Foamix Pharmaceuticals (FOMX) 10-Q 7 May 19 2019 Q1 Quarterly report Financial data

DOCUMENT AND ENTITY INFORMATION

DOCUMENT AND ENTITY INFORMATION - shares	3 Months Ended
	Mar. 31, 2019	Apr. 29, 2019
DOCUMENT AND ENTITY INFORMATION [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2019
Entity Registrant Name	Foamix Pharmaceuticals Ltd.
Entity Central Index Key	0001606645
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Entity Filer Category	Accelerated Filer
Entity Small Business Flag	true
Entity Emerging Growth Company	true
Entity Transition Period	true
Entity Common Stock, Shares Outstanding		54,425,724

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
CURRENT ASSETS:
Cash and cash equivalents	$ 18,994	$ 27,868
Restricted cash	250	250
Short term bank deposits	24,155	24,047
Investment in marketable securities (Note 4)	39,122	46,669
Restricted investment in marketable securities (Note 4)	276	268
Accounts receivable:
Trade	1,168	1,066
Other	1,209	999
TOTAL CURRENT ASSETS	85,174	101,167
NON-CURRENT ASSETS:
Investment in marketable securities (Note 4)		150
Restricted investment in marketable securities (Note 4)	137	133
Property and equipment, net	2,297	2,235
Operating lease right of use assets (Note 6)	1,934
Other	17	46
TOTAL NON-CURRENT ASSETS	4,385	2,564
TOTAL ASSETS	89,559	103,731
Accounts payable and accruals:
Trade	5,657	6,327
Operating lease liabilities (Note 6)	914
Other	2,859	4,141
TOTAL CURRENT LIABILITIES	9,430	10,468
LONG-TERM LIABILITIES:
Liability for employee severance benefits	397	367
Operating lease liabilities (Note 6)	1,023
Other liabilities	714	714
TOTAL LONG-TERM LIABILITIES	2,134	1,081
TOTAL LIABILITIES	11,564	11,549
COMMITMENTS (Note 6)
SHAREHOLDERS' EQUITY:
Ordinary Shares, NIS 0.16 par value - authorized: 90,000,000 Ordinary Shares as of March 31, 2019 and December 31, 2018; issued and outstanding: 54,419,323 and 54,351,140 Ordinary Shares as of March 31, 2019 and December 31, 2018, respectively	2,334	2,331
Additional paid-in capital	306,266	305,303
Accumulated deficit	(230,613)	(215,409)
Accumulated other comprehensive income (loss)	8	(43)
TOTAL SHAREHOLDERS' EQUITY	77,995	92,182
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 89,559	$ 103,731

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - ₪ / shares	Mar. 31, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Ordinary shares, par value (in NIS per share)	₪ 0.16	₪ 0.16
Ordinary shares, shares authorized	90,000,000	90,000,000
Ordinary shares, shares issued	54,419,323	54,351,140
Ordinary shares, shares outstanding	54,419,323	54,351,140

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Statement [Abstract]
REVENUES (Note 7)	$ 308	$ 906
OPERATING EXPENSES:
Research and development	10,848	22,825
Selling, general and administrative	5,344	3,801
TOTAL OPERATING EXPENSES	16,192	26,626
OPERATING LOSS	15,884	25,720
FINANCE INCOME, net	(504)	(73)
LOSS BEFORE INCOME TAX	15,380	25,647
INCOME TAX	(176)	330
NET LOSS FOR THE PERIOD	$ 15,204	$ 25,977
LOSS PER SHARE BASIC AND DILUTED	$ 0.28	$ 0.69
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING USED IN COMPUTATION OF BASIC AND DILUTED LOSS PER SHARE IN THOUSANDS	54,370	37,541

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Statement of Comprehensive Income [Abstract]
NET LOSS	$ 15,204	$ 25,977
OTHER COMPREHENSIVE LOSS (INCOME):
Net unrealized losses (gains) from marketable securities	(36)	15
Losses on marketable securities reclassified into net loss		(1)
Net unrealized losses (gains) on derivative financial instruments	(15)	14
Gains on derivative financial instruments reclassified into net loss		6
TOTAL OTHER COMPREHENSIVE LOSS (INCOME)	(51)	34
TOTAL COMPREHENSIVE LOSS	$ 15,153	$ 26,011

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Ordinary shares [Member]	Additional Paid-in Capital [Member]	Accumulated deficit [Member]	Accumulated other comprehensive Income (loss) [Member]	Total
Balance at Dec. 31, 2017	$ 1,576	$ 208,364	$ (141,281)	$ (58)	$ 68,601
Balance (shares) at Dec. 31, 2017	37,498,128
Impact of initial adoption of new accounting standards, as previously reported			35	(35)
Changes during year
Comprehensive income (loss)			(25,977)	(34)	(26,011)
Exercise of options and restricted share units	$ 2	(2)
Exercise of options and restricted share units (shares)	53,383
Share-based compensation (Note 5)		1,754			1,754
Balance at Mar. 31, 2018	$ 1,578	210,116	(167,223)	(127)	$ 44,344
Balance (shares) at Mar. 31, 2018	37,551,511				54,351,140
Balance at Dec. 31, 2018	$ 2,331	305,303	(215,409)	(43)	$ 92,182
Balance (shares) at Dec. 31, 2018	4,351,140				54,351,140
Changes during year
Comprehensive income (loss)			(15,204)	51	$ (15,153)
Exercise of options and restricted share units	$ 3	13			16
Exercise of options and restricted share units (shares)	68,183
Share-based compensation (Note 5)		950			950
Balance at Mar. 31, 2019	$ 2,334	$ 306,266	$ (230,613)	$ 8	$ 77,995
Balance (shares) at Mar. 31, 2019	54,419,323				54,419,323

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (15,204)	$ (25,977)
Adjustments required to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	76	86
Loss from disposal of fixed assets		36
Changes in marketable securities and bank deposits, net	(264)	(40)
Changes in accrued liability for employee severance benefits, net of retirement fund profit	30	(35)
Share-based compensation	950	1,754
Non-cash finance expenses (income), net	23	1
Changes in operating asset and liabilities:
Decrease (increase) in trade and other receivables	(300)	487
Decrease in other non-current assets	(4)
Increase (decrease) in accounts payable and accruals	(1,949)	495
Net cash used in operating activities	(16,642)	(23,193)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of fixed assets	(138)	(122)
Investment in bank deposits	(8,000)	(8,500)
Investment in marketable securities		(1,012)
Proceeds from sale and maturity of marketable securities and bank deposits	15,877	29,642
Net cash provided by investing activities	7,739	20,008
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of options	16
Net cash provided by financing activities	16
DECREASE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	(8,887)	(3,185)
EFFECT OF EXCHANGE RATE ON CASH, CASH EQUIVALENTS AND RESTRICTED CASH	13	(1)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF THE PERIOD	28,118	16,206
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF THE PERIOD	19,244	13,020
Cash and cash equivalents	18,994	12,770
Restricted cash	250	250
TOTAL CASH, CASH EQUIVALENTS AND RESTRICTED CASH SHOWN IN STATEMENT OF CASH FLOWS	19,244	13,020
SUPPLEMENTARY INFORMATION ON INVESTING AND FINANCING ACTIVITIES NOT INVOLVING CASH FLOWS -
Property and equipment purchases included in accounts payable and accruals		4
Cashless exercise of RSU's	3	2
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest received	307	384
Additions to operating lease right of use assets and liabilities	$ 736

NATURE OF OPERATIONS AND BASIS

NATURE OF OPERATIONS AND BASIS OF PRESENTATION:	3 Months Ended
	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
NATURE OF OPERATIONS AND BASIS OF PRESENTATION:	NOTE 1 - NATURE OF OPERATIONS AND BASIS OF PRESENTATION: a. Nature of operations Foamix Pharmaceuticals Ltd. (hereinafter “Foamix”) is an Israeli company incorporated in 2003. Foamix’s shares are publicly traded on the NASDAQ under the symbol “FOMX”, since its initial public offering (“IPO”) in September, 2014. Foamix is a Molecule Stabilizing Technology Foamix also licensed its technology under development and licensing agreements to various pharmaceutical companies for development of certain products combining Foamix's foam technology with the licensee’s proprietary drugs. In May 2014, Foamix incorporated a wholly-owned Subsidiary in the United States of America - Foamix Pharmaceuticals Inc. (hereinafter the "Subsidiary"). The Subsidiary was incorporated to assist Foamix with regard to marketing, regulatory affairs and business development relating its products and technology. Since incorporation through March 31, 2019, Foamix and its subsidiary (hereinafter “the Company”) incurred losses and negative cash flows from operations mainly attributable to its development efforts and has an accumulated deficit of $23 0, . b. Basis of presentation The unaudited interim condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America ("US GAAP") for interim financial statements. Accordingly, they do not contain all information and notes required by U.S. GAAP for annual financial statements. In the opinion of management, these unaudited condensed consolidated interim financial statements reflect all adjustments, which include normal recurring adjustments, necessary for a fair statement of the Company’s consolidated financial position as of March 31, 2019, the consolidated results of operations and comprehensive loss, changes in shareholders equity and cash flows for the three-month periods ended March 31, 2019 and 2018 . These unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s annual financial statements for the year ended December 31, 2018. The condensedconsolidated balance sheet data as of December 31, 2018 was derived from the audited consolidated financial statements for the year ended December 31, 2018 , The results for the three-month periods ended March 31, 2019 are not necessarily indicative of the results expected for the year ending December 31, 2019 .

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES:	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES:	NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES: a. Principles of consolidation The consolidated financial statements include the accounts of Foamix and its subsidiary. Intercompany balances and transactions including profits from intercompany sales not yet realized outside the Company, have been eliminated upon consolidation. b. Fair value measurement Fair value is based on the price that would be received from the sale of an asset or that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, the guidance establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described as follows: Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. Level 2 Observable prices that are based on inputs not quoted on active markets, but corroborated by market data or active market data of similar or identical assets or liabilities. Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs. In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible and considers counterparty credit risk in its assessment of fair value. c. Loss per share Net loss per share, basic and diluted, is computed on the basis of the net loss for the period divided by the weighted average number of Ordinary shares outstanding during the period. Diluted net loss per share is based upon the weighted average number of Ordinary shares and of Ordinary share equivalents outstanding when dilutive. Ordinary share equivalents include outstanding stock options and warrants which are included under the treasury share method when dilutive . The following share options, restricted share units (“RSUs”) and warrants were excluded from the calculation of diluted net loss per ordinary share because their effect would have been anti-dilutive for the periods presented (share data): Three months ended March 31 2019 2018 Outstanding share options and RSUs 5,895,973 4,728,610 Warrants - 1,394,558 d. Newly issued and recently adopted accounting pronouncements Accounting pronouncements adopted in period: 1) In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which supersedes the existing guidance for lease accounting, Leases (Topic 840). The new standard requires lessees to record assets and liabilities on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The Company adopted the standard as of January 1, 2019 on a modified retrospective basis and did not restate comparative periods. The Company elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the Company to carryforward the historical lease classification and not separate lease and non-lease components for the leases. The adoption of the standard resulted in recognition of $1,357 of lease assets and lease liabilities as of January 1, 2019 on the Company’s consolidated balance sheets. 2) In June 2018, the FASB issued ASU No. 2018-07, Compensation-Stock Compensation (Topic 718) Improvements to Nonemployee Share-based Payments. This ASU was issued to simplify the accounting for share-based transactions by expanding the scope of Topic 718 from only being applicable to share-based payments to employees to also include share-based payment transactions for acquiring goods and services from nonemployees. As a result, nonemployee share-based transactions will be measured by estimating the fair value of the equity instruments at the grant date, taking into consideration the probability of satisfying performance conditions. This standard, adopted as of January 1, 2019

FAIR VALUE PRESENTATION

FAIR VALUE PRESENTATION	3 Months Ended
	Mar. 31, 2019
Fair Value Disclosures [Abstract]
FAIR VALUE PRESENTATION	NOTE 3 - FAIR VALUE PRESENTATION The Company’s assets and liabilities that are measured at fair value as of March 31, 2019 and December 31, 2018, are classified in the tables below in one of the three categories described in note 2b above: March 31, 2019 Level 1 Level 2 Total Marketable securities $ 1,001 $ 38,534 $ 39,535 Currency options designated as hedging instruments (current asset) - $ 12 $ 12 December 31, 2018 Level 1 Level 2 Total Marketable securities $ 991 $ 46,229 $ 47,220 Currency options designated as hedging instruments (current liability) - $ (3 ) $ (3 ) The Company’s debt securities are traded in markets that are not considered to be active, but are valued based on quoted market prices, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency. Accordingly, these assets are categorized as Level 2. Foreign exchange risk management The Company purchases and writes non-functional currency options in order to hedge the currency exposure on the Company’s cash flow. The currency hedged items are denominated in New Israeli Shekels (NIS). The purchasing and writing of options is part of a comprehensive currency hedging strategy with respect to salary and rent expenses denominated in NIS. These transactions are at zero cost for periods of up to one year. The counterparties to the derivatives are major banks in Israel. As of March 31, 2019, the total hedged amount was NIS 6.5 million. The derivative asset, in the amount of $12 as of March 31, 2019, qualifies as hedge accounting. As of March 31, 2019, the Company has a lien in the amount of $276 on the Company’s marketable securities and a lien in the amount $250 on the Company’s checking account, in respect of bank guarantees granted in order to secure the hedging transactions.

MARKETABLE SECURITIES

MARKETABLE SECURITIES	3 Months Ended
	Mar. 31, 2019
Investments, Debt and Equity Securities [Abstract]
MARKETABLE SECURITIES	NOTE 4 - MARKETABLE SECURITIES Marketable securities as of March 31, 2019, and December 31, 2018 consist mainly of debt and mutual funds securities. The debt securities are classified as available-for-sale and are recorded at fair value. Changes in fair value, net of taxes (if applicable), are reflected in other comprehensive loss. Realized gains and losses on sales of the securities, as well as premium or discount amortization, are included in the consolidated statement of operations as finance income or expenses. As of January 1, 2018, following the adoption of ASU No. 2016-01, Financial Instruments—Overall (Subtopic 825-10), equity securities with readily determinable fair value are measured at fair value. The changes in the fair value of equity investments are recognized through net income. Adoption of the standard was applied through a cumulative one-time adjustment of $35 to the accumulated deficit. T March 31 December 31 2019 2018 Israeli mutual funds $ 1,001 $ 991 Certificates of deposit 2,086 2,773 U.S Government and agency bonds 20,694 25,215 U.S Treasury bills 15,754 18,241 Total $ 39,535 $ 47,220 As of March 31, 2019 and December 31, 2018 the fair value, cost and gross unrealized holding gains and losses of the marketable securities owned by the Company were as follows: March 31, 2019 Fair Cost or amortized cost Gross unrealized Gross unrealized Certificates of deposit $ 2,086 $ 2,092 $ 6 $ - U.S Government and agency bonds 20,694 20,693 3 4 U.S Treasury bills 15,754 15,753 - 1 Total $ 38,534 $ 38,538 $ 9 $ 5 December 31, 2018 Fair Cost or amortized cost Gross unrealized Gross unrealized Certificates of deposit $ 2,773 $ 2,790 $ 17 $ - U.S Government and agency bonds 25,215 25,236 22 1 U.S Treasury bills 18,241 18,243 3 1 Total $ 46,229 $ 46,269 $ 42 $ 2 As of March 31, 2019, the unrealized losses attributed to the Company’s marketable securities were primarily due to credit As of March 31, 2019, and December 31, 2018 the Company’s debt securities had the following maturity dates: Market value March 31 December 31, 2019 2018 Due within one year $ 38,534 $ 46,079 1 to 2 years - 150 Total $ 38,534 $ 46,229 During the three months ended March 31, 2019 and March 31, 2018 the Company received proceeds of $7,877 and $7,689 upon sale and maturity of marketable securities. $413 and $401 of the Company’s marketable securities were restricted as of March 31, 2019, and December 31, 2018, respectively, due to a lien in respect of bank guarantees granted to secure hedging transaction and the Company’s rent agreements. Refer to note 6 and note 3.

SHARE CAPITAL_

SHARE CAPITAL:	3 Months Ended
	Mar. 31, 2019
Stockholders' Equity Note [Abstract]
SHARE CAPITAL	NOTE 5 - SHARE CAPITAL: Share-based compensation In May 2015, the Company's board of directors approved a new option plan (the "Plan") replacing the previous plan approved in 2009. The Plan included a pool of 2,690,694 ordinary shares for grant to Company employees, consultants, directors and other service providers. During the years ended December 31, 2016 and December 31, 2017, the Board of Directors approved an accumulated increase of 2,900,000 ordinary shares to the plan. As of March 31, 2019, 27,990 shares remain available for grant under the Plan. On April 10, 2019 the Company’s shareholders approved a new equity incentive plan which included a pool of an additional 6,000,000 shares in addition to the shares remaining available for grant under the 2015 plan, See note 8. In the three months ended March 31, 2019 and 2018, the Company granted options as follows: Three months ended March 31, 2019 Award amount Exercise price range Vesting period Expiration Employees: Options 897,736 $ 3.56-$3.81 4 years 10 years RSUs 274,628 - 4 years - Three month ended March 31, 2018 Award amount Exercise price range Vesting period Expiration Employees: Options 488,843 $ 6.35-$6.40 4 years 10 years RSUs 103,448 - 4 years - The fair value of options and RSUs granted to employees during the three months ended March 31, 2019, and the three months ended March 31, 2018 was $2,736 and $2,305 respectively. The fair value of RSUs granted to employees is based on the share price on grant date and was computed using the Black-Scholes model. The underlying data used for computing the fair value of the options are as follows: Three months ended March 31 2019 2018 Value of ordinary share $ 3.32-$3.83 $ 5.99 Dividend yield 0 % 0 % Expected volatility 61.2%-61.4 % 62.1 % Risk-free interest rate 2.55%-2.62 % 2.75 % Expected term 6 years 6 years The following table illustrates the effect of share-based compensation on the statements of operations: Three months ended March 31 2019 2018 Research and development expenses $ 354 $ 891 Selling, general and administrative 596 863 Total $ 950 $ 1,754

COMMITMENTS

COMMITMENTS	3 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS	NOTE 6 – COMMITMENTS Operating lease The Company leases office space for its headquarters and research and development facilities in Israel and the United States under several lease agreements. The lease agreement for the facilities in Israel are linked to the Israeli CPI and due to The lease agreement in the United States was due to expire during March 2019. 13 . an extension of the lease period of the 10,000 square feet currently leased under the original agreement (the "Current Space") and an ( " ”). later (the "Commencement Date"). On March 13, 2019, pursuant to the extension of the lease on the Current Space, the Company recognized an additional right of use asset and liability in the amount of $713. The Additional Space is considered a new lease agreement and will be recognized only on Commencement Date. As of March 31, 2019, the expected right of use asset and liability of the Additional Space to be recognized on the Commencement Date is $333. In July 2017, the Company has entered into operating lease agreements in connection with a number of vehicles. The lease periods are generally for three years and the payments are linked to the Israeli CPI. To secure the terms of the lease agreements, the Company has made certain prepayments to the leasing company, representing approximately three months of lease payments. These amounts have been recorded as part of the operating lease right to use assets. Operating lease costs for the three months ended March 31, 2019, are as follows: Three months ended March 31 2019 Office lease expenses $ 182 Vehicles lease expenses $ 25 Cash paid for amounts included in the measurement of lease liabilities are as follows: Three months ended March 31 2019 Office lease $ 201 Vehicles lease $ 36 Supplemental information related to leases are as follows: March 31 2019 Operating lease right-of-use assets $ 1,934 Operating lease liabilities $ 1,937 Weighted average remaining lease term 2.4 years Weighted average discount rate 5.54 % Maturities of lease liabilities are as follows: 2019 $ 695 2020 954 2021 279 2022 150 Total lease payments $ 2,078 Less imputed interest $ (141 ) Total lease liability $ 1,937 The Company has a lien in the amount of $137 on the Company’s marketable securities in respect of bank guarantees granted in order to secure the lease agreements. The Company elected the alternative modified transition method and included the following table previously disclosed. Future minimum lease commitments under non-cancelable operating lease agreements as of December 31, 2018 were as follows: 2019 $ 746 2020 682 2021 and thereafter 21 Total $ 1,449

ENTITY-WIDE DISCLOSURES_

ENTITY-WIDE DISCLOSURES:	3 Months Ended
	Mar. 31, 2019
Segment Reporting [Abstract]
ENTITY-WIDE DISCLOSURE:	NOTE 7 - ENTITY-WIDE DISCLOSURE: a. Net revenues by geographic area were as follows: Three months ended March 31 2019 2018 United States $ - $ 62 Denmark 308 - Germany - 844 Total revenues $ 308 $ 906 b. Customers exceeding 10% of revenues: In each of the three months ended March 31, 2019 and March 31, 2018 the Company had one customer exceeding over 10% of total revenues. Revenues from the customers were $308 and $844 during the three months ending March 31, 2019, and March 31, 2018, respectively. c. Net revenues by type of payment: Three months ended March 31 2019 2018 Development service payments $ - $ 62 Royalties 308 844 Total revenues $ 308 $ 906

SUBSEQUENT EVENTS_

SUBSEQUENT EVENTS:	3 Months Ended
	Mar. 31, 2019
Subsequent Events [Abstract]
SUBSEQUENT EVENTS:	NOTE 8 - SUBSEQUENT EVENTS: On April 10, 2019, the Company’s shareholder approved the following: (i) a new employee incentive plan including an additional pool of 6,ooo,ooo shares for grant; (ii) an employee share purchase plan with a pool of 5,400,000 shares for purchase; and (iii) an increase to the Company’s authorized shares of 45,000,000 shares NIS 0.16 per share.

SIGNIFICANT ACCOUNTING POLICI_2

SIGNIFICANT ACCOUNTING POLICIES: (Policies)	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Principles of consolidation	a. Principles of consolidation The consolidated financial statements include the accounts of Foamix and its subsidiary. Intercompany balances and transactions including profits from intercompany sales not yet realized outside the Company, have been eliminated upon consolidation.
Fair value measurement	b. Fair value measurement Fair value is based on the price that would be received from the sale of an asset or that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, the guidance establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described as follows: Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. Level 2 Observable prices that are based on inputs not quoted on active markets, but corroborated by market data or active market data of similar or identical assets or liabilities. Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs. In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible and considers counterparty credit risk in its assessment of fair value.
Loss per share	c. Loss per share Net loss per share, basic and diluted, is computed on the basis of the net loss for the period divided by the weighted average number of Ordinary shares outstanding during the period. Diluted net loss per share is based upon the weighted average number of Ordinary shares and of Ordinary share equivalents outstanding when dilutive. Ordinary share equivalents include outstanding stock options and warrants which are included under the treasury share method when dilutive . The following share options, restricted share units (“RSUs”) and warrants were excluded from the calculation of diluted net loss per ordinary share because their effect would have been anti-dilutive for the periods presented (share data): Three months ended March 31 2019 2018 Outstanding share options and RSUs 5,895,973 4,728,610 Warrants - 1,394,558
Newly issued and recently adopted accounting pronouncements:	d. Newly issued and recently adopted accounting pronouncements Accounting pronouncements adopted in period: 1) In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which supersedes the existing guidance for lease accounting, Leases (Topic 840). The new standard requires lessees to record assets and liabilities on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The Company adopted the standard as of January 1, 2019 on a modified retrospective basis and did not restate comparative periods. The Company elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the Company to carryforward the historical lease classification and not separate lease and non-lease components for the leases. The adoption of the standard resulted in recognition of $1,357 of lease assets and lease liabilities as of January 1, 2019 on the Company’s consolidated balance sheets. 2) In June 2018, the FASB issued ASU No. 2018-07, Compensation-Stock Compensation (Topic 718) Improvements to Nonemployee Share-based Payments. This ASU was issued to simplify the accounting for share-based transactions by expanding the scope of Topic 718 from only being applicable to share-based payments to employees to also include share-based payment transactions for acquiring goods and services from nonemployees. As a result, nonemployee share-based transactions will be measured by estimating the fair value of the equity instruments at the grant date, taking into consideration the probability of satisfying performance conditions. This standard, adopted as of January 1, 2019

SIGNIFICANT ACCOUNTING POLICI_3

SIGNIFICANT ACCOUNTING POLICIES: (Tables)	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Schedule of anti-dilutive securities	The following share options, restricted share units (“RSUs”) and warrants were excluded from the calculation of diluted net loss per ordinary share because their effect would have been anti-dilutive for the periods presented (share data): Three months ended March 31 2019 2018 Outstanding share options and RSUs 5,895,973 4,728,610 Warrants - 1,394,558

FAIR VALUE PRESENTATION (Tables

FAIR VALUE PRESENTATION (Tables)	3 Months Ended
	Mar. 31, 2019
Fair Value Disclosures [Abstract]
Schedule of assets and liabilities that are measured at fair value	The Company’s assets and liabilities that are measured at fair value as of March 31, 2019 and December 31, 2018, are classified in the tables below in one of the three categories described in note 2b above: March 31, 2019 Level 1 Level 2 Total Marketable securities $ 1,001 $ 38,534 $ 39,535 Currency options designated as hedging instruments (current asset) - $ 12 $ 12 December 31, 2018 Level 1 Level 2 Total Marketable securities $ 991 $ 46,229 $ 47,220 Currency options designated as hedging instruments (current liability) - $ (3 ) $ (3 )

MARKETABLE SECURITIES (Tables)

MARKETABLE SECURITIES (Tables)	3 Months Ended
	Mar. 31, 2019
Investments, Debt and Equity Securities [Abstract]
Schedule of marketable securities	T March 31 December 31 2019 2018 Israeli mutual funds $ 1,001 $ 991 Certificates of deposit 2,086 2,773 U.S Government and agency bonds 20,694 25,215 U.S Treasury bills 15,754 18,241 Total $ 39,535 $ 47,220
Schedule of the fair value, cost and gross unrealized holding gains of the securities owned	As of March 31, 2019 and December 31, 2018 the fair value, cost and gross unrealized holding gains and losses of the marketable securities owned by the Company were as follows: March 31, 2019 Fair Cost or amortized cost Gross unrealized Gross unrealized Certificates of deposit $ 2,086 $ 2,092 $ 6 $ - U.S Government and agency bonds 20,694 20,693 3 4 U.S Treasury bills 15,754 15,753 - 1 Total $ 38,534 $ 38,538 $ 9 $ 5 December 31, 2018 Fair Cost or amortized cost Gross unrealized Gross unrealized Certificates of deposit $ 2,773 $ 2,790 $ 17 $ - U.S Government and agency bonds 25,215 25,236 22 1 U.S Treasury bills 18,241 18,243 3 1 Total $ 46,229 $ 46,269 $ 42 $ 2
Schedule of maturity dates of debt securities	As of March 31, 2019, and December 31, 2018 the Company’s debt securities had the following maturity dates: Market value March 31 December 31, 2019 2018 Due within one year $ 38,534 $ 46,079 1 to 2 years - 150 Total $ 38,534 $ 46,229

SHARE CAPITAL_ (Tables)

SHARE CAPITAL: (Tables)	3 Months Ended
	Mar. 31, 2019
Stockholders' Equity Note [Abstract]
Schedule of options and RSUs granted to employees, directors and non-employees	In the three months ended March 31, 2019 and 2018, the Company granted options as follows: Three months ended March 31, 2019 Award amount Exercise price range Vesting period Expiration Employees: Options 897,736 $ 3.56-$3.81 4 years 10 years RSUs 274,628 - 4 years - Three month ended March 31, 2018 Award amount Exercise price range Vesting period Expiration Employees: Options 488,843 $ 6.35-$6.40 4 years 10 years RSUs 103,448 - 4 years -
Schedule of underlying data used for computing the fair value of the options	The fair value of RSUs granted to employees is based on the share price on grant date and was computed using the Black-Scholes model. The underlying data used for computing the fair value of the options are as follows: Three months ended March 31 2019 2018 Value of ordinary share $ 3.32-$3.83 $ 5.99 Dividend yield 0 % 0 % Expected volatility 61.2%-61.4 % 62.1 % Risk-free interest rate 2.55%-2.62 % 2.75 % Expected term 6 years 6 years
Schedule of share-based compensation	The following table illustrates the effect of share-based compensation on the statements of operations: Three months ended March 31 2019 2018 Research and development expenses $ 354 $ 891 Selling, general and administrative 596 863 Total $ 950 $ 1,754

COMMITMENTS (Tables)

COMMITMENTS (Tables)	3 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Schedule of Operating lease expense	Operating lease costs for the three months ended March 31, 2019, are as follows: Three months ended March 31 2019 Office lease expenses $ 182 Vehicles lease expenses $ 25
Schedule of Cash Paid for Lease Liabilities	Cash paid for amounts included in the measurement of lease liabilities are as follows: Three months ended March 31 2019 Office lease $ 201 Vehicles lease $ 36
Schedule of Supplemental Information Related to Leases	Supplemental information related to leases are as follows: March 31 2019 Operating lease right-of-use assets $ 1,934 Operating lease liabilities $ 1,937 Weighted average remaining lease term 2.4 years Weighted average discount rate 5.54 %
Schedule of Maturities of Lease Liabilities	Maturities of lease liabilities are as follows: 2019 $ 695 2020 954 2021 279 2022 150 Total lease payments $ 2,078 Less imputed interest $ (141 ) Total lease liability $ 1,937
Schedule of Future Minimum Lease Commitments	Future minimum lease commitments under non-cancelable operating lease agreements as of December 31, 2018 were as follows: 2019 $ 746 2020 682 2021 and thereafter 21 Total $ 1,449

ENTITY-WIDE DISCLOSURES_ (Table

ENTITY-WIDE DISCLOSURES: (Tables)	3 Months Ended
	Mar. 31, 2019
Segment Reporting [Abstract]
Schedule of net revenues by geographic area	a. Net revenues by geographic area were as follows: Three months ended March 31 2019 2018 United States $ - $ 62 Denmark 308 - Germany - 844 Total revenues $ 308 $ 906
Schedule of Net Revenues by Payment Type	c. Net revenues by type of payment: Three months ended March 31 2019 2018 Development service payments $ - $ 62 Royalties 308 844 Total revenues $ 308 $ 906

NATURE OF OPERATIONS AND BASI_2

NATURE OF OPERATIONS AND BASIS OF PRESENTATION: (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accumulated deficit	$ 215,409	$ 230,613
Minimum period for which Company's cash and cash equivalents and available for sale securities will allow to fund its operating plan	12 months

SIGNIFICANT ACCOUNTING POLICI_4

SIGNIFICANT ACCOUNTING POLICIES: (Schedule of Anti-Dilutive Securities) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Jan. 02, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Lease assets and lease liabilities			$ 1,357
Options and RSUs [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Shares excluded from the computation of diluted net loss per share, because the effect of their inclusion in the computation would be anti-dilutive	5,895,973	4,728,610
Warrants [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Shares excluded from the computation of diluted net loss per share, because the effect of their inclusion in the computation would be anti-dilutive		1,394,558

FAIR VALUE PRESENTATION (Schedu

FAIR VALUE PRESENTATION (Schedule of Assets and Liabilities Measured at Fair Value) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	$ 39,535	$ 47,220
Currency options designated as hedging instruments (current liabilities)		(3)
Currency options designated as hedging instruments (current assets)	12
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	1,001	991
Currency options designated as hedging instruments (current liabilities)
Currency options designated as hedging instruments (current assets)
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Marketable securities	38,534	46,229
Currency options designated as hedging instruments (current liabilities)		$ (3)
Currency options designated as hedging instruments (current assets)	$ 12

FAIR VALUE PRESENTATION (Narrat

FAIR VALUE PRESENTATION (Narrative) (Details) - 3 months ended Mar. 31, 2019 ₪ in Thousands, $ in Thousands	USD ($)	ILS (₪)
FAIR VALUE MEASURMENTS [Abstract]
Currency hedging transactions, maximum term	1 year
Total hedged amount | ₪		₪ 65,000
Derivative liability	$ 12
Foreign exchange risk lien on marketable securities for bank guarantees granted to secure hedging transactions	276
Foreign exchange risk lien on checking account for bank guarantees granted to secure hedging transactions	$ 250

MARKETABLE SECURITIES (Schedule

MARKETABLE SECURITIES (Schedule of Marketable Securities) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]
Fair value	$ 38,534	$ 47,220
Israeli mutual funds [Member]
Debt Securities, Available-for-sale [Line Items]
Fair value	1,001	991
Certificates of deposit [Member]
Debt Securities, Available-for-sale [Line Items]
Fair value	2,086	2,773
U.S. Goverment and agency bonds [Member]
Debt Securities, Available-for-sale [Line Items]
Fair value	20,694	25,215
U.S Treasury bills [Member]
Debt Securities, Available-for-sale [Line Items]
Fair value	$ 15,754	$ 18,241

MARKETABLE SECURITIES (Schedu_2

MARKETABLE SECURITIES (Schedule of Fair Value, Cost and Gross Unrealized Holding Gains of Securities Owned) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]
Fair value	$ 38,534	$ 47,220
Cost or amortized cost	38,538	46,269
Gross unrealized holding losses	9	42
Gross unrealized holding gains	5	2
Certificates of deposit [Member]
Debt Securities, Available-for-sale [Line Items]
Fair value	2,086	2,773
Cost or amortized cost	2,092	2,790
Gross unrealized holding losses	6	17
Gross unrealized holding gains
U.S. Goverment and agency bonds [Member]
Debt Securities, Available-for-sale [Line Items]
Fair value	20,694	25,215
Cost or amortized cost	20,693	25,236
Gross unrealized holding losses	3	22
Gross unrealized holding gains	4	1
U.S Treasury bills [Member]
Debt Securities, Available-for-sale [Line Items]
Fair value	15,754	18,241
Cost or amortized cost	15,753	18,243
Gross unrealized holding losses		3
Gross unrealized holding gains	$ 1	$ 1

MARKETABLE SECURITIES (Schedu_3

MARKETABLE SECURITIES (Schedule of Maturity Dates of Debt Securities) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]
Due within one year	$ 38,534	$ 46,079
1 to 2 years		150
Total	$ 38,534	$ 46,229

MARKETABLE SECURITIES (Narrativ

MARKETABLE SECURITIES (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018
Secondary Offering [Member]
Proceeds from sale and maturity of marketable securities	$ 7,877	$ 7,689
Marketable securities restricted	413		$ 401
Adjustment in accumulated deficit	$ 35

SHARE CAPITAL_ (Narrative) (Det

SHARE CAPITAL: (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Apr. 10, 2019	Dec. 31, 2017	May 31, 2015
Employees and directors [Member] | Share options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair value of options granted	$ 2,736	$ 2,305
New option plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares available for grant	27,990
Number of shares authorized under the plan					2,690,694
New option plan [Member] | Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized under the plan				2,900,000
Employee Incentive Plan [Member] | Subsequent Event [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized under the plan			6,000,000

SHARE CAPITAL_ (Schedule of Opt

SHARE CAPITAL: (Schedule of Options and RSUs Granted to Employees and Non-employees) (Details) - $ / shares	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Share options [Member] | Employee [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award amount	897,736	488,843
Exercise price range, minimum	$ 3.56	$ 6.35
Exercise price range, maximum	$ 3.81	$ 6.40
Vesting period	4 years	4 years
Expiration period	10 years	10 years
Share options [Member] | Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award amount	2,736	2,305
RSUs [Member] | Employee [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award amount	274,628	103,448
Exercise price range, minimum
Exercise price range, maximum
Vesting period	4 years	4 years
RSUs [Member] | Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award amount	2,736	2,305

SHARE CAPITAL_ (Schedule of Und

SHARE CAPITAL: (Schedule of Underlying Data Used for Computing the Fair Value of the Options) (Details) - Share options [Member] - Employees and directors [Member] - $ / shares	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Value of ordinary share		$ 5.99
Dividend yield	0.00%	0.00%
Expected volatility		62.10%
Expected volatility, minimum	61.20%
Expected volatility, maximum	61.40%
Risk-free interest rate		2.75%
Risk-free interest rate, minimum	2.55%
Risk-free interest rate, maximum	2.62%
Expected term	6 years	6 years
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Value of ordinary share	$ 3.32
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Value of ordinary share	$ 3.83

SHARE CAPITAL_ (Schedule of Sha

SHARE CAPITAL: (Schedule of Share-based Compensation) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Share-based compensation	$ 950	$ 1,754
Research and development expenses [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Share-based compensation	354	891
Selling, general and administrative [Member]
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Share-based compensation	$ 596	$ 863

COMMITMENTS (Schedule of Operat

COMMITMENTS (Schedule of Operating lease expense) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2019USD ($)
Lessee, Lease, Description [Line Items]
Additional right of use asset and liability recognized on Current Space	$ 713
Expected right of use asset and liability of the Additional Space to be recognized on the Commencement Date	333
Office Building [Member]
Lessee, Lease, Description [Line Items]
Operating lease cost	182
Vehicle [Member]
Lessee, Lease, Description [Line Items]
Operating lease cost	$ 25

COMMITMENTS (Schedule of Cash p

COMMITMENTS (Schedule of Cash paid for lease liabilities) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2019USD ($)
Commitments and Contingencies Disclosure [Abstract]
Office lease	$ 201
Vehicles lease	$ 36

COMMITMENTS (Schedule of Supple

COMMITMENTS (Schedule of Supplemental Information Related to Leases) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Operating lease right-of-use assets	$ 1,934
Operating lease liabilities	$ 1,937
Weighted average remaining lease term	2 years 4 months 24 days
Weighted average discount rate	5.54%

COMMITMENTS (Schedule of Maturi

COMMITMENTS (Schedule of Maturities of Lease Liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
2019	$ 695
2020	954
2021	279
2022	150
Total	2,078
Less imputed interest	(141)
Total lease liability	1,937
Restricted investments in marketable securities	$ 137	$ 133

COMMITMENTS (Schedule of Future

COMMITMENTS (Schedule of Future Minimum Lease Commitments) (Details) $ in Thousands	Mar. 31, 2019USD ($)
Commitments and Contingencies Disclosure [Abstract]
2019	$ 746
2020	682
2021 and thereafter	21
Total	$ 1,449

ENTITY-WIDE DISCLOSURES_ (Sched

ENTITY-WIDE DISCLOSURES: (Schedule of Net Revenues by Geographic Area) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues	$ 308	$ 906
United States [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues		62
Denmark [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues	308
Germany [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total revenues		$ 844

ENTITY-WIDE DISCLOSURES_ (Sch_2

ENTITY-WIDE DISCLOSURES: (Schedule of Net Revenues by Payment Type) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenue, Major Customer [Line Items]
Total revenues	$ 308	$ 906
Revenue [Member] | Development Service Payments [Member]
Revenue, Major Customer [Line Items]
Total revenues		62
Revenue [Member] | Royalties [Member]
Revenue, Major Customer [Line Items]
Total revenues	$ 308	$ 844

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) - ₪ / shares	Apr. 10, 2019	Mar. 31, 2019	Dec. 31, 2018
Subsequent Event [Line Items]
Par value		₪ 0.16	₪ 0.16
Subsequent Event [Member]
Subsequent Event [Line Items]
Increase in number of ordinary shares authorized	45,000,000
Par value	₪ 0.16
Subsequent Event [Member] | Employee Incentive Plan [Member]
Subsequent Event [Line Items]
Shares authorized for grant under plan	6,000,000
Subsequent Event [Member] | Employee Stock Purchase Plan [Member]
Subsequent Event [Line Items]
Shares authorized for grant under plan	5,400,000