Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.5.0.2
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Jun. 30, 2016
Jun. 30, 2015
Cash flows from operating activities:    
Net loss $ (4,571,000) $ (2,415,000)
Adjustments to reconcile net loss to net cash used in operating activities    
Depreciation 25,000 32,000
Amortization of prepaid advisory fees 34,000 17,000
Change in fair value of warrant liability (11,000) (548,000)
Stock-based compensation 109,000 237,000
Stock issuance for services 29,000 21,000
Gain on sale of property and equipment (4,000)
Amortization of Debt Issuance Costs 266,000
Amortization of Debt Discount (Premium) 86,000 60,000
Changes in operating assets and liabilities:    
Accounts receivable (13,000) 71,000
Inventories (21,000) (96,000)
Other current assets (11,000) (50,000)
Accounts payable (42,000) 133,000
Accrued expenses 200,000 179,000
Net cash used in operating activities (3,920,000) (2,363,000)
Cash flows from investing activities:    
Purchases of equipment (5,000) (25,000)
Proceeds from the sale of equipment 9,000
Net cash used in investing activities (5,000) (16,000)
Cash flows from financing activities:    
Proceeds from the sale of common stock and warrants 949,000 501,000
Private placement subscription 100,000
Borrowings from line of credit - related party and line of credit 2,950,000 1,815,000
Net cash provided by financing activities 3,999,000 2,316,000
Net change in cash 74,000 (63,000)
Cash, beginning of period 53,000 116,000
Cash, end of period 127,000 53,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:    
Conversion of debt to equity 3,397,000
Issuance of common stock in private placement for reduction of accounts payable 25,000
Warrant re-pricing modification (12,000)
Deferred financing cost related to the line of credit – related party (310,000)
Issuance of warrants recorded as deferred financing costs 5,000
Debt discount related to warrants and beneficial conversion feature $ 165,000