Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Mar. 21, 2014 | Jun. 30, 2013 |
Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'NSTG | ' | ' |
Entity Registrant Name | 'NANOSTRING TECHNOLOGIES INC | ' | ' |
Entity Central Index Key | '0001401708 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Non-accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 18,052,694 | ' |
Entity Public Float | ' | ' | $53.10 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $9,941 | $21,692 |
Short-term investments | 32,715 | ' |
Accounts receivable, net | 8,331 | 3,322 |
Inventory | 6,750 | 5,380 |
Prepaid expenses and other | 2,999 | 1,320 |
Total current assets | 60,736 | 31,714 |
Restricted cash | 201 | 180 |
Deferred offering costs | 29 | 1,765 |
Property and equipment, net | 3,065 | 3,674 |
Other assets | 341 | 73 |
Total assets | 64,372 | 37,406 |
Current liabilities: | ' | ' |
Accounts payable | 3,354 | 2,865 |
Accrued liabilities | 7,088 | 4,481 |
Deferred revenue, current portion | 1,462 | 878 |
Deferred rent, current portion | 590 | 764 |
Long-term debt, current portion | 6,136 | 2,789 |
Total current liabilities | 18,630 | 11,777 |
Deferred revenue, net of current portion | 803 | 362 |
Deferred rent, net of current portion | 1,313 | 1,903 |
Long-term debt, net of current portion | 12,157 | 9,970 |
Preferred stock warrant liability | ' | 3,532 |
Total liabilities | 32,903 | 27,544 |
Commitments and contingencies (Note 13) | ' | ' |
Mandatorily redeemable convertible preferred stock, value | ' | 103,622 |
Stockholders' equity (deficit): | ' | ' |
Preferred stock, value | ' | ' |
Common stock, value | 1 | ' |
Additional paid in capital | 158,278 | ' |
Other comprehensive income | 22 | ' |
Accumulated deficit | -126,832 | -93,760 |
Total stockholders' equity (deficit) | 31,469 | -93,760 |
Total liabilities, mandatorily redeemable convertible preferred stock and stockholders' equity (deficit) | $64,372 | $37,406 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Statement Of Financial Position [Abstract] | ' | ' |
Mandatorily redeemable convertible preferred stock, par value | $0.00 | $0.00 |
Mandatorily redeemable convertible preferred stock, shares authorized | 8,978,672 | 8,978,672 |
Mandatorily redeemable convertible preferred stock, shares issued | 0 | 8,118,240 |
Mandatorily redeemable convertible preferred stock, shares outstanding | 0 | 8,118,240 |
Preferred stock, par value | $0.00 | $0.00 |
Preferred stock, shares authorized | 15,000,000 | 0 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 14,619,818 | 411,226 |
Common stock, shares outstanding | 14,619,818 | 411,226 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' |
Revenue | $31,403 | $22,973 | $17,800 |
Costs and expenses: | ' | ' | ' |
Cost of revenue | 15,009 | 12,361 | 9,777 |
Research and development | 14,979 | 11,635 | 8,990 |
Selling, general and administrative | 29,912 | 15,486 | 9,529 |
Total costs and expenses | 59,900 | 39,482 | 28,296 |
Loss from operations | -28,497 | -16,509 | -10,496 |
Other income (expense): | ' | ' | ' |
Interest income | 68 | 21 | 10 |
Interest expense | -1,942 | -804 | -599 |
Other income (expense) | -66 | -29 | 80 |
Revaluation of preferred stock warrant liability | 1,156 | -387 | 73 |
Total other income (expense) | -784 | -1,199 | -436 |
Net loss | -29,281 | -17,708 | -10,932 |
Accretion of mandatorily redeemable convertible preferred stock | -4,653 | -7,533 | -5,251 |
Net loss attributable to common stockholders | ($33,934) | ($25,241) | ($16,183) |
Net loss per share-basic and diluted | ($4.44) | ($71.10) | ($50.10) |
Weighted average shares used in computing basic and diluted net loss per share | 7,643 | 355 | 323 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Loss (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' | ' |
Net loss | ($29,281) | ($17,708) | ($10,932) |
Other comprehensive income: | ' | ' | ' |
Unrealized gain on short-term investments | 22 | ' | ' |
Comprehensive loss | ($29,259) | ($17,708) | ($10,932) |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Mandatorily Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) (USD $) | Total | Series A Preferred Stock [Member] | Series B Preferred Stock [Member] | Series C Preferred Stock [Member] | Series D Preferred Stock [Member] | Series E Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Other Comprehensive Income [Member] | Accumulated Deficit [Member] |
In Thousands, except Share data | ||||||||||
Balances at beginning of period at Dec. 31, 2010 | ($53,517) | ' | ' | ' | ' | ' | ' | ' | ' | ($53,517) |
Beginning Balance at Dec. 31, 2010 | ' | 13,250 | 11,800 | 32,837 | ' | ' | ' | ' | ' | ' |
Balances at beginning of period, shares at Dec. 31, 2010 | ' | ' | ' | ' | ' | ' | 322,325 | ' | ' | ' |
Balance, Shares at Dec. 31, 2010 | ' | 557,339 | 515,836 | 3,551,060 | ' | ' | ' | ' | ' | ' |
Issuance of preferred stock, shares | ' | ' | ' | ' | 2,430,054 | ' | ' | ' | ' | ' |
Accretion of preferred stock | -5,251 | ' | ' | ' | ' | ' | ' | -249 | ' | -5,002 |
Issuance of preferred stock, value | ' | ' | ' | ' | 17,819 | ' | ' | ' | ' | ' |
Accretion of preferred stock | 5,251 | 1,133 | 993 | 2,777 | 348 | ' | ' | ' | ' | ' |
Exercise of stock options, shares | ' | ' | ' | ' | ' | ' | 2,204 | ' | ' | ' |
Exercise of stock options | 6 | ' | ' | ' | ' | ' | ' | 6 | ' | ' |
Stock-based compensation | 243 | ' | ' | ' | ' | ' | ' | 243 | ' | ' |
Net loss | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | -10,932 | ' | ' | ' | ' | ' | ' | ' | ' | -10,932 |
Ending Balance at Dec. 31, 2011 | ' | 14,383 | 12,793 | 35,614 | 18,167 | ' | ' | ' | ' | ' |
Balances at end of period at Dec. 31, 2011 | -69,451 | ' | ' | ' | ' | ' | ' | ' | ' | -69,451 |
Balance, Shares at Dec. 31, 2011 | ' | 557,339 | 515,836 | 3,551,060 | 2,430,054 | ' | ' | ' | ' | ' |
Balances at end of period, shares at Dec. 31, 2011 | ' | ' | ' | ' | ' | ' | 324,529 | ' | ' | ' |
Issuance of preferred stock, shares | ' | ' | ' | ' | ' | 1,063,951 | ' | ' | ' | ' |
Accretion of preferred stock | -7,533 | ' | ' | ' | ' | ' | ' | -932 | ' | -6,601 |
Issuance of preferred stock, value | ' | ' | ' | ' | ' | 15,132 | ' | ' | ' | ' |
Accretion of preferred stock | 7,533 | 1,222 | 1,072 | 2,978 | 2,156 | 105 | ' | ' | ' | ' |
Conversion of preferred stock into common stock at initial public offering, shares | 8,631,427 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise of stock options, shares | ' | ' | ' | ' | ' | ' | 85,135 | ' | ' | ' |
Exercise of stock options | 183 | ' | ' | ' | ' | ' | ' | 183 | ' | ' |
Exercise of common stock warrant, shares | ' | ' | ' | ' | ' | ' | 1,562 | ' | ' | ' |
Exercise of common stock warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise of common stock warrant, value | 4 | ' | ' | ' | ' | ' | ' | 4 | ' | ' |
Stock-based compensation | 745 | ' | ' | ' | ' | ' | ' | 745 | ' | ' |
Net loss | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | -17,708 | ' | ' | ' | ' | ' | ' | ' | ' | -17,708 |
Ending Balance at Dec. 31, 2012 | ' | 15,605 | 13,865 | 38,592 | 20,323 | 15,237 | ' | ' | ' | ' |
Balances at end of period at Dec. 31, 2012 | -93,760 | ' | ' | ' | ' | ' | ' | ' | ' | -93,760 |
Balance, Shares at Dec. 31, 2012 | 8,118,240 | 557,339 | 515,836 | 3,551,060 | 2,430,054 | 1,063,951 | ' | ' | ' | ' |
Balances at end of period, shares at Dec. 31, 2012 | 411,226 | ' | ' | ' | ' | ' | 411,226 | ' | ' | ' |
Accretion of preferred stock | -4,653 | ' | ' | ' | ' | ' | ' | -862 | ' | -3,791 |
Accretion of preferred stock | 4,653 | 683 | 577 | 1,604 | 1,140 | 649 | ' | ' | ' | ' |
Issuance of common stock from initial public offering, shares | ' | ' | ' | ' | ' | ' | 5,400,000 | ' | ' | ' |
Issuance of common stock from initial public offering, value | 46,820 | ' | ' | ' | ' | ' | ' | 46,820 | ' | ' |
Conversion of preferred stock into common stock at initial public offering, shares | 8,631,427 | -557,339 | -515,836 | -3,551,060 | -2,430,054 | -1,063,951 | 8,631,427 | ' | ' | ' |
Conversion of preferred stock to common stock at initial public offering, value | 108,275 | -16,288 | -14,442 | -40,196 | -21,463 | -15,886 | 1 | 108,274 | ' | ' |
Conversion of warrants from warrants for preferred stock to warrants for common stock | 2,514 | ' | ' | ' | ' | ' | ' | 2,514 | ' | ' |
Exercise of stock options, shares | 177,165 | ' | ' | ' | ' | ' | 177,165 | ' | ' | ' |
Exercise of stock options | 387 | ' | ' | ' | ' | ' | ' | 387 | ' | ' |
Stock-based compensation | 1,145 | ' | ' | ' | ' | ' | ' | 1,145 | ' | ' |
Net loss | -29,281 | ' | ' | ' | ' | ' | ' | ' | ' | -29,281 |
Other comprehensive income | 22 | ' | ' | ' | ' | ' | ' | ' | 22 | ' |
Ending Balance at Dec. 31, 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balances at end of period at Dec. 31, 2013 | $31,469 | ' | ' | ' | ' | ' | $1 | $158,278 | $22 | ($126,832) |
Balance, Shares at Dec. 31, 2013 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balances at end of period, shares at Dec. 31, 2013 | 14,619,818 | ' | ' | ' | ' | ' | 14,619,818 | ' | ' | ' |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Mandatorily Redeemable Convertible Preferred Stock and Stockholders' Equity (Deficit) (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2012 | Dec. 31, 2013 |
Series D Preferred Stock [Member] | Series E Preferred Stock [Member] | Additional Paid-in Capital [Member] | |
Issuance of preferred stock, issuance costs | $559 | $185 | ' |
Initial public offering, issuance cost | ' | ' | $7,180 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Operating activities: | ' | ' | ' |
Net loss | ($29,281) | ($17,708) | ($10,932) |
Adjustments to reconcile net loss to net cash used in operating activities | ' | ' | ' |
Depreciation and amortization | 1,777 | 1,947 | 1,454 |
Amortization of debt discount | 213 | 136 | 330 |
Stock-based compensation | 1,145 | 745 | 243 |
Revaluation of preferred stock warrant liability | -1,156 | 387 | -73 |
Amortization of premium on short-term investments | -518 | ' | ' |
Interest accrued on convertible promissory notes | ' | ' | 87 |
Interest accrued on long-term note loan | 259 | 90 | ' |
Loss on disposal of property and equipment | 1 | 3 | ' |
Changes in operating assets and liabilities | ' | ' | ' |
Accounts receivable | -5,009 | -210 | -965 |
Inventory | -1,370 | -1,884 | -1,338 |
Prepaid expenses and other | -1,679 | 221 | -1,100 |
Related party loans and other assets | -268 | 118 | -58 |
Accounts payable | 1,601 | 103 | -1,231 |
Accrued liabilities | 2,678 | 1,830 | 781 |
Deferred revenue | 1,025 | 146 | 624 |
Deferred rent | -764 | -732 | 1,486 |
Net cash used in operating activities | -31,346 | -14,808 | -10,692 |
Investing activities: | ' | ' | ' |
Purchases of property and equipment | -759 | -428 | -2,688 |
Purchases of short-term investments | -32,175 | ' | ' |
Increase in restricted cash | -21 | ' | -112 |
Net cash used in investing activities | -32,955 | -428 | -2,800 |
Financing activities: | ' | ' | ' |
Proceeds from issuance of preferred stock and warrants | ' | 15,132 | 14,883 |
Proceeds from initial public offering | 47,374 | ' | ' |
Proceeds from issuance of convertible promissory notes and warrants | ' | ' | 5,000 |
Proceeds from issuance of long-term debt | 5,000 | 13,000 | 5,004 |
Repayment of long-term debt | -211 | -1,706 | -4,899 |
Deferred offering costs | ' | -553 | ' |
Proceeds from exercise of stock options and warrants | 387 | 187 | 6 |
Net cash provided by financing activities | 52,550 | 26,060 | 19,994 |
Net increase (decrease) in cash and cash equivalents | -11,751 | 10,824 | 6,502 |
Cash and cash equivalents: | ' | ' | ' |
Beginning of year | 21,692 | 10,868 | 4,366 |
End of year | 9,941 | 21,692 | 10,868 |
Supplemental disclosures: | ' | ' | ' |
Accretion of preferred stock | 4,653 | 7,533 | 5,251 |
Accrual of offering costs | 29 | 1,212 | ' |
Cash paid for interest | 1,474 | 563 | 167 |
Issuance of preferred stock warrants with debt | 138 | 648 | 661 |
Issuance of preferred stock warrants with equity | ' | ' | 1,867 |
Conversion of convertible promissory notes and accrued interest into Series D preferred stock | ' | ' | 5,087 |
Conversion of convertible preferred stock to common stock | 108,275 | ' | ' |
Conversion of convertible preferred stock warrants to common stock warrants | 2,514 | ' | ' |
Non-cash capital lease | $410 | ' | ' |
Description_of_the_Business
Description of the Business | 12 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
Description of the Business | ' |
1. Description of the Business | |
NanoString Technologies, Inc. (the “Company”) was incorporated in the state of Delaware on June 20, 2003. The Company’s headquarters is located in Seattle, Washington. The Company’s technology enables direct detection, identification and quantification of individual target molecules in a biological sample by attaching a unique color coded fluorescent reporter to each target molecule of interest. The Company markets its proprietary nCounter Analysis System, consisting of instruments and consumables, including its Prosigna Breast Cancer Assay, to academic, government and biopharmaceutical and clinical laboratories. | |
The Company has incurred losses to date and expects to incur additional losses in the foreseeable future. The Company continues to devote the majority of its resources to the growth of its business in accordance with its business plan. The Company’s activities have been financed primarily through the sale of equity securities and incurrence of indebtedness, and to a lesser extent, capital leases and other borrowings. | |
Reverse Stock Split | |
On June 12, 2013, the Company effected a 1-for-32 reverse stock split of its common stock and preferred stock. All share and per share information has been retroactively adjusted to reflect this reverse stock split. | |
Initial Public Offering | |
On June 25, 2013, the Company’s registration statement on Form S-1 was declared effective. This registration statement related to its initial public offering, in which the Company sold 5,400,000 shares of common stock at a price of $10.00 per share. The shares began trading on the NASDAQ Global Market on June 26, 2013. All outstanding shares of the Company’s mandatorily redeemable convertible preferred stock converted into shares of common stock in connection with the initial public offering. Following the initial public offering, there were no shares of preferred stock outstanding. |
Significant_Accounting_Policie
Significant Accounting Policies | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Accounting Policies [Abstract] | ' | ||||
Significant Accounting Policies | ' | ||||
2. Significant Accounting Policies | |||||
Accounting Principles | |||||
The consolidated financial statements and accompanying notes were prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). | |||||
Principles of Consolidation | |||||
The accompanying consolidated financial statements reflect the accounts of the Company and its wholly-owned subsidiaries, NanoString Technologies International, Inc., NanoString Technologies Asia Pacific Limited, NanoString Technologies Europe Limited, Nanostring Technologies Germany GmbH, Nanostring Technologies Singapore Pte Limited and NanoString Technologies SAS. Each of these subsidiaries operates as a sales and support office. The functional currency of each subsidiary is the U.S. dollar. All significant intercompany balances and transactions have been eliminated. | |||||
Use of Estimates | |||||
The preparation of consolidated financial statements in conformity with U.S. 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 consolidated financial statements and that affect the reported amounts of revenue and expenditures during the reporting period. Actual results could differ from those estimates. Significant estimates inherent in the preparation of the accompanying consolidated financial statements include the estimation of the fair value of the Company’s equity securities and the calculation of stock-based compensation. | |||||
Cash and Cash Equivalents | |||||
The Company considers all highly-liquid investments with purchased maturities of three months or less to be cash equivalents. The Company’s cash equivalents consist principally of funds maintained in depository accounts. The Company invests its cash and cash equivalents with major financial institutions; at times these investments exceed federally insured limits. | |||||
Investments | |||||
The Company classifies its securities as available-for-sale, which are reported at estimated fair value with unrealized gains and losses included in accumulated other comprehensive income in stockholders’ equity. Realized gains, realized losses and declines in the value of securities judged to be other-than-temporary, are included in other income (expense). The cost of investments for purposes of computing realized and unrealized gains and losses is based on the specific identification method. Amortization of premiums and accretion of discounts are included in other income (expense). Interest and dividends earned on all securities are included in other income (expense). Investments in securities with maturities of less than one year, or where management’s intent is to use the investments to fund current operations, or to make them available for current operations, are classified as short-term investments. | |||||
If the estimated fair value of a security is below its carrying value, the Company evaluates whether it is more likely than not that it will sell the security before its anticipated recovery in market value and whether evidence indicating that the cost of the investment is recoverable within a reasonable period of time outweighs evidence to the contrary. The Company also evaluates whether or not it intends to sell the investment. If the impairment is considered to be other-than-temporary, the security is written down to its estimated fair value. In addition, the Company considers whether credit losses exist for any securities. A credit loss exists if the present value of cash flows expected to be collected is less than the amortized cost basis of the security. Other-than-temporary declines in estimated fair value and credit losses are charged against other income (expense). | |||||
Accounts Receivable and Allowance for Doubtful Accounts | |||||
Accounts receivable are stated at the amount management expects to collect from customers based on their outstanding invoices. Management reviews accounts receivable regularly to determine if any receivable will potentially be uncollectible and to estimate the amount of allowance for doubtful accounts necessary to reduce accounts receivable to its estimated net realizable value. This estimate was made by analyzing the status of significant past due receivables and by establishing provisions for estimated losses by analyzing current and historical bad debt trends. At December 31, 2013 and 2012, no allowance for doubtful accounts was recorded. | |||||
Concentration of Credit Risks | |||||
Cash, cash equivalents and short-term investments are invested in accordance with the Company’s investment policy. The policy includes guidelines for the investment of cash reserves and is reviewed periodically to minimize credit risk. The Company also has credit risk related to the collectability of its accounts receivable. The Company performs initial and ongoing evaluations of its customers’ financial position and generally extends credit on account without collateral. | |||||
The Company did not have any customers that individually represented more than 10% of total revenue during the years ended December 31, 2013, 2012 and 2011. | |||||
The Company had no customers that represented more than 10% of total accounts receivable at December 31, 2013 and 2012. | |||||
The Company is also subject to supply chain risks related to the outsourcing of the manufacturing of its instruments to sole suppliers. Although there are a limited number of manufacturers for instruments of this type, the Company believes that other suppliers could provide similar products on comparable terms. A change in suppliers, however, could cause a delay in manufacturing and a possible loss of sales, which would adversely affect operating results. | |||||
Fair value of financial instruments | |||||
The recorded amounts of certain financial instruments, including cash and cash equivalents, accounts receivable, prepaid expenses and other assets, accounts payable and accrued liabilities approximate fair value due to their relatively short maturities. Investments that are classified as available-for-sale are recorded at fair value. The fair value for securities held is determined using quoted market prices, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency. The recorded amount of the Company’s long-term debt approximates fair value because the related interest rates approximate rates currently available to the Company. | |||||
Inventory | |||||
Inventory consists of finished goods, work in process, raw materials and certain component parts to be used in manufacturing the Company’s products. Inventory is stated at the lower of cost or market. Cost is determined using a standard cost system, whereby the standard costs are updated periodically to reflect current costs and market represents the lower of replacement cost or estimated net realizable value. The Company records adjustments to inventory for potentially excess, obsolete, slow-moving or impaired items. | |||||
The Company outsources the manufacturing of its instruments to third-party contract manufacturers who manufacture them to certain specifications and source certain raw materials from sole source providers. Major delays in shipments, inferior quality, insufficient quantity or any combination of these or other factors may harm the Company’s business and results of operations. In addition, the inability of one or more of these suppliers to provide the Company with an adequate supply of its products or raw materials or the loss of one or more of these suppliers may cause a delay in the Company’s ability to fulfill orders while it obtains a replacement supplier and may harm the Company’s business and results of operations. | |||||
Property and Equipment | |||||
Property and equipment are recorded at cost, net of accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets. Manufacturing equipment is amortized over five years, computer equipment is generally depreciated over three years, furniture and fixtures are depreciated over five years and leasehold improvements are amortized over the life of the related assets or the term of the lease, whichever is less. Expenditures for additions are capitalized and expenditures for maintenance and repairs are expensed as incurred. Gains and losses from the disposal of property and equipment are reflected in the consolidated statements of operations in the year of disposition. | |||||
Leases and Leasehold Improvements | |||||
Rent expense for leases that provide for scheduled rent increases during the lease term is recognized on a straight-line basis over the term of the related lease. Leasehold improvements that are funded by landlord incentives or allowances are recorded in property and equipment and as a component of deferred rent and are amortized as a reduction of rent expense over the term of the related lease. | |||||
Impairment of Long-Lived Assets | |||||
The Company recognizes impairment losses on long-lived assets when indicators of impairment are present and the anticipated undiscounted cash flows to be generated by those assets are less than the asset’s carrying values. The Company has not experienced any impairment losses on its long-lived assets during the periods presented. | |||||
Deferred Offering Costs | |||||
Deferred offering costs represent legal, accounting and other direct costs related to the Company’s efforts to raise capital through public offerings of the Company’s common stock. Costs are deferred until the completion of the applicable offering, at which time they are reclassified to additional paid-in capital as a reduction of the proceeds. The Company accrued approximately $29,000 and $1.8 million of deferred offering costs as a non-current asset in the consolidated balance sheet as of December 31, 2013 and 2012, respectively. | |||||
Segments | |||||
The Company follows the authoritative literature that established annual and interim reporting standards for enterprises’ operating segments and related disclosures about its products and services, geographic regions and major customers. Operating segments are defined as components of an entity for which separate financial information is available and evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision maker is the chief executive officer, who manages the operations and evaluates the financial performance on a total Company basis. The Company’s principal operations and decision-making functions are located at its corporate headquarters in the United States. | |||||
Until the fourth quarter of 2013, the Company operated in two reportable segments, its life sciences business and its diagnostics business. In November 2013, the Company’s nCounter Dx Analysis System FLEX Configuration was launched, enabling customers to perform both research and clinical testing on the same instrument. The Company has one sales force that now sells these systems to both research and diagnostic testing labs, and has launched its first product, nCounter Elements GPRs, that can be used for both research and diagnostic testing. As a result of these fundamental changes to its business, the Company began operating as a single reportable segment during the fourth quarter of 2013. | |||||
Revenue Recognition | |||||
The Company recognizes revenue when (1) persuasive evidence of an arrangement exists, (2) delivery has occurred or services have been rendered, (3) the price to the customer is fixed or determinable and (4) collectability is reasonably assured. The Company generates revenue from the sale of products and services. The Company’s products consist of its proprietary nCounter Analysis System and related consumables. Services consist of extended warranties and service fees for assay processing. A delivered product or service is considered to be a separate unit of accounting when it has value to the customer on a stand-alone basis. Products or services have value on a stand-alone basis if they are sold separately by any vendor or the customer could resell the delivered product. | |||||
Systems product revenue is recognized upon installation and calibration in geographic regions where such services are only available from the Company’s specialized technicians. In these regions, systems and related installation and calibration are considered to be one unit of accounting, as systems are required to be professionally installed and calibrated before use. In certain geographic regions, installation and calibration services are available from other vendors, and in such regions they are considered separate revenue elements. Consumables are considered to be separate units of accounting as they are sold separately. Consumables product revenue is recognized upon shipment. | |||||
Service revenue is recognized when earned, which is generally upon the rendering of the related services. Service contracts and service fees for assay processing are each considered separate units of accounting as they are sold separately. The Company offers service contracts on its nCounter Analysis System for periods ranging from 12 to 36 months after the end of the standard 12-month warranty period. Service contracts are generally separately priced. Revenue from service contracts is deferred and recognized in income on a straight-line basis over the service period. | |||||
For arrangements with multiple deliverables, the Company allocates the contract consideration at the inception of the contract to the deliverables based upon their relative selling prices. To date, selling prices have been established by reference to vendor specific objective evidence based on stand-alone sales transactions for each deliverable. Vendor specific objective evidence is considered to have been established when a substantial majority of individual sales transactions within the previous 12 month period fall within a reasonably narrow range, which the Company has defined to be plus or minus 15% of the median sales price of actual stand-alone sales transactions. The Company uses its best estimate of selling price for individual deliverables when vendor specific objective evidence or third-party evidence is unavailable. Allocated revenue is only recognized for each deliverable when the revenue recognition criteria have been met. | |||||
Cost of Revenue | |||||
Cost of revenue consists primarily of costs incurred in the production process, including costs of purchasing instruments from third-party contract manufacturers, consumable component materials and assembly labor and overhead, installation, warranty, service and packaging and delivery costs. In addition, cost of revenue includes royalty costs for licensed technologies included in the Company’s products, provisions for slow-moving and obsolete inventory and stock-based compensation expense. Cost of revenue for instruments and consumables is recognized in the period the related revenue is recognized. Shipping and handling costs incurred for product shipments are included in cost of revenue in the consolidated statements of operations. | |||||
Reserve for Product Warranties | |||||
The Company generally provides a one-year warranty on its nCounter Analysis Systems and establishes an accrual based on historical product failure rates and actual warranty costs incurred. Warranty expense is recorded as a component of cost of revenue in the consolidated statements of operations. | |||||
Changes in the Company’s warranty reserve and related costs were as follows: | |||||
(In thousands) | |||||
Warranty reserve, December 31, 2010 | $ | 63 | |||
Cost of warranty claims | (518 | ) | |||
Warranty accrual | 622 | ||||
Warranty reserve, December 31, 2011 | 167 | ||||
Cost of warranty claims | (244 | ) | |||
Warranty accrual | 325 | ||||
Warranty reserve, December 31, 2012 | 248 | ||||
Cost of warranty claims | (191 | ) | |||
Warranty accrual | 301 | ||||
Warranty reserve, December 31, 2013 | $ | 358 | |||
Research and Development | |||||
Research and development expenses, consisting primarily of salaries and benefits, occupancy costs, laboratory supplies, clinical study costs, contracted services, consulting fees and related costs, are expensed as incurred. | |||||
Selling, General and Administrative | |||||
Selling expenses consist primarily of personnel related costs for sales and marketing, contracted services, and service fees and are expensed as the related costs are incurred. Advertising costs are charged to operations as incurred and are included in sales and marketing expenses. Advertising costs totaled approximately $3.3 million, $590,000 and $417,000 during the years ended December 31, 2013, 2012 and 2011, respectively. | |||||
General and administrative expenses consist primarily of personnel related costs for the Company’s finance, human resources, business development, legal and general management, as well as professional fees for services such as legal and accounting services. General and administrative expenses are expensed as they are incurred. | |||||
Income Taxes | |||||
The Company accounts for income taxes under the liability method. Under the liability method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and income tax bases of assets and liabilities and are measured using the tax rates that will be in effect when the differences are expected to reverse. A valuation allowance is recorded when it is more likely than not that some of the deferred tax assets will not be realized. | |||||
The Company determines whether a tax position is more likely than not to be sustained upon examination based on the technical merits of the position. For tax positions meeting the more-likely-than-not threshold, the tax amount recognized in the financial statements is reduced by the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the relevant tax authority. | |||||
Stock-Based Compensation | |||||
The Company accounts for stock-based compensation under the fair value method. Stock-based compensation costs are based on option awards granted and vested based on their grant-date fair value, estimated using the Black-Scholes option pricing model. The Company uses the straight-line attribution method for recognizing compensation expense. | |||||
The Company recognizes compensation expense for only the portion of options expected to vest. Therefore, management applied an estimated forfeiture rate that was derived from historical employee termination behavior. If the actual number of forfeitures differs from these estimates, adjustments to compensation expense may be required in future periods. | |||||
Guarantees and Indemnifications | |||||
In the normal course of business, the Company guarantees and/or indemnifies other parties, including vendors, lessors and parties to transactions with the Company, with respect to certain matters. The Company has agreed to hold the other parties harmless against losses arising from breach of representations or covenants, or out of intellectual property infringement or other claims made against certain parties. It is not possible to determine the maximum potential amount the Company could be required to pay under these indemnification agreements, since the Company has not had any prior indemnification claims, and each claim would be based upon the unique facts and circumstances of the claim and the particular provisions of each agreement. In the opinion of management, any such claims would not be expected to have a material adverse effect on the Company’s consolidated results of operations, financial condition or cash flows. The Company did not have any related liabilities recorded at December 31, 2013 and 2012. | |||||
Comprehensive Income | |||||
Comprehensive loss includes certain changes in equity that are excluded from net loss. Specifically, unrealized gains and losses on short-term investments are included in comprehensive income. | |||||
Recent Accounting Pronouncements | |||||
As an “emerging growth company,” the Jumpstart Our Business Startups Act allows the Company to delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. |
Shortterm_Investments
Short-term Investments | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Investments Debt And Equity Securities [Abstract] | ' | ||||||||||||||||
Short-term Investments | ' | ||||||||||||||||
3. Short-term Investments | |||||||||||||||||
Short-term investments consisted of available-for-sale securities at December 31, 2013 as follows: | |||||||||||||||||
Type of security | Amortized cost | Gross | Gross | Fair value | |||||||||||||
unrealized | unrealized | ||||||||||||||||
gains | losses | ||||||||||||||||
(In thousands) | |||||||||||||||||
U.S. government-related debt securities | $ | 1,565 | $ | 1 | $ | — | $ | 1,566 | |||||||||
Corporate debt securities | 31,128 | 24 | (3 | ) | 31,149 | ||||||||||||
Total available-for-sale securities | $ | 32,693 | $ | 25 | $ | (3 | ) | $ | 32,715 | ||||||||
The Company did not have available-for-sale securities at December 31, 2012. | |||||||||||||||||
The fair values of available-for-sale securities by contractual maturity at December 31, 2013 were as follows (in thousands): | |||||||||||||||||
Maturing in one year or less | $ | 26,725 | |||||||||||||||
Maturing after one year through three years | 5,990 | ||||||||||||||||
Total available-for-sale securities | $ | 32,715 | |||||||||||||||
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
4. Fair Value Measurements | |||||||||||||||||
The Company establishes the fair value of its assets and liabilities using the price that would be received to sell an asset or paid to transfer a financial liability in an orderly transaction between market participants at the measurement date. A fair value hierarchy is used to measure fair value. The three levels of the fair value hierarchy are as follows: | |||||||||||||||||
Level 1 Quoted prices in active markets for identical assets and liabilities. | |||||||||||||||||
Level 2 Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. | |||||||||||||||||
Level 3 Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. | |||||||||||||||||
The Company’s available-for-sale securities by level within the fair value hierarchy were as follows: | |||||||||||||||||
As of December 31, 2013 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
Money market fund | $ | 8,454 | $ | — | $ | — | $ | 8,454 | |||||||||
Short-term investments: | |||||||||||||||||
U.S. government-related debt securities | — | 1,566 | — | 1,566 | |||||||||||||
Corporate debt securities | — | 31,149 | — | 31,149 | |||||||||||||
Total | $ | 8,454 | $ | 32,715 | $ | — | $ | 41,169 | |||||||||
As of December 31, 2012 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
Money market fund | $ | 20,510 | $ | — | $ | — | $ | 20,510 | |||||||||
Prior to the Company’s initial public offering, the Company had mandatorily redeemable convertible preferred stock which contained certain redemption provisions that precluded equity classification. Accordingly, warrants to purchase this mandatorily redeemable convertible preferred stock were classified as liabilities for the periods presented. These preferred stock warrants were subject to re-measurement at each balance sheet date and any change in fair value was recognized as a component of other income (expense). | |||||||||||||||||
The Company’s preferred stock warrants were categorized as Level 3 because they were valued based on unobservable inputs and management judgment due to the absence of quoted market prices, inherent lack of liquidity and the long-term nature of such financial instruments. The Company performed a fair value assessment of the preferred stock warrant inputs on a quarterly basis using the Black-Scholes option pricing model. The assumptions used in the Black-Scholes option pricing model are inherently subjective and involve significant judgment. Any change in fair value was recognized as a component of other income (expense) in the consolidated statements of operations. Upon the closing of the Company’s initial public offering, all warrants to purchase preferred stock were converted to warrants to purchase common stock and these warrants are no longer re-measured to fair value at each reporting date. | |||||||||||||||||
The Company’s preferred stock warrant liabilities by level within the fair value hierarchy were as follows: | |||||||||||||||||
As of December 31, 2012 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Preferred stock warrant liability | $ | — | $ | — | $ | 3,532 | $ | 3,532 | |||||||||
The Company may elect to apply fair value to its financial assets and liabilities on an instrument-by-instrument basis. The Company has not elected to apply the fair value option to any eligible financial assets or liabilities in 2013, 2012 or 2011. |
Inventory
Inventory | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventory | ' | ||||||||
5. Inventory | |||||||||
Inventory consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Raw materials | $ | 2,164 | $ | 2,120 | |||||
Work in process | 2,198 | 962 | |||||||
Finished goods | 2,388 | 2,298 | |||||||
$ | 6,750 | $ | 5,380 | ||||||
Prepaid_Expenses_and_Other
Prepaid Expenses and Other | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Text Block [Abstract] | ' | ||||||||
Prepaid Expenses and Other | ' | ||||||||
6. Prepaid Expenses and Other | |||||||||
Prepaid expenses and other consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Prepaid royalties | $ | 163 | $ | 175 | |||||
Deposits for inventory | 1,577 | 883 | |||||||
Other | 1,259 | 262 | |||||||
$ | 2,999 | $ | 1,320 | ||||||
Property_and_Equipment
Property and Equipment | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||||
Property and Equipment | ' | ||||||||||
7. Property and Equipment | |||||||||||
Property and equipment consisted of the following at December 31: | |||||||||||
Useful Life | 2013 | 2012 | |||||||||
(Years) | |||||||||||
(In thousands) | |||||||||||
Manufacturing equipment | 5 | $ | 3,333 | $ | 2,854 | ||||||
Prototype systems | 2 | 1,893 | 1,893 | ||||||||
Computer equipment | 3 | 1,325 | 651 | ||||||||
Furniture and fixtures | 5 | 543 | 517 | ||||||||
Leasehold improvements | Various | 4,713 | 4,713 | ||||||||
Construction in progress | — | 14 | |||||||||
11,807 | 10,642 | ||||||||||
Less: Accumulated depreciation and amortization | (8,742 | ) | (6,968 | ) | |||||||
$ | 3,065 | $ | 3,674 | ||||||||
Prototype systems consist of digital imagers and liquid handling robots used in internal testing and other development activities. | |||||||||||
Depreciation and amortization expense for the years ended December 31, 2013, 2012 and 2011 totaled approximately $1.8 million, $1.9 million and $1.5 million, respectively. |
Accrued_Liabilities
Accrued Liabilities | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Accrued Liabilities | ' | ||||||||
8. Accrued Liabilities | |||||||||
Accrued liabilities consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Salaries and bonuses | $ | 4,701 | $ | 2,071 | |||||
Clinical study costs | 539 | 847 | |||||||
Accounting and legal | 272 | 491 | |||||||
Other accrued liabilities | 1,576 | 1,072 | |||||||
$ | 7,088 | $ | 4,481 | ||||||
LongTerm_Debt
Long-Term Debt | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Long-Term Debt | ' | ||||||||
9. Long-Term Debt | |||||||||
In 2012, the Company entered into a credit facility, as amended, that consists of up to $23.0 million in term loan borrowings and a $2.0 million accounts receivable revolving line of credit. All borrowings under the credit facility have a maturity date of July 2016. The term loans bear interest at fixed rates based on the three-month LIBOR rate plus 8.39% (subject to a LIBOR floor of 0.50%) at the time of borrowing and borrowings under the revolving line of credit bear interest at the Prime Rate plus 3.70% (subject to a floor of 6.95%). At December 31, 2013, the Prime Rate was equal to 3.25%. We are also required to pay a fee of 0.075% per month on the unused portion of the revolver borrowings. Through January 2014, the Company is required to only pay interest on all outstanding term borrowings. Following the expiration of the interest only payment period, the Company is required to pay principal and interest in 30 equal monthly payments, plus an end of term payment equal to 5.5% of the amount borrowed. The Company may at its option prepay all of the term loan borrowings by paying the lender, among other things, all principal and accrued interest, the end of term payment plus a make-whole premium. | |||||||||
During 2012, the Company incurred $13.0 million in term loan borrowings at an interest rate of 8.89%. In connection with the credit facility, the Company issued warrants to purchase an aggregate of 76,940 shares of Series D preferred stock at an exercise price of $8.45 per share and 20,837 shares of Series E preferred stock at an exercise price of $14.40 per share. The warrants have a ten-year term and an aggregate fair value at issuance of $648,000. The warrants were valued at the date of issuance using the Black-Scholes option pricing model with the following assumptions: fair value of preferred stock equal to exercise price of warrant, volatility of 58.0 to 61.0% and a risk free interest rates of 1.63 to 2.20%. The warrants were treated as debt discount and are being amortized over the term of the debt. In connection with the Company’s initial public offering, these warrants became exercisable for shares of the Company’s common stock. | |||||||||
In April 2013, the Company incurred an additional $5.0 million in term loan borrowings under the credit facility at an interest rate of 8.89%. In connection with this borrowing, the Company issued warrants to purchase an aggregate of 10,418 shares of Series E preferred stock, which were valued at the date of issuance at $138,000 using the Black-Scholes option pricing model with the following assumptions: fair value of preferred stock equal to the exercise price of the warrants, volatility of 57.0% and a risk-free interest rate of 1.7%. In connection with the Company’s initial public offering, these warrants became exercisable for shares of the Company’s common stock. | |||||||||
The credit facility contains customary conditions to borrowing, events of default and covenants, including covenants that restrict the Company’s ability to dispose of assets, merge with or acquire other entities, incur indebtedness, incur encumbrances, make distributions to holders of the Company’s capital stock, make investments or engage in transactions with its affiliates. In addition, the Company must comply with a financial covenant based on non-Prosigna revenue. This financial covenant is measured monthly on a trailing three month basis. The Company was in compliance with all covenants as of December 31, 2013. The Company’s obligations under the credit facility are collateralized by substantially all of its assets other than intellectual property. | |||||||||
In August 2013, the Company entered into an equipment lease of hardware, software and capitalized installation costs over a lease term of three years expiring July 2016. The amount financed totaled approximately $410,000 and is being repaid over the term of the lease. The lease is interest free and ownership of the property transfers to the Company at the end of the term. | |||||||||
Pursuant to an office building lease, the owner of the building financed a portion of tenant improvements under an arrangement in which the Company is obligated to pay the amount financed over the term of the lease. The amount financed totaled $843,000 and is being repaid over the original five-year term of the lease. Interest accrues on the unpaid balance at a rate of 10% per annum. | |||||||||
Borrowings, including current portion, consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Landlord payable | $ | 49 | $ | 235 | |||||
Capital lease | 410 | — | |||||||
Term loans payable | 18,348 | 13,115 | |||||||
18,807 | 13,350 | ||||||||
Less: Unamortized debt discount | (514 | ) | (591 | ) | |||||
Current portion | (6,136 | ) | (2,789 | ) | |||||
Non-current portion | $ | 12,157 | $ | 9,970 | |||||
Scheduled future payments for principal obligations under outstanding debt facilities were as follows at December 31: | |||||||||
2013 | |||||||||
(In thousands) | |||||||||
2014 | $ | 6,342 | |||||||
2015 | 7,458 | ||||||||
2016 | 5,007 | ||||||||
2017 | — | ||||||||
2018 | — | ||||||||
$ | 18,807 | ||||||||
Common_Stock_and_Preferred_Sto
Common Stock and Preferred Stock | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Common Stock and Preferred Stock | ' | ||||||||||||||||
10. Common Stock and Preferred Stock | |||||||||||||||||
Prior to the completion of its initial public offering in July 2013, the Company was authorized to issue common stock and Series A, Series B, Series C, Series D and Series E convertible preferred stock. Immediately prior to the completion of the Company’s initial public offering, all of the outstanding shares of convertible preferred stock automatically converted into 8,631,427 shares of common stock. | |||||||||||||||||
Common Stock | |||||||||||||||||
Each share of common stock is entitled to one vote. The holders of common stock are also entitled to receive dividends whenever funds are legally available and when declared by the board of directors, subject to the prior rights of holders of other classes of stock outstanding. | |||||||||||||||||
Preferred Stock | |||||||||||||||||
Pursuant to the amended and restated certificate of incorporation filed by the Company immediately prior to the completion of its initial public offering, the Company’s board of directors is authorized to issue up to 15,000,000 shares of preferred stock in one or more series and to fix the rights, preferences, privileges and restrictions thereof. These rights, preferences and privileges could include dividend rights, conversion rights, voting rights, redemption rights, liquidation preferences, sinking fund terms and the number of shares constituting any series or the designation of such series, any or all of which may be greater than the rights of common stock. The issuance of preferred stock could adversely affect the voting power of holders of common stock and the likelihood that such holders will receive dividend payments and payments upon liquidation. In addition, the issuance of preferred stock could have the effect of delaying, deferring or preventing change in the Company’s control or other corporate action. As of December 31, 2013, no shares of preferred stock were issued or outstanding, and the board of directors has not authorized or designated any rights, preferences, privileges and restrictions for any class of preferred stock. | |||||||||||||||||
Mandatorily Redeemable Convertible Preferred Stock | |||||||||||||||||
Prior to the completion of the Company’s initial public offering, the Company issued Series A, Series B, Series C, Series D and Series E convertible preferred stock (collectively, the “Preferred Stock”). | |||||||||||||||||
The convertible preferred stock contained a provision that at any time after November 29, 2017 and upon 30 day notice from the holders of 65% of the outstanding Preferred Stock, such holders could compel the Company to redeem, from any funds legally available, all or part of the Preferred Stock and any accumulated or declared but unpaid dividends thereon. The Company accordingly recorded the Preferred Stock as mandatorily redeemable securities. | |||||||||||||||||
The redemption value of the Preferred Stock was equal to the original issue price with interest compounded from the original issuance date to the first installment redemption date at a rate of 8% compounded quarterly. The Company recorded accretion related to issue costs and dividends of Series A, Series B, Series C, Series D and Series E preferred stock totaling approximately $4.7 million, $7.5 million and $5.3 million for the years ended December 31, 2013 and 2012 and 2011, respectively. The Company also accreted any related issuance costs or discounts. | |||||||||||||||||
Mandatorily redeemable convertible preferred stock at December 31, 2012 was as follows: | |||||||||||||||||
Mandatorily Redeemable | Shares | Shares | Liquidation | Book Value | |||||||||||||
Convertible Preferred Stock | Authorized | Outstanding | Preference | ||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Series A | 564,083 | 557,339 | $ | 15,628 | $ | 15,605 | |||||||||||
Series B | 520,839 | 515,836 | 14,045 | 13,865 | |||||||||||||
Series C | 3,659,375 | 3,551,060 | 38,709 | 38,592 | |||||||||||||
Series D | 3,125,000 | 2,430,054 | 22,510 | 20,323 | |||||||||||||
Series E | 1,109,375 | 1,063,951 | 23,078 | 15,237 | |||||||||||||
8,978,672 | 8,118,240 | $ | 113,970 | $ | 103,622 | ||||||||||||
Immediately prior to the completion of the Company’s initial public offering, each share of Series A preferred stock was converted into common stock on a 1.403030-for-one basis, each share of Series B preferred stock was converted into common stock on a 1.559429-for-one basis and each share of Series C, D and E preferred stock was converted into common stock on a one-for-one basis. The aggregate outstanding shares of convertible preferred stock automatically converted into 8,631,427 shares of common stock. | |||||||||||||||||
Warrants | |||||||||||||||||
As of December 31, 2012, there were a total of 604,563 warrants to purchase preferred stock outstanding. In April 2013, the Company issued warrants to purchase an aggregate of 10,418 shares of its Series E preferred stock with a term of 10 years. Prior to the completion of the initial public offering, the warrants to purchase preferred stock were recorded as liabilities and measured at fair value at each reporting date. The following information summarizes the carrying value of the warrants to purchase shares of the Company’s preferred stock: | |||||||||||||||||
(In thousands) | |||||||||||||||||
Balance at December 31, 2010 | $ | 42 | |||||||||||||||
Issuance of preferred stock warrants | 2,528 | ||||||||||||||||
Warrant revaluation | (73 | ) | |||||||||||||||
Balance at December 31, 2011 | 2,497 | ||||||||||||||||
Issuance of preferred stock warrants | 648 | ||||||||||||||||
Warrant revaluation | 387 | ||||||||||||||||
Balance at December 31, 2012 | 3,532 | ||||||||||||||||
Issuance of preferred stock warrants | 138 | ||||||||||||||||
Warrant revaluation | (1,156 | ) | |||||||||||||||
Reclassification to common stock warrants | (2,514 | ) | |||||||||||||||
Balance at December 31, 2013 | $ | — | |||||||||||||||
All preferred stock warrants were converted into warrants to purchase common stock upon the effectiveness of the initial public offering. The preferred stock warrant liability was reclassified to stockholders’ equity and recorded as common stock warrants upon the closing of the Company’s initial public offering. These warrants are no longer re-measured to fair value at each reporting date. As of December 31, 2013 there were 617,605 common stock warrants outstanding with a weighted average exercise price of $8.78 per common stock warrant. |
Stock_Based_Compensation
Stock Based Compensation | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Stock Based Compensation | ' | ||||||||||||||||
11. Stock Based Compensation | |||||||||||||||||
Stock Option Plans | |||||||||||||||||
The Company’s 2004 Stock Option Plan and 2013 Equity Incentive Plan authorize the grant of options to employees and consultants for up to 3,948,533 shares of the Company’s common stock as of December 31, 2013. All options granted have a ten-year term and generally vest and become exercisable over four years of continued employment or service as defined in each option agreement. The Board of Directors determines the option exercise price and may designate stock options granted as either incentive or nonstatutory stock options. The Company generally grants stock options to employees with exercise prices equal to the estimated fair value of the Company’s common stock on the date of grant. | |||||||||||||||||
A summary of the Company’s employee stock option activity and related information follows: | |||||||||||||||||
Shares | Weighted- | Weighted- | Aggregate | ||||||||||||||
average | average | intrinsic value | |||||||||||||||
exercise price | remaining | (in thousands) | |||||||||||||||
per share | contractual | ||||||||||||||||
term (in years) | |||||||||||||||||
Outstanding at December 31, 2012 | 1,686,179 | $ | 2.28 | 8.59 | $ | 7,486 | |||||||||||
Granted | 669,030 | 9.17 | |||||||||||||||
Canceled | (65,410 | ) | 2.24 | ||||||||||||||
Exercised | (177,165 | ) | 2.16 | ||||||||||||||
Outstanding at December 31, 2013 | 2,112,632 | $ | 4.47 | 8.12 | $ | 26,968 | |||||||||||
December 31, 2013: | |||||||||||||||||
Options vested and expected to vest | 2,087,810 | $ | 4.46 | 8.11 | $ | 26,687 | |||||||||||
Options exercisable | 872,414 | $ | 2.48 | 7.39 | $ | 12,875 | |||||||||||
The total fair value of stock options vested during the year ended December 31, 2013 was $920,000. | |||||||||||||||||
The following table summarizes information about the Company’s options outstanding at December 31, 2013: | |||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||
Exercise Price | Number of | Weighted- | Number of | Weighted- | |||||||||||||
Shares | Average | Shares | Average | ||||||||||||||
Remaining | Remaining | ||||||||||||||||
Contractual | Contractual | ||||||||||||||||
Life in Years | Life in Years | ||||||||||||||||
$0.32 – 1.92 | 862,856 | 8.18 | 416,309 | 8.13 | |||||||||||||
2.24 – 3.84 | 457,740 | 6.48 | 369,142 | 6.41 | |||||||||||||
5.12 – 6.72 | 418,030 | 8.35 | 85,309 | 7.92 | |||||||||||||
8.96 – 12.50 | 374,006 | 9.73 | 1,654 | 9.79 | |||||||||||||
2,112,632 | 872,414 | ||||||||||||||||
The fair value of each employee option grant as of December 31 was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Risk-free interest rates | 1.05%–1.95% | 0.85%–1.44% | 2.2%–3.14% | ||||||||||||||
Expected term (years) | 6.25 | 6.25 | 6.25 | ||||||||||||||
Expected dividend yield | — | — | — | ||||||||||||||
Volatility | 57.0%–58.0% | 54.0%–61.0% | 73.00% | ||||||||||||||
The risk-free interest rates are based on the implied yield currently available in U.S. Treasury securities at maturity with an equivalent term. For purposes of determining the expected term of the awards in the absence of sufficient historical data relating to stock-option exercises, the Company applies a simplified approach in which the expected term of an award is presumed to be the mid-point between the vesting date and the expiration date of the award. The Company has not declared or paid any dividends and does not currently expect to do so in the foreseeable future. The Company based its expected volatility on the estimated volatility of similar companies whose share prices are publicly available. | |||||||||||||||||
Options granted during the years ended December 31, 2013, 2012, 2011 were granted at exercise prices that the Company’s board of directors believed to be equal to the fair value of the common stock underlying such options on the date of grant. Prior to completion of its initial public offering, the Company assessed its estimate of fair value of its common stock for financial reporting purposes given the Company’s improving financial performance and prospects, evolving belief that an initial public offering was increasingly viable and the generally improving conditions in the capital markets. Following this assessment, it was determined that for financial reporting purposes the fair value of the Company’s common stock was higher than the board of directors’ fair market value estimate for certain options previously granted. In 2013 and 2012, the Company granted options of 101,487 and 988,268, respectively, that were subsequently determined to be granted at exercise prices that were less than the estimated per share value of the underlying common stock on the date of grant. The valuations of these stock options were adjusted to reflect the increase in estimated fair value of the underlying stock options. The weighted-average grant date fair value of options granted during the years ended December 31, 2013, 2012 and 2011 was $5.30, $1.59 and $1.83, respectively. | |||||||||||||||||
The aggregate intrinsic value for options exercised during the years ended December 31, 2013, 2012 and 2011 was $681,000, $161,000 and $0, respectively, determined as of the date of option exercise. | |||||||||||||||||
Stock compensation expense for the years ended December 31 was as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Cost of revenue | $ | 49 | $ | 71 | $ | 4 | |||||||||||
Research and development | 273 | 204 | 26 | ||||||||||||||
Selling, general and administrative | 823 | 470 | 213 | ||||||||||||||
Total stock-based compensation expense | $ | 1,145 | $ | 745 | $ | 243 | |||||||||||
At December 31, 2013, the total unrecognized compensation cost was approximately $4.1 million and will be recognized on a straight-line basis over the weighted-average remaining service period of approximately three years. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
Income Taxes | ' | ||||||||||||||||
12. Income Taxes | |||||||||||||||||
Loss before income taxes for the years ended December 31 consisted of the following: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Domestic | $ | (28,746 | ) | $ | (17,618 | ) | $ | (10,966 | ) | ||||||||
Foreign | (535 | ) | (90 | ) | 34 | ||||||||||||
Loss before income taxes | $ | (29,281 | ) | $ | (17,708 | ) | $ | (10,932 | ) | ||||||||
Income tax expense (benefit) differed from the amounts computed by applying the statutory federal income tax rate of 34% to pretax loss as a result of the following for the years ended December 31: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Income tax provision at statutory rate | $ | (9,955 | ) | $ | (6,021 | ) | $ | (3,717 | ) | ||||||||
Nondeductible items | (32 | ) | 349 | 25 | |||||||||||||
Change in tax credits | (893 | ) | 39 | (202 | ) | ||||||||||||
Change in valuation allowance | 10,965 | 5,894 | 3,963 | ||||||||||||||
Other | (85 | ) | (261 | ) | (69 | ) | |||||||||||
$ | — | $ | — | $ | — | ||||||||||||
At December 31, 2013, the Company had net operating loss carryforwards of approximately $92.6 million which will begin to expire in 2023 through 2033. In addition, at December 31, 2013, the Company had research and development tax credit carryforwards of approximately $2.2 million. | |||||||||||||||||
The Company does not expect to utilize any of its net operating loss and tax credit carryforwards in the near term. The Company may have already experienced one or more ownership changes. Depending on the timing of any future utilization of its carryforwards, the Company may be limited as to the amount that can be utilized each year as a result of such previous ownership changes. However, the Company does not believe such limitations will cause its carryforwards to expire unutilized. Future changes in the Company’s stock ownership as well as other changes that may be outside the Company’s control could potentially result in further limitations on the Company’s ability to utilize its net operating loss and tax credit carryforwards. | |||||||||||||||||
The effect of temporary differences and carryforwards that give rise to deferred tax assets for the years ended December 31 were as follows: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Net operating loss carryforwards | $ | 31,989 | $ | 21,569 | |||||||||||||
Research and development tax credit carryforwards | 1,654 | 761 | |||||||||||||||
Other | 2,369 | 2,717 | |||||||||||||||
Total deferred tax assets | 36,012 | 25,047 | |||||||||||||||
Less: Valuation allowance | (36,012 | ) | (25,047 | ) | |||||||||||||
Net deferred tax assets | $ | — | $ | — | |||||||||||||
The Company has recorded a full valuation allowance related to its deferred tax assets due to the uncertainty of the ultimate realization of the future benefits from those assets. | |||||||||||||||||
The table below summarizes changes in the deferred tax asset valuation allowance: | |||||||||||||||||
Balance at | Charged to | Write-offs | Balance at End | ||||||||||||||
Beginning | Costs and | of Year | |||||||||||||||
of Year | Expenses | ||||||||||||||||
(In thousands) | |||||||||||||||||
Deferred tax valuation allowance: | |||||||||||||||||
For year ended December 31, 2011 | $ | 15,190 | $ | 3,963 | $ | — | $ | 19,153 | |||||||||
For year ended December 31, 2012 | 19,153 | 5,894 | — | 25,047 | |||||||||||||
For year ended December 31, 2013 | 25,047 | 10,965 | — | 36,012 | |||||||||||||
The total balance of unrecognized gross tax benefits for the years ended December 31 was as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Unrecognized tax benefits at beginning of year | $ | 253 | $ | 267 | $ | 199 | |||||||||||
Additions (reductions) based on current year tax positions | 298 | (14 | ) | 68 | |||||||||||||
Unrecognized tax benefits at end of year | $ | 551 | $ | 253 | $ | 267 | |||||||||||
The Company classifies applicable interest and penalties on amounts due to tax authorities as a component of the provision for income taxes. The amount of accrued interest and penalties recorded in 2013, 2012 or 2011 was not material. We do not anticipate that the amount of our existing unrecognized tax benefits will significantly increase or decrease within the next 12 months. Due to the presence of net operating loss carryforwards in most jurisdictions, our tax years remain open for examination by U.S. taxing authorities back to 2004. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||
Commitments and Contingencies | ' | ||||
13. Commitments and Contingencies | |||||
The Company leases its office space and certain office equipment under noncancelable operating leases. During 2011, the Company amended its existing office space lease to take additional space and extend the term of the office lease through August 2016. In December 2013, the Company entered into an additional office building lease. The initial term of the thirty-one month lease commences February 2014. The Company is obligated to pay approximately $264,000 in annual base rent in the first year, which shall increase by approximately 2.5% each year. Rent expense totaled approximately $1.2 million, $856,000 and $807,000 for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||
The Company has purchase obligations totaling $3.0 million at December 31, 2013 related to binding commitments to purchase inventory. | |||||
Future minimum lease payments under noncancelable capital and operating leases as of December 31, 2013 were as follows: | |||||
(In thousands) | |||||
2014 | $ | 2,167 | |||
2015 | 2,295 | ||||
2016 | 1,520 | ||||
2017 | — | ||||
2018 | — | ||||
$ | 5,982 | ||||
From time to time, the Company may become involved in litigation relating to claims arising from the ordinary course of business. Management believes that there are no claims or actions pending against the Company currently, the ultimate disposition of which would have a material adverse effect on the Company’s consolidated results of operation, financial condition or cash flows. |
Net_Loss_Per_Share
Net Loss Per Share | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Net Loss Per Share | ' | ||||||||||||
14. Net Loss Per Share | |||||||||||||
Net loss attributable to common stockholders per share is computed by dividing the net loss allocable to common stockholders by the weighted-average number of shares of common stock outstanding. Outstanding stock options, warrants and preferred stock, have not been included in the calculation of diluted net loss attributable to common stockholders per share because to do so would be anti-dilutive. Accordingly, the numerator and the denominator used in computing both basic and diluted net loss per share for each period are the same. | |||||||||||||
The following table as of December 31 provides a reconciliation of the numerator and denominator used in computing basic and diluted net loss per share: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Numerator: | |||||||||||||
Net loss | $ | (29,281 | ) | $ | (17,708 | ) | $ | (10,932 | ) | ||||
Accretion of mandatorily redeemable convertible preferred stock | (4,653 | ) | (7,533 | ) | (5,251 | ) | |||||||
Net loss attributable to common stockholders | $ | (33,934 | ) | $ | (25,241 | ) | $ | (16,183 | ) | ||||
Denominator: | |||||||||||||
Weighted-average common shares outstanding-basic and diluted | 7,643 | 355 | 323 | ||||||||||
The following outstanding options, warrants and preferred stock as of December 31 were excluded from the computation of diluted net loss per share for the periods presented because their effect would have been anti-dilutive: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Options to purchase common stock | 2,113 | 1,686 | 686 | ||||||||||
Convertible preferred stock (as converted) | — | 8,631 | 7,567 | ||||||||||
Convertible preferred stock warrants (as converted) | — | 607 | 509 | ||||||||||
Common stock warrant | 618 | — | 1 |
Information_about_Geographic_A
Information about Geographic Areas | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Abstract] | ' | ||||||||||||
Information about Geographic Areas | ' | ||||||||||||
15. Information about Geographic Areas | |||||||||||||
The following table is based on the geographic location of distributors or end users who purchased products and services. For sales to distributors, their geographic location may be different from the geographic locations of the ultimate end user. Revenue by geography as of December 31 was as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
North America | $ | 21,855 | $ | 15,906 | $ | 14,044 | |||||||
Europe & Middle East | 5,775 | 4,167 | 2,918 | ||||||||||
Asia Pacific | 3,773 | 2,900 | 838 | ||||||||||
Total revenue | $ | 31,403 | $ | 22,973 | $ | 17,800 | |||||||
Total revenue in the United States was $19.3 million, $14.9 million and $13.5 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||
The Company’s assets are primarily located in the United States and not allocated to any specific geographic region. All of the Company’s long-lived assets are located in the United States. |
Condensed_Quarterly_Financial_
Condensed Quarterly Financial Data | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Condensed Quarterly Financial Data | ' | ||||||||||||||||
16. Condensed Quarterly Financial Data (unaudited) | |||||||||||||||||
The following table contains selected unaudited financial data for each quarter of 2013 and 2012. The unaudited information should be read in conjunction with the Company’s financial statements and related notes included elsewhere in this report. The Company believes that the following unaudited information reflects all normal recurring adjustments necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period. | |||||||||||||||||
Three months ended | |||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
(in thousands, except per share data) | |||||||||||||||||
2013 | |||||||||||||||||
Total revenue | $ | 5,676 | $ | 7,218 | $ | 8,389 | $ | 10,120 | |||||||||
Net loss attributable to common stockholders | $ | (9,601 | ) | $ | (7,806 | ) | $ | (7,700 | ) | $ | (8,827 | ) | |||||
Net loss per share—basic and diluted | $ | (17.88 | ) | $ | (13.69 | ) | $ | (0.53 | ) | $ | (0.60 | ) | |||||
2012 | |||||||||||||||||
Total revenue | $ | 4,502 | $ | 5,943 | $ | 6,035 | $ | 6,493 | |||||||||
Net loss attributable to common stockholders | $ | (5,403 | ) | $ | (5,415 | ) | $ | (6,544 | ) | $ | (7,879 | ) | |||||
Net loss per share—basic and diluted | $ | (16.52 | ) | $ | (16.02 | ) | $ | (18.28 | ) | $ | (19.85 | ) |
Subsequent_Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2013 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
17. Subsequent Events | |
In January 2014, the Company completed an underwritten public offering of 2,972,972 shares of common stock for total gross proceeds of $55.0 million. In February 2014, the underwriters partially exercised an overallotment option, purchasing 345,945 additional shares from the Company for additional gross proceeds of $6.4 million. After underwriters’ fees and commissions and other expenses of the offering, the Company’s aggregate net proceeds were approximately $57 million. | |
In January 2014, the Company entered into a non-binding letter of intent for a term loan agreement with a lender which would allow it to refinance its existing credit facility and potentially incur up to an aggregate of $45 million in term loan borrowings or up to an aggregate of approximately $52 million if it elected to exercise in full an option to pay in kind a portion of the interest that would accrue on the borrowings under the term loan agreement. The Company expects this term loan agreement will contain customary conditions to borrowings, events of default and negative covenants, including covenants that could limit its ability to, among other things, incur additional indebtedness, liens or other encumbrances, make dividends or other distributions, and buy, sell or transfer assets. The Company also expects that the term loan agreement will include liquidity and revenue-based financial covenants. The Company’s obligations under the term loan agreement will be secured by substantially all of its assets. However, there can be no assurance that the Company will successfully enter into this term loan agreement. |
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Accounting Principles | ' | ||||||||||||||||
Accounting Principles | |||||||||||||||||
The consolidated financial statements and accompanying notes were prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). | |||||||||||||||||
Principles of Consolidation | ' | ||||||||||||||||
Principles of Consolidation | |||||||||||||||||
The accompanying consolidated financial statements reflect the accounts of the Company and its wholly-owned subsidiaries, NanoString Technologies International, Inc., NanoString Technologies Asia Pacific Limited, NanoString Technologies Europe Limited, Nanostring Technologies Germany GmbH, Nanostring Technologies Singapore Pte Limited and NanoString Technologies SAS. Each of these subsidiaries operates as a sales and support office. The functional currency of each subsidiary is the U.S. dollar. All significant intercompany balances and transactions have been eliminated. | |||||||||||||||||
Use of Estimates | ' | ||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of consolidated financial statements in conformity with U.S. 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 consolidated financial statements and that affect the reported amounts of revenue and expenditures during the reporting period. Actual results could differ from those estimates. Significant estimates inherent in the preparation of the accompanying consolidated financial statements include the estimation of the fair value of the Company’s equity securities and the calculation of stock-based compensation. | |||||||||||||||||
Cash and Cash Equivalents | ' | ||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
The Company considers all highly-liquid investments with purchased maturities of three months or less to be cash equivalents. The Company’s cash equivalents consist principally of funds maintained in depository accounts. The Company invests its cash and cash equivalents with major financial institutions; at times these investments exceed federally insured limits. | |||||||||||||||||
Investments | ' | ||||||||||||||||
Investments | |||||||||||||||||
The Company classifies its securities as available-for-sale, which are reported at estimated fair value with unrealized gains and losses included in accumulated other comprehensive income in stockholders’ equity. Realized gains, realized losses and declines in the value of securities judged to be other-than-temporary, are included in other income (expense). The cost of investments for purposes of computing realized and unrealized gains and losses is based on the specific identification method. Amortization of premiums and accretion of discounts are included in other income (expense). Interest and dividends earned on all securities are included in other income (expense). Investments in securities with maturities of less than one year, or where management’s intent is to use the investments to fund current operations, or to make them available for current operations, are classified as short-term investments. | |||||||||||||||||
If the estimated fair value of a security is below its carrying value, the Company evaluates whether it is more likely than not that it will sell the security before its anticipated recovery in market value and whether evidence indicating that the cost of the investment is recoverable within a reasonable period of time outweighs evidence to the contrary. The Company also evaluates whether or not it intends to sell the investment. If the impairment is considered to be other-than-temporary, the security is written down to its estimated fair value. In addition, the Company considers whether credit losses exist for any securities. A credit loss exists if the present value of cash flows expected to be collected is less than the amortized cost basis of the security. Other-than-temporary declines in estimated fair value and credit losses are charged against other income (expense). | |||||||||||||||||
Accounts Receivable and Allowance for Doubtful Accounts | ' | ||||||||||||||||
Accounts Receivable and Allowance for Doubtful Accounts | |||||||||||||||||
Accounts receivable are stated at the amount management expects to collect from customers based on their outstanding invoices. Management reviews accounts receivable regularly to determine if any receivable will potentially be uncollectible and to estimate the amount of allowance for doubtful accounts necessary to reduce accounts receivable to its estimated net realizable value. This estimate was made by analyzing the status of significant past due receivables and by establishing provisions for estimated losses by analyzing current and historical bad debt trends. At December 31, 2013 and 2012, no allowance for doubtful accounts was recorded. | |||||||||||||||||
Concentration of Credit Risks | ' | ||||||||||||||||
Concentration of Credit Risks | |||||||||||||||||
Cash, cash equivalents and short-term investments are invested in accordance with the Company’s investment policy. The policy includes guidelines for the investment of cash reserves and is reviewed periodically to minimize credit risk. The Company also has credit risk related to the collectability of its accounts receivable. The Company performs initial and ongoing evaluations of its customers’ financial position and generally extends credit on account without collateral. | |||||||||||||||||
The Company did not have any customers that individually represented more than 10% of total revenue during the years ended December 31, 2013, 2012 and 2011. | |||||||||||||||||
The Company had no customers that represented more than 10% of total accounts receivable at December 31, 2013 and 2012. | |||||||||||||||||
The Company is also subject to supply chain risks related to the outsourcing of the manufacturing of its instruments to sole suppliers. Although there are a limited number of manufacturers for instruments of this type, the Company believes that other suppliers could provide similar products on comparable terms. A change in suppliers, however, could cause a delay in manufacturing and a possible loss of sales, which would adversely affect operating results. | |||||||||||||||||
Fair Value of Financial Instruments | ' | ||||||||||||||||
Fair value of financial instruments | |||||||||||||||||
The recorded amounts of certain financial instruments, including cash and cash equivalents, accounts receivable, prepaid expenses and other assets, accounts payable and accrued liabilities approximate fair value due to their relatively short maturities. Investments that are classified as available-for-sale are recorded at fair value. The fair value for securities held is determined using quoted market prices, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency. The recorded amount of the Company’s long-term debt approximates fair value because the related interest rates approximate rates currently available to the Company. | |||||||||||||||||
Inventory | ' | ||||||||||||||||
Inventory | |||||||||||||||||
Inventory consists of finished goods, work in process, raw materials and certain component parts to be used in manufacturing the Company’s products. Inventory is stated at the lower of cost or market. Cost is determined using a standard cost system, whereby the standard costs are updated periodically to reflect current costs and market represents the lower of replacement cost or estimated net realizable value. The Company records adjustments to inventory for potentially excess, obsolete, slow-moving or impaired items. | |||||||||||||||||
The Company outsources the manufacturing of its instruments to third-party contract manufacturers who manufacture them to certain specifications and source certain raw materials from sole source providers. Major delays in shipments, inferior quality, insufficient quantity or any combination of these or other factors may harm the Company’s business and results of operations. In addition, the inability of one or more of these suppliers to provide the Company with an adequate supply of its products or raw materials or the loss of one or more of these suppliers may cause a delay in the Company’s ability to fulfill orders while it obtains a replacement supplier and may harm the Company’s business and results of operations. | |||||||||||||||||
Property and Equipment | ' | ||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are recorded at cost, net of accumulated depreciation and amortization. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets. Manufacturing equipment is amortized over five years, computer equipment is generally depreciated over three years, furniture and fixtures are depreciated over five years and leasehold improvements are amortized over the life of the related assets or the term of the lease, whichever is less. Expenditures for additions are capitalized and expenditures for maintenance and repairs are expensed as incurred. Gains and losses from the disposal of property and equipment are reflected in the consolidated statements of operations in the year of disposition. | |||||||||||||||||
Leases and Leasehold Improvements | ' | ||||||||||||||||
Leases and Leasehold Improvements | |||||||||||||||||
Rent expense for leases that provide for scheduled rent increases during the lease term is recognized on a straight-line basis over the term of the related lease. Leasehold improvements that are funded by landlord incentives or allowances are recorded in property and equipment and as a component of deferred rent and are amortized as a reduction of rent expense over the term of the related lease. | |||||||||||||||||
Impairment of Long-Lived Assets | ' | ||||||||||||||||
Impairment of Long-Lived Assets | |||||||||||||||||
The Company recognizes impairment losses on long-lived assets when indicators of impairment are present and the anticipated undiscounted cash flows to be generated by those assets are less than the asset’s carrying values. The Company has not experienced any impairment losses on its long-lived assets during the periods presented. | |||||||||||||||||
Deferred Offering Costs | ' | ||||||||||||||||
Deferred Offering Costs | |||||||||||||||||
Deferred offering costs represent legal, accounting and other direct costs related to the Company’s efforts to raise capital through public offerings of the Company’s common stock. Costs are deferred until the completion of the applicable offering, at which time they are reclassified to additional paid-in capital as a reduction of the proceeds. The Company accrued approximately $29,000 and $1.8 million of deferred offering costs as a non-current asset in the consolidated balance sheet as of December 31, 2013 and 2012, respectively. | |||||||||||||||||
Segments | ' | ||||||||||||||||
Segments | |||||||||||||||||
The Company follows the authoritative literature that established annual and interim reporting standards for enterprises’ operating segments and related disclosures about its products and services, geographic regions and major customers. Operating segments are defined as components of an entity for which separate financial information is available and evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision maker is the chief executive officer, who manages the operations and evaluates the financial performance on a total Company basis. The Company’s principal operations and decision-making functions are located at its corporate headquarters in the United States. | |||||||||||||||||
Until the fourth quarter of 2013, the Company operated in two reportable segments, its life sciences business and its diagnostics business. In November 2013, the Company’s nCounter Dx Analysis System FLEX Configuration was launched, enabling customers to perform both research and clinical testing on the same instrument. The Company has one sales force that now sells these systems to both research and diagnostic testing labs, and has launched its first product, nCounter Elements GPRs, that can be used for both research and diagnostic testing. As a result of these fundamental changes to its business, the Company began operating as a single reportable segment during the fourth quarter of 2013. | |||||||||||||||||
Revenue Recognition | ' | ||||||||||||||||
Revenue Recognition | |||||||||||||||||
The Company recognizes revenue when (1) persuasive evidence of an arrangement exists, (2) delivery has occurred or services have been rendered, (3) the price to the customer is fixed or determinable and (4) collectability is reasonably assured. The Company generates revenue from the sale of products and services. The Company’s products consist of its proprietary nCounter Analysis System and related consumables. Services consist of extended warranties and service fees for assay processing. A delivered product or service is considered to be a separate unit of accounting when it has value to the customer on a stand-alone basis. Products or services have value on a stand-alone basis if they are sold separately by any vendor or the customer could resell the delivered product. | |||||||||||||||||
Systems product revenue is recognized upon installation and calibration in geographic regions where such services are only available from the Company’s specialized technicians. In these regions, systems and related installation and calibration are considered to be one unit of accounting, as systems are required to be professionally installed and calibrated before use. In certain geographic regions, installation and calibration services are available from other vendors, and in such regions they are considered separate revenue elements. Consumables are considered to be separate units of accounting as they are sold separately. Consumables product revenue is recognized upon shipment. | |||||||||||||||||
Service revenue is recognized when earned, which is generally upon the rendering of the related services. Service contracts and service fees for assay processing are each considered separate units of accounting as they are sold separately. The Company offers service contracts on its nCounter Analysis System for periods ranging from 12 to 36 months after the end of the standard 12-month warranty period. Service contracts are generally separately priced. Revenue from service contracts is deferred and recognized in income on a straight-line basis over the service period. | |||||||||||||||||
For arrangements with multiple deliverables, the Company allocates the contract consideration at the inception of the contract to the deliverables based upon their relative selling prices. To date, selling prices have been established by reference to vendor specific objective evidence based on stand-alone sales transactions for each deliverable. Vendor specific objective evidence is considered to have been established when a substantial majority of individual sales transactions within the previous 12 month period fall within a reasonably narrow range, which the Company has defined to be plus or minus 15% of the median sales price of actual stand-alone sales transactions. The Company uses its best estimate of selling price for individual deliverables when vendor specific objective evidence or third-party evidence is unavailable. Allocated revenue is only recognized for each deliverable when the revenue recognition criteria have been met. | |||||||||||||||||
Cost of Revenue | ' | ||||||||||||||||
Cost of Revenue | |||||||||||||||||
Cost of revenue consists primarily of costs incurred in the production process, including costs of purchasing instruments from third-party contract manufacturers, consumable component materials and assembly labor and overhead, installation, warranty, service and packaging and delivery costs. In addition, cost of revenue includes royalty costs for licensed technologies included in the Company’s products, provisions for slow-moving and obsolete inventory and stock-based compensation expense. Cost of revenue for instruments and consumables is recognized in the period the related revenue is recognized. Shipping and handling costs incurred for product shipments are included in cost of revenue in the consolidated statements of operations. | |||||||||||||||||
Reserve for Product Warranties | ' | ||||||||||||||||
Reserve for Product Warranties | |||||||||||||||||
The Company generally provides a one-year warranty on its nCounter Analysis Systems and establishes an accrual based on historical product failure rates and actual warranty costs incurred. Warranty expense is recorded as a component of cost of revenue in the consolidated statements of operations. | |||||||||||||||||
Changes in the Company’s warranty reserve and related costs were as follows: | |||||||||||||||||
(In thousands) | |||||||||||||||||
Warranty reserve, December 31, 2010 | $ | 63 | |||||||||||||||
Cost of warranty claims | (518 | ) | |||||||||||||||
Warranty accrual | 622 | ||||||||||||||||
Warranty reserve, December 31, 2011 | 167 | ||||||||||||||||
Cost of warranty claims | (244 | ) | |||||||||||||||
Warranty accrual | 325 | ||||||||||||||||
Warranty reserve, December 31, 2012 | 248 | ||||||||||||||||
Cost of warranty claims | (191 | ) | |||||||||||||||
Warranty accrual | 301 | ||||||||||||||||
Warranty reserve, December 31, 2013 | $ | 358 | |||||||||||||||
Research and Development | ' | ||||||||||||||||
Research and Development | |||||||||||||||||
Research and development expenses, consisting primarily of salaries and benefits, occupancy costs, laboratory supplies, clinical study costs, contracted services, consulting fees and related costs, are expensed as incurred. | |||||||||||||||||
Selling, General and Administrative | ' | ||||||||||||||||
Selling, General and Administrative | |||||||||||||||||
Selling expenses consist primarily of personnel related costs for sales and marketing, contracted services, and service fees and are expensed as the related costs are incurred. Advertising costs are charged to operations as incurred and are included in sales and marketing expenses. Advertising costs totaled approximately $3.3 million, $590,000 and $417,000 during the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||
General and administrative expenses consist primarily of personnel related costs for the Company’s finance, human resources, business development, legal and general management, as well as professional fees for services such as legal and accounting services. General and administrative expenses are expensed as they are incurred. | |||||||||||||||||
Income Taxes | ' | ||||||||||||||||
Income Taxes | |||||||||||||||||
The Company accounts for income taxes under the liability method. Under the liability method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and income tax bases of assets and liabilities and are measured using the tax rates that will be in effect when the differences are expected to reverse. A valuation allowance is recorded when it is more likely than not that some of the deferred tax assets will not be realized. | |||||||||||||||||
The Company determines whether a tax position is more likely than not to be sustained upon examination based on the technical merits of the position. For tax positions meeting the more-likely-than-not threshold, the tax amount recognized in the financial statements is reduced by the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the relevant tax authority. | |||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
Stock-Based Compensation | |||||||||||||||||
The Company accounts for stock-based compensation under the fair value method. Stock-based compensation costs are based on option awards granted and vested based on their grant-date fair value, estimated using the Black-Scholes option pricing model. The Company uses the straight-line attribution method for recognizing compensation expense. | |||||||||||||||||
The Company recognizes compensation expense for only the portion of options expected to vest. Therefore, management applied an estimated forfeiture rate that was derived from historical employee termination behavior. If the actual number of forfeitures differs from these estimates, adjustments to compensation expense may be required in future periods. | |||||||||||||||||
Guarantees and Indemnifications | ' | ||||||||||||||||
Guarantees and Indemnifications | |||||||||||||||||
In the normal course of business, the Company guarantees and/or indemnifies other parties, including vendors, lessors and parties to transactions with the Company, with respect to certain matters. The Company has agreed to hold the other parties harmless against losses arising from breach of representations or covenants, or out of intellectual property infringement or other claims made against certain parties. It is not possible to determine the maximum potential amount the Company could be required to pay under these indemnification agreements, since the Company has not had any prior indemnification claims, and each claim would be based upon the unique facts and circumstances of the claim and the particular provisions of each agreement. In the opinion of management, any such claims would not be expected to have a material adverse effect on the Company’s consolidated results of operations, financial condition or cash flows. The Company did not have any related liabilities recorded at December 31, 2013 and 2012. | |||||||||||||||||
Comprehensive Income | ' | ||||||||||||||||
Comprehensive Income | |||||||||||||||||
Comprehensive loss includes certain changes in equity that are excluded from net loss. Specifically, unrealized gains and losses on short-term investments are included in comprehensive income. | |||||||||||||||||
Recent Accounting Pronouncements | ' | ||||||||||||||||
Recent Accounting Pronouncements | |||||||||||||||||
As an “emerging growth company,” the Jumpstart Our Business Startups Act allows the Company to delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. | |||||||||||||||||
Fair Value Measurements, Policy | ' | ||||||||||||||||
The Company establishes the fair value of its assets and liabilities using the price that would be received to sell an asset or paid to transfer a financial liability in an orderly transaction between market participants at the measurement date. A fair value hierarchy is used to measure fair value. The three levels of the fair value hierarchy are as follows: | |||||||||||||||||
Level 1 Quoted prices in active markets for identical assets and liabilities. | |||||||||||||||||
Level 2 Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. | |||||||||||||||||
Level 3 Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. | |||||||||||||||||
The Company’s available-for-sale securities by level within the fair value hierarchy were as follows: | |||||||||||||||||
As of December 31, 2013 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
Money market fund | $ | 8,454 | $ | — | $ | — | $ | 8,454 | |||||||||
Short-term investments: | |||||||||||||||||
U.S. government-related debt securities | — | 1,566 | — | 1,566 | |||||||||||||
Corporate debt securities | — | 31,149 | — | 31,149 | |||||||||||||
Total | $ | 8,454 | $ | 32,715 | $ | — | $ | 41,169 | |||||||||
As of December 31, 2012 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
Money market fund | $ | 20,510 | $ | — | $ | — | $ | 20,510 | |||||||||
Prior to the Company’s initial public offering, the Company had mandatorily redeemable convertible preferred stock which contained certain redemption provisions that precluded equity classification. Accordingly, warrants to purchase this mandatorily redeemable convertible preferred stock were classified as liabilities for the periods presented. These preferred stock warrants were subject to re-measurement at each balance sheet date and any change in fair value was recognized as a component of other income (expense). | |||||||||||||||||
The Company’s preferred stock warrants were categorized as Level 3 because they were valued based on unobservable inputs and management judgment due to the absence of quoted market prices, inherent lack of liquidity and the long-term nature of such financial instruments. The Company performed a fair value assessment of the preferred stock warrant inputs on a quarterly basis using the Black-Scholes option pricing model. The assumptions used in the Black-Scholes option pricing model are inherently subjective and involve significant judgment. Any change in fair value was recognized as a component of other income (expense) in the consolidated statements of operations. Upon the closing of the Company’s initial public offering, all warrants to purchase preferred stock were converted to warrants to purchase common stock and these warrants are no longer re-measured to fair value at each reporting date. | |||||||||||||||||
The Company’s preferred stock warrant liabilities by level within the fair value hierarchy were as follows: | |||||||||||||||||
As of December 31, 2012 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Preferred stock warrant liability | $ | — | $ | — | $ | 3,532 | $ | 3,532 | |||||||||
The Company may elect to apply fair value to its financial assets and liabilities on an instrument-by-instrument basis. The Company has not elected to apply the fair value option to any eligible financial assets or liabilities in 2013, 2012 or 2011. |
Significant_Accounting_Policie2
Significant Accounting Policies (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Accounting Policies [Abstract] | ' | ||||
Changes in Company's Warranty Reserve and Related Costs | ' | ||||
Changes in the Company’s warranty reserve and related costs were as follows: | |||||
(In thousands) | |||||
Warranty reserve, December 31, 2010 | $ | 63 | |||
Cost of warranty claims | (518 | ) | |||
Warranty accrual | 622 | ||||
Warranty reserve, December 31, 2011 | 167 | ||||
Cost of warranty claims | (244 | ) | |||
Warranty accrual | 325 | ||||
Warranty reserve, December 31, 2012 | 248 | ||||
Cost of warranty claims | (191 | ) | |||
Warranty accrual | 301 | ||||
Warranty reserve, December 31, 2013 | $ | 358 | |||
Shortterm_Investments_Tables
Short-term Investments (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Investments Debt And Equity Securities [Abstract] | ' | ||||||||||||||||
Short-term Investments Available-for-sale Securities | ' | ||||||||||||||||
Short-term investments consisted of available-for-sale securities at December 31, 2013 as follows: | |||||||||||||||||
Type of security | Amortized cost | Gross | Gross | Fair value | |||||||||||||
unrealized | unrealized | ||||||||||||||||
gains | losses | ||||||||||||||||
(In thousands) | |||||||||||||||||
U.S. government-related debt securities | $ | 1,565 | $ | 1 | $ | — | $ | 1,566 | |||||||||
Corporate debt securities | 31,128 | 24 | (3 | ) | 31,149 | ||||||||||||
Total available-for-sale securities | $ | 32,693 | $ | 25 | $ | (3 | ) | $ | 32,715 | ||||||||
Fair Values of Available-for-sale Securities by Contractual Maturity | ' | ||||||||||||||||
The fair values of available-for-sale securities by contractual maturity at December 31, 2013 were as follows (in thousands): | |||||||||||||||||
Maturing in one year or less | $ | 26,725 | |||||||||||||||
Maturing after one year through three years | 5,990 | ||||||||||||||||
Total available-for-sale securities | $ | 32,715 | |||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Company's Available-for-sale Securities by Level within Fair Value Hierarchy | ' | ||||||||||||||||
The Company’s available-for-sale securities by level within the fair value hierarchy were as follows: | |||||||||||||||||
As of December 31, 2013 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
Money market fund | $ | 8,454 | $ | — | $ | — | $ | 8,454 | |||||||||
Short-term investments: | |||||||||||||||||
U.S. government-related debt securities | — | 1,566 | — | 1,566 | |||||||||||||
Corporate debt securities | — | 31,149 | — | 31,149 | |||||||||||||
Total | $ | 8,454 | $ | 32,715 | $ | — | $ | 41,169 | |||||||||
As of December 31, 2012 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
Money market fund | $ | 20,510 | $ | — | $ | — | $ | 20,510 | |||||||||
Company's Preferred Stock Warrant Liabilities by Level within Fair Value Hierarchy | ' | ||||||||||||||||
The Company’s preferred stock warrant liabilities by level within the fair value hierarchy were as follows: | |||||||||||||||||
As of December 31, 2012 | Fair value measurement using: | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
(In thousands) | |||||||||||||||||
Preferred stock warrant liability | $ | — | $ | — | $ | 3,532 | $ | 3,532 | |||||||||
Inventory_Tables
Inventory (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Schedule of Inventory | ' | ||||||||
Inventory consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Raw materials | $ | 2,164 | $ | 2,120 | |||||
Work in process | 2,198 | 962 | |||||||
Finished goods | 2,388 | 2,298 | |||||||
$ | 6,750 | $ | 5,380 | ||||||
Prepaid_Expenses_and_Other_Tab
Prepaid Expenses and Other (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Text Block [Abstract] | ' | ||||||||
Prepaid Expenses and Other | ' | ||||||||
Prepaid expenses and other consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Prepaid royalties | $ | 163 | $ | 175 | |||||
Deposits for inventory | 1,577 | 883 | |||||||
Other | 1,259 | 262 | |||||||
$ | 2,999 | $ | 1,320 | ||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||||
Property and Equipment | ' | ||||||||||
Property and equipment consisted of the following at December 31: | |||||||||||
Useful Life | 2013 | 2012 | |||||||||
(Years) | |||||||||||
(In thousands) | |||||||||||
Manufacturing equipment | 5 | $ | 3,333 | $ | 2,854 | ||||||
Prototype systems | 2 | 1,893 | 1,893 | ||||||||
Computer equipment | 3 | 1,325 | 651 | ||||||||
Furniture and fixtures | 5 | 543 | 517 | ||||||||
Leasehold improvements | Various | 4,713 | 4,713 | ||||||||
Construction in progress | — | 14 | |||||||||
11,807 | 10,642 | ||||||||||
Less: Accumulated depreciation and amortization | (8,742 | ) | (6,968 | ) | |||||||
$ | 3,065 | $ | 3,674 | ||||||||
Accrued_Liabilities_Tables
Accrued Liabilities (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Accrued Liabilities | ' | ||||||||
Accrued liabilities consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Salaries and bonuses | $ | 4,701 | $ | 2,071 | |||||
Clinical study costs | 539 | 847 | |||||||
Accounting and legal | 272 | 491 | |||||||
Other accrued liabilities | 1,576 | 1,072 | |||||||
$ | 7,088 | $ | 4,481 | ||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Components of Borrowings, Including Current Portion | ' | ||||||||
Borrowings, including current portion, consisted of the following at December 31: | |||||||||
2013 | 2012 | ||||||||
(In thousands) | |||||||||
Landlord payable | $ | 49 | $ | 235 | |||||
Capital lease | 410 | — | |||||||
Term loans payable | 18,348 | 13,115 | |||||||
18,807 | 13,350 | ||||||||
Less: Unamortized debt discount | (514 | ) | (591 | ) | |||||
Current portion | (6,136 | ) | (2,789 | ) | |||||
Non-current portion | $ | 12,157 | $ | 9,970 | |||||
Scheduled Future Payments for Principal Obligations under Outstanding Debt Facilities | ' | ||||||||
Scheduled future payments for principal obligations under outstanding debt facilities were as follows at December 31: | |||||||||
2013 | |||||||||
(In thousands) | |||||||||
2014 | $ | 6,342 | |||||||
2015 | 7,458 | ||||||||
2016 | 5,007 | ||||||||
2017 | — | ||||||||
2018 | — | ||||||||
$ | 18,807 | ||||||||
Common_Stock_and_Preferred_Sto1
Common Stock and Preferred Stock (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Schedule of Madatorily Redeemable Convertible Preferred Stock | ' | ||||||||||||||||
Mandatorily redeemable convertible preferred stock at December 31, 2012 was as follows: | |||||||||||||||||
Mandatorily Redeemable | Shares | Shares | Liquidation | Book Value | |||||||||||||
Convertible Preferred Stock | Authorized | Outstanding | Preference | ||||||||||||||
(Amounts in thousands) | |||||||||||||||||
Series A | 564,083 | 557,339 | $ | 15,628 | $ | 15,605 | |||||||||||
Series B | 520,839 | 515,836 | 14,045 | 13,865 | |||||||||||||
Series C | 3,659,375 | 3,551,060 | 38,709 | 38,592 | |||||||||||||
Series D | 3,125,000 | 2,430,054 | 22,510 | 20,323 | |||||||||||||
Series E | 1,109,375 | 1,063,951 | 23,078 | 15,237 | |||||||||||||
8,978,672 | 8,118,240 | $ | 113,970 | $ | 103,622 | ||||||||||||
Carrying Value of Warrants to Purchase Shares of Company's Preferred Stock | ' | ||||||||||||||||
The following information summarizes the carrying value of the warrants to purchase shares of the Company’s preferred stock: | |||||||||||||||||
(In thousands) | |||||||||||||||||
Balance at December 31, 2010 | $ | 42 | |||||||||||||||
Issuance of preferred stock warrants | 2,528 | ||||||||||||||||
Warrant revaluation | (73 | ) | |||||||||||||||
Balance at December 31, 2011 | 2,497 | ||||||||||||||||
Issuance of preferred stock warrants | 648 | ||||||||||||||||
Warrant revaluation | 387 | ||||||||||||||||
Balance at December 31, 2012 | 3,532 | ||||||||||||||||
Issuance of preferred stock warrants | 138 | ||||||||||||||||
Warrant revaluation | (1,156 | ) | |||||||||||||||
Reclassification to common stock warrants | (2,514 | ) | |||||||||||||||
Balance at December 31, 2013 | $ | — | |||||||||||||||
Stock_Based_Compensation_Table
Stock Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Employee Stock Option Activity and Related Information | ' | ||||||||||||||||
A summary of the Company’s employee stock option activity and related information follows: | |||||||||||||||||
Shares | Weighted- | Weighted- | Aggregate | ||||||||||||||
average | average | intrinsic value | |||||||||||||||
exercise price | remaining | (in thousands) | |||||||||||||||
per share | contractual | ||||||||||||||||
term (in years) | |||||||||||||||||
Outstanding at December 31, 2012 | 1,686,179 | $ | 2.28 | 8.59 | $ | 7,486 | |||||||||||
Granted | 669,030 | 9.17 | |||||||||||||||
Canceled | (65,410 | ) | 2.24 | ||||||||||||||
Exercised | (177,165 | ) | 2.16 | ||||||||||||||
Outstanding at December 31, 2013 | 2,112,632 | $ | 4.47 | 8.12 | $ | 26,968 | |||||||||||
December 31, 2013: | |||||||||||||||||
Options vested and expected to vest | 2,087,810 | $ | 4.46 | 8.11 | $ | 26,687 | |||||||||||
Options exercisable | 872,414 | $ | 2.48 | 7.39 | $ | 12,875 | |||||||||||
Company's Options Outstanding | ' | ||||||||||||||||
The following table summarizes information about the Company’s options outstanding at December 31, 2013: | |||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||
Exercise Price | Number of | Weighted- | Number of | Weighted- | |||||||||||||
Shares | Average | Shares | Average | ||||||||||||||
Remaining | Remaining | ||||||||||||||||
Contractual | Contractual | ||||||||||||||||
Life in Years | Life in Years | ||||||||||||||||
$0.32 – 1.92 | 862,856 | 8.18 | 416,309 | 8.13 | |||||||||||||
2.24 – 3.84 | 457,740 | 6.48 | 369,142 | 6.41 | |||||||||||||
5.12 – 6.72 | 418,030 | 8.35 | 85,309 | 7.92 | |||||||||||||
8.96 – 12.50 | 374,006 | 9.73 | 1,654 | 9.79 | |||||||||||||
2,112,632 | 872,414 | ||||||||||||||||
Fair Value of Employee Option Grant | ' | ||||||||||||||||
The fair value of each employee option grant as of December 31 was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Risk-free interest rates | 1.05%–1.95% | 0.85%–1.44% | 2.2%–3.14% | ||||||||||||||
Expected term (years) | 6.25 | 6.25 | 6.25 | ||||||||||||||
Expected dividend yield | — | — | — | ||||||||||||||
Volatility | 57.0%–58.0% | 54.0%–61.0% | 73.00% | ||||||||||||||
Stock Compensation Expense | ' | ||||||||||||||||
Stock compensation expense for the years ended December 31 was as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Cost of revenue | $ | 49 | $ | 71 | $ | 4 | |||||||||||
Research and development | 273 | 204 | 26 | ||||||||||||||
Selling, general and administrative | 823 | 470 | 213 | ||||||||||||||
Total stock-based compensation expense | $ | 1,145 | $ | 745 | $ | 243 | |||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
Loss Before Income Taxes | ' | ||||||||||||||||
Loss before income taxes for the years ended December 31 consisted of the following: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Domestic | $ | (28,746 | ) | $ | (17,618 | ) | $ | (10,966 | ) | ||||||||
Foreign | (535 | ) | (90 | ) | 34 | ||||||||||||
Loss before income taxes | $ | (29,281 | ) | $ | (17,708 | ) | $ | (10,932 | ) | ||||||||
Income Tax Expense (Benefit) Differed from Amounts Computed by Applying Statutory Federal Income Tax Rate | ' | ||||||||||||||||
Income tax expense (benefit) differed from the amounts computed by applying the statutory federal income tax rate of 34% to pretax loss as a result of the following for the years ended December 31: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Income tax provision at statutory rate | $ | (9,955 | ) | $ | (6,021 | ) | $ | (3,717 | ) | ||||||||
Nondeductible items | (32 | ) | 349 | 25 | |||||||||||||
Change in tax credits | (893 | ) | 39 | (202 | ) | ||||||||||||
Change in valuation allowance | 10,965 | 5,894 | 3,963 | ||||||||||||||
Other | (85 | ) | (261 | ) | (69 | ) | |||||||||||
$ | — | $ | — | $ | — | ||||||||||||
Effect of Temporary Differences and Carryforwards | ' | ||||||||||||||||
The effect of temporary differences and carryforwards that give rise to deferred tax assets for the years ended December 31 were as follows: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Net operating loss carryforwards | $ | 31,989 | $ | 21,569 | |||||||||||||
Research and development tax credit carryforwards | 1,654 | 761 | |||||||||||||||
Other | 2,369 | 2,717 | |||||||||||||||
Total deferred tax assets | 36,012 | 25,047 | |||||||||||||||
Less: Valuation allowance | (36,012 | ) | (25,047 | ) | |||||||||||||
Net deferred tax assets | $ | — | $ | — | |||||||||||||
Summary of Changes in Deferred Tax Asset Valuation Allowance | ' | ||||||||||||||||
The table below summarizes changes in the deferred tax asset valuation allowance: | |||||||||||||||||
Balance at | Charged to | Write-offs | Balance at End | ||||||||||||||
Beginning | Costs and | of Year | |||||||||||||||
of Year | Expenses | ||||||||||||||||
(In thousands) | |||||||||||||||||
Deferred tax valuation allowance: | |||||||||||||||||
For year ended December 31, 2011 | $ | 15,190 | $ | 3,963 | $ | — | $ | 19,153 | |||||||||
For year ended December 31, 2012 | 19,153 | 5,894 | — | 25,047 | |||||||||||||
For year ended December 31, 2013 | 25,047 | 10,965 | — | 36,012 | |||||||||||||
Total Balance of Unrecognized Gross Tax Benefits | ' | ||||||||||||||||
The total balance of unrecognized gross tax benefits for the years ended December 31 was as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||
Unrecognized tax benefits at beginning of year | $ | 253 | $ | 267 | $ | 199 | |||||||||||
Additions (reductions) based on current year tax positions | 298 | (14 | ) | 68 | |||||||||||||
Unrecognized tax benefits at end of year | $ | 551 | $ | 253 | $ | 267 | |||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||
Future Minimum Lease Payments under Noncancelable Capital and Operating Leases | ' | ||||
Future minimum lease payments under noncancelable capital and operating leases as of December 31, 2013 were as follows: | |||||
(In thousands) | |||||
2014 | $ | 2,167 | |||
2015 | 2,295 | ||||
2016 | 1,520 | ||||
2017 | — | ||||
2018 | — | ||||
$ | 5,982 | ||||
Net_Loss_Per_Share_Tables
Net Loss Per Share (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Reconciliation of Numerator and Denominator Used in Computing Basic and Diluted Net Loss per Share | ' | ||||||||||||
The following table as of December 31 provides a reconciliation of the numerator and denominator used in computing basic and diluted net loss per share: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Numerator: | |||||||||||||
Net loss | $ | (29,281 | ) | $ | (17,708 | ) | $ | (10,932 | ) | ||||
Accretion of mandatorily redeemable convertible preferred stock | (4,653 | ) | (7,533 | ) | (5,251 | ) | |||||||
Net loss attributable to common stockholders | $ | (33,934 | ) | $ | (25,241 | ) | $ | (16,183 | ) | ||||
Denominator: | |||||||||||||
Weighted-average common shares outstanding-basic and diluted | 7,643 | 355 | 323 | ||||||||||
Outstanding Options, Warrants and Preferred Stock Excluded from Computation of Diluted Net Loss per Share | ' | ||||||||||||
The following outstanding options, warrants and preferred stock as of December 31 were excluded from the computation of diluted net loss per share for the periods presented because their effect would have been anti-dilutive: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
Options to purchase common stock | 2,113 | 1,686 | 686 | ||||||||||
Convertible preferred stock (as converted) | — | 8,631 | 7,567 | ||||||||||
Convertible preferred stock warrants (as converted) | — | 607 | 509 | ||||||||||
Common stock warrant | 618 | — | 1 |
Information_about_Geographic_A1
Information about Geographic Areas (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Abstract] | ' | ||||||||||||
Classification of Revenue by Geography | ' | ||||||||||||
The following table is based on the geographic location of distributors or end users who purchased products and services. For sales to distributors, their geographic location may be different from the geographic locations of the ultimate end user. Revenue by geography as of December 31 was as follows: | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
(In thousands) | |||||||||||||
North America | $ | 21,855 | $ | 15,906 | $ | 14,044 | |||||||
Europe & Middle East | 5,775 | 4,167 | 2,918 | ||||||||||
Asia Pacific | 3,773 | 2,900 | 838 | ||||||||||
Total revenue | $ | 31,403 | $ | 22,973 | $ | 17,800 | |||||||
Condensed_Quarterly_Financial_1
Condensed Quarterly Financial Data (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of Condensed Quarterly Financial Data | ' | ||||||||||||||||
The operating results for any quarter are not necessarily indicative of results for any future period. | |||||||||||||||||
Three months ended | |||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
(in thousands, except per share data) | |||||||||||||||||
2013 | |||||||||||||||||
Total revenue | $ | 5,676 | $ | 7,218 | $ | 8,389 | $ | 10,120 | |||||||||
Net loss attributable to common stockholders | $ | (9,601 | ) | $ | (7,806 | ) | $ | (7,700 | ) | $ | (8,827 | ) | |||||
Net loss per share—basic and diluted | $ | (17.88 | ) | $ | (13.69 | ) | $ | (0.53 | ) | $ | (0.60 | ) | |||||
2012 | |||||||||||||||||
Total revenue | $ | 4,502 | $ | 5,943 | $ | 6,035 | $ | 6,493 | |||||||||
Net loss attributable to common stockholders | $ | (5,403 | ) | $ | (5,415 | ) | $ | (6,544 | ) | $ | (7,879 | ) | |||||
Net loss per share—basic and diluted | $ | (16.52 | ) | $ | (16.02 | ) | $ | (18.28 | ) | $ | (19.85 | ) |
Description_of_the_Business_Ad
Description of the Business - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |
Jun. 25, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
Accounting Policies [Abstract] | ' | ' | ' |
Reverse stock split of common stock and preferred stock | ' | '1-for-32 | ' |
Initial public offering, shares sold | 5,400,000 | ' | ' |
Common stock price per share | $10 | $0.00 | $0.00 |
Preferred stock, shares outstanding | 0 | 0 | 0 |
Significant_Accounting_Policie3
Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Segment | |||
Significant Accounting Policies [Line Items] | ' | ' | ' |
Allowance for doubtful accounts | $0 | $0 | ' |
Impairment losses on long-lived assets | 0 | ' | ' |
Deferred offering costs | 29,000 | 1,765,000 | ' |
Number of reportable segments | 2 | ' | ' |
Extended warranties description | 'The Company offers extended warranties on its nCounter Analysis System for periods ranging from 12 to 36 months after the end of the standard 12-month warranty period. | ' | ' |
Standard warranty period | '12 months | ' | ' |
Product warranty accrual period | '1 year | ' | ' |
Advertising costs | $3,300,000 | $590,000 | $417,000 |
Minimum [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Extended warranty period | '12 months | ' | ' |
Maximum [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Extended warranty period | '36 months | ' | ' |
Manufacturing Equipment [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives of the assets | '5 years | ' | ' |
Furniture and Fixtures [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives of the assets | '5 years | ' | ' |
Computer Equipment [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Estimated useful lives of the assets | '3 years | ' | ' |
Sales Transactions [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Percentage used to determine discount for standalone sales | 15.00% | ' | ' |
Total Revenue [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Concentration risk, percentage | 10.00% | ' | ' |
Number of customers that individually represented more than 10% of total revenue | 0 | 0 | 0 |
Total Accounts Receivable [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Concentration risk, percentage | 10.00% | ' | ' |
Number of customers that represented more than 10% of total accounts receivable | 0 | 0 | ' |
Significant_Accounting_Policie4
Significant Accounting Policies - Changes in Company's Warranty Reserve and Related Costs (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Regulatory Assets [Abstract] | ' | ' | ' |
Warranty reserve, beginning balance | $248 | $167 | $63 |
Cost of warranty claims | -191 | -244 | -518 |
Warranty accrual | 301 | 325 | 622 |
Warranty reserve, ending balance | $358 | $248 | $167 |
Shortterm_Investments_Shortter
Short-term Investments - Short-term Investments Available-for-sale Securities (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Schedule Of Short Term Investments And Available For Sale Securities [Line Items] | ' |
Amortized cost | $32,693 |
Gross unrealized gains | 25 |
Gross unrealized losses | -3 |
Fair value | 32,715 |
U.S. Government-related Debt Securities [Member] | ' |
Schedule Of Short Term Investments And Available For Sale Securities [Line Items] | ' |
Amortized cost | 1,565 |
Gross unrealized gains | 1 |
Gross unrealized losses | ' |
Fair value | 1,566 |
Corporate Debt Securities [Member] | ' |
Schedule Of Short Term Investments And Available For Sale Securities [Line Items] | ' |
Amortized cost | 31,128 |
Gross unrealized gains | 24 |
Gross unrealized losses | -3 |
Fair value | $31,149 |
Shortterm_Investments_Fair_Val
Short-term Investments - Fair Values of Available-for-sale Securities by Contractual Maturity (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Short Term Investments Classified By Security Type [Abstract] | ' |
Maturing in one year or less | $26,725 |
Maturing after one year through three years | 5,990 |
Fair value | $32,715 |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments - Company's Available-for-sale Securities by Level within Fair Value Hierarchy (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | $41,169 | ' |
Money Market Fund [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 8,454 | 20,510 |
Short-term Investments [Member] | U.S. Government-related Debt Securities [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 1,566 | ' |
Short-term Investments [Member] | Corporate Debt Securities [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 31,149 | ' |
Level 1 [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 8,454 | ' |
Level 1 [Member] | Money Market Fund [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 8,454 | 20,510 |
Level 2 [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 32,715 | ' |
Level 2 [Member] | Money Market Fund [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | ' | ' |
Level 2 [Member] | Short-term Investments [Member] | U.S. Government-related Debt Securities [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 1,566 | ' |
Level 2 [Member] | Short-term Investments [Member] | Corporate Debt Securities [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | 31,149 | ' |
Level 3 [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | ' | ' |
Level 3 [Member] | Money Market Fund [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | ' | ' |
Level 3 [Member] | Short-term Investments [Member] | U.S. Government-related Debt Securities [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | ' | ' |
Level 3 [Member] | Short-term Investments [Member] | Corporate Debt Securities [Member] | ' | ' |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ' | ' |
Assets at fair value | ' | ' |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments - Company's Preferred Stock Warrant Liabilities by Level within Fair Value Hierarchy (Detail) (USD $) | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |
Fair Value Assets And Liabilities Components [Line Items] | ' |
Preferred stock warrant liability | $3,532 |
Level 1 [Member] | ' |
Fair Value Assets And Liabilities Components [Line Items] | ' |
Preferred stock warrant liability | ' |
Level 2 [Member] | ' |
Fair Value Assets And Liabilities Components [Line Items] | ' |
Preferred stock warrant liability | ' |
Level 3 [Member] | ' |
Fair Value Assets And Liabilities Components [Line Items] | ' |
Preferred stock warrant liability | $3,532 |
Inventory_Schedule_of_Inventor
Inventory - Schedule of Inventory (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Raw materials | $2,164 | $2,120 |
Work in process | 2,198 | 962 |
Finished goods | 2,388 | 2,298 |
Inventory, net | $6,750 | $5,380 |
Prepaid_Expenses_and_Other_Pre
Prepaid Expenses and Other - Prepaid Expenses and Other (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ' | ' |
Prepaid royalties | $163 | $175 |
Deposits for inventory | 1,577 | 883 |
Other | 1,259 | 262 |
Total prepaid expenses and other | $2,999 | $1,320 |
Property_and_Equipment_Propert
Property and Equipment - Property and Equipment (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, gross | $11,807 | $10,642 |
Less: Accumulated depreciation and amortization | -8,742 | -6,968 |
Property and Equipment, net | 3,065 | 3,674 |
Manufacturing Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Useful Life | '5 years | ' |
Property and Equipment, gross | 3,333 | 2,854 |
Prototype Systems [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Useful Life | '2 years | ' |
Property and Equipment, gross | 1,893 | 1,893 |
Computer Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Useful Life | '3 years | ' |
Property and Equipment, gross | 1,325 | 651 |
Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Useful Life | '5 years | ' |
Property and Equipment, gross | 543 | 517 |
Leasehold Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Useful Life | 'Various | ' |
Property and Equipment, gross | 4,713 | 4,713 |
Construction in Progress [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, gross | ' | $14 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Property Plant And Equipment [Abstract] | ' | ' | ' |
Depreciation and amortization expense | $1.80 | $1.90 | $1.50 |
Accrued_Liabilities_Accrued_Li
Accrued Liabilities - Accrued Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Other Liabilities Disclosure [Abstract] | ' | ' |
Salaries and bonuses | $4,701 | $2,071 |
Clinical study costs | 539 | 847 |
Accounting and legal | 272 | 491 |
Other accrued liabilities | 1,576 | 1,072 |
Total accrued liabilities | $7,088 | $4,481 |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | |||||||||
Dec. 31, 2013 | Apr. 30, 2013 | Dec. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Apr. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2013 | |
Installment | Term Loan Facility [Member] | Term Loan Facility [Member] | Term Loan Facility [Member] | Accounts Receivable Facility [Member] | Term Loan [Member] | LIBOR Rate [Member] | Prime Rate [Member] | Prime Rate [Member] | Series E Preferred Stock [Member] | Series E Preferred Stock [Member] | Series E Preferred Stock [Member] | Series E Preferred Stock [Member] | Series D Preferred Stock [Member] | Equipment [Member] | Office Building Lease [Member] | |
Term Loan [Member] | Term Loan [Member] | Term Loan [Member] | Minimum [Member] | Maximum [Member] | ||||||||||||
Proforma Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility, borrowing capacity | ' | ' | ' | $23,000,000 | $2,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility, due date | ' | ' | ' | ' | ' | '2016-07 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility, interest rate | ' | ' | ' | ' | ' | ' | 8.39% | 3.70% | ' | ' | ' | ' | ' | ' | ' | ' |
Floor rate | ' | ' | ' | ' | ' | ' | 0.50% | 6.95% | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate at end of period | ' | ' | ' | ' | ' | ' | ' | ' | 3.25% | ' | ' | ' | ' | ' | ' | ' |
Percentage of fee payment on unused portion of revolver borrowings | 0.08% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of installments | 30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of principal at the end of term payment | 5.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit facility, additional borrowing capacity | ' | 5,000,000 | 13,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit facility, interest rate | ' | 8.89% | 8.89% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares issuable upon exercise of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,418 | 20,837 | ' | ' | 76,940 | ' | ' |
Exercise price of warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14.4 | ' | ' | 8.45 | ' | ' |
Warrant term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' |
Fair value of warrants on the date of issuance | ' | ' | ' | ' | ' | ' | ' | ' | ' | 138,000 | 648,000 | ' | ' | ' | ' | ' |
Fair value of warrants, volatility rate assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | 57.00% | ' | 58.00% | 61.00% | ' | ' | ' |
Fair value of warrants, risk free rate assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.70% | ' | 1.63% | 2.20% | ' | ' | ' |
Term of lease | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '5 years |
Lease expiration date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2016-07 | ' |
Amount financed under lease | $410,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $410,000 | $843,000 |
Interest rate accrues on the unpaid balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% |
LongTerm_Debt_Components_of_Bo
Long-Term Debt - Components of Borrowings, Including Current Portion (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ' | ' |
Landlord payable | $49 | $235 |
Capital lease | 410 | ' |
Term loans payable | 18,348 | 13,115 |
Long-term debt | 18,807 | 13,350 |
Less: Unamortized debt discount | -514 | -591 |
Current portion | -6,136 | -2,789 |
Non-current portion | $12,157 | $9,970 |
LongTerm_Debt_Scheduled_Future
Long-Term Debt - Scheduled Future Payments for Principal Obligations under Outstanding Debt Facilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ' | ' |
2014 | $6,342 | ' |
2015 | 7,458 | ' |
2016 | 5,007 | ' |
2017 | ' | ' |
2018 | ' | ' |
Long-term debt | $18,807 | $13,350 |
Common_Stock_and_Preferred_Sto2
Common Stock and Preferred Stock - Additional Information (Detail) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 25, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 30, 2013 | Dec. 31, 2013 |
Stock | Series A Preferred Stock [Member] | Series A Preferred Stock [Member] | Series B Preferred Stock [Member] | Series B Preferred Stock [Member] | Series C Preferred Stock [Member] | Series C Preferred Stock [Member] | Series D Preferred Stock [Member] | Series D Preferred Stock [Member] | Series E Preferred Stock [Member] | Series E Preferred Stock [Member] | Series E Preferred Stock [Member] | Mandatorily Redeemable Convertible Preferred Stock [Member] | ||||
Common And Preferred Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Conversion of Convertible Preferred Stock Into Common Stock, Shares | 8,631,427 | 8,631,427 | ' | ' | -557,339 | ' | -515,836 | ' | -3,551,060 | ' | -2,430,054 | ' | -1,063,951 | ' | ' | ' |
Each share of common stock is entitled to vote | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock, shares authorized | 15,000,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock, shares issued | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock, shares outstanding | 0 | 0 | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption terms | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'At any time after November 29, 2017 and upon 30 day notice from the holders of 65% of the outstanding Preferred Stock |
Preferred stock, redemption date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 29-Nov-17 |
Preferred stock, redemption notice period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '30 days |
Holders outstanding preferred stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 65.00% |
Accretion of mandatorily redeemable convertible preferred stock | $4,653 | $7,533 | $5,251 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred Stock, redemption rate | 8.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock converted into common stock on a basis | ' | ' | ' | ' | ' | '1.403030-for-one basis | ' | '1.559429-for-one basis | ' | 'One-for-one basis | ' | 'One-for-one basis | ' | 'One-for-one basis | ' | ' |
Warrants to purchase convertible preferred stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 604,563 | ' | ' |
Shares of convertible preferred stocks called by warrants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,418 | ' |
Preferred stock warrants, exercisable period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' |
Preferred stock warrants were converted into warrants to purchase common stock | 617,605 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise price of common stock warrants | $8.78 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common_Stock_and_Preferred_Sto3
Common Stock and Preferred Stock - Schedule of Mandatorily Redeemable Convertible Preferred Stock (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, except Share data, unless otherwise specified | ||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Authorized | 8,978,672 | 8,978,672 | ' | ' |
Shares Outstanding | 0 | 8,118,240 | ' | ' |
Series A Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Outstanding | ' | 557,339 | 557,339 | 557,339 |
Book Value | ' | $15,605 | $14,383 | $13,250 |
Series B Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Outstanding | ' | 515,836 | 515,836 | 515,836 |
Book Value | ' | 13,865 | 12,793 | 11,800 |
Series C Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Outstanding | ' | 3,551,060 | 3,551,060 | 3,551,060 |
Book Value | ' | 38,592 | 35,614 | 32,837 |
Series D Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Outstanding | ' | 2,430,054 | 2,430,054 | ' |
Book Value | ' | 20,323 | 18,167 | ' |
Series E Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Outstanding | ' | 1,063,951 | ' | ' |
Book Value | ' | 15,237 | ' | ' |
Mandatorily Redeemable [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Authorized | ' | 8,978,672 | ' | ' |
Shares Outstanding | ' | 8,118,240 | ' | ' |
Liquidation Preference | ' | 113,970 | ' | ' |
Book Value | ' | 103,622 | ' | ' |
Mandatorily Redeemable [Member] | Series A Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Authorized | ' | 564,083 | ' | ' |
Shares Outstanding | ' | 557,339 | ' | ' |
Liquidation Preference | ' | 15,628 | ' | ' |
Book Value | ' | 15,605 | ' | ' |
Mandatorily Redeemable [Member] | Series B Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Authorized | ' | 520,839 | ' | ' |
Shares Outstanding | ' | 515,836 | ' | ' |
Liquidation Preference | ' | 14,045 | ' | ' |
Book Value | ' | 13,865 | ' | ' |
Mandatorily Redeemable [Member] | Series C Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Authorized | ' | 3,659,375 | ' | ' |
Shares Outstanding | ' | 3,551,060 | ' | ' |
Liquidation Preference | ' | 38,709 | ' | ' |
Book Value | ' | 38,592 | ' | ' |
Mandatorily Redeemable [Member] | Series D Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Authorized | ' | 3,125,000 | ' | ' |
Shares Outstanding | ' | 2,430,054 | ' | ' |
Liquidation Preference | ' | 22,510 | ' | ' |
Book Value | ' | 20,323 | ' | ' |
Mandatorily Redeemable [Member] | Series E Preferred Stock [Member] | ' | ' | ' | ' |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | ' | ' | ' | ' |
Shares Authorized | ' | 1,109,375 | ' | ' |
Shares Outstanding | ' | 1,063,951 | ' | ' |
Liquidation Preference | ' | 23,078 | ' | ' |
Book Value | ' | $15,237 | ' | ' |
Common_Stock_and_Preferred_Sto4
Common Stock and Preferred Stock - Carrying Value of Warrants to Purchase Shares of Preferred Stock (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Equity [Abstract] | ' | ' | ' |
Beginning balance | $3,532 | $2,497 | $42 |
Issuance of preferred stock warrants | 138 | 648 | 2,528 |
Warrant revaluation | -1,156 | 387 | -73 |
Reclassification to common stock warrants | -2,514 | ' | ' |
Ending balance | ' | $3,532 | $2,497 |
Stock_Based_Compensation_Addit
Stock Based Compensation - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Fair value of stock options vested | $920,000 | ' | ' |
Options, granted | 669,030 | ' | ' |
Weighted-average grant date fair value | 5.3 | 1.59 | 1.83 |
Exercised, aggregate intrinsic value | 681,000 | 161,000 | 0 |
Unrecognized compensation cost | $4,100,000 | ' | ' |
Unrecognized compensation cost, weighted-average recognized period | '3 years | ' | ' |
Exercise Prices that Were Less than the Estimated per Share Value [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options, granted | 101,487 | 988,268 | ' |
2004 Stock Option Plan and 2013 Equity Incentive Plan [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Number of common shares authorized for issuance | 3,948,533 | ' | ' |
Stock options grant period, years | '10 years | ' | ' |
Stock options vesting period and exercisable period, years | '4 years | ' | ' |
Stock_Based_Compensation_Emplo
Stock Based Compensation - Employee Stock Option Activity and Related Information (Detail) (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' |
Shares outstanding, beginning balance | 1,686,179 | ' |
Shares, granted | 669,030 | ' |
Shares, cancelled | -65,410 | ' |
Shares, exercised | -177,165 | ' |
Shares outstanding, ending balance | 2,112,632 | 1,686,179 |
Shares, options vested and expected to vest | 2,087,810 | ' |
Shares, options exercisable | 872,414 | ' |
Outstanding weighted-average exercise price per share, beginning balance | $2.28 | ' |
Weighted-average exercise price per share, granted | $9.17 | ' |
Weighted-average exercise price per share, cancelled | $2.24 | ' |
Weighted-average exercise price per share, exercised | $2.16 | ' |
Weighted-average exercise price per share, ending balance | $4.47 | $2.28 |
Options vested and expected to vest | $4.46 | ' |
Options exercisable | $2.48 | ' |
Outstanding weighted-average remaining contractual life | '8 years 1 month 13 days | '8 years 7 months 2 days |
Weighted-average remaining contractual term, options vested and expected to vest | '8 years 1 month 10 days | ' |
Weighted-average remaining contractual term, options exercisable | '7 years 4 months 21 days | ' |
Outstanding aggregate intrinsic value, ending balance | $26,968 | $7,486 |
Aggregate intrinsic value, options vested and expected to vest | 26,687 | ' |
Aggregate intrinsic value, options exercisable | $12,875 | ' |
Stock_Based_Compensation_Compa
Stock Based Compensation - Company's Options Outstanding (Detail) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options outstanding - Number of Shares | 2,112,632 |
Options exercisable - Number of Shares | 872,414 |
Exercise Price Range 0.32 -1.92 [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price, Minimum | $0.32 |
Exercise Price, Maximum | $1.92 |
Options outstanding - Number of Shares | 862,856 |
Options outstanding -Weighted- Average Remaining Contractual Life in Years | '8 years 2 months 5 days |
Options exercisable - Number of Shares | 416,309 |
Options exercisable Weighted- Average Remaining Contractual Life in Years | '8 years 1 month 17 days |
Exercise Price Range 2.24 -3.84 [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price, Minimum | $2.24 |
Exercise Price, Maximum | $3.84 |
Options outstanding - Number of Shares | 457,740 |
Options outstanding -Weighted- Average Remaining Contractual Life in Years | '6 years 5 months 23 days |
Options exercisable - Number of Shares | 369,142 |
Options exercisable Weighted- Average Remaining Contractual Life in Years | '6 years 4 months 28 days |
Exercise Price Range 5.12 - 6.72 [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price, Minimum | $5.12 |
Exercise Price, Maximum | $6.72 |
Options outstanding - Number of Shares | 418,030 |
Options outstanding -Weighted- Average Remaining Contractual Life in Years | '8 years 4 months 6 days |
Options exercisable - Number of Shares | 85,309 |
Options exercisable Weighted- Average Remaining Contractual Life in Years | '7 years 11 months 1 day |
Exercise Price Range 8.96 - 12.50 [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price, Minimum | $8.96 |
Exercise Price, Maximum | $12.50 |
Options outstanding - Number of Shares | 374,006 |
Options outstanding -Weighted- Average Remaining Contractual Life in Years | '9 years 8 months 23 days |
Options exercisable - Number of Shares | 1,654 |
Options exercisable Weighted- Average Remaining Contractual Life in Years | '9 years 9 months 15 days |
Stock_Based_Compensation_Fair_
Stock Based Compensation - Fair Value of Employee Option Grant (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' | ' |
Risk-free interest rates, minimum | 1.05% | 0.85% | 2.20% |
Risk-free interest rates, maximium | 1.95% | 1.44% | 3.14% |
Expected term (years) | '6 years 3 months | '6 years 3 months | '6 years 3 months |
Expected dividend yield | ' | ' | ' |
Volatility, minimum | 57.00% | 54.00% | 73.00% |
Volatility, maximium | 58.00% | 61.00% | ' |
Stock_Based_Compensation_Stock
Stock Based Compensation - Stock Compensation Expense (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Stock Based Compensation [Line Items] | ' | ' | ' |
Stock-based compensation expense | $1,145 | $745 | $243 |
Cost of Revenue [Member] | ' | ' | ' |
Stock Based Compensation [Line Items] | ' | ' | ' |
Stock-based compensation expense | 49 | 71 | 4 |
Research and Development [Member] | ' | ' | ' |
Stock Based Compensation [Line Items] | ' | ' | ' |
Stock-based compensation expense | 273 | 204 | 26 |
Selling, General and Administrative [Member] | ' | ' | ' |
Stock Based Compensation [Line Items] | ' | ' | ' |
Stock-based compensation expense | $823 | $470 | $213 |
Income_Taxes_Loss_Before_Incom
Income Taxes - Loss Before Income Taxes (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Domestic | ($28,746) | ($17,618) | ($10,966) |
Foreign | -535 | -90 | 34 |
Loss before income taxes | ($29,281) | ($17,708) | ($10,932) |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Income Taxes And Tax Related [Line Items] | ' |
Statutory federal income tax rate | 34.00% |
Net operating loss carryforwards | $92.60 |
Research and development tax credit carryforwards | $2.20 |
Open for examination | '2004 |
Minimum [Member] | ' |
Income Taxes And Tax Related [Line Items] | ' |
Operating loss carryforwards expiration year | '2023 |
Maximum [Member] | ' |
Income Taxes And Tax Related [Line Items] | ' |
Operating loss carryforwards expiration year | '2033 |
Income_Taxes_Income_Tax_Expens
Income Taxes - Income Tax Expense (Benefit) Differed from Amounts Computed by Applying Statutory Federal Income Tax Rate (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Income tax provision at statutory rate | ($9,955) | ($6,021) | ($3,717) |
Nondeductible items | -32 | 349 | 25 |
Change in tax credits | -893 | 39 | -202 |
Change in valuation allowance | 10,965 | 5,894 | 3,963 |
Other | -85 | -261 | -69 |
Income tax expense (benefit) | ' | ' | ' |
Income_Taxes_Effect_of_Tempora
Income Taxes - Effect of Temporary Differences and Carryforwards (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ' | ' |
Net operating loss carryforwards | $31,989 | $21,569 |
Research and development tax credit carryforwards | 1,654 | 761 |
Other | 2,369 | 2,717 |
Total deferred tax assets | 36,012 | 25,047 |
Less: Valuation allowance | -36,012 | -25,047 |
Net deferred tax assets | ' | ' |
Income_Taxes_Summary_of_Change
Income Taxes - Summary of Changes in Deferred Tax Asset Valuation Allowance (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Balance at Beginning of Year | $25,047 | $19,153 | $15,190 |
Charged to Costs and Expenses | 10,965 | 5,894 | 3,963 |
Write-offs | ' | ' | ' |
Balance at End of Year | $36,012 | $25,047 | $19,153 |
Income_Taxes_Total_Balance_of_
Income Taxes - Total Balance of Unrecognized Gross Tax Benefits (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Unrecognized tax benefits at beginning of year | $253 | $267 | $199 |
Additions (reductions) based on current year tax positions | 298 | -14 | 68 |
Unrecognized tax benefits at end of year | $551 | $253 | $267 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Commitments And Contingencies Disclosure [Abstract] | ' | ' | ' |
Operating lease agreement rent expense | $1,200,000 | $856,000 | $807,000 |
Annual lease rent obligated to pay | 264,000 | ' | ' |
Percentage of increase in annual base rent | 2.50% | ' | ' |
Initial term of lease | '31 months | ' | ' |
Operating lease agreement expiration extended date | '2016-08 | ' | ' |
Operating lease commencement | '2014-02 | ' | ' |
Purchase obligations | $3,000,000 | ' | ' |
Commitments_and_Contingencies_2
Commitments and Contingencies - Future Minimum Lease Payments under Noncancelable Capital and Operating Leases (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Commitments And Contingencies Disclosure [Abstract] | ' |
2014 | $2,167 |
2015 | 2,295 |
2016 | 1,520 |
2017 | ' |
2018 | ' |
Total | $5,982 |
Net_Loss_Per_Share_Reconciliat
Net Loss Per Share - Reconciliation of Numerator and Denominator Used in Computing Basic and Diluted Net Loss per Share (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Numerator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | ' | ' | ' | ' | ' | ' | ' | ' | ($29,281) | ($17,708) | ($10,932) |
Accretion of mandatorily redeemable convertible preferred stock | ' | ' | ' | ' | ' | ' | ' | ' | -4,653 | -7,533 | -5,251 |
Net loss attributable to common stockholders | ($8,827) | ($7,700) | ($7,806) | ($9,601) | ($7,879) | ($6,544) | ($5,415) | ($5,403) | ($33,934) | ($25,241) | ($16,183) |
Denominator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average common shares outstanding-basic and diluted | ' | ' | ' | ' | ' | ' | ' | ' | 7,643 | 355 | 323 |
Net_Loss_Per_Share_Outstanding
Net Loss Per Share - Outstanding Options, Warrants and Preferred Stock Excluded from Computation of Diluted Net Loss per Share (Detail) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Options to Purchase Common Stock [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Outstanding options, warrants and preferred stock excluded from computation of diluted net loss per share | 2,113 | 1,686 | 686 |
Convertible Preferred Stock (as Converted) [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Outstanding options, warrants and preferred stock excluded from computation of diluted net loss per share | ' | 8,631 | 7,567 |
Convertible Preferred Stock Warrants (as Converted) [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Outstanding options, warrants and preferred stock excluded from computation of diluted net loss per share | ' | 607 | 509 |
Common Stock Warrant [Member] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' |
Outstanding options, warrants and preferred stock excluded from computation of diluted net loss per share | 618 | ' | 1 |
Information_about_Geographic_A2
Information about Geographic Areas - Classification of Revenue by Geography (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | $10,120 | $8,389 | $7,218 | $5,676 | $6,493 | $6,035 | $5,943 | $4,502 | $31,403 | $22,973 | $17,800 |
North America [Member] | Reportable Geographical Components [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 21,855 | 15,906 | 14,044 |
Europe & Middle East [Member] | Reportable Geographical Components [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 5,775 | 4,167 | 2,918 |
Asia Pacific [Member] | Reportable Geographical Components [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | $3,773 | $2,900 | $838 |
Information_about_Geographic_A3
Information about Geographic Areas - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | $10,120 | $8,389 | $7,218 | $5,676 | $6,493 | $6,035 | $5,943 | $4,502 | $31,403 | $22,973 | $17,800 |
United States [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | $19,300 | $14,900 | $13,500 |
Condensed_Quarterly_Financial_2
Condensed Quarterly Financial Data (unaudited) - Schedule of Condensed Quarterly Financial Data (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | $10,120 | $8,389 | $7,218 | $5,676 | $6,493 | $6,035 | $5,943 | $4,502 | $31,403 | $22,973 | $17,800 |
Net loss attributable to common stockholders | ($8,827) | ($7,700) | ($7,806) | ($9,601) | ($7,879) | ($6,544) | ($5,415) | ($5,403) | ($33,934) | ($25,241) | ($16,183) |
Net loss per share-basic and diluted | ($0.60) | ($0.53) | ($13.69) | ($17.88) | ($19.85) | ($18.28) | ($16.02) | ($16.52) | ($4.44) | ($71.10) | ($50.10) |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | 1 Months Ended | |||||
Jun. 25, 2013 | Dec. 31, 2013 | Apr. 30, 2013 | Dec. 31, 2012 | Feb. 28, 2014 | Jan. 31, 2014 | Jan. 31, 2014 | Jan. 31, 2014 | |
Term Loan Facility [Member] | Term Loan Facility [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | |||
Term Loan Facility [Member] | Term Loan Facility [Member] | |||||||
Option 1 [Member] | ||||||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Underwritten public offering, shares sold | 5,400,000 | ' | ' | ' | ' | 2,972,972 | ' | ' |
Proceeds from underwritten public offering | ' | $46,820,000 | ' | ' | ' | $55,000,000 | ' | ' |
Underwriters partially exercised an overallotment option, shares | ' | ' | ' | ' | 345,945 | ' | ' | ' |
Underwriters partially exercised an overallotment option, additional gross proceeds | ' | ' | ' | ' | 6,400,000 | ' | ' | ' |
Proceeds from underwritten public offering after commissions | ' | ' | ' | ' | 57,000,000 | ' | ' | ' |
Credit facility, additional borrowing capacity | ' | ' | $5,000,000 | $13,000,000 | ' | ' | $45,000,000 | $52,000,000 |