Quarterly report pursuant to Section 13 or 15(d)

Consolidated Condensed Statements of Cash Flows (Unaudited)

v3.8.0.1
Consolidated Condensed Statements of Cash Flows (Unaudited) - USD ($)
9 Months Ended
Sep. 30, 2017
Sep. 30, 2016
Cash flows from operating activities:    
Net loss $ (12,484,925) $ (2,261,542)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:    
Depreciation 1,248 3,780
Amortization of patents and website 1,803,264 6,018,196
Deferred tax asset 531,757
Deferred tax liability (638,268)
Loss on sale of companies 1,519,875
Warrant liability
Impairment of intangible assets 704,678 6,525,273
Impairment of goodwill 0 83,000
Stock based compensation 1,523,187 1,541,615
Stock issued for services 136,000
Non-cash interest, discount, and financing costs (4,397,381) 952,231
Change in fair value of Clouding earnout (768,200) (2,122,198)
Allowance for doubtful accounts 12,226
Beneficial conversion feature 4,017,729
Noncontrolling interest (27,435) (27,918)
Other non-cash adjustments 182,024 96,996
Changes in operating assets and liabilities    
Accounts receivable (28,561) 43,763
Bonds posted with courts 883,695
Prepaid expenses and other assets (269,693) 6,652
Other non current assets 201,203
Accounts payable and accrued expenses (5,262,242) 557,832
Net cash and restricted cash provided by (used in) operating activities (14,805,103) 11,214,122
Cash flows from investing activities:    
Acquisition of patents (3,522,656)
Disposal of patents 2,771,757
Purchase of property, equipment, and other intangible assets (6,291) (8,387)
Net cash provided by (used in) investing activities 2,765,466 (3,561,043)
Cash flows from financing activities:    
Cash received upon issuance of equity (net of issuance costs) 5,158,906
Issuance of warrants 2,549,084
Issuance of convertible notes payable 5,500,000  
Payments on notes payable, net (103,000) (578,804)
Net cash provided (used in) by financing activities 11,066,704 (8,911,688)
Effect of exchange rate changes on cash 16,509 (1,592)
Net decrease in cash (956,424) (1,260,201)
Cash at beginning of period 4,998,314 2,555,151
Cash and restricted cash at end of period 4,041,890 1,294,950
Cash paid for:    
Interest expense 368,923 1,187,074
Taxes paid 29,433 27,682
Cash invested in 3D Nano 115,000
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Revenue share liability incurred in conjunction with note payable 225,000
Warrant issued in conjunction with common stock issuance 257,957
Note payable issued in conjunction with the acquisition of Munitech patents 1,755,635
Medtech and Orthophoenix [Member]    
Cash flows from financing activities:    
Payments on notes payable (2,953,779)
Fortress Note Payable [Member]    
Cash flows from financing activities:    
Payments on notes payable (63,286) (5,379,105)
3D Nano License Note Payable [Member]    
Cash flows from financing activities:    
Payments on notes payable (100,000)
Medtronic Note Payable [Member]    
Cash flows from financing activities:    
Payments on notes payable (600,000)
Proceeds from notes payable 600,000
Siemen's Notes Payable [Member]    
Cash flows from financing activities:    
Payments on notes payable (1,750,000)
Vendors Notes Payable [Member]    
Cash flows from financing activities:    
Payments on notes payable (125,000)
Munitech Patents [Member]    
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Note payable issued in conjunction with the acquisition of Munitech patents 1,755,635
SE Patent [Member]    
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Note payable issued in conjunction with the acquisition of Munitech patents 100,000
3D Nano License [Member]    
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Note payable issued in conjunction with the acquisition of Munitech patents $ 200,000