Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2018 | Aug. 06, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | ICAD | |
Entity Registrant Name | ICAD INC | |
Entity Central Index Key | 749,660 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 16,862,737 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 7,791 | $ 9,387 |
Trade accounts receivable, net of allowance for doubtful accounts of $138 in 2018 and $107 in 2017 | 6,331 | 8,599 |
Inventory, net | 2,101 | 2,123 |
Prepaid expenses and other current assets | 1,126 | 1,100 |
Total current assets | 17,349 | 21,209 |
Property and equipment, net of accumulated depreciation of $6,067 in 2018 and $5,889 in 2017 | 458 | 576 |
Other assets | 53 | 53 |
Intangible assets, net of accumulated amortization of $7,615 in 2018 and $7,433 in 2017 | 1,734 | 1,931 |
Goodwill | 8,362 | 8,362 |
Total assets | 27,956 | 32,131 |
Current liabilities: | ||
Accounts payable | 872 | 1,362 |
Accrued and other expenses | 3,312 | 4,475 |
Lease payable-current portion | 14 | 12 |
Notes payable-current portion | 652 | 817 |
Deferred revenue | 6,140 | 5,404 |
Total current liabilities | 10,990 | 12,070 |
Other long-term liabilities | 72 | 119 |
Lease payable, long-term portion | 18 | 27 |
Notes payable, long-term portion | 5,386 | 5,119 |
Deferred revenue, long-term portion | 701 | 506 |
Deferred tax | 2 | 14 |
Total liabilities | 17,169 | 17,855 |
Commitments and Contingencies (Note 5, 6 and 8) | ||
Stockholders' equity: | ||
Preferred stock, $ .01 par value: authorized 1,000,000 shares; none issued. | ||
Common stock, $ .01 par value: authorized 30,000,000 shares; issued 16,853,885 in 2018 and 16,711,752 in 2017; outstanding 16,668,054 in 2018 and 16,525,681 in 2017 | 169 | 167 |
Additional paid-in capital | 218,098 | 217,389 |
Accumulated deficit | (206,065) | (201,865) |
Treasury stock at cost, 185,831 shares in 2018 and 2017 | (1,415) | (1,415) |
Total stockholders' equity | 10,787 | 14,276 |
Total liabilities and stockholders' equity | $ 27,956 | $ 32,131 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts on trade accounts receivable | $ 138 | $ 107 |
Property and equipment, accumulated depreciation and amortization | 6,067 | 5,889 |
Intangible assets, accumulated amortization | $ 7,615 | $ 7,433 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 16,853,885 | 16,711,752 |
Common stock, shares outstanding | 16,668,054 | 16,525,681 |
Treasury stock, shares | 185,831 | 185,831 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Revenue: | ||||
Total revenue | $ 6,162 | $ 6,409 | $ 12,475 | $ 13,200 |
Cost of revenue: | ||||
Amortization and depreciation | 102 | 286 | 207 | 584 |
Total cost of revenue | 1,378 | 1,906 | 3,193 | 4,008 |
Gross profit | 4,784 | 4,503 | 9,282 | 9,192 |
Operating expenses: | ||||
Engineering and product development | 2,057 | 2,232 | 5,396 | 4,806 |
Marketing and sales | 2,006 | 2,690 | 4,172 | 5,592 |
General and administrative | 1,583 | 2,089 | 3,641 | 4,123 |
Amortization and depreciation | 77 | 116 | 160 | 238 |
Gain on sale of MRI assets | (2,508) | |||
Total operating expenses | 5,723 | 7,127 | 13,369 | 12,251 |
Loss from operations | (939) | (2,624) | (4,087) | (3,059) |
Interest expense | (113) | (10) | (255) | (15) |
Other income | 29 | 51 | ||
Other expense, net | (84) | (10) | (204) | (15) |
Loss before income tax expense | (1,023) | (2,634) | (4,291) | (3,074) |
Tax (expense) benefit | (4) | 3 | (17) | (14) |
Net loss and comprehensive loss | $ (1,027) | $ (2,631) | $ (4,308) | $ (3,088) |
Net loss per share: | ||||
Basic | $ (0.06) | $ (0.16) | $ (0.26) | $ (0.19) |
Diluted | $ (0.06) | $ (0.16) | $ (0.26) | $ (0.19) |
Weighted average number of shares used in computing loss per share: | ||||
Basic | 16,664 | 16,310 | 16,624 | 16,223 |
Diluted | 16,664 | 16,310 | 16,624 | 16,223 |
Product [Member] | ||||
Revenue: | ||||
Total revenue | $ 3,194 | $ 2,668 | $ 6,208 | $ 5,799 |
Cost of revenue: | ||||
Total cost of revenue | 537 | 293 | 995 | 713 |
Service [Member] | ||||
Revenue: | ||||
Total revenue | 2,968 | 3,741 | 6,267 | 7,401 |
Cost of revenue: | ||||
Total cost of revenue | $ 739 | $ 1,327 | $ 1,991 | $ 2,711 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Cash flow from operating activities: | ||
Net loss | $ (4,308) | $ (3,088) |
Adjustments to reconcile net loss to net cash used for by operating activities: | ||
Amortization | 189 | 264 |
Depreciation | 178 | 558 |
Bad debt provision | 101 | 34 |
Inventory obsolesence reserve | (7) | 44 |
Stock-based compensation expense | 773 | 2,570 |
Amortization of debt discount and debt costs | 102 | (9) |
Interest on settlement obligations | 26 | |
Deferred tax expense | (13) | 4 |
Loss on disposal of assets | 12 | 20 |
Gain on sale of MRI assets | (2,158) | |
Changes in operating assets and liabilities: | ||
Accounts receivable | 2,198 | (690) |
Inventory | 30 | 204 |
Prepaid and other current assets | 91 | 707 |
Accounts payable | (490) | (631) |
Accrued expenses | (1,209) | (457) |
Deferred revenue | 890 | (648) |
Total adjustments | 2,845 | (162) |
Net cash used for operating activities | (1,463) | (3,250) |
Cash flow from investing activities: | ||
Additions to patents, technology and other | (4) | (2) |
Additions to property and equipment | (60) | (330) |
Sale of MRI assets | 2,850 | |
Net cash (used for) provided by investing activities | (64) | 2,518 |
Cash flow from financing activities: | ||
Stock option exercises | 30 | |
Taxes paid related to restricted stock issuance | (63) | (122) |
Principal payments of capital lease obligations | (6) | (77) |
Net cash used for financing activities | (69) | (169) |
Decrease in cash and equivalents | (1,596) | (901) |
Cash and equivalents, beginning of period | 9,387 | 8,585 |
Cash and equivalents, end of period | 7,791 | 7,684 |
Supplemental disclosure of cash flow information: | ||
Interest paid | 139 | 3 |
Taxes paid | $ 35 | $ 45 |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | Note 1—Basis of Presentation and Significant Accounting Policies The accompanying condensed consolidated financial statements of iCAD, Inc. and subsidiaries (“iCAD” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”). In the opinion of management, these unaudited interim condensed consolidated financial statements reflect all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of the financial position of the Company at June 30, 2018, the results of operations of the Company for the three and six month periods ended June 30, 2018 and 2017, and cash flows of the Company for the six month period ended June 30, 2018 and 2017. Although the Company believes that the disclosures in these financial statements are adequate to make the information presented not misleading, certain information normally included in the footnotes prepared in accordance with US GAAP has been omitted as permitted by the rules and regulations of the Securities and Exchange Commission (“SEC”). The accompanying financial statements should be read in conjunction with the audited financial statements and notes thereto included in the Company’s Annual Report on Form 10-K Segments The Company reports the results of two segments: Cancer Detection (“Detection”) and Cancer Therapy (“Therapy”). The Detection segment consists of our advanced image analysis and workflow products. The Therapy segment consists of our radiation therapy (“Axxent”) products, physics and management services, development fees, supplies, and fees for the AxxentHub software platform. Revenue Recognition Adoption of ASC Topic 606, “Revenue from Contracts with Customers” On January 1, 2018, the Company adopted the new accounting standard ASC 606, “Revenue from Contracts with Customers” and all the related amendments (Topic 606) using the modified retrospective method for all contracts not completed as of the date of adoption. For contracts that were modified before the effective date, the Company reflected the aggregate effect of all modifications when identifying performance obligations and allocating transaction price in accordance with practical expedient ASC 606-10-65-1-(f)-4, A significant portion of the Company’s revenue continues to be recognized when products are shipped from manufacturing or warehousing facilities. Revenue generated from fixed fee service contracts and source agreements continues to be recognized on a straight-line basis over the term of the agreement. Revenue generated from professional service contracts entered into with customers on a time and material basis is recognized over the term of the agreement in proportion to the costs incurred in satisfying the obligations under the contract. Components of certain fixed fee service contracts are accounted for as a lease and therefore are outside the scope of Topic 606. See Note 1 for further details. We recorded a net increase to opening retained earnings of $0.1 million as of January 1, 2018 due to the cumulative impact of adopting Topic 606, with the impact primarily related to the deferral of commissions on our long-term service arrangements and warranty periods greater than one year, which previously were expensed as incurred but under the amendments to ASC 340-40 The cumulative effect of the changes made to the Company’s consolidated balance sheet for the adoption of Topic 606 were as follows (in thousands): Selected Balance Sheet Balance at Adjustments 2014-09 Balance at Assets Prepaid expenses and other current assets $ 1,100 $ 147 $ 1,247 Liabilities Deferred revenue — 409 409 Contract liabilities 5,910 (370 ) 5,540 Stockholders’ equity Accumulated deficit (201,865 ) 108 (201,973 ) In accordance with the requirements of the new standard, the disclosure of the impact of the adoption on our consolidated balance sheet and statement of operations was as follows (in thousands): As of June 30, 2018 Selected Balance Sheet As Reported Balances Effect of Assets Prepaid expenses and other current assets $ 1,126 $ 888 $ (238 ) Liabilities Accrued expenses 3,312 3,312 — Deferred revenue 364 364 — Contract liabilities 6,477 6,473 (4 ) Deferred tax 2 2 — Stockholders’ equity Accumulated deficit (206,065 ) (206,307 ) (242 ) The impact to revenues as a result of applying Topic 606 for the three and six months ended June 30, 2018 was a decrease of $13,000 and $4,000, respectively (in thousands). Three months ended June 30, 2018 Six months ended June 30, 2018 Selected Statement of Operations As Balances without Effect of Change As Balances without Effect of Change Revenue Products $ 3,194 $ 3,154 $ (40 ) $ 6,208 $ 6,157 $ 51 Service and supplies 2,968 2,995 27 6,267 6,322 (55 ) Cost of revenue Products 537 537 — 995 995 — Service and supplies 739 739 — 1,991 1,991 — Operating expenses Marketing and sales 2,006 2,082 (76 ) 4,172 4,410 (238 ) Interest expense (113 ) (113 ) — (255 ) (255 ) — Other income 29 29 — 51 51 — Tax benefit (expense) (4 ) (4 ) — (17 ) (17 ) — Net loss (1,027 ) (1,090 ) (63 ) (4,308 ) (4,542 ) (234 ) Revenue Recognition In accordance with ASC 606, revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services, and excludes any sales incentives or taxes collected from customer which are subsequently remitted to government authorities. To achieve this core principle, the Company applies the following five steps: 1) Identify the contract(s) with a customer 2) Identify the performance obligations in the contract 3) Determine the transaction price 4) Allocate the transaction price to the performance obligations in the contract 5) Recognize revenue when (or as) the Company satisfies a performance obligation The Company recognizes revenue from its contracts with customers primarily from the sale of products and from the sale of services and supplies. Revenue is recognized when control of the promised goods or services is transferred to a customer, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. For product revenue, control has transferred upon shipment provided title and risk of loss have passed to the customer. Services and supplies are considered to be transferred as the services are performed or over the term of the service or supply agreement. The Company enters into contracts that can include various combinations of products and services, which are generally capable of being distinct and accounted for as separate performance obligations. The Company’s hardware is generally highly dependent on, and interrelated with, the underlying software and the software is considered essential to the functionality of the product. In these cases, the hardware and software license are accounted for as a single performance obligation and revenue is recognized at the point in time when ownership is transferred to the customer. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer, are excluded from revenue. Shipping and handling costs associated with outbound freight after control of a product has transferred to a customer are accounted for as fulfillment costs and are included in cost of revenue. Disaggregation of Revenue The following tables presents our revenues disaggregated by major good or service line, timing of revenue recognition, and sales channel, reconciled to our reportable segments (in thousands). Three months ended June 30, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,486 $ 1,176 $ 3,662 Service contracts 1,310 347 1,657 Supply and source usage agreements — 558 558 Professional services — 50 50 Other 55 41 96 $ 3,851 $ 2,172 $ 6,023 Timing of Revenue Recognition Goods transferred at a point in time $ 2,486 $ 1,199 $ 3,685 Services transferred over time 1,365 973 2,338 $ 3,851 $ 2,172 $ 6,023 Sales Channels Direct sales force $ 2,114 $ 1,917 $ 4,031 OEM partners 1,737 — 1,737 Channel partners — 255 255 $ 3,851 $ 2,172 $ 6,023 Total Revenue Revenue from contracts with customers $ 3,851 $ 2,172 $ 6,023 Revenue from lease components 139 — 139 $ 3,990 $ 2,172 $ 6,162 Six months ended June 30, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 4,975 $ 2,244 $ 7,219 Service contracts 2,637 709 3,346 Supply and source usage agreements — 1,087 1,087 Professional services — 194 194 Other 109 240 349 $ 7,721 $ 4,474 $ 12,195 Timing of Revenue Recognition Goods transferred at a point in time $ 4,975 $ 2,470 $ 7,445 Services transferred over time 2,746 2,004 4,750 $ 7,721 $ 4,474 $ 12,195 Sales Channels Direct sales force $ 3,840 $ 3,958 $ 7,798 OEM partners 3,881 — 3,881 Channel partners — 516 516 $ 7,721 $ 4,474 $ 12,195 Total Revenue Revenue from contracts with customers $ 7,721 $ 4,474 $ 12,195 Revenue from lease components 280 — 280 $ 8,001 $ 4,474 $ 12,475 Three months ended June 30, 2017(1) Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,545 $ 845 $ 3,390 Service contracts 1,463 388 1,851 Supply and source usage agreements — 478 478 Professional services — 15 15 Other 75 452 527 $ 4,083 $ 2,178 $ 6,261 Timing of Revenue Recognition Goods transferred at a point in time 2,545 1,008 $ 3,553 Services transferred over time 1,538 1,170 2,708 $ 4,083 $ 2,178 $ 6,261 Sales Channels Direct sales force $ 1,974 $ 2,029 $ 4,003 OEM partners 2,109 — 2,109 Channel partners — 149 149 $ 4,083 $ 2,178 $ 6,261 Total Revenue Revenue from contracts with customers $ 4,083 $ 2,178 $ 6,261 Revenue from lease components 148 — 148 $ 4,231 $ 2,178 $ 6,409 (1) As noted above, prior period amounts have not been adjusted under the modified retrospective method. Six months ended June 30, 2017(1) Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 5,212 $ 2,001 $ 7,213 Service contracts 2,939 804 3,743 Supply and source usage agreements — 947 947 Professional services — 68 68 Other 274 660 934 $ 8,425 $ 4,480 $ 12,905 Timing of Revenue Recognition Goods transferred at a point in time 5,212 2,151 $ 7,363 Services transferred over time 3,213 2,329 5,542 $ 8,425 $ 4,480 $ 12,905 Sales Channels Direct sales force $ 4,111 $ 4,170 $ 8,281 OEM partners 4,314 — 4,314 Channel partners — 310 310 $ 8,425 $ 4,480 $ 12,905 Total Revenue Revenue from contracts with customers $ 8,425 $ 4,480 $ 12,905 Revenue from lease components 295 — 295 $ 8,720 $ 4,480 $ 13,200 (1) As noted above, prior period amounts have not been adjusted under the modified retrospective method. Products. Service Contracts. non-lease Supply and Source Usage Agreements. Professional Services. Other. Significant Judgments The Company’s contracts with customers may include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. For arrangements with multiple performance obligations, the Company allocates revenue to each performance obligation based on its relative standalone selling price. Judgment is required to determine the standalone selling price for each distinct performance obligation. The Company generally determines standalone selling prices based on the prices charged to customers and uses a range of amounts to estimate standalone selling prices when we sell each of the products and services separately and need to determine whether there is a discount that needs to be allocated based on the relative standalone selling prices of the various products and services. The Company typically has more than one range of standalone selling prices for individual products and services due to the stratification of those products and services by customers and circumstances. In these instances, the Company may use information such as the type of customer and geographic region in determining the range of standalone selling prices. The Company may provide credits or incentives to customers, which are accounted for as variable consideration when estimating the transaction price of the contract and amounts of revenue to recognize. The amount of variable consideration to include in the transaction price is estimated at contract inception using either the estimated value method or the most likely amount method based on the nature of the variable consideration. These estimates are updated at the end of each reporting period as additional information becomes available and revenue is recognized only to the extent that it is probable that a significant reversal of any amounts of variable consideration included in the transaction price will not occur. The Company provides for estimated warranty costs on original product warranties at the time of sale. Contract Balances Contract liabilities are a component of deferred revenue, and Contract assets are a component of Prepaid and other current assets. The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers (in thousands). Contract balances Balance at Receivables, which are included in ‘Trade accounts receivable’ $ 6,200 Contract assets, which are included in “Prepaid and other current assets” 2 Contract liabilities, which are included in “Deferred revenue” 6,477 Timing of revenue recognition may differ from timing of invoicing to customers. The Company records a receivable when revenue is recognized prior to receipt of cash payments and the Company has the unconditional right to such consideration, or unearned revenue when cash payments are received or due in advance of performance. For multi-year agreements, the Company generally invoices customers annually at the beginning of each annual service period. The opening balance of accounts receivable from contracts with customers, net of allowance for doubtful accounts, was $8.5 million as of January 1, 2018. As of June 30, 2018, accounts receivable, net of allowance for doubtful accounts, was $6.2 million. The Company will record a contract asset for unbilled revenue when the Company’s performance is in excess of amounts billed or billable. The Company has classified the contract asset balance as a component of prepaid expenses and other current assets as of January 1, 2018 and June 30, 2018. The opening balance of contract assets was $166,000 as of January 1, 2018. As of June 30, 2018, the contract asset balance was $2,000. Deferred revenue from contracts with customers is primarily composed of fees related to long-term service arrangements, which are generally billed in advance. Deferred revenue also includes payments for installation and training that has not yet been completed and other offerings for which we have been paid in advance and earn the revenue when we transfer control of the product or service. Deferred revenue from contracts with customers is included in deferred revenue in the consolidated balance sheets. Deferred revenue on the consolidated balance sheet also includes $369,000 and $364,000 at December 31, 2017 and June 30, 2018, respectively, of amounts associated with service contracts accounted for under Topic 840. The balance of deferred revenue at December 31, 2017 and June 30, 2018 is as follows (in thousands): December 31, 2017 Contract Lease revenue Total Short term $ 5,044 $ 360 $ 5,404 Long term 497 9 506 Total $ 5,541 $ 369 $ 5,910 June 30, 2018 Contract Lease revenue Total Short term $ 5,795 $ 345 $ 6,140 Long term 682 19 701 Total $ 6,477 $ 364 $ 6,841 Changes in deferred revenue from contracts with customers were as follows (in thousands): Six Months Ended Balance at beginning of period $ 5,541 Adoption adjustment 39 Deferral of revenue 5,717 Recognition of deferred revenue (4,820 ) Balance at end of period $ 6,477 We expect to recognize approximately $4.5 million of the deferred amount in 2018, $1.6 million in 2019, and $0.4 million thereafter. Assets Recognized from the Costs to Obtain a Contract with a Customer We recognize an asset for the incremental costs of obtaining a contract with a customer if we expect the benefit of those costs to be longer than one year. We have determined that certain commissions programs meet the requirements to be capitalized. The opening balance of capitalized costs to obtain a contract was $117,000 as of January 1, 2018. As of June 30, 2018, the balance of capitalized costs to obtain a contract was $238,000. The Company has classified the capitalized costs to obtain a contract as a component of prepaid expenses and other current assets as of January 1, 2018 and June 30, 2018. Changes in the balance of capitalized costs to obtain a contract were as follows (in thousands): Six Months Ended Balance at beginning of period $ 117 Deferral of costs to obtain a contract 233 Recognition of costs to obtain a contract (112 ) Balance at end of period $ 238 Practical Expedients and Exemptions The Company has elected to make the following accounting policy elections through the adoption of the following practical expedients: Right to Invoice Where applicable, the Company will recognize revenue from a contract with a customer in an amount that corresponds directly with the value to the customer of the Company’s performance completed to date and the amount to which the entity has a right to invoice. Sales and Other Similar Taxes The Company will exclude sales taxes and similar taxes from the measurement of transaction price and will ensure that it complies with the disclosure requirements of ASC 235-10-50-1 50-6. Significant Financing Component The Company will not adjust the promised amount of consideration for the effects of a significant financing component if the Company expects, at contract inception, that the period between when the entity transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. Cost to Obtain a Contract The Company will recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the Company otherwise would have recognized is one year or less and there are no renewal periods on which the Company does not pay commissions that are not commensurate with those originally paid. Promised Goods or Services that are Immaterial in the Context of a Contract The Company has elected to assess promised goods or services as performance obligations that are deemed to be immaterial in the context of a contract. As such, the Company will not aggregate and assess immaterial items at the entity level. That is, when determining whether a good or service is immaterial in the context of a contract, the assessment will be made based on the application of ASC 606 at the contract level. The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which we recognize revenue at the amount to which we have the right to invoice for services performed. Cost of Revenue Cost of revenue consists of the costs of products purchased for resale, costs relating to service including personnel costs for physicists, management services and radiation therapists, costs of service contracts to maintain equipment after the warranty period, product installation, training, customer support, certain warranty repair costs, inbound freight and duty, cost of supplies, manufacturing, warehousing, material movement, inspection, scrap, rework, amortization, depreciation and in-house |
Loss per Common Share
Loss per Common Share | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Loss per Common Share | Note 2—Loss per Common Share The Company’s basic net loss per share is computed by dividing net loss by the weighted average number of shares of common stock outstanding for the period. A summary of the Company’s calculation of net loss per share is as follows (in thousands except per share amounts): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Net loss $ (1,027 ) $ (2,631 ) $ (4,308 ) $ (3,088 ) Shares used in the calculation of basic and diluted net loss per share 16,664 16,310 16,624 16,223 Effect of dilutive securities: Stock options — — — — Restricted stock — — — — Diluted shares used in the calculation of net loss per share 16,664 16,310 16,624 16,223 Net loss per share—basic and diluted $ (0.06 ) $ (0.16 ) $ (0.26 ) $ (0.19 ) The shares of the Company’s common stock issuable upon the exercise of stock options and vesting of restricted stock that were excluded from the calculation of diluted net loss per share because their effect would have been antidilutive are as follows: Period Ended June 30, 2018 2017 Stock options 1,394,275 1,419,540 Restricted stock 574,213 384,323 Stock options and restricted stock 1,968,488 1,803,863 |
Sale of MRI Assets
Sale of MRI Assets | 6 Months Ended |
Jun. 30, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Sale of MRI Assets | Note 3—Sale of MRI Assets In December 2016, the Company entered into an Asset Purchase Agreement with Invivo Corporation. In accordance with the agreement, the Company sold to Invivo all right, title and interest to certain intellectual property relating to the Company’s VersaVue Software and DynaCAD product and related assets for $3.2 million. The Company closed the transaction on January 30, 2017 less a holdback reserve of $350,000 for a net of approximately $2.9 million. The holdback reserve of $350,000 has been recorded as an asset in prepaid and other current assets and will be paid to the Company within eighteen months from the closing date, less any amounts, if any, due and payable or reserved under the indemnification provisions in the Asset Purchase agreement. A third party has made a claim against Invivo and the Company, for which the Company is required to indemnify Invivo. The Company is disputing such third party claim and the amount of the claim the Company may be required to pay is not determinable at this time. Any amounts owed by the Company in connection with such indemnification obligations will reduce the $350,000 holdback. The Company determined the sale constituted the sale of a business in accordance with ASC 805. The Company performed an evaluation to determine if the sale constituted discontinued operations and concluded that the sale did not represent a major strategic shift, and accordingly it was not considered to be discontinued operations. In connection with the transaction, the Company allocated $394,000 of goodwill which was a component of the gain on the sale. The allocation was based on the fair value of the assets sold relative to the fair value of the Detection reporting unit as of the date of the agreement, based on the guidance from ASC 350-20-40-3. The value of the net assets sold is as follows (in thousands): Assets Accounts Receivable $ 116 Intangible assets 810 Allocated Goodwill 394 Total Assets $ 1,320 Liabilities Deferred Revenue $ 746 Total Liabilities $ 746 Net Assets Sold $ 574 In connection with the sale the Company agreed to provide certain transition services to Invivo. The fair value of the transition services were determined based on the cost to provide plus a reasonable profit margin and have been recognized as revenue over the term of approximately ninety days from the closing date. The Company recorded a gain of $2.5 million as of January 30, 2017. The components of the gain on the sale are as follows (in thousands): Gain on Sale Cash received $ 2,850 Holdback reserve 350 Fair value of transition services (118 ) Net Assets sold (574 ) Total $ 2,508 |
Inventory
Inventory | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Inventory | Note 4—Inventory Inventory is valued at the lower of cost or net realizable value, with cost determined by the first-in, first-out as of June 30, as of December 31, Raw materials $ 873 $ 992 Work in process 97 63 Finished Goods 1,131 1,068 Inventory $ 2,101 $ 2,123 |
Debt Financing
Debt Financing | 6 Months Ended |
Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |
Debt Financing | Note 5—Debt financing On August 7, 2017, the Company entered into a Loan and Security Agreement, which has been modified by the First Loan Modification Agreement dated as of March 22, 2018 and the Second Loan Modification Agreement dated as of August 13, 2018 (the “Loan Agreement”) with Silicon Valley Bank (the “Bank”) that provided an initial term loan facility (amounts borrowed thereunder, the “Initial Term Loan”) of $6.0 million and a $4.0 million revolving line of credit (amounts borrowed thereunder, the “Revolving Loans”). The Company also has the option to borrow an additional $3.0 million term loan under the Loan Agreement (amounts borrowed thereunder, the “Subsequent Term Loan” and together with the Initial Term Loan, the “Term Loan”), subject to meeting a Detection revenue minimum of at least $21.5 million for a trailing twelve month period ending prior on or prior to June 30, 2019. As of June 30, 2018, the Company met the minimum 3 month trailing EBITDA threshold of $(750,000) for a trailing three month period ending between March 22, 2018 and July 31, 2018 (the “Adjusted EBITDA Event”) and thus will begin repayment of the first tranche of the Term Loan on March 1, 2019. The Company will make 30 equal monthly installment payments of principal. The Company will begin repayment of the second tranche of the Term Loan if drawn on October 1, 2019 and make 30 equal monthly installments of principal, if the Company meets the Detection revenue minimum. Outstanding Revolving Loans will accrue interest at a floating per annum rate equal to 1.50% above the prime rate for periods when the ratio of the Company’s unrestricted cash to the Company’s outstanding liabilities to the Bank plus the amount of the Company’s total liabilities that mature within one year is at least 1.25 to 1.0. At all other times, the interest rate shall be 0.50% above the prime rate. The outstanding Term Loans will accrue interest at a floating per annum rate equal to the prime rate. The maturity date of the Revolving Loans and the Term Loans is March 1, 2022. However, the maturity date will become April 30, 2019, April 30, 2020 or April 30, 2021 if, on or before March 15, 2019, or 2020 or 2021, as applicable, the Company does not agree in writing to the Detection revenue and adjusted EBITDA covenant levels proposed by the Bank with respect to the upcoming applicable calendar year. If the Revolving Loans are paid in full and the Loan Agreement is terminated prior to the maturity date, then the Company will pay to the Bank a termination fee in an amount equal to (2.0%) of the maximum revolving line of credit. If the Company prepays the Term Loans prior to the maturity date, then the Company will pay to the Bank an amount equal to 1.0%-3.0% of the Term Loans, depending on when such Term Loans are repaid. In addition, the Loan Agreement requires the Company to pay a final payment of 8.5% of the Term Loan, which was increased by the Second Loan Modification Agreement from 8% upon the earliest of the repayment of the Term Loans, the termination of the Loan agreement and the maturity date. The Company is accruing such payment as interest expense. As of June 30, 2018, the accrued final payment is approximately $98,000 and is a component of the outstanding loan balance. As part of the Second Loan Modification Agreement dated August 13, 2018, the Company revised the Detection Revenue Covenant (the “Covenant”) for the quarter ended June 30, 2018 to maintain compliance with the Covenant. The Second Loan Modification Agreement requires the Company to maintain minimum detection revenues during the trailing six month period ending on the last day of each calendar quarter as follows: June 30, 2018 - $7.5 million; September 30, 2018 - $7.5 million and December 31, 2018 - $8.75 million. The Second Loan Modification Agreement requires the Company to maintain adjusted EBITDA during the trailing six month period ending on the last day of each calendar quarter as follows: June 30, 2018 - $(4.5 million); June 30, 2018 - $(3.75 million); September 30, 2018 - $(1 million) and December 31, 2018 - $1.00. For the quarter ended June 30, 2018 the Company was in compliance with the covenants as modified by the Second Loan Modification Agreement. Obligations to the Bank under the Loan Agreement are secured by a first priority security interest in substantially all of the assets, including intellectual property, accounts, receivables, equipment, general intangibles, inventory and investment property, and all of the proceeds and products of the foregoing, of each of the Company and Xoft, Inc. and Xoft Solutions LLC, wholly-owned subsidiaries of the Company. In connection with the Loan Agreement, the Company incurred approximately $74,000 of closing costs. In accordance with ASU 2015-03 The current repayment schedule for the Term Loan is based on repayment beginning on March 1, 2019, as the Company met the EBITDA minimum as of June 30, 2018. The carrying value of the Term Loan (net of debt issuance costs) as of June 30, 2018 and December 31, 2017 is as follows (in thousands): June 30, 2018 December 31, 2017 Principal Amount of Term Loan $ 6,000 $ 6,000 Unamortized closing costs (60 ) (64 ) Accrued Final Payment 98 — Carrying amount of Term Loan 6,038 5,936 Less current portion of Term Loan (652 ) (817 ) Notes payable long-term portion $ 5,386 $ 5,119 Principal and interest payments are as follows (in thousands): Fiscal Year Amount 2018 $ 150 2019 2,452 2020 2,534 2021 1,933 Total $ 7,069 The following amounts are included in interest expense in our consolidated statement of operations for the three and six months ended June 30, 2018 and 2017 (in thousands): Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Cash interest expense $ 73 $ — $ 141 $ — Final Payment accrual 32 — 98 — Amortization of debt costs 7 — 14 — Amortization of settlement obligations — 12 — 26 Interest expense capital lease 1 — 2 — Capital lease—fair value amortization — (2 ) — (11 ) Total interest expense $ 113 $ 10 $ 255 $ 15 |
Lease Commitments
Lease Commitments | 6 Months Ended |
Jun. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Lease Commitments | Note 6—Lease Commitments Operating leases Facilities are leased under operating leases expiring at various dates through March 2020. Certain of these leases contain renewal options. Rent expense under operating leases was $228,000, $221,000, $450,000 and $436,000 for the three and six months ended June 30, 2018 and 2017, respectively. Future minimum lease payments as of June 30, 2018 under operating leases are as follows: (in thousands) Fiscal Year Operating 2018 $ 384 2019 755 2020 174 Total $ 1,313 Capital leases In August 2017, the Company assumed an equipment lease obligation with payments totaling $50,000. The leases were determined to be capital leases and accordingly the equipment was capitalized and a liability of $42,000 was recorded. The equipment will be depreciated over the expected life of 3 years. Minimum lease payments are as follows (in thousands): Fiscal Year Capital 2018 $ 8 2019 16 2020 13 subtotal minimum lease obligation 37 less interest (5 ) Total, net 32 less current portion (14 ) long term portion $ 18 |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Note 7—Stock-Based Compensation The Company follows the guidance in ASC Topic 718, “ Compensation – Stock Compensation , The Company granted options to purchase 75,937 and 141,268 shares of the Company’s stock in the three and six months ended June 30, 2018, respectively. Options granted under the Company’s stock incentive plans were valued utilizing the Black-Scholes model using the following assumptions and had the following fair values: Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Average risk-free interest rate 2.62 % 1.50 % 2.50 % 1.49 % Expected dividend yield None None None None Expected life 3.5 years 3.5 years 3.5 years 3.5 years Expected volatility 61.6 % 64.9% to 67.0 % 60.8% to 61.6 % 64.9% to 72.0 % Weighted average exercise price $ 3.08 $ 4.21 $ 3.08 $ 4.46 Weighted average fair value $ 1.42 $ 1.98 $ 1.41 $ 2.19 The Company’s stock-based compensation expense, including options and restricted stock by category is as follows (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Cost of revenue $ 1 $ 2 2 $ 4 Engineering and product development 100 352 197 557 Marketing and sales 57 499 57 722 General and administrative 224 748 517 1,287 $ 382 $ 1,601 $ 773 $ 2,570 As of June 30, 2018, unrecognized compensation cost (in thousands) related to unexercisable options and unvested restricted stock and the weighted average remaining period is as follows: Remaining expense $ 1,638 Weighted average term 1.1 The Company’s restricted stock awards typically vest in either one year or three equal annual installments with the first installment vesting one year from grant date. The Company granted a total of 162,500 shares of performance based restricted stock during 2016 with performance measured on meeting a revenue target based on growth for fiscal year 2017 and vesting in three equal installments with the first installment vesting upon measurement of the goal. In addition, a maximum of 108,333 additional shares were available to be earned based on exceeding the revenue goal. On March 30, 2018, in accordance with the performance award, the Board of Directors deemed that the award had been earned and a total of 189,583 shares were granted, with 63,194 immediately vesting and the remainder vesting on the first and second anniversary of the award date. On March 22, 2018, the Company granted a total of 112,500 shares of performance based restricted stock with performance measured on meeting a revenue target based on growth for fiscal year 2018 and vesting in three equal installments with the first installment vesting upon measurement of the goal. The Company also granted a total of 112,500 shares of time based restricted stock. During the three months ended June 30, 2018 the Company did not grant any shares of restricted stock. Assumptions used to determine the value of performance based grants of restricted stock include the probability of achievement of the specified revenue targets. Compensation cost for performance based restricted stock requires significant judgment regarding probability of achieving the performance objectives and compensation cost is re-measured The Company’s aggregate intrinsic value for stock options and restricted stock outstanding is as follows (in thousands): Period Ended June 30, Aggregate intrinsic value 2018 2017 Stock options $ 261 $ 966 Restricted stock 1,789 1,610 There were no stock options exercised during the three months ended June 30, 2018. The intrinsic value of restricted shares that vested in the three months ended June 30, 2018 was $23,000. The intrinsic value of restricted shares that vested in the three months ended June 30, 2017 was $1.2 million. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 8—Commitments and Contingencies Foreign Tax Claim In July 2007, a dissolved former Canadian subsidiary of the Company, CADx Medical Systems Inc. (“CADx Medical”), received a tax re-assessment re-assessment re-assessment Other Commitments The Company is obligated to pay approximately $1.0 million for firm purchase obligations to suppliers for future product and service deliverables. Litigation The Company is a party to various legal proceedings and claims arising out of the ordinary course of its business. Although the final results of all such matters and claims cannot be predicted with certainty, the Company currently believes that there are no current proceedings or claims pending against it the ultimate resolution of which would have a material adverse effect on its financial condition or results of operations. However, should the Company fail to prevail in any legal matter or should several legal matters be resolved against the Company in the same reporting period, such matters could have a material adverse effect on our operating results and cash flows for that particular period. In all cases, at each reporting period, the Company evaluates whether or not a potential loss amount or a potential range of loss is probable and reasonably estimable under ASC 450, Contingencies. Legal costs are expensed as incurred. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 9—Fair Value Measurements The Company follows the provisions of ASC Topic 820, “ Fair Value Measurement and Disclosures • Level 1—Quoted prices in active markets for identical assets or liabilities. • Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Our financial instruments include cash and cash equivalents, accounts receivable, accounts payable certain accrued liabilities and debt. The carrying amounts of our cash and cash equivalents (which are composed primarily of deposit and overnight sweep accounts), accounts receivable, accounts payable and certain accrued liabilities approximate fair value due to the short maturity of these instruments. The carrying value of our term loan approximates fair value due to the market rate of the stated interest rate. The Company’s assets that are measured at fair value on a recurring basis relate to the Company’s money market accounts. The Company’s money market funds are included in cash and cash equivalents in the accompanying balance sheets and are considered a Level 1 investment as they are valued at quoted market prices in active markets. The following table sets forth the Company’s assets and liabilities which are measured at fair value on a recurring basis by level within the fair value hierarchy. Fair value measurements using: (000’s) as of December 31, 2017 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 8,853 $ — $ — $ 8,853 Total Assets $ 8,853 $ — $ — $ 8,853 Fair value measurements using: (000’s) as of June 30, 2018 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 7,381 $ — $ — $ 7,381 Total Assets $ 7,381 $ — $ — $ 7,381 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 10—Income Taxes The Company recorded an income tax provision of $4,000 and $17,000 for the three and six months ended June 30, 2018 and 2017, respectively. At June 30, 2018, the Company had no material unrecognized tax benefits and a deferred tax liability of approximately $2,000 related to tax amortizable goodwill. The Company recorded a decrease in the deferred tax liability of approximately $4,000 through June 30, 2018. For the three and six months ended June 30, 2017, the Company recorded an income tax benefit of $3,000 and a provision of $14,000, respectively. The tax benefit for the quarter ended June 30, 2017 was the result of receiving research and development credits in New Hampshire. No other adjustments were required under ASC 740, “Income Taxes”. The Company does not expect that the unrecognized tax benefits will materially increase within the next 12 months. The Company did not recognize any interest or penalties related to uncertain tax positions at June 30, 2018. The Company’s estimate of the Tax Cut and Jobs Act (“TCJA”) and the remeasurement of our deferred tax assets and liabilities is subject to the finalization of the Company’s analysis related to certain matters, such as developing interpretations of the provisions of the TCJA, changes to certain estimates and the filing of the Company’s tax returns. U.S. Treasury regulations, administrative interpretations or court decisions interpreting the TCJA may require further adjustments and changes in the Company’s estimates. The final determination of the TCJA and the re-measurement The Company files United States federal income tax returns and income tax returns in various states and local jurisdictions. The Company’s three preceding tax years remain subject to examination by federal and state taxing authorities. In addition, because the Company has net operating loss carry-forwards, the Internal Revenue Service and state jurisdictions are permitted to audit earlier years and propose adjustments up to the amount of net operating loss generated in those years. The Company is not currently under examination by any federal or state jurisdiction for any tax years. |
Goodwill
Goodwill | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Note 11—Goodwill In accordance with FASB Accounting Standards Codification (“ASC”) Topic 350-20, “Intangibles—Goodwill and Other” 350-20”), Factors the Company considers important, which could trigger an impairment of such asset, include the following: • significant underperformance relative to historical or projected future operating results; • significant changes in the manner or use of the assets or the strategy for the Company’s overall business; • significant negative industry or economic trends; • significant decline in the Company’s stock price for a sustained period; and • a decline in the Company’s market capitalization below net book value. The Company records an impairment charge when such assessment indicates that the fair value of a reporting unit was less than the carrying value. In evaluating potential impairments outside of the annual measurement date, judgment is required in determining whether an event has occurred that may impair the value of goodwill or intangible assets. The Company did not have any triggering events in the quarter ended June 30, 2018. The Company utilizes either discounted cash flow models or other valuation models, such as comparative transactions and market multiples, to determine the fair value of reporting units. The Company makes assumptions about future cash flows, future operating plans, discount rates, comparable companies, market multiples, purchase price premiums and other factors in those models. Different assumptions and judgment determinations could yield different conclusions that would result in an impairment charge to income in the period that such change or determination was made. In January 2018 the Company adopted a plan to discontinue offering radiation therapy professional services to practices that provide the Company’s electronic brachytherapy solution for the treatment of non-melanoma The Company elected to early adopt ASU 2017-04, 2017-04”) 2017-04 As a result of the underperformance of the Therapy reporting unit as compared to expected future results, the Company determined there was a triggering event in the third quarter of 2017. As a result, the Company completed an interim impairment assessment. The interim test resulted in the fair value of the Therapy reporting unit being less than the carrying value of the reporting unit. The fair value of the Therapy reporting unit was $3.5 million and the carrying value was $7.5 million. The deficiency of $4.0 million was recorded as an impairment charge in the third quarter ended September 30, 2017. The Company did not identify a triggering event within the Detection reporting unit and accordingly did not perform an interim test. The Company performed the annual impairment assessment at October 1, 2017 and compared the fair value of each of reporting unit to its carrying value as of this date. Fair value exceeded the carrying value for the Detection reporting unit, and the carrying value approximated fair value of the Therapy reporting unit after the impairment as of September 30, 2017. The carrying values of the reporting units were determined based on an allocation of our assets and liabilities through specific allocation of certain assets and liabilities, to the reporting units and an apportionment of the remaining net assets based on the relative size of the reporting units’ revenues and operating expenses compared to the Company as a whole. The determination of reporting units also requires management judgment. The Company determines the fair values for each reporting unit using a weighting of the income approach and the market approach. For purposes of the income approach, fair value is determined based on the present value of estimated future cash flows, discounted at an appropriate risk adjusted rate. The Company uses internal forecasts to estimate future cash flows and includes estimates of long-term future growth rates based on our most recent views of the long-term forecast for each segment. Accordingly, actual results can differ from those assumed in our forecasts. Discount rates are derived from a capital asset pricing model and by analyzing published rates for industries relevant to our reporting units to estimate the cost of equity financing. The Company uses discount rates that are commensurate with the risks and uncertainty inherent in the respective businesses and in our internally developed forecasts. In the market approach, the Company uses a valuation technique in which values are derived based on market prices of publicly traded companies with similar operating characteristics and industries. A market approach allows for comparison to actual market transactions and multiples. It can be somewhat limited in its application because the population of potential comparable publicly-traded companies can be limited due to differing characteristics of the comparative business and ours, as well as market data may not be available for divisions within larger conglomerates or non-public The Company corroborates the total fair values of the reporting units using a market capitalization approach; however, this approach cannot be used to determine the fair value of each reporting unit value. The blend of the income approach and market approach is more closely aligned to the business profile of the Company, including markets served and products available. In addition, required rates of return, along with uncertainties inherent in the forecast of future cash flows, are reflected in the selection of the discount rate. In addition, under the blended approach, reasonably likely scenarios and associated sensitivities can be developed for alternative future states that may not be reflected in an observable market price. The Company will assess each valuation methodology based upon the relevance and availability of the data at the time the valuation is performed and weights the methodologies appropriately. A rollforward of goodwill activity by reportable segment is as follows (in thousands): Detection Therapy Total Balance at December 31, 2017 $ 8,362 $ — $ 8,362 Balance at June 30, 2018 $ 8,362 $ — $ 8,362 Accumulated Goodwill $ 699 $ 6,270 $ 54,906 Fair value allocation 7,663 13,446 — Accumulated impairment — (19,716 ) (46,544 ) Balance at June 30, 2018 $ 8,362 $ — $ 8,362 |
Long-lived assets
Long-lived assets | 6 Months Ended |
Jun. 30, 2018 | |
Property, Plant and Equipment [Abstract] | |
Long-lived assets | Note 12—Long-lived assets In accordance with FASB ASC Topic 360, “Property, Plant and Equipment”, (“ASC 360”), the Company assesses long-lived assets for impairment if events and circumstances indicate it is more likely than not that the fair value of the asset group is less than the carrying value of the asset group. ASC 360-10-35 360-10-35-21, • A significant decrease in the market price of a long-lived asset (asset group); • A significant adverse change in the extent or manner in which a long-lived asset (asset group) is being used or in its physical condition; • A significant adverse change in legal factors or in the business climate that could affect the value of a long-lived asset (asset group), including an adverse action or assessment by a regulator; • An accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of a long-lived asset (asset group); • A current period operating or cash flow loss combined with a history of operating or cash flow losses or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset (asset group). In accordance with ASC 360-10-35-17, The Company completed an interim goodwill impairment assessment for the Therapy reporting unit in the third quarter of 2017 and noted that there was an impairment of goodwill. As a result, the Company determined this was a triggering event to review long-lived assets for impairment. Accordingly, the Company completed an analysis pursuant to ASC 360-10-35-17 The Company also completed a goodwill assessment for the fourth quarter of 2017, and in connection with that assessment, the Company completed an analysis pursuant to ASC 360-10-35-17 A considerable amount of judgment and assumptions are required in performing the impairment tests, principally in determining the fair value of the asset group and the reporting unit. While the Company believes the judgments and assumptions are reasonable, different assumptions could change the estimated fair values and, therefore additional impairment charges could be required. Significant negative industry or economic trends, disruptions to the Company’s business, loss of significant customers, inability to effectively integrate acquired businesses, unexpected significant changes or planned changes in use of the assets may adversely impact the assumptions used in the fair value estimates and ultimately result in future impairment charges. |
Segment Reporting
Segment Reporting | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting | Note 13—Segment Reporting In accordance with FASB Topic ASC 280, “ Segments The Company’s CODM is the CEO. Each segment generates revenue from the sale of medical equipment and related services and/or sale of supplies. The Company has determined there are two segments, Cancer Detection and Cancer Therapy. The Detection segment consists of our advanced image analysis and workflow products, and the Therapy segment consists of our radiation therapy Axxent products, and related services. The primary factors used by our CODM to allocate resources are based on revenues, gross profit, operating income, and earnings or loss before interest, taxes, depreciation, amortization, and other specific and non-recurring Our CODM does not use asset information by segment to allocate resources or make operating decisions. Segment revenues, gross profit, segment operating income or loss, and a reconciliation of segment operating income or loss to GAAP loss before income tax is as follows (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Segment revenues: Detection $ 3,990 $ 4,231 $ 8,001 $ 8,720 Therapy 2,172 2,178 4,474 4,480 Total Revenue $ 6,162 $ 6,409 $ 12,475 $ 13,200 Segment gross profit: Detection $ 3,456 $ 3,730 $ 6,985 $ 7,731 Therapy 1,328 773 2,297 1,461 Segment gross profit $ 4,784 $ 4,503 $ 9,282 $ 9,192 Segment operating income (loss): Detection $ 1,019 $ 1,284 $ 1,006 $ 2,786 Therapy (360 ) (1,793 ) (1,426 ) (4,176 ) Segment operating income (loss) $ 659 $ (509 ) $ (420 ) $ (1,390 ) General, administrative, depreciation and amortization expense $ (1,598 ) $ (2,115 ) $ (3,667 ) $ (4,177 ) Interest expense (113 ) (10 ) (255 ) (15 ) Gain on sale of MRI assets — — — 2,508 Other income 29 — 51 — Loss before income tax $ (1,023 ) $ (2,634 ) $ (4,291 ) $ (3,074 ) |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2018 | |
Text Block [Abstract] | |
Recent Accounting Pronouncements | Note 14—Recent Accounting Pronouncements ASU 2014-09, On January 1, 2018, the Company adopted the new accounting standard ASC 606, “Revenue from Contracts with Customers” and all the related amendments (Topic 606) using the modified retrospective method for all contracts not completed as of the date of adoption. For contracts that were modified before the effective date, the Company reflected the aggregate effect of all modifications when identifying performance obligations and allocating transaction price in accordance with practical expedient ASC 606-10-65-1-(f)-4, ASU 2016-02, In February 2016, the FASB issued ASU No. 2016-02, right-of-use off-balance |
Basis of Presentation and Sig20
Basis of Presentation and Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Revenue Recognition | Revenue Recognition Adoption of ASC Topic 606, “Revenue from Contracts with Customers” On January 1, 2018, the Company adopted the new accounting standard ASC 606, “Revenue from Contracts with Customers” and all the related amendments (Topic 606) using the modified retrospective method for all contracts not completed as of the date of adoption. For contracts that were modified before the effective date, the Company reflected the aggregate effect of all modifications when identifying performance obligations and allocating transaction price in accordance with practical expedient ASC 606-10-65-1-(f)-4, A significant portion of the Company’s revenue continues to be recognized when products are shipped from manufacturing or warehousing facilities. Revenue generated from fixed fee service contracts and source agreements continues to be recognized on a straight-line basis over the term of the agreement. Revenue generated from professional service contracts entered into with customers on a time and material basis is recognized over the term of the agreement in proportion to the costs incurred in satisfying the obligations under the contract. Components of certain fixed fee service contracts are accounted for as a lease and therefore are outside the scope of Topic 606. See Note 1 for further details. We recorded a net increase to opening retained earnings of $0.1 million as of January 1, 2018 due to the cumulative impact of adopting Topic 606, with the impact primarily related to the deferral of commissions on our long-term service arrangements and warranty periods greater than one year, which previously were expensed as incurred but under the amendments to ASC 340-40 The cumulative effect of the changes made to the Company’s consolidated balance sheet for the adoption of Topic 606 were as follows (in thousands): Selected Balance Sheet Balance at Adjustments 2014-09 Balance at Assets Prepaid expenses and other current assets $ 1,100 $ 147 $ 1,247 Liabilities Deferred revenue — 409 409 Contract liabilities 5,910 (370 ) 5,540 Stockholders’ equity Accumulated deficit (201,865 ) 108 (201,973 ) In accordance with the requirements of the new standard, the disclosure of the impact of the adoption on our consolidated balance sheet and statement of operations was as follows (in thousands): As of June 30, 2018 Selected Balance Sheet As Reported Balances Effect of Assets Prepaid expenses and other current assets $ 1,126 $ 888 $ (238 ) Liabilities Accrued expenses 3,312 3,312 — Deferred revenue 364 364 — Contract liabilities 6,477 6,473 (4 ) Deferred tax 2 2 — Stockholders’ equity Accumulated deficit (206,065 ) (206,307 ) (242 ) The impact to revenues as a result of applying Topic 606 for the three and six months ended June 30, 2018 was a decrease of $13,000 and $4,000, respectively (in thousands). Three months ended June 30, 2018 Six months ended June 30, 2018 Selected Statement of Operations As Balances without Effect of Change As Balances without Effect of Change Revenue Products $ 3,194 $ 3,154 $ (40 ) $ 6,208 $ 6,157 $ 51 Service and supplies 2,968 2,995 27 6,267 6,322 (55 ) Cost of revenue Products 537 537 — 995 995 — Service and supplies 739 739 — 1,991 1,991 — Operating expenses Marketing and sales 2,006 2,082 (76 ) 4,172 4,410 (238 ) Interest expense (113 ) (113 ) — (255 ) (255 ) — Other income 29 29 — 51 51 — Tax benefit (expense) (4 ) (4 ) — (17 ) (17 ) — Net loss (1,027 ) (1,090 ) (63 ) (4,308 ) (4,542 ) (234 ) Revenue Recognition In accordance with ASC 606, revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services, and excludes any sales incentives or taxes collected from customer which are subsequently remitted to government authorities. To achieve this core principle, the Company applies the following five steps: 1) Identify the contract(s) with a customer 2) Identify the performance obligations in the contract 3) Determine the transaction price 4) Allocate the transaction price to the performance obligations in the contract 5) Recognize revenue when (or as) the Company satisfies a performance obligation The Company recognizes revenue from its contracts with customers primarily from the sale of products and from the sale of services and supplies. Revenue is recognized when control of the promised goods or services is transferred to a customer, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. For product revenue, control has transferred upon shipment provided title and risk of loss have passed to the customer. Services and supplies are considered to be transferred as the services are performed or over the term of the service or supply agreement. The Company enters into contracts that can include various combinations of products and services, which are generally capable of being distinct and accounted for as separate performance obligations. The Company’s hardware is generally highly dependent on, and interrelated with, the underlying software and the software is considered essential to the functionality of the product. In these cases, the hardware and software license are accounted for as a single performance obligation and revenue is recognized at the point in time when ownership is transferred to the customer. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer, are excluded from revenue. Shipping and handling costs associated with outbound freight after control of a product has transferred to a customer are accounted for as fulfillment costs and are included in cost of revenue. Disaggregation of Revenue The following tables presents our revenues disaggregated by major good or service line, timing of revenue recognition, and sales channel, reconciled to our reportable segments (in thousands). Three months ended June 30, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,486 $ 1,176 $ 3,662 Service contracts 1,310 347 1,657 Supply and source usage agreements — 558 558 Professional services — 50 50 Other 55 41 96 $ 3,851 $ 2,172 $ 6,023 Timing of Revenue Recognition Goods transferred at a point in time $ 2,486 $ 1,199 $ 3,685 Services transferred over time 1,365 973 2,338 $ 3,851 $ 2,172 $ 6,023 Sales Channels Direct sales force $ 2,114 $ 1,917 $ 4,031 OEM partners 1,737 — 1,737 Channel partners — 255 255 $ 3,851 $ 2,172 $ 6,023 Total Revenue Revenue from contracts with customers $ 3,851 $ 2,172 $ 6,023 Revenue from lease components 139 — 139 $ 3,990 $ 2,172 $ 6,162 Six months ended June 30, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 4,975 $ 2,244 $ 7,219 Service contracts 2,637 709 3,346 Supply and source usage agreements — 1,087 1,087 Professional services — 194 194 Other 109 240 349 $ 7,721 $ 4,474 $ 12,195 Timing of Revenue Recognition Goods transferred at a point in time $ 4,975 $ 2,470 $ 7,445 Services transferred over time 2,746 2,004 4,750 $ 7,721 $ 4,474 $ 12,195 Sales Channels Direct sales force $ 3,840 $ 3,958 $ 7,798 OEM partners 3,881 — 3,881 Channel partners — 516 516 $ 7,721 $ 4,474 $ 12,195 Total Revenue Revenue from contracts with customers $ 7,721 $ 4,474 $ 12,195 Revenue from lease components 280 — 280 $ 8,001 $ 4,474 $ 12,475 Three months ended June 30, 2017(1) Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,545 $ 845 $ 3,390 Service contracts 1,463 388 1,851 Supply and source usage agreements — 478 478 Professional services — 15 15 Other 75 452 527 $ 4,083 $ 2,178 $ 6,261 Timing of Revenue Recognition Goods transferred at a point in time 2,545 1,008 $ 3,553 Services transferred over time 1,538 1,170 2,708 $ 4,083 $ 2,178 $ 6,261 Sales Channels Direct sales force $ 1,974 $ 2,029 $ 4,003 OEM partners 2,109 — 2,109 Channel partners — 149 149 $ 4,083 $ 2,178 $ 6,261 Total Revenue Revenue from contracts with customers $ 4,083 $ 2,178 $ 6,261 Revenue from lease components 148 — 148 $ 4,231 $ 2,178 $ 6,409 (1) As noted above, prior period amounts have not been adjusted under the modified retrospective method. Six months ended June 30, 2017(1) Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 5,212 $ 2,001 $ 7,213 Service contracts 2,939 804 3,743 Supply and source usage agreements — 947 947 Professional services — 68 68 Other 274 660 934 $ 8,425 $ 4,480 $ 12,905 Timing of Revenue Recognition Goods transferred at a point in time 5,212 2,151 $ 7,363 Services transferred over time 3,213 2,329 5,542 $ 8,425 $ 4,480 $ 12,905 Sales Channels Direct sales force $ 4,111 $ 4,170 $ 8,281 OEM partners 4,314 — 4,314 Channel partners — 310 310 $ 8,425 $ 4,480 $ 12,905 Total Revenue Revenue from contracts with customers $ 8,425 $ 4,480 $ 12,905 Revenue from lease components 295 — 295 $ 8,720 $ 4,480 $ 13,200 (1) As noted above, prior period amounts have not been adjusted under the modified retrospective method. Products. Service Contracts. non-lease Supply and Source Usage Agreements. Professional Services. Other. Significant Judgments The Company’s contracts with customers may include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. For arrangements with multiple performance obligations, the Company allocates revenue to each performance obligation based on its relative standalone selling price. Judgment is required to determine the standalone selling price for each distinct performance obligation. The Company generally determines standalone selling prices based on the prices charged to customers and uses a range of amounts to estimate standalone selling prices when we sell each of the products and services separately and need to determine whether there is a discount that needs to be allocated based on the relative standalone selling prices of the various products and services. The Company typically has more than one range of standalone selling prices for individual products and services due to the stratification of those products and services by customers and circumstances. In these instances, the Company may use information such as the type of customer and geographic region in determining the range of standalone selling prices. The Company may provide credits or incentives to customers, which are accounted for as variable consideration when estimating the transaction price of the contract and amounts of revenue to recognize. The amount of variable consideration to include in the transaction price is estimated at contract inception using either the estimated value method or the most likely amount method based on the nature of the variable consideration. These estimates are updated at the end of each reporting period as additional information becomes available and revenue is recognized only to the extent that it is probable that a significant reversal of any amounts of variable consideration included in the transaction price will not occur. The Company provides for estimated warranty costs on original product warranties at the time of sale. Contract Balances Contract liabilities are a component of deferred revenue, and Contract assets are a component of Prepaid and other current assets. The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers (in thousands). Contract balances Balance at Receivables, which are included in ‘Trade accounts receivable’ $ 6,200 Contract assets, which are included in “Prepaid and other current assets” 2 Contract liabilities, which are included in “Deferred revenue” 6,477 Timing of revenue recognition may differ from timing of invoicing to customers. The Company records a receivable when revenue is recognized prior to receipt of cash payments and the Company has the unconditional right to such consideration, or unearned revenue when cash payments are received or due in advance of performance. For multi-year agreements, the Company generally invoices customers annually at the beginning of each annual service period. The opening balance of accounts receivable from contracts with customers, net of allowance for doubtful accounts, was $8.5 million as of January 1, 2018. As of June 30, 2018, accounts receivable, net of allowance for doubtful accounts, was $6.2 million. The Company will record a contract asset for unbilled revenue when the Company’s performance is in excess of amounts billed or billable. The Company has classified the contract asset balance as a component of prepaid expenses and other current assets as of January 1, 2018 and June 30, 2018. The opening balance of contract assets was $166,000 as of January 1, 2018. As of June 30, 2018, the contract asset balance was $2,000. Deferred revenue from contracts with customers is primarily composed of fees related to long-term service arrangements, which are generally billed in advance. Deferred revenue also includes payments for installation and training that has not yet been completed and other offerings for which we have been paid in advance and earn the revenue when we transfer control of the product or service. Deferred revenue from contracts with customers is included in deferred revenue in the consolidated balance sheets. Deferred revenue on the consolidated balance sheet also includes $369,000 and $364,000 at December 31, 2017 and June 30, 2018, respectively, of amounts associated with service contracts accounted for under Topic 840. The balance of deferred revenue at December 31, 2017 and June 30, 2018 is as follows (in thousands): December 31, 2017 Contract Lease revenue Total Short term $ 5,044 $ 360 $ 5,404 Long term 497 9 506 Total $ 5,541 $ 369 $ 5,910 June 30, 2018 Contract Lease revenue Total Short term $ 5,795 $ 345 $ 6,140 Long term 682 19 701 Total $ 6,477 $ 364 $ 6,841 Changes in deferred revenue from contracts with customers were as follows (in thousands): Six Months Ended Balance at beginning of period $ 5,541 Adoption adjustment 39 Deferral of revenue 5,717 Recognition of deferred revenue (4,820 ) Balance at end of period $ 6,477 We expect to recognize approximately $4.5 million of the deferred amount in 2018, $1.6 million in 2019, and $0.4 million thereafter. Assets Recognized from the Costs to Obtain a Contract with a Customer We recognize an asset for the incremental costs of obtaining a contract with a customer if we expect the benefit of those costs to be longer than one year. We have determined that certain commissions programs meet the requirements to be capitalized. The opening balance of capitalized costs to obtain a contract was $117,000 as of January 1, 2018. As of June 30, 2018, the balance of capitalized costs to obtain a contract was $238,000. The Company has classified the capitalized costs to obtain a contract as a component of prepaid expenses and other current assets as of January 1, 2018 and June 30, 2018. Changes in the balance of capitalized costs to obtain a contract were as follows (in thousands): Six Months Ended Balance at beginning of period $ 117 Deferral of costs to obtain a contract 233 Recognition of costs to obtain a contract (112 ) Balance at end of period $ 238 Practical Expedients and Exemptions The Company has elected to make the following accounting policy elections through the adoption of the following practical expedients: Right to Invoice Where applicable, the Company will recognize revenue from a contract with a customer in an amount that corresponds directly with the value to the customer of the Company’s performance completed to date and the amount to which the entity has a right to invoice. Sales and Other Similar Taxes The Company will exclude sales taxes and similar taxes from the measurement of transaction price and will ensure that it complies with the disclosure requirements of ASC 235-10-50-1 50-6. Significant Financing Component The Company will not adjust the promised amount of consideration for the effects of a significant financing component if the Company expects, at contract inception, that the period between when the entity transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. Cost to Obtain a Contract The Company will recognize the incremental costs of obtaining a contract as an expense when incurred if the amortization period of the asset that the Company otherwise would have recognized is one year or less and there are no renewal periods on which the Company does not pay commissions that are not commensurate with those originally paid. Promised Goods or Services that are Immaterial in the Context of a Contract The Company has elected to assess promised goods or services as performance obligations that are deemed to be immaterial in the context of a contract. As such, the Company will not aggregate and assess immaterial items at the entity level. That is, when determining whether a good or service is immaterial in the context of a contract, the assessment will be made based on the application of ASC 606 at the contract level. The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which we recognize revenue at the amount to which we have the right to invoice for services performed. |
Cost of Revenue | Cost of Revenue Cost of revenue consists of the costs of products purchased for resale, costs relating to service including personnel costs for physicists, management services and radiation therapists, costs of service contracts to maintain equipment after the warranty period, product installation, training, customer support, certain warranty repair costs, inbound freight and duty, cost of supplies, manufacturing, warehousing, material movement, inspection, scrap, rework, amortization, depreciation and in-house |
Compensation - Stock Compensation | The Company follows the guidance in ASC Topic 718, “ Compensation – Stock Compensation , |
Litigation | Litigation The Company is a party to various legal proceedings and claims arising out of the ordinary course of its business. Although the final results of all such matters and claims cannot be predicted with certainty, the Company currently believes that there are no current proceedings or claims pending against it the ultimate resolution of which would have a material adverse effect on its financial condition or results of operations. However, should the Company fail to prevail in any legal matter or should several legal matters be resolved against the Company in the same reporting period, such matters could have a material adverse effect on our operating results and cash flows for that particular period. In all cases, at each reporting period, the Company evaluates whether or not a potential loss amount or a potential range of loss is probable and reasonably estimable under ASC 450, Contingencies. Legal costs are expensed as incurred. |
Fair Value Measurements | Fair Value Measurements The Company follows the provisions of ASC Topic 820, “ Fair Value Measurement and Disclosures • Level 1—Quoted prices in active markets for identical assets or liabilities. • Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Our financial instruments include cash and cash equivalents, accounts receivable, accounts payable certain accrued liabilities and debt. The carrying amounts of our cash and cash equivalents (which are composed primarily of deposit and overnight sweep accounts), accounts receivable, accounts payable and certain accrued liabilities approximate fair value due to the short maturity of these instruments. The carrying value of our term loan approximates fair value due to the market rate of the stated interest rate. The Company’s assets that are measured at fair value on a recurring basis relate to the Company’s money market accounts. The Company’s money market funds are included in cash and cash equivalents in the accompanying balance sheets and are considered a Level 1 investment as they are valued at quoted market prices in active markets. The following table sets forth the Company’s assets and liabilities which are measured at fair value on a recurring basis by level within the fair value hierarchy. Fair value measurements using: (000’s) as of December 31, 2017 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 8,853 $ — $ — $ 8,853 Total Assets $ 8,853 $ — $ — $ 8,853 Fair value measurements using: (000’s) as of June 30, 2018 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 7,381 $ — $ — $ 7,381 Total Assets $ 7,381 $ — $ — $ 7,381 |
Income Taxes | Income Taxes The Company recorded an income tax provision of $4,000 and $17,000 for the three and six months ended June 30, 2018 and 2017, respectively. At June 30, 2018, the Company had no material unrecognized tax benefits and a deferred tax liability of approximately $2,000 related to tax amortizable goodwill. The Company recorded a decrease in the deferred tax liability of approximately $4,000 through June 30, 2018. For the three and six months ended June 30, 2017, the Company recorded an income tax benefit of $3,000 and a provision of $14,000, respectively. The tax benefit for the quarter ended June 30, 2017 was the result of receiving research and development credits in New Hampshire. No other adjustments were required under ASC 740, “Income Taxes”. The Company does not expect that the unrecognized tax benefits will materially increase within the next 12 months. The Company did not recognize any interest or penalties related to uncertain tax positions at June 30, 2018. The Company’s estimate of the Tax Cut and Jobs Act (“TCJA”) and the remeasurement of our deferred tax assets and liabilities is subject to the finalization of the Company’s analysis related to certain matters, such as developing interpretations of the provisions of the TCJA, changes to certain estimates and the filing of the Company’s tax returns. U.S. Treasury regulations, administrative interpretations or court decisions interpreting the TCJA may require further adjustments and changes in the Company’s estimates. The final determination of the TCJA and the re-measurement The Company files United States federal income tax returns and income tax returns in various states and local jurisdictions. The Company’s three preceding tax years remain subject to examination by federal and state taxing authorities. In addition, because the Company has net operating loss carry-forwards, the Internal Revenue Service and state jurisdictions are permitted to audit earlier years and propose adjustments up to the amount of net operating loss generated in those years. The Company is not currently under examination by any federal or state jurisdiction for any tax years. |
Intangibles - Goodwill and Other | In accordance with FASB Accounting Standards Codification (“ASC”) Topic 350-20, “Intangibles—Goodwill and Other” 350-20”), |
Long-lived assets | In accordance with ASC 360-10-35-17, The Company completed an interim goodwill impairment assessment for the Therapy reporting unit in the third quarter of 2017 and noted that there was an impairment of goodwill. As a result, the Company determined this was a triggering event to review long-lived assets for impairment. Accordingly, the Company completed an analysis pursuant to ASC 360-10-35-17 The Company also completed a goodwill assessment for the fourth quarter of 2017, and in connection with that assessment, the Company completed an analysis pursuant to ASC 360-10-35-17 A considerable amount of judgment and assumptions are required in performing the impairment tests, principally in determining the fair value of the asset group and the reporting unit. While the Company believes the judgments and assumptions are reasonable, different assumptions could change the estimated fair values and, therefore additional impairment charges could be required. Significant negative industry or economic trends, disruptions to the Company’s business, loss of significant customers, inability to effectively integrate acquired businesses, unexpected significant changes or planned changes in use of the assets may adversely impact the assumptions used in the fair value estimates and ultimately result in future impairment charges. |
Segment Reporting | In accordance with FASB Topic ASC 280, “ Segments |
Recent Accounting Pronouncements | Recent Accounting Pronouncements ASU 2014-09, On January 1, 2018, the Company adopted the new accounting standard ASC 606, “Revenue from Contracts with Customers” and all the related amendments (Topic 606) using the modified retrospective method for all contracts not completed as of the date of adoption. For contracts that were modified before the effective date, the Company reflected the aggregate effect of all modifications when identifying performance obligations and allocating transaction price in accordance with practical expedient ASC 606-10-65-1-(f)-4, ASU 2016-02, In February 2016, the FASB issued ASU No. 2016-02, right-of-use off-balance |
Basis of Presentation and Sig21
Basis of Presentation and Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Revenues Disaggregated by Major Good or Service Line, Timing of Revenue Recognition, and Sales Channel, Reconciled to Our Reportable Segments | The following tables presents our revenues disaggregated by major good or service line, timing of revenue recognition, and sales channel, reconciled to our reportable segments (in thousands). Three months ended June 30, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,486 $ 1,176 $ 3,662 Service contracts 1,310 347 1,657 Supply and source usage agreements — 558 558 Professional services — 50 50 Other 55 41 96 $ 3,851 $ 2,172 $ 6,023 Timing of Revenue Recognition Goods transferred at a point in time $ 2,486 $ 1,199 $ 3,685 Services transferred over time 1,365 973 2,338 $ 3,851 $ 2,172 $ 6,023 Sales Channels Direct sales force $ 2,114 $ 1,917 $ 4,031 OEM partners 1,737 — 1,737 Channel partners — 255 255 $ 3,851 $ 2,172 $ 6,023 Total Revenue Revenue from contracts with customers $ 3,851 $ 2,172 $ 6,023 Revenue from lease components 139 — 139 $ 3,990 $ 2,172 $ 6,162 Six months ended June 30, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 4,975 $ 2,244 $ 7,219 Service contracts 2,637 709 3,346 Supply and source usage agreements — 1,087 1,087 Professional services — 194 194 Other 109 240 349 $ 7,721 $ 4,474 $ 12,195 Timing of Revenue Recognition Goods transferred at a point in time $ 4,975 $ 2,470 $ 7,445 Services transferred over time 2,746 2,004 4,750 $ 7,721 $ 4,474 $ 12,195 Sales Channels Direct sales force $ 3,840 $ 3,958 $ 7,798 OEM partners 3,881 — 3,881 Channel partners — 516 516 $ 7,721 $ 4,474 $ 12,195 Total Revenue Revenue from contracts with customers $ 7,721 $ 4,474 $ 12,195 Revenue from lease components 280 — 280 $ 8,001 $ 4,474 $ 12,475 Three months ended June 30, 2017(1) Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,545 $ 845 $ 3,390 Service contracts 1,463 388 1,851 Supply and source usage agreements — 478 478 Professional services — 15 15 Other 75 452 527 $ 4,083 $ 2,178 $ 6,261 Timing of Revenue Recognition Goods transferred at a point in time 2,545 1,008 $ 3,553 Services transferred over time 1,538 1,170 2,708 $ 4,083 $ 2,178 $ 6,261 Sales Channels Direct sales force $ 1,974 $ 2,029 $ 4,003 OEM partners 2,109 — 2,109 Channel partners — 149 149 $ 4,083 $ 2,178 $ 6,261 Total Revenue Revenue from contracts with customers $ 4,083 $ 2,178 $ 6,261 Revenue from lease components 148 — 148 $ 4,231 $ 2,178 $ 6,409 (1) As noted above, prior period amounts have not been adjusted under the modified retrospective method. Six months ended June 30, 2017(1) Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 5,212 $ 2,001 $ 7,213 Service contracts 2,939 804 3,743 Supply and source usage agreements — 947 947 Professional services — 68 68 Other 274 660 934 $ 8,425 $ 4,480 $ 12,905 Timing of Revenue Recognition Goods transferred at a point in time 5,212 2,151 $ 7,363 Services transferred over time 3,213 2,329 5,542 $ 8,425 $ 4,480 $ 12,905 Sales Channels Direct sales force $ 4,111 $ 4,170 $ 8,281 OEM partners 4,314 — 4,314 Channel partners — 310 310 $ 8,425 $ 4,480 $ 12,905 Total Revenue Revenue from contracts with customers $ 8,425 $ 4,480 $ 12,905 Revenue from lease components 295 — 295 $ 8,720 $ 4,480 $ 13,200 (1) As noted above, prior period amounts have not been adjusted under the modified retrospective method. |
Summary of Receivables, Contract Assets and Contract Liabilities from Contracts with Customers | The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers (in thousands). Contract balances Balance at Receivables, which are included in ‘Trade accounts receivable’ $ 6,200 Contract assets, which are included in “Prepaid and other current assets” 2 Contract liabilities, which are included in “Deferred revenue” 6,477 |
Summary of Changes in Deferred Revenue | Changes in deferred revenue from contracts with customers were as follows (in thousands): Six Months Ended Balance at beginning of period $ 5,541 Adoption adjustment 39 Deferral of revenue 5,717 Recognition of deferred revenue (4,820 ) Balance at end of period $ 6,477 |
Schedule of Changes of Capitalized Costs to Obtain Contract | Changes in the balance of capitalized costs to obtain a contract were as follows (in thousands): Six Months Ended Balance at beginning of period $ 117 Deferral of costs to obtain a contract 233 Recognition of costs to obtain a contract (112 ) Balance at end of period $ 238 |
Accounting Standards Update 2014-09 [Member] | |
Summary of Cumulative Effect of The Changes | The cumulative effect of the changes made to the Company’s consolidated balance sheet for the adoption of Topic 606 were as follows (in thousands): Selected Balance Sheet Balance at Adjustments 2014-09 Balance at Assets Prepaid expenses and other current assets $ 1,100 $ 147 $ 1,247 Liabilities Deferred revenue — 409 409 Contract liabilities 5,910 (370 ) 5,540 Stockholders’ equity Accumulated deficit (201,865 ) 108 (201,973 ) |
Summary of Impact of The Adoption On Our Consolidated Balance Sheet and Statement of Operations | In accordance with the requirements of the new standard, the disclosure of the impact of the adoption on our consolidated balance sheet and statement of operations was as follows (in thousands): As of June 30, 2018 Selected Balance Sheet As Reported Balances Effect of Assets Prepaid expenses and other current assets $ 1,126 $ 888 $ (238 ) Liabilities Accrued expenses 3,312 3,312 — Deferred revenue 364 364 — Contract liabilities 6,477 6,473 (4 ) Deferred tax 2 2 — Stockholders’ equity Accumulated deficit (206,065 ) (206,307 ) (242 ) Three months ended June 30, 2018 Six months ended June 30, 2018 Selected Statement of Operations As Balances without Effect of Change As Balances without Effect of Change Revenue Products $ 3,194 $ 3,154 $ (40 ) $ 6,208 $ 6,157 $ 51 Service and supplies 2,968 2,995 27 6,267 6,322 (55 ) Cost of revenue Products 537 537 — 995 995 — Service and supplies 739 739 — 1,991 1,991 — Operating expenses Marketing and sales 2,006 2,082 (76 ) 4,172 4,410 (238 ) Interest expense (113 ) (113 ) — (255 ) (255 ) — Other income 29 29 — 51 51 — Tax benefit (expense) (4 ) (4 ) — (17 ) (17 ) — Net loss (1,027 ) (1,090 ) (63 ) (4,308 ) (4,542 ) (234 ) |
Accounting Standards Update 2016-02 [Member] | |
Summary of Changes in Deferred Revenue | The balance of deferred revenue at December 31, 2017 and June 30, 2018 is as follows (in thousands): December 31, 2017 Contract Lease revenue Total Short term $ 5,044 $ 360 $ 5,404 Long term 497 9 506 Total $ 5,541 $ 369 $ 5,910 June 30, 2018 Contract Lease revenue Total Short term $ 5,795 $ 345 $ 6,140 Long term 682 19 701 Total $ 6,477 $ 364 $ 6,841 |
Loss per Common Share (Tables)
Loss per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Calculation of Net Loss Per Share | A summary of the Company’s calculation of net loss per share is as follows (in thousands except per share amounts): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Net loss $ (1,027 ) $ (2,631 ) $ (4,308 ) $ (3,088 ) Shares used in the calculation of basic and diluted net loss per share 16,664 16,310 16,624 16,223 Effect of dilutive securities: Stock options — — — — Restricted stock — — — — Diluted shares used in the calculation of net loss per share 16,664 16,310 16,624 16,223 Net loss per share—basic and diluted $ (0.06 ) $ (0.16 ) $ (0.26 ) $ (0.19 ) |
Schedule of Anti-dilutive Shares Excluded from Computation of Diluted Net Loss Per Share | The shares of the Company’s common stock issuable upon the exercise of stock options and vesting of restricted stock that were excluded from the calculation of diluted net loss per share because their effect would have been antidilutive are as follows: Period Ended June 30, 2018 2017 Stock options 1,394,275 1,419,540 Restricted stock 574,213 384,323 Stock options and restricted stock 1,968,488 1,803,863 |
Sale of MRI Assets (Tables)
Sale of MRI Assets (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of Net Assets Sold | The value of the net assets sold is as follows (in thousands): Assets Accounts Receivable $ 116 Intangible assets 810 Allocated Goodwill 394 Total Assets $ 1,320 Liabilities Deferred Revenue $ 746 Total Liabilities $ 746 Net Assets Sold $ 574 |
Schedule of Components of Gain on Sale | The components of the gain on the sale are as follows (in thousands): Gain on Sale Cash received $ 2,850 Holdback reserve 350 Fair value of transition services (118 ) Net Assets sold (574 ) Total $ 2,508 |
Inventory (Tables)
Inventory (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of Current Inventory | Inventories consisted of the following (in thousands), which includes an inventory reserve of approximately $1.2 million as of June 30, 2018 and December 31, 2017. as of June 30, as of December 31, Raw materials $ 873 $ 992 Work in process 97 63 Finished Goods 1,131 1,068 Inventory $ 2,101 $ 2,123 |
Debt Financing (Tables)
Debt Financing (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Carrying Value of Term Loan Net of Debt Issuance Costs | The carrying value of the Term Loan (net of debt issuance costs) as of June 30, 2018 and December 31, 2017 is as follows (in thousands): June 30, 2018 December 31, 2017 Principal Amount of Term Loan $ 6,000 $ 6,000 Unamortized closing costs (60 ) (64 ) Accrued Final Payment 98 — Carrying amount of Term Loan 6,038 5,936 Less current portion of Term Loan (652 ) (817 ) Notes payable long-term portion $ 5,386 $ 5,119 |
Summary of Principal and Interest Payments | Principal and interest payments are as follows (in thousands): Fiscal Year Amount 2018 $ 150 2019 2,452 2020 2,534 2021 1,933 Total $ 7,069 |
Interest Expense in Consolidated Income Statement | The following amounts are included in interest expense in our consolidated statement of operations for the three and six months ended June 30, 2018 and 2017 (in thousands): Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 June 30, 2018 June 30, 2017 Cash interest expense $ 73 $ — $ 141 $ — Final Payment accrual 32 — 98 — Amortization of debt costs 7 — 14 — Amortization of settlement obligations — 12 — 26 Interest expense capital lease 1 — 2 — Capital lease—fair value amortization — (2 ) — (11 ) Total interest expense $ 113 $ 10 $ 255 $ 15 |
Lease Commitments (Tables)
Lease Commitments (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future Minimum Lease Payments under Operating Leases | Future minimum lease payments as of June 30, 2018 under operating leases are as follows: (in thousands) Fiscal Year Operating 2018 $ 384 2019 755 2020 174 Total $ 1,313 |
Future Minimum Lease Payments under Non-cancelable Capital Leases | Minimum lease payments are as follows (in thousands): Fiscal Year Capital 2018 $ 8 2019 16 2020 13 subtotal minimum lease obligation 37 less interest (5 ) Total, net 32 less current portion (14 ) long term portion $ 18 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Options Granted under Company's Stock Incentive Plans, Valuation Assumptions and Fair Values | Options granted under the Company’s stock incentive plans were valued utilizing the Black-Scholes model using the following assumptions and had the following fair values: Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Average risk-free interest rate 2.62 % 1.50 % 2.50 % 1.49 % Expected dividend yield None None None None Expected life 3.5 years 3.5 years 3.5 years 3.5 years Expected volatility 61.6 % 64.9% to 67.0 % 60.8% to 61.6 % 64.9% to 72.0 % Weighted average exercise price $ 3.08 $ 4.21 $ 3.08 $ 4.46 Weighted average fair value $ 1.42 $ 1.98 $ 1.41 $ 2.19 |
Stock-Based Compensation Expense Including Options and Restricted Stock by Category | The Company’s stock-based compensation expense, including options and restricted stock by category is as follows (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Cost of revenue $ 1 $ 2 2 $ 4 Engineering and product development 100 352 197 557 Marketing and sales 57 499 57 722 General and administrative 224 748 517 1,287 $ 382 $ 1,601 $ 773 $ 2,570 |
Unrecognized Compensation Cost Related to Unexercisable Options and Unvested Restricted Stock and Weighted Average Remaining Period | As of June 30, 2018, unrecognized compensation cost (in thousands) related to unexercisable options and unvested restricted stock and the weighted average remaining period is as follows: Remaining expense $ 1,638 Weighted average term 1.1 |
Aggregate Intrinsic Value | The Company’s aggregate intrinsic value for stock options and restricted stock outstanding is as follows (in thousands): Period Ended June 30, Aggregate intrinsic value 2018 2017 Stock options $ 261 $ 966 Restricted stock 1,789 1,610 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities which are Measured at Fair Value on a Recurring Basis | The following table sets forth the Company’s assets and liabilities which are measured at fair value on a recurring basis by level within the fair value hierarchy. Fair value measurements using: (000’s) as of December 31, 2017 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 8,853 $ — $ — $ 8,853 Total Assets $ 8,853 $ — $ — $ 8,853 Fair value measurements using: (000’s) as of June 30, 2018 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 7,381 $ — $ — $ 7,381 Total Assets $ 7,381 $ — $ — $ 7,381 |
Goodwill (Tables)
Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Roll Forward of Goodwill Activity by Reportable Segment | A rollforward of goodwill activity by reportable segment is as follows (in thousands): Detection Therapy Total Balance at December 31, 2017 $ 8,362 $ — $ 8,362 Balance at June 30, 2018 $ 8,362 $ — $ 8,362 Accumulated Goodwill $ 699 $ 6,270 $ 54,906 Fair value allocation 7,663 13,446 — Accumulated impairment — (19,716 ) (46,544 ) Balance at June 30, 2018 $ 8,362 $ — $ 8,362 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Segment Reporting [Abstract] | |
Summary of Segment Revenues, Gross Profit, Segment Operating Income or Loss and Reconciliation of Segment Operating Income or Loss to GAAP Loss | Segment revenues, gross profit, segment operating income or loss, and a reconciliation of segment operating income or loss to GAAP loss before income tax is as follows (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2018 2017 2018 2017 Segment revenues: Detection $ 3,990 $ 4,231 $ 8,001 $ 8,720 Therapy 2,172 2,178 4,474 4,480 Total Revenue $ 6,162 $ 6,409 $ 12,475 $ 13,200 Segment gross profit: Detection $ 3,456 $ 3,730 $ 6,985 $ 7,731 Therapy 1,328 773 2,297 1,461 Segment gross profit $ 4,784 $ 4,503 $ 9,282 $ 9,192 Segment operating income (loss): Detection $ 1,019 $ 1,284 $ 1,006 $ 2,786 Therapy (360 ) (1,793 ) (1,426 ) (4,176 ) Segment operating income (loss) $ 659 $ (509 ) $ (420 ) $ (1,390 ) General, administrative, depreciation and amortization expense $ (1,598 ) $ (2,115 ) $ (3,667 ) $ (4,177 ) Interest expense (113 ) (10 ) (255 ) (15 ) Gain on sale of MRI assets — — — 2,508 Other income 29 — 51 — Loss before income tax $ (1,023 ) $ (2,634 ) $ (4,291 ) $ (3,074 ) |
Basis of Presentation and Sig31
Basis of Presentation and Significant Accounting Policies - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2018USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2018USD ($)Segment | Jun. 30, 2017USD ($) | Jan. 01, 2018USD ($) | Dec. 31, 2017USD ($) | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Business segment | Segment | 2 | |||||
Increase to retained earnings | $ (206,065,000) | $ (206,065,000) | $ (201,865,000) | |||
Revenues | 6,162,000 | $ 6,409,000 | 12,475,000 | $ 13,200,000 | ||
Allowance for doubtful accounts, receivable | 6,200,000 | 6,200,000 | $ 8,500,000 | |||
Contract assets | 2,000 | 2,000 | 166,000 | |||
Deferred revenue | 364,000 | 364,000 | 369,000 | |||
Unearned amount to recognize in 2018 | 4,500,000 | 4,500,000 | ||||
Unearned amount to recognize in 2019 | 1,600,000 | 1,600,000 | ||||
Unearned amount to recognize, thereafter | 400,000 | 400,000 | ||||
Capitalized costs to obtain a contract | 238,000 | $ 238,000 | 117,000 | $ 117,000 | ||
Product delivery period to customer | One year or less. | |||||
Accounting Standards Update 2014-09 [Member] | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Increase to retained earnings | (242,000) | $ (242,000) | (201,973,000) | |||
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect Before and After Topic 606 [Member] | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Increase to retained earnings | (206,307,000) | (206,307,000) | $ 108,000 | |||
Revenues | (13,000) | (4,000) | ||||
Deferred revenue | $ 364,000 | $ 364,000 |
Basis of Presentation and Sig32
Basis of Presentation and Significant Accounting Policies - Summary of Cumulative Effect of The Changes (Detail) - USD ($) $ in Thousands | Jun. 30, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Assets | |||
Prepaid expenses and other current assets | $ 1,126 | $ 1,100 | |
Liabilities | |||
Deferred revenue | 6,140 | 5,404 | |
Contract liabilities | 6,477 | 5,910 | |
Stockholders' equity | |||
Accumulated deficit | (206,065) | $ (201,865) | |
Accounting Standards Update 2014-09 [Member] | |||
Assets | |||
Prepaid expenses and other current assets | (238) | $ 1,247 | |
Liabilities | |||
Deferred revenue | 409 | ||
Contract liabilities | (4) | 5,540 | |
Stockholders' equity | |||
Accumulated deficit | (242) | (201,973) | |
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect Before and After Topic 606 [Member] | |||
Assets | |||
Prepaid expenses and other current assets | 888 | 147 | |
Liabilities | |||
Deferred revenue | 409 | ||
Contract liabilities | 6,473 | (370) | |
Stockholders' equity | |||
Accumulated deficit | $ (206,307) | $ 108 |
Basis of Presentation and Sig33
Basis of Presentation and Significant Accounting Policies - Summary of Impact of The Adoption On Our Consolidated Balance Sheet and Statement of Operations (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Jan. 01, 2018 | Dec. 31, 2017 | |
Assets | ||||||
Prepaid expenses and other current assets | $ 1,126,000 | $ 1,126,000 | $ 1,100,000 | |||
Liabilities | ||||||
Accrued expenses | 3,312,000 | 3,312,000 | 4,475,000 | |||
Deferred revenue | 364,000 | 364,000 | 369,000 | |||
Contract liabilities | 6,477,000 | 6,477,000 | 5,910,000 | |||
Deferred tax | 2,000 | 2,000 | 14,000 | |||
Stockholders' equity | ||||||
Accumulated deficit | (206,065,000) | (206,065,000) | $ (201,865,000) | |||
Revenue | 6,162,000 | $ 6,409,000 | 12,475,000 | $ 13,200,000 | ||
Cost of revenue | ||||||
Cost of revenue | 1,378,000 | 1,906,000 | 3,193,000 | 4,008,000 | ||
Operating expenses | ||||||
Marketing and sales | 2,006,000 | 2,690,000 | 4,172,000 | 5,592,000 | ||
Interest expense | (113,000) | (10,000) | (255,000) | (15,000) | ||
Other income | 29,000 | 51,000 | ||||
Tax benefit (expense) | (4,000) | 3,000 | (17,000) | (14,000) | ||
Net loss | (1,027,000) | (2,631,000) | (4,308,000) | (3,088,000) | ||
Product [Member] | ||||||
Stockholders' equity | ||||||
Revenue | 3,194,000 | 2,668,000 | 6,208,000 | 5,799,000 | ||
Cost of revenue | ||||||
Cost of revenue | 537,000 | 293,000 | 995,000 | 713,000 | ||
Service [Member] | ||||||
Stockholders' equity | ||||||
Revenue | 2,968,000 | 3,741,000 | 6,267,000 | 7,401,000 | ||
Cost of revenue | ||||||
Cost of revenue | 739,000 | $ 1,327,000 | 1,991,000 | $ 2,711,000 | ||
Accounting Standards Update 2014-09 [Member] | ||||||
Assets | ||||||
Prepaid expenses and other current assets | (238,000) | (238,000) | $ 1,247,000 | |||
Liabilities | ||||||
Contract liabilities | (4,000) | (4,000) | 5,540,000 | |||
Stockholders' equity | ||||||
Accumulated deficit | (242,000) | (242,000) | (201,973,000) | |||
Operating expenses | ||||||
Marketing and sales | (76,000) | (238,000) | ||||
Net loss | (63,000) | (234,000) | ||||
Accounting Standards Update 2014-09 [Member] | Product [Member] | ||||||
Stockholders' equity | ||||||
Revenue | (40,000) | 51,000 | ||||
Accounting Standards Update 2014-09 [Member] | Service [Member] | ||||||
Stockholders' equity | ||||||
Revenue | 27,000 | (55,000) | ||||
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect Before and After Topic 606 [Member] | ||||||
Assets | ||||||
Prepaid expenses and other current assets | 888,000 | 888,000 | 147,000 | |||
Liabilities | ||||||
Accrued expenses | 3,312,000 | 3,312,000 | ||||
Deferred revenue | 364,000 | 364,000 | ||||
Contract liabilities | 6,473,000 | 6,473,000 | (370,000) | |||
Deferred tax | 2,000 | 2,000 | ||||
Stockholders' equity | ||||||
Accumulated deficit | (206,307,000) | (206,307,000) | $ 108,000 | |||
Revenue | (13,000) | (4,000) | ||||
Operating expenses | ||||||
Marketing and sales | 2,082,000 | 4,410,000 | ||||
Interest expense | (113,000) | (255,000) | ||||
Other income | 29,000 | 51,000 | ||||
Tax benefit (expense) | (4,000) | (17,000) | ||||
Net loss | (1,090,000) | (4,542,000) | ||||
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect Before and After Topic 606 [Member] | Product [Member] | ||||||
Stockholders' equity | ||||||
Revenue | 3,154,000 | 6,157,000 | ||||
Cost of revenue | ||||||
Cost of revenue | 537,000 | 995,000 | ||||
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect Before and After Topic 606 [Member] | Service [Member] | ||||||
Stockholders' equity | ||||||
Revenue | 2,995,000 | 6,322,000 | ||||
Cost of revenue | ||||||
Cost of revenue | $ 739,000 | $ 1,991,000 |
Basis of Presentation and Sig34
Basis of Presentation and Significant Accounting Policies - Revenues Disaggregated by Major Good or Service Line, Timing of Revenue Recognition, and Sales Channel, Reconciled to Our Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 6,023 | $ 6,261 | $ 12,195 | $ 12,905 |
Revenue from lease components | 139 | 148 | 280 | 295 |
Total Revenue | 6,162 | 6,409 | 12,475 | 13,200 |
Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 3,662 | 3,390 | 7,219 | 7,213 |
Service Contracts [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,657 | 1,851 | 3,346 | 3,743 |
Supply and Source Usage Agreements [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 558 | 478 | 1,087 | 947 |
Professional Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 50 | 15 | 194 | 68 |
Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 96 | 527 | 349 | 934 |
Goods Transferred at a Point in Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 3,685 | 3,553 | 7,445 | 7,363 |
Services Transferred over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,338 | 2,708 | 4,750 | 5,542 |
Direct Sales Force [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 4,031 | 4,003 | 7,798 | 8,281 |
OEM Partners [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,737 | 2,109 | 3,881 | 4,314 |
Channel Partners [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 255 | 149 | 516 | 310 |
Detection [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 3,851 | 4,083 | 7,721 | 8,425 |
Revenue from lease components | 139 | 148 | 280 | 295 |
Total Revenue | 3,990 | 4,231 | 8,001 | 8,720 |
Detection [Member] | Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,486 | 2,545 | 4,975 | 5,212 |
Detection [Member] | Service Contracts [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,310 | 1,463 | 2,637 | 2,939 |
Detection [Member] | Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 55 | 75 | 109 | 274 |
Detection [Member] | Goods Transferred at a Point in Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,486 | 2,545 | 4,975 | 5,212 |
Detection [Member] | Services Transferred over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,365 | 1,538 | 2,746 | 3,213 |
Detection [Member] | Direct Sales Force [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,114 | 1,974 | 3,840 | 4,111 |
Detection [Member] | OEM Partners [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,737 | 2,109 | 3,881 | 4,314 |
Therapy [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 2,172 | 2,178 | 4,474 | 4,480 |
Total Revenue | 2,172 | 2,178 | 4,474 | 4,480 |
Therapy [Member] | Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,176 | 845 | 2,244 | 2,001 |
Therapy [Member] | Service Contracts [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 347 | 388 | 709 | 804 |
Therapy [Member] | Supply and Source Usage Agreements [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 558 | 478 | 1,087 | 947 |
Therapy [Member] | Professional Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 50 | 15 | 194 | 68 |
Therapy [Member] | Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 41 | 452 | 240 | 660 |
Therapy [Member] | Goods Transferred at a Point in Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,199 | 1,008 | 2,470 | 2,151 |
Therapy [Member] | Services Transferred over Time [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 973 | 1,170 | 2,004 | 2,329 |
Therapy [Member] | Direct Sales Force [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,917 | 2,029 | 3,958 | 4,170 |
Therapy [Member] | Channel Partners [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 255 | $ 149 | $ 516 | $ 310 |
Basis of Presentation and Sig35
Basis of Presentation and Significant Accounting Policies - Summary of Receivables, Contract Assets and Contract Liabilities from Contracts with Customers (Detail) - USD ($) | Jun. 30, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Contract with Customer, Asset and Liability [Abstract] | |||
Receivables, which are included in 'Trade accounts receivable' | $ 6,200,000 | ||
Contract assets, which are included in "Prepaid and other current assets" | 2,000 | $ 166,000 | |
Contract liabilities, which are included in "Deferred revenue" | $ 6,477,000 | $ 5,541,000 |
Basis of Presentation and Sig36
Basis of Presentation and Significant Accounting Policies - Summary of Deferred Revenue (Detail) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Deferred Revenue Arrangement [Line Items] | ||
Contract liabilities | $ 6,477,000 | $ 5,541,000 |
Lease revenue | 364,000 | 369,000 |
Total | 6,841,000 | 5,910,000 |
Short-term Debt [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Contract liabilities | 5,795,000 | 5,044,000 |
Lease revenue | 345,000 | 360,000 |
Total | 6,140,000 | 5,404,000 |
Long-term Debt [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Contract liabilities | 682,000 | 497,000 |
Lease revenue | 19,000 | 9,000 |
Total | $ 701,000 | $ 506,000 |
Basis of Presentation and Sig37
Basis of Presentation and Significant Accounting Policies - Summary of Changes in Deferred Revenue from Contracts with Customers (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Deferred Revenue Disclosure [Abstract] | |
Balance at beginning of period | $ 5,541 |
Adoption adjustment | 39 |
Deferral of revenue | 5,717 |
Recognition of deferred revenue | (4,820) |
Balance at end of period | $ 6,477 |
Basis of Presentation and Sig38
Basis of Presentation and Significant Accounting Policies - Schedule of Changes of Capitalized Costs to Obtain Contract (Detail) | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Capitalized Contract Cost, Net [Abstract] | |
Balance at beginning of period | $ 117,000 |
Deferral of costs to obtain a contract | 233,000 |
Recognition of costs to obtain a contract | (112,000) |
Balance at end of period | $ 238,000 |
Loss per Common Share - Calcula
Loss per Common Share - Calculation of Net Loss Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||||
Net loss | $ (1,027) | $ (2,631) | $ (4,308) | $ (3,088) |
Shares used in the calculation of basic and diluted net loss per share | 16,664 | 16,310 | 16,624 | 16,223 |
Effect of dilutive securities: | ||||
Diluted shares used in the calculation of net loss per share | 16,664 | 16,310 | 16,624 | 16,223 |
Net loss per share-basic and diluted | $ (0.06) | $ (0.16) | $ (0.26) | $ (0.19) |
Stock Options [Member] | ||||
Effect of dilutive securities: | ||||
Restricted stock | 0 | 0 | 0 | 0 |
Restricted Stock [Member] | ||||
Effect of dilutive securities: | ||||
Restricted stock | 0 | 0 | 0 | 0 |
Loss per Common Share - Schedul
Loss per Common Share - Schedule of Anti-dilutive Shares Excluded from Computation of Diluted Net Loss Per Share (Detail) - shares | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Common stock options, warrants and restricted stock | 1,968,488 | 1,803,863 |
Stock Options [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Common stock options, warrants and restricted stock | 1,394,275 | 1,419,540 |
Restricted Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Common stock options, warrants and restricted stock | 574,213 | 384,323 |
Sale of MRI Assets - Additional
Sale of MRI Assets - Additional Information (Detail) - VersaVue Software and DynaCAD Product and Related Assets [Member] - Asset Purchase Agreement [Member] - USD ($) | Jan. 30, 2017 | Jun. 30, 2018 | Dec. 31, 2016 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Sale and transfer of intangible assets | $ 3,200,000 | ||
Holdback reserve related to sale and transfer of intangible assets | $ 350,000 | ||
Proceeds from sale and transfer of intangible assets | 2,900,000 | ||
Allocation of goodwill to asset held for sale | $ 394,000 | ||
Gain on sale and transfer of intangible assets | $ 2,508,000 |
Sale of MRI Assets - Schedule o
Sale of MRI Assets - Schedule of Net Assets Sold (Detail) - Disposal Group, Held-for-sale, Not Discontinued Operations [Member] - VersaVue Software and DynaCAD Product and Related Assets [Member] $ in Thousands | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Assets | |
Accounts Receivable | $ 116 |
Intangible assets | 810 |
Allocated Goodwill | 394 |
Total Assets | 1,320 |
Liabilities | |
Deferred Revenue | 746 |
Total Liabilities | 746 |
Net Assets Sold | $ 574 |
Sale of MRI Assets - Schedule43
Sale of MRI Assets - Schedule of Components of Gain on Sale (Detail) - USD ($) | Jan. 30, 2017 | Jun. 30, 2017 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash received | $ 2,850,000 | |
Asset Purchase Agreement [Member] | VersaVue Software and DynaCAD Product and Related Assets [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash received | $ 2,850,000 | |
Holdback reserve | 350,000 | |
Fair value of transition services | (118,000) | |
Net Assets sold | (574,000) | |
Total | $ 2,508,000 |
Inventory - Additional Informat
Inventory - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Inventory reserve | $ 1.2 | $ 1.2 |
Inventory - Schedule of Current
Inventory - Schedule of Current Inventory (Detail) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 873 | $ 992 |
Work in process | 97 | 63 |
Finished Goods | 1,131 | 1,068 |
Inventory | $ 2,101 | $ 2,123 |
Debt Financing - Additional Inf
Debt Financing - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2018 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Jul. 30, 2019 | Aug. 07, 2017 | |
Debt Instrument [Line Items] | |||||||
Maturity date of revolving loans and term loans | Mar. 1, 2022 | ||||||
Description on maturity date of revolving loans and term loans | The maturity date of the Revolving Loans and the Term Loans is March 1, 2022. However, the maturity date will become April 30, 2019, April 30, 2020 or April 30, 2021 if, on or before March 15, 2019, or 2020 or 2021, as applicable, the Company does not agree in writing to the Detection revenue and adjusted EBITDA covenant levels proposed by the Bank with respect to the upcoming applicable calendar year. | ||||||
Termination fee percentage | 2.00% | ||||||
Accrued Final Payment | $ 32,000 | $ 98,000 | |||||
Line of credit, closing costs | $ 74,000 | $ 74,000 | |||||
Debt instrument repayment term | 36 months | ||||||
Prime Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, interest rate | 0.50% | 0.50% | |||||
Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Term loan advances prior to maturity | 1.00% | ||||||
Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Term loan advances prior to maturity | 3.00% | ||||||
Term Loan A [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, contingent borrowing capacity | $ 3,000,000 | $ 3,000,000 | |||||
Accrued Final Payment | $ (98,000) | ||||||
Term loan final payment percentage | 8.50% | 8.50% | 8.00% | ||||
Term Loan A [Member] | Silicon Valley Bank [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility | $ 6,000,000 | ||||||
Term Loan A [Member] | Silicon Valley Bank [Member] | Tranche One [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Beginning date of repayment | Mar. 1, 2019 | ||||||
Term loan monthly installments | 30 | ||||||
Term Loan A [Member] | Silicon Valley Bank [Member] | Tranche Two [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Beginning date of repayment | Oct. 1, 2019 | ||||||
Term loan monthly installments | 30 | ||||||
Term Loan A [Member] | Minimum [Member] | Silicon Valley Bank [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Adjusted EBITDA requirement | $ (750,000) | ||||||
Detection revenue | $ 7,500,000 | ||||||
Adjusted EBITDA | $ (3,750,000) | $ (4,500,000) | |||||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, interest rate | 1.50% | 1.50% | |||||
Percentage of outstanding liabilities to bank | 125.00% | ||||||
Revolving Credit Facility [Member] | Silicon Valley Bank [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility | $ 4,000,000 | ||||||
Scenario Forecast [Member] | Term Loan A [Member] | Minimum [Member] | Silicon Valley Bank [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Net revenues | $ 21,500,000 | ||||||
Detection revenue | $ 8,750,000 | $ 7,500,000 | |||||
Adjusted EBITDA | $ 1,000,000 | $ (1,000,000) |
Debt Financing - Schedule of Ca
Debt Financing - Schedule of Carrying Value of Term Loan Net of Debt Issuance Costs (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2018 | Dec. 31, 2017 | |
Shares Issued And Outstanding [Line Items] | |||
Accrued Final Payment | $ (32) | $ (98) | |
Less current portion of Term Loan | (652) | (652) | $ (817) |
Notes payable long-term portion | 5,386 | 5,386 | 5,119 |
Term Loan A [Member] | |||
Shares Issued And Outstanding [Line Items] | |||
Principal Amount of Term Loan | 6,000 | 6,000 | 6,000 |
Unamortized closing costs | (60) | (60) | (64) |
Accrued Final Payment | 98 | ||
Carrying amount of Term Loan | 6,038 | 6,038 | 5,936 |
Less current portion of Term Loan | (652) | (652) | (817) |
Notes payable long-term portion | $ 5,386 | $ 5,386 | $ 5,119 |
Debt Financing - Summary of Pri
Debt Financing - Summary of Principal and Interest Payments (Detail) - Term Loan A [Member] $ in Thousands | Jun. 30, 2018USD ($) |
Shares Issued And Outstanding [Line Items] | |
2,018 | $ 150 |
2,019 | 2,452 |
2,020 | 2,534 |
2,021 | 1,933 |
Total | $ 7,069 |
Debt Financing - Interest Expen
Debt Financing - Interest Expense in Consolidated Income Statement (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Interest Expense, Debt [Abstract] | ||||
Cash interest expense | $ 73 | $ 141 | ||
Final Payment accrual | 32 | 98 | ||
Amortization of debt costs | 7 | 14 | ||
Amortization of settlement obligations | $ 12 | $ 26 | ||
Interest expense capital lease | 1 | 2 | ||
Capital lease - fair value amortization | (2) | (11) | ||
Total interest expense | $ 113 | $ 10 | $ 255 | $ 15 |
Lease Commitments - Additional
Lease Commitments - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Aug. 31, 2017 | |
Leases [Abstract] | |||||
Operating leases expiring description | Facilities are leased under operating leases expiring at various dates through March 2020. | ||||
Rent expense | $ 228,000 | $ 221,000 | $ 450,000 | $ 436,000 | |
Equipment lease obligation payments | 37,000 | 37,000 | $ 50,000 | ||
Liability recorded on capital leases | $ 32,000 | $ 32,000 | $ 42,000 | ||
Equipment expected life | 3 years |
Lease Commitments - Future Mini
Lease Commitments - Future Minimum Lease Payments under Operating Leases (Detail) $ in Thousands | Jun. 30, 2018USD ($) |
Leases [Abstract] | |
2,018 | $ 384 |
2,019 | 755 |
2,020 | 174 |
Total | $ 1,313 |
Lease Commitments - Schedule of
Lease Commitments - Schedule of Future Minimum Lease Payments under Capital Leases (Detail) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 | Aug. 31, 2017 |
Leases [Abstract] | |||
2,018 | $ 8,000 | ||
2,019 | 16,000 | ||
2,020 | 13,000 | ||
subtotal minimum lease obligation | 37,000 | $ 50,000 | |
less interest | (5,000) | ||
Total, net | 32,000 | 42,000 | |
Total, net | 32,000 | $ 42,000 | |
less current portion | (14,000) | ||
long term portion | $ 18,000 | $ 27,000 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) | Mar. 22, 2018shares | Jun. 30, 2018USD ($)shares | Jun. 30, 2017USD ($) | Jun. 30, 2018shares | Dec. 31, 2016shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of restricted stock granted | 0 | ||||
Stock options exercised | $ | $ 0 | ||||
Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share based compensation vesting period | 1 year | ||||
Number of installments | 3 | ||||
Aggregate intrinsic value of the options vested in period | $ | $ 23,000 | $ 1,200,000 | |||
Performance Based Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of restricted stock granted | 112,500 | 189,583 | 162,500 | ||
Performance Based Restricted Stock [Member] | Vesting Period One [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares expected to vest | 63,194 | 63,194 | |||
Performance Based Restricted Stock [Member] | Vesting Period Two [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares expected to vest | 63,194 | 63,194 | |||
Performance Based Restricted Stock [Member] | Vesting Period Three [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares expected to vest | 63,194 | 63,194 | |||
Performance Based Restricted Stock [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of additional shares available for granted | 108,333 | ||||
Time Based Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of restricted stock granted | 112,500 | ||||
Number of installments | 3 | ||||
Black Scholes Model [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of option Granted | 75,937 | 141,268 |
Stock-Based Compensation - Opti
Stock-Based Compensation - Options Granted under Company's Stock Incentive Plans, Valuation Assumptions and Fair Values (Detail) - Stock Options [Member] - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Average risk-free interest rate | 2.62% | 1.50% | 2.50% | 1.49% |
Expected dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
Expected life | 3 years 6 months | 3 years 6 months | 3 years 6 months | 3 years 6 months |
Expected volatility | 61.60% | |||
Weighted average exercise price | $ 3.08 | $ 4.21 | $ 3.08 | $ 4.46 |
Weighted average fair value | $ 1.42 | $ 1.98 | $ 1.41 | $ 2.19 |
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected volatility | 64.90% | 60.80% | 64.90% | |
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected volatility | 67.00% | 61.60% | 72.00% |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation Expense Including Options and Restricted Stock by Category (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated share-based compensation expense | $ 382 | $ 1,601 | $ 773 | $ 2,570 |
Cost of Revenue [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated share-based compensation expense | 1 | 2 | 2 | 4 |
Engineering and Product Development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated share-based compensation expense | 100 | 352 | 197 | 557 |
Marketing and Sales [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated share-based compensation expense | 57 | 499 | 57 | 722 |
General and Administrative Expense [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Allocated share-based compensation expense | $ 224 | $ 748 | $ 517 | $ 1,287 |
Stock-Based Compensation - Unre
Stock-Based Compensation - Unrecognized Compensation Cost Related to Unexercisable Options and Unvested Restricted Stock and Weighted Average Remaining Period (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |
Remaining expense | $ 1,638 |
Weighted average term | 1 year 1 month 6 days |
Stock-Based Compensation - Aggr
Stock-Based Compensation - Aggregate Intrinsic Value (Detail) - USD ($) $ in Thousands | Jun. 30, 2018 | Jun. 30, 2017 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate intrinsic value, Stock option | $ 261 | $ 966 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate intrinsic value, Restricted stock | $ 1,789 | $ 1,610 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 1 Months Ended | ||
Feb. 28, 2010 | Jul. 31, 2007 | Jun. 30, 2018 | |
Loss Contingencies [Line Items] | |||
Purchase obligations to suppliers for future product deliverables | $ 1,000,000 | ||
CADx Medical Systems Inc [Member] | |||
Loss Contingencies [Line Items] | |||
Tax re-assessment received | $ 6,800,000 | ||
Reduced tax re-assessment received | $ 703,000 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities which are Measured at Fair Value on a Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Assets | ||
Total Assets | $ 7,381 | $ 8,853 |
Money Market Accounts [Member] | ||
Assets | ||
Total Assets | 7,381 | 8,853 |
Level 1 [Member] | ||
Assets | ||
Total Assets | 7,381 | 8,853 |
Level 1 [Member] | Money Market Accounts [Member] | ||
Assets | ||
Total Assets | $ 7,381 | $ 8,853 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Income tax provision | $ 4,000 | $ (3,000) | $ 17,000 | $ 14,000 |
Unrecognized tax benefits | 0 | 0 | ||
Deferred tax liability related to amortized goodwill | $ 2,000 | 2,000 | ||
Decrease in deferred tax liability | $ 4,000 |
Goodwill - Additional Informati
Goodwill - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2018 | |
Goodwill [Line Items] | |||
Goodwill | $ 8,362 | $ 8,362 | |
Therapy [Member] | ASU 2017-04 [Member] | |||
Goodwill [Line Items] | |||
Fair value of goodwill | 100 | $ 3,500 | |
Goodwill | 2,100 | 7,500 | |
Impairment loss | $ 1,700 | $ 4,000 |
Goodwill - Roll Forward of Good
Goodwill - Roll Forward of Goodwill Activity by Reportable Segment (Detail) $ in Thousands | Jun. 30, 2018USD ($) |
Goodwill [Line Items] | |
Goodwill, Beginning Balance | $ 8,362 |
Goodwill, Ending Balance | 8,362 |
Detection [Member] | |
Goodwill [Line Items] | |
Goodwill, Beginning Balance | 8,362 |
Goodwill, Ending Balance | $ 8,362 |
Goodwill - Annual Impairment As
Goodwill - Annual Impairment Assessment (Detail) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Goodwill [Line Items] | ||
Accumulated Goodwill | $ 54,906 | |
Accumulated impairment | (46,544) | |
Goodwill, Ending Balance | 8,362 | $ 8,362 |
Detection [Member] | ||
Goodwill [Line Items] | ||
Accumulated Goodwill | 699 | |
Fair value allocation | 7,663 | |
Goodwill, Ending Balance | 8,362 | $ 8,362 |
Therapy [Member] | ||
Goodwill [Line Items] | ||
Accumulated Goodwill | 6,270 | |
Fair value allocation | 13,446 | |
Accumulated impairment | $ (19,716) |
Long-lived Assets - Additional
Long-lived Assets - Additional Information (Detail) $ in Millions | 3 Months Ended |
Sep. 30, 2017USD ($) | |
Therapy [Member] | |
Impaired Long-Lived Assets Held and Used [Line Items] | |
Impairment charges on long-lived assets | $ 0.7 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2018USD ($)Segment | Jun. 30, 2017USD ($) | |
Schedule Of Geographical Information [Line Items] | ||||
Number of reporting segments | Segment | 2 | |||
Total Export Sales | $ 6,162,000 | $ 6,409,000 | $ 12,475,000 | $ 13,200,000 |
Service [Member] | ||||
Schedule Of Geographical Information [Line Items] | ||||
Total Export Sales | $ 2,968,000 | $ 3,741,000 | 6,267,000 | $ 7,401,000 |
Intersegment Eliminations [Member] | Service [Member] | ||||
Schedule Of Geographical Information [Line Items] | ||||
Total Export Sales | $ 0 |
Segment Reporting - Summary of
Segment Reporting - Summary of Segment Revenues, Gross Profit, Segment Operating Income or Loss and Reconciliation of Segment Operating Income or Loss to GAAP Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Segment revenues: | ||||
Total revenue | $ 6,162 | $ 6,409 | $ 12,475 | $ 13,200 |
Segment gross profit: | ||||
Segment gross profit | 4,784 | 4,503 | 9,282 | 9,192 |
Segment operating income (loss): | ||||
Segment operating income (loss) | 659 | (509) | (420) | (1,390) |
General, administrative, depreciation and amortization expense | (1,598) | (2,115) | (3,667) | (4,177) |
Interest expense | (113) | (10) | (255) | (15) |
Gain on sale of MRI assets | 2,508 | |||
Other income | 29 | 51 | ||
Loss before income tax expense | (1,023) | (2,634) | (4,291) | (3,074) |
Product [Member] | ||||
Segment revenues: | ||||
Total revenue | 3,194 | 2,668 | 6,208 | 5,799 |
Service [Member] | ||||
Segment revenues: | ||||
Total revenue | 2,968 | 3,741 | 6,267 | 7,401 |
Detection [Member] | ||||
Segment gross profit: | ||||
Segment gross profit | 3,456 | 3,730 | 6,985 | 7,731 |
Segment operating income (loss): | ||||
Segment operating income (loss) | 1,019 | 1,284 | 1,006 | 2,786 |
Detection [Member] | Product [Member] | ||||
Segment revenues: | ||||
Total revenue | 3,990 | 4,231 | 8,001 | 8,720 |
Therapy [Member] | ||||
Segment gross profit: | ||||
Segment gross profit | 1,328 | 773 | 2,297 | 1,461 |
Segment operating income (loss): | ||||
Segment operating income (loss) | (360) | (1,793) | (1,426) | (4,176) |
Therapy [Member] | Service [Member] | ||||
Segment revenues: | ||||
Total revenue | $ 2,172 | $ 2,178 | $ 4,474 | $ 4,480 |