Get Started for Free Contexxia identifies hard-to-find pieces of information in SEC filings. No more highlighters, no more redlining, no more poring over huge documents. Zurvita Holdings, Inc. (1408950) 10-Q published on Apr 08, 2013 at 2:18 pm
For the three and six months ended January 31, 2013, approximately $0 thousand and $1.2 million, respectively, of stock-based compensation expense was recognized, as a result of shares issued to the members of the board for compensation of services. For the three and six months ended January 31, 2012, approximately $18 thousand and $47 thousand, respectively, of stock-based compensation expense was recognized, as a result of various share issuances..
On December 26, 2012, the Company issued 6.5 million shares from treasury to each of the four board members for compensation of services. The expense was recorded at the fair value of the Company’s common stock as of the issuance date.
The Company’s liability warrants are recorded at fair value. Their fair value is subject to remeasurement on a recurring basis. For the three and six months ended January 31, 2013, the change in fair value of these warrants was approximately a gain of $101 thousand and a loss of $36 thousand, respectively. For the three and six months ended January 31, 2012, the change in fair value of these warrants was approximately a gain of $45 and $274 thousand, respectively. The loss in fair value for the six months ended January 31, 2013 is a result of the decline in share price from $0.05 to $0.45 which is used as an input in fair valuing the warrants. These losses and gains are non-cash items not impacting operating cash flows or results of operations before other income and expenses. See Note 7 – Assets and Liabilities Measured at Fair Value, to financial statements contained within Item 1 of Part 1 of this Form 10Q for additional information with respect to the estimation of the fair value of these warrants.
Interest expense for the three and six months ended January 31, 2013, was approximately $25 and $50 thousand, respectively, as compared to approximately $100 and $193 thousand for the three and six months ended January 31, 2012. The decrease is a result of the prior period extinguishment of a $2 million interest bearing convertible note originally issued on October 9, 2009 and extinguished on May 8, 2012.
The Company had net loss of approximately $784 and $756 thousand for the three and six months ended January 31, 2013, as compared to a net loss of approximately $947 thousand and $1.6 million for the three and six months ended January 31, 2012.