Schedule of Restatement Consolidated Financial Statements |
The following tables present a reconciliation of the as previously reported
consolidated financial statements to the restated amounts as of and for the year ended December 31, 2023.
Schedule of Restatement Consolidated Financial Statements
INTERPACE
BIOSCIENCES, INC.
CONSOLIDATED
BALANCE SHEET
(in
thousands, except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2023 |
|
|
|
As Previously Reported |
|
|
Restatement Amount |
|
|
Restatement Reference |
|
As Restated |
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
3,498 |
|
|
$ |
- |
|
|
|
|
$ |
3,498 |
|
Accounts receivable |
|
|
4,983 |
|
|
|
95 |
|
|
(b) |
|
|
5,078 |
|
Other current assets |
|
|
1,841 |
|
|
|
|
|
|
|
|
|
1,841 |
|
Total current assets |
|
|
10,322 |
|
|
|
95 |
|
|
|
|
|
10,417 |
|
Property and equipment, net |
|
|
790 |
|
|
|
- |
|
|
|
|
|
790 |
|
Operating lease right of use assets |
|
|
1,864 |
|
|
|
- |
|
|
|
|
|
1,864 |
|
Other long-term assets |
|
|
45 |
|
|
|
- |
|
|
|
|
|
45 |
|
Total assets |
|
$ |
13,021 |
|
|
$ |
95 |
|
|
|
|
$ |
13,116 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS’ DEFICIT |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
1,544 |
|
|
$ |
- |
|
|
|
|
$ |
1,544 |
|
Accrued salary and bonus |
|
|
1,969 |
|
|
|
- |
|
|
|
|
|
1,969 |
|
Other accrued expenses |
|
|
8,201 |
|
|
|
(6,038 |
) |
|
(a) |
|
|
2,163 |
|
Note payable at fair value, current |
|
|
5,100 |
|
|
|
- |
|
|
|
|
|
5,100 |
|
Current liabilities of discontinued operations |
|
|
660 |
|
|
|
- |
|
|
|
|
|
660 |
|
Total current liabilities |
|
|
17,474 |
|
|
|
(6,038 |
) |
|
|
|
|
11,436 |
|
Operating lease liabilities, net of current portion |
|
|
1,472 |
|
|
|
- |
|
|
|
|
|
1,472 |
|
Note payable at fair value |
|
|
4,243 |
|
|
|
- |
|
|
|
|
|
4,243 |
|
Other long-term liabilities |
|
|
4,968 |
|
|
|
- |
|
|
|
|
|
4,968 |
|
Total liabilities |
|
|
28,157 |
|
|
|
(6,038 |
) |
|
|
|
|
22,119 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Redeemable preferred stock, $.01 par value;
5,000,000 shares authorized, 47,000 shares Series B issued and outstanding |
|
|
46,536 |
|
|
|
- |
|
|
|
|
|
46,536 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders’ deficit: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock, $.01 par value; 100,000,000 shares authorized; |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,447,489 shares issued and 4,351,445 shares outstanding; |
|
|
405 |
|
|
|
- |
|
|
|
|
|
405 |
|
Common stock, $.01 par value; 100,000,000 shares authorized;4,447,489 shares issued and 4,351,445 shares outstanding; |
|
|
405 |
|
|
|
- |
|
|
|
|
|
405 |
|
Additional paid-in capital |
|
|
188,146 |
|
|
|
- |
|
|
|
|
|
188,146 |
|
Accumulated deficit |
|
|
(248,215 |
) |
|
|
6,133 |
|
|
(a) (b) |
|
|
(242,082 |
) |
Treasury stock, at cost (96,044 shares) |
|
|
(2,008 |
) |
|
|
- |
|
|
|
|
|
(2,008 |
) |
Total stockholders’ deficit |
|
|
(61,672 |
) |
|
|
6,133 |
|
|
|
|
|
(55,539 |
) |
Total liabilities and stockholders’ deficit |
|
|
(33,515 |
) |
|
|
95 |
|
|
|
|
|
(33,420 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities, preferred stock and stockholders’ deficit |
|
$ |
13,021 |
|
|
$ |
95 |
|
|
|
|
$ |
13,116 |
|
The accompanying notes are an integral part of these condensed consolidated
financial statements
INTERPACE BIOSCIENCES, INC.
CONSOLIDATED STATEMENTS OF
OPERATION
(in thousands, except for per share data)
|
|
As Previously Reported |
|
|
Restatement Amount |
|
|
Restatement Reference |
|
As Restated |
|
|
|
For the Year Ended December 31, 2023 |
|
|
|
As Previously Reported |
|
|
Restatement Amount |
|
|
Restatement Reference |
|
As Restated |
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue, net |
|
$ |
40,214 |
|
|
$ |
(178 |
) |
|
(b) |
|
$ |
40,036 |
|
Cost of revenue |
|
|
16,310 |
|
|
|
(1,330 |
) |
|
(a) |
|
|
14,980 |
|
Gross profit |
|
|
23,904 |
|
|
|
1,152 |
|
|
|
|
|
25,056 |
|
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales and marketing |
|
|
10,233 |
|
|
|
- |
|
|
|
|
|
10,233 |
|
Research and development |
|
|
636 |
|
|
|
- |
|
|
|
|
|
636 |
|
General and administrative |
|
|
9,363 |
|
|
|
- |
|
|
|
|
|
9,363 |
|
Acquisition related amortization expense |
|
|
861 |
|
|
|
- |
|
|
|
|
|
861 |
|
Change in fair value of contingent consideration |
|
|
7 |
|
|
|
- |
|
|
|
|
|
7 |
|
Total operating expenses |
|
|
21,100 |
|
|
|
- |
|
|
|
|
|
21,100 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income from continuing operations |
|
|
2,804 |
|
|
|
1,152 |
|
|
|
|
|
3,956 |
|
Interest accretion expense |
|
|
(112 |
) |
|
|
- |
|
|
|
|
|
(112 |
) |
Note payable interest expense |
|
|
(896 |
) |
|
|
- |
|
|
|
|
|
(896 |
) |
Other expense, net |
|
|
(667 |
) |
|
|
- |
|
|
|
|
|
(667 |
) |
Provision for income taxes |
|
|
17 |
|
|
|
- |
|
|
|
|
|
17 |
|
Income from continuing operations |
|
|
1,112 |
|
|
|
1,152 |
|
|
|
|
|
2,264 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from discontinued operations, net of tax |
|
|
(310 |
) |
|
|
- |
|
|
|
|
|
(310 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
802 |
|
|
$ |
1,152 |
|
|
|
|
$ |
1,954 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income (loss) per share of common stock: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
From continuing operations |
|
$ |
0.26 |
|
|
$ |
0.27 |
|
|
|
|
$ |
0.52 |
|
From discontinued operations |
|
|
(0.07 |
) |
|
|
- |
|
|
|
|
|
(0.07 |
) |
Net income (loss) per basic share of common stock |
|
$ |
0.19 |
|
|
$ |
0.27 |
|
|
|
|
$ |
0.45 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net income (loss) per share of common stock: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
From continuing operations |
|
$ |
0.25 |
|
|
$ |
0.26 |
|
|
|
|
$ |
0.52 |
|
From discontinued operations |
|
|
(0.07 |
) |
|
|
- |
|
|
|
|
|
(0.07 |
) |
Net income (loss) per diluted share of common stock |
|
$ |
0.18 |
|
|
$ |
0.26 |
|
|
|
|
$ |
0.45 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of common shares and common share equivalents outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
4,317 |
|
|
|
4,317 |
|
|
|
|
|
4,317 |
|
Diluted |
|
|
4,364 |
|
|
|
4,364 |
|
|
|
|
|
4,364 |
|
The accompanying notes are
an integral part of these condensed consolidated financial statements
Consolidated Statement of
Stockholders’ Deficit
|
|
Shares |
|
|
Amount |
|
|
Shares |
|
|
Amount |
|
|
Capital |
|
|
Deficit |
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional |
|
|
|
|
|
|
|
|
|
Common
Stock |
|
|
Treasury
Stock |
|
|
Paid
in |
|
|
Accumulated |
|
|
|
|
|
|
Shares |
|
|
Amount |
|
|
Shares |
|
|
Amount |
|
|
Capital |
|
|
Deficit |
|
|
Total |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
-December 31, 2023 as reported |
|
|
4,447,489 |
|
|
$ |
405 |
|
|
|
96,044 |
|
|
$ |
(2,008 |
) |
|
$ |
188,146 |
|
|
$ |
(248,215 |
) |
|
$ |
(61,672 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cumulative
adjustments to accumulated deficit in prior years |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
4,981 |
|
|
|
4,981 |
|
Cumulative
adjustments to net income |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
1,152 |
|
|
|
1,152 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
-December 31, 2023 as restated |
|
|
4,447,489 |
|
|
$ |
405 |
|
|
|
96,044 |
|
|
$ |
(2,008 |
) |
|
$ |
188,146 |
|
|
$ |
(242,082 |
) |
|
$ |
(55,539 |
) |
INTERPACE BIOSCIENCES, INC.
CONDENSED CONSOLIDATED STATEMENT
OF CASH FLOWS
(unaudited, in thousands)
|
|
As Previously Reported |
|
|
Restatement Amount |
|
|
Restatement Reference |
|
As Restated |
|
|
|
For The Year Ended December 31, |
|
|
|
2023 |
|
|
|
|
|
|
|
2023 |
|
|
|
As Previously Reported |
|
|
Restatement Amount |
|
|
Restatement Reference |
|
As Restated |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows From Operating Activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
802 |
|
|
$ |
1,152 |
|
|
(a) (b) |
|
$ |
1,954 |
|
Adjustments to reconcile net income to net cash used in operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
1,026 |
|
|
|
- |
|
|
|
|
|
1,026 |
|
Interest accretion expense |
|
|
112 |
|
|
|
- |
|
|
|
|
|
112 |
|
Amortization of deferred financing fees |
|
|
42 |
|
|
|
- |
|
|
|
|
|
42 |
|
Amortization on operating lease right of use asset |
|
|
575 |
|
|
|
|
|
|
|
|
|
575 |
|
Stock-based compensation |
|
|
630 |
|
|
|
- |
|
|
|
|
|
630 |
|
Credit loss expense |
|
|
- |
|
|
|
- |
|
|
|
|
|
- |
|
Change in fair value of note payable |
|
|
678 |
|
|
|
- |
|
|
|
|
|
678 |
|
Change in fair value of contingent consideration |
|
|
7 |
|
|
|
|
|
|
|
|
|
7 |
|
Other changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts receivable |
|
|
49 |
|
|
|
178 |
|
|
(b) |
|
|
227 |
|
Other current assets |
|
|
(89 |
) |
|
|
- |
|
|
|
|
|
(89 |
) |
Accounts payable |
|
|
489 |
|
|
|
- |
|
|
|
|
|
489 |
|
Accrued salaries and bonus |
|
|
513 |
|
|
|
- |
|
|
|
|
|
513 |
|
Other accrued expenses |
|
|
(936 |
) |
|
|
(1,330 |
) |
|
(a) |
|
|
(2,266 |
) |
Operating lease liabilities |
|
|
(376 |
) |
|
|
|
|
|
|
|
|
(376 |
) |
Long-term liabilities |
|
|
267 |
|
|
|
- |
|
|
|
|
|
267 |
|
Net cash provided by operating activities |
|
|
3,789 |
|
|
|
- |
|
|
|
|
|
3,789 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows From Investing Activity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from sale of Interpace Pharma Solutions, net |
|
|
383 |
|
|
|
|
|
|
|
|
|
383 |
|
Purchase of property and equipment |
|
|
(470 |
) |
|
|
- |
|
|
|
|
|
(470 |
) |
Net cash used in investing activities |
|
|
(87 |
) |
|
|
- |
|
|
|
|
|
(87 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows From Financing Activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Payment of BroadOak terminal payment |
|
|
(2,500 |
) |
|
|
|
|
|
|
|
|
(2,500 |
) |
Payments on line of credit |
|
|
(2,500 |
) |
|
|
|
|
|
|
|
|
(2,500 |
) |
Cash paid for repurchase of restricted shares |
|
|
(32 |
) |
|
|
- |
|
|
|
|
|
(32 |
) |
Net cash used in financing activities |
|
|
(5,032 |
) |
|
|
- |
|
|
|
|
|
(5,032 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net decrease in cash and cash equivalents |
|
|
(1,330 |
) |
|
|
- |
|
|
|
|
|
(1,330 |
) |
Cash and cash equivalents from continuing operations– beginning |
|
|
4,828 |
|
|
|
- |
|
|
|
|
|
4,828 |
|
Cash and cash equivalents from discontinued operations– beginning |
|
|
- |
|
|
|
- |
|
|
|
|
|
- |
|
Cash and cash equivalents – beginning |
|
$ |
4,828 |
|
|
$ |
- |
|
|
|
|
$ |
4,828 |
|
Cash and cash equivalents from continuing operations– ending |
|
$ |
3,498 |
|
|
$ |
- |
|
|
|
|
$ |
3,498 |
|
Cash and cash equivalents from discontinued operations– ending |
|
|
- |
|
|
|
- |
|
|
|
|
|
- |
|
Cash and cash equivalents – ending |
|
$ |
3,498 |
|
|
$ |
- |
|
|
|
|
$ |
3,498 |
|
|