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Discontinued Operations

9 Months Ended

Sep. 30, 2020

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS

Note 2. DISCONTINUED OPERATIONS

As discussed in Note 1, the Company disposed of its EPC and ECC subsidiaries in March 2019. As required, the Company has retrospectively recast its condensed consolidated statements of operations for the 2019 period presented. As such, these businesses are reported as discontinued operations for the three and nine months ended September 30, 2019. The Company has not segregated the cash flows of these businesses in the condensed consolidated statements of cash flows. Management was also required to make certain assumptions and apply judgment to determine historical expenses related to the discontinued operations presented in prior periods. Unless noted otherwise, discussion in the Notes to Condensed Consolidated Financial Statements refers to the Company's continuing operations.

The following table presents the results of discontinued operations presented separately in the condensed consolidated statement of operations for the three and nine months ended September 30, 2019:

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2019				2019
		(unaudited)				(unaudited)
Net revenue		$	-			$	132,000
Cost of goods sold			-				105,000
Gross profit			-				27,000
Operating expenses:
Selling, general and administrative			100,000				155,000
Loss from operations			(100,000	)			(128,000	)
Interest expense			-				(1,000	)
Other expense			(111,000	)			(10,000	)
Loss from discontinued operations before income taxes			(211,000	)			(139,000	)

Provision for income taxes			-				-
Loss from discontinued operations, net of income tax		$	(211,000	)		$	(139,000	)

Non-cash operating amounts for discontinued operations for the three and nine months ended September 30, 2019 include depreciation and amortization of $0 and $6,000, respectively. There were no capital expenditures for discontinued operations for both the three and nine months ended September 30, 2019. There were no other significant non-cash operating amounts or investing items of the discontinued operations for the period.