Eton Pharmaceuticals (ETON) 10-Q 20 Dec 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Dec. 14, 2018
Document And Entity Information
Entity Registrant Name	Eton Pharmaceuticals, Inc.
Entity Central Index Key	1,710,340
Document Type	10-Q
Document Period End Date	Sep. 30, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business Flag	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Common Stock, Shares Outstanding		17,607,928
Trading Symbol	ETON
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2,018

Condensed Balance Sheets

Condensed Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 6,603	$ 13,156
Prepaid expenses	200	136
Total current assets	6,803	13,292
Property and equipment, net	268	119
Other long-term assets, net	454	32
Total assets	7,525	13,443
Current liabilities:
Accounts payable	793	539
Accrued liabilities	404	254
Total current liabilities	1,197	793
Warrant liability	1,577	520
Total liabilities	2,774	1,313
Commitments and contingencies (Note 11)
Redeemable convertible preferred stock - Series A $0.001 par value, 10,000,000 shares authorized as of December 31, 2017 and September 30, 2018; 6,685,082 shares issued and outstanding as of December 31, 2017 and September 30, 2018; aggregate liquidation preference of $20,698 and $21,598 as of December 31, 2017 and September 30, 2018, respectively	21,161	19,004
Stockholders' deficit
Common stock, $0.001 par value; 50,000,000 shares authorized as of December 31, 2017 and September 30, 2018, respectively; 6,000,000 and 6,218,980 shares issued and outstanding at December 31, 2017 and September 30, 2018, respectively	6	6
Additional paid-in capital	3,390	1,759
Accumulated deficit	(19,806)	(8,639)
Total stockholders' deficit	(16,410)	(6,874)
Total liabilities, redeemable convertible preferred stock and Stockholders' deficit	$ 7,525	$ 13,443

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Temporary equity, par value	$ 0.001	$ 0.001
Temporary equity, shares authorized	10,000,000	10,000,000
Temporary equity, shares issued	6,685,082	6,685,082
Temporary equity, shares outstanding	6,685,082	6,685,082
Temporary equity, Liquidation preference	$ 21,598	$ 20,698
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	6,218,980	6,000,000
Common stock, shares outstanding	6,218,980	6,000,000

Condensed Statements of Operati

Condensed Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		5 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2018
Operating expenses:
Research and development	$ 1,544	$ 1,564	$ 3,067	$ 4,525
General and administrative	830	1,206	1,887	3,510
Total operating expenses	2,374	2,770	4,954	8,035
Loss from operations	(2,374)	(2,770)	(4,954)	(8,035)
Other income (expense):
Interest and other income, net	25	9	9	82
Change in fair value of warrant liability	(561)	(41)	(41)	(1,057)
Loss before income tax expense	(2,910)	(2,802)	(4,986)	(9,010)
Income tax expense
Net loss	(2,910)	(2,802)	(4,986)	(9,010)
Accrued dividends on redeemable convertible preferred stock	(300)	(303)	(343)	(900)
Deemed dividends for accretion of redeemable convertible preferred stock issuance costs	(429)	(388)	(439)	(1,257)
Net loss attributable to common stockholders	$ (3,639)	$ (3,493)	$ (5,768)	$ (11,167)
Net loss per share attributable to common stockholders, basic and diluted	$ (0.65)	$ (1)	$ (1.69)	$ (2.40)
Weighted-average number of common shares outstanding, basic and diluted	5,615,000	3,500,000	3,411,000	4,658,000

Condensed Statement of Redeemab

Condensed Statement of Redeemable Convertible Preferred Stock and Stockholders' Deficit (Unaudited) - 9 months ended Sep. 30, 2018 - USD ($) $ in Thousands	Redeemable Convertible Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Total
Balance at Dec. 31, 2017	$ 19,004	$ 6	$ 1,759	$ (8,639)	$ (6,874)
Balance, shares at Dec. 31, 2017	6,685,082	6,000,000
Stock-based compensation			1,631		1,631
Stock-based compensation, shares		218,980
Accrued dividends on redeemable convertible preferred stock	$ 900			(900)	(900)
Accrued dividends on redeemable convertible preferred stock, shares
Deemed dividends for accretion of redeemable convertible preferred stock issuance costs	$ 1,257			(1,257)	(1,257)
Deemed dividends for accretion of redeemable convertible preferred stock issuance costs, shares
Net loss				(9,010)	(9,010)
Balance at Sep. 30, 2018	$ 21,161	$ 6	$ 3,390	$ (19,806)	$ (16,410)
Balance, shares at Sep. 30, 2018	6,685,082	6,218,980

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	5 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2018
Cash flows from operating activities
Net loss	$ (4,986)	$ (9,010)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation	1,105	1,631
Depreciation and amortization	3	40
Change in fair value of warrant liability	41	1,057
Changes in operating assets and liabilities:
Prepaid expenses and other assets	(153)	(493)
Accounts payable	227	254
Accrued liabilities	113	150
Net cash used in operating activities	(3,650)	(6,371)
Cash used in investing activities
Purchases of property and equipment	(125)	(182)
Cash flows from financing activities
Proceeds from issuance of redeemable convertible preferred stock, net of issuance costs	18,000
Proceeds from sale of common stock	4
Net cash provided by financing activities	18,004
Change in cash and cash equivalents	14,229	(6,553)
Cash and cash equivalents at beginning of period		13,156
Cash and cash equivalents at end of period	14,229	6,603
Supplemental disclosures of cash flow information
Cash paid for interest
Cash paid for income taxes
Supplemental disclosures of non-cash investing and financing activities:
Accrued dividends on redeemable convertible preferred stock	343	900
Deemed dividends for accretion of redeemable convertible preferred stock issuance costs	439	1,257
Common stock warrant liability issued with redeemable convertible preferred stock financing	$ 479

Company Overview

Company Overview	9 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Company Overview	Note 1 — Company Overview Eton Pharmaceuticals, Inc. (“Eton” or the “Company”) was incorporated as a Delaware “C” corporation on April 27, 2017 and was initially set up as a wholly-owned subsidiary of Imprimis Pharmaceuticals, Inc. (“Imprimis”). Eton raised $20,055 in start-up capital through the sale of its Series A redeemable convertible preferred stock (“Series A Preferred”) in June 2017 and a separate management team was then established for Eton with its corporate offices located in Deer Park, Illinois. Eton is a specialty pharmaceutical company focused on developing and commercializing prescription drug products utilizing the U.S. Food and Drug Administration’s (the “FDA”) 505(b)(2) regulatory pathway. The Company’s business model is to develop proprietary innovative product candidates that offer commercial and/or functional advantages to currently available alternatives. In November 2018, the Company completed an initial public offering (“IPO”), selling 4,140,000 shares of common stock at an offering price of $6.00 per share, including pursuant to the underwriter’s exercise in full of its option to purchase additional shares. The Company received net proceeds of $22,603, after deducting underwriting discounts and commissions and offering-related expenses (see Note 12).

Liquidity Considerations

Liquidity Considerations	9 Months Ended
	Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Liquidity Considerations	Note 2 — Liquidity Considerations As of December 31, 2017 and September 30, 2018, the Company had an accumulated deficit of $8,639 and $19,806, respectively. In addition, for the period from April 27, 2017 (inception) to December 31, 2017 and for the nine months ended September 30, 2018, the Company had net cash used in operating activities of $4,718 and $6,371, respectively. To date, t he Company has not generated any revenues and does not anticipate generating any revenues unless and until it successfully completes development and obtains regulatory approval for one of its product candidates. he Company could seek to obtain additional capital through equity financings, the sale of debt or other arrangements. However, there can be no assurance that the Company will be able to raise additional capital if needed or under acceptable terms, if at all. The sale of additional equity may dilute existing stockholders and newly issued shares may contain senior rights and preferences compared to currently outstanding common shares. Issued debt securities may contain covenants and limit the Company’s ability to pay dividends or make other distributions to stockholders. If the Company is delayed in completing its product development and obtaining regulatory approval for its product candidates and is unable to obtain such additional financing, operations would need to be scaled back or discontinued.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 3 — Summary of Significant Accounting Policies Basis of Presentation The Company has prepared the accompanying financial statements in accordance with accounting principles generally accepted in the United States (“GAAP”). Unaudited Interim Financial Information The accompanying condensed balance sheet as of September 30, 2018, the condensed statements of operations and cash flows for the periods ended September 30, 2018 and 2017, and the statement of redeemable convertible preferred stock and stockholders’ deficit for the nine months ended September 30, 2018 are unaudited. The unaudited interim financial statements have been prepared on the same basis as the audited financial statements and, in the opinion of management, reflect all adjustments necessary for the fair presentation of the Company’s financial position as of September 30, 2018 and the results of its operations and its cash flows for the periods ended September 30, 2018 and 2017. The financial data and other information disclosed in these notes related to the periods ended September 30, 2018 and 2017 are also unaudited. The results for the periods ended September 30, 2018 are not necessarily indicative of results to be expected for the year ending December 31, 2018, any other interim periods or any future year or period. 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, the disclosure of contingent assets and liabilities at the date of the condensed financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant estimates and assumptions reflected in these condensed financial statements include, but are not limited to, the accrual of research and development expenses and the valuation of common stock, stock options, warrants and derivative instruments. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Changes in estimates are recorded in the period in which they become known. Actual results could differ from those estimates or assumptions. Segment Information The Company operates the business on the basis of a single reportable segment, which is the business of developing and commercializing prescription drug products. The Company’s chief operating decision-maker is the Chief Executive Officer (“CEO”), who evaluates the Company as a single operating segment. Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. All cash and cash equivalents are held in U.S. financial institutions. Cash equivalents consist of an interest-bearing checking account. From time to time, amounts deposited exceed federally insured limits. The Company believes the associated credit risk to be minimal. Deferred Offering Costs The Company capitalizes certain legal, professional accounting and other third-party fees that are directly associated with in-process equity financings as deferred offering costs until such financings are consummated. After consummation of the equity financing, these costs are recorded in stockholders’ deficit as a reduction of proceeds generated as a result of the offering. Should the planned equity financing be abandoned, the deferred offering costs will be expensed immediately as a charge to operating expenses in the statements of operations. The Company recorded deferred offering costs of $0 and $397 as of December 31, 2017 and September 30, 2018, respectively, which is included in other long-term assets on the accompanying condensed balance sheet. Classification and Accretion of Redeemable Convertible Preferred Stock The Company has classified the Series A Preferred outside of stockholders’ equity (deficit) because the shares contain certain redemption features that are not solely within the control of the Company. The carrying value of the Series A Preferred is accreted to its redemption value from the date of issuance through the earliest date of redemption. Research and Development Expenses Research and development (“R&D”) expenses include both internal R&D activities and external contracted services. Internal R&D activity expenses include salaries, benefits and stock-based compensation and other costs to support the Company’s R&D operations. External contracted services include product development efforts including certain product licensor milestone payments, clinical trial activities, manufacturing and control-related activities and regulatory costs. R&D expenses are charged to operations as incurred. The Company reviews and accrues R&D expenses based on services performed and relies upon estimates of those costs applicable to the stage of completion of each project. Significant judgments and estimates are made in determining the accrued balances at the end of any reporting period. Actual results could differ from the Company’s estimates. Upfront payments and milestone payments made for the licensing of technology are expensed as R&D in the period in which they are incurred. Nonrefundable advance payments for goods or services to be received in the future for use in R&D activities are recorded as prepaid expenses and are expensed as the related goods are delivered or the services are performed. Earnings (Loss) Per Share Basic net loss per common share is computed by dividing net loss attributable to common stockholders for the period by the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing the net loss attributable to common stockholders for the period by the weighted average number of common and common equivalent shares, such as Series A Preferred, unvested restricted stock, stock options and warrants, outstanding during the period. Common stock equivalents are excluded from the computation where their inclusion would be anti-dilutive. No such adjustments were made for 2017 or 2018 as the Company reported a net loss for the periods ended September 30, 2017 and 2018 as including the effects of common stock equivalents in the diluted EPS calculation would have been antidilutive (See Note 9). Warrant Liability The Company estimates the fair value of certain warrants at each reporting period using Level 3 inputs. The estimates in valuation models are based, in part, on subjective assumptions, including but not limited to stock price volatility, the expected life of the warrants, the risk-free interest rate and the exercise price of the warrants, and could differ materially in the future. Changes in the fair value of the warrant liability during the period are recorded as a component of other income (expense). The Company will continue to adjust the fair value of the warrant liability at the end of each reporting period for changes in fair value until the earlier of the exercise or expiration of the applicable warrants, or when the number of shares issuable upon exercise of these warrants is fixed which occurred with the Company’s IPO in November 2018. Stock-Based Compensation The Company accounts for stock-based compensation under the provisions of the Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (“ASC”) — 718 Compensation — Stock Compensation. The guidance under ASC 718 requires companies to estimate the fair value of the stock-based compensation awards on the date of grant for employees and directors and record expense over the related service periods, which are generally the vesting period of the equity awards. Awards for consultants are accounted for under ASC 505-50 — Equity Based Payments to Non-Employees. Compensation expense is recognized over the period during which services are rendered by such consultants and non-employees until completed. At the end of each financial reporting period prior to completion of the service, the fair value of these awards is remeasured using the then-current fair value of the Company’s common stock and updated assumption inputs in the Black-Scholes-Merton option-pricing model (“BSM”). The Company estimates the fair value of stock-based option awards to its employees and directors using the BSM. The BSM requires the input of subjective assumptions, including the expected stock price volatility, the calculation of expected term, forfeitures and the fair value of the underlying common stock on the date of grant, among other inputs. The risk-free interest rate was determined from the implied yields for zero-coupon U.S. government issues with a remaining term approximating the expected life of the options or warrants. Dividends on common stock are assumed to be zero for the BSM valuation of the stock options. The expected term of stock options granted is based on vesting periods and the contractual life of the options. Expected volatilities are based on comparable companies’ historical volatility, which management believes represents the most accurate basis for estimating expected future volatility under the current conditions. The Company accounts for forfeitures as they occur. Fair Value Measurements We measure certain of our assets and liabilities at fair value. Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value accounting requires characterization of the inputs used to measure fair value into a three-level fair value hierarchy as follows: Level 1 Level 2 Level 3 Fair value measurements are classified based on the lowest level of input that is significant to the measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, which may affect the valuation of the assets and liabilities and their placement within the fair value hierarchy levels. The determination of the fair values stated below takes into account the market for the Company’s financials, assets and liabilities, the associated credit risk and other factors as required. The Company considers active markets as those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis. The carrying amounts of cash and cash equivalents, accounts payable and accrued liabilities approximate their fair values due to the short-term maturities of these instruments. The fair values of the Company’s warrant liability at inception and for subsequent mark-to-market fair value measurements are based on management’s valuation model and expectations with respect to the method and timing of settlement. The Company has determined that the warrant liability fair values are classified as Level 3 measurements within the fair value hierarchy. Impact of New Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02 (Topic 842) – Leases, which requires the lease rights and obligations arising from lease contracts, including existing and new arrangements, with terms more than 12 months to be recognized as assets and liabilities on the balance sheet. Recognition, measurement and presentation of expenses will depend on classification as a finance or operating lease. The amendments also require certain quantitative and qualitative disclosures about leasing arrangements. ASU 2016-02 is effective for reporting periods beginning after December 15, 2018 with early adoption permitted. While the Company is still evaluating ASU 2016-02, the Company expects the adoption of ASU 2016-02 will not have a material effect on the Company’s financial condition from the recognition of the lease rights and obligations as assets and liabilities. The Company is currently evaluating ASU 2016-02 to determine the effect on the Company’s results of operations and cash flows. In June 2018, the FASB issued ASU 2018-07, Compensation — Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which simplifies the accounting for nonemployee share-based payment transactions. The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. ASU 2018-07 will be effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years with early adoption permitted (but no sooner than the adoption of Topic 606). The Company is currently evaluating ASU 2018-07 to determine the effect on the Company’s financial statements. In August 2018, the SEC adopted the final rule under SEC Release No. 33-10532, Disclosure Update and Simplification

Fair Value of Financial Assets

Fair Value of Financial Assets and Liabilities	9 Months Ended
	Sep. 30, 2018
Fair Value Disclosures [Abstract]
Fair Value of Financial Assets and Liabilities	Note 4 — Fair Value of Financial Assets and Liabilities The following table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis and indicates the level of the fair value hierarchy utilized to determine such fair values (in thousands): Fair Value Measurements as of December 31, 2017 Using: Level 1 Level 2 Level 3 Total Liabilities: Warrant liability $ — $ — $ 520 $ 520 Fair Value Measurements as of September 30, 2018 Using: Level 1 Level 2 Level 3 Total Liabilities: Warrant liability $ — $ — $ 1,577 $ 1,577 During the periods ended December 31, 2017 and September 30, 2018, there were no transfers between Level 1, Level 2 and Level 3. Valuation of Warrant Liability The warrant liability in the table above is composed of the fair value of a warrant to purchase shares of common stock that were issued to the Company’s placement agent in connection with the Series A Preferred offering (see Note 5). The fair value of the warrant liability was determined based on significant inputs not observable in the market, which represents a Level 3 measurement within the fair value hierarchy. The Company used the BSM, which incorporates assumptions and estimates, to value the warrant. Estimates and assumptions impacting the fair value measurement include the fair value per share of the underlying shares of common stock, the remaining contractual term of the warrant, risk-free interest rate, expected dividend yield and expected volatility of the price of the underlying common stock. The Company determined the fair value per share of the underlying common stock by taking into consideration the most recent sales of its preferred stock, results obtained from third-party valuations and additional factors that are deemed relevant. The Company historically has been a private company and lacks company-specific historical and implied volatility information of its common stock. Therefore, the Company estimates its expected stock volatility based on the historical volatility of publicly traded peer companies for a term equal to the remaining contractual term of the warrant. The risk-free interest rate is determined by reference to the U.S. Treasury yield curve for time periods approximately equal to the remaining contractual term of the warrant. The Company estimated a 0% expected dividend yield based on the fact that the Company has never paid or declared dividends and does not intend to do so in the foreseeable future. The following table provides a roll forward of the aggregate fair values of the Company’s warrant liability, for which fair value is determined using Level 3 inputs Period from April 27, 2017 (inception) to December 31, 2017 Nine months ended September 30, 2018 Balance as of the beginning of the period $ — $ 520 Initial fair value of warrant liability 479 — Change in fair value 41 1,057 Balance as of the end of the period $ 520 $ 1,577

Redeemable Convertible Preferre

Redeemable Convertible Preferred Stock - Series A	9 Months Ended
	Sep. 30, 2018
Temporary Equity Disclosure [Abstract]
Redeemable Convertible Preferred Stock - Series A	Note 5 — Redeemable Convertible Preferred Stock — Series A The Company has 10,000,000 authorized shares of $0.001 par value preferred stock as per its Amended and Restated Certificate of Incorporation. In June 2017, the Company issued 6,685,082 Series A Preferred at a price of $3.00 per share and all shares remained outstanding as of December 31, 2017 and September 30, 2018. The gross proceeds were $20,055 from the Series A Preferred stock offering. The Series A Preferred stockholders or their permitted transferees, are entitled to rights with respect to the registration under the Securities Act of 1933, as amended (the “Securities Act”), of their shares that are converted to common stock, including demand registration rights and piggyback registration rights. These rights are provided under the terms of a registration rights agreement between the Company and the investors. As of December 31, 2017, the liquidation value of the mezzanine Series A Preferred was $20,698, which consisted of the issuance amount of $20,055 plus accrued dividends of $643. As of September 30, 2018, the liquidation value of the mezzanine Series A Preferred was $21,598, which consisted of the issuance amount of $20,055 plus accrued dividends of $1,543. The Series A Preferred automatically converted to common shares upon completion of the IPO in November 2018. The conversion share calculation was based on the $3.00 initial issue price for the Series A Preferred plus any accrued but unpaid dividends and automatically converted into shares of the Company’s common stock using a stated divisor conversion price equal to 50% of the IPO price to the public which was $6.00 per share. In accordance with relevant accounting literature, since the terms of the conversion option did not permit the Company to compute the additional number of shares that it would need to issue upon conversion of the Series A Preferred when the contingent event occurred, the Company recorded the beneficial conversion amount as a deemed dividend at the date of the IPO in November 2018. As a result of the Series A Preferred having a possible cash redemption feature in the event that an IPO or alternate financing was not available by December 31, 2018, the Series A Preferred is classified as temporary equity and not included as part of Company’s stockholders’ deficit. In accordance with that classification, the $2,534 of issuance costs associated with the Series A Preferred offering are being ratably accreted as a deemed dividend using the effective interest method over its expected term. The Series A Preferred was automatically converted to the Company’s common shares upon completion of the IPO in November 2018 (see Note 12). The following is a reconciliation of the carrying value of the Series A Preferred (in thousands): December 31, 2017 September 30, 2018 Gross proceeds from Series A Preferred offering $ 20,055 $ 20,055 Issuance costs – cash (2,055 ) (2,055 ) Issuance costs – common stock warrants (479 ) (479 ) Accrued dividends on Series A Preferred 643 1,543 Deemed dividends for accretion of Series A Preferred issuance costs 840 2,097 Balance as of the end of the period $ 19,004 $ 21,161

Common Stock

Common Stock	9 Months Ended
	Sep. 30, 2018
Equity [Abstract]
Common Stock	Note 6 — Common Stock The Company has 50,000,000 authorized shares of $0.001 par value common stock as per its Amended and Restated Certificate of Incorporation. In May 2017, the Company issued 3,500,000 shares of its common stock to Imprimis, 1,500,000 shares of restricted stock to certain executives and staff of Imprimis and 1,000,000 shares of restricted stock to the CEO of the Company. On January 1, 2018, the Company issued 54,745 restricted shares of its common stock to each of its four issued to outside directors (218,980 total shares) as part of their compensation for board service to the Company in 2018. The restricted shares issued to the Imprimis executives and staff vest over a 12-month period, the restricted shares issued to the CEO vest over a 24-month period and the restricted shares issued to the outside directors vest 25% at each quarter-end in 2018 and are 100% vested as of December 31, 2018. The Company accounted for the restricted stock awards (“RSAs”) in accordance with ASC 718 or ASC 505-50 and for the period April 27, 2017 (inception) through December 31, 2017 and for the periods ended September 30, 2017 and 2018, the Company recorded $1,403, $875 and $1,274, respectively, in stock-based compensation expense for these RSAs (see Note 8).

Common Stock Warrants

Common Stock Warrants	9 Months Ended
	Sep. 30, 2018
Warrants and Rights Note Disclosure [Abstract]
Common Stock Warrants	Note 7 — Common Stock Warrants In May 2017, the Company issued a warrant to purchase 600,000 shares of its common stock to consultants for business strategy and intellectual property advisory services. The warrant vested at issuance in May 2017 and has a $0.01 exercise price per warrant share and expires five years from the date of issuance. The Company used the BSM to value the warrant and the fair value at the date of issuance was $121 based on an expected term of five years, volatility of 85%, a risk-free interest rate of 1.8% and a 0% rate on expected dividends. The $121 amount for the consulting warrants was expensed as a component of the Company’s general and administrative expenses in May 2017. In conjunction with the closing of the Series A Preferred offering in June 2017 (See Note 5), the Company issued a warrant to purchase 649,409 shares of its common stock to the placement agent at an exercise price of $3.00 per share, provided, however, upon the conversion of the Series A Preferred, the warrant shall adjust to entitle the holder to purchase shares of common stock equal to 10.0% of the shares of common stock issuable upon conversion of the Series A Preferred (excluding 191,000 shares of Series A Preferred that were purchased by insiders) and the exercise price shall adjust to the conversion price of the Series A Preferred. This warrant vested at issuance in June 2017. The Company used the BSM to value the warrant and the fair value at the date of issuance was $479. The number of common shares issuable upon the exercise of this warrant was not fixed as it could vary by a factor of 1.000 to 1.333 common shares per warrant share in accordance with the IPO price, and the Company considered the warrant to be a derivative instrument. The $479 amount was recorded as a component of the issuance costs for the Series A Preferred in June 2017. As of December 31, 2017, the fair value of the warrant was $520 and the $41 increase in value during 2017 was recorded as a component of other income and expense. As of September 30, 2018, the fair value of the warrants was $1,577 and the $1,057 increase in value during 2018 was recorded as a component of other income and expense. The fair value assumptions included an expected term of five years, expected volatility of 85%, a risk-free interest rate of 2.9% and estimate of the conversion rate. These warrants are classified as warrant liability on the Company’s balance sheets. In accordance with the Company’s IPO in November 2018, the number of shares issuable upon the exercise of these warrants became fixed which eliminates the fair value adjustment after that date. The weighted average exercise price of the outstanding warrants for the consultant and placement agent as of both December 31, 2017 and September 30, 2018 was $1.56 per share. The holders of these warrants or their permitted transferees, are entitled to rights with respect to the registration under the Securities Act of their shares that are converted to common stock, including demand registration rights and piggyback registration rights. These rights are provided under the terms of a registration rights agreement between the Company and the investors.

Share-Based Payment Awards

Share-Based Payment Awards	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Payment Awards	Note 8 — Share-Based Payment Awards The Company’s board of directors and stockholders approved the Eton Pharmaceuticals, Inc. 2017 Equity Incentive Plan in May 2017 (the “Plan”), which authorizes the issuance of up to 5,000,000 shares of the Company’s common stock. The Company has granted RSAs, stock options and restricted stock units (“RSUs”) for its common stock under the Plan as detailed in the tables below. There were 976,020 shares available for future issuance under the Plan as of September 30, 2018. Shares that are expired, terminated, surrendered or canceled without having been fully exercised will be available for future awards under the Plan. The exercise price for stock options granted is not less than the fair value of common shares as determined by the board of directors as of the date of grant. The Company’s board of directors values the Company’s common stock, taking into consideration its most recently available valuation of common stock performed by third parties as well as additional factors which may have changed since the date of the most recent contemporaneous valuation through the date of grant. On January 1, 2018, the Company issued 54,745 restricted shares of its common stock to each of its four outside directors (218,980 total shares). The restricted shares issued to the outside directors vest 25% at each quarter-end in 2018 and will be 100% vested at December 31, 2018. To date, all stock options issued have been non-qualified stock options and the exercise prices were set at the fair value for the shares at the dates of grant. Options typically have a ten-year life except for options to purchase 50,000 shares of the Company’s common stock granted to product consultants that expire within five years if the Company is not able to file certain product submissions to the FDA prior to the five-year expiration date. Furthermore, these option awards to the Company’s product consultants do not vest unless certain product submissions are made to the FDA, and accordingly, the Company has not recorded any expense for these contingently vesting option awards to its product consultants. For the three months ended September 30, 2018 and 2017, the Company’s total stock-based compensation expense was $165 and $604, respectively. Of these amounts, $147 and $593 was recorded in general and administrative expenses, respectively, and $18 and $11 was recorded in research and development expenses, respectively. For the periods ended September 30, 2018 and 2017, the Company’s total stock-based compensation expense was $1,631 and $1,105, respectively. Of these amounts, $1,581 and $1,094 was recorded in general and administrative expenses, respectively, and $50 and $11 was recorded in research and development expenses, respectively. A summary of stock option activity is as follows: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value Options outstanding as of December 31, 2017 1,090,000 $ 1.24 9.7 $ 151 Issued 135,000 3.00 Exercised — — Forfeited/Cancelled (20,000 ) 0.21 Options outstanding as of September 30, 2018 1,205,000 $ 1.45 9.0 $ 2,010 Options exercisable at September 30, 2018 237,500 $ 0.84 8.7 $ 542 Options vested and expected to vest at September 30, 2018 1,155,000 $ 1.45 9.0 $ 1,923 The aggregate intrinsic value of stock options is calculated as the difference between the exercise price of the stock options and the fair value of the Company’s common stock for those stock options that had strike prices lower than the fair value of the Company’s common stock. The assumptions used to calculate the fair value of options granted during the nine months ended September 30, 2018 under the BSM were as follows: September 30, 2018 Expected dividends — % Expected volatility 85 % Risk-free interest rate 2.8-2.9 % Expected term 6.3 years Weighted average fair value $ 2.21 Expected Term — The Company has opted to use the “simplified method” for estimating the expected term of options granted to employees and directors, whereby the expected term equals the arithmetic average of the vesting term and the original contractual term of the option (generally 10 years). The expected term of options granted to non-employees equals the contractual life of the options. Expected Volatility — Due to the Company’s limited operating history and a lack of Company-specific historical and implied volatility data, the Company has based its estimate of expected volatility on the historical volatility of a group of similar companies that are publicly traded. The historical volatility data was computed using the daily closing prices for the selected companies’ shares during the equivalent period of the calculated expected term of the stock-based awards. Risk-Free Interest Rate — The risk-free rate assumption is based on the U.S. Treasury instruments with maturities similar to the expected term of the Company’s stock options. Expected Dividend — The Company has not issued any dividends in its history and does not expect to issue dividends over the life of the options and therefore has estimated the dividend yield to be zero. Fair value of Common Stock — Prior to the Company’s IPO in November 2018, the fair value of the shares of common stock underlying the stock-based awards was determined by the board of directors, with input from management. Because there was no public market for the Company’s common stock, the board of directors determined the fair value of the common stock on the grant-date of the stock-based award by considering a number of objective and subjective factors, including enterprise valuations of the Company’s common stock performed by an unrelated third-party specialist, valuations of comparable companies, sales of the Company’s convertible preferred stock to unrelated third parties, operating and financial performance, the lack of liquidity of the Company’s capital stock, and general and industry-specific economic outlook. The board of directors intended all options granted to be exercisable at a price per share not less than the estimated per share fair value of common stock underlying those options on the date of grant. A summary of activity for RSAs and RSUs is as follows: Restricted Stock Awards Number of shares Unvested as of December 31, 2017 2,500,000 Issued 218,980 Vested (2,164,235 ) Forfeited/Cancelled — Unvested as of September 30, 2018 554,745 The weighted average grant date fair value of the RSAs issued was $1.37 during the nine months ended September 30, 2018. The fair value of the RSAs vested during the nine months ended September 30, 2018 was $2,677. Restricted Stock Units Number of shares Unvested as of December 31, 2017 50,000 Issued — Vested (50,000 ) Forfeited/Cancelled — Unvested as of September 30, 2018 — The fair value of the RSUs vested during the nine months ended September 30, 2018 was $69. As of September 30, 2018, there was a total of $913, $174 and $0 of unrecognized compensation costs related to non-vested stock option awards, RSAs and RSUs, respectively. There were no exercises of stock options during the nine months ended September 30, 2018.

Basic and Diluted Net Loss Per

Basic and Diluted Net Loss Per Common Share	9 Months Ended
	Sep. 30, 2018
Earnings Per Share [Abstract]
Basic and Diluted Net Loss Per Common Share	Note 9 — Basic and Diluted Net Loss per Common Share Basic and diluted net loss per share is computed using the weighted average number of shares of common stock outstanding during the period. Common stock equivalents (using the treasury stock and “if converted” method) from stock options, unvested RSAs and RSUs, warrants and convertible preferred stock at September 30, 2018 and 2017 were 9,039,088 and 5,749,080, respectively and are excluded from the calculation of diluted net loss per share because the effect is anti-dilutive. Included in the basic and diluted net loss per share calculation were RSUs awarded to directors that had vested, but the issuance and delivery of the shares are deferred until the director retires from service as a director. The following table shows the computation of basic and diluted net loss per common share: Period from April 27, 2017 (inception) through September 30, 2017 Nine months ended September 30, 2018 (unaudited) Net loss $ (4,986 ) $ (9,010 ) Series A Preferred – dividends (accrued and deemed) (782 ) (2,157 ) Net loss attributable to common stockholders $ (5,768 ) $ (11,167 ) Weighted average common shares outstanding (basic and diluted) 3,410,987 4,657,900 Net loss per common share (basic and diluted) $ (1.69 ) $ (2.40 ) Three months ended September 30, 2017 Three months ended September 30, 2018 (unaudited) Net loss $ (2,802 ) $ (2,910 ) Series A Preferred – dividends (accrued and deemed) (691 ) (729 ) Net loss attributable to common stockholders $ (3,493 ) $ (3,639 ) Weighted average common shares outstanding basic and diluted) 3,500,272 5,614,892 Net loss per common share (basic and diluted) $ (1.00 ) $ (0.65 )

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2018
Related Party Transactions [Abstract]
Related Party Transactions	Note 10 — Related Party Transactions Imprimis Imprimis was issued 3,500,000 shares of the Company’s common stock at the formation of the Company at the $0.001 par value per share price as the paid-in-capital contribution from Imprimis. The Company and Imprimis signed licensing agreements for two products developed by Imprimis whereby Imprimis assigned the product rights to the Company. The Company will pay Imprimis a $50 milestone payment upon patent approval for each product and a royalty fee at a rate of six percent on the net sales of those two products. On December 26, 2017, one of the products had its patent approved and a $50 milestone fee was recognized as R&D expense by the Company in 2017 and paid to Imprimis in January 2018. In July 2018, the Company determined the patent-approved product was not viable for its portfolio of product opportunities and Imprimis paid the Company $50 to cancel the licensing agreement for the one product and retain the product rights at Imprimis. As part of the early start-up for the Company’s pharmaceutical business, key executives at Imprimis received 1,500,000 shares of restricted common stock in the Company for consulting services and certain Imprimis managers also received options to purchase 130,000 shares of common stock from the Company (20,000 of these options were forfeited in 2018). The restricted stock and stock options vested 100% after one year on April 30, 2018. The Company recorded stock-based compensation expense of $970 and $856 for the Imprimis restricted common stock and $51 and $70 for Imprimis stock options, respectively, for the periods ended September 30, 2018 and 2017 as a component of its general and administrative expenses. Additionally, the Chief Executive Officer of Imprimis is a member of the Company’s board of directors. Chief Executive Officer The CEO has a partial interest in several companies that the Company is working with for product development and potential marketing if the products are approved by the FDA as detailed below. The Company acquired the exclusive rights to sell the EM-100 product in the United States pursuant to a sales and marketing agreement (the “Eyemax Agreement”) dated August 11, 2017 between the Company and Eyemax LLC, an entity affiliated with the CEO (“Eyemax”). The Company also holds a right of first refusal to obtain the exclusive license rights for geographic areas outside of the United States. Pursuant to the Eyemax Agreement, the Company is responsible for all costs of testing and FDA approval of the product, other than the FDA filing fee which will be paid by Eyemax. The Company is also responsible for commercializing the product in the United States at its expense. The Company paid Eyemax $250 upon execution of the Eyemax Agreement, which was recorded as a component of research and development expense and will pay Eyemax $250 upon FDA approval and $500 upon the first commercial sale of the product. The Company will also pay Eyemax a royalty of 10% on the net sales of all products. The Eyemax Agreement is for an initial term of 10 years from the date of the Eyemax Agreement, subject to successive two-year renewals unless the Company elects to terminate the Eyemax Agreement. There were no amounts due under the terms of the Eyemax Agreement as of December 31, 2017 and September 30, 2018. The Company acquired the exclusive rights to sell the DS-100 product in the United States pursuant to an exclusive development and supply agreement (the “Andersen Agreement”) dated July 9, 2017 between the Company and Andersen Pharma, LLC, an entity affiliated with the CEO (“Andersen”). The Company also holds an option to purchase the DS-100 product and all related intellectual property and government approvals at a price of one dollar. Pursuant to the Andersen Agreement, Andersen is responsible for obtaining FDA approval at its expense and manufacturing the product for sale to the Company at its cost. The Company is responsible for commercializing the product in the United States at its expense. The Company paid Andersen $750 upon execution of the Andersen Agreement, which was recorded as a component of research and development expense and will pay Andersen $750 upon successful completion of three registration batches of product, $750 upon submission of an NDA and $750 upon FDA approval. The Company will also pay Andersen 50% of the net profit from the sale of the product. The Andersen Agreement is for an initial term of five years from the first commercial sale of the product, subject to successive two-year renewals unless either party elects to terminate the Andersen Agreement. There were no amounts due under the terms of the Andersen Agreement as of December 31, 2017 or September 30, 2018. The aforementioned option to purchase the product and all related intellectual property and government approvals was considered to represent variable interest in the affiliated entity. The affiliated entity was not considered to be a variable interest entity. The Company acquired the DS-200 product and all related intellectual property and government approvals pursuant to an asset purchase agreement (the “Selenix Agreement”) dated June 23, 2017 between the Company and Selenix LLC, an entity affiliated with the CEO (“Selenix”). Pursuant to the Selenix Agreement, the Company paid Selenix $1,500, which was recorded as a component of research and development expense and has agreed to pay $1,500 upon submission of the NDA and $1,000 upon FDA approval. The Company has also agreed to pay Selenix 50% of the net profit from the sale of the product for the first 10 years following the date of the Selenix Agreement. There were no amounts due under the terms of the Selenix Agreement as of December 31, 2017 or September 30, 2018 (unaudited).

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 11 — Commitments and Contingencies Legal The Company is subject to legal proceedings and claims that may arise in the ordinary course of business. The Company is not aware of any pending or threatened litigation matters at this time that may have a material impact on the operations of the Company. License and product development agreements The Company has entered into various agreements in addition to those discussed above which are described below. The Company entered into a contract for development and production of its CT-100 product with an unaffiliated third party on November 7, 2017. Pursuant to the agreement, the third party is responsible for development and production of the product and for obtaining FDA approval and the Company is responsible for commercializing the product in the United States. The Company will pay the third party 30% of the net profits from the sale of the product. The initial term is for the first 10 years following the first commercial sale of the product. The Company acquired the exclusive rights to sell the DS-300 product in the United States pursuant to a sales and marketing agreement dated November 17, 2017 with an unaffiliated third party (the “Sales Agreement”). Pursuant to the Sales Agreement, the licensor is responsible for obtaining FDA approval, at its expense, and the Company is responsible for commercializing the product in the United States at its expense. The Company will pay the third party 50% of the net profit from the sale of the product. The initial term is for the first 10 years following the first commercial sale of the product. The Company entered into a contract with a clinical research organization (“CRO”) for clinical studies on its EM-100 product candidate and those studies were completed in 2018. The Company paid milestones at each phase of completion of the clinical study. Total milestone payments under the contract were $1,104 and the study was completed in August 2018. The Company acquired the exclusive license to develop, manufacture and sell ET-103 in the United States. pursuant to an Exclusive License and Supply Agreement dated August 3, 2018 between the Company and Liqmeds Worldwide Limited, an unaffiliated entity. Pursuant to the agreement, the Company will be responsible for, and shall own, all regulatory filings and approvals at its expense, provided that it shall have the right to recoup 35% of any regulatory filing fees from the initial profits from the sale of ET-103 and, provided further, the licensor shall be responsible for any bioequivalence study and shall be responsible for 60% of the costs of such study. An affiliate of the licensor shall manufacture the ET-103 and sell it to the Company at its cost. The Company paid the licensor $350 upon execution of the agreement and will pay the licensor $1,500 upon the FDA’s acceptance of an NDA for review, $1,000 upon FDA approval, $1,500 upon issuance of patent covering ET-103 listed in the FDA’s Orange Book and $500 in the event of product sales in excess of $10,000 in any calendar year. In addition, the Company is required to pay the licensor 35% of the net profit from product sales, payable on a quarterly calendar basis; provided however, that if during any calendar quarter the net profits are negative then a negative balance will accrue and will be offset against future milestone or profit share payments owed to the licensor. The license agreement is for an initial term of 10 years from the date of the first commercial sale of the product, subject to two-year renewals unless either party elects to terminate no less than 12 months prior to the then current term. The agreement also contains customary representations, warranties, covenants and indemnities by the parties. Indemnifications As permitted under Delaware law and in accordance with the Company’s Amended and Restated Bylaws, the Company is required to indemnify its officers and directors for certain events or occurrences while the officer or director is or was serving in such capacity. The Company is also party to indemnification agreements with its directors and officers. The Company believes the fair value of the indemnification rights and agreements is minimal. Accordingly, the Company has not recorded any liabilities for these indemnification rights and agreements as of December 31, 2017 or September 30, 2018.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2018
Subsequent Events [Abstract]
Subsequent Events	Note 12 — Subsequent Events The Company has performed an evaluation of events occurring subsequent to September 30, 2018 through the filing date of this Quarterly Report. Based on its evaluation, nothing other than the events described below need to be disclosed. During November 2018, the Company completed its IPO, sold 4,140,000 shares of its common stock at a gross price of $6.00 per share and received $22,603 in net cash proceeds after deductions of underwriter fees and offering expenses. In conjunction with the IPO, the Company’s 6,685,082 outstanding shares of Series A Preferred automatically converted into 7,248,948 shares of its common stock. Warrants for 414,000 shares of the Company’s common stock were issued to the IPO underwriter at an exercise price of $7.50 per share as part of the underwriter’s placement fee for the IPO. Upon the closing of the Company’s IPO in November 2018, the shares for the Company’s placement agent warrant became fixed and the warrant liability was then reclassified to additional paid-in capital on the Company’s balance sheet. In addition, the remaining unaccreted stock issuance costs for the Company’s Series A Preferred were fully accreted as a deemed dividend.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2018
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The Company has prepared the accompanying financial statements in accordance with accounting principles generally accepted in the United States (“GAAP”).
Unaudited Interim Financial Information	Unaudited Interim Financial Information The accompanying condensed balance sheet as of September 30, 2018, the condensed statements of operations and cash flows for the periods ended September 30, 2018 and 2017, and the statement of redeemable convertible preferred stock and stockholders’ deficit for the nine months ended September 30, 2018 are unaudited. The unaudited interim financial statements have been prepared on the same basis as the audited financial statements and, in the opinion of management, reflect all adjustments necessary for the fair presentation of the Company’s financial position as of September 30, 2018 and the results of its operations and its cash flows for the periods ended September 30, 2018 and 2017. The financial data and other information disclosed in these notes related to the periods ended September 30, 2018 and 2017 are also unaudited. The results for the periods ended September 30, 2018 are not necessarily indicative of results to be expected for the year ending December 31, 2018, any other interim periods or any future year or period.
Use of Estimates	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, the disclosure of contingent assets and liabilities at the date of the condensed financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant estimates and assumptions reflected in these condensed financial statements include, but are not limited to, the accrual of research and development expenses and the valuation of common stock, stock options, warrants and derivative instruments. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Changes in estimates are recorded in the period in which they become known. Actual results could differ from those estimates or assumptions.
Segment Information	Segment Information The Company operates the business on the basis of a single reportable segment, which is the business of developing and commercializing prescription drug products. The Company’s chief operating decision-maker is the Chief Executive Officer (“CEO”), who evaluates the Company as a single operating segment.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. All cash and cash equivalents are held in U.S. financial institutions. Cash equivalents consist of an interest-bearing checking account. From time to time, amounts deposited exceed federally insured limits. The Company believes the associated credit risk to be minimal.
Deferred Offering Costs	Deferred Offering Costs The Company capitalizes certain legal, professional accounting and other third-party fees that are directly associated with in-process equity financings as deferred offering costs until such financings are consummated. After consummation of the equity financing, these costs are recorded in stockholders’ deficit as a reduction of proceeds generated as a result of the offering. Should the planned equity financing be abandoned, the deferred offering costs will be expensed immediately as a charge to operating expenses in the statements of operations. The Company recorded deferred offering costs of $0 and $397 as of December 31, 2017 and September 30, 2018, respectively, which is included in other long-term assets on the accompanying condensed balance sheet.
Classification and Accretion of Redeemable Convertible Preferred Stock	Classification and Accretion of Redeemable Convertible Preferred Stock The Company has classified the Series A Preferred outside of stockholders’ equity (deficit) because the shares contain certain redemption features that are not solely within the control of the Company. The carrying value of the Series A Preferred is accreted to its redemption value from the date of issuance through the earliest date of redemption.
Research and Development Expenses	Research and Development Expenses Research and development (“R&D”) expenses include both internal R&D activities and external contracted services. Internal R&D activity expenses include salaries, benefits and stock-based compensation and other costs to support the Company’s R&D operations. External contracted services include product development efforts including certain product licensor milestone payments, clinical trial activities, manufacturing and control-related activities and regulatory costs. R&D expenses are charged to operations as incurred. The Company reviews and accrues R&D expenses based on services performed and relies upon estimates of those costs applicable to the stage of completion of each project. Significant judgments and estimates are made in determining the accrued balances at the end of any reporting period. Actual results could differ from the Company’s estimates. Upfront payments and milestone payments made for the licensing of technology are expensed as R&D in the period in which they are incurred. Nonrefundable advance payments for goods or services to be received in the future for use in R&D activities are recorded as prepaid expenses and are expensed as the related goods are delivered or the services are performed.
Earnings (Loss) Per Share	Earnings (Loss) Per Share Basic net loss per common share is computed by dividing net loss attributable to common stockholders for the period by the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing the net loss attributable to common stockholders for the period by the weighted average number of common and common equivalent shares, such as Series A Preferred, unvested restricted stock, stock options and warrants, outstanding during the period. Common stock equivalents are excluded from the computation where their inclusion would be anti-dilutive. No such adjustments were made for 2017 or 2018 as the Company reported a net loss for the periods ended September 30, 2017 and 2018 as including the effects of common stock equivalents in the diluted EPS calculation would have been antidilutive (See Note 9).
Warrant Liability	Warrant Liability The Company estimates the fair value of certain warrants at each reporting period using Level 3 inputs. The estimates in valuation models are based, in part, on subjective assumptions, including but not limited to stock price volatility, the expected life of the warrants, the risk-free interest rate and the exercise price of the warrants, and could differ materially in the future. Changes in the fair value of the warrant liability during the period are recorded as a component of other income (expense). The Company will continue to adjust the fair value of the warrant liability at the end of each reporting period for changes in fair value until the earlier of the exercise or expiration of the applicable warrants, or when the number of shares issuable upon exercise of these warrants is fixed which occurred with the Company’s IPO in November 2018.
Stock-Based Compensation	Stock-Based Compensation The Company accounts for stock-based compensation under the provisions of the Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (“ASC”) — 718 Compensation — Stock Compensation. The guidance under ASC 718 requires companies to estimate the fair value of the stock-based compensation awards on the date of grant for employees and directors and record expense over the related service periods, which are generally the vesting period of the equity awards. Awards for consultants are accounted for under ASC 505-50 — Equity Based Payments to Non-Employees. Compensation expense is recognized over the period during which services are rendered by such consultants and non-employees until completed. At the end of each financial reporting period prior to completion of the service, the fair value of these awards is remeasured using the then-current fair value of the Company’s common stock and updated assumption inputs in the Black-Scholes-Merton option-pricing model (“BSM”). The Company estimates the fair value of stock-based option awards to its employees and directors using the BSM. The BSM requires the input of subjective assumptions, including the expected stock price volatility, the calculation of expected term, forfeitures and the fair value of the underlying common stock on the date of grant, among other inputs. The risk-free interest rate was determined from the implied yields for zero-coupon U.S. government issues with a remaining term approximating the expected life of the options or warrants. Dividends on common stock are assumed to be zero for the BSM valuation of the stock options. The expected term of stock options granted is based on vesting periods and the contractual life of the options. Expected volatilities are based on comparable companies’ historical volatility, which management believes represents the most accurate basis for estimating expected future volatility under the current conditions. The Company accounts for forfeitures as they occur.
Fair Value Measurements	Fair Value Measurements We measure certain of our assets and liabilities at fair value. Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value accounting requires characterization of the inputs used to measure fair value into a three-level fair value hierarchy as follows: Level 1 Level 2 Level 3 Fair value measurements are classified based on the lowest level of input that is significant to the measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, which may affect the valuation of the assets and liabilities and their placement within the fair value hierarchy levels. The determination of the fair values stated below takes into account the market for the Company’s financials, assets and liabilities, the associated credit risk and other factors as required. The Company considers active markets as those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis. The carrying amounts of cash and cash equivalents, accounts payable and accrued liabilities approximate their fair values due to the short-term maturities of these instruments. The fair values of the Company’s warrant liability at inception and for subsequent mark-to-market fair value measurements are based on management’s valuation model and expectations with respect to the method and timing of settlement. The Company has determined that the warrant liability fair values are classified as Level 3 measurements within the fair value hierarchy.
Impact of New Accounting Pronouncements	Impact of New Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02 (Topic 842) – Leases, which requires the lease rights and obligations arising from lease contracts, including existing and new arrangements, with terms more than 12 months to be recognized as assets and liabilities on the balance sheet. Recognition, measurement and presentation of expenses will depend on classification as a finance or operating lease. The amendments also require certain quantitative and qualitative disclosures about leasing arrangements. ASU 2016-02 is effective for reporting periods beginning after December 15, 2018 with early adoption permitted. While the Company is still evaluating ASU 2016-02, the Company expects the adoption of ASU 2016-02 will not have a material effect on the Company’s financial condition from the recognition of the lease rights and obligations as assets and liabilities. The Company is currently evaluating ASU 2016-02 to determine the effect on the Company’s results of operations and cash flows. In June 2018, the FASB issued ASU 2018-07, Compensation — Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which simplifies the accounting for nonemployee share-based payment transactions. The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. ASU 2018-07 will be effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years with early adoption permitted (but no sooner than the adoption of Topic 606). The Company is currently evaluating ASU 2018-07 to determine the effect on the Company’s financial statements. In August 2018, the SEC adopted the final rule under SEC Release No. 33-10532, Disclosure Update and Simplification

Fair Value of Financial Asset_2

Fair Value of Financial Assets and Liabilities (Tables)	9 Months Ended
	Sep. 30, 2018
Fair Value Disclosures [Abstract]
Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis and indicates the level of the fair value hierarchy utilized to determine such fair values (in thousands): Fair Value Measurements as of December 31, 2017 Using: Level 1 Level 2 Level 3 Total Liabilities: Warrant liability $ — $ — $ 520 $ 520 Fair Value Measurements as of September 30, 2018 Using: Level 1 Level 2 Level 3 Total Liabilities: Warrant liability $ — $ — $ 1,577 $ 1,577
Schedule of Aggregate Fair Values of the Warrant Liability	The following table provides a roll forward of the aggregate fair values of the Company’s warrant liability, for which fair value is determined using Level 3 inputs Period from April 27, 2017 (inception) to December 31, 2017 Nine months ended September 30, 2018 Balance as of the beginning of the period $ — $ 520 Initial fair value of warrant liability 479 — Change in fair value 41 1,057 Balance as of the end of the period $ 520 $ 1,577

Redeemable Convertible Prefer_2

Redeemable Convertible Preferred Stock - Series A (Tables)	9 Months Ended
	Sep. 30, 2018
Temporary Equity Disclosure [Abstract]
Summary of Reconciliation of Carrying Value of Series A Preferred Stock	The following is a reconciliation of the carrying value of the Series A Preferred (in thousands): December 31, 2017 September 30, 2018 Gross proceeds from Series A Preferred offering $ 20,055 $ 20,055 Issuance costs – cash (2,055 ) (2,055 ) Issuance costs – common stock warrants (479 ) (479 ) Accrued dividends on Series A Preferred 643 1,543 Deemed dividends for accretion of Series A Preferred issuance costs 840 2,097 Balance as of the end of the period $ 19,004 $ 21,161

Share-Based Payment Awards (Tab

Share-Based Payment Awards (Tables)	9 Months Ended
	Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Stock Option Activity	A summary of stock option activity is as follows: Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value Options outstanding as of December 31, 2017 1,090,000 $ 1.24 9.7 $ 151 Issued 135,000 3.00 Exercised — — Forfeited/Cancelled (20,000 ) 0.21 Options outstanding as of September 30, 2018 1,205,000 $ 1.45 9.0 $ 2,010 Options exercisable at September 30, 2018 237,500 $ 0.84 8.7 $ 542 Options vested and expected to vest at September 30, 2018 1,155,000 $ 1.45 9.0 $ 1,923
Schedule of Assumptions Used to Calculate Fair Value of Options Granted	The assumptions used to calculate the fair value of options granted during the nine months ended September 30, 2018 under the BSM were as follows: September 30, 2018 Expected dividends — % Expected volatility 85 % Risk-free interest rate 2.8-2.9 % Expected term 6.3 years Weighted average fair value $ 2.21
Summary of Activity for Restricted Stock Awards	Restricted Stock Awards Number of shares Unvested as of December 31, 2017 2,500,000 Issued 218,980 Vested (2,164,235 ) Forfeited/Cancelled — Unvested as of September 30, 2018 554,745
Summary of Activity for Restricted Stock Units	Restricted Stock Units Number of shares Unvested as of December 31, 2017 50,000 Issued — Vested (50,000 ) Forfeited/Cancelled — Unvested as of September 30, 2018 —

Basic and Diluted Net Loss Pe_2

Basic and Diluted Net Loss Per Common Share (Tables)	9 Months Ended
	Sep. 30, 2018
Earnings Per Share [Abstract]
Computation of Basic and Diluted Net Loss Per Common Share	The following table shows the computation of basic and diluted net loss per common share: Period from April 27, 2017 (inception) through September 30, 2017 Nine months ended September 30, 2018 (unaudited) Net loss $ (4,986 ) $ (9,010 ) Series A Preferred – dividends (accrued and deemed) (782 ) (2,157 ) Net loss attributable to common stockholders $ (5,768 ) $ (11,167 ) Weighted average common shares outstanding (basic and diluted) 3,410,987 4,657,900 Net loss per common share (basic and diluted) $ (1.69 ) $ (2.40 ) Three months ended September 30, 2017 Three months ended September 30, 2018 (unaudited) Net loss $ (2,802 ) $ (2,910 ) Series A Preferred – dividends (accrued and deemed) (691 ) (729 ) Net loss attributable to common stockholders $ (3,493 ) $ (3,639 ) Weighted average common shares outstanding basic and diluted) 3,500,272 5,614,892 Net loss per common share (basic and diluted) $ (1.00 ) $ (0.65 )

Company Overview (Details Narra

Company Overview (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	5 Months Ended	9 Months Ended
	Jun. 30, 2017	Sep. 30, 2017	Sep. 30, 2018
Start-up capital		$ 18,000
November 2018 [Member]
Stock issued during period			4,140,000
Common stock share price per share			$ 6
Net cash proceeds from initial public offering			$ 22,603
Redeemable Convertible Preferred Stock [Member]
Start-up capital	$ 20,055

Liquidity Considerations (Detai

Liquidity Considerations (Details Narrative) - USD ($) $ in Thousands	5 Months Ended	8 Months Ended	9 Months Ended
	Sep. 30, 2017	Dec. 31, 2017	Sep. 30, 2018
Accumulated deficit		$ (8,639)	$ (19,806)
Net cash used in operating activities	$ (3,650)	$ 4,718	(6,371)
November 15, 2018 [Member]
Proceeds from initial public offering			$ 22,603

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Narrative) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Accounting Policies [Abstract]
Deferred offering costs	$ 397	$ 0

Fair Value of Financial Asset_3

Fair Value of Financial Assets and Liabilities (Details Narrative) - USD ($) $ in Thousands	8 Months Ended	9 Months Ended
	Dec. 31, 2017	Sep. 30, 2018
Fair Value Disclosures [Abstract]
Transfers between levels	$ 0	$ 0
Expected dividend yield		0.00%

Fair Value of Financial Asset_4

Fair Value of Financial Assets and Liabilities - Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017	Apr. 26, 2017
Warrant liability	$ 1,577	$ 520
Fair Value, Measurements, Recurring [Member]
Warrant liability	1,577	520
Fair Value, Measurements, Recurring [Member] | Level 1 [Member]
Warrant liability
Fair Value, Measurements, Recurring [Member] | Level 2 [Member]
Warrant liability
Fair Value, Measurements, Recurring [Member] | Level 3 [Member]
Warrant liability	$ 1,577	$ 520

Fair Value of Financial Asset_5

Fair Value of Financial Assets and Liabilities - Schedule of Aggregate Fair Values of the Warrant Liability (Details) - USD ($) $ in Thousands	3 Months Ended		5 Months Ended	8 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2017	Dec. 31, 2017	Sep. 30, 2018
Fair Value Disclosures [Abstract]
Balance as of the beginning of the period					$ 520
Initial fair value of warrant liability				479
Change in fair value	$ 561	$ 41	$ 41	41	1,057
Balance as of the end of the period	$ 1,577			$ 520	$ 1,577

Redeemable Convertible Prefer_3

Redeemable Convertible Preferred Stock - Series A (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	5 Months Ended	8 Months Ended	9 Months Ended
	Jun. 30, 2017	Sep. 30, 2017	Dec. 31, 2017	Sep. 30, 2018
Preferred stock, shares authorized			10,000,000	10,000,000
Preferred stock, par value			$ 0.001	$ 0.001
Preferred stock, shares issued			6,685,082	6,685,082
Gross proceeds from Series A Preferred offering		$ 18,000
Preferred stock, liquidation value			$ 20,698	21,598
Preferred stock, issued amount			19,004	21,161
Preferred stock, accrued dividends			643	1,543
Accretion of dividends as deemed			840	$ 2,097
IPO [Member] | Common Stock [Member]
Share issue initial price per share				$ 3
Convertible preferred stock, terms				The Series A Preferred was converted to the Company's common shares as a result of its IPO in November 2018 (see Note 12).
Redeemable Convertible Preferred Stock [Member]
Preferred stock, shares authorized				10,000,000
Preferred stock, par value	$ 3			$ 0.001
Preferred stock, shares issued	6,685,082
Gross proceeds from Series A Preferred offering	$ 20,055
Preferred stock, liquidation value			20,698	$ 21,598
Preferred stock, issued amount			20,055	20,055
Preferred stock, accrued dividends			$ 643	$ 1,543
Redeemable Convertible Preferred Stock [Member] | IPO [Member]
Share issue initial price per share				$ 6
Percentage of common stock issue price for conversion				50.00%
Accretion of dividends as deemed				$ 2,534
Redeemable Convertible Preferred Stock- Series A [Member]
Gross proceeds from Series A Preferred offering				$ 20,055

Redeemable Convertible Prefer_4

Redeemable Convertible Preferred Stock - Series A - Summary of Reconciliation of Carrying Value of Series A Preferred Stock (Details) - USD ($) $ in Thousands	8 Months Ended	9 Months Ended
	Dec. 31, 2017	Sep. 30, 2018
Temporary Equity Disclosure [Abstract]
Gross proceeds from Series A Preferred offering	$ 20,055	$ 20,055
Issuance costs - cash	(2,055)	(2,055)
Issuance costs - common stock warrants	(479)	(479)
Accrued dividends on Series A Preferred	643	1,543
Deemed dividends for accretion of Series A Preferred issuance costs	840	2,097
Balance as of the end of the period	$ 19,004	$ 21,161

Common Stock (Details Narrative

Common Stock (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands	Jan. 02, 2018	May 31, 2017	Dec. 31, 2017	Sep. 30, 2018	Sep. 30, 2017
Common stock, shares authorized			50,000,000	50,000,000
Common stock, par value			$ 0.001	$ 0.001
December 31, 2018 [Member]
Vesting percentage				100.00%
Restricted Stock [Member] | Certain Executives [Member]
Shares issued		1,500,000
Restricted Stock [Member] | CEO [Member]
Shares issued		1,000,000
Restricted Stock [Member] | Imprimis Executives and Staff [Member]
Vesting period		12 months
Restricted Stock [Member] | Outside Directors [Member]
Vesting period		24 months
Vesting percentage		25.00%
Restricted Stock Awards (RSAs) [Member]
Share based compensation expense			$ 1,403	$ 1,247	$ 875
Common Stock [Member] | Imprimis [Member]
Shares issued		3,500,000
Common Stock [Member] | Imprimis [Member] | Outside Directors One [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Outside Directors Two [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Outside Directors Three [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Outside Directors Four [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Four Outside Directors [Member]
Shares issued as compensation	218,980

Common Stock Warrants (Details

Common Stock Warrants (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands	Jun. 30, 2017	May 31, 2017	Dec. 31, 2017	Sep. 30, 2018
Expected term				6 years 3 months 19 days
Volatility rate				85.00%
Expected dividends rate				0.00%
Redeemable Convertible Preferred Stock [Member]
Warrants, fair value			$ 520
Increase in fair value of warrant			$ 41
Weighted average exercise price of warrants			$ 1.56	$ 1.56
Redeemable Convertible Preferred Stock- Series A [Member]
Warrants, fair value				$ 1,577
Expected term				5 years
Volatility rate				85.00%
Risk-free interest rate				2.90%
Increase in fair value of warrant				$ 1,057
Placement Agent [Member] | Redeemable Convertible Preferred Stock [Member]
Warrants issued to purchase common stock	649,409
Warrants exercise price	$ 3
Warrants conversion, description	The warrant shall adjust to entitle the holder to purchase shares of common stock equal to 10.0% of the shares of common stock issuable upon conversion of the Series A Preferred (excluding 191,000 shares of Series A Preferred that were purchased by insiders) and the exercise price shall adjust to the conversion price of the Series A Preferred. This warrant vested at issuance in June 2017.
Placement Agent [Member] | Series A Preferred Stock [Member]
Common stock issuable upon conversion of preferred stock	191,000
General and Administrative Expense [Member]
Consulting warrants expense		$ 121
Business Strategy and Intellectual Property Advisory Services [Member]
Warrants issued to purchase common stock		600,000
Warrants exercise price		$ 0.01
Warrants expiration term		5 years
Warrants, fair value				$ 121
Expected term				5 years
Volatility rate				85.00%
Risk-free interest rate				1.80%
Expected dividends rate				0.00%

Share-Based Payment Awards (Det

Share-Based Payment Awards (Details Narrative) $ / shares in Units, $ in Thousands	Jan. 02, 2018Directorshares	May 31, 2017	Sep. 30, 2018USD ($)shares	Sep. 30, 2017USD ($)	Sep. 30, 2018USD ($)$ / sharesshares
Number of stock options issued to purchase common stock					135,000
December 31, 2018 [Member]
Restricted shares to outside directors vesting percentage					100.00%
Restricted Stock [Member]
Number of stock options issued to purchase common stock					218,980
Restricted Stock Units (RSUs) [Member]
Number of stock options issued to purchase common stock
Outside Directors [Member] | Restricted Stock [Member]
Restricted shares to outside directors vesting percentage		25.00%
Common Stock [Member] | Imprimis [Member] | Outside Directors One [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Outside Directors Two [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Outside Directors Three [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Outside Directors Four [Member]
Shares issued as compensation	54,745
Common Stock [Member] | Imprimis [Member] | Four Outside Directors [Member]
Shares issued as compensation	218,980
2017 Equity Incentive Plan [Member]
Share-based compensation arrangement by share-based payment award, number of shares authorized			5,000,000		5,000,000
Share-based compensation arrangement, shares available for future issuance			976,020		976,020
Stock-based compensation expense | $			$ 165	$ 604	$ 1,631
2017 Equity Incentive Plan [Member] | General and Administrative Expense [Member]
Stock-based compensation expense | $			147	593	1,581
2017 Equity Incentive Plan [Member] | Research and Development Expense [Member]
Stock-based compensation expense | $			18	$ 11	$ 50
2017 Equity Incentive Plan [Member] | Stock Option [Member]
Stock options expiration period					10 years
2017 Equity Incentive Plan [Member] | RSAs [Member]
Weighted average grant date fair value of the RSAs issued | $ / shares					$ 1.37
Fair value of RSAs vested | $					$ 2,677
Unrecognized compensation costs | $			174		174
2017 Equity Incentive Plan [Member] | RSAs [Member]
Fair value of RSAs vested | $					69
2017 Equity Incentive Plan [Member] | Non-Vested Stock Option Awards [Member]
Unrecognized compensation costs | $			913		913
2017 Equity Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member]
Unrecognized compensation costs | $			$ 0		$ 0
2017 Equity Incentive Plan [Member] | Director [Member] | Restricted Stock [Member]
Number of outside directors | Director	4
2017 Equity Incentive Plan [Member] | Director [Member] | Restricted Stock [Member] | December 31, 2018 [Member]
Restricted shares to outside directors vesting percentage					100.00%
2017 Equity Incentive Plan [Member] | Product Consultant [Member]
Number of stock options issued to purchase common stock					50,000
2017 Equity Incentive Plan [Member] | Common Stock [Member] | Product Consultant [Member]
Stock options expiration period					5 years

Share-Based Payment Awards - Su

Share-Based Payment Awards - Summary of Stock Option Activity (Details) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2018USD ($)$ / sharesshares
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Options outstanding, Shares beginning balance | shares	1,090,000
Issued, Shares | shares	135,000
Exercised, Shares | shares
Forfeited/Cancelled, Shares | shares	(20,000)
Options outstanding, Shares ending balance | shares	1,205,000
Options exercisable, ending balance | shares	237,500
Options vested and expected to vest, ending balance | shares	1,155,000
Options outstanding, Weighted Average Exercise Price beginning balance | $ / shares	$ 1.24
Issued, Weighted Average Exercise Price | $ / shares	3
Exercised, Weighted Average Exercise Price | $ / shares
Forfeited/Cancelled, Weighted Average Exercise Price | $ / shares	0.21
Options outstanding, Weighted Average Exercise Price | $ / shares	1.45
Options exercisable, Weighted Average Exercise Price ending balance | $ / shares	0.84
Options vested and expected to vest Weighted Average Exercise Price ending balance | $ / shares	$ 1.45
Options outstanding, Weighted Average Remaining Contractual Term, beginning	9 years 8 months 12 days
Options outstanding, Weighted Average Remaining Contractual Term, ending	9 years
Options exercisable Weighted Average Remaining Contractual Term, ending	8 years 8 months 12 days
Options vested and expected to vest Weighted Average Remaining Contractual Term, ending	9 years
Options outstanding, Aggregate Intrinsic Value, beginning | $	$ 151
Options outstanding, Aggregate Intrinsic Value, ending | $	2,010
Options exercisable Aggregate Intrinsic Value, ending | $	542
Options vested and expected to vest, Aggregate Intrinsic Value ending | $	$ 1,923

Share-Based Payment Awards - Sc

Share-Based Payment Awards - Schedule of Assumptions Used to Calculate Fair Value of Options Granted (Details)	9 Months Ended
	Sep. 30, 2018$ / shares
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Expected dividends	0.00%
Expected volatility	85.00%
Risk-free interest rate, minimum	2.80%
Risk-free interest rate, maximum	2.90%
Expected term	6 years 3 months 19 days
Weighted average fair value	$ 2.21

Share-Based Payment Awards - _2

Share-Based Payment Awards - Summary of Activity for Restricted Stock Awards (Details)	9 Months Ended
	Sep. 30, 2018shares
Issued	135,000
Restricted Stock [Member]
Unvested, Outstanding, Beginning Balance	2,500,000
Issued	218,980
Vested	(2,164,235)
Forfeited/Cancelled
Unvested, Outstanding, Ending Balance	554,745

Share-Based Payment Awards - _3

Share-Based Payment Awards - Summary of Activity for Restricted Stock Units (Details)	9 Months Ended
	Sep. 30, 2018shares
Issued	135,000
Restricted Stock Units (RSUs) [Member]
Unvested, Outstanding, Beginning Balance	50,000
Issued
Vested	(50,000)
Forfeited/Cancelled
Unvested, Outstanding, Ending Balance

Basic and Diluted Net Loss Pe_3

Basic and Diluted Net Loss Per Common Share (Details Narrative) - shares	5 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2018
Earnings Per Share [Abstract]
Anti-dilutive securities excluded from calculation of diluted net loss per share	5,749,080	9,039,088

Basic and Diluted Net Loss Pe_4

Basic and Diluted Net Loss Per Common Share - Computation of Basic and Diluted Net Loss Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		5 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2018
Earnings Per Share [Abstract]
Net loss	$ (2,910)	$ (2,802)	$ (4,986)	$ (9,010)
Series A Preferred - dividends (accrued and deemed)	(729)	(691)	(782)	(2,157)
Net loss attributable to common stockholders	$ (3,639)	$ (3,493)	$ (5,768)	$ (11,167)
Weighted average common shares outstanding (basic and diluted)	5,615,000	3,500,000	3,411,000	4,658,000
Net loss per common share (basic and diluted)	$ (0.65)	$ (1)	$ (1.69)	$ (2.40)

Related Party Transactions (Det

Related Party Transactions (Details Narrative) $ / shares in Units, $ in Thousands

Dec. 26, 2017USD ($)

Nov. 17, 2017

Nov. 07, 2017

Aug. 11, 2017USD ($)

Jul. 09, 2017USD ($)

Jun. 23, 2017USD ($)

Apr. 30, 2018

Sep. 30, 2018USD ($)Products$ / sharesshares

Sep. 30, 2017USD ($)

Sep. 30, 2017USD ($)

Sep. 30, 2018USD ($)Products$ / sharesshares

Dec. 31, 2017$ / sharesshares

Common stock issued | shares

6,218,980

6,218,980

6,000,000

Common stock par value per share | $ / shares

$ 0.001

$ 0.001

$ 0.001

Number of stock options issued to purchase common stock | shares

135,000

Payment of research and development expense

$ 1,544

$ 1,564

$ 3,067

$ 4,525

Credit agreement term

10 years

10 years

Restricted Stock [Member]

Number of stock options issued to purchase common stock | shares

218,980

Imprimis [Member]

Common stock issued | shares

3,500,000

3,500,000

Common stock par value per share | $ / shares

$ 0.001

$ 0.001

Number of products | Products

2

2

Related party transaction

$ 50

Imprimis [Member] | Stock Option [Member]

Stock-based compensation expense

70

$ 51

Imprimis [Member] | Common Stock [Member]

Restricted stock award forfeited | shares

20,000

Percentage of restricted stock and option vested

100.00%

Imprimis [Member] | Restricted Stock [Member]

Common stock issued | shares

1,500,000

1,500,000

Number of restricted common stock issued for services | shares

1,500,000

Number of stock options issued to purchase common stock | shares

130,000

Stock-based compensation expense

$ 856

$ 970

Imprimis [Member] | Patents [Member]

Related party transaction

$ 50

Percentage of royalty fee

Eyemax [Member]

Related party transaction

$ 250

Payment of research and development expense

250

Sale of product expense

$ 500

Related party transaction date

Aug. 11, 2017

Percentage of royalty fee

10.00%

Credit agreement term

10 years

Andersen Pharma LLC [Member]

Related party transaction

$ 750

Payment of research and development expense

750

Sale of product expense

$ 750

Related party transaction date

Jul. 9, 2017

Percentage of royalty fee

50.00%

Selenix LLC [Member]

Related party transaction

$ 1,500

Payment of research and development expense

1,500

Sale of product expense

$ 1,000

Related party transaction date

Jun. 23, 2017

Percentage of royalty fee

50.00%

Credit agreement term

10 years

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($) $ in Thousands	Aug. 31, 2018	Nov. 17, 2017	Nov. 07, 2017	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2017	Sep. 30, 2018
Percentage of net profits payments to third party from sale of product		50.00%	30.00%
Credit agreement term		10 years	10 years
Total milestone payments	$ 1,104
Percentage of right to recoup				35.00%			35.00%
Payments for development				$ 1,544	$ 1,564	$ 3,067	$ 4,525
Licensor [Member]
Percentage of net profits payments to third party from sale of product				35.00%			35.00%
Licensor [Member] | Upon Execution of the Agreement [Member]
Payments for development							$ 350
Licensor [Member] | Upon FDA Acceptance [Member]
Payments for development							1,500
Licensor [Member] | Upon FDA Approval [Member]
Payments for development							1,000
Licensor [Member] | Upon Issuance of Patent Covering [Member]
Payments for development							1,500
Licensor [Member] | Product Sales [Member]
Payments for development							500
Licensor [Member] | Calendar Year [Member]
Payments for development							$ 10,000

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - Subsequent Event [Member] $ / shares in Units, $ in Thousands	1 Months Ended
	Nov. 30, 2018USD ($)$ / sharesshares
Stock issued during period	4,140,000
Common stock share price per share | $ / shares	$ 6
Net cash proceeds from IPO | $	$ 22,603
Warrant [Member]
Number of warrants issued for common stock	414,000
Warrant exercise price per share | $ / shares	$ 7.50
Series A Preferred Stock [Member]
Common stock share outstanding	6,685,082
Number of preferred stock converted into common stock	7,248,948