Reports 18% Revenue Increase and 24% Increase
in ARR to $9.1 Million
HENDERSON, Nev., May 11, 2023
/PRNewswire/ -- Research Solutions, Inc. (NASDAQ: RSSS), a
pioneer in providing cloud-based workflow solutions for R&D
driven organizations, reported financial results for its fiscal
third quarter ended March 31,
2023.
Fiscal Third Quarter 2023 Summary
- Total revenue of $10.3 million,
an 18.1% increase from prior-year quarter and the Company's first
reported quarter of over $10 million
in revenue
- Platform revenue up 26% to $2.2 million. Annual Recurring
Revenue ("ARR") up 24% to $9.1 million.
- Gross profit up 24% from prior-year quarter. Total gross margin
improved 190 basis points to 38.9%.
- Earnings of $0.01 per diluted
share, compared to a loss of $0.01
per share in the prior-year quarter. Fiscal year to date net income
of $0.01 per diluted share, compared
to a loss of $0.05 in the same fiscal
year to date period in the prior-year.
- Adjusted EBITDA of $559,000
compared to $94,000 in the prior-year
quarter
- Positive cash flow from operations of $0.8 million for the quarter and $1.9 million fiscal year to date, compared to
negative cash flow from operations of $0.4
million in the same fiscal year to date period in the
prior-year
"Our third quarter results reflect the continued adoption of our
platform by new customers and a 16% revenue increase in our
transactions business, due to both organic growth and the
successful transition of customer contracts from FIZ Karlsruhe,
which took effect on January 1,
2023," said Roy W. Olivier,
President and CEO of Research Solutions. "Platform growth remained
challenging in the quarter as our customers continue to extend
sales cycles and operate under tightened budgets. Our
profitability, however, has allowed us to continue to invest in
marketing and product development, with some important product
features being successfully released in the quarter. We feel well
positioned to execute as the economic environment improves and
believe our products will be even more relevant to our research
customers."
Fiscal Third Quarter 2023 Results
Total revenue was $10.3 million,
an 18.1% increase from $8.8 million
in the year-ago quarter as both platform and transaction revenue
increased from the prior period.
Platform subscription revenue increased 26% to $2.2 million compared to $1.8 million in the year-ago quarter. The
increase was primarily due to an increase in the total number of
paid Platform deployments, including 25 net deployments added in
the quarter, as well as upsells to existing customers. The quarter
ended with annual recurring revenue of $9.1
million, up 24% year-over-year (see the company's definition
of annual recurring revenue below).
Transaction revenue was $8.1
million, compared to $7.0
million in the third quarter of fiscal 2022. The increase
was primarily due to organic growth and higher transaction volumes
related to contracts transferred from FIZ Karlsruhe effective on
January 1, 2023. The transaction
customer count for the quarter was 1,417, compared to 1,193
customers in the prior-year quarter (see the company's definition
of active customer accounts and transactions below).
Total gross margin improved 190 basis points from the prior-year
quarter to 38.9%. The increase was primarily driven by a continued
revenue mix shift to the higher-margin Platforms business as well
as increased margins in the transactions business.
Total operating expenses were $3.9
million, compared to $3.6
million in the third quarter of 2022. The increase was
primarily due to higher sales and marketing and general and
administrative costs, the latter related to recruiting fees
expensed in the period.
Net income in the third quarter was $237,000, or $0.01
per diluted share, compared to a net loss of ($341,000), or ($0.01) per share, in the prior-year quarter.
Adjusted EBITDA was $559,000,
compared to $94,000 in the year-ago
quarter (see definition and further discussion about the
presentation of Adjusted EBITDA, a non-GAAP term, below).
Conference Call
Research Solutions President and CEO Roy
W. Olivier and CFO Bill
Nurthen will host the conference call, followed by a
question and answer period.
Date: Thursday, May 11, 2023
Time: 5:00 p.m. ET (2:00 p.m. PT)
Dial-in number: 1-412-317-5180
Conference ID: 10178138
The conference call will be broadcast live and available for
replay until June 11, 2023 by
dialing 1-412-317-6671 and using the replay ID 10178138, and
via the investor relations section of the company's website at
http://researchsolutions.investorroom.com/.
Fiscal Third Quarter
Financial and Operational Summary Tables vs. Prior-Year
Quarter
|
|
|
|
Quarter Ended March
31,
|
|
Nine Months Ended
March 31,
|
|
|
2023
|
2022
|
Change
|
%
Change
|
|
2023
|
2022
|
Change
|
%
Change
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
Platforms
|
$
2,249,632
|
$
1,786,224
|
$ 463,408
|
25.9 %
|
|
$ 6,379,871
|
$ 4,900,927
|
$
1,478,944
|
30.2 %
|
|
Transactions
|
$
8,092,794
|
$
6,971,128
|
1,121,666
|
16.1 %
|
|
$
21,363,864
|
$
19,471,216
|
1,892,648
|
9.7 %
|
Total
Revenue
|
10,342,426
|
8,757,352
|
1,585,074
|
18.1 %
|
|
27,743,735
|
24,372,143
|
3,371,592
|
13.8 %
|
|
|
|
|
|
|
|
|
|
|
Gross
Profit:
|
|
|
|
|
|
|
|
|
|
|
Platforms
|
1,981,002
|
1,567,173
|
413,829
|
26.4 %
|
|
5,627,695
|
4,204,552
|
1,423,144
|
33.8 %
|
|
Transactions
|
2,046,271
|
1,671,324
|
374,947
|
22.4 %
|
|
5,152,653
|
4,531,980
|
620,673
|
13.7 %
|
Total Gross
Profit
|
4,027,273
|
3,238,497
|
788,776
|
24.4 %
|
|
10,780,348
|
8,736,532
|
2,043,817
|
23.4 %
|
|
|
|
|
|
|
|
|
|
|
Gross profit as a % of
revenue:
|
|
|
|
|
|
|
|
|
|
|
Platforms
|
88.1 %
|
87.7 %
|
0.3 %
|
|
|
88.2 %
|
85.8 %
|
2.4 %
|
|
|
Transactions
|
25.3 %
|
24.0 %
|
1.3 %
|
|
|
24.1 %
|
23.3 %
|
0.8 %
|
|
Total Gross
Profit
|
38.9 %
|
37.0 %
|
2.0 %
|
|
|
38.9 %
|
35.8 %
|
3.0 %
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Expenses:
|
|
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
642,624
|
543,496
|
99,128
|
18.2 %
|
|
1,830,448
|
1,584,804
|
245,644
|
15.5 %
|
|
Technology and product
development
|
953,677
|
971,959
|
(18,282)
|
-1.9 %
|
|
2,751,099
|
2,661,655
|
89,444
|
3.4 %
|
|
General and
administrative
|
1,871,591
|
1,629,371
|
242,220
|
14.9 %
|
|
5,004,678
|
4,742,729
|
261,950
|
5.5 %
|
|
Depreciation and
amortization
|
18,332
|
4,988
|
13,344
|
267.5 %
|
|
30,486
|
12,144
|
18,342
|
151.0 %
|
|
Stock-based
compensation
|
480,458
|
399,234
|
81,224
|
20.3 %
|
|
1,264,522
|
870,883
|
393,639
|
45.2 %
|
|
Foreign currency
translation loss (gain)
|
(72,547)
|
29,394
|
(101,941)
|
NM
|
|
(84,210)
|
52,619
|
(136,829)
|
NM
|
Total Operating
Expenses
|
3,894,135
|
3,578,442
|
315,693
|
8.8 %
|
|
10,797,023
|
9,924,834
|
872,190
|
8.8 %
|
Income (loss) from
operations
|
133,139
|
(339,944)
|
473,083
|
139.2 %
|
|
(16,675)
|
(1,188,302)
|
1,171,627
|
98.6 %
|
|
|
|
|
|
|
|
|
|
|
Other Income
(Expenses):
|
|
|
|
|
|
|
|
|
|
|
Other income
(expense)
|
104,331
|
237
|
104,094
|
NM
|
|
218,095
|
777
|
217,318
|
NM
|
|
Provision for income
taxes
|
(628)
|
(822)
|
194
|
-23.6 %
|
|
(5,543)
|
(6,592)
|
1,049
|
15.9 %
|
|
Gain on sale of disc'd
operations
|
-
|
-
|
-
|
|
|
-
|
-
|
-
|
|
Total Other Income
(Expenses):
|
103,703
|
(585)
|
104,288
|
NM
|
|
212,552
|
(5,815)
|
218,367
|
NM
|
Net income
(loss)
|
$ 236,842
|
$
(340,529)
|
577,371
|
169.6 %
|
|
$
195,877
|
$
(1,194,117)
|
1,389,994
|
116.4 %
|
|
|
|
|
NM
|
|
|
|
|
NM
|
Adjusted
EBITDA
|
$ 559,382
|
$
93,672
|
$ 465,710
|
497.2 %
|
|
$ 1,194,123
|
$ (252,656)
|
$
1,446,779
|
NM
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended March
31,
|
|
Nine Months Ended
March 31,
|
|
|
2023
|
2022
|
Change
|
%
Change
|
|
2023
|
2022
|
Change
|
%
Change
|
Platforms:
|
|
|
|
|
|
|
|
|
|
|
ARR (Annual recurring
revenue):
|
|
|
|
|
|
|
|
|
|
|
Beginning of
Period
|
$
8,776,977
|
$
6,848,613
|
$
1,928,363
|
28.2 %
|
|
$ 7,922,188
|
$ 5,880,179
|
$
2,042,009
|
34.7 %
|
|
Incremental ARR
|
330,704
|
500,233
|
(169,529)
|
-33.9 %
|
|
1,185,493
|
1,468,668
|
(283,175)
|
-19.3 %
|
|
End of
Period
|
$
9,107,681
|
$
7,348,847
|
$
1,758,834
|
23.9 %
|
|
$ 9,107,681
|
$ 7,348,847
|
$
1,758,834
|
23.9 %
|
|
|
|
|
|
|
|
|
|
|
|
Deployments:
|
|
|
|
|
|
|
|
|
|
|
Beginning of
Period
|
790
|
646
|
144
|
22.3 %
|
|
733
|
553
|
180
|
32.5 %
|
|
Incremental Deployments
|
25
|
34
|
(9)
|
-26.5 %
|
|
82
|
127
|
(45)
|
-35.4 %
|
|
End of
Period
|
815
|
680
|
135
|
19.9 %
|
|
815
|
680
|
135
|
19.9 %
|
|
|
|
|
|
|
|
|
|
|
|
ASP (Average sales
price):
|
|
|
|
|
|
|
|
|
|
|
Beginning of
Period
|
$
11,110
|
$
10,602
|
$
509
|
4.8 %
|
|
$
10,808
|
$
10,633
|
$
175
|
1.6 %
|
|
End of
Period
|
$
11,175
|
$
10,807
|
$
368
|
3.4 %
|
|
$
11,175
|
$
10,807
|
$
368
|
3.4 %
|
|
|
|
|
|
|
|
|
|
|
Transaction
Customers:
|
|
|
|
|
|
|
|
|
|
|
Corporate
customers
|
1,116
|
904
|
212
|
23.5 %
|
|
986
|
875
|
112
|
12.8 %
|
|
Academic
customers
|
301
|
289
|
12
|
4.2 %
|
|
300
|
300
|
-
|
0.0 %
|
|
Total
customers
|
1,417
|
1,193
|
224
|
18.8 %
|
|
1,287
|
1,175
|
112
|
9.5 %
|
Active Customer Accounts, Transactions and Annual Recurring
Revenue
The company defines active customer accounts as the sum of the
total quantity of customers per month for each month in the period
divided by the respective number of months in the period. The
quantity of customers per month is defined as customers with at
least one transaction during the month.
A transaction is an order for a unit of copyrighted content
fulfilled or managed in the Platform.
The company defines annual recurring revenue ("ARR") as the
value of contracted Platform subscription recurring revenue
normalized to a one-year period.
Use of Non-GAAP Measure – Adjusted EBITDA
Research Solutions' management evaluates and makes operating
decisions using various financial metrics. In addition to the
company's GAAP results, management also considers the non-GAAP
measure of Adjusted EBITDA. Management believes that this non-GAAP
measure provides useful information about the company's operating
results.
The tables below provide a reconciliation of this non-GAAP
financial measure with the most directly comparable GAAP financial
measure. Adjusted EBITDA is defined as net income (loss), plus
interest expense, other income (expense), foreign currency
transaction loss, provision for income taxes, depreciation and
amortization, stock-based compensation, gain on sale of
discontinued operations, and other potential adjustments that may
arise. Set forth below is a reconciliation of Adjusted EBITDA to
net income (loss):
|
|
Quarter Ended March
31,
|
|
Nine Months Ended
March 31,
|
|
|
2023
|
2022
|
Change
|
%
Change
|
|
2023
|
2022
|
Change
|
%
Change
|
Net Income
(loss)
|
$ 236,842
|
$
(340,529)
|
$ 577,371
|
169.6 %
|
|
$
195,877
|
$
(1,194,117)
|
$
1,389,994
|
116.4 %
|
Add
(deduct):
|
|
|
|
|
|
|
|
-
|
|
|
Other income
(expense)
|
(104,331)
|
(237)
|
(104,094)
|
NM
|
|
(218,095)
|
(777)
|
(217,318)
|
NM
|
|
Foreign currency
translation loss (gain)
|
(72,547)
|
29,394
|
(101,941)
|
NM
|
|
(84,210)
|
52,619
|
(136,829)
|
NM
|
|
Provision for income
taxes
|
628
|
822
|
(194)
|
-23.6 %
|
|
5,543
|
6,592
|
(1,049)
|
-15.9 %
|
|
Depreciation and
amortization
|
18,332
|
4,988
|
13,344
|
267.5 %
|
|
30,486
|
12,144
|
18,342
|
151.0 %
|
|
Stock-based
compensation
|
480,458
|
399,234
|
81,224
|
20.3 %
|
|
1,264,522
|
870,883
|
393,639
|
45.2 %
|
|
Gain on sale of disc.
ops.
|
-
|
-
|
-
|
|
|
-
|
-
|
-
|
|
Adjusted
EBITDA
|
$ 559,382
|
$
93,672
|
$ 465,710
|
497.2 %
|
|
$ 1,194,123
|
$ (252,656)
|
$
1,446,779
|
NM
|
About Research Solutions
Research Solutions, Inc. (NASDAQ: RSSS) provides cloud-based
technologies to streamline the process of obtaining, managing, and
creating intellectual property. Founded in 2006 as Reprints Desk,
the company was a pioneer in developing solutions to serve
researchers. Today, more than 70 percent of the top pharmaceutical
companies, prestigious universities, and emerging businesses rely
on Article Galaxy, the company's SaaS research platform, to
streamline access to the latest scientific research and data with
24/7 customer support. For more information and details, please
visitwww.researchsolutions.com and www.reprintsdesk.com
Important Cautions Regarding Forward-Looking
Statements
Certain statements in this press release may contain
"forward-looking statements" regarding future events and our future
results. All statements other than statements of historical
facts are statements that could be deemed to be forward-looking
statements. These statements are based on current expectations,
estimates, forecasts, and projections about the markets in which we
operate and the beliefs and assumptions of our management. Words
such as "expects," "anticipates," "targets," "goals," "projects",
"intends," "plans," "believes," "seeks," "estimates," "endeavors,"
"strives," "may," or variations of such words, and similar
expressions are intended to identify such forward-looking
statements. Readers are cautioned that these forward-looking
statements are subject to a number of risks, uncertainties and
assumptions that are difficult to predict, estimate or verify.
Therefore, actual results may differ materially and adversely from
those expressed in any forward-looking statements. Such risks and
uncertainties include those factors described in the Company's most
recent annual report on Form 10-K, as such may be amended or
supplemented by subsequent quarterly reports on Form 10-Q, or other
reports filed with the Securities and Exchange Commission. Examples
of forward-looking statements in this release include statements
regarding additional customers, potential acquisitions and the
Company's prospects for growth. Readers are cautioned not to place
undue reliance on these forward-looking statements. The
forward-looking statements are made only as of the date hereof, and
the Company undertakes no obligation to publicly release the result
of any revisions to these forward-looking statements. For more
information, please refer to the Company's filings with the
Securities and Exchange Commission.
Research Solutions,
Inc. and Subsidiaries
|
Consolidated Balance
Sheets
|
|
|
|
|
|
|
|
|
|
|
|
March 31,
|
|
|
|
|
|
|
2023
|
|
June 30,
|
|
|
|
(unaudited)
|
|
2022
|
|
Assets
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
12,132,899
|
|
$
|
10,603,175
|
|
Accounts receivable,
net of allowance of $49,670 and $94,144, respectively
|
|
|
6,797,240
|
|
|
5,251,545
|
|
Prepaid expenses and
other current assets
|
|
|
398,726
|
|
|
276,026
|
|
Prepaid
royalties
|
|
|
798,892
|
|
|
846,652
|
|
Total current
assets
|
|
|
20,127,757
|
|
|
16,977,398
|
|
|
|
|
|
|
|
|
|
Other
assets:
|
|
|
|
|
|
|
|
Property and equipment,
net of accumulated depreciation of $868,324 and $840,996,
respectively
|
|
|
53,766
|
|
|
47,985
|
|
Intangible assets, net
of accumulated amortization of $11,046 and $0,
respectively
|
|
|
430,788
|
|
|
—
|
|
Deposits and other
assets
|
|
|
997
|
|
|
893
|
|
Total
assets
|
|
$
|
20,613,308
|
|
$
|
17,026,276
|
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders' Equity
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
Accounts payable and
accrued expenses
|
|
$
|
7,696,205
|
|
$
|
6,604,032
|
|
Deferred
revenue
|
|
|
6,524,570
|
|
|
5,538,526
|
|
Total current
liabilities
|
|
|
14,220,775
|
|
|
12,142,558
|
|
|
|
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
|
|
|
|
Preferred stock; $0.001
par value; 20,000,000 shares authorized; no shares issued and
outstanding
|
|
|
—
|
|
|
—
|
|
Common stock; $0.001
par value; 100,000,000 shares authorized; 29,500,764 and
27,075,648 shares
issued and outstanding, respectively
|
|
|
29,501
|
|
|
27,076
|
|
Additional paid-in
capital
|
|
|
29,386,169
|
|
|
28,072,855
|
|
Accumulated
deficit
|
|
|
(22,898,395)
|
|
|
(23,094,272)
|
|
Accumulated other
comprehensive loss
|
|
|
(124,742)
|
|
|
(121,941)
|
|
Total stockholders'
equity
|
|
|
6,392,533
|
|
|
4,883,718
|
|
Total liabilities
and stockholders' equity
|
|
$
|
20,613,308
|
|
$
|
17,026,276
|
|
Research Solutions,
Inc. and Subsidiaries
|
Consolidated
Statements of Operations and Other Comprehensive
Loss
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
|
|
March 31,
|
|
March 31,
|
|
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Platforms
|
|
$
|
2,249,632
|
|
$
|
1,786,224
|
|
$
|
6,379,871
|
|
$
|
4,900,927
|
|
Transactions
|
|
|
8,092,794
|
|
|
6,971,128
|
|
|
21,363,864
|
|
|
19,471,216
|
|
Total
revenue
|
|
|
10,342,426
|
|
|
8,757,352
|
|
|
27,743,735
|
|
|
24,372,143
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenue:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Platforms
|
|
|
268,630
|
|
|
219,051
|
|
|
752,176
|
|
|
696,375
|
|
Transactions
|
|
|
6,046,523
|
|
|
5,299,804
|
|
|
16,211,211
|
|
|
14,939,236
|
|
Total cost of
revenue
|
|
|
6,315,153
|
|
|
5,518,855
|
|
|
16,963,387
|
|
|
15,635,611
|
|
Gross profit
|
|
|
4,027,273
|
|
|
3,238,497
|
|
|
10,780,348
|
|
|
8,736,532
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative
|
|
|
3,875,802
|
|
|
3,573,454
|
|
|
10,766,537
|
|
|
9,912,690
|
|
Depreciation and
amortization
|
|
|
18,332
|
|
|
4,988
|
|
|
30,486
|
|
|
12,144
|
|
Total operating
expenses
|
|
|
3,894,134
|
|
|
3,578,442
|
|
|
10,797,023
|
|
|
9,924,834
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations
|
|
|
133,139
|
|
|
(339,945)
|
|
|
(16,675)
|
|
|
(1,188,302)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
|
|
|
104,331
|
|
|
237
|
|
|
218,095
|
|
|
777
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from
operations before provision for income taxes
|
|
|
237,470
|
|
|
(339,708)
|
|
|
201,420
|
|
|
(1,187,525)
|
|
Provision for income
taxes
|
|
|
(628)
|
|
|
(822)
|
|
|
(5,543)
|
|
|
(6,592)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
|
236,842
|
|
|
(340,530)
|
|
|
195,877
|
|
|
(1,194,117)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive
income (loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation
|
|
|
(4,149)
|
|
|
1,609
|
|
|
(2,801)
|
|
|
(1,181)
|
|
Comprehensive income
(loss)
|
|
$
|
232,693
|
|
$
|
(338,921)
|
|
$
|
193,076
|
|
$
|
(1,195,298)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic income (loss) per
common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per
share
|
|
$
|
0.01
|
|
$
|
(0.01)
|
|
$
|
0.01
|
|
$
|
(0.05)
|
|
Weighted average
common shares outstanding
|
|
|
26,929,314
|
|
|
26,512,195
|
|
|
26,820,557
|
|
|
26,392,949
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted income (loss)
per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per
share
|
|
$
|
0.01
|
|
$
|
(0.01)
|
|
$
|
0.01
|
|
$
|
(0.05)
|
|
Weighted average
common shares outstanding
|
|
|
29,791,719
|
|
|
26,512,195
|
|
|
28,837,774
|
|
|
26,392,949
|
|
Research Solutions,
Inc. and Subsidiaries
|
Consolidated
Statements of Cash Flows
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Nine Months
Ended
|
|
|
|
March 31,
|
|
|
|
2023
|
|
2022
|
|
|
|
|
|
|
|
|
|
Cash flow from
operating activities:
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
|
195,877
|
|
$
|
(1,194,117)
|
|
Adjustment to reconcile
net income (loss) to net cash provided by (used in) operating
activities:
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
30,486
|
|
|
12,144
|
|
Fair value of vested
stock options
|
|
|
338,973
|
|
|
424,450
|
|
Fair value of vested
restricted common stock
|
|
|
925,550
|
|
|
446,433
|
|
Fair value of vested
unrestricted common stock
|
|
|
68,272
|
|
|
—
|
|
Changes in operating
assets and liabilities:
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
(1,545,695)
|
|
|
(904,915)
|
|
Prepaid expenses and
other current assets
|
|
|
(122,700)
|
|
|
(67,984)
|
|
Prepaid
royalties
|
|
|
47,760
|
|
|
(54,287)
|
|
Accounts payable and
accrued expenses
|
|
|
947,789
|
|
|
397,088
|
|
Deferred
revenue
|
|
|
986,044
|
|
|
538,477
|
|
Net cash provided by
(used in) operating activities
|
|
|
1,872,356
|
|
|
(402,711)
|
|
|
|
|
|
|
|
|
|
Cash flow from
investing activities:
|
|
|
|
|
|
|
|
Purchase of property
and equipment
|
|
|
(29,976)
|
|
|
(34,251)
|
|
Payment for
non-refundable deposit for asset acquisition
|
|
|
(297,450)
|
|
|
—
|
|
Net cash used in
investing activities
|
|
|
(327,426)
|
|
|
(34,251)
|
|
|
|
|
|
|
|
|
|
Cash flow from
financing activities:
|
|
|
|
|
|
|
|
Proceeds from the
exercise of stock options
|
|
|
57,500
|
|
|
97,688
|
|
Proceeds from the
exercise of warrants
|
|
|
—
|
|
|
59,500
|
|
Common stock
repurchase
|
|
|
(74,556)
|
|
|
(82,053)
|
|
Net cash provided by
(used in) financing activities
|
|
|
(17,056)
|
|
|
75,135
|
|
|
|
|
|
|
|
|
|
Effect of exchange rate
changes
|
|
|
1,850
|
|
|
(1,989)
|
|
Net increase (decrease)
in cash and cash equivalents
|
|
|
1,529,724
|
|
|
(363,816)
|
|
Cash and cash
equivalents, beginning of period
|
|
|
10,603,175
|
|
|
11,004,337
|
|
Cash and cash
equivalents, end of period
|
|
$
|
12,132,899
|
|
$
|
10,640,521
|
|
|
|
|
|
|
|
|
|
Supplemental
disclosures of cash flow information:
|
|
|
|
|
|
|
|
Cash paid for income
taxes
|
|
$
|
5,543
|
|
$
|
6,592
|
|
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SOURCE Research Solutions, Inc.