Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 08, 2016 | Jun. 30, 2015 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | Chembio Diagnostics, Inc. | ||
Entity Central Index Key | 1,092,662 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Public Float | $ 47,274,700 | ||
Entity Common Stock, Shares Outstanding | 9,628,248 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 5,376,931 | $ 4,614,538 |
Accounts receivable, net of allowance for doubtful accounts of $52,000 and $52,000 at December 31, 2015 and 2014, respectively | 2,422,971 | 8,338,889 |
Inventories | 3,578,025 | 3,638,299 |
Prepaid expenses and other current assets | 1,256,879 | 1,066,473 |
TOTAL CURRENT ASSETS | 12,634,806 | 17,658,199 |
FIXED ASSETS, net of accumulated depreciation | 2,374,308 | 2,797,929 |
OTHER ASSETS: | ||
Deferred tax asset, net of valuation allowance | 5,467,143 | 4,031,302 |
License agreements, net of current portion | 100,000 | 256,875 |
Deposits on manufacturing equipment | 30,918 | 20,017 |
Deposits and other assets | 209,169 | 245,870 |
TOTAL ASSETS | 20,816,344 | 25,010,192 |
CURRENT LIABILITIES: | ||
Accounts payable and accrued liabilities | 2,801,432 | 4,946,030 |
Deferred R&D revenue | 353,406 | 340,000 |
Customer deposits | 0 | 0 |
Current portion of obligations under capital leases | 0 | 0 |
TOTAL CURRENT LIABILITIES | 3,154,838 | 5,286,030 |
OTHER LIABILITIES: | ||
Loans payable - net of current portion | 0 | 0 |
TOTAL LIABILITIES | $ 3,154,838 | $ 5,286,030 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS' EQUITY: | ||
Preferred stock - 10,000,000 shares authorized, none outstanding | $ 0 | $ 0 |
Common stock - $.01 par value; 100,000,000 shares authorized, 9,628,248 and 9,611,139 shares issued and outstanding for 2015 and 2014, respectively | 96,282 | 96,112 |
Additional paid-in capital | 47,890,642 | 47,556,426 |
Accumulated deficit | (30,325,418) | (27,928,376) |
TOTAL STOCKHOLDERS' EQUITY | 17,661,506 | 19,724,162 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 20,816,344 | $ 25,010,192 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
CURRENT ASSETS: | ||
Accounts receivable, allowance for doubtful accounts | $ 52,000 | $ 52,000 |
STOCKHOLDERS' EQUITY: | ||
Preferred stock - shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock - shares outstanding (in shares) | 0 | 0 |
Common stock - par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock - shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock - shares issued (in shares) | 9,628,248 | 9,611,139 |
Common stock - shares outstanding (in shares) | 9,628,248 | 9,611,139 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
REVENUES: | ||
Net product sales | $ 21,886,688 | $ 25,949,769 |
License and royalty revenue | 52,753 | 23,257 |
R&D, milestone and grant revenue | 2,316,044 | 1,672,258 |
TOTAL REVENUES | 24,255,485 | 27,645,284 |
Cost of product sales | 13,768,658 | 16,831,261 |
GROSS MARGIN | 10,486,827 | 10,814,023 |
OPERATING EXPENSES: | ||
Research and development expenses | 6,377,839 | 4,832,537 |
Selling, general and administrative expenses | 7,663,035 | 7,531,739 |
TOTAL OPERATING EXPENSES | 14,040,874 | 12,364,276 |
LOSS FROM OPERATIONS | (3,554,047) | (1,550,253) |
OTHER INCOME (EXPENSE): | ||
Interest income | 2,412 | 5,839 |
Other expense | (4,814) | (5,707) |
Interest expense | (836) | 0 |
TOTAL OTHER INCOME (EXPENSES) | (3,238) | 132 |
LOSS BEFORE INCOME TAXES (BENEFIT) | (3,557,285) | (1,550,121) |
Income tax provision (benefit) | (1,160,243) | (412,918) |
NET LOSS | $ (2,397,042) | $ (1,137,203) |
Basic loss per share | $ (0.25) | $ (0.12) |
Diluted loss per share | $ (0.25) | $ (0.12) |
Weighted average number of shares outstanding, basic (in shares) | 9,626,028 | 9,530,320 |
Weighted average number of shares outstanding, diluted (in shares) | 9,626,028 | 9,530,320 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) | Common Stock [Member] | Additional Paid in Capital [Member] | Accumulated Deficit [Member] | Total |
Balance at Dec. 31, 2013 | $ 93,248 | $ 46,875,027 | $ (26,791,173) | $ 20,177,102 |
Balance (in shares) at Dec. 31, 2013 | 9,324,783 | |||
Common Stock: | ||||
Noncontrolling Interest, Increase from Equity Issuance or Sale of Parent Equity Interest | $ 0 | 0 | 0 | |
Stock Issued During Period, Shares, Treasury Stock Reissued | 0 | |||
Warrants and options: | ||||
Exercised | $ 2,864 | 234,299 | 237,163 | |
Exercised (in shares) | 286,356 | |||
Stock option compensation | 447,100 | 447,100 | ||
Net loss | $ 0 | 0 | (1,137,203) | (1,137,203) |
Balance at Dec. 31, 2014 | $ 96,112 | 47,556,426 | (27,928,376) | 19,724,162 |
Balance (in shares) at Dec. 31, 2014 | 9,611,139 | |||
Warrants and options: | ||||
Exercised | $ 170 | (170) | 0 | 0 |
Exercised (in shares) | 17,109 | |||
Stock option compensation | $ 0 | 334,386 | 0 | 334,386 |
Net loss | 0 | 0 | (2,397,042) | (2,397,042) |
Balance at Dec. 31, 2015 | $ 96,282 | $ 47,890,642 | $ (30,325,418) | $ 17,661,506 |
Balance (in shares) at Dec. 31, 2015 | 9,628,248 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Cash received from customers and grants | $ 30,174,083 | $ 23,898,516 |
Cash paid to suppliers and employees | (28,382,681) | (27,724,654) |
Interest received | 2,412 | 5,839 |
Interest paid | (836) | 0 |
Net cash provided by (used in) operating activities | 1,792,978 | (3,820,299) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Acquisition of License | (550,000) | 0 |
Acquisition of and deposits on fixed assets | (480,585) | (1,452,601) |
Net cash used in investing activities | (1,030,585) | (1,452,601) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from option and warrant exercises | $ 0 | $ 237,163 |
Expenses from sale of common stock | ||
Proceeds from credit line | $ 700,000 | $ 0 |
Repayments of Lines of Credit | (700,000) | 0 |
Payment of capital lease obligation | 0 | 0 |
Net cash provided by (used in) financing activities | 0 | 237,163 |
(DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | 762,393 | (5,035,737) |
Cash and cash equivalents - beginning of the period | 4,614,538 | 9,650,275 |
Cash and cash equivalents - end of the period | 5,376,931 | 4,614,538 |
RECONCILIATION OF NET LOSS TO NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES: | ||
Net Loss | (2,397,042) | (1,137,203) |
Adjustments: | ||
Depreciation and amortization | 1,372,563 | 739,297 |
Provision for (benefit from) deferred taxes | (1,170,969) | (403,375) |
Recovery of doubtful accounts | 0 | 28,000 |
Share based compensation | 334,386 | 447,100 |
Changes in assets and liabilities: | ||
Accounts receivable | 5,915,918 | (3,774,768) |
Inventories | 60,274 | (449,573) |
Prepaid expenses and other current assets | (190,960) | 32,906 |
Deposits and other assets | 0 | (279,223) |
Accounts payable and accrued liabilities | (2,144,598) | 636,540 |
Customer deposits and deferred revenue | 13,406 | 340,000 |
Net cash provided by (used in) operating activities | 1,792,978 | (3,820,299) |
Supplemental disclosures for non-cash investing and financing activities: | ||
Deposits on manufacturing equipment transferred to fixed assets | $ 20,017 | $ 603,627 |
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS | 12 Months Ended |
Dec. 31, 2015 | |
DESCRIPTION OF BUSINESS [Abstract] | |
DESCRIPTION OF BUSINESS | Chembio Diagnostics, Inc. and its subsidiary, Chembio Diagnostic Systems, Inc. (collectively, the "Company" or "Chembio"), develop, manufacture, and market rapid diagnostic tests that detect infectious diseases. The Company's main lateral flow products are three rapid tests for the detection of HIV antibodies in whole blood, serum and plasma samples, two of which were approved by the FDA in 2006; the third is sold for export only. Lateral Flow Rapid HIV tests represented nearly 46% of the Company's product revenues in 2015. The Company's products based on its patented DPP® platform represented approximately 51% of the Company's product revenues in 2015. The Company also has other rapid tests that together represented approximately 3% of sales in 2015. The Company's products are sold to medical laboratories and hospitals, governmental and public health entities, non-governmental organizations, medical professionals and retail establishments both domestically and internationally. Chembio's products are sold under the Company's STAT-PAK®, SURE CHECK® or DPP® registered trademarks, or under the private labels of its marketing partners, for example the Clearview® label owned by Alere, Inc. ("Alere"), which is the Company's exclusive marketing partner for one of its rapid HIV lateral flow test products in the United States. All of the Company's products that are currently being developed are based on its patented Dual Path Platform (DPP®), which is a unique diagnostic point-of-care platform that has certain advantages over lateral flow technology. In December 2012, the Company received FDA approval for its DPP® HIV 1/2 Assay for the detection of HIV antibodies in saliva, whole blood, serum and plasma samples, which was CLIA-Waived in October 2014. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2015 | |
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 — SIGNIFICANT ACCOUNTING POLICIES: (a) Principles of Consolidation: The consolidated financial statements include the accounts of the Company and its wholly owned subsidiary. All intercompany transactions and balances have been eliminated in consolidation. (b) Use of Estimates: The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make assumptions and estimates that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods covered thereby. Actual results could differ from these estimates. Judgments and estimates of uncertainties are required in applying the Company's accounting policies in certain areas. The following are some of the areas requiring significant judgments and estimates: determinations of the useful lives of assets, estimates of allowances for doubtful accounts, inventory reserves, stock-based compensation and deferred tax assets. (c) Fair Value of Financial Instruments: The carrying value for cash and cash equivalents, accounts receivable and accounts payable, approximate fair value because of the immediate or short-term maturity of these financial instruments. (d) Statements of Cash Flows: For purposes of the statements of cash flows, the Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. (e) Concentrations of Credit Risk: Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of temporary cash investments and trade receivables. The Company places its temporary cash instruments with well-known financial institutions and, at times, may maintain balances in excess of the FDIC insurance limit. The Company monitors the credit ratings of the financial institutions to mitigate this risk. Concentration of credit risk with respect to trade receivables is principally mitigated by the Company's ability to obtain letters of credit from certain foreign customers, and its diverse customer base both in number of customers and geographic locations. As of December 31, 2014, we had a significant concentration of outstanding credit with one customer in Brazil. We currently do not require collateral for accounts receivable. (f) Inventories: Inventories, consisting of material, labor and manufacturing overhead, are stated at the lower of cost or market. Cost is determined on the first-in, first-out method. (g) Fixed Assets: Fixed assets are stated at cost, less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the respective assets, which range from three to seven years. Leasehold improvements are amortized over the useful life of the asset or the lease term, whichever is shorter. Deposits paid for fixed assets are capitalized and not depreciated until the related asset is placed in service. (h) License Agreements: In February 2008, the Company entered into a sublicense agreement for which it had initially recorded an asset of $1,000,000. This asset is being expensed over an estimated economic life of ten years, based on the expected lifespan of our then current HIV products. The current portion of this asset is $100,000 as of December 31, 2015 and 2014 and is reported in prepaid expenses and other current assets. The long-term portion as of December 31, 2015 and 2014 is $100,000 and $200,000, respectively and is reflected in other assets on the consolidated balance sheet. In January 2015, the Company entered into a sublicense agreement for which it had initially recorded an asset of $400,000. This asset is being expensed over the life of the patent of 22 months. The current portion of this asset is $181,818 as of December 31, 2015 and is reported in prepaid expenses. In August 2015, the Company entered into a sublicense agreement for which it had initially recorded an asset of $100,000. This asset is being validated and will be expensed over the estimated economic life of the product(s) which will utilize this sublicense. This asset as of December 31, 2015, is reported in prepaid expenses. (i) Impairment of Long-Lived Assets and Intangible Assets Long-lived assets to be held and used are analyzed for impairment whenever events or changes in circumstances indicate that the related carrying amounts may not be recoverable. The Company evaluates at each balance sheet date whether events and circumstances have occurred that indicate possible impairment. If there are indications of impairment, the Company uses future undiscounted cash flows of the related asset or asset grouping over the remaining life in measuring whether the assets are recoverable. In the event such cash flows are not expected to be sufficient to recover the recorded asset values, the assets are written down to their estimated fair value. We believe that the carrying values of our long-lived tangible and intangible assets were realizable at December 31, 2015 and 2014, respectively. (j) Revenue Recognition: The Company recognizes revenue for product sales in accordance with ASC 605, revenue is recognized when there is persuasive evidence of an arrangement, delivery has occurred or services have been rendered, the sales price is fixed and determinable, and collectability is reasonably assured. Revenue typically is recognized at time of shipment. Sales are recorded net of discounts, rebates and returns. For certain contracts, the Company recognizes revenue from non-milestone contracts and grant revenues when earned. Grants are invoiced after expenses are incurred. Revenues from projects or grants funded in advance are deferred until earned. The Company follows Financial Accounting Standards Board ("FASB") issued authoritative guidance ("guidance") prospectively for the recognition of revenue under the milestone method. The Company applies the milestone method of revenue recognition for certain collaborative research projects defining milestones at the inception of the agreement. (k) Research and Development: Research and development (R&D) costs are expensed as incurred. (l) Stock-Based Compensation: Stock-based compensation expense is calculated using the Black-Scholes valuation model based on awards ultimately expected to vest, reduced for forfeitures, and expensed on a straight-line basis over the requisite service period of the grant. (m) I ncome Taxes: The Company accounts for income taxes under an asset and liability approach which recognizes deferred tax assets and liabilities based on the difference between the financial statement carrying amounts and the tax bases of assets and liabilities using enacted tax rates in effect in the years in which the differences are expected to reverse. The Company follows a more-likely-than-not threshold for financial statement recognition and measurement of a tax position taken, or expected to be taken, in a tax return. The guidance relates to, among other things, classification, accounting for interest and penalties associated with tax positions, and disclosure requirements. Any interest and penalties accrued related to uncertain tax positions will be recorded in tax expense. The Company assesses the realizability of its net deferred tax assets on an annual basis. If, after considering all relevant positive and negative evidence, it is more likely than not that some portion or all of the net deferred tax assets will not be realized, the Company would reduce the net deferred tax assets by a valuation allowance. The realization of the net deferred tax assets is dependent on several factors, including the generation of sufficient taxable income prior to the expiration of net operating loss carryforwards. (n) Loss Per Share The following weighted average shares were used for the computation of basic and diluted earnings per share: For the years ended December 31, 2015 December 31, 2014 Basic 9,626,028 9,530,320 - - Diluted 9,626,028 9,530,320 Basic loss per share is computed by dividing net loss attributable to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted loss per share for the year ended December 31, 2015 and 2014 reflects the potential dilution from the exercise or conversion of other securities into common stock, if dilutive. The following securities, presented on a common share equivalent basis, have been used in the diluted per share computations: For the years ended December 31, 2015 December 31, 2014 1999, 2008 and 2014 Plan Stock Options - - There were 658,631 and 798,475 options and warrants outstanding as of December 31, 2015 and 2014, respectively, which were not included in the calculation of diluted income per share for the years ended because their effect would have been anti-dilutive. (o) Recent Accounting Pronouncements Affecting the Company: In May 2014, the FASB issued Accounting Standards Update No. 2014-09, "Revenue from Contracts with Customers" ("ASU 2014-09"), which supersedes nearly all existing revenue recognition guidance under accounting principles generally accepted in United States ("U.S. GAAP"). The core principle of ASU 2014-09 is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which an entity expects to be entitled for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, more judgment and estimates may be required within the revenue recognition process than are required under existing U.S. GAAP. The standard is effective for annual periods beginning after December 15, 2016, and interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients; or (ii) a retrospective approach with the cumulative effect of initially adopting ASU 2014-09 recognized at the date of adoption (which includes additional footnote disclosures). We are currently evaluating the impact of our pending adoption of ASU 2014-09 on our consolidated financial statements and have not yet determined the method by which we will adopt the standard in 2018. In November 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-17, Income Taxes (Topic 740) Balance Sheet Classification of Deferred Assets. In February 2016, the FASB issued Accounting Standards Update ("ASU") 2016-02, which amends the ASC and creates Topic 842, Leases. Topic 842 will require lessees to recognize lease assets and lease liabilities for those leases classified as operating leases under previous US GAAP on the balance sheet. This guidance is effective for annual periods beginning after December 15, 2018 and early adoption is permitted. The Company is currently assessing the impact on its consolidated financial position and results of operations. |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2015 | |
INVENTORIES [Abstract] | |
INVENTORIES | NOTE 3 — INVENTORIES: Inventories consist of the following at: December 31, 2015 December 31, 2014 Raw materials $ 2,248,371 $ 2,323,863 Work in process 370,340 346,494 Finished goods 959,314 967,942 $ 3,578,025 $ 3,638,299 |
FIXED ASSETS
FIXED ASSETS | 12 Months Ended |
Dec. 31, 2015 | |
FIXED ASSETS [Abstract] | |
FIXED ASSETS | NOTE 4 — FIXED ASSETS: Fixed assets consist of the following at: December 31, 2015 December 31, 2014 Machinery and equipment $ 3,862,698 $ 3,508,944 Furniture and fixtures 436,588 388,040 Computer and telephone equipment 326,170 315,916 Leasehold improvements 2,012,945 1,955,817 6,638,401 6,168,717 Less accumulated depreciation and amortization (4,264,093 ) (3,370,788 ) $ 2,374,308 $ 2,797,929 There were no capital leases at the end of December 31, 2015. Fixed assets at December 31, 2015 also include $100,000 in equipment, which has been delivered and set-up but is undergoing validation and as such is currently not being depreciated. Depreciation expense for the 2015 and 2014 years aggregated $893,305 and $616,943, respectively. As of December 31, 2015 and 2014, the Company had paid deposits on various pieces of equipment aggregating $30,918 and $20,017, respectively. The Company is further committed to an additional obligation of $31,008 as various milestones are achieved by the various vendors. |
ACCOUNTS PAYABLE AND ACCRUED LI
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 12 Months Ended |
Dec. 31, 2015 | |
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | NOTE 5 — ACCOUNTS PAYABLE AND ACCRUED LIABILITIES: Accounts payable and accrued liabilities consist of the following at: December 31, 2015 December 31, 2014 Accounts payable – suppliers $ 1,260,520 $ 1,980,120 Accrued commissions 129,192 947,451 Accrued royalties / license fees 732,301 1,034,062 Accrued payroll 146,962 106,487 Accrued vacation 244,810 219,924 Accrued bonuses 177,700 265,500 Accrued expenses – other 109,947 392,486 TOTAL $ 2,801,432 $ 4,946,030 |
DEFERRED RESEARCH AND DEVELOPME
DEFERRED RESEARCH AND DEVELOPMENT REVENUE | 12 Months Ended |
Dec. 31, 2015 | |
DEFERRED RESEARCH AND DEVELOPMENT REVENUE [Abstract] | |
DEFERRED RESEARCH AND DEVELOPMENT REVENUE | NOTE 6 — DEFERRED RESEARCH AND DEVELOPMENT REVENUE: The Company recognizes income from R&D milestones when those milestones are reached and non-milestone contracts and grants when earned. Grants are invoiced after expenses are incurred. Any projects or grants funded in advance are deferred until earned. As of December 31, 2015 and 2014, there were $353,406 and $340,000 unearned advanced revenues, respectively. |
TERM NOTE, REVOLVING DEMAND NOT
TERM NOTE, REVOLVING DEMAND NOTE, VEHICLE FINANCING AND LICENSE FEE PAYABLE | 12 Months Ended |
Dec. 31, 2015 | |
TERM NOTE, REVOLVING DEMAND NOTE, VEHICLE FINANCING AND LICENSE FEE PAYABLE [Abstract] | |
TERM NOTE, REVOLVING DEMAND NOTE, VEHICLE FINANCING AND LICENSE FEE PAYABLE | NOTE 7 — TERM NOTE, REVOLVING DEMAND NOTE, VEHICLE FINANCING AND LICENSE FEE PAYABLE: On April 30, 2013, the Company entered into a new demand loan agreement ("Demand Note") with HSBC Bank, USA ("HSBC"). The Demand Note allowed the Company to draw on the line from time to time an amount up to an aggregate of $2,000,000 outstanding at any one time. The accrued interest on the Demand Note was payable monthly at an interest rate equal to one-quarter percent above prime per annum. The Company could repay any or all of the principal balance outstanding at any time. This was a demand note for which the bank lender could demand repayment of the entire loan, with accrued interest, at any time. The loan was subject to annual reviews, as well as an annual 30-day clean-up, during which there could be no amounts outstanding. In January 2016 HSBC notified the Company that it could no longer extend the credit and the Demand Note was cancelled. The Security Agreement, related to the Demand Note, contained covenants that placed restrictions on the Company's operations, including covenants relating to mergers, debt restrictions, capital expenditures, tangible net worth, net profit, leverage, fixed charge coverage, employee loan restrictions, distribution restrictions (common stock and preferred stock), dividend restrictions, restrictions on lease payments to affiliates, restrictions on changes in business, asset sale restrictions, restrictions on acquisitions and intercompany transactions, and restrictions on fundamental changes in the Company and in its business. The Company currently maintains its operating, payroll, and primary cash accounts at HSBC. During the year ended December 31, 2015, the Company had drawn down an aggregate of $700,000 on the Demand Note and each withdrawal was paid back within 30 days and all covenants were met. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2015 | |
INCOME TAXES [Abstract] | |
INCOME TAXES | NOTE 8 The (benefit from) provision for income taxes for the years ended December 31, 2015 and 2014, is comprised of the following: 2015 2014 Current Federal $ - $ (16,119 ) State 10,726 6,576 Total current (benefit) provision 10,726 (9,543 ) Deferred Federal (1,171,865 ) (449,452 ) State 896 46,077 Total deferred (benefit) provision (1,170,969 ) (403,375 ) Total (benefit) provision $ (1,160,243 ) $ (412,918 ) The Company had an ownership change as described in Internal Revenue Code Sec. 382 during 2004 ("2004 change"). As a result, the Company's net operating losses prior to the 2004 change of $5,832,516 were subject to an annual limitation of $150,608 and for the first five (5) years are entitled to a BIG (Built-In-Gains) of $488,207 per year. These net operating losses expire in 2018 through 2024. The Company had a second ownership change during 2006 ("2006 change"). The net operating losses incurred between the 2004 change and the 2006 change of $8,586,861 were subject to an annual limitation of $1,111,831 and for the first five (5) years are entitled to a BIG of $1,756,842 per year. These net operating losses expire in 2018 through 2028. After applying the above limitations, at December 31, 2015, the Company has post-change net operating loss carry-forwards of approximately $15,815,108 which expire between 2020 and 2035. In addition the Company has research and development tax credit carryforwards of approximately $1,518,414 for the year ended December 31, 2015, which expire between 2025 and 2035. 2015 2014 Current assets Inventory reserves $ 242,532 $ 311,931 Accrued expenses 91,143 286,616 Current deferred tax assets 333,675 598,547 Less valuation allowances - - Net current deferred asset $ 333,675 $ 598,547 Noncurrent assets Net operating loss carry-forwards $ 5,365,401 $ 3,986,618 Research and development credit 1,518,414 1,175,725 Other credits 97,339 107,967 Other 210,553 149,923 Gross noncurrent deferred tax assets 7,191,707 5,420,233 Depreciation (206,150 ) (213,206 ) Noncurrent deferred tax assets 6,985,557 5,207,027 Less valuation allowances (1,518,414 ) (1,175,725 ) Net noncurrent deferred tax assets $ 5,467,143 $ 4,031,302 A reconciliation of the Federal statutory rate to the effective rate applicable to income (loss) before income taxes is as follows: Year Ending December 31, 2015 2014 Federal income tax at statutory rates (34.00)% (34.00)% State income taxes, net of federal benefit .23% 0.28% Nondeductible expenses 1.38% 4.54% Change in valuation allowance 9.46% 9.47% Tax credits (9.46)% (9.47)% Change in tax rates .00% 1.96% Other .34% 0.58% Income tax (benefit) (32.05)% (26.64)% Interest and penalties, if any, related to income tax liabilities are included in income tax expense. As of December 31, 2015, the Company does not have a liability for uncertain tax positions. The Company files Federal and state income tax returns. Tax years for fiscal 2012 through 2014 are open and potentially subject to examination by the federal and state taxing authorities. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2015 | |
STOCKHOLDERS' EQUITY [Abstract] | |
STOCKHOLDERS' EQUITY | NOTE 9 — STOCKHOLDERS' EQUITY: (a) Common Stock During 2015, options to purchase 41,141 shares of the Company's common stock were exercised on a cashless basis into 17,109 shares of common stock at exercise prices ranging from $2.16 to $3.60 . During 2014, options to purchase 318,750 shares of the Company's common stock were exercised, either for cash or cashless into 286,356 shares of common stock at an exercise price of $1.04. (b) Preferred Stock The Company has 10,000,000 shares of preferred stock authorized and none outstanding. These shares can become issuable upon an approved resolution by the board of directors and the filing of a Certificate of Designation with the state of Nevada. (c) Options During 2015, the Company did not issue options to purchase common stock. During the fourth quarter of 2014, the Company issued 36,000 options to purchase common stock to a newly-hired vice-president of the Company. The options are exercisable in three equal annual installments starting on the first anniversary of the date of issue. The options issued have an exercise price of $4.35 per share, which was the last traded price of the common stock on the day issued. The options expire five years from date of issue. During the second quarter of 2014 the Company issued options to two of its directors pursuant to the Company's compensation policy for directors. Each director was issued 46,875 options to purchase common stock. The options become exercisable in five equal annual installments starting on the date of issue. The options issued have an exercise price of $3.480 per share, which was the last traded price of the common stock on the day issued. The options expire five years from date of issue. The Company entered into an employment agreement, effective March 13, 2014 ("Employment Agreement"), with Mr. Sperzel to serve as the Company's Chief Executive Officer, which included issuing incentive and non-incentive stock options to purchase 250,000 shares of the Company's common stock. The options become exercisable in five equal annual installments starting on the first anniversary of the effective date of the Employment Agreement. The exercise price for these options was to be equal to the volume-weighted average trading price for the Company's common stock on March 13, 2014, which was $3.416 per share. The options expire seven years from date of issue. (d) Warrants As of December 31, 2015 and 2014, the Company had no warrants outstanding to purchase shares of common stock. |
RIGHTS AGREEMENT
RIGHTS AGREEMENT | 12 Months Ended |
Dec. 31, 2015 | |
RIGHTS AGREEMENT [Abstract] | |
RIGHTS AGREEMENT | NOTE 10 — RIGHTS AGREEMENT: In March 2010, the Company entered into a Rights Agreement (the "Rights Agreement") between the Company and Action Stock Transfer Corp., as Rights Agent. The Rights Agreement expired at the end of November 2015. Pursuant to the Rights Agreement, the Company declared a dividend distribution of one preferred share purchase right (a "Right") for each outstanding share of Common Stock, $0.01 par value (the "Common Stock"), of the Company. The Board of Directors set the payment date for the distribution of the Rights as March 8, 2010, and the Rights were distributed to the Company's shareholders of record on that date. The description and terms of the Rights are set forth in the Rights Agreement. Rights Initially Not Exercisable. Separation and Distribution of Rights |
EMPLOYEE STOCK OPTION PLAN
EMPLOYEE STOCK OPTION PLAN | 12 Months Ended |
Dec. 31, 2015 | |
EMPLOYEE STOCK OPTION PLAN [Abstract] | |
EMPLOYEE STOCK OPTION PLAN | NOTE 11 — EMPLOYEE STOCK OPTION PLAN: Effective June 3, 2008, the Company's stockholders voted to approve the 2008 Stock Incentive Plan ("SIP"), with 625,000 shares of Common Stock available to be issued. At the Annual Stockholder meeting on September 22, 2011 the Company's stockholders voted to approve an increase to the shares of Common Stock issuable under the SIP by 125,000 to 750,000. Under the terms of the SIP, the Compensation Committee of the Company's Board has the discretion to select the persons to whom awards are to be granted. Awards can be stock options, restricted stock and/or restricted stock units. The awards become vested at such times and under such conditions as determined by the Compensation Committee. As of December 31, 2015, there were 353,935 options exercised, 312,860 options outstanding and 83,205 options still available to be issued under the SIP. Effective June 19, 2014, the Company's stockholders voted to approve the 2014 Stock Incentive Plan ("SIP14"), with 800,000 shares of Common Stock available to be issued. Under the terms of the SIP14, the Compensation Committee of the Company's Board has the discretion to select the persons to whom awards are to be granted. Awards can be stock options, restricted stock and/or restricted stock units. The awards become vested at such times and under such conditions as determined by the Compensation Committee. As of December 31, 2015, there were no options exercised, 129,750 options outstanding and 670,250 options still available to be issued under the SIP14. The Company's results for the years ended December 31, 2015 and 2014 include stock-based compensation expense totaling $334,400 and $447,100, respectively. Such amounts have been included in the Consolidated Statements of Operations within cost of goods sold ($- and $700, respectively), research and development ($62,700 and $44,500, respectively) and selling, general and administrative expenses ($271,700 and $401,900, respectively). In accordance with ASC 718 the Company has not recorded a deferred tax asset related to the net operating losses resulting from the exercise of disqualifying stock options in the accompanying financial statements. The cumulative amount of unrecognized tax benefits at December 31, 2015 was immaterial, and if the Company is able to utilize this benefit in the future it would result in a credit to additional paid-in capital. Stock option compensation expense in the years ended December 31, 2015 and 2014 represents the estimated fair value of options outstanding which is being amortized on a straight-line basis over the requisite vesting period of the entire award. The Company did not grant any stock options during the year ended December 31, 2015. The weighted average estimated fair value of stock options granted in the year ended December 31, 2014 was $3.52 per share. The fair value of options at the date of grant was estimated using the Black-Scholes option pricing model. The expected volatility is based upon historical volatility of our stock and other contributing factors. The expected term is based on the Company's historical experience with similar type options. The weighted-average assumptions made in calculating the fair values of options are as follows: For the year ended December 31, 2014 Expected term (in years) 4.50-6.30 Expected volatility 61.50-96.10% Expected dividend yield n/a Risk-free interest rate .83-1.52% The Company granted no new options during the year ended December 31, 2015 to employees. The following table provides stock options activity for the year ended December 31, 2015: Stock Options Number of Shares Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding at December 31, 2014 691,869 $ 3.66 3.97 years $ 334,636 Granted - $ - Exercised 41,141 $ 2.25 Forfeited/expired/cancelled 1,250 $ 4.30 Outstanding at December 31, 2015 649,478 $ 3.75 3.21 years $ 1,032,362 Exercisable at December 31, 2015 359,228 $ 3.89 2.03 years $ 522,039 The following table summarizes information about stock options outstanding at December 31, 2015: Stock Options Outstanding Stock Options Exercisable Range of Exercise Prices Shares Average Remaining Contract Life (Year) Weighted Average Exercise Price Aggregate Intrinsic Value Shares Weighted Average Exercise Price Aggregate Intrinsic Value 0.0000 to 3.000 92,063 0.73 $ 2.80 $ 232,919 92,063 $ 2.80 $ 232,919 3.0001 to 3.500 343,750 4.73 3.43 651,863 87,500 3.44 165,060 3.5001 to 4.000 15,720 1.05 3.95 21,689 15,720 3.95 21,689 4.0001 to 4.500 122,320 1.87 4.37 117,971 98,320 4.37 94,451 4.5001 to 6.000 75,625 1.90 5.30 7,920.00 65,625 5.28 7,920 Total 649,478 3.21 $ 3.75 $ 1,032,362 359,228 $ 3.89 $ 522,039 As of December 31, 2015, there was $297,000 of net unrecognized compensation cost related to stock options that are not vested, which is expected to be recognized over a weighted average period of approximately 2.05 years. The total fair value of shares vested during the years ended December 31, 2015 and 2014, was $357,000 and $283,000, respectively. |
GEOGRAPHIC INFORMATION
GEOGRAPHIC INFORMATION | 12 Months Ended |
Dec. 31, 2015 | |
GEOGRAPHIC INFORMATION [Abstract] | |
GEOGRAPHIC INFORMATION | NOTE 12 — GEOGRAPHIC INFORMATION AND ECONOMIC DEPENDENCY: FASB Guidance establishes standards for the way that business enterprises report information about operating segments in financial statements and requires that those enterprises report selected information. It also establishes standards for related disclosures about product and services, geographic areas, and major customers. Sales to Africa increased in 2015 primarily due to increased sales in Uganda by approximately $1,344,500, and Nigeria by approximately $287,500. Sales in Asia increased slightly by $76,200. European sales increased by $972,500. Sales decreased in 2015 to North America from decreased sales to Mexico of $3,913,400 and by decreased sales in the U.S from approximately $7,208,000 to $6,563,000. Sales decreases in 2015 to South America were primarily from decreased sales in Brazil from approximately $12,253,500 to $10,141,800 The Company produces only one group of similar products known collectively as "rapid medical tests". Management believes that it operates in a single business segment. Net sales by geographic area are as follows: For the years ended December 31, 2015 December 31, 2014 Africa $ 3,673,199 $ 2,097,353 Asia 172,250 96,061 Europe 1,164,476 191,947 North America 6,525,951 11,134,691 South America 10,350,812 12,429,717 $ 21,886,688 $ 25,949,769 Sales to Africa increased in 2015 primarily due to increased sales in Uganda by approximately $1,344,500, and Nigeria by approximately $287,500. Sales in Asia increased slightly by $76,200. European sales increased by $972,500. Sales decreased in 2015 to North America from decreased sales to Mexico of $3,913,400 and by decreased sales in the U.S from approximately $7,208,000 to $6,563,000. Sales decreases in 2015 to South America were primarily from decreased sales in Brazil from approximately $12,253,500 to $10,141,800. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2015 | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 13 — COMMITMENTS AND CONTINGENCIES: Employment Contracts: The Company has contracts with three key employees. The contracts call for salaries presently aggregating $944,500 per year. One contract expires in May 2017, one expires in March 2016 and one contract expires in March 2017. The following table is a schedule of future minimum salary commitments: 2016 $ 690,800 2017 181,200 Pension Plan: The Company has a 401(k) plan established for its employees. Effective January 1, 2011 the Company elected to match 40% of the first 5% (or 2% of salary) that an employee contributes to their 401(k) plan. Expenses related to this matching contribution aggregated $90,915 and $82,750 for the years ended December 31, 2015 and 2014, respectively. Obligations Under Operating Leases: The Company leases industrial space used for office, R&D and manufacturing facilities, currently with a monthly rent of $27,988. The current lease expires on April 30, 2017. The lease provides for annual increases of 2 1/2 percent each year starting May 1, 2016. In February of 2014, the Company entered into a lease, effective March 1, 2014, for another facility located a short distance from its current facility currently with a monthly rent of $15,097. The space is used primarily for warehousing and provides for additional office space. The lease expires on April 30, 2018. The lease provides for annual increases of three percent each year starting March 1, 2016. The following is a schedule of future minimum rental commitments (assuming no increases): Years ending December 31, 2016 $ 527,151 2017 306,018 2018 64,067 $ 897,236 Rent expense was $511,900 and $476,000 for the years ended December 31, 2015 and 2014, respectively. Economic Dependency: The following table delineates sales the Company had to customers in excess of 10% of total sales for the periods indicated: For the years ended Accounts Receivable As of December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Sales % of Sales Sales % of Sales Customer 1 $ 10,132,512 46 % $ 12,253,526 47 % $ 775,209 $ 6,230,886 Customer 2 4,526,908 21 % 6,618,251 26 % 700,656 386,270 The following table delineates purchases the Company had with vendors in excess of 10% of total purchases for the periods indicated. For the years ended Accounts Payable As of December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Purchases % of Purc. Purchases % of Purc. Vendor 1 $ 794,536 11 % $ 1,331,647 14 % $ 90,075 $ 200,855 Vendor 2 * * $ 1,594,838 17 % * - In the table above the asterisk (*) indicates that purchases from the vendor did not exceed 10% for the period indicated. The Company currently buys materials which are purchased under intellectual property rights agreements and are important components in its products. Management believes that other suppliers could provide similar materials on comparable terms. A change in suppliers, however, could cause a delay in manufacturing and a possible loss of sales, which would affect operating results adversely. |
COLLABORATIVE RESEARCH AND DEVE
COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS | 12 Months Ended |
Dec. 31, 2015 | |
COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS [Abstract] | |
COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS | NOTE 14 — COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS: In 2015 and 2014, the Company earned $2,316,044 million and $1,672,258 million, respectively, from research revenues and milestones. The Company is now involved in additional feasibility and development contracts related to its DPP® technology. The total expended on R&D, excluding regulatory, in 2015 and 2014, was approximately $5.4 million and $4.1 million, respectively. a. National Institutes of Health (NIH) Grant: In March 2011, the Company received a $2.9 million, three-year grant from the United States National Institutes of Health to complete development of a test for Tuberculosis. Grants are invoiced after expenses are incurred. The Company earned, for the years ended December 31, 2015 and 2014, $- and $388,000, respectively from this grant. The Company has earned $2,850,000 from this grant from inception through December 31, 2015, of which $1,019,000 was paid to sub-contractors. b. Battelle/CDC DPP® Influenza Immunity Test: In November 2014, the Company entered into a follow-on, milestone-based development agreement bringing the total up to $1,253,100 based on Chembio's previous successful initial development of a multiplex rapid point-of-care ("POC") influenza immunity test utilizing its patented Dual Path Platform (DPP®) technology. The follow-on agreement contemplates a period of approximately six months in which the follow-on development activity is to be completed. For the years ended December 31, 2015 and 2014, the Company earned $216,850 and $115,000, respectively from this grant. The Company has earned $1,253,100 from this grant from inception through December 31, 2015. c. Cooperative research agreement with a U.S. government agency: In May 2013, the Company was awarded a cooperative research agreement with a U.S. government agency for up to $883,000 for an eight-month development project to develop rapid POC diagnostic tests for five infectious diseases associated with febrile illness. For the years ended December 31, 2015 and 2014, the Company earned $- and $117,000, respectively from this grant. The Company has earned $883,000 from this grant from inception through December 31, 2015. d. RVR DPP® technology transfer agreement: In February 2014, the Company entered into a technology transfer agreement with RVR Diagnostics for $1,500,000. The agreement was modified in September 2014 and September 2015. Per the agreement, as modified, the Company earned $125,000 and $1,125,000 in milestone payments during 2015 and 2014. The Company has earned $1,250,000 from this grant from inception through December 31, 2015. e. Dengue agreement: In October 2014, the Company entered into a development agreement with an international diagnostics company for $300,000. Revenue for this agreement is being recognized under a proportional performance method. For the years ended December 31, 2015 and 2014, the Company earned $240,000 and $60,000, respectively from this grant. The Company has earned $300,000 from this grant from inception through December 31, 2015. f. Brain Injury agreement: In January 2015, the Company entered into a technology development agreement with Perseus Science Group LLC for $946,000. Revenue for this agreement is being recognized under a proportional performance method. The Company earned $469,600 for the year ended December 31, 2015 from this agreement. g. Malaria agreement: In January 2015, the Company was awarded a grant from The Bill & Melinda Gates Foundation for $307,000. The Company earned $307,000 for the year ended December 31, 2015 from this agreement. h. Cancer agreement: In October 2014, the Company entered into a technology development agreement with an international diagnostics company for $320,000. Revenue for this agreement is being recognized under a proportional performance method. The Company earned $205,000 for the year ended December 31, 2015 from this agreement. i. Fever panel agreement: In October 2015, the Company entered into an agreement with Paul G. Allen Ebola Program for $2,118,265. Revenue for this agreement is being recognized under a proportional performance method. The Company earned $408,500 for the year ended December 31, 2015 from this agreement. Governmental Regulation: All of the Company's existing and proposed diagnostic products are regulated by the United States Food and Drug Administration (FDA), United States Department of Agriculture, certain state and local agencies, and/or comparable regulatory bodies in other countries. Most aspects of development, production, and marketing, including product testing, authorizations to market, labeling, promotion, manufacturing, and record keeping are subject to review. After marketing approval has been granted, Chembio must continue to comply with governmental regulations. Failure to comply with these regulations can result in significant penalties. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE 15 — SUBSEQUENT EVENTS: February 19, 2016, the Company announced it had been awarded a $550,000 grant from philanthropist and entrepreneur Paul G. Allen to immediately initiate development of simple, cost-effective POC diagnostic tests to identify Zika virus and related febrile illnesses. The grant is managed by Mr. Allen's company, Vulcan Inc., and the funds come from the Paul G. Allen Family Foundation. On March 7, 2016, the Company announced plans to collaborate with Bio-Manguinhos/Fiocruz to undertake development of POC Zika tests for the Ministry of Health in Brazil. The Company has developed a prototype DPP ® additional funding to accelerate the development and testing of our DPP® Zika assays. The Company entered into a term sheet for a minimum of three million tests that it expects to be filled in 2016 which would significantly increase revenues and operating income. |
SIGNIFICANT ACCOUNTING POLICI22
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Principles of Consolidation | (a) Principles of Consolidation: The consolidated financial statements include the accounts of the Company and its wholly owned subsidiary. All intercompany transactions and balances have been eliminated in consolidation. |
Use of Estimates | (b) Use of Estimates: The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make assumptions and estimates that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods covered thereby. Actual results could differ from these estimates. Judgments and estimates of uncertainties are required in applying the Company's accounting policies in certain areas. The following are some of the areas requiring significant judgments and estimates: determinations of the useful lives of assets, estimates of allowances for doubtful accounts, inventory reserves, stock-based compensation and deferred tax assets. |
Fair Value of Financial Instruments | (c) Fair Value of Financial Instruments: The carrying value for cash and cash equivalents, accounts receivable and accounts payable, approximate fair value because of the immediate or short-term maturity of these financial instruments. |
Statements of Cash Flows | (d) Statements of Cash Flows: For purposes of the statements of cash flows, the Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. |
Concentrations of Credit Risk | (e) Concentrations of Credit Risk: Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of temporary cash investments and trade receivables. The Company places its temporary cash instruments with well-known financial institutions and, at times, may maintain balances in excess of the FDIC insurance limit. The Company monitors the credit ratings of the financial institutions to mitigate this risk. Concentration of credit risk with respect to trade receivables is principally mitigated by the Company's ability to obtain letters of credit from certain foreign customers, and its diverse customer base both in number of customers and geographic locations. As of December 31, 2014, we had a significant concentration of outstanding credit with one customer in Brazil. We currently do not require collateral for accounts receivable. |
Inventories | (f) Inventories: Inventories, consisting of material, labor and manufacturing overhead, are stated at the lower of cost or market. Cost is determined on the first-in, first-out method. |
Fixed Assets | (g) Fixed Assets: Fixed assets are stated at cost, less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the respective assets, which range from three to seven years. Leasehold improvements are amortized over the useful life of the asset or the lease term, whichever is shorter. Deposits paid for fixed assets are capitalized and not depreciated until the related asset is placed in service. |
License Agreement | (h) License Agreements: In February 2008, the Company entered into a sublicense agreement for which it had initially recorded an asset of $1,000,000. This asset is being expensed over an estimated economic life of ten years, based on the expected lifespan of our then current HIV products. The current portion of this asset is $100,000 as of December 31, 2015 and 2014 and is reported in prepaid expenses and other current assets. The long-term portion as of December 31, 2015 and 2014 is $100,000 and $200,000, respectively and is reflected in other assets on the consolidated balance sheet. In January 2015, the Company entered into a sublicense agreement for which it had initially recorded an asset of $400,000. This asset is being expensed over the life of the patent of 22 months. The current portion of this asset is $181,818 as of December 31, 2015 and is reported in prepaid expenses. In August 2015, the Company entered into a sublicense agreement for which it had initially recorded an asset of $100,000. This asset is being validated and will be expensed over the estimated economic life of the product(s) which will utilize this sublicense. This asset as of December 31, 2015, is reported in prepaid expenses. |
Impairment of Long-Lived Assets and Intangible Assets | (i) Impairment of Long-Lived Assets and Intangible Assets Long-lived assets to be held and used are analyzed for impairment whenever events or changes in circumstances indicate that the related carrying amounts may not be recoverable. The Company evaluates at each balance sheet date whether events and circumstances have occurred that indicate possible impairment. If there are indications of impairment, the Company uses future undiscounted cash flows of the related asset or asset grouping over the remaining life in measuring whether the assets are recoverable. In the event such cash flows are not expected to be sufficient to recover the recorded asset values, the assets are written down to their estimated fair value. We believe that the carrying values of our long-lived tangible and intangible assets were realizable at December 31, 2015 and 2014, respectively. |
Revenue Recognition | (j) Revenue Recognition: The Company recognizes revenue for product sales in accordance with ASC 605, revenue is recognized when there is persuasive evidence of an arrangement, delivery has occurred or services have been rendered, the sales price is fixed and determinable, and collectability is reasonably assured. Revenue typically is recognized at time of shipment. Sales are recorded net of discounts, rebates and returns. For certain contracts, the Company recognizes revenue from non-milestone contracts and grant revenues when earned. Grants are invoiced after expenses are incurred. Revenues from projects or grants funded in advance are deferred until earned. The Company follows Financial Accounting Standards Board ("FASB") issued authoritative guidance ("guidance") prospectively for the recognition of revenue under the milestone method. The Company applies the milestone method of revenue recognition for certain collaborative research projects defining milestones at the inception of the agreement. |
Research and Development | (k) Research and Development: Research and development (R&D) costs are expensed as incurred. |
Stock-Based Compensation | (l) Stock-Based Compensation: Stock-based compensation expense is calculated using the Black-Scholes valuation model based on awards ultimately expected to vest, reduced for forfeitures, and expensed on a straight-line basis over the requisite service period of the grant. |
Income Taxes | (m) I ncome Taxes: The Company accounts for income taxes under an asset and liability approach which recognizes deferred tax assets and liabilities based on the difference between the financial statement carrying amounts and the tax bases of assets and liabilities using enacted tax rates in effect in the years in which the differences are expected to reverse. The Company follows a more-likely-than-not threshold for financial statement recognition and measurement of a tax position taken, or expected to be taken, in a tax return. The guidance relates to, among other things, classification, accounting for interest and penalties associated with tax positions, and disclosure requirements. Any interest and penalties accrued related to uncertain tax positions will be recorded in tax expense. The Company assesses the realizability of its net deferred tax assets on an annual basis. If, after considering all relevant positive and negative evidence, it is more likely than not that some portion or all of the net deferred tax assets will not be realized, the Company would reduce the net deferred tax assets by a valuation allowance. The realization of the net deferred tax assets is dependent on several factors, including the generation of sufficient taxable income prior to the expiration of net operating loss carryforwards. |
Earnings Per Share | (n) Loss Per Share The following weighted average shares were used for the computation of basic and diluted earnings per share: For the years ended December 31, 2015 December 31, 2014 Basic 9,626,028 9,530,320 - - Diluted 9,626,028 9,530,320 Basic loss per share is computed by dividing net loss attributable to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted loss per share for the year ended December 31, 2015 and 2014 reflects the potential dilution from the exercise or conversion of other securities into common stock, if dilutive. The following securities, presented on a common share equivalent basis, have been used in the diluted per share computations: For the years ended December 31, 2015 December 31, 2014 1999, 2008 and 2014 Plan Stock Options - - There were 658,631 and 798,475 options and warrants outstanding as of December 31, 2015 and 2014, respectively, which were not included in the calculation of diluted income per share for the years ended because their effect would have been anti-dilutive. |
Recent Accounting Pronouncements Affecting the Company | (o) Recent Accounting Pronouncements Affecting the Company: In May 2014, the FASB issued Accounting Standards Update No. 2014-09, "Revenue from Contracts with Customers" ("ASU 2014-09"), which supersedes nearly all existing revenue recognition guidance under accounting principles generally accepted in United States ("U.S. GAAP"). The core principle of ASU 2014-09 is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which an entity expects to be entitled for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, more judgment and estimates may be required within the revenue recognition process than are required under existing U.S. GAAP. The standard is effective for annual periods beginning after December 15, 2016, and interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients; or (ii) a retrospective approach with the cumulative effect of initially adopting ASU 2014-09 recognized at the date of adoption (which includes additional footnote disclosures). We are currently evaluating the impact of our pending adoption of ASU 2014-09 on our consolidated financial statements and have not yet determined the method by which we will adopt the standard in 2018. In November 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-17, Income Taxes (Topic 740) Balance Sheet Classification of Deferred Assets. In February 2016, the FASB issued Accounting Standards Update ("ASU") 2016-02, which amends the ASC and creates Topic 842, Leases. Topic 842 will require lessees to recognize lease assets and lease liabilities for those leases classified as operating leases under previous US GAAP on the balance sheet. This guidance is effective for annual periods beginning after December 15, 2018 and early adoption is permitted. The Company is currently assessing the impact on its consolidated financial position and results of operations. |
SIGNIFICANT ACCOUNTING POLICI23
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Schedule of weighted average shares used for computation of basic and diluted earnings per share | The following weighted average shares were used for the computation of basic and diluted earnings per share: For the years ended December 31, 2015 December 31, 2014 Basic 9,626,028 9,530,320 - - Diluted 9,626,028 9,530,320 |
Schedule of common share equivalent basis, used in diluted per share computations | The following securities, presented on a common share equivalent basis, have been used in the diluted per share computations: For the years ended December 31, 2015 December 31, 2014 1999, 2008 and 2014 Plan Stock Options - - |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
INVENTORIES [Abstract] | |
Schedule of inventories | Inventories consist of the following at: December 31, 2015 December 31, 2014 Raw materials $ 2,248,371 $ 2,323,863 Work in process 370,340 346,494 Finished goods 959,314 967,942 $ 3,578,025 $ 3,638,299 |
FIXED ASSETS (Tables)
FIXED ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
FIXED ASSETS [Abstract] | |
Schedule of fixed assets | Fixed assets consist of the following at: December 31, 2015 December 31, 2014 Machinery and equipment $ 3,862,698 $ 3,508,944 Furniture and fixtures 436,588 388,040 Computer and telephone equipment 326,170 315,916 Leasehold improvements 2,012,945 1,955,817 6,638,401 6,168,717 Less accumulated depreciation and amortization (4,264,093 ) (3,370,788 ) $ 2,374,308 $ 2,797,929 |
ACCOUNTS PAYABLE AND ACCRUED 26
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES [Abstract] | |
Schedule of accounts payable and accrued liabilities | Accounts payable and accrued liabilities consist of the following at: December 31, 2015 December 31, 2014 Accounts payable – suppliers $ 1,260,520 $ 1,980,120 Accrued commissions 129,192 947,451 Accrued royalties / license fees 732,301 1,034,062 Accrued payroll 146,962 106,487 Accrued vacation 244,810 219,924 Accrued bonuses 177,700 265,500 Accrued expenses – other 109,947 392,486 TOTAL $ 2,801,432 $ 4,946,030 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
INCOME TAXES [Abstract] | |
Schedule of provision (benefit) for income taxes | The (benefit from) provision for income taxes for the years ended December 31, 2015 and 2014, is comprised of the following: 2015 2014 Current Federal $ - $ (16,119 ) State 10,726 6,576 Total current (benefit) provision 10,726 (9,543 ) Deferred Federal (1,171,865 ) (449,452 ) State 896 46,077 Total deferred (benefit) provision (1,170,969 ) (403,375 ) Total (benefit) provision $ (1,160,243 ) $ (412,918 ) |
Schedule of deferred tax assets | 2015 2014 Current assets Inventory reserves $ 242,532 $ 311,931 Accrued expenses 91,143 286,616 Current deferred tax assets 333,675 598,547 Less valuation allowances - - Net current deferred asset $ 333,675 $ 598,547 Noncurrent assets Net operating loss carry-forwards $ 5,365,401 $ 3,986,618 Research and development credit 1,518,414 1,175,725 Other credits 97,339 107,967 Other 210,553 149,923 Gross noncurrent deferred tax assets 7,191,707 5,420,233 Depreciation (206,150 ) (213,206 ) Noncurrent deferred tax assets 6,985,557 5,207,027 Less valuation allowances (1,518,414 ) (1,175,725 ) Net noncurrent deferred tax assets $ 5,467,143 $ 4,031,302 |
Schedule of reconciliation of the Federal statutory rate to the effective rate applicable to income (loss) before income taxes | A reconciliation of the Federal statutory rate to the effective rate applicable to income (loss) before income taxes is as follows: Year Ending December 31, 2015 2014 Federal income tax at statutory rates (34.00)% (34.00)% State income taxes, net of federal benefit .23% 0.28% Nondeductible expenses 1.38% 4.54% Change in valuation allowance 9.46% 9.47% Tax credits (9.46)% (9.47)% Change in tax rates .00% 1.96% Other .34% 0.58% Income tax (benefit) (32.05)% (26.64)% |
EMPLOYEE STOCK OPTION PLAN (Tab
EMPLOYEE STOCK OPTION PLAN (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
EMPLOYEE STOCK OPTION PLAN [Abstract] | |
Assumptions made in calculating the fair values of options | The weighted-average assumptions made in calculating the fair values of options are as follows: For the year ended December 31, 2014 Expected term (in years) 4.50-6.30 Expected volatility 61.50-96.10% Expected dividend yield n/a Risk-free interest rate .83-1.52% |
Stock options activity | The following table provides stock options activity for the year ended December 31, 2015: Stock Options Number of Shares Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding at December 31, 2014 691,869 $ 3.66 3.97 years $ 334,636 Granted - $ - Exercised 41,141 $ 2.25 Forfeited/expired/cancelled 1,250 $ 4.30 Outstanding at December 31, 2015 649,478 $ 3.75 3.21 years $ 1,032,362 Exercisable at December 31, 2015 359,228 $ 3.89 2.03 years $ 522,039 |
Summary of stock options outstanding | The following table summarizes information about stock options outstanding at December 31, 2015: Stock Options Outstanding Stock Options Exercisable Range of Exercise Prices Shares Average Remaining Contract Life (Year) Weighted Average Exercise Price Aggregate Intrinsic Value Shares Weighted Average Exercise Price Aggregate Intrinsic Value 0.0000 to 3.000 92,063 0.73 $ 2.80 $ 232,919 92,063 $ 2.80 $ 232,919 3.0001 to 3.500 343,750 4.73 3.43 651,863 87,500 3.44 165,060 3.5001 to 4.000 15,720 1.05 3.95 21,689 15,720 3.95 21,689 4.0001 to 4.500 122,320 1.87 4.37 117,971 98,320 4.37 94,451 4.5001 to 6.000 75,625 1.90 5.30 7,920.00 65,625 5.28 7,920 Total 649,478 3.21 $ 3.75 $ 1,032,362 359,228 $ 3.89 $ 522,039 |
GEOGRAPHIC INFORMATION (Tables)
GEOGRAPHIC INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
GEOGRAPHIC INFORMATION [Abstract] | |
Net sales by geographic area | The Company produces only one group of similar products known collectively as "rapid medical tests". Management believes that it operates in a single business segment. Net sales by geographic area are as follows: For the years ended December 31, 2015 December 31, 2014 Africa $ 3,673,199 $ 2,097,353 Asia 172,250 96,061 Europe 1,164,476 191,947 North America 6,525,951 11,134,691 South America 10,350,812 12,429,717 $ 21,886,688 $ 25,949,769 Sales to Africa increased in 2015 primarily due to increased sales in Uganda by approximately $1,344,500, and Nigeria by approximately $287,500. Sales in Asia increased slightly by $76,200. European sales increased by $972,500. Sales decreased in 2015 to North America from decreased sales to Mexico of $3,913,400 and by decreased sales in the U.S from approximately $7,208,000 to $6,563,000. Sales decreases in 2015 to South America were primarily from decreased sales in Brazil from approximately $12,253,500 to $10,141,800. |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
Schedule of future minimum salary commitment | The Company has contracts with three key employees. The contracts call for salaries presently aggregating $944,500 per year. One contract expires in May 2017, one expires in March 2016 and one contract expires in March 2017. The following table is a schedule of future minimum salary commitments: 2016 $ 690,800 2017 181,200 |
Schedule of future minimum rental commitments | The following is a schedule of future minimum rental commitments (assuming no increases): Years ending December 31, 2016 $ 527,151 2017 306,018 2018 64,067 $ 897,236 |
Customer and purchase concentration risks | Economic Dependency: The following table delineates sales the Company had to customers in excess of 10% of total sales for the periods indicated: For the years ended Accounts Receivable As of December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Sales % of Sales Sales % of Sales Customer 1 $ 10,132,512 46 % $ 12,253,526 47 % $ 775,209 $ 6,230,886 Customer 2 4,526,908 21 % 6,618,251 26 % 700,656 386,270 The following table delineates purchases the Company had with vendors in excess of 10% of total purchases for the periods indicated. For the years ended Accounts Payable As of December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Purchases % of Purc. Purchases % of Purc. Vendor 1 $ 794,536 11 % $ 1,331,647 14 % $ 90,075 $ 200,855 Vendor 2 * * $ 1,594,838 17 % * - In the table above the asterisk (*) indicates that purchases from the vendor did not exceed 10% for the period indicated. |
DESCRIPTION OF BUSINESS (Detail
DESCRIPTION OF BUSINESS (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Lateral Flow Rapid HIV Tests [Member] | |
Product Information [Line Items] | |
Percentage of net product revenue to total net revenue (in hundredths) | 45.50% |
Products Based on Patented DPP Platform [Member] | |
Product Information [Line Items] | |
Percentage of net product revenue to total net revenue (in hundredths) | 51.47% |
Other Rapid Tests [Member] | |
Product Information [Line Items] | |
Percentage of net product revenue to total net revenue (in hundredths) | 3.03% |
SIGNIFICANT ACCOUNTING POLICI32
SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||
Current portion of license agreement | $ 100,000 | $ 100,000 |
Long term portion of license agreement | 100,000 | 200,000 |
Revenue Recognition [Abstract] | ||
Unrecognized customer deposits | $ 0 | $ 0 |
Summary of weighted average shares used for computation of basic and diluted earnings per share [Abstract] | ||
Basic (in shares) | 9,626,028 | 9,530,320 |
Diluted (in shares) | 9,626,028 | 9,530,320 |
Summary of common share equivalent basis, used in diluted per share computations [Abstract] | ||
1999 and 2008 Plan Stock Options (in shares) | 0 | 0 |
Options and warrants excluded from computation of earnings per share (in shares) | 658,631 | 798,475 |
Minimum [Member] | ||
Fixed Assets [Abstract] | ||
Estimated useful lives of fixed assets | 3 years | |
Maximum [Member] | ||
Fixed Assets [Abstract] | ||
Estimated useful lives of fixed assets | 7 years | |
License-BioRad [Member] | ||
License Agreement [Abstract] | ||
License agreement | $ 1,000,000 | |
Estimated economic life | 10 years | |
License-Kitgen [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Current portion of license agreement | $ 100,000 | |
License Agreement [Abstract] | ||
License agreement | 100,000 | |
License-SDS [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Current portion of license agreement | 181,818 | |
License Agreement [Abstract] | ||
License agreement | $ 400,000 | |
Estimated economic life | 22 months |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Inventories [Abstract] | ||
Raw materials | $ 2,248,371 | $ 2,323,863 |
Work in process | 370,340 | 346,494 |
Finished goods | 959,314 | 967,942 |
Inventories | $ 3,578,025 | $ 3,638,299 |
FIXED ASSETS (Details)
FIXED ASSETS (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Summary of fixed assets [Abstract] | ||
Fixed assets, gross | $ 6,638,401 | $ 6,168,717 |
Less accumulated depreciation and amortization | (4,264,093) | (3,370,788) |
Fixed assets, net | 2,374,308 | 2,797,929 |
Depreciation expenses | 893,305 | 616,943 |
Deposits on various equipment | 30,918 | 20,017 |
Additional obligation relating to milestones | 31,008 | |
Machinery and Equipment [Member] | ||
Summary of fixed assets [Abstract] | ||
Fixed assets, gross | 3,862,698 | 3,508,944 |
Furniture and Fixtures [Member] | ||
Summary of fixed assets [Abstract] | ||
Fixed assets, gross | 436,588 | 388,040 |
Computer and Telephone Equipment [Member] | ||
Summary of fixed assets [Abstract] | ||
Fixed assets, gross | 326,170 | 315,916 |
Leasehold Improvements [Member] | ||
Summary of fixed assets [Abstract] | ||
Fixed assets, gross | 2,012,945 | 1,955,817 |
Automobiles [Member] | ||
Summary of fixed assets [Abstract] | ||
Fixed assets, gross | 0 | 0 |
Assets Held under Capital Leases [Member] | ||
Summary of fixed assets [Abstract] | ||
Fixed assets, net | 0 | $ 0 |
Equipment Undergoing Validation [Member] | ||
Summary of fixed assets [Abstract] | ||
Fixed assets, gross | $ 100,000 |
ACCOUNTS PAYABLE AND ACCRUED 35
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Summary of accounts payable and accrued liabilities [Abstract] | ||
Accounts payable - suppliers | $ 1,260,520 | $ 1,980,120 |
Accrued commissions | 129,192 | 947,451 |
Accrued royalties / license fees | 732,301 | 1,034,062 |
Accrued payroll | 146,962 | 106,487 |
Accrued vacation | 244,810 | 219,924 |
Accrued bonuses | 177,700 | 265,500 |
Accrued expenses - other | 109,947 | 392,486 |
TOTAL | $ 2,801,432 | $ 4,946,030 |
DEFERRED RESEARCH AND DEVELOP36
DEFERRED RESEARCH AND DEVELOPMENT REVENUE (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
DEFERRED RESEARCH AND DEVELOPMENT REVENUE [Abstract] | ||
Unearned advanced revenues | $ 353,406 | $ 340,000 |
TERM NOTE, REVOLVING DEMAND N37
TERM NOTE, REVOLVING DEMAND NOTE, VEHICLE FINANCING AND LICENSE FEE PAYABLE (Details) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Debt Instrument [Line Items] | |
Debt covenants, description | The HSBC Security Agreement, which is related to the Demand Note, contains covenants that place restrictions on the Company’s operations, including covenants relating to debt restrictions, capital expenditures, tangible net worth, leverage, fixed charge coverage, employee loan restrictions, distribution restrictions (common stock and preferred stock), dividend restrictions, restrictions on lease payments to affiliates, restrictions on changes in business, asset sale restrictions, restrictions on acquisitions and mergers, and intercompany transactions, and restrictions on fundamental changes in the Company and in its business. |
Covenant compliance | The Company was in compliance with all required financial covenants at December 31, 2015. |
Line of Credit Facility [Line Items] | |
Maximum borrowing capacity | $ 2,000,000 |
Interest rate description | one-quarter percent above prime per annum |
Clean-up period | 30 days |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Current [Abstract] | ||
Federal | $ 0 | $ (16,119) |
State | 10,726 | 6,576 |
Total current provision | 10,726 | (9,543) |
Deferred [Abstract] | ||
Federal | (1,171,865) | (449,452) |
State | 896 | 46,077 |
Total deferred provision | (1,170,969) | (403,375) |
Total provision | (1,160,243) | (412,918) |
Operating Loss Carryforwards [Line Items] | ||
Net operating losses | $ 15,815,108 | |
Sustained profitable operating performance period | 5 years | |
Valuation allowance reversed | $ 1,518,414 | |
Current assets [Abstract] | ||
Inventory reserves | 242,532 | 311,931 |
Accrued expenses | 91,143 | 286,616 |
Deferred Tax Assets, Gross, Current | 333,675 | 598,547 |
Deferred Tax Assets, Valuation Allowance, Current | 0 | 0 |
Net current deferred asset | 333,675 | 598,547 |
Noncurrent assets [Abstract] | ||
Net operating loss carry-forwards | 5,365,401 | 3,986,618 |
Research and development credit | 1,518,414 | 1,175,725 |
Other Credits | 97,339 | 107,967 |
Other | 210,553 | 149,923 |
Gross noncurrent deferred tax assets | 7,191,707 | 5,420,233 |
Depreciation | (206,150) | (213,206) |
Noncurrent deferred tax assets | 6,985,557 | 5,207,027 |
Less valuation allowances | (1,518,414) | (1,175,725) |
Net noncurrent deferred tax assets | $ 5,467,143 | $ 4,031,302 |
Summary of reconciliation of the Federal statutory rate to the effective rate applicable to income (loss) before income taxes [Abstract] | ||
Federal income tax at statutory rates (in hundredths) | (34.00%) | (34.00%) |
State income taxes, net of federal benefit (in hundredths) | 0.23% | 0.28% |
Nondeductible expenses (in hundredths) | 1.38% | 4.54% |
Change in valuation allowance (in hundredths) | 9.46% | 9.47% |
Tax Credits (in hundredths) | (9.46%) | (9.47%) |
Change in tax rates (in hundredths) | 0.00% | 1.96% |
Other (in hundredths) | 0.34% | 0.58% |
Income tax (benefit) (in hundredths) | (32.05%) | (26.64%) |
2004 Change [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses | $ 5,832,516 | |
Annual limitation | $ 150,608 | |
Period of built-in gains | 5 years | |
Built-in-gains of net operating losses | $ 488,207 | |
2006 Change [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses | 8,586,861 | |
Annual limitation | $ 1,111,831 | |
Period of built-in gains | 5 years | |
Built-in-gains of net operating losses | $ 1,756,842 | |
Earliest Tax Year [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses, expiration dates | Dec. 31, 2020 | |
Earliest Tax Year [Member] | 2004 Change [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses, expiration dates | Dec. 31, 2018 | |
Earliest Tax Year [Member] | 2006 Change [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses, expiration dates | Dec. 31, 2018 | |
Latest Tax Year [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses, expiration dates | Dec. 31, 2035 | |
Latest Tax Year [Member] | 2004 Change [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses, expiration dates | Dec. 31, 2024 | |
Latest Tax Year [Member] | 2006 Change [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses, expiration dates | Dec. 31, 2028 | |
Research and Development Tax Credit Carryforward [Member] | ||
Tax Credit Carryforward [Line Items] | ||
Tax credit carryforward | $ 1,518,414 | |
Research and Development Tax Credit Carryforward [Member] | Minimum [Member] | ||
Tax Credit Carryforward [Line Items] | ||
Tax credit carryforward, expiration date | Dec. 31, 2025 | |
Research and Development Tax Credit Carryforward [Member] | Maximum [Member] | ||
Tax Credit Carryforward [Line Items] | ||
Tax credit carryforward, expiration date | Dec. 31, 2035 | |
Federal [Member] | Minimum [Member] | ||
Income Tax Contingency [Line Items] | ||
Open tax year | 2,012 | |
Federal [Member] | Maximum [Member] | ||
Income Tax Contingency [Line Items] | ||
Open tax year | 2,014 | |
New York state [Member] | Minimum [Member] | ||
Income Tax Contingency [Line Items] | ||
Open tax year | 2,012 | |
New York state [Member] | Maximum [Member] | ||
Income Tax Contingency [Line Items] | ||
Open tax year | 2,014 |
STOCKHOLDERS' EQUITY (Details)
STOCKHOLDERS' EQUITY (Details) | Apr. 03, 2013USD ($)$ / sharesshares | Dec. 31, 2014shares$ / shares | Jun. 30, 2014shares$ / shares | Mar. 31, 2014shares$ / shares | Sep. 30, 2013shares$ / shares | Mar. 31, 2013shares$ / shares | Sep. 30, 2012$ / sharesshares | Sep. 30, 2012shares | Dec. 31, 2015USD ($)$ / sharesshares | Dec. 31, 2014USD ($)$ / sharesshares |
Common Stock [Abstract] | ||||||||||
Shares sold in underwritten public offering (in shares) | 1,200,000 | |||||||||
Price per share of common stock sold in the offering (in dollars per share) | $ / shares | $ 5 | |||||||||
Proceeds from sale of offering | $ | $ 5,408,000 | |||||||||
Number of stock options exercised (in shares) | 41,141 | 318,750 | ||||||||
Exercise prices of stock option, minimum (in dollars per share) | $ / shares | $ 2.16 | $ 1.04 | ||||||||
Exercise prices of stock option, maximum (in dollars per share) | $ / shares | $ 3.60 | $ 1.04 | ||||||||
Preferred Stock [Abstract] | ||||||||||
Preferred stock - shares authorized (in shares) | 10,000,000 | 10,000,000 | 10,000,000 | |||||||
Preferred stock - shares outstanding (in shares) | 0 | 0 | 0 | |||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Reduced attributable expense | $ | $ 334,386 | $ 447,100 | ||||||||
Warrants [Abstract] | ||||||||||
Warrants outstanding (in shares) | 0 | 0 | 0 | |||||||
Exercise price of warrants (in dollars per share) | $ / shares | ||||||||||
Executives [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 16,360 | |||||||||
Exercise price of stock option (in dollars per share) | $ / shares | $ 5.56 | |||||||||
Expiration period of stock option | 5 years | |||||||||
Newly Hired Vice Presidents [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 0 | |||||||||
Number of equal annual installments with in which options are exercisable | 0 | |||||||||
BOD [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 46,875 | |||||||||
Exercise price of stock option (in dollars per share) | $ / shares | $ 3.480 | |||||||||
Expiration period of stock option | 5 years | |||||||||
Number of equal annual installments with in which options are exercisable | 5 | |||||||||
New Vice Presidents [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 0 | |||||||||
Exercise price of stock option (in dollars per share) | $ / shares | $ 0 | |||||||||
Other New Vice President [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 36,000 | |||||||||
Exercise price of stock option (in dollars per share) | $ / shares | $ 4.35 | |||||||||
Expiration period of stock option | 5 years | |||||||||
Number of equal annual installments with in which options are exercisable | 3 | |||||||||
EVP [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 30,000 | |||||||||
Exercise price of stock option (in dollars per share) | $ / shares | $ 5.44 | |||||||||
Number of equal annual installments with in which options are exercisable | 3 | |||||||||
COO [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 5,000 | |||||||||
Exercise price of stock option (in dollars per share) | $ / shares | $ 4.50 | |||||||||
Number of equal annual installments with in which options are exercisable | 2 | |||||||||
CEO [Member] | ||||||||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||||||||
Stock options issued to purchase of common stock (in shares) | 250,000 | |||||||||
Exercise price of stock option (in dollars per share) | $ / shares | $ 3.416 | |||||||||
Expiration period of stock option | 7 years | |||||||||
Number of equal annual installments with in which options are exercisable | 5 |
RIGHTS AGREEMENT (Details)
RIGHTS AGREEMENT (Details) - $ / shares | Mar. 08, 2010 | Dec. 31, 2015 | Dec. 31, 2014 |
RIGHTS AGREEMENT [Abstract] | |||
Conversion basis of dividend distribution | one preferred share purchase right (a "Right") for each outstanding share of Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |
Minimum combined ownership of outstanding shares of common stock by acquiring person (in hundredths) | 15.00% |
EMPLOYEE STOCK OPTION PLAN (Det
EMPLOYEE STOCK OPTION PLAN (Details) - USD ($) | 12 Months Ended | ||||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2008 | Dec. 31, 1999 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of stock options exercised under the plan (in shares) | 41,141 | 318,750 | |||||
Weighted average estimated grant-date fair value of stock options granted (in dollars per share) | $ 0 | $ 3.52 | |||||
Stock options, number of shares [Roll forward] | |||||||
Exercised (in shares) | (41,141) | (318,750) | |||||
Stock options, additional disclosure [Abstract] | |||||||
Outstanding, aggregate intrinsic value, end of period | $ 1,032,362 | ||||||
Exercisable, aggregate intrinsic value, end of period | 522,039 | ||||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||||
Allocated share-based compensation expense | $ 334,400 | $ 447,100 | |||||
Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of stock options outstanding under the plan (in shares) | 691,869 | 691,869 | 649,478 | 691,869 | |||
Number of stock options exercised under the plan (in shares) | (41,141) | ||||||
Assumptions made in calculating fair values of options [Abstract] | |||||||
Expected term (in years) | 4 years 6 months | ||||||
Expected volatility minimum (in hundredths) | 0.00% | 61.50% | |||||
Expected volatility maximum (in hundredths) | 0.00% | 96.10% | |||||
Risk-free interest rate minimum (in hundredths) | 0.00% | 0.83% | |||||
Risk-free interest rate minimum (in hundredths) | 0.00% | 1.52% | |||||
Stock options, number of shares [Roll forward] | |||||||
Outstanding, beginning of period (in shares) | 691,869 | ||||||
Granted (in shares) | 0 | ||||||
Exercised (in shares) | 41,141 | ||||||
Forfeited/expired/cancelled (in shares) | 1,250 | ||||||
Outstanding, end of period (in shares) | 649,478 | 691,869 | |||||
Exercisable, end of period (in shares) | 359,228 | ||||||
Stock options, weighted average exercise price per share [Roll Forward] | |||||||
Outstanding, beginning of period (in dollars per share) | $ 3.66 | ||||||
Granted (in dollars per share) | 0 | ||||||
Exercised (in dollars per share) | 2.25 | ||||||
Forfeited/expired/cancelled (in dollars per share) | 4.30 | ||||||
Outstanding, end of period (in dollars per share) | 3.75 | $ 3.66 | |||||
Exercisable, end of period (in dollars per share) | $ 3.89 | ||||||
Stock options, additional disclosure [Abstract] | |||||||
Outstanding, weighted average remaining contractual term | 3 years 2 months 16 days | 3 years 11 months 19 days | |||||
Exercisable, weighted average remaining contractual term | 2 years 11 days | ||||||
Outstanding, aggregate intrinsic value, beginning of period | $ 334,636 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value | 5 | ||||||
Outstanding, aggregate intrinsic value, end of period | 1,032,362 | $ 334,636 | |||||
Exercisable, aggregate intrinsic value, end of period | $ 522,039 | ||||||
Net unrecognized compensation cost | $ 296,567 | ||||||
Weighted average period for recognition of net unrecognized compensation cost | 2 years 18 days | ||||||
Total fair value of stock options vested during period | $ 357,484 | 283,091 | |||||
Stock Options [Member] | Minimum [Member] | |||||||
Assumptions made in calculating fair values of options [Abstract] | |||||||
Expected term (in years) | 0 years | ||||||
Stock Options [Member] | Maximum [Member] | |||||||
Assumptions made in calculating fair values of options [Abstract] | |||||||
Expected term (in years) | 0 years | 6 years 3 months 18 days | |||||
Cost of Goods Sold [Member] | |||||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||||
Allocated share-based compensation expense | $ 0 | 700 | |||||
Research and Development Expense [Member] | |||||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||||
Allocated share-based compensation expense | 62,700 | 44,500 | |||||
Selling, General and Administrative Expenses [Member] | |||||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||||||
Allocated share-based compensation expense | $ 271,700 | $ 401,900 | |||||
1999 Stock Option Plan [Member] | Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares authorized under the plan (in shares) | 375,000 | 187,500 | |||||
Number of stock options outstanding under the plan (in shares) | 0 | 0 | |||||
Maximum period of stock option issuance after adoption of SOP | 10 years | ||||||
Stock options, number of shares [Roll forward] | |||||||
Outstanding, end of period (in shares) | 0 | ||||||
2008 Stock Incentive Plan [Member] | Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares authorized under the plan (in shares) | 750,000 | 625,000 | |||||
Increase in number of shares authorized (in shares) | 125,000 | ||||||
Number of stock options outstanding under the plan (in shares) | 312,860 | 312,860 | |||||
Number of stock options exercised under the plan (in shares) | 353,935 | ||||||
Options still available to be issued (in shares) | 83,205 | ||||||
Stock options, number of shares [Roll forward] | |||||||
Exercised (in shares) | (353,935) | ||||||
Outstanding, end of period (in shares) | 312,860 | ||||||
2014 Stock Incentive Plan [Member] | Stock Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares authorized under the plan (in shares) | 800,000 | ||||||
Increase in number of shares authorized (in shares) | 0 | ||||||
Number of stock options outstanding under the plan (in shares) | 129,750 | 129,750 | 129,750 | ||||
Maximum period of stock option issuance after adoption of SOP | 10 years | ||||||
Number of stock options exercised under the plan (in shares) | 0 | ||||||
Options still available to be issued (in shares) | 670,250 | ||||||
Stock options, number of shares [Roll forward] | |||||||
Outstanding, beginning of period (in shares) | 129,750 | ||||||
Exercised (in shares) | 0 | ||||||
Outstanding, end of period (in shares) | 129,750 |
EMPLOYEE STOCK OPTION PLAN, Par
EMPLOYEE STOCK OPTION PLAN, Part 2 (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Range of Exercise Prices [Abstract] | ||
Range of exercise prices, minimum (in dollars per share) | $ 2.16 | $ 1.04 |
Range of exercise prices, maximum (in dollars per share) | $ 3.60 | $ 1.04 |
Stock Options Outstanding [Abstract] | ||
Shares (in shares) | 649,478 | |
Average remaining contract life | 3 years 2 months 16 days | |
Weighted average exercise price (in dollars per share) | $ 3.75 | |
Aggregate intrinsic value | $ 1,032,362 | |
Stock Options Exercisable [Abstract] | ||
Shares (in shares) | 359,228 | |
Weighted average exercise price (in dollars per share) | $ 3.89 | |
Aggregate intrinsic value | $ 522,039 | |
0 to 1.50 [Member] | ||
Range of Exercise Prices [Abstract] | ||
Range of exercise prices, minimum (in dollars per share) | $ 0 | |
Range of exercise prices, maximum (in dollars per share) | $ 3 | |
Stock Options Outstanding [Abstract] | ||
Shares (in shares) | 92,063 | |
Average remaining contract life | 8 months 23 days | |
Weighted average exercise price (in dollars per share) | $ 2.80 | |
Aggregate intrinsic value | $ 232,919 | |
Stock Options Exercisable [Abstract] | ||
Shares (in shares) | 92,063 | |
Weighted average exercise price (in dollars per share) | $ 2.80 | |
Aggregate intrinsic value | $ 232,919 | |
1.5001 to 2 [Member] | ||
Range of Exercise Prices [Abstract] | ||
Range of exercise prices, minimum (in dollars per share) | $ 3 | |
Range of exercise prices, maximum (in dollars per share) | $ 3.500 | |
Stock Options Outstanding [Abstract] | ||
Shares (in shares) | 343,750 | |
Average remaining contract life | 4 years 8 months 23 days | |
Weighted average exercise price (in dollars per share) | $ 3.43 | |
Aggregate intrinsic value | $ 651,863 | |
Stock Options Exercisable [Abstract] | ||
Shares (in shares) | 87,500 | |
Weighted average exercise price (in dollars per share) | $ 3.44 | |
Aggregate intrinsic value | $ 165,060 | |
2.0001 to 3.5 [Member] | ||
Range of Exercise Prices [Abstract] | ||
Range of exercise prices, minimum (in dollars per share) | $ 3.500 | |
Range of exercise prices, maximum (in dollars per share) | $ 4 | |
Stock Options Outstanding [Abstract] | ||
Shares (in shares) | 15,720 | |
Average remaining contract life | 1 year 18 days | |
Weighted average exercise price (in dollars per share) | $ 3.95 | |
Aggregate intrinsic value | $ 21,689 | |
Stock Options Exercisable [Abstract] | ||
Shares (in shares) | 15,720 | |
Weighted average exercise price (in dollars per share) | $ 3.95 | |
Aggregate intrinsic value | $ 21,689 | |
3.5001 to 4.5 [Member] | ||
Range of Exercise Prices [Abstract] | ||
Range of exercise prices, minimum (in dollars per share) | $ 4 | |
Range of exercise prices, maximum (in dollars per share) | $ 4.500 | |
Stock Options Outstanding [Abstract] | ||
Shares (in shares) | 122,320 | |
Average remaining contract life | 1 year 10 months 13 days | |
Weighted average exercise price (in dollars per share) | $ 4.37 | |
Aggregate intrinsic value | $ 117,971 | |
Stock Options Exercisable [Abstract] | ||
Shares (in shares) | 98,320 | |
Weighted average exercise price (in dollars per share) | $ 4.37 | |
Aggregate intrinsic value | $ 94,451 | |
4.50001 to 8 [Member] | ||
Range of Exercise Prices [Abstract] | ||
Range of exercise prices, minimum (in dollars per share) | $ 4.501 | |
Range of exercise prices, maximum (in dollars per share) | $ 6 | |
Stock Options Outstanding [Abstract] | ||
Shares (in shares) | 75,625 | |
Average remaining contract life | 1 year 10 months 24 days | |
Weighted average exercise price (in dollars per share) | $ 5.30 | |
Aggregate intrinsic value | $ 7,920 | |
Stock Options Exercisable [Abstract] | ||
Shares (in shares) | 65,625 | |
Weighted average exercise price (in dollars per share) | $ 5.28 | |
Aggregate intrinsic value | $ 7,920 |
GEOGRAPHIC INFORMATION (Details
GEOGRAPHIC INFORMATION (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | $ 21,886,688 | $ 25,949,769 |
Ethiopia [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 0 | |
Uganda [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 1,344,500 | |
Mexico [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | (3,913,400) | |
EURODELTA [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 972,500 | |
OTHER Countries [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 0 | |
Nigeria [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 287,500 | |
U.S. [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 6,563,000 | 7,208,000 |
Brazil [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 10,141,800 | 12,253,500 |
Peru [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 0 | |
Asia [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 172,250 | 96,061 |
Europe [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 1,164,476 | 191,947 |
North America [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 6,525,951 | 11,134,691 |
South America [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 10,350,812 | 12,429,717 |
Africa [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | 3,673,199 | $ 2,097,353 |
Middle East [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Net sales | $ 76,200 |
COMMITMENTS AND CONTINGENCIES44
COMMITMENTS AND CONTINGENCIES (Details) | 12 Months Ended | |||
Dec. 31, 2015USD ($)KeyEmployee | Dec. 31, 2014USD ($) | |||
Employment Contracts [Abstract] | ||||
Number of key employees with whom Company has employment contracts | KeyEmployee | 3 | |||
Aggregate annual salaries of employment contracts | $ 944,500 | |||
Future minimum salary commitments [Abstract] | ||||
2,016 | 690,800 | |||
2,017 | 181,200 | |||
2,018 | 0 | |||
2,019 | $ 0 | |||
Pension Plan [Abstract] | ||||
Percentage of employer's matching contribution (in hundredths) | 40.00% | |||
Maximum employee contribution subject to employer matching contribution (in hundredths) | 5.00% | |||
Maximum employer matching contribution (in hundredths) | 2.00% | |||
Expenses related to matching contribution | $ 90,915 | $ 82,750 | ||
Schedule of future minimum rental commitments [Abstract] | ||||
2,013 | 0 | |||
2,014 | 527,151 | |||
Operating Leases, Future Minimum Payments, Due in Three Years | 306,018 | |||
Operating Leases, Future Minimum Payments, Due in Four Years | 64,067 | |||
Operating Leases, Future Minimum Payments, Due in Five Years | 0 | |||
Total | 897,236 | |||
Rent expense | 511,900 | 476,000 | ||
Economic Dependency [Abstract] | ||||
Sales | 21,886,688 | 25,949,769 | ||
Accounts Receivable | 2,422,971 | 8,338,889 | ||
Accounts Payable | $ 1,260,520 | 1,980,120 | ||
Customer Concentration Risk [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 10.00% | |||
Customer Concentration Risk [Member] | Customer 1 [Member] | ||||
Economic Dependency [Abstract] | ||||
Accounts Receivable | $ 775,209 | 6,230,886 | ||
Customer Concentration Risk [Member] | Customer 2 [Member] | ||||
Economic Dependency [Abstract] | ||||
Accounts Receivable | 700,656 | 386,270 | ||
Customer Concentration Risk [Member] | Customer4 [Member] | ||||
Economic Dependency [Abstract] | ||||
Accounts Receivable | 402,810 | 0 | ||
Customer Concentration Risk [Member] | Customer5 [Member] | ||||
Economic Dependency [Abstract] | ||||
Accounts Receivable | 0 | 138,335 | ||
Customer Concentration Risk [Member] | Customer 3 [Member] | ||||
Economic Dependency [Abstract] | ||||
Accounts Receivable | $ 0 | 0 | ||
Supplier Concentration Risk [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 10.00% | |||
Supplier Concentration Risk [Member] | Vendor 1 [Member] | ||||
Economic Dependency [Abstract] | ||||
Accounts Payable | $ 90,075 | 200,855 | ||
Supplier Concentration Risk [Member] | Vendor 2 [Member] | ||||
Economic Dependency [Abstract] | ||||
Accounts Payable | 0 | $ 0 | ||
Medford [Member] | ||||
Entity Location [Line Items] | ||||
Monthly rent | $ 27,988 | |||
Lease expiration date | Apr. 30, 2017 | |||
Percentage of monthly rent increase in year three through five (in hundredths) | 250.00% | |||
Holbrook [Member] | ||||
Entity Location [Line Items] | ||||
Monthly rent | $ 15,097 | |||
Lease expiration date | Apr. 30, 2018 | |||
Percentage of monthly rent increase in year three through five (in hundredths) | 300.00% | |||
Sales [Member] | Customer Concentration Risk [Member] | Customer 1 [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 46.00% | 47.00% | ||
Sales | $ 10,132,512 | $ 12,253,526 | ||
Sales [Member] | Customer Concentration Risk [Member] | Customer 2 [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 21.00% | 26.00% | ||
Sales | $ 4,526,908 | $ 6,618,251 | ||
Sales [Member] | Customer Concentration Risk [Member] | Customer4 [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 4.00% | [1] | 1.00% | |
Sales | $ 900,000 | [1] | $ 0 | |
Sales [Member] | Customer Concentration Risk [Member] | Customer5 [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 1.00% | [1] | 13.00% | |
Sales | $ 0 | [1] | $ 3,455,402 | |
Sales [Member] | Customer Concentration Risk [Member] | Customer 3 [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 4.00% | [1] | 1.00% | |
Sales | $ 944,982 | [1] | $ 0 | |
Purchases [Member] | Supplier Concentration Risk [Member] | Vendor 1 [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 11.00% | 14.00% | [2] | |
Purchases | $ 794,536 | $ 1,331,647 | [2] | |
Purchases [Member] | Supplier Concentration Risk [Member] | Vendor 2 [Member] | ||||
Economic Dependency [Abstract] | ||||
Concentration risk percentage, minimum (in hundredths) | 1.00% | 17.00% | [2] | |
Purchases | $ 0 | $ 1,594,838 | [2] | |
[1] | In the table above the asterisk (*) indicates that sales to the customer did not exceed 10% for the period indicated. | |||
[2] | In the table above the asterisk (*) indicates that purchases from the vendor did not exceed 10% for the period indicated. |
COLLABORATIVE RESEARCH AND DE45
COLLABORATIVE RESEARCH AND DEVELOPMENT AGREEMENTS (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||||
Jul. 31, 2012 | Apr. 30, 2011 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenues from research and milestones | $ 2,316,044 | $ 1,672,258 | ||||
Research and development expenses, excluding regulatory and QTDP | $ 5,395,000 | 4,051,000 | ||||
Brain [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 469,600 | |||||
Maximum amount of development agreement | $ 946,000 | |||||
Period in which development activity is to be completed | 7 months | |||||
Research and development payments received under the agreement | $ 469,600 | $ 0 | ||||
TBS [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 205,000 | |||||
Maximum amount of development agreement | $ 320,000 | |||||
Period in which development activity is to be completed | 7 months | |||||
Research and development payments received under the agreement | $ 205,000 | 0 | ||||
Gates [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 307,000 | |||||
Maximum amount of development agreement | $ 307,000 | |||||
Period in which development activity is to be completed | 7 months | |||||
Research and development payments received under the agreement | $ 307,000 | 0 | ||||
Paul Allen [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 408,500 | |||||
Maximum amount of development agreement | $ 2,118,265 | |||||
Period in which development activity is to be completed | 12 months | |||||
Research and development payments received under the agreement | $ 408,500 | 0 | ||||
Development of Test for Tuberculosis [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Grant received | $ 2,850,000 | |||||
Term of grant | 3 years | |||||
Revenue earned from grant | $ 0 | 388,000 | ||||
Revenue from grants from inception | 2,850,000 | |||||
Amount paid to subcontractors | 1,019,000 | |||||
RVR DENGUE [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 240,000 | |||||
Revenue from grants from inception | 300,000 | |||||
Maximum amount of development agreement | $ 300,000 | |||||
Period in which development activity is to be completed | 6 months | |||||
Research and development payments received under the agreement | 240,000 | $ 60,000 | ||||
RVR TECH [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 125,000 | |||||
Revenue from grants from inception | 1,250,000 | |||||
Maximum amount of development agreement | $ 1,500,000 | |||||
Period in which development activity is to be completed | 12 months | |||||
Research and development payments received under the agreement | 125,000 | $ 1,125,000 | ||||
(DPP?) Technology [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 216,850 | 115,000 | ||||
Maximum amount of development agreement | $ 1,253,100 | |||||
Period in which development activity is to be completed | 6 months | |||||
Research and development payments received under the agreement | 1,253,100 | 1,036,250 | ||||
DTRA [Member] | ||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ||||||
Revenue earned from grant | 0 | 117,000 | ||||
Maximum amount of development agreement | $ 883,000 | |||||
Period in which development activity is to be completed | 8 months | |||||
Research and development payments received under the agreement | $ 883,000 | $ 883,000 |