these objectives including, but not limited to, the following: • obtaining financing from traditional or non-traditional investment capital organizations or individuals; • obtaining funding from the sale of our common stock or other equity or debt instruments; and • obtaining debt financing with lending terms that more closely match our business model and capital needs. There can be no assurance that we will obtain funding on acceptable terms, in a timely fashion, or at all. Obtaining additional funding contains risks, including: • additional equity financing may not be available to us on satisfactory terms and any equity we are able to issue could lead to dilution for current stockholders and have rights, preferences and privileges senior to our common stock; • loans or other debt instruments may have terms and/or conditions, such as interest rate, restrictive covenants, conversion features, refinancing demands, and control or revocation provisions, which are not acceptable to management or our board of directors; and • the current environment in capital markets combined with our capital constraints may prevent us from being able to obtain adequate debt financing. If we fail to obtain the required additional financing to sustain our business before we are able to produce levels of revenue to meet our financial needs, we will need to delay, scale back or eliminate our business plan and further reduce our operating costs and headcount, each of which would have a material adverse effect on our business, future prospects, and financial condition. A lack of additional funding could also result in our inability to continue as a going concern and force us to sell certain assets or discontinue or curtail our operations and, as a result, investors in the Company could lose their entire investment. Considering both quantitative and qualitative information, we continue to believe that the combination of our plans to obtain additional external funding , timely reorganizational actions, current financial position, liquid resources, obligations due or anticipated within the next year, development and implementation of an excess inventory reduction plan, application and successful acquisition of a Payroll Protection Plan (“PPP”) loan during April 2020, plans and initiatives in our R&D, product development and sales and marketing, development of potential channel partnerships, if adequately executed, will provide us with an ability to finance our operations through the next twelve months and will mitigate the substantial doubt about our ability to continue as a going concern. On May 15, 2019, we received a letter from the Nasdaq Stock Market (“NASDAQ”) advising us that for 30 consecutive trading days preceding the date of the letter, the bid price of our common stock had closed below the $1.00 per share minimum required for continued listing on NASDAQ pursuant to listing rules. Therefore, we could be subject to delisting if we did not regain compliance within the compliance period or extend the compliance period by filing for an extension. On October 15, 2019, the Company formally requested a 180-day extension beginning November 12, 2019 and is evaluating options to regain compliance. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | INVENTORIES Inventories are stated at the lower of standard cost (which approximates actual cost determined using the first-in, first-out cost method) or net realizable value, and consist of the following (in thousands): March 31, December 31, Raw materials $ 3,019 $ 4,064 Finished goods 5,248 5,749 Reserves for excess, obsolete, and slow-moving inventories (3,567) (3,645) Inventories, net $ 4,700 $ 6,168 |
Property and Equipment
Property and Equipment | 3 Months Ended |
Mar. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | PROPERTY AND EQUIPMENT Property and equipment are stated at cost and depreciated using the straight-line method over the estimated useful lives of the related assets and consist of the following (in thousands): March 31, December 31, Equipment (useful life 3 to 15 years) $ 1,297 $ 1,297 Tooling (useful life 2 to 5 years) 203 203 Vehicles (useful life 5 years) 47 47 Furniture and fixtures (useful life 5 years) 137 137 Computer software (useful life 3 years) 1,028 1,028 Leasehold improvements (the shorter of useful life or lease life) 211 211 Finance lease right-of-use asset 13 13 Projects in progress 95 48 Property and equipment at cost 3,031 2,984 Less: accumulated depreciation (2,641) (2,595) Property and equipment, net $ 390 $ 389 Depreciation expense was $46 thousand and $105 thousand for the three months ended March 31, 2020 and 2019, respectively. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2020 | |
Leases [Abstract] | |
Leases | LEASES The Company leases certain equipment, manufacturing, warehouse and office space under non-cancellable operating leases expiring through 2024 under which it is responsible for related maintenance, taxes and insurance. The Company has one finance lease containing a bargain purchase option upon expiration of the lease in 2022. The lease term consists of the non-cancellable period of the lease, periods covered by options to extend the lease if the Company is reasonably certain to exercise the option, and periods covered by an option to terminate the lease if the Company is reasonably certain not to exercise the option. The present value of the remaining lease obligation for these leases was calculated using an incremental borrowing rate (“IBR”) of 7.25%, which was the Company’s borrowing rate on its revolving credit agreement signed on December 11, 2018. The weighted average remaining lease term for operating, restructuring and finance leases is 2.3 years, 1.3 years, and 2.0 years, respectively. The Company had one restructured lease with sub-lease component for the New York, New York office that was closed in 2017. The lease expires in 2021. As part of the lease agreement there was $0.3 million in restricted cash in other long-term assets on the accompanying Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019 which represents collateral against the related letter of credit issued as part of this agreement. The restructured lease and sub-lease were not scoped out of the requirements of Topic 842 and were evaluated for impairment in accordance with the asset impairment provisions of ASC 360, Property, Plant and Equipment (“Topic 360”). The Company concluded its net right-of-use assets were not impaired and the carrying amount approximates expected sublease income in future years as of March 31, 2020. The Company continues to carry certain immaterial operating expenses associated with this lease as restructuring liabilities and will continue to accrete those liabilities in accordance with Topic 420, as has been done since the cease use date in 2017. For additional information regarding treatment of leases please refer to Note 6 “Leases.” included under Item 8 of our 2019 Annual Report. Components of the operating, restructured and finance lease costs recognized in net loss for the three months ended March 31, 2020 and 2019, were as follows (in thousands): Three months ended March 31, 2020 2019 Operating lease cost (income): Sublease income $ (25) $ (25) Lease cost 152 147 Operating lease cost, net 127 122 Restructured lease cost (income): Sublease income (68) (112) Lease cost 61 109 Restructured lease cost, net (7) (3) Finance lease cost Interest of lease liabilities — 1 Finance lease cost, net — 1 Total lease cost, net $ 120 $ 120 Supplemental balance sheet information related to the Company’s operating and finance leases as of March 31, 2020 and December 31, 2019 are as follows (in thousands): March 31, 2020 December 31, 2019 Operating Leases Operating lease right-of-use assets $ 1,179 $ 1,289 Restructured lease right-of-use assets 268 322 Operating lease right-of-use assets, total 1,447 1,611 Operating lease liabilities 1,337 1,480 Restructured lease liabilities 410 488 Operating lease liabilities, total 1,747 1,968 Finance Leases Property and equipment 13 13 Allowances for depreciation (7) (5) Finance lease assets, net 6 8 Finance lease liabilities 6 6 Total finance lease liabilities $ 6 $ 6 Future minimum lease payments required under operating, restructured and finance leases for each of the 12-month rolling periods below in effect at March 31, 2020 are as follows (in thousands): Operating Leases Restructured Leases Restructured Leases Sublease Payments Finance Lease April 2020 to March 2021 $ 621 $ 342 $ (273) $ 3 April 2021 to March 2022 644 86 (68) 3 April 2022 to March 2023 172 — — — April 2023 to March 2024 13 — — — Total future undiscounted lease payments 1,450 428 (341) 6 Less imputed interest (113) (18) 14 — Total lease obligations $ 1,337 $ 410 $ (327) $ 6 Supplemental cash flow information related to leases for the three months ended March 31, 2020 and 2019, was as follows (in thousands): Three months ended March 31, 2020 2019 Supplemental cash flow information Cash paid, net, for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 135 $ 122 Operating cash flows from restructured leases $ 17 $ (3) Financing cash flows from finance leases $ 1 $ 1 |
Debt
Debt | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt | DEBT Credit facilities Borrowings under the Company’s revolving line of credit (“Credit Facility”) with Austin Financial Services were $0.8 million at March 31, 2020 and $0.7 million at December 31, 2019 and are recorded in the Condensed Consolidated Balance Sheets as a current liability under the caption, “Credit line borrowings.” Outstanding balances include unamortized net issuance costs totaling $0.1 million for March 31, 2020 and December 31, 2019, respectively. The Credit Facility is secured by a lien on our assets. Interest on advances under the line is due monthly at the “Prime Rate,” as published by the Wall Street Journal from time to time, plus a margin of 2%. The borrowing rate as of March 31, 2020 and December 31, 2019 was 5.25% and 6.75%, respectively. Overdrafts are subject to a 2% fee. Additionally, an annual facility fee of 1% on the entire $5.0 million amount of the Credit Facility is due at the beginning of each of the three years and a 0.5% collateral management fee on the average outstanding loan balance is payable monthly. We paid Austin the first year’s fee when the Credit Facility was signed and the second year’s fee in December of 2019. Refer to Note 9 included under Item 8 of our 2019 Annual Report. Convertible Notes On March 29, 2019, we raised $1.7 million (before transaction expenses) from the issuance of $1.7 million in principal amount of subordinated convertible promissory notes to certain investors (the “Convertible Notes”). The Convertible Notes had a maturity date of December 31, 2021 and bore interest at a rate of 5% per annum until June 30, 2019 and at a rate of 10% thereafter. Pursuant to their terms, on January 16, 2020 following approval by our stockholders of certain amendments to our certificate of incorporation, the principal amount of all of the Convertible Notes, the accumulated interest thereon ($0.1 million) and unamortized issuance costs at the date of conversion ($0.04 million), which totaled $1.8 million converted at a conversion price of $0.67 per share into an aggregate of 2,709,018 shares of the Company’s Series A Convertible Preferred Stock, par value $0.0001 per share (“Series A Preferred Stock”), which is convertible on a one-for-one basis into shares of our common stock. The purchase agreement related to the Convertible Notes contain customary representations and warranties and provide for resale registration rights with respect to the shares of our common stock issuable upon conversion of the Series A Preferred Stock. Please also refer to Note 9, “Stockholder’s Equity”. Iliad Note On November 25, 2019, we entered into a note purchase agreement (“the Iliad Note Purchase Agreement”) with Iliad Research and Trading, L.P. (“Iliad”) pursuant to which the Company sold and issued to Iliad a promissory note in the principal amount of approximately $1.3 million (“Iliad Note”). The Iliad Note was issued with an original issue discount of $142 thousand and Iliad paid a purchase price of $1.1 million for the issuance of the Iliad Note, after deduction of $15 thousand of Iliad transaction expenses. The Iliad Note has a maturity date of November 24, 2021 and accrues interest at 8% per annum, compounded daily, on the outstanding balance. The Company may prepay the amounts outstanding under the Iliad Note at a premium, which is 15% during the first year and 10% during the second year. Beginning in May 2020, Iliad may require the Company to redeem up to $150 thousand of the Iliad Note in any calendar month. The Company has the right on three occasions to defer all redemptions that Iliad could otherwise require the Company to make during any calendar month. Each exercise of this deferral right by the Company will increase the amount outstanding under the Iliad Note by 1.5%. The total liability for the Iliad Note Purchase Agreement, net of discount and financing fees, was $0.9 million at March 31, 2020 and $1.0 million at December 31, 2019. Unamortized loan discount and debt issuance costs were $0.2 million at March 31, 2020 and December 31, 2019. In the event our common stock is delisted from NASDAQ, the amount outstanding under the Iliad Note will automatically increase by 15% as of the date of such delisting. Pursuant to the Iliad Note Purchase Agreement and the Iliad Note, we have, among other things, agreed that, until the Iliad Note is repaid: • 10% of gross proceeds the Company receives from the sale of our common stock or other equity must be paid to Iliad and will be applied to reduce the outstanding balance of the Iliad Note (the failure to make such a prepayment is not an event of default under the Iliad Note, but will increase the amount then outstanding under the Iliad Note by 10%); and • unless agreed to by Iliad, we will not engage in certain financings that involve the issuance of securities that include a conversion rights in which the number of shares of common stock that may be issued pursuant to such conversion right varies with the market price of our common stock (a “Restricted Issuance”); provided, however, if Iliad does not agree to a Restricted Issuance, the Company may on up to three occasions make the Restricted Issuance anyway, but the outstanding balance of the Iliad Note will increase 3% on each occasion the Company exercises its right to make the Restricted Issuance without Iliad’s agreement. In accordance with the terms of the Iliad Note, 10% of the gross proceeds from the January 2020 Equity Offering ($275 thousand) were used to make payments on the Iliad Note, of which $226 thousand went towards the outstanding principal amount. Upon the occurrence of an event of default under the Iliad Note, Iliad may accelerate the date for the repayment of the amount outstanding under the Iliad Note and increase the amount outstanding by an amount ranging from 5% to 15%, depending on the nature of the default. Certain insolvency and bankruptcy related events of default will result in the automatic acceleration of the amount outstanding under the Iliad Note and the outstanding amount due will be automatically increased by 5%. After the occurrence of an event of default, Iliad may elect to have interest accrue on the Iliad Note at a rate per annum of 22%, or such lesser rate as permitted under applicable law. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES As a result of the operating loss incurred during each of the three months ended March 31, 2020 and 2019, and after the application of the annual limitation set forth under Section 382 of the Internal Revenue Code (“IRC”), it was not necessary to record a provision for U.S. federal income tax or various states income taxes. At March 31, 2020 and December 31, 2019, we had a full valuation allowance recorded against our deferred tax assets. The valuation allowance was recorded due to uncertainties related to our ability to realize the deferred tax assets, primarily consisting of certain net operating loss carry-forwards. The valuation allowance is based on management’s estimates of taxable income by jurisdiction and the periods over which the deferred tax assets will be recoverable. At December 31, 2019, we had a net operating loss carry-forward of approximately $108.8 million for federal income tax purposes ($64.5 million for state and local income tax purposes). However, due to changes in our capital structure, approximately $54.5 million of the $108.8 million is available after the application of IRC Section 382 limitations. As a result of the Tax Cuts and Jobs Act of 2017 (“Act”), net operating loss carry-forwards generated in tax years beginning after December 31, 2017 can only offset 80% of taxable income and can be carried forward indefinitely. The $8.3 million and $8.7 million in net operating losses generated in 2019 and 2018 will be subject to the new limitations under the Act. If not utilized, the carry-forwards generated prior to December 31, 2017 of $37.3 million will begin to expire in 2021 for federal purposes and have begun to expire for state and local purposes. For a full discussion of the estimated restrictions on our utilization of net operating loss carry-forwards, please refer to Note 12, “Income Taxes,” included under Item 8 of our 2019 Annual Report. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity and Share-based Payments | STOCKHOLDERS’ EQUITY Preferred Stock Pursuant to the terms of the Convertible Notes, on January 16, 2020 following approval by our stockholders of certain amendments to our certificate of incorporation, the principal amount of all of the Convertible Notes and the accumulated interest thereon in the amount of $1.8 million converted at a conversion price of $0.67 per share into an aggregate of 2,709,018 shares of the Company’s Series A Convertible Preferred Stock, par value $0.0001 per share, which is convertible on a one-for-one basis into shares of our common stock. The Series A Preferred Stock was created by the filing of a Certificate of Designation with the Secretary of State of the State of Delaware on March 29, 2019, which authorized 2,000,000 shares of Series A Preferred Stock (“Original Series A Certificate of Designation”). The Original Series A Certificate of Designation was amended on January 15, 2020 following stockholder approval to increase the number of authorized shares of Series A Preferred Stock to 5,000,000 (the Original Series A Certificate of Designation as so amended, the “Series A Certificate of Designation”). Of the 5,000,000 Series A Preferred Stock, 3,300,000 shares were further designated as Series A Convertible Preferred Stock. Pursuant to the Series A Certificate of Designation, each holder of outstanding shares of Series A Preferred Stock is entitled to vote with holders of outstanding shares of common stock, voting together as a single class, with respect to any and all matters presented to the stockholders of the Company for their action or consideration, except as provided by law. In any such vote, each share of Series A Preferred Stock shall be entitled to a number of votes equal to 55.37% of the number of shares of common stock into which such share of Series A Preferred Stock is convertible. The Series A Preferred Stock (a) has a preference upon liquidation equal to $0.67 per share and then participates on an as-converted basis with the common stock with respect to any additional distributions, (b) shall receive any dividends declared and payable on our common stock on an as-converted basis, and (c) is convertible at the option of the holder into shares of our common stock on a one-for-one basis. We also filed a Certificate of Elimination with respect to its authorized, but unissued, Series A Participating Preferred Stock, to return such shares to the status of preferred stock available for designation as the Series A Preferred Stock. The purchase agreement related to the Convertible Notes contain customary representations and warranties and provide for resale registration rights with respect to the shares of our common stock issuable upon conversion of the Series A Preferred Stock. January 2020 Equity Offering Issuance of Common Stock and Warrants In January 2020, we completed a registered direct offering for the sale of 3,441,803 shares of our common stock to certain institutional investors, at a purchase price of $0.674 per share. We also sold, to the same institutional investors, warrants to purchase up to 3,441,803 shares of common stock at an exercise price of $0.674 per share in a concurrent private placement for a purchase price of $0.125 per warrant. We paid the placement agent commissions of $193 thousand plus $50 thousand in expenses in connection with the registered direct offering and the concurrent private placement and we also paid legal, accounting and other fees of $231 thousand related to the offering. Total offering costs of $474 thousand have been presented as a reduction of additional paid-in capital and have been netted within equity. In addition, we issued warrants to the placement agent to purchase up to 240,926 shares of common stock at an exercise price of $0.9988 per share. Net proceeds to us from the sale of common stock and warrants were approximately $2.3 million. In accordance with the terms of the Iliad Note, 10% of the gross proceeds from the January 2020 Equity Offering ($275 thousand) were used to make payments on the Iliad Note, of which $226 thousand went towards the outstanding principal amount. As of March 31, 2020, we had the following outstanding non-tradeable, registered warrants to purchase shares of common stock: Number of Underlying Shares Exercise Price Expiration Investor Warrants 3,441,803 $0.6740 January 13, 2025 Placement Agent Warrants 240,926 $0.9988 January 13, 2025 3,682,729 Warrant Liabilities We account for common stock warrants as either liabilities or as equity instruments depending on the specific terms of the warrant agreement. Common stock warrants that could require cash settlement are accounted for as liabilities. We classify these warrant liabilities on the consolidated balance sheet as a current liability. The warrant liabilities are revalued at fair value at each balance sheet date subsequent to the initial issuance. Changes in the fair market value of the warrant are reflected in the consolidated statement of operations as income (expense) based upon the change in fair value of warrants. The warrants we issued in the January 2020 registered direct offerings contain a provision for a cash payment in the event that the shares are not delivered to the holder within two trading days. The cash payment equals $10 per day per $1,000 of warrant shares for each day late. The warrants issued in the January 2020 private placement also contain a provision for net cash settlement in the event that there is a fundamental transaction (e.g., merger, sale of substantially all assets, tender offer, or share exchange). If a fundamental transaction occurs in which the consideration issued consists of all cash or stock in a non-public company, then the warrant holder has the option to receive cash equal to a Black-Scholes value of the remaining unexercised portion of the warrant. The warrants have been classified as liabilities, as opposed to equity, due to the potential adjustment to the exercise price that could result upon late delivery of the shares or potential cash settlement upon the occurrence of certain events as described above, and are recorded at their fair values at each balance sheet date. Stock-based compensation Stock-based compensation expense is attributable to stock options and restricted stock unit awards. For all stock-based awards, we recognize expense using a straight-line amortization method. The following table summarizes stock-based compensation expense and the impact it had on operations for the periods presented (in thousands): Three months ended 2020 2019 Cost of sales $ 1 $ 7 Product development 1 28 Selling, general, and administrative 18 508 Total stock-based compensation $ 20 $ 543 Total unearned stock-based compensation was $0.2 million at March 31, 2020, compared to $0.4 million at March 31, 2019. These costs will be charged to expense and amortized on a straight-line basis in future periods. The weighted average period over which the unearned compensation at March 31, 2020 is expected to be recognized is approximately 2.7 years. Stock options The fair value of each stock option is estimated on the date of grant using the Black-Scholes option pricing model. Estimates utilized in the calculation include the expected life of the option, risk-free interest rate, and expected volatility, and are further comparatively detailed as follows: Three months ended 2020 2019 Fair value of options issued $ 0.22 $ — Exercise price $ 0.30 $ — Expected life of options (in years) 6.1 0 Risk-free interest rate 0.7 % — % Expected volatility 92.8 % — % Dividend yield 0.0 % 0.0 % A summary of option activity under all plans for the three months ended March 31, 2020 is presented as follows: Number of Weighted Weighted Balance at December 31, 2019 777,153 $ 1.04 Granted 431,250 0.30 Canceled/forfeited (29,800) 0.47 Expired — — Balance at March 31, 2020 1,178,603 $ 0.78 8.0 Vested and expected to vest at March 31, 2020 868,008 $ 0.93 7.9 Exercisable at March 31, 2020 113,353 $ 4.59 5.8 Restricted stock units A summary of restricted stock unit activity under all plans for the three months ended March 31, 2020 is presented as follows: Restricted Weighted Weighted Balance at December 31, 2019 33,051 $ 2.63 Granted 80,000 0.30 Released (19,873) 2.72 Canceled/forfeited — — Balance at March 31, 2020 93,178 $ 0.61 8.7 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Purchase Commitments As of March 31, 2020, we had approximately $3.4 million in outstanding purchase commitments for inventory. Of this amount, approximately $2.5 million is expected to ship in the second quarter of 2020 with the balance expected to ship in the third and fourth quarters of 2020. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTSOn April 17, 2020, the Company was granted a loan from KeyBank National Association in the amount of approximately $795 thousand, pursuant to the Paycheck Protection Program (the “PPP”) under Division A of the Coronavirus Aid, Relief and Economic Securities Act (the "CARES Act"), which was enacted on March 27, 2020. The loan accrues interest at a rate of 1.0% per annum and matures on April 17, 2022. The funds were received on April 20, 2020. Under the terms of the PPP, certain amounts of the loan may be forgiven if they are used for qualifying expenses as described in the CARES Act. The Company intends to use the entire loan amount for qualifying expenses, however there is no assurance that the Company will obtain forgiveness for any portion of the loan. On April 16, 2020, NASDAQ announced that, in response to the COVID-19 pandemic and related extraordinary market conditions, it is providing temporary relief through June 30, 2020 from, among other rules, the $1.00 minimum bid price rule. As a result, Energy Focus has until July 24, 2020 to come into compliance with the $1.00 minimum bid price rule. Energy Focus is evaluating its options to come into compliance, including, in the discretion of its board of directors, effectuating a reverse stock split of its common stock at a ratio of at least 1-for-2 and up to 1-for-20, which discretionary reverse stock split has been approved by Energy Focus’ stockholders, provided it occurs no later than June 17, 2020. |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary in Taiwan during 2019. All significant inter-company balances and transactions have been eliminated. Unless indicated otherwise, the information in the Notes to the Consolidated Financial Statements relates to our operations. We have prepared the accompanying financial data for the three months ended March 31, 2020 and 2019 pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations. The accompanying financial data and information should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2019 (“2019 Annual Report”). The Condensed Consolidated Balance Sheet as of December 31, 2019 has been derived from the audited consolidated financial statements at that date but does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, the accompanying condensed consolidated financial statements contain all normal and recurring adjustments necessary to present fairly our Condensed Consolidated Balance Sheets as of March 31, 2020 and December 31, 2019, Condensed Consolidated Statements of Operations for the three months ended March 31, 2020 and 2019, Condensed Consolidated Statements of Comprehensive Loss for the three months ended March 31, 2020 and 2019, Condensed Consolidated Statements of Changes in Stockholders’ Equity for the three months ended March 31, 2020 and 2019, and Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2020 and 2019. |
Use of estimates | Use of estimates The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in our financial statements and accompanying notes. Management bases its estimates on historical experience and various other assumptions believed to be reasonable. Although these estimates are based on management’s best knowledge of current events and actions that may impact us in the future, actual results may vary from the estimates. Estimates include, but are not limited to, the establishment of reserves for accounts receivable, sales returns, inventory obsolescence and warranty claims; the useful lives of property and equipment; valuation allowance for net deferred taxes; the cost and offsetting income related to subleased property; and stock-based compensation. In addition, estimates and assumptions associated with the determination of the fair value of financial instruments and evaluation of long-lived assets for impairment requires considerable judgment. Actual results could differ from those estimates and such differences could be material. |
Recent accounting pronouncements | Recent accounting pronouncementsIn June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which significantly changes the accounting for credit losses on instruments within its scope. The new guidance introduces an approach based on expected losses to estimate credit losses on certain financial instruments, including trade receivables, and requires an entity to recognize an allowance based on its estimate of expected credit losses rather than incurred losses. For smaller reporting companies, this standard will be effective for interim and annual periods starting after December 15, 2022 and will generally require adoption on a modified retrospective basis. We are in the process of evaluating the impact of the standard. |
Revenue | Revenue Net sales include revenues from sales of products and shipping and handling charges, net of estimates for product returns. Revenue is measured at the amount of consideration we expect to receive in exchange for the transferred products. We recognize revenue at the point in time when we transfer the promised products to the customer and the customer obtains control over the products. Distributors’ obligations to us are not contingent upon the resale of our products. We recognize revenue for shipping and handling charges at the time the goods are shipped to the customer, and the costs of outbound freight are included in cost of sales. We provide for product returns based on historical return rates. While we incur costs for sales commissions to our sales employees and outside agents, we recognize commission costs concurrent with the related revenue, as the amortization period is less than one year. We do not incur any other incremental costs to obtain contracts with our customers. Our product warranties are assurance-type warranties, which promise the customer that the products are as specified in the contract. Therefore, the product warranties are not a separate performance obligation and are accounted for as described below. Sales taxes assessed by governmental authorities are accounted for on a net basis and are excluded from net sales. |
Accounts Receivable | Accounts Receivable Our trade accounts receivable consists of amounts billed to and currently due from customers. Our customers are concentrated in the United States. In the normal course of business, we extend unsecured credit to our customers related to the sale of our products. Credit is extended to customers based on an evaluation of the customer’s financial condition and the amounts due are stated at their estimated net realizable value. During the first eleven months of 2019 we evaluated and monitored the creditworthiness of each customer on a case-by-case basis. However, during December 2019 we transitioned to an account receivable insurance program with a high credit worthy insurance company where we have the large majority of the accounts receivable insured with a portion of self-retention. This third party also provides credit-worthiness ratings and metrics that significantly assists us in evaluating the credit worthiness of both existing and new customers. We maintain allowances for sales returns and doubtful accounts receivable to provide for the estimated number of account receivables that will not be collected. The allowance is based on an assessment of customer creditworthiness and historical payment experience, the age of outstanding receivables, and performance guarantees to the extent applicable. Past due amounts are written off when our internal collection efforts have been unsuccessful, and payments subsequently received on such receivables are credited to the allowance for doubtful accounts. We do not generally require collateral from our customers. Our standard payment terms with customers are net 30 days from the date of shipment, and we do not generally offer extended payment terms to our customers, but exceptions are made in some cases to certain customers or with particular orders. Accordingly, we do not adjust trade accounts receivable for the effects of financing, as we expect the period between the transfer of product to the customer and the receipt of payment from the customer to be in line with our standard payment terms. |
Net loss per share | Net loss per share Basic loss per share is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted loss per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive potential common shares consist of incremental shares upon the exercise of stock options and warrants, unless the effect would be anti-dilutive. |
Product warranties | Product warranties Through March 31, 2016, we warranted finished goods against defects in material and workmanship under normal use and service for periods generally between one ® , our Battery Backup TLED, the troffer luminaires, and certain Globe Lights for a period of ten years and all other LED products for five years per the Terms and Conditions outlined on our website. Beginning in October 2019, TLEDs (excluding Red Caps ® |
Fair Value of Financial Instruments | A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. In determining the appropriate levels, we perform a detailed analysis of the assets and liabilities whose fair value is measured on a recurring basis. We review and reassess the fair value hierarchy classifications on a quarterly basis. Changes from one quarter to the next related to the observability of inputs in a fair value measurement may result in a reclassification between fair value hierarchy levels. There were no reclassifications for all periods presented. The estimated fair value of warrants accounted for as liabilities, representing a level 3 fair value measure, was determined on the issuance date and subsequently marked to market at each financial reporting date. We use the Black-Scholes valuation model to value the warrant liabilities at fair value. The fair value is estimated using the expected volatility based on our historical volatility and is determined using probability weighted-average assumptions, when appropriate. |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Disaggregation of revenue | The following table provides a disaggregation of product net sales for the periods presented (in thousands): Three months ended 2020 2019 Net sales: Commercial $ 1,736 $ 1,983 MMM products 2,047 1,194 Total net sales $ 3,783 $ 3,177 |
Reconciliation of basic and diluted income (loss) per share | The following table presents a reconciliation of basic and diluted loss per share computations (in thousands): Three months ended 2020 2019 Numerator: Net loss $ (541) $ (2,865) Denominator: Basic weighted average common shares outstanding 15,430 12,126 |
Schedule of warranty activity | The following table summarizes warranty activity for the periods presented (in thousands): Three months ended 2020 2019 Balance at beginning of period $ 195 $ 258 Warranty accruals for current period sales 7 12 Adjustments to existing warranties 44 89 In kind settlements made during the period (6) (7) Accrued warranty reserve $ 240 $ 352 |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table provides a summary of the financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2020 (in thousands): Fair Value Measurements at March 31, 2020 Using Balance as of Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Description March 31, 2020 Warrant liabilities $ 763 $ — $ — $ 763 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | A roll-forward of fair value measurements using significant unobservable inputs (Level 3) for the warrants is as follows (in thousands): Three months ended Balance January 1, 2020 $ — Issuance of warrants January 2020 1,636 Income from change in fair value of warrants (873) Balance March 31, 2020 $ 763 |
Restructuring (Tables)
Restructuring (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Reserve by Type of Cost | The following is a reconciliation of the beginning and ending balances of our restructuring liability as it relates to the 2017 and 2019 restructuring plans (in thousands): Restructuring Liability Balance at December 31, 2019 $ 38 Accretion of lease obligations 1 Payments (8) Balance at March 31, 2020 31 The following is a reconciliation of the ending balance of our restructuring liability at March 31, 2020 to the balance sheet: Restructuring Liability Balance at March 31, 2020 $ 31 Less, short-term restructuring liability 24 Long-term restructuring liability, included in other liabilities $ 7 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | Inventories are stated at the lower of standard cost (which approximates actual cost determined using the first-in, first-out cost method) or net realizable value, and consist of the following (in thousands): March 31, December 31, Raw materials $ 3,019 $ 4,064 Finished goods 5,248 5,749 Reserves for excess, obsolete, and slow-moving inventories (3,567) (3,645) Inventories, net $ 4,700 $ 6,168 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | Property and equipment are stated at cost and depreciated using the straight-line method over the estimated useful lives of the related assets and consist of the following (in thousands): March 31, December 31, Equipment (useful life 3 to 15 years) $ 1,297 $ 1,297 Tooling (useful life 2 to 5 years) 203 203 Vehicles (useful life 5 years) 47 47 Furniture and fixtures (useful life 5 years) 137 137 Computer software (useful life 3 years) 1,028 1,028 Leasehold improvements (the shorter of useful life or lease life) 211 211 Finance lease right-of-use asset 13 13 Projects in progress 95 48 Property and equipment at cost 3,031 2,984 Less: accumulated depreciation (2,641) (2,595) Property and equipment, net $ 390 $ 389 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Leases [Abstract] | |
Components of Lease Cost and Supplemental Cash Flow Information | Components of the operating, restructured and finance lease costs recognized in net loss for the three months ended March 31, 2020 and 2019, were as follows (in thousands): Three months ended March 31, 2020 2019 Operating lease cost (income): Sublease income $ (25) $ (25) Lease cost 152 147 Operating lease cost, net 127 122 Restructured lease cost (income): Sublease income (68) (112) Lease cost 61 109 Restructured lease cost, net (7) (3) Finance lease cost Interest of lease liabilities — 1 Finance lease cost, net — 1 Total lease cost, net $ 120 $ 120 |
Schedule of Supplemental Balance Sheet Information | Supplemental balance sheet information related to the Company’s operating and finance leases as of March 31, 2020 and December 31, 2019 are as follows (in thousands): March 31, 2020 December 31, 2019 Operating Leases Operating lease right-of-use assets $ 1,179 $ 1,289 Restructured lease right-of-use assets 268 322 Operating lease right-of-use assets, total 1,447 1,611 Operating lease liabilities 1,337 1,480 Restructured lease liabilities 410 488 Operating lease liabilities, total 1,747 1,968 Finance Leases Property and equipment 13 13 Allowances for depreciation (7) (5) Finance lease assets, net 6 8 Finance lease liabilities 6 6 Total finance lease liabilities $ 6 $ 6 |
Schedule of Future Maturities of Finance Lease Liabilities | Future minimum lease payments required under operating, restructured and finance leases for each of the 12-month rolling periods below in effect at March 31, 2020 are as follows (in thousands): Operating Leases Restructured Leases Restructured Leases Sublease Payments Finance Lease April 2020 to March 2021 $ 621 $ 342 $ (273) $ 3 April 2021 to March 2022 644 86 (68) 3 April 2022 to March 2023 172 — — — April 2023 to March 2024 13 — — — Total future undiscounted lease payments 1,450 428 (341) 6 Less imputed interest (113) (18) 14 — Total lease obligations $ 1,337 $ 410 $ (327) $ 6 |
Schedule of Future Maturities of Operating Lease Liabilities | Future minimum lease payments required under operating, restructured and finance leases for each of the 12-month rolling periods below in effect at March 31, 2020 are as follows (in thousands): Operating Leases Restructured Leases Restructured Leases Sublease Payments Finance Lease April 2020 to March 2021 $ 621 $ 342 $ (273) $ 3 April 2021 to March 2022 644 86 (68) 3 April 2022 to March 2023 172 — — — April 2023 to March 2024 13 — — — Total future undiscounted lease payments 1,450 428 (341) 6 Less imputed interest (113) (18) 14 — Total lease obligations $ 1,337 $ 410 $ (327) $ 6 |
Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases for the three months ended March 31, 2020 and 2019, was as follows (in thousands): Three months ended March 31, 2020 2019 Supplemental cash flow information Cash paid, net, for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 135 $ 122 Operating cash flows from restructured leases $ 17 $ (3) Financing cash flows from finance leases $ 1 $ 1 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stockholders' Equity Note, Warrants or Rights | As of March 31, 2020, we had the following outstanding non-tradeable, registered warrants to purchase shares of common stock: Number of Underlying Shares Exercise Price Expiration Investor Warrants 3,441,803 $0.6740 January 13, 2025 Placement Agent Warrants 240,926 $0.9988 January 13, 2025 3,682,729 |
Summary of stock-based compensation expense | The following table summarizes stock-based compensation expense and the impact it had on operations for the periods presented (in thousands): Three months ended 2020 2019 Cost of sales $ 1 $ 7 Product development 1 28 Selling, general, and administrative 18 508 Total stock-based compensation $ 20 $ 543 |
Schedule of valuation assumptions | Estimates utilized in the calculation include the expected life of the option, risk-free interest rate, and expected volatility, and are further comparatively detailed as follows: Three months ended 2020 2019 Fair value of options issued $ 0.22 $ — Exercise price $ 0.30 $ — Expected life of options (in years) 6.1 0 Risk-free interest rate 0.7 % — % Expected volatility 92.8 % — % Dividend yield 0.0 % 0.0 % |
Summary of option activity | A summary of option activity under all plans for the three months ended March 31, 2020 is presented as follows: Number of Weighted Weighted Balance at December 31, 2019 777,153 $ 1.04 Granted 431,250 0.30 Canceled/forfeited (29,800) 0.47 Expired — — Balance at March 31, 2020 1,178,603 $ 0.78 8.0 Vested and expected to vest at March 31, 2020 868,008 $ 0.93 7.9 Exercisable at March 31, 2020 113,353 $ 4.59 5.8 |
Summary of restricted stock activity | A summary of restricted stock unit activity under all plans for the three months ended March 31, 2020 is presented as follows: Restricted Weighted Weighted Balance at December 31, 2019 33,051 $ 2.63 Granted 80,000 0.30 Released (19,873) 2.72 Canceled/forfeited — — Balance at March 31, 2020 93,178 $ 0.61 8.7 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 29, 2019 | Jan. 31, 2020 | Oct. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2016 | Dec. 31, 2019 |
Concentration Risk [Line Items] | |||||||
Class Of Warrant Or Right, Warrants Issued | 3,682,729 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.125 | ||||||
Amount paid for clearing fees | $ 231 | ||||||
Offering Costs | $ 474 | ||||||
Proceeds from the Issuance of Common Stock and Warrants, Net of Issuance Costs | $ 2,300 | ||||||
Debt Instrument, Proceeds To Be Paid To Lender, Percent | 10.00% | ||||||
Proceeds from Issuance or Sale of Equity | $ 275 | ||||||
Payments on the Iliad Note | 226 | $ 0 | |||||
Note Purchase Agreement [Member] | |||||||
Concentration Risk [Line Items] | |||||||
Debt Instrument, Proceeds To Be Paid To Lender, Percent | 10.00% | ||||||
Payments on the Iliad Note | $ 226 | ||||||
Institutional Investor [Member] | |||||||
Concentration Risk [Line Items] | |||||||
Class Of Warrant Or Right, Warrants Issued | 3,441,803 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.674 | ||||||
Private Placement [Member] | |||||||
Concentration Risk [Line Items] | |||||||
Class Of Warrant Or Right, Warrants Issued | 240,926 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.9988 | ||||||
Amount paid for placement agent commissions | 193 | ||||||
Amount paid related to expenses for registered direct offering and concurrent private placement | $ 50 | ||||||
All Other Products | |||||||
Concentration Risk [Line Items] | |||||||
Warranty service periods | 5 years | ||||||
LEDFL Tubular LED Lamps (Excluding Red Caps) | |||||||
Concentration Risk [Line Items] | |||||||
Warranty service periods | 10 years | ||||||
Minimum | |||||||
Concentration Risk [Line Items] | |||||||
Warranty service periods | 1 year | ||||||
Maximum | |||||||
Concentration Risk [Line Items] | |||||||
Warranty service periods | 5 years | ||||||
Maximum | Commercial LEDFL Tubular LED Lamps (Excluding Battery Backup TLED), Troffer Luminaires, And Certain Globe Lights | |||||||
Concentration Risk [Line Items] | |||||||
Warranty service periods | 10 years | ||||||
Customer concentration risk | |||||||
Concentration Risk [Line Items] | |||||||
Concentration risk (less than for one percent) | 10.00% | ||||||
Revenue | Geographic concentration risk | Countries outside of the United States | |||||||
Concentration Risk [Line Items] | |||||||
Concentration risk (less than for one percent) | 1.00% | ||||||
Distributor To The U.S. Navy | Revenue | Customer concentration risk | |||||||
Concentration Risk [Line Items] | |||||||
Concentration risk (less than for one percent) | 38.00% | 22.00% | |||||
Distributor To The U.S. Navy | Accounts receivable | Customer concentration risk | |||||||
Concentration Risk [Line Items] | |||||||
Concentration risk (less than for one percent) | 44.00% | 10.00% | |||||
Distributor for the U.S. Navy and a Regional Commercial Lighting Retrofit Company [Member] | Revenue | Customer concentration risk | |||||||
Concentration Risk [Line Items] | |||||||
Concentration risk (less than for one percent) | 15.00% | 30.00% | |||||
Distributor for the U.S. Navy and a Regional Commercial Lighting Retrofit Company [Member] | Accounts receivable | Customer concentration risk | |||||||
Concentration Risk [Line Items] | |||||||
Concentration risk (less than for one percent) | 12.00% | 41.00% | |||||
U.S. Navy and Shipbuilders [Member] | Revenue | Customer concentration risk | |||||||
Concentration Risk [Line Items] | |||||||
Concentration risk (less than for one percent) | 46.00% | 32.00% |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Revenue from External Customer [Line Items] | ||
Net sales | $ 3,783 | $ 3,177 |
Commercial | ||
Revenue from External Customer [Line Items] | ||
Net sales | 1,736 | 1,983 |
MMM products | ||
Revenue from External Customer [Line Items] | ||
Net sales | $ 2,047 | $ 1,194 |
Basis of Presentation and Sum_6
Basis of Presentation and Summary of Significant Accounting Policies - Reconciliation of Basic and Diluted Loss per Share (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Accounting Policies [Abstract] | ||
Securities excluded from net loss per share calculation (in shares) | 8 | 28 |
Numerator: | ||
Net Income (Loss) Attributable to Parent | $ (541) | $ (2,865) |
Denominator: | ||
Basic weighted average common shares outstanding (in shares) | 15,430 | 12,126 |
Basis of Presentation and Sum_7
Basis of Presentation and Summary of Significant Accounting Policies - Warranty Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ||
Balance at beginning of period | $ 195 | $ 258 |
Warranty accruals for current period sales | 7 | 12 |
Adjustments to existing warranties | 44 | 89 |
In kind settlements made during the period | (6) | (7) |
Accrued warranty reserve | $ 240 | $ 352 |
Basis of Presentation and Sum_8
Basis of Presentation and Summary of Significant Accounting Policies - Financial Instruments Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Warrant liabilities | $ 763 | $ 0 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Warrant liabilities | 0 | |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Warrant liabilities | 0 | |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Warrant liabilities | $ 763 |
Basis of Presentation and Sum_9
Basis of Presentation and Summary of Significant Accounting Policies - Rollforward (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Accounting Policies [Abstract] | |||
Issuance of warrants January 2020 | $ 1,636 | ||
Warrant liabilities | 763 | $ 0 | |
Change in fair value of warrant liabilities | $ (873) | $ 0 |
Basis of Presentation and Su_10
Basis of Presentation and Summary of Significant Accounting Policies - Fair Value Inputs (Details) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Expected volatility | 92.80% | 0.00% |
Expected life of options (in years) | 6 years 1 month 6 days | 0 years |
Warrant | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Expected volatility | 97.05% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate, Minimum | 0.34% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate, Maximum | 0.36% | |
Minimum | Warrant | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Expected life of options (in years) | 4 years 3 months 14 days | |
Maximum | Warrant | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Expected life of options (in years) | 4 years 9 months 14 days |
Restructuring - Narrative (Deta
Restructuring - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring | $ 134 | |
Proceeds from the Issuance of Common Stock and Warrants, Net of Issuance Costs | $ 2,300 | |
Facility Closing [Member] | 2017 Restructuring Plan | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring | $ (14) |
Restructuring - Reconciliation
Restructuring - Reconciliation of Restructuring Liability (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Restructuring Reserve [Roll Forward] | |||
Accretion of lease obligations | $ 1 | ||
Payments | (8) | ||
Less, short-term restructuring liability | $ 24 | $ 24 | |
2017 Restructuring Plan | Facility Closing [Member] | |||
Restructuring Reserve [Roll Forward] | |||
Beginning balance | 38 | ||
Ending balance | 31 | ||
Restructuring liability | $ 31 | 31 | $ 38 |
Less, short-term restructuring liability | 24 | ||
Long-term restructuring liability, included in other liabilities | $ 7 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 3,019 | $ 4,064 |
Finished goods | 5,248 | 5,749 |
Reserves for excess, obsolete, and slow-moving inventories | (3,567) | (3,645) |
Inventories, net | $ 4,700 | $ 6,168 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Property and equipment at cost | $ 3,031 | $ 2,984 | |
Less: accumulated depreciation | (2,641) | (2,595) | |
Property and equipment, net | 390 | 389 | |
Depreciation | 46 | $ 105 | |
Equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment at cost | $ 1,297 | 1,297 | |
Equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 3 years | ||
Equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 15 years | ||
Tooling | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment at cost | $ 203 | 203 | |
Tooling | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 2 years | ||
Tooling | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 5 years | ||
Vehicles | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 5 years | ||
Property and equipment at cost | $ 47 | 47 | |
Furniture and fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 5 years | ||
Property and equipment at cost | $ 137 | 137 | |
Computer software | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 3 years | ||
Property and equipment at cost | $ 1,028 | 1,028 | |
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment at cost | 211 | 211 | |
Finance lease right-of-use asset | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment at cost | 13 | 13 | |
Projects in progress | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment at cost | $ 95 | $ 48 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Lessee, Lease, Description [Line Items] | ||
Operating lease, discount rate | 7.25% | |
Operating lease, weighted average remaining lease term | 2 years 3 months 18 days | |
Restructured lease, weighted average remaining lease term | 1 year 3 months 18 days | |
Finance lease, weighted average remaining lease term | 2 years | |
Restricted cash held in other assets | $ 342 | $ 342 |
2017 Restructuring Plan | Facility Closing [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Restricted cash held in other assets | $ 300 |
Leases - Components of Lease Co
Leases - Components of Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Sep. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2019 | |
Leases [Abstract] | ||||
Sublease income | $ (25) | $ (25) | ||
Lease cost | 152 | 147 | ||
Operating lease cost, net | 127 | 122 | ||
Sublease income | (68) | (112) | ||
Lease cost | 61 | 109 | ||
Restructured lease cost, net | (7) | (3) | ||
Interest of lease liabilities | 0 | $ 0 | 1 | $ 1 |
Total lease cost, net | $ 120 | $ 120 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Operating Leases | ||
Operating lease right-of-use assets | $ 1,179 | $ 1,289 |
Restructured lease right-of-use assets | 268 | 322 |
Operating lease right-of-use assets, total | 1,447 | 1,611 |
Operating lease liabilities | 1,337 | 1,480 |
Restructured lease liabilities | 410 | 488 |
Operating lease liabilities, total | 1,747 | 1,968 |
Finance Leases | ||
Property and equipment | 13 | 13 |
Allowances for depreciation | (7) | (5) |
Finance lease assets, net | 6 | 8 |
Finance lease liabilities | $ 6 | $ 6 |
Leases - Schedule of Future Mat
Leases - Schedule of Future Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Operating Leases | ||
April 2020 to March 2021 | $ 621 | |
April 2021 to March 2022 | 644 | |
April 2022 to March 2023 | 172 | |
April 2023 to March 2024 | 13 | |
Total future undiscounted lease payments | 1,450 | |
Less imputed interest | (113) | |
Total lease obligations | 1,337 | $ 1,480 |
Restructured Leases | ||
April 2020 to March 2021 | 342 | |
April 2021 to March 2022 | 86 | |
April 2022 to March 2023 | 0 | |
April 2023 to March 2024 | 0 | |
Total future undiscounted lease payments | 428 | |
Less imputed interest | (18) | |
Total lease obligations | 410 | 488 |
Restructured Leases Sublease Payments | ||
April 2020 to March 2021 | (273) | |
April 2021 to March 2022 | (68) | |
April 2022 to March 2023 | 0 | |
April 2023 to March 2024 | 0 | |
Total future undiscounted lease payments | (341) | |
Less imputed interest | (14) | |
Total lease obligations | (327) | |
Finance Lease | ||
April 2020 to March 2021 | 3 | |
April 2021 to March 2022 | 3 | |
April 2022 to March 2023 | 0 | |
April 2023 to March 2024 | 0 | |
Total future undiscounted lease payments | 6 | |
Less imputed interest | 0 | |
Total lease obligations | $ 6 | $ 6 |
Leases - Schedule of Suppleme_2
Leases - Schedule of Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Leases [Abstract] | ||
Operating cash flows from operating leases | $ 135 | $ 122 |
Operating cash flows from restructured leases | 17 | (3) |
Financing cash flows from finance leases | $ 1 | $ 1 |
Debt - Narrative (Details)
Debt - Narrative (Details) - USD ($) | Jan. 16, 2020 | Nov. 29, 2019 | Mar. 29, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2021 | Nov. 25, 2019 |
Line of Credit Facility [Line Items] | |||||||||
Credit line borrowings, net of loan origination fees | $ 790,000 | $ 715,000 | |||||||
Accumulated Interest on Subordinated Debt | $ 100,000 | ||||||||
Preferred stock, par value (in usd per share) | $ 0.0001 | $ 0.0001 | |||||||
Debt Instrument, Proceeds To Be Paid To Lender, Percent | 10.00% | ||||||||
Payments on the Iliad Note | $ 226,000 | $ 0 | |||||||
Proceeds from Issuance or Sale of Equity | $ 275,000 | ||||||||
Convertible Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Proceeds from issuance of subordinated convertible promissory notes | $ 1,700,000 | ||||||||
Debt Instrument, Face Amount | $ 1,700,000 | ||||||||
Interest rate on convertible notes | 5.00% | ||||||||
Debt Instrument, Unamortized Discount (Premium) and Debt Issuance Costs, Net | $ 40,000 | ||||||||
Conversion rate (in dollars per share) | $ 0.67 | $ 0.67 | |||||||
Conversion of notes to preferred stock | 2,709,018 | ||||||||
net proceeds from the conversion of convertible debt to preferred stock | $ 1,800,000 | ||||||||
Preferred stock, par value (in usd per share) | $ 0.0001 | ||||||||
Note Purchase Agreement [Member] | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | ||||||||
Debt Instrument, Face Amount | $ 1,300,000 | ||||||||
Debt Instrument, Unamortized Discount (Premium) and Debt Issuance Costs, Net | $ 200,000 | $ 200,000 | |||||||
Proceeds from Issuance of Debt | 1,100,000 | ||||||||
Unamortized debt issuance costs | 15,000 | ||||||||
Debt Instrument, Unamortized Premium | 142,000 | ||||||||
Debt Instrument Prepayment Premium Percent | 15.00% | ||||||||
Debt Instrument, Repurchase Amount | $ 150,000 | ||||||||
Debt Instrument, Increase In Amount Outstanding From Becoming Delisted, Percent | 15.00% | ||||||||
Long-term Debt, Gross | 900,000 | 1,000,000 | |||||||
Debt Instrument, Proceeds To Be Paid To Lender, Percent | 10.00% | ||||||||
Debt Instrument, Increase From Exercises Of Restricted Issuance, Percent | 3.00% | ||||||||
Note Payable, Percentage Increase Due to Deferral of Redemption Option | 1.50% | ||||||||
Payments on the Iliad Note | 226,000 | ||||||||
Debt Instrument, Increase In Amount Outstanding From Insolvency And Bankruptcy Event, Percent | 5.00% | ||||||||
Debt Instrument, Interest Rate After Insolvency And Bankruptcy Events, Percent | 22.00% | ||||||||
Note Purchase Agreement [Member] | Minimum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt Instrument, Increase In Amount Outstanding From Default Event, Percent | 5.00% | ||||||||
Note Purchase Agreement [Member] | Maximum | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt Instrument, Increase In Amount Outstanding From Default Event, Percent | 15.00% | ||||||||
Note Purchase Agreement [Member] | Debt Instrument, Period Two [Member] | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt Instrument Prepayment Premium Percent | 10.00% | ||||||||
Subsequent Event | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Interest rate on convertible notes | 10.00% | ||||||||
Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Credit line borrowings, net of loan origination fees | 800,000 | 700,000 | |||||||
Unamortized Debt Issuance Expense | $ 100,000 | $ 100,000 | |||||||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | ||||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.25% | 6.75% | |||||||
LineofCreditFacilityOverdraftFeePercentage | 2.00% | ||||||||
LineOfCreditFacilityAnnualFacilityFeePercent | 1.00% | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 5,000,000 | ||||||||
Debt Instrument, Term | 3 years | ||||||||
LineOfCreditFacilityCollateralManagementFee | 0.50% | ||||||||
Preferred Stock | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Conversion of notes to preferred stock | 2,709,000 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Operating Loss Carryforwards [Line Items] | ||
Deferred tax assets, operating loss carryforwards, portion available after application of IRC Section 382 limitations | $ 54.5 | |
Operating loss carry-forwards | 8.3 | $ 8.7 |
Operating loss, subject to expiration | 37.3 | |
U.S. Federal, State and Local tax authorities | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred tax assets, operating loss carry-forwards | 108.8 | |
State and Local Jurisdiction | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred tax assets, operating loss carry-forwards | $ 64.5 |
Stockholders' Equity - Preferre
Stockholders' Equity - Preferred Stock (Details) - USD ($) $ / shares in Units, $ in Millions | Jan. 16, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common stock, par value (in usd per share) | $ 0.0001 | $ 0.0001 | ||
Preferred stock, authorized (in shares) | 5,000,000 | 2,000,000 | ||
Percentage of Series A Preferred Stock Eligible to Vote | 55.37% | |||
Series A Preferred Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued from conversion (in shares) | 2,709,018 | |||
Common stock, par value (in usd per share) | $ 0.0001 | |||
Series A Convertible Preferred Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Preferred stock, authorized (in shares) | 3,300,000 | 0 | ||
Convertible Debt | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Amount converted | $ 1.8 | |||
Conversion rate (in dollars per share) | $ 0.67 | $ 0.67 |
Stockholders' Equity - Issuance
Stockholders' Equity - Issuance of Common Stock and Warrants (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 29, 2019 | Jan. 31, 2020 | Mar. 31, 2020 | Mar. 31, 2019 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Class Of Warrant Or Right, Warrants Issued | 3,682,729 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.125 | |||
Amount paid for clearing fees | $ 231 | |||
Offering Costs | $ 474 | |||
Proceeds from the Issuance of Common Stock and Warrants, Net of Issuance Costs | 2,300 | |||
Proceeds from Issuance or Sale of Equity | 275 | |||
Payments on the Iliad Note | $ 226 | $ 0 | ||
Debt Instrument, Proceeds To Be Paid To Lender, Percent | 10.00% | |||
Note Purchase Agreement [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Payments on the Iliad Note | $ 226 | |||
Debt Instrument, Proceeds To Be Paid To Lender, Percent | 10.00% | |||
Institutional Investor [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Class Of Warrant Or Right, Warrants Issued | 3,441,803 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.674 | |||
Private Placement [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Class Of Warrant Or Right, Warrants Issued | 240,926 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.9988 | |||
Amount paid for placement agent commissions | 193 | |||
Amount paid related to expenses for registered direct offering and concurrent private placement | $ 50 |
Stockholders' Equity - Warrants
Stockholders' Equity - Warrants (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | ||
Class Of Warrant Or Right, Warrants Issued | 3,682,729 | |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.125 | |
Payments on the Iliad Note | $ 226 | $ 0 |
Proceeds from Issuance or Sale of Equity | 275 | |
Offering Costs | $ 474 |
Stockholders' Equity - Stock-Ba
Stockholders' Equity - Stock-Based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Stock-based compensation expense | $ 20 | $ 543 |
Unearned stock-based compensation | $ 200 | 400 |
Unearned compensation expected to be recognized, period | 2 years 8 months 12 days | |
Cost of sales | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Stock-based compensation expense | $ 1 | 7 |
Product development | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Stock-based compensation expense | 1 | 28 |
Selling, general, and administrative | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Stock-based compensation expense | $ 18 | $ 508 |
Stockholders' Equity - Stock Op
Stockholders' Equity - Stock Options and a Summary of Activity (Details) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2019 | |
Stockholders' Equity Note [Abstract] | ||||
Fair value of options issued (in dollars per share) | $ 0.22 | $ 0 | ||
Exercise price (in dollars per share) | $ 0.30 | $ 0 | ||
Expected life of options (in years) | 6 years 1 month 6 days | 0 years | ||
Risk-free interest rate | 0.70% | 0.00% | ||
Expected volatility | 92.80% | 0.00% | ||
Dividend yield | 0.00% | 0.00% | ||
Number of Options | ||||
Outstanding at beginning of period (in shares) | 777,153 | 777,153 | ||
Granted (in shares) | 431,250 | |||
Canceled/forfeited (in shares) | (29,800) | |||
Outstanding at end of period (in shares) | 1,178,603 | |||
Vested and expected to vest at period end (in shares) | 868,008 | |||
Exercisable at period end (in shares) | 113,353 | |||
Weighted Average Exercise Price Per Share | ||||
Outstanding at beginning of period (in dollars per share) | $ 1.04 | $ 1.04 | ||
Granted (in dollars per share) | 0.30 | |||
Canceled/forfeited (in dollars per share) | 0.47 | |||
Outstanding at end of period (in dollars per share) | 0.78 | |||
Vested and expected to vest at period end (in dollars per share) | 0.93 | |||
Exercisable at period end (in dollars per share) | $ 4.59 | |||
Weighted Average Remaining Contractual Life (in years) | ||||
Outstanding at end of period | 8 years | |||
Vested and expected to vest at period end | 7 years 10 months 24 days | |||
Exercisable at period end | 5 years 9 months 18 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 0 | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Expirations in Period, Weighted Average Exercise Price | $ 0 |
Stockholders' Equity - Restrict
Stockholders' Equity - Restricted Stock Units (Details) - $ / shares | 3 Months Ended | 9 Months Ended |
Mar. 31, 2020 | Sep. 30, 2019 | |
Restricted Stock Units | ||
Outstanding at beginning of period (in shares) | 777,153 | |
Granted (in shares) | 431,250 | |
Canceled/forfeited (in shares) | (29,800) | |
Outstanding at end of period (in shares) | 1,178,603 | |
Weighted Average Grant Date Fair Value | ||
Outstanding at beginning of period (in dollars per share) | $ 1.04 | |
Granted (in dollars per share) | 0.30 | |
Canceled/forfeited (in dollars per share) | 0.47 | |
Outstanding at end of period (in dollars per share) | $ 0.78 | |
Weighted Average Remaining Contractual Life (in years) | ||
Outstanding at end of period | 8 years | |
Restricted Stock Units | ||
Restricted Stock Units | ||
Outstanding at beginning of period (in shares) | 33,051 | |
Granted (in shares) | 80,000 | |
Released (in shares) | (19,873) | |
Canceled/forfeited (in shares) | 0 | |
Outstanding at end of period (in shares) | 93,178 | |
Weighted Average Grant Date Fair Value | ||
Outstanding at beginning of period (in dollars per share) | $ 2.63 | |
Granted (in dollars per share) | 0.30 | |
Released (in dollars per share) | 2.72 | |
Canceled/forfeited (in dollars per share) | 0 | |
Outstanding at end of period (in dollars per share) | $ 0.61 | |
Weighted Average Remaining Contractual Life (in years) | ||
Outstanding at end of period | 8 years 8 months 12 days |
Commitments and Contingencies P
Commitments and Contingencies Purchase obligations (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2020 | Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Outstanding purchase commitments | $ 3.4 | |
Purchase commitment | $ 2.5 |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent Event - Paycheck Protection Program $ in Thousands | Apr. 17, 2020USD ($) |
Subsequent Event [Line Items] | |
Loan granted | $ 795 |
Loan interest rate | 1.00% |
Uncategorized Items - efoi-2020
Label | Element | Value |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (186,000) |
Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (186,000) |