Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Feb. 22, 2016 | Jun. 30, 2015 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | ATRC | ||
Entity Registrant Name | AtriCure, Inc. | ||
Entity Central Index Key | 1,323,885 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Common Stock, Shares Outstanding | 32,272,648 | ||
Entity Public Float | $ 665.2 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 23,764 | $ 28,384 |
Short-term investments | 10,814 | 31,265 |
Accounts receivable, less allowance for doubtful accounts of $136 and $68, respectively | 19,409 | 17,558 |
Inventories | 17,659 | 14,257 |
Other current assets | 3,106 | 2,044 |
Total current assets | 74,752 | 93,508 |
Property and equipment, net | 31,279 | 11,552 |
Long-term investments | 7,706 | 8,894 |
Intangible assets, net | 53,775 | 8,878 |
Goodwill | 105,257 | 35,386 |
Other noncurrent assets | 323 | 186 |
Total Assets | 273,092 | 158,404 |
Current liabilities: | ||
Accounts payable | 12,744 | 7,621 |
Accrued liabilities | 18,394 | 14,041 |
Other current liabilities and current maturities of capital leases | 450 | 3,981 |
Total current liabilities | 31,588 | 25,643 |
Capital leases | 13,710 | 74 |
Other noncurrent liabilities | 41,109 | 149 |
Total Liabilities | $ 86,407 | $ 25,866 |
Commitments and contingencies (Note 11) | ||
Stockholders' Equity: | ||
Common stock, $0.001 par value, 90,000 shares authorized and 32,274 and 27,580 issued and outstanding, respectively | $ 32 | $ 28 |
Additional paid-in capital | 352,900 | 271,282 |
Accumulated other comprehensive loss | (611) | (348) |
Accumulated deficit | (165,636) | (138,424) |
Total Stockholders' Equity | 186,685 | 132,538 |
Total Liabilities and Stockholders' Equity | $ 273,092 | $ 158,404 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Condensed Consolidated Balance Sheets (Unaudited) [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 136 | $ 68 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 90,000,000 | 90,000,000 |
Common stock, shares issued | 32,274,000 | 27,580,000 |
Common stock, shares outstanding | 32,274,000 | 27,580,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) [Abstract] | |||
Revenue | $ 129,755 | $ 107,454 | $ 81,889 |
Cost of revenue | 36,880 | 31,704 | 22,326 |
Gross profit | 92,875 | 75,750 | 59,563 |
Operating expenses: | |||
Research and development expenses | 25,742 | 18,600 | 13,440 |
Selling, general and administrative expenses | 93,853 | 73,510 | 57,014 |
Total operating expenses | 119,595 | 92,110 | 70,454 |
Loss from operations | (26,720) | (16,360) | (10,891) |
Other income (expense): | |||
Interest expense | (292) | (305) | (566) |
Interest income | 190 | 96 | 16 |
Other | (354) | 391 | (3) |
Loss before income tax expense | (27,176) | (16,178) | (11,444) |
Income tax expense | (36) | (33) | (18) |
Net loss | $ (27,212) | $ (16,211) | $ (11,462) |
Basic and diluted net loss per share | $ (0.97) | $ (0.61) | $ (0.56) |
Weighted average shares outstanding-basic and diluted | 28,058 | 26,374 | 20,431 |
Comprehensive loss: | |||
Unrealized gains (losses) on investments | $ 15 | $ (48) | $ (7) |
Foreign currency translation adjustment | (278) | (161) | (209) |
Other comprehensive loss | (263) | (209) | (216) |
Net loss | (27,212) | (16,211) | (11,462) |
Comprehensive loss | $ (27,475) | $ (16,420) | $ (11,678) |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member]Estech [Member] | Common Stock [Member]nContact Surgical [Member] | Common Stock [Member] | Additional Paid-in Capital [Member]Estech [Member] | Additional Paid-in Capital [Member]nContact Surgical [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Estech [Member] | nContact Surgical [Member] | Total |
Beginning Balance at Dec. 31, 2012 | $ 17 | $ 123,157 | $ (110,751) | $ 77 | $ 12,500 | ||||||
Beginning Balance, Shares at Dec. 31, 2012 | 16,896 | ||||||||||
Issuance of common stock through public offering | $ 4 | 26,868 | 26,872 | ||||||||
Issuance of common stock through public offering, Shares | 3,996 | ||||||||||
Issuance of common stock for acquisition | $ 2 | $ 39,718 | $ 39,720 | ||||||||
Issuance of common stock for acquisition, Shares | 2,126 | ||||||||||
Issuance of common stock under equity incentive plans | 1,320 | 1,320 | |||||||||
Issuance of common stock under equity incentive plans, Shares | 119 | ||||||||||
Issuance of common stock under employee stock purchase plan | 790 | 790 | |||||||||
Issuance of common stock under employee stock purchase plan, Shares | 111 | ||||||||||
Share-based employee compensation expense | 3,080 | 3,080 | |||||||||
Other comprehensive loss | (216) | (216) | |||||||||
Net loss | (11,462) | (11,462) | |||||||||
Ending Balance at Dec. 31, 2013 | $ 23 | 194,933 | (122,213) | (139) | 72,604 | ||||||
Ending Balance, Shares at Dec. 31, 2013 | 23,248 | ||||||||||
Issuance of common stock through public offering | $ 4 | 65,826 | 65,830 | ||||||||
Issuance of common stock through public offering, Shares | 3,661 | ||||||||||
Issuance of common stock under equity incentive plans | $ 1 | 1,585 | 1,586 | ||||||||
Issuance of common stock under equity incentive plans, Shares | 586 | ||||||||||
Issuance of common stock under employee stock purchase plan | 1,320 | 1,320 | |||||||||
Issuance of common stock under employee stock purchase plan, Shares | 85 | ||||||||||
Reclassification of non-employee option liability | 47 | 47 | |||||||||
Share-based employee compensation expense | 7,571 | 7,571 | |||||||||
Other comprehensive loss | (209) | (209) | |||||||||
Net loss | (16,211) | (16,211) | |||||||||
Ending Balance at Dec. 31, 2014 | $ 28 | 271,282 | (138,424) | (348) | 132,538 | ||||||
Ending Balance, Shares at Dec. 31, 2014 | 27,580 | ||||||||||
Issuance of common stock for acquisition | $ 3 | $ 68,985 | $ 68,988 | ||||||||
Issuance of common stock for acquisition, Shares | 3,757 | ||||||||||
Issuance of common stock under equity incentive plans | $ 1 | 1,920 | 1,921 | ||||||||
Issuance of common stock under equity incentive plans, Shares | 850 | ||||||||||
Issuance of common stock under employee stock purchase plan | 1,539 | 1,539 | |||||||||
Issuance of common stock under employee stock purchase plan, Shares | 87 | ||||||||||
Reclassification of non-employee option liability | 177 | 177 | |||||||||
Share-based employee compensation expense | 8,997 | 8,997 | |||||||||
Other comprehensive loss | (263) | (263) | |||||||||
Net loss | (27,212) | (27,212) | |||||||||
Ending Balance at Dec. 31, 2015 | $ 32 | $ 352,900 | $ (165,636) | $ (611) | $ 186,685 | ||||||
Ending Balance, Shares at Dec. 31, 2015 | 32,274 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities: | |||
Net loss | $ (27,212) | $ (16,211) | $ (11,462) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Share-based compensation expense | 8,997 | 7,571 | 3,080 |
Depreciation | 4,975 | 3,353 | 2,008 |
Amortization of intangible assets | 1,303 | 1,421 | 12 |
Amortization of deferred financing costs | 61 | 113 | 115 |
Loss (gain) on disposal of property and equipment | 276 | 118 | (6) |
Realized loss from foreign exchange on intercompany transactions | 434 | 544 | |
Amortization/accretion on investments | 577 | 500 | 49 |
Change in allowance for doubtful accounts | 144 | (34) | (14) |
Change in fair value of contingent consideration | (8,032) | ||
Other | 95 | ||
Changes in operating assets and liabilities, net of amounts acquired: | |||
Accounts receivable | (900) | (4,168) | (1,248) |
Inventories | (2,950) | (4,343) | (2,288) |
Other current assets | (928) | 307 | (1,257) |
Accounts payable | 4,013 | (944) | 1,445 |
Accrued liabilities | 3,070 | (1,847) | 4,114 |
Other noncurrent assets and liabilities | 298 | (43) | 230 |
Net cash used in operating activities | (7,842) | (21,600) | (5,222) |
Cash flows from investing activities: | |||
Purchases of available-for-sale securities | (19,525) | (41,107) | (21,243) |
Sales and maturities of available-for-sale securities | 40,602 | 19,614 | 6,200 |
Purchases of property and equipment | (13,445) | (5,508) | (2,864) |
Increases in property under build-to-suit obligation | (10,552) | (3,699) | |
Proceeds from sale of property and equipment | 77 | 48 | |
Cash acquired through Estech business combination | 3,708 | ||
Cash paid for nContact business combination | (7,581) | ||
Net cash used in investing activities | (10,501) | (30,623) | (14,151) |
Cash flows from financing activities: | |||
Proceeds from sale of stock, net of offering costs of $0, $257 and $212 respectively | 65,830 | 26,872 | |
Payments on debt and capital leases | (263) | (6,382) | (2,055) |
Proceeds from build-to-suit obligation | 10,552 | 3,699 | |
Proceeds from economic incentive loan | 340 | ||
Payment of debt fees and premium on retirement of debt | (62) | (181) | (99) |
Proceeds from stock option exercises | 2,703 | 1,916 | 1,718 |
Shares repurchased for payment of taxes on stock awards | (782) | (331) | (398) |
Proceeds from issuance of common stock under employee stock purchase plan | 1,539 | 1,320 | 790 |
Payment of stock issuance fees | (66) | ||
Net cash provided by financing activities | 13,961 | 65,871 | 26,828 |
Effect of exchange rate changes on cash and cash equivalents | (238) | (156) | (316) |
Net (decrease) increase in cash and cash equivalents | (4,620) | 13,492 | 7,139 |
Cash and cash equivalents-beginning of period | 28,384 | 14,892 | 7,753 |
Cash and cash equivalents-end of period | 23,764 | 28,384 | 14,892 |
Supplemental cash flow information: | |||
Cash paid for interest | 232 | 115 | 473 |
Cash paid for taxes | 20 | 146 | 30 |
Non-cash investing and financing activities: | |||
Accrued purchases of property and equipment | 1,277 | 547 | 282 |
Assets acquired through capital lease | 50 | 47 | 68 |
Capital lease asset early termination | $ 38 | 24 | |
Stock issuance in business combinations | 69,054 | 39,720 | |
Contingent consideration in business combinations | $ 40,207 | $ 8,032 |
Consolidated Statements of Cas7
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Consolidated Statements of Cash Flows (Unaudited) [Abstract] | |||
Offering cost for sale of stock | $ 0 | $ 257 | $ 212 |
Description of Business and Sum
Description of Business and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Description of Business and Summary of Significant Accounting Policies [Abstract] | |
Description of Business and Summary of Significant Accounting Policies | 1. DE SCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of the Business — AtriCure, Inc. was incorporated in the State of Delaware on October 31, 2000. The “Company” or “AtriCure” consists of AtriCure, Inc. and its wholly owned subsidiaries. The Company is an innovator in surgical treatments for atrial fibrillation (Afib) and left atrial appendage management (LAAM). The Company sells its products to medical centers globally through a direct sales force and distributors. Principles of Consolidation— The Consolidated Financial Statements include the accounts of the Company, AtriCure, LLC, the Company’s wholly-owned subsidiary organized in the State of Delaware, Endoscopic Technologies, LLC, the Company’s wholly-owned subsidiary organized in the State of Delaware, nContact Surgical, LLC, the Company’s wholly-owned subsidiary organized in the State of Delaware and AtriCure Europe, B.V. (AtriCure Europe), the Company’s wholly-owned subsidiary incorporated in the Netherlands. All intercompany accounts and transactions have been eliminated in consolidation. Cash and Cash Equivalents— The Company considers highly liquid investments with maturities of three months or less at the date of acquisition as cash equivalents in the accompanying Consolidated Financial Statements . Investments— The Company places its investments primarily in U.S. Government agencies and securities, corporate bonds and commercial paper. The Company classifies all investments as available-for-sale. Investments with maturities of less than one year are classified as short-term investments. Investments are recorded at fair value, with unrealized gains and losses recorded as accumulated other comprehensive income (loss). The Company recognizes gains and losses when these securities are sold using the specific identification method and includes them in interest income or expense in the Consolidated Statements of Operations and Comprehensive Loss. Revenue Recognition— The Company accounts for revenue in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 605, “Revenue Recognition” (ASC 605). The Company recognizes revenue when all of the following criteria are met: (i) there is persuasive evidence that an arrangement exists; (ii) delivery of the products and/or services has occurred; (iii) the selling price is fixed or determinable; and (iv) collectability is reasonably assured. Pursuant to the Company’s standard terms of sale, revenue is recognized when title to the goods and risk of loss transfers to customers and there are no remaining obligations that will affect the customers’ final acceptance of the sale. Generally, the Company’s standard terms of sale define the transfer of title and risk of loss to occur upon shipment to the respective customer. The Company generally does not maintain any post-shipping obligations to the recipients of the products. No installation, calibration or testing of products is performed by the Company subsequent to shipment to the customer in order to render it operational. Revenue includes shipping and handling revenue of $1,056 , $952 and $786 in 2015, 2014 and 2013, respectively. Cost of freight for shipments made to customers is included in cost of revenue. Sales and other value-added taxes collected from customers and remitted to governmental authorities are excluded from revenue. The Company sells its products primarily through a direct sales force, with certain international markets sold through distributors. Terms of sale are generally consistent for both end-users and distributors except that payment terms are generally net 30 days for end-users and net 60 days for distributors with limited exceptions. Sales Returns and Allowances — T he Company maintains a provision for sales returns and allowances to account for potential returns of defective or damaged products, products shipped in error and invoice adjustments. The Company estimates such provision on a quarterly basis based primarily on a specific identification basis, in addition to estimating a general reserve based on historical experience. Increases to the provision result in a reduction of revenue. The provision is included in accrued liabilities in the Consolidated Balance Sheets. Allowance for Doubtful Accounts Receivable— The Company evaluates the collectability of accounts receivable to determine the appropriate reserve for doubtful accounts. In determining the amount of the reserve, the Company considers aging of account balances, historical credit losses, customer-specific information and other relevant factors. An increase to the allowance for doubtful accounts results in a corresponding increase in selling, general and administrative expense. The Company reviews accounts receivable and adjusts the allowance based on current circumstances and charges off uncollectible receivables against the allowance when all attempts to collect the receivable have failed. The Company’s history of write-offs against the allowance has not been significant. Inventories— Inventories are stated at the lower of cost or market using approximate costs based on the first-in, first-out cost method (FIFO) and consist of raw materials, work in process and finished goods. The Company’s industry is characterized by rapid product development and frequent new product introductions. Uncertain timing of product approvals, variability in product launch strategies and variation in product utilization all impact excess and obsolete inventory. An inventory allowance based on product usage is estimated and recorded quarterly for excess, slow moving and obsolete inventory, as well as for inventory with a carrying value in excess of its net realizable value. An increase to the inventory reserve allowance results in a corresponding increase in cost of revenue. Write-offs are recorded when a product is destroyed. The Company’s history of write-offs against the reserve has not been significant. Property and Equipment— Property and equipment is stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method of depreciation for financial reporting purposes and applied over the estimated useful lives of the assets. The estimated useful life by major asset category is the following: generators and other capital equipment, machinery, equipment and vehicles is three to seven years, computer and other office equipment is three years, furniture and fixtures is three to seven years and leasehold improvements and equipment under capital leases are the shorter of their useful life or remaining lease term. The Company reassesses the useful lives of property and equipment annually, and assets are retired if they are no longer in service. Maintenance and repair costs are expensed as incurred. Generators and other capital equipment (such as the Company’s switchbox units and cryosurgical consoles) are placed with direct customers that use the Company’s disposable products. Depreciation of such assets is included in cost of revenue. The estimated useful lives of this equipment are based on anticipated usage by customers and the timing and impact of expected new technology rollouts by the Company. To the extent the Company experiences changes in the usage of this equipment or introduces new technologies, the estimated useful lives of this equipment may change in a future period. The Company reviews property and equipment for impairment using its best estimates based on reasonable and supportable assumptions and projections. Intangible Assets— Intangible assets with determinable useful lives are amortized on a straight-line basis over the estimated periods benefited. Included in intangible assets is In Process Research and Development (IPR&D). The Company defines IPR&D as the value of acquired technology which has not yet reached technological feasibility. The primary basis for determining the technological feasibility is obtaining specific regulatory approvals. The estimated fair value of IPR&D acquired in a business combination is capitalized as an indefinite-lived intangible asset until completion or abandonment of the IPR&D project. Upon completion of the development project, the IPR&D is amortized over its estimated useful life. If the IPR&D project is abandoned, the related IPR&D asset would be written off. The estimated fair value of IPR&D was determined using an income approach model. At December 31, 2015, IPR&D represented an estimate of the fair value of the PMA approval that could result from the CONVERGE IDE clinical trial (see Note 5 – Business Combinations). The Company reviews intangible assets for impairment using its best estimates based on reasonable and supportable assumptions and projections. Goodwill— Goodwill represents the excess of purchase price over the fair value of the net assets acquired in business combinations. The Company tests goodwill for impairment annually on November 30, or more often if impairment indicators are present. The Company’s goodwill is accounted for in a single reporting unit representing the Company as a whole. Other Current Liabilities and Current Maturities of Capital Leases— As of December 31, 2014, o ther current liabilities consisted of a financing obligation related to the construction of the Company’s new headquarters. Current maturities of capital leases consist of capital lease obligations with maturities of less than one year (see Note 10 – Indebtedness). Other Noncurrent Liabilities— Other noncurrent liabilities include contingent consideration recorded in business combinations (see Note 5 – Business Combinations), as well as long-term deferred revenues and other contractual obligations. Other Income (Loss)— Other income (loss) consists primarily of foreign currency transaction gains and losses, grant income and non- employee option gains and losses related to the fair market value change for fully vested options outstanding for consultants which are accounted for as free-standing derivatives. The Company recorded foreign currency transaction (losses) gains of ( $339 ), ( $523 ) and $269 for the years ended December 31, 2015, 2014 and 2013, respectively, primarily in connection with settlements of its intercompany balances with AtriCure Europe and invoices transacted in British Pounds. The Company periodically is awarded grants to support research and development activities or education activities. The Company recognizes grant income when the funds are earned. The Company recorded grant income of $35 , $731 and $0 during 2015, 2014 and 2013, respectively. The Company historically issued stock options to non-employee consultants as a form of compensation for services provided to the Company. Because the non-employee options require settlement by the Company’s delivery of registered shares and because the tax withholding provisions in the awards allow the options to be partially net-cash settled, these options, when vested, are no longer eligible for equity classification and are, thus, subsequently accounted for as derivative liabilities under FASB ASC 815, “Derivatives and Hedging” (ASC 815) until the awards are ultimately either exercised or forfeited. Accordingly, the vested non-employee options are classified as liabilities and remeasured at fair value through earnings at each reporting period. All vested non-employee options have been exercised as of December 31, 2015. During the years ended December 31, 2015, 2014 and 2013, $57 , $183 and ($272) , respectively, of (expense) income was recorded as a result of the remeasurement of the fair value of these fully vested stock options. Taxes — Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in the period that includes the enactment date. The Company’s estimate of the valuation allowance for deferred tax assets requires it to make significant estimates and judgments about its future operating results. Deferred tax assets are reduced by valuation allowances if, based on the consideration of all available evidence, it is more-likely-than-not that some portion of the deferred tax asset will not be realized. Significant weight is given to evidence that can be objectively verified. The Company evaluates deferred tax assets on a quarterly basis to determine if valuation allowances are required by considering all available evidence. Deferred tax assets are realized by having sufficient future taxable income to allow the related tax benefits to reduce taxes otherwise payable. The sources of taxable income that may be available to realize the benefit of deferred tax assets are future reversals of existing taxable temporary differences, future taxable income, exclusive of reversing temporary differences and carryforwards, taxable income in carry-back years and tax planning strategies that are both prudent and feasible. In evaluating whether to record a valuation allowance, the applicable accounting standards deem that the existence of cumulative losses in recent years is a significant piece of objectively verifiable negative evidence that must be overcome by objectively verifiable positive evidence to avoid the need to record a valuation allowance. The Company has recorded a full valuation allowance against its net deferred tax assets as it is more likely than not that the benefit of the deferred tax assets will not be recognized in future periods. A provision of The Patient Protection and Affordable Care Act enacted in 2010, as amended (Patient Act), requires manufacturers of medical devices to pay an excise tax on all U.S. medical device sales. The Company’s expense related to the medical device excise tax, which was recorded in cost of revenue, was $667 , $592 and $417 for the years ended December 31, 2015, 2014 and 2013, respectively. In December 2015, the U.S. government approved the suspension of the excise tax on medical device sales beginning January 1, 2016 through December 31, 2017. Net Loss Per Share— Basic and diluted net loss per share is computed in accordance with FASB ASC 260 “Earnings Per Share” (ASC 260) by dividing the net loss by the weighted average number of common shares outstanding during the period. Since the Company has experienced net losses for all periods presented, net loss per share excludes the effect of 4,255 , 3,772 and 2,721 stock options and restricted stock shares as of December 31, 2015, 2014, and 2013, respectively, because they are anti-dilutive. Therefore, the number of shares calculated for basic net loss per share is also used for the diluted net loss per share calculation. Comprehensive Loss and Accumulated Other Comprehensive Loss— In addition to net losses, the comprehensive loss includes foreign currency translation adjustments and unrealized gains and losses on investments. Accumulated o ther comprehensive loss consisted of the following: 2015 2014 2013 Total accumulated other comprehensive (loss) income at beginning of period $ (348) $ (139) $ 77 Unrealized (losses) gains on investments Balance at beginning of period $ (54) $ (6) $ 1 Other comprehensive income (loss) before reclassifications 15 (48) (7) Amounts reclassified from accumulated other comprehensive income (loss) to other income — — — Balance at end of period $ (39) $ (54) $ (6) Foreign currency translation adjustment Balance at beginning of period $ (294) $ (133) $ 76 Other comprehensive income (loss) before reclassifications 156 362 (478) Amounts reclassified from accumulated other comprehensive income (loss) to other income (434) (523) 269 Balance at end of period $ (572) $ (294) $ (133) Total accumulated other comprehensive loss at end of period $ (611) $ (348) $ (139) Research and Development Costs — Research and development costs are expensed as incurred. These costs include compensation and other internal and external costs associated with the development and research related to new and existing products or concepts, preclinical studies, clinical trials, healthcare compliance and regulatory affairs. Advertising Costs — The Company expenses advertising costs as incurred. Advertising costs were not significant during the years ended December 31, 2015, 2014 and 2013, respectively. Share-Based Compensation— The Company follows FASB ASC 718 “Compensation-Stock Compensation” (ASC 718) to record share-based compensation for all employee share-based payment awards, including stock options, restricted stock and stock purchases related to an employee stock purchase plan, based on estimated fair values. The Company’s share-based compensation expense recognized under ASC 718 for the years ended December 31, 2015, 2014 and 2013 was $8,997 , $7,571 and $3,080 , respectively, on a before and after tax basis. FASB ASC 718 requires companies to estimate the fair value of share-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods in the Company’s Consolidated Statement of Operations and Comprehensive Loss. The expense has been reduced for estimated forfeitures. FASB ASC 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company estimates the fair value of time-based options on the date of grant using the Black-Scholes option-pricing model (Black-Scholes model). The Company’s determination of fair value of share-based payment awards on the date of grant using an option-pricing model is affected by the Company’s stock price, as well as assumptions regarding a number of subjective variables. These variables include but are not limited to the Company’s expected stock price volatility over the term of the awards and actual and projected employee stock option exercise behaviors. The fair value of market-based performance option grants is estimated at the date of grant using a Monte-Carlo simulation. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods in the Consolidated Statement of Operations and Comprehensive Loss. The Company estimates the fair value of restricted stock based upon the grant date closing market price of the Company’s common stock. The Company’s determination of fair value is affected by the Company’s stock price as well as assumptions regarding the number of shares expected to be granted. The Company also has an employee stock purchase plan (ESPP) which is available to all eligible employees as defined by the plan document. Under the ESPP, shares of the Company’s common stock may be purchased at a discount. The Company estimates the number of shares to be purchased under the ESPP and records compensation expense based upon the fair value of the stock at the beginning of the purchase period using the Black-Scholes model. Use of Estimates— The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. Fair Value Disclosures — The Company classifies and records cash and investments in U.S. government agencies and securities as Level 1 within the fair value hierarchy. Accounts receivable, short-term other assets, accounts payable and accrued liabilities are also classified as Level 1. The carrying amounts of these assets and liabilities approximate their fair value due to their relatively short-term nature. Cash equivalents and investments in commercial paper are classified as Level 2 within the fair value hierarchy (see Note 3 – Fair Value for further information). Significant unobservable inputs with respect to the fair value measurement of the Level 3 non-employee stock options and contingent consideration liabilities are developed using Company data. When an input is changed, the corresponding valuation models are updated and the results are analyzed for reasonableness. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2015 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | 2. RECENT ACCOUNTING PRONOUNCEMENTS In May 2014 the FASB issued a final standard on revenue from contracts with customers. The standard, issued as FASB ASU 2014-09, “ Revenue from Contracts with Customers” (ASU 2014-09), outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance. In July 2015 the FASB decided to defer the effective date of ASU 2014-09 for entities reporting under U.S. GAAP from interim and annual reporting periods beginning after December 15, 2016 to interim and annual reporting periods beginning after December 15, 2017 and allow early adoption as of the original effective date. A full retrospective or modified retrospective approach may be taken to adopt the guidance in the ASU. The Company is evaluating the impact of the provisions of ASU 2014-09 on its consolidated financial position, results of operations and related disclosures. In 2015 the FASB issued ASU 2015-10, “Technical Corrections and Improvements” (ASU 2015-10), which amends a wide range of topics in the FASB Accounting Standards Codification. The amendments make minor corrections or minor improvements to the Codification. The amendments in ASU 2015-10 that require transition guidance are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. Early adoption is permitted, including adoption in an interim period. All other amendments are effective upon the issuance of ASU 2015-10. The Company has reviewed the amendments in ASU 2015-10 and has determined that the new guidance does not have a material impact on the Company’s financial reporting. In July 2015 the FASB issued ASU 2015-11, “Simplifying the Measurement of Inventory” (ASU 2015-11), which requires entities to measure most inventory at the lower of cost and net realizable value, thereby simplifying the current guidance under which an entity must measure inventory at the lower of cost or market. ASU 2015-11 is effective prospectively for annual periods beginning after December 15, 2016 and interim periods therein. Early application is permitted. The Company is reviewing the provisions of ASU 2015-11 and expects that the new guidance will not have a material impact on the Company’s financial reporting. In August 2015 the FASB issued ASU 2015-15, “Interest – Imputation of Interest” (ASU 2015-15), which clarifies the Security and Exchange Commission staff’s position on presenting and measuring debt issuance costs incurred in connection with line-of-credit arrangements given the lack of guidance on this topic in ASU 2015-03. ASU 2015-15 was effective upon issuance. The Company has determined that the new guidance does not have a material impact on its financial reporting. In September 2015 the FASB issued ASU 2015-16, “Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments” (ASU 2015-16), which simplifies the accounting for measurement-period adjustments. Under ASU 2015-16, an acquirer must recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. ASU 2015-16 also requires acquirers to present separately on the face of the income statement, or disclose in the notes, the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. ASU 2015-16 is effective for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years, and must be applied prospectively to adjustments to provisional amounts that occur after the effective date. Early adoption is permitted for financial statements that have not been issued. The Company will consider the new guidance in its accounting and financial reporting for acquisitions. In November 2015 the FASB issued ASU 2015-17, “Income Taxes (Topic 740), Balance Sheet Classification of Deferred Taxes” (ASU 2015-17), which requires companies to classify all deferred tax assets and liabilities as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. Also, companies will no longer allocate valuation allowances between current and noncurrent deferred tax assets because those allowances also will be classified as noncurrent. ASU 2015-17 is effective for financial statements issued for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early adoption is permitted for financial statements that have not been issued. The Company is evaluating the impact of the provisions of ASU 2015-17 on its consolidated financial position and related disclosures. In January 2016 the FASB issued ASU 2016-01, “Financial Instruments — Overall — Recognition and Measurement of Financial Assets and Financial Liabilities” (ASU 2016-01), which amends the guidance in U.S. GAAP on the classification and measurement of financial instruments. Although the ASU retains many current requirements, it significantly revises an entity’s accounting related to (1) the classification and measurement of investments in equity securities and (2) the presentation of certain fair value changes for financial liabilities measured at fair value. The ASU also amends certain disclosure requirements associated with the fair value of financial instruments. The Company is evaluating the impact of ASU 2016-01 on its consolidated financial position and related disclosures. In February 2016 the FASB issued ASU 2016-02, “ Leases ” (ASU 2016-02) which requires lessees to put most leases on their balance sheets but recognize expenses on their income statements in a manner similar to today’s accounting. The guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Entities are required to use a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the fi nancial statements. Full retrospective application is prohibited. The Company will review the provisions of ASU 2016-02 to determine the impact on its consolidated financial position and related disclosures. |
Fair Value
Fair Value | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value [Abstract] | |
Fair Value | 3. FAIR VALUE FASB ASC 820, “Fair Value Measurements and Disclosures” (ASC 820), defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value which are the following: · Level 1—Quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. An active market for the asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. The valuation under this approach does not entail a significant degree of judgment. · Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. The valuation technique for the Company’s Level 2 assets is based on quoted market prices for similar assets from observable pricing sources at the reporting date. · Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Unobservable inputs shall be used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. The fair value of the Company’s Level 3 derivative instruments (non-employee stock options) are estimated on the grant date using the Black-Scholes model, and they are revalued at the end of each reporting period using the Black-Scholes model. The fair value of the Company’s Level 3 contingent consideration liabilities was estimated on the respective acquisition dates of Endoscopic Technologies, Inc. (Estech) and nContact Surgical, Inc. (nContact), and is revalued at the end of each subsequent reporting period (see Note 5 – Business Combinations for further information). In accordance with ASC 820, the following table represents the Company’s fair value hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2015: Quoted Prices in Active Significant Significant Markets for Other Other Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Assets: Money market funds $ — $ 18,572 $ — $ 18,572 U.S. government agencies and securities 1,590 — — 1,590 Corporate bonds — 16,930 — 16,930 Total assets $ 1,590 $ 35,502 $ — $ 37,092 Liabilities: Acquisition-related contingent consideration $ — $ — $ 40,207 $ 40,207 Total liabilities $ — $ — $ 40,207 $ 40,207 In accordance with ASC 820, the following table represents the Company’s fair value hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2014: Quoted Prices in Active Significant Significant Markets for Other Other Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Assets: Money market funds $ — $ 23,692 $ — $ 23,692 Commercial paper — 1,800 — 1,800 U.S. government agencies and securities 3,022 — — 3,022 Corporate bonds — 35,337 — 35,337 Total assets $ 3,022 $ 60,829 $ — $ 63,851 Liabilities: Derivative instruments $ — $ — $ 120 $ 120 Total liabilities $ — $ — $ 120 $ 120 There were no changes in the levels or methodology of measurement of financial assets and liabilities during the twelve months ended December 31, 2015 and 2014. Derivative Instruments. Vested non-employee options historically issued by the Company are accounted for as derivative liabilities and remeasured at fair value through earnings at each reporting period until exercised or forfeited. All vested non-employee options have been exercised as of December 31, 2015. In accordance with ASC 820, the following table represents the Company’s Level 3 fair value measurements using significant other unobservable inputs for derivative instruments as of December 31: 2015 2014 2013 Beginning Balance – January 1 $ 120 $ 350 $ 78 Total (gains) losses included in earnings 57 (183) 272 Exercises (177) (47) — Reclassification from equity to liability when fully vested — — — Ending Balance – December 31 $ — $ 120 $ 350 Acquisition-Related Contingent Consideration. Contingent consideration arrangements obligate the Company to pay former shareholders of an acquired entity if specified future events occur or conditions are met, such as the achievement of certain technological milestones or the achievement of targeted revenue milestones. The Company measures such liabilities using unobservable inputs, applying the income approach, such as the discounted cash flow technique or the probability-weighted scenario method. Various key assumptions, such as the probability of achievement of the agreed milestones, projected revenues from acquisitions and the discount rate, are used in the determination of fair value of contingent consideration arrangements and are not observable in the market, thus representing a Level 3 measurement within the fair value hierarchy. Subsequent revisions to key assumptions, which impact the estimated fair value of contingent consideration liabilities, are reflected in the Consolidated Statements of Operations and Comprehensive Loss. The Company acquired Estech on December 31, 2013. The aggregate consideration paid to Estech shareholders included up to $26,000 of contingent consideration to be paid based on the achievement of certain performance-based milestones in 2014 and 2015. The fair value of the Estech contingent consideration was determined to be $0 , $0 and $8,032 as of December 31, 2015, 2014 and 2013, respectively. The Company acquired nContact on October 13, 2015. The aggregate consideration paid to nContact shareholders includes up to $50,000 in contingent consideration based on completion of enrollment of the CONVERGE IDE trial and corresponding PMA approval by December 31, 2020. nContact shareholders are entitled to additional sales-based contingent consideration on revenue in excess of an annual growth rate of more than 25% through 2019. The total fair value of the nContact contingent consideration was determined to be $40,207 as of both the acquisition date and December 31, 2015. The following table represents the company’s Level 3 fair value measurements using significant other unobservable inputs for acquisition-related contingent consideration as of December 31: 2015 2014 2013 Beginning Balance – January 1 $ — $ 8,032 $ — Amounts acquired 40,207 — 8,032 Transfers in (out) of Level 3 — — — Changes in fair value included in earnings — (8,032) — Ending Balance – December 31 $ 40,207 $ — $ 8,032 |
Investments
Investments | 12 Months Ended |
Dec. 31, 2015 | |
Investments [Abstract] | |
Investments | 4. INVESTMENTS Investments as of December 31, 2015 consisted of the following: Unrealized Gains Cost Basis (Losses) Fair Value Corporate bonds $ 16,963 $ (33) $ 16,930 U.S. government agencies and securities 1,596 (6) 1,590 Total $ 18,559 $ (39) $ 18,520 Investments as of December 31, 2014 consisted of the following: Unrealized Gains Cost Basis (Losses) Fair Value Corporate bonds $ 35,389 $ (52) $ 35,337 U.S. government agencies and securities 3,024 (2) 3,022 Commercial paper 1,800 — 1,800 Total $ 40,213 $ (54) $ 40,159 The Company has not experienced any significant realized gains or losses on its investments in the periods presented in the Consolidated Statements of Operations and Comprehensive Loss. Long term investments held by the Company have maturities between one and two years at both December 31, 2015 and 2014. |
Business Combination
Business Combination | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Business Combination | 5. BUSINESS COMBINATIONS nContact Surgical, Inc. (nContact). On October 13, 2015 the Company completed its acquisition of nContact, pursuant to a merger agreement (Agreement) under which the Company acquired 100% of the outstanding equity interests of nContact. Incorporated in 2004 and based in Morrisville, North Carolina, nContact developed and marketed a portfolio of innovative devices that provide for less invasive ablation options for the treatment of cardiac arrhythmias. The company’s technology is used in the Convergent procedure, a multi-disciplinary therapy in which a closed-chest surgical epicardial ablation is performed, and then complemented by an endocardial catheter ablation performed by an electrophysiologist. The CONVERGE IDE clinical trial is currently being conducted and is the first head-to-head study to evaluate the Convergent procedure versus catheter ablation in patients with persistent Afib. AtriCure’s management believes the acquisition of nContact will expand and strengthen the Company’s presence in the Afib market, reinforce the Company’s commitment to clinical science, and provide improved market access and additional collaboration opportunities with cardiac surgeons and electrophysiologists. The combination of the two companies expands AtriCure’s addressable market with the addition of proven technology that treats an under-served population of patients, complements the Company’s current product portfolio and minimally invasive (MIS) intellectual property portfolio, accelerates and sustains the Company’s revenue growth rate, and drives continued margin expansion and worldwide operating leverage opportunities. The total consideration paid to nContact’s former shareholders at acquisition date was 3,757 shares of AtriCure common stock, valued at $69,054 at the closing of the transaction, and $7,581 in cash. Although the cash paid at acquisition was subject to adjustment for net working capital balances outside of a specified range, no such adjustment was made as a result of the final net working capital delivered. In addition, the Agreement provides for the Company to pay contingent consideration, as follows: · Trial Enrollment Milestone— $7,500 upon completion of patient enrollment of the CONVEGE IDE clinical trial. Such payment is due on or before 30 days following enrollment of the final patient. · Regulatory Milestone— up to $42,500 upon the completion of the CONVERGE IDE clinical trial and receiving approval of a premarket approval ( PMA) by the FDA for the EPi-Sense-AF Guided Coagulation System and/or any other nContact product with an indication for symptomatic persistent Afib or a similar or related indication. The full contingent consideration amount of $42,500 is only earned if such regulatory approvals are received on or before January 1, 2020 . The potential contingent consideration is reduced by 8.33% (or one-twelfth) each month following January 2020 , and is reduced to zero if the regulatory milestone is achieved after December 31, 2020 . Any payment of the regulatory contingent consideration is due on or before 30 days following the receipt of the related PMA approval. · Commercial Milestone— for the calendar years 2016 through 2019, nContact revenues in excess of specified target revenue amounts, which approximate 25% annual revenue growth, will result in contingent consideration equal to 1.5 times the revenues in excess of target. Payments of contingent consideration under the annual commercial milestones are due within 65 days of each calendar year end. Subject to the terms and conditions of the Agreement, all contingent consideration can be paid in cash and AtriCure common stock. The Agreement limits the total number of shares of AtriCure common stock issued in connection with the acquisition to 5,660 . The Company accounted for the acquisition in accordance with FASB ASC 805, “Accounting for Business Combinations”. The assets acquired, liabilities assumed and the estimated future contingent consideration obligation were recorded at their respective fair values as of the date of acquisition. The process for estimating fair values of identifiable intangible assets and certain tangible assets and assumed liabilities requires the use of judgment in determining the appropriate assumptions and estimates. The judgments used to determine the estimated fair value assigned to each class of assets acquired and liabilities assumed, as well as asset lives, can materially impact the Company’s results of operations. The components of the aggregate purchase price for the nContact acquisition were as follows: Fair value of AtriCure common stock issued at closing $ 69,054 Cash 7,581 Fair value of contingent consideration liabilities 40,207 Total purchase price $ 116,842 The fair value of contingent consideration liabilities was determined by applying an income valuation approach, including the discounted cash flow technique probability-weighted scenario method. Key assumptions in the valuation of contingent consideration liabilities are based on management’s judgment and estimates, and include the probability of achievement of each of the milestones, projected revenues from the acquisition, and the discount rates, which ranged from 3% to 14% , reflecting the inherent risks of achieving the respective milestones. These assumptions are not observable in the market, thus represent a Level 3 measurement within the fair value hierarchy. As of December 31, 2015, the purchase price allocation has not yet been finalized as the Company evaluates certain tax attributes of nContact. The following table summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed on the acquisition date: October 13, 2015 Accounts receivable $ 1,450 Inventories 682 Other current assets 166 Property and equipment 311 Intangible assets 46,200 Other assets 7 Total identifiable assets $ 48,816 Accounts payable $ 256 Accrued liabilities 1,589 Total liabilities assumed $ 1,845 Net identifiable assets acquired $ 46,971 Goodwill 69,871 Total consideration $ 116,842 The above estimated fair values of assets acquired and liabilities assumed are based on the information that was available as of the acquisition date. Deferred tax assets and liabilities were also recognized at acquisition date for the future tax consequences attributable to differences between the above financial statement carrying amounts of existing assets and liabilities and their respective tax bases and acquired operating loss and tax credit carryforwards of nContact. At acquisition, nContact had approximately $59,000 of net operating loss carryforwards, which begin to expire in 2025 and are subject to certain limitations under Internal Revenue Code Section 382. The Company recorded a full valuation allowance against the net deferred tax assets at acquisition. The valuation of the intangible assets acquired and related amortization periods are as follows: Amortization Term Valuation (in years) SUBTLE access technology $ 2,179 5 IPR&D 44,021 Total $ 46,200 The fair value of the SUBTLE access technology and IPR&D both were estimated using an income approach. Under this method, an intangible asset’s fair value is equal to the present value of the incremental after-tax cash flows (excess earnings) attributable solely to the intangible asset over its remaining useful life. The Company believes that the level and timing of cash flows related to each asset appropriately reflects market participant assumptions, and such cash flows were discounted at rates considered appropriate given the inherent risks associated with each type of intangible asset. The SUBTLE access technology asset is amortized on a straight-line basis over its estimated useful life. The IPR&D asset, which is accounted for as an indefinite-lived intangible asset until completion or abandonment of the project, represents an estimate of the fair value of the PMA approval from the in-process CONVERGE IDE clinical trial. Upon completion of this development project, the IPR&D is amortized over its estimated useful life. If the IPR&D project is abandoned, the related IPR&D asset would be written off. The Company recorded the excess of the aggregate purchase price over the estimated fair values of the identifiable net assets acquired as goodwill. Goodwill is primarily attributable to the benefits the Company expects to realize by enhancing its product offering and addressable markets, thereby contributing to an expanded revenue base and improved margins. None of the goodwill recorded in the acquisition is deductible for income tax purposes. As discussed in Note 1, the Company accounts for goodwill in a single reporting unit representing the Company as a whole. The operating results of nContact, including $2,192 of revenue, are included in the Consolidated Statements of Operations and Comprehensive Loss beginning October 14, 2015. The Consolidated Balance Sheet as of December 31, 2015 reflects the acquisition of nContact. The Company recognized approximately $2,489 of acquisition-related costs that were expensed during 2015. The costs consisted of $1,767 for investment bank fees and expenses and $722 for legal, audit, tax and other costs. These costs are included in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations and Comprehensive Loss. The following supplemental pro forma information presents the financial results of the Company for the years ended December 31, 2015 and 2014 as if the acquisition of nContact had occurred on January 1, 2014. Year Ended December 31, (unaudited) 2015 2014 Revenue $ 137,882 $ 115,979 Net loss (30,745) (21,438) Basic and diluted net loss per share (0.99) (0.71) Certain pro forma adjustments have been made when calculating the amounts above to reflect the impact of the purchase transaction, primarily consisting of inclusion of amortization of intangible assets with determinable lives and exclusion of nContact’s interest expense incurred on debt paid off in the acquisition. The Company also eliminated transaction expenses incurred by both AtriCure and nContact. This supplemental pro forma information has been prepared for comparative purposes and does not purport to be indicative of what would have occurred had the acquisition been made on January 1, 2014, nor are they indicative of any future results. The pro forma information does not include any adjustment for potential revenue enhancements, cost synergies or other operating efficiencies that could result from the acquisition. Endoscopic Technologies, Inc. (Estech). On December 31, 2013, the Company completed its acquisition of Estech. The aggregate consideration paid to Estech shareholders included up to $26,000 of contingent consideration to be paid based on the achievement of certain performance-based milestones in 2014 and 2015. The fair value of the contingent consideration was estimated using an expected present value approach to estimate an expected value. The Company recorded $8,032 in contingent consideration at acquisition, and, based on results during 2014, reduced the value of the contingent consideration to $0 at December 31, 2014. The $8,032 adjustment was recorded as a reduction of selling, general and administrative expenses in the accompanying 2014 Consolidated Statement of Operations and Comprehensive Loss. At December 31, 2015, the Company’s liability for the Estech contingent consideration remains at $0 based on the final analysis of actual results against the specified milestones in 2014 and 2015. |
Intangible Assets And Goodwill
Intangible Assets And Goodwill | 12 Months Ended |
Dec. 31, 2015 | |
Intangible Assets And Goodwill [Abstract] | |
Intangible Assets And Goodwill | 6. INTANGIBLE ASSETS AND GOODWILL The following table provides a summary of the Company’s intangible assets at December 31: 2015 2014 Accumulated Accumulated Cost Amortization Cost Amortization Non-compete agreement $ 100 $ 100 $ 100 $ 93 Fusion technology 9,242 1,848 9,242 924 Clamp & probe technology 829 552 829 276 Estech trade name 208 208 208 208 SUBTLE access technology 2,179 96 — — IPR&D 44,021 — — — Total $ 56,579 $ 2,804 $ 10,379 $ 1,501 For the years ended December 31, 2015, 2014 and 2013, amortization expense related to intangible assets with definite lives was $1,303 , $1,421 and $12 , respectively. The IPR&D asset is not amortized until the completion of the project. Future amortization expense related to intangible assets with definite lives is projected as follows: 2016 $ 1,644 2017 1,367 2018 1,367 2019 1,367 2020 1,235 2021 and thereafter 2,774 Total $ 9,754 The following table provides a summary of the Company’s goodwill, which is not amortized, but rather tested annually for impairment: Net carrying amount as of December 31, 2013 $ 35,386 Additions — Net carrying amount as of December 31, 2014 35,386 Additions 69,871 Net carrying amount as of December 31, 2015 $ 105,257 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2015 | |
Inventories [Abstract] | |
Inventories | 7. INVENTORIES Inventories consisted of the following at December 31: 2015 2014 Raw materials $ 6,159 $ 4,429 Work in process 974 1,397 Finished goods 10,526 8,431 Inventories $ 17,659 $ 14,257 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2015 | |
Property and Equipment [Abstract] | |
Property and Equipment | 8. PROPERTY AND EQUIPMENT Property and equipment consisted of the following at December 31: 2015 2014 Building under capital lease $ 14,250 $ — Generators and other capital equipment 10,041 8,578 Computer and other office equipment 4,303 2,436 Furniture and fixtures 3,211 488 Machinery, equipment and vehicles 2,551 2,604 Leasehold improvements 2,151 329 Construction in progress 1,978 4,642 Equipment under capital leases 212 162 Total 38,697 19,239 Less accumulated depreciation (7,418) (7,687) Property and equipment, net $ 31,279 $ 11,552 Property and equipment depreciation expense was $4,975 , $3,353 and $2,008 for the years ended December 31, 2015, 2014 and 2013, respectively. Depreciation related to generators and other capital equipment was $2,944 , $2,172 and $1,251 in 2015, 2014 and 2013, respectively. As of December 31, 2015 and 2014, the net carrying amount of generators and other capital equipment was $5,447 and $4,141 , respectively. Included in construction in progress as of December 31, 2014 are $4,234 of costs related to the construction of the Company’s new headquarters building, which were placed in service and transferred to Building under capital lease in 2015 (see Note 10 – Indebtedness). |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2015 | |
Accrued Liabilities [Abstract] | |
Accrued Liabilities | 9. ACCRUED LIABILITIES Accrued liabilities consisted of the following at December 31: 2015 2014 Accrued bonus $ 6,088 $ 4,915 Accrued commissions 6,061 4,477 Accrued payroll and employee-related expenses 4,021 2,281 Accrued taxes and value-added taxes payable 912 1,272 Other accrued liabilities 723 399 Accrued royalties 382 442 Sales returns allowance 207 135 Accrued non-employee stock options — 120 Total $ 18,394 $ 14,041 |
Indebtedness
Indebtedness | 12 Months Ended |
Dec. 31, 2015 | |
Indebtedness [Abstract] | |
Indebtedness | 10. INDEBTEDNESS Bank Credit Facility. The Company has a debt agreement (Loan Agreement) with Silicon Valley Bank (SVB). The Loan Agreement, as amended, restated and modified, includes a $15,000 revolving credit facility which matures on April 30, 2018 . Borrowing availability under the revolving credit facility is based on the lesser of $15,000 or a borrowing base calculation as defined by the Loan Agreement. As of December 31, 2015, the Company had no borrowings under the revolving credit facility and had borrowing availability of $14,559 . The applicable interest rate is 3. 5% . Effective March 31, 2015, the Company and SVB entered into an Eighth Loan Modification Agreement (Loan Modification Agreement) which sets forth certain amendments to the Company’s credit facility. The Loan Modification Agreement provides for (i) an increase in the limit of outstanding letters of credit from $1,000 to $2,000 , (ii) an extension of the revolving line maturity date from April 30, 2016 to April 30, 2018 and (iii) modifications to certain covenants and other terms of the Loan Agreement. The Loan Agreement, as amended restated and modified, contains covenants that include, among others, covenants that limit the Company’s ability to dispose of assets, enter into mergers or acquisitions, incur indebtedness, incur liens, pay dividends or make distributions on the Company’s capital stock, make investments or loans, and enter into certain affiliate transactions, in each case subject to customary exceptions for a credit facility of this size and type. Additional covenants apply when the Company has outstanding borrowings under the revolving credit facility or when the Company holds less than $20,000 in cash and investments with SVB. Financial covenants under the credit facility include a minimum EBITDA and a minimum liquidity ratio. Further, a minimum fixed charge ratio applies when the Company achieves specific covenant milestones. None of the covenants must be applied as of December 31, 2015. The occurrence of an event of default could result in an increase to the applicable interest rate by 3.0% , an acceleration of all obligations under the Loan Agreement, an obligation of the Company to repay all obligations in full and a right by SVB to exercise all remedies available to it under the Loan Agreement and related agreements including any Guaranty or Guarantor Security Agreement. Specified assets have been pledged as collateral. As of December 31, 2015, the Company has an outstanding letter of credit of $1,250 related to the Company’s new headquarters lease in Mason, Ohio. The letter of credit may be reduced or removed entirely based on the Company’s future financial performance, as specified in the lease agreement. As of December 31, 2014 the Company had an outstanding letter of credit of €75 issued to its European subsidiary’s corporate credit card program provider which was due to expire on June 30, 2015 . The letter of credit was cancelled in June 2015. Capital Lease Obligations. As of December 31, 201 5 the Company had capital leases for its corporate headquarters building and computer equipment that expire at various terms through 2030 . In August 2014 the Company and LM-VP AtriCure, LLC (Landlord), a third party unrelated to the Company, entered into a new building lease (Mason Lease) in order to re-locate its headquarters and West Chester, Ohio facilities to a building constructed on Innovation Way in Mason, Ohio and occupied exclusively by the Company. Construction of the approximately 92 square-foot building was substantially completed and the lease term began in October 2015 . The term of the Mason Lease is fifteen years with three separate five -year renewal options, at the Company’s option. The amount of initial annual base rent of $1,353 is payable in monthly installments and is subject to a 2% increase each year during the initial term of the agreement. Upon each renewal, the amount of rent payable will be agreed upon by the Company and Landlord or, if not so agreed upon, by an appraiser. Under the Mason Lease, the Company is responsible for paying real estate taxes, insurance, utilities, operating expenses, and most building repairs and maintenance. The Company was also responsible for paying the first $750 of construction related tenant improvement costs, as well as amounts in excess of the estimated total cost of construction, as defined by the Mason Lease. The Company was deemed the owner of the project during the construction period. As a result, project costs incurred during construction the building were included in property and equipment and the corresponding financing obligation was included in other current liabilities in the Consolidated Balance Sheet as of December 31, 2014. An increase in purchases of building under construction and proceeds from the construction financing obligation are also included in the Consolidated Statement of Cash Flows. At the completion of construction, the Company evaluated the lease agreement under guidance in FASB ASC 840, “Leases”, and included the current and noncurrent portions of the Mason Lease obligation within capital leases and the value of the underlying asset in Property and Equipment in the Consolidated Balance Sheet as of December 31, 2015. The cost of the leased assets, both building and computer equipment, under lease at December 31, 2015 was $14,462 . The assets are depreciated over their estimated useful lives, which equal the terms of the respective leases. Accumulated amortization on the capital leases was $349 at December 31, 2015. Future maturities on capital lease obligations are projected as follows: 2016 $ 1,417 2017 1,425 2018 1,439 2019 1,457 2020 1,478 2021 and thereafter 15,894 Total payments $ 23,110 Imputed interest (8,950) Net capital lease obligations, of which $450 is current and $13,710 is noncurrent $ 14,160 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 11. COMMITMENTS AND CONTINGENCIES Lease Commitments. The Company leases certain office, manufacturing and warehouse facilities and equipment under noncancelable operating leases that expire at various terms through 2021 . Future minimum lease payments under non-cancelable operating leases are projected as follows: 2016 $ 934 2017 663 2018 724 2019 737 2020 556 2021 and thereafter 251 Total $ 3,865 Rent expense was approximately $1,515 , $1,331 and $870 in 2015, 2014, and 2013, respectively. Royalty Agreements. The Company has certain royalty agreements in place with terms that include payment of royalties based on product revenue from sales of specified current products. The royalty agreements have effective dates as early as 2003 and terms ranging from three years to at least twenty years. The royalties range from 0.75% to 5% of specified product sales. One of the agreements includes minimum quarterly payments of $50 through 2015 and a maximum of $2,000 in total royalties over the term of the agreement. Parties to the royalty agreements have the right at any time to terminate the agreement immediately for cause. Royalty expense of $1,799 , $1,322 and $962 was recorded as part of cost of revenue for the years ended December 31, 2015, 2014 and 2013, respectively. Purchase Agreements. The Company enters into standard purchase agreements with certain vendors in the ordinary course of business. Outstanding commitments at December 31, 2015 were not significant. Legal. The Company is not party to any material pending or threatened litigation, except for the matter described below. The Company may, from time to time, become a party to additional legal proceedings. Department of Justice Investigation In October 2008 the Company received a letter from the Department of Justice (DOJ) informing the Company that it was conducting an investigation for potential False Claims Act (FCA) and common law violations relating to its surgical ablation devices. The Company cooperated with the investigation and operated its business in the ordinary course during the investigation. In December 2009 the Company reached a tentative settlement with the DOJ to resolve the investigation and recorded a liability. The settlement was finalized pursuant to the preliminary terms in February 2010, and the resulting settlement agreement definitively resolved all claims related to the DOJ investigation. The Company did not admit nor will it admit to any wrongdoing in connection with the settlement. The Company completed making payments totaling $4,350 (including interest) in 2014 and has no remaining financial liability. In June 2015 the Company received confirmation from the Office of Inspector General that the Company had satisfactorily completed all obligations under the five -year Corporate Integrity Agreement entered into in 2010. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
Income Taxes | 12. INCOME TAXES The Company files federal, state, and foreign income tax returns in jurisdictions with varying statutes of limitations. Income taxes are computed using the asset and liability method in accordance with FASB ASC 740, “Income Taxes”, under which deferred income taxes are provided for the temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities. Deferred taxes are measured using provisions of currently enacted tax laws. A valuation allowance against deferred tax assets is recorded when it is more likely than not that such assets will not be fully realized. The Company has recorded a full valuation allowance against its net deferred tax assets as it is more likely than not that the benefit of the deferred tax assets will not be recognized in future periods. Tax credits are accounted for as a reduction of income taxes in the year in which the credit originates. The Company does not expect any significant unrecognized tax benefits to arise over the next twelve months. The detail of deferred tax assets and liabilities at December 31 is as follows: 2015 2014 Deferred tax assets (liabilities): Net operating loss carryforward $ 78,178 $ 49,921 Research and development and AMT credit carryforwards, net 5,677 4,799 Equity compensation 6,618 4,497 Accruals and reserves 539 536 Inventories 1,310 669 Intangible assets (16,953) (149) Property and equipment, net (1,740) (760) Other, net 53 41 Subtotal 73,682 59,554 Less valuation allowance (73,682) (59,554) Total $ — $ — The Company’s provision for income taxes is as follows: 2015 2014 2013 Current income tax expense $ 36 $ 33 $ 18 Deferred tax benefit (8,507) (5,306) (3,728) Increase in valuation allowance 8,507 5,306 3,728 Total income tax expense $ 36 $ 33 $ 18 The Company has a federal net operating loss carryforward of $205,278 which will begin to expire in 20 2 1 and state net operating loss carryforwards of $136,323 which have varying expirations ranging from five years to twenty years. At December 31, 2015 there were $5, 790 of unrecognized deferred tax assets that arose from tax deductions for equity compensation in excess of compensation recognized for financial reporting during years when net operating losses were created. Additional paid in capital will be increased if such deferred tax assets are realized and reduce current tax payable. A portion of the Company’s federal and state net operating loss carryforwards are subject to certain limitations under Internal Revenue Code Sections 382 and 383. The Company also has a foreign net operating loss carryforward of approximately $17,919 of which $970 expires in 2016 . Additionally, the Company has a federal research and development credit carryforward of $5,575 which will begin to expire in 2022 . The Company’s 2015, 2014 and 2013 effective income tax rates differ from the federal statutory rate as follows: 2015 2014 2013 Federal tax at statutory rate 34.00 % $ (9,240) 34.00 % $ (5,501) 34.00 % $ (3,891) Federal R&D credit 3.23 (878) 2.32 (374) 3.35 (383) Valuation allowance (31.30) 8,507 (32.80) 5,306 (29.63) 3,391 State income taxes 1.38 (375) 2.68 (433) 0.04 (5) Foreign NOL rate change (2.02) 549 (4.29) 694 2.47 (283) Foreign tax rate differential (1.99) 542 (2.83) 458 (1.60) 183 Other (3.43) 931 0.72 (117) (8.79) 1,006 Effective tax rate (0.13) % $ 36 (0.20) % $ 33 (0.16) % $ 18 The Company’s pre-tax book loss for domestic and international operations was ( $21,157 ) and ( $6,019 ), respectively, for 2015, ( $11,085 ) and ( $5,093 ), respectively, for 2014 and ( $9,409 ) and ( $2,035 ), respectively, for 2013. The Company has not had to accrue any interest and penalties related to unrecognized income tax benefits as a result of offsetting of net operating losses. However, if the situation occurs, the Company will recognize interest and penalties within the income tax expense line in the Consolidated Statements of Operations and Comprehensive Loss and within the related tax liability line in the Consolidated Balance Sheets. Federal, state, and local tax returns of the Company are routinely subject to examination by various taxing authorities. Federal and foreign income tax returns for periods beginning in 2012 are open for examination. However, taxing authorities have the ability to adjust net operating loss and tax credit carryforwards from years prior to these periods. The Company has not recognized certain tax benefits because of the uncertainty of realizing the entire value of the of the tax position taken on income tax returns upon review by the taxing authorities. A reconciliation of the change in federal and state unrecognized tax benefits for 2015, 2014 and 2013 is presented below: 2015 2014 2013 Balance at the beginning of the year $ 1,982 $ 1,982 $ — Increases (decreases) for prior year tax positions — — 1,982 Increases (decreases) for current year tax positions — — — Increases (decreases) related to settlements — — — Decreases related to statute lapse — — — Balance at the end of the year $ 1,982 $ 1,982 $ 1,982 There are no amounts included in the balance of unrecognized tax benefits at December 31, 2015, 2014 and 2013 that, if recognized, would affect the effective tax rate. Included in the balance of unrecognized tax benefits at December 31, 2015 are $1,982 of tax benefits that, if recognized, would result in adjustments to other tax accounts, primarily deferred taxes and valuation allowance. There are no accrued interest and penalties associated with the unrecognized tax benefit. The Company does not anticipate that there will be any significant adjustments to its recorded unrecognized tax benefits in the next twelve months. |
Concentrations
Concentrations | 12 Months Ended |
Dec. 31, 2015 | |
Concentrations [Abstract] | |
Concentrations | 13. CONCENTRATIONS During fiscal 2015, 2014 and 2013 approximately 12.9% , 13.6% and 20.4% , respectively, of the Company’s total net revenue was derived from its top ten customers. During 2015, 2014 and 2013 no individual customer accounted for more than 10% of the Company’s revenue. No individual customer accounted for more than 10% of the Company’s accounts receivable as of December 31, 2015 and 2014. The Company maintains cash and cash equivalents balances at financial institutions which at times exceed FDIC limits. As of December 31, 2015, $23,608 of the cash and cash equivalents balance was in excess of the FDIC limits. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2015 | |
Employee Benefit Plans [Abstract] | |
Employee Benefit Plans | 14. EMPLOYEE BENEFIT PLANS The Company sponsors the AtriCure, Inc. 401(k) Plan (401(k) Plan), a defined contribution plan covering substantially all U.S. employees of the Company. Eligible employees may contribute pre-tax annual compensation up to specified maximums under the Internal Revenue Code. During 2015, 2014 and 2013 the Company made matching contributions of 50% of the first 6% of employee contributions to the 401(k) Plan. The Company’s matching contributions expensed during 2015, 2014 and 2013 were $1,007 , $807 and $606 , respectively. Additional amounts may be contributed to the 401(k) Plan at the discretion of the Company’s board of directors. No such discretionary contributions were made during 2015, 2014 or 2013. The Estech 401(k) plan acquired by the Company through its acquisition of Estech was rolled into the 401(k) Plan during 2014. The Company also provides retirement benefits for AtriCure Europe employees. Total contributions to retirement plans for AtriCure Europe employees were $133 , $176 and $176 in 2015, 2014 and 2013, respectively. |
Equity Compensation Plans
Equity Compensation Plans | 12 Months Ended |
Dec. 31, 2015 | |
Equity Compensation Plans [Abstract] | |
Equity Compensation Plans | 15. EQUITY COMPENSATION PLANS The Company has several share-based incentive plans: the 2005 Equity Incentive Plan (2005 Plan), the Amended and Restated 2014 Stock Incentive Plan (2014 Plan) and the 2008 Employee Stock Purchase Plan (ESPP). 2005 Plan and 2014 Plan The Company granted awards under the 2005 Plan until the 2014 Annual Meeting of Stockholders at which stockholders adopted the 2014 Plan. Pursuant to its terms, the 2014 Plan supersedes and replaces the 2005 Plan. Under the 2014 Plan, the Board of Directors may grant incentive stock options to employees and any parent or subsidiary’s employees, and may grant nonstatutory stock options, restricted stock or stock appreciation rights to employees, directors and consultants of the Company and any parent or subsidiary’s employees, directors and consultants. The administrator (currently the Compensation Committee of the Board of Directors) has the power to determine the terms of any awards, including the number of shares subject to each award, the exercisability of the awards and the form of consideration. Options granted under the plans generally expire ten years from the date of grant. Options granted from the 2005 Plan and 2014 Plan generally vest at a rate of 25% on the first anniversary date of the grant and ratably each month thereafter over the following three years . Restricted stock awards granted under the 2005 Plan and 2014 Plan generally vest 25% annually over four years from the date of grant. As of December 31, 2015, 8,949 shares of common stock had been reserved for issuance under the 2014 Plan. The shares authorized for issuance under the 2014 Plan include (a) shares reserved but unissued under the 2001 Plan as of August 10, 2005, (b) shares returned to the 2001 Plan as the result of the termination of options or the repurchase of shares issued under such plan, (c) shares reserved but unissued under the 2005 Plan as of May 14, 2014 and (d) 1,300 additional shares authorized under the 2014 Plan. As of December 31, 2015 there were 1,372 shares available for future grants under the plans. Activity under the plans during 2015 was as follows: Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Time-Based Stock Options Outstanding Price Term Value Outstanding at January 1, 2015 2,762 $ 10.93 Granted 228 21.10 Cancelled or forfeited (13) 15.17 Exercised (243) 11.10 Outstanding at December 31, 2015 2,734 $ 11.75 6.15 $ 29,331 Vested and expected to vest 2,660 $ 11.57 6.09 $ 28,974 Exercisable at December 31, 2015 1,862 $ 9.94 5.28 $ 23,263 Weighted Number of Average Shares Grant Date Restricted Stock Outstanding Fair Value Outstanding at January 1, 2015 560 $ 16.33 Awarded 648 17.82 Forfeited (2) 17.76 Released (135) 15.78 Outstanding at December 31, 2015 1,071 $ 17.30 Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Performance Stock Options Outstanding Price Term Value Outstanding at January 1, 2015 450 $ 13.48 Granted — — Cancelled or forfeited — — Exercised — — Outstanding at December 31, 2015 450 $ 13.48 7.46 $ 4,034 Exercisable at December 31, 2015 250 $ 13.48 7.46 $ 2,241 Activity under the plans during 2014 was as follows: Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Time-Based Stock Options Outstanding Price Term Value Outstanding at January 1, 2014 2,423 $ 8.61 Granted 603 19.54 Cancelled or forfeited (49) 10.65 Exercised (215) 8.94 Outstanding at December 31, 2014 2,762 $ 10.93 6.54 $ 25,335 Vested and expected to vest 2,660 $ 10.81 6.46 $ 24,697 Exercisable at December 31, 2014 1,516 $ 8.85 4.86 $ 16,836 Weighted Number of Average Shares Grant Date Restricted Stock Outstanding Fair Value Outstanding at January 1, 2014 248 $ 7.75 Awarded 391 20.25 Forfeited (1) 9.15 Released (78) 8.79 Outstanding at December 31, 2014 560 $ 16.33 Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Performance Stock Options Outstanding Price Term Value Outstanding at January 1, 2014 225 $ 5.91 Granted 225 21.04 Cancelled or forfeited — — Exercised — — Outstanding at December 31, 2014 450 $ 13.48 8.50 $ 3,161 Exercisable at December 31, 2014 250 $ 13.48 8.50 $ 1,756 The total intrinsic value of options exercised during the years ended December 31, 2015, 2014 and 2013 was $2,740 , $2,311 and $951 , respectively. As a result of the Company’s tax position, no tax benefit was recognized related to the stock option exercises. For 2015, 2014 and 2013, $2,703 , $1,916 and $1,718 , respectively, in cash proceeds were included in the Company’s Consolidated Statements of Cash Flows as a result of the exercise of stock options. The total fair value of restricted stock vested during 2015, 2014 and 2013 was $2,767 , $1,434 and $1,442 , respectively. The exercise price per share of each option is equal to the fair market value of the underlying share on the date of grant. The Company issues registered shares of common stock to satisfy stock option exercises and restricted stock grants. The Company recognized expense related to time-based stock options and restricted stock for 2015, 2014, and 2013 of $8,072 , $5,383 and $2,489 , respectively. As of December 31, 2015 there was $21,181 of unrecognized compensation costs related to non-vested stock option and restricted stock arrangements ( $7,375 relating to stock options and $13,806 relating to restricted stock). This cost is expected to be recognized over a weighted-average period of 2.0 years for stock options and 2.6 years for restricted stock. The Company awarded 225 performance options to its new President and Chief Executive Officer (CEO) when he joined the Company in November 2012, and an additional 225 performance options were awarded to the CEO in January 2014. The options expire ten years from the date of grant and vest in increments of 25 shares when the volume adjusted weighted average closing price of the common stock of the Company as reported by NASDAQ (or any other exchange on which the common stock of the Company is listed) for 30 consecutive days equals or exceeds each of $10.00 per share, $12.50 per share, $15.00 per share, $17.50 per share, $20.00 per share, $25.00 per share, $30.00 per share, $35.00 per share and $40.00 per share. In accordance with FASB ASC 718, a Monte Carlo simulation was performed for both grants to estimate the fair values, vesting terms and vesting probabilities for each tranche of options. Expense calculated using these estimates is being recorded over the estimated vesting terms. The Company recognized expense related to the performance options during 2015, 2014 and 2013 of $546 , $1,767 and $272 , respectively. As of December 31, 2015 there was $313 of unrecognized compensation costs related to non-vested performance options. This cost is expected to be recognized over a weighted-average period of 0.25 to 2.05 years. Employee Stock Purchase Plan (ESPP) During 2008 the Company established the Employee Stock Purchase Plan which is available to eligible employees as defined in the ESPP. Under the ESPP, shares of the Company’s common stock may be purchased at a discount (currently 15% ) of the lesser of the closing price of the Company’s common stock on the first trading day or the last trading day of the offering period. The offering period (currently six months) and the offering price are subject to change. Participants may not purchase more than $25 of the Company’s common stock in a calendar year and, effective January 1, 2014, may not purchase a value of more than 3 shares during an offering period. Beginning on January 1, 2009 and on the first day of each fiscal year thereafter during the term of the ESPP, the number of shares available for sale under the ESPP shall be increased by the lesser of (i) two percent ( 2% ) of the Company’s outstanding shares of common stock as of the close of business on the last business day of the prior calendar year, not to exceed 600 shares, or (ii) a lesser amount determined by the Board of Directors. At December 31, 2015 there were 491 shares available for future issuance under the ESPP. Share-based compensation expense with respect to the ESPP was $379 , $421 and $319 for 2015, 2014 and 2013, respectively. Valuation and Expense Information Under FASB ASC 718 The following table summarizes share-based compensation expense related to employee share-based compensation under FASB ASC 718 for 2015, 2014 and 2013. This expense was allocated as follows: 2015 2014 2013 Cost of revenue $ 416 $ 335 $ 246 Research and development expenses 1,373 937 230 Selling, general and administrative expenses 7,208 6,299 2,604 Total $ 8,997 $ 7,571 $ 3,080 In calculating compensation expense, the fair value of the options is estimated on the grant date using the Black-Scholes model including the following assumptions: 2015 2014 2013 Risk-free interest rate 1.30 - 1.96 % 1.56 - 2.12 % 0.75 - 2.29 % Expected life of option (years) 5.20 to 6.89 5.31 to 6.72 5.38 to 7.14 Expected volatility of stock 46.00 - 67.00 % 47.00 - 70.00 % 69.00 % Weighted-average volatility 54.75 % 69.19 % 69.00 % Dividend yield 0.00 % 0.00 % 0.00 % The Company’s estimate of volatility is based solely on the Company’s trading history. The risk-free interest rate assumption is based upon the U.S. treasury yield curve at the time of grant for the expected option life. The Company estimates the expected terms of options using historical employee exercise behavior. The fair value of restricted stock awards is based on the market value of the Company’s stock on the date of the awards. Based on the assumptions noted above, the weighted average estimated grant date fair value per share of the stock options and restricted stock granted for 2015, 2014 and 2013 was as follows: 2015 2014 2013 Stock options $ 11.12 $ 12.33 $ 5.70 Restricted stock 17.82 20.25 9.35 In calculating compensation expense for performance options, the fair value of the options is estimated on the grant date using a Monte Carlo simulation including the following assumptions: 2015 2014 2013 Strike price $ 5.91 - 21.04 $ 5.91 - 21.04 $ 5.91 Contractual term (years) 10.00 10.00 10.00 Expected volatility of stock 60.50 - 69.60 % 60.50 - 69.60 % 69.60 % Interest rate 1.75 - 2.73 % 1.75 - 2.73 % 1.75 % Dividend yield 0.00 % 0.00 % 0.00 % The contractual term assumes that the performance options issued to the CEO of the Company in 2012 and 2014 will be held until expiration. Expected volatility is estimated based on the Company’s trading history. The expected rate of return assumption is based upon the U.S. treasury yield curve at the time of grant for the expected option life. Based on the assumptions noted above, the estimated grant date fair value per share of the performance options granted were as follows: Price Fair Value of Fair Value of Target 2012 Grant 2014 Grant Tranche 1 $ 10.00 $ 4.32 $ 14.74 Tranche 2 12.50 4.30 14.74 Tranche 3 15.00 4.27 14.74 Tranche 4 17.50 4.23 14.74 Tranche 5 20.00 4.19 14.73 Tranche 6 25.00 4.10 14.73 Tranche 7 30.00 4.01 14.71 Tranche 8 35.00 3.92 14.67 Tranche 9 40.00 3.83 14.61 |
Segment and Geographic Informat
Segment and Geographic Information | 12 Months Ended |
Dec. 31, 2015 | |
Segment and Geographic Information [Abstract] | |
Segment and Geographic Information | 16. SEGMENT AND GEOGRAPHIC INFORMATION The Company evaluates reporting segments in accordance with FASB ASC 280, “Segment Reporting”. The Company develops, manufactures, and sells devices designed primarily for the surgical ablation of cardiac tissue and systems designed for the exclusion of the left atrial appendage. These devices are developed and marketed to a broad base of medical centers in the United States and internationally. Management considers all such sales to be part of a single reportable segment. Revenue attributed to geographic areas is based on the location of the customers to whom products are sold. Revenue by geographic area was as follows: 2015 2014 2013 Revenue: United States $ 102,212 $ 80,203 $ 62,311 Europe 17,180 18,163 11,384 Asia 9,510 8,552 7,665 Other international 853 536 529 Total international 27,543 27,251 19,578 Total revenue $ 129,755 $ 107,454 $ 81,889 Domestic revenue by product type was as follows: 2015 2014 2013 Revenue: Open-heart ablation $ 53,541 $ 44,662 $ 37,843 Minimally invasive ablation 21,564 16,050 13,648 AtriClip 24,377 16,675 10,820 Total ablation and AtriClip 99,482 77,387 62,311 Valve tools 2,730 2,816 — Total domestic $ 102,212 $ 80,203 $ 62,311 International revenue by product type was as follows: 2015 2014 2013 Revenue: Open-heart ablation $ 16,287 $ 16,445 $ 13,064 Minimally invasive ablation 7,964 7,881 5,354 AtriClip 2,868 2,158 1,160 Total ablation and AtriClip 27,119 26,484 19,578 Valve tools 424 767 — Total international $ 27,543 $ 27,251 $ 19,578 The majority of the Company’s long-lived assets are located in the United States. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2015 | |
Selected Quarterly Financial Data [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | 17. SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) For the Three Months Ended March 31, June 30, September 30, December 31, 2015 2014 2015 2014 2015 2014 2015 2014 Operating Results: Revenue $ 29,886 $ 24,847 $ 32,583 $ 26,514 $ 31,423 $ 26,678 $ 35,863 $ 29,415 Gross profit 21,735 17,657 23,117 18,781 22,478 18,892 25,545 20,420 Loss from operations (5,144) (7,925) (4,819) (2,853) (6,127) (803) (10,630) (4,779) Net loss (5,266) (7,709) (4,891) (2,692) (6,141) (466) (10,914) (5,344) Net loss per share (basic and diluted) $ (0.19) $ (0.31) $ (0.18) $ (0.10) $ (0.22) $ (0.02) $ (0.36) $ (0.20) Amounts may not sum to consolidated totals for the full year due to rounding. Basic and diluted net loss per share is computed independently for each of the quarters presented. Therefore, the sum of the quarterly per share amounts will not necessarily equal the total for the year. |
Schedule II - Valuation And Qua
Schedule II - Valuation And Qualifying Accounts | 12 Months Ended |
Dec. 31, 2015 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule of Valuation and Qualifying Accounts Disclosure | SCH EDULE II VALUATION AND QUALIFYING ACCOUNTS Beginning Ending Balance Additions Deductions Balance Reserve for sales returns and allowances Year ended December 31, 2015 $ 135 $ 78 $ 6 $ 207 Year ended December 31, 2014 105 34 4 135 Year ended December 31, 2013 105 — — 105 Allowance for inventory valuation Year ended December 31, 2015 $ 522 $ 720 $ 399 $ 843 Year ended December 31, 2014 782 441 701 522 Year ended December 31, 2013 267 921 406 782 Valuation allowance for deferred tax assets Year ended December 31, 2015 $ 59,554 $ 14,128 $ — $ 73,682 Year ended December 31, 2014 54,211 5,343 — 59,554 Year ended December 31, 2013 31,685 22,526 — 54,211 |
Description of Business and S26
Description of Business and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Description of Business and Summary of Significant Accounting Policies [Abstract] | |
Nature of the Business | Nature of the Business — AtriCure, Inc. was incorporated in the State of Delaware on October 31, 2000. The “Company” or “AtriCure” consists of AtriCure, Inc. and its wholly owned subsidiaries. The Company is an innovator in surgical treatments for atrial fibrillation (Afib) and left atrial appendage management (LAAM). The Company sells its products to medical centers globally through a direct sales force and distributors. |
Principles of Consolidation | Principles of Consolidation— The Consolidated Financial Statements include the accounts of the Company, AtriCure, LLC, the Company’s wholly-owned subsidiary organized in the State of Delaware, Endoscopic Technologies, LLC, the Company’s wholly-owned subsidiary organized in the State of Delaware, nContact Surgical, LLC, the Company’s wholly-owned subsidiary organized in the State of Delaware and AtriCure Europe, B.V. (AtriCure Europe), the Company’s wholly-owned subsidiary incorporated in the Netherlands. All intercompany accounts and transactions have been eliminated in consolidation. |
Cash and Cash Equivalents | Cash and Cash Equivalents— The Company considers highly liquid investments with maturities of three months or less at the date of acquisition as cash equivalents in the accompanying Consolidated Financial Statements |
Investments | Investments— The Company places its investments primarily in U.S. Government agencies and securities, corporate bonds and commercial paper. The Company classifies all investments as available-for-sale. Investments with maturities of less than one year are classified as short-term investments. Investments are recorded at fair value, with unrealized gains and losses recorded as accumulated other comprehensive income (loss). The Company recognizes gains and losses when these securities are sold using the specific identification method and includes them in interest income or expense in the Consolidated Statements of Operations and Comprehensive Loss. |
Revenue Recognition | Revenue Recognition— The Company accounts for revenue in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 605, “Revenue Recognition” (ASC 605). The Company recognizes revenue when all of the following criteria are met: (i) there is persuasive evidence that an arrangement exists; (ii) delivery of the products and/or services has occurred; (iii) the selling price is fixed or determinable; and (iv) collectability is reasonably assured. Pursuant to the Company’s standard terms of sale, revenue is recognized when title to the goods and risk of loss transfers to customers and there are no remaining obligations that will affect the customers’ final acceptance of the sale. Generally, the Company’s standard terms of sale define the transfer of title and risk of loss to occur upon shipment to the respective customer. The Company generally does not maintain any post-shipping obligations to the recipients of the products. No installation, calibration or testing of products is performed by the Company subsequent to shipment to the customer in order to render it operational. Revenue includes shipping and handling revenue of $1,056 , $952 and $786 in 2015, 2014 and 2013, respectively. Cost of freight for shipments made to customers is included in cost of revenue. Sales and other value-added taxes collected from customers and remitted to governmental authorities are excluded from revenue. The Company sells its products primarily through a direct sales force, with certain international markets sold through distributors. Terms of sale are generally consistent for both end-users and distributors except that payment terms are generally net 30 days for end-users and net 60 days for distributors with limited exceptions. |
Sales Returns and Allowances | Sales Returns and Allowances — T he Company maintains a provision for sales returns and allowances to account for potential returns of defective or damaged products, products shipped in error and invoice adjustments. The Company estimates such provision on a quarterly basis based primarily on a specific identification basis, in addition to estimating a general reserve based on historical experience. Increases to the provision result in a reduction of revenue. The provision is included in accrued liabilities in the Consolidated Balance Sheets. |
Allowance for Doubtful Accounts Receivable | Allowance for Doubtful Accounts Receivable— The Company evaluates the collectability of accounts receivable to determine the appropriate reserve for doubtful accounts. In determining the amount of the reserve, the Company considers aging of account balances, historical credit losses, customer-specific information and other relevant factors. An increase to the allowance for doubtful accounts results in a corresponding increase in selling, general and administrative expense. The Company reviews accounts receivable and adjusts the allowance based on current circumstances and charges off uncollectible receivables against the allowance when all attempts to collect the receivable have failed. The Company’s history of write-offs against the allowance has not been significant. |
Inventories | Inventories— Inventories are stated at the lower of cost or market using approximate costs based on the first-in, first-out cost method (FIFO) and consist of raw materials, work in process and finished goods. The Company’s industry is characterized by rapid product development and frequent new product introductions. Uncertain timing of product approvals, variability in product launch strategies and variation in product utilization all impact excess and obsolete inventory. An inventory allowance based on product usage is estimated and recorded quarterly for excess, slow moving and obsolete inventory, as well as for inventory with a carrying value in excess of its net realizable value. An increase to the inventory reserve allowance results in a corresponding increase in cost of revenue. Write-offs are recorded when a product is destroyed. The Company’s history of write-offs against the reserve has not been significant. |
Property and Equipment | Property and Equipment— Property and equipment is stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method of depreciation for financial reporting purposes and applied over the estimated useful lives of the assets. The estimated useful life by major asset category is the following: generators and other capital equipment, machinery, equipment and vehicles is three to seven years, computer and other office equipment is three years, furniture and fixtures is three to seven years and leasehold improvements and equipment under capital leases are the shorter of their useful life or remaining lease term. The Company reassesses the useful lives of property and equipment annually, and assets are retired if they are no longer in service. Maintenance and repair costs are expensed as incurred. Generators and other capital equipment (such as the Company’s switchbox units and cryosurgical consoles) are placed with direct customers that use the Company’s disposable products. Depreciation of such assets is included in cost of revenue. The estimated useful lives of this equipment are based on anticipated usage by customers and the timing and impact of expected new technology rollouts by the Company. To the extent the Company experiences changes in the usage of this equipment or introduces new technologies, the estimated useful lives of this equipment may change in a future period. The Company reviews property and equipment for impairment using its best estimates based on reasonable and supportable assumptions and projections. |
Intangible Assets | Intangible Assets— Intangible assets with determinable useful lives are amortized on a straight-line basis over the estimated periods benefited. Included in intangible assets is In Process Research and Development (IPR&D). The Company defines IPR&D as the value of acquired technology which has not yet reached technological feasibility. The primary basis for determining the technological feasibility is obtaining specific regulatory approvals. The estimated fair value of IPR&D acquired in a business combination is capitalized as an indefinite-lived intangible asset until completion or abandonment of the IPR&D project. Upon completion of the development project, the IPR&D is amortized over its estimated useful life. If the IPR&D project is abandoned, the related IPR&D asset would be written off. The estimated fair value of IPR&D was determined using an income approach model. At December 31, 2015, IPR&D represented an estimate of the fair value of the PMA approval that could result from the CONVERGE IDE clinical trial (see Note 5 – Business Combinations). The Company reviews intangible assets for impairment using its best estimates based on reasonable and supportable assumptions and projections. |
Goodwill | Goodwill— Goodwill represents the excess of purchase price over the fair value of the net assets acquired in business combinations. The Company tests goodwill for impairment annually on November 30, or more often if impairment indicators are present. The Company’s goodwill is accounted for in a single reporting unit representing the Company as a whole. |
Other Current Liabilities and Current Maturities of Capital Leases | Other Current Liabilities and Current Maturities of Capital Leases— As of December 31, 2014, o ther current liabilities consisted of a financing obligation related to the construction of the Company’s new headquarters. Current maturities of capital leases consist of capital lease obligations with maturities of less than one year (see Note 10 – Indebtedness). |
Other Noncurrent Liabilities | Other Noncurrent Liabilities— Other noncurrent liabilities include contingent consideration recorded in business combinations (see Note 5 – Business Combinations), as well as long-term deferred revenues and other contractual obligations. |
Other Income | Other Income (Loss)— Other income (loss) consists primarily of foreign currency transaction gains and losses, grant income and non- employee option gains and losses related to the fair market value change for fully vested options outstanding for consultants which are accounted for as free-standing derivatives. The Company recorded foreign currency transaction (losses) gains of ( $339 ), ( $523 ) and $269 for the years ended December 31, 2015, 2014 and 2013, respectively, primarily in connection with settlements of its intercompany balances with AtriCure Europe and invoices transacted in British Pounds. The Company periodically is awarded grants to support research and development activities or education activities. The Company recognizes grant income when the funds are earned. The Company recorded grant income of $35 , $731 and $0 during 2015, 2014 and 2013, respectively. The Company historically issued stock options to non-employee consultants as a form of compensation for services provided to the Company. Because the non-employee options require settlement by the Company’s delivery of registered shares and because the tax withholding provisions in the awards allow the options to be partially net-cash settled, these options, when vested, are no longer eligible for equity classification and are, thus, subsequently accounted for as derivative liabilities under FASB ASC 815, “Derivatives and Hedging” (ASC 815) until the awards are ultimately either exercised or forfeited. Accordingly, the vested non-employee options are classified as liabilities and remeasured at fair value through earnings at each reporting period. All vested non-employee options have been exercised as of December 31, 2015. During the years ended December 31, 2015, 2014 and 2013, $57 , $183 and ($272) , respectively, of (expense) income was recorded as a result of the remeasurement of the fair value of these fully vested stock options. |
Taxes | Taxes — Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in the period that includes the enactment date. The Company’s estimate of the valuation allowance for deferred tax assets requires it to make significant estimates and judgments about its future operating results. Deferred tax assets are reduced by valuation allowances if, based on the consideration of all available evidence, it is more-likely-than-not that some portion of the deferred tax asset will not be realized. Significant weight is given to evidence that can be objectively verified. The Company evaluates deferred tax assets on a quarterly basis to determine if valuation allowances are required by considering all available evidence. Deferred tax assets are realized by having sufficient future taxable income to allow the related tax benefits to reduce taxes otherwise payable. The sources of taxable income that may be available to realize the benefit of deferred tax assets are future reversals of existing taxable temporary differences, future taxable income, exclusive of reversing temporary differences and carryforwards, taxable income in carry-back years and tax planning strategies that are both prudent and feasible. In evaluating whether to record a valuation allowance, the applicable accounting standards deem that the existence of cumulative losses in recent years is a significant piece of objectively verifiable negative evidence that must be overcome by objectively verifiable positive evidence to avoid the need to record a valuation allowance. The Company has recorded a full valuation allowance against its net deferred tax assets as it is more likely than not that the benefit of the deferred tax assets will not be recognized in future periods. A provision of The Patient Protection and Affordable Care Act enacted in 2010, as amended (Patient Act), requires manufacturers of medical devices to pay an excise tax on all U.S. medical device sales. The Company’s expense related to the medical device excise tax, which was recorded in cost of revenue, was $667 , $592 and $417 for the years ended December 31, 2015, 2014 and 2013, respectively. In December 2015, the U.S. government approved the suspension of the excise tax on medical device sales beginning January 1, 2016 through December 31, 2017. |
Net Loss Per Share | Net Loss Per Share— Basic and diluted net loss per share is computed in accordance with FASB ASC 260 “Earnings Per Share” (ASC 260) by dividing the net loss by the weighted average number of common shares outstanding during the period. Since the Company has experienced net losses for all periods presented, net loss per share excludes the effect of 4,255 , 3,772 and 2,721 stock options and restricted stock shares as of December 31, 2015, 2014, and 2013, respectively, because they are anti-dilutive. Therefore, the number of shares calculated for basic net loss per share is also used for the diluted net loss per share calculation. |
Comprehensive Loss and Accumulated Other Comprehensive Loss | Comprehensive Loss and Accumulated Other Comprehensive Loss— In addition to net losses, the comprehensive loss includes foreign currency translation adjustments and unrealized gains and losses on investments. Accumulated o ther comprehensive loss consisted of the following: 2015 2014 2013 Total accumulated other comprehensive (loss) income at beginning of period $ (348) $ (139) $ 77 Unrealized (losses) gains on investments Balance at beginning of period $ (54) $ (6) $ 1 Other comprehensive income (loss) before reclassifications 15 (48) (7) Amounts reclassified from accumulated other comprehensive income (loss) to other income — — — Balance at end of period $ (39) $ (54) $ (6) Foreign currency translation adjustment Balance at beginning of period $ (294) $ (133) $ 76 Other comprehensive income (loss) before reclassifications 156 362 (478) Amounts reclassified from accumulated other comprehensive income (loss) to other income (434) (523) 269 Balance at end of period $ (572) $ (294) $ (133) Total accumulated other comprehensive loss at end of period $ (611) $ (348) $ (139) |
Research and Development Costs | Research and Development Costs — Research and development costs are expensed as incurred. These costs include compensation and other internal and external costs associated with the development and research related to new and existing products or concepts, preclinical studies, clinical trials, healthcare compliance and regulatory affairs. |
Advertising Costs | Advertising Costs — The Company expenses advertising costs as incurred. Advertising costs were not significant during the years ended December 31, 2015, 2014 and 2013, respectively. |
Share-Based Compensation | Share-Based Compensation— The Company follows FASB ASC 718 “Compensation-Stock Compensation” (ASC 718) to record share-based compensation for all employee share-based payment awards, including stock options, restricted stock and stock purchases related to an employee stock purchase plan, based on estimated fair values. The Company’s share-based compensation expense recognized under ASC 718 for the years ended December 31, 2015, 2014 and 2013 was $8,997 , $7,571 and $3,080 , respectively, on a before and after tax basis. FASB ASC 718 requires companies to estimate the fair value of share-based payment awards on the date of grant using an option-pricing model. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods in the Company’s Consolidated Statement of Operations and Comprehensive Loss. The expense has been reduced for estimated forfeitures. FASB ASC 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company estimates the fair value of time-based options on the date of grant using the Black-Scholes option-pricing model (Black-Scholes model). The Company’s determination of fair value of share-based payment awards on the date of grant using an option-pricing model is affected by the Company’s stock price, as well as assumptions regarding a number of subjective variables. These variables include but are not limited to the Company’s expected stock price volatility over the term of the awards and actual and projected employee stock option exercise behaviors. The fair value of market-based performance option grants is estimated at the date of grant using a Monte-Carlo simulation. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods in the Consolidated Statement of Operations and Comprehensive Loss. The Company estimates the fair value of restricted stock based upon the grant date closing market price of the Company’s common stock. The Company’s determination of fair value is affected by the Company’s stock price as well as assumptions regarding the number of shares expected to be granted. The Company also has an employee stock purchase plan (ESPP) which is available to all eligible employees as defined by the plan document. Under the ESPP, shares of the Company’s common stock may be purchased at a discount. The Company estimates the number of shares to be purchased under the ESPP and records compensation expense based upon the fair value of the stock at the beginning of the purchase period using the Black-Scholes model. |
Use of Estimates | Use of Estimates— The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. |
Fair Value Disclosures | Fair Value Disclosures — The Company classifies and records cash and investments in U.S. government agencies and securities as Level 1 within the fair value hierarchy. Accounts receivable, short-term other assets, accounts payable and accrued liabilities are also classified as Level 1. The carrying amounts of these assets and liabilities approximate their fair value due to their relatively short-term nature. Cash equivalents and investments in commercial paper are classified as Level 2 within the fair value hierarchy (see Note 3 – Fair Value for further information). Significant unobservable inputs with respect to the fair value measurement of the Level 3 non-employee stock options and contingent consideration liabilities are developed using Company data. When an input is changed, the corresponding valuation models are updated and the results are analyzed for reasonableness. |
Description of Business and S27
Description of Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Description of Business and Summary of Significant Accounting Policies [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | 2015 2014 2013 Total accumulated other comprehensive (loss) income at beginning of period $ (348) $ (139) $ 77 Unrealized (losses) gains on investments Balance at beginning of period $ (54) $ (6) $ 1 Other comprehensive income (loss) before reclassifications 15 (48) (7) Amounts reclassified from accumulated other comprehensive income (loss) to other income — — — Balance at end of period $ (39) $ (54) $ (6) Foreign currency translation adjustment Balance at beginning of period $ (294) $ (133) $ 76 Other comprehensive income (loss) before reclassifications 156 362 (478) Amounts reclassified from accumulated other comprehensive income (loss) to other income (434) (523) 269 Balance at end of period $ (572) $ (294) $ (133) Total accumulated other comprehensive loss at end of period $ (611) $ (348) $ (139) |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value [Abstract] | |
Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis | In accordance with ASC 820, the following table represents the Company’s fair value hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2015: Quoted Prices in Active Significant Significant Markets for Other Other Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Assets: Money market funds $ — $ 18,572 $ — $ 18,572 U.S. government agencies and securities 1,590 — — 1,590 Corporate bonds — 16,930 — 16,930 Total assets $ 1,590 $ 35,502 $ — $ 37,092 Liabilities: Acquisition-related contingent consideration $ — $ — $ 40,207 $ 40,207 Total liabilities $ — $ — $ 40,207 $ 40,207 In accordance with ASC 820, the following table represents the Company’s fair value hierarchy for its financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2014: Quoted Prices in Active Significant Significant Markets for Other Other Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) Total Assets: Money market funds $ — $ 23,692 $ — $ 23,692 Commercial paper — 1,800 — 1,800 U.S. government agencies and securities 3,022 — — 3,022 Corporate bonds — 35,337 — 35,337 Total assets $ 3,022 $ 60,829 $ — $ 63,851 Liabilities: Derivative instruments $ — $ — $ 120 $ 120 Total liabilities $ — $ — $ 120 $ 120 |
Level 3 Fair Value Measurements Using Significant Other Unobservable Inputs for Derivative Instruments | 2015 2014 2013 Beginning Balance – January 1 $ 120 $ 350 $ 78 Total (gains) losses included in earnings 57 (183) 272 Exercises (177) (47) — Reclassification from equity to liability when fully vested — — — Ending Balance – December 31 $ — $ 120 $ 350 |
Level 3 Fair Value Measurements Using Significant Other Unobservable Inputs for Acquisition-Related Contingent Consideration | 2015 2014 2013 Beginning Balance – January 1 $ — $ 8,032 $ — Amounts acquired 40,207 — 8,032 Transfers in (out) of Level 3 — — — Changes in fair value included in earnings — (8,032) — Ending Balance – December 31 $ 40,207 $ — $ 8,032 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Investments [Abstract] | |
Summary of Short-term Investments | Investments as of December 31, 2015 consisted of the following: Unrealized Gains Cost Basis (Losses) Fair Value Corporate bonds $ 16,963 $ (33) $ 16,930 U.S. government agencies and securities 1,596 (6) 1,590 Total $ 18,559 $ (39) $ 18,520 Investments as of December 31, 2014 consisted of the following: Unrealized Gains Cost Basis (Losses) Fair Value Corporate bonds $ 35,389 $ (52) $ 35,337 U.S. government agencies and securities 3,024 (2) 3,022 Commercial paper 1,800 — 1,800 Total $ 40,213 $ (54) $ 40,159 |
Business Combination (Tables)
Business Combination (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Schedule of Components of Aggregate Purchase Price | Fair value of AtriCure common stock issued at closing $ 69,054 Cash 7,581 Fair value of contingent consideration liabilities 40,207 Total purchase price $ 116,842 |
Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed | October 13, 2015 Accounts receivable $ 1,450 Inventories 682 Other current assets 166 Property and equipment 311 Intangible assets 46,200 Other assets 7 Total identifiable assets $ 48,816 Accounts payable $ 256 Accrued liabilities 1,589 Total liabilities assumed $ 1,845 Net identifiable assets acquired $ 46,971 Goodwill 69,871 Total consideration $ 116,842 |
Valuation of Intangible Assets Acquired and Related Amortization Periods | Amortization Term Valuation (in years) SUBTLE access technology $ 2,179 5 IPR&D 44,021 Total $ 46,200 |
Pro-forma Acquisition Information | Year Ended December 31, (unaudited) 2015 2014 Revenue $ 137,882 $ 115,979 Net loss (30,745) (21,438) Basic and diluted net loss per share (0.99) (0.71) |
Intangible Assets And Goodwill
Intangible Assets And Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Intangible Assets And Goodwill [Abstract] | |
Company's Intangible Assets with Definite Lives | 2015 2014 Accumulated Accumulated Cost Amortization Cost Amortization Non-compete agreement $ 100 $ 100 $ 100 $ 93 Fusion technology 9,242 1,848 9,242 924 Clamp & probe technology 829 552 829 276 Estech trade name 208 208 208 208 SUBTLE access technology 2,179 96 — — IPR&D 44,021 — — — Total $ 56,579 $ 2,804 $ 10,379 $ 1,501 |
Future Amortization Expense Related to Intangible Assets with Definite Lives | 2016 $ 1,644 2017 1,367 2018 1,367 2019 1,367 2020 1,235 2021 and thereafter 2,774 Total $ 9,754 |
Summary of Company's Goodwill | Net carrying amount as of December 31, 2013 $ 35,386 Additions — Net carrying amount as of December 31, 2014 35,386 Additions 69,871 Net carrying amount as of December 31, 2015 $ 105,257 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Inventories [Abstract] | |
Summary Of Inventories | 2015 2014 Raw materials $ 6,159 $ 4,429 Work in process 974 1,397 Finished goods 10,526 8,431 Inventories $ 17,659 $ 14,257 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property and Equipment [Abstract] | |
Summary of Property and Equipment | 2015 2014 Building under capital lease $ 14,250 $ — Generators and other capital equipment 10,041 8,578 Computer and other office equipment 4,303 2,436 Furniture and fixtures 3,211 488 Machinery, equipment and vehicles 2,551 2,604 Leasehold improvements 2,151 329 Construction in progress 1,978 4,642 Equipment under capital leases 212 162 Total 38,697 19,239 Less accumulated depreciation (7,418) (7,687) Property and equipment, net $ 31,279 $ 11,552 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accrued Liabilities [Abstract] | |
Accrued Liabilities | 2015 2014 Accrued bonus $ 6,088 $ 4,915 Accrued commissions 6,061 4,477 Accrued payroll and employee-related expenses 4,021 2,281 Accrued taxes and value-added taxes payable 912 1,272 Other accrued liabilities 723 399 Accrued royalties 382 442 Sales returns allowance 207 135 Accrued non-employee stock options — 120 Total $ 18,394 $ 14,041 |
Indebtedness (Tables)
Indebtedness (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Indebtedness [Abstract] | |
Future Maturities on Capital Lease Obligations | 2016 $ 1,417 2017 1,425 2018 1,439 2019 1,457 2020 1,478 2021 and thereafter 15,894 Total payments $ 23,110 Imputed interest (8,950) Net capital lease obligations, of which $450 is current and $13,710 is noncurrent $ 14,160 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies [Abstract] | |
Future Minimum Lease Payments Under Non-cancelable Operating Leases | 2016 $ 934 2017 663 2018 724 2019 737 2020 556 2021 and thereafter 251 Total $ 3,865 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
Detail of Deferred Tax Assets and Liabilities | 2015 2014 Deferred tax assets (liabilities): Net operating loss carryforward $ 78,178 $ 49,921 Research and development and AMT credit carryforwards, net 5,677 4,799 Equity compensation 6,618 4,497 Accruals and reserves 539 536 Inventories 1,310 669 Intangible assets (16,953) (149) Property and equipment, net (1,740) (760) Other, net 53 41 Subtotal 73,682 59,554 Less valuation allowance (73,682) (59,554) Total $ — $ — |
Company's Provision for Income Taxes | 2015 2014 2013 Current income tax expense $ 36 $ 33 $ 18 Deferred tax benefit (8,507) (5,306) (3,728) Increase in valuation allowance 8,507 5,306 3,728 Total income tax expense $ 36 $ 33 $ 18 |
Difference Between Effective Income Tax Rates and Federal Statutory Rate | 2015 2014 2013 Federal tax at statutory rate 34.00 % $ (9,240) 34.00 % $ (5,501) 34.00 % $ (3,891) Federal R&D credit 3.23 (878) 2.32 (374) 3.35 (383) Valuation allowance (31.30) 8,507 (32.80) 5,306 (29.63) 3,391 State income taxes 1.38 (375) 2.68 (433) 0.04 (5) Foreign NOL rate change (2.02) 549 (4.29) 694 2.47 (283) Foreign tax rate differential (1.99) 542 (2.83) 458 (1.60) 183 Other (3.43) 931 0.72 (117) (8.79) 1,006 Effective tax rate (0.13) % $ 36 (0.20) % $ 33 (0.16) % $ 18 |
Reconciliation of Change in Federal and State Unrecognized Tax Benefits | 2015 2014 2013 Balance at the beginning of the year $ 1,982 $ 1,982 $ — Increases (decreases) for prior year tax positions — — 1,982 Increases (decreases) for current year tax positions — — — Increases (decreases) related to settlements — — — Decreases related to statute lapse — — — Balance at the end of the year $ 1,982 $ 1,982 $ 1,982 |
Equity Compensation Plans (Tabl
Equity Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Activity Under Stock Based Compensation Plans | Activity under the plans during 2015 was as follows: Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Time-Based Stock Options Outstanding Price Term Value Outstanding at January 1, 2015 2,762 $ 10.93 Granted 228 21.10 Cancelled or forfeited (13) 15.17 Exercised (243) 11.10 Outstanding at December 31, 2015 2,734 $ 11.75 6.15 $ 29,331 Vested and expected to vest 2,660 $ 11.57 6.09 $ 28,974 Exercisable at December 31, 2015 1,862 $ 9.94 5.28 $ 23,263 Weighted Number of Average Shares Grant Date Restricted Stock Outstanding Fair Value Outstanding at January 1, 2015 560 $ 16.33 Awarded 648 17.82 Forfeited (2) 17.76 Released (135) 15.78 Outstanding at December 31, 2015 1,071 $ 17.30 Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Performance Stock Options Outstanding Price Term Value Outstanding at January 1, 2015 450 $ 13.48 Granted — — Cancelled or forfeited — — Exercised — — Outstanding at December 31, 2015 450 $ 13.48 7.46 $ 4,034 Exercisable at December 31, 2015 250 $ 13.48 7.46 $ 2,241 Activity under the plans during 2014 was as follows: Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Time-Based Stock Options Outstanding Price Term Value Outstanding at January 1, 2014 2,423 $ 8.61 Granted 603 19.54 Cancelled or forfeited (49) 10.65 Exercised (215) 8.94 Outstanding at December 31, 2014 2,762 $ 10.93 6.54 $ 25,335 Vested and expected to vest 2,660 $ 10.81 6.46 $ 24,697 Exercisable at December 31, 2014 1,516 $ 8.85 4.86 $ 16,836 Weighted Number of Average Shares Grant Date Restricted Stock Outstanding Fair Value Outstanding at January 1, 2014 248 $ 7.75 Awarded 391 20.25 Forfeited (1) 9.15 Released (78) 8.79 Outstanding at December 31, 2014 560 $ 16.33 Weighted Weighted Average Number of Average Remaining Aggregate Shares Exercise Contractual Intrinsic Performance Stock Options Outstanding Price Term Value Outstanding at January 1, 2014 225 $ 5.91 Granted 225 21.04 Cancelled or forfeited — — Exercised — — Outstanding at December 31, 2014 450 $ 13.48 8.50 $ 3,161 Exercisable at December 31, 2014 250 $ 13.48 8.50 $ 1,756 |
Share-Based Compensation Expense Related to Employee Share-Based Compensation | 2015 2014 2013 Cost of revenue $ 416 $ 335 $ 246 Research and development expenses 1,373 937 230 Selling, general and administrative expenses 7,208 6,299 2,604 Total $ 8,997 $ 7,571 $ 3,080 |
Assumptions Used for Determining Fair Value of Options | 2015 2014 2013 Risk-free interest rate 1.30 - 1.96 % 1.56 - 2.12 % 0.75 - 2.29 % Expected life of option (years) 5.20 to 6.89 5.31 to 6.72 5.38 to 7.14 Expected volatility of stock 46.00 - 67.00 % 47.00 - 70.00 % 69.00 % Weighted-average volatility 54.75 % 69.19 % 69.00 % Dividend yield 0.00 % 0.00 % 0.00 % |
Weighted Average Estimated Grant Date Fair Value Per Share of Stock Options and Restricted Stock Granted | 2015 2014 2013 Stock options $ 11.12 $ 12.33 $ 5.70 Restricted stock 17.82 20.25 9.35 |
Estimated Grant Date Fair Value Per Share of Performance Options Granted | Price Fair Value of Fair Value of Target 2012 Grant 2014 Grant Tranche 1 $ 10.00 $ 4.32 $ 14.74 Tranche 2 12.50 4.30 14.74 Tranche 3 15.00 4.27 14.74 Tranche 4 17.50 4.23 14.74 Tranche 5 20.00 4.19 14.73 Tranche 6 25.00 4.10 14.73 Tranche 7 30.00 4.01 14.71 Tranche 8 35.00 3.92 14.67 Tranche 9 40.00 3.83 14.61 |
Performance Shares [Member] | |
Assumptions Used for Determining Fair Value of Options | 2015 2014 2013 Strike price $ 5.91 - 21.04 $ 5.91 - 21.04 $ 5.91 Contractual term (years) 10.00 10.00 10.00 Expected volatility of stock 60.50 - 69.60 % 60.50 - 69.60 % 69.60 % Interest rate 1.75 - 2.73 % 1.75 - 2.73 % 1.75 % Dividend yield 0.00 % 0.00 % 0.00 % |
Segment and Geographic Inform39
Segment and Geographic Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment and Geographic Information [Abstract] | |
Revenue by Geographic Area | 2015 2014 2013 Revenue: United States $ 102,212 $ 80,203 $ 62,311 Europe 17,180 18,163 11,384 Asia 9,510 8,552 7,665 Other international 853 536 529 Total international 27,543 27,251 19,578 Total revenue $ 129,755 $ 107,454 $ 81,889 |
Revenue by Product Type | Domestic revenue by product type was as follows: 2015 2014 2013 Revenue: Open-heart ablation $ 53,541 $ 44,662 $ 37,843 Minimally invasive ablation 21,564 16,050 13,648 AtriClip 24,377 16,675 10,820 Total ablation and AtriClip 99,482 77,387 62,311 Valve tools 2,730 2,816 — Total domestic $ 102,212 $ 80,203 $ 62,311 International revenue by product type was as follows: 2015 2014 2013 Revenue: Open-heart ablation $ 16,287 $ 16,445 $ 13,064 Minimally invasive ablation 7,964 7,881 5,354 AtriClip 2,868 2,158 1,160 Total ablation and AtriClip 27,119 26,484 19,578 Valve tools 424 767 — Total international $ 27,543 $ 27,251 $ 19,578 |
Selected Quarterly Financial 40
Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Selected Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Information | For the Three Months Ended March 31, June 30, September 30, December 31, 2015 2014 2015 2014 2015 2014 2015 2014 Operating Results: Revenue $ 29,886 $ 24,847 $ 32,583 $ 26,514 $ 31,423 $ 26,678 $ 35,863 $ 29,415 Gross profit 21,735 17,657 23,117 18,781 22,478 18,892 25,545 20,420 Loss from operations (5,144) (7,925) (4,819) (2,853) (6,127) (803) (10,630) (4,779) Net loss (5,266) (7,709) (4,891) (2,692) (6,141) (466) (10,914) (5,344) Net loss per share (basic and diluted) $ (0.19) $ (0.31) $ (0.18) $ (0.10) $ (0.22) $ (0.02) $ (0.36) $ (0.20) |
Description of Business and S41
Description of Business and Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Description Of Business And Significant Accounting Policies [Line Items] | |||
Shipping and handling revenue | $ 1,056 | $ 952 | $ 786 |
Payment terms for end-users | 30 days | ||
Payment terms for distributors | 60 days | ||
Grant income | $ 35 | 731 | 0 |
Income (expense) related to remeasurement of fair value of fully vested stock options | 57 | (183) | (272) |
Company's expense related to the medical device excise tax | $ 667 | $ 592 | $ 417 |
Options, restricted stock and performance based shares excluded from calculation of net loss per share | 4,255 | 3,772 | 2,721 |
Share-based compensation expense recognized | $ 8,997 | $ 7,571 | $ 3,080 |
Subsidiaries [Member] | |||
Description Of Business And Significant Accounting Policies [Line Items] | |||
Foreign currency transaction (losses) gains | $ (339) | $ (523) | $ 269 |
Computer and Other Office Equipment [Member] | |||
Description Of Business And Significant Accounting Policies [Line Items] | |||
Estimated useful life by major asset category | 3 years | ||
Minimum [Member] | Generators and Other Capital Equipment, Machinery, Equipment and Vehicles [Member] | |||
Description Of Business And Significant Accounting Policies [Line Items] | |||
Estimated useful life by major asset category | 3 years | ||
Minimum [Member] | Furniture and Fixtures [Member] | |||
Description Of Business And Significant Accounting Policies [Line Items] | |||
Estimated useful life by major asset category | 3 years | ||
Maximum [Member] | |||
Description Of Business And Significant Accounting Policies [Line Items] | |||
Maturity period of short term investment | 1 year | ||
Maximum [Member] | Generators and Other Capital Equipment, Machinery, Equipment and Vehicles [Member] | |||
Description Of Business And Significant Accounting Policies [Line Items] | |||
Estimated useful life by major asset category | 7 years | ||
Maximum [Member] | Furniture and Fixtures [Member] | |||
Description Of Business And Significant Accounting Policies [Line Items] | |||
Estimated useful life by major asset category | 7 years |
Description of Business and S42
Description of Business and Summary of Significant Accounting Policies (Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total accumulated other comprehensive (loss) income, at beginning of period | $ (348) | $ (139) | $ 77 |
Total accumulated other comprehensive (loss) income, at end of period | (611) | (348) | (139) |
Unrealized (Losses) Gains on Investments [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total accumulated other comprehensive (loss) income, at beginning of period | (54) | (6) | 1 |
Other comprehensive income (loss) before reclassifications | 15 | (48) | (7) |
Total accumulated other comprehensive (loss) income, at end of period | (39) | (54) | (6) |
Foreign Currency Translation Adjustment [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total accumulated other comprehensive (loss) income, at beginning of period | (294) | (133) | 76 |
Other comprehensive income (loss) before reclassifications | 156 | 362 | (478) |
Amounts reclassified from accumulated other comprehensive income (loss) to other income | (434) | (523) | 269 |
Total accumulated other comprehensive (loss) income, at end of period | $ (572) | $ (294) | $ (133) |
Fair Value (Narrative) (Details
Fair Value (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Estech [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Acquisition-related contingent consideration | $ 8,032 | ||
Significant Other Unobservable Inputs (Level 3) [Member] | Estech [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Acquisition-related contingent consideration | $ 0 | 0 | $ 8,032 |
Significant Other Unobservable Inputs (Level 3) [Member] | nContact Surgical [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Acquisition-related contingent consideration | $ 40,207 | ||
Minimum [Member] | nContact Surgical [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Entitled sales-based contingent consideration on revenue in excess of annual growth through 2019 | 25.00% | ||
Maximum [Member] | Estech [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Acquisition-related contingent consideration | $ 26,000 | $ 26,000 | |
Maximum [Member] | nContact Surgical [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Acquisition-related contingent consideration | $ 50,000 |
Fair Value (Financial Assets an
Fair Value (Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Assets: | ||
Total assets | $ 37,092 | $ 63,851 |
Liabilities: | ||
Derivative instruments | 120 | |
Acquisition-related contingent consideration | 40,207 | |
Total liabilities | 40,207 | 120 |
Money Market Funds [Member] | ||
Assets: | ||
Total assets | 18,572 | 23,692 |
Commercial Paper [Member] | ||
Assets: | ||
Total assets | 1,800 | |
U.S. Government Agencies and Securities [Member] | ||
Assets: | ||
Total assets | 1,590 | 3,022 |
Corporate Bonds [Member] | ||
Assets: | ||
Total assets | 16,930 | 35,337 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Assets: | ||
Total assets | 1,590 | 3,022 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | U.S. Government Agencies and Securities [Member] | ||
Assets: | ||
Total assets | 1,590 | 3,022 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets: | ||
Total assets | 35,502 | 60,829 |
Significant Other Observable Inputs (Level 2) [Member] | Money Market Funds [Member] | ||
Assets: | ||
Total assets | 18,572 | 23,692 |
Significant Other Observable Inputs (Level 2) [Member] | Commercial Paper [Member] | ||
Assets: | ||
Total assets | 1,800 | |
Significant Other Observable Inputs (Level 2) [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Total assets | 16,930 | 35,337 |
Significant Other Unobservable Inputs (Level 3) [Member] | ||
Liabilities: | ||
Derivative instruments | 120 | |
Acquisition-related contingent consideration | 40,207 | |
Total liabilities | $ 40,207 | $ 120 |
Fair Value (Level 3 Fair Value
Fair Value (Level 3 Fair Value Measurements Using Significant Other Unobservable Inputs for Derivative Instruments) (Details) - Significant Other Unobservable Inputs (Level 3) [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance – January 1 | $ 120 | $ 350 | $ 78 |
Total (gains) losses included in earnings | 57 | (183) | $ 272 |
Exercises | $ (177) | $ (47) | |
Reclassification from equity to liability when fully vested | |||
Ending Balance – December 31 | $ 120 | $ 350 |
Fair Value (Level 3 Fair Valu46
Fair Value (Level 3 Fair Value Measurements Using Significant Other Unobservable Inputs for Acquisition-Related Contingent Consideration) (Details) - Significant Other Unobservable Inputs (Level 3) [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance – January 1 | $ 8,032 | ||
Amounts acquired | $ 40,207 | $ 8,032 | |
Changes in fair value included in earnings | $ (8,032) | ||
Ending Balance – December 31 | $ 40,207 | $ 8,032 |
Investments (Narrative) (Detail
Investments (Narrative) (Details) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Minimum [Member] | ||
Investment [Line Items] | ||
Long term marketable debt securities maturity period | 1 year | 1 year |
Maximum [Member] | ||
Investment [Line Items] | ||
Long term marketable debt securities maturity period | 2 years | 2 years |
Investments (Summary Of Short-t
Investments (Summary Of Short-term Investments) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Investment [Line Items] | ||
Short-term investments, Cost Basis | $ 18,559 | $ 40,213 |
Short-term investment, Unrealized gains (losses) | (39) | (54) |
Short-term investments, Fair value | 18,520 | 40,159 |
Corporate Bonds [Member] | ||
Investment [Line Items] | ||
Short-term investments, Cost Basis | 16,963 | 35,389 |
Short-term investment, Unrealized gains (losses) | (33) | (52) |
Short-term investments, Fair value | 16,930 | 35,337 |
U.S. Government Agencies and Securities [Member] | ||
Investment [Line Items] | ||
Short-term investments, Cost Basis | 1,596 | 3,024 |
Short-term investment, Unrealized gains (losses) | (6) | (2) |
Short-term investments, Fair value | $ 1,590 | 3,022 |
Commercial Paper [Member] | ||
Investment [Line Items] | ||
Short-term investments, Cost Basis | 1,800 | |
Short-term investments, Fair value | $ 1,800 |
Business Combinations (Narrativ
Business Combinations (Narrative) (Details) - USD ($) shares in Thousands, $ in Thousands | Oct. 14, 2015 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Business Combination Transactions [Line Items] | ||||||||||||
Consideration paid to former shareholders | $ 7,581 | |||||||||||
Revenues | $ 35,863 | $ 31,423 | $ 32,583 | $ 29,886 | $ 29,415 | $ 26,678 | $ 26,514 | $ 24,847 | 129,755 | $ 107,454 | $ 81,889 | |
Contingent consideration on acquisition, change in value | (8,032) | |||||||||||
nContact Surgical [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Consideration payment, value | 69,054 | |||||||||||
Consideration paid to former shareholders | 7,581 | |||||||||||
Revenues | $ 2,192 | |||||||||||
Acquisition related costs | 2,489 | |||||||||||
Business acquisition, net operating loss carryforwards | 59,000 | $ 59,000 | ||||||||||
Business acquisition, net operating loss carryforwards, expiration date | 2,025 | |||||||||||
nContact Surgical [Member] | Bank Fees and Expenses [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Acquisition related costs | $ 1,767 | |||||||||||
nContact Surgical [Member] | Legal, Audit, Tax and Other Costs [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Acquisition related costs | $ 722 | |||||||||||
nContact Surgical [Member] | Minimum [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Discount rate on probablity of achievement of milestone | 3.00% | |||||||||||
nContact Surgical [Member] | Maximum [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Contingent liability consideration | 50,000 | $ 50,000 | ||||||||||
Discount rate on probablity of achievement of milestone | 14.00% | |||||||||||
nContact Surgical [Member] | Common Stock [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Consideration payment, shares | 3,757 | |||||||||||
nContact Surgical [Member] | Common Stock [Member] | Maximum [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Consideration payment, shares | 5,660 | |||||||||||
nContact Surgical [Member] | Trial Enrollment Milestone [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Contingent liability consideration | 7,500 | $ 7,500 | ||||||||||
Milestone payment period due, maximum | 30 days | |||||||||||
nContact Surgical [Member] | Regulatory Milestone [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Contingent liability consideration | $ 42,500 | $ 42,500 | ||||||||||
Milestone consideration due date | Jan. 1, 2020 | |||||||||||
Milestone payment period due, maximum | 30 days | |||||||||||
nContact Surgical [Member] | Regulatory Milestone [Member] | Minimum [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Potential contingent consideration reduction percentage, monthly | 8.33% | |||||||||||
Date of potential contingent consideration reduction | Jan. 1, 2020 | |||||||||||
nContact Surgical [Member] | Regulatory Milestone [Member] | Maximum [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Potential contingent consideration reduction percentage, monthly | 0.00% | |||||||||||
Date of potential contingent consideration reduction | Dec. 31, 2020 | |||||||||||
nContact Surgical [Member] | Commercial Milestone [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Target revenue percentage, 2016 through 2019 | 25.00% | |||||||||||
Multiplier of contingent consideration of revenues in excess of target percentage | 1.5 | |||||||||||
Milestone payment period due, maximum | 65 days | |||||||||||
Estech [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Acquisition of shares and voting interest | 100.00% | 100.00% | ||||||||||
Consideration related to earnout calculation | 26,000 | |||||||||||
Contingent liability consideration | 8,032 | 8,032 | ||||||||||
Contingent consideration on acquisition, change in value | (8,032) | |||||||||||
Estech [Member] | Maximum [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Contingent liability consideration | $ 26,000 | 26,000 | $ 26,000 | 26,000 | ||||||||
Estech [Member] | Estech Milestones [Member] | ||||||||||||
Business Combination Transactions [Line Items] | ||||||||||||
Contingent liability consideration | $ 0 | $ 0 | $ 0 | $ 0 |
Business Combinations (Schedule
Business Combinations (Schedule of Components of Aggregate Purchase Price) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Business Acquisition [Line Items] | |
Cash | $ 7,581 |
nContact Surgical [Member] | |
Business Acquisition [Line Items] | |
Fair value of AtriCure common stock issued at closing | 69,054 |
Cash | 7,581 |
Fair value of contingent consideration liabilities | 40,207 |
Total purchase price | $ 116,842 |
Business Combinations (Summary
Business Combinations (Summary Of Estimated Fair Values Of Assets Acquired And Liabilities Assumed) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Business Acquisition [Line Items] | |||
Goodwill | $ 105,257 | $ 35,386 | $ 35,386 |
nContact Surgical [Member] | |||
Business Acquisition [Line Items] | |||
Accounts receivable | 1,450 | ||
Inventories | 682 | ||
Other current assets | 166 | ||
Property and equipment, net | 311 | ||
Intangible assets, net | 46,200 | ||
Other assets | 7 | ||
Total identifiable assets | 48,816 | ||
Accounts payable | 256 | ||
Accrued liabilities | 1,589 | ||
Total liabilities assumed | 1,845 | ||
Net identifiable assets acquired | 46,971 | ||
Goodwill | 69,871 | ||
Total purchase price/consideration | $ 116,842 |
Business Combinations (Summar52
Business Combinations (Summary Of Valuation Of Intangible Assets Acquired And Related Amortization Periods) (Details) - nContact Surgical [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | $ 46,200 |
SUBTLE Access Technology [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | $ 2,179 |
Intangible assets amortization period | 5 years |
IPR&D [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | $ 44,021 |
Business Combinations (Summar53
Business Combinations (Summary Of Pro Forma Acquisition Information) (Details) - nContact Surgical [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Business Acquisition Pro Forma Information [Line Items] | ||
Revenue | $ 137,882 | $ 115,979 |
Net loss | $ (30,745) | $ (21,438) |
Basic and diluted net loss per share | $ (0.99) | $ (0.71) |
Intangible Assets And Goodwil54
Intangible Assets And Goodwill (Narative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Intangible Assets And Goodwill [Abstract] | |||
Amortization of intangible assets | $ 1,303 | $ 1,421 | $ 12 |
Intangible Assets And Goodwil55
Intangible Assets And Goodwill (Company's Intangible Assets with Definite Lives) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Cost | $ 56,579 | $ 10,379 |
Accumulated Amortization | 2,804 | 1,501 |
Non-Compete Agreement [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 100 | 100 |
Accumulated Amortization | 100 | 93 |
Fusion Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 9,242 | 9,242 |
Accumulated Amortization | 1,848 | 924 |
Clamp and Probe Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 829 | 829 |
Accumulated Amortization | 552 | 276 |
Estech Trade Name [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 208 | 208 |
Accumulated Amortization | 208 | $ 208 |
SUBTLE Access Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 2,179 | |
Accumulated Amortization | 96 | |
IPR&D [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | $ 44,021 |
Intangible Assets And Goodwil56
Intangible Assets And Goodwill (Future Amortization Expense Related to Intangible Assets with Definite Lives) (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Intangible Assets And Goodwill [Abstract] | |
2,016 | $ 1,644 |
2,017 | 1,367 |
2,018 | 1,367 |
2,019 | 1,367 |
2,020 | 1,235 |
2021 and thereafter | 2,774 |
Total | $ 9,754 |
Intangible Assets And Goodwil57
Intangible Assets And Goodwill (Summary Of Company's Goodwill) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Intangible Assets And Goodwill [Abstract] | |
Goodwill, Beginning Balance | $ 35,386 |
Additions | 69,871 |
Goodwill, Ending Balance | $ 105,257 |
Inventories (Summary Of Invento
Inventories (Summary Of Inventories) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Inventories [Abstract] | ||
Raw materials | $ 6,159 | $ 4,429 |
Work in process | 974 | 1,397 |
Finished goods | 10,526 | 8,431 |
Inventories | $ 17,659 | $ 14,257 |
Property And Equipment (Narrati
Property And Equipment (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 4,975 | $ 3,353 | $ 2,008 |
Net carrying amount of loaned equipment | 31,279 | 11,552 | |
Generators and Other Capital Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Depreciation | 2,944 | 2,172 | $ 1,251 |
Net carrying amount of loaned equipment | $ 5,447 | 4,141 | |
Construction in Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Cost on construction of headquarters building | $ 4,234 |
Property And Equipment (Summary
Property And Equipment (Summary Of Property And Equipment) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 38,697 | $ 19,239 |
Less accumulated depreciation | (7,418) | (7,687) |
Property, and equipment, net | 31,279 | 11,552 |
Building under Capital Lease [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 14,250 | |
Generators and Other Capital Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 10,041 | 8,578 |
Property, and equipment, net | 5,447 | 4,141 |
Computer and Other Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 4,303 | 2,436 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 3,211 | 488 |
Machinery, Equipment and Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 2,551 | 2,604 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 2,151 | 329 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,978 | 4,642 |
Equipment under Capital Leases [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 212 | $ 162 |
Accrued Liabilities (Accrued Li
Accrued Liabilities (Accrued Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Accrued Liabilities [Abstract] | ||
Accrued bonus | $ 6,088 | $ 4,915 |
Accrued commissions | 6,061 | 4,477 |
Accrued payroll and employee-related expenses | 4,021 | 2,281 |
Accrued taxes and value-added taxes payable | 912 | 1,272 |
Other accrued liabilities | 723 | 399 |
Accrued royalties | 382 | 442 |
Sales returns allowance | 207 | 135 |
Accrued non-employee stock options | 120 | |
Total | $ 18,394 | $ 14,041 |
Indebtedness (Narrative) (Detai
Indebtedness (Narrative) (Details) € in Thousands, $ in Thousands | Mar. 31, 2015USD ($) | Mar. 30, 2015USD ($) | Dec. 31, 2015USD ($)ft²loan | Dec. 31, 2014EUR (€) |
Line of Credit Facility [Line Items] | ||||
Cost of assets under lease | $ 14,462 | |||
Accumulated amortization on the capital leases | 349 | |||
Silicon Valley Bank Agreement [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Amount required in cash and investments before additional covenants apply, maximum | 20,000 | |||
Silicon Valley Bank Agreement [Member] | Letter of Credit [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Letters of credit, outstanding maximum limit | $ 2,000 | $ 1,000 | ||
Silicon Valley Bank Agreement [Member] | Revolving Credit Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Line of credit, maximum borrowing capacity | $ 15,000 | |||
Credit facility maturity date | Apr. 30, 2018 | Apr. 30, 2016 | Apr. 30, 2018 | |
Line of credit, outstanding | $ 0 | |||
Line of credit, availability | $ 14,559 | |||
Applicable interest rate | 3.50% | |||
Number of covenants applied | loan | 0 | |||
In occurence of default resulting increase in applicable interest rate | 3.00% | |||
Corporate Credit Card [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Credit facility maturity date | Jun. 30, 2015 | |||
Letter of credit outstanding | € | € 75 | |||
Computer And Office Equipment [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Capital lease expiration year | 2,030 | |||
Mason Lease [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Area of lease | ft² | 92 | |||
Lease term beginning | 2015-10 | |||
Lease term period | 15 years | |||
Number of renewal options | loan | 3 | |||
Lease renewal option period | 5 years | |||
Initial annual base rent | $ 1,353 | |||
Lease rate increase, percentage | 2.00% | |||
Mason Lease [Member] | Letter of Credit [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Letter of credit outstanding | $ 1,250 | |||
Mason Lease [Member] | Leasehold Improvements [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Leases payable, amount | $ 750 |
Indebtedness (Future Maturities
Indebtedness (Future Maturities on Capital Lease Obligations) (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Indebtedness [Abstract] | |
2,016 | $ 1,417 |
2,017 | 1,425 |
2,018 | 1,439 |
2,019 | 1,457 |
2,020 | 1,478 |
2021 and thereafter | 15,894 |
Total payments | 23,110 |
Imputed interest | (8,950) |
Net capital lease obligations , of which $450 is current and $13,710 is noncurrent | 14,160 |
Net capital lease obligations, current | 450 |
Net capital lease obligations, noncurrent | $ 13,710 |
Commitments and Contingencies64
Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Commitments and Contingencies [Line Items] | |||
Operating lease rent expense | $ 1,515 | $ 1,331 | $ 870 |
Royalty expense | 1,799 | 1,322 | $ 962 |
Settlement agreement payments (including interest) | $ 4,350 | ||
Liability related settlement current | $ 0 | ||
Obligations period under Corporate Integrity Agreement | 5 years | ||
Minimum [Member] | |||
Commitments and Contingencies [Line Items] | |||
Royalty rates | 0.75% | ||
Royalty payments, quarterly | $ 50 | ||
Royalty agreement term | 3 years | ||
Maximum [Member] | |||
Commitments and Contingencies [Line Items] | |||
Royalty rates | 5.00% | ||
Royalty payments, quarterly | $ 2,000 | ||
Royalty agreement term | 20 years | ||
Office, Manufacturing, Warehouse Facilities, And Equipment [Member] | |||
Commitments and Contingencies [Line Items] | |||
Operating leases expire at various terms | Dec. 31, 2021 |
Commitments and Contingencies65
Commitments and Contingencies (Schedule Of Future Minimum Lease Payments Under Non-cancelable Operating Leases (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Commitments and Contingencies [Abstract] | |
2,016 | $ 934 |
2,017 | 663 |
2,018 | 724 |
2,019 | 737 |
2,020 | 556 |
2021 and thereafter | 251 |
Total | $ 3,865 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Contingency [Line Items] | |||
Research and development credit carryforward | $ 5,677 | $ 4,799 | |
Pre-tax book loss for domestic operations | (21,157) | (11,085) | $ (9,409) |
Pre-tax book loss for international operations | (6,019) | (5,093) | (2,035) |
Unrecognized deferred tax assets | 5,790 | ||
Unrecognized tax benefits | $ 0 | $ 0 | 0 |
Unrecognized tax benefits, increase resulting from prior period tax positions | $ 1,982 | ||
Federal [Member] | |||
Income Tax Contingency [Line Items] | |||
Operating loss carryforward | $ 205,278 | ||
Operating loss carryforward, expiration year | 2,021 | ||
Research and development credit carryforward | $ 5,575 | ||
Federal research and development credit credit carry forward expiry | 2,022 | ||
State [Member] | |||
Income Tax Contingency [Line Items] | |||
Operating loss carryforward | $ 136,323 | ||
Foreign [Member] | |||
Income Tax Contingency [Line Items] | |||
Operating loss carryforward | 17,919 | ||
Operating loss carryforward, amount expiring in 2016 | $ 970 | ||
Operating loss carryforward, expiration year | 2,016 | ||
Minimum [Member] | State [Member] | |||
Income Tax Contingency [Line Items] | |||
State Operating loss carryforward expiry date | 5 years | ||
Maximum [Member] | State [Member] | |||
Income Tax Contingency [Line Items] | |||
State Operating loss carryforward expiry date | 20 years |
Income Taxes (Summary Of Detail
Income Taxes (Summary Of Detail Of Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets (liabilities): | ||
Net operating loss carryforward | $ 78,178 | $ 49,921 |
Research and development and AMT credit carryforwards, net | 5,677 | 4,799 |
Equity compensation | 6,618 | 4,497 |
Accruals and reserves | 539 | 536 |
Inventories | 1,310 | 669 |
Intangible assets | (16,953) | (149) |
Property and equipment, net | (1,740) | (760) |
Other, net | 53 | 41 |
Subtotal | 73,682 | 59,554 |
Less valuation allowance | $ (73,682) | $ (59,554) |
Total |
Income Taxes (Summary Of Compan
Income Taxes (Summary Of Company's Provision For Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Abstract] | |||
Current income tax expense | $ 36 | $ 33 | $ 18 |
Deferred tax benefit | (8,507) | (5,306) | (3,728) |
Increase in valuation allowance | 8,507 | 5,306 | 3,728 |
Total income tax expense | $ 36 | $ 33 | $ 18 |
Income Taxes (Summary Of Differ
Income Taxes (Summary Of Difference Between Effective Income Tax Rates And Federal Statutory Rate) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Abstract] | |||
Federal tax at statutory rate | 34.00% | 34.00% | 34.00% |
Federal R&D credit | 3.23% | 2.32% | 3.35% |
Valuation allowance | (31.30%) | (32.80%) | (29.63%) |
State income taxes | 1.38% | 2.68% | 0.04% |
Foreign NOL rate change | (2.02%) | (4.29%) | 2.47% |
Foreign tax rate differential | (1.99%) | (2.83%) | (1.60%) |
Other | (3.43%) | 0.72% | (8.79%) |
Effective tax rate, Total | (0.13%) | (0.20%) | (0.16%) |
Federal tax at statutory rate | $ (9,240) | $ (5,501) | $ (3,891) |
Federal R&D credit | (878) | (374) | (383) |
Valuation allowance | 8,507 | 5,306 | 3,391 |
State income taxes | (375) | (433) | (5) |
Foreign NOL rate change | 549 | 694 | (283) |
Foreign tax rate differential | 542 | 458 | 183 |
Other | 931 | (117) | 1,006 |
Total income tax expense | $ 36 | $ 33 | $ 18 |
Income Taxes (Summary Of Reconc
Income Taxes (Summary Of Reconciliation Of Change In Federal And State Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Abstract] | |||
Balance at the beginning of the year | $ 1,982 | $ 1,982 | |
Increases (decreases) for prior year tax positions | $ 1,982 | ||
Increases (decreases) for current year tax positions | |||
Increases (decreases) related to settlements | |||
Decreases related to statute lapse | |||
Balance at the end of the year | $ 1,982 | $ 1,982 | $ 1,982 |
Concentrations (Narrative) (Det
Concentrations (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015USD ($)customer | Dec. 31, 2014 | Dec. 31, 2013 | |
Concentration Risk [Line Items] | |||
Number of customers | customer | 10 | ||
Cash and cash equivalents balance in excess of FDIC limits | $ | $ 23,608 | ||
Net Revenue [Member] | |||
Concentration Risk [Line Items] | |||
Percentage representation of significant customer | 12.90% | 13.60% | 20.40% |
Customer Concentration Risk [Member] | Net Revenue [Member] | |||
Concentration Risk [Line Items] | |||
Percentage representation of significant customer | 10.00% |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Employee Benefit Plans [Abstract] | |||
Employee contribution percent | 50.00% | 50.00% | 50.00% |
Maximum percentage of employee contribution to the plan | 6.00% | 6.00% | 6.00% |
Company's matching contribution | $ 1,007,000 | $ 807,000 | $ 606,000 |
Discretionary contributions made | 0 | 0 | 0 |
Total contributions to retirement plan | $ 133,000 | $ 176,000 | $ 176,000 |
Equity Compensation Plans (Narr
Equity Compensation Plans (Narrative) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jan. 31, 2014 | Nov. 30, 2012 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Total intrinsic value of options exercised | $ 2,740 | $ 2,311 | $ 951 | ||
Tax benefit recognized | 0 | 0 | 0 | ||
Proceeds from stock option exercises | 2,703 | 1,916 | 1,718 | ||
Share-based compensation expense recognized | 8,997 | 7,571 | 3,080 | ||
Unrecognized compensation costs related to non-vested share-based compensation arrangements with performance shares | 21,181 | ||||
Recognized expense related to performance options | $ 8,997 | 7,571 | 3,080 | ||
2001 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Expiry of options from the date of grant | 10 years | ||||
2005 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Expiry of options from the date of grant | 10 years | ||||
2014 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Expiry of options from the date of grant | 10 years | ||||
Common stock reserved for issuance | 8,949 | ||||
Common stock authorized for issuance | 1,300 | ||||
Shares available for future grants under plans | 1,372 | ||||
2008 Employee Stock Purchase Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense recognized | $ 379 | 421 | 319 | ||
Company's common stock may be purchased at a discount | 15.00% | ||||
Participants purchase limit value | $ 25 | ||||
Description of participants purchase limit | Participants may not purchase more than $25 of the Company's common stock in a calendar year and, effective January 1, 2014, may not purchase a value of more than 3 shares during an offering period. | ||||
Participants purchase limit shares | 3 | ||||
Offering period | 6 months | ||||
Shares available for sale under the ESPP increased | 2.00% | ||||
Outstanding shares of common stock exceed | 600 | ||||
Shares available for future issuance under the ESPP | 491 | ||||
Employee Stock Option [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted average period of recognizing cost | 2 years | ||||
Stock options compensation costs | $ 7,375 | ||||
Employee Stock Option [Member] | 2005 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercisable period beginning | 3 years | ||||
Employee Stock Option [Member] | 2014 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercisable period beginning | 3 years | ||||
Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted average period of recognizing cost | 2 years 7 months 6 days | ||||
Total fair value of restricted stock vested | $ 2,767 | $ 1,434 | 1,442 | ||
Unrecognized compensation costs related to non-vested performance options | $ 13,806 | ||||
Performance options awarded to President and CEO | 648 | 391 | |||
Restricted Stock [Member] | 2005 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 4 years | ||||
Restricted Stock [Member] | 2014 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 4 years | ||||
Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Expiry of options from the date of grant | 10 years | ||||
Recognized expense related to performance options | $ 546 | $ 1,767 | 272 | ||
Unrecognized compensation costs related to non-vested performance options | $ 313 | ||||
Performance options awarded to President and CEO | 225 | 225 | |||
Number of shares options vest in | 25 | ||||
Period of considering closing price of common stock | 30 days | ||||
Time Based Stock Options and Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense recognized | $ 8,072 | $ 5,383 | $ 2,489 | ||
First Anniversary Date Of Grant [Member] | Employee Stock Option [Member] | 2005 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage | 25.00% | ||||
First Anniversary Date Of Grant [Member] | Employee Stock Option [Member] | 2014 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage | 25.00% | ||||
Four Years From Date Of Grant [Member] | Restricted Stock [Member] | 2005 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage | 25.00% | ||||
Four Years From Date Of Grant [Member] | Restricted Stock [Member] | 2014 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage | 25.00% | ||||
Tranche 1 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | $ 10 | ||||
Tranche 2 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | 12.50 | ||||
Tranche 3 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | 15 | ||||
Tranche 4 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | 17.50 | ||||
Tranche 5 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | 20 | ||||
Tranche 6 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | 25 | ||||
Tranche 7 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | 30 | ||||
Tranche 8 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | 35 | ||||
Tranche 9 [Member] | Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Price by which volume adjusted weighted average closing price exceeds under vesting condition | $ 40 | ||||
Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted average period of recognizing cost | 3 months | ||||
Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted average period of recognizing cost | 2 years 18 days |
Equity Compensation Plans (Acti
Equity Compensation Plans (Activity Under Stock Based Compensation Plans) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Beginning balance, Number of Shares Outstanding, Stock Options | 2,762 | 2,423 | |
Granted, Number of Shares Outstanding, Stock Options | 228 | 603 | |
Cancelled or forfeited, Number of Shares Outstanding, Stock Options | (13) | (49) | |
Exercised, Number of Shares Outstanding, Stock Options | (243) | (215) | |
Ending balance, Number of Shares Outstanding, Stock Options | 2,734 | 2,762 | 2,423 |
Vested and expected to vest, Number of Shares Outstanding, Stock Options | 2,660 | 2,660 | |
Exercisable, Ending balance, Number of Shares Outstanding, Stock Options | 1,862 | 1,516 | |
Beginning balance, Weighted Average Exercise Price, Stock Options | $ 10.93 | $ 8.61 | |
Granted, Weighted Average Exercise Price, Stock Options | 21.10 | 19.54 | |
Cancelled or forfeited, Weighted Average Exercise Price, Stock Options | 15.17 | 10.65 | |
Exercised, Weighted Average Exercise Price, Stock Options | 11.10 | 8.94 | |
Ending balance, Weighted Average Exercise Price, Stock Options | 11.75 | 10.93 | $ 8.61 |
Vested And expected to vest, Weighted Average Exercise Price, Stock Options | 11.57 | 10.81 | |
Exercisable, Ending balance, Weighted Average Exercise Price, Stock Options | $ 9.94 | $ 8.85 | |
Outstanding, Ending balance, Weighted Average Remaining Contractual Term, Stock Options | 6 years 1 month 24 days | 6 years 6 months 15 days | |
Vested and expected to vest, Weighted Average Remaining Contractual Term, Stock Options | 6 years 1 month 2 days | 6 years 5 months 16 days | |
Exercisable, Ending balance, Weighted Average Remaining Contractual Term, Stock Options | 5 years 3 months 11 days | 4 years 10 months 10 days | |
Outstanding, Ending balance, Aggregate Intrinsic Value, Stock Options | $ 29,331 | $ 25,335 | |
Vested and expected to vest, Aggregate Intrinsic Value, Stock Options | 28,974 | 24,697 | |
Exercisable, Ending balance, Aggregate Intrinsic Value, Stock Options | $ 23,263 | $ 16,836 | |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Beginning balance, Number of Shares Outstanding | 560 | 248 | |
Awarded, Number of Shares Outstanding | 648 | 391 | |
Forfeited, Number of Shares Outstanding | (2) | (1) | |
Released, Number of Shares Outstanding | (135) | (78) | |
Ending balance, Number of Shares Outstanding | 1,071 | 560 | 248 |
Beginning balance, Weighted Average Grant Date Fair Value | $ 16.33 | $ 7.75 | |
Awarded, Weighted Average Grant Date Fair Value | 17.82 | 20.25 | $ 9.35 |
Forfeited, Weighted Average Grant Date Fair Value | 17.76 | 9.15 | |
Released, Weighted Average Grant Date Fair Value | 15.78 | 8.79 | |
Ending balance, Weighted Average Grant Date Fair Value | $ 17.30 | $ 16.33 | $ 7.75 |
Performance Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Beginning balance, Number of Shares Outstanding, Stock Options | 450 | 225 | |
Granted, Number of Shares Outstanding, Stock Options | 225 | ||
Cancelled or forfeited, Number of Shares Outstanding, Stock Options | |||
Exercised, Number of Shares Outstanding, Stock Options | |||
Ending balance, Number of Shares Outstanding, Stock Options | 450 | 450 | 225 |
Exercisable, Ending balance, Number of Shares Outstanding, Stock Options | 250 | 250 | |
Beginning balance, Weighted Average Exercise Price, Stock Options | $ 13.48 | $ 5.91 | |
Granted, Weighted Average Exercise Price, Stock Options | 21.04 | ||
Cancelled or forfeited, Weighted Average Exercise Price, Stock Options | |||
Exercised, Weighted Average Exercise Price, Stock Options | |||
Ending balance, Weighted Average Exercise Price, Stock Options | $ 13.48 | 13.48 | $ 5.91 |
Exercisable, Ending balance, Weighted Average Exercise Price, Stock Options | $ 13.48 | $ 13.48 | |
Outstanding, Ending balance, Weighted Average Remaining Contractual Term, Stock Options | 7 years 5 months 16 days | 8 years 6 months | |
Exercisable, Ending balance, Weighted Average Remaining Contractual Term, Stock Options | 7 years 5 months 16 days | 8 years 6 months | |
Outstanding, Ending balance, Aggregate Intrinsic Value, Stock Options | $ 4,034 | $ 3,161 | |
Exercisable, Ending balance, Aggregate Intrinsic Value, Stock Options | $ 2,241 | $ 1,756 |
Equity Compensation Plans (Shar
Equity Compensation Plans (Share-Based Compensation Expense Related to Employee Share-Based Compensation) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total share-based compensation expense related to employees | $ 8,997 | $ 7,571 | $ 3,080 |
Cost of Revenue [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total share-based compensation expense related to employees | 416 | 335 | 246 |
Research and Development Expenses [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total share-based compensation expense related to employees | 1,373 | 937 | 230 |
Selling, General and Administrative Expenses [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total share-based compensation expense related to employees | $ 7,208 | $ 6,299 | $ 2,604 |
Equity Compensation Plans (Assu
Equity Compensation Plans (Assumptions Used for Determining Fair Value of Options) (Details) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of stock | 69.00% | ||
Weighted-average volatility | 54.75% | 69.19% | 69.00% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 1.30% | 1.56% | 0.75% |
Expected life of option (years) | 5 years 2 months 12 days | 5 years 3 months 22 days | 5 years 4 months 17 days |
Expected volatility of stock | 46.00% | 47.00% | |
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 1.96% | 2.12% | 2.29% |
Expected life of option (years) | 6 years 10 months 21 days | 6 years 8 months 19 days | 7 years 1 month 21 days |
Expected volatility of stock | 67.00% | 70.00% |
Equity Compensation Plans (Weig
Equity Compensation Plans (Weighted Average Estimated Grant Date Fair Value Per Share of Stock Options and Restricted Stock Granted) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average estimated grant date fair value per share of the stock options granted | $ 11.12 | $ 12.33 | $ 5.70 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average estimated grant date fair value per share of the restricted stock granted | $ 17.82 | $ 20.25 | $ 9.35 |
Equity Compensation Plans (As78
Equity Compensation Plans (Assumptions Used for Determining Fair Value of Options) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of stock | 69.00% | ||
Dividend yield | 0.00% | 0.00% | 0.00% |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Strike price | $ 5.91 | ||
Contractual term (years) | 10 years | 10 years | 10 years |
Expected volatility of stock | 69.60% | ||
Interest rate | 1.75% | ||
Dividend yield | 0.00% | 0.00% | 0.00% |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Contractual term (years) | 5 years 2 months 12 days | 5 years 3 months 22 days | 5 years 4 months 17 days |
Expected volatility of stock | 46.00% | 47.00% | |
Interest rate | 1.30% | 1.56% | 0.75% |
Minimum [Member] | Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Strike price | $ 5.91 | $ 5.91 | |
Expected volatility of stock | 60.50% | 60.50% | |
Interest rate | 1.75% | 1.75% | |
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Contractual term (years) | 6 years 10 months 21 days | 6 years 8 months 19 days | 7 years 1 month 21 days |
Expected volatility of stock | 67.00% | 70.00% | |
Interest rate | 1.96% | 2.12% | 2.29% |
Maximum [Member] | Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Strike price | $ 21.04 | $ 21.04 | |
Expected volatility of stock | 69.60% | 69.60% | |
Interest rate | 2.73% | 2.73% |
Equity Compensation Plans (Esti
Equity Compensation Plans (Estimated Grant Date Fair Value Per Share of Performance Options Granted) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | $ 11.12 | $ 12.33 | $ 5.70 |
Performance Shares [Member] | Tranche 1 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 10 | ||
Performance Shares [Member] | Tranche 2 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 12.50 | ||
Performance Shares [Member] | Tranche 3 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 15 | ||
Performance Shares [Member] | Tranche 4 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 17.50 | ||
Performance Shares [Member] | Tranche 5 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 20 | ||
Performance Shares [Member] | Tranche 6 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 25 | ||
Performance Shares [Member] | Tranche 7 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 30 | ||
Performance Shares [Member] | Tranche 8 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 35 | ||
Performance Shares [Member] | Tranche 9 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Price Target | 40 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 1 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 4.32 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 2 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 4.30 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 3 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 4.27 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 4 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 4.23 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 5 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 4.19 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 6 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 4.10 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 7 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 4.01 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 8 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 3.92 | ||
Fair Value Of 2012 Grant [Member] | Performance Shares [Member] | Tranche 9 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 3.83 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 1 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.74 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 2 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.74 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 3 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.74 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 4 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.74 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 5 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.73 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 6 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.73 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 7 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.71 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 8 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | 14.67 | ||
Fair Value Of 2014 Grant [Member] | Performance Shares [Member] | Tranche 9 [Member] | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||
Fair Value | $ 14.61 |
Segment and Geographic Inform80
Segment and Geographic Information (Revenue by Geographic Area) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | $ 35,863 | $ 31,423 | $ 32,583 | $ 29,886 | $ 29,415 | $ 26,678 | $ 26,514 | $ 24,847 | $ 129,755 | $ 107,454 | $ 81,889 |
United States [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 102,212 | 80,203 | 62,311 | ||||||||
Europe [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 17,180 | 18,163 | 11,384 | ||||||||
Asia [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 9,510 | 8,552 | 7,665 | ||||||||
Other International [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 853 | 536 | 529 | ||||||||
International [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | $ 27,543 | $ 27,251 | $ 19,578 |
Segment and Geographic Inform81
Segment and Geographic Information (Revenue by Product Type) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenue from External Customer [Line Items] | |||||||||||
Revenue | $ 35,863 | $ 31,423 | $ 32,583 | $ 29,886 | $ 29,415 | $ 26,678 | $ 26,514 | $ 24,847 | $ 129,755 | $ 107,454 | $ 81,889 |
United States [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 102,212 | 80,203 | 62,311 | ||||||||
United States [Member] | Open-heart Ablation [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 53,541 | 44,662 | 37,843 | ||||||||
United States [Member] | Minimally Invasive Ablation [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 21,564 | 16,050 | 13,648 | ||||||||
United States [Member] | AtriClip [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 24,377 | 16,675 | 10,820 | ||||||||
United States [Member] | Ablation and AtriClip [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 99,482 | 77,387 | 62,311 | ||||||||
United States [Member] | Valve Tools [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 2,730 | 2,816 | |||||||||
International [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 27,543 | 27,251 | 19,578 | ||||||||
International [Member] | Open-heart Ablation [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 16,287 | 16,445 | 13,064 | ||||||||
International [Member] | Minimally Invasive Ablation [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 7,964 | 7,881 | 5,354 | ||||||||
International [Member] | AtriClip [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 2,868 | 2,158 | 1,160 | ||||||||
International [Member] | Ablation and AtriClip [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | 27,119 | 26,484 | $ 19,578 | ||||||||
International [Member] | Valve Tools [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Revenue | $ 424 | $ 767 |
Selected Quarterly Financial 82
Selected Quarterly Financial Data (Schedule Of Quarterly Financial Information) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating Results: | |||||||||||
Revenue | $ 35,863 | $ 31,423 | $ 32,583 | $ 29,886 | $ 29,415 | $ 26,678 | $ 26,514 | $ 24,847 | $ 129,755 | $ 107,454 | $ 81,889 |
Gross profit | 25,545 | 22,478 | 23,117 | 21,735 | 20,420 | 18,892 | 18,781 | 17,657 | 92,875 | 75,750 | 59,563 |
Loss from operations | (10,630) | (6,127) | (4,819) | (5,144) | (4,779) | (803) | (2,853) | (7,925) | (26,720) | (16,360) | (10,891) |
Net loss | $ (10,914) | $ (6,141) | $ (4,891) | $ (5,266) | $ (5,344) | $ (466) | $ (2,692) | $ (7,709) | $ (27,212) | $ (16,211) | $ (11,462) |
Net loss per share (basic and diluted) | $ (0.36) | $ (0.22) | $ (0.18) | $ (0.19) | $ (0.20) | $ (0.02) | $ (0.10) | $ (0.31) |
Schedule II (Schedule Of Valuat
Schedule II (Schedule Of Valuation And Qualifying Accounts) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Reserve For Sales Returns And Allowances [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Beginning Balance | $ 135 | $ 105 | $ 105 |
Additions | 78 | 34 | |
Deductions | 6 | 4 | |
Ending Balance | 207 | 135 | $ 105 |
Allowance For Inventory Valuation [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Beginning Balance | 522 | 782 | 267 |
Additions | 720 | 441 | 921 |
Deductions | 399 | 701 | 406 |
Ending Balance | 843 | 522 | 782 |
Valuation Allowance For Deferred Tax Assets [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Beginning Balance | 59,554 | 54,211 | 31,685 |
Additions | $ 14,128 | $ 5,343 | $ 22,526 |
Deductions | |||
Ending Balance | $ 73,682 | $ 59,554 | $ 54,211 |