Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Nov. 01, 2017 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | EKSO BIONICS HOLDINGS, INC. | |
Entity Central Index Key | 1,549,084 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Trading Symbol | EKSO | |
Entity Common Stock, Shares Outstanding | 59,903,876 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash | $ 33,439 | $ 16,846 |
Accounts receivable, net | 2,168 | 1,780 |
Inventories, net | 2,378 | 1,556 |
Prepaid expenses and other current assets | 2,097 | 502 |
Deferred cost of revenue, current | 86 | 0 |
Total current assets | 40,168 | 20,684 |
Property and equipment, net | 2,301 | 2,435 |
Intangible assets, net | 626 | 1,026 |
Goodwill | 189 | 189 |
Other assets | 121 | 91 |
Total assets | 43,405 | 24,425 |
Current liabilities: | ||
Accounts payable | 990 | 1,879 |
Accrued liabilities | 2,746 | 3,556 |
Deferred revenues, current | 1,242 | 825 |
Note payable, current | 1,556 | 0 |
Other liabilities, current | 58 | 54 |
Total current liabilities | 6,592 | 6,314 |
Deferred revenue | 685 | 805 |
Note payable | 5,368 | 6,789 |
Warrant liabilities | 767 | 3,546 |
Contingent consideration liability | 248 | 217 |
Contingent success fee liability | 13 | 116 |
Other non-current liabilities | 65 | 107 |
Total liabilities | 13,738 | 17,894 |
Commitments and contingencies (Note 15) | ||
Stockholders' equity: | ||
Convertible preferred stock, $0.001 par value; 10,000 shares authorized; none issued and outstanding at September 30, 2017, and December 31, 2016, respectively | 0 | 0 |
Common stock, $0.001 par value; 71,429 shares authorized; 59,904 and 21,894 shares issued and outstanding as of September 30, 2017, and December 31, 2016, respectively | 60 | 22 |
Additional paid-in capital | 165,060 | 121,291 |
Accumulated other comprehensive (loss) income | (277) | 79 |
Accumulated deficit | (135,176) | (114,861) |
Total stockholders' equity | 29,667 | 6,531 |
Total liabilities and stockholders' equity | $ 43,405 | $ 24,425 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets [Parenthetical] - $ / shares shares in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Convertible Preferred stock, par value per share | $ 0.001 | $ 0.001 |
Convertible Preferred stock, shares authorized | 10,000 | 10,000 |
Convertible Preferred stock, shares issued | 0 | 0 |
Convertible Preferred stock, shares outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 71,429 | 71,429 |
Common Stock, Shares, Issued | 59,904 | 21,894 |
Common Stock, Shares, Outstanding | 59,904 | 21,894 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Revenue: | ||||
Device and related | $ 1,587 | $ 1,495 | $ 4,862 | $ 11,003 |
Engineering services | 10 | 101 | 38 | 631 |
Total revenue | 1,597 | 1,596 | 4,900 | 11,634 |
Cost of revenue: | ||||
Device and related | 1,045 | 1,123 | 3,593 | 9,078 |
Engineering services | 8 | 70 | 15 | 452 |
Total cost of revenue | 1,053 | 1,193 | 3,608 | 9,530 |
Gross profit | 544 | 403 | 1,292 | 2,104 |
Operating expenses: | ||||
Sales and marketing | 3,226 | 2,735 | 9,563 | 8,151 |
Research and development | 1,986 | 2,216 | 7,491 | 6,586 |
General and administrative | 2,414 | 2,318 | 7,430 | 8,271 |
Restructuring | 0 | 0 | 665 | 0 |
Change in fair value, contingent liabilities | (16) | 0 | (191) | 0 |
Total operating expenses | 7,610 | 7,269 | 24,958 | 23,008 |
Loss from operations | (7,066) | (6,866) | (23,666) | (20,904) |
Other income (expense), net: | ||||
Gain (loss) on revaluation of warrant liabilities | 1,814 | (1,620) | 4,851 | 3,030 |
Loss on repurchase of warrants | (1,067) | 0 | (1,067) | 0 |
Interest income (expense) and other, net | (16) | 8 | (262) | (20) |
Total other income (expense), net | 731 | (1,612) | 3,522 | 3,010 |
Net loss | (6,335) | (8,478) | (20,144) | (17,894) |
Less: Preferred deemed dividend | 0 | (3,016) | 0 | (10,345) |
Net loss applicable to common stockholders | (6,335) | (11,494) | (20,144) | (28,239) |
Foreign currency translation adjustments | (122) | (17) | (356) | (6) |
Comprehensive loss | $ (6,457) | $ (11,511) | $ (20,500) | $ (28,245) |
Net loss per share applicable to common stockholders, basic | $ (0.18) | $ (0.60) | $ (0.73) | $ (1.67) |
Weighted average number of shares of common stock outstanding, basic | 34,720 | 19,005 | 27,425 | 16,888 |
Net loss per share applicable to common stockholders, diluted | $ (0.18) | $ (0.60) | $ (0.73) | $ (1.78) |
Weighted average number of shares of common stock outstanding, diluted | 34,720 | 19,005 | 27,425 | 17,595 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Operating activities: | ||
Net loss | $ (20,144) | $ (17,894) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Gain on change in fair value of warrant liabilities | (4,851) | (3,030) |
Stock-based compensation expense | 1,755 | 2,552 |
Depreciation and amortization | 1,304 | 1,381 |
Provision for doubtful accounts | 100 | 0 |
Amortization of deferred rent | 10 | (27) |
Accretion of final payment fee of debt | 72 | 0 |
Amortization of debt discounts | 63 | 0 |
Gain on change in fair value of contingent liabilities | (72) | 0 |
Loss on repurchase of warrants | 1,067 | 0 |
Unrealized gain on foreign currency transactions | (425) | 0 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (488) | (131) |
Inventories | (1,239) | (1,026) |
Note receivable | 0 | (75) |
Prepaid expense and other assets | (1,618) | (94) |
Deferred costs of revenue | (86) | 4,498 |
Accounts payable | (750) | (1,335) |
Accrued liabilities | (577) | 1,279 |
Deferred revenues | 297 | (6,653) |
Net cash used in operating activities | (25,582) | (20,555) |
Investing activities: | ||
Acquisition of property and equipment | (353) | (728) |
Net cash used in investing activities | (353) | (728) |
Financing activities: | ||
Proceeds from issuance of common stock and warrants, net | 42,463 | 14,694 |
Principal payments on note payable | (46) | (58) |
Fees paid related to issuance of convertible preferred stock | 0 | (173) |
Proceeds from exercise of stock options | 42 | 74 |
Net cash provided by financing activities | 42,459 | 14,537 |
Effect of exchange rate changes on cash | 69 | (6) |
Net increase (decrease) in cash | 16,593 | (6,752) |
Cash at beginning of period | 16,846 | 19,552 |
Cash at end of period | 33,439 | 12,800 |
Supplemental disclosure of non-cash activities | ||
Transfer of property and equipment to inventory | 417 | 167 |
Repurchase of warrants and share issuance | 2,245 | 0 |
April 2017 warrant issuance | 3,301 | 0 |
Supply earn-out | 189 | 0 |
Sales earn-out | 47 | 0 |
Cumulative retrospective adjustment to retained earnings for ASU 2016-09 adoption | $ 171 | $ 0 |
Organization
Organization | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | 1. Organization Description of Business Ekso Bionics Holdings, Inc. (the “Company”) is a leading developer of exoskeleton solutions that amplify human potential by supporting or enhancing strength, endurance and mobility across medical, industrial and defense applications. Founded in 2005, the Company continues to build upon its unparalleled expertise to design some of the most cutting-edge, innovative wearable robots available on the market. Ekso Bionics is the only exoskeleton company to offer technologies that range from helping those with paralysis to stand up and walk, to enhancing human capabilities on job sites across the globe, to providing research for the advancement of R&D projects intended to benefit U.S. defense capabilities. The Company is headquartered in the Bay Area and is listed on the Nasdaq Capital Market under the symbol “EKSO”. All common stock share and per share amounts have been adjusted to reflect the one-for-seven reverse stock split completed on May 4, 2016. See Note 12, Capitalization and Equity Structure Reverse Stock Split Liquidity and Going Concern As of December 31, 2016, the Company had an accumulated deficit of $114,861 and cash on hand of $ 16,846 25,582 In 2017, management has taken several actions to alleviate the substantial doubt about the Company’s ability to continue as a going concern that existed as of the date of issuance of the December 31, 2016 consolidated financial statements, including, but not limited to, the following: · streamlining its operations and reducing its workforce by approximately 27 employees to lower operating expenses and reduce cash burn; · conducting a registered direct offering of 3,732 10,919 · conducting a rights offering, which resulted in the issuance of an aggregate of 13,465 13,179 20,535 20,535 With cash on hand of 33,439 as of he Company believes that it currently has sufficient cash to fund its operations beyond the look forward period of one year from the issuance of these condensed consolidated financial statements . The Company’s actual capital requirements may vary significantly and will depend on many factors. The Company plans to continue its investments (i) in its clinical, sales and marketing initiatives to accelerate adoption of the Ekso robotic exoskeleton in the rehabilitation market, (ii) in its research, development and commercialization activities with respect to an Ekso robotic exoskeleton for home use, and/or (iii) in the development and commercialization of able-bodied exoskeletons for industrial use. Consequently, the Company may require significant additional financing in the future, which the Company intends to raise through corporate collaborations, public or private equity offerings, debt financings, or warrant solicitations. Sales of additional equity securities by us could result in the dilution of the interests of existing stockholders. There can be no assurance that financing will be available when required in sufficient amounts, on acceptable terms or at all. In the event that the necessary additional financing is not obtained, the Company may be required to further reduce its discretionary overhead costs substantially, including research and development, general and administrative, and sales and marketing expenses or otherwise curtail operations. |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies and Estimates | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies and Estimates | 2. Basis of Presentation and Summary of Significant Accounting Policies and Estimates In the opinion of management, the accompanying unaudited condensed consolidated financial statements have been prepared on a consistent basis with the audited consolidated financial statements for the fiscal year ended December 31, 2016, which included an explanatory paragraph expressing substantial doubt about the Company’s ability to continue as a going concern in the report of our independent registered public accounting firm, and include all adjustments, consisting of only normal recurring adjustments, necessary to fairly state the information set forth herein. The condensed consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) and therefore, omit certain information and footnote disclosure necessary to present the financial statements in accordance with generally accepted accounting principles in the United States (“GAAP”). These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2016, which was filed with the SEC on March 15, 2017. The results of operations for the three months and nine months ended September 30, 2017 are not necessarily indicative of the results to be expected for the entire fiscal year or any future periods. The preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the balance sheet, and the reported amounts of revenues and expenses during the reporting period. For the Company, these estimates include, but are not limited to: revenue recognition, deferred revenue and the deferral of the associated costs, future warranty costs, maintenance and planned improvement costs associated with medical device units sold prior to 2016, useful lives assigned to long-lived assets, realizability of deferred tax assets, the valuation of options and warrants, and contingencies. Actual results could differ from those estimates. The Company assesses its ability to continue as a going concern at every interim and annual period in accordance with Accounting Standards Codification 205-40. The accompanying condensed consolidated financial statements have been prepared assuming that the Company will continue as a going concern. Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and accounts receivable. We maintain our cash accounts in excess of federally insured limits. However, we believe we are not exposed to significant credit risk due to the financial position of the depository institutions in which these deposits are held. We extend credit to customers in the normal course of business and perform ongoing credit evaluations of our customers. Concentrations of credit risk with respect to accounts receivable exist to the full extent of amounts presented in the consolidated financial statements. We do not require collateral from our customers to secure accounts receivable. Accounts receivable are derived from the sale of products shipped to and services performed for customers. Invoices are aged based on contractual terms with the customer. The Company reviews accounts receivable for collectability and records an allowance for credit losses, as needed. The Company has not experienced any material losses related to accounts receivable as of September 30, 2017 and December 31, 2016. Many of the sales contracts with customers outside of the U.S. are settled in a foreign currency. The Company does not enter into any foreign currency hedging agreements and is susceptible to gains and losses from foreign currency fluctuations. To date, we have not experienced significant gains or losses upon settling foreign currency denominated accounts receivable. As of September 30, 2017, we had one customer with an accounts receivable balance totaling 10 13 18 16 11 In the three months ended September 30, 2017, we had one customer with sales of 10 16 15 10 The Company builds medical device robotic exoskeletons for sale and capitalizes into inventory materials, direct and indirect labor and overhead in connection with the manufacture and assembly of these units. When the Company brought its first version medical device to market in 2012, the Company could not be certain as to the costs it would incur to support, maintain, service, and upgrade these early stage devices. Primarily for this reason, prior to January 1, 2016, the sale of a device, associated software, initial training, and extended support and maintenance were deemed as a single unit of accounting due to the uncertainty of the Company’s follow-up maintenance and upgrade expenses, which were forecast to extend over three years. Accordingly, the revenue from the sales of the device and associated cost of revenue were deferred at the time of shipment. Upon completion of training, the amount of the arrangements was recognized as revenue and cost of revenue over a three-year period on a straight-line basis, while all service expenses, whether or not covered by the Company’s original warranty, extended warranty contracts, or neither, were recognized as incurred. Effective January 1, 2016, the Company determined it had established (i) separate individual pricing for training, extended warranty coverage, and out-of-contract service or repairs, (ii) sufficient historical evidence of customer buying patterns for extended warranty and maintenance coverage, and (iii) a basis for estimating and recording warranty and service costs to allow the Company to separate its multiple element arrangements into two distinct units of accounting: (1) the device, associated software, original manufacturer warranty and training if required, and (2) extended support and maintenance. As a result, in the first quarter of 2016, the Company began to recognize revenue related to its sales transactions on a multiple element approach in which revenue is recognized upon the delivery of the separate elements to the customer. Revenue relating to the undelivered elements is deferred using the relative selling price method, which allocates revenue to each element using the estimated selling prices for the deliverables when vendor-specific objective evidence or third-party evidence is not available. For sales on or after January 1, 2016, revenue and associated cost of revenue of medical devices is recognized when delivered, or training has been completed, if required. Revenue for extended maintenance and support agreements is recognized on a straight-line basis over the contractual term of the agreement, which typically ranges from one to four years. As a result of this change, the Company recognized medical device revenue previously deferred at December 31, 2015 of $ 6,517 4,159 2,358 0.13 212 911 In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date Revenue from Contracts with Customers (Topic 606) Identifying Performance Obligations and Licensing Revenue from Contracts with Customers (Topic 606) Narrow-Scope Improvements and Practical Expedients In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In January 2017, the FASB issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment. In May 2017, the FASB issued ASU No. 2017-09, Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting In March 2016, the FASB issued ASU No. 2016-09 Compensation Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting 171 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss) Income | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive (Loss) Income Foreign Currency Translation Balance at December 31, 2016 $ 79 Other comprehensive loss before reclassification (356) Balance at September 30, 2017 $ (277) |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 4. Fair Value Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. Three levels of inputs, of which the first two are considered observable and the last unobservable, may be used to measure fair value which are the following: • Level 1 Quoted prices in active markets for identical assets or liabilities. The Company considers a market to be active when transactions for the asset occur with sufficient frequency and volume to provide pricing information on an ongoing basis. • Level 2 Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices 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. • 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. The valuation of Level 3 investments requires the use of significant management judgments or estimation. Total Level 1 Level 2 Level 3 September 30, 2017 Liabilities Warrant liabilities $ 767 $ - $ - $ 767 Contingent consideration liability $ 248 $ - $ - $ 248 Contingent success fee liability $ 13 $ - $ - $ 13 December 31, 2016 Liabilities Warrant liability $ 3,546 $ - $ - $ 3,546 Contingent consideration liability $ 217 $ - $ - $ 217 Contingent success fee liability $ 116 $ - $ - $ 116 Contingent Contingent Warrant Consideration Success Fee Liabilities Liability Liability Balance at December 31, 2016 $ 3,546 $ 217 $ 116 Initial fair value of April 2017 Warrants 3,301 - - Revaluation of 2015 and April 2017 Warrants (4,851) - - Repurchase of April 2017 Warrants (2,296) - - Loss on repurchase of April 2017 Warrants 1,067 - - Loss on increase in fair value of obligation - 31 - Gain on decrease in fair value of obligation - - (103) Balance at September 30, 2017 $ 767 $ 248 $ 13 Refer to Note 12 Capitalization and Equity Structure Warrants for additional information regarding the repurchase and valuation of warrants. |
Inventories, net
Inventories, net | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories, net | 5. Inventories, net September 30, 2017 December 31, 2016 Raw materials $ 1,516 $ 1,193 Work in progress - 198 Finished goods 964 267 2,480 1,658 Less: inventory reserve (102) (102) Inventories, net $ 2,378 $ 1,556 |
Deferred Revenues
Deferred Revenues | 9 Months Ended |
Sep. 30, 2017 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Revenues | 6. Deferred Revenues In connection with our medical devices, the Company often receives cash payments before the earnings process is complete. The Company records the payments as customer deposits until a device is shipped to the customer. The cash received is recorded as a component of deferred revenue. September 30, December 31, 2017 2016 Customer deposits and advances $ 48 $ 47 Deferred rental income 65 60 Deferred extended maintenance and support 1,814 1,523 Total deferred revenues 1,927 1,630 Less current portion (1,242) (825) Deferred revenues, non-current $ 685 $ 805 Deferred medical device unit costs $ 86 $ - Less current portion (86) - Deferred cost of revenue, non-current $ - $ - |
Intangible Assets
Intangible Assets | 9 Months Ended |
Sep. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure | Intangible Assets Cost Accumulated Amortization Net Developed technology $ 1,160 $ (709) $ 451 Customer relationships 70 (43) 27 Customer trade name 380 (232) 148 $ 1,610 $ (984) $ 626 Estimated future amortization for the remainder of 2017 and 2018, is $ 135 491 |
Accrued Liabilities
Accrued Liabilities | 9 Months Ended |
Sep. 30, 2017 | |
Accrued Liabilities and Other Liabilities [Abstract] | |
Accrued Liabilities | 8. Accrued Liabilities September 30, December 31, 2017 2016 Salaries, benefits and related expenses $ 1,648 $ 2,349 Device maintenance 259 483 Device warranty 136 203 Professional fees 363 56 Clinical trials 99 35 Equipois earn-out - 355 Other 241 75 Total $ 2,746 $ 3,556 Maintenance Warranty Total Balance at December 31, 2016 $ 483 $ 203 $ 686 Incurred costs (224) (67) (291) Balance at September 30, 2017 $ 259 $ 136 $ 395 |
Restructuring
Restructuring | 9 Months Ended |
Sep. 30, 2017 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Impairment and Other Activities Disclosure | 9. Restructuring In May of 2017, the Company streamlined its operations and reduced its workforce by approximately 27 The Company recorded restructuring expense of $ 665 480 186 refer to Note 13, Stock-Based Compensation for issuance of restricted stock units Employee Severance and Other Benefits Balance at December 31, 2016 $ - Restructuring charges 665 Cash payments (471) Stock based compensation expense (186) Balance at September 30, 2017 $ 8 |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | 10. Long-Term Debt In December 2016, the Company entered into a loan agreement and received $ 7,000 bears interest on the outstanding daily balance at a floating per annum rate equal to the 30-day U.S. LIBOR rate plus 5.41% 3,000 The loan agreement created a first priority security interest with respect to substantially all assets of the Company, including proceeds of intellectual property, but expressly excluding intellectual property itself. The Company is required to pay accrued interest on the current loan on the first day of each month through and including January 1, 2018, or July 1, 2018 if the additional $3,000 is drawn. Commencing on February 1, 2018, or August 1, 2018 if the additional $3,000 is drawn, the Company is required to make equal monthly payments of principal, together with accrued and unpaid interest. The principal balance of the current loan amortizes ratably over 36 months and matures on January 1, 2021 245 72 In December 2016, and pursuant to the loan agreement, the Company entered into a success fee agreement with the lender under which the Company agreed to pay the lender a $ 250 8.00 he estimated fair value of the success fee was determined using the Binomial Lattice Model and was recorded as a discount to the debt obligation. The fair value of the contingent success fee is re-measured each reporting period with any adjustments in fair value being recognized in the condensed consolidated statements of operations and comprehensive loss. The success fee is classified as a liability on the condensed consolidated balance sheets. At September 30, 2017, the fair value of the contingent success fee liability was $ 13 The loan agreement includes a liquidity covenant requiring that the Company maintain unrestricted cash and cash equivalents in accounts of the lender or subject to control agreements in favor of the lender in an amount equal to at least three months of “Monthly Cash Burn,” which is the Company’s average monthly net income (loss) for the trailing six-month period plus certain expenses and plus the average monthly principal due and payable on interest-bearing liabilities in the immediately succeeding three-month period. Such amount was determined to be $ 6,984 33,439 The final payment fee, debt issuance costs, and the initial fair value of the success fee combined with the stated interest result in an effective annual interest rate of 9.20 8.96 Period Amount 2017 $ - 2018 2,139 2019 2,333 2020 2,333 2021 440 Total principal payments 7,245 Less final payment fee, discount and issuance cost (321) Long-term debt, net $ 6,924 Current portion 1,556 Long-term portion 5,368 Long-term debt, net $ 6,924 |
Lease Obligations
Lease Obligations | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Lease Obligations | 11. Lease Obligations The Company renewed its operating lease agreement in May 2017 for its headquarters and manufacturing facility in Richmond, California. Following renewal, the lease term will expire in May 2022. In July 2017, the Company entered into an operating lease agreement having a five-year lease term for an office in Hamburg, Germany. The Company has an option to extend the lease for another five-year term. The Company continues to lease an office in Freiburg with plans to sublease the office by the end of 2017. In August 2015, the Company entered into a long-term capital lease obligation for equipment. The aggregate principal of the lease is $ 166 4.7 3 July 1, 2020 September 30, 2017 Period Capital Lease Operating Lease 2017 remainder $ 9 $ 149 2018 37 605 2019 37 620 2020 22 632 2021 - 556 Thereafter - 251 Total minimum payments 105 $ 2,813 Less interest (7) Present value minimum payments 98 Less current portion (33) Long-term portion $ 65 Rent expense under the Company’s operating leases was $ 138 101 347 299 |
Capitalization and Equity Struc
Capitalization and Equity Structure | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Capitalization and Equity Structure | 12. Capitalization and Equity Structure Reverse Stock Split After the close of the stock market on May 4, 2016, the Company effected a 1-for-7 reverse split of its common stock. As a result, all common stock share amounts included in this filing have been retroactively reduced by a factor of seven, and all common stock per share amounts have been increased by a factor of seven, with the exception of our common stock par value. Common stock outstanding, including the issuance of new shares of common stock as a result of the conversion of preferred stock and the exercise of stock options and warrants, was affected by the 1-for-7 reverse split. Common Stock In April 2017, the Company sold in a registered direct offering an aggregate of 3,732 0.001 1,866 10,919 Rights Offering In August of 2017, the Company commenced a $ 34,000 offering (the “Rights Offering”) to its existing stockholders and certain warrant holders of the Company on the record date of August 10, 2017. The subscription price was $ 1.00 1.1608 40 In connection with the rights offering, the Company entered into a Warrant Repurchase and Amendment Agreement (“Repurchase Agreement”) with all of the holders of the warrants issued in April 2017 (the “April 2017 Warrants”). Under the Repurchase Agreement, the Company agreed to repurchase the April 2017 Warrants from each holder at a price of $ 1.23 1,866 2,245 The Company sold an aggregate of 13,465 13,465 286 13,179 20,535 20,535 131 Warrants Exercise Term December 31, September 30, Source Price (Years) 2016 Issued Repurchased (1) Expired 2017 Information Agent Warrants $ 1.50 3 - 200 - - 200 April 2017 Warrants $ 4.10 5 - 1,866 (1,866) - - 2015 Warrants $ 3.74 5 1,634 - - - 1,634 2014 PPO and Merger Placement agent warrants $ 7.00 5 426 - - - 426 Bridge warrants $ 7.00 3 371 - - (371) - PPO warrants $ 14.00 5 1,078 - - - 1,078 Pre-2014 warrants $ 9.66 9-10 88 - - - 88 3,597 2,066 (1,866) (371) 3,426 (1) April 2017 Warrants were repurchased at a price of $1.23 per underlying share, as a result of the Rights Offering. Information Agent Warrants In September 2017, in connection with the Rights Offering in August of 2017, the Company issued warrants to purchase 200 1.50 April 2017 Warrants In April 2017, the Company issued the April 2017 Warrants to purchase 1,866 4.10 185 2015 Warrants In December 2015, the Company issued warrants to purchase 2,122 3.74 The warrant liability related to the 2015 Warrants is measured at fair value at each reporting date using certain estimated inputs, which are classified within Level 3 of the fair value hierarchy. The following assumptions were used in the Black Scholes Option Pricing Model to measure the fair value of the 2015 warrants as of September 30, 2017: Current share price $ 1.21 Conversion price $ 3.74 Risk-free interest rate 1.66 % Term (years) 3.25 Volatility of stock 95 % |
Stock-based Compensation
Stock-based Compensation | 9 Months Ended |
Sep. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments | In June 2017, the Company stockholders approved an amendment of the Company’s Amended and Restated 2014 Equity Incentive Plan (the “2014 Plan”) to increase the number of shares available for grant by 1,000 4,714 534 Stock Options Weighted- Average Weighted- Remaining Aggregate Stock Average Contractual Intrinsic Awards Exercise Price Life (Years) Value Balance as of December 31, 2016 2,477 $ 6.50 Options granted 835 $ 2.00 Options exercised (73) $ 0.58 Options forfeited (162) $ 6.79 Options cancelled (105) $ 6.63 Balance as of September 30, 2017 2,972 $ 5.36 7.57 $ 33 Vested and expected to vest at September 30, 2017 2,972 $ 5.36 7.57 $ 33 Exercisable as of September 30, 2017 1,515 $ 6.35 5.99 $ 30 As of September 30, 2017, total unrecognized compensation cost related to unvested stock options was $ 3,647 2.35 Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Dividend yield Risk-free interest rate 1.83% - 1.94 % 1.25% - 1.26 % 1.83% - 2.29 % 1.24% - 1.78 % Expected term (in years) 5-6 6 5 - 9 5-10 Volatility 87 % 80 % 82 % 79 % Restricted Stock Units Beginning in 2017, the Company issued restricted stock units (“RSUs”), to employees and non-employees as permitted by the 2014 Plan. Each restricted stock unit corresponds to one share of the Company’s common stock and becomes issuable upon vesting. The fair value of restricted stock units is determined based on the closing price of the Company’s common stock on the date of grant. In April 2017, the Company granted a total of 153 In May 2017, the Company granted a total of 120 115 In August 2017, the Company granted a total of 451 Weighted- Average Grant Number of Shares Date Fair Value Unvested as of January 1, 2017 - Granted 724 $ 1.64 Vested 115 $ 1.59 Forfeited - Unvested at September 30, 2017 609 Compensation Expense Total stock-based compensation expense related to options and RSUs granted to employees and non-employees is included in the condensed consolidated statements of operations and comprehensive loss as follows: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Sales and marketing $ 187 $ 103 $ 365 $ 541 Research and development 103 127 287 499 General and administrative 360 221 917 1,512 Restructuring charges - - 186 - $ 650 $ 451 $ 1,755 $ 2,552 Employee Stock Purchase Plan In June 2017, the Company’s stockholders approved the Employee Stock Purchase Plan (the “2017 ESPP”). Under the 2017 ESPP, the Company reserved 500 401(k) Plan Share Match In August 2017, the Company’s Board of Directors approved a match benefit to the Ekso Bionics 401(k) plan (the “401(k) Plan”) in the form of shares of the Company’s common stock. The Company will make a matching contribution to the 401(k) Plan in an amount equal to 100 50 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 14. Income Taxes There were no material changes to the unrecognized tax benefits in the nine months ended September 30, 2017, and the Company does not expect significant changes to unrecognized tax benefits through the end of the fiscal year. Because of the Company’s history of tax losses, all years remain open to tax examination. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 15. Commitments and Contingencies Material Contracts The Company enters various license, research collaboration and development agreements which provide for payments to the Company for government grants, fees, cost reimbursements typically with a markup, technology transfer and license fees, and royalty payments on sales. The Company has two license agreements with the Regents of the University of California to maintain exclusive rights to certain patents. Pursuant to those license agreements, the Company is required to pay 1 21 1 50 In connection with acquisition of Equipois, the Company assumed the rights and obligations of Equipois under a license agreement with the developer of certain intellectual property related to mechanical balance and support arm technologies, which grants the Company an exclusive license with respect to the technology and patent rights for certain fields of use. Pursuant to the terms of the license agreement, the Company will be required to pay the developer a single-digit royalty on net receipts, subject to a $ 50 Contingencies In the normal course of business, the Company is subject to various legal matters. In the opinion of management, the resolution of such matters will not have a material adverse effect on the Company’s condensed consolidated financial statements. |
Net Loss Per Share
Net Loss Per Share | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Net Loss Per Share Three months ended Nine months ended September 30, September 30, 2017 2016 2017 2016 Numerator: Net loss applicable to common stockholders Basic $ (6,335) $ (11,494) $ (20,144) $ (28,239) Adjustment for revaluation of warrant liability - - - (3,030) Diluted $ (6,335) $ (11,494) $ (20,144) $ (31,269) Denominator: Weighted-average number of shares, basic 34,720 19,005 27,425 16,888 Effect of dilutive warrants - - - 707 Weighted-average numbers of shares, diluted 34,720 19,005 27,425 17,595 Net loss per share, basic $ (0.18) $ (0.60) $ (0.73) $ (1.67) Net loss per share, diluted $ (0.18) $ (0.60) $ (0.73) $ (1.78) Three months ended Nine months ended September 30, September 30, 2017 2016 2017 2016 Options to purchase common stock 2,972 2,474 2,972 2,474 Restricted stock 609 - 609 - Warrants for common stock 3,426 4,085 3,426 1,963 Total common stock equivalents 7,007 6,559 7,007 4,437 |
Segment Disclosures
Segment Disclosures | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Disclosures | 17. Segment Disclosures The Company has three reportable segments: Medical Devices, Industrial Sales, and Engineering Services. The Medical Devices segment designs and engineers technology for, and commercializes, manufactures, and sells exoskeletons for applications in the medical markets. The Industrial Sales segment designs, engineers, commercializes, and sells exoskeleton devices to allow able-bodied users to perform heavy duty work for extended periods. Engineering Services generates revenue principally from collaborative research and development service arrangements, technology license agreements, and government grants where the Company uses its robotics domain knowledge in bionic exoskeletons to bid on and procure contracts and grants from entities such as the National Science Foundation and the Defense Advanced Research Projects Agency. The Company evaluates performance and allocates resources based on segment gross profit margin. The reportable segments are each managed separately because they serve distinct markets, and one segment provides a service and the others manufacture and distribute unique products. The Company does not consider net assets as a segment measure and, accordingly, assets are not allocated. Device and Related Engineering Medical Industrial Total Services Total Three months ended September 30, 2017 Revenue $ 1,320 $ 267 $ 1,587 $ 10 $ 1,597 Cost of revenue 880 165 1,045 8 1,053 Gross profit $ 440 $ 102 $ 542 $ 2 $ 544 Three months ended September 30, 2016 Revenue $ 1,089 $ 406 $ 1,495 $ 101 $ 1,596 Cost of revenue 833 290 1,123 70 1,193 Gross profit $ 256 $ 116 $ 372 $ 31 $ 403 Device and Related Engineering Medical Industrial Total Services Total Nine months ended September 30, 2017 Revenue $ 3,692 $ 1,170 $ 4,862 $ 38 $ 4,900 Cost of revenue 2,786 807 3,593 15 3,608 Gross profit $ 906 $ 363 $ 1,269 $ 23 $ 1,292 Nine months ended September 30, 2016 Revenue $ 10,321 $ 682 $ 11,003 $ 631 $ 11,634 Cost of revenue 8,543 535 9,078 452 9,530 Gross profit $ 1,778 $ 147 $ 1,925 $ 179 $ 2,104 Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 United States $ 1,130 $ 1,243 $ 3,092 $ 6,940 All Other 467 353 1,808 4,694 $ 1,597 $ 1,596 $ 4,900 $ 11,634 |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | On September 19, 2017, Ted Wang, Ph.D, was appointed to the Board of Directors and as a member of the Nominating and Governance Committee of the Board. Dr. Wang is the Chief Investment Officer and a founder of Puissance Capital Management LP. Dr. Wang was elected as a director following his nomination to the Board by Puissance Cross-Border Opportunities II LLC (“Puissance”), a stockholder of the Company and an affiliate of Puissance Capital Management LP. Puissance served as the committed investor in connection with the Company’s recently completed rights offering, in connection with which Puissance purchased 20,535 20,535 34 Prior to Dr. Wang’s appointment to the Board, the Company entered into a one-year consulting agreement with Angel Pond Capital LLC (“Angel Pond”), an entity affiliated with Puissance. Angel Pond will assist the Company with strategic positioning in the Asia Pacific region, including the introduction to potential strategic and capital partner(s) and the development of strategic partnership(s) for the sale and manufacture of the Company’s products in that market. In the third quarter of 2017, the Company made aggregate payments of $ 2,150 |
Basis of Presentation and Sum24
Basis of Presentation and Summary of Significant Accounting Policies and Estimates (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | In the opinion of management, the accompanying unaudited condensed consolidated financial statements have been prepared on a consistent basis with the audited consolidated financial statements for the fiscal year ended December 31, 2016, which included an explanatory paragraph expressing substantial doubt about the Company’s ability to continue as a going concern in the report of our independent registered public accounting firm, and include all adjustments, consisting of only normal recurring adjustments, necessary to fairly state the information set forth herein. The condensed consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) and therefore, omit certain information and footnote disclosure necessary to present the financial statements in accordance with generally accepted accounting principles in the United States (“GAAP”). These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2016, which was filed with the SEC on March 15, 2017. The results of operations for the three months and nine months ended September 30, 2017 are not necessarily indicative of the results to be expected for the entire fiscal year or any future periods. |
Use of Estimates | Use of Estimates The preparation of the condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the balance sheet, and the reported amounts of revenues and expenses during the reporting period. For the Company, these estimates include, but are not limited to: revenue recognition, deferred revenue and the deferral of the associated costs, future warranty costs, maintenance and planned improvement costs associated with medical device units sold prior to 2016, useful lives assigned to long-lived assets, realizability of deferred tax assets, the valuation of options and warrants, and contingencies. Actual results could differ from those estimates. |
Going Concern | The Company assesses its ability to continue as a going concern at every interim and annual period in accordance with Accounting Standards Codification 205-40. The accompanying condensed consolidated financial statements have been prepared assuming that the Company will continue as a going concern. |
Concentration of Credit Risk and Other Risks and Uncertainties | Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash and accounts receivable. We maintain our cash accounts in excess of federally insured limits. However, we believe we are not exposed to significant credit risk due to the financial position of the depository institutions in which these deposits are held. We extend credit to customers in the normal course of business and perform ongoing credit evaluations of our customers. Concentrations of credit risk with respect to accounts receivable exist to the full extent of amounts presented in the consolidated financial statements. We do not require collateral from our customers to secure accounts receivable. Accounts receivable are derived from the sale of products shipped to and services performed for customers. Invoices are aged based on contractual terms with the customer. The Company reviews accounts receivable for collectability and records an allowance for credit losses, as needed. The Company has not experienced any material losses related to accounts receivable as of September 30, 2017 and December 31, 2016. Many of the sales contracts with customers outside of the U.S. are settled in a foreign currency. The Company does not enter into any foreign currency hedging agreements and is susceptible to gains and losses from foreign currency fluctuations. To date, we have not experienced significant gains or losses upon settling foreign currency denominated accounts receivable. As of September 30, 2017, we had one customer with an accounts receivable balance totaling 10 13 18 16 11 In the three months ended September 30, 2017, we had one customer with sales of 10 16 15 10 |
Revenue and Cost of Revenue Recognition | Medical Device Revenue and Cost of Revenue Recognition The Company builds medical device robotic exoskeletons for sale and capitalizes into inventory materials, direct and indirect labor and overhead in connection with the manufacture and assembly of these units. When the Company brought its first version medical device to market in 2012, the Company could not be certain as to the costs it would incur to support, maintain, service, and upgrade these early stage devices. Primarily for this reason, prior to January 1, 2016, the sale of a device, associated software, initial training, and extended support and maintenance were deemed as a single unit of accounting due to the uncertainty of the Company’s follow-up maintenance and upgrade expenses, which were forecast to extend over three years. Accordingly, the revenue from the sales of the device and associated cost of revenue were deferred at the time of shipment. Upon completion of training, the amount of the arrangements was recognized as revenue and cost of revenue over a three-year period on a straight-line basis, while all service expenses, whether or not covered by the Company’s original warranty, extended warranty contracts, or neither, were recognized as incurred. Effective January 1, 2016, the Company determined it had established (i) separate individual pricing for training, extended warranty coverage, and out-of-contract service or repairs, (ii) sufficient historical evidence of customer buying patterns for extended warranty and maintenance coverage, and (iii) a basis for estimating and recording warranty and service costs to allow the Company to separate its multiple element arrangements into two distinct units of accounting: (1) the device, associated software, original manufacturer warranty and training if required, and (2) extended support and maintenance. As a result, in the first quarter of 2016, the Company began to recognize revenue related to its sales transactions on a multiple element approach in which revenue is recognized upon the delivery of the separate elements to the customer. Revenue relating to the undelivered elements is deferred using the relative selling price method, which allocates revenue to each element using the estimated selling prices for the deliverables when vendor-specific objective evidence or third-party evidence is not available. For sales on or after January 1, 2016, revenue and associated cost of revenue of medical devices is recognized when delivered, or training has been completed, if required. Revenue for extended maintenance and support agreements is recognized on a straight-line basis over the contractual term of the agreement, which typically ranges from one to four years. As a result of this change, the Company recognized medical device revenue previously deferred at December 31, 2015 of $ 6,517 4,159 2,358 0.13 212 911 |
Recent Accounting Pronouncements | In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date Revenue from Contracts with Customers (Topic 606) Identifying Performance Obligations and Licensing Revenue from Contracts with Customers (Topic 606) Narrow-Scope Improvements and Practical Expedients In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In January 2017, the FASB issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment. In May 2017, the FASB issued ASU No. 2017-09, Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards In March 2016, the FASB issued ASU No. 2016-09 Compensation Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting 171 |
Accumulated Other Comprehensi25
Accumulated Other Comprehensive (Loss) Income (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Disclosure Text Block [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The change in accumulated other comprehensive (loss) income presented on the condensed consolidated balance sheets and the impact of significant amounts reclassified from accumulated other comprehensive (loss) income on information presented in the condensed consolidated statements of operations and comprehensive loss for the nine months ending September 30, 2017 are reflected in the table below, net of tax: Foreign Currency Translation Balance at December 31, 2016 $ 79 Other comprehensive loss before reclassification (356) Balance at September 30, 2017 $ (277) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The Company’s fair value hierarchies for its financial assets and liabilities which require fair value measurement are as follows: Total Level 1 Level 2 Level 3 September 30, 2017 Liabilities Warrant liabilities $ 767 $ - $ - $ 767 Contingent consideration liability $ 248 $ - $ - $ 248 Contingent success fee liability $ 13 $ - $ - $ 13 December 31, 2016 Liabilities Warrant liability $ 3,546 $ - $ - $ 3,546 Contingent consideration liability $ 217 $ - $ - $ 217 Contingent success fee liability $ 116 $ - $ - $ 116 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | Contingent Contingent Warrant Consideration Success Fee Liabilities Liability Liability Balance at December 31, 2016 $ 3,546 $ 217 $ 116 Initial fair value of April 2017 Warrants 3,301 - - Revaluation of 2015 and April 2017 Warrants (4,851) - - Repurchase of April 2017 Warrants (2,296) - - Loss on repurchase of April 2017 Warrants 1,067 - - Loss on increase in fair value of obligation - 31 - Gain on decrease in fair value of obligation - - (103) Balance at September 30, 2017 $ 767 $ 248 $ 13 |
Inventories, net (Tables)
Inventories, net (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current | September 30, 2017 December 31, 2016 Raw materials $ 1,516 $ 1,193 Work in progress - 198 Finished goods 964 267 2,480 1,658 Less: inventory reserve (102) (102) Inventories, net $ 2,378 $ 1,556 |
Deferred Revenues (Tables)
Deferred Revenues (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Deferred Revenue Disclosure [Abstract] | |
Schedule of Customer Deposits, Advances, Deferred Revenues, and Deferred Unit Costs | Deferred revenues consisted of the following: September 30, December 31, 2017 2016 Customer deposits and advances $ 48 $ 47 Deferred rental income 65 60 Deferred extended maintenance and support 1,814 1,523 Total deferred revenues 1,927 1,630 Less current portion (1,242) (825) Deferred revenues, non-current $ 685 $ 805 Deferred medical device unit costs $ 86 $ - Less current portion (86) - Deferred cost of revenue, non-current $ - $ - |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Finite-lived Intangible Assets Amortization Expense | The following table reflects the amortization of the purchased intangible assets as of September 30, 2017: Cost Accumulated Amortization Net Developed technology $ 1,160 $ (709) $ 451 Customer relationships 70 (43) 27 Customer trade name 380 (232) 148 $ 1,610 $ (984) $ 626 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Accrued Liabilities and Other Liabilities [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities consisted of the following: September 30, December 31, 2017 2016 Salaries, benefits and related expenses $ 1,648 $ 2,349 Device maintenance 259 483 Device warranty 136 203 Professional fees 363 56 Clinical trials 99 35 Equipois earn-out - 355 Other 241 75 Total $ 2,746 $ 3,556 |
Product Maintenance And Warranty | A reconciliation of the changes in the current portion of maintenance and warranty liabilities for the period ended September 30, 2017 is as follows: Maintenance Warranty Total Balance at December 31, 2016 $ 483 $ 203 $ 686 Incurred costs (224) (67) (291) Balance at September 30, 2017 $ 259 $ 136 $ 395 |
Restructuring (Tables)
Restructuring (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | The following table summarizes accrued restructuring costs as of September 30, 2017: Employee Severance and Other Benefits Balance at December 31, 2016 $ - Restructuring charges 665 Cash payments (471) Stock based compensation expense (186) Balance at September 30, 2017 $ 8 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Maturities of Long-term Debt | The following table presents scheduled principal payments of our long-term debt and final payment fee as of September 30, 2017: Period Amount 2017 $ - 2018 2,139 2019 2,333 2020 2,333 2021 440 Total principal payments 7,245 Less final payment fee, discount and issuance cost (321) Long-term debt, net $ 6,924 Current portion 1,556 Long-term portion 5,368 Long-term debt, net $ 6,924 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Maturities of Future Obligations | The Company estimates future minimum payments as of September 30, 2017 Period Capital Lease Operating Lease 2017 remainder $ 9 $ 149 2018 37 605 2019 37 620 2020 22 632 2021 - 556 Thereafter - 251 Total minimum payments 105 $ 2,813 Less interest (7) Present value minimum payments 98 Less current portion (33) Long-term portion $ 65 |
Capitalization and Equity Str34
Capitalization and Equity Structure (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Schedule of Warrant share activity | Exercise Term December 31, September 30, Source Price (Years) 2016 Issued Repurchased (1) Expired 2017 Information Agent Warrants $ 1.50 3 - 200 - - 200 April 2017 Warrants $ 4.10 5 - 1,866 (1,866) - - 2015 Warrants $ 3.74 5 1,634 - - - 1,634 2014 PPO and Merger Placement agent warrants $ 7.00 5 426 - - - 426 Bridge warrants $ 7.00 3 371 - - (371) - PPO warrants $ 14.00 5 1,078 - - - 1,078 Pre-2014 warrants $ 9.66 9-10 88 - - - 88 3,597 2,066 (1,866) (371) 3,426 (1) April 2017 Warrants were repurchased at a price of $1.23 per underlying share, as a result of the Rights Offering. |
Warrant [Member] | |
Schedule of assumption used in valuation | Current share price $ 1.21 Conversion price $ 3.74 Risk-free interest rate 1.66 % Term (years) 3.25 Volatility of stock 95 % |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Compensation, Stock Options, Activity | The following table summarizes information about the Company’s stock options outstanding at September 30, 2017, and activity during the nine months then ended: Weighted- Average Weighted- Remaining Aggregate Stock Average Contractual Intrinsic Awards Exercise Price Life (Years) Value Balance as of December 31, 2016 2,477 $ 6.50 Options granted 835 $ 2.00 Options exercised (73) $ 0.58 Options forfeited (162) $ 6.79 Options cancelled (105) $ 6.63 Balance as of September 30, 2017 2,972 $ 5.36 7.57 $ 33 Vested and expected to vest at September 30, 2017 2,972 $ 5.36 7.57 $ 33 Exercisable as of September 30, 2017 1,515 $ 6.35 5.99 $ 30 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The per-share fair value of each stock option was determined on the date of grant using the Black-Scholes option pricing model using the following assumptions: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Dividend yield Risk-free interest rate 1.83% - 1.94 % 1.25% - 1.26 % 1.83% - 2.29 % 1.24% - 1.78 % Expected term (in years) 5-6 6 5 - 9 5-10 Volatility 87 % 80 % 82 % 79 % |
Schedule of Unvested Restricted Stock Units Roll Forward | RSU activity for the nine months ended September 30, 2017 is summarized below: Weighted- Average Grant Number of Shares Date Fair Value Unvested as of January 1, 2017 - Granted 724 $ 1.64 Vested 115 $ 1.59 Forfeited - Unvested at September 30, 2017 609 |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | Total stock-based compensation expense related to options and RSUs granted to employees and non-employees is included in the condensed consolidated statements of operations and comprehensive loss as follows: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 Sales and marketing $ 187 $ 103 $ 365 $ 541 Research and development 103 127 287 499 General and administrative 360 221 917 1,512 Restructuring charges - - 186 - $ 650 $ 451 $ 1,755 $ 2,552 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted net loss per share: Three months ended Nine months ended September 30, September 30, 2017 2016 2017 2016 Numerator: Net loss applicable to common stockholders Basic $ (6,335) $ (11,494) $ (20,144) $ (28,239) Adjustment for revaluation of warrant liability - - - (3,030) Diluted $ (6,335) $ (11,494) $ (20,144) $ (31,269) Denominator: Weighted-average number of shares, basic 34,720 19,005 27,425 16,888 Effect of dilutive warrants - - - 707 Weighted-average numbers of shares, diluted 34,720 19,005 27,425 17,595 Net loss per share, basic $ (0.18) $ (0.60) $ (0.73) $ (1.67) Net loss per share, diluted $ (0.18) $ (0.60) $ (0.73) $ (1.78) |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The following table sets forth potential shares of common stock that are not included in the calculation of diluted net loss per share because to do so would be anti-dilutive as of the end of each period presented: Three months ended Nine months ended September 30, September 30, 2017 2016 2017 2016 Options to purchase common stock 2,972 2,474 2,972 2,474 Restricted stock 609 - 609 - Warrants for common stock 3,426 4,085 3,426 1,963 Total common stock equivalents 7,007 6,559 7,007 4,437 |
Segment Disclosures (Tables)
Segment Disclosures (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | Segment reporting information is as follows: Device and Related Engineering Medical Industrial Total Services Total Three months ended September 30, 2017 Revenue $ 1,320 $ 267 $ 1,587 $ 10 $ 1,597 Cost of revenue 880 165 1,045 8 1,053 Gross profit $ 440 $ 102 $ 542 $ 2 $ 544 Three months ended September 30, 2016 Revenue $ 1,089 $ 406 $ 1,495 $ 101 $ 1,596 Cost of revenue 833 290 1,123 70 1,193 Gross profit $ 256 $ 116 $ 372 $ 31 $ 403 Device and Related Engineering Medical Industrial Total Services Total Nine months ended September 30, 2017 Revenue $ 3,692 $ 1,170 $ 4,862 $ 38 $ 4,900 Cost of revenue 2,786 807 3,593 15 3,608 Gross profit $ 906 $ 363 $ 1,269 $ 23 $ 1,292 Nine months ended September 30, 2016 Revenue $ 10,321 $ 682 $ 11,003 $ 631 $ 11,634 Cost of revenue 8,543 535 9,078 452 9,530 Gross profit $ 1,778 $ 147 $ 1,925 $ 179 $ 2,104 |
Schedule of Geographic Information | Geographic information for revenue based on location of customers is as follows: Three months ended September 30, Nine months ended September 30, 2017 2016 2017 2016 United States $ 1,130 $ 1,243 $ 3,092 $ 6,940 All Other 467 353 1,808 4,694 $ 1,597 $ 1,596 $ 4,900 $ 11,634 |
Organization (Details Textual)
Organization (Details Textual) - USD ($) shares in Thousands, $ in Thousands | 1 Months Ended | 9 Months Ended | |||
Aug. 31, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Organization [Line Items] | |||||
Retained Earnings (Accumulated Deficit), Total | $ (135,176) | $ (114,861) | |||
Cash and Cash Equivalents, at Carrying Value | 33,439 | $ 12,800 | $ 16,846 | $ 19,552 | |
Net Cash Provided by (Used in) Operating Activities | $ (25,582) | $ (20,555) | |||
Substantial Doubt about Going Concern, Management's Plans, Substantial Doubt Alleviated | In 2017, management has taken several actions to alleviate the substantial doubt about the Company’s ability to continue as a going concern that existed as on the date of issuance of the December 31, 2016 consolidated financial statements including but not limited to the following: streamlining its operations and reducing its workforce by approximately 27 employees to lower operating expenses and reduce cash burn. sold an aggregate of 3,732 shares of its common stock in a registered direct offering for net proceeds of $10,919. sold an aggregate of 13,465 shares of its common stock in a rights offering for net proceeds of $13,179 and 20,535 shares of its common stock to the backstop investor in a private placement in conjunction with the rights offering for proceeds of $20,535. The Company intends to use these proceeds to broaden its footprint in Asia, support research, development and commercialization activities, and for working capital. | ||||
Registered Direct Offering [Member] | |||||
Organization [Line Items] | |||||
Stock Issued During Period, Shares, New Issues | 3,732 | ||||
Proceeds from Issuance of Common Stock | $ 10,919 | ||||
Rights Offering [Member] | |||||
Organization [Line Items] | |||||
Stock Issued During Period, Shares, New Issues | 13,465 | 13,465 | |||
Proceeds from Issuance of Common Stock | $ 13,179 | $ 13,179 | |||
Private Placement [Member] | |||||
Organization [Line Items] | |||||
Stock Issued During Period, Shares, New Issues | 20,535 | ||||
Proceeds from Issuance of Private Placement | $ 20,535 |
Basis of Presentation and Sum39
Basis of Presentation and Summary of Significant Accounting Policies and Estimates (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Jan. 31, 2017 | |
Accounting Standards Update 2016-09 [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ 171 | ||||||
Medical Device [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
Deferred Revenue, Revenue Recognized | $ 6,517 | ||||||
Cost of Revenue | $ 4,159 | ||||||
Product Liability Accrual, Component Amount | $ 212 | $ 212 | |||||
Customer Advances and Deposits, Current | $ 911 | 911 | |||||
Reduction In Net Loss Attributable To Common Stock Holders | $ 2,358 | ||||||
Reduction Percentage In Net Loss Attributable To Common Stock Holders | $ 0.13 | ||||||
Customer One [Member] | Accounts Receivable [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration Risk, Percentage | 13.00% | 18.00% | |||||
Customer One [Member] | Sales Revenue, Net [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration Risk, Percentage | 16.00% | 15.00% | |||||
Customer Two [Member] | Accounts Receivable [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration Risk, Percentage | 16.00% | ||||||
Customer Three [Member] | Accounts Receivable [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration Risk, Percentage | 11.00% | ||||||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration Risk, Percentage | 10.00% | ||||||
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration Risk, Percentage | 10.00% | 10.00% | 10.00% |
Accumulated Other Comprehensi40
Accumulated Other Comprehensive (Loss) Income (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Balance at December 31, 2016 | $ 79 |
Other comprehensive loss before reclassification | (356) |
Balance at September 30, 2017 | $ (277) |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Liabilities: | ||
Warrant liabilities | $ 767 | $ 3,546 |
Contingent success fee liability | 13 | |
Fair Value, Measurements, Recurring [Member] | ||
Liabilities: | ||
Warrant liabilities | 767 | 3,546 |
Contingent consideration liability | 248 | 217 |
Contingent success fee liability | 13 | 116 |
Quoted Prices in Active Markets for Identical Items Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Liabilities: | ||
Warrant liabilities | 0 | 0 |
Contingent consideration liability | 0 | 0 |
Contingent success fee liability | 0 | 0 |
Significant Other Observable Inputs Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Liabilities: | ||
Warrant liabilities | 0 | 0 |
Contingent consideration liability | 0 | 0 |
Contingent success fee liability | 0 | 0 |
Significant Unobservable Inputs Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Liabilities: | ||
Warrant liabilities | 767 | 3,546 |
Contingent consideration liability | 248 | 217 |
Contingent success fee liability | $ 13 | $ 116 |
Fair Value Measurements (Deta42
Fair Value Measurements (Details 1) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Derivative Financial Instruments, Liabilities [Member] | |
Balance | $ 3,546 |
Initial fair value of April 2017 Warrants | 3,301 |
Revaluation of 2015 and April 2017 Warrants | (4,851) |
Repurchase of April 2017 Warrants | (2,296) |
Loss on repurchase of April 2017 Warrants | 1,067 |
Balance | 767 |
Contingent Consideration [Member] | |
Balance | 217 |
Loss on increase in fair value of obligation | 31 |
Balance | 248 |
Contingent Success Fee [Member] | |
Balance | 116 |
Gain on decrease in fair value of obligation | (103) |
Balance | $ 13 |
Inventories, net (Details)
Inventories, net (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Raw materials | $ 1,516 | $ 1,193 |
Work in progress | 0 | 198 |
Finished goods | 964 | 267 |
Inventory, Gross | 2,480 | 1,658 |
Less: inventory reserve | (102) | (102) |
Inventories, net | $ 2,378 | $ 1,556 |
Deferred Revenues (Details)
Deferred Revenues (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Deferred Revenue Arrangement [Line Items] | ||
Deferred rental income | $ 65 | $ 60 |
Total deferred revenues | 1,927 | 1,630 |
Less current portion | (1,242) | (825) |
Deferred revenues, non-current | 685 | 805 |
Deferred medical device unit costs | 86 | 0 |
Less current portion | (86) | 0 |
Deferred cost of revenue, non-current | 0 | 0 |
Customer deposits and advances [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Total deferred revenues | 48 | 47 |
Deferred extended maintenance and support [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Total deferred revenues | $ 1,814 | $ 1,523 |
Intangible Assets (Details)
Intangible Assets (Details) $ in Thousands | Sep. 30, 2017USD ($) |
Indefinite-lived Intangible Assets [Line Items] | |
Cost | $ 1,610 |
Accumulated Amortization | (984) |
Net | 626 |
Developed technology | |
Indefinite-lived Intangible Assets [Line Items] | |
Cost | 1,160 |
Accumulated Amortization | (709) |
Net | 451 |
Customer relationships | |
Indefinite-lived Intangible Assets [Line Items] | |
Cost | 70 |
Accumulated Amortization | (43) |
Net | 27 |
Customer trade name | |
Indefinite-lived Intangible Assets [Line Items] | |
Cost | 380 |
Accumulated Amortization | (232) |
Net | $ 148 |
Intangible Assets (Details Text
Intangible Assets (Details Textual) $ in Thousands | Sep. 30, 2017USD ($) |
Indefinite-lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 135 |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | $ 491 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Accrued Liabilities [Line Items] | ||
Salaries, benefits and related expenses | $ 1,648 | $ 2,349 |
Device maintenance | 259 | 483 |
Device warranty | 136 | 203 |
Professional fees | 363 | 56 |
Clinical trials | 99 | 35 |
Equipois earn-out | 0 | 355 |
Other | 241 | 75 |
Total | $ 2,746 | $ 3,556 |
Accrued Liabilities (Details 1)
Accrued Liabilities (Details 1) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Accrued Liabilities [Line Items] | |
Beginning Balance | $ 686 |
Incurred costs | (291) |
Closing Balance | 395 |
Maintenance [Member] | |
Accrued Liabilities [Line Items] | |
Beginning Balance | 483 |
Incurred costs | (224) |
Closing Balance | 259 |
Warranty [Member] | |
Accrued Liabilities [Line Items] | |
Beginning Balance | 203 |
Incurred costs | (67) |
Closing Balance | $ 136 |
Restructuring (Details)
Restructuring (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Balance at December 31, 2016 | $ 0 |
Restructuring charges | 665 |
Cash payments | (471) |
Stock based compensation expense | (186) |
Balance at September 30, 2017 | $ 8 |
Restructuring (Details Textual)
Restructuring (Details Textual) $ in Thousands | 1 Months Ended | 9 Months Ended |
May 31, 2017 | Sep. 30, 2017USD ($) | |
Restructuring Charges | $ 665 | |
Severance Costs | 480 | |
Employee Benefits and Share-based Compensation | $ (186) | |
Restructuring and Related Cost, Number of Positions Eliminated | 27 |
Long-Term Debt (Details)
Long-Term Debt (Details) $ in Thousands | Sep. 30, 2017USD ($) |
2,017 | $ 0 |
2,018 | 2,139 |
2,019 | 2,333 |
2,020 | 2,333 |
2,021 | 440 |
Total principal payments | 7,245 |
Less final payment fee, discount and issuance cost | (321) |
Long-term debt, net | 6,924 |
Current portion | 1,556 |
Long-term portion | 5,368 |
Long-term debt, net | $ 6,924 |
Long-Term Debt (Details Textual
Long-Term Debt (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2016 | Sep. 30, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2015 | |
Success Fee Expenses | $ 250 | ||||
Share Price | $ 8 | $ 1.21 | $ 1.21 | ||
Contingent Success Fee Liability | $ 13 | $ 13 | |||
Restricted Cash and Cash Equivalents | 6,984 | 6,984 | |||
Cash and Cash Equivalents, at Carrying Value | $ 16,846 | 33,439 | 33,439 | $ 12,800 | $ 19,552 |
Debt Instrument, Unused Borrowing Capacity, Amount | 3,000 | 3,000 | |||
Accretion Expense | 72 | $ 0 | |||
Long-term Debt | $ 6,924 | $ 6,924 | |||
Debt Instrument, Interest Rate During Period | 9.20% | 8.96% | |||
Loan Agreement [Member] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 7,000 | ||||
Debt Instrument, Description of Variable Rate Basis | 30-day U.S. LIBOR rate plus 5.41% | ||||
Debt Instrument, Maturity Date | Jan. 1, 2021 | ||||
Long-term Debt | $ 245 | $ 245 | |||
Debt Instrument, Payment Terms | January 1, 2018., or July 1, 2018 if the additional $3,000 drawn. Commencing on February 1, 2018, or August 1, 2018 if the additional $3,000 is drawn, |
Lease Obligations (Details)
Lease Obligations (Details) $ in Thousands | Sep. 30, 2017USD ($) |
Capital Lease Obligations [Member] | |
Debt Instrument [Line Items] | |
2017 - remainder | $ 9 |
2,018 | 37 |
2,019 | 37 |
2,020 | 22 |
2,021 | 0 |
Thereafter | 0 |
Total minimum payments | 105 |
Less interest | (7) |
Present value minimum payments | 98 |
Less current portion | (33) |
Long-term portion | 65 |
Operating Lease [Member] | |
Debt Instrument [Line Items] | |
2017 - remainder | 149 |
2,018 | 605 |
2,019 | 620 |
2,020 | 632 |
2,021 | 556 |
Thereafter | 251 |
Total minimum payments | $ 2,813 |
Lease Obligations (Details Text
Lease Obligations (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Debt Instrument [Line Items] | ||||
Long-term Debt, Gross | $ 7,245 | $ 7,245 | ||
Operating Leases, Rent Expense, Net, Total | 138 | $ 101 | 347 | $ 299 |
Capital Lease Obligations [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt, Gross | $ 166 | $ 166 | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.70% | 4.70% | ||
Debt Instrument, Maturity Date | Jul. 1, 2020 | |||
Debt Instrument Minimum Monthly Payments | $ 3 | |||
Notes Payable, Other Payables [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Maturity Date | Sep. 30, 2017 |
Capitalization and Equity Str55
Capitalization and Equity Structure (Details) - $ / shares shares in Thousands | 1 Months Ended | 9 Months Ended | |||
Apr. 30, 2017 | Dec. 31, 2015 | Sep. 30, 2017 | Dec. 31, 2016 | ||
Schedule of Capitalization, Equity [Line Items] | |||||
Merger/PPO Warrant Shares Outstanding | 3,426 | 3,597 | |||
Merger/PPO Warrant Shares Issued | 2,066 | ||||
Merger/PPO Warrant Shares Repurchased | [1] | (1,866) | |||
Merger/PPO Warrant Shares Expired | (371) | ||||
2017 Warrants | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Exercise price | $ 4.10 | $ 4.1 | |||
Warrant term | 5 years | ||||
Merger/PPO Warrant Shares Outstanding | 0 | 0 | |||
Merger/PPO Warrant Shares Issued | 1,866 | 1,866 | |||
Merger/PPO Warrant Shares Repurchased | [1] | (1,866) | |||
Merger/PPO Warrant Shares Expired | 0 | ||||
2015 Warrants | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Exercise price | $ 3.74 | $ 3.74 | |||
Warrant term | 5 years | ||||
Merger/PPO Warrant Shares Outstanding | 1,634 | 1,634 | |||
Merger/PPO Warrant Shares Issued | 2,122 | 0 | |||
Merger/PPO Warrant Shares Repurchased | [1] | 0 | |||
Merger/PPO Warrant Shares Expired | 0 | ||||
Placement agent warrants [Member] | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Exercise price | $ 7 | ||||
Warrant term | 5 years | ||||
Merger/PPO Warrant Shares Outstanding | 426 | 426 | |||
Merger/PPO Warrant Shares Issued | 0 | ||||
Merger/PPO Warrant Shares Repurchased | [1] | 0 | |||
Merger/PPO Warrant Shares Expired | 0 | ||||
Bridge warrants [Member] | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Exercise price | $ 7 | ||||
Warrant term | 3 years | ||||
Merger/PPO Warrant Shares Outstanding | 0 | 371 | |||
Merger/PPO Warrant Shares Issued | 0 | ||||
Merger/PPO Warrant Shares Repurchased | [1] | 0 | |||
Merger/PPO Warrant Shares Expired | (371) | ||||
PPO warrants [Member] | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Exercise price | $ 14 | ||||
Warrant term | 5 years | ||||
Merger/PPO Warrant Shares Outstanding | 1,078 | 1,078 | |||
Merger/PPO Warrant Shares Issued | 0 | ||||
Merger/PPO Warrant Shares Repurchased | [1] | 0 | |||
Merger/PPO Warrant Shares Expired | 0 | ||||
Pre 2014 Warrants [Member] | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Exercise price | $ 9.66 | ||||
Merger/PPO Warrant Shares Outstanding | 88 | 88 | |||
Merger/PPO Warrant Shares Issued | 0 | ||||
Merger/PPO Warrant Shares Repurchased | [1] | 0 | |||
Merger/PPO Warrant Shares Expired | 0 | ||||
Pre 2014 Warrants [Member] | Minimum [Member] | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Warrant term | 9 years | ||||
Pre 2014 Warrants [Member] | Maximum [Member] | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Warrant term | 10 years | ||||
Information Agent Warrants [Member] | |||||
Schedule of Capitalization, Equity [Line Items] | |||||
Exercise price | $ 1.50 | ||||
Warrant term | 3 years | ||||
Merger/PPO Warrant Shares Outstanding | 200 | 0 | |||
Merger/PPO Warrant Shares Issued | 200 | ||||
Merger/PPO Warrant Shares Repurchased | [1] | 0 | |||
Merger/PPO Warrant Shares Expired | 0 | ||||
[1] | April 2017 Warrants were repurchased at a price of $1.23 per underlying share, as a result of the Rights Offering. |
Capitalization and Equity Str56
Capitalization and Equity Structure (Details 1) - $ / shares | 9 Months Ended | |
Sep. 30, 2017 | Dec. 31, 2016 | |
Schedule of Capitalization, Equity [Line Items] | ||
Current share price | $ 1.21 | $ 8 |
Conversion price | $ 3.74 | |
Risk-free interest rate | 1.66% | |
Term (years) | 3 years 3 months | |
Volatility of stock | 95.00% |
Capitalization and Equity Str57
Capitalization and Equity Structure (Details Textual) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 1 Months Ended | 9 Months Ended | ||||
Aug. 31, 2017 | Apr. 30, 2017 | Dec. 31, 2015 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Class of Stock [Line Items] | ||||||
Payments of Stock Issuance Costs | $ 0 | $ 173 | ||||
Stockholders' Equity, Reverse Stock Split | 1-for-7 reverse | |||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | ||||
Class Of Warrant Or Right Issued | 2,066 | |||||
Stock Issued During Period, Value, New Issues | $ 34,000 | |||||
Shares Issued, Price Per Share | $ 1 | |||||
Issuance of Stock and Warrants for Services or Claims | $ 131 | |||||
Class of Warrant or Right, Outstanding | 3,426 | 3,597 | ||||
Shares Subscription, Description | 1.1608 | |||||
Warrant Repurchase Agreement [Member] | ||||||
Class of Stock [Line Items] | ||||||
Repurchase Price Per Share | $ 1.23 | |||||
Number Of Warrant Shares Repurchased | 1,866 | |||||
Payments for Repurchase of Warrants | $ 2,245 | |||||
Class of Warrant or Right, Outstanding | 0 | |||||
Maximum [Member] | ||||||
Class of Stock [Line Items] | ||||||
Common Stock,Outstanding,Percentage | 40.00% | |||||
Rights Offering [Member] | ||||||
Class of Stock [Line Items] | ||||||
Stock Issued During Period, Shares, New Issues | 13,465 | 13,465 | ||||
Payments of Stock Issuance Costs | $ 286 | |||||
Proceeds from Issuance of Common Stock | 13,179 | $ 13,179 | ||||
Stock Issued During Period, Value, New Issues | $ 13,465 | |||||
Backstop Investor Offering [Member] | ||||||
Class of Stock [Line Items] | ||||||
Stock Issued During Period, Shares, New Issues | 20,535 | |||||
Stock Issued During Period, Value, New Issues | $ 20,535 | |||||
2017 Warrants | ||||||
Class of Stock [Line Items] | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 4.10 | $ 4.1 | ||||
Class Of Warrant Or Right Issued | 1,866 | 1,866 | ||||
Class of Warrant or Right, Outstanding | 0 | 0 | ||||
2015 Warrants | ||||||
Class of Stock [Line Items] | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 3.74 | $ 3.74 | ||||
Class Of Warrant Or Right Issued | 2,122 | 0 | ||||
Class of Warrant or Right, Outstanding | 1,634 | 1,634 | ||||
Information Agent Warrants [Member] | ||||||
Class of Stock [Line Items] | ||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 200 | |||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 1.50 | |||||
Class Of Warrant Or Right Issued | 200 | |||||
Class of Warrant or Right, Outstanding | 200 | 0 | ||||
Warrant [Member] | ||||||
Class of Stock [Line Items] | ||||||
Payments of Stock Issuance Costs | $ 185 | |||||
Common Stock [Member] | ||||||
Class of Stock [Line Items] | ||||||
Stock Issued During Period, Shares, New Issues | 3,732 | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 1,866 | |||||
Proceeds from Issuance of Common Stock | $ 10,919 | |||||
Common Stock, Par or Stated Value Per Share | $ 0.001 |
Stock-based Compensation (Detai
Stock-based Compensation (Details) - 2014 Plan [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($)$ / sharesshares | |
Options Outstanding | |
Options Outstanding, Beginning Balance | shares | 2,477 |
Options Outstanding, Options granted | shares | 835 |
Options Outstanding, Options exercised | shares | (73) |
Options Outstanding, Options forfeited | shares | (162) |
Options Outstanding, Options cancelled | shares | (105) |
Options Outstanding, Ending Balance | shares | 2,972 |
Options Outstanding, Vested and expected to vest | shares | 2,972 |
Options Outstanding, Exercisable | shares | 1,515 |
Weighted-Average Exercise Price, Beginning Balance | $ / shares | $ 6.5 |
Weighted-Average Exercise Price, Options granted | $ / shares | 2 |
Weighted-Average Exercise Price, Options exercised | $ / shares | 0.58 |
Weighted-Average Exercise Price, Options forfeited | $ / shares | 6.79 |
Weighted-Average Exercise Price, Options cancelled | $ / shares | 6.63 |
Weighted-Average Exercise Price, Ending Balance | $ / shares | 5.36 |
Weighted-Average Exercise Price, Vested and expected to vest | $ / shares | 5.36 |
Weighted-Average Exercise Price, Exercisable | $ / shares | $ 6.35 |
Weighted-Average Remaining Contractual Life (Years), Ending Balance | 7 years 6 months 25 days |
Weighted-Average Remaining Contractual Life (Years), Vested and expected to vest | 7 years 6 months 25 days |
Weighted-Average Remaining Contractual Life (Years), Exercisable | 5 years 11 months 26 days |
Aggregate Intrinsic Value, Ending Balance | $ | $ 33 |
Aggregate Intrinsic Value, Vested and expected to vest | $ | 33 |
Aggregate Intrinsic Value, Exercisable | $ | $ 30 |
Stock-based Compensation (Det59
Stock-based Compensation (Details 1) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
Risk-free interest rate, minimum | 1.83% | 1.25% | 1.83% | 1.24% |
Risk-free interest rate, maximum | 1.94% | 1.26% | 2.29% | 1.78% |
Expected term (in years) | 6 years | |||
Volatility | 87.00% | 80.00% | 82.00% | 79.00% |
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected term (in years) | 5 years | 5 years | 5 years | |
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected term (in years) | 6 years | 9 years | 10 years |
Stock-based Compensation (Det60
Stock-based Compensation (Details 2) - Restricted Stock Units (RSUs) [Member] - $ / shares shares in Thousands | 1 Months Ended | 9 Months Ended | |
May 31, 2017 | Apr. 30, 2017 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Unvested - Number of Shares | 0 | ||
Granted - Number of Shares | 120 | 153 | 724 |
Vested - Number of Shares | 115 | ||
Forfeited - Number of Shares | 0 | ||
Unvested - Number of Shares | 609 | ||
Granted - Weighted- Average Grant Date Fair Value | $ 1.64 | ||
Vested - Weighted- Average Grant Date Fair Value | $ 1.59 |
Stock-based Compensation (Det61
Stock-based Compensation (Details 3) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated Share-based Compensation Expense | $ 650 | $ 451 | $ 1,755 | $ 2,552 |
Sales and marketing [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated Share-based Compensation Expense | 187 | 103 | 365 | 541 |
Research and development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated Share-based Compensation Expense | 103 | 127 | 287 | 499 |
General and administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated Share-based Compensation Expense | 360 | 221 | 917 | 1,512 |
Restructuring Charges [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated Share-based Compensation Expense | $ 0 | $ 0 | $ 186 | $ 0 |
Stock-based Compensation (Det62
Stock-based Compensation (Details Textual) - USD ($) shares in Thousands, $ in Thousands | 1 Months Ended | 9 Months Ended | 12 Months Ended | |||
Aug. 31, 2017 | May 31, 2017 | Apr. 30, 2017 | Sep. 30, 2017 | Dec. 31, 2017 | Jun. 30, 2017 | |
Scenario, Forecast [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 100.00% | |||||
Defined Contribution Plan, Maximum Annual Contributions Percentage,Thereafter | 50.00% | |||||
Restricted Stock Units (RSUs) [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 120 | 153 | 724 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 451 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 115 | |||||
Employee Stock Option [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ 3,647 | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 2 years 4 months 6 days | |||||
Equity Incentive Plan 2014 [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 4,714 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 1,000 | |||||
Common Stock, Capital Shares Reserved for Future Issuance | 534 | |||||
Employee Stock Purchase Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Common Stock, Capital Shares Reserved for Future Issuance | 500 |
Commitments and Contingencies (
Commitments and Contingencies (Details Textual) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Future minimum annual royalties: | |
Payments Due By Period, Less than one year | $ 50 |
Royalty Agreement Terms [Member] | |
Future minimum annual royalties: | |
Payments Due By Period, Less than one year | $ 50 |
Royalty Agreement Terms [Member] | Net sales [Member] | |
Future minimum annual royalties: | |
Royalty Percentage | 1.00% |
Royalty Agreement Terms [Member] | License fees [Member] | |
Future minimum annual royalties: | |
Royalty Percentage | 21.00% |
Royalty Agreement Terms [Member] | Sub-licensee net sales [Member] | |
Future minimum annual royalties: | |
Royalty Percentage | 1.00% |
Net Loss Per Share (Details)
Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Numerator: | ||||
Net loss applicable to common stockholders, Basic | $ (6,335) | $ (11,494) | $ (20,144) | $ (28,239) |
Adjustment for revaluation of warrant liability | 0 | 0 | 0 | (3,030) |
Net loss applicable to common stockholders, Diluted | $ (6,335) | $ (11,494) | $ (20,144) | $ (31,269) |
Denominator: | ||||
Weighted-average number of shares, basic | 34,720 | 19,005 | 27,425 | 16,888 |
Effect of dilutive warrants | 0 | 0 | 0 | 707 |
Weighted-average numbers of shares, diluted | 34,720 | 19,005 | 27,425 | 17,595 |
Net loss per share, basic | $ (0.18) | $ (0.60) | $ (0.73) | $ (1.67) |
Net loss per share, diluted | $ (0.18) | $ (0.60) | $ (0.73) | $ (1.78) |
Net Loss Per Share (Details 1)
Net Loss Per Share (Details 1) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities | 7,007 | 6,559 | 7,007 | 4,437 |
Options to purchase common stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities | 2,972 | 2,474 | 2,972 | 2,474 |
Restricted Stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities | 609 | 0 | 609 | 0 |
Warrants for common stock [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities | 3,426 | 4,085 | 3,426 | 1,963 |
Segment Disclosures (Details)
Segment Disclosures (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 1,597 | $ 1,596 | $ 4,900 | $ 11,634 |
Cost of revenue | 1,053 | 1,193 | 3,608 | 9,530 |
Gross profit | 544 | 403 | 1,292 | 2,104 |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,587 | 1,495 | 4,862 | 11,003 |
Cost of revenue | 1,045 | 1,123 | 3,593 | 9,078 |
Gross profit | 542 | 372 | 1,269 | 1,925 |
Medical [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,320 | 1,089 | 3,692 | 10,321 |
Cost of revenue | 880 | 833 | 2,786 | 8,543 |
Gross profit | 440 | 256 | 906 | 1,778 |
Engineering Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 10 | 101 | 38 | 631 |
Cost of revenue | 8 | 70 | 15 | 452 |
Gross profit | 2 | 31 | 23 | 179 |
Industrial [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 267 | 406 | 1,170 | 682 |
Cost of revenue | 165 | 290 | 807 | 535 |
Gross profit | $ 102 | $ 116 | $ 363 | $ 147 |
Segment Disclosures (Details 1)
Segment Disclosures (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 1,597 | $ 1,596 | $ 4,900 | $ 11,634 |
United States [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,130 | 1,243 | 3,092 | 6,940 |
All Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 467 | $ 353 | $ 1,808 | $ 4,694 |
Related Party Transactions (Det
Related Party Transactions (Details Textual) - USD ($) shares in Thousands, $ in Thousands | 1 Months Ended | 9 Months Ended | |
Sep. 19, 2017 | Aug. 31, 2017 | Sep. 30, 2017 | |
Stock Issued During Period, Value, New Issues | $ 34,000 | ||
Angel Pond Capital LLC [Member] | |||
Payments for Other Fees | $ 2,150 | ||
Rights Offering [Member] | |||
Stock Issued During Period, Shares, New Issues | 13,465 | 13,465 | |
Stock Issued During Period, Value, New Issues | $ 13,465 | ||
Puissance Cross-Border Opportunities II LLC [Member] | |||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 34.00% | ||
Puissance Cross-Border Opportunities II LLC [Member] | Rights Offering [Member] | |||
Stock Issued During Period, Shares, New Issues | 20,535 | ||
Stock Issued During Period, Value, New Issues | $ 20,535 |