Straight Path Communications Inc.

CIK:0001574460|SEC Filings

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Oct. 31, 2017	Oct. 31, 2016
Statements of Operations [Abstract]
Revenues	$ 165	$ 159
Costs and expenses:
Direct cost of revenues	17	41
Research and development	137	160
Selling, general and administrative (related party of $21 and $128, respectively)	3,241	3,361
Total costs and expenses	3,395	3,562
Loss from operations before profit sharing settlement	(3,230)	(3,403)
Profit sharing settlement	10,000
Loss from operations	(13,230)	(3,403)
Other income (expense):
Interest expense including amortization of debt discounts	(836)
Interest income	6	7
Other income		22
Total other income (expense)	(830)	29
Loss from continuing operations before provision for income taxes	(14,060)	(3,374)
Provision for income taxes	(7)	(7)
Loss from continuing operations	(14,067)	(3,381)
Loss from discontinued operations:
Loss from discontinued operations	(1,489)	(874)
Loss attributable to noncontrolling interests	229	124
Loss from discontinued operations attributable to Straight Path Communications Inc.	(1,260)	(750)
Net loss attributable to Straight Path Communications Inc.	$ (15,327)	$ (4,131)
Loss per share attributable to Straight Path Communications Inc. stockholders:
Basic and diluted - continuing operations	$ (1.13)	$ (0.28)
Basic and diluted - discontinued operations	(0.10)	(0.06)
Basic and diluted - total	$ (1.23)	$ (0.34)
Weighted-average number of shares used in calculation of loss per share:
Basic and diluted	12,403	12,018

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Oct. 31, 2017	Oct. 31, 2016
Operating activities:
Net loss	$ (15,556)	$ (4,255)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation - restricted common stock	951	2,417
Stock-based compensation - stock options		97
Amortization of debt discounts	649
Changes in assets and liabilities:
Trade accounts receivable, net	26	(7)
Inventory
Assets held for sale - Straight Path IP Group	3
Prepaid expenses and other current assets	(1,308)	(7)
Prepaid expenses - related to sale of Straight Path IP Group	1,029
Other assets	3	(1)
Trade accounts payable	285	383
Accrued expenses	9,077	(520)
Liabilities held for sale - Straight Path IP Group	(357)
FCC consent decree payable	(3,500)
Deferred revenue	(54)	95
Income taxes payable		(2)
Net cash used in operating activities	(8,752)	(1,800)
Investing activities:
Proceeds from sale of Straight Path IP Group	6,000
Net cash provided by investing activities	6,000
Financing activities:
Capital contribution related to IDT settlement agreement and release	10,000
Dividend related to IDT settlement agreement and release	(750)
Payments of loans payable	(8,500)
Costs related to loans payable	(39)
Common stock issued upon exercise of warrants	1,057
Common stock issued upon exercise of stock options	8
Net cash provided by financing activities	1,776
Net decrease in cash and cash equivalents	(976)	(1,800)
Cash and cash equivalents at beginning of period	8,535	11,361
Cash and cash equivalents at end of period	7,559	9,561
Supplemental schedule of noncash activities
Gain on sale of Straight Path IP Group classified as additional paid-in capital	5,195
Elimination of noncontrolling interests due to sale of Straight Path IP Group	2,919
Issuance of warrants with loans payable	50
Dvidend payable	3,750
Supplemental cash flow information
Cash paid during the period for interest	383
Cash paid during the period for income taxes	$ 7	$ 7

Consolidated Balance Sheets - USD ($) $ in Thousands	Oct. 31, 2017	Jul. 31, 2017
Current assets:
Cash and cash equivalents	$ 7,559	$ 8,535
Trade accounts receivable, net of allowance for doubtful accounts of $19 and $19, respectively	25	51
Inventory	1,588	1,588
Assets held for sale - Straight Path IP Group		3
Prepaid expenses and other current assets	402	118
Total current assets	9,574	10,295
Prepaid expenses - related to the sale of Straight Path IP Group		1,029
Intangible assets	365	365
Other assets	158	161
Total assets	10,097	11,850
Current liabilities:
Trade accounts payable (related party of $57 and $29, respectively)	3,495	3,210
Accrued expenses (related party of $0 and $900, respectively)	12,360	3,502
Dividend payable	3,750
Liabilities held for sale - Straight Path IP Group		357
FCC consent decree payable		3,500
Loans payable, net of debt discount of $541 and $1,101	3,334	11,274
Deferred revenue	174	217
Total current liabilities	23,113	22,060
Settlement of litigation	7,200	7,200
Deferred revenue - long-term portion	64	75
Total liabilities	30,377	29,335
Commitments and contingencies
Straight Path Communications Inc. stockholders' deficiency:
Preferred stock, $0.01 par value; 3,000 shares authorized; no shares issued and outstanding
Additional paid-in capital	52,719	38,377
Accumulated deficit	(72,699)	(52,872)
Treasury stock, 40 shares at cost at October 31, 2017 and July 31, 2017	(428)	(428)
Total Straight Path Communications Inc. stockholders' deficiency	(20,280)	(14,795)
Noncontrolling interests		(2,690)
Total deficiency	(20,280)	(17,485)
Total liabilities and deficiency	10,097	11,850
Class A Common Stock
Straight Path Communications Inc. stockholders' deficiency:
Common stock value	8	8
Class B Common Stock
Straight Path Communications Inc. stockholders' deficiency:
Common stock value	$ 120	$ 120