NanoString (NSTG) 10-Q 15 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2014	12-May-14
Document And Entity Information [Abstract]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	31-Mar-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'
Trading Symbol	'NSTG	'
Entity Registrant Name	'NANOSTRING TECHNOLOGIES INC	'
Entity Central Index Key	'0001401708	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Non-accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	18,064,577

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$28,973	$9,941
Short-term investments	56,837	32,715
Accounts receivable, net	7,429	8,331
Inventory	7,522	6,750
Prepaid expenses and other	3,567	2,999
Total current assets	104,328	60,736
Restricted cash	142	201
Deferred offering costs	'	29
Property and equipment, net	3,118	3,065
Other assets	205	341
Total assets	107,793	64,372
Current liabilities:	'	'
Accounts payable	2,619	3,354
Accrued liabilities	5,437	7,088
Deferred revenue, current portion	1,292	1,462
Deferred rent, current portion	605	590
Long-term debt, current portion	6,772	6,136
Total current liabilities	16,725	18,630
Deferred revenue, net of current portion	756	803
Deferred rent, net of current portion	1,168	1,313
Long-term debt, net of current portion	10,533	12,157
Total liabilities	29,182	32,903
Commitment and contingencies	'	'
Stockholders' equity:	'	'
Preferred stock, $0.0001 par value, 15,000 shares authorized; none issued	'	'
Common stock, $0.0001 par value, 150,000 shares authorized; 18,053 and 14,620 shares issued and outstanding, respectively	2	1
Additional paid-in-capital	216,854	158,278
Other comprehensive income	9	22
Accumulated deficit	-138,254	-126,832
Total stockholders' equity	78,611	31,469
Total liabilities and stockholders' equity	$107,793	$64,372

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, except Per Share data, unless otherwise specified
Statement Of Financial Position [Abstract]	'	'
Preferred stock, par value	$0.00	$0.00
Preferred stock, shares authorized	15,000	15,000
Preferred stock, shares issued	0	0
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	150,000	150,000
Common stock, shares issued	18,053	14,620
Common stock, shares outstanding	18,053	14,620

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Income Statement [Abstract]	'	'
Revenue	$8,751	$5,676
Costs and expenses:	'	'
Cost of revenue	4,325	2,882
Research and development	4,732	3,059
Selling, general and administrative	10,674	6,126
Total costs and expenses	19,731	12,067
Loss from operations	-10,980	-6,391
Other income (expense):	'	'
Interest income	64	3
Interest expense	-536	-385
Other expense	30	-4
Revaluation of preferred stock warrant liability	'	-482
Total other expense	-442	-868
Net loss	-11,422	-7,259
Accretion of mandatorily redeemable convertible preferred stock	'	-2,342
Net loss attributable to common stockholders	($11,422)	($9,601)
Net loss per share - basic and diluted	($0.68)	($17.88)
Shares used in computing basic and diluted net loss per share	16,917	537

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Comprehensive Loss (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Statement Of Income And Comprehensive Income [Abstract]	'	'
Net loss	($11,422)	($7,259)
Unrealized loss on short-term investments	-13	'
Comprehensive loss	($11,435)	($7,259)

Condensed_Consolidated_Stateme2

Condensed Consolidated Statements of Cash Flows (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Operating activities	'	'
Net loss	($11,422)	($7,259)
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	396	464
Amortization of debt discount	51	51
Stock-based compensation	1,039	231
Revaluation of preferred stock warrant liability	'	482
Net amortization of premium on short-term investments	-173	'
Interest accrued on long-term notes	88	79
Loss on disposal of property and equipment	'	1
Gain on sale of investments	-2	'
Changes in operating assets and liabilities	'	'
Accounts receivable	902	-1,034
Inventory	-772	43
Prepaid expenses and other	-568	-842
Other assets	136	9
Accounts payable	-735	-62
Accrued liabilities	-1,651	-1,201
Deferred revenue	-217	211
Deferred rent	-130	-183
Net cash used in operating activities	-13,058	-9,010
Investing activities	'	'
Purchases of property and equipment	-446	-136
Decrease in restricted cash	59	'
Proceeds from maturity of short-term investments	5,671	'
Purchase of short-term investments	-29,631	'
Net cash used in investing activities	-24,347	-136
Financing activities	'	'
Net proceeds from public offering	57,016	'
Proceeds from employee stock purchase plan	442	'
Repayment of long-term debt	-1,129	-55
Deferred offering costs	'	-1,019
Proceeds from exercise of stock options	108	322
Net cash provided by (used in) financing activities	56,437	-752
Net increase (decrease) in cash and cash equivalents	19,032	-9,898
Cash and cash equivalents	'	'
Beginning of period	9,941	21,692
End of period	$28,973	$11,794

Description_of_Business

Description of Business	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Description of Business	'
	1. Description of 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.
	Public Equity Offering
	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 $57.0 million.

Basis_of_Presentation_and_Summ

Basis of Presentation and Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Basis of Presentation and Summary of Significant Accounting Policies	'
	2. Basis of Presentation and Summary of Significant Accounting Policies
	Basis of Presentation
	The accompanying unaudited condensed 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 Singapore Pte. Limited, NanoString Technologies Europe Limited, NanoString Technologies Germany GmbH and NanoString Technologies SAS. The unaudited condensed consolidated balance sheet at December 31, 2013 has been derived from the audited consolidated financial statements at that date but does not include all of the information and disclosures required by U.S. GAAP for annual financial statements. These unaudited condensed consolidated financial statements and notes should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) and generally accepted accounting principles in the United States of America (“U.S. GAAP”) for unaudited condensed consolidated financial information. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the Company’s financial position and results of its operations, as of and for the periods presented.
	Unless indicated otherwise, all amounts presented in financial tables are presented in thousands, except for per share and par value amounts.
	The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates. The results of the Company’s operations for the three month period ended March 31, 2014 are not necessarily indicative of the results to be expected for the full year or for any other period.
	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. For systems sold for use primarily to run Prosigna assays, training must be provided prior to system revenue recognition. 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 agreements and service fees for assay processing are each considered separate units of accounting as they are sold separately. The Company offers service agreements on its nCounter Analysis System for periods ranging from 12 to 36 months after the end of the standard 12-month warranty period. Service agreements are generally separately priced. Revenue from service agreements is deferred and recognized in income on a straight-line basis over the service period.
	For arrangements with multiple deliverables, the Company allocates the agreement consideration at the inception of the agreement 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.
	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.
	The Company has reviewed recent accounting pronouncements and concluded that they are either not applicable to the business, or that no material effect is expected on the condensed consolidated financial statements as a result of future adoption.

Net_Loss_Per_Share

Net Loss Per Share	3 Months Ended
	Mar. 31, 2014
Earnings Per Share [Abstract]	'
Net Loss Per Share	'
	3. 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 and warrants have not been included in the calculation of the 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 outstanding options and warrants were excluded from the computation of basic and diluted net loss per share for the three month periods presented because their effect would have been anti-dilutive (in thousands):
		2014		2013
	Stock options		3,169		—
	Stock options (as converted)		—		1,806
	Convertible preferred stock (as converted)		—		8,631
	Convertible preferred stock warrants (as converted)		—		607
	Common stock warrants		618		—

Concentration_of_Risks

Concentration of Risks	3 Months Ended
	Mar. 31, 2014
Risks And Uncertainties [Abstract]	'
Concentration of Risks	'
	4. Concentration of Risks
	Financial instruments that potentially expose the Company to concentrations of credit risk consist principally of cash and cash equivalents, short-term investments and accounts receivable. Cash is invested in accordance with the Company’s investment policy, which includes guidelines intended to minimize and diversify credit risk. Most of the Company’s investments are not federally insured. The Company 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 has not experienced any significant credit losses to date as a result of credit risk concentration.
	The Company had one customer that individually represented more than 10% of total revenue during the three months ended March 31, 2014 and none during the three months ended March 31, 2013. In addition, the Company had one customer that represented more than 10% of total accounts receivable as of March 31, 2014 and none as of December 31, 2013.
	The Company is also subject to supply chain risks related to the outsourcing of the manufacturing and production 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.

Shortterm_Investments

Short-term Investments	3 Months Ended
	Mar. 31, 2014
Investments Debt And Equity Securities [Abstract]	'
Short-term Investments	'
	5. Short-term Investments
	Short-term investments consisted of available-for-sale securities as follows (in thousands):
	Type of security as of March 31, 2014	Amortized		Gross		Gross			Fair value
		cost		unrealized		unrealized
				gains		losses
	U.S. government-related debt securities	$	1,550	$	1	$	—		$	1,551
	Corporate debt securities		55,278		26		(18	)		55,286
	Total available-for-sale securities	$	56,828	$	27	$	(18	)	$	56,837
	Type of security as of December 31, 2013	Amortized		Gross		Gross			Fair value
		cost		unrealized		unrealized
				gains		losses
	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 fair values of available-for-sale securities by contractual maturity were as follows (in thousands):
	Contractual maturity	March 31,		December 31,
		2014		2013
	Maturing in one year or less	$	53,286	$	26,725
	Maturing after one year through three years		3,551		5,990
	Total available-for-sale securities	$	56,837	$	32,715
	Realized gains and losses are determined based on the specific identification method and are reported in other income in the condensed consolidated statements of operations. Gross realized gains on sales of available-for-sale securities were approximately $1,900 and $0 for the three months ended March 31, 2014 and 2013, respectively. There were no realized losses on sales of available-for-sale securities for the three months ended March 31, 2014 and 2013.

Fair_Value_Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Fair Value Measurements	'
	6. 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 and significant value drivers are unobservable.
	The recorded amounts of certain financial instruments, including cash, accounts receivable, prepaid expenses and other, accounts payable and accrued liabilities, approximate fair value due to their relatively short-term maturities. 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.
	The Company’s available-for-sale securities by level within the fair value hierarchy were as follows (in thousands):
	As of March 31, 2014	Level 1			Level 2		Level 3		Total
	Cash equivalents:
	Money market fund	$	28,567		$	—	$	—	$	28,567
	Short-term investments:
	U.S. government-related debt securities		—			1,551		—		1,551
	Corporate debt securities		—			55,286		—		55,286
	Total	$	28,567		$	56,837	$	—	$	85,404
	As of December 31, 2013	Level 1			Level 2		Level 3		Total
	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

Inventory

Inventory	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Inventory	'
	7. Inventory
	Inventory consisted of the following as of the date indicated (in thousands):
		March 31,		December 31,
		2014		2013
	Raw materials	$	1,605	$	2,164
	Work in process		1,957		2,198
	Finished goods		3,960		2,388
		$	7,522	$	6,750

Reserve_for_Product_Warranties

Reserve for Product Warranties	3 Months Ended
	Mar. 31, 2014
Guarantees [Abstract]	'
Reserve for Product Warranties	'
	8. 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 condensed consolidated statements of operations.
	The following information reconciles changes in the Company’s warranty reserve and related costs (in thousands):
	Warranty reserve, December 31, 2013	$	358
	Cost of warranty claims		(28	)
	Warranty accrual		80
	Warranty reserve, March 31, 2014	$	410

Commitments_and_Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2014
Commitments And Contingencies Disclosure [Abstract]	'
Commitments and Contingencies	'
	9. Commitments and Contingencies
	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.

Information_about_Geographic_A

Information about Geographic Areas	3 Months Ended
	Mar. 31, 2014
Organization Consolidation And Presentation Of Financial Statements [Abstract]	'
Information about Geographic Areas	'
	10. Information about Geographic Areas
	The Company operates as a single reportable segment and primarily enables customers to perform both research and clinical testing on its nCounter Analysis System. The Company has one sales force that sells these systems to both research and clinical testing labs, and has launched its first product, nCounter Elements GPRs, that can be used for both research and diagnostic testing.
	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 was as follows (in thousands):
		Three Months Ended
		March 31,
		2014		2013
	North America	$	5,989	$	4,477
	Europe & Middle East		1,763		616
	Asia Pacific		999		583
	Total revenue	$	8,751	$	5,676
	Total revenue in the United States was $5.3 million and $3.7 million for the three month periods ended March 31, 2014 and 2013, respectively.
	The Company’s assets are primarily located in the United States and not allocated to any specific geographic region. Substantially all of the Company’s long-lived assets are located in the United States.

Subsequent_Events

Subsequent Events	3 Months Ended
	Mar. 31, 2014
Subsequent Events [Abstract]	'
Subsequent Events	'
	11. Subsequent Events
	In April 2014, the Company entered into a term loan agreement with a new lender to refinance its existing credit facility and potentially incur up to an aggregate of $45.0 million in term loan borrowings or up to an aggregate of approximately $52.0 million if it elects to exercise in full an option to defer payment of a portion of the interest that would accrue on the borrowings under the term loan agreement. The Company has committed to borrow no less than $30.0 million under the agreement, from which it will repay the outstanding balance under its existing credit facility plus the related $1.0 million end of term payment and a $0.3 million make-whole premium. The Company expects to record a total charge of $1.4 million related to the repayment. All borrowings under this new term loan agreement will accrue interest at 12.5% annually, of which 3.5% can be deferred and paid at the end of the six-year term. The Company will make interest-only payments for the first five years. The Company has the option to prepay the term loans, in whole or in part, at any time subject to payment of a redemption fee. This new term loan agreement contains customary conditions to borrowings, events of default and negative covenants, including covenants that could limit the Company’s ability to, among other things, incur additional indebtedness, liens or other encumbrances, make dividends or other distributions; buy, sell or transfer assets; engage in any new line of business; and enter into certain transactions with affiliates. The new term loan agreement also includes liquidity and revenue-based financial covenants. The Company’s obligations under the new term loan agreement are collateralized by substantially all of its assets.

Basis_of_Presentation_and_Summ1

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Basis of Presentation	'
	Basis of Presentation
	The accompanying unaudited condensed 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 Singapore Pte. Limited, NanoString Technologies Europe Limited, NanoString Technologies Germany GmbH and NanoString Technologies SAS. The unaudited condensed consolidated balance sheet at December 31, 2013 has been derived from the audited consolidated financial statements at that date but does not include all of the information and disclosures required by U.S. GAAP for annual financial statements. These unaudited condensed consolidated financial statements and notes should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) and generally accepted accounting principles in the United States of America (“U.S. GAAP”) for unaudited condensed consolidated financial information. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The accompanying unaudited condensed consolidated financial statements reflect all adjustments consisting of normal recurring adjustments which, in the opinion of management, are necessary for a fair statement of the Company’s financial position and results of its operations, as of and for the periods presented.
	Unless indicated otherwise, all amounts presented in financial tables are presented in thousands, except for per share and par value amounts.
	The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates. The results of the Company’s operations for the three month period ended March 31, 2014 are not necessarily indicative of the results to be expected for the full year or for any other period.
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. For systems sold for use primarily to run Prosigna assays, training must be provided prior to system revenue recognition. 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 agreements and service fees for assay processing are each considered separate units of accounting as they are sold separately. The Company offers service agreements on its nCounter Analysis System for periods ranging from 12 to 36 months after the end of the standard 12-month warranty period. Service agreements are generally separately priced. Revenue from service agreements is deferred and recognized in income on a straight-line basis over the service period.
	For arrangements with multiple deliverables, the Company allocates the agreement consideration at the inception of the agreement 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.
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.
	The Company has reviewed recent accounting pronouncements and concluded that they are either not applicable to the business, or that no material effect is expected on the condensed consolidated financial statements as a result of future adoption.
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 and warrants have not been included in the calculation of the 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.
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 and significant value drivers are unobservable.
	The recorded amounts of certain financial instruments, including cash, accounts receivable, prepaid expenses and other, accounts payable and accrued liabilities, approximate fair value due to their relatively short-term maturities. 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.
	The Company’s available-for-sale securities by level within the fair value hierarchy were as follows (in thousands):
	As of March 31, 2014	Level 1		Level 2		Level 3		Total
	Cash equivalents:
	Money market fund	$	28,567	$	—	$	—	$	28,567
	Short-term investments:
	U.S. government-related debt securities		—		1,551		—		1,551
	Corporate debt securities		—		55,286		—		55,286
	Total	$	28,567	$	56,837	$	—	$	85,404
	As of December 31, 2013	Level 1		Level 2		Level 3		Total
	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

Net_Loss_Per_Share_Tables

Net Loss Per Share (Tables)	3 Months Ended
	Mar. 31, 2014
Earnings Per Share [Abstract]	'
Outstanding Options, Warrants and Preferred Stock Excluded from Computation of Basic and Diluted Net Loss Per Share	'
	The following outstanding options and warrants were excluded from the computation of basic and diluted net loss per share for the three month periods presented because their effect would have been anti-dilutive (in thousands):
		2014		2013
	Stock options		3,169		—
	Stock options (as converted)		—		1,806
	Convertible preferred stock (as converted)		—		8,631
	Convertible preferred stock warrants (as converted)		—		607
	Common stock warrants		618		—

Shortterm_Investments_Tables

Short-term Investments (Tables)	3 Months Ended
	Mar. 31, 2014
Investments Debt And Equity Securities [Abstract]	'
Short-term Investments Available-for-sale Securities	'
	Short-term investments consisted of available-for-sale securities as follows (in thousands):
	Type of security as of March 31, 2014	Amortized		Gross		Gross			Fair value
		cost		unrealized		unrealized
				gains		losses
	U.S. government-related debt securities	$	1,550	$	1	$	—		$	1,551
	Corporate debt securities		55,278		26		(18	)		55,286
	Total available-for-sale securities	$	56,828	$	27	$	(18	)	$	56,837
	Type of security as of December 31, 2013	Amortized		Gross		Gross			Fair value
		cost		unrealized		unrealized
				gains		losses
	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 were as follows (in thousands):
	Contractual maturity	March 31,		December 31,
		2014		2013
	Maturing in one year or less	$	53,286	$	26,725
	Maturing after one year through three years		3,551		5,990
	Total available-for-sale securities	$	56,837	$	32,715

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2014
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 (in thousands):
	As of March 31, 2014	Level 1		Level 2		Level 3		Total
	Cash equivalents:
	Money market fund	$	28,567	$	—	$	—	$	28,567
	Short-term investments:
	U.S. government-related debt securities		—		1,551		—		1,551
	Corporate debt securities		—		55,286		—		55,286
	Total	$	28,567	$	56,837	$	—	$	85,404
	As of December 31, 2013	Level 1		Level 2		Level 3		Total
	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

Inventory_Tables

Inventory (Tables)	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Schedule of Inventory	'
	Inventory consisted of the following as of the date indicated (in thousands):
		March 31,		December 31,
		2014		2013
	Raw materials	$	1,605	$	2,164
	Work in process		1,957		2,198
	Finished goods		3,960		2,388
		$	7,522	$	6,750

Reserve_for_Product_Warranties1

Reserve for Product Warranties (Tables)	3 Months Ended
	Mar. 31, 2014
Guarantees [Abstract]	'
Schedule of Changes in Company's Warranty Reserve and Related Costs	'
	The following information reconciles changes in the Company’s warranty reserve and related costs (in thousands):
	Warranty reserve, December 31, 2013	$	358
	Cost of warranty claims		(28	)
	Warranty accrual		80
	Warranty reserve, March 31, 2014	$	410

Information_about_Geographic_A1

Information about Geographic Areas (Tables)	3 Months Ended
	Mar. 31, 2014
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 was as follows (in thousands):
		Three Months Ended
		March 31,
		2014		2013
	North America	$	5,989	$	4,477
	Europe & Middle East		1,763		616
	Asia Pacific		999		583
	Total revenue	$	8,751	$	5,676

Description_of_Business_Additi

Description of Business - Additional Information (Detail) (USD $)	1 Months Ended		3 Months Ended
In Millions, except Share data, unless otherwise specified	Feb. 28, 2014	Jan. 31, 2014	Mar. 31, 2014
Accounting Policies [Abstract]	'	'	'
Reverse stock split of common stock and preferred stock	'	'	'1-for-32
Underwritten public offering, shares sold	'	2,972,972	'
Proceeds from underwritten public offering	'	$55	'
Underwriters partially exercised an overallotment option, shares	345,945	'	'
Underwriters partially exercised an overallotment option, additional gross proceeds	6.4	'	'
Proceeds from underwritten public offering after fees and commissions	$57	'	'

Basis_of_Presentation_and_Summ2

Basis of Presentation and Summary of Significant Accounting Policies - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2014
Significant Accounting Policies [Line Items]	'
Extended warranties description	'The Company offers service agreements 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
Percentage used to determine discount for stand-alone sales	15.00%
Minimum [Member]	'
Significant Accounting Policies [Line Items]	'
Extended warranty period	'12 months
Maximum [Member]	'
Significant Accounting Policies [Line Items]	'
Extended warranty period	'36 months

Net_Loss_Per_Share_Outstanding

Net Loss Per Share - Outstanding Options, Warrants and Preferred Stock Excluded from Computation of Basic and Diluted Net Loss Per Share (Detail)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2013	Mar. 31, 2013	Mar. 31, 2014
	Stock options [Member]	Stock options (as converted) [Member]	Convertible preferred stock (as converted) [Member]	Convertible preferred stock warrants (as converted) [Member]	Common stock warrants [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]	'	'	'	'	'
Anti-dilutive securities excluded from computation of earnings per share	3,169	1,806	8,631	607	618

Concentration_of_Risks_Additio

Concentration of Risks - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
	Customer	Customer	Customer
Risks And Uncertainties [Abstract]	'	'	'
Concentration risk, percentage	10.00%	'	'
Number of customer that individually represented more than 10% of total revenue	1	0	'
Number of customer that represented more than 10% of total accounts receivable	1	'	0

Shortterm_Investments_Shortter

Short-term Investments - Short-term Investments Available-for-sale Securities (Detail) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized cost	$56,828	$32,693
Gross unrealized gains	27	25
Gross unrealized losses	-18	-3
Fair value	56,837	32,715
U.S. government-related debt securities [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized cost	1,550	1,565
Gross unrealized gains	1	1
Gross unrealized losses	'	'
Fair value	1,551	1,566
Corporate debt securities [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized cost	55,278	31,128
Gross unrealized gains	26	24
Gross unrealized losses	-18	-3
Fair value	$55,286	$31,149

Shortterm_Investments_Fair_Val

Short-term Investments - Fair Values of Available-for-sale Securities by Contractual Maturity (Detail) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Short Term Investments Classified By Security Type [Abstract]	'	'
Maturing in one year or less	$53,286	$26,725
Maturing after one year through three years	3,551	5,990
Fair value	$56,837	$32,715

Shortterm_Investments_Addition

Short-term Investments - Additional Information (Detail) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Amortized Cost And Fair Value Debt Securities [Abstract]	'	'
Gross realized gains on sales of available-for-sale securities	$1,900	$0
Realized losses on sales of available-for-sale securities	$0	$0

Fair_Value_of_Financial_Instru

Fair Value of Financial Instruments - Company's Available-for-sale Securities by Level within Fair Value Hierarchy (Detail) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	$85,404	$41,169
Money market fund [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	28,567	8,454
Short-term investments [Member] | U.S. government-related debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	1,551	1,566
Short-term investments [Member] | Corporate debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	55,286	31,149
Level 1 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	28,567	8,454
Level 1 [Member] | Money market fund [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	28,567	8,454
Level 1 [Member] | Short-term investments [Member] | U.S. government-related debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	'	'
Level 1 [Member] | Short-term investments [Member] | Corporate debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	'	'
Level 2 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	56,837	32,715
Level 2 [Member] | Money market fund [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	'	'
Level 2 [Member] | Short-term investments [Member] | U.S. government-related debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	1,551	1,566
Level 2 [Member] | Short-term investments [Member] | Corporate debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	55,286	31,149
Level 3 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	'	'
Level 3 [Member] | Money market fund [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	'	'
Level 3 [Member] | Short-term investments [Member] | U.S. government-related debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	'	'
Level 3 [Member] | Short-term investments [Member] | Corporate debt securities [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Assets at fair value	'	'

Inventory_Schedule_of_Inventor

Inventory - Schedule of Inventory (Detail) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Inventory Disclosure [Abstract]	'	'
Raw materials	$1,605	$2,164
Work in process	1,957	2,198
Finished goods	3,960	2,388
Inventory, net	$7,522	$6,750

Reserve_for_Product_Warranties2

Reserve for Product Warranties - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2014
Regulatory Assets [Abstract]	'
Product warranty accrual period	'1 year

Reserve_for_Product_Warranties3

Reserve for Product Warranties - Schedule of Changes in Company's Warranty Reserve and Related Costs (Detail) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014
Regulatory Assets [Abstract]	'
Warranty reserve, Beginning balance	$358
Cost of warranty claims	-28
Warranty accrual	80
Warranty reserve, Ending balance	$410

Information_about_Geographic_A2

Information about Geographic Areas - Additional Information (Detail) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
	Segment
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Number of reportable segments	1	'
Total revenue	$8,751	$5,676
United States [Member]	'	'
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total revenue	$5,300	$3,700

Information_about_Geographic_A3

Information about Geographic Areas - Classification of Revenue by Geography (Detail) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total revenue	$8,751	$5,676
North America [Member] | Reportable geographical components [Member]	'	'
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total revenue	5,989	4,477
Europe & Middle East [Member] | Reportable geographical components [Member]	'	'
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total revenue	1,763	616
Asia Pacific [Member] | Reportable geographical components [Member]	'	'
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'
Total revenue	$999	$583

Subsequent_Events_Additional_I

Subsequent Events - Additional Information (Detail) (Subsequent Events [Member], Term loan facility [Member], USD $)	1 Months Ended
In Millions, unless otherwise specified	Apr. 30, 2014
Subsequent Event [Line Items]	'
End of term payment	$1
Amount of make-whole premium payment	0.3
Expected total repayment	1.4
Percentage of accrue interest	12.50%
Percentage of deferred payment	3.50%
End of deferred payment term	'Six-year term
Interest payment period	'5 years
Maximum [Member]	'
Subsequent Event [Line Items]	'
Credit facility, additional borrowing capacity	45
Credit facility, minimum amount committed to borrow under term loan agreement capacity	30
Option 1 [Member] | Maximum [Member]	'
Subsequent Event [Line Items]	'
Credit facility, additional borrowing capacity	$52