10-Q Filing

VIRNETX HOLDING CORP CIK: 1082324 Q2 2015

Filing Information

Form Type	10-Q
Accession Number	`0001140361-15-030766`
Period End Date	20150630
Filing Date	20150810
Fiscal Year	2015
Fiscal Period	Q2
XBRL Instance	vhc-20150630.xml

Filing Contents

This filing contains the following financial statements:

Balance Sheet 66 Income Statement 52 Cash Flow Statement 54 Comprehensive Income 20

Balance Sheet 66 line items

Line Item	Tag	Value	Unit	Period
Preferred stock, par value (in dollars per share)	`PreferredStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Preferred stock, par value (in dollars per share)	`PreferredStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Preferred stock, authorized (in shares)	`PreferredStockSharesAuthorized`	10.00M	shares	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$8.82M	USD	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$18.66M	USD	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$13.04M	USD	Point-in-time
Preferred stock, authorized (in shares)	`PreferredStockSharesAuthorized`	10.00M	shares	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$19.17M	USD	Point-in-time
Preferred stock, issued (in shares)	`PreferredStockSharesIssued`	0.00	shares	Point-in-time
Preferred stock, issued (in shares)	`PreferredStockSharesIssued`	0.00	shares	Point-in-time
Investments available for sale	`AvailableForSaleSecuritiesDebtSecuritiesCurrent`	$15.04M	USD	Point-in-time
Investments available for sale	`AvailableForSaleSecuritiesDebtSecuritiesCurrent`	$22.57M	USD	Point-in-time
Preferred stock, outstanding (in shares)	`PreferredStockSharesOutstanding`	0.00	shares	Point-in-time
Preferred stock, outstanding (in shares)	`PreferredStockSharesOutstanding`	0.00	shares	Point-in-time
Prepaid expenses and other current assets	`PrepaidExpenseAndOtherAssetsCurrent`	$653.00K	USD	Point-in-time
Prepaid expenses and other current assets	`PrepaidExpenseAndOtherAssetsCurrent`	$954.00K	USD	Point-in-time
Total current assets	`AssetsCurrent`	$29.04M	USD	Point-in-time
Total current assets	`AssetsCurrent`	$41.88M	USD	Point-in-time
Common stock, par value (in dollars per share)	`CommonStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Common stock, par value (in dollars per share)	`CommonStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Prepaid expenses - non-current	`PrepaidExpenseNoncurrent`	$2.95M	USD	Point-in-time
Common stock, authorized (in shares)	`CommonStockSharesAuthorized`	100.00M	shares	Point-in-time
Common stock, authorized (in shares)	`CommonStockSharesAuthorized`	100.00M	shares	Point-in-time
Prepaid expenses - non-current	`PrepaidExpenseNoncurrent`	$3.14M	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$64.00K	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$55.00K	USD	Point-in-time
Common stock, issued (in shares)	`CommonStockSharesIssued`	52.00M	shares	Point-in-time
Common stock, issued (in shares)	`CommonStockSharesIssued`	52.19M	shares	Point-in-time
Total assets	`Assets`	$32.04M	USD	Point-in-time
Common stock, outstanding (in shares)	`CommonStockSharesOutstanding`	52.19M	shares	Point-in-time
Total assets	`Assets`	$45.09M	USD	Point-in-time
Common stock, outstanding (in shares)	`CommonStockSharesOutstanding`	52.00M	shares	Point-in-time
Accounts payable and accrued liabilities	`AccountsPayableAndAccruedLiabilitiesCurrent`	$3.55M	USD	Point-in-time
Accounts payable and accrued liabilities	`AccountsPayableAndAccruedLiabilitiesCurrent`	$751.00K	USD	Point-in-time
Royalty payable	`AccruedRoyaltiesCurrent`	$7.99M	USD	Point-in-time
Royalty payable	`AccruedRoyaltiesCurrent`	$6.10M	USD	Point-in-time
Related-party payable	`DueToRelatedPartiesCurrent`	-	USD	Point-in-time
Related-party payable	`DueToRelatedPartiesCurrent`	$81.00K	USD	Point-in-time
Income tax liability	`AccruedIncomeTaxesCurrent`	$408.00K	USD	Point-in-time
Income tax liability	`AccruedIncomeTaxesCurrent`	$395.00K	USD	Point-in-time
Deferred revenue, current portion	`DeferredRevenueCurrent`	$1.25M	USD	Point-in-time
Deferred revenue, current portion	`DeferredRevenueCurrent`	$1.50M	USD	Point-in-time
Derivative liability	`DerivativeLiabilitiesCurrent`	$320.00K	USD	Point-in-time
Derivative liability	`DerivativeLiabilitiesCurrent`	-	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$10.38M	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$11.96M	USD	Point-in-time
Deferred revenue, non-current portion	`DeferredRevenueNoncurrent`	$500.00K	USD	Point-in-time
Deferred revenue, non-current portion	`DeferredRevenueNoncurrent`	-	USD	Point-in-time
Total liabilities	`Liabilities`	$10.38M	USD	Point-in-time
Total liabilities	`Liabilities`	$12.46M	USD	Point-in-time
Commitments and contingencies	`CommitmentsAndContingencies`	-	USD	Point-in-time
Commitments and contingencies	`CommitmentsAndContingencies`	-	USD	Point-in-time
Preferred stock, par value $0.0001 per share Authorized: 10,000,000 shares at June 30, 2015 and December 31, 2014, Issued and outstanding: 0 shares at June 30, 2015 and December 31, 2014	`PreferredStockValue`	-	USD	Point-in-time
Preferred stock, par value $0.0001 per share Authorized: 10,000,000 shares at June 30, 2015 and December 31, 2014, Issued and outstanding: 0 shares at June 30, 2015 and December 31, 2014	`PreferredStockValue`	-	USD	Point-in-time
Common stock, par value $0.0001 per share Authorized: 100,000,000 shares at June 30, 2015 and December 31, 2014, Issued and outstanding: 52,189,380 shares and 51,996,701 shares, at June 30, 2015 and December 31, 2014, respectively	`CommonStockValue`	$5.00K	USD	Point-in-time
Common stock, par value $0.0001 per share Authorized: 100,000,000 shares at June 30, 2015 and December 31, 2014, Issued and outstanding: 52,189,380 shares and 51,996,701 shares, at June 30, 2015 and December 31, 2014, respectively	`CommonStockValue`	$5.00K	USD	Point-in-time
Additional paid-in capital	`AdditionalPaidInCapital`	$133.07M	USD	Point-in-time
Additional paid-in capital	`AdditionalPaidInCapital`	$137.50M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-115.84M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-100.44M	USD	Point-in-time
Accumulated other comprehensive loss	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-11.00K	USD	Point-in-time
Accumulated other comprehensive loss	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-15.00K	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$21.66M	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$32.63M	USD	Point-in-time
Total liabilities and stockholders' equity	`LiabilitiesAndStockholdersEquity`	$32.04M	USD	Point-in-time
Total liabilities and stockholders' equity	`LiabilitiesAndStockholdersEquity`	$45.09M	USD	Point-in-time

Income Statement 52 line items

Line Item	Tag	Value	Unit	Period
Revenue	`RoyaltyRevenue`	$400.00K	USD	1 Quarter
Revenue	`RoyaltyRevenue`	$518.00K	USD	2 Qtrs
Revenue	`RoyaltyRevenue`	$268.00K	USD	1 Quarter
Revenue	`RoyaltyRevenue`	$775.00K	USD	2 Qtrs
Royalty expense	`RoyaltyExpense`	$4.24M	USD	2 Qtrs
Royalty expense	`RoyaltyExpense`	$4.24M	USD	1 Quarter
Royalty expense	`RoyaltyExpense`	-	USD	2 Qtrs
Royalty expense	`RoyaltyExpense`	-	USD	1 Quarter
Research and development	`ResearchAndDevelopmentExpense`	$417.00K	USD	1 Quarter
Research and development	`ResearchAndDevelopmentExpense`	$809.00K	USD	2 Qtrs
Research and development	`ResearchAndDevelopmentExpense`	$692.00K	USD	2 Qtrs
Research and development	`ResearchAndDevelopmentExpense`	$345.00K	USD	1 Quarter
Selling, general and administrative	`SellingGeneralAndAdministrativeExpense`	$6.09M	USD	1 Quarter
Selling, general and administrative	`SellingGeneralAndAdministrativeExpense`	$11.06M	USD	2 Qtrs
Selling, general and administrative	`SellingGeneralAndAdministrativeExpense`	$12.95M	USD	2 Qtrs
Selling, general and administrative	`SellingGeneralAndAdministrativeExpense`	$5.31M	USD	1 Quarter
Total operating expense	`OperatingExpenses`	$16.10M	USD	2 Qtrs
Total operating expense	`OperatingExpenses`	$13.64M	USD	2 Qtrs
Total operating expense	`OperatingExpenses`	$6.44M	USD	1 Quarter
Total operating expense	`OperatingExpenses`	$9.97M	USD	1 Quarter
Loss from operations	`OperatingIncomeLoss`	$-15.33M	USD	2 Qtrs
Loss from operations	`OperatingIncomeLoss`	$-9.57M	USD	1 Quarter
Loss from operations	`OperatingIncomeLoss`	$-13.12M	USD	2 Qtrs
Loss from operations	`OperatingIncomeLoss`	$-6.17M	USD	1 Quarter
Gain (loss) on change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	$-530.00K	USD	1 Quarter
Gain (loss) on change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	$-117.00K	USD	2 Qtrs
Gain (loss) on change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	-	USD	1 Quarter
Gain (loss) on change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	$309.00K	USD	2 Qtrs
Interest income, net	`InterestAndOtherIncome`	$60.00K	USD	2 Qtrs
Interest income, net	`InterestAndOtherIncome`	$31.00K	USD	1 Quarter
Interest income, net	`InterestAndOtherIncome`	$45.00K	USD	2 Qtrs
Interest income, net	`InterestAndOtherIncome`	$21.00K	USD	1 Quarter
Loss before taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments`	$-6.67M	USD	1 Quarter
Loss before taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments`	$-15.40M	USD	2 Qtrs
Loss before taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments`	$-12.76M	USD	2 Qtrs
Loss before taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments`	$-9.55M	USD	1 Quarter
Income tax expense	`IncomeTaxExpenseBenefit`	-	USD	1 Quarter
Income tax expense	`IncomeTaxExpenseBenefit`	$2.00K	USD	2 Qtrs
Income tax expense	`IncomeTaxExpenseBenefit`	$2.00K	USD	2 Qtrs
Income tax expense	`IncomeTaxExpenseBenefit`	-	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-12.76M	USD	2 Qtrs
Net loss	`NetIncomeLoss`	$-15.40M	USD	2 Qtrs
Net loss	`NetIncomeLoss`	$-6.67M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-9.55M	USD	1 Quarter
Basic and diluted loss per share (in dollars per share)	`EarningsPerShareBasicAndDiluted`	$-0.18	USD	1 Quarter
Basic and diluted loss per share (in dollars per share)	`EarningsPerShareBasicAndDiluted`	$-0.13	USD	1 Quarter
Basic and diluted loss per share (in dollars per share)	`EarningsPerShareBasicAndDiluted`	$-0.25	USD	2 Qtrs
Basic and diluted loss per share (in dollars per share)	`EarningsPerShareBasicAndDiluted`	$-0.30	USD	2 Qtrs
Weighted average shares outstanding basic and diluted (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	51.53M	shares	1 Quarter
Weighted average shares outstanding basic and diluted (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	52.09M	shares	2 Qtrs
Weighted average shares outstanding basic and diluted (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	51.39M	shares	2 Qtrs
Weighted average shares outstanding basic and diluted (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	52.16M	shares	1 Quarter

Cash Flow Statement 54 line items

Line Item	Tag	Value	Unit	Period
Net loss	`NetIncomeLoss`	$-12.76M	USD	2 Qtrs
Net loss	`NetIncomeLoss`	$-15.40M	USD	2 Qtrs
Net loss	`NetIncomeLoss`	$-6.67M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-9.55M	USD	1 Quarter
Depreciation	`Depreciation`	$12.00K	USD	2 Qtrs
Depreciation	`Depreciation`	$13.00K	USD	2 Qtrs
Amortization of warrant issuance costs	`AmortizationOfWarrantIssuanceCosts`	-	USD	2 Qtrs
Amortization of warrant issuance costs	`AmortizationOfWarrantIssuanceCosts`	$30.00K	USD	2 Qtrs
Stock-based compensation	`ShareBasedCompensation`	$3.73M	USD	2 Qtrs
Stock-based compensation	`ShareBasedCompensation`	$3.44M	USD	2 Qtrs
Change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	$-530.00K	USD	1 Quarter
Change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	$-117.00K	USD	2 Qtrs
Change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	-	USD	1 Quarter
Change in value of derivative liability	`UnrealizedGainLossOnDerivatives`	$309.00K	USD	2 Qtrs
Prepaid expenses and other assets	`IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets`	$3.87M	USD	2 Qtrs
Prepaid expenses and other assets	`IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets`	$17.00K	USD	2 Qtrs
Income tax liability	`IncreaseDecreaseInAccruedIncomeTaxesPayable`	$-13.00K	USD	2 Qtrs
Income tax liability	`IncreaseDecreaseInAccruedIncomeTaxesPayable`	-	USD	2 Qtrs
Accounts payable and accrued liabilities	`IncreaseDecreaseInAccountsPayableAndAccruedLiabilities`	$400.00K	USD	2 Qtrs
Accounts payable and accrued liabilities	`IncreaseDecreaseInAccountsPayableAndAccruedLiabilities`	$-2.80M	USD	2 Qtrs
Related-party payable	`IncreaseDecreaseInDueToRelatedParties`	-	USD	2 Qtrs
Related-party payable	`IncreaseDecreaseInDueToRelatedParties`	$-81.00K	USD	2 Qtrs
Royalty payable	`IncreaseDecreaseInRoyaltiesPayable`	-	USD	2 Qtrs
Royalty payable	`IncreaseDecreaseInRoyaltiesPayable`	$1.89M	USD	2 Qtrs
Deferred revenue	`IncreaseDecreaseInDeferredRevenue`	$-500.00K	USD	2 Qtrs
Deferred revenue	`IncreaseDecreaseInDeferredRevenue`	$-750.00K	USD	2 Qtrs
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivitiesContinuingOperations`	$-13.58M	USD	2 Qtrs
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivitiesContinuingOperations`	$-13.29M	USD	2 Qtrs
Purchase of property and equipment	`PaymentsToAcquirePropertyPlantAndEquipment`	$6.00K	USD	2 Qtrs
Purchase of property and equipment	`PaymentsToAcquirePropertyPlantAndEquipment`	$4.00K	USD	2 Qtrs
Purchase of investments	`PaymentsToAcquireAvailableForSaleSecurities`	$4.92M	USD	2 Qtrs
Purchase of investments	`PaymentsToAcquireAvailableForSaleSecurities`	$6.59M	USD	2 Qtrs
Proceeds from sale or maturity of investments	`ProceedsFromSaleAndMaturityOfMarketableSecurities`	$9.46M	USD	2 Qtrs
Proceeds from sale or maturity of investments	`ProceedsFromSaleAndMaturityOfMarketableSecurities`	$12.46M	USD	2 Qtrs
Net cash provided by investing activities	`NetCashProvidedByUsedInInvestingActivitiesContinuingOperations`	$2.87M	USD	2 Qtrs
Net cash provided by investing activities	`NetCashProvidedByUsedInInvestingActivitiesContinuingOperations`	$7.53M	USD	2 Qtrs
Proceeds from warrant exercise	`ProceedsFromWarrantExercises`	-	USD	2 Qtrs
Proceeds from warrant exercise	`ProceedsFromWarrantExercises`	$431.00K	USD	2 Qtrs
Proceeds from exercise of stock options	`ProceedsFromStockOptionsExercised`	$68.00K	USD	2 Qtrs
Proceeds from exercise of stock options	`ProceedsFromStockOptionsExercised`	-	USD	2 Qtrs
Net cash provided by financing activities	`NetCashProvidedByUsedInFinancingActivitiesContinuingOperations`	$68.00K	USD	2 Qtrs
Net cash provided by financing activities	`NetCashProvidedByUsedInFinancingActivitiesContinuingOperations`	$431.00K	USD	2 Qtrs
Net decrease in cash and cash equivalents	`NetCashProvidedByUsedInContinuingOperations`	$-10.35M	USD	2 Qtrs
Net decrease in cash and cash equivalents	`NetCashProvidedByUsedInContinuingOperations`	$-5.61M	USD	2 Qtrs
Cash and cash equivalents, beginning of period	`CashAndCashEquivalentsAtCarryingValue`	$8.82M	USD	Point-in-time
Cash and cash equivalents, beginning of period	`CashAndCashEquivalentsAtCarryingValue`	$18.66M	USD	Point-in-time
Cash and cash equivalents, beginning of period	`CashAndCashEquivalentsAtCarryingValue`	$13.04M	USD	Point-in-time
Cash and cash equivalents, beginning of period	`CashAndCashEquivalentsAtCarryingValue`	$19.17M	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$8.82M	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$18.66M	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$13.04M	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$19.17M	USD	Point-in-time
Fair value of warrants issued for services	`IssuanceOfStockAndWarrantsForServicesOrClaims`	$121.00K	USD	2 Qtrs
Fair value of warrants issued for services	`IssuanceOfStockAndWarrantsForServicesOrClaims`	-	USD	2 Qtrs

Comprehensive Income 20 line items

Line Item	Tag	Value	Unit	Period
Net loss	`NetIncomeLoss`	$-12.76M	USD	2 Qtrs
Net loss	`NetIncomeLoss`	$-15.40M	USD	2 Qtrs
Net loss	`NetIncomeLoss`	$-6.67M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-9.55M	USD	1 Quarter
Change in equity adjustment from foreign currency translation, net of tax	`OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax`	-	USD	1 Quarter
Change in equity adjustment from foreign currency translation, net of tax	`OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax`	$-3.00K	USD	2 Qtrs
Change in equity adjustment from foreign currency translation, net of tax	`OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax`	-	USD	2 Qtrs
Change in equity adjustment from foreign currency translation, net of tax	`OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax`	$-3.00K	USD	1 Quarter
Change in unrealized gain (loss) on investments, net of tax	`OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax`	$-20.00K	USD	2 Qtrs
Change in unrealized gain (loss) on investments, net of tax	`OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax`	$-9.00K	USD	1 Quarter
Change in unrealized gain (loss) on investments, net of tax	`OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax`	$7.00K	USD	2 Qtrs
Change in unrealized gain (loss) on investments, net of tax	`OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax`	-	USD	1 Quarter
Total other comprehensive income (loss)	`OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent`	$-9.00K	USD	1 Quarter
Total other comprehensive income (loss)	`OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent`	$-3.00K	USD	1 Quarter
Total other comprehensive income (loss)	`OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent`	$4.00K	USD	2 Qtrs
Total other comprehensive income (loss)	`OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent`	$-20.00K	USD	2 Qtrs
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-12.78M	USD	2 Qtrs
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-9.55M	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-6.68M	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-15.40M	USD	2 Qtrs

Data is extracted from SEC EDGAR XBRL filings. Values shown are as reported in the filing.