Cytosorbents (CTSO) 10-Q 8 May 18 2018 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2018	May 02, 2018
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Entity Registrant Name	Cytosorbents Corp
Entity Central Index Key	1,175,151
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Trading Symbol	CTSO
Entity Common Stock, Shares Outstanding		30,031,676

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Current Assets:
Cash and cash equivalents	$ 21,089,748	$ 17,321,862
Grants and accounts receivable, net of allowance for doubtful accounts of $78,759 at March 31, 2018 and $72,698 at December 31, 2017	2,352,258	2,205,859
Inventories	680,185	795,657
Prepaid expenses and other current assets	393,238	415,962
Total current assets	24,515,429	20,739,340
Property and equipment, net	1,608,203	1,402,782
Other assets	2,179,759	1,961,185
Total Assets	28,303,391	24,103,307
Current Liabilities:
Accounts payable	2,139,585	1,244,411
Current maturities of long-term debt	0	4,000,000
Accrued expenses and other current liabilities	1,846,692	2,603,920
Total current liabilities	3,986,277	7,848,331
Long term debt, net of current maturities and debt issuance costs	9,869,940	5,992,141
Total Liabilities	13,856,217	13,840,472
Commitments and Contingencies (Note 7)
Stockholders’ Equity:
Preferred Stock, 5,000,000 shares authorized; -0- shares issued and outstanding at March 31, 2018 and December 31, 2017	0	0
Common Stock, Par Value $0.001, 50,000,000 shares authorized; 29,974,368 and 28,973,679 shares issued and outstanding at March 31, 2018 and December 31, 2017, respectively	29,974	28,974
Additional paid-in capital	170,402,768	162,907,482
Accumulated other comprehensive loss	(690,897)	(360,985)
Accumulated deficit	(155,294,671)	(152,312,636)
Total stockholders' equity	14,447,174	10,262,835
Total Liabilities and Stockholders' Equity	$ 28,303,391	$ 24,103,307

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Allowance for doubtful accounts	$ 78,759	$ 72,698
Preferred Stock, shares authorized	5,000,000	5,000,000
Preferred Stock, shares issued	0	0
Preferred Stock, shares outstanding	0	0
Common Stock, Par Value	$ 0.001	$ 0.001
Common Stock, shares authorized	50,000,000	50,000,000
Common Stock, shares issued	29,974,368	28,973,679
Common Stock, shares outstanding	29,974,368	28,973,679

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenue:
CytoSorb sales	$ 4,403,896	$ 2,596,133
Other sales	29,400	0
Total Product Sales	4,433,296	2,596,133
Grant income	491,355	517,385
Total revenue	4,924,651	3,113,518
Cost of revenue	1,567,645	1,254,483
Gross margin	3,357,006	1,859,035
Other Expenses:
Research and development	1,780,309	469,547
Legal, financial and other consulting	416,218	279,945
Selling, general and administrative	4,261,646	2,667,021
Total expenses	6,458,173	3,416,513
Loss from operations	(3,101,167)	(1,557,478)
Other income/(expense):
Interest expense, net	(239,098)	(120,449)
Gain on foreign currency transactions	358,230	153,054
Total other income, net	119,132	32,605
Loss before benefit from income taxes	(2,982,035)	(1,524,873)
Benefit from income taxes	0	0
Net loss available to common shareholders	$ (2,982,035)	$ (1,524,873)
Basic and diluted net loss per common share	$ (0.1)	$ (0.06)
Weighted average number of shares of common stock outstanding	29,351,174	25,503,757
Net loss	$ (2,982,035)	$ (1,524,873)
Other comprehensive income:
Currency translation adjustment	(329,912)	(131,550)
Comprehensive loss	$ (3,311,947)	$ (1,656,423)

CONSOLIDATED STATEMENT OF CHANG

CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - 3 months ended Mar. 31, 2018 - USD ($)	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive (Loss) [Member]	Accumulated Deficit [Member]
Beginning Balance at Dec. 31, 2017	$ 10,262,835	$ 28,974	$ 162,907,482	$ (360,985)	$ (152,312,636)
Beginning Balance (in shares) at Dec. 31, 2017		28,973,679
Stock based compensation - employees, consultants and directors	524,449	$ 0	524,449	0	0
Issuance of common stock, net of fees	6,046,761	$ 782	6,045,979	0	0
Issuance of common stock, net of fees (in shares)		782,328
Other comprehensive income/(loss): foreign translation adjustment	(329,912)	$ 0	0	(329,912)	0
Proceeds from exercise of stock options	529,177	$ 132	529,045	0	0
Proceeds from exercise of stock options (in shares)		132,771
Cashless exercise of stock options	0	$ 26	(26)	0	0
Cashless exercise of stock options (in shares)		25,288
Cashless exercise of warrants	0	$ 8	(8)	0	0
Cashless exercise of warrants (in shares)		7,921
Issuance of restricted stock units	380,899	$ 48	380,851	0	0
Issuance of restricted stock units (in shares)		48,381
Proceeds from exercise of warrants	15,000	$ 4	14,996	0	0
Proceeds from exercise of warrants (in shares)		4,000
Net loss	(2,982,035)	$ 0	0	0	(2,982,035)
Ending Balance at Mar. 31, 2018	$ 14,447,174	$ 29,974	$ 170,402,768	$ (690,897)	$ (155,294,671)
Ending Balance (in shares) at Mar. 31, 2018		29,974,368

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Cash flows from operating activities:
Net loss	$ (2,982,035)	$ (1,524,873)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	56,574	63,264
Amortization of debt costs	25,787	15,240
Bad debt	4,057	1,460
Stock-based compensation	524,449	92,281
Foreign currency transaction (gain)	(358,230)	(153,054)
Changes in operating assets and liabilities:
Grants and accounts receivable	(117,527)	(284,453)
Inventories	114,700	(20,342)
Prepaid expenses and other current assets	38,623	(131,873)
Accounts payable and accrued expenses	489,824	(42,074)
Net cash used by operating activities	(2,203,778)	(1,984,424)
Cash flows from investing activities:
Purchases of property and equipment	(242,989)	(70,970)
Payments for patent costs	(229,287)	(133,485)
Net cash used by investing activities	(472,276)	(204,455)
Cash flows from financing activities:
Proceeds from long-term debt	666,667	0
Repayment of long-term debt	(666,667)	0
Payment of debt acquisition costs	(147,988)	0
Equity contributions - net of fees incurred	6,046,761	0
Proceeds from exercise of stock options	529,177	1,325
Proceeds from exercise of warrants	15,000	175,004
Net cash provided by financing activities	6,442,950	176,329
Effect of exchange rates on cash	990	7,355
Net change in cash and cash equivalents	3,767,886	(2,005,195)
Cash and cash equivalents - beginning of period	17,321,862	5,245,178
Cash and cash equivalents - end of period	21,089,748	3,239,983
Supplemental disclosure of cash flow information:
Cash paid during the period for interest	261,611	104,946
Supplemental disclosure of non-cash financing activities
Settlement of accrued bonuses with restricted stock units	$ 380,899	$ 144,409

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Mar. 31, 2018
BASIS OF PRESENTATION [Abstract]
BASIS OF PRESENTATION	1. BASIS OF PRESENTATION The interim financial statements of CytoSorbents Corporation (the “Company”) have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). In the opinion of management, the Company has made all necessary adjustments, which include normal recurring adjustments necessary for a fair statement of the Company’s financial position and results of operations for the interim periods presented. Certain information and disclosures normally included in the annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. These interim financial statements should be read in conjunction with the audited financial statements and accompanying notes for the year ended December 31, 2017 included in the Company’s Annual Report on Form 10-K, as filed with the Securities and Exchange Commission on March 8, 2018. The results for the three months ended March 31, 2018 and 2017 are not necessarily indicative of the results to be expected for a full year, any other interim periods or any future year or period. The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. As of March 31, 2018, the Company had an accumulated deficit of $ 155,294,671 2,892,035 1,524,873

PRINCIPAL BUSINESS ACTIVITY AND

PRINCIPAL BUSINESS ACTIVITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2018
PRINCIPAL BUSINESS ACTIVITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
PRINCIPAL BUSINESS ACTIVITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	2. PRINCIPAL BUSINESS ACTIVITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company is a leader in critical care immunotherapy using blood purification technology to treat deadly inflammation in critically-ill and cardiac surgery patients around the world. The Company, through its subsidiary CytoSorbents Medical Inc. (formerly known as CytoSorbents, Inc.), is engaged in the research, development and commercialization of medical devices with its blood purification technology platform which incorporates a proprietary adsorbent, porous polymer technology. The Company, through its wholly owned European subsidiary, CytoSorbents Europe GmbH, conducts sales and marketing related operations for the CytoSorb device. In March 2016, the Company formed CytoSorbents Switzerland GmbH, a wholly-owned subsidiary of CytoSorbents Europe GmbH. This subsidiary, which began operations during the second quarter of 2016, provides marketing and direct sales services in Switzerland. CytoSorb, the Company’s flagship product, is approved in the EU and marketed in and distributed in forty-five countries around the world, as a safe and effective extracorporeal cytokine absorber, designed to reduce the “cytokine storm” that could otherwise cause massive inflammation, organ failure and death in common critical illnesses such as sepsis, burn injury, trauma, lung injury, and pancreatitis. CytoSorb is also being used during and after cardiac surgery to remove inflammatory mediators, such as cytokines and free hemoglobin, which can lead to post-operative complications, including multiple organ failure. In March 2011, CytoSorb was “CE marked” in the European Union (“EU”) allowing for commercial marketing. The technology is based upon biocompatible, highly porous polymer sorbent beads that can actively remove toxic substances from blood and other bodily fluids by pore capture and surface absorption. The Company has numerous products under development based upon this unique blood purification technology, which is protected by 15 issued and 2 allowed but not yet issued U.S. patents and multiple applications pending both in the United States and internationally, including HemoDefend, ContrastSorb, DrugSorb, and others. These patents and patent applications are directed to various compositions and methods of use related to our blood purification technologies, which are expected to expire between 2020 and 2033, absent any patent term extensions. Management believes that any expiring patents will not have a significant impact on our ongoing business. On December 17, 2014 the Company’s common stock, par value $ 0.001 The consolidated financial statements include the accounts of the parent, CytoSorbents Corporation, and its wholly-owned subsidiaries, CytoSorbents Medical, Inc. and CytoSorbents Europe GmbH. In addition, the financial statements include CytoSorbents Switzerland GmbH, a wholly owned subsidiary of CytoSorbents Europe GmbH. All significant intercompany transactions and balances have been eliminated in consolidation. Translation gains and losses resulting from the process of remeasuring into the U.S. dollar, the foreign currency financial statements of CytoSorbents Europe GmbH, for which the U.S. dollar is the functional currency, are included in other comprehensive income. Foreign currency transaction gains included in net loss amounted to approximately $ 358,000 153,000 The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Grants receivable represent amounts due from U.S. government agencies and are included in Grants and Accounts Receivable. Accounts receivable are unsecured, non-interest bearing customer obligations due under normal trade terms. The Company sells its devices to various hospitals and distributors. The Company performs ongoing credit evaluations of customers’ financial condition. Management reviews accounts receivable periodically to determine collectability. Balances that are determined to be uncollectible are written off to the allowance for doubtful accounts. The allowance for doubtful accounts contains a general accrual for estimated bad debts and amounted to $ 78,759 72,698 Inventories are valued at the lower of cost or net realizable value under the first in, first out (FIFO) method. At March 31, 2018 and December 31, 2017, the Company’s inventory was comprised of finished goods, which amounted to $ 113,340 151,872 435,840 528,039 131,005 115,746 Property and equipment are recorded at cost less accumulated depreciation. Depreciation of property and equipment is provided for by the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized over the lesser of their economic useful lives or the term of the related leases. Gains and losses on depreciable assets retired or sold are recognized in the statements of operations in the year of disposal. Repairs and maintenance expenditures are expensed as incurred. Legal costs incurred to establish and successfully defend patents are capitalized. When patents are issued, capitalized costs are amortized on the straight-line method over the related patent term. In the event a patent is abandoned, the net book value of the patent is written off. The Company assesses the impairment of patents and other long-lived assets under accounting standards for the impairment or disposal of long-lived assets whenever events or changes in circumstances indicate that the carrying value may not be recoverable. For long-lived assets to be held and used, the Company recognizes an impairment loss only if its carrying amount is not recoverable through its undiscounted cash flows and measures the impairment loss based on the difference between the carrying amount and fair value. Product Sales Grant Revenue : All research and development costs, payments to laboratories and research consultants are expensed when incurred. Advertising expenses are charged to activities when incurred. Advertising expenses amounted to approximately $ 36,762 49,764 Income taxes are accounted for under the asset and liability method prescribed by accounting standards for accounting for income taxes. Deferred income taxes are recorded for temporary differences between financial statement carrying amounts and the tax basis of assets and liabilities. Deferred tax assets and liabilities reflect the tax rates expected to be in effect for the years in which the differences are expected to reverse. A valuation allowance is provided if it is more likely than not that some or all of the deferred tax asset will not be realized. Under Section 382 of the Internal Revenue Code, the net operating losses generated prior to the previously completed reverse merger may be limited due to the change in ownership. Additionally, net operating losses generated subsequent to the reverse merger may be limited in the event of changes in ownership. The Tax Cuts and Job Act was enacted on December 22, 2017 and reduces the U.S. Federal corporate income tax rate from 35 21 The Company follows accounting standards associated with uncertain tax positions. The Company had no unrecognized tax benefits at March 31, 2018 or December 31, 2017. The Company files tax returns in the U.S. federal and state jurisdictions. The Company utilizes the Technology Business Tax Certificate Transfer Program to sell a portion of its New Jersey Net Operating Loss carry forwards to an industrial company. Each of CytoSorbents Europe GmbH and CytoSorbents Switzerland GmbH files an annual corporate tax return, VAT return and a trade tax return in Germany and Switzerland, respectively. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities. Actual results could differ from these estimates. Significant estimates in these financials are the valuation of options granted, and valuation methods used to determine the change in fair value of the down round feature related to certain of the Company’s outstanding warrants. The Company maintains cash balances, at times, with financial institutions in excess of amounts insured by the Federal Deposit Insurance Corporation. Management monitors the soundness of these institutions in an effort to minimize its collection risk of these balances. A significant portion of our revenues are from product sales in Germany. Substantially all of our grant and other income are from grant agencies in the United States. (See Note 5 for further information relating to the Company’s revenue.) As of March 31, 2018, one distributor accounted for approximately 11 37 28 10 The carrying values of cash and cash equivalents, short-term investments, accounts payable, notes payable, and other debt obligations approximate their fair values due to their short-term nature. Basic earnings per share is computed by dividing income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted earnings per common share is computed using the treasury stock method on the basis of the weighted-average number of shares of common stock plus the dilutive effect of potential common shares outstanding during the period. Dilutive potential common shares include outstanding warrants, stock options and restricted shares. The computation of diluted earnings per share does not assume conversion, exercise or contingent exercise of securities that would have an anti-dilutive effect on earnings (See Note 8). The Company accounts for its stock-based compensation under the recognition requirements of accounting standards for accounting for stock-based compensation, for employees and directors whereby each option granted is valued at fair market value on the date of grant. Under these accounting standards, the fair value of each option is estimated on the date of grant using the Black-Scholes option pricing model. The Company also follows the guidance of accounting standards for accounting for equity instruments that are issued to other than employees for acquiring, or in conjunction with selling, goods or services for equity instruments issued to consultants. In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)”. ASU 2016-02 outlines reporting requirements for Lessees to recognize a right-of-use asset and corresponding liability on the balance sheet for all leases covering a period of greater than 12 months. The liability is to be measured as the present value of the future minimum lease payments, plus any initial direct costs. The minimum payments are discounted using the rate implicit in the lease, or, if not known, the lessee’s incremental borrowing rate. The updated guidance is effective for public entities for fiscal years beginning after December 31, 2018. The Company has evaluated the impact of the updated guidance and has determined that the adoption of ASU 2016-02 is not expected to have a significant impact on its consolidated financial statements. The cost of shipping product to customers and distributors is typically borne by the customer or distributor. The Company records other shipping and handling costs in cost of revenue. Total freight costs amounted to approximately $ 135,800 83,000

ADOPTION OF NEW ACCOUNTING STAN

ADOPTION OF NEW ACCOUNTING STANDARDS AND ADJUSTMENT	3 Months Ended
	Mar. 31, 2018
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
ADOPTION OF NEW ACCOUNTING STANDARDS AND ADJUSTMENT	3. ADOPTION OF NEW ACCOUNTING STANDARDS AND ADJUSTMENT Effective September 30, 2017, the Company adopted the provisions of Accounting Standards Update (“ASU”) 2017-11, “Earning Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815). The provisions of this ASU change the classification analysis of certain equity-linked financial instruments (or embedded features) with down round features. The fair value of a financial instrument with a down round feature is now required to be classified as a component of stockholders equity, as opposed to a liability as it was previously required to be reported. In addition, this recorded fair value of the financial instrument is no longer to be subsequently remeasured. When the down round feature of the financial instrument is triggered due to a change in the underlying strike price, the change in the fair value is now required to be treated as a dividend and as a reduction of income available to common stockholders in accordance with the guidance of ASC-260. Accordingly, the Company has adjusted its current and historical financial statements to properly reflect the provisions of this ASU as discussed below. Prior accounting treatment 816,000 862,920 4.50 4.50 Current accounting treatment. 2,981,418 2,118,498 862,920 146,858 Effective January 1, 2018, the Company adopted the provisions of ASC 606, Revenue from Contracts with Customers and all related amendments. (See Note 5 for disclosures related to the adoption of this new accounting standard.)

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	3 Months Ended
	Mar. 31, 2018
STOCKHOLDERS' EQUITY [Abstract]
STOCKHOLDERS' EQUITY	4. STOCKHOLDERS' EQUITY Preferred Stock In December 2014, the Company amended and restated its certificate of incorporation to reduce the total number of authorized shares of preferred stock. The amended and restated certificate of incorporation authorizes the issuance of up to 5,000,000 0.001 Common Stock Shelf Registration On July 29, 2015, the Company’s registration statement on Form S-3, as filed with the SEC on July 23, 2015, was declared effective using a “shelf” registration process. Under this shelf registration statement, the Company may issue, in one or more offerings, any combination of common stock, preferred stock, senior or subordinated debt securities, warrants, or units, up to a total dollar amount of $ 100 April 5, 2017 Equity Offering On April 5, 2017, the Company closed on the sale of an aggregate of 2,222,222 10,000,000 4.50 333,333 1,500,000 11,500,000 10,300,000 4.50 November 4, 2015 Controlled Equity Offering On November 4, 2015, the Company entered into a Controlled Equity Offering SM 25,000,000 Under the Sales Agreement, Cantor may sell Shares by any method permitted by law and deemed to be an “at the market offering” as defined in Rule 415 promulgated under the Securities Act of 1933, as amended, including sales made directly on Nasdaq, on any existing trading market for the common stock or to or through a market maker. In addition, under the Sales Agreement, Cantor may sell the Shares by any other method permitted by law, including in privately negotiated transactions. The Company may instruct Cantor not to sell Shares if the sales cannot be effected at or above the price designated by the Company from time to time. The Company is not obligated to make any sales of Shares under the Sales Agreement, and if it elects to make any sales, the Company can set a minimum sales price for the Shares. The offering of Shares pursuant to the Sales Agreement will terminate upon the earlier of (a) the sale of all the shares subject to the Sales Agreement and (b) the termination of the Sales Agreement by Cantor or the Company, as permitted therein. From November 4, 2015 through December 31, 2015, the Company sold 28,880 225,000 550,000 6.31 3,367,000 782,328 7.97 6,047,000 27,088 8.29 218,000 1,388,296 7.32 9,856,000 The Company pays a commission rate of 3.0 50,000 The Company intends to use the net proceeds raised through “at the market” sales for research and development activities, which include the funding of additional clinical studies and costs of obtaining regulatory approvals in countries not covered by the CE mark, capital expenditures and other costs necessary to expand production capacity, support of various sales and marketing efforts, product development and general working capital purposes. As a result of the repricing of the warrants which occurred in connection with the April 2017 equity offering, the Company recorded a dividend of $ 335,731 Stock-Based Compensation Total share-based employee, director, and consultant compensation for the three months ended March 31, 2018 and 2017 amounted to approximately $ 524,000 92,000 55,000 15,000 469,000 77,000 Weighted Weighted Average Average Remaining Exercise Price Contractual Shares per Share Life (Years) Outstanding, December 31, 2017 3,578,538 $ 4.64 6.3 Granted 664,125 $ 9.37 10.0 Forfeited (17,025) $ 5.11 — Expired — $ — — Exercised (229,496) $ 4.63 — Outstanding, March 31, 2018 3,996,142 $ 5.43 6.9 The fair value of each stock option was estimated using the Black Scholes pricing model which takes into account as of the grant date the exercise price (ranging from $ 6.85 7.90 10 66.4 0 2.09 2.78 7.05 Options Outstanding Number Weighted Weighted Range of Outstanding at Average Average Aggregate Exercise March 31, Exercise Remaining Intrinsic Price 2018 Price Life (Years) Value $0.88 - $11.48 3,996,142 $ 5.43 6.88 $ 8,153,403 Options Exercisable Number Weighted Exercisable at Average Aggregate March 31, Exercise Intrinsic 2018 Price Value 2,895,755 $ 4.55 $ 7,382,918 Weighted Average Grant Date Shares Fair Value Non-vested, December 31, 2017 1,070,959 $ 0.70 Granted 664,125 $ 4.77 Forfeited (17,025) $ 1.26 Vested (617,672) $ 3.43 Non-vested, March 31, 2018 1,100,387 $ 4.12 As of March 31, 2018, the Company had approximately $ 764,000 Awards of Stock Options: On March 15, 2018, the Board of Directors granted options to purchase 531,900 254,000 Change in Control-Based Awards of Restricted Stock Units: In April 2015, the Board of Directors also granted 960,000 7,747,200 240,000 1,936,000 75,000 414,000 1,941,660 1,539,000 129,500 725,200 1,668,500 100,000 450,000 74,200 586,000 19,500 1,823,200 Performance-Based Awards of Restricted Stock Units: Pursuant to a review of the compensation of the senior management of the Company, on June 7, 2016, the Board of Directors granted 80,000 375,200 31,000 Pursuant to a review of the compensation of the senior management of the Company and managements’ performance in 2016, on February 24, 2017, the Board of Directors granted 125,000 700,000 154,000 Pursuant to a review of the compensation of the senior management of the Company and managements’ performance in 2017, on February 28, 2018, the Board of Directors granted 146,200 1,148,000 32,000 Weighted Average Grant Date Shares Fair Value Non-vested, January 1, 2018 110,003 $ 5.38 Granted 146,200 $ 7.85 Vested (90,398) $ 6.81 Non-vested, March 31, 2018 165,805 $ 6.78 Warrants: Number of Shares Warrant Exercise Warrant To be Purchased Price per Share Expiration Date 81,600 $ 3.750 June 21, 2018 110,000 $ 3.125 September 30, 2018 48,960 $ 7.500 March 11, 2019 592,000 $ 4.500 March 11, 2019 30,000 $ 9.900 January 14, 2020 862,560

REVENUE

REVENUE	3 Months Ended
	Mar. 31, 2018
Revenue from Contract with Customer [Abstract]
REVENUE	5. REVENUE On January 1, 2018, the Company adopted the new accounting standard ASC 606, Revenue from Contracts with Customers and all related amendments (the “new revenue standard”) to all contracts with customers using the modified retrospective method. The adoption of the new revenue standard had no impact on retained earnings as of December 31, 2017 and, accordingly, no cumulative adjustment was required. We do not expect the new revenue standard to have a significant impact on our net income on an ongoing basis. The following table disaggregates the Company’s revenue by customer type and geographic area for the three months ended March 31, 2018: United States Distributors/ Government Direct Strategic Partners Agencies Total Product sales: United States $ 1,800 $ – $ – $ 1,800 Germany 2,667,408 – – 2,667,408 All other countries 693,404 1,070,684 – 1,764,088 Total product revenue 3,362,612 1,070,684 – 4,433,296 Grant and other income: United States – – 491,355 491,355 Total revenue $ 3,362,612 $ 1,070,684 $ 491,355 $ 4,924,651 The following table disaggregates the Company’s revenue by customer type and geographic area for the three months ended March 31, 2017: United States Distributors/ Government Direct Strategic Partners Agencies Total Product sales: United States $ – $ – $ – $ – Germany 1,539,742 – – 1,539,742 All other countries 332,936 723,455 – 1,056,391 Total product revenue 1,872,678 723,455 – 2,596,133 Grant and other income: United States – – 517,385 517,385 Total revenue $ 1,872,678 $ 723,455 $ 517,385 $ 3,113,518 The Company has two primary revenue streams: (1) sales of the CytoSorb device and related device accessories and (2) grant income from contracts with various agencies of the United States government. Both of these revenue streams are within the scope of this accounting pronouncement. The following is a brief description of each revenue stream. CytoSorb Sales The Company sells its CytoSorb device using both its own sales force (direct sales) and through the use of distributors and/or strategic partners. All sales of the device are outside the United States as CytoSorb is not yet approved in the United States. Direct sales are fulfilled from the Company’s office in Berlin, Germany. Direct sales relate to sales to hospitals located in Germany, Switzerland, Austria, Belgium and Luxembourg. There are no formal sales contracts with any direct customers relating to product price or minimum purchase requirements. However, there are agreements in place with certain direct customers that provide for either free of charge product or rebate credits. The Company records the value of these items as earned as a reduction of revenue. These customers submit purchase orders and the order is fulfilled and shipped directly to the customer. Prices to all direct customers are based on a standard price list based on the packaged quantity (6 packs vs 12 packs). Distributor and strategic partner sales make up the remaining product sales. These distributors are located in various countries throughout the world. The Company has a formal written contract with each distributor/strategic partner. These contracts have terms ranging from 1-5 years in length, with three years being the typical term. Each distributor’s/strategic partner’s contract has minimum annual purchase requirements in order to maintain exclusivity in their respective territories. Except for Fresenius Medical Care (“FMC”), there is no additional consideration or monetary penalty that would be required to be paid to CytoSorbents if a distributor does not meet the minimum purchase commitments included in the contract, however, at the discretion of the Company, the distributor may lose his exclusive rights in the territory. The FMC agreement provides that FMC must make specific minimum quarterly purchases. In the event that they do not meet the minimum quarterly purchase amounts as stipulated in their agreement, they would be required to make minimum quarterly payments. If this situation should occur, which is not anticipated, the Company would record these minimum payments as other income in the financial statements. In addition, certain distributors are eligible for volume discount pricing if their unit sales are in excess of the base amount in the contract. Government Grants The Company has been the recipient of various grant contracts from various agencies of the United States government, primarily the Department of Defense, to perform various research and development activities. These contacts fall into one of the following categories: 1. Fixed price – the Company invoices the contract amount in equal installments over the term of the contract without regard to the timing of the costs incurred related to this contract. 2. Cost reimbursement – the Company submits monthly invoices during the term of the contract for the amount of direct costs incurred during that month plus an agreed percentage that relates to allowable overhead and general and administrative expenses. Cumulative amounts invoiced may not exceed the maximum amount of funding stipulated in the contract. 3. Cost plus – this type of contract is similar to a cost reimbursement contract but this type also allows for the Company to additionally invoice for a fee amount that is included in the contract. In summary, the contracts the Company has with customers are the distributor/strategic partner contracts related to CytoSorb product sales, agreements with direct customers related to free-of-charge product and credit rebates, and contracts with various government agencies related to the Company’s grants. The Company does not currently incur any outside/third party incremental costs to obtain any of these contracts. The Company does incur internal costs, primarily salary related costs, to obtain the contracts related to the grants. Company employees spend time reviewing the program requirements and developing the budget and related proposal to submit to the grantor agency. There may additionally be travel expenditures involved with meeting with government agency officials during the negotiation of the contract. These internal costs are expensed as incurred. The following table provides information about receivables and contract liabilities from contracts with customers: March 31, 2018 December 31, 2017 Receivables, which are included in grants and accounts receivable $ 1,249,731 $ 1,267,459 Contract liabilities $ 43,589 $ 30,380 Contract liabilities represent the value of free of charge goods and credit rebates earned in accordance with the terms of certain direct customer agreements during the periods ended March 31, 2018 and December 31, 2017, and deferred revenue on distributor/strategic partner contracts. Deferred revenue is the difference between the average selling price anticipated for the year ended 2018 and the actual price invoiced during the three months ended March 31, 2018. There was no deferred revenue liability as of December 31, 2017.

LONG-TERM DEBT, NET

LONG-TERM DEBT, NET	3 Months Ended
	Mar. 31, 2018
LONG-TERM DEBT, NET [Abstract]
LONG-TERM DEBT, NET	6. LONG-TERM DEBT, NET On June 30, 2016, the Company and its wholly-owned subsidiary, CytoSorbents Medical, Inc. (together, the “Borrower”), entered into a Loan and Security Agreement with Bridge Bank, a division of Western Alliance Bank, (the “Bank”), pursuant to which the Company borrowed $ 10 5 15 10 5 3.66 8.41 On the Closing Date, the Company was required to pay a non-refundable closing fee of $ 25,000 11,000 85,938 20,050 130,060 7,558 7,428 9.1 333,333 625,000 18,229 7,812 2.0 1.5 1.0 Events of default which may cause repayment of the Term Loans to be accelerated include, among other customary events of default, (1) non-payment of any obligation when due, (2) the failure to perform any obligation required under the Amended and Restated Loan and Security Agreement and to cure such default within a reasonable time frame, (3) the occurrence of a Material Adverse Event (as defined in the Amended and Restated Loan and Security Agreement), (4) the attachment or seizure of a material portion of the Borrower’s assets if such attachment or seizure is not released, discharged or rescinded within 10 days, and (5) if the Borrower becomes insolvent or starts an insolvency proceeding or if an insolvency proceeding is brought by a third party against the Borrower and such proceeding is not dismissed or stayed within 30 days. The Amended and Restated Loan and Security Agreement includes customary loan conditions, Borrower representations and warranties, Borrower affirmative covenants and Borrower negative covenants for secured transactions of this type. The Company’s and CytoSorbents Medical, Inc.’s obligations under the Amended and Restated Loan and Security Agreement are joint and severable and are secured by a first priority security interest in favor of the Bank with respect to the Company’s Shares (as defined in the Amended and Restated Loan and Security Agreement) and the Borrower’s Collateral (as defined in the Amended and Restated Loan and Security Agreement, which definition excludes the Borrower’s intellectual property and other customary exceptions). Success Fee Letters: The Borrower continues to be bound by the Success Fee Letter (the “2016 Letter”) with the Bank related to the Original Term Loans. Pursuant to the 2016 Letter, the Borrower shall pay to the Bank a success fee in the amount equal to 6.37 8.00 In connection with the Amended and Restated Loan and Security Agreement, the Borrower entered into an additional Success Fee Letter (the “2018 Letter”), which will only be effective if the Term B Loan is drawn. Pursuant to the 2018 Letter, the Borrower shall pay to the Bank a success fee in the amount equal to 6.37% of the funded amount of the Term B Loan (the “2018 Letter Success Fee” and together with the 2016 Letter Success Fee, the “Success Fees”) upon the first occurrence of any of the following events: (a) a sale or other disposition by the Borrower of all or substantially all of its assets; (b) a merger or consolidation of the Borrower into or with another person or entity, where the holders of the Borrower’s outstanding voting equity securities as of immediately prior to such merger or consolidation hold less than a majority of the issued and outstanding voting equity securities of the successor or surviving person or entity as of immediately following the consummation of such merger or consolidation; (c) a transaction or a series of related transactions in which any “person” or “group” (within the meaning of Section 13(d) and 14(d)(2) of the Exchange Act”)) becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of a sufficient number of shares of all classes of stock then outstanding of the Borrower ordinarily entitled to vote in the election of directors, empowering such “person” or “group” to elect a majority of the Board of Directors of the Borrower, who did not have such power before such transaction; or (d) the closing price per share for the Company’s common stock on Nasdaq being the greater of (i) 70% or more over $7.05, the closing price of the Company’s common stock on March 29, 2018 (after giving effect to any stock splits or consolidations effected after the date thereof) for five successive business days, or (ii) at least 26.13% more than the closing price of the Company’s common stock on the date of the funding of the Term B Loan. If either Success Fee is due pursuant an event described in clause (d) of the two preceding paragraphs, the Company may elect, in lieu of paying the Success Fee in cash, to issue and sell to the Bank, in exchange for the applicable Success Fee, such number of shares of the Company’s common stock as would be equal to the quotient (calculated by rounding up the nearest whole number) obtained by dividing (a) the applicable Success Fee by (b) the volume weighted average price per share of the Company’s common stock for the same five successive business days on which the closing price per share of the Company’s common stock caused the applicable Success Fee to become payable. The Bank’s right to receive the 2018 Letter Success Fee and the Borrower’s obligation to pay such 2018 Letter Success Fee terminate on the fifth anniversary of the funding of the Term B Loan, and shall survive the termination of the Amended and Restated Loan and Security Agreement and any prepayment of the Term Loans. Principal amount $ 10,000,000 Less unamortized debt acquisition costs (130,060) Subtotal 9,869,940 Less Current maturities – Long-term debt net of current maturities $ 9,869,940 2019 $ – 2020 1,666,667 2021 4,000,000 2022 4,000,000 2023 333,333 Total $ 10,000,000

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2018
COMMITMENTS AND CONTINGENCIES [Abstract]
COMMITMENTS AND CONTINGENCIES	7. COMMITMENTS AND CONTINGENCIES Employment Agreements On July 14, 2015, CytoSorbents Corporation entered into executive employment agreements with its principal executives, Dr. Phillip P. Chan, President and Chief Executive Officer, Vincent Capponi, Chief Operating Officer, and Kathleen P. Bloch, Chief Financial Officer. Each of these agreements has an initial term of three years, and is retroactively effective as of January 1, 2015. After 2017, these employment agreements automatically renew for one year, unless terminated by the Company or the employee. On May 30, 2017, CytoSorbents Corporation announced the appointment of Dr. Eric R. Mortensen as the Company’s Chief Medical Officer, pursuant to the terms of an employment agreement dated May 23, 2017. Dr. Mortensen’s employment agreement provides for an initial term commencing on June 1, 2017 and ending on December 31, 2019. These employment agreements each provide for base salary and other customary benefits which include participation in group insurance plans, paid time off and reimbursement of certain business related expenses, including travel and continuing educational expenses, as well as bonus and/or equity awards at the discretion of the Board of Directors. In addition, the agreements provide for certain termination benefits in the event of termination without Cause or voluntary termination of employment for “Good Reason,” as defined in each agreement. The agreements also provide for certain benefits in the event of a change of control of the Company, as defined in each agreement. Litigation The Company is from time to time subject to claims and litigation arising out of the ordinary course of business. The Company intends to defend vigorously against any future claims and litigation. The Company is not currently a party to any legal proceedings. Royalty Agreements Pursuant to an agreement dated August 11, 2003, an existing investor agreed to make a $ 4 3 131,000 77,000 License Agreements In March 2006, the Company entered into a license agreement which provides the Company the exclusive right to use its patented technology and proprietary know how relating to adsorbent polymers for a period of 18 years. Under the terms of the agreement, the Company has agreed to pay royalties of 2.5 5 18 219,000 128,000

NET LOSS PER SHARE

NET LOSS PER SHARE	3 Months Ended
	Mar. 31, 2018
NET LOSS PER SHARE [Abstract]
NET LOSS PER SHARE	8. NET LOSS PER SHARE Basic loss per share and diluted loss per share for the three months ended March 31, 2018 and 2017 have been computed by dividing the net loss for each respective period by the weighted average number of shares outstanding during that period. All outstanding warrants and options and restricted stock awards representing approximately 5,025,000 4,905,000

SUBSEQUENT EVENT

SUBSEQUENT EVENT	3 Months Ended
	Mar. 31, 2018
SUBSEQUENT EVENT [Abstract]
SUBSEQUENT EVENT	9. SUBSEQUENT EVENT From April 1, 2018 through May 2, 2018, the Company sold 27,088 8.29 218,000 On April 23, 2018, the Board of Directors granted options to purchase 668,550 195,550 1,486,000

PRINCIPAL BUSINESS ACTIVITY A16

PRINCIPAL BUSINESS ACTIVITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2018
PRINCIPAL BUSINESS ACTIVITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]
Nature of Business	Nature of Business The Company is a leader in critical care immunotherapy using blood purification technology to treat deadly inflammation in critically-ill and cardiac surgery patients around the world. The Company, through its subsidiary CytoSorbents Medical Inc. (formerly known as CytoSorbents, Inc.), is engaged in the research, development and commercialization of medical devices with its blood purification technology platform which incorporates a proprietary adsorbent, porous polymer technology. The Company, through its wholly owned European subsidiary, CytoSorbents Europe GmbH, conducts sales and marketing related operations for the CytoSorb device. In March 2016, the Company formed CytoSorbents Switzerland GmbH, a wholly-owned subsidiary of CytoSorbents Europe GmbH. This subsidiary, which began operations during the second quarter of 2016, provides marketing and direct sales services in Switzerland. CytoSorb, the Company’s flagship product, is approved in the EU and marketed in and distributed in forty-five countries around the world, as a safe and effective extracorporeal cytokine absorber, designed to reduce the “cytokine storm” that could otherwise cause massive inflammation, organ failure and death in common critical illnesses such as sepsis, burn injury, trauma, lung injury, and pancreatitis. CytoSorb is also being used during and after cardiac surgery to remove inflammatory mediators, such as cytokines and free hemoglobin, which can lead to post-operative complications, including multiple organ failure. In March 2011, CytoSorb was “CE marked” in the European Union (“EU”) allowing for commercial marketing. The technology is based upon biocompatible, highly porous polymer sorbent beads that can actively remove toxic substances from blood and other bodily fluids by pore capture and surface absorption. The Company has numerous products under development based upon this unique blood purification technology, which is protected by 15 issued and 2 allowed but not yet issued U.S. patents and multiple applications pending both in the United States and internationally, including HemoDefend, ContrastSorb, DrugSorb, and others. These patents and patent applications are directed to various compositions and methods of use related to our blood purification technologies, which are expected to expire between 2020 and 2033, absent any patent term extensions. Management believes that any expiring patents will not have a significant impact on our ongoing business.
Stock Market Listing	Stock Market Listing On December 17, 2014 the Company’s common stock, par value $ 0.001
Basis of Consolidation and Foreign Currency Translation	Basis of Consolidation and Foreign Currency Translation The consolidated financial statements include the accounts of the parent, CytoSorbents Corporation, and its wholly-owned subsidiaries, CytoSorbents Medical, Inc. and CytoSorbents Europe GmbH. In addition, the financial statements include CytoSorbents Switzerland GmbH, a wholly owned subsidiary of CytoSorbents Europe GmbH. All significant intercompany transactions and balances have been eliminated in consolidation. Translation gains and losses resulting from the process of remeasuring into the U.S. dollar, the foreign currency financial statements of CytoSorbents Europe GmbH, for which the U.S. dollar is the functional currency, are included in other comprehensive income. Foreign currency transaction gains included in net loss amounted to approximately $ 358,000 153,000
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.
Grants and Accounts Receivable	Grants and Accounts Receivable Grants receivable represent amounts due from U.S. government agencies and are included in Grants and Accounts Receivable. Accounts receivable are unsecured, non-interest bearing customer obligations due under normal trade terms. The Company sells its devices to various hospitals and distributors. The Company performs ongoing credit evaluations of customers’ financial condition. Management reviews accounts receivable periodically to determine collectability. Balances that are determined to be uncollectible are written off to the allowance for doubtful accounts. The allowance for doubtful accounts contains a general accrual for estimated bad debts and amounted to $ 78,759 72,698
Inventories	Inventories Inventories are valued at the lower of cost or net realizable value under the first in, first out (FIFO) method. At March 31, 2018 and December 31, 2017, the Company’s inventory was comprised of finished goods, which amounted to $ 113,340 151,872 435,840 528,039 131,005 115,746
Property and Equipment	Property and Equipment Property and equipment are recorded at cost less accumulated depreciation. Depreciation of property and equipment is provided for by the straight-line method over the estimated useful lives of the related assets. Leasehold improvements are amortized over the lesser of their economic useful lives or the term of the related leases. Gains and losses on depreciable assets retired or sold are recognized in the statements of operations in the year of disposal. Repairs and maintenance expenditures are expensed as incurred.
Patents	Patents Legal costs incurred to establish and successfully defend patents are capitalized. When patents are issued, capitalized costs are amortized on the straight-line method over the related patent term. In the event a patent is abandoned, the net book value of the patent is written off.
Impairment or Disposal of Long-Lived Assets	Impairment or Disposal of Long-Lived Assets The Company assesses the impairment of patents and other long-lived assets under accounting standards for the impairment or disposal of long-lived assets whenever events or changes in circumstances indicate that the carrying value may not be recoverable. For long-lived assets to be held and used, the Company recognizes an impairment loss only if its carrying amount is not recoverable through its undiscounted cash flows and measures the impairment loss based on the difference between the carrying amount and fair value.
Revenue Recognition	Revenue Recognition Product Sales Grant Revenue :
Research and Development	Research and Development All research and development costs, payments to laboratories and research consultants are expensed when incurred.
Advertising Expenses	Advertising Expenses Advertising expenses are charged to activities when incurred. Advertising expenses amounted to approximately $ 36,762 49,764
Income Taxes	Income Taxes Income taxes are accounted for under the asset and liability method prescribed by accounting standards for accounting for income taxes. Deferred income taxes are recorded for temporary differences between financial statement carrying amounts and the tax basis of assets and liabilities. Deferred tax assets and liabilities reflect the tax rates expected to be in effect for the years in which the differences are expected to reverse. A valuation allowance is provided if it is more likely than not that some or all of the deferred tax asset will not be realized. Under Section 382 of the Internal Revenue Code, the net operating losses generated prior to the previously completed reverse merger may be limited due to the change in ownership. Additionally, net operating losses generated subsequent to the reverse merger may be limited in the event of changes in ownership. The Tax Cuts and Job Act was enacted on December 22, 2017 and reduces the U.S. Federal corporate income tax rate from 35 21 The Company follows accounting standards associated with uncertain tax positions. The Company had no unrecognized tax benefits at March 31, 2018 or December 31, 2017. The Company files tax returns in the U.S. federal and state jurisdictions. The Company utilizes the Technology Business Tax Certificate Transfer Program to sell a portion of its New Jersey Net Operating Loss carry forwards to an industrial company. Each of CytoSorbents Europe GmbH and CytoSorbents Switzerland GmbH files an annual corporate tax return, VAT return and a trade tax return in Germany and Switzerland, respectively.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities. Actual results could differ from these estimates. Significant estimates in these financials are the valuation of options granted, and valuation methods used to determine the change in fair value of the down round feature related to certain of the Company’s outstanding warrants.
Concentration of Credit Risk	Concentration of Credit Risk The Company maintains cash balances, at times, with financial institutions in excess of amounts insured by the Federal Deposit Insurance Corporation. Management monitors the soundness of these institutions in an effort to minimize its collection risk of these balances. A significant portion of our revenues are from product sales in Germany. Substantially all of our grant and other income are from grant agencies in the United States. (See Note 5 for further information relating to the Company’s revenue.) As of March 31, 2018, one distributor accounted for approximately 11 37 28 10
Financial Instruments	Financial Instruments The carrying values of cash and cash equivalents, short-term investments, accounts payable, notes payable, and other debt obligations approximate their fair values due to their short-term nature.
Net Loss Per Common Share	Net Loss Per Common Share Basic earnings per share is computed by dividing income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted earnings per common share is computed using the treasury stock method on the basis of the weighted-average number of shares of common stock plus the dilutive effect of potential common shares outstanding during the period. Dilutive potential common shares include outstanding warrants, stock options and restricted shares. The computation of diluted earnings per share does not assume conversion, exercise or contingent exercise of securities that would have an anti-dilutive effect on earnings (See Note 8).
Stock-Based Compensation	Stock-Based Compensation The Company accounts for its stock-based compensation under the recognition requirements of accounting standards for accounting for stock-based compensation, for employees and directors whereby each option granted is valued at fair market value on the date of grant. Under these accounting standards, the fair value of each option is estimated on the date of grant using the Black-Scholes option pricing model. The Company also follows the guidance of accounting standards for accounting for equity instruments that are issued to other than employees for acquiring, or in conjunction with selling, goods or services for equity instruments issued to consultants.
Effects of Recent Accounting Pronouncements	Effects of Recent Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)”. ASU 2016-02 outlines reporting requirements for Lessees to recognize a right-of-use asset and corresponding liability on the balance sheet for all leases covering a period of greater than 12 months. The liability is to be measured as the present value of the future minimum lease payments, plus any initial direct costs. The minimum payments are discounted using the rate implicit in the lease, or, if not known, the lessee’s incremental borrowing rate. The updated guidance is effective for public entities for fiscal years beginning after December 31, 2018. The Company has evaluated the impact of the updated guidance and has determined that the adoption of ASU 2016-02 is not expected to have a significant impact on its consolidated financial statements.
Shipping and Handling Costs	Shipping and Handling Costs The cost of shipping product to customers and distributors is typically borne by the customer or distributor. The Company records other shipping and handling costs in cost of revenue. Total freight costs amounted to approximately $ 135,800 83,000

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	3 Months Ended
	Mar. 31, 2018
STOCKHOLDERS' EQUITY [Abstract]
Schedule Of Share Based Compensation Stock Options Activity	The summary of the stock option activity for the three months ended March 31, 2018 is as follows: Weighted Weighted Average Average Remaining Exercise Price Contractual Shares per Share Life (Years) Outstanding, December 31, 2017 3,578,538 $ 4.64 6.3 Granted 664,125 $ 9.37 10.0 Forfeited (17,025) $ 5.11 — Expired — $ — — Exercised (229,496) $ 4.63 — Outstanding, March 31, 2018 3,996,142 $ 5.43 6.9
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range	The intrinsic value is calculated at the difference between the market value as of March 31, 2018 of $ 7.05 Options Outstanding Number Weighted Weighted Range of Outstanding at Average Average Aggregate Exercise March 31, Exercise Remaining Intrinsic Price 2018 Price Life (Years) Value $0.88 - $11.48 3,996,142 $ 5.43 6.88 $ 8,153,403 Options Exercisable Number Weighted Exercisable at Average Aggregate March 31, Exercise Intrinsic 2018 Price Value 2,895,755 $ 4.55 $ 7,382,918
Schedule Of Nonvested Share Activity	The summary of the status of the Company’s non-vested options for the three months ended March 31, 2018 is as follows: Weighted Average Grant Date Shares Fair Value Non-vested, December 31, 2017 1,070,959 $ 0.70 Granted 664,125 $ 4.77 Forfeited (17,025) $ 1.26 Vested (617,672) $ 3.43 Non-vested, March 31, 2018 1,100,387 $ 4.12
Schedule Of Restricted Stock Unit Activity	The following table outlines the restricted stock unit activity for the three months ended March 31, 2018: Weighted Average Grant Date Shares Fair Value Non-vested, January 1, 2018 110,003 $ 5.38 Granted 146,200 $ 7.85 Vested (90,398) $ 6.81 Non-vested, March 31, 2018 165,805 $ 6.78
Schedule Of Stockholders Equity Note Warrants and Common Stock Activity	As of March 31, 2018, the Company has the following warrants to purchase common stock outstanding: Number of Shares Warrant Exercise Warrant To be Purchased Price per Share Expiration Date 81,600 $ 3.750 June 21, 2018 110,000 $ 3.125 September 30, 2018 48,960 $ 7.500 March 11, 2019 592,000 $ 4.500 March 11, 2019 30,000 $ 9.900 January 14, 2020 862,560

REVENUE (Tables)

REVENUE (Tables)	3 Months Ended
	Mar. 31, 2018
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	The following table disaggregates the Company’s revenue by customer type and geographic area for the three months ended March 31, 2018: United States Distributors/ Government Direct Strategic Partners Agencies Total Product sales: United States $ 1,800 $ – $ – $ 1,800 Germany 2,667,408 – – 2,667,408 All other countries 693,404 1,070,684 – 1,764,088 Total product revenue 3,362,612 1,070,684 – 4,433,296 Grant and other income: United States – – 491,355 491,355 Total revenue $ 3,362,612 $ 1,070,684 $ 491,355 $ 4,924,651 The following table disaggregates the Company’s revenue by customer type and geographic area for the three months ended March 31, 2017: United States Distributors/ Government Direct Strategic Partners Agencies Total Product sales: United States $ – $ – $ – $ – Germany 1,539,742 – – 1,539,742 All other countries 332,936 723,455 – 1,056,391 Total product revenue 1,872,678 723,455 – 2,596,133 Grant and other income: United States – – 517,385 517,385 Total revenue $ 1,872,678 $ 723,455 $ 517,385 $ 3,113,518
Contract with Customer, Asset and Liability	The following table provides information about receivables and contract liabilities from contracts with customers: March 31, 2018 December 31, 2017 Receivables, which are included in grants and accounts receivable $ 1,249,731 $ 1,267,459 Contract liabilities $ 43,589 $ 30,380

LONG-TERM DEBT, NET (Tables)

LONG-TERM DEBT, NET (Tables)	3 Months Ended
	Mar. 31, 2018
LONG-TERM DEBT, NET [Abstract]
Schedule of Long-term Debt	Long-term debt consists of the following at March 31, 2018: Principal amount $ 10,000,000 Less unamortized debt acquisition costs (130,060) Subtotal 9,869,940 Less Current maturities – Long-term debt net of current maturities $ 9,869,940
Schedule of Principal payments of long-term debt	Principal payments of long-term debt are due as follows at March 31, 2018: 2019 $ – 2020 1,666,667 2021 4,000,000 2022 4,000,000 2023 333,333 Total $ 10,000,000

BASIS OF PRESENTATION (Details

BASIS OF PRESENTATION (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
BASIS OF PRESENTATION [Line Items]
Accumulated deficit	$ (155,294,671)		$ (152,312,636)
Net income (loss)	$ (2,982,035)	$ (1,524,873)

PRINCIPAL BUSINESS ACTIVITY A21

PRINCIPAL BUSINESS ACTIVITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Textual) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017	Dec. 17, 2014
Principal Business Activity and Summary of Significant Accounting Policies [Line Items]
Common Stock, Par Value	$ 0.001		$ 0.001	$ 0.001
Foreign Currency Transaction Gain (Loss), before Tax	$ 358,230	$ 153,054
Allowance For Doubtful Accounts Receivable	78,759		$ 72,698
Inventory, Finished Goods, Gross	113,340		151,872
Inventory, Work in Process, Gross	435,840		528,039
Inventory, Raw Materials, Gross	131,005		$ 115,746
Advertising Expense	36,762	49,764
Freight Costs	$ 135,800	$ 83,000
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent	21.00%		35.00%
Accounts Receivable [Member] | One Distributor [Member]
Principal Business Activity and Summary of Significant Accounting Policies [Line Items]
Concentration Risk, Percentage	11.00%
Accounts Receivable [Member] | Two Distributor [Member]
Principal Business Activity and Summary of Significant Accounting Policies [Line Items]
Concentration Risk, Percentage		37.00%	28.00%
Sales Revenue, Goods, Net [Member]
Principal Business Activity and Summary of Significant Accounting Policies [Line Items]
Concentration Risk, Percentage	10.00%	10.00%

ADOPTION OF NEW ACCOUNTING ST22

ADOPTION OF NEW ACCOUNTING STANDARDS AND ADJUSTMENT (Details Textual) - USD ($)	Mar. 11, 2014	Jan. 01, 2015	Mar. 31, 2017
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	816,000
Fair Value Warrant Liability	$ 862,920	$ 2,981,418
Share Price	$ 4.50
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 4.50
New Accounting Pronouncement or Change in Accounting Principle, Effect of Change on Net Income			$ 146,858
Retained Earnings [Member]
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets		2,118,498
Additional Paid-in Capital [Member]
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets		$ 862,920

STOCKHOLDERS' EQUITY (Details)

STOCKHOLDERS' EQUITY (Details)	3 Months Ended
	Mar. 31, 2018$ / sharesshares
Shares
Outstanding | shares	3,578,538
Granted | shares	664,125
Forfeited | shares	(17,025)
Expired | shares	0
Exercised | shares	(229,496)
Outstanding | shares	3,996,142
Weighted Average Exercise Price per Share
Outstanding | $ / shares	$ 4.64
Granted | $ / shares	9.37
Forfeited | $ / shares	5.11
Expired | $ / shares	0
Exercised | $ / shares	4.63
Outstanding | $ / shares	$ 5.43
Weighted Average Remaining Contractual Life (Years)
Outstanding	6 years 3 months 18 days
Granted	10 years
Forfeited	0 years
Expired	0 years
Exercised	0 years
Outstanding	6 years 10 months 24 days

STOCKHOLDERS' EQUITY (Details 1

STOCKHOLDERS' EQUITY (Details 1)	3 Months Ended
	Mar. 31, 2018USD ($)$ / sharesshares
Options Outstanding
Number Outstanding at March 31, 2018 | shares	3,996,142
Weighted Average Exercise Price	$ 5.43
Weighted Average Remaining Life (Years)	6 years 10 months 17 days
Aggregate Intrinsic Value | $	$ 8,153,403
Options Exercisable
Number Exercisable at March 31, 2018 | shares	2,895,755
Weighted Average Exercise Price	$ 4.55
Aggregate Intrinsic Value | $	$ 7,382,918
$0.88 - $11.48
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Price, Lower Range Limit	$ 0.88
Range of Exercise Price, Upper Range Limit	$ 11.48

STOCKHOLDERS' EQUITY (Details 2

STOCKHOLDERS' EQUITY (Details 2)	3 Months Ended
	Mar. 31, 2018$ / sharesshares
Shares
Non-vested, December 31, 2017 | shares	1,070,959
Granted | shares	664,125
Forfeited | shares	(17,025)
Vested | shares	(617,672)
Non-vested, March 31, 2018 | shares	1,100,387
Weighted Average Grant Date Fair Value
Non-vested, December 31, 2017 | $ / shares	$ 0.7
Granted | $ / shares	4.77
Forfeited | $ / shares	1.26
Vested | $ / shares	3.43
Non-vested, March 31, 2018 | $ / shares	$ 4.12

STOCKHOLDERS' EQUITY (Details 3

STOCKHOLDERS' EQUITY (Details 3) - Restricted Stock Units (RSUs) [Member]	3 Months Ended
	Mar. 31, 2018$ / sharesshares
Shares
Non-vested, January 1, 2018 | shares	110,003
Granted | shares	146,200
Vested | shares	(90,398)
Non-vested, March 31, 2018 | shares	165,805
Weighted Average Grant Date Fair Value
Non-vested, January 1, 2018 | $ / shares	$ 5.38
Granted | $ / shares	7.85
Vested | $ / shares	6.81
Non-vested, March 31, 2018 | $ / shares	$ 6.78

STOCKHOLDERS' EQUITY (Details 4

STOCKHOLDERS' EQUITY (Details 4) - $ / shares	3 Months Ended
	Mar. 31, 2018	Mar. 11, 2014
Class of Warrant or Right [Line Items]
Number of Shares To be Purchased	862,560
Warrant Exercise Price per Share		$ 4.50
Warrant 1
Class of Warrant or Right [Line Items]
Number of Shares To be Purchased	81,600
Warrant Exercise Price per Share	$ 3.750
Warrant Expiration Date	Jun. 21, 2018
Warrant 2
Class of Warrant or Right [Line Items]
Number of Shares To be Purchased	110,000
Warrant Exercise Price per Share	$ 3.125
Warrant Expiration Date	Sep. 30, 2018
Warrant 3
Class of Warrant or Right [Line Items]
Number of Shares To be Purchased	48,960
Warrant Exercise Price per Share	$ 7.500
Warrant Expiration Date	Mar. 11, 2019
Warrant 4
Class of Warrant or Right [Line Items]
Number of Shares To be Purchased	592,000
Warrant Exercise Price per Share	$ 4.500
Warrant Expiration Date	Mar. 11, 2019
Warrant 5
Class of Warrant or Right [Line Items]
Number of Shares To be Purchased	30,000
Warrant Exercise Price per Share	$ 9.900
Warrant Expiration Date	Jan. 14, 2020

STOCKHOLDERS' EQUITY (Details T

STOCKHOLDERS' EQUITY (Details Textual) - USD ($)

Mar. 15, 2018

Apr. 11, 2017

Apr. 05, 2017

Jun. 07, 2016

Nov. 04, 2015

May 02, 2018

Apr. 23, 2018

Feb. 28, 2017

Feb. 24, 2017

Jun. 30, 2016

Apr. 30, 2015

Dec. 31, 2015

Mar. 31, 2018

Mar. 31, 2017

Dec. 31, 2017

Jul. 29, 2015

Dec. 31, 2014

Mar. 11, 2014

Stockholders Equity [Line Items]

Preferred Stock, Shares Authorized

5,000,000

5,000,000

5,000,000

Preferred Stock, Par or Stated Value Per Share

$ 0.001

Stock Issued During Period Value New Issues

$ 6,046,761

Proceeds From Issuance Of Common Stock

$ 10,300,000

Aggregate registered amount for offerings

$ 100,000,000

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price

$ 7.05

Allocated Share-based Compensation Expense

$ 524,000

$ 92,000

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate, Minimum

2.09%

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate, Maximum

2.78%

Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options

$ 764,000

Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period

531,900

Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures, Total

380,899

Class of Warrant or Right, Exercise Price of Warrants or Rights

$ 4.50

Stock or Unit Option Plan Expense

$ 254,000

Preferred Stock Dividends and Other Adjustments

$ 335,731

Sale of Stock,Period One [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Shares New Issues

28,880

Stock Issued During Period Value New Issues

$ 225,000

Sale of Stock,Period Two [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Shares New Issues

550,000

Stock Issued During Period Value New Issues

$ 3,367,000

Sale of Stock, Price Per Share

$ 6.31

Sale of Stock,Period Three [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Shares New Issues

782,328

Stock Issued During Period Value New Issues

$ 6,047,000

Sale of Stock, Price Per Share

$ 7.97

Shelf Registration [Member]

Stockholders Equity [Line Items]

Proceeds From Issuance Of Common Stock

$ 10,000,000

Over-Allotment Option [Member]

Stockholders Equity [Line Items]

Proceeds From Issuance Of Common Stock

$ 1,500,000

Common Stock Including Additional Paid in Capital [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Value New Issues

$ 11,500,000

Common Stock Including Additional Paid in Capital [Member] | Shelf Registration [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Shares New Issues

2,222,222

Shares Issued, Price Per Share

$ 4.50

Common Stock Including Additional Paid in Capital [Member] | Over-Allotment Option [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Shares New Issues

333,333

Restricted Stock Units (RSUs) [Member]

Stockholders Equity [Line Items]

Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures, Total

$ 450,000

$ 32,000

Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number

1,668,500

1,539,000

165,805

110,003

Stock Issued During Period, Shares, Restricted Stock Award, Gross

80,000

125,000

146,200

Stock Issued During Period, Value, Restricted Stock Award, Gross

$ 375,200

$ 700,000

$ 1,148,000

Restricted Stock [Member]

Stockholders Equity [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number

1,823,200

Director [Member]

Stockholders Equity [Line Items]

Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures, Total

100,000

240,000

Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures, Total

$ 725,200

$ 1,936,000

Employee [Member]

Stockholders Equity [Line Items]

Allocated Share-based Compensation Expense

$ 74,200

Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures, Total

129,500

414,000

960,000

19,500

Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures, Total

$ 1,941,660

$ 7,747,200

$ 586,000

Stock Issued During Period, Shares, Restricted Stock Award, Forfeited

75,000

Research and Development Expense [Member]

Stockholders Equity [Line Items]

Allocated Share-based Compensation Expense

55,000

15,000

General and Administrative Expense [Member]

Stockholders Equity [Line Items]

Allocated Share-based Compensation Expense

$ 469,000

77,000

Cantor Fitzgerald and Co. [Member]

Stockholders Equity [Line Items]

Commission Rate As Percentage Of Aggregate Gross Proceeds

3.00%

Maximum Amount To Be Reimbursed For Expenses In Connection With Agreement

$ 50,000

Aggregate Offering Price Maximum

$ 25,000,000

Minimum [Member] | Restricted Stock Units (RSUs) [Member]

Stockholders Equity [Line Items]

Stock Issued During Period, Value, Restricted Stock Award, Net of Forfeitures, Total

$ 154,000

Stock Issued During Period, Shares, Restricted Stock Award, Forfeited

31,000

Exercise Price Ranging From 6.85 to 7.90 [Member]

Stockholders Equity [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term

10 years

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate

66.40%

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate

0.00%

Exercise Price Ranging From 6.85 to 7.90 [Member] | Maximum [Member]

Stockholders Equity [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price

$ 7.90

Exercise Price Ranging From 6.85 to 7.90 [Member] | Minimum [Member]

Stockholders Equity [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price

$ 6.85

Subsequent Event [Member]

Stockholders Equity [Line Items]

Sale of Stock, Price Per Share

$ 7.32

Sale of Stock, Number of Shares Issued in Transaction

1,388,296

Sale of Stock, Consideration Received on Transaction

$ 9,856,000

Subsequent Event [Member] | Sale of Stock,Period Four [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Shares New Issues

27,088

Stock Issued During Period Value New Issues

$ 218,000

Sale of Stock, Price Per Share

$ 8.29

Subsequent Event [Member] | Restricted Stock Units (RSUs) [Member]

Stockholders Equity [Line Items]

Stock Issued During Period Value New Issues

$ 195,550

Stock Issued During Period, Shares, Restricted Stock Award, Gross

668,550

Stock Issued During Period, Value, Restricted Stock Award, Gross

$ 1,486,000

REVENUE (Details)

REVENUE (Details) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Product sales:
Sales Revenue, Goods, Net	$ 4,433,296	$ 2,596,133
Grant and other income:
Revenue From Grants	491,355	517,385
Total revenue	4,924,651	3,113,518
United States
Product sales:
Sales Revenue, Goods, Net	1,800	0
Grant and other income:
Revenue From Grants	491,355	517,385
Germany
Product sales:
Sales Revenue, Goods, Net	2,667,408	1,539,742
All other countries
Product sales:
Sales Revenue, Goods, Net	1,764,088	1,056,391
Direct [Member]
Product sales:
Sales Revenue, Goods, Net	3,362,612	1,872,678
Grant and other income:
Total revenue	3,362,612	1,872,678
Direct [Member] | United States
Product sales:
Sales Revenue, Goods, Net	1,800	0
Grant and other income:
Revenue From Grants	0	0
Direct [Member] | Germany
Product sales:
Sales Revenue, Goods, Net	2,667,408	1,539,742
Direct [Member] | All other countries
Product sales:
Sales Revenue, Goods, Net	693,404	332,936
Distributors and Strategic Partners [Member]
Product sales:
Sales Revenue, Goods, Net	1,070,684	723,455
Grant and other income:
Total revenue	1,070,684	723,455
Distributors and Strategic Partners [Member] | United States
Product sales:
Sales Revenue, Goods, Net	0	0
Grant and other income:
Revenue From Grants	0	0
Distributors and Strategic Partners [Member] | Germany
Product sales:
Sales Revenue, Goods, Net	0	0
Distributors and Strategic Partners [Member] | All other countries
Product sales:
Sales Revenue, Goods, Net	1,070,684	723,455
United States Government Agencies [Member]
Product sales:
Sales Revenue, Goods, Net	0	0
Grant and other income:
Total revenue	491,355	517,385
United States Government Agencies [Member] | United States
Product sales:
Sales Revenue, Goods, Net	0	0
Grant and other income:
Revenue From Grants	491,355	517,385
United States Government Agencies [Member] | Germany
Product sales:
Sales Revenue, Goods, Net	0	0
United States Government Agencies [Member] | All other countries
Product sales:
Sales Revenue, Goods, Net	$ 0	$ 0

REVENUE (Details 1)

REVENUE (Details 1) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Receivables, which are included in grants and accounts receivable	$ 1,249,731	$ 1,267,459
Contract liabilities	$ 43,589	$ 30,380

REVENUE (Details Textual)

REVENUE (Details Textual)	3 Months Ended
	Mar. 31, 2018
Maximum [Member]
Term of Customer Contracts	5 years
Minimum [Member]
Term of Customer Contracts	1 year

LONG-TERM DEBT, NET (Details)

LONG-TERM DEBT, NET (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Principal amount	$ 10,000,000
Less unamortized debt acquisition costs	(130,060)
Subtotal	9,869,940
Less Current maturities	0	$ 4,000,000
Long-term debt net of current maturities	$ 9,869,940	$ 5,992,141

LONG-TERM DEBT, NET (Details 1)

LONG-TERM DEBT, NET (Details 1)	Mar. 31, 2018USD ($)
2,019	$ 0
2,020	1,666,667
2,021	4,000,000
2,022	4,000,000
2,023	333,333
Total	$ 10,000,000

LONG-TERM DEBT, NET (Details Te

LONG-TERM DEBT, NET (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Mar. 29, 2018	Jun. 30, 2016	Mar. 11, 2014
Debt Issuance Costs, Net	$ 130,060
Share Price					$ 4.50
Term Loan Interest LIBRO Rate Adjusted Monthly	3.66%
Long-term Debt	$ 9,869,940
Term A Loan [Member]
Debt Instrument, Interest Rate, Effective Percentage			9.10%
Non-Refundable Closing Fee [Member]
Interest Expense, Debt	7,558	$ 7,428
Non-Refundable Final Fee [Member]
Interest Expense, Debt	$ 18,229	$ 7,812
Western Alliance Bank [Member]
Debt Instrument, Face Amount			$ 15,000,000	$ 10,000,000
Debt Instrument, Interest Rate, Stated Percentage	8.41%
Debt Issuance Costs, Net	$ 130,060
Percentage Of Success fee	6.37%
Share Price	$ 8
Long-term Debt	$ 85,938
Western Alliance Bank [Member] | First Anniversary [Member]
Debt Instrument, Periodic Payment	$ 333,333
Percentage Of Prepayment Interest	2.00%
Western Alliance Bank [Member] | Second Anniversary [Member]
Percentage Of Prepayment Interest	1.50%
Western Alliance Bank [Member] | Third Anniversary [Member]
Percentage Of Prepayment Interest	1.00%
Western Alliance Bank [Member] | Closing Fee [Member]
Debt Issuance Costs, Net	$ 25,000
Western Alliance Bank [Member] | Bank related Expenses [Member]
Debt Issuance Costs, Net	11,000
Western Alliance Bank [Member] | Legal Expenses [Member]
Debt Issuance Costs, Net	20,050
Western Alliance Bank [Member] | Term A Loan [Member]
Debt Instrument, Face Amount			10,000,000	$ 5,000,000
Western Alliance Bank [Member] | Term B Loan [Member]
Debt Instrument, Face Amount			$ 5,000,000
Western Alliance Bank [Member] | Term B Loan [Member] | First Anniversary [Member]
Debt Instrument, Periodic Payment	$ 625,000

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Textual) - USD ($)	Aug. 11, 2003	Mar. 31, 2018	Mar. 31, 2017
Commitments and Contingencies Disclosure [Line Items]
Term of License Agreement		18 years
Royalty Agreements
Commitments and Contingencies Disclosure [Line Items]
Future royalty payment percentage on gross revenue	3.00%
Royalty cost		$ 131,000	$ 77,000
Equity investment by an existing investor	$ 4,000,000
License Agreement
Commitments and Contingencies Disclosure [Line Items]
Royalty rate, lower limit		2.50%
Royalty rate, upper limit		5.00%
Royalty cost		$ 219,000	$ 128,000

NET LOSS PER SHARE (Details Tex

NET LOSS PER SHARE (Details Textual) - shares	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Stock Options, Warrants And Restricted Stock Awards [Member]
Earnings Per Share Basic [Line Items]
Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount	5,025,000	4,905,000

SUBSEQUENT EVENT (Details Textu

SUBSEQUENT EVENT (Details Textual) - USD ($)	Jun. 07, 2016	May 02, 2018	Apr. 23, 2018	Feb. 24, 2017	Mar. 31, 2018	Dec. 31, 2017
Subsequent Event [Line Items]
Stock Issued During Period, Value, New Issues					$ 6,046,761
Restricted Stock Units (RSUs) [Member]
Subsequent Event [Line Items]
Stock Issued During Period, Shares, Restricted Stock Award, Gross	80,000			125,000		146,200
Stock Issued During Period, Value, Restricted Stock Award, Gross	$ 375,200			$ 700,000		$ 1,148,000
Subsequent Event [Member]
Subsequent Event [Line Items]
Sale of Stock, Price Per Share		$ 7.32
Subsequent Event [Member] | Sale of Stock,Period Four [Member]
Subsequent Event [Line Items]
Stock Issued During Period, Shares, New Issues		27,088
Stock Issued During Period, Value, New Issues		$ 218,000
Sale of Stock, Price Per Share		$ 8.29
Subsequent Event [Member] | Restricted Stock Units (RSUs) [Member]
Subsequent Event [Line Items]
Stock Issued During Period, Shares, Restricted Stock Award, Gross			668,550
Stock Issued During Period, Value, Restricted Stock Award, Gross			$ 1,486,000
Stock Issued During Period, Value, New Issues			$ 195,550