Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | May 12, 2017 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | true | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | DarioHealth Corp. | |
Entity Central Index Key | 1,533,998 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Trading Symbol | DRIO | |
Entity Common Stock, Shares Outstanding | 9,582,377 | |
Amendment Description | DarioHealth Corp. (the “Company”) is filing this Amendment No. 1 on Form 10-Q/A (“Amendment”) to amend its quarterly report on Form 10-Q for the fiscal quarter ended March 31, 2017 originally filed with the U.S. Securities and Exchange Commission (“SEC”) on May 15, 2017 (the “Original Filing”). As now discussed in Note 9 to the consolidated financial statements in the Amendment, the Company has restated its consolidated financial statements at March 31, 2017 and for the three months then ended in order to correct a certain error recorded for the three months ended March 31, 2017 relating to the re-measurement of certain liability warrants before their reclassification from liability to equity in the period ended March 31, 2017. We have made the necessary conforming changes in the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” discussion resulting from the adjustments provided above. Please refer to Note 9 — “Restatement of Previously Issued Consolidated Financial Statements” of this Amendment for more information on the effect of these adjustments. This Amendment speaks as of the date of the Original Filing and does not reflect any events that may have occurred subsequent to the Original Filing date. In addition, we have also updated the signature page, the certifications of our Chief Executive Officer and Chief Financial Officer in Exhibits 31.1, 31.2, 32.1 and 32.2 and our financial statements formatted in Extensible Business Reporting Language (XBRL) in Exhibit 101. No other sections of the Original Filing are affected, but for the convenience of the reader, this Amendment restates in its entirety, as amended, our Original Filing. This Amendment is presented as of the filing date of the Original Filing and does not reflect events occurring after that date, or modify or update disclosures in any way other than as required to reflect the restatement described above. The revised financial information included in this Amendment has been identified as “restated” in accordance with accounting principles generally accepted in the U.S. |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 2,817 | $ 1,093 |
Short-term bank deposits | 235 | 225 |
Trade Receivables | 482 | 226 |
Inventories | 849 | 888 |
Other accounts receivable and prepaid expenses | 702 | 504 |
Total current assets | 5,085 | 2,936 |
LEASE DEPOSITS | 44 | 35 |
PROPERTY AND EQUIPMENT, NET | 856 | 901 |
Total assets | 5,985 | 3,872 |
CURRENT LIABILITIES: | ||
Trade payables | 1,484 | 1,812 |
Other accounts payable and accrued expenses | 1,240 | 1,113 |
Total current liabilities | 2,724 | 2,925 |
LIABILITY RELATED TO WARRANTS | 28 | 7,488 |
STOCKHOLDERS' EQUITY (DEFICIENCY) | ||
Common Stock of $0.0001 par value -Authorized: 160,000,000 shares at March 31, 2017 (unaudited) and December 31, 2016; Issued and Outstanding: 7,976,521 and 5,713,383 shares at March 31, 2017 (unaudited) and December 31, 2016, respectively | 6 | 6 |
Preferred Stock of $0.0001 par value -Authorized: 5,000,000 shares at March 31, 2017 (unaudited) and December 31, 2016; Issued and Outstanding: None at March 31, 2017 (unaudited) and December 31, 2016 | 0 | 0 |
Additional paid-in capital | 63,600 | 48,413 |
Accumulated deficit | (60,373) | (54,960) |
Total stockholders' equity (deficiency) | 3,233 | (6,541) |
Total liabilities and stockholders' equity (deficiency) | $ 5,985 | $ 3,872 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2017 | Dec. 31, 2016 |
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 | 7,976,521 | 5,713,383 |
Common stock, shares, outstanding | 7,976,521 | 5,713,383 |
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 | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues | $ 1,007 | $ 568 |
Cost of revenues | 901 | 670 |
Gross profit (loss) | 106 | (102) |
Operating expenses: | ||
Research and development | 469 | 397 |
Sales and marketing | 1,825 | 519 |
General and administrative | 2,017 | 905 |
Total operating expenses | 4,311 | 1,821 |
Operating loss | (4,205) | (1,923) |
Financial expenses, net: | ||
Revaluation of warrants | 1,195 | 432 |
Other financial expense, net | 13 | 13 |
Total financial expenses, net | 1,208 | 445 |
Net loss | (5,413) | (2,368) |
Deemed dividend related to Series A Preferred Stock exchange agreement | 0 | 455 |
Net loss attributable to holders of Common Stock | $ (5,413) | $ (2,823) |
Net loss per share | ||
Basic and diluted loss per share (in dollars per share) | $ (0.75) | $ (0.77) |
Weighted average number of Common Stock used in computing basic and diluted net loss per share (in shares) | 7,195,801 | 3,652,474 |
STATEMENTS OF CHANGES IN STOCKH
STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIENCY) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated deficit [Member] | |||
Balance at Dec. 31, 2015 | $ (1,580) | $ 5 | $ 41,769 | $ (43,354) | |||
Balance (in shares) at Dec. 31, 2015 | 2,911,788 | ||||||
Issuance of Common Stock in March 2016 Public Offering, net of issuance cost | 1,572 | $ 1 | 1,571 | 0 | |||
Issuance of Common Stock in March 2016 Public Offering, net of issuance cost (in shares) | 1,333,333 | ||||||
Issuance of Common Stock in March 2016 Private Placement, net of issuance cost | 828 | [1] | 828 | 0 | |||
Issuance of Common Stock in March 2016 Private Placement, net of issuance cost (in shares) | 599,999 | ||||||
Issuance of Common Stock in January 2016 to service provider | 37 | [1] | 37 | 0 | |||
Issuance of Common Stock in January 2016 to service provider (in shares) | 5,556 | ||||||
Payment for executives, employee and directors under Salary Program | 310 | [1] | 310 | 0 | |||
Payment for executives, employee and directors under Salary Program (in shares) | 57,910 | ||||||
Issuance of Common Stock in March 2016 to officer | 86 | [1] | 86 | 0 | |||
Issuance of Common Stock in March 2016 to officer (in shares) | 20,000 | ||||||
Exercise of warrants into Common Stock, net of issuance cost | 210 | [1] | 210 | 0 | |||
Exercise of warrants into Common Stock, net of issuance cost (in shares) | 77,019 | ||||||
Exercise of non-plan options | [1] | [1] | [1] | 0 | |||
Exercise of non-plan options (in shares) | 84,106 | ||||||
Deemed dividend related to Series A Preferred Stock exchange agreement into Common Stock in March 2016 | 0 | $ 0 | 455 | (455) | |||
Deemed dividend related to Series A Preferred Stock exchange agreement into Common Stock in March 2016 (in shares) | 124,737 | ||||||
Deemed dividend related to extension of July 2015 Series A warrants in July 2016 | 0 | $ 0 | 265 | (265) | |||
Conversion of Series A Preferred Stock into Common Stock | 2,277 | [1] | 2,277 | 0 | |||
Conversion of Series A Preferred Stock into Common Stock (in shares) | 498,935 | ||||||
Stock-based compensation | 605 | $ 0 | 605 | 0 | |||
Net loss | (10,887) | 0 | 0 | (10,887) | |||
Balance at Dec. 31, 2016 | (6,541) | $ 6 | 48,413 | (54,960) | |||
Balance (in shares) at Dec. 31, 2016 | 5,713,383 | ||||||
Issuance of Common Stock in January 2017 Private Placement, net of issuance cost | 2,886 | [1] | 2,886 | 0 | |||
Issuance of Common Stock in January 2017 Private Placement, net of issuance cost (in shares) | 1,113,922 | ||||||
Payment for executives, employee and directors under Salary Program | 250 | [1] | 250 | 0 | |||
Payment for executives, employee and directors under Salary Program (in shares) | 77,891 | ||||||
Issuance of Common Stock in January 2017 to Employees | 1,198 | [1] | 1,198 | 0 | |||
Issuance of Common Stock in January 2017 to Employees (in shares) | 352,257 | ||||||
Issuance of Common Stock in January 2017 to consultants and service provider | 49 | [1] | 49 | 0 | |||
Issuance of Common Stock in January 2017 to consultants and service provider (in shares) | 11,553 | ||||||
Conversion of Series A Preferred Stock into Common Stock | 0 | ||||||
Issuance of Common Stock in March 2017 Private Placement, net of issuance cost | 1,878 | [1] | 1,878 | 0 | |||
Issuance of Common Stock in March 2017 Private Placement, net of issuance cost (in shares) | 707,515 | ||||||
Reclassification of warrants from liability to equity on March 8, 2017 | 8,655 | $ 0 | 8,655 | 0 | |||
Stock-based compensation | 271 | 0 | 271 | 0 | |||
Net loss | (5,413) | 0 | 0 | (5,413) | |||
Balance at Mar. 31, 2017 | $ 3,233 | $ 6 | $ 63,600 | $ (60,373) | |||
Balance (in shares) at Mar. 31, 2017 | 7,976,521 | ||||||
[1] | Represents an amount lower than $1. |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Cash flows from operating activities: | ||
Net loss | $ (5,413) | $ (2,368) |
Adjustments required to reconcile net loss to net cash used in operating activities: | ||
Stock-based compensation and Common Stock to service providers | 1,585 | 324 |
Depreciation | 44 | 102 |
Increase is trade receivables | (256) | 0 |
Decrease (increase) in accounts receivables and prepaid expenses | (210) | 10 |
Decrease (increase) in inventories | 39 | (404) |
Decrease in trade payables | (328) | (422) |
Decrease in deferred revenues | 0 | (23) |
Increase in other accounts payable and accrued expenses | 262 | 244 |
Change in fair value of warrants to purchase shares of Common stock | 1,195 | 432 |
Net cash used in operating activities | (3,082) | (2,105) |
Cash flows from investing activities: | ||
Maturity of (investment in) lease deposits | (9) | 8 |
Purchase of property and equipment | 0 | (35) |
Net cash used in investing activities | (9) | (27) |
Cash flows from financing activities: | ||
Proceeds from issuance of Common Stock and warrants, net of issuance cost | 4,816 | 7,538 |
Proceeds from exercise of options and warrants | 0 | 190 |
Net cash provided by financing activities | 4,816 | 7,728 |
Increase in cash and cash equivalents | 1,724 | 5,596 |
Cash and cash equivalents at the beginning of the period | 1,093 | 2,671 |
Cash and cash equivalents at the end of the period | 2,817 | 8,267 |
Non-cash investing and financing activities: | ||
Conversion of Series A Preferred Stock to Common Stock | 0 | 2,277 |
Reclassification of warrants from liability to equity | 8,655 | 0 |
Payment for directors and management under Shares for Cash Program | $ 183 | $ 51 |
GENERAL
GENERAL | 3 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1:- GENERAL a. DarioHealth Corp. (formerly LabStyle Innovations Corp.) (the “Company”) was incorporated in Delaware and commenced operations on August 11, 2011. The Company is a digital health (mHealth) company that is developing and commercializing a patented and proprietary technology providing consumers with laboratory-testing capabilities using smart phones and other mobile devices. The Company’s flagship product, Dario TM TM TM b. The Company’s wholly owned subsidiary, LabStyle Innovation Ltd. (“Ltd.” or “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. Ltd. has a wholly-owned subsidiary, LabStyle Innovations US LLC, a Delaware limited liability company (“LabStyle US”), which was established in 2014, however it has not started its operations to date. c. During the three months ended March 31, 2017, the Company incurred operating losses and negative cash flows from operating activities amounting to $ 4,205 3,082 These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying consolidated financial statements do not include any adjustments to reflect the possible future effects on recoverability and classification of assets or the amounts and classification of liabilities that may result from the outcome of this uncertainty. d. On March 4, 2016, the Company's Common Stock and warrants were approved for listing on NASDAQ Capital Market under the symbols “DRIO” and “DRIOW,” respectively . |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | NOTE 2:- SIGNIFICANT ACCOUNTING POLICIES 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, 2016 are applied consistently in these unaudited interim consolidated financial statements. |
UNAUDITED INTERIM FINANCIAL STA
UNAUDITED INTERIM FINANCIAL STATEMENTS | 3 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Accounting [Text Block] | NOTE 3:- UNAUDITED INTERIM FINANCIAL STATEMENTS The accompanying unaudited interim consolidated financial statements as of March 31, 2017, 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 March 31, 2017, and the Company's consolidated results of operations and the Company's consolidated cash flows for the three months ended March 31, 2017. Results for the three months ended March 31, 2017 are not necessarily indicative of the results that may be expected for the year ending December 31, 2017. |
INVENTORIES
INVENTORIES | 3 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | NOTE 4:- INVENTORIES March 31, December 31, 2017 2016 Unaudited Raw materials $ 424 $ 431 Finished products 425 457 $ 849 $ 888 During the three months ended March 31, 2017 and the year ended December 31, 2016, total inventory write-off expenses amounted to $ 22 315 |
COMMITMENTS AND CONTINGENT LIAB
COMMITMENTS AND CONTINGENT LIABILITIES | 3 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 5:- 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 (DEFICIENC
STOCKHOLDERS' EQUITY (DEFICIENCY) | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE 6:- STOCKHOLDERS' EQUITY (DEFICIENCY) a. On January 9, 2017, the Company commenced a private placement offering of up to $ 5,100 1,821,437 0.0001 1,821,437 5 1,113,922 1,113,922 3,119 2,886 707,515 707,515 1,981 1,878 b. In January 2017, 77,891 c. In January 10, 2017, 6,553 34,050 0.0001 d. In January and February 2017, the Company's Compensation Committee of the Board of Directors approved the grants of 367,257 211,492 286,229 21,000 3.202 4.121 three six e. Stock option compensation: Number of Weighted Weighted Aggregate options price contractual life value $ Years $ Options outstanding at beginning of year 583,334 16.53 4.87 7 Options granted 542,771 3.03 Options exercised - - Options expired (12,158) 5.29 Options forfeited (2,223) 5.76 Options outstanding at period end (unaudited) 1,111,724 10.08 5.22 109 Options vested and expected to vest at period end (unaudited) 998,923 10.62 5.19 109 Exercisable at period end (unaudited) 430,428 19.94 4.66 109 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 first quarter of 2017 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 March 31, 2017. This amount is impacted by the changes in the fair market value of the Common Stock. As of March 31, 2017, the total amount of unrecognized stock-based compensation expense was approximately $ 1,200 1.3 Three months ended March 31, 2017 2016 Unaudited Cost of revenues $ 54 $ 9 Research and development 71 26 Sales and marketing 123 31 General and administrative 1,337 258 Total stock-based compensation expenses $ 1,585 $ 324 |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | NOTE 7:- FAIR VALUE MEASUREMENTS Accounting Standards Codification 820, “Fair Value Measurements and Disclosures” (“ASC 820”), defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the asset or liability, such as inherent risk, transfer restrictions and risk of nonperformance. ASC 820 also establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument's categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. ASC 820 establishes three levels of inputs that may be used to measure fair value: Level 1 - quoted prices in active markets for identical assets or liabilities; Level 2 - inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, 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 assets or liabilities; or Level 3 - unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. On September 23, 2014, the Company consummated the September 2014 Private Placement. 1.15 91.75 1.48 0 0.49 On March 8, 2017, the March and August 2016 Warrant exercise price adjustment feature expired. The Company re-measured the warrant liability on March 8, 2017, using the Black-Scholes-Merton option-pricing model, and recorded financial expense from revaluation of the warrant in an amount of $ 1,207 8,655 1.87 155.4 0 3.37 (1) Risk-free interest rate - based on yield rates of non-index linked U.S. Federal Reserve treasury bonds. (2) Expected volatility - was calculated based on actual historical stock price movements of the Company over a term that is equivalent to the expected term of the option. (3) Expected life - the expected life was based on the expiration date of the warrants. (4) Expected dividend yield - was based on the fact that the Company has not paid dividends to its shareholders in the past and does not expect to pay dividends to its shareholders in the future. (5) The changes in Level 3 liabilities associated with the warrants are measured at fair value on a recurring basis. Fair value (Restated) Balance at December 31, 2016 $ 7,488 Reclassification of warrants from liability to equity (8,655) Change in fair value of warrants during the period 1,195 Balance at March 31, 2017 (unaudited) $ 28 |
FINANCIAL EXPENSES, NET
FINANCIAL EXPENSES, NET | 3 Months Ended |
Mar. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information [Text Block] | NOTE 8:- FINANCIAL EXPENSES, NET Three months ended March 31, 2017 2016 Unaudited (Restated) Bank charges $ 5 $ 4 Foreign currency translation adjustments 8 9 Change in fair value of warrants 1,195 432 Total financial income (expenses), net $ 1,208 $ 455 |
RESTATEMENT OF PREVIOUSLY ISSUE
RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS | 3 Months Ended |
Mar. 31, 2017 | |
Restatement Of Previously Issued Financial Statement [Abstract] | |
Restatement Of Previously Issued Financial Statement [Text Block] | NOTE 9 - RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS The Company has restated the Consolidated Financial Statements at March 31, 2017 and for the three months then ended (which were previously included in the Company’s 10Q filed with the Securities and Exchange Commission on May 15, 2017) in order to correct a certain error recorded in the three months ended March 31, 2017 relating to the reclassification of certain warrants from liability to equity. As Previously Restatement As Restated Total assets $ 5,985 $ - $ 5,985 Total current liability $ 2,724 $ - $ 2,724 Liability related to warrants 28 - 28 Common stock 6 6 Additional paid-in capital 54,945 8,655 63,600 Accumulated deficit (51,718) (8,655) (60,373) Total stockholders’ equity 3,233 - 3,233 Total liabilities and stockholders’ equity $ 5,985 $ - $ 5,985 As Previously Restatement As Restated Sales $ 1,007 $ - $ 1,007 Cost of Sales 901 - 901 Gross profit 106 - 106 Total operating expenses 4,311 - 4,311 Loss from operations (4,205) - (4,205) Revaluation of warrants 7,460 (8,655) (1,195) Financial expenses (13) - (13) Total financial income (expenses), net 7,447 (8,655) (1,208) Net income (loss) $ 3,242 $ (8,655) $ (5,413) Basic and diluted income (loss) per common share $ 0.45 $ (1.2) $ (0.75) As Previously Restatement As Restated Net income (loss) $ 3,242 $ (8,655) $ (5,413) Stock-based compensation and Common Stock to service providers 1,585 - 1,585 Depreciation 44 - 44 Increase is trade receivables (256) - (256) Increase in accounts receivables and prepaid expenses (210) - (210) Decrease in inventories 39 - 39 Decrease in trade payables (328) - (328) Decrease in deferred revenues - - - Increase in other accounts payable and accrued expenses 262 - 262 Change in fair value of warrants to purchase shares of Common stock (7,460) 8,655 1,195 Net cash used in operating activities (3,082) - (3,082) Net cash used in investment activities (9) - (9) Net cash provided by financing activities 4,816 - 4,816 Net increase in cash $ 1,724 $ - $ 1,724 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | NOTE 10:- SUBSEQUENT EVENTS On April 5, 2017, the Company closed a public offering (the “Public Offering”) of 1,450,000 3.10 3,840 In addition, the Company granted to the underwriters in the Public Offering a 45-day option period to purchase up to 217,500 4.185 36,250 3.875 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | March 31, December 31, 2017 2016 Unaudited Raw materials $ 424 $ 431 Finished products 425 457 $ 849 $ 888 |
STOCKHOLDERS' EQUITY (DEFICIE18
STOCKHOLDERS' EQUITY (DEFICIENCY) (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Transactions related to the grant of options to employees, directors and non-employees under the above plans during the three-month period ended March 31, 2017 were as follows: Number of Weighted Weighted Aggregate options price contractual life value $ Years $ Options outstanding at beginning of year 583,334 16.53 4.87 7 Options granted 542,771 3.03 Options exercised - - Options expired (12,158) 5.29 Options forfeited (2,223) 5.76 Options outstanding at period end (unaudited) 1,111,724 10.08 5.22 109 Options vested and expected to vest at period end (unaudited) 998,923 10.62 5.19 109 Exercisable at period end (unaudited) 430,428 19.94 4.66 109 |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block] | The total compensation cost related to all of the Company's equity-based awards recognized during the three-month period ended March 31, 2017 and 2016 was comprised as follows: Three months ended March 31, 2017 2016 Unaudited Cost of revenues $ 54 $ 9 Research and development 71 26 Sales and marketing 123 31 General and administrative 1,337 258 Total stock-based compensation expenses $ 1,585 $ 324 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | The following tabular presentation reflects the components of the liability associated with such warrants as of March 31, 2017: Fair value (Restated) Balance at December 31, 2016 $ 7,488 Reclassification of warrants from liability to equity (8,655) Change in fair value of warrants during the period 1,195 Balance at March 31, 2017 (unaudited) $ 28 |
FINANCIAL EXPENSES, NET (Tables
FINANCIAL EXPENSES, NET (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Other Nonoperating Income (Expense) [Table Text Block] | Three months ended March 31, 2017 2016 Unaudited (Restated) Bank charges $ 5 $ 4 Foreign currency translation adjustments 8 9 Change in fair value of warrants 1,195 432 Total financial income (expenses), net $ 1,208 $ 455 |
RESTATEMENT OF PREVIOUSLY ISS21
RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Restatement Of Previously Issued Financial Statement [Abstract] | |
Schedule Of Restatement Adjustments On Consolidated Balance Sheets [Table Text Block] | The effect of the restatement adjustments on the Consolidated Balance Sheet at March 31, 2017 follows: As Previously Restatement As Restated Total assets $ 5,985 $ - $ 5,985 Total current liability $ 2,724 $ - $ 2,724 Liability related to warrants 28 - 28 Common stock 6 6 Additional paid-in capital 54,945 8,655 63,600 Accumulated deficit (51,718) (8,655) (60,373) Total stockholders’ equity 3,233 - 3,233 Total liabilities and stockholders’ equity $ 5,985 $ - $ 5,985 |
Schedule Of Restatement Of Previously Reported Comprehensive Loss Statement [Table Text Block] | The effect of the restatement adjustments on the Consolidated Statement of Comprehensive Loss for the three months ended March 31, 2017 follows: As Previously Restatement As Restated Sales $ 1,007 $ - $ 1,007 Cost of Sales 901 - 901 Gross profit 106 - 106 Total operating expenses 4,311 - 4,311 Loss from operations (4,205) - (4,205) Revaluation of warrants 7,460 (8,655) (1,195) Financial expenses (13) - (13) Total financial income (expenses), net 7,447 (8,655) (1,208) Net income (loss) $ 3,242 $ (8,655) $ (5,413) Basic and diluted income (loss) per common share $ 0.45 $ (1.2) $ (0.75) |
Schedule Of Restatement To Previously Reported Cash Flow Statements [Table Text Block] | The effect of the restatement adjustments on the Consolidated Statement of Cash Flows for the three months ended March 31, 2017 follows: As Previously Restatement As Restated Net income (loss) $ 3,242 $ (8,655) $ (5,413) Stock-based compensation and Common Stock to service providers 1,585 - 1,585 Depreciation 44 - 44 Increase is trade receivables (256) - (256) Increase in accounts receivables and prepaid expenses (210) - (210) Decrease in inventories 39 - 39 Decrease in trade payables (328) - (328) Decrease in deferred revenues - - - Increase in other accounts payable and accrued expenses 262 - 262 Change in fair value of warrants to purchase shares of Common stock (7,460) 8,655 1,195 Net cash used in operating activities (3,082) - (3,082) Net cash used in investment activities (9) - (9) Net cash provided by financing activities 4,816 - 4,816 Net increase in cash $ 1,724 $ - $ 1,724 |
GENERAL (Details Textual)
GENERAL (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Organization And Presentation Of Financial Statements [Line Items] | ||
Operating Income (Loss) | $ 4,205 | $ 1,923 |
Net Cash Provided by (Used in) Operating Activities | $ 3,082 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Inventory [Line Items] | ||
Raw materials | $ 424 | $ 431 |
Finished products | 425 | 457 |
Inventory, Net | $ 849 | $ 888 |
INVENTORIES (Details Textual)
INVENTORIES (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Inventory [Line Items] | ||
Inventory Write-down | $ 22 | $ 315 |
STOCKHOLDERS' EQUITY (DEFICIE25
STOCKHOLDERS' EQUITY (DEFICIENCY) (Details) - Employee Stock Option [Member] - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options outstanding at beginning of year, Number of options | 583,334 | |
Options granted, Number of options | 542,771 | |
Options exercised, Number of options | 0 | |
Options expired, Number of options | (12,158) | |
Options forfeited, Number of options | (2,223) | |
Options outstanding at end of year, Number of options | 1,111,724 | 583,334 |
Options vested and expected to vest at end of year, Number of options | 998,923 | |
Exercisable at end of year, Number of options | 430,428 | |
Options outstanding at beginning of year, Weighted average exercise price | $ 16.53 | |
Options granted, Weighted average exercise price | 3.03 | |
Options exercised, Weighted average exercise price | 0 | |
Options expired, Weighted average exercise price | 5.29 | |
Options forfeited, Weighted average exercise price | 5.76 | |
Options outstanding at end of year, Weighted average exercise price | 10.08 | $ 16.53 |
Options vested and expected to vest at end of year, Weighted average exercise price | 10.62 | |
Exercisable at end of year, Weighted average exercise price | $ 19.94 | |
Options outstanding at, Weighted average remaining contractual life | 5 years 2 months 19 days | 4 years 10 months 13 days |
Options vested and expected to vest at end of year, Weighted average remaining contractual life | 5 years 2 months 8 days | |
Exercisable at end of year, Weighted average remaining contractual life | 4 years 7 months 28 days | |
Options outstanding, Aggregate Intrinsic value | $ 109 | $ 7 |
Options vested and expected to vest at end of year, Aggregate Intrinsic value | 109 | |
Exercisable at end of year, Aggregate Intrinsic value | $ 109 |
STOCKHOLDERS' EQUITY (DEFICIE26
STOCKHOLDERS' EQUITY (DEFICIENCY) (Details 1) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expenses | $ 1,585 | $ 324 |
Cost of revenues [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expenses | 54 | 9 |
Research and development [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expenses | 71 | 26 |
Sales, Marketing and pre-production costs [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expenses | 123 | 31 |
General and administrative [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expenses | $ 1,337 | $ 258 |
STOCKHOLDERS' EQUITY (DEFICIE27
STOCKHOLDERS' EQUITY (DEFICIENCY) (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | Feb. 06, 2017 | Jan. 11, 2017 | Jan. 10, 2017 | Feb. 28, 2017 | Jan. 31, 2017 | Jan. 09, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Class of Stock [Line Items] | ||||||||
Stock Issued During Period, Value, New Issues | $ 1,572 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ 1,200 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 3 months 18 days | |||||||
Stock Issued During Period Shares New Issues February 2014 | 1,821,437 | |||||||
Proceeds from Issuance of Private Placement | $ 5,100 | |||||||
Common Stock, Par Or Stated Value Per Share | $ 0.0001 | $ 0.0001 | ||||||
Equity Incentive Plan 2012 [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Issued During Period, Value, New Issues | $ 6,553 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 34,050 | |||||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0.0001 | |||||||
Officer [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 211,492 | |||||||
Board of Director and Officers [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 77,891 | |||||||
Employees [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 286,229 | |||||||
Consultants [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 21,000 | |||||||
Employees Directors And Consultants [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 6 years | |||||||
Stock Issued During Period, Shares, Share-based Compensation, Gross | 367,257 | |||||||
Employees Directors And Consultants [Member] | Minimum [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 3.202 | |||||||
Employees Directors And Consultants [Member] | Maximum [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 4.121 | |||||||
Private Placement [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 1,821,437 | |||||||
Proceeds from Issuance of Private Placement | $ 3,119 | |||||||
Exercisable Term | 5 years | |||||||
Payments of Stock Issuance Costs | $ 2,886 | |||||||
Common Stock, Par Or Stated Value Per Share | $ 0.0001 | |||||||
Private Placement [Member] | Investor [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Issued During Period, Shares, New Issues | 1,113,922 | |||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 1,113,922 | |||||||
Securities Purchase Agreements [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Issued During Period, Shares, New Issues | 707,515 | |||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 707,515 | |||||||
Proceeds from Issuance of Private Placement | $ 1,981 | |||||||
Payments of Stock Issuance Costs | $ 1,878 |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |
Balance at December 31, 2016 | $ 7,488 |
Reclassification of warrants from liability to equity | (8,655) |
Change in fair value of warrants during the period | 1,195 |
Balance at March 31, 2017 | $ 28 |
FAIR VALUE MEASUREMENTS (Deta29
FAIR VALUE MEASUREMENTS (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | Mar. 08, 2017 | Mar. 31, 2017 | Mar. 31, 2016 |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | |||
Risk-free interest rate | 1.87% | 1.15% | |
Expected volatility | 155.40% | 91.75% | |
Expected life (in years) | 1 year 5 months 23 days | ||
Expected dividend yield | 0.00% | 0.00% | |
Fair value per warrant | $ 3.37 | $ 0.49 | |
Fair Value Adjustment of Warrants | $ 1,207 | $ 1,195 | $ 432 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Reclassification Of Warrants From Liability To Equity. | $ (8,655) | ||
Fair Value Assumptions, Risk Free Interest Rate | 1.87% | 1.15% | |
Fair Value Assumptions, Expected Volatility Rate | 155.40% | 91.75% | |
Fair Value Assumptions, Expected Dividend Rate | 0.00% | 0.00% | |
Fair Value Assumptions, Exercise Price | $ 3.37 | $ 0.49 |
FINANCIAL EXPENSES, NET (Detail
FINANCIAL EXPENSES, NET (Details) - USD ($) $ in Thousands | Mar. 08, 2017 | Mar. 31, 2017 | Mar. 31, 2016 |
Selected Statements Of Operations Data [Line Items] | |||
Bank charges | $ 5 | $ 4 | |
Foreign currency translation adjustments | 8 | 9 | |
Change in fair value of warrants | $ 1,207 | 1,195 | 432 |
Total financial expenses, net | $ 1,208 | $ 445 |
RESTATEMENT OF PREVIOUSLY ISS31
RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Restatement Of Previously Issued Financial Statement [Line Items] | |||
Total assets | $ 5,985 | $ 3,872 | |
Total current liability | 2,724 | 2,925 | |
Liability related to warrants | 28 | 7,488 | |
Common stock | 6 | 6 | |
Additional paid-in capital | 63,600 | 48,413 | |
Accumulated deficit | (60,373) | (54,960) | |
Total stockholders’ equity | 3,233 | (6,541) | $ (1,580) |
Total liabilities and stockholders’ equity | 5,985 | $ 3,872 | |
Scenario, Previously Reported [Member] | |||
Restatement Of Previously Issued Financial Statement [Line Items] | |||
Total assets | 5,985 | ||
Total current liability | 2,724 | ||
Liability related to warrants | 28 | ||
Common stock | 6 | ||
Additional paid-in capital | 54,945 | ||
Accumulated deficit | (51,718) | ||
Total stockholders’ equity | 3,233 | ||
Total liabilities and stockholders’ equity | 5,985 | ||
Restatement Adjustment [Member] | |||
Restatement Of Previously Issued Financial Statement [Line Items] | |||
Total assets | 0 | ||
Total current liability | 0 | ||
Liability related to warrants | 0 | ||
Additional paid-in capital | 8,655 | ||
Accumulated deficit | (8,655) | ||
Total stockholders’ equity | 0 | ||
Total liabilities and stockholders’ equity | $ 0 |
RESTATEMENT OF PREVIOUSLY ISS32
RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Details 1) - USD ($) $ / shares in Units, $ in Thousands | Mar. 08, 2017 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 |
Restatement Of Previously Issued Financial Statement [Line Items] | ||||
Sales | $ 1,007 | $ 568 | ||
Cost of Sales | 901 | 670 | ||
Gross profit | 106 | (102) | ||
Total operating expenses | 4,311 | 1,821 | ||
Loss from operations | (4,205) | (1,923) | ||
Revaluation of warrants | $ (1,207) | (1,195) | (432) | |
Financial expenses | (13) | (13) | ||
Total financial income (expenses), net | (1,208) | (445) | ||
Net income (loss) | $ (5,413) | $ (2,368) | $ (10,887) | |
Basic and diluted income (loss) per common share | $ (0.75) | $ (0.77) | ||
Scenario, Previously Reported [Member] | ||||
Restatement Of Previously Issued Financial Statement [Line Items] | ||||
Sales | $ 1,007 | |||
Cost of Sales | 901 | |||
Gross profit | 106 | |||
Total operating expenses | 4,311 | |||
Loss from operations | (4,205) | |||
Revaluation of warrants | 7,460 | |||
Financial expenses | (13) | |||
Total financial income (expenses), net | 7,447 | |||
Net income (loss) | $ 3,242 | |||
Basic and diluted income (loss) per common share | $ 0.45 | |||
Restatement Adjustment [Member] | ||||
Restatement Of Previously Issued Financial Statement [Line Items] | ||||
Sales | $ 0 | |||
Cost of Sales | 0 | |||
Gross profit | 0 | |||
Total operating expenses | 0 | |||
Loss from operations | 0 | |||
Revaluation of warrants | (8,655) | |||
Financial expenses | 0 | |||
Total financial income (expenses), net | (8,655) | |||
Net income (loss) | $ (8,655) | |||
Basic and diluted income (loss) per common share | $ (1.2) |
RESTATEMENT OF PREVIOUSLY ISS33
RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Details 2) - USD ($) $ in Thousands | Mar. 08, 2017 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 |
Restatement Of Previously Issued Financial Statement [Line Items] | ||||
Net income (loss) | $ (5,413) | $ (2,368) | $ (10,887) | |
Stock-based compensation and Common Stock to service providers | 1,585 | 324 | ||
Depreciation | 44 | 102 | ||
Increase is trade receivables | (256) | 0 | ||
Increase in accounts receivables and prepaid expenses | (210) | 10 | ||
Decrease in inventories | 39 | (404) | ||
Decrease in trade payables | (328) | (422) | ||
Decrease in deferred revenues | 0 | (23) | ||
Increase in other accounts payable and accrued expenses | 262 | 244 | ||
Change in fair value of warrants to purchase shares of Common stock | $ 1,207 | 1,195 | 432 | |
Net cash used in operating activities | (3,082) | |||
Net cash used in investment activities | (9) | |||
Net cash provided by financing activities | 4,816 | |||
Net increase in cash | 1,724 | $ 5,596 | ||
Scenario, Previously Reported [Member] | ||||
Restatement Of Previously Issued Financial Statement [Line Items] | ||||
Net income (loss) | 3,242 | |||
Stock-based compensation and Common Stock to service providers | 1,585 | |||
Depreciation | 44 | |||
Increase is trade receivables | (256) | |||
Increase in accounts receivables and prepaid expenses | (210) | |||
Decrease in inventories | 39 | |||
Decrease in trade payables | (328) | |||
Decrease in deferred revenues | 0 | |||
Increase in other accounts payable and accrued expenses | 262 | |||
Change in fair value of warrants to purchase shares of Common stock | (7,460) | |||
Net cash used in operating activities | (3,082) | |||
Net cash used in investment activities | (9) | |||
Net cash provided by financing activities | 4,816 | |||
Net increase in cash | 1,724 | |||
Restatement Adjustment [Member] | ||||
Restatement Of Previously Issued Financial Statement [Line Items] | ||||
Net income (loss) | (8,655) | |||
Stock-based compensation and Common Stock to service providers | 0 | |||
Depreciation | 0 | |||
Increase is trade receivables | 0 | |||
Increase in accounts receivables and prepaid expenses | 0 | |||
Decrease in inventories | 0 | |||
Decrease in trade payables | 0 | |||
Decrease in deferred revenues | 0 | |||
Increase in other accounts payable and accrued expenses | 0 | |||
Change in fair value of warrants to purchase shares of Common stock | 8,655 | |||
Net cash used in operating activities | 0 | |||
Net cash used in investment activities | 0 | |||
Net cash provided by financing activities | 0 | |||
Net increase in cash | $ 0 |
SUBSEQUENT EVENTS (Details Text
SUBSEQUENT EVENTS (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended |
Apr. 05, 2017 | Dec. 31, 2016 | |
Subsequent Event [Line Items] | ||
Stock Issued During Period, Value, New Issues | $ 1,572 | |
Subsequent Event [Member] | ||
Subsequent Event [Line Items] | ||
Stock Issued During Period, Shares, New Issues | 1,450,000 | |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 3.875 | |
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 36,250 | |
Stock Issued During Period, Value, New Issues | $ 3,840 | |
Shares Issued, Price Per Share | $ 3.10 | |
Subsequent Event [Member] | Underwriting Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Stock Issued During Period, Shares, New Issues | 217,500 | |
Shares Issued, Price Per Share | $ 4.185 |