PALO ALTO, Calif., Nov. 15, 2021 /PRNewswire/ -- Inpixon
(Nasdaq: INPX), the Indoor Intelligence™ company, today provided a
business update and reported financial results for the third
quarter of 2021.
Nadir Ali, CEO of Inpixon,
stated, "We are proud to report that the growing demand for our
solutions has resulted in strong year-over-year and sequential
revenue growth in each of the first three quarters of 2021. More
specifically, we achieved a 74% and 100% increase in revenue for
the three and nine months ended September
30, 2021, respectively. This growth results from sales
primarily attributed to our smart office app and real-time location
based technologies, which have supplemented and enhanced our suite
of Indoor Intelligence products and solutions since last year. The
combination of our products is not only increasing stickiness with
our customers but also increasing our average sales price. We are
also seeing success in our land-and-expand strategy as customers
continue to increase their footprint with us. In addition, our
award-winning smart office app platform was adopted by several
top-tier organizations during the quarter, many of whom sought our
solution to support their hybrid workplace initiatives. We believe
this demand within the market will continue, as the need for a
connected workforce and contextual experiences accelerates.
"We remain committed to supplying organizations with a
comprehensive suite of products and solutions that provide them
with actionable Indoor Intelligence—making their environments
smarter, safer and more secure. Towards this end, we have enhanced
our technologies and completed acquisitions that expand our product
offerings and market opportunities. We are now realizing the full
impact of our comprehensive platform. Our platform's ability to
respond and adapt within the new-normal, post-pandemic environment
is helping us secure numerous contracts, as well as broadening
partnership and collaboration opportunities. We are
leveraging our broad range of capabilities and technologies,
including app development, mapping, positioning, augmented reality,
sports devices and more, in order to reimagine the user and
employee experience. Importantly, we are working to reimagine
workplace experiences by bringing innovative technologies to the
market for smarter, safer and more secure environments.
"Overall, we have more than $100
million of liquidity as of September 30, 2021, which includes $66.8 million in cash and cash equivalents as
well as $43.2 million in short-term
investments. We believe our strong balance sheet will allow us to
effectively execute on our business strategy of gaining additional
market awareness and deepening our penetration of the market with
our solutions, as well as to identify opportunistic acquisition
targets that build upon our established platform and enhance our
own technologies. We are proud of the strong momentum we have
achieved and look forward to providing additional updates regarding
our expansion as developments unfold," concluded, Mr. Ali.
Recent milestones:
- Secured multiple new contracts for Inpixon's smart office,
events, security and RTLS solutions with numerous existing and new
customers which are considered leaders in their respective
markets.
- Launched new version of Inpixon Aware integrating UWB and Chirp
RTLS, enhancing security as well as personnel and asset tracking
capabilities.
- Released new version of Inpixon Mapping, the company's
enterprise-class indoor mapping platform, delivering enhancements
in performance, scalability and security.
- Awarded patent from the U.S. Patent and Trademark office
covering its multi-channel spatial positioning system.
- Granted patent from the U.S. Patent and Trademark office for
certain geolocation and state-reporting methods and techniques for
weapon tracking and reporting utilizing GPS, cellular, sound and
vibration.
- Entered collaboration agreement with Ostendo Technologies
("Ostendo") to jointly pursue customer opportunities aimed at
launching new augmented reality (AR) enabled solutions
incorporating Ostendo's AR smart glasses and Inpixon's
award-winning location, computer vision and AR technologies.
- Executed a statement of work to exclusively provide the City of
Miami Beach's Washington Avenue
Business Improvement District with an AR-enabled mobile
ExperienceApp, which will also support the integrated use of
Ostendo AR smart glasses.
- Won the 2021 IoT Evolution Security Excellence award from IoT
Evolution World for Inpixon Aware. IoT Evolution World is a leading
publication covering IoT technologies.
- Won 2021 FacilitiesNet Vision Award for Inpixon's smart office
app in the office reopening solution category.
- Announced that Inpixon's CXApp event platform powered
Aruba's Atmosphere Digital 2020
Conference which won the Judges' Choice Award, EXHIBITOR Magazine's
2021 Corporate Event Awards' top honor.
Financial Results
Revenues for the three and nine months ended September 30, 2021 were $4.5 million and $10.9
million, respectively, compared to $2.6 million and $5.4
million, respectively, for the comparable periods in the
prior year. This is an increase of approximately $1.9 million, or approximately 74% for the three
months ended September 30, 2021 and
100% for the nine months ended September 30,
2021. The revenue increase for the three months ended
September 30, 2021 is primarily
attributable to an approximate $1.8
million increase in Indoor Intelligence sales and an
increase of approximately $0.1
million of SAVES sales. The revenue increase for the nine
months ended September 30, 2021 is
primarily attributable to an approximate $3.8 million increase in Indoor Intelligence
sales and an increase of approximately $1.6
million of SAVES sales. Gross profit for the three and nine
months ended September 30, 2021 was
$3.3 million and $7.9 million, respectively, compared to
$1.9 million and $4.0 million, respectively, for the comparable
periods in the prior year, an increase of 71% and 99%,
respectively. The gross profit margin for the three months ended
September 30, 2021 was 73% compared
to 75% for the three months ended September
30, 2020. This decrease in margin is primarily due to the
sales mix during the quarter. The gross profit margin for the nine
months ended September 30, 2021 and
2020 was 73%. Net loss attributable to stockholders of Inpixon for
the three and nine months ended September
30, 2021 was $33.6 million and
$31.4 million, respectively, compared
to a loss of $7.5 million and
$20.9 million, respectively, for the
comparable periods in the prior year. The increase in loss for the
three months ended September 31, 2021
of approximately $26.2 million was
primarily attributable to the $22.3
million unrealized loss on the Sysorex note and increased
operating expenses, offset by the higher gross profit. The increase
in loss for the nine months ended September
31, 2021 of approximately $10.5
million was primarily attributable to the increased
operating expenses of approximately $24.8
million, offset by the $3.9
million higher gross profit and the $7.5 million release of valuation allowance on
the Sysorex note.
Non-GAAP Adjusted EBITDA for the three and nine months ended
September 30, 2021 was a loss of
$6.7 million and $18.5 million, respectively, compared to a loss
of $4.6 million and $12.4 million, respectively, for the prior year
periods. EBITDA is defined as net income (loss) before interest,
provision for income taxes, and depreciation and amortization.
Adjusted EBITDA is used by Inpixon management as a metric by which
it manages the business. It is defined as EBITDA plus adjustments
for other income or expense items, non-recurring items and other
non-cash items including stock-based compensation.
Proforma non-GAAP net loss per basic and diluted common share
for the three and nine months ended September 30, 2021 was a loss of $0.05 per share and $0.19 per share, respectively, compared to a loss
of $0.13 per share and $0.64 per share, respectively, for the prior year
periods. Proforma non-GAAP net income (loss) per share is used by
Inpixon management as an evaluation tool as it manages the business
and is defined as net income (loss) per basic and diluted share
adjusted for non-cash items including stock-based compensation,
amortization of intangibles and one-time charges and other
adjustments including loss on the exchange of debt for equity,
provision for valuation allowance on notes and acquisition
costs.
Conference Call
Inpixon management will host a conference call at 4:30 p.m. Eastern Time on Monday, November 15,
2021, to discuss the company's financial results for the third
quarter ended September 30, 2021, as
well as the company's corporate progress and other
developments.
The conference call will be available via telephone by dialing
toll free 844-369-8770 for U.S. callers or +1 862-298-0840 for
international callers. A webcast of the call may be accessed at
https://www.webcaster4.com/Webcast/Page/2235/43638, or on the
company's Investor Relations section of the website,
ir.inpixon.com. Investors and other interested parties are invited
to submit questions to management prior to the call's start via
email to inpx@crescendo-ir.com.
A webcast replay of the call will be available on the company's
Investor Relations section of the website (ir.inpixon.com) through
November 15, 2022. A telephone replay
will be available approximately one hour following the call,
through November 22, 2021 and can be
accessed by dialing 877-481-4010 for U.S. callers or +1
919-882-2331 for international callers and entering conference ID
43638.
About Inpixon
Inpixon® (Nasdaq: INPX) is the innovator of Indoor
Intelligence™, delivering actionable insights for people, places
and things. Combining the power of mapping, positioning and
analytics, Inpixon helps to create smarter, safer, and more secure
environments. The company's Indoor Intelligence and mobile app
solutions are leveraged by a multitude of industries to optimize
operations, increase productivity, and enhance safety. Inpixon
customers can take advantage of industry leading location
awareness, RTLS, workplace and hybrid event solutions, analytics,
sensor fusion and the IoT to create exceptional experiences and to
do good with indoor data. For the latest insights,
follow Inpixon on LinkedIn, Twitter, and
visit inpixon.com.
Safe Harbor Statement
All statements in this release that are not based on
historical fact are "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995 and the
provisions of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. While management has based any forward-looking statements
included in this release on its current expectations, the
information on which such expectations were based may change. These
forward-looking statements rely on a number of assumptions
concerning future events and are subject to a number of risks,
uncertainties and other factors, many of which are outside of the
control of Inpixon and its subsidiaries, which could cause actual
results to materially differ from such statements. Such risks,
uncertainties, and other factors include, but are not limited to,
the fluctuation of economic conditions, the impact of COVID-19 on
Inpixon's results of operations and global supply chain
constraints, Inpixon's ability to integrate the products and
business from recent acquisitions into its existing business, the
performance of management and employees, the regulatory landscape
as it relates to privacy regulations and their applicability to
Inpixon's technology, Inpixon's ability to maintain compliance with
Nasdaq's minimum bid price requirement and other continued listing
requirements, the valuation associated with the Sysorex shares
owned by Inpixon may fluctuate on a quarter by quarter basis and is
anticipated to be subject to discounts or other adjustments for a
variety of factors including but not limited to fluctuations in the
market price of Sysorex's common stock which may result in
unrealized losses if the value of such securities declines and
require us to recognize a charge against earnings, the ability to
obtain financing, competition, general economic conditions and
other factors that are detailed in Inpixon's periodic and current
reports available for review at sec.gov. Furthermore, Inpixon
operates in a highly competitive and rapidly changing environment
where new and unanticipated risks may arise. Accordingly, investors
should not place any reliance on forward-looking statements as a
prediction of actual results. Inpixon disclaims any intention to,
and undertakes no obligation to, update or revise forward-looking
statements.
Non-GAAP Financial Measures
Management believes that certain financial measures not in
accordance with generally accepted accounting principles in
the United States ("GAAP") are
useful measures of operations. EBIDTA, Adjusted EBITDA and pro
forma net loss per share are non-GAAP measures. Inpixon defines
"EBITDA" as net income (loss) before interest, provision for
(benefit from) income taxes, and depreciation and amortization.
Management uses Adjusted EBITDA as a metric for which it manages
the business, and Inpixon defines "Adjusted EBITDA" as EBITDA plus
adjustments for other income or expense items, non-recurring items
and non-cash items. Inpixon defines "pro forma net loss per share"
as GAAP net loss per share adjusted for stock-based compensation,
amortization of intangibles and one-time charges including loss on
the exchange of debt for equity and provision for valuation
allowances.
Management provides Adjusted EBITDA and pro forma net loss per
share measures so that investors will have the same financial
information that management uses, which may assist investors in
assessing Inpixon's performance on a period-over-period basis.
Adjusted EBITDA or pro forma net loss per share is not a measure of
financial performance under GAAP, and should not be considered an
alternative to net income (loss) or any other measure of
performance under GAAP, or to cash flows from operating, investing
or financing activities as an indicator of cash flows or as a
measure of liquidity. Adjusted EBITDA and pro forma net loss per
share have limitations as analytical tools and should not be
considered either in isolation or as a substitute for analysis of
Inpixon's results as reported under GAAP.
For more information on our non-GAAP financial measures and a
reconciliation of GAAP to non-GAAP measures, please see the
"Reconciliation of Non-GAAP Financial Measures" table accompanying
this press release.
Inpixon Contacts
Media relations and general inquiries:
Inpixon
Email: marketing@inpixon.com
Web: inpixon.com/contact-us
Investor relations:
Crescendo Communications, LLC
Tel: +1 212-671-1020
Email: INPX@crescendo-ir.com
INPIXON AND
SUBSIDIARIES
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
(In thousands,
except number of shares and par value data)
|
|
|
|
|
|
|
|
|
|
As
of
|
|
|
September 30,
2021
|
|
December 31,
2020
|
|
|
(Unaudited)
|
|
(Audited)
|
ASSETS
|
|
|
|
|
Current
Assets
|
|
|
|
|
|
|
Cash and
cash equivalents
|
|
$
|
66,785
|
|
$
|
17,996
|
Accounts
receivable, net of allowances of $334 and $235,
respectively
|
|
|
3,432
|
|
|
1,739
|
Notes
and other receivables
|
|
|
888
|
|
|
152
|
Inventory, net of reserve of $437 and $138, respectively
|
|
|
1,540
|
|
|
1,243
|
Short-term investments
|
|
|
43,223
|
|
|
7,998
|
Prepaid
assets and other current assets
|
|
|
1,120
|
|
|
1,197
|
Total Current
Assets
|
|
|
116,988
|
|
|
30,325
|
|
|
|
|
|
|
|
Property and
equipment, net
|
|
|
1,483
|
|
|
1,445
|
Operating lease
right-of-use asset, net
|
|
|
1,587
|
|
|
2,077
|
Software development
costs, net
|
|
|
1,893
|
|
|
1,721
|
Investment in Equity
Securities
|
|
|
7,655
|
|
|
--
|
Long-term
investments
|
|
|
2,500
|
|
|
2,500
|
Intangible assets,
net
|
|
|
34,775
|
|
|
14,203
|
Goodwill
|
|
|
24,017
|
|
|
6,588
|
Other
assets
|
|
|
139
|
|
|
152
|
Total
Assets
|
|
$
|
191,037
|
|
$
|
59,011
|
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
1,394
|
|
$
|
908
|
Accrued
liabilities
|
|
|
6,623
|
|
|
2,739
|
Income
tax liabilities
|
|
|
3,509
|
|
|
--
|
Operating lease obligation, current
|
|
|
587
|
|
|
647
|
Deferred
revenue
|
|
|
4,474
|
|
|
1,922
|
Short-term debt
|
|
|
3,251
|
|
|
5,401
|
Acquisition liability
|
|
|
336
|
|
|
500
|
Total Current
Liabilities
|
|
|
20,174
|
|
|
12,117
|
|
|
|
|
|
|
|
Long Term
Liabilities
|
|
|
|
|
|
|
Operating lease obligations, noncurrent
|
|
|
1,030
|
|
|
1,457
|
Other
liabilities, noncurrent
|
|
|
28
|
|
|
7
|
Acquisition liability, noncurrent
|
|
|
5,425
|
|
|
750
|
Total
Liabilities
|
|
|
26,657
|
|
|
14,331
|
|
|
|
|
|
|
|
Commitments and
Contingencies
|
|
|
--
|
|
|
--
|
|
|
|
|
|
|
|
Mezzanine
Equity
|
|
|
|
|
|
|
Series 7
Convertible Preferred Stock - 58,750 shares authorized; 49,250 and
- issued and outstanding as of Setpember 30, 2021 and December 31,
2020, respectively. (Liquidation preference of
$49,250,000)
|
|
|
39,495
|
|
|
--
|
|
|
|
|
|
|
|
Stockholders'
Equity
|
|
|
|
|
|
|
Preferred Stock - $0.001 par value; 5,000,000 shares authorized;
Series 4 Convertible Preferred Stock - 10,415 shares authorized; 1
issued, and 1 outstanding as of September 30, 2021 and December 31,
2020, respectively; Series 5 Convertible Preferred Stock - 12,000
shares authorized; 126 issued, and 126 outstanding as of September
30, 2021 and December 31, 2020, respectively.
|
|
|
--
|
|
|
--
|
Common
Stock - $0.001 par value; 250,000,000 shares authorized;
124,593,720 and 53,178,462 issued and 124,593,719 and
53,178,461
outstanding as of September 30, 2021 and December 31, 2020,
respectively.
|
|
|
125
|
|
|
53
|
Additional paid-in capital
|
|
|
335,940
|
|
|
225,613
|
Treasury
stock, at cost, 1 share
|
|
|
(695)
|
|
|
(695)
|
Accumulated other comprehensive (loss) income
|
|
|
(352)
|
|
|
660
|
Accumulated deficit
|
|
|
(212,593)
|
|
|
(180,992)
|
Stockholders' Equity Attributable to Inpixon
|
|
|
122,425
|
|
|
44,639
|
|
|
|
|
|
|
|
Non-controlling interest
|
|
|
2,460
|
|
|
41
|
|
|
|
|
|
|
|
Total
Stockholders' Equity
|
|
|
124,885
|
|
|
44,680
|
|
|
|
|
|
|
|
Total Liabilities,
Mezzanine Equity and Stockholders' Equity
|
|
$
|
191,037
|
|
$
|
59,011
|
INPIXON AND
SUBSIDIARIES
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE
LOSS
|
(In thousands,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended,
|
|
For the Nine Months
Ended
|
|
|
|
September
30,
|
|
September
30,
|
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
Revenues
|
|
$
|
4,450
|
|
$
|
2,554
|
|
$
|
10,857
|
|
$
|
5,434
|
|
Cost of
Revenues
|
|
|
1,186
|
|
|
645
|
|
|
2,966
|
|
|
1,459
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
Profit
|
|
|
3,264
|
|
|
1,909
|
|
|
7,891
|
|
|
3,975
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research
and development
|
|
|
3,254
|
|
|
1,717
|
|
|
9,185
|
|
|
4,329
|
|
Sales
and marketing
|
|
|
2,407
|
|
|
1,703
|
|
|
6,119
|
|
|
3,862
|
|
General
and administrative
|
|
|
8,571
|
|
|
4,103
|
|
|
26,570
|
|
|
10,371
|
|
Acquisition related costs
|
|
|
93
|
|
|
344
|
|
|
1,098
|
|
|
540
|
|
Amortization of intangibles
|
|
|
1,395
|
|
|
288
|
|
|
3,088
|
|
|
1,811
|
|
Total Operating
Expenses
|
|
|
15,720
|
|
|
8,155
|
|
|
46,060
|
|
|
20,913
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from
Operations
|
|
|
(12,456)
|
|
|
(6,246)
|
|
|
(38,169)
|
|
|
(16,938)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income
(Expense)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income (expense), net
|
|
|
(15)
|
|
|
(537)
|
|
|
1,191
|
|
|
(1,934)
|
|
Loss on
exchange of debt for equity
|
|
|
--
|
|
|
--
|
|
|
(30)
|
|
|
(132)
|
|
Benefit
(provision) for valuation allowance on related party loan - held
for sale
|
|
|
--
|
|
|
(679)
|
|
|
7,345
|
|
|
(1,514)
|
|
Other
income (expense)
|
|
|
(47)
|
|
|
11
|
|
|
464
|
|
|
(488)
|
|
Gain on
related party loan - held for sale
|
|
|
--
|
|
|
--
|
|
|
49,817
|
|
|
--
|
|
Unrealized loss on equity securities
|
|
|
(22,285)
|
|
|
--
|
|
|
(51,250)
|
|
|
--
|
|
Total Other Income
(Expense)
|
|
|
(22,347)
|
|
|
(1,205)
|
|
|
7,537
|
|
|
(4,068)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Loss, before
tax
|
|
|
(34,803)
|
|
|
(7,451)
|
|
|
(30,632)
|
|
|
(21,006)
|
|
Income
tax benefit (provision)
|
|
|
854
|
|
|
--
|
|
|
(1,350)
|
|
|
87
|
|
Net
Loss
|
|
|
(33,949)
|
|
|
(7,451)
|
|
|
(31,982)
|
|
|
(20,919)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (Loss) Income
Attributable to Non-controlling Interest
|
|
|
(309)
|
|
|
16
|
|
|
(544)
|
|
|
25
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Loss
Attributable to Stockholders of Inpixon
|
|
$
|
(33,640)
|
|
$
|
(7,467)
|
|
$
|
(31,438)
|
|
$
|
(20,944)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Loss Per Share
- Basic and Diluted
|
|
$
|
(0.29)
|
|
$
|
(0.18)
|
|
$
|
(0.31)
|
|
$
|
(0.90)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted Average
Shares Outstanding
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
and Diluted
|
|
|
117,753,206
|
|
|
41,544,961
|
|
|
102,387,641
|
|
|
23,203,004
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
Loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Loss
|
|
$
|
(33,949)
|
|
$
|
(7,451)
|
|
$
|
(31,982)
|
|
$
|
(20,919)
|
|
Unrealized foreign exchange (loss) gain from cumulative translation
adjustments
|
|
|
(404)
|
|
|
69
|
|
|
(1,012)
|
|
|
(226)
|
|
Comprehensive
Loss
|
|
$
|
(34,353)
|
|
$
|
(7,382)
|
|
$
|
(32,994)
|
|
$
|
(21,145)
|
|
INPIXON AND
SUBSIDIARIES
|
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
For the Nine Months
Ended
|
|
|
September
30,
|
|
|
2021
|
|
2020
|
(Unaudited)
|
|
Cash Flows Used In
Operating Activities
|
|
|
|
|
|
|
Net
loss
|
|
$
|
(31,982)
|
|
$
|
(20,919)
|
Adjustments to reconcile net
loss to net cash used in operating activities:
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
970
|
|
|
568
|
Amortization of
intangible assets
|
|
|
3,571
|
|
|
1,929
|
Amortization of right
of use asset
|
|
|
527
|
|
|
322
|
Stock based
compensation
|
|
|
8,813
|
|
|
941
|
Loss on exchange of
debt for equity
|
|
|
30
|
|
|
132
|
Amortization of debt
discount
|
|
|
224
|
|
|
2,272
|
Accrued interest
income, related party
|
|
|
(1,627)
|
|
|
(32)
|
Provision for doubtful
accounts
|
|
|
100
|
|
|
--
|
Unrealized gain on note
|
|
|
(638)
|
|
|
--
|
Provision for
inventory obsolescense
|
|
|
300
|
|
|
--
|
(Recovery) provision
for the valuation allowance for held for sale loan
|
|
|
(7,345)
|
|
|
1,514
|
Provision for the
valuation allowance for related party receivable
|
|
|
--
|
|
|
648
|
Gain on settlement of
related party promissory note and loan related party
receivable
|
|
|
(49,817)
|
|
|
--
|
Deferred income
tax
|
|
|
(4,507)
|
|
|
(87)
|
Unrealized loss on
equity securities
|
|
|
51,250
|
|
|
--
|
Other
|
|
|
137
|
|
|
74
|
|
|
|
|
|
|
|
Changes in operating assets
and liabilities:
|
|
|
|
|
|
|
Accounts receivable
and other receivables
|
|
|
(678)
|
|
|
(1,111)
|
Inventory
|
|
|
(499)
|
|
|
(14)
|
Prepaid expenses and
other current assets
|
|
|
(70)
|
|
|
(814)
|
Other
assets
|
|
|
200
|
|
|
(20)
|
Accounts
payable
|
|
|
(653)
|
|
|
(1,359)
|
Accrued
liabilities
|
|
|
3,421
|
|
|
54
|
Income tax
liabilities
|
|
|
3,471
|
|
|
--
|
Deferred
revenue
|
|
|
1,214
|
|
|
224
|
Operating lease
obligation
|
|
|
(519)
|
|
|
(325)
|
Other
liabilities
|
|
|
89
|
|
|
453
|
Net Cash Used in
Operating Activities
|
|
|
(24,018)
|
|
|
(15,550)
|
|
|
|
|
|
|
|
Cash Flows Used in
Investing Activities
|
|
|
|
|
|
|
Purchase of property and equipment
|
|
|
(258)
|
|
|
(546)
|
Purchases of capitalized software
|
|
|
(857)
|
|
|
(688)
|
Purchases of other short term investments
|
|
|
(2,000)
|
|
|
--
|
Sales of
other short term investments
|
|
|
2,000
|
|
|
--
|
Purchases of treasury bills
|
|
|
(63,362)
|
|
|
--
|
Sales of
treasury bills
|
|
|
28,000
|
|
|
--
|
Purchase
of Systat licensing agreement
|
|
|
(900)
|
|
|
(2,200)
|
Issuance
of note receivable
|
|
|
(268)
|
|
|
--
|
Acquisition of Ten Degrees
|
|
|
--
|
|
|
(1,500)
|
Acquisition of Game Your Game
|
|
|
184
|
|
|
--
|
Acquisition of CXApp
|
|
|
(15,186)
|
|
|
--
|
Acquisition of Visualix
|
|
|
(61)
|
|
|
--
|
Net Cash Used in
Investing Activities
|
|
|
(52,708)
|
|
|
(4,934)
|
|
|
|
|
|
|
|
Cash From
Financing Activities
|
|
|
|
|
|
|
Net
repayments to bank facility
|
|
|
--
|
|
|
(150)
|
Net
proceeds from issuance of preferred stock and warrants
|
|
|
50,584
|
|
|
--
|
Net
proceeds from issuance of common stock and warrants
|
|
|
77,853
|
|
|
44,041
|
Taxes
paid related to net share settlement of restricted stock
units
|
|
|
(1,687)
|
|
|
--
|
Net
proceeds from notes payable
|
|
|
--
|
|
|
(74)
|
Loans to
related party
|
|
|
(117)
|
|
|
(1,806)
|
Repayments from related party
|
|
|
--
|
|
|
292
|
Net
proceeds from promissory notes
|
|
|
--
|
|
|
5,000
|
Repayment of CXApp acquisition liability
|
|
|
(241)
|
|
|
--
|
Repayment of acquisition liability to Nanotron
shareholders
|
|
|
(467)
|
|
|
--
|
Repayment of acquisition liability to Locality
shareholders
|
|
|
(500)
|
|
|
(250)
|
Net Cash Provided
By Financing Activities
|
|
|
125,425
|
|
|
47,053
|
|
|
|
|
|
|
|
Effect of Foreign
Exchange Rate on Changes on Cash
|
|
|
90
|
|
|
(42)
|
|
|
|
|
|
|
|
Net Increase in
Cash and Cash Equivalents
|
|
|
48,789
|
|
|
26,527
|
|
|
|
|
|
|
|
Cash and Cash
Equivalents - Beginning of period
|
|
|
17,996
|
|
|
4,849
|
|
|
|
|
|
|
|
Cash and Cash
Equivalents - End of period
|
|
$
|
66,785
|
|
$
|
31,376
|
Reconciliation of
Non-GAAP Financial Measures:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three
Months Ended
|
|
For the Nine
Months Ended
|
(In
thousands)
|
|
September
30,
|
|
September
30,
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
Net loss attributable
to common stockholders
|
|
(33,640)
|
|
(7,467)
|
|
(31,438)
|
|
(20,944)
|
Adjustments:
|
|
|
|
|
|
|
|
|
Non-recurring
one-time charges:
|
|
|
|
|
|
|
|
|
Loss on exchange of
debt for equity
|
|
-
|
|
-
|
|
30
|
|
132
|
(Recovery) provision
for valuation allowance on held for sale loan
|
|
-
|
|
679
|
|
(7,345)
|
|
1,514
|
Provision for the
valuation allowance related party receivable
|
|
-
|
|
-
|
|
-
|
|
648
|
Gain (loss) on
related party loan held for sale
|
|
-
|
|
-
|
|
(49,817)
|
|
-
|
Unrealized loss on
equity securities
|
|
22,285
|
|
-
|
|
51,250
|
|
-
|
Acquisition
transaction/financing costs
|
|
93
|
|
344
|
|
1,098
|
|
540
|
Earnout Compensation
Expense
|
|
835
|
|
-
|
|
2,893
|
|
-
|
Professional service
fees
|
|
418
|
|
-
|
|
1,189
|
|
-
|
Unrealized gains on
notes, loans, investments
|
|
(6)
|
|
-
|
|
(497)
|
|
-
|
Bad debts
expense/provision
|
|
100
|
|
444
|
|
100
|
|
444
|
Reserve for inventory
obsolescence
|
|
300
|
|
-
|
|
300
|
|
-
|
Stock-based
compensation – compensation and related benefits
|
|
1,664
|
|
256
|
|
8,813
|
|
941
|
Severance
costs
|
|
210
|
|
-
|
|
210
|
|
-
|
Interest expense,
net
|
|
15
|
|
537
|
|
(1,191)
|
|
1,934
|
Income tax provision
(benefit)
|
|
(854)
|
|
-
|
|
1,350
|
|
(87)
|
Depreciation and
amortization
|
|
1,903
|
|
589
|
|
4,541
|
|
2,497
|
Adjusted
EBITDA
|
|
(6,677)
|
|
(4,618)
|
|
(18,514)
|
|
(12,381)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three
Months Ended
|
|
For the Nine
Months Ended
|
(In thousands, except
share data)
|
|
September
30,
|
|
September
30,
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
Net loss attributable
to common stockholders
|
|
(33,640)
|
|
(7,467)
|
|
(31,438)
|
|
(20,944)
|
Adjustments:
|
|
|
|
|
|
|
|
|
Non-recurring
one-time charges:
|
|
|
|
|
|
|
|
|
Loss on exchange of
debt for equity
|
|
-
|
|
-
|
|
30
|
|
132
|
(Recovery) provision
for valuation allowance on held for sale loan
|
|
-
|
|
679
|
|
(7,345)
|
|
1,514
|
Provision for the
valuation allowance related party receivable
|
|
-
|
|
-
|
|
-
|
|
648
|
Gain (loss) on
related party loan held for sale
|
|
-
|
|
-
|
|
(49,817)
|
|
-
|
Unrealized loss on
equity securities
|
|
22,285
|
|
-
|
|
51,250
|
|
-
|
Acquisition
transaction/financing costs
|
|
93
|
|
344
|
|
1,098
|
|
540
|
Earnout Compensation
Expense
|
|
835
|
|
-
|
|
2,893
|
|
-
|
Professional service
fees
|
|
418
|
|
-
|
|
1,189
|
|
-
|
Unrealized gains on
notes, loans, investments
|
|
(6)
|
|
-
|
|
(497)
|
|
-
|
Bad debts
expense/provision
|
|
100
|
|
444
|
|
100
|
|
444
|
Reserve for inventory
obsolescence
|
|
300
|
|
-
|
|
300
|
|
-
|
Stock-based
compensation – compensation and related benefits
|
|
1,664
|
|
256
|
|
8,813
|
|
941
|
Severance
costs
|
|
210
|
|
-
|
|
210
|
|
-
|
Amortization of
intangibles
|
|
1,560
|
|
288
|
|
3,571
|
|
1,811
|
Proforma non-GAAP net
loss
|
|
(6,181)
|
|
(5,456)
|
|
(19,643)
|
|
(14,914)
|
Proforma non-GAAP net
loss per common share - basic and diluted
|
|
(0.05)
|
|
(0.13)
|
|
(0.19)
|
|
(0.64)
|
Weighted average
basic and diluted common shares outstanding
|
|
117,753,206
|
|
41,544,961
|
|
102,387,641
|
|
23,203,004
|
View original content to download
multimedia:https://www.prnewswire.com/news-releases/inpixon-reports-third-quarter-2021-financial-results-and-provides-corporate-update-301424561.html
SOURCE Inpixon