Equity

3 Months Ended

Dec. 31, 2023

Equity [Abstract]

Equity

Equity

Equity Plans

We provide long-term incentives to eligible officers, directors, and employees in the form of equity-based awards. We maintain four equity incentive compensation plans, collectively described as our “Equity Plans”: (a) the 2010 Equity Incentive Plan (the “2010 Plan”), (b) the 2012 Equity Incentive Plan (the “2012 Plan”), (c) the Amended and Restated 2019 Equity Incentive Plan (the “2019 Plan”), and (d) the 2022 New Employee Inducement Plan.

We issue new shares of common stock to satisfy awards granted under our Equity Plans. In December 2023, our Board of Directors approved an amendment to the 2019 Plan, which, subject to shareholder approval at our 2024 annual meeting of shareholders, would increase the maximum number of shares of the Company’s common stock that may be issued or transferred pursuant to awards under the 2019 Plan by an additional 7.89 million shares.

Stock-Based Compensation

The following table sets forth stock-based compensation expense by award type:

	Three Months Ended December 31,
(in thousands)	2023		2022
RSUs	$	519	$	915
PSUs	245		693
Outside director equity awards and fees in common stock	84		126
Total stock-based compensation expense	$	848	$	1,734

The following table sets forth stock-based compensation expense by expense type:

	Three Months Ended December 31,
(in thousands)	2023		2022
Cost of revenue	$	329	$	387
Selling, general, and administrative	375		1,075
Research and development	144		272
Total stock-based compensation expense	$	848	$	1,734

Loss Per Share

The following table sets forth the computation of basic and diluted net loss per share:

	Three Months Ended December 31,
(in thousands, except per share data)	2023		2022
Numerator
Net loss from continuing operations	$	(4,363)	$	(8,172)
Loss from discontinued operations	$	(1,316)	$	(3,521)
Net loss	$	(5,679)	$	(11,693)
Denominator
Weighted average number of shares outstanding - basic	88,987		37,557
Effect of dilutive securities
Stock options	—		—
PSUs, RSUs, and restricted stock	—		—
Weighted average number of shares outstanding - diluted	88,987		37,557
Net loss from continuing operations per share, basic and diluted	$	(0.05)	$	(0.22)
Loss from discontinued operations per share, basic and diluted	$	(0.01)	$	(0.09)
Net loss per share, basic and diluted	$	(0.06)	$	(0.31)
Weighted average antidilutive options, unvested RSUs and RSAs, and unvested PSUs excluded from the computation	3,745		2,807

Basic earnings per share (“EPS”) is computed by dividing net (loss) income for the period by the weighted-average number of common stock outstanding during the period. The weighted-average number of common stock outstanding includes the 11,900,000 pre-funded warrants discussed below in “Public Offerings”. Diluted EPS is computed by dividing net (loss) income for the period by the weighted average number of common stock outstanding during the period, plus the dilutive effect of outstanding restricted stock units (“RSUs”), performance stock units (“PSUs”), and stock options as applicable pursuant to the treasury stock method. Certain of the Company's outstanding share-based awards, noted in the table above, were excluded because they were anti-dilutive, but they could become dilutive in the future. The anti-dilutive stock options and shares of outstanding and unvested restricted stock were excluded from the computation of earnings per share for the three months ended December 31, 2023 and 2022 due to the Company incurring a net loss for such period.

Public Offerings

On August 23, 2023, we closed our offering of 22,600,000 shares of our common stock at a price of $0.50 per share, and, to certain investors, pre-funded warrants (each, a “Pre-Funded Warrant”) to purchase 11,900,000 shares of our common stock at a price of $0.49999999 for each pre-funded warrant (which represents the per share public offering price for our common stock in such offering less the $0.00000001 per share exercise price for each such Pre-Funded Warrant), resulting in net proceeds to us from the offering, after deducting the placement agent commissions and other offering expenses, of approximately $15.6 million. The shares were sold by us pursuant to an Underwriting Agreement, dated as of August 17, 2023, between us and the Craig-Hallum Capital Group LLC as the sole managing underwriter.

On February 17, 2023, we closed our offering of 15,454,546 shares of our common stock at a price of $1.10 per share, resulting in net proceeds to us from the offering, after deducting the placement agent commissions and other offering expenses, of $15.4 million. The shares were sold by us pursuant to a Securities Purchase Agreement, dated as of February 17, 2023, between the Company and each purchaser named in the signature pages thereto and a Placement Agency Agreement, dated as of February 15, 2023, by and between the Company and A.G.P./Alliance Global Partners.

Future Issuances

Common stock reserved for future issuances as of December 31, 2023 was as follows:

	Amount
Exercise of outstanding stock options	7,704
Unvested RSUs	3,758,881
Unvested PSUs (at 100% maximum payout)	1,574,668
Issuance of stock-based awards under the Equity Plans	416,612
Purchases under the officer and director share purchase plan	88,741
Total reserved	5,846,606