v3.7.0.1
Condensed Consolidated Balance Sheets - USD ($)
$ in Thousands
Jun. 30, 2017
Dec. 31, 2016
Current Assets:    
Cash $ 407 $ 1,790
Accounts receivable, net of allowances of $1,026 and $914, respectively 8,459 13,952
Inventory, net of reserves of $263 and $84, respectively 165
Loans receivable, net of reserves of $891 and $891, respectively 2,319 382
Other current assets 4,915 2,100
Total current assets 16,100 18,389
Property and equipment, net 167 533
Goodwill 10,185 23,368
Customer lists, net 5,786 8,589
Tradenames, net 1,471 3,178
Other intangible assets, net 256
Restricted cash 1,000
Cost method investment 340
Other assets 160 256
Total assets 35,209 54,569
Current Liabilities:    
Accounts payable 9,698 10,907
Accrued expenses 12,338 10,721
Deferred revenue 4,900 3,058
Income taxes payable 53 53
Bank debt, current portion 117 121
Notes payable, related parties 4,110 225
Contingent consideration 515
Derivative financial instruments 3,159 1,749
Term loans, current portion, net of debt discount 30,551 30,742
Total current liabilities 64,926 58,091
Long-term Liabilities:    
Notes payable, related parties, net of current portion 3,970
Deferred income taxes 604 1,002
Term loans, net of current portion, net of debt discount 2,369 6,233
Derivative financial instruments 3,365 1,316
Total long-term liabilities 6,338 12,521
Total Liabilities 71,264 70,612
Commitments and Contingencies
Stockholders' Deficit:    
Common stock; $0.0001 par value; 500,000,000 shares authorized; 122,232,467 and 28,516,804 issued and 121,833,616 and 28,210,003 outstanding as of June 30, 2017 and December 31, 2016, respectively 10 2
Common stock warrants, no par 1 1,727
Treasury stock, at cost - 398,852 and 306,801 shares at June 30, 2017 and December 31, 2016, respectively (2) (1)
Additional paid-in capital 138,893 130,869
Accumulated deficit (175,162) (148,983)
Total InterCloud Systems, Inc. stockholders' deficit (36,260) (16,386)
Non-controlling interest 205 343
Total stockholders' deficit (36,055) (16,043)
Total liabilities and stockholders' deficit $ 35,209 $ 54,569

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v3.7.0.1
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2017
Jun. 30, 2016
Jun. 30, 2017
Jun. 30, 2016
Statements of Operations [Abstract]        
Service revenue $ 7,574 $ 20,860 $ 21,337 $ 35,471
Product revenue 547 1,734 734 4,752
Total revenue 8,121 22,594 22,071 40,223
Cost of revenue 6,493 17,375 17,076 30,590
Gross profit 1,628 5,219 4,995 9,633
Operating expenses:        
Depreciation and amortization 264 556 707 1,112
Salaries and wages 2,329 4,205 5,604 8,311
Selling, general and administrative 2,157 4,776 5,128 8,070
Goodwill impairment charge 621 3,767
Intangible asset impairment charge 162 959
Total operating expenses 5,533 9,537 16,165 17,493
Loss from operations (3,905) (4,318) (11,170) (7,860)
Other income (expenses):        
Change in fair value of derivative instruments (1,121) 1,910 (3,545) 4,796
Interest expense (1,283) (3,418) (5,558) (8,133)
Gain on conversion of debt 348
Gain (loss) on extinguishment of debt, net 117 (6,969) (1,054) (7,812)
Loss on investment in equity method investee (29)
Loss on disposal of subsidiary (5,921) (5,226)
Other expense (income) (84) 714 (122) 683
Total other expense (8,292) (7,763) (15,505) (10,147)
Loss from continuing operations before income taxes (12,197) (12,081) (26,675) (18,007)
Provision for (benefit from) income taxes (119) 56 (358) 116
Net loss from continuing operations (12,078) (12,137) (26,317) (18,123)
Gain on discontinued operations, net of tax (1,198) 465
Net loss (12,078) (13,335) (26,317) (17,658)
Net (income) loss attributable to non-controlling interest 121 (81) 138 (66)
Net loss attributable to InterCloud Systems, Inc. common stockholders $ (11,957) $ (13,416) $ (26,179) $ (17,724)
Loss per share attributable to InterCloud Systems, Inc. common stockholders, basic and diluted:        
Net loss from continuing operations $ (0.10) $ (0.39) $ (0.28) $ (0.59)
Net income on discontinued operations, net of taxes (0.04) 0.01
Net loss per share $ (0.10) $ (0.43) $ (0.28) $ (0.58)
Weighted average common shares outstanding, basic and diluted 120,261,344 31,442,412 95,675,967 30,662,143

Source

v3.7.0.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
6 Months Ended
Jun. 30, 2017
Jun. 30, 2016
Cash flows from operating activities:    
Net loss $ (26,317) $ (17,658)
Adjustments to reconcile net loss to net cash used in operating activities:    
Gain on discontinued operations (465)
Provision for bad debts 255 100
Depreciation and amortization 707 1,112
Amortization of debt discount and deferred debt issuance costs 3,644 3,906
Stock compensation for services 977 1,309
Issuance of shares to non-employees for services 12 71
Change in fair value of derivative instruments 3,545 (4,796)
Deferred income taxes (398) (51)
Goodwill impairment charge 3,767
Intangible asset impairment charge 959
Gain on conversion of debt (348)
Loss on extinguishment of debt 1,054 7,812
Loss on disposal of subsidiary 5,226
Loss on investment in equity method investee 29
Changes in operating assets and liabilities:    
Accounts receivable 2,511 (1,333)
Inventory 165 816
Other assets (2,811) (1,760)
Accounts payable and accrued expenses 2,405 941
Deferred revenue 1,933 (1,634)
Net cash used in operating activities of continuing operations (2,366) (11,949)
Net cash used in operating activities of discontinued operations 414
Net cash used in operating activities (2,366) (11,535)
Cash flows from investing activities:    
Purchases of equipment (29) (107)
Restricted cash (12,190)
Issuance of notes receivable 63 (1,644)
Cash proceeds from sale of Highwire 4,000
Cash proceeds from sale of SDNE 422
Restricted cash proceeds from sale of SDNE 1,000
Net cash paid upon disposal of the AWS Entities (105)
Net cash paid upon the disposal of Nottingham (8)  
Consideration paid for acquisitions, net of cash received 95
Net cash provided by (used in) investing activities of continuing operations 5,343 (13,846)
Net cash provided by investing activities of discontinued operations 21,887
Net cash provided by investing activities 5,343 8,041
Cash flows from financing activities:    
Proceeds from bank borrowings 15
Repayments of bank borrowings (4) (6)
Proceeds from term loans 70
Debt issuance costs on new term loans (50)
Term loan-related repayments from proceeds of sale of subsidiary (3,625)
Repayment of term loans (285) (2,011)
Repayments of receivables purchase agreements (480)
Cancellations of shares issued for interest (1)
Repurchase of common stock (1)
Net cash used in financing activities (4,360) (2,018)
Net decrease in cash (1,383) (5,512)
Cash, beginning of period 1,790 7,944
Cash, end of period 407 2,432
Supplemental disclosures of cash flow information:    
Cash paid for interest 152 2,572
Cash paid for income taxes 39 83
Non-cash investing and financing activities:    
Issuance of shares pursuant to conversion of debt 5,247 2,207
Issuance of warrants pursuant to acquisition 1,000
Addition to debt discount 1,826 1,581
Issuance of shares in lieu of cash compensation 206
Issuance of shares pursuant to loan covenants $ 828

Source