Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 27, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | TNDM | |
Entity Registrant Name | TANDEM DIABETES CARE INC | |
Entity Central Index Key | 1438133 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 29,801,681 |
Condensed_Balance_Sheets
Condensed Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $62,549 | $31,176 |
Restricted cash | 2,000 | 2,000 |
Short-term investments | 53,834 | 36,106 |
Accounts receivable, net | 5,226 | 7,652 |
Inventory, net | 13,581 | 11,913 |
Prepaid and other current assets | 1,960 | 1,904 |
Total current assets | 139,150 | 90,751 |
Property and equipment, net | 12,928 | 12,581 |
Other long term assets | 692 | 691 |
Total assets | 155,125 | 106,464 |
Current liabilities: | ||
Accounts payable | 4,087 | 1,949 |
Accrued expense | 2,586 | 2,920 |
Employee-related liabilities | 8,789 | 9,722 |
Deferred revenue | 803 | 840 |
Other current liabilities | 2,505 | 2,663 |
Total current liabilities | 18,770 | 18,094 |
Notes payable—long-term | 29,459 | 29,440 |
Deferred rent—long-term | 2,546 | 2,700 |
Other long-term liabilities | 2,102 | 1,658 |
Total liabilities | 52,877 | 51,892 |
Commitments and contingencies | ||
Common stock, $0.001 par value; 100,000 shares authorized, 29,780 and 23,655 shares issued and outstanding at March 31, 2015 (unaudited) and December 31, 2014, respectively. | 30 | 24 |
Additional paid-in capital | 372,102 | 303,255 |
Accumulated other comprehensive income | 39 | 8 |
Accumulated deficit | -269,923 | -248,715 |
Total stockholders’ equity | 102,248 | 54,572 |
Total liabilities and stockholders’ equity | 155,125 | 106,464 |
Patents [Member] | ||
Current assets: | ||
Patents, net | $2,355 | $2,441 |
Condensed_Balance_Sheets_Paren
Condensed Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 29,780,000 | 23,655,000 |
Common stock, shares outstanding | 29,780,000 | 23,655,000 |
Condensed_Statements_of_Operat
Condensed Statements of Operations and Comprehensive Loss (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Statement [Abstract] | ||
Sales | $12,308 | $8,065 |
Cost of sales | 9,500 | 7,199 |
Gross profit | 2,808 | 866 |
Operating expenses: | ||
Selling, general and administrative | 19,355 | 18,041 |
Research and development | 3,863 | 3,663 |
Total operating expenses | 23,218 | 21,704 |
Operating loss | -20,410 | -20,838 |
Other income (expense), net: | ||
Interest and other income | 99 | 18 |
Interest and other expense | -897 | -1,142 |
Total other income (expense), net | -798 | -1,124 |
Net loss | -21,208 | -21,962 |
Other Comprehensive Loss: | ||
Unrealized gain on short-term investments | 39 | 14 |
Comprehensive loss | ($21,169) | ($21,948) |
Net loss per share, basic and diluted | ($0.83) | ($0.96) |
Weighted average shares used to compute basic and diluted net loss per share | 25,522 | 22,936 |
Condensed_Statements_of_Cash_F
Condensed Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Operating activities | ||
Net loss | ($21,208) | ($21,962) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization expense | 1,182 | 921 |
Interest expense related to amortization of debt discount and debt issuance costs | 35 | 93 |
Provision for allowance for doubtful accounts | -31 | 54 |
Provision for inventory reserve | 260 | |
Amortization of premium/discount on short-term investments | -18 | -6 |
Stock-based compensation expense | 3,773 | 3,771 |
Other | -60 | |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | 2,457 | 1,821 |
Inventory, net | -1,658 | -188 |
Prepaid and other current assets | -56 | -118 |
Other long term assets | -17 | |
Accounts payable | 1,354 | -481 |
Accrued expense | -260 | -385 |
Employee-related liabilities | -933 | 699 |
Deferred revenue | -37 | -29 |
Other current liabilities | -160 | -1,276 |
Deferred rent | -151 | -67 |
Other long term liabilities | 366 | -67 |
Net cash used in operating activities | -15,422 | -16,960 |
Investing activities | ||
Purchase of short-term investments | -39,099 | -28,833 |
Proceeds from sales and maturities of short-term investments | 21,500 | |
Purchase of property and equipment | -600 | -1,620 |
Purchase of patents | -74 | -173 |
Net cash used in investing activities | -18,273 | -30,626 |
Financing activities | ||
Proceeds from issuance of preferred stock for cash, net of offering costs | 27 | |
Proceeds from public offering, net of offering costs | 64,851 | |
Proceeds from issuance of common stock | 217 | |
Net cash provided by financing activities | 65,068 | 27 |
Net increase (decrease) in cash and cash equivalents | 31,373 | -47,559 |
Cash and cash equivalents at beginning of period | 31,176 | 124,385 |
Cash and cash equivalents at end of period | 62,549 | 76,826 |
Supplemental disclosures of cash flow information | ||
Interest paid | 863 | 1,050 |
Income taxes paid | 18 | 88 |
Supplemental schedule of noncash investing and financing activities | ||
Property and equipment included in accounts payable | $1,638 | $149 |
Organization_and_Basis_of_Pres
Organization and Basis of Presentation | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Organization and Basis of Presentation | 1. Organization and Basis of Presentation |
The Company | |
Tandem Diabetes Care, Inc. is a medical device company focused on the design, development and commercialization of products for people with insulin-dependent diabetes. Unless the context requires otherwise, the terms the “Company” or “Tandem” refer to Tandem Diabetes Care, Inc. | |
The Company designed and commercialized its flagship product, the t:slim Insulin Delivery System, or t:slim, based on its proprietary technology platform and unique consumer-focused approach. The U.S. Food and Drug Administration (FDA) cleared t:slim in November 2011 and the Company commenced commercial sales of t:slim in the United States in August 2012. In January 2015, the Company received clearance from the FDA, to commercialize its next product, the t:flex Insulin Delivery System, or t:flex, for people with greater insulin needs. The Company intends to begin commercial sales of t:flex in the United States during the second quarter of 2015. | |
Tandem was originally incorporated in the state of Colorado on January 27, 2006 under the name Phluid, Inc. On January 7, 2008, the Company was reincorporated in the state of Delaware for the purposes of changing its legal name from Phluid, Inc. to Tandem Diabetes Care, Inc. and changing its state of incorporation from Colorado to Delaware. | |
Basis of Presentation | |
The Company has prepared the accompanying unaudited condensed financial statements in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and disclosures required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments which are of a normal and recurring nature, considered necessary for a fair presentation of the financial information contained herein, have been included. | |
Interim financial results are not necessarily indicative of results anticipated for the full year or any other period(s). These unaudited condensed financial statements should be read in conjunction with the Company’s audited financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, from which the balance sheet information herein was derived. | |
Voluntary Recall | |
On January 10, 2014, the Company announced a voluntary recall of select lots of cartridges used with t:slim that may have been at risk of leaking. The cause of the recall was identified during the Company’s internal product testing. The recall was expanded on January 20, 2014 to include additional lots of affected cartridges used with t:slim. The Company has incurred approximately $1.7 million in direct costs associated with the recall. The Company recorded a cost of sales charge of approximately $1.3 million in the fourth quarter of 2013 and recorded a cost of sales charge for the remainder in the first quarter of 2014 for affected cartridges shipped in 2014. The total cost of the recall consisted of approximately $0.7 million associated with the return and replacement of affected cartridges in the field and approximately $1.0 million for the write-off of affected cartridges within the Company’s internal inventory. As of December 31, 2014, the FDA determined that the recall is terminated and the Company does not currently expect any further direct financial impact of the recall beyond these costs. | |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Accounting Policies [Abstract] | |||||||||
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies | ||||||||
Use of Estimates | |||||||||
The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities in the Company’s financial statements and accompanying notes as of the date of the financial statements. Actual results could materially differ from those estimates and assumptions. | |||||||||
Restricted Cash | |||||||||
Restricted cash as of March 31, 2015 and December 31, 2014 was primarily composed of a $2.0 million minimum cash balance requirement in connection with the Capital Royalty Term Loan (see Note 6 “Loan Agreements”). | |||||||||
Accounts Receivable | |||||||||
The Company grants credit to various customers in the normal course of business. The Company maintains an allowance for doubtful accounts for potential credit losses. Provisions are made, generally, for receivables greater than 120 days past due and based upon a specific review of other outstanding invoices. Uncollectible accounts are written off against the allowance after appropriate collection efforts have been exhausted and when it is deemed that a balance is uncollectible. | |||||||||
Fair Value of Financial Instruments | |||||||||
The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, accrued expense, and employee-related liabilities are reasonable estimates of their fair values because of the short-term nature of these assets and liabilities. Short-term investments are carried at fair value. Based on the borrowing rates currently available for loans with similar terms, the Company believes that the fair value of its long-term debt approximates its carrying value. | |||||||||
Revenue Recognition | |||||||||
Revenue is generated from sales, in the United States, of the t:slim pump, disposable cartridges and infusion sets to individual customers and third-party distributors that resell the product to insulin-dependent diabetes customers. The Company is paid directly by customers who use the products, distributors and third-party insurance payors. | |||||||||
Revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred and title passed, the price is fixed or determinable, and collectability is reasonably assured. These criteria are applied as follows: | |||||||||
— | The evidence of an arrangement generally consists of contractual arrangements with distributors, third-party insurance payors or direct customers. | ||||||||
— | Transfer of title and risk and rewards of ownership are passed upon shipment of the pump to distributors or upon delivery to the customer. | ||||||||
— | The selling prices are fixed and agreed upon based on the contracts with distributors, the customer and contracted insurance payors, if applicable. For sales to customers associated with insurance providers with whom there is no contract, revenue is recognized upon collection of cash at which time the price is determinable. The Company generally does not offer rebates to its distributors and customers. | ||||||||
— | The Company considers the overall creditworthiness and payment history of the distributor, customer and the contracted insurance payor in concluding whether collectability is reasonably assured. | ||||||||
Revenue Recognition for Arrangements with Multiple Deliverables | |||||||||
The Company considers the deliverables in its product offering as separate units of accounting and recognizes deliverables as revenue upon delivery only if (i) the deliverable has standalone value and (ii) if the arrangement includes a general right of return relative to the delivered item(s), delivery or performance of the undelivered item(s) is probable and substantially controlled by the Company. The Company allocates consideration to the separate units of accounting, unless the undelivered elements were deemed perfunctory and inconsequential. The Company uses the relative selling price method, in which allocation of consideration is based on vendor-specific objective evidence (VSOE) if available, third-party evidence (TPE), or if VSOE and TPE are not available, management’s best estimate of a standalone selling price (ESP) for the undelivered elements. | |||||||||
The Company offers a cloud-based data management application, t:connect, which is made available upon purchase by t:slim pump customers. This service is deemed an undelivered element at the time of the t:slim sale. Because the Company has neither VSOE nor TPE for this deliverable, the allocation of revenue is based on the Company’s ESP. The Company establishes its ESP based on estimated cost to provide such services, including consideration for a reasonable profit margin and corroborated by comparable market data. The Company allocates fair value based on management’s ESP to this element at the time of sale and is recognizing the revenue over the four-year hosting period. At March 31, 2015 and December 31, 2014, $0.7 million was recorded as deferred revenue for the t:connect hosting service. All other undelivered elements at the time of sale are deemed inconsequential or perfunctory. | |||||||||
Product Returns | |||||||||
The Company offers a 30-day right of return for its t:slim pump customers from the date of shipment, provided a physician’s confirmation of the medical reason for the return is received. Estimated return allowances for sales returns are based on historical returned quantities as compared to t:slim pump shipments in those same periods. The return rate is then applied to the sales of the current period to establish a reserve at the end of the period. The return rates used in the reserve are adjusted for known or expected changes in the marketplace when appropriate. The allowance for product returns included in other current liabilities on the Company’s balance sheets at March 31, 2015 and December 31, 2014 was $0.2 million and $0.3 million, respectively. Actual product returns have not differed materially from estimated amounts reserved in the accompanying financial statements. | |||||||||
Warranty Reserve | |||||||||
The Company generally provides a four-year warranty on its t:slim pump to end user customers and may replace any pumps that do not function in accordance with the product specifications. Any pump returned to the Company may be refurbished and redeployed. Additionally, the Company offers a six-month warranty on t:slim cartridges and infusion sets. Estimated warranty costs are recorded at the time of shipment. Warranty costs are estimated based on the current expected replacement product cost, actual experience and expected failure rates from test studies performed in conjunction with the clearance of the t:slim pump with the FDA to support the longevity and reliability of the pump. The Company evaluates the reserve quarterly and makes adjustments when appropriate. At March 31, 2015 and December 31, 2014, the warranty reserve was $2.5 million and $2.0 million, respectively. Actual warranty costs have not differed materially from estimated amounts reserved in the accompanying financial statements. | |||||||||
The following table provides a reconciliation of the change in product warranty liabilities through March 31, 2015 (in thousands): | |||||||||
Balance at December 31, 2014 | $ | 1,974 | |||||||
Provision for warranties issued during the period | 1,332 | ||||||||
Settlements made during the period | (834 | ) | |||||||
Balance at March 31, 2015 | $ | 2,472 | |||||||
Current portion | $ | 668 | |||||||
Non-current portion | 1,804 | ||||||||
Total | $ | 2,472 | |||||||
Stock-Based Compensation | |||||||||
Stock-based compensation cost is measured at the grant date, based on the estimated fair value of the award, and the portion that is ultimately expected to vest is recognized as compensation expense over the employee’s requisite service period on a straight-line basis. The Company estimates the fair value of stock options and shares issued to employees under the Employee Stock Purchase Plan (“ESPP”) using a Black-Scholes option-pricing model on the date of grant. The Black-Scholes option-pricing model requires the use of subjective assumptions including volatility, expected term, and risk-free rate. For awards that vest based on service conditions, the Company recognizes expense using the straight-line method less estimated forfeitures. As of March 31, 2015, there were no outstanding equity awards with market or performance conditions. | |||||||||
The Company records the expense for stock option grants to non-employees based on the estimated fair value of the stock options using the Black-Scholes option-pricing model. The fair value of non-employee awards is remeasured at each reporting period as the underlying awards vest unless the instruments are fully vested, immediately exercisable and nonforfeitable on the date of grant. | |||||||||
Net Loss Per Share | |||||||||
Basic net loss per share is calculated by dividing the net loss by the weighted average number of common shares that were outstanding for the period, without consideration for common stock equivalents. Diluted net loss per share is calculated by dividing the net loss by the sum of the weighted-average number of dilutive common share equivalents outstanding for the period determined using the treasury stock method. Dilutive common share equivalents are comprised of warrants, potential Employee Stock Purchase Plan (ESPP) awards, and options outstanding under the Company’s stock plans. For all periods presented, there is no difference in the number of shares used to calculate basic and diluted shares outstanding due to the Company’s net loss position. | |||||||||
Potentially dilutive securities not included in the calculation of diluted net loss per share (because inclusion would be anti-dilutive) are as follows (in common stock equivalent shares): | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Warrants for common stock | 990,031 | 1,297,057 | |||||||
Common stock options | 2,163,331 | 4,889,549 | |||||||
ESPP | 127,067 | 137,943 | |||||||
3,280,429 | 6,324,549 | ||||||||
Recent Accounting Pronouncements | |||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) and the International Accounting Standards Board (“IASB”) issued a comprehensive new revenue recognition standard that will supersede existing revenue guidance under U.S. GAAP and International Financial Reporting Standards (“IFRS”). The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. On April 1, 2015, the FASB proposed deferring the effective date by one year to December 15, 2017 for annual reporting periods beginning after that date. The FASB also proposed permitting early adoption of the standard, but not before the original effective date of December 15, 2016. The Company is in the process of assessing the future impact of the adoption of the standard on its financial statements. | |||||||||
ShortTerm_Investments
Short-Term Investments | 3 Months Ended | ||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||
Investments Debt And Equity Securities [Abstract] | |||||||||||||||||||
Short-Term Investments | 3. Short-Term Investments | ||||||||||||||||||
The Company invests its excess cash in investment securities, principally debt instruments of financial institutions and corporations with strong credit ratings. The following represents a summary of the estimated fair value of short-term investments at March 31, 2015 and December 31, 2014 (in thousands): | |||||||||||||||||||
At March 31, 2015 | Maturity | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||||
(in years) | Cost | Gain | Loss | Fair Value | |||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||
Commercial paper | Less than 1 | $ | 45,156 | $ | 38 | $ | — | $ | 45,194 | ||||||||||
Government-sponsored enterprise securities | Less than 1 | 8,501 | 1 | — | 8,502 | ||||||||||||||
$ | 53,657 | $ | 39 | $ | — | $ | 53,696 | ||||||||||||
Trading securities: | |||||||||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants | $ | 134 | $ | 4 | $ | — | $ | 138 | |||||||||||
Total | $ | 53,791 | $ | 43 | $ | — | $ | 53,834 | |||||||||||
At December 31, 2014 | Maturity | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||||
(in years) | Cost | Gain | Loss | Fair Value | |||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||
Commercial paper | Less than 1 | $ | 32,536 | $ | 9 | $ | — | $ | 32,545 | ||||||||||
Government-sponsored enterprise securities | Less than 1 | 3,504 | — | (1 | ) | 3,503 | |||||||||||||
$ | 36,040 | $ | 9 | $ | (1 | ) | $ | 36,048 | |||||||||||
Trading securities: | |||||||||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants | $ | 56 | $ | 2 | $ | — | $ | 58 | |||||||||||
Total | $ | 36,096 | $ | 11 | $ | (1 | ) | $ | 36,106 | ||||||||||
Inventory
Inventory | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Inventory Disclosure [Abstract] | ||||||||
Inventory | 4. Inventory | |||||||
Inventories, stated at the lower of cost or market, consisted of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
Raw materials | $ | 8,091 | $ | 7,085 | ||||
Work in process | 3,205 | 2,288 | ||||||
Finished goods | 2,512 | 2,856 | ||||||
13,808 | 12,229 | |||||||
Less reserve | (227 | ) | (316 | ) | ||||
Total | $ | 13,581 | $ | 11,913 | ||||
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value Measurements | 5. Fair Value Measurements | ||||||||||||||||
Authoritative guidance on fair value measurements defines fair value, establishes a consistent framework for measuring fair value, and expands disclosures for each major asset and liability category measured at fair value on either a recurring or nonrecurring basis. Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the authoritative guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: | |||||||||||||||||
Level 1: | Observable inputs such as unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | ||||||||||||||||
Level 2: | Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly for substantially the full term of the asset of liability. | ||||||||||||||||
Level 3: | Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own valuation techniques that require input assumptions. | ||||||||||||||||
The following table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (in thousands): | |||||||||||||||||
Fair Value Measurements at | |||||||||||||||||
31-Mar-15 | |||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Assets | |||||||||||||||||
Cash equivalents (1) | $ | 54,452 | $ | 54,452 | $ | — | $ | — | |||||||||
Commercial paper | 45,194 | — | 45,194 | — | |||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants (2) | 138 | 138 | — | — | |||||||||||||
Government-sponsored enterprise securities | 8,502 | — | 8,502 | — | |||||||||||||
Total assets | $ | 108,286 | $ | 54,590 | $ | 53,696 | $ | — | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation (2) | $ | 138 | $ | 138 | $ | — | $ | — | |||||||||
Total liabilities | $ | 138 | $ | 138 | $ | — | $ | — | |||||||||
Fair Value Measurements at | |||||||||||||||||
31-Dec-14 | |||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Assets | |||||||||||||||||
Cash equivalents (1) | $ | 30,050 | $ | 30,050 | $ | — | $ | — | |||||||||
Commercial paper | 32,545 | — | 32,545 | — | |||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants (2) | 58 | 58 | — | — | |||||||||||||
Government-sponsored enterprise securities | 3,503 | — | 3,503 | — | |||||||||||||
Total assets | $ | 66,156 | $ | 30,108 | $ | 36,048 | $ | — | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation (2) | $ | 58 | $ | 58 | $ | — | $ | — | |||||||||
Total liabilities | $ | 58 | $ | 58 | $ | — | $ | — | |||||||||
-1 | Cash equivalents included money market funds and commercial paper with a maturity of three months or less from the date of purchase. | ||||||||||||||||
-2 | Deferred compensation plans are compensation plans directed by the Company and structured as a Rabbi Trust for certain executives and non-employee directors. The investment assets of the Rabbi Trust are valued using quoted market prices multiplied by the number of shares held in each trust account. The related deferred compensation liability represents the fair value of the investment assets. | ||||||||||||||||
The Company’s Level 2 financial instruments are valued using market prices on less active markets with observable valuation inputs such as interest rates and yield curves. The Company obtains the fair value of Level 2 financial instruments from quoted market prices, calculated prices or quotes from third-party pricing services. The Company validates these prices through independent valuation testing and review of portfolio valuations provided by the Company’s investment managers. There were no transfers between Level 1 and Level 2 securities during the three months ended March 31, 2015. |
Loan_Agreements
Loan Agreements | 3 Months Ended |
Mar. 31, 2015 | |
Debt Disclosure [Abstract] | |
Loan Agreements | 6. Loan Agreements |
SVB Revolving Line of Credit | |
In January 2013, the Company entered into an amended loan agreement with Silicon Valley Bank, making available a revolving line of credit in the amount up to the lesser of $1.5 million or 75% of eligible accounts receivable. There were no amounts outstanding under this loan as of December 31, 2014. The SVB revolving line of credit expired unused in January 2015. | |
Capital Royalty Term Loan | |
At December 31, 2013, the Company had $30.0 million outstanding under a term loan agreement with Capital Royalty Partners II L.P. and Capital Royalty Partners II—Parallel Fund “A” L.P., together, Capital Royalty Partners (the “Original Term Loan Agreement”). The loan accrued interest at an annual rate of 14%. In connection with the Original Term Loan Agreement the Company issued warrants with a fair value of approximately $0.4 million and paid a $0.4 million financing fee to Capital Royalty Partners, which were recorded as a debt discount. Additionally, the Company paid $0.7 million to a third party for sourcing the Capital Royalty Term Loan, which was recorded as debt issuance cost within other long term assets on the condensed balance sheets. All fees and the value of the warrants are amortized to interest expense over the remaining term using the effective interest method. | |
In April 2014, the Company entered into an amended agreement (the “Amended and Restated Term Loan Agreement”) with the Lenders and other parties affiliated with Capital Royalty Partners. The Amended and Restated Term Loan Agreement primarily amended certain terms of the Original Term Loan Agreement, including a reduction of the applicable interest rate from 14.0% to 11.5% and an extension of the interest only payment period from December 31, 2015 to March 31, 2018. Under the agreement, interest is payable, at the Company’s option, (i) in cash at a rate of 11.5% per annum or (ii) 9.5% of the 11.5% per annum in cash and 2.0% of the 11.5% per annum would be added to the principal of the loan and subject to accruing interest. Interest-only payments are due quarterly on March 31, June 30, September 30 and December 31 of each year of the interest-only payment period. This agreement also provides for prepayment fees of 3% of the outstanding balance of the loan if the loan is repaid prior to March 31, 2015. The prepayment fee is reduced by 1% per year for each subsequent year until maturity. | |
The loan is collateralized by all assets of the Company. The Amended and Restated Term Loan Agreement also imposes various affirmative and negative covenants on the Company. The principal financial covenants require that the Company attain minimum annual revenues of $30.0 million in 2014, $50.0 million in 2015, $65.0 million in 2016, $80.0 million in 2017 and $95.0 million thereafter. At March 31, 2015, the Company was in compliance with all of the covenants. | |
Aggregate borrowings outstanding under the Amended and Restated Term Loan Agreement were $30.0 million at March 31, 2015 and December 31, 2014. Borrowings under the Amended and Restated Term Loan Agreement were used to refinance amounts outstanding under the Original Term Loan Agreement. The present value of the future cash flows under the modified terms described above did not exceed the present value of the future cash flows under the original terms by more than 10%. The Company treated this amendment as a modification and the facility fee of approximately $0.1 million was recorded as a discount to the Amended and Restated Term Loan. The facility fee and the remaining balance of debt issuance costs and debt discount of the Original Term Loan are amortized over the remaining term of the Amended and Restated Term Loan using the effective interest method. | |
Concurrently with entering into the Amended and Restated Loan Agreement, the Company also entered into a new Term Loan Agreement (the “New Tranche Term Loan Agreement”) with the Lenders and other parties affiliated with Capital Royalty Partners, under which the Company could have borrowed up to an additional $30.0 million on or before March 31, 2015 at the same interest rate and on the same key terms as the Amended and Restated Term Loan Agreement. | |
In February 2015, the Company amended its Amended and Restated Term Loan Agreement, as well as its New Tranche Term Loan Agreement. Pursuant to this amendment, the interest-only payment period was extended to December 31, 2019 from March 31, 2018 at the same interest rate and on the same key terms as the existing agreements. The principal balance is due in full at the end of the term of the loan which is March 31, 2020. The present value of the future cash flows under the modified terms did not exceed the present value of the future cash flows under the previous terms by more than 10%. The Company treated this amendment as a modification. The remaining debt discount costs will be amortized over the remaining term of the Amended and Restated Term Loan using the effective interest method. | |
The Company did not elect to borrow any amounts under the New Tranche Loan Agreement on or before March 31, 2015, and the Company’s ability to borrow any amounts under the New Tranche Term Loan Agreement has now lapsed. |
Stockholders_Equity
Stockholders' Equity | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Equity [Abstract] | ||||||||
Stockholders' Equity | 7. Stockholders’ Equity | |||||||
Public Offering | ||||||||
In the first quarter of 2015, the Company completed a public offering of 6,037,500 shares of its common stock at a public offering price of $11.50 per share. Net cash proceeds from the public offering were approximately $64.9 million, after deducting underwriting discounts, commissions and offering expenses payable by the Company. | ||||||||
Shares Reserved for Future Issuance | ||||||||
The following shares of common stock are reserved for future issuance at March 31, 2015: | ||||||||
Common stock warrants outstanding | 990,031 | |||||||
Stock options issued and outstanding | 5,194,724 | |||||||
Authorized for future option grants | 2,734,773 | |||||||
Employee stock purchase plan | 770,413 | |||||||
9,689,941 | ||||||||
The Company issued 87,555 shares of common stock upon the exercise of stock options and warrants during the three months ended March 31, 2015, and issued 477,741 shares of common stock upon the exercise of stock options and warrants during the year ended December 31, 2014. | ||||||||
In October 2013, the Company adopted the 2013 Employee Stock Purchase Plan (the “ESPP”), which enables eligible employee to purchase shares of the Company’s common stock using their after tax payroll deductions, subject to certain conditions. Generally, the ESPP consists of a two-year offering period with four six-month purchase periods which begin in May and November of each year. No shares had been purchased under the ESPP during the three months ended March 31, 2015, and 251,390 shares of the Company’s common stock were purchased under the ESPP during the year ended December 31, 2014. | ||||||||
Stock-Based Compensation | ||||||||
The assumptions used in the Black-Scholes option-pricing model are as follows: | ||||||||
Stock Option | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Weighted average grant date fair value (per share) | $ | 8.58 | $ | 17.05 | ||||
Risk-free interest rate | 1.7 | % | 1.9 | % | ||||
Expected dividend yield | 0 | % | 0 | % | ||||
Expected volatility | 70.4 | % | 78.7 | % | ||||
Expected term (in years) | 6.1 | 6.1 | ||||||
There were no ESPP valuations performed during the three months ended March 31, 2015 and 2014. | ||||||||
The following table summarizes the allocation of stock compensation expense (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Cost of sales | $ | 324 | $ | 364 | ||||
Selling, general & administrative | 2,978 | 3,003 | ||||||
Research and development | 471 | 404 | ||||||
Total | $ | 3,773 | $ | 3,771 | ||||
The total stock-based compensation capitalized as part of the cost of inventory was $0.2 million at each of the periods ended March 31, 2015 and December 31, 2014. |
Collaborations
Collaborations | 3 Months Ended |
Mar. 31, 2015 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Collaborations | 8. Collaborations |
DexCom Development and Commercialization Agreement | |
In February 2012, the Company entered into a Development and Commercialization Agreement with DexCom, Inc. (DexCom Agreement) for the purpose of collaborating on the development and commercialization of an integrated system which incorporates the t:slim Insulin Delivery System with DexCom’s proprietary continuous glucose monitoring system. Under the DexCom Agreement, the Company paid DexCom $1.0 million at the commencement of the collaboration in 2012, and an additional $1.0 million in 2014, upon the achievement of a pre-market approval, or PMA submission to the FDA. Both payments were recorded as research and development costs in their respective years. The Company will make one additional $1.0 million payment upon the achievement of certain milestones. Additionally, the Company will reimburse DexCom up to $1.0 million of its development costs and is solely responsible for its own development costs. As of March 31, 2015, the Company has reimbursed DexCom $0.2 million of its development costs. The research and development costs recognized for the three months ended March 31, 2015, and 2014 were not significant. | |
Upon commercialization of the integrated system, and as compensation for the non-exclusive license rights, the Company will also pay DexCom a royalty of $100 for each integrated system sold. | |
JDRF Collaboration | |
In January 2013, the Company entered into a research, development and commercialization agreement (“JDRF Agreement”) with the Juvenile Diabetes Research Foundation (“JDRF”) to develop the t:dual Infusion System, a first-of-its-kind, dual-chamber infusion pump for the management of diabetes. According to the terms of the JDRF Agreement, JDRF will provide research funding of up to $3.0 million based on the achievement of research and development milestones, not to exceed research costs incurred by the Company. Payments the Company receives to fund the collaboration efforts under the terms of the JDRF Agreement are recorded as restricted cash and current and long-term liabilities. The liabilities are recognized as an offset of research and development expenses straight-line over the remaining months until anticipated completion of the final milestone, only to the extent that the restricted cash is utilized to fund such development activities. The estimated completion date is re-evaluated each reporting period based on development progress through that date. As of March 31, 2015, the Company estimated the completion date to be September 2016. | |
As of March 31, 2015, milestone payment achievements totaled $0.7 million, and research and development costs were offset cumulatively by $0.4 million. The research and development costs were offset by $37,000 and $0.1 million for the three months ended March 31, 2015 and 2014 respectively. The Company did not have any restricted cash balances related to the JDRF Agreement at March 31, 2015 or December 31, 2014. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 9. Commitments and Contingencies |
From time to time, the Company may be subject to legal proceedings or regulatory encounters or other matters arising in the ordinary course of business, including actions with respect to intellectual property, employment, product liability, and contractual matters. In connection with these matters, the Company assesses, on a regular basis, the probability and range of possible loss based on the developments in these matters. A liability is recorded in the financial statements if it is believed to be probable that a loss has been incurred and the amount of the loss can be reasonably estimated. Because of the uncertainties related to the occurrence, amount, and range of loss on any pending actions, the Company is currently unable to predict their ultimate outcome, and, with respect to any pending litigation or claim where no liability has been accrued, to make a meaningful estimate of the reasonably possible loss or range of loss that could result from an unfavorable outcome. At March 31, 2015 and December 31, 2014, there were no material matters for which the negative outcome was considered probable or estimable. |
Subsequent_Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Event | 10. Subsequent Event |
In April 2015, the Company entered into two foreign currency forward contracts for a total notional amount of $1.0 million, to offset a portion of the foreign exchange risk of expected future cash flows on certain euro-denominated liabilities that are associated with purchase of manufacturing equipment. Both forward contracts are short-term contracts expiring before December 31, 2015. While the foreign exchange forward contracts act as economic hedges, they are not designated as hedges for accounting purposes. Gains and losses resulting from changes in the fair values of these foreign currency forward contracts will be recorded to other income or expense on the Company’s statement of operations. |
Organization_and_Basis_of_Pres1
Organization and Basis of Presentation (Policies) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Accounting Policies [Abstract] | |||||||||
The Company | The Company | ||||||||
Tandem Diabetes Care, Inc. is a medical device company focused on the design, development and commercialization of products for people with insulin-dependent diabetes. Unless the context requires otherwise, the terms the “Company” or “Tandem” refer to Tandem Diabetes Care, Inc. | |||||||||
The Company designed and commercialized its flagship product, the t:slim Insulin Delivery System, or t:slim, based on its proprietary technology platform and unique consumer-focused approach. The U.S. Food and Drug Administration (FDA) cleared t:slim in November 2011 and the Company commenced commercial sales of t:slim in the United States in August 2012. In January 2015, the Company received clearance from the FDA, to commercialize its next product, the t:flex Insulin Delivery System, or t:flex, for people with greater insulin needs. The Company intends to begin commercial sales of t:flex in the United States during the second quarter of 2015. | |||||||||
Tandem was originally incorporated in the state of Colorado on January 27, 2006 under the name Phluid, Inc. On January 7, 2008, the Company was reincorporated in the state of Delaware for the purposes of changing its legal name from Phluid, Inc. to Tandem Diabetes Care, Inc. and changing its state of incorporation from Colorado to Delaware. | |||||||||
Basis of Presentation | Basis of Presentation | ||||||||
The Company has prepared the accompanying unaudited condensed financial statements in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and disclosures required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments which are of a normal and recurring nature, considered necessary for a fair presentation of the financial information contained herein, have been included. | |||||||||
Interim financial results are not necessarily indicative of results anticipated for the full year or any other period(s). These unaudited condensed financial statements should be read in conjunction with the Company’s audited financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, from which the balance sheet information herein was derived. | |||||||||
Voluntary Recall | Voluntary Recall | ||||||||
On January 10, 2014, the Company announced a voluntary recall of select lots of cartridges used with t:slim that may have been at risk of leaking. The cause of the recall was identified during the Company’s internal product testing. The recall was expanded on January 20, 2014 to include additional lots of affected cartridges used with t:slim. The Company has incurred approximately $1.7 million in direct costs associated with the recall. The Company recorded a cost of sales charge of approximately $1.3 million in the fourth quarter of 2013 and recorded a cost of sales charge for the remainder in the first quarter of 2014 for affected cartridges shipped in 2014. The total cost of the recall consisted of approximately $0.7 million associated with the return and replacement of affected cartridges in the field and approximately $1.0 million for the write-off of affected cartridges within the Company’s internal inventory. As of December 31, 2014, the FDA determined that the recall is terminated and the Company does not currently expect any further direct financial impact of the recall beyond these costs. | |||||||||
Use of Estimates | Use of Estimates | ||||||||
The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities in the Company’s financial statements and accompanying notes as of the date of the financial statements. Actual results could materially differ from those estimates and assumptions. | |||||||||
Restricted Cash | Restricted Cash | ||||||||
Restricted cash as of March 31, 2015 and December 31, 2014 was primarily composed of a $2.0 million minimum cash balance requirement in connection with the Capital Royalty Term Loan (see Note 6 “Loan Agreements”). | |||||||||
Accounts Receivable | Accounts Receivable | ||||||||
The Company grants credit to various customers in the normal course of business. The Company maintains an allowance for doubtful accounts for potential credit losses. Provisions are made, generally, for receivables greater than 120 days past due and based upon a specific review of other outstanding invoices. Uncollectible accounts are written off against the allowance after appropriate collection efforts have been exhausted and when it is deemed that a balance is uncollectible. | |||||||||
Fair Value of Financial Instruments | |||||||||
Fair Value of Financial Instruments | |||||||||
The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, accrued expense, and employee-related liabilities are reasonable estimates of their fair values because of the short-term nature of these assets and liabilities. Short-term investments are carried at fair value. Based on the borrowing rates currently available for loans with similar terms, the Company believes that the fair value of its long-term debt approximates its carrying value. | |||||||||
Revenue Recognition | Revenue Recognition | ||||||||
Revenue is generated from sales, in the United States, of the t:slim pump, disposable cartridges and infusion sets to individual customers and third-party distributors that resell the product to insulin-dependent diabetes customers. The Company is paid directly by customers who use the products, distributors and third-party insurance payors. | |||||||||
Revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred and title passed, the price is fixed or determinable, and collectability is reasonably assured. These criteria are applied as follows: | |||||||||
— | The evidence of an arrangement generally consists of contractual arrangements with distributors, third-party insurance payors or direct customers. | ||||||||
— | Transfer of title and risk and rewards of ownership are passed upon shipment of the pump to distributors or upon delivery to the customer. | ||||||||
— | The selling prices are fixed and agreed upon based on the contracts with distributors, the customer and contracted insurance payors, if applicable. For sales to customers associated with insurance providers with whom there is no contract, revenue is recognized upon collection of cash at which time the price is determinable. The Company generally does not offer rebates to its distributors and customers. | ||||||||
— | The Company considers the overall creditworthiness and payment history of the distributor, customer and the contracted insurance payor in concluding whether collectability is reasonably assured. | ||||||||
Revenue Recognition for Arrangements with Multiple Deliverables | |||||||||
The Company considers the deliverables in its product offering as separate units of accounting and recognizes deliverables as revenue upon delivery only if (i) the deliverable has standalone value and (ii) if the arrangement includes a general right of return relative to the delivered item(s), delivery or performance of the undelivered item(s) is probable and substantially controlled by the Company. The Company allocates consideration to the separate units of accounting, unless the undelivered elements were deemed perfunctory and inconsequential. The Company uses the relative selling price method, in which allocation of consideration is based on vendor-specific objective evidence (VSOE) if available, third-party evidence (TPE), or if VSOE and TPE are not available, management’s best estimate of a standalone selling price (ESP) for the undelivered elements. | |||||||||
The Company offers a cloud-based data management application, t:connect, which is made available upon purchase by t:slim pump customers. This service is deemed an undelivered element at the time of the t:slim sale. Because the Company has neither VSOE nor TPE for this deliverable, the allocation of revenue is based on the Company’s ESP. The Company establishes its ESP based on estimated cost to provide such services, including consideration for a reasonable profit margin and corroborated by comparable market data. The Company allocates fair value based on management’s ESP to this element at the time of sale and is recognizing the revenue over the four-year hosting period. At March 31, 2015 and December 31, 2014, $0.7 million was recorded as deferred revenue for the t:connect hosting service. All other undelivered elements at the time of sale are deemed inconsequential or perfunctory. | |||||||||
Product Returns | |||||||||
The Company offers a 30-day right of return for its t:slim pump customers from the date of shipment, provided a physician’s confirmation of the medical reason for the return is received. Estimated return allowances for sales returns are based on historical returned quantities as compared to t:slim pump shipments in those same periods. The return rate is then applied to the sales of the current period to establish a reserve at the end of the period. The return rates used in the reserve are adjusted for known or expected changes in the marketplace when appropriate. The allowance for product returns included in other current liabilities on the Company’s balance sheets at March 31, 2015 and December 31, 2014 was $0.2 million and $0.3 million, respectively. Actual product returns have not differed materially from estimated amounts reserved in the accompanying financial statements. | |||||||||
Warranty Reserve | Warranty Reserve | ||||||||
The Company generally provides a four-year warranty on its t:slim pump to end user customers and may replace any pumps that do not function in accordance with the product specifications. Any pump returned to the Company may be refurbished and redeployed. Additionally, the Company offers a six-month warranty on t:slim cartridges and infusion sets. Estimated warranty costs are recorded at the time of shipment. Warranty costs are estimated based on the current expected replacement product cost, actual experience and expected failure rates from test studies performed in conjunction with the clearance of the t:slim pump with the FDA to support the longevity and reliability of the pump. The Company evaluates the reserve quarterly and makes adjustments when appropriate. At March 31, 2015 and December 31, 2014, the warranty reserve was $2.5 million and $2.0 million, respectively. Actual warranty costs have not differed materially from estimated amounts reserved in the accompanying financial statements. | |||||||||
The following table provides a reconciliation of the change in product warranty liabilities through March 31, 2015 (in thousands): | |||||||||
Balance at December 31, 2014 | $ | 1,974 | |||||||
Provision for warranties issued during the period | 1,332 | ||||||||
Settlements made during the period | (834 | ) | |||||||
Balance at March 31, 2015 | $ | 2,472 | |||||||
Current portion | $ | 668 | |||||||
Non-current portion | 1,804 | ||||||||
Total | $ | 2,472 | |||||||
Stock-Based Compensation | Stock-Based Compensation | ||||||||
Stock-based compensation cost is measured at the grant date, based on the estimated fair value of the award, and the portion that is ultimately expected to vest is recognized as compensation expense over the employee’s requisite service period on a straight-line basis. The Company estimates the fair value of stock options and shares issued to employees under the Employee Stock Purchase Plan (“ESPP”) using a Black-Scholes option-pricing model on the date of grant. The Black-Scholes option-pricing model requires the use of subjective assumptions including volatility, expected term, and risk-free rate. For awards that vest based on service conditions, the Company recognizes expense using the straight-line method less estimated forfeitures. As of March 31, 2015, there were no outstanding equity awards with market or performance conditions. | |||||||||
The Company records the expense for stock option grants to non-employees based on the estimated fair value of the stock options using the Black-Scholes option-pricing model. The fair value of non-employee awards is remeasured at each reporting period as the underlying awards vest unless the instruments are fully vested, immediately exercisable and nonforfeitable on the date of grant. | |||||||||
Net Loss Per Share | Net Loss Per Share | ||||||||
Basic net loss per share is calculated by dividing the net loss by the weighted average number of common shares that were outstanding for the period, without consideration for common stock equivalents. Diluted net loss per share is calculated by dividing the net loss by the sum of the weighted-average number of dilutive common share equivalents outstanding for the period determined using the treasury stock method. Dilutive common share equivalents are comprised of warrants, potential Employee Stock Purchase Plan (ESPP) awards, and options outstanding under the Company’s stock plans. For all periods presented, there is no difference in the number of shares used to calculate basic and diluted shares outstanding due to the Company’s net loss position. | |||||||||
Potentially dilutive securities not included in the calculation of diluted net loss per share (because inclusion would be anti-dilutive) are as follows (in common stock equivalent shares): | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Warrants for common stock | 990,031 | 1,297,057 | |||||||
Common stock options | 2,163,331 | 4,889,549 | |||||||
ESPP | 127,067 | 137,943 | |||||||
3,280,429 | 6,324,549 | ||||||||
Recent Accounting Pronouncements | Recent Accounting Pronouncements | ||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) and the International Accounting Standards Board (“IASB”) issued a comprehensive new revenue recognition standard that will supersede existing revenue guidance under U.S. GAAP and International Financial Reporting Standards (“IFRS”). The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. On April 1, 2015, the FASB proposed deferring the effective date by one year to December 15, 2017 for annual reporting periods beginning after that date. The FASB also proposed permitting early adoption of the standard, but not before the original effective date of December 15, 2016. The Company is in the process of assessing the future impact of the adoption of the standard on its financial statements. | |||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Accounting Policies [Abstract] | |||||||||
Summary of Reconciliation of Change in Product Warranty Liabilities | The following table provides a reconciliation of the change in product warranty liabilities through March 31, 2015 (in thousands): | ||||||||
Balance at December 31, 2014 | $ | 1,974 | |||||||
Provision for warranties issued during the period | 1,332 | ||||||||
Settlements made during the period | (834 | ) | |||||||
Balance at March 31, 2015 | $ | 2,472 | |||||||
Current portion | $ | 668 | |||||||
Non-current portion | 1,804 | ||||||||
Total | $ | 2,472 | |||||||
Schedule of Anti-Dilutive Securities | Potentially dilutive securities not included in the calculation of diluted net loss per share (because inclusion would be anti-dilutive) are as follows (in common stock equivalent shares): | ||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Warrants for common stock | 990,031 | 1,297,057 | |||||||
Common stock options | 2,163,331 | 4,889,549 | |||||||
ESPP | 127,067 | 137,943 | |||||||
3,280,429 | 6,324,549 | ||||||||
ShortTerm_Investments_Tables
Short-Term Investments (Tables) | 3 Months Ended | ||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||
Investments Debt And Equity Securities [Abstract] | |||||||||||||||||||
Summary of Estimated Fair Value of Short-Term Investments | The following represents a summary of the estimated fair value of short-term investments at March 31, 2015 and December 31, 2014 (in thousands): | ||||||||||||||||||
At March 31, 2015 | Maturity | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||||
(in years) | Cost | Gain | Loss | Fair Value | |||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||
Commercial paper | Less than 1 | $ | 45,156 | $ | 38 | $ | — | $ | 45,194 | ||||||||||
Government-sponsored enterprise securities | Less than 1 | 8,501 | 1 | — | 8,502 | ||||||||||||||
$ | 53,657 | $ | 39 | $ | — | $ | 53,696 | ||||||||||||
Trading securities: | |||||||||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants | $ | 134 | $ | 4 | $ | — | $ | 138 | |||||||||||
Total | $ | 53,791 | $ | 43 | $ | — | $ | 53,834 | |||||||||||
At December 31, 2014 | Maturity | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||||
(in years) | Cost | Gain | Loss | Fair Value | |||||||||||||||
Available-for-sale investment securities: | |||||||||||||||||||
Commercial paper | Less than 1 | $ | 32,536 | $ | 9 | $ | — | $ | 32,545 | ||||||||||
Government-sponsored enterprise securities | Less than 1 | 3,504 | — | (1 | ) | 3,503 | |||||||||||||
$ | 36,040 | $ | 9 | $ | (1 | ) | $ | 36,048 | |||||||||||
Trading securities: | |||||||||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants | $ | 56 | $ | 2 | $ | — | $ | 58 | |||||||||||
Total | $ | 36,096 | $ | 11 | $ | (1 | ) | $ | 36,106 | ||||||||||
Inventory_Tables
Inventory (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Inventory Disclosure [Abstract] | ||||||||
Summary of Inventory | Inventories, stated at the lower of cost or market, consisted of the following (in thousands): | |||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
Raw materials | $ | 8,091 | $ | 7,085 | ||||
Work in process | 3,205 | 2,288 | ||||||
Finished goods | 2,512 | 2,856 | ||||||
13,808 | 12,229 | |||||||
Less reserve | (227 | ) | (316 | ) | ||||
Total | $ | 13,581 | $ | 11,913 | ||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (in thousands): | ||||||||||||||||
Fair Value Measurements at | |||||||||||||||||
31-Mar-15 | |||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Assets | |||||||||||||||||
Cash equivalents (1) | $ | 54,452 | $ | 54,452 | $ | — | $ | — | |||||||||
Commercial paper | 45,194 | — | 45,194 | — | |||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants (2) | 138 | 138 | — | — | |||||||||||||
Government-sponsored enterprise securities | 8,502 | — | 8,502 | — | |||||||||||||
Total assets | $ | 108,286 | $ | 54,590 | $ | 53,696 | $ | — | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation (2) | $ | 138 | $ | 138 | $ | — | $ | — | |||||||||
Total liabilities | $ | 138 | $ | 138 | $ | — | $ | — | |||||||||
Fair Value Measurements at | |||||||||||||||||
31-Dec-14 | |||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Assets | |||||||||||||||||
Cash equivalents (1) | $ | 30,050 | $ | 30,050 | $ | — | $ | — | |||||||||
Commercial paper | 32,545 | — | 32,545 | — | |||||||||||||
Mutual funds held for nonqualified deferred compensation plan participants (2) | 58 | 58 | — | — | |||||||||||||
Government-sponsored enterprise securities | 3,503 | — | 3,503 | — | |||||||||||||
Total assets | $ | 66,156 | $ | 30,108 | $ | 36,048 | $ | — | |||||||||
Liabilities | |||||||||||||||||
Deferred compensation (2) | $ | 58 | $ | 58 | $ | — | $ | — | |||||||||
Total liabilities | $ | 58 | $ | 58 | $ | — | $ | — | |||||||||
-1 | Cash equivalents included money market funds and commercial paper with a maturity of three months or less from the date of purchase. | ||||||||||||||||
-2 | Deferred compensation plans are compensation plans directed by the Company and structured as a Rabbi Trust for certain executives and non-employee directors. The investment assets of the Rabbi Trust are valued using quoted market prices multiplied by the number of shares held in each trust account. The related deferred compensation liability represents the fair value of the investment assets. |
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Equity [Abstract] | ||||||||
Schedule of Shares of Common Stock Reserved for Future Issuance | The following shares of common stock are reserved for future issuance at March 31, 2015: | |||||||
Common stock warrants outstanding | 990,031 | |||||||
Stock options issued and outstanding | 5,194,724 | |||||||
Authorized for future option grants | 2,734,773 | |||||||
Employee stock purchase plan | 770,413 | |||||||
9,689,941 | ||||||||
Schedule of Assumptions Used in Black-Scholes Option-Pricing Model | The assumptions used in the Black-Scholes option-pricing model are as follows: | |||||||
Stock Option | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Weighted average grant date fair value (per share) | $ | 8.58 | $ | 17.05 | ||||
Risk-free interest rate | 1.7 | % | 1.9 | % | ||||
Expected dividend yield | 0 | % | 0 | % | ||||
Expected volatility | 70.4 | % | 78.7 | % | ||||
Expected term (in years) | 6.1 | 6.1 | ||||||
Summary for Allocation of Stock Compensation Expense | The following table summarizes the allocation of stock compensation expense (in thousands): | |||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Cost of sales | $ | 324 | $ | 364 | ||||
Selling, general & administrative | 2,978 | 3,003 | ||||||
Research and development | 471 | 404 | ||||||
Total | $ | 3,773 | $ | 3,771 | ||||
Organization_and_Basis_of_Pres2
Organization and Basis of Presentation - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | ||
Jan. 10, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2013 | |
Organization And Basis Of Presentation [Line Items] | ||||
Incorporation date | 27-Jan-06 | |||
Reincorporation date | 7-Jan-08 | |||
Direct costs associated with the recall | $1,700,000 | |||
Return and replacement of affected cartridges | 700,000 | |||
Provision for inventory reserve | 1,000,000 | 260,000 | ||
Cost of sales [Member] | ||||
Organization And Basis Of Presentation [Line Items] | ||||
Direct costs associated with the recall | $1,300,000 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2014 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Restricted cash | $2,000,000 | $2,000,000 |
Receivables considered as uncollectible, maximum past due days | 120 days | |
Deferred revenue | 700,000 | 700,000 |
Revenue recognition hosting period | 4 years | |
Offered period for sales return | 30 days | |
Allowance for product returns | 200,000 | 300,000 |
Warranty reserve | 2,472,000 | 1,974,000 |
Performance Shares [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Equity awards outstanding | 0 | |
Warranty reserves [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Warranty reserve | 2,500,000 | 2,000,000 |
Slim Pump [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Warranty period offered | 4 years | |
Slim cartridges and infusion sets [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Warranty period offered | 6 months | |
Original Term Loan Agreement [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Restricted cash | $2,000,000 | $2,000,000 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Summary of Reconciliation of Change in Product Warranty Liabilities (Detail) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Movement In Standard And Extended Product Warranty Increase Decrease Roll Forward | |
Beginning balance | $1,974 |
Provision for warranties issued during the period | 1,332 |
Settlements made during the period | -834 |
Ending balance | 2,472 |
Current portion | 668 |
Non-current portion | $1,804 |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Schedule of Anti-Dilutive Securities (Detail) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 3,280,429 | 6,324,549 |
Warrants for common stock [Member] | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 990,031 | 1,297,057 |
Common stock options [Member] | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 2,163,331 | 4,889,549 |
Employee stock purchase plan [Member] | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 127,067 | 137,943 |
ShortTerm_Investments_Summary_
Short-Term Investments - Summary of Estimated Fair Value of Short-Term Investments (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | 53,657 | 36,040 |
Short-term investments, Unrealized Gain | 39 | 9 |
Short-term investments, Unrealized Loss | -1 | |
Short-term investments, Estimated Fair Value | 53,696 | 36,048 |
Short-term investments, Amortized Cost | 53,791 | 36,096 |
Short-term investments, Unrealized Gain | 43 | 11 |
Short-term investments, Unrealized Loss | -1 | |
Short-term investments, Estimated Fair Value | 53,834 | 36,106 |
Commercial paper [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | 45,156 | 32,536 |
Short-term investments, Unrealized Gain | 38 | 9 |
Short-term investments, Estimated Fair Value | 45,194 | 32,545 |
Commercial paper [Member] | Maximum [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Maturity (in years) | 1 year | 1 year |
Government-sponsored enterprise securities [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | 8,501 | 3,504 |
Short-term investments, Unrealized Gain | 1 | |
Short-term investments, Unrealized Loss | -1 | |
Short-term investments, Estimated Fair Value | 8,502 | 3,503 |
Government-sponsored enterprise securities [Member] | Maximum [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Maturity (in years) | 1 year | 1 year |
Trading securities — mutual funds held for nonqualified deferred compensation plan participants [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | 134 | 56 |
Short-term investments, Unrealized Gain | 4 | 2 |
Short-term investments, Estimated Fair Value | 138 | 58 |
Inventory_Summary_of_Inventory
Inventory - Summary of Inventory (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
Raw materials | $8,091 | $7,085 |
Work in process | 3,205 | 2,288 |
Finished goods | 2,512 | 2,856 |
Inventory gross | 13,808 | 12,229 |
Less reserve | -227 | -316 |
Total | $13,581 | $11,913 |
Fair_Value_Measurements_Schedu
Fair Value Measurements - Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | $108,286 | $66,156 |
Total liabilities | 138 | 58 |
Cash equivalents [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 54,452 | 30,050 |
Commercial paper [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 45,194 | 32,545 |
Mutual funds held for nonqualified deferred compensation plan participants [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 138 | 58 |
Government-sponsored enterprise securities [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 8,502 | 3,503 |
Deferred compensation [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total liabilities | 138 | 58 |
Level 1 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 54,590 | 30,108 |
Total liabilities | 138 | 58 |
Level 1 [Member] | Cash equivalents [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 54,452 | 30,050 |
Level 1 [Member] | Mutual funds held for nonqualified deferred compensation plan participants [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 138 | 58 |
Level 1 [Member] | Deferred compensation [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total liabilities | 138 | 58 |
Level 2 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 53,696 | 36,048 |
Level 2 [Member] | Commercial paper [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 45,194 | 32,545 |
Level 2 [Member] | Government-sponsored enterprise securities [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | $8,502 | $3,503 |
Fair_Value_Measurements_Schedu1
Fair Value Measurements - Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) (Maximum [Member]) | 3 Months Ended |
Mar. 31, 2015 | |
Maximum [Member] | |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | |
Cash equivalents maturity term | 3 months |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) (USD $) | Mar. 31, 2015 |
Fair Value Disclosures [Abstract] | |
Transfer between level 1 and level 2 securities | $0 |
Loan_Agreements_Additional_Inf
Loan Agreements - Additional Information (Detail) (USD $) | 3 Months Ended | 0 Months Ended | 1 Months Ended | ||
Mar. 31, 2015 | Apr. 04, 2014 | Jan. 31, 2013 | Dec. 31, 2014 | Feb. 28, 2015 | |
Debt Instrument [Line Items] | |||||
Loan outstanding | $30,000,000 | $30,000,000 | |||
Minimum annual revenues attainable in 2014 | 30,000,000 | ||||
Minimum annual revenues attainable in 2015 | 50,000,000 | ||||
Minimum annual revenues attainable in 2016 | 65,000,000 | ||||
Minimum annual revenues attainable in 2017 | 80,000,000 | ||||
Minimum annual revenues attainable in 2018 | 95,000,000 | ||||
Original Term Loan Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Loan outstanding | 30,000,000 | ||||
Interest rate | 14.00% | ||||
Warrants fair value recorded as debt discount | 400,000 | ||||
Debt issuance cost | 700,000 | ||||
Original Term Loan Agreement [Member] | Capital Royalty Partners | |||||
Debt Instrument [Line Items] | |||||
Debt financing fee | 400,000 | ||||
Amended and Restated Term Loan Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 11.50% | ||||
Interest payable as cash | 9.50% | ||||
Compounded interest payable | 2.00% | ||||
Interest-only payments description | Under the agreement, interest is payable, at the Company’s option, (i) in cash at a rate of 11.5% per annum or (ii) 9.5% of the 11.5% per annum in cash and 2.0% of the 11.5% per annum would be added to the principal of the loan and subject to accruing interest. Interest-only payments are due quarterly on March 31, June 30, September 30 and December 31 of each year of the interest-only payment period. | ||||
Prepayment fee percentage | 3.00% | ||||
Prepayment fee percentage on loan repayment | 1.00% | ||||
Present value of the future cash flows | 10.00% | ||||
Debt discount | 100,000 | ||||
Amended and Restated Term Loan Agreement [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 11.50% | ||||
Interest payment period | 31-Dec-15 | ||||
Amended and Restated Term Loan Agreement [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 14.00% | ||||
Interest payment period | 31-Mar-18 | ||||
New Tranche Term Loan Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Available revolving line of credit | 30,000,000 | ||||
Interest-only payments description | the interest-only payment period was extended to December 31, 2019 from March 31, 2018 at the same interest rate and on the same key terms as the existing agreements. The principal balance is due in full at the end of the term of the loan which is March 31, 2020. | ||||
Present value of the future cash flows | 10.00% | ||||
Term loan agreement terms | the Company could have borrowed up to an additional $30.0 million on or before March 31, 2015 at the same interest rate and on the same key terms as the Amended and Restated Term Loan Agreement | ||||
SVB Revolving Line of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Available revolving line of credit | 1,500,000 | ||||
Revolving line of credit facility as percentage of accounts receivable | 75.00% | ||||
Revolving line of credit amount outstanding | $0 | ||||
Revolving line of credit expiring date | 31-Jan-15 |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Proceeds from public offering, net of offering costs | $64,851,000 | |
Stock-based compensation cost | $200,000 | $200,000 |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Common stock shares issued | 87,555 | 477,741 |
ESPP [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Purchase of common stock under ESPP | 0 | 251,390 |
Purchase of common stock offering period | 2 years | |
Number of stock purchase plan offering periods | 4 | |
Stock purchase period | 6 months | |
Secondary Public Offering [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares offered for public offering | 6,037,500 | |
Shares offering price per share | $11.50 |
Stockholders_Equity_Schedule_o
Stockholders' Equity - Schedule of Shares of Common Stock Reserved for Future Issuance (Detail) | Mar. 31, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 9,689,941 |
Common stock warrants outstanding [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 990,031 |
Stock options issued and outstanding [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 5,194,724 |
Authorized for future option grants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 2,734,773 |
Employee stock purchase plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 770,413 |
Stockholders_Equity_Schedule_o1
Stockholders' Equity - Schedule of Assumptions Used in Black-Scholes Option-Pricing Model (Detail) (Stock Options [Member], USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted average grant date fair value (per share) | $8.58 | $17.05 |
Risk-free interest rate | 1.70% | 1.90% |
Expected dividend yield | 0.00% | 0.00% |
Expected volatility | 70.40% | 78.70% |
Expected term (in years) | 6 years 1 month 6 days | 6 years 1 month 6 days |
Stockholders_Equity_Summary_fo
Stockholders' Equity - Summary for Allocation of Stock Compensation Expense (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation cost | $3,773 | $3,771 |
Cost of sales [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation cost | 324 | 364 |
Selling, general & administrative [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation cost | 2,978 | 3,003 |
Research and development [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation cost | $471 | $404 |
Collaborations_Additional_Info
Collaborations - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||
Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2012 | Mar. 31, 2014 | Sep. 30, 2016 | |
Milestone | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Restricted cash | $2,000,000 | $2,000,000 | |||
DexCom Agreement [Member] | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Number of additional milestone payments | 1 | ||||
Additional payment upon achievement of milestones | 1,000,000 | ||||
Reimbursement of development costs | 1,000,000 | 1,000,000 | |||
Additional research and development expense upon FDA approval | 1,000,000 | ||||
Reimbursed development costs | 200,000 | ||||
Royalty Payable | 100 | ||||
JDRF Agreement [Member] | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Research and development offset cumulative amount | 400,000 | ||||
Aggregate amount of milestone payment achievements | 700,000 | ||||
Research and development offset amount | 37,000 | 100,000 | |||
Restricted cash | 0 | 0 | |||
JDRF Agreement [Member] | Scenario Forecast [Member] | Maximum [Member] | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Research and development offset cumulative amount | $3,000,000 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) | Mar. 31, 2015 | Dec. 31, 2014 |
LegalProceeding | LegalProceeding | |
Commitments And Contingencies Disclosure [Abstract] | ||
Regulatory proceedings | 0 | 0 |
Subsequent_Event_Additional_In
Subsequent Event - Additional Information (Detail) (Subsequent Event, USD $) | 1 Months Ended |
In Millions, unless otherwise specified | Apr. 30, 2015 |
Contracts | |
Subsequent Event | |
Subsequent Event [Line Items] | |
Notional amounts of foreign currency forward contracts cash flow liabilities | $1 |
Foreign exchange forward contracts expiring date | 31-Dec-15 |
Number of foreign currency forward contracts | 2 |