v3.26.1
Note 2 - Discontinued Operations
3 Months Ended
Mar. 31, 2026
Notes to Financial Statements  
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

2. Discontinued Operations

 

During the fourth quarter of 2023 the Company decided to phase out the product business and as a consequence terminate production at the Pronode Technologies AB facilities in Kungsbacka, Sweden. Subsequently, we commenced the phase out of our TSM product business during the first quarter of 2024 through licensing of the TSM technology to strategic partners or outsourcing. In May 2024, we stopped producing TSMs and started to shut down the factory. The facility lease terminated as of September 30, 2024 and was not renewed.

 

The Company concluded that the termination of TSM manufacturing met the criteria for discontinued operations. As a result, this business has been reclassified to discontinued operations in these condensed consolidated financial statements for all periods presented.

 

Assets and Liabilities of Discontinued Operations

 

Assets and liabilities of discontinued operations are presented separately in the condensed consolidated balance sheets for all periods presented. On March 31, 2026 and December 31, 2025, these balances consisted of assets and liabilities of the Company’s Products business.

 

The following table presents a reconciliation of the carrying amounts of the major classes of these assets and liabilities to the assets and liabilities of discontinued operations as presented on the Company’s condensed consolidated balance sheets (in thousands):

 

  

March 31, 2026

  

December 31, 2025

 

ASSETS OF DISCONTINUED OPERATIONS

        

Current assets of discontinued operations:

        

Accounts receivable and unbilled revenues, net

 $41  $41 

Total current assets of discontinued operations

  41   41 

Total assets of discontinued operations

 $41  $41 

 

 

Income (Loss) from Discontinued Operations

 

Discontinued operations for the three months ended March 31, 2026 and 2025, respectively, consists of results from the Company’s products business.

 

The following table provides details about the major classes of line items constituting “Income (loss) from discontinued operations” as presented on the Company’s condensed consolidated statements of operations (in thousands):

 

  

Three months ended March 31,

 
  

2026

  

2025

 

Revenues:

        

Products

 $-  $67 

Total revenues

  -   67 
         

Gross margin

  -   67 
         

Operating income (loss)

  -   67 

Loss before provision for income taxes

  -   67 

Net income

 $-  $67 

 

 

Cash Flows Information

 

There were no amounts recorded for depreciation, amortization, capital expenditures or significant operating and investing noncash items of discontinued operations for the three months ended March 31, 2026 and 2025, respectively.