Vyant Bio (VYNT) 10-Q 13 Nov 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2017	Nov. 06, 2017
Document And Entity Information [Abstract]
Entity Registrant Name	CANCER GENETICS, INC
Trading Symbol	CGIX
Entity Central Index Key	1,349,929
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Document Type	10-Q
Document Period End Date	Sep. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding (in shares)		24,253,831

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
CURRENT ASSETS
Cash and cash equivalents	$ 4,807	$ 9,502
Accounts receivable, net of allowance for doubtful accounts of 2017 $2,277; 2016 $1,387	15,797	11,748
Other current assets	2,881	2,174
Total current assets	23,485	23,424
FIXED ASSETS, net of accumulated depreciation	6,009	4,738
OTHER ASSETS
Restricted cash	300	300
Patents and other intangible assets, net of accumulated amortization	8,356	1,503
Investment in joint venture	247	268
Goodwill	14,158	12,029
Other	1,415	172
Total other assets	24,476	14,272
Total Assets	53,970	42,434
CURRENT LIABILITIES
Accounts payable and accrued expenses	9,314	8,148
Obligations under capital leases, current portion	271	109
Deferred revenue	109	789
Line of credit	2,000	0
Term note, current portion	0	2,000
Total current liabilities	11,694	11,046
Term note	4,936	2,654
Obligations under capital leases	726	374
Deferred rent payable and other	181	290
Warrant liability	4,167	2,018
Deferred revenue, long-term	1,130	428
Total Liabilities	22,834	16,810
STOCKHOLDERS’ EQUITY
Preferred stock, authorized 9,764 shares, $0.0001 par value, none issued	0	0
Common stock, authorized 100,000 shares, $0.0001 par value, 24,252 and 18,936 shares issued and outstanding at September 30, 2017 and December 31, 2016, respectively	2	2
Additional paid-in capital	158,068	139,576
Accumulated other comprehensive (loss)	(1)	0
Accumulated (deficit)	(126,933)	(113,954)
Total Stockholders’ Equity	31,136	25,624
Total Liabilities and Stockholders’ Equity	$ 53,970	$ 42,434

Consolidated Balance Sheets (U3

Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Preferred stock, shares authorized (in shares)	9,764,000	9,764,000
Preferred stock, par value (usd per share)	$ 0.0001	$ 0.0001
Preferred stock, shares issued (in shares)	0	0
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, par value (usd per share)	$ 0.0001	$ 0.0001
Common stock, shares issued (in shares)	24,252,000	18,936,000
Common stock, shares outstanding (in shares)	24,252,000	18,936,000
Allowance for Doubtful Accounts Receivable	$ 2,277	$ 1,387

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Income Statement [Abstract]
Revenue	$ 8,028	$ 6,750	$ 21,598	$ 19,819
Cost of revenues	4,588	4,444	12,831	12,832
Gross profit	3,440	2,306	8,767	6,987
Operating expenses:
Research and development	981	1,594	3,080	4,806
General and administrative	4,346	3,701	11,352	11,677
Sales and marketing	1,301	1,054	3,437	3,731
Total operating expenses	6,628	6,349	17,869	20,214
Loss from operations	(3,188)	(4,043)	(9,102)	(13,227)
Other income (expense):
Interest expense	(350)	(111)	(797)	(344)
Interest income	10	4	37	21
Change in fair value of acquisition note payable	105	18	(114)	119
Change in fair value of warrant liability	2,790	712	(3,927)	729
Other expense	0	(325)	(46)	(325)
Total other (expense)	2,555	298	(4,847)	200
Loss before income taxes	(633)	(3,745)	(13,949)	(13,027)
Income tax (benefit)	0	0	(970)	0
Net (loss)	$ (633)	$ (3,745)	$ (12,979)	$ (13,027)
Basic net (loss) per share	$ (0.03)	$ (0.23)	$ (0.65)	$ (0.88)
Diluted net (loss) per share	$ (0.15)	$ (0.23)	$ (0.65)	$ (0.88)
Basic weighted-average shares outstanding	21,577	16,519	20,059	14,868
Diluted weighted-average shares outstanding	22,359	16,519	20,059	14,868
Foreign currency translation (loss)	$ (1)	$ 0	$ (1)	$ 0
Comprehensive (loss)	$ (634)	$ (3,745)	$ (12,980)	$ (13,027)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
CASH FLOWS FROM OPERATING ACTIVITIES
Net (loss)	$ (12,979,000)	$ (13,027,000)
Adjustments to reconcile net (loss) to net cash (used in) operating activities:
Depreciation	1,436,000	1,502,000
Amortization	234,000	260,000
Provision for bad debts	890,000	8,000
Stock-based compensation	1,395,000	1,538,000
Change in fair value of acquisition note payable	114,000	(119,000)
Change in fair value of warrant liability	3,927,000	(729,000)
Amortization of debt issuance costs	51,000	9,000
Amortization of discount on debt	134,000	0
Loss in equity method investment	21,000	45,000
Loss on extinguishment of debt	78,000	0
Changes in:
Accounts receivable	(4,029,000)	(7,066,000)
Other current assets	(606,000)	(67,000)
Other non-current assets	251,000	(9,000)
Accounts payable, accrued expenses and deferred revenue	(1,057,000)	372,000
Deferred rent payable and other	(109,000)	(16,000)
Net cash (used in) operating activities	(10,249,000)	(17,299,000)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of fixed assets	(1,192,000)	(345,000)
Patent costs	(73,000)	(127,000)
Purchase of cost method investment	(200,000)	0
Payments to Acquire Businesses, Gross	656,000	0
Net cash (used in) investing activities	(2,121,000)	(472,000)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on capital lease obligations	(170,000)	(101,000)
Proceeds from warrant exercises	1,827,000	0
Proceeds from option exercises	7,000	0
Proceeds from offerings of common stock with derivative warrants, net of certain offering costs	0	9,962,000
Proceeds from borrowings on Silicon Valley Bank line of credit	2,000,000	0
Proceeds from Partners for Growth IV, L.P. term note	6,000,000	0
Proceeds from Aspire Capital common stock purchases, net of certain offering costs	2,965,000	0
Principal payments on Silicon Valley Bank term note	(4,667,000)	(833,000)
Payment of debt issuance costs and loan fees	(287,000)	0
Net cash provided by financing activities	7,675,000	9,028,000
Net (decrease) in cash and cash equivalents	(4,695,000)	(8,743,000)
CASH AND CASH EQUIVALENTS
Beginning	9,502,000	19,459,000
Ending	4,807,000	10,716,000
SUPPLEMENTAL CASH FLOW DISCLOSURE
Cash paid for interest	633,000	250,000
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES
Fixed assets acquired through capital lease arrangements	567,000	0
Derivative warrants issued with debt	1,004,000	0
Noncash or Part Noncash Acquisition, Net Nonmonetary Assets Acquired (Liabilities Assumed)	$ 9,856,000	$ 0

Organization, Description of Bu

Organization, Description of Business, Basis of Presentation and Recent Accounting Pronouncements	9 Months Ended
	Sep. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization, Description of Business, Basis of Presentation and Recent Accounting Pronouncements	Organization, Description of Business, Basis of Presentation, Acquisition and Recent Accounting Pronouncements We are an emerging leader in the field of precision medicine, enabling individualized therapies in the field of oncology through our diagnostic products and services and molecular markers. We develop, commercialize and provide molecular- and biomarker-based tests and services that enable physicians to personalize the clinical management of each individual patient by providing genomic information to better diagnose, monitor and inform cancer treatment and that enable biotech and pharmaceutical companies engaged in oncology trials to better select candidate populations and reduce adverse drug reactions by providing information regarding genomic factors influencing subject responses to therapeutics. We have a comprehensive, disease-focused oncology testing portfolio. Our tests and techniques target a wide range of cancers, covering nine of the top ten cancers in prevalence in the United States, with additional unique capabilities offered by our FDA-cleared Tissue of Origin® test for identifying difficult to diagnose tumor types or poorly differentiated metastatic disease. Following the acquisition of vivoPharm, Pty Ltd. (“vivoPharm”), as discussed in more detail below, we provide contract research services, focused primarily on unique specialized studies to guide drug discovery and development programs in the oncology and immune-oncology fields. We were incorporated in the State of Delaware on April 8, 1999 and have offices and state-of-the-art laboratories located in California, New Jersey, North Carolina, Pennsylvania, Shanghai (China), Victoria (Australia) and Hyderabad (India). Our laboratories comply with the highest regulatory standards as appropriate for the services they deliver including CLIA, CAP, NY State, California State and NABL (India). Our services are built on a foundation of world-class scientific knowledge and intellectual property in solid and blood-borne cancers, as well as strong academic relationships with major cancer centers such as Memorial Sloan-Kettering, Mayo Clinic, and the National Cancer Institute. Basis of Presentation The accompanying unaudited condensed financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions for interim reporting as prescribed by the Securities and Exchange Commission. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary to make the financial statements not misleading have been included. As such, the information included in this quarterly report on Form 10-Q should be read in conjunction with the audited consolidated financial statements as of and for the year ended December 31, 2016 , filed with the Securities and Exchange Commission on March 23, 2017. The consolidated balance sheet as of December 31, 2016 , included herein was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by GAAP. Interim financial results are not necessarily indicative of the results that may be expected for any future interim period or for the year ending December 31, 2017 . Foreign Currency Translation During the three months ended September 30, 2017, we started accounting for our foreign currency translation in other comprehensive income (loss). Assets and liabilities recorded in foreign currencies are translated at the exchange rate on the balance sheet date. Revenue and expenses are translated at average rates of exchange prevailing during the year. Translation adjustments for prior periods have not been presented, as they are not material. Liquidity and Going Concern At September 30, 2017 , our cash position and history of losses required management to asses our ability to continue operating as a going concern, according to FASB Accounting Standards Update No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). Management evaluated the history and operational losses to have a material effect on our ability to continue as a going concern, unless we take actions to alleviate those conditions. Our primary sources of liquidity have been funds generated from our debt financings and equity financings. We have reduced, and plan to continue reducing, our operating expenses, and expect to grow our revenue in 2017 and beyond, and have also increased our cash collections from our customers and third-party payors and plan to continue to improve our cash collection results. Management believes that its existing cash and cash equivalents, taken together with the borrowings available from the Silicon Valley Bank line of credit and the common stock purchase agreement with Aspire Capital Fund, LLC (described in Note 3), will be sufficient to fund the Company's operations for at least the next twelve months after filing this quarterly report on Form 10-Q. Acquisition of vivoPharm On August 15, 2017, we purchased all of the outstanding stock of vivoPharm, with its principal place of business in Victoria, Australia, in a transaction valued at approximately $1.2 million in cash, $9.5 million in the Company's common stock based on the closing price of the stock on August 15, 2017, plus an estimated settlement of $345,000 for excess working capital in accounts payable and accrued expenses in the accompanying balance sheet. The Company has deposited in escrow 20% of the stock consideration until the expiration of twelve months from the closing date to serve as the initial source for any indemnification claims and adjustments. The Company had an estimated $150,000 in transaction costs associated with the purchase of vivoPharm, which were expensed during the three and nine months ended September 30, 2017. Prior to the acquisition, vivoPharm was a contract research organization (“CRO”) that specialized in planning and conducting unique, specialized studies to guide drug discovery and development programs with a concentration in oncology and immuno-oncology. The transaction is being accounted for using the acquisition method of accounting for business combinations in accordance with GAAP. Under this method, the total consideration transferred to consummate the acquisition is being allocated to the identifiable tangible and intangible assets acquired and liabilities assumed based on their respective fair values as of the closing date of the acquisition. The acquisition method of accounting requires extensive use of estimates and judgments to allocate the consideration transferred to the identifiable tangible and intangible assets acquired and liabilities assumed. Accordingly, the allocation of the consideration transferred is preliminary and will be adjusted upon completion of the final valuation of the assets acquired and liabilities assumed. The final valuation is expected to be completed as soon as practicable but no later than twelve months after the closing date of the acquisition. The estimated allocation of the purchase price as of August 15, 2017 consists of the following (in thousands): Cash $ 544 Accounts receivable 905 Lab supplies 1,258 Prepaid expenses and other current assets 101 Fixed assets 949 Intangible assets 7,014 Goodwill 2,129 Accounts payable and accrued expenses (913 ) Deferred revenue (814 ) Obligations under capital leases (117 ) Total purchase price $ 11,056 The following table provides certain pro forma financial information for the Company as if the acquisition of vivoPharm discussed above occurred on January 1, 2016 (in thousands except per share amounts): Three Months Ended September 30 Nine Months Ended September 30, 2017 2016 2017 2016 Revenue $ 9,069 $ 7,958 $ 25,335 $ 23,595 Net loss (976 ) (3,919 ) (13,788 ) (13,596 ) Basic net loss per share $ (0.04 ) $ (0.20 ) $ (0.61 ) $ (0.76 ) Diluted net loss per share (0.16 ) (0.20 ) (0.61 ) (0.76 ) The pro forma numbers above are derived from historical numbers of the Company and vivoPharm. Over time the operations of vivoPharm will be integrated into the operations of the Company. At the current time, we do not have enough information to prepare a reliable estimate of any possible changes. The results of operations for the three and nine months ended September 30, 2017 include the operations of vivoPharm from August 15, 2017, which accounted for approximately $794,000 of the Company’s consolidated Discovery Services revenue. The net income of vivoPharm that is included in the Company’s results of operations for the three and nine months ended September 30, 2017 was approximately $380,000 . Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. As issued and amended, ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either a full retrospective or retrospective with cumulative effect transition method. The updated standard becomes effective for the Company in the first quarter of fiscal year 2018. Early adoption is permitted in the first quarter of fiscal year 2017. The Company believes its Biopharma Service and Discovery Service revenues will be affected by the new standard. The Company is presently evaluating all of its contracts for performance obligations and variable consideration provisions that may affect the timing of revenue recognition subsequent to ASU 2014-09’s adoption. The Company expects to adopt the new standard on January 1, 2018, using the modified retrospective approach, which involves applying the new standard to all contracts initiated on or after the effective date and recording an adjustment to opening equity for pre-existing contracts that have remaining obligations as of the effective date.

Revenue and Accounts Receivable

Revenue and Accounts Receivable	9 Months Ended
	Sep. 30, 2017
Receivables [Abstract]
Revenue and Accounts Receivable	Revenue and Accounts Receivable Revenue by service type for the three and nine months ended September 30, 2017 and 2016 is comprised of the following (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Biopharma Services $ 4,168 $ 3,805 11,175 $ 11,374 Clinical Services 2,880 2,687 8,887 7,685 Discovery Services 980 258 1,536 760 $ 8,028 $ 6,750 $ 21,598 $ 19,819 Accounts receivable by service type at September 30, 2017 and December 31, 2016 consists of the following (in thousands): September 30, December 31, Biopharma Services $ 3,702 $ 3,683 Clinical Services 13,072 8,972 Discovery Services 1,300 480 Allowance for doubtful accounts (2,277 ) (1,387 ) $ 15,797 $ 11,748 Allowance for Doubtful Accounts (in thousands) Balance, December 31, 2016 $ 1,387 Bad debt expense 890 Balance, September 30, 2017 $ 2,277 Revenue for Biopharma Services are customized solutions for patient stratification and treatment selection through an extensive suite of DNA-based testing services. Clinical Services are tests performed to provide information on diagnosis, prognosis and theranosis of cancers to guide patient management. These tests can be billed to Medicare, another third party insurer or the referring community hospital or other healthcare facility. Discovery Services are services that provide the tools and testing methods for companies and researchers seeking to identify new DNA-based biomarkers for disease. The breakdown of our Clinical Services revenue (as a percent of total revenue) is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Medicare 11% 14% 14% 13% Other insurers 19% 21% 22% 20% Other healthcare facilities 6% 5% 5% 6% 36% 40% 41% 39% We have historically derived a significant portion of our revenue from a limited number of test ordering sites, although the test ordering sites that generate a significant portion of our revenue have changed from period to period. Test ordering sites account for all of our Clinical Services along with a portion of the Biopharma Services revenue. Our test ordering sites are largely hospitals, cancer centers, reference laboratories, physician offices and biopharmaceutical companies. Oncologists and pathologists at these sites order the tests on behalf of the needs of their oncology patients or as part of a clinical trial sponsored by a biopharmaceutical company in which the patient is being enrolled. We generally do not have formal, long-term written agreements with such test ordering sites, and, as a result, we may lose a significant test ordering site at any time. The top five test ordering sites during the three months ended September 30, 2017 and 2016 accounted for approximately 45% and 39% of our testing volumes, respectively. During the three months ended September 30, 2017 , there was one biopharmaceutical company which accounted for approximately 11% of our total revenue. During the three months ended September 30, 2016 , there was one biopharmaceutical company which accounted for approximately 18% of our total revenue. The top five test ordering sites during the nine months ended September 30, 2017 and 2016 accounted for approximately 40% and 31% of our testing volumes, respectively. During the nine months ended September 30, 2017 , there was one biopharmaceutical company which accounted for approximately 11% of our total revenue. During the nine months ended September 30, 2016 , there was one biopharmaceutical company which accounted for approximately 10% of our total revenue.

Common Stock Purchase Agreement

Common Stock Purchase Agreement with Aspire Capital	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Common Stock Purchase Agreement with Aspire Capital	Common Stock Purchase Agreement with Aspire Capital On August 14, 2017, we entered into a Common Stock Purchase Agreement (the “Purchase Agreement”) with Aspire Capital Fund, LLC, an Illinois limited liability company (“Aspire Capital”), which provides that Aspire Capital is committed to purchase up to an aggregate of $16.0 million of our common stock (the “Purchase Shares”) from time to time over the term of the Purchase Agreement. Aspire Capital made an initial purchase of 1,000,000 Purchase Shares (the “Initial Purchase”) at a purchase price of $3.00 per share on the commencement date of the agreement. After the commencement date, on any business day over the 24 -month term of the Purchase Agreement, we have the right, in our sole discretion, to present Aspire Capital with a purchase notice (each, a “Purchase Notice”) directing Aspire Capital to purchase up to 33,333 Purchase Shares per business day, provided that Aspire Capital will not be required to buy Purchase Shares pursuant to a Purchase Notice that was received by Aspire Capital on any business day on which the last closing trade price of our common stock on the NASDAQ Capital Market is below $3.00 . The Company and Aspire Capital also may mutually agree to increase the number of shares that may be sold to as much as an additional 2,000,000 Purchase Shares per business day. The purchase price per Purchase Share will be $3.00 . As consideration for entering into the Purchase Agreement, we issued 320,000 shares of our common stock to Aspire Capital (“Commitment Shares”). The number of Purchase Shares covered by and timing of each Purchase Notice are determined by us, at our sole discretion. The aggregate number of shares that we can sell to Aspire Capital under the Purchase Agreement may in no case exceed 3,938,213 shares of our common stock (which is equal to approximately 19.9% of the common stock outstanding on the date of the Purchase Agreement), including the 320,000 Commitment Shares and the 1,000,000 Initial Purchase Shares, unless shareholder approval is obtained to issue additional shares. Our net proceeds will depend on several factors, including the frequency of our sales of Purchase Shares to Aspire Capital and the frequency at which the last closing trade price of our common stock is below $3.00 , subject to a maximum of $16.0 million in gross proceeds, including the Initial Purchase. Our delivery of Purchase Notices will be made subject to market conditions, in light of our capital needs from time to time and under the limitations contained in the Purchase Agreement. We currently intend to use the net proceeds from sales of Purchase Shares for general corporate purposes and working capital requirements. As of September 30, 2017 , the Company has sold 1,000,000 shares under this agreement at $3.00 per share, resulting in proceeds of approximately $2,965,000 , net of offering costs of approximately $35,000 . The Company has also issued 320,000 shares as consideration for entering into the Purchase Agreement. The Company has not deferred any offering costs associated with this agreement.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2017
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share For purposes of this calculation, stock warrants, outstanding stock options and unvested restricted shares are considered common stock equivalents using the treasury stock method, and are the only such equivalents outstanding. Basic net loss and diluted net loss per share data were computed as follows (in thousands except per share data): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Numerator: Net (loss) for basic earnings per share $ (633 ) $ (3,745 ) $ (12,979 ) $ (13,027 ) Change in fair value of warrant liability 2,790 — — — Net (loss) for diluted earnings per share $ (3,423 ) $ (3,745 ) $ (12,979 ) $ (13,027 ) Denominator: Weighted-average basic common shares outstanding 21,577 16,519 20,059 14,868 Assumed conversion of dilutive securities: Common stock purchase warrants 782 — — — Potentially dilutive common shares 782 — — — Denominator for diluted earnings per share – adjusted weighted-average shares 22,359 16,519 20,059 14,868 Basic net (loss) per share $ (0.03 ) $ (0.23 ) $ (0.65 ) $ (0.88 ) Diluted net (loss) per share $ (0.15 ) $ (0.23 ) $ (0.65 ) $ (0.88 ) The above table includes adjustments to diluted earnings per share in accordance with FASB Accounting Standards Codification (“ASC”) 260. The adjustments were required for the three months ended September 30, 2017 as the derivative warrants were dilutive and the change in fair value of the derivative warrants was a gain. The following table summarizes equivalent units outstanding that were excluded from the earnings per share calculation because their effects were anti-dilutive (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Common stock purchase warrants 4,163 7,145 6,574 7,145 Stock options 2,816 2,128 2,816 2,128 Restricted shares of common stock 115 73 115 73 7,094 9,346 9,505 9,346

Sale of Net Operating Losses

Sale of Net Operating Losses	9 Months Ended
	Sep. 30, 2017
Income Tax Disclosure [Abstract]
Sale of Net Operating Losses	Sale of Net Operating Losses On February 22, 2017, we sold $18,177,059 of gross State of New Jersey NOL’s relating to the 2014 and 2015 tax years for approximately $876,000 as well as $167,572 of state research and development tax credits. The sale resulted in the net receipt by the Company of approximately $970,000 . This figure includes all costs and expenses associated with the sale of these state tax attributes as deducted from the gross sales price of $1,043,517 .

Term Notes and Line of Credit

Term Notes and Line of Credit	9 Months Ended
	Sep. 30, 2017
Debt Disclosure [Abstract]
Term Notes and Line of Credit	Term Notes and Line of Credit On March 22, 2017, we refinanced our debt with Silicon Valley Bank (“SVB”), by repaying the outstanding term loan (“SVB Term Note”), which was scheduled to mature in April 2019, and entered into a new two year asset-based revolving line of credit agreement. The new SVB credit facility provides for an asset-based line of credit (“ABL”) for an amount not to exceed the lesser of (a) $6.0 million or (b) 80% of eligible accounts receivable plus the lesser of 50% of the net collectible value of third party accounts receivable or three ( 3 ) times the average monthly collection amount of third party accounts receivable over the previous quarter. The ABL requires monthly interest payments at the Wall Street Journal prime rate plus 1.50% ( 5.75% at September 30, 2017 ) and matures on March 22, 2019. We paid to SVB a $30,000 commitment fee at closing and will pay a fee of 0.25% per year on the average unused portion of the ABL. At September 30, 2017 , we have borrowed $2.0 million on the ABL. We concurrently entered into a new three year $6.0 million term loan agreement (“PFG Term Note”) with Partners for Growth IV, L.P. (“PFG”). The PFG Term Note is an interest only loan with the full principal and any outstanding interest due at maturity on March 22, 2020. Interest is payable monthly at a rate of 11.5% per annum, with the possibility of reducing to 11.0% in 2018 based on achieving certain financial milestones set forth by PFG. We may prepay the PFG Term Note in whole or part at any time without penalty. We paid PFG a commitment fee of $120,000 at closing. Both loan agreements require us to comply with certain financial covenants, including minimum adjusted EBITDA, revenue and liquidity covenants, and restrict us from, among other things, paying cash dividends, incurring debt and entering into certain transactions without the prior consent of the lenders. Repayment of amounts borrowed under the new loan agreements may be accelerated if an event of default occurs, which includes, among other things, a violation of such financial covenants and negative covenants. Our obligations to SVB under the ABL facility are secured by a first priority security interest on substantially all of our assets, and our obligations under the PFG Term Note are secured by a second priority security interest subordinated to the SVB lien. In connection with the PFG Term Note, we issued seven year warrants to the lenders to purchase an aggregate of 443,262 shares of our common stock at an exercise price of $2.82 per share. The number of warrants may be reduced by 20% subject to us achieving certain financial milestones set forth by PFG. The following is a summary of long-term debt (in thousands): September 30, 2017 December 31, 2016 SVB Term Note, repaid in 2017 $ — $ 4,667 PFG Term Note, net of discount of $865 5,135 — Less unamortized debt issuance costs 199 13 Term notes, net 4,936 4,654 Less current maturities — 2,000 Long-term portion $ 4,936 $ 2,654 At September 30, 2017 , the principal amount of the PFG Term Note of $6,000,000 is due in 2020.

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	Stock-Based Compensation We have two equity incentive plans: the 2008 Stock Option Plan (the “2008 Plan”) and the 2011 Equity Incentive Plan (the “2011 Plan”, and together with the 2008 Plan, the “Stock Option Plans”). The Stock Option Plans are meant to provide additional incentive to officers, employees and consultants to remain in our employment. Options granted are generally exercisable for up to 10 years . At September 30, 2017 , 391,317 shares remain available for future awards under the 2011 Plan and 134,354 shares remain available for future awards under the 2008 Plan. A summary of employee and non-employee stock option activity for the nine months ended September 30, 2017 is as follows: Options Outstanding Weighted- Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Number of Shares (in thousands) Weighted- Average Exercise Price Outstanding January 1, 2017 2,198 $ 9.09 7.04 $ — Granted 860 2.87 Exercised (3 ) 2.23 Cancelled or expired (239 ) 10.80 Outstanding September 30, 2017 2,816 $ 7.05 7.19 $ 367 Exercisable September 30, 2017 1,533 $ 9.54 5.69 $ 76 Aggregate intrinsic value represents the difference between the fair value of our common stock and the exercise price of outstanding, in-the-money options. During the three and nine months ended September 30, 2017 , the Company received approximately $2,500 and $6,500 , respectively, from the exercise of options. As of September 30, 2017 , total unrecognized compensation cost related to non-vested stock options granted to employees was $2,865,963 which we expect to recognize over the next 2.32 years. As of September 30, 2017 , total unrecognized compensation cost related to non-vested stock options granted to non-employees was $12,625 which we expect to recognize over the next 0.25 years. The estimate of unrecognized non-employee compensation is based on the fair value of the non-vested options as of September 30, 2017 . The fair value of options granted to employees is estimated on the grant date using the Black-Scholes option valuation model. This valuation model requires us to make assumptions and judgments about the variables used in the calculation, including the expected term (the period of time that the options granted are expected to be outstanding), the volatility of our common stock, a risk-free interest rate, and expected dividends. To the extent actual forfeitures differ from the estimates, the difference will be recorded as a cumulative adjustment in the period estimates are revised. No compensation cost is recorded for options that do not vest. We use the simplified calculation of expected life described in the SEC’s Staff Accounting Bulletin No. 107, Share-Based Payment , and volatility is based on the historical volatility of our common stock. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for periods corresponding with the expected life of the option. We use an expected dividend yield of zero , as we do not anticipate paying any dividends in the foreseeable future. Forfeitures will be recorded when they occur. The following table presents the weighted-average assumptions used to estimate the fair value of options granted to employees during the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Volatility 75.28 % 74.30 % 74.60 % 74.30 % Risk free interest rate 1.92 % 1.17 % 1.97 % 1.17 % Dividend yield 0.00 % 0.00 % 0.00 % 0.00 % Term (years) 5.73 5.92 5.90 5.92 Weighted-average fair value of options granted during the period 1.91 1.30 1.89 1.30 In May 2014, we issued 200,000 options to our Director, Raju Chaganti, with an exercise price of $15.89 . See Note 12 for additional information. The following table presents the weighted-average assumptions used to estimate the fair value of options reaching their measurement date for non-employees during the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Volatility 74.39 % 72.97 % 76.06 % 74.50 % Risk free interest rate 2.17 % 1.46 % 2.19 % 1.43 % Dividend yield 0.00 % 0.00 % 0.00 % 0.00 % Term (years) 6.64 7.64 6.89 7.89 Restricted stock awards have been granted to employees, directors and consultants as compensation for services. At September 30, 2017 , there was $383,829 of unrecognized compensation cost related to non-vested restricted stock granted to employees and directors; we expect to recognize the cost over 1.50 years. The following table summarizes the activities for our non-vested restricted stock awards for the nine months ended September 30, 2017 : Non-vested Restricted Stock Awards Number of Weighted-Average Grant Date Fair Value Non-vested at January 1, 2017 80 $ 6.30 Granted 65 3.29 Vested (30 ) 8.30 Non-vested at September 30, 2017 115 $ 4.09 The following table presents the effects of stock-based compensation related to stock option and restricted stock awards to employees and non-employees on our Consolidated Statements of Operations during the periods presented (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Cost of revenues $ 122 $ 83 $ 250 $ 219 Research and development 11 45 110 140 General and administrative 356 356 949 1,095 Sales and marketing 30 30 86 84 Total stock-based compensation $ 519 $ 514 $ 1,395 $ 1,538

Warrants

Warrants	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Warrants	Warrants On March 22, 2017, we issued seven year warrants to PFG and certain of its affiliates to purchase an aggregate of 443,262 shares of our common stock at an exercise price of $2.82 per share, in conjunction with our debt refinancing described in Note 5. The number of warrants may be reduced by 20% subject to us achieving certain financial milestones set forth by PFG. The warrants can be net settled in common stock using the average 90 -trading day price of our common stock. These warrants are defined in the table below as 2017 Debt derivative warrants. During the three and nine months ended September 30, 2017 , the Company received approximately $56,000 and $1,827,000 , respectively, from shareholders who exercised warrants to purchase 25,000 and 811,900 shares of common stock, respectively, at $2.25 . In addition, on March 28, 2017, warrant holders exercised warrants to purchase 90,063 shares of common stock at an exercise price of $2.25 per share using the net issuance exercise method whereby 45,162 shares were surrendered as payment in full of the exercise price resulting in a net issuance of 44,901 shares. The following table summarizes the warrant activity for the nine months ended September 30, 2017 (in thousands, except exercise price): Issued With / For Exercise Warrants 2017 Warrants Issued 2017 Warrants Exercised Warrants Outstanding September 30, 2017 Non-Derivative Warrants: Financing $ 10.00 243 — — 243 Financing 15.00 361 — — 361 Debt guarantee 15.00 109 — — 109 2015 Offering 5.00 3,450 — — 3,450 Total non-derivative warrants 6.42 C 4,163 — — 4,163 Derivative Warrants: 2016 Offerings 2.25 A 2,870 — (902 ) 1,968 2017 Debt 2.82 B — 443 — 443 Total derivative warrants 2.35 C 2,870 443 (902 ) 2,411 Total $ 4.93 C 7,033 443 (902 ) 6,574 A These warrants are subject to fair value accounting and contain a contingent net cash settlement feature. B These warrants are subject to fair value accounting and contain a net settlement provision that uses the 90 -trading day price of our common stock. These warrants are subject to a 20% reduction if certain financial milestones are met. C Weighted-average exercise prices are as of September 30, 2017 .

Fair Value of Warrants

Fair Value of Warrants	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value of Warrants	Fair Value of Warrants The following table summarizes the derivative warrant activity subject to fair value accounting for the nine months ended September 30, 2017 (in thousands): Issued with/for Fair value of Fair value Fair value Change in Fair value of 2016 Offerings $ 2,018 $ — $ (2,782 ) $ 4,107 $ 3,343 2017 Debt — 1,004 — (180 ) 824 $ 2,018 $ 1,004 $ (2,782 ) $ 3,927 $ 4,167 The derivative warrants issued as part of the 2016 Offerings are valued using a probability-weighted Binomial model, while the derivative warrants issued as part of the 2017 Debt refinancing are valued using a Monte Carlo model. The following tables summarize the assumptions used in computing the fair value of derivative warrants subject to fair value accounting at the date of issue or exercise during the three and nine months ended September 30, 2017 and 2016 , and at September 30, 2017 and December 31, 2016 . Issued During the Exercised During the 2016 Offerings Three Months Ended September 30, 2016 Nine Months Ended September 30, 2016 Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 As of September 30, 2017 As of December 31, 2016 Exercise price $ 2.25 $ 2.25 $ 2.25 $ 2.25 $ 2.25 $ 2.25 Expected life (years) 5.50 5.50 4.30 4.78 4.33 5.06 Expected volatility 73.28 % 74.36 % 74.20 % 76.24 % 75.07 % 72.82 % Risk-free interest rate 1.21 % 1.30 % 1.81 % 1.94 % 1.92 % 1.93 % Expected dividend yield — % — % — % — % — % — % 2017 Debt Issued During the Nine Months Ended September 30, 2017 As of September 30, 2017 Exercise price $ 2.82 $ 2.82 Expected life (years) 7.00 6.48 Expected volatility 74.61 % 74.07 % Risk-free interest rate 2.22 % 2.16 % Expected dividend yield — % — %

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. The Fair Value Measurements and Disclosures Topic of the FASB ASC requires the use of valuation techniques that are consistent with the market approach, the income approach and/or the cost approach. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect our own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In that regard, the Topic establishes a fair value hierarchy for valuation inputs that give the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that we have the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices 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. Level 3: Significant unobservable inputs that reflect our own assumptions about the assumptions that market participants would use in pricing an asset or liability. The following table summarizes the financial liabilities measured at fair value on a recurring basis segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): September 30, 2017 Total Quoted Prices in Significant Other Significant Warrant liability $ 4,167 $ — $ — $ 4,167 Note payable 228 — — 228 $ 4,395 $ — $ — $ 4,395 December 31, 2016 Total Quoted Prices in Significant Other Significant Warrant liability $ 2,018 $ — $ — $ 2,018 Note payable 114 — — 114 $ 2,132 $ — $ — $ 2,132 The ultimate payment to VenturEast will be the value of 84,278 shares of common stock at the time of payment. The value of the note payable to VenturEast was determined using the fair value of our common stock. During the three months ended September 30, 2017 and 2016 , we recognized a gain of approximately $105,000 and $18,000 , respectively, due to the change in value of the note. During the nine months ended September 30, 2017 and 2016 , we recognized a loss of approximately $114,000 and a gain of approximately $119,000 , respectively, due to the change in value of the note. At September 30, 2017 , the warrant liability consists of stock warrants issued as part of the 2016 Offerings that contain contingent redemption features and warrants issued as part of the debt refinancing outlined in Note 6. In accordance with derivative accounting for warrants, we calculated the fair value of these warrants, and the assumptions used are described in Note 9, “Fair Value of Warrants.” During the three months ended September 30, 2017 and 2016 , we recognized gains of approximately $2,790,000 and $712,000 , respectively, on the derivative warrants due to the decrease in our stock price. During the nine months ended September 30, 2017 , we recognized a loss of approximately $3,927,000 on the derivative warrants due to changes in our stock price. During the nine months ended September 30, 2016 , we recorded a gain of approximately $712,000 on the derivative warrants due to changes in our stock price. During the nine months ended September 30, 2016 , we also recorded a gain of approximately $17,000 due to the expiration of derivative warrants outstanding at December 31, 2015. Realized and unrealized gains and losses related to the change in fair value of the VenturEast note and warrant liability are included in other income (expense) on the Consolidated Statements of Operations. The following table summarizes the activity of the note payable to VenturEast and of our derivative warrants, which was measured at fair value using Level 3 inputs (in thousands): Note Payable Warrant to VenturEast Liability Fair value at December 31, 2016 $ 114 $ 2,018 Fair value of warrants issued — 1,004 Fair value of warrants exercised — (2,782 ) Change in fair value 114 3,927 Fair value at September 30, 2017 $ 228 $ 4,167

Joint Venture Agreement

Joint Venture Agreement	9 Months Ended
	Sep. 30, 2017
Equity Method Investments and Joint Ventures [Abstract]
Joint Venture Agreement	Joint Venture Agreement In November 2011 , we entered into an affiliation agreement with the Mayo Foundation for Medical Education and Research (“Mayo”), subsequently amended. Under the agreement, we formed a joint venture with Mayo in May 2013 to focus on developing oncology diagnostic services and tests utilizing next generation sequencing. The joint venture is a limited liability company, with each party initially holding fifty percent of the issued and outstanding membership interests of the new entity (the “JV”). The agreement requires aggregate capital contributions by us of up to $6.0 million , of which $2.0 million has been paid to date. The timing of the remaining installments is subject to the JV's achievement of certain operational milestones agreed upon by the board of governors of the JV. In exchange for its membership interest, Mayo’s capital contribution takes the form of cash, staff, services, hardware and software resources, laboratory space and instrumentation, the fair market value of which will be approximately equal to $6.0 million . Mayo’s continued contribution will also be conditioned upon the JV’s achievement of certain milestones. Our share of the JV’s net loss was approximately $ 2,000 and $18,000 for the three months ended September 30, 2017 and 2016 , and approximately $21,000 and $45,000 for the nine months ended September 30, 2017 and 2016 , respectively, and is included in research and development expense on the Consolidated Statements of Operations. We have a net receivable due from the JV of approximately $10,000 at September 30, 2017 , which is included in other assets in the Consolidated Balance Sheets. The joint venture is considered a variable interest entity under ASC 810-10, but we are not the primary beneficiary as we do not have the power to direct the activities of the JV that most significantly impact its performance. Our evaluation of ability to impact performance is based on our equal board membership and voting rights and day-to-day management functions which are performed by the Mayo personnel.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2017
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions We have a consulting agreement with Equity Dynamics, Inc. (“EDI”), an entity controlled by John Pappajohn, effective April 1, 2014 pursuant to which EDI receives a monthly fee of $10,000 . Total expenses for each of the three months ended September 30, 2017 and 2016 were $30,000 . Total expenses for each of the nine months ended September 30, 2017 and 2016 were $90,000 . As of September 30, 2017 , we owed EDI $20,000 . In 2010, we entered into a three -year consulting agreement with Dr. Chaganti, which was subsequently renewed through December 31, 2016 pursuant to which Dr. Chaganti received $5,000 per month for providing consulting and technical support services. Pursuant to the terms of the renewed consulting agreement, Dr. Chaganti received an option to purchase 200,000 shares of our common stock at a purchase price of $15.89 per share vesting over a period of four years. Total non-cash stock-based compensation recognized under the consulting agreement for the three months ended September 30, 2017 and 2016 was $12,625 and $7,125 , respectively. Total non-cash stock-based compensation recognized under the consulting agreement for the nine months ended September 30, 2017 and 2016 was $62,125 and $32,750 , respectively. Also pursuant to the consulting agreement, Dr. Chaganti assigned to us all rights to any inventions which he may invent during the course of rendering consulting services to us. In exchange for this assignment, if the USPTO issues a patent for an invention on which Dr. Chaganti is listed as an inventor, we are required to pay Dr. Chaganti (i) a one-time payment of $50,000 and (ii) 1% of any net revenues we receive from any licensed sales of the invention. In the first quarter of 2016, we paid Dr. Chaganti $50,000 which was recognized as an expense in fiscal 2015 when one patent was issued.

Contingencies

Contingencies	9 Months Ended
	Sep. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Contingencies In the normal course of business, the Company may become involved in various claims and legal proceedings. In the opinion of management, the ultimate liability or disposition thereof is not expected to have a material adverse effect on our financial condition, results of operations, or liquidity.

Organization, Description of 19

Organization, Description of Business, Basis of Presentation and Recent Accounting Pronouncements (Policies)	9 Months Ended
	Sep. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions for interim reporting as prescribed by the Securities and Exchange Commission. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary to make the financial statements not misleading have been included. As such, the information included in this quarterly report on Form 10-Q should be read in conjunction with the audited consolidated financial statements as of and for the year ended December 31, 2016 , filed with the Securities and Exchange Commission on March 23, 2017. The consolidated balance sheet as of December 31, 2016 , included herein was derived from the audited financial statements as of that date, but does not include all disclosures including notes required by GAAP. Interim financial results are not necessarily indicative of the results that may be expected for any future interim period or for the year ending December 31, 2017 .
Foreign Currency Translation	Foreign Currency Translation During the three months ended September 30, 2017, we started accounting for our foreign currency translation in other comprehensive income (loss). Assets and liabilities recorded in foreign currencies are translated at the exchange rate on the balance sheet date. Revenue and expenses are translated at average rates of exchange prevailing during the year. Translation adjustments for prior periods have not been presented, as they are not material.
Liquidity and Going Concern	Liquidity and Going Concern At September 30, 2017 , our cash position and history of losses required management to asses our ability to continue operating as a going concern, according to FASB Accounting Standards Update No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). Management evaluated the history and operational losses to have a material effect on our ability to continue as a going concern, unless we take actions to alleviate those conditions. Our primary sources of liquidity have been funds generated from our debt financings and equity financings. We have reduced, and plan to continue reducing, our operating expenses, and expect to grow our revenue in 2017 and beyond, and have also increased our cash collections from our customers and third-party payors and plan to continue to improve our cash collection results. Management believes that its existing cash and cash equivalents, taken together with the borrowings available from the Silicon Valley Bank line of credit and the common stock purchase agreement with Aspire Capital Fund, LLC (described in Note 3), will be sufficient to fund the Company's operations for at least the next twelve months after filing this quarterly report on Form 10-Q.
Business Combinations Policy	The transaction is being accounted for using the acquisition method of accounting for business combinations in accordance with GAAP. Under this method, the total consideration transferred to consummate the acquisition is being allocated to the identifiable tangible and intangible assets acquired and liabilities assumed based on their respective fair values as of the closing date of the acquisition. The acquisition method of accounting requires extensive use of estimates and judgments to allocate the consideration transferred to the identifiable tangible and intangible assets acquired and liabilities assumed.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. As issued and amended, ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either a full retrospective or retrospective with cumulative effect transition method. The updated standard becomes effective for the Company in the first quarter of fiscal year 2018. Early adoption is permitted in the first quarter of fiscal year 2017. The Company believes its Biopharma Service and Discovery Service revenues will be affected by the new standard. The Company is presently evaluating all of its contracts for performance obligations and variable consideration provisions that may affect the timing of revenue recognition subsequent to ASU 2014-09’s adoption. The Company expects to adopt the new standard on January 1, 2018, using the modified retrospective approach, which involves applying the new standard to all contracts initiated on or after the effective date and recording an adjustment to opening equity for pre-existing contracts that have remaining obligations as of the effective date.

Organization, Description of 20

Organization, Description of Business, Basis of Presentation and Recent Accounting Pronouncements Organization, Consolidation and Presentation of Financial Statements (Tables)	9 Months Ended
	Sep. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Assets and Liabilities Acquired in Business Acquisition	The estimated allocation of the purchase price as of August 15, 2017 consists of the following (in thousands): Cash $ 544 Accounts receivable 905 Lab supplies 1,258 Prepaid expenses and other current assets 101 Fixed assets 949 Intangible assets 7,014 Goodwill 2,129 Accounts payable and accrued expenses (913 ) Deferred revenue (814 ) Obligations under capital leases (117 ) Total purchase price $ 11,056
Business Acquisition, Pro Forma Information	The following table provides certain pro forma financial information for the Company as if the acquisition of vivoPharm discussed above occurred on January 1, 2016 (in thousands except per share amounts): Three Months Ended September 30 Nine Months Ended September 30, 2017 2016 2017 2016 Revenue $ 9,069 $ 7,958 $ 25,335 $ 23,595 Net loss (976 ) (3,919 ) (13,788 ) (13,596 ) Basic net loss per share $ (0.04 ) $ (0.20 ) $ (0.61 ) $ (0.76 ) Diluted net loss per share (0.16 ) (0.20 ) (0.61 ) (0.76 )

Revenue and Accounts Receivab21

Revenue and Accounts Receivable (Tables)	9 Months Ended
	Sep. 30, 2017
Receivables [Abstract]
Schedule of revenue by service type	Revenue by service type for the three and nine months ended September 30, 2017 and 2016 is comprised of the following (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Biopharma Services $ 4,168 $ 3,805 11,175 $ 11,374 Clinical Services 2,880 2,687 8,887 7,685 Discovery Services 980 258 1,536 760 $ 8,028 $ 6,750 $ 21,598 $ 19,819
Schedule of accounts receivable by service type	Accounts receivable by service type at September 30, 2017 and December 31, 2016 consists of the following (in thousands): September 30, December 31, Biopharma Services $ 3,702 $ 3,683 Clinical Services 13,072 8,972 Discovery Services 1,300 480 Allowance for doubtful accounts (2,277 ) (1,387 ) $ 15,797 $ 11,748 Allowance for Doubtful Accounts (in thousands) Balance, December 31, 2016 $ 1,387 Bad debt expense 890 Balance, September 30, 2017 $ 2,277
Schedule of clinical services revenue (as a percent of total revenue)	The breakdown of our Clinical Services revenue (as a percent of total revenue) is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Medicare 11% 14% 14% 13% Other insurers 19% 21% 22% 20% Other healthcare facilities 6% 5% 5% 6% 36% 40% 41% 39%

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2017
Earnings Per Share [Abstract]
Computation of net loss and diluted net loss per share data	Basic net loss and diluted net loss per share data were computed as follows (in thousands except per share data): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Numerator: Net (loss) for basic earnings per share $ (633 ) $ (3,745 ) $ (12,979 ) $ (13,027 ) Change in fair value of warrant liability 2,790 — — — Net (loss) for diluted earnings per share $ (3,423 ) $ (3,745 ) $ (12,979 ) $ (13,027 ) Denominator: Weighted-average basic common shares outstanding 21,577 16,519 20,059 14,868 Assumed conversion of dilutive securities: Common stock purchase warrants 782 — — — Potentially dilutive common shares 782 — — — Denominator for diluted earnings per share – adjusted weighted-average shares 22,359 16,519 20,059 14,868 Basic net (loss) per share $ (0.03 ) $ (0.23 ) $ (0.65 ) $ (0.88 ) Diluted net (loss) per share $ (0.15 ) $ (0.23 ) $ (0.65 ) $ (0.88 )
Summary of anti-dilutive equivalent units outstanding excluded from earnings per share calculation	The following table summarizes equivalent units outstanding that were excluded from the earnings per share calculation because their effects were anti-dilutive (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Common stock purchase warrants 4,163 7,145 6,574 7,145 Stock options 2,816 2,128 2,816 2,128 Restricted shares of common stock 115 73 115 73 7,094 9,346 9,505 9,346

Term Notes and Line of Credit (

Term Notes and Line of Credit (Tables)	9 Months Ended
	Sep. 30, 2017
Debt Disclosure [Abstract]
Schedule of long-term debt	The following is a summary of long-term debt (in thousands): September 30, 2017 December 31, 2016 SVB Term Note, repaid in 2017 $ — $ 4,667 PFG Term Note, net of discount of $865 5,135 — Less unamortized debt issuance costs 199 13 Term notes, net 4,936 4,654 Less current maturities — 2,000 Long-term portion $ 4,936 $ 2,654

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of employee and nonemployee stock option activity	A summary of employee and non-employee stock option activity for the nine months ended September 30, 2017 is as follows: Options Outstanding Weighted- Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Number of Shares (in thousands) Weighted- Average Exercise Price Outstanding January 1, 2017 2,198 $ 9.09 7.04 $ — Granted 860 2.87 Exercised (3 ) 2.23 Cancelled or expired (239 ) 10.80 Outstanding September 30, 2017 2,816 $ 7.05 7.19 $ 367 Exercisable September 30, 2017 1,533 $ 9.54 5.69 $ 76
Weighted-average assumptions used to estimate fair value of options granted	The following table presents the weighted-average assumptions used to estimate the fair value of options granted to employees during the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Volatility 75.28 % 74.30 % 74.60 % 74.30 % Risk free interest rate 1.92 % 1.17 % 1.97 % 1.17 % Dividend yield 0.00 % 0.00 % 0.00 % 0.00 % Term (years) 5.73 5.92 5.90 5.92 Weighted-average fair value of options granted during the period 1.91 1.30 1.89 1.30 The following table presents the weighted-average assumptions used to estimate the fair value of options reaching their measurement date for non-employees during the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Volatility 74.39 % 72.97 % 76.06 % 74.50 % Risk free interest rate 2.17 % 1.46 % 2.19 % 1.43 % Dividend yield 0.00 % 0.00 % 0.00 % 0.00 % Term (years) 6.64 7.64 6.89 7.89
Nonvested restricted stock shares activity	The following table summarizes the activities for our non-vested restricted stock awards for the nine months ended September 30, 2017 : Non-vested Restricted Stock Awards Number of Weighted-Average Grant Date Fair Value Non-vested at January 1, 2017 80 $ 6.30 Granted 65 3.29 Vested (30 ) 8.30 Non-vested at September 30, 2017 115 $ 4.09
Effects of stock-based compensation related to stock option and restricted stock awards	The following table presents the effects of stock-based compensation related to stock option and restricted stock awards to employees and non-employees on our Consolidated Statements of Operations during the periods presented (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Cost of revenues $ 122 $ 83 $ 250 $ 219 Research and development 11 45 110 140 General and administrative 356 356 949 1,095 Sales and marketing 30 30 86 84 Total stock-based compensation $ 519 $ 514 $ 1,395 $ 1,538

Warrants (Tables)

Warrants (Tables)	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Summary of warrant activity	The following table summarizes the warrant activity for the nine months ended September 30, 2017 (in thousands, except exercise price): Issued With / For Exercise Warrants 2017 Warrants Issued 2017 Warrants Exercised Warrants Outstanding September 30, 2017 Non-Derivative Warrants: Financing $ 10.00 243 — — 243 Financing 15.00 361 — — 361 Debt guarantee 15.00 109 — — 109 2015 Offering 5.00 3,450 — — 3,450 Total non-derivative warrants 6.42 C 4,163 — — 4,163 Derivative Warrants: 2016 Offerings 2.25 A 2,870 — (902 ) 1,968 2017 Debt 2.82 B — 443 — 443 Total derivative warrants 2.35 C 2,870 443 (902 ) 2,411 Total $ 4.93 C 7,033 443 (902 ) 6,574 A These warrants are subject to fair value accounting and contain a contingent net cash settlement feature. B These warrants are subject to fair value accounting and contain a net settlement provision that uses the 90 -trading day price of our common stock. These warrants are subject to a 20% reduction if certain financial milestones are met. C Weighted-average exercise prices are as of September 30, 2017 .

Fair Value of Warrants (Tables)

Fair Value of Warrants (Tables)	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Schedule of derivative warrant liability	The following table summarizes the derivative warrant activity subject to fair value accounting for the nine months ended September 30, 2017 (in thousands): Issued with/for Fair value of Fair value Fair value Change in Fair value of 2016 Offerings $ 2,018 $ — $ (2,782 ) $ 4,107 $ 3,343 2017 Debt — 1,004 — (180 ) 824 $ 2,018 $ 1,004 $ (2,782 ) $ 3,927 $ 4,167
Assumptions used in computing fair value of derivative warrants	The following tables summarize the assumptions used in computing the fair value of derivative warrants subject to fair value accounting at the date of issue or exercise during the three and nine months ended September 30, 2017 and 2016 , and at September 30, 2017 and December 31, 2016 . Issued During the Exercised During the 2016 Offerings Three Months Ended September 30, 2016 Nine Months Ended September 30, 2016 Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 As of September 30, 2017 As of December 31, 2016 Exercise price $ 2.25 $ 2.25 $ 2.25 $ 2.25 $ 2.25 $ 2.25 Expected life (years) 5.50 5.50 4.30 4.78 4.33 5.06 Expected volatility 73.28 % 74.36 % 74.20 % 76.24 % 75.07 % 72.82 % Risk-free interest rate 1.21 % 1.30 % 1.81 % 1.94 % 1.92 % 1.93 % Expected dividend yield — % — % — % — % — % — % 2017 Debt Issued During the Nine Months Ended September 30, 2017 As of September 30, 2017 Exercise price $ 2.82 $ 2.82 Expected life (years) 7.00 6.48 Expected volatility 74.61 % 74.07 % Risk-free interest rate 2.22 % 2.16 % Expected dividend yield — % — %

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2017
Fair Value Disclosures [Abstract]
Summary of financial liabilities measured at fair value on a recurring basis	The following table summarizes the financial liabilities measured at fair value on a recurring basis segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): September 30, 2017 Total Quoted Prices in Significant Other Significant Warrant liability $ 4,167 $ — $ — $ 4,167 Note payable 228 — — 228 $ 4,395 $ — $ — $ 4,395 December 31, 2016 Total Quoted Prices in Significant Other Significant Warrant liability $ 2,018 $ — $ — $ 2,018 Note payable 114 — — 114 $ 2,132 $ — $ — $ 2,132
Schedule of fair value notes payable of business acquisition and warrant liability	The following table summarizes the activity of the note payable to VenturEast and of our derivative warrants, which was measured at fair value using Level 3 inputs (in thousands): Note Payable Warrant to VenturEast Liability Fair value at December 31, 2016 $ 114 $ 2,018 Fair value of warrants issued — 1,004 Fair value of warrants exercised — (2,782 ) Change in fair value 114 3,927 Fair value at September 30, 2017 $ 228 $ 4,167

Organization, Description of 28

Organization, Description of Business, Basis of Presentation and Recent Accounting Pronouncements - Liquidity and Going Concern (Details) - USD ($)	Aug. 15, 2017	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Operating Income (Loss)		$ (3,188,000)	$ (4,043,000)	$ (9,102,000)	$ (13,227,000)
Cash and cash equivalents, period to support operations				12 months
Goodwill		14,158,000		$ 14,158,000		$ 12,029,000
Business Acquisition, Pro Forma Revenue		9,069,000	7,958,000	25,335,000	23,595,000
Business Acquisition, Pro Forma Net Income (Loss)		$ (976,000)	$ (3,919,000)	$ (13,788,000)	$ (13,596,000)
Basic Earnings Per Share, Pro Forma		$ (0.04)	$ (0.20)	$ (0.61)	$ (0.76)
Diluted Earnings Per Share Pro Forma		$ (0.16)	$ (0.20)	$ (0.61)	$ (0.76)
VivoPharm
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Revenue, Net		$ 369,000		$ 380,000
Business Combination, Consideration Transferred, Equity Interest Issued Or Issuable, Percentage Withheld In Escrow	20.00%
Operating Income (Loss)		768,000		794,000
Payments to Acquire Businesses, Gross	$ 1,200,000
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable	9,500,000
Business Combination, Working Capital Adjustment	$ 345,000
Transaction Costs		150,000		150,000
Cash		544,000		544,000
Accounts receivable		905,000		905,000
Lab supplies		1,258,000		1,258,000
Prepaid expenses and other current assets		101,000		101,000
Fixed assets		949,000		949,000
Intangible assets		7,014,000		7,014,000
Goodwill		2,129,000		2,129,000
Accounts payable and accrued expenses		(913,000)		(913,000)
Deferred revenue		(814,000)		(814,000)
Obligations under capital leases		(117,000)		(117,000)
Total purchase price		$ 11,056,000		$ 11,056,000

Revenue and Accounts Receivab29

Revenue and Accounts Receivable - Schedule of Revenue by Service Type (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Health Care Organization, Receivable and Revenue Disclosures [Line Items]
Revenue	$ 8,028	$ 6,750	$ 21,598	$ 19,819
Biopharma Services
Health Care Organization, Receivable and Revenue Disclosures [Line Items]
Revenue	4,168	3,805	11,175	11,374
Clinical Services
Health Care Organization, Receivable and Revenue Disclosures [Line Items]
Revenue	2,880	2,687	8,887	7,685
Discovery Services
Health Care Organization, Receivable and Revenue Disclosures [Line Items]
Revenue	$ 980	$ 258	$ 1,536	$ 760

Revenue and Accounts Receivab30

Revenue and Accounts Receivable - Schedule of Accounts Receivable by Service Type (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for doubtful accounts	$ (2,277)	$ (1,387)
Accounts receivable, net	15,797	11,748
Biopharma Services
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts receivable, gross	3,702	3,683
Clinical Services
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts receivable, gross	13,072	8,972
Discovery Services
Accounts, Notes, Loans and Financing Receivable [Line Items]
Accounts receivable, gross	$ 1,300	$ 480

Revenue and Accounts Receivab31

Revenue and Accounts Receivable - Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Allowance for Doubtful Accounts Receivable [Roll Forward]
Balance, December 31, 2016	$ 1,387
Bad debt expense	890	$ 8
Balance, September 30, 2017	$ 2,277

Revenue and Accounts Receivab32

Revenue and Accounts Receivable - Schedule of Clinical Services Revenue (Details) - Payor - Revenue	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Product Information [Line Items]
Percentage of revenue	36.00%	40.00%	41.00%	39.00%
Medicare
Product Information [Line Items]
Percentage of revenue	11.00%	14.00%	14.00%	13.00%
Other insurers
Product Information [Line Items]
Percentage of revenue	19.00%	21.00%	22.00%	20.00%
Other healthcare facilities
Product Information [Line Items]
Percentage of revenue	6.00%	5.00%	5.00%	6.00%

Revenue and Accounts Receivab33

Revenue and Accounts Receivable - Additional Information (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017USD ($)company	Sep. 30, 2016USD ($)company	Sep. 30, 2017USD ($)company	Sep. 30, 2016USD ($)company
Accounts, Notes, Loans and Financing Receivable [Line Items]
Revenue | $	$ 8,028	$ 6,750	$ 21,598	$ 19,819
Payor | Testing Volume | Clinical Testing
Accounts, Notes, Loans and Financing Receivable [Line Items]
Percentage of benchmark	45.00%	39.00%	40.00%	31.00%
Payor | Sales | 10% or More Clinical Revenue
Accounts, Notes, Loans and Financing Receivable [Line Items]
Percentage of benchmark	11.00%		11.00%
Number of companies that accounted for approximately 10% or more of revenue | company	1	1	1	1
Payor | Sales | Customer One | 10% or More Clinical Revenue
Accounts, Notes, Loans and Financing Receivable [Line Items]
Percentage of benchmark		18.00%		10.00%

Common Stock Purchase Agreeme34

Common Stock Purchase Agreement with Aspire Capital (Details) - USD ($)	Aug. 14, 2017	Sep. 30, 2017
Common Stock Purchase Agreement
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Sale of stock, maximum consideration to be received on transaction	$ 16,000,000
Sale of stock, price per share (in dollars per share)	$ 3
Sale of stock, purchase agreement term	24 months
Sale of stock, number of shares required to be purchased per day by counterparty (in shares)	33,333
Sale of stock, minimum closing trade price per share required by counterparty in order to purchase daily amount (in dollars per share)	$ 3	$ 3
Proceeds from Sale of Treasury Stock		$ 2,965,000
Approximate Offering Costs		$ 35,000
Sale of stock, maximum number of additional shares required to be purchased per day upon mutual agreement	2,000,000
Sale of stock, maximum number of shares issuable in transaction on purchase agreement date	3,938,213
Sale of stock, maximum percentage of ownership that can be sold	20.00%
Common Stock Purchase Agreement - Commitment Shares
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Sale of stock, number of shares issued in transaction (in shares)	320,000	320,000
Common Stock Purchase Agreement - Initial Purchase Price
Business Acquisition, Equity Interests Issued or Issuable [Line Items]
Sale of stock, number of shares issued in transaction (in shares)	1,000,000	1,000,000

Earnings Per Share Reconciliati

Earnings Per Share Reconciliation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Numerator:
Net (loss)	$ (633)	$ (3,745)	$ (12,979)	$ (13,027)
Change in fair value of warrant liability	2,790	0	0	0
Net (loss) for diluted earnings per share	$ (3,423)	$ (3,745)	$ (12,979)	$ (13,027)
Denominator:
Weighted-average basic common shares outstanding (in shares)	21,577	16,519	20,059	14,868
Assumed conversion of dilutive securities:
Common stock purchase warrants (in shares)	782	0	0	0
Potentially dilutive common shares (in shares)	782	0	0	0
Denominator for diluted earnings per share – adjusted weighted-average shares (in shares)	22,359	16,519	20,059	14,868
Basic net (loss) per share	$ (0.03)	$ (0.23)	$ (0.65)	$ (0.88)
Diluted net (loss) per share	$ (0.15)	$ (0.23)	$ (0.65)	$ (0.88)

Earnings Per Share - Summary of

Earnings Per Share - Summary of Anti-Dilutive Equivalent Units Outstanding Excluded From Calculation of Earnings Per Share (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Securities excluded from calculation (in shares)	7,094	9,346	9,505	9,346
Common stock purchase warrants (in shares)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Securities excluded from calculation (in shares)	4,163	7,145	6,574	7,145
Stock options (in shares)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Securities excluded from calculation (in shares)	2,816	2,128	2,816	2,128
Restricted shares of common stock (in shares)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Securities excluded from calculation (in shares)	115	73	115	73

Sale of Net Operating Losses (D

Sale of Net Operating Losses (Details)	Feb. 22, 2017USD ($)
New Jersey Division of Taxation
Income Tax Contingency [Line Items]
Net operating losses sold	$ 18,177,059
Net operating losses, sales price	876,000
Proceeds from sale of net operating losses	970,000
Costs associated with sale of net operating losses	1,043,517
State and Local Jurisdiction
Income Tax Contingency [Line Items]
Research and development tax credits sold	$ 167,572

Term Notes and Line of Credit -

Term Notes and Line of Credit - Additional Information (Details) - USD ($)	Mar. 22, 2017	Sep. 30, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Line of credit		$ 2,000,000	$ 0
Warrants, exercise period	7 years
Warrants, number of shares of common stock with right to purchase (in shares)	443,262
Warrants, exercise price (usd per share)	$ 2.82
Class of warrant or right number of securities called by warrants or rights, percentage of number of shares issued that may be removed from agreement upon achieving certain financial milestones	20.00%
Silicon Valley Bank | Line of Credit
Debt Instrument [Line Items]
Debt instrument term	2 years
Line of credit, maximum borrowing capacity (not to exceed)	$ 6,000,000
Line of credit, maximum borrowing capacity, percent of accounts receivable	80.00%
Line of credit, facility, maximum borrowing capacity, percentage of net collectable value of third party accounts receivable	50.00%
Line of credit, facility, maximum borrowing capacity, times the average monthly collection amount of third party receivables over a previous quarter	3
Effective interest rate		5.80%
Debt related commitment fees and debt issuance costs	$ 30,000
Line of credit facility, unused capacity, commitment fee	0.25%
Line of credit		$ 2,000,000
Silicon Valley Bank | Line of Credit | Prime Rate
Debt Instrument [Line Items]
Basis spread on variable rate	1.50%
PFG | Secured Debt
Debt Instrument [Line Items]
Debt instrument term	3 years
Effective interest rate	11.50%
Debt related commitment fees and debt issuance costs	$ 120,000
Term note, principal balance	$ 6,000,000
Debt instrument, interest rate, effective percentage upon achieving certain milestones set forth by lender	11.00%
Warrants, exercise period	7 years
Warrants, number of shares of common stock with right to purchase (in shares)	443,262
Warrants, exercise price (usd per share)	$ 2.82
Class of warrant or right number of securities called by warrants or rights, percentage of number of shares issued that may be removed from agreement upon achieving certain financial milestones	20.00%

Term Notes and Line of Credit39

Term Notes and Line of Credit - Schedule of Long-Term Debt (Details) - Secured Debt - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Less unamortized debt issuance costs	$ 199	$ 13
Term notes, net	4,936	4,654
Less current maturities	0	2,000
Long-term portion	4,936	2,654
SVB Term Note
Debt Instrument [Line Items]
SVB Term Note, repaid in 2017	0	4,667
PFG Term Note
Debt Instrument [Line Items]
PFG Term Note, net of discount of $865	5,135	$ 0
Term note unamortized discount	951
PFG
Debt Instrument [Line Items]
Term notes, net	$ 6,000

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details)	1 Months Ended	3 Months Ended		9 Months Ended
	May 31, 2014$ / sharesshares	Sep. 30, 2017USD ($)shares	Sep. 30, 2016	Sep. 30, 2017USD ($)stock_planshares	Sep. 30, 2016USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of equity incentive plans | stock_plan				2
Options granted maximum exercisable period (up to)				10 years
Proceeds from stock options exercised		$ 2,500		$ 7,000	$ 0
Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested stock options granted		2,865,963		$ 2,865,963
Unrecognized compensation cost related to non-vested stock options granted expect to recognize, period (in years)				2 years 3 months 26 days
Non-Employee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested stock options granted		$ 12,625		$ 12,625
Unrecognized compensation cost related to non-vested stock options granted expect to recognize, period (in years)				3 months
Dividend yield		0.00%	0.00%	0.00%	0.00%
Director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Issuance of shares under stock options issued (in shares) | shares	200,000
Exercise price of options exchanged (usd per share) | $ / shares	$ 15.89
2011 Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future awards (in shares) | shares		391,317		391,317
2008 Stock Option Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for future awards (in shares) | shares		134,354		134,354
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Dividend yield		0.00%	0.00%	0.00%	0.00%
Restricted shares of common stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested stock options granted expect to recognize, period (in years)				1 year 6 months
Unrecognized compensation cost		$ 383,829		$ 383,829

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Employee and Nonemployee Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2017	Dec. 31, 2016
Options Outstanding, Number of Shares Outstanding
Outstanding, beginning balance (in shares)	2,198,000
Granted (in shares)	860,000
Exercised (in shares)	(3,000)
Canceled or expired (in shares)	(239,000)
Outstanding, ending balance (in shares)	2,816,000	2,198,000
Exercisable June 30, 2017 (in shares)	1,533,000
Options Outstanding, Weighted-Average Exercise Price
Outstanding, beginning balance (usd per share)	$ 9.09
Granted (usd per share)	2.87
Exercised (usd per share)	2.23
Cancelled or expired (usd per share)	10.80
Outstanding, ending balance (usd per share)	7.05	$ 9.09
Exercisable June 30, 2017 (usd per share)	$ 9.54
Weighted-Average Remaining Contractual Term and Aggregate Intrinsic Value
Weighted- Average Remaining Contractual Term, Outstanding (in years)	7 years 2 months 9 days	7 years 15 days
Weighted- Average Remaining Contractual Term, Exercisable (in years)	5 years 8 months 9 days
Aggregate Intrinsic Value, Outstanding	$ 367	$ 0
Aggregate Intrinsic Value, Exercisable	$ 76

Stock-Based Compensation - Weig

Stock-Based Compensation - Weighted-Average Assumptions Used to Estimate Fair Value of Options Granted (Details) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	75.28%	74.30%	74.60%	74.30%
Risk free interest rate	1.92%	1.17%	1.97%	1.17%
Dividend yield	0.00%	0.00%	0.00%	0.00%
Term (years)	5 years 8 months 23 days	5 years 11 months 1 day	5 years 10 months 24 days	5 years 11 months 1 day
Weighted-average fair value of options granted during the period (usd per share)	$ 1.91	$ 1.30	$ 1.89	$ 1.30
Non-Employee
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	74.39%	72.97%	76.06%	74.50%
Risk free interest rate	2.17%	1.46%	2.19%	1.43%
Dividend yield	0.00%	0.00%	0.00%	0.00%
Term (years)	6 years 7 months 21 days	7 years 7 months 21 days	6 years 10 months 21 days	7 years 10 months 21 days

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock Award Activity (Details) - Restricted shares of common stock	9 Months Ended
	Sep. 30, 2017$ / sharesshares
Number of Shares (in shares):
Non-vested, beginning balance (in shares) | shares	80,000
Granted (in shares) | shares	65,000
Vested (in shares) | shares	(30,000)
Non-vested, ending balance (in shares) | shares	115,000
Weighted-Average Grant Date Fair Value (in dollars per share):
Non-vested, beginning balance (usd per share) | $ / shares	$ 6.30
Granted (usd per share) | $ / shares	3.29
Vested (usd per share) | $ / shares	8.30
Non-vested, ending balance (usd per share) | $ / shares	$ 4.09

Stock-Based Compensation - Effe

Stock-Based Compensation - Effects of Stock-Based Compensation Related to Stock Option Awards (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Total stock-based compensation	$ 519	$ 514	$ 1,395	$ 1,538
Cost of revenues
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Total stock-based compensation	122	83	250	219
Research and development
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Total stock-based compensation	11	45	110	140
General and administrative
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Total stock-based compensation	356	356	949	1,095
Sales and marketing
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Total stock-based compensation	$ 30	$ 30	$ 86	$ 84

Warrants - Additional Informati

Warrants - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	Mar. 28, 2017	Mar. 22, 2017	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2016
Class of Warrant or Right [Line Items]
Warrants, exercise period		7 years
Warrants, number of shares of common stock with right to purchase (in shares)		443,262
Warrants, exercise price (usd per share)		$ 2.82
Class of warrant or right number of securities called by warrants or rights, percentage of number of shares issued that may be removed from agreement upon achieving certain financial milestones		20.00%
Class of warrant or right, average stock price settlement period		90 days
Proceeds from warrant exercises				$ 1,827	$ 0
Warrants exercised (in shares)	90,063			902,000
Warrants, exercise price (usd per share)	$ 2.25			$ 4.93
Warrants surrendered (in shares)	45,162
Warrants issued (in shares)	44,901			443,000
Common Stock
Class of Warrant or Right [Line Items]
Proceeds from warrant exercises			$ 56	$ 1,827
Warrants exercised (in shares)			25,000	811,900
Warrants, exercise price (usd per share)				$ 2.25

Warrants - Summary of Warrant A

Warrants - Summary of Warrant Activity (Details) - $ / shares	Mar. 28, 2017	Sep. 30, 2017
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)	$ 2.25	$ 4.93
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		7,033,000
Warrants issued (in shares)	44,901	443,000
Warrants exercised (in shares)	(90,063)	(902,000)
Warrants outstanding, ending balance (in shares)		6,574,000
Warrant Issued With | Non-derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 6.42
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		4,163,000
Warrants issued (in shares)		0
Warrants exercised (in shares)		0
Warrants outstanding, ending balance (in shares)		4,163,000
Warrant Issued For | Derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 2.35
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		2,870,000
Warrants issued (in shares)		443,000
Warrants exercised (in shares)		(902,000)
Warrants outstanding, ending balance (in shares)		2,411,000
Debt guarantee | Warrant Issued With | Non-derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 15
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		109,000
Warrants issued (in shares)		0
Warrants exercised (in shares)		0
Warrants outstanding, ending balance (in shares)		109,000
Financing | Warrant Issued With | Non-derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 10
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		243,000
Warrants issued (in shares)		0
Warrants exercised (in shares)		0
Warrants outstanding, ending balance (in shares)		243,000
Financing | Warrant Issued With | Non-derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 15
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		361,000
Warrants issued (in shares)		0
Warrants exercised (in shares)		0
Warrants outstanding, ending balance (in shares)		361,000
2016 Offerings | Warrant Issued For | Derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 2.25
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		2,870,000
Warrants issued (in shares)		0
Warrants exercised (in shares)		(902,000)
Warrants outstanding, ending balance (in shares)		1,968,000
2017 Debt | Warrant Issued For | Derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 2.82
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		0
Warrants issued (in shares)		443,000
Warrants exercised (in shares)		0
Warrants outstanding, ending balance (in shares)		443,000
2015 Offering | Warrant Issued With | Non-derivative warrants
Class of Warrant or Right [Line Items]
Warrants, Exercise Price (usd per share)		$ 5
Class of Warrants Outstanding [Roll Forward]
Warrants outstanding, beginning balance (in shares)		3,450,000
Warrants issued (in shares)		0
Warrants exercised (in shares)		0
Warrants outstanding, ending balance (in shares)		3,450,000

Fair Value of Warrants - Summar

Fair Value of Warrants - Summary of Derivative Warrant Activity (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017
Class of Warrants Outstanding [Roll Forward]
Fair value of warrants outstanding as of December 31, 2016	$ 2,018
Fair value of warrants issued	1,004
Fair value of warrants exercised	(2,782)
Change in fair value of warrants	3,927
Fair value of warrants outstanding as of September 30, 2017	2,018	$ 4,167
2016 Offering
Class of Warrants Outstanding [Roll Forward]
Fair value of warrants outstanding as of December 31, 2016	2,018
Fair value of warrants issued	0
Fair value of warrants exercised	(2,782)
Change in fair value of warrants	4,107
Fair value of warrants outstanding as of September 30, 2017	2,018	3,343
2017 Debt
Class of Warrants Outstanding [Roll Forward]
Fair value of warrants outstanding as of December 31, 2016	0
Fair value of warrants issued	1,004
Fair value of warrants exercised	0
Change in fair value of warrants	(180)
Fair value of warrants outstanding as of September 30, 2017	$ 0	$ 824

Fair Value of Warrants - Assump

Fair Value of Warrants - Assumptions Used in Computing Fair Value of Derivative Warrants (Details) - $ / shares	Sep. 30, 2017	Dec. 31, 2016	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
2017 Debt
Class of Warrant or Right [Line Items]
Exercise price (in dollars per share)	$ 2.82				$ 2.82
Expected life (years)	6 years 5 months 23 days				7 years
Expected volatility	74.07%				74.61%
Risk-free interest rate	2.16%				2.22%
Expected dividend yield	0.00%				0.00%
2016 Offering
Class of Warrant or Right [Line Items]
Exercise price (in dollars per share)	$ 2.25	$ 2.25	$ 2.25	$ 2.25	$ 2.25	$ 2.25
Expected life (years)	4 years 3 months 29 days	5 years 22 days	4 years 3 months 18 days	5 years 6 months	4 years 9 months 11 days	5 years 6 months
Expected volatility	75.07%	72.82%	74.20%	73.28%	76.24%	74.36%
Risk-free interest rate	1.92%	1.93%	1.81%	1.21%	1.94%	1.30%
Expected dividend yield	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Financial Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair value measurements, recurring - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Warrant liability	$ 4,167	$ 2,018
Note payable	228	114
Total liabilities fair value	4,395	2,132
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Warrant liability	0	0
Note payable	0	0
Total liabilities fair value	0	0
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Warrant liability	0	0
Note payable	0	0
Total liabilities fair value	0	0
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Warrant liability	4,167	2,018
Note payable	228	114
Total liabilities fair value	$ 4,395	$ 2,132

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loss (gain) due to change in value of note payable	$ (105,000)	$ (18,000)	$ 114,000	$ (119,000)
Gain (loss) due to expiration of warrant liability	2,790,000	712,000	$ (3,927,000)	729,000
VenturEast | BioServe
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Number of shares associated with notes payable (in shares)			84,278
Loss (gain) due to change in value of note payable	105,000	(18,000)	$ 114,000	(119,000)
2016 Offering | Significant Unobservable Inputs (Level 3) | Fair value measurements, recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Gain (loss) due to expiration of warrant liability	$ 2,790,000	$ 712,000	$ (3,927,000)	17,000
Gain (Loss) On Derivatives Instruments From Stock Price Change				$ (712,000)

Fair Value Measurements - Sum51

Fair Value Measurements - Summary of Fair Value of Notes Payable (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2017USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Fair value of warrants issued	$ 1,004
Fair value of warrants exercised	(2,782)
Notes Payable to VenturEast | Significant Unobservable Inputs (Level 3) | Fair value measurements, recurring
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Fair value of warrants issued	0
Fair value of warrants exercised	0
Notes Payable to VenturEast | VenturEast | Significant Unobservable Inputs (Level 3) | Fair value measurements, recurring
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	114
Change in fair value	114
Ending balance	228
Warrant Liability | Significant Unobservable Inputs (Level 3) | Fair value measurements, recurring
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	2,018
Fair value of warrants issued	1,004
Fair value of warrants exercised	(2,782)
Change in fair value	3,927
Ending balance	$ 4,167

Joint Venture Agreement - Addit

Joint Venture Agreement - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended		53 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	May 31, 2013
Schedule of Equity Method Investments [Line Items]
Joint venture net loss			$ 21,000	$ 45,000
Research and development
Schedule of Equity Method Investments [Line Items]
Joint venture net loss	$ 2,000	$ 18,000	21,000	$ 45,000
Equity Method Investee
Schedule of Equity Method Investments [Line Items]
Due from related parties, current	10,000		10,000		$ 10,000
Joint Venture Agreement
Schedule of Equity Method Investments [Line Items]
Percentage of outstanding membership interests in joint venture						50.00%
Investment in joint venture					2,000,000
Fair value of capital contribution in joint venture	$ 6,000,000		$ 6,000,000		$ 6,000,000
Joint Venture Agreement | Maximum
Schedule of Equity Method Investments [Line Items]
Required payments to acquire interest in joint venture						$ 6,000,000

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details)	1 Months Ended	3 Months Ended			9 Months Ended		12 Months Ended
	Apr. 30, 2014USD ($)	Sep. 30, 2017USD ($)	Sep. 30, 2016USD ($)	Mar. 31, 2016USD ($)	Sep. 30, 2017USD ($)shares	Sep. 30, 2016USD ($)	Dec. 31, 2015USD ($)patent	Dec. 31, 2010USD ($)shares	May 10, 2010$ / shares
Related Party Transaction [Line Items]
Option to purchase shares under consulting agreement (in shares) | shares					860,000
Equity Dynamics, Inc.
Related Party Transaction [Line Items]
Agreement with related party, fee	$ 10,000
Agreement with related party, consulting fee		$ 30,000	$ 30,000		$ 90,000	$ 90,000
Due to related party		20,000			20,000
Dr. Chaganti
Related Party Transaction [Line Items]
Consulting agreement period								3 years
Consulting and advisory services fee								$ 5,000
Option to purchase shares under consulting agreement (in shares) | shares								200,000
Common stock, shares purchased price per share (usd per share) | $ / shares									$ 15.89
Award vesting period								4 years
Agreement with related party, one-time payment required								$ 50,000
Agreement with related party, percentage of net revenues required to be paid								1.00%
Patent expenses							$ 50,000
Payment for revenue received from license sales				$ 50,000
Number of patents were issued | patent							1
Dr. Chaganti | Consulting and Advisory Agreement
Related Party Transaction [Line Items]
Non-cash stock-based compensation expense		$ 12,625	$ 7,125		$ 62,125	$ 32,750