10-Q Filing

MARA HOLDINGS, INC. CIK: 1507605 Q1 2017

Filing Information

Form Type	10-Q
Accession Number	`0001104659-17-032785`
Period End Date	20170331
Filing Date	20170515
Fiscal Year	2017
Fiscal Period	Q1
XBRL Instance	mara-20170331.xml

Filing Contents

This filing contains the following financial statements:

Balance Sheet 89 Income Statement 53 Cash Flow Statement 55

Balance Sheet 89 line items

Line Item	Tag	Value	Unit	Period
Cash	`Cash`	$5.00M	USD	Point-in-time
Cash	`Cash`	$2.56M	USD	Point-in-time
Cash	`Cash`	$493.45K	USD	Point-in-time
Cash	`Cash`	$1.42M	USD	Point-in-time
Accounts receivable - net of allowance for bad debt of $387,976 for March 31, 2017 and December 31, 2016, respectively	`AccountsReceivableNetCurrent`	$103.40K	USD	Point-in-time
Accounts receivable - net of allowance for bad debt of $387,976 for March 31, 2017 and December 31, 2016, respectively	`AccountsReceivableNetCurrent`	$95.07K	USD	Point-in-time
Bonds posted with courts	`BondsPostedWithCourts`	$351.65K	USD	Point-in-time
Note Receivable	`NotesAndLoansReceivableNetCurrent`	$588.86K	USD	Point-in-time
Note Receivable	`NotesAndLoansReceivableNetCurrent`	$225.98K	USD	Point-in-time
Allowance for bad debt	`AllowanceForDoubtfulAccountsReceivableCurrent`	$387.98K	USD	Point-in-time
Prepaid expenses and other current assets, net of discounts of $3,279 for March 31, 2017 and $3,724 for December 31, 2016	`PrepaidExpenseAndOtherAssetsCurrent`	$202.07K	USD	Point-in-time
Prepaid expenses and other current assets, net of discounts of $3,279 for March 31, 2017 and $3,724 for December 31, 2016	`PrepaidExpenseAndOtherAssetsCurrent`	$226.09K	USD	Point-in-time
Allowance for bad debt	`AllowanceForDoubtfulAccountsReceivableCurrent`	$387.98K	USD	Point-in-time
Discounts on prepaid expenses and other current assets	`PrepaidExpenseAndOtherAssetsCurrentDiscount`	$3.28K	USD	Point-in-time
Discounts on prepaid expenses and other current assets	`PrepaidExpenseAndOtherAssetsCurrentDiscount`	$3.72K	USD	Point-in-time
Total current assets	`AssetsCurrent`	$1.76M	USD	Point-in-time
Total current assets	`AssetsCurrent`	$5.52M	USD	Point-in-time
Accumulated depreciation of property and equipment	`AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment`	$118.42K	USD	Point-in-time
Property and equipment, net of accumulated depreciation of $118,420 and $108,407 for March 31, 2017 and December 31, 2016	`PropertyPlantAndEquipmentNet`	$28.33K	USD	Point-in-time
Property and equipment, net of accumulated depreciation of $118,420 and $108,407 for March 31, 2017 and December 31, 2016	`PropertyPlantAndEquipmentNet`	$20.41K	USD	Point-in-time
Accumulated depreciation of property and equipment	`AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment`	$108.41K	USD	Point-in-time
Intangible assets, net of accumulated amortization of $12,028,755 and $11,323,189 for March 31, 2017 and December 31, 2016	`FiniteLivedIntangibleAssetsNet`	$11.68M	USD	Point-in-time
Intangible assets, net of accumulated amortization of $12,028,755 and $11,323,189 for March 31, 2017 and December 31, 2016	`FiniteLivedIntangibleAssetsNet`	$12.31M	USD	Point-in-time
Accumulated amortization of intangible assets	`FiniteLivedIntangibleAssetsAccumulatedAmortization`	$11.32M	USD	Point-in-time
Accumulated amortization of intangible assets	`FiniteLivedIntangibleAssetsAccumulatedAmortization`	$12.03M	USD	Point-in-time
Discount on other non current assets	`OtherNoncurrentAssetsDiscount`	$797.00	USD	Point-in-time
Other non current assets, net of discounts of $797 for March 31, 2017 and December 31, 2016, respectively	`OtherAssetsNoncurrent`	$201.20K	USD	Point-in-time
Discount on other non current assets	`OtherNoncurrentAssetsDiscount`	$797.00	USD	Point-in-time
Other non current assets, net of discounts of $797 for March 31, 2017 and December 31, 2016, respectively	`OtherAssetsNoncurrent`	$200.00K	USD	Point-in-time
Goodwill	`Goodwill`	$224.35K	USD	Point-in-time
Goodwill	`Goodwill`	$222.84K	USD	Point-in-time
Discount on notes payable, current	`NotesPayableCurrentDiscount`	$852.40K	USD	Point-in-time
Discount on notes payable, current	`NotesPayableCurrentDiscount`	$440.22K	USD	Point-in-time
Total other assets	`AssetsNoncurrent`	$12.77M	USD	Point-in-time
Total other assets	`AssetsNoncurrent`	$12.13M	USD	Point-in-time
Total Assets	`Assets`	$18.29M	USD	Point-in-time
Total Assets	`Assets`	$13.89M	USD	Point-in-time
Discount on notes payable, long-term	`LongTermNotesPayableDiscount`	$572.76K	USD	Point-in-time
Discount on notes payable, long-term	`LongTermNotesPayableDiscount`	$57.76K	USD	Point-in-time
Preferred stock, par value	`PreferredStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Accounts payable and accrued expenses	`AccountsPayableAndAccruedLiabilitiesCurrent`	$6.12M	USD	Point-in-time
Accounts payable and accrued expenses	`AccountsPayableAndAccruedLiabilitiesCurrent`	$7.22M	USD	Point-in-time
Preferred stock, par value	`PreferredStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Clouding IP earn out - current portion	`BusinessCombinationContingentConsiderationLiabilityCurrent`	$81.93K	USD	Point-in-time
Clouding IP earn out - current portion	`BusinessCombinationContingentConsiderationLiabilityCurrent`	$81.93K	USD	Point-in-time
Preferred stock, shares authorized	`PreferredStockSharesAuthorized`	100.00M	shares	Point-in-time
Preferred stock, shares authorized	`PreferredStockSharesAuthorized`	100.00M	shares	Point-in-time
Notes payable, net of discounts of $440,219 and $852,404 for March 31, 2017 and December 31, 2016	`NotesPayableCurrent`	$13.16M	USD	Point-in-time
Notes payable, net of discounts of $440,219 and $852,404 for March 31, 2017 and December 31, 2016	`NotesPayableCurrent`	$3.67M	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$9.87M	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$20.46M	USD	Point-in-time
Common stock, par value	`CommonStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Common stock, par value	`CommonStockParOrStatedValuePerShare`	$0.00	USD	Point-in-time
Common stock, shares authorized	`CommonStockSharesAuthorized`	200.00M	shares	Point-in-time
Common stock, shares authorized	`CommonStockSharesAuthorized`	200.00M	shares	Point-in-time
Notes Payable, net of discount of $572,763 and $57,763 for March 31, 2017 and December 31, 2016	`LongTermNotesPayable`	$12.69M	USD	Point-in-time
Notes Payable, net of discount of $572,763 and $57,763 for March 31, 2017 and December 31, 2016	`LongTermNotesPayable`	$4.67M	USD	Point-in-time
Clouding IP earn out	`BusinessCombinationContingentConsiderationLiabilityNoncurrent`	$1.39M	USD	Point-in-time
Common stock, shares issued	`CommonStockSharesIssued`	18.55M	shares	Point-in-time
Common stock, shares issued	`CommonStockSharesIssued`	19.30M	shares	Point-in-time
Clouding IP earn out	`BusinessCombinationContingentConsiderationLiabilityNoncurrent`	$1.40M	USD	Point-in-time
Common stock, shares outstanding	`CommonStockSharesOutstanding`	19.30M	shares	Point-in-time
Common stock, shares outstanding	`CommonStockSharesOutstanding`	18.55M	shares	Point-in-time
Revenue share liability	`DeferredRevenueNoncurrent`	$1.00M	USD	Point-in-time
Revenue share liability	`DeferredRevenueNoncurrent`	$1.23M	USD	Point-in-time
Other long term liability	`OtherLiabilitiesNoncurrent`	$43.98K	USD	Point-in-time
Other long term liability	`OtherLiabilitiesNoncurrent`	$255.40K	USD	Point-in-time
Total long-term liabilities	`LiabilitiesNoncurrent`	$7.11M	USD	Point-in-time
Total long-term liabilities	`LiabilitiesNoncurrent`	$15.55M	USD	Point-in-time
Total liabilities	`Liabilities`	$25.42M	USD	Point-in-time
Total liabilities	`Liabilities`	$27.58M	USD	Point-in-time
Preferred stock Series B, $.0001 par value, 100,000,000 shares authorized: 782,004 issued and outstanding at March 31, 2017 and December 31, 2016	`PreferredStockValue`	$78.00	USD	Point-in-time
Preferred stock Series B, $.0001 par value, 100,000,000 shares authorized: 782,004 issued and outstanding at March 31, 2017 and December 31, 2016	`PreferredStockValue`	$78.00	USD	Point-in-time
Common stock, $.0001 par value; 200,000,000 shares authorized; 19,302,472 and 18,552,472 issued at March 31, 2017 and December 31, 2016	`CommonStockValue`	$1.88K	USD	Point-in-time
Common stock, $.0001 par value; 200,000,000 shares authorized; 19,302,472 and 18,552,472 issued at March 31, 2017 and December 31, 2016	`CommonStockValue`	$2.63K	USD	Point-in-time
Additional paid-in capital	`AdditionalPaidInCapital`	$51.31M	USD	Point-in-time
Additional paid-in capital	`AdditionalPaidInCapital`	$49.88M	USD	Point-in-time
Accumulated other comprehensive loss	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-1.06M	USD	Point-in-time
Accumulated other comprehensive loss	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-1.06M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-61.55M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-57.94M	USD	Point-in-time
Total Marathon Patent Group stockholders' equity (deficit)	`StockholdersEquity`	$-9.12M	USD	Point-in-time
Total Marathon Patent Group stockholders' equity (deficit)	`StockholdersEquity`	$-11.29M	USD	Point-in-time
Noncontrolling Interests	`MinorityInterest`	$-163.85K	USD	Point-in-time
Noncontrolling Interests	`MinorityInterest`	$-234.48K	USD	Point-in-time
Total stockholders' equity (deficit)	`StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest`	$-11.53M	USD	Point-in-time
Total stockholders' equity (deficit)	`StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest`	$-9.29M	USD	Point-in-time
Total liabilities and stockholders' equity (deficit)	`LiabilitiesAndStockholdersEquity`	$18.29M	USD	Point-in-time
Total liabilities and stockholders' equity (deficit)	`LiabilitiesAndStockholdersEquity`	$13.89M	USD	Point-in-time

Income Statement 53 line items

Line Item	Tag	Value	Unit	Period
Revenues	`Revenues`	$78.14K	USD	1 Quarter
Revenues	`Revenues`	$2.06M	USD	1 Quarter
Cost of revenues	`CostOfRevenue`	$451.76K	USD	1 Quarter
Cost of revenues	`CostOfRevenue`	$2.64M	USD	1 Quarter
Amortization of patents and website	`AmortizationOfIntangibleAssets`	$705.96K	USD	1 Quarter
Amortization of patents and website	`AmortizationOfIntangibleAssets`	$2.03M	USD	1 Quarter
Compensation and related taxes	`LaborAndRelatedExpense`	$1.03M	USD	1 Quarter
Compensation and related taxes	`LaborAndRelatedExpense`	$1.09M	USD	1 Quarter
Consulting fees	`ProfessionalAndContractServicesExpenseBenefit`	$280.78K	USD	1 Quarter
Consulting fees	`ProfessionalAndContractServicesExpenseBenefit`	$-28.78K	USD	1 Quarter
Professional fees	`ProfessionalFees`	$405.49K	USD	1 Quarter
Professional fees	`ProfessionalFees`	$425.69K	USD	1 Quarter
General and administrative	`GeneralAndAdministrativeExpense`	$247.65K	USD	1 Quarter
General and administrative	`GeneralAndAdministrativeExpense`	$217.01K	USD	1 Quarter
Patent impairment	`ImpairmentOfIntangibleAssetsFinitelived`	$373.19K	USD	1 Quarter
Total operating expenses	`OperatingExpenses`	$6.98M	USD	1 Quarter
Total operating expenses	`OperatingExpenses`	$2.89M	USD	1 Quarter
Operating loss	`OperatingIncomeLoss`	$-4.92M	USD	1 Quarter
Operating loss	`OperatingIncomeLoss`	$-2.81M	USD	1 Quarter
Other income (expense)	`OtherNonoperatingIncomeExpense`	$-2.16K	USD	1 Quarter
Other income (expense)	`OtherNonoperatingIncomeExpense`	$-14.82K	USD	1 Quarter
Foreign exchange gain (loss)	`EffectOfExchangeRateOnCash`	$-6.98K	USD	1 Quarter
Foreign exchange gain (loss)	`EffectOfExchangeRateOnCash`	$85.86K	USD	1 Quarter
Change in fair value adjustment of Clouding IP earn out	`GainOnFairValueAdjustmentOfCloudingEarnout`	$13.88K	USD	1 Quarter
Change in fair value adjustment of Clouding IP earn out	`GainOnFairValueAdjustmentOfCloudingEarnout`	$-1.34K	USD	1 Quarter
Warrant expense	`ClassOfWarrantOrRightIncomeOrExpenseRecognized`	$-213.21K	USD	1 Quarter
Interest income	`InvestmentIncomeInterest`	$931.00	USD	1 Quarter
Interest income	`InvestmentIncomeInterest`	$1.24K	USD	1 Quarter
Interest expense	`InterestExpense`	$1.01M	USD	1 Quarter
Interest expense	`InterestExpense`	$568.82K	USD	1 Quarter
Total other expenses	`NonoperatingIncomeExpense`	$-867.59K	USD	1 Quarter
Total other expenses	`NonoperatingIncomeExpense`	$-1.00M	USD	1 Quarter
Loss before benefit for income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest`	$-5.92M	USD	1 Quarter
Loss before benefit for income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest`	$-3.68M	USD	1 Quarter
Income tax benefit	`IncomeTaxExpenseBenefit`	$-2.03M	USD	1 Quarter
Net loss	`ProfitLoss`	$-3.68M	USD	1 Quarter
Net loss	`ProfitLoss`	$-3.89M	USD	1 Quarter
Net (income) loss attributable to noncontrolling interests	`NetIncomeLossAttributableToNoncontrollingInterest`	$-70.64K	USD	1 Quarter
Net loss attributable to common shareholders	`NetIncomeLoss`	$-3.89M	USD	1 Quarter
Net loss attributable to common shareholders	`NetIncomeLoss`	$-3.61M	USD	1 Quarter
Basic and fully diluted (in dollars per share)	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.19	USD	1 Quarter
Basic and fully diluted (in dollars per share)	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.26	USD	1 Quarter
Basic and fully diluted (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	19.06M	shares	1 Quarter
Basic and fully diluted (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	14.97M	shares	1 Quarter
Net loss attributable to common shareholders	`NetIncomeLoss`	$-3.89M	USD	1 Quarter
Net loss attributable to common shareholders	`NetIncomeLoss`	$-3.61M	USD	1 Quarter
Unrealized gain on foreign currency translation	`OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax`	$247.43K	USD	1 Quarter
Unrealized gain on foreign currency translation	`OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax`	$1.08K	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTaxIncludingPortionAttributableToNoncontrollingInterest`	$-3.65M	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTaxIncludingPortionAttributableToNoncontrollingInterest`	$-3.61M	USD	1 Quarter
Less: comprehensive income related to non-controlling interest	`ComprehensiveIncomeNetOfTaxAttributableToNoncontrollingInterest`	$-70.64K	USD	1 Quarter
Comprehensive loss attributable to Marathon Patent Group, Inc.	`ComprehensiveIncomeNetOfTax`	$-3.65M	USD	1 Quarter
Comprehensive loss attributable to Marathon Patent Group, Inc.	`ComprehensiveIncomeNetOfTax`	$-3.53M	USD	1 Quarter

Cash Flow Statement 55 line items

Line Item	Tag	Value	Unit	Period
Net loss	`NetIncomeLoss`	$-3.89M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-3.61M	USD	1 Quarter
Depreciation	`Depreciation`	$1.65K	USD	1 Quarter
Depreciation	`Depreciation`	$471.00	USD	1 Quarter
Amortization of patents and website	`AmortizationOfIntangibleAssets`	$705.96K	USD	1 Quarter
Amortization of patents and website	`AmortizationOfIntangibleAssets`	$2.03M	USD	1 Quarter
Deferred tax asset	`IncreaseDecreaseInDeferredTaxAssets`	$1.93M	USD	1 Quarter
Deferred tax liability	`IncreaseDecreaseInDeferredTaxLiabilities`	$-76.46K	USD	1 Quarter
Impairment of intangible assets	`ImpairmentOfIntangibleAssetsExcludingGoodwill`	$373.19K	USD	1 Quarter
Stock based compensation	`ShareBasedCompensation`	$550.44K	USD	1 Quarter
Stock based compensation	`ShareBasedCompensation`	$41.42K	USD	1 Quarter
Non-cash interest, discount, and financing costs	`NoncashCommissionAndClosingCosts`	$52.73K	USD	1 Quarter
Non-cash interest, discount, and financing costs	`NoncashCommissionAndClosingCosts`	$605.69K	USD	1 Quarter
Change in fair value of Clouding earnout	`BusinessCombinationContingentConsiderationArrangementsChangeInAmountOfContingentConsiderationLiability1`	$1.34K	USD	1 Quarter
Change in fair value of Clouding earnout	`BusinessCombinationContingentConsiderationArrangementsChangeInAmountOfContingentConsiderationLiability1`	$-13.88K	USD	1 Quarter
Non-controlling interest	`AdjustmentsNonControllingInterestToReconcileNetIncomeLossToCashProvidedByUsedInOperatingActivities`	$70.64K	USD	1 Quarter
Other non-cash adjustments	`OtherNoncashIncomeExpense`	$33.61K	USD	1 Quarter
Other non-cash adjustments	`OtherNoncashIncomeExpense`	$-67.16K	USD	1 Quarter
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$15.28K	USD	1 Quarter
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$8.33K	USD	1 Quarter
Bonds posted with courts	`IncreaseDecreaseInOtherCurrentAssets`	$-359.96K	USD	1 Quarter
Bonds posted with courts	`IncreaseDecreaseInOtherCurrentAssets`	$351.65K	USD	1 Quarter
Prepaid expenses and other assets	`IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets`	$-192.35K	USD	1 Quarter
Prepaid expenses and other assets	`IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets`	$386.90K	USD	1 Quarter
Other non current assets	`IncreaseDecreaseInOtherNoncurrentAssets`	$-1.20K	USD	1 Quarter
Other non current assets	`IncreaseDecreaseInOtherNoncurrentAssets`	$-2.07K	USD	1 Quarter
Accounts payable and accrued expenses	`IncreaseDecreaseInAccountsPayableAndAccruedLiabilities`	$1.95M	USD	1 Quarter
Accounts payable and accrued expenses	`IncreaseDecreaseInAccountsPayableAndAccruedLiabilities`	$-1.10M	USD	1 Quarter
Net cash provided by (used in) operating activities	`NetCashProvidedByUsedInOperatingActivitiesContinuingOperations`	$113.17K	USD	1 Quarter
Net cash provided by (used in) operating activities	`NetCashProvidedByUsedInOperatingActivitiesContinuingOperations`	$-4.67M	USD	1 Quarter
Purchase of property, equipment, and other intangible assets	`PaymentsToAcquirePropertyPlantAndEquipment`	$2.10K	USD	1 Quarter
Purchase of property, equipment, and other intangible assets	`PaymentsToAcquirePropertyPlantAndEquipment`	$2.10K	USD	1 Quarter
Net cash provided by (used in) investing activities	`NetCashProvidedByUsedInInvestingActivitiesContinuingOperations`	$-2.10K	USD	1 Quarter
Net cash provided by (used in) investing activities	`NetCashProvidedByUsedInInvestingActivitiesContinuingOperations`	$-2.10K	USD	1 Quarter
Cash received upon issuance of common stock	`ProceedsFromIssuanceOfCommonStock`	$1.26M	USD	1 Quarter
Issuance of Warrants	`ProceedsFromIssuanceOfWarrants`	$132.43K	USD	1 Quarter
Proceeds from Fortress note payable	`ProceedsFromRepaymentsOfNotesPayable`	$4.50M	USD	1 Quarter
Payments on note payable, net	`PaymentsOnNotesPayable`	$103.00K	USD	1 Quarter
Net cash provided (used in) by financing activities	`NetCashProvidedByUsedInFinancingActivitiesContinuingOperations`	$-1.25M	USD	1 Quarter
Net cash provided (used in) by financing activities	`NetCashProvidedByUsedInFinancingActivitiesContinuingOperations`	$167.29K	USD	1 Quarter
Effect of exchange rate changes on cash	`EffectOfExchangeRateOnCashAndCashEquivalents`	$-1.56K	USD	1 Quarter
Effect of exchange rate changes on cash	`EffectOfExchangeRateOnCashAndCashEquivalents`	$2.61K	USD	1 Quarter
Net decrease in cash	`CashPeriodIncreaseDecrease`	$-1.13M	USD	1 Quarter
Net decrease in cash	`CashPeriodIncreaseDecrease`	$-4.50M	USD	1 Quarter
Cash at beginning of period	`Cash`	$5.00M	USD	Point-in-time
Cash at beginning of period	`Cash`	$2.56M	USD	Point-in-time
Cash at beginning of period	`Cash`	$493.45K	USD	Point-in-time
Cash at beginning of period	`Cash`	$1.42M	USD	Point-in-time
Cash at end of period	`Cash`	$5.00M	USD	Point-in-time
Cash at end of period	`Cash`	$2.56M	USD	Point-in-time
Cash at end of period	`Cash`	$493.45K	USD	Point-in-time
Cash at end of period	`Cash`	$1.42M	USD	Point-in-time
Interest expense	`InterestPaid`	$333.61K	USD	1 Quarter
Interest expense	`InterestPaid`	$401.16K	USD	1 Quarter
Taxes paid	`IncomeTaxesPaidNet`	$8.00K	USD	1 Quarter

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