| Schedule of Prior Adjustments for Implements to New Revenue Recognition |
The following
table reconciles the balances as presented for the three and nine months ended September 30, 2018 to the balances prior to the
adjustments made to implement the new revenue recognition standard for the same period:
| |
|
Three Months Ended September 30, 2018 |
|
|
Nine Months Ended September 30, 2018 |
|
| |
|
As Presented |
|
|
Impact of New Revenue Standard |
|
|
Previous Revenue Standard |
|
|
As Presented |
|
|
Impact of New Revenue Standard |
|
|
Previous Revenue Standard |
|
| NET REVENUE |
|
$ |
17,044,526 |
|
|
$ |
(251,120 |
) |
|
$ |
17,295,646 |
|
|
$ |
34,034,788 |
|
|
$ |
75,511 |
|
|
$ |
33,959,277 |
|
| OPERATING EXPENSES: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Direct operating costs |
|
|
12,123,907 |
|
|
|
- |
|
|
|
12,123,907 |
|
|
|
20,941,535 |
|
|
|
- |
|
|
|
20,941,535 |
|
| Selling and marketing |
|
|
461,512 |
|
|
|
5,076 |
|
|
|
456,436 |
|
|
|
1,169,583 |
|
|
|
(6,149 |
) |
|
|
1,175,732 |
|
| General and administrative |
|
|
5,131,295 |
|
|
|
- |
|
|
|
5,131,295 |
|
|
|
10,786,234 |
|
|
|
- |
|
|
|
10,786,234 |
|
| Research and development |
|
|
263,717 |
|
|
|
- |
|
|
|
263,717 |
|
|
|
768,517 |
|
|
|
- |
|
|
|
768,517 |
|
| Change in contingent consideration |
|
|
25,473 |
|
|
|
- |
|
|
|
25,473 |
|
|
|
68,253 |
|
|
|
- |
|
|
|
68,253 |
|
| Depreciation and amortization |
|
|
822,098 |
|
|
|
- |
|
|
|
822,098 |
|
|
|
1,972,565 |
|
|
|
- |
|
|
|
1,972,565 |
|
| Total operating expenses |
|
|
18,828,002 |
|
|
|
5,076 |
|
|
|
18,822,926 |
|
|
|
35,706,687 |
|
|
|
(6,149 |
) |
|
|
35,712,836 |
|
| OPERATING (LOSS) INCOME |
|
|
(1,783,476 |
) |
|
|
(256,196 |
) |
|
|
(1,527,280 |
) |
|
|
(1,671,899 |
) |
|
|
81,660 |
|
|
|
(1,753,559 |
) |
| OTHER: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Interest income |
|
|
24,544 |
|
|
|
- |
|
|
|
24,544 |
|
|
|
59,768 |
|
|
|
- |
|
|
|
59,768 |
|
| Interest expense |
|
|
(104,872 |
) |
|
|
- |
|
|
|
(104,872 |
) |
|
|
(253,120 |
) |
|
|
- |
|
|
|
(253,120 |
) |
| Other (expense) income - net |
|
|
(218,721 |
) |
|
|
- |
|
|
|
(218,721 |
) |
|
|
151,242 |
|
|
|
- |
|
|
|
151,242 |
|
| (LOSS) INCOME BEFORE INCOME TAXES |
|
|
(2,082,525 |
) |
|
|
(256,196 |
) |
|
|
(1,826,329 |
) |
|
|
(1,714,009 |
) |
|
|
81,660 |
|
|
|
(1,795,669 |
) |
| Income tax benefit |
|
|
(250,072 |
) |
|
|
- |
|
|
|
(250,072 |
) |
|
|
(151,872 |
) |
|
|
- |
|
|
|
(151,872 |
) |
| NET (LOSS) INCOME |
|
$ |
(1,832,453 |
) |
|
$ |
(256,196 |
) |
|
$ |
(1,576,257 |
) |
|
$ |
(1,562,137 |
) |
|
$ |
81,660 |
|
|
$ |
(1,643,797 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Preferred stock dividend |
|
|
1,056,214 |
|
|
|
- |
|
|
|
1,056,214 |
|
|
|
3,080,263 |
|
|
|
- |
|
|
|
3,080,263 |
|
| NET (LOSS) INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS |
|
$ |
(2,888,667 |
) |
|
$ |
(256,196 |
) |
|
$ |
(2,632,471 |
) |
|
$ |
(4,642,400 |
) |
|
$ |
81,660 |
|
|
$ |
(4,724,060 |
) |
| Loss per common share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Basic and diluted (loss) income per share |
|
$ |
(0.25 |
) |
|
$ |
(0.03 |
) |
|
$ |
(0.22 |
) |
|
$ |
(0.40 |
) |
|
$ |
0.01 |
|
|
$ |
(0.41 |
) |
|