Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 27, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | TNDM | |
Entity Registrant Name | TANDEM DIABETES CARE INC | |
Entity Central Index Key | 1,438,133 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 30,014,450 |
Condensed Balance Sheets
Condensed Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 45,921 | $ 31,176 |
Restricted cash | 2,000 | 2,000 |
Short-term investments | 51,825 | 36,106 |
Accounts receivable, net | 7,473 | 7,652 |
Inventory | 14,670 | 11,913 |
Prepaid and other current assets | 2,170 | 1,904 |
Total current assets | 124,059 | 90,751 |
Property and equipment, net | 14,325 | 12,581 |
Other long-term assets | 676 | 691 |
Total assets | 141,334 | 106,464 |
Current liabilities: | ||
Accounts payable | 3,999 | 1,949 |
Accrued expense | 1,914 | 2,920 |
Employee-related liabilities | 8,677 | 9,722 |
Deferred revenue | 1,038 | 840 |
Other current liabilities | 2,857 | 2,663 |
Total current liabilities | 18,485 | 18,094 |
Notes payable—long-term | 29,479 | 29,440 |
Deferred rent—long-term | 3,084 | 2,700 |
Other long-term liabilities | 2,534 | 1,658 |
Total liabilities | $ 53,582 | $ 51,892 |
Commitments and contingencies: | ||
Stockholders’ equity: | ||
Common stock, $0.001 par value; 100,000 shares authorized as of June 30, 2015 and December 31, 2014, 30,007 and 23,655 shares issued and outstanding at June 30, 2015 and December 31, 2014, respectively. | $ 30 | $ 24 |
Additional paid-in capital | 377,142 | 303,255 |
Accumulated other comprehensive income | 37 | 8 |
Accumulated deficit | (289,457) | (248,715) |
Total stockholders’ equity | 87,752 | 54,572 |
Total liabilities and stockholders’ equity | 141,334 | 106,464 |
Patents [Member] | ||
Current assets: | ||
Patents, net | $ 2,274 | $ 2,441 |
Condensed Balance Sheets (Paren
Condensed Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2015 | Dec. 31, 2014 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 30,007,000 | 23,655,000 |
Common stock, shares outstanding | 30,007,000 | 23,655,000 |
Condensed Statements of Operati
Condensed Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Statement [Abstract] | ||||
Sales | $ 15,706 | $ 10,255 | $ 28,014 | $ 18,320 |
Cost of sales | 10,905 | 6,806 | 20,406 | 14,005 |
Gross profit | 4,801 | 3,449 | 7,608 | 4,315 |
Operating expenses: | ||||
Selling, general and administrative | 19,599 | 18,068 | 38,954 | 36,109 |
Research and development | 3,873 | 3,699 | 7,735 | 7,362 |
Total operating expenses | 23,472 | 21,767 | 46,689 | 43,471 |
Operating loss | (18,671) | (18,318) | (39,081) | (39,156) |
Other income (expense), net: | ||||
Interest and other income | 61 | 31 | 160 | 49 |
Interest and other expense | (923) | (910) | (1,821) | (2,052) |
Total other income (expense), net | (862) | (879) | (1,661) | (2,003) |
Net loss | (19,533) | (19,197) | (40,742) | (41,159) |
Other comprehensive loss: | ||||
Unrealized gain (loss) on short-term investments | (39) | (2) | 29 | 12 |
Comprehensive loss | $ (19,572) | $ (19,199) | $ (40,713) | $ (41,147) |
Net loss per share, basic and diluted | $ (0.65) | $ (0.83) | $ (1.47) | $ (1.79) |
Weighted average shares used to compute basic and diluted net loss per share | 29,902 | 23,098 | 27,723 | 23,017 |
Condensed Statements of Cash Fl
Condensed Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Operating activities | ||
Net loss | $ (40,742) | $ (41,159) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization expense | 2,414 | 1,918 |
Interest expense related to amortization of debt discount and debt issuance costs | 71 | 134 |
Provision for allowance for doubtful accounts | (100) | 101 |
Provision for inventory reserve | 101 | 163 |
Amortization of premium/discount on short-term investments | (37) | (21) |
Stock-based compensation expense | 7,033 | 7,302 |
Other | (63) | |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | 279 | 835 |
Inventory | (2,892) | (1,008) |
Prepaid and other current assets | (249) | (804) |
Other long-term assets | (17) | |
Accounts payable | 1,388 | 77 |
Accrued expense | (933) | (187) |
Employee-related liabilities | (1,045) | (378) |
Deferred revenue | 198 | 103 |
Other current liabilities | (47) | (1,241) |
Deferred rent | (308) | (161) |
Other long-term liabilities | 769 | 66 |
Net cash used in operating activities | (34,180) | (34,260) |
Investing activities | ||
Purchase of short-term investments | (58,993) | (35,829) |
Proceeds from sales and maturities of short-term investments | 43,450 | 10,860 |
Purchase of property and equipment | (2,351) | (2,690) |
Purchase of patents | (74) | (173) |
Net cash used in investing activities | (17,968) | (27,832) |
Financing activities | ||
Issuance of notes payable, net of issuance costs | 29,925 | |
Restricted cash in connection with notes payable and corporate credit card | 50 | |
Principal payments on notes payable | (30,000) | |
Proceeds from public offering, net of offering costs | 64,862 | |
Proceeds from issuance of common stock | 2,031 | 1,940 |
Net cash provided by financing activities | 66,893 | 1,915 |
Net increase (decrease) in cash and cash equivalents | 14,745 | (60,177) |
Cash and cash equivalents at beginning of period | 31,176 | 124,385 |
Cash and cash equivalents at end of period | 45,921 | 64,208 |
Supplemental disclosures of cash flow information | ||
Interest paid | 1,735 | 1,919 |
Supplemental schedule of noncash investing and financing activities | ||
Lease incentive—lessor-paid tenant improvements | 933 | 1,600 |
Property and equipment included in accounts payable | $ 1,510 | $ 59 |
Organization and Basis of Prese
Organization and Basis of Presentation | 6 Months Ended |
Jun. 30, 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 commenced 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 pursuant to 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 but excludes disclosures required by GAAP for complete financial statements. 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 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 Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies There have been no significant changes in our significant accounting policies during the six months ended June 30, 2015, as compared with those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2014. Use of Estimates The preparation of the financial statements in conformity with U.S. GAAP requires management to make informed 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 June 30, 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 Agreement (see Note 7 “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 and foreign exchange forward contracts that are not designated as hedges Revenue Recognition Revenue is generated from sales, in the United States, of the t:slim insulin pump and t:flex insulin pump (collectively, “Tandem Pumps”), 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 to customers upon purchase of the Tandem Pump. This service is deemed an undelivered element at the time of the Tandem Pump 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 the estimated cost to provide such services, including consideration for a reasonable profit margin, which is then 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 June 30, 2015 and December 31, 2014, $0.8 million and $0.7 million was recorded as deferred revenue for the t:connect hosting service, respectively. 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 to its customers from the date of shipment of a Tandem Pump, provided a physician’s confirmation of the medical reason for the return is received. Estimated allowances for sales returns are based on historical returned quantities as compared to 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 June 30, 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 a Tandem 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 disposable 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 relating to the longevity and reliability of the pump. The Company evaluates the reserve quarterly and makes adjustments when appropriate. At June 30, 2015 and December 31, 2014, the warranty reserve was $3.0 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 June 30, 2015 (in thousands): Balance at December 31, 2014 $ 1,974 Provision for warranties issued during the period 3,145 Settlements made during the period (2,108 ) Balance at June 30, 2015 $ 3,011 Current portion $ 806 Non-current portion 2,205 Total $ 3,011 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 ESPP using a Black-Scholes option-pricing model on the date of grant. 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 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 Six Months Ended June 30, June 30, 2015 2014 2015 2014 Warrants for common stock 990,031 1,009,170 990,031 1,009,170 Common stock options 2,042,322 4,352,181 2,042,322 4,350,888 ESPP 16,470 18,251 8,280 9,176 3,048,823 5,379,602 3,040,633 5,369,234 Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) and the International Accounting Standards Board issued a comprehensive new revenue recognition standard that will supersede existing revenue guidance under U.S. GAAP and International Financial Reporting Standards. 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. This 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 July 9, 2015, the FASB approved a one-year deferral of the effective date of the standard to December 15, 2017 and early application is permitted, 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. In April 2015, the FASB issued guidance on the balance sheet presentation requirements for debt issuance costs. The guidance will require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The guidance is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption is permitted for financial statements that have not been previously issued. A company should apply the new guidance on a retrospective basis, wherein the balance sheet of each individual period presented should be adjusted to reflect the period-specific effects of applying the new guidance. Upon transition, a company is required to comply with the applicable disclosures for a change in an accounting principle. The guidance only affects the presentation of debt issuance costs in the balance sheet and has no impact on results of operations. We will apply ASU 2015-03 on January 1, 2016 and we do not expect that the application of the new standard will have any impact on our results of operations. Debt issuance costs included in other long-term assets in the accompanying financial statements were $0.4 million and $0.5 million at June 30, 2015 and December 31, 2014, respectively. |
Short-Term Investments
Short-Term Investments | 6 Months Ended |
Jun. 30, 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 June 30, 2015 and December 31, 2014 (in thousands): At June 30, 2015 Maturity (in years) Amortized Cost Unrealized Gain Unrealized Loss Estimated Fair Value Available-for-sale investment securities: Commercial paper Less than 1 $ 41,956 $ 37 $ — $ 41,993 Treasury securities Less than 1 2,084 — — 2,084 Government-sponsored enterprise securities Less than 1 7,579 2 (2 ) 7,579 $ 51,619 $ 39 $ (2 ) $ 51,656 Trading securities: Mutual funds held for nonqualified deferred compensation plan participants $ 165 $ 4 $ 169 Total $ 51,784 $ 43 $ (2 ) $ 51,825 At December 31, 2014 Maturity (in years) Amortized Cost Unrealized Gain Unrealized Loss Estimated 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 | 6 Months Ended |
Jun. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Inventory | 4. Inventory Inventories, stated at the lower of cost or market, consisted of the following (in thousands): June 30, December 31, 2015 2014 Raw materials $ 9,132 $ 7,085 Work in process 2,629 1,972 Finished goods 2,909 2,856 Total $ 14,670 $ 11,913 |
Foreign Exchange Rate Contracts
Foreign Exchange Rate Contracts | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Foreign Exchange Rate Contracts | 5. Foreign Exchange Rate Contracts In April 2015, the Company entered into two foreign exchange 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 the 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 exchange forward contracts are recorded to other income or expense on the Company’s statement of operations and comprehensive loss. The following table summarizes the notional amount of the foreign exchange forward contracts outstanding as of June 30, 2015 and December 31, 2014 (in thousands): June 30, December 31, 2015 2014 Foreign exchange contracts not designated as hedges $ 971 $ — The following table summarizes the fair value of derivative instruments included in Prepaid and other current assets in the accompanying Balance Sheets (in thousands): June 30, December 31, 2015 2014 Foreign exchange contracts not designated as hedges $ 17 $ — The following table summarizes the gain recognized in earnings for foreign currency forward contracts outstanding for the three and six months ended June 30, 2015 and 2014 (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Foreign exchange contracts not designated as hedges $ 17 $ — $ 17 $ — |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 6. 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 a 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 or 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 June 30, 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 June 30, 2015 (Level 1) (Level 2) (Level 3) Assets Cash equivalents (1) $ 41,486 $ 41,486 $ — $ — Commercial paper 41,993 — 41,993 — Mutual funds held for nonqualified deferred compensation plan participants (2) 169 169 — — Government-sponsored enterprise securities 7,579 — 7,579 — Treasury securities 2,084 2,084 — — Foreign exchange forward contracts not designated as hedges (3) 17 17 — Total assets $ 93,328 $ 43,739 $ 49,589 $ — Liabilities Deferred compensation (2) $ 169 $ 169 $ — $ — Total liabilities $ 169 $ 169 $ — $ — Fair Value Measurements at December 31, 2014 (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 . (3) The fair value of foreign exchange forward contracts not designated as hedges is determined using the forward exchange rates at the measurement date, with the resulting value discounted back to present values. 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 and six months ended June 30, 2015. |
Loan Agreements
Loan Agreements | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Loan Agreements | 7. Loan Agreements At June 30, 2015 and December 31, 2014, the Company had $30.0 million aggregate borrowings outstanding under the Amended and Restated Term Loan Agreement with Capital Royalty Partners (the “Amended and Restated Term Loan Agreement”). Under the agreement, interest is payable, at the Company’s option, (i) in cash at a rate of 11.5% per annum or (ii) at a rate of 9.5% of the 11.5% per annum in cash and 2.0% of the 11.5% per annum to be added to the principal of the loan and subject to accruing interest. The Company has elected to pay interest in cash at a rate of 11.5% per annum. 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, which ends on March 31, 2018. At December 31, 2014, the Company was also a party to a new Term Loan Agreement with Capital Royalty Partners (the “New Tranche Term Loan Agreement”), 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 amended and restated term 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 are be amortized over the remaining term of the Amended and Restated Term Loan Agreement using the effective interest method. The Company did not elect to borrow any amounts under the New Tranche Term Loan Agreement on or before March 31, 2015, and the Company’s ability to borrow any amounts under that agreement has now lapsed. The Capital Royalty 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 each year thereafter until the end of the term of the loan. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Stockholders' Equity | 8. 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 the Company’s common stock are reserved for future issuance at June 30, 2015: Shares underlying outstanding warrants 990,031 Shares underlying outstanding stock options 5,689,557 Shares authorized for future equity award grants 2,174,749 Shares authorized for issuance as ESPP awards 605,844 9,460,181 The Company issued 150,259 shares of its common stock upon the exercise of stock options and warrants during the six months ended June 30, 2015, and issued 477,741 shares of its common stock upon the exercise of stock options and warrants during the year ended December 31, 2014. In October 2013, the Company adopted the ESPP, which enables eligible employees 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. There were 251,390 Stock-Based Compensation The assumptions used in the Black-Scholes option-pricing model are as follows: Stock Option Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Weighted average grant date fair value (per share) $ 7.24 $ 11.58 $ 7.67 $ 16.38 Risk-free interest rate 1.7 % 1.9 % 1.7 % 1.9 % Expected dividend yield 0.0 % 0.0 % 0.0 % 0.0 % Expected volatility 66.1 % 78.6 % 67.4 % 78.7 % Expected term (in years) 6.1 6.1 6.1 6.1 ESPP Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Weighted average grant date fair value (per share) $ 4.98 $ 7.30 $ 4.98 $ 7.30 Risk-free interest rate 0.3 % 0.2 % 0.3 % 0.2 % Expected dividend yield 0.0 % 0.0 % 0.0 % 0.0 % Expected volatility 62.1 % 62.9 % 62.1 % 62.9 % Expected term (in years) 1.3 1.3 1.3 1.3 The following table summarizes the allocation of stock-based compensation expense (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Cost of sales $ 307 $ 263 $ 631 $ 626 Selling, general and administrative 2,602 2,816 5,580 5,819 Research and development 351 452 822 857 Total $ 3,260 $ 3,531 $ 7,033 $ 7,302 The total stock-based compensation capitalized as part of the cost of inventory was $0.2 million and $0.2 million at June 30, 2015 and December 31, 2014, respectively. |
Collaborations
Collaborations | 6 Months Ended |
Jun. 30, 2015 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Collaborations | 9. 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, Upon commercialization of the integrated system, and as compensation for the non-exclusive license rights, the Company will 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 with the Juvenile Diabetes Research Foundation (JDRF Agreement) 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 that 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 June 30, 2015, and in light of the Company’s assessment of technical and regulatory challenges, the Company is unable to estimate the completion date of the project. Therefore, further amortization of the liabilities will cease until such date can be determined. As of June 30, 2015, milestone payment achievements totaled $0.7 million, and research and development costs were offset cumulatively by $0.5 million. The research and development costs were offset by $37,000 and $74,000 for the three and six months ended June 30, 2015, respectively, and $46,000 and $0.1 million for the three and six months ended June 30, 2014, respectively. The Company did not have any restricted cash balances related to the JDRF Agreement at June 30, 2015 or December 31, 2014. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10. Commitments and Contingencies From time to time, the Company may be subject to legal proceedings, 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. The Company assesses the probability and range of possible loss based on the developments in these matters on a regular basis. A liability is recorded in the financial statements if the Company believes it is 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 outcomes, and, with respect to any pending litigation or claim where no liability has been accrued |
Organization and Basis of Pre16
Organization and Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 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 commenced 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 pursuant to 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 but excludes disclosures required by GAAP for complete financial statements. |
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 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 informed 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 June 30, 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 Agreement (see Note 7 “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 and foreign exchange forward contracts that are not designated as hedges |
Revenue Recognition | Revenue Recognition Revenue is generated from sales, in the United States, of the t:slim insulin pump and t:flex insulin pump (collectively, “Tandem Pumps”), 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 to customers upon purchase of the Tandem Pump. This service is deemed an undelivered element at the time of the Tandem Pump 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 the estimated cost to provide such services, including consideration for a reasonable profit margin, which is then 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 June 30, 2015 and December 31, 2014, $0.8 million and $0.7 million was recorded as deferred revenue for the t:connect hosting service, respectively. 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 to its customers from the date of shipment of a Tandem Pump, provided a physician’s confirmation of the medical reason for the return is received. Estimated allowances for sales returns are based on historical returned quantities as compared to 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 June 30, 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 a Tandem 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 disposable 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 relating to the longevity and reliability of the pump. The Company evaluates the reserve quarterly and makes adjustments when appropriate. At June 30, 2015 and December 31, 2014, the warranty reserve was $3.0 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 June 30, 2015 (in thousands): Balance at December 31, 2014 $ 1,974 Provision for warranties issued during the period 3,145 Settlements made during the period (2,108 ) Balance at June 30, 2015 $ 3,011 Current portion $ 806 Non-current portion 2,205 Total $ 3,011 |
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 ESPP using a Black-Scholes option-pricing model on the date of grant. 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 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 Six Months Ended June 30, June 30, 2015 2014 2015 2014 Warrants for common stock 990,031 1,009,170 990,031 1,009,170 Common stock options 2,042,322 4,352,181 2,042,322 4,350,888 ESPP 16,470 18,251 8,280 9,176 3,048,823 5,379,602 3,040,633 5,369,234 |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) and the International Accounting Standards Board issued a comprehensive new revenue recognition standard that will supersede existing revenue guidance under U.S. GAAP and International Financial Reporting Standards. 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. This 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 July 9, 2015, the FASB approved a one-year deferral of the effective date of the standard to December 15, 2017 and early application is permitted, 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. In April 2015, the FASB issued guidance on the balance sheet presentation requirements for debt issuance costs. The guidance will require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The guidance is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption is permitted for financial statements that have not been previously issued. A company should apply the new guidance on a retrospective basis, wherein the balance sheet of each individual period presented should be adjusted to reflect the period-specific effects of applying the new guidance. Upon transition, a company is required to comply with the applicable disclosures for a change in an accounting principle. The guidance only affects the presentation of debt issuance costs in the balance sheet and has no impact on results of operations. We will apply ASU 2015-03 on January 1, 2016 and we do not expect that the application of the new standard will have any impact on our results of operations. Debt issuance costs included in other long-term assets in the accompanying financial statements were $0.4 million and $0.5 million at June 30, 2015 and December 31, 2014, respectively. |
Summary of Significant Accoun17
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 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 June 30, 2015 (in thousands): Balance at December 31, 2014 $ 1,974 Provision for warranties issued during the period 3,145 Settlements made during the period (2,108 ) Balance at June 30, 2015 $ 3,011 Current portion $ 806 Non-current portion 2,205 Total $ 3,011 |
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 Six Months Ended June 30, June 30, 2015 2014 2015 2014 Warrants for common stock 990,031 1,009,170 990,031 1,009,170 Common stock options 2,042,322 4,352,181 2,042,322 4,350,888 ESPP 16,470 18,251 8,280 9,176 3,048,823 5,379,602 3,040,633 5,369,234 |
Short-Term Investments (Tables)
Short-Term Investments (Tables) | 6 Months Ended |
Jun. 30, 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 June 30, 2015 and December 31, 2014 (in thousands): At June 30, 2015 Maturity (in years) Amortized Cost Unrealized Gain Unrealized Loss Estimated Fair Value Available-for-sale investment securities: Commercial paper Less than 1 $ 41,956 $ 37 $ — $ 41,993 Treasury securities Less than 1 2,084 — — 2,084 Government-sponsored enterprise securities Less than 1 7,579 2 (2 ) 7,579 $ 51,619 $ 39 $ (2 ) $ 51,656 Trading securities: Mutual funds held for nonqualified deferred compensation plan participants $ 165 $ 4 $ 169 Total $ 51,784 $ 43 $ (2 ) $ 51,825 At December 31, 2014 Maturity (in years) Amortized Cost Unrealized Gain Unrealized Loss Estimated 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) | 6 Months Ended |
Jun. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Summary of Inventory | Inventories, stated at the lower of cost or market, consisted of the following (in thousands): June 30, December 31, 2015 2014 Raw materials $ 9,132 $ 7,085 Work in process 2,629 1,972 Finished goods 2,909 2,856 Total $ 14,670 $ 11,913 |
Foreign Exchange Rate Contrac20
Foreign Exchange Rate Contracts (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Summary of Notional Amount of Foreign Exchange Forward Contracts Outstanding | The following table summarizes the notional amount of the foreign exchange forward contracts outstanding as of June 30, 2015 and December 31, 2014 (in thousands): June 30, December 31, 2015 2014 Foreign exchange contracts not designated as hedges $ 971 $ — |
Summary of Fair Value of Derivative Instruments Included In Prepaid and Other Current Assets In Accompanying Balance Sheets | The following table summarizes the fair value of derivative instruments included in Prepaid and other current assets in the accompanying Balance Sheets (in thousands): June 30, December 31, 2015 2014 Foreign exchange contracts not designated as hedges $ 17 $ — |
Summary of Gain Recognized in Earnings For Foreign Currency Forward Contracts Outstanding | The following table summarizes the gain recognized in earnings for foreign currency forward contracts outstanding for the three and six months ended June 30, 2015 and 2014 (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Foreign exchange contracts not designated as hedges $ 17 $ — $ 17 $ — |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 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 June 30, 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 June 30, 2015 (Level 1) (Level 2) (Level 3) Assets Cash equivalents (1) $ 41,486 $ 41,486 $ — $ — Commercial paper 41,993 — 41,993 — Mutual funds held for nonqualified deferred compensation plan participants (2) 169 169 — — Government-sponsored enterprise securities 7,579 — 7,579 — Treasury securities 2,084 2,084 — — Foreign exchange forward contracts not designated as hedges (3) 17 17 — Total assets $ 93,328 $ 43,739 $ 49,589 $ — Liabilities Deferred compensation (2) $ 169 $ 169 $ — $ — Total liabilities $ 169 $ 169 $ — $ — Fair Value Measurements at December 31, 2014 (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 . (3) The fair value of foreign exchange forward contracts not designated as hedges is determined using the forward exchange rates at the measurement date, with the resulting value discounted back to present values. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Schedule of Shares of Common Stock Reserved for Future Issuance | The following shares of the Company’s common stock are reserved for future issuance at June 30, 2015: Shares underlying outstanding warrants 990,031 Shares underlying outstanding stock options 5,689,557 Shares authorized for future equity award grants 2,174,749 Shares authorized for issuance as ESPP awards 605,844 9,460,181 |
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 Six Months Ended June 30, June 30, 2015 2014 2015 2014 Weighted average grant date fair value (per share) $ 7.24 $ 11.58 $ 7.67 $ 16.38 Risk-free interest rate 1.7 % 1.9 % 1.7 % 1.9 % Expected dividend yield 0.0 % 0.0 % 0.0 % 0.0 % Expected volatility 66.1 % 78.6 % 67.4 % 78.7 % Expected term (in years) 6.1 6.1 6.1 6.1 ESPP Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Weighted average grant date fair value (per share) $ 4.98 $ 7.30 $ 4.98 $ 7.30 Risk-free interest rate 0.3 % 0.2 % 0.3 % 0.2 % Expected dividend yield 0.0 % 0.0 % 0.0 % 0.0 % Expected volatility 62.1 % 62.9 % 62.1 % 62.9 % Expected term (in years) 1.3 1.3 1.3 1.3 |
Summary for Allocation of Stock-Based Compensation Expense | The following table summarizes the allocation of stock-based compensation expense (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Cost of sales $ 307 $ 263 $ 631 $ 626 Selling, general and administrative 2,602 2,816 5,580 5,819 Research and development 351 452 822 857 Total $ 3,260 $ 3,531 $ 7,033 $ 7,302 |
Organization and Basis of Pre23
Organization and Basis of Presentation - Additional Information (Detail) - USD ($) $ in Thousands | Jan. 10, 2014 | Dec. 31, 2013 | Jun. 30, 2015 | Jun. 30, 2014 |
Organization And Basis Of Presentation [Line Items] | ||||
Incorporation date | Jan. 27, 2006 | |||
Reincorporation date | Jan. 7, 2008 | |||
Direct costs associated with the recall | $ 1,700 | |||
Return and replacement of affected cartridges | 700 | |||
Provision for inventory reserve | $ 1,000 | $ 101 | $ 163 | |
Cost of sales [Member] | ||||
Organization And Basis Of Presentation [Line Items] | ||||
Direct costs associated with the recall | $ 1,300 |
Summary of Significant Accoun24
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Dec. 31, 2014 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Restricted cash | $ 2,000 | $ 2,000 |
Receivables considered as uncollectible, maximum past due days | 120 days | |
Deferred revenue | $ 800 | 700 |
Revenue recognition hosting period | 4 years | |
Offered period for sales return | 30 days | |
Allowance for product returns | $ 200 | 300 |
Warranty reserve | 3,011 | 1,974 |
Debt issuance cost | $ 400 | 500 |
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 | $ 3,000 | 2,000 |
Tandem 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 | $ 2,000 |
Summary of Significant Accoun25
Summary of Significant Accounting Policies - Summary of Reconciliation of Change in Product Warranty Liabilities (Detail) - Jun. 30, 2015 - USD ($) $ in Thousands | Total |
Movement In Standard And Extended Product Warranty Increase Decrease Roll Forward | |
Beginning balance | $ 1,974 |
Provision for warranties issued during the period | 3,145 |
Settlements made during the period | (2,108) |
Ending balance | 3,011 |
Current portion | 806 |
Non-current portion | $ 2,205 |
Summary of Significant Accoun26
Summary of Significant Accounting Policies - Schedule of Anti-Dilutive Securities (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share, amount | 3,048,823 | 5,379,602 | 3,040,633 | 5,369,234 |
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 | 1,009,170 | 990,031 | 1,009,170 |
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 | 2,042,322 | 4,352,181 | 2,042,322 | 4,350,888 |
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 | 16,470 | 18,251 | 8,280 | 9,176 |
Short-Term Investments - Summar
Short-Term Investments - Summary of Estimated Fair Value of Short-Term Investments (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | $ 51,619 | $ 36,040 |
Short-term investments, Unrealized Gain | 39 | 9 |
Short-term investments, Unrealized Loss | (2) | (1) |
Short-term investments, Estimated Fair Value | 51,656 | 36,048 |
Short-term investments, Amortized Cost | 51,784 | 36,096 |
Short-term investments, Unrealized Gain | 43 | 11 |
Short-term investments, Unrealized Loss | (2) | (1) |
Short-term investments, Estimated Fair Value | 51,825 | 36,106 |
Commercial paper [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | 41,956 | 32,536 |
Short-term investments, Unrealized Gain | 37 | 9 |
Short-term investments, Estimated Fair Value | $ 41,993 | $ 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 |
Treasury securities [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | $ 2,084 | |
Short-term investments, Estimated Fair Value | $ 2,084 | |
Treasury securities [Member] | Maximum [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Maturity (in years) | 1 year | |
Government-sponsored enterprise securities [Member] | ||
Cash Cash Equivalents And Short Term Investments [Line Items] | ||
Short-term investments, Amortized Cost | $ 7,579 | $ 3,504 |
Short-term investments, Unrealized Gain | 2 | |
Short-term investments, Unrealized Loss | (2) | (1) |
Short-term investments, Estimated Fair Value | $ 7,579 | $ 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 | $ 165 | $ 56 |
Short-term investments, Unrealized Gain | 4 | 2 |
Short-term investments, Estimated Fair Value | $ 169 | $ 58 |
Inventory - Summary of Inventor
Inventory - Summary of Inventory (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 9,132 | $ 7,085 |
Work in process | 2,629 | 1,972 |
Finished goods | 2,909 | 2,856 |
Total | $ 14,670 | $ 11,913 |
Foreign Exchange Rate Contrac29
Foreign Exchange Rate Contracts - Additional Information (Detail) - Apr. 30, 2015 $ in Millions | USD ($)Contracts |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Number of foreign currency forward contracts | 2 |
Notional amounts of foreign currency forward contracts cash flow liabilities | $ | $ 1 |
Foreign exchange forward contracts expiring date | Dec. 31, 2015 |
Foreign Exchange Rate Contrac30
Foreign Exchange Rate Contracts - Summary of Notional Amount of Foreign Exchange Forward Contracts Outstanding (Detail) $ in Thousands | Jun. 30, 2015USD ($) |
Foreign exchange contracts [Member] | Not designated as hedges [Member] | |
Derivative [Line Items] | |
Notional amount of foreign currency forward contracts outstanding | $ 971 |
Foreign Exchange Rate Contrac31
Foreign Exchange Rate Contracts - Summary of Fair Value of Derivative Instruments Included In Prepaid and Other Current Assets In Accompanying Balance Sheets (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Derivative [Line Items] | ||
Foreign exchange contracts not designated as hedges | $ 93,328 | $ 66,156 |
Foreign exchange contracts [Member] | Not designated as hedges [Member] | ||
Derivative [Line Items] | ||
Foreign exchange contracts not designated as hedges | 17 | |
Foreign exchange contracts [Member] | Not designated as hedges [Member] | Prepaid and other current assets [Member] | ||
Derivative [Line Items] | ||
Foreign exchange contracts not designated as hedges | $ 17 |
Foreign Exchange Rate Contrac32
Foreign Exchange Rate Contracts - Summary of Gain Recognized in Earnings For Foreign Currency Forward Contracts Outstanding (Detail) - Jun. 30, 2015 - USD ($) $ in Thousands | Total | Total |
Foreign exchange contracts [Member] | Not designated as hedges [Member] | ||
Derivative [Line Items] | ||
Gain recognized in earnings for foreign currency forward contracts outstanding | $ 17 | $ 17 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | $ 93,328 | $ 66,156 |
Total liabilities | 169 | 58 |
Foreign exchange contracts [Member] | Not designated as hedges [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 17 | |
Cash equivalents [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 41,486 | 30,050 |
Commercial paper [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 41,993 | 32,545 |
Mutual funds held for nonqualified deferred compensation plan participants [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 169 | 58 |
Government-sponsored enterprise securities [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 7,579 | 3,503 |
Treasury securities [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 2,084 | |
Deferred compensation [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total liabilities | 169 | 58 |
Level 1 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 43,739 | 30,108 |
Total liabilities | 169 | 58 |
Level 1 [Member] | Cash equivalents [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 41,486 | 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 | 169 | 58 |
Level 1 [Member] | Treasury securities [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 2,084 | |
Level 1 [Member] | Deferred compensation [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total liabilities | 169 | 58 |
Level 2 [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 49,589 | 36,048 |
Level 2 [Member] | Foreign exchange contracts [Member] | Not designated as hedges [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 17 | |
Level 2 [Member] | Commercial paper [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | 41,993 | 32,545 |
Level 2 [Member] | Government-sponsored enterprise securities [Member] | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Total assets | $ 7,579 | $ 3,503 |
Fair Value Measurements - Sch34
Fair Value Measurements - Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) | 6 Months Ended |
Jun. 30, 2015 | |
Maximum [Member] | |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | |
Cash equivalents maturity term | 3 months |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | Jun. 30, 2015USD ($) |
Fair Value Disclosures [Abstract] | |
Transfer between level 1 and level 2 securities | $ 0 |
Loan Agreements - Additional In
Loan Agreements - Additional Information (Detail) - USD ($) | 6 Months Ended | ||
Jun. 30, 2015 | Feb. 28, 2015 | Dec. 31, 2014 | |
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 | ||
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) at a rate of 9.5% of the 11.5% per annum in cash and 2.0% of the 11.5% per annum to be added to the principal of the loan and subject to accruing interest. The Company has elected to pay interest in cash at a rate of 11.5% per annum. 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, which ends on March 31, 2018. | ||
New Tranche Term Loan Agreement [Member] | |||
Debt Instrument [Line Items] | |||
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 amended and restated term loan, which is March 31, 2020. | ||
Available revolving line of credit | $ 30,000,000 | ||
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 | ||
Present value of the future cash flows | 10.00% |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Mar. 31, 2015USD ($)$ / sharesshares | Jun. 30, 2015USD ($)Periodshares | Dec. 31, 2014USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Proceeds from public offering, net of offering costs | $ | $ 64,900 | $ 64,862 | |
Stock-based compensation cost | $ | $ 200 | $ 200 | |
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock shares issued | 150,259 | 477,741 | |
ESPP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Purchase of common stock under ESPP | 164,569 | 251,390 | |
Purchase of common stock offering period | 2 years | ||
Number of stock purchase plan offering periods | Period | 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 | $ / shares | $ 11.50 |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Shares of Common Stock Reserved for Future Issuance (Detail) | Jun. 30, 2015shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 9,460,181 |
Warrants for common stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 990,031 |
Shares underlying outstanding stock options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 5,689,557 |
Shares authorized for future equity award grants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 2,174,749 |
Shares authorized for issuance as ESPP awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock reserved for future issuance | 605,844 |
Stockholders' Equity - Schedu39
Stockholders' Equity - Schedule of Assumptions Used in Black-Scholes Option-Pricing Model (Detail) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted average grant date fair value (per share) | $ 7.24 | $ 11.58 | $ 7.67 | $ 16.38 |
Risk-free interest rate | 1.70% | 1.90% | 1.70% | 1.90% |
Expected dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
Expected volatility | 66.10% | 78.60% | 67.40% | 78.70% |
Expected term (in years) | 6 years 1 month 6 days | 6 years 1 month 6 days | 6 years 1 month 6 days | 6 years 1 month 6 days |
ESPP [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted average grant date fair value (per share) | $ 4.98 | $ 7.30 | $ 4.98 | $ 7.30 |
Risk-free interest rate | 0.30% | 0.20% | 0.30% | 0.20% |
Expected dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
Expected volatility | 62.10% | 62.90% | 62.10% | 62.90% |
Expected term (in years) | 1 year 3 months 18 days | 1 year 3 months 18 days | 1 year 3 months 18 days | 1 year 3 months 18 days |
Stockholders' Equity - Summary
Stockholders' Equity - Summary for Allocation of Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation cost | $ 3,260 | $ 3,531 | $ 7,033 | $ 7,302 |
Cost of sales [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation cost | 307 | 263 | 631 | 626 |
Selling, general and administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation cost | 2,602 | 2,816 | 5,580 | 5,819 |
Research and development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation cost | $ 351 | $ 452 | $ 822 | $ 857 |
Collaborations - Additional Inf
Collaborations - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2015USD ($)Milestone$ / IntegratedSystem | Jun. 30, 2014USD ($) | Jun. 30, 2015USD ($)Milestone$ / IntegratedSystem | Jun. 30, 2014USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2012USD ($) | Sep. 30, 2016USD ($) | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||
Restricted cash | $ 2,000,000 | $ 2,000,000 | $ 2,000,000 | ||||
DexCom Agreement [Member] | |||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||
Number of additional milestone payments | Milestone | 1 | 1 | |||||
Additional payment upon achievement of milestones | $ 1,000,000 | $ 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 | $ / IntegratedSystem | 100 | 100 | |||||
JDRF Agreement [Member] | |||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||
Research and development offset cumulative amount | $ 500,000 | $ 500,000 | |||||
Aggregate amount of milestone payment achievements | 700,000 | ||||||
Research and development offset amount | 37,000 | $ 46,000 | 74,000 | $ 100,000 | |||
Restricted cash | $ 0 | $ 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) - LegalProceeding | Jun. 30, 2015 | Dec. 31, 2014 |
Commitments And Contingencies Disclosure [Abstract] | ||
Regulatory proceedings | 0 | 0 |