v3.19.3
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
Sep. 30, 2019
Dec. 31, 2018
Current assets:    
Cash $ 10,721,629 $ 1,900,857
Cash - escrow account 1,150,000 0
Accounts receivable, net of allowance of $375,000 2,692,052 1,900,336
Unbilled services 403,593 166,593
Prepaid expenses and other current assets 383,984 433,727
Current assets held for sale 0 484,242
Total current assets 15,351,258 4,885,755
Property and equipment, net 752,545 688,122
Operating lease right-of-use assets 770,894 0
Intangible assets, net 2,703,060 2,916,367
Goodwill 891,000 885,000
Deferred tax assets 1,218,055 1,292,055
Deposits and other assets 41,732 39,791
Other assets held for sale 0 1,037,295
Total assets 21,728,544 11,744,385
Current liabilities:    
Accounts payable 2,179,904 2,028,218
Accrued expenses 1,218,720 1,647,593
Accrued interest 15,188 14,628
Income taxes payable 1,768,192 20,000
Contingent consideration – current portion 0 22,548
Long term debt - current portion 438,574 426,350
Finance lease obligations – current portion 167,277 87,355
Operating lease liabilities – current portion 268,569 0
Deferred revenue 1,977,439 1,386,618
Current liabilities held for sale 0 599,916
Total current liabilities 8,033,863 6,233,226
Long term debt net of current portion 865,901 1,068,487
Finance lease obligations net of current portion 216,798 108,512
Operating lease liabilities net of current portion 502,325 0
Total liabilities 9,618,887 7,410,225
Commitments and contingencies
Stockholders’ equity:    
Common stock, value 46 46
Additional paid-in capital 11,777,434 11,763,923
Accumulated earnings (deficit) 332,177 (7,429,810)
Total stockholders’ equity 12,109,657 4,334,160
Total liabilities and stockholders’ equity 21,728,544 11,744,385
Series A Preferred Stock [Member]    
Stockholders’ equity:    
Preferred stock, value $ 0 0
Series B Preferred Stock [Member]    
Stockholders’ equity:    
Preferred stock, value   $ 1
v3.19.3
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($)
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Revenues $ 10,107,865 $ 10,063,234 $ 28,534,596 $ 26,622,162
Cost of revenues 6,407,089 6,282,316 17,579,251 16,450,415
Gross profit 3,700,776 3,780,918 10,955,345 10,171,747
Selling, general and administrative expenses:        
Selling and marketing expenses 1,765,271 1,606,792 5,073,687 4,662,057
General and administrative expenses 2,467,515 2,079,730 6,599,885 5,747,944
Share-based compensation expenses 3,400 6,713 13,510 66,592
Impairment of intangible assets 236,860 0 236,860 0
Depreciation and amortization expenses 178,109 239,782 538,907 551,378
Total selling, general and administrative expenses 4,651,155 3,933,017 12,462,849 11,027,971
Loss from continuing operations (950,379) (152,099) (1,507,504) (856,224)
Other income (expense):        
Other income 18,677 0 18,677 0
Interest expense, net (18,171) (15,089) (58,782) (29,887)
Total other income (expense) 506 (15,089) (40,105) (29,887)
Loss from continuing operations before taxes (949,873) (167,188) (1,547,609) (886,111)
Provision for income taxes 0 0 0 0
Loss from continuing operations (949,873) (167,188) (1,547,609) (886,111)
Income from discontinued operations 269,554 407,170 988,525 1,231,944
Gain on sale of discontinued operations 10,144,287 0 10,144,287 0
Provision for income taxes (1,795,127) (69,050) (1,823,216) (99,296)
Income from discontinued operations 8,618,714 338,120 9,309,596 1,132,648
Net income $ 7,668,841 $ 170,932 $ 7,761,987 $ 246,537
Basic earnings (loss) per share applicable to common shareholders:        
Continuing operations (in Dollars per share) $ (0.21) $ (0.04) $ (0.34) $ (0.20)
Discontinued operations (in Dollars per share) 1.91 0.08 2.07 0.25
Net (loss) income (in Dollars per share) 1.70 0.04 1.73 0.05
Diluted earnings (loss) per share applicable to common shareholders:        
Continuing operations (in Dollars per share) (0.21) (0.04) (0.34) (0.20)
Discontinued operations (in Dollars per share) 1.91 0.08 2.07 0.25
Net (loss) income (in Dollars per share) $ 1.70 $ 0.04 $ 1.73 $ 0.05
Weighted average shares outstanding:        
Basic (in Shares) 4,500,755 4,501,755 4,500,755 4,499,072
Diluted (in Shares) 4,500,755 4,501,755 4,500,755 4,499,072
Product [Member]        
Revenues $ 1,867,971 $ 1,456,658 $ 4,898,886 $ 3,989,130
Cost of revenues 1,232,446 892,208 3,039,836 2,487,145
Service Net [Member]        
Revenues 8,239,894 8,606,576 23,635,710 22,633,032
Cost of revenues $ 5,174,643 $ 5,390,108 $ 14,539,415 $ 13,963,270
v3.19.3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Cash flows from operating activities:    
Net income $ 7,761,987 $ 246,537
Net income from discontinued operations 9,309,596 1,132,648
Net loss from continuing operations (1,547,609) (886,111)
Adjustments to reconcile net loss from continuing operations to net cash used in operating activities:    
Deferred income taxes 74,000 77,000
Depreciation and amortization 252,734 239,004
Amortization of intangibles 286,173 311,358
Amortization of right of use assets 140,106 0
Bad debt expense 103,815 15,974
Share-based compensation 13,510 21,285
Impairment of intangible asset 236,860 0
Common stock for services 0 45,307
Changes in assets and liabilities:    
Accounts receivable (895,533) 239,256
Unbilled services (236,997) (218,575)
Prepaid expenses and other current assets 49,744 54,069
Deposits and other assets (1,942) 2,613
Accounts payable 151,685 (218,233)
Accrued expenses (203,832) 87,942
Income tax payable (75,024) (32,754)
Accrued interest 560 685
Deferred revenues 590,821 (82,669)
Operating lease obligations (140,106) 0
Net cash used in operating activities of continuing operations (1,201,035) (343,849)
Cash flows from investing activities:    
Purchase of property and equipment (25,221) (100,244)
Acquisition of business (60,000) (300,000)
Proceeds from sale of EDI practice, net of fees 10,132,574 0
Software development costs (81,730) (163,006)
Net cash provided by (used in) investing activities of continuing operations 9,965,623 (563,250)
Cash flows from financing activities:    
Payment of cash dividend (225,038) 0
Payment of contingent consideration (22,548) (67,911)
Payment of long term debt (364,362) (231,175)
Payment of finance lease obligations (103,727) (97,340)
Net cash used in financing activities of continuing operations (715,675) (396,426)
Operating activities of discontinued operations 899,537 1,164,310
Investing activities of discontinued operations (127,678) (288,044)
Net cash provided by discontinued operations 771,859 876,266
Net increase (decrease) in cash 8,820,772 (427,259)
Cash, beginning of period 1,900,857 2,235,348
Cash, end of period 10,721,629 1,808,089
Cash paid during period for:    
Interest 58,782 31,608
Income taxes $ 901 $ 56,564