Annual report pursuant to Section 13 and 15(d)

Summary of Significant Policies (Tables)

Summary of Significant Policies (Tables)

12 Months Ended

Dec. 31, 2017

The following table presents accounts receivable, net for the years ended December 31, 2017 and 2016:

	December 31,
							(Predecessor)
	2017			2016			2016
Uncompleted contracts	$	39,612			—		$	24,046
Completed contracts		8,555			—			27,825
Accounts receivable	$	4,510		$	1,853			—
Unbilled receivable		10,077			5,286			—
Allowance for doubtful accounts		(555	)		(119	)		(170	)
Accounts receivable, net	$	62,199		$	7,020		$	51,701

Schedule of Concentration Credit Risk Percentage

Accounts receivable and revenue from the Company’s major customers as of December 31, 2017 and 2016 are as follows:

(in thousands)	Revenues				% of Total Revenue
	2017		2016		2017			2016
Customer A	$	46,727	$	—		210	%		—	%
Customer B	$	29,971	$	—		13	%		—	%
Customer C	$	—	$	6,333		—			52	%
Customer D	$	—	$	1,805		—			14	%

(in thousands)	Revenues (Predecessor)				% of Total Revenue
	For the period Ended April 21, 2017		2016		2017			2016
Customer A	$	12,541	$	97,449		31	%		25	%
Customer B	$	7,439	$	88,630		19	%		23	%
Customer C	$	6,381	$	40,857		16	%		11	%

(in thousands)	Accounts Receivable						% of Total Accounts Receivable
	2017		2016		2016		2017			2016			2016
			(Predecessor)
Customer A	$	7,513	$	—		10,085		20	%		—	%		19	%
Customer B	$	18,477	$	—		9,009		49	%		—	%		17	%
Customer C	$	—	$	4,625		7,721		—	%		66	%		15

Schedule of Fair Value of Warrants

The following table summarizes the valuation of the Company’s derivatives by the above fair value hierarchy levels as of December 31, 2017 and 2016 using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3):

December 31, 2017

Level 1

Level 2

Level 3

Total

Warrant derivative liability

—

The following table summarizes the change in fair value of the warrants from inception through December 31, 2016.

December 31, 2016		Level 1				Level 2				Level 3				Total
Warrant derivative liability		$	—			$	—			$	—			$	(594	)

Schedule of Change in Fair Value of Warrant

	Warrant Liability
Balance January 1, 2016	$	—
Warrants issued in conjunction with financings		529
Change in warrant fair value market valuation		65
Balance December 31, 2016		594
Warrants issued in conjunction with financings		181
Reclassification of warrant liability to equity (1)_		(775	)
Balance December 31, 2017		—

(1)

During the fourth quarter of 2017, the Company elected to adopted ASU 2017-11 by applying ASU 2017-11 retrospectively to outstanding financial instruments with down round features by means of a cumulative-effect adjustment to the Company’s beginning accumulated deficit of $775 as of January 1, 2017. The Company calculates the fair value at inception and records the warrant on the consolidated balance sheet in additional paid in capital.

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share

The Company had the following common stock equivalents at December 31, 2017 and 2016.

	2017		2016
Convertible preferred stock, Series A		27,523		26,687
Convertible preferred stock, Series A-1		17,464		15,746
Common stock warrants		979,925		669,925
Restricted stock units		126,465,		89,160
Options		47,870		—
Total potentially dilutive shares		1,199,247		801,518

- Definition

Tabular disclosure of all significant concentrations of risk, including credit risk and market risk, arising from all financial instruments (as defined), whether from an individual counterparty or groups of counterparties. The disclosure concerning concentrations of risk may consist of the following information: (1) for concentrations of credit risk disclosure may include: (a) information about the (shared) activity, region, or economic characteristic that identifies the concentration, (b) the maximum amount of loss due to credit risk that, based on the gross fair value of the financial instrument, the entity would incur if parties to the financial instruments that make up the concentration failed completely to perform according to the terms of the contracts and the collateral or other security, if any, for the amount due proved to be of no value to the entity, (c) the policy of requiring collateral or other security to support financial instruments subject to credit risk, information about the entity's access to that collateral or other security, and the nature and a brief description of the collateral or other security supporting those financial instruments, and (d) the policy of entering into master netting arrangements to mitigate the credit risk of financial instruments, information about the arrangements for which the entity is a party, and a brief description of the terms of those arrangements, including the extent to which they would reduce the entity's maximum amount of loss due to credit risk and (2) for disclosure of quantitative information about the market risks of financial instruments that is consistent with the way the company manages or adjusts those risks, disclosure may include: (a) more details about current positions and perhaps activity during the period, (b) the hypothetical effects on comprehensive income (or net assets), or annual income, of several possible changes in market prices, (c) a gap analysis of interest rate re-pricing or maturity dates, (d) the duration of the financial instruments, (e) the entity's value at risk from derivatives and from other positions at the end of the reporting period and the average value at risk during the year, or (f) other ways of reporting quantitative information as internally developed.

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