HTG Molecular Diagnostics (HTGMQ) 10-Q 7 Nov 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2017	Nov. 02, 2017
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Trading Symbol	HTGM
Entity Registrant Name	HTG Molecular Diagnostics, Inc
Entity Central Index Key	1,169,987
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		12,507,215

Condensed Balance Sheets

Condensed Balance Sheets - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 9,047,401	$ 7,507,659
Short-term investments available-for-sale, at fair value		4,304,901
Accounts receivable	3,159,223	1,377,441
Inventory, net of allowance of $186,475 at September 30, 2017 and $270,307 at December 31, 2016	1,250,763	1,511,053
Prepaid expenses and other	527,623	433,328
Total current assets	13,985,010	15,134,382
Deferred offering costs		49,630
Property and equipment, net	3,255,438	3,270,197
Total assets	17,240,448	18,454,209
Current liabilities:
Accounts payable	2,693,238	761,663
Accrued liabilities	1,997,570	1,670,286
Deferred revenue - current	780,965	335,659
NuvoGen obligation - current	460,698	604,751
Term loan payable - current, net of discount and debt issuance costs of $103,738 at September 30, 2017 and $0 at December 31, 2016	7,363,662	6,389,782
Other current liabilities	228,779	258,850
Total current liabilities	13,524,912	10,020,991
Term loan payable - non-current, net of discount and debt issuance costs of $0 at September 30, 2017 and $263,378 at December 31, 2016		5,389,137
NuvoGen obligation - non-current, net of discount	7,709,162	8,017,356
Other non-current liabilities	523,315	619,587
Total liabilities	21,757,389	24,047,071
Commitments and Contingencies
Stockholders’ deficit:
Common stock, $0.001 par value; 200,000,000 shares authorized at September 30, 2017 and December 31, 2016; 12,507,215 shares issued and outstanding, at September 30, 2017; 7,939,967 and 7,938,571 shares issued and outstanding, respectively, at December 31, 2016	12,506	7,938
Additional paid-in-capital	128,114,619	110,081,334
Treasury stock, no shares as of September 30, 2017 and 1,396 shares as of December 31, 2016		(75,000)
Accumulated other comprehensive loss		(1,090)
Accumulated deficit	(132,644,066)	(115,606,044)
Total stockholders’ deficit	(4,516,941)	(5,592,862)
Total liabilities and stockholders' deficit	$ 17,240,448	$ 18,454,209

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Statement Of Financial Position [Abstract]
Inventory net allowance	$ 186,475	$ 270,307
Term loan payable discount and debt issuance costs current	103,738	0
Term loan payable discount and debt issuance costs non-current	$ 0	$ 263,378
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	12,507,215	7,939,967
Common stock, shares outstanding	12,507,215	7,938,571
Treasury stock, shares	0	1,396

Condensed Statements of Operati

Condensed Statements of Operations - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Revenue:
Product	$ 625,605	$ 506,065	$ 1,573,926	$ 1,683,382
Service	3,097,879	407,836	5,281,483	1,991,567
Total revenue	3,723,484	913,901	6,855,409	3,674,949
Cost of revenue	1,088,987	1,125,009	3,621,193	2,901,455
Gross margin	2,634,497	(211,108)	3,234,216	773,494
Operating expenses:
Selling, general and administrative	4,258,347	3,937,600	12,910,251	13,343,945
Research and development	3,478,419	1,910,116	6,364,371	6,515,808
Total operating expenses	7,736,766	5,847,716	19,274,622	19,859,753
Operating loss	(5,102,269)	(6,058,824)	(16,040,406)	(19,086,259)
Other income (expense):
Interest expense	(300,272)	(490,825)	(1,048,750)	(1,422,171)
Interest income	22,438	26,196	52,149	92,767
Total other income (expense)	(277,834)	(429,618)	(996,593)	(1,275,951)
Other income		35,011	8	53,453
Net loss before income taxes	(5,380,103)	(6,488,442)	(17,036,999)	(20,362,210)
Provision for income taxes	743		1,023	4,259
Net loss	$ (5,380,846)	$ (6,488,442)	$ (17,038,022)	$ (20,366,469)
Net loss per share, basic and diluted	$ (0.46)	$ (0.92)	$ (1.74)	$ (2.92)
Shares used in computing net loss per share, basic and diluted	11,603,617	7,053,010	9,794,651	6,985,924

Condensed Statements of Compreh

Condensed Statements of Comprehensive Loss - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Statement Of Income And Comprehensive Income [Abstract]
Net loss	$ (5,380,846)	$ (6,488,442)	$ (17,038,022)	$ (20,366,469)
Other comprehensive income, net of tax effect:
Unrealized gain (loss) on short and long-term investments	0	(2,836)	1,090	41,037
Comprehensive loss	$ (5,380,846)	$ (6,491,278)	$ (17,036,932)	$ (20,325,432)

Condensed Statements of Changes

Condensed Statements of Changes in Stockholders' Deficit - 9 months ended Sep. 30, 2017 - USD ($)	Total	Common Stock	Additional Paid-In Capital	Treasury Stock	Accumulated Other Comprehensive Loss	Accumulated Deficit
Balance at Dec. 31, 2016	$ (5,592,862)	$ 7,938	$ 110,081,334	$ (75,000)	$ (1,090)	$ (115,606,044)
Balance, shares at Dec. 31, 2016		7,938,571
Exercise of stock options	165,261	$ 42	165,219
Exercise of stock options, shares		41,815
Stock-based compensation expense	1,171,660		1,171,660
Vesting of restricted stock units	328	$ 328
Vesting of restricted stock units, shares		328,000
Stock issued under stock purchase plan	115,886	$ 66	115,820
Stock issued under stock purchase plan, shares		65,972
Issuance of common stock from the ATM Offering	$ 16,659,718	$ 4,133	16,655,585
Issuance of common stock from the ATM Offering, Shares	4,132,857	4,132,857
Retirement of treasury stock		$ (1)	(74,999)	$ 75,000
Net loss	$ (17,038,022)					(17,038,022)
Unrealized gain on short and long-term investments	1,090				$ 1,090
Balance at Sep. 30, 2017	$ (4,516,941)	$ 12,506	$ 128,114,619			$ (132,644,066)
Balance, shares at Sep. 30, 2017		12,507,215

Condensed Statements of Change7

Condensed Statements of Changes in Stockholders' Deficit (Parenthetical) $ in Millions	9 Months Ended
	Sep. 30, 2017USD ($)
Statement Of Stockholders Equity [Abstract]
At the market offering, issuance costs	$ 0.7

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Operating activities
Net loss	$ (17,038,022)	$ (20,366,469)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	893,334	1,086,752
Accretion of discount on NuvoGen obligation	147,753	156,103
Provision for excess inventory	302,085	437,893
Amortization of Growth Term Loan discount and issuance costs	325,517	415,355
Stock-based compensation expense	1,171,988	552,054
Employee stock purchase plan expense	44,170
Accretion of incentive from landlord	(106,500)	(94,667)
Accrued interest on available-for-sale securities investments	5,991	130,576
Other operating adjustments	1,307
Changes in operating assets and liabilities:
Accounts receivable	(1,781,782)	124,385
Inventory	13,944	(104,277)
Prepaid expenses and other	(94,295)	3,911
Deferred offering costs	49,630
Accounts payable	1,521,391	367,529
Accrued liabilities	327,284	(258,073)
Deferred revenue	469,276	236,187
Net cash used in operating activities	(13,746,929)	(17,312,741)
Investing activities
Purchase of property and equipment	(525,437)	(1,859,155)
Sales, redemptions and maturities of available-for-sale securities	4,300,000	23,000,000
Purchase of available-for-sale securities		(3,381,271)
Net cash provided by investing activities	3,774,563	17,759,574
Financing activities
Payment of offering costs	(231,475)
Proceeds from Growth Term Loan		5,000,000
Payments on Growth Term Loan	(4,740,774)	(2,932,482)
Proceeds from ATM offering	16,891,193
Payments on capital leases	(43,813)	(99,863)
Proceeds from exercise of stock options	165,261	10,132
Proceeds from shares purchased under the stock purchase plan	71,716	167,721
Payments on NuvoGen obligation	(600,000)	(362,500)
Net cash provided by financing activities	11,512,108	1,783,008
Increase in cash and cash equivalents	1,539,742	2,229,841
Cash and cash equivalents at beginning of period	7,507,659	3,293,983
Cash and cash equivalents at end of period	9,047,401	5,523,824
Noncash investing and financing activities
Fixed asset purchases payable and accrued at period end	410,184	25,496
Carrying value of demonstration units transferred from property and equipment to inventory	55,739
Stock issued for settlement of accrued bonus		(364,910)
Purchase of property and equipment under capital lease		226,835
Incentive from landlord		710,000
Retirement of treasury stock	75,000
Supplemental cash flow information
Cash paid for interest	$ 575,480	$ 850,713

Description of Business

Description of Business	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Description of Business	Note 1. Description of Business HTG Molecular Diagnostics, Inc. (the “Company”) is a commercial stage company that develops and markets products and services based on proprietary technology that facilitates the routine use of targeted molecular profiling. The Company derives revenue from sales of its automation system and integrated next-generation sequencing-based HTG EdgeSeq assays and from sample processing, custom research use only assay development, and collaborative development services. The Company operates in one segment and the majority of its customers are located in the United States and Europe. For the three and nine months ended September 30, 2017 approximately 68% and 49%, respectively, of the Company’s revenue was generated from sales to customers located outside of the United States, compared with 15% and 11%, respectively, for the three and nine months ended September 30, 2016. The increase in sales to customers located outside of the United States is primarily the result of the Master Assay Development, Commercialization and Manufacturing Agreement with QIAGEN Manchester Limited (See Note 14), which accounted for 85% and 72% of sales to customers located outside of the United States for the three and nine months ended September 30, 2017.

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation	Note 2. Basis of Presentation Basis of Presentation The accompanying interim unaudited condensed financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and reflect the accounts of the Company as of September 30, 2017 and for the three and nine months ended September 30, 2017 and 2016. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles in the United States of America (“GAAP”) for complete financial statements. The accompanying interim unaudited condensed financial statements reflect all adjustments consisting of normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the Company’s financial position and the results of its operations and cash flows, as of and for the periods presented. The unaudited condensed balance sheet at December 31, 2016 has been derived from the audited financial statements at that date but does not include all of the information and disclosures required by GAAP for annual financial statements. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto for the fiscal year ended December 31, 2016, included in the Company’s Annual Report on Form 10-K filed with the SEC on March 23, 2017. Going Concern In accordance with the criteria of Accounting Standards Update (“ASU”) No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern The Company will need to raise additional capital to fund its operations and service its near and long-term debt obligations until its revenue reaches a level sufficient to provide for self-sustaining cash flows. There can be no assurance that additional capital will be available on acceptable terms, or at all, or that the Company’s revenue will reach a level sufficient to provide for self-sustaining cash flows. If sufficient additional capital is not available as and when needed, the Company may have to delay, scale back or discontinue one or more product development programs, curtail its commercialization activities, significantly reduce expenses, sell assets (potentially at a discount to their fair value or carrying value), enter into relationships with third parties to develop or commercialize products or technologies that the Company otherwise would have sought to develop or commercialize independently, cease operations altogether, pursue a sale of the Company at a price that may result in up to a total loss on investment for its stockholders, file for bankruptcy or seek other protection from creditors, or liquidate all assets. In addition, if the Company defaults under its term loan agreement, its lenders could foreclose on its assets, including substantially all of its cash and cash equivalents which are held in accounts with its lenders. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The Company’s significant estimates include revenue recognition, stock-based compensation expense, bonus accrual, income tax valuation allowances, recovery of long-lived assets, inventory obsolescence and inventory valuation. Actual results could materially differ from those estimates. Fair Value of Financial Instruments The carrying value of financial instruments classified as current assets and current liabilities approximate fair value due to their liquidity and short-term nature. Investments that are classified as available-for-sale are recorded at fair value, which is determined using quoted market prices, broker or dealer quotations or alternative pricing sources with reasonable levels of price transparency. The Growth Term Loan and NuvoGen obligation are considered financial instruments. However, the Company is unable to reasonably determine the fair value of these obligations. Revenue Recognition – Collaborative Development Service Revenue The Company follows ASC 605-25, Revenue Recognition – Multiple-Element Arrangements and ASC 808, Collaborative Arrangements, if applicable, to determine the appropriate recognition of revenue under its collaborative research, development and commercialization agreements that contain multiple elements. These multiple elements, or deliverables, may include access to the Company’s technology through grants of licenses to its intellectual property, research and development services and participation in joint development steering committees, amongst others. The payments the Company receives under these arrangements typically include one or more of the following: non-refundable up-front fees, monthly development service fees, milestone payments upon acceptance of contract deliverables or profit sharing payments for completed contract milestones. Research and Development Costs Research and development expenses represent costs incurred internally for research and development activities and costs incurred externally to fund research activities. These costs include those generated through research and development efforts for the improvement and expansion of the Company’s proprietary technology and product offerings as well as those related to third-party collaborative development agreements, for which related revenue is included in service revenue in the condensed statements of operations. Concentration Risks Financial instruments that potentially subject the Company to credit risk consist principally of cash and cash equivalents and uncollateralized accounts receivable. The Company maintains the majority of its cash balances in the form of cash deposits in bank checking and money market accounts in amounts in excess of federally insured limits. Management believes, based upon the quality of the financial institution, that the credit risk with regard to these deposits is not significant. The Company sells its instruments, consumables, sample processing services, custom panel design and collaborative development services primarily to biopharmaceutical companies, academic institutions and molecular labs. The Company routinely assesses the financial strength of its customers and credit losses have been minimal to date. The Company had product revenue consisting of revenue from the sale of instruments and consumables for the three and nine months ended September 30, 2017 and 2016, as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Instruments $ 199,205 $ 5,846 $ 370,263 $ 88,146 Consumables 426,400 500,219 1,203,663 1,595,236 Total product revenue $ 625,605 $ 506,065 $ 1,573,926 $ 1,683,382 The Company had service revenue consisting of revenue from custom assay development, sample processing and collaborative development services for the three and nine months ended September 30, 2017 and 2016, as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Custom assay development $ 73,567 $ 103,719 $ 419,515 $ 103,719 Sample processing 893,618 304,117 2,428,863 1,887,848 Collaborative development services 2,130,694 — 2,433,105 — Total service revenue $ 3,097,879 $ 407,836 $ 5,281,483 $ 1,991,567 The Company’s top three customers accounted for 57%, 10% and 4% of the Company’s total revenue for the three months ended September 30, 2017, compared with 27%, 24% and 9% for the three months ended September 30, 2016. The top three customers accounted for 35%, 13% and 5% of the Company’s revenue for the nine months ended September 30, 2017, compared with 38%, 14% and 7% for the nine months ended September 30, 2016. The top two customers accounted for approximately 62% and 6% of the Company’s accounts receivable as of September 30, 2017, compared with approximately 28% and 15% as of December 31, 2016. The Company currently relies on a single supplier to supply a subcomponent used in the HTG EdgeSeq processors and a second single supplier to provide raw materials used in its HTG EdgeSeq proprietary assays. A loss of either of these suppliers could significantly delay the delivery of products or the completion of services to be performed, which in turn would materially affect the Company’s ability to generate revenue. Recently Adopted Accounting Pronouncements In July 2015, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2015-11, Inventory: Simplifying the Measurement of Inventory In April 2016, the FASB issued ASU No. 2016-09, Share-Based Payment: Simplifying the Accounting for Share-Based Payments Recently Issued Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers In March 2016, the FASB issued ASU No. 2016-08, Revenue Recognition: Clarifying the new Revenue Standard’s Principal-Versus-Agent Guidance In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow Scope Improvements and Practical Expedients. The new revenue standard and the standards that amend it will be effective for public entities for fiscal years and interim periods within those fiscal years beginning after December 15, 2017, 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). The Company plans to adopt the new guidance beginning January 1, 2018 and is currently assessing which transition method to apply. The Company is in the process of analyzing the new guidance for all of its contracts with customers, which includes performing a detailed review of how the new standard affects each of its different types of customer contracts, comparing historical accounting policies and practices to the new standard and assessing the impact on internal controls over financial reporting. As of September 30, 2017, the Company has completed and documented a preliminary assessment of the impact of the new revenue standard on its standard instrument, consumables and sample processing contracts. Additionally, the Company’s assessments of the impact of the new revenue standard on its collaborative arrangements are in process and are mostly complete. The FASB has included on its agenda a project to make targeted improvements to the guidance in ASC 808, Collaborative Arrangements In February 2016, the FASB issued ASU No. 2016-02, Leases In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In May 2017, the FASB issued ASU No. 2017-09, Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting In July 2017, the FASB issued ASU 2017-11, Accounting for Certain Financial Instruments with Down Round Features

Inventory

Inventory	9 Months Ended
	Sep. 30, 2017
Inventory Disclosure [Abstract]
Inventory	Note 3. Inventory Inventory, net of allowance, consisted of the following as of the date indicated: September 30, December 31, 2017 2016 Raw materials $ 1,058,466 $ 1,222,437 Work in process 376 1,762 Finished goods 378,396 557,161 Total gross inventory 1,437,238 1,781,360 Less inventory allowance (186,475 ) (270,307 ) $ 1,250,763 $ 1,511,053 For the three and nine months ended September 30, 2017, the Company recorded net decreases in the inventory reserve of $21,405 and $83,832, respectively, compared with net increases of $291,692 and $383,234, respectively, for the three and nine months ended September 30, 2016. For the three and nine months ended September 30, 2017, the Company recorded adjustments to provision for excess inventory of $58,059 and $302,085, respectively. For the three and nine months ended September 30, 2016, the Company recorded adjustments to provision for excess inventory of $288,130 and $437,893, respectively. Adjustments in these periods to the allowance for estimated shrinkage, obsolescence and excess inventory were recognized within cost of revenue in the condensed statements of operations.

Fair Value Instruments

Fair Value Instruments	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value Instruments	Note 4. Fair Value Instruments The carrying value of financial instruments classified as current assets and current liabilities approximate fair value due to their liquidity and short-term nature. Investments that are classified as available-for-sale are recorded at fair value, which is determined using quoted market prices, broker or dealer quotations or alternative pricing sources with reasonable levels of price transparency. Financial assets and liabilities measured at fair value are classified in their entirety in the fair value hierarchy, based on the lowest level input significant to the fair value measurement. The following table classifies the Company’s financial assets and liabilities measured at fair value on a recurring basis at September 30, 2017 and December 31, 2016, respectively, in the fair value hierarchy: Balance at September 30, 2017 Level 1 Level 2 Level 3 Total Asset included in: Cash and cash equivalents Money market securities $ 8,369,374 $ — $ — $ 8,369,374 Total $ 8,369,374 $ — $ — $ 8,369,374 Balance at December 31, 2016 Level 1 Level 2 Level 3 Total Asset included in: Cash and cash equivalents Money market securities $ 6,443,102 $ — $ — $ 6,443,102 Investments available-for-sale at fair value U.S. government obligations $ 1,300,663 $ — $ — $ 1,300,663 Corporate debt securities $ — $ 3,004,238 $ — $ 3,004,238 Total $ 7,743,765 $ 3,004,238 $ — $ 10,748,003 There are no other financial instruments subject to fair value measurement on a recurring basis. Transfers to and from Levels 1, 2 and 3 are recognized at the end of the reporting period. There were no transfers between levels for the nine months ended September 30, 2017 or for the year ended December 31, 2016. Level 1 instruments include U.S. Government money market funds and U.S. Treasuries. These instruments are valued using quoted market prices for identical unrestricted instruments in active markets. The Company defines active markets for debt instruments based on both the average daily trading volume and the number of days with trading activity. Level 2 instruments include corporate debt securities. Valuations of Level 2 instruments can be verified to quoted prices, recent trading activity for identical or similar instruments, broker or dealer quotations or alternative pricing sources with reasonable levels of price transparency. Consideration is given to the nature of the quotations (e.g., indicative or firm) and the relationship of recent market activity to the prices provided from alternative pricing sources. Fair values of these assets are based on prices provided by independent market participants that are based on observable inputs using market-based valuation techniques. These valuation models and analytical tools use market pricing or similar instruments that are both objective and publicly available, including matrix pricing or reported trades, benchmark yields, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids and/or offers. The Company did not adjust any of the valuations received from these third parties with respect to any of its Level 1 or 2 securities for the periods ended September 30, 2017 or December 31, 2016.

Available for Sale Securities

Available for Sale Securities	9 Months Ended
	Sep. 30, 2017
Investments Debt And Equity Securities [Abstract]
Available for Sale Securities	Note 5. Available for Sale Securities The Company had no available-for-sale securities as of September 30, 2017. The following is a summary of the Company’s available-for-sale securities at December 31, 2016. December 31, 2016 Gross Gross Fair Value Amortized Unrealized Unrealized (Net Carrying Cost Gains Losses Amount) U.S. Treasury securities $ 1,300,151 $ 512 $ — $ 1,300,663 Corporate debt securities 3,005,840 — (1,602 ) 3,004,238 Total available-for-sale securities $ 4,305,991 $ 512 $ (1,602 ) $ 4,304,901 The net adjustment to unrealized holding gains (losses) on available-for-sale securities, net of tax in other comprehensive income totaled $0 and $1,090 for the three and nine months ended September 30, 2017, respectively, and $(2,836) and $41,037 for the three and nine months ended September 30, 2016, respectively.

Property and Equipment

Property and Equipment	9 Months Ended
	Sep. 30, 2017
Property Plant And Equipment [Abstract]
Property and Equipment	Note 6. Property and Equipment Property and equipment, net, consists of the following: September 30, December 31, 2017 2016 Office equipment $ 517,353 $ 447,580 Leasehold improvements 1,854,052 1,847,378 Laboratory and manufacturing equipment 3,323,787 2,659,621 Field equipment 131,096 131,096 Software 150,451 150,451 Construction in progress 265,611 176,963 6,242,350 5,413,089 Less: accumulated depreciation and amortization (2,986,912 ) (2,142,892 ) $ 3,255,438 $ 3,270,197 Depreciation and leasehold improvement amortization expense was $305,868 and $893,334 for the three and nine months ended September 30, 2017, respectively, and $357,924 and $1,086,752 for the three and nine months ended September 30, 2016, respectively.

Accrued Liabilities

Accrued Liabilities	9 Months Ended
	Sep. 30, 2017
Accrued Liabilities Current [Abstract]
Accrued Liabilities	Note 7. Accrued Liabilities Accrued liabilities consist of the following: September 30, December 31, 2017 2016 Employee compensation and benefits $ 1,448,208 $ 1,088,773 Employee compensation for future absences 193,662 173,533 Interest 48,702 82,591 Professional fees 108,136 79,029 Other 198,862 246,360 $ 1,997,570 $ 1,670,286

Growth Term Loan

Growth Term Loan	9 Months Ended
	Sep. 30, 2017
Debt Disclosure [Abstract]
Growth Term Loan	Note 8. Growth Term Loan There have been no significant modifications to the terms and conditions of the Growth Term Loan since the disclosures made in the Company’s Annual Report on Form 10-K, filed with the SEC on March 23, 2017. The remaining principal repayments due under the Growth Term Loan as of September 30, 2017 are as follows for each fiscal year: 2017 $ 1,649,008 2018 5,163,822 Total Growth Term Loan payments 6,812,830 Less discount and deferred financing costs (103,738 ) Plus final fee premium 654,570 Total Growth Term Loan, net $ 7,363,662

Other Agreements

Other Agreements	9 Months Ended
	Sep. 30, 2017
Other Agreements [Abstract]
Other Agreements	Note 9. Other Agreements NuvoGen Obligation There have been no significant modifications to the terms and conditions of the Company’s NuvoGen obligation since the disclosures made in the Company’s Annual Report on Form 10-K, filed with the SEC on March 23, 2017. The minimum remaining payments due to NuvoGen at September 30, 2017 are as follows for each fiscal year, although actual payments could be significantly more than provided in the table in 2018 and beyond, to the extent that 6% of the Company’s revenue exceeds $400,000: 2017 $ 200,000 2018 400,000 2019 400,000 2020 400,000 2021 400,000 2022 and beyond 6,298,743 Total NuvoGen obligation payments 8,098,743 Less discount 71,117 Total NuvoGen obligation, net $ 8,169,860 Development Agreements Illumina, Inc. Agreement In June 2017, the Company entered into an Amended and Restated Development and Component Supply Agreement with Illumina, Inc. (“Illumina”), effective May 31, 2017 (the “Restated Agreement”), which amended and restated the parties’ IVD Test Development and Component Supply Agreement entered into in October 2014 (the “Original Agreement”). The Restated Agreement provides for the development and worldwide commercialization by the Company of nuclease-protection-based RNA or DNA profiling tests (“IVD test kits”) for use with Illumina’s MiSeqDx sequencer in the field of diagnostic oncology testing in humans (the “Field”). Under the Restated Agreement, the parties have agreed to continue activities under the first development plan which was entered into pursuant to the Original Agreement, and the Company may, at its discretion, submit additional development plans for IVD test kits in the Field to Illumina for its approval, not to be unreasonably withheld. Under each development plan, Illumina will provide specified regulatory support and rights, and develop and deliver to the Company an executable version of custom software, which, when deployed on Illumina’s MiSeqDx sequencer, would enable sequencing by the end-user of the subject IVD test kit probe library. Illumina retains ownership of the custom software, subject to the Company’s right to use the custom software in connection with the commercialization of IVD test kits. The Company is required to pay Illumina up to $0.6 million in the aggregate upon achievement of specified regulatory milestones relating to the IVD test kits. There have been no additional contractual milestones reached since the disclosures made by the Company in its Annual Report on Form 10-K, filed with the SEC on March 23, 2017. In addition, the Company has agreed to pay Illumina a single digit percentage royalty on net sales of any IVD test kits that the Company commercializes pursuant to the Restated Agreement. The Company submitted one additional development plan for an IVD test kit to Illumina in the second quarter of 2017, resulting in $0 and $50,000 for the required payment to Illumina being included in the condensed statements of operations for the three and nine months ended September 30, 2017. Ongoing research and development costs for development plans under the Restated Agreement have been expensed as incurred. Absent earlier termination, the Restated Agreement will expire in May 2027; however, Illumina is no longer obligated to notify the Company of changes in its products that may affect the Company’s IVD test kits after May 31, 2023. The Company may terminate the Restated Agreement at any time upon 90 days’ written notice and may terminate any development plan under the Restated Agreement upon 30 days’ prior written notice. Illumina may terminate the Restated Agreement upon 30 days’ prior written notice if the Company undergoes certain changes of control, subject to a transition period of up to 12 months for then-ongoing development plans. Either party may terminate the Restated Agreement upon the other party’s material breach of the Restated Agreement that remains uncured for 30 days, or upon the other party’s bankruptcy. Other Development Agreements There have been no significant modifications or financial events relating to the development agreements entered into by the Company in prior periods with Invetech PTY Ltd., Life Technologies Corporation or Bristol-Myers Squibb since the disclosures made by the Company in its Annual Report on Form 10-K, filed with the SEC on March 23, 2017. Collaborative Development Agreements Merck KGaA Agreement The Company earned the first milestone-based payment under its Master CDx Agreement with Merck KGaA, Darmstadt, Germany (“Merck KGaA”) in the second quarter of 2017. There were no additional milestone payments earned, significant modifications or financial events relating to this collaborative development agreement during the third quarter of 2017. Service revenue of $0 and $25,000, was recognized for the completion of these research and development services using the proportional performance method of revenue recognition for the three and nine months ended September 30, 2017, respectively, related to this agreement. Other Agreements with Related Parties See Note 14 for discussion of agreements with related parties.

Net Loss per Share

Net Loss per Share	9 Months Ended
	Sep. 30, 2017
Earnings Per Share [Abstract]
Net Loss per Share	Note 10. Net Loss Per Share Net loss per share is computed by dividing the net loss by the weighted-average number of shares of common stock or common stock equivalents outstanding. The numerator and the denominator used in computing both basic and diluted net loss per share for each period are the same. The following table provides the numerator and denominator used in computing basic and diluted net loss per share for the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Numerator: Net loss $ (5,380,846 ) $ (6,488,442 ) $ (17,038,022 ) $ (20,366,469 ) Denominator: Weighted-average shares outstanding-basic and diluted 11,603,617 7,053,010 9,794,651 6,985,924 Net loss per share, basic and diluted $ (0.46 ) $ (0.92 ) $ (1.74 ) $ (2.92 ) The following outstanding options and warrants were excluded from the computation of diluted net loss per share for the periods presented because their effect would have been anti-dilutive: Nine Months Ended September 30, 2017 2016 Options to purchase common stock 1,532,979 1,200,644 Common stock warrant 219,723 219,723 Restricted stock units 34,999 350,499

Stockholders Deficit

Stockholders Deficit	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Stockholders' Deficit	Note 11. Stockholders’ Deficit Cantor Fitzgerald & Co. Market Offering In April 2017, the Company entered into a Controlled Equity Offering Sales Agreement (the “Sales Agreement”) with Cantor Fitzgerald, as sales agent, pursuant to which the Company may offer and sell, from time to time, through Cantor Fitzgerald, shares of the Company’s common stock, par value $0.001 per share, by any method deemed to be an “at the market offering” as defined in Rule 415 under the Securities Act of 1933, as amended (the “ATM Offering”). In April 2017, the Company also filed a prospectus supplement (File No. 333-216977) with the SEC relating to the offer and sale of up to $20,000,000 of common stock in the ATM Offering. In June 2017, the Company filed an amendment to the prospectus supplement with the SEC to increase the amount of common stock that may be offered and sold in the ATM Offering under the Sales Agreement to $40,000,000 in the aggregate, inclusive of the common stock previously sold in the ATM Offering prior to the date of the amendment. As of September 30, 2017, the Company has sold 4,132,857 shares of common stock under the ATM Offering at then-market prices for total gross proceeds of approximately $17.4 million. After sales commissions and $0.2 million of other offering expenses paid and payable by the Company in connection with the ATM Offering, the Company’s aggregate net proceeds through September 30, 2017 were approximately $16.7 million. These costs have been recorded as a reduction of proceeds received in arriving at the amount recorded in additional paid-in capital as of September 30, 2017. Treasury Stock In January 2017, the Company’s board of directors approved the retirement of the 1,396 shares of the Company’s common stock previously held in treasury, and returned them to the status of authorized and unissued shares of the Company’s common stock. Stock-based Compensation A summary of the Plan’s stock option activity is as follows: Number of Shares Weighted- Average Exercise Price Per Share Weighted- Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Balance at December 31, 2016 1,161,705 $ 3.35 7.7 $ 36,887 Granted 474,000 2.10 Exercised (41,815 ) 2.68 $ 152,130 Forfeited (54,758 ) 2.78 Expired/Cancelled (6,153 ) 10.08 Balance at September 30, 2017 1,532,979 $ 2.98 7.8 $ - Exercisable at September 30, 2017 803,458 $ 3.32 6.6 $ - As of September 30, 2017, there was total unrecognized compensation expense of $1,266,892 related to unvested stock options, which the Company expects to recognize over a weighted-average period of approximately 1.74 years. A summary of the Plan’s RSU activity is as follows: Restricted Stock Units (RSU) Weighted- Average Grant Date Fair Value Per Share Balance at December 31, 2016 355,499 $ 2.41 Granted 10,000 1.75 Vested (328,000 ) 2.45 Forfeited (2,500 ) 2.46 Balance at September 30, 2017 34,999 $ 1.91 Unrecognized compensation expense related to the remaining unvested RSUs was $40,090 at September 30, 2017, which the Company expects to recognize over a weighted-average remaining service period of 2.2 years. Stock-based compensation expense recorded in the condensed statements of operations for the three and nine months ended September 30, 2017 and 2016 was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Selling, general and administrative $ 251,924 $ 166,167 $ 826,098 $ 399,760 Research and development 79,619 49,891 261,083 117,681 Cost of revenue 25,862 13,860 84,807 34,613 $ 357,405 $ 229,918 $ 1,171,988 $ 552,054

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2017
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 12. Commitments and Contingencies Compensation Agreements In September 2017, the Company entered into an arrangement with certain of its non-executive officer employees to provide for retention bonus payments to those eligible employees providing continuing service to the Company through July 31, 2018 and December 31, 2018, respectively, with one half of the retention bonus commitment payable at each of these dates. Compensation expense of $87,965 has been included in the condensed statements of operations for both the three and nine months ended September 30, 2017. Retention bonus accrual is included in accrued liabilities in the condensed balance sheets as of September 30, 2017. The remaining retention bonuses will be accrued on a straight-line basis through December 31, 2018. No forfeiture rate has been estimated. Forfeitures will be recognized as they occur. Legal Matters The Company’s industry is characterized by frequent claims and litigation, including claims regarding intellectual property and product liability. As a result, the Company may be subject to various legal proceedings from time to time. The results of any current or future litigation cannot be predicted with certainty, and regardless of the outcome, litigation can have an adverse impact on us because of defense and settlement costs, diversion of management resources, and other factors. Any current litigation is considered immaterial and counter claims have been assessed as remote. Leases The Company leases office and laboratory space in Tucson, Arizona under two non-cancelable operating leases. There have been no changes to the Company’s office and laboratory space leases since the disclosures made by the Company in its Annual Report on Form 10-K, filed with the SEC on March 23, 2017. The Company’s remaining minimum real estate lease payments before common area maintenance charges for each fiscal year as of September 30, 2017 are as follows: 2017 $ 127,383 2018 512,533 2019 514,977 2020 517,457 2021 43,139 $ 1,715,489 As of September 30, 2017, the Company also has remaining capital lease commitments consisting of approximately $103,000 for computer equipment varying in length from 36 to 48 months and for an equipment financing arrangement of approximately $5,000 with a vendor that expires in December 2017 that have not been included in the minimum lease payments schedule above. Product Warranty The following is a summary of the Company’s general product warranty reserve: Nine Months Ended September 30, 2017 2016 Beginning balance $ 50,426 $ 20,213 Cost of warranty claims (6,278 ) (67,663 ) Increase in warranty reserve 3,275 83,745 Ending balance $ 47,423 $ 36,295 Warranty reserve is included in accrued liabilities in the condensed balance sheets as of September 30, 2017 and December 31, 2016. Expense relating to the recording of this reserve is recorded in cost of revenue within the condensed statements of operations.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2017
Income Tax Disclosure [Abstract]
Income Taxes	Note 13. Income Taxes The Company provides for income taxes based upon management’s estimate of taxable income or loss for each respective period. The Company recognizes an asset or liability for the deferred tax consequences of temporary differences between the tax bases of assets and liabilities and their reported amounts in the financial statements. These temporary differences would result in deductible or taxable amounts in future years, when the reported amounts of the assets are recovered or liabilities are settled, respectively. In each period since inception, the Company has recorded a valuation allowance for the full amount of its net deferred tax assets, as it is not more likely than not that these will be realized. As a result, the Company has not recorded any federal or state income tax benefit in the condensed statements of operations; however, state income tax expense has been recorded for state minimum taxes. The Company periodically reviews its filing positions for all open tax years in all U.S. federal, state and international jurisdictions where the Company is or might be required to file tax returns or other required reports. The Company applies a two-step approach to recognizing and measuring uncertain tax positions. The Company evaluates the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained in a court of last resort. The term “more likely than not” means a likelihood of more than 50 percent. Otherwise, the Company may not recognize any of the potential tax benefit associated with the position. The Company recognizes a benefit for a tax position that meets the more likely than not criterion at the largest amount of tax benefit that is greater than 50 percent likely of being realized upon its effective resolution. Unrecognized tax benefits involve management’s judgment regarding the likelihood of the benefit being sustained. The final resolution of uncertain tax positions could result in adjustments to recorded amounts and may affect the Company’s results of operations, financial position and cash flows. The Company has not identified any uncertain tax positions at September 30, 2017 or December 31, 2016. The Company’s policy is to recognize interest and/or penalties related to income tax matters in income tax expense. The Company had no accrual for interest or penalties at September 30, 2017 and December 31, 2016, respectively, and has not recognized interest or penalties of significance during the nine months ended September 30, 2017 and 2016, respectively, since there are no material unrecognized tax benefits. The Company has not made or had payments due for income taxes for the periods ended September 30, 2017 or December 31, 2016, other than state minimum taxes. Management believes no material change to the amount of unrecognized tax benefits will occur within the next 12 months. The Company has established a valuation allowance against the entire net deferred tax asset. A preliminary analysis of past and subsequent equity offerings by the Company, and other transactions that have an impact on the Company’s ownership structure, concluded that the Company may have experienced one or more ownership changes under Sections 382 and 383 of the Internal Revenue Code or IRC. Provisions of the IRC place special limitations on the usage of net operating losses and credits following an ownership change. Such limitations may limit or eliminate the potential future tax benefit to be realized by the Company from its accumulated net operating losses and research and development credits.

Related-Party Transactions

Related-Party Transactions	9 Months Ended
	Sep. 30, 2017
Related Party Transactions [Abstract]
Related-Party Transactions	Note 14. Related Party Transactions QIAGEN Agreements In November 2016, the Company entered into a Master Assay Development, Commercialization and Manufacturing Agreement (“Governing Agreement”) with QIAGEN Manchester Limited (“QML”), a wholly owned subsidiary of QIAGEN, N.V. QIAGEN North American Holdings, Inc., a wholly owned subsidiary of QIAGEN N.V., is a greater than 5% holder of the Company’s outstanding common stock. Statement of Work One In June 2017, the Company entered into the first statement of work (“SOW One”) under the Governing Agreement with QML. SOW One addresses the initial activities of the Company and QML in support of the development and potential commercialization of a next generation sequencing-based companion diagnostic assay (the “PDP Assay”) that is the subject of a sponsor project agreement between QML and a biopharmaceutical company (“Pharma One”). The parties expect development activities for the PDP Assay to be the subject of more than one work plan under the sponsor project agreement and a corresponding number of statements of work under the Governing Agreement. The Company has determined that SOW One is a collaborative arrangement under ASC 808 and a multiple-element arrangement under ASC 605-25. After reviewing the deliverables under the arrangement, the Company concluded that all of the fixed and determinable contract consideration should be allocated to the development services to be performed by the Company. QML pays the Company a monthly fee for development work performed by Company and its subcontractors (collectively, the “Monthly Fee”). The Monthly Fee is not contingent upon successful acceptance of project milestones by Pharma One; therefore, the Monthly Fee is recognized as the respective payment amount becomes fixed or determinable and collectability from QML is reasonably assured. The Company and QML also will share any net profits resulting from performance of the development work as determined pursuant to the Governing Agreement. Such profit sharing payment(s) is deemed to be fixed or determinable upon completion of SOW One deliverables, acceptance of corresponding deliverables by Pharma One, and the mutual agreement by QML and the Company on the calculation of net profit. Revenue of $846,368 and $1,123,779 has been included in service revenue in the condensed statements of operations for the three and nine months ended September 30, 2017, respectively, relating to SOW One Monthly Fees. Accounts receivable of $671,765 remains in the condensed balance sheets as of September 30, 2017, and no profit sharing payments have been received or recognized as of September 30, 2017. Costs relating to SOW One of $653,938 and $876,186 have been included in research and development expense in the condensed statements of operations for the three and nine months ended September 30, 2017, respectively. No costs or revenue relating to SOW One were included in the condensed statements of operations for the three and nine months ended September 30, 2016 as SOW One was not established until June 2017. SOW One will expire when all activities and deliverables have been completed by the respective responsible party and all payments from QML to the Company have been delivered, including any required profit sharing, unless terminated earlier in accordance with the terms of the Governing Agreement. Contemporaneous with entry into SOW One, the Governing Agreement was amended to provide that neither the Company nor QML may terminate SOW One or the Governing Agreement to the extent it relates to SOW One in the event of a change of control. Other Agreements with QML In contemplation of the expected signing of the second statement of work (“SOW Two”) under the Governing Agreement in October 2017, QML requested that the Company initiate procurement and histology services for the samples that will be needed for the companies to support the development and potential commercialization of a next generation sequencing-based clinical trial assay that is the subject of a sponsor project agreement between QML and Bristol-Myers Squibb Company (“BMS”). In an effort to avoid project delays during the contracting process for SOW Two and a related three-party agreement, among BMS, QML and the Company, QML and the Company entered a preliminary written agreement for such procurement and histology services during the second quarter of 2017. Fees for sample procurement and histology services have been billed as services have been provided in accordance with the preliminary agreement and revenue is being recognized as the respective payment amount becomes fixed or determinable and collectability from QML is deemed to be reasonably assured. Revenue of $1,284,326 has been included in service revenue in the condensed statements of operations for both the three and nine months ended September 30, 2017, relating to the Company’s performance of the sample procurement and histology service arrangement with QML, all of which collaborative development service revenue remains in accounts receivable in the condensed balance sheets as of September 30, 2017. Costs relating to sample acquisition and the outsourcing of certain services under these arrangements of $1,284,326 have been included in research and development expense in the condensed statements of operations for both the three and nine months ended September 30, 2017. Internal development costs incurred by the Company in anticipation of SOW Two have not been included in revenue or billed to QML as of September 30, 2017, as SOW Two was not executed prior to the end of the third quarter of 2017. With the signing of SOW Two by the parties in October 2017 (see Note 15), the Company will recognize, in the fourth quarter of 2017, additional collaboration revenue of approximately $500,000 for internal development costs incurred from June through September 2017, which will be reimbursable under the terms of the Governing Agreement and SOW Two in the fourth quarter of 2017. See Note 15 for a description of additional transactions relating to QML and its affiliates.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2017
Subsequent Events [Abstract]
Subsequent Events	Note 15. Subsequent Events Convertible Promissory Note On October 26, 2017, the Company issued a subordinated convertible promissory note (the “Note”) to QNAH in the principal amount of $3.0 million against receipt of cash proceeds equal to such principal amount. The Note bears simple interest at the rate of 3.0% per annum and matures on October 26, 2020 (the “Maturity Date”). The Company’s indebtedness under the Note is expressly subordinated in right of payment to the Company’s prior repayment in full of its indebtedness under its Loan and Security Agreement, dated August 22, 2014, as amended, with Oxford Finance LLC and Silicon Valley Bank. QNAH may elect to convert all or any portion of the outstanding principal balance of the Note and all unpaid accrued interest thereon at any time prior to the Maturity Date into shares of the Company’s common stock at a conversion price of $3.984 per share. Statement of Work Two and Supplement Agreement On October 26, 2017, the Company and QML entered into SOW Two under the Governing Agreement. SOW Two was made effective as of June 2, 2017 (“Onset Date”). SOW Two addresses development activities conducted by the Company and QML since the Onset Date and those expected to be further conducted by parties in connection with a sponsor project agreement, dated June 2, 2017, between QML and BMS (the “BMS/QML SPA”). The development work performed and expected to be performed by the Company and QML under SOW Two (“Initial Phase Work”) is expected to form the basis of a multi-stage project leading to the potential development and commercialization of a companion diagnostic assay in support of one or more of BMS’s therapeutic development and commercialization programs. SOW Two will expire upon completion of the Initial Phase Work and receipt by the Company of all amounts due for such work, which the Company believes will occur in mid‑2018 barring any unexpected project delays. QML will pay the Company mid-single digit millions of dollars for the Initial Phase Work performed by the Company under SOW Two. In addition, the Company and QML will share in any net profits (as determined under the Governing Agreement) generated by the Initial Phase Work on an approximately quarterly basis throughout the SOW Two term. SOW Two also provides that, notwithstanding anything in the Governing Agreement to the contrary, neither QML nor the Company shall have the right to terminate SOW Two or the Governing Agreement to the extent it relates to SOW Two upon a change of control of either party. Concurrent with SOW Two, as a condition to BMS’s approval of SOW Two, the Company, QML and BMS entered into a Supplement Agreement, made effective as of the Onset Date. The Supplement Agreement establishes certain rights and obligations of the parties with regard to confidential information and other intellectual property needed to perform, and/or produced as a result of, the Initial Phase Work. The Company will receive sole ownership of “HTG Technology Improvements” (as defined in the Supplement Agreement) that may be produced as a result of the Initial Phase Work, and has agreed to grant certain royalty‑free, non-exclusive license rights to its technology in the event of a project delay caused by the Company and to certain patent rights the Company may obtain as a result of the Initial Phase Work. In addition, the Company will have joint ownership of certain other results of the Initial Phase Work, and royalty‑free, non‑exclusive license rights to BMS‑ or QML-owned (solely or jointly) patents resulting from the Initial Phase Work. The Supplement Agreement will expire or terminate upon expiration or termination of the BMS/QML SPA, which is expected to be approximately coextensive with the term of SOW Two.

Basis of Presentation (Policies

Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying interim unaudited condensed financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and reflect the accounts of the Company as of September 30, 2017 and for the three and nine months ended September 30, 2017 and 2016. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles in the United States of America (“GAAP”) for complete financial statements. The accompanying interim unaudited condensed financial statements reflect all adjustments consisting of normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the Company’s financial position and the results of its operations and cash flows, as of and for the periods presented. The unaudited condensed balance sheet at December 31, 2016 has been derived from the audited financial statements at that date but does not include all of the information and disclosures required by GAAP for annual financial statements. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. These financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto for the fiscal year ended December 31, 2016, included in the Company’s Annual Report on Form 10-K filed with the SEC on March 23, 2017.
Going Concern	Going Concern In accordance with the criteria of Accounting Standards Update (“ASU”) No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern The Company will need to raise additional capital to fund its operations and service its near and long-term debt obligations until its revenue reaches a level sufficient to provide for self-sustaining cash flows. There can be no assurance that additional capital will be available on acceptable terms, or at all, or that the Company’s revenue will reach a level sufficient to provide for self-sustaining cash flows. If sufficient additional capital is not available as and when needed, the Company may have to delay, scale back or discontinue one or more product development programs, curtail its commercialization activities, significantly reduce expenses, sell assets (potentially at a discount to their fair value or carrying value), enter into relationships with third parties to develop or commercialize products or technologies that the Company otherwise would have sought to develop or commercialize independently, cease operations altogether, pursue a sale of the Company at a price that may result in up to a total loss on investment for its stockholders, file for bankruptcy or seek other protection from creditors, or liquidate all assets. In addition, if the Company defaults under its term loan agreement, its lenders could foreclose on its assets, including substantially all of its cash and cash equivalents which are held in accounts with its lenders.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The Company’s significant estimates include revenue recognition, stock-based compensation expense, bonus accrual, income tax valuation allowances, recovery of long-lived assets, inventory obsolescence and inventory valuation. Actual results could materially differ from those estimates.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying value of financial instruments classified as current assets and current liabilities approximate fair value due to their liquidity and short-term nature. Investments that are classified as available-for-sale are recorded at fair value, which is determined using quoted market prices, broker or dealer quotations or alternative pricing sources with reasonable levels of price transparency. The Growth Term Loan and NuvoGen obligation are considered financial instruments. However, the Company is unable to reasonably determine the fair value of these obligations.
Revenue Recognition – Collaborative Development Service Revenue	Revenue Recognition – Collaborative Development Service Revenue The Company follows ASC 605-25, Revenue Recognition – Multiple-Element Arrangements and ASC 808, Collaborative Arrangements, if applicable, to determine the appropriate recognition of revenue under its collaborative research, development and commercialization agreements that contain multiple elements. These multiple elements, or deliverables, may include access to the Company’s technology through grants of licenses to its intellectual property, research and development services and participation in joint development steering committees, amongst others. The payments the Company receives under these arrangements typically include one or more of the following: non-refundable up-front fees, monthly development service fees, milestone payments upon acceptance of contract deliverables or profit sharing payments for completed contract milestones.
Research and Development Costs	Research and Development Costs Research and development expenses represent costs incurred internally for research and development activities and costs incurred externally to fund research activities. These costs include those generated through research and development efforts for the improvement and expansion of the Company’s proprietary technology and product offerings as well as those related to third-party collaborative development agreements, for which related revenue is included in service revenue in the condensed statements of operations.
Concentration Risks	Concentration Risks Financial instruments that potentially subject the Company to credit risk consist principally of cash and cash equivalents and uncollateralized accounts receivable. The Company maintains the majority of its cash balances in the form of cash deposits in bank checking and money market accounts in amounts in excess of federally insured limits. Management believes, based upon the quality of the financial institution, that the credit risk with regard to these deposits is not significant. The Company sells its instruments, consumables, sample processing services, custom panel design and collaborative development services primarily to biopharmaceutical companies, academic institutions and molecular labs. The Company routinely assesses the financial strength of its customers and credit losses have been minimal to date. The Company had product revenue consisting of revenue from the sale of instruments and consumables for the three and nine months ended September 30, 2017 and 2016, as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Instruments $ 199,205 $ 5,846 $ 370,263 $ 88,146 Consumables 426,400 500,219 1,203,663 1,595,236 Total product revenue $ 625,605 $ 506,065 $ 1,573,926 $ 1,683,382 The Company had service revenue consisting of revenue from custom assay development, sample processing and collaborative development services for the three and nine months ended September 30, 2017 and 2016, as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Custom assay development $ 73,567 $ 103,719 $ 419,515 $ 103,719 Sample processing 893,618 304,117 2,428,863 1,887,848 Collaborative development services 2,130,694 — 2,433,105 — Total service revenue $ 3,097,879 $ 407,836 $ 5,281,483 $ 1,991,567 The Company’s top three customers accounted for 57%, 10% and 4% of the Company’s total revenue for the three months ended September 30, 2017, compared with 27%, 24% and 9% for the three months ended September 30, 2016. The top three customers accounted for 35%, 13% and 5% of the Company’s revenue for the nine months ended September 30, 2017, compared with 38%, 14% and 7% for the nine months ended September 30, 2016. The top two customers accounted for approximately 62% and 6% of the Company’s accounts receivable as of September 30, 2017, compared with approximately 28% and 15% as of December 31, 2016. The Company currently relies on a single supplier to supply a subcomponent used in the HTG EdgeSeq processors and a second single supplier to provide raw materials used in its HTG EdgeSeq proprietary assays. A loss of either of these suppliers could significantly delay the delivery of products or the completion of services to be performed, which in turn would materially affect the Company’s ability to generate revenue.
Recently Adopted and Issued Accounting Pronouncements	Recently Adopted Accounting Pronouncements In July 2015, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2015-11, Inventory: Simplifying the Measurement of Inventory In April 2016, the FASB issued ASU No. 2016-09, Share-Based Payment: Simplifying the Accounting for Share-Based Payments Recently Issued Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers In March 2016, the FASB issued ASU No. 2016-08, Revenue Recognition: Clarifying the new Revenue Standard’s Principal-Versus-Agent Guidance In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow Scope Improvements and Practical Expedients. The new revenue standard and the standards that amend it will be effective for public entities for fiscal years and interim periods within those fiscal years beginning after December 15, 2017, 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). The Company plans to adopt the new guidance beginning January 1, 2018 and is currently assessing which transition method to apply. The Company is in the process of analyzing the new guidance for all of its contracts with customers, which includes performing a detailed review of how the new standard affects each of its different types of customer contracts, comparing historical accounting policies and practices to the new standard and assessing the impact on internal controls over financial reporting. As of September 30, 2017, the Company has completed and documented a preliminary assessment of the impact of the new revenue standard on its standard instrument, consumables and sample processing contracts. Additionally, the Company’s assessments of the impact of the new revenue standard on its collaborative arrangements are in process and are mostly complete. The FASB has included on its agenda a project to make targeted improvements to the guidance in ASC 808, Collaborative Arrangements In February 2016, the FASB issued ASU No. 2016-02, Leases In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In May 2017, the FASB issued ASU No. 2017-09, Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting In July 2017, the FASB issued ASU 2017-11, Accounting for Certain Financial Instruments with Down Round Features

Basis of Presentation (Tables)

Basis of Presentation (Tables)	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Product Revenue from Sale of Instruments and Consumables and Service Revenue from Custom Assay Development and Sample Processing	The Company had product revenue consisting of revenue from the sale of instruments and consumables for the three and nine months ended September 30, 2017 and 2016, as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Instruments $ 199,205 $ 5,846 $ 370,263 $ 88,146 Consumables 426,400 500,219 1,203,663 1,595,236 Total product revenue $ 625,605 $ 506,065 $ 1,573,926 $ 1,683,382 The Company had service revenue consisting of revenue from custom assay development, sample processing and collaborative development services for the three and nine months ended September 30, 2017 and 2016, as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Custom assay development $ 73,567 $ 103,719 $ 419,515 $ 103,719 Sample processing 893,618 304,117 2,428,863 1,887,848 Collaborative development services 2,130,694 — 2,433,105 — Total service revenue $ 3,097,879 $ 407,836 $ 5,281,483 $ 1,991,567

Inventory (Tables)

Inventory (Tables)	9 Months Ended
	Sep. 30, 2017
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventory, net of allowance, consisted of the following as of the date indicated: September 30, December 31, 2017 2016 Raw materials $ 1,058,466 $ 1,222,437 Work in process 376 1,762 Finished goods 378,396 557,161 Total gross inventory 1,437,238 1,781,360 Less inventory allowance (186,475 ) (270,307 ) $ 1,250,763 $ 1,511,053

Fair Value Instruments (Tables)

Fair Value Instruments (Tables)	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Financial Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table classifies the Company’s financial assets and liabilities measured at fair value on a recurring basis at September 30, 2017 and December 31, 2016, respectively, in the fair value hierarchy: Balance at September 30, 2017 Level 1 Level 2 Level 3 Total Asset included in: Cash and cash equivalents Money market securities $ 8,369,374 $ — $ — $ 8,369,374 Total $ 8,369,374 $ — $ — $ 8,369,374 Balance at December 31, 2016 Level 1 Level 2 Level 3 Total Asset included in: Cash and cash equivalents Money market securities $ 6,443,102 $ — $ — $ 6,443,102 Investments available-for-sale at fair value U.S. government obligations $ 1,300,663 $ — $ — $ 1,300,663 Corporate debt securities $ — $ 3,004,238 $ — $ 3,004,238 Total $ 7,743,765 $ 3,004,238 $ — $ 10,748,003

Available for Sale Securities (

Available for Sale Securities (Tables)	9 Months Ended
	Sep. 30, 2017
Investments Debt And Equity Securities [Abstract]
Summary of Available-for-sale Securities	The Company had no available-for-sale securities as of September 30, 2017. The following is a summary of the Company’s available-for-sale securities at December 31, 2016. December 31, 2016 Gross Gross Fair Value Amortized Unrealized Unrealized (Net Carrying Cost Gains Losses Amount) U.S. Treasury securities $ 1,300,151 $ 512 $ — $ 1,300,663 Corporate debt securities 3,005,840 — (1,602 ) 3,004,238 Total available-for-sale securities $ 4,305,991 $ 512 $ (1,602 ) $ 4,304,901

Property and Equipment (Tables)

Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2017
Property Plant And Equipment [Abstract]
Summary of Property and Equipment	Property and equipment, net, consists of the following: September 30, December 31, 2017 2016 Office equipment $ 517,353 $ 447,580 Leasehold improvements 1,854,052 1,847,378 Laboratory and manufacturing equipment 3,323,787 2,659,621 Field equipment 131,096 131,096 Software 150,451 150,451 Construction in progress 265,611 176,963 6,242,350 5,413,089 Less: accumulated depreciation and amortization (2,986,912 ) (2,142,892 ) $ 3,255,438 $ 3,270,197

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	9 Months Ended
	Sep. 30, 2017
Accrued Liabilities Current [Abstract]
Summary of Accrued Liabilities	Accrued liabilities consist of the following: September 30, December 31, 2017 2016 Employee compensation and benefits $ 1,448,208 $ 1,088,773 Employee compensation for future absences 193,662 173,533 Interest 48,702 82,591 Professional fees 108,136 79,029 Other 198,862 246,360 $ 1,997,570 $ 1,670,286

Growth Term Loan (Tables)

Growth Term Loan (Tables)	9 Months Ended
	Sep. 30, 2017
Debt Disclosure [Abstract]
Principal Repayments Due Under Term Loan	2017 $ 1,649,008 2018 5,163,822 Total Growth Term Loan payments 6,812,830 Less discount and deferred financing costs (103,738 ) Plus final fee premium 654,570 Total Growth Term Loan, net $ 7,363,662

Other Agreements (Tables)

Other Agreements (Tables)	9 Months Ended
	Sep. 30, 2017
Commitments And Contingencies Disclosure [Abstract]
Schedule of Minimum Remaining Payments Due	2017 $ 200,000 2018 400,000 2019 400,000 2020 400,000 2021 400,000 2022 and beyond 6,298,743 Total NuvoGen obligation payments 8,098,743 Less discount 71,117 Total NuvoGen obligation, net $ 8,169,860

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	9 Months Ended
	Sep. 30, 2017
Earnings Per Share [Abstract]
Numerator and Denominator Used in Computing Basic and Diluted Net Loss per Share	The following table provides the numerator and denominator used in computing basic and diluted net loss per share for the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Numerator: Net loss $ (5,380,846 ) $ (6,488,442 ) $ (17,038,022 ) $ (20,366,469 ) Denominator: Weighted-average shares outstanding-basic and diluted 11,603,617 7,053,010 9,794,651 6,985,924 Net loss per share, basic and diluted $ (0.46 ) $ (0.92 ) $ (1.74 ) $ (2.92 )
Outstanding Options and Warrants Excluded from Computation of Diluted Net Loss per Share	The following outstanding options and warrants were excluded from the computation of diluted net loss per share for the periods presented because their effect would have been anti-dilutive: Nine Months Ended September 30, 2017 2016 Options to purchase common stock 1,532,979 1,200,644 Common stock warrant 219,723 219,723 Restricted stock units 34,999 350,499

Stockholders Deficit (Tables)

Stockholders Deficit (Tables)	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Summary of Stock Option Plans Activity	A summary of the Plan’s stock option activity is as follows: Number of Shares Weighted- Average Exercise Price Per Share Weighted- Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Balance at December 31, 2016 1,161,705 $ 3.35 7.7 $ 36,887 Granted 474,000 2.10 Exercised (41,815 ) 2.68 $ 152,130 Forfeited (54,758 ) 2.78 Expired/Cancelled (6,153 ) 10.08 Balance at September 30, 2017 1,532,979 $ 2.98 7.8 $ - Exercisable at September 30, 2017 803,458 $ 3.32 6.6 $ - As of September 30, 2017, there was total unrecognized compensation expense of $1,266,892 related to unvested stock options, which the Company expects to recognize over a weighted-average period of approximately 1.74 years.
Summary of RSU Plans Activity	A summary of the Plan’s RSU activity is as follows: Restricted Stock Units (RSU) Weighted- Average Grant Date Fair Value Per Share Balance at December 31, 2016 355,499 $ 2.41 Granted 10,000 1.75 Vested (328,000 ) 2.45 Forfeited (2,500 ) 2.46 Balance at September 30, 2017 34,999 $ 1.91
Summary of Stock-Based Compensation	Stock-based compensation expense recorded in the condensed statements of operations for the three and nine months ended September 30, 2017 and 2016 was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Selling, general and administrative $ 251,924 $ 166,167 $ 826,098 $ 399,760 Research and development 79,619 49,891 261,083 117,681 Cost of revenue 25,862 13,860 84,807 34,613 $ 357,405 $ 229,918 $ 1,171,988 $ 552,054

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2017
Commitments And Contingencies Disclosure [Abstract]
Minimum Real Estate Lease Payments Before Common Area Maintenance Charges	The Company’s remaining minimum real estate lease payments before common area maintenance charges for each fiscal year as of September 30, 2017 are as follows: 2017 $ 127,383 2018 512,533 2019 514,977 2020 517,457 2021 43,139 $ 1,715,489
Summary of Product Warranty Reserve	The following is a summary of the Company’s general product warranty reserve: Nine Months Ended September 30, 2017 2016 Beginning balance $ 50,426 $ 20,213 Cost of warranty claims (6,278 ) (67,663 ) Increase in warranty reserve 3,275 83,745 Ending balance $ 47,423 $ 36,295

Description of Business - Addit

Description of Business - Additional Information (Details) - Segment	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Significant Accounting Policies [Line Items]
Number of operating segments			1
Sales Revenue, Net | Customer Concentration Risk | Customers Located Outside Of United States
Significant Accounting Policies [Line Items]
Sales revenue percentage	68.00%	15.00%	49.00%	11.00%
Sales Revenue, Net | Customer Concentration Risk | Customers Located Outside Of United States | QIAGEN Manchester Limited
Significant Accounting Policies [Line Items]
Sales revenue percentage	85.00%		72.00%

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Details)	Oct. 26, 2017USD ($)	Sep. 30, 2017USD ($)Customer	Sep. 30, 2016USD ($)Customer	Sep. 30, 2017USD ($)Customer	Sep. 30, 2016USD ($)Customer	Dec. 31, 2016USD ($)Customer	Dec. 31, 2015USD ($)
Significant Accounting Policies [Line Items]
Accumulated deficit		$ 132,644,066		$ 132,644,066		$ 115,606,044
Cash and cash equivalents		9,047,401	$ 5,523,824	9,047,401	$ 5,523,824	7,507,659	$ 3,293,983
Current liabilities		$ 13,524,912		13,524,912		10,020,991
Long-term liabilities						$ 5,389,137
Net proceeds from issuance of common stock				16,700,000
Maximum | Accounting Standards Update 2016-02 | Office and Equipment Leases
Significant Accounting Policies [Line Items]
Gross-up amount of leases effect in balance sheets				$ 3,000,000
Sales Revenue, Net | Customer Concentration Risk
Significant Accounting Policies [Line Items]
Number of customers | Customer		3	3	3	3
Sales Revenue, Net | Customer Concentration Risk | Customer One
Significant Accounting Policies [Line Items]
Sales revenue percentage		57.00%	27.00%	35.00%	38.00%
Sales Revenue, Net | Customer Concentration Risk | Customer Two
Significant Accounting Policies [Line Items]
Sales revenue percentage		10.00%	24.00%	13.00%	14.00%
Sales Revenue, Net | Customer Concentration Risk | Customer Three
Significant Accounting Policies [Line Items]
Sales revenue percentage		4.00%	9.00%	5.00%	7.00%
Accounts Receivable | Customer Concentration Risk
Significant Accounting Policies [Line Items]
Number of customers | Customer				2		2
Accounts Receivable | Customer Concentration Risk | Customer One
Significant Accounting Policies [Line Items]
Sales revenue percentage				62.00%		28.00%
Accounts Receivable | Customer Concentration Risk | Customer Two
Significant Accounting Policies [Line Items]
Sales revenue percentage				6.00%		15.00%
NuvoGen
Significant Accounting Policies [Line Items]
Long-term liabilities		$ 8,200,000		$ 8,200,000
QIAGEN North American Holdings, Inc. | Subsequent Event
Significant Accounting Policies [Line Items]
Investments from related parties	$ 3,000,000
QIAGEN North American Holdings, Inc. | Convertible Promissory Note | Subsequent Event
Significant Accounting Policies [Line Items]
Gross proceeds from issuance of subordinated notes	$ 3,000,000

Basis of Presentation - Product

Basis of Presentation - Product Revenue from Sale of Instruments and Consumables (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Segment Reporting Revenue Reconciling Item [Line Items]
Total product revenue	$ 625,605	$ 506,065	$ 1,573,926	$ 1,683,382
Instruments
Segment Reporting Revenue Reconciling Item [Line Items]
Total product revenue	199,205	5,846	370,263	88,146
Consumables
Segment Reporting Revenue Reconciling Item [Line Items]
Total product revenue	$ 426,400	$ 500,219	$ 1,203,663	$ 1,595,236

Basis of Presentation - Service

Basis of Presentation - Service Revenue from Custom Assay Development and Sample Processing (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Segment Reporting Revenue Reconciling Item [Line Items]
Service	$ 3,097,879	$ 407,836	$ 5,281,483	$ 1,991,567
Custom assay development
Segment Reporting Revenue Reconciling Item [Line Items]
Service	73,567	103,719	419,515	103,719
Sample processing
Segment Reporting Revenue Reconciling Item [Line Items]
Service	893,618	$ 304,117	2,428,863	$ 1,887,848
Collaborative development services
Segment Reporting Revenue Reconciling Item [Line Items]
Service	$ 2,130,694		$ 2,433,105

Inventory - Schedule of Invento

Inventory - Schedule of Inventory (Details) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Inventory Disclosure [Abstract]
Raw materials	$ 1,058,466	$ 1,222,437
Work in process	376	1,762
Finished goods	378,396	557,161
Total gross inventory	1,437,238	1,781,360
Less inventory allowance	(186,475)	(270,307)
Inventory, net	$ 1,250,763	$ 1,511,053

Inventory - Additional Informat

Inventory - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Inventory Disclosure [Abstract]
Net change in inventory valuation reserves	$ (21,405)	$ 291,692	$ (83,832)	$ 383,234
Provision for excess inventory	$ 58,059	$ 288,130	$ 302,085	$ 437,893

Fair Value Instruments - Financ

Fair Value Instruments - Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Asset included in:
Financial Assets	$ 8,369,374	$ 10,748,003
Cash and Cash Equivalents | Money Market Securities
Asset included in:
Financial Assets	8,369,374	6,443,102
Investments Available-for-sale at Fair Value | U.S. Government Obligations
Asset included in:
Financial Assets		1,300,663
Investments Available-for-sale at Fair Value | Corporate Debt Securities
Asset included in:
Financial Assets		3,004,238
Level 1
Asset included in:
Financial Assets	8,369,374	7,743,765
Level 1 | Cash and Cash Equivalents | Money Market Securities
Asset included in:
Financial Assets	$ 8,369,374	6,443,102
Level 1 | Investments Available-for-sale at Fair Value | U.S. Government Obligations
Asset included in:
Financial Assets		1,300,663
Level 2
Asset included in:
Financial Assets		3,004,238
Level 2 | Investments Available-for-sale at Fair Value | Corporate Debt Securities
Asset included in:
Financial Assets		$ 3,004,238

Fair Value Instruments - Additi

Fair Value Instruments - Additional Information (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Fair Value Disclosures [Abstract]
Fair value assets, Level 1 to Level 2 transfers, Amount	$ 0	$ 0
Fair value, assets, Level 2 to Level 1 transfers, Amount	0	0
Fair value, liabilities, Level 1 to Level 2 transfers, Amount	0	0
Fair value, liabilities, Level 2 to Level 1 transfers, Amount	0	0
Fair value, measurement with unobservable inputs reconciliation, recurring basis, asset transfers into Level 3	0	0
Fair value, measurement with unobservable inputs reconciliation, recurring Basis, asset, transfers out of Level 3	0	0
Fair Value, measurement with unobservable inputs reconciliation, liability, transfers into Level 3	0	0
Fair Value, measurement with unobservable inputs reconciliation, liability, transfers out of Level 3	$ 0	$ 0

Available for Sale Securities -

Available for Sale Securities - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Investments Debt And Equity Securities [Abstract]
Available for sale securities	$ 0		$ 0		$ 4,304,901
Unrealized gain on short and long-term investments	$ 0	$ (2,836)	$ 1,090	$ 41,037

Available for Sale Securities45

Available for Sale Securities - Summary of Available-for-sale Securities (Details) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost		$ 4,305,991
Gross Unrealized Gains		512
Gross Unrealized Losses		(1,602)
Fair Value (Net Carrying Amount)	$ 0	4,304,901
U.S. Treasury Securities
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost		1,300,151
Gross Unrealized Gains		512
Fair Value (Net Carrying Amount)		1,300,663
Corporate Debt Securities
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost		3,005,840
Gross Unrealized Losses		(1,602)
Fair Value (Net Carrying Amount)		$ 3,004,238

Summary Of Property and Equipme

Summary Of Property and Equipment (Details) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Property Plant And Equipment [Abstract]
Office equipment	$ 517,353	$ 447,580
Leasehold improvements	1,854,052	1,847,378
Laboratory and manufacturing equipment	3,323,787	2,659,621
Field equipment	131,096	131,096
Software	150,451	150,451
Construction in progress	265,611	176,963
Total property and equipment, gross	6,242,350	5,413,089
Less: accumulated depreciation and amortization	(2,986,912)	(2,142,892)
Property and equipment, net	$ 3,255,438	$ 3,270,197

Property and Equipment - Additi

Property and Equipment - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Property Plant And Equipment [Abstract]
Depreciation and leasehold improvement amortization expense	$ 305,868	$ 357,924	$ 893,334	$ 1,086,752

Summary of Accrued Liabilities

Summary of Accrued Liabilities (Details) - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Payables And Accruals [Abstract]
Employee compensation and benefits	$ 1,448,208	$ 1,088,773
Employee compensation for future absences	193,662	173,533
Interest	48,702	82,591
Professional fees	108,136	79,029
Other	198,862	246,360
Total accrued liabilities	$ 1,997,570	$ 1,670,286

Growth Term Loan - Principal Re

Growth Term Loan - Principal Repayments Due Under Term Loan (Details) - Term Loan	Sep. 30, 2017USD ($)
Debt Instrument [Line Items]
2,017	$ 1,649,008
2,018	5,163,822
Total Growth Term Loan payments	6,812,830
Less discount and deferred financing costs	(103,738)
Plus final fee premium	654,570
Total Growth Term Loan, net	$ 7,363,662

Other Agreements - Additional I

Other Agreements - Additional Information (Details) - USD ($)	1 Months Ended	3 Months Ended		9 Months Ended
	Jun. 30, 2017	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Other Agreements [Line Items]
Percentage on annual revenues for cash consideration to be paid				6.00%
Research and development		$ 3,478,419	$ 1,910,116	$ 6,364,371	$ 6,515,808
Agreement expiration date	May 31, 2027
Description on termination of agreement				The Company may terminate the Restated Agreement at any time upon 90 days’ written notice and may terminate any development plan under the Restated Agreement upon 30 days’ prior written notice. Illumina may terminate the Restated Agreement upon 30 days’ prior written notice if the Company undergoes certain changes of control, subject to a transition period of up to 12 months for then-ongoing development plans. Either party may terminate the Restated Agreement upon the other party’s material breach of the Restated Agreement that remains uncured for 30 days, or upon the other party’s bankruptcy.
Service revenue for research and development services		3,097,879	$ 407,836	$ 5,281,483	$ 1,991,567
Merck KGaA Agreement
Other Agreements [Line Items]
Service revenue for research and development services		0		25,000
Illumina, Inc. Agreement
Other Agreements [Line Items]
Aggregate payment upon achievement of specified regulatory milestones		600,000		600,000
Additional contractual milestons payment						$ 0
Research and development		0		50,000
Agreement termination notice period	90 days
Development plan agreement termination notice period	30 days
Number of days material breach remains uncured	30 days
Minimum | NuvoGen Asset Purchase Agreement
Other Agreements [Line Items]
Asset purchase agreement quarterly installments due from beginning 2018		$ 400,000		$ 400,000

Other Agreements - Schedule of

Other Agreements - Schedule of Minimum Remaining Payments Due (Details) - NuvoGen Asset Purchase Agreement	Sep. 30, 2017USD ($)
Purchase Obligation Fiscal Year Maturity [Line Items]
2,017	$ 200,000
2,018	400,000
2,019	400,000
2,020	400,000
2,021	400,000
2022 and beyond	6,298,743
Total NuvoGen obligation payments	8,098,743
Less discount	71,117
Total NuvoGen obligation, net	$ 8,169,860

Net Loss per Share - Numerator

Net Loss per Share - Numerator and Denominator Used in Computing Basic and Diluted Net Loss per Share (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Numerator:
Net loss	$ (5,380,846)	$ (6,488,442)	$ (17,038,022)	$ (20,366,469)
Denominator:
Weighted-average shares outstanding-basic and diluted	11,603,617	7,053,010	9,794,651	6,985,924
Net loss per share, basic and diluted	$ (0.46)	$ (0.92)	$ (1.74)	$ (2.92)

Net Loss per Share - Outstandin

Net Loss per Share - Outstanding Options, Warrants and Restricted Stock Units Excluded from Computation of Diluted Net Loss per Share (Detail) - shares	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Options to purchase common stock
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of diluted net loss per share	1,532,979	1,200,644
Restricted Stock Units R S U
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of diluted net loss per share	34,999	350,499
Warrant | Common Stock
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of diluted net loss per share	219,723	219,723

Stockholders Deficit - Addition

Stockholders Deficit - Additional Information (Details) - USD ($)	Jun. 30, 2017	Apr. 30, 2017	Jan. 31, 2017	Sep. 30, 2017
Class Of Stock [Line Items]
Issuance of common stock from the ATM Offering, Shares				4,132,857
Gross proceeds from issuance of common stock				$ 17,400,000
Other offering expenses paid and payable				200,000
Net proceeds from issuance of common stock				16,700,000
Restricted Stock Units R S U
Class Of Stock [Line Items]
Unrecognized compensation expense				$ 40,090
Compensation expense period expected to be recognized				2 years 2 months 13 days
Two Thousand Fourteen Equity Incentive Plan | Employee Stock Option
Class Of Stock [Line Items]
Unrecognized compensation expense				$ 1,266,892
Compensation expense period expected to be recognized				1 year 8 months 27 days
Board Of Directors
Class Of Stock [Line Items]
Retirement of treasury stock, shares			1,396
Sales Agreement
Class Of Stock [Line Items]
Common stock selling price per share		$ 0.001
Common stock aggregate offering price	$ 40,000,000	$ 20,000,000

Stockholders Deficit - Summary

Stockholders Deficit - Summary of Stock Option Plans Activity (Details) - Employee Stock Option - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Shares, Beginning Balance	1,161,705
Number of Shares, Granted	474,000
Number of Shares, Exercised	(41,815)
Number of Shares, Forfeited	(54,758)
Number of Shares, Expired/Cancelled	(6,153)
Number of Shares, Ending Balance	1,532,979	1,161,705
Number of Shares, Exercisable	803,458
Weighted-Average Exercise Price Per Share, Beginning Balance	$ 3.35
Weighted-Average Exercise Price Per Share, Granted	2.10
Weighted-Average Exercise Price Per Share, Exercised	2.68
Weighted-Average Exercise Price Per Share, Forfeited	2.78
Weighted-Average Exercise Price Per Share, Expired/Cancelled	10.08
Weighted-Average Exercise Price Per Share, Ending Balance	2.98	$ 3.35
Weighted-Average Exercise Price Per Share, Exercisable	$ 3.32
Weighted-Average Remaining Contractual Life, Outstanding	7 years 9 months 18 days	7 years 8 months 12 days
Weighted-Average Remaining Contractual Life, Exercisable	6 years 7 months 6 days
Aggregate Intrinsic Value, Balance		$ 36,887
Aggregate Intrinsic Value, Exercised	$ 152,130

Stockholders Deficit - Summar56

Stockholders Deficit - Summary of RSU Plans Activity (Details) - Restricted Stock Units R S U	9 Months Ended
	Sep. 30, 2017$ / sharesshares
Restricted Stock Units (RSU)
Balance at December 31, 2016 | shares	355,499
Granted | shares	10,000
Vested | shares	(328,000)
Forfeited | shares	(2,500)
Balance at September 30, 2017 | shares	34,999
Weighted Average Grant Date Fair Value Per Share
Balance at December 31, 2016 | $ / shares	$ 2.41
Granted | $ / shares	1.75
Vested | $ / shares	2.45
Forfeited | $ / shares	2.46
Balance at September 30, 2017 | $ / shares	$ 1.91

Stockholders Deficit - Summar57

Stockholders Deficit - Summary of Stock-Based Compensation (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation	$ 357,405	$ 229,918	$ 1,171,988	$ 552,054
Selling, General and Administrative
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation	251,924	166,167	826,098	399,760
Research and Development
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation	79,619	49,891	261,083	117,681
Cost of Revenue
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation	$ 25,862	$ 13,860	$ 84,807	$ 34,613

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details)	3 Months Ended	9 Months Ended
	Sep. 30, 2017USD ($)	Sep. 30, 2017USD ($)
Commitments And Contingencies [Line Items]
Lease expiration term		The Company leases office and laboratory space in Tucson, Arizona under two non-cancelable operating leases.
Lease equipment financing arrangement		$ 5,000
Lease expiration date of lease payments not in schedule		2017-12
Computer Equipment
Commitments And Contingencies [Line Items]
Capital lease commitments	$ 103,000	$ 103,000
Computer Equipment | Minimum
Commitments And Contingencies [Line Items]
Capital lease commitment period		36 months
Computer Equipment | Maximum
Commitments And Contingencies [Line Items]
Capital lease commitment period		48 months
Non-Executive Officer Employees
Commitments And Contingencies [Line Items]
Compensation expenses	$ 87,965	$ 87,965

Commitments and Contingencies59

Commitments and Contingencies - Minimum Real Estate Lease Payments Before Common Area Maintenance Charges (Details)	Sep. 30, 2017USD ($)
Commitments And Contingencies Disclosure [Abstract]
2,017	$ 127,383
2,018	512,533
2,019	514,977
2,020	517,457
2,021	43,139
Total minimum lease payments	$ 1,715,489

Commitments and Contingencies60

Commitments and Contingencies - Schedule Of Product Warranty Reserve (Details) - USD ($)	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Beginning balance	$ 50,426	$ 20,213
Cost of warranty claims	(6,278)	(67,663)
Increase in warranty reserve	3,275	83,745
Ending balance	$ 47,423	$ 36,295

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Income Tax Disclosure [Abstract]
Income tax examination, likelihood of unfavorable settlement	greater than 50 percent
Uncertain tax positions	$ 0		$ 0
Accrued interest or penalties	0		0
Recognized interest or penalties	0	$ 0
Income taxes paid other than state minimum taxes	$ 0		$ 0

Related-Party Transactions - Ad

Related-Party Transactions - Additional Information (Details) - USD ($)	3 Months Ended			9 Months Ended
	Dec. 31, 2017	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Related Party Transaction [Line Items]
Service		$ 3,097,879	$ 407,836	$ 5,281,483	$ 1,991,567
Accounts receivable		3,159,223		3,159,223		$ 1,377,441
Research and development		3,478,419	1,910,116	6,364,371	6,515,808
Revenues		3,723,484	913,901	6,855,409	3,674,949
SOW One
Related Party Transaction [Line Items]
Service		846,368		1,123,779
Accounts receivable		671,765		671,765
Profit sharing payments received or recognized				0
Research and development		653,938		876,186
Costs			0		0
Revenues			$ 0		$ 0
SOW Two
Related Party Transaction [Line Items]
Service		1,284,326		1,284,326
Research and development		$ 1,284,326		$ 1,284,326
SOW Two | Subsequent Event | Internal development costs
Related Party Transaction [Line Items]
Collaboration revenues	$ 500,000
QIAGEN North American Holdings, Inc. | Minimum
Related Party Transaction [Line Items]
Beneficial ownership percentage held		5.00%		5.00%

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) - Subsequent Event - Convertible Promissory Note - QIAGEN North American Holdings, Inc. $ / shares in Units, $ in Millions	Oct. 26, 2017USD ($)$ / shares
Subsequent Event [Line Items]
Cash proceeds from issuance of subordinated notes | $	$ 3
Debt instrument, interest rate	3.00%
Debt instrument, maturity date	Oct. 26, 2020
Conversion price per share | $ / shares	$ 3.984