ADMA Biologics (ADMA) 10-K 29 Mar 18 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2017	Mar. 09, 2018	Jun. 30, 2017
Document And Entity Information
Entity Registrant Name	ADMA BIOLOGICS, INC.
Entity Central Index Key	1,368,514
Document Type	10-K
Document Period End Date	Dec. 31, 2017
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 Public Float			$ 25,433,363
Entity Common Stock, Shares Outstanding		45,317,244
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2,017

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 43,107,574	$ 9,914,867
Short-term investments	0	5,390,184
Accounts receivable, net	3,880,154	1,018,027
Inventories	12,628,181	5,020,146
Prepaid expenses and other current assets	2,050,740	313,914
Restricted cash	1,500,000	0
Total current assets	63,166,649	21,657,138
Property and equipment, net	30,466,858	2,000,784
Intangible assets, net	4,849,350	0
Goodwill	3,529,509	0
Assets to be transferred under purchase agreement	1,496,410	0
Restricted cash	4,000,000	0
Deposits and other assets	510,057	27,163
TOTAL ASSETS	108,018,833	23,685,085
Current liabilities:
Accounts payable	5,920,873	2,564,681
Accrued expenses	3,318,478	2,385,356
Current portion of notes payable	0	6,111,111
Current portion of deferred revenue	142,834	145,154
Other current liabilities	57,998	16,559
Total current liabilities	9,440,183	11,222,861
Notes payable, net of discount	25,368,458	12,321,640
End of Term Liability, Notes Payable	2,760,000	1,790,000
Deferred revenue, net of current portion	2,547,199	2,690,033
Note payable - related party, net of discount	14,842,396	0
Obligation to transfer assets under purchase agreement	12,621,844	0
Other non-current liabilities	105,996	117,813
TOTAL LIABILITIES	67,686,076	28,142,347
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY (DEFICIT)
Preferred Stock, $0.0001 par value, 10,000,000 shares authorized, no shares issued and outstanding	0	0
Common Stock	3,673	1,289
Additional Paid-in Capital	191,022,018	102,476,267
Accumulated Deficit	(150,693,793)	(106,934,818)
TOTAL STOCKHOLDERS' EQUITY (DEFICIT)	40,332,757	(4,457,262)
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)	108,018,833	23,685,085
Non-Voting Common Stock
STOCKHOLDERS' EQUITY (DEFICIT)
Common Stock	$ 859	$ 0

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2017	Dec. 31, 2016
Stockholders Equity
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, issued	0	0
Preferred stock, outstanding	0	0
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	75,000,000	75,000,000
Common stock, issued	36,725,499	12,886,741
Common stock, outstanding	36,725,499	12,886,741
Non-Voting Common Stock
Stockholders Equity
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	8,591,160	8,591,160
Common stock, issued	8,591,160	0
Common stock, outstanding	8,591,160	0

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
REVENUES:
Product revenue	$ 15,617,726	$ 10,518,203
License revenue	142,834	142,834
Other revenue	7,000,000	0
Total Revenues	22,760,560	10,661,037
OPERATING EXPENSES:
Cost of product revenue (exclusive of amortization expense shown below)	29,164,321	6,360,761
Research and development	6,229,587	7,688,238
Plasma centers	6,503,750	5,447,691
Asset impairment charge	845,389	0
Amortization of intangibles	1,234,674	0
Selling, general and administrative	18,092,835	8,494,742
TOTAL OPERATING EXPENSES	62,070,556	27,991,432
LOSS FROM OPERATIONS	(39,309,996)	(17,330,395)
OTHER INCOME (EXPENSE):
Interest and other income	57,228	50,317
Interest expense	(3,285,847)	(2,239,569)
Loss on extinguishment of debt	(1,210,216)	0
Other (expense) income	(10,144)	4,496
OTHER EXPENSE, NET	(4,448,979)	(2,184,756)
NET LOSS	$ (43,758,975)	$ (19,515,151)
BASIC AND DILUTED LOSS PER COMMON SHARE	$ (1.91)	$ (1.61)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING: Basic and Diluted	22,896,042	12,153,407

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)	Common Stock	Non-Voting Common Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Beginning Balance, Amount at Dec. 31, 2015	$ 1,072	$ 0	$ 88,239,569	$ (87,419,667)	$ 820,974
Beginning Balance, Shares at Dec. 31, 2015	10,713,087	0
Issuance of common stock, net of offering expenses, Amount	$ 217		12,900,324		12,900,541
Issuance of common stock, net of offering expenses, Shares	2,176,154
Stock-based compensation			1,250,074		1,250,074
Restricted stock, Shares	(2,500)
Warrants issued in connection with note payable			86,300		86,300
Net loss				(19,515,151)	(19,515,151)
Ending Balance, Amount at Dec. 31, 2016	$ 1,289	$ 0	102,476,267	(106,934,818)	(4,457,262)
Ending Balance, Shares at Dec. 31, 2016	12,886,741	0
Issuance of common stock, net of offering expenses, Amount	$ 1,952		39,197,898		39,199,850
Issuance of common stock, net of offering expenses, Shares	19,523,255
Shares issued in connection with acquisition, Amount	$ 430	$ 859	47,164,179		47,165,468
Shares issued in connection with acquisition, Shares	4,295,580	8,591,160
Stock-based compensation			1,561,659		1,561,659
Stock options exercised, Amount	$ 2		7,502		7,504
Stock options exercised, Shares	19,923
Net loss				(43,758,975)	(43,758,975)
Ending Balance, Amount at Dec. 31, 2017	$ 3,673	$ 859	$ 191,022,018	$ (150,693,793)	$ 40,332,757
Ending Balance, Shares at Dec. 31, 2017	36,725,499	8,591,160

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (43,758,975)	$ (19,515,151)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	2,692,301	469,576
Loss on disposal of fixed assets	10,144	0
Stock-based compensation	1,561,659	1,250,074
Asset impairment charge	845,389	0
Amortization of debt discount	781,567	676,943
Loss on extinguishment of debt	1,021,217	0
Amortization of license revenue	(142,834)	(142,834)
Changes in operating assets and liabilities:
Accounts receivable	(2,862,127)	(93,559)
Inventories	589,318	(1,574,373)
Prepaid expenses and other current assets	(941,272)	(202,887)
Other assets	(482,894)	0
Accounts payable	2,812,066	476,826
Accrued expenses	614,483	416,972
Other current liabilities	(11,816)	(30,560)
Net cash used in operating activities	(37,271,774)	(18,268,973)
CASH FLOWS FROM INVESTING ACTIVITIES:
Sales of short-term investments	5,390,184	16,657,993
Purchase of short-term investments	0	(15,680,000)
Purchase of property and equipment	(2,676,328)	(73,410)
Cash acquired in acquisition transaction	12,500,000	0
Net cash provided by investing activities	15,213,856	904,583
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on note payable	(20,000,000)	0
Proceeds from issuance of common stock, net of offering expenses	39,199,850	12,900,541
Proceeds from the exercise of stock options	7,504	0
Payment of end of term fee	(1,790,000)	0
Proceeds from issuance of related party note payable	15,000,000	0
Proceeds from issuance of note payable	30,000,000	4,000,000
Payment of debt issuance costs	(1,650,170)	(47,104)
Payments of leasehold improvement loan	(16,559)	(15,139)
Net cash provided by financing activities	60,750,625	16,838,298
Net increase (decrease) in cash and cash equivalents	38,692,707	(526,092)
Cash and cash equivalents - beginning of year	9,914,867	10,440,959
Cash and cash equivalents - end of year, including restricted cash	$ 48,607,574	$ 9,914,867

1. ORGANIZATION AND BUSINESS

1. ORGANIZATION AND BUSINESS	12 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
1. ORGANIZATION AND BUSINESS	ADMA Biologics, Inc. (“ADMA” or the “Company”) is a vertically integrated commercial biopharmaceutical and specialty immunoglobulin company that manufactures, markets and develops specialty plasma-derived biologics for the treatment of immune deficiencies and prevention of certain infectious diseases. The Company’s targeted patient populations include immune-compromised individuals who suffer from an underlying immune deficiency disorder or who may be immune-suppressed for medical reasons. ADMA operates through its wholly-owned subsidiaries ADMA BioManufacturing, LLC (“ADMA BioManufacturing”) and ADMA Bio Centers Georgia Inc. (“ADMA BioCenters”). ADMA BioManufacturing was formed in January 2017 to facilitate the acquisition of the Biotest Therapy Business Unit (“BTBU”) of Biotest Pharmaceuticals Corporation (“BPC” and, together with Biotest AG, “Biotest”) as more fully described below. ADMA BioCenters is the Company’s source plasma collection business, with facilities located in Norcross, GA, Marietta, GA and Kennesaw, GA. Both the Norcross and Marietta, GA facilities have approved licenses with the U.S. Food and Drug Administration (the “FDA”) and certifications from the German Health Authority (the “GHA”) and the Korean Ministry of Food and Drug Safety, and the Company filed a Biologics License Application with the FDA for its Kennesaw, GA facility in December of 2017. ADMA BioCenters supplies ADMA with a portion of its raw material plasma for the manufacture of RI-002, ADMA’s lead pipeline product candidate, which the Company is currently developing for the treatment of Primary Immune Deficiency Disease (“PIDD”). As discussed in Note 3, on June 6, 2017, ADMA completed the acquisition of certain assets (the “Biotest Assets”) of BTBU, which include two FDA-licensed products, Nabi-HB (Hepatitis B Immune Globulin, Human) and Bivigam (Immune Globulin Intravenous, Human), and a plasma fractionation facility located in Boca Raton, FL (the “Boca Facility”) (the “Biotest Transaction”). In addition to Nabi-HB and Bivigam, BTBU also provides contract manufacturing services for certain clients, including the sale of intermediate by-products. The Boca Facility is FDA-licensed and certified by the GHA. Immediately following the closing of the Biotest Transaction, the Biotest Assets were contributed into ADMA BioManufacturing. Nabi-HB is a hyperimmune globulin that is rich in antibodies to the hepatitis B virus. Nabi-HB is indicated for the treatment of acute exposure to blood containing hepatitis B surface antigen (“HBsAg”), prenatal exposure to infants born to HBsAg-positive mothers, sexual exposure to HBsAg-positive persons and household exposure to persons with acute Hepatitis B virus infection. FDA approval for Nabi-HB was received on March 24, 1999. ADMA resumed production of Nabi-HB in the third quarter of 2017, as substantially all of the Nabi-HB inventory received as part of the Biotest Transaction has been sold in the normal course of business. Bivigam is indicated for the treatment of primary humoral immunodeficiency. FDA approval for Bivigam was received on December 19, 2012, and sales commenced in the first quarter of 2013. In December 2016, Biotest temporarily suspended the commercial production of Bivigam in order to focus on the completion of planned improvements to the manufacturing process. ADMA resumed production of Bivigam late in the fourth quarter of 2017. The Bivigam inventory currently being produced will be used in conjunction with a Prior Approval Supplement (the “PAS”), which is expected to be filed with the FDA during the first half of 2018. Upon approval of the PAS, the Company intends to relaunch Bivigam, and, pending FDA approval, this relaunch is expected to take place in the second half of 2018. Concurrent with the closing of the Biotest Transaction, the Company received $27.5 million in cash from Biotest, comprised of $12.5 million in cash from BPC and a $15.0 million loan from Biotest evidenced by a 6% subordinated note payable to BPC with a maturity of 5 years (see Note 7). In addition, BPC committed to participate in any future equity offering or private placement undertaken by the Company in an amount equal to up to $12.5 million on a pro-rata basis. The entire $12.5 million commitment was invested in the follow-on public offering of the Company’s common stock, which closed on November 13, 2017 (see Note 8). Prior to the closing of the Biotest Transaction, BTBU was the Company’s third-party manufacturer for RI-002. In the third quarter of 2015, the FDA accepted for review the Company’s Biologics License Application for RI-002 (the “BLA”) for the treatment of PIDD. In July 2016, the FDA issued a Complete Response Letter (the “CRL”) to the Company for the BLA. Although the CRL did not cite any concerns with the clinical safety or efficacy data for RI-002 submitted in the BLA, nor did the FDA request any additional clinical studies be completed prior to FDA approval of RI-002, the CRL reaffirmed the issues set forth in the November 2014 warning letter (the “Warning Letter”) that had been issued by the FDA to Biotest related to certain compliance issues identified at the Boca Facility, and also identified certain outstanding inspection issues and deficiencies at the Boca Facility and certain of the Company’s third-party vendors, and requested documentation of corrections for a number of these issues. The FDA indicated in the CRL that it cannot grant final approval of the BLA until, among other things, these deficiencies are resolved. Following the completion of the Biotest Transaction, ADMA now has control over the regulatory, quality, general operations and drug substance manufacturing process at the Boca Facility, and the Company’s highest priority has been the remediation of the outstanding compliance issues that were identified at the Boca Facility in the Warning Letter. The Company has been working with a consulting firm consisting of quality management systems and biologics production subject matter experts in preparation for a re-inspection by the FDA in order to improve the FDA inspection classification relative to the Warning Letter compliance issues as indicated in the CRL, and the Company believes it has been inspection-ready since the end of 2017. The Company expects a re-inspection of the Boca Facility by the FDA to take place during the first half of 2018. Once the Warning Letter status is improved following the FDA inspection, the Company anticipates that it will be in a position to refile the BLA for RI-002 in the second half of 2018. As of December 31, 2017, the Company had working capital of $53.7 million, including $43.1 million of cash and cash equivalents. Based upon the Company’s current projected revenue and expenditures for 2018, including regulatory and consulting fees for the remediation of the Warning Letter and ongoing discussions with the FDA, continued implementation of the Company’s commercialization and expansion activities and certain other assumptions, the Company’s management currently believes that its cash, cash equivalents, projected revenue and accounts receivable, along with the $10.0 million it expects to be able to draw down under its senior credit facility (see Note 7), will be sufficient to fund ADMA’s operations, as currently conducted, through the end of 2018. In order to have sufficient cash to fund its operations thereafter and to continue as a going concern, the Company will need to raise additional capital prior to the end of 2018. These estimates may change based upon how quickly the Company is able to execute on its quality management systems’ remediation plans for the ADMA BioManufacturing operations, commercial manufacturing ramp-up activities and the various financing options being explored. The Company currently has no firm commitments for additional financing, and there can be no assurances that the Company will be able to secure additional financing on terms that are acceptable to the Company, or at all. Furthermore, if the Company’s assumptions underlying its estimated expenses and revenues are incorrect, it may have to raise additional capital sooner than currently anticipated. Due to numerous risks and uncertainties associated with ongoing remediation efforts, the research and development and potential future commercialization of its products and product candidates, the Company is unable to estimate with certainty the amounts of increased capital outlays and operating expenditures associated with its development activities. The Company’s current estimates may be subject to change as circumstances regarding its business requirements evolve. The Company may decide to raise capital through public or private equity offerings or debt financings, or obtain a bank credit facility or corporate collaboration and licensing arrangements. The sale of additional equity or debt securities, if convertible, could result in dilution to the Company’s stockholders and, in such event, the value and potential future market price of its common stock may decline. The incurrence of indebtedness would result in increased fixed obligations and could also result in covenants that would restrict the Company’s operations or other financing alternatives. Failure to secure any necessary financing in a timely manner and on commercially reasonable terms could have a material adverse effect on the Company’s business plan and financial performance and it could be forced to delay or discontinue its product development, clinical trial or commercialization activities, delay or discontinue the approval efforts for any of the Company’s potential products or potentially cease operations. The Company has reported losses since inception in June 2004 through December 31, 2017 of $150.7 million. Management believes that the Company will continue to incur net losses and negative net cash flows from operating activities to fund its research and development, commercial programs and meet its obligations on a timely basis through the foreseeable future. As such, these factors raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying consolidated financial statements do not include any adjustments related to the recoverability and classification of asset carrying amounts and the classification of liabilities that might be necessary from the outcome of this uncertainty.

2. SUMMARY OF SIGNIFICANT ACCOU

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Principles of Consolidation and Basis of presentation The accompanying consolidated financial statements include the accounts of ADMA and its wholly-owned subsidiaries, and have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and in accordance with Article 8 of Regulation S-X of the Securities and Exchange Commission (the “SEC”). All intercompany balances have been eliminated in consolidation. Any reference in these notes to applicable guidance is meant to refer to U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (the “FASB”). During the years ended December 31, 2017 and 2016, comprehensive loss was equal to the net loss amounts presented for the respective periods in the accompanying consolidated statements of operations. In addition, certain prior year balances have been reclassified to conform to the current presentation. Specifically, the current and non-current portions of the Company’s tenant allowance liability and leasehold improvement loan have been reclassified to other current liabilities and other non-current liabilities, respectively, in the accompanying consolidated balance sheet as of December 31, 2016. 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 the fair value of assets acquired and liabilities assumed in a business combination, valuation of inventory, assumptions used in the fair value determination of stock-based compensation, warrants, and the allowance for the valuation of future tax benefits. Cash and cash equivalents The Company considers all highly-liquid instruments purchased with a maturity of three months or less to be cash equivalents. From time to time, the Company purchases certificates of deposit with maturity schedules of three, six, nine and twelve months. Instruments with original maturities greater than three months but less than twelve months are included in short-term investments. The Company regularly maintains cash and short-term investments at third-party financial institutions in excess of the Federal Deposit Insurance Corporation, or FDIC, insurance limit. While the Company monitors the daily cash balances in the operating accounts and adjusts the balances as appropriate, these balances could be impacted, and there could be a material adverse effect on the Company’s business, if one or more of the financial institutions with which the Company has deposits fails or is subject to other adverse conditions in the financial or credit markets. To date, the Company has not experienced a loss or lack of access to its invested cash or cash equivalents; however, the Company cannot provide assurance that access to its invested cash and cash equivalents will not be impacted by adverse conditions in the financial and credit markets in the future. Restricted cash Restricted cash consists of cash held in a reserve account as required by the terms of the Company’s senior lending agreement (see Note 7). Accounts receivable Accounts receivable are reported at realizable value, net of allowances for contractual credits and doubtful accounts, which are recognized in the period the related revenue is recorded. Inventories Inventories, including plasma intended for resale and plasma intended for internal use in the Company's research and development and future anticipated commercialization activities, are carried at the lower of cost or market value determined by the first-in, first-out method. Research and development plasma used in clinical trials is processed to a finished product and subsequently expensed to research and development. Although the Company expects that Bivigam inventory will ultimately be available for commercial sale, due to uncertainties surrounding the Warning Letter and the PAS related to improvements in the manufacturing process that must be filed with and approved by the FDA prior to this inventory being available for commercial sale, all costs related to the production of Bivigam during the year ended December 31, 2017 have been charged to cost of product revenue in the accompanying consolidated statement of operations. Property and equipment Assets comprising property and equipment (see Note 5) are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the asset’s estimated useful life. Land is not depreciated. The buildings have been assigned a useful life of 30 years. Property and equipment other than land and buildings have useful lives ranging from 3 to 10 years. Leasehold improvements are amortized over the lesser of the lease term or their estimated useful lives. Goodwill Goodwill represents the excess of purchase price over the fair value of net assets acquired by the Company. Goodwill at December 31, 2017 and December 31, 2016 was $3.5 million and $0, respectively. All of the Company’s goodwill is attributable to its ADMA BioManufacturing business segment. The following table presents the changes in the carrying amount of goodwill during the year ended December 31, 2017: Balance as of January 1, 2017 $ - Goodwill recorded in connection with the acquisition of the Biotest Assets 3,529,509 Balance as of December 31, 2017 $ 3,529,509 Goodwill is not amortized, but is assessed for impairment on an annual basis or more frequently if impairment indicators exist. The Company has the option to perform a qualitative assessment of goodwill to determine whether it is more likely than not that the fair value of its reporting unit is less than its carrying amount, including goodwill and other intangible assets. If the Company concludes that this is the case, then it must perform a goodwill impairment test by comparing the fair value of the reporting unit to its carrying value. An impairment charge is recorded to the extent the reporting unit’s carrying value exceeds its fair value. The impairment loss recognized would not exceed the total amount of goodwill allocated to that reporting unit. The Company’s impairment analysis as of October 1, 2017 did not result in any impairment charges related to goodwill for the year ending December 31, 2017. Impairment of long-lived assets The Company assesses the recoverability of its long-lived assets, which include property and equipment and definite-lived intangible assets, whenever significant events or changes in circumstances indicate impairment may have occurred. If indicators of impairment exist, projected future undiscounted cash flows associated with the asset are compared to its carrying amount to determine whether the asset’s value is recoverable. Any resulting impairment is recorded as a reduction in the carrying value of the related asset in excess of fair value and a charge to operating results. For the year ended December 31, 2017, the Company recorded an impairment charge in the amount of $0.8 million related to assets acquired in the Biotest Transaction. For the year ended December 31, 2016, the Company determined that there was no impairment of its long-lived assets. Revenue recognition Revenues for the year ended December 31, 2017 are comprised of (i) revenues from Nabi-HB, (ii) product revenues from the sale of human plasma collected from the Company’s plasma collection centers segment, (iii) revenues related to a contract manufacturing agreement (see Note 6); and (iv) license and other revenues primarily attributable to the out-licensing of RI-002 to Biotest to market and sell in Europe and selected countries in North Africa and the Middle East. Biotest has provided the Company with certain services and financial payments in accordance with the related Biotest license agreement and is obligated to pay the Company certain amounts in the future if certain milestones are achieved. Deferred revenue is recognized over the term of the Biotest license. Deferred revenue is amortized into income for a period of approximately 22 years, the term of the Biotest license agreement. Revenue from the sale of Nabi-HB is recognized when the product reaches the customer’s destination. Nabi-HB revenue is recorded net of estimated customer prompt pay discounts and contractual allowances in accordance with managed care agreements, including wholesaler chargebacks, rebates, customer returns and other wholesaler fees. These estimates are based on historical experience, and the Company believes that such estimates are reasonable. For sales of intermediates, title typically transfers when the product is delivered to a third party warehouse. With all other contract manufacturing, the title transfers to the customer when they take possession of the product from the Boca Facility. As the Company maintains a significant risk of loss throughout the contract manufacturing process, contract manufacturing revenue is not recognized until the product is released and title transfers to the customer. Product revenues from the sale of human plasma collected at the Company’s plasma collection centers are recognized at the time of transfer of title and risk of loss to the customer, which generally occurs at the time of shipment. Product revenues are recognized at the time of delivery if the Company retains the risk of loss during shipment. Cost of product revenue Cost of product revenue includes expenses related to process development as well as scientific and technical operations when these operations are attributable to marketed products. When the activities of these operations are attributable to new products in development, the expenses are classified as research and development expenses. Expenses associated with remediating the issues identified in the Warning Letter for the year ended December 31, 2017 of approximately $3.8 million are expensed as incurred and are reflected in cost of product revenue in the accompanying consolidated statements of operations. In addition, for the year ended December 31, 2017, all operating expenses associated with the Boca Facility, other than the limited Nabi-HB production that was capitalized into inventory, have been expensed as incurred since the date of the Biotest Transaction. Research and development expenses Research and development expenses consist of clinical research organization costs, costs related to clinical trials, consulting expenses related to regulatory and medical affairs, quality assurance and control, assay development, ongoing testing costs, drug product manufacturing for RI-002, including the cost of plasma, plasma storage and transportation costs, as well as wages, benefits and stock-based compensation for employees directly related to the research and development activities All research and development costs are expensed as incurred. Advertising and marketing expenses Advertising and marketing expense includes cost for promotional materials and trade show expenses for the marketing of the Company’s products and services. Advertising and marketing expenses were $0.6 million and $0.2 million for the years ended December 31, 2017 and 2016, 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 statement of operations as compensation expense, based on their fair values on the grant date. Compensation expense related to awards to employees and directors with service-based vesting conditions is recognized on a straight-line basis based on the grant date fair value over the associated vesting period of the award, which is generally four years. The grant date fair values of stock options awarded during the years ended December 31, 2017 and 2016 were determined using the Black-Scholes option-pricing model with the following assumptions: Year Ended Year Ended December 31, 2017 December 31, 2016 Expected term 5.8-6.3 years 5.8-6.3 years Volatility 56-64 51-52 Dividend yield 0.0 0.0 Risk-free interest rate 1.77-2.29% 1.54-1.79% Income taxes The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements or its tax returns. Under this method, deferred tax assets and liabilities are recognized for the temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts at enacted tax rates in effect for the years in which the temporary differences are expected to reverse. The Company records a valuation allowance on its deferred income tax assets if it is more likely than not that these deferred income tax assets will not be realized. In accordance with U.S. GAAP, the Company is required to determine whether a tax position of the Company is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The tax benefit to be recognized is measured as the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. Derecognition of a tax benefit previously recognized could result in the Company recording a tax liability that would reduce net assets. Based on its analysis, the Company has determined that it has not incurred any liability for unrecognized tax benefits as of December 31, 2017 and 2016. The Company is subject to income tax examinations by major taxing authorities for all tax years since 2013 and for previous periods as it relates to the Company’s net operating loss carryforward. Earnings (Loss) Per 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. For purposes of computing basic and diluted loss per share, the non-voting class of common stock (see Notes 3 and 8) is included in the common stock outstanding as the characteristics of the non-voting class are substantially the same as the voting class of common stock. 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, including the non-voting class of common stock, and dilutive common stock outstanding during the period. Potentially dilutive common stock includes the shares of common stock issuable upon the exercise of outstanding stock options and warrants (using the treasury stock method). Potentially dilutive common stock in the diluted net loss per share computation is excluded to the extent that it 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. For the years ended December 31, 2017 and 2016, the following securities were excluded from the calculation of diluted loss per common share because of their anti-dilutive effects: For the year ended December 31, 2017 2016 Stock options 3,276,043 1,535,187 Warrants 528,160 300,446 3,804,203 1,835,633 Business Combinations The Company accounts for business combinations using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations Fair value of financial instruments The carrying amounts of certain of the Company’s financial instruments, including cash and cash equivalents, short-term investments, accounts payable, and notes payable are shown at cost, which approximates fair value due to the short-term nature of these instruments. The debt outstanding under the Company’s senior notes payable (see Note 7) approximates fair value due to the variable interest rate on this debt. With respect to the related party note payable in the amount of $15.0 million as of December 31, 2017 (see Notes 3 and 7), which is held by a principal stockholder of the Company and was issued concurrent with an acquisition transaction with such stockholder, the Company has concluded that an estimation of fair value for this note is not practicable. Recent Accounting Pronouncements In May 2017, the FASB issued ASU No. 2017-09, Modification Accounting for Share-Based Payment Arrangements In January 2017, the FASB issued ASU No. 2017-01, Business Combinations – Clarifying the Definition of a Business In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350) In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting (Topic 718) In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740), Balance Sheet Classification of Deferred Taxes In September 2015, the FASB issued ASU No. 2015-16, Business Combinations (Topic 805), Simplifying the Accounting for Measurement-Period Adjustments In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory In May 2014, the FASB issued new guidance related to revenue recognition, ASU 2014-09, Revenue from Contracts with Customers (“ASC 606”) In March 2016, April 2016 and December 2016, the FASB issued ASU No. 2016-08, Revenue From Contracts with Customers (ASC 606): Principal Versus Agent Considerations Revenue From Contracts with Customers (ASC 606): Identifying Performance Obligations and Licensing Technical Corrections and Improvements to Topic 606, Revenue From Contracts with Customers Revenue from Contracts with Customers ADMA will adopt ASC 606 and the foregoing related updates effective January 1, 2018, using the modified retrospective method of adoption. Based on the Company’s review of the terms and conditions of its existing customer contracts and applying the five discrete criteria required for recognizing revenue as set forth in ASU 2014-09, the Company does not expect the new revenue recognition guidance to have a material impact on its consolidated financial statements.

3. ACQUISITION

3. ACQUISITION	12 Months Ended
	Dec. 31, 2017
Acquisition
3. ACQUISITION	On June 6, 2017, ADMA completed the acquisition of the Biotest Assets from BPC. As a result of this transaction, the Company acquired Nabi-HB, Bivigam, the Boca Facility and certain other assets of BTBU. The acquisition of the Biotest Assets expands the Company’s product offering with two FDA-approved products and provides direct control over the manufacturing and regulatory processes impacting the Company’s RI-002 product candidate, including remediation of the Warning Letter as well as certain other remediation items affecting the Boca Facility. Pursuant to the acquisition, the Company issued to Biotest 4,295,580 voting shares of its common stock and 8,591,160 shares of non-voting common stock. The Company will also transfer ownership of two of its plasma centers to Biotest on January 1, 2019 as additional consideration. The purchase price was calculated as follows: Issuance of 12,886,740 shares of common stock (voting and non-voting) valued at $3.66 per share $ 47,165,468 Transfer of two plasma collection centers 12,621,844 Total purchase price $ 59,787,312 The following table summarizes the allocation of the purchase consideration to the assets acquired and liabilities assumed based on their estimated fair values: Cash $ 12,500,000 Inventory 8,197,354 Land and buildings 20,000,000 Property and equipment 8,209,800 Assets held for sale 845,389 Other current assets 795,553 Trademark and other intangible rights to Nabi-HB 4,100,046 Right to intermediates 907,421 Customer contract 1,076,557 Goodwill 3,529,509 Liabilities assumed (374,317 ) Total purchase price $ 59,787,312 The Company engaged various third party valuation specialists to determine the fair value of the land and buildings, property and equipment, right to intermediates, customer contract and Nabi-HB intangible assets, as well as the assets held for sale. Goodwill is expected to be deductible for tax purposes. Assets held for sale reflects certain manufacturing equipment acquired in the transaction that will not be utilized in the manufacture or development of any of the Company’s current products or product candidates, and the Company’s plans as of the date of acquisition was to complete the sale of these assets within one year from the date of the Biotest Transaction. These sales efforts have been unsuccessful and at December 31, 2017, the Company recorded an impairment charge for the full carrying value of these assets in the amount of $0.8 million. As a result of the foregoing transaction, BPC became a principal stockholder and Biotest became a related party of the Company. Therefore, all of the Company’s transactions with Biotest between June 6, 2017 and December 31, 2017, including product and license revenues attributable to Biotest, were related party transactions. The results from BTBU’s operations are included in the Company’s consolidated financial statements from the date of acquisition. The Company incurred a total of approximately $5.8 million in transaction closing costs, which were expensed as incurred as selling, general and administrative expenses in the consolidated statement of operations. For the years ended December 31, 2017 and 2016, transaction closing costs amounted to approximately $3.9 million and $1.9 million, respectively. The following unaudited pro forma summary presents consolidated information of the Company as if the business combination had occurred on January 1, 2016. The pro forma information is presented for informational purposes only and is not necessarily indicative of the results of operations that would have been achieved had the acquisition been consummated as of that time or that may result in the future. Year Ended 2017 2016 Revenues: As reported $ 22,760,560 $ 10,661,037 Proforma $ 41,024,330 $ 86,706,074 Net loss As reported $ (43,758,975 ) $ (19,515,151 ) Proforma $ (52,928,428 ) $ (82,982,280 ) Basic and diluted net loss per share: As reported $ (1.91 ) $ (1.61 ) Proforma $ (1.17 ) $ (3.31 )

4. INVENTORIES

4. INVENTORIES	12 Months Ended
	Dec. 31, 2017
Inventories Abstract
4. INVENTORIES	The following table provides the components of inventories: December 31, December 31, Raw materials $ 10,395,433 $ 5,020,146 Work-in-progress 1,265,339 — Finished goods 967,409 — Total inventories $ 12,628,181 $ 5,020,146 Inventories are stated at the lower of cost or net realizable value with cost being determined on the first-in, first-out method. Finished goods inventory as of December 31, 2017 is comprised of Nabi-HB, and was recorded at fair value as part of the purchase price allocation of the Biotest Assets acquired. Raw materials includes plasma and other materials expected to be used in the production of RI-002, as there are alternative uses for these materials. All other activities and materials associated with the production of inventories used in research and development activities are expensed as incurred.

5. PROPERTY AND EQUIPMENT

5. PROPERTY AND EQUIPMENT	12 Months Ended
	Dec. 31, 2017
Property, Plant and Equipment [Abstract]
5. PROPERTY AND EQUIPMENT	Property, plant and equipment at December 31, 2017 and 2016 is summarized as follows: December 31, 2017 December 31, 2016 Manufacturing and laboratory equipment $ 7,148,405 $ 306,411 Office equipment and computer software 1,086,756 188,277 Furniture and fixtures 1,136,623 1,030,257 Construction in process 738,093 — Leasehold improvements 1,642,903 2,699,104 Land 4,339,441 — Buildings 15,660,559 — 31,752,780 4,224,049 Less: Accumulated depreciation and amortization (1,285,922 ) (2,223,265 ) $ 30,466,858 $ 2,000,784 The Company recorded depreciation expense on property and equipment of $1.5 million, which includes $0.4 million of depreciation expense on the plasma assets to be transferred (see Note 3) and $0.5 million for the years ended December 31, 2017 and 2016, respectively.

6. INTANGIBLE ASSETS

6. INTANGIBLE ASSETS	12 Months Ended
	Dec. 31, 2017
Intangible Assets
6. INTANGIBLE ASSETS	Intangible assets at December 31, 2017 and 2016 consist of the following: December 31, 2017 December 31, 2016 Cost Accumulated Amortization Net Cost Accumulated Amortization Net Trademark and other intangible rights related to Nabi-HB® $ 4,100,046 $ 341,670 $ 3,758,376 $ — $ — $ — Right to intermediates 907,421 75,618 831,803 — — — Customer contract 1,076,557 817,386 259,171 — — — Total $ 6,084,024 $ 1,234,674 $ 4,849,350 $ — $ — $ — Under the previous contract manufacturing agreement between ADMA and BPC, intermediate by-products derived from the manufacture of RI-002 were property of Biotest. As a result of the Biotest Transaction, ADMA obtained the right to these intermediate products, which are being amortized over a period of 7 years. The intangible rights to Nabi-HB is also being amortized over a period of 7 years. The customer contract pertains to a contract manufacturing agreement with a third party that the Company assumed upon the consummation of the Biotest Transaction. On December 22, 2017, Company and the customer entered into an amendment to this contract which reduced the number of batches the Company was committed to supply to the customer. In connection with this amendment, the customer agreed to pay the Company an aggregate compensation fee of $7.0 million, which was recognized as other revenue in the accompanying consolidated statement of operations for the year ended December 31, 2017. The remaining required production volume is 13 batches over 2018 and 2019, and the Company recorded additional amortization expense of approximately $0.6 million in connection with the reduced volume. The net unamortized balance of this asset as of December 31, 2017 is being amortized through the end of the contract period. Amortization expense related to the Company’s intangible assets for the year ended December 31, 2017 was $1.2 million. Estimated aggregate future aggregate amortization expense for the next five years is expected to be as follows: 2018 844,938 2019 844,938 2020 715,352 2021 715,352 2022 715,532

7. NOTES PAYABLE

7. NOTES PAYABLE	12 Months Ended
	Dec. 31, 2017
Debt Disclosure [Abstract]
7. NOTES PAYABLE	Senior Notes Payable A summary of outstanding senior notes payable as of December 31, 2017 and 2016 is as follows: 2017 2016 Notes payable: $ 30,000,000 $ 20,000,000 Less: Debt discount (4,631,542 ) (1,567,249 ) Current portion — (6,111,111 ) Senior notes payable $ 25,368,458 $ 12,321,640 On October 10, 2017 (the “Marathon Closing Date”), the Company entered into a Credit Agreement (the “Credit Agreement”) with Marathon Healthcare Finance Fund, L.P. (“Marathon” or the “Lender”) and Wilmington Trust, National Association, as the administrative agent for the Lender (the “Administrative Agent”). On the Marathon Closing Date, the Company used approximately $17.0 million of the proceeds from the Tranche One Note to retire and pay in full the Company’s previously existing indebtedness under a Loan and Security Agreement (the “LSA”) with Oxford Finance, LLC (“Oxford”) and all of the obligations thereunder in accordance with the terms of the LSA, as amended, including the end-of-term liability of $1.8 million and prepayment penalties of $0.2 million. The Company also (i) used $5.5 million of the proceeds from the Tranche One Note to pre-fund a debt service reserve account in accordance with the terms of the Credit Agreement, and (ii) paid diligence fees, legal and other expenses associated with the Credit Facility in the amount of approximately $1.5 million. The Company used the remaining $6.0 million of proceeds for the continued remediation of the issues identified in the CRL and the Warning Letter and for general corporate purposes. In connection with the retirement of the Oxford indebtedness, the Company recognized a loss on the extinguishment of debt in the amount of $1.2 million, comprised primarily of the write-off of debt discount related to the LSA. Borrowings under the Credit Agreement bear interest at a rate per annum equal to LIBOR plus 9.50% with a 1% LIBOR floor; provided, however, that in the event that the Company achieves sales of not less than $61.7 million for the 2018 calendar year and the Tranche Two Loan has been funded, then the interest rate on the borrowings under the Credit Agreement will decrease to LIBOR plus 7.75% with a 1% LIBOR floor. During an Event of Default under the Credit Agreement, the outstanding amount of indebtedness under the Credit Agreement will bear interest at a rate per annum equal to the interest rate then applicable to the borrowings under the Credit Agreement plus 5% per annum. Quarterly cash interest payments are due the first business day of each March, June, September and December, beginning on December 1, 2017. The Company will pay Marathon a facility fee in an amount equal to 9.20% of the amount of the Tranche One Note, payment of which is deferred until the Maturity Date pursuant to the terms of the Credit Agreement. Commencing on October 10, 2020, and on the first business day of each month, the Company is required to make principal payments on the Tranche One Note (and Tranche Two Note in the event it shall have been funded) in equal monthly installments over 18 months, subject to certain conditions in the Credit Agreement. The outstanding principal amount of the Notes, together with all accrued interest thereon, is due on the Maturity Date. As consideration for the Credit Agreement, the Company issued a warrant to purchase an aggregate of 339,301 shares of the Company’s common stock to the Lender and certain of its affiliates (the “Tranche One Warrants”). The Tranche One Warrants, which the Company valued at $0.6 million, have (i) an exercise price equal to $3.0946, which was the trailing 10-day volume weighted-average price of the Company’s common stock prior to the Marathon Closing Date, and (ii) an expiration date of October 10, 2024. The Company issued the Tranche One Warrants in reliance upon an exemption from registration contained in Section 4(2) under the Securities Act of 1933, as amended (the “Securities Act”). The Tranche One Warrants and the shares of common stock issuable thereunder may not be offered, sold, pledged or otherwise transferred in the U.S. absent registration or an applicable exemption from the registration requirements under the Securities Act. As a result of the diligence fees, legal and other expenses associated with the Credit Facility Facility fee $ 2,760,000 Deferred financing fees 1,475,330 Tranche One Warrants 614,513 Total debt discount at Marathon Closing Date $ 4,849,843 The obligation of Marathon to purchase the Tranche Two Note is subject to the satisfaction of certain conditions related to FDA approval for specified products and the Company’s financial condition, including, without limitation, the following: (a) (i) the FDA must validate the improved manufacturing process of Bivigam and (ii) not less than $0.5 million in net revenue must be generated in calendar year 2018 from the sale in the U.S. of Bivigam; or (b) (i) the FDA must approve the commercialization of RI-002 and (ii) not less than $0.5 million in net revenue must be generated in calendar year 2019 from the sale in the U.S. of RI-002. Based on the fair value of the Tranche One Warrants, the facility fee and the fees and expenses associated with obtaining the Credit Facility, the effective interest rate on the Tranche One Note is approximately 16.5%. The Company’s obligations under the Credit Agreement are secured by a first-priority lien and security interest in substantially all of the Company’s assets, including a mortgage on the Boca Facility, and those of the Company’s subsidiaries as well as all of the equity interests in each subsidiary. The Credit Agreement contains market representations and warranties, affirmative covenants, negative covenants, financial covenants, and conditions that are customarily required for similar financings. The affirmative covenants, among other things, require the Company to undertake various reporting requirements. The negative covenants restrict or limit the ability of the Company and its subsidiaries to, among other things, incur new indebtedness; create liens on assets; engage in certain fundamental corporate changes or changes to the Company’s business activities; sell or otherwise dispose of assets; repurchase stock, pay dividends; repay certain other indebtedness; engage in certain affiliate transactions; or enter into any other agreements that restrict the Company’s ability to make loan repayments. In addition, the Company is required to maintain a minimum liquidity, defined in the Credit Agreement as cash held in the debt service reserve account and any other deposit account subject to a control agreement with the Administrative Agent, of not less than $5.5 million at all times. The Credit Agreement also required the establishment of the debt service reserve account. The Company is currently required to maintain a minimum balance in this account of $5.5 million, and this amount is reflected as restricted cash in the accompanying consolidated balance sheet as of December 31, 2017. Upon the satisfaction of certain conditions related to some of the Company’s leased properties, the minimum required balance in the debt service reserve account, as well as the minimum liquidity requirement, will be reduced to $4.0 million. At December 31, 2017 and 2016, the Company was in compliance with all of the covenants contained in its senior lending agreements. The Credit Agreement also contains customary Events of Default which include, among others, non-payment of principal, interest or fees, violation of covenants, inaccuracy of representations and warranties, bankruptcy and insolvency events, material judgments, cross-defaults to material contracts and events constituting a change of control. The occurrence of an Event of Default could result in, among other things, the termination of commitments under the Credit Facility and the declaration that all outstanding Loans are immediately due and payable in whole or in part. In the event the Company prepays a term loan for any reason, including the acceleration of indebtedness upon an Event of Default, the Company is obligated to pay a prepayment charge corresponding to a percentage of the principal amount of the applicable term loan prepaid, as well as a make-whole premium based on the excess of the amount of the loan being prepaid over the discounted amount of such prepayment, in accordance with the terms of the Credit Agreement. Related Party Note Payable A summary of the outstanding related party note payable is as follows: 2017 2016 Related party note payable to Biotest $ 15,000,000 $ — Less: Debt discount (157,604 ) — Note payable - related party $ 14,842,396 $ — In connection with the acquisition of the Biotest Assets (see Note 3), ADMA BioManufacturing issued a subordinated note payable to BPC and in connection therewith received cash proceeds of $15.0 million. The note bears interest at a rate of 6.0% per annum and matures on June 6, 2022. The Company is obligated to make semi-annual interest payments, with all principal and unpaid interest due at maturity. The note is subordinate to the Tranche One Note with Marathon. In the event of default, all principal and unpaid interest is due on demand. The subordinated note also contains several non-financial covenants with which the Company was in compliance as of December 31, 2017. The Company incurred $0.2 million of debt issuance costs in connection with the issuance of this note, which were recorded as a debt discount. The debt discount is being amortized as interest expense over the term of the note.

8. STOCKHOLDERS' EQUITY

8. STOCKHOLDERS' EQUITY	12 Months Ended
	Dec. 31, 2017
Equity [Abstract]
8. STOCKHOLDERS' EQUITY	Preferred Stock The Company is currently authorized to issue up to 10 million shares of preferred stock, $.0001, par value. There were no shares of preferred stock outstanding at December 31, 2017 and 2016. Common Stock As of December 31, 2017, the Company was authorized to issue 75 million shares of its common stock, and 36,725,499 shares of common stock were outstanding. After giving effect to shares reserved for the issuance of warrants and stock options, 34,470,298 shares of common stock were available for issuance as of December 31, 2017. As of December 31, 2017, 8,591,160 shares of the Company’s non-voting common stock were authorized, issued and outstanding. On November 13, 2017, the Company completed an underwritten public offering of 19,523,255 shares of its common stock for gross proceeds of $42.0 million. Net proceeds from this offering, after payment of underwriting discounts and offering expenses of $2.8 million, were $39.2 million. On June 6, 2017, the Company issued 4,295,580 shares of common stock and 8,591,160 shares of its non-voting common stock to Biotest in connection with the Biotest Transaction (see Note 3). Except as otherwise required by applicable law, holders of shares of non-voting common stock are not entitled to vote on any matter that is submitted to a vote of the stockholders of the Company; provided, however, that for so long as any shares of non-voting common stock are outstanding, the Company may not, without the prior vote of the holders of at least a majority of the shares of non-voting common stock then outstanding (voting separately as a single class), amend, alter or repeal, whether by merger, consolidation or otherwise, the powers, preferences, or other rights of the shares of non-voting common stock in an adverse manner relative to the powers, preferences or other rights of the shares of the voting common stock, except as permitted by the stockholders’ agreement between the Company and BPC or the Company’s Amended and Restated Certificate of Incorporation. Under certain conditions, the non-voting common stock is convertible into voting common stock. On May 3, 2016, the Company completed an underwritten public offering of 2,176,154 shares of its common stock for gross proceeds of approximately $14.1 million. Net proceeds from this offering were $12.9 million, after payment of underwriting discounts and offering expenses of approximately $1.2 million. Warrants On October 10, 2017, the Company issued to Marathon the Tranche One Warrants (see Note 7) whereby Marathon may purchase an aggregate of 339,301 shares of common stock with an exercise price $3.0946 per share. The Tranche One Warrants became exercisable on the Marathon Closing Date, were valued at $0.6 million and were recorded as discount to the Tranche One Note. In May 2016, the Company issued to Oxford warrants to purchase an aggregate of up to 24,800 shares of the Company’s common stock at an exercise price equal to $6.37 per share. The warrants became exercisable on May 13, 2016 for cash or by net exercise and will expire seven years after their issuance on May 13, 2023. The fair value of these warrants was $0.1 million, which was recognized as a debt discount to the carrying value of the loan. The fair values of the warrants issued during the years ended December 31, 2017 and 2016 were determined using the Black-Scholes option-pricing model with the following assumptions: Year Ended Year Ended December 31, 2017 December 31, 2016 Expected term 7 years 7 years Volatility 57 % 54 % Dividend yield 0.0 0.0 Risk-free interest rate 2.18 % 1.51 % At December 31, 2017, the Company had outstanding warrants to purchase an aggregate of 528,160 shares of common stock, with a weighted average exercise price of $4.76 per share and with expiration dates ranging between June 2022 and October 2024. Stock Options From time to time the Company grants stock options or other equity-based awards under the Company’s 2007 Employee Stock Option Plan (the “2007 Plan”) and the Amended and Restated 2014 Omnibus Incentive Compensation Plan (the “2014 Plan”). The 2014 Plan, as amended, was approved by the Board of Directors of ADMA (the “Board”) on March 15, 2017 and ratified by the Company’s stockholders on May 25, 2017. Currently, the maximum number of shares reserved for grant under the 2014 Plan is: (a) 2,334,940 shares, less any shares available as of such date for issuance under the 2007 Plan; plus (b) an annual increase as of the first day of the Company’s fiscal year, beginning in 2018 and occurring each year thereafter through 2022, equal to 4% of the outstanding shares of common stock as of the end of the Company’s immediately preceding fiscal year, or any lesser number of shares determined by the Board; provided, however, that no more than an aggregate of 10 million shares of common stock may be issued pursuant to incentive stock options intended to qualify under Section 422 of the Internal Revenue Code. As of December 31, 2017, an aggregate of 654,645 shares were available for issuance under the 2007 Plan and the 2014 Plan. In accordance with the foregoing, on January 1, 2018, the aggregate number of shares available for issuance increased to 2,467,311. During the years ended December 31, 2017 and 2016, the Company recorded stock-based compensation expense to employees of $1.6 million and $1.3 million, respectively. The fair value of employee options granted was determined on the date of grant using the Black-Scholes model. The Black-Scholes option valuation model was developed for use in estimating the fair value of publicly traded options, which have no vesting restrictions and are fully transferable. The Company’s employee stock options have characteristics significantly different from those of traded options, and changes in the underlying Black-Scholes assumptions can materially affect the fair value estimate. To determine the risk-free interest rate, the Company utilized the U.S. Treasury yield curve in effect at the time of the grant with a term consistent with the expected term of the Company’s awards. The expected term of the options granted is in accordance with Staff Accounting Bulletins 107 and 110, which is based on the average between vesting terms and contractual terms. The expected dividend yield reflects the Company’s current and expected future policy for dividends on the Company’s common stock. The expected stock price volatility for the Company’s stock options was calculated by examining the pro rata historical volatilities for similar publicly traded industry peers and the trading history for the Company’s common stock. The Company will continue to analyze the expected stock price volatility and expected term assumptions. The 2007 Plan and 2014 Plan provide for the Board or a Committee of the Board (the “Committee”) to grant awards to optionees and to determine the exercise price, vesting term, expiration date and all other terms and conditions of the awards, including acceleration of the vesting of an award at any time. All options granted under the 2007 and 2014 Plans are intended to be incentive stock options (“ISOs”), unless specified by the Committee to be non-qualified options (“NQOs”) as defined by the Internal Revenue Code. ISOs and NQOs may be granted to employees, consultants or Board members at an option price not less than the fair market value of the common stock subject to the stock option agreement. The following table summarizes information about stock options outstanding as of December 31, 2017 and 2016: Shares Weighted Average Exercise Price Balance at December 31, 2015 1,464,203 $ 8.02 Forfeited (21,334 ) $ 8.02 Expired (8,666 ) $ 7.88 Granted 100,984 $ 6.20 Balance at December 31, 2016 1,535,187 $ 7.90 Forfeited (94,024 ) $ 7.72 Expired (47,476 ) $ 9.02 Granted 1,976,295 $ 3.73 Exercised (93,939 ) $ 2.68 Balance at December 31, 2017 3,276,043 $ 5.52 Options exercisable 1,338,568 $ 7.68 The weighted average remaining contractual term of stock options outstanding and expected to vest at December 31, 2017 is 7.9 years. The weighted average remaining contractual term of stock options exercisable at December 31, 2017 is 5.8 years. The following table summarizes additional information regarding outstanding and exercisable options under the stock option plans at December 31, 2017: Stock Options Outstanding Stock Options Exercisable Range of Exercise Prices Options Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Aggregate Intrinsic Value Options Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Aggregate Intrinsic Value $1.34 - $2.06 35,418 8.9 $ 1.97 $ 44,092 4,668 2.4 $ 1.34 $ 8,729 $2.53 - $5.00 1,927,331 9.4 $ 3.75 21,385 133,869 9.0 $ 3.87 3,067 $5.96 - $8.98 1,026,794 5.2 $ 7.64 — 993,581 5.1 $ 7.65 — $9.37 - $10.80 286,500 7.3 $ 10.33 — 206,450 7.3 $ 10.44 — 3,276,043 7.9 $ 5.52 $ 65,477 1,338,568 5.8 $ 7.68 $ 11,796 Stock-based compensation expense for the years ended December 31, 2017 and 2016 was as follows: 2017 2016 Research and development $ 380,925 $ 439,982 Plasma centers 47,330 52,973 Selling, general and administrative 1,081,236 757,119 Cost of goods sold 52,168 — Total stock-based compensation expense $ 1,561,659 $ 1,250,074 As of December 31, 2017, the total unrecognized compensation expense related to unvested options was $4.0 million, which is expected to be recognized over a weighted-average period of 2.8 years. The Company’s outstanding and exercisable options had an intrinsic value of approximately $12,000 as of December 31, 2017.

9. RELATED PARTY TRANSACTIONS

9. RELATED PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2017
Related Party Transactions [Abstract]
9. RELATED PARTY TRANSACTIONS	The Company leases an office building and equipment from Areth, LLC (“Areth”) pursuant to a shared services agreement on a month-to-month basis of which terms had been amended by the Company’s Board of Directors in June 2016. Effective October 1, 2017, monthly rent on this facility was reduced to $10,000. Rent expense amounted to $0.2 million for the years December 31, 2017 and 2016. Areth is a company controlled by Dr. Jerrold B. Grossman, the Company’s Vice Chairman, and Adam S. Grossman, the Company’s President and Chief Executive Officer. The Company pays Areth monthly fees for the use of such office space and for other information technology, general warehousing and administrative services. The Company also reimburses Areth for office and building related (common area) expenses, equipment and certain other operational expenses, which were not material to the consolidated financial statements for the years ended December 31, 2017 and 2016. During the years ended December 31, 2017 and 2016, the Company maintained deposits and other accounts at Lakeland Bankcorp, Inc., formerly Pascack Bankcorp, a bank of which Dr. Grossman served as a director through January 2016, and which was approximately 5%-owned by members of the Grossman family. Pascack Bankcorp was acquired by Lakeland Bancorp, Inc. in January 2016 and Dr. Grossman is currently a member of the Corporate Advisory Council of Lakeland Bancorp Inc. As of December 31, 2017, the Company has a $15.0 million subordinated note payable to BPC (see Note 7), and the Company recognized interest expense on this note for the year ended December 31, 2017 in the amount of $0.5 million. For the years ended December 31, 2017 and 2016, the Company recognized revenues under its out-licensing agreement with Biotest of $0.1 million. Deferred revenue of $2.7 million and $2.8 million as of December 31, 2017 and 2016, respectively, is related to this agreement. Biotest is the Company’s largest customer for the sale of normal source plasma. Plasma sales to Biotest for the years ended December 31, 2017 and 2016 were $10.7 million and $8.7 million, respectively. Accounts receivable includes $1.2 million and $1.0 million due from Biotest as of December 31, 2017 and 2016, respectively. Additionally, Biotest is a supplier of plasma to ADMA, with the Company purchasing approximately $2.8 million and $1.6 million of plasma in the years ended December 31, 2017 and 2016, respectively. Included in accounts payable is approximately $0.1 million due to Biotest as of December 31, 2017 and 2016. The following table summarizes the related party balances with Biotest: Year Ended December 31, 2017 2016 Sale and purchase of plasma Product revenue $ 10,664,456 $ 8,745,844 Purchases 2,776,959 1,606,573 License revenue 142,834 142,834 Interest expense 520,000 — December 31, December 31, 2017 2016 Accounts receivable $ 1,245,677 $ 969,675 Accounts payable 139,939 82,427 Accrued expenses 314,820 — Note payable, net of discount 14,842,396 — Accrued interest 65,000 — Deferred revenue 2,690,033 2,832,867 In connection with the acquisition of the Biotest Assets, the Company entered into a Transition Services Agreement with BPC pursuant to which each of the Company and BPC agreed to provide transition services to the other party, including services related to finance, human resources, information technologies, leasing of equipment and clinical and regulatory services for a period of up to 24 months after the June 6, 2017 closing date, as well as agreements to lease certain laboratory space within the Boca Facility to BPC for a period of up to 24 months after the closing date of the acquisition transaction. As of December 31, 2017, $0.3 million was payable by the Company to BPC for expenses incurred on behalf of the Company and services related to these agreements. This amount is reflected in accrued expenses in the accompanying consolidated balance sheet. The services component of amounts billed to the Company by BPC for the year ended December 31, 2017 was not material to the Company’s consolidated financial statements. Under the terms of the Biotest Transaction, the Company will transfer ownership of two plasma collection centers to BPC on January 1, 2019. The Company has estimated the fair value of these assets to be $12.6 million, and the obligation to transfer these assets to Biotest is reflected in non-current liabilities in the accompanying consolidated balance sheet as of December 31, 2017.

10. COMMITMENTS AND CONTINGENCI

10. COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
10. COMMITMENTS AND CONTINGENCIES	Lease commitments The Company has entered into various non-cancelable operating lease agreements for its three ADMA BioCenters facilities in Georgia, as well as for certain operating equipment and warehouse space. Total rent expense for the Company’s leased facilities and equipment was $0.6 million and $0.5 million, respectively. Future minimum lease payments for both leases, for each of the next five years ending December 31, and thereafter are as follows: 2018 $ 701,494 2019 680,509 2020 679,166 2021 670,814 2022 680,317 Thereafter 1,260,718 $ 4,673,018 Vendor and Licensor Commitments In a license agreement effective December 31, 2012, the Company granted Biotest an exclusive license to market and sell RI-002 in Europe and in selected countries in North Africa and the Middle East, (the “Territory”), to have access to the Company’s testing services for testing of BPC’s plasma samples using the Company’s proprietary RSV assay, and to reference (but not access) the Company’s proprietary information for the purpose of Biotest seeking regulatory approval for RI-002 in the Territory. As consideration for the license, Biotest agreed to provide the Company with certain services at no charge and also compensate the Company with cash payments upon the completion of certain milestones. Such services have been accounted for as deferred revenue which was recognized in 2013 as a result of certain research and development services as provided for in accordance with the license agreement. Deferred revenue is recognized over the term of the license and is amortized into income for a period of approximately 22 years, the term of the license agreement. Biotest is also obligated to pay the Company an adjustable royalty based on a percentage of revenues from the sale of RI-002 in the Territory for 20 years from the date of first commercial sale. Pursuant to the terms of a Plasma Purchase Agreement with BPC, the Company has agreed to purchase from BPC an annual minimum volume of source plasma containing antibodies to RSV to be used in the manufacture of RI-002. The agreement does not provide for any penalties in the event the Company does not purchase the agreed- upon annual minimum volume from BPC. In addition, the Company may also collect high-titer RSV plasma from up to five wholly-owned ADMA BioCenters. During 2015, BPC and ADMA amended their Plasma Purchase Agreement to allow ADMA the ability to collect its raw material RSV high-titer plasma from other third party collection organizations, thus allowing ADMA to expand its reach for raw material supply as the Company approaches commercialization for RI-002. In connection with the Biotest Transaction, BPC and ADMA amended the Plasma Purchase Agreement to extend the term for ten years from the June 6, 2017 closing date of the Biotest Transaction. Either party may terminate the agreement if the other party fails to remedy any material default in the performance of any material condition or obligation under the agreement following notice. The Company may also terminate the agreement upon written notice if the clinical development of RI-002 is halted or terminated, whether by the FDA, a Data Safety Monitoring Board, or any other regulatory authority. Upon termination of the agreement, the Company must pay for any source plasma already delivered to the Company and for any source plasma collected under the terms of the agreement. Employment contracts The Company has entered into employment agreements with its executive management team consisting of its President and Chief Executive Officer, Chief Medical and Scientific Officer and Chief Financial Officer. Contract Manufacturing Agreement In connection with the acquisition of the Biotest Assets, the Company acquired all of the rights and assumed all of the obligations under an existing agreement with a third party related to the fractionation of plasma provided by the third party. As more fully described in Note 6, the contract was amended on December 22, 2017 with reduced production requirements. The contract maintains minimum production requirements as well as a payment due to the counterparty to the contract of $1.5 million per year if the minimum volume is not manufactured in that year and no other breach or default under the contract has occurred. General legal matters From time to time the Company is or may become subject to certain legal proceedings and claims arising in connection with the normal course of its business. Management does not expect that the outcome of any such claims or actions will have a material effect on the Company’s liquidity, results of operations or financial condition. Other commitments In the normal course of business, the Company enters into contracts that contain a variety of indemnifications with its employees, licensors, suppliers and service providers. Further, the Company indemnifies its directors and officers who are, or were, serving at the Company’s request in such capacities. The Company’s maximum exposure under these arrangements is unknown as of December 31, 2017. The Company does not anticipate recognizing any significant losses relating to these arrangements.

11. INCOME TAXES

11. INCOME TAXES	12 Months Ended
	Dec. 31, 2017
Income Tax Disclosure [Abstract]
11. INCOME TAXES	A reconciliation of income taxes at the U.S. Federal statutory rate to the benefit for income taxes is as follows: Year Ended December 31, 2017 2016 Benefit at U.S. federal statutory rate $ (14,758,443 ) $ (6,635,151 ) State taxes - deferred (1,581,844 ) (266,312 ) Increase in valuation allowance (751,505 ) 5,755,413 Research and development credits (272,262 ) (322,499 ) Federal tax reform rate change 17,263,248 — Other 100,806 1,468,549 Benefit for income taxes $ — $ — A summary of the Company’s deferred tax assets is as follows: Year Ended December 31, 2017 2016 Federal and state net operating loss carryforwards $ 29,137,918 $ 30,843,479 Federal and state research credits 4,526,201 4,099,249 Transaction costs 1,269,443 652,695 Deferred revenue 679,068 972,345 Accrued expenses and other 951,219 747,586 Total gross deferred tax assets 36,563,849 37,315,354 Less: valuation allowance for deferred tax assets (36,563,849 ) (37,315,354 ) Net deferred tax assets $ — $ — As of December 31, 2017, the Company had federal and state Net Operating Losses (“NOLs”) of $125.3 million and $201.5 million, respectively, as well as federal research and development tax credit carryforwards of approximately $4.5 million. The NOLs will begin to expire at various dates beginning in 2027, if not limited by triggering events prior to such time. Under the provisions of the Internal Revenue Code, changes in our ownership, in certain circumstances, will limit the amount of federal NOLs that can be utilized annually in the future to offset taxable income. In particular, section 382 of the Internal Revenue Code imposes limitations on a company’s ability to use NOLs upon certain changes in ownership. If the Company is limited in its ability to use its NOLs in future years in which it has taxable income, then the Company will pay more taxes than if it were otherwise able to fully utilize its NOLs. The Company may experience ownership changes in the future as a result of subsequent shifts in ownership of the Company’s capital stock that the Company cannot predict or control that could result in further limitations being placed on the Company’s ability to utilize its federal NOLs. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. When determining the amount of net deferred tax assets that are more likely than not to be realized, the Company assesses all available positive and negative evidence. This evidence includes, but is not limited to, prior earnings history, expected future earnings, carry-back and carry-forward periods and the feasibility of ongoing tax strategies that could potentially enhance the likelihood of the realization of a deferred tax asset. The weight given to the positive and negative evidence is commensurate with the extent the evidence may be objectively verified. As such, it is generally difficult for positive evidence regarding projected future taxable income exclusive of reversing taxable temporary differences to outweigh objective negative evidence of recent financial reporting losses. Based on these criteria and the relative weighting of both the positive and negative evidence available, management continues to maintain a full valuation allowance against its net deferred tax assets. On December 22, 2017, the U.S. Government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “TCJA”). The TCJA makes broad changes to the U.S. tax code, including, but not limited to, (1) reducing the U.S federal corporate tax rate from 35% to 21%; (2) eliminating the corporate alternative minimum tax; (3) creating a new limitation on deductible interest expense; (4) creating the base erosion and anti-abuse tax, a new minimum tax; (5) limitation on the deductibility of certain executive compensation; (6) enhancing the option to claim accelerated depreciation deductions on qualified property, and (7) changing the rules related to uses and limitations of NOLs in tax years beginning after December 31, 2017. The TCJA reduces the corporate tax rate to 21%, effective January 1, 2018. The accounting for this portion of the TCJA has caused a reduction to the net deferred tax assets before valuation allowance of $17.3 million for the year ended December 31, 2017. However, as discussed above, the Company maintains a full valuation allowance against its deferred tax assets. As a result, the $17.3 million reduction to the Company’s deferred tax assets is offset by a corresponding $17.3 million reduction in the Company’s valuation allowance, resulting in no net impact to the Company’s tax provision. The Company has not completed its determination of the accounting implications of the TCJA on its tax accruals. However, the Company has estimated the effects of the TCJA as described above as of December 31, 2017, which is primarily comprised of the re-measurement of federal net deferred tax assets resulting from the permanent reduction in the U.S. statutory corporate tax rate to 21% from 35%. As the Company completes its analysis of the TCJA, collects and prepares necessary data and interprets any additional guidance issued by the U.S. Treasury Department, the IRS, and other standard-setting bodies, it may make adjustments to the provisional amounts recorded as of December 31, 2017. However, those adjustments are not anticipated to have a material impact on the Company’s tax provision for the year ended December 31, 2017. The Company recognizes a tax benefit from any uncertain tax positions only if they are more likely than not to be sustained upon examination based on the technical merits of the position. The amount of the accrual for which an exposure exists is measured as the largest amount of benefit determined on a cumulative probability basis that the Company believes is more likely than not to be realized upon ultimate settlement of the position. The Company does not have any unrecognized tax benefits as of December 31, 2017, and does not anticipate a significant change in unrecognized tax benefits during the next 12 months.

12. SEGMENTS

12. SEGMENTS	12 Months Ended
	Dec. 31, 2017
Segment Reporting [Abstract]
12. SEGMENTS	The Company is engaged in the manufacture, marketing and development of specialty plasma-derived biologics. The Company’s operating segments reflect the consummation of the Biotest Transaction on June 6, 2017 (see Notes 1 and 3), and the nature of its operations subsequent to the close of the transaction. The Company’s ADMA BioManufacturing segment reflects the Company’s immune globulin manufacturing and development operations in Florida, acquired on June 6, 2017 (see Note 3). The Plasma Collection Centers segment consists of two FDA-licensed source plasma collection facilities located in Georgia, with a third collection center that opened in December 2017 for which a BLA is pending. The Corporate segment includes general and administrative overhead expenses. The Company defines its segments as those business units whose 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. Summarized financial information concerning reportable segments is shown in the following tables: Year Ended December 31, 2017 ADMA BioManufacturing Plasma Collection Centers Corporate Consolidated Revenues $ 10,980,987 $ 11,636,739 $ 142,834 $ 22,760,560 Cost of product revenue 21,862,140 7,302,181 — 29,164,321 Gross (loss) profit (10,881,153 ) 4,334,558 142,834 (6,403,761 ) Loss from operations (19,801,455 ) (2,169,192 ) (17,339,349 ) (39,309,996 ) Interest and other expense, net (537,235 ) (6,885 ) (3,904,859 ) (4,448,979 ) Net loss (20,338,690 ) (2,176,077 ) (21,244,208 ) (43,758,975 ) Capital expenditures 747,402 1,913,663 15,263 2,676,328 Depreciation and amortization expense 2,204,772 436,687 50,842 2,692,301 Total Assets 54,004,696 3,933,673 50,080,464 108,018,833 Year Ended December 31, 2016 ADMA BioManufacturing Plasma Collection Centers Corporate Consolidated Revenues $ — $ 10,518,203 $ 142,834 $ 10,661,037 Cost of product revenue — 6,360,761 — 6,360,761 Gross profit — 4,157,442 142,834 4,300,276 Loss from operations — (1,290,249 ) (16,040,146 ) (17,330,395 ) Other expense, net — — (2,184,756 ) (2,184,756 ) Net loss — (1,290,249 ) (18,224,902 ) (19,515,151 ) Capital expenditures — 56,328 17,082 73,410 Depreciation and amortization expense — 414,464 55,112 469,576 Total Assets 2,421,535 21,263,550 23,685,085

13. OTHER EMPLOYEE BENEFITS

13. OTHER EMPLOYEE BENEFITS	12 Months Ended
	Dec. 31, 2017
Retirement Benefits [Abstract]
13. OTHER EMPLOYEE BENEFITS	The Company sponsors a 401(k) savings plan. Under the plan, employees may make contributions which are eligible for a Company discretionary percentage contribution as defined in the plan and determined by the Board of Directors. The Company recognized $0.5 million and $0.2 million of related compensation expense for the years ended December 31, 2017 and 2016, respectively. Compensation expense for the year ended December 31, 2017 includes expense attributable to ADMA BioManufacturing effective as of June 6, 2017.

14. SUPPLEMENTAL DISCLOSURE OF

14. SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION	12 Months Ended
	Dec. 31, 2017
Supplemental Disclosure Of Cash Flow Information
14. SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION	Supplemental cash flow information for the years ended December 31, 2017 and 2016 is as follows: 2017 2016 SUPPLEMENTAL CASH FLOW INFORMATION: Cash paid for interest $ 2,293,590 $ 1,530,235 Noncash Financing and Investing Activities: Assets acquired through the issuance of common stock and liabilities assumed $ 60,161,629 $ — Equipment acquired reflected in accounts payable and accrued liabilities $ 544,125 $ — End of term liability for senior notes payable $ 2,760,000 $ 358,000 Warrants issued in connection with notes payable $ 614,513 $ 86,300

15. CONCENTRATIONS

15. CONCENTRATIONS	12 Months Ended
	Dec. 31, 2017
Concentrations
15. CONCENTRATIONS	Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents and accounts receivable. At December 31, 2017, two customers accounted for 79% of the Company’s total accounts receivable. At December 31, 2016, a single customer accounted for 95% of the Company’s total accounts receivable. For the year ended December 31, 2017, BPC represented 47% of the Company’s consolidated revenues, and another customer represented 31% of the Company’s consolidated revenues. For the year ended December 31, 2016, BPC and another customer represented approximately 82% and 14%, respectively, of the Company’s consolidated revenues.

16. SUBSEQUENT EVENTS

16. SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2017
Subsequent Events [Abstract]
16. SUBSEQUENT EVENTS	On February 9, 2018, the Board approved grants of options to purchase an aggregate of 650,000 shares of the Company’s common stock to the Company’s executive officers. The options were granted under the 2014 Plan (see Note 8), and the estimated fair value of the options granted was approximately $1.4 million.

2. SUMMARY OF SIGNIFICANT ACC23

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
Principles of Consolidation and Basis of presentation	The accompanying consolidated financial statements include the accounts of ADMA and its wholly-owned subsidiaries, and have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and in accordance with Article 8 of Regulation S-X of the Securities and Exchange Commission (the “SEC”). All intercompany balances have been eliminated in consolidation. Any reference in these notes to applicable guidance is meant to refer to U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (the “FASB”). During the years ended December 31, 2017 and 2016, comprehensive loss was equal to the net loss amounts presented for the respective periods in the accompanying consolidated statements of operations. In addition, certain prior year balances have been reclassified to conform to the current presentation. Specifically, the current and non-current portions of the Company’s tenant allowance liability and leasehold improvement loan have been reclassified to other current liabilities and other non-current liabilities, respectively, in the accompanying consolidated balance sheet as of December 31, 2016.
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 the fair value of assets acquired and liabilities assumed in a business combination, valuation of inventory, assumptions used in the fair value determination of stock-based compensation, warrants, and the allowance for the valuation of future tax benefits.
Cash and cash equivalents	The Company considers all highly-liquid instruments purchased with a maturity of three months or less to be cash equivalents. From time to time, the Company purchases certificates of deposit with maturity schedules of three, six, nine and twelve months. Instruments with original maturities greater than three months but less than twelve months are included in short-term investments. The Company regularly maintains cash and short-term investments at third-party financial institutions in excess of the Federal Deposit Insurance Corporation, or FDIC, insurance limit. While the Company monitors the daily cash balances in the operating accounts and adjusts the balances as appropriate, these balances could be impacted, and there could be a material adverse effect on the Company’s business, if one or more of the financial institutions with which the Company has deposits fails or is subject to other adverse conditions in the financial or credit markets. To date, the Company has not experienced a loss or lack of access to its invested cash or cash equivalents; however, the Company cannot provide assurance that access to its invested cash and cash equivalents will not be impacted by adverse conditions in the financial and credit markets in the future.
Restricted cash	Restricted cash consists of cash held in a reserve account as required by the terms of the Company’s senior lending agreement (see Note 7).
Accounts receivable	Accounts receivable are reported at realizable value, net of allowances for contractual credits and doubtful accounts, which are recognized in the period the related revenue is recorded.
Inventories	Inventories, including plasma intended for resale and plasma intended for internal use in the Company's research and development and future anticipated commercialization activities, are carried at the lower of cost or market value determined by the first-in, first-out method. Research and development plasma used in clinical trials is processed to a finished product and subsequently expensed to research and development. Although the Company expects that Bivigam inventory will ultimately be available for commercial sale, due to uncertainties surrounding the Warning Letter and the PAS related to improvements in the manufacturing process that must be filed with and approved by the FDA prior to this inventory being available for commercial sale, all costs related to the production of Bivigam during the year ended December 31, 2017 have been charged to cost of product revenue in the accompanying consolidated statement of operations.
Property and equipment	Assets comprising property and equipment (see Note 5) are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the asset’s estimated useful life. Land is not depreciated. The buildings have been assigned a useful life of 30 years. Property and equipment other than land and buildings have useful lives ranging from 3 to 10 years. Leasehold improvements are amortized over the lesser of the lease term or their estimated useful lives.
Goodwill	Goodwill represents the excess of purchase price over the fair value of net assets acquired by the Company. Goodwill at December 31, 2017 and December 31, 2016 was $3.5 million and $0, respectively. All of the Company’s goodwill is attributable to its ADMA BioManufacturing business segment. The following table presents the changes in the carrying amount of goodwill during the year ended December 31, 2017: Balance as of January 1, 2017 $ - Goodwill recorded in connection with the acquisition of the Biotest Assets 3,529,509 Balance as of December 31, 2017 $ 3,529,509 Goodwill is not amortized, but is assessed for impairment on an annual basis or more frequently if impairment indicators exist. The Company has the option to perform a qualitative assessment of goodwill to determine whether it is more likely than not that the fair value of its reporting unit is less than its carrying amount, including goodwill and other intangible assets. If the Company concludes that this is the case, then it must perform a goodwill impairment test by comparing the fair value of the reporting unit to its carrying value. An impairment charge is recorded to the extent the reporting unit’s carrying value exceeds its fair value. The impairment loss recognized would not exceed the total amount of goodwill allocated to that reporting unit. The Company’s impairment analysis as of October 1, 2017 did not result in any impairment charges related to goodwill for the year ending December 31, 2017.
Impairment of long-lived assets	The Company assesses the recoverability of its long-lived assets, which include property and equipment and definite-lived intangible assets, whenever significant events or changes in circumstances indicate impairment may have occurred. If indicators of impairment exist, projected future undiscounted cash flows associated with the asset are compared to its carrying amount to determine whether the asset’s value is recoverable. Any resulting impairment is recorded as a reduction in the carrying value of the related asset in excess of fair value and a charge to operating results. For the year ended December 31, 2017, the Company recorded an impairment charge in the amount of $0.8 million related to assets acquired in the Biotest Transaction. For the year ended December 31, 2016, the Company determined that there was no impairment of its long-lived assets.
Revenue recognition	Revenues for the year ended December 31, 2017 are comprised of (i) revenues from Nabi-HB, (ii) product revenues from the sale of human plasma collected from the Company’s plasma collection centers segment, (iii) revenues related to a contract manufacturing agreement (see Note 6); and (iv) license and other revenues primarily attributable to the out-licensing of RI-002 to Biotest to market and sell in Europe and selected countries in North Africa and the Middle East. Biotest has provided the Company with certain services and financial payments in accordance with the related Biotest license agreement and is obligated to pay the Company certain amounts in the future if certain milestones are achieved. Deferred revenue is recognized over the term of the Biotest license. Deferred revenue is amortized into income for a period of approximately 22 years, the term of the Biotest license agreement. Revenue from the sale of Nabi-HB is recognized when the product reaches the customer’s destination. Nabi-HB revenue is recorded net of estimated customer prompt pay discounts and contractual allowances in accordance with managed care agreements, including wholesaler chargebacks, rebates, customer returns and other wholesaler fees. These estimates are based on historical experience, and the Company believes that such estimates are reasonable. For sales of intermediates, title typically transfers when the product is delivered to a third party warehouse. With all other contract manufacturing, the title transfers to the customer when they take possession of the product from the Boca Facility. As the Company maintains a significant risk of loss throughout the contract manufacturing process, contract manufacturing revenue is not recognized until the product is released and title transfers to the customer. Product revenues from the sale of human plasma collected at the Company’s plasma collection centers are recognized at the time of transfer of title and risk of loss to the customer, which generally occurs at the time of shipment. Product revenues are recognized at the time of delivery if the Company retains the risk of loss during shipment.
Cost of product revenue	Cost of product revenue includes expenses related to process development as well as scientific and technical operations when these operations are attributable to marketed products. When the activities of these operations are attributable to new products in development, the expenses are classified as research and development expenses. Expenses associated with remediating the issues identified in the Warning Letter for the year ended December 31, 2017 of approximately $3.8 million are expensed as incurred and are reflected in cost of product revenue in the accompanying consolidated statements of operations. In addition, for the year ended December 31, 2017, all operating expenses associated with the Boca Facility, other than the limited Nabi-HB production that was capitalized into inventory, have been expensed as incurred since the date of the Biotest Transaction.
Research and development expenses	Research and development expenses consist of clinical research organization costs, costs related to clinical trials, consulting expenses related to regulatory and medical affairs, quality assurance and control, assay development, ongoing testing costs, drug product manufacturing for RI-002, including the cost of plasma, plasma storage and transportation costs, as well as wages, benefits and stock-based compensation for employees directly related to the research and development activities All research and development costs are expensed as incurred.
Advertising and marketing expenses	Advertising and marketing expense includes cost for promotional materials and trade show expenses for the marketing of the Company’s products and services. Advertising and marketing expenses were $0.6 million and $0.2 million for the years ended December 31, 2017 and 2016, 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 statement of operations as compensation expense, based on their fair values on the grant date. Compensation expense related to awards to employees and directors with service-based vesting conditions is recognized on a straight-line basis based on the grant date fair value over the associated vesting period of the award, which is generally four years. The grant date fair values of stock options awarded during the years ended December 31, 2017 and 2016 were determined using the Black-Scholes option-pricing model with the following assumptions: Year Ended Year Ended December 31, 2017 December 31, 2016 Expected term 5.8-6.3 years 5.8-6.3 years Volatility 56-64 51-52 Dividend yield 0.0 0.0 Risk-free interest rate 1.77-2.29% 1.54-1.79%
Income taxes	The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements or its tax returns. Under this method, deferred tax assets and liabilities are recognized for the temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts at enacted tax rates in effect for the years in which the temporary differences are expected to reverse. The Company records a valuation allowance on its deferred income tax assets if it is more likely than not that these deferred income tax assets will not be realized. In accordance with U.S. GAAP, the Company is required to determine whether a tax position of the Company is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The tax benefit to be recognized is measured as the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. Derecognition of a tax benefit previously recognized could result in the Company recording a tax liability that would reduce net assets. Based on its analysis, the Company has determined that it has not incurred any liability for unrecognized tax benefits as of December 31, 2017 and 2016. The Company is subject to income tax examinations by major taxing authorities for all tax years since 2013 and for previous periods as it relates to the Company’s net operating loss carryforward.
Earnings (Loss) Per 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. For purposes of computing basic and diluted loss per share, the non-voting class of common stock (see Notes 3 and 8) is included in the common stock outstanding as the characteristics of the non-voting class are substantially the same as the voting class of common stock. 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, including the non-voting class of common stock, and dilutive common stock outstanding during the period. Potentially dilutive common stock includes the shares of common stock issuable upon the exercise of outstanding stock options and warrants (using the treasury stock method). Potentially dilutive common stock in the diluted net loss per share computation is excluded to the extent that it 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. For the years ended December 31, 2017 and 2016, the following securities were excluded from the calculation of diluted loss per common share because of their anti-dilutive effects: For the year ended December 31, 2017 2016 Stock options 3,276,043 1,535,187 Warrants 528,160 300,446 3,804,203 1,835,633
Business Combinations	The Company accounts for business combinations using the acquisition method of accounting in accordance with FASB ASC 805, Business Combinations
Fair value of financial instruments	The carrying amounts of certain of the Company’s financial instruments, including cash and cash equivalents, short-term investments, accounts payable, and notes payable are shown at cost, which approximates fair value due to the short-term nature of these instruments. The debt outstanding under the Company’s senior notes payable (see Note 7) approximates fair value due to the variable interest rate on this debt. With respect to the related party note payable in the amount of $15.0 million as of December 31, 2017 (see Notes 3 and 7), which is held by a principal stockholder of the Company and was issued concurrent with an acquisition transaction with such stockholder, the Company has concluded that an estimation of fair value for this note is not practicable.
Recent Accounting Pronouncements	In May 2017, the FASB issued ASU No. 2017-09, Modification Accounting for Share-Based Payment Arrangements In January 2017, the FASB issued ASU No. 2017-01, Business Combinations – Clarifying the Definition of a Business In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350) In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting (Topic 718) In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740), Balance Sheet Classification of Deferred Taxes In September 2015, the FASB issued ASU No. 2015-16, Business Combinations (Topic 805), Simplifying the Accounting for Measurement-Period Adjustments In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory In May 2014, the FASB issued new guidance related to revenue recognition, ASU 2014-09, Revenue from Contracts with Customers (“ASC 606”) In March 2016, April 2016 and December 2016, the FASB issued ASU No. 2016-08, Revenue From Contracts with Customers (ASC 606): Principal Versus Agent Considerations Revenue From Contracts with Customers (ASC 606): Identifying Performance Obligations and Licensing Technical Corrections and Improvements to Topic 606, Revenue From Contracts with Customers Revenue from Contracts with Customers ADMA will adopt ASC 606 and the foregoing related updates effective January 1, 2018, using the modified retrospective method of adoption. Based on the Company’s review of the terms and conditions of its existing customer contracts and applying the five discrete criteria required for recognizing revenue as set forth in ASU 2014-09, the Company does not expect the new revenue recognition guidance to have a material impact on its consolidated financial statements.

2. SUMMARY OF SIGNIFICANT ACC24

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	12 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
Schedule of goodwill	Balance as of January 1, 2017 $ - Goodwill recorded in connection with the acquisition of the Biotest Assets 3,529,509 Balance as of December 31, 2017 $ 3,529,509
Schedule of assumptions used for equity compensation expense	Year Ended Year Ended December 31, 2017 December 31, 2016 Expected term 5.8-6.3 years 5.8-6.3 years Volatility 56-64 51-52 Dividend yield 0.0 0.0 Risk-free interest rate 1.77-2.29% 1.54-1.79%
Schedule of dilutive securities	For the year ended December 31, 2017 2016 Stock options 3,276,043 1,535,187 Warrants 528,160 300,446 3,804,203 1,835,633

3. ACQUISITION (Tables)

3. ACQUISITION (Tables)	12 Months Ended
	Dec. 31, 2017
Acquisition Tables
Purchase price allocation	Issuance of 12,886,740 shares of common stock (voting and non-voting) valued at $3.66 per share $ 47,165,468 Transfer of two plasma collection centers 12,621,844 Total purchase price $ 59,787,312
Schedule of assets and liabilities assumed	Cash $ 12,500,000 Inventory 8,197,354 Land and buildings 20,000,000 Property and equipment 8,209,800 Assets held for sale 845,389 Other current assets 795,553 Trademark and other intangible rights to Nabi-HB 4,100,046 Right to intermediates 907,421 Customer contract 1,076,557 Goodwill 3,529,509 Liabilities assumed (374,317 ) Total purchase price $ 59,787,312
Pro forma information	Year Ended 2017 2016 Revenues: As reported $ 22,760,560 $ 10,661,037 Proforma $ 41,024,330 $ 86,706,074 Net loss As reported $ (43,758,975 ) $ (19,515,151 ) Proforma $ (52,928,428 ) $ (82,982,280 ) Basic and diluted net loss per share: As reported $ (1.91 ) $ (1.61 ) Proforma $ (1.17 ) $ (3.31 )

4. INVENTORIES (Tables)

4. INVENTORIES (Tables)	12 Months Ended
	Dec. 31, 2017
Inventories Tables
Schedule of inventory	December 31, December 31, Raw materials $ 10,395,433 $ 5,020,146 Work-in-progress 1,265,339 — Finished goods 967,409 — Total inventories $ 12,628,181 $ 5,020,146

5. PROPERTY AND EQUIPMENT (Tabl

5. PROPERTY AND EQUIPMENT (Tables)	12 Months Ended
	Dec. 31, 2017
Property And Equipment Tables
Schedule of property and equipment	December 31, 2017 December 31, 2016 Manufacturing and laboratory equipment $ 7,148,405 $ 306,411 Office equipment and computer software 1,086,756 188,277 Furniture and fixtures 1,136,623 1,030,257 Construction in process 738,093 — Leasehold improvements 1,642,903 2,699,104 Land 4,339,441 — Buildings 15,660,559 — 31,752,780 4,224,049 Less: Accumulated depreciation and amortization (1,285,922 ) (2,223,265 ) $ 30,466,858 $ 2,000,784

6. INTANGIBLE ASSETS (Tables)

6. INTANGIBLE ASSETS (Tables)	12 Months Ended
	Dec. 31, 2017
Intangible Assets Tables
Schedule of intangible assets	December 31, 2017 December 31, 2016 Cost Accumulated Amortization Net Cost Accumulated Amortization Net Trademark and other intangible rights related to Nabi-HB® $ 4,100,046 $ 341,670 $ 3,758,376 $ — $ — $ — Right to intermediates 907,421 75,618 831,803 — — — Customer contract 1,076,557 817,386 259,171 — — — Total $ 6,084,024 $ 1,234,674 $ 4,849,350 $ — $ — $ —
Intangible asset future aggregate amortization expense	2018 844,938 2019 844,938 2020 715,352 2021 715,352 2022 715,532

7. NOTES PAYABLE (Tables)

7. NOTES PAYABLE (Tables)	12 Months Ended
	Dec. 31, 2017
Notes Payable Tables
Summary of outstanding senior notes payable	2017 2016 Notes payable: $ 30,000,000 $ 20,000,000 Less: Debt discount (4,631,542 ) (1,567,249 ) Current portion — (6,111,111 ) Senior notes payable $ 25,368,458 $ 12,321,640
Discount on the Tranche One Note	Facility fee $ 2,760,000 Deferred financing fees 1,475,330 Tranche One Warrants 614,513 Total debt discount at Marathon Closing Date $ 4,849,843
Summary of the outstanding related party note payable	2017 2016 Related party note payable to Biotest $ 15,000,000 $ — Less: Debt discount (157,604 ) — Note payable - related party $ 14,842,396 $ —

8. STOCKHOLDERS_ EQUITY (Tables

8. STOCKHOLDERS’ EQUITY (Tables)	12 Months Ended
	Dec. 31, 2017
Equity [Abstract]
Schedule of assumptions	Year Ended Year Ended December 31, 2017 December 31, 2016 Expected term 7 years 7 years Volatility 57 % 54 % Dividend yield 0.0 0.0 Risk-free interest rate 2.18 % 1.51 %
Schedule of stock option activity	Shares Weighted Average Exercise Price Balance at December 31, 2015 1,464,203 $ 8.02 Forfeited (21,334 ) $ 8.02 Expired (8,666 ) $ 7.88 Granted 100,984 $ 6.20 Balance at December 31, 2016 1,535,187 $ 7.90 Forfeited (94,024 ) $ 7.72 Expired (47,476 ) $ 9.02 Granted 1,976,295 $ 3.73 Exercised (93,939 ) $ 2.68 Balance at December 31, 2017 3,276,043 $ 5.52 Options exercisable 1,338,568 $ 7.68
Summary of outstanding and exercisable options by price range	Stock Options Outstanding Stock Options Exercisable Range of Exercise Prices Options Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Aggregate Intrinsic Value Options Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Aggregate Intrinsic Value $1.34 - $2.06 35,418 8.9 $ 1.97 $ 44,092 4,668 2.4 $ 1.34 $ 8,729 $2.53 - $5.00 1,927,331 9.4 $ 3.75 21,385 133,869 9.0 $ 3.87 3,067 $5.96 - $8.98 1,026,794 5.2 $ 7.64 — 993,581 5.1 $ 7.65 — $9.37 - $10.80 286,500 7.3 $ 10.33 — 206,450 7.3 $ 10.44 — 3,276,043 7.9 $ 5.52 $ 65,477 1,338,568 5.8 $ 7.68 $ 11,796
Stock-based compensation expense	2017 2016 Research and development $ 380,925 $ 439,982 Plasma centers 47,330 52,973 Selling, general and administrative 1,081,236 757,119 Cost of goods sold 52,168 — Total stock-based compensation expense $ 1,561,659 $ 1,250,074

9. RELATED PARTY TRANSACTIONS (

9. RELATED PARTY TRANSACTIONS (Tables)	12 Months Ended
	Dec. 31, 2017
Related Party Transactions Tables
Schedule of related party transactions	Year Ended December 31, 2017 2016 Sale and purchase of plasma Product revenue $ 10,664,456 $ 8,745,844 Purchases 2,776,959 1,606,573 License revenue 142,834 142,834 Interest expense 520,000 — December 31, December 31, 2017 2016 Accounts receivable $ 1,245,677 $ 969,675 Accounts payable 139,939 82,427 Accrued expenses 314,820 — Note payable, net of discount 14,842,396 — Accrued interest 65,000 — Deferred revenue 2,690,033 2,832,867

10. COMMITMENTS AND CONTINGEN32

10. COMMITMENTS AND CONTINGENCIES (Tables)	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Future minimum lease payments	2018 $ 701,494 2019 680,509 2020 679,166 2021 670,814 2022 680,317 Thereafter 1,260,718 $ 4,673,018

11. INCOME TAXES (Tables)

11. INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Schedule of reconciliation of income taxes	Year Ended December 31, 2017 2016 Benefit at U.S. federal statutory rate $ (14,758,443 ) $ (6,635,151 ) State taxes - deferred (1,581,844 ) (266,312 ) Increase in valuation allowance (751,505 ) 5,755,413 Research and development credits (272,262 ) (322,499 ) Federal tax reform rate change 17,263,248 — Other 100,806 1,468,549 Benefit for income taxes $ — $ —
Schedule of deferred tax asset	Year Ended December 31, 2017 2016 Federal and state net operating loss carryforwards $ 29,137,918 $ 30,843,479 Federal and state research credits 4,526,201 4,099,249 Transaction costs 1,269,443 652,695 Deferred revenue 679,068 972,345 Accrued expenses and other 951,219 747,586 Total gross deferred tax assets 36,563,849 37,315,354 Less: valuation allowance for deferred tax assets (36,563,849 ) (37,315,354 ) Net deferred tax assets $ — $ —

12. SEGMENTS (Tables)

12. SEGMENTS (Tables)	12 Months Ended
	Dec. 31, 2017
Segment Reporting [Abstract]
Summarized segment financial information	Year Ended December 31, 2017 ADMA BioManufacturing Plasma Collection Centers Corporate Consolidated Revenues $ 10,980,987 $ 11,636,739 $ 142,834 $ 22,760,560 Cost of product revenue 21,862,140 7,302,181 — 29,164,321 Gross (loss) profit (10,881,153 ) 4,334,558 142,834 (6,403,761 ) Loss from operations (19,801,455 ) (2,169,192 ) (17,339,349 ) (39,309,996 ) Interest and other expense, net (537,235 ) (6,885 ) (3,904,859 ) (4,448,979 ) Net loss (20,338,690 ) (2,176,077 ) (21,244,208 ) (43,758,975 ) Capital expenditures 747,402 1,913,663 15,263 2,676,328 Depreciation and amortization expense 2,204,772 436,687 50,842 2,692,301 Total Assets 54,004,696 3,933,673 50,080,464 108,018,833 Year Ended December 31, 2016 ADMA BioManufacturing Plasma Collection Centers Corporate Consolidated Revenues $ — $ 10,518,203 $ 142,834 $ 10,661,037 Cost of product revenue — 6,360,761 — 6,360,761 Gross profit — 4,157,442 142,834 4,300,276 Loss from operations — (1,290,249 ) (16,040,146 ) (17,330,395 ) Other expense, net — — (2,184,756 ) (2,184,756 ) Net loss — (1,290,249 ) (18,224,902 ) (19,515,151 ) Capital expenditures — 56,328 17,082 73,410 Depreciation and amortization expense — 414,464 55,112 469,576 Total Assets 2,421,535 21,263,550 23,685,085

14. SUPPLEMENTAL DISCLOSURE O35

14. SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2017
Supplemental Disclosure Of Cash Flow Information Tables
Schedule of supplemental cash flow information	2017 2016 SUPPLEMENTAL CASH FLOW INFORMATION: Cash paid for interest $ 2,293,590 $ 1,530,235 Noncash Financing and Investing Activities: Assets acquired through the issuance of common stock and liabilities assumed $ 60,161,629 $ — Equipment acquired reflected in accounts payable and accrued liabilities $ 544,125 $ — End of term liability for senior notes payable $ 2,760,000 $ 358,000 Warrants issued in connection with notes payable $ 614,513 $ 86,300

1. ORGANIZATION AND BUSINESS (D

1. ORGANIZATION AND BUSINESS (Details Narrative) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Accounting Policies [Abstract]
Cash and cash equivalents	$ 43,107,574	$ 9,914,867
Accumulated deficit	$ (150,693,793)	$ (106,934,818)

2. SUMMARY OF SIGNIFICANT ACC37

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	12 Months Ended
	Dec. 31, 2017USD ($)
Summary Of Significant Accounting Policies Details
Goodwill, beginning balance	$ 0
Goodwill recorded in connection with the acquisition of the Biotest Assets	3,529,509
Goodwill, ending balance	$ 3,529,509

2. SUMMARY OF SIGNIFICANT ACC38

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Summary Of Significant Accounting Policies Details 1
Expected term, minimum	5 years 9 months 5 days	5 years 9 months 5 days
Expected term, maximum	6 years 3 months 18 days	6 years 3 months 18 days
Volatility, minimum	56.00%	51.00%
Volatility, maximum	64.00%	52.00%
Dividend yield	0.00%	0.00%
Risk-free interest rate Minimum	1.77%	1.54%
Risk-free interest rate Maximum	2.29%	1.79%

2. SUMMARY OF SIGNIFICANT ACC39

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) - shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Potentially dilutive securities	3,804,203	1,835,633
Stock Options
Potentially dilutive securities	3,276,043	15,351,877
Warrants
Potentially dilutive securities	528,160	300,446

2. SUMMARY OF SIGNIFICANT ACC40

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Summary Of Significant Accounting Policies Details Narrative
Asset impairment charge	$ 845,389	$ 0
Advertising and marketing expenses	$ 600,000	$ 200,000

3. ACQUISITION (Details)

3. ACQUISITION (Details)	12 Months Ended
	Dec. 31, 2017USD ($)
Acquisition Details
Issuance of 12,886,740 shares of common stock (voting and non-voting) valued at $3.66 per share	$ 47,165,468
Transfer of two plasma collection centers	12,621,844
Total purchase price	$ 59,787,312

3. ACQUISITION (Details 1)

3. ACQUISITION (Details 1)	12 Months Ended
	Dec. 31, 2017USD ($)
Acquisition Details 1
Cash	$ 12,500,000
Inventory	8,197,354
Land and buildings	20,000,000
Property and equipment	8,209,800
Assets held for sale	845,389
Other current assets	795,553
Trademark and other intangible rights to Nabi-HB	4,100,046
Right to intermediates	907,421
Customer contract	1,076,557
Goodwill	1,076,557
Liabilities assumed	(374,317)
Total purchase price	$ 59,787,312

3. ACQUISITION (Details 2)

3. ACQUISITION (Details 2) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Revenues:
As reported	$ 22,760,560	$ 10,661,037
Proforma	41,024,330	86,706,074
Net loss
As reported	(43,758,975)	(19,515,151)
Proforma	$ (52,928,428)	$ (82,982,280)
Basic and diluted net loss per share:
As reported	$ (1.91)	$ (1.61)
Proforma	$ (1.17)	$ (3.31)

3. ACQUISITION (Details Narrati

3. ACQUISITION (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Acquisition Details Narrative
Transaction closing costs	$ 3,900,000	$ 1,900,000

4. INVENTORIES (Details)

4. INVENTORIES (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Inventories Details
Raw materials	$ 10,395,433	$ 5,020,146
Work-in-progress	1,265,339	0
Finished goods	967,409	0
Total inventories	$ 12,628,181	$ 5,020,146

5. PROPERTY, PLANT AND EQUIPMEN

5. PROPERTY, PLANT AND EQUIPMENT (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Property, plant and equipments, gross	$ 31,752,780	$ 4,224,049
Less: Accumulated depreciation and amortization	(1,285,922)	(2,223,265)
Property, plant and equipments, net	30,466,858	2,000,784
Manufacturing and laboratory equipment
Property, plant and equipments, gross	7,148,405	306,411
Office equipment and computer software
Property, plant and equipments, gross	1,086,756	188,277
Furniture and fixtures
Property, plant and equipments, gross	1,136,623	1,030,257
Construction in process
Property, plant and equipments, gross	738,093
Leasehold improvements
Property, plant and equipments, gross	1,642,903	2,699,104
Land
Property, plant and equipments, gross	4,339,441	0
Buildings
Property, plant and equipments, gross	$ 15,660,559	$ 0

5. PROPERTY AND EQUIPMENT (Deta

5. PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Abstract]
Depreciation and amortization expense	$ 1,500,000	$ 400,000

6. INTANGIBLE ASSETS (Details)

6. INTANGIBLE ASSETS (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Cost	$ 6,084,024	$ 0
Accumulated Amortization	1,234,674	0
Net	4,849,350	0
Trademark and other intangible rights related to Nabi-HB®
Cost	4,100,046	0
Accumulated Amortization	341,670	0
Net	3,758,376	0
Right to intermediates
Cost	907,421	0
Accumulated Amortization	75,618	0
Net	831,803	0
Customer contract
Cost	1,076,557	0
Accumulated Amortization	817,386	0
Net	$ 259,171	$ 0

6. INTANGIBLE ASSETS (Details 1

6. INTANGIBLE ASSETS (Details 1)	Dec. 31, 2017USD ($)
Intangible Assets Details 1
2,018	$ 844,938
2,019	844,938
2,020	715,352
2,021	715,352
2,022	$ 715,352

7. NOTES PAYABLE (Details)

7. NOTES PAYABLE (Details) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Notes Payable Details
Notes payable	$ 30,000,000	$ 20,000,000
Less: Debt discount	(4,631,542)	(1,567,249)
Less: Current portion	0	6,111,111
Senior notes payable	$ 25,368,458	$ 12,321,640

7. NOTES PAYABLE (Details 1)

7. NOTES PAYABLE (Details 1)	12 Months Ended
	Dec. 31, 2017USD ($)
Notes Payable Details 1
Facility fee	$ 2,760,000
Deferred financing fees	1,475,330
Tranche One Warrants	614,513
Total debt discount at Marathon Closing Date	$ 4,849,843

7. NOTES PAYABLE (Details 2)

7. NOTES PAYABLE (Details 2) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Notes Payable Details 2
Related party note payable to Biotest	$ 15,000,000	$ 0
Less:
Debt discount	(157,604)	0
Note payable - related party	$ 14,842,396	$ 0

8. STOCKHOLDERS_ EQUITY (Detail

8. STOCKHOLDERS’ EQUITY (Details)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
STOCKHOLDERS' EQUITY (DEFICIT)
Expected Term	7 years	7 years
Volatility	57.00%	54.00%
Dividend yield	0.00%	0.00%
Risk-free interest rate	2.18%	1.51%

8. STOCKHOLDERS_ EQUITY (Deta54

8. STOCKHOLDERS’ EQUITY (Details 1) - $ / shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Shares
Outstanding at beginning of period	1,535,187	1,464,203
Forfeited	(94,024)	(21,334)
Expired	(47,476)	(8,666)
Granted	1,976,295	100,984
Exercised	(93,939)
Outstanding at end of period and expected to vest	3,276,043	1,535,187
Options exercisable	1,338,568
Weighted Average Exercise Price
Outstanding at beginning of period	$ 7.90	$ 8.02
Forfeited	7.72	8.02
Expired	9.02	7.88
Granted	3.73	6.20
Exercised	2.68
Outstanding at end of period and expected to vest	5.52	$ 7.90
Options exercisable	$ 7.68

8. STOCKHOLDERS_ EQUITY (Deta55

8. STOCKHOLDERS’ EQUITY (Details 2) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Options Outstanding	3,276,043	1,535,187	1,464,203
Options Outstanding, Weighted Average Remaining Contractual Life	7 years 10 months 24 days
Options Outstanding, Weighted Average Exercise Price	$ 5.52	$ 7.90	$ 8.02
Options Outstanding, Aggregate Intrinsic Value	$ 65,477
Options Exercisable	1,338,568
Options Exercisable, Weighted Average Remaining Contractual Life	5 years 9 months 18 days
Options Exercisable, Weighted Average Exercise Price	$ 7.68
Options Exercisable, Aggregate Intrinsic Value	$ 11,796
$1.34 - $2.06
Options Outstanding	35,418
Options Outstanding, Weighted Average Remaining Contractual Life	8 years 10 months 24 days
Options Outstanding, Weighted Average Exercise Price	$ 1.97
Options Outstanding, Aggregate Intrinsic Value	$ 44,092
Options Exercisable	4,668
Options Exercisable, Weighted Average Remaining Contractual Life	2 years 4 months 24 days
Options Exercisable, Weighted Average Exercise Price	$ 1.34
Options Exercisable, Aggregate Intrinsic Value	$ 8,729
$2.53 - $5.00
Options Outstanding	1,927,331
Options Outstanding, Weighted Average Remaining Contractual Life	9 years 4 months 24 days
Options Outstanding, Weighted Average Exercise Price	$ 3.75
Options Outstanding, Aggregate Intrinsic Value	$ 21,385
Options Exercisable	133,869
Options Exercisable, Weighted Average Remaining Contractual Life	9 years
Options Exercisable, Weighted Average Exercise Price	$ 3.87
Options Exercisable, Aggregate Intrinsic Value	$ 3,067
$5.96 - $8.98
Options Outstanding	1,026,794
Options Outstanding, Weighted Average Remaining Contractual Life	5 years 2 months 12 days
Options Outstanding, Weighted Average Exercise Price	$ 7.64
Options Outstanding, Aggregate Intrinsic Value	$ 0
Options Exercisable	993,581
Options Exercisable, Weighted Average Remaining Contractual Life	5 years 1 month 6 days
Options Exercisable, Weighted Average Exercise Price	$ 7.65
Options Exercisable, Aggregate Intrinsic Value	$ 0
$9.37 - $10.80
Options Outstanding	286,500
Options Outstanding, Weighted Average Remaining Contractual Life	7 years 3 months 18 days
Options Outstanding, Weighted Average Exercise Price	$ 10.33
Options Outstanding, Aggregate Intrinsic Value	$ 0
Options Exercisable	206,450
Options Exercisable, Weighted Average Remaining Contractual Life	7 years 3 months 18 days
Options Exercisable, Weighted Average Exercise Price	$ 10.44
Options Exercisable, Aggregate Intrinsic Value	$ 0

8. STOCKHOLDERS' EQUITY (Detail

8. STOCKHOLDERS' EQUITY (Details 3) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Total stock-based compensation expense	$ 1,561,659	$ 1,250,074
Research and Development Expense
Total stock-based compensation expense	380,925	439,982
Plasma centers [Member]
Total stock-based compensation expense	47,330	52,973
Selling, General and Administrative Expense
Total stock-based compensation expense	1,081,236	757,119
Cost of goods sold
Total stock-based compensation expense	$ 52,168	$ 0

8. STOCKHOLDERS' EQUITY (Deta57

8. STOCKHOLDERS' EQUITY (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, issued	0	0
Preferred stock, outstanding	0	0
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	75,000,000	75,000,000
Common stock, issued	36,725,499	12,886,741
Common stock, outstanding	36,725,499	12,886,741
Stock-based compensation	$ 1,561,659	$ 1,250,074
Options Outstanding, Weighted Average Remaining Contractual Life	7 years 10 months 24 days
Options Exercisable, Weighted Average Remaining Contractual Life	5 years 9 months 18 days
Total unrecognized compensation expense related to unvested options	$ 4,000,000
Total unrecognized compensation expense related to unvested options, period	2 years 9 months 18 days
Exercisable options intrinsic value	$ 11,796
Non-Voting Common Stock
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	8,591,160	8,591,160
Common stock, issued	8,591,160	0
Common stock, outstanding	8,591,160	0

9. RELATED PARTY TRANSACTIONS58

9. RELATED PARTY TRANSACTIONS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Sale and purchase of plasma
Product revenue	$ 10,664,456	$ 8,745,844
Purchases	2,776,959	1,606,573
License revenue	142,834	142,834
Interest expense	520,000	0
Accounts receivable	1,245,677	969,675
Accounts payable	139,939	82,427
Accrued expenses	314,820	0
Note payable, net of discount	14,842,396	0
Accrued interest	65,000	0
Deferred revenue	$ 2,690,033	$ 2,832,867

9. RELATED PARTY TRANSACTIONS59

9. RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Related Party Transactions [Abstract]
Rent expense	$ 200,000	$ 200,000

10. COMMITMENTS AND CONTINGEN60

10. COMMITMENTS AND CONTINGENCIES (Details)	Dec. 31, 2017USD ($)
Commitments and Contingencies Disclosure [Abstract]
2,018	$ 701,494
2,019	680,509
2,020	679,166
2,021	670,814
2,022	680,317
Thereafter	1,260,718
Total	$ 4,673,018

10. COMMITMENTS AND CONTINGEN61

10. COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Rent expense	$ 600,000	$ 500,000

11. INCOME TAXES (Details)

11. INCOME TAXES (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Income Tax Disclosure [Abstract]
Benefit at U.S. Federal statutory rate	$ (14,758,443)	$ (6,635,151)
State taxes - deferred	(1,581,844)	(266,312)
Increase in valuation allowance, inclusive of true-ups	(751,505)	5,755,413
Research and development credits	(272,262)	(322,499)
Federal tax reform rate change	17,263,248	0
Other	100,806	1,468,549
Benefit for income taxes	$ 0	$ 0

11. INCOME TAXES (Details 1)

11. INCOME TAXES (Details 1) - USD ($)	Dec. 31, 2017	Dec. 31, 2016
Income Taxes Details 1
Federal and state net operating loss carryforwards	$ 29,137,918	$ 30,843,479
Federal and state research credits	4,526,201	4,099,249
Transaction costs	1,269,443	652,695
Deferred revenue	679,068	972,345
Accrued expenses and other	951,219	747,586
Total gross deferred tax assets	36,563,849	37,315,354
Less: valuation allowance for deferred tax assets	(36,563,849)	(37,315,354)
Net deferred tax assets	$ 0	$ 0

10. INCOME TAXES (Details Narra

10. INCOME TAXES (Details Narrative)	Dec. 31, 2017USD ($)
Federal
Net operating loss carryforwards	$ 125,300,000
Research and development tax credit carryforwards	4,500,000
State
Net operating loss carryforwards	$ 201,500,000

12. SEGMENTS (Details)

12. SEGMENTS (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Revenues	$ 22,760,560	$ 10,661,037
Cost of product revenue	29,164,321	6,360,761
Gross (loss) profit	(6,403,761)	4,300,276
Loss from operations	(39,309,996)	(17,330,395)
Interest and other expense, net	(4,448,979)	(2,184,756)
Net loss	(43,758,975)	(19,515,151)
Capital expenditures	2,676,328	73,410
Depreciation and amortization expense	2,692,301	469,576
Total assets	108,018,833	23,685,085
ADMA BioManufacturing
Revenues	10,980,987	0
Cost of product revenue	21,862,140	0
Gross (loss) profit	(10,881,153)	0
Loss from operations	(19,801,455)	0
Interest and other expense, net	(537,235)	0
Net loss	(20,338,690)	0
Capital expenditures	747,402	0
Depreciation and amortization expense	2,204,772	0
Total assets	54,004,696	0
Plasma Collection Centers [Member]
Revenues	11,636,739	10,518,203
Cost of product revenue	7,302,181	6,360,761
Gross (loss) profit	4,334,558	4,157,442
Loss from operations	(2,169,192)	(1,290,249)
Interest and other expense, net	(6,885)	0
Net loss	(2,176,077)	(1,290,249)
Capital expenditures	1,913,663	56,328
Depreciation and amortization expense	436,687	414,464
Total assets	3,933,673	2,421,535
Corporate [Member]
Revenues	142,834	142,834
Cost of product revenue	0	0
Gross (loss) profit	142,834	142,834
Loss from operations	(17,339,349)	(16,040,146)
Interest and other expense, net	(3,904,859)	(2,184,756)
Net loss	(21,244,208)	(18,224,902)
Capital expenditures	15,263	17,082
Depreciation and amortization expense	50,842	55,112
Total assets	$ 50,080,464	$ 21,263,550

14. SUPPLEMENTAL DISCLOSURE O66

14. SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION (Details) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
SUPPLEMENTAL INFORMATION:
Cash paid for interest	$ 2,293,590	$ 1,530,235
Noncash Financing and Inesting Activities:
Assets acquired through the issuance of common stock and liabilities assumed	60,161,629	0
Equipment acquired reflected in accounts payable and accrued liabilities	544,125	0
End of term liability for senior notes payable	2,760,000	358,000
Warrants issued in connection with note payable	$ 614,513	$ 86,300