Cover Page
Cover Page | 12 Months Ended | |||
Dec. 31, 2019 | Feb. 20, 2020shares | Jun. 30, 2019AUD ($) | Jun. 30, 2019USD ($) | |
Cover [Abstract] | ||||
Document Type | 10-K | |||
Amendment Flag | false | |||
Document Period End Date | Dec. 31, 2019 | |||
Document Fiscal Year Focus | 2019 | |||
Document Fiscal Period Focus | FY | |||
Trading Symbol | UBI | |||
Entity Registrant Name | UNIVERSAL BIOSENSORS INC | |||
Entity Central Index Key | 0001279695 | |||
Current Fiscal Year End Date | --12-31 | |||
Entity Well-known Seasoned Issuer | No | |||
Entity Current Reporting Status | Yes | |||
Entity Voluntary Filers | No | |||
Entity Filer Category | Non-accelerated Filer | |||
Entity Shell Company | false | |||
Entity Small Business | true | |||
Entity Emerging Growth Company | true | |||
Entity Ex Transition Period | false | |||
Entity Common Stock, Shares Outstanding | 177,571,854 | |||
Entity Interactive Data Current | Yes | |||
Entity Address, Country | AU | |||
Entity Public Float | $ 22,307,806 | $ 15,644,464 |
Consolidated Balance Sheets
Consolidated Balance Sheets - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 30,229,530 | $ 11,797,789 |
Inventories, net | 1,078,064 | 744,466 |
Accounts receivable | 116,626 | 50,209,561 |
Prepayments | 135,764 | 158,492 |
Restricted cash | 2,055,473 | 15,589 |
Other current assets | 3,457,438 | 1,105,291 |
Total current assets | 37,072,895 | 64,031,188 |
Non-current assets: | ||
Property, plant and equipment | 29,021,868 | 29,101,932 |
Less accumulated depreciation | (24,271,802) | (23,475,544) |
Property, plant and equipment - net | 4,750,066 | 5,626,388 |
Intangible assets | 16,371,996 | 0 |
Less amortization of intangible assets | (443,819) | 0 |
Intangible assets - net | 15,928,177 | 0 |
Restricted cash | 4,907,904 | 320,000 |
Total non-current assets | 25,586,147 | 5,946,388 |
Total assets | 62,659,042 | 69,977,576 |
Current liabilities: | ||
Accounts payable | 615,377 | 695,405 |
Income taxes payable | 0 | 4,352,564 |
Accrued expenses | 1,015,251 | 1,696,644 |
Contingent consideration | 2,141,022 | 0 |
Other liabilities | 2,924,069 | 2,902,525 |
Deferred revenue | 2,682,404 | 2,356,583 |
Employee entitlements liabilities | 782,414 | 1,196,899 |
Total current liabilities | 10,160,537 | 13,200,620 |
Non-current liabilities: | ||
Asset retirement obligations | 2,600,000 | 2,600,000 |
Employee entitlements liabilities | 32,443 | 39,468 |
Deferred income tax liability | 3,050,837 | 0 |
Deferred revenue | 1,421,680 | 3,463,737 |
Total non-current liabilities | 7,104,960 | 6,103,205 |
Total liabilities | 17,265,497 | 19,303,825 |
Commitments and contingencies | 0 | 0 |
Stockholders' equity: | ||
Common stock, US$0.0001 par value. Authorized 300,000,000 shares; issued and outstanding 177,571,854 shares in 2019 (2018: 177,243,520) | 17,757 | 17,724 |
Additional paid-in capital | 93,396,802 | 93,815,185 |
Accumulated deficit | (42,832,987) | (80,397,343) |
Current year income/(loss) | (4,846,285) | 37,564,356 |
Accumulated other comprehensive loss | (341,742) | (326,171) |
Total stockholders' equity | 45,393,545 | 50,673,751 |
Total liabilities and stockholders' equity | $ 62,659,042 | $ 69,977,576 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 177,571,854 | 177,243,520 |
Common stock, shares outstanding | 177,571,854 | 177,243,520 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income/(Loss) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue | ||
Total revenue | $ 6,897,199 | $ 69,456,914 |
Operating costs & expenses | ||
Total cost of goods sold & services | 3,571,693 | 2,511,479 |
Contribution from products & services | 3,325,506 | 66,945,435 |
Other operating costs & expenses | ||
Product support | 47,857 | 227,517 |
Depreciation and amortization expenses | 1,159,654 | 1,721,882 |
Research and development | 5,535,212 | 11,578,246 |
General and administrative | 6,982,606 | 6,995,089 |
Total operating costs & expenses | 13,725,329 | 20,522,734 |
Profit/(loss) from operations | (10,399,823) | 46,422,701 |
Other income/(expense) | ||
Interest income | 825,944 | 491,038 |
Financing costs | 0 | (2,991,117) |
Research and development tax incentive income | 2,802,697 | 0 |
Exchange gain | 550,251 | 577,505 |
Impairment of fixed assets | 0 | (2,574,709) |
Other | 57,167 | (8,498) |
Total other income/(expense) | 4,236,059 | (4,505,781) |
Net income/(loss) before tax | (6,163,764) | 41,916,920 |
Income tax benefit/(expense) | 1,317,479 | (4,352,564) |
Net income/(loss) | $ (4,846,285) | $ 37,564,356 |
Earnings per share | ||
Basic net income/(loss) per share | $ (0.03) | $ 0.21 |
Average weighted number of shares - basic | 177,481,639 | 176,732,183 |
Diluted net income/(loss) per share | $ (0.03) | $ 0.21 |
Average weighted number of shares - diluted | 177,481,639 | 177,152,938 |
Other comprehensive gain/(loss), net of tax: | ||
Foreign currency translation reserve | $ (15,571) | $ (24,462) |
Reclassification for (gains)/losses realized in net income | 0 | 0 |
Other comprehensive gain/(loss) | (15,571) | (24,462) |
Comprehensive gain/(loss) | (4,861,856) | 37,539,894 |
Product [Member] | ||
Revenue | ||
Total revenue | 4,863,347 | 1,672,321 |
Operating costs & expenses | ||
Total cost of goods sold & services | 2,866,081 | 1,607,340 |
Service [Member] | ||
Revenue | ||
Total revenue | 2,033,852 | 67,784,593 |
Operating costs & expenses | ||
Total cost of goods sold & services | $ 705,612 | $ 904,139 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity and Comprehensive Income/(Loss) - AUD ($) | Total | Ordinary Shares [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] |
Beginning Balance at Dec. 31, 2017 | $ 12,769,319 | $ 17,650 | $ 93,450,721 | $ (80,397,343) | $ (301,709) |
Beginning Balance, Shares at Dec. 31, 2017 | 176,498,550 | ||||
Net income/(loss) | 37,564,356 | $ 0 | 0 | 37,564,356 | 0 |
Other comprehensive loss | (24,462) | 0 | 0 | 0 | (24,462) |
Exercise of stock options issued to employees | 0 | $ 55 | (55) | 0 | 0 |
Exercise of stock options issued to employees, Shares | 553,334 | ||||
Shares issued to employees | 45,993 | $ 19 | 45,974 | 0 | 0 |
Shares issued to employees, shares | 191,636 | ||||
Stock option expense | 318,545 | $ 0 | 318,545 | 0 | 0 |
Ending Balance at Dec. 31, 2018 | 50,673,751 | $ 17,724 | 93,815,185 | (42,832,987) | (326,171) |
Ending Balance, Shares at Dec. 31, 2018 | 177,243,520 | ||||
Net income/(loss) | (4,846,285) | $ 0 | 0 | (4,846,285) | 0 |
Other comprehensive loss | (15,571) | 0 | 0 | 0 | (15,571) |
Exercise of stock options issued to employees | 3,400 | $ 33 | 3,367 | 0 | 0 |
Exercise of stock options issued to employees, Shares | 328,334 | ||||
Stock option expense | (421,750) | $ 0 | (421,750) | 0 | 0 |
Ending Balance at Dec. 31, 2019 | $ 45,393,545 | $ 17,757 | $ 93,396,802 | $ (47,679,272) | $ (341,742) |
Ending Balance, Shares at Dec. 31, 2019 | 177,571,854 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities provided by: | ||
Net income/(loss) | $ (4,846,285) | $ 37,564,356 |
Adjustments to reconcile net income/(loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 1,510,171 | 2,113,454 |
Share based payments expense | (421,750) | 318,545 |
Impairment of fixed assets | 0 | 2,574,709 |
Loss on disposal of fixed assets | 5,440 | 8,498 |
Unrealized foreign exchange gains | (2,185,332) | (472,934) |
Financing costs - amortization of warrants | 0 | 213,359 |
Change in assets and liabilities: | ||
Inventory | 35,243 | (82,334) |
Accounts receivable | 50,092,936 | (45,812,293) |
Prepayment and other assets | (2,329,419) | 483,774 |
Income tax payable | (4,352,564) | 4,352,564 |
Deferred revenue | (1,716,236) | 0 |
Employee entitlements | (421,510) | (356,643) |
Accounts payable and accrued expenses | (2,131,063) | 859,382 |
Net cash provided by operating activities | 33,239,631 | 1,764,437 |
Cash flows from investing activities: | ||
Proceeds from sale of property, plant and equipment | 22,505 | 2,582 |
Purchases of property, plant and equipment | (137,667) | (448,867) |
Proceeds from government grants in relation to property, plant & equipment | 3,376 | 89,500 |
Acquisition of assets | (10,169,456) | 0 |
Net cash used in investing activities | (10,281,242) | (356,785) |
Cash flows from financing activities: | ||
Repayment of borrowings | 0 | (20,689,655) |
Borrowing costs | 0 | (256,410) |
Proceeds from stock options exercised | 3,400 | 0 |
Net cash provided by/(used in) financing activities | 3,400 | (20,946,065) |
Net increase/(decrease) in cash, cash equivalents and restricted cash | 22,961,789 | (19,538,413) |
Cash, cash equivalents and restricted cash at beginning of period | 12,133,378 | 29,495,227 |
Effect of exchange rate fluctuations on the balances of cash held in foreign currencies | 2,097,740 | 2,176,564 |
Cash, cash equivalents and restricted cash at end of period | $ 37,192,907 | $ 12,133,378 |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | (1) Basis of Presentation These consolidated financial statements are presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). All amounts are expressed in Australian dollars (“AUD” or “A$”) unless otherwise stated. Unless otherwise noted, references to “Universal Biosensors”, the “Company,” “Group,” “we,” “our” or “us” means Universal Biosensors, Inc. (“UBI”) a Delaware corporation and, when applicable, its wholly owned Australian operating subsidiary, Universal Biosensors Pty Ltd (“UBS”) and its wholly owned Canadian operating subsidiary, Hemostasis Reference Laboratory Inc. (“HRL”). The Company’s consolidated financial statements have been prepared assuming the Company will continue as a going concern. We rely largely on our existing cash and cash equivalents balance and operating cash flow to provide for the working capital needs of our operations. We believe we have sufficient cash and cash equivalents to fund our operations for at least the next twelve months from the date of issuance. However, in the event, our financing needs for the foreseeable future are not able to be met by our existing cash and cash equivalents balance and operating cash flow, we would seek to raise funds through public or private equity offerings, debt financings, and through other means to meet the financing requirements. There is no assurance that funding would be available at acceptable terms, if at all. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | (2) Summary of Significant Accounting Policies Principles of Consolidation The consolidated financial statements include the financial statements of the Company and its wholly owned subsidiaries, UBS and HRL. All intercompany balances and transactions have been eliminated on consolidation. Use of Estimates The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Significant items subject to such estimates and assumptions include the recognition of revenue, initial recognition of intangible assets, carrying value of intangible assets and their useful lives, carrying amount of property, plant and equipment, income tax expense, deferred income taxes, asset retirement obligations, liabilities related to employee benefits and research and development tax incentive income. Actual results could differ from those estimates. Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments purchased with an initial maturity of three months or less to be cash equivalents. For cash and cash equivalents, the carrying amount approximates fair value due to the short maturity of those instruments. The Company maintains cash and restricted cash, which includes performance guarantee issued in favor of a customer, tenant security deposits and credit card security deposits. As at December 31, 2019 and 2018, the Company has not realized any losses in such cash accounts and believes it is not exposed to any significant risk of loss. Short-Term Investments (Held-to-maturity) Short-term investments constitute all highly liquid investments with term to maturity from three months to twelve months. The carrying amount of short-term investments is equivalent to their fair value. Concentration of Credit Risk and Other Risks and Uncertainties Cash and cash equivalents and accounts receivable consist of financial instruments that potentially subject the Company to concentration of credit risk to the extent of the amount recorded on the consolidated balance sheets. The Company’s cash and cash equivalents are primarily invested with one of Australia’s largest banks. The Company is exposed to credit risk in the event of default by the banks holding the cash or cash equivalents to the extent of the amount recorded on the consolidated balance sheets. The Company has not experienced any losses on its deposits of cash and cash equivalents. The Company has not identified any collectability issues with respect to receivables. Derivative Instruments and Hedging Activities Derivative financial instruments The Company may use derivative financial instruments to hedge its foreign exchange exposure arising from operating, investing and financing activities. The Company does not hold or issue derivative financial instruments for trading purposes. However, derivatives that do not qualify for hedge accounting are accounted for as trading instruments. Derivative financial instruments are recognized initially at fair value. Subsequent to initial recognition, derivative financial instruments are stated at fair value. The gain or loss on remeasurement to fair value is recognized immediately in the income statement. However, where derivatives qualify for hedge accounting, recognition of any resultant gain or loss depends on the nature of the item being hedged. Cash flow hedges Exposure to foreign exchange risks arises in the normal course of the Company’s business and it is the Company’s policy to use forward exchange contracts to hedge anticipated sales and purchases in foreign currencies. The amount of forward cover taken is in accordance with approved policy and internal forecasts. Where a derivative financial instrument is designated as a hedge of the variability in cash flows of a recognized asset or liability, or a highly probable forecast transaction, the effective part of any unrealized gain or loss on the derivative financial instrument is recognized directly in equity. When the forecast transaction subsequently results in the recognition of a non-financial non-financial non-financial For cash flow hedges, other than those covered by the preceding statement, the associated cumulative gain or loss is removed from equity and recognized in the consolidated statements of comprehensive income in the same period or periods during which the hedged forecast transaction affects the consolidated statements of comprehensive income and on the same line item as that hedged forecast transaction. The ineffective part of any gain or loss is recognized immediately in the consolidated statements of comprehensive income. When a hedging instrument expires or is sold, terminated or exercised, or the Company revokes designation of the hedge relationship but the hedged forecast transaction is still probable to occur, the cumulative gain or loss at that point remains in equity and is recognized in accordance with the above policy when the transaction occurs. If the hedged transaction is no longer expected to take place, then the cumulative unrealized gain or loss recognized in equity is recognized immediately in the consolidated statements of comprehensive income. Derivative Instruments and Hedging Activities In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as consider our own and counterparty credit risk. For years ended December 31, 2019 and 2018, we did not have any assets or liabilities that utilize Level 3 inputs. The valuation of our foreign exchange derivatives are based on the market approach using observable market inputs, such as forward rates and incorporate non-performance Fair Value of Financial Instruments The carrying value of all current assets and current liabilities approximates fair value because of their short-term nature. The estimated fair value of all other amounts has been determined, depending on the nature and complexity of the assets or the liability, by using one or all of the following approaches: • Market approach – based on market prices and other information from market transactions involving identical or comparable assets or liabilities. • Cost approach – based on the cost to acquire or construct comparable assets less an allowance for functional and/or economic obsolescence. • Income approach – based on the present value of a future stream of net cash flows. These fair value methodologies depend on the following types of inputs: • Quoted prices for identical assets or liabilities in active markets (Level 1 inputs). • Quoted prices for similar assets or liabilities in active markets or quoted prices for identical or similar assets or liabilities in markets that are not active or are directly or indirectly observable (Level 2 inputs). • Unobservable inputs that reflect estimates and assumptions (Level 3 inputs). Inventory Inventories are stated at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and estimated costs necessary to dispose. Inventories are principally determined under the average cost method which approximates cost. Cost comprises direct materials, direct labour and an appropriate portion of variable and fixed overhead expenditure, the latter being allocated on the basis of normal operating capacity. Costs of purchased inventory are determined after deducting rebates and discounts. Years Ended December 31, 2019 2018 A$ A$ Raw materials 411,233 302,056 Work in progress 213,080 442,410 Finished goods 453,751 0 1,078,064 744,466 Receivables Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts is the best estimate of the amount of probable credit losses in the existing accounts receivable. The allowance is determined based on a review of individual accounts for collectability, generally focusing on those accounts that are past due. The expense to adjust the allowance for doubtful accounts, if any, is recorded within general and administrative expenses in the consolidated statements of comprehensive income. Account balances are charged against the allowance when it is probable the receivable will not be recovered. Years Ended December 31, 2019 2018 A$ A$ Accounts receivable 116,626 50,209,561 Allowance for doubtful debts 0 0 116,626 50,209,561 Property, Plant, and Equipment - net Property, plant, and equipment are recorded at acquisition cost, less accumulated depreciation. Depreciation on plant and equipment is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful life of machinery and equipment is 3 to 10 years. Leasehold improvements are amortized on the straight-line method over the shorter of the remaining lease term or estimated useful life of the asset. Maintenance and repairs that do not extend the life of the asset are charged to operations as incurred, include normal services, and do not include items of a capital nature. The Company received Commonwealth of Australia grant monies under grant agreements to support its development activities (refer section on “Government grants”), including in connection with the purchase of plant and equipment. Plant and equipment is presented net of the government grant. The grant monies are recognized against the acquisition costs of the related plant and equipment as and when the related assets are purchased. Impairment of Long-Lived Assets The Company reviews its capital assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable. In performing the review, the Company estimates undiscounted cash flows from products under development that are covered by these patents and licenses. An impairment loss is recognized when estimated undiscounted future cash flows expected to result from the use of the asset and its eventual disposition is less than the carrying amount of the asset. If the evaluation indicates that the carrying value of an asset is not recoverable from its undiscounted cash flows, an impairment loss is measured by comparing the carrying value of the asset to its fair value, based on discounted cash flows. Impairment of long-lived assets as at December 31, 2019 and 2018 were A$2,574,709. Other Liabilities Other liabilities represent a Research and Development Research and development expenses consist of costs incurred to further the Group’s research and product development activities and include salaries and related employee benefits, costs associated with clinical trial and preclinical development, regulatory activities, research-related overhead expenses, costs associated with the manufacture of clinical trial material, costs associated with developing a commercial manufacturing process, costs for consultants and related contract research, facility costs and depreciation. Research and development costs are expensed as incurred. Income Taxes The Company applies ASC 740 - Income Taxes which establishes financial accounting and reporting standards for the effects of income taxes that result from a company’s activities during the current and preceding years. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Where it is more likely than not that some portion or all of the deferred tax assets will not be realized, the deferred tax assets are reduced by a valuation allowance. The valuation allowance is sufficient to reduce the deferred tax assets to the amount that is more likely than not to be realized. A reconciliation of the valuation and qualifying accounts is attached as Schedule ii. Pursuant to the new U.S. tax reform rules, UBI is subject to regulations addressing Global Intangible Low-Taxed We are subject to income taxes in the United States, Canada and Australia. Tax returns up to and including the 2018 financial year has been filed in all these jurisdictions. Asset Retirement Obligations Asset retirement obligations (“ARO”) are legal obligations associated with the retirement and removal of long-lived assets. ASC 410 – Asset Retirement and Environmental Obligations requires entities to record the fair value of a liability for an asset retirement obligation when it is incurred. When the liability is initially recorded, the Company capitalizes the cost by increasing the carrying amounts of the related property, plant and equipment. Over time, the liability increases for the change in its present value, while the capitalized cost depreciates over the useful life of the asset. The Company derecognizes ARO liabilities when the related obligations are settled. The ARO is in relation to our premises where in accordance with the terms of the lease, the lessee has to restore part of the building upon vacating the premises. ARO for the years ended December 31, 2019, and 2018 was A$2,600,000. Australian Goods and Services Tax (“GST”) and Canadian Harmonized Sales Tax (“HST”) Revenues, expenses and assets are recognized net of the amount of associated GST and HST, unless the GST and HST incurred is not recoverable from the taxation authority. In this case it is recognized as part of the cost of acquisition of the asset or as part of the expense. Receivables and payables are stated inclusive of the amount of GST and HST receivable or payable. The net amount of GST and HST recoverable from, or payable to, the taxation authority is included with other receivables or payables in the consolidated balance sheets. Revenue Recognition Revenue from products and services A. Significant accounting policy Year ended December 31, 2018 For the 2018 financial year, we recognized revenue from all sources based on the provisions of the U.S. SEC’s Staff Accounting Bulletin No. 104 and ASC 605 Revenue Recognition. The Company’s revenue represents revenue from sales of products, provision of services and collaborative research and development agreements. We recognize revenue from sales of products at the time title of goods passes to the buyer and the buyer assumes the risks and rewards of ownership, assuming all other revenue recognition criteria have been met. Generally, this is at the time products are shipped to the customer. Revenue from services is recognized when a persuasive evidence of an arrangement exists, services have been rendered, the price is fixed or determinable. Year ended December 31, 2019 We recognize revenue from all sources, other than those received from LifeScan as outlined below, based on the provisions of ASC 606 Revenue from Contracts with Customers. Revenue is measured based on a consideration specified in a contract with a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. The modified retrospective method has been used in adopting the guidance of ASC 606. There has been no change in accounting principle and the financial statements have not been affected by the application of the guidance in ASC 606. During the 2018 financial year, LifeScan effected the LifeScan Conversion. As a result of the LifeScan Conversion, beyond the 2018 financial year, the Company will no longer receive any quarterly service fees from LifeScan. Since we will no longer be receiving any substantial revenues from LifeScan beyond the 2018 financial year, the LifeScan contract is deemed to be completed hence ASC 606 is not applied to revenues from LifeScan. The Company notes that there was an underpayment of quarterly services fees of A$164,577 relating to prior years, the sum of which has been accrued recorded In relation to revenues from LifeScan, we recognized revenues from all sources based on the provisions of the U.S. SEC’s Staff Accounting Bulletin No. 104 and ASC 605 Revenue Recognition. The Company’s LifeScan revenue represented provision of services. Revenue from services is recognized when a persuasive evidence of an arrangement exists, services have been rendered, the price is fixed or determinable, and collectability is reasonably assured. B. Nature of goods and services The following is a description of products and services from which the Company generates its revenue. Products and services Nature, timing of satisfaction of performance obligations, and significant payment terms Point-of-care The Company recognizes revenue from sales of products at the time title of goods passes to the customer and the customer assumes the risks and rewards of ownership. The performance obligation is satisfied at a point in time when the products are shipped to the customer. The customer generally pays the Company within 60 days from receipt of invoice. The transaction price is fixed. Coagulation testing services These are services performed by HRL. Revenue is recognized when the testing services undertaken on behalf of the customer have been completed by HRL. The performance obligation is satisfied at a point in time when the tests are completed and the results are forwarded to the customer. The customer pays HRL generally within 30 days from receipt of invoice. The transaction price is fixed. Quarterly service fees Quarterly service fees are based on the number of strips sold by LifeScan which falls within a valid claim of certain LifeScan patents. It is payable to us as an ongoing reward for our services and efforts to enhance the product. Revenue from quarterly services fees is recognized as revenue from services when the four basic criteria for revenue recognition are met. Quarterly service fees are billed on a quarterly basis and paid within 45 days of receipt of invoice. The transaction price is fixed. As further discussed herein, during the 2018 financial year, LifeScan effected the LifeScan Conversion. As a result of this, beyond the 2018 financial year, the Company has no longer and will no longer receive any quarterly service fees from LifeScan. The Company notes that there was an underpayment of quarterly services fees of A$164,577 relating to prior years, the sum of which was accrued and receipted during the current 2019 financial year. C. Disaggregation of revenue In the following table, revenue is disaggregated by major product and service line, and timing of revenue recognition. Year Ended December 31, 2019 2018 A$ A$ Major product/service lines Xprecia Stride TM 4,863,347 1,672,321 Lump sum service fees 0 44,635,704 Quarterly service fees 164,577 21,378,404 Coagulation testing services 1,094,669 1,193,948 Other services 774,606 576,537 6,897,199 69,456,914 Timing of revenue recognition Products and services transferred at a point in time 6,897,199 69,456,914 Services transferred over time 0 0 6,897,199 69,456,914 D. Contract balances The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers. Year Ended December 31, 2019 2018 A$ A$ Receivables 116,626 50,209,561 Contract assets 0 0 Contract liabilities: - Current 2,682,404 2,356,583 - Non-current 1,421,680 3,463,737 Timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable represents amounts invoiced and revenue recognized prior to invoicing when we have satisfied our performance obligation and have the unconditional right to payment. A contract asset is an entity’s right to payment for goods and services already transferred to a customer but that right to payment is conditional on something other than the passage of time. The contract assets are transferred to the receivables when the rights become unconditional. The contract liabilities primarily relates to the following: • 2019 financial year – the Company’s obligation to transfer Xprecia Stride ™ • 2018 financial year - advance consideration received from Siemens for contract research and development, for which transfer of control occurs, and therefore revenue is recognized when the deliverables are met. Significant changes in the contract assets and the contract liabilities balances during the period are as follows: Contract Asset Contract Liability Contract Liability A$ A$ A$ Opening balance (January 1, 2019) 0 2,356,583 3,463,737 Closing balance (December 31, 2019) 0 2,686,404 1,421,680 Increase/(decrease) 0 329,821 (2,042,057 ) Opening balance (January 1, 2018) 0 2,356,583 3,463,737 Closing balance (December 31, 2018) 0 2,356,583 3,463,737 Increase/(decrease) 0 0 0 The movement in contract liabilities is explained as follows: • Of the current portion of the total contract liabilities balance as at December 31, 2018, a sum of A$ 658,675 • There was a prepayment of US$ 4,000,000 2,833,870 1,166,130 E. Transaction price allocated to the remaining performance obligations There was a prepayment of US$4,000,000 towards future strip sales by Siemens on November 1, 2019. US$1,166,130 has been recognized as revenue during Q4 2019 as the Company supplied strips to Siemens. The balance of the Siemens prepayment account as at December 31, 2019 is US$2,833,870 (A$4,104,084). Interest income Interest income is recognized as it accrues, taking into account the effective yield on the cash and cash equivalents. Research and development tax incentive income Research and development tax incentive income is recognized when there is reasonable assurance that the income will be received, the relevant expenditure has been incurred, and the consideration can be reliably measured. The research and development tax incentive is one of the key elements of the Australian Government’s support for Australia’s innovation system and is supported by legislative law primarily in the form of the Australian Income Tax Assessment Act 1997 as long as eligibility criteria are met. Generally speaking, an entity which is an R&D entity involved in eligible R&D activities may claim research and development tax incentive income as follows: 1. as a 43.5% refundable tax offset if aggregate turnover (which generally means an entity’s total income that it derives in the ordinary course of carrying on a business, subject to certain exclusions) of the entity is less than A$20,000,000, or 2. as a 38.5% non-refundable In accordance with SEC Regulation S-X 5-03, non-operating Management has assessed the Company’s research and development activities and expenditures to determine which activities and expenditures are likely to be eligible under the tax incentive regime described above. At each period end management estimates the refundable tax offset available to the Company based on available information at the time. This estimate is also reviewed by external tax advisors on an annual basis. The Company has recorded research and development tax incentive income of A$2,802,697 for the 2019 financial year. For the 2018 financial year, the aggregate turnover of the Company exceeded A$20,000,000 and it was not eligible for a refundable tax offset (“research and development tax incentive income”). The eligible R&D activities and expenditures are however able to be claimed as a non-refundable Foreign Currency Functional and reporting currency Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (“the functional currency”). The functional currency of UBI and UBS is AUD or A$ for all years presented. The functional currency of HRL is Canadian dollars (“CAD$”) for all years presented. The consolidated financial statements are presented using a reporting currency of Australian dollars. Transactions and balances Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end The Company has recorded foreign currency transaction gains of A$550,251 and A$577,505 in each of the years ended December 31, 2019 and 2018, respectively. The results and financial position of all the Group entities that have a functional currency different from the reporting currency are translated into the reporting currency as follows: • assets and liabilities for each balance sheet item reported are translated at the closing rate at the date of that balance sheet; • income and expenses for each income statement item reported are translated at average exchange rates (unless this is not a reasonable approximation of the effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the dates of the transactions); and • all resulting exchange differences are recognized as a separate component of equity. On consolidation, exchange differences arising from the translation of any net investment in foreign entities are taken to the Accumulated Other Comprehensive Income. Commitments and Contingencies Liabilities for loss contingencies, arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated. These were nil as at December 31, 2019 and 2018. Purchase commitments contracted for as at December 31, 2019 and 2018 were A$220,569 and A$2,941,864, respectively. Contingent consideration as at December 31, 2019 was A$2,141,022 (equivalent to US$1,500,000) and nil as at December 31, 2018. Pursuant to the Siemens Acquisition, the Company has agreed to pay US$1,500,000 to Siemens within five days of Siemens achieving a pre-defined The Company has the discretion of advising Siemens when the milestone is to be achieved but from the date notification is sent by the Company, Siemens has 90 days to fulfill this milestone. Once the milestone is achieved, it will enable UBI to use Siemens proprietary reagent which will allow UBI to access markets in certain jurisdictions. Patent and License Costs Legal and maintenance fees incurred for patent application costs have been charged to expense and reported in general and administrative expense. Clinical Trial Expenses Clinical trial costs are a component of research and development expenses. These expenses include fees paid to participating hospitals and other service providers, which conduct certain testing activities on behalf of the Company. Depending on the timing of payments to the service providers and the level of service provided, the Company records prepaid or accrued expenses relating to these costs. These prepaid or accrued expenses are based on estimates of the work performed under service agreements. Leased Assets All of the Company’s leases for the years ended December 31, 2019 and 2018 are considered operating leases. The costs of operating leases are charged to the consolidated statements of comprehensive income on a straight-line basis over the lease term. Stock-based Compensation We measure stock-based compensation at grant date, based on the estimated fair value of the award, and recognize the cost as an expense on a straight-line basis over the vesting period of the award. We estimate the fair value of stock options using the Trinomial Lattice model. We also grant our employees Restricted Stock Units (“RSUs”) and zero exercise price employee options (“ZEPOs”). RSUs are stock awards granted to employees that entitle the holder to shares of common stock as the award vests. ZEPOs are stock options granted to employees that entitle the holder to shares of common stock as the award vests. The value of RSUs are determined and fixed on the grant date based on the Company’s stock price. The exercise price of ZEPOs is nil. See note 5 for further details. We record deferred tax assets for awards that will result in deductions on our income tax returns, based on the amount of compensation cost recognized and our statutory tax rate in the jurisdiction in which we will receive a deduction. Differences between the deferred tax assets recognized for financial reporting purposes and the actual tax deduction reported in our income tax return are recorded in expense or in capital in excess of par value if the tax deduction exceeds the deferred tax assets or to the extent that previously recognized credits to paid-in-capital Employee Benefit Costs The Company contributes 9.50% of each employee’s salary to standard defined contribution superannuation funds on behalf of all UBS employees. Superannuation is a compulsory savings program whereby employers are required to pay a portion of an employee’s remuneration to an approved superannuation fund that the employee is typically not able to access until they have reached the statutory retirement age. Whilst the Company has a third party default superannuation fund, it permits UBS employees to choose an approved and registered superannuation fund into which the contributions are paid. Contributions are charged to the consolidated statements of comprehensive income as they become payable. Registered Retirement Savings Plan and Deferred Sharing Profit Plan The Company provides eligible HRL employees a retirement plan. The retirement plan includes a Registered Retirement Savings Plan (“RRSP”) and Deferred Profit Sharing Plan (“DPSP”). The RRSP is voluntary and the employee contributions are matched by the Company up to a maximum of 5% based on their continuous years of service and placed into the DPSP. The Company contributes 1% to 2% of the employee’s base earnings towards the DPSP. The DPSP contributions are vested immediately. Benefit Plan The Company provides eligible HRL employees a Benefit Plan. In general, the Benefit Plan includes extended health care, dental care, basic life insurance, basic accidental death and dismemberment, and disability insurance. Net Income/(Loss) per Share and Anti-dilutive Securities Basic and diluted net income/(loss) per share is presented in conformity with ASC 260 – Earnings per Share. Basic and diluted net income/(loss) per share has been computed using the weighted-average number of common shares outstanding during the period. Diluted net income/(loss) per share is calculated by adjusting the basic net income/(loss) per share by assuming all dilutive potential ordinary shares are converted. Total Comprehensive Income/(Loss) The Company follows ASC 220 – Comprehensive Income. Comprehensive income/(loss) is defined as the total change in shareholders’ equity during the period other than from transactions with shareholders, and for the Company, includes net income/(loss). The tax effect allocated to each component of other comprehensive income/(loss) is as follows: Before-Tax Tax (Expense)/ Benefit Net-of-Tax A$ A$ A$ 2019 Foreign currency translation reserve (15,571 ) 0 (15,571 ) Reclassification for gains realised in net income 0 0 0 Other comprehensive loss (15,571 ) 0 (15,571 ) 2018 Foreign currency translation reserve (24,462 ) 0 (24,462 ) Reclassification for gains realised in net income 0 0 0 Other comprehensive loss (24,462 ) 0 (24,462 ) Business combinations Business combinations are accounted for using the acquisition method of accounting. Acquisition cost is measured as the aggregate of the fair value at the date of acquisition of the assets given, equity instruments issued or liabilities incurred or assumed. Acquisition related costs are expensed as incurred (except for those costs arising on the issue of equity instruments which are recognised directly in equity). Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured at fair value on the acquisition date. Goodwill is measured as the excess of the acquisition cost, the amount of any non-controlling Recent Accounting Pronouncements (a) Recent issued accounting standards not yet adopted |
Commitments and Contingent Liab
Commitments and Contingent Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingent Liabilities | (3) Commitments and Contingent Liabilities For details on our contingent liabilities, see Notes to Consolidated Financial Statements – Note 2, Summary of Significant Accounting Policies. Operating Leases The lease for 1 Corporate Avenue, Rowville Victoria expires on March 31, 2022, with two options to renew the lease each for successive three-year periods. The Company’s primary bank has issued a bank guarantee of A$250,000 in relation to a rental bond to secure the payments under the lease. This bank guarantee, which is restricted cash, is secured by a security deposit held at the bank and has been recorded as “Restricted cash” in consolidated balance sheets. In accordance with the terms of the lease, the lessee has to restore part of the building upon vacating the premises. HRL leases approximately 482 square meters of office and laboratory facilities at 15(H) Wing, Second Floor, 711 Concession Street, Hamilton, Ontario. The lease for 711 Concession Street expires on January 31, 2021. The future minimum lease payments under non-cancelable A$ Less than 1 year 735,928 1 – 3 years 839,576 3 – 5 years 0 More than 5 years 0 Total minimum lease payments 1,575,504 This off-balance Rent expense was A$755,419 and A$750,798 for the fiscal years ended December 31, 2019 and 2018, respectively. Guarantees There are cross guarantees given by Universal Biosensors, Inc., Universal Biosensors Pty Ltd and Hemostasis Reference Laboratory Inc. as described in note 15. No deficiencies of assets exist in any of these companies. No liability was recognized by the parent entity or the consolidated entity in relation to this guarantee, as the fair value of the guarantees is immaterial. Government grants UBS was awarded a grant from the Commonwealth of Australia under the Next Generation Manufacturing Investment Programme up to a maximum grant amount of A$575,000 payable over a three year period commencing from January 1, 2017. This grant was terminated upon mutual consent on December 19, 2019. The grants were paid upon achievement of pre-agreed An amount of A$89,500 and A$271,318 were received under this grant in June 2018 and November 2017, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (4) Income Taxes The Company is subject to income tax in Australia and is required to pay taxes on its Australian profits. As provided under the Australian income tax laws, UBI and its wholly owned resident subsidiary UBS have formed a tax-consolidated A reconciliation of the (benefit)/provision for income taxes is as follows: Years ended December 31, 2019 2018 A$ % A$ % Profit/(loss) before income taxes (6,163,764 ) 41,916,920 Computed by applying income tax rate of home jurisd i (1,849,129 ) 30 12,575,076 30 Effect of tax rates in foreign jurisdictions (12,572 ) 1 13,316 0 Research & incentive 1,092,085 (18 ) 4,253,289 10 Disallowed expenses/(income): Acquisition of assets (3,050,837 ) 49 Share based payment (126,525 ) 2 95,564 0 Other (676,733 ) 11 (61,115 ) 0 Utili z y 0 0 (3,298,121 ) (8 ) Utili z 0 0 (13,046,757 ) (31 ) Change in valuation allowance 3,316,210 (54 ) (531,252 ) (1 ) Global intangible low-taxed (9,978 ) 0 4,352,564 10 Income tax expense/(benefit) (1,317,479 ) 21 4,352,564 10 The components of our net income/(loss) before income taxes as either domestic or foreign is as follows: As of December 31, 201 9 201 8 A$ A$ Foreign 359,237 (44,386 ) Domestic (Australia) (6,523,001 ) 41,961,306 (6,163,764 ) 41,916,920 Significant component of the Company’s deferred tax assets and liabilities are shown below: As of December 31, 2019 201 8 A$ A$ Deferred tax assets: Operating loss carry forwards 4,506,287 0 Depreciation and amortization 1,709,678 1,578,478 Asset retirement obligations 780,000 780,000 Employee entitlements 239,899 366,039 Accruals 1,133,073 1,325,955 Decline in value of patents 1,170,092 1,195,965 Unrealized exchange loss 10,020 (583,029 ) Other (20,778 ) 241,152 Total deferred tax assets 9,528,271 4,904,560 Valuation allowance for deferred tax assets (8,220,770 ) (4,904,560 ) Net deferred tax asset 1,307,501 0 Deferred tax liabilities: Intangible assets 4,358,338 0 Total deferred tax liabilities 4,358,338 0 Net deferred tax liabilities 3,050,837 0 Significant components of deferred income taxes reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting and tax purposes. A valuation allowance has been established, as realization of such assets is not more likely than not. At December 31, 2019 the Company has $ nil non-refundable non-refundable |
Employee Incentive Schemes
Employee Incentive Schemes | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Employee Incentive Schemes | (5) Employee Incentive Schemes (a) Stock Option Plan In 2004, the Company adopted an employee option plan (“Plan”). Options may be granted pursuant to the Plan to any person considered by the board to be employed by the Group on a permanent basis (whether full time, part time or on a long term casual basis). Each option gives the holder the right to subscribe for one three An option holder is not permitted to participate in a bonus issue or new issue of securities in respect of an option held prior to the issue of shares to the option holder pursuant to the exercise of an option. If the Company changes the number of issued shares through or as a result of any consolidation, subdivision, or similar reconstruction of the issued capital of the Company, the total number of options and the exercise price of the options (as applicable) will likewise be adjusted. Options granted in 2019 and 2018 were nil In accordance with ASC 718, the fair value of the option grants was estimated on the date of each grant using the Trinomial Lattice model. Each of the inputs to the Trinomial Lattice model is discussed below. Share Price and Exercise Price at Valuation Date With the exception of ZEPOs, the value of all other options granted has been determined either using the closing price of our common stock trading in the form of CDIs on ASX at the time of grant of the options or based on an expected return. ZEPOs exercise price are nil Volatility We applied volatility having regard to the historical price change of our shares in the form of CDIs available from the ASX. Time to Expiry All options granted under our share option plan have a maximum 10 year term and are non-transferable. Risk free rate The risk free rate which we applied is equivalent to the yield on an Australian government bond with a time to expiry approximately equal to the expected time to expiry on the options being valued. Stock option activity during the current period is as follows: Number of shares Weighted average A$ Balance at December 31, 2018 15,153,884 0.63 Granted 0 0.00 Exercised (328,334 ) 0.01 Lapsed (12,914,100 ) 0.67 Balance at December 31, 2019 1,911,450 0.46 At December 31, 2019, the number of options vested and exercisable was 1,911,450 (2018: 7,510,888). At December 31, 2019, total stock compensation expense/(income) recognized in the consolidated condensed statements of comprehensive income was (A$421,750) (2017: A$318,545). The following table represents information relating to stock options outstanding under the plans as of December 31, 2019: Options Outstanding Options Exercise Price Shares Weighted average $ 0.79 12,000 0 12,000 $ 0.49 55,000 1 55,000 $ 0.00 40,000 1 40,000 $ 0.23 75,000 2 75,000 $ 0.00 40,000 2 40,000 $ 0.45 100,000 3 100,000 $ 0.50 1,165,500 3 1,165,500 $ 0.33 96,500 4 96,500 $ 0.50 327,450 4 327,450 1,911,450 1,911,450 The table below sets forth the number of employee stock number amended Period Ending Number of Options Exercised and Weighted Proceeds 2018 553,334 A$ 0.00 0 2019 328,334 A$ 0.01 3,400 As of December 31, 2019, there was nil vested The aggregate intrinsic value for all options outstanding zero (b) Restricted Share Plan Our Employee Share Plan was adopted by the Board of Directors in 2009. The Employee Share Plan permits our Board to grant shares of our common stock to our employees and directors (although our Board has determined not to issue equity to non-executive three The table below sets forth the restricted shares issued by the Company since January 1, 2018: Number of Market Value of December, 2018 191,636 45,993 Restricted stock awards activity during the current period is as follows: Number of shares Weighted average Balance at December 31, 2018 311,246 0.28 Granted 0 0.00 Release of restricted shares (190,432 ) 0.30 Balance at December 31, 2019 120,814 0.24 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | (6) Related Party Transactions Details of related party transactions material to the operations of the Group other than compensation arrangements, expense allowances, and other similar items in the ordinary course of business, are set out below: In September 2011, we entered into a non-exclusive The license agreement and the obligation to pay royalties continues until SpeeDx’s patent rights have expired, lapsed, are found to be invalid or are rejected. The agreement will terminate by mutual agreement or by one party for breach or insolvency of the other. SpeeDx may also terminate the license agreement if the research and development on a first licensed product is not completed by UBS within 7 years (subject to certain exceptions), and UBS may terminate if it determines that it does not wish to proceed with further commercialization of SpeeDx’s technology. Mr. Denver is a director of SpeeDx and up until August 7, 2017 was a director of the Company. Mr. Denver continued to provide services to the Company in an advisory capacity between October 1, 2017 and June 30, 2018. The agreement with SpeeDx was terminated without costs borne by either party by mutual agreement of both parties on March 29, 2019 Mr. Coleman is a Non-Executive An employee of Viburnum Funds Pty Ltd has on occasions been seconded to Universal Biosensors to assist the Company on strategic matters. During these periods Viburnum Funds Pty Ltd continues to pay all the salary entitlements of the seconded person. Universal Biosensors is solely responsible for the reimbursement of certain expenditures such as travel and rental whilst the employee is on secondment. The total expenditure reimbursed by the Company to Viburnum Funds Pty Ltd as at December 31, 2019 and 2018 was A$14,548 and A$21,716, respectively. There were no other related party transactions during 2019 and 2018 other than as disclosed above. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Investments, All Other Investments [Abstract] | |
Financial Instruments | (7) Financial Instruments Years Ended December 31, 2019 2018 A$ A$ Financial assets: Cash and cash equivalents 30,229,530 11,797,789 Accounts receivables 116,626 50,209,561 Total financial assets 30,346,156 62,007,350 Debt: Long term secured loan 0 0 Total debt 0 0 Net financial assets 30,346,156 62,007,350 The carrying value of the cash and cash equivalents and the accounts receivable approximates fair value because of their short-term nature. We regularly review all our financial assets for impairment. There were no Derivative Instruments and Hedging Activities We had no |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | (8) Property, Plant and Equipment, net As of December, 31 2019 2018 A$ A$ Plant and equipment 19,853,389 18,028,590 Leasehold improvements 9,130,310 9,130,310 Capital work in process 38,169 1,943,032 29,021,868 29,101,932 Accumulated depreciation (24,271,802 ) (23,475,544 ) Property, plant & equipment, net 4,750,066 5,626,388 Capital work in process relates to assets under construction and comprises primarily specialized manufacturing and testing equipment. Legal right to the assets under construction rests with the Company. The amounts capitalized for capital work in process represent the percentage of expenditure that has been completed, and once the assets are placed into service, the Company begins depreciating the respective assets. The accumulated amortisation of capitalised leasehold improvements for the fiscal years ended December 31, 2019 and 2018 was A$9,130,310 and A$8,993,225, respectively. From 2017 to 2019, the Company was entitled to receive Commonwealth of Australia grant monies under grant agreements to support its development activities, including in connection with the purchase of plant and equipment. This grant was terminated by mutual consent on December 19, 2019. Plant and equipment is presented net of the government grant of A$360,818 for the year ended December 31, 2019 (2018: A$360,818). The grants are recognized against the acquisition costs of the related plant and equipment as and when the related assets are purchased. Grants received in advance of the relevant expenditure are treated as deferred income and included in Current Liabilities on the balance sheet as the Company does not control the monies until the relevant expenditure has been incurred. Grants due to the Company under research agreements are recorded as Currents Assets on the balance sheet. Depreciation expense was A$1,066,352 and A$2,113,454 for the fiscal years ended December 31, 2019 and 2018, respectively. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | (9) Accrued Expenses Accrued expenses consist of the following: As of December, 31 2019 2018 A$ A$ Legal, tax and accounting fees 689,637 716,937 Salary and related costs 175,241 306,162 Research and development materials 21,037 554,496 Other 129,336 119,049 1,015,251 1,696,644 |
Stockholders' Equity - Common S
Stockholders' Equity - Common Stock | 12 Months Ended |
Dec. 31, 2019 | |
Federal Home Loan Banks [Abstract] | |
Stockholders' Equity - Common Stock | (10) Stockholders’ Equity - Common Stock Holders of common stock are generally entitled to one vote per share by-laws, pre-emptive Trading in our shares of common stock on ASX is undertaken using CHESS Depositary Interests (“CDIs”). Each CDI represents beneficial ownership in one underlying share Holders of CDIs have the same economic benefits of holding the shares, such as dividends (if any), bonus issues or rights issues as though they were holders of the legal title. Holders of CDIs are not permitted to vote but are entitled to direct CDN how to vote. Subject to Delaware General Corporation Law, dividends may be declared by the Board and holders of common stock may be entitled to participate in such dividends from time to time. |
Net Income_(Loss) per Share
Net Income/(Loss) per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Income/(Loss) per Share | (11) Net Income/(Loss) per Share Basic net income/(loss) per ordinary share was computed by dividing the net income/(loss) applicable to common stock by the weighted-average number of common stock outstanding during the period. Warrants issued to the Lenders and options granted to employees under the Universal Biosensors Employee Option Plan are considered to be potential ordinary shares for the purpose of calculating diluted net income/(loss) per share. Years Ended December 31, 2019 2018 Weighted average shares used as denominator in calculating: Basic net income/(loss) per share 177,481,639 176,732,183 Diluted net income/(loss) per share 177,481,639 177,152,938 The number of shares not included in the calculation of basic net income/(loss) per ordinary share because the impact would be anti-dilutive were 80,000 |
Guarantees and Indemnifications
Guarantees and Indemnifications | 12 Months Ended |
Dec. 31, 2019 | |
Guarantees and Product Warranties [Abstract] | |
Guarantees and Indemnifications | (12) Guarantees and Indemnifications The amended and restated certificate of incorporation and amended and restated bylaws of the Company provide that the Company will indemnify officers and directors and former officers and directors in certain circumstances, including for expenses, judgments, fines and settlement amounts incurred by them in connection with their services as an officer or director of the Company or its subsidiaries, provided that such person acted in good faith and in a manner such person reasonably believed to be in the best interests of the Company, and, with respect to any criminal action or proceeding, the Company had reasonable cause to believe that such person’s conduct was not unlawful. In addition to the indemnities provided in the amended and restated certificate of incorporation and amended and restated bylaws, the Company has entered into indemnification agreements with certain of its officers and each of its directors. Subject to the relevant limitations imposed by applicable law, the indemnification agreements, among other things: • indemnify the relevant officers and directors for certain expenses, judgments, fines and settlement amounts incurred by them in connection with their services as an officer or director of the Company or its subsidiaries; and • require the Company to make a good faith determination whether or not it is practicable to maintain liability insurance for officers and directors or to ensure the Company’s performance of its indemnification obligations under the agreements. The Company maintains directors’ and officers’ liability insurance providing for the indemnification of our directors and certain of our officers against certain liabilities incurred as a director or officer, including costs and expenses associated in defending legal proceedings. In accordance with the terms of the insurance policy and commercial practice, the amount of the premium is not disclosed. No |
Segments
Segments | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Segments | (13) Segments We operate in one Our principal activities are research and development, commercial manufacture of approved medical or testing devices and the provision of services including contract research work. We operate predominantly in one The Company’s material long-lived assets are all based in Australia. Our total revenue as disclosed below is attributed to countries based on location of customer. Location has been determined generally based on contractual arrangements. Years Ended December 31, 2019 2018 A$ A$ Home country - Australia 3,677,486 490,962 Foreign countries - U.S.A. 1,437,998 1,428,350 - Germany 4,785,384 1,603,817 - Switzerland 235,945 66,084,950 - Canada 296,183 238,056 - Other 155,451 101,817 Total - foreign countries 6,910,961 69,456,990 Total income 10,588,447 69,947,952 % of total income derived from - LifeScan 2 % 94 % - Siemens 53 % 3 % - Other 45 % 2 % The chief operating decision maker of the Company is the management committee comprising the senior executives of the Company. |
Deed of Cross Guarantee
Deed of Cross Guarantee | 12 Months Ended |
Dec. 31, 2019 | |
Text Block [Abstract] | |
Deed of Cross Guarantee | (14) Deed of Cross Guarantee Universal Biosensors, Inc. and its wholly owned subsidiary, Universal Biosensors Pty Ltd, are parties to a deed of cross guarantee under which each company guarantees the debts of the other. By entering into the deed, the wholly-owned entity has been relieved from the requirements to prepare a financial report and directors’ report under Class Order 98/1418 (as amended) issued by the Australian Securities and Investments Commission. The above companies represent a “Closed Group” for the purposes of the Class Order, and as there are no other parties to the Deed of Cross Guarantee that are controlled by Universal Biosensors, Inc., they also represent the “Extended Closed Group”. The consolidated financial statements presented within this report comprise that of Universal Biosensors, Inc. and its wholly owned subsidiary, Universal Biosensors Pty Ltd. These two entities also represent the “Closed Group” and the “Extended Closed Group”. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Borrowings | (15) Borrowings The Company repaid its borrowings in November 2018. Athyrium Credit Agreement On December 19, 2013 (“Closing Date”), UBI and its wholly owned subsidiary, UBS (together UBI and UBS, the “Transaction Parties”) entered into a credit agreement with Athyrium Opportunities Fund (A) LP (“Athyrium A”), as administrative agent (the “Administrative Agent”) and as a lender, and Athyrium Opportunities Fund (B) LP (“Athyrium B”) as a lender (Athyrium A and Athyrium B together with any other lenders party thereto from time to time, the “Lenders”) for a secured term loan of up to US$25,000,000, which was amended on January 30, 2015 (“Credit Agreement”). Of this amount, US$15,000,000 had been drawn at December 31, 2013, with a further US$10,000,000 available to be drawn down on or before July 31, 2015 if UBS satisfied certain conditions precedent relating to product revenues. The credit agreement was amended again on December 29, 2017 (“Amendment”). Subject to the terms of the Amendment, the Amendment modified the Credit Agreement to (i) extend the maturity date to July 1, 2019 The term loan was voluntary prepaid in November 2018 and a Deed of Release was executed in December 2018 releasing all the Transaction Parties securities and obligations under the term loan. The term loan bore interest at 10.5% per annum payable in cash quarterly in arrears over the term, and as otherwise described in the Credit Agreement. A default interest rate of 13% per annum applied during the existence of a default under the Credit Agreement. The term loan under the Credit Agreement was secured by substantially all of UBI, UBS’ and HRL’s assets. UBI and HRL (together with any future subsidiaries) guaranteed all of UBS’s obligations under the term loan. Voluntary prepayments of the term loans were not permitted prior to the second anniversary of the Closing Date, except in the event of a change of control of a Transaction Party. After the second anniversary, UBS could make voluntary repayments in minimum principal amounts of US$2,500,000 together with interest, plus a prepayment premium commencing at 15% of the principal of such prepayment due and payable on the applicable date and reducing pro-rata As further described below, pursuant to the Credit Agreement, UBI issued to the Lenders warrants entitling the holder to purchase up to an aggregate total of 4,500,000 shares of UBI’s common stock in the form of CDIs at a price of A$1.00 per share (the “Exercise Price”), which represents a 117% premium over the closing price of UBI’s common stock on December 19, 2013 seven |
Warrants
Warrants | 12 Months Ended |
Dec. 31, 2019 | |
Text Block [Abstract] | |
Warrants | (16) Warrants Pursuant to the Credit Agreement, UBI issued to the Lenders warrants entitling the holder to purchase up to an aggregate total of 4,500,000 shares of UBI’s common stock in the form of CDIs at a price of A$1.00 per share (the “Exercise Price”), which represents a 117% premium over the closing price of UBI’s common stock on December 19, 2013. The warrants are immediately exercisable and have a term of seven The warrants may be exercised at any time until December 19, 2020 The warrant is subject to adjustments in the event of certain issuances by UBI, such as bonus issues, pro rata (rights) issues and reorganizations (e.g. consolidation, subdivision). The Company assessed that the warrants are not liabilities within scope of ASC 480-10-25. However, the scope exception in accordance with ASC 815-10-15-74 The debt issuance costs were recorded as deferred issuance costs and are amortized as interest expense, using the effective interest method, over the term of the loan pursuant to ASC 835-30-35-2. The warrants issued in December 2013 had a grant fair value of US$815,655 and are included in equity. |
Restricted Cash
Restricted Cash | 12 Months Ended |
Dec. 31, 2019 | |
Cash and Cash Equivalents [Abstract] | |
Restricted Cash | (17) Restricted Cash The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the consolidated statements of cash flows. Years Ended December 31, 2019 2018 A$ A$ Cash and cash equivalents 30,229,530 11,797,789 Restricted cash - current assets 2,055,473 15,589 Restricted cash - non-current 4,907,904 320,000 37,192,907 12,133,378 Restricted cash maintained by the Company in the form of term deposits is as follows: Years Ended December 31, 2019 2018 A$ A$ Collateral for facilities (a) - current assets 16,404 15,589 Performance guarantee (b) - current assets 2,039,069 0 Collateral for facilities (c) - non-current 320,000 320,000 Performance guarantee (b) - non-current 4,587,904 0 6,963,377 335,589 (a) Represents bank guarantee of CDN$ 15,000 (b) Performance guarantee represents letter of credit issued in favour of Siemens pursuant to the 2019 Siemens Agreements. The performance guarantee was initially issued for US$ 5,000,000 42 (c) Represents bank guarantee of A$ 250,000 70,000 Interest earned on the restricted cash as at December 31, 2019 and 2018 were A$25,113 and A$62,037, respectively. |
Acquisition of Assets from Siem
Acquisition of Assets from Siemens | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Acquisition of Assets from Siemens | (18) Acquisition of Assets from Siemens As discussed in more detail in “ Management’s Discussion and Analysis of Financial Condition and Results of Operations – Our Business (a) Acquisition related costs These were nil (b) Contingent consideration Pursuant to the Siemens Acquisition, the Company has agreed to pay US$1,500,000 to Siemens within five days of Siemens achieving a pre-defined (c) Identifiable assets acquired Total identifiable assets acquired at the acquisition date are as follows: A$ Intangible assets - distribution rights 1 12,013,658 Inventory 368,840 Total identifiable assets acquired 12,382,498 Deferred income tax liability on intangible assets 1 4,358,338 16,740,836 Less: Deferred income tax liability on intangible assets 4,358,338 2,213,042 Consideration paid in September 2019 10,169,456 1. Total intangible assets recognized in the balance sheet A$ 16,371,996 (d) Measurement of fair values The fair value of the distribution rights acquired has been based on the amount paid. Inventory has been valued at net realizable value. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2019 | |
Intangible Assets, Gross (Excluding Goodwill) [Abstract] | |
Intangible Assets | Intangible Assets The intangible assets, having finite useful lives, are amortized over their estimated useful lives. Finite life intangible assets are amortized over the shorter of their contractual or useful economic lives. The intangible assets comprise of distribution rights and are amortized on a straight-line basis over 10 year December 1 Years Ended December 31, 2019 2018 A$ A$ Intangible assets - gross 16,371,996 0 Less accumulated amortization (443,819 ) 0 Total intangible assets - net 15,928,177 0 Impairment of Intangible Assets Intangible assets with an indefinite life are tested for impairment at least annually and when there is an indication of impairment. |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts | Schedule ii – Valuation and Qualifying Accounts (for the years ended December 31, 2019 and 2018) Additions Balance at of Charged to Charged to Deductions Balance at end A$ A$ A$ A$ A$ Year ended December 31, 201 8 Deferred income tax valuation allowance 7,931,607 (16,876,129 ) 13,849,082 0 4,904,560 Year ended December 31, 201 9 Deferred income tax valuation allowance 4,904,560 4,623,711 0 (1,307,501 ) 8,220,770 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the financial statements of the Company and its wholly owned subsidiaries, UBS and HRL. All intercompany balances and transactions have been eliminated on consolidation. |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements requires management of the Company to make a number of estimates and assumptions relating to the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the period. Significant items subject to such estimates and assumptions include the recognition of revenue, initial recognition of intangible assets, carrying value of intangible assets and their useful lives, carrying amount of property, plant and equipment, income tax expense, deferred income taxes, asset retirement obligations, liabilities related to employee benefits and research and development tax incentive income. Actual results could differ from those estimates. |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments purchased with an initial maturity of three months or less to be cash equivalents. For cash and cash equivalents, the carrying amount approximates fair value due to the short maturity of those instruments. The Company maintains cash and restricted cash, which includes performance guarantee issued in favor of a customer, tenant security deposits and credit card security deposits. As at December 31, 2019 and 2018, the Company has not realized any losses in such cash accounts and believes it is not exposed to any significant risk of loss. |
Short-Term Investments (Held-to-maturity) | Short-Term Investments (Held-to-maturity) Short-term investments constitute all highly liquid investments with term to maturity from three months to twelve months. The carrying amount of short-term investments is equivalent to their fair value. |
Concentration of Credit Risk and Other Risks and Uncertainties | Concentration of Credit Risk and Other Risks and Uncertainties Cash and cash equivalents and accounts receivable consist of financial instruments that potentially subject the Company to concentration of credit risk to the extent of the amount recorded on the consolidated balance sheets. The Company’s cash and cash equivalents are primarily invested with one of Australia’s largest banks. The Company is exposed to credit risk in the event of default by the banks holding the cash or cash equivalents to the extent of the amount recorded on the consolidated balance sheets. The Company has not experienced any losses on its deposits of cash and cash equivalents. The Company has not identified any collectability issues with respect to receivables. |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities Derivative financial instruments The Company may use derivative financial instruments to hedge its foreign exchange exposure arising from operating, investing and financing activities. The Company does not hold or issue derivative financial instruments for trading purposes. However, derivatives that do not qualify for hedge accounting are accounted for as trading instruments. Derivative financial instruments are recognized initially at fair value. Subsequent to initial recognition, derivative financial instruments are stated at fair value. The gain or loss on remeasurement to fair value is recognized immediately in the income statement. However, where derivatives qualify for hedge accounting, recognition of any resultant gain or loss depends on the nature of the item being hedged. Cash flow hedges Exposure to foreign exchange risks arises in the normal course of the Company’s business and it is the Company’s policy to use forward exchange contracts to hedge anticipated sales and purchases in foreign currencies. The amount of forward cover taken is in accordance with approved policy and internal forecasts. Where a derivative financial instrument is designated as a hedge of the variability in cash flows of a recognized asset or liability, or a highly probable forecast transaction, the effective part of any unrealized gain or loss on the derivative financial instrument is recognized directly in equity. When the forecast transaction subsequently results in the recognition of a non-financial non-financial non-financial For cash flow hedges, other than those covered by the preceding statement, the associated cumulative gain or loss is removed from equity and recognized in the consolidated statements of comprehensive income in the same period or periods during which the hedged forecast transaction affects the consolidated statements of comprehensive income and on the same line item as that hedged forecast transaction. The ineffective part of any gain or loss is recognized immediately in the consolidated statements of comprehensive income. When a hedging instrument expires or is sold, terminated or exercised, or the Company revokes designation of the hedge relationship but the hedged forecast transaction is still probable to occur, the cumulative gain or loss at that point remains in equity and is recognized in accordance with the above policy when the transaction occurs. If the hedged transaction is no longer expected to take place, then the cumulative unrealized gain or loss recognized in equity is recognized immediately in the consolidated statements of comprehensive income. Derivative Instruments and Hedging Activities In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as consider our own and counterparty credit risk. For years ended December 31, 2019 and 2018, we did not have any assets or liabilities that utilize Level 3 inputs. The valuation of our foreign exchange derivatives are based on the market approach using observable market inputs, such as forward rates and incorporate non-performance |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying value of all current assets and current liabilities approximates fair value because of their short-term nature. The estimated fair value of all other amounts has been determined, depending on the nature and complexity of the assets or the liability, by using one or all of the following approaches: • Market approach – based on market prices and other information from market transactions involving identical or comparable assets or liabilities. • Cost approach – based on the cost to acquire or construct comparable assets less an allowance for functional and/or economic obsolescence. • Income approach – based on the present value of a future stream of net cash flows. These fair value methodologies depend on the following types of inputs: • Quoted prices for identical assets or liabilities in active markets (Level 1 inputs). • Quoted prices for similar assets or liabilities in active markets or quoted prices for identical or similar assets or liabilities in markets that are not active or are directly or indirectly observable (Level 2 inputs). • Unobservable inputs that reflect estimates and assumptions (Level 3 inputs). |
Inventory | Inventory Inventories are stated at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and estimated costs necessary to dispose. Inventories are principally determined under the average cost method which approximates cost. Cost comprises direct materials, direct labour and an appropriate portion of variable and fixed overhead expenditure, the latter being allocated on the basis of normal operating capacity. Costs of purchased inventory are determined after deducting rebates and discounts. Years Ended December 31, 2019 2018 A$ A$ Raw materials 411,233 302,056 Work in progress 213,080 442,410 Finished goods 453,751 0 1,078,064 744,466 |
Receivables | Receivables Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts is the best estimate of the amount of probable credit losses in the existing accounts receivable. The allowance is determined based on a review of individual accounts for collectability, generally focusing on those accounts that are past due. The expense to adjust the allowance for doubtful accounts, if any, is recorded within general and administrative expenses in the consolidated statements of comprehensive income. Account balances are charged against the allowance when it is probable the receivable will not be recovered. Years Ended December 31, 2019 2018 A$ A$ Accounts receivable 116,626 50,209,561 Allowance for doubtful debts 0 0 116,626 50,209,561 |
Property, Plant, and Equipment—net | Property, Plant, and Equipment - net Property, plant, and equipment are recorded at acquisition cost, less accumulated depreciation. Depreciation on plant and equipment is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful life of machinery and equipment is 3 to 10 years. Leasehold improvements are amortized on the straight-line method over the shorter of the remaining lease term or estimated useful life of the asset. Maintenance and repairs that do not extend the life of the asset are charged to operations as incurred, include normal services, and do not include items of a capital nature. The Company received Commonwealth of Australia grant monies under grant agreements to support its development activities (refer section on “Government grants”), including in connection with the purchase of plant and equipment. Plant and equipment is presented net of the government grant. The grant monies are recognized against the acquisition costs of the related plant and equipment as and when the related assets are purchased. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company reviews its capital assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable. In performing the review, the Company estimates undiscounted cash flows from products under development that are covered by these patents and licenses. An impairment loss is recognized when estimated undiscounted future cash flows expected to result from the use of the asset and its eventual disposition is less than the carrying amount of the asset. If the evaluation indicates that the carrying value of an asset is not recoverable from its undiscounted cash flows, an impairment loss is measured by comparing the carrying value of the asset to its fair value, based on discounted cash flows. Impairment of long-lived assets as at December 31, 2019 and 2018 were A$2,574,709. |
Other Liabilities | Other Liabilities Other liabilities represent a |
Research and Development | Research and Development Research and development expenses consist of costs incurred to further the Group’s research and product development activities and include salaries and related employee benefits, costs associated with clinical trial and preclinical development, regulatory activities, research-related overhead expenses, costs associated with the manufacture of clinical trial material, costs associated with developing a commercial manufacturing process, costs for consultants and related contract research, facility costs and depreciation. Research and development costs are expensed as incurred. |
Income Taxes | Income Taxes The Company applies ASC 740 - Income Taxes which establishes financial accounting and reporting standards for the effects of income taxes that result from a company’s activities during the current and preceding years. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Where it is more likely than not that some portion or all of the deferred tax assets will not be realized, the deferred tax assets are reduced by a valuation allowance. The valuation allowance is sufficient to reduce the deferred tax assets to the amount that is more likely than not to be realized. A reconciliation of the valuation and qualifying accounts is attached as Schedule ii. Pursuant to the new U.S. tax reform rules, UBI is subject to regulations addressing Global Intangible Low-Taxed We are subject to income taxes in the United States, Canada and Australia. Tax returns up to and including the 2018 financial year has been filed in all these jurisdictions. |
Asset Retirement Obligations | Asset Retirement Obligations Asset retirement obligations (“ARO”) are legal obligations associated with the retirement and removal of long-lived assets. ASC 410 – Asset Retirement and Environmental Obligations requires entities to record the fair value of a liability for an asset retirement obligation when it is incurred. When the liability is initially recorded, the Company capitalizes the cost by increasing the carrying amounts of the related property, plant and equipment. Over time, the liability increases for the change in its present value, while the capitalized cost depreciates over the useful life of the asset. The Company derecognizes ARO liabilities when the related obligations are settled. The ARO is in relation to our premises where in accordance with the terms of the lease, the lessee has to restore part of the building upon vacating the premises. ARO for the years ended December 31, 2019, and 2018 was A$2,600,000. |
Australian Goods and Services Tax (GST) and Canadian Harmonized Sales Tax (HST) | Australian Goods and Services Tax (“GST”) and Canadian Harmonized Sales Tax (“HST”) Revenues, expenses and assets are recognized net of the amount of associated GST and HST, unless the GST and HST incurred is not recoverable from the taxation authority. In this case it is recognized as part of the cost of acquisition of the asset or as part of the expense. Receivables and payables are stated inclusive of the amount of GST and HST receivable or payable. The net amount of GST and HST recoverable from, or payable to, the taxation authority is included with other receivables or payables in the consolidated balance sheets. |
Revenue Recognition | Revenue Recognition Revenue from products and services A. Significant accounting policy Year ended December 31, 2018 For the 2018 financial year, we recognized revenue from all sources based on the provisions of the U.S. SEC’s Staff Accounting Bulletin No. 104 and ASC 605 Revenue Recognition. The Company’s revenue represents revenue from sales of products, provision of services and collaborative research and development agreements. We recognize revenue from sales of products at the time title of goods passes to the buyer and the buyer assumes the risks and rewards of ownership, assuming all other revenue recognition criteria have been met. Generally, this is at the time products are shipped to the customer. Revenue from services is recognized when a persuasive evidence of an arrangement exists, services have been rendered, the price is fixed or determinable. Year ended December 31, 2019 We recognize revenue from all sources, other than those received from LifeScan as outlined below, based on the provisions of ASC 606 Revenue from Contracts with Customers. Revenue is measured based on a consideration specified in a contract with a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. The modified retrospective method has been used in adopting the guidance of ASC 606. There has been no change in accounting principle and the financial statements have not been affected by the application of the guidance in ASC 606. During the 2018 financial year, LifeScan effected the LifeScan Conversion. As a result of the LifeScan Conversion, beyond the 2018 financial year, the Company will no longer receive any quarterly service fees from LifeScan. Since we will no longer be receiving any substantial revenues from LifeScan beyond the 2018 financial year, the LifeScan contract is deemed to be completed hence ASC 606 is not applied to revenues from LifeScan. The Company notes that there was an underpayment of quarterly services fees of A$164,577 relating to prior years, the sum of which has been accrued recorded In relation to revenues from LifeScan, we recognized revenues from all sources based on the provisions of the U.S. SEC’s Staff Accounting Bulletin No. 104 and ASC 605 Revenue Recognition. The Company’s LifeScan revenue represented provision of services. Revenue from services is recognized when a persuasive evidence of an arrangement exists, services have been rendered, the price is fixed or determinable, and collectability is reasonably assured. B. Nature of goods and services The following is a description of products and services from which the Company generates its revenue. Products and services Nature, timing of satisfaction of performance obligations, and significant payment terms Point-of-care The Company recognizes revenue from sales of products at the time title of goods passes to the customer and the customer assumes the risks and rewards of ownership. The performance obligation is satisfied at a point in time when the products are shipped to the customer. The customer generally pays the Company within 60 days from receipt of invoice. The transaction price is fixed. Coagulation testing services These are services performed by HRL. Revenue is recognized when the testing services undertaken on behalf of the customer have been completed by HRL. The performance obligation is satisfied at a point in time when the tests are completed and the results are forwarded to the customer. The customer pays HRL generally within 30 days from receipt of invoice. The transaction price is fixed. Quarterly service fees Quarterly service fees are based on the number of strips sold by LifeScan which falls within a valid claim of certain LifeScan patents. It is payable to us as an ongoing reward for our services and efforts to enhance the product. Revenue from quarterly services fees is recognized as revenue from services when the four basic criteria for revenue recognition are met. Quarterly service fees are billed on a quarterly basis and paid within 45 days of receipt of invoice. The transaction price is fixed. As further discussed herein, during the 2018 financial year, LifeScan effected the LifeScan Conversion. As a result of this, beyond the 2018 financial year, the Company has no longer and will no longer receive any quarterly service fees from LifeScan. The Company notes that there was an underpayment of quarterly services fees of A$164,577 relating to prior years, the sum of which was accrued and receipted during the current 2019 financial year. C. Disaggregation of revenue In the following table, revenue is disaggregated by major product and service line, and timing of revenue recognition. Year Ended December 31, 2019 2018 A$ A$ Major product/service lines Xprecia Stride TM 4,863,347 1,672,321 Lump sum service fees 0 44,635,704 Quarterly service fees 164,577 21,378,404 Coagulation testing services 1,094,669 1,193,948 Other services 774,606 576,537 6,897,199 69,456,914 Timing of revenue recognition Products and services transferred at a point in time 6,897,199 69,456,914 Services transferred over time 0 0 6,897,199 69,456,914 D. Contract balances The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers. Year Ended December 31, 2019 2018 A$ A$ Receivables 116,626 50,209,561 Contract assets 0 0 Contract liabilities: - Current 2,682,404 2,356,583 - Non-current 1,421,680 3,463,737 Timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable represents amounts invoiced and revenue recognized prior to invoicing when we have satisfied our performance obligation and have the unconditional right to payment. A contract asset is an entity’s right to payment for goods and services already transferred to a customer but that right to payment is conditional on something other than the passage of time. The contract assets are transferred to the receivables when the rights become unconditional. The contract liabilities primarily relates to the following: • 2019 financial year – the Company’s obligation to transfer Xprecia Stride ™ • 2018 financial year - advance consideration received from Siemens for contract research and development, for which transfer of control occurs, and therefore revenue is recognized when the deliverables are met. Significant changes in the contract assets and the contract liabilities balances during the period are as follows: Contract Asset Contract Liability Contract Liability A$ A$ A$ Opening balance (January 1, 2019) 0 2,356,583 3,463,737 Closing balance (December 31, 2019) 0 2,686,404 1,421,680 Increase/(decrease) 0 329,821 (2,042,057 ) Opening balance (January 1, 2018) 0 2,356,583 3,463,737 Closing balance (December 31, 2018) 0 2,356,583 3,463,737 Increase/(decrease) 0 0 0 The movement in contract liabilities is explained as follows: • Of the current portion of the total contract liabilities balance as at December 31, 2018, a sum of A$ 658,675 • There was a prepayment of US$ 4,000,000 2,833,870 1,166,130 E. Transaction price allocated to the remaining performance obligations There was a prepayment of US$4,000,000 towards future strip sales by Siemens on November 1, 2019. US$1,166,130 has been recognized as revenue during Q4 2019 as the Company supplied strips to Siemens. The balance of the Siemens prepayment account as at December 31, 2019 is US$2,833,870 (A$4,104,084). |
Interest income | Interest income Interest income is recognized as it accrues, taking into account the effective yield on the cash and cash equivalents. |
Research and development tax incentive income | Research and development tax incentive income Research and development tax incentive income is recognized when there is reasonable assurance that the income will be received, the relevant expenditure has been incurred, and the consideration can be reliably measured. The research and development tax incentive is one of the key elements of the Australian Government’s support for Australia’s innovation system and is supported by legislative law primarily in the form of the Australian Income Tax Assessment Act 1997 as long as eligibility criteria are met. Generally speaking, an entity which is an R&D entity involved in eligible R&D activities may claim research and development tax incentive income as follows: 1. as a 43.5% refundable tax offset if aggregate turnover (which generally means an entity’s total income that it derives in the ordinary course of carrying on a business, subject to certain exclusions) of the entity is less than A$20,000,000, or 2. as a 38.5% non-refundable In accordance with SEC Regulation S-X 5-03, non-operating Management has assessed the Company’s research and development activities and expenditures to determine which activities and expenditures are likely to be eligible under the tax incentive regime described above. At each period end management estimates the refundable tax offset available to the Company based on available information at the time. This estimate is also reviewed by external tax advisors on an annual basis. The Company has recorded research and development tax incentive income of A$2,802,697 for the 2019 financial year. For the 2018 financial year, the aggregate turnover of the Company exceeded A$20,000,000 and it was not eligible for a refundable tax offset (“research and development tax incentive income”). The eligible R&D activities and expenditures are however able to be claimed as a non-refundable |
Foreign Currency | Foreign Currency Functional and reporting currency Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (“the functional currency”). The functional currency of UBI and UBS is AUD or A$ for all years presented. The functional currency of HRL is Canadian dollars (“CAD$”) for all years presented. The consolidated financial statements are presented using a reporting currency of Australian dollars. Transactions and balances Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end The Company has recorded foreign currency transaction gains of A$550,251 and A$577,505 in each of the years ended December 31, 2019 and 2018, respectively. The results and financial position of all the Group entities that have a functional currency different from the reporting currency are translated into the reporting currency as follows: • assets and liabilities for each balance sheet item reported are translated at the closing rate at the date of that balance sheet; • income and expenses for each income statement item reported are translated at average exchange rates (unless this is not a reasonable approximation of the effect of the rates prevailing on the transaction dates, in which case income and expenses are translated at the dates of the transactions); and • all resulting exchange differences are recognized as a separate component of equity. On consolidation, exchange differences arising from the translation of any net investment in foreign entities are taken to the Accumulated Other Comprehensive Income. |
Commitments and Contingencies | Commitments and Contingencies Liabilities for loss contingencies, arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount of the assessment can be reasonably estimated. These were nil as at December 31, 2019 and 2018. Purchase commitments contracted for as at December 31, 2019 and 2018 were A$220,569 and A$2,941,864, respectively. Contingent consideration as at December 31, 2019 was A$2,141,022 (equivalent to US$1,500,000) and nil as at December 31, 2018. Pursuant to the Siemens Acquisition, the Company has agreed to pay US$1,500,000 to Siemens within five days of Siemens achieving a pre-defined The Company has the discretion of advising Siemens when the milestone is to be achieved but from the date notification is sent by the Company, Siemens has 90 days to fulfill this milestone. Once the milestone is achieved, it will enable UBI to use Siemens proprietary reagent which will allow UBI to access markets in certain jurisdictions. |
Patent and License Costs | Patent and License Costs Legal and maintenance fees incurred for patent application costs have been charged to expense and reported in general and administrative expense. |
Clinical Trial Expenses | Clinical Trial Expenses Clinical trial costs are a component of research and development expenses. These expenses include fees paid to participating hospitals and other service providers, which conduct certain testing activities on behalf of the Company. Depending on the timing of payments to the service providers and the level of service provided, the Company records prepaid or accrued expenses relating to these costs. These prepaid or accrued expenses are based on estimates of the work performed under service agreements. |
Leased Assets | Leased Assets All of the Company’s leases for the years ended December 31, 2019 and 2018 are considered operating leases. The costs of operating leases are charged to the consolidated statements of comprehensive income on a straight-line basis over the lease term. |
Stock-based Compensation | Stock-based Compensation We measure stock-based compensation at grant date, based on the estimated fair value of the award, and recognize the cost as an expense on a straight-line basis over the vesting period of the award. We estimate the fair value of stock options using the Trinomial Lattice model. We also grant our employees Restricted Stock Units (“RSUs”) and zero exercise price employee options (“ZEPOs”). RSUs are stock awards granted to employees that entitle the holder to shares of common stock as the award vests. ZEPOs are stock options granted to employees that entitle the holder to shares of common stock as the award vests. The value of RSUs are determined and fixed on the grant date based on the Company’s stock price. The exercise price of ZEPOs is nil. See note 5 for further details. We record deferred tax assets for awards that will result in deductions on our income tax returns, based on the amount of compensation cost recognized and our statutory tax rate in the jurisdiction in which we will receive a deduction. Differences between the deferred tax assets recognized for financial reporting purposes and the actual tax deduction reported in our income tax return are recorded in expense or in capital in excess of par value if the tax deduction exceeds the deferred tax assets or to the extent that previously recognized credits to paid-in-capital |
Employee Benefit Costs | Employee Benefit Costs The Company contributes 9.50% of each employee’s salary to standard defined contribution superannuation funds on behalf of all UBS employees. Superannuation is a compulsory savings program whereby employers are required to pay a portion of an employee’s remuneration to an approved superannuation fund that the employee is typically not able to access until they have reached the statutory retirement age. Whilst the Company has a third party default superannuation fund, it permits UBS employees to choose an approved and registered superannuation fund into which the contributions are paid. Contributions are charged to the consolidated statements of comprehensive income as they become payable. |
Registered Retirement Savings Plan and Deferred Sharing Profit Plan | Registered Retirement Savings Plan and Deferred Sharing Profit Plan The Company provides eligible HRL employees a retirement plan. The retirement plan includes a Registered Retirement Savings Plan (“RRSP”) and Deferred Profit Sharing Plan (“DPSP”). The RRSP is voluntary and the employee contributions are matched by the Company up to a maximum of 5% based on their continuous years of service and placed into the DPSP. The Company contributes 1% to 2% of the employee’s base earnings towards the DPSP. The DPSP contributions are vested immediately. |
Benefit Plan | Benefit Plan The Company provides eligible HRL employees a Benefit Plan. In general, the Benefit Plan includes extended health care, dental care, basic life insurance, basic accidental death and dismemberment, and disability insurance. |
Net Income/(Loss) per Share and Anti-dilutive Securities | Net Income/(Loss) per Share and Anti-dilutive Securities Basic and diluted net income/(loss) per share is presented in conformity with ASC 260 – Earnings per Share. Basic and diluted net income/(loss) per share has been computed using the weighted-average number of common shares outstanding during the period. Diluted net income/(loss) per share is calculated by adjusting the basic net income/(loss) per share by assuming all dilutive potential ordinary shares are converted. |
Total Comprehensive Income/(Loss) | Total Comprehensive Income/(Loss) The Company follows ASC 220 – Comprehensive Income. Comprehensive income/(loss) is defined as the total change in shareholders’ equity during the period other than from transactions with shareholders, and for the Company, includes net income/(loss). The tax effect allocated to each component of other comprehensive income/(loss) is as follows: Before-Tax Tax (Expense)/ Benefit Net-of-Tax A$ A$ A$ 2019 Foreign currency translation reserve (15,571 ) 0 (15,571 ) Reclassification for gains realised in net income 0 0 0 Other comprehensive loss (15,571 ) 0 (15,571 ) 2018 Foreign currency translation reserve (24,462 ) 0 (24,462 ) Reclassification for gains realised in net income 0 0 0 Other comprehensive loss (24,462 ) 0 (24,462 ) |
Business combinations | Business combinations Business combinations are accounted for using the acquisition method of accounting. Acquisition cost is measured as the aggregate of the fair value at the date of acquisition of the assets given, equity instruments issued or liabilities incurred or assumed. Acquisition related costs are expensed as incurred (except for those costs arising on the issue of equity instruments which are recognised directly in equity). Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured at fair value on the acquisition date. Goodwill is measured as the excess of the acquisition cost, the amount of any non-controlling |
Recent Accounting Pronouncements | Recent Accounting Pronouncements (a) Recent issued accounting standards not yet adopted ASU No.2016-02, On February 25, 2016, the FASB issued ASU 2016-02, 2016-02 The new guidance became effective for public business entities for annual periods beginning after December 15, 2018, and interim periods therein. Early adoption was permitted. The Company has deferred the adoption of this standard as is allowable for an Emerging Growth Company. On January 1, 2020 the Company adopted the new accounting pronouncement ASU 2016-02. This impacted the Company as it relates to its leases which requires a lessee to recognize all long-term leases on its balance sheet as a liability for its lease obligation, measured at the present value of lease payments not yet paid, and a corresponding asset representing its right to use the underlying asset over the lease term and expands disclosure of key information about leasing arrangements. UBI has selected the modified retrospective method where the effect of applying the standard is recognized at the date of initial application, without restating previous years. (b) Recently adopted accounting pronouncements ASU No.2014-09, In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, UBI has selected the modified retrospective method where the effect of applying the standard is recognized at the date of initial application, without restating previous years. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Inventory, Net | Costs of purchased inventory are determined after deducting rebates and discounts. Years Ended December 31, 2019 2018 A$ A$ Raw materials 411,233 302,056 Work in progress 213,080 442,410 Finished goods 453,751 0 1,078,064 744,466 |
Summary of Receivables | Account balances are charged against the allowance when it is probable the receivable will not be recovered. Years Ended December 31, 2019 2018 A$ A$ Accounts receivable 116,626 50,209,561 Allowance for doubtful debts 0 0 116,626 50,209,561 |
Disaggregation of Revenue | In the following table, revenue is disaggregated by major product and service line, and timing of revenue recognition. Year Ended December 31, 2019 2018 A$ A$ Major product/service lines Xprecia Stride TM 4,863,347 1,672,321 Lump sum service fees 0 44,635,704 Quarterly service fees 164,577 21,378,404 Coagulation testing services 1,094,669 1,193,948 Other services 774,606 576,537 6,897,199 69,456,914 Timing of revenue recognition Products and services transferred at a point in time 6,897,199 69,456,914 Services transferred over time 0 0 6,897,199 69,456,914 |
Summary of Information about Receivables,Contract Assets and Contract Liabilities from Contract with Customers | The following table provides information about receivables, contract assets, and contract liabilities from contracts with customers. Year Ended December 31, 2019 2018 A$ A$ Receivables 116,626 50,209,561 Contract assets 0 0 Contract liabilities: - Current 2,682,404 2,356,583 - Non-current 1,421,680 3,463,737 |
Summary of Changes in Contract Assets and Contract Liabilities from Contract with Customers | Significant changes in the contract assets and the contract liabilities balances during the period are as follows: Contract Asset Contract Liability Contract Liability A$ A$ A$ Opening balance (January 1, 2019) 0 2,356,583 3,463,737 Closing balance (December 31, 2019) 0 2,686,404 1,421,680 Increase/(decrease) 0 329,821 (2,042,057 ) Opening balance (January 1, 2018) 0 2,356,583 3,463,737 Closing balance (December 31, 2018) 0 2,356,583 3,463,737 Increase/(decrease) 0 0 0 |
Effects of Allocated Tax to Each Component of Other Comprehensive Loss | The tax effect allocated to each component of other comprehensive income/(loss) is as follows: Before-Tax Tax (Expense)/ Benefit Net-of-Tax A$ A$ A$ 2019 Foreign currency translation reserve (15,571 ) 0 (15,571 ) Reclassification for gains realised in net income 0 0 0 Other comprehensive loss (15,571 ) 0 (15,571 ) 2018 Foreign currency translation reserve (24,462 ) 0 (24,462 ) Reclassification for gains realised in net income 0 0 0 Other comprehensive loss (24,462 ) 0 (24,462 ) |
Commitments and Contingent Li_2
Commitments and Contingent Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future Minimum Lease Payments Under Non-cancelable Operating Leases | The future minimum lease payments under non-cancelable A$ Less than 1 year 735,928 1 – 3 years 839,576 3 – 5 years 0 More than 5 years 0 Total minimum lease payments 1,575,504 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of (Benefit)/Provision for Income Taxes | A reconciliation of the (benefit)/provision for income taxes is as follows: Years ended December 31, 2019 2018 A$ % A$ % Profit/(loss) before income taxes (6,163,764 ) 41,916,920 Computed by applying income tax rate of home jurisd i (1,849,129 ) 30 12,575,076 30 Effect of tax rates in foreign jurisdictions (12,572 ) 1 13,316 0 Research & incentive 1,092,085 (18 ) 4,253,289 10 Disallowed expenses/(income): Acquisition of assets (3,050,837 ) 49 Share based payment (126,525 ) 2 95,564 0 Other (676,733 ) 11 (61,115 ) 0 Utili z y 0 0 (3,298,121 ) (8 ) Utili z 0 0 (13,046,757 ) (31 ) Change in valuation allowance 3,316,210 (54 ) (531,252 ) (1 ) Global intangible low-taxed (9,978 ) 0 4,352,564 10 Income tax expense/(benefit) (1,317,479 ) 21 4,352,564 10 |
Components of Net Income/(Loss) before Income Taxes | The components of our net income/(loss) before income taxes as either domestic or foreign is as follows: As of December 31, 201 9 201 8 A$ A$ Foreign 359,237 (44,386 ) Domestic (Australia) (6,523,001 ) 41,961,306 (6,163,764 ) 41,916,920 |
Significant Components of Deferred Tax Assets | Significant component of the Company’s deferred tax assets and liabilities are shown below: As of December 31, 2019 201 8 A$ A$ Deferred tax assets: Operating loss carry forwards 4,506,287 0 Depreciation and amortization 1,709,678 1,578,478 Asset retirement obligations 780,000 780,000 Employee entitlements 239,899 366,039 Accruals 1,133,073 1,325,955 Decline in value of patents 1,170,092 1,195,965 Unrealized exchange loss 10,020 (583,029 ) Other (20,778 ) 241,152 Total deferred tax assets 9,528,271 4,904,560 Valuation allowance for deferred tax assets (8,220,770 ) (4,904,560 ) Net deferred tax asset 1,307,501 0 Deferred tax liabilities: Intangible assets 4,358,338 0 Total deferred tax liabilities 4,358,338 0 Net deferred tax liabilities 3,050,837 0 |
Employee Incentive Schemes (Tab
Employee Incentive Schemes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Option Activity | Stock option activity during the current period is as follows: Number of shares Weighted average A$ Balance at December 31, 2018 15,153,884 0.63 Granted 0 0.00 Exercised (328,334 ) 0.01 Lapsed (12,914,100 ) 0.67 Balance at December 31, 2019 1,911,450 0.46 |
Stock Options Outstanding | The following table represents information relating to stock options outstanding under the plans as of December 31, 2019: Options Outstanding Options Exercise Price Shares Weighted average $ 0.79 12,000 0 12,000 $ 0.49 55,000 1 55,000 $ 0.00 40,000 1 40,000 $ 0.23 75,000 2 75,000 $ 0.00 40,000 2 40,000 $ 0.45 100,000 3 100,000 $ 0.50 1,165,500 3 1,165,500 $ 0.33 96,500 4 96,500 $ 0.50 327,450 4 327,450 1,911,450 1,911,450 |
Employee Stock Options Exercised and Number of Shares Issued | The table below sets forth the number of employee stock number amended Period Ending Number of Options Exercised and Weighted Proceeds 2018 553,334 A$ 0.00 0 2019 328,334 A$ 0.01 3,400 |
Restricted Shares Issued | The table below sets forth the restricted shares issued by the Company since January 1, 2018: Number of Market Value of December, 2018 191,636 45,993 |
Restricted Stock Awards Activity | Restricted stock awards activity during the current period is as follows: Number of shares Weighted average Balance at December 31, 2018 311,246 0.28 Granted 0 0.00 Release of restricted shares (190,432 ) 0.30 Balance at December 31, 2019 120,814 0.24 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments, All Other Investments [Abstract] | |
Financial Assets | Years Ended December 31, 2019 2018 A$ A$ Financial assets: Cash and cash equivalents 30,229,530 11,797,789 Accounts receivables 116,626 50,209,561 Total financial assets 30,346,156 62,007,350 Debt: Long term secured loan 0 0 Total debt 0 0 Net financial assets 30,346,156 62,007,350 |
Property, Plant and Equipment_2
Property, Plant and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | As of December, 31 2019 2018 A$ A$ Plant and equipment 19,853,389 18,028,590 Leasehold improvements 9,130,310 9,130,310 Capital work in process 38,169 1,943,032 29,021,868 29,101,932 Accumulated depreciation (24,271,802 ) (23,475,544 ) Property, plant & equipment, net 4,750,066 5,626,388 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | Accrued expenses consist of the following: As of December, 31 2019 2018 A$ A$ Legal, tax and accounting fees 689,637 716,937 Salary and related costs 175,241 306,162 Research and development materials 21,037 554,496 Other 129,336 119,049 1,015,251 1,696,644 |
Net Income_(Loss) per Share (Ta
Net Income/(Loss) per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Diluted Net Income/(Loss) per Share | Years Ended December 31, 2019 2018 Weighted average shares used as denominator in calculating: Basic net income/(loss) per share 177,481,639 176,732,183 Diluted net income/(loss) per share 177,481,639 177,152,938 |
Segments (Tables)
Segments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Revenue Based on Location of Customers | Our total revenue as disclosed below is attributed to countries based on location of customer. Location has been determined generally based on contractual arrangements. Years Ended December 31, 2019 2018 A$ A$ Home country - Australia 3,677,486 490,962 Foreign countries - U.S.A. 1,437,998 1,428,350 - Germany 4,785,384 1,603,817 - Switzerland 235,945 66,084,950 - Canada 296,183 238,056 - Other 155,451 101,817 Total - foreign countries 6,910,961 69,456,990 Total income 10,588,447 69,947,952 % of total income derived from - LifeScan 2 % 94 % - Siemens 53 % 3 % - Other 45 % 2 % |
Restricted Cash (Tables)
Restricted Cash (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Cash and Cash Equivalents [Abstract] | |
Reconciliation of Cash and Cash Equivalent and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the consolidated statements of cash flows. Years Ended December 31, 2019 2018 A$ A$ Cash and cash equivalents 30,229,530 11,797,789 Restricted cash - current assets 2,055,473 15,589 Restricted cash - non-current 4,907,904 320,000 37,192,907 12,133,378 |
Restricted Cash Maintained by the Company in the Form of Term Deposits | Restricted cash maintained by the Company in the form of term deposits is as follows: Years Ended December 31, 2019 2018 A$ A$ Collateral for facilities (a) - current assets 16,404 15,589 Performance guarantee (b) - current assets 2,039,069 0 Collateral for facilities (c) - non-current 320,000 320,000 Performance guarantee (b) - non-current 4,587,904 0 6,963,377 335,589 (a) Represents bank guarantee of CDN$ 15,000 (b) Performance guarantee represents letter of credit issued in favour of Siemens pursuant to the 2019 Siemens Agreements. The performance guarantee was initially issued for US$ 5,000,000 42 (c) Represents bank guarantee of A$ 250,000 70,000 |
Acquisition of Assets from Si_2
Acquisition of Assets from Siemens (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | Total identifiable assets acquired at the acquisition date are as follows: A$ Intangible assets - distribution rights 1 12,013,658 Inventory 368,840 Total identifiable assets acquired 12,382,498 Deferred income tax liability on intangible assets 1 4,358,338 16,740,836 Less: Deferred income tax liability on intangible assets 4,358,338 2,213,042 Consideration paid in September 2019 10,169,456 1. Total intangible assets recognized in the balance sheet A$ 16,371,996 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Intangible Assets, Gross (Excluding Goodwill) [Abstract] | |
Schedule of Finite-Lived Intangible Assets | The amortization expense of the intangible assets was A$443,819 for the year December 1 Years Ended December 31, 2019 2018 A$ A$ Intangible assets - gross 16,371,996 0 Less accumulated amortization (443,819 ) 0 Total intangible assets - net 15,928,177 0 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2019 | |
Basis Of Presentation [Line Items] | |
Sufficient cash and cash equivalents to fund our operations | 12 months |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |||||
Jan. 31, 2019AUD ($) | Dec. 31, 2019AUD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018AUD ($) | Dec. 31, 2019USD ($) | Nov. 01, 2019USD ($) | Sep. 18, 2019USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |||||||
Minimum maturity period of highly liquid investments purchase | 3 months | 3 months | |||||
Short-term investments maturity period, minimum | 3 months | 3 months | |||||
Short-term investments maturity period, maximum | 12 months | 12 months | |||||
Impairment of long-lived assets held-for-use | $ 0 | $ 2,574,709 | |||||
Total amount of expected marketing support payments | $ 2,048,602 | ||||||
Asset retirement obligation | 2,600,000 | 2,600,000 | |||||
Revenue recognized | $ 658,675 | ||||||
Refundable tax offset research and development tax incentive income | 20,000,000 | ||||||
Non-refundable tax offset research and development tax incentive income | $ 20,000,000 | ||||||
Refundable tax offset percentage | 43.50% | 43.50% | |||||
Non-refundable tax offset percentage | 38.50% | 38.50% | |||||
Foreign currency transaction losses | $ 550,251 | 577,505 | |||||
Purchase commitments | $ 220,569 | 2,941,864 | |||||
Employer contribution percentage | 9.50% | 9.50% | |||||
Revenue from Contract with Customer, Including Assessed Tax | $ 6,897,199 | 69,456,914 | |||||
Contingent consideration payable | 2,141,022 | 0 | |||||
Prepaid Expense, Current | 135,764 | 158,492 | |||||
Research and development tax incentive income | 2,802,697 | 0 | |||||
Siemens [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Contingent consideration payable | 2,141,022 | $ 1,500,000 | |||||
Service Fees [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Revenue from Contract with Customer, Including Assessed Tax | 164,577 | $ 21,378,404 | |||||
Future Strip [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Prepaid Expense, Current | $ 4,104,084 | $ 2,833,870 | $ 4,000,000 | ||||
Changes in prepaid expenses | $ 1,166,130 | ||||||
Siemens [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Contingent consideration payable | $ 1,500,000 | ||||||
Maximum [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Estimated useful life of machinery and equipment | 10 years | 10 years | |||||
Maximum [Member] | RRSP [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Employer matching contribution percentage | 5.00% | 5.00% | |||||
Maximum [Member] | DPSP [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Employer contribution percentage | 2.00% | 2.00% | |||||
Minimum [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Estimated useful life of machinery and equipment | 3 years | 3 years | |||||
Minimum [Member] | DPSP [Member] | |||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||
Employer contribution percentage | 1.00% | 1.00% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Inventory, Net (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||
Raw materials | $ 411,233 | $ 302,056 |
Work in progress | 213,080 | 442,410 |
Finished goods | 453,751 | 0 |
Inventory, Net, Total | $ 1,078,064 | $ 744,466 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Summary of Receivables (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||
Accounts receivable | $ 116,626 | $ 50,209,561 |
Allowance for doubtful debts | 0 | 0 |
Accounts Receivable, Net, Current, Total | $ 116,626 | $ 50,209,561 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Disaggregation of Revenue (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 6,897,199 | $ 69,456,914 |
Products and Services Transferred at a Point in Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 6,897,199 | 69,456,914 |
Services Transferred Over Time [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 0 | 0 |
Xprecia Stride Strips [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 4,863,347 | 1,672,321 |
Lump sum service fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 0 | 44,635,704 |
Quarterly Service Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 164,577 | 21,378,404 |
Coagulation Testing Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 1,094,669 | 1,193,948 |
Other services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 774,606 | $ 576,537 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Summary of Information about Receivables,Contract Assets and Contract Liabilities from Contract with Customers (Detail) - AUD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accounting Policies [Abstract] | |||
Receivables | $ 116,626 | $ 50,209,561 | |
Contract assets | 0 | 0 | $ 0 |
Contract liabilities: | |||
Current | 2,686,404 | 2,356,583 | 2,356,583 |
Non-current | $ 1,421,680 | $ 3,463,737 | $ 3,463,737 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Summary of Changes in Contract Assets and Contract Liabilities from Contract with Customers (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Contract Asset: | ||
Opening balance, Contract Asset | $ 0 | $ 0 |
Increase/(decrease), Contract Asset | 0 | 0 |
Closing balance, Contract Asset | 0 | 0 |
Contract liabilities: | ||
Opening balance, Contract Liability (Current) | 2,356,583 | 2,356,583 |
Increase/(decrease), Contract Liability (Current) | 329,821 | 0 |
Closing balance, Contract Liability (Current) | 2,686,404 | 2,356,583 |
Opening balance, Contract Liability (Long-Term) | 3,463,737 | 3,463,737 |
Increase/(decrease), Contract Liability (Long-Term) | (2,042,057) | 0 |
Closing balance, Contract Liability (Long-Term) | $ 1,421,680 | $ 3,463,737 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Effects of Allocated Tax to Each Component of Other Comprehensive Loss (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Accounting Policies [Abstract] | ||
Foreign currency translation reserve, before-tax amount | $ (15,571) | $ (24,462) |
Reclassification for gains realized in net income, before-tax amount | 0 | 0 |
Other comprehensive loss, before- tax amount | (15,571) | (24,462) |
Foreign currency translation reserve, tax (expense)/ benefit | 0 | 0 |
Reclassification for gains realized in net income, tax (expense)/ benefit | 0 | 0 |
Other comprehensive income/(loss), tax (expense)/ benefit | 0 | 0 |
Foreign currency translation reserve, net-of-tax amount | (15,571) | (24,462) |
Reclassification for gains realized in net income, net-of-tax amount | 0 | 0 |
Other comprehensive gain/(loss) | $ (15,571) | $ (24,462) |
Commitments and Contingent Li_3
Commitments and Contingent Liabilities - Additional Information (Detail) | Jun. 30, 2018USD ($) | Nov. 30, 2017USD ($) | Dec. 31, 2019AUD ($)m² | Dec. 31, 2018AUD ($) |
Other Commitments [Line Items] | ||||
Bank guarantee in relation to a rental bond to secure the payments under the lease | $ 250,000 | |||
Successive period of leasing | 3 years | |||
Lease expire date | Mar. 31, 2022 | |||
Rent expense | $ 755,419 | $ 750,798 | ||
Hemostasis Reference Laboratory Inc [Member] | ||||
Other Commitments [Line Items] | ||||
Lease expire date | Jan. 31, 2021 | |||
Operating lease area of office and laboratory facilities | m² | 482 | |||
Universal Biosensors Pty Ltd [Member] | ||||
Other Commitments [Line Items] | ||||
Government grants term | 3 years | |||
Government grants commencement date | Jan. 1, 2017 | |||
Government grants received | $ 89,500 | $ 271,318 | ||
Universal Biosensors Pty Ltd [Member] | Maximum [Member] | ||||
Other Commitments [Line Items] | ||||
Government grants receivable | $ 575,000 |
Commitments and Contingent Li_4
Commitments and Contingent Liabilities - Future Minimum Lease Payments Under Non-cancelable Operating Leases (Detail) | Dec. 31, 2019AUD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Less than 1 year | $ 735,928 |
1 - 3 years | 839,576 |
3 - 5 years | 0 |
More than 5 years | 0 |
Total minimum lease payments | $ 1,575,504 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of (Benefit)/Provision for Income Taxes (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Profit/(loss) before income taxes | $ (6,163,764) | $ 41,916,920 |
Computed by applying income tax rate of home jurisdiction | (1,849,129) | 12,575,076 |
Effect of tax rates in foreign jurisdictions | (12,572) | 13,316 |
Research & development incentive | 1,092,085 | 4,253,289 |
Disallowed expenses/(income): | ||
Acquisition of assets | (3,050,837) | |
Share based payment | (126,525) | 95,564 |
Other | (676,733) | (61,115) |
Utilization of carry forward losses | 0 | (3,298,121) |
Utilization of tax credits | 0 | (13,046,757) |
Change in valuation allowance | 3,316,210 | (531,252) |
Global intangible low-taxed income (GILTI) tax | (9,978) | 4,352,564 |
Income tax expense/(benefit) | $ (1,317,479) | $ 4,352,564 |
Computed by applying income tax rate of home jurisidction, percentage rate | 30.00% | 30.00% |
Effect of tax rates in foreign jurisdictions, percentage rate | 1.00% | 0.00% |
Research and development, percentage rate | (18.00%) | 10.00% |
Temporary timing differences: | ||
Acquisition of assets, percentage rate | 49 | |
Share based payment, percentage rate | 2 | 0 |
Other, percentage rate | 11.00% | 0.00% |
Utilisation of carried forward losses | 0.00% | (8.00%) |
Utilisation of tax credits | (0.00%) | (31.00%) |
Change in valuation allowance, percentage rate | (54.00%) | (1.00%) |
Global intangible low-taxed income (GILTI) tax | 0 | 10 |
Income tax expense/(benefit), percentage rate | 21.00% | 10.00% |
Income Taxes - Components of Ne
Income Taxes - Components of Net Income/(Loss) before Income Taxes (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Foreign | $ 359,237 | $ (44,386) |
Domestic (Australia) | (6,523,001) | 41,961,306 |
Net income/(loss) before tax | $ (6,163,764) | $ 41,916,920 |
Income Taxes - Significant Comp
Income Taxes - Significant Components of Deferred Tax Assets (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Operating loss carry forwards | $ 4,506,287 | $ 0 |
Depreciation and amortization | 1,709,678 | 1,578,478 |
Asset retirement obligations | 780,000 | 780,000 |
Employee entitlements | 239,899 | 366,039 |
Accruals | 1,133,073 | 1,325,955 |
Decline in value of patents | 1,170,092 | 1,195,965 |
Unrealized exchange loss | 10,020 | (583,029) |
Other | (20,778) | 241,152 |
Total deferred tax assets | 9,528,271 | 4,904,560 |
Valuation allowance for deferred tax assets | (8,220,770) | (4,904,560) |
Net deferred tax asset | 1,307,501 | 0 |
Deferred tax liabilities: | ||
Intangible assets | 4,358,338 | 0 |
Total deferred tax liabilities | 4,358,338 | 0 |
Net deferred tax liabilities | $ 3,050,837 | $ 0 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | 12 Months Ended | |||
Dec. 31, 2019AUD ($) | Dec. 31, 2018AUD ($) | Dec. 31, 2019CAD ($) | Dec. 31, 2018CAD ($) | |
Income Taxes [Line Items] | ||||
Accumulated tax losses available for carry forward against future earnings | $ 15,020,955 | $ 0 | ||
Non-refundable R&D tax offset | $ 3,374,776 | $ 3,374,776 | ||
Effective tax rate | 30.00% | 30.00% | ||
Internal Revenue Service (IRS) [Member] | ||||
Income Taxes [Line Items] | ||||
Accumulated tax losses available for carry forward against future earnings | $ 0 | |||
Effective tax rate | 34.00% | 21.00% | ||
Deferred tax benefit on new rate | $ 0 | |||
Hemostasis Reference Laboratory Inc [Member] | Canada Revenue Agency [Member] | ||||
Income Taxes [Line Items] | ||||
Accumulated tax losses available for carry forward against future earnings | $ 401,743 | $ 738,848 |
Employee Incentive Schemes - Ad
Employee Incentive Schemes - Additional Information (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of common stock given to each option holder | 1 | |
Term of options granted | 0 years | |
Options granted | 0 | 0 |
Number of options exercisable | 1,911,450 | 7,510,888 |
Stock compensation expense/(income) recognized | $ 421,750 | $ 318,545 |
Restricted shares of common stock to employees | $ 1,000 | |
Period of non traded years of existing shares of common stock | 3 years | |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period of options granted | 10 years | 3 years |
Options granted | 0 | |
Number of options exercisable | 1,911,450 | |
Unrecognized compensation expense related to unvested share-based compensation arrangements | $ 0 | |
Aggregate intrinsic value for all options outstanding | $ 0 | $ 0 |
Employee Incentive Schemes - St
Employee Incentive Schemes - Stock Option Activity (Detail) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock Options, Number of shares, Granted | 0 | 0 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock Options, Outstanding Number of shares, Beginning Balance | 15,153,884 | |
Stock Options, Number of shares, Granted | 0 | |
Stock Options, Number of shares, Exercised | (328,334) | (553,334) |
Stock Options, Number of shares, Lapsed | (12,914,100) | |
Stock Options, Outstanding Number of shares, Ending Balance | 1,911,450 | 15,153,884 |
Stock Options, Weighted average exercise price, Beginning Balance | $ 0.63 | |
Stock Options, Weighted average issue price, Granted | 0 | |
Stock Options, Weighted average exercise price, Exercised | 0.01 | $ 0 |
Stock Options, Weighted average exercise price, Lapsed | 0.67 | |
Stock Options, Weighted average exercise price, Ending Balance | $ 0.46 | $ 0.63 |
Employee Incentive Schemes - _2
Employee Incentive Schemes - Stock Options Outstanding (Detail) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Options Exercisable Shares | 1,911,450 | 7,510,888 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.46 | $ 0.63 |
Options Outstanding, Shares | 1,911,450 | 15,153,884 |
Options Exercisable Shares | 1,911,450 | |
Exercise Price One [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.79 | |
Options Outstanding, Shares | 12,000 | |
Options Outstanding, Weighted average remaining life in years | 0 years | |
Options Exercisable Shares | 12,000 | |
Exercise Price Two [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.49 | |
Options Outstanding, Shares | 55,000 | |
Options Outstanding, Weighted average remaining life in years | 1 year | |
Options Exercisable Shares | 55,000 | |
Exercise Price Three [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0 | |
Options Outstanding, Shares | 40,000 | |
Options Outstanding, Weighted average remaining life in years | 1 year | |
Options Exercisable Shares | 40,000 | |
Exercise Price Four [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.23 | |
Options Outstanding, Shares | 75,000 | |
Options Outstanding, Weighted average remaining life in years | 2 years | |
Options Exercisable Shares | 75,000 | |
Exercise Price Five [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0 | |
Options Outstanding, Shares | 40,000 | |
Options Outstanding, Weighted average remaining life in years | 2 years | |
Options Exercisable Shares | 40,000 | |
Exercise Price Six [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.45 | |
Options Outstanding, Shares | 100,000 | |
Options Outstanding, Weighted average remaining life in years | 3 years | |
Options Exercisable Shares | 100,000 | |
Exercise Price Seven [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.50 | |
Options Outstanding, Shares | 1,165,500 | |
Options Outstanding, Weighted average remaining life in years | 3 years | |
Options Exercisable Shares | 1,165,500 | |
Exercise Price Eight [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.33 | |
Options Outstanding, Shares | 96,500 | |
Options Outstanding, Weighted average remaining life in years | 4 years | |
Options Exercisable Shares | 96,500 | |
Exercise Price Nine [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Exercise Price | $ 0.50 | |
Options Outstanding, Shares | 327,450 | |
Options Outstanding, Weighted average remaining life in years | 4 years | |
Options Exercisable Shares | 327,450 |
Employee Incentive Schemes - Em
Employee Incentive Schemes - Employee Stock Options Exercised and Number of Shares Issued (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Proceeds Received | $ 3,400 | $ 0 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Options Exercised and Corresponding Number of Shares Issued | 328,334 | 553,334 |
Weighted Average Exercise Price | $ 0.01 | $ 0 |
Proceeds Received | $ 3,400 | $ 0 |
Employee Incentive Schemes - Re
Employee Incentive Schemes - Restricted Shares Issued (Detail) | 1 Months Ended |
Dec. 31, 2018AUD ($)shares | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Number of Restricted Shares Issued | shares | 191,636 |
Market Value of Restricted Shares Issued | $ | $ 45,993 |
Employee Incentive Schemes - _3
Employee Incentive Schemes - Restricted Stock Awards Activity (Detail) - Restricted Stock [Member] | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares, Beginning Balance | shares | 311,246 |
Number of shares, Granted | shares | 0 |
Number of shares, Release of restricted shares | shares | (190,432) |
Number of shares, Ending Balance | shares | 120,814 |
Weighted average issue price, Beginning Balance | $ / shares | $ 0.28 |
Weighted average issue price, Granted | $ / shares | 0 |
Weighted average issue price, Release of restricted shares | $ / shares | 0.30 |
Weighted average issue price, Ending Balance | $ / shares | $ 0.24 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - AUD ($) | 1 Months Ended | 12 Months Ended | |
Sep. 30, 2011 | Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||
Agreement of milestone payments | $ 6,897,199 | $ 69,456,914 | |
SpeeDx [Member] | |||
Related Party Transaction [Line Items] | |||
Agreement of milestone payments | $ 500,000 | ||
License agreement termination period | 7 years | ||
License agreement termination date | Mar. 29, 2019 | ||
SpeeDx [Member] | Minimum [Member] | |||
Related Party Transaction [Line Items] | |||
Sales and licensing revenues payments | 5.00% | ||
SpeeDx [Member] | Maximum [Member] | |||
Related Party Transaction [Line Items] | |||
Sales and licensing revenues payments | 15.00% | ||
Viburnum Funds Pty Ltd [Member] | |||
Related Party Transaction [Line Items] | |||
Ownership shares held in Company which has one of our directors | 21.00% | ||
Expenditure reimbursed | $ 14,548 | $ 21,716 |
Financial Instruments - Financi
Financial Instruments - Financial Assets (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Financial assets: | ||
Cash and cash equivalents | $ 30,229,530 | $ 11,797,789 |
Accounts receivable | 116,626 | 50,209,561 |
Total financial assets | 30,346,156 | 62,007,350 |
Debt: | ||
Long term secured loan | 0 | 0 |
Total debt | 0 | 0 |
Net financial assets | $ 30,346,156 | $ 62,007,350 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2019AUD ($)Contracts | Dec. 31, 2018AUD ($)Contracts | |
Fair Value Disclosures [Abstract] | ||
Impairments recognized during the year | $ | $ 0 | $ 0 |
Outstanding contracts | Contracts | 0 | 0 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Property, Plant and Equipment Net (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 29,021,868 | $ 29,101,932 |
Accumulated depreciation | (24,271,802) | (23,475,544) |
Property, plant and equipment - net | 4,750,066 | 5,626,388 |
Plant and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | 19,853,389 | 18,028,590 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | 9,130,310 | 9,130,310 |
Accumulated depreciation | (9,130,310) | (8,993,225) |
Capital Work in Process [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 38,169 | $ 1,943,032 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Additional Information (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | ||
Accumulated amortization of capitalized leasehold improvements | $ 24,271,802 | $ 23,475,544 |
Government grant netted against property plant and equipment | 360,818 | 360,818 |
Depreciation expense | 1,066,352 | 2,113,454 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Accumulated amortization of capitalized leasehold improvements | $ 9,130,310 | $ 8,993,225 |
Accrued Expenses - Accrued Expe
Accrued Expenses - Accrued Expenses (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Payables and Accruals [Abstract] | ||
Legal, tax and accounting fees | $ 689,637 | $ 716,937 |
Salary and related costs | 175,241 | 306,162 |
Research and development materials | 21,037 | 554,496 |
Other | 129,336 | 119,049 |
Accrued expenses | $ 1,015,251 | $ 1,696,644 |
Stockholders' Equity - Common_2
Stockholders' Equity - Common Stock - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Vote entitled to holders of common stock | one vote per share |
Beneficial ownership for CHESS Depositary Interests ("CDIs") | one underlying share |
Net Income_(Loss) per Share - D
Net Income/(Loss) per Share - Diluted Net Income/(Loss) per Share (Detail) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Weighted average shares used as denominator in calculating: | ||
Basic net income/(loss) per share | 177,481,639 | 176,732,183 |
Diluted net income/(loss) per share | 177,481,639 | 177,152,938 |
Net Income_(Loss) per Share - A
Net Income/(Loss) per Share - Additional Information (Detail) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Number of anti-dilutive shares not included in the calculation of basic net income/(loss) per ordinary share | 80,000 | 420,755 |
Guarantees and Indemnificatio_2
Guarantees and Indemnifications - Additional Information (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Indemnities [Member] | ||
Commitments And Guarantee Obligations [Line Items] | ||
Indemnification liability | $ 0 | $ 0 |
Segments - Additional Informati
Segments - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2019SegmentAreas | |
Segment Reporting [Abstract] | |
Operating segments | Segment | 1 |
Number of geographical area of operation | Areas | 1 |
Segments - Revenue Based on Loc
Segments - Revenue Based on Location of Customers (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | ||
Total revenue | $ 6,897,199 | $ 69,456,914 |
Total income | 6,897,199 | 69,456,914 |
AUSTRALIA [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 3,677,486 | 490,962 |
UNITED STATES [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 1,437,998 | 1,428,350 |
GERMANY [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 4,785,384 | 1,603,817 |
SWITZERLAND [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 235,945 | 66,084,950 |
CANADA [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 296,183 | 238,056 |
Other Countries [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 155,451 | 101,817 |
Foreign Countries [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | $ 6,910,961 | $ 69,456,990 |
Sales Revenue, Net [Member] | Life Scan [Member] | ||
Segment Reporting Information [Line Items] | ||
Concentration risk percentage | 2.00% | 94.00% |
Sales Revenue, Net [Member] | Siemens [Member] | ||
Segment Reporting Information [Line Items] | ||
Concentration risk percentage | 53.00% | 3.00% |
Sales Revenue, Net [Member] | Other [Member] | ||
Segment Reporting Information [Line Items] | ||
Concentration risk percentage | 45.00% | 2.00% |
Borrowings - Additional Informa
Borrowings - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2018USD ($) | Dec. 29, 2017USD ($) | Dec. 31, 2019AUD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018AUD ($) | Jan. 31, 2018USD ($) | Dec. 31, 2013USD ($) | Dec. 19, 2013USD ($)shares | Dec. 19, 2013$ / shares | |
Debt Instrument [Line Items] | |||||||||
Borrowing costs | $ 0 | $ 256,410 | |||||||
Number of common stock entitled by issuing warrants | shares | 4,500,000 | ||||||||
Exercise price of warrants | $ / shares | $ 1 | ||||||||
Percentage of premium over closing price of common stock | 117.00% | ||||||||
Warrants exercisable period | 7 years | 7 years | |||||||
Athyrium Credit Agreement [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Athyrium credit agreement, date | Dec. 19, 2013 | Dec. 19, 2013 | |||||||
Secured term loan, amount | $ 25,000,000 | ||||||||
Secured term loan, drawn amount | $ 15,000,000 | ||||||||
Secured term loan, undrawn amount | $ 10,000,000 | ||||||||
Line of credit facility expiration date | Jul. 1, 2019 | Jul. 1, 2019 | |||||||
Interest charged | 10.50% | ||||||||
Default interest rate under credit agreement | 13.00% | 13.00% | |||||||
Minimum voluntary repayments | $ 2,500,000 | ||||||||
Prepayment premium after second anniversary, percentage | 15.00% | 15.00% | |||||||
Prepayment premium | $ 62,500 | ||||||||
Number of common stock entitled by issuing warrants | shares | 4,500,000 | ||||||||
Exercise price of warrants | $ / shares | $ 1 | ||||||||
Percentage of premium over closing price of common stock | 117.00% | ||||||||
Warrants exercisable period | 7 years | 7 years | |||||||
Athyrium Credit Agreement [Member] | Amendment [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit facility expiration date | Jul. 1, 2019 | ||||||||
Line of credit related fees | $ 2,000,000 | ||||||||
Stock repurchase program, authorized amount | $ 200,000 | ||||||||
Borrowing costs | $ 200,000 |
Warrants - Additional Informati
Warrants - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2019USD ($)shares | Dec. 19, 2013$ / sharesshares | |
Other Liabilities Disclosure [Abstract] | ||
Number of common stock entitled by issuing warrants | 4,500,000 | |
Exercise price of warrants | $ / shares | $ 1 | |
Percentage of premium over closing price of common stock | 117.00% | |
Warrants exercisable period | 7 years | |
Warrants exercise expiration date | Dec. 19, 2020 | |
Warrants exercise in multiples of shares, minimum | 500,000 | |
Grant date fair value included in equity | $ | $ 815,655 |
Restricted Cash - Reconciliatio
Restricted Cash - Reconciliation of Cash and Cash Equivalent and Restricted Cash (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Cash and Cash Equivalents [Abstract] | ||
Cash and cash equivalents | $ 30,229,530 | $ 11,797,789 |
Restricted cash - current assets | 2,055,473 | 15,589 |
Restricted cash - non-current assets | 4,907,904 | 320,000 |
Total | $ 37,192,907 | $ 12,133,378 |
Restricted Cash - Restricted Ca
Restricted Cash - Restricted Cash Maintained by the Company in the Form of Term Deposits (Detail) | Dec. 31, 2019AUD ($) | Sep. 18, 2019USD ($) | Dec. 31, 2018AUD ($) |
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Restricted cash, current | $ 2,055,473 | $ 15,589 | |
Restricted cash, noncurrent | 4,907,904 | 320,000 | |
Total | 6,963,377 | 335,589 | |
Collateral for Facilities [Member] | |||
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Restricted cash, current | 16,404 | 15,589 | |
Restricted cash, noncurrent | 320,000 | 320,000 | |
Performance Guarantee [Member] | |||
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Restricted cash, current | 2,039,069 | 0 | |
Restricted cash, noncurrent | $ 4,587,904 | $ 0 | |
Total | $ 5,000,000 |
Restricted Cash - Restricted _2
Restricted Cash - Restricted Cash Maintained by the Company in the Form of Term Deposits (Parenthetical) (Detail) | Dec. 31, 2019AUD ($) | Dec. 31, 2019CAD ($) | Sep. 18, 2019USD ($) | Dec. 31, 2018AUD ($) |
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted Cash | $ 6,963,377 | $ 335,589 | ||
Performance Guarantee [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted Cash | $ 5,000,000 | |||
Collateral for Facilities [Member] | HRL Credit Card [Member] | Restricted Cash Current Asset [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Security deposit | $ 15,000 | |||
Collateral for Facilities [Member] | Commercial Leases [Member] | Restricted Cash NonCurrent Asset [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Security deposit | 250,000 | |||
Collateral for Facilities [Member] | Credit Card [Member] | Restricted Cash NonCurrent Asset [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Security deposit | $ 70,000 |
Restricted Cash - Additional In
Restricted Cash - Additional Information (Detail) - AUD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash and Cash Equivalents [Abstract] | ||
Interest earned on restricted cash | $ 25,113 | $ 62,037 |
Acquisition of Assets from Si_3
Acquisition of Assets from Siemens - Additional information (Detail) | Sep. 23, 2019USD ($) | Sep. 18, 2018USD ($) | Dec. 31, 2019AUD ($) | Dec. 31, 2018AUD ($) | Sep. 18, 2019USD ($) |
Contingent consideration | $ 2,141,022 | $ 0 | |||
Business combination consideration paid | 10,169,456 | $ 0 | |||
Siemens [Member] | |||||
Consideration transferred | $ 13,000,000 | ||||
Contingent consideration | $ 2,141,022 | $ 1,500,000 | |||
Contingent consideration Non-current | $ 500,000 | ||||
Business combination consideration paid | $ 11,000,000 |
Acquisition of Assets from Si_4
Acquisition of Assets from Siemens-Schedule Of Business Acquisitions By Acquisition (Detail) - Siemens [Member] | Dec. 31, 2019AUD ($) |
Business Acquisition [Line Items] | |
Intangible assets - distribution rights | $ 12,013,658 |
Inventory | 368,840 |
Total identifiable assets acquired | 12,382,498 |
Deferred income tax liabilty on intangible assets | 4,358,338 |
Total | 16,740,836 |
Less: Deferred income tax liabilty on intangible assets | 4,358,338 |
Contingent consideration | 2,213,042 |
Net Consideration paid | $ 10,169,456 |
Acquisition of Assets from Si_5
Acquisition of Assets from Siemens-Schedule Of Business Acquisitions By Acquisition (Parenthetical) (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Business Combinations [Abstract] | ||
Intangible assets gross | $ 16,371,996 | $ 0 |
Intangible Assets (Detail)
Intangible Assets (Detail) - AUD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Intangible Assets, Gross (Excluding Goodwill) [Abstract] | ||
Intangible assets - gross | $ 16,371,996 | $ 0 |
Less accumulated amortization | (443,819) | 0 |
Intangible assets - net | $ 15,928,177 | $ 0 |
Intangible Assets - Additional
Intangible Assets - Additional information (Detail) | 12 Months Ended |
Dec. 31, 2019AUD ($) | |
Amortization expense | $ 443,819 |
Schedule II - Valuation and Q_2
Schedule II - Valuation and Qualifying Accounts (Detail) - SEC Schedule, 12-09, Valuation Allowance, Deferred Tax Asset [Member] - AUD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||
Balance at Beginning of Period | $ 4,904,560 | $ 7,931,607 |
Additions Charged to Costs and Expenses | 4,623,711 | (16,876,129) |
Additions Charged to Other Accounts | 0 | 13,849,082 |
Deductions | (1,307,501) | 0 |
Balance at end of Period | $ 8,220,770 | $ 4,904,560 |