• Filing Date: 2019-07-11
  • Form Type: 10-K
  • Description: Annual report
v3.19.2
CONSOLIDATED BALANCE SHEETS - USD ($)
Apr. 30, 2019
Apr. 30, 2018
Current assets:    
Cash $ 1,862,458 $ 2,348,883
Accounts receivable (net of allowance for doubtful accounts of $619,514 (2018 - $322,638)) 1,876,896 3,509,010
Deferred sales commission costs - current 122,777  
Derivative assets 1,178  
Prepaid expenses and other current assets 263,078 191,245
Total current assets 4,126,387 6,049,138
Deposits 94,829 98,633
Deferred sales commission costs - non-current 77,571  
Equipment 59,914 121,819
Goodwill 6,541,290 6,843,575
Intangibles and other assets 224,795 221,062
Total Assets 11,124,786 13,334,227
Current liabilities:    
Accounts payable and accrued liabilities 2,233,875 2,437,733
Derivative liability 4,512  
Unearned revenue 2,593,726 2,565,876
Customer deposits 947 2,200
Accrued warranty 63,130 54,365
Total current liabilities 4,885,095 5,068,939
Deferred lease inducements 4,031 14,339
Loan payable 3,000,000  
Unrecognized tax liability 9,763 9,763
Total liabilities 7,898,889 5,093,041
Stockholders' equity:    
Preferred stock, $0.001 par value Authorized: 100,000,000 Issued and outstanding: April 30, 2019 - nil; April 30, 2018 - nil
Common stock, $0.001 par value - Note 10 Authorized: 100,000,000 Issued: April 30, 2019 - 5,950,246; April 30, 2018 - 5,930,468 5,950 5,931
Additional paid-in capital 75,667,533 75,170,181
Accumulated deficit (68,581,091) (63,701,685)
Accumulated other comprehensive loss - currency translation adjustment (3,866,495) (3,233,241)
Total stockholders' equity 3,225,897 8,241,186
Liabilities and Stockholders' Equity $ 11,124,786 $ 13,334,227
v3.19.2
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
Apr. 30, 2019
Apr. 30, 2018
Allowance for Doubtful Accounts Receivable, Current $ 619,514 $ 322,638
Preferred Stock, Par Value Per Share (in dollars per share) $ 0.001 $ 0.001
Preferred Stock, Shares Authorized 100,000,000 100,000,000
Preferred Stock, Shares Issued
Preferred Stock, Shares Outstanding
Common Stock, Par Value Per Share (in dollars per share) $ 0.001 $ 0.001
Common Stock, Shares Authorized 100,000,000 100,000,000
Common Stock, Shares, Issued 5,950,246 5,930,468
v3.19.2
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
12 Months Ended
Apr. 30, 2019
Apr. 30, 2018
Revenue    
Software $ 4,660,660 $ 6,338,512
Subscription, support and maintenance 5,366,290 4,273,410
Professional services and other 737,954 1,769,819
Total revenue 10,764,904 12,381,741
Operating expenses:    
Cost of sales (includes depreciation of $529 (2018 - $6,337)) 2,223,984 1,629,814
Sales and marketing 4,061,921 4,266,716
Research and development 5,547,587 5,506,887
General and administrative 4,098,173 3,772,094
Total operating expenses 15,931,665 15,175,511
Loss from operations (5,166,761) (2,793,770)
Interest and other (expense) income, net    
Interest and other income 2,145 3
Interest expense (107,323) (364)
Foreign exchange (loss) gain 256,765 (426,539)
Change in fair value of derivative instruments 1,735  
Total interest and other (expense) income, net 153,322 (426,900)
Net loss for the year $ (5,013,439) $ (3,220,670)
Net loss per share:    
Basic and diluted (in dollars per share) $ (0.84) $ (0.59)
Weighted average common shares outstanding:    
Basic and diluted (in shares) 5,942,096 5,496,201
v3.19.2
CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($)
12 Months Ended
Apr. 30, 2019
Apr. 30, 2018
Depreciation $ 529 $ 6,337
v3.19.2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)
12 Months Ended
Apr. 30, 2019
Apr. 30, 2018
Net loss for the year $ (5,013,439) $ (3,220,670)
Other comprehensive loss:    
Foreign currency translation adjustments (633,254) 791,955
Comprehensive loss $ (5,646,693) $ (2,428,715)
v3.19.2
CONSOLIDATED STATEMENTS OF CASH FLOWS
12 Months Ended
Apr. 30, 2019
USD ($)
Apr. 30, 2018
USD ($)
Cash flows from operating activities:    
Net loss for the year $ (5,013,439) $ (3,220,670)
Adjustments to reconcile net loss to net cash used in operating activities:    
Bad debt expense 1,082,440 578,024
Deferred lease inducements (9,675) (10,175)
Depreciation and amortization 105,464 113,805
Unrealized foreign exchange (gain) loss (355,739) 468,354
Stock-based compensation 474,726 604,566
Issuance of common stock for services   16,156
Change in fair value of derivative instruments 3,334  
Changes in assets and liabilities:    
Accounts payable and accrued liabilities (160,586) 561,703
Accounts receivable 549,658 (1,375,552)
Deferred sales commission costs (61,705)  
Accrued warranty (11,095) 8,765
Customer deposits (1,253) (6,325)
Prepaid expenses and other current assets (73,359) (18,645)
Unearned revenue 27,850 (147,096)
Net cash used in operating activities (3,443,379) (2,427,090)
Cash flows from investing activities:    
Purchases of equipment (40,094) (100,300)
Purchases of intangibles (9,638) (24,813)
Net cash used in investing activities (49,732) (125,113)
Cash flows from financing activities:    
Net proceeds from issuance of common stock 22,645 2,902,990
Repurchases of common stock   (33,119)
Proceeds received from loan payable 3,000,000  
Net cash provided by financing activities 3,022,645 2,869,871
Foreign exchange effect on cash (15,959) (39,804)
(Decrease) increase in cash (486,425) 277,864
Cash, beginning of the period 2,348,883 2,071,019
Cash, end of the period 1,862,458 2,348,883
Cash paid for:    
Interest 52,603 364
Taxes $ 0 $ 0
v3.19.2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)
Common Shares [Member]
Treasury Shares [Member]
Additional Paid-in Capital [Member]
Accumulated Deficit [Member]
Accumulated Other Comprehensive Loss [Member]
Total
Beginning Balance at Apr. 30, 2017 $ 5,005 $ (60) $ 71,680,575 $ (60,481,015) $ (4,025,196) $ 7,179,309
Beginning Balance (Shares) at Apr. 30, 2017 5,005,245 (59,900)        
Private placement, net of share issuance costs $ 967   2,831,479     2,832,446
Private placement, net of share issuance costs (Shares) 966,740          
Issuance of common stock for services $ 7   16,149     16,156
Issuance of common stock for services (Shares) 6,789          
Share repurchase plan   $ (14) (33,829)     (33,843)
Share repurchase plan (Shares)   (13,600)        
Cancellation of shares $ (74) $ 74 724     724
Cancellation of shares (Shares) (73,500) 73,500        
Stock-based compensation     604,566 0 0 604,566
Employee share purchase program $ 25   69,300 0 0 69,325
Employee share purchase program (Shares) 24,699          
Exercise of stock options $ 1   1,217 0 0 $ 1,218
Exercise of stock options (Shares) 495         495
Net loss for the year       (3,220,670)   $ (3,220,670)
Foreign currency translation adjustment         791,955 791,955
Ending Balance at Apr. 30, 2018 $ 5,931   75,170,181 (63,701,685) (3,233,241) $ 8,241,186
Ending Balance (Shares) at Apr. 30, 2018 5,930,468          
Cancellation of shares (Shares)           153,988
Stock-based compensation     474,726 0 0 $ 474,726
Employee share purchase program $ 12   25,012 0 0 25,024
Employee share purchase program (Shares) 12,820          
Exercise of stock options $ 7   (2,386) 0 0 $ (2,379)
Exercise of stock options (Shares) 6,958         35,500
Net loss for the year       (5,013,439)   $ (5,013,439)
Foreign currency translation adjustment         (633,254) (633,254)
Ending Balance at Apr. 30, 2019 $ 5,950   $ 75,667,533 (68,581,091) $ (3,866,495) 3,225,897
Ending Balance (Shares) at Apr. 30, 2019 5,950,246          
Adoption of ASC 606       $ 134,033   $ 134,033
v3.19.2
Nature of Operations
12 Months Ended
Apr. 30, 2019
Nature of Operations [Text Block]
Note 1

Nature of Operations

   

CounterPath Corporation (the “Company”) was incorporated in the State of Nevada on April 18, 2003. The Company focuses on the design, development, marketing and sales of software applications and related services, such as pre and post sales technical support and customization services, that enable enterprises and telecommunication service providers to deliver Unified Communications (UC) services, including voice, video, messaging and collaboration functionality, over their Internet Protocol, or IP, based networks. The Company’s products are sold either directly or through channel partners, to small, medium and large businesses (“enterprises”) and telecom service providers in North America, and in Europe, Middle East, Africa (“collectively EMEA”), Asia Pacific and Latin America.

 
v3.19.2
Summary of Significant Accounting Policies
12 Months Ended
Apr. 30, 2019
Summary of Significant Accounting Policies [Text Block]
Note 2

Summary of Significant Accounting Policies

   
 

Basis of Presentation and Principles of Consolidation

   

The accompanying consolidated financial statements have been prepared in accordance with the accounting principles generally accepted in the United States of America (“U.S. GAAP”) and are stated in U.S. dollars, except where otherwise disclosed.

   

These consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, CounterPath Technologies Inc., a company existing under the laws of the province of British Columbia, Canada, and BridgePort Networks, Inc. (“BridgePort”), a company incorporated under the laws of the state of Delaware and CounterPath LLC, a company formed on August 27, 2018, under the laws of the state of Delaware. The results of NewHeights Software Corporation (“NewHeights”), which subsequently was amalgamated with another subsidiary to become CounterPath Technologies Inc., are included from August 2, 2007, the date of acquisition. The results of FirstHand Technologies Inc. (“FirstHand”), which subsequently was amalgamated with CounterPath Technologies Inc., and BridgePort are included from February 1, 2008, the date of acquisition. All inter-company transactions and balances have been eliminated.

   

These consolidated financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities and commitments in the normal course of business.

   
 

Going Concern

   

The Company has experienced recurring losses and has an accumulated deficit of $68,581,091 as of April 30, 2019. This is a result of flat to declining revenues due to a number of factors including an increased focus on building out the Company’s cloud-based subscription platform and a change from the current licensing model to subscription- based licensing which has not reached profitable operations resulting in substantial doubt about the Company’s ability to continue operating as a going concern.

   

To alleviate this situation, the Company has plans in place to improve its financial position and liquidity through additional financing, while executing on its growth strategy, and by managing and or reducing costs that are not expected to have an adverse impact on the ability to generate cash flows, as the transition to its software as a service platform and subscription licensing continues.

   

The Company has historically been able to manage liquidity requirements through cost management and cost reduction measures, supplemented with raising additional financing. On October 10, 2018, the Company entered into a loan agreement for an aggregate principal amount of up to $3,000,000 which was fully drawn as of April 30, 2019. See Note 9 – Loan Payable for further detail. On July 10, 2019, the Company entered into an amended loan agreement to increase the maximum amount of the loan to $5,000,000. See Note 17 – Subsequent Events for further detail. The Company does not have any other commitments to raise funds.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions which affect the amounts reported in these consolidated financial statements, the notes thereto, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.

Reclassification

Certain prior period balances have been reclassified to conform to the current period presentation in the Company’s consolidated financial statements and the accompanying notes.

Concentrations of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and accounts receivable. The Company has exposure to credit risk to the extent cash balances exceed amounts covered by federal deposit insurance; however, the Company believes that its credit risk on cash balances is immaterial. The Company is also subject to concentrations of credit risk in its accounts receivable. The Company monitors and actively manages its receivables, and from time to time will insure certain receivables with higher credit risk and may require collateral or other securities to support its accounts receivable.

The table below presents significant customers who accounted for greater than 10% of total accounts receivable as of April 30, 2019 and 2018:

      April 30,     April 30,  
      2019     2018  
  Customer A   13%     2%  
  Customer B   7%     13%  
  Customer C   –%     18%  

Accounts Receivable and Allowance for Doubtful Accounts

Accounts receivable are presented net of an allowance for doubtful accounts.

      Years Ended April 30,  
      2019     2018  
  Balance of allowance for doubtful accounts, beginning of year $  322,638   $  80,232  
  Bad debt provision   1,082,440     578,024  
  Write-off of receivables   (785,564 )   (335,618 )
  Balance of allowance for doubtful accounts, end of year $  619,514   $  322,638  

The Company determines the allowance for doubtful accounts by considering a number of factors, including the length of time the accounts receivable are beyond the contractual payment terms, previous loss history, and the customer’s current ability to pay its obligation. When the Company becomes aware of a specific customer’s inability to meet its financial obligations to the Company, the Company records a charge to the allowance to reduce the customer’s related accounts.

Stock-Based Compensation

The Company adopted ASC 718 “Compensation – Stock Compensation”, using the modified prospective method on May 1, 2006. Under this application, the Company is required to record compensation expense, based on the fair value of the awards, for all awards granted after the date of adoption and for the unvested portion of previously granted awards that remain outstanding as at the date of adoption. In accordance with ASC 718, the compensation expense is amortized on a straight-line basis over the requisite service period which approximates the vesting period.

Stock options granted to non-employees were accounted for in accordance with ASC 718 and ASC 505-50 “Equity based payments to non-employees” and were measured at the fair value of the options as determined by an option pricing model on the measurement date and compensation expense is amortized over the vesting period or, if none exists, over the service period. With the adoption of ASC 718, the Company has elected to use the Black-Scholes option pricing model to determine the fair value of stock options granted. The Company has estimated the fair value of option awards to employees and non-employees for the years ended April 30, 2019 and April 30, 2018 using the assumptions more fully described in Note 10.

Equipment and Amortization

Equipment is recorded at cost. Depreciation is provided for using the straight-line method over the estimated useful lives as follows:

  Computer hardware Two years
  Computer software Two years
  Leasehold improvements Shorter of lease term or estimated economic life
  Office furniture Five years
  Website Three years

Research and Development

Research and development expense includes costs incurred to develop intellectual property. The costs for the development of new software and substantial enhancements to existing software are expensed as incurred until technological feasibility has been established, at which time any additional costs would be capitalized. Management has determined that technological feasibility is established at the time a working model of software is completed. Because management believes that the current process for developing software will be essentially completed concurrently with the establishment of technological feasibility, no costs have been capitalized to date.

Website Development Costs

The Company recognizes the costs associated with developing a website in accordance with ASC Topic 350-40 “Intangibles – Internal Use Software”.

Internal and external costs incurred during the preliminary project stage are expensed as they are incurred. Training costs are not internal-use software development costs and, if incurred during this stage, are expensed as incurred.

These capitalized costs are amortized based on their estimated useful life over three years. Payroll and other related costs are not capitalized, as the amounts principally relate to maintenance.

Goodwill

Goodwill represents the excess purchase price over the estimated fair value of net assets acquired and liabilities assumed as of the acquisition date. ASC Topic 350 “Intangibles – Goodwill” requires goodwill to be tested for impairment annually or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of the Company's business enterprise below its carrying value. These events or circumstances could include a significant change in the business climate, legal factors, operating performance indicators, competition, or sale or disposition of a significant portion of a reporting unit. Recoverability of goodwill is measured at the reporting unit level by comparing the reporting unit’s carrying amount, including goodwill, to the fair value of the reporting unit, which is measured based upon, among other factors, market multiples for comparable companies as well as a discounted cash flow analysis.

Management has determined that the Company operates as a single operating segment and consequently a single reporting unit due to the similar economic characteristics of its components and the nature of the products and services offered by those components. If the recorded value of the Company’s assets, including goodwill, and liabilities (“net book value”) of the reporting unit exceeds its fair value, an impairment loss may be required.

The Company reviews goodwill for impairment annually and whenever events or changes in circumstances indicate its carrying value may not be recoverable in accordance with FASB ASC 350, Goodwill and Other Intangible Assets. The provisions of ASC 350 require that a two-step impairment test be performed on goodwill. In the first step, the Company compares the fair value of its reporting unit to its carrying value. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that unit, goodwill is not considered impaired and the Company is not required to perform further testing. If the carrying value of the net assets assigned to the reporting unit exceeds the fair value of the reporting unit, then the Company must perform the second step of the impairment test in order to determine the implied fair value of the reporting unit’s goodwill. If the carrying value of our reporting unit’s goodwill exceeds its implied fair value, then the Company would record an impairment loss equal to the difference.

In September of 2011, FASB issued Accounting Standards Update 2011-08, “Intangibles—Goodwill and Other (Topic 350)”. Under the amendments of this update, an entity may first assess certain qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then performing the two-step impairment test is unnecessary.

Determining the fair value of the reporting unit involves the use of significant estimates and assumptions. These estimates and assumptions include future economic and market conditions and determination of appropriate market comparables. The Company bases its fair value estimates on assumptions management believes to be reasonable but that are unpredictable and inherently uncertain. Actual future results may differ from those estimates.

Goodwill was initially recorded upon the acquisition of NewHeights on August 2, 2007 and FirstHand on February 1, 2008. At the time of each acquisition and as of the date of the consolidated financial statements, the Company recognized the following:

                  April 30,  
      Acquisition Date     2019     2018  
  NewHeights $  6,339,717   CDN$ 6,704,947   $  4,990,578   $  5,221,202  
  FirstHand   2,083,960     2,083,752     1,550,712     1,622,373  
    $  8,423,677   CDN$ 8,788,699   $  6,541,290   $  6,843,575  

The Company performed its annual impairment test during the fourth quarter for the years ended April 30, 2019 and 2018 and concluded that there has been no impairment to the carrying amount.

Intangible Assets

The Company’s intangible assets consists of patents and trademarks. Costs related to granted patents are capitalized and amortized over the expected life of the patent which ranges from 16 to 20 years. Costs related to patent applications are expensed as incurred. Costs related to trademarks are capitalized and are not amortized as the Company expects such trademarks to be used indefinitely.

Foreign Currency Translation

The Company’s functional currency is the U.S. dollar. The Company’s wholly-owned subsidiaries with a functional currency other than the U.S. dollar are translated into amounts in the reporting currency, U.S. dollars, in accordance with ASC Topic 830 “Foreign Currency Matters”. Revenues and expenses are translated at the average exchange rate prevailing during the periods. At each balance sheet date, assets and liabilities that are denominated in a currency other than U.S. dollars are adjusted to reflect the current exchange rate which may give rise to a foreign currency translation adjustment accounted for as a separate component of stockholders’ equity and included in comprehensive loss.

For transactions undertaken by the Company in foreign currencies, monetary assets and liabilities are translated into the functional currency at the exchange rate in effect at the end of the year. Non-monetary assets and liabilities are translated at the exchange rate prevailing when the assets were acquired or the liabilities assumed. Revenues and expenses are translated at the rate approximating the rate of exchange on the transaction date. Exchange gains and losses are included in the determination of net income (loss) for the year.

Accrued Warranty

The Company’s warranty policy generally provides for one year of warranty for its products. The Company records a liability for estimated warranty obligations at the date products are sold. The estimated cost of warranty coverage is based on the Company’s actual historical experience with its current products or similar products. For new products, the required reserve is based on historical experience of similar products until such time as sufficient historical data has been collected on the new product. Estimated liabilities for warranty exposures, which relate to normal product warranties and a one-year obligation to provide for potential future liabilities for product sales for the years ended April 30, 2019 and 2018 were as follows:

      Years Ended April 30,  
      2019     2018  
  Balance, beginning of year $  63,130   $  54,365  
  Usage during the year        
  Additions (reductions) during the year   (11,095 )   8,765  
  Balance, end of year $  52,035   $  63,130  

Fair Value of Financial Instruments

ASC 820, Fair Value Measurements, defines fair value as the price at which an asset could be exchanged or a liability transferred in an orderly transaction between knowledgeable, willing parties in the principal or most advantageous market for the asset or liability. Where available, fair value is based on observable market prices or derived from such prices. Where observable prices or inputs are not available, valuation models are applied which may involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the instruments or market and the instruments’ complexity.

Derivative Instruments

The Company accounts for derivative instruments, consisting of foreign currency forward contracts, pursuant to the provisions of ASC 815, Derivatives and Hedging (“ASC 815”). ASC 815 requires the Company to measure derivative instruments at fair value and record them in the balance sheet as either an asset or liability and expands financial reporting about derivative instruments and hedging activities by requiring enhanced disclosures to enable investors to better understand their effects on an entity’s financial position, results of operations and cash flows.  The Company does not use derivative instruments for trading purposes. ASC 815 also requires qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative agreements.

The Company also routinely enters into foreign currency forward contracts, not designated as hedging instruments, to protect the Company from fluctuations in exchange rates. Gains or losses arising out of marked to market fair value valuation of non-designated forward contracts are recognized in net income.

The Company records foreign currency option and forward contracts on its Consolidated Balance Sheets as derivative assets or liabilities depending on whether the fair value of such contracts is a net asset or net liability, respectively. See Note 7 - Derivative Instruments for further detail. The Company did not enter any foreign currency derivatives designated as cash flow hedges during the years ended April 30, 2019 and 2018.

Income Taxes

The Company accounts for income taxes by the asset and liability method in accordance with ASC Topic 740 “Income Taxes”. Under this method, current income taxes are recognized for the estimated income taxes payable for the current year. Deferred income tax assets and liabilities are recognized in the current year for temporary differences between the tax and accounting bases of assets and liabilities as well as for the benefit of losses available to be carried forward to future years for tax purposes that are likely to be realized. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will not be realized.

Under ASC 740, the Company also adopted a two-step approach to recognizing and measuring uncertain tax positions taken or expected to be taken in a tax return. The first step is to determine if the weight of available evidence indicates that it is more likely than not that the tax position will be sustained in an audit, including resolution of any related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement. The Company recognizes interest and penalties accrued on unrecognized tax benefits within general and administrative expense. To the extent that accrued interest and penalties do not ultimately become payable, amounts accrued will be reduced and reflected as a reduction in general and administrative expenses in the period that such determination is made.

Comprehensive Loss

Comprehensive loss is comprised of net profit or loss, and foreign currency translation adjustments.

Loss per Share

ASC 260 requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing net loss available to common shareholders by the weighted average number of common shares outstanding during the year. Diluted EPS gives effect to all dilutive potential common shares outstanding during the year including stock options and warrants using the treasury stock method. In computing diluted EPS, the average stock price for the year is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. For the year ended April 30, 2019, income per share excludes 1,249,940 (April 30, 2018 – 1,140,432) potentially dilutive common shares (related to stock options, deferred share units and warrants) as their effect was anti-dilutive.

Investment tax credits

Investment tax credits are accounted for under the cost reduction method whereby they are netted against the expense or property and equipment to which they relate. Investment tax credits are recorded when the qualifying expenditures have been incurred and if it is more likely than not that the tax credits will be realized.

Recently Issued Accounting Pronouncements

In August 2017, the FASB issued ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities, which amends the presentation and disclosure requirements and changes how companies assess effectiveness. The amendments are intended to more closely align hedge accounting with companies’ risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. This amendment is effective for annual periods beginning after December 15, 2018, including interim periods within those periods. Early application is permitted. The Company is currently assessing the future impact of this update on its consolidated financial statements and related disclosures.

In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other: Simplifying the Test for Goodwill Impairment, which amends the guidance to eliminate Step 2 from the goodwill impairment test. Instead, under the amendments in the new guidance, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. The entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The amendments will be effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. The Company is evaluating the impact of this amendment on its consolidated financial statements and related disclosures.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments: Measurement of Credit Losses on Financial Instruments, which amends the guidance on measuring credit losses on financial assets held at amortized cost. The amendment is intended to address the issue that the previous “incurred loss” methodology was restrictive for Company’s ability to record credit losses based on not yet meeting the “probable” threshold. The new language will require these assets to be valued at amortized cost presented at the net amount expected to be collected will a valuation provision. The amendments will be effective for fiscal years beginning after December 15, 2019. The Company is evaluating the impact of this amendment on our consolidated financial statements and related disclosures.

In February 2016, FASB issued ASU 2016-02, Leases. The guidance would require lessees to recognize most leases on their balance sheets as lease liabilities with corresponding right-of-use assets. The guidance is effective for annual and interim reporting periods beginning on or after December 15, 2018. The Company is currently evaluating the impact of its pending adoption of ASU 2016-02 on its consolidated financial statements.

v3.19.2
Revenue Recognition under ASC 606
12 Months Ended
Apr. 30, 2019
Revenue Recognition under ASC 606 [Text Block]
Note 3 Revenue Recognition under ASC 606
   
 
On May 1, 2018, the Company adopted the new accounting standard, ASC 606 “Revenue from Contracts with Customers” and all related amendments to the new accounting standard to contracts using the modified retrospective method. The Company recognized the cumulative effect of initially applying the new revenue recognition standard to contracts with open performance obligations as of May 1, 2018, as an adjustment to the opening balance of retained earnings. Results of the reporting period beginning May 1, 2018 are presented under ASC 606, while prior period amounts are not adjusted and continue to be reported in accordance with the Company's historic accounting under ASC 605.
   
 
Revenues from contracts with customers are recognized when control of promised goods and services is transferred to customers in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services.
   
  The Company recognizes revenue using the five-step model as prescribed by ASC 606:
 
  1)

Identification of the contract, or contracts, with a customer;

  2)

Identification of the performance obligations in the contract;

  3)

Determination of the transaction price;

  4)

Allocation of the transaction price to the performance obligations in the contract; and

  5)

Recognition of revenue when or as, the Company satisfies a performance obligation.

When a contract with a customer is signed, the Company assesses whether collection of the fees under the arrangement is probable. The Company estimates the amount to reserve for uncollectible amounts at the end of each reporting period based on the aging of the contract balance, current and historical customer trends, and communications with its customers. These reserves are recorded against the related accounts receivable.

The transaction price is the consideration that the Company expects to receive from its customers in exchange for its products or services. In determining the allocation of the transaction price, the Company identifies performance obligations in contracts with customers, which may include products, subscriptions to software and services, support, professional services and training. The Company allocates the transaction price to each performance obligation on a relative standalone selling price basis. The standalone selling price (“SSP”) is the price at which the Company would sell a promised product or service separately to a customer. The Company determines the SSP using information that may include market conditions or other observable inputs. In certain cases, the Company is able to establish a SSP based on observable prices for products or services sold separately. In these instances, the Company would use a single amount to estimate a SSP. If a SSP is not directly observable, for example when pricing is variable, the Company will use a range of SSP.

In certain circumstances, the Company may estimate SSP for a product or service by applying the residual approach. This approach has been most commonly used when certain perpetual software licenses are only sold bundled with one year of post-contract support or other services, and a price has not been established for the software.

Significant judgement is used to determine SSP and to determine the allocation of the transaction price based on the relative SSP of the various products and services. Estimating SSP is a formal process that includes review and approval by the Company’s management.

Software Revenue

The Company generates software revenue on a single fee per perpetual software license basis. The Company recognizes software revenue for perpetual licenses when control has transferred to the customer, which is generally at the time of delivery when the customer has the ability to deploy the licenses, provided all revenue recognition criteria have been met. If the revenue recognition criteria has not been met, the revenue is deferred or not recognized.

Subscription, support and maintenance

Revenue from the Company’s recurring subscription revenue from subscriptions related to our software as a service offering is recognized ratably over the contractual subscription term as control of the goods or services is transferred to the customer, beginning on the date that the subscription is made available to the customer. Support and maintenance revenue is generated from recurring annual software support and maintenance contracts for our perpetual software licenses and is recognized ratably over the term of the service period, which is generally twelve months. Support and maintenance services include e-mail and telephone support, unspecified rights to bug fixes and product updates and upgrades and enhancements available on a when-and-if available basis. Both subscription revenue and support and maintenance revenue are typically billed annually in advance based on the terms of the arrangement.

Professional services and other

Professional services and other revenue is generated through services including product configuration and customization, implementation, dedicated engineering and training. The amount of product configuration and customization required by a customer typically increases as the order size increases from a given customer. Services and pricing may vary depending upon a customer’s requirements for customization, implementation and training. Depending on the services to be provided, revenue from professional services and other is generally recognized at the time of delivery when the services have been completed and control has been transferred.

For contracts with elements related to customized network solutions and certain network build-outs or software systems that require significant modification or customization, the Company will recognize revenue using the percentage-of-completion method. In using the percentage-of-completion method, revenues are generally recorded based on completion of milestones as described in the agreement. Profit estimates on long-term contracts are revised periodically based on changes in circumstances and any losses on contracts are recognized in the period that such losses become known.

Unearned Revenue

Unearned revenue represent billings or payments received in advance of revenue recognition and is recognized upon transfer of control. Balances consist primarily of annual support and subscription services and professional services not yet provided as of the balance sheet date.

During the year ended April 30, 2019, the Company recognized $2,364,378 in revenue in its consolidated statements of operations that was previously recognized as unearned revenue in the consolidated balance sheets at May 1, 2018.

Costs to Obtain a Customer Contract

Sales commissions and related expenses are considered incremental and recoverable costs of acquiring customer contracts. These costs are capitalized and amortized on a systematic basis, consistent with the timing of revenue recognition over the anticipated benefit period of up to 3.5 years, depending on the products and services. The anticipated benefit period was estimated based on the average length of applicable customer contracts and includes the contract term and any anticipated renewal periods. This amortization expense is recorded in sales and marketing expense within the Company's consolidated statement of operations. The Company has elected to apply a practical expedient that permits the Company to expense costs to obtain a contract as incurred, if the anticipated benefit period is one year or less. From time to time, management will revisit the estimates used in recognizing the costs to obtain customer contracts.

During the year ended April 30, 2019, the Company capitalized approximately $607,166 of costs to obtain revenue contracts of which $134,033 was recorded as an adjustment to opening retained earnings at the adoption of ASC 606 and amortized approximately $272,785 of commissions to sales and marketing expense. Capitalized costs to obtain a revenue contract on the Company's condensed consolidated balance sheets totaled approximately $200,348 at April 30, 2019.

Costs to Fulfill a Customer Contract

Certain contract costs incurred to fulfill obligations under a contract are capitalized when such costs generate or enhance resources to be used in satisfying future performance obligations and the costs are deemed recoverable. Judgement is used in determining whether certain contract costs can be capitalized. These costs are capitalized and amortized on a systematic basis to match the timing of revenue recognition over the anticipated benefit period of up to 3.5 years, depending on the products and services. The anticipated benefit period was estimated based on the average length of applicable customer contracts and includes the contract term and any anticipated renewal periods. This amortization expense is recorded in cost of sales in the Company’s consolidated statement of operations. From time to time, management will review the capitalized costs for impairment and will also revisit the estimates used in recognizing the costs to fulfill customer contracts.

Transaction Price Allocated to the Remaining Performance Obligations

The Company expects to recognize approximately $2,966,102 and $156,528 in revenue during the years ended April 30, 2020 and April 30, 2021 respectively, under its customer contracts relating to fixed consideration associated with remaining performance obligations.

Adoption Impact of ASC 606

The Company recognized the cumulative effect of initially applying ASC 606 as an adjustment to retained earnings in the consolidated balance sheet as of May 1, 2018:

      Balance at     ASC 606     Balance at  
      April 30, 2018     Adjustments     May 1, 2018  
  Current assets:                  
       Deferred sales commissions costs $  –   $  70,248   $  70,248  
  Non-current assets:                  
       Deferred sales commissions costs $  –   $  63,785   $  63,785  
  Stockholders’ equity:                  
       Accumulated deficit $  (63,701,685 ) $  134,033   $  (63,567,652 )

The following tables summarize the adoption impact of ASC 606 on the Company's consolidated financial statements for the year ended April 30, 2019.

Selected Consolidated Income Statement Line Items:

      Year ended April 30, 2019  
            ASC 606     (As Reported)  
      ASC 605     Adjustments     ASC 606  
  Revenue:                  
  Software $  4,696,266   $  (35,606 ) $  4,660,660  
  Subscription, support and maintenance   5,371,408     (5,118 )   5,366,290  
  Professional services and other   690,274     47,680     737,954  
  Total revenue $  10,757,948   $  6,956   $  10,764,904  
                     
  Operating expenses:                  


  Sales and marketing $  4,128,113   $  (66,192 ) $  4,061,921  
  Loss from operations $  (5,239,909 ) $  73,148   $  (5,166,761 )
                     
  Net loss per share:                  
  Basic and diluted $  (0.85 ) $  0.01   $  (0.84 )

Selected Consolidated Balance Line Items:

      April 30, 2019  
            ASC 606     (As Reported)  
      ASC 605     Adjustments     ASC 606  
  Current assets:                  
  Deferred sales commissions costs $  –   $  122,777   $  122,777  
  Current liabilities:                  
  Unearned revenue $  2,600,682   $  (6,956 ) $  2,593,726  
  Non-current assets:                  
  Deferred sales commissions costs $  –   $  77,571   $  77,571  
  Stockholders’ equity:                  
  Accumulated deficit $  (68,774,483 ) $  193,392   $  (68,581,091 )

Selected Consolidated Statement of Cash Flows Line Items:

      Year ended April 30, 2019  
            ASC 606     (As Reported)  
      ASC 605     Adjustments     ASC 606  
  Net loss $  (5,086,587 ) $  73,148   $  (5,013,439 )
  Deferred sales commissions costs $  –   $  (61,705 ) $  (61,705 )
  Unearned revenue $  34,806   $  (6,956 ) $  27,850  
  Net cash provided by operating activities $  (3,447,866 ) $  4,487   $  (3,443,379 )

Disaggregation of Revenue

The Company disaggregates its revenue by geographic region. See Note 13 – Segmented Information for more information.

v3.19.2
Equipment
12 Months Ended
Apr. 30, 2019
Equipment [Text Block]
Note 4 Equipment
   
  The following presents the categories within equipment:
 
      April 30, 2019  
            Accumulated        
      Cost     Depreciation     Net  
  Computer hardware $  1,233,621   $  (1,186,210 ) $  47,411  
  Computer software   1,013,277     (1,013,277 )    
  Leasehold improvements   263,774     (256,911 )   6,863  
  Office furniture   194,702     (189,062 )   5,640  
  Websites   120,339     (120,339 )    
    $  2,825,713   $  (2,765,799 ) $  59,914  
 
      April 30, 2018  
            Accumulated        
      Cost     Depreciation     Net  
  Computer hardware $  1,193,527   $  1,109,268   $  84,259  
  Computer software   1,013,277     1,012,749     528  
  Leasehold improvements   263,774     236,112     27,662  
  Office furniture   194,702     185,332     9,370  
  Websites   120,339     120,339      
    $  2,785,619   $  2,663,800   $  121,819  
v3.19.2
Intangibles and Other Assets
12 Months Ended
Apr. 30, 2019
Intangibles and Other Assets [Text Block]
Note 5 Intangibles and Other Assets
   
The following tables presents the major components within intangibles and other assets for the years ended April 30, 2019 and 2018:
 
      April 30, 2019  
            Accumulated        
      Cost     Amortization     Net  
  Patents $  461,637   $  (417,609 ) $  44,028  
  Trademarks   175,100         175,100  
  Other assets   5,667         5,667  
    $  642,404   $  (417,609 ) $  224,795  
 
      April 30, 2018  
            Accumulated        
      Cost     Amortization     Net  
  Patents $  461,637   $  (411,788 ) $  49,849  
  Trademarks   165,462         165,462  
  Other assets   5,751         5,751  
    $  632,850   $  (411,788 ) $  221,062  

During the years ended April 30, 2019 and 2018, the Company recorded amortization expense related to patents of $5,821 and $3,500, respectively. The weighted average remaining amortization period for patents was 11.9 years and 13.2 years for the years ended April 30, 2019 and 2018, respectively.

The following table presents estimated future patent amortization for the next five years:

  Years ended April 30,      
  2020 $  4,248  
  2021   4,248  
  2022   4,248  
  2023   4,248  
  2024   4,248  
  Thereafter   22,788  
    $  44,028  
v3.19.2
Accounts Payable and Accrued Liabilities
12 Months Ended
Apr. 30, 2019
Accounts Payable and Accrued Liabilities [Text Block]
Note 6 Accounts Payable and Accrued Liabilities
   
  Accounts payable and accrued liabilities at April 30, 2019 and 2018 are comprised of the following:
 
      April 30,  
      2019     2018  
  Accounts payable – trade $  739,051   $  678,760  
  Accrued commissions   180,200     215,172  
  Accrued vacation   590,328     744,108  
  Third party software royalties   59,723     207,531  
  Other accrued liabilities   664,573     592,162  
    $  2,233,875   $  2,437,733  
v3.19.2
Derivative Instruments
12 Months Ended
Apr. 30, 2019
Derivative Instruments [Text Block]
Note 7 Derivative Instruments
   

In the normal course of business, the Company is exposed to fluctuations in the exchange rates associated with foreign currencies. The Company’s primary objective for holding derivative financial instruments is to manage foreign currency exchange rate risk.

   
 

Foreign Currency Exchange Rate Risk

   

A majority of the Company’s revenue activities are transacted in U.S. dollars. However, the Company is exposed to foreign currency exchange rate risk, inherent in conducting business globally in multiple currencies, primarily from its business operations in Canada.

   

The Company’s foreign currency risk management program includes entering into foreign currency derivatives at various times to mitigate the currency exchange rate risk on Canadian dollar denominated cash flows. These foreign currency forward and option contracts are considered non-designated derivative instruments and are not used for trading or speculative purposes. The changes in fair value and settlements are recorded in change in fair value of derivative instruments, net in the consolidated statement of operations.

   

During years ended April 30, 2019 and 2018, the Company did not enter into any designated cash flow hedge contracts.

The following table summarizes the notional amounts of the Company’s outstanding derivative instruments:

        April 30,     April 30,  
  Fair value of Undesignated Derivatives     2019     2018  
  Foreign currency option contracts   $  1,500,000   $  –  

The following table presents the fair values of the Company’s derivative instruments on a gross basis as reflected on the Company’s consolidated balance sheets. The Company did not have any outstanding derivative contracts as of April 30, 2018.

        April 30, 2019  
        Derivative     Derivative  
  Fair value of Undesignated Derivatives     Assets     Liabilities  
  Foreign currency option contracts   $  1,178   $  4,512  
 

During the year ended April 30, 2019, the Company recorded a gain of $3,334 resulting from the change in fair value of derivative instruments. No such gains or losses were recorded in the prior year as the Company did not enter into any forward and option contracts.

v3.19.2
Fair Value Measurements
12 Months Ended
Apr. 30, 2019
Fair Value Measurements [Text Block]
Note 8

Fair Value Measurements

   

Assets and liabilities recorded at fair value in the consolidated financial statements are categorized based upon the level of judgment associated with the inputs used to measure their fair value. Hierarchical levels directly related to the amount of subjectivity associated with the inputs to valuation of these assets or liabilities are set forth below. Transfers between levels are recognized at the end of each quarter. The Company did not recognize any transfers between levels during the periods presented.

   
 

Level 1—Inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities.

   

Level 2—Inputs (other than quoted prices included in Level 1) are observable for the asset or liability, either directly or indirectly such as interest rates, foreign exchange rates, and yield curves that are observable at commonly quoted intervals.

   

Level 3— unobservable inputs for the asset or liability which are typically based on an entity’s own assumptions, as there is little, if any, related market activity.

   

Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.

   

The carrying values of financial instruments classified as current assets and current liabilities approximates their fair values, based on the nature and short maturity of these instruments, and are presented in the Company’s financial statements at carrying cost.

 
      Carrying           Fair Value        
  As at April 30, 2019   Amount     Fair Value     Levels     Reference  
  Assets                        
  Cash $  1,862,458   $  1,862,458     1     N/A  
  Foreign currency option contracts   1,178     1,178     2     Note 7  
    $  1,863,636   $  1,863,636              
                           
  Liabilities                        
  Foreign currency option contracts $  4,512   $  4,512     2     Note 7  
 
      Carrying           Fair Value        
  As at April 30, 2018   Amount     Fair Value     Levels     Reference  
  Cash $  2,348,883   $  2,348,883     1     N/A  

Financial Instruments Not Measured at Fair Value

The following table presents the Company’s liability that is not measured at fair value as of April 30, 2019, but for which fair value is available:

      Carrying           Fair Value        
  As at April 30, 2019   Amount     Fair Value     Levels     Reference  
  Loan payable $  3,000,000   $  2,934,538     2     Note 9  
 

Loan payable is presented on the consolidated balance sheets at carrying cost. The fair value of the fixed interest rate loan is estimated based on observable market prices or inputs. Where observable prices or inputs are not available, valuation models are applied using the net present value of cash flow streams over the term, using estimated market rates for similar instruments and remaining terms.

v3.19.2
Loan Payable
12 Months Ended
Apr. 30, 2019
Loan Payable [Text Block]
Note 9

Loan Payable

   

On October 10, 2018, the Company entered into a loan agreement (the “Loan Agreement”) with Wesley Clover International Corporation and KMB Trac Two Holdings Ltd for an aggregate principal amount of up to $3,000,000. Pursuant to the terms of the Loan Agreement, the loan is unsecured and will be made available in multiple advances at the discretion of the Company and will bear interest at a rate of 8% per year, payable monthly. The outstanding principal and any accrued interest may be prepaid without penalty and is to be fully repaid on the second anniversary of the first advance.

   

As of April 30, 2019, the principal balance of the loan payable was $3,000,000. This balance is to be repaid on or before October 11, 2020. During the year ended April 30, 2019, the Company recognized interest expense of $68,822 in the consolidated statement of operations. See Note 11 – Related Party Transactions and Note 17 – Subsequent Events for further detail.

v3.19.2
Common Stock
12 Months Ended
Apr. 30, 2019
Common Stock [Text Block]
Note 10

Common Stock

   
 

Private Placements

   

On January 24, 2018, the Company issued an aggregate of 427,500 shares of common stock under a non-brokered private placement at a price of $4.01 per share for total gross proceeds of $1,714,275 less issuance costs of $48,325.

   

On July 20, 2017, the Company issued an aggregate of 539,240 shares of common stock under a non-brokered private placement at a price of $2.20 per share for total gross proceeds of $1,186,328 less issuance costs of $19,832.

   
 

Shares Issued Pursuant to a Consulting Agreement

   

On October 16, 2017, the Company entered into an agreement to issue 14,000 shares of the Company’s common stock in exchange for investor relation services. The agreement was terminated on April 8, 2018 as the services were no longer required. Pursuant to the terms of the agreement, upon termination, 7,211 shares of common stock were returned to the Company.

Normal Course Issuer Bid Plan

During the year ended April 30, 2018, the Company repurchased 13,600 shares of common stock at an average price of approximately $2.49 (CDN$3.18), for a total of approximately $33,119 (CDN$43,218) pursuant to a normal course issuer bid effective during the period.

On March 27, 2018, the Company filed a normal course issuer bid commencing on March 29, 2018 which expired on March 28, 2019. Under this normal course issuer bid, the Company was authorized to purchase up to 284,278 shares of its common stock through the facilities of the TSX and other Canadian marketplaces or U.S. marketplaces. As of April 30, 2019, a total of 153,988 shares have been cancelled.

Stock Options

The Company has a stock option plan (the “2010 Stock Option Plan”) under which options to purchase common shares of the Company may be granted to employees, directors and consultants. The 2010 Stock Option Plan is effectively a merging of the Company’s 2004 and 2005 stock option plans. Stock options entitle the holder to purchase common stock at a subscription price determined by the Board of Directors of the Company at the time of the grant. The options generally vest in the amount of 12.5% on the date which is six months from the date of grant and then beginning in the seventh month at 1/42 per month for 42 months, at which time the options are fully vested.

The maximum number of shares of common stock authorized by the stockholders and reserved for issuance by the Board under 2010 Stock Option Plan is 1,186,000.

The Company uses the Black-Scholes option pricing model to determine the fair value of stock options granted. In accordance with ASC 718 “Share-Based Payment” for employees, the compensation expense is amortized on a straight-line basis over the requisite service period which approximates the vesting period. Compensation expense for stock options granted to non-employees is amortized over the vesting period or, if none exists, over the service period. Compensation associated with unvested options granted to non-employees is re-measured on each balance sheet date using the Black-Scholes option pricing model.

The expected volatility of options granted has been determined using the method described under ASC 718 using the historical stock price. The expected term of options granted to employees in the current fiscal period has been determined utilizing historic data as prescribed by ASC 718.

For non-employees, based on the Company’s history, the expected term of the options approximates the full term of the options. The risk-free interest rate is based on a treasury instrument whose term is consistent with the expected term of the stock options. The Company has not paid and does not anticipate paying dividends on its common stock; therefore, the expected dividend yield is assumed to be zero. In addition, ASC 718 requires companies to utilize an estimated forfeiture rate when calculating the expense for the period, whereas prior to the adoption of ASC 718 the Company recorded forfeitures based on actual forfeitures and recorded a compensation expense recovery in the period when the awards were forfeited. As a result, based on the Company’s experience, the Company applied an estimated forfeiture rate of 15% for year ended April 30, 2019 and 2018 in determining the expense recorded in the accompanying consolidated statement of operations.

For the majority of the stock options granted, the number of shares issued on the date the stock options are exercised is net of the minimum statutory withholding requirements that the Company pays in cash to the appropriate taxing authorities on behalf of its employees. These withheld shares are not issued or considered common stock repurchases under the Company’s authorized plan and are not included in the common stock repurchase totals. In the consolidated financial statements, these withheld shares are netted against the number of shares that would have been issued upon vesting.

The weighted-average fair values of options granted during the years ended April 30, 2019 and 2018 were $0.82 and $1.90, respectively. The weighted-average assumptions utilized to determine such values are presented in the following table:

    Year Ended   Year Ended
    April 30, 2019   April 30, 2018
  Risk-free interest rate 2.7%   2.14%
  Expected volatility 77.2%   95.55%
  Expected term 3.7 years   3.7 years
  Dividend yield 0%   0%

The following is a summary of the status of the Company’s stock options as of April 30, 2019 and the stock option activity during the years ended April 30, 2019 and 2018:

      Number of     Weighted-Average  
      Options     Exercise Price  
  Outstanding at April 30, 2017   396,922   $  2.46  
  Granted   324,000   $  2.89  
  Exercised   (495 ) $  2.46  
  Forfeited / Cancelled   (15,385 ) $  2.53  
  Expired   (30,000 ) $  2.50  
  Outstanding at April 30, 2018   675,042   $  2.66  
  Granted   221,000   $  1.45  
  Exercised   (35,500 ) $  2.50  
  Forfeited / Cancelled   (173,093 ) $  2.62  
  Expired   (71,000 ) $  2.50  
  Outstanding at April 30, 2019   616,449   $  2.27  
               
  Exercisable at April 30, 2019   239,551   $  $2.58  
  Exercisable at April 30, 2018   256,555   $  $2.47  

The following table summarizes information regarding stock options outstanding as of April 30, 2019:

    Number of     Aggregate           Number of     Aggregate  
Exercise   Options     Intrinsic           Options     Intrinsic  
Price   Outstanding     Value     Expiry Date     Exercisable     Value  
$1.41 – $1.42   197,500     88,795     12/14/2023 – 1/22/2024       $  –  
$2.03 – $2.41   74,272         12/14/2020 – 12/15/2021     56,947   $  –  
$2.46 – $2.50   123,582         7/17/2020 – 3/14/2022     108,932   $  –  
$2.51 – $2.89   221,095         12/14/2022 – 7/26/2023     73,672   $  –  
April 30, 2019   616,449     88,795           239,551   $  –  
                               
April 30, 2018   675,042   $  51,302           256,555   $  32,636  

The aggregate intrinsic value in the preceding table represents the total intrinsic value, based on the Company’s closing stock price of $1.86 per share as of April 30, 2019 (April 30, 2018 – $2.60), which would have been received by the option holders had all option holders exercised their options as of that date. The total number of in-the-money options vested and exercisable as of April 30, 2019 was zero (April 30, 2018 – 256,555). The total intrinsic value of options exercised during the year ended April 30, 2019 was $24,765 (2018 – $1,742). The grant date fair value of options vested during the year ended April 30, 2019 was $276,391 (April 30, 2018 – $269,423).

The following table summarizes information regarding the non-vested stock purchase options outstanding as of April 30, 2019:

      Number of     Grant-Date  
      Options     Fair Value  
  Non-vested options at April 30, 2017   175,183   $  3.49  
  Granted   324,000   $  1.90  
  Vested   (73,965 ) $  3.64  
  Forfeited   (6,731 ) $  1.98  
  Non-vested options at April 30, 2018   418,487   $  1.91  
  Granted   221,000   $  0.82  
  Vested   (136,323 ) $  2.03  
  Forfeited   (126,266 ) $  1.72  
  Non-vested options at April 30, 2019   376,898   $  1.30  

As of April 30, 2019, there was $373,324 of total unrecognized compensation cost related to unvested stock options. This unrecognized compensation cost is expected to be recognized over a weighted average period of 2.9 years.

Employee and non-employee stock-based compensation amounts classified in the Company’s consolidated statements of operations for the year ended April 30, 2019 and 2018 were as follows:

      Years Ended  
      April 30,  
      2019     2018  
  Cost of sales $  48,608   $  55,444  
  Sales and marketing   71,811     84,685  
  Research and development   48,405     60,964  
  General and administrative   65,755     129,227  
  Total stock-based compensation $  234,579   $  330,320  

Warrants

On September 4, 2015, the Company completed a non-brokered private placement (the “Private Placement”) of 293,000 units, at a price of $5.00 per unit, for gross aggregate proceeds of $1,465,000 less stock issuance costs of $23,161. Each unit consists of one share of common stock and one-half of one non-transferable common share purchase warrant. Each whole warrant entitled the holder to purchase one additional share of the Company’s common stock at an exercise price of $7.50 per share until September 4, 2017.

The following tables summarize information regarding the warrants outstanding as of April 30, 2019 and April 30, 2018.

            Weighted        
      Number of     Average        
      Warrants     Exercise Price     Expiry Dates  
  Warrants at April 30, 2017   146,500   $  7.50     September 4, 2017  
  Granted     $  –      
  Exercised     $  –      
  Expired   (146,500 ) $  7.50     September 4, 2017  
  Warrants at April 30, 2018     $  –      
  Granted     $  –      
  Exercised     $  –      
  Expired     $  –      
  Warrants at April 30, 2019     $  –      

Employee Stock Purchase Plan

Under the terms of the Employee Stock Purchase Plan (the “ESPP”) all regular salaried (non-probationary) employees can purchase up to 6% of their base salary in common shares of the Company at market price. The Company will match 50% of the shares purchased by issuing or purchasing in the market up to 3% of the respective employee’s base salary in shares. During the year ended April 30, 2019, the Company matched $25,012 (2018 - $43,614) in shares purchased by employees under the ESPP. During the year ended April 30, 2019, 26,945 shares (2018 – 16,696) were purchased on the open market and 12,820 shares (2018 – 24,699) were issued from treasury under the ESPP.

A total of 220,000 shares have been reserved for issuance under the ESPP. As of April 30, 2019, a total of 147,802 shares were available for issuance under the ESPP.

Deferred Share Unit Plan

Under the terms of the DSUP which is effective as at October 22, 2009, each deferred share unit (each, a “DSU”) is equivalent to one share of common stock. The maximum number of shares of common stock that may be reserved for issuance to any one participant pursuant to DSUs granted under the DSUP and any share compensation arrangement is 5% of the number of shares of common stock of the Company outstanding at the time of reservation. A DSU granted to a participant who is a director of the Company shall vest immediately on the award date. A DSU granted to a participant other than a director will generally vest as to one-third (1/3) of the number of DSUs granted on the first, second and third anniversaries of the award date. Fair value of the DSUs, which is based on the closing price of the Company’s common stock on the date of grant, is recorded as compensation expense over the vesting period.

On September 12, 2017, the maximum number of shares of common stock authorized by the Company’s stockholders reserved for issuance under the DSUP was increased from 500,000 shares to 700,000 shares. During the year ended April 30, 2019, 236,981 (2018 — 119,998) DSUs were issued under the DSUP, of which 168,491 were granted to officers or employees and 68,490 were granted to non-employee directors. Of the 236,981 granted to officers and employees, 45,661 was forfeited during the year. As of April 30, 2019, a total of 42,495 shares were available for issuance under the DSUP.

The following table summarizes the Company’s outstanding DSU awards as of April 30, 2019 and 2018, and changes during the period then ended:

            Weighted Average  
            Grant Date Fair  
      Number of DSUs     Value  
  DSUs at April 30, 2017   345,392   $  7.85  
  Granted   119,998   $  2.21  
  Conversions     $  –  
  Outstanding at April 30, 2018   465,390   $  6.40  
  Granted   236,981   $  2.05  
  Forfeited   (68,880 ) $  2.42  
  Outstanding at April 30, 2019   633,491   $  5.20  

As of April 30, 2019, there was $178,984 (2018 – $73,615) of total unrecognized compensation cost related to unvested DSU awards. This unrecognized compensation cost is expected to be recognized over a weighted average period of 2.42 years (2018 – 1.98 years). The total fair value of DSUs that vested during the year was $262,165 (2018 – $308,163).

Employee and non-employee DSU based compensation amounts classified in the Company’s consolidated statements of operations for the year ended April 30, 2019 and 2018 are as follows:

      Year Ended  
      April 30,  
      2019     2018  
  General and administrative $  240,147   $  274,246  

The following table summarizes information regarding the non-vested DSUs outstanding as of April 30, 2019:

            Weighted Average  
      Number of     Grant Date Fair  
      DSUs     Value per Unit  
  Non-vested DSUs at April 30, 2017   46,217   $  4.58  
  Granted   119,998   $  2.21  
  Vested   (101,963 ) $  3.02  
  Non-vested DSUs at April 30, 2018   64,252   $  2.62  
  Granted   236,981   $  2.05  
  Vested   (97,913 ) $  2.68  
  Forfeited   (68,880 ) $  2.41  
  Non-vested DSUs at April 30, 2019   134,440   $  1.67  
v3.19.2
Related Party Transactions
12 Months Ended
Apr. 30, 2019
Related Party Transactions [Text Block]
Note 11 Related Party Transactions
   
On October 10, 2018, the Company entered into a loan agreement (the “Loan Agreement”) with Wesley Clover International Corporation (“Wesley Clover”), a company controlled by the Chairman of the Company, and KMB Trac Two Holdings Ltd. (“KMB Trac Two Holdings”), a company owned by the spouse of a director of the Company. As of April 30, 2019, the principal balance of the loan payable due to Wesley Clover and KMB Trac Two Holdings was $1,500,000 and $1,500,000, respectively. During the year ended April 30, 2019, the Company paid $26,301 in interest to each of Wesley Clover and KMB Trac Two Holdings. As of April 30, 2019, the Company owed $8,110 in interest payable to each party.
   
During the year ended April 30, 2019, the Company through its wholly owned subsidiary, CounterPath Technologies Inc., paid $83,551 (2018 - $83,957) to Kanata Research Park Corporation (“KRP”) for leased office space. KRP is controlled by the Chairman of the Company.
   
On November 21, 2013, the Company, through its wholly owned subsidiary, CounterPath Technologies, entered into an agreement with 8007004 (Canada) Inc. (“8007004”) to lease office space. 8007004 was controlled by a member of the board of directors of the Company. CounterPath Technologies, paid $30,846 (2018 - $31,686) for the year ended April 30, 2019.
   
On January 24, 2018, the Company issued an aggregate of 427,500 shares of common stock under a non-brokered private placement (“Private Placement”) at a price of $4.01 per share for total gross proceeds of $1,714,275 less issuance costs of $48,325. In connection with the Private Placement, Wesley Clover purchased 125,000 shares and KMB Trac Two Holdings purchased 125,000 shares.
   
On July 20, 2017, our Company issued an aggregate of 539,240 shares of common stock under a non-brokered private placement at a price of $2.20 per share for total gross proceeds of $1,186,328 less issuance costs of $19,832. In connection with this private placement, Wesley Clover purchased 144,357 shares, KMB Trac Two Holdings purchased 180,446 shares, the former chief executive officer and a director of the Company, purchased 11,368 shares, the chief financial officer of the Company, purchased 4,511 shares, and the executive vice president, sales and marketing of the Company, purchased 4,545 shares.
 

The above transactions are in the normal course of operations and are recorded at amounts established and agreed to between the related parties.

v3.19.2
Income Taxes
12 Months Ended
Apr. 30, 2019
Income Taxes [Text Block]
Note 12

Income Taxes

   

Deferred tax assets and liabilities are recognized for temporary differences between the carrying amount of the balance sheet items and their corresponding tax values as well as for the benefit of losses available to be carried forward to future years for tax purposes that are likely to be realized.

   

Significant components of the Company’s deferred tax assets and liabilities, after applying enacted corporate income tax rates, are as follows:

 
      Years Ended  
      April 30,  
      2019     2018  
  Tax loss carry forwards $  14,805,000   $  13,606,000  
  Capital losses carried forward   240,000     242,000  
  Equipment   142,000     133,000  
  Other   7,000     12,000  
  Bad debt   227,000     109,000  
  Nondeductible research and development expenses   2,971,000     2,993,000  
  Investment tax credits   436,000     439,000  
  Other intangibles   428,000     431,000  
  Acquired technology   (383,000 )   (183,000 )
  Valuation allowance established by management   (18,874,000 )   (17,782,000 )
  Net deferred tax assets $  –   $  –  

The provision for income taxes differ from the amount calculated using the U.S. federal and state statutory income tax rates as follows:

      Years Ended  
      April 30,  
      2019     2018  
  Tax (recovery) based on U.S. rates $  (1,053,000 ) $  (957,000 )
  Foreign tax rate differential   32,000     (20,000 )
  Non-deductible stock option compensation   101,000     182,000  
  Effect of reduction (increase) in statutory rates   (203,000 )   6,648,000  
  Foreign exchange losses on revaluation of deferred tax balances   411,000     (464,000 )
  Under provision relating to prior year   (380,000 )   (72,000 )
  Expiry of non-operating losses       706,000  
  Increase in valuation allowance   1,092,000     (6,023,000 )
  Income tax expense for year $  –   $  –  

On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was enacted, which significantly revised the ongoing U.S. corporate income tax law by lowering the U.S. federal corporate income tax rate from 35% to 21%. The Tax Act also incorporated changes to certain international tax provisions, including the implementation of a territorial tax system that imposed a one-time tax on foreign unremitted earnings. The Company did not anticipate that the foreign provisions would have an impact to the Company’s taxes. However, guidance on how provisions of the U.S. Tax Act will be applied or otherwise administered are still being issued by the U.S. Treasury Department, the IRS, and other standard-setting bodies. Adjustments to amounts that we have previously recorded that may materially impact our provision for income taxes may be made as future guidance is issued.

As at April 30, 2019, the Company had net operating loss carry-forwards available to reduce taxable income in future years as follows:

  Country         Amount     Expiration Dates  
  United States – US$       $  51,886,000     2027 – 2039  
  United States – US$       $  5,757,000 (1)   Indefinite  
  Canada – CDN$       $  13,437,000 (2)   2023 – 2039  

(1) Net operating losses arising in tax year beginning after December 31, 2017 can be carried forward indefinitely instead of 20 years and carrybacks are no longer permitted. However, the net operating loss carryforward is limited and can only offset 80% of taxable income.

(2) These losses are subject to tax legislation that limits the use of the losses against future income of the Company’s Canadian subsidiaries.

The Company is subject to taxation in the U.S. and Canada. It is subject to tax examinations by tax authorities for all taxation years commencing in or after 2002. The Company does not expect any material increase or decrease in its income tax expense in the next twelve months related to examinations or changes in uncertain tax positions.

Changes in the Company’s uncertain tax positions for the year ended April 30, 2019 and April 30, 2018 were as follows:

      Years Ended  
      April 30,  
      2019     2018  
  Balance at beginning of year $  9,763   $  9,763  
  Increases related to prior year tax positions (interest and penalties)        
  Increases related to current year tax positions (interest and penalties)        
  Settlements        
  Lapses in statute of limitations        
  Balance at end of year $  9,763   $  9,763  
v3.19.2
Segmented Information
12 Months Ended
Apr. 30, 2019
Segmented Information [Text Block]
Note 13 Segmented Information
   

The Company’s chief operating decision maker reviews financial information presented on a consolidated basis, accompanied by disaggregated information about revenues by geographic region for purposes of making operating decisions and assessing financial performance. Accordingly, the Company has concluded that it has one reportable operating segment.

Revenues are categorized based on the country in which the customer is located. The following is a summary of total revenues by geographic area for the years ended April 30, 2019 and 2018:

      Years Ended  
      April 30,  
      2019     2018  
  North America $  6,768,821   $  6,916,556  
  EMEA   2,505,828     3,961,595  
  Asia Pacific   1,042,197     950,131  
  Latin America   448,058     553,459  
    $  10,764,904   $  12,381,741  

All of the Company’s long-lived assets, which includes equipment, goodwill and intangibles and other assets are located in Canada and the United States as follows:

      As at April 30,  
      2019     2018  
  Canada $  6,798,083   $  7,150,537  
  United States   27,916     35,919  
    $  6,825,999   $  7,186,456  
v3.19.2
Commitments
12 Months Ended
Apr. 30, 2019
Commitments [Text Block]
Note 14 Commitments
   
  Total payable over the term of the lease agreements for the years ended April 30, are as follows:
 
      Office     Office           Voice        
      Leases –     Leases –     Total     Platform        
      Related     Unrelated     Office     Service        
      Party     Party     Leases     Contract     Total  
  2020 $  83,791   $  622,513   $  706,304   $  240,000   $  946,304  
  2021   83,791     550,035     633,826     220,000     853,826  
  2022   83,791     533,693     617,484         617,484  
  Thereafter   167,582     1,256,923     1,424,505         1,424,505  
    $  418,955   $  2,963,164   $  3,382,119   $  460,000   $  3,842,119  
v3.19.2
Contingencies
12 Months Ended
Apr. 30, 2019
Contingencies [Text Block]
Note 15 Contingencies
   

The Company is party to legal claims from time to time which arise in the normal course of business. These claims are not expected to have a material adverse effect on the financial position, results of operations or cash flows of the Company.

v3.19.2
Loss per share
12 Months Ended
Apr. 30, 2019
Loss per share [Text Block]
Note 16 Loss per share
   
  The following table shows the computation of basic and diluted loss per share:
 
      Year ended April 30,  
      2019     2018  
  Numerator            
       Income available to common stockholders $  (5,013,439 ) $  (3,220,670 )
               
  Denominator            
       Weighted average shares outstanding   5,942,096     5,496,201  
       Effect of dilutive securities (1) (2)        
      5,942,096     5,496,201  
               
  Basic and diluted loss per share $  (0.84 ) $  (0.59 )

(1) For the years ended April 30, 2019 and 2018, potentially dilutive securities including stock options and deferred share units totalling 1,249,940 and 1,140,432, respectively, were excluded from the computation of diluted loss per share because their effect was anti-dilutive.

(2) Diluted by assumed exercise of outstanding common share equivalents using the treasury stock method.

v3.19.2
Subsequent Event
12 Months Ended
Apr. 30, 2019
Subsequent Events [Text Block]
Note 17 Subsequent Events
   

On July 10, 2019, the Company entered into an amended loan agreement (the “Amendment Agreement”) with Wesley Clover International Corporation and KMB Trac Two Holdings Ltd. (collectively, the “Lenders”), pursuant to which to Lenders have agreed to amend the existing loan agreement (the “Loan Agreement”), together with the Amendment Agreement, to increase the maximum amount of the loan from $3,000,000 to $5,000,000 and to extend the term of the loan such that all outstanding principal and accrued interest is due on April 11, 2021.

v3.19.2
Summary of Significant Accounting Policies (Policies)
12 Months Ended
Apr. 30, 2019
Basis of Presentation and Principles of Consolidation [Policy Text Block]
Basis of Presentation and Principles of Consolidation
 
The accompanying consolidated financial statements have been prepared in accordance with the accounting principles generally accepted in the United States of America (“U.S. GAAP”) and are stated in U.S. dollars, except where otherwise disclosed.

These consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, CounterPath Technologies Inc., a company existing under the laws of the province of British Columbia, Canada, and BridgePort Networks, Inc. (“BridgePort”), a company incorporated under the laws of the state of Delaware and CounterPath LLC, a company formed on August 27, 2018, under the laws of the state of Delaware. The results of NewHeights Software Corporation (“NewHeights”), which subsequently was amalgamated with another subsidiary to become CounterPath Technologies Inc., are included from August 2, 2007, the date of acquisition. The results of FirstHand Technologies Inc. (“FirstHand”), which subsequently was amalgamated with CounterPath Technologies Inc., and BridgePort are included from February 1, 2008, the date of acquisition. All inter-company transactions and balances have been eliminated.

These consolidated financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities and commitments in the normal course of business.
Going Concern [Policy Text Block]
Going Concern
 
The Company has experienced recurring losses and has an accumulated deficit of $68,581,091 as of April 30, 2019. This is a result of flat to declining revenues due to a number of factors including an increased focus on building out the Company’s cloud-based subscription platform and a change from the current licensing model to subscription- based licensing which has not reached profitable operations resulting in substantial doubt about the Company’s ability to continue operating as a going concern.

To alleviate this situation, the Company has plans in place to improve its financial position and liquidity through additional financing, while executing on its growth strategy, and by managing and or reducing costs that are not expected to have an adverse impact on the ability to generate cash flows, as the transition to its software as a service platform and subscription licensing continues.

The Company has historically been able to manage liquidity requirements through cost management and cost reduction measures, supplemented with raising additional financing. On October 10, 2018, the Company entered into a loan agreement for an aggregate principal amount of up to $3,000,000 which was fully drawn as of April 30, 2019. See Note 9 – Loan Payable for further detail. On July 10, 2019, the Company entered into an amended loan agreement to increase the maximum amount of the loan to $5,000,000. See Note 17 – Subsequent Events for further detail. The Company does not have any other commitments to raise funds.

Use of Estimates [Policy Text Block]

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions which affect the amounts reported in these consolidated financial statements, the notes thereto, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates.

Reclassification [Policy Text Block]

Reclassification

Certain prior period balances have been reclassified to conform to the current period presentation in the Company’s consolidated financial statements and the accompanying notes.

Concentrations of Credit Risk [Policy Text Block]

Concentrations of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and accounts receivable. The Company has exposure to credit risk to the extent cash balances exceed amounts covered by federal deposit insurance; however, the Company believes that its credit risk on cash balances is immaterial. The Company is also subject to concentrations of credit risk in its accounts receivable. The Company monitors and actively manages its receivables, and from time to time will insure certain receivables with higher credit risk and may require collateral or other securities to support its accounts receivable.

The table below presents significant customers who accounted for greater than 10% of total accounts receivable as of April 30, 2019 and 2018:

      April 30,     April 30,  
      2019     2018  
  Customer A   13%     2%  
  Customer B   7%     13%  
  Customer C   –%     18%  
Accounts Receivable and Allowance for Doubtful Accounts [Policy Text Block]

Accounts Receivable and Allowance for Doubtful Accounts

Accounts receivable are presented net of an allowance for doubtful accounts.

      Years Ended April 30,  
      2019     2018  
  Balance of allowance for doubtful accounts, beginning of year $  322,638   $  80,232  
  Bad debt provision   1,082,440     578,024  
  Write-off of receivables   (785,564 )   (335,618 )
  Balance of allowance for doubtful accounts, end of year $  619,514   $  322,638  

The Company determines the allowance for doubtful accounts by considering a number of factors, including the length of time the accounts receivable are beyond the contractual payment terms, previous loss history, and the customer’s current ability to pay its obligation. When the Company becomes aware of a specific customer’s inability to meet its financial obligations to the Company, the Company records a charge to the allowance to reduce the customer’s related accounts.

Stock-Based Compensation [Policy Text Block]

Stock-Based Compensation

The Company adopted ASC 718 “Compensation – Stock Compensation”, using the modified prospective method on May 1, 2006. Under this application, the Company is required to record compensation expense, based on the fair value of the awards, for all awards granted after the date of adoption and for the unvested portion of previously granted awards that remain outstanding as at the date of adoption. In accordance with ASC 718, the compensation expense is amortized on a straight-line basis over the requisite service period which approximates the vesting period.

Stock options granted to non-employees were accounted for in accordance with ASC 718 and ASC 505-50 “Equity based payments to non-employees” and were measured at the fair value of the options as determined by an option pricing model on the measurement date and compensation expense is amortized over the vesting period or, if none exists, over the service period. With the adoption of ASC 718, the Company has elected to use the Black-Scholes option pricing model to determine the fair value of stock options granted. The Company has estimated the fair value of option awards to employees and non-employees for the years ended April 30, 2019 and April 30, 2018 using the assumptions more fully described in Note 10.

Equipment and Amortization [Policy Text Block]

Equipment and Amortization

Equipment is recorded at cost. Depreciation is provided for using the straight-line method over the estimated useful lives as follows:

  Computer hardware Two years
  Computer software Two years
  Leasehold improvements Shorter of lease term or estimated economic life
  Office furniture Five years
  Website Three years
Research and Development [Policy Text Block]

Research and Development

Research and development expense includes costs incurred to develop intellectual property. The costs for the development of new software and substantial enhancements to existing software are expensed as incurred until technological feasibility has been established, at which time any additional costs would be capitalized. Management has determined that technological feasibility is established at the time a working model of software is completed. Because management believes that the current process for developing software will be essentially completed concurrently with the establishment of technological feasibility, no costs have been capitalized to date.

Website Development Costs [Policy Text Block]

Website Development Costs

The Company recognizes the costs associated with developing a website in accordance with ASC Topic 350-40 “Intangibles – Internal Use Software”.

Internal and external costs incurred during the preliminary project stage are expensed as they are incurred. Training costs are not internal-use software development costs and, if incurred during this stage, are expensed as incurred.

These capitalized costs are amortized based on their estimated useful life over three years. Payroll and other related costs are not capitalized, as the amounts principally relate to maintenance.

Goodwill [Policy Text Block]

Goodwill

Goodwill represents the excess purchase price over the estimated fair value of net assets acquired and liabilities assumed as of the acquisition date. ASC Topic 350 “Intangibles – Goodwill” requires goodwill to be tested for impairment annually or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of the Company's business enterprise below its carrying value. These events or circumstances could include a significant change in the business climate, legal factors, operating performance indicators, competition, or sale or disposition of a significant portion of a reporting unit. Recoverability of goodwill is measured at the reporting unit level by comparing the reporting unit’s carrying amount, including goodwill, to the fair value of the reporting unit, which is measured based upon, among other factors, market multiples for comparable companies as well as a discounted cash flow analysis.

Management has determined that the Company operates as a single operating segment and consequently a single reporting unit due to the similar economic characteristics of its components and the nature of the products and services offered by those components. If the recorded value of the Company’s assets, including goodwill, and liabilities (“net book value”) of the reporting unit exceeds its fair value, an impairment loss may be required.

The Company reviews goodwill for impairment annually and whenever events or changes in circumstances indicate its carrying value may not be recoverable in accordance with FASB ASC 350, Goodwill and Other Intangible Assets. The provisions of ASC 350 require that a two-step impairment test be performed on goodwill. In the first step, the Company compares the fair value of its reporting unit to its carrying value. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that unit, goodwill is not considered impaired and the Company is not required to perform further testing. If the carrying value of the net assets assigned to the reporting unit exceeds the fair value of the reporting unit, then the Company must perform the second step of the impairment test in order to determine the implied fair value of the reporting unit’s goodwill. If the carrying value of our reporting unit’s goodwill exceeds its implied fair value, then the Company would record an impairment loss equal to the difference.

In September of 2011, FASB issued Accounting Standards Update 2011-08, “Intangibles—Goodwill and Other (Topic 350)”. Under the amendments of this update, an entity may first assess certain qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then performing the two-step impairment test is unnecessary.

Determining the fair value of the reporting unit involves the use of significant estimates and assumptions. These estimates and assumptions include future economic and market conditions and determination of appropriate market comparables. The Company bases its fair value estimates on assumptions management believes to be reasonable but that are unpredictable and inherently uncertain. Actual future results may differ from those estimates.

Goodwill was initially recorded upon the acquisition of NewHeights on August 2, 2007 and FirstHand on February 1, 2008. At the time of each acquisition and as of the date of the consolidated financial statements, the Company recognized the following:

                  April 30,  
      Acquisition Date     2019     2018  
  NewHeights $  6,339,717   CDN$ 6,704,947   $  4,990,578   $  5,221,202  
  FirstHand   2,083,960     2,083,752     1,550,712     1,622,373  
    $  8,423,677   CDN$ 8,788,699   $  6,541,290   $  6,843,575  

The Company performed its annual impairment test during the fourth quarter for the years ended April 30, 2019 and 2018 and concluded that there has been no impairment to the carrying amount.

Intangible Assets [Policy Text Block]

Intangible Assets

The Company’s intangible assets consists of patents and trademarks. Costs related to granted patents are capitalized and amortized over the expected life of the patent which ranges from 16 to 20 years. Costs related to patent applications are expensed as incurred. Costs related to trademarks are capitalized and are not amortized as the Company expects such trademarks to be used indefinitely.

Foreign Currency Translation [Policy Text Block]

Foreign Currency Translation

The Company’s functional currency is the U.S. dollar. The Company’s wholly-owned subsidiaries with a functional currency other than the U.S. dollar are translated into amounts in the reporting currency, U.S. dollars, in accordance with ASC Topic 830 “Foreign Currency Matters”. Revenues and expenses are translated at the average exchange rate prevailing during the periods. At each balance sheet date, assets and liabilities that are denominated in a currency other than U.S. dollars are adjusted to reflect the current exchange rate which may give rise to a foreign currency translation adjustment accounted for as a separate component of stockholders’ equity and included in comprehensive loss.

For transactions undertaken by the Company in foreign currencies, monetary assets and liabilities are translated into the functional currency at the exchange rate in effect at the end of the year. Non-monetary assets and liabilities are translated at the exchange rate prevailing when the assets were acquired or the liabilities assumed. Revenues and expenses are translated at the rate approximating the rate of exchange on the transaction date. Exchange gains and losses are included in the determination of net income (loss) for the year.

Accrued Warranty [Policy Text Block]

Accrued Warranty

The Company’s warranty policy generally provides for one year of warranty for its products. The Company records a liability for estimated warranty obligations at the date products are sold. The estimated cost of warranty coverage is based on the Company’s actual historical experience with its current products or similar products. For new products, the required reserve is based on historical experience of similar products until such time as sufficient historical data has been collected on the new product. Estimated liabilities for warranty exposures, which relate to normal product warranties and a one-year obligation to provide for potential future liabilities for product sales for the years ended April 30, 2019 and 2018 were as follows:

      Years Ended April 30,  
      2019     2018  
  Balance, beginning of year $  63,130   $  54,365  
  Usage during the year        
  Additions (reductions) during the year   (11,095 )   8,765  
  Balance, end of year $  52,035   $  63,130  
Fair Value of Financial Instruments [Policy Text Block]

Fair Value of Financial Instruments

ASC 820, Fair Value Measurements, defines fair value as the price at which an asset could be exchanged or a liability transferred in an orderly transaction between knowledgeable, willing parties in the principal or most advantageous market for the asset or liability. Where available, fair value is based on observable market prices or derived from such prices. Where observable prices or inputs are not available, valuation models are applied which may involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the instruments or market and the instruments’ complexity.

Derivative Instruments [Policy Text Block]

Derivative Instruments

The Company accounts for derivative instruments, consisting of foreign currency forward contracts, pursuant to the provisions of ASC 815, Derivatives and Hedging (“ASC 815”). ASC 815 requires the Company to measure derivative instruments at fair value and record them in the balance sheet as either an asset or liability and expands financial reporting about derivative instruments and hedging activities by requiring enhanced disclosures to enable investors to better understand their effects on an entity’s financial position, results of operations and cash flows.  The Company does not use derivative instruments for trading purposes. ASC 815 also requires qualitative disclosures about objectives and strategies for using derivatives, quantitative disclosures about fair value amounts of and gains and losses on derivative instruments, and disclosures about credit-risk-related contingent features in derivative agreements.

The Company also routinely enters into foreign currency forward contracts, not designated as hedging instruments, to protect the Company from fluctuations in exchange rates. Gains or losses arising out of marked to market fair value valuation of non-designated forward contracts are recognized in net income.

The Company records foreign currency option and forward contracts on its Consolidated Balance Sheets as derivative assets or liabilities depending on whether the fair value of such contracts is a net asset or net liability, respectively. See Note 7 - Derivative Instruments for further detail. The Company did not enter any foreign currency derivatives designated as cash flow hedges during the years ended April 30, 2019 and 2018.

Income Taxes [Policy Text Block]

Income Taxes

The Company accounts for income taxes by the asset and liability method in accordance with ASC Topic 740 “Income Taxes”. Under this method, current income taxes are recognized for the estimated income taxes payable for the current year. Deferred income tax assets and liabilities are recognized in the current year for temporary differences between the tax and accounting bases of assets and liabilities as well as for the benefit of losses available to be carried forward to future years for tax purposes that are likely to be realized. In addition, a valuation allowance is established to reduce any deferred tax asset for which it is determined that it is more likely than not that some portion of the deferred tax asset will not be realized.

Under ASC 740, the Company also adopted a two-step approach to recognizing and measuring uncertain tax positions taken or expected to be taken in a tax return. The first step is to determine if the weight of available evidence indicates that it is more likely than not that the tax position will be sustained in an audit, including resolution of any related appeals or litigation processes. The second step is to measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement. The Company recognizes interest and penalties accrued on unrecognized tax benefits within general and administrative expense. To the extent that accrued interest and penalties do not ultimately become payable, amounts accrued will be reduced and reflected as a reduction in general and administrative expenses in the period that such determination is made.

Comprehensive Loss [Policy Text Block]

Comprehensive Loss

Comprehensive loss is comprised of net profit or loss, and foreign currency translation adjustments.

Loss per Share [Policy Text Block]

Loss per Share

ASC 260 requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing net loss available to common shareholders by the weighted average number of common shares outstanding during the year. Diluted EPS gives effect to all dilutive potential common shares outstanding during the year including stock options and warrants using the treasury stock method. In computing diluted EPS, the average stock price for the year is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. For the year ended April 30, 2019, income per share excludes 1,249,940 (April 30, 2018 – 1,140,432) potentially dilutive common shares (related to stock options, deferred share units and warrants) as their effect was anti-dilutive.

Investment tax credits [Policy Text Block]

Investment tax credits

Investment tax credits are accounted for under the cost reduction method whereby they are netted against the expense or property and equipment to which they relate. Investment tax credits are recorded when the qualifying expenditures have been incurred and if it is more likely than not that the tax credits will be realized.

Recently Issued Accounting Pronouncements [Policy Text Block]

Recently Issued Accounting Pronouncements

In August 2017, the FASB issued ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities, which amends the presentation and disclosure requirements and changes how companies assess effectiveness. The amendments are intended to more closely align hedge accounting with companies’ risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. This amendment is effective for annual periods beginning after December 15, 2018, including interim periods within those periods. Early application is permitted. The Company is currently assessing the future impact of this update on its consolidated financial statements and related disclosures.

In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other: Simplifying the Test for Goodwill Impairment, which amends the guidance to eliminate Step 2 from the goodwill impairment test. Instead, under the amendments in the new guidance, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. The entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The amendments will be effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. The Company is evaluating the impact of this amendment on its consolidated financial statements and related disclosures.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments: Measurement of Credit Losses on Financial Instruments, which amends the guidance on measuring credit losses on financial assets held at amortized cost. The amendment is intended to address the issue that the previous “incurred loss” methodology was restrictive for Company’s ability to record credit losses based on not yet meeting the “probable” threshold. The new language will require these assets to be valued at amortized cost presented at the net amount expected to be collected will a valuation provision. The amendments will be effective for fiscal years beginning after December 15, 2019. The Company is evaluating the impact of this amendment on our consolidated financial statements and related disclosures.

In February 2016, FASB issued ASU 2016-02, Leases. The guidance would require lessees to recognize most leases on their balance sheets as lease liabilities with corresponding right-of-use assets. The guidance is effective for annual and interim reporting periods beginning on or after December 15, 2018. The Company is currently evaluating the impact of its pending adoption of ASU 2016-02 on its consolidated financial statements.

v3.19.2
Summary of Significant Accounting Policies (Tables)
12 Months Ended
Apr. 30, 2019
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]
      Years Ended April 30,  
      2019     2018  
  Balance of allowance for doubtful accounts, beginning of year $  322,638   $  80,232  
  Bad debt provision   1,082,440     578,024  
  Write-off of receivables   (785,564 )   (335,618 )
  Balance of allowance for doubtful accounts, end of year $  619,514   $  322,638  
Straight-line Method Estimations [Table Text Block]
  Computer hardware Two years
  Computer software Two years
  Leasehold improvements Shorter of lease term or estimated economic life
  Office furniture Five years
  Website Three years
Schedule of Goodwill [Table Text Block]
                  April 30,  
      Acquisition Date     2019     2018  
  NewHeights $  6,339,717   CDN$ 6,704,947   $  4,990,578   $  5,221,202  
  FirstHand   2,083,960     2,083,752     1,550,712     1,622,373  
    $  8,423,677   CDN$ 8,788,699   $  6,541,290   $  6,843,575  
Schedule of Product Warranty Liability [Table Text Block]
      Years Ended April 30,  
      2019     2018  
  Balance, beginning of year $  63,130   $  54,365  
  Usage during the year        
  Additions (reductions) during the year   (11,095 )   8,765  
  Balance, end of year $  52,035   $  63,130  
Trade Accounts Receivable [Member]  
Schedules of Concentration of Risk, by Risk Factor [Table Text Block]
      April 30,     April 30,  
      2019     2018  
  Customer A   13%     2%  
  Customer B   7%     13%  
  Customer C   –%     18%  
v3.19.2
Revenue Recognition under ASC 606 (Tables)
12 Months Ended
Apr. 30, 2019
Condensed Balance Sheet [Table Text Block]
      Balance at     ASC 606     Balance at  
      April 30, 2018     Adjustments     May 1, 2018  
  Current assets:                  
       Deferred sales commissions costs $  –   $  70,248   $  70,248  
  Non-current assets:                  
       Deferred sales commissions costs $  –   $  63,785   $  63,785  
  Stockholders’ equity:                  
       Accumulated deficit $  (63,701,685 ) $  134,033   $  (63,567,652 )
 
      April 30, 2019  
            ASC 606     (As Reported)  
      ASC 605     Adjustments     ASC 606  
  Current assets:                  
  Deferred sales commissions costs $  –   $  122,777   $  122,777  
  Current liabilities:                  
  Unearned revenue $  2,600,682   $  (6,956 ) $  2,593,726  
  Non-current assets:                  
  Deferred sales commissions costs $  –   $  77,571   $  77,571  
  Stockholders’ equity:                  
  Accumulated deficit $  (68,774,483 ) $  193,392   $  (68,581,091 )
Condensed Income Statement [Table Text Block]
      Year ended April 30, 2019  
            ASC 606     (As Reported)  
      ASC 605     Adjustments     ASC 606  
  Revenue:                  
  Software $  4,696,266   $  (35,606 ) $  4,660,660  
  Subscription, support and maintenance   5,371,408     (5,118 )   5,366,290  
  Professional services and other   690,274     47,680     737,954  
  Total revenue $  10,757,948   $  6,956   $  10,764,904  
                     
  Operating expenses:                  
 
  Sales and marketing $  4,128,113   $  (66,192 ) $  4,061,921  
  Loss from operations $  (5,239,909 ) $  73,148   $  (5,166,761 )
                     
  Net loss per share:                  
  Basic and diluted $  (0.85 ) $  0.01   $  (0.84 )
Condensed Cash Flow Statement [Table Text Block]
      Year ended April 30, 2019  
            ASC 606     (As Reported)  
      ASC 605     Adjustments     ASC 606  
  Net loss $  (5,086,587 ) $  73,148   $  (5,013,439 )
  Deferred sales commissions costs $  –   $  (61,705 ) $  (61,705 )
  Unearned revenue $  34,806   $  (6,956 ) $  27,850  
  Net cash provided by operating activities $  (3,447,866 ) $  4,487   $  (3,443,379 )
v3.19.2
Equipment (Tables)
12 Months Ended
Apr. 30, 2019
Property, Plant and Equipment [Table Text Block]
      April 30, 2019  
            Accumulated        
      Cost     Depreciation     Net  
  Computer hardware $  1,233,621   $  (1,186,210 ) $  47,411  
  Computer software   1,013,277     (1,013,277 )    
  Leasehold improvements   263,774     (256,911 )   6,863  
  Office furniture   194,702     (189,062 )   5,640  
  Websites   120,339     (120,339 )    
    $  2,825,713   $  (2,765,799 ) $  59,914  
 
      April 30, 2018  
            Accumulated        
      Cost     Depreciation     Net  
  Computer hardware $  1,193,527   $  1,109,268   $  84,259  
  Computer software   1,013,277     1,012,749     528  
  Leasehold improvements   263,774     236,112     27,662  
  Office furniture   194,702     185,332     9,370  
  Websites   120,339     120,339      
    $  2,785,619   $  2,663,800   $  121,819  
v3.19.2
Intangibles and Other Assets (Tables)
12 Months Ended
Apr. 30, 2019
Schedule of Finite-Lived Intangible Assets [Table Text Block]
      April 30, 2019  
            Accumulated        
      Cost     Amortization     Net  
  Patents $  461,637   $  (417,609 ) $  44,028  
  Trademarks   175,100         175,100  
  Other assets   5,667         5,667  
    $  642,404   $  (417,609 ) $  224,795  
 
      April 30, 2018  
            Accumulated        
      Cost     Amortization     Net  
  Patents $  461,637   $  (411,788 ) $  49,849  
  Trademarks   165,462         165,462  
  Other assets   5,751         5,751  
    $  632,850   $  (411,788 ) $  221,062  
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]
  Years ended April 30,      
  2020 $  4,248  
  2021   4,248  
  2022   4,248  
  2023   4,248  
  2024   4,248  
  Thereafter   22,788  
    $  44,028  
v3.19.2
Accounts Payable and Accrued Liabilities (Tables)
12 Months Ended
Apr. 30, 2019
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block]
      April 30,  
      2019     2018  
  Accounts payable – trade $  739,051   $  678,760  
  Accrued commissions   180,200     215,172  
  Accrued vacation   590,328     744,108  
  Third party software royalties   59,723     207,531  
  Other accrued liabilities   664,573     592,162  
    $  2,233,875   $  2,437,733  
v3.19.2
Derivative Instruments (Tables)
12 Months Ended
Apr. 30, 2019
Schedule of Derivative Instruments [Table Text Block]
        April 30,     April 30,  
  Fair value of Undesignated Derivatives     2019     2018  
  Foreign currency option contracts   $  1,500,000   $  –  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]
        April 30, 2019  
        Derivative     Derivative  
  Fair value of Undesignated Derivatives     Assets     Liabilities  
  Foreign currency option contracts   $  1,178   $  4,512  
v3.19.2
Fair Value Measurements (Tables)
12 Months Ended
Apr. 30, 2019
Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings [Table Text Block]
      Carrying           Fair Value        
  As at April 30, 2019   Amount     Fair Value     Levels     Reference  
  Assets                        
  Cash $  1,862,458   $  1,862,458     1     N/A  
  Foreign currency option contracts   1,178     1,178     2     Note 7  
    $  1,863,636   $  1,863,636              
                           
  Liabilities                        
  Foreign currency option contracts $  4,512   $  4,512     2     Note 7  
 
      Carrying           Fair Value        
  As at April 30, 2018   Amount     Fair Value     Levels     Reference  
  Cash $  2,348,883   $  2,348,883     1     N/A  
Schedule of Assets and Liabilities Not Measured at Fair Value [Table Text Block]
      Carrying           Fair Value        
  As at April 30, 2019   Amount     Fair Value     Levels     Reference  
  Loan payable $  3,000,000   $  2,934,538     2     Note 9  
v3.19.2
Common Stock (Tables)
12 Months Ended
Apr. 30, 2019
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]
    Year Ended   Year Ended
    April 30, 2019   April 30, 2018
  Risk-free interest rate 2.7%   2.14%
  Expected volatility 77.2%   95.55%
  Expected term 3.7 years   3.7 years
  Dividend yield 0%   0%
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]
      Number of     Weighted-Average  
      Options     Exercise Price  
  Outstanding at April 30, 2017   396,922   $  2.46  
  Granted   324,000   $  2.89  
  Exercised   (495 ) $  2.46  
  Forfeited / Cancelled   (15,385 ) $  2.53  
  Expired   (30,000 ) $  2.50  
  Outstanding at April 30, 2018   675,042   $  2.66  
  Granted   221,000   $  1.45  
  Exercised   (35,500 ) $  2.50  
  Forfeited / Cancelled   (173,093 ) $  2.62  
  Expired   (71,000 ) $  2.50  
  Outstanding at April 30, 2019   616,449   $  2.27  
               
  Exercisable at April 30, 2019   239,551   $  $2.58  
  Exercisable at April 30, 2018   256,555   $  $2.47  
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]
    Number of     Aggregate           Number of     Aggregate  
Exercise   Options     Intrinsic           Options     Intrinsic  
Price   Outstanding     Value     Expiry Date     Exercisable     Value  
$1.41 – $1.42   197,500     88,795     12/14/2023 – 1/22/2024       $  –  
$2.03 – $2.41   74,272         12/14/2020 – 12/15/2021     56,947   $  –  
$2.46 – $2.50   123,582         7/17/2020 – 3/14/2022     108,932   $  –  
$2.51 – $2.89   221,095         12/14/2022 – 7/26/2023     73,672   $  –  
April 30, 2019   616,449     88,795           239,551   $  –  
                               
April 30, 2018   675,042   $  51,302           256,555   $  32,636  
Schedule of Nonvested Performance-based Units Activity [Table Text Block]
      Number of     Grant-Date  
      Options     Fair Value  
  Non-vested options at April 30, 2017   175,183   $  3.49  
  Granted   324,000   $  1.90  
  Vested   (73,965 ) $  3.64  
  Forfeited   (6,731 ) $  1.98  
  Non-vested options at April 30, 2018   418,487   $  1.91  
  Granted   221,000   $  0.82  
  Vested   (136,323 ) $  2.03  
  Forfeited   (126,266 ) $  1.72  
  Non-vested options at April 30, 2019   376,898   $  1.30  
Schedule of Employee and Non-Employee Service Share-based Compensation Allocation of Recognized Period Costs [Table Text Block]
      Years Ended  
      April 30,  
      2019     2018  
  Cost of sales $  48,608   $  55,444  
  Sales and marketing   71,811     84,685  
  Research and development   48,405     60,964  
  General and administrative   65,755     129,227  
  Total stock-based compensation $  234,579   $  330,320  
Schedule of Stockholders' Equity Note, Warrants or Rights, Activity [Table Text Block]
            Weighted        
      Number of     Average        
      Warrants     Exercise Price     Expiry Dates  
  Warrants at April 30, 2017   146,500   $  7.50     September 4, 2017  
  Granted     $  –      
  Exercised     $  –      
  Expired   (146,500 ) $  7.50     September 4, 2017  
  Warrants at April 30, 2018     $  –      
  Granted     $  –      
  Exercised     $  –      
  Expired     $  –      
  Warrants at April 30, 2019     $  –      
Schedule of Stockholders Equity Deferred Share Unit Plan [Table Text Block]
            Weighted Average  
            Grant Date Fair  
      Number of DSUs     Value  
  DSUs at April 30, 2017   345,392   $  7.85  
  Granted   119,998   $  2.21  
  Conversions     $  –  
  Outstanding at April 30, 2018   465,390   $  6.40  
  Granted   236,981   $  2.05  
  Forfeited   (68,880 ) $  2.42  
  Outstanding at April 30, 2019   633,491   $  5.20  
Schedule of Allocation of Share Based Compensation Costs for Deferred Share Units [Table Text Block]
      Year Ended  
      April 30,  
      2019     2018  
  General and administrative $  240,147   $  274,246  
Schedule of Stockholders Equity Non Vested Deferred Share Units [Table Text Block]
            Weighted Average  
      Number of     Grant Date Fair  
      DSUs     Value per Unit  
  Non-vested DSUs at April 30, 2017   46,217   $  4.58  
  Granted   119,998   $  2.21  
  Vested   (101,963 ) $  3.02  
  Non-vested DSUs at April 30, 2018   64,252   $  2.62  
  Granted   236,981   $  2.05  
  Vested   (97,913 ) $  2.68  
  Forfeited   (68,880 ) $  2.41  
  Non-vested DSUs at April 30, 2019   134,440   $  1.67  
v3.19.2
Income Taxes (Tables)
12 Months Ended
Apr. 30, 2019
Schedule of Deferred Tax Assets and Liabilities [Table Text Block]
      Years Ended  
      April 30,  
      2019     2018  
  Tax loss carry forwards $  14,805,000   $  13,606,000  
  Capital losses carried forward   240,000     242,000  
  Equipment   142,000     133,000  
  Other   7,000     12,000  
  Bad debt   227,000     109,000  
  Nondeductible research and development expenses   2,971,000     2,993,000  
  Investment tax credits   436,000     439,000  
  Other intangibles   428,000     431,000  
  Acquired technology   (383,000 )   (183,000 )
  Valuation allowance established by management   (18,874,000 )   (17,782,000 )
  Net deferred tax assets $  –   $  –  
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]
      Years Ended  
      April 30,  
      2019     2018  
  Tax (recovery) based on U.S. rates $  (1,053,000 ) $  (957,000 )
  Foreign tax rate differential   32,000     (20,000 )
  Non-deductible stock option compensation   101,000     182,000  
  Effect of reduction (increase) in statutory rates   (203,000 )   6,648,000  
  Foreign exchange losses on revaluation of deferred tax balances   411,000     (464,000 )
  Under provision relating to prior year   (380,000 )   (72,000 )
  Expiry of non-operating losses       706,000  
  Increase in valuation allowance   1,092,000     (6,023,000 )
  Income tax expense for year $  –   $  –  
Summary of Operating Loss Carryforwards [Table Text Block]
  Country         Amount     Expiration Dates  
  United States – US$       $  51,886,000     2027 – 2039  
  United States – US$       $  5,757,000 (1)   Indefinite  
  Canada – CDN$       $  13,437,000 (2)   2023 – 2039  

(1) Net operating losses arising in tax year beginning after December 31, 2017 can be carried forward indefinitely instead of 20 years and carrybacks are no longer permitted. However, the net operating loss carryforward is limited and can only offset 80% of taxable income.

(2) These losses are subject to tax legislation that limits the use of the losses against future income of the Company’s Canadian subsidiaries.

Summary of Positions for which Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Table Text Block]
      Years Ended  
      April 30,  
      2019     2018  
  Balance at beginning of year $  9,763   $  9,763  
  Increases related to prior year tax positions (interest and penalties)        
  Increases related to current year tax positions (interest and penalties)        
  Settlements        
  Lapses in statute of limitations        
  Balance at end of year $  9,763   $  9,763  
v3.19.2
Segmented Information (Tables)
12 Months Ended
Apr. 30, 2019
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]
      Years Ended  
      April 30,  
      2019     2018  
  North America $  6,768,821   $  6,916,556  
  EMEA   2,505,828     3,961,595  
  Asia Pacific   1,042,197     950,131  
  Latin America   448,058     553,459  
    $  10,764,904   $  12,381,741  
Schedule of Long Lived Assets by Geographical Areas [Table Text Block]
      As at April 30,  
      2019     2018  
  Canada $  6,798,083   $  7,150,537  
  United States   27,916     35,919