Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | Apr. 23, 2019 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | ICAD | |
Entity Registrant Name | ICAD INC | |
Entity Central Index Key | 0000749660 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 17,365,992 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 11,315 | $ 12,185 |
Trade accounts receivable, net of allowance for doubtful accounts of $177 in 2019 and $177 in 2018 | 7,387 | 6,403 |
Inventory, net | 1,990 | 1,587 |
Prepaid expenses and other current assets | 1,391 | 1,045 |
Total current assets | 22,083 | 21,220 |
Property and equipment, net of accumulated depreciation of $6,283 in 2019 and $6,214 in 2018 | 511 | 552 |
Operating lease assets | 731 | |
Other assets | 53 | 53 |
Intangible assets, net of accumulated amortization of $7,903 in 2019 and $7,809 in 2018 | 1,456 | 1,550 |
Goodwill | 8,362 | 8,362 |
Total assets | 33,196 | 31,737 |
Current liabilities: | ||
Accounts payable | 1,484 | 1,154 |
Accrued and other expenses | 5,416 | 5,060 |
Notes payable - current portion | 2,250 | 1,851 |
Lease payable - current portion | 806 | 15 |
Deferred revenue | 5,104 | 5,165 |
Total current liabilities | 15,060 | 13,245 |
Lease payable, long-term portion | 32 | 38 |
Notes payable, long-term portion | 3,694 | 4,254 |
Convertible debentures payable to non-related parties, at fair value | 8,637 | 6,300 |
Convertible debentures payable to related parties, at fair value | 858 | 670 |
Deferred revenue, long-term portion | 346 | 331 |
Deferred tax | 3 | 3 |
Total liabilities | 28,630 | 24,841 |
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 17,500,265 in 2019 and 17,066,510 in 2018; outstanding 17,314,434 in 2019 and 16,880,679 in 2018 | 175 | 171 |
Additional paid-in capital | 220,297 | 218,914 |
Accumulated deficit | (214,491) | (210,774) |
Treasury stock at cost, 185,831 shares in 2019 and 2018 | (1,415) | (1,415) |
Total stockholders' equity | 4,566 | 6,896 |
Total liabilities and stockholders' equity | $ 33,196 | $ 31,737 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts on trade accounts receivable | $ 177 | $ 177 |
Property and equipment, accumulated depreciation and amortization | 6,283 | 6,214 |
Intangible assets, accumulated amortization | $ 7,903 | $ 7,809 |
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 | 17,500,265 | 17,066,510 |
Common stock, shares outstanding | 17,314,434 | 16,880,679 |
Treasury stock, shares | 185,831 | 185,831 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenue: | ||
Total revenue | $ 6,773 | $ 6,313 |
Cost of revenue: | ||
Amortization and depreciation | 94 | 105 |
Total cost of revenue | 1,491 | 1,815 |
Gross profit | 5,282 | 4,498 |
Operating expenses: | ||
Engineering and product development | 2,127 | 3,339 |
Marketing and sales | 2,573 | 2,166 |
General and administrative | 1,546 | 2,058 |
Amortization and depreciation | 70 | 83 |
Total operating expenses | 6,316 | 7,646 |
Loss from operations | (1,034) | (3,148) |
Interest expense | (209) | (142) |
Other income | 59 | 22 |
Loss on fair value of convertible debentures | (2,525) | |
Other expense, net | (2,675) | (120) |
Loss before income tax expense | (3,709) | (3,268) |
Tax expense | (8) | (13) |
Net loss and comprehensive loss | $ (3,717) | $ (3,281) |
Net loss per share: | ||
Basic | $ (0.22) | $ (0.20) |
Diluted | $ (0.22) | $ (0.20) |
Weighted average number of shares used in computing loss per share: | ||
Basic | 17,200 | 16,583 |
Diluted | 17,200 | 16,583 |
Product [Member] | ||
Revenue: | ||
Total revenue | $ 3,822 | $ 3,014 |
Cost of revenue: | ||
Total cost of revenue | 680 | 458 |
Service [Member] | ||
Revenue: | ||
Total revenue | 2,951 | 3,299 |
Cost of revenue: | ||
Total cost of revenue | $ 717 | $ 1,252 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Cash flow from operating activities: | ||
Net loss | $ (3,717) | $ (3,281) |
Adjustments to reconcile net loss to net cash used for by operating activities: | ||
Amortization | 95 | 92 |
Depreciation | 69 | 96 |
Bad debt provision | 85 | |
Inventory obsolesence reserve | (2) | |
Stock-based compensation expense | 212 | 391 |
Amortization of debt discount and debt costs | 39 | 64 |
Deferred tax expense | (8) | |
Loss on disposal of assets | 12 | |
Change in fair value of convertible debentures | 2,525 | |
Changes in operating assets and liabilities: | ||
Accounts receivable | (984) | 1,262 |
Inventory | (403) | (72) |
Prepaid and other current assets | (347) | 59 |
Accounts payable | 330 | 177 |
Accrued expenses | 414 | 186 |
Deferred revenue | (46) | 298 |
Total adjustments | 1,904 | 2,640 |
Net cash used for operating activities | (1,813) | (641) |
Cash flow from investing activities: | ||
Additions to patents, technology and other | (1) | (2) |
Additions to property and equipment | (28) | (22) |
Net cash used for investing activities | (29) | (24) |
Cash flow from financing activities: | ||
Stock option exercises | 1,175 | |
Taxes paid related to restricted stock issuance | (57) | |
Principal payments of capital lease obligations | (3) | (3) |
Principal repayment of debt financing, net | (200) | |
Net cash provided by (used for) financing activities | 972 | (60) |
Decrease in cash and equivalents | (870) | (725) |
Cash and equivalents, beginning of period | 12,185 | 9,387 |
Cash and equivalents, end of period | 11,315 | 8,662 |
Supplemental disclosure of cash flow information: | ||
Interest paid | 82 | 67 |
Taxes paid | $ 23 | |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 907 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Treasury Stock [Member] |
Beginning Balance at Jan. 01, 2018 | $ 14,276 | $ 167 | $ 217,389 | $ (201,865) | $ (1,415) |
Beginning Balance, shares at Jan. 01, 2018 | 16,711,512 | ||||
Issuance of common stock relative to vesting of restricted stock shares forfeited for tax obligations | (57) | $ 1 | (58) | ||
Issuance of common stock relative to vesting of restricted stock shares forfeited for tax obligations, shares | 137,312 | ||||
Stock-based compensation | 391 | 391 | |||
Net loss | (3,281) | (3,281) | |||
Ending Balance at Mar. 31, 2018 | 11,436 | $ 168 | 217,722 | (205,039) | (1,415) |
Ending Balance, shares at Mar. 31, 2018 | 16,848,824 | ||||
Cumulative impact from the adoption of ASC 606 (see Note 1) | 107 | 107 | |||
Beginning Balance at Dec. 31, 2018 | 6,896 | $ 171 | 218,914 | (210,774) | (1,415) |
Beginning Balance, shares at Dec. 31, 2018 | 17,066,510 | ||||
Issuance of common stock relative to vesting of restricted stock shares forfeited for tax obligations | $ 1 | (1) | |||
Issuance of common stock relative to vesting of restricted stock shares forfeited for tax obligations, shares | 66,334 | ||||
Issuance of common stock pursuant to stock option plans | 1,175 | $ 3 | 1,172 | ||
Issuance of common stock pursuant to stock option plans, shares | 367,421 | ||||
Stock-based compensation | 212 | 212 | |||
Net loss | (3,717) | (3,717) | |||
Ending Balance at Mar. 31, 2019 | $ 4,566 | $ 175 | $ 220,297 | $ (214,491) | $ (1,415) |
Ending Balance, shares at Mar. 31, 2019 | 17,500,265 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) | 3 Months Ended |
Mar. 31, 2018shares | |
Shares forfeited for tax obligations | 18,385 |
Common Stock [Member] | |
Shares forfeited for tax obligations | 18,385 |
Additional Paid-in Capital [Member] | |
Shares forfeited for tax obligations | 18,385 |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2019 | |
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 March 31, 2019, the results of operations of the Company for the three month periods ended March 31, 2019 and 2018, and cash flows of the Company for the three month periods ended March 31, 2019 and 2018. 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 advanced image analysis and workflow products. The Therapy segment consists of radiation therapy (“Axxent”) products. Lease Accounting Adoption of ASC Topic 842, “Leases” On January 1, 2019, the Company adopted the new accounting standard ASC 842, “Leases” and all the related amendments (“ASC 842”) and has applied its transition provisions at the beginning of the period of adoption (i.e. on the effective date), and so did not restate comparative periods. Under this transition provision, the Company has applied the legacy guidance under ASC 840, “Leases” (“ASC 840”), including its disclosure requirements, in the comparative periods presented. See Note 5 for the disclosures required upon adoption of ASC 842. 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. 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 March 31, 2019 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,790 $ 1,519 $ 4,253 Service contracts 1,322 516 1,838 Supply and source usage agreements — 537 537 Professional services — 33 33 Other 56 — 56 $ 4,168 $ 2,605 $ 6,773 Timing of Revenue Recognition Goods transferred at a point in time $ 2,790 $ 1,632 $ 4,422 Services transferred over time 1,378 973 2,351 $ 4,168 $ 2,605 $ 6,773 Sales Channels Direct sales force $ 2,057 $ 1,812 $ 3,869 OEM partners 2,111 — 2,111 Channel partners — 793 793 $ 4,168 $ 2,605 $ 6,773 Three months ended March 31, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,489 $ 1,068 $ 3,503 Service contracts 1,468 362 1,830 Supply and source usage agreements — 529 529 Professional services — 144 144 Other 54 199 253 $ 4,011 $ 2,302 $ 6,313 Timing of Revenue Recognition Goods transferred at a point in time 2,489 1,271 $ 3,760 Services transferred over time 1,522 1,031 2,553 $ 4,011 $ 2,302 $ 6,313 Sales Channels Direct sales force $ 1,867 $ 2,041 $ 3,908 OEM partners 2,144 — 2,144 Channel partners — 261 261 $ 4,011 $ 2,302 $ 6,313 Products. Service Contracts. non-lease Supply and Source Usage Agreements. Professional Services. Other. 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). Balance at March 31, 2019 Receivables, which are included in ‘Trade accounts receivable’ $ 7,387 Contract assets, which are included in “Prepaid and other current assets” 14 Contract liabilities, which are included in “Deferred revenue” 5,450 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 Company’s accounts receivable from contracts with customers, net of allowance for doubtful accounts, was $7.4 million and $6.4 million as of March 31, 2019 and December 31, 2018, respectively. 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 March 31, 2019 and December 31, 2018. The contract asset balance was $14,000 and $19,000 as of March 31, 2019 and December 31, 2018, respectively. 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 $287,000 in amounts associated with service contracts accounted for under Topic 840 at December 31, 2018, prior to the adoption of ASC 842. The balance of deferred revenue at March 31, 2019 and December 31, 2018 is as follows (in thousands): March 31, December 31, Contract liabilities Short term $ 5,104 $ 5,165 Long term 346 331 Total $ 5,450 $ 5,496 Changes in deferred revenue from contracts with customers were as follows (in thousands): Three Months Balance at beginning of period $ 5,496 Deferral of revenue 2,502 Recognition of deferred revenue (2,548 ) Balance at end of period $ 5,450 We expect to recognize approximately $4.8 million of the deferred amount in 2019, $0.5 million in 2020, and $0.1 million thereafter. |
Net Loss per Common Share
Net Loss per Common Share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Loss per Common Share | Note 2 – Net 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 March 31, 2019 2018 Net loss $ (3,717 ) $ (3,281 ) Shares used in the calculation of basic and diluted net loss per share 17,200 16,583 Effect of dilutive securities: Stock options — — Restricted stock — — Diluted shares used in the calculation of net loss per share 17,200 16,583 Net loss per share - basic and diluted $ (0.22 ) $ (0.20 ) The shares of the Company’s common stock issuable upon the exercise of convertible securities, 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 March 31, 2019 2018 Stock options 1,548,818 1,378,258 Restricted stock 270,064 580,880 Convertible Debentures 1,742,500 — Stock options and restricted stock 3,561,382 1,933,660 |
Inventory
Inventory | 3 Months Ended |
Mar. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Inventory | Note 3 – Inventory Inventory is valued at the lower of cost or net realizable value, with cost determined by the first-in, first-out as of March 31, as of December 31, 2018 Raw materials $ 892 $ 606 Work in process 127 67 Finished Goods 971 914 Inventory $ 1,990 $ 1,587 |
Financing Arrangements
Financing Arrangements | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Financing Arrangements | Note 4 – Financing Arrangements (a) Loan and Security Agreement 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, the Second Loan Modification Agreement dated as of August 13, 2018, the Third Loan Modification Agreement dated as of December 20, 2018, and the Fourth Loan Modification Agreement dated as of March 18, 2019 (collectively, 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 on or prior to June 30, 2019. The Company began repayment of the Initial Term Loan on March 1, 2019, with 30 equal monthly installments of principal, based on the amended terms of the Loan Agreement. The maturity date of the Initial Term Loan is August 1, 2021. The Company will be required to begin repayment of the Subsequent Term Loan, if drawn, on October 1, 2019 and make 23 equal monthly installments of principal, as determined by the Third Loan Modification Agreement. The maturity date of the Subsequent Term Loan is August 1, 2021. The maturity date of the Revolving Loans is March 1, 2022. However, the maturity date will become April 30, 2020 or April 30, 2021 if, on or before March 15, 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 2020 or 2021 calendar year. The 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 will 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. 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 two percent (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 between 1.0% and 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 Loans 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 additional interest expense. As of March 31, 2019 and December 31, 2018, the accrued final payment is approximately $195,000 and $162,000, respectively and is a component of the outstanding loan balance. The Loan Agreement, as amended, includes certain covenants which require the Company to maintain minimum consolidated revenues of $11.4 million, $11.6 million, $13.0 million and $14.5 million during the trailing six month periods ending on March 31, 2019, June 30, 2019, September 30, 2019 and December 31, 2019, respectively, as well as adjusted EBITDA levels of $(3.5 million), $(4.0 million), $(4.0 million) and $(2.0 million) during the trailing six month periods ending on March 31, 2019, June 30, 2019, September 30, 2019 and December 31, 2019, respectively. In addition, the Company and Silicon Valley Bank will be required to negotiate the covenants for the 2020 and 2021 fiscal years, with a failure to agree to such covenants by specified dates in the agreement leading to an acceleration of the Initial Term Loan maturity date to either April 30, 2020 or April 31, 2021, respectively. As of March 31, 2019, the Company is in compliance with the covenants. Obligations to the Bank under the Loan Agreement or otherwise are secured by a first priority security interest in substantially all of the assets, including intellectual property, accounts receivable, 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 ASC Topic 835, “Interest,” the closing costs have been deducted from the carrying value of the debt and will be amortized through August 1, 2021, the maturity date of the Initial Term Loan. The Company has evaluated the accounting impact of each of the modifications noted above, and as all have occurred within a 12 month period, each successive modification has been combined and compared to the terms of the original Loan Agreement. The Company has determined that modifications occurring at each modification date above are modifications of the Loan Agreement for accounting purposes. As such, the Company has capitalized any closing costs paid to the Bank as part of the modifications and has expensed any third party costs incurred. The additional closing costs and the unamortized initial closing costs are being amortized over the remaining term of the modified Initial Term Loan. The carrying value of the Term Loans (net of debt issuance costs) as of March 31, 2019 and December 31, 2018 is as follows (in thousands): March 31, December 31, Principal Amount of Term Loan $ 5,800 $ 6,000 Unamortized closing costs (51 ) (57 ) Accrued Final Payment 195 162 Carrying amount of Term Loan 5,944 6,105 Less current portion of Term Loan (2,250 ) (1,851 ) Notes payable long-term portion $ 3,694 $ 4,254 (b) Convertible Debentures On December 20, 2018, the Company entered into a Securities Purchase Agreement (the “SPA”) with certain institutional and accredited investors, including, but not limited to, all directors and executive officers of the Company (the “Investors”), pursuant to which the Investors purchased unsecured subordinated convertible debentures (the “Convertible Debentures” or the “Notes”) with an aggregate principal amount of approximately $7.0 million in a private placement. The Company will pay interest to the Investors on the outstanding principal amount of the Convertible Debentures at the rate of 5.0% per annum, payable semi-annually on December 21st and June 21st, beginning on June 21, 2019, as well as on each conversion date (as to the principal amount then being converted) and on the maturity date. The Convertible Debentures mature on December 21, 2021. At any time prior to the maturity date, the Convertible Debentures are convertible into shares of the Company’s common stock at a conversion price of $4.00 per share, at the Investor’s option, subject to certain anti-dilution adjustments. The Convertible Debentures contain a cap of shares to be issued upon the conversion of the Convertible Debentures at 19.99% of the issued and outstanding shares of the Company’s Common Stock on December 21, 2018, unless shareholder approval of such issuance has been obtained. Upon the satisfaction of certain conditions, the Company has the right to cause the Investors to convert all or part of the then outstanding principal amount of the Convertible Debentures (a “Forced Conversion”). In connection with such Forced Conversion, the Company will be required to pay accrued but unpaid interest, an interest make whole amount determined based on the timing of the Forced Conversion and interest payments made to that date, liquidated damages and other amounts owing to the Investors under the Convertible Debentures. The conversion price in both the optional conversion and Forced Conversion provisions is subject to adjustment due to certain ‘down-round’ dilutive issuances as well for typical anti-dilutive actions, such as stock splits and stock dividends. The Investors also have the right to require the Company to repurchase the Convertible Debentures, at a repurchase price that would be at least 115% of the then outstanding principal, plus any accrued but unpaid interest, upon the occurrence of an event of default, as defined in the SPA. The Convertible Debentures will also accrue interest upon an event of default at a rate of the lesser of 10.0% or the maximum permitted by law. The Convertible Debentures also include certain liquidated damages provisions, whereby the Company will be required to compensate the Investors for certain contingent events, such as the failure to timely deliver conversion shares of common stock, failure to timely pay any accrued interest when due and failure to timely report public information. The Convertible Debentures are unsecured and structurally subordinated to the Company’s existing indebtedness. In connection with the issuance of the Convertible Debentures, the Company’s subsidiaries entered into a Subsidiary Guarantee, dated as of December 20, 2018, for the benefit of the Investors, pursuant to which the subsidiaries guaranteed the Company’s payments under the Convertible Debentures. In connection with the issuance, on December 20, 2018, the Company entered into a registration rights agreement (the “Registration Rights Agreement”) with the Investors, pursuant to which the Company agreed to file a registration statement with the Securities and Exchange Commission (“SEC”) to register the resale of shares of common stock underlying the Convertible Debentures on or prior to January 31, 2019. The Company filed the Registration Rights Agreement with the SEC on January 31, 2019. Certain Investors in the Convertible Debentures include directors and employees of the Company. These related parties purchased approximately 10% of the principal value of the Convertible Debentures, or $670,000. The Convertible Debentures issued to the related parties have substantially the same rights and provisions as the unrelated third party investors, with the exception of certain terms where the related parties received less favorable terms than the unrelated third parties (such as with determination of the make whole conversion rate, as defined in the Convertible Debentures; or limits on the impact of potential ‘down-round’ adjustments to the conversion price). The Company initially evaluated the required accounting for the Convertible Debentures under ASC Topic 470, “ Debt Distinguishing Liabilities from Equity Derivatives and Hedging one-time, Financial Instruments In accordance the Company’s election of the fair value option, the Company expensed the approximately $503,000 in issuance costs incurred related to the Convertible Debentures during the year ended December 31, 2018. Fair Value Measurements Related to the Convertible Debentures The Company utilized a Monte Carlo simulation model to estimate the fair value of the Convertible Debentures as March 31, 2019 and December 31, 2018. The simulation model is designed to capture the potential settlement features of the Convertible Debentures (the embedded features described above), in conjunction with simulated changes in the Company’s stock price and the probability of certain events occurring. The simulation utilizes 100,000 trials or simulations to determine the estimated fair value. The simulation utilizes the assumptions that if the Company is able to exercise its Forced Conversion right (if the requirements to do so are met), that it will do so in 100% of such scenarios. Additionally, if an event of default occurs during the simulated trial (based on the Company’s probability of default), the Investors will opt to redeem the Convertible Debentures in 100% of such scenarios. If neither event occurs during a simulated trial, the simulation assumes that the Investor will hold the Convertible Debentures until the maturity date. The value of the cash flows associated with each potential settlement are discounted to present value in each trial based on either the risk free rate (for an equity settlement) or the effective discount rate (for a redemption or cash settlement). The Company notes that the key inputs to the simulation model that were utilized to estimate the fair value of the Convertible Debentures included: Input December 31, 2018 March 31, 2019 Company’s stock price $ 3.70 $ 5.17 Conversion price $ 4.00 $ 4.00 Remaining term (years) 2.97 2.72 Equity volatility 54.00 % 55.00 % Risk free rate 2.46 % 2.18 % Probabilty of default event 0.81 % 0.70 % Utilization of Forced Conversion (if available) 100.00 % 100.00 % Exercise of Default Redemption (if available) 100.00 % 100.00 % Effective discount rate 21.90 % 21.26 % The Company’s stock price is based on the closing stock price on the valuation date. The conversion price is based on the contractual conversion price included in the SPA. The remaining term was determined based on the remaining time period to maturity of the Convertible Debentures. The Company’s equity volatility estimate was based on the Company’s historical equity volatility, the Company’s implied and observed volatility of option pricing, and the historical equity and observed volatility of option pricing for a selection of comparable guideline public companies. The risk free rate was determined based on U.S. Treasury securities with similar terms. The probability of the occurrence of a default event was based on Bloomberg’s 1 year estimate of default risk for the Company (extrapolated over the remaining term). The utilization of the forced conversion right and the default redemption right is based on management’s best estimate of both features being exercised upon the occurrence of the related contingent events. The effective discount rate utilized at December 31, 2018 was solved for utilizing the simulation model based on the principal value of the Convertible Debentures, as the transaction was determined to represent an ‘arm’s length’ transaction. The effective discount was corroborated against market yield data which implied the Company’s credit rating. The effective discount rate utilized at March 31, 2019 was based on this implied credit rating and current market yield data as of the valuation date. The fair value and principal value of the Convertible Debentures as of March 31, 2019 and December 31, 2018 was as follows (in thousands): Convertible Debentures December 31, 2018 March 31, 2019 Fair value, in accordance with fair value option $ 6,970 $ 9,495 Principal value outstanding $ 6,970 $ 6,970 The Company recorded a loss from the change in fair value of the Convertible Debentures of $2.5 million for the three months ended March 31, 2019. See also additional fair value disclosures related to the Convertible Debentures in Note 8. (c) Principal and Interest Payments Related to Financing Arrangements Future principal and interest payments related to the Loan Agreement and Convertible Debentures are as follows (in thousands): Fiscal Year Amount Due 2019 $ 2,359 2020 $ 2,911 2021 $ 9,462 Total $ 14,732 The following amounts are included in interest expense in our consolidated statement of operations for the three months ended March 31, 2019 and 2018 (in thousands): Three Months Ended March 31 2019 2018 Cash interest expense $ 82 $ 68 Cash interest expense, convertible debentures $ 87 $ — Accrual of notes payable final payment 32 66 Amortization of debt costs 7 7 Interest expense capital lease 1 1 Total interest expense $ 209 $ 142 |
Lease Commitments
Lease Commitments | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Lease Commitments | Note 5 – Lease Commitments On January 1, 2019, the Company adopted ASC 842 and has applied its transition provisions at the beginning of the period of adoption (i.e. on the effective date), and so did not restate comparative periods. Under this transition provision, the Company has applied the legacy guidance under ASC 840, “Leases” (“ASC 840”), including its disclosure requirements, in the comparative periods presented. Under ASC 842, the Company determines if an arrangement contains a lease at inception. A lease is a contract, or part of a contract, that conveys the right to control the use of identified property, plant or equipment (i.e., an identified asset) for a period of time in exchange for consideration. Leases are classified as either operating or financing. At lease inception, the Company recognizes a lease liability equal to the present value of the remaining lease payments, and a right of use asset equal to the lease liability, subject to certain adjustments, such as for lease incentives. The Company used its incremental borrowing rate to determine the present value of the lease payments. The Company determined the incremental borrowing rates for its leases by applying its applicable borrowing rate, with adjustment as appropriate for lease term. The lease term at the lease commencement date is determined based on the non-cancellable Right-of-use non-lease non-lease ASC 842 includes a number of reassessment and re-measurement re-measurement re-measurement. right-of-use 360-10. Certain of the Company’s leases include variable lease costs to reimburse the lessor for real estate tax and insurance expenses, and certain non-lease non-lease Required Disclosures under ASC 842 The Company has leases for office space and office equipment. The leases have remaining lease terms of less than 2 years. The components of lease expense for the period are as follows (in thousands): Lease Cost Classification Three Months Ended Operating lease cost Operating expenses $ 209 Finance lease costs Amortization of leased assets Amortization and depreciation 3 Interest on lease liabilities Interest expense 1 Total $ 213 Other information related to leases was as follows (in thousands) Three Months Cash paid for operating cash flows from operating leases $ 209 Cash paid for operating cash flows from finance leases $ 1 Cash paid for financing cash flows from finance leases $ 3 As of March 31, Weighted-average remaining lease term of operating leases (in years) 1.05 Weighted-average remaining lease term of finance leases (in years) 1.50 Weighted-average discount rate for operating leases 0.0 % Weighted-average discount rate for finance leases 11.0 % Maturity of the Company’s lease liabilities as of March 31, 2019 was as follows (in thousands): Year Ended December 31: Operating Leases Finance Total 2019 (remaining period of year) $ 622 $ 12 $ 634 2020 212 13 225 2021 7 — 7 Total lease payments 841 25 866 Less: imputed interest (26 ) (2 ) (28 ) Total lease liabilities 815 23 838 Less: current portion of lease liabilities (791 ) (15 ) (806 ) Long-term lease liabilities $ 24 $ 8 $ 32 The cumulative effect of the changes made to the Company’s consolidated balance sheet for the adoption of Topic 842 were as follows (in thousands): Selected Balance Sheet Balance at December 31, 2018 Adjustments Due to Balance at January 1, 2018 Assets Operating lease assets $ — $ 907 $ 907 Liabilities Deferred rent, current portion (within accrued expenses) 92 (92 ) — Deferred rent, long-term portion (within other long-term liabilities) 27 (27 ) — Lease payable - current portion 15 780 795 Lease payable, long-term portion 38 179 217 In connection with the adoption of ASC 842, the Company recorded an immaterial expense of $14,000 in the quarter ended March 31, 2019 which would have been an opening retained earnings adjustment. In accordance with the requirements of the new standard, the disclosure of the impact of the adoption on our consolidated balance sheet was as follows (in thousands): As of March 31, 2019 Selected Balance Sheet As Reported Balances without Effect of Change Assets Operating lease assets $ 731 $ — $ 731 Liabilities Lease payable - current portion 806 15 791 Lease payable, long-term portion 32 8 24 Future minimum payments under our operating and capital leases as of December 31, 2018 are as follows (in thousands): Payments due by period Total 2019 2020 2021 2022 Operating Lease Obligations $ 964 $ 781 $ 183 $ — $ — Capital Lease Obligations 26 15 11 — — $ 990 $ 796 $ 194 $ — $ — |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Note 6 - Stock-Based Compensation The Company follows the guidance in ASC Topic 718, “ Compensation – Stock Compensation , The Company granted options to purchase 148,452 shares of the Company’s stock during the three months ended March 31, 2019. 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 March 31, 2019 2018 Average risk-free interest rate 2.38 % 2.33 % Expected dividend yield None None Expected life 3.5 years 3.5 years Expected volatility 53.1% to 54.2% 60.8% to 61.3% Weighted average exercise price $ 4.35 $ 3.08 Weighted average fair value $ 1.78 $ 1.40 The Company’s stock-based compensation expense, including options and restricted stock by category is as follows (in thousands): Three Months Ended March 31, 2019 2018 Cost of revenue $ 1 $ 1 Engineering and product development 87 97 Marketing and sales 59 0 General and administrative 65 293 $ 212 $ 391 As of March 31, 2019, unrecognized compensation cost (in thousands) related to unexercisable options and unvested restricted stock and the weighted average remaining period is as follows: Remaining expense $ 1,579 Weighted average term 1.0 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 determined that the revenue goal had been met and a total of 189,583 shares were granted, with 63,194 vesting immediately and the remainder vesting on the first and second anniversary of the award date. During the three months ended March 31, 2019, the Company granted 14,000 shares of restricted stock with time based vesting. The Company’s aggregate intrinsic value for stock options and restricted stock outstanding is as follows (in thousands): Period Ended March 31, Aggregate intrinsic value 2019 2018 Stock options $ 2,273 $ 273 Restricted stock 1,396 1,789 The Company issued 367,421 shares of common stock and received cash proceeds of approximately $1.2 million during the quarter ended March 31, 2019 upon the exercise of outstanding stock options. The intrinsic value of restricted shares that vested in the three months ended March 31, 2019 was $385,000. The intrinsic value of restricted shares that vested in the three months ended March 31, 2018 was $0.5 million. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 7 - 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 $2.0 million for firm purchase obligations to suppliers for future product and service deliverables. Litigation 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. On September 5, 2018, third-party Yeda Research and Development Company Ltd., referred to in this Section as Yeda, filed a complaint against the Company and Invivo in the United States District Court for the Southern District of New York, captioned Yeda Research and Development Company Ltd. v. iCAD, Inc. and Invivo Corporation, Case No. 1:18-cv-08083-GBD, 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. The Company is party to certain actions that have been filed against the Company which are being vigorously defended. The Company has determined that potential losses in these matters are neither probable or reasonably possible at this time. 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 | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 8 - 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. The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, notes payable and convertible debentures. Due to their short term nature and market rates of interest, the carrying amounts of the financial instruments (except the convertible debentures, which are measured at fair value in accordance with the fair value option election) approximated fair value as of March 31, 2019 and December 31, 2018. The Company’s assets and liabilities that are measured at fair value on a recurring basis include the Company’s money market accounts and convertible debentures. The money market funds are included in cash and cash equivalents in the accompanying balance sheet, and are considered a Level 1 measurement as they are valued at quoted market prices in active markets. The convertible debentures are recorded as a separate component of the Company’s consolidated balance sheets, and are considered a Level 3 measurement due to the utilization of significant unobservable inputs in their valuation. See Note 4(b) for a discussion of these fair value measurements. 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 (000’s) as of December 31, 2018 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 12,134 $ — $ — $ 12,134 Total Assets $ 12,134 $ — $ — $ 12,134 Liabilities Convertible debentures $ — $ — $ 6,970 $ 6,970 Total Liabilities $ — $ — $ 6,970 $ 6,970 Fair Value Measurements (000’s) as of March 31, 2019 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 11,311 $ — $ — $ 11,311 Total Assets $ 11,311 $ — $ — $ 11,311 Liabilities Convertible debentures $ — $ — $ 9,495 $ 9,495 Total Liabilities $ — $ — $ 9,495 $ 9,495 The following sets forth a reconciliation of the changes in the fair value of convertible debentures during the period: Three months Balance, December 31, 2018 $ 6,970 Fair value adjustment 2,525 Balance, March 31, 2019 $ 9,495 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9 - Income Taxes The Company recorded an income tax provision of $8,000 and $13,000 for the three months ended March 31, 2019 and 2018, respectively. At March 31, 2019, the Company had no material unrecognized tax benefits and a deferred tax liability of approximately $3,000 related to tax amortizable goodwill. 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 March 31, 2019. 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 | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Note 10 - 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 March 31, 2019. 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 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, 2018 $ 8,362 $ — $ 8,362 Balance at March 31, 2019 $ 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 March 31, 2019 $ 8,362 $ — $ 8,362 |
Long-lived assets
Long-lived assets | 3 Months Ended |
Mar. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Long-lived assets | Note 11 – 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). The Company determined there were no triggering events in the quarter ended March 31, 2019. In accordance with 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 | 3 Months Ended |
Mar. 31, 2019 | |
Segment Reporting [Abstract] | |
Segment Reporting | Note 12 – Segment Reporting In accordance with FASB Topic ASC 280, “ Segments The Company’s CODM is the Chief Executive Officer (“CEO”). Each reportable 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 (“Detection”) and Cancer Therapy (“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 The Company does not track assets by operating segment and 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 March 31, 2019 2018 Segment revenues: Detection $ 4,168 $ 4,011 Therapy 2,605 2,302 Total Revenue $ 6,773 $ 6,313 Segment gross profit: Detection $ 3,467 $ 3,529 Therapy 1,815 969 Segment gross profit $ 5,282 $ 4,498 Segment operating income (loss): Detection $ 302 $ (13 ) Therapy 221 (1,066 ) Segment operating income (loss) $ 523 $ (1,079 ) General, administrative, depreciation and amortization expense $ (1,557 ) $ (2,069 ) Interest expense (209 ) (142 ) Other income 59 22 Fair value of convertible debentures (2,525 ) — Loss before income tax $ (3,709 ) $ (3,268 ) |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2019 | |
Text Block [Abstract] | |
Recent Accounting Pronouncements | Note 13 - Recent Accounting Pronouncements On January 1, 2019, the Company adopted the new accounting standard ASC 842, “Leases” and all related amendments using the modified retrospective method for all lease arrangements in place as of the date of adoption. The Company recognized the cumulative effect of initially applying the new standard as an expense in the quarter ended March 31, 2019 as the amount was immaterial to the financial statements. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. Results for reporting periods beginning after January 1, 2019 are presented under ASC 842, while prior period amounts are not adjusted and continue to be reported in accordance with our historic accounting under Topic 840. In addition, upon electing the practical expedient to combine lease and non-lease non-lease |
Stock-Based Compensation (Polic
Stock-Based Compensation (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Segment Reporting [Abstract] | |
Compensation - Stock Compensation | The Company follows the guidance in ASC Topic 718, “ Compensation – Stock Compensation , |
Litigation | Litigation 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. On September 5, 2018, third-party Yeda Research and Development Company Ltd., referred to in this Section as Yeda, filed a complaint against the Company and Invivo in the United States District Court for the Southern District of New York, captioned Yeda Research and Development Company Ltd. v. iCAD, Inc. and Invivo Corporation, Case No. 1:18-cv-08083-GBD, 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. The Company is party to certain actions that have been filed against the Company which are being vigorously defended. The Company has determined that potential losses in these matters are neither probable or reasonably possible at this time. 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. The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, notes payable and convertible debentures. Due to their short term nature and market rates of interest, the carrying amounts of the financial instruments (except the convertible debentures, which are measured at fair value in accordance with the fair value option election) approximated fair value as of March 31, 2019 and December 31, 2018. The Company’s assets and liabilities that are measured at fair value on a recurring basis include the Company’s money market accounts and convertible debentures. The money market funds are included in cash and cash equivalents in the accompanying balance sheet, and are considered a Level 1 measurement as they are valued at quoted market prices in active markets. The convertible debentures are recorded as a separate component of the Company’s consolidated balance sheets, and are considered a Level 3 measurement due to the utilization of significant unobservable inputs in their valuation. See Note 4(b) for a discussion of these fair value measurements. 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 (000’s) as of December 31, 2018 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 12,134 $ — $ — $ 12,134 Total Assets $ 12,134 $ — $ — $ 12,134 Liabilities Convertible debentures $ — $ — $ 6,970 $ 6,970 Total Liabilities $ — $ — $ 6,970 $ 6,970 Fair Value Measurements (000’s) as of March 31, 2019 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 11,311 $ — $ — $ 11,311 Total Assets $ 11,311 $ — $ — $ 11,311 Liabilities Convertible debentures $ — $ — $ 9,495 $ 9,495 Total Liabilities $ — $ — $ 9,495 $ 9,495 The following sets forth a reconciliation of the changes in the fair value of convertible debentures during the period: Three months Balance, December 31, 2018 $ 6,970 Fair value adjustment 2,525 Balance, March 31, 2019 $ 9,495 |
Income Taxes | Income Taxes The Company recorded an income tax provision of $8,000 and $13,000 for the three months ended March 31, 2019 and 2018, respectively. At March 31, 2019, the Company had no material unrecognized tax benefits and a deferred tax liability of approximately $3,000 related to tax amortizable goodwill. 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 March 31, 2019. 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 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). The Company determined there were no triggering events in the quarter ended March 31, 2019. In accordance with 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 |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
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 March 31, 2019 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,790 $ 1,519 $ 4,253 Service contracts 1,322 516 1,838 Supply and source usage agreements — 537 537 Professional services — 33 33 Other 56 — 56 $ 4,168 $ 2,605 $ 6,773 Timing of Revenue Recognition Goods transferred at a point in time $ 2,790 $ 1,632 $ 4,422 Services transferred over time 1,378 973 2,351 $ 4,168 $ 2,605 $ 6,773 Sales Channels Direct sales force $ 2,057 $ 1,812 $ 3,869 OEM partners 2,111 — 2,111 Channel partners — 793 793 $ 4,168 $ 2,605 $ 6,773 Three months ended March 31, 2018 Reportable Segments Detection Therapy Total Major Goods/Service Lines Products $ 2,489 $ 1,068 $ 3,503 Service contracts 1,468 362 1,830 Supply and source usage agreements — 529 529 Professional services — 144 144 Other 54 199 253 $ 4,011 $ 2,302 $ 6,313 Timing of Revenue Recognition Goods transferred at a point in time 2,489 1,271 $ 3,760 Services transferred over time 1,522 1,031 2,553 $ 4,011 $ 2,302 $ 6,313 Sales Channels Direct sales force $ 1,867 $ 2,041 $ 3,908 OEM partners 2,144 — 2,144 Channel partners — 261 261 $ 4,011 $ 2,302 $ 6,313 |
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). Balance at March 31, 2019 Receivables, which are included in ‘Trade accounts receivable’ $ 7,387 Contract assets, which are included in “Prepaid and other current assets” 14 Contract liabilities, which are included in “Deferred revenue” 5,450 |
Summary of Changes in Deferred Revenue | Changes in deferred revenue from contracts with customers were as follows (in thousands): Three Months Balance at beginning of period $ 5,496 Deferral of revenue 2,502 Recognition of deferred revenue (2,548 ) Balance at end of period $ 5,450 |
Accounting Standards Update 2016-02 [Member] | |
Summary of Changes in Deferred Revenue | The balance of deferred revenue at March 31, 2019 and December 31, 2018 is as follows (in thousands): March 31, December 31, Contract liabilities Short term $ 5,104 $ 5,165 Long term 346 331 Total $ 5,450 $ 5,496 |
Net Loss per Common Share (Tabl
Net Loss per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
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 March 31, 2019 2018 Net loss $ (3,717 ) $ (3,281 ) Shares used in the calculation of basic and diluted net loss per share 17,200 16,583 Effect of dilutive securities: Stock options — — Restricted stock — — Diluted shares used in the calculation of net loss per share 17,200 16,583 Net loss per share - basic and diluted $ (0.22 ) $ (0.20 ) |
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 convertible securities, 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 March 31, 2019 2018 Stock options 1,548,818 1,378,258 Restricted stock 270,064 580,880 Convertible Debentures 1,742,500 — Stock options and restricted stock 3,561,382 1,933,660 |
Inventory (Tables)
Inventory (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Schedule of Current Inventory | Inventories consisted of the following (in thousands), which includes an inventory reserve of approximately $0.9 million and $1.1 million as of March 31, 2019 and December 31, 2018, respectively. as of March 31, as of December 31, 2018 Raw materials $ 892 $ 606 Work in process 127 67 Finished Goods 971 914 Inventory $ 1,990 $ 1,587 |
Financing Arrangements (Tables)
Financing Arrangements (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Carrying Value of Term Loan Net of Debt Issuance Costs | The carrying value of the Term Loans (net of debt issuance costs) as of March 31, 2019 and December 31, 2018 is as follows (in thousands): March 31, December 31, Principal Amount of Term Loan $ 5,800 $ 6,000 Unamortized closing costs (51 ) (57 ) Accrued Final Payment 195 162 Carrying amount of Term Loan 5,944 6,105 Less current portion of Term Loan (2,250 ) (1,851 ) Notes payable long-term portion $ 3,694 $ 4,254 |
Schedule of Key Inputs to Simulation Model Utilized to Estimate Fair Value of Convertible Debentures | The Company notes that the key inputs to the simulation model that were utilized to estimate the fair value of the Convertible Debentures included: Input December 31, 2018 March 31, 2019 Company’s stock price $ 3.70 $ 5.17 Conversion price $ 4.00 $ 4.00 Remaining term (years) 2.97 2.72 Equity volatility 54.00 % 55.00 % Risk free rate 2.46 % 2.18 % Probabilty of default event 0.81 % 0.70 % Utilization of Forced Conversion (if available) 100.00 % 100.00 % Exercise of Default Redemption (if available) 100.00 % 100.00 % Effective discount rate 21.90 % 21.26 % |
Schedule of Fair Value and Principal Value of Convertible Debentures | The fair value and principal value of the Convertible Debentures as of March 31, 2019 and December 31, 2018 was as follows (in thousands): Convertible Debentures December 31, 2018 March 31, 2019 Fair value, in accordance with fair value option $ 6,970 $ 9,495 Principal value outstanding $ 6,970 $ 6,970 |
Summary of Future Principal and Interest Payments Related to Loan Agreement and Convertible Debentures | Future principal and interest payments related to the Loan Agreement and Convertible Debentures are as follows (in thousands): Fiscal Year Amount Due 2019 $ 2,359 2020 $ 2,911 2021 $ 9,462 Total $ 14,732 |
Interest Expense in Consolidated Income Statement | The following amounts are included in interest expense in our consolidated statement of operations for the three months ended March 31, 2019 and 2018 (in thousands): Three Months Ended March 31 2019 2018 Cash interest expense $ 82 $ 68 Cash interest expense, convertible debentures $ 87 $ — Accrual of notes payable final payment 32 66 Amortization of debt costs 7 7 Interest expense capital lease 1 1 Total interest expense $ 209 $ 142 |
Lease Commitments (Tables)
Lease Commitments (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Components of Lease Expense | The components of lease expense for the period are as follows (in thousands): Lease Cost Classification Three Months Ended Operating lease cost Operating expenses $ 209 Finance lease costs Amortization of leased assets Amortization and depreciation 3 Interest on lease liabilities Interest expense 1 Total $ 213 Other information related to leases was as follows (in thousands) Three Months Cash paid for operating cash flows from operating leases $ 209 Cash paid for operating cash flows from finance leases $ 1 Cash paid for financing cash flows from finance leases $ 3 As of March 31, Weighted-average remaining lease term of operating leases (in years) 1.05 Weighted-average remaining lease term of finance leases (in years) 1.50 Weighted-average discount rate for operating leases 0.0 % Weighted-average discount rate for finance leases 11.0 % |
Summary of Detained Information of Lease Liabilities | Maturity of the Company’s lease liabilities as of March 31, 2019 was as follows (in thousands): Year Ended December 31: Operating Leases Finance Total 2019 (remaining period of year) $ 622 $ 12 $ 634 2020 212 13 225 2021 7 — 7 Total lease payments 841 25 866 Less: imputed interest (26 ) (2 ) (28 ) Total lease liabilities 815 23 838 Less: current portion of lease liabilities (791 ) (15 ) (806 ) Long-term lease liabilities $ 24 $ 8 $ 32 |
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 842 were as follows (in thousands): Selected Balance Sheet Balance at December 31, 2018 Adjustments Due to Balance at January 1, 2018 Assets Operating lease assets $ — $ 907 $ 907 Liabilities Deferred rent, current portion (within accrued expenses) 92 (92 ) — Deferred rent, long-term portion (within other long-term liabilities) 27 (27 ) — Lease payable - current portion 15 780 795 Lease payable, long-term portion 38 179 217 |
Summary of Impact of The Adoption On Our Consolidated Balance Sheet | In accordance with the requirements of the new standard, the disclosure of the impact of the adoption on our consolidated balance sheet was as follows (in thousands): As of March 31, 2019 Selected Balance Sheet As Reported Balances without Effect of Change Assets Operating lease assets $ 731 $ — $ 731 Liabilities Lease payable - current portion 806 15 791 Lease payable, long-term portion 32 8 24 |
Schedule of Contractual Obligation | Future minimum payments under our operating and capital leases as of December 31, 2018 are as follows (in thousands): Payments due by period Total 2019 2020 2021 2022 Operating Lease Obligations $ 964 $ 781 $ 183 $ — $ — Capital Lease Obligations 26 15 11 — — $ 990 $ 796 $ 194 $ — $ — |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
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 March 31, 2019 2018 Average risk-free interest rate 2.38 % 2.33 % Expected dividend yield None None Expected life 3.5 years 3.5 years Expected volatility 53.1% to 54.2% 60.8% to 61.3% Weighted average exercise price $ 4.35 $ 3.08 Weighted average fair value $ 1.78 $ 1.40 |
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 March 31, 2019 2018 Cost of revenue $ 1 $ 1 Engineering and product development 87 97 Marketing and sales 59 0 General and administrative 65 293 $ 212 $ 391 |
Unrecognized Compensation Cost Related to Unexercisable Options and Unvested Restricted Stock and Weighted Average Remaining Period | As of March 31, 2019, unrecognized compensation cost (in thousands) related to unexercisable options and unvested restricted stock and the weighted average remaining period is as follows: Remaining expense $ 1,579 Weighted average term 1.0 |
Aggregate Intrinsic Value | The Company’s aggregate intrinsic value for stock options and restricted stock outstanding is as follows (in thousands): Period Ended March 31, Aggregate intrinsic value 2019 2018 Stock options $ 2,273 $ 273 Restricted stock 1,396 1,789 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
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 (000’s) as of December 31, 2018 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 12,134 $ — $ — $ 12,134 Total Assets $ 12,134 $ — $ — $ 12,134 Liabilities Convertible debentures $ — $ — $ 6,970 $ 6,970 Total Liabilities $ — $ — $ 6,970 $ 6,970 Fair Value Measurements (000’s) as of March 31, 2019 Level 1 Level 2 Level 3 Total Assets Money market accounts $ 11,311 $ — $ — $ 11,311 Total Assets $ 11,311 $ — $ — $ 11,311 Liabilities Convertible debentures $ — $ — $ 9,495 $ 9,495 Total Liabilities $ — $ — $ 9,495 $ 9,495 |
Schedule of Reconciliation of Changes In Fair Value of Convertible Debentures | The following sets forth a reconciliation of the changes in the fair value of convertible debentures during the period: Three months Balance, December 31, 2018 $ 6,970 Fair value adjustment 2,525 Balance, March 31, 2019 $ 9,495 |
Goodwill (Tables)
Goodwill (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
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, 2018 $ 8,362 $ — $ 8,362 Balance at March 31, 2019 $ 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 March 31, 2019 $ 8,362 $ — $ 8,362 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
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 March 31, 2019 2018 Segment revenues: Detection $ 4,168 $ 4,011 Therapy 2,605 2,302 Total Revenue $ 6,773 $ 6,313 Segment gross profit: Detection $ 3,467 $ 3,529 Therapy 1,815 969 Segment gross profit $ 5,282 $ 4,498 Segment operating income (loss): Detection $ 302 $ (13 ) Therapy 221 (1,066 ) Segment operating income (loss) $ 523 $ (1,079 ) General, administrative, depreciation and amortization expense $ (1,557 ) $ (2,069 ) Interest expense (209 ) (142 ) Other income 59 22 Fair value of convertible debentures (2,525 ) — Loss before income tax $ (3,709 ) $ (3,268 ) |
Basis of Presentation and Sig_3
Basis of Presentation and Significant Accounting Policies - Additional Information (Detail) | 3 Months Ended | |
Mar. 31, 2019USD ($)Segment | Dec. 31, 2018USD ($) | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||
Business segment | Segment | 2 | |
Contract assets | $ 14,000 | $ 19,000 |
Amounts associated with service contracts accounted for under Topic 840 | 287,000 | |
Unearned amount to recognize in 2018 | 4,800,000 | |
Unearned amount to recognize in 2019 | 500,000 | |
Unearned amount to recognize, thereafter | 100,000 | |
Revenue from Contract with Customer [Member] | ||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||
Allowance for doubtful accounts, receivable | $ 7,400,000 | $ 6,400,000 |
Basis of Presentation and Sig_4
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 | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | $ 6,773 | $ 6,313 |
Products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 4,253 | 3,503 |
Service Contracts [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 1,838 | 1,830 |
Supply and Source Usage Agreements [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 537 | 529 |
Professional Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 33 | 144 |
Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 56 | 253 |
Goods Transferred at a Point in Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 4,422 | 3,760 |
Services Transferred over Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 2,351 | 2,553 |
Direct Sales Force [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 3,869 | 3,908 |
OEM Partners [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 2,111 | 2,144 |
Channel Partners [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 793 | 261 |
Detection [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 4,168 | 4,011 |
Detection [Member] | Products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 2,790 | 2,489 |
Detection [Member] | Service Contracts [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 1,322 | 1,468 |
Detection [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 56 | 54 |
Detection [Member] | Goods Transferred at a Point in Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 2,790 | 2,489 |
Detection [Member] | Services Transferred over Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 1,378 | 1,522 |
Detection [Member] | Direct Sales Force [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 2,057 | 1,867 |
Detection [Member] | OEM Partners [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 2,111 | 2,144 |
Therapy [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 2,605 | 2,302 |
Therapy [Member] | Products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 1,519 | 1,068 |
Therapy [Member] | Service Contracts [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 516 | 362 |
Therapy [Member] | Supply and Source Usage Agreements [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 537 | 529 |
Therapy [Member] | Professional Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 33 | 144 |
Therapy [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 199 | |
Therapy [Member] | Goods Transferred at a Point in Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 1,632 | 1,271 |
Therapy [Member] | Services Transferred over Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 973 | 1,031 |
Therapy [Member] | Direct Sales Force [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | 1,812 | 2,041 |
Therapy [Member] | Channel Partners [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from contracts with customers | $ 793 | $ 261 |
Basis of Presentation and Sig_5
Basis of Presentation and Significant Accounting Policies - Summary of Receivables, Contract Assets and Contract Liabilities from Contracts with Customers (Detail) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Contract with Customer, Asset and Liability [Abstract] | ||
Receivables, which are included in 'Trade accounts receivable' | $ 7,387,000 | |
Contract assets, which are included in "Prepaid and other current assets" | 14,000 | $ 19,000 |
Contract liabilities, which are included in "Deferred revenue" | $ 5,450,000 | $ 5,496,000 |
Basis of Presentation and Sig_6
Basis of Presentation and Significant Accounting Policies - Summary of Deferred Revenue (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Deferred Revenue Arrangement [Line Items] | ||
Contract liabilities | $ 5,450 | $ 5,496 |
Short-term Contract with Customer [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Contract liabilities | 5,104 | 5,165 |
Long-term Contract with Customer [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Contract liabilities | $ 346 | $ 331 |
Basis of Presentation and Sig_7
Basis of Presentation and Significant Accounting Policies - Summary of Changes in Deferred Revenue from Contracts with Customers (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Deferred Revenue Disclosure [Abstract] | |
Balance at beginning of period | $ 5,496 |
Deferral of revenue | 2,502 |
Recognition of deferred revenue | (2,548) |
Balance at end of period | $ 5,450 |
Net Loss per Common Share - Cal
Net Loss per Common Share - Calculation of Net Loss Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Net loss | $ (3,717) | $ (3,281) |
Shares used in the calculation of basic and diluted net loss per share | 17,200 | 16,583 |
Effect of dilutive securities: | ||
Diluted shares used in the calculation of net loss per share | 17,200 | 16,583 |
Net loss per share - basic and diluted | $ (0.22) | $ (0.20) |
Stock Options [Member] | ||
Effect of dilutive securities: | ||
Restricted stock | 0 | 0 |
Restricted Stock [Member] | ||
Effect of dilutive securities: | ||
Restricted stock | 0 | 0 |
Net Loss per Common Share - Sch
Net Loss per Common Share - Schedule of Anti-dilutive Shares Excluded from Computation of Diluted Net Loss Per Share (Detail) - shares | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Common stock options, warrants and restricted stock | 3,561,382 | 1,933,660 |
Stock Options [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Common stock options, warrants and restricted stock | 1,548,818 | 1,378,258 |
Restricted Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Common stock options, warrants and restricted stock | 270,064 | 580,880 |
Convertible Debentures [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Common stock options, warrants and restricted stock | 1,742,500 |
Inventory - Additional Informat
Inventory - Additional Information (Detail) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Inventory reserve | $ 0.9 | $ 1.1 |
Inventory - Schedule of Current
Inventory - Schedule of Current Inventory (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 892 | $ 606 |
Work in process | 127 | 67 |
Finished Goods | 971 | 914 |
Inventory | $ 1,990 | $ 1,587 |
Financing Arrangements - Additi
Financing Arrangements - Additional Information (Detail) | Dec. 21, 2018 | Mar. 31, 2019USD ($)Trial$ / shares | Mar. 31, 2018USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($)$ / shares | Jul. 30, 2019USD ($) | Dec. 31, 2018USD ($)Trial | Dec. 20, 2018USD ($) | Aug. 07, 2017USD ($) |
Debt Instrument [Line Items] | |||||||||||
Maturity date of revolving loans | Mar. 1, 2022 | ||||||||||
Description on maturity date of revolving loans and term loans | The maturity date of the Revolving Loans is March 1, 2022. However, the maturity date will become April 30, 2020 or April 30, 2021 if, on or before March 15, 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 2020 or 2021 calendar year. | ||||||||||
Termination fee percentage | 2.00% | ||||||||||
Accrued Final Payment | $ (32,000) | $ (66,000) | |||||||||
Line of credit, closing costs | 74,000 | $ 74,000 | |||||||||
Loss from fair value of the convertible debentures | $ 2,500,000 | ||||||||||
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% | ||||||||||
Silicon Valley Bank [Member] | Fourth Loan Modification Agreement [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Minimum consolidated revenues | $ 11,400,000 | ||||||||||
Minimum adjusted EBITDA levels | $ 3,500,000 | ||||||||||
Convertible Debt [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt instrument, interest rate | 5.00% | 5.00% | |||||||||
Aggregate principal amount | $ 7,000,000 | ||||||||||
Frequency of periodic payment of interest | Payable semi-annually on December 21st and June 21st, beginning on June 21, 2019 | ||||||||||
Maturity date | Dec. 21, 2021 | ||||||||||
Debt conversion, conversion price per share | $ / shares | $ 4 | $ 4 | |||||||||
Percentage of common stock shares issued and outstanding upon conversion of convertible debentures | 19.99% | ||||||||||
Debt issuance costs | $ 503,000 | ||||||||||
Convertible Debt [Member] | Monte Carlo Simulation [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Number of trials to detremine fair value | Trial | 100,000 | 100,000 | |||||||||
Debt insrument redemption description | The simulation utilizes the assumptions that if the Company is able to exercise its Forced Conversion right (if the requirements to do so are met), that it will do so in 100% of such scenarios. Additionally, if an event of default occurs during the simulated trial (based on the Company’s probability of default), the Investors will opt to redeem the Convertible Debentures in 100% of such scenarios. | ||||||||||
Convertible Debt [Member] | Minimum [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Percentage of repurchase price | 115.00% | ||||||||||
Interest rate upon an event of default | 10.00% | ||||||||||
Convertible Debt [Member] | Directors And Employees [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Aggregate principal amount | $ 670,000 | $ 670,000 | |||||||||
Purchase pecentage of principal value of convertible debentures | 10.00% | 10.00% | |||||||||
Term Loan A [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Credit facility, contingent borrowing capacity | $ 3,000,000 | $ 3,000,000 | |||||||||
Accrued Final Payment | $ 195,000 | $ 162,000 | |||||||||
Term loan final payment percentage | 8.50% | ||||||||||
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 | ||||||||||
Maturity date of revolving loans | Aug. 1, 2021 | ||||||||||
Term Loan A [Member] | Maximum [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Period to evaluate accounting impact of each modification | 12 months | ||||||||||
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] | Silicon Valley Bank [Member] | Fourth Loan Modification Agreement [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Minimum consolidated revenues | $ 14,500,000 | $ 13,000,000 | $ 11,600,000 | ||||||||
Minimum adjusted EBITDA levels | $ 2,000,000 | $ 4,000,000 | $ 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 |
Financing Arrangements - Schedu
Financing Arrangements - Schedule of Carrying Value of Term Loan Net of Debt Issuance Costs (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Shares Issued And Outstanding [Line Items] | |||
Accrued Final Payment | $ (32) | $ (66) | |
Less current portion of Term Loan | (2,250) | $ (1,851) | |
Notes payable long-term portion | 3,694 | 4,254 | |
Term Loan A [Member] | |||
Shares Issued And Outstanding [Line Items] | |||
Principal Amount of Term Loan | 5,800 | 6,000 | |
Unamortized closing costs | (51) | (57) | |
Accrued Final Payment | 195 | 162 | |
Carrying amount of Term Loan | 5,944 | 6,105 | |
Less current portion of Term Loan | (2,250) | (1,851) | |
Notes payable long-term portion | $ 3,694 | $ 4,254 |
Financing Arrangements - Sche_2
Financing Arrangements - Schedule of Key Inputs to Simulation Model Utilized to Estimate Fair Value of Convertible Debentures (Detail) - Convertible Debt [Member] | Mar. 31, 2019yr | Dec. 31, 2018yr |
Company's Stock Price [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 5.17 | 3.70 |
Conversion Price [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 4 | 4 |
Remaining Term (Years) [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 2.72 | 2.97 |
Equity Volatility [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 0.5500 | 0.5400 |
Risk Free Rate [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 0.0218 | 0.0246 |
Probability of Default Event [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 0.0070 | 0.0081 |
Utilization of Forced Conversion [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 1 | 1 |
Exercise of Default Redemption [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 1 | 1 |
Effective Discount Rate [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Measurement Input | 0.2126 | 0.2190 |
Financing Arrangements - Sche_3
Financing Arrangements - Schedule of Fair Value and Principal Value of Convertible Debentures (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Debt Disclosure [Abstract] | ||
Fair value, in accordance with fair value option | $ 9,495 | $ 6,970 |
Principal value outstanding | $ 6,970 | $ 6,970 |
Finance Arrangements - Summary
Finance Arrangements - Summary of Future Principal and Interest Payments Related to Loan Agreement and Convertible Debentures (Detail) - Term Loan A [Member] $ in Thousands | Mar. 31, 2019USD ($) |
Shares Issued And Outstanding [Line Items] | |
2019 | $ 2,359 |
2020 | 2,911 |
2021 | 9,462 |
Total | $ 14,732 |
Finance Arrangements - Interest
Finance Arrangements - Interest Expense in Consolidated Income Statement (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Interest Expense [Line Items] | ||
Cash interest expense | $ 82 | $ 68 |
Accrual of notes payable final payment | 32 | 66 |
Amortization of debt costs | 7 | 7 |
Interest expense capital lease | 1 | 1 |
Total interest expense | 209 | $ 142 |
Convertible Debt [Member] | ||
Interest Expense [Line Items] | ||
Cash interest expense | $ 87 |
Lease Commitments - Additional
Lease Commitments - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Lessee, Lease, Description [Line Items] | |
Lease immaterial expense | $ 14,000 |
Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Remaining lease term | 2 years |
Lease Commitments - Schedule of
Lease Commitments - Schedule of Components of Lease Expense (Detail) - Accounting Standards Update 2016-02 [Member] $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Lessee, Lease, Description [Line Items] | |
Operating lease cost | $ 209 |
Finance lease costs | |
Amortization of leased assets | 3 |
Interest on lease liabilities Interest expense | 1 |
Total | 213 |
Cash paid for operating cash flows from operating leases | 209 |
Cash paid for operating cash flows from finance leases | 1 |
Cash paid for financing cash flows from finance leases | $ 3 |
Weighted-average remaining lease term of operating leases (in years) | 1 year 18 days |
Weighted-average remaining lease term of finance leases (in years) | 1 year 6 months |
Weighted-average discount rate for operating leases | 0.00% |
Weighted-average discount rate for finance leases | 11.00% |
Lease Commitments - Summary of
Lease Commitments - Summary of Detained Information of Lease Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
Leases [Abstract] | |||
2019 (remaining period of year) | $ 622 | ||
2020 | 212 | ||
2021 | 7 | ||
Total | 841 | ||
Less: imputed interest | (26) | ||
Total lease liabilities | 815 | ||
Less: current portion of lease liabilities | (791) | $ (15) | $ (795) |
Long-term lease liabilities | 24 | $ 38 | $ 217 |
2019 (remaining period of year) | 12 | ||
2020 | 13 | ||
2021 | 0 | ||
Total lease payments | 25 | ||
Less: imputed interest | (2) | ||
Total lease liabilities | 23 | ||
Less: current portion of lease liabilities | (15) | ||
Long-term lease liabilities | 8 | ||
2019 (remaining period of year) | 634 | ||
2020 | 225 | ||
2021 | 7 | ||
Total lease payments | 866 | ||
Less: imputed interest | (28) | ||
Total lease liabilities | 838 | ||
Less: current portion of lease liabilities | (806) | ||
Long-term lease liabilities | $ 32 |
Lease Commitments - Summary o_2
Lease Commitments - Summary of Cumulative Effect of The Changes (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
Assets | |||
Operating lease assets | $ 731 | $ 907 | |
Liabilities | |||
Deferred rent, current portion (within accrued expenses) | $ 92 | ||
Deferred rent, long-term portion (within other long-term liabilities) | 27 | ||
Lease payable - current portion | 791 | 15 | 795 |
Lease payable, long-term portion | 24 | $ 38 | 217 |
Accounting Standards Update 2016-02 [Member] | |||
Assets | |||
Operating lease assets | $ 731 | 907 | |
Liabilities | |||
Deferred rent, current portion (within accrued expenses) | (92) | ||
Deferred rent, long-term portion (within other long-term liabilities) | (27) | ||
Lease payable - current portion | 780 | ||
Lease payable, long-term portion | $ 179 |
Lease Commitments - Summary o_3
Lease Commitments - Summary of Impact of The Adoption On Our Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
Assets | |||
Operating lease assets | $ 731 | $ 907 | |
Liabilities | |||
Lease payable - current portion | 806 | $ 15 | |
Lease payable, long-term portion | 32 | $ 38 | |
Balances Without Adoption Of Topic 842 [Member] | |||
Liabilities | |||
Lease payable - current portion | 15 | ||
Lease payable, long-term portion | 8 | ||
Accounting Standards Update 2016-02 [Member] | |||
Assets | |||
Operating lease assets | 731 | $ 907 | |
Liabilities | |||
Lease payable - current portion | 791 | ||
Lease payable, long-term portion | $ 24 |
Lease Commitments - Schedule _2
Lease Commitments - Schedule of Contractual Obligation (Detail) $ in Thousands | Mar. 31, 2019USD ($) |
Lessee, Lease, Description [Line Items] | |
Total | $ 841 |
2019 | 622 |
2020 | 212 |
2021 | 7 |
Total | 866 |
2019 | 634 |
Accounting Standards Update 2016-02 [Member] | |
Lessee, Lease, Description [Line Items] | |
Total | 964 |
2019 | 781 |
2020 | 183 |
Total | 26 |
2019 | 15 |
2020 | 11 |
Total | 990 |
2019 | 796 |
2020 | $ 194 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2016 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common stock, Issued | 17,500,265 | 17,066,510 | ||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share based compensation vesting period | 1 year | |||
Intrinsic value of restricted shares that vested | $ 385,000 | $ 500,000 | ||
Performance Based Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of restricted stock granted | 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 | |||
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 | |||
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 | 14,000 | |||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common stock, Issued | 367,421 | |||
Proceeds from Issuance of Common Stock | $ 1,200,000 | |||
Black Scholes Model [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of option Granted | 148,452 |
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 | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Average risk-free interest rate | 2.38% | 2.33% |
Expected dividend yield | 0.00% | 0.00% |
Expected life | 3 years 6 months | 3 years 6 months |
Weighted average exercise price | $ 4.35 | $ 3.08 |
Weighted average fair value | $ 1.78 | $ 1.40 |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected volatility | 53.10% | 60.80% |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected volatility | 54.20% | 61.30% |
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 | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | $ 212 | $ 391 |
Cost of Revenue [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 1 | 1 |
Engineering and Product Development [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 87 | 97 |
Marketing and Sales [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 59 | 0 |
General and Administrative Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | $ 65 | $ 293 |
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 | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |
Remaining expense | $ 1,579 |
Weighted average term | 1 year |
Stock-Based Compensation - Aggr
Stock-Based Compensation - Aggregate Intrinsic Value (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate intrinsic value, Stock option | $ 2,273 | $ 273 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate intrinsic value, Restricted stock | $ 1,396 | $ 1,789 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 1 Months Ended | ||||
Feb. 28, 2010 | Jul. 31, 2007 | Mar. 31, 2019 | Jan. 30, 2017 | Dec. 31, 2016 | |
Schedule Of Leases [Line Items] | |||||
Purchase obligations to suppliers for future product deliverables | $ 2,000,000 | ||||
VersaVue Software and DynaCAD Product and Related Assets [Member] | Asset Purchase Agreement [Member] | |||||
Schedule Of Leases [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 | ||||
CADx Medical Systems Inc [Member] | |||||
Schedule Of Leases [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) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Convertible Debentures [Member] | ||
Liabilities | ||
Total Liabilities | $ 9,495 | $ 6,970 |
Fair Value, Measurements, Recurring [Member] | ||
Assets | ||
Total Assets | 11,311 | 12,134 |
Liabilities | ||
Total Liabilities | 9,495 | 6,970 |
Fair Value, Measurements, Recurring [Member] | Convertible Debentures [Member] | ||
Liabilities | ||
Total Liabilities | 9,495 | 6,970 |
Fair Value, Measurements, Recurring [Member] | Money Market Accounts [Member] | ||
Assets | ||
Total Assets | 11,311 | 12,134 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | ||
Assets | ||
Total Assets | 11,311 | 12,134 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Money Market Accounts [Member] | ||
Assets | ||
Total Assets | 11,311 | 12,134 |
Fair Value, Measurements, Recurring [Member] | Level 3 [Member] | ||
Liabilities | ||
Total Liabilities | 9,495 | 6,970 |
Fair Value, Measurements, Recurring [Member] | Level 3 [Member] | Convertible Debentures [Member] | ||
Liabilities | ||
Total Liabilities | $ 9,495 | $ 6,970 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Reconciliation of Changes In Fair Value of Convertible Debentures (Detail) - Convertible Debentures [Member] $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Balance, December 31, 2018 | $ 6,970 |
Fair value adjustment | 2,525 |
Balance, March 31, 2019 | $ 9,495 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Income tax provision | $ 8,000 | $ 13,000 |
Deferred tax liability related to amortized goodwill | $ 3,000 | |
Unrecognized tax benefits | $ 0 |
Goodwill - Roll Forward of Good
Goodwill - Roll Forward of Goodwill Activity by Reportable Segment (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
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) |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 3 Months Ended | |
Mar. 31, 2019USD ($)Segment | Mar. 31, 2018USD ($) | |
Schedule Of Geographical Information [Line Items] | ||
Number of reporting segments | Segment | 2 | |
Total Export Sales | $ 6,773,000 | $ 6,313,000 |
Intersegment Eliminations [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 | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Segment revenues: | ||
Total revenue | $ 6,773 | $ 6,313 |
Segment gross profit: | ||
Segment gross profit | 5,282 | 4,498 |
Segment operating income (loss): | ||
Segment operating income (loss) | 523 | (1,079) |
General, administrative, depreciation and amortization expense | (1,557) | (2,069) |
Interest expense | (209) | (142) |
Other income | 59 | 22 |
Fair value of convertible debentures | (2,525) | |
Loss before income tax expense | (3,709) | (3,268) |
Product [Member] | ||
Segment revenues: | ||
Total revenue | 3,822 | 3,014 |
Service [Member] | ||
Segment revenues: | ||
Total revenue | 2,951 | 3,299 |
Detection [Member] | ||
Segment gross profit: | ||
Segment gross profit | 3,467 | 3,529 |
Segment operating income (loss): | ||
Segment operating income (loss) | 302 | (13) |
Detection [Member] | Product [Member] | ||
Segment revenues: | ||
Total revenue | 4,168 | 4,011 |
Therapy [Member] | ||
Segment gross profit: | ||
Segment gross profit | 1,815 | 969 |
Segment operating income (loss): | ||
Segment operating income (loss) | 221 | (1,066) |
Therapy [Member] | Service [Member] | ||
Segment revenues: | ||
Total revenue | $ 2,605 | $ 2,302 |