Energy Recovery (ERII) 10-Q 3 Nov 16 2016 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Oct. 31, 2016
Document Information [Line Items]
Entity Registrant Name	Energy Recovery, Inc.
Entity Central Index Key	1,421,517
Trading Symbol	erii
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		52,351,885
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 80,691	$ 99,931
Current collateral for stand-by letters of credit	521	1,490
Short-term investments	15,049	257
Accounts receivable, net of allowance for doubtful accounts of $189 and $166 at September 30, 2016 and December 31, 2015, respectively	8,193	11,590
Unbilled receivables, current	914	1,879
Cost and estimated earnings in excess of billings	440
Inventories	5,839	6,503
Deferred tax assets, net		938
Prepaid expenses and other current assets	1,507	943
Total current assets	113,154	123,531
Non-current collateral for stand-by letters of credit	3,301	2,317
Unbilled receivables, non-current		6
Deferred tax assets, non-current	1,021
Property and equipment, net of accumulated depreciation of $20,634 and $18,338 at September 30, 2016 and December 31, 2015, respectively	9,182	10,622
Goodwill	12,790	12,790
Other intangible assets, net	2,058	2,531
Other assets, non-current	4	2
Total assets	141,510	151,799
Current liabilities:
Accounts payable	1,796	1,865
Accrued expenses and other current liabilities	6,272	7,808
Income taxes payable	137	2
Accrued warranty reserve	394	461
Deferred revenue	6,455	5,878
Current portion of long-term debt	11	10
Total current liabilities	15,065	16,024
Total long-term debt	30	38
Deferred tax liabilities, non-current	2,173	2,360
Deferred revenue, non-current	65,231	69,000
Other non-current liabilities	598	718
Total liabilities	83,097	88,140
Commitments and Contingencies (Note 9)
Stockholders’ equity:
Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued or outstanding
Common stock, $0.001 par value; 200,000,000 shares authorized; 56,023,054 shares issued and 52,301,398 shares outstanding at September 30, 2016, and 54,948,235 shares issued and 52,468,779 shares outstanding at December 31, 2015	56	55
Additional paid-in capital	136,053	129,809
Accumulated other comprehensive loss	(91)	(64)
Treasury stock at cost, 3,721,656 and 2,479,456 shares repurchased at September 30, 2016 and December 31, 2015, respectively	(16,210)	(6,835)
Accumulated deficit	(61,395)	(59,306)
Total stockholders’ equity	58,413	63,659
Total liabilities and stockholders’ equity	$ 141,510	$ 151,799

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Accounts receivable, allowance for doubtful accounts	$ 189	$ 166
Property and equipment, accumulated depreciation	$ 20,634	$ 18,338
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	56,023,054	54,948,235
Common stock, shares outstanding (in shares)	52,301,398	52,468,779
Treasury stock, at cost, shares (in shares)	3,721,656	2,479,456

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Product revenue	$ 11,024,000	$ 12,112,000	$ 33,048,000	$ 28,460,000
Product cost of revenue	3,968,000	4,948,000	11,878,000	12,315,000
Product gross profit	7,056,000	7,164,000	21,170,000	16,145,000
License and development revenue	1,250,000	0	3,750,000	0
Operating expenses:
General and administrative	3,971,000	3,590,000	12,847,000	15,230,000
Sales and marketing	2,512,000	2,195,000	6,517,000	6,622,000
Research and development	2,319,000	1,474,000	7,406,000	5,417,000
Amortization of intangible assets	158,000	159,000	473,000	476,000
Total operating expenses	8,960,000	7,418,000	27,243,000	27,745,000
Loss from operations	(654,000)	(254,000)	(2,323,000)	(11,600,000)
Other expense:
Interest expense	(1,000)		(2,000)	(40,000)
Other non-operating income (expense)	79,000	(48,000)	137,000	(130,000)
Loss before income taxes	(576,000)	(302,000)	(2,188,000)	(11,770,000)
Provision (benefit) for income taxes	3,000	38,000	(99,000)	180,000
Net loss	$ (579,000)	$ (340,000)	$ (2,089,000)	$ (11,950,000)
Net loss per share – basic and diluted (in dollars per share)	$ (0.01)	$ (0.01)	$ (0.04)	$ (0.23)
Basic & diluted weighted average common shares outstanding (in shares)	52,106	52,237	52,227	52,071

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Net loss	$ (579)	$ (340)	$ (2,089)	$ (11,950)
Other comprehensive income (loss), net of tax:
Foreign currency translation. balance	5	(4)	(1)	21
Unrealized gains (losses) on investments. balance	5	3	(26)	4
Other comprehensive income (loss)	10	(1)	(27)	25
Comprehensive loss	$ (569)	$ (341)	$ (2,116)	$ (11,925)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Portion of Revenue of Product Sales Agreement for Installation, Startup, and Training [Member]
Changes in operating assets and liabilities:
Deferred revenue	$ 557	$ 449
Software License Arrangement [Member]
Changes in operating assets and liabilities:
Deferred revenue	(3,750)
Net loss	(2,089)	(11,950)
Depreciation and amortization	2,771	2,897
Stock-based compensation	2,640	3,549
Provision for warranty claims	134	91
Amortization of premiums on investments	94	154
Provision for doubtful accounts	68	88
Unrealized loss on foreign currency transactions	65	54
Change in fair value of put options	33	55
Other non-cash adjustments	(120)	11
Valuation adjustments for excess or obsolete inventory	(175)	(126)
Reversal of accruals related to expired warranties	(201)	(213)
Deferred income taxes	(270)	172
Accounts receivable	3,330	2,810
Unbilled receivables	971	509
Inventories	839	(563)
Income taxes payable	135	(10)
Litigation settlement		(1,700)
Accounts payable	(69)	(134)
Costs and estimated earnings in excess of billings	(440)
Prepaid and other assets	(598)	(242)
Accrued expenses and other liabilities	(1,598)	(3,602)
Net cash provided by (used in) operating activities	2,327	(7,701)
Cash Flows From Investing Activities
Maturities of marketable securities	1,000	11,845
Change in restricted cash	(15)	1,856
Capital expenditures	(900)	(557)
Purchases of marketable securities	(15,912)
Net cash (used in) provided by investing activities	(15,827)	13,144
Cash Flows From Financing Activities
Net proceeds from issuance of common stock	3,708	558
Proceeds from long-term debt		55
Repayment of long-term debt	(7)	(5)
Repurchase of common stock	(9,375)
Net cash (used in) provided by financing activities	(5,674)	608
Effect of exchange rate differences on cash and cash equivalents	(66)	(54)
Net change in cash and cash equivalents	(19,240)	5,997
Cash and cash equivalents, beginning of period	99,931	15,501
Cash and cash equivalents, end of period	$ 80,691	$ 21,498

Note 1 - The Company and Summar

Note 1 - The Company and Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Significant Accounting Policies [Text Block]	Note 1 — The Company and Summary of Significant Accounting Policies The Company Energy Recovery, Inc. (the “Company,” “Energy Recovery,” “our,” “us,” and “we”) is an energy solutions provider to industrial fluid flow markets worldwide. Our core competencies are fluid dynamics and advanced material science. Our products make industrial processes more operating and capital expenditure efficient. Our solutions convert wasted pressure energy into a reusable asset and preserve or eliminate pumping technology in hostile processing environments. Our solutions are marketed and sold in fluid flow markets, such as water, oil & gas, and chemical processing, under the trademarks ERI ® ® ® ® ™ ™ ™ ® ® Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires our management to make judgments, assumptions, and estimates that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. The accounting policies that reflect our more significant estimates and judgments and that we believe are the most critical to aid in fully understanding and evaluating our reported financial results are revenue recognition - completed contract and percentage-of-completion; allowance for doubtful accounts; allowance for product warranty; valuation of stock options; valuation and impairment of goodwill, long-lived assets, and acquired intangible assets; useful lives for depreciation and amortization; valuation adjustments for excess and obsolete inventory; and deferred taxes and valuation allowances on deferred tax assets. Actual results could differ materially from those estimates. Basis of Presentation The condensed consolidated financial statements include the accounts of Energy Recovery and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. The accompanying condensed consolidated financial statements have been prepared by us, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The December 31, 2015 condensed consolidated balance sheet was derived from audited financial statements, and may not include all disclosures required by U.S. GAAP; however, we believe that the disclosures are adequate to make the information presented not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto for the fiscal year ended December 31, 2015 included in our Annual Report on Form 10-K filed with the SEC on March 3, 2016. In the opinion of management, all adjustments, consisting of only normal recurring adjustments that are necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, have been made. The results of operations for the interim periods are not necessarily indicative of the operating results for the full fiscal year or any future periods. Addition of New Revenue Stream to Revenue Recognition Policy - IsoBoost and IsoGen In July 2016 we finalized a purchase order associated with a previously announced letter of award to provide multiple units of our IsoBoost technology for integration into a major gas processing plant to be constructed in the Middle East. The contract is for approximately $7 million worth of equipment and services, with an option for an additional $4 million to be determined at a later date. The optional supply may not be confirmed by the customer until the latter portion of 2017. This contract is comprised of fixed prices, with customer specific specifications, and will take over one year to complete. IsoBoost and IsoGen systems are highly engineered, customized solutions that are designed and manufactured over an extended period of time and are built specifically to meet a customer’s specifications. It is the Company’s position that percentage-of-completion method of accounting is appropriate for IsoBoost and IsoGen systems given the facts and circumstances of these projects. In the event that a purchase order for an IsoBoost or IsoGen does not meet these facts and circumstances then percentage-of-completion method of accounting does not apply. Revenue from fixed price contracts is recognized using the percentage-of-completion method of accounting in the ratio of costs incurred to estimated final costs. Contract costs include all direct material and labor costs and those indirect costs related to contract performance. Pre-contract costs with no future benefit are expensed in the period in which they are incurred. Since the financial reporting of these contracts depends on estimates, which are assessed continually during the term of the contract, recognized revenues and profit are subject to revisions as the contract progresses to completion. Revisions in profit estimates are reflected in the period in which the facts that give rise to the revisions become known. If material, the effects of any changes in estimates are disclosed in the notes to the consolidated financial statements. When estimates indicate that a loss will be incurred on a contract, a provision for the expected loss is recorded in the period in which the loss becomes evident. Revenue is recognized only to the extent costs have been recognized in the same period. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers. In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740) - Balance Sheet Classification of Deferred Taxes In January 2016, the FASB issued ASU No. 2016-01 Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilitie s In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842). In March and April 2016, the FASB issued ASU No. 2016-08 and ASU No. 2016-10, respectively, Revenue from Contracts with Customers (Topic 606). In March 2016, the FASB issued ASU No. 2016-09 Compensation – Stock Compensation (Topic 718). In August 2016, the FASB issued ASU No. 2016-15 Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments.

Note 2 - Goodwill and Other Int

Note 2 - Goodwill and Other Intangible Assets	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Goodwill and Intangible Assets Disclosure [Text Block]	Note 2 — Goodwill and Other Intangible Assets Goodwill as of September 30, 2016 and December 31, 2015 of $12.8 million and $12.8 million, respectively, was the result of our acquisition of Pump Engineering, LLC in December 2009. In July 2015 with the adoption of a new organizational and reporting structure based on our operating segments, Water and Oil & Gas, we changed the measurement date of our annual goodwill impairment test from December to July. Consequently, we completed the required annual testing of goodwill for impairment for all reporting units as of July 1, 2016 and determined that goodwill was not impaired. During the three and nine months ended September 30, 2016, there were no changes in the recognized amount of goodwill, and there has been no impairment of goodwill to date. The components of identifiable other intangible assets, all of which are finite-lived, as of the dates indicated were as follows (in thousands): September 30 , Gross Carrying Amount Accumulated Amortization Accumulated Impairment Losses Net Carrying Amount Developed technology $ 6,100 $ (4,168 ) $ — $ 1,932 Non-compete agreements 1,310 (1,310 ) — — Backlog 1,300 (1,300 ) — — Trademarks 1,200 (180 ) (1,020 ) — Customer relationships 990 (990 ) — — Patents 585 (417 ) (42 ) 126 Total $ 11,485 $ (8,365 ) $ (1,062 ) $ 2,058 December 31, 2015 Gross Carrying Amount Accumulated Amortization Accumulated Impairment Losses Net Carrying Amount Developed technology $ 6,100 $ (3,711 ) $ — $ 2,389 Non-compete agreements 1,310 (1,310 ) — — Backlog 1,300 (1,300 ) — — Trademarks 1,200 (180 ) (1,020 ) — Customer relationships 990 (990 ) — — Patents 585 (401 ) (42 ) 142 Total $ 11,485 $ (7,892 ) $ (1,062 ) $ 2,531 Accumulated impairment losses at September 30, 2016 and December 31, 2015, include impairment charges for trademarks in 2012 and impairment charges for patents in 2007 and 2010.

Note 3 - Loss Per Share

Note 3 - Loss Per Share	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Earnings Per Share [Text Block]	Note 3 — Loss per Share Basic and diluted net loss per share is based on the weighted average number of common shares outstanding during the period. Potential dilutive securities are excluded from the calculation of loss per share, as their inclusion would be anti-dilutive. The following table shows the computation of basic and diluted loss per share (in thousands, except per share data): Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Numerator: Net loss $ (579 ) $ (340 ) $ (2,089 ) $ (11,950 ) Denominator: Basic & diluted weighted average common shares outstanding 52,106 52,237 52,227 52,071 Net loss per share – basic and diluted $ (0.01 ) $ (0.01 ) $ (0.04 ) $ (0.23 ) The following potential common shares were excluded from the computation of diluted loss per share because the effect would have been anti-dilutive (in thousands): Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Stock options 6,938 7,550 6,938 7,550 Restricted stock units 214 — 214 —

Note 4 - Other Financial Inform

Note 4 - Other Financial Information	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Additional Financial Information Disclosure [Text Block]	Note 4 — Other Financial Information Restricted Cash We have pledged cash in connection with stand-by letters of credit. We have deposited corresponding amounts into money market accounts at two financial institutions for these items as follows (in thousands): September 30 , 2016 December 31, 2015 Current collateral for stand-by letters of credit $ 521 $ 1,490 Non-current collateral for stand-by letters of credit 3,301 2,317 Total restricted cash $ 3,822 $ 3,807 Inventories Our inventories are stated at the lower of cost (using the first-in, first-out method) or market and consisted of the following (in thousands): September 30 , 2016 December 31, 2015 Raw materials $ 2,059 $ 2,590 Work in process 1,661 1,689 Finished goods 2,119 2,224 Inventories $ 5,839 $ 6,503 Prepaid and Other Current Assets Prepaid expenses and other current assets consisted of the following (in thousands): September 30 , 2016 December 31, 2015 Foreign currency put option $ — $ 33 Interest receivable 81 4 Supplier advances 54 171 Prepaid rent 153 7 Other prepaid expenses and current assets 1,219 728 Total prepaid and other current assets $ 1,507 $ 943 Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): September 30, 2016 December 31, 2015 Payroll and commissions payable $ 3,838 $ 5,086 Accrued project costs 220 — Accrued legal expenses 303 217 Other accrued expenses and current liabilities 1,911 2,505 Accrued expenses and other current liabilities $ 6,272 $ 7,808 Accumulated Other Comprehensive Loss Changes in accumulated other comprehensive loss by component for the nine months ended September 30, 2016, were as follows (in thousands): Foreign Currency Translation Adjustments Net of Tax Benefit Unrealized Losses on Investments Total Accumulated Other Comprehensive Loss Balance, December 31, 2015 $ (63 ) $ (1 ) $ (64 ) Net other comprehensive loss (1 ) (26 ) (27 ) Balance, September 30, 2016 $ (64 ) $ (27 ) $ (91 ) There were no reclassifications of amounts out of accumulated other comprehensive loss, as there have been no sales of securities or translation adjustments that impacted other comprehensive loss during the quarter. The tax impact of the changes in accumulated other comprehensive loss were not material.

Note 5 - Investments

Note 5 - Investments	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]	Note 5 — Investments Our short-term investments are all classified as available-for-sale. There were no sales of available-for-sale securities during the nine months ended September 30, 2016. Available-for-sale securities as of the dates indicated consisted of the following (in thousands): September 30, 201 6 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Corporate notes and bonds $ 15,076 $ — $ (27 ) $ 15,049 Total short-term investments $ 15,076 $ — $ (27 ) $ 15,049 December 31 , 201 5 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Corporate notes and bonds $ 258 $ — $ (1 ) $ 257 Total short-term investments $ 258 $ — $ (1 ) $ 257 Gross unrealized losses and fair values of our investments in an unrealized loss position as of the dates indicated, aggregated by investment category and length of time that the security has been in a continuous loss position, were as follows (in thousands): September 30, 201 6 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 notes and bonds $ 15,049 $ (27 ) $ — $ — $ 15,049 $ (27 ) Total $ 15,049 $ (27 ) $ — $ — $ 15,049 $ (27 ) December 31, 201 5 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 notes and bonds $ — $ — $ 257 $ (1 ) $ 257 $ (1 ) Total $ — $ — $ 257 $ (1 ) $ 257 $ (1 ) Expected maturities can differ from contractual maturities because borrowers may have the right to prepay obligations without prepayment penalties. The amortized cost and fair value of available-for-sale securities that had stated maturities as of September 30, 2016 are shown below by contractual maturity (in thousands): September 30, 2016 Amortized Cost Fair Value Due in one year or less $ 15,076 $ 15,049 Total available-for-sale securities $ 15,076 $ 15,049

Note 6 - Long-term Debt and Lin

Note 6 - Long-term Debt and Line of Credit	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Debt Disclosure [Text Block]	Note 6 — Long-Term Debt and Line of Credit Debt In March 2015, we entered into a loan agreement with a financial institution for a $55,000 fixed-rate installment loan carrying an annual interest rate of 6.35%. The loan is payable in equal monthly installments and matures on April 2, 2020. The note is secured by the asset purchased. Long-term debt consisted of the following (in thousands) September 30 , 2016 December 31, 2015 Loan payable $ 41 $ 48 Less: current portion (11 ) (10 ) Total long-term debt $ 30 $ 38 Future minimum principal payments due under long-term debt arrangements consist of the following (in thousands): September 30, 2016 2016 (remaining three months) $ 3 2017 11 2018 11 2019 12 2020 4 Total debt $ 41 Line of Credit In June 2012, we entered into a loan agreement with a financial institution. The loan agreement was amended in June 2015, (as amended, the “Loan Agreement”). The Loan Agreement provides for a total available credit line of $16.0 million. Under the Loan Agreement, we are allowed to draw advances not to exceed, at any time, $10.0 million as revolving loans. The total stand-by letters of credit issued under the Loan Agreement may not exceed the lesser of the $16.0 million credit line or the credit line minus all outstanding revolving loans. Revolving loans may be in the form of a base rate loan that bears interest equal to the prime rate or a Eurodollar loan that bears interest equal to the adjusted LIBOR rate plus 1.25%. Stand-by letters of credit are subject to customary fees and expenses for issuance or renewal. The unused portion of the credit facility is subject to a facility fee in an amount equal to 0.25% per annum of the average unused portion of the revolving line. The Loan Agreement also requires us to maintain a cash collateral balance equal to 101% of all outstanding advances and all outstanding stand-by letters of credit collateralized by the line of credit. The Loan Agreement matures in June 2018 and is collateralized by substantially all of our assets. As of September 30, 2016 and December 31, 2015, there were no revolving loans drawn under the Loan Agreement . Stand-by letters of credit collateralized under the Loan Agreement totaled $3.6 million and $3.8 million as of September 30, 2016 and December 31, 2015, respectively. Total cash restricted related to these stand-by letters of credit totaled $3.6 million and $3.8 million as of September 30, 2016 and December 31, 2015, respectively. We are subject to certain financial and administrative covenants under the Loan Agreement . As of September 30, 2016, we were in compliance with these covenants. As of September 30, 2016, we also had a stand-by letter of credit at another financial institution for $0.2 million. Restricted cash related to this stand-by letter of credit totaled $0.2 million as of September 30, 2016.

Note 7 - Equity

Note 7 - Equity	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	Note 7 — Equity Stock Repurchase Program In January 2016, our Board of Directors authorized a stock repurchase program under which the Company, at the discretion of management, could repurchase up to $6.0 million in aggregate cost of our outstanding common stock through June 30, 2016 (the “January Authorization”). In May 2016, our Board of Directors rescinded the January Authorization and authorized a new stock repurchase program under which the Company, at the discretion of management, could repurchase up to $10.0 million in aggregate cost of our outstanding common stock through October 31, 2016 (the “May Authorization”). We account for stock repurchases using the cost method. Cost includes fees charged in connection with acquiring the outstanding common stock. As of September 30, 2016, 673,700 shares, at an aggregate cost of $4.1 million, had been repurchased under the January Authorization and 568,500 shares, at an aggregate cost of $5.3 million, had been repurchased under the May Authorization. Stock-Based Compensation Expense For the three and nine months ended September 30, 2016 and 2015, we recognized stock-based compensation expense related to employees and consultants as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2016 201 5 2016 201 5 Cost of revenue $ 16 $ 32 $ 78 $ 104 General and administrative 378 280 1,635 2,856 Sales and marketing 218 114 502 321 Research and development 163 70 425 268 Total stock-based compensation expense $ 775 $ 496 $ 2,640 $ 3,549 Stock-based compensation in the three and nine months ended September 30, 2016 included expenses related to 31,659 options granted in the three months ended September 30, 2016 to new employees and a new member of the Board of Directors. Stock-based compensation for the nine months ended September 30, 2015 included option modification expenses in connection with the resignation of the former Chief Executive Officer related to the accelerated vesting, extended vesting, and extended exercise period of options previously granted of approximately $1.3 million. Stock-based compensation for the nine months ended September 30, 2016 included additional stock-based compensation expense of approximately $0.5 million in connection with the resignation of the former General Counsel related to the continued vesting of awards granted prior to his resignation. Stock Option Plan On June 23, 2016, our stockholders approved the 2016 Incentive Plan (the “Plan”). Prior to June 23, 2016, we maintained the Amended and Restated 2008 Equity Incentive Plan (the “Prior Plan”). Stock-based awards granted under the Plan and Prior Plan generally vest over four years and expire no more than ten years after the date of grant. Subject to adjustments as provided in the Plan, the number of shares of common stock initially authorized for issuance under the Plan is 4,441,083 (which consist of 3,830,000 new shares plus 611,083 shares that were authorized and unissued under the Prior Plan) plus up to 7,635,410 shares that were set aside for option awards granted under the Prior Plan that are subsequently forfeited. On July 27, 2016, we filed with the U.S. Securities and Exchange Commission a registration statement on Form S-8 with respect to the 4,441,083 shares issuable under the Plan. The Plan supersedes all previously issued stock incentive plans (including the Prior Plan) and will be the only available plan from which stock related awards may be granted. Stock Option Activity The following table summarizes the stock option activity under the Plan and includes options granted under all previous plans: Options Outstanding Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value (2) Balance December 31, 2015 7,198,479 $ 3.97 7.0 $ 22,875,000 Granted 903,676 $ 8.63 — — Exercised (1,074,819 ) $ 3.45 — — Forfeited (89,054 ) $ 5.39 — — Balance September 30, 2016 6,938,282 $ 4.64 7.0 $ 78,694,000 Vested and exercisable as of September 30, 2016 4,361,961 $ 4.18 5.9 $ 51,462,000 Vested and exercisable as of September 30, 2016 and expected to vest thereafter (1) 6,557,108 $ 4.59 6.8 $ 74,718,000 (1) “ Compensation — Stock Compensation. ” (2) As of September 30, 2016, total unrecognized compensation cost related to non-vested options, net of estimated forfeitures, was $6.9 million, which is expected to be recognized as an expense over a weighted average period of approximately 2.5 years. Restricted Stock Unit Activity The following table summarizes the restricted stock unit activity under the Plan and includes restricted stock units granted under all previous plans: Units Weighted Average Grant-Date Fair Value (Per unit) Unvested at December 31, 2015 — $ — Awarded 213,514 $ 8.65 Vested — $ — Forfeited — $ — Unvested at September 30, 2016 213,514 $ 8.65 As of September 30, 2016, total unrecognized compensation cost related to non-vested restricted stock units, net of estimated forfeitures, was $1.3 million, which is expected to be recognized as an expense over a weighted average period of approximately 3.4 years.

Note 8 - Income Taxes

Note 8 - Income Taxes	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Income Tax Disclosure [Text Block]	Note 8 — Income Taxes The effective tax rate for the nine months ended September 30, 2016 and 2015 was 4.5% and (1.53%), respectively. As of December 31, 2015, a valuation allowance of approximately $21.4 million reduced our deferred income tax assets to the amount expected to be realized. The tax expense recognized for the nine months ended September 30, 2016, was primarily related to the tax basis amortization of goodwill and federal, state, and other taxes. The tax expenses were offset by a tax benefit related to losses in our Ireland subsidiary.

Note 9 - Commitments and Contin

Note 9 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	Note 9 — Commitments and Contingencies Operating Lease Obligations We lease facilities under fixed non-cancellable operating leases that expire on various dates through July 2021. Future minimum lease payments consist of the following (in thousands): September 30, 2016 2016 (remaining three months) $ 428 2017 1,691 2018 1,662 2019 1,460 2020 59 2021 34 Total future minimum lease payments $ 5,334 Product Warranty The following table summarizes the activity related to the product warranty liability during the three and nine months ended September 30, 2016 and 2015 (in thousands): Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Balance, beginning of period $ 411 $ 756 $ 461 $ 755 Warranty costs charged to cost of revenue 38 (6 ) 134 15 Release of accrual for expired warranties (55 ) — (201 ) — Utilization of warranty — (3 ) — (23 ) Balance, end of period $ 394 $ 747 $ 394 $ 747 Purchase Obligations We enter into purchase order arrangements with our vendors. As of September 30, 2016, there were open purchase orders for which we had not yet received the related goods or services. These arrangements are subject to change based on our sales demand forecasts, and we have the right to cancel the arrangements prior to the date of delivery. As of September 30, 2016, we had approximately $1.2 million of cancellable open purchase order arrangements related primarily to materials and parts. Additionally, we have entered into sale of goods agreements with two vendors for which the purchase orders have not yet been issued, but the Company has made a purchase obligation. The sale of goods agreements total $3.2 million. Guarantees We enter into indemnification provisions under our agreements with other companies in the ordinary course of business, typically with customers. Under these provisions, we generally indemnify and hold harmless the indemnified party for losses suffered or incurred by the indemnified party as a result of our activities, generally limited to personal injury and property damage caused by our employees at a customer’s desalination plant in proportion to the employee’s percentage of fault for the accident. Damages incurred for such indemnifications would be covered by our general liability insurance to the extent of the policy limitations. We have not incurred material costs to defend lawsuits or settle claims related to these indemnification agreements. As a result, the estimated fair value of these agreements is not material. Accordingly, we have no liabilities recorded for these agreements as of September 30, 2016 and December 31, 2015. In certain cases, we issue warranty and product performance guarantees to our customers for amounts generally no more than 10% of the total sales agreement to provide a form of security to the customer during the warranty period. These guarantees, generally in the form of stand-by letters of credit or bank guarantees secured by stand-by letters of credit, typically remain in place for periods ranging up to 24 months and in some cases up to 68 months, and relate to the underlying product warranty period. The stand-by letters of credit are collateralized by restricted cash. The $3.8 million in stand-by letters of credit outstanding at September 30, 2016 were collateralized by restricted cash of $3.8 million. Litigation The Company is named in and subject to various proceedings and claims in connection with our business. We are contesting the allegations in these claims, and we believe that there are meritorious defenses in each of these matters. The outcome of matters we have been and currently are involved in cannot be determined at this time, and the results cannot be predicted with certainty. There can be no assurance that these matters will not have a material adverse effect on our results of operations in any future period and a significant judgment could have a material adverse impact on our financial condition, results of operations and cash flows. We may in the future become involved in additional litigation in the ordinary course of our business, including litigation that could be material to our business. Based on currently available information and review with outside counsel, management does not believe that the currently known actions or threats against the Company will result in any material adverse effect on our financial condition, results of operations, or cash flows. On September 10, 2014, the Company terminated the employment of its Senior Vice President, Sales, Borja Blanco, on the basis of breach of duty of trust and conduct leading to conflict of interest. On October 24, 2014, Mr. Blanco filed a labor claim against ERI Iberia in Madrid, Spain, challenging the fairness of his dismissal and seeking compensation (“Case 1”). A hearing was held on November 13, 2015, after which the labor court ruled that it did not have jurisdiction over the matter. Mr. Blanco has appealed. Based on currently available information and review with outside counsel, at this time, the Company has not determined that an award to Mr. Blanco is probable. On November 24, 2014, Mr. Blanco filed a second action based on breach of contract theories in the same court as Case 1, but the cases are separate. In Case 2, Mr. Blanco seeks payment of an unpaid bonus, stock options, and non-compete compensation. The court ruled that this case is stayed until a final ruling is issued in Case 1. Based on currently available information and review with outside counsel, at this time, the Company has not determined that an award to Mr. Blanco is probable. On January 20 and 27, 2015, two stockholder class action complaints were filed against the Company in the United States District Court of the Northern District of California, on behalf of Energy Recovery stockholders under the captions, Joseph Sabatino v. Energy Recovery, Inc. et al . , Thomas C. Mowdy v. Energy Recovery, Inc , et al In Re Energy Recovery Inc. Securities Litigation . On January 27, 2016, a complaint was filed by the Company’s Former Chief Sales Officer, David Barnes, in the United States District Court for the Northern District of California under the caption, David Barnes v. Energy Recovery, Inc. , On February 18, 2016, a complaint captioned Goldberg v . Rooney, et al On July 27, 2016, a complaint captioned G erald McManiman v . Gay , et al (“Individual Defendants”) and naming the Company as a nominal defendant. The complaint is styled as a derivative action being brought on behalf of the Company and generally alleges breach of fiduciary duties and violations of laws against the Individual Defendants. Based on currently available information and review with outside counsel, the Company is not able to estimate a potential loss, if any, due to the early stage of the matter.

Note 10 - Business Segment and

Note 10 - Business Segment and Geographic Information	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	Note 10 — Business Segment and Geographic Information We are an energy solutions provider to industrial fluid flow markets worldwide. We make industrial processes more operating and capital expenditure efficient. Our chief operating decision-maker (“CODM”) is the chief executive officer (“CEO”). Our reportable operating segments consist of the Water Segment and the Oil & Gas Segment. These segments are based on the industries in which the products are sold, the type of energy recovery device sold, and the related products and services. The Water Segment consists of revenue associated with products sold for use in reverse osmosis water desalination, as well as the related identifiable expenses. The Oil & Gas Segment consists of product revenue associated with products sold for use in gas processing, chemical processing, and hydraulic fracturing and license and development revenue associated with hydraulic fracturing, as well as related identifiable expenses. Operating income for each segment excludes other income and expenses and certain expenses managed outside the operating segment. Costs excluded from operating income include various corporate expenses such as certain stock-based compensation expenses, income taxes, and other separately managed general and administrative expenses not related to the identified segments. Assets and liabilities are reviewed at the consolidated level by the CODM and are not accounted for by segment. The CODM allocates resources to and assesses the performance of each operating segment using information about its revenue and operating income (loss). The following summarizes financial information by segment for the periods presented (in thousands): Three Months Ended September 30, 2016 Three Months Ended September 30, 2015 Water Oil &Gas Total Water Oil &Gas Total Product revenue $ 10,568 $ 456 $ 11,024 $ 12,112 $ — $ 12,112 Product cost of revenue 3,647 321 3,968 4,948 — 4,948 Product gross profit 6,921 135 7,056 7,164 — 7,164 License and development revenue — 1,250 1,250 — — — Operating expenses: General and administrative 346 278 624 158 255 413 Sales and marketing 1,434 750 2,184 1,121 1,061 2,182 Research and development 262 2,023 2,285 293 1,184 1,477 Amortization of intangibles 158 — 158 159 — 159 Operating expenses 2,200 3,051 5,251 1,731 2,500 4,231 Operating income (loss) $ 4,721 $ (1,666 ) 3,055 $ 5,433 $ (2,500 ) 2,933 Less: Corporate operating expenses 3,709 3,187 Consolidated operating loss (654 ) (254 ) Non-operating income (expense) 78 (48 ) Loss before income taxes $ (576 ) $ (302 ) Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 Water Oil &Gas Total Water Oil &Gas Total Product revenue $ 32,592 $ 456 $ 33,048 $ 28,319 $ 141 $ 28,460 Product cost of revenue 11,557 321 11,878 12,287 28 12,315 Product gross profit 21,035 135 21,170 16,032 113 16,145 License and development revenue — 3,750 3,750 — — — Operating expenses: General and administrative 828 650 1,478 745 978 1,723 Sales and marketing 3,663 2,133 5,796 3,222 3,130 6,352 Research and development 954 6,394 7,348 839 4,643 5,482 Amortization of intangibles 473 — 473 476 — 476 Operating expenses 5,918 9,177 15,095 5,282 8,751 14,033 Operating income (loss) $ 15,117 $ (5,292 ) 9,825 $ 10,750 $ (8,638 ) 2,112 Less: Corporate operating expenses 12,148 13,712 Consolidated operating loss (2,323 ) (11,600 ) Non-operating income (expense) 135 (170 ) Loss before income taxes $ (2,188 ) $ (11,770 ) The following geographic information includes net revenue to our domestic and international customers based on the customers’ requested delivery locations, except for certain cases in which the customer directed us to deliver our products to a location that differs from the known ultimate location of use. In such cases, the ultimate location of use, rather than the delivery location, is reflected in the table below (in thousands, except percentages): Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Domestic product revenue $ 268 $ 355 $ 672 $ 1,439 International product revenue 10,756 11,757 32,376 27,021 Total product revenue $ 11,024 $ 12,112 $ 33,048 $ 28,460 Product revenue by country: Saudi Arabia 24 % 1 % 10 % 3 % Singapore 22 % 1 % 8 % 2 % United Arab Emirates 5 % 2 % 3 % 14 % China 4 % 2 % 11 % 3 % United States 2 % 3 % 2 % 5 % Qatar * % 31 % 12 % 13 % Others ** 43 % 60 % 54 % 60 % Total 100 % 100 % 100 % 100 % * Less than 1%. ** Includes remaining countries not separately disclosed. No country in this line item accounted for more than 10% of our product revenue during the periods presented. All of our long-lived assets were located in the United States at September 30, 2016 and December 31, 2015.

Note 11 - Concentrations

Note 11 - Concentrations	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Concentration Risk Disclosure [Text Block]	Note 11 — Concentrations Customers accounting for 10% or more of our accounts receivable and unbilled receivables were as follows: September 30 , 2016 December 31, 2015 Customer A 23 % 0 % Customer B 16 % 2 % Customer C 5 % 26 % Customer D 5 % 18 % Revenue from customers representing 10% or more of product revenue varies from period to period. For the periods indicated, customers representing 10% or more of product revenue were: Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Customer A 23 % 0 % 9 % * % Customer E 15 % 0 % 5 % 0 % Customer D 1 % 32 % 13 % 14 % Customer F 0 % * % 0 % 13 % * Less than 1%. A single customer, Customer G, represents 100% of our license and development revenue for the three and nine months ended September 30, 2016. There was no license and development revenue recognized for the three or nine months ended September 30, 2015. Vendors accounting for 10% or more of our accounts payable were as follows: September 30, 201 6 December 31, 2015 Vendor A 19 % 0 %

Note 12 - Fair Value Measuremen

Note 12 - Fair Value Measurements	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Fair Value Disclosures [Text Block]	Note 12 — Fair Value Measurements The authoritative guidance for measuring fair value provides a hierarchy that prioritizes the inputs to valuation techniques used in measuring fair value as follows: Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities; Level 2 — Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable; and Level 3 — Unobservable inputs in which little or no market activity exists, therefore requiring an entity to develop its own assumptions that market participants would use in pricing. The carrying values of cash and cash equivalents, restricted cash, accounts receivable, unbilled receivables, accounts payable, and other accrued expenses approximate fair value due to the short-term maturity of those instruments. For our investments in available-for-sale securities, if quoted prices in active markets for identical investments are not available to determine fair value (Level 1), then we use quoted prices for similar assets or inputs other than quoted prices that are observable either directly or indirectly (Level 2). The investments included in Level 2 consist of corporate agency obligations. The fair value of financial assets and liabilities measured on a recurring basis for the indicated periods was as follows (in thousands): September 30, 2016 Level 1 Level 2 Inputs Level 3 Inputs Assets: Available-for-sale securities $ 15,049 $ — $ 15,049 $ — Total assets $ 15,049 $ — $ 15,049 $ — December 31, 2015 Level 1 Level 2 Inputs Level 3 Inputs Assets: Available-for-sale securities $ 257 $ — $ 257 $ — Foreign currency put options 33 — 33 — Total assets $ 290 $ — $ 290 $ —

Note 13 - Related Party Transac

Note 13 - Related Party Transactions	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	Note 13 — Related Party Transactions In January 2016, the Company entered into a lease agreement with EMS USA, Inc. for the use of office space. The President and Chief Executive Officer of EMS USA, Inc. is also a member of the Board of Directors of the Company. The lease is for a term of ninety (90) days with continuation on a month-to-month basis thereafter, with each month being an “Additional Term.” The Company paid EMS USA, Inc. $1,098 and $5,268, respectively, related to this agreement during the three and nine months ended September 30, 2016. The lease was terminated as of July 2016. In March 2016, the Company extended an employee loan to one of its employees for $21,786. The loan was repayable to the Company monthly over six months and was non-interest bearing. At September 30, 2016, the loan was fully paid and another employee loan was extended to this employee for $21,786. The new loan is repayable to the Company monthly over six months and is non-interest bearing.

Note 14 - Subsequent Events

Note 14 - Subsequent Events	9 Months Ended
	Sep. 30, 2016
Notes to Financial Statements
Subsequent Events [Text Block]	Note 14 - S ubsequent Events See Note 9 – “Commitments and Contingencies”, under the caption “Litigation” for a discussion of litigation developments in October 2016.

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2016
Accounting Policies [Abstract]
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires our management to make judgments, assumptions, and estimates that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. The accounting policies that reflect our more significant estimates and judgments and that we believe are the most critical to aid in fully understanding and evaluating our reported financial results are revenue recognition - completed contract and percentage-of-completion; allowance for doubtful accounts; allowance for product warranty; valuation of stock options; valuation and impairment of goodwill, long-lived assets, and acquired intangible assets; useful lives for depreciation and amortization; valuation adjustments for excess and obsolete inventory; and deferred taxes and valuation allowances on deferred tax assets. Actual results could differ materially from those estimates.
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation The condensed consolidated financial statements include the accounts of Energy Recovery and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. The accompanying condensed consolidated financial statements have been prepared by us, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. The December 31, 2015 condensed consolidated balance sheet was derived from audited financial statements, and may not include all disclosures required by U.S. GAAP; however, we believe that the disclosures are adequate to make the information presented not misleading. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the notes thereto for the fiscal year ended December 31, 2015 included in our Annual Report on Form 10-K filed with the SEC on March 3, 2016. In the opinion of management, all adjustments, consisting of only normal recurring adjustments that are necessary to present fairly the financial position, results of operations, and cash flows for the interim periods, have been made. The results of operations for the interim periods are not necessarily indicative of the operating results for the full fiscal year or any future periods.
Revenue Recognition, Long-term Contracts [Policy Text Block]	Addition of New Revenue Stream to Revenue Recognition Policy - IsoBoost and IsoGen In July 2016 we finalized a purchase order associated with a previously announced letter of award to provide multiple units of our IsoBoost technology for integration into a major gas processing plant to be constructed in the Middle East. The contract is for approximately $7 million worth of equipment and services, with an option for an additional $4 million to be determined at a later date. The optional supply may not be confirmed by the customer until the latter portion of 2017. This contract is comprised of fixed prices, with customer specific specifications, and will take over one year to complete. IsoBoost and IsoGen systems are highly engineered, customized solutions that are designed and manufactured over an extended period of time and are built specifically to meet a customer’s specifications. It is the Company’s position that percentage-of-completion method of accounting is appropriate for IsoBoost and IsoGen systems given the facts and circumstances of these projects. In the event that a purchase order for an IsoBoost or IsoGen does not meet these facts and circumstances then percentage-of-completion method of accounting does not apply. Revenue from fixed price contracts is recognized using the percentage-of-completion method of accounting in the ratio of costs incurred to estimated final costs. Contract costs include all direct material and labor costs and those indirect costs related to contract performance. Pre-contract costs with no future benefit are expensed in the period in which they are incurred. Since the financial reporting of these contracts depends on estimates, which are assessed continually during the term of the contract, recognized revenues and profit are subject to revisions as the contract progresses to completion. Revisions in profit estimates are reflected in the period in which the facts that give rise to the revisions become known. If material, the effects of any changes in estimates are disclosed in the notes to the consolidated financial statements. When estimates indicate that a loss will be incurred on a contract, a provision for the expected loss is recorded in the period in which the loss becomes evident. Revenue is recognized only to the extent costs have been recognized in the same period.
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers. In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740) - Balance Sheet Classification of Deferred Taxes In January 2016, the FASB issued ASU No. 2016-01 Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilitie s In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842). In March and April 2016, the FASB issued ASU No. 2016-08 and ASU No. 2016-10, respectively, Revenue from Contracts with Customers (Topic 606). In March 2016, the FASB issued ASU No. 2016-09 Compensation – Stock Compensation (Topic 718). In August 2016, the FASB issued ASU No. 2016-15 Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments.

Note 2 - Goodwill and Other I22

Note 2 - Goodwill and Other Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Schedule of Finite-Lived Intangible Assets [Table Text Block]	September 30 , Gross Carrying Amount Accumulated Amortization Accumulated Impairment Losses Net Carrying Amount Developed technology $ 6,100 $ (4,168 ) $ — $ 1,932 Non-compete agreements 1,310 (1,310 ) — — Backlog 1,300 (1,300 ) — — Trademarks 1,200 (180 ) (1,020 ) — Customer relationships 990 (990 ) — — Patents 585 (417 ) (42 ) 126 Total $ 11,485 $ (8,365 ) $ (1,062 ) $ 2,058 December 31, 2015 Gross Carrying Amount Accumulated Amortization Accumulated Impairment Losses Net Carrying Amount Developed technology $ 6,100 $ (3,711 ) $ — $ 2,389 Non-compete agreements 1,310 (1,310 ) — — Backlog 1,300 (1,300 ) — — Trademarks 1,200 (180 ) (1,020 ) — Customer relationships 990 (990 ) — — Patents 585 (401 ) (42 ) 142 Total $ 11,485 $ (7,892 ) $ (1,062 ) $ 2,531

Note 3 - Loss Per Share (Tables

Note 3 - Loss Per Share (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Numerator: Net loss $ (579 ) $ (340 ) $ (2,089 ) $ (11,950 ) Denominator: Basic & diluted weighted average common shares outstanding 52,106 52,237 52,227 52,071 Net loss per share – basic and diluted $ (0.01 ) $ (0.01 ) $ (0.04 ) $ (0.23 )
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Stock options 6,938 7,550 6,938 7,550 Restricted stock units 214 — 214 —

Note 4 - Other Financial Info24

Note 4 - Other Financial Information (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Schedule of Restricted Cash and Cash Equivalents [Table Text Block]	September 30 , 2016 December 31, 2015 Current collateral for stand-by letters of credit $ 521 $ 1,490 Non-current collateral for stand-by letters of credit 3,301 2,317 Total restricted cash $ 3,822 $ 3,807
Schedule of Inventory, Current [Table Text Block]	September 30 , 2016 December 31, 2015 Raw materials $ 2,059 $ 2,590 Work in process 1,661 1,689 Finished goods 2,119 2,224 Inventories $ 5,839 $ 6,503
Schedule of Other Current Assets [Table Text Block]	September 30 , 2016 December 31, 2015 Foreign currency put option $ — $ 33 Interest receivable 81 4 Supplier advances 54 171 Prepaid rent 153 7 Other prepaid expenses and current assets 1,219 728 Total prepaid and other current assets $ 1,507 $ 943
Schedule of Accrued Liabilities [Table Text Block]	September 30, 2016 December 31, 2015 Payroll and commissions payable $ 3,838 $ 5,086 Accrued project costs 220 — Accrued legal expenses 303 217 Other accrued expenses and current liabilities 1,911 2,505 Accrued expenses and other current liabilities $ 6,272 $ 7,808
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]	Foreign Currency Translation Adjustments Net of Tax Benefit Unrealized Losses on Investments Total Accumulated Other Comprehensive Loss Balance, December 31, 2015 $ (63 ) $ (1 ) $ (64 ) Net other comprehensive loss (1 ) (26 ) (27 ) Balance, September 30, 2016 $ (64 ) $ (27 ) $ (91 )

Note 5 - Investments (Tables)

Note 5 - Investments (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Available-for-sale Securities [Table Text Block]	September 30, 201 6 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Corporate notes and bonds $ 15,076 $ — $ (27 ) $ 15,049 Total short-term investments $ 15,076 $ — $ (27 ) $ 15,049 December 31 , 201 5 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Corporate notes and bonds $ 258 $ — $ (1 ) $ 257 Total short-term investments $ 258 $ — $ (1 ) $ 257
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Table Text Block]	September 30, 201 6 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 notes and bonds $ 15,049 $ (27 ) $ — $ — $ 15,049 $ (27 ) Total $ 15,049 $ (27 ) $ — $ — $ 15,049 $ (27 ) December 31, 201 5 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 notes and bonds $ — $ — $ 257 $ (1 ) $ 257 $ (1 ) Total $ — $ — $ 257 $ (1 ) $ 257 $ (1 )
Investments Classified by Contractual Maturity Date [Table Text Block]	September 30, 2016 Amortized Cost Fair Value Due in one year or less $ 15,076 $ 15,049 Total available-for-sale securities $ 15,076 $ 15,049

Note 6 - Long-term Debt and L26

Note 6 - Long-term Debt and Line of Credit (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Schedule of Long-term Debt Instruments [Table Text Block]	September 30 , 2016 December 31, 2015 Loan payable $ 41 $ 48 Less: current portion (11 ) (10 ) Total long-term debt $ 30 $ 38
Schedule of Maturities of Long-term Debt [Table Text Block]	September 30, 2016 2016 (remaining three months) $ 3 2017 11 2018 11 2019 12 2020 4 Total debt $ 41

Note 7 - Equity (Tables)

Note 7 - Equity (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2016 201 5 2016 201 5 Cost of revenue $ 16 $ 32 $ 78 $ 104 General and administrative 378 280 1,635 2,856 Sales and marketing 218 114 502 321 Research and development 163 70 425 268 Total stock-based compensation expense $ 775 $ 496 $ 2,640 $ 3,549
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Options Outstanding Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value (2) Balance December 31, 2015 7,198,479 $ 3.97 7.0 $ 22,875,000 Granted 903,676 $ 8.63 — — Exercised (1,074,819 ) $ 3.45 — — Forfeited (89,054 ) $ 5.39 — — Balance September 30, 2016 6,938,282 $ 4.64 7.0 $ 78,694,000 Vested and exercisable as of September 30, 2016 4,361,961 $ 4.18 5.9 $ 51,462,000 Vested and exercisable as of September 30, 2016 and expected to vest thereafter (1) 6,557,108 $ 4.59 6.8 $ 74,718,000
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block]	Units Weighted Average Grant-Date Fair Value (Per unit) Unvested at December 31, 2015 — $ — Awarded 213,514 $ 8.65 Vested — $ — Forfeited — $ — Unvested at September 30, 2016 213,514 $ 8.65

Note 9 - Commitments and Cont28

Note 9 - Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Operating Leases of Lessee Disclosure [Table Text Block]	September 30, 2016 2016 (remaining three months) $ 428 2017 1,691 2018 1,662 2019 1,460 2020 59 2021 34 Total future minimum lease payments $ 5,334
Schedule of Product Warranty Liability [Table Text Block]	Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Balance, beginning of period $ 411 $ 756 $ 461 $ 755 Warranty costs charged to cost of revenue 38 (6 ) 134 15 Release of accrual for expired warranties (55 ) — (201 ) — Utilization of warranty — (3 ) — (23 ) Balance, end of period $ 394 $ 747 $ 394 $ 747

Note 10 - Business Segment an29

Note 10 - Business Segment and Geographic Information (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Three Months Ended September 30, 2016 Three Months Ended September 30, 2015 Water Oil &Gas Total Water Oil &Gas Total Product revenue $ 10,568 $ 456 $ 11,024 $ 12,112 $ — $ 12,112 Product cost of revenue 3,647 321 3,968 4,948 — 4,948 Product gross profit 6,921 135 7,056 7,164 — 7,164 License and development revenue — 1,250 1,250 — — — Operating expenses: General and administrative 346 278 624 158 255 413 Sales and marketing 1,434 750 2,184 1,121 1,061 2,182 Research and development 262 2,023 2,285 293 1,184 1,477 Amortization of intangibles 158 — 158 159 — 159 Operating expenses 2,200 3,051 5,251 1,731 2,500 4,231 Operating income (loss) $ 4,721 $ (1,666 ) 3,055 $ 5,433 $ (2,500 ) 2,933 Less: Corporate operating expenses 3,709 3,187 Consolidated operating loss (654 ) (254 ) Non-operating income (expense) 78 (48 ) Loss before income taxes $ (576 ) $ (302 ) Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 Water Oil &Gas Total Water Oil &Gas Total Product revenue $ 32,592 $ 456 $ 33,048 $ 28,319 $ 141 $ 28,460 Product cost of revenue 11,557 321 11,878 12,287 28 12,315 Product gross profit 21,035 135 21,170 16,032 113 16,145 License and development revenue — 3,750 3,750 — — — Operating expenses: General and administrative 828 650 1,478 745 978 1,723 Sales and marketing 3,663 2,133 5,796 3,222 3,130 6,352 Research and development 954 6,394 7,348 839 4,643 5,482 Amortization of intangibles 473 — 473 476 — 476 Operating expenses 5,918 9,177 15,095 5,282 8,751 14,033 Operating income (loss) $ 15,117 $ (5,292 ) 9,825 $ 10,750 $ (8,638 ) 2,112 Less: Corporate operating expenses 12,148 13,712 Consolidated operating loss (2,323 ) (11,600 ) Non-operating income (expense) 135 (170 ) Loss before income taxes $ (2,188 ) $ (11,770 )
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Domestic product revenue $ 268 $ 355 $ 672 $ 1,439 International product revenue 10,756 11,757 32,376 27,021 Total product revenue $ 11,024 $ 12,112 $ 33,048 $ 28,460 Product revenue by country: Saudi Arabia 24 % 1 % 10 % 3 % Singapore 22 % 1 % 8 % 2 % United Arab Emirates 5 % 2 % 3 % 14 % China 4 % 2 % 11 % 3 % United States 2 % 3 % 2 % 5 % Qatar * % 31 % 12 % 13 % Others ** 43 % 60 % 54 % 60 % Total 100 % 100 % 100 % 100 %

Note 11 - Concentrations (Table

Note 11 - Concentrations (Tables)	9 Months Ended
	Sep. 30, 2016
Accounts Payable, Major Suppliers [Member] | Supplier Concentration Risk [Member]
Notes Tables
Schedules of Concentration of Risk, by Risk Factor [Table Text Block]	September 30, 201 6 December 31, 2015 Vendor A 19 % 0 %
Sales Revenue, Net [Member] | Customer Concentration Risk [Member]
Notes Tables
Schedules of Concentration of Risk, by Risk Factor [Table Text Block]	Three Months Ended September 30 , Nine Months Ended September 30 , 2016 2015 2016 2015 Customer A 23 % 0 % 9 % * % Customer E 15 % 0 % 5 % 0 % Customer D 1 % 32 % 13 % 14 % Customer F 0 % * % 0 % 13 %
Accounts Receivable [Member] | Customer Concentration Risk [Member]
Notes Tables
Schedules of Concentration of Risk, by Risk Factor [Table Text Block]	September 30 , 2016 December 31, 2015 Customer A 23 % 0 % Customer B 16 % 2 % Customer C 5 % 26 % Customer D 5 % 18 %

Note 12 - Fair Value Measurem31

Note 12 - Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Tables
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]	September 30, 2016 Level 1 Level 2 Inputs Level 3 Inputs Assets: Available-for-sale securities $ 15,049 $ — $ 15,049 $ — Total assets $ 15,049 $ — $ 15,049 $ — December 31, 2015 Level 1 Level 2 Inputs Level 3 Inputs Assets: Available-for-sale securities $ 257 $ — $ 257 $ — Foreign currency put options 33 — 33 — Total assets $ 290 $ — $ 290 $ —

Note 1 - The Company and Summ32

Note 1 - The Company and Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Millions	Jul. 18, 2016	Jun. 30, 2016
IsoBoost Supply Commitment [Member] | Minimum [Member]
Long-term Contract, Period	1 year
IsoBoost Supply Commitment [Member]
Long-term Contract, Initial Amount	$ 7
Long-term Contract, Potential Additional Amount	$ 4
From Current Deferred Tax Assets to Noncurrent Deferred Tax Assets and Liabilities [Member]
Current Period Reclassification Adjustment		$ (1.1)
From Current Deferred Tax Assets to Noncurrent Deferred Tax Assets [Member]
Current Period Reclassification Adjustment		0.8
From Current Deferred Tax Assets to Noncurrent Deferred Tax Liabilities [Member]
Current Period Reclassification Adjustment		$ (0.3)

Note 2 - Goodwill and Other I33

Note 2 - Goodwill and Other Intangible Assets (Details Textual) - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2016	Dec. 31, 2015
Goodwill, Period Increase (Decrease)	$ 0	$ 0
Goodwill, Impaired, Accumulated Impairment Loss	0	0
Goodwill	$ 12,790,000	$ 12,790,000	$ 12,790,000

Note 2 - Goodwill and Other I34

Note 2 - Goodwill and Other Intangible Assets - Identifiable Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Developed Technology Rights [Member]
Gross carrying amount	$ 6,100	$ 6,100
Accumulated amortization	(4,168)	(3,711)
Accumulated impairment losses
Net carrying amount	1,932	2,389
Noncompete Agreements [Member]
Gross carrying amount	1,310	1,310
Accumulated amortization	(1,310)	(1,310)
Accumulated impairment losses
Net carrying amount
Order or Production Backlog [Member]
Gross carrying amount	1,300	1,300
Accumulated amortization	(1,300)	(1,300)
Accumulated impairment losses
Net carrying amount
Trademarks [Member]
Gross carrying amount	1,200	1,200
Accumulated amortization	(180)	(180)
Accumulated impairment losses	(1,020)	(1,020)
Net carrying amount
Customer Relationships [Member]
Gross carrying amount	990	990
Accumulated amortization	(990)	(990)
Accumulated impairment losses
Net carrying amount
Patents [Member]
Gross carrying amount	585	585
Accumulated amortization	(417)	(401)
Accumulated impairment losses	(42)	(42)
Net carrying amount	126	142
Gross carrying amount	11,485	11,485
Accumulated amortization	(8,365)	(7,892)
Accumulated impairment losses	(1,062)	(1,062)
Net carrying amount	$ 2,058	$ 2,531

Note 3 - Loss Per Share - Compu

Note 3 - Loss Per Share - Computation of Basic and Diluted Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Numerator:
Net loss	$ (579)	$ (340)	$ (2,089)	$ (11,950)
Denominator:
Basic & diluted weighted average common shares outstanding (in shares)	52,106	52,237	52,227	52,071
Net loss per share – basic and diluted (in dollars per share)	$ (0.01)	$ (0.01)	$ (0.04)	$ (0.23)

Note 3 - Loss Per Share - Antid

Note 3 - Loss Per Share - Antidilutive Securities Excluded From Computation of Diluted Earnings Per Share (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Employee Stock Option [Member]
Antidilutive securities excluded from computation of earnings per share (in shares)	6,938	7,550	6,938	7,550
Restricted Stock and Restricted Stock Units [Member]
Antidilutive securities excluded from computation of earnings per share (in shares)	214		214

Note 4 - Other Financial Info37

Note 4 - Other Financial Information (Details Textual)	9 Months Ended
	Sep. 30, 2016USD ($)
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax	$ 0
Number of Financial Institutions Holding Money Market Accounts	2

Note 4 - Other Financial Info38

Note 4 - Other Financial Information - Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Collateral for Standby Letters of Credit [Member]
Current collateral for stand-by letters of credit	$ 521	$ 1,490
Non-current collateral for stand-by letters of credit	3,301	2,317
Current collateral for stand-by letters of credit	521	1,490
Non-current collateral for stand-by letters of credit	3,301	2,317
Total restricted cash	$ 3,822	$ 3,807

Note 4 - Other Financial Info39

Note 4 - Other Financial Information - Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Raw materials	$ 2,059	$ 2,590
Work in process	1,661	1,689
Finished goods	2,119	2,224
Inventories	$ 5,839	$ 6,503

Note 4 - Other Financial Info40

Note 4 - Other Financial Information - Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Foreign currency put option		$ 33
Interest receivable	81	4
Supplier advances	54	171
Prepaid rent	153	7
Other prepaid expenses and current assets	1,219	728
Total prepaid and other current assets	$ 1,507	$ 943

Note 4 - Other Financial Info41

Note 4 - Other Financial Information - Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Payroll and commissions payable	$ 3,838	$ 5,086
Accrued project costs	220
Accrued legal expenses	303	217
Other accrued expenses and current liabilities	1,911	2,505
Accrued expenses and other current liabilities	$ 6,272	$ 7,808

Note 4 - Other Financial Info42

Note 4 - Other Financial Information - Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Foreign currency translation. balance			$ (63)
Unrealized gains (losses) on investments. balance			(1)
Total accumulated other comprehensive income. balance			(64)
Foreign currency translation. balance	$ 5	$ (4)	(1)	$ 21
Unrealized gains (losses) on investments. balance	5	$ 3	(26)	$ 4
Total accumulated other comprehensive income. balance			(27)
Foreign currency translation. balance	(64)		(64)
Unrealized gains (losses) on investments. balance	(27)		(27)
Total accumulated other comprehensive income. balance	$ (91)		$ (91)

Note 5 - Investments (Details T

Note 5 - Investments (Details Textual)	9 Months Ended
	Sep. 30, 2016USD ($)
Proceeds from Sale of Available-for-sale Securities	$ 0

Note 5 - Investments - Availabl

Note 5 - Investments - Available-for-sale Securities (Details) - Short-term Investments [Member] - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Corporate Debt Securities [Member]
Amortized cost	$ 15,076	$ 258
Gross unrealized holding gains
Gross unrealized holding losses	(27)	(1)
Available-for-sale securities	15,049	257
Amortized cost	15,076	258
Gross unrealized holding gains
Gross unrealized holding losses	(27)	(1)
Available-for-sale securities	$ 15,049	$ 257

Note 5 - Investments - Gross Un

Note 5 - Investments - Gross Unrealized Losses and Fair Values of Investments (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Corporate Debt Securities [Member]
Fair value, less than 12 month	$ 15,049
Gross unrealized losses, less than 12 months	(27)
Fair value, 12 months or greater		257
Gross unrealized losses, 12 months or greater		(1)
Fair value, total	15,049	257
Gross unrealized losses, total	(27)	(1)
Fair value, less than 12 month	15,049
Gross unrealized losses, less than 12 months	(27)
Fair value, 12 months or greater		257
Gross unrealized losses, 12 months or greater		(1)
Fair value, total	15,049	257
Gross unrealized losses, total	$ (27)	$ (1)

Note 5 - Investments - Amortize

Note 5 - Investments - Amortized Cost and Fair Value of Available-for-sale Securities (Details) $ in Thousands	Sep. 30, 2016USD ($)
Due in one year or less	$ 15,076
Due in one year or less	15,049
Total available-for-sale securities	15,076
Total available-for-sale securities	$ 15,049

Note 6 - Long-term Debt and L47

Note 6 - Long-term Debt and Line of Credit (Details Textual) - USD ($)	1 Months Ended
	Jun. 30, 2012	Sep. 30, 2016	Dec. 31, 2015	Mar. 31, 2015
The 2012 Agreement [Member] | Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Basis Spread on Variable Rate	1.25%
The 2012 Agreement [Member] | Revolving Credit Facility [Member]
Long-term Line of Credit		$ 0	$ 0
Line of Credit Facility, Maximum Borrowing Capacity	$ 10,000,000
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage	0.25%
The 2012 Agreement [Member] | Standby Letters of Credit [Member]
Line of Credit Facility, Capacity Available for Trade Purchases	$ 16,000,000
The 2012 Agreement [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 16,000,000
Cash Collateral Balance Required by Credit Agreement	101.00%
March Two Thousand Fifteen Installment Loan [Member]
Long-term Debt		41,000	48,000	$ 55,000
Debt Instrument, Interest Rate, Stated Percentage				6.35%
The 2009 Agreement [Member] | Standby Letters of Credit [Member]
Long-term Line of Credit		3,600,000	3,800,000
The 2009 Agreement [Member] | Collateral for Standby Letters of Credit [Member]
Restricted Cash and Cash Equivalents		3,600,000	3,800,000
Agreement with Unspecified Financial Institution [Member] | Standby Letters of Credit [Member]
Long-term Line of Credit		200,000
Agreement with Unspecified Financial Institution [Member] | Collateral for Standby Letters of Credit [Member]
Restricted Cash and Cash Equivalents		200,000
Long-term Debt		41,000
Restricted Cash and Cash Equivalents		$ 3,822,000	$ 3,807,000

Note 6 - Long-term Debt and L48

Note 6 - Long-term Debt and Line of Credit - Long-term Debt (Details) - USD ($)	Sep. 30, 2016	Dec. 31, 2015	Mar. 31, 2015
March Two Thousand Fifteen Installment Loan [Member]
Loan payable	$ 41,000	$ 48,000	$ 55,000
Less: current portion	(11,000)	(10,000)
Total long-term debt	30,000	38,000
Loan payable	41,000
Less: current portion	(11,000)	(10,000)
Total long-term debt	$ 30,000	$ 38,000

Note 6 - Long-term Debt and L49

Note 6 - Long-term Debt and Line of Credit - Future Minimum Principal Payments Due Under Long-term Debt Arrangements (Details) $ in Thousands	Sep. 30, 2016USD ($)
2016 (remaining three months)	$ 3
2,017	11
2,018	11
2,019	12
2,020	4
Total debt	$ 41

Note 7 - Equity (Details Textua

Note 7 - Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Jul. 27, 2016	Jun. 23, 2016	May 30, 2016	Jan. 31, 2016
New Employees and Member of the Board of Directors [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	31,659		31,659
Chief Compliance Officer [Member]
Allocated Share-based Compensation Expense			$ 500	$ 1,300
January 2016 Stock Repurchase Program [Member]
Stock Repurchase Program, Authorized Amount								$ 6,000
Treasury Stock, Shares, Acquired			673,700
Treasury Stock, Value, Acquired, Cost Method			$ 4,100
May 2016 Stock Repurchase Program [Member]
Stock Repurchase Program, Authorized Amount							$ 10,000
Treasury Stock, Shares, Acquired			568,500
Treasury Stock, Value, Acquired, Cost Method			$ 5,300
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			4 years
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period			10 years
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 6,900		$ 6,900
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition			2 years 182 days
Employee Stock Options Created under New Plan [Member] | The 2016 Incentive Plan [Member]
Common Stock, Capital Shares Reserved for Future Issuance						3,830,000
Employee Stock Options Unissued under Prior Plan [Member] | The 2016 Incentive Plan [Member]
Common Stock, Capital Shares Reserved for Future Issuance						611,083
Restricted Stock [Member]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	1,300		$ 1,300
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition			3 years 146 days
The 2016 Incentive Plan [Member]
Common Stock, Capital Shares Reserved for Future Issuance					4,441,083	4,441,083
The 2008 Equity Incentive Plan [Member]
Common Stock, Capital Shares Reserved for Future Issuance						7,635,410
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross			903,676
Allocated Share-based Compensation Expense	$ 775	$ 496	$ 2,640	$ 3,549
Share Price	$ 15.98		$ 15.98

Note 7 - Equity - Share-based C

Note 7 - Equity - Share-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Employees and Consultants [Member] | Cost of Sales [Member]
Allocated Share-based Compensation	$ 16	$ 32	$ 78	$ 104
Employees and Consultants [Member] | General and Administrative Expense [Member]
Allocated Share-based Compensation	378	280	1,635	2,856
Employees and Consultants [Member] | Selling and Marketing Expense [Member]
Allocated Share-based Compensation	218	114	502	321
Employees and Consultants [Member] | Research and Development Expense [Member]
Allocated Share-based Compensation	163	70	425	268
Allocated Share-based Compensation	$ 775	$ 496	$ 2,640	$ 3,549

Note 7 - Equity - Summary of St

Note 7 - Equity - Summary of Stock Option Activity (Details)	9 Months Ended		12 Months Ended
	Sep. 30, 2016USD ($)$ / sharesshares		Dec. 31, 2015USD ($)$ / sharesshares
Options outstanding, beginning balance (in shares) | shares	7,198,479
Weighted average exercise price, beginning balance (in dollars per share) | $ / shares	$ 3.97
Weighted average remaining contractual life, beginning balance	7 years		7 years
Aggregate intrinsic value | $	$ 78,694,000	[1]	$ 22,875,000	[1]
Options outstanding, granted (in shares) | shares	903,676
Weighted average exercise price, granted (in dollars per share) | $ / shares	$ 8.63
Options outstanding, exercised (in shares) | shares	(1,074,819)
Weighted average exercise price, exercised (in dollars per share) | $ / shares	$ 3.45
Options outstanding, forfeited (in shares) | shares	(89,054)
Weighted average exercise price, forfeited (in dollars per share) | $ / shares	$ 5.39
Options outstanding, ending balance (in shares) | shares	6,938,282		7,198,479
Weighted average exercise price, ending balance (in dollars per share) | $ / shares	$ 4.64		$ 3.97
Options outstanding, vested and exercisable (in shares) | shares	4,361,961
Weighted average exercise price, vested and exercisable (in dollars per share) | $ / shares	$ 4.18
Weighted average remaining contractual life, vested and exercisable	5 years 328 days
Aggregate intrinsic value, vested and exercisable | $	$ 51,462,000	[1]
Options outstanding, vested and exercisable and expected to vest thereafter (in shares) | shares	6,557,108	[2]
Weighted average exercise price, vested and exercisable and expected to vest thereafter (in dollars per share) | $ / shares	$ 4.59	[2]
Weighted average remaining contractual life, vested and exercisable and expected to vest thereafter	6 years 292 days	[2]
Aggregate intrinsic value, vested and exercisable and expected to vest thereafter | $	$ 74,718,000	[1],[2]
[1]	The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying options and the fair value of our common stock as of September 30, 2016 of $15.98 per share.
[2]	Options that are expected to vest are net of estimated future option forfeitures in accordance with the provisions of ASC 718, “Compensation — Stock Compensation.”

Note 7 - Equity - Restricted St

Note 7 - Equity - Restricted Stock Activity (Details) - Restricted Stock [Member]	9 Months Ended
	Sep. 30, 2016$ / sharesshares
Unvested at December 31, 2015 (in shares) | shares
Unvested at December 31, 2015 (in dollars per share) | $ / shares
Awarded (in shares) | shares	213,514
Awarded (in dollars per share) | $ / shares	$ 8.65
Shares, Vested (in shares) | shares
Weighted Average Grant-Date Fair Value, Vested (in dollars per share) | $ / shares
Forfeited (in shares) | shares
Forfeited (in dollars per share) | $ / shares
Unvested at September 30, 2016 (in shares) | shares	213,514
Unvested at September 30, 2016 (in dollars per share) | $ / shares	$ 8.65

Note 8 - Income Taxes (Details

Note 8 - Income Taxes (Details Textual) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Effective Income Tax Rate Reconciliation, Percent	4.50%	(1.53%)
Deferred Tax Assets, Valuation Allowance			$ 21.4

Note 9 - Commitments and Cont55

Note 9 - Commitments and Contingencies (Details Textual)	9 Months Ended
	Sep. 30, 2016USD ($)	Dec. 31, 2015USD ($)
Indemnification Agreement [Member]
Guarantor Obligations, Current Carrying Value	$ 0	$ 0
Materials and Parts [Member]
Purchase Commitment, Remaining Minimum Amount Committed	$ 1,200,000
Sale of Goods Agreement [Member]
Long-term Purchase Commitment, Number of Vendors	2
Long-term Purchase Commitment, Amount	$ 3,200,000
Minimum [Member]
Warranty and Product Performance Guarantees, Period	2 years
Maximum [Member]
Warranty and Product Performance Guarantees, Period	5 years 240 days
Warranty and Product Performance Guarantees as Percentage of Total Sales Agreement	10.00%
Letters of Credit Outstanding, Amount	$ 3,800,000
Restricted Cash Used to Collateralize Irrevocable Standby Letters of Credit	$ 3,800,000

Note 9 - Commitments and Cont56

Note 9 - Commitments and Contingencies - Operating Lease Obligations (Details) $ in Thousands	Sep. 30, 2016USD ($)
2016 (remaining three months)	$ 428
2,017	1,691
2,018	1,662
2,019	1,460
2,020	59
2,021	34
Total future minimum lease payments	$ 5,334

Note 9 - Commitments and Cont57

Note 9 - Commitments and Contingencies - Product Warranty Liability (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Balance, beginning of period	$ 411	$ 756	$ 461	$ 755
Warranty costs charged to cost of revenue	38	(6)	134	15
Release of accrual for expired warranties	(55)		(201)
Utilization of warranty		(3)		(23)
Balance, end of period	$ 394	$ 747	$ 394	$ 747

Note 10 - Business Segment an58

Note 10 - Business Segment and Geographic Information - Summary of Financial Information by Segment (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Operating Segments [Member] | Water [Member]
Product revenue	$ 10,568,000	$ 12,112,000	$ 32,592,000	$ 28,319,000
Product cost of revenue	3,647,000	4,948,000	11,557,000	12,287,000
Product gross profit	6,921,000	7,164,000	21,035,000	16,032,000
General and administrative	346,000	158,000	828,000	745,000
Sales and marketing	1,434,000	1,121,000	3,663,000	3,222,000
Research and development	262,000	293,000	954,000	839,000
Amortization of intangible assets	158,000	159,000	473,000	476,000
Operating expenses	2,200,000	1,731,000	5,918,000	5,282,000
Operating income (loss)	4,721,000	5,433,000	15,117,000	10,750,000
Operating Segments [Member] | Oil and Gas [Member]
Product revenue	456,000		456,000	141,000
Product cost of revenue	321,000		321,000	28,000
Product gross profit	135,000		135,000	113,000
License and development revenue	1,250,000		3,750,000
General and administrative	278,000	255,000	650,000	978,000
Sales and marketing	750,000	1,061,000	2,133,000	3,130,000
Research and development	2,023,000	1,184,000	6,394,000	4,643,000
Operating expenses	3,051,000	2,500,000	9,177,000	8,751,000
Operating income (loss)	(1,666,000)	(2,500,000)	(5,292,000)	(8,638,000)
Operating Segments [Member]
Product revenue	11,024,000	12,112,000	33,048,000	28,460,000
Product cost of revenue	3,968,000	4,948,000	11,878,000	12,315,000
Product gross profit	7,056,000	7,164,000	21,170,000	16,145,000
License and development revenue	1,250,000		3,750,000
General and administrative	624,000	413,000	1,478,000	1,723,000
Sales and marketing	2,184,000	2,182,000	5,796,000	6,352,000
Research and development	2,285,000	1,477,000	7,348,000	5,482,000
Amortization of intangible assets	158,000	159,000	473,000	476,000
Operating expenses	5,251,000	4,231,000	15,095,000	14,033,000
Operating income (loss)	3,055,000	2,933,000	9,825,000	2,112,000
Corporate, Non-Segment [Member]
Operating expenses	3,709,000	3,187,000	12,148,000	13,712,000
Product revenue	11,024,000	12,112,000	33,048,000	28,460,000
Product cost of revenue	3,968,000	4,948,000	11,878,000	12,315,000
Product gross profit	7,056,000	7,164,000	21,170,000	16,145,000
License and development revenue	1,250,000	0	3,750,000	0
General and administrative	3,971,000	3,590,000	12,847,000	15,230,000
Sales and marketing	2,512,000	2,195,000	6,517,000	6,622,000
Research and development	2,319,000	1,474,000	7,406,000	5,417,000
Amortization of intangible assets	158,000	159,000	473,000	476,000
Operating expenses	8,960,000	7,418,000	27,243,000	27,745,000
Operating income (loss)	(654,000)	(254,000)	(2,323,000)	(11,600,000)
Non-operating income (expense)	78,000	(48,000)	135,000	(170,000)
Loss before income taxes	$ (576,000)	$ (302,000)	$ (2,188,000)	$ (11,770,000)

Note 10 - Business Segment an59

Note 10 - Business Segment and Geographic Information - Revenues by Geographic Area (Details) - USD ($) $ in Thousands		3 Months Ended			9 Months Ended
		Sep. 30, 2016		Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Domestic [Member]
Product revenue		$ 268		$ 355	$ 672	$ 1,439
International [Member]
Product revenue		$ 10,756		$ 11,757	$ 32,376	$ 27,021
SAUDI ARABIA | Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable		24.00%		1.00%	10.00%	3.00%
SINGAPORE | Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable		22.00%		1.00%	8.00%	2.00%
UNITED ARAB EMIRATES | Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable		5.00%		2.00%	3.00%	14.00%
CHINA | Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable		4.00%		2.00%	11.00%	3.00%
UNITED STATES | Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable		2.00%		3.00%	2.00%	5.00%
QATAR | Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable			[1]	31.00%	12.00%	13.00%
Others [Member] | Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable	[2]	43.00%		60.00%	54.00%	60.00%
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of accounts receivable		100.00%		100.00%	100.00%	100.00%
Product revenue		$ 11,024		$ 12,112	$ 33,048	$ 28,460
[1]	Less than 1%.
[2]	Includes remaining countries not separately disclosed. No country in this line item accounted for more than 10% of our product revenue during the periods presented.

Note 11 - Concentrations (Detai

Note 11 - Concentrations (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
License and Development Revenue [Member] | Customer Concentration Risk [Member] | Customer G [Member]
Concentration Risk, Percentage	100.00%		100.00%
Licenses Revenue	$ 1,250,000	$ 0	$ 3,750,000	$ 0

Note 11 - Concentrations - Acco

Note 11 - Concentrations - Accounts Receivable Concentrations (Details) - Accounts Receivable [Member] - Customer Concentration Risk [Member]	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Customer A [Member]
Percentage of accounts receivable	23.00%	0.00%
Customer B [Member]
Percentage of accounts receivable	16.00%	2.00%
Customer C [Member]
Percentage of accounts receivable	5.00%	26.00%
Customer D [Member]
Percentage of accounts receivable	5.00%	18.00%

Note 11 - Concentrations - Reve

Note 11 - Concentrations - Revenue Concentrations (Details) - Sales Revenue, Net [Member] - Customer Concentration Risk [Member]	3 Months Ended			9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015		Sep. 30, 2016	Sep. 30, 2015
Customer A [Member]
Percentage of accounts receivable	23.00%	0.00%		9.00%		[1]
Customer E [Member]
Percentage of accounts receivable	15.00%	0.00%		5.00%	0.00%
Customer D [Member]
Percentage of accounts receivable	1.00%	32.00%		13.00%	14.00%
Customer F [Member]
Percentage of accounts receivable	0.00%		[1]	0.00%	13.00%
[1]	Less than 1%.

Note 11 - Concentrations - Supp

Note 11 - Concentrations - Supplier Concentrations (Details)	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Accounts Payable, Major Suppliers [Member] | Supplier Concentration Risk [Member] | Vendor A [Member]
Percentage of accounts receivable	19.00%	0.00%

Note 12 - Fair Value Measurem64

Note 12 - Fair Value Measurements - Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Fair Value, Inputs, Level 2 [Member]
Assets:
Available-for-sale securities	$ 15,049	$ 257
Total assets	15,049	290
Foreign currency put option		33
Available-for-sale securities	15,049	257
Total assets	$ 15,049	290
Foreign currency put option		$ 33

Note 13 - Related Party Trans65

Note 13 - Related Party Transactions (Details Textual) - USD ($)	Mar. 31, 2016	Jan. 31, 2016	Sep. 30, 2016	Sep. 30, 2016
Director [Member] | Office Space Lease [Member]
Lessee Leasing Arrangements, Operating Leases, Term of Contract		90 days
Related Party Transaction, Expenses from Transactions with Related Party			$ 1,098	$ 5,268
Unspecified Employee [Member] | Non-interest Bearing Loan [Member]
Related Party Transaction, Due from (to) Related Party, Current	$ 21,786		$ 21,786	$ 21,786
Related Party Transaction, Due from Related Parties, Repayment Term	180 days