Timber Pharmaceuticals (TMBR) 10-Q 14 Jun 16 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Apr. 30, 2016	May 31, 2016
Document And Entity Information
Entity Registrant Name	BioPharmX Corp
Entity Central Index Key	1,504,167
Document Type	10-Q
Document Period End Date	Apr. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--01-31
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		28,863,017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Current assets:
Cash and cash equivalents	$ 4,038	$ 4,039
Accounts receivable, net	6	7
Inventories	76	100
Prepaid expenses and other current assets	310	285
Total current assets	4,430	4,431
Property and equipment, net	205	216
Intangible assets, net	112	119
Other assets	50	50
Restricted cash	10	35
Total assets	4,807	4,851
Current liabilities:
Accounts payable	2,394	1,777
Accrued expenses and other current liabilities	694	795
Related party payables	252	225
Total current liabilities	$ 3,340	$ 2,797
Commitments and contingencies (Note 6)
Stockholders' equity:
Common stock, $0.001 par value; 90,000,000 shares authorized; 28,863,017 and 25,208,684 shares issued and outstanding as of April 30, 2016 and January 31, 2016, respectively	$ 29	$ 25
Additional paid-in capital	32,131	28,261
Accumulated deficit	(30,693)	(26,232)
Total stockholders' equity	1,467	2,054
Total liabilities, convertible redeemable preferred stock and stockholders' equity	$ 4,807	$ 4,851
Series A Convertible Redeemable Preferred Stock
Current liabilities:
Series A convertible redeemable preferred stock, $0.001 par value; 10,000,000 shares authorized; none outstanding

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (unaudited) (Parenthetical) - $ / shares	Apr. 30, 2016	Jan. 31, 2016
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	90,000,000	90,000,000
Common stock, issued	28,863,017	25,208,684
Common stock, shares outstanding	28,863,017	25,208,684
Series A Convertible Redeemable Preferred Stock
Par value (in dollars per share)	$ 0.001	$ 0.001
Shares authorized	10,000,000	10,000,000
Shares outstanding	0	0

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Condensed Consolidated Statements of Operations and Comprehensive Loss (unaudited)
Revenues, net	$ 33	$ 4
Cost of goods sold	20	9
Gross margin (deficit)	13	(5)
Operating expenses:
Research and development	2,173	1,076
Sales and marketing	1,107	1,081
General and administrative	1,193	1,026
Total operating expenses	4,473	3,183
Loss from operations	(4,460)	(3,188)
Other income (expense), net	1	(436)
Loss before income taxes	(4,459)	(3,624)
Provision for income taxes	2
Net and comprehensive loss	(4,461)	(3,624)
Accretion on Series A convertible redeemable preferred stock		(123)
Deemed dividend on Series A convertible redeemable preferred stock		(116)
Net loss available to common stockholders	$ (4,461)	$ (3,863)
Basic and diluted net loss available to common stockholders per share	$ (0.17)	$ (0.33)
Shares used in computing basic and diluted net loss per share	26,202,000	11,741,000

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Cash flows from operating activities:
Net loss	$ (4,461)	$ (3,624)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation expense	273	300
Expense related to modification of warrants		436
Depreciation expense	16	8
Amortization expense	7	7
Changes in assets and liabilities:
Accounts receivable	1	(5)
Inventories	24	(55)
Prepaid expenses and other assets	(25)	(896)
Accounts payable	617	1,092
Accrued expenses and other liabilities	(101)	432
Related party payables	27	56
Net cash used in operating activities	(3,622)	(2,249)
Cash flows from investing activities:
Change in restricted cash	25
Purchases of property and equipment	(5)
Net cash provided by investing activities	20
Cash flows from financing activities:
Proceeds from the issuance of common stock and warrants, net of issuance costs	3,583
Proceeds from exercises of stock options	18	11
Proceeds from exercise of common stock warrants		1,412
Net cash provided by financing activities	3,601	1,423
Net decrease in cash and cash equivalents	(1)	(826)
Cash and cash equivalents at beginning of period	4,039	1,305
Cash and cash equivalents at end of period	$ 4,038	$ 479

DESCRIPTION OF BUSINESS AND SUM

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Apr. 30, 2016
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	1. DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Description of Business BioPharmX Corporation (the “Company”) is incorporated under the laws of the state of Delaware and originally incorporated on August 30, 2010 in Nevada under the name Thompson Designs, Inc. The Company has one wholly-owned subsidiary, BioPharmX, Inc., a Nevada corporation. The Company is a specialty pharmaceutical company focused on utilizing its proprietary drug delivery technologies to develop and commercialize novel prescription and over-the-counter, or OTC, products that address large markets in women’s health and dermatology. The Company’s objective is to develop products that treat health or age-related conditions that (1) are not presently being addressed or treated or (2) are currently treated with drug therapies or drug delivery approaches that are suboptimal. The Company’s strategy is designed to bring new products to market by identifying optimal delivery mechanisms and/or alternative applications for FDA-approved active pharmaceutical ingredients, or APIs, and biological materials, while in appropriate circumstances, reducing the time, cost and risk typically associated with new product development by repurposing drugs with demonstrated safety profiles and taking advantage of the regulatory approval pathway under Section 505(b)(2) of the Federal Food, Drug and Cosmetic Act available for repurposed/reformulated drugs. The Company believes the 505(b)(2) regulatory pathway may reduce drug development risk and could reduce the time and resources it spends during development. Since the Company’s inception, substantially all of the Company’s efforts have been devoted to developing its product candidates, including conducting preclinical and clinical trials, and providing general and administrative support for its operations. The Company commercially launched its breast health supplement at the end of 2014, although to-date the Company has not generated significant revenue from product sales. The Company is not dependent on sales to any one customer. The Company has financed its operations primarily through the sale of equity and convertible debt securities. In June 2015, the Company raised $7.8 million through the sale of its common stock in a public offering and concurrently completed an uplisting to the NYSE MKT. In December 2015 the Company raised net proceeds of $5.5 million in a private offering of its common stock and, in April 2016, it raised net proceeds of approximately $3.6 million from an issuance of common stock and warrants to purchase common stock in a public offering. Basis of Presentation and Principles of Consolidation These unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting and include the accounts of the Company and its subsidiary. Certain information and note disclosures normally included in the consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended January 31, 2016, filed on May 2, 2016. The condensed consolidated balance sheet as of January 31, 2016, included herein, was derived from the audited consolidated financial statements as of that date. The unaudited interim condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary and have been prepared on the same basis as the audited consolidated financial statements and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair presentation of the Company’s statement of financial position as of April 30, 2016 and January 31, 2016, and the Company’s results of operations and its cash flows for the three months ended April 30, 2016 and 2015. The results for the three months ended April 30, 2016 are not necessarily indicative of the results to be expected for the year ending January 31, 2017 or any future period. Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses recognized during the reported period. Actual results could differ from those estimates. Inventories Inventories are stated at the lower of cost or market. Cost is determined using the standard cost method which approximates actual cost on a first-in, first-out basis. Market value is determined as the lower of replacement cost or net realizable value. The Company regularly reviews inventory quantities in consideration of actual loss experiences, projected future demand and remaining shelf life to record a provision for excess and obsolete inventory when appropriate. Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset might not be recoverable. When such an event occurs, management determines whether there has been an impairment by comparing the anticipated undiscounted future net cash flows to the related asset’s carrying value. If an asset is considered impaired, the asset is written down to fair value, which is determined based either on discounted cash flows or appraised value, depending on the nature of the asset. The Company has not identified any such impairment losses to date. Advertising Expenses The Company expenses the costs of advertising, including promotional expenses, as incurred. Advertising expenses were $219,000 and $235,000 for the three months ended April 30, 2016 and 2015, respectively. Net Loss per Share Basic net loss per share attributable to common stockholders is calculated based on the weighted-average number of shares of the Company’s common stock outstanding during the period. The weighted average shares outstanding excludes 193,333 of unvested common stock. Diluted net loss per share attributable to common stockholders is calculated based on the weighted-average number of shares of the Company’s common stock outstanding and other dilutive securities outstanding during the period. The potential dilutive shares of common stock resulting from the assumed exercise of outstanding stock options, warrants and the assumed conversion of preferred stock are determined under the treasury stock method. For the three months ended April 30, 2016 and 2015, 7,744,000 and 9,282,000 potentially dilutive securities, respectively, were excluded from the computation of diluted loss per share because their effect on net loss per share would be anti-dilutive. Summary of Significant Accounting Policies These unaudited interim condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual financial statements and notes thereto contained in the Annual Report on Form 10-K for the fiscal year ended January 31, 2016. There have been no significant changes in the Company’s significant accounting policies for the three months ended April 30, 2016, as compared to the significant accounting policies described in the Annual Report on Form 10-K for the fiscal year ended January 31, 2016. Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2016-02, Leases, which requires entities to recognize assets and liabilities for leases with lease terms greater than twelve months. The new guidance also requires quantitative and qualitative disclosures regarding the amount, timing and uncertainty of cash flows arising from leases. The standard is effective for annual and interim periods beginning after December 15, 2018, with early adoption permitted upon issuance. The Company is in the process of evaluating the impact of adoption on our consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, Compensation — Stock Compensation: Improvements to Employee Share-Based Payment Accounting , which relates to the accounting for employee share-based payments. This standard provides guidance on simplifying several aspects of the accounting for employee share-based payment transactions, including the income tax consequences, accounting for forfeitures and classification of excess tax benefits on the statement of cash flows. This standard will be effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. The Company is in the process of evaluating the impact of adoption on our consolidated financial statements.

GOING CONCERN

GOING CONCERN	3 Months Ended
	Apr. 30, 2016
GOING CONCERN
GOING CONCERN	2. GOING CONCERN The accompanying condensed consolidated financial statements have been prepared assuming the Company will continue as a going concern. The Company has a limited operating history and its prospects are subject to risks, expenses and uncertainties frequently encountered by companies in its industry. The Company’s ability to generate income in the short-run will depend greatly on the rate of adoption and ability to establish a sustainable market for VI 2 OLET, its iodine dietary supplement. The Company continues its research and development efforts for its products, which will require significant funding. If revenues fall short of expectations or research and development efforts require higher than anticipated capital, there may be a negative impact on the financial viability of the Company. The Company has incurred recurring losses and negative cash flows from operations since inception and has funded its operating losses through the sale of common stock in public and private offerings and the issuance of convertible notes, Series A convertible redeemable preferred stock and warrants. In June 2015, the Company raised net proceeds of $7.8 million in a public offering of its common stock. In December 2015, the Company raised net proceeds of $5.5 million in a private offering of its common stock and, in April 2016, raised net proceeds of approximately $3.6 million in a public offering of its common stock and warrants to purchase its common stock. The Company plans to increase working capital by managing its cash flows and expenses, securing financing and increasing revenue. The Company continues to pursue additional channel distribution expansion for VI 2 OLET to provide broader access to consumers. Risks include, but are not limited to, the uncertainty of availability of additional financing and the uncertainty of achieving future profitability. Management of the Company intends to raise additional funds through the issuance of equity securities. The Company has an effective shelf registration statement on file with the SEC to allow it to sell up to approximately $100 million of its securities from time to time prior to February 2019, subject to regulatory limitations. For example, pursuant to General Instruction I.B.6 of Form S-3, in no event will the Company sell securities pursuant to the shelf registration statement with a value of more than one-third of the aggregate market value of its common stock held by non-affiliates in any 12-month period, so long as the aggregate market value of its common stock held by non-affiliates is less than $75.0 million. There can be no assurance that such financing will be available or on terms which are favorable to the Company. Failure to generate sufficient cash flows from operations, raise additional capital or reduce certain discretionary spending could have a material adverse effect on the Company’s ability to achieve its intended business objectives. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The condensed consolidated financial statements do not contain any adjustments that might result from the resolution of any of the above uncertainties. The Company incurred a net loss available to common stockholders of $4.5 million and $3.6 million during the three months ended April 30, 2016 and 2015, respectively, and had an accumulated deficit of $30.7 million as of April 30, 2016. As of April 30, 2016, the Company had working capital of approximately $1.1 million. While management of the Company believes that it has a plan to fund ongoing operations, there is no assurance that its plan will be successfully implemented.

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
	Apr. 30, 2016
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	3. FAIR VALUE MEASUREMENTS The Company recognizes and discloses the fair value of its assets and liabilities using a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). Each level of input has different levels of subjectivity and difficulty involved in determining fair value.  Level 1—Inputs used to measure fair value are unadjusted quoted prices that are available in active markets for the identical assets or liabilities as of the reporting date.  Level 2— Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability.  Level 3— Unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. As of April 30, 2016, the Company held $4.0 million in money market funds, which are classified as Level 1 within the fair value hierarchy. No unrealized gains or losses are recorded in connection with these amounts.

BALANCE SHEET DETAILS

BALANCE SHEET DETAILS	3 Months Ended
	Apr. 30, 2016
BALANCE SHEET DETAILS
BALANCE SHEET DETAILS	4. BALANCE SHEET DETAILS April 30, January 31, 2016 2016 (in thousands) Inventories: Work in process $ $ Finished goods Channel inventory Total $ $

RELATED PARTY PAYABLES

RELATED PARTY PAYABLES	3 Months Ended
	Apr. 30, 2016
RELATED PARTY PAYABLES
RELATED PARTY PAYABLES	5. RELATED PARTY PAYABLES Since the beginning of 2014, a portion of the compensation of the founding executives of the Company has been deferred and is included in the related party payables balance. The deferred compensation is non-interest bearing and has periodically been repaid to these executives. Related party payables as of April 30, 2016 and January 31, 2016 were $252,000 and $225,000, respectively.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Apr. 30, 2016
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	6. COMMITMENTS AND CONTINGENCIES Commitments The following table summarizes the Company’s commitments as of April 30, 2016 (in thousands): Total 2017 2018 2019 2020 2021 Operating lease $ $ $ — $ — $ — $ — Purchase commitment Total $ $ $ $ $ $ On August 23, 2013, the Company signed a lease for 10,800 square feet of office and laboratory space in Menlo Park, California. The lease expires in November 2016. Rent expense for the three months ended April 30, 2016 and 2015 was $86,000 and $78,000, respectively. The purchase commitment relates to the manufacturing of VI 2 OLET and is non-cancelable. Legal Proceedings The Company is not currently a party to any legal proceedings. The Company is not aware of any pending legal proceeding to which any of its officers, directors, or any beneficial holders of 5% or more of its voting securities are adverse to the Company or have a material interest adverse to the Company. Indemnification The Company enters into standard indemnification arrangements in the ordinary course of business. Pursuant to these arrangements, the Company indemnifies, holds harmless, and agrees to reimburse the indemnified parties for losses suffered or incurred by the indemnified party, in connection with any trade secret, copyright, patent or other intellectual property infringement claim by any third-party with respect to the Company’s technology. The term of these indemnification agreements is generally perpetual. The maximum potential amount of future payments the Company could be required to make under these agreements is not determinable because it involves claims that may be made against the Company in the future, but have not yet been made. The Company has entered into indemnification agreements with its directors and officers that may require the Company to indemnify its directors and officers against liabilities that may arise by reason of their status or service as directors or officers, other than liabilities arising from willful misconduct of the individual. The Company has not incurred costs to defend lawsuits or settle claims related to these indemnification agreements. No liability associated with such indemnifications has been recorded to date. License Agreement In March 2013, the Company entered into an amended and restated collaboration and license agreement with Iogen LLC, which provides the Company with a license to certain rights to label, market, and resell the finished inventory and ongoing manufacturing of the Iogen molecular iodine technology for future product formulation development and commercialization. New formulation patents developed by the Company will be solely owned by the Company. The agreement gives the Company a perpetual, fully paid-up, exclusive license to make, have made, use, sell and offer for sale and import products. Pursuant to the terms of the license, the Company must:  Pay a fee for the exclusive license to the IP.  Pay 30% of net profit associated with direct commercialization of an OTC product or 30% of net royalties received from any sub-licensee.  Pay a royalty of 3% of net sales for the first 24 months of commercialization and 2% of net sales thereafter for a prescription iodine tablet developed and commercialized under the license.  Pay a royalty of 3% of net sales for the first 12 months of commercialization for other products developed and commercialized under the license and 2% of net sales thereafter until expiration of applicable patents covering such products and 1% thereafter.  Pay a fixed royalty fee for the protection and indemnification of licensed intellectual property right (“IP rights”) for the prescription product developed, marketed and sold from newly developed formulations as long as the patents are valid and cover the prescription product.  Pay a fixed royalty fee for the protection and indemnification of licensed IP rights for the other products utilizing the molecular iodine technology developed, marketed and sold from newly developed formulations as long as the patents are valid and cover the prescription product. The Company capitalized as intangible assets, the amount of $150,000 related to this agreement. As of April 30, 2016 and January 31, 2016, the balance, net of amortization, was $111,500 and $119,000, respectively. No royalties have been paid as of April 30, 2016.

CONVERTIBLE REDEEMABLE PREFERRE

CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY	3 Months Ended
	Apr. 30, 2016
CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY
CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY	7. CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS’ EQUITY Common Stock In June 2015, the Company uplisted to the NYSE MKT and simultaneously completed a public offering (the “Offering”) in which it issued 3,636,384 shares of common stock resulting in net proceeds of $7.8 million. Pursuant to the terms of a convertible note previously issued, immediately prior to the closing of the Offering, the principal amount, and all accrued and unpaid interest converted into 182,266 shares of common stock. Pursuant to a subscription agreement dated October 24, 2014, Korea Investment Partners Overseas Expansion Platform Fund (“KIP”), an existing stockholder, agreed to purchase 1,081,081 shares of common stock from the Company at a price of $1.85 per share in a private placement (the “KIP private placement”) upon the earlier to occur of (i) the Company receiving revenues from Violet of $2,000,000 or (ii) receipt by the Company of approval to list on any tier of the NYSE or Nasdaq stock market at a market price of at least $3.70 per share. In addition, KIP has previously informed the Company of its intention to complete the KIP private placement even if the Company’s stock price was not at least $3.70 per share. As of June 14, 2016, this private placement has not closed, and the Company is unable to predict if or when the private placement will close. As consideration for Ping Wang’s service as a director of the Company, 290,000 shares of the Company’s common stock were issued, of which 96,667 shares vested immediately and 193,333 shares will vest immediately upon completion of the $2.0 million purchase. In December 2015, the Company sold 4,100,000 shares of common stock at a price per share of $1.43 resulting in net proceeds of $5.5 million in a private placement to investment vehicles of Franklin Advisers. For a period of 5 years, Franklin Advisers has the right to purchase up to an aggregate of 20% of the securities offered by the Company in any subsequent private placement. In April 2016, the Company issued 3.6 million shares of common stock at a price per share of $1.195 per share resulting in net proceeds of approximately 3.6 million and warrants to purchase 1,952,000 shares of common stock in a public offering. These warrants have an exercise price of $1.20 and expire on April 1, 2021. As of April 30, 2016, all of these warrants were outstanding. Series A Preferred Stock During 2014, the Company entered into subscription agreements for the private placement of 4,207,987 shares of its Series A preferred stock and warrants to purchase 2,042,589 shares of common stock at an exercise price of $3.70 per share. In connection with the uplisting to the NYSE MKT, the Series A preferred stock, including accrued and unpaid interest, converted into 4,319,426 shares of common stock. The warrant exercise agreements included a provision such that if the public offering price related to the Offering was less than $3.125 per share, then immediately prior to the closing of the Offering, additional shares of common stock would be issued at no additional consideration to each holder equal to: (i) the product of (A) the difference between $2.50 per share and 80% of the public offering price and (B) such holder’s shares of common stock received pursuant to exercise of the amended warrants, divided by (ii) 80% of the public offering price in the Offering. Based on a public offering price of $2.75 per share, 77,006 shares of common stock were issued pursuant to this provision. In March and April 2015, the Company amended certain of the warrants issued in connection with the Series A preferred stock financing to reduce the exercise price of such warrants from $3.70 to $2.50 per share with a corresponding increase in the number of shares of common stock exercisable under the warrants so that the aggregate exercise value of such warrants remained the same. As of January 31, 2016, certain holders had exercised such warrants for an aggregate of 564,662 shares of common stock for an aggregate cash exercise price of $1,411,655. The Company recorded a charge for the incremental fair value of $436,000 in other expense related to the amended warrants in the first quarter of fiscal year 2016. The fair value of the warrants exercised was computed as of the date of modification using the following assumptions: dividend rate of 0%, risk-free rate of 1.6%, contractual term of 4 to 5 years and expected volatility of 85.9%. As of April 30, 2016, of the warrants issued in connection with the Series A preferred stock financing, warrants to purchase 1,661,055 shares of common stock remain outstanding. Warrants In addition to the warrants issued in conjunction with the subscription agreements, the Company issued warrants on May 15, 2014, to a service provider for 316,395 shares of common stock at an exercise price of $2.035 per share, which were valued at $99,000 and expensed. As of April 30, 2016, all were outstanding. On May 14, 2014, the Company also issued warrants valued at $105,000 for 343,559 shares of common stock at an exercise price of $1.85 per share to a qualified investor as a part of his convertible loan package. These warrants expire five years after the date of issuance. These warrants are immediately exercisable, and in June 2015, a portion of the warrants were exercised for 54,054 shares of common stock. As of April 30, 2016, warrants exercisable for 289,505 shares of common stock remain outstanding. In connection with the Offering completed in June 2015, warrants to purchase 109,091 shares of common stock were issued to the underwriters at the public offering price of $2.75. These warrants expire five years after the date of issuance. As of April 30, 2016, all of these warrants were outstanding. In connection with the sale of common stock in April 2016, warrants to purchase 1,952,000 shares of common stock were issued at an exercise price of $1.20. As of April 30, all of these warrants were outstanding. Equity Incentive Plan On January 23, 2014, the Company adopted the 2014 Equity Incentive Plan, or the 2014 Plan, which permits the Company to grant stock options to directors, officers or employees of the Company or others to purchase shares of common stock of the Company through awards of incentive and nonqualified stock options, restricted stock awards and stock appreciation rights. Stock options previously issued under BioPharmX, Inc.’s 2011 Equity Incentive Plan were substituted with stock options issued under the 2014 Plan. Stock options generally vest in two to four years and expire ten years from the date of grant. The total number of shares originally reserved and available for grant and issuance pursuant to the 2014 Plan was 2,700,000. Shares issued under the 2014 Plan are drawn from authorized and unissued shares or shares now held or subsequently acquired by the Company. On November 7, 2014, the Company increased the stock reserve available to the 2014 Plan for stock awards from 2,700,000 shares to 4,500,000 shares. The following table summarizes the Company’s stock option activities under the 2014 Plan: Available for Grant Shares Weighted Average Exercise Prices Remaining Contractual Life Aggregate Intrinsic Value (in thousands) Balance at January 31, 2016 $ $ Exercised — ) $ Cancelled ) $ Outstanding at April 30, 2016 $ $ Vested and exercisable $ $ Vested and expected to vest $ $ Inducement Grants The Company has also awarded inducement option grants to purchase common stock to new employees outside of the 2014 Plan as permitted under Section 711(a) of the NYSE MKT Company Guide. Such options vest at the rate of 25% of the shares on the first anniversary of the commencement of such employee’s employment with the Company, and then one forty-eighth (1/48) of the shares monthly thereafter subject to such employee’s continued service. The following table summarizes the Company’s inducement grant stock option activities: Shares Weighted Average Exercise Prices Remaining Contractual Life Aggregate Intrinsic Value (in thousands) Balance at January 31, 2016 and April 30, 2016 $ $ — Vested and exercisable — $ — — $ — Vested and expected to vest $ $ — The following table summarizes significant ranges of outstanding and exercisable options as of April 30, 2016: Options Outstanding Options Vested and Exercisable Range of Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in Years) Weighted Average Exercise Prices Number Vested and Exercisable Weighted Average Exercise Prices $0.25 - $1.00 $ $ $1.01 - $1.67 $ $ $1.68 - $3.00 $ $ $3.01 - $3.25 $ — $ — $ $ The total intrinsic value of employee stock options exercised during the three months ended April 30, 2016 and 2015 was $34,000 and $126,000, respectively.

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	3 Months Ended
	Apr. 30, 2016
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION	8. STOCK-BASED COMPENSATION The following table summarizes the stock-based compensation expenses included in the unaudited condensed consolidated statement of operations and comprehensive loss (in thousands): For the three months ended April 30, 2016 2015 Research and development $ $ Sales and marketing General and administrative Total $ $ The Company estimates the fair value of stock options granted using the Black-Scholes pricing model. This model also requires subjective assumptions, including future stock price volatility and expected time to exercise, which greatly affect the calculated values. For employee grants, the fair value is amortized on a straight-line basis over the requisite service periods of the awards, which is generally the vesting period. As of April 30, 2016, total compensation costs related to unvested, but not yet recognized, stock-based awards were $2.4 million, net of estimated forfeitures. This cost will be amortized on a straight-line basis over a weighted average remaining period of 2.88 years and will be adjusted for subsequent changes in estimated forfeitures. Valuation Assumptions There were no awards granted during the three months ended April 30, 2016. The following assumptions were used to calculate the estimated fair value of awards granted during the three months ended April 30, 2015: April 30, 2015 Expected volatility Expected term in years Risk-free interest rate 1.62% - 1.99% Expected dividend yield — Expected Term The expected term represents the period that the Company’s stock-based awards are expected to be outstanding. For awards granted subject only to service vesting requirements, the Company utilizes the simplified method for estimating the expected term of the stock-based award, instead of historical exercise data. Expected Volatility The Company uses the historical volatility of the price of shares of common stock of selected public companies, including the Company’s stock price, in the biotechnology sector due to its limited trading history. Risk-Free Interest Rate The Company bases the risk-free interest rate used in the Black-Scholes pricing method upon the implied yield curve currently available on U.S. Treasury zero-coupon issues with a remaining term equal to the expected term used as the assumption in the model. Expected Dividend The Company has never paid dividends on its shares of common stock and currently does not intend to do so and, accordingly, the dividend yield percentage is zero for all periods.

INCOME TAXES

INCOME TAXES	3 Months Ended
	Apr. 30, 2016
INCOME TAXES
INCOME TAXES	9. INCOME TAXES The Company evaluates its ability to recover deferred tax assets, in full or in part, by considering all available positive and negative evidence, including past operating results and its forecast of future taxable income on a jurisdictional basis. The Company bases its estimate of current and deferred taxes on the tax laws and rates that are currently in effect in the appropriate jurisdiction. Changes in laws or rates may affect the tax provision as well as the amount of deferred tax assets or liabilities. Current tax laws impose substantial restrictions on the utilization of net operating loss and credit carry-forwards in the event of an “ownership change,” as defined by the Internal Revenue Code. If there should be an ownership change, the Company’s ability to utilize its carry-forwards could be limited. As of April 30, 2016 and January 31, 2016, the Company has not recorded any liability for unrecognized tax benefits related to uncertain tax positions. The 2011 to 2015 tax years remain open for examination by the federal and state authorities.

DESCRIPTION OF BUSINESS AND S15

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Apr. 30, 2016
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation These unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and applicable rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting and include the accounts of the Company and its subsidiary. Certain information and note disclosures normally included in the consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended January 31, 2016, filed on May 2, 2016. The condensed consolidated balance sheet as of January 31, 2016, included herein, was derived from the audited consolidated financial statements as of that date. The unaudited interim condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary and have been prepared on the same basis as the audited consolidated financial statements and include all adjustments, consisting only of normal recurring adjustments, necessary for the fair presentation of the Company’s statement of financial position as of April 30, 2016 and January 31, 2016, and the Company’s results of operations and its cash flows for the three months ended April 30, 2016 and 2015. The results for the three months ended April 30, 2016 are not necessarily indicative of the results to be expected for the year ending January 31, 2017 or any future period.
Use of Estimates	Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses recognized during the reported period. Actual results could differ from those estimates.
Inventories	Inventories Inventories are stated at the lower of cost or market. Cost is determined using the standard cost method which approximates actual cost on a first-in, first-out basis. Market value is determined as the lower of replacement cost or net realizable value. The Company regularly reviews inventory quantities in consideration of actual loss experiences, projected future demand and remaining shelf life to record a provision for excess and obsolete inventory when appropriate.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset might not be recoverable. When such an event occurs, management determines whether there has been an impairment by comparing the anticipated undiscounted future net cash flows to the related asset’s carrying value. If an asset is considered impaired, the asset is written down to fair value, which is determined based either on discounted cash flows or appraised value, depending on the nature of the asset. The Company has not identified any such impairment losses to date.
Advertising Expenses	Advertising Expenses The Company expenses the costs of advertising, including promotional expenses, as incurred. Advertising expenses were $219,000 and $235,000 for the three months ended April 30, 2016 and 2015, respectively.
Net Loss Per Share	Net Loss per Share Basic net loss per share attributable to common stockholders is calculated based on the weighted-average number of shares of the Company’s common stock outstanding during the period. The weighted average shares outstanding excludes 193,333 of unvested common stock. Diluted net loss per share attributable to common stockholders is calculated based on the weighted-average number of shares of the Company’s common stock outstanding and other dilutive securities outstanding during the period. The potential dilutive shares of common stock resulting from the assumed exercise of outstanding stock options, warrants and the assumed conversion of preferred stock are determined under the treasury stock method. For the three months ended April 30, 2016 and 2015, 7,744,000 and 9,282,000 potentially dilutive securities, respectively, were excluded from the computation of diluted loss per share because their effect on net loss per share would be anti-dilutive.
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies These unaudited interim condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual financial statements and notes thereto contained in the Annual Report on Form 10-K for the fiscal year ended January 31, 2016. There have been no significant changes in the Company’s significant accounting policies for the three months ended April 30, 2016, as compared to the significant accounting policies described in the Annual Report on Form 10-K for the fiscal year ended January 31, 2016.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2016-02, Leases, which requires entities to recognize assets and liabilities for leases with lease terms greater than twelve months. The new guidance also requires quantitative and qualitative disclosures regarding the amount, timing and uncertainty of cash flows arising from leases. The standard is effective for annual and interim periods beginning after December 15, 2018, with early adoption permitted upon issuance. The Company is in the process of evaluating the impact of adoption on our consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, Compensation — Stock Compensation: Improvements to Employee Share-Based Payment Accounting , which relates to the accounting for employee share-based payments. This standard provides guidance on simplifying several aspects of the accounting for employee share-based payment transactions, including the income tax consequences, accounting for forfeitures and classification of excess tax benefits on the statement of cash flows. This standard will be effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. The Company is in the process of evaluating the impact of adoption on our consolidated financial statements.

BALANCE SHEET DETAILS (Tables)

BALANCE SHEET DETAILS (Tables)	3 Months Ended
	Apr. 30, 2016
BALANCE SHEET DETAILS
Schedule of Inventories	April 30, January 31, 2016 2016 (in thousands) Inventories: Work in process $ $ Finished goods Channel inventory Total $ $

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Apr. 30, 2016
COMMITMENTS AND CONTINGENCIES
Future minimum commitments	The following table summarizes the Company’s commitments as of April 30, 2016 (in thousands): Total 2017 2018 2019 2020 2021 Operating lease $ $ $ — $ — $ — $ — Purchase commitment Total $ $ $ $ $ $

CONVERTIBLE REDEEMABLE PREFER18

CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (Tables)	3 Months Ended
	Apr. 30, 2016
Schedule of significant ranges of outstanding and exercisable options	The following table summarizes significant ranges of outstanding and exercisable options as of April 30, 2016: Options Outstanding Options Vested and Exercisable Range of Exercise Price Number Outstanding Weighted Average Remaining Contractual Life (in Years) Weighted Average Exercise Prices Number Vested and Exercisable Weighted Average Exercise Prices $0.25 - $1.00 $ $ $1.01 - $1.67 $ $ $1.68 - $3.00 $ $ $3.01 - $3.25 $ — $ — $ $
2014 Equity Incentive Plan
Stock option plan activity	Available for Grant Shares Weighted Average Exercise Prices Remaining Contractual Life Aggregate Intrinsic Value (in thousands) Balance at January 31, 2016 $ $ Exercised — ) $ Cancelled ) $ Outstanding at April 30, 2016 $ $ Vested and exercisable $ $ Vested and expected to vest $ $
Outside the 2014 Equity Incentive Plan
Stock option plan activity	Shares Weighted Average Exercise Prices Remaining Contractual Life Aggregate Intrinsic Value (in thousands) Balance at January 31, 2016 and April 30, 2016 $ $ — Vested and exercisable — $ — — $ — Vested and expected to vest $ $ —

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	3 Months Ended
	Apr. 30, 2016
STOCK-BASED COMPENSATION
Summary of stock based compensation expense	The following table summarizes the stock-based compensation expenses included in the unaudited condensed consolidated statement of operations and comprehensive loss (in thousands): For the three months ended April 30, 2016 2015 Research and development $ $ Sales and marketing General and administrative Total $ $
Black-Scholes option pricing model fair value assumptions	April 30, 2015 Expected volatility Expected term in years Risk-free interest rate 1.62% - 1.99% Expected dividend yield —

DESCRIPTION OF BUSINESS AND S20

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - OFFERINGS (Details) $ in Thousands	1 Months Ended			3 Months Ended
	Apr. 30, 2016USD ($)item	Dec. 31, 2015USD ($)	Jun. 30, 2015USD ($)	Apr. 30, 2016USD ($)item
Other Disclosures
Number of wholly owned subsidiaries | item	1			1
Net proceeds from the issuance of common stock and warrants				$ 3,583
Private Placement
Other Disclosures
Net proceeds from the sale of common stock		$ 5,500
Public Offering
Other Disclosures
Net proceeds from the sale of common stock			$ 7,800
Net proceeds from the issuance of common stock and warrants	$ 3,600

DESCRIPTION OF BUSINESS AND S21

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Advertising Expenses (Details) - USD ($)	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Advertising Expenses
Advertising expenses	$ 219,000	$ 235,000

DESCRIPTION OF BUSINESS AND S22

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Net Loss Per Share (Details) - shares	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Net Loss Per Share
Unvested common stock excluded from weighted average shares outstanding	193,333
Anti dilutive securities excluded from computation of diluted net loss per share	7,744,000	9,282,000

GOING CONCERN (Details)

GOING CONCERN (Details) - USD ($) $ in Thousands	1 Months Ended			3 Months Ended
	Apr. 30, 2016	Dec. 31, 2015	Jun. 30, 2015	Apr. 30, 2016	Apr. 30, 2015	Jan. 31, 2016
Proceeds from the issuance of common stock and warrants, net of issuance costs				$ 3,583
Maximum amount of securities to sell subject to regulatory limitation				100,000
Net loss				(4,461)	$ (3,624)
Accumulated deficit	$ (30,693)			(30,693)		$ (26,232)
Working capital	1,100			$ 1,100
Private Placement
Net proceeds from the sale of common stock		$ 5,500
Public Offering
Net proceeds from the sale of common stock			$ 7,800
Proceeds from the issuance of common stock and warrants, net of issuance costs	$ 3,600

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - Money Market Funds $ in Millions	3 Months Ended
	Apr. 30, 2016USD ($)
Fair Value Measurements
Unrealized gains (losses)	$ 0
Level 1
Fair Value Measurements
Available-for-sale securities	$ 4

BALANCE SHEET DETAILS (Details)

BALANCE SHEET DETAILS (Details) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
Inventories:
Work in process	$ 5	$ 18
Finished goods	25	28
Channel inventory	46	54
Total	$ 76	$ 100

RELATED PARTY PAYABLES (Details

RELATED PARTY PAYABLES (Details) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
RELATED PARTY PAYABLES
Related party payables	$ 252	$ 225

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - Lease Arrangements (Details) $ in Thousands	3 Months Ended
	Apr. 30, 2016USD ($)ft²	Apr. 30, 2015USD ($)	Aug. 23, 2013ft²
Operating lease commitments
2,017	$ 172
Total	172
Purchase commitments
2,017	369
2,018	263
2,019	263
2,020	263
2,021	263
Total	1,421
Contractual obligation commitments
2,017	541
2,018	263
2,019	263
2,020	263
2,021	263
Total	$ 1,593
Rent expense
Leased office and laboratory space | ft²	10,800		10,800
Rent expense	$ 86,000	$ 78,000

COMMITMENTS AND CONTINGENCIES28

COMMITMENTS AND CONTINGENCIES - Legal Proceedings and License Agreement (Details)	3 Months Ended
	Apr. 30, 2016
License Agreement
Legal proceedings description	5.00%
License Agreement | Iogen LLC
License Agreement
Non Royalty license fee equal to a certain percentage of net profit associated with OTC product	30.00%
Non Royalty license fee equal to a certain percentage of net royalties received from any sub-licensee	30.00%
License Agreement | Prescription Iodine Tablet | Iogen LLC
License Agreement
Royalty fee percentage based on net sales over a specific time period of commercialization	3.00%
Royalty fee percentage based on net sales after a specific period of time	2.00%
Time period for determining initial royalty fee as a percent of net sales	24 months
License Agreement | Other Products | Iogen LLC
License Agreement
Royalty fee percentage based on net sales over a specific time period of commercialization	3.00%
Royalty fee percentage based on net sales from initial period until expiration of applicable patents	2.00%
Royalty fee percentage based on net sales after a specific period of time	1.00%
Time period for determining initial royalty fee as a percent of net sales	12 months

COMMITMENTS AND CONTINGENCIES29

COMMITMENTS AND CONTINGENCIES - Intangible Assets (Details) - USD ($)	3 Months Ended
	Apr. 30, 2016	Jan. 31, 2016	Dec. 31, 2013
Finite-Lived Intangible Assets
Intangible assets, net of amortization	$ 111,500	$ 119,000
Royalties paid	$ 0
Intellectual Property
Finite-Lived Intangible Assets
Fees to Iogen capitalized			$ 150,000

CONVERTIBLE REDEEMABLE PREFER30

CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY - Common Stock (Details) - USD ($)	Oct. 24, 2014	Apr. 30, 2016	Dec. 31, 2015	Jun. 30, 2015	Apr. 30, 2016	Jan. 31, 2016	Dec. 14, 2015
Net proceeds from the issuance of common stock and warrants					$ 3,583,000
Shares issued		28,863,017			28,863,017	25,208,684
Stock expected to vest		193,333			193,333
Korea Investment Partners
Shares issued							290,000
Stock vested							96,667
Stock expected to vest							193,333
Convertible Note
Conversion of convertible notes payable to common stock (in shares)				182,266
Public Offering
Issuance of common stock (in shares)		3,600,000		3,636,384
Net proceeds from the issuance of common stock and warrants		$ 3,600,000
Net proceeds from the sale of common stock				$ 7,800,000
Price per share		$ 1.195			$ 1.195
Number of shares of common stock subject to warrant		1,952,000			1,952,000
Warrants exercise price		$ 1.20			$ 1.20
Private Placement
Net proceeds from the sale of common stock			$ 5,500,000
Korea Investment Partners | Subscription Agreement | Common Stock
Revenue from Violet	$ 2,000,000
Subscription agreement receivable	$ 2,000,000
Price per share	$ 1.85
Shares issued	1,081,081
Korea Investment Partners | Subscription Agreement | Common Stock | Minimum
Price per share	$ 3.70
Franklin Advisers | Private Placement
Issuance of common stock (in shares)			4,100,000
Net proceeds from the sale of common stock			$ 5,500,000
Price per share			$ 1.43
Period within which securities can be purchased			5 years
Franklin Advisers | Private Placement | Maximum
Percentage of securities offered by entity			20.00%

CONVERTIBLE REDEEMABLE PREFER31

CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY - Series A Preferred Stock (Details) - USD ($)	May 15, 2014	May 14, 2014	Apr. 30, 2016	Jan. 31, 2016	Jun. 30, 2015	Apr. 30, 2015	Dec. 31, 2014	Mar. 31, 2015
Equity
Proceeds from warrant exercises						$ 1,412,000
Incremental fair value of warrants						436,000
Public Offering
Equity
Number of shares of common stock subject to warrant			1,952,000
Warrants exercise price			$ 1.20
Issuance of common stock, net of expenses of $2,500 (in shares)			3,600,000		3,636,384
Warrant | Public Offering | Underwriters
Equity
Number of shares of common stock subject to warrant					109,091
Warrants exercise price					$ 2.75
Warrants expiration term					5 years
Series A Warrant | Warrant
Equity
Number of shares of common stock subject to warrant							2,042,589
Warrants exercise price							$ 3.70
Series A Convertible Redeemable Preferred Stock | Public Offering
Equity
Number of common shares into which share is convertible					4,319,426
Series A Convertible Redeemable Preferred Stock | Subscription Agreement
Equity
Number of shares sold							4,207,987
Series A Convertible Redeemable Preferred Stock | Series A Warrant
Equity
Number of shares of common stock subject to warrant				564,662
Proceeds from warrant exercises				$ 1,411,655
Incremental fair value of warrants						$ 436,000
Series A Convertible Redeemable Preferred Stock | Series A Warrant | Actual
Equity
Warrants exercise price						$ 2.50
Series A Convertible Redeemable Preferred Stock | Series A Warrant | Previously Reported
Equity
Warrants exercise price								$ 3.70
Series A Convertible Redeemable Preferred Stock | Series A Warrant | Public Offering
Equity
Offering price per share that triggers the issuance of additional shares related to the public offering					$ 3.125
Percentage of public offering price					80.00%
Issuance of common stock, net of expenses of $2,500 (in shares)					77,006
Series A Convertible Redeemable Preferred Stock | Series A Warrant | Warrant
Equity
Number of shares of common stock subject to warrant			1,661,055
Dividend rate						0.00%
Risk-free rate						1.60%
Expected volatility						85.90%
Series A Convertible Redeemable Preferred Stock | Series A Warrant | Warrant | Minimum
Equity
Contractual term						4 years
Series A Convertible Redeemable Preferred Stock | Series A Warrant | Warrant | Maximum
Equity
Contractual term						5 years
Series A Convertible Redeemable Preferred Stock | Service Provider Warrant | Warrant
Equity
Number of shares of common stock subject to warrant	316,395
Warrants exercise price	$ 2.035
Warrant expense	$ 99,000
Series A Convertible Redeemable Preferred Stock | Convertible Debt Warrant | Warrant
Equity
Conversion of convertible notes payable to common stock (in shares)					54,054
Number of shares of common stock subject to warrant		343,559	289,505
Warrants exercise price		$ 1.85
Adjustment to paid-in capital, warrant fair value		$ 105,000
Contractual term	5 years

CONVERTIBLE REDEEMABLE PREFER32

CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY - Equity Incentive Plan (Details) - 2014 Equity Incentive Plan - shares	3 Months Ended
	Apr. 30, 2016	Nov. 07, 2014	Jan. 23, 2014
Share-based Compensation Arrangement by Share-based Payment Award
Number of shares reserved and available for grant		4,500,000	2,700,000
Options
Share-based Compensation Arrangement by Share-based Payment Award
Expiration period	10 years
Minimum | Options
Share-based Compensation Arrangement by Share-based Payment Award
Vesting period	2 years
Maximum | Options
Share-based Compensation Arrangement by Share-based Payment Award
Vesting period	4 years

CONVERTIBLE REDEEMABLE PREFER33

CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY - Stock Option Activities (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	12 Months Ended
	Apr. 30, 2016	Jan. 31, 2016
2014 Equity Incentive Plan
Available for Grant
Available for grant, beginning	350,875
Cancelled	87,500
Available for grant, ending	438,375	350,875
Shares
Outstanding, Beginning	2,704,608
Exercised	(54,333)
Cancelled	(87,500)
Outstanding, Ending	2,562,775	2,704,608
Vested and exercisable	1,102,934
Vested and expected to vest	2,365,955
Weighted Average Exercise Prices
Outstanding, Beginning	$ 1.59
Exercised	0.33
Cancelled	1.85
Outstanding, Ending	1.61	$ 1.59
Vested and exercisable	1.21
Vested and expected to vest	$ 1.58
Remaining Contractual Life
Outstanding	8 years 5 months 1 day	8 years 4 months 13 days
Vested and exercisable	4 years 10 months 6 days
Vested and expected to vest	7 years 10 months 17 days
Aggregate Intrinsic Value
Outstanding	$ 340	$ 1,343
Vested and exercisable	235
Vested and expected to vest	$ 333
Outside the 2014 Equity Incentive Plan
Shares
Outstanding, Beginning	660,000
Outstanding, Ending	660,000	660,000
Vested and expected to vest	545,032
Weighted Average Exercise Prices
Outstanding, Beginning	$ 1.44
Outstanding, Ending	1.44	$ 1.44
Vested and expected to vest	$ 1.44
Remaining Contractual Life
Outstanding	9 years 5 months 19 days	9 years 5 months 19 days
Vested and expected to vest	9 years 5 months 19 days
Outside the 2014 Equity Incentive Plan | First anniversary
Available for Grant
Vesting percentage	25.00%
Outside the 2014 Equity Incentive Plan | Subsequent to first anniversary
Available for Grant
Vesting percentage	2.083%

CONVERTIBLE REDEEMABLE PREFER34

CONVERTIBLE REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY - Range of Exercise Price (Details) - USD ($)	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Options Outstanding
Number Outstanding (in shares)	3,222,775
Weighted Average Remaining Contractual Life	8 years 7 months 17 days
Weighted Average Exercise Prices (in dollars per share)	$ 1.57
Options Exercisable
Number Vested and Exercisable (in shares)	1,102,934
Weighted Average Exercise Prices (in dollars per share)	$ 1.21
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures
Total intrinsic value of options exercised	$ 34,000	$ 126,000
$0.25 - $1.00
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range
Exercise prices, low end of range (in dollars per share)	$ 0.25
Exercise prices, high end of range (in dollars per share)	$ 1
Options Outstanding
Number Outstanding (in shares)	827,775
Weighted Average Remaining Contractual Life	7 years 2 months 23 days
Weighted Average Exercise Prices (in dollars per share)	$ 0.41
Options Exercisable
Number Vested and Exercisable (in shares)	575,900
Weighted Average Exercise Prices (in dollars per share)	$ 0.42
$1.01 - $1.67
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range
Exercise prices, low end of range (in dollars per share)	1.01
Exercise prices, high end of range (in dollars per share)	$ 1.67
Options Outstanding
Number Outstanding (in shares)	1,264,000
Weighted Average Remaining Contractual Life	9 years 5 months 27 days
Weighted Average Exercise Prices (in dollars per share)	$ 1.49
Options Exercisable
Number Vested and Exercisable (in shares)	90,830
Weighted Average Exercise Prices (in dollars per share)	$ 1.48
$1.68 - $3.00
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range
Exercise prices, low end of range (in dollars per share)	1.68
Exercise prices, high end of range (in dollars per share)	$ 3
Options Outstanding
Number Outstanding (in shares)	901,000
Weighted Average Remaining Contractual Life	8 years 7 months 10 days
Weighted Average Exercise Prices (in dollars per share)	$ 2.32
Options Exercisable
Number Vested and Exercisable (in shares)	436,204
Weighted Average Exercise Prices (in dollars per share)	$ 2.19
$3.01 - $3.25
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range
Exercise prices, low end of range (in dollars per share)	3.01
Exercise prices, high end of range (in dollars per share)	$ 3.25
Options Outstanding
Number Outstanding (in shares)	230,000
Weighted Average Remaining Contractual Life	9 years 29 days
Weighted Average Exercise Prices (in dollars per share)	$ 3.25

STOCK-BASED COMPENSATION - Expe

STOCK-BASED COMPENSATION - Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Share-based Compensation
Stock-based compensation expense	$ 273	$ 300
Total compensation costs not yet recognized	$ 2,400
Average remaining amortization period for recognition of expense	2 years 10 months 17 days
Research and development
Share-based Compensation
Stock-based compensation expense	$ 76	86
Sales and marketing
Share-based Compensation
Stock-based compensation expense	84	124
General and administrative.
Share-based Compensation
Stock-based compensation expense	$ 113	$ 90

STOCK-BASED COMPENSATION - Assu

STOCK-BASED COMPENSATION - Assumptions (Details) - shares	3 Months Ended
	Apr. 30, 2016	Apr. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award
Number of awards granted (in shares)	0
Expected volatility		82.60%
Expected term in years		6 years
Minimum
Share-based Compensation Arrangement by Share-based Payment Award
Risk-free interest rate		1.62%
Maximum
Share-based Compensation Arrangement by Share-based Payment Award
Risk-free interest rate		1.99%

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	Apr. 30, 2016	Jan. 31, 2016
INCOME TAXES
Liability for unrecognized tax benefits	$ 0	$ 0