NanoString (NSTG) 10-Q 8 Aug 18 2018 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2018	Aug. 03, 2018
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q2
Trading Symbol	NSTG
Entity Registrant Name	NANOSTRING TECHNOLOGIES INC
Entity Central Index Key	1,401,708
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		29,787,812

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 24,286	$ 26,136
Short-term investments	26,406	51,419
Accounts receivable, net	17,387	19,564
Inventory, net	17,596	20,057
Prepaid expenses and other	5,934	4,745
Total current assets	91,609	121,921
Restricted cash	0	143
Property and equipment, net	14,453	14,057
Other assets	655	641
Total assets	106,717	136,762
Current liabilities:
Accounts payable	5,107	4,092
Accrued liabilities	3,801	4,507
Accrued compensation and other employee benefits	7,977	8,634
Customer deposits	9,502	8,945
Deferred revenue, current portion	9,878	9,229
Deferred rent, current portion	582	512
Total current liabilities	36,847	35,919
Deferred revenue, net of current portion	3,264	3,304
Deferred rent and other long-term liabilities	8,263	8,499
Long-term debt, net of debt issuance costs	49,725	48,931
Total liabilities	98,099	96,653
Commitment and contingencies
Stockholders’ equity:
Preferred stock, $0.0001 par value, 15,000 shares authorized; none issued	0	0
Common stock, $0.0001 par value, 150,000 shares authorized; 25,785 and 25,421 shares issued and outstanding at June 30, 2018 and December 31, 2017, respectively	3	2
Additional paid-in capital	362,340	353,308
Accumulated other comprehensive loss	(66)	(99)
Accumulated deficit	(353,659)	(313,102)
Total stockholders’ equity	8,618	40,109
Total liabilities and stockholders’ equity	$ 106,717	$ 136,762

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2018	Mar. 31, 2017
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	15,000,000	15,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	150,000,000	150,000,000
Common stock, shares issued (in shares)	25,785,000	25,421,000
Common stock, shares outstanding (in shares)	25,785,000	25,421,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Revenue:
Product and service	$ 20,384	$ 18,310	$ 38,429	$ 34,075
Collaboration	4,615	16,282	9,655	18,581
Total revenue	24,999	34,592	48,084	52,656
Costs and expenses:
Cost of product and service revenue	8,552	8,224	16,247	15,387
Research and development	14,585	11,038	28,417	21,839
Selling, general and administrative	20,649	18,644	40,086	36,210
Total costs and expenses	43,786	37,906	84,750	73,436
Loss from operations	(18,787)	(3,314)	(36,666)	(20,780)
Other income (expense):
Interest income	204	150	442	297
Interest expense	(1,604)	(1,528)	(3,167)	(3,029)
Other income (expense), net	(349)	184	(284)	197
Total other income (expense), net	(1,749)	(1,194)	(3,009)	(2,535)
Net loss before provision for income tax	(20,536)	(4,508)	(39,675)	(23,315)
Provision for income tax	(65)	(47)	(128)	(92)
Net loss	$ (20,601)	$ (4,555)	$ (39,803)	$ (23,407)
Net loss per share - basic and diluted (in dollars per share)	$ (0.80)	$ (0.20)	$ (1.55)	$ (1.06)
Weighted average shares used in computing basic and diluted net loss per share (in shares)	25,757	22,672	25,619	22,121

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Statement of Comprehensive Income [Abstract]
Net loss	$ (20,601)	$ (4,555)	$ (39,803)	$ (23,407)
Change in unrealized gain (loss) on short-term investments	46	(5)	33	4
Comprehensive loss	$ (20,555)	$ (4,560)	$ (39,770)	$ (23,403)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Operating activities
Net loss	$ (39,803)	$ (23,407)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	2,017	1,661
Stock-based compensation expense	5,848	5,109
Amortization of premium on short-term investments	36	78
Interest accrued on long-term debt	88	85
Conversion of accrued interest to long-term debt	747	724
Provision for bad debts	445	201
Inventory Write-down	45	0
Changes in operating assets and liabilities:
Accounts receivable	1,727	3,515
Inventory	1,636	(2,472)
Prepaid expenses and other	(1,207)	(1,506)
Other assets	(2)	(87)
Accounts payable	1,127	(392)
Accrued liabilities	(501)	1,017
Accrued compensation and other employee benefits	(621)	(1,669)
Customer deposits	557	164
Deferred revenue	(145)	(13,307)
Deferred rent and other liabilities	(254)	1,320
Net cash used in operating activities	(28,260)	(28,966)
Investing activities
Purchases of property and equipment	(1,732)	(3,384)
Proceeds from sale of short-term investments	5,410	1,000
Proceeds from maturity of short-term investments	25,600	28,474
Purchases of short-term investments	(6,000)	(34,785)
Net cash provided by (used in) investing activities	23,278	(8,695)
Financing activities
Repayment of lease financing obligations	0	(58)
Proceeds from sale of common stock, net	0	56,486
Proceeds from issuance of common stock warrants	1,423	0
Deferred financing costs	(63)	0
Tax withholdings related to net share settlements of restricted stock units	(108)	(248)
Proceeds from issuance of common stock for employee stock purchase plan	767	926
Proceeds from exercise of stock options	994	601
Net cash provided by financing activities	3,013	57,707
Net (decrease) increase in cash, cash equivalents and restricted cash	(1,969)	20,046
Effect of exchange rate changes on cash and cash equivalents and restricted cash	(24)	18
Cash and cash equivalents and restricted cash
Beginning of period	26,279	20,726
End of period	24,286	40,790
Cash and cash equivalents	26,136
Restricted cash	$ 0	$ 143

Description of Business

Description of Business	6 Months Ended
	Jun. 30, 2018
Accounting Policies [Abstract]
Description of Business	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, biopharmaceutical and clinical laboratory customers. In addition, the Company is collaborating with biopharmaceutical companies to develop companion diagnostic tests for various cancer therapies. The Company has incurred losses to date and expects to incur additional losses for the foreseeable future. The Company continues to invest the majority of its resources in the development and growth of its business, including significant investments in new product development and sales and marketing efforts. The Company’s activities have been financed primarily through the sale of equity securities and incurrence of indebtedness, and to a lesser extent, the incurrence of capital leases and other borrowings. In January 2018, the Company entered into a Sales Agreement with a sales agent to sell shares of the Company's common stock through an “at the market” equity offering program for up to $40.0 million in gross cash proceeds. The Sales Agreement allows the Company to set the parameters for the sale of shares, including the number of shares to be issued, the time period during which sales are requested to be made, limits on the number of shares that may be sold in any one trading day and a minimum price below which sales may not be made. Under the terms of the Sales Agreement, commission expenses to the sales agent will be 3% of the gross sales price per share sold through the sales agent. The Sales Agreement shall automatically terminate upon the issuance and sale of shares that provide gross proceeds of $40.0 million and may be terminated earlier by either the Company or the sales agent upon five days’ notice.

Basis of Presentation and Summa

Basis of Presentation and Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2018
Accounting Policies [Abstract]
Basis of Presentation and Summary of Significant Accounting Policies	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. The unaudited condensed consolidated balance sheet at December 31, 2017 has been derived from the audited consolidated financial statements at that date but does not include all of the information and disclosures required by generally accepted accounting principles in the United States of America (“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, 2017 . 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 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 and six month periods ended June 30, 2018 are not necessarily indicative of the results to be expected for the full year or for any other period. Reclassifications Certain reclassifications have been made to prior year financial statements to conform to current year presentation. Revenue Recognition The Company recognizes revenue when control of the promised goods or services are transferred to its customers, in an amount that reflects the consideration expected to be received in exchange for those products and services. This process involves identifying the contract with a customer, determining the performance obligations in the contract, determining the contract price, allocating the contract price to the distinct performance obligations in the contract, and recognizing revenue when the performance obligations have been satisfied. A performance obligation is considered distinct from other obligations in a contract when it provides a benefit to the customer either on its own or together with other resources that are readily available to the customer and is separately identified in the contract. Performance obligations are considered satisfied once the Company has transferred control of a product or service to the customer, meaning the customer has the ability to use and obtain the benefit of the product or service. The Company recognizes revenue for satisfied performance obligations only when there are no uncertainties regarding payment terms or transfer of control. The Company generates the majority of its revenue from the sale of products and services. The Company’s products consist of its proprietary nCounter Analysis Systems and related consumables. Services consist of instrument service contracts and service fees for assay processing. Revenue from instruments, consumables and in vitro diagnostic kits is recognized generally upon delivery to the end customer, which is when title of the product has been transferred to the customer. Instrument revenue related to installation and calibration services is recognized when the customer has possession of the instrument and the services have been performed. Such services can also be provided by the Company’s distribution partners and other third parties. For instruments sold solely to run Prosigna assays, an initial training course must be provided by the Company prior to instrument revenue recognition. Instrument service contracts are sold with contract terms ranging from 12 – 36 months and cover periods after the end of the initial 12 -month warranty. These contracts include services to maintain performance within the Company’s designed specifications and a minimum of one preventative maintenance service procedure during the contract term. Revenue from services to maintain designed specifications is considered a stand-ready obligation and recognized evenly over the contract term and service revenue related to preventative maintenance of instruments is recognized when the procedure is completed. Revenue from service fees for assay processing is recognized upon the rendering of the related performance obligation. For arrangements with multiple performance obligations, the Company allocates the contract price in proportion to its stand-alone selling price. The Company uses its best estimate of stand-alone selling price for its products and services based on average selling prices over a 12-month period and reviews its stand-alone prices annually. Product and service revenues from sales to customers through distributors are recognized consistent with the terms of direct sales to customers. The Company enters into collaborative agreements that may generate upfront fees with subsequent milestone payments that may be earned upon completion of development-related milestones. The Company is able to estimate the total cost of services under these arrangements and recognizes collaboration revenue using a contingency-adjusted proportional performance model. Costs incurred to date compared to total expected costs are used to determine proportional performance, as this is considered to be representative of the delivery of outputs under the arrangements. Revenue recognized at any point in time is limited to cash received, amounts contractually due, and a development-related milestone when achievement is probable. Changes in estimates of total expected costs are accounted for prospectively as a change in estimate. From period to period, collaboration revenue can fluctuate substantially based on the achievement or probable achievement of development-related milestones. The Company recognizes revenue from collaborative agreements that do not include upfront and/or milestone-based payments when earned. Amounts due to collaboration partners are recognized when the related activities have occurred and are classified in the statement of operations, generally as research and development expense, based on the nature of the related activities. Recently Adopted Accounting Pronouncement In May 2014, the Financial Accounting Standards Board (“FASB”) issued “ASU 2014-09, Revenue from Contracts with Customers.” The standard requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to a customer. In March 2016, the FASB issued “ASU 2016-08, Principal vs Agent Considerations (Reporting Revenue Gross versus Net)” which clarifies the implementation guidance on principal versus agent considerations. In April 2016, the FASB issued “ASU 2016-10, Identifying Performance Obligations and Licensing” which clarifies the implementation guidance on identifying performance obligations and the licensing implementation guidance. In May 2016, the FASB issued “ASU 2016-12, Narrow-Scope Improvements and Practical Expedients” which provides practical expedients for contract modifications and clarification on assessing the collectability criterion, presentation of sales taxes, measurement date for non-cash consideration and completed contracts at transition. The standards require an entity to recognize the amount of revenue which it expects to be entitled for the transfer of promised goods or services to a customer. This guidance replaces most existing revenue recognition guidance and requires more extensive disclosures related to revenue recognition, particularly in quarterly financial statements. A cumulative effect of applying the new revenue standard has been recognized as an adjustment to the opening balance of retained earnings as of January 1, 2018, using the modified retrospective transition method. The comparative information has not been restated and continues to be reported under the accounting standards in effect for the period presented. See Note 3. Revenue from Contracts with Customers, for additional accounting policy and transition disclosures. In January 2016, FASB issued “ASU 2016-01, Financial Instruments: Overall.” The standard addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The Company adopted the standard in the first quarter of 2018 and adoption did not have a material impact on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. In August 2016, FASB issued “ASU No. 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments.” The standard provides guidance on the presentation of certain cash receipts and cash payments in the statement of cash flows in order to reduce diversity in existing practice. The Company adopted the standard in the first quarter of 2018 and there was no material impact on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. In November 2016, FASB issued “ASU 2016-18, Statement of Cash Flows: Restricted Cash.” The standard requires companies to include amounts generally described as restricted cash and restricted cash equivalents, along with cash and cash equivalents, when reconciling the beginning-of-period and end-of-period amounts shown on the statement of cash flows. The Company adopted the standard in the first quarter of 2018 using the retrospective transition method and reflected the impact of this standard in its consolidated cash flows. In May 2017, FASB issued “ASU 2017-09, Compensation - Stock Compensation: Scope of Modification Accounting.” The standard clarifies which changes to the terms or conditions of a share-based payment award are required to be accounted for as modifications. The Company adopted the standard in the first quarter of 2018 prospectively and adoption did not have an impact on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. 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 until December 31, 2018, applicable to public companies until such pronouncements are made applicable to private companies. As a result, its financial statements may not be comparable to the financial statements of issuers who are required to comply with the effective dates for new or revised accounting standards that are applicable to public companies. In February 2016, FASB issued “ASU 2016-02, Leases – Recognition and Measurement of Financial Assets and Financial Liabilities.” The standard requires the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition. The standard requires lessors to classify leases as either sales-type, finance or operating. A sales-type lease occurs if the lessor transfers all of the risks and rewards, as well as control of the underlying asset, to the lessee. If risks and rewards are conveyed without the transfer of control, the lease is treated as a financing lease. If the lessor does not convey risks and rewards or control, an operating lease results. The standard will become effective for the Company beginning January 1, 2019 with early adoption permitted. The Company is currently assessing the impact adoption of this standard will have on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures, and currently expects that most of its operating lease commitments will be recognized as right-of-use assets and operating lease liabilities upon the adoption of ASU 2016-02, which will increase the total assets and liabilities that the Company reports relative to such amounts prior to adoption. In June 2016, FASB issued “ASU 2016-13, Financial Instruments: Credit Losses.” The standard provides information about expected credit losses on financial instruments at each reporting date, and to change how other than temporary impairments on investments securities are recorded. The standard will become effective for the Company beginning January 1, 2020 with early adoption permitted. The Company is currently assessing the impact adoption of this standard will have on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. In February 2018, FASB issued “ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” The new guidance permits companies to reclassify the stranded tax effects of the Tax Cuts and Jobs Act (the “Act”) on items within accumulated other comprehensive income to retained earnings. This standard will become effective for the Company beginning January 1, 2019 with early adoption permitted. The Company is currently assessing the impact adoption of this standard will have on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures.

Net Loss Per Share

Net Loss Per Share	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Net Loss Per Share	Net Loss Per Share Net loss per share is computed by dividing the net loss by the weighted average number of shares of common stock outstanding. Outstanding stock options, restricted stock units and warrants have not been included in the calculation of diluted net loss 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 shares underlying outstanding options, restricted stock units and warrants were excluded from the computation of basic and diluted net loss per share for the periods presented because their effect would have been anti-dilutive (in thousands): Three Months Ended Six Months Ended 2018 2017 2018 2017 Options to purchase common stock 5,525 5,409 5,595 5,284 Restricted stock units 1,193 272 1,106 255 Common stock warrants 468 332 413 332

Revenue from Contracts with Cus

Revenue from Contracts with Customers (Notes)	6 Months Ended
	Jun. 30, 2018
Revenue from Contract with Customer [Abstract]
Revenue from Contracts with Customers	Revenue from Contracts with Customers On January 1, 2018, the Company adopted the new standard for revenue recognition provided in “ASU 2014-09, Revenue from Contracts with Customers” and has applied the modified retrospective transition method to all contracts that were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under the new standard, while prior period amounts are not adjusted and continue to be reported under the accounting standards in effect for the prior period. The Company recorded a transition adjustment which reduced opening retained earnings by $0.8 million as of January 1, 2018 due to the cumulative impact of adopting the new revenue standard. The Company's revenues for the three and six months ended June 30, 2018 included the recognition of $0.2 million and $0.4 million , respectively, as a result of adopting the new revenue standard and satisfying certain performance obligations during the period. The Company has determined that its collaborative agreements fall within the scope of ASC 808, Collaborative Arrangements, and intends to apply the principles of ASC 606, Revenue from Contracts with Customers, in the measurement and recognition of revenue. In addition, the Company has concluded that when service contracts are sold as part of a bundled arrangement with other products and services, these contracts will no longer be accounted for under separate accounting guidance, but rather included as a separate performance obligation within a contract subject to the new standard, which includes their inclusion in the determination and allocation of the aggregate transaction price, and recognition of revenue upon the delivery of the performance obligation. Performance obligations Performance obligations related to instrument sales are reviewed on a contract-by-contract basis, as individual contract terms may vary, and may include installation and calibration services. For instruments sold solely to run Prosigna assays, training to the customer is a required performance obligation. Performance obligations for the Company's consumable products are generally completed upon shipment to the customer. Disaggregated Revenues The following table provides information about disaggregated revenue by major product line and primary geographic market (in thousands): Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 Americas Europe and Middle East Asia Pacific Total Americas Europe and Middle East Asia Pacific Total Product revenue: Instruments $ 3,131 $ 1,555 $ 802 $ 5,488 $ 5,817 $ 3,040 $ 1,305 $ 10,162 Consumables 6,801 2,872 608 10,281 12,961 5,249 1,428 19,638 In vitro diagnostic kits 918 1,516 87 2,521 1,599 2,913 175 4,687 Total product revenue 10,850 5,943 1,497 18,290 20,377 11,202 2,908 34,487 Service revenue 1,540 449 105 2,094 2,801 948 193 3,942 Total product and service revenue 12,390 6,392 1,602 20,384 23,178 12,150 3,101 38,429 Collaboration revenue 4,615 — — 4,615 9,655 — — 9,655 Total revenues $ 17,005 $ 6,392 $ 1,602 $ 24,999 $ 32,833 $ 12,150 $ 3,101 $ 48,084 Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Americas Europe and Middle East Asia Pacific Total Americas Europe and Middle East Asia Pacific Total Product revenue: Instruments $ 3,029 $ 1,653 $ 1,353 $ 6,035 $ 5,843 $ 2,840 $ 1,822 $ 10,505 Consumables 6,537 2,067 590 9,194 12,120 4,195 1,471 17,786 In vitro diagnostic kits 697 1,105 33 1,835 1,178 2,021 75 3,274 Total product revenue 10,263 4,825 1,976 17,064 19,141 9,056 3,368 31,565 Service revenue 796 412 38 1,246 1,830 597 83 2,510 Total product and service revenue 11,059 5,237 2,014 18,310 20,971 9,653 3,451 34,075 Collaboration revenue 16,282 — — 16,282 18,581 — — 18,581 Total revenues $ 27,341 $ 5,237 $ 2,014 $ 34,592 $ 39,552 $ 9,653 $ 3,451 $ 52,656 Contract balances and remaining performance obligations Contract liabilities are included in the current and long-term portions of deferred revenue of $13.1 million and $12.5 million as of June 30, 2018 and December 31, 2017 , respectively, and within customer deposits of $9.5 million and $8.9 million as of June 30, 2018 and December 31, 2017 , respectively, on the condensed consolidated balance sheets. Total contract liabilities increased by $1.2 million for the six months ended June 30, 2018 as a result of cash payments received of $11.4 million related to our collaborations and service contracts, partially offset by the recognition of previously deferred revenue of $10.4 million for the completion of certain performance obligations during the period. The Company did not record any contract assets as of June 30, 2018 . Unsatisfied or partially unsatisfied performance obligations related to collaboration agreements as of June 30, 2018 were $17.5 million and are expected to be completed over the period of each collaboration agreement, through June 2020. Performance obligations related to product and service contracts as of June 30, 2018 were $5.1 million and are expected to be completed over the term of the related contract, through April 2023. Practical expedients The Company generally recognizes expense related to the acquisition of contracts, such as sales commissions, at the time of revenue recognition, which is generally in the same period products are sold, and in the case of services, revenue is recognized as services are rendered or over the period of time covered by the service contract, which is typically 12-months from the sale. The Company has not established any contract assets or liabilities related to contract acquisition costs as of June 30, 2018 . The Company records commission expenses within selling, general and administrative expenses. Impact of new revenue standard In accordance with the new revenue guidance, the disclosure of the impact of adoption of this new standard to our condensed consolidated statements of operations and balance sheets was as follows: Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 (in thousands, except per share amounts) As Reported Amounts under previous revenue standard Effect of Change As Reported Amounts under previous revenue standard Effect of Change Revenue: Product and service $ 20,384 $ 20,224 $ 160 $ 38,429 $ 38,030 $ 399 Collaboration 4,615 4,615 — 9,655 9,655 — Total revenue 24,999 24,839 160 48,084 47,685 399 Net loss $ (20,601 ) $ (20,761 ) $ 160 $ (39,803 ) $ (40,202 ) $ 399 Net loss per share - basic and diluted $ (0.80 ) $ (0.81 ) $ 0.01 $ (1.55 ) $ (1.57 ) $ 0.02 June 30, 2018 (in thousands) As Reported Balances under previous revenue standard Effect of Change Liabilities: Deferred revenue, current portion $ 9,878 $ 9,523 $ 355 Stockholders' equity Accumulated deficit $ (353,659 ) $ (353,304 ) $ (355 ) The adoption of the new revenue standard did not have an aggregate impact on the Company’s net cash provided by operating activities, but resulted in offsetting changes in certain liabilities presented within net cash provided by operating activities in the Company’s condensed consolidated statement of cash flows, as reflected in the above tables.

Concentration of Risks

Concentration of Risks	6 Months Ended
	Jun. 30, 2018
Risks and Uncertainties [Abstract]
Concentration of Risks	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’ credit history or financial position and generally extends credit on account without collateral. The Company has not experienced any significant credit losses to date. The Company had one customer/collaborator, Lam Research Corporation (“Lam”) that individually represented 16% and 17% of total revenue during the three and six months ended June 30, 2018 , respectively. During the three months ended June 30, 2017 , the Company had two customers/collaborators, Medivation, Inc. (“Medivation”) and Astellas Pharma Inc. (“Astellas”), and Merck Sharp & Dohme Corp., a subsidiary of Merck & Co., Inc. (“Merck”) that individually represented 33% and 13% of total revenue, respectively. During the six months ended June 30, 2017 , Medivation and Astellas, and Merck represented 21% and 13% of total revenue, respectively. The Company had no customers or collaborators that represented more than 10% of total accounts receivable as of June 30, 2018 or December 31, 2017 . 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. Similarly, the Company sources certain raw materials used in the manufacture of consumables from certain sole suppliers. A change in suppliers could cause a delay in manufacturing and a possible loss of sales, which would adversely affect operating results.

Short-term Investments

Short-term Investments	6 Months Ended
	Jun. 30, 2018
Investments, Debt and Equity Securities [Abstract]
Short-term Investments	Short-term Investments Short-term investments consisted of available-for-sale securities as follows (in thousands): Type of securities as of June 30, 2018 Amortized cost Gross unrealized gains Gross unrealized losses Fair value Corporate debt securities $ 17,500 $ — $ (24 ) $ 17,476 U.S. government-related debt securities 8,973 — (43 ) 8,930 Total available-for-sale securities $ 26,473 $ — $ (67 ) $ 26,406 Type of securities as of December 31, 2017 Amortized cost Gross unrealized gains Gross unrealized losses Fair value Corporate debt securities $ 35,567 $ — $ (53 ) $ 35,514 U.S. government-related debt securities 15,951 — (46 ) 15,905 Total available-for-sale securities $ 51,518 $ — $ (99 ) $ 51,419 The fair values of available-for-sale securities by contractual maturity were as follows (in thousands): June 30, 2018 December 31, 2017 Maturing in one year or less $ 26,406 $ 39,985 Maturing in one to three years — 11,434 Total available-for-sale securities $ 26,406 $ 51,419 The Company has both the intent and ability to sell its available-for-sale investments maturing greater than one year within 12 months from the balance sheet date and, accordingly, has classified these securities as current in the condensed consolidated balance sheets. The following table summarizes investments that have been in a continuous unrealized loss position as of June 30, 2018 (in thousands). Less Than 12 Months 12 Months or Greater Total Fair value Gross unrealized losses Fair value Gross unrealized losses Fair value Gross unrealized losses Corporate debt securities $ 9,008 $ (24 ) $ — $ — $ 9,008 $ (24 ) U.S. government-related debt securities 8,930 (43 ) — — 8,930 (43 ) Total $ 17,938 $ (67 ) $ — $ — $ 17,938 $ (67 ) The Company invests in securities that are rated investment grade or better. The unrealized losses on investments as of June 30, 2018 and December 31, 2017 were primarily caused by interest rate increases. The Company reviews the individual securities in its portfolio to determine whether a decline in a security’s fair value below the amortized cost basis is other-than-temporary. The Company determined that as of June 30, 2018 , there were no investments in its portfolio that were other-than-temporarily impaired.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2018
Fair Value Disclosures [Abstract]
Fair Value Measurements	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 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 June 30, 2018 Level 1 Level 2 Level 3 Total Cash equivalents: Money market fund $ 16,728 $ — $ — $ 16,728 Short-term investments: Corporate debt securities — 17,476 — 17,476 U.S. government-related debt securities — 8,930 — 8,930 Total $ 16,728 $ 26,406 $ — $ 43,134 As of December 31, 2017 Level 1 Level 2 Level 3 Total Cash equivalents: Money market fund $ 22,398 $ — $ — $ 22,398 Short-term investments: Corporate debt securities — 35,514 — 35,514 U.S. government-related debt securities — 15,905 — 15,905 Total $ 22,398 $ 51,419 $ — $ 73,817

Inventory

Inventory	6 Months Ended
	Jun. 30, 2018
Inventory Disclosure [Abstract]
Inventory	Inventory Inventory consisted of the following as of the date indicated (in thousands): June 30, 2018 December 31, 2017 Raw materials $ 5,429 $ 5,743 Work in process 5,296 4,845 Finished goods 6,871 9,469 Total inventory $ 17,596 $ 20,057

Long-term Debt

Long-term Debt	6 Months Ended
	Jun. 30, 2018
Debt Disclosure [Abstract]
Long-term Debt	Long-term Debt In April 2014, the Company entered into a term loan agreement under which it could borrow up to $45.0 million , including an option to defer payment of a portion of the interest that would accrue on the borrowing under the term loan agreement. Upon initial closing, the Company borrowed $20.0 million , and in October 2014, the Company borrowed an additional $10.0 million under the term loan agreement. In October 2015, the Company amended the term loan agreement to, among other provisions, increase the maximum borrowing capacity to $60.0 million (excluding deferred interest), reduce the applicable interest rate from 12.5% to 12.0% , extend the interest-only period through March 2021, and extend the final maturity to March 2022. Under the amended agreement, borrowings accrue interest at 12.0% annually, payable quarterly, of which 3.0% can be deferred during the first six years of the term at the Company’s option and paid together with the principal at maturity. The Company has elected to exercise the option to defer payment of a portion of the interest and has recorded $5.1 million of deferred interest through June 30, 2018 . In December 2015, the Company borrowed an additional $10.0 million under the terms of the amended agreement. In June 2016, the Company borrowed an additional $5.0 million . At December 31, 2016, the Company's option to borrow $15.0 million more under the amended term loan agreement expired. Total borrowings and deferred interest under the amended term loan agreement were $50.1 million and $49.3 million as of June 30, 2018 and December 31, 2017 , respectively. Under the amended term loan agreement, the Company may pay interest-only for the first seven years of the term and principal payments are due in four equal installments during the eighth year of the term. The amended term loan agreement included a declining redemption fee payable upon prepayment during the first four years after we entered into the agreement. However, this period has lapsed and we have the option to prepay the term loan, in whole or part, at any time, with no penalty. A facility fee equal to 2.0% of the amount borrowed plus any accrued interest is payable at the end of the term or when the loan is repaid in full. A long-term liability of $1.1 million for the facility fee is being accreted using the effective interest method over the term of the loan agreement. Obligations under the term loan agreement are collateralized by substantially all of the Company’s assets. The 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 term loan agreement also includes a $2.0 million minimum liquidity covenant and revenue-based financial requirements, specifically $100.0 million for 2018 with annual increases of $15.0 million for each subsequent fiscal year thereafter. If the Company’s actual revenue is below the minimum annual revenue requirement for any given year, it may avoid a related default by generating proceeds from an equity or subordinated debt issuance equal to the shortfall between its actual revenue and the minimum revenue requirement. In January 2018, the Company entered into a $15.0 million secured revolving loan facility, with availability subject to a borrowing base consisting of eligible accounts receivable. The agreement matures in January 2021, at which time the outstanding principal will become due and payable. Interest on borrowings is payable monthly and accrues at a yearly rate equal to the greater of the prime rate, as reported in the Wall Street Journal, plus 0.50% or 4.75% . During an event of default amounts drawn accrue interest at a yearly rate equal to 8.75% . Obligations under the agreement are secured by the Company's cash and cash equivalents, accounts receivable and proceeds thereof, and inventory and proceeds from the sale thereof. The lender’s interest in the collateral under the loan facility is senior to the lender’s interest in such collateral under the term loan agreement. The loan facility contains various customary representations and warranties, conditions to borrowing, events of default, including cross default provisions with respect to the loan facility, and covenants, including financial covenants requiring the maintenance of minimum annual revenue and liquidity. There were no borrowings under the secured revolving loan facility as of June 30, 2018 . The Company was in compliance with its financial covenants under the term loan agreement and the secured revolving loan facility as of June 30, 2018 . Long-term debt consisted of the following (in thousands): June 30, 2018 December 31, 2017 Term loans payable $ 50,062 $ 49,315 Unamortized debt issuance costs (337 ) (384 ) Long-term debt, net of debt issuance costs $ 49,725 $ 48,931 Scheduled future principal payments for outstanding debt were as follows at June 30, 2018 (in thousands): Years Ending December 31, Remainder of 2018 $ — 2019 — 2020 — 2021 37,547 2022 12,515 $ 50,062

Collaboration Agreements

Collaboration Agreements	6 Months Ended
	Jun. 30, 2018
Deferred Revenue Disclosure [Abstract]
Collaboration Agreements	Collaboration Agreements The Company evaluates the classification of payments within the statements of operations between the participants in each of its collaboration agreements at inception of the agreement based on the nature of the arrangement, the nature of its business operations and the contractual terms of the arrangement. The Company has determined that amounts to be received from collaborators in connection with the collaboration agreements entered into through June 30, 2018 are related to revenue generating activities. The Company uses a contingency-adjusted proportional performance model to recognize revenue over the Company’s performance period for each collaboration agreement that includes upfront and/or milestone-based payments. Costs incurred to date compared to total expected costs are used to determine proportional performance, as this is considered to be representative of the delivery of outputs under the arrangement. Revenue recognized at any point in time is a factor of and limited to cash received and amounts contractually due. Changes in estimates of total expected costs are accounted for prospectively. The Company recognizes revenue from collaboration agreements that do not include upfront and/or milestone-based payments when earned, which is generally in the same period related costs are incurred. Amounts due to collaboration partners are recognized when the related activities have occurred and are classified in the statement of operations, generally as research and development expense, based on the nature of the related activities. Lam Research Corporation In August 2017, the Company entered into a collaboration agreement with Lam Research Corporation (“Lam”) with respect to the development and commercialization of the Company's Hyb & Seq sequencing platform and related assays. Pursuant to the terms of the collaboration agreement, Lam will contribute up to an aggregate of $50.0 million , payable quarterly, to be applied to the research and development of the Company's Hyb & Seq platform, based on allowable development costs. Lam is eligible to receive certain single-digit percentage royalty payments from the Company on net sales of certain products and technologies developed under the collaboration agreement. The maximum amount of royalties payable to Lam will be capped at an amount up to three times the amount of development funding actually provided by Lam. The Company will retain exclusive rights to obtain regulatory approval, manufacture and commercialize the Hyb & Seq products. Lam will participate in research and product development through a joint steering committee. The Company will reimburse Lam for the cost of up to 10 full-time Lam employees each year in accordance with the product development plan. In connection with the execution of the collaboration agreement, the Company issued Lam a warrant to purchase up to 1.0 million shares of the Company’s common stock with the number of underlying shares exercisable at any time proportionate to the amount of the $50.0 million commitment that has been provided by Lam. The exercise price of the warrant is $16.75 per share, and the warrant will expire on the seventh anniversary of the issuance date. The warrant was determined to have a fair value of $6.7 million upon issuance, and such amount will be recorded as additional paid in capital proportionately from the quarterly collaboration payments made by Lam. During the three and six months ended June 30, 2018 , the Company recognized collaboration revenue relating to the agreement with Lam of $4.0 million and $8.2 million , respectively. The Company received development funding of $7.9 million and $11.4 million related to the Lam collaboration for the three and six months ended June 30, 2018 , respectively. At June 30, 2018 , the Company had recorded $1.7 million of deferred revenue related to the Lam collaboration, of which $0.8 million is estimated to be recognizable as revenue within one year. In addition, $9.1 million is included in customer deposits in the condensed consolidated balance sheet as of June 30, 2018 representing amounts received in advance. The Company incurred costs of $0.1 million during the three and six months ended June 30, 2018 related to services provided by Lam employees under the terms of the agreement. During the three and six months ended June 30, 2018 , Lam did not exercise any warrants. Celgene Corporation In March 2014, the Company entered into a collaboration agreement with Celgene Corporation (“Celgene”) to develop, seek regulatory approval for, and commercialize a companion diagnostic using the nCounter Analysis System to identify a subset of patients with Diffuse Large B-Cell Lymphoma. In February 2018, the Company and Celgene entered into an amendment to their collaboration agreement in which Celgene agreed to provide the Company additional funding for work intended to enable a subtype and prognostic indication for the test being developed under the agreement for Celgene’s drug REVLIMID. In addition, the amendment provides an additional milestone payment to the Company payable upon achievement of certain regulatory activities and timelines. In connection with this amendment, the Company agreed to remove the right to receive payments from Celgene in the event commercial sales of the companion diagnostic test do not exceed certain pre-specified minimum annual revenues during the first three years following regulatory approval. In addition, the amendment allows Celgene, at its election, to use trial samples with additional technologies for companion diagnostics. Pursuant to the Company's agreement as amended in February 2018, the Company is eligible to receive payments from Celgene totaling up to $27.3 million , of which $5.8 million was received as an upfront payment upon delivery of certain information to Celgene and $21.5 million is for development funding and potential success-based development and regulatory milestones. There have been several amendments to the collaboration agreement and in return the Company has received additional payments totaling $2.1 million . The Company will retain all commercial rights to the diagnostic test developed under this collaboration, subject to certain backup rights granted to Celgene to commercialize the diagnostic test in a particular country if the Company elects to cease distribution or elects not to distribute the diagnostic in such country. Assuming success in the clinical trial process, and subject to regulatory approval, the Company will market and sell the diagnostic assay. The Company achieved and was paid for milestones totaling $6.0 million during 2014. The process of successfully developing a product candidate, obtaining regulatory approval and ultimately commercializing a product candidate is highly uncertain and the attainment of any additional milestones is therefore uncertain and difficult to predict. In addition, certain milestones are outside the Company’s control and are dependent on the performance of Celgene and the outcome of a clinical trial and related regulatory processes. Accordingly, the Company is not able to reasonably estimate when, if at all, any additional milestone payments may be payable to the Company by Celgene. During the three and six months ended June 30, 2018 , the Company increased its estimated future costs, in part as a result of the amended agreement which expanded the scope and nature of the work being performed in future periods. Additionally, the Company became aware of new information during the quarter which resulted in an increase of future costs related primarily to ongoing regulatory activities associated with the collaboration. As a result of the higher cost estimates in future periods, the Company recognized a reduction of cumulative revenue of $0.2 million for the six months ended June 30, 2018 . The Company recognized collaboration revenue related to the Celgene agreement of $0.5 million and $0.6 million for the three and six months ended June 30, 2017 , respectively. At June 30, 2018 , the Company had recorded $6.4 million of deferred revenue related to the Celgene collaboration, of which $5.2 million is estimated to be recognizable as revenue within one year. Merck & Co., Inc. In May 2015, the Company entered into a clinical research collaboration agreement with Merck, to develop an assay intended to optimize immune-related gene expression signatures and evaluate the potential to predict benefit from Merck’s anti-PD-1therapy, KEYTRUDA. Under the terms of the collaboration agreement, the Company received $3.9 million in payments during 2015. In connection with the execution of the development collaboration agreement, the Company and Merck terminated the May 2015 clinical research collaboration and moved all remaining activities under the related work plan to the new development collaboration agreement. In February 2016, the Company expanded its collaboration with Merck by entering into a new development collaboration agreement to clinically develop, seek regulatory approval for, and commercialize a diagnostic test, to predict response to KEYTRUDA in multiple tumor types. During 2016, the Company received $12.0 million upfront as a technology access fee and $8.5 million of preclinical milestone payments. In October 2017, Merck notified the Company of its decision not to pursue regulatory approval of the companion diagnostic test for KEYTRUDA and, in August 2018, the Company and Merck agreed to mutually terminate their development collaboration agreement, effective as of September 30, 2018, following the completion of certain close-out activities. As part of the mutual termination agreement, Merck granted to the Company a non-exclusive license to certain intellectual property that relates to Merck’s tumor inflammation signature. The Company recognized collaboration revenue of $0.5 million and $4.5 million related to the Merck agreement for the three months ended June 30, 2018 and 2017 , respectively, and $1.4 million and $6.6 million for the six months ended June 30, 2018 and 2017 , respectively. The Company received development funding of $0.3 million and $1.5 million for the three months ended June 30, 2018 and 2017 , respectively, and $0.9 million and $3.3 million for the six months ended June 30, 2018 and 2017 , respectively. At June 30, 2018 , the Company had recorded $0.1 million of deferred revenue related to the Merck collaboration which is estimated to be recognizable as revenue within one year. Medivation, Inc. and Astellas Pharma, Inc. In January 2016, the Company entered into a collaboration agreement with Medivation and Astellas to pursue the translation of a novel gene expression signature algorithm discovered by Medivation into a companion diagnostic assay using the nCounter Analysis System. In September 2016, Medivation was acquired by Pfizer, Inc. (“Pfizer”) and became a wholly owned subsidiary of Pfizer. In May 2017, the Company received notification from Pfizer and Astellas terminating the collaboration agreement as a result of a decision to discontinue the related clinical trial.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	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 operations, financial condition or cash flows.

Information about Geographic Ar

Information about Geographic Areas	6 Months Ended
	Jun. 30, 2018
Segment Reporting [Abstract]
Information about Geographic Areas	Information about Geographic Areas The Company operates as a single reportable segment and enables customers to perform both research and clinical testing on its nCounter Analysis Systems. The Company has one sales force that sells these systems to both research and clinical testing labs, and its nCounter Elements reagents can be used for both research and diagnostic testing. In addition, the Company’s Prosigna Breast Cancer Assay is marketed to clinical laboratories. The following table of total revenue is based on the geographic location of distributors or end users who purchase products and services and collaborators. For sales to distributors, their geographic location may be different from the geographic locations of the ultimate end user. For collaboration agreements, revenues are derived primarily from partners located primarily in the United States. Americas consists of the United States, Canada, Mexico and South America; and Asia Pacific includes Japan, China, South Korea, Singapore, Malaysia, India and Australia. Revenue by geography was as follows (in thousands): Three Months Ended Six Months Ended 2018 2017 2018 2017 Americas $ 17,005 $ 27,341 $ 32,833 $ 39,552 Europe & Middle East 6,392 5,237 12,150 9,653 Asia Pacific 1,602 2,014 3,101 3,451 Total revenue $ 24,999 $ 34,592 $ 48,084 $ 52,656 Total revenue in the United States was $15.9 million and $26.8 million for the three months ended June 30, 2018 and 2017 , respectively, and $30.8 million and $38.6 million for the six months ended June 30, 2018 and 2017 , 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 Event

Subsequent Event	6 Months Ended
	Jun. 30, 2018
Subsequent Event [Line Items]
Subsequent Event	In July 2018, the Company completed an underwritten public offering of 4,000,000 shares of common stock for total gross proceeds of $50 million . After underwriters’ fees and commissions and other expenses of the offering, the Company’s aggregate net proceeds were approximately $46.8 million .

Basis of Presentation and Sum20

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2018
Accounting Policies [Abstract]
Basis of Presentation	The accompanying unaudited condensed consolidated financial statements reflect the accounts of the Company and its wholly-owned subsidiaries. The unaudited condensed consolidated balance sheet at December 31, 2017 has been derived from the audited consolidated financial statements at that date but does not include all of the information and disclosures required by generally accepted accounting principles in the United States of America (“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, 2017 . 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 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 and six month periods ended June 30, 2018 are not necessarily indicative of the results to be expected for the full year or for any other period.
Reclassifications	Reclassifications Certain reclassifications have been made to prior year financial statements to conform to current year presentation.
Revenue Recognition	The Company recognizes revenue when control of the promised goods or services are transferred to its customers, in an amount that reflects the consideration expected to be received in exchange for those products and services. This process involves identifying the contract with a customer, determining the performance obligations in the contract, determining the contract price, allocating the contract price to the distinct performance obligations in the contract, and recognizing revenue when the performance obligations have been satisfied. A performance obligation is considered distinct from other obligations in a contract when it provides a benefit to the customer either on its own or together with other resources that are readily available to the customer and is separately identified in the contract. Performance obligations are considered satisfied once the Company has transferred control of a product or service to the customer, meaning the customer has the ability to use and obtain the benefit of the product or service. The Company recognizes revenue for satisfied performance obligations only when there are no uncertainties regarding payment terms or transfer of control. The Company generates the majority of its revenue from the sale of products and services. The Company’s products consist of its proprietary nCounter Analysis Systems and related consumables. Services consist of instrument service contracts and service fees for assay processing. Revenue from instruments, consumables and in vitro diagnostic kits is recognized generally upon delivery to the end customer, which is when title of the product has been transferred to the customer. Instrument revenue related to installation and calibration services is recognized when the customer has possession of the instrument and the services have been performed. Such services can also be provided by the Company’s distribution partners and other third parties. For instruments sold solely to run Prosigna assays, an initial training course must be provided by the Company prior to instrument revenue recognition. Instrument service contracts are sold with contract terms ranging from 12 – 36 months and cover periods after the end of the initial 12 -month warranty. These contracts include services to maintain performance within the Company’s designed specifications and a minimum of one preventative maintenance service procedure during the contract term. Revenue from services to maintain designed specifications is considered a stand-ready obligation and recognized evenly over the contract term and service revenue related to preventative maintenance of instruments is recognized when the procedure is completed. Revenue from service fees for assay processing is recognized upon the rendering of the related performance obligation. For arrangements with multiple performance obligations, the Company allocates the contract price in proportion to its stand-alone selling price. The Company uses its best estimate of stand-alone selling price for its products and services based on average selling prices over a 12-month period and reviews its stand-alone prices annually. Product and service revenues from sales to customers through distributors are recognized consistent with the terms of direct sales to customers. The Company enters into collaborative agreements that may generate upfront fees with subsequent milestone payments that may be earned upon completion of development-related milestones. The Company is able to estimate the total cost of services under these arrangements and recognizes collaboration revenue using a contingency-adjusted proportional performance model. Costs incurred to date compared to total expected costs are used to determine proportional performance, as this is considered to be representative of the delivery of outputs under the arrangements. Revenue recognized at any point in time is limited to cash received, amounts contractually due, and a development-related milestone when achievement is probable. Changes in estimates of total expected costs are accounted for prospectively as a change in estimate. From period to period, collaboration revenue can fluctuate substantially based on the achievement or probable achievement of development-related milestones. The Company recognizes revenue from collaborative agreements that do not include upfront and/or milestone-based payments when earned. Amounts due to collaboration partners are recognized when the related activities have occurred and are classified in the statement of operations, generally as research and development expense, based on the nature of the related activities.
Recent Accounting Pronouncements	Recently Adopted Accounting Pronouncement In May 2014, the Financial Accounting Standards Board (“FASB”) issued “ASU 2014-09, Revenue from Contracts with Customers.” The standard requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to a customer. In March 2016, the FASB issued “ASU 2016-08, Principal vs Agent Considerations (Reporting Revenue Gross versus Net)” which clarifies the implementation guidance on principal versus agent considerations. In April 2016, the FASB issued “ASU 2016-10, Identifying Performance Obligations and Licensing” which clarifies the implementation guidance on identifying performance obligations and the licensing implementation guidance. In May 2016, the FASB issued “ASU 2016-12, Narrow-Scope Improvements and Practical Expedients” which provides practical expedients for contract modifications and clarification on assessing the collectability criterion, presentation of sales taxes, measurement date for non-cash consideration and completed contracts at transition. The standards require an entity to recognize the amount of revenue which it expects to be entitled for the transfer of promised goods or services to a customer. This guidance replaces most existing revenue recognition guidance and requires more extensive disclosures related to revenue recognition, particularly in quarterly financial statements. A cumulative effect of applying the new revenue standard has been recognized as an adjustment to the opening balance of retained earnings as of January 1, 2018, using the modified retrospective transition method. The comparative information has not been restated and continues to be reported under the accounting standards in effect for the period presented. See Note 3. Revenue from Contracts with Customers, for additional accounting policy and transition disclosures. In January 2016, FASB issued “ASU 2016-01, Financial Instruments: Overall.” The standard addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The Company adopted the standard in the first quarter of 2018 and adoption did not have a material impact on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. In August 2016, FASB issued “ASU No. 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments.” The standard provides guidance on the presentation of certain cash receipts and cash payments in the statement of cash flows in order to reduce diversity in existing practice. The Company adopted the standard in the first quarter of 2018 and there was no material impact on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. In November 2016, FASB issued “ASU 2016-18, Statement of Cash Flows: Restricted Cash.” The standard requires companies to include amounts generally described as restricted cash and restricted cash equivalents, along with cash and cash equivalents, when reconciling the beginning-of-period and end-of-period amounts shown on the statement of cash flows. The Company adopted the standard in the first quarter of 2018 using the retrospective transition method and reflected the impact of this standard in its consolidated cash flows. In May 2017, FASB issued “ASU 2017-09, Compensation - Stock Compensation: Scope of Modification Accounting.” The standard clarifies which changes to the terms or conditions of a share-based payment award are required to be accounted for as modifications. The Company adopted the standard in the first quarter of 2018 prospectively and adoption did not have an impact on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. 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 until December 31, 2018, applicable to public companies until such pronouncements are made applicable to private companies. As a result, its financial statements may not be comparable to the financial statements of issuers who are required to comply with the effective dates for new or revised accounting standards that are applicable to public companies. In February 2016, FASB issued “ASU 2016-02, Leases – Recognition and Measurement of Financial Assets and Financial Liabilities.” The standard requires the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition. The standard requires lessors to classify leases as either sales-type, finance or operating. A sales-type lease occurs if the lessor transfers all of the risks and rewards, as well as control of the underlying asset, to the lessee. If risks and rewards are conveyed without the transfer of control, the lease is treated as a financing lease. If the lessor does not convey risks and rewards or control, an operating lease results. The standard will become effective for the Company beginning January 1, 2019 with early adoption permitted. The Company is currently assessing the impact adoption of this standard will have on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures, and currently expects that most of its operating lease commitments will be recognized as right-of-use assets and operating lease liabilities upon the adoption of ASU 2016-02, which will increase the total assets and liabilities that the Company reports relative to such amounts prior to adoption. In June 2016, FASB issued “ASU 2016-13, Financial Instruments: Credit Losses.” The standard provides information about expected credit losses on financial instruments at each reporting date, and to change how other than temporary impairments on investments securities are recorded. The standard will become effective for the Company beginning January 1, 2020 with early adoption permitted. The Company is currently assessing the impact adoption of this standard will have on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures. In February 2018, FASB issued “ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” The new guidance permits companies to reclassify the stranded tax effects of the Tax Cuts and Jobs Act (the “Act”) on items within accumulated other comprehensive income to retained earnings. This standard will become effective for the Company beginning January 1, 2019 with early adoption permitted. The Company is currently assessing the impact adoption of this standard will have on its consolidated results of operations, financial condition, cash flows, and financial statement disclosures.
Net Loss Per Share	Net loss per share is computed by dividing the net loss by the weighted average number of shares of common stock outstanding. Outstanding stock options, restricted stock units and warrants have not been included in the calculation of diluted net loss 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 or 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.

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Summary of Shares Underlying Outstanding Options and Warrants were Excluded from Computation of Basic and Diluted Net Loss Per Share	The following shares underlying outstanding options, restricted stock units and warrants were excluded from the computation of basic and diluted net loss per share for the periods presented because their effect would have been anti-dilutive (in thousands): Three Months Ended Six Months Ended 2018 2017 2018 2017 Options to purchase common stock 5,525 5,409 5,595 5,284 Restricted stock units 1,193 272 1,106 255 Common stock warrants 468 332 413 332

Revenue from Contracts with C22

Revenue from Contracts with Customers (Tables)	6 Months Ended
	Jun. 30, 2018
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	The following table provides information about disaggregated revenue by major product line and primary geographic market (in thousands): Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 Americas Europe and Middle East Asia Pacific Total Americas Europe and Middle East Asia Pacific Total Product revenue: Instruments $ 3,131 $ 1,555 $ 802 $ 5,488 $ 5,817 $ 3,040 $ 1,305 $ 10,162 Consumables 6,801 2,872 608 10,281 12,961 5,249 1,428 19,638 In vitro diagnostic kits 918 1,516 87 2,521 1,599 2,913 175 4,687 Total product revenue 10,850 5,943 1,497 18,290 20,377 11,202 2,908 34,487 Service revenue 1,540 449 105 2,094 2,801 948 193 3,942 Total product and service revenue 12,390 6,392 1,602 20,384 23,178 12,150 3,101 38,429 Collaboration revenue 4,615 — — 4,615 9,655 — — 9,655 Total revenues $ 17,005 $ 6,392 $ 1,602 $ 24,999 $ 32,833 $ 12,150 $ 3,101 $ 48,084 Three Months Ended June 30, 2017 Six Months Ended June 30, 2017 Americas Europe and Middle East Asia Pacific Total Americas Europe and Middle East Asia Pacific Total Product revenue: Instruments $ 3,029 $ 1,653 $ 1,353 $ 6,035 $ 5,843 $ 2,840 $ 1,822 $ 10,505 Consumables 6,537 2,067 590 9,194 12,120 4,195 1,471 17,786 In vitro diagnostic kits 697 1,105 33 1,835 1,178 2,021 75 3,274 Total product revenue 10,263 4,825 1,976 17,064 19,141 9,056 3,368 31,565 Service revenue 796 412 38 1,246 1,830 597 83 2,510 Total product and service revenue 11,059 5,237 2,014 18,310 20,971 9,653 3,451 34,075 Collaboration revenue 16,282 — — 16,282 18,581 — — 18,581 Total revenues $ 27,341 $ 5,237 $ 2,014 $ 34,592 $ 39,552 $ 9,653 $ 3,451 $ 52,656
Schedule of New Accounting Pronouncements and Changes in Accounting Principles	In accordance with the new revenue guidance, the disclosure of the impact of adoption of this new standard to our condensed consolidated statements of operations and balance sheets was as follows: Three Months Ended June 30, 2018 Six Months Ended June 30, 2018 (in thousands, except per share amounts) As Reported Amounts under previous revenue standard Effect of Change As Reported Amounts under previous revenue standard Effect of Change Revenue: Product and service $ 20,384 $ 20,224 $ 160 $ 38,429 $ 38,030 $ 399 Collaboration 4,615 4,615 — 9,655 9,655 — Total revenue 24,999 24,839 160 48,084 47,685 399 Net loss $ (20,601 ) $ (20,761 ) $ 160 $ (39,803 ) $ (40,202 ) $ 399 Net loss per share - basic and diluted $ (0.80 ) $ (0.81 ) $ 0.01 $ (1.55 ) $ (1.57 ) $ 0.02 June 30, 2018 (in thousands) As Reported Balances under previous revenue standard Effect of Change Liabilities: Deferred revenue, current portion $ 9,878 $ 9,523 $ 355 Stockholders' equity Accumulated deficit $ (353,659 ) $ (353,304 ) $ (355 )

Short-term Investments (Tables)

Short-term Investments (Tables)	6 Months Ended
	Jun. 30, 2018
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 securities as of June 30, 2018 Amortized cost Gross unrealized gains Gross unrealized losses Fair value Corporate debt securities $ 17,500 $ — $ (24 ) $ 17,476 U.S. government-related debt securities 8,973 — (43 ) 8,930 Total available-for-sale securities $ 26,473 $ — $ (67 ) $ 26,406 Type of securities as of December 31, 2017 Amortized cost Gross unrealized gains Gross unrealized losses Fair value Corporate debt securities $ 35,567 $ — $ (53 ) $ 35,514 U.S. government-related debt securities 15,951 — (46 ) 15,905 Total available-for-sale securities $ 51,518 $ — $ (99 ) $ 51,419
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): June 30, 2018 December 31, 2017 Maturing in one year or less $ 26,406 $ 39,985 Maturing in one to three years — 11,434 Total available-for-sale securities $ 26,406 $ 51,419
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Table Text Block]	The following table summarizes investments that have been in a continuous unrealized loss position as of June 30, 2018 (in thousands). Less Than 12 Months 12 Months or Greater Total Fair value Gross unrealized losses Fair value Gross unrealized losses Fair value Gross unrealized losses Corporate debt securities $ 9,008 $ (24 ) $ — $ — $ 9,008 $ (24 ) U.S. government-related debt securities 8,930 (43 ) — — 8,930 (43 ) Total $ 17,938 $ (67 ) $ — $ — $ 17,938 $ (67 )

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2018
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 June 30, 2018 Level 1 Level 2 Level 3 Total Cash equivalents: Money market fund $ 16,728 $ — $ — $ 16,728 Short-term investments: Corporate debt securities — 17,476 — 17,476 U.S. government-related debt securities — 8,930 — 8,930 Total $ 16,728 $ 26,406 $ — $ 43,134 As of December 31, 2017 Level 1 Level 2 Level 3 Total Cash equivalents: Money market fund $ 22,398 $ — $ — $ 22,398 Short-term investments: Corporate debt securities — 35,514 — 35,514 U.S. government-related debt securities — 15,905 — 15,905 Total $ 22,398 $ 51,419 $ — $ 73,817

Inventory (Tables)

Inventory (Tables)	6 Months Ended
	Jun. 30, 2018
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventory consisted of the following as of the date indicated (in thousands): June 30, 2018 December 31, 2017 Raw materials $ 5,429 $ 5,743 Work in process 5,296 4,845 Finished goods 6,871 9,469 Total inventory $ 17,596 $ 20,057

Long-term Debt (Tables)

Long-term Debt (Tables)	6 Months Ended
	Jun. 30, 2018
Debt Disclosure [Abstract]
Components of Borrowings, Including Current Portion	Long-term debt consisted of the following (in thousands): June 30, 2018 December 31, 2017 Term loans payable $ 50,062 $ 49,315 Unamortized debt issuance costs (337 ) (384 ) Long-term debt, net of debt issuance costs $ 49,725 $ 48,931
Scheduled Future Principal Payments under Outstanding Debt Obligations	Scheduled future principal payments for outstanding debt were as follows at June 30, 2018 (in thousands): Years Ending December 31, Remainder of 2018 $ — 2019 — 2020 — 2021 37,547 2022 12,515 $ 50,062

Information about Geographic 27

Information about Geographic Areas (Tables)	6 Months Ended
	Jun. 30, 2018
Segment Reporting [Abstract]
Classification of Revenue by Geography	Revenue by geography was as follows (in thousands): Three Months Ended Six Months Ended 2018 2017 2018 2017 Americas $ 17,005 $ 27,341 $ 32,833 $ 39,552 Europe & Middle East 6,392 5,237 12,150 9,653 Asia Pacific 1,602 2,014 3,101 3,451 Total revenue $ 24,999 $ 34,592 $ 48,084 $ 52,656

Description of Business - Addit

Description of Business - Additional Information (Details) - USD ($) $ in Thousands	1 Months Ended	6 Months Ended
	Jan. 31, 2018	Jun. 30, 2018	Jun. 30, 2017
Subsidiary, Sale of Stock [Line Items]
Proceeds from sale of common stock, net		$ 0	$ 56,486
At The Market Equity Offering
Subsidiary, Sale of Stock [Line Items]
Proceeds from sale of common stock, net	$ 40,000
Commission expense, percentage	3.00%

Basis of Presentation and Sum29

Basis of Presentation and Summary of Significant Accounting Policies - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2018
Significant Accounting Policies [Line Items]
Standard warranty period	12 months
Minimum
Significant Accounting Policies [Line Items]
Extended warranty period	12 months
Maximum
Significant Accounting Policies [Line Items]
Extended warranty period	36 months

Net Loss Per Share - Summary of

Net Loss Per Share - Summary of Shares Underlying Outstanding Options and Warrants were Excluded from Computation of Basic and Diluted Net Loss Per Share (Detail) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Options to purchase common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share (in shares)	5,525	5,409	5,595	5,284
Restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share (in shares)	1,193	272	1,106	255
Common stock warrants | Common Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earnings per share (in shares)	468	332	413	332

Revenue from Contracts with C31

Revenue from Contracts with Customers - Narrative (Details) - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2018	Jan. 01, 2018	Dec. 31, 2017
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Customer deposits	$ 9,502,000	$ 9,502,000		$ 8,945,000
Contract liabilities	(13,100,000)	(13,100,000)		$ (12,500,000)
Performance obligation satisfied in previous period		10,400,000
Cash payments received form customers		11,400,000
Contract assets	0	0
Accounting Standards Update 2014-09
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue recognized during period of adoption	(200,000)	(400,000)
Calculated under Revenue Guidance in Effect before Topic 606 | Accounting Standards Update 2014-09
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Contract liabilities	$ 1,200,000	$ 1,200,000
Retained Earnings | Accounting Standards Update 2014-09
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Cumulative impact of new standard			$ 800,000

Revenue from Contracts with C32

Revenue from Contracts with Customers - Schedule of Disaggregated Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	$ 24,999	$ 34,592	$ 48,084	$ 52,656
Instruments
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	5,488	6,035	10,162	10,505
Consumables
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	10,281	9,194	19,638	17,786
In vitro diagnostic kits
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	2,521	1,835	4,687	3,274
Total product revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	18,290	17,064	34,487	31,565
Service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	2,094	1,246	3,942	2,510
Total product and service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	20,384	18,310	38,429	34,075
Collaboration revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	4,615	16,282	9,655	18,581
Americas
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	17,005	27,341	32,833	39,552
Americas | Instruments
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	3,131	3,029	5,817	5,843
Americas | Consumables
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	6,801	6,537	12,961	12,120
Americas | In vitro diagnostic kits
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	918	697	1,599	1,178
Americas | Total product revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	10,850	10,263	20,377	19,141
Americas | Service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	1,540	796	2,801	1,830
Americas | Total product and service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	12,390	11,059	23,178	20,971
Americas | Collaboration revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	4,615	16,282	9,655	18,581
Europe and Middle East
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	6,392	5,237	12,150	9,653
Europe and Middle East | Instruments
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	1,555	1,653	3,040	2,840
Europe and Middle East | Consumables
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	2,872	2,067	5,249	4,195
Europe and Middle East | In vitro diagnostic kits
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	1,516	1,105	2,913	2,021
Europe and Middle East | Total product revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	5,943	4,825	11,202	9,056
Europe and Middle East | Service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	449	412	948	597
Europe and Middle East | Total product and service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	6,392	5,237	12,150	9,653
Europe and Middle East | Collaboration revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	0	0	0	0
Asia Pacific
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	1,602	2,014	3,101	3,451
Asia Pacific | Instruments
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	802	1,353	1,305	1,822
Asia Pacific | Consumables
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	608	590	1,428	1,471
Asia Pacific | In vitro diagnostic kits
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	87	33	175	75
Asia Pacific | Total product revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	1,497	1,976	2,908	3,368
Asia Pacific | Service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	105	38	193	83
Asia Pacific | Total product and service revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	1,602	2,014	3,101	3,451
Asia Pacific | Collaboration revenue
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Revenue	$ 0	$ 0	$ 0	$ 0

Revenue from Contracts with C33

Revenue from Contracts with Customers - Performance Obligations (Details) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: (nil) $ in Millions	Jun. 30, 2018USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 17.5
Total Products And Services
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 5.1

Revenue from Contracts with C34

Revenue from Contracts with Customers - Schedule of Impact of Changes in Accounting Standard (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Product and service	$ 20,384	$ 18,310	$ 38,429	$ 34,075
Collaboration	4,615	16,282	9,655	18,581
Total revenue	24,999	34,592	48,084	52,656
Net loss	$ (20,601)	$ (4,555)	$ (39,803)	$ (23,407)
Net loss per share - basic and diluted (in dollars per share)	$ (0.80)	$ (0.20)	$ (1.55)	$ (1.06)
Deferred revenue, current portion	$ 9,878		$ 9,878		$ 9,229
Accumulated deficit	(353,659)		(353,659)		$ (313,102)
Difference between Revenue Guidance in Effect before and after Topic 606 | Accounting Standards Update 2014-09
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Product and service	160		399
Collaboration	0		0
Total revenue	160		399
Net loss	$ 160		$ 399
Net loss per share - basic and diluted (in dollars per share)	$ 0.01		$ 0.02
Deferred revenue, current portion	$ 355		$ 355
Accumulated deficit	(355)		(355)
Calculated under Revenue Guidance in Effect before Topic 606
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Product and service	20,224		38,030
Collaboration	4,615		9,655
Total revenue	24,839		47,685
Net loss	$ (20,761)		$ (40,202)
Net loss per share - basic and diluted (in dollars per share)	$ (0.81)		$ (1.57)
Deferred revenue, current portion	$ 9,523		$ 9,523
Accumulated deficit	$ (353,304)		$ (353,304)

Concentration of Risks - Additi

Concentration of Risks - Additional Information (Detail) - Customer Concentration Risk - Total revenue	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Lam Research Corporation
Concentration Risk [Line Items]
Concentration risk percentage	16.00%		17.00%
Merck Sharp & Dohme Corp.
Concentration Risk [Line Items]
Concentration risk percentage		33.00%		21.00%
Merck Sharp & Dohme Corp.
Concentration Risk [Line Items]
Concentration risk percentage		13.00%		13.00%

Short-term Investments - Availa

Short-term Investments - Available-for-Sale Securities (Detail) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	$ 26,473	$ 51,518
Gross unrealized gains	0	0
Gross unrealized losses	(67)	(99)
Fair value	26,406	51,419
Corporate debt securities
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	17,500	35,567
Gross unrealized gains	0	0
Gross unrealized losses	(24)	(53)
Fair value	17,476	35,514
U.S. government-related debt securities
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	8,973	15,951
Gross unrealized gains	0	0
Gross unrealized losses	(43)	(46)
Fair value	$ 8,930	$ 15,905

Short-term Investments - Fair V

Short-term Investments - Fair Values of Available-for-Sale Securities by Contractual Maturity (Detail) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]
Maturing in one year or less	$ 26,406	$ 39,985
Maturing in one to three years	0	11,434
Total available-for-sale securities	$ 26,406	$ 51,419

Short-term Investments - Summar

Short-term Investments - Summary of Investments in a Continuous Loss Position (Details) $ in Thousands	Jun. 30, 2018USD ($)
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair value	$ 17,938
Less Than 12 Months, Gross unrealized losses	(67)
12 Months or Greater, Fair value	0
12 Months or Greater, Gross unrealized losses	0
Total, Fair value	17,938
Total, Gross unrealized losses	67
Corporate debt securities
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair value	9,008
Less Than 12 Months, Gross unrealized losses	(24)
12 Months or Greater, Fair value	0
12 Months or Greater, Gross unrealized losses	0
Total, Fair value	9,008
Total, Gross unrealized losses	24
U.S. government-related debt securities
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Months, Fair value	8,930
Less Than 12 Months, Gross unrealized losses	(43)
12 Months or Greater, Fair value	0
12 Months or Greater, Gross unrealized losses	0
Total, Fair value	8,930
Total, Gross unrealized losses	$ 43

Short-term Investments - Additi

Short-term Investments - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2018USD ($)
Investments, Debt and Equity Securities [Abstract]
Investments that were other-than-temporarily impaired	$ 0

Fair Value Measurements - Compa

Fair Value Measurements - Company's Available-for-Sale Securities by Level within Fair Value Hierarchy (Detail) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	$ 26,406	$ 51,419
Total	43,134	73,817
Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	17,476	35,514
U.S. government-related debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	8,930	15,905
Money market fund
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	16,728	22,398
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total	16,728	22,398
Level 1 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
Level 1 | U.S. government-related debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
Level 1 | Money market fund
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	16,728	22,398
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total	26,406	51,419
Level 2 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	17,476	35,514
Level 2 | U.S. government-related debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	8,930	15,905
Level 2 | Money market fund
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	0	0
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total	0	0
Level 3 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
Level 3 | U.S. government-related debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	0	0
Level 3 | Money market fund
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	$ 0	$ 0

Inventory - Schedule of Invento

Inventory - Schedule of Inventory (Detail) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Inventory Disclosure [Abstract]
Raw materials	$ 5,429	$ 5,743
Work in process	5,296	4,845
Finished goods	6,871	9,469
Inventory, net	$ 17,596	$ 20,057

Long-term Debt - Additional Inf

Long-term Debt - Additional Information (Detail)	1 Months Ended	6 Months Ended
	Jan. 31, 2018USD ($)	Jun. 30, 2018USD ($)installment	Dec. 31, 2017USD ($)	Mar. 31, 2017USD ($)	Jun. 30, 2016USD ($)	Dec. 31, 2015USD ($)	Oct. 31, 2015USD ($)	Oct. 31, 2014USD ($)	Apr. 30, 2014USD ($)
Line of Credit Facility [Line Items]
Term loans payable		$ 50,062,000	$ 49,315,000
Term Loan Agreement
Line of Credit Facility [Line Items]
Credit facility, maximum borrowing capacity							$ 60,000,000		$ 45,000,000
Credit facility, additional borrowing capacity					$ 5,000,000	$ 10,000,000		$ 10,000,000
Unused borrowing capacity, amount				$ 15,000,000
Percentage of accrue interest		12.00%					12.50%
Percentage of deferred payment		3.00%
Interest deferral period		6 years
Deferred interest payment		$ 5,100,000
Term loans payable		$ 50,100,000		$ 49,300,000
Interest payment period		7 years
Number of installments | installment		4
Percentage payment up on repayment of principal amount		2.00%
Long term liability		$ 1,100,000
Minimum liquidity		2,000,000
Annual revenue requirements		100,000,000
Increase in annual revenue in fiscal years		15,000,000
Term Loan Agreement | Maximum
Line of Credit Facility [Line Items]
Credit facility, additional borrowing capacity									$ 20,000,000
Revolving Credit Facility | Secured Revolving Loan Facility
Line of Credit Facility [Line Items]
Credit facility, maximum borrowing capacity		$ 15,000,000
Variable rate	4.75%
Percentage of accrue interest	8.75%
Long-term Line of Credit	$ 0
Prime Rate | Revolving Credit Facility | Secured Revolving Loan Facility
Line of Credit Facility [Line Items]
Variable rate	0.50%

Long-term Debt - Components of

Long-term Debt - Components of Borrowings, Including Current Portion (Detail) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017	Mar. 31, 2017
Debt Instrument [Line Items]
Term loans payable	$ 50,062	$ 49,315
Unamortized debt issuance costs	(337)	(384)
Long-term debt, net of debt issuance costs	49,725	48,931
Term Loan Agreement
Debt Instrument [Line Items]
Term loans payable	50,100		$ 49,300
Long-term debt, net of debt issuance costs	$ 49,725	$ 48,931

Long-term Debt - Scheduled Futu

Long-term Debt - Scheduled Future Principal Payments under Outstanding Debt Obligations (Detail) $ in Thousands	Jun. 30, 2018USD ($)
Debt Disclosure [Abstract]
Remainder of 2018	$ 0
2,019	0
2,020	0
2,021	37,547
2,022	12,515
Total long-term debt and lease financing obligations	$ 50,062

Collaboration Agreements - Addi

Collaboration Agreements - Additional Information (Detail)	1 Months Ended		3 Months Ended		6 Months Ended		7 Months Ended	12 Months Ended	34 Months Ended
	Aug. 31, 2017USD ($)employee$ / sharesshares	Mar. 31, 2014USD ($)	Jun. 30, 2018USD ($)shares	Jun. 30, 2017USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2017USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2016USD ($)	Dec. 31, 2017USD ($)
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Estimated deferred revenue recognized within one year			$ 9,878,000		$ 9,878,000					$ 9,229,000
Collaborative Arrangement
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Collaborative agreement period					1 year
Collaborative Arrangement | Celgene Corporation
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
License and service revenue				$ 500,000	$ (200,000)	$ 600,000
Deferred revenue recorded under collaboration agreement			6,400,000		6,400,000
Estimated deferred revenue recognized within one year			5,200,000		5,200,000
Maximum success-based milestone payments		$ 21,500,000
Collaborative Arrangement | Celgene Corporation | Maximum
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Maximum success-based milestone payments		27,300,000
Collaborative Arrangement | Celgene Corporation | Upfront Payment Arrangement
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Proceeds from collaborators								$ 6,000,000
Collaboration agreement upfront payment		$ 5,800,000							$ 2,100,000
Collaborative Arrangement | Merck Sharp & Dohme Corp.
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
License and service revenue			500,000	4,500,000	1,400,000	6,600,000
Proceeds from collaborators			300,000	$ 1,500,000	900,000	3,300,000
Deferred revenue recorded under collaboration agreement			100,000		100,000
Collaborative Arrangement | Merck Sharp & Dohme Corp. | Upfront Payment Arrangement
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
License and service revenue						8,500,000
Proceeds from collaborators						$ 12,000,000	$ 3,900,000
Collaborative Arrangement | Lam Research Corporation
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
License and service revenue			4,000,000		8,200,000
Maximum amount of royalties payable (ratio)	3
Maximum number of employees | employee	10
Exercise price of warrants | $ / shares	$ 16.75
Issued warrants, value	$ 6,700,000
Proceeds from collaborators			7,900,000		11,400,000
Deferred revenue recorded under collaboration agreement			1,700,000		1,700,000
Estimated deferred revenue recognized within one year			800,000		800,000
Customer deposits			9,100,000		9,100,000
nstg_ReimbursementOfCounterpartyCosts			100,000		100,000
Amounts due for services provided			0		$ 0
Payments for services provided			$ 0
Number of warrants exercised | shares			0
Collaborative Arrangement | Lam Research Corporation | Maximum
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
License and service revenue	$ 50,000,000
Number of warrants, outstanding | shares	1,000,000

Information about Geographic 46

Information about Geographic Areas - Additional Information (Detail) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018USD ($)	Jun. 30, 2017USD ($)	Jun. 30, 2018USD ($)sales_forceSegment	Jun. 30, 2017USD ($)
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of sales forces | sales_force			1
Number of reportable segment | Segment			1
Total revenue	$ 24,999	$ 34,592	$ 48,084	$ 52,656
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	$ 15,900	$ 26,800

Information about Geographic 47

Information about Geographic Areas - Classification of Revenue by Geography (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	$ 24,999	$ 34,592	$ 48,084	$ 52,656
Americas
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	17,005	27,341	32,833	39,552
Europe & Middle East
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	6,392	5,237	12,150	9,653
Asia Pacific
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenue	$ 1,602	$ 2,014	$ 3,101	$ 3,451

Subsequent Event - Narrative (D

Subsequent Event - Narrative (Details) - Public offering - Subsequent event shares in Millions, $ in Millions	1 Months Ended
	Jul. 31, 2018USD ($)shares
Subsequent Event [Line Items]
Shares sold in offering | shares	4
Total gross proceeds from stock offering	$ 50
Aggregate net proceeds from stock offering	$ 46.8