ADMA Biologics (ADMA) 10-Q 10 Nov 14 2014 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Sep. 30, 2014	Nov. 07, 2014
Document And Entity Information	'	'
Entity Registrant Name	'ADMA BIOLOGICS, INC.	'
Entity Central Index Key	'0001368514	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Is Entity a Well-known Seasoned Issuer?	'No	'
Is Entity a Voluntary Filer?	'No	'
Is Entity's Reporting Status Current?	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	9,291,823
Document Fiscal Period Focus	'Q3	'
Document Fiscal Year Focus	'2014	'

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Current Assets	'	'
Cash and Cash Equivalents	$13,951,525	$26,149,477
Short-Term Investments	6,319,629	2,935,184
Accounts Receivable	562,171	0
Inventories	1,452,556	1,669,058
Prepaid Expenses	285,662	298,730
Total Current Assets	22,571,543	31,052,449
Property and Equipment at cost, Net	2,381,200	765,299
Other Assets	'	'
Deferred Financing Costs	307,309	149,618
Deposits	27,163	12,577
Total Other Assets	334,472	162,195
TOTAL ASSETS	25,287,215	31,979,943
Current Liabilities	'	'
Accounts Payable	2,444,904	2,709,489
Accrued Expenses	1,511,010	823,550
Accrued Interest	73,666	36,597
Current Portion of Deferred Revenue	75,556	75,556
Current Portion of Leasehold Improvement Loan	13,534	12,654
Total Current Liabilities	4,118,670	3,657,846
Notes Payable, Net of Debt Discount	9,859,876	4,865,228
Warrant Liability	263,784	0
End of Term Liability, Note Payable	132,500	132,500
Deferred Revenue	1,523,704	1,580,370
Deferred Rent Liability	88,761	105,404
Leasehold Improvement Loan	54,973	65,236
TOTAL LIABILITIES	16,042,268	10,406,584
COMMITMENTS AND CONTINGENCIES	'	'
STOCKHOLDERS' EQUITY	'	'
Common Stock $.0001 par value 75,000,000 shares authorized, and 9,291,823 shares issued and outstanding	929	929
Additional Paid-In Capital	75,130,398	74,209,004
Accumulated Deficit	-65,886,380	-52,636,574
TOTAL STOCKHOLDERS' EQUITY	9,244,947	21,573,359
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$25,287,215	$31,979,943

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Stockholders Equity	'	'
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	75,000,000	75,000,000
Common stock, issued	9,291,823	9,291,823
Common stock, outstanding	9,291,823	9,291,823

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Condensed Consolidated Statements Of Operations	'	'	'	'
Product revenue	$1,347,041	$1,088,452	$4,370,141	$2,618,361
License revenue	18,889	18,889	56,667	25,185
Total Revenues	1,365,930	1,107,341	4,426,808	2,643,546
OPERATING EXPENSES	'	'	'	'
Cost of product revenue	867,681	726,245	2,785,526	1,741,052
Research and development	1,482,929	1,408,990	7,597,295	6,346,924
Plasma centers	1,018,382	657,776	2,641,700	1,713,058
General and administrative expenses	1,035,220	845,301	3,711,875	3,366,699
TOTAL OPERATING EXPENSES	4,404,212	3,638,312	16,736,396	13,167,733
LOSS FROM OPERATIONS	-3,038,282	-2,530,971	-12,309,588	-10,524,187
OTHER INCOME (EXPENSE):	'	'	'	'
Interest income	3,508	2,145	8,912	5,658
Interest expense	-335,299	-162,934	-904,934	-450,574
Change in fair value of stock warrants	-14,616	2,813	-44,196	60,568
Other income	0	0	0	82,497
OTHER INCOME (EXPENSE), NET	-346,407	-157,976	-940,218	-301,851
NET LOSS	($3,384,689)	($2,688,947)	($13,249,806)	($10,826,038)
NET LOSS PER COMMON SHARE - Basic and Diluted	($0.36)	($0.46)	($1.43)	($1.84)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING, Basic and Diluted	9,291,823	5,871,002	9,291,823	5,871,002

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) (USD $)	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Total
Beginning Balance, Amount at Dec. 31, 2013	$929	$74,209,004	($52,636,574)	$21,573,359
Beginning Balance, Shares at Dec. 31, 2013	9,291,823	'	'	'
Stock-based compensation	'	921,394	'	921,394
Net loss	'	'	-13,249,806	-13,249,806
Ending Balance, Amount at Sep. 30, 2014	$929	$75,130,398	($65,886,380)	$9,244,947
Ending Balance, Shares at Sep. 30, 2014	9,291,823	'	'	'

CONDENSED_CONSOLIDATED_STATEME2

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:	'	'
Net Loss	($13,249,806)	($10,826,038)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	151,062	159,075
Stock-based compensation	921,394	666,536
Warrant liability	44,196	-60,568
Amortization of debt discount	95,001	66,984
Amortization of deferred financing costs	94,257	72,042
Payment-in-kind interest	119,234	0
Amortization of license revenue	-56,667	-25,185
Changes in operating assets and liabilities	'	'
Accounts receivable	-562,171	-295,979
Inventories	216,502	60,520
Prepaid expenses	13,068	-115,657
Other assets	-14,586	132,403
Accounts payable	-265,754	423,972
Accrued expenses	671,367	95,730
Accrued interest	37,069	35,417
Deferred revenue	0	1,700,000
Deferred rent liability	-16,643	-16,643
Net cash used in operating activities	-11,802,477	-7,927,391
CASH FLOWS FROM INVESTING ACTIVITIES:	'	'
Purchase of short-term investments	-3,384,446	0
Purchase of property and equipment	-1,766,963	-191,176
Net cash used in investing activities	-5,151,409	-191,176
CASH FLOWS FROM FINANCING ACTIVITIES:	'	'
Proceeds from Hercules note payable, net of fees	4,850,000	1,000,000
Debt issuance costs	-30,140	0
Equity issuance costs	-54,543	-28,483
Payments of leasehold improvement loan	-9,383	-8,579
Net cash provided by financing activities	4,755,934	962,938
NET DECREASE IN CASH AND CASH EQUIVALENTS	-12,197,952	-7,155,629
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD	26,149,477	12,535,672
CASH AND CASH EQUIVALENTS - END OF PERIOD	13,951,525	5,380,043
Cash paid for interest	561,705	275,305
Supplemental Disclosure of Noncash Financing Activities:	'	'
Warrants issued in connection with note payable	219,588	0
Accrued equity issuance costs	17,265	68,321
End of term liability for Hercules note payable	$0	$26,500

1_ORGANIZATION_AND_BUSINESS

1. ORGANIZATION AND BUSINESS	9 Months Ended
	Sep. 30, 2014
Accounting Policies [Abstract]	'
1. ORGANIZATION AND BUSINESS	'
	ADMA Biologics, Inc. (“ADMA” or the “Company”) is a late stage biopharmaceutical company that develops, manufactures, and intends to market specialty plasma-based biologics for the treatment and prevention of certain infectious diseases. The Company’s targeted patient populations include immune-compromised individuals who suffer from an underlying immune deficiency disease or who may be immune-suppressed for medical reasons. ADMA also operates its wholly owned subsidiary, ADMA BioCenters Georgia, Inc., (“ADMA BioCenters”), a source plasma collection business licensed by the U.S. Food and Drug Administration (“FDA”), certified by the German Health Authority (“GHA”) and the Korean Ministry of Food and Drug Safety (“MFDS”), which provides ADMA with a portion of its blood plasma for the manufacture of RI-002, ADMA’s lead product candidate, which is intended for the treatment of Primary Immune Deficiency Disease, (“PIDD”).
	The Company has experienced net losses and negative cash flows from operations since inception in 2004 and expects these conditions to continue for the foreseeable future.  The Company has needed to raise capital from the sales of its equity securities and debt financings to sustain operations and expects that it will continue to need to do so for the foreseeable future.
	In October 2013, ADMA completed an initial public offering of its common stock at a price per share of $8.50, raising gross proceeds of $29.1 million.  As of September 30, 2014, the Company had $13,951,525 in cash and cash equivalents, $6,319,629 in short-term investments and $562,171 in accounts receivable.  Based upon the Company’s projected revenue and expenditures, management currently believes that its cash and cash equivalents and short-term investments as of September 30, 2014, in addition to the funds potentially available from its credit facility are anticipated to be sufficient to fund ADMA’s operations into the first half of 2016.  If the Company’s assumptions underlying its estimated expenses and revenues prove to be wrong, it may have to raise additional capital sooner than anticipated.  Due to numerous risks and uncertainties associated with the research and development and potential future commercialization of its product candidate, the Company is unable to estimate with certainty the amounts of increased capital outlays and operating expenditures associated with its anticipated clinical trials and development activities.  The Company’s current estimates may be subject to change as circumstances regarding its business requirements develop.  The Company may decide to raise capital through public or private equity offerings, debt financings or corporate collaboration and licensing arrangements.  The Company does not have any existing commitments for future external funding.  The Company may seek to sell additional equity or debt securities or obtain an additional bank credit facility.  The sale of additional equity or debt securities, if convertible, could result in dilution to the Company’s stockholders.  The incurrence of additional indebtedness would result in increased fixed obligations and could also result in covenants that would restrict the Company’s operations or other financing alternatives.  Additional equity or debt financing, grants, or corporate collaboration and potential licensing arrangements may not be available on acceptable terms, if at all.  If adequate funds are not available, the Company may be required to delay, reduce the scope of or eliminate the Company’s research and development programs, reduce the Company’s planned clinical trials and delay or abandon potential commercialization efforts of the Company’s lead product candidate.  The Company’s ability to continue as a going concern will be dependent on its ability to raise additional capital when needed, to fund its research and development and commercial programs and to meet its obligations on a timely basis.
	There can be no assurance that the Company's research and development will be successfully completed or that any product will be approved or if approved, will be commercially viable. The Company is subject to risks common to companies in the biotechnology industry including, but not limited to, dependence on collaborative arrangements, development by the Company or its competitors of new technological innovations, dependence on key personnel, protection of proprietary technology, possible limitations on intellectual property protection and compliance with the FDA and other governmental regulations and approval requirements.

2_SUMMARY_OF_SIGNIFICANT_ACCOU

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Sep. 30, 2014
Accounting Policies [Abstract]	'
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
	Basis of presentation and principles of consolidation
	The accompanying condensed consolidated financial statements include the accounts of ADMA and its wholly-owned subsidiaries, ADMA Plasma Biologics, Inc. and ADMA BioCenters. All significant intercompany transactions and balances have been eliminated in consolidation.
	The condensed consolidated financial statements for the interim periods included herein are unaudited; however, they contain all adjustments (consisting of only normal recurring adjustments) which in the opinion of management are necessary to present fairly the consolidated financial position of the Company as of September 30, 2014 and its results of operations and cash flows for the three and nine months ended September 30, 2014 and 2013.  The results of operations for the interim periods are not necessarily indicative of results that may be expected for any other interim periods or for the full year.  These interim financial statements should be read in conjunction with the audited annual consolidated financial statements and notes thereto included in the Company’s Annual Report for the year ended December 31, 2013 on Form 10-K, filed with the United States Securities and Exchange Commission, (“the Commission”) on March 28, 2014.
	The condensed consolidated financial statements have been prepared in accordance with Generally Accepted Accounting Principles, (“GAAP”), in accordance with the rules and regulations of the Commission for interim reporting.  Pursuant to such rules and regulations, certain information and footnote disclosures normally included in complete annual financial statements have been condensed or omitted.
	Inventories
	Plasma inventories (both plasma intended for resale and plasma intended for internal use in the Company's research and development activities) are carried at the lower of cost or market value determined on the first-in, first-out method.  Once the research and development plasma is processed to a finished product for ongoing clinical trials, it is then expensed to research and development.  Inventory at September 30, 2014 and 2013 consists of raw materials or source plasma intended for sale to third party customers.  Inventory also includes plasma collected at the Company’s FDA-licensed and GHA-certified plasma collection center.
	Revenue recognition
	Revenue from the sale of human plasma collected at the Company’s plasma collection center and plasma-derived medicinal products is recognized at the time of transfer of title and risk of loss to the customer, which usually occurs at the time of shipment.  Revenue is recognized at the time of delivery if the Company retains the risk of loss during shipment. Revenues are substantially attributed to one customer. Revenue from license fees and research and development services rendered are recognized as revenue when the performance obligations under the terms of the license agreement have been completed.  Deferred revenue of $1.7 million was recorded in the second quarter of 2013 as a result of certain research and development services to be provided in accordance with a license agreement and is being recognized over the term of the license.
	Use of estimates
	The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.  Significant estimates include valuation of inventory, assumptions used in the fair value determination of stock-based compensation, valuation of the warrant liability attributed to loan obligations and the allowance for the valuation of future tax benefits.
	Loss per common share
	Basic net loss per share is computed by dividing net loss attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period.
	Diluted net loss per share is calculated by dividing net loss attributable to common stockholders as adjusted for the effect of dilutive securities, if any, by the weighted average number of shares of common stock and potential dilutive common stock outstanding during the period.  Potential dilutive common stock includes the shares of common stock issuable upon the exercise of outstanding stock options and warrants (using the treasury stock method).  Potential dilutive common stock in the diluted net loss per share computation is excluded to the extent that they would be anti-dilutive.  No potentially dilutive securities are included in the computation of any diluted per share amounts as the Company reported a net loss for all periods presented.  The aggregate number of potentially dilutive securities upon the exercise of outstanding warrants and stock options was 1.2 million and 0.9 million as of September 30, 2014 and 2013, respectively.
	Stock-based compensation
	The Company follows recognized accounting guidance which requires all stock-based payments, including grants of stock options, to be recognized in the statements of operations as compensation expense, based on their fair values on the grant date. The estimated fair value of stock options granted under the Company’s 2007 Employee Stock Option Plan (the“Plan”) is recognized as compensation expense over the option-vesting period.
	On June 19, 2014, at the Annual Meeting of stockholders, the stockholders approved the 2014 Omnibus Incentive Compensation Plan (the “2014 Plan”), which was approved by the Board of Directors of ADMA (“the Board”) on February 21, 2014.  Grants of incentive stock options to purchase an aggregate of 167,932 shares of the Company's common stock under the 2014 Plan to three executive officers were approved by the Board on February 21, 2014, and conditioned upon the approval of the 2014 Plan.  These stock options are comprised of 99,309 shares for the Company’s President and Chief Executive Officer, Adam S. Grossman; 39,032 shares for the Company’s Chief Financial Officer, Brian Lenz; and 29,591 shares for the Company's Chief Scientific and Medical Officer, James Mond, M.D., Ph.D.  The stock options vest over a period of four years and are exercisable at a price per share of $8.50, the closing price of the Company’s common stock on the OTC Bulletin Board on February 21, 2014.  Grants of non-qualified stock options to purchase 9,000 shares of the Company's common stock under the 2014 Plan, to each of the Company’s six non-employee directors, were approved by the Board on February 21, 2014, and were also conditioned upon the approval of the 2014 Plan at the 2014 Annual Meeting of Stockholders.  The stock options will vest over a period of 24 months and terminate 12 months following separation and are exercisable at a price per share of $8.50, the closing price of the Company’s common stock on the OTC Bulletin Board on February 21, 2014. The maximum number of shares reserved for grant under the 2014 Plan is: (a) 800,000 shares; plus (b) an annual increase as of the first day of the Company’s fiscal year, beginning in 2015 and occurring each year thereafter through 2020, equal to the least of (i) 200,000 shares, (ii) 1% of the outstanding shares of common stock as of the end of the Company’s immediately preceding fiscal year, and (iii) any lesser number of shares determined by the Board; provided, however, that the aggregate number of shares available for issuance pursuant to such increases shall not exceed a total of 800,000 shares.  During the three months ended September 30, 2014 and 2013, no options were issued to employees or directors.  During the nine months ended September 30, 2014 and 2013 stock options to purchase 221,932 and 25,587 shares of common stock were issued to employees and non-employee directors, respectively.

3_Debt

3. Debt	9 Months Ended
	Sep. 30, 2014
Debt Disclosure [Abstract]	'
3. Debt	'
	Hercules Loan and Security Agreement
	On December 21, 2012, the Company and its subsidiaries entered into a Loan and Security Agreement, (“the Loan Agreement”), with Hercules Technology Growth Capital, Inc., (“Hercules”).  Under the Loan Agreement, the Company borrowed $5.0 million consisting of $4.0 million on the closing date and an additional $1.0 million upon enrolling its first patient in its pivotal (Phase III) clinical study of its lead product candidate RI-002. On February 24, 2014, the Company entered into the First Amendment to the Loan Agreement, (“Loan Amendment”), under which the Company may borrow up to a maximum of $15.0 million. The Company borrowed $10.0 million on the closing date ($5.0 million of which was used to refinance existing debt with Hercules) and an additional $5.0 million will be made available upon the Company successfully meeting the clinical endpoints of a Phase III clinical study of RI-002 as a treatment for PIDD in a manner that supports a Biologic License Application filing, (“BLA”).  If this objective is met, this $5.0 million tranche will be at the Company’s sole option.  The loan bears interest at a rate per annum equal to the greater of (i) 8.75% and (ii) the sum of (a) 8.75% plus (b) the Prime Rate (as reported in The Wall Street Journal) minus (c) 5.75%. Payment-in-kind interest accrues on the outstanding principal balance of the loan, compounded monthly at 1.95% per annum.  Such accrued and unpaid interest is added to the principal balance of the loan on the first day of each month beginning on the month after the closing.  The Company plans to repay the principal over 27 months beginning no later than April 1, 2015 (unless extended to October 1, 2015 upon the Company meeting certain eligibility criteria for the final tranche), unless accelerated as a result of certain events of default.  A backend fee equal to $132,500 is due the earliest of April 1, 2016, the prepayment date and the date that the secured obligations become due and payable.  In addition, a first amendment commitment fee and a facility fee in the amount of $15,000 and $135,000, respectively, were paid at closing.   In the event the Company elects to prepay the loan, the Company is obligated to pay a prepayment charge corresponding to a percentage of the principal amount of the loan, with such percentage being: 2.5% if prepayment occurs in the first year, 1.5% if prepayment occurs in the second year and 0.5% if prepayment occurs after the second year but prior to the final day of the term.  The loan matures no later than January 1, 2018.  The loan is secured by the Company’s assets, except for its intellectual property (which is subject to a negative pledge). Interest is due and payable on the first day of every month and at the termination date, unless accelerated as a result of an event of default. The Loan Agreement contains customary representations, warranties and covenants, including limitations on incurring indebtedness, engaging in mergers or acquisitions and making investments, distributions or transfers.  The representations, warranties and covenants contained in the Loan Agreement were made only for purposes of such agreement and as of a specific date or specific dates, were solely for the benefit of the parties to such agreement, and may be subject to limitations agreed upon by the contracting parties, including being qualified by confidential disclosures exchanged between the parties in connection with the execution of the Loan Agreement. Events of default under the agreement include, but are not limited to: (i) insolvency, liquidation, bankruptcy or similar events; (ii) failure to pay any debts due under the Loan Agreement or other loan documents on a timely basis; (iii) failure to observe any covenant or secured obligation under the Loan Agreement or other loan documents, which failure, in most cases, is not cured within 10 days of written notice by lender; (iv) occurrence of any default under any other agreement between us and the lender, which is not cured within 10 days; (v) occurrence of an event that could reasonably be expected to have a material adverse effect;  (vi) material misrepresentations; (vii) occurrence of any default under any other agreement involving indebtedness in excess of $50,000 or the occurrence of a default under any agreement that could reasonably be expected to have a material adverse effect; and (viii) certain money judgments are entered against the Company or a certain portion of the Company’s assets are attached or seized.   Remedies for events of default include acceleration of amounts owing under the Loan Agreement and taking immediate possession of, and selling, any collateral securing the loan.
	In connection with the original Loan Agreement, the Company issued to Hercules a warrant to purchase 31,750 shares of common stock with an exercise price of $7.56, and under the amended Loan Agreement, the Company issued to Hercules a warrant to purchase an additional 34,800 shares of its common stock (and a warrant for an additional 23,200 shares of common stock if we borrow an additional $5.0 million as described above), with an exercise price set at the lower of (i) $7.50 per share or (ii) the price per share of the next round of financing over the next twelve months, subject to customary anti-dilution adjustments.  The warrants expire after 10 years and have piggyback registration rights with respect to the shares of common stock underlying the warrant.  In addition, the Company has also granted Hercules the option to invest (until the loan maturity date) up to $1.0 million in future equity financings at the same terms as the other investors.  The Loan Agreement contains certain provisions that require the warrants issued to Hercules to be accounted for as a liability and to be “mark-to-market” each reporting period.  Changes in the valuation of this liability at the end of each reporting period will be included in its reported operating results, and may create volatility in its reported operating results. The fair value of the initial Loan Agreement warrant was calculated using a lattice-based option model in order to account for features in the warrant that could cause the exercise price to reset (“down round protection”) in the next issuance of our common stock (the next round of equity financing). The Company recorded the fair value of the warrant of $229,345 as warrant liability and as a debt discount to the carrying value of the loan.  The key assumptions used to value the warrants included the expected date of the next round of equity financing, volatility of 59% on our common stock based upon similar public companies volatilities for comparison, an expected dividend yield of 0.0%, a risk-free interest rate of 2.54% and a term of 10 years.  As of October 22, 2013, the closing date of the Initial Public Offering (“IPO”), the Company recorded $186,055 as the fair value of the warrant, as additional paid-in capital.   As a result of the decrease in warrant liability, the Company recorded a $43,290 change in the fair value of warrant liability.  This warrant liability was adjusted from inception of the initial Loan Agreement to October 22, 2013, to fair value each reporting period using a lattice-based option model and the debt discount will be amortized to interest expense over the term of the loan. Upon the completion of the IPO of common stock in October 2013, the down round warrant protection feature resulting in the warrant liability’s quarterly “mark-to-market” valuation being terminated and, therefore, this liability was reclassified to additional paid-in capital during the fourth quarter of 2013. The fair value of the amended Loan Agreement warrant was calculated using a lattice-based option model in order to account for features in the warrant that could cause the exercise price to reset (“down round protection”) in the next issuance of our common stock (the next round of equity financing). The Company recorded the fair value of the warrant of $219,588 as warrant liability and as a debt discount to the carrying value of the loan.  The key assumptions used to value the warrants included the expected date of the next round of equity financing, volatility of 59% on our common stock based upon similar public companies volatilities for comparison, an expected dividend yield of 0.0%, a risk-free interest rate of 2.53% and a term of 10 years.  As of September 30, 2014, the Company recorded $263,784 as the fair value of the warrant. As a result of the increase in warrant liability, the Company recorded a $44,196 change in the fair value of warrant liability.  This warrant liability will be adjusted from the date of the Loan Agreement on February 24, 2014, to fair value each reporting period using a lattice-based option model and the debt discount will be amortized to interest expense over the term of the loan. The down round warrant protection feature resulting in the warrant liability’s quarterly “mark-to-market” valuation will terminate at the end of the one-year period following the amended Loan Closing on February 24, 2014.

4_STOCKHOLDERS_EQUITY

4. STOCKHOLDERS' EQUITY	9 Months Ended
	Sep. 30, 2014
Equity [Abstract]	'
4. STOCKHOLDERS' EQUITY	'
	The fair value of employee options granted was determined on the date of grant using the Black-Scholes option valuation model. The Black-Scholes model was developed for use in estimating the fair value of publicly traded options, which have no vesting restrictions and are fully transferable. In addition, option valuation models require the input of highly subjective assumptions including the expected stock price volatility. The Company's employee stock options have characteristics significantly different from those of traded options, and changes in the subjective input assumptions can materially affect the fair value estimate. Because there has been minimal data for the Company's stock and very little historical experience with the Company's stock options, similar public companies were used for comparison and expectations as to assumptions required for fair value computation using the Black-Scholes methodology.
		Nine Months Ended		Nine Months Ended
		30-Sep-14		30-Sep-13
	Expected term	6.25 years		6.25 years
	Volatility	63%		63%
	Dividend yield	0		0
	Risk-free interest rate	2.22%		1.24%
	Guidance for stock-based compensation requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company currently estimates there will be no material forfeitures of options for the foreseeable future since the stock options currently outstanding are primarily held by its senior management and directors.  The weighted average remaining contractual term of stock options outstanding and expected to vest at September 30, 2014 is 7.6 years.  The weighted average remaining contractual term of stock options exercisable at September 30, 2014 is 6.9 years.
	A summary of the Company’s option activity under the Plan and related information is as follows:
			Nine Months Ended
			30-Sep-14
					Weighted
					Average
					Exercise
			Shares		Price
	Outstanding at beginning of period			826,995	$	6.9
	Forfeited			-	$	-
	Granted			221,932	$	8.5
	Outstanding at end of period and expected to vest			1,048,927	$	7.24
	Options exercisable			571,765	$	6.7
	Stock-based compensation expense for the three and nine months ended September 30, 2014 and 2013 is as follows:
			Three Months Ended				Nine Months Ended
			September				September 30,
			2014		2013		2014		2013
	Research and development		$	80,544	$	55,067	$	233,670	$	162,643
	General and administrative			246,516		170,154		687,724		503,893
	Total stock-based compensation expense		$	327,060	$	225,221	$	921,394	$	666,536
	As of September 30, 2014, the total compensation expense related to unvested options not yet recognized totaled $2,485,620. The weighted-average vesting period over which the total compensation expense will be recorded related to unvested options not yet recognized at September 30, 2014 was approximately 2.3 years.

5_RELATED_PARTY_TRANSACTIONS

5. RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2014
Related Party Transactions [Abstract]	'
5. RELATED PARTY TRANSACTIONS	'
	The Company leases an office building and equipment on a month-to-month basis from an entity owned by a related party, controlled by its Vice-Chairman.  Rent expense amounted to $24,112 and $72,336 for each of the three and nine months ended September 30, 2014 and 2013, respectively.
	The Company maintains deposits and other accounts at a bank which is less than 5%-owned by a related party and where a stockholder and Company director is a member of the Board of Directors of the bank.

6_COMMITMENT_AND_CONTINGENCIES

6. COMMITMENT AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
6. COMMITMENT AND CONTINGENCIES	'
	General Legal Matters.
	From time to time, the Company may become subject to legal proceedings and claims arising in connection with the normal course of its business. There are currently no pending legal proceedings that would have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows.

7_SEGMENTS

7. SEGMENTS	9 Months Ended
	Sep. 30, 2014
Segment Reporting [Abstract]	'
7. SEGMENTS	'
	The Company is engaged in the development and commercialization of human plasma and plasma-derived therapeutics.  The Company also operates an FDA-licensed source plasma collection operation located in Norcross, Georgia.  The Company defines its segments as those business units for which operating results are regularly reviewed by the chief operating decision maker (“CODM”) to analyze performance and allocate resources. The Company’s CODM, is its President and Chief Executive Officer.
	The Company has two operating segments, (1) the plasma collection center segment, which includes the Company’s operation in Georgia; and (2) the research and development segment, comprised of the Company’s plasma development operations in New Jersey.
	Summarized financial information concerning reportable segments is shown in the following tables:
		Plasma
	Three Months Ended	Collection			Research and
	30-Sep-14	Center			Development				Corporate			Consolidated
	Revenues	$	1,347,041			$	-		$	18,889			$	1,365,930
	Cost of product revenue		867,681				-			-				867,681
	Gross profit		479,360				-			18,889				498,249
	Loss from operations		(539,022	)			(1,482,929	)		(1,016,331	)			(3,038,282	)
	Other expense		-				-			(346,407	)			(346,407	)
	Net loss		(539,022	)			(1,482,929	)		(1,362,738	)			(3,384,689	)
	Property and equipment,
	net		2,227,587				-			153,613				2,381,200
	Depreciation and
	amortization expense		41,135				1,110			11,954				54,199
		Plasma
	Three Months Ended	Collection			Research and
	30-Sep-13	Center			Development				Corporate			Consolidated
	Revenues	$	1,088,452			$	-		$	18,889			$	1,107,341
	Cost of product revenue		726,245				-			-				726,245
	Gross profit		362,207				-			18,889				381,096
	Loss from operations		(295,569	)			(1,408,990	)		(826,412	)			(2,530,971	)
	Other expense		(1,863	)			-			(156,113	)			(157,976	)
	Net loss		(297,432	)			(1,408,990	)		(982,525	)			(2,688,947	)
	Property and equipment,
	net		624,492				3,539			183,367				811,398
	Depreciation and
	amortization expense		43,043				809			11,035				54,887
		Plasma
	Nine Months Ended	Collection			Research and
	30-Sep-14	Center			Development				Corporate				Consolidated
	Revenues	$	4,370,141			$	-		$	56,667			$	4,426,808
	Cost of product revenue		2,785,526				-			-				2,785,526
	Gross profit		1,584,615				-			56,667				1,641,282
	Loss from operations		(1,057,085	)			(7,597,295	)		(3,655,208	)			(12,309,588	)
	Other income (expense)		262				-			(940,480	)			(940,218	)
	Net loss		(1,056,823	)			(7,597,295	)		(4,595,688	)			(13,249,806	)
	Property and equipment,
	net		2,227,587				-			153,613				2,381,200
	Depreciation and
	amortization expense		113,292				2,729			35,041				151,062
		Plasma
	Nine Months Ended	Collection			Research and
	30-Sep-13	Center			Development				Corporate				Consolidated
	Revenues	$	2,618,361			$	-		$	25,185			$	2,643,546
	Cost of product revenue		1,741,052				-			-				1,741,052
	Gross profit		877,309				-			25,185				902,494
	Loss from operations		(835,749	)			(6,346,924	)		(3,341,514	)			(10,524,187	)
	Other expense		(5,784	)			-			(296,067	)			(301,851	)
	Net loss		(841,533	)			(6,346,924	)		(3,637,581	)			(10,826,038	)
	Property and equipment,
	net		624,492				3,539			183,367				811,398
	Depreciation and
	amortization expense		129,325				2,428			27,322				159,075
	The “Corporate” column includes general and administrative overhead expenses.  Property and equipment, net, included in the “Corporate” column above includes assets related to corporate and support functions.

2_SUMMARY_OF_SIGNIFICANT_ACCOU1

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Sep. 30, 2014
Accounting Policies [Abstract]	'
Basis of presentation and principles of consolidation	'
	The accompanying condensed consolidated financial statements include the accounts of ADMA and its wholly-owned subsidiaries, ADMA Plasma Biologics, Inc. and ADMA BioCenters. All significant intercompany transactions and balances have been eliminated in consolidation.
	The condensed consolidated financial statements for the interim periods included herein are unaudited; however, they contain all adjustments (consisting of only normal recurring adjustments) which in the opinion of management are necessary to present fairly the consolidated financial position of the Company as of September 30, 2014 and its results of operations and cash flows for the three and nine months ended September 30, 2014 and 2013.  The results of operations for the interim periods are not necessarily indicative of results that may be expected for any other interim periods or for the full year.  These interim financial statements should be read in conjunction with the audited annual consolidated financial statements and notes thereto included in the Company’s Annual Report for the year ended December 31, 2013 on Form 10-K, filed with the United States Securities and Exchange Commission, (“the Commission”) on March 28, 2014.
	The condensed consolidated financial statements have been prepared in accordance with Generally Accepted Accounting Principles, (“GAAP”), in accordance with the rules and regulations of the Commission for interim reporting.  Pursuant to such rules and regulations, certain information and footnote disclosures normally included in complete annual financial statements have been condensed or omitted.
Inventories	'
	Plasma inventories (both plasma intended for resale and plasma intended for internal use in the Company's research and development activities) are carried at the lower of cost or market value determined on the first-in, first-out method.  Once the research and development plasma is processed to a finished product for ongoing clinical trials, it is then expensed to research and development.  Inventory at September 30, 2014 and 2013 consists of raw materials or source plasma intended for sale to third party customers.  Inventory also includes plasma collected at the Company’s FDA-licensed and GHA-certified plasma collection center.
Revenue recognition	'
	Revenue from the sale of human plasma collected at the Company’s plasma collection center and plasma-derived medicinal products is recognized at the time of transfer of title and risk of loss to the customer, which usually occurs at the time of shipment.  Revenue is recognized at the time of delivery if the Company retains the risk of loss during shipment. Revenues are substantially attributed to one customer. Revenue from license fees and research and development services rendered are recognized as revenue when the performance obligations under the terms of the license agreement have been completed.  Deferred revenue of $1.7 million was recorded in the second quarter of 2013 as a result of certain research and development services to be provided in accordance with a license agreement and is being recognized over the term of the license.
Use of estimates	'
	The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.  Significant estimates include valuation of inventory, assumptions used in the fair value determination of stock-based compensation, valuation of the warrant liability attributed to loan obligations and the allowance for the valuation of future tax benefits.
Loss per common share	'
	Basic net loss per share is computed by dividing net loss attributable to common stockholders by the weighted average number of shares of common stock outstanding during the period.
	Diluted net loss per share is calculated by dividing net loss attributable to common stockholders as adjusted for the effect of dilutive securities, if any, by the weighted average number of shares of common stock and potential dilutive common stock outstanding during the period.  Potential dilutive common stock includes the shares of common stock issuable upon the exercise of outstanding stock options and warrants (using the treasury stock method).  Potential dilutive common stock in the diluted net loss per share computation is excluded to the extent that they would be anti-dilutive.  No potentially dilutive securities are included in the computation of any diluted per share amounts as the Company reported a net loss for all periods presented.  The aggregate number of potentially dilutive securities upon the exercise of outstanding warrants and stock options was 1.2 million and 0.9 million as of September 30, 2014 and 2013, respectively.
Stock-based compensation	'
	The Company follows recognized accounting guidance which requires all stock-based payments, including grants of stock options, to be recognized in the statements of operations as compensation expense, based on their fair values on the grant date. The estimated fair value of stock options granted under the Company’s 2007 Employee Stock Option Plan (the“Plan”) is recognized as compensation expense over the option-vesting period.
	On June 19, 2014, at the Annual Meeting of stockholders, the stockholders approved the 2014 Omnibus Incentive Compensation Plan (the “2014 Plan”), which was approved by the Board of Directors of ADMA (“the Board”) on February 21, 2014.  Grants of incentive stock options to purchase an aggregate of 167,932 shares of the Company's common stock under the 2014 Plan to three executive officers were approved by the Board on February 21, 2014, and conditioned upon the approval of the 2014 Plan.  These stock options are comprised of 99,309 shares for the Company’s President and Chief Executive Officer, Adam S. Grossman; 39,032 shares for the Company’s Chief Financial Officer, Brian Lenz; and 29,591 shares for the Company's Chief Scientific and Medical Officer, James Mond, M.D., Ph.D.  The stock options vest over a period of four years and are exercisable at a price per share of $8.50, the closing price of the Company’s common stock on the OTC Bulletin Board on February 21, 2014.  Grants of non-qualified stock options to purchase 9,000 shares of the Company's common stock under the 2014 Plan, to each of the Company’s six non-employee directors, were approved by the Board on February 21, 2014, and were also conditioned upon the approval of the 2014 Plan at the 2014 Annual Meeting of Stockholders.  The stock options will vest over a period of 24 months and terminate 12 months following separation and are exercisable at a price per share of $8.50, the closing price of the Company’s common stock on the OTC Bulletin Board on February 21, 2014. The maximum number of shares reserved for grant under the 2014 Plan is: (a) 800,000 shares; plus (b) an annual increase as of the first day of the Company’s fiscal year, beginning in 2015 and occurring each year thereafter through 2020, equal to the least of (i) 200,000 shares, (ii) 1% of the outstanding shares of common stock as of the end of the Company’s immediately preceding fiscal year, and (iii) any lesser number of shares determined by the Board; provided, however, that the aggregate number of shares available for issuance pursuant to such increases shall not exceed a total of 800,000 shares.  During the three months ended September 30, 2014 and 2013, no options were issued to employees or directors.  During the nine months ended September 30, 2014 and 2013 stock options to purchase 221,932 and 25,587 shares of common stock were issued to employees and non-employee directors, respectively.

4_STOCKHOLDERS_EQUITY_Tables

4. STOCKHOLDERS' EQUITY (Tables)	9 Months Ended
	Sep. 30, 2014
Equity [Abstract]	'
Compensation expense associated with stock options	'
		Nine Months Ended		Nine Months Ended
		30-Sep-14		30-Sep-13
	Expected term	6.25 years		6.25 years
	Volatility	63%		63%
	Dividend yield	0		0
	Risk-free interest rate	2.22%		1.24%
Companys option and warrant activity	'
			Nine Months Ended
			30-Sep-14
					Weighted
					Average
					Exercise
			Shares		Price
	Outstanding at beginning of period			826,995	$	6.9
	Forfeited			-	$	-
	Granted			221,932	$	8.5
	Outstanding at end of period and expected to vest			1,048,927	$	7.24
	Options exercisable			571,765	$	6.7
Stock-based compensation expense	'
			Three Months Ended				Nine Months Ended
			September				September 30,
			2014		2013		2014		2013
	Research and development		$	80,544	$	55,067	$	233,670	$	162,643
	General and administrative			246,516		170,154		687,724		503,893
	Total stock-based compensation expense		$	327,060	$	225,221	$	921,394	$	666,536

7_SEGMENTS_Tables

7. SEGMENTS (Tables)	9 Months Ended
	Sep. 30, 2014
Segment Reporting [Abstract]	'
SEGMENTS	'
		Plasma
	Three Months Ended	Collection			Research and
	30-Sep-14	Center			Development				Corporate			Consolidated
	Revenues	$	1,347,041			$	-		$	18,889			$	1,365,930
	Cost of product revenue		867,681				-			-				867,681
	Gross profit		479,360				-			18,889				498,249
	Loss from operations		(539,022	)			(1,482,929	)		(1,016,331	)			(3,038,282	)
	Other expense		-				-			(346,407	)			(346,407	)
	Net loss		(539,022	)			(1,482,929	)		(1,362,738	)			(3,384,689	)
	Property and equipment,
	net		2,227,587				-			153,613				2,381,200
	Depreciation and
	amortization expense		41,135				1,110			11,954				54,199
		Plasma
	Three Months Ended	Collection			Research and
	30-Sep-13	Center			Development				Corporate			Consolidated
	Revenues	$	1,088,452			$	-		$	18,889			$	1,107,341
	Cost of product revenue		726,245				-			-				726,245
	Gross profit		362,207				-			18,889				381,096
	Loss from operations		(295,569	)			(1,408,990	)		(826,412	)			(2,530,971	)
	Other expense		(1,863	)			-			(156,113	)			(157,976	)
	Net loss		(297,432	)			(1,408,990	)		(982,525	)			(2,688,947	)
	Property and equipment,
	net		624,492				3,539			183,367				811,398
	Depreciation and
	amortization expense		43,043				809			11,035				54,887
		Plasma
	Nine Months Ended	Collection			Research and
	30-Sep-14	Center			Development				Corporate				Consolidated
	Revenues	$	4,370,141			$	-		$	56,667			$	4,426,808
	Cost of product revenue		2,785,526				-			-				2,785,526
	Gross profit		1,584,615				-			56,667				1,641,282
	Loss from operations		(1,057,085	)			(7,597,295	)		(3,655,208	)			(12,309,588	)
	Other income (expense)		262				-			(940,480	)			(940,218	)
	Net loss		(1,056,823	)			(7,597,295	)		(4,595,688	)			(13,249,806	)
	Property and equipment,
	net		2,227,587				-			153,613				2,381,200
	Depreciation and
	amortization expense		113,292				2,729			35,041				151,062
		Plasma
	Nine Months Ended	Collection			Research and
	30-Sep-13	Center			Development				Corporate				Consolidated
	Revenues	$	2,618,361			$	-		$	25,185			$	2,643,546
	Cost of product revenue		1,741,052				-			-				1,741,052
	Gross profit		877,309				-			25,185				902,494
	Loss from operations		(835,749	)			(6,346,924	)		(3,341,514	)			(10,524,187	)
	Other expense		(5,784	)			-			(296,067	)			(301,851	)
	Net loss		(841,533	)			(6,346,924	)		(3,637,581	)			(10,826,038	)
	Property and equipment,
	net		624,492				3,539			183,367				811,398
	Depreciation and
	amortization expense		129,325				2,428			27,322				159,075

1_ORGANIZATION_AND_BUSINESS_De

1. ORGANIZATION AND BUSINESS (Details Narrative) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Accounting Policies [Abstract]	'	'
Cash and cash equivalents	$13,951,525	$26,149,477
Short-term investments	6,319,629	2,935,184
Accounts Receivable	$562,171	$0

2_SUMMARY_OF_SIGNIFICANT_ACCOU2

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Summary Of Significant Accounting Policies Details Narrative	'	'
Options issued to employees and directors	221,932	25,587

4_STOCKHOLDERS_EQUITY_Details

4. STOCKHOLDERS' EQUITY (Details)	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Compensation expense associated with stock options and other forms of equity compensation assumptions	'	'
Expected Term	'6 years 3 months	'6 years 3 months
Volatility	63.00%	63.00%
Dividend yield	0.00%	0.00%
Risk-free interest rate	2.22%	1.24%

4_STOCKHOLDERS_EQUITY_Details_

4. STOCKHOLDERS' EQUITY (Details 1) (USD $)	9 Months Ended
	Sep. 30, 2014
Shares	'
Outstanding at beginning of period	826,995
Forfeited	0
Granted	221,932
Outstanding at end of period and expected to vest	1,048,927
Options exercisable	571,765
Weighted Average Exercise Price	'
Outstanding at beginning of period	$6.90
Forfeited	$0
Granted	$8.50
Outstanding at end of period and expected to vest	$7.24
Options exercisable	$6.70

4_STOCKHOLDERS_EQUITY_Details_1

4. STOCKHOLDERS' EQUITY (Details 2) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Stock-based compensation expense	'	'	'	'
Research and development	$80,544	$55,067	$233,670	$162,643
General and administrative	246,516	170,154	687,724	503,893
Total stock-based compensation expense	$327,060	$225,221	$921,394	$666,536

5_RELATED_PARTY_TRANSACTIONS_D

5. RELATED PARTY TRANSACTIONS (Details Narrative) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Related Party Transactions [Abstract]	'	'	'	'
Rent expense	$24,112	$24,112	$72,336	$72,336

7_SEGMENTS_Details

7. SEGMENTS (Details) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Summarized financial information concerning reportable segments	'	'	'	'
Revenues	$1,365,930	$1,107,341	$4,426,808	$2,643,546
Cost of product revenue	867,681	726,245	2,785,526	1,741,052
Gross profit	498,249	381,096	1,641,282	902,494
Loss from operations	-3,038,282	-2,530,971	-12,309,588	-10,524,187
Other income (expense)	-346,407	-157,976	-940,218	-301,851
Net loss	-3,384,689	-2,688,947	-13,249,806	-10,826,038
Property and equipment, net	2,381,200	811,398	2,381,200	811,398
Depreciation and amortization expense	54,199	54,887	151,062	159,075
Plasma Collection Center Member	'	'	'	'
Summarized financial information concerning reportable segments	'	'	'	'
Revenues	1,347,041	1,088,452	4,370,141	2,618,361
Cost of product revenue	867,681	726,245	2,785,526	1,741,052
Gross profit	479,360	362,207	1,584,615	877,309
Loss from operations	-539,022	-295,569	-1,057,085	-835,749
Other income (expense)	0	-1,863	262	-5,784
Net loss	-539,022	-297,432	-1,056,823	-841,533
Property and equipment, net	2,227,587	624,492	2,227,587	624,492
Depreciation and amortization expense	41,135	43,043	113,292	129,325
Research And Development Member	'	'	'	'
Summarized financial information concerning reportable segments	'	'	'	'
Revenues	0	0	0	0
Cost of product revenue	0	0	0	0
Gross profit	0	0	0	0
Loss from operations	-1,482,929	-1,408,990	-7,597,295	-6,346,924
Other income (expense)	0	0	0	0
Net loss	-1,482,929	-1,408,990	-7,597,295	-6,346,924
Property and equipment, net	0	3,539	0	3,539
Depreciation and amortization expense	1,110	809	2,729	2,428
Corporate Member	'	'	'	'
Summarized financial information concerning reportable segments	'	'	'	'
Revenues	18,889	18,889	56,667	25,185
Cost of product revenue	0	0	0	0
Gross profit	18,889	18,889	56,667	25,185
Loss from operations	-1,016,331	-826,412	-3,655,208	-3,341,514
Other income (expense)	-346,407	-156,113	-940,480	-296,067
Net loss	-1,362,738	-982,525	-4,595,688	-3,637,581
Property and equipment, net	153,613	183,367	153,613	183,367
Depreciation and amortization expense	$11,954	$11,035	$35,041	$27,322