SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

May 31, 2021

Accounting Policies [Abstract]

Property and Equipment estimated useful lives

Equipment	5 years
Computer equipment	3 to 7 years
Furniture and fixtures	5 to 7 years
Leasehold improvements	Shorter of life of asset or lease

Lease, Cost [Table Text Block]

(in thousands)
Right-of-use assets	$	1,405
Lease liabilities, current	$	426
Lease liabilities, long-term	$	980
Operating lease costs	$	455
Weighted average remaining lease term		2.8 years
Weighted average discount rate		3.79%

Schedule of reconciliation of goodwill

(in thousands)	Cognigen		DILIsym		Lixoft		Total
Balance, August 31, 2020	$	4,789	$	5,598	$	2,534	$	12,921
Addition		–		–		–		–
Impairments		–		–		–		–
Balance, May 31, 2021	$	4,789	$	5,598	$	2,534	$	12,921

Schedule of fair value measurements

May 31, 2021:
(in thousands)	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	58,811	$	–	$	–	$	58,811
Short-term investments	$	60,948	$	–	$	–	$	60,948
Acquisition-related contingent consideration obligations	$	–	$	–	$	5,095	$	5,095

August 31, 2020:

(in thousands)	Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	49,207	$	–	$	–	$	49,207
Short-term investments	$	66,804	$	–	$	–	$	66,804
Acquisition-related contingent consideration obligations	$	–	$	–	$	4,731	$	4,731

Reconciliation of contingent consideration

The following is a reconciliation of contingent consideration value: 

(in thousands)
Value at August 31, 2020	$	4,731
Contingent consideration payments		–
Change in value of contingent consideration		364
Value at May 31, 2021	$	5,095

Schedule of Finite-Lived Intangible Assets

The following table summarizes intellectual property as of May 31, 2021:
(in thousands)	Amortization Period	Acquisition Value		Accumulated Amortization		Net Book Value
Royalty Agreement buy out-Enslein Research	Straight line 10 years	$	75	$	69	$	6
Termination/nonassertion agreement-TSRL Inc.	Straight line 10 years		6,000		4,225		1,775
Developed technologies–DILIsym acquisition	Straight line 9 years		2,850		1,267		1,583
Intellectual rights of Entelos Holding Corp.	Straight line 10 years		50		14		36
Developed technologies–Lixoft acquisition	Straight line 16 years		8,010		584		7,426
		$	16,985	$	6,159	$	10,826

The following table summarizes intellectual property as of August 31, 2020:

(in thousands)	Amortization Period	Acquisition Value		Accumulated Amortization		Net Book Value
Royalty Agreement buy out-Enslein Research	Straight line 10 years	$	75	$	64	$	11
Termination/nonassertion agreement-TSRL Inc.	Straight line 10 years		6,000		3,775		2,225
Developed technologies–DILIsym acquisition	Straight line 9 years		2,850		1,029		1,821
Intellectual rights of Entelos Holding Corp.	Straight line 10 years		50		10		40
Developed technologies–Lixoft acquisition	Straight line 16 years		8,010		209		7,801
		$	16,985	$	5,087	$	11,898

Schedule of other intangible assets

The following table summarizes our other intangible assets as of May 31, 2021:
(in thousands)	Amortization Period	Acquisition Value		Accumulated Amortization		Net Book Value
Cognigen
Customer relationships	Straight line 8 years	$	1,100	$	928	$	172
Trade name	None		500		–		500
Covenants not to compete	Straight line 5 years		50		50		–
DILIsym
Customer relationships	Straight line 10 years		1,900		760		1,140
Trade name	None		860		–		860
Covenants not to compete	Straight line 4 years		80		80		–
Lixoft
Customer relationships	Straight line 14 years		2,550		213		2,337
Trade name	None		1,550		–		1,550
Covenants not to compete	Straight line 3 years		60		23		37
		$	8,650	$	2,054	$	6,596

The following table summarizes our other intangible assets as of August 31, 2020:

(in thousands)	Amortization Period	Acquisition Value		Accumulated Amortization		Net Book Value
Cognigen
Customer relationships	Straight line 8 years	$	1,100	$	825	$	275
Trade name	None		500		–		500
Covenants not to compete	Straight line 5 years		50		50		–
DILIsym
Customer relationships	Straight line 10 years		1,900		618		1,282
Trade name	None		860		–		860
Covenants not to compete	Straight line 4 years		80		65		15
Lixoft
Customer relationships	Straight line 14 years		2,550		76		2,474
Trade name	None		1,550		–		1,550
Covenants not to compete	Straight line 3 years		60		8		52
		$	8,650	$	1,642	$	7,008

Schedule of earnings per share

(in thousands)	Three Months ended May 31,				Nine Months Ended May 31,
	2021		2020		2021		2020
Numerator:
Net income attributable to common shareholders	$	3,787	$	2,936	$	9,477	$	7,144
Denominator:
Weighted-average number of common shares outstanding during the period		20,105		17,735		20,014		17,661
Dilutive effect of stock options		697		692		736		673
Common stock and common stock equivalents used for diluted earnings per share		20,802		18,427		20,750		18,334