XBiotech (XBIT) 10-Q 9 Nov 21 2021 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2021	Nov. 09, 2021
Document Information [Line Items]
Entity Central Index Key	0001626878
Entity Registrant Name	XBiotech Inc.
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2021
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	001-37437
Entity Incorporation, State or Country Code	A1
Entity Address, Address Line One	5217 Winnebago Ln
Entity Address, City or Town	Austin
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	78744
City Area Code	512
Local Phone Number	386-2900
Title of 12(b) Security	Common Stock, no par value
Trading Symbol	XBIT
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		30,399,309

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 238,877	$ 237,366
Accounts receivable	44	4,113
Escrow receivable	0	75,063
Deferred cost of goods sold	544	2,177
Income tax receivable	10,397	6,574
Prepaid expenses and other current assets	375	582
Total current assets	250,237	325,875
Deferred tax asset	642	533
Property and equipment, net	28,640	27,336
Total assets	279,519	353,744
Current liabilities:
Accounts payable	1,012	2,491
Accrued expenses	1,643	1,351
Income tax payable	1,206	142
Total current liabilities	3,861	3,984
Long-term liabilities:
Income tax payable	1,393	1,121
Deferred tax liability	108	0
Total liabilities	5,362	5,105
Shareholders’ equity:
Preferred stock, no par value, unlimited shares authorized, no shares outstanding	0	0
Common stock and additional paid in capital, no par value, unlimited shares authorized, 30,397,811 and 29,304,396 shares outstanding at September 30, 2021 and December 31, 2020, respectively	260,876	249,805
Accumulated other comprehensive income	1,663	1,266
Accumulated equity	11,618	97,568
Total shareholders’ equity	274,157	348,639
Total liabilities and shareholders’ equity	$ 279,519	$ 353,744

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares $ / shares in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Preferred stock, no par value (in dollars per share)	$ 0	$ 0
Preferred stock, shares outstanding (in shares)	0	0
Preferred stock, shares authorized	Unlimited	Unlimited
Common stock, no par value (in dollars per share)	$ 0	$ 0
Common stock, shares authorized	Unlimited	Unlimited
Common stock, shares outstanding (in shares)	30,397,811	29,304,396

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Revenue
Revenue	$ 4,519	$ 10,549	$ 13,894	$ 38,728
Cost of goods sold
Cost of goods sold	1,110	9,426	4,774	32,300
Gross margin	3,409	1,123	9,120	6,428
Operating expenses:
Research and development	5,599	2,346	19,486	6,066
General and administrative	1,541	3,447	7,522	13,716
Total operating expenses	7,139	5,793	27,008	19,782
Loss from operations	(3,731)	(4,670)	(17,888)	(13,354)
Other income (loss):
Interest income	125	124	357	2,328
Other loss	(121)	0	(132)	(503)
Foreign exchange gain (loss)	(1,328)	1,352	(127)	794
Total other income	(1,324)	1,476	98	2,619
Loss before income taxes	(5,055)	(3,194)	(17,790)	(10,735)
Benefit for income taxes	1,794	668	6,843	1,352
Net loss	$ (3,261)	$ (2,526)	$ (10,947)	$ (9,383)
Net loss per share—basic and diluted (in dollars per share)	$ (0.11)	$ (0.09)	$ (0.37)	$ (0.30)
Shares used to compute basic net loss per share (in shares)	30,341,470	29,037,074	29,921,048	31,345,760
Manufacturing Revenue [Member]
Revenue
Revenue	$ 4,500	$ 6,000	$ 13,500	$ 13,500
Cost of goods sold
Cost of goods sold	1,095	5,432	4,471	11,553
Clinical Trial Service Revenue [Member]
Revenue
Revenue	19	4,549	394	25,228
Cost of goods sold
Cost of goods sold	$ 15	$ 3,994	$ 303	$ 20,747

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Net loss	$ (3,261)	$ (2,526)	$ (10,947)	$ (9,383)
Foreign currency translation adjustment	(240)	(291)	397	(322)
Comprehensive loss	$ (3,501)	$ (2,817)	$ (10,550)	$ (9,705)

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Common Stock Including Additional Paid in Capital [Member]	AOCI Attributable to Parent [Member]	Retained Earnings [Member]	Total
Balance (in shares) at Dec. 31, 2019	41,519
Balance at Dec. 31, 2019	$ 324,808	$ (106)	$ 430,929	$ 755,631
Net loss	0	0	(9,383)	(9,383)
Foreign currency translation adjustment	0	(322)	0	(322)
Issuance of common stock under stock option plan	0	0	0	0
Share-based compensation expense	9,787	0	0	9,787
Collection of stock subscription receivable	$ 10,426	0	0	10,426
Tender offer (in shares)	(14,000)
Tender offer	$ (93,240)	0	(326,760)	(420,000)
Balance (in shares) at Sep. 30, 2020	29,224
Balance at Sep. 30, 2020	$ 251,781	(428)	94,786	346,139
Balance (in shares) at Jun. 30, 2020	28,897
Balance at Jun. 30, 2020	$ 246,395	(137)	97,312	343,570
Net loss	0	0	(2,526)	(2,526)
Foreign currency translation adjustment	$ 0	(291)	0	(291)
Issuance of common stock under stock option plan (in shares)	327
Issuance of common stock under stock option plan	$ 2,169	0	0	2,169
Share-based compensation expense	3,155	0	0	3,155
Collection of stock subscription receivable	$ 62	0	0	62
Balance (in shares) at Sep. 30, 2020	29,224
Balance at Sep. 30, 2020	$ 251,781	(428)	94,786	346,139
Balance (in shares) at Dec. 31, 2020	29,304
Balance at Dec. 31, 2020	$ 249,805	1,266	97,568	348,639
Net loss	0	0	(10,947)	(10,947)
Foreign currency translation adjustment	$ 0	397	0	397
Issuance of common stock under stock option plan (in shares)	1,094
Issuance of common stock under stock option plan	$ 7,962	0	0	7,962
Dividends	0	0	(75,003)	(75,003)
Share-based compensation expense	$ 3,109	0	0	3,109
Balance (in shares) at Sep. 30, 2021	30,398
Balance at Sep. 30, 2021	$ 260,876	1,663	11,618	274,157
Balance (in shares) at Jun. 30, 2021	30,024
Balance at Jun. 30, 2021	$ 256,779	1,903	89,882	348,564
Net loss	0	0	(3,261)	(3,261)
Foreign currency translation adjustment	$ 0	(240)	0	(240)
Issuance of common stock under stock option plan (in shares)	374
Issuance of common stock under stock option plan	$ 2,964	0	0	2,964
Dividends	0	0	(75,003)	(75,003)
Share-based compensation expense	$ 1,133	0	0	1,133
Balance (in shares) at Sep. 30, 2021	30,398
Balance at Sep. 30, 2021	$ 260,876	$ 1,663	$ 11,618	$ 274,157

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Operating activities
Net loss	$ (10,947)	$ (9,383)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation	1,946	1,652
Share-based compensation expense	3,109	9,787
Changes in operating assets and liabilities:
Accounts receivable	4,069	(6,062)
Income tax receivable	(3,823)	(6,110)
Deferred cost of goods sold	1,633	(643)
Escrow receivable	75,063	(58)
Prepaid expenses and other current assets	207	1,230
Deferred tax asset	(108)	0
Accounts payable	(1,679)	542
Accrued expenses	292	(1,874)
Contract liabilities	0	(4,500)
Income tax payable	1,334	0
Deferred tax liability	108	(49,339)
Net cash provided by (used in) operating activities	71,204	(64,758)
Investing activities
Purchase of property and equipment	(3,049)	(1,509)
Net cash used in investing activities	(3,049)	(1,509)
Financing activities
Share repurchases of common stock and warrants, net	0	(420,000)
Dividends	(75,003)	0
Issuance of common stock under stock option plan	7,962	10,426
Net cash used in financing activities	(67,041)	(409,574)
Effect of foreign exchange rate on cash and cash equivalents	397	(322)
Net change in cash and cash equivalents	1,511	(476,163)
Cash and cash equivalents, beginning of period	237,366	714,594
Cash and cash equivalents, end of period	238,877	238,431
Supplemental Information:
Accrued purchases of property and equipment	$ 202	$ 1,179

Note 1 - Organization

Note 1 - Organization	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	1. Organization XBiotech Inc. (XBiotech or the Company) was incorporated in Canada on March 22, 2005. November 2007. January 2014. Since its inception, XBiotech has focused on advancing technology to rapidly identify and clone antibodies from individuals that have resistance to disease. At the heart of the Company is a proprietary technical knowhow to translate natural human immunity into therapeutic product candidates. The Company has in its pipeline both anti-infective and anti-inflammatory candidate therapeutics derived from this technology. An area of medical focus for XBiotech are therapies that block a potent substance naturally produced by body, known as interleukin- 1 1a 1a 1a may At the end of 2019, 1a 1a 1a 1a 1a 1a one 1a, one 1a The Company continues to be subject to a number of risks common to companies in similar stages of development. Principal among these risks are the uncertainties of technological innovations, dependence on key individuals, development of the same or similar technological innovations by the Company’s competitors and protection of proprietary technology. The Company’s ability to fund its planned clinical operations, including completion of its planned trials, is expected to depend on the amount and timing of cash receipts from future collaboration or product sales and/or financing transactions. The Company believes that its cash and cash equivalents of $238.9 million at September 30, 2021, 12

Note 2 - Significant Accounting

Note 2 - Significant Accounting Policies	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Significant Accounting Policies [Text Block]	2. Significant Accounting Policies Basis of Presentation These consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States (“US GAAP”). In the opinion of management, the accompanying consolidated financial statements reflect all adjustments (consisting only of normal recurring items) considered necessary to present fairly the Company’s financial position at September 30, 2021 December 31, 2020, three nine September 30, 2021 2020, nine September 30, 2021 2020. Basis of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions have been eliminated upon consolidation. Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported values of amounts in the financial statements and accompanying notes. Actual results could differ from those estimates. Revenue Revenue from Janssen Agreements The Company recognizes revenues from its Janssen Agreements as follows. The Company entered into its clinical manufacturing and clinical trial services arrangements in connection with its sale of certain intellectual property to Janssen on December 30, 2019. January 1, 2020. not XBiotech is still in the research and development phase; however, the eventual output of the Company’s intended ordinary activities will be the licensing of intellectual property and/or sale of commercialized compounds for use in pharmaceutical treatment of disease, not not not 606, Revenue from Contracts with Customers 606” Under ASC 606, 606 five five 606, Manufacturing Revenue The Company has a Clinical Manufacturing Agreement that it accounts for by analogy to ASC 606, two may 60 two four 60 may not Clinical Trial Service Revenue On December 30, 2019, two may may 30 Research and Development Costs All research and development costs are charged to expense as incurred. Research and development costs include salaries and personnel-related costs, consulting fees, fees paid for contract clinical trial research services, the costs of laboratory consumables, equipment and facilities, license fees and other external costs. Costs incurred to acquire licenses for intellectual property to be used in research and development activities with no Nonrefundable advance payments for goods or services to be received in the future for use in research and development activities are deferred and capitalized. The capitalized amounts are expensed as the related goods are delivered or the services are performed. Clinical Trial Accruals Expense accruals related to clinical trials are based on the Company’s estimates of services received and efforts expended pursuant to contracts with third may Income Taxes Income taxes are recorded in accordance with ASC 740, Accounting for Income Taxes 740” not not The Company makes estimates and judgments in determining the need for a provision for income taxes, including the estimation of its taxable income or loss for the full fiscal year. The Company has accumulated significant deferred tax assets that reflect the tax effects of net operating losses and tax credit carryovers and temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Realization of deferred tax assets is dependent upon future earnings. The Company is uncertain about the timing and amount of any future earnings. Accordingly, the Company offsets certain deferred tax assets with a valuation allowance. The Company may not may ASC 740 may not Share-Based Compensation The Company accounts for its share-based compensation awards in accordance with ASC Topic 718, Compensation-Stock Compensation 718” 718 Share-based compensation expense recognized for the three nine September 30, 2021 2020 Three Months Ended Nine Months Ended September 30, September 30, 2021 2020 2021 2020 Research and development $ 437 $ 935 $ 1,233 $ 2,682 General and administrative 628 1,870 1,673 5,887 Cost of goods sold 69 350 203 1,218 Total share-based compensation expense $ 1,134 $ 3,155 $ 3,109 $ 9,787 The fair value of each option is estimated on the date of grant using the Black-Scholes method with the following assumptions: Three Months Ended Nine Months Ended September 30, September 30, 2021 2020 2021 2020 Dividend yield 0% 0% 0% 0% Expected volatility 84% - 91% 87% 84% - 91% 87% - 91% Risk-free interest rate 0.9% - 1.0% 0.33% - 0.44% 0.5% - 1.1% 0.33% - 1.87% Expected life (in years) 6.25 5.38 - 6.25 5.38 - 6.25 5.38 - 10 Weighted-average grant date fair value per share 16.17 12.46 16.69 12.05 Cash and Cash Equivalents The Company considers highly liquid investments with a maturity of three Concentrations of Credit Risk Financial instruments that potentially subject the Company to credit risk consist primarily of cash and cash equivalents. The Company holds these investments in highly-rated financial institutions, and limits the amounts of credit exposure to any one may not not no Fair Value Measurements The consolidated financial statements include financial instruments for which the fair market value of such instruments may The Company follows ASC Topic 820, Fair Value Measurements and Disclosures three • Level 1—Unadjusted • Level 2—Quoted not • Level 3—Unobservable At September 30, 2021 December 31, 2020, not September 30, 2021 December 31, 2020, Property and Equipment Property and equipment, which consists of land, construction in process, furniture and fixtures, computers and office equipment, scientific equipment, leasehold improvements, vehicles and building are stated at cost and depreciated over the estimated useful lives of the assets, with the exception of land and construction in process which are not • Furniture and fixtures 7 years • Office equipment 5 years • Leasehold improvements Shorter of asset’s useful life or remaining lease term • Scientific equipment 5 years • Vehicles 5 years • Mobile facility 27.5 years • Building 39 years Costs of major additions and betterments are capitalized; maintenance and repairs, which do not Impairment of Long-Lived Assets The Company periodically evaluates its long-lived assets for potential impairment in accordance with ASC Topic 360, Property, Plant and Equipment may not not September 30, 2021. Foreign Currency Transactions Certain transactions are denominated in a currency other than the Company’s functional currency of the U.S. dollar, and the Company generates assets and liabilities that are fixed in terms of the amount of foreign currency that will be received or paid. At each balance sheet date, the Company adjusts the assets and liabilities to reflect the current exchange rate, resulting in a translation gain or loss. Transaction gains and losses are also realized upon a settlement of a foreign currency transaction in determining net loss for the period in which the transaction is settled. Comprehensive Income (Loss) ASC Topic 220, Comprehensive Income Segment and Geographic Information Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker, or decision making group, in making decisions on how to allocate resources and assess performance. The Company’s chief operating decision maker is the Chief Executive Officer. The Company and the chief operating decision maker view the Company’s operations and manage its business as one Net Loss Per Share Net income/loss per share (“EPS”) is computed by dividing net loss by the weighted average number of common shares outstanding during each period. Diluted EPS is computed by dividing net income/loss by the weighted average number of common shares and common share equivalents outstanding (if dilutive) during each period. The number of common share equivalents, which include stock options, is computed using the treasury stock method. Recent Accounting Pronouncements Recently Issued Accounting Pronouncements In June 2016, No. 2016 13, 326 November 15, 2019, 326 December 15, 2022 not not

Note 3 - Revenue

Note 3 - Revenue	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	3. Revenue On December 30, 2019, two not three nine September 30, 2021, We received payment of $4.5 million from Janssen based on billing schedules established in the contract on December 30, 2019 2021.

Note 4 - Property and Equipment

Note 4 - Property and Equipment	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	4. Property and Equipment Property and equipment consisted of the following as of September 30, 2021 December 31, 2020 ( September 30, 2021 December 31, 2020 Manufacturing equipment $ 4,118 $ 3,966 Winnebago building 21,602 20,473 Other fixed assets 2,920 2 ,897 Total property and equipment $ 28,640 $ 27,336

Note 5 - Common Stock

Note 5 - Common Stock	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Stockholders' Equity Note Disclosure [Text Block]	5. Common Stock Pursuant to its Articles, the Company has an unlimited number of shares available for issuance with no On January 4, 2020, not not February 12, 2020. On February 19, 2020, December 31, 2020. From January December 31, 2020, From January September 30, 2021,

Note 6 - Common Stock Options

Note 6 - Common Stock Options	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Share-based Payment Arrangement [Text Block]	6. Common Stock Options On November 11, 2005, 2005 “2005 March 24, 2015, 2015 2015 may may All options under both Plans will be non-transferable and may first may The term of the options is at the discretion of the Compensation Committee, but may not three The number of common shares reserved for issuance to any one 2005 not, A summary of changes in common stock options issued under the 2005 2015 Options Exercise Price Weighted-Average Exercise Price Options outstanding at December 31, 2020 5,327,425 $2.71 - $21.99 6.09 Granted 162,000 $15.29 - $20.20 16.69 Exercised (1,093,415 ) $3.27 - $15 7.28 Forfeitures (114,374 ) $4.14 - $21.99 9.75 Options outstanding at September 30, 2021 4,281,636 $2.71 - $21.74 10.36 As of September 30, 2021,

Note 7 - Net Income (Loss) Per

Note 7 - Net Income (Loss) Per Share	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Earnings Per Share [Text Block]	7. Net Income/Loss Per Share The following summarizes the computation of basic and diluted net income/loss per share for three nine September 30, 2021 2020 Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Net loss $ (3,261 ) $ (2,526 ) $ (10,947 ) $ (9,383 ) Weighted-average number of common shares—basic and diluted 30,341,470 29,037,074 29,921,048 31,345,760 Net loss per share—basic and diluted $ (0.11 ) $ (0.09 ) $ (0.37 ) $ (0.30 )

Note 8 - Income Taxes

Note 8 - Income Taxes	9 Months Ended
	Sep. 30, 2021
Notes to Financial Statements
Income Tax Disclosure [Text Block]	8. Income Taxes During the three September 30, 2020 September 30, 2021, 2021 nine September 30, 2021. three September 30, 2020 September 30, 2021 nine September 30, 2020 September 30, 2021 The difference in the 27% Canadian statutory tax rate and the annual forecasted effective tax rate is primarily a result of the jurisdictional mix of earnings and losses, valuation allowances, foreign exchange gains and losses, and permanently disallowed stock and executive compensation expenses. The Company maintains a valuation allowance against all deferred tax assets in Germany and the US, and certain deferred tax assets in Canada in the current and forecasted annual periods that we concluded are not not As of December 31, 2020, nine September 30, 2021.

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation These consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States (“US GAAP”). In the opinion of management, the accompanying consolidated financial statements reflect all adjustments (consisting only of normal recurring items) considered necessary to present fairly the Company’s financial position at September 30, 2021 December 31, 2020, three nine September 30, 2021 2020, nine September 30, 2021 2020.
Consolidation, Policy [Policy Text Block]	Basis of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions have been eliminated upon consolidation.
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of financial statements in accordance with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported values of amounts in the financial statements and accompanying notes. Actual results could differ from those estimates.
Revenue from Contract with Customer [Policy Text Block]	Revenue Revenue from Janssen Agreements The Company recognizes revenues from its Janssen Agreements as follows. The Company entered into its clinical manufacturing and clinical trial services arrangements in connection with its sale of certain intellectual property to Janssen on December 30, 2019. January 1, 2020. not XBiotech is still in the research and development phase; however, the eventual output of the Company’s intended ordinary activities will be the licensing of intellectual property and/or sale of commercialized compounds for use in pharmaceutical treatment of disease, not not not 606, Revenue from Contracts with Customers 606” Under ASC 606, 606 five five 606, Manufacturing Revenue The Company has a Clinical Manufacturing Agreement that it accounts for by analogy to ASC 606, two may 60 two four 60 may not Clinical Trial Service Revenue On December 30, 2019, two may may 30
Research and Development Expense, Policy [Policy Text Block]	Research and Development Costs All research and development costs are charged to expense as incurred. Research and development costs include salaries and personnel-related costs, consulting fees, fees paid for contract clinical trial research services, the costs of laboratory consumables, equipment and facilities, license fees and other external costs. Costs incurred to acquire licenses for intellectual property to be used in research and development activities with no Nonrefundable advance payments for goods or services to be received in the future for use in research and development activities are deferred and capitalized. The capitalized amounts are expensed as the related goods are delivered or the services are performed.
Clinical Trial Accruals [Policy Text Block]	Clinical Trial Accruals Expense accruals related to clinical trials are based on the Company’s estimates of services received and efforts expended pursuant to contracts with third may
Income Tax, Policy [Policy Text Block]	Income Taxes Income taxes are recorded in accordance with ASC 740, Accounting for Income Taxes 740” not not The Company makes estimates and judgments in determining the need for a provision for income taxes, including the estimation of its taxable income or loss for the full fiscal year. The Company has accumulated significant deferred tax assets that reflect the tax effects of net operating losses and tax credit carryovers and temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Realization of deferred tax assets is dependent upon future earnings. The Company is uncertain about the timing and amount of any future earnings. Accordingly, the Company offsets certain deferred tax assets with a valuation allowance. The Company may not may ASC 740 may not
Share-based Payment Arrangement [Policy Text Block]	Share-Based Compensation The Company accounts for its share-based compensation awards in accordance with ASC Topic 718, Compensation-Stock Compensation 718” 718 Share-based compensation expense recognized for the three nine September 30, 2021 2020 Three Months Ended Nine Months Ended September 30, September 30, 2021 2020 2021 2020 Research and development $ 437 $ 935 $ 1,233 $ 2,682 General and administrative 628 1,870 1,673 5,887 Cost of goods sold 69 350 203 1,218 Total share-based compensation expense $ 1,134 $ 3,155 $ 3,109 $ 9,787 The fair value of each option is estimated on the date of grant using the Black-Scholes method with the following assumptions: Three Months Ended Nine Months Ended September 30, September 30, 2021 2020 2021 2020 Dividend yield 0% 0% 0% 0% Expected volatility 84% - 91% 87% 84% - 91% 87% - 91% Risk-free interest rate 0.9% - 1.0% 0.33% - 0.44% 0.5% - 1.1% 0.33% - 1.87% Expected life (in years) 6.25 5.38 - 6.25 5.38 - 6.25 5.38 - 10 Weighted-average grant date fair value per share 16.17 12.46 16.69 12.05
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and Cash Equivalents The Company considers highly liquid investments with a maturity of three
Concentration Risk, Credit Risk, Policy [Policy Text Block]	Concentrations of Credit Risk Financial instruments that potentially subject the Company to credit risk consist primarily of cash and cash equivalents. The Company holds these investments in highly-rated financial institutions, and limits the amounts of credit exposure to any one may not not no
Fair Value Measurement, Policy [Policy Text Block]	Fair Value Measurements The consolidated financial statements include financial instruments for which the fair market value of such instruments may The Company follows ASC Topic 820, Fair Value Measurements and Disclosures three • Level 1—Unadjusted • Level 2—Quoted not • Level 3—Unobservable At September 30, 2021 December 31, 2020, not September 30, 2021 December 31, 2020,
Property, Plant and Equipment, Policy [Policy Text Block]	Property and Equipment Property and equipment, which consists of land, construction in process, furniture and fixtures, computers and office equipment, scientific equipment, leasehold improvements, vehicles and building are stated at cost and depreciated over the estimated useful lives of the assets, with the exception of land and construction in process which are not • Furniture and fixtures 7 years • Office equipment 5 years • Leasehold improvements Shorter of asset’s useful life or remaining lease term • Scientific equipment 5 years • Vehicles 5 years • Mobile facility 27.5 years • Building 39 years Costs of major additions and betterments are capitalized; maintenance and repairs, which do not
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block]	Impairment of Long-Lived Assets The Company periodically evaluates its long-lived assets for potential impairment in accordance with ASC Topic 360, Property, Plant and Equipment may not not September 30, 2021.
Foreign Currency Transactions and Translations Policy [Policy Text Block]	Foreign Currency Transactions Certain transactions are denominated in a currency other than the Company’s functional currency of the U.S. dollar, and the Company generates assets and liabilities that are fixed in terms of the amount of foreign currency that will be received or paid. At each balance sheet date, the Company adjusts the assets and liabilities to reflect the current exchange rate, resulting in a translation gain or loss. Transaction gains and losses are also realized upon a settlement of a foreign currency transaction in determining net loss for the period in which the transaction is settled.
Comprehensive Income, Policy [Policy Text Block]	Comprehensive Income (Loss) ASC Topic 220, Comprehensive Income
Segment Reporting, Policy [Policy Text Block]	Segment and Geographic Information Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker, or decision making group, in making decisions on how to allocate resources and assess performance. The Company’s chief operating decision maker is the Chief Executive Officer. The Company and the chief operating decision maker view the Company’s operations and manage its business as one
Earnings Per Share, Policy [Policy Text Block]	Net Loss Per Share Net income/loss per share (“EPS”) is computed by dividing net loss by the weighted average number of common shares outstanding during each period. Diluted EPS is computed by dividing net income/loss by the weighted average number of common shares and common share equivalents outstanding (if dilutive) during each period. The number of common share equivalents, which include stock options, is computed using the treasury stock method.
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements Recently Issued Accounting Pronouncements In June 2016, No. 2016 13, 326 November 15, 2019, 326 December 15, 2022 not not

Note 2 - Significant Accounti_2

Note 2 - Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2021
Notes Tables
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block]	Three Months Ended Nine Months Ended September 30, September 30, 2021 2020 2021 2020 Research and development $ 437 $ 935 $ 1,233 $ 2,682 General and administrative 628 1,870 1,673 5,887 Cost of goods sold 69 350 203 1,218 Total share-based compensation expense $ 1,134 $ 3,155 $ 3,109 $ 9,787
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Three Months Ended Nine Months Ended September 30, September 30, 2021 2020 2021 2020 Dividend yield 0% 0% 0% 0% Expected volatility 84% - 91% 87% 84% - 91% 87% - 91% Risk-free interest rate 0.9% - 1.0% 0.33% - 0.44% 0.5% - 1.1% 0.33% - 1.87% Expected life (in years) 6.25 5.38 - 6.25 5.38 - 6.25 5.38 - 10 Weighted-average grant date fair value per share 16.17 12.46 16.69 12.05

Note 4 - Property and Equipme_2

Note 4 - Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2021
Notes Tables
Property, Plant and Equipment [Table Text Block]	September 30, 2021 December 31, 2020 Manufacturing equipment $ 4,118 $ 3,966 Winnebago building 21,602 20,473 Other fixed assets 2,920 2 ,897 Total property and equipment $ 28,640 $ 27,336

Note 6 - Common Stock Options (

Note 6 - Common Stock Options (Tables)	9 Months Ended
	Sep. 30, 2021
Notes Tables
Share-based Payment Arrangement, Option, Activity [Table Text Block]	Options Exercise Price Weighted-Average Exercise Price Options outstanding at December 31, 2020 5,327,425 $2.71 - $21.99 6.09 Granted 162,000 $15.29 - $20.20 16.69 Exercised (1,093,415 ) $3.27 - $15 7.28 Forfeitures (114,374 ) $4.14 - $21.99 9.75 Options outstanding at September 30, 2021 4,281,636 $2.71 - $21.74 10.36

Note 7 - Net Income (Loss) Pe_2

Note 7 - Net Income (Loss) Per Share (Tables)	9 Months Ended
	Sep. 30, 2021
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2021 2020 2021 2020 Net loss $ (3,261 ) $ (2,526 ) $ (10,947 ) $ (9,383 ) Weighted-average number of common shares—basic and diluted 30,341,470 29,037,074 29,921,048 31,345,760 Net loss per share—basic and diluted $ (0.11 ) $ (0.09 ) $ (0.37 ) $ (0.30 )

Note 1 - Organization (Details

Note 1 - Organization (Details Textual) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Sep. 30, 2021	Dec. 31, 2020
Cash and Cash Equivalents, at Carrying Value, Ending Balance		$ 238,877	$ 237,366
True Human [Member]
Sale of Product, Consideration Received	$ 1,350,000

Note 2 - Significant Accounti_3

Note 2 - Significant Accounting Policies (Details Textual) $ in Thousands	9 Months Ended
	Sep. 30, 2021USD ($)	Dec. 31, 2020USD ($)
Impairment of Long-Lived Assets Held-for-use	$ 0
Number of Operating Segments	1
Furniture and Fixtures [Member]
Property, Plant and Equipment, Useful Life (Year)	7 years
Office Equipment [Member]
Property, Plant and Equipment, Useful Life (Year)	5 years
Equipment [Member]
Property, Plant and Equipment, Useful Life (Year)	5 years
Vehicles [Member]
Property, Plant and Equipment, Useful Life (Year)	5 years
Mobile Facility [Member]
Property, Plant and Equipment, Useful Life (Year)	27 years 6 months
Building [Member]
Property, Plant and Equipment, Useful Life (Year)	39 years
Fair Value, Recurring [Member]
Assets, Fair Value Disclosure	$ 0	$ 0
Financial and Nonfinancial Liabilities, Fair Value Disclosure	0	$ 0
Janssen [Member] | Manufacturing Revenue [Member]
Clinical Manufacturing Agreement, Quarterly Payments to Be Received	$ 4,500

Note 2 - Significant Accounti_4

Note 2 - Significant Accounting Policies - Share-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Share-based compensation expense	$ 1,134	$ 3,155	$ 3,109	$ 9,787
Research and Development Expense [Member]
Share-based compensation expense	437	935	1,233	2,682
General and Administrative Expense [Member]
Share-based compensation expense	628	1,870	1,673	5,887
Cost of Sales [Member]
Share-based compensation expense	$ 69	$ 350	$ 203	$ 1,218

Note 2 - Significant Accounti_5

Note 2 - Significant Accounting Policies - Stock Option Valuation Assumptions (Details) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Dividend yield	0.00%	0.00%	0.00%	0.00%
Expected volatility		87.00%
Expected life (Year)	6 years 3 months
Weighted-average grant date fair value per share (in dollars per share)	$ 16.17	$ 12.46	$ 16.69	$ 12.05
Minimum [Member]
Expected volatility	84.00%		84.00%	87.00%
Risk-free interest rate	0.90%	0.33%	0.50%	0.33%
Expected life (Year)		5 years 4 months 17 days	5 years 4 months 17 days	5 years 4 months 17 days
Maximum [Member]
Expected volatility	91.00%		91.00%	91.00%
Risk-free interest rate	1.00%	0.44%	1.10%	1.87%
Expected life (Year)		6 years 3 months	6 years 3 months	10 years

Note 3 - Revenue (Details Textu

Note 3 - Revenue (Details Textual) $ in Thousands	Dec. 30, 2019	Sep. 30, 2021USD ($)	Jun. 30, 2021USD ($)	Mar. 31, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)
Revenue from Contract with Customer, Including Assessed Tax		$ 4,519			$ 10,549	$ 13,894	$ 38,728
Clinical Trial Service Revenue [Member]
Revenue from Contract with Customer, Including Assessed Tax		19			4,549	394	25,228
Manufacturing Revenue [Member]
Revenue from Contract with Customer, Including Assessed Tax		4,500			$ 6,000	$ 13,500	$ 13,500
Janssen [Member] | Clinical Trial Service Revenue [Member]
Transition Services Agreement, Number of Ongoing Clinical Trials Entered Into	2
Transition Services Agreement, Markup Percentage	30.00%
Janssen [Member] | Manufacturing Revenue [Member]
Proceeds from Customers		$ 4,500	$ 4,500	$ 4,500

Note 4 - Property and Equipme_3

Note 4 - Property and Equipment - Property and Equipment, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Dec. 31, 2020
Property, Plant and Equipment, Net	$ 28,640	$ 27,336
Manufacturing Equipment [Member]
Property, Plant and Equipment, Net	4,118	3,966
Winnebago Building [Member]
Property, Plant and Equipment, Net	21,602	20,473
Property, Plant and Equipment, Other Types [Member]
Property, Plant and Equipment, Net	$ 2,920	$ 2,897

Note 5 - Common Stock (Details

Note 5 - Common Stock (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	Feb. 19, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020	Jan. 04, 2020
Common Stock, No Par Value (in dollars per share)		$ 0		$ 0
Stock Repurchase Program, Authorized Amount					$ 420,000
Stock Repurchased During Period, Shares (in shares)	14,000,000
Common Stock, Par or Stated Value Per Share (in dollars per share)	$ 0.01
Stock Repurchased During Period, Price Per Share (in dollars per share)	$ 30
Stock Repurchased During Period, Value	$ 420,000
Percentage of Outstanding Shares Repurchased	32.67%
Shares Buyback Equity Impact, Amount			$ 420,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period (in shares)		1,093,415		1,800,000
Proceeds from Issuance of Common Stock		$ 8,000		$ 10,300
Common Stock [Member]
Stock Repurchased During Period, Price Per Share (in dollars per share)	$ 6.99
Shares Buyback Equity Impact, Amount	$ 97,900
Retained Earnings [Member]
Stock Repurchased During Period, Price Per Share (in dollars per share)	$ 23.34
Shares Buyback Equity Impact, Amount	$ (322,100)		$ 326,760
Minimum [Member]
Stock Repurchase Program, Purchase Price Per Share (in dollars per share)					$ 30
Shares Issued, Price Per Share (in dollars per share)		$ 2.71		$ 2.71
Maximum [Member]
Stock Repurchase Program, Purchase Price Per Share (in dollars per share)					$ 33
Shares Issued, Price Per Share (in dollars per share)		$ 21.99		$ 19.09

Note 6 - Common Stock Options_2

Note 6 - Common Stock Options (Details Textual) $ in Millions	9 Months Ended
	Sep. 30, 2021USD ($)
Share-based Payment Arrangement, Nonvested Award, Option, Cost Not yet Recognized, Amount	$ 4.3
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year)	1 year 7 months 20 days
The Plan [Member] | Any One Person [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Percentage of Outstanding Stock Maximum	5.00%
The Plan [Member] | Share-based Payment Arrangement, Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period (Year)	10 years

Note 6 - Common Stock Options -

Note 6 - Common Stock Options - Changes in Common Stock Options Issued (Details) - $ / shares	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2020
Options outstanding (in shares)	5,327,425
Granted (in shares)	162,000
Exercised (in shares)	(1,093,415)	(1,800,000)
Forfeitures (in shares)	(114,374)
Options outstanding (in shares)	4,281,636	5,327,425
Minimum [Member]
Options outstanding, exercise price (in dollars per share)	$ 2.71
Granted, exercise price (in dollars per share)	15.29
Exercised, exercise price (in dollars per share)	3.27
Forfeitures, exercise price (in dollars per share)	4.14
Options outstanding, exercise price (in dollars per share)	2.71	$ 2.71
Maximum [Member]
Options outstanding, exercise price (in dollars per share)	21.99
Granted, exercise price (in dollars per share)	20.20
Exercised, exercise price (in dollars per share)	15
Forfeitures, exercise price (in dollars per share)	21.99
Options outstanding, exercise price (in dollars per share)	21.74	21.99
Weighted Average [Member]
Options outstanding, exercise price (in dollars per share)	6.09
Granted, exercise price (in dollars per share)	16.69
Exercised, exercise price (in dollars per share)	7.28
Forfeitures, exercise price (in dollars per share)	9.75
Options outstanding, exercise price (in dollars per share)	$ 10.36	$ 6.09

Note 7 - Net Income (Loss) Pe_3

Note 7 - Net Income (Loss) Per Share - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Net loss	$ (3,261)	$ (2,526)	$ (10,947)	$ (9,383)
Weighted-average number of common shares—basic and diluted (in shares)	30,341,470	29,037,074	29,921,048	31,345,760
Net loss per share—basic and diluted (in dollars per share)	$ (0.11)	$ (0.09)	$ (0.37)	$ (0.30)

Note 8 - Income Taxes (Details

Note 8 - Income Taxes (Details Textual) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2021	Dec. 31, 2020
Income Tax Expense (Benefit), Total	$ (1,794)	$ (668)	$ (6,843)	$ (1,352)
Effective Income Tax Rate Reconciliation, Percent, Total	35.50%	20.90%	38.50%	12.60%
Unrecognized Tax Benefits, Ending Balance						$ 2,400
Unrecognized Tax Benefits, Period Increase (Decrease), Total			$ 271
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense, Total			$ 27
Foreign Tax Authority [Member] | Canada Revenue Agency [Member]
Effective Income Tax Rate Reconciliation, Percent, Total			27.00%
Forecast [Member]
Effective Income Tax Rate Reconciliation, Percent, Total					32.30%