Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2020 | Nov. 10, 2020 | |
Document and Entity Information | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | DarioHealth Corp. | |
Title of 12(b) Security | Common Stock, par value $0.0001 per share | |
Entity Interactive Data Current | Yes | |
Entity Current Reporting Status | Yes | |
Entity Central Index Key | 0001533998 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Shell Company | false | |
Trading Symbol | DRIO | |
Entity Common Stock, Shares Outstanding | 8,114,360 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | |
CURRENT ASSETS: | |||
Cash and cash equivalents | $ 36,907 | $ 20,395 | |
Short-term restricted bank deposits | 179 | 191 | |
Trade receivables | 543 | 672 | |
Inventories | 1,572 | 1,414 | |
Other accounts receivable and prepaid expenses | 629 | 267 | |
Total current assets | 39,830 | 22,939 | |
NON-CURRENT ASSETS: | |||
Deposits | 20 | 17 | |
Operation lease right of use assets | 541 | 765 | |
Long-term assets | 176 | 200 | |
Property and equipment, net | 577 | 648 | |
Total non-current assets | 1,314 | 1,630 | |
Total assets | 41,144 | 24,569 | |
CURRENT LIABILITIES: | |||
Trade payables | 1,999 | 1,656 | |
Deferred revenues | 1,285 | 1,223 | |
Operating lease liabilities | 285 | 317 | |
Other accounts payable and accrued expenses | 2,283 | 2,024 | |
Total current liabilities | 5,852 | 5,220 | |
OPERATING LEASE LIABILITIES | 258 | 455 | |
STOCKHOLDERS' EQUITY | |||
Common Stock of $0.0001 par value - Authorized: 160,000,000 shares at September 30, 2020 (unaudited) and December 31, 2019; Issued and Outstanding:7,892,308 and 2,235,649 shares at September 30, 2020 (unaudited) and December 31, 2019, respectively **) | [1],[2] | 0 | 0 |
Preferred Stock of $0.0001 par value - Authorized: 5,000,000 shares at September 30, 2020 (unaudited) and December 31, 2019; Issued and Outstanding: 15,879 and 21,375 shares at September 30, 2020 (unaudited) and December 31, 2019, respectively | [2] | 0 | 0 |
Additional paid-in capital | 168,618 | 129,039 | |
Accumulated deficit | (133,584) | (110,145) | |
Total stockholders' equity | 35,034 | 18,894 | |
Total liabilities and stockholders' equity | $ 41,144 | $ 24,569 | |
[1] | On November 18, 2019, the company affected a 1-for 20 reverse stock split (the “Reverse Stock Split”), see note 1f. | ||
[2] | Represents an amount lower than $1. |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 |
CONSOLIDATED BALANCE SHEETS | ||
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 160,000,000 | 160,000,000 |
Common stock, shares, issued | 7,892,308 | 2,235,649 |
Common stock, shares, outstanding | 7,892,308 | 2,235,649 |
Preferred stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 15,879 | 21,375 |
Preferred stock, shares outstanding | 15,879 | 21,375 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS | ||||
Revenues | $ 2,042 | $ 1,868 | $ 5,496 | $ 5,761 |
Cost of revenues | 1,493 | 995 | 3,532 | 4,004 |
Gross profit | 549 | 873 | 1,964 | 1,757 |
Operating expenses: | ||||
Research and development | 954 | 859 | 3,010 | 2,852 |
Sales and marketing | 3,635 | 1,865 | 10,334 | 8,804 |
General and administrative | 2,562 | 948 | 9,459 | 3,625 |
Total operating expenses | 7,151 | 3,672 | 22,803 | 15,281 |
Operating loss | (6,602) | (2,799) | (20,839) | (13,524) |
Total Financial expenses (income), net | (52) | 6 | (391) | 39 |
Net loss | 6,550 | 2,805 | 20,448 | 13,563 |
Deemed dividend | 930 | 0 | 2,991 | 0 |
Net loss attributable to holders of Common Stock | $ (7,480) | $ (2,805) | $ (23,439) | $ (13,563) |
Net loss per Common Stock: | ||||
Basic and diluted net loss per Common Stock | $ (0.71) | $ (1.11) | $ (2.95) | $ (5.52) |
Weighted average number of shares of Common Stock used in computing basic and diluted net loss per Common Stock **) | 7,328,420 | 2,536,513 | 4,856,115 | 2,455,092 |
STATEMENTS OF STOCKHOLDERS' EQU
STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) | Common Stock | Preferred Stock [Member] | Additional Paid-in Capital [Member] | Accumulated deficit [Member] | Total | ||||
Balance at Dec. 31, 2018 | $ 0 | [1],[2] | $ 0 | $ 98,179,000 | $ (89,254,000) | $ 8,925,000 | |||
Balance (in shares) at Dec. 31, 2018 | 1,831,746 | 0 | |||||||
Payment for executives and directors under Stock for Salary Program | $ 0 | [1],[2] | $ 0 | 210,000 | 0 | 210,000 | |||
Payment for executives and directors under Stock for Salary Program (in shares) | 10,678 | 0 | |||||||
Stock-based compensation | $ 0 | [1] | $ 0 | 106,000 | 0 | 106,000 | |||
Net loss | 0 | [1] | 0 | 0 | (5,376,000) | (5,376,000) | |||
Balance at Mar. 31, 2019 | $ 0 | [1],[2] | $ 0 | 98,495,000 | (94,630,000) | 3,865,000 | |||
Balance (in shares) at Mar. 31, 2019 | 1,842,424 | 0 | |||||||
Balance at Dec. 31, 2018 | $ 0 | [1],[2] | $ 0 | 98,179,000 | (89,254,000) | 8,925,000 | |||
Balance (in shares) at Dec. 31, 2018 | 1,831,746 | 0 | |||||||
Exercise of options | $ 0 | ||||||||
Net loss | (13,563,000) | ||||||||
Balance at Sep. 30, 2019 | $ 0 | [1],[2] | $ 0 | 106,724,000 | (102,817,000) | 3,907,000 | |||
Balance (in shares) at Sep. 30, 2019 | 2,185,573 | 0 | |||||||
Balance at Dec. 31, 2018 | $ 0 | [1],[2] | $ 0 | 98,179,000 | (89,254,000) | 8,925,000 | |||
Balance (in shares) at Dec. 31, 2018 | 1,831,746 | 0 | |||||||
Balance at Dec. 31, 2019 | $ 0 | [1],[2] | $ 0 | [2] | 129,039,000 | (110,145,000) | 18,894,000 | ||
Balance (in shares) at Dec. 31, 2019 | 2,235,649 | 21,375 | |||||||
Balance at Mar. 31, 2019 | $ 0 | [1],[2] | $ 0 | 98,495,000 | (94,630,000) | 3,865,000 | |||
Balance (in shares) at Mar. 31, 2019 | 1,842,424 | 0 | |||||||
Payment for executives and directors under Stock for Salary Program | $ 0 | [1],[2] | $ 0 | 141,000 | 0 | 141,000 | |||
Payment for executives and directors under Stock for Salary Program (in shares) | 7,133 | 0 | |||||||
Exercise of options | $ 0 | [1],[2] | 0 | [2] | 0 | 0 | [2] | ||
Exercise of options (In Shares) | 406 | 0 | |||||||
Issuance of Common Stock to directors and employees | $ 0 | [1],[2] | $ 0 | 795,000 | 0 | 795,000 | |||
Issuance of Common Stock to directors and employees (in shares) | 51,613 | 0 | |||||||
Public Offering | $ 0 | [1],[2] | $ 0 | 6,558,000 | 0 | 6,558,000 | |||
Public Offering (in shares) | 242,768 | 0 | |||||||
Stock-based compensation | $ 0 | [1] | $ 0 | 117,000 | 0 | 117,000 | |||
Net loss | 0 | [1] | 0 | 0 | (5,382,000) | (5,382,000) | |||
Balance at Jun. 30, 2019 | $ 0 | [1],[2] | 0 | 106,106,000 | (100,012,000) | 6,094,000 | |||
Balance (in shares) at Jun. 30, 2019 | 2,144,344 | ||||||||
Payment for executives and directors under Stock for Salary Program | $ 0 | [1],[2] | 0 | 445,000 | 0 | 445,000 | |||
Payment for executives and directors under Stock for Salary Program (in shares) | 37,101 | ||||||||
Issuance of Common Stock to consultants and service provider | $ 0 | [1],[2] | 0 | 55,000 | 0 | 55,000 | |||
Issuance of Common Stock to consultants and service provider (in shares) | 4,128 | ||||||||
Stock-based compensation | $ 0 | [1] | 0 | 118,000 | 0 | 118,000 | |||
Net loss | 0 | [1] | 0 | 0 | (2,805,000) | (2,805,000) | |||
Balance at Sep. 30, 2019 | $ 0 | [1],[2] | $ 0 | 106,724,000 | (102,817,000) | 3,907,000 | |||
Balance (in shares) at Sep. 30, 2019 | 2,185,573 | 0 | |||||||
Balance at Dec. 31, 2019 | $ 0 | [1],[2] | $ 0 | [2] | 129,039,000 | (110,145,000) | 18,894,000 | ||
Balance (in shares) at Dec. 31, 2019 | 2,235,649 | 21,375 | |||||||
Payment for executives and directors under Stock for Salary Program | $ 0 | [1],[2] | $ 0 | 274,000 | 0 | 274,000 | |||
Payment for executives and directors under Stock for Salary Program (in shares) | 46,678 | 0 | |||||||
Issuance of Common Stock to directors and employees | $ 0 | [1],[2] | $ 0 | 4,076,000 | 0 | 4,076,000 | |||
Issuance of Common Stock to directors and employees (in shares) | 654,642 | 0 | |||||||
Issuance of Common Stock to consultants and service provider | $ 0 | [1],[2] | $ 0 | 360,000 | 0 | 360,000 | |||
Issuance of Common Stock to consultants and service provider (in shares) | 66,905 | ||||||||
Conversion of Preferred Stock to Common Stock | $ 0 | [1],[2] | $ 0 | [2] | 0 | 0 | 0 | ||
Conversion of Preferred Stock to Common Stock (in shares) | 2,160 | (12) | |||||||
Deemed dividend related to warrants exchange | $ 0 | [1],[2] | $ 0 | 376,000 | (376,000) | 0 | |||
Deemed dividend related to warrants exchange (in shares) | 97,536 | 0 | |||||||
Deemed dividend related to issue of preferred shares | $ 0 | [1] | $ 0 | 899,000 | (899,000) | 0 | |||
Deemed dividend related to issuance of Preferred Stock (in Shares) | 0 | 0 | |||||||
Issuance of Warrants to service providers | $ 0 | [1] | $ 0 | 1,131,000 | 0 | 1,131,000 | |||
Stock-based compensation | 0 | [1] | 0 | 583,000 | 0 | 583,000 | |||
Net loss | 0 | [1] | 0 | 0 | (9,892,000) | (9,892,000) | |||
Balance at Mar. 31, 2020 | $ 0 | [1],[2] | $ 0 | [2] | 136,738,000 | (121,312,000) | 15,426,000 | ||
Balance (in shares) at Mar. 31, 2020 | 3,103,570 | 21,363 | |||||||
Balance at Dec. 31, 2019 | $ 0 | [1],[2] | $ 0 | [2] | 129,039,000 | (110,145,000) | $ 18,894,000 | ||
Balance (in shares) at Dec. 31, 2019 | 2,235,649 | 21,375 | |||||||
Exercise of options (In Shares) | 0 | ||||||||
Net loss | $ (20,448,000) | ||||||||
Balance at Sep. 30, 2020 | $ 0 | [1],[2] | $ 0 | [2] | 168,618,000 | (133,584,000) | 35,034,000 | ||
Balance (in shares) at Sep. 30, 2020 | 7,892,308 | 15,879 | |||||||
Balance at Mar. 31, 2020 | $ 0 | [1],[2] | $ 0 | [2] | 136,738,000 | (121,312,000) | 15,426,000 | ||
Balance (in shares) at Mar. 31, 2020 | 3,103,570 | 21,363 | |||||||
Payment for executives and directors under Stock for Salary Program | $ 0 | [1],[2] | $ 0 | 141,000 | 0 | 141,000 | |||
Payment for executives and directors under Stock for Salary Program (in shares) | 37,504 | 0 | |||||||
Issuance of Common Stock to directors and employees | $ 0 | [1],[2] | $ 0 | 17,000 | 0 | 17,000 | |||
Issuance of Common Stock to directors and employees (in shares) | 4,638 | 0 | |||||||
Issuance of Common Stock to consultants and service provider | $ 0 | [1],[2] | $ 0 | 180,000 | 0 | 180,000 | |||
Issuance of Common Stock to consultants and service provider (in shares) | 36,249 | 0 | |||||||
Conversion of Preferred Stock to Common Stock | $ 0 | [1],[2] | $ 0 | [2] | 0 | 0 | 0 | ||
Conversion of Preferred Stock to Common Stock (in shares) | 917,130 | (3,965) | |||||||
Deemed dividend related to warrants exchange (in shares) | 0 | 0 | |||||||
Deemed dividend related to issue of preferred shares | $ 0 | [1] | $ 0 | 786,000 | (786,000) | 0 | |||
Issuance of Warrants to service providers | 0 | [1] | 0 | 150,000 | 0 | 150,000 | |||
Stock-based compensation | 0 | [1] | 0 | 318,000 | 0 | 318,000 | |||
Net loss | 0 | [1] | 0 | 0 | (4,006,000) | (4,006,000) | |||
Balance at Jun. 30, 2020 | $ 0 | [1],[2] | $ 0 | [2] | 138,330,000 | (126,104,000) | 12,226,000 | ||
Balance (in shares) at Jun. 30, 2020 | 4,099,091 | 17,398 | |||||||
Payment for executives and directors under Stock for Salary Program | $ 0 | [1],[2] | $ 0 | 193,000 | 0 | 193,000 | |||
Payment for executives and directors under Stock for Salary Program (in shares) | 38,771 | 0 | |||||||
Exercise of Agent Warrants | $ 0 | [1],[2] | $ 0 | 0 | 0 | 0 | |||
Exercise of Agent Warrants (in shares) | 144,053 | 0 | |||||||
Exercise of repriced Warrants | $ 0 | [1],[2] | $ 0 | 1,088,000 | 0 | 1,088,000 | |||
Exercise of repriced Warrants (in shares) | 88,889 | 0 | |||||||
Issuance of Common Stock to directors and employees | $ 0 | [1],[2] | $ 0 | 670,000 | 0 | 670,000 | |||
Issuance of Common Stock to directors and employees (in shares) | 52,936 | 0 | |||||||
Issuance of Common Stock to consultants and service provider | $ 0 | [1],[2] | $ 0 | 531,000 | 0 | 531,000 | |||
Issuance of Common Stock to consultants and service provider (in shares) | 58,458 | 0 | |||||||
Conversion of Preferred Stock to Common Stock | $ 0 | [1],[2] | $ 0 | [2] | 0 | 0 | 0 | ||
Conversion of Preferred Stock to Common Stock (in shares) | 345,577 | (1,519) | |||||||
Deemed dividend related to warrants exchange | $ 0 | [1],[2] | $ 0 | 223,000 | (223,000) | 0 | |||
Deemed dividend related to warrants exchange (in shares) | 63,781 | 0 | |||||||
Issuance of Common Stock, net of issuance cost | $ 0 | [1],[2] | $ 0 | 26,460,000 | 0 | 26,460,000 | |||
Issuance of Common Stock, net of issuance cost (in shares) | 3,000,752 | 0 | |||||||
Deemed dividend related to issue of preferred shares | $ 0 | [1] | $ 0 | 707,000 | (707,000) | 0 | |||
Deemed dividend related to issuance of Preferred Stock (in Shares) | 0 | 0 | |||||||
Issuance of Warrants to service providers | $ 0 | [1] | $ 0 | 90,000 | 0 | 90,000 | |||
Stock-based compensation | 0 | [1] | 0 | 326,000 | 0 | 326,000 | |||
Net loss | 0 | [1] | 0 | 0 | (6,550,000) | (6,550,000) | |||
Balance at Sep. 30, 2020 | $ 0 | [1],[2] | $ 0 | [2] | $ 168,618,000 | $ (133,584,000) | $ 35,034,000 | ||
Balance (in shares) at Sep. 30, 2020 | 7,892,308 | 15,879 | |||||||
[1] | On November 18, 2019, the company affected a 1-for 20 reverse stock split (the “Reverse Stock Split”), see note 1f. | ||||||||
[2] | Represents an amount lower than $1. |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net loss | $ (20,448) | $ (13,563) |
Adjustments required to reconcile net loss to net cash used in operating activities: | ||
Stock-based compensation, common stock, and stock instead of cash compensation to directors, employees, consultants and service providers | 8,988 | 1,928 |
Depreciation | 140 | 138 |
Change in operating lease right of use assets | 224 | 160 |
Decrease (increase) in trade receivables | 129 | (351) |
Decrease (increase) in accounts receivables and prepaid expenses and long-term assets | (338) | 199 |
Increase in inventories | (158) | (96) |
Increase (decrease) in trade payables | 343 | (1,168) |
Increase (decrease) in other accounts payable and accrued expenses | 311 | (580) |
Increase in deferred revenues | 62 | 575 |
Change in operating lease liabilities | (229) | (115) |
Net cash used in operating activities | (10,976) | (12,873) |
Cash flows from investing activities: | ||
Investment in deposit | (4) | (8) |
Purchase of property and equipment | (69) | (79) |
Net cash used in investing activities | (73) | (87) |
Cash flows from financing activities: | ||
Proceeds from issuance of Common Stock, Preferred Stock and warrants, net of issuance cost | 27,548 | 6,558 |
Net cash provided by financing activities | 27,548 | 6,558 |
Increase (decrease) in cash, cash equivalents and short-term restricted bank deposits | 16,499 | (6,402) |
Cash, cash equivalents and short-term restricted bank deposits at beginning of the period | 20,535 | 11,126 |
Cash, cash equivalents and short-term restricted bank deposits at end of the period | $ 37,034 | $ 4,724 |
GENERAL
GENERAL | 9 Months Ended |
Sep. 30, 2020 | |
GENERAL | |
GENERAL | NOTE 1: - GENERAL a. DarioHealth Corp. (the “Company”) was incorporated in Delaware and commenced operations on August 11, 2011. DarioHealth is a leading Global Digital Therapeutics (DTx) company revolutionizing the way people with chronic conditions manage their health. By delivering personalized evidence-based interventions that are driven by precision data analytics, high quality software, and personalized coaching, DarioHealth has developed a novel approach that empowers individuals to adjust their lifestyle in a unique and holistic way. DarioHealth’s cross-functional team operates at the intersection of life sciences, behavioral science, and software technology to deliver seamlessly integrated and highly engaging digital therapeutics interventions. Being one of the highest rated diabetes solutions, its user-centric approach is loved by tens of thousands of customers around the globe. DarioHealth is rapidly expanding its solutions for additional chronic conditions such as hypertension and moving into new geographic markets. DarioHealth’s digital therapeutic platform has been designed with a ‘user-first’ strategy, focusing on the user’s needs first and foremost, and user experience and satisfaction. User satisfaction is constantly measured and drives, all company processes, including our technology design. b. The Company’s wholly owned subsidiary, LabStyle Innovation Ltd. (the “Subsidiary”), was incorporated and commenced operations on September 14, 2011 in Israel. Its principal business activity is to hold the Company’s intellectual property and to perform research and development, manufacturing, marketing and other business activities. c. During the nine months ended September 30, 2020, the Company incurred operating losses and negative cash flows from operating activities amounting to $20,839 and $10,976, respectively. On September 30, 2020, we had $36,907 in available cash and cash equivalent. On July 28, 2020, the Company entered into subscription agreements with accredited investors relating to an offering of its common stock and pre-funded warrants, resulting in aggregate gross proceeds of approximately $28,591 ($26,460 net of issuance expenses). Management believes that the proceeds from the recent subscription agreement and the cash proceeds from warrant exercises, combined with our cash on hand are sufficient to meet our obligations as they come due for at least a period of twelve months from the date of the issuance of these unaudited condensed consolidated financial statements. There are no assurances, however, that the Company will be able to obtain an adequate level of financial resources that are required for the long-term development and commercialization of its product offering. d. In December 2015, the United States Food and Drug Administration granted the Subsidiary 510(k) clearance for the Dario Blood Glucose Monitoring System, including its components, the Dario Blood Glucose Meter, Dario Blood Glucose Test Strips, Dario Glucose Control Solutions and the Dario app on the Apple iOS 6.1 platform and higher. e. On March 4, 2016, the Company’s Common Stock, par value $0.0001 per share (the “Common Stock”) and warrants to purchase shares of Common Stock were approved for listing on the Nasdaq Capital Market under the symbols “DRIO” and “DRIOW,” respectively. f. On November 18, 2019, the Company affected a 1-for-20 reverse stock split (referred to herein as the “Reverse Stock Split”) of its Common Stock. No fractional shares were issued, and no cash or other consideration were paid as a result of the Reverse Stock Split. Instead, the Company issued one additional whole share of the post-Reverse Stock Split Common Stock to any shareholder who otherwise would have received a fractional share as a result of the Reverse Stock Split. The amount of authorized Common Stock was not affected. All issued and outstanding share and per share amounts included in the accompanying consolidated financial statements have been adjusted to reflect this Reverse Stock Split for all periods presented. g. The Company has been carefully monitoring the COVID-19 pandemic and its impact on its business. In that regard, the Company has continued to sell its Dario TM Blood Sugar Monitor and have not experienced disruptions in its supply chains. With respect to the Company’s DTx platform, it has observed that some of its business-to-business prospective partners have been addressing their business needs as a result of the COVID-19 pandemic, which has resulted in a slowdown of negotiations and discussions with some of these potential partners. In addition, the Company has also seen an increase in interest from other business-to-business prospective partners in its DTx platform, as certain parties are seeking tele-health products. The Company expects the significance of the COVID-19 pandemic, including the extent of its effect on the Company’s financial and operational results, to be dictated by, among other things, its duration, the success of efforts to contain it and the impact of actions taken in response. While the Company is not able at this time to estimate the impact of the COVID-19 pandemic on its financial and operational results, it could be material. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2020 | |
SIGNIFICANT ACCOUNTING POLICIES | |
SIGNIFICANT ACCOUNTING POLICIES | NOTE 2: - SIGNIFICANT ACCOUNTING POLICIES a. The significant accounting policies applied in the audited annual consolidated financial statements of the Company as disclosed in the Company’s Annual Report on Form 10‑K for the year ended December 31, 2019 are applied consistently in these unaudited interim consolidated financial statements. b. Short-term restricted bank deposits: The following table provides a reconciliation of the cash balances reported on the balance sheets and the cash, cash equivalents and short-term restricted bank deposits balances reported in the statements of cash flows: September 30, September 30, 2020 2019 Unaudited Unaudited Cash, and cash equivalents as reported on the balance sheets $ 36,907 $ 4,585 Short-term restricted bank deposits, as reported on the balance sheets 127 139 Cash, restricted cash, cash equivalents and short-term restricted bank deposits as reported in the statements of cash flows $ 37,034 $ 4,724 c. Recently issued accounting pronouncements, not yet adopted: In June 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). ASU 2016-13 changes the impairment model for most financial assets and certain other instruments. For trade and other receivables, held-to-maturity debt securities, loans, and other instruments, entities will be required to use a new forward-looking “expected loss” model that generally will result in the earlier recognition of allowances for losses. The guidance also requires increased disclosures. For the Company, the amendments in the update were originally effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. In November 2019, the FASB issued ASU No. 2019-10, which delayed the effective date of ASU 2016-13 for smaller reporting companies (as defined by the U.S. Securities and Exchange Commission) and other non-SEC reporting entities to fiscal years beginning after December 15, 2022, including interim periods within those fiscal periods. Early adoption is permitted. The Company is currently assessing the impact the guidance will have on its consolidated financial statements. |
UNAUDITED INTERIM FINANCIAL STA
UNAUDITED INTERIM FINANCIAL STATEMENTS | 9 Months Ended |
Sep. 30, 2020 | |
UNAUDITED INTERIM FINANCIAL STATEMENTS | |
UNAUDITED INTERIM FINANCIAL STATEMENTS | NOTE 3: - UNAUDITED INTERIM FINANCIAL STATEMENTS The accompanying unaudited interim consolidated financial statements as of September 30, 2020, have been prepared in accordance with U.S. generally accepted accounting principles and standards of the Public Company Accounting Oversight Board for interim financial information. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles in the United States for complete financial statements. In the opinion of management, the unaudited interim consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair presentation of the Company’s consolidated financial position as of September 30, 2020, and the Company’s consolidated results of operations and the Company’s consolidated cash flows for the three and nine months ended September 30, 2020. Results for the three and nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020. |
INVENTORIES
INVENTORIES | 9 Months Ended |
Sep. 30, 2020 | |
INVENTORIES | |
INVENTORIES | NOTE 4: - INVENTORIES September 30, December 31, 2020 2019 Unaudited Raw materials $ 626 $ 536 Finished products 946 878 $ 1,572 $ 1,414 During the nine month period ended September 30, 2020, and the year ended December 31, 2019, total inventory write-off expenses amounted to $70 and $62, respectively. |
REVENUE
REVENUE | 9 Months Ended |
Sep. 30, 2020 | |
REVENUE | |
REVENUE | NOTE 5: - REVENUE The following tables represent the Company’s total revenues for the three and nine months ended September 30, 2020 and 2019 by product type: Three months ended Nine months ended September 30 September 30 2020 2019 2020 2019 Unaudited Unaudited Products $ 1,556 $ 1,244 $ 4,052 $ 4,315 Services 486 624 1,444 1,446 2,042 1,868 5,496 5,761 Consolidated revenues by category type are as follows: Three months ended Nine months ended September 30 September 30 2020 2019 2020 2019 Unaudited Unaudited Consumer Products and other revenues $ 1,257 $ 1,135 $ 3,224 $ 3,686 Membership services 785 733 2,272 2,075 2,042 1,868 5,496 5,761 The Company recognizes contract liabilities, or deferred revenues, when it receives advance payments from customers before performance obligations primarily related services have been performed. Advance payments are received at the beginning of the service period and the related deferred revenues are reclassified to revenue ratably over the service period. The balance of deferred revenues approximates the aggregate amount of the transaction price allocated to the unsatisfied performance obligations at the end of reporting period. The following table presents the significant changes in the deferred revenue balance during the nine months ended September 30, 2020: Balance, beginning of the period $ 1,223 New performance obligations 2,394 Reclassification to revenue as a result of satisfying performance obligations (2,332) Balance, end of the period $ 1,285 Because all performance obligations in the Company’s contracts with customers relate to contracts with a duration of less than one year, the Company has elected to apply the optional exemption and is not required to disclose the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied at the end of the reporting period. |
COMMITMENTS AND CONTINGENT LIAB
COMMITMENTS AND CONTINGENT LIABILITIES | 9 Months Ended |
Sep. 30, 2020 | |
COMMITMENTS AND CONTINGENT LIABILITIES | |
COMMITMENTS AND CONTINGENT LIABILITIES | NOTE 6: - COMMITMENTS AND CONTINGENT LIABILITIES From time to time the Company is involved in claims and legal proceedings. The Company reviews the status of each matter and assesses its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and the amount can be reasonably estimated, the Company accrues a liability for the estimated loss. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 9 Months Ended |
Sep. 30, 2020 | |
STOCKHOLDERS' EQUITY | |
STOCKHOLDERS' EQUITY | NOTE 7: - STOCKHOLDERS’ EQUITY a. During January, April and July 2020, an aggregate of 122,953 shares of Common Stock were issued to certain members of the Board of Directors, officers and employees of the Company as consideration for a reduction in, or waiver, of cash salary, bonuses or fees owed to such individuals. The shares were issued under the Company’s Amended and Restated 2012 Equity Incentive Plan, as amended (the “2012 Plan”). In addition, the Company granted 5,034 shares to directors upon departure from the Board of Directors. In January 2020, the Board of Directors authorized the Company to issue warrants to purchase up to 13,750, and 250,000 shares of Common Stock, to certain consultants of the Company, at a purchase price of $12.00 and $6.56, respectively. As such, the Company recorded a warrant compensation expense for service providers in the amount of $1,131. In January and March 2020, the Compensation Committee of the Board of Directors approved an inducement grant of a non-qualified stock option award to purchase 140,000 shares of the Company’s Common Stock, as well as an additional inducement grant consisting of a non-qualified performance-based stock option award to purchase an additional 90,000 shares of the Company’s Common Stock outside of the Company’s 2012 Plan, pursuant to Nasdaq Listing Rule 5635(c)(4), in connection with the employment of its President and General Manager of North America and of its Chief Medical Officer. During January, March, May, August and September 2020, the Board of Directors approved the grant of 110,250 shares of Common Stock and fully vested options to purchase 5,540 shares of Common Stock to certain consultants of the Company, a portion of which were made in lieu of cash owed to such consultants. The options were issued under the 2012 Plan. During February, March, May, August and September 2020, the Company’s Compensation Committee of the Board of Directors approved the grant of an aggregate of 707,182 shares to directors, officers, employees and consultants of the Company, and the grant of 539,491 options to employees, directors and consultants of the Company, at exercise prices between $6.35 and $18.68 per share. The stock options vest over a period of three years commencing on the respective grant dates. The options have a six-year term and were issued under the 2012 Plan. In April 2020, the Compensation Committee of the Board of Directors approved a monthly grant of shares of the Company’s Common Stock equal up to $18 of restricted shares to certain service providers per month, to be granted monthly during the period that the certain consulting agreement remains in effect. During the nine months ended September 30, 2020, a total of 12,362 restricted shares of the Company’s Common Stock were issued to certain service providers under this approval. In April 2020, the Audit and Compensation Committee of the Board of Directors approved monthly grants of 1,500 shares of the Company’s Common Stock, of which 639 shares shall be issued to a board member under the 2012 Plan, and 861 restricted shares to certain service providers to be granted monthly during the 12 month period that the certain consulting agreement with said service providers is in effect. During the nine month period ended September 30, 2020, a total of 9,000 shares of the Company’s Common Stock were issued under the said approval of which 3,834 shares were issued to a board member under the 2012 plan and 5,166 restricted shares were issued to certain service providers. In May 2020, the Compensation Committee of the Board of Directors authorized the Company to issue, in several installments, 45,000 shares and warrants to purchase 110,000 shares of Common Stock, to certain consultants of the Company, of which warrants to purchase 60,000 shares of Common Stock are vesting over a 12 month period. The warrants exercise prices are between $6.39 and $10.00 per share. During the nine- month period ended September 30, 2020, a total of 30,000 shares and warrants to purchase 90,000 shares were issued under the said approval. As such, the Company recorded a shares and warrants compensation expense for service providers in the amount of $384. b. c. d. e. During the nine months ended September 30 , 2020 5,496 of certain Series A Convertible Preferred Stock were converted into 1,264,867 shares of Common Stock. Pursuant to the placement agency agreement executed by and between the Company and the registered broker dealer retained to act as the Company’s exclusive placement agent (the “Placement Agent”) for the offering of the Series A Preferred Stock, the Company paid the Placement Agent an aggregate cash fee of $1,788, non-accountable expense allowance of $641 and was required to issue to the Placement Agent or its designees warrants to purchase 719,243 shares of Common Stock at an exercise price ranging from $4.05 to $5.90 per share (the “Placement Agent Warrants”). The Placement Agent Warrants are exercisable for a period of five years from the date of the final closing of the Series A Preferred Stock Offering. During the nine months ended September 30, 2020, 194,940 Placement Agent Warrants that were issued in December 2019 were exercised into 144,053 shares of Common Stock. f. September 30 , 2020 in a total amount of $707 and $2,392, respectively. g. h. i. g. Transactions related to the grant of options to employees, directors, and non-employees under the above plans during the nine-month period ended September 30, 2020, were as follows: Weighted Weighted average average remaining Aggregate Number of exercise contractual Intrinsic options price life value $ Years $ Options outstanding at beginning of year 148,080 68.56 192 Options granted 775,031 8.42 Options exercised — — Options expired (8,040) 33.24 Options forfeited (22,024) 13.11 Options outstanding at period end (unaudited) 893,047 18.06 7,389 Options vested and expected to vest at period end (unaudited) 725,239 18.07 6,001 Exercisable at period end (unaudited) 140,074 69.33 1,060 The aggregate intrinsic value in the table above represents the total intrinsic value (the difference between the Company’s closing stock price on the last day of the third quarter of 2020 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on September 30, 2020. This amount is impacted by the changes in the fair market value of the Common Stock. As of September 30, 2020, the total amount of unrecognized stock-based compensation expense was approximately $3,294 which will be recognized over a weighted average period of 1.46 years. The following table presents the assumptions used to estimate the fair values of the options granted to employees, directors and non-employees in the period presented: Three months ended September 30, 2020 2019 Volatility 94.0%-99.89 % 85.07%-88.25 % Risk-free interest rate 0.19%-0.25 % % Dividend yield 0 % 0 % Expected life (years) 3.5-4.5 3.5-4.5 The total compensation cost related to all of the Company’s equity-based awards recognized during the nine-month period ended September 30, 2020, and 2019 was comprised as follows: Nine months ended September 30, 2020 2019 Unaudited Cost of revenues $ 24 $ 82 Research and development 591 198 Sales and marketing 2,267 231 General and administrative 6,106 1,417 Total stock-based compensation expenses $ 8,988 $ 1,928 |
FINANCIAL EXPENSES (INCOME), NE
FINANCIAL EXPENSES (INCOME), NET | 9 Months Ended |
Sep. 30, 2020 | |
FINANCIAL EXPENSES (INCOME), NET | |
FINANCIAL EXPENSES (INCOME), NET | NOTE 8: - FINANCIAL EXPENSES (INCOME), NET Nine months ended September 30, 2020 2019 Unaudited Bank charges $ 42 $ 19 Foreign currency adjustments (income) losses, net (382) 20 Interest income (51) — Total Financial expenses (income), net (391) 39 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2020 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | NOTE 9: - SUBSEQUENT EVENTS a. In April 2020, the Audit and Compensation Committee of the Board of Directors approved a monthly grant of 1,500 shares of the Company’s Common Stock to certain consultants. During the fourth quarter, the Company issued a total of 3,000 shares of the Company’s Common Stock, of which 1,238 shares were issued to a board member. The shares were issued under the 2012 Plan. b. In April 2020, the Compensation Committee of the Board of Directors approved a monthly grant of shares of the Company’s Common Stock equal up to $18 of restricted shares to certain service providers per month, to be granted monthly during the period that the certain consulting agreement remains in effect. During the fourth quarter, the Company issued a total of 2,390 restricted shares of the Company’s Common Stock. c. In October 2020, the Company’s Compensation Committee of the Board of Directors approved the grant of 75,604 shares to consultants of the Company, and the grant of 84,000 options to employees and a consultant of the Company, at exercise prices between $12.67 and $16.124 per share. The stock options vest over a period of three years commencing on the respective grant dates. The options have a six-year term and were issued under the 2012 Plan. d. In October 2020, the Company’s stockholders approved the 2020 Equity Compensation Plan, and the immediate reservation of 900,000 shares under this Plan for the remainder of the 2020 fiscal year. e. In October, 2020, the Compensation Committee of the Board of Directors approved the grant of 41,526 shares of Common Stock to a director, officers and employees of the Company as consideration for a reduction in or waiver of cash salary or fees owed to such individuals, and a grant of 10,000 shares of Common Stock to a director upon his departure from the Board of Directors. The shares were issued under the Company’s 2012 Plan. f. As of November 10, 2020, certain series A Convertible Preferred Stockholders converted 5,552 shares of various classes of the Company’s A Convertible Preferred Stock into 1,278,695 shares of Common Stock. g. As of November 10, 2020, 303,431 Placement Agent Warrants that were issued in December 2019 were exercised into 219,757 shares of Common Stock. |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
SIGNIFICANT ACCOUNTING POLICIES | |
Short-term restricted bank deposits: | b. Short-term restricted bank deposits: The following table provides a reconciliation of the cash balances reported on the balance sheets and the cash, cash equivalents and short-term restricted bank deposits balances reported in the statements of cash flows: September 30, September 30, 2020 2019 Unaudited Unaudited Cash, and cash equivalents as reported on the balance sheets $ 36,907 $ 4,585 Short-term restricted bank deposits, as reported on the balance sheets 127 139 Cash, restricted cash, cash equivalents and short-term restricted bank deposits as reported in the statements of cash flows $ 37,034 $ 4,724 |
Recently issued accounting pronouncements, not yet adopted: | c. Recently issued accounting pronouncements, not yet adopted: In June 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). ASU 2016-13 changes the impairment model for most financial assets and certain other instruments. For trade and other receivables, held-to-maturity debt securities, loans, and other instruments, entities will be required to use a new forward-looking “expected loss” model that generally will result in the earlier recognition of allowances for losses. The guidance also requires increased disclosures. For the Company, the amendments in the update were originally effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. In November 2019, the FASB issued ASU No. 2019-10, which delayed the effective date of ASU 2016-13 for smaller reporting companies (as defined by the U.S. Securities and Exchange Commission) and other non-SEC reporting entities to fiscal years beginning after December 15, 2022, including interim periods within those fiscal periods. Early adoption is permitted. The Company is currently assessing the impact the guidance will have on its consolidated financial statements. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
SIGNIFICANT ACCOUNTING POLICIES | |
Schedule of reconciliation of the cash balances reported on the balance sheets and the cash, cash equivalents and short-term restricted bank deposits balances | The following table provides a reconciliation of the cash balances reported on the balance sheets and the cash, cash equivalents and short-term restricted bank deposits balances reported in the statements of cash flows: September 30, September 30, 2020 2019 Unaudited Unaudited Cash, and cash equivalents as reported on the balance sheets $ 36,907 $ 4,585 Short-term restricted bank deposits, as reported on the balance sheets 127 139 Cash, restricted cash, cash equivalents and short-term restricted bank deposits as reported in the statements of cash flows $ 37,034 $ 4,724 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
INVENTORIES | |
Schedule of inventories | September 30, December 31, 2020 2019 Unaudited Raw materials $ 626 $ 536 Finished products 946 878 $ 1,572 $ 1,414 |
REVENUE (Tables)
REVENUE (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
REVENUE | |
Schedule of aggregate revenue | The following tables represent the Company’s total revenues for the three and nine months ended September 30, 2020 and 2019 by product type: Three months ended Nine months ended September 30 September 30 2020 2019 2020 2019 Unaudited Unaudited Products $ 1,556 $ 1,244 $ 4,052 $ 4,315 Services 486 624 1,444 1,446 2,042 1,868 5,496 5,761 |
Schedule of Net Revenue | Consolidated revenues by category type are as follows: Three months ended Nine months ended September 30 September 30 2020 2019 2020 2019 Unaudited Unaudited Consumer Products and other revenues $ 1,257 $ 1,135 $ 3,224 $ 3,686 Membership services 785 733 2,272 2,075 2,042 1,868 5,496 5,761 |
Schedule of significant changes in deferred revenue | The following table presents the significant changes in the deferred revenue balance during the nine months ended September 30, 2020: Balance, beginning of the period $ 1,223 New performance obligations 2,394 Reclassification to revenue as a result of satisfying performance obligations (2,332) Balance, end of the period $ 1,285 |
STOCKHOLDERS' EQUITY (Tables)
STOCKHOLDERS' EQUITY (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
STOCKHOLDERS' EQUITY | |
Schedule of Stock option activity | Transactions related to the grant of options to employees, directors, and non-employees under the above plans during the nine-month period ended September 30, 2020, were as follows: Weighted Weighted average average remaining Aggregate Number of exercise contractual Intrinsic options price life value $ Years $ Options outstanding at beginning of year 148,080 68.56 192 Options granted 775,031 8.42 Options exercised — — Options expired (8,040) 33.24 Options forfeited (22,024) 13.11 Options outstanding at period end (unaudited) 893,047 18.06 7,389 Options vested and expected to vest at period end (unaudited) 725,239 18.07 6,001 Exercisable at period end (unaudited) 140,074 69.33 1,060 |
Schedule of assumptions used to estimate the fair values of the options granted to employees, directors and non-employees | The following table presents the assumptions used to estimate the fair values of the options granted to employees, directors and non-employees in the period presented: Three months ended September 30, 2020 2019 Volatility 94.0%-99.89 % 85.07%-88.25 % Risk-free interest rate 0.19%-0.25 % % Dividend yield 0 % 0 % Expected life (years) 3.5-4.5 3.5-4.5 |
Schedule of Compensation cost | The total compensation cost related to all of the Company’s equity-based awards recognized during the nine-month period ended September 30, 2020, and 2019 was comprised as follows: Nine months ended September 30, 2020 2019 Unaudited Cost of revenues $ 24 $ 82 Research and development 591 198 Sales and marketing 2,267 231 General and administrative 6,106 1,417 Total stock-based compensation expenses $ 8,988 $ 1,928 |
FINANCIAL EXPENSES (INCOME), _2
FINANCIAL EXPENSES (INCOME), NET (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
FINANCIAL EXPENSES (INCOME), NET | |
Schedule of financial expenses (income), net | Nine months ended September 30, 2020 2019 Unaudited Bank charges $ 42 $ 19 Foreign currency adjustments (income) losses, net (382) 20 Interest income (51) — Total Financial expenses (income), net (391) 39 |
GENERAL (Details)
GENERAL (Details) - USD ($) $ / shares in Units, $ in Thousands | Jul. 28, 2020 | Sep. 30, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Mar. 04, 2016 |
Class of Stock [Line Items] | ||||||||
Operating Income (Loss) | $ 6,602 | $ 2,799 | $ 20,839 | $ 13,524 | ||||
Net Cash Provided by (Used in) Operating Activities | 10,976 | 12,873 | ||||||
Cash, and cash equivalents as reported on the balance sheets | $ 36,907 | $ 36,907 | $ 4,585 | $ 36,907 | $ 4,585 | $ 20,395 | ||
Gross Proceeds From Private Placement | $ 1,156 | |||||||
Common Stock, Par or Stated Value Per Share | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | |||
Common Stock and Prefunded Warrants | Private placement | ||||||||
Class of Stock [Line Items] | ||||||||
Gross Proceeds From Private Placement | $ 28,591 | |||||||
Net proceeds from Private Placement, net of issuance expenses | $ 26,460 |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES - Summary of reconciliation of the cash balances reported on the balance sheets and the cash, cash equivalents and short-term restricted bank deposits balances (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
SIGNIFICANT ACCOUNTING POLICIES | ||||
Cash, and cash equivalents as reported on the balance sheets | $ 36,907 | $ 20,395 | $ 4,585 | |
Short-term restricted bank deposits, as reported on the balance sheets | 127 | 139 | ||
Cash, restricted cash, cash equivalents and short-term restricted bank deposits as reported in the statements of cash flows | $ 37,034 | $ 20,535 | $ 4,724 | $ 11,126 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
INVENTORIES | ||
Raw materials | $ 626 | $ 536 |
Finished products | 946 | 878 |
Inventory, Net | $ 1,572 | $ 1,414 |
INVENTORIES - Additional inform
INVENTORIES - Additional information (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
INVENTORIES | ||
Inventory Write-down | $ 70 | $ 62 |
REVENUE - Total revenues (Detai
REVENUE - Total revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenues | $ 2,042 | $ 1,868 | $ 5,496 | $ 5,761 |
Products | ||||
Revenues | 1,556 | 1,244 | 4,052 | 4,315 |
Services | ||||
Revenues | 486 | 624 | 1,444 | 1,446 |
Consumer Products and other revenues | ||||
Revenues | 1,257 | 1,135 | 3,224 | 3,686 |
Membership services | ||||
Revenues | $ 785 | $ 733 | $ 2,272 | $ 2,075 |
REVENUE - Deferred revenue (Det
REVENUE - Deferred revenue (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2020USD ($) | |
REVENUE | |
Balance, beginning of the period | $ 1,223 |
New performance obligations | 2,394 |
Reclassification to revenue as a result of satisfying performance obligations | (2,332) |
Balance, end of the period | $ 1,285 |
STOCKHOLDERS' EQUITY - Stock op
STOCKHOLDERS' EQUITY - Stock option activity (Details) $ / shares in Units, $ in Thousands | Dec. 31, 2019USD ($)$ / sharesshares | Sep. 30, 2020USD ($)$ / sharesshares |
STOCKHOLDERS' EQUITY | ||
Options outstanding at beginning of year, Number of options | shares | 148,080 | |
Options granted, Number of options | shares | 775,031 | |
Options exercised, Number of options | shares | 0 | |
Options expired, Number of options | shares | (8,040) | |
Options forfeited, Number of options | shares | (22,024) | |
Options outstanding at end of year, Number of options | shares | 148,080 | 893,047 |
Options vested and expected to vest at end of year, Number of options | shares | 725,239 | |
Exercisable at end of year, Number of options | shares | 140,074 | |
Options outstanding at beginning of year, Weighted average exercise price | $ / shares | $ 68.56 | |
Options granted, Weighted average exercise price | $ / shares | 8.42 | |
Options exercised, Weighted average exercise price | $ / shares | 0 | |
Options expired, Weighted average exercise price | $ / shares | 33.24 | |
Options forfeited, Weighted average exercise price | $ / shares | 13.11 | |
Options outstanding at end of year, Weighted average exercise price | $ / shares | $ 68.56 | 18.06 |
Options vested and expected to vest at end of year, Weighted average exercise price | $ / shares | 18.07 | |
Exercisable at end of year, Weighted average exercise price | $ / shares | $ 69.33 | |
Options outstanding at, Weighted Average remaining contractual life | 4 years 4 months 28 days | 5 years 1 month 28 days |
Options vested and expected to vest at end of year, Weighted Average remaining contractual life | 5 years 1 month 28 days | |
Exercisable at end of year, Weighted Average remaining contractual life | 3 years 10 months 13 days | |
Options outstanding at beginning of year, Aggregate Intrinsic value | $ | $ 192 | |
Options outstanding at end of year, Aggregate Intrinsic value | $ | $ 192 | 7,389 |
Options vested and expected to vest at end of year, Aggregate Intrinsic value | $ | 6,001 | |
Exercisable at end of year, Aggregate Intrinsic value | $ | $ 1,060 |
STOCKHOLDERS' EQUITY - Assumpti
STOCKHOLDERS' EQUITY - Assumptions Used to estimate fair value (Details) - Employees, Directors And Non-Employee [Member] | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Volatility, Minimum | 94.00% | 85.07% |
Volatility, Maximum | 99.89% | 88.25% |
Risk-free interest rate, Minimum | 0.19% | 1.42% |
Risk-free interest rate, Maximum | 0.25% | |
Dividend yield | 0.00% | 0.00% |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life (years) | 3 years 6 months | 3 years 6 months |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life (years) | 4 years 6 months | 4 years 6 months |
STOCKHOLDERS' EQUITY - Compensa
STOCKHOLDERS' EQUITY - Compensation cost (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expenses | $ 8,988 | $ 1,928 |
Cost of revenues [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expenses | 24 | 82 |
Research and development [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expenses | 591 | 198 |
Sales and marketing | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expenses | 2,267 | 231 |
General and administrative [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expenses | $ 6,106 | $ 1,417 |
STOCKHOLDERS' EQUITY - Addition
STOCKHOLDERS' EQUITY - Additional Information (Details) - USD ($) | 1 Months Ended | 2 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||||||||||||
Sep. 30, 2020 | Aug. 31, 2020 | Jul. 31, 2020 | May 31, 2020 | Apr. 30, 2020 | Mar. 31, 2020 | Feb. 29, 2020 | Jan. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Dec. 31, 2019 | Jul. 30, 2020 | Jul. 28, 2020 | Feb. 05, 2020 | Jan. 29, 2020 | |||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Employee Service Share-based Compensation, Non vested Awards, Compensation Not yet Recognized, Stock Options | $ 3,294,000 | $ 3,294,000 | $ 3,294,000 | ||||||||||||||||||||||||
Employee Service Share-based Compensation, Non vested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 5 months 16 days | ||||||||||||||||||||||||||
Stock Issued During Period, Value, Share-based Compensation, Gross | $ 193,000 | $ 141,000 | $ 274,000 | $ 445,000 | $ 141,000 | $ 210,000 | |||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 775,031 | ||||||||||||||||||||||||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 8.42 | ||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 500,000 | 500,000 | |||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $ 5.94 | $ 5.94 | |||||||||||||||||||||||||
Stock Issued During Period Shares Non Qualified Stock Option Gross | 140,000 | 140,000 | |||||||||||||||||||||||||
Stock Issued During Period Shares Non Qualified Performance Based Stock Option Gross | 90,000 | 90,000 | |||||||||||||||||||||||||
Stock Issued During Period, Shares, New Issues | 21,375 | ||||||||||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 88,889 | 91,116 | 139,336 | 88,889 | 88,889 | 824,689 | |||||||||||||||||||||
Class Of Warrant Or Right Aggregate with Shares Consideration | 63,781 | 97,536 | |||||||||||||||||||||||||
Deemed Dividend Related To Warrant Exchange Agreement | $ 223,000 | $ 376,000 | |||||||||||||||||||||||||
Gross Proceeds from Issuance of Preferred Stock and Preference Stock | $ 21,375,000 | ||||||||||||||||||||||||||
Proceeds from Issuance of Preferred Stock and Preference Stock | $ 18,689,000 | ||||||||||||||||||||||||||
Preferred Stock, Par or Stated Value Per Share | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||||||||||||||||||||||
Grants of Common Stock and restricted shares approved | 500,000 | 500,000 | |||||||||||||||||||||||||
Vested and are exercisable options | 725,239 | 725,239 | 725,239 | ||||||||||||||||||||||||
Exercise prices | $ 18.07 | $ 18.07 | $ 18.07 | ||||||||||||||||||||||||
Common stock, shares, issued | 7,892,308 | 2,235,649 | 7,892,308 | 7,892,308 | 2,235,649 | 31,486 | 2,969,266 | ||||||||||||||||||||
Warrants purchase price | $ 7.94 | $ 7.4699 | |||||||||||||||||||||||||
Proceeds from issuance of stock | $ 0 | [1],[2] | $ 0 | [1],[2] | $ 0 | [1],[2] | $ 0 | [1],[2] | $ 0 | [1],[2] | $ 28,591,000 | ||||||||||||||||
Purchase price | $ 13 | $ 13 | $ 13 | ||||||||||||||||||||||||
Gross Proceeds From Private Placement | $ 1,156,000 | ||||||||||||||||||||||||||
Shares issuance cost, net | $ 1,088,000 | $ 1,088,000 | $ 1,088,000 | $ 26,460,000 | |||||||||||||||||||||||
Minimum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $ 6.56 | ||||||||||||||||||||||||||
2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 110,250 | 110,250 | 110,250 | 110,250 | 110,250 | ||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 5,540 | 5,540 | 5,540 | 5,540 | 5,540 | 9,000 | |||||||||||||||||||||
Monthly grants of Common Stock and restricted shares approved | 1,500 | 1,500 | |||||||||||||||||||||||||
2012 Plan Amendment [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,350,000 | ||||||||||||||||||||||||||
Grants of Common Stock and restricted shares approved | 1,350,000 | ||||||||||||||||||||||||||
2012 Plan Amendment [Member] | Minimum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 618,650 | ||||||||||||||||||||||||||
Grants of Common Stock and restricted shares approved | 618,650 | ||||||||||||||||||||||||||
2012 Plan Amendment [Member] | Maximum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,968,650 | ||||||||||||||||||||||||||
Grants of Common Stock and restricted shares approved | 1,968,650 | ||||||||||||||||||||||||||
Shares of Common Stock Equal to 10 Percent of Stock Issuable on Convertible Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Conversion of Preferred Stock Share Holding Period | 12 months | ||||||||||||||||||||||||||
Shares of Common Stock Equal to 15 Percent of Stock Issuable on Convertible Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Conversion of Preferred Stock Share Holding Period | 24 months | ||||||||||||||||||||||||||
Shares of Common Stock Equal to 20 Percent of Stock Issuable on Convertible Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Conversion of Preferred Stock Share Holding Period | 36 months | ||||||||||||||||||||||||||
Series A Convertible Preferred Stock | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Conversion of Stock, Shares Issued | 5,496 | ||||||||||||||||||||||||||
Convertible Preferred Stock, Conversion Price | $ 4.05 | ||||||||||||||||||||||||||
Deemed Dividend on Convertible Preferred Stock | $ 707,000 | $ 2,392,000 | |||||||||||||||||||||||||
Beneficial Ownership Approval Percentage, Conversion of Preferred Stock | 50.10% | ||||||||||||||||||||||||||
Conversion of Preferred Stock Share Holding Period | 36 months | ||||||||||||||||||||||||||
Series A Convertible Preferred Stock | Maximum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Convertible Preferred Stock, Shares Issued upon Conversion | 4,960,281 | 4,960,281 | |||||||||||||||||||||||||
Series A One Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Convertible Preferred Stock, Conversion Price | $ 4.05 | ||||||||||||||||||||||||||
Series A Two Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Convertible Preferred Stock, Conversion Price | 4.28 | ||||||||||||||||||||||||||
Series A Three Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Convertible Preferred Stock, Conversion Price | 4.98 | ||||||||||||||||||||||||||
Series A Four Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Conversion of Stock, Shares Issued | 1,264,867 | 144,053 | |||||||||||||||||||||||||
Convertible Preferred Stock, Conversion Price | 5.90 | ||||||||||||||||||||||||||
Series A2, A3 and A4 Preferred Stock [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Preferred Stock, Par or Stated Value Per Share | $ 1,000 | $ 1,000 | |||||||||||||||||||||||||
Common Stock | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 38,771 | 37,504 | 46,678 | 37,101 | 7,133 | 10,678 | |||||||||||||||||||||
Stock Issued During Period, Value, Share-based Compensation, Gross | [1],[2] | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | ||||||||||||||||||||
Conversion of Stock, Shares Issued | 345,577 | 917,130 | 2,160 | ||||||||||||||||||||||||
Stock Issued During Period, Shares, New Issues | 242,768 | ||||||||||||||||||||||||||
Placement Agent Warrants [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Conversion of Stock, Shares Issued | 194,940 | ||||||||||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 719,243 | 719,243 | 719,243 | ||||||||||||||||||||||||
Placement Agent Fee | $ 1,788,000 | ||||||||||||||||||||||||||
Non Accountable Expense Allowance | $ 641,000 | ||||||||||||||||||||||||||
Placement Agent Warrants [Member] | Minimum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Warrants purchase price | $ 4.05 | $ 4.05 | $ 4.05 | ||||||||||||||||||||||||
Placement Agent Warrants [Member] | Maximum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Warrants purchase price | $ 5.90 | 5.90 | 5.90 | ||||||||||||||||||||||||
Employees Directors And Consultants [Member] | 2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Vesting period | 3 years | 3 years | 3 years | 3 years | 3 years | ||||||||||||||||||||||
Term of option | 6 years | 6 years | 6 years | 6 years | 6 years | ||||||||||||||||||||||
Employees [Member] | 2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 539,491 | 539,491 | 539,491 | 539,491 | 539,491 | ||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $ 18.680 | $ 18.680 | $ 18.680 | $ 18.680 | $ 18.680 | 18.680 | $ 18.680 | 18.680 | |||||||||||||||||||
Board Of Director And Officers [Member] | 2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 707,182 | 707,182 | 122,953 | 707,182 | 122,953 | 707,182 | 707,182 | 122,953 | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $ 6.350 | $ 6.350 | $ 6.350 | $ 6.350 | $ 6.350 | $ 6.350 | $ 6.350 | $ 6.350 | |||||||||||||||||||
Board member [Member] | 2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Stock Issued During Period, Value, Share-based Compensation, Gross | $ 3,834 | ||||||||||||||||||||||||||
Monthly grants of Common Stock and restricted shares approved | 639 | ||||||||||||||||||||||||||
Consultants [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Vesting period | 12 months | ||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 60,000 | ||||||||||||||||||||||||||
Warrant compensation expense for service provider | $ 1,131,000 | ||||||||||||||||||||||||||
Grants of Common Stock and restricted shares approved | 60,000 | ||||||||||||||||||||||||||
Consultants [Member] | Minimum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 30,000 | 45,000 | 13,750 | 30,000 | 30,000 | ||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $ 6.39 | $ 6.56 | |||||||||||||||||||||||||
Grants of Common Stock and restricted shares approved | 30,000 | 45,000 | 13,750 | 30,000 | 30,000 | ||||||||||||||||||||||
Consultants [Member] | Maximum [Member] | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 90,000 | 110,000 | 250,000 | 90,000 | 90,000 | ||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $ 10 | $ 12 | |||||||||||||||||||||||||
Grants of Common Stock and restricted shares approved | 90,000 | 110,000 | 250,000 | 90,000 | 90,000 | ||||||||||||||||||||||
Consultants [Member] | 2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Warrant compensation expense for service provider | $ 384,000 | ||||||||||||||||||||||||||
Monthly grants of Common Stock and restricted shares approved | 861 | ||||||||||||||||||||||||||
Director [Member] | 2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 5,034 | 5,034 | 5,034 | ||||||||||||||||||||||||
Certain service providers [Member] | 2012 Plan | |||||||||||||||||||||||||||
Class of Stock [Line Items] | |||||||||||||||||||||||||||
Stock Issued During Period, Value, Share-based Compensation, Gross | $ 5,166 | ||||||||||||||||||||||||||
Restricted shares issued | $ 18 | ||||||||||||||||||||||||||
Restricted shares issued (in shares) | 12,362 | ||||||||||||||||||||||||||
[1] | On November 18, 2019, the company affected a 1-for 20 reverse stock split (the “Reverse Stock Split”), see note 1f. | ||||||||||||||||||||||||||
[2] | Represents an amount lower than $1. |
FINANCIAL EXPENSES (INCOME), _3
FINANCIAL EXPENSES (INCOME), NET (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
FINANCIAL EXPENSES (INCOME), NET | ||||
Bank Charges | $ 42 | $ 19 | ||
Foreign currency adjustments (income) losses, net | (382) | 20 | ||
Interest income | (51) | 0 | ||
Total Financial expenses (income), net | $ (52) | $ 6 | $ (391) | $ 39 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) | Nov. 10, 2020 | Oct. 31, 2020 | Sep. 30, 2020 | Aug. 31, 2020 | Jul. 31, 2020 | May 31, 2020 | Apr. 30, 2020 | Mar. 31, 2020 | Jan. 31, 2020 | Dec. 31, 2020 | Jul. 28, 2020 | Jun. 30, 2020 |
Warrants to purchase common stock | 88,889 | 91,116 | 139,336 | 824,689 | ||||||||
Purchase price | $ 13 | |||||||||||
2012 Plan | ||||||||||||
Monthly grants of Common Stock and restricted shares approved | 1,500 | 1,500 | ||||||||||
Stock Issued During Period, Share-based Compensation, Gross | 110,250 | 110,250 | 110,250 | 110,250 | 110,250 | |||||||
2012 Plan | Director [Member] | ||||||||||||
Stock Issued During Period, Share-based Compensation, Gross | 5,034 | 5,034 | 5,034 | |||||||||
Subsequent Event | ||||||||||||
Number of shares converted | 5,552 | |||||||||||
Number of common shares issued upon conversion | 1,278,695 | |||||||||||
Subsequent Event | Placement Agent Warrants | ||||||||||||
Warrants to purchase common stock | 303,431 | |||||||||||
Net proceeds from Private Placement, net of issuance expenses | $ 219,757 | |||||||||||
Subsequent Event | Maximum [Member] | ||||||||||||
Shares Issued Price Per Share | $ 16.124 | |||||||||||
Subsequent Event | 2012 Plan | ||||||||||||
Stock Issued During Period, Share-based Compensation, Gross | 75,604 | 3,000 | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 6 years | |||||||||||
Stock reserved for future issuance | 900,000 | |||||||||||
Subsequent Event | 2012 Plan | Service Provider [Member] | ||||||||||||
Restricted shares granted | $ 18 | |||||||||||
Restricted shares issued (in shares) | 2,390 | |||||||||||
Subsequent Event | 2012 Plan | Maximum [Member] | ||||||||||||
Shares Issued Price Per Share | $ 16.124 | |||||||||||
Subsequent Event | 2012 Plan | Board member | ||||||||||||
Stock Issued During Period, Share-based Compensation, Gross | 1,238 | |||||||||||
Subsequent Event | 2012 Plan | Service providers | Minimum [Member] | ||||||||||||
Shares Issued Price Per Share | $ 12.67 | |||||||||||
Subsequent Event | 2012 Plan | Employees [Member] | ||||||||||||
Stock Issued During Period, Share-based Compensation, Gross | 84,000 | |||||||||||
Subsequent Event | 2012 Plan | Board Of Directors, Officers And Employees [Member] | ||||||||||||
Stock Issued During Period, Share-based Compensation, Gross | 41,526 | |||||||||||
Subsequent Event | 2012 Plan | Director [Member] | ||||||||||||
Stock Issued During Period, Share-based Compensation, Gross | 10,000 |