Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 22, 2019 | Jun. 30, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | WATT | ||
Entity Registrant Name | Energous Corp | ||
Entity Central Index Key | 1,575,793 | ||
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 | Accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 26,683,458 | ||
Entity Public Float | $ 364,922,818 |
Balance Sheets
Balance Sheets - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 20,106,485 | $ 12,795,254 |
Accounts receivable | 44,550 | 0 |
Prepaid expenses and other current assets | 581,040 | 1,026,310 |
Prepaid rent, current | 56,668 | 80,784 |
Total current assets | 20,788,743 | 13,902,348 |
Property and equipment, net | 1,219,016 | 1,413,917 |
Prepaid rent, non-current | 56,668 | |
Other assets | 2,410 | 32,512 |
Total assets | 22,010,169 | 15,405,445 |
Current liabilities: | ||
Accounts payable | 1,861,385 | 2,024,690 |
Accrued expenses | 1,778,349 | 1,622,025 |
Total current liabilities | 3,639,734 | 3,646,715 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred Stock, $0.00001 par value, 10,000,000 shares authorized at December 31, 2018 and December 31, 2017; no shares issued or Outstanding | ||
Common Stock, $0.00001 par value, 50,000,000 shares authorized at December 31, 2018 and December 31, 2017; 26,526,303 and 22,584,588 shares issued and outstanding at December 31, 2018 and December 31, 2017, respectively. | 265 | 225 |
Additional paid-in capital | 243,111,741 | 185,659,954 |
Accumulated deficit | (224,741,571) | (173,901,449) |
Total stockholders’ equity | 18,370,435 | 11,758,730 |
Total liabilities and stockholders’ equity | $ 22,010,169 | $ 15,405,445 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.00001 | $ 0.00001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.00001 | $ 0.00001 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares issued | 26,526,303 | 22,584,588 |
Common stock, shares outstanding | 26,526,303 | 22,584,588 |
Statements of Operations
Statements of Operations - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement [Abstract] | ||
Revenue | $ 514,823 | $ 1,154,009 |
Operating expenses: | ||
Research and development | 32,871,685 | 33,230,668 |
Sales and marketing | 6,185,159 | 5,207,746 |
General and administrative | 12,387,389 | 12,103,423 |
Total operating expenses | 51,444,233 | 50,541,837 |
Loss from operations | (50,929,410) | (49,387,828) |
Other income (expense): | ||
Interest income, net | 89,288 | 11,679 |
Loss on sale of property and equipment | (726) | |
Total | 89,288 | 10,953 |
Net loss | $ (50,840,122) | $ (49,376,875) |
Basic and diluted loss per common share | $ (1.99) | $ (2.31) |
Weighted average shares outstanding, basic and diluted | 25,486,270 | 21,343,001 |
Statement of Changes in Stockho
Statement of Changes in Stockholder's Equity - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] |
Beginning balance at Dec. 31, 2016 | $ 28,551,223 | $ 202 | $ 153,075,595 | $ (124,524,574) |
Beginning balance (in shares) at Dec. 31, 2016 | 20,367,929 | |||
Stock-based compensation - stock options | 764,723 | 764,723 | ||
Stock-based compensation - restricted stock units ("RSUs") | 13,043,171 | 13,043,171 | ||
Stock based compensation - deferred stock units ("DSUs") | 1,362 | 1,362 | ||
Stock-based compensation - employee stock purchase plan ("ESPP") | 331,913 | 331,913 | ||
Stock-based compensation - performance share units ("PSUs") | 1,661,650 | 1,661,650 | ||
Issuance of shares for RSUs | $ 8 | (8) | ||
Issuance of shares for RSUs (in shares) | 781,051 | |||
Issuance of shares for DSUs (in shares) | 14,953 | |||
Issuance of shares for PSUs | $ 1 | (1) | ||
Issuance of shares for PSUs (in shares) | 90,000 | |||
Exercise of stock options | 979,950 | $ 3 | 979,947 | |
Exercise of stock options (in shares) | 272,205 | |||
Cashless exercise of warrants (in shares) | 19,611 | |||
Shares purchased from contributions to the ESPP | 869,066 | $ 1 | 869,065 | |
Shares purchased from contributions to the ESPP (in shares) | 62,700 | |||
Issuance of shares and warrants in private placements, net of issuance costs | 14,932,547 | $ 10 | 14,932,537 | |
Issuance of shares and warrants in private placements, net of issuance costs (in shares) | 976,139 | |||
Net loss | (49,376,875) | (49,376,875) | ||
Ending balance at Dec. 31, 2017 | 11,758,730 | $ 225 | 185,659,954 | (173,901,449) |
Ending balance (in shares) at Dec. 31, 2017 | 22,584,588 | |||
Stock-based compensation - restricted stock units ("RSUs") | 15,359,011 | 15,359,011 | ||
Stock-based compensation - employee stock purchase plan ("ESPP") | 574,927 | 574,927 | ||
Stock-based compensation - performance share units ("PSUs") | 819,816 | 819,816 | ||
Issuance of shares for RSUs | $ 10 | (10) | ||
Issuance of shares for RSUs (in shares) | 963,019 | |||
Issuance of shares for PSUs | $ 3 | (3) | ||
Issuance of shares for PSUs (in shares) | 294,969 | |||
Exercise of stock options | 1,319,461 | $ 4 | 1,319,457 | |
Exercise of stock options (in shares) | 380,745 | |||
Cashless exercise of warrants (in shares) | 19,359 | |||
Shares purchased from contributions to the ESPP | 531,797 | $ 1 | 531,796 | |
Shares purchased from contributions to the ESPP (in shares) | 62,168 | |||
Issuance of shares in an at-the-market ("ATM") placement, net of issuance costs | 38,846,815 | $ 22 | 38,846,793 | |
Issuance of shares in an at-the-market ("ATM") placement, net of issuance costs (in shares) | 2,221,455 | |||
Net loss | (50,840,122) | (50,840,122) | ||
Ending balance at Dec. 31, 2018 | $ 18,370,435 | $ 265 | $ 243,111,741 | $ (224,741,571) |
Ending balance (in shares) at Dec. 31, 2018 | 26,526,303 |
Statement of Changes in Stock_2
Statement of Changes in Stockholder's Equity (Parenthetical) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Statement Of Stockholders Equity [Abstract] | ||
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs | $ 1,153,715 | $ 67,388 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (50,840,122) | $ (49,376,875) |
Adjustments to reconcile net loss to Net cash used in operating activities: | ||
Depreciation and amortization | 1,054,720 | 1,309,980 |
Stock based compensation | 16,753,754 | 15,802,819 |
Loss on sale of property and equipment | 726 | |
Amortization of prepaid rent from stock issuance to landlord | 80,784 | 80,784 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (44,550) | 149,500 |
Prepaid expenses and other current assets | 445,270 | 348,275 |
Other assets | 30,102 | 15,995 |
Accounts payable | (163,305) | (2,683,073) |
Accrued expenses | 156,324 | 53,530 |
Deferred revenue | (131,959) | |
Net cash used in operating activities | (32,527,023) | (34,430,298) |
Cash flows from investing activities: | ||
Purchases of property and equipment | (859,819) | (817,448) |
Proceeds from the sale of property and equipment | 2,800 | |
Net cash used in investing activities | (859,819) | (814,648) |
Cash flows from financing activities: | ||
Net proceeds from the sales of common stock | 38,846,815 | |
Net proceeds from issuance of shares to private investors | 14,932,547 | |
Proceeds from the exercise of stock options | 1,319,461 | 979,950 |
Proceeds from contributions to employee stock purchase Plan | 531,797 | 869,066 |
Net cash provided by financing activities | 40,698,073 | 16,781,563 |
Net increase (decrease) in cash and cash equivalents | 7,311,231 | (18,463,383) |
Cash and cash equivalents - beginning | 12,795,254 | 31,258,637 |
Cash and cash equivalents - ending | 20,106,485 | 12,795,254 |
Restricted Stock Units (RSUs) [Member] | ||
Supplemental disclosure of non-cash financing activities: | ||
Common stock issued | 10 | 8 |
Performance Shares [Member] | ||
Supplemental disclosure of non-cash financing activities: | ||
Common stock issued | $ 3 | $ 1 |
Business Organization, Nature o
Business Organization, Nature of Operations | 12 Months Ended |
Dec. 31, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Business Organization, Nature of Operations | Note 1 – Business Organization, Nature of Operations Energous Corporation (the “Company”) was incorporated in Delaware on October 30, 2012. The Company has developed its WattUp® technology, consisting of proprietary semiconductor chipsets, software, hardware designs and antennas, that enables radio frequency (“RF”) based charging for electronic devices, providing wire-free contact and non-contact charging solutions, with the potential to enable charging with mobility. The Company believes its proprietary WattUp technology can be utilized in consumer electronics such as wearables, hearing aids, earbuds, Bluetooth headsets, Internet of Things (“IoT”) devices, smartphones, tablets, e-book readers, keyboards, mice, remote controls, rechargeable lights, cylindrical batteries, medical devices and other devices with charging requirements that would otherwise require a battery or external power connection. |
Liquidity and Management Plans
Liquidity and Management Plans | 12 Months Ended |
Dec. 31, 2018 | |
Liquidity And Management Plan Disclosure [Abstract] | |
Liquidity and Management Plans | Note 2 – Liquidity and Management Plans During the year ended December 31, 2018, the Company has recorded revenue of $514,823. The Company incurred a net loss of $50,840,122 and $49,376,875 for the years ended December 31, 2018 and 2017, respectively. Net cash used in operating activities was $32,527,023 and $34,430,298 for the years ended December 31, 2018 and 2017, respectively. The Company is currently meeting its liquidity requirements through an at-the-market (“ATM”) sale of common stock in January 2018, which raised net proceeds of $38,846,815, and payments received under product development projects. As of December 31, 2018, the Company had cash on hand of $20,106,485. The Company expects that cash on hand as of December 31, 2018, together with anticipated revenues, together with potential new financing activities, including potential sales of stock, will be sufficient to fund the Company’s operations into the first quarter of 2020. As noted in Note 13 – Subsequent Events, the Company has a firm commitment to raise $23.3 million (net of underwriters’ discount of $1.5 million and offering expenses of $200,000) from the sale of stock in February 2019. Research and development of new technologies is by its nature unpredictable. Although the Company will undertake development efforts with commercially reasonable diligence, there can be no assurance that its available resources, including the net proceeds from the Company’s financings to date, will be sufficient to enable it to develop and obtain regulatory approval of its technology to the extent needed to create future revenues sufficient to sustain its operations. The Company intends to pursue additional financing, which could include follow-on offerings of equity or debt securities, bank financings, commercial agreements with customers or strategic partners, and other alternatives., depending upon market conditions. Should the Company choose to pursue additional financing, there is no assurance that such financing would be available on terms that it would find acceptable, or at all. The market for products using the Company’s technology is broad, but is nascent and unproven, so the Company’s success is sensitive to many factors, including technological feasibility, regulatory approval, customer acceptance, competition and global market fluctuations. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 3 – Summary of Significant Accounting Policies Basis of Presentation The accompanying financial statements are presented in U.S. dollars and have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), and pursuant to the accounting and disclosure rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities at the date of the financial statements as well as the reported expenses during the reporting periods. The Company’s significant estimates and assumptions include the valuation of stock-based compensation instruments, recognition of revenue, the useful lives of long-lived assets, and income tax expense. Some of these judgments can be subjective and complex, and, consequently, actual results may differ from these estimates. Although the Company believes that its estimates and assumptions are reasonable, they are based upon information available at the time the estimates and assumptions were made. Actual results could differ from those estimates. Cash and Cash Equivalents The Company considers all short-term, highly liquid investments with an original maturity at the date of purchase of three months or less to be cash equivalents. The Company maintains cash balances that may be uninsured or in deposit accounts that exceed Federal Deposit Insurance Corporation limits. The Company maintains its cash deposits with major financial institutions. Revenue Recognition On January 1, 2018, the Company adopted Accounting Standards Update No. 2014-09, "Revenue from Contracts with Customers" (Topic 606), which is described below in Recent Accounting Pronouncements. In accordance with Topic 606, the Company recognizes revenue using the following five-step approach: 1. Identify the contract with the customer. 2. Identify the performance obligations in the contract. 3. Determine the transaction price of the contract. 4. Allocate the transaction price to the performance obligations of the contract. 5. Recognize revenue when the performance obligations are met or delivered. The Company records revenue associated with product development projects that it enters into with certain customers. In general, these development projects are complex, and the Company does not have certainty about its ability to achieve the project milestones. The achievement of a milestone is dependent on the Company’s performance obligation, and requires acceptance by the customer. The Company recognizes revenue based on when the performance obligation is met. However, the Company does not recognize revenue in excess of an accepted milestone, as there would be uncertainty of payment for work that has not been accepted. The payment associated with achieving the performance obligation is generally commensurate with the Company’s effort or the value of the deliverable and is nonrefundable. The Company records the expenses related to these projects in research and development expense, in the periods such expenses were incurred. The Company also records royalty revenue from its manufacturing partner, Dialog, based on shipments from Dialog to its customers. Research and Development Research and development expenses are charged to operations as incurred. For internally developed patents, all patent application costs are expensed as incurred as research and development expense. Patent application costs, which are generally legal costs, are expensed as research and development costs until such time as the future economic benefits of such patents become more certain. The Company incurred research and development costs of $32,871,685 and $33,230,668 for the years ended December 31, 2018 and 2017, respectively. Note 3 – Summary of Significant Accounting Policies, continued Stock-Based Compensation The Company accounts for equity instruments issued to employees in accordance with accounting guidance that requires awards to be recorded at their fair value on the date of grant and are amortized over the vesting period of the award. The Company recognizes compensation costs on a straight line basis over the requisite service period of the award, which is typically the vesting term of the equity instrument issued. Under the Company’s Employee Stock Purchase Plan (“ESPP”), employees may purchase a limited number of shares of the Company’s stock at a 15% discount from the lower of the closing market prices measured on the first and last days of each half-year period. The Company recognizes stock-based compensation expense for the fair value of the purchase options, as measured on the grant date. Income Taxes Tax benefits are recognized only for tax positions that are more likely than not to be sustained upon examination by tax authorities. The amount recognized is measured as the largest amount of benefit that is greater than 50 percent likely to be realized upon settlement. A liability for “unrecognized tax benefits” is recorded for any tax benefits claimed in the Company’s tax returns that do not meet these recognition and measurement standards. As of December 31, 2018, no liability for unrecognized tax benefits was required to be reported. The guidance also discusses the classification of related interest and penalties on income taxes. The Company’s policy is to record interest and penalties on uncertain tax positions as a component of income tax expense. No interest or penalties were recorded during the years ended December 31, 2018 and 2017. The Company files income tax returns with the United States and California governments. Net Loss Per Common Share Basic net loss per share is computed by dividing net loss available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed using the weighted average number of common shares and, if dilutive, potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable upon the exercise of stock options and warrants (using the treasury stock method), the vesting of restricted stock units (“RSUs”) and performance stock units (“PSUs”) and the enrollment of employees in the ESPP. The computation of diluted loss per share excludes potentially dilutive securities of 6,161,356 and 7,324,400 for the years ended December 31, 2018 and 2017, respectively, because their inclusion would be antidilutive. Potentially dilutive securities outlined in the table below have been excluded from the computation of diluted net loss per share because the effect of their inclusion would have been anti-dilutive. For the Years Ended December 31, 2018 2017 Financing Warrant to purchase common stock — 13,889 IPO Warrants to purchase common stock — 11,600 Warrants issued to private investors 3,035,688 3,035,688 Options to purchase common stock 656,494 1,037,239 RSUs 2,469,174 2,274,327 PSUs — 951,657 Total potentially dilutive securities 6,161,356 7,324,400 Note 3 – Summary of Significant Accounting Policies, continued Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-09, "Revenue from Contracts with Customers" (Topic 606) (“ASU 2014-09”), which supersedes the revenue recognition requirements in ASU Topic 605, "Revenue Recognition," and most industry-specific guidance. ASU 2014-09 is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments, and assets recognized from costs incurred to obtain or fulfill a contract. Originally, ASU 2014-09 would be effective for the Company starting January 1, 2017 using either of two methods: (i) retrospective to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) retrospective with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures as defined per ASU 2014-09. In July 2015, FASB voted to amend ASU 2014-09 by approving a one-year deferral of the effective date as well as providing the option to early adopt the standard on the original effective date. The Company used the modified retrospective implementation method for all contracts and did not need to record a cumulative effect adjustment to retained earnings as of the date of initial application. In January 2016, the FASB issued ASU No. 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities”. The standard addresses certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. ASU 2016-01 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company has adopted ASU 2016-01 and its adoption had no material impact on its financial statements. In January 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”). This standard requires that a lessee recognize the assets and liabilities that arise from operating leases. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. ASU 2016-02 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. The Company evaluated the effects that the adoption of this new standard will have on its financial statements and does not expect the adoption to have a material impact on its financial statements. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326) - Measurement of Credit Losses on Financial Instruments.” ASU No. 2016-13 provides financial statement reader more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. It is effective for annual reporting periods beginning after December 15, 2019. The Company will evaluate the effects, if any, that adoption of this guidance will have on its financial statements. In August 2016, the FASB issued ASU No. 2016-15, “Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments.” ASU No. 2016-15 addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. It is effective for annual reporting periods beginning after December 15, 2017. The adoption of the new standard did not have a material impact on the Company’s financial statements. Note 3 – Summary of Significant Accounting Policies, continued Recent Accounting Pronouncements, continued In November 2016, the FASB issued ASU No. 2016-18, “Statement of Cash Flows (Topic 230)—Restricted Cash.” ASU No. 2016-18 requires an entity to include amounts described as restricted cash and restricted cash equivalents with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. It is effective for annual reporting periods beginning after December 15, 2018. The adoption of this standard is not expected to have a material impact on the Company’s financial position and results of operations. In December 2016, the FASB issued ASU No. 2016-20, “Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers.” ASU No. 2016-20 amends certain aspects of ASU No. 2014-09 and clarifies, rather than changes, the core revenue recognition principles in ASU No. 2014-09. It is effective for annual reporting periods beginning after December 15, 2018. The adoption of this standard is not expected to have a material impact on the Company’s financial position and results of operations. In May 2017, the FASB issued ASU No. 2017-09, “Compensation – Stock Compensation (Topic 718) – Scope of Modification Accounting.” ASU No. 2017-09 provides clarity and reduces complexity when applying the guidance in Topic 718 for changes in terms or conditions of share-based payment awards. It is effective for annual reporting periods beginning after December 15, 2017. The adoption of the new standard did not have a material impact on the Company’s financial statements. In July 2017, the Financial Accounting Standards Board (“FASB”) issued a two-part Accounting Standards Update (“ASU”) No. 2017-11, I. Accounting for Certain Financial Instruments With Down Round Features and II. Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests With a Scope Exception (“ASU 2017-11”). ASU 2017-11 amends guidance in FASB ASC 260, Earnings Per Share, FASB ASC 480, Distinguishing Liabilities from Equity, and FASB ASC 815, Derivatives and Hedging. The amendments in Part I of ASU 2017-11 change the classification analysis of certain equity-linked financial instruments (or embedded features) with down round features. The amendments in Part II of ASU 2017-11 re-characterize the indefinite deferral of certain provisions of Topic 480 that now are presented as pending content in the Codification, to a scope exception. Those amendments do not have an accounting effect. ASU 2017-11 is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the impact the adoption of this new standard will have on its financial statements. In June 2018, the FASB issued ASU No. 2018-07, “Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-based Payment Accounting.” ASU 2018-07 aligns accounting for share-based payments issued to nonemployees to that of employees under the existing guidance of Topic 718, with certain exceptions. This update supersedes previous guidance for equity-based payments to nonemployees under Subtopic 505-50, “Equity – Equity-based Payments to Nonemployees.” It is effective for annual reporting periods beginning after December 15, 2018. The Company is currently evaluating the impact the adoption of this new standard will have on its financial statements. Management’s Evaluation of Subsequent Events The Company evaluates events that have occurred after the balance sheet date of December 31, 2018, through the date which the financial statements are issued. Based upon the review, other than the event disclosed in Note 13 – Subsequent Events, the Company did not identify any subsequent events that would have required adjustment or disclosure in the financial statements. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | Note 4 – Property and Equipment Property and equipment are as follows: As of December 31, 2018 2017 Computer software $ 1,797,454 $ 1,418,457 Computer hardware 2,709,072 2,289,687 Furniture and fixtures 544,421 529,287 Leasehold improvements 613,111 613,111 5,664,058 4,850,542 Less – accumulated depreciation (4,445,042 ) (3,436,625 ) Total property and equipment, net $ 1,219,016 $ 1,413,917 The Company currently uses the following expected life terms for depreciating property and equipment: computer software – 1-2 years, computer hardware – 3 years, furniture and fixtures – 7 years, leasehold improvements – remaining life of the lease. Total depreciation and amortization expense of the Company’s property and equipment was $1,054,720 and $1,309,980 for the years ended December 31, 2018 and 2017, respectively. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2018 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | Note 5 – Accrued Expenses Accrued expenses consist of the following: As of December 31, 2018 2017 Accrued compensation $ 990,988 $ 948,935 Accrued legal expenses 524,685 445,684 Other accrued expenses 262,676 227,406 Total $ 1,778,349 $ 1,622,025 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 6 – Commitments and Contingencies Operating Leases On September 10, 2014, the Company entered into a Lease Agreement with Balzer Family Investments, L.P. (the “Landlord”) related to space located at Northpointe Business Center, 3590 North First Street, San Jose, California. The initial term of the lease is 60 months, with initial monthly base rent of $36,720 and the lease is subject to certain annual escalations as defined in the agreement. The Company issued to the Landlord 41,563 shares of the Company’s common stock valued at $500,000, of which $400,000 will be applied to reduce the Company’s monthly base rent obligation by $6,732 per month and of which $100,000 was for certain tenant improvements. The Company recorded $400,000 as prepaid rent on its balance sheet, which is being amortized over the term of the lease and recorded $100,000 as leasehold improvements. On February 26, 2015, the Company entered into a sub-lease agreement for additional space in the San Jose, California area. The agreement has a term which expires on June 30, 2019 and a current monthly rent of $6,668 per month. On August 25, 2015, the Company entered into an additional amended sub-lease agreement for additional space in San Jose, California. The agreement has a term which expires on June 30, 2019 and a current monthly rent of $4,578 per month. These leases are subject to certain annual escalations as defined in the agreements. Note 6 – Commitments and Contingencies, continued Operating Leases, continued On May 31, 2017, the Company renewed a lease agreement for the Company’s space in Costa Mesa, California. The agreement has a term that expires on September 30, 2019 with a current monthly rent of $9,437 and is subject to certain annual escalations as defined in the agreement. The Company is currently negotiating a renewal of its main operating leases. The future minimum lease payments for leased locations are as follows: For the Year Ended December 31, Amount 2019 $ 457,585 Total $ 457,585 Hosted Design Solution Agreement On June 25, 2015, the Company entered into a three-year agreement to license electronic design automation software in a hosted environment. Pursuant to the agreement, under which services began July 2015, the Company is required to remit quarterly payments in the amount of approximately $101,000 with the last payment due March 30, 2018. On December 18, 2015, the agreement was amended to redefine the hardware and software configuration and the quarterly payments increased to approximately $198,000. In July 2018, the Company renewed the agreement for an additional three years, and the Company is required to remit quarterly payments of approximately $218,000, with the last payment due in March 2021. Litigations, Claims, and Assessments The Company may be involved in various disputes, claims, liens and litigation matters arising in the normal course of business. While the outcome of these disputes, claims, liens and litigation matters cannot be predicted with certainty, after consulting with legal counsel, management does not believe that the outcome of these matters will have a material adverse effect on the Company's combined financial position, results of operations or cash flows. MBO Bonus Plan On March 15, 2018, the Company’s Board of Directors (“Board”), on the recommendation of the Board’s Compensation Committee (“Compensation Committee”), approved the Energous Corporation MBO Bonus Plan (“Bonus Plan”) for executive officers of the Company. To be eligible to receive a bonus under the Bonus Plan, an executive officer must be continuously employed throughout the applicable performance period, and in good standing, and achieve the performance objectives selected by the Compensation Committee. Under the Bonus Plan, the Compensation Committee is responsible for selecting the amounts of potential bonuses for executive officers, the performance metrics used to determine whether any such bonuses will be paid and determining whether those performance metrics have been achieved. During the year ended December 31, 2018, the Company recognized a total of $1,440,671 in expense under the Bonus Plan. As of December 31, 2018, $234,675 of this amount was not yet paid and is included under accrued expenses. Severance and Change in Control Agreement On March 15, 2018, the Compensation Committee approved a form of Severance and Change in Control Agreement (“Severance Under the Severance Agreement, if an Executive is terminated in a qualifying termination, the Company agrees to pay the Executive six to 12 months of that Executive’s monthly base salary. If Executive elects continued coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”) the Company will pay the full amount of Executive’s premiums under the Company’s health, dental and vision plans, including coverage for the Executive’s eligible dependents, for the six to 12 month period following the Executive’s termination. Amended Employee Agreement – Stephen Rizzone On April 3, 2015, the Company entered into an Amended and Restated Executive Employment Agreement with Stephen R. Rizzone, the Company’s President and Chief Executive Officer (“Employment Agreement”). The Employment Agreement has an effective date of January 1, 2015 and an initial term of four years (the “Initial Employment Period”) with an automatic one year renewal. The Employment Agreement provides for an annual base salary of $365,000, and Mr. Rizzone is eligible to receive quarterly cash bonuses with a total target amount equal to 100% of his base salary based upon achievement of performance-based objectives established by the Company’s board of directors. Note 6 – Commitments and Contingencies, continued Amended Employee Agreement – Stephen Rizzone, continued Pursuant to Mr. Rizzone’s prior employment agreement, on December 12, 2013 Mr. Rizzone was granted a ten year option to purchase 275,689 shares of common stock at an exercise price of $1.68 vesting over four years in 48 monthly installments beginning October 1, 2013 (“First Option”). Mr. Rizzone was also granted a second option award to purchase 496,546 shares of common stock at an exercise price of $6.00 (“Second Option”). The Second Option vests over the same vesting schedule as the First Option. Effective May 21, 2015, with the approval by the Company’s stockholders of its new performance-based equity plan, the Employment Agreement provided and Mr. Rizzone received, a grant of 639,075 Performance Share Units (the “PSUs”). The PSUs, which represent the right to receive shares of common stock, shall be earned based on the Company’s achievement of market capitalization growth between the effective date of the Employment Agreement and the end of the Initial Employment Period. If the Company’s market capitalization is $100 million or less, no PSUs will be earned. If the Company reaches a market capitalization of $1.1 billion or more, 100% of the PSUs will be earned. For market capitalization between $100 million and $1.1 billion, the percentage of PSUs earned will be determined on a quarterly basis based on straight line interpolation. PSUs earned as of the end of a calendar quarter will be paid 50% immediately and 50% will be deferred until the end of the Initial Employment Period subject to Mr. Rizzone’s continued employment with the Company (See Note 8). Mr. Rizzone is also eligible to receive all customary and usual benefits generally available to senior executives of the Company. The Employment Agreement provides that if Mr. Rizzone’s employment is terminated due to his death or disability, if Mr. Rizzone’s employment is terminated by the Company without cause or if he resigns for good reason, twenty-five percent (25%) of the shares subject to the First Option and the Second Option shall immediately vest and become exercisable, he will have a period of one year post-termination to exercise the First Option and the Second Option, and if a Liquidation Event (as defined in the Employment Agreement) shall occur prior to the termination of the First Option and the Second Option, one hundred percent (100%) of the shares subject to the First Option and Second Option shall immediately vest and become exercisable effective immediately prior to the consummation of the Liquidation Event. In addition, any outstanding deferred PSUs shall be immediately vested and paid, but any remaining unearned portion of the PSUs shall immediately be canceled and forfeited. Strategic Alliance Agreement In November 2016, the Company and Dialog Semiconductor plc (“Dialog”), a related party (see Note 10—Related Party Transactions), entered into a Strategic Alliance Agreement (“Alliance Agreement”) for the manufacture, distribution and commercialization of products incorporating the Company’s wire-free charging technology (“Licensed Products”). Pursuant to the terms of the Alliance Agreement, the Company agreed to engage Dialog as the exclusive supplier of the Licensed Products for specified fields of use, subject to certain exceptions (the “Company Exclusivity Requirement”). Dialog agreed to not distribute, sell or work with any third party to develop any competing products without the Company’s approval (the “Dialog Exclusivity Requirement”). In addition, both parties agreed on a revenue sharing arrangement and will collaborate on the commercialization of Licensed Products based on a mutually-agreed upon plan. Each party will retain all of its intellectual property. The Alliance Agreement has an initial term of seven years and will automatically renew annually thereafter unless terminated by either party upon 180 days’ prior written notice. The Company may terminate the Alliance Agreement at any time after the third anniversary of the Agreement upon 180 days’ prior written notice to Dialog, or if Dialog breaches certain exclusivity obligations. Dialog may terminate the Alliance Agreement if sales of Licensed Products do not meet specified targets. The Company Exclusivity Requirement will terminate upon the earlier of January 1, 2021 or the occurrence of certain events relating to the Company’s pre-existing exclusivity obligations. The Dialog Exclusivity Requirement will terminate if no Licensed Products have received the necessary Federal Communications Commission approvals within specified timeframes. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Stockholders' Equity | Note 7 – Stockholders’ Equity Authorized Capital The holders of the Company’s common stock are entitled to one vote per share. Holders of common stock are entitled to receive ratably such dividends, if any, as may be declared by the board of directors out of legally available funds. Upon the liquidation, dissolution or winding up of the Company, holders of common stock are entitled to share ratably in all assets of the Company that are legally available for distribution. Filing of Registration Statement Pursuant to a shelf registration statement on Form S-3 filed on April 24, 2015, in January 2018, the Company raised $38,846,815 (net of $1,153,715 in underwriter’s discount and issuance costs) from the sale of stock in an “at-the-market” equity offering of its common stock. On August 9, 2018, the Company filed a shelf registration statement on Form S-3, which became effective on August 17, 2018. This shelf registration statement allows the Company to sell, from time to time, any combination of debt or equity securities described in the registration statement up to aggregate proceeds of $75,000,000. Private Placements On June 28, 2017, the Company and Dialog Semiconductor, a related party (see Note 10 – Related Party Transactions), entered into a securities purchase agreement pursuant to which the Company agreed to sell Dialog 976,139 shares of common stock at a price of $15.3666 per share and a warrant to purchase up to 654,013 shares of common stock that may be exercised only on a cashless basis at a price of $19.9766 per share, and may be exercised at any time between the date that is six months and one day after the closing date of the transaction and the three-year anniversary of the closing date. The aggregate proceeds from the sale of these shares, which were issued on July 5, 2017, was $14,999,935. |
Stock Based Compensation
Stock Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Based Compensation | Note 8 – Stock Based Compensation Equity Incentive Plans 2013 Equity Incentive Plan In December 2013, the Company’s board of directors and stockholders approved the Company’s 2013 Equity Incentive Plan, providing for the issuance of equity-based instruments covering up to, as amended, a total of 4,485,967 shares of common stock. Effective on May 16, 2018, the Company’s stockholders approved the amendment and restatement of the 2013 Equity Incentive Plan to increase the number of shares reserved for issuance thereunder by 1,600,000 shares, bringing the total number of approved shares to 6,085,967 under the 2013 Equity Incentive Plan. As of December 31, 2018, 1,707,485 shares of common stock remain eligible to be issued through equity-based instruments under the 2013 Equity Incentive Plan. 2014 Non-Employee Equity Compensation Plan In March 2014, the Company’s board of directors and stockholders approved the 2014 Non-Employee Equity Compensation Plan for the issuance of equity-based instruments covering up to, as amended, a total of 600,000 shares of common stock to directors and other non-employees. Effective on May 16, 2018, the Company’s shareholders approved the amendment and restatement of the 2014 Equity Incentive Plan to increase the number of shares reserved for issuance thereunder by 250,000 shares, bringing the total number of shares to 850,000 under the 2014 Non-employee Equity Compensation Plan. As of December 31, 2018, 366,829 shares of common stock remain eligible to be issued through equity-based instruments under the 2014 Non-Employee Equity Compensation Plan. 2015 Performance Share Unit Plan In April 2015, the Company’s board of directors approved the Energous Corporation 2015 Performance Share Unit Plan (the “Performance Share Plan”), under which 1,310,104 shares of common stock became available for issuance as PSUs to a select group of employees and directors, subject to approval by the stockholders. On May 21, 2015 the Company’s stockholders approved the Performance Share Plan. Effective on May 16, 2018, the Company’s shareholders approved the amendment and restatement of the 2015 Performance Share Plan to increase the number of shares reserved for issuance thereunder by 1,400,000 shares, bringing the total number of approved shares to 2,710,104 under the 2015 Performance Share Unit Plan. As of December 31, 2018, 1,431,951 shares of common stock remain eligible to be issued through equity-based instruments under the Performance Share Unit Plan. Note 8 – Stock Based Compensation, continued Equity Incentive Plans, continued 2017 Equity Inducement Plan On December 28, 2017, the Board of Directors approved the 2017 Equity Inducement Plan. Under the plan, the Board of Directors reserved 600,000 shares for the grant of RSUs. These grants will be administered by a committee of the Board of Directors or the Board of Directors acting as a Committee. These awards will be granted to individuals who (a) are being hired as an Employee by the Company or any Subsidiary and such Award is a material inducement to such person being hired; (b) are being rehired as an Employee following a bona fide period of interruption of employment with the Company or any Subsidiary; or (c) will become an Employee of the Company or any Subsidiary in connection with a merger or acquisition. As of December 31, 2018, 271,000 shares of common stock remain available to be issued through equity-based instruments under the 2017 Equity Inducement Plan. Employee Stock Purchase Plan In April 2015, the Company’s board of directors approved the ESPP, under which 600,000 shares of common stock have been reserved for purchase by the Company’s employees, subject to approval by the stockholders. On May 21, 2015, the Company’s stockholders approved the ESPP. Employees may designate an amount not less than 1% but not more than 10% of their annual compensation, but for not more than 7,500 shares during an offering period. An offering period shall be six months in duration commencing on or about January 1 and July 1 of each year. The exercise price of the option will be the lesser of 85% of the fair market of the common stock on the first business day of the offering period and 85% of the fair market value of the common stock on the applicable exercise date. As of December 31, 2018, 343,753 shares of common stock remain eligible to be issued through equity based instruments under the ESPP. For the year ended December 31, 2018, eligible employees contributed $531,797 through payroll deductions to the ESPP and 62,168 shares were deemed delivered for the year ended December 31, 2018. For the year ended December 31, 2017, eligible employees contributed $869,066 through payroll deductions to the ESPP and 62,700 shares were deemed delivered for the year ended December 31, 2017. Stock Option Award Activity The following is a summary of the Company’s stock option activity during the year ended December 31, 2018: Number of Options Weighted Average Exercise Price Weighted Average Remaining Life In Years Intrinsic Value Outstanding at January 1, 2018 1,037,239 $ 4.80 6.4 $ 15,198,044 Granted — — — — Exercised (380,745 ) 3.47 — — Forfeited — — — — Outstanding at December 31, 2018 656,494 $ 5.57 4.6 $ 252,887 Exercisable at December 31, 2018 656,494 $ 5.57 4.6 $ 252,887 As of December 31, 2018, the unamortized value of options was $0. The aggregate intrinsic value of options exercised was $4,570,515 and $2,864,845 for the years ended December 31, 2018 and 2017, respectively. No options were granted during the years ended December 31, 2018 and 2017. Note 8 – Stock Based Compensation, continued Restricted Stock Units (“RSUs”) During the year ended December 31, 2018, the Compensation Committee of the Board (“Compensation Committee”) granted various directors and consultants RSUs under which the holders have the right to receive an aggregate 175,826 shares of common stock. These awards were granted under the 2014 Non-Employee Equity Compensation Plan. The awards granted vest over terms from one to four years. During the year ended December 31, 2018, the Compensation Committee granted various employees RSUs under which the holders have the right to receive an aggregate 856,975 shares of common stock. The majority of these awards, granted under the 2013 Equity Incentive Plan, vest over terms ranging from one to four years. During the year ended December 31, 2018, the Compensation Committee granted employees RSUs under which the holders have the right to receive 345,500 shares of common stock. The awards, granted under the 2017 Equity Inducement Plan, vest over four years beginning on the anniversary of the grant date. The Company accounts for RSUs granted to consultants using the accounting guidance included in ASC 505-50 “Equity-Based Payments to Non-Employees” (“ASC 505-50”). In accordance with ASC 505-50, the Company estimates the fair value of the unvested portion of the RSU award each reporting period using the closing price of the Company’s common stock. At December 31, 2018, the unamortized value of the RSUs was $25,810,914. The unamortized amount will be expensed over a weighted average period of 2.3 years. A summary of the activity related to RSUs for the year ended December 31, 2018 is presented below: Total Weighted Average Grant Date Fair Value Outstanding at January 1, 2018 2,274,325 $ 13.75 RSUs granted 1,378,301 $ 15.89 RSUs forfeited (220,433 ) $ 14.36 RSUs vested (963,019 ) $ 13.30 Outstanding at December 31, 2018 2,469,174 $ 15.07 Note 8 – Stock Based Compensation, continued Performance Share Units (“PSUs”) Performance share units (“PSUs”) are grants that vest upon the achievement of certain performance goals. The goals are commonly related to the Company’s market capitalization or market share price of the common stock. The PSUs originally issued during 2015 to certain board members and senior management were earned based on the Company’s achievement of market capitalization growth between the effective date of the grant agreement and December 31, 2018. If the Company’s market capitalization was $100 million or less, no PSUs were earned. If the Company reached a market capitalization of $1.1 billion or more, 100% of the PSUs would have been earned. For market capitalization between $100 million and $1.1 billion, the percentage of PSUs earned was determined on a quarterly basis based on straight line interpolation. The Company determined that the PSUs were equity awards with both market and service conditions. Grantees of PSUs were required to be employed through December 31, 2018 in order to earn the entire award, if and when vested. No PSUs were granted during the years ended December 31, 2018 and 2017. The fair value of the grants of PSUs to purchase a total of 1,342,061 shares of common stock (including 1,278,153 PSUs granted under the 2015 Performance Share Unit Plan and 63,908 granted as an inducement) was determined to be approximately $3,218,000, and was amortized over the service period of May 21, 2015 through December 31, 2018, on a straight-line basis. Amortization for all PSU awards was $819,816 and $1,661,650 for the years ended December 31, 2018 and 2017, respectively. Note 8 – Stock Based Compensation, continued Performance Share Units (“PSUs”), continued At December 31, 2018, the unamortized value of all PSUs was $0. A summary of the activity related to PSUs for the year ended December 31, 2018 is presented below: Total Weighted Average Grant Date Fair Value Outstanding at January 1, 2018 951,657 $ 2.65 PSUs granted — $ — PSUs forfeited (656,688 ) $ 2.65 PSUs vested (294,969 ) $ 2.65 Outstanding at December 31, 2018 — $ — Employee Stock Purchase Plan (“ESPP”) During the years ended December 31, 2018 and 2017, there were two offering periods per year for the ESPP. The first offering period started on January 1 of each year and concluded on June 30 of each year. The second offering period started on July 1 of each year and concluded on December 31 of each year. The weighted-average grant-date fair value of the purchase option for each designated share purchased under this plan was approximately $9.25 and $5.42 during the years ended December 31, 2018 and 2017, respectively, which represents the fair value of the option, consisting of three main components: (i) the value of the discount on the enrollment date, (ii) the proportionate value of the call option for 85% of the stock and (iii) the proportionate value of the put option for 15% of the stock. The Company recognized stock-based compensation expense for the plan of $574,927 and $331,913 for the years ended December 31, 2018 and 2017, respectively. Note 8 – Stock Based Compensation, continued Employee Stock Purchase Plan (“ESPP”), continued The Company estimated the fair value of the purchase options granted during the years ended December 31, 2018 and 2017 using the Black-Scholes option pricing model. The fair values of the purchase options granted were estimated using the following assumptions: For the Year Ended December 31, 2018 Stock price range $ 14.48 – 22.34 Dividend yield 0 % Expected volatility range 72 – 177 % Risk-free interest rate range 1.61 – 2.14 % Expected life 6 months For the Year Ended December 31, 2017 Stock price range $ 16.08 – 17.59 Dividend yield 0 % Expected volatility range 56 – 66 % Risk-free interest rate range 0.62 – 1.11 % Expected life 6 months Stock-Based Compensation Expense The following tables summarize total stock-based compensation costs recognized for years ended December 31, 2018 and 2017: For the Years Ended December 31, 2018 2017 Stock options $ — $ 764,723 RSUs 15,359,011 13,043,171 PSUs 819,816 1,661,650 DSUs — 1,362 ESPP 574,927 331,913 Total $ 16,753,754 $ 15,802,819 The total amount of stock-based compensation was reflected within the statements of operations as: For the Years Ended December 31, 2018 2017 Research and development $ 9,676,156 $ 8,522,798 Sales and marketing 1,416,136 1,113,120 General and administrative 5,661,462 6,166,901 Total $ 16,753,754 $ 15,802,819 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9 – Income Taxes In December 2017, the SEC issued Staff Accounting Bulletin No. 118 (“SAB 118”), which provides guidance on accounting for the income tax effects of the TCJA. SAB 118 provides a measurement period that should not extend beyond one year from the TCJA enactment date for companies to complete the accounting relating to the TCJA under Accounting Standards Codification Topic 740, “Income Taxes” (“ASC 740”). In accordance with SAB 118, a company must reflect the income tax effects of those aspects of the TCJA for which the accounting under ASC 740 is complete. To the extent that a company’s accounting for TCJA-related income tax effects is incomplete, but the company is able to determine a reasonable estimate, it must record a provisional estimate in its financial statements. If a company cannot determine a provisional estimate to be included in its financial statements, it should continue to apply ASC 740 on the basis of the provisions of the tax laws that were in effect immediately before the enactment of the TCJA. The Company completed its analysis of the TCJA’s income tax effects. In accordance with SAB 118, the TCJA-related income tax effects that the Company initially reported as provisional estimates were refined as additional analysis was performed. There was no material impact to the Company’s financial statements recorded when its analysis was completed in the 2018 fourth quarter. As of December 31, 2018 and 2017, the Company’s deferred tax assets (liabilities) consisted of the effects of temporary differences attributable to the following: December 31, 2018 2017 Deferred tax assets (liabilities): Tax credit $ 5,994,401 $ 4,335,394 Net operating loss carryforwards 36,578,319 23,630,008 Property and equipment 144,833 99,756 Research and development costs 16,303,445 15,372,328 Start-up and organizational costs 696 774 Stock-based compensation 4,000,781 2,473,591 Other accruals 326,812 260,113 Total gross deferred tax assets 63,349,287 46,171,964 Less: valuation allowance (63,349,287 ) (46,171,964 ) Deferred tax assets, net $ — $ — The change in the Company’s valuation allowance is as follows: 2018 2017 January 1, $ 46,171,964 $ 39,719,606 Increase in valuation allowance 17,177,323 6,452,358 December 31, $ 63,349,287 $ 46,171,964 Note 9 – Income Taxes, continued The Company has federal and state net operating loss carryforwards of approximately $130,590,000 and $131,084,000, respectively, available to offset future taxable income. The federal and state NOL carryforwards will expire at various dates beginning in 2033. The Company has federal and state research and development tax credit carryforwards of approximately $3,669,000 and $2,944,000, respectively. The federal R&D credit carryforwards will expire beginning in 2032 and state R&D credit carryforwards do not expire. The ultimate realization of the net operating loss is dependent upon future taxable income, if any, of the Company. Although management believes that the Company may have sufficient future taxable income to absorb the net operating loss carryforwards and research and development tax credit carryforwards before the expiration of the carryforward period, there may be circumstances beyond the Company’s control that limit such utilization. Accordingly, management has determined that a full valuation allowance of the deferred tax asset is appropriate at December 31, 2018 and 2017. Internal Revenue Code Section 382 imposes limitations on the use of net operating loss carryforwards when the stock ownership of one or more 5% shareholders (shareholders owning 5% or more of the Company’s outstanding capital stock) has increased on a cumulative basis by more than 50 percentage points. Management cannot control the ownership changes occurring as a result of public trading of the Company’s Common Stock. Accordingly, there is a risk of an ownership change beyond the control of the Company that could trigger a limitation of the use of the loss carryforward. The Company completed a Section 382 analysis as of December 31, 2018 and determined that none of its NOLs or R&D credits would be limited. For the Year Ended December 31, 2018 2017 Tax benefit at federal statutory rate (21.0 )% (34.0 )% State income taxes (7.7 ) (10.2 ) Permanent differences: Stock-based compensation (2.2 ) (2.5 ) Meals and entertainment 0.1 0.1 Executive compensation 0.2 — True-up of federal deferred taxes 0.1 (2.8 ) Change in effective tax rate — 39 Research and development tax credit, federal (1.9 ) (1.4 ) Research and development tax credit, state (1.4 ) (1.6 ) Increase in valuation allowance, federal 24.7 1.3 Increase in valuation allowance, state 9.1 11.7 Effective income tax rate 0.0 % 0.0 % |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 10 – Related Party Transactions In November 2016, the Company and Dialog entered into an alliance agreement for the manufacture, distribution and commercialization of products incorporating the Company’s wire-free charging technology (See Note 6 – Commitments and Contingencies, Strategic Alliance Agreement). On November 7, 2016 and June 28, 2017, the Company and Dialog entered into securities purchase agreements under which Dialog acquired a total of 1,739,691 shares and received warrants to purchase up to 1,417,565 shares (See Note 5 – Stockholders’ Equity, Private Placements). Dialog presently owns approximately 6.6% of the Company’s outstanding common shares and could potentially own 11.3% of the Company’s outstanding common shares if it exercised all of its warrants for common shares. For the twelve months ended December 31, 2018 and 2017, the Company paid $79,550 and $516,725, respectively, to Dialog for chip development costs incurred, which is recorded under research and development expense. Pursuant to the Strategic Alliance Agreement in Note 6 – Commitments and Contingencies, we recorded $5,773 and $0 in revenue for the years ended December 31, 2018 and 2017, respectively. |
Unaudited Quarterly Financial I
Unaudited Quarterly Financial Information | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Unaudited Quarterly Financial Information | Note 11 – Unaudited Quarterly Financial Information Summarized quarterly information for the years ended December 31, 2018 and 2017 is listed below: For the quarter ended March 31 June 30 September 30 December 31 2018 Revenue $ 25,000 $ 205,773 $ 228,000 $ 56,050 Operating expenses $ 13,474,163 $ 12,510,139 $ 12,879,961 $ 12,579,970 Net loss $ (13,443,457 ) $ (12,298,371 ) $ (12,645,291 ) $ (12,453,003 ) Loss per share, basic and diluted $ (0.55 ) $ (0.48 ) $ (0.49 ) $ (0.48 ) 2017 Revenue $ 575,368 $ 299,506 $ 250,000 $ 29,135 Operating expenses $ 13,051,387 $ 13,220,879 $ 13,001,623 $ 11,267,948 Net loss $ (12,473,140 ) $ (12,919,010 ) $ (12,748,248 ) $ (11,236,477 ) Loss per share, basic and diluted $ (0.61 ) $ (0.63 ) $ (0.58 ) $ (0.50 ) |
Customer Concentration
Customer Concentration | 12 Months Ended |
Dec. 31, 2018 | |
Risks And Uncertainties [Abstract] | |
Customer Concentration | Note 12 – Customer Concentration One customer accounted for approximately 92% and 96% of the Company’s revenue for the years ended December 31, 2018 and 2017, respectively. The same customer accounted for approximately 56% of the Company’s accounts receivable balance as of December 31, 2018. As of December 31, 2017, the Company did not have an accounts receivable balance. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 13 – Subsequent Events On February 27, 2019, the Company has a firm commitment to raise $23.3 million, net of underwriter’s discount and offering expenses of $1.7 million. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying financial statements are presented in U.S. dollars and have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), and pursuant to the accounting and disclosure rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”). |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent liabilities at the date of the financial statements as well as the reported expenses during the reporting periods. The Company’s significant estimates and assumptions include the valuation of stock-based compensation instruments, recognition of revenue, the useful lives of long-lived assets, and income tax expense. Some of these judgments can be subjective and complex, and, consequently, actual results may differ from these estimates. Although the Company believes that its estimates and assumptions are reasonable, they are based upon information available at the time the estimates and assumptions were made. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all short-term, highly liquid investments with an original maturity at the date of purchase of three months or less to be cash equivalents. The Company maintains cash balances that may be uninsured or in deposit accounts that exceed Federal Deposit Insurance Corporation limits. The Company maintains its cash deposits with major financial institutions. |
Revenue Recognition | Revenue Recognition On January 1, 2018, the Company adopted Accounting Standards Update No. 2014-09, "Revenue from Contracts with Customers" (Topic 606), which is described below in Recent Accounting Pronouncements. In accordance with Topic 606, the Company recognizes revenue using the following five-step approach: 1. Identify the contract with the customer. 2. Identify the performance obligations in the contract. 3. Determine the transaction price of the contract. 4. Allocate the transaction price to the performance obligations of the contract. 5. Recognize revenue when the performance obligations are met or delivered. The Company records revenue associated with product development projects that it enters into with certain customers. In general, these development projects are complex, and the Company does not have certainty about its ability to achieve the project milestones. The achievement of a milestone is dependent on the Company’s performance obligation, and requires acceptance by the customer. The Company recognizes revenue based on when the performance obligation is met. However, the Company does not recognize revenue in excess of an accepted milestone, as there would be uncertainty of payment for work that has not been accepted. The payment associated with achieving the performance obligation is generally commensurate with the Company’s effort or the value of the deliverable and is nonrefundable. The Company records the expenses related to these projects in research and development expense, in the periods such expenses were incurred. The Company also records royalty revenue from its manufacturing partner, Dialog, based on shipments from Dialog to its customers. |
Research and Development | Research and Development Research and development expenses are charged to operations as incurred. For internally developed patents, all patent application costs are expensed as incurred as research and development expense. Patent application costs, which are generally legal costs, are expensed as research and development costs until such time as the future economic benefits of such patents become more certain. The Company incurred research and development costs of $32,871,685 and $33,230,668 for the years ended December 31, 2018 and 2017, respectively. |
Stock-Based Compensation | Stock-Based Compensation The Company accounts for equity instruments issued to employees in accordance with accounting guidance that requires awards to be recorded at their fair value on the date of grant and are amortized over the vesting period of the award. The Company recognizes compensation costs on a straight line basis over the requisite service period of the award, which is typically the vesting term of the equity instrument issued. Under the Company’s Employee Stock Purchase Plan (“ESPP”), employees may purchase a limited number of shares of the Company’s stock at a 15% discount from the lower of the closing market prices measured on the first and last days of each half-year period. The Company recognizes stock-based compensation expense for the fair value of the purchase options, as measured on the grant date. |
Income Taxes | Income Taxes Tax benefits are recognized only for tax positions that are more likely than not to be sustained upon examination by tax authorities. The amount recognized is measured as the largest amount of benefit that is greater than 50 percent likely to be realized upon settlement. A liability for “unrecognized tax benefits” is recorded for any tax benefits claimed in the Company’s tax returns that do not meet these recognition and measurement standards. As of December 31, 2018, no liability for unrecognized tax benefits was required to be reported. The guidance also discusses the classification of related interest and penalties on income taxes. The Company’s policy is to record interest and penalties on uncertain tax positions as a component of income tax expense. No interest or penalties were recorded during the years ended December 31, 2018 and 2017. The Company files income tax returns with the United States and California governments. |
Net Loss Per Common Share | Net Loss Per Common Share Basic net loss per share is computed by dividing net loss available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed using the weighted average number of common shares and, if dilutive, potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable upon the exercise of stock options and warrants (using the treasury stock method), the vesting of restricted stock units (“RSUs”) and performance stock units (“PSUs”) and the enrollment of employees in the ESPP. The computation of diluted loss per share excludes potentially dilutive securities of 6,161,356 and 7,324,400 for the years ended December 31, 2018 and 2017, respectively, because their inclusion would be antidilutive. Potentially dilutive securities outlined in the table below have been excluded from the computation of diluted net loss per share because the effect of their inclusion would have been anti-dilutive. For the Years Ended December 31, 2018 2017 Financing Warrant to purchase common stock — 13,889 IPO Warrants to purchase common stock — 11,600 Warrants issued to private investors 3,035,688 3,035,688 Options to purchase common stock 656,494 1,037,239 RSUs 2,469,174 2,274,327 PSUs — 951,657 Total potentially dilutive securities 6,161,356 7,324,400 |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-09, "Revenue from Contracts with Customers" (Topic 606) (“ASU 2014-09”), which supersedes the revenue recognition requirements in ASU Topic 605, "Revenue Recognition," and most industry-specific guidance. ASU 2014-09 is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments, and assets recognized from costs incurred to obtain or fulfill a contract. Originally, ASU 2014-09 would be effective for the Company starting January 1, 2017 using either of two methods: (i) retrospective to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) retrospective with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures as defined per ASU 2014-09. In July 2015, FASB voted to amend ASU 2014-09 by approving a one-year deferral of the effective date as well as providing the option to early adopt the standard on the original effective date. The Company used the modified retrospective implementation method for all contracts and did not need to record a cumulative effect adjustment to retained earnings as of the date of initial application. In January 2016, the FASB issued ASU No. 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities”. The standard addresses certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. ASU 2016-01 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company has adopted ASU 2016-01 and its adoption had no material impact on its financial statements. In January 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”). This standard requires that a lessee recognize the assets and liabilities that arise from operating leases. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. ASU 2016-02 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. The Company evaluated the effects that the adoption of this new standard will have on its financial statements and does not expect the adoption to have a material impact on its financial statements. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326) - Measurement of Credit Losses on Financial Instruments.” ASU No. 2016-13 provides financial statement reader more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. It is effective for annual reporting periods beginning after December 15, 2019. The Company will evaluate the effects, if any, that adoption of this guidance will have on its financial statements. In August 2016, the FASB issued ASU No. 2016-15, “Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments.” ASU No. 2016-15 addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. It is effective for annual reporting periods beginning after December 15, 2017. The adoption of the new standard did not have a material impact on the Company’s financial statements. Note 3 – Summary of Significant Accounting Policies, continued Recent Accounting Pronouncements, continued In November 2016, the FASB issued ASU No. 2016-18, “Statement of Cash Flows (Topic 230)—Restricted Cash.” ASU No. 2016-18 requires an entity to include amounts described as restricted cash and restricted cash equivalents with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. It is effective for annual reporting periods beginning after December 15, 2018. The adoption of this standard is not expected to have a material impact on the Company’s financial position and results of operations. In December 2016, the FASB issued ASU No. 2016-20, “Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers.” ASU No. 2016-20 amends certain aspects of ASU No. 2014-09 and clarifies, rather than changes, the core revenue recognition principles in ASU No. 2014-09. It is effective for annual reporting periods beginning after December 15, 2018. The adoption of this standard is not expected to have a material impact on the Company’s financial position and results of operations. In May 2017, the FASB issued ASU No. 2017-09, “Compensation – Stock Compensation (Topic 718) – Scope of Modification Accounting.” ASU No. 2017-09 provides clarity and reduces complexity when applying the guidance in Topic 718 for changes in terms or conditions of share-based payment awards. It is effective for annual reporting periods beginning after December 15, 2017. The adoption of the new standard did not have a material impact on the Company’s financial statements. In July 2017, the Financial Accounting Standards Board (“FASB”) issued a two-part Accounting Standards Update (“ASU”) No. 2017-11, I. Accounting for Certain Financial Instruments With Down Round Features and II. Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests With a Scope Exception (“ASU 2017-11”). ASU 2017-11 amends guidance in FASB ASC 260, Earnings Per Share, FASB ASC 480, Distinguishing Liabilities from Equity, and FASB ASC 815, Derivatives and Hedging. The amendments in Part I of ASU 2017-11 change the classification analysis of certain equity-linked financial instruments (or embedded features) with down round features. The amendments in Part II of ASU 2017-11 re-characterize the indefinite deferral of certain provisions of Topic 480 that now are presented as pending content in the Codification, to a scope exception. Those amendments do not have an accounting effect. ASU 2017-11 is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the impact the adoption of this new standard will have on its financial statements. In June 2018, the FASB issued ASU No. 2018-07, “Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-based Payment Accounting.” ASU 2018-07 aligns accounting for share-based payments issued to nonemployees to that of employees under the existing guidance of Topic 718, with certain exceptions. This update supersedes previous guidance for equity-based payments to nonemployees under Subtopic 505-50, “Equity – Equity-based Payments to Nonemployees.” It is effective for annual reporting periods beginning after December 15, 2018. The Company is currently evaluating the impact the adoption of this new standard will have on its financial statements. |
Management's Evaluation of Subsequent Events | Management’s Evaluation of Subsequent Events The Company evaluates events that have occurred after the balance sheet date of December 31, 2018, through the date which the financial statements are issued. Based upon the review, other than the event disclosed in Note 13 – Subsequent Events, the Company did not identify any subsequent events that would have required adjustment or disclosure in the financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | Potentially dilutive securities outlined in the table below have been excluded from the computation of diluted net loss per share because the effect of their inclusion would have been anti-dilutive. For the Years Ended December 31, 2018 2017 Financing Warrant to purchase common stock — 13,889 IPO Warrants to purchase common stock — 11,600 Warrants issued to private investors 3,035,688 3,035,688 Options to purchase common stock 656,494 1,037,239 RSUs 2,469,174 2,274,327 PSUs — 951,657 Total potentially dilutive securities 6,161,356 7,324,400 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Summary of Property and Equipment | Property and equipment are as follows: As of December 31, 2018 2017 Computer software $ 1,797,454 $ 1,418,457 Computer hardware 2,709,072 2,289,687 Furniture and fixtures 544,421 529,287 Leasehold improvements 613,111 613,111 5,664,058 4,850,542 Less – accumulated depreciation (4,445,042 ) (3,436,625 ) Total property and equipment, net $ 1,219,016 $ 1,413,917 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Payables And Accruals [Abstract] | |
Summary of Accrued Expenses | Accrued expenses consist of the following: As of December 31, 2018 2017 Accrued compensation $ 990,988 $ 948,935 Accrued legal expenses 524,685 445,684 Other accrued expenses 262,676 227,406 Total $ 1,778,349 $ 1,622,025 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | The future minimum lease payments for leased locations are as follows: For the Year Ended December 31, Amount 2019 $ 457,585 Total $ 457,585 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Option Activity | The following is a summary of the Company’s stock option activity during the year ended December 31, 2018: Number of Options Weighted Average Exercise Price Weighted Average Remaining Life In Years Intrinsic Value Outstanding at January 1, 2018 1,037,239 $ 4.80 6.4 $ 15,198,044 Granted — — — — Exercised (380,745 ) 3.47 — — Forfeited — — — — Outstanding at December 31, 2018 656,494 $ 5.57 4.6 $ 252,887 Exercisable at December 31, 2018 656,494 $ 5.57 4.6 $ 252,887 |
Schedule of Restricted Stock Units Activity | A summary of the activity related to RSUs for the year ended December 31, 2018 is presented below: Total Weighted Average Grant Date Fair Value Outstanding at January 1, 2018 2,274,325 $ 13.75 RSUs granted 1,378,301 $ 15.89 RSUs forfeited (220,433 ) $ 14.36 RSUs vested (963,019 ) $ 13.30 Outstanding at December 31, 2018 2,469,174 $ 15.07 |
Summary of Activity Related to PSUs | A summary of the activity related to PSUs for the year ended December 31, 2018 is presented below: Total Weighted Average Grant Date Fair Value Outstanding at January 1, 2018 951,657 $ 2.65 PSUs granted — $ — PSUs forfeited (656,688 ) $ 2.65 PSUs vested (294,969 ) $ 2.65 Outstanding at December 31, 2018 — $ — |
Summary of Fair Values of Purchase Options Granted | The fair values of the purchase options granted were estimated using the following assumptions: For the Year Ended December 31, 2018 Stock price range $ 14.48 – 22.34 Dividend yield 0 % Expected volatility range 72 – 177 % Risk-free interest rate range 1.61 – 2.14 % Expected life 6 months For the Year Ended December 31, 2017 Stock price range $ 16.08 – 17.59 Dividend yield 0 % Expected volatility range 56 – 66 % Risk-free interest rate range 0.62 – 1.11 % Expected life 6 months |
Summary of Stock-based Compensation Costs Recognized | The following tables summarize total stock-based compensation costs recognized for years ended December 31, 2018 and 2017: For the Years Ended December 31, 2018 2017 Stock options $ — $ 764,723 RSUs 15,359,011 13,043,171 PSUs 819,816 1,661,650 DSUs — 1,362 ESPP 574,927 331,913 Total $ 16,753,754 $ 15,802,819 |
Summary of Stock-based Compensation Reflected within Statements of Operations | The total amount of stock-based compensation was reflected within the statements of operations as: For the Years Ended December 31, 2018 2017 Research and development $ 9,676,156 $ 8,522,798 Sales and marketing 1,416,136 1,113,120 General and administrative 5,661,462 6,166,901 Total $ 16,753,754 $ 15,802,819 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Deferred Tax Assets and Liabilities | As of December 31, 2018 and 2017, the Company’s deferred tax assets (liabilities) consisted of the effects of temporary differences attributable to the following: December 31, 2018 2017 Deferred tax assets (liabilities): Tax credit $ 5,994,401 $ 4,335,394 Net operating loss carryforwards 36,578,319 23,630,008 Property and equipment 144,833 99,756 Research and development costs 16,303,445 15,372,328 Start-up and organizational costs 696 774 Stock-based compensation 4,000,781 2,473,591 Other accruals 326,812 260,113 Total gross deferred tax assets 63,349,287 46,171,964 Less: valuation allowance (63,349,287 ) (46,171,964 ) Deferred tax assets, net $ — $ — |
Summary of Valuation Allowance | The change in the Company’s valuation allowance is as follows: 2018 2017 January 1, $ 46,171,964 $ 39,719,606 Increase in valuation allowance 17,177,323 6,452,358 December 31, $ 63,349,287 $ 46,171,964 |
Schedule of Effective Income Tax Rate Reconciliation | For the Year Ended December 31, 2018 2017 Tax benefit at federal statutory rate (21.0 )% (34.0 )% State income taxes (7.7 ) (10.2 ) Permanent differences: Stock-based compensation (2.2 ) (2.5 ) Meals and entertainment 0.1 0.1 Executive compensation 0.2 — True-up of federal deferred taxes 0.1 (2.8 ) Change in effective tax rate — 39 Research and development tax credit, federal (1.9 ) (1.4 ) Research and development tax credit, state (1.4 ) (1.6 ) Increase in valuation allowance, federal 24.7 1.3 Increase in valuation allowance, state 9.1 11.7 Effective income tax rate 0.0 % 0.0 % |
Unaudited Quarterly Financial_2
Unaudited Quarterly Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Summarized quarterly information for the years ended December 31, 2018 and 2017 is listed below: For the quarter ended March 31 June 30 September 30 December 31 2018 Revenue $ 25,000 $ 205,773 $ 228,000 $ 56,050 Operating expenses $ 13,474,163 $ 12,510,139 $ 12,879,961 $ 12,579,970 Net loss $ (13,443,457 ) $ (12,298,371 ) $ (12,645,291 ) $ (12,453,003 ) Loss per share, basic and diluted $ (0.55 ) $ (0.48 ) $ (0.49 ) $ (0.48 ) 2017 Revenue $ 575,368 $ 299,506 $ 250,000 $ 29,135 Operating expenses $ 13,051,387 $ 13,220,879 $ 13,001,623 $ 11,267,948 Net loss $ (12,473,140 ) $ (12,919,010 ) $ (12,748,248 ) $ (11,236,477 ) Loss per share, basic and diluted $ (0.61 ) $ (0.63 ) $ (0.58 ) $ (0.50 ) |
Liquidity and Management Plans
Liquidity and Management Plans - Additional Information (Detail) - USD ($) | Feb. 27, 2019 | Jan. 31, 2018 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 |
Liquidity And Management Plans [Line Items] | ||||||||||||
Engineering product development | $ 56,050 | $ 228,000 | $ 205,773 | $ 25,000 | $ 29,135 | $ 250,000 | $ 299,506 | $ 575,368 | $ 514,823 | $ 1,154,009 | ||
Net income (loss) | (12,453,003) | $ (12,645,291) | $ (12,298,371) | $ (13,443,457) | (11,236,477) | $ (12,748,248) | $ (12,919,010) | $ (12,473,140) | (50,840,122) | (49,376,875) | ||
Net cash provided by (used in) operating activities | (32,527,023) | (34,430,298) | ||||||||||
Proceeds from issuance of common stock | 38,846,815 | |||||||||||
Cash and cash equivalents, at carrying value, total | $ 20,106,485 | $ 12,795,254 | 20,106,485 | $ 12,795,254 | ||||||||
Subsequent Event [Member] | ||||||||||||
Liquidity And Management Plans [Line Items] | ||||||||||||
Proceeds from issuance of common stock | $ 23,300,000 | |||||||||||
Underwriters’ discount | 1,500,000 | |||||||||||
Stock offering expenses on issue of common stock | $ 200,000 | |||||||||||
At-the-Market [Member] | ||||||||||||
Liquidity And Management Plans [Line Items] | ||||||||||||
Proceeds from issuance of common stock | $ 38,846,815 | |||||||||||
Technology Service [Member] | ||||||||||||
Liquidity And Management Plans [Line Items] | ||||||||||||
Engineering product development | $ 514,823 |
Significant Accounting Policies
Significant Accounting Policies - Additional Information (Detail) - USD ($) | Apr. 30, 2015 | Dec. 31, 2018 | Dec. 31, 2017 |
Summary Of Significant Accounting Policies [Line Items] | |||
Research and development expense, total | $ 32,871,685 | $ 33,230,668 | |
Liability for unrecognized tax benefits | 0 | ||
Interest or penalties for uncertain tax positions | $ 0 | $ 0 | |
Antidilutive securities excluded from computation of earnings per share, amount | 6,161,356 | 7,324,400 | |
Employee Stock Purchase Plan [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Common stock purchase price discount percentage | 85.00% | 15.00% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Detail) - shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Total potentially dilutive securities | 6,161,356 | 7,324,400 |
Financing Warrant to Purchase Common Stock [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Total potentially dilutive securities | 13,889 | |
IPO Warrants to Purchase Common Stock [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Total potentially dilutive securities | 11,600 | |
Warrant Issued to Private Investors [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Total potentially dilutive securities | 3,035,688 | 3,035,688 |
Employee Stock Option [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Total potentially dilutive securities | 656,494 | 1,037,239 |
Restricted Stock Units (RSUs) [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Total potentially dilutive securities | 2,469,174 | 2,274,327 |
Performance Share Units [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Total potentially dilutive securities | 951,657 |
Property and Equipment - Summar
Property and Equipment - Summary of Property and Equipment (Detail) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross, Total | $ 5,664,058 | $ 4,850,542 |
Less – accumulated depreciation | (4,445,042) | (3,436,625) |
Total property and equipment, net | 1,219,016 | 1,413,917 |
Computer Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross, Total | 1,797,454 | 1,418,457 |
Computer Hardware [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross, Total | 2,709,072 | 2,289,687 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross, Total | 544,421 | 529,287 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross, Total | $ 613,111 | $ 613,111 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | ||
Depreciation and amortization expense | $ 1,054,720 | $ 1,309,980 |
Computer Hardware [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 3 years | |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 7 years | |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, estimated useful lives | remaining life of the lease. | |
Minimum [Member] | Computer Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 1 year | |
Maximum [Member] | Computer Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 2 years |
Accrued Expenses - Summary of A
Accrued Expenses - Summary of Accrued Expenses (Detail) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Payables And Accruals [Abstract] | ||
Accrued compensation | $ 990,988 | $ 948,935 |
Accrued legal expenses | 524,685 | 445,684 |
Other accrued expenses | 262,676 | 227,406 |
Total | $ 1,778,349 | $ 1,622,025 |
Commitments and Contingencies -
Commitments and Contingencies - Operating Leases - Additional Information (Detail) - USD ($) | May 31, 2017 | Aug. 25, 2015 | Feb. 26, 2015 | Sep. 10, 2014 | Dec. 31, 2018 |
San Jose, California [Member] | Amended Sub-lease Agreement [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Operating leases, rent expense, net | $ 4,578 | ||||
Lease expiration date | Jun. 30, 2019 | ||||
San Jose, California [Member] | Sub-lease Agreement [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Operating leases, rent expense, sublease rentals | $ 6,668 | ||||
Lease expiration date | Jun. 30, 2019 | ||||
Costa Mesa, California [Member] | Sub-lease Agreement [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Operating leases, rent expense | $ 9,437 | ||||
Lease expiration date | Sep. 30, 2019 | ||||
Balzer Family Investments Lp [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Operating leases expiration period | 60 months | ||||
Operating leases, rent expense | $ 36,720 | ||||
Number of shares issued to landlord as prepaid rent and tenant improvements | 41,563 | ||||
Payments for rent | $ 400,000 | ||||
Operating leases, rent expense, net | 6,732 | ||||
Balzer Family Investments Lp [Member] | Term Leases [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Payments for tenant improvements | 100,000 | ||||
Balzer Family Investments Lp [Member] | Common Stock [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Shares issued to landlord as prepaid rent and tenant improvements value | 500,000 | ||||
Payments for rent | $ 400,000 |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Future Minimum Rental Payments for Operating Leases (Detail) | Dec. 31, 2018USD ($) |
Operating Leases Future Minimum Payments Due [Abstract] | |
2,019 | $ 457,585 |
Total | $ 457,585 |
Commitments and Contingencies_3
Commitments and Contingencies - Hosted Design Solution Agreement - Additional Information (Detail) - Hosted Design Solution Agreement [Member] - USD ($) | Dec. 18, 2015 | Jun. 25, 2015 | Jul. 31, 2018 | Dec. 31, 2018 |
Commitments And Contingencies [Line Items] | ||||
Initial term of agreement | 3 years | |||
Other cost of services | $ 218,000 | $ 101,000 | ||
Hardware and software configuration payments period increase | $ 198,000 | |||
Additional term of agreement | 3 years |
Commitments and Contingencies_4
Commitments and Contingencies - MBO Bonus Plan - Additional Information (Detail) - Executive Officers [Member] | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Commitments And Contingencies [Line Items] | |
Expense recognized by company | $ 1,440,671 |
Accrued Expenses [Member] | |
Commitments And Contingencies [Line Items] | |
Bonus accrued but not yet paid | $ 234,675 |
Commitments and Contingencies_5
Commitments and Contingencies - Amended Employee Agreement - Stephen Rizzone - Additional Information (Detail) - USD ($) | May 21, 2015 | Jan. 01, 2015 | Dec. 12, 2013 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2015 |
Commitments And Contingencies [Line Items] | ||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, gross | 0 | 0 | ||||
Performance based equity plan, market capitalization minimum amount | $ 100,000,000 | |||||
Performance based equity plan market capitalization maximum amount | $ 1,100,000,000 | |||||
Performance Based Equity Plan [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Performance based equity plan, market capitalization minimum amount | $ 100,000,000 | |||||
Performance share units to be earned on achievement of market capitalization growth | 0 | |||||
Performance based equity plan market capitalization maximum amount | $ 1,100,000,000 | |||||
Percentage of performance share units to be earned on achievement of market capitalization growth | 100.00% | 100.00% | 100.00% | |||
Percentage of performance share units to be paid on quarterly basis | 50.00% | |||||
Percentage of performance share units deferred | 50.00% | |||||
Percentage of performance share units to be paid on termination of employment agreement | 25.00% | |||||
Performance Share Units [Member] | Performance Based Equity Plan [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, gross | 639,075 | |||||
Second Employee Stock Option [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, gross | 496,546 | |||||
Deferred compensation arrangement with individual, exercise price | $ 6 | |||||
Employee Stock Option [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, gross | 0 | |||||
Deferred compensation arrangement with individual, maximum contractual term | 48 months | |||||
Deferred compensation arrangement with individual, exercise price | $ 1.68 | |||||
Vesting period | 4 years | |||||
Mr. Rizzone [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Agreement effective date | Jan. 1, 2015 | |||||
Initial term of agreement | 4 years | |||||
Renewal Term | 1 year | |||||
Officers' compensation | $ 365,000 | |||||
Employment agreement percentage of base salary | 100.00% | |||||
Mr. Rizzone [Member] | Employee Stock Option [Member] | ||||||
Commitments And Contingencies [Line Items] | ||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, gross | 275,689 | |||||
Deferred compensation arrangement with individual, maximum contractual term | 10 years |
Commitments and Contingencies_6
Commitments and Contingencies - Strategic Alliance Agreement - Additional Information (Detail) | 1 Months Ended |
Nov. 30, 2016 | |
Strategic Alliance Agreement [Member] | |
Commitments And Contingencies [Line Items] | |
Initial term of agreement | 7 years |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) | Aug. 17, 2018USD ($) | Jul. 05, 2017USD ($) | Jun. 28, 2017$ / sharesshares | Jan. 31, 2018USD ($) | Dec. 31, 2018Vote |
Class of Stock [Line Items] | |||||
Number of common stock voting entitlement per share | Vote | 1 | ||||
Dialog Semiconductor Plc [Member] | |||||
Class of Stock [Line Items] | |||||
Class of warrant or right, exercise price of warrants or rights | $ / shares | $ 19.9766 | ||||
Dialog Semiconductor Plc [Member] | Common Stock [Member] | |||||
Class of Stock [Line Items] | |||||
Class of warrant or right, number of securities called by warrants or rights | shares | 654,013 | ||||
Dialog Semiconductor Plc [Member] | Warrant Issued to Private Investors [Member] | |||||
Class of Stock [Line Items] | |||||
Stock issued during period, value, new issues | $ 14,999,935 | ||||
Stock issued during period, shares, new issues | shares | 976,139 | ||||
Consummation of Offering Under Shelf Registration [Member] | |||||
Class of Stock [Line Items] | |||||
Stock issued during period, value, new issues | $ 38,846,815 | ||||
Underwriter’s discount and issuance costs | $ 1,153,715 | ||||
Proceeds from shelf registration debt or equity securities | $ 75,000,000 | ||||
Private Placements [Member] | Dialog Semiconductor Plc [Member] | |||||
Class of Stock [Line Items] | |||||
Share price | $ / shares | $ 15.3666 |
Stock Based Compensation - Equi
Stock Based Compensation - Equity Incentive Plan - Additional Information (Detail) - USD ($) | Apr. 30, 2015 | Dec. 31, 2018 | Dec. 31, 2017 | May 16, 2018 | Dec. 28, 2017 | Mar. 31, 2014 | Dec. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Employee contribution through payroll withholdings | $ 531,797 | $ 869,066 | |||||
Performance Share Units [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation arrangement by share-based payment award, number of shares authorized | 1,310,104 | 2,710,104 | |||||
Common stock, capital shares reserved for future issuance | 1,400,000 | ||||||
Share-based compensation arrangement by share-based payment award, number of shares available for grant | 1,431,951 | ||||||
Restricted Stock Units (RSUs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 1,378,301 | ||||||
Employee Stock Purchase Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock, capital shares reserved for future issuance | 600,000 | ||||||
Share-based compensation arrangement by share-based payment award, number of shares available for grant | 343,753 | ||||||
Lowest percentage of annual compensation to be utilized by an employee for the plan | 1.00% | ||||||
Highest percentage of annual compensation to be utilized by an employee for the plan | 10.00% | ||||||
Maximum number of shares permitted to purchase | 7,500 | ||||||
Offering period | 6 months | ||||||
Exercise price discount from fair value on offering date | 85.00% | ||||||
Exercise price discount from fair value on exercise date | 85.00% | 15.00% | |||||
Share-based compensation arrangement by share-based payment award, terms of award | In April 2015, the Company’s board of directors approved the ESPP, under which 600,000 shares of common stock have been reserved for purchase by the Company’s employees, subject to approval by the stockholders. On May 21, 2015, the Company’s stockholders approved the ESPP. Employees may designate an amount not less than 1% but not more than 10% of their annual compensation, but for not more than 7,500 shares during an offering period. An offering period shall be six months in duration commencing on or about January 1 and July 1 of each year. The exercise price of the option will be the lesser of 85% of the fair market of the common stock on the first business day of the offering period and 85% of the fair market value of the common stock on the applicable exercise date. | ||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 62,168 | 62,700 | |||||
2013 Equity Incentive Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation arrangement by share-based payment award, number of shares authorized | 6,085,967 | 4,485,967 | |||||
Common stock, capital shares reserved for future issuance | 1,600,000 | ||||||
Common stock to be issued | 1,707,485 | ||||||
Non-Employee Equity Compensation Plan 2014 [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation arrangement by share-based payment award, number of shares authorized | 850,000 | 600,000 | |||||
Common stock, capital shares reserved for future issuance | 250,000 | ||||||
Common stock available to be issued | 366,829 | ||||||
2017 Equity Inducement Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock available to be issued | 271,000 | ||||||
2017 Equity Inducement Plan [Member] | Restricted Stock Units (RSUs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Common stock, capital shares reserved for future issuance | 600,000 |
Stock Based Compensation - Summ
Stock Based Compensation - Summary of Stock Option Activity (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Options, Granted | 0 | 0 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of Options, Outstanding | 1,037,239 | |
Number of Options, Granted | 0 | |
Number of Options, Exercised | (380,745) | |
Number of Options, Forfeited | 0 | |
Number of Options, Outstanding | 656,494 | 1,037,239 |
Number of Options, Exercisable | 656,494 | |
Weighted Average Exercise Price, Outstanding | $ 4.80 | |
Weighted Average Exercise Price, Granted | 0 | |
Weighted Average Exercise Price, Exercised | 3.47 | |
Weighted Average Exercise Price, Forfeited | 0 | |
Weighted Average Exercise Price, Outstanding | 5.57 | $ 4.80 |
Weighted Average Exercise Price, Exercisable | $ 5.57 | |
Weighted Average Remaining Life In Years, Outstanding | 4 years 7 months 6 days | 6 years 4 months 24 days |
Weighted Average Remaining Life In Years, Exercisable | 4 years 7 months 6 days | |
Intrinsic Value, Outstanding | $ 252,887 | $ 15,198,044 |
Intrinsic Value, Exercisable | $ 252,887 |
Stock Based Compensation - Stoc
Stock Based Compensation - Stock Option Award Activity - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation arrangement by share-based payment award, options, exercises in period, intrinsic value | $ 4,570,515 | $ 2,864,845 |
Options granted | 0 | 0 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Employee service share-based compensation, nonvested awards, compensation not yet recognized, stock options | $ 0 |
Stock Based Compensation - Rest
Stock Based Compensation - Restricted Stock Units - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018USD ($)shares | |
Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Employee service share-based compensation, nonvested awards, compensation not yet recognized, share-based awards other than options | $ | $ 25,810,914 |
Employee service share-based compensation, nonvested awards, compensation cost not yet recognized, period for recognition | 2 years 3 months 18 days |
Non-Employee Equity Compensation Plan 2014 [Member] | Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 175,826 |
Non-Employee Equity Compensation Plan 2014 [Member] | Restricted Stock Units (RSUs) [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation arrangement by share-based payment award, award vesting period | 1 year |
Non-Employee Equity Compensation Plan 2014 [Member] | Restricted Stock Units (RSUs) [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation arrangement by share-based payment award, award vesting period | 4 years |
2013 Equity Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Employee [Member] | Common Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 856,975 |
2013 Equity Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation arrangement by share-based payment award, award vesting period | 1 year |
2013 Equity Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation arrangement by share-based payment award, award vesting period | 4 years |
2017 Equity Inducement Plan [Member] | Employee [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 345,500 |
Share-based compensation arrangement by share-based payment award, award vesting period | 4 years |
Stock Based Compensation - Sche
Stock Based Compensation - Schedule of Restricted Stock Units Activity (Detail) - Restricted Stock Units (RSUs) [Member] | 12 Months Ended |
Dec. 31, 2018$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Options, Outstanding | shares | 2,274,325 |
RSUs granted | shares | 1,378,301 |
RSUs forfeited | shares | (220,433) |
RSUs vested | shares | (963,019) |
Number of Options, Outstanding | shares | 2,469,174 |
Weighted Average Grant Date Fair Value, Beginning Balance | $ / shares | $ 13.75 |
Weighted Average Grant Date Fair Value, RSUs granted | $ / shares | 15.89 |
Weighted Average Grant Date Fair Value, RSUs forfeited | $ / shares | 14.36 |
Weighted Average Grant Date Fair Value, RSUs vested | $ / shares | 13.30 |
Weighted Average Grant Date Fair Value, Ending Balance | $ / shares | $ 15.07 |
Stock Based Compensation - Perf
Stock Based Compensation - Performance Share Units - Additional Information (Detail) - USD ($) | May 21, 2015 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Performance based equity plan market capitalization minimum amount | $ 100,000,000 | |||
Performance based equity plan market capitalization maximum amount | $ 1,100,000,000 | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 0 | 0 | 0 | |
Share based compensation arrangement by share based payment award equity instruments other than options grants in period fair value | $ 3,218,000 | |||
Share based compensation arrangement by share based payment award unamortized value | $ 0 | |||
Performance Shares and Inducement Award [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 1,342,061 | |||
Inducement PSU Award [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 63,908 | |||
Performance Share Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | $ 819,816 | $ 1,661,650 | ||
Performance Based Equity Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Performance based equity plan market capitalization minimum amount | $ 100,000,000 | |||
Performance based equity plan market capitalization maximum amount | $ 1,100,000,000 | |||
Percentage of performance share units to be earned on achievement of market capitalization growth | 100.00% | 100.00% | 100.00% | |
2015 Performance Share Unit Plan [Member] | Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 1,278,153 |
Stock Based Compensation - Su_2
Stock Based Compensation - Summary of Activity Related to PSUs (Detail) - Performance Shares [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Options, Outstanding | 951,657 | ||
PSUs granted | 0 | 0 | 0 |
PSUs forfeited | (656,688) | ||
PSUs / DSUs vested | (294,969) | ||
Number of Options, Outstanding | 951,657 | ||
Weighted Average Grant Date Fair Value, Beginning Balance | $ 2.65 | ||
Weighted Average Grant Date Fair Value, PSUs granted | 0 | ||
Weighted Average Grant Date Fair Value, PSUs forfeited | 2.65 | ||
Weighted Average Grant Date Fair Value, PSUs vested | $ 2.65 | ||
Weighted Average Grant Date Fair Value, Ending Balance | $ 2.65 |
Stock Based Compensation - Empl
Stock Based Compensation - Employee Stock Purchase Plan - Additional Information (Detail) - Employee Stock Purchase Plan [Member] - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period, weighted average grant date fair value | $ 9.25 | $ 5.42 |
Percentage of proportionate value of call option of stock | 85.00% | |
Percentage of proportionate value of put option of stock | 15.00% | |
Allocated share-based compensation expense | $ 574,927 | $ 331,913 |
Stock Based Compensation - Su_3
Stock Based Compensation - Summary of Fair Values of Purchase Options Granted (Detail) - Employee Stock Option [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Dividend yield | 0.00% | 0.00% |
Expected volatility, minimum | 72.00% | 56.00% |
Expected volatility, maximum | 177.00% | 66.00% |
Risk-free interest rate, minimum | 1.61% | 0.62% |
Risk-free interest rate, maximum | 2.14% | 1.11% |
Expected life | 6 months | 6 months |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock price | $ 14.48 | $ 16.08 |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock price | $ 22.34 | $ 17.59 |
Stock Based Compensation -Summa
Stock Based Compensation -Summary of Stock-based Compensation Costs Recognized (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total | $ 16,753,754 | $ 15,802,819 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 0 | 764,723 |
Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 15,359,011 | 13,043,171 |
Performance Share Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 819,816 | 1,661,650 |
Deferred Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 0 | 1,362 |
Employee Stock Purchase Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | $ 574,927 | $ 331,913 |
Stock Based Compensation - Su_4
Stock Based Compensation - Summary of Stock-based Compensation Reflected within Statements of Operations (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Share-based Compensation, Total | $ 16,753,754 | $ 15,802,819 |
Research and Development Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 9,676,156 | 8,522,798 |
Selling and Marketing Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | 1,416,136 | 1,113,120 |
General and Administrative Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Allocated share-based compensation expense | $ 5,661,462 | $ 6,166,901 |
Income Tax - Additional Informa
Income Tax - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Income Tax Contingency [Line Items] | |
Tax Cuts and Jobs Act of 2017 Accounting Complete | true |
Tax credit carry forward expiration period | 2,033 |
Operating loss carryforwards, limitations on use | Stock ownership of one or more 5% shareholders (shareholders owning 5% or more of the Company’s outstanding capital stock) has increased on a cumulative basis by more than 50 percentage points. |
Domestic Tax Authority [Member] | |
Income Tax Contingency [Line Items] | |
Operating loss carryforwards | $ 130,590,000 |
Deferred tax assets, tax credit carryforwards, research | $ 3,669,000 |
Tax credit research and development expiration period | 2,032 |
State and Local Jurisdiction [Member] | |
Income Tax Contingency [Line Items] | |
Operating loss carryforwards | $ 131,084,000 |
Deferred tax assets, tax credit carryforwards, research | $ 2,944,000 |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Detail) - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets (liabilities): | |||
Tax credit | $ 5,994,401 | $ 4,335,394 | |
Net operating loss carryforwards | 36,578,319 | 23,630,008 | |
Property and equipment | 144,833 | 99,756 | |
Research and development costs | 16,303,445 | 15,372,328 | |
Start-up and organizational costs | 696 | 774 | |
Stock-based compensation | 4,000,781 | 2,473,591 | |
Other accruals | 326,812 | 260,113 | |
Total gross deferred tax assets | 63,349,287 | 46,171,964 | |
Less: valuation allowance | (63,349,287) | (46,171,964) | $ (39,719,606) |
Deferred tax assets, net | $ 0 | $ 0 |
Income Taxes -Summary of Valuat
Income Taxes -Summary of Valuation Allowance (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
January 1 | $ 46,171,964 | $ 39,719,606 |
Increase in valuation allowance | 17,177,323 | 6,452,358 |
December 31 | $ 63,349,287 | $ 46,171,964 |
Income Taxes -Schedule of Effec
Income Taxes -Schedule of Effective Income Tax Rate Reconciliation (Detail) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Contingency [Line Items] | ||
Tax benefit at federal statutory rate | (21.00%) | (34.00%) |
State income taxes | (7.70%) | (10.20%) |
Permanent differences: | ||
Stock-based compensation | (2.20%) | (2.50%) |
Meals and entertainment | 0.10% | 0.10% |
Executive compensation | 0.20% | |
Change in effective tax rate | 39.00% | |
Effective income tax rate | 0.00% | 0.00% |
Domestic Tax Authority [Member] | ||
Permanent differences: | ||
Effective income tax rate reconciliation, prior year income taxes, percent | 0.10% | (2.80%) |
Effective income tax rate reconciliation, tax credit, research, percent | (1.90%) | (1.40%) |
Effective income tax rate reconciliation, change in deferred tax assets valuation allowance, percent | 24.70% | 1.30% |
State and Local Jurisdiction [Member] | ||
Permanent differences: | ||
Effective income tax rate reconciliation, tax credit, research, percent | (1.40%) | (1.60%) |
Effective income tax rate reconciliation, change in deferred tax assets valuation allowance, percent | 9.10% | 11.70% |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) | 8 Months Ended | 12 Months Ended | |
Jun. 28, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | |
Strategic Alliance Agreement [Member] | |||
Related Party Transaction [Line Items] | |||
Revenue | $ 5,773 | $ 0 | |
Dialog Semiconductor Plc [Member] | |||
Related Party Transaction [Line Items] | |||
Equity method investment, ownership percentage | 6.60% | ||
Percentage of common shares potentially own outstanding shares | 11.30% | ||
Dialog Semiconductor Plc [Member] | Research and Development Expense [Member] | |||
Related Party Transaction [Line Items] | |||
Payments for fees | $ 79,550 | $ 516,725 | |
Private Placements [Member] | Dialog Semiconductor Plc [Member] | |||
Related Party Transaction [Line Items] | |||
Stock issued during period, shares, new issues | 1,739,691 | ||
Private Placements [Member] | Dialog Semiconductor Plc [Member] | Warrant Issued to Private Investors [Member] | |||
Related Party Transaction [Line Items] | |||
Class of warrant or right, number of securities called by warrants or rights | 1,417,565 |
Unaudited Quarterly Financial_3
Unaudited Quarterly Financial Information - Schedule of Quarterly Financial Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||
Revenue | $ 56,050 | $ 228,000 | $ 205,773 | $ 25,000 | $ 29,135 | $ 250,000 | $ 299,506 | $ 575,368 | $ 514,823 | $ 1,154,009 |
Operating expenses | 12,579,970 | 12,879,961 | 12,510,139 | 13,474,163 | 11,267,948 | 13,001,623 | 13,220,879 | 13,051,387 | 51,444,233 | 50,541,837 |
Net loss | $ (12,453,003) | $ (12,645,291) | $ (12,298,371) | $ (13,443,457) | $ (11,236,477) | $ (12,748,248) | $ (12,919,010) | $ (12,473,140) | $ (50,840,122) | $ (49,376,875) |
Loss per share, basic and diluted | $ (0.48) | $ (0.49) | $ (0.48) | $ (0.55) | $ (0.50) | $ (0.58) | $ (0.63) | $ (0.61) | $ (1.99) | $ (2.31) |
Customer Concentration - Additi
Customer Concentration - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2018USD ($)Customer | Dec. 31, 2017USD ($)Customer | |
Concentration Risk [Line Items] | ||
Accounts receivable | $ | $ 44,550 | $ 0 |
Revenues [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Number of customers | 1 | 1 |
Concentration percentage | 92.00% | 96.00% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Number of customers | 1 | |
Concentration percentage | 56.00% |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) | Feb. 27, 2019 | Dec. 31, 2018 |
Subsequent Event [Line Items] | ||
Proceeds from issuance of common stock | $ 38,846,815 | |
Subsequent Event [Member] | ||
Subsequent Event [Line Items] | ||
Proceeds from issuance of common stock | $ 23,300,000 | |
Underwriter’s discount and offering expenses | $ 1,700,000 |