MiMedx (MDXG) 10-Q 7 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 15, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	MIMEDX GROUP, INC.
Entity Central Index Key	1,376,339
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		108,908,536
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 38,601	$ 46,582
Short term investments	7,250	5,750
Accounts receivable, net	39,448	26,672
Inventory, net	3,860	5,133
Prepaid expenses and other current assets	2,647	1,540
Total current assets	91,806	85,677
Investments	0	3,250
Property and equipment, net of accumulated depreciation	7,184	5,447
Goodwill	4,040	4,040
Intangible assets, net of accumulated amortization	10,781	10,845
Other assets	26	0
Total assets	113,837	109,259
Current liabilities:
Accounts payable	5,614	3,661
Accrued compensation	9,661	11,523
Accrued expenses	3,725	2,504
Other current liabilities	461	716
Total current liabilities	19,461	18,404
Other liabilities	1,136	1,526
Total liabilities	$ 20,597	$ 19,930
Commitments and contingencies (Note 13)
Stockholders' equity:
Preferred stock; $.001 par value; 5,000,000 shares authorized and 0 shares issued and outstanding	$ 0	$ 0
Common stock; $.001 par value; 150,000,000 shares authorized; 109,467,416 issued and 108,903,364 outstanding at June 30, 2015 and 108,776,247 issued and 107,789,611 outstanding at December 31, 2014	109	108
Additional paid-in capital	156,401	162,433
Treasury stock at cost: 564,052 shares at June 30, 2015 and 986,636 shares at December 31, 2014	(5,212)	(5,637)
Accumulated deficit	(58,058)	(67,575)
Total stockholders' equity	93,240	89,329
Total liabilities and stockholders' equity	$ 113,837	$ 109,259

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Statement [Abstract]
Net sales	$ 45,679	$ 25,573	$ 86,446	$ 45,132
Cost of sales	5,089	2,740	10,237	5,717
Gross margin	40,590	22,833	76,209	39,415
Operating expenses:
Research and development expenses	2,054	1,800	3,885	3,190
Selling, general and administrative expenses	32,651	21,193	61,960	37,045
Amortization of intangible assets	233	232	465	463
Operating income (loss)	5,652	(392)	9,899	(1,283)
Other income (expense), net
Interest income (expense), net	1	(8)	(13)	(29)
Income (loss) before income tax provision	5,653	(400)	9,886	(1,312)
Income tax provision	(223)	10	(369)	0
Net income (loss)	$ 5,430	$ (390)	$ 9,517	$ (1,312)
Net income (loss) per common share - basic	$ 0.05	$ 0	$ 0.09	$ (0.01)
Net income (loss) per common share - diluted	$ 0.05	$ 0	$ 0.08	$ (0.01)
Weighted average shares outstanding - basic	106,211,120	105,757,178	106,013,752	105,552,330
Weighted average shares outstanding - diluted	114,186,329	105,757,178	113,892,087	105,552,330

CONDENSED CONSOLIDATED BALANCE4

CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Stockholders' equity:
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	150,000,000	150,000,000
Common stock, shares issued (in shares)	109,467,416	108,776,247
Common stock, shares outstanding (in shares)	108,903,364	107,789,611
Treasury stock, shares (in shares)	564,052	986,636

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (unaudited) - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands	Total	Common Stock	Additional Paid - in Capital	Treasury Stock	Accumulated Deficit
Balance at Dec. 31, 2014	$ 89,329	$ 108	$ 162,433	$ (5,637)	$ (67,575)
Balance (in shares) at Dec. 31, 2014		108,776,247		986,636
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation expense	8,186		8,186
Exercise of stock options	$ 2,741	$ 1	(3,745)	$ 6,485
Exercise of stock options (in shares)	1,363,600	647,656		(715,944)
Issuance of restricted stock			(10,734)	$ 10,734
Issuance of restricted stock (in shares)		34,250		(1,541,504)
Restricted stock shares cancelled/forfeited			153	$ (153)
Restricted stock shares cancelled/forfeited (in shares)		(2,058)		16,111
Shares issued for services performed	$ 108		108
Shares issued for services performed (in shares)	11,321	11,321
Stock repurchase	$ (16,641)			$ (16,641)
Stock repurchase (in shares)	1,818,753			1,818,753
Net income	$ 9,517				9,517
Balance at Jun. 30, 2015	$ 93,240	$ 109	$ 156,401	$ (5,212)	$ (58,058)
Balance (in shares) at Jun. 30, 2015		109,467,416		564,052

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income (loss)	$ 9,517	$ (1,312)
Adjustments to reconcile net income (loss) to net cash from operating activities:
Depreciation	776	551
Amortization of intangible assets	465	463
Share-based compensation	8,186	5,139
Increase (decrease) in cash resulting from changes in:
Accounts receivable	(12,776)	(4,407)
Inventory	1,274	(349)
Prepaid expenses and other current assets	(1,106)	(988)
Other assets	(26)	0
Accounts payable	2,060	(45)
Accrued compensation	(1,862)	566
Accrued expenses	1,221	(268)
Other liabilities	(586)	218
Net cash flows from operating activities	7,143	(432)
Cash flows from investing activities:
Purchases of equipment	(2,513)	(1,145)
Fixed maturity securities redemption	1,750	0
Patent application costs	(402)	(289)
Net cash flows from investing activities	(1,165)	(1,434)
Cash flows from financing activities:
Proceeds from exercise of stock options	2,741	775
Proceeds from exercise of warrants	0	883
Stock repurchase	(16,641)	(4,563)
Payments under capital lease obligations	(59)	(62)
Net cash flows from financing activities	(13,959)	(2,967)
Net change in cash	(7,981)	(4,833)
Cash and cash equivalents, beginning of period	46,582	44,078
Cash and cash equivalents, end of period	$ 38,601	$ 39,245

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) from interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. Changes to GAAP are established by the Financial Accounting Standards Board (“FASB”) in the form of Accounting Standards Updates (“ASU’’) to the FASB’s Accounting Standards Codification (“ASC”). In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the results of operations for the periods presented have been included. Operating results for the six months ended June 30, 2015 and 2014 , are not necessarily indicative of the results that may be expected for the fiscal year. The balance sheet at December 31, 2014 , has been derived from the audited consolidated financial statements at that date, but does not include all of the information and footnotes required by GAAP for complete financial statements. You should read these condensed consolidated financial statements together with the historical consolidated financial statements of the Company for the year ended December 31, 2014 , included in the Company's Annual Report on Form 10-K for the year ended December 31, 2014 , filed with the SEC on March 13, 2015. The Company operates in one business segment, Regenerative Biomaterials, which includes the design, manufacture, and marketing of products and tissue processing services for the Wound Care, Surgical, Sports Medicine, Ophthalmic and Dental market categories. The Company's biomaterial platform technologies include tissue technologies, AmnioFix® and EpiFix®, and device technology, CollaFix™, which the Company has yet to commercialize.

Significant Accounting Policies

Significant Accounting Policies	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Significant Accounting Policies	Significant Accounting Policies Please see Note 2 to the Company's Consolidated Financial Statements included in the Company’s Form 10-K for the fiscal year ended December 31, 2014 , for a description of all significant accounting policies. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Accounts Receivable Accounts receivable represent amounts due from customers for which revenue has been recognized. Generally, the Company does not require collateral or any other security to support its receivables. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing receivables. The Company determines the allowance based on factors such as historical collection experience, customers' current creditworthiness, customer concentrations, age of accounts receivable balance and general economic conditions that may affect the customers' ability to pay. Inventories Inventory is valued at standard cost, which approximates actual cost computed on a first-in, first-out basis, not in excess of market value. The Company assesses the valuation of its inventory on a periodic basis and makes adjustments to the value for estimated excess and obsolete inventory based on estimates about future demand. The excess balance determined by this analysis becomes the basis for the Company's excess inventory charge. The Company's excess inventory review process includes analysis of sales forecasts, managing product rollovers and working with operations to maximize recovery of excess inventory. Revenue Recognition The Company sells its products through a combination of a direct sales force and independent stocking distributors and representatives in the U.S. and independent distributors in international markets. The Company recognizes revenue when title to the goods transfers to customers, provided there are no material remaining performance obligations required of the Company or any matters of customer acceptance. In cases where the Company utilizes distributors or ships product directly to the end user, it recognizes revenue upon shipment provided all other revenue recognition criteria have been met. A portion of the Company's revenue is generated from inventory maintained at hospitals. For these products, revenue is recognized at the time the product has been used or implanted. The Company records estimated sales returns, discounts and allowances as a reduction of net sales in the same period revenue is recognized. Patent Costs The Company incurs certain legal and related costs in connection with patent applications for tissue-based products and processes. The Company capitalizes such costs to be amortized over the expected life of the patent to the extent that an economic benefit is anticipated from the resulting patent or alternative future use is available to the Company and are included in Intangible Assets in the Condensed Consolidated Balance Sheets. The Company capitalized approximately $402,000 of patent costs during the first six months of 2015 . The Company capitalized approximately $289,000 of patent costs during the first six months of 2014. Treasury Stock The Company accounts for the purchase of treasury stock under the cost method. Treasury stock which is reissued for the exercise of option grants and the issuance of restricted stock grants is accounted for on a first - in first - out (FIFO) basis. Recent Accounting Pronouncements The Company considers the applicability and impact of all ASUs issued effective and not yet effective. In May 2014, the Financial Accounting Standards Board issued ASU 2014-09, “Revenue Recognition - Revenue from Contracts with Customers” (ASU 2014-09) that requires companies to recognize revenue when a customer obtains control rather than when companies have transferred substantially all risks and rewards of a good or service. This update is effective for annual reporting periods beginning on or after December 15, 2017 and interim periods therein and requires expanded disclosures. The Company is currently assessing the impact the adoption of ASU 2014-09 will have on our condensed consolidated financial statements. All other ASUs issued effective and not yet effective for the six months ended June 30, 2015 , and through the date of this report, were assessed and determined to be either not applicable or are expected to have minimal impact on the Company's financial position or results of operations.

Liquidity and Management's Plan

Liquidity and Management's Plans	6 Months Ended
	Jun. 30, 2015
Liquidity and management's plans [Abstract]
Liquidity and Management's Plans	Liquidity and Management’s Plans As of June 30, 2015 , the Company had approximately $38,601,000 of cash and cash equivalents. The Company reported total current assets of approximately $91,806,000 and current liabilities of approximately $19,461,000 as of June 30, 2015 . The Company believes that its anticipated cash from operating and financing activities, and existing cash and cash equivalents will enable the Company to meet its operational liquidity needs and fund its planned investing activities for the next twelve months.

Short Term Investments

Short Term Investments	6 Months Ended
	Jun. 30, 2015
Cash and Cash Equivalents [Abstract]
Short Term Investments	Short Term Investments Short term investments consist of approximately $7,250,000 of FDIC insured certificates of deposit held with various financial institutions as of June 30, 2015 . Short term investments consisted of approximately $5,750,000 of FDIC insured certificates of deposit at December 31, 2014. The cost of these instruments approximates their fair market value at June 30, 2015 and December 31, 2014.

Inventories

Inventories	6 Months Ended
	Jun. 30, 2015
Inventory Disclosure [Abstract]
Inventories	Inventories Inventories consisted of the following items as of June 30, 2015 , and December 31, 2014 (in thousands): June 30, 2015 December 31, 2014 Raw materials $ 314 $ 255 Work in process 2,092 3,419 Finished goods 2,008 1,986 Inventory, gross 4,414 5,660 Reserve for obsolescence (554 ) (527 ) Inventory, net $ 3,860 $ 5,133

Investments

Investments	6 Months Ended
	Jun. 30, 2015
Investments, All Other Investments [Abstract]
Investments	Investments Investments consist of FDIC insured certificates of deposit with various U.S. financial institutions. As of December 31, 2014, the balance was approximately $3,250,000 , and the cost approximated fair market value.

Property and Equipment

Property and Equipment	6 Months Ended
	Jun. 30, 2015
Property, Plant and Equipment [Abstract]
Property and Equipment	Property and Equipment Property and equipment consist of the following as of June 30, 2015 , and December 31, 2014 (in thousands): June 30, December 31, Leasehold improvements $ 2,613 $ 2,559 Lab and clean room equipment 3,392 3,040 Furniture and office equipment 3,204 2,398 Construction in progress 1,943 949 Property and equipment, gross 11,152 8,946 Less accumulated depreciation (3,968 ) (3,499 ) Property and equipment, net $ 7,184 $ 5,447 Included in net property and equipment is approximately $427,000 of equipment covered under capital leases. The corresponding liability of approximately $192,000 is included in other liabilities in the accompanying Condensed Consolidated Balance Sheets. Interest rates for these leases range from approximately 3% to 12% with maturity dates from September 2016 to January 2018. Also included is approximately $1.0 million in leasehold improvements paid for by the landlord of the Company's main facility with a corresponding liability included in other liabilities which is amortized over the term of the lease. Depreciation expense for the six months ended June 30, 2015 and 2014, was approximately $776,000 and $551,000 , respectively, and approximately $422,000 and $288,000 for the three months ended June 30, 2015 and 2014, respectively.

Intangible Assets and Royalty A

Intangible Assets and Royalty Agreement	6 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets and Royalty Agreement	Intangible Assets and Royalty Agreement Intangible assets are summarized as follows (in thousands): Weighted June 30, 2015 December 31, 2014 Cost Cost Licenses (a) (b) 10 years $ 1,009 $ 1,009 Patents & Know How (b) 17 years 7,928 7,891 Customer & Supplier Relationships (b) 14 years 3,761 3,761 Tradenames & Trademarks (b) indefinite 1,008 1,008 In Process Research & Development (b) n/a 25 25 Patents in Process (c) n/a 1,447 1,083 Total 15,178 14,777 Less Accumulated amortization (4,397 ) (3,932 ) Net $ 10,781 $ 10,845 (a) On January 29, 2007, the Company acquired a license from Shriners Hospitals for Children and University of South Florida Research Foundation, Inc. in the amount of $996,000 . Within 30 days after the receipt by the Company of approval by the FDA allowing the sale of the first licensed product, the Company is required to pay an additional $200,000 to the licensor. Due to its contingent nature, this amount is not recorded as a liability. The Company will also be required to pay a royalty of 3% on all commercial sales revenue from the licensed products. The Company is also obligated to pay a $50,000 minimum annual royalty payment over the life of the license. As of June 30, 2015 , this license had a remaining net book value of approximately $159,000 . (b) On January 5, 2011, the Company acquired Surgical Biologics, LLC. As a result, the Company recorded intangible assets for Customer & Supplier Relationships of $3,761,000 , Patents & Know-How of $7,690,000 , Licenses of $13,000 , Trade Names & Trademarks of $1,008,000 and In-Process Research & Development of $25,000 . For the six months ended June 30, 2015, approximately $37,000 of costs associated with patents granted during the period were capitalized and included in Patents & Know-How subject to amortization. (c) Patents in Process consist of capitalized external legal and other registration costs in connection with internally developed tissue-based patents that are pending. Once issued, the costs associated with a given patent will be included in Patents & Know-How under intangible assets subject to amortization. Amortization expense for the six months ended June 30, 2015 and 2014, was approximately $465,000 and $463,000 , respectively and $233,000 and $232,000 for three months ended June 30, 2015 and 2014, respectively. Expected future amortization of intangible assets as of June 30, 2015 , is as follows (in thousands): Year ending December 31, Estimated Amortization Expense 2015 (a) $ 466 2016 932 2017 842 2018 832 2019 832 Thereafter 5,869 $ 9,773 (a) Estimated amortization expense for the year ending December 31, 2015, includes only amortization to be recorded after June 30, 2015 .

Net Income (Loss) Per Share

Net Income (Loss) Per Share	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Net Income (Loss) Per Share	Net Income (Loss) Per Share Basic net income (loss) per common share is computed using the weighted-average number of common shares outstanding during the period. Diluted net income per common share is computed using the weighted-average number of common and dilutive common equivalent shares from stock options, restricted stock, and warrants using the treasury stock method. The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands except share data): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net income (loss) $ 5,430 $ (390 ) $ 9,517 $ (1,312 ) Denominator for basic earnings per share - weighted average shares 106,211,120 105,757,178 106,013,752 105,552,330 Effect of dilutive securities: Stock options, restricted stock, and warrants outstanding(a) 7,975,209 — 7,878,335 — Denominator for diluted earnings per share - weighted average shares adjusted for dilutive securities 114,186,329 105,757,178 113,892,087 105,552,330 Income (loss) per common share - basic $ 0.05 $ 0.00 $ 0.09 $ (0.01 ) Income (loss) per common share - diluted $ 0.05 $ 0.00 $ 0.08 $ (0.01 ) (a) Securities outstanding that are included in the computation above, utilizing the treasury stock method are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2015 Outstanding Stock Options 7,411,271 7,393,698 Outstanding Warrants 37,909 37,708 Restricted Stock Awards 526,029 446,929 7,975,209 7,878,335 Securities outstanding for the three and six months ended June 30, 2014 were excluded from the computation of diluted earnings per share because they would have been anti-dilutive.

Equity

Equity	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Equity	Equity Stock Incentive Plans The Company has three share-based compensation plans: the MiMedx Group, Inc. Assumed 2006 Stock Incentive Plan (the “2006 Plan”), the MiMedx Inc. 2007 Assumed Stock Plan (the “Assumed 2007 Plan”) and the MiMedx Group Inc. Amended and Restated Assumed 2005 Stock Plan (the “Assumed 2005 Plan”) which provide for the granting of qualified incentive and non-qualified stock options, stock appreciation awards and restricted stock awards to employees, directors, consultants and advisors. The awards are subject to a vesting schedule as set forth in each individual agreement. The Company intends to use only the 2006 Plan to make future grants. The number of assumed options under the Assumed 2005 Plan and Assumed 2007 Plan outstanding at June 30, 2015 totaled 195,000 . On July 28, 2014, the Company's shareholders approved 4,000,000 additional shares to be made available under the 2006 Plan, bringing the maximum number of shares of common stock that can be issued under the 2006 Plan to 26,500,000 at June 30, 2015 . Activity with respect to the stock options is summarized as follows: Number of Shares Weighted- Average Exercise Price Weighted-Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding at January 1, 2015 16,474,227 $ 3.43 Granted 75,100 $ 9.67 Exercised (1,363,600 ) $ 2.00 Unvested options forfeited (147,478 ) $ 6.72 Vested options expired (3,332 ) $ 7.00 Outstanding at June 30, 2015 15,034,917 $ 3.56 6.9 $ 120,703,345 Vested at June 30, 2015 10,613,022 $ 2.56 6.4 $ 95,795,241 Vested or expected to vest at June 30, 2015 (a) 14,872,513 $ 3.53 6.9 $ 119,928,454 (a) Includes forfeiture adjusted unvested shares. The intrinsic value of the options exercised during the six months ended June 30, 2015 , was approximately $11,209,214 . Following is a summary of stock options outstanding and exercisable at June 30, 2015 : Options Outstanding Options Exercisable Range of Exercise Prices Number outstanding Weighted-Average Remaining Contractual Term (in years) Weighted- Average Exercise Price Number Exercisable Weighted- Average Exercise Price $0.50 - $0.76 441,429 3.9 $ 0.72 441,429 $ 0.72 $0.87 - $1.35 5,248,457 6.2 1.19 5,248,457 1.19 $1.40 - $2.33 1,255,051 4.3 1.66 1,201,715 1.66 $2.45 - $3.75 1,614,123 7.2 2.78 969,265 2.78 $3.95 - $5.99 3,151,217 7.9 5.18 1,808,318 5.13 $6.02 - $9.13 3,124,540 8.2 7.06 943,838 7.05 $9.22- $10.99 200,100 9.5 10.12 — — 15,034,917 6.9 $ 3.56 10,613,022 $ 2.56 Total unrecognized compensation expense related to granted stock options at June 30, 2015 , was approximately $10,382,361 and will be charged to expense ratably through May 2018. The fair value of options granted by the Company is estimated on the date of grant using the Black-Scholes-Merton option-pricing model that uses assumptions for expected volatility, expected dividends, expected term, and the risk-free interest rate. Expected volatilities are based on historical volatility of peer companies and other factors estimated over the expected term of the options. The term of employee options granted is derived using the “simplified method,” which computes expected term as the mid point between the weighted average time to vesting and the contractual maturity. The simplified method was used due to the Company's lack of sufficient historical data to provide a reasonable basis upon which to estimate the expected term due to the limited period of time its equity shares have been publicly traded. The term for non-employee options is generally based upon the contractual term of the option. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the period of the expected term or contractual term as described. The assumptions used in calculating the fair value of options using the Black-Scholes-Merton option-pricing model are set forth in the following table: Six Months Ended June 30, 2015 2014 Expected volatility 54.4 - 58.1% 63.8 - 64.5% Expected life (in years) 6.0 6.0 Expected dividend yield — — Risk-free interest rate 1.51% - 1.68% 1.69% - 1.96% The weighted-average grant date fair value for options granted during the six months ended June 30, 2015 , was approximately $5.15 . Restricted Stock Awards Activity with respect to restricted stock awards is summarized as follows: Number of Weighted-Average Grant Date Unvested at January 1, 2015 1,228,898 $7.16 Granted 1,575,754 9.56 Vested (252,427 ) 6.53 Forfeited (18,169 ) 9.38 Unvested at June 30, 2015 2,534,056 $8.70 As of June 30, 2015 , there was approximately $17,398,491 of total unrecognized stock-based compensation related to time-based, nonvested restricted stock. That expense is expected to be recognized on a straight-line basis over a weighted-average period of 2.4 years, which approximates the remaining vesting period of these grants. All shares noted above as unvested are considered issued and outstanding at June 30, 2015 . For the three and six months ended June 30, 2015 and 2014 , the Company recognized stock-based compensation as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Cost of sales $ 90 $ 75 $ 184 $ 172 Research and development 203 163 389 323 Selling, general and administrative 3,962 2,529 7,613 4,644 $ 4,255 $ 2,767 $ 8,186 $ 5,139 Warrants As of June 30, 2015 , the Company had 42,400 common stock warrants outstanding with an exercise price of $1.09 representing compensation to consultants and advisors in connection with previous debt offerings. The warrants expire in December 2016 and are classified as equity. Treasury Stock On May 12, 2014, the Company announced that its Board of Directors had authorized the repurchase of up to $10,000,000 of its common stock from time to time, through December 31, 2014. On December 12, 2014, the Board extended this program until December 31, 2015. On January 5, 2015, the Board increased the authorization under the program to $20,000,000 , and on April 27, 2015 the Board increased the authorization from $20,000,000 to $30,000,000 . The timing and amount of future repurchases, if any, will depend upon the Company's stock price, economic and market conditions, regulatory requirements, and other corporate considerations. The Company may initiate, suspend or discontinue purchases under the stock repurchase program at any time. For the six months ended June 30, 2015 , the Company purchased 1,818,753 shares of its common stock for a purchase price of approximately $16,589,000 before brokerage commissions of approximately $52,000 . As of June 30, 2015 , the Company had approximately $7,828,000 remaining under the repurchase program. Additionally, for the six months ended June 30, 2015 , the Company reissued 2,241,337 shares from the Treasury for restricted stock grants and stock option exercises, net of forfeitures, with an aggregate carrying value of approximately $17,066,000 .

Income taxes

Income taxes	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income taxes	Income taxes The effective tax rates for continuing operations of 3.7% and ( 0.0% ) for the six months ended June 30, 2015 and June 30, 2014 , respectively, were determined using an estimated annual effective tax rate and after considering any discrete items for such periods. Due to a valuation allowance against the Company's U.S. deferred tax assets, the effective tax rate for the six months ended June 30, 2015 , does not include the expense of the current period U.S. taxable income. A valuation allowance is recorded to reduce the deferred tax assets reported if, based on the weight of the evidence, it is more likely than not that a portion or none of the deferred tax assets will be realized. After consideration of all the evidence, including reversal of deferred tax liabilities, future taxable income and other factors, management has determined that a full valuation allowance is necessary as of June 30, 2015 . As a result, income tax expense for the six months ended June 30, 2015 , is primarily due to income tax expense in certain state jurisdictions. As a result of anticipated profitability for the year and positive trends in the foreseeable future, the Company may release all or a portion of this valuation allowance by the end of 2015. However, the exact timing and amount of the valuation allowance released are subject to change based on the level of profitability that the Company is able to actually achieve for the year and its visibility into future period results. The potential release of this valuation allowance during 2015 would have a material impact on the Company's recorded tax expense (benefit) in the period of reversal. The Company will release this valuation allowance when management determines that it is more likely than not that its deferred tax asset will be realized.

Supplemental disclosure of cash

Supplemental disclosure of cash flow and non-cash investing and financing activities	6 Months Ended
	Jun. 30, 2015
Supplemental Cash Flow Elements [Abstract]
Supplemental disclosure of cash flow and non-cash investing and financing activities	Supplemental disclosure of cash flow and non-cash investing and financing activities: Selected cash payments, receipts, and noncash activities are as follows (in thousands): Six Months Ended June 30, 2015 2014 Cash paid for interest $ 29 $ 29 Income taxes paid 874 81 Retirement of fixed assets 308 — Stock issuance of 11,321 shares in exchange for services performed 108 —

Contractual Commitments and Con

Contractual Commitments and Contingencies	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Contractual Commitments and Contingencies	Contractual Commitments and Contingencies Contractual Commitments In addition to the Capital Leases noted above in Note 7, the Company has entered into operating lease agreements for facility space and equipment. These leases expire over the next five years and generally contain renewal options. The Company anticipates that most of these leases will be renewed or replaced upon expiration. The Company also has commitments for meeting space and to various charitable organizations. The estimated annual lease payments, meeting space and charitable organization commitments are as follows (in thousands): 12-month period ended June 30 2016 $ 2,622 2017 1,830 2018 1,818 2019 1,174 Thereafter 406 $ 7,850 Rent expense for the six months ended June 30, 2015 and 2014, was approximately $593,000 and $564,000 , respectively, and was approximately $310,000 and $282,000 for three months ended June 30, 2015 and 2014, respectively, and is allocated among cost of sales, research and development, and selling, general and administrative expenses. Letters of Credit As a condition of the lease for the Company's main facility, the Company is obligated under standby letters of credit in the amount of approximately $500,000 . These obligations are reduced at various times over the life of the lease. FDA Untitled Letter, Draft Guidance and Related Litigation FDA Untitled Letter Initially, MiMedx processed its tissue allografts in only one form, which was a sheet form. In 2011, MiMedx introduced a micronized form of its sheet allografts. The FDA has specific regulations governing human cells, tissues and cellular and tissue-based products, or HCT/Ps. An HCT/P is a product containing or consisting of human cells or tissue intended for transplantation into a human patient. If an HCT/P meets the criteria for regulation solely under Section 361 of the Public Health Service Act (so-called “361 HCT/Ps”), no FDA review for safety and effectiveness under a drug, device, or biological product marketing application is required. MiMedx believes that all of its tissue products qualify as 361 HCT/Ps. On August 28, 2013, however, the FDA issued an Untitled Letter alleging that the Company’s micronized allografts do not meet the criteria for regulation solely under Section 361 of the Public Health Service Act and that, as a result, MiMedx would need a biologics license to lawfully market the micronized products. In November 2013, the FDA clarified the basis for its position regarding the micronized products. Specifically, the FDA explained its belief that “[c]ryo-milling cut, dehydrated amniotic/chorionic membrane results in a micron-sized powder and the loss of the tensile strength and elasticity that are essential characteristics of the original amniotic/chorionic tissue relating to its utility to function as a ‘physical membrane’ (i.e. covering, barrier).” The Company responded to the FDA that while it does not agree with the FDA’s position, it understands the FDA’s interest in further regulating this emerging technology. Accordingly, the Company proposed to the FDA that it would pursue the Investigational New Drug (“IND”) and Biologics License Application (“BLA”) process for certain micronized products, and, in parallel, also proposed to enter into negotiations with the FDA on a plan to transition the micronized products to licensed biological products and continue to market the micronized products under specific conditions. On July 22, 2014, the Company filed its first IND application with the FDA. The application was allowed, paving the way for a Phase IIB clinical trial of its micronized product for a specified indication of use in anticipation of a BLA, which the Company expects to submit at a future date. The clinical trial is expected to enroll approximately 150 patients in 10 - 20 clinical sites in the U.S. The Company initiated the trial in March of 2015. The Company also requested a transition agreement to allow it to continue to market its current micronized products for certain specified uses while pursuing one or more BLAs. The FDA continues to assert that the current form of the Company’s micronized products are more than minimally manipulated and therefore are not eligible for marketing solely under Section 361 of the Public Health Service Act. The Company has conducted tests and has engaged independent laboratories to conduct tests that confirm that tensile strength and modulus of elasticity are not diminished by the process used by the Company to create its micronized products. If the FDA does allow the Company to continue to market a micronized form of its sheet allografts, it may impose conditions, such as labeling restrictions and compliance with Current Good Manufacturing Practices (“cGMP”). It is also possible that the FDA will not allow the Company to market any form of a micronized product without a biologics license and could even require the Company to recall its micronized products. Revenues from micronized products comprised approximately 14% of the Company's revenues in 2014. Draft Guidance On December 22, 2014, the FDA issued for comment “Draft Guidance for Industry: Minimal Manipulation of Human Cells, Tissues, and Cellular and Tissue-Based Products.” Essentially the draft guidance takes the same position with respect to micronized amniotic tissue that it took in the Untitled Letter to MiMedx 16 months earlier. The period for submitting comments on the Draft Guidance expired on February 23, 2015. The Company has submitted comments to the Draft Guidance asserting that the Draft Guidance represents agency action that goes far beyond the FDA’s statutory authority, is inconsistent with existing HCT/ P regulations and the FDA’s prior positions, and is internally inconsistent and is scientifically unsound. Additionally, the Company asked the FDA to allow MiMedx to continue to market its micronized products until the guidance or regulations, as the case may be, have been fully vetted through a process of notice and comment rule making. Preliminarily, the FDA has indicated that it intends to issue for comment Draft Guidance on homologous use later this year and that industry and other interested parties will have an opportunity to comment on both guidance documents as a whole at that time. If the FDA does allow the Company to continue to market a micronized form of its sheet allografts either prior to or after finalization of the Draft Guidance, it may impose conditions, such as labeling restrictions and compliance with Current Good Manufacturing Practices (“cGMP”). It is also possible that the FDA will not allow the Company to market any form of a micronized product without a biologics license even prior to finalization of the Draft Guidance and could even require the Company to recall its micronized products. Revenues from micronized products comprised approximately 14% of the Company's revenues in 2014. Related Litigation Following the publication of the Untitled Letter from the FDA regarding the Company’s micronized products in September 2013, the trading price of the Company’s stock dropped sharply and several purported class action lawsuits were filed against the Company and certain of its executive officers asserting violations of the Securities Act of 1933 and the Securities Exchange Act of 1934 with respect to various statements and alleged omissions related to the Company’s belief that its products were 361 HCT/Ps, including its micronized products. These cases have now all been removed to, and consolidated in, the United States District Court for the Northern District of Georgia. By order dated December 9, 2013, the Court approved the appointment of a lead plaintiff and a lead counsel. A Consolidated Amended Class Action Complaint, containing substantially the same causes of action and claims for relief as the initial complaints, was filed on January 27, 2014. The case is currently in the discovery phase. The Company currently believes that the outcome of this litigation will not have a material adverse impact on the Company's financial position or results of operations. OIG Subpoena And Other Shareholder Litigation In the fourth quarter of 2014, the Company received a subpoena from the Office of Inspector General, U.S. Department of Health and Human Services, or OIG, in connection with a civil investigation into matters primarily related to the Company's sales and marketing activities. In March 2015, the Company received notice from the Department of Justice that it declined at that time to intervene in the qui tam action that gave rise to the issuance of the subpoena. The qui tam plaintiff had 120 days from the date of the Department of Justice’s notice to proceed with the case. The 120 day period has now passed without initiation of the lawsuit. Therefore, it is the Company’s belief that the plaintiff does not intend to pursue the case. Nevertheless, until the case is actually dismissed, the government could still opt to intervene in the qui tam action at a later date. In any event, the Company does not believe such an action would have a material adverse impact on the Company's financial condition or results of operations. On February 19, 2015, a separate purported class action lawsuit was filed against the Company and certain of its executive officers in the United States District Court for the Southern District of New York. The suit alleged violations of the Securities Act of 1933 and the Securities Exchange Act of 1934 with respect to various statements and alleged omissions related to the Company’s receipt of the subpoena discussed above. On April 22, 2015, the plaintiffs voluntarily dismissed this purported class action lawsuit against the Company. Patent Litigation On April 22, 2014, the Company filed a patent infringement lawsuit against Liventa Bioscience, Inc. ("Liventa"), Medline Industries, Inc. ("Medline") and Musculoskeletal Transplant Foundation, Inc. ("MTF") for permanent injunctive relief and unspecified damages. In addition to the allegations of infringement of MiMedx's patents, the lawsuit asserts that Liventa and Medline knowingly and willfully made false and misleading representations about their respective products to providers, patients, and in some cases, prospective investors (“the Liventa Action”). The Liventa Action was filed in the United States District Court for the Northern District of Georgia. MiMedx asserts that Liventa (formerly known as AFCell Medical, Inc.), Medline and MTF infringed and continue to infringe certain of the Company’s patents relating to the MiMedx dehydrated human amnion/chorion membrane ("dHACM") allografts. MTF is the tissue processor while Liventa and Medline are the distributors of the allegedly infringing products. On May 30, 2014, defendants filed answers to the Complaint, denying the allegations in the Complaint. They also raised affirmative defenses of non-infringement, invalidity, laches and estoppel. MTF and Medline also filed counterclaims seeking declaratory judgments of non-infringement and invalidity. With the parties close to ending document discovery, fact depositions are currently being scheduled. Meanwhile, claim construction briefing is complete and the parties await the Court’s guidance on a date for the Markman hearing. In patent litigation, a Markman hearing is also called a claim construction hearing, in which a judge decides what the language of a patent means as a matter of law. On May 16, 2014, the Company also filed a patent infringement lawsuit against Transplant Technology, Inc. d/b/a Bone Bank Allografts (“Bone Bank”) and Texas Human Biologics, Ltd. (“Biologics”) for permanent injunctive relief and unspecified damages (“the Bone Bank Action”). The Bone Bank Action was filed in the United States District Court for the Western District of Texas. This lawsuit similarly asserts that Bone Bank and Biologics infringed certain of the Company’s patents through the manufacturing and sale of their placental-derived tissue graft products. On July 10, 2014, defendants filed an answer to the Complaint, denying the allegations in the Complaint. They also raised affirmative defenses of non-infringement and invalidity and filed counterclaims seeking declaratory judgments of non-infringement and invalidity. The Bone Bank Action is in an advanced stage. The parties have (i) substantially completed document production; (ii) taken several fact depositions (both party and non-party); and (iii) completed claim construction briefing. In addition to defending the claims in the pending district court litigations, defendants in each case, have challenged certain of the Company's patents in several inter-partes review proceedings to avoid the high burden of proof of proving invalidity by “clear and convincing evidence” in the district court litigations. An inter partes review is a request for a specialized group within the USPTO to review the validity of plaintiff’s patent claims. The Defendants in the Bone Bank Action have challenged the validity of the Company's 8,597,687 and 8,709,494 patents (the “’687” and “’494” patents, respectively); while the defendants in the Liventa Action have challenged the validity of the Company's 8,372,437 and 8,323,701 patents (the “’437” and “’701” patents, respectively). On June 29, 2015, the Patent Trial and Appeals Board (“PTAB”) denied defendants’ request for institutions of an IPR on all seven challenged grounds. That is, the PTAB decided defendants failed to establish a reasonable likelihood that defendant would prevail in showing any of the challenged claims were unpatentable. On July 10, 2015 the Patient Trial and Appeals Board issued an opinion allowing a review of the ‘687 patent to proceed, although on only two of the five challenged grounds. The Board also adopted MiMedx’s construction of the claims which will govern the Board’s review of the ‘687 patent. The Defendants in the Bone Bank Action have moved to stay the litigation once again, despite the Court’s previous denial of such a stay, pending the outcome of the ‘687 patent inter partes review. The Company has also successfully defeated an attempt by defendants in the Liventa Action to stay that litigation -- also pending the outcome of the inter-partes review of the patents at issue in that case. Finally, on March 2, 2015, the Company filed a patent infringement lawsuit against NuTech Medical, Inc. (“NuTech”) and DCI Donor Services, Inc. (“DCI”) for permanent injunctive relief and unspecified damages. This lawsuit has been filed in the United States District Court for the Northern District of Alabama. The lawsuit alleges that NuTech and DCI have infringed and continue to infringe the Company’s patents through the manufacture, use, sale, and/or offering of their tissue graft product. The lawsuit also asserts that NuTech knowingly and willfully made false and misleading representations about its products to customers and/or prospective customers. On April 17, 2015, NuTech filed a motion to dismiss the case purportedly for lack of patentable subject matter, which the Company has opposed. NuTech also filed a motion to stay the case pending disposition of the motion to dismiss, which MiMedx also opposed. Hearing on the motion to dismiss is scheduled for August 20, 2015. The Court has advised that it will issue its decision on the motion to dismiss on or before September 17, 2015, and therefore declined to rule on the motion to stay.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events None

Schedule II - Valuation and Qua

Schedule II - Valuation and Qualifying Accounts	6 Months Ended
	Jun. 30, 2015
Valuation and Qualifying Accounts [Abstract]
Schedule II - Valuation and Qualifying Accounts	Schedule II Valuation and Qualifying Accounts MIMEDX GROUP, INC. AND SUBSIDIARIES SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS Three and Six Months Ended June 30, 2015 and 2014 (in thousands) Balance at Additions charged to Expense or Revenue Deductions Balance at For the three months ended June 30, 2015 Allowance for doubtful accounts $ 2,010 $ 500 $ (6 ) $ 2,504 Allowance for product returns 944 734 (648 ) 1,030 Allowance for obsolescence 552 90 (89 ) 553 For the three months ended June 30, 2014 Allowance for doubtful accounts $ 526 $ 160 $ (8 ) $ 678 Allowance for product returns 305 412 (447 ) 270 Allowance for obsolescence 323 43 (14 ) 352 For the six months ended June 30, 2015 Allowance for doubtful accounts $ 1,750 $ 760 $ (6 ) $ 2,504 Allowance for product returns 841 1,443 (1,254 ) 1,030 Allowance for obsolescence 527 221 (195 ) 553 For the six months ended June 30, 2014 Allowance for doubtful accounts $ 407 $ 285 $ (14 ) $ 678 Allowance for product returns 215 613 (558 ) 270 Allowance for obsolescence 322 67 (37 ) 352

Significant Accounting Polici22

Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Use of estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
Accounts Receivable	Accounts Receivable Accounts receivable represent amounts due from customers for which revenue has been recognized. Generally, the Company does not require collateral or any other security to support its receivables. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing receivables. The Company determines the allowance based on factors such as historical collection experience, customers' current creditworthiness, customer concentrations, age of accounts receivable balance and general economic conditions that may affect the customers' ability to pay.
Inventories	Inventories Inventory is valued at standard cost, which approximates actual cost computed on a first-in, first-out basis, not in excess of market value. The Company assesses the valuation of its inventory on a periodic basis and makes adjustments to the value for estimated excess and obsolete inventory based on estimates about future demand. The excess balance determined by this analysis becomes the basis for the Company's excess inventory charge. The Company's excess inventory review process includes analysis of sales forecasts, managing product rollovers and working with operations to maximize recovery of excess inventory.
Revenue Recognition	Revenue Recognition The Company sells its products through a combination of a direct sales force and independent stocking distributors and representatives in the U.S. and independent distributors in international markets. The Company recognizes revenue when title to the goods transfers to customers, provided there are no material remaining performance obligations required of the Company or any matters of customer acceptance. In cases where the Company utilizes distributors or ships product directly to the end user, it recognizes revenue upon shipment provided all other revenue recognition criteria have been met. A portion of the Company's revenue is generated from inventory maintained at hospitals. For these products, revenue is recognized at the time the product has been used or implanted. The Company records estimated sales returns, discounts and allowances as a reduction of net sales in the same period revenue is recognized.
Patent Costs	Patent Costs The Company incurs certain legal and related costs in connection with patent applications for tissue-based products and processes. The Company capitalizes such costs to be amortized over the expected life of the patent to the extent that an economic benefit is anticipated from the resulting patent or alternative future use is available to the Company and are included in Intangible Assets in the Condensed Consolidated Balance Sheets.
Treasury Stock	Treasury Stock The Company accounts for the purchase of treasury stock under the cost method. Treasury stock which is reissued for the exercise of option grants and the issuance of restricted stock grants is accounted for on a first - in first - out (FIFO) basis.
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company considers the applicability and impact of all ASUs issued effective and not yet effective. In May 2014, the Financial Accounting Standards Board issued ASU 2014-09, “Revenue Recognition - Revenue from Contracts with Customers” (ASU 2014-09) that requires companies to recognize revenue when a customer obtains control rather than when companies have transferred substantially all risks and rewards of a good or service. This update is effective for annual reporting periods beginning on or after December 15, 2017 and interim periods therein and requires expanded disclosures. The Company is currently assessing the impact the adoption of ASU 2014-09 will have on our condensed consolidated financial statements. All other ASUs issued effective and not yet effective for the six months ended June 30, 2015 , and through the date of this report, were assessed and determined to be either not applicable or are expected to have minimal impact on the Company's financial position or results of operations.

Inventories (Tables)

Inventories (Tables)	6 Months Ended
	Jun. 30, 2015
Inventory Disclosure [Abstract]
Inventory	Inventories consisted of the following items as of June 30, 2015 , and December 31, 2014 (in thousands): June 30, 2015 December 31, 2014 Raw materials $ 314 $ 255 Work in process 2,092 3,419 Finished goods 2,008 1,986 Inventory, gross 4,414 5,660 Reserve for obsolescence (554 ) (527 ) Inventory, net $ 3,860 $ 5,133

Property and Equipment (Tables)

Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2015
Property, Plant and Equipment [Abstract]
Property and Equipment	Property and equipment consist of the following as of June 30, 2015 , and December 31, 2014 (in thousands): June 30, December 31, Leasehold improvements $ 2,613 $ 2,559 Lab and clean room equipment 3,392 3,040 Furniture and office equipment 3,204 2,398 Construction in progress 1,943 949 Property and equipment, gross 11,152 8,946 Less accumulated depreciation (3,968 ) (3,499 ) Property and equipment, net $ 7,184 $ 5,447

Intangible Assets and Royalty25

Intangible Assets and Royalty Agreement (Tables)	6 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible assets activity summary	Intangible assets are summarized as follows (in thousands): Weighted June 30, 2015 December 31, 2014 Cost Cost Licenses (a) (b) 10 years $ 1,009 $ 1,009 Patents & Know How (b) 17 years 7,928 7,891 Customer & Supplier Relationships (b) 14 years 3,761 3,761 Tradenames & Trademarks (b) indefinite 1,008 1,008 In Process Research & Development (b) n/a 25 25 Patents in Process (c) n/a 1,447 1,083 Total 15,178 14,777 Less Accumulated amortization (4,397 ) (3,932 ) Net $ 10,781 $ 10,845 (a) On January 29, 2007, the Company acquired a license from Shriners Hospitals for Children and University of South Florida Research Foundation, Inc. in the amount of $996,000 . Within 30 days after the receipt by the Company of approval by the FDA allowing the sale of the first licensed product, the Company is required to pay an additional $200,000 to the licensor. Due to its contingent nature, this amount is not recorded as a liability. The Company will also be required to pay a royalty of 3% on all commercial sales revenue from the licensed products. The Company is also obligated to pay a $50,000 minimum annual royalty payment over the life of the license. As of June 30, 2015 , this license had a remaining net book value of approximately $159,000 . (b) On January 5, 2011, the Company acquired Surgical Biologics, LLC. As a result, the Company recorded intangible assets for Customer & Supplier Relationships of $3,761,000 , Patents & Know-How of $7,690,000 , Licenses of $13,000 , Trade Names & Trademarks of $1,008,000 and In-Process Research & Development of $25,000 . For the six months ended June 30, 2015, approximately $37,000 of costs associated with patents granted during the period were capitalized and included in Patents & Know-How subject to amortization. (c) Patents in Process consist of capitalized external legal and other registration costs in connection with internally developed tissue-based patents that are pending. Once issued, the costs associated with a given patent will be included in Patents & Know-How under intangible assets subject to amortization.
Estimated future amortization expense for intangible assets	Expected future amortization of intangible assets as of June 30, 2015 , is as follows (in thousands): Year ending December 31, Estimated Amortization Expense 2015 (a) $ 466 2016 932 2017 842 2018 832 2019 832 Thereafter 5,869 $ 9,773 (a) Estimated amortization expense for the year ending December 31, 2015, includes only amortization to be recorded after June 30, 2015 .

Net Income (Loss) Per Share (Ta

Net Income (Loss) Per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Computation of Basic and Diluted Net Loss per Share	The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands except share data): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net income (loss) $ 5,430 $ (390 ) $ 9,517 $ (1,312 ) Denominator for basic earnings per share - weighted average shares 106,211,120 105,757,178 106,013,752 105,552,330 Effect of dilutive securities: Stock options, restricted stock, and warrants outstanding(a) 7,975,209 — 7,878,335 — Denominator for diluted earnings per share - weighted average shares adjusted for dilutive securities 114,186,329 105,757,178 113,892,087 105,552,330 Income (loss) per common share - basic $ 0.05 $ 0.00 $ 0.09 $ (0.01 ) Income (loss) per common share - diluted $ 0.05 $ 0.00 $ 0.08 $ (0.01 ) (a) Securities outstanding that are included in the computation above, utilizing the treasury stock method are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2015 Outstanding Stock Options 7,411,271 7,393,698 Outstanding Warrants 37,909 37,708 Restricted Stock Awards 526,029 446,929 7,975,209 7,878,335

Equity (Tables)

Equity (Tables)	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Stock Options Activity	Activity with respect to the stock options is summarized as follows: Number of Shares Weighted- Average Exercise Price Weighted-Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding at January 1, 2015 16,474,227 $ 3.43 Granted 75,100 $ 9.67 Exercised (1,363,600 ) $ 2.00 Unvested options forfeited (147,478 ) $ 6.72 Vested options expired (3,332 ) $ 7.00 Outstanding at June 30, 2015 15,034,917 $ 3.56 6.9 $ 120,703,345 Vested at June 30, 2015 10,613,022 $ 2.56 6.4 $ 95,795,241 Vested or expected to vest at June 30, 2015 (a) 14,872,513 $ 3.53 6.9 $ 119,928,454 (a) Includes forfeiture adjusted unvested shares.
Stock Options Outstanding and Exercisable	Following is a summary of stock options outstanding and exercisable at June 30, 2015 : Options Outstanding Options Exercisable Range of Exercise Prices Number outstanding Weighted-Average Remaining Contractual Term (in years) Weighted- Average Exercise Price Number Exercisable Weighted- Average Exercise Price $0.50 - $0.76 441,429 3.9 $ 0.72 441,429 $ 0.72 $0.87 - $1.35 5,248,457 6.2 1.19 5,248,457 1.19 $1.40 - $2.33 1,255,051 4.3 1.66 1,201,715 1.66 $2.45 - $3.75 1,614,123 7.2 2.78 969,265 2.78 $3.95 - $5.99 3,151,217 7.9 5.18 1,808,318 5.13 $6.02 - $9.13 3,124,540 8.2 7.06 943,838 7.05 $9.22- $10.99 200,100 9.5 10.12 — — 15,034,917 6.9 $ 3.56 10,613,022 $ 2.56
Fair Value of Options, Valuation Assumptions	The assumptions used in calculating the fair value of options using the Black-Scholes-Merton option-pricing model are set forth in the following table: Six Months Ended June 30, 2015 2014 Expected volatility 54.4 - 58.1% 63.8 - 64.5% Expected life (in years) 6.0 6.0 Expected dividend yield — — Risk-free interest rate 1.51% - 1.68% 1.69% - 1.96%
Restricted Stock Awards Roll Forward	Activity with respect to restricted stock awards is summarized as follows: Number of Weighted-Average Grant Date Unvested at January 1, 2015 1,228,898 $7.16 Granted 1,575,754 9.56 Vested (252,427 ) 6.53 Forfeited (18,169 ) 9.38 Unvested at June 30, 2015 2,534,056 $8.70
Allocation of Share-based Compensation	For the three and six months ended June 30, 2015 and 2014 , the Company recognized stock-based compensation as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Cost of sales $ 90 $ 75 $ 184 $ 172 Research and development 203 163 389 323 Selling, general and administrative 3,962 2,529 7,613 4,644 $ 4,255 $ 2,767 $ 8,186 $ 5,139

Supplemental disclosure of ca28

Supplemental disclosure of cash flow and non-cash investing and financing activities (Tables)	6 Months Ended
	Jun. 30, 2015
Supplemental Cash Flow Elements [Abstract]
Supplemental Disclosure of Cash Flow and Non-cash Investing and Financing Activities	Selected cash payments, receipts, and noncash activities are as follows (in thousands): Six Months Ended June 30, 2015 2014 Cash paid for interest $ 29 $ 29 Income taxes paid 874 81 Retirement of fixed assets 308 — Stock issuance of 11,321 shares in exchange for services performed 108 —

Contractual Commitments and C29

Contractual Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Estimated Annual Lease, Royalty and Employment Agreement Expenses	The estimated annual lease payments, meeting space and charitable organization commitments are as follows (in thousands): 12-month period ended June 30 2016 $ 2,622 2017 1,830 2018 1,818 2019 1,174 Thereafter 406 $ 7,850

Basis of Presentation (Details)

Basis of Presentation (Details)	6 Months Ended
	Jun. 30, 2015segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of business segments	1

Significant Accounting Polici31

Significant Accounting Policies (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible assets, net of accumulated amortization	$ 402	$ 289

Liquidity and Management's Pl32

Liquidity and Management's Plans (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Liquidity and management's plans [Abstract]
Cash and cash equivalents	$ 38,601	$ 46,582	$ 39,245	$ 44,078
Total current assets	91,806	85,677
Total current liabilities	$ 19,461	$ 18,404

Short Term Investments (Details

Short Term Investments (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Investment [Line Items]
Short term investments	$ 7,250	$ 5,750
Certificates of Deposit
Investment [Line Items]
Short term investments	$ 7,250	$ 5,750

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Inventory Disclosure [Abstract]
Raw materials	$ 314	$ 255
Work in process	2,092	3,419
Finished goods	2,008	1,986
Inventory, gross	4,414	5,660
Reserve for obsolescence	(554)	(527)
Inventory, net	$ 3,860	$ 5,133

Investments (Details)

Investments (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Investments, All Other Investments [Abstract]
Investments	$ 0	$ 3,250

Property and Equipment (Details

Property and Equipment (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Property and equipment [Line Items]
Property and equipment, gross	$ 11,152		$ 11,152		$ 8,946
Less accumulated depreciation	(3,968)		(3,968)		(3,499)
Property and equipment, net	7,184		7,184		5,447
Other liabilities	$ 1,136		$ 1,136		1,526
Capital Leases Interest Rate Effective Percentage Minimum	3.00%		3.00%
Capital Leases Interest Rate Effective Percentage Maximum	12.00%		12.00%
Depreciation	$ 422	$ 288	$ 776	$ 551
Leasehold improvements
Property and equipment [Line Items]
Property and equipment, gross	2,613		2,613		2,559
Lab and clean room equipment
Property and equipment [Line Items]
Property and equipment, gross	3,392		3,392		3,040
Furniture and office equipment
Property and equipment [Line Items]
Property and equipment, gross	3,204		3,204		2,398
Construction in progress
Property and equipment [Line Items]
Property and equipment, gross	1,943		1,943		$ 949
Assets Held under Capital Leases
Property and equipment [Line Items]
Property and equipment, net	427		427
Other liabilities	192		192
Leasehold Improvements Paid by Others
Property and equipment [Line Items]
Property and equipment, net	$ 1,000		$ 1,000

Intangible Assets and Royalty37

Intangible Assets and Royalty Agreement (Details) - USD ($) $ in Thousands		Jan. 29, 2007	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Jan. 05, 2011
Finite-Lived Intangible Assets [Line Items]
Total			$ 15,178		$ 15,178		$ 14,777
Less Accumulated amortization			(4,397)		(4,397)		(3,932)
Net			10,781		10,781		10,845
Net book value			9,773		9,773
Amortization of intangible assets			233	$ 232	465	$ 463
Estimated future amortization expense [Abstract]
2,015	[1]		466		466
2,016			932		932
2,017			842		842
2,018			832		832
2,019			832		832
Thereafter			5,869		5,869
Net book value			9,773		$ 9,773
Licenses
Finite-Lived Intangible Assets [Line Items]
Weighted Average Amortization Lives	[2],[3]				10 years
Gross Carrying Value	[2],[3]		1,009		$ 1,009		1,009
Licenses | Shriners Hospitals for Children and University of South Florida Research Foundation, Inc.
Finite-Lived Intangible Assets [Line Items]
Acquisition price		$ 996
Maximum time of approval		30 days
Contingent payments to licensor			$ 200		$ 200
Contingent royalty to be paid to licensor (in hundredths)			3.00%		3.00%
Annual royalty payment		$ 50
Net book value			$ 159		$ 159
Estimated future amortization expense [Abstract]
Net book value			159		$ 159
Licenses | Surgical Biologics, LLC
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value								$ 13
Patents & Know How
Finite-Lived Intangible Assets [Line Items]
Weighted Average Amortization Lives	[3]				17 years
Gross Carrying Value	[3]		7,928		$ 7,928		7,891
Patents & Know How | Surgical Biologics, LLC
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value								7,690
Finite-Lived Intangible Assets, Costs					$ 37
Customer & Supplier Relationships
Finite-Lived Intangible Assets [Line Items]
Weighted Average Amortization Lives	[3]				14 years
Gross Carrying Value	[3]		3,761		$ 3,761		3,761
Customer & Supplier Relationships | Surgical Biologics, LLC
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value								3,761
Tradenames & Trademarks
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value, Indefinite Lived	[3]		1,008		1,008		1,008
Tradenames & Trademarks | Surgical Biologics, LLC
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value, Indefinite Lived								1,008
In Process Research & Development
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value, Indefinite Lived	[3]		25		25		25
In Process Research & Development | Surgical Biologics, LLC
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value, Indefinite Lived								$ 25
Patents in Process
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value, Indefinite Lived	[4]		$ 1,447		$ 1,447		$ 1,083
[1]	Estimated amortization expense for the year ending December 31, 2015, includes only amortization to be recorded after June 30, 2015.
[2]	On January 29, 2007, the Company acquired a license from Shriners Hospitals for Children and University of South Florida Research Foundation, Inc. in the amount of $996,000. Within 30 days after the receipt by the Company of approval by the FDA allowing the sale of the first licensed product, the Company is required to pay an additional $200,000 to the licensor. Due to its contingent nature, this amount is not recorded as a liability. The Company will also be required to pay a royalty of 3% on all commercial sales revenue from the licensed products. The Company is also obligated to pay a $50,000 minimum annual royalty payment over the life of the license. As of June 30, 2015, this license had a remaining net book value of approximately $159,000
[3]	On January 5, 2011, the Company acquired Surgical Biologics, LLC. As a result, the Company recorded intangible assets for Customer & Supplier Relationships of $3,761,000, Patents & Know-How of $7,690,000, Licenses of $13,000, Trade Names & Trademarks of $1,008,000 and In-Process Research & Development of $25,000. For the six months ended June 30, 2015, approximately $37,000 of costs associated with patents granted during the period were capitalized and included in Patents & Know-How subject to amortization.
[4]	Patents in Process consist of capitalized external legal and other registration costs in connection with internally developed tissue-based patents that are pending. Once issued, the costs associated with a given patent will be included in Patents & Know-How under intangible assets subject to amortization.

Net Income (Loss) Per Share (De

Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Computation of basic and diluted net loss per share [Abstract]
Net income (loss)		$ 5,430	$ (390)	$ 9,517	$ (1,312)
Denominator for basic earnings per share - weighted average shares		106,211,120	105,757,178	106,013,752	105,552,330
Effect of dilutive securities: Stock options and warrants outstanding and convertible debt (in shares)	[1]	7,975,209	0	7,878,335	0
Denominator for diluted earnings per share - weighted average shares adjusted for dilutive securities		114,186,329	105,757,178	113,892,087	105,552,330
Income (loss) per common share - basic		$ 0.05	$ 0	$ 0.09	$ (0.01)
Income (loss) per common share - diluted		$ 0.05	$ 0	$ 0.08	$ (0.01)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)		7,975,209		7,878,335
Outstanding Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)		7,411,271		7,393,698
Outstanding Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)		37,909		37,708
Restricted Stock Awards
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)		526,029		446,929
[1]	Securities outstanding that are included in the computation above, utilizing the treasury stock method are as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2015Outstanding Stock Options7,411,271 7,393,698Outstanding Warrants37,909 37,708Restricted Stock Awards526,029 446,929 7,975,209 7,878,335Securities outstanding for the three and six months ended June 30, 2014 were excluded from the computation of diluted earnings per share because they would have been anti-dilutive.

Equity (Details)

Equity (Details)		3 Months Ended		6 Months Ended
		Jun. 30, 2015USD ($)$ / sharesshares	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)plan$ / sharesshares	Jun. 30, 2014USD ($)	Apr. 27, 2015USD ($)	Jan. 05, 2015USD ($)	May. 12, 2014USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of share-based compensation plans | plan				3
Outstanding assumed options (in shares) | shares		195,000		195,000
Additional shares authorized by Board of Directors (in shares) | shares				4,000,000
Shares authorized (in shares) | shares		26,500,000		26,500,000
Total unrecognized compensation expense | $		$ 10,382,361		$ 10,382,361
Number of shares [Roll forward]
Outstanding, beginning of period (in shares) | shares				16,474,227
Granted (in shares) | shares				75,100
Exercised (in shares) | shares				(1,363,600)
Unvested options forfeited (in shares) | shares				(147,478)
Vested options expired (in shares) | shares				(3,332)
Outstanding, end of period (in shares) | shares		15,034,917		15,034,917
Vested at end of period (in shares) | shares		10,613,022		10,613,022
Exercisable options, vested and expected to vest (in shares) | shares	[1]	14,872,513		14,872,513
Weighted-Average Exercise Price [Roll forward]
Outstanding, weighted average exercise price, beginning of period (in dollars per share)				$ 3.43
Granted, weighted average exercise price (in dollars per share)				9.67
Exercised, weighted average exercise price (in dollars per share)				2
Unvested options forfeited weighted-average exercise price (in dollars per share)				6.72
Vested options expired weighted-average exercise price (in dollars per share)				7
Outstanding, weighted average exercise price, end of period (in dollars per share)		$ 3.56		3.56
Vested at end of period weighted average exercise price (in dollars per share)		2.56		2.56
Vested and expected to vest, weighted average exercise price (in dollars per share)	[1]	$ 3.53		$ 3.53
Stock options, additional disclosures [Abstract]
Vested at end of period weighted average remaining contractual term				6 years 4 months 24 days
Vested and expected to vest, weighted average remaining contractual term	[1]			6 years 10 months 24 days
Outstanding intrinsic value | $		$ 120,703,345		$ 120,703,345
Vested at end of period aggregate intrinsic value | $		95,795,241		95,795,241
Vested and expected to vest, aggregate intrinsic value | $	[1]	$ 119,928,454		119,928,454
Exercised options, intrinsic value | $				$ 11,209,214
Number of outstanding options (in shares) | shares		15,034,917		15,034,917
Outstanding Options, weighted average remaining contractual term				6 years 10 months 24 days
Outstanding Options, weighted average exercise price (in dollars per share)		$ 3.56		$ 3.56
Number of exercisable options (in shares) | shares		10,613,022		10,613,022
Exercisable Options, weighted average exercise price (in dollars per share)		$ 2.56		$ 2.56
Fair value options valuation assumptions [Abstract]
Expected volatility Minimum				54.40%	63.80%
Expected volatility Maximum				58.10%	64.50%
Expected life (in years)				6 years	6 years
Expected dividend yield				0.00%	0.00%
Risk-free interest rate Minimum				1.51%	1.69%
Risk-free interest rate Maximum				1.68%	1.96%
Share-based Compensation [Abstract]
Share-based compensation expense | $		$ 4,255,000	$ 2,767,000	$ 8,186,000	$ 5,139,000
Weighted-average grant date fair value for options granted during the period (in dollars per share)				$ 5.15
Weighted- Average Grant Date Fair Value
Authorized share amount for repurchase | $						$ 30,000,000	$ 20,000,000	$ 10,000,000
Stock repurchase (in shares) | shares				1,818,753
Shares repurchased, value | $				$ 16,589,000
Brokerage commissions | $				52,000
Remaining authorizations under the repurchase program | $		$ 7,828,000		$ 7,828,000
Shares reissued from the treasury | shares				2,241,337
Shares reissued from the treasury, value | $				$ 17,066,000
Warrants
Weighted- Average Grant Date Fair Value
Warrants outstanding (in shares) | shares		42,400		42,400
Warrants outstanding (in dollars per share)		$ 1.09		$ 1.09
Cost of Products Sold
Share-based Compensation [Abstract]
Share-based compensation expense | $		$ 90,000	75,000	$ 184,000	172,000
Research and Development
Share-based Compensation [Abstract]
Share-based compensation expense | $		203,000	163,000	389,000	323,000
Selling, General and Administrative
Share-based Compensation [Abstract]
Share-based compensation expense | $		$ 3,962,000	$ 2,529,000	$ 7,613,000	$ 4,644,000
$0.50 - $0.76
Stock options, additional disclosures [Abstract]
Exercise Price Range, lower range limit (in dollars per share)				$ 0.50
Exercise Price Range, upper range limit (in dollars per share)				$ 0.76
Number of outstanding options (in shares) | shares		441,429		441,429
Outstanding Options, weighted average remaining contractual term				3 years 10 months 24 days
Outstanding Options, weighted average exercise price (in dollars per share)		$ 0.72		$ 0.72
Number of exercisable options (in shares) | shares		441,429		441,429
Exercisable Options, weighted average exercise price (in dollars per share)		$ 0.72		$ 0.72
$0.87 - $1.35
Stock options, additional disclosures [Abstract]
Exercise Price Range, lower range limit (in dollars per share)				0.87
Exercise Price Range, upper range limit (in dollars per share)				$ 1.35
Number of outstanding options (in shares) | shares		5,248,457		5,248,457
Outstanding Options, weighted average remaining contractual term				6 years 2 months 12 days
Outstanding Options, weighted average exercise price (in dollars per share)		$ 1.19		$ 1.19
Number of exercisable options (in shares) | shares		5,248,457		5,248,457
Exercisable Options, weighted average exercise price (in dollars per share)		$ 1.19		$ 1.19
$1.40 - $2.33
Stock options, additional disclosures [Abstract]
Exercise Price Range, lower range limit (in dollars per share)				1.40
Exercise Price Range, upper range limit (in dollars per share)				$ 2.33
Number of outstanding options (in shares) | shares		1,255,051		1,255,051
Outstanding Options, weighted average remaining contractual term				4 years 3 months 18 days
Outstanding Options, weighted average exercise price (in dollars per share)		$ 1.66		$ 1.66
Number of exercisable options (in shares) | shares		1,201,715		1,201,715
Exercisable Options, weighted average exercise price (in dollars per share)		$ 1.66		$ 1.66
$2.45 - $3.75
Stock options, additional disclosures [Abstract]
Exercise Price Range, lower range limit (in dollars per share)				2.45
Exercise Price Range, upper range limit (in dollars per share)				$ 3.75
Number of outstanding options (in shares) | shares		1,614,123		1,614,123
Outstanding Options, weighted average remaining contractual term				7 years 2 months 12 days
Outstanding Options, weighted average exercise price (in dollars per share)		$ 2.78		$ 2.78
Number of exercisable options (in shares) | shares		969,265		969,265
Exercisable Options, weighted average exercise price (in dollars per share)		$ 2.78		$ 2.78
$3.95 - $5.99
Stock options, additional disclosures [Abstract]
Exercise Price Range, lower range limit (in dollars per share)				3.95
Exercise Price Range, upper range limit (in dollars per share)				$ 5.99
Number of outstanding options (in shares) | shares		3,151,217		3,151,217
Outstanding Options, weighted average remaining contractual term				7 years 10 months 24 days
Outstanding Options, weighted average exercise price (in dollars per share)		$ 5.18		$ 5.18
Number of exercisable options (in shares) | shares		1,808,318		1,808,318
Exercisable Options, weighted average exercise price (in dollars per share)		$ 5.13		$ 5.13
$6.02 - $9.13
Stock options, additional disclosures [Abstract]
Exercise Price Range, lower range limit (in dollars per share)				6.02
Exercise Price Range, upper range limit (in dollars per share)				$ 9.13
Number of outstanding options (in shares) | shares		3,124,540		3,124,540
Outstanding Options, weighted average remaining contractual term				8 years 2 months 12 days
Outstanding Options, weighted average exercise price (in dollars per share)		$ 7.06		$ 7.06
Number of exercisable options (in shares) | shares		943,838		943,838
Exercisable Options, weighted average exercise price (in dollars per share)		$ 7.05		$ 7.05
$9.22- $10.99
Stock options, additional disclosures [Abstract]
Exercise Price Range, lower range limit (in dollars per share)				9.22
Exercise Price Range, upper range limit (in dollars per share)				$ 10.99
Number of outstanding options (in shares) | shares		200,100		200,100
Outstanding Options, weighted average remaining contractual term				9 years 6 months
Outstanding Options, weighted average exercise price (in dollars per share)		$ 10.12		$ 10.12
Number of exercisable options (in shares) | shares		0		0
Exercisable Options, weighted average exercise price (in dollars per share)		$ 0		$ 0
Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expenses expected to be recognized over a weighted-average period				2 years 4 months 24 days
Total unrecognized stock-based compensation related to time-based, nonvested restricted stock | $		$ 17,398,491		$ 17,398,491
Number of Shares
Beginning Balance | shares				1,228,898
Granted | shares				1,575,754
Vested | shares				(252,427)
Forfeited | shares				(18,169)
Ending Balance | shares		2,534,056		2,534,056
Weighted- Average Grant Date Fair Value
Beginning Balance (in dollars per share)				$ 7.16
Granted (in dollars per share)				9.56
Vested (in dollars per share)				6.53
Forfeited (in dollars per share)				9.38
Beginning Balance (in dollars per share)		$ 8.70		$ 8.70
[1]	Includes forfeiture adjusted unvested shares.

Income taxes (Details)

Income taxes (Details)	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Income Tax Disclosure [Abstract]
Effective tax rate (as a percentage)	3.70%	0.00%

Supplemental disclosure of ca41

Supplemental disclosure of cash flow and non-cash investing and financing activities (Details) - USD ($)	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Supplemental disclosure of cash flow and non-cash investing and financing activities [Abstract]
Cash paid for interest	$ 29,000	$ 29,000
Income taxes paid	874,000	81,000
Retirement of fixed assets	308,000	0
Stock issuance of 11,321 shares in exchange for services performed	$ 108,000	$ 0
Shares issued for services performed (in shares)	11,321	0

Contractual Commitments and C42

Contractual Commitments and Contingencies (Details) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Dec. 31, 2014clinical_sitepatient
Loss Contingencies [Line Items]
Lease expiration period			5 years
Rent expense	$ 310	$ 282	$ 593	$ 564
Number of patients | patient					150
Period for plaintiff to proceed with case			120 days
Estimated annual lease, royalty, and employment agreement expenses [Abstract]
2,016	2,622		$ 2,622
2,017	1,830		1,830
2,018	1,818		1,818
2,019	1,174		1,174
2,020	406		406
Total Contractual commitments	7,850		7,850
Sales Revenue, Net | Product Concentration Risk
Loss Contingencies [Line Items]
Percentage of revenue					14.00%
Standby Letters of Credit
Loss Contingencies [Line Items]
Standby letters of credit	$ 500		$ 500
Minimum
Loss Contingencies [Line Items]
Number of clinical sites | clinical_site					10
Maximum
Loss Contingencies [Line Items]
Number of clinical sites | clinical_site					20

Schedule II - Valuation and Q43

Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Allowance for doubtful accounts
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at Beginning of Period	$ 2,010	$ 526	$ 1,750	$ 407
Additions charged to Expense or Revenue	500	160	760	285
Deductions and write-offs	(6)	(8)	(6)	(14)
Balance at End of Period	2,504	678	2,504	678
Allowance for product returns
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at Beginning of Period	944	305	841	215
Additions charged to Expense or Revenue	734	412	1,443	613
Deductions and write-offs	(648)	(447)	(1,254)	(558)
Balance at End of Period	1,030	270	1,030	270
Allowance for obsolescence
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at Beginning of Period	552	323	527	322
Additions charged to Expense or Revenue	90	43	221	67
Deductions and write-offs	(89)	(14)	(195)	(37)
Balance at End of Period	$ 553	$ 352	$ 553	$ 352