Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 28, 2019 | Jun. 29, 2018 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | Pulse Biosciences, Inc. | ||
Entity Filer Category | Accelerated Filer | ||
Entity Central Index Key | 0001625101 | ||
Trading Symbol | plse | ||
Amendment Flag | false | ||
Document Type | 10-K | ||
Document Fiscal Period Focus | FY | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2018 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Current Reporting Status | Yes | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | true | ||
Entity Small Business | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 20,688,832 | ||
Entity Public Float | $ 159,262,000 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 51,103 | $ 3,386 |
Investments | 8,480 | 34,683 |
Prepaid expenses and other current assets | 779 | 412 |
Total current assets | 60,362 | 38,481 |
Property and equipment, net | 2,173 | 2,570 |
Intangible assets, net | 5,213 | 5,878 |
Goodwill | 2,791 | 2,791 |
Other asset | 101 | 101 |
Total assets | 70,640 | 49,821 |
Current liabilities: | ||
Accounts payable | 1,272 | 782 |
Accrued expenses | 1,421 | 1,034 |
Deferred rent, current | 415 | 397 |
Total current liabilities | 3,108 | 2,213 |
Deferred rent, less current | 1,198 | 1,613 |
Total liabilities | 4,306 | 3,826 |
Commitments and contingencies (Note 10) | ||
Stockholders' equity: | ||
Preferred stock, $0.001 par value; authorized – 50,000 shares; no shares issued and outstanding | ||
Common stock, $0.001 par value; authorized – 500,000 shares; issued and outstanding – 20,593 shares and 16,819 shares at December 31, 2018 and 2017, respectively | 21 | 17 |
Additional paid-in-capital | 142,032 | 84,202 |
Accumulated other comprehensive loss | (1) | (51) |
Accumulated deficit | (75,718) | (38,173) |
Total stockholders' equity | 66,334 | 45,995 |
Total liabilities and stockholders' equity | $ 70,640 | $ 49,821 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Consolidated Balance Sheets [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 20,593,000 | 16,819,000 |
Common stock, shares outstanding | 20,593,000 | 16,819,000 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations And Comprehensive Loss shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($)$ / sharesshares | |
Consolidated Statements Of Operations And Comprehensive Loss [Abstract] | |
Revenue | |
Operating expenses: | |
General and administrative | 20,045 |
Research and development | 17,253 |
Amortization of intangible assets | 665 |
Total operating expenses | 37,963 |
Other income (expense): | |
Interest income | 446 |
Other | (28) |
Total other income (expense) | 418 |
Loss from operations, before income taxes | (37,545) |
Income tax benefit | |
Net loss | (37,545) |
Other comprehensive loss: | |
Unrealized gain (loss) on available-for-sale securities | 50 |
Comprehensive loss | $ (37,495) |
Net loss per share: | |
Basic and diluted net loss per share | $ / shares | $ (2.20) |
Weighted average shares used to compute net loss per common share - basic and diluted | shares | 17,078 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Common StockPrivate Placement [Member] | Common StockWarrants to purchase common stock [Member] | Common StockRights Offering [Member] | Common Stock | Additional Paid-in Capital [Member]Private Placement [Member] | Additional Paid-in Capital [Member]Warrants to purchase common stock [Member] | Additional Paid-in Capital [Member]Rights Offering [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Loss [Member]Private Placement [Member] | Accumulated Other Comprehensive Loss [Member]Warrants to purchase common stock [Member] | Accumulated Other Comprehensive Loss [Member]Rights Offering [Member] | Accumulated Other Comprehensive Loss [Member] | Accumulated Deficit [Member]Private Placement [Member] | Accumulated Deficit [Member]Warrants to purchase common stock [Member] | Accumulated Deficit [Member]Rights Offering [Member] | Accumulated Deficit [Member] | Private Placement [Member] | Warrants to purchase common stock [Member] | Rights Offering [Member] | Total |
Balance at Dec. 31, 2016 | $ 13 | $ 37,898 | $ (7) | $ (12,606) | $ 25,298 | |||||||||||||||
Balance, shares at Dec. 31, 2016 | 13,315,000 | |||||||||||||||||||
Shares issued | $ 3 | $ 34,840 | $ 34,843 | |||||||||||||||||
Shares issued, shares | 2,820,000 | |||||||||||||||||||
Shares issued upon exercise of stock options | $ 1 | $ 50 | 488 | $ 50 | 489 | |||||||||||||||
Shares issued upon exercise of stock options, shares | 522,000 | 162,000 | ||||||||||||||||||
Stock-based compensation expense | 10,926 | 10,926 | ||||||||||||||||||
Unrealized loss on available-for-sale securities, net of tax | (44) | (44) | ||||||||||||||||||
Net loss | (25,567) | (25,567) | ||||||||||||||||||
Balance at Dec. 31, 2017 | $ 17 | 84,202 | (51) | (38,173) | $ 45,995 | |||||||||||||||
Balance, shares at Dec. 31, 2017 | 16,819,000 | 16,819,000 | ||||||||||||||||||
Shares issued | $ 4 | $ 44,782 | $ 44,786 | |||||||||||||||||
Shares issued, shares | 3,581,000 | |||||||||||||||||||
Shares issued upon exercise of stock options | 498 | $ 498 | ||||||||||||||||||
Shares issued upon exercise of stock options, shares | 24,000 | 145,000 | 36,224 | 144,508 | ||||||||||||||||
Issuance of shares under employee stock plans | 327 | $ 327 | ||||||||||||||||||
Issuance of shares under employee stock plans, shares | 24,000 | |||||||||||||||||||
Stock-based compensation expense | 12,338 | 12,338 | ||||||||||||||||||
Tax payments related to shares withheld for vested restricted stock units | (115) | (115) | ||||||||||||||||||
Unrealized loss on available-for-sale securities, net of tax | 50 | 50 | ||||||||||||||||||
Net loss | (37,545) | (37,545) | ||||||||||||||||||
Balance at Dec. 31, 2018 | $ 21 | $ 142,032 | $ (1) | $ (75,718) | $ 66,334 | |||||||||||||||
Balance, shares at Dec. 31, 2018 | 20,593,000 | 20,593,000 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Private Placement [Member] | ||
Issuance costs | $ 199 | |
Rights [Member] | ||
Price per share | $ 12.57 | |
Issuance costs | $ 213 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | |||
Net loss | $ (37,545) | $ (25,567) | $ (9,518) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Depreciation | 645 | 336 | 94 |
Amortization of intangible assets | 665 | 665 | 665 |
Loss on disposal of fixed assets | 28 | ||
Stock-based compensation | 12,338 | 10,926 | 870 |
Net premium amortization on investments | (140) | 26 | 4 |
Landlord incentive for tenant improvements | 2,119 | ||
Changes in operating assets and liabilities: | |||
Prepaid expenses and other current assets | (367) | (144) | (415) |
Accounts payable | 490 | 517 | 3 |
Accrued expenses | 387 | 245 | 246 |
Other asset | (101) | ||
Deferred rent | (397) | (109) | |
Net cash used in operating activities | (23,896) | (11,087) | (8,051) |
Cash flows from investing activities: | |||
Purchases of property and equipment | (276) | (2,551) | (64) |
Purchases of available-for-sale securities | (40,297) | (43,595) | (19,067) |
Maturities of available-for-sale securities | 41,815 | 23,148 | 4,750 |
Sales of investments | 24,875 | ||
Net cash provided by investing activities | 26,117 | (22,998) | (14,381) |
Cash flows from financing activities: | |||
Proceeds from exercises of stock options and warrants | 498 | 539 | |
Proceeds from issuance of common stock from private offering, net of issuance costs | 34,843 | ||
Proceeds from issuance of common stock from initial public offering, net of issuance costs | 20,915 | ||
Proceeds from issuance of common stock under employee stock plan | 327 | ||
Proceeds from issuance of common stock from rights offering, net of issuance costs | 44,786 | ||
Tax payments related to shares withheld for vested restricted stock units | (115) | ||
Net cash provided by financing activities | 45,496 | 35,382 | 20,915 |
Net increase in cash and cash equivalents | 47,717 | 1,297 | (1,517) |
Cash and cash equivalents at beginning of period | 3,386 | 2,089 | 3,606 |
Cash and cash equivalents at end of period | 51,103 | 3,386 | 2,089 |
Supplemental disclosure of noncash investing and financing activities: | |||
Reclassification of deferred offering costs to additional paid-in capital upon initial public offering | 627 | ||
Equipment purchased in accounts payable and accrued expenses | $ 33 | $ 38 | $ 18 |
Description Of The Business
Description Of The Business | 12 Months Ended |
Dec. 31, 2018 | |
Description Of The Business [Abstract] | |
Description Of The Business | 1. Description of the Business Pulse Biosciences, Inc., is a clinical stage medical therapy company pursuing commercial introduction of its proprietary CellFX™ System utilizing the Company’s proprietary Nano-Pulse Stimulation™ (NPS™) platform technology. The Company’s CellFX System provides a novel, precise, non-thermal cellular treatment technology delivering nanosecond duration energy pulses that impact cells in treated tissue while sparing surrounding non-cellular tissue. The novel characteristics of the Company’s CellFX System mechanism of action has the potential to significantly benefit patients across multiple medical applications, including dermatology, the Company’s first planned commercial application. The Company was incorporated in Nevada on May 19, 2014 . On June 18, 2018, the Company reincorporated from the State of Nevada to the State of Delaware. The Company’s headquarters and research facility are located in Hayward, California. The Company’s activities are subject to significant risks and uncertainties, including the need for additional capital. The Company has not yet commenced any revenue-generating operations, does not have any cash flows from operations, and will need to raise additional capital to finance its operations. However, there can be no assurances that the Company will be able to obtain additional financing on acceptable terms and in the amounts necessary to fully fund its operating requirements. |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Summary Of Significant Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Principles of Consolidation The accompanying consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the United States Securities Exchange Commission (the “SEC”). The consolidated financial statements include the financial statements of the Company and its wholly-owned subsidiaries and intercompany balances and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires the Company to make estimates that affect the amounts reported in the financial statements and accompanying notes to the financial statements. Estimates include, but are not limited to, the valuation of investments, clinical trial accruals, the valuation and recognition of stock-based compensation and useful lives assigned to long-lived assets. Actual amounts could differ from these estimates . Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash and cash equivalents and investments. The Company places its cash equivalents and investments with high credit quality financial institutions and, by policy, limits the amounts invested with any one financial institution or issuer. Deposits held with banks may exceed the amount of insurance provided on such deposits. The Company has not experienced any losses since inception. Fair Value of Financial Instruments The Company believes the carrying amounts of its financial instruments, including cash equivalents, prepaid expenses and other current assets, accounts payable and accrued expenses, approximate fair value due to the short-term nature of such instruments. Cash, Cash Equivalents and Investments The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. The Company has designated all investments as available-for-sale and therefore, such investments are reported at fair value, with unrealized gains and losses recognized in accumulated other comprehensive income (loss) (“OCI”) in stockholders’ equity. The cost of marketable securities is adjusted for the amortization of premiums and discounts to expected maturity. Premium and discount amortization is included in other income, net. Realized gains and losses, as well as interest income, on available-for-sale securities are also included in other income, net. The Company includes all of its available-for-sale securities in current assets. All of the Company’s investments are subject to a periodic impairment review. The Company recognizes an impairment loss when a decline in the fair value of its marketable investments below the cost basis is judged to be other-than-temporary. Factors considered in determining whether a loss is temporary include the length of time and extent to which the marketable investments fair value has been less than the cost basis, the financial condition and near-term prospects of the investee, extent of the loss related to credit of the issuer, the expected cash flows from the security, the Company’s intent to sell the security and whether or not the Company will be required to sell the security before the recovery of its amortized cost. No impairment losses were incurred during the periods presented . Property and Equipment Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life. Equipment is recorded at cost and depreciated using the straight-line method over their estimated useful lives, ranging from three to five years. Intangible Assets The Company’s intangible assets consist of acquired patents and licenses, which are being amortized over their estimated useful lives of twelve years. Long-Lived Assets The Company reviews long-lived assets, consisting of property and equipment and intangible assets, for impairment during each fiscal year or when events or changes in circumstances indicate the carrying value of these assets may exceed their current fair values. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated undiscounted future cash flows expected to be generated by the asset. N o impairment losses were incurred during the periods presented. Goodwill The Company records goodwill when the consideration paid in a business acquisition exceeds the fair value of the net tangible assets and the identified intangible assets acquired. The Company reviews goodwill for impairment at the reporting until level at least annually or whenever changes in circumstances indicate that the carrying value of the goodwill may not be recoverable. To date, there has been no impairment of goodwill. Stock-Based Compensation The Company recognizes the cost of stock-based compensation in the financial statements based upon fair value. The fair value of stock options is determined as of the grant date using the Black-Scholes option pricing model. The fair value of restricted stock and restricted stock unit (RSU) awards is determined based on the number of units granted and the closing price of the Company’s common stock on the grant date. The fair value of each purchase under the employee stock purchase plan (ESPP) is estimated at the beginning of the offering period using the Black-Scholes option pricing model. The Company’s determination of the fair value of equity-settled awards is impacted by the price of the Company's common stock as well as changes in assumptions regarding a number of complex and subjective variables. These variables include, but are not limited to, the expected term that awards will remain outstanding, expected common stock price volatility over the term of the awards, risk-free interest rates and expected dividends. The fair value of an award is recognized over the period during which service is required to be performed in exchange for the award, the requisite service period (usually the vesting period) on a straight-line basis. Equity instruments issued to non-employees are recorded at their fair value on the measurement date and are subject to periodic adjustments as the underlying equity instruments vest. The fair value of these equity instruments are expensed over the service period. Estimates of the fair value of equity-settled awards as of the grant date using valuation models, such as the Black-Scholes option pricing model, are affected by assumptions regarding a number of complex variables. Changes in the assumptions can materially affect the fair value of the award and ultimately how much stock-based compensation expense is recognized. These inputs are subjective and generally require significant analysis and judgment to develop. The Company determines the volatility factor based on the historical volatilities of comparable public companies in similar industries. The risk-free interest rate is based on the yield available on U.S. Treasury zero-coupon issues similar in duration to the expected term of the equity-settled award. For all stock options granted to date, the Company used the simplified method to calculate the expected term, which is the average of the contractual term and vesting period. Prior to the Company’s initial public offering, the fair value of common stock was determined by reference to either recent or anticipated cash transactions involving the sale of the Company’s common stock. The Company recognizes the fair value of stock-based compensation costs in general and administrative costs and in research and development costs, as appropriate, in the Company’s consolidated statements of operations. Research and Development Costs Research and development costs consist primarily of compensation costs, fees paid to consultants and outside service providers and organizations (including university research institutes), costs associated with clinical trials, development prototypes and other expenses relating to the acquisition, design, development and testing of the Company’s product candidates. Research and development costs incurred by the Company are expensed as incurred, unless the achievement of milestones, the completion of contracted work, or other information indicates that a different expensing schedule is more appropriate. Patent Costs The Company is the owner of numerous domestic and foreign patents. Due to the significant uncertainty associated with the successful development of one or more commercially viable products based on the Company’s research efforts and any related patent applications, patent costs not related to acquired patents, including patent-related legal fees, filing fees and other costs, including internally generated costs, are expensed as incurred. During the years ended December 31, 2018, 2017 and 2016, patent costs totaled $0.6 million, $0.8 million and $0.5 million, respectively . Patent costs are included in general and administrative costs in the consolidated statements of operations and comprehensive loss. Income Taxes The Company accounts for income taxes under an asset and liability approach for financial accounting and reporting for income taxes. Accordingly, the Company recognizes deferred tax assets and liabilities for the expected impact of differences between the financial statements and the tax basis of assets and liabilities. The Company records a valuation allowance to reduce its deferred tax assets to the amount that is more likely than not to be realized. In the event the Company determines that it would be able to realize its deferred tax assets in the future in excess of its recorded amount, an adjustment to the deferred tax assets would be credited to operations in the period such determination was made. Likewise, should the Company determine that it would not be able to realize all or part of its deferred tax assets in the future, an adjustment to the deferred tax assets would be charged to operations in the period such determination was made. The Company is subject to U.S. federal income taxes and income taxes in California. As the Company’s net operating losses have yet to be utilized, previous tax years remain open to examination by federal authorities and other jurisdictions in which the Company currently operates or has operated in the past. The Company is not currently under examination by any tax authority. The Company accounts for uncertainties in income tax law under a comprehensive model for the financial statement recognition, measurement, presentation and disclosure of uncertain tax positions taken or expected to be taken in income tax returns as prescribed by U.S. GAAP. The tax effects of a position are recognized only if it is “more-likely-than-not” to be sustained by the taxing authority as of the reporting date. If the tax position is not considered “more-likely-than-not” to be sustained, then no benefits of the position are recognized. At December 31, 2018 and 2017, the Company had not recorded any liability for uncertain tax positions. The Company includes interest and penalties related to uncertain tax positions as a component of income tax expense. Comprehensive Loss Comprehensive loss consists of net loss and unrealized gains or losses on available-for-sale investments. The Company displays comprehensive loss and its components as part of the consolidated statements of operations and comprehensive loss. Net Loss per Share The Company calculates basic net loss per share by dividing net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by giving effect to all potential dilutive common stock equivalents outstanding during the period. For purposes of this calculation, options to purchase common stock and common stock warrants are considered common stock equivalents. Potential common shares that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted net loss per share. Basic and diluted net loss per common share is the same for all periods presented because all warrants, stock options and restricted stock units outstanding are anti-dilutive. The following outstanding stock options, warrants and restricted stock units to purchase common stock were excluded from the computation of diluted net loss per share for the periods presented because including them would have had an anti-dilutive effect: Year Ended December 31, 2018 2017 2016 Common stock warrants 213,485 249,709 874,610 Common stock options 2,956,687 2,598,659 1,229,355 Restricted stock units 222,606 229,774 — Total 3,392,778 3,078,142 2,103,965 Segment and Geographical Information The Company operates and manages its business as one reportable and operating segment. The Company’s Chief Executive Officer, who is the chief operating decision maker, reviews financial information on an aggregate basis for purposes of allocating resources and evaluating financial performance. All of the Company’s assets are based in the United States. Reclassification Certain items in prior period financial statements have been reclassified to conform to the presentation in the current period financial statements. Such reclassifications did not impact the Company's previously reported net loss or financial position. Recent Accounting Pronouncements During May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers , requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers . This updated standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. In August 2015, the FASB issued an update to defer the effective date of this update to periods beginning after December 15, 2017 . This updated standard became effective for the Company in the first quarter of fiscal year 2018 . Since the Company has not recognized or generated revenue to date, the adoption of this pronouncement did not have any impact to its financial statements. During February 2016, the FASB issued ASU No. 2016-02, Leases , which amends the existing accounting standards for leases. The new standard requires lessees to record a right-of-use asset and a corresponding lease liability on the balance sheet (with the exception of short-term leases). For lessees, leases will continue to be classified as either operating or financing in the income statement. This ASU becomes effective for the Company in the first quarter of fiscal year 2019. The Company generally does not finance purchases of equipment or other capital, but does lease its facilities. The adoption of the new standard will require the recognition of a right-of-use asset and a lease obligation for the Company’s leases (See Note 12 – Commitments and Contingencies). The Company adopted the new standard effective January 1, 2019 and will not restate comparative periods. Presentation of leases within the consolidated statements of operations and consolidated statements of cash flows will be generally consistent with the current lease accounting guidance. The Company will elect the package of practical expedients permitted under the transition guidance and as such, the adoption of this ASU will not change the classification of any of the Company’s leases. The Company estimates that approximately $1.7 million will be recognized as total lease liabilities and approximately $0.1 million will be recognized as total rights-of-use assets on the Company’s consolidated balance sheet as of January 1, 2019. |
Fair Value Of Financial Instrum
Fair Value Of Financial Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Of Financial Instruments [Abstract] | |
Fair Value Of Financial Instruments | 3. Investments and Fair Value of Financial Instruments Investments The Company’s investments have been classified and accounted for as available-for-sale. The Company’s investments consisted of the following (in thousands): December 31, 2018 Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 8,481 — (1) $ 8,480 Total assets measured at fair value $ 8,481 $ — $ (1) $ 8,480 December 31, 2017 Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Commercial paper $ 7,216 $ — $ (6) $ 7,210 Corporate bonds 19,524 — (33) 19,491 Asset-backed securities 7,994 — (12) 7,982 Total assets measured at fair value $ 34,734 $ — $ (51) $ 34,683 The contractual maturities of the Company’s investments were as follows (in thousands): December 31, Investments 2018 2017 Due in one year $ 8,480 $ 30,096 Due in one to two years — 4,587 Total $ 8,480 $ 34,683 Fair Value of Financial Instruments The Company determines the fair value of its financial instruments based on a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three levels: Level 1 - Observable inputs such as quoted prices in active markets for an identical asset or liability that the Company has the ability to access as of the measurement date. Financial assets and liabilities utilizing Level 1 inputs include money market funds. Level 2 - Inputs, other than quoted prices included within Level 1, which are directly observable for the asset or liability or indirectly observable through corroboration with observable market data. Financial assets and liabilities utilizing Level 2 inputs include commercial paper, corporate bonds and asset-backed securities. Level 3 - Unobservable inputs in which there is little or no market data for the asset or liability which requires the reporting entity to develop its own assumptions. The Company did not classify any of its investments within Level 3 of the fair value hierarchy. The following table sets forth the fair value of the Company’s financial assets measured on a recurring basis (in thousands): December 31, 2018 Assets Classification Level 1 Level 2 Level 3 Total Money market funds Cash and cash equivalents $ 50,703 — — $ 50,703 U.S. Treasury Securities Investments — 8,480 — 8,480 Total assets measured at fair value $ 50,703 $ 8,480 $ — $ 59,183 December 31, 2017 Assets Classification Level 1 Level 2 Level 3 Total Money market funds Cash and cash equivalents $ 2,758 $ — $ — $ 2,758 Commercial paper Investments — 7,210 — 7,210 Corporate bonds Investments — 19,491 — 19,491 Asset-backed securities Investments — 7,982 — 7,982 Total assets measured at fair value $ 2,758 $ 34,683 $ — $ 37,441 During year ended December 31, 2018 and 2017, the Company did not record impairment charges related to its marketable investments. During the year ended December 31, 2018 and 2017, the Company did not have any transfers between Level 1, Level 2 or Level 3 of the fair value hierarchy. Additionally, the Company did not have any financial assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2018 or December 31, 2017. |
Property And Equipment, Net
Property And Equipment, Net | 12 Months Ended |
Dec. 31, 2018 | |
Property And Equipment, Net [Abstract] | |
Property And Equipment, Net | 4. Property and Equipment, Net Property and equipment, net consisted of the following (in thousands): December 31, 2018 2017 Leasehold improvements $ 2,248 $ 2,257 Laboratory equipment 518 484 Furniture, fixtures and equipment 248 231 Software 118 79 Construction in progress 33 — 3,165 3,051 Less: Accumulated depreciation and amortization (992) (481) $ 2,173 $ 2,570 During June 2017, the Company prepared to move into new office space in Hayward, California, and its landlord provided $2.1 million for leasehold improvements pursuant to the tenant allowance clause in the lease agreement between the Company and its landlord which has been capitalized and amortized over the shorter of the lease term or estimated useful life. Depreciation expense for the years ended December 31, 2018, 2017, and 2016 was $0.6 million, $0.3 million, and $ 0.1 million , respectively. |
Intangible Assets, Net
Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2018 | |
Intangible Assets, Net [Abstract] | |
Intangible Assets, Net | 5 . Intangible Assets, Net Intangible assets primarily consist of a license to utilize certain patents, know-how and technology relating to the Company’s NPS for biomedical applications acquired from Old Dominion University Research Foundation (“ODURF”), Eastern Virginia Medical School, and the University of Southern California. In addition, the Company entered into a Sponsored Research Agreement with Old Dominion University’s Frank Reidy Research Center for Bioelectrics, a leading research organization in the field, which includes certain intellectual property rights arising from the research. Intangible assets, net consisted of the following (in thousands): December 31, 2018 2017 Acquired patents and licenses $ 7,985 $ 7,985 Less: Accumulated amortization (2,772) (2,107) $ 5,213 $ 5,878 A schedule of the amortization of intangible assets for the five years ending December 31, 2019 through 2023 and thereafter is as follows (in thousands): Year Ending December 31: 2019 $ 665 2020 665 2021 665 2022 665 2023 665 Thereafter 1,888 $ 5,213 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill [Abstract] | |
Goodwill | 6. Goodwill In 2014, the Company acquired three companies (the “acquisitions”) for aggregate consideration of $5.5 million. In accordance with ASC Topic 805, Business Combinations , the Company recorded goodwill of $2.8 million in connection with the acquisitions as the consideration paid exceeded the fair value of the net tangible assets and the intangible assets acquired. The Company reviews goodwill for impairment at least annually or whenever changes in circumstances indicate that the carrying amount of goodwill may not be recoverable. Based on the Company’s annual impairment test as of December 31, 2018, 2017 and 2016, the Company determined that no impairment of goodwill existed, and was not aware of any indicators of impairment at such date. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2018 | |
Accrued Expenses [Abstract] | |
Accrued Expenses | 7. Accrued Expenses Accrued expenses consisted of the following (in thousands): December 31, 2018 2017 Compensation expense $ 938 $ 685 Accrued clinical 156 21 Professional fees 274 211 Supplies 53 65 Other — 52 $ 1,421 $ 1,034 |
Stockholders' Equity And Stock-
Stockholders' Equity And Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Stockholders' Equity And Stock-Based Compensation [Abstract] | |
Stockholders' Equity And Stock-Based Compensation | 8. Stockholders’ Equity and Stock-Based Compensation Preferred Stock The Company has authorized a total of 50,000,000 shares of preferred stock, par value $0.001 per share, none of which were outstanding at December 31, 2018 and 2017. The Company’s Board of Directors has the authority to issue preferred stock and to determine the rights, preferences, privileges, and restrictions, including voting rights, without any further vote or action by the Company’s stockholders. Common Stock The Company has authorized a total of 500,000,000 shares of common stock, par value $0.001 per share. Initial Public Offering During May 2016 through June 2016, the Company closed its initial public offering (“IPO”), whereby the Company sold 5,749,846 shares of common stock at $4.00 per share. The Company received net proceeds of approximately $20.3 million from the IPO, including proceeds from the exercise of the overallotment option granted to the underwriters, net of underwriting discounts and commissions and other offering costs. Private Placements During February 2017, the Company entered into a securities purchase agreement, pursuant to which the Company, in a private placement, issued and sold an aggregate of 819,673 shares of the Company’s common stock, par value $0.001 per share, at a price per share of $6.10 , for net proceeds of approximately $5 .0 million. During September 2017, the Company entered into a securities purchase agreement with an existing investor, pursuant to which the Company, in a private placement, issued and sold an aggregate of 2,000,000 shares of the Company’s common stock, par value $0.001 per share, at a price per share of $15.02 , for net proceeds of approximate ly $29.9 million. Rights Offering On October 25, 2018, the Company commenced a rights offering pursuant to which stockholders of record as of November 19, 2018, were issued, at no charge, one subscription right for each share of common stock then outstanding. Each right entitled the holder to purchase 0.19860755 share of the Company’s common stock for $12.57 per share (the “Rights Offering”). Stockholders who exercised their rights in full were also permitted an over-subscription right to purchase additional shares of common stock that remained unsubscribed at the expiration of the Rights Offering, subject to the availability of shares and a pro rata allocation of shares among persons exercising the oversubscription right. Upon the closing of the Rights Offering on December 6, 2018, the Rights Offering was oversubscribed. A total of 3,581,148 shares of the Company’s common stock were issued and sold in the Rights Offering for net proceeds of approximately $44.8 million. Robert W. Duggan, the Company’s Chairman of the Board of Directors and the beneficial owner of approximately 35% of the Company’s outstanding common stock prior to the Rights Offering, participated in the Rights Offering and purchased an aggregate of 3,146,226 shares for an additional investment of approximately $39.5 million. Common Stock Warrants In connection with a private placement offering of the Company’s shares of common stock, par value $0.001 per share in 2014, the Company issued warrants as compensation to the placement agent to purchase a total of 299,625 shares of its common stock at a price of $2.67 per share (the “Private Placement Warrants”). The Private Placement Warrants are exercisable for a period of seven years. As of December 31, 2018, there were a total of 91,876 of Private Placement Warrants outstanding. In connection with the closing of the Company’s initial public offering in 2016, the Company issued warrants as compensation to its underwriters, as representatives of the underwriters of its initial public offering to purchase a total of 574,985 shares of its common stock at a price of $5.00 per share (“the IPO Warrants”). The IPO Warrants are exercisable for a period of five years. As of December 31, 2018, there were a total of 121,609 of the IPO Warrants outstanding . A summary of warrant activity for the year ended December 31, 2018 is presented below: Weighted Average Weighted Remaining Number of Average Contractual Shares Exercise Price Life (in Years) Warrants outstanding at December 31, 2017 249,709 $ 4.14 3.56 Issued — Exercised (36,224) 5.00 Expired/terminated — Warrants outstanding and exercisable at December 31, 2018 213,485 $ 4.00 2.37 During the year ended December 31, 2018, warrants to purchase 36,224 shares of common stock were net exercised, resulting in the issuance of approximately 23,957 shares of common stock. The intrinsic value of exercisable in-the-money stock warrants was approximately $1.6 million as of December 31, 2018 . Equity Plans 2017 Equity Incentive Plan and 2017 Inducement Equity Incentive Plan The Board of Directors (the “Board”) of the Company previously adopted, and the Company’s stockholders approved, the Company’s 2017 Equity Incentive Plan (the “2017 Plan”). The 2017 Plan has a 10 -year term, and provides for the grant of stock options, stock appreciation rights, restricted stock, restricted stock units, performance units, and performance shares to employees, directors and consultants of the Company and any parent or subsidiary of the Company, as the Compensation Committee of the Board may determine. Subject to an annual evergreen increase and adjustment in the case of certain capitalization events, the Company initially reserved 1,500,000 shares of the Company’s common stock for issuance pursuant to awards under the 2017 Plan. In addition, shares remaining available under the Company’s 2015 Equity Incentive Plan, as amended (the “2015 Plan”), and shares reserved but not issued pursuant to outstanding equity awards that expire or terminate without being exercised or that are forfeited or repurchased by the Company will be added to the shares of common stock available for issuance under the 2017 Plan. The 2017 Plan is administered by the Board’s Compensation Committee. Effective January 1, 2019, the number of shares of common stock available under the 2017 Plan increased by 823,716 shares pursuant to the evergreen provision of the 2017 Plan. Pursuant to the 2017 Plan, the 2019 share increase is determined based on the least of (i) 1,200,000 shares, (ii) 4% of the Company’s common stock outstanding at December 31 of the immediately preceding year, or (iii) such number of shares as determined by the Board. As of December 31, 2018, 539,436 shares of common stock remained available for issuance under the 2017 Plan. During November 2017, the Board of the Company adopted the 2017 Inducement Equity Incentive Plan (the “Inducement Plan”) and reserved 1,000,000 shares of the Company’s common stock for issuance pursuant to equity awards granted under the Inducement Plan. The Inducement Plan was adopted without stockholder approval. The Inducement Plan has a 10 -year term, and provides for the grant of equity-based awards, including nonstatutory stock options, restricted stock units, restricted stock, stock appreciation rights, performance shares and performance units, and its terms are substantially similar to the 2017 Plan, including with respect to treatment of equity awards in the event of a “merger” or “change in control” as defined under the Inducement Plan. Options issued under the Inducement Plan may have a term up to ten years and have variable vesting provisions. New hire grants generally vest 25% upon the first anniversary of the grant and 1/48th monthly thereafter, over the subsequent 36 months. Equity-based awards issued under the Inducement Plan are only issuable to individuals not previously engaged as employees or non-employee directors of the Company prior to the Inducement Plan’s adoption date. As of December 31, 2018, 541,625 shares of common stock were available for issuance under the Inducement Plan. 2017 Employee Stock Purchase Plan The Board previously adopted and the stockholders approved the Company’s 2017 Employee Stock Purchase Plan (the “2017 ESPP”). The 2017 ESPP is a broad-based plan that provides employees of the Company and its designated affiliates with the opportunity to become stockholders through periodic payroll deductions that are applied towards the purchase of Company common shares at a discount from the then-current market price. Subject to adjustment in the case of certain capitalization events, a total of 250,000 common shares of the Company were available for purchase at adoption of the 2017 ESPP. In January 2019, the Board determined not to increase the number of shares of common stock available under the 2017 ESPP pursuant to the evergreen provision of the 2017 ESPP. Pursuant to the 2017 ESPP, the annual share increase pursuant to the evergreen provision is determined based on the least of (i) 450,000 shares, (ii) 1.5% of the Company’s common stock outstanding at December 31 of the immediately preceding year, or (iii) such number of shares as determined by the Board. During the year ended December 31, 2018, the Company issued 23,869 shares of common stock under the 2017 ESPP. As of December 31, 2018, 478,474 shares of common stock remained available for issuance under the 2017 ESPP. A summary of stock option activity under the 2015 Plan, 2017 Plan and Inducement Plan for the year ended December 31, 2018 is presented below: Weighted Weighted Average Average Remaining Number of Exercise Contractual Shares Price Life (in Years) Balances - December 31, 2017 2,598,659 $ 16.88 8.2 Options granted 657,375 15.18 Options exercised (144,508) 3.44 Options canceled (147,839) 19.04 Options expired (7,000) 19.99 Balances - December 31, 2018 2,956,687 $ 17.04 7.6 Stock options exercisable at December 31, 2018 1,513,617 $ 15.70 6.6 The exercise prices of stock options outstanding and exercisable are as follows at December 31, 2018: Options Outstanding Options Exercisable Weighted average Number remaining contractual Weighted average Number Weighted average Exercise Price outstanding life (in years) exercise price vested exercise price $2.67 - $4.28 732,842 6.0 $ 3.84 579,735 $ 3.79 $4.67 - $7.55 218,359 7.7 5.27 105,633 5.42 $11.00 - $16.52 471,375 9.6 13.49 53,634 14.71 $19.35 - $30.99 1,534,111 7.7 26.12 774,615 26.08 2,956,687 7.6 $ 17.04 1,513,617 $ 15.70 The tables above exclude 42,500 performance stock options granted during the year ended December 31, 2018 for which the performance criteria had not been established as of December 31, 2018. The intrinsic value of stock options exercised during the year ended December 31, 2018, 2017 and 2016 was $1.8 million, $3.8 million, and $0 , respectively. The fair value of employee stock options was estimated using the Black-Scholes option-pricing model utilizing the following assumptions: Year Ended December 31, 2018 2017 2016 Expected term in years 5.3 - 6.1 0.4 - 6.1 6.1 Expected volatility 70% 70% - 90% 80% Risk-free interest rate 2.6 - 3.0% 1.0% - 2.2% 1.2% - 1.5% Dividend yield — — — The fair value of the stock options granted to employees and directors during the years ended December 31, 2018, 2017 and 2016, calculated pursuant to the Black-Scholes option-pricing model, was $6.4 million, $26.8 million , and $1.2 million , respectively . The fair value of ESPP was estimated using the Black-Scholes option-pricing model utilizing the following assumptions: Year Ended December 31, 2018 2017 2016 Expected term in years 0.5 - 1.0 0.5 - 1.3 — Expected volatility 70% 95% — Risk-free interest rate 1.9% - 2.5% 1.1% - 1.2% — Dividend yield — — — Total stock-based compensation expense consisted of the following (in thousands): Year Ended December 31, 2018 2017 2016 General and administrative $ 9,004 $ 9,136 $ 674 Research and development 3,334 1,790 196 Total stock-based compensation expense $ 12,338 $ 10,926 $ 870 The fair value of restricted stock unit (“RSUs”) awards is determined based on the number of units granted and the closing price of the Company’s common stock as of the grant date. The estimated fair value of RSUs is recognized on a straight-line basis over the requisite service period. During 2017, the Company granted 160,974 RSUs all of which vested pursuant to which no shares were issued, during June 2018 . Additional paid in capital was reduced by $0.1 million for tax payments related to shares withheld in connection with the vesting of the RSUs. The stock-based compensation expense related to these RSUs was approximately $2.1 million and $2.9 million during the years ended December 31, 2018 and 2017, respectively. As of December 31, 2018, there was no unrecognized compensation expense related to these RSUs. During the year ended December 31, 2017, the Company granted 68,800 RSUs to certain employees which vest 50% on June 1, 2019 with the remaining 50% vesting on June 1, 2021 . In the event of a change in control, these RSUs vest 100% . The stock-based compensation expense recorded in 2018 and 2017 related to these RSUs was approximately $0.4 million and $0.1 million, respectively. As of December 31, 2018, there was $0.9 million of unrecognized compensation expense related to these RSUs. During November 2017, the Board of Directors of the Company accepted resignations of certain members of its board of directors resulting in the full vesting of their outstanding equity awards. This resulted in the Company recording an additional $1.2 million of stock-based compensation expense for the year ended December 31, 2017. At December 31, 2018, there was $17.1 m illion of unrecognized compensation cost related to unvested stock-based compensation arrangements, which is expected to be recognized over a weighted average period of 2. 3 years. |
Research Grants And Agreements
Research Grants And Agreements | 12 Months Ended |
Dec. 31, 2018 | |
Research Grants And Agreements [Abstract] | |
Research Grants And Agreements | 9. Research Grants and Agreements Sponsored Research Agreement The Company entered into a Sponsored Research Agreement (“SRA”) with Old Dominion University Research Foundation (“ODURF”) during 2014 pursuant to which the Company sponsors research activities performed by ODURF’s Frank Reidy Center. ODURF is compensated by the Company for its conduct of each study in accordance with the budget and payment terms set forth in the applicable task order. During the years ended December 31, 2018, 2017 and 2016, the Company agreed to sponsor $0.8 million, $0.7 million and $1.0 million, respectively, in research during the subsequent 12 -month period to be funded through monthly payments made upon ODURF certifying, to the Company’s reasonable satisfaction, that ODURF has met its obligations pursuant to the specified task order and statement of work. The principal investigator may transfer funds with the budget as needed without the Company’s approval so long as the obligations of ODURF under the task order and statement of work remain unchanged and unimpaired. As of December 31, 2018, $0.6 million r emained payable under this research agreement. In addition, during the year ended December 31, 2017, the Company agreed to provide $ 0.3 million in research funding to researchers affiliated with ODURF and Eastern Virginia Medical School matching funds made available to those researchers by the Virginia Biosciences Health Research Corporation. The Company’s sponsorship affords access to certain intellectual property, if any, developed during the project. As of December 31, 2018, there was approximately $0.1 million re mained payable under this agreement. During the years ended December 31, 2018, 2017 and 2016, the Company incurred costs relating to the SRA equal to $0. 7 million, $0.8 million and $0.9 million, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Taxes [Abstract] | |
Income Taxes | 10. Income Taxes The income tax provision for the years ended December 31, 2018 and 2017 was $0 and $0 , respectively. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets at December 31, 2018 and 2017 are summarized below (in thousands): December 31, 2018 2017 Temporary differences $ 111 $ 36 Credits 5,330 1,536 Stock compensation 2,630 3,067 Net operating loss carryforwards 15,365 7,715 Total deferred tax assets before valuation allowance 23,436 12,354 Valuation allowance (22,696) (11,491) Total deferred tax assets after valuation allowance 740 863 Technology deferred tax liability (740) (863) Net deferred tax assets $ — $ — In assessing the potential realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the Company attaining future taxable income during the periods in which those temporary differences become deductible. At December 31, 2018 and 2017, management was unable to determine that it was more likely than not that the Company’s deferred tax assets will be realized, and has therefore recorded an appropriate valuation allowance against deferred tax assets at such dates. The Company’s effective tax rate is different from the federal statutory tax rate of 21% due primarily to net losses that receive no tax benefit as a result of a valuation allowance recorded for such losses. Presented below is the reconcilement of the difference between the tax rate computed by applying the U.S. federal statutory tax rate and the effective tax rate for the years ended December 31, 2018, 2017 and 2016: Year Ended December 31, 2018 2017 2016 U.S. federal statutory tax rate (21.0) % (35.0) % (35.0) % Valuation allowance 28.0 23.0 42.0 Tax reform (2.0) 18.0 — Permanent differences 2.0 1.0 2.0 State tax benefit and other (7.0) (7.0) (9.0) Effective tax rate — % — % — % At December 31, 2018, the Company had federal and California state net operating loss carryforwards of approximately $51.6 million and $51.0 million, respectively. The federal and state net operating loss carryforwards will begin to expire after 2034 . At December 31, 2018, the Company had approximately $1.4 million and $ 1.2 million of federal and California R&D credits, respectively. The federal R&D credits begin to expire after 2035 and the California R&D credits have an indefinite carryforward period. These net operating loss carryforward and research and development credits amounts have full valuation allowances against them due to the remoteness of their expected utilization. The Company’s activity related to unrecognized tax benefits are summarized below (in thousands): December 31, 2018 2017 Balance at the beginning of the year $ 512 $ 213 Gross increases - tax positions in prior periods — 37 Gross decreases - tax positions in prior periods — — Gross increases - tax position in current period 365 262 Settlements — — Lapses in statutes of limitations — — Balance at the end of the year $ 877 $ 512 Although it is reasonably possible that certain unrecognized tax benefits may increase or decrease within the next twelve months due to tax examination changes, settlement activities, expirations of statute of limitations, or the impact on recognition and measurement considerations related to the results of published tax cases or other similar activities, the Company does not anticipate any significant changes to unrecognized tax benefits over the next twelve months. During the years ended December 31, 2018, 2017 and 2016, no interest or penalties were required to be recognized related to unrecognized tax benefits. Although the Company is not under examination, the tax years for 2014 and forward are subject to examination by United States tax authorities. On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was enacted into law and the new legistration contains several key tax provisions that affected the Company, including a reduction of the corporate income tax rate to 21% effective January 1, 2018, among others. The Company is required to recognize the effect of the tax law changes in the period of enactment, such as remeasuring the Company’s U.S. deferred tax assets and liabilities as well as reassessing the net realizability of the Company’s deferred tax assets and liabilities. In December 2017, the SEC staff issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act (SAB 118), which allowed the Company to record provisional amounts during a measurement period not to extend beyond one year of the enactment date. As a result, the Company previously provided a provisional estimate of the effect of the Tax Act in our financial statements. The key impact of the Tax Act on the Company’s financial statement for the year ended December 31, 2017, was the re-measurement of deferred tax balances to the new corporate tax rate. In order to calculate the effects of the new corporate tax rate on the Compnay’s deferred tax balances, ASC 740 “Income Taxes” (“ASC 740”) required the re-measurement of the Company’s deferred tax balances as of the enactment date of the Tax Act, based on the rates at which the balances are expected to reverse in the future. The re-measurement of the Company’s deferred tax balances resulted in a net reduction in deferred tax assets of $4.7 million offset with a corresponding adjustment to the valuation allowance. In the fourth quarter of 2018, the Company completed its analysis to determine the effect of the Tax Act and recorded no adjustments as of December 31, 2018. The Company performed a formal analysis of the availability of these operating loss carryforwards at December 31, 2017 under Internal Revenue Code Sections 382 and 383, and management expects that the Company’s ability to use its net operating loss carryforwards may be limited in future periods. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 11. Related Party Transactions Kenneth A. Clark, a director of the Company since November 2017, is a member of the law firm of Wilson Sonsini Goodrich and Rosati (“WSGR”), which is also serves as the outside corporate counsel to the Company. During the years ended December 31, 2018 and 2017, the Company incurred expenses reported in general and administrative expenses in the consolidated statement of operations for legal services rendered by WSGR totaling approximately $1. 2 million and $0.7 million, respectively. During the year ended December 31, 2018, the Company capitalized approximately $0.1 million for legal expenses incurred in connection with the rights offering (Note 8). During December 2018, the Company completed a rights offering pursuant to which it sold an aggregate of 3,581,148 shares of its common stock, par value $0.001 per share, at a price per share of $12.57 , for net proceeds of approximately $44.8 million. At the time of transaction, Robert W. Duggan, the Company’s Chairman of the Board of Directors and the beneficial owner of approximately 35% of the Company’s then outstanding common stock prior to the rights offering. After giving effect to the rights offering, Mr. Duggan was the beneficial owner or approximately 44% of the Company’s outstanding stock as of December 31, 2018. MDB Capital Group, LLC (“MDB”) provided investment banking, executive recruiting and intellectual property management services to the Company. The Company’s former Chairman of the Board, Robert Levande, was a Senior Managing Director of MDB throughout his tenure on the Company’s Board. During the year ended December 31, 2016, the Company incurred $0.1 million for services rendered by MDB with respect to intellectual property management. The Company did not incur any amounts for intellectual property management services by MDB during the years ended December 31, 2017 or 2018. In connection with the Company’s 2016 IPO (Note 8), the underwriting syndicate led by MDB received $1.8 million in underwriting discounts, $0.2 million in unaccountable expense reimbursements and warrants valued in the aggregate of $1.4 million. |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | 12. Commitments and Contingencies Operating Leases The Company leased approximately 4,300 square feet of corporate offices and research facilities in Burlingame, California, at a monthly cost of approximately $21,000 . This lease expired on June 30, 2017 . In January 2017, the Company entered into a new lease agreement for premises consisting of approximately 15,700 rentable square feet located in Hayward, California. The lease commenced on July 1, 2017 and expires in August 2022 , with an option to extend the lease term for an additional five years. Under the terms of the lease agreement, the landlord provided an allowance for tenant improvements in the amount of $2.1 million, which was recorded as deferred rent at the inception of the lease term. Rent expense associated with the future minimum lease payment is reduced by amortization of tenant improvement allowance over the life of the lease. An offsetting amount was recorded as leasehold improvement at the inception of the lease term. Leasehold improvements are depreciated over the lease term . During the years ended December 31, 2018, 2017 and 2016, rent expense, including common area maintenance charges, was $0.2 million, $0.3 million and $0.2 million, respectively. Future minimum lease payments under the non-cancelable operating leases as of December 31, 2018 are as follows (in thousands): Year Ending December 31: 2019 $ 536 2020 554 2021 574 2022 392 Thereafter — $ 2,056 Indemnification The Company and certain directors have received subpoenas from the Securities and Exchange Commission requesting documents and other information in connection with an investigation into trading in the Company’s stock in advance of the Company’s September 2017 private placement equity financing. The Company and its directors have cooperated with the investigation. The Company maintains indemnification agreements with its directors and officers that may require the Company to indemnify them against liabilities that arise by reason of their status or service as directors or officers, except as prohibited by applicable law. At this time, the Company is unable to estimate a possible loss, if any, associated with the matter described above . From time to time, the Company may be involved in a variety of claims, lawsuits, investigations and proceedings relating to securities laws, product liability, patent infringement, contract disputes and other matters relating to various claims that arise in the normal course of our business in addition to governmental and other regulatory investigations and proceedings. In addition, third parties may, from time to time, assert claims against the Company in the form of letters and other communications. The Company currently believes that these ordinary course matters will not have a material adverse effect on our business; however, the results of litigation and claims are inherently unpredictable. Regardless of the outcome, litigation can have an adverse impact on the Company because of defense and settlement costs, diversion of management resources and other factors. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Employee Benefit Plans [Abstract] | |
Employee Benefit Plans | 13. Employee Benefit Plans The Company sponsors a defined contribution plan under which it may make discretionary contributions. The Company did not make any employer matching contributions to this plan during the years ended December 31, 2018, 2017 and 2016. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2018 | |
Selected Quarterly Financial Data [Abstract] | |
Selected Quarterly Financial Data | 14. Selected Quarterly Financial Data (Unaudited) During the quarters ended March 31, June 30 and September 30, 2017, patent legal cos ts of $0.1 million, $0.2 million and $0.3 million, res pectively, were reclassified from research and development costs to general and administrative costs. These changes did not impact loss from operations or net loss. The selected financial data below has been adjusted for such reclassifications. The following table provides the selected quarterly financial data for the years ended December 31, 2018 and 2017 (in thousands, except per share data): Quarter Ended 2018 2017 December 31, September 30, June 30, March 31, December 31, September 30, June 30, March 31, Revenue $ — $ — $ — $ — $ — $ — $ — $ — Operating expenses: General and administrative 3,814 5,675 5,173 5,383 5,801 4,434 3,924 1,344 Research and development 5,080 5,038 3,960 3,175 2,864 2,925 2,130 1,727 Amortization of intangible assets 166 166 167 166 166 166 167 166 Total operating expenses 9,060 10,879 9,300 8,724 8,831 7,525 6,221 3,237 Other income (expense): Interest income 135 118 137 56 128 39 41 39 Other expense (28) — — — — — — — Total other income (expense) 107 118 137 56 128 39 41 39 Loss from operations, before income taxes (8,953) (10,761) (9,163) (8,668) (8,703) (7,486) (6,180) (3,198) Income tax benefit — — — — — — — — Net loss (8,953) (10,761) (9,163) (8,668) (8,703) (7,486) (6,180) (3,198) Other comprehensive loss: Unrealized gain (loss) on available-for-sale securities, net of tax: 2 (3) 3 48 (49) 4 3 (2) Comprehensive loss $ (8,951) $ (10,764) $ (9,160) $ (8,620) $ (8,752) $ (7,482) $ (6,177) $ (3,200) Net loss per share Basic and diluted net loss per share $ (0.51) $ (0.64) $ (0.54) $ (0.51) $ (0.53) $ (0.52) $ (0.43) $ (0.23) Weighted average shares used to compute net loss per common share — basic and diluted 17,656 16,927 16,881 16,842 16,574 14,381 14,233 13,803 |
Summary Of Significant Accoun_2
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2018 | |
Summary Of Significant Accounting Policies [Abstract] | |
Use Of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires the Company to make estimates that affect the amounts reported in the financial statements and accompanying notes to the financial statements. Estimates include, but are not limited to, the valuation of investments, clinical trial accruals, the valuation and recognition of stock-based compensation and useful lives assigned to long-lived assets. Actual amounts could differ from these estimates . |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the United States Securities Exchange Commission (the “SEC”). The consolidated financial statements include the financial statements of the Company and its wholly-owned subsidiaries and intercompany balances and transactions have been eliminated in consolidation. |
Concentration Of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash and cash equivalents and investments. The Company places its cash equivalents and investments with high credit quality financial institutions and, by policy, limits the amounts invested with any one financial institution or issuer. Deposits held with banks may exceed the amount of insurance provided on such deposits. The Company has not experienced any losses since inception. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company believes the carrying amounts of its financial instruments, including cash equivalents, prepaid expenses and other current assets, accounts payable and accrued expenses, approximate fair value due to the short-term nature of such instruments. |
Cash, Cash Equivalents, And Investments | Cash, Cash Equivalents and Investments The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. The Company has designated all investments as available-for-sale and therefore, such investments are reported at fair value, with unrealized gains and losses recognized in accumulated other comprehensive income (loss) (“OCI”) in stockholders’ equity. The cost of marketable securities is adjusted for the amortization of premiums and discounts to expected maturity. Premium and discount amortization is included in other income, net. Realized gains and losses, as well as interest income, on available-for-sale securities are also included in other income, net. The Company includes all of its available-for-sale securities in current assets. All of the Company’s investments are subject to a periodic impairment review. The Company recognizes an impairment loss when a decline in the fair value of its marketable investments below the cost basis is judged to be other-than-temporary. Factors considered in determining whether a loss is temporary include the length of time and extent to which the marketable investments fair value has been less than the cost basis, the financial condition and near-term prospects of the investee, extent of the loss related to credit of the issuer, the expected cash flows from the security, the Company’s intent to sell the security and whether or not the Company will be required to sell the security before the recovery of its amortized cost. No impairment losses were incurred during the periods presented . |
Property and Equipment | Property and Equipment Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life. Equipment is recorded at cost and depreciated using the straight-line method over their estimated useful lives, ranging from three to five years. |
Intangible Assets | Intangible Assets The Company’s intangible assets consist of acquired patents and licenses, which are being amortized over their estimated useful lives of twelve years. |
Long-Lived Assets | Long-Lived Assets The Company reviews long-lived assets, consisting of property and equipment and intangible assets, for impairment during each fiscal year or when events or changes in circumstances indicate the carrying value of these assets may exceed their current fair values. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated undiscounted future cash flows expected to be generated by the asset. N o impairment losses were incurred during the periods presented. |
Goodwill | Goodwill The Company records goodwill when the consideration paid in a business acquisition exceeds the fair value of the net tangible assets and the identified intangible assets acquired. The Company reviews goodwill for impairment at the reporting until level at least annually or whenever changes in circumstances indicate that the carrying value of the goodwill may not be recoverable. To date, there has been no impairment of goodwill. |
Stock-Based Compensation | Stock-Based Compensation The Company recognizes the cost of stock-based compensation in the financial statements based upon fair value. The fair value of stock options is determined as of the grant date using the Black-Scholes option pricing model. The fair value of restricted stock and restricted stock unit (RSU) awards is determined based on the number of units granted and the closing price of the Company’s common stock on the grant date. The fair value of each purchase under the employee stock purchase plan (ESPP) is estimated at the beginning of the offering period using the Black-Scholes option pricing model. The Company’s determination of the fair value of equity-settled awards is impacted by the price of the Company's common stock as well as changes in assumptions regarding a number of complex and subjective variables. These variables include, but are not limited to, the expected term that awards will remain outstanding, expected common stock price volatility over the term of the awards, risk-free interest rates and expected dividends. The fair value of an award is recognized over the period during which service is required to be performed in exchange for the award, the requisite service period (usually the vesting period) on a straight-line basis. Equity instruments issued to non-employees are recorded at their fair value on the measurement date and are subject to periodic adjustments as the underlying equity instruments vest. The fair value of these equity instruments are expensed over the service period. Estimates of the fair value of equity-settled awards as of the grant date using valuation models, such as the Black-Scholes option pricing model, are affected by assumptions regarding a number of complex variables. Changes in the assumptions can materially affect the fair value of the award and ultimately how much stock-based compensation expense is recognized. These inputs are subjective and generally require significant analysis and judgment to develop. The Company determines the volatility factor based on the historical volatilities of comparable public companies in similar industries. The risk-free interest rate is based on the yield available on U.S. Treasury zero-coupon issues similar in duration to the expected term of the equity-settled award. For all stock options granted to date, the Company used the simplified method to calculate the expected term, which is the average of the contractual term and vesting period. Prior to the Company’s initial public offering, the fair value of common stock was determined by reference to either recent or anticipated cash transactions involving the sale of the Company’s common stock. The Company recognizes the fair value of stock-based compensation costs in general and administrative costs and in research and development costs, as appropriate, in the Company’s consolidated statements of operations. |
Research And Development Costs | Research and Development Costs Research and development costs consist primarily of compensation costs, fees paid to consultants and outside service providers and organizations (including university research institutes), costs associated with clinical trials, development prototypes and other expenses relating to the acquisition, design, development and testing of the Company’s product candidates. Research and development costs incurred by the Company are expensed as incurred, unless the achievement of milestones, the completion of contracted work, or other information indicates that a different expensing schedule is more appropriate. |
Patent Costs | Patent Costs The Company is the owner of numerous domestic and foreign patents. Due to the significant uncertainty associated with the successful development of one or more commercially viable products based on the Company’s research efforts and any related patent applications, patent costs not related to acquired patents, including patent-related legal fees, filing fees and other costs, including internally generated costs, are expensed as incurred. During the years ended December 31, 2018, 2017 and 2016, patent costs totaled $0.6 million, $0.8 million and $0.5 million, respectively . Patent costs are included in general and administrative costs in the consolidated statements of operations and comprehensive loss. |
Income Taxes | Income Taxes The Company accounts for income taxes under an asset and liability approach for financial accounting and reporting for income taxes. Accordingly, the Company recognizes deferred tax assets and liabilities for the expected impact of differences between the financial statements and the tax basis of assets and liabilities. The Company records a valuation allowance to reduce its deferred tax assets to the amount that is more likely than not to be realized. In the event the Company determines that it would be able to realize its deferred tax assets in the future in excess of its recorded amount, an adjustment to the deferred tax assets would be credited to operations in the period such determination was made. Likewise, should the Company determine that it would not be able to realize all or part of its deferred tax assets in the future, an adjustment to the deferred tax assets would be charged to operations in the period such determination was made. The Company is subject to U.S. federal income taxes and income taxes in California. As the Company’s net operating losses have yet to be utilized, previous tax years remain open to examination by federal authorities and other jurisdictions in which the Company currently operates or has operated in the past. The Company is not currently under examination by any tax authority. The Company accounts for uncertainties in income tax law under a comprehensive model for the financial statement recognition, measurement, presentation and disclosure of uncertain tax positions taken or expected to be taken in income tax returns as prescribed by U.S. GAAP. The tax effects of a position are recognized only if it is “more-likely-than-not” to be sustained by the taxing authority as of the reporting date. If the tax position is not considered “more-likely-than-not” to be sustained, then no benefits of the position are recognized. At December 31, 2018 and 2017, the Company had not recorded any liability for uncertain tax positions. The Company includes interest and penalties related to uncertain tax positions as a component of income tax expense. |
Comprehensive Loss | Comprehensive Loss Comprehensive loss consists of net loss and unrealized gains or losses on available-for-sale investments. The Company displays comprehensive loss and its components as part of the consolidated statements of operations and comprehensive loss. |
Net Loss Per Share | Net Loss per Share The Company calculates basic net loss per share by dividing net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by giving effect to all potential dilutive common stock equivalents outstanding during the period. For purposes of this calculation, options to purchase common stock and common stock warrants are considered common stock equivalents. Potential common shares that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted net loss per share. Basic and diluted net loss per common share is the same for all periods presented because all warrants, stock options and restricted stock units outstanding are anti-dilutive. The following outstanding stock options, warrants and restricted stock units to purchase common stock were excluded from the computation of diluted net loss per share for the periods presented because including them would have had an anti-dilutive effect: Year Ended December 31, 2018 2017 2016 Common stock warrants 213,485 249,709 874,610 Common stock options 2,956,687 2,598,659 1,229,355 Restricted stock units 222,606 229,774 — Total 3,392,778 3,078,142 2,103,965 |
Segment And Geographical Information | Year Ended December 31, 2018 2017 2016 Common stock warrants 213,485 249,709 874,610 Common stock options 2,956,687 2,598,659 1,229,355 Restricted stock units 222,606 229,774 — Total 3,392,778 3,078,142 2,103,965 Segment and Geographical Information The Company operates and manages its business as one reportable and operating segment. The Company’s Chief Executive Officer, who is the chief operating decision maker, reviews financial information on an aggregate basis for purposes of allocating resources and evaluating financial performance. All of the Company’s assets are based in the United States. |
Reclassification | Reclassification Certain items in prior period financial statements have been reclassified to conform to the presentation in the current period financial statements. Such reclassifications did not impact the Company's previously reported net loss or financial position. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements During May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers , requiring an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers . This updated standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. In August 2015, the FASB issued an update to defer the effective date of this update to periods beginning after December 15, 2017 . This updated standard became effective for the Company in the first quarter of fiscal year 2018 . Since the Company has not recognized or generated revenue to date, the adoption of this pronouncement did not have any impact to its financial statements. During February 2016, the FASB issued ASU No. 2016-02, Leases , which amends the existing accounting standards for leases. The new standard requires lessees to record a right-of-use asset and a corresponding lease liability on the balance sheet (with the exception of short-term leases). For lessees, leases will continue to be classified as either operating or financing in the income statement. This ASU becomes effective for the Company in the first quarter of fiscal year 2019. The Company generally does not finance purchases of equipment or other capital, but does lease its facilities. The adoption of the new standard will require the recognition of a right-of-use asset and a lease obligation for the Company’s leases (See Note 12 – Commitments and Contingencies). The Company adopted the new standard effective January 1, 2019 and will not restate comparative periods. Presentation of leases within the consolidated statements of operations and consolidated statements of cash flows will be generally consistent with the current lease accounting guidance. The Company will elect the package of practical expedients permitted under the transition guidance and as such, the adoption of this ASU will not change the classification of any of the Company’s leases. The Company estimates that approximately $1.7 million will be recognized as total lease liabilities and approximately $0.1 million will be recognized as total rights-of-use assets on the Company’s consolidated balance sheet as of January 1, 2019. |
Summary Of Significant Accoun_3
Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Summary Of Significant Accounting Policies [Abstract] | |
Anti-Dilutive Shares Excluded From Computation Of Diluted Net Loss Per Share | Year Ended December 31, 2018 2017 2016 Common stock warrants 213,485 249,709 874,610 Common stock options 2,956,687 2,598,659 1,229,355 Restricted stock units 222,606 229,774 — Total 3,392,778 3,078,142 2,103,965 |
Fair Value Of Financial Instr_2
Fair Value Of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Of Financial Instruments [Abstract] | |
Schedule Of Available-For-Sale Securities | December 31, 2018 Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 8,481 — (1) $ 8,480 Total assets measured at fair value $ 8,481 $ — $ (1) $ 8,480 December 31, 2017 Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Commercial paper $ 7,216 $ — $ (6) $ 7,210 Corporate bonds 19,524 — (33) 19,491 Asset-backed securities 7,994 — (12) 7,982 Total assets measured at fair value $ 34,734 $ — $ (51) $ 34,683 |
Schedule Of Contractual Maturities | December 31, Investments 2018 2017 Due in one year $ 8,480 $ 30,096 Due in one to two years — 4,587 Total $ 8,480 $ 34,683 |
Fair Value Of Financial Assets Measured On A Recurring Basis | December 31, 2018 Assets Classification Level 1 Level 2 Level 3 Total Money market funds Cash and cash equivalents $ 50,703 — — $ 50,703 U.S. Treasury Securities Investments — 8,480 — 8,480 Total assets measured at fair value $ 50,703 $ 8,480 $ — $ 59,183 December 31, 2017 Assets Classification Level 1 Level 2 Level 3 Total Money market funds Cash and cash equivalents $ 2,758 $ — $ — $ 2,758 Commercial paper Investments — 7,210 — 7,210 Corporate bonds Investments — 19,491 — 19,491 Asset-backed securities Investments — 7,982 — 7,982 Total assets measured at fair value $ 2,758 $ 34,683 $ — $ 37,441 |
Property And Equipment, Net (Ta
Property And Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property And Equipment, Net [Abstract] | |
Schedule Of Property And Equipment, Net | December 31, 2018 2017 Leasehold improvements $ 2,248 $ 2,257 Laboratory equipment 518 484 Furniture, fixtures and equipment 248 231 Software 118 79 Construction in progress 33 — 3,165 3,051 Less: Accumulated depreciation and amortization (992) (481) $ 2,173 $ 2,570 |
Intangible Assets, Net (Tables)
Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Intangible Assets, Net [Abstract] | |
Schedule Of Intangible Assets, Net | December 31, 2018 2017 Acquired patents and licenses $ 7,985 $ 7,985 Less: Accumulated amortization (2,772) (2,107) $ 5,213 $ 5,878 |
Schedule Of Amortization Of Intangible Assets | Year Ending December 31: 2019 $ 665 2020 665 2021 665 2022 665 2023 665 Thereafter 1,888 $ 5,213 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accrued Expenses [Abstract] | |
Schedule Of Accrued Expenses | December 31, 2018 2017 Compensation expense $ 938 $ 685 Accrued clinical 156 21 Professional fees 274 211 Supplies 53 65 Other — 52 $ 1,421 $ 1,034 |
Stockholders' Equity And Stoc_2
Stockholders' Equity And Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Stockholders' Equity [Line Items] | |
Summary Of Stock Warrant Activity | Weighted Average Weighted Remaining Number of Average Contractual Shares Exercise Price Life (in Years) Warrants outstanding at December 31, 2017 249,709 $ 4.14 3.56 Issued — Exercised (36,224) 5.00 Expired/terminated — Warrants outstanding and exercisable at December 31, 2018 213,485 $ 4.00 2.37 |
Summary Of Stock Option Activity | Weighted Weighted Average Average Remaining Number of Exercise Contractual Shares Price Life (in Years) Balances - December 31, 2017 2,598,659 $ 16.88 8.2 Options granted 657,375 15.18 Options exercised (144,508) 3.44 Options canceled (147,839) 19.04 Options expired (7,000) 19.99 Balances - December 31, 2018 2,956,687 $ 17.04 7.6 Stock options exercisable at December 31, 2018 1,513,617 $ 15.70 6.6 |
Summary Of Exercise Price Outstanding And Exercisable | Options Outstanding Options Exercisable Weighted average Number remaining contractual Weighted average Number Weighted average Exercise Price outstanding life (in years) exercise price vested exercise price $2.67 - $4.28 732,842 6.0 $ 3.84 579,735 $ 3.79 $4.67 - $7.55 218,359 7.7 5.27 105,633 5.42 $11.00 - $16.52 471,375 9.6 13.49 53,634 14.71 $19.35 - $30.99 1,534,111 7.7 26.12 774,615 26.08 2,956,687 7.6 $ 17.04 1,513,617 $ 15.70 |
Summary Of Stock-Based Compensation Expense | Year Ended December 31, 2018 2017 2016 General and administrative $ 9,004 $ 9,136 $ 674 Research and development 3,334 1,790 196 Total stock-based compensation expense $ 12,338 $ 10,926 $ 870 |
Options outstanding [Member] | |
Stockholders' Equity [Line Items] | |
Schedule Of Fair Value Of Employee Stock Options | Year Ended December 31, 2018 2017 2016 Expected term in years 5.3 - 6.1 0.4 - 6.1 6.1 Expected volatility 70% 70% - 90% 80% Risk-free interest rate 2.6 - 3.0% 1.0% - 2.2% 1.2% - 1.5% Dividend yield — — — |
2017 Employee Stock Purchase Plan [Member] | |
Stockholders' Equity [Line Items] | |
Schedule Of Fair Value Of Employee Stock Options | Year Ended December 31, 2018 2017 2016 Expected term in years 0.5 - 1.0 0.5 - 1.3 — Expected volatility 70% 95% — Risk-free interest rate 1.9% - 2.5% 1.1% - 1.2% — Dividend yield — — — |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Taxes [Abstract] | |
Components Of Deferred Tax Assets | December 31, 2018 2017 Temporary differences $ 111 $ 36 Credits 5,330 1,536 Stock compensation 2,630 3,067 Net operating loss carryforwards 15,365 7,715 Total deferred tax assets before valuation allowance 23,436 12,354 Valuation allowance (22,696) (11,491) Total deferred tax assets after valuation allowance 740 863 Technology deferred tax liability (740) (863) Net deferred tax assets $ — $ — |
Reconcilement Of Tax Rates | Year Ended December 31, 2018 2017 2016 U.S. federal statutory tax rate (21.0) % (35.0) % (35.0) % Valuation allowance 28.0 23.0 42.0 Tax reform (2.0) 18.0 — Permanent differences 2.0 1.0 2.0 State tax benefit and other (7.0) (7.0) (9.0) Effective tax rate — % — % — % |
Reconciliation Of Unrecognized Tax Benefit Accounts | December 31, 2018 2017 Balance at the beginning of the year $ 512 $ 213 Gross increases - tax positions in prior periods — 37 Gross decreases - tax positions in prior periods — — Gross increases - tax position in current period 365 262 Settlements — — Lapses in statutes of limitations — — Balance at the end of the year $ 877 $ 512 |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies [Abstract] | |
Schedule Of Future Minimum Lease Payments | Year Ending December 31: 2019 $ 536 2020 554 2021 574 2022 392 Thereafter — $ 2,056 |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Selected Quarterly Financial Data [Abstract] | |
Schedule Of Selected Quarterly Financial Data | Quarter Ended 2018 2017 December 31, September 30, June 30, March 31, December 31, September 30, June 30, March 31, Revenue $ — $ — $ — $ — $ — $ — $ — $ — Operating expenses: General and administrative 3,814 5,675 5,173 5,383 5,801 4,434 3,924 1,344 Research and development 5,080 5,038 3,960 3,175 2,864 2,925 2,130 1,727 Amortization of intangible assets 166 166 167 166 166 166 167 166 Total operating expenses 9,060 10,879 9,300 8,724 8,831 7,525 6,221 3,237 Other income (expense): Interest income 135 118 137 56 128 39 41 39 Other expense (28) — — — — — — — Total other income (expense) 107 118 137 56 128 39 41 39 Loss from operations, before income taxes (8,953) (10,761) (9,163) (8,668) (8,703) (7,486) (6,180) (3,198) Income tax benefit — — — — — — — — Net loss (8,953) (10,761) (9,163) (8,668) (8,703) (7,486) (6,180) (3,198) Other comprehensive loss: Unrealized gain (loss) on available-for-sale securities, net of tax: 2 (3) 3 48 (49) 4 3 (2) Comprehensive loss $ (8,951) $ (10,764) $ (9,160) $ (8,620) $ (8,752) $ (7,482) $ (6,177) $ (3,200) Net loss per share Basic and diluted net loss per share $ (0.51) $ (0.64) $ (0.54) $ (0.51) $ (0.53) $ (0.52) $ (0.43) $ (0.23) Weighted average shares used to compute net loss per common share — basic and diluted 17,656 16,927 16,881 16,842 16,574 14,381 14,233 13,803 |
Summary Of Significant Accoun_4
Summary Of Significant Accounting Policies (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
General and administrative | $ 3,814,000 | $ 5,675,000 | $ 5,173,000 | $ 5,383,000 | $ 5,801,000 | $ 4,434,000 | $ 3,924,000 | $ 1,344,000 | $ 20,045,000 | $ 15,503,000 | $ 3,415,000 |
Long-lived asset impairment | 0 | 0 | 0 | ||||||||
Patent costs | 600,000 | 800,000 | $ 500,000 | ||||||||
Liability for Uncertainty in Income Taxes, Noncurrent | $ 0 | $ 0 | $ 0 | $ 0 | |||||||
Acquired Patents And Licenses [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Intangible asset useful life | 12 years | ||||||||||
Maximum [Member] | Equipment [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Useful life | 5 years | ||||||||||
Minimum [Member] | Equipment [Member] | |||||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||||
Useful life | 3 years |
Summary Of Significant Accoun_5
Summary Of Significant Accounting Policies (Anti-Dilutive Shares Excluded From Computation Of Diluted Net Loss Per Share) (Details) - shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Total | 3,392,778 | 3,078,142 | 2,103,965 |
Warrants to purchase common stock [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Total | 213,485 | 249,709 | 874,610 |
Options outstanding [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Total | 2,956,687 | 2,598,659 | 1,229,355 |
Restricted Stock Units [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Total | 222,606 | 229,774 |
Fair Value Of Financial Instr_3
Fair Value Of Financial Instruments (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value Of Financial Instruments [Abstract] | ||
Impairment on investments | $ 0 | $ 0 |
Transfers between level 1, 2, or 3 | $ 0 | $ 0 |
Investments And Fair Value Of F
Investments And Fair Value Of Financial Instruments (Schedule Of Available-For-Sale Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | $ 8,481 | $ 34,734 |
Gross Unrealized Losses | (1) | (51) |
Fair Value | 8,480 | 34,683 |
Commercial paper [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | 8,481 | 7,216 |
Gross Unrealized Losses | (1) | (6) |
Fair Value | $ 8,480 | 7,210 |
Corporate Bonds [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | 19,524 | |
Gross Unrealized Losses | (33) | |
Fair Value | 19,491 | |
Asset backed securities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | 7,994 | |
Gross Unrealized Losses | (12) | |
Fair Value | $ 7,982 |
Investments And Fair Value Of_2
Investments And Fair Value Of Financial Instruments (Schedule Of Contractual Maturities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value Of Financial Instruments [Abstract] | ||
Due in one year | $ 8,480 | $ 30,096 |
Due in one to two years | 4,587 | |
Total | $ 8,480 | $ 34,683 |
Fair Value Of Financial Instr_4
Fair Value Of Financial Instruments (Fair Value Of Financial Assets Measured On A Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
ASSETS | ||
Total assets measured at fair value | $ 59,183 | $ 37,441 |
Cash and cash equivalents [Member] | Cash and money market funds [Member] | ||
ASSETS | ||
Total cash and cash equivalents | 50,703 | 2,758 |
Investments [Member] | U.S. government and agency securities [Member] | ||
ASSETS | ||
Total investments | 8,480 | |
Investments [Member] | Commercial paper [Member] | ||
ASSETS | ||
Total investments | 7,210 | |
Investments [Member] | Corporate Bonds [Member] | ||
ASSETS | ||
Total investments | 19,491 | |
Investments [Member] | Asset backed securities [Member] | ||
ASSETS | ||
Total investments | 7,982 | |
Level 1 [Member] | ||
ASSETS | ||
Total assets measured at fair value | 50,703 | 2,758 |
Level 1 [Member] | Cash and cash equivalents [Member] | Cash and money market funds [Member] | ||
ASSETS | ||
Total cash and cash equivalents | 50,703 | 2,758 |
Level 2 [Member] | ||
ASSETS | ||
Total assets measured at fair value | 8,480 | 34,683 |
Level 2 [Member] | Investments [Member] | U.S. government and agency securities [Member] | ||
ASSETS | ||
Total investments | $ 8,480 | |
Level 2 [Member] | Investments [Member] | Commercial paper [Member] | ||
ASSETS | ||
Total investments | 7,210 | |
Level 2 [Member] | Investments [Member] | Corporate Bonds [Member] | ||
ASSETS | ||
Total investments | 19,491 | |
Level 2 [Member] | Investments [Member] | Asset backed securities [Member] | ||
ASSETS | ||
Total investments | $ 7,982 |
Property And Equipment, Net (Na
Property And Equipment, Net (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property And Equipment, Net [Abstract] | ||||
Landlord reimbursement of leasehold improvements | $ 2,100 | |||
Depreciation expense | $ 645 | $ 336 | $ 94 |
Property And Equipment, Net (Sc
Property And Equipment, Net (Schedule Of Property And Equipment, Net) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | $ 3,165 | $ 3,051 |
Less: Accumulated depreciation | (992) | (481) |
Equipment, net | 2,173 | 2,570 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | 2,248 | 2,257 |
Laboratory Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | 518 | 484 |
Furniture, Fixtures, And Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | 248 | $ 231 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment, gross | $ 33 |
Intangible Assets, Net (Schedul
Intangible Assets, Net (Schedule Of Intangible Assets, Net) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | ||
Less: Accumulated amortization | $ (2,772) | $ (2,107) |
Intangible assets, net | 5,213 | 5,878 |
Acquired Patents And Licenses [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 7,985 | $ 7,985 |
Intangible Assets, Net (Sched_2
Intangible Assets, Net (Schedule Of Amortization Of Intangible Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Intangible Assets, Net [Abstract] | ||
2019 | $ 665 | |
2020 | 665 | |
2021 | 665 | |
2022 | 665 | |
2023 | 665 | |
Thereafter | 1,888 | |
Intangible assets, net | $ 5,213 | $ 5,878 |
Goodwill (Narrative) (Details)
Goodwill (Narrative) (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2014 | |
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | ||||
Goodwill | $ 2,791,000 | $ 2,791,000 | ||
Goodwill impairment | $ 0 | $ 0 | $ 0 | |
TPI, BEM And NB [Member] | ||||
Business Acquisition, Equity Interests Issued or Issuable [Line Items] | ||||
Aggregate consideration | $ 5,500,000 | |||
Goodwill | $ 2,800,000 |
Accrued Expenses (Schedule Of A
Accrued Expenses (Schedule Of Accrued Expenses) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Accrued Expenses [Abstract] | ||
Compensation expense | $ 938 | $ 685 |
Accrued clinical | 156 | 21 |
Professional fees | 274 | 211 |
Supplies | 53 | 65 |
Other | 52 | |
Accrued expenses | $ 1,421 | $ 1,034 |
Stockholders' Equity And Stoc_3
Stockholders' Equity And Stock-Based Compensation (Narrative) (Details) - USD ($) | Jan. 01, 2019 | Dec. 06, 2018 | Sep. 24, 2017 | Feb. 07, 2017 | Nov. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2014 | Oct. 25, 2018 |
Stockholders' Equity [Line Items] | |||||||||||
Common stock, par value | $ 0.001 | $ 0.001 | |||||||||
Common stock, shares issued | 20,593,000 | 16,819,000 | |||||||||
Options granted | 657,375 | ||||||||||
Warrants exercised | 144,508 | ||||||||||
Exercise price | $ 15.70 | ||||||||||
Total intrinsic value of options exercised | $ 1,800,000 | $ 3,800,000 | $ 0 | ||||||||
Fair value of options vested | 6,400,000 | 26,800,000 | 1,200,000 | ||||||||
Total stock-based compensation expense | 12,338,000 | $ 10,926,000 | 870,000 | ||||||||
Unrecognized compensation cost | $ 17,100,000 | ||||||||||
Weighted average remaining contractual life | 2 years 3 months 18 days | ||||||||||
2017 Employee Stock Purchase Plan [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Common stock, shares issued | 23,869 | ||||||||||
Shares authorized | 250,000 | ||||||||||
Increase in shares available for issuance threshold of common stock outstanding, number of shares | 450,000 | ||||||||||
Increase in shares available for issuance threshold of common stock outstanding, percent outstanding | 1.50% | ||||||||||
Shares available for grant | 478,474 | ||||||||||
2017 Inducement Equity Incentive Plan [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Term period | 10 years | ||||||||||
Shares authorized | 1,000,000 | ||||||||||
2017 Plan [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Term period | 10 years | ||||||||||
Shares authorized | 1,500,000 | ||||||||||
Increase in shares available for issuance threshold of common stock outstanding, number of shares | 1,200,000 | ||||||||||
Increase in shares available for issuance threshold of common stock outstanding, percent outstanding | 4.00% | ||||||||||
Shares available for grant | 539,436 | ||||||||||
First Vesting Portion [Member] | 2017 Inducement Equity Incentive Plan [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Vesting percentage | 25.00% | ||||||||||
Second Vesting Portion (Per Month) [Member] | 2017 Inducement Equity Incentive Plan [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Vesting period | 36 months | ||||||||||
Vesting percentage | 8.33% | ||||||||||
Sales, general and administrative [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Total stock-based compensation expense | $ 9,004,000 | $ 9,136,000 | 674,000 | ||||||||
Research and development [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Total stock-based compensation expense | 3,334,000 | $ 1,790,000 | $ 196,000 | ||||||||
Restricted Stock Units [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Units granted during period | 0 | ||||||||||
Reduction to APIC from shares withheld for tax | $ 100,000 | ||||||||||
Total stock-based compensation expense | $ 2,100,000 | $ 2,900,000 | |||||||||
Warrants to purchase common stock [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Options granted | |||||||||||
Warrants exercised | 36,224 | ||||||||||
Aggregate intrinsic value exercisable options | $ 1,600,000 | ||||||||||
Performance Shares [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Options granted | 42,500 | ||||||||||
Subsequent Event [Member] | 2017 Plan [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Additional common stock reserved for issuance | 823,716 | ||||||||||
Initial Public Offering [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Proceeds from issuance of common stock | $ 20,300,000 | ||||||||||
Common stock, shares issued | 5,749,846 | ||||||||||
Directors [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Total stock-based compensation expense | $ 1,200,000 | ||||||||||
Officer [Member] | Restricted Stock Units [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Cliff vest date | Jun. 30, 2018 | ||||||||||
Shares available for grant | 160,974 | ||||||||||
Unrecognized compensation cost | $ 0 | ||||||||||
Certain Employees [Member] | Restricted Stock Units [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Shares available for grant | 68,800 | ||||||||||
Total stock-based compensation expense | 400,000 | $ 100,000 | |||||||||
Unrecognized compensation cost | $ 900,000 | ||||||||||
Certain Employees [Member] | Restricted Stock Units [Member] | First Vesting Portion [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Vesting percentage | 50.00% | ||||||||||
Cliff vest date | Jun. 1, 2019 | ||||||||||
Certain Employees [Member] | Restricted Stock Units [Member] | Second Vesting Portion (Per Month) [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Vesting percentage | 50.00% | ||||||||||
Cliff vest date | Jun. 1, 2021 | ||||||||||
Certain Employees [Member] | Restricted Stock Units [Member] | Change In Control [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Vesting percentage | 100.00% | ||||||||||
Common Stock | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Warrants exercised | 145,000 | 162,000 | |||||||||
Number of common shares called by issuance of warrants | 23,957 | ||||||||||
Common Stock | 2017 Inducement Equity Incentive Plan [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Shares authorized | 541,625 | ||||||||||
Common Stock | Rights Offering [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Net proceeds | $ 44,800,000 | ||||||||||
Right entitlement to holder | 3,581,148 | 0.19860755 | |||||||||
Exercise price of warrants/rights | $ 12.57 | $ 12.57 | |||||||||
Common Stock | Warrants to purchase common stock [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Warrants exercised | 24,000 | 522,000 | |||||||||
Common Stock | Initial Public Offering [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Price per share | $ 4 | ||||||||||
Common Stock | Private Placement [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Shares sold | 2,000,000 | 819,673 | |||||||||
Common stock, par value | $ 0.001 | $ 0.001 | |||||||||
Price per share | $ 15.02 | $ 6.10 | |||||||||
Net proceeds | $ 29,900,000 | $ 5,000,000 | |||||||||
Shares issued | 2,820,000 | ||||||||||
Common Stock | Chairman, Robert W. Duggan [Member] | Rights Offering [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Ownership percentage | 35.00% | 44.00% | |||||||||
Shares purchased | 3,146,226 | ||||||||||
Investment | $ 39,500,000 | ||||||||||
MDB Capital Group, LLC [Member] | Initial Public Offering [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Price per share | $ 5 | ||||||||||
Value of warrants/rights | $ 1,400,000 | ||||||||||
Warrants/rights outstanding | 121,609 | ||||||||||
Exercisable period of warrants or rights | 5 years | ||||||||||
Number of common shares called by issuance of warrants | 574,985 | ||||||||||
MDB Capital Group, LLC [Member] | Private Placement [Member] | |||||||||||
Stockholders' Equity [Line Items] | |||||||||||
Price per share | $ 2.67 | ||||||||||
Warrants/rights outstanding | 91,876 | ||||||||||
Exercisable period of warrants or rights | 7 years | ||||||||||
Number of common shares called by issuance of warrants | 299,625 |
Stockholders' Equity And Stoc_4
Stockholders' Equity And Stock-Based Compensation (Summary Of Stock Warrant Activity) (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Beginning Balance, Number of shares | 2,598,659 | |
Options granted, Number of shares | 657,375 | |
Options exercised, Number of shares | (144,508) | |
Options canceled, Number of shares | (147,839) | |
Options expired, Number of shares | (7,000) | |
Ending Balance, Number of shares | 2,956,687 | 2,598,659 |
Beginning Balance, Weighted average exercise price per share | $ 16.88 | |
Options granted, Weighted average exercise price per share | 15.18 | |
Options exercised, Weighted average exercise price per share | 3.44 | |
Options expired, Weighted average exercise price per share | 19.99 | |
Ending Balance, Weighted average exercise price per share | $ 17.04 | $ 16.88 |
Weighted average remaining life | 7 years 7 months 6 days | 8 years 2 months 12 days |
Warrants to purchase common stock [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Beginning Balance, Number of shares | 249,709 | |
Options granted, Number of shares | ||
Options exercised, Number of shares | (36,224) | |
Options expired, Number of shares | ||
Ending Balance, Number of shares | 213,485 | 249,709 |
Beginning Balance, Weighted average exercise price per share | $ 4.14 | |
Options granted, Weighted average exercise price per share | ||
Options exercised, Weighted average exercise price per share | 5 | |
Options expired, Weighted average exercise price per share | ||
Ending Balance, Weighted average exercise price per share | $ 4 | $ 4.14 |
Weighted average remaining life | 2 years 4 months 13 days | 3 years 6 months 22 days |
Stockholders' Equity And Stoc_5
Stockholders' Equity And Stock-Based Compensation (Summary Of Stock Option Activity) (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Beginning Balance, Number of shares | 2,598,659 | |
Options granted, Number of shares | 657,375 | |
Options exercised, Number of shares | (144,508) | |
Options canceled, Number of shares | (147,839) | |
Options expired, Number of shares | (7,000) | |
Ending Balance, Number of shares | 2,956,687 | 2,598,659 |
Exercisable, Number of shares | 1,513,617 | |
Beginning Balance, Weighted average exercise price per share | $ 16.88 | |
Options granted, Weighted average exercise price per share | 15.18 | |
Options exercised, Weighted average exercise price per share | 3.44 | |
Options canceled, Weighted average exercise price per share | 19.04 | |
Options expired, Weighted average exercise price per share | 19.99 | |
Ending Balance, Weighted average exercise price per share | 17.04 | $ 16.88 |
Exercisable, Weighted average exercise price per share | $ 15.70 | |
Weighted average remaining life | 7 years 7 months 6 days | 8 years 2 months 12 days |
Weighted average remaining life, exercisable | 6 years 7 months 6 days | |
$2.67 - $4.28 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercisable, Weighted average exercise price per share | $ 3.79 | |
Weighted average remaining life | 6 years |
Stockholders' Equity And Stoc_6
Stockholders' Equity And Stock-Based Compensation (Summary Of Exercise Price Of Stock Options Outstanding And Exercisable) (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ||
Number outstanding | 2,956,687 | |
Weighted average remaining contractual life (in years) | 7 years 7 months 6 days | 8 years 2 months 12 days |
Weighted average exercise price | $ 17.04 | |
Number vested | 1,513,617 | |
Weighted average exercise price | $ 15.70 | |
$2.67 - $4.28 [Member] | ||
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ||
Exercise price, lower range | 2.67 | |
Exercise price, upper range | $ 4.28 | |
Number outstanding | 732,842 | |
Weighted average remaining contractual life (in years) | 6 years | |
Weighted average exercise price | $ 3.84 | |
Number vested | 579,735 | |
Weighted average exercise price | $ 3.79 | |
$4.67 - $7.55 [Member] | ||
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ||
Exercise price, lower range | 4.67 | |
Exercise price, upper range | $ 7.55 | |
Number outstanding | 218,359 | |
Weighted average remaining contractual life (in years) | 7 years 8 months 12 days | |
Weighted average exercise price | $ 5.27 | |
Number vested | 105,633 | |
Weighted average exercise price | $ 5.42 | |
$11.00 - $16.52 [Member] | ||
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ||
Exercise price, lower range | 11 | |
Exercise price, upper range | $ 16.52 | |
Number outstanding | 471,375 | |
Weighted average remaining contractual life (in years) | 9 years 7 months 6 days | |
Weighted average exercise price | $ 13.49 | |
Number vested | 53,634 | |
Weighted average exercise price | $ 14.71 | |
$19.35 - $30.99 [Member] | ||
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ||
Exercise price, lower range | 19.35 | |
Exercise price, upper range | $ 30.99 | |
Number outstanding | 1,534,111 | |
Weighted average remaining contractual life (in years) | 7 years 8 months 12 days | |
Weighted average exercise price | $ 26.12 | |
Number vested | 774,615 | |
Weighted average exercise price | $ 26.08 |
Stockholders' Equity And Stoc_7
Stockholders' Equity And Stock-Based Compensation (Schedule Of Fair Value Of Employee Stock Options) (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Options outstanding [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term in years | 6 years 1 month 6 days | ||
Expected volatility | 70.00% | 80.00% | |
Options outstanding [Member] | Minimum [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term in years | 5 years 3 months 18 days | 4 months 24 days | 6 years 1 month 6 days |
Expected volatility | 70.00% | 80.00% | |
Risk-free interest rate | 2.60% | 1.00% | 1.20% |
Options outstanding [Member] | Maximum [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term in years | 6 years 1 month 6 days | 6 years 1 month 6 days | |
Expected volatility | 90.00% | ||
Risk-free interest rate | 3.00% | 2.20% | 1.50% |
2017 Employee Stock Purchase Plan [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected volatility | 70.00% | 95.00% | |
2017 Employee Stock Purchase Plan [Member] | Minimum [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term in years | 6 months | 6 months | |
Risk-free interest rate | 1.90% | 1.10% | |
2017 Employee Stock Purchase Plan [Member] | Maximum [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term in years | 1 year | 1 year 3 months 18 days | |
Risk-free interest rate | 2.50% | 1.20% |
Stockholders' Equity And Stoc_8
Stockholders' Equity And Stock-Based Compensation (Summary Of Stock-Based Compensation Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Total stock-based compensation expense | $ 12,338 | $ 10,926 | $ 870 |
Sales, general and administrative [Member] | |||
Total stock-based compensation expense | 9,004 | 9,136 | 674 |
Research and development [Member] | |||
Total stock-based compensation expense | $ 3,334 | $ 1,790 | $ 196 |
Research Grants And Agreements
Research Grants And Agreements (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||||||||
Research and development expense | $ 5,080 | $ 5,038 | $ 3,960 | $ 3,175 | $ 2,864 | $ 2,925 | $ 2,130 | $ 1,727 | $ 17,253 | $ 9,646 | $ 5,506 |
Sponsored Research Agreement ("SRA") [Member] | |||||||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||||||||
Research and development expense | $ 700 | 800 | 900 | ||||||||
ODURF [Member] | |||||||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||||||||
Period of time for Sponsored Research Agreement ("SRA") | 12 months | ||||||||||
ODURF [Member] | Sponsored Research Agreement ("SRA") [Member] | |||||||||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||||||||
Research and development budget | $ 600 | ||||||||||
Research and development expense | 800 | $ 700 | $ 1,000 | ||||||||
Remaining sponsorship | $ 100 | $ 100 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Line Items] | |||
Income tax provision (benefit) | |||
Federal statutory tax rate | 21.00% | 35.00% | 35.00% |
Total unrecognized tax benefit | $ 877,000 | $ 512,000 | $ 213,000 |
Accrued interest or penalties | 0 | $ 0 | $ 0 |
Reduction in deferred tax assets due to tax act | $ 4,700,000 | ||
Scenario, Plan [Member] | |||
Income Taxes [Line Items] | |||
Federal statutory tax rate | 21.00% | ||
Federal And California [Member] | |||
Income Taxes [Line Items] | |||
Net operating loss carryforward, expiration | 2034 | ||
Federal [Member] | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | $ 51,600,000 | ||
Research and development credit carryforward | $ 1,400,000 | ||
Research and developmen tax credit carryforward, expiration | 2035 | ||
California [Member] | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | $ 51,000,000 | ||
Research and development credit carryforward | $ 1,200,000 |
Income Taxes (Components Of Def
Income Taxes (Components Of Deferred Tax Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Income Taxes [Abstract] | ||
Temporary differences | $ 111 | $ 36 |
Credits | 5,330 | 1,536 |
Stock compensation | 2,630 | 3,067 |
Net operating loss carryforwards | 15,365 | 7,715 |
Total deferred tax assets | 23,436 | 12,354 |
Valuation allowance | (22,696) | (11,491) |
Technology deferred tax liability | (740) | (863) |
Net deferred tax assets | $ 740 | $ 863 |
Income Taxes (Reconcilement Of
Income Taxes (Reconcilement Of Tax Rates) (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Abstract] | |||
U.S. federal statutory tax rate | (21.00%) | (35.00%) | (35.00%) |
Valuation allowance | 28.00% | 23.00% | 42.00% |
Tax reform | (2.00%) | 18.00% | |
Permanent differences | 2.00% | 1.00% | 2.00% |
State tax benefit and other | (7.00%) | (7.00%) | (9.00%) |
Income Taxes (Reconciliation Of
Income Taxes (Reconciliation Of Unrecognized Tax Benefit Accounts) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes [Abstract] | ||
Unrecognized tax benefit, Beginning balance | $ 512 | $ 213 |
Gross increases - tax positions in prior periods | 37 | |
Gross decreases - tax positions in prior periods | ||
Gross increases - tax position in current period | 365 | 262 |
Settlements | ||
Lapses in statutes of limitations | ||
Unrecognized tax benefit, Ending balance | $ 877 | $ 512 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - USD ($) | Dec. 06, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 25, 2018 |
Related Party Transaction [Line Items] | |||||
Common stock, par value | $ 0.001 | $ 0.001 | |||
MDB Capital Group, LLC [Member] | Initial Public Offering [Member] | |||||
Related Party Transaction [Line Items] | |||||
Related party expenses | $ 200,000 | ||||
Underwriting discounts | 1,800,000 | ||||
Wilson Sonsini Goodrich And Rosati (WSGR) [Member] | |||||
Related Party Transaction [Line Items] | |||||
Related party expenses | 1,200,000 | $ 700,000 | |||
Intellectual Property Related Services [Member] | MDB Capital Group, LLC [Member] | |||||
Related Party Transaction [Line Items] | |||||
Related party expenses | $ 0 | $ 0 | $ 100,000 | ||
Common Stock | Chairman, Robert W. Duggan [Member] | Rights Offering [Member] | |||||
Related Party Transaction [Line Items] | |||||
Ownership percentage | 35.00% | 44.00% | |||
Rights Offering [Member] | Common Stock | |||||
Related Party Transaction [Line Items] | |||||
Right entitlement to holder | 3,581,148 | 0.19860755 | |||
Exercise price of warrants/rights | $ 12.57 | $ 12.57 | |||
Net proceeds | $ 44,800,000 |
Commitments And Contingencies_2
Commitments And Contingencies (Narrative) (Details) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2018USD ($)ft²$ / mo | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Jul. 01, 2017 | Jan. 31, 2017ft² | |
Commitments and Contingencies [Line Items] | |||||
Rent expense, including common area maintenance charges | $ | $ 0.2 | $ 0.3 | $ 0.2 | ||
Burlingame, CA [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Lease expiration date | Jun. 30, 2017 | ||||
Area Of Lease | ft² | 4,300 | ||||
Monthly Expense, Operating Leases | $ / mo | 21,000 | ||||
Hayward, CA [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Lease expiration date | Aug. 31, 2022 | ||||
Area Of Lease | ft² | 15,700 | ||||
Lease renewable term | 5 months | ||||
Landlord [Member] | Hayward, CA [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Initial tenant leashold improvements | $ | $ 2.1 |
Commitments And Contingencies_3
Commitments And Contingencies (Schedule Of Future Minimum Lease Payments) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments And Contingencies [Abstract] | |
2019 | $ 536 |
2020 | 554 |
2021 | 574 |
2022 | 392 |
Total minimum lease payments | $ 2,056 |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Employee Benefit Plans [Abstract] | |||
Employer matching contributions | $ 0 | $ 0 | $ 0 |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | |
Selected Quarterly Financial Data [Abstract] | |||
Research and development costs reclassified to general and administrative costs | $ 0.3 | $ 0.2 | $ 0.1 |
Selected Quarterly Financial _4
Selected Quarterly Financial Data (Schedule Of Selected Quarterly Financial Data) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Selected Quarterly Financial Data [Abstract] | |||||||||||
Revenue | |||||||||||
Operating expenses: | |||||||||||
General and administrative | $ 3,814 | $ 5,675 | $ 5,173 | $ 5,383 | $ 5,801 | $ 4,434 | $ 3,924 | $ 1,344 | 20,045 | 15,503 | 3,415 |
Research and development | 5,080 | 5,038 | 3,960 | 3,175 | 2,864 | 2,925 | 2,130 | 1,727 | 17,253 | 9,646 | 5,506 |
Amortization of intangible assets | 166 | 166 | 167 | 166 | 166 | 166 | 167 | 166 | 665 | 665 | 665 |
Total operating expenses | 9,060 | 10,879 | 9,300 | 8,724 | 8,831 | 7,525 | 6,221 | 3,237 | 37,963 | 25,814 | 9,586 |
Other income (expense): | |||||||||||
Interest income | 135 | 118 | 137 | 56 | 128 | 39 | 41 | 39 | 446 | 247 | 68 |
Total other income (expense) | 107 | 118 | 137 | 56 | 128 | 39 | 41 | 39 | 418 | 247 | 68 |
Loss from operations, before income taxes | (8,953) | (10,761) | (9,163) | (8,668) | (8,703) | (7,486) | (6,180) | (3,198) | (37,545) | (25,567) | (9,518) |
Income tax benefit | |||||||||||
Net loss | (8,953) | (10,761) | (9,163) | (8,668) | (8,703) | (7,486) | (6,180) | (3,198) | (37,545) | (25,567) | (9,518) |
Other comprehensive loss: | |||||||||||
Unrealized gain (loss) on available-for-sale securities, net of tax | 2 | (3) | 3 | 48 | (49) | 4 | 3 | (2) | 50 | (44) | (7) |
Comprehensive loss | $ (8,951) | $ (10,764) | $ (9,160) | $ (8,620) | $ (8,752) | $ (7,482) | $ (6,177) | $ (3,200) | $ (37,495) | $ (25,611) | $ (9,525) |
Basic and diluted net loss per share | $ (0.51) | $ (0.64) | $ (0.54) | $ (0.51) | $ (0.53) | $ (0.52) | $ (0.43) | $ (0.23) | $ (2.20) | $ (1.73) | $ (0.86) |
Weighted average shares used to compute net loss per common share - basic and diluted | 17,656 | 16,927 | 16,881 | 16,842 | 16,574 | 14,381 | 14,233 | 13,803 | 17,078 | 14,754 | 11,009 |