Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 14, 2017 | Jun. 30, 2016 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | CLEARSIGN COMBUSTION CORP | ||
Entity Central Index Key | 1,434,524 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Public Float | $ 62,000,000 | ||
Trading Symbol | CLIR | ||
Entity Common Stock, Shares Outstanding | 15,598,853 |
Balance Sheets
Balance Sheets - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Current Assets: | ||
Cash and cash equivalents | $ 1,259,000 | $ 10,985,000 |
Prepaid expenses | 535,000 | 203,000 |
Accounts Receivable | 103,000 | 0 |
Total current assets | 1,897,000 | 11,188,000 |
Fixed assets, net | 144,000 | 123,000 |
Patents and other intangible assets, net | 1,735,000 | 2,881,000 |
Other assets | 10,000 | 10,000 |
Total Assets | 3,786,000 | 14,202,000 |
Current Liabilities: | ||
Accounts payable and accrued liabilities | 755,000 | 495,000 |
Accrued compensation and taxes | 669,000 | 1,109,000 |
Deferred rent | 3,000 | 20,000 |
Billings on uncompleted contracts in excess of costs | 115,000 | 0 |
Total current liabilities | 1,542,000 | 1,624,000 |
Commitments | ||
Stockholders' Equity: | ||
Preferred stock, $0.0001 par value, zero shares issued and outstanding | 0 | 0 |
Common stock, $0.0001 par value, 12,983,938 and 12,868,943 shares issued and outstanding at December 31, 2016 and 2015, respectively | 1,000 | 1,000 |
Additional paid-in capital | 42,574,000 | 41,735,000 |
Accumulated deficit | (40,331,000) | (29,158,000) |
Total stockholders' equity | 2,244,000 | 12,578,000 |
Total Liabilities and Stockholders' Equity | $ 3,786,000 | $ 14,202,000 |
Balance Sheets _Parenthetical_
Balance Sheets [Parenthetical] - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 |
Preferred stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares issued | 12,983,938 | 12,868,943 |
Common stock, shares outstanding | 12,983,938 | 12,868,943 |
Statements of Operations
Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Sales | $ 621,000 | $ 61,000 |
Cost of goods sold | 485,000 | 50,000 |
Gross profit | 136,000 | 11,000 |
Operating expenses: | ||
Research and development | 4,831,000 | 2,932,000 |
General and administrative | 6,510,000 | 5,021,000 |
Total operating expenses | 11,341,000 | 7,953,000 |
Loss from operations | (11,205,000) | (7,942,000) |
Other income: | ||
Interest income | 32,000 | 44,000 |
Net Loss | $ (11,173,000) | $ (7,898,000) |
Net Loss per share - basic and fully diluted | $ (0.86) | $ (0.63) |
Weighted average number of shares outstanding - basic and fully diluted | 12,928,715 | 12,461,515 |
Statement of Stockholders' Equi
Statement of Stockholders' Equity - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] |
Balances at Dec. 31, 2014 | $ 2,959,000 | $ 1,000 | $ 24,218,000 | $ (21,260,000) |
Balances (in shares) at Dec. 31, 2014 | 9,681,476 | |||
Shares issued in underwritten offering ($5.85 per share) | 17,491,000 | $ 0 | 17,491,000 | 0 |
Shares issued in underwritten offering ($5.85 per share) (in shares) | 2,990,000 | |||
Issuance costs of underwritten offering | (1,212,000) | $ 0 | (1,212,000) | 0 |
Issuance costs of underwritten offering (in shares) | 0 | |||
Shares issued for service | 137,000 | $ 0 | 137,000 | 0 |
Shares issued for services (in shares) | 23,034 | |||
Shares issued for services ($3.96 per share) | 20,000 | $ 0 | 20,000 | 0 |
Shares issued for services ($3.96 per share) (in shares) | 5,000 | |||
Shares issued upon exercise of options ($2.20 per share) | 284,000 | $ 0 | 284,000 | 0 |
Shares issued upon exercise of options ($2.20 per share) (in shares) | 166,536 | |||
Shares issued upon exercise of options ($4.88 per share) | 0 | $ 0 | 0 | 0 |
Shares issued upon exercise of options ($4.88 per share) (in shares) | 2,813 | |||
Shares issued upon exercise of options ($5.21 per share) | 0 | $ 0 | 0 | 0 |
Shares issued upon exercise of options ($5.21 per share) (in shares) | 84 | |||
Share based compensation | 797,000 | $ 0 | 797,000 | 0 |
Share based compensation (in shares) | 0 | |||
Net loss | (7,898,000) | $ 0 | 0 | (7,898,000) |
Balances at Dec. 31, 2015 | 12,578,000 | $ 1,000 | 41,735,000 | (29,158,000) |
Balances (in shares) at Dec. 31, 2015 | 12,868,943 | |||
Shares issued for service | 150,000 | $ 0 | 150,000 | 0 |
Shares issued for services (in shares) | 44,112 | |||
Shares issued for services ($3.96 per share) | 20,000 | $ 0 | 20,000 | 0 |
Shares issued for services ($3.96 per share) (in shares) | 5,000 | |||
Shares issued for services ($4.85 per share) | 24,000 | $ 0 | 24,000 | 0 |
Shares issued for services ($4.85 per share) (in shares) | 5,000 | |||
Shares issued upon exercise of warrants ($2.20 per share) | 0 | $ 0 | 0 | 0 |
Shares issued upon exercise of warrants ($2.20 per share) (in shares) | 60,883 | |||
Share based compensation | 645,000 | $ 0 | 645,000 | 0 |
Share based compensation (in shares) | 0 | |||
Net loss | (11,173,000) | $ 0 | 0 | (11,173,000) |
Balances at Dec. 31, 2016 | $ 2,244,000 | $ 1,000 | $ 42,574,000 | $ (40,331,000) |
Balances (in shares) at Dec. 31, 2016 | 12,983,938 |
Stockholders' Equity _Parenthet
Stockholders' Equity [Parenthetical] - $ / shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Stock issued during the period underwritten offering per share | $ 5.85 | |
Common stock for services per share issue one | $ 3.40 | 5.97 |
Common stock for services per share issue two | 3.96 | 3.96 |
Stock issued during period par value exercise of options | 2.20 | |
Stock issued during period par value exercise of options one | 4.88 | |
Stock issued during period par value exercise of options two | $ 5.21 | |
Common Stock For Services Per Share Issue Three | 4.85 | |
Shares issued upon exercise of warrants | $ 2.20 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | ||
Net loss | $ (11,173,000) | $ (7,898,000) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Common stock issued for services | 194,000 | 157,000 |
Share based payments | 645,000 | 797,000 |
Depreciation and amortization | 208,000 | 200,000 |
Abandonment and impairment of capitalized patents pending | 1,971,000 | 593,000 |
Deferred rent | (17,000) | (13,000) |
Change in operating assets and liabilities: | ||
Accounts Receivables | (103,000) | 0 |
Prepaid expenses | (332,000) | (94,000) |
Accounts payable | 260,000 | 242,000 |
Accrued compensation | (440,000) | (245,000) |
Billings on uncompleted contracts in excess of costs | 115,000 | 0 |
Net cash used in operating activities | (8,672,000) | (6,261,000) |
Cash flows from investing activities: | ||
Acquisition of fixed assets | (137,000) | (49,000) |
Disbursements for patents and other intangible assets | (917,000) | (1,113,000) |
Net cash used in investing activities | (1,054,000) | (1,162,000) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock for cash, net of offering costs | 0 | 16,279,000 |
Proceeds from exercise of stock options | 0 | 284,000 |
Net cash provided by financing activities | 0 | 16,563,000 |
Net increase (decrease) in cash and cash equivalents | (9,726,000) | 9,140,000 |
Cash and cash equivalents, beginning of period | 10,985,000 | 1,845,000 |
Cash and cash equivalents, end of period | $ 1,259,000 | $ 10,985,000 |
Supplemental disclosure of non-
Supplemental disclosure of non-cash operating and financing activities: - Employee Stock Option [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 83,775 | |
Shares Issued, Price Per Share | $ 2.20 | |
Sale of Stock, Price Per Share | $ 4.51 | $ 5.90 |
Stock Issued During Period, Shares, Other | 60,883 | 40,371 |
Sharebased Compensation Warrant Exercised | 118,959 | |
Minimum [Member] | ||
Shares Issued, Price Per Share | $ 2.20 | |
Maximum [Member] | ||
Shares Issued, Price Per Share | $ 5.21 |
Organization and Description of
Organization and Description of Business | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Organization, Consolidation, Basis Of Presentation, Business Description and Accounting Policies [Text Block] | Note 1 – Organization and Description of Business ClearSign Combustion Corporation (ClearSign or the Company) designs and is developing technologies for the purpose of improving key performance characteristics of combustion systems, including emission and operational performance, energy efficiency and overall cost-effectiveness. The Company’s primary technologies include its Duplex technology, which achieves very low emissions without the need of external flue gas recirculation, selective catalytic reduction, or higher excess air operation, and its Electrodynamic Combustion Control or ECC technology, which introduces a computer-controlled electric field into the combustion region that may better control gas-phase chemical reactions and improve system performance and cost-effectiveness. The Company is headquartered in Seattle, Washington and was incorporated in the state of Washington in 2008. Development Status The Company’s technologies are currently in field development and have generated nominal revenues from operations to date to meet operating expenses. In order to generate meaningful revenues, the technologies must be fully developed, gain market recognition and acceptance, and develop a critical level of successful sales and product installations. The Company has historically financed its operations primarily through issuances of equity securities, including the $ 9.6 40,331,000 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | Note 2 – Summary of Significant Accounting Policies The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Revenues from design and installation of the Company’s products are recognized on the completed contract method. Revenues from contracts and related costs of goods sold are recognized once the contract is completed or substantially completed. Contract costs include all direct material and labor costs and those indirect costs related to contract performance, such as indirect labor, supplies, and depreciation costs. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are determined. Product Warranties The Company warrants all installed products against defects in materials and workmanship for a period specified in each contract by replacing failed parts. Accruals for product warranties are based on historical warranty experience and current product performance trends, and are recorded at the time revenue is recognized as a component of cost of sales. The warranty liabilities are reduced by material and labor costs used to replace parts over the warranty period in the periods in which the costs are incurred. The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary and such adjustments could be material in the future if estimates differ significantly from actual warranty expense. The warranty liabilities are included in accrued liabilities in the balance sheets. Highly liquid investments purchased with an original maturity of three months or less are considered cash equivalents. Cash is maintained with a commercial bank where accounts are generally guaranteed by the Federal Deposit Insurance Corporation up to $ 250,000 Fixed assets are recorded at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the respective assets. Leasehold improvements are depreciated over the life of the lease or their useful life, whichever is shorter. All other fixed assets are depreciated over two to four years Patents and trademarks are recorded at cost. Amortization is computed using the straight-line method over the estimated useful lives of the assets once they are awarded. The Company tests long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable through the estimated undiscounted cash flows expected to result from the use and eventual disposition of the assets. In that event, a loss is recognized based on the amount by which the carrying amount exceeds the fair value of the long-lived assets. Fair value is determined based on the present value of estimated expected cash flows using a discount rate commensurate with the risks involved, quoted market prices, or appraised values depending upon the nature of the assets. Loss on long-lived assets to be disposed of is determined in a similar manner, except that fair values are reduced for the cost of disposal. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities measured at fair value are categorized based on whether or not the inputs are observable in the market and the degree that the inputs are observable. The categorization of financial assets and liabilities within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The Company's financial instruments primarily consist of cash and cash equivalents, accounts payable and accrued expenses. As of the balance sheet dates, the estimated fair values of the financial instruments were not materially different from their carrying values as presented on the balance sheets. This is primarily attributed to the short term maturities of these instruments. The Company did not identify any other non-recurring assets and liabilities that are required to be presented in the balance sheets at fair value. The cost of research and development is expensed as incurred. Research and development costs consist of salaries, benefits, share based compensation, consulting fees, rent, utilities, depreciation, and consumables used in laboratory and field testing. In 2016 and 2015, the Company received $ 75,000 15,000 Operating lease agreements which contain provisions for future rent increases or periods in which rent payments are reduced or abated are recorded in monthly rent expense in the amount of the total payments over the lease term divided by the number of months of the lease term. The difference between rent expense recorded and the amount paid is credited or charged to deferred rent which is reflected on the accompanying balance sheets. The Company accounts for income taxes using an asset and liability approach which allows for the recognition and measurement of deferred tax assets based upon the likelihood of realization of tax benefits in future years. Under the asset and liability approach, deferred taxes are provided for the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. Tax benefits from an uncertain tax position are recognized only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate resolution. The costs of all employee stock options, as well as other equity-based compensation arrangements, are reflected in the financial statements based on the estimated fair value of the awards on the grant date. That cost is recognized over the period during which an employee is required to provide service in exchange for the award. Stock compensation for stock granted to non-employees is determined as the fair value of the consideration received or the fair value of equity instruments issued, whichever is more reliably measured. Basic loss per share is computed by dividing loss available to common stockholders by the weighted-average number of common shares outstanding. Diluted loss per share is computed similar to basic loss per share except that the denominator is increased to include additional common shares available upon exercise of stock options and warrants using the treasury stock method, except for periods for which no common share equivalents are included because their effect would be anti-dilutive. At December 31, 2016 and 2015, potentially dilutive shares outstanding amounted to 1,328,128 1,287,672 In August 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-15 titled Presentation of Financial Statements – Going Concern Recently Issued Accounting Pronouncements In February 2016, the Financial Accounting Standards Board issued Accounting Standards Update No. 2016-02 regarding leases. The new standard requires lessee recognition on the balance sheet of a right-of-use asset and a lease liability, initially measured at the present value of the lease payments. It further requires recognition in the income statement of a single lease cost, calculated so that the cost of the lease is allocated over the lease term on a generally straight-line basis. Finally, it requires classification of all cash payments within operating activities in the statement of cash flows. It is effective January 1, 2019 and early adoption is permitted. Management is reviewing this standard to determine its effect on the financial statements. In September 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-09 regarding revenue recognition. The new standard p rovides authoritative guidance clarifying the principles for recognizing revenue and developing a common revenue standard for U.S. generally accepted accounting principles. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods and services to customers in an amount that reflects the consideration to which the entity expects to be entitled in the exchange for those goods or services. Additionally, the guidance requires improved disclosure to help users of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. It is effective January 1, 2018 and early adoption is permitted. Management is reviewing this standard to determine its effect on the financial statements. Management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, would have a material impact on the Company’s financial statement presentation or disclosures. The Company is an emerging growth company as defined under the Jumpstart Our Business Startups Act of 2012 (JOBS Act). An emerging growth company may delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company will remain an emerging growth company until December 31, 2017, although it will lose that status sooner if its revenues exceed $ 1 1 700 62 |
Fixed Assets
Fixed Assets | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | Note 3 – Fixed Assets December 31, December 31, 2016 2015 Machinery and equipment $ 662,000 $ 639,000 Office furniture and equipment 141,000 115,000 Leasehold improvements 134,000 130,000 Accumulated depreciation and amortization (876,000) (761,000) 61,000 123,000 Construction in progress 83,000 - $ 144,000 $ 123,000 |
Patents and Other Intangible As
Patents and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets Disclosure [Text Block] | Note 4 – Patents and Other Intangible Assets December 31, December 31, 2016 2015 Patents Patents pending $ 1,040,000 $ 2,730,000 Issued patents 747,000 115,000 1,787,000 2,845,000 Trademarks Trademarks pending 23,000 18,000 Registered trademarks 23,000 23,000 46,000 41,000 Other 8,000 8,000 1,841,000 2,894,000 Accumulated amortization (106,000) (13,000) $ 1,735,000 $ 2,881,000 In 2016, the Company reassessed its patent portfolio in order to ensure that both the cost-effectiveness and the value created through the intellectual property portfolio were maximized and to focus resources on its most promising patents. Those patents considered to be the most beneficial were retained and those pending patents projected to be unnecessarily costly that could be disposed of without meaningfully degrading the quality of the remaining intellectual property portfolio were abandoned. Further, an impairment loss was recorded for certain other patents pending which are believed to be of diminished value, but in the judgment of management remain worthwhile to continue to pursue until the product attributes and related reasonable patent protection can be better determined. As a result, during the years ended December 31, 2016 and 2015, the Company recorded impairment losses of $ 1,971,000 593,000 Duplex ECC Total Balance at January 1, 2015 $ 481,000 $ 1,848,000 $ 2,329,000 Abandonments and impairments (19,000) (574,000) (593,000) Additions 669,000 440,000 1,109,000 Balance at December 31, 2015 1,131,000 1,714,000 2,845,000 Abandonments and impairments (757,000) (1,214,000) (1,971,000) Additions 546,000 367,000 913,000 Balance at December 31, 2016 $ 920,000 $ 867,000 $ 1,787,000 2017 $ 179,000 2018 179,000 2019 157,000 2020 91,000 2021 30,000 Thereafter 28,000 $ 664,000 |
Sales, Billings, and Costs on U
Sales, Billings, and Costs on Uncompleted Contracts | 12 Months Ended |
Dec. 31, 2016 | |
Costs in Excess of Billings on Uncompleted Contracts or Programs [Abstract] | |
Revenue and Billings On Uncompleted Contracts In Excess of Costs ,Description [Text Block] | Note 5 – Sales, Billings, and Costs on Uncompleted Contracts In the quarter ended March 31, 2016, the Company entered into a contract with a third party contractor to supply its Duplex technology to a major California oil producer to retrofit its enclosed wellhead ground flare. Payment for this installation was conditioned upon successful completion and acceptance of the unit by the oil producer customer. This unit was accepted and payment of the $ 260,000 144,000 64,000 196,000 52,000 Following the acceptance of the first unit the Company entered into a multi-flare contract with the same customer to supply additional Duplex units. This contract is valued at approximately $ 900,000 360,000 115,000 Over the course of prior years, the Company had entered into contracts to supply its Duplex technology with customer payments to be received upon completion. Several of these developmental units were accepted in the year ended December 31, 2016. Since payments aggregating $ 361,000 566,000 421,000 60,000 626,000 |
Product Warranties
Product Warranties | 12 Months Ended |
Dec. 31, 2016 | |
Product Warranties Disclosures [Abstract] | |
Product Warranty Disclosure [Text Block] | Note 6 – Product Warranties 2016 Warranty liability, beginning of year $ - Accruals 283,000 Payments (70,000) Adjustments and other - Warranty liability, end of year $ 213,000 There was no accrued warranty liability at December 31, 2015. |
Termination of Employment Agree
Termination of Employment Agreement | 12 Months Ended |
Dec. 31, 2016 | |
Employment Agreement Termination [Abstract] | |
Termination of Employment Agreement Disclosure [Text Block] | Note 7– Termination of Employment Agreement The Company and its former Chief Executive Officer, Richard F. Rutkowski, entered into an agreement in December 2014 terminating a prior employment agreement. Under this agreement, Mr. Rutkowski was paid his annual salary of $359,000 through December 31, 2016, was paid a bonus of $60,000 in 2015, received employee benefits through December 2015, and received accelerated vesting on 15,625 stock options with an exercise price of $4.88 per share and 14,219 stock options with an exercise price of $9.90 per share. The options were not exercised prior to March 2015; therefore, pursuant to the terms of the option agreements and the ClearSign Combustion Company 2011 Equity Incentive Plan, the right to exercise the options terminated. Expected life 0.25 years Weighted average volatility 68% Forfeiture rate 46% Weighted average risk-free interest rate 0.04% Expected dividend rate - The liability incurred under this agreement totaled $943,000 which was recognized in general and administrative expense in 2014 and included a fair value of $50,000 attributable to the stock option provisions. At December 31, 2016, the remaining liability totaled $372,000 and was paid in 2016. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Note 8 – Income Taxes Through December 31, 2016, the Company incurred net operating losses for federal tax purposes of approximately $ 38,500,000 The net operating loss carry forwards may be used to reduce taxable income through the years 2028 to 2036 50 2016 2015 Expected tax benefit at 34% $ (3,799,000) $ (2,685,000) Change in valuation allowance 3,590,000 2,420,000 Other 209,000 265,000 Provision for income taxes $ - $ - The net deferred tax asset at December 31, 2016 and 2015 was $ 13,090,000 9,500,000 2016 2015 Net operating loss carry forwards $ 13,100,000 $ 9,650,000 Accrued liabilities 250,000 140,000 Stock compensation (260,000) (270,000) Depreciation 20,000 - Prepaid expenses (30,000) (30,000) Other 10,000 10,000 Deferred tax assets, net 13,090,000 9,500,000 Valuation allowance (13,090,000) (9,500,000) Net deferred tax asset $ - $ - Although the Company is not under examination, the tax years for 2013 and forward are subject to examination by United States tax authorities. The Company’s practice is to recognize interest and penalties related to income tax matters in income tax expense. As of December 31, 2016 and 2015, there were no accrued interest or penalties related to uncertain tax positions. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | Note 9 – Stockholders’ Equity Common Stock and Preferred Stock The Company is authorized to issue 62,500,000 shares of common stock and 2,000,000 shares of preferred stock. Preferences, limitations, voting powers and relative rights of any preferred stock to be issued may be determined by the Company’s Board of Directors. The Company has not issued any shares of preferred stock. In January 2017, the Company completed a rights offering as described in Note 14 whereby 2,395,471 shares of common stock and 2,395,471 warrants to purchase an equal number of shares of common stock at $4.00 per share were issued, for net cash proceeds of approximately $8.7 million. In February 2015, the Company completed an underwritten public offering of common stock whereby 2,990,000 shares were issued at $5.85 per share. Gross proceeds from the offering totaled $17.5 million and net cash proceeds approximated $16.3 million. Expenses of the offering approximated $1.2 million, including underwriting fees of $1,049,000, underwriter legal fees and other costs of $55,000, and other costs of $108,000. Equity Incentive Plan The ClearSign Combustion Corporation 2011 Equity Incentive Plan (the Plan) provides for the granting of options to purchase shares of common stock, stock awards to purchase shares at no less than 85% of the value of the shares, and stock bonuses to officers, employees, board members, certain consultants, and advisors. The Compensation Committee of the Board of Directors is authorized to administer the Plan and establish the grant terms, including the grant price, vesting period and exercise date. As of December 31, 2016, the number of shares reserved for issuance under the Plan totaled 1,407,269 shares. The Plan provides for quarterly increases in the available number of authorized shares equal to the lesser of 10% of any new shares issued by the Company during the quarter immediately prior to the adjustment date or such lesser amount as the Board of Directors shall determine. Activity under the Plan is as follows: 2016 2015 Reserved but unissued shares under the Plan, beginning of year 455,372 242,764 Increases in the number of authorized shares under the Plan 15,039 315,225 Grants of stock options (171,900 ) (409,200 ) Stock option forfeitures 12,485 116,780 Exercise of stock options - 212,837 Stock grants (44,112 ) (23,034 ) Reserved but unissued shares under the Plan, end of year 266,884 455,372 Stock Options In 2016, the Company granted 171,900 stock options under the Plan to certain employees. The stock options have exercise prices based on the grant date fair values ranging from $4.21 to $4.85 per share with a weighted average of $4.22 per share, a contractual life of 10 years, and vest over four years. As permitted by SAB 107, due to the Company’s insufficient history of option activity, management utilized the simplified approach to estimate the expected term of the options, which represents the period of time that options granted are expected to be outstanding. Expected volatility was determined through the Company’s historical stock price volatility. The Company estimated the forfeiture rate at the time of grant and will revise it, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company recognizes compensation costs only for those equity awards expected to vest. The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury yield in effect at the time of grant. The Company has never declared or paid dividends and has no plans to do so in the foreseeable future. The following weighted-average assumptions were utilized in the calculation of the fair value of the stock options: Expected life 6.25 years Weighted average volatility 73 % Forfeiture rate 12 % Weighted average risk-free interest rate 1.56 % Expected dividend rate 0 % The fair value of stock options granted, estimated on the date of grant using the Black-Scholes option valuation model, was $419,000. The recognized compensation expense associated with these grants in 2016 was $78,000. In 2015, the Company granted 409,200 stock options under the Plan to certain employees and a consultant, including 300,000 stock options to its Chief Executive Officer, Stephen E. Pirnat. The stock options have exercise prices based on the grant date fair values ranging from $3.96 to $5.97 per share with a weighted average of $5.39 per share, a contractual life of 10 years, and vest over 1-2 years in the case of Mr. Pirnat and over four years in the case of all other stock options. The following weighted average assumptions were utilized in the calculation of the fair value of the stock options. Expected life 5.81 years Weighted average volatility 72 % Forfeiture rate 11 % Weighted average risk-free interest rate 1.45 % Expected dividend rate 0 % The fair value of stock options granted, estimated on the date of grant using the Black-Scholes option valuation model, was $1,242,000 which includes $923,000 for Mr. Pirnat’s stock options. The recognized compensation expense associated with these grants in 2016 and 2015 was $397,000 and $579,000, respectively. A summary of the Company’s stock option activity and related information is as follows: 2016 2015 Options to Weighted Weighted Average Options to Weighted Weighted Outstanding at January 1 723,400 $ 5.18 8.10 643,817 $ 4.46 5.67 Granted 171,900 $ 4.22 9.26 409,200 $ 5.39 9.22 Exercised - - - (212,837 ) $ 2.51 - Forfeited/Expired/Exchanged (12,485 ) $ 6.17 - (116,780 ) $ 6.86 - Outstanding at December 31 882,815 $ 4.98 7.51 723,400 $ 5.18 8.10 Exercisable at December 31 547,532 $ 4.91 6.85 257,391 $ 4.05 6.12 A summary of the status of the Company’s non-vested stock options at December 31 and changes during the year is as follows: Number of Weighted Average Number of Weighted Non-vested stock options at January 1 466,009 $ 5.79 201,859 $ 6.57 Granted 171,900 $ 4.22 409,200 $ 5.39 Vested (290,141 ) $ 5.67 (97,367 ) $ 5.16 Exercised - - - - Forfeited/Expired/Exchanged (12,485 ) $ 6.17 (47,683 ) $ 6.88 Non-vested stock options at December 31 335,283 $ 5.09 466,009 $ 5.79 The estimated aggregate pretax intrinsic value of the Company’s outstanding vested stock options at December 31, 2016 is $173,000. The intrinsic value is the difference between the Company’s common stock price and the option exercise prices multiplied by the number of in-the-money options. This amount changes based on the fair value of the Company’s common stock. At December 31, 2016, there was $675,000 of total unrecognized compensation cost related to non-vested stock option-based compensation arrangements granted under the Plan. That cost is expected to be recognized in future years as follows: 2017 $ 352,000 2018 177,000 2019 120,000 2020 26,000 $ 675,000 The recognized compensation cost associated with the Plan is as follows: 2016 2015 Research and development $ 112,000 $ 108,000 General and administrative 513,000 663,000 Effect on net loss $ 625,000 $ 771,000 Effect on net loss per share $ 0.05 $ 0.06 Stock Grants In 2016 and 2015, the Company granted 44,112 and 23,034 shares, respectively, of common stock under the Plan to its three independent directors in accordance with agreements for board service. The fair value of the stock at the time of grant was $3.40 and $5.97 per share for a total value of $150,000 and $137,000 respectively in each of 2016 and 2015, which the Company recognized in general and administrative expense. In 2011, the Company granted 125,000 shares of common stock under the Plan to a key employee which were subject to a declining repurchase right by the Company at $0.0001 per share through September 30, 2016 if the employee terminates employment or certain other designated events occur. The Company recognized general and administrative compensation expense of $20,000 and $26,000 in 2016 and 2015, respectively, related to this stock grant. Consultant Stock Plan The 2013 Consultant Stock Plan (the Consultant Plan) provides for the granting of shares of common stock to consultants who provide services related to capital raising, investor relations, and making a market in or promoting the Company’s securities. The Company’s officers, employees, and board members are not entitled to receive grants from the Consultant Plan. The Compensation Committee of the Board of Directors is authorized to administer the Consultant Plan and establish the grant terms. The number of shares reserved for issuance under the Consultant Plan on December 31, 2016 totaled 116,883 shares. The Consultant Plan provides for quarterly increases in the available number of authorized shares equal to the lesser of 1% of any new shares issued by the Company during the quarter immediately prior to the adjustment date or such lesser amount as the Board of Directors shall determine. The Company granted 10,000 and 5,000 shares from the Consultant Plan to consultants for services in 2016 and 2015, respectively. The fair value of the stock at the time of grant was $4.85 and $3.96 per share, respectively, for a total value of $44,000 in 2016 and $20,000 in 2015 which the Company recognized in general and administrative expense. Activity under the Consultant Plan is as follows: 2016 2015 Reserved but unissued shares under the Consultant Plan at January 1 92,130 65,608 Increases in the number of authorized shares under the Consultant Plan 1,503 31,522 Stock grants (10,000 ) (5,000 ) Reserved but unissued shares under the Consultant Plan at December 31 83,633 92,130 Warrants In conjunction with the January 2017 rights offering as described in Note 14, the Company issued 2,395,471 warrants to purchase an equal number of shares of common stock at $4.00 per share. A summary of the Company’s warrant activity and related information is as follows: 2015 Warrants Weighted Average Warrants Weighted Average Outstanding at January 1 564,272 $ 4.14 564,272 $ 4.14 Granted - - - - Exercised (118,959 ) $ 2.20 - - Forfeited/Expired - - - - Outstanding at December 31 445,313 $ 4.65 564,272 $ 4.14 The following table summarizes the number of warrants, the weighted average exercise price, and weighted average life (in years) by price for both total outstanding warrants and total exercisable warrants at December 31, 2016: Total Outstanding Warrants Exercise Price Warrants Weighted Life $ 1.80 80,000 $ 1.80 4.13 $ 5.00 345,000 $ 5.00 0.32 $ 10.00 20,313 $ 10.00 2.18 445,313 $ 4.65 |
Retirement Plan
Retirement Plan | 12 Months Ended |
Dec. 31, 2016 | |
Retirement Plan [Abstract] | |
Retirement Plan [Text Block] | Note 10 – Retirement Plan The Company has a defined contribution retirement plan covering all of its employees whereby the Company matches employee contributions up to 3 85,000 71,000 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | Note 11 – Related Party Transactions In connection with the January 2017 rights offering described in Note 14, the Company paid the dealer-manager and placement agent, MDB Capital Group LLC (MDB), fees of $ 575,000 60,000 1,049,000 55,000 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | Note 12 – Commitments and Contingencies On February 3, 2015, the Company and its newly-appointed Chief Executive Officer, Stephen E. Pirnat entered into an employment agreement (the Agreement) which terminates on December 31, 2017 350,000 60 100,000 0 39,000 The Company has a triple net lease for office and laboratory space in Seattle, Washington through March 2020. Under the terms of the lease, the Company paid no rent for the period November 2011 to February 2012 and for February 2014. Rent escalates annually by 3 17,000 13,000 3,000 2,000 2017 172,000 2018 173,000 2019 164,000 2020 37,000 $ 546,000 For the years ended December 31, 2016 and 2015, rent expense amounted to $ 191,000 217,000 The Company has a field test agreement with a customer to demonstrate and test the Duplex technology in a once through steam generator (OTSG) used to facilitate a thermally enhanced oil recovery process. Under the terms of the agreement, the Company has retrofitted an OTSG unit in order to achieve certain performance criteria. The agreement also includes time-sensitive pricing, delivery and installation terms, if elected, that will apply to future purchases of this Duplex application by this customer. |
Quarterly Results
Quarterly Results | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information [Text Block] | Note 13 – Quarterly Results (unaudited) First Second Third Fourth For the year ended December 31, 2016 Quarter Quarter Quarter Quarter Revenue $ - $ - $ 260,000 $ 361,000 Gross Profit (Loss) $ - $ - $ 213,000 $ (77,000) Operating Expense $ 2,601,000 $ 2,442,000 $ 4,066,000 $ 2,232,000 Net Loss $ (2,589,000) $ (2,431,000) $ (3,846,000) $ (2,306,000) Net Loss per share - basic and fully diluted $ (0.20) $ (0.19) $ (0.30) $ (0.17) For the year ended December 31, 2015 Revenue $ - $ - $ - $ 61,000 Gross Profit $ - $ - $ - $ 11,000 Operating Expense $ 1,592,000 $ 1,810,000 $ 1,969,000 $ 2,582,000 Net Loss $ (1,583,000) $ (1,796,000) $ (1,961,000) $ (2,558,000) Net Loss per share - basic and fully diluted $ (0.14) $ (0.14) $ (0.15) $ (0.20) For the year ended December 31, 2016 the Company recorded a bonus expense of $ 660,000 The Company recorded a number of adjustments in the fourth quarter of 2015 including an expense of $ 588,000 |
Subsequent Event
Subsequent Event | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Note 14 – Subsequent Event Rights Offering On January 25, 2017, the Company completed a rights offering and public offering of units comprised of common stock and warrants at $ 4.00 2,395,471 2,395,471 4.00 January 25, 2019 9.6 8.7 900,000 575,000 60,000 Stock Grants In February 2017, the Company granted 83,334 3.60 300,000 136,110 3.60 490,000 219,444 0.0001 |
Summary of Significant Accoun23
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Use Of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition and Cost of Goods Sold Revenues from design and installation of the Company’s products are recognized on the completed contract method. Revenues from contracts and related costs of goods sold are recognized once the contract is completed or substantially completed. Contract costs include all direct material and labor costs and those indirect costs related to contract performance, such as indirect labor, supplies, and depreciation costs. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are determined. |
Standard Product Warranty, Policy [Policy Text Block] | Product Warranties The Company warrants all installed products against defects in materials and workmanship for a period specified in each contract by replacing failed parts. Accruals for product warranties are based on historical warranty experience and current product performance trends, and are recorded at the time revenue is recognized as a component of cost of sales. The warranty liabilities are reduced by material and labor costs used to replace parts over the warranty period in the periods in which the costs are incurred. The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary and such adjustments could be material in the future if estimates differ significantly from actual warranty expense. The warranty liabilities are included in accrued liabilities in the balance sheets. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents Highly liquid investments purchased with an original maturity of three months or less are considered cash equivalents. Cash is maintained with a commercial bank where accounts are generally guaranteed by the Federal Deposit Insurance Corporation up to $ 250,000 |
Fixed Assets Policy [Policy Text Block] | Fixed Assets Fixed assets are recorded at cost. Depreciation is computed using the straight-line method over the estimated useful lives of the respective assets. Leasehold improvements are depreciated over the life of the lease or their useful life, whichever is shorter. All other fixed assets are depreciated over two to four years |
Patents and Trademarks Policy [Policy Text Block] | Patents and Trademarks Patents and trademarks are recorded at cost. Amortization is computed using the straight-line method over the estimated useful lives of the assets once they are awarded. |
Impairment Of Long Lived Asset Policy [Policy Text Block] | Impairment of Long-Lived Assets The Company tests long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable through the estimated undiscounted cash flows expected to result from the use and eventual disposition of the assets. In that event, a loss is recognized based on the amount by which the carrying amount exceeds the fair value of the long-lived assets. Fair value is determined based on the present value of estimated expected cash flows using a discount rate commensurate with the risks involved, quoted market prices, or appraised values depending upon the nature of the assets. Loss on long-lived assets to be disposed of is determined in a similar manner, except that fair values are reduced for the cost of disposal. |
Fair Value Of Financial Instruments, Policy [Policy Text Block] | Fair Value of Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities measured at fair value are categorized based on whether or not the inputs are observable in the market and the degree that the inputs are observable. The categorization of financial assets and liabilities within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The Company's financial instruments primarily consist of cash and cash equivalents, accounts payable and accrued expenses. As of the balance sheet dates, the estimated fair values of the financial instruments were not materially different from their carrying values as presented on the balance sheets. This is primarily attributed to the short term maturities of these instruments. The Company did not identify any other non-recurring assets and liabilities that are required to be presented in the balance sheets at fair value. |
Research and Development Expense, Policy [Policy Text Block] | Research and Development The cost of research and development is expensed as incurred. Research and development costs consist of salaries, benefits, share based compensation, consulting fees, rent, utilities, depreciation, and consumables used in laboratory and field testing. In 2016 and 2015, the Company received $ 75,000 15,000 |
Deferred Rent Policy [Policy Text Block] | Deferred Rent Operating lease agreements which contain provisions for future rent increases or periods in which rent payments are reduced or abated are recorded in monthly rent expense in the amount of the total payments over the lease term divided by the number of months of the lease term. The difference between rent expense recorded and the amount paid is credited or charged to deferred rent which is reflected on the accompanying balance sheets. |
Income Tax, Policy [Policy Text Block] | Income Taxes The Company accounts for income taxes using an asset and liability approach which allows for the recognition and measurement of deferred tax assets based upon the likelihood of realization of tax benefits in future years. Under the asset and liability approach, deferred taxes are provided for the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. A valuation allowance is provided for deferred tax assets if it is more likely than not these items will either expire before the Company is able to realize their benefits, or that future deductibility is uncertain. Tax benefits from an uncertain tax position are recognized only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate resolution. |
Share-Based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-Based Compensation The costs of all employee stock options, as well as other equity-based compensation arrangements, are reflected in the financial statements based on the estimated fair value of the awards on the grant date. That cost is recognized over the period during which an employee is required to provide service in exchange for the award. Stock compensation for stock granted to non-employees is determined as the fair value of the consideration received or the fair value of equity instruments issued, whichever is more reliably measured. |
Earnings Per Share, Policy [Policy Text Block] | Net Loss per Common Share Basic loss per share is computed by dividing loss available to common stockholders by the weighted-average number of common shares outstanding. Diluted loss per share is computed similar to basic loss per share except that the denominator is increased to include additional common shares available upon exercise of stock options and warrants using the treasury stock method, except for periods for which no common share equivalents are included because their effect would be anti-dilutive. At December 31, 2016 and 2015, potentially dilutive shares outstanding amounted to 1,328,128 1,287,672 |
Recently Adopted Standards [Policy Text Block] | Recently Adopted Standards In August 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-15 titled Presentation of Financial Statements – Going Concern |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements In February 2016, the Financial Accounting Standards Board issued Accounting Standards Update No. 2016-02 regarding leases. The new standard requires lessee recognition on the balance sheet of a right-of-use asset and a lease liability, initially measured at the present value of the lease payments. It further requires recognition in the income statement of a single lease cost, calculated so that the cost of the lease is allocated over the lease term on a generally straight-line basis. Finally, it requires classification of all cash payments within operating activities in the statement of cash flows. It is effective January 1, 2019 and early adoption is permitted. Management is reviewing this standard to determine its effect on the financial statements. In September 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-09 regarding revenue recognition. The new standard p rovides authoritative guidance clarifying the principles for recognizing revenue and developing a common revenue standard for U.S. generally accepted accounting principles. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods and services to customers in an amount that reflects the consideration to which the entity expects to be entitled in the exchange for those goods or services. Additionally, the guidance requires improved disclosure to help users of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. It is effective January 1, 2018 and early adoption is permitted. Management is reviewing this standard to determine its effect on the financial statements. Management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, would have a material impact on the Company’s financial statement presentation or disclosures. |
Growing Company [Policy Text Block] | Emerging Growth Company The Company is an emerging growth company as defined under the Jumpstart Our Business Startups Act of 2012 (JOBS Act). An emerging growth company may delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company will remain an emerging growth company until December 31, 2017, although it will lose that status sooner if its revenues exceed $ 1 1 700 62 |
Fixed Assets (Tables)
Fixed Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | Fixed assets are summarized as follows: December 31, December 31, 2016 2015 Machinery and equipment $ 662,000 $ 639,000 Office furniture and equipment 141,000 115,000 Leasehold improvements 134,000 130,000 Accumulated depreciation and amortization (876,000) (761,000) 61,000 123,000 Construction in progress 83,000 - $ 144,000 $ 123,000 |
Patents and Other Intangible 25
Patents and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | Patents and other intangible assets are summarized as follows: December 31, December 31, 2016 2015 Patents Patents pending $ 1,040,000 $ 2,730,000 Issued patents 747,000 115,000 1,787,000 2,845,000 Trademarks Trademarks pending 23,000 18,000 Registered trademarks 23,000 23,000 46,000 41,000 Other 8,000 8,000 1,841,000 2,894,000 Accumulated amortization (106,000) (13,000) $ 1,735,000 $ 2,881,000 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | A reconciliation of patent activity for the years ended December 31, 2016 and 2015 is summarized as follows: Duplex ECC Total Balance at January 1, 2015 $ 481,000 $ 1,848,000 $ 2,329,000 Abandonments and impairments (19,000) (574,000) (593,000) Additions 669,000 440,000 1,109,000 Balance at December 31, 2015 1,131,000 1,714,000 2,845,000 Abandonments and impairments (757,000) (1,214,000) (1,971,000) Additions 546,000 367,000 913,000 Balance at December 31, 2016 $ 920,000 $ 867,000 $ 1,787,000 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Future amortization expense associated with awarded patents and registered trademarks as of December 31, 2016 is estimated as follows: 2017 $ 179,000 2018 179,000 2019 157,000 2020 91,000 2021 30,000 Thereafter 28,000 $ 664,000 |
Product Warranties (Tables)
Product Warranties (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Product Warranties Disclosures [Abstract] | |
Schedule of Product Warranty Liability [Table Text Block] | A summary of the Company’s warranty liability activity, which is included in accrued liabilities in the accompanying balance sheet as of December 31, 2016 is as follows: 2016 Warranty liability, beginning of year $ - Accruals 283,000 Payments (70,000) Adjustments and other - Warranty liability, end of year $ 213,000 |
Termination of Employment Agr27
Termination of Employment Agreement (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Employment Agreement Termination [Abstract] | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block] | The following weighted-average assumptions were utilized in the calculation of the fair value of the modified stock options: Expected life 0.25 years Weighted average volatility 68% Forfeiture rate 46% Weighted average risk-free interest rate 0.04% Expected dividend rate - |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | A reconciliation of the expected tax computed at the statutory federal income tax rate to the provision for income taxes is as follows: 2016 2015 Expected tax benefit at 34% $ (3,799,000) $ (2,685,000) Change in valuation allowance 3,590,000 2,420,000 Other 209,000 265,000 Provision for income taxes $ - $ - |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2016 2015 Net operating loss carry forwards $ 13,100,000 $ 9,650,000 Accrued liabilities 250,000 140,000 Stock compensation (260,000) (270,000) Depreciation 20,000 - Prepaid expenses (30,000) (30,000) Other 10,000 10,000 Deferred tax assets, net 13,090,000 9,500,000 Valuation allowance (13,090,000) (9,500,000) Net deferred tax asset $ - $ - |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule of Share-based Compensation, Activity [Table Text Block] | A summary of the status of the Company’s non-vested stock options at December 31 and changes during the year is as follows: Number of Weighted Average Number of Weighted Non-vested stock options at January 1 466,009 $ 5.79 201,859 $ 6.57 Granted 171,900 $ 4.22 409,200 $ 5.39 Vested (290,141 ) $ 5.67 (97,367 ) $ 5.16 Exercised - - - - Forfeited/Expired/Exchanged (12,485 ) $ 6.17 (47,683 ) $ 6.88 Non-vested stock options at December 31 335,283 $ 5.09 466,009 $ 5.79 |
Schedule Of Recognized Compensation Cost [Table Text Block] | The recognized compensation cost associated with the Plan is as follows: 2016 2015 Research and development $ 112,000 $ 108,000 General and administrative 513,000 663,000 Effect on net loss $ 625,000 $ 771,000 Effect on net loss per share $ 0.05 $ 0.06 |
Schedule Of Share Based Compensation Warrants Activity [Table Text Block] | The following table summarizes the number of warrants, the weighted average exercise price, and weighted average life (in years) by price for both total outstanding warrants and total exercisable warrants at December 31, 2016: Total Outstanding Warrants Exercise Price Warrants Weighted Life $ 1.80 80,000 $ 1.80 4.13 $ 5.00 345,000 $ 5.00 0.32 $ 10.00 20,313 $ 10.00 2.18 445,313 $ 4.65 |
Equity Incentive Plan [Member] | |
Schedule of Share-based Compensation, Activity [Table Text Block] | Activity under the Plan is as follows: 2016 2015 Reserved but unissued shares under the Plan, beginning of year 455,372 242,764 Increases in the number of authorized shares under the Plan 15,039 315,225 Grants of stock options (171,900 ) (409,200 ) Stock option forfeitures 12,485 116,780 Exercise of stock options - 212,837 Stock grants (44,112 ) (23,034 ) Reserved but unissued shares under the Plan, end of year 266,884 455,372 |
Consultant Plan [Member] | |
Schedule of Share-based Compensation, Activity [Table Text Block] | Activity under the Consultant Plan is as follows: 2016 2015 Reserved but unissued shares under the Consultant Plan at January 1 92,130 65,608 Increases in the number of authorized shares under the Consultant Plan 1,503 31,522 Stock grants (10,000 ) (5,000 ) Reserved but unissued shares under the Consultant Plan at December 31 83,633 92,130 |
Warrant [Member] | |
Schedule Of Share Based Compensation Warrants Activity [Table Text Block] | A summary of the Company’s warrant activity and related information is as follows: 2015 Warrants Weighted Average Warrants Weighted Average Outstanding at January 1 564,272 $ 4.14 564,272 $ 4.14 Granted - - - - Exercised (118,959 ) $ 2.20 - - Forfeited/Expired - - - - Outstanding at December 31 445,313 $ 4.65 564,272 $ 4.14 |
Employee Stock Option [Member] | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | A summary of the Company’s stock option activity and related information is as follows: 2016 2015 Options to Weighted Weighted Average Options to Weighted Weighted Outstanding at January 1 723,400 $ 5.18 8.10 643,817 $ 4.46 5.67 Granted 171,900 $ 4.22 9.26 409,200 $ 5.39 9.22 Exercised - - - (212,837 ) $ 2.51 - Forfeited/Expired/Exchanged (12,485 ) $ 6.17 - (116,780 ) $ 6.86 - Outstanding at December 31 882,815 $ 4.98 7.51 723,400 $ 5.18 8.10 Exercisable at December 31 547,532 $ 4.91 6.85 257,391 $ 4.05 6.12 |
Schedule Of Employee Service Share Based Compensation Unrecognized Period Costs [Table Text Block] | At December 31, 2016, there was $675,000 of total unrecognized compensation cost related to non-vested stock option-based compensation arrangements granted under the Plan. That cost is expected to be recognized in future years as follows: 2017 $ 352,000 2018 177,000 2019 120,000 2020 26,000 $ 675,000 |
Schedule Of Share Based Payment Award Warrants Valuation Assumptions [Table Text Block] | The following weighted-average assumptions were utilized in the calculation of the fair value of the stock options: Expected life 6.25 years Weighted average volatility 73 % Forfeiture rate 12 % Weighted average risk-free interest rate 1.56 % Expected dividend rate 0 % The following weighted average assumptions were utilized in the calculation of the fair value of the stock options. Expected life 5.81 years Weighted average volatility 72 % Forfeiture rate 11 % Weighted average risk-free interest rate 1.45 % Expected dividend rate 0 % |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Minimum future payments under the Company’s lease at December 31, 2016 are as follows: 2017 $ 172,000 2018 173,000 2019 164,000 2020 37,000 $ 546,000 |
Quarterly Results (Tables)
Quarterly Results (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information [Table Text Block] | Quarterly results for the years ended December 31, 2016 and 2015 are as follows: First Second Third Fourth For the year ended December 31, 2016 Quarter Quarter Quarter Quarter Revenue $ - $ - $ 260,000 $ 361,000 Gross Profit (Loss) $ - $ - $ 213,000 $ (77,000) Operating Expense $ 2,601,000 $ 2,442,000 $ 4,066,000 $ 2,232,000 Net Loss $ (2,589,000) $ (2,431,000) $ (3,846,000) $ (2,306,000) Net Loss per share - basic and fully diluted $ (0.20) $ (0.19) $ (0.30) $ (0.17) For the year ended December 31, 2015 Revenue $ - $ - $ - $ 61,000 Gross Profit $ - $ - $ - $ 11,000 Operating Expense $ 1,592,000 $ 1,810,000 $ 1,969,000 $ 2,582,000 Net Loss $ (1,583,000) $ (1,796,000) $ (1,961,000) $ (2,558,000) Net Loss per share - basic and fully diluted $ (0.14) $ (0.14) $ (0.15) $ (0.20) |
Organization and Description 32
Organization and Description of Business (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | 107 Months Ended | ||||||||
Jan. 25, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | |
Organization and Description of Business [Line Items] | ||||||||||||
Net Loss | $ (2,306,000) | $ (3,846,000) | $ (2,431,000) | $ (2,589,000) | $ (2,558,000) | $ (1,961,000) | $ (1,796,000) | $ (1,583,000) | $ (11,173,000) | $ (7,898,000) | $ 40,331,000 | |
Subsequent Event [Member] | Right Offering and Public Offering [Member] | ||||||||||||
Organization and Description of Business [Line Items] | ||||||||||||
Gross Proceeds From Public Stock Offering Of CommonStock | $ 9,600,000 |
Summary of Significant Accoun33
Summary of Significant Accounting Policies (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | |
Variable Interest Entity [Line Items] | |||
Cash, FDIC Insured Amount | $ 250,000 | ||
Weighted Average Number of Shares Outstanding, Diluted | 1,328,128 | 1,287,672 | |
Emerging Growth Company Minimum Revenue | $ 1,000,000,000 | ||
Emerging Growth Company Non Convertible Debt | 1,000,000,000 | ||
Emerging Growth Company Minimum Non-Affiliate Market Value Of Common Stock | $ 700,000,000 | ||
Tax Benefits Recognized Description | The tax benefits recognized in the financial statements from such a position are measured based on the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate resolution. | ||
Emerging Growth Company Non-Affiliate Market Value Of Common Stock | $ 62,000,000 | ||
Proceeds From Fund To Offset Research And Development | $ 75,000 | $ 15,000 | |
Property, Plant and Equipment, Estimated Useful Lives | over two to four years |
Fixed Assets (Details)
Fixed Assets (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Machinery and equipment | $ 662,000 | $ 639,000 |
Office furniture and equipment | 141,000 | 115,000 |
Leasehold improvements | 134,000 | 130,000 |
Accumulated depreciation and amortization | (876,000) | (761,000) |
Property Plant and Equipment Gross Excluding Construction In Progress | 61,000 | 123,000 |
Construction in progress | 83,000 | 0 |
Property, Plant and Equipment, Net, Total | $ 144,000 | $ 123,000 |
Patents and Other Intangible 35
Patents and Other Intangible Assets (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Patents | $ 1,787,000 | $ 2,845,000 |
Trademarks | 46,000 | 41,000 |
Other | 8,000 | 8,000 |
Patents and other intangible assets | 1,841,000 | 2,894,000 |
Accumulated amortization | (106,000) | (13,000) |
Finite-Lived Intangible Assets, Net | 1,735,000 | 2,881,000 |
Patents Pending [Member] | ||
Patents | 1,040,000 | 2,730,000 |
Issued Patents [Member] | ||
Patents | 747,000 | 115,000 |
Trademarks Pending [Member] | ||
Trademarks | 23,000 | 18,000 |
Registered Trademarks [Member] | ||
Trademarks | $ 23,000 | $ 23,000 |
Patents and Other Intangible 36
Patents and Other Intangible Assets (Details 1) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Balance Beginning | $ 2,845,000 | $ 2,329,000 |
Abandonments and impairments | (1,971,000) | (593,000) |
Additions | 913,000 | 1,109,000 |
Balance Ending | 1,787,000 | 2,845,000 |
Duplex [Member] | ||
Balance Beginning | 1,131,000 | 481,000 |
Abandonments and impairments | (757,000) | (19,000) |
Additions | 546,000 | 669,000 |
Balance Ending | 920,000 | 1,131,000 |
Electrodynamic Combustion Control [Member] | ||
Balance Beginning | 1,714,000 | 1,848,000 |
Abandonments and impairments | (1,214,000) | (574,000) |
Additions | 367,000 | 440,000 |
Balance Ending | $ 867,000 | $ 1,714,000 |
Patents and Other Intangible 37
Patents and Other Intangible Assets (Details 2) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Net | $ 1,787,000 | $ 2,845,000 | $ 2,329,000 |
Patents [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
2,017 | 179,000 | ||
2,018 | 179,000 | ||
2,019 | 157,000 | ||
2,020 | 91,000 | ||
2,021 | 30,000 | ||
Thereafter | 28,000 | ||
Finite-Lived Intangible Assets, Net | $ 664,000 |
Patents and Other Intangible 38
Patents and Other Intangible Assets (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Exploration Abandonment and Impairment Expense | $ 1,971,000 | $ 593,000 |
Sales, Billings, and Costs on39
Sales, Billings, and Costs on Uncompleted Contracts (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||
Jun. 30, 2016 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cost of Revenue, Total | $ 485,000 | $ 50,000 | |||||||||
Gross Profit | $ (77,000) | $ 213,000 | $ 0 | $ 0 | $ 11,000 | $ 0 | $ 0 | $ 0 | $ 136,000 | $ 11,000 | |
California oil producer [Member] | |||||||||||
Proceeds From Contract | 260,000 | ||||||||||
Contract Expenses | 144,000 | ||||||||||
Cost of Revenue, Total | $ 421,000 | 64,000 | |||||||||
Gross Profit | 60,000 | 196,000 | |||||||||
Conditional Contract Gross Profit | 626,000 | $ 52,000 | |||||||||
Contract Value | $ 900,000 | ||||||||||
Contract Expiration Period | 6 months | ||||||||||
Contract Billings Cost | 360,000 | $ 360,000 | |||||||||
Costs in Excess of Billings | $ 115,000 | $ 115,000 | |||||||||
Contract Revenue Cost | 566,000 | ||||||||||
Payment of Contract | $ 361,000 |
Product Warranties (Details)
Product Warranties (Details) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Product Warranty Liability [Line Items] | |
Warranty liability, beginning of year | $ 0 |
Accruals | 283,000 |
Payments | (70,000) |
Adjustments and other | 0 |
Warranty liability, end of year | $ 213,000 |
Termination of Employment Agr41
Termination of Employment Agreement (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Expected life | 3 months |
Weighted average volatility | 68.00% |
Forfeiture rate | 46.00% |
Weighted average risk-free interest rate | 0.04% |
Expected dividend rate | 0.00% |
Termination of Employment Agr42
Termination of Employment Agreement (Details Textual) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financial Liabilities Fair Value Disclosure | $ 372,000 | $ 943,000 | |
Loss Contingency Accrual, Provision | $ 50,000 | ||
Richard F. Rutkowski [Member] | |||
Officers' Compensation | $ 359,000 | $ 60,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 15,625 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Weighted Average Grant Date Fair Value | $ 4.88 | ||
Richard F. Rutkowski [Member] | Option Two [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 14,219 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Weighted Average Grant Date Fair Value | $ 9.90 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Reconciliation [Line Items] | ||
Expected tax benefit at 34% | $ (3,799,000) | $ (2,685,000) |
Change in valuation allowance | 3,590,000 | 2,420,000 |
Other | 209,000 | 265,000 |
Provision for income taxes | $ 0 | $ 0 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Income Tax Reconciliation [Line Items] | ||
Net operating loss carry forwards | $ 13,100,000 | $ 9,650,000 |
Accrued liabilities | 250,000 | 140,000 |
Stock compensation | (260,000) | (270,000) |
Depreciation | 20,000 | 0 |
Prepaid expenses | (30,000) | (30,000) |
Other | 10,000 | 10,000 |
Deferred tax assets, net | 13,090,000 | 9,500,000 |
Valuation allowance | (13,090,000) | (9,500,000) |
Net deferred tax asset | $ 0 | $ 0 |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Contingency [Line Items] | ||
Limitation In Carry Forward Percentage Of Net Operating Loss | 50.00% | |
Net Operating Losses For Tax Purposes | $ 38,500,000 | |
Operating Loss Carryforward Expiration Date | The net operating loss carry forwards may be used to reduce taxable income through the years 2028 to 2036 | |
Deferred tax assets, net | $ 13,090,000 | $ 9,500,000 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Grants of stock options | (20,000) | (26,000) |
Equity Incentive Plan [Member] | ||
Reserved but unissued shares under the Plan, beginning of year | 455,372 | 242,764 |
Increases in the number of authorized shares under the Plan | 15,039 | 315,225 |
Grants of stock options | (171,900) | (409,200) |
Stock option forfeitures | 12,485 | 116,780 |
Exercise of stock options | 0 | 212,837 |
Stock grants | (44,112) | (23,034) |
Reserved but unissued shares under the Plan, end of year | 266,884 | 455,372 |
Stockholders' Equity (Details 1
Stockholders' Equity (Details 1) - Employee Stock Option [Member] | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life | 6 years 3 months | 5 years 9 months 22 days |
Weighted average volatility | 73.00% | 72.00% |
Forfeiture rate | 12.00% | 11.00% |
Weighted average risk-free interest rate | 1.56% | 1.45% |
Expected dividend rate | 0.00% | 0.00% |
Stockholders' Equity (Details 2
Stockholders' Equity (Details 2) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Class of Stock [Line Items] | |||
Granted - Options to Purchase Common Stock | 20,000 | 26,000 | |
Employee Stock Option [Member] | |||
Class of Stock [Line Items] | |||
Reserved but unissued shares under the Plan, beginning of year | 723,400 | 643,817 | |
Granted - Options to Purchase Common Stock | 171,900 | 409,200 | |
Exercised - Options to Purchase Common Stock | 0 | (212,837) | |
Forfeited/Expired/Exchanged - Options to Purchase Common Stock | (12,485) | (116,780) | |
Reserved but unissued shares under the Plan, end of year | 882,815 | 723,400 | 643,817 |
Exercisable - Options to Purchase Common Stock | 547,532 | 257,391 | |
Outstanding - Weighted Average Exercise Price | $ 5.18 | $ 4.46 | |
Granted - Weighted Average Exercise Price | 4.22 | 5.39 | |
Exercised - Weighted Average Exercise Price | 0 | 2.51 | |
Forfeited/Expired/Exchanged - Weighted Average Exercise Price | 6.17 | 6.86 | |
Outstanding - Weighted Average Exercise Price | 4.98 | 5.18 | $ 4.46 |
Exercisable - Weighted Average Exercise Price | $ 4.91 | $ 4.05 | |
Outstanding - Weighted Average Remaining Contractual Life (in years) | 7 years 6 months 4 days | 8 years 1 month 6 days | 5 years 8 months 1 day |
Granted - Weighted Average Remaining Contractual Life (in years) | 9 years 3 months 4 days | 9 years 2 months 19 days | |
Exercised - Weighted Average Remaining Contractual Life (in years) | 0 years | 0 years | |
Forfeited/Expired/Exchanged - Weighted Average Remaining Contractual Life (in years) | 0 years | 0 years | |
Exercisable - Weighted Average Remaining Contractual Life (in years) | 6 years 10 months 6 days | 6 years 1 month 13 days |
Stockholders' Equity (Details 3
Stockholders' Equity (Details 3) - Employee Stock Option [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Class of Stock [Line Items] | ||
Non-vested stock options at January 1 | 466,009 | 201,859 |
Granted - Number of Options | 171,900 | 409,200 |
Vested - Number of Options | (290,141) | (97,367) |
Exercised - Number of Options | 0 | 0 |
Forfeited/Expired/Exchanged - Number of Options | (12,485) | (47,683) |
Non-vested stock options at December 31 | 335,283 | 466,009 |
Non-vested options - Weighted Average Grant Date Fair Value | $ 5.79 | $ 6.57 |
Granted - Weighted Average Grant Date Fair Value | 4.22 | 5.39 |
Vested - Weighted Average Grant Date Fair Value | 5.67 | 5.16 |
Exercised - Weighted Average Grant Date Fair Value | 0 | 0 |
Forfeited/Expired/Exchanged - Weighted Average Grant Date Fair Value | 6.17 | 6.88 |
Non-vested options - Weighted Average Grant Date Fair Value | $ 5.09 | $ 5.79 |
Stockholders' Equity (Details 4
Stockholders' Equity (Details 4) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Other General and Administrative Expense | $ 675,000 |
Year 2017 [Member] | |
Other General and Administrative Expense | 352,000 |
Year 2018 [Member] | |
Other General and Administrative Expense | 177,000 |
Year 2019 [Member] | |
Other General and Administrative Expense | 120,000 |
Year 2020 [Member] | |
Other General and Administrative Expense | $ 26,000 |
Stockholders' Equity (Details 5
Stockholders' Equity (Details 5) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Effect on net loss | $ 625,000 | $ 771,000 |
Effect on net loss per share (in dollars per share) | $ 0.05 | $ 0.06 |
Research and development [Member] | ||
Effect on net loss | $ 112,000 | $ 108,000 |
General and administrative [Member] | ||
Effect on net loss | $ 513,000 | $ 663,000 |
Stockholders' Equity (Details 6
Stockholders' Equity (Details 6) - Consultant Plan [Member] - shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Reserved but unissued shares under the Plan, beginning of year | 92,130 | 65,608 |
Increases in the number of authorized shares under the Consultant Plan | 1,503 | 31,522 |
Stock grants | (10,000) | (5,000) |
Reserved but unissued shares under the Plan, end of year | 83,633 | 92,130 |
Stockholders' Equity (Details 7
Stockholders' Equity (Details 7) - Warrant [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Outstanding - Warrants | 564,272 | 564,272 |
Granted - Warrants | 0 | 0 |
Exercised - Warrants | (118,959) | 0 |
Forfeited/Expired - Warrants | 0 | 0 |
Outstanding - Warrants | 445,313 | 564,272 |
Outstanding - Weighted Average Exercise Price at beginning of year | $ 4.14 | $ 4.14 |
Granted - Weighted Average Exercise Price | 0 | 0 |
Exercised - Weighted Average Exercise Price | 2.20 | 0 |
Forfeited/Expired - Weighted Average Exercise Price | 0 | 0 |
Outstanding - Weighted Average Exercise Price at end of year | $ 4.65 | $ 4.14 |
Stockholders' Equity (Details 8
Stockholders' Equity (Details 8) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Warrants Outstanding | shares | 445,313 |
Warrants Outstanding Weighted Average Exercise Price | $ 4.65 |
Exercise Price 1.80 [Member] | |
Warrants Exercise Price | $ 1.80 |
Warrants Outstanding | shares | 80,000 |
Warrants Outstanding Weighted Average Exercise Price | $ 1.80 |
Warrants Outstanding Remaining Life (in years) | 4 years 1 month 17 days |
Exercise Price 5.00 [Member] | |
Warrants Exercise Price | $ 5 |
Warrants Outstanding | shares | 345,000 |
Warrants Outstanding Weighted Average Exercise Price | $ 5 |
Warrants Outstanding Remaining Life (in years) | 3 months 25 days |
Exercise Price 10.00 [Member] | |
Warrants Exercise Price | $ 10 |
Warrants Outstanding | shares | 20,313 |
Warrants Outstanding Weighted Average Exercise Price | $ 10 |
Warrants Outstanding Remaining Life (in years) | 2 years 2 months 5 days |
Stockholders' Equity (Details T
Stockholders' Equity (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | |||||
Feb. 28, 2017 | Jan. 25, 2017 | Feb. 28, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2011 | Jan. 02, 2011 | |
Class of Stock [Line Items] | |||||||
Stock Issued During Period, Value, New Issues | $ 17,491,000 | ||||||
Stock Issued During Period, Value, Issued for Noncash Considerations | $ 125,000 | ||||||
Common Stock, Shares Authorized | 62,500,000 | ||||||
Preferred Stock, Shares Authorized | 2,000,000 | ||||||
Declining Repurchase Rights Per Share | $ 0.0001 | ||||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 675,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 20,000 | 26,000 | |||||
Proceeds From Issuance Or Sale Of Equity | $ 0 | $ 16,279,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 173,000 | ||||||
Underwritten Public Offering [Member] | |||||||
Class of Stock [Line Items] | |||||||
Stock Issued During Period, Value, New Issues | $ 17,500,000 | ||||||
Other Cost and Expense, Operating | 108,000 | ||||||
Proceeds From Issuance Or Sale Of Equity | 16,300,000 | ||||||
Payment of Financing and Stock Issuance Costs | $ 1,200,000 | ||||||
Stock Issued During Period Shares Underwritten Public Offering | 2,990,000 | ||||||
Stock Issued in Underwritten Public Offering Price Per Share | $ 5.85 | ||||||
Underwriter Agent fees | $ 1,049,000 | ||||||
Payments for Underwriter Agent Legal Fees | $ 55,000 | ||||||
Subsequent Event [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 219,444 | ||||||
Subsequent Event [Member] | Right Offering [Member] | |||||||
Class of Stock [Line Items] | |||||||
Warrants Authorized For Issuance To Acquire Common Stock Shares Number | 2,395,471 | ||||||
Proceeds From Issuance Or Sale Of Equity | $ 8,700,000 | ||||||
Stock Issued During Period, Shares, Other | 2,395,471 | ||||||
Shares Issued, Price Per Share | $ 4 | ||||||
Employee Stock Option [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 171,900 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term2 | 10 years | ||||||
Stock Granted During Period, Value, Share-Based Compensation, Gross | $ 419,000 | ||||||
Allocated Share-based Compensation Expense | $ 397,000 | $ 579,000 | |||||
Stock Issued During Period, Shares, Other | 60,883 | 40,371 | |||||
Shares Issued, Price Per Share | $ 2.20 | ||||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | 4.22 | ||||||
Employee Stock Option [Member] | Minimum [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | 4.21 | ||||||
Shares Issued, Price Per Share | $ 2.20 | ||||||
Employee Stock Option [Member] | Maximum [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 4.85 | ||||||
Shares Issued, Price Per Share | $ 5.21 | ||||||
Consultant Plan [Member] | |||||||
Class of Stock [Line Items] | |||||||
Common Stock, Capital Shares Reserved for Future Issuance | 116,883 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 10,000 | 5,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 3.96 | ||||||
Consultant Plan Expenses | $ 44,000 | $ 20,000 | |||||
Consultant Plan [Member] | Employee Stock Option [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,242,000 | ||||||
Consultant Plan One [Member] | Employee Stock Option [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 923,000 | ||||||
Warrant [Member] | |||||||
Class of Stock [Line Items] | |||||||
Warrants Authorized For Issuance To Acquire Common Stock Shares Number | 2,395,471 | ||||||
Exercise Price Of Warrants | $ 4 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 0 | $ 0 | |||||
Equity Incentive Plan [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award Purchase Price Share Minimum | 85.00% | ||||||
Common Stock, Capital Shares Reserved for Future Issuance | 1,407,269 | ||||||
Increase Decrease Of Share Based Compensation Arrangement By Share Based Payment Award Percentage | 10.00% | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 171,900 | 409,200 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 3.40 | $ 5.97 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term2 | 10 years | ||||||
Stock Granted During Period, Value, Share-Based Compensation, Gross | $ 150,000 | $ 137,000 | |||||
Share Based Compensation Arrangement By Share Based Payment Award Stock Grants In Period | 44,112 | 23,034 | |||||
Equity Incentive Plan [Member] | Employee Stock Option [Member] | |||||||
Class of Stock [Line Items] | |||||||
Allocated Share-based Compensation Expense | $ 78,000 | ||||||
Equity Incentive Plan [Member] | Employee Stock Option One [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 3.96 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 5.39 | ||||||
Equity Incentive Plan [Member] | Employee Stock Option Two [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 5.97 | ||||||
Equity Incentive Plan [Member] | Chief Executive Officer [Member] | |||||||
Class of Stock [Line Items] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award Stock Grants In Period | 300,000 |
Retirement Plan (Details Textua
Retirement Plan (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Retirement Plan [Line Items] | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 3.00% | 3.00% |
Defined Contribution Plan, Cost Recognized | $ 85,000 | $ 71,000 |
Related Party Transactions (Det
Related Party Transactions (Details Textual) - USD ($) | 1 Months Ended | |
Jan. 25, 2017 | Feb. 28, 2015 | |
Subsequent Event [Member] | ||
Related Party Transaction [Line Items] | ||
Consulting Fee | $ 575,000 | |
Other Underwriting Expense | 60,000 | |
MDB Consulting Services [Member] | ||
Related Party Transaction [Line Items] | ||
Payments for Underwriting Expense | $ 1,049,000 | |
Other Underwriting Expense | $ 55,000 | |
MDB Consulting Services [Member] | Subsequent Event [Member] | ||
Related Party Transaction [Line Items] | ||
Payments for Underwriting Expense | 575,000 | |
Other Underwriting Expense | $ 60,000 |
Commitments and Contingencies58
Commitments and Contingencies (Details) | Dec. 31, 2016USD ($) |
Operating Leased Assets [Line Items] | |
2,017 | $ 172,000 |
2,018 | 173,000 |
2,019 | 164,000 |
2,020 | 37,000 |
Operating Leases, Future Minimum Payments Due | $ 546,000 |
Commitments and Contingencies59
Commitments and Contingencies (Details Textual) - USD ($) | Feb. 03, 2015 | Dec. 31, 2016 | Dec. 31, 2015 |
Loss Contingencies [Line Items] | |||
Rent Expense Escalation Percentage | 3.00% | ||
Reduction In Deferred Rent | $ 17,000 | $ 13,000 | |
Operating Leases, Rent Expense | 191,000 | 217,000 | |
Triple Net Operating Cost | 3,000 | 2,000 | |
Relocation Costs | $ 0 | $ 39,000 | |
Maximum [Member] | |||
Loss Contingencies [Line Items] | |||
Annual Cash Bonus | 60.00% | ||
Stephen E. Pirnat [Member] | |||
Loss Contingencies [Line Items] | |||
Salaries, Wages and Officers' Compensation | $ 350,000 | ||
Employment Agreement Termination Date | Dec. 31, 2017 | ||
Labor and Related Expense | $ 100,000 |
Quarterly Results (Details)
Quarterly Results (Details) - USD ($) | 3 Months Ended | 12 Months Ended | 107 Months Ended | ||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | |
Quarterly Financial Information [Line Items] | |||||||||||
Revenue | $ 361,000 | $ 260,000 | $ 0 | $ 0 | $ 61,000 | $ 0 | $ 0 | $ 0 | $ 621,000 | $ 61,000 | |
Gross Profit (Loss) | (77,000) | 213,000 | 0 | 0 | 11,000 | 0 | 0 | 0 | 136,000 | 11,000 | |
Operating expenses | 2,232,000 | 4,066,000 | 2,442,000 | 2,601,000 | 2,582,000 | 1,969,000 | 1,810,000 | 1,592,000 | 11,341,000 | 7,953,000 | |
Net Loss | $ (2,306,000) | $ (3,846,000) | $ (2,431,000) | $ (2,589,000) | $ (2,558,000) | $ (1,961,000) | $ (1,796,000) | $ (1,583,000) | $ (11,173,000) | $ (7,898,000) | $ 40,331,000 |
Net Loss per share - basic and fully diluted (in dollars per share) | $ (0.17) | $ (0.30) | $ (0.19) | $ (0.20) | $ (0.20) | $ (0.15) | $ (0.14) | $ (0.14) | $ (0.86) | $ (0.63) |
Quarterly Results (Details Text
Quarterly Results (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Quarterly Financial Information [Line Items] | ||
Abandonment and impairment of capitalized patents pending | $ 1,971,000 | $ 593,000 |
Bonus Expenses | $ 660,000 |
Subsequent Event (Details Textu
Subsequent Event (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | |||
Feb. 28, 2017 | Jan. 25, 2017 | Feb. 28, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Subsequent Event [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 20,000 | 26,000 | |||
Mdb Consulting Services [Member] | |||||
Underwriting Expense [Abstract] | |||||
Payments for Underwriting Expense | $ 1,049,000 | ||||
Other Underwriting Expense | $ 55,000 | ||||
Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 219,444 | ||||
Underwriting Expense [Abstract] | |||||
Other Underwriting Expense | $ 60,000 | ||||
Share Repurchase Price Per Share | $ 0.0001 | ||||
Subsequent Event [Member] | Mdb Consulting Services [Member] | |||||
Underwriting Expense [Abstract] | |||||
Underwriting Expense | 900,000 | ||||
Payments for Underwriting Expense | 575,000 | ||||
Other Underwriting Expense | 60,000 | ||||
Subsequent Event [Member] | Director [Member] | |||||
Subsequent Event [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 83,334 | ||||
Share Based Compensation Arrangement by Share Based Payment Award Options Grants In Period Fair Value | $ 300,000 | ||||
Underwriting Expense [Abstract] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 3.60 | ||||
Subsequent Event [Member] | Officer [Member] | |||||
Subsequent Event [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 136,110 | ||||
Share Based Compensation Arrangement by Share Based Payment Award Options Grants In Period Fair Value | $ 490,000 | ||||
Underwriting Expense [Abstract] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 3.60 | ||||
Subsequent Event [Member] | Right Offering and Public Offering [Member] | |||||
Subsequent Event [Line Items] | |||||
Gross Proceeds From Public Stock Offering Of Common Stock | 9,600,000 | ||||
Net Proceeds From Public Stock Offering Of Common Stock | $ 8,700,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Jan. 25, 2019 | ||||
Shares Issued, Price Per Share | $ 4 | ||||
Underwriting Expense [Abstract] | |||||
Stock Issued During Period, Shares, Other | 2,395,471 | ||||
Warrants Authorized For Issuance To Acquire Common Stock Shares Number | 2,395,471 | ||||
Stock Issued in Underwritten Public Offering Price Per Share | $ 4 |