(Mark One)
|
|||
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
for the quarterly period ended
|
||
or
|
|||
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
for the transition period from ____ to ____
|
Commission File Number
|
|
(Exact name of registrant as specified in its charter)
|
|
|
|
(State of incorporation)
|
(I.R.S. Employer Identification Number)
|
|
|
|
(Address of principal executive offices)
|
(Zip Code)
|
Registrant’s telephone number, including area code: (
|
Large accelerated filer ☐
|
Accelerated filer ☐
|
|
Smaller reporting company
|
Emerging growth company
|
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
||
|
|
|
|
|
Page
|
PART I.
|
FINANCIAL INFORMATION
|
3
|
Item 1.
|
Financial Statements (unaudited)
|
|
|
3
|
|
|
4
|
|
|
5
|
|
|
6
|
|
|
7
|
|
|
8
|
|
Item 2.
|
21
|
|
Item 3.
|
32 |
|
Item 4.
|
33 |
|
PART II.
|
33 |
|
Item 1.
|
33 |
|
Item 1A.
|
33 |
|
Item 2.
|
34 |
|
Item 3
|
34 |
|
Item 4
|
34 |
|
Item 5.
|
34 |
|
Item 6.
|
35 |
March 31, 2022
|
December 31, 2021
|
|||||||
(unaudited)
|
||||||||
ASSETS
|
||||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$
|
|
$
|
|
||||
Contract receivables, net
|
|
|
||||||
Prepaid expenses and other current assets
|
|
|
||||||
Total current assets
|
|
|
||||||
Equipment, software and leasehold improvements, net
|
|
|
||||||
Software development costs, net
|
|
|
||||||
Goodwill
|
|
|
||||||
Intangible assets, net
|
|
|
||||||
Restricted cash - long term | ||||||||
Operating lease right-of-use assets, net
|
|
|
||||||
Other assets
|
|
|
||||||
Total assets
|
$
|
|
$
|
|
||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||
Current liabilities:
|
||||||||
Line of credit
|
$
|
|
$
|
|
||||
Current portion of long-term note
|
|
|
||||||
Accounts payable
|
|
|
||||||
Accrued expenses
|
|
|
||||||
Accrued compensation
|
|
|
||||||
Billings in excess of revenue earned
|
|
|
||||||
Accrued warranty
|
|
|
||||||
Income taxes payable
|
|
|
||||||
Derivative liabilities
|
||||||||
Other current liabilities
|
|
|
||||||
Total current liabilities
|
|
|
||||||
Long-term note, less current portion
|
|
|
||||||
Operating lease liabilities noncurrent
|
|
|
||||||
Other noncurrent liabilities
|
|
|
||||||
Total liabilities
|
|
|
||||||
Commitments and contingencies (Note 16)
|
||||||||
Stockholders’ equity:
|
||||||||
Preferred stock $
|
|
|
||||||
Common stock $
|
|
|
||||||
Additional paid-in capital
|
|
|
||||||
Accumulated deficit
|
(
|
)
|
(
|
)
|
||||
Accumulated other comprehensive income (loss)
|
|
(
|
)
|
|||||
Treasury stock at cost,
|
(
|
)
|
(
|
)
|
||||
Total stockholders’ equity
|
|
|
||||||
Total liabilities and stockholders’ equity
|
$
|
|
$
|
|
Three months ended
|
||||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Revenue
|
$ | $ | ||||||
Cost of revenue
|
||||||||
Gross profit
|
||||||||
Operating expenses:
|
||||||||
Selling, general and administrative
|
||||||||
Research and development
|
||||||||
Restructuring charges
|
||||||||
Depreciation
|
||||||||
Amortization of intangible assets
|
||||||||
Total operating expenses
|
||||||||
Operating loss
|
( |
) | ( |
) | ||||
Interest expense, net
|
( |
) | ( |
) | ||||
Change in fair value of derivative instruments, net
|
( |
) | ||||||
Other income, net
|
||||||||
Loss before income taxes
|
( |
) | ( |
) | ||||
Provision for (benefit from) income taxes
|
( |
) | ||||||
Net loss
|
$ | ( |
) | $ | ( |
) | ||
Net loss per common share - basic and diluted
|
$ | ( |
) | $ | ( |
) | ||
Weighted average shares outstanding used to compute net loss per share - basic and diluted
|
Three months ended
|
||||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Net loss
|
$ | ( |
) | $ | ( |
) | ||
Cumulative translation adjustment
|
||||||||
Comprehensive loss
|
$ | ( |
) | $ | ( |
) |
Common Stock
|
Treasury Stock
|
|||||||||||||||||||||||||||||||
Three Months Ended
|
Shares
|
Amount
|
Additional
Paid-in
Capital
|
Accumulated
Deficit
|
Accumulated
Other
Comprehensive
Loss
|
Shares |
Amount
|
Total
|
||||||||||||||||||||||||
Balance, January 1, 2022
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
(
|
)
|
(
|
)
|
$
|
(
|
)
|
$
|
|
||||||||||||||
Stock-based compensation expense
|
-
|
|
|
|
|
-
|
|
|
||||||||||||||||||||||||
Common stock issued for RSUs vested
|
|
|
(
|
)
|
|
|
-
|
|
|
|||||||||||||||||||||||
Shares withheld to pay taxes
|
-
|
|
(
|
)
|
|
|
-
|
|
(
|
)
|
||||||||||||||||||||||
Foreign currency translation adjustment
|
-
|
|
|
|
|
-
|
|
|
||||||||||||||||||||||||
Net loss
|
-
|
|
|
(
|
)
|
|
-
|
|
(
|
)
|
||||||||||||||||||||||
Balance, March 31, 2022
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
(
|
)
|
$
|
(
|
)
|
$
|
|
Balance, January 1, 2021
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
(
|
)
|
(
|
)
|
$
|
(
|
)
|
$
|
|
||||||||||||||
Stock-based compensation expense
|
-
|
|
|
|
|
-
|
|
|
||||||||||||||||||||||||
Common stock issued for RSUs vested
|
|
|
|
|
|
-
|
|
|
||||||||||||||||||||||||
Shares withheld to pay taxes
|
-
|
|
(
|
)
|
|
|
-
|
|
(
|
)
|
||||||||||||||||||||||
Foreign currency translation adjustment
|
-
|
|
|
|
|
-
|
|
|
||||||||||||||||||||||||
Net loss
|
-
|
|
|
(
|
)
|
|
-
|
|
(
|
)
|
||||||||||||||||||||||
Balance, March 31, 2021
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
(
|
)
|
(
|
)
|
$
|
(
|
)
|
$
|
|
Three months ended
|
||||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Cash flows from operating activities:
|
||||||||
Net loss
|
$
|
(
|
)
|
$
|
(
|
)
|
||
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
|
||||||||
Depreciation
|
|
|
||||||
Amortization of intangible assets
|
|
|
||||||
Amortization of capitalized software development costs
|
|
|
||||||
Amortization of deferred financing costs
|
|
|
||||||
Amortization of debt discount
|
||||||||
Stock-based compensation expense
|
|
|
||||||
Bad debt expense
|
|
|
||||||
Change in fair value of derivative instruments, net
|
|
|
||||||
Deferred income taxes
|
||||||||
Changes in assets and liabilities:
|
||||||||
Contract receivables, net
|
|
(
|
)
|
|||||
Prepaid expenses and other assets
|
|
(
|
)
|
|||||
Accounts payable, accrued compensation and accrued expenses
|
|
|
||||||
Billings in excess of revenue earned
|
|
(
|
)
|
|||||
Accrued warranty
|
|
(
|
)
|
|||||
Other liabilities
|
(
|
|
||||||
Net cash provided by (used in) operating activities
|
|
(
|
)
|
|||||
Cash flows from investing activities:
|
||||||||
Capital expenditures
|
(
|
)
|
(
|
)
|
||||
Capitalized software development costs
|
(
|
)
|
(
|
)
|
||||
Net cash used in investing activities
|
(
|
)
|
(
|
)
|
||||
Cash flows from financing activities:
|
||||||||
Repayment of line of credit
|
(
|
)
|
(
|
)
|
||||
Repayment of insurance premium
|
(
|
)
|
(
|
)
|
||||
Proceeds from issuance of long-term note, net of debt issuance cost and original issue discount
|
|
|
||||||
Shares withheld to pay taxes
|
(
|
)
|
(
|
)
|
||||
Net cash provided by (used in) financing activities
|
|
(
|
)
|
|||||
Effect of exchange rate changes on cash
|
(
|
)
|
(
|
)
|
||||
Net increase (decrease) in cash, cash equivalents and restricted cash
|
|
(
|
)
|
|||||
Cash, cash equivalents and restricted cash at beginning of the period
|
|
|
||||||
Cash, cash equivalents and restricted cash at the end of the period
|
$
|
|
$
|
|
Cash and cash equivalents |
$ | $ | ||||||
Restricted cash included in other long-term assets |
||||||||
Total cash, cash equivalents, and restricted cash |
$ | $ |
Supplemental cash flow disclosures: |
||||||||
Non-cash financing activities
|
||||||||
Discount on issuance of Convertible Note
|
$ | $ |
(in thousands, except for share amounts)
|
Three months ended | |||||||
|
March 31,
|
|||||||
2022
|
2021
|
|||||||
Numerator:
|
||||||||
Net loss attributed to common stockholders
|
$ | ( |
) | $ | ( |
) | ||
Denominator:
|
||||||||
Weighted-average shares outstanding for basic
earnings per share
|
||||||||
Effect of dilutive securities:
|
||||||||
RSUs
|
||||||||
Adjusted weighted-average shares outstanding and assumed
conversions for diluted earnings per share
|
||||||||
Shares related to dilutive securities excluded because inclusion
would be anti-dilutive
|
(in thousands)
|
March 31, 2022
|
December 31, 2021
|
||||||
Billed receivables
|
$
|
|
$
|
|
||||
Unbilled receivables
|
|
|
||||||
Allowance for doubtful accounts
|
(
|
)
|
(
|
)
|
||||
Total contract receivables, net
|
$
|
|
$
|
|
(in thousands)
|
As of March 31, 2022
|
|||||||||||
Gross Carrying Amount
|
Accumulated Amortization
|
Net
|
||||||||||
Amortized intangible assets:
|
||||||||||||
Customer relationships
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||
Trade names
|
|
(
|
)
|
|
||||||||
Developed technology
|
|
(
|
)
|
|
||||||||
Non-contractual customer relationships
|
|
(
|
)
|
|
||||||||
Noncompete agreement
|
|
(
|
)
|
|
||||||||
Alliance agreement
|
|
(
|
)
|
|
||||||||
Others
|
|
(
|
)
|
|
||||||||
Total
|
$
|
|
$
|
(
|
)
|
$
|
|
(in thousands)
|
As of December 31, 2021
|
|||||||||||
Gross Carrying
Amount
|
Accumulated
Amortization
|
Net
|
||||||||||
Amortized intangible assets:
|
||||||||||||
Customer relationships
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||
Trade names
|
|
(
|
)
|
|
||||||||
Developed technology
|
|
(
|
)
|
|
||||||||
Non-contractual customer relationships
|
|
(
|
)
|
|
||||||||
Noncompete agreement
|
|
(
|
)
|
|
||||||||
Alliance agreement
|
|
(
|
)
|
|
||||||||
Others
|
|
(
|
)
|
|
||||||||
Total
|
$
|
|
$
|
(
|
)
|
$
|
|
(in thousands)
|
||||
Years ended December 31:
|
||||
2022 remainder
|
$
|
|
||
2023
|
|
|||
2024
|
|
|||
2025
|
|
|||
2026
|
|
|||
Thereafter
|
|
|||
Total
|
$
|
|
(in thousands)
|
||||||||
March 31, 2022
|
December 31, 2021
|
|||||||
Computer and equipment
|
$
|
|
$
|
|
||||
Software
|
|
|
||||||
Leasehold improvements
|
|
|
||||||
Furniture and fixtures
|
|
|
||||||
|
|
|||||||
Accumulated depreciation
|
(
|
)
|
(
|
)
|
||||
Equipment, software and leasehold improvements, net
|
$
|
|
$
|
|
Exercise Price
|
$ | |||
Common Stock Price
|
$ | |||
Risk Free Rate
|
||||
Volatility
|
||||
Term (in years)
|
(in thousands)
|
Quoted Prices
in Active Markets
for Identical Assets
(Level 1)
|
Significant
Other Observable
Inputs
(Level 2)
|
Significant
Unobservable
Inputs
(Level 3)
|
Total
|
||||||||||||
Money market funds
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Derivative liability | $ | $ | $ | $ | ||||||||||||
Warrant liability |
||||||||||||||||
Cash settled performance-vesting restricted stock units
|
||||||||||||||||
Total liabilities | $ | $ | $ | $ |
(in thousands)
|
Quoted Prices
in Active Markets
for Identical Assets
(Level 1)
|
Significant
Other Observable
Inputs
(Level 2)
|
Significant
Unobservable
Inputs
(Level 3)
|
Total
|
||||||||||||
Money market funds
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
$
|
|
(in thousands)
|
Embedded
Redemption Features
|
Warrant | Level 3 Total |
|||||||||
Balance at December 31, 2021
|
$
|
|
$ | $ | ||||||||
Derivative liabilities at issuance date
|
|
|||||||||||
Warrant liabilities at issuance date
|
||||||||||||
Change in fair value included in gain on derivative instruments, net
|
(
|
)
|
||||||||||
Balance at March 31, 2022
|
$
|
|
$ | $ |
Amount
|
||||
Convertible Note issued
|
$
|
|
||
Debt discount
|
(
|
)
|
||
Issuance cost:
|
||||
Commitment fee
|
(
|
)
|
||
Balance of investor’s counsel fees
|
(
|
)
|
||
Net proceeds of Convertible Note
|
$
|
|
||
Fair value of Warrant Liabilities on issuance |
( |
) | ||
Fair value of Conversion Feature on issuance |
( |
) | ||
Allocated OID costs to Convertible Note
|
( |
) | ||
Interest expense accrued on Convertible Note as of March 31, 2022 |
||||
Balance of Convertible Note as of March 31, 2022 |
$ |
(in thousands)
|
||||
Balance at January 1, 2022
|
$
|
|
||
Current period recovery
|
|
|||
Current period claims
|
(
|
)
|
||
Currency adjustment
|
(
|
)
|
||
Balance at March 31, 2022
|
$
|
|
|
Three months ended
|
|||||||
(in thousands) |
March 31, 2022
|
March 31, 2021
|
||||||
Performance Improvement Solutions
|
||||||||
System Design and Build
|
$
|
$
|
||||||
Point in time
|
||||||||
Over time
|
||||||||
Software and Support
|
||||||||
Point in time
|
||||||||
Over time
|
||||||||
Training and Consulting Services
|
||||||||
Point in time
|
||||||||
Over time
|
||||||||
Workforce Solutions
|
||||||||
Training and Consulting Services
|
||||||||
Point in time
|
||||||||
Over time
|
||||||||
Total revenue
|
$
|
$
|
(in thousands) |
Three months ended
|
|||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Revenue recognized in the period from amounts
included in Billings in Excess of Revenue Earned at the beginning of the period
|
$
|
|
$
|
|
(in thousands)
|
Three months ended
|
|||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Income (loss) before income taxes
|
$
|
(
|
)
|
$
|
(
|
)
|
||
Provision for income taxes
|
|
(
|
)
|
|||||
Effective tax rate
|
(
|
)%
|
|
%
|
As of
|
||||||||||
Operating Leases
|
Classification
|
March 31, 2022
|
December 31, 2021
|
|||||||
Leased Assets
|
||||||||||
Operating lease - right of use assets
|
|
$
|
|
$
|
|
|||||
Lease Liabilities
|
||||||||||
Operating lease liabilities - Current
|
|
|
|
|||||||
Operating lease liabilities
|
|
|
|
|||||||
|
$ |
|
$
|
|
Three months ended
|
||||||||||
Lease Cost
|
Classification
|
March 31,
2022
|
March 31,
2021
|
|||||||
Operating lease cost (1)
|
Selling, general and administrative expenses
|
$
|
|
$
|
|
|||||
Short-term leases costs (2)
|
Selling, general and administrative expenses
|
|
|
|||||||
Sublease income (3)
|
Selling, general and administrative expenses
|
(
|
)
|
(
|
)
|
|||||
Net lease cost
|
|
|
|
$
|
|
(in thousands)
|
Gross Future
Minimum Lease
Payments
|
|||
2022 remainder
|
$
|
|
||
2023
|
|
|||
2024
|
|
|||
2025
|
|
|||
2026
|
|
|||
Total lease payments
|
$
|
|
||
Less: Interest
|
|
|||
Present value of lease payments
|
$
|
|
Lease Term and Discount Rate
|
March 31, 2022
|
December 31, 2021
|
||||||
Weighted-average remaining lease term (years)
|
||||||||
Operating leases
|
|
|
||||||
Weighted-average discount rate
|
||||||||
Operating leases
|
(in thousands)
|
Three months ended
|
|||||||
Cash paid for amounts included in
measurement of liabilities
|
March 31, 2022
|
March 31, 2021
|
||||||
Operating cash flows used in operating leases
|
$
|
|
$
|
|
(in thousands)
|
Three months ended
|
|||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Revenue:
|
||||||||
Performance Improvement Solutions
|
$
|
|
$
|
|
||||
Workforce Solutions
|
|
|
||||||
Total revenue
|
$
|
|
$
|
|
||||
Operating loss
|
||||||||
Performance Improvement Solutions
|
$
|
|
$
|
(
|
)
|
|||
Workforce Solutions
|
(
|
)
|
(
|
)
|
||||
Loss on impairment
|
|
|
||||||
Operating loss
|
(
|
)
|
(
|
)
|
||||
Interest expense, net
|
(
|
)
|
(
|
)
|
||||
Change in fair value of derivative instruments, net |
(
|
)
|
|
|||||
Other income, net
|
|
|
||||||
Loss before income taxes
|
$
|
(
|
)
|
$
|
(
|
)
|
Item 2.
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations
|
• |
optimization of existing generation assets
|
• |
design support and deployment of advanced reactor designs
|
• |
integration with renewable power sources
|
• |
Design engineering for plant mechanical, electrical, I&C, civil and structural, fire protection and cyber systems
|
• |
Engineering programs addressing ASME codes, balance of plant programs other regulatory programs and economic driven programs such as plant thermal performance
|
• |
Simulation engineering for nuclear, thermal and process plant training and virtual commissioning
|
Three months ended
|
||||||||||||||||
(in thousands)
|
March 31, 2022
|
March 31, 2021
|
||||||||||||||
$ |
%
|
$ |
%
|
|||||||||||||
Revenue
|
$
|
12,275
|
100.0
|
%
|
$
|
13,104
|
100.0
|
%
|
||||||||
Cost of revenue
|
9,848
|
80.2
|
%
|
10,176
|
77.7
|
%
|
||||||||||
Gross profit
|
2,427
|
19.8
|
%
|
2,928
|
22.3
|
%
|
||||||||||
Operating expenses:
|
||||||||||||||||
Selling, general and administrative
|
4,507
|
36.5
|
%
|
3,734
|
28.5
|
%
|
||||||||||
Research and development
|
142
|
1.2
|
%
|
157
|
1.2
|
%
|
||||||||||
Restructuring charges
|
-
|
0.0
|
%
|
808
|
6.2
|
%
|
||||||||||
Loss on impairment
|
-
|
0.0
|
%
|
-
|
0.0
|
%
|
||||||||||
Depreciation
|
72
|
0.6
|
%
|
76
|
0.6
|
%
|
||||||||||
Amortization of intangible assets
|
260
|
2.1
|
%
|
340
|
2.6
|
%
|
||||||||||
Total operating expenses
|
4,981
|
40.6
|
%
|
5,115
|
39.0
|
%
|
||||||||||
Operating loss
|
2,554
|
|
(20.9
|
)%
|
(2,187
|
)
|
(16.8
|
)%
|
||||||||
Interest expense, net
|
(148
|
)
|
(1.2
|
)%
|
(54
|
)
|
(0.4
|
)%
|
||||||||
Change in fair value of derivative instruments, net
|
(581
|
)
|
(4.9
|
)%
|
-
|
0.0
|
%
|
|||||||||
Other income, net
|
16 |
0.1
|
%
|
1
|
0.0
|
%
|
||||||||||
Loss before income taxes
|
(3,267
|
)
|
(26.6
|
)%
|
(2,240
|
)
|
(17.1
|
)%
|
||||||||
Provision for (benefit from) income taxes
|
167
|
1.4
|
%
|
(35
|
)
|
(0.3
|
)%
|
|||||||||
Net loss
|
$
|
(3,434
|
)
|
(28.0
|
)%
|
$
|
(2,205
|
)
|
(16.8
|
)%
|
Three months ended
|
||||||||||||||||
(in thousands)
|
March 31, 2022
|
March 31, 2021
|
Change
|
|||||||||||||
Revenue:
|
$ |
%
|
||||||||||||||
Performance Improvement Solutions
|
$
|
6,397
|
$
|
7,081
|
(684
|
)
|
(10
|
)%
|
||||||||
Workforce Solutions
|
5,878
|
6,023
|
(145
|
)
|
(2
|
)%
|
||||||||||
Total revenue
|
$
|
12,275
|
$
|
13,104
|
(829
|
)
|
(6
|
)%
|
Three months ended
|
||||||||||||||||
March 31, 2022
|
March 31, 2021
|
|||||||||||||||
(in thousands)
|
$
|
%
|
$
|
%
|
||||||||||||
Gross profit:
|
||||||||||||||||
Performance Improvement Solutions
|
$
|
1,815
|
28.4
|
%
|
$
|
2,192
|
31.0
|
%
|
||||||||
Workforce Solutions
|
612
|
10.4
|
%
|
736
|
12.2
|
%
|
||||||||||
Total gross profit
|
$
|
2,427
|
19.8
|
%
|
$
|
2,928
|
22.3
|
%
|
Three months ended
|
||||||||||||||||
(in thousands)
|
March 31, 2022
|
%
|
March 31, 2021
|
%
|
||||||||||||
Selling, general and administrative expenses:
|
||||||||||||||||
Corporate charges
|
$
|
3,482
|
77.3
|
%
|
$
|
2,758
|
73.9
|
%
|
||||||||
Business development
|
839
|
18.6
|
%
|
767
|
20.5
|
%
|
||||||||||
Facility operation & maintenance (O&M)
|
177
|
3.9
|
%
|
200
|
5.4
|
%
|
||||||||||
Bad debt expense
|
-
|
0.0
|
%
|
4
|
0.1
|
%
|
||||||||||
Other
|
9
|
0.2
|
%
|
5
|
0.1
|
%
|
||||||||||
Total
|
$
|
4,507
|
100.0
|
%
|
$
|
3,734
|
100.0
|
%
|
Three months ended
|
||||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Net loss
|
$
|
(3,434
|
)
|
$
|
(2,205
|
)
|
||
Interest expense, net
|
148
|
54
|
||||||
Provision for income taxes
|
167
|
(35
|
)
|
|||||
Depreciation and amortization
|
415
|
513
|
||||||
EBITDA
|
(2,704
|
)
|
(1,673
|
)
|
||||
Restructuring charges
|
-
|
808
|
||||||
Stock-based compensation expense
|
408
|
38
|
||||||
Change in fair value of derivative instruments, net
|
581 |
-
|
||||||
Adjusted EBITDA
|
$
|
(1,715
|
)
|
$
|
(827
|
)
|
(in thousands)
|
Three months ended
|
|||||||
March 31, 2022
|
March 31, 2021
|
|||||||
Net loss
|
$
|
(3,434
|
)
|
$
|
(2,205
|
)
|
||
Restructuring charges
|
-
|
808
|
||||||
Stock-based compensation expense
|
408
|
38
|
||||||
Change in fair value of derivative instruments, net
|
581 |
-
|
||||||
Amortization of intangible assets related to acquisitions
|
260
|
340
|
||||||
Adjusted net loss
|
$
|
(2,185
|
)
|
$
|
(1,019
|
)
|
||
Adjusted loss per common share – Diluted
|
$
|
(0.10
|
)
|
$
|
(0.05
|
)
|
||
Weighted average shares outstanding used to compute adjusted net loss per share - basic and diluted(1)
|
20,980,046
|
20,628,669
|
Item 3. |
Quantitative and Qualitative Disclosure about Market Risk
|
Item 4. |
Controls and Procedures
|
Item 1. |
Legal Proceedings
|
Item 1A. |
Risk Factors
|
Item 2. |
Unregistered Sales of Equity Securities and Use of Proceeds
|
Item 3. |
Defaults Upon Senior Securities
|
Item 4. |
Mine Safety Disclosures
|
Item 5. |
Other Information
|
Item 6. |
Exhibits
|
Certification of the Chief Executive Officer pursuant to Section 302 of the Sarbanes- Oxley Act of 2002, filed herewith.
|
||
Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, filed herewith.
|
||
Certification of the Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, filed herewith.
|
||
Eighth Amendment
|
||
101.INS*
|
XBRL Instance Document
|
|
101.SCH*
|
XBRL Taxonomy Extension Schema
|
|
101.CAL*
|
XBRL Taxonomy Extension Calculation Linkbase
|
|
101.DEF*
|
XBRL Taxonomy Extension Definition Linkbase
|
|
101.LAB*
|
XBRL Taxonomy Extension Label Linkbase
|
|
101.PRE*
|
XBRL Taxonomy Extension Presentation Linkbase
|
Date: May 16, 2022
|
|
GSE SYSTEMS, INC.
|
|
/S/ KYLE J. LOUDERMILK
|
|
Kyle J. Loudermilk
|
|
Chief Executive Officer
|
|
(Principal Executive Officer)
|
|
/S/ EMMETT A. PEPE
|
|
Emmett A. Pepe
|
|
Chief Financial Officer
|
|
(Principal Financial and Accounting Officer)
|