Financials

v3.8.0.1
Consolidated Condensed Balance Sheets - USD ($)
Mar. 31, 2018
Dec. 31, 2017
Current assets:    
Cash $ 5,367,963 $ 14,948,529
Digital currencies 68,044
Accounts receivable - net of allowance for bad debt of $394,802 and $387,976 for March 31, 2018 and December 31, 2017, respectively 6,826
Prepaid expenses and other current assets 184,038 92,855
Total current assets 5,620,045 15,048,210
Other assets:    
Property and equipment, net of accumulated depreciation of $366,777 and $134,513 for March 31, 2018 and December 31, 2017, respectively 5,578,377 10,011
Intangible assets, net of accumulated amortization of $11,863 for March 31, 2018 1,198,137
Total other assets 6,776,514 10,011
TOTAL ASSETS 12,396,559 15,058,221
Current liabilities:    
Accounts payable and accrued expenses 2,071,142 1,961,784
Litigation liability 2,150,000
Warrant liability 285,348 1,794,396
Notes payable, net of discounts of $345,256 and $2,290,028 for March 31, 2018 and December 31, 2017, respectively 1,613,849 1,763,920
Total current liabilities 3,970,339 7,670,100
Total liabilities 3,970,339 7,670,100
Commitments and Contingencies
Stockholders' Equity:    
Preferred stock, $0.0001 par value, 50,000,000 shares authorized, 1,943 and 5,513 issued and outstanding at March 31, 2018 and December 31, 2017, respectively 1
Common stock, $0.0001 par value; 200,000,000 shares authorized; 19,327,940 and 12,477,781 issued and outstanding at March 31, 2018 and December 31, 2017, respectively 1,933 1,248
Additional paid-in capital 100,553,943 97,113,723
Accumulated other comprehensive loss (450,719) (450,734)
Accumulated deficit (91,678,937) (89,276,117)
Total stockholders' equity 8,426,220 7,388,121
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 12,396,559 $ 15,058,221

Source

v3.8.0.1
Consolidated Condensed Statements of Operations and Comprehensive Income (Unaudited) - USD ($)
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Revenues    
Cryptocurrency mining revenue $ 199,582
Other revenue 40,385 78,137
Total revenues 239,967 78,137
Operating costs and expenses    
Cost of revenue 267,709 451,762
Amortization of patents 705,958
Compensation and related taxes 413,118 1,085,546
Consulting fees 38,203 (28,779)
Professional fees 804,286 425,686
General and administrative 563,716 247,652
Realized loss on sale of digital currencies 1,510
Change in fair value of digital currencies 9,557
Total operating expenses 2,098,099 2,887,825
Operating loss (1,858,132) (2,809,688)
Other income (expenses)    
Other income (expenses) 2,454 (14,825)
Foreign exchange loss (15,332) (85,862)
Change in fair value adjustment of Clouding IP earn out 13,879
Change in fair value of warrant liability 1,453,257 (213,208)
Amortization of debt discount (1,944,772)
Interest income 1,241
Interest expense (40,295) (568,819)
Net loss (2,402,820) (3,677,282)
Net loss attributable to non-controlling interests (70,636)
Net loss attributable to common stockholders $ (2,402,820) $ (3,606,646)
Net loss per share, basic and diluted: $ (0.16) $ (0.76)
Weighted average shares outstanding, basic and diluted: 15,222,735 4,764,890
Net loss attributable to common stockholders $ (2,402,820) $ (3,606,646)
Other comprehensive loss:    
Unrealized gain on foreign currency translation 15 1,083
Comprehensive loss attributable to Marathon Patent Group, Inc. $ (2,402,805) $ (3,605,563)

Source

v3.8.0.1
Consolidated Condensed Statements of Cash Flows (Unaudited) - USD ($)
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES    
Net loss $ (2,402,820) $ (3,606,646)
Adjustments to reconcile net loss to net cash (used in) operating activities:    
Depreciation 232,006 471
Amortization of patents and website 12,120 705,958
Realized loss on sale of digital currencies 1,510
Change in fair value of warrant liability (1,453,257)
Stock based compensation 329,525 41,424
Amortization of debt discount 1,944,772
Bad debt allowance 6,826
Non-cash interest, discount, and financing costs 52,733
Change in fair value of digital currency 9,557
Change in fair value of Clouding earnout (13,879)
Non-controlling interest (70,636)
Other non-cash adjustments 67,164
Changes in operating assets and liabilities:    
Accounts receivables (8,328)
Digital currencies (199,582)
Litigation liability (2,150,000)
Bonds posted with courts (351,647)
Prepaid expenses and other assets (91,183) (386,903)
Other non current assets 1,203
Accounts payable and accrued expenses 110,104 (1,099,415)
Net cash (used in) operating activities (3,650,422) (4,668,501)
CASH FLOWS FROM INVESTING ACTIVITIES    
Acquisition of patents (250,000)
Purchase of property and equipment (5,800,629) (2,097)
Net cash (used in) investing activities (6,050,629) (2,097)
CASH FLOWS FROM FINANCING ACTIVITIES    
Payment on note payable (5,728,000)
Proceeds from sale of digital currencies 120,470
Proceeds received on issuance of notes payable 4,500,000
Proceeds received on private placement 1,262,865
Proceeds received on exercise of warrants 132,427
Net cash provided by financing activities 120,470 167,292
Effect of foreign exchange rate changes 15 (1,556)
Net decrease in cash and cash equivalents (9,580,566) (4,504,862)
Cash and cash equivalents - beginning of period 14,948,529 4,998,314
Cash and cash equivalents - end of period 5,367,963 493,452
SUPPLEMENTAL CASH FLOW INFORMATION    
Cash paid for interest expense 333,608
Cash paid during the year for income taxes
Supplemental schedule of non-cash investing and financing activities:    
Common stock issued for acquisition of patents 960,000
Conversion of Series E Preferred Stock to common stock 357
Common stock issued for note conversion 2,095,588
Restricted stock issuance 39
Warrants exercised into common shares $ 55,791

Source