Nuvectra (NVTR) 10-Q 1 Nov 17 2017 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2017	Oct. 23, 2017
Document Information [Line Items]
Entity Registrant Name	Nuvectra Corp
Entity Central Index Key	1,648,893
Trading Symbol	nvtr
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		10,784,164
Document Type	10-Q
Document Period End Date	Sep. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unuadited) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 30, 2016
Current assets:
Cash and cash equivalents	$ 37,531	$ 63,710
Trade accounts receivable, net of allowance for doubtful accounts of $429 in fiscal 2017 and $10 in fiscal 2016	6,675	3,177
Inventories	3,010	5,233
Prepaid expenses and other current assets	1,201	443
Total current assets	48,417	72,563
Property, plant and equipment, net	6,227	6,317
Intangible assets, net	1,499	1,714
Goodwill	38,182	38,182
Other long-term assets	245	526
Total assets	94,570	119,302
Current liabilities:
Accounts payable	2,147	9,928
Accrued liabilities	4,975	3,355
Accrued compensation	4,061	2,757
Short-term debt	5,500
Total current liabilities	16,683	16,040
Other long-term liabilities	916	940
Total long-term debt	20,907	13,744
Total liabilities	38,506	30,724
Commitments and contingencies (Note 8)
Stockholders’ equity:
Common stock, $0.001 par value, 100,000,000 shares authorized; 10,745,653 and 10,319,627 shares issued and outstanding in fiscal 2017 and fiscal 2016, respectively	11	10
Additional paid-in capital	125,287	121,806
Accumulated other comprehensive loss		(2)
Accumulated deficit	(69,234)	(33,236)
Total stockholders’ equity	56,064	88,578
Total liabilities and stockholders’ equity	$ 94,570	$ 119,302

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Current Period Unuadited) (Parentheticals) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 30, 2016
Trade accounts receivable, allowance for doubtful accounts	$ 429	$ 10
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, shares issued (in shares)	10,745,653	10,319,627
Common stock, shares outstanding (in shares)	10,745,653	10,319,627

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Product	$ 7,431	$ 2,603	$ 18,684	$ 6,044
Service	186	1,163	1,196	2,338
Total sales	7,617	3,766	19,880	8,382
Product	4,019	1,144	9,393	2,872
Service	132	484	708	1,074
Total cost of sales	4,151	1,628	10,101	3,946
Gross profit	3,466	2,138	9,779	4,436
Operating expenses:
Selling, general and administrative expenses	11,358	8,006	33,349	18,185
Research, development and engineering costs, net	3,136	3,114	10,730	10,097
Other operating expenses		7		476
Total operating expenses	14,494	11,127	44,079	28,758
Operating loss	(11,028)	(8,989)	(34,300)	(24,322)
Interest expense, net	422	455	1,190	978
Other expense, net	179	6	499	53
Loss before provision for income taxes	(11,629)	(9,450)	(35,989)	(25,353)
Provision for income taxes	9		9
Net loss	(11,638)	(9,450)	(35,998)	(25,353)
Other comprehensive gain:
Unrealized holding gain on investments arising during period			2
Other comprehensive gain			2
Comprehensive loss	$ (11,638)	$ (9,450)	$ (35,996)	$ (25,353)
Basic and diluted net loss per share (in dollars per share)	$ (1.09)	$ (0.92)	$ (3.43)	$ (2.47)
Basic and diluted weighted average shares outstanding (in shares)	10,697	10,279	10,497	10,268

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Cash flows from operating activities:
Net loss	$ (35,998,000)	$ (25,353,000)
Adjustments to reconcile net loss to net cash used in operating activities:
Provision for uncollectible accounts	419,000
Writedowns of excess and obsolete inventories	349,000
Depreciation and amortization	1,172,000	1,570,000
Debt related amortization included in interest expense	491,000	349,000
Stock-based compensation	1,711,000	1,799,000
Loss on disposal of property, plant and equipment		28,000
Changes in operating assets and liabilities:
Trade accounts receivable	(3,917,000)	(1,725,000)
Inventories	1,874,000	(1,272,000)
Prepaid expenses and other current assets	(758,000)	(559,000)
Other long-term assets		(526,000)
Accounts payable and other current liabilities	(5,870,000)	9,719,000
Accrued compensation	1,304,000	236,000
Other long-term liabilities	(24,000)	1,360,000
Net cash used in operating activities	(39,247,000)	(14,374,000)
Cash flows from investing activities:
Acquisition of property, plant and equipment	(875,000)	(3,413,000)
Net cash used in investing activities	(875,000)	(3,413,000)
Cash flows from financing activities:
Borrowings under credit facility	12,500,000	15,000,000
Purchase of non-controlling interests		(6,818,000)
Net funding and capital contribution provided by Integer		86,421,000
Proceeds from the exercise of stock options	1,322,000	133,000
Payment of debt issuance costs and other financing activities	121,000	(1,528,000)
Net cash provided by financing activities	13,943,000	93,208,000
Net (decrease) increase in cash and cash equivalents	(26,179,000)	75,421,000
Cash and cash equivalents, beginning of period	63,710,000	202,000
Cash and cash equivalents, end of period	37,531,000	75,623,000
Supplemental Disclosure of Cash Flow Information:
Acquisition of property, plant and equipment accrued not paid	$ (8,000)	$ 200,000

Condensed Consolidated Stateme6

Condensed Consolidated Statement of Stockholders' Equity (Unaudited) - 9 months ended Sep. 30, 2017 - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Total
Balance (in shares) at Dec. 30, 2016	10,320,000
Balance at Dec. 30, 2016	$ 10	$ 121,806	$ (33,236)	$ (2)	$ 88,578
Issuance of common stock warrants		449			$ 449
Option exercises (in shares)	232,000				232,574
Option exercises	$ 1	1,321			$ 1,322
Restricted stock issued, net of stock forfeited (in shares)	194,000
Restricted stock issued, net of stock forfeited
Stock-based compensation		1,711			1,711
Unrealized holding period gain				2	2
Net loss			(35,998)		(35,998)
Balance (in shares) at Sep. 30, 2017	10,746,000
Balance at Sep. 30, 2017	$ 11	$ 125,287	$ (69,234)		$ 56,064

Note 1 - Summary of Significant

Note 1 - Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Significant Accounting Policies [Text Block]	1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations – Nuvectra Corporation, together with its wholly-owned subsidiaries (i) Algostim, LLC (“Algostim”), (ii) PelviStim LLC (“PelviStim”), and (iii) NeuroNexus Technologies, Inc. (“NeuroNexus”) (collectively “Nuvectra” or the “Company”), is a neurostimulation company committed to helping physicians improve the lives of people with chronic conditions. The Algovita® Spinal Cord Stimulation (“SCS”) System (“Algovita”) is the Company’s first On March 14, 2016 Basis of Presentation – The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information (Accounting Standards Codification (“ASC”) 270, Interim Reporting 10 10 X. not not may Liquidity and Capital Resources – The Company has incurred significant net losses and negative cash flows from operations since inception and expects to incur additional net losses for the foreseeable future. Immediately prior to completion of the Spin-off, Integer made a cash capital contribution to Nuvectra of $75 $12.5 six twelve six no may may not may may no Fiscal Year End – Prior to fiscal year 2017, fifty fifty-three December 31. third first nine 2016 13 39 September 30, 2016 December 30, 2016. 2017, Use of Estimates – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of sales and expenses during the reporting period. Actual results could differ materially from those estimates. Significant items subject to such estimates and assumptions include inventories, tangible and intangible asset valuations, accrued liabilities, revenue, stock-based compensation, warrants, and income tax accounts. Inventories – The value of inventories, comprised solely of finished goods, are stated at the lesser of net realizable value or cost, determined using the first first not $0.1 $0 third 2017 2016, may Impairment of Long-Lived Assets – The Company assesses the impairment of definite-lived long-lived assets or asset groups when events or changes in circumstances indicate that the carrying value may not not, not 50 Potential recoverability is measured by comparing the carrying amount of the asset or asset group to its related total future undiscounted cash flows. The projected cash flows for each asset or asset group considers multiple factors, including current revenue from existing customers, proceeds from the sale of the asset or asset group and expected profit margins giving consideration to historical and expected margins. If the carrying value is not ’s carrying amount to its fair value. When it is determined that useful lives of assets are shorter than originally estimated, and no Goodwill Valuation – The Company tests its goodwill balances for impairment on the last day of each fiscal year, or more frequently if certain indicators are present or changes in circumstances, as described above, suggest that impairment may not first December 30, 2016, first two first 4.5% 34.1% September 30, 2017 not Warranty Reserve – The Company offers a warranty on certain of its products and has established a warranty reserve, as a component of other current liabilities, for any potential claims. The Company estimates its warranty reserve based upon an analysis of all identified or expected claims and an estimate of the cost to resolve those claims. Factors that affect the Company’s warranty liability include the number of units sold, historical and anticipated rates of warranty claims, and differences between actual and expected warranty costs per claim. The Company periodically assesses the adequacy of its warranty liabilities and adjusts the amounts as necessary. Revenue Recognition – The Company recognizes revenue when it is realized or realizable and earned. This occurs when persuasive evidence of an arrangement exists, delivery has occurred, the risk of loss is transferred, the price is fixed or determinable, the buyer is obligated to pay (i.e., not no Service revenue is recognized as the services are performed. The Company ’s development services are typically provided on a fixed-fee basis. The revenues for such longer duration projects are typically recognized using the proportional performance method. In using the proportional performance method, revenues are generally recorded based on the percentage of effort incurred to date on a contract relative to the estimated total expected contract effort. Estimating total contract effort and progress to completion on the arrangements, as well as whether a loss is expected to be incurred on the contract, requires significant judgment. Management uses historical experience, project plans and an assessment of the risks and uncertainties inherent in the arrangements to establish these estimates. Various uncertainties may may not Deferred revenue also consists of amounts contractually billable or collected for service revenue not Subsequent Events – The Company considers events or transactions that occur after the balance sheet date but prior to the issuance of the financial statements to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure.

Note 2 - Intangible Assets

Note 2 - Intangible Assets	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Intangible Assets Disclosure [Text Block]	2 . INTANGIBLE ASSETS I ntangible assets are comprised of the following (in thousands): Gross Carrying Amount Accumulated Amortization Net Carrying Amount At September 30 , 2017 T echnology and patents $ 1,058 $ (593 ) $ 465 Customer lists 1,869 (835 ) 1,034 Total intangible assets $ 2,927 $ (1,428 ) $ 1,499 At December 30 , 201 6 T echnology and patents $ 1,058 $ (498 ) $ 560 Customer lists 1,869 (715 ) 1,154 Total intangible assets $ 2,927 $ (1,213 ) $ 1,714 Aggregate intangible asset amortization expense is classified as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2017 September 30 , 2016 September 30, 2017 September 30 , 2016 Cost of sales $ 32 $ 25 $ 95 $ 80 Selling, general and administrative expenses 39 37 120 117 Total intangible asset amortization expense $ 71 $ 62 $ 215 $ 197 Estimated future intangible asset amortization expense based on the current carrying value is as follows (in thousands): Estimated Amortization Expense Remainder of 2017 $ 71 201 8 298 201 9 293 2020 209 2021 194 Thereafter 434 Total estimated amortization expense $ 1,499

Note 3 - Accrued Liabilities

Note 3 - Accrued Liabilities	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	3. Accrued Liabilities Accrued liabilities consisted of the following (in thousands): At September 30 , 2017 December 30, 2016 Inventory $ 1,555 $ 547 Deferred revenue 661 — Regulatory, clinical and quality 401 640 Research and development 365 165 Insurance 311 — Sales and marketing 239 — Operations engagement fee 200 600 Warranty reserve 186 98 Information technology system and infrastructure implementations 113 327 Interest 105 99 Legal 85 98 Sales and use tax 69 56 Travel and entertainment — 285 Accrued other 685 440 Total accrued liabilities $ 4,975 $ 3,355

Note 4 - Employee Benefit Plans

Note 4 - Employee Benefit Plans	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	4 . EMPLOYEE BENEFIT PLANS Nuvectra Corporation 2016 – The Nuvectra Corporation 2016 “2016 March 14, 2016. 2016 may may 2016 2016 2,362,785. During the nine September 30, 2017, 546,146 2016 2016 three nine September 30, 2017 $0.6 $1.5 During the nine September 30, 2016, 796,026 2016 2016 three nine September 30, 2016 $0.4 $0.8 Stock-Based Compensation – Certain of the Company’s employees participated in the stock-based compensation programs of Integer and prior to the Spin-off received awards of time-based stock options and time- and performance-based restricted stock units, which typically vest over a three $0.04 $0.24 three nine September 30, 2017, $0.1 $1.0 three nine September 30, 2016, The components and classification of stock-based compensation expense were as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Stock options $ 227 $ 186 $ 637 $ 434 Restricted stock and restricted stock units 379 362 1,074 1,365 Total stock-based compensation expense $ 606 $ 548 $ 1,711 $ 1,799 Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Selling, general and administrative expense $ 507 $ 462 $ 1,491 $ 1,081 Research, development and engineering costs, net 99 86 220 249 Other operating expenses — — — 469 Total stock-based compensation expense $ 606 $ 548 $ 1,711 $ 1,799 The fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option-pricing model with weighted-average assumptions based on the grant date. The weighted average fair value and assumptions used to value options granted under the 2016 Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Weighted average fair value $ 7.85 $ 4.58 $ 3.63 $ 4.50 Risk-free interest rate 2.01 % 1.61 % 2.06 % 1.72 % Expected volatility 65 % 55 % 55.15 % 55 % Holding period (in years) 6 10 6 10 Expected dividend yield — % — % — % — % The following table summarizes the stock option activity during the first nine 2017: Number of Time-Vested Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding at December 30, 2016 873,992 $ 6.49 Granted 337,565 6.83 Exercised (232,574 ) 5.98 Forfeited or expired (65,440 ) 7.15 Outstanding at September 30, 2017 913,543 $ 6.70 7.58 $ 5,990,267 Exercisable at September 30, 2017 419,378 $ 6.23 5.77 $ 2,950,161 The Company received proceeds totaling $ 1.3 232,574 first nine 2017. The following table summarizes the restricted stock and restricted stock unit activity during the first nine 2017: Time-Vested Activity Weighted Average Fair Value Nonvested at December 30, 2016 551,224 $ 6.90 Granted 208,581 6.75 Vested (187,141 ) 7.84 Forfeited (96,007 ) 6.51 Nonvested at September 30, 2017 476,657 $ 6.90 Nuvectra Bonus Plan – The terms of the Nuvectra Corporation Bonus Plan (the “Bonus Plan”) provide for both annual discretionary defined contribution cash bonuses and performance-based bonuses based upon Nuvectra’s company-wide performance measures and, for certain employees, individual performance measures that are set by Nuvectra’s executive management and, in some instances, members of the Board of Directors. Compensation cost related to the Bonus Plan for the three nine September 30, 2017 $0.1 $1.4 nine September 30, 2016 $0.4 Defined Contribution Plans – The Company sponsors a defined contribution 401 401 1986, 401 three nine September 30, 2017 25 6% $0.07 $0.2 three nine September 30, 2017, Integer sponsors a defined contribution 401 in which the Company’s employees historically participated. The plan provides for the deferral of employee compensation under Section 401 first 2016 35% 6% 401 first 2016 condensed consolidated financial statements includes all of the compensation expenses directly attributable to Nuvectra employees. Direct costs related to this defined contribution plan allocated to the Company were $0.03 $0.1 three nine September 30, 2016,

Note 5 - Other Operating Expens

Note 5 - Other Operating Expenses	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Other Operating Income and Expense [Text Block]	5 . OTHER OPERATING EXPENSES Performance Restricted Stock Expense – As a result of the Spin-off, certain 2015 no $469,000 March 14, 2016 Asset Disposals 2016,

Note 6 - Debt

Note 6 - Debt	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Debt Disclosure [Text Block]	6 . DEBT Long-term debt is comprised of the following (in thousands): At September 30, 2017 December 30, 2016 Term loan $ 29,631 $ 16,163 Deferred financing fees (1,049 ) (1,262 ) Discount on debt (2,175 ) (1,157 ) Total debt 26,407 13,744 Less current portion of long-term debt 5,500 — Total long-term debt $ 20,907 $ 13,744 Credit Facility – The Company has a credit facility, as amended in February 2017 ( $40,000,000 $15,000,000 March 18, 2016, ( $12,500,000 September 28, 2017, $12,500,000 December 31, 2017 June 30, 2018 ( $5,000,000 six $20,000,000. six no may 60 80% may The Term Loans bear interest at a floating rate equal to the prime rate plus 4.15%, 7.65%. September 30, 2017 8.40%. March 2018 30 September 1, 2020, 7.75% 3.45%, 6.95%. March 18, 2018, no September 30, 2017. On March 18, 2016 he Company paid an arrangement fee of $1,125,000 2.50% $200,000 one $25,000 one one February 14, 2017, $25,000 2% 3% first 2% second 1% The Loans are secured by a first ’s real property located in Blaine, Minnesota, but excluding all intellectual property of the Company (other than accounts receivable and proceeds of intellectual property). The Company’s intellectual property is subject to a negative pledge. The Company must maintain its primary operating and investment accounts with Silicon Valley Bank, which accounts are subject to customary control agreements. The Credit Facility contains customary representations and warranties, reporting and other covenants for credit facilities of this kind including prohibitions on the payment of cash dividends on the Company ’s capital stock and restrictions on mergers, sales of assets, investments, incurrence of liens, incurrence of indebtedness and transactions with affiliates. Upon funding of the Term Loan B Commitment, the Company became subject to a quarterly financial covenant requiring the Company to achieve consolidated revenues of at least 75% September 30, 2017, As a condition to the lenders ’ funding the Loans under the Credit Facility, concurrently with the funding under the Term Loan A Commitment on March 18, 2016, ( 56,533 $5.97 March 18, 2026, 56,533 $5.97 March 18, 2026. $0.2 As a condition to the lenders ’ funding the Loans under the Credit Facility, concurrently with the funding under the Term Loan B Commitment on September 28, 2017, ( 22,844 $12.31 September 28, 2027, 22,844 $12.31 September 28, 2027. $0.4 Upon the funding of the Term Loan C Commitment, Oxford Finance LLC and Silicon Valley Bank will each be entitled to additional warrants for the purchase of Nuvectra common stock. The number of shares under each warrant will be equal to the amount of the Term Loan made by each lender multiplied by 4.50% September 30, 2017 $0.3 not 10 Deferred Financing Fees – The change in deferred financing fees is as follows (in thousands): At December 30, 2016 $ 1,262 Additions during the period 47 Amortization during the period (260 ) At September 30, 2017 $ 1,049 In accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2015 03, 835 30 Condensed Consolidated Balance Sheet.

Note 7 - Income Taxes

Note 7 - Income Taxes	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Income Tax Disclosure [Text Block]	7 . INCOME TAXES The income tax provision for interim periods is determined using an estimate of the annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter, the estimate of the annual effective tax rate is updated, and if the estimated effective tax rate changes, a cumulative adjustment is made. There is a potential for volatility of the effective tax rate due to several factors, including changes in the mix of the pre-tax income and the jurisdictions to which it relates, changes in tax laws, business reorganizations and settlements with taxing authorities. The Company records a valuation allowance when it is “more likely than not” not ’s current and past performance, the market environment in which the Company operates, the utilization of past tax credits, length of carry back and carry forward periods, existing contracts or sales backlog that will result in future profits, as well as other factors. The Company maintains a full valuation allowance on all of the net deferred tax assets for the periods presented. Until an appropriate level of profitability is sustained, the Company expects to continue to record a full valuation allowance on future tax benefits. Pursuant to the terms of the tax matters agreement entered into with Integer at the time of the Spin-off, until March 14, 2018, one 30% 35% may

Note 8 - Commitments and Contin

Note 8 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	8 . COMMITMENTS AND CONTINGENCIES Litigation – not no not Purchase Commitments – Contractual obligations for purchase of goods or services are defined as agreements that are enforceable and legally binding on the Company and that specify all significant terms, including: fixed or minimum quantities to be purchased; fixed, minimum, or variable price provisions; and the approximate timing of the transaction. The Company’s purchase orders are normally based on its current manufacturing or other operational needs. As of September 30, 2017, $5.2 September 30, 2017, no 2017 $1.4 The Company’s significant long-term obligations are operating leases on its facilities.

Note 9 - Earnings (Loss) Per Sh

Note 9 - Earnings (Loss) Per Share ("EPS")	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Earnings Per Share [Text Block]	9 . EARNINGS (LOSS) PER SHARE (“EPS”) Basic net loss per share is calculated by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted net loss per share is equal to basic net loss per share as the Company had no The following table illustrates the calculation of Basic and Diluted EPS (in thousands, except per share amounts): Three Months Ended Nine Months Ended September 30, 2017 September 30 , 2016 September 30 , 2017 September 30 , 2016 Basic net loss per share: Net loss $ (11,638 ) $ (9,450 ) $ (35,998 ) $ (25,353 ) Weighted average common shares outstanding 10,697 10,279 10,497 10,268 Basic net loss per share $ (1.09 ) $ (0.92 ) $ (3.43 ) $ (2.47 ) Diluted net loss per share: Net loss $ (11,638 ) $ (9,450 ) $ (35,998 ) $ (25,353 ) Weighted average common shares outstanding 10,697 10,279 10,497 10,268 Dilutive stock options, restricted stock and restricted stock units — — — — Weighted average common shares outstanding – assuming dilution 10,697 10,279 10,497 10,268 Diluted net loss per share $ (1.09 ) $ (0.92 ) $ (3.43 ) $ (2.47 ) Outstanding securities and warrants that were not included in the diluted calculation because their effect would be anti-dilutive 1,549 1,594 1,549 1,594

Note 10 - Fair Value Measuremen

Note 10 - Fair Value Measurements	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Fair Value Disclosures [Text Block]	10 . FAIR VALUE MEASUREMENTS The carrying amounts of cash, accounts receivable, accounts payable, and accrued expenses approximate fair value because of the short-term nature of these items. As of September 30, 2017, 2 Assets and Liabilities Measured at Fair Value on a Recurring Basis Fair value measurement standards apply to certain financial assets and liabilities that are measured at fair value on a recurring basis (each reporting period). The Company has categorized its warrants measured at fair value on a recurring basis in Level 3 $0. 2 nine September 30, 2017, $0.5 September 30, 2017 $0.3 The Company ’s investments in marketable securities primarily consist of investments in debt securities, which are classified as available-for-sale and presented as current assets within Cash and Cash Equivalents on the balance sheet because of their original maturities of three The fair values of marketable securities were estimated using the market approach using prices and other relevant information generated by market transactions involving identical or comparable assets. The Company uses quoted market prices in active markets or quoted market prices in markets that are not September 30, 2017, $21.2 three Marketable securities, measured at fair value, by level within the fair value hierarchy were as follows (in thousands): September 30 , 2017 Fair Value Hierarchy Cost Unrealized Loss Fair Value Cash Level 1 $ 13,073 $ — $ 13,073 Financial Level 2 3,644 — 3,644 Industrial Level 2 4,496 — 4,496 Total $ 21,213 $ — $ 21,213 December 30, 2016 Fair Value Hierarchy Cost Unrealized Loss Fair Value Cash Level 1 $ 33,821 $ — $ 33,821 Government Level 1 2,005 — 2,005 Financial Level 2 8,064 (1 ) 8,063 Industrial Level 2 11,125 (1 ) 11,124 Total $ 55,015 $ (2 ) $ 55,013 Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Fair value standards also apply to certain assets and liabilities that are measured at fair value on a nonrecurring basis. A summary of the valuation methodologies for assets and liabilities measured on a nonrecurring basis is as follows: Long-lived Assets – The Company reviews the carrying amount of its long-lived assets to be held and used, other than goodwill, for potential impairment whenever certain indicators are present as described in Note 1 Goodwill – Goodwill recorded is not 1 third first nine 2017 2016, no Warrants – In order to determine the fair value of the warrants classified as equity awards, the Company used a Monte Carlo simulation model. The risk-free interest rate represents the 10 March 18, 2016. The following table summarizes the assumptions as of September 30, 2017 Risk-free interest rate 2.33 % Expected volatility 65.00 % Contractual term (in years) 10 Dividend yield — %

Note 11 - Business Segment, Geo

Note 11 - Business Segment, Geographic and Concentration Risk Information	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Segment Reporting, Geographical, and Concentration Risk Disclosure [Text Block]	11 . BUSINESS SEGMENT, GEOGRAPHIC AND CONCENTRATION RISK INFORMATION As a new public entity, the Company commenced its first fourth fiscal year 2016. two two Nuvectra is a neurostimulation company committed to helping physicians improve the lives of people with chronic conditions. Algovita is the Company ’s first TM , the second first NeuroNexus designs, manufactures and markets neural-interface technologies for the neuroscience clinical research market. Revenue includes sales of neural interface technology, components and systems to the neuroscience and clinical markets. An analysis and reconciliation of the Company ’s product lines, business segments and geographic information to the respective information in the Condensed Consolidated Financial Statements follows. Sales by geographic area are presented by allocating sales from external customers based on where the products are shipped or services are rendered (in thousands): Three Months Ended Nine Months Ended Product line sales: September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Algovita $ 6,302 $ 1,165 $ 15,180 $ 2,149 Neural interface components and systems 1,129 1,438 3,504 3,895 Development and engineering service 186 1,163 1,196 2,338 Total sales $ 7,617 $ 3,766 $ 19,880 $ 8,382 Three Months Ended Nine Months Ended Business segment sales: September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Nuvectra $ 6,488 $ 2,328 $ 16,376 $ 4,487 NeuroNexus 1,129 1,438 3,504 3,895 Total sales $ 7,617 $ 3,766 $ 19,880 $ 8,382 Three Months Ended Nine Months Ended Segment (loss) income from operations: September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Nuvectra $ (11,092 ) $ (9,287 ) $ (34,510 ) $ (24,504 ) NeuroNexus 64 298 210 182 Total segment loss from operations (11,028 ) (8,989 ) (34,300 ) (24,322 ) Unallocated operating expenses — — — — Operating loss (11,028 ) (8,989 ) (34,300 ) (24,322 ) Unallocated other expense, net (601 ) (461 ) (1,689 ) (1,031 ) Loss before provision for income taxes $ (11,629 ) $ (9,450 ) $ (35,989 ) $ (25,353 ) Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30 , 2017 September 30 , 2016 Sales by geographic area: United States $ 6,781 $ 1,612 $ 16,152 $ 3,439 Non-Domestic locations: Switzerland 155 1,216 1,214 2,486 Germany 159 433 1,033 1,298 Rest of world 522 505 1,481 1,159 Total sales $ 7,617 $ 3,766 $ 19,880 $ 8,382 All of the Company ’s long-lived tangible assets are located in the United States.

Note 12 - Related Party Transac

Note 12 - Related Party Transactions	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	12 . related party transactions On March 14, 2016 he Company entered into, or amended, various agreements with Integer to effect the Spin-off and to provide a framework for the Company’s relationship with Integer going forward after the Spin-off including a supply agreement, license agreements, a separation and distribution agreement, a tax matters agreement, a transition services agreement and an employee matters agreement, which provided for the allocation between Nuvectra and Integer of assets, employees, liabilities and obligations (including PP&E, employee benefits, and tax-related assets and liabilities) attributable to the Company’s business for the period prior to, at, and after the Spin-off. Immediately prior to the completion of the Spin-off, Integer made a cash capital contribution to Nuvectra of $75.0 Employee Benefit Plans – Certain of the Company’s employees historically participated in various Integer defined contribution and stock-based compensation plans. Compensation expense allocated to Nuvectra for these plans from Integer was based upon the costs directly attributable to Nuvectra employees. See Note 4 Supply Agreement – The Company has a supply agreement with Integer pursuant to which Integer manufactures Algovita and certain of its components. Total charges incurred under this supply agreement are included in cost of sales.

Note 13 - Recently Issued Accou

Note 13 - Recently Issued Accounting Standards	9 Months Ended
	Sep. 30, 2017
Notes to Financial Statements
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	13 . RECENTLY ISSUED ACCOUNTING STANDARDS In the normal course of business, management evaluates all new accounting pronouncements issued by the FASB to determine the potential impact they may ’s Condensed Consolidated Financial Statements. Based upon this review, except as noted below, management does not not Recently Adopted In January 2017, Accounting Standard Update (“ASU”) 2017 04, 350 two not December 15, 2019. January 1, 2017. 2017 04 In March 2016, 2016 09, 718, – Stock Compensation. ASU 2016 09 first 2017 no no no not 2016 09 not In July 2015, 2015 11, 330 not first first 2017. 2015 11 not ’s Condensed Consolidated Financial Statements. Not In May 2017, ASU 2017 09, 718 2017 09 2017 09, not 2017 09 December 15, 2017. 2017 09 2018. not 2017 09 Condensed Consolidated Financial Statements. In January 20 17, 2017 01, 805 2017 01 not not not 2017 01 December 15, 2017, first 2018 not 2017 01 Condensed Consolidated Financial Statements. In August 2016, 2016 15, 230 s are presented and classified in the statement of cash flows. ASU 2016 15 eight December 15, 2017, first 2018 not 2016 15 Condensed Consolidated Financial Statements. In February 2016, 2016 02, 2016 02 2016 02 December 15, 2018 ( , using a modified retrospective approach, and early adoption is permitted. The Company is currently in the process of evaluating the impact of adoption of the ASU on its Condensed Consolidated Financial Statements. In January 2016, 2016 01, December 15, 2017, not Condensed Consolidated Financial Statements. In May 2014, No. 2014 09, Revenue from Contracts with Customers 606 No. 2014 09 606, December 15, 2017, The Company will adopt Topic 606 January 1, 2018 under the modified retrospective method and will only apply this method to contracts that are not 1 2 3 may 4 no not may two may 606. may not 606. The Company is in the process of evaluating and designing the necessary changes to its business processes, systems and controls to support recognition and disclosure under the new standard.

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Nature of Operations [Policy Text Block]	Nature of Operations – Nuvectra Corporation, together with its wholly-owned subsidiaries (i) Algostim, LLC (“Algostim”), (ii) PelviStim LLC (“PelviStim”), and (iii) NeuroNexus Technologies, Inc. (“NeuroNexus”) (collectively “Nuvectra” or the “Company”), is a neurostimulation company committed to helping physicians improve the lives of people with chronic conditions. The Algovita® Spinal Cord Stimulation (“SCS”) System (“Algovita”) is the Company’s first On March 14, 2016
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation – The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information (Accounting Standards Codification (“ASC”) 270, Interim Reporting 10 10 X. not not may
Liquidity and Capital Resources [Policy Text Block]	Liquidity and Capital Resources – The Company has incurred significant net losses and negative cash flows from operations since inception and expects to incur additional net losses for the foreseeable future. Immediately prior to completion of the Spin-off, Integer made a cash capital contribution to Nuvectra of $75 $12.5 six twelve six no may may not may may no
Fiscal Period, Policy [Policy Text Block]	Fiscal Year End – Prior to fiscal year 2017, fifty fifty-three December 31. third first nine 2016 13 39 September 30, 2016 December 30, 2016. 2017,
Use of Estimates, Policy [Policy Text Block]	Use of Estimates – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of sales and expenses during the reporting period. Actual results could differ materially from those estimates. Significant items subject to such estimates and assumptions include inventories, tangible and intangible asset valuations, accrued liabilities, revenue, stock-based compensation, warrants, and income tax accounts.
Inventory, Policy [Policy Text Block]	Inventories – The value of inventories, comprised solely of finished goods, are stated at the lesser of net realizable value or cost, determined using the first first not $0.1 $0 third 2017 2016, may
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block]	Impairment of Long-Lived Assets – The Company assesses the impairment of definite-lived long-lived assets or asset groups when events or changes in circumstances indicate that the carrying value may not not, not 50 Potential recoverability is measured by comparing the carrying amount of the asset or asset group to its related total future undiscounted cash flows. The projected cash flows for each asset or asset group considers multiple factors, including current revenue from existing customers, proceeds from the sale of the asset or asset group and expected profit margins giving consideration to historical and expected margins. If the carrying value is not ’s carrying amount to its fair value. When it is determined that useful lives of assets are shorter than originally estimated, and no
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block]	Goodwill Valuation – The Company tests its goodwill balances for impairment on the last day of each fiscal year, or more frequently if certain indicators are present or changes in circumstances, as described above, suggest that impairment may not first December 30, 2016, first two first 4.5% 34.1% September 30, 2017 not
Standard Product Warranty, Policy [Policy Text Block]	Warranty Reserve – The Company offers a warranty on certain of its products and has established a warranty reserve, as a component of other current liabilities, for any potential claims. The Company estimates its warranty reserve based upon an analysis of all identified or expected claims and an estimate of the cost to resolve those claims. Factors that affect the Company’s warranty liability include the number of units sold, historical and anticipated rates of warranty claims, and differences between actual and expected warranty costs per claim. The Company periodically assesses the adequacy of its warranty liabilities and adjusts the amounts as necessary.
Revenue Recognition, Policy [Policy Text Block]	Revenue Recognition – The Company recognizes revenue when it is realized or realizable and earned. This occurs when persuasive evidence of an arrangement exists, delivery has occurred, the risk of loss is transferred, the price is fixed or determinable, the buyer is obligated to pay (i.e., not no Service revenue is recognized as the services are performed. The Company ’s development services are typically provided on a fixed-fee basis. The revenues for such longer duration projects are typically recognized using the proportional performance method. In using the proportional performance method, revenues are generally recorded based on the percentage of effort incurred to date on a contract relative to the estimated total expected contract effort. Estimating total contract effort and progress to completion on the arrangements, as well as whether a loss is expected to be incurred on the contract, requires significant judgment. Management uses historical experience, project plans and an assessment of the risks and uncertainties inherent in the arrangements to establish these estimates. Various uncertainties may may not Deferred revenue also consists of amounts contractually billable or collected for service revenue not
Subsequent Events, Policy [Policy Text Block]	Subsequent Events – The Company considers events or transactions that occur after the balance sheet date but prior to the issuance of the financial statements to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure.

Note 2 - Intangible Assets (Tab

Note 2 - Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2017
Notes Tables
Schedule of Finite-Lived Intangible Assets [Table Text Block]	Gross Carrying Amount Accumulated Amortization Net Carrying Amount At September 30 , 2017 T echnology and patents $ 1,058 $ (593 ) $ 465 Customer lists 1,869 (835 ) 1,034 Total intangible assets $ 2,927 $ (1,428 ) $ 1,499 At December 30 , 201 6 T echnology and patents $ 1,058 $ (498 ) $ 560 Customer lists 1,869 (715 ) 1,154 Total intangible assets $ 2,927 $ (1,213 ) $ 1,714
Finite-lived Intangible Assets Amortization Expense [Table Text Block]	Three Months Ended Nine Months Ended September 30, 2017 September 30 , 2016 September 30, 2017 September 30 , 2016 Cost of sales $ 32 $ 25 $ 95 $ 80 Selling, general and administrative expenses 39 37 120 117 Total intangible asset amortization expense $ 71 $ 62 $ 215 $ 197
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Estimated Amortization Expense Remainder of 2017 $ 71 201 8 298 201 9 293 2020 209 2021 194 Thereafter 434 Total estimated amortization expense $ 1,499

Note 3 - Accrued Liabilities (T

Note 3 - Accrued Liabilities (Tables)	9 Months Ended
	Sep. 30, 2017
Notes Tables
Schedule of Accrued Liabilities [Table Text Block]	At September 30 , 2017 December 30, 2016 Inventory $ 1,555 $ 547 Deferred revenue 661 — Regulatory, clinical and quality 401 640 Research and development 365 165 Insurance 311 — Sales and marketing 239 — Operations engagement fee 200 600 Warranty reserve 186 98 Information technology system and infrastructure implementations 113 327 Interest 105 99 Legal 85 98 Sales and use tax 69 56 Travel and entertainment — 285 Accrued other 685 440 Total accrued liabilities $ 4,975 $ 3,355

Note 4 - Employee Benefit Pla23

Note 4 - Employee Benefit Plans (Tables)	9 Months Ended
	Sep. 30, 2017
Notes Tables
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block]	Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Stock options $ 227 $ 186 $ 637 $ 434 Restricted stock and restricted stock units 379 362 1,074 1,365 Total stock-based compensation expense $ 606 $ 548 $ 1,711 $ 1,799 Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Selling, general and administrative expense $ 507 $ 462 $ 1,491 $ 1,081 Research, development and engineering costs, net 99 86 220 249 Other operating expenses — — — 469 Total stock-based compensation expense $ 606 $ 548 $ 1,711 $ 1,799
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Weighted average fair value $ 7.85 $ 4.58 $ 3.63 $ 4.50 Risk-free interest rate 2.01 % 1.61 % 2.06 % 1.72 % Expected volatility 65 % 55 % 55.15 % 55 % Holding period (in years) 6 10 6 10 Expected dividend yield — % — % — % — %
Restricted Stock and RSU's [Member]
Notes Tables
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]	Time-Vested Activity Weighted Average Fair Value Nonvested at December 30, 2016 551,224 $ 6.90 Granted 208,581 6.75 Vested (187,141 ) 7.84 Forfeited (96,007 ) 6.51 Nonvested at September 30, 2017 476,657 $ 6.90
Employee Stock Option [Member]
Notes Tables
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]	Number of Time-Vested Stock Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding at December 30, 2016 873,992 $ 6.49 Granted 337,565 6.83 Exercised (232,574 ) 5.98 Forfeited or expired (65,440 ) 7.15 Outstanding at September 30, 2017 913,543 $ 6.70 7.58 $ 5,990,267 Exercisable at September 30, 2017 419,378 $ 6.23 5.77 $ 2,950,161

Note 6 - Debt (Tables)

Note 6 - Debt (Tables)	9 Months Ended
	Sep. 30, 2017
Notes Tables
Schedule of Long-term Debt Instruments [Table Text Block]	At September 30, 2017 December 30, 2016 Term loan $ 29,631 $ 16,163 Deferred financing fees (1,049 ) (1,262 ) Discount on debt (2,175 ) (1,157 ) Total debt 26,407 13,744 Less current portion of long-term debt 5,500 — Total long-term debt $ 20,907 $ 13,744
Schedule of Debt Issuance Costs [Table Text Block]	At December 30, 2016 $ 1,262 Additions during the period 47 Amortization during the period (260 ) At September 30, 2017 $ 1,049

Note 9 - Earnings (Loss) Per 25

Note 9 - Earnings (Loss) Per Share ("EPS") (Tables)	9 Months Ended
	Sep. 30, 2017
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended Nine Months Ended September 30, 2017 September 30 , 2016 September 30 , 2017 September 30 , 2016 Basic net loss per share: Net loss $ (11,638 ) $ (9,450 ) $ (35,998 ) $ (25,353 ) Weighted average common shares outstanding 10,697 10,279 10,497 10,268 Basic net loss per share $ (1.09 ) $ (0.92 ) $ (3.43 ) $ (2.47 ) Diluted net loss per share: Net loss $ (11,638 ) $ (9,450 ) $ (35,998 ) $ (25,353 ) Weighted average common shares outstanding 10,697 10,279 10,497 10,268 Dilutive stock options, restricted stock and restricted stock units — — — — Weighted average common shares outstanding – assuming dilution 10,697 10,279 10,497 10,268 Diluted net loss per share $ (1.09 ) $ (0.92 ) $ (3.43 ) $ (2.47 ) Outstanding securities and warrants that were not included in the diluted calculation because their effect would be anti-dilutive 1,549 1,594 1,549 1,594

Note 10 - Fair Value Measurem26

Note 10 - Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2017
Notes Tables
Fair Value, Assets Measured on Recurring Basis [Table Text Block]	September 30 , 2017 Fair Value Hierarchy Cost Unrealized Loss Fair Value Cash Level 1 $ 13,073 $ — $ 13,073 Financial Level 2 3,644 — 3,644 Industrial Level 2 4,496 — 4,496 Total $ 21,213 $ — $ 21,213 December 30, 2016 Fair Value Hierarchy Cost Unrealized Loss Fair Value Cash Level 1 $ 33,821 $ — $ 33,821 Government Level 1 2,005 — 2,005 Financial Level 2 8,064 (1 ) 8,063 Industrial Level 2 11,125 (1 ) 11,124 Total $ 55,015 $ (2 ) $ 55,013
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block]	Risk-free interest rate 2.33 % Expected volatility 65.00 % Contractual term (in years) 10 Dividend yield — %

Note 11 - Business Segment, G27

Note 11 - Business Segment, Geographic and Concentration Risk Information (Tables)	9 Months Ended
	Sep. 30, 2017
Notes Tables
Revenue from External Customers by Products and Services [Table Text Block]	Three Months Ended Nine Months Ended Product line sales: September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Algovita $ 6,302 $ 1,165 $ 15,180 $ 2,149 Neural interface components and systems 1,129 1,438 3,504 3,895 Development and engineering service 186 1,163 1,196 2,338 Total sales $ 7,617 $ 3,766 $ 19,880 $ 8,382
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Three Months Ended Nine Months Ended Business segment sales: September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Nuvectra $ 6,488 $ 2,328 $ 16,376 $ 4,487 NeuroNexus 1,129 1,438 3,504 3,895 Total sales $ 7,617 $ 3,766 $ 19,880 $ 8,382 Three Months Ended Nine Months Ended Segment (loss) income from operations: September 30, 2017 September 30, 2016 September 30, 2017 September 30, 2016 Nuvectra $ (11,092 ) $ (9,287 ) $ (34,510 ) $ (24,504 ) NeuroNexus 64 298 210 182 Total segment loss from operations (11,028 ) (8,989 ) (34,300 ) (24,322 ) Unallocated operating expenses — — — — Operating loss (11,028 ) (8,989 ) (34,300 ) (24,322 ) Unallocated other expense, net (601 ) (461 ) (1,689 ) (1,031 ) Loss before provision for income taxes $ (11,629 ) $ (9,450 ) $ (35,989 ) $ (25,353 )
Revenue from External Customers by Geographic Areas [Table Text Block]	Three Months Ended Nine Months Ended September 30, 2017 September 30, 2016 September 30 , 2017 September 30 , 2016 Sales by geographic area: United States $ 6,781 $ 1,612 $ 16,152 $ 3,439 Non-Domestic locations: Switzerland 155 1,216 1,214 2,486 Germany 159 433 1,033 1,298 Rest of world 522 505 1,481 1,159 Total sales $ 7,617 $ 3,766 $ 19,880 $ 8,382

Note 1 - Summary of Significa28

Note 1 - Summary of Significant Accounting Policies (Details Textual) - USD ($)	Mar. 14, 2016	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 30, 2016
Proceeds from Contributions from Former Parent					$ 86,421,000
Line of Credit, Portion Subject to Certain Revenue Milestones	$ 12,500,000
Inventory Write-down		$ 100,000	$ 0	$ 349,000
Nuvectra Segment [Member]
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount						4.50%
NeuroNexus Segment [Member]
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount						34.10%
Integer [Member]
Proceeds from Contributions from Former Parent	$ 75,000,000

Note 2 - Intangible Assets - Am

Note 2 - Intangible Assets - Amortizing Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 30, 2016
Gross carrying amount	$ 2,927	$ 2,927
Accumulated amortization	(1,428)	(1,213)
Net carrying amount	1,499	1,714
Patented Technology [Member]
Gross carrying amount	1,058	1,058
Accumulated amortization	(593)	(498)
Net carrying amount	465	560
Customer Lists [Member]
Gross carrying amount	1,869	1,869
Accumulated amortization	(835)	(715)
Net carrying amount	$ 1,034	$ 1,154

Note 2 - Intangible Assets - Ag

Note 2 - Intangible Assets - Aggregate Intangible Asset Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Intangible asset amortization expense	$ 71	$ 62	$ 215	$ 197
Cost of Sales [Member]
Intangible asset amortization expense	32	25	95	80
Selling, General and Administrative Expenses [Member]
Intangible asset amortization expense	$ 39	$ 37	$ 120	$ 117

Note 2 - Intangible Assets - Fu

Note 2 - Intangible Assets - Future Intangible Asset Amortization Expense (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 30, 2016
Remainder of 2017	$ 71
2,018	298
2,019	293
2,020	209
2,021	194
Thereafter	434
Total estimated amortization expense	$ 1,499	$ 1,714

Note 3 - Accrued Liabilities -

Note 3 - Accrued Liabilities - Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 30, 2016
Inventory	$ 1,555	$ 547
Deferred revenue	661
Regulatory, clinical and quality	401	640
Research and development	365	165
Insurance	311
Sales and marketing	239
Operations engagement fee	200	600
Warranty reserve	186	98
Information technology system and infrastructure implementations	113	327
Interest	105	99
Legal	85	98
Sales and use tax	69	56
Travel and entertainment		285
Accrued other	685	440
Total accrued liabilities	$ 4,975	$ 3,355

Note 4 - Employee Benefit Pla33

Note 4 - Employee Benefit Plans (Details Textual) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Apr. 01, 2016	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2016
Proceeds from Stock Options Exercised					$ 1,322	$ 133
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period					232,574
Defined Contribution Plan [Member]
Defined Contribution Plan, Employer Matching Contribution, Percent of Match	25.00%				25.00%
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent	6.00%				6.00%
Defined Contribution Plan, Cost	$ 70				$ 200
Integer Sponsored Defined Contribution Plan [Member]
Defined Contribution Plan, Employer Matching Contribution, Percent of Match			35.00%
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent			6.00%
Defined Contribution Plan, Cost		$ 30				100
Bonus Plan [Member]
Deferred Compensation Arrangement with Individual, Compensation Expense	$ 100				$ 1,400	400
Nuvectra Corporation 2016 Equity Incentive Plan [Member]
Common Stock, Capital Shares Reserved for Future Issuance	2,362,785			2,362,785	2,362,785
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost	$ 600	400			$ 1,500	$ 800
Nuvectra Corporation 2016 Equity Incentive Plan [Member] | Restricted Stock Units and Non-Qualified Stock Options [Member] | Directors, Certain Officers and Key Employees [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options and Options, Grants in Period					546,146	796,026
Integer Equity Incentives Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost	$ 40	$ 100		$ 240		$ 1,000
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period					3 years

Note 4 - Employee Benefit Pla34

Note 4 - Employee Benefit Plans - Allocated Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Allocated share-based compensation expense	$ 606	$ 548	$ 1,711	$ 1,799
Selling, General and Administrative Expenses [Member]
Allocated share-based compensation expense	507	462	1,491	1,081
Research and Development Expense [Member]
Allocated share-based compensation expense	99	86	220	249
Other Operating Income (Expense) [Member]
Allocated share-based compensation expense				469
Employee Stock Option [Member]
Allocated share-based compensation expense	227	186	637	434
Restricted Stock Units (RSUs) [Member]
Allocated share-based compensation expense	$ 379	$ 362	$ 1,074	$ 1,365

Note 4 - Employee Benefit Pla35

Note 4 - Employee Benefit Plans - Weighted Average Fair Value Assumption Used to Values Options Granted (Details) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Weighted average fair value (in dollars per share)	$ 7.85	$ 4.58	$ 3.63	$ 4.50
Risk-free interest rate	2.01%	1.61%	2.06%	1.72%
Expected volatility	65.00%	55.00%	55.15%	55.00%
Holding period (in years) (Year)	6 years	10 years	6 years	10 years
Expected dividend yield	0.00%

Note 4 - Employee Benefit Pla36

Note 4 - Employee Benefit Plans - Summary of Stock Option Activity (Details)	9 Months Ended
	Sep. 30, 2017USD ($)$ / sharesshares
Exercised, number of options (in shares)	(232,574)
Employee Stock Option [Member]
Outstanding, number of options (in shares)	873,992
Outstanding, weighted average exercise price (in dollars per share) | $ / shares	$ 6.49
Granted, number of options (in shares)	337,565
Granted, weighted average exercise price (in dollars per share) | $ / shares	$ 6.83
Exercised, number of options (in shares)	(232,574)
Exercised, weighted average exercise price (in dollars per share) | $ / shares	$ 5.98
Forfeited or expired, number of options (in shares)	(65,440)
Forfeited or expired, weighted average exercise price (in dollars per share) | $ / shares	$ 7.15
Outstanding, number of options (in shares)	913,543
Outstanding, weighted average exercise price (in dollars per share) | $ / shares	$ 6.70
Outstanding, weighted average remaining contractual life (Year)	7 years 211 days
Outstanding, aggregate intrinsic value | $	$ 5,990,267
Exercisable, number of options (in shares)	419,378
Exercisable, weighted average exercise price (in dollars per share) | $ / shares	$ 6.23
Exercisable, weighted average remaining contractual life (Year)	5 years 281 days
Exercisable, aggregate intrinsic value | $	$ 2,950,161

Note 4 - Employee Benefit Pla37

Note 4 - Employee Benefit Plans - Summary Restricted Stock Unit Activity (Details) - Restricted Stock and RSU's [Member]	9 Months Ended
	Sep. 30, 2017$ / sharesshares
Nonvested (in shares) | shares	551,224
Nonvested (in dollars per share) | $ / shares	$ 6.90
Granted (in shares) | shares	208,581
Granted (in dollars per share) | $ / shares	$ 6.75
Vested (in shares) | shares	(187,141)
Vested (in dollars per share) | $ / shares	$ 7.84
Forfeited (in shares) | shares	(96,007)
Forfeited (in dollars per share) | $ / shares	$ 6.51
Nonvested (in shares) | shares	476,657
Nonvested (in dollars per share) | $ / shares	$ 6.90

Note 5 - Other Operating Expe38

Note 5 - Other Operating Expenses (Details Textual)	Mar. 14, 2016USD ($)
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award Accelerated Compensation Cost	$ 469,000

Note 6 - Debt (Details Textual)

Note 6 - Debt (Details Textual) - USD ($)	Sep. 28, 2017	Mar. 18, 2016	Sep. 30, 2017	Feb. 14, 2017	Dec. 30, 2016
Long-term Debt			$ 26,407,000		$ 13,744,000
Additional Paid in Capital			125,287,000		$ 121,806,000
Warrant [Member]
Derivative Liability		$ 200,000	$ 300,000
Oxford Finance LLC and Silicon Valley Bank [Member] | Warrant [Member]
Additional Paid in Capital	$ 400,000	200,000
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loan B Funded [Member]
Debt Covenant, Minimum Percentage of Forecasted Revenues Required			75.00%
Oxford Finance LLC and Silicon Valley Bank [Member] | Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity			$ 5,000,000
Line of Credit Facility, Borrowing Base as Percentage of Accounts Receivable			80.00%
Debt Instrument, Interest Rate Floor			6.95%
Long-term Debt			$ 0
Line of Credit Facility, Commitment Fee Amount		25,000
Oxford Finance LLC and Silicon Valley Bank [Member] | Revolving Credit Facility [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate			3.45%
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans [Member] | Piper Jaffray [Member]
Payments of Debt Issuance Costs		$ 1,125,000
Debt Instrument, Arrangement Fee, Percentage		2.50%
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans [Member]
Debt Agreement, Maximum Borrowing Capacity			$ 40,000,000
Debt Instrument, Interest Rate Floor			7.65%
Debt Instrument, Interest Rate During Period			8.40%
Debt Instrument, Percentage of Funded Loan Amounts due at Maturity			7.75%
Debt Instrument, Commitment Fee Amount		$ 200,000
Debt Instrument, Amendment Fee				$ 25,000
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans [Member] | If Term Loan B Funded, Beginning April, 2018 [Member]
Debt Instrument, Number of Monthly Principal and Interest Payments			30
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans [Member] | Prepayment in First Year After Initial Closing [Member]
Debt Instrument, Prepayment Fee Percentage			3.00%
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans [Member] | Prepayment in Second Year After Initial Closing [Member]
Debt Instrument, Prepayment Fee Percentage			2.00%
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans [Member] | Prepayment After Second Year After Initial Closing [Member]
Debt Instrument, Prepayment Fee Percentage			1.00%
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate			4.15%
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loan A [Member]
Debt Agreement, Maximum Borrowing Capacity			$ 15,000,000
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loan B [Member]
Debt Agreement, Maximum Borrowing Capacity			12,500,000
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loan C [Member]
Debt Agreement, Maximum Borrowing Capacity			12,500,000
Debt Covenant, Minimum Revenue Required for Trailing Six Months			$ 20,000,000
Oxford Finance LLC and Silicon Valley Bank [Member] | Term Loans B and C [Member]
Debt Covenant, Maximum Number of Days to Draw Loan After Revenue Requirement			60 days
Debt Instrument, Commitment Fee Percentage			2.00%
Oxford Finance LLC [Member]
Class of Warrant or Right, Issued During Period	22,844	56,533
Class of Warrant or Right, Issued During Period, Exercise Price	$ 12.31	$ 5.97
Silicon Valley Bank [Member]
Class of Warrant or Right, Issued During Period	22,844	56,533
Class of Warrant or Right, Issued During Period, Exercise Price	$ 12.31	$ 5.97
Silicon Valley Bank [Member] | Term Loan B Funded [Member]
Class of Warrant or Right, Increase to Warrant, Percentage of Loan Divided by Market Value of Common Stock		4.50%

Note 6 - Debt - Long-term Debt

Note 6 - Debt - Long-term Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 30, 2016
Term loan	$ 29,631	$ 16,163
Deferred financing fees	(1,049)	(1,262)
Discount on debt	(2,175)	(1,157)
Total debt	26,407	13,744
Less current portion of long-term debt	5,500
Total long-term debt	$ 20,907	$ 13,744

Note 6 - Debt - Deferred Financ

Note 6 - Debt - Deferred Financing Fees (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2017USD ($)
Deferred financing fees	$ 1,262
Additions during the period	47
Amortization during the period	(260)
Deferred financing fees	$ 1,049

Note 7 - Income Taxes (Details

Note 7 - Income Taxes (Details Textual) - Greatbatch [Member] - Tax Matters Agreement [Member]	Sep. 30, 2017
Equity Issuance Limitations	30.00%
Asset Disposal Limitations	35.00%

Note 8 - Commitments and Cont43

Note 8 - Commitments and Contingencies (Details Textual) $ in Millions	9 Months Ended
	Sep. 30, 2017USD ($)
Purchase Commitment, Remaining Minimum Amount Committed	$ 5.2
Capital Expenditures Yet to Be Incurred	$ 1.4

Note 9 - Earnings (Loss) Per 44

Note 9 - Earnings (Loss) Per Share ("EPS") (Details Textual) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Weighted Average Number Diluted Shares Outstanding Adjustment	0	0	0	0

Note 9 - Earnings (Loss) Per 45

Note 9 - Earnings (Loss) Per Share ("EPS") - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Basic net loss per share:
Net loss	$ (11,638)	$ (9,450)	$ (35,998)	$ (25,353)
Weighted average common shares outstanding (in shares)	10,697	10,279	10,497	10,268
Basic net loss per share (in dollars per share)	$ (1.09)	$ (0.92)	$ (3.43)	$ (2.47)
Diluted net loss per share:
Net loss	$ (11,638)	$ (9,450)	$ (35,998)	$ (25,353)
Weighted average common shares outstanding (in shares)	10,697	10,279	10,497	10,268
Dilutive stock options, restricted stock and restricted stock units (in shares)
Weighted average common shares outstanding – assuming dilution (in shares)	10,697	10,279	10,497	10,268
Diluted net loss per share (in dollars per share)	$ (1.09)	$ (0.92)	$ (3.43)	$ (2.47)
Warrant [Member]
Diluted net loss per share:
Outstanding securities and warrants that were not included in the diluted calculation because their effect would be anti-dilutive (in shares)	1,549	1,594	1,549	1,594

Note 10 - Fair Value Measurem46

Note 10 - Fair Value Measurements (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 30, 2016	Mar. 18, 2016
Fair Value Adjustment of Warrants			$ 500,000
Available-for-sale Securities	$ 21,213,000		21,213,000		$ 55,013,000
Goodwill, Impairment Loss	0	$ 0	0	$ 0
Warrant [Member]
Derivative Liability	$ 300,000		$ 300,000			$ 200,000

Note 10 - Fair Value Measurem47

Note 10 - Fair Value Measurements - Marketable Securities Measured at Fair Value (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 30, 2016
Available-for-sale Securities, Amortized Cost Basis	$ 21,213	$ 55,015
Available-for-sale Securities, Accumulated Gross Unrealized Loss		(2)
Available-for-sale Securities	21,213	55,013
Cash [Member] | Fair Value, Inputs, Level 1 [Member]
Available-for-sale Securities, Amortized Cost Basis	13,073	33,821
Available-for-sale Securities, Accumulated Gross Unrealized Loss
Available-for-sale Securities	13,073	33,821
Financial Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Available-for-sale Securities, Amortized Cost Basis	3,644	8,064
Available-for-sale Securities, Accumulated Gross Unrealized Loss		(1)
Available-for-sale Securities	3,644	8,063
US Treasury and Government [Member] | Fair Value, Inputs, Level 1 [Member]
Available-for-sale Securities, Amortized Cost Basis		2,005
Available-for-sale Securities, Accumulated Gross Unrealized Loss
Available-for-sale Securities		2,005
Industrial Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Available-for-sale Securities, Amortized Cost Basis	4,496	11,125
Available-for-sale Securities, Accumulated Gross Unrealized Loss		(1)
Available-for-sale Securities	$ 4,496	$ 11,124

Note 10 - Fair Value Measurem48

Note 10 - Fair Value Measurements - Fair Value Assumptions of Warrants (Details) - Warrant [Member]	9 Months Ended
	Sep. 30, 2017
Risk-free interest rate	2.33%
Expected volatility	65.00%
Contractual term (in years) (Year)	10 years
Dividend yield	0.00%

Note 11 - Business Segment, G49

Note 11 - Business Segment, Geographic and Concentration Risk Information (Details Textual)	9 Months Ended
	Sep. 30, 2017
Number of Reportable Segments	2
Number of Reporting Units	2

Note 11 - Business Segment, G50

Note 11 - Business Segment, Geographic and Concentration Risk Information - Product Line Sales (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Sales revenue, net	$ 7,617	$ 3,766	$ 19,880	$ 8,382
Algovita [Member]
Sales revenue, net	6,302	1,165	15,180	2,149
Neural Interface Components and Systems [Member]
Sales revenue, net	1,129	1,438	3,504	3,895
Development and Engineering Services [Member]
Sales revenue, net	$ 186	$ 1,163	$ 1,196	$ 2,338

Note 11 - Business Segment, G51

Note 11 - Business Segment, Geographic and Concentration Risk Information - Business Segments Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Sales revenue, net	$ 7,617	$ 3,766	$ 19,880	$ 8,382
Segment loss from operations	(11,028)	(8,989)	(34,300)	(24,322)
Unallocated operating expenses	14,494	11,127	44,079	28,758
Unallocated other expense, net	(601)	(461)	(1,689)	(1,031)
Loss before provision for income taxes	(11,629)	(9,450)	(35,989)	(25,353)
Operating Segments [Member]
Segment loss from operations	(11,028)	(8,989)	(34,300)	(24,322)
Segment Reconciling Items [Member]
Unallocated operating expenses
Nuvectra Segment [Member]
Sales revenue, net	6,488	2,328	16,376	4,487
Nuvectra Segment [Member] | Operating Segments [Member]
Segment loss from operations	(11,092)	(9,287)	(34,510)	(24,504)
NeuroNexus Segment [Member]
Sales revenue, net	1,129	1,438	3,504	3,895
NeuroNexus Segment [Member] | Operating Segments [Member]
Segment loss from operations	$ 64	$ 298	$ 210	$ 182

Note 11 - Business Segment, G52

Note 11 - Business Segment, Geographic and Concentration Risk Information - Sales by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Sales revenue, net	$ 7,617	$ 3,766	$ 19,880	$ 8,382
UNITED STATES
Sales revenue, net	6,781	1,612	16,152	3,439
SWITZERLAND
Sales revenue, net	155	1,216	1,214	2,486
GERMANY
Sales revenue, net	159	433	1,033	1,298
Rest of World [Member]
Sales revenue, net	$ 522	$ 505	$ 1,481	$ 1,159

Note 12 - Related Party Trans53

Note 12 - Related Party Transactions (Details Textual) $ in Millions	Mar. 14, 2016USD ($)
Integer [Member]
Proceeds from Contributions from Parent	$ 75