Apyx Medical (APYX) 10-Q 7 Aug 19 2019 Q2 Quarterly report Financial data

DOCUMENT AND ENTITY INFORMATION

DOCUMENT AND ENTITY INFORMATION - shares	6 Months Ended
	Jun. 30, 2019	Jul. 29, 2019
Document And Entity Information
Entity Registrant Name	APYX MEDICAL CORP
Entity Central Index Key	0000719135
Document Type	10-Q
Document Period End Date	Jun. 30, 2019
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		33,921,476
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2019

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 67,360	$ 16,466
Short term investments	0	61,678
Trade accounts receivable, net of allowance of $285 and $428	6,218	5,015
Inventories, net of provision for obsolescence of $402 and $439	6,392	5,212
Prepaid expenses and other current assets	1,987	1,146
Total current assets	81,957	89,517
Property and equipment, net	6,300	5,788
Intangibles	185	191
Deposits	73	73
Other assets	368	41
Total assets	88,883	95,610
Current liabilities:
Accounts payable	1,641	1,423
Accrued and other liabilities	5,848	5,552
Accrued severance and related	408	727
Total current liabilities	7,897	7,702
Note payable	140	140
Long term lease liability	267
Total liabilities	8,304	7,842
STOCKHOLDERS’ EQUITY
Common stock, $0.001 par value; 75,000,000 shares authorized; 33,847,100 issued and 33,704,525 outstanding as of December 31, 2018, and 34,061,360 issued and 33,918,785 outstanding as of June 30, 2019	34	34
Additional paid-in capital	54,051	52,221
Retained earnings	26,494	35,513
Total stockholders’ equity	80,579	87,768
Total liabilities and stockholders’ equity	$ 88,883	$ 95,610

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Allowance for doubtful accounts receivable	$ 285	$ 428
Provision for obsolescence, inventory	$ 402	$ 439
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	75,000,000	75,000,000
Common stock, shares issued (in shares)	33,847,100	34,061,360
Common stock, shares outstanding (in shares)	33,704,525	33,918,785

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement [Abstract]
Sales	$ 6,568	$ 3,691	$ 12,391	$ 7,088
Cost of sales	2,096	1,154	4,199	2,339
Gross profit	4,472	2,537	8,192	4,749
Other costs and expenses:
Research and development	888	763	1,698	1,277
Professional services	1,633	681	3,424	1,187
Salaries and related costs	3,333	1,813	6,554	3,615
Selling, general and administrative	3,083	2,213	6,184	4,323
Total other costs and expenses	8,937	5,470	17,860	10,402
Loss from operations	(4,465)	(2,933)	(9,668)	(5,653)
Interest income	403	0	826	0
Interest expense	0	(38)	0	(72)
Other losses	(200)	0	(225)	0
Change in value of derivative liabilities	0	46	0	20
Total other income (expense), net	203	8	601	(52)
Loss before income taxes	(4,262)	(2,925)	(9,067)	(5,705)
Income tax expense (benefit)	76	13	(48)	24
Loss from continuing operations	(4,338)	(2,938)	(9,019)	(5,729)
Income from discontinued operations, net of tax	0	2,666	0	4,522
Net loss	$ (4,338)	$ (272)	$ (9,019)	$ (1,207)
EPS from continuing operations:
Basic (in dollars per share)	$ (0.13)	$ (90)	$ (270)	$ (170)
Diluted (in dollars per share)	(0.13)	(90)	(270)	(170)
EPS from discontinued operations:
Basic (in dollars per share)	0	80	0	130
Diluted (in dollars per share)	0	80	0	130
EPS from total operations:
Basic (in dollars per share)	(0.13)	(10)	(270)	(40)
Diluted (in dollars per share)	$ (0.13)	$ (10)	$ (270)	$ (40)

CONSOLIDATED STATEMENT OF CHANG

CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained Earnings (Accumulated deficit)
Beginning balance (in shares) at Dec. 31, 2017		32,878
Beginning balance, amount at Dec. 31, 2017	$ 22,032	$ 33	$ 50,495	$ (28,496)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Options exercised (in shares)		37
Options exercised	83		83
Warrants exercised (in shares)		40
Warrants exercised	95		95
Stock based compensation	749		749
Stock exercise to acquire options and warrants (in shares)		(42)
Stock exercise to acquire options	(178)		(178)
Net loss	(1,207)			(1,207)
Ending balance (in shares) at Jun. 30, 2018		32,913
Ending balance, amount at Jun. 30, 2018	21,574	$ 33	51,244	(29,703)
Beginning balance (in shares) at Mar. 31, 2018		32,878
Beginning balance, amount at Mar. 31, 2018	21,469	$ 33	50,867	(29,431)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Options exercised (in shares)		37
Options exercised	83		83
Warrants exercised (in shares)		40
Warrants exercised	95		95
Stock based compensation	377		377
Stock exercise to acquire options and warrants (in shares)		(42)
Stock exercise to acquire options	(178)		(178)
Net loss	(272)			(272)
Ending balance (in shares) at Jun. 30, 2018		32,913
Ending balance, amount at Jun. 30, 2018	21,574	$ 33	51,244	(29,703)
Beginning balance (in shares) at Dec. 31, 2018		33,705
Beginning balance, amount at Dec. 31, 2018	87,768	$ 34	52,221	35,513
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Options exercised (in shares)		309
Options exercised	777		777
Stock based compensation	1,715		1,715
Stock exercise to acquire options and warrants (in shares)		(93)
Stock exercise to acquire options	(662)		(662)
Net loss	(9,019)			(9,019)
Ending balance (in shares) at Jun. 30, 2019		33,921
Ending balance, amount at Jun. 30, 2019	80,579	$ 34	54,051	26,494
Beginning balance (in shares) at Mar. 31, 2019		33,891
Beginning balance, amount at Mar. 31, 2019	84,013	$ 34	53,147	30,832
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Options exercised (in shares)		38
Options exercised	0
Stock based compensation	856		856
Stock exercise to acquire options and warrants (in shares)		(8)
Stock exercise to acquire options	48		48
Net loss	(4,338)			(4,338)
Ending balance (in shares) at Jun. 30, 2019		33,921
Ending balance, amount at Jun. 30, 2019	$ 80,579	$ 34	$ 54,051	$ 26,494

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash flows from operating activities
Net loss	$ (9,019)	$ (1,207)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	316	371
Provision for inventory obsolescence	36	0
Gain on disposal of property and equipment, net	0	(1)
Stock based compensation	1,715	749
Change in fair value of derivative liabilities	0	(20)
Non-cash lease expense	53	0
Realized gain on short term investments	(164)	0
Provision for allowance for doubtful accounts	(157)	82
Changes in current assets and liabilities:
Trade receivables	(1,046)	(817)
Prepaid expenses	(841)	(72)
Inventories	(1,216)	(1,007)
Deposits and other assets	(321)	(23)
Accounts payable	218	1,162
Accrued severance and related	(319)	0
Accrued and other liabilities	604	(898)
Net cash used in operating activities	(10,141)	(1,681)
Cash flows from investing activities
Purchases of property and equipment	(922)	(332)
Purchases of marketable securities	(18,884)	0
Proceeds from maturities of marketable securities	80,726	0
Net cash provided by (used in) investing activities	60,920	(332)
Cash flows from financing activities
Proceeds from stock options/warrants exercised	115	0
Repayment of mortgage note payable	0	(120)
Net cash provided by (used in) financing activities	115	(120)
Net change in cash, cash equivalents and restricted cash	50,894	(2,133)
Cash, cash equivalents and restricted cash, beginning of period	16,466	10,668
Cash, cash equivalents and restricted cash, end of period	67,360	8,535
Cash paid for:
Interest	0	72
Non cash investing and financing activities:
Cashless exercise of stock options/warrants	662	0
Capitalization of lease	$ 394	$ 0

BASIS OF PRESENTATION

BASIS OF PRESENTATION	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	BASIS OF PRESENTATION Unless the context otherwise indicates, the terms “we,” “our,” “us,” “Apyx,” and similar terms refer to Apyx Medical Corporation and its consolidated subsidiaries. We are a medical technology company and the developer of J-Plasma ® (marketed and sold under the Renuvion ® Cosmetic Technology brand in the cosmetic surgery market), a patented plasma-based surgical product for cutting, coagulation and ablation of soft tissue. J-Plasma ® technology utilizes a helium ionization process to produce a stable, focused beam of plasma that provides surgeons with greater precision and minimal invasiveness. The Company also leverages its expertise through original equipment manufacturing (OEM) agreements with other medical device manufacturers. On August 30, 2018, we closed on a definitive asset purchase agreement with Specialty Surgical Instrumentation Inc., a Tennessee Corporation and wholly-owned subsidiary of Symmetry Surgical Inc. (“Symmetry”), pursuant to which we divested and sold our electrosurgical "Core" business segment and related intellectual property, including the Bovie ® brand and trademarks, to Symmetry for gross proceeds of $97 million in cash. The divestiture and sale of our Core business segment to Symmetry allows us to further focus on our strategic objective of commercializing our J-Plasma ® technology, including the Renuvion ® brand in the cosmetic surgery market. We also entered into with Symmetry a transition services agreement, a Patent Licensing Agreement, a Disposables Supply Agreement, and a Generator Manufacturing and Supply Agreement, the latter of which will establish us as an OEM-provider of generators to Symmetry for a period of at least 10 years . In connection with the asset purchase agreement, we also entered into an Electro Surgical Disposables and Accessories, Cauteries and Other Products Supply Agreement with Symmetry for up to a four -year term, whereby we will manufacture certain Core products and sell them to Symmetry at agreed upon prices. Any revenue, costs and expenses resulting from this agreement are netted and reported in our Consolidated Statements of Operations as Other gains or losses. For the three months ended June 30, 2019, Core sales following the divestiture amounted to $2.1 million with cost of sales of $2.3 million and related operating expenses of $0.0 million , which are included in other losses on the Consolidated Statement of Operations. For the six months ended June 30, 2019, Core sales following the divestiture amounted to $4.4 million with cost of sales of $4.5 million and related operating expenses of $0.1 million , which are included in other losses on the Consolidated Statement of Operations. In connection with the asset purchase agreement, we also entered into a Manufacture and Supply Agreement with Symmetry for a ten-year term, whereby we will manufacture certain products and sell them to Symmetry at agreed upon prices. Revenue, costs and expenses resulting from this agreement are reported in our Consolidated Statements as income or loss from operations of our OEM reporting segment. We reclassified the financial results of the Core business to discontinued operations and from segment results for all periods presented. The accompanying unaudited consolidated financial statements have been prepared based upon SEC rules that permit reduced disclosure for interim periods. For a more complete discussion of significant accounting policies and certain other information, please refer to the financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2018 . These financial statements reflect all adjustments that are necessary for a fair presentation of results of operations and financial condition for the interim periods shown, including normal recurring accruals and other items. The results for the interim periods are not necessarily indicative of results for the full year.

INVENTORIES

INVENTORIES	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
INVENTORIES	INVENTORIES Inventories are stated at the lower of cost or net realizable values. Cost is determined on a first in, first out basis. Finished goods and work-in-process inventories include material, labor and overhead costs. Factory overhead costs are allocated to inventory manufactured in-house based upon labor hours. Inventories consisted of the following: (In thousands) June 30, December 31, Raw materials $ 5,341 $ 4,521 Finished goods and work in progress 1,453 1,130 Gross inventories 6,794 5,651 Less: reserve for obsolescence (402 ) (439 ) Net inventories $ 6,392 $ 5,212

INTANGIBLE ASSETS

INTANGIBLE ASSETS	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS	INTANGIBLE ASSETS Intangible assets consisted of the following: (in thousands) June 30, 2019 December 31, 2018 Purchased technology (5-17 year lives) $ 1,442 $ 1,448 Less: accumulated amortization (1,442 ) (1,442 ) Purchased technology, net $ — $ 6 Goodwill $ 185 $ 185 Intangibles $ 185 $ 191 Intangible assets and goodwill are the result of our acquisition of Apyx (formerly known as Bovie) Bulgaria, EOOD in 2015.

RECENT ACCOUNTING PRONOUNCEMENT

RECENT ACCOUNTING PRONOUNCEMENTS	6 Months Ended
	Jun. 30, 2019
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	RECENT ACCOUNTING PRONOUNCEMENTS In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . The purpose of this ASU is to reduce the cost and complexity of evaluating goodwill for impairment. It eliminates the need for entities to calculate the implied fair value of goodwill by assigning the fair value of a reporting unit to all of its assets and liabilities as if that reporting unit had been acquired in a business combination. Under this ASU, an entity will perform its goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An impairment charge is recognized for the amount by which the carrying value exceeds the reporting unit’s fair value. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted, however we have chosen not to do so. The amendment will not have a material impact on our financial condition or results of operations. ASU No. 2014-09 (ASC 606), Revenue from Contracts with Customers became effective for us beginning with the first quarter of 2018, and we adopted the new accounting standard using the modified retrospective transition approach. The modified retrospective transition approach recognized any changes from the beginning of the year of initial application through retained earnings with no restatement of comparative periods. We record revenue under ASC 606 at a single point in time, when control is transferred to the customer, which is consistent with past practice. We will continue to apply our current business processes, policies, systems and controls to support recognition and disclosure under the new standard. Based on the results of the evaluation, we have determined that the adoption of the new standard presents no material impact on our consolidated financial statements. Application of the transition requirements of the new standard did not have a material impact on opening retained earnings. We have disaggregated revenue by segment and geography in Note 11 Geographic and Segment Information. In February 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02), Leases (Topic 842), which became effective for us beginning with the first quarter of 2019. ASU 2016-02 requires a lessee to record a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, on the balance sheet for all leases with terms longer than 12 months, as well as the disclosure of key information about leasing arrangements. This new standard requires recognition in the statement of operations of a single lease cost, calculated so that the cost of the lease is allocated over the lease term, generally on a straight-line basis, and classification of all cash payments within operating activities in the statement of cash flows. The determination of the discount rate used to calculate net present value is based on what we would normally pay to borrow on a collateralized basis over a similar term. Disclosures are required to provide the amount, timing and uncertainty of cash flows arising from leases. In accordance with the standard, we took a modified retrospective transition approach and included the $394,000 right of use asset and corresponding liabilities in our property plant and equipment, accrued expenses and long term lease liability on the consolidated balance sheet. The lease is also represented in our consolidated statement of cash flows as a non-cash investing activity. No other new accounting pronouncement issued or effective during the fiscal year had or is expected to have a material impact on our consolidated financial statements or disclosures.

EARNINGS PER SHARE

EARNINGS PER SHARE	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE We compute basic earnings per share (“basic EPS”) by dividing the net income or loss by the weighted average number of common shares outstanding for the reporting period. Diluted earnings per share (“diluted EPS”) gives effect to all dilutive potential shares outstanding. The following table provides the computation of basic and diluted earnings per share. Six Months Ended (in thousands, except per share data) 2019 2018 Numerator: Net (loss) from continuing operations $ (9,019 ) $ (5,729 ) Numerator for diluted (loss) per common share - continuing operations (9,019 ) (5,729 ) Net income from discontinued operations, net of tax — 4,522 Numerator for diluted income per share - discontinued operations — 4,522 Net (loss) from all operations (9,019 ) (1,207 ) Numerator for full diluted (loss) per share - all (9,019 ) (1,207 ) Denominator - continuing operations Weighted average shares used to compute basic (loss) 33,363 32,890 Denominator for diluted (loss) per common share 33,363 32,890 Denominator - discontinued operations: Weighted average shares used to compute basic (loss) — 32,890 Denominator for diluted (loss) per common share - discontinued operations — 32,890 Denominator - all operations: Weighted average shares used to compute basic (loss) 33,363 32,890 Denominator for diluted (loss) per common share 33,363 32,890 Loss per share from continuing operations: Basic and diluted $ (0.27 ) $ (0.17 ) Income per share from discontinued operations Basic and diluted $ — $ 0.13 Income per share from all operations Basic and diluted $ (0.27 ) $ (0.04 ) Anti-dilutive instruments excluded from diluted loss per common share: Warrants — 14 Options 1,882 1,061

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
STOCK-BASED COMPENSATION	STOCK-BASED COMPENSATION Under our stock option plans, our board of directors may grant options to purchase common shares to our key employees, officers, directors and consultants. We account for stock options in accordance with FASB ASC Topic 718, Compensation - Stock Compensation , with option expense amortized over the vesting period based on the trinomial lattice option-pricing model fair value on the grant date, which includes a number of estimates that affect the amount of our expense. We expensed approximately $1,715,000 in stock-based compensation during the six months ended June 30, 2019 , as compared with $749,000 for the six months ended June 30, 2018 . The status of our stock options and stock awards are summarized as follows: Number of options Weighted average exercise price Outstanding at December 31, 2018 3,480,701 $ 3.10 Granted 1,277,500 7.73 Exercised (308,549 ) 2.87 Canceled and forfeited (50,500 ) 6.70 Outstanding at June 30, 2019 4,399,152 $ 4.42 Common shares required to be issued upon the exercise of stock options would be issued from our authorized and unissued shares. We calculated the fair value of issued options utilizing a trinomial lattice with an expected life calculated via the simplified method as we do not have sufficient history to determine actual expected life. 2019 Grants Option value $ 7.15 - $ 7.91 Risk-free rate 2.6% - 2.6 % Expected dividend yield — Expected volatility 69.1% - 69.1 % Expected term (in years) 6

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2019
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The Company’s income tax expense (benefit) was $76,000 and $(48,000) with an effective tax rate of -1.7% and 0.3% for the three and six months ended June 30, 2019, respectively, as compared to an expense of $13,000 , and $24,000 with an effective tax rate of -3.2% and -1.8% , for the three and six months ended June 30, 2018, respectively. The following is a roll-forward of the Company's total gross unrecognized tax benefits, not including interest and penalties, for the period ended June 30, 2019. (in thousands) Gross Unrealized Tax Benefits Balance at January 1, 2019 $ 1,313 Additions of tax positions related to the current year — Additions of tax positions related to the prior year — Decreases for tax positions related to the prior year — Balance at June 30, 2019 $ 1,313 The Company recognizes accrued interest and penalties related to unrecognized tax benefits in the provision for income taxes in the Company’s condensed consolidated financial statements. As of June 30, 2019, the Company had approximately $53,000 in accrued interest and penalties related to unrecognized tax benefits. If the Company were to prevail on all uncertain tax positions, the resulting impact will be material as the Company will recognize $1.366 million of tax benefits in the provision of income taxes. It is expected that all of the uncertain tax positions should be resolved by December 31, 2019.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Property and Rental Agreements In October 2015, pursuant to our acquisition of Apyx Bulgaria, we became obligated to make lease payments of approximately $9,000 per month for approximately 20,000 square feet of office, research and manufacturing space in Sofia, Bulgaria. During Q2 2019, the lease was extended for an additional 2 years . The building lease expires in December 2022. With the adoption of ASC 842 we recognize all leases with terms greater than twelve months in duration on our Consolidated Balance Sheet as right-of-use assets and lease liabilities. The Apyx Bulgaria building lease is disclosed as a right-of-use asset and is included in the property, plant, and equipment totals on the Consolidated Balance Sheet. The following is a schedule of approximate future minimum lease payments under operating leases as of June 30, 2019 : (In thousands) 2019 (remaining 6 months) $ 56 2020 111 2021 118 2022 118 Total $ 403 On August 30, 2018, we paid the remaining mortgage balance of $2.5 million on the Clearwater facility, releasing us from any and all obligations to the Bank of Tampa. Litigation The medical device industry is characterized by frequent claims and litigation, and we are and may become subject to various claims, lawsuits and proceedings in the ordinary course of our business, including claims by current or former employees, distributors and competitors, and with respect to our products and product liability claims, lawsuits and proceedings. We are involved in a number of legal actions relating to the use of our J-Plasma ® technology. The outcomes of these legal actions are not within our complete control and may not be known for prolonged periods of time. In the opinion of management, the Company has meritorious defenses, and such claims are adequately covered by insurance, or are not expected, individually or in the aggregate, to result in a material, adverse effect on our financial condition. However, in the event that damages exceed the aggregate coverage limits of our policy or if our insurance carriers disclaim coverage, we believe it is possible that costs associated with these claims could have a material adverse impact on our consolidated earnings, financial position or cash flows. In addition, as previously disclosed with the Commission on Form 8-K filed April 26, 2019, we have learned that on April 17, 2019, a complaint (the “Complaint”) was filed in the United States District Court for the Middle District of Florida by plaintiff Kyle Pritchard, individually and on behalf of all others similarly situated against the Company and Charles D. Goodwin (“Goodwin”), the Company’s President and Chief Executive Officer and a member of the Company’s Board of Directors. The Complaint (which as of the date hereof has not been delivered through formal process to the Company) seeks class action status on behalf of all persons and entities that acquired the Company’s securities between August 1, 2018 and April 1, 2019 and alleges violations by the Company and Goodwin of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, primarily related to certain public statements concerning the Premarket Notification 510(k) submission made to the US Food and Drug Administration for a new indication for the Company’s J-Plasma® technology for use in dermal resurfacing procedures. The Complaint seeks an unspecified amount of compensatory damages, an award of interest, reasonable attorneys’ fees, expert fees and other costs, and equitable relief as the court may deem just and proper. On July 16, 2019, the court appointed a lead plaintiff for the putative class and approved the lead plaintiff’s selection of counsel. Although the ultimate outcome of this matter cannot be determined with certainty, the Company believes that the allegations stated in the Complaint are entirely without merit. The Company and Goodwin intend to defend themselves vigorously in the suit. Such claims are adequately covered by insurance, however, in the event that damages exceed the aggregate coverage limits of our policy or if our insurance carriers disclaim coverage, we believe it is possible that costs associated with this claim could have a material adverse impact on our consolidated earnings, financial position or cash flows. Under the deductible portion of our insurance coverage, we have accrued $0.5 million for initial defense costs. In accordance with authoritative guidance, we accrue a liability in our consolidated financial statements for these actions when a loss is known or considered probable and the amount can be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate than any other, the minimum amount of the range is recorded. If a loss is reasonably possible, but not known or probable, and can be reasonably estimated, the estimated loss or range of loss is disclosed in the notes to the consolidated financial statements. In most cases, significant judgment is required to estimate the amount and timing of a loss to be recorded, actual results may differ from these estimates. Purchase Commitments At June 30, 2019 , we had purchase commitments totaling approximately $3.4 million , substantially all of which is expected to be purchased by the end of 2019 . In response to the current worldwide helium shortage, to support our current and near term customer requirements, we issued purchase orders with two international companies to supply us with helium cylinders and have entered into agreements to purchase additional helium as needed. We also currently maintain our own supply of helium in the United States which can be utilized for our customer requirements.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	6 Months Ended
	Jun. 30, 2019
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS Several relatives of Nikolay Shilev, Apyx Bulgaria’s Managing Director, are considered related parties. Teodora Shileva, Mr. Shilev’s spouse, is an employee of the Company working in the Accounting department. Antoaneta Dimitrova Shileva-Toromanova, Mr. Shilev’s sister, is the Manager of Production and Human Resources. Svetoslav Shilev, Mr. Shilev’s son, is an Engineer in the Quality Assurance department. In addition, as part of the purchase of the Bulgaria manufacturing facility, Mr. Shilev was issued a note payable for $140 thousand to be paid 5 years after the original purchase date which is in October 2020.

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS	6 Months Ended
	Jun. 30, 2019
Investments, Debt and Equity Securities [Abstract]
FINANCIAL INSTRUMENTS	FINANCIAL INSTRUMENTS Cash, Cash Equivalents and Marketable Securities at June 30, 2019, consists of $3.5 million in cash and $63.9 million in US Treasury Securities with maturities of 3 months or less. Cash, Cash Equivalents and Marketable Securities at December 31, 2018: (In thousands) Adjusted Cost Unrealized Gains Fair Value (3) Cash and Cash Equivalents (1) Short-term Marketable Securities Cash $ 6,337 $ — $ 6,337 $ 6,337 $ — Level 1 (2) U.S. Treasury Securities, maturities less than three months 10,129 — 10,129 10,129 — U.S. Treasury Securities, maturities greater than three months 61,431 247 61,678 — 61,678 Total $ 77,897 $ 247 $ 78,144 $ 16,466 $ 61,678 (1) The Company considers all highly liquid instruments with maturities of three months or less at the time of purchase to be cash equivalents. (2) The fair value of the debt securities consisting of U.S. Treasury bills is based on their quoted market prices. The fair value of these financial instruments are classified as Level 1 in the fair value hierarchy. The original purchase of U.S. Treasury bills occurred in September 2018, utilizing the proceeds from the sale of our Core business. (3) ASC 825-10 Financial Instruments, allows entities to voluntarily choose to measure certain financial assets and liabilities at fair value (fair value option). The fair value option may be elected on an instrument-by-instrument basis and is irrevocable, unless a new election date occurs. If the fair value option is elected for an instrument, unrealized gains and losses for that instrument should be reported in earnings within interest income at each subsequent reporting date. At the date of purchase, the Company elected the fair value option for all investments with maturities of three months or greater at the time of purchase.

GEOGRAPHIC AND SEGMENT INFORMAT

GEOGRAPHIC AND SEGMENT INFORMATION	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
GEOGRAPHIC AND SEGMENT INFORMATION	GEOGRAPHIC AND SEGMENT INFORMATION Operating segments are aggregated into reportable segments only if they exhibit similar economic characteristics. In addition to similar economic characteristics, we also consider the following factors in determining the reportable segments: the nature of business activities, the management structure directly accountable to our chief operating decision maker for operating and administrative activities, availability of discrete financial information and information presented to the Board of Directors and investors. Our reportable segments are disclosed as principally organized and managed as two operating segments: Advanced Energy and OEM. "Corporate & Other" includes certain unallocated corporate and administrative costs which were not specifically attributed to any reportable segment. Net assets are shared, therefore, not allocated to the reportable segments. The OEM segment is primarily development and manufacturing contract and product driven, all related expenses are recorded as cost of sales, therefore no segment specific operating expenses are incurred. Income (loss) from continuing operations for the first quarter of 2019 was labeled "Net income" instead of "Income (loss) from continuing operations". As a result, income (loss) from continuing operations for the first quarter of 2019 was $(3.4) million for Advanced Energy, $0.8 million for OEM, $(2.6) million for Corporate, and $(5.2) million in total. Summarized financial information with respect to reportable segments is as follows: Three Months Ended June 30, 2019 (In thousands) Advanced Energy OEM Corporate & Other Total Sales $ 5,269 $ 1,299 $ — $ 6,568 Income (loss) from continuing operations (1,011 ) 136 (3,590 ) (4,465 ) Interest income — — 403 403 Other losses — — (200 ) (200 ) Income tax (benefit) expense — — 76 76 Three Months Ended June 30, 2018 (In thousands) Advanced Energy OEM Corporate & Other Total Sales $ 3,113 $ 578 $ — $ 3,691 Income (loss) from continuing operations (792 ) 302 (2,443 ) (2,933 ) Interest expense — — (38 ) (38 ) Change in fair value of derivative liabilities — — 46 46 Income tax (benefit) expense — — 13 13 Six Months Ended June 30, 2019 (In thousands) Advanced Energy OEM Corporate & Other Total Sales 9,640 2,751 — 12,391 Income (loss) from continuing operations (4,399 ) 921 (6,190 ) (9,668 ) Interest income — — 826 826 Other losses — — (225 ) (225 ) Income tax (benefit) expense — — (48 ) (48 ) Six Months Ended June 30, 2018 (In thousands) Advanced Energy OEM Corporate & Other Total Sales 5,742 1,346 — 7,088 Income (loss) from continuing operations (1,370 ) 708 (4,991 ) (5,653 ) Interest expense — — (72 ) (72 ) Change in value of derivative liabilities — — 20 20 Income tax (benefit) expense — — 24 24 International sales represented approximately 30.9% of total revenues for the three months ended June 30, 2019, as compared with 19.8% of total revenues for the same prior year period. International sales represented approximately 30.2% of total revenues for the six months ended June 30, 2019 , as compared with 19.3% of total revenues for the same prior year period. Substantially all of these sales are denominated in U.S. dollars. Revenue by geographic region, based on the customer's “ship to” location on the invoice, are as follows: Three Months Ended Six Months Ended (In thousands) 2019 2018 2019 2018 Sales by Domestic and International Domestic $ 4,540 $ 2,960 $ 8,644 $ 5,718 International 2,028 731 3,747 1,370 Total $ 6,568 $ 3,691 $ 12,391 $ 7,088

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Inventories	Inventories are stated at the lower of cost or net realizable values. Cost is determined on a first in, first out basis. Finished goods and work-in-process inventories include material, labor and overhead costs. Factory overhead costs are allocated to inventory manufactured in-house based upon labor hours.
Recent Accounting Pronouncements	In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . The purpose of this ASU is to reduce the cost and complexity of evaluating goodwill for impairment. It eliminates the need for entities to calculate the implied fair value of goodwill by assigning the fair value of a reporting unit to all of its assets and liabilities as if that reporting unit had been acquired in a business combination. Under this ASU, an entity will perform its goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An impairment charge is recognized for the amount by which the carrying value exceeds the reporting unit’s fair value. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted, however we have chosen not to do so. The amendment will not have a material impact on our financial condition or results of operations. ASU No. 2014-09 (ASC 606), Revenue from Contracts with Customers became effective for us beginning with the first quarter of 2018, and we adopted the new accounting standard using the modified retrospective transition approach. The modified retrospective transition approach recognized any changes from the beginning of the year of initial application through retained earnings with no restatement of comparative periods. We record revenue under ASC 606 at a single point in time, when control is transferred to the customer, which is consistent with past practice. We will continue to apply our current business processes, policies, systems and controls to support recognition and disclosure under the new standard. Based on the results of the evaluation, we have determined that the adoption of the new standard presents no material impact on our consolidated financial statements. Application of the transition requirements of the new standard did not have a material impact on opening retained earnings. We have disaggregated revenue by segment and geography in Note 11 Geographic and Segment Information. In February 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02), Leases (Topic 842), which became effective for us beginning with the first quarter of 2019. ASU 2016-02 requires a lessee to record a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, on the balance sheet for all leases with terms longer than 12 months, as well as the disclosure of key information about leasing arrangements. This new standard requires recognition in the statement of operations of a single lease cost, calculated so that the cost of the lease is allocated over the lease term, generally on a straight-line basis, and classification of all cash payments within operating activities in the statement of cash flows. The determination of the discount rate used to calculate net present value is based on what we would normally pay to borrow on a collateralized basis over a similar term. Disclosures are required to provide the amount, timing and uncertainty of cash flows arising from leases. In accordance with the standard, we took a modified retrospective transition approach and included the $394,000 right of use asset and corresponding liabilities in our property plant and equipment, accrued expenses and long term lease liability on the consolidated balance sheet. The lease is also represented in our consolidated statement of cash flows as a non-cash investing activity. No other new accounting pronouncement issued or effective during the fiscal year had or is expected to have a material impact on our consolidated financial statements or disclosures.

INVENTORIES (Tables)

INVENTORIES (Tables)	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
Schedule of inventory	Inventories consisted of the following: (In thousands) June 30, December 31, Raw materials $ 5,341 $ 4,521 Finished goods and work in progress 1,453 1,130 Gross inventories 6,794 5,651 Less: reserve for obsolescence (402 ) (439 ) Net inventories $ 6,392 $ 5,212

INTANGIBLE ASSETS (Tables)

INTANGIBLE ASSETS (Tables)	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of intangible assets	Intangible assets consisted of the following: (in thousands) June 30, 2019 December 31, 2018 Purchased technology (5-17 year lives) $ 1,442 $ 1,448 Less: accumulated amortization (1,442 ) (1,442 ) Purchased technology, net $ — $ 6 Goodwill $ 185 $ 185 Intangibles $ 185 $ 191

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Basic and diluted earnings per share	The following table provides the computation of basic and diluted earnings per share. Six Months Ended (in thousands, except per share data) 2019 2018 Numerator: Net (loss) from continuing operations $ (9,019 ) $ (5,729 ) Numerator for diluted (loss) per common share - continuing operations (9,019 ) (5,729 ) Net income from discontinued operations, net of tax — 4,522 Numerator for diluted income per share - discontinued operations — 4,522 Net (loss) from all operations (9,019 ) (1,207 ) Numerator for full diluted (loss) per share - all (9,019 ) (1,207 ) Denominator - continuing operations Weighted average shares used to compute basic (loss) 33,363 32,890 Denominator for diluted (loss) per common share 33,363 32,890 Denominator - discontinued operations: Weighted average shares used to compute basic (loss) — 32,890 Denominator for diluted (loss) per common share - discontinued operations — 32,890 Denominator - all operations: Weighted average shares used to compute basic (loss) 33,363 32,890 Denominator for diluted (loss) per common share 33,363 32,890 Loss per share from continuing operations: Basic and diluted $ (0.27 ) $ (0.17 ) Income per share from discontinued operations Basic and diluted $ — $ 0.13 Income per share from all operations Basic and diluted $ (0.27 ) $ (0.04 ) Anti-dilutive instruments excluded from diluted loss per common share: Warrants — 14 Options 1,882 1,061

STOCK-BASED COMPENSATION (Table

STOCK-BASED COMPENSATION (Tables)	6 Months Ended
	Jun. 30, 2019
Share-based Payment Arrangement [Abstract]
Summary of stock options and stock awards	The status of our stock options and stock awards are summarized as follows: Number of options Weighted average exercise price Outstanding at December 31, 2018 3,480,701 $ 3.10 Granted 1,277,500 7.73 Exercised (308,549 ) 2.87 Canceled and forfeited (50,500 ) 6.70 Outstanding at June 30, 2019 4,399,152 $ 4.42
Schedule of option fair value assumptions	2019 Grants Option value $ 7.15 - $ 7.91 Risk-free rate 2.6% - 2.6 % Expected dividend yield — Expected volatility 69.1% - 69.1 % Expected term (in years) 6

INCOME TAXES (Tables)

INCOME TAXES (Tables)	6 Months Ended
	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Unrecognized tax benefits roll-forward	The following is a roll-forward of the Company's total gross unrecognized tax benefits, not including interest and penalties, for the period ended June 30, 2019. (in thousands) Gross Unrealized Tax Benefits Balance at January 1, 2019 $ 1,313 Additions of tax positions related to the current year — Additions of tax positions related to the prior year — Decreases for tax positions related to the prior year — Balance at June 30, 2019 $ 1,313

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Future minimum lease payments under operating leases	The following is a schedule of approximate future minimum lease payments under operating leases as of June 30, 2019 : (In thousands) 2019 (remaining 6 months) $ 56 2020 111 2021 118 2022 118 Total $ 403

FINANCIAL INSTRUMENTS (Tables)

FINANCIAL INSTRUMENTS (Tables)	6 Months Ended
	Jun. 30, 2019
Investments, Debt and Equity Securities [Abstract]
Cash, Cash Equivalents and Investments	Cash, Cash Equivalents and Marketable Securities at June 30, 2019, consists of $3.5 million in cash and $63.9 million in US Treasury Securities with maturities of 3 months or less. Cash, Cash Equivalents and Marketable Securities at December 31, 2018: (In thousands) Adjusted Cost Unrealized Gains Fair Value (3) Cash and Cash Equivalents (1) Short-term Marketable Securities Cash $ 6,337 $ — $ 6,337 $ 6,337 $ — Level 1 (2) U.S. Treasury Securities, maturities less than three months 10,129 — 10,129 10,129 — U.S. Treasury Securities, maturities greater than three months 61,431 247 61,678 — 61,678 Total $ 77,897 $ 247 $ 78,144 $ 16,466 $ 61,678 (1) The Company considers all highly liquid instruments with maturities of three months or less at the time of purchase to be cash equivalents. (2) The fair value of the debt securities consisting of U.S. Treasury bills is based on their quoted market prices. The fair value of these financial instruments are classified as Level 1 in the fair value hierarchy. The original purchase of U.S. Treasury bills occurred in September 2018, utilizing the proceeds from the sale of our Core business. (3) ASC 825-10 Financial Instruments, allows entities to voluntarily choose to measure certain financial assets and liabilities at fair value (fair value option). The fair value option may be elected on an instrument-by-instrument basis and is irrevocable, unless a new election date occurs. If the fair value option is elected for an instrument, unrealized gains and losses for that instrument should be reported in earnings within interest income at each subsequent reporting date. At the date of purchase, the Company elected the fair value option for all investments with maturities of three months or greater at the time of purchase.

GEOGRAPHIC AND SEGMENT INFORM_2

GEOGRAPHIC AND SEGMENT INFORMATION (Tables)	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
Schedule of reporting information by segment	Summarized financial information with respect to reportable segments is as follows: Three Months Ended June 30, 2019 (In thousands) Advanced Energy OEM Corporate & Other Total Sales $ 5,269 $ 1,299 $ — $ 6,568 Income (loss) from continuing operations (1,011 ) 136 (3,590 ) (4,465 ) Interest income — — 403 403 Other losses — — (200 ) (200 ) Income tax (benefit) expense — — 76 76 Three Months Ended June 30, 2018 (In thousands) Advanced Energy OEM Corporate & Other Total Sales $ 3,113 $ 578 $ — $ 3,691 Income (loss) from continuing operations (792 ) 302 (2,443 ) (2,933 ) Interest expense — — (38 ) (38 ) Change in fair value of derivative liabilities — — 46 46 Income tax (benefit) expense — — 13 13 Six Months Ended June 30, 2019 (In thousands) Advanced Energy OEM Corporate & Other Total Sales 9,640 2,751 — 12,391 Income (loss) from continuing operations (4,399 ) 921 (6,190 ) (9,668 ) Interest income — — 826 826 Other losses — — (225 ) (225 ) Income tax (benefit) expense — — (48 ) (48 ) Six Months Ended June 30, 2018 (In thousands) Advanced Energy OEM Corporate & Other Total Sales 5,742 1,346 — 7,088 Income (loss) from continuing operations (1,370 ) 708 (4,991 ) (5,653 ) Interest expense — — (72 ) (72 ) Change in value of derivative liabilities — — 20 20 Income tax (benefit) expense — — 24 24
Schedule of revenue by geographic area	Revenue by geographic region, based on the customer's “ship to” location on the invoice, are as follows: Three Months Ended Six Months Ended (In thousands) 2019 2018 2019 2018 Sales by Domestic and International Domestic $ 4,540 $ 2,960 $ 8,644 $ 5,718 International 2,028 731 3,747 1,370 Total $ 6,568 $ 3,691 $ 12,391 $ 7,088

BASIS OF PRESENTATION - NARRATI

BASIS OF PRESENTATION - NARRATIVE (Details) - USD ($) $ in Millions	Aug. 30, 2018	Jun. 30, 2019	Jun. 30, 2019
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from disposition of Core business	$ 97
Manufacture and Supply Agreement | Symmetry Surgical Inc.
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Asset purchase agreement, term			10 years
Electro Surgical Disposables and Accessories, Cauteries and Other Products Supply Agreement | Symmetry Surgical Inc.
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Asset purchase agreement, term			4 years
Discontinued Operations, Held-for-sale | Electro Surgical Disposables and Accessories, Cauteries and Other Products Supply Agreement | Symmetry Surgical Inc.
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale of the Core Business, net of tax		$ 2.1	$ 4.4
Cost of sales		2.3	4.5
Operating expenses		$ 0	$ 0.1

INVENTORIES (Details)

INVENTORIES (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Inventory Disclosure [Abstract]
Raw materials	$ 5,341	$ 4,521
Finished goods and work in progress	1,453	1,130
Gross inventories	6,794	5,651
Less: reserve for obsolescence	(402)	(439)
Net inventories	$ 6,392	$ 5,212

INTANGIBLE ASSETS (Details)

INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Goodwill	$ 185	$ 185
Intangibles	185	191
Purchased Technology
Finite-Lived Intangible Assets [Line Items]
Purchased technology (5-17 year lives)	1,442	1,448
Less: accumulated amortization	(1,442)	(1,442)
Purchased technology, net	$ 0	$ 6
Purchased Technology | Minimum
Finite-Lived Intangible Assets [Line Items]
Intangible asset, useful life (in years)	5 years	5 years
Purchased Technology | Maximum
Finite-Lived Intangible Assets [Line Items]
Intangible asset, useful life (in years)	17 years	17 years

RECENT ACCOUNTING PRONOUNCEME_2

RECENT ACCOUNTING PRONOUNCEMENTS (Details) - ASU 2016-02 $ in Thousands	Jan. 01, 2019USD ($)
New Accounting Pronouncement, Early Adoption [Line Items]
Right of use asset	$ 394
Lease liabilities	$ 394

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Numerator:
Net (loss) from continuing operations	$ (4,338)	$ (2,938)	$ (9,019)	$ (5,729)
Numerator for diluted (loss) per common share - continuing operations			(9,019)	(5,729)
Total income from discontinued operations, net of tax			0	4,522
Numerator for diluted income per share - discontinued operations			0	4,522
Net (loss) from all operations	$ (4,338)	$ (272)	(9,019)	(1,207)
Numerator for full diluted (loss) per share - all			$ (9,019)	$ (1,207)
Denominator
Denominator for diluted (loss) per common share (in shares)			33,363	32,890
Weighted average shares used to compute basic (loss) (in shares)			0	32,890
Denominator for diluted (loss) per common share - discontinued operations (in shares)			0	32,890
Weighted average shares used to compute basic (loss) (in shares)			33,363	32,890
Denominator for diluted (loss) per common share (in shares)			33,363	32,890
Loss per share from continuing operations:
Basic and diluted (in dollars per share)			$ (0.27)	$ (0.17)
Income per share from discontinued operations
Basic and diluted (in dollars per share)			0	0.13
Income per share from all operations
Basic and diluted (in dollars per share)			$ (0.27)	$ (0.04)
Warrants
Income per share from all operations
Anti-dilutive instruments excluded from diluted loss per common share (in shares)			0	14
Options
Income per share from all operations
Anti-dilutive instruments excluded from diluted loss per common share (in shares)			1,882	1,061

STOCK-BASED COMPENSATION - NARR

STOCK-BASED COMPENSATION - NARRATIVE (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Share-based Payment Arrangement [Abstract]
Stock based compensation	$ 1,715	$ 749

STOCK-BASED COMPENSATION - SUMM

STOCK-BASED COMPENSATION - SUMMARY OF STOCK OPTIONS (Details)	6 Months Ended
	Jun. 30, 2019$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Outstanding, beginning of period (in shares) | shares	3,480,701
Granted (in shares) | shares	1,277,500
Exercised (in shares) | shares	(308,549)
Canceled and forfeited (in shares) | shares	(50,500)
Outstanding, end of period (in shares) | shares	4,399,152
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]
Outstanding, beginning of period (in dollars per share) | $ / shares	$ 3.10
Granted (in dollars per share) | $ / shares	7.73
Exercised (in dollars per share) | $ / shares	2.87
Canceled and forfeited (in dollars per shares) | $ / shares	6.70
Outstanding, end of period (in dollars per share) | $ / shares	$ 4.42

STOCK-BASED COMPENSATION - FAIR

STOCK-BASED COMPENSATION - FAIR VALUE ASSUMPTIONS (Details)	6 Months Ended
	Jun. 30, 2019$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Option value (in dollars per share)	$ 7.73
Expected dividend yield (as a percent)	0.00%
Expected volatility - low (as a percent)	69.10%
Expected volatility - high (as a percent)	69.10%
Expected term (in years)	6 years
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Option value (in dollars per share)	$ 7.15
Risk-free rate (as a percent)	2.60%
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Option value (in dollars per share)	$ 7.91
Risk-free rate (as a percent)	2.60%

INCOME TAXES - NARRATIVE (Detai

INCOME TAXES - NARRATIVE (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ 76	$ 13	$ (48)	$ 24
Effective income tax rate, percent	(1.70%)	(3.20%)	0.30%	(1.80%)
Accrued interest and penalties	$ 53		$ 53
Tax benefits recognized in the provision of income taxes			$ 1,366

INCOME TAXES - UNRECOGNIZED TAX

INCOME TAXES - UNRECOGNIZED TAX BENEFITS ROLL-FORWARD (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)
Gross Unrealized Tax Benefits
Balance at January 1, 2019	$ 1,313
Additions of tax positions related to the current year	0
Additions of tax positions related to the prior year	0
Decreases for tax positions related to the prior year	0
Balance at June 30, 2019	$ 1,313

COMMITMENTS AND CONTINGENCIES -

COMMITMENTS AND CONTINGENCIES - NARRATIVE (Details)	Aug. 30, 2018USD ($)	Jun. 30, 2019USD ($)	Apr. 17, 2019USD ($)	Oct. 31, 2015USD ($)ft²
Other Commitments [Line Items]
Lease term extension		2 years
Purchase commitments for inventories		$ 3,400,000
Sophia, Bulgaria
Other Commitments [Line Items]
Monthly cost of office space				$ 9,000
Area of real estate property (in square feet) | ft²				20,000
Mortgages
Other Commitments [Line Items]
Repayment of mortgage note payable	$ 2,500,000
Unfavorable Regulatory Action | Pending Litigation
Other Commitments [Line Items]
Costs accrued			$ 500,000

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES - FUTURE MINIMUM LEASE PAYMENTS (Details) $ in Thousands	Jun. 30, 2019USD ($)
Future minimum lease payments under operating leases
2019 (remaining 6 months)	$ 56
2020	111
2021	118
2022	118
Total	$ 403

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - Director - Bulgaria Manufacturing Plant Purchase $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)
Related Party Transaction [Line Items]
Notes payable	$ 140
Term of payment due	5 years

FINANCIAL INSTRUMENTS (Details)

FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]
Cash	$ 3,500	$ 6,337
Adjusted Cost		77,897
Unrealized Gains		247
Fair Value		78,144
Cash and cash equivalents	67,360	16,466
Short-term Marketable Securities	0	61,678
U.S. Treasury Securities, maturities less than three months
Debt Securities, Available-for-sale [Line Items]
Adjusted Cost	$ 63,900	10,129
Fair Value		10,129
Cash equivalents		10,129
U.S. Treasury Securities, maturities greater than three months
Debt Securities, Available-for-sale [Line Items]
Adjusted Cost		61,431
Unrealized Gains		247
Fair Value		61,678
Short-term Marketable Securities		$ 61,678

GEOGRAPHIC AND SEGMENT INFORM_3

GEOGRAPHIC AND SEGMENT INFORMATION - NARRATIVE (Details) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2019USD ($)	Mar. 31, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)segment	Jun. 30, 2018USD ($)
Segment Reporting [Abstract]
Number of operating segments (in segments) | segment				2
Concentration Risk [Line Items]
Income (loss) from continuing operations	$ (4,465)	$ (5,200)	$ (2,933)	$ (9,668)	$ (5,653)
Geographic concentration risk | Sales Revenue | International customers
Concentration Risk [Line Items]
Concentration receivable risk (as a percent)	30.90%		19.80%	30.20%	19.30%
Operating Segments | Advanced Energy
Concentration Risk [Line Items]
Income (loss) from continuing operations	$ (1,011)	(3,400)	$ (792)	$ (4,399)	$ (1,370)
Operating Segments | OEM
Concentration Risk [Line Items]
Income (loss) from continuing operations	136	800	302	921	708
Corporate & Other
Concentration Risk [Line Items]
Income (loss) from continuing operations	$ (3,590)	$ (2,600)	$ (2,443)	$ (6,190)	$ (4,991)

GEOGRAPHIC AND SEGMENT INFORM_4

GEOGRAPHIC AND SEGMENT INFORMATION - REPORTABLE SEGMENT (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Segment Reporting Information [Line Items]
Sales	$ 6,568		$ 3,691	$ 12,391	$ 7,088
Income (loss) from continuing operations	(4,465)	$ (5,200)	(2,933)	(9,668)	(5,653)
Interest income	403		0	826	0
Interest expense	0		(38)	0	(72)
Other losses	(200)		0	(225)	0
Change in value of derivative liabilities	0		46	0	20
Income tax expense (benefit)	76		13	(48)	24
Operating Segments | Advanced Energy
Segment Reporting Information [Line Items]
Sales	5,269		3,113	9,640	5,742
Income (loss) from continuing operations	(1,011)	(3,400)	(792)	(4,399)	(1,370)
Interest income	0			0
Interest expense			0		0
Other losses	0			0
Change in value of derivative liabilities			0		0
Income tax expense (benefit)	0		0	0	0
Operating Segments | OEM
Segment Reporting Information [Line Items]
Sales	1,299		578	2,751	1,346
Income (loss) from continuing operations	136	800	302	921	708
Interest income	0			0
Interest expense			0		0
Other losses	0			0
Change in value of derivative liabilities			0		0
Income tax expense (benefit)	0		0	0	0
Corporate & Other
Segment Reporting Information [Line Items]
Sales	0		0	0	0
Income (loss) from continuing operations	(3,590)	$ (2,600)	(2,443)	(6,190)	(4,991)
Interest income	403			826
Interest expense			(38)		(72)
Other losses	(200)			(225)
Change in value of derivative liabilities			46		20
Income tax expense (benefit)	$ 76		$ 13	$ (48)	$ 24

GEOGRAPHIC AND SEGMENT INFORM_5

GEOGRAPHIC AND SEGMENT INFORMATION - GEOGRAPHIC (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Segment Reporting Information [Line Items]
Sales	$ 6,568	$ 3,691	$ 12,391	$ 7,088
Domestic
Segment Reporting Information [Line Items]
Sales	4,540	2,960	8,644	5,718
International
Segment Reporting Information [Line Items]
Sales	$ 2,028	$ 731	$ 3,747	$ 1,370