Anika Therapeutics (ANIK) 10-Q 28 Jul 17 2017 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2017	Jul. 20, 2017
Document Information [Line Items]
Entity Registrant Name	Anika Therapeutics, Inc.
Entity Central Index Key	898,437
Trading Symbol	anik
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		14,658,440
Document Type	10-Q
Document Period End Date	Jun. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q2
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 117,874	$ 104,261
Investments	25,000	20,500
Accounts receivable, net of reserves of $210 and $194 at June 30, 2017 and December 31, 2016, respectively	30,450	27,598
Inventories, net	17,584	15,983
Prepaid expenses and other current assets	1,973	2,098
Total current assets	192,881	170,440
Property and equipment, net	52,272	52,296
Long-term deposits and other	1,389	69
Intangible assets, net	10,626	10,227
Goodwill	7,836	7,214
Total assets	265,004	240,246
Current liabilities:
Accounts payable	5,465	2,303
Accrued expenses and other current liabilities	5,673	6,496
Income taxes payable	2,303	0
Total current liabilities	13,441	8,799
Other long-term liabilities	422	2,126
Deferred tax liability	7,003	6,548
Commitments and contingencies (Note 12)
Stockholders’ equity:
Preferred stock, $.01 par value; 1,250 shares authorized, no shares issued and outstanding at June 30, 2017 and December 31, 2016, respectively	0	0
Common stock, $.01 par value; 60,000 shares authorized, 14,658 and 14,627 shares issued and outstanding at June 30, 2017 and December 31, 2016, respectively	146	146
Additional paid-in-capital	65,171	61,735
Accumulated other comprehensive loss	(5,736)	(7,317)
Retained earnings	184,557	168,209
Total stockholders’ equity	244,138	222,773
Total liabilities and stockholders’ equity	$ 265,004	$ 240,246

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Accounts receivable, reserves	$ 210	$ 194
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	1,250	1,250
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	60,000	60,000
Common stock, shares issued (in shares)	14,658	14,627
Common stock, shares outstanding (in shares)	14,658	14,627

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Product revenue	$ 28,340	$ 26,575	$ 51,721	$ 48,853
Licensing, milestone and contract revenue	5,122	6	5,127	11
Total revenue	33,462	26,581	56,848	48,864
Operating expenses:
Cost of product revenue	6,315	6,065	12,398	11,490
Research and development	4,449	2,792	8,679	4,951
Selling, general and administrative	4,972	4,255	10,039	8,245
Total operating expenses	15,736	13,112	31,116	24,686
Income from operations	17,726	13,469	25,732	24,178
Interest income, net	16	49	74	121
Income before income taxes	17,742	13,518	25,806	24,299
Provision for income taxes	6,373	4,903	8,944	8,789
Net income	$ 11,369	$ 8,615	$ 16,862	$ 15,510
Basic net income per share:
Net income (in dollars per share)	$ 0.78	$ 0.59	$ 1.16	$ 1.05
Basic weighted average common shares outstanding (in shares)	14,588	14,679	14,582	14,778
Diluted net income per share:
Net income (in dollars per share)	$ 0.76	$ 0.57	$ 1.12	$ 1.02
Diluted weighted average common shares outstanding (in shares)	15,044	15,111	15,046	15,210
Net income	$ 11,369	$ 8,615	$ 16,862	$ 15,510
Other comprehensive income (loss):
Foreign currency translation adjustment	1,289	(536)	1,581	238
Comprehensive income	$ 12,658	$ 8,079	$ 18,443	$ 15,748

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Cash flows from operating activities:
Net income	$ 16,862	$ 15,510
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	2,022	1,901
Stock-based compensation expense	2,465	1,478
Deferred income taxes	589	(252)
Provision for doubtful accounts	(1)	52
Provision for inventory	287	181
Changes in operating assets and liabilities:
Accounts receivable	(2,449)	(2,932)
Inventories	(1,741)	(2,438)
Prepaid expenses, other current and long-term assets	(155)	186
Accounts payable	2,362	(4,252)
Accrued expenses and other current liabilities	(182)	446
Income taxes	2,303	(3,169)
Other long-term liabilities	(631)	351
Net cash provided by operating activities	21,731	7,062
Cash flows from investing activities:
Proceeds from maturity of investments	20,000	27,750
Purchase of investments	(24,500)	(22,499)
Purchase of property and equipment	(3,917)	(9,869)
Net cash used in investing activities	(8,417)	(4,618)
Cash flows from financing activities:
Repurchases of common stock	0	(25,000)
Proceeds from exercise of equity awards	209	922
Net cash provided by (used in) financing activities	209	(24,078)
Exchange rate impact on cash	90	52
Increase (decrease) in cash and cash equivalents	13,613	(21,582)
Cash and cash equivalents at beginning of period	104,261	110,707
Cash and cash equivalents at end of period	117,874	89,125
Non-cash Investing Activities:
Purchases of property and equipment included in accounts payable and accrued expenses	1,193	2,128
Build-to-suit lease agreement	$ 0	$ 482

Note 1 - Nature of Business

Note 1 - Nature of Business	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Nature of Operations [Text Block]	1. Anika Therapeutics, Inc. (the “Company”) is a global, integrated orthopedic medicines company committed to improving the lives of patients with degenerative orthopedic diseases and traumatic conditions with clinically meaningful therapies along the continuum of care, from palliative pain management to regenerative cartilage repair. The Company has over two The Company is subject to risks common to companies in the biotechnology and medical device industries including, but not

Note 2 - Basis of Presentation

Note 2 - Basis of Presentation	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Business Description and Basis of Presentation [Text Block]	2. The accompanying unaudited condensed consolidated financial statements and related notes have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) and in accordance with accounting principles generally accepted in the United States (“US GAAP”). The financial statements include the accounts of Anika Therapeutics, Inc. and its subsidiaries. Inter-company transactions and balances have been eliminated. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with US GAAP have been condensed or omitted pursuant to SEC rules and regulations relating to interim financial statements. The December 31, 2016 June 30, 2017, three six June 30, 2017 2016, six June 30, 2017 2016. The accompanying unaudited condensed consolidated financial statements and related notes should be read in conjunction with the Company’s annual financial statements filed with its Annual Report on Form 10 December 31, 2016. six June 30, 2017 not December 31, 2017. not no

Note 3 - Recent Accounting Pron

Note 3 - Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	3. Recently Issued In May 2014, No. 2014 09, Revenue from Contracts with Customers 2014 09 605, In July 2015, one 2014 09 December 15, 2017, not January 1, 2018 not not In February 2016, No. 2016 02, Leases 842 2016 02 2016 02 December 15, 2018. may 2016 02 In June 2016, No. 2016 13, Financial Instruments 326 2016 13 not 2016 13 January 1, 2020. not In January 2017, No. 2017 04, Intangibles-Goodwill and Other 350 . 2017 04 2 2 not December 15, 2019, not Recently Adopted In March 2016, No. 2016 09, Compensation - Stock Compensation 718 2016 09 2016 09 January 1, 2017. January 1, 2017, six June 30, 2016 $0.4 $0.4 January 1, 2017, 6 14

Note 4 - Investments

Note 4 - Investments	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Cash and Cash Equivalents Disclosure [Text Block]	4. All of the Company’s investments are classified as available-for-sale and are carried at fair value with unrealized gains and losses recorded as a component of accumulated other comprehensive income, net of related income taxes. The Company held bank certificates of deposit of $25.0 $20.5 June 30, 2017 December 31, 2016, no June 30, 2017 December 31, 2016.

Note 5 - Fair Value Measurement

Note 5 - Fair Value Measurements	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Fair Value Disclosures [Text Block]	5. Fair value is an exit price, representing the amount that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants based on assumptions that market participants would use in pricing an asset or liability. As a basis for classifying the fair value measurements, a three 1 2 3 no The Company’s investments are all classified within Level 2 2 third The fair value hierarchy of the Company’s cash equivalents and investments at fair value is as follows: Fair Value Measurements at Reporting June 30, 2017 Quoted Prices in Significant Other Significant Cash equivalents: Money market funds $ 66,244 $ - $ 66,244 $ - Investments: Bank certificates of deposit $ 25,000 $ - $ 25,000 $ - Fair Value Measurements at Reporting December 31, 2016 Quoted Prices in Significant Other Significant Cash equivalents: Money market funds $ 68,352 $ - $ 68,352 $ - Bank certificates of deposit 750 - 750 - Total cash equivalents $ 69,102 $ - $ 69,102 $ - Investments: Bank certificates of deposit $ 20,500 $ - $ 20,500 $ -

Note 6 - Equity Incentive Plan

Note 6 - Equity Incentive Plan	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	6. The Company estimates the fair value of stock options and stock appreciation rights (“SARs”) using the Black-Scholes valuation model. Fair value of restricted stock awards (“RSAs”) and restricted stock units (“RSUs”) are measured by the grant-date price of the Company’s shares. The fair value of each stock option award during the six June 30, 2017 2016, Six Months Ended June 30, 2017 2016 Risk free interest rate 1.65% - 1.78% 0.94% - 1.40% Expected volatility 42.54% - 44.30% 49.47% - 51.61% Expected life (years) 4 4.5 Expected dividend yield 0.00% 0.00% The Company recorded $1.3 $0.7 three June 30, 2017 2016, $2.5 $1.5 six June 30, 2017 2016, Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Cost of product revenue $ 102 $ 12 $ 199 $ 25 Research and development 153 41 163 143 Selling, general and administrative 1,029 608 2,103 1,310 Total stock-based compensation expense $ 1,284 $ 661 $ 2,465 $ 1,478 On June 13, 2017, 2017 “2017 2017 2003 “2003 2017 March 31, 2017. 2017 may no 1.2 may 2017 During the three June 30, 2017, 2,500 2017 3,000 2003 six June 30, 2017, 2,500 2017 0.4 2003 three one A portion of the stock options granted under the 2003 six June 30, 2017 not no In connection with the adoption of ASU 2016 09, January 1, 2017, June 30, 2017, $0.5

Note 7 - Earnings Per Share ("E

Note 7 - Earnings Per Share ("EPS")	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Earnings Per Share [Text Block]	7. Basic EPS is calculated by dividing net income by the weighted average number of shares outstanding during the period. Unvested restricted shares, although legally issued and outstanding, are not The following table provides share information used in the calculation of the Company's basic and diluted earnings per share (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Shares used in the calculation of basic earnings per share 14,588 14,679 14,582 14,778 Effect of dilutive securities: Stock options, SARs, and RSAs 456 432 464 432 Diluted shares used in the calculation of earnings per share 15,044 15,111 15,046 15,210 Equity awards of 0.7 three six June 30, 2017 not 0. three six June 30, 2016 not On February 26, 2016, $25.0 $25.0 0.4 February 29, 2016 $46.40 On August 26, 2016, $7.5 August 26, 2016. 0.1 August 31, 2016. 0.5 $47.08

Note 8 - Inventories

Note 8 - Inventories	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Inventory Disclosure [Text Block]	8. Inventories consist of the following: June 30, December 31, Raw materials $ 6,287 $ 5,884 Work-in-process 6,466 5,559 Finished goods 4,831 4,540 Total $ 17,584 $ 15,983

Note 9 - Intangible Assets

Note 9 - Intangible Assets	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Goodwill and Intangible Assets Disclosure [Text Block]	9. Intangible assets as of June 30, 2017 December 31, 2016 June 30, 2017 December 31, 2016 Gross Value Useful Life Accumulated Accumulated Net Book Net Book Value Developed technology $ 17,100 15 $ (2,879 ) $ (7,251 ) $ 6,970 $ 6,842 In-process research & development 4,406 Indefinite (1,174 ) - 3,232 2,973 Distributor relationships 4,700 5 (415 ) (4,285 ) - - Patents 1,000 16 (172 ) (404 ) 424 412 Elevess trade name 1,000 9 - (1,000 ) - - Total $ 28,206 $ (4,640 ) $ (12,940 ) $ 10,626 $ 10,227 The aggregate amortization expense related to intangible assets was $0.2 $0.3 three June 30, 2017 2016, $0.5 $0.6 six June 30, 2017 2016,

Note 10 - Goodwill

Note 10 - Goodwill	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Goodwill Disclosure [Text Block]	10. Through June 30, 2017, not may not Six Months Twelve Months Balance, beginning $ 7,214 $ 7,482 Effect of foreign currency adjustments 622 (268 ) Balance, ending $ 7,836 $ 7,214

Note 11 - Accrued Expenses

Note 11 - Accrued Expenses	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	11. Accrued expenses consist of the following: June 30, December 31, Compensation and related expenses $ 2,977 $ 3,089 Facility construction costs - 804 Research grants 399 463 Professional fees 1,015 802 Clinical trial costs 659 227 Deferred Rent 68 231 Other 555 880 Total $ 5,673 $ 6,496

Note 12 - Commitments and Conti

Note 12 - Commitments and Contingencies	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	12. In certain of its contracts, the Company warrants to its customers that the products it manufactures conform to the product specifications as in effect at the time of delivery of the specific product. The Company may not third no June 30, 2017 December 31, 2016 no The Company is also involved in various legal proceedings arising in the normal course of business. Although the outcomes of these legal proceedings are inherently difficult to predict, the Company does not

Note 13 - Leases

Note 13 - Leases	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Leases of Lessee Disclosure [Text Block]	13. On October 9, 2015, 33,000 fifteen March 1, 2017. three six six no ninth $0.3 Construction of the new facility commenced during the first 2016. March 1, 2017, $3.1 $0.8

Note 14 - Income Taxes

Note 14 - Income Taxes	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Income Tax Disclosure [Text Block]	14. Provisions for income taxes were $6.4 $8.9 three six June 30, 2017, 35.9% 34.7%, $4.9 $8.8 three six June 30, 2016, 36.3% 36.2%, three six June 30, 2017 for the three six June 30, 2017, 2016, 2016 09 $0.3 three six June 30, 2017, 0.0% 1.2%, 2016 09 $0.1 $0.4 three six June 30, 2016, The Company files income tax returns in the United States on a federal basis, in certain U.S. states, and in Italy. The associated tax filings remain subject to examination by applicable tax authorities for a certain length of time following the tax year to which those filings relate. The Company’s 2014 2012 In connection with the preparation of the financial statements, the Company performed an analysis to ascertain if it was more likely than not not not” not June 30, 2017 December 31, 2016.

Note 15 - Depuy Synthes Mitek S

Note 15 - Depuy Synthes Mitek Sports Medicine Monovisc Agreement	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Deferred Revenue Disclosure [Text Block]	15. In December 2011, fifteen $5.0 $100.0 12 June 2017.

Note 16 - Segment and Geographi

Note 16 - Segment and Geographic Information	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	16. The Company has one Product revenue by product group is as follows: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Orthobiologics $ 24,468 $ 23,304 $ 44,695 $ 42,891 Surgical 1,335 1,433 2,631 2,751 Dermal 453 582 878 963 Other 2,084 1,256 3,517 2,248 Product Revenue $ 28,340 $ 26,575 $ 51,721 $ 48,853 Total revenue by geographic location and as a percentage of overall total revenue for the three six June 30, 2017 2016 Three Months Ended June 30, 2017 2016 Total Percentage of Total Percentage of Geographic Location: United States $ 27,447 82 % $ 21,895 82 % Europe 4,060 12 % 2,977 11 % Other 1,955 6 % 1,709 7 % Total Revenue $ 33,462 100 % $ 26,581 100 % Six Months Ended June 30, 2017 2016 Total Percentage of Total Percentage of Geographic Location: United States $ 46,377 82 % $ 39,906 82 % Europe 6,889 12 % 5,542 11 % Other 3,582 6 % 3,416 7 % Total Revenue $ 56,848 100 % $ 48,864 100 %

Note 5 - Fair Value Measureme22

Note 5 - Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Fair Value, Assets Measured on Recurring Basis [Table Text Block]	Fair Value Measurements at Reporting June 30, 2017 Quoted Prices in Significant Other Significant Cash equivalents: Money market funds $ 66,244 $ - $ 66,244 $ - Investments: Bank certificates of deposit $ 25,000 $ - $ 25,000 $ - Fair Value Measurements at Reporting December 31, 2016 Quoted Prices in Significant Other Significant Cash equivalents: Money market funds $ 68,352 $ - $ 68,352 $ - Bank certificates of deposit 750 - 750 - Total cash equivalents $ 69,102 $ - $ 69,102 $ - Investments: Bank certificates of deposit $ 20,500 $ - $ 20,500 $ -

Note 6 - Equity Incentive Plan

Note 6 - Equity Incentive Plan (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Six Months Ended June 30, 2017 2016 Risk free interest rate 1.65% - 1.78% 0.94% - 1.40% Expected volatility 42.54% - 44.30% 49.47% - 51.61% Expected life (years) 4 4.5 Expected dividend yield 0.00% 0.00%
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Cost of product revenue $ 102 $ 12 $ 199 $ 25 Research and development 153 41 163 143 Selling, general and administrative 1,029 608 2,103 1,310 Total stock-based compensation expense $ 1,284 $ 661 $ 2,465 $ 1,478

Note 7 - Earnings Per Share (24

Note 7 - Earnings Per Share ("EPS") (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Shares used in the calculation of basic earnings per share 14,588 14,679 14,582 14,778 Effect of dilutive securities: Stock options, SARs, and RSAs 456 432 464 432 Diluted shares used in the calculation of earnings per share 15,044 15,111 15,046 15,210

Note 8 - Inventories (Tables)

Note 8 - Inventories (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Inventory, Current [Table Text Block]	June 30, December 31, Raw materials $ 6,287 $ 5,884 Work-in-process 6,466 5,559 Finished goods 4,831 4,540 Total $ 17,584 $ 15,983

Note 9 - Intangible Assets (Tab

Note 9 - Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Table Text Block]	June 30, 2017 December 31, 2016 Gross Value Useful Life Accumulated Accumulated Net Book Net Book Value Developed technology $ 17,100 15 $ (2,879 ) $ (7,251 ) $ 6,970 $ 6,842 In-process research & development 4,406 Indefinite (1,174 ) - 3,232 2,973 Distributor relationships 4,700 5 (415 ) (4,285 ) - - Patents 1,000 16 (172 ) (404 ) 424 412 Elevess trade name 1,000 9 - (1,000 ) - - Total $ 28,206 $ (4,640 ) $ (12,940 ) $ 10,626 $ 10,227

Note 10 - Goodwill (Tables)

Note 10 - Goodwill (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Goodwill [Table Text Block]	Six Months Twelve Months Balance, beginning $ 7,214 $ 7,482 Effect of foreign currency adjustments 622 (268 ) Balance, ending $ 7,836 $ 7,214

Note 11 - Accrued Expenses (Tab

Note 11 - Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Accrued Liabilities [Table Text Block]	June 30, December 31, Compensation and related expenses $ 2,977 $ 3,089 Facility construction costs - 804 Research grants 399 463 Professional fees 1,015 802 Clinical trial costs 659 227 Deferred Rent 68 231 Other 555 880 Total $ 5,673 $ 6,496

Note 16 - Segment and Geograp29

Note 16 - Segment and Geographic Information (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Orthobiologics $ 24,468 $ 23,304 $ 44,695 $ 42,891 Surgical 1,335 1,433 2,631 2,751 Dermal 453 582 878 963 Other 2,084 1,256 3,517 2,248 Product Revenue $ 28,340 $ 26,575 $ 51,721 $ 48,853
Schedule of Revenue and Operating Income by Geographical Areas [Table Text Block]	Three Months Ended June 30, 2017 2016 Total Percentage of Total Percentage of Geographic Location: United States $ 27,447 82 % $ 21,895 82 % Europe 4,060 12 % 2,977 11 % Other 1,955 6 % 1,709 7 % Total Revenue $ 33,462 100 % $ 26,581 100 % Six Months Ended June 30, 2017 2016 Total Percentage of Total Percentage of Geographic Location: United States $ 46,377 82 % $ 39,906 82 % Europe 6,889 12 % 5,542 11 % Other 3,582 6 % 3,416 7 % Total Revenue $ 56,848 100 % $ 48,864 100 %

Note 3 - Recent Accounting Pr30

Note 3 - Recent Accounting Pronouncements (Details Textual) $ in Millions	6 Months Ended
	Jun. 30, 2017USD ($)
Reclassification from Net Cash Used in Financing Activities to Net Cash Provided by Operating Activities [Member] | Three Months Ended March 31, 2016 [Member]
Prior Period Reclassification Adjustment	$ 0.4

Note 4 - Investments (Details T

Note 4 - Investments (Details Textual) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Available-for-sale Securities, Accumulated Gross Unrealized Gain (Loss), before Tax	$ 0	$ 0
Certificates of Deposit [Member]
Available-for-sale Securities	$ 25,000	$ 20,500

Note 5 - Fair Value Measureme32

Note 5 - Fair Value Measurements - Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Cash equivalents		$ 69,102
Investments	$ 25,000	20,500
Fair Value, Inputs, Level 1 [Member]
Cash equivalents
Fair Value, Inputs, Level 2 [Member]
Cash equivalents		69,102
Fair Value, Inputs, Level 3 [Member]
Cash equivalents
Money Market Funds [Member]
Cash equivalents	66,244	68,352
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member]
Cash equivalents
Money Market Funds [Member] | Fair Value, Inputs, Level 2 [Member]
Cash equivalents	66,244	68,352
Money Market Funds [Member] | Fair Value, Inputs, Level 3 [Member]
Cash equivalents
Certificates of Deposit [Member]
Cash equivalents	25,000	750
Investments		20,500
Certificates of Deposit [Member] | Fair Value, Inputs, Level 1 [Member]
Cash equivalents
Investments
Certificates of Deposit [Member] | Fair Value, Inputs, Level 2 [Member]
Cash equivalents	25,000	750
Investments		20,500
Certificates of Deposit [Member] | Fair Value, Inputs, Level 3 [Member]
Cash equivalents
Investments

Note 6 - Equity Incentive Pla33

Note 6 - Equity Incentive Plan (Details Textual) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Jun. 13, 2017	Jan. 01, 2017
Retained Earnings [Member] | Accounting Standards Update 2016-09 [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption						$ (0.5)
The 2017 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized					1.2
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	2,500		2,500
The 2003 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	3,000		400,000
Restricted Stock and Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value	$ 1.3	$ 0.7	$ 2.5	$ 1.5
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			3 years
Restricted Stock Units (RSUs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			1 year

Note 6 - Equity Incentive Pla34

Note 6 - Equity Incentive Plan - Assumptions Used to Estimate Fair Value of Stock Options and Stock Appreciation Rights Awards (Details)	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Expected life (years) (Year)	4 years	4 years 182 days
Expected dividend yield	0.00%	0.00%
Minimum [Member]
Risk free interest rate	1.65%	0.94%
Expected volatility	42.54%	49.47%
Maximum [Member]
Risk free interest rate	1.78%	1.40%
Expected volatility	44.30%	51.61%

Note 6 - Equity Incentive Pla35

Note 6 - Equity Incentive Plan - Total Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Stock-based compensation expense	$ 1,284	$ 661	$ 2,465	$ 1,478
Cost of Sales [Member]
Stock-based compensation expense	102	12	199	25
Research and Development Expense [Member]
Stock-based compensation expense	153	41	163	143
Selling, General and Administrative Expenses [Member]
Stock-based compensation expense	$ 1,029	$ 608	$ 2,103	$ 1,310

Note 7 - Earnings Per Share (36

Note 7 - Earnings Per Share ("EPS") (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	Aug. 31, 2016	Feb. 29, 2016	Feb. 26, 2016	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Aug. 31, 2016	Jun. 30, 2016	Aug. 26, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount				700,000	300,000	0.7		0.3
Payments for Repurchase of Common Stock						$ 0		$ 25,000
Accelerated Stock Repurchase [Member] | Morgan Stanley & Co., LLC [Member]
Payments for Repurchase of Common Stock			$ 25,000
Stock Repurchased and Retired During Period, Shares	100,000	400,000					500,000
Accelerated Stock Repurchase [Member] | Morgan Stanley & Co., LLC [Member] | Common Stock [Member]
Stock Repurchase Program, Authorized Amount			$ 25,000
Accelerated Share Repurchases, Initial Price Paid Per Share		$ 46.40
Accelerated Share Repurchases, Settlement (Payment) or Receipt									$ 7,500
Accelerated Share Repurchases, Final Price Paid Per Share							$ 47.08

Note 7 - Earnings Per Share (37

Note 7 - Earnings Per Share ("EPS") - Basic and Diluted Earnings Per Share (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Basic weighted average common shares outstanding (in shares)	14,588	14,679	14,582	14,778
Effect of dilutive securities:
Stock options, SARs, and RSAs (in shares)	456	432	464	432
Diluted shares used in the calculation of earnings per share (in shares)	15,044	15,111	15,046	15,210

Note 8 - Inventories - Inventor

Note 8 - Inventories - Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Raw materials	$ 6,287	$ 5,884
Work-in-process	6,466	5,559
Finished goods	4,831	4,540
Total	$ 17,584	$ 15,983

Note 9 - Intangible Assets (Det

Note 9 - Intangible Assets (Details Textual) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Amortization of Intangible Assets	$ 0.2	$ 0.3	$ 0.5	$ 0.6

Note 9 - Intangible Assets - In

Note 9 - Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Intangible assets, net	$ 10,626	$ 10,227
Gross Value	28,206
Accumulated Currency Translation Adjustment	(4,640)
Accumulated Amortization	(12,940)
In Process Research and Development [Member]
Intangible assets, net	3,232	2,973
Gross Value	4,406
Accumulated Currency Translation Adjustment	(1,174)
Developed Technology Rights [Member]
Intangible assets, net	6,970	6,842
Gross Value	$ 17,100
Useful Life (Year)	15 years
Accumulated Currency Translation Adjustment	$ (2,879)
Accumulated Amortization	(7,251)
Distribution Rights [Member]
Intangible assets, net
Gross Value	$ 4,700
Useful Life (Year)	5 years
Accumulated Currency Translation Adjustment	$ (415)
Accumulated Amortization	(4,285)
Patents [Member]
Intangible assets, net	424	412
Gross Value	$ 1,000
Useful Life (Year)	16 years
Accumulated Currency Translation Adjustment	$ (172)
Accumulated Amortization	(404)
Elevess Trade Name [Member]
Intangible assets, net
Gross Value	$ 1,000
Useful Life (Year)	9 years
Accumulated Currency Translation Adjustment
Accumulated Amortization	$ (1,000)

Note 10 - Goodwill - Changes in

Note 10 - Goodwill - Changes in the Carrying Value of Goodwill (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Balance	$ 7,214	$ 7,482
Effect of foreign currency adjustments	622	(268)
Balance	$ 7,836	$ 7,214

Note 11 - Accrued Expenses - Ac

Note 11 - Accrued Expenses - Accrued Expenses (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Compensation and related expenses	$ 2,977	$ 3,089
Facility construction costs		804
Research grants	399	463
Professional fees	1,015	802
Clinical trial costs	659	227
Deferred Rent	68	231
Other	555	880
Total	$ 5,673	$ 6,496

Note 12 - Commitments and Con43

Note 12 - Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Standard and Extended Product Warranty Accrual	$ 0	$ 0

Note 13 - Leases (Details Textu

Note 13 - Leases (Details Textual) - European Headquarters Facility [Member] $ in Millions	Oct. 09, 2015ft²	Jun. 30, 2017USD ($)	Mar. 01, 2017USD ($)
Area of Real Estate Property | ft²	33,000
Lessee Leasing Arrangements, Term of Contract	15 years
Lessee Leasing Arrangements, Number of Renewal Terms	3
Lessee Leasing Arrangements, Renewal Term	6 years
Lessee Leasing Arrangements Ability to Withdraw With Penalty	6 years
Lessee Leasing Arrangements Ability to Withdrawn Without Penalty	9 years
Lessee Leasing Arrangements Initial Yearly Rent		$ 0.3
Construction in Progress, Gross			$ 3.1
Deposits and Other Assets, Noncurrent [Member]
Lessee Leasing Arrangements, Additional Tenant Improvements		$ 0.8

Note 14 - Income Taxes (Details

Note 14 - Income Taxes (Details Textual) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Income Tax Expense (Benefit)	$ 6,373	$ 4,903	$ 8,944	$ 8,789
Effective Income Tax Rate Reconciliation, Percent	35.90%	36.30%	34.70%	36.20%
Decrease in Effective Income Tax Rate due to Excess Tax Benefits from Share-based Compensation	0.00%		1.20%
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation		$ 100		$ 400
Deferred Tax Assets, Valuation Allowance	$ 0		$ 0		$ 0
Excess Tax Benefits from Share-based Compensation	$ 300		$ 300

Note 15 - Depuy Synthes Mitek46

Note 15 - Depuy Synthes Mitek Sports Medicine Monovisc Agreement (Details Textual) - Mitek MONOVISC Agreement [Member] - USD ($) $ in Millions	1 Months Ended	6 Months Ended
	Dec. 31, 2011	Jun. 30, 2017
License Agreement Term	15 years
Revenue Recognition, Milestone Method, Revenue Recognized		$ 5
Revenue Recognition, Milestone Method, End User Sales Threshold		$ 100

Note 16 - Segment and Geograp47

Note 16 - Segment and Geographic Information (Details Textual)	6 Months Ended
	Jun. 30, 2017
Number of Reportable Segments	1

Note 16 - Segment and Geograp48

Note 16 - Segment and Geographic Information - Product Revenue by Product Group (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Product revenue	$ 28,340	$ 26,575	$ 51,721	$ 48,853
Orthobiologics [Member]
Product revenue	24,468	23,304	44,695	42,891
Surgical [Member]
Product revenue	1,335	1,433	2,631	2,751
Dermal [Member]
Product revenue	453	582	878	963
Other [Member]
Product revenue	$ 2,084	$ 1,256	$ 3,517	$ 2,248

Note 16 - Segment and Geograp49

Note 16 - Segment and Geographic Information - Total Revenue by Geographic Location (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Total Revenue	$ 33,462	$ 26,581	$ 56,848	$ 48,864
Percentage of Revenue	100.00%	100.00%	100.00%	100.00%
UNITED STATES
Total Revenue	$ 27,447	$ 21,895	$ 46,377	$ 39,906
Percentage of Revenue	82.00%	82.00%	82.00%	82.00%
Europe [Member]
Total Revenue	$ 4,060	$ 2,977	$ 6,889	$ 5,542
Percentage of Revenue	12.00%	11.00%	12.00%	11.00%
Other Location [Member]
Total Revenue	$ 1,955	$ 1,709	$ 3,582	$ 3,416
Percentage of Revenue	6.00%	7.00%	6.00%	7.00%