Quarterly report pursuant to Section 13 or 15(d)

Discontinued Operations (Tables)

v3.19.3
Discontinued Operations (Tables)
9 Months Ended
Sep. 30, 2019
Discontinued Operations  
Schedule of revenue and expenses

The following is a summary of revenue and expenses of National for the three and nine months ended September 30, 2018. The Company had no activity related to National in 2019.

 

 

 

 

 

 

 

 

 

 

Three Months Ended September 30, 

 

Nine Months Ended September 30, 

($ in thousands)

    

2018

    

2018

Revenue

 

$

58,520

 

$

165,061

 

 

 

 

 

 

 

Operating expenses

 

 

  

 

 

  

Commissions, compensation and fees

 

 

48,556

 

 

141,462

Clearing fees

 

 

451

 

 

1,772

Communications

 

 

856

 

 

2,429

Occupancy

 

 

738

 

 

2,834

Licenses and registration

 

 

861

 

 

2,028

Professional fees

 

 

1,076

 

 

3,047

Interest

 

 

26

 

 

30

Underwriting costs

 

 

43

 

 

230

Depreciation and amortization

 

 

871

 

 

2,587

Other administrative expenses

 

 

1,726

 

 

5,839

Total operating expenses

 

 

55,204

 

 

162,258

Loss from operations

 

 

3,316

 

 

2,803

 

 

 

 

 

 

 

Other income (expenses)

 

 

  

 

 

  

Interest income

 

 

 —

 

 

 6

Interest expense and financing fees

 

 

429

 

 

1,195

Change in fair value of derivative liabilities

 

 

(12)

 

 

(8,045)

Other income

 

 

(146)

 

 

69

Total other income (expenses)

 

 

271

 

 

(6,775)

Income (loss) from discontinued operations before income taxes

 

 

3,587

 

 

(3,972)

 

 

 

 

 

 

 

Income tax expense

 

 

944

 

 

2,382

Income (loss) from discontinued operations

 

 

2,643

 

 

(6,354)

 

 

 

 

 

 

 

Gain from disposal of National

 

 

 —

 

 

 —

Total income (loss) from discontinued operations, net of tax

 

$

2,643

 

$

(6,354)

 

Schedule of condensed consolidated balance sheets

In connection with this sale, the Company classified the assets and liabilities related to National, included on its condensed consolidated balance sheet as of December 31, 2018, as held for sale as presented in the table below:

 

 

 

 

 

 

    

December 31, 

($ in thousands)

 

2018

ASSETS

 

 

  

Current assets

 

 

  

Current assets held for sale

 

$

13,089

Total current assets held for sale

 

 

13,089

 

 

 

 

Total assets held for sale

 

$

13,089

 

Schedule of cash flows statement

The table below depicts the cash flows from the transaction for the nine months ended September 30, 2019 and 2018, respectively:

 

 

 

 

 

 

 

 

 

 

Nine Months Ended September 30, 

($ in thousands)

    

2019

    

2018

Operating activities

 

 

  

 

 

  

Effect of elimination entry with discontinued operations presentation

 

$

 —

 

$

(1,168)

Net loss on discontinued operations

 

 

 —

 

 

(6,354)

Total cash used in discontinued operating activities

 

$

 —

 

$

(7,522)

 

 

 

 

 

 

 

Investing activities

 

 

  

 

 

  

Proceeds from sale of National

 

$

13,089

 

$

 —

Total cash provided by discontinued investing activities

 

$

13,089

 

$

 —