Exhibit 12.1

 

Computation of Ratio of Earnings to Combined Fixed Charges

 

    Nine Months Ended September 30,     Year Ended December 31,  
    2017     2016     2015     2014     2013     2012  
Earnings:                                    
Loss from Operations before income taxes   $ (21,727,922 )   $ (19,998,675 )   $ (8,850,739 )   $ (2,540,485 )   $ (602,350 )   $ (0 )
Add:                                                
Interest portion of rental expense (1)     18,872     $ 20,673     $ 4,995     $ 3,200     $ 0     $ 0  
Interest expensed and capitalized     11,164       5,705       2,440       24,021       45,114       0  
Amortized premiums related to indebtedness     0       0       0       0       0       0  
Amortization of capitalized interest     0       0       0       0       0       0  
Less:                                                
Interest Capitalized     0       0       0       0       0       0  
Total Earnings   $ (21,697,886 )   $ (19,972,297 )   $ (8,843,304 )   $ (2,513,264 )   $ (557,236 )   $ (0 )
                                                 
Fixed Charges and Preference Dividends:                                                
Interest portion of rental expense (1)     18,872     $ 20,673     $ 4,995     $ 3,200     $ 0     $ 0  
Interest expensed and capitalized     11,164       5,705       2,440       24,021       45,114       0  
Amortized premiums related to indebtedness     0       0       0       0       0       0  
                                                 
Total Fixed Charges   $ 30,036     $ 26,378     $ 7,435     $ 27,221     $ 45,114     $ 0  
                                                 
Ratio of earnings to fixed charges and preference dividends       (2)       (2)       (2)       (2)       (2)       (2)
Coverage deficiency (3)   $ (21,727,922 )   $ (19,998,675 )   $ (8,850,739 )   $ (2,540,485 )   $ (602,350 )   $ (0 )
                                                 
(1) Computation of interest factor of rent expense                                                
                                                 
Operating rental expense   $ 209,687     $ 229,705     $ 55,496     $ 35,550     $ 0     $ 0  
Interest factor (*)     9 %     9 %     9 %     9 %     9 %     9 %
Total   $ 18,872     $ 20,673     $ 4,995     $ 3,200     $ 0     $ 0  

 

* Calculated as 9% of rent expense, which management believes is a reasonable approximation of the interest factor.

 

(2) Due to our losses from continuing operations for the nine months ended September 30, 2017 and for the years ended December 31, 2016, 2015, 2014, 2013 and 2012, earnings were insufficient to cover fixed charges by $21.7 million, $20.0 million, $8.9 million, $2.5 million, $0.6 million, and $0.0 million, respectively. For this reason, no ratios are provided.
   
(3) In each of the years presented, we incurred losses from operations and as a result our earnings were insufficient to cover over fixed charges.

 

The amount shown represents the amount of the coverage deficiency in each such period