Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Feb. 13, 2023 | Jun. 30, 2022 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2022 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Registrant Name | AVITA MEDICAL, INC. | ||
Entity Central Index Key | 0001762303 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Security Exchange Name | NASDAQ | ||
Trading Symbol | RCEL | ||
Title of 12(b) Security | Common Stock, par value $0.0001 per share | ||
Entity Interactive Data Current | Yes | ||
Entity Address, State or Province | CA | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Shell Company | false | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | false | ||
Entity Common Stock, Shares Outstanding | 25,296,086 | ||
Entity Public Float | $ 117,461,038 | ||
ICFR Auditor Attestation Flag | false | ||
Entity File Number | 001-39059 | ||
Entity Tax Identification Number | 85-1021707 | ||
Entity Address, Address Line One | 28159 Avenue Stanford | ||
Entity Address, Address Line Two | Suite 220 | ||
Entity Address, City or Town | Valencia | ||
Entity Address, Postal Zip Code | 91355 | ||
City Area Code | (661) | ||
Local Phone Number | 367-9170 | ||
Auditor Firm ID | 248 | ||
Auditor Name | GRANT THORNTON LLP | ||
Auditor Location | Los Angeles, California |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
ASSETS | |||
Cash and cash equivalents | $ 18,164,000 | $ 55,511,000 | $ 110,746,000 |
Marketable securities | 61,178,000 | 29,649,000 | |
Accounts receivable, net | 3,515,000 | 3,118,000 | 3,467,000 |
BARDA receivables | 898,000 | 308,000 | 3,936,000 |
Prepaids and other current assets | 1,578,000 | 1,213,000 | 1,333,000 |
Restricted cash | 201,000 | 201,000 | |
Inventory | 2,125,000 | 2,132,000 | 1,647,000 |
Total current assets | 87,458,000 | 92,132,000 | 121,330,000 |
Marketable securities long-term | 6,930,000 | 19,692,000 | |
Plant and equipment, net | 1,200,000 | 1,262,000 | 1,458,000 |
Operating lease right-of-use assets | 851,000 | 1,544,000 | 1,480,000 |
Corporate-owned life insurance asset | 1,238,000 | 304,000 | |
Intangible assets, net | 465,000 | 443,000 | 472,000 |
Other long-term assets | 122,000 | 638,000 | 761,000 |
Total assets | 98,264,000 | 116,015,000 | 125,501,000 |
LIABILITIES AND SHAREHOLDERS' EQUITY | |||
Accounts payable and accrued liabilities | 3,002,000 | 2,708,000 | 3,120,000 |
Accrued wages and fringe benefits | 6,623,000 | 5,363,000 | 3,321,000 |
Other current liabilities | 1,068,000 | 1,075,000 | 949,000 |
Total current liabilities | 10,693,000 | 9,146,000 | 7,390,000 |
Non-qualified deferred compensation liability | 1,270,000 | 262,000 | |
Contract liabilities | 698,000 | 952,000 | 1,075,000 |
Operating lease liabilities, long term | 306,000 | 918,000 | 878,000 |
Other long-term liabilities | 113,000 | 503,000 | |
Total liabilities | 12,967,000 | 11,391,000 | 9,846,000 |
Non-qualified deferred compensation plan share awards | 557,000 | ||
Contingencies (Note 12) | |||
Shareholders' equity: | |||
Common stock, $0.0001 par value per share, 200,000,000 shares authorized, 25,208,436, 24,925,743 and 24,895,864 shares issued and outstanding at December 31, 2022, December 31, 2021 and June 30, 2021, respectively | 3,000 | 3,000 | 3,000 |
Preferred stock, $0.0001 par value per share, 10,000,000 shares authorized, no shares issued or outstanding at December 31, 2022, December 31, 2021 and June 30, 2021. | |||
Additional paid-in capital | 339,825,000 | 332,484,000 | 328,889,000 |
Accumulated other comprehensive income | 7,627,000 | 8,060,000 | 8,259,000 |
Accumulated deficit | (262,588,000) | (235,923,000) | (221,496,000) |
Total shareholders' equity | 84,740,000 | 104,624,000 | 115,655,000 |
Company common stock held by the non-qualified deferred compensation plan | (127,000) | ||
Total liabilities, non-qualified deferred compensation plan share awards and shareholders' equity | $ 98,264,000 | $ 116,015,000 | $ 125,501,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Statement Of Financial Position [Abstract] | |||
Common stock par value | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Common stock shares authorized | 200,000,000 | 200,000,000 | 200,000,000 |
Common stock shares issued | 25,208,436 | 24,925,743 | 24,895,864 |
Common stock shares outstanding | 25,208,436 | 24,925,743 | 24,895,864 |
Preferred stock par value | $ 0.0001 | $ 0.0001 | $ 0.0001 |
Preferred stock shares authorized | 10,000,000 | 10,000,000 | 10,000,000 |
Preferred stock shares issued | 0 | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | |||
Revenues | $ 13,956 | $ 34,421 | $ 29,232 |
Cost of sales | (1,905) | (6,041) | (5,949) |
Gross profit | 12,051 | 28,380 | 23,283 |
BARDA income | 580 | 3,215 | 2,055 |
Operating expenses: | |||
Sales and marketing expenses | (8,472) | (21,913) | (14,660) |
General and administrative expenses | (10,996) | (23,330) | (22,400) |
Research and development expenses | (7,586) | (13,857) | (14,818) |
Total operating expenses | (27,054) | (59,100) | (51,878) |
Operating loss | (14,423) | (27,505) | (26,540) |
Interest expense | (17) | (16) | (22) |
Other income | 38 | 892 | 17 |
Loss before income taxes | (14,402) | (26,629) | (26,545) |
Provision for income tax | (25) | (36) | (38) |
Net loss | $ (14,427) | $ (26,665) | $ (26,583) |
Net loss per common share: | |||
Basic | $ (0.58) | $ (1.07) | $ (1.17) |
Diluted | $ (0.58) | $ (1.07) | $ (1.17) |
Weighted-average common shares: | |||
Basic | 24,915,414 | 25,000,180 | 22,674,313 |
Diluted | 24,915,414 | 25,000,180 | 22,674,313 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net loss | $ (14,427) | $ (26,665) | $ (26,583) |
Other comprehensive income gain/(loss): | |||
Foreign currency translation gain/(loss) | (95) | (111) | 113 |
Net unrealized loss on marketable securities, net of tax | (104) | (322) | |
Comprehensive loss | $ (14,626) | $ (27,098) | $ (26,470) |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Company Common Stock Held by the NQDC | Additional Paid-in Capital | Accumulated Other Comprehensive Gain (Loss) | Accumulated Deficit |
Beginning Balance at Jun. 30, 2020 | $ 72,401 | $ 3 | $ 259,165 | $ 8,146 | $ (194,913) | |
Beginning balance, shares at Jun. 30, 2020 | 21,467,912 | |||||
Net loss | (26,583) | (26,583) | ||||
Issuance of common stock under direct placement | 69,106 | 69,106 | ||||
Issuance of common stock under direct placement, shares | 3,214,250 | |||||
Issuance costs associated with direct placement | (5,109) | (5,109) | ||||
Share-based compensation | 5,664 | 5,664 | ||||
Exercise of stock options | 63 | 63 | ||||
Exercise of stock options, shares | 14,359 | |||||
Vesting of restricted stock units, shares | 199,343 | |||||
Translation gain (loss) | 113 | 113 | ||||
Ending Balance at Jun. 30, 2021 | 115,655 | $ 3 | 328,889 | 8,259 | (221,496) | |
Ending Balance, shares at Jun. 30, 2021 | 24,895,864 | |||||
Net loss | (14,427) | (14,427) | ||||
Share-based compensation | 3,588 | 3,588 | ||||
Exercise of stock options | 7 | 7 | ||||
Exercise of stock options, shares | 1,125 | |||||
Vesting of restricted stock units, shares | 28,754 | |||||
Translation gain (loss) | (95) | (95) | ||||
Net unrealized loss on marketable securities, net of tax | (104) | (104) | ||||
Ending Balance at Dec. 31, 2021 | 104,624 | $ 3 | 332,484 | 8,060 | (235,923) | |
Ending Balance, shares at Dec. 31, 2021 | 24,925,743 | |||||
Net loss | (26,665) | (26,665) | ||||
Share-based compensation | 6,527 | 6,527 | ||||
Exercise of stock options | $ 900 | 900 | ||||
Exercise of stock options, shares | 150,125 | 150,125 | ||||
Vesting of restricted stock units, shares | 114,641 | |||||
Translation gain (loss) | $ (111) | |||||
Net unrealized loss on marketable securities, net of tax | (322) | |||||
Company common stock held by the NQDC | $ (127) | 127 | ||||
Company common stock held by the NQDC, Shares | 17,927 | |||||
Change in classification of deferred compensation share awards | (192) | (192) | ||||
Change in redemption value of share awards in NQDC plan | (21) | (21) | ||||
Other comprehensive loss | (433) | (433) | ||||
Ending Balance at Dec. 31, 2022 | $ 84,740 | $ 3 | $ (127) | $ 339,825 | $ 7,627 | $ (262,588) |
Ending Balance, shares at Dec. 31, 2022 | 25,208,436 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Cash flow from operating activities: | |||
Net loss | $ (14,427) | $ (26,665) | $ (26,583) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Depreciation and amortization | 330 | 568 | 715 |
Share-based compensation | 3,588 | 6,998 | 5,664 |
Non-cash lease expense | 328 | 692 | 591 |
Loss on fixed asset disposal | 3 | 130 | |
Patent impairment loss | 42 | ||
Remeasurement and foreign currency transaction (gain)/loss | (72) | (85) | 228 |
Excess and obsolete inventory related charges | 44 | 375 | 226 |
BARDA deferred costs | (278) | 130 | 343 |
Contract cost amortization | 167 | 338 | 129 |
Provision (benefit) for doubtful accounts | (2) | (5) | 12 |
Amortization of (premium)/discount of marketable securities | 104 | (281) | |
Non-cash changes in the fair value of NQDC plan | 38 | ||
Changes in operating assets and liabilities: | |||
Trade and other receivables | 350 | (395) | (1,399) |
BARDA receivables | 3,627 | (590) | (3,580) |
Prepaids and other current assets | 119 | (366) | (342) |
Inventory | (530) | (371) | (745) |
Operating lease liability | (334) | (720) | (594) |
Corporate-owned life insurance asset | (304) | (1,084) | |
Other long-term assets | (43) | 178 | (889) |
Accounts payable and accrued expenses | (392) | 282 | (1,333) |
Accrued wages and fringe benefits | 2,046 | 1,272 | 493 |
Other current liabilities | 186 | (92) | 155 |
Non-qualified deferred compensation plan liability | 262 | 994 | |
Contract liabilities | (123) | (254) | 640 |
Other long-term liabilities | (189) | (50) | 238 |
Net cash used in operations | (5,501) | (19,090) | (25,901) |
Cash flows from investing activities: | |||
Purchase of marketable securities | (49,550) | (74,362) | |
Maturities of marketable securities | 55,555 | ||
Cash paid for property and equipment | (65) | (452) | (894) |
Cash paid for patent filing fees | (67) | (73) | (280) |
Net cash used in investing activities | (49,682) | (19,332) | (1,174) |
Cash flow from financing activities: | |||
Proceeds from direct placement of common stock | 69,106 | ||
Issuance cost associated with direct placement | (5,109) | ||
Principal repayment of finance lease | (11) | ||
Proceeds from exercise of stock options | 7 | 900 | 63 |
Net cash provided by financing activities | 7 | 900 | 64,049 |
Effect of foreign exchange rate on cash and restricted cash | (59) | (26) | 133 |
Net increase/(decrease) in cash and cash equivalents and restricted cash | (55,235) | (37,548) | 37,107 |
Cash and cash equivalents and restricted cash beginning of the period | 110,947 | 55,712 | 73,840 |
Cash and cash equivalents and restricted cash end of the period | 55,712 | 18,164 | 110,947 |
Supplemental Disclosure of Cash Flow Information | |||
Cash paid for income taxes | 8 | 17 | 42 |
Cash paid for interest | 17 | 15 | 3 |
Plant and equipment purchases not yet paid | $ 35 | $ 33 | $ 20 |
The Company
The Company | 12 Months Ended |
Dec. 31, 2022 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
The Company | 1. The Company The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“ U.S. GAAP Nature of the Business AVITA Medical, Inc. and its subsidiaries (collectively, “ AVITA Medical we our us Company FDA PMA In February 2022, the FDA approved a PMA supplement for the RECELL Autologous Cell Harvesting Device , an enhanced ease-of-use device aimed at providing clinicians a more efficient user experience and simplified workflow. IDEs In February 2019, we entered into a collaboration with COSMOTEC, an M3 Group company, to market and distribute the RECELL System in Japan. We worked with COSMOTEC to advance our application for approval of the RECELL System in Japan pursuant to Japan’s Pharmaceuticals and Medical Devices Act (“ PMDA In March 2020, the World Health Organization declared the outbreak of a novel strain of the coronavirus (“COVID-19”) a pandemic. We continue to closely monitor the impact surrounding the spread and potential resurgence of COVID-19 due to existing and future variants. As of the date of this filing, we continue to be unable to predict the full impact that the ongoing COVID-19 pandemic will have on our future results of operations, liquidity, and financial condition due to numerous uncertainties, including the duration of the pandemic and the actions that may be taken in the future by government authorities across the United States in response to new variants. The Company has assessed the potential impact of COVID-19 on certain accounting matters including, but not limited to, the allowance for doubtful accounts, inventory reserves and return reserves, and impairment considerations for long-lived assets, marketable securities and intangibles, as of December 31, 2022, and through the date of this report. With respect to future operating results, it is not possible at this time to predict, with any degree of precision, the effects of COVID-19. Consequently, actual results for accounting estimates and assumptions, particularly those relating to the recoverability of certain intangible assets and estimates of expected credit losses on accounts receivable could differ from these estimates. However, we do not currently believe that COVID-19 will result in any significant changes in costs going forward. We will continue to monitor the performance of our business and reassess the impacts of COVID-19 and its variants. CHANGE OF YEAR-END On November 8, 2021, the Company changed its fiscal year-end from June 30th to December 31st. The decision to change the fiscal year-end to a calendar year end was to align our reporting cycle more closely with how we manage our business. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated upon consolidation. Reclassification of prior year presentation Certain prior year amounts within other long-term assets and other long-term liabilities have been reclassified to Corporate-owned life insurance asset and Non-qualified deferred compensation plan liability, respectively, in the Consolidated Balance Sheets and Consolidated Statement of Cash flows, for consistency with current period presentation. These reclassifications had no effect on the reported results of operations or financial position or net cash used in operations. Use of Estimates The preparation of the accompanying consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts (including doubtful accounts, carrying value of long-lived asset, the useful lives of long-lived assets, accounting for marketable securities, income taxes, stock-based compensation and the stand-alone selling price for the BARDA contract) and related disclosures. Estimates have been prepared on the basis of the current and available information. However, actual results could differ from estimated amounts. Foreign Currency Translation and Foreign Currency Transactions The financial position and results of operations of the Company’s operating non-U.S. subsidiaries are generally determined using the respective local currency as the functional currency of that subsidiary. Assets and liabilities of these subsidiaries are translated at the exchange rate in effect at each period end. Income statement accounts are translated at the average rate of exchange prevailing during the period. Adjustments arising from the use of differing exchange rates from period to period are included in accumulated other comprehensive gain (loss) in shareholders’ equity. Gains and losses resulting from foreign currency transactions are included in general and administrative expenses and were gain of $91,000 and $35,000 and a loss of $97,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021 and the year-ended June 30, 2021, respectively. The Company’s subsidiaries that use the U.S. dollar as their functional currency remeasure monetary assets and liabilities at exchange rates in effect at the end of each period, nonmonetary assets and liabilities at historical rates. Gains and losses resulting from these remeasurements and foreign currency transactions are included in general and administrative expenses and were a loss of $6,000 a gain $37,000 and a loss of $131,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021 and the year-ended June 30, 2021, respectively. Comprehensive Loss The components of comprehensive loss consist of net loss, foreign currency translation adjustments from its subsidiaries not using the U.S. dollar as their functional currency and unrealized gains and losses in investments available for sale. The Company did not have reclassifications from other comprehensive loss to net loss during the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021. Revenue Recognition The Company recognizes revenue when its customers obtain control of promised goods or services, in an amount that reflects the consideration which the Company expects to be entitled in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of Topic 606, the Company performs the following five steps: 1. Identify the contract with a customer 2. Identify the performance obligations 3. Determine the transaction price 4. Allocate the transaction price to the performance obligations 5. Recognize revenue when/as performance obligation(s) are satisfied In order for an arrangement to be considered a contract, it must be probable that the Company will collect the consideration to which it is entitled for goods or services to be transferred. Once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised with each contract, determines whether those are performance obligations and the related transaction price. The Company then recognizes the sale of goods based on the transaction price that is allocated to the respective performance obligation when the performance obligation is satisfied. The Company’s revenue consists primarily of the sale of the RECELL System to hospitals or other treatment centers, COSMOTEC and to BARDA (collectively, “customers”), predominately in the United States. The Company evaluated the BARDA contract and concluded that a portion of the arrangement, such as the procurement of the RECELL system and the emergency preparedness, represents a transaction with a customer and as such are in the scope of ASC 606. Amounts received from BARDA for the research and development of the Company’s product are classified as BARDA income in the consolidated statement of operations and are accounted for under International Accounting Standards 20 (“ IAS 20 Revenues for commercial customers (hospitals, treatment centers and COSMOTEC) are recognized as control of the product is transferred to customers, at an amount that reflects the consideration expected to be received in exchange for the product. Revenues are recognized net of volume discounts. As such, revenue is recognized only to the extent a significant reversal of revenues is not expected to occur in subsequent periods. For the Company’s contracts that have an original duration of one year or less, the Company elected the practical expedient applicable to such contracts and does not consider the time value of money. Further, because of the short duration of these contracts, the Company has not disclosed the transaction price for the remaining performance obligations as of each reporting period or when the Company expects to recognize this revenue. The Company has further applied the practical expedient to exclude sales tax in the transaction price and expense contract fulfilment costs such as commissions and shipping and handling expenses as incurred. For revenues related to the BARDA contract within the scope of ASC 606, the Company identified two performance obligations (i) the procurement of 5,614 RECELL units, (ii) emergency preparedness services. Through this contract the Company promises to procure the product through a vendor management inventory arrangement and to stand ready to provide emergency deployment services related to the product. Emergency preparedness services include procuring necessary storage containers, housing, and maintaining the containers (and product), and providing shipping and handling services in the event of an emergency situation. This stand ready obligation is a series of distinct services that are substantially the same and have the same pattern of transfer to the customer, overtime as services are consumed. The total transaction price for the portion of the BARDA contract that is with in the scope of ASC 606, was determined to be $9.2 million. The transaction price was allocated on a stand-alone selling price basis as follows: $7.6 million to the procurement of the RECELL product, which is classified as revenues when recognized in the consolidated statement of operations and $1.6 million to the emergency deployment services which is classified as revenues when recognized in the consolidated statement of operations. The $1.6 million for emergency deployment includes variable consideration which is deemed immaterial to the contract as a whole. The Company estimated the stand-alone selling price of the procurement of the RECELL product based on historical pricing of the Company’s product at the initial execution of the contract. The Company estimated the stand-alone selling price of the emergency deployment services performed based on the Company’s projected cost of providing the services plus an applicable profit margin as denoted in the contract. The Company’s performance obligations are either satisfied at a point in time or over time as services are provided. Securities and Exchange Commission (SEC) Interpretation, Commission Guidance regarding Accounting for Sale of Vaccines and BioTerror Countermeasures to the Federal Government for Placement into the Pediatric Vaccine Stockpile or the Strategic National Stockpile (SNS). VMI Contract Liabilities The Company receives payments from customers based on contractual terms. Trade receivables are recorded when the right to consideration becomes unconditional. The Company satisfies its performance obligation on product sales when the products are shipped or delivered, depending on the terms of the sale. Payment terms on invoiced amounts are typically 30-90 days, and do not include a financing component. Contract liabilities are recorded when the Company receives payment prior to satisfying its obligation to transfer goods to a customer. Cost of Sales Cost of sales related to products includes costs to manufacture or purchase, package, and ship the Company’s products. Costs also include relevant production overhead and depreciation and amortization. These costs are recognized when control of the product is transferred to the customer and revenue is recognized. Income Taxes Income taxes are accounted for using the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income or loss in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in operations in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance if it is more likely than not that a portion of the deferred tax asset will not be realized. We recognize interest and penalties related to unrecognized tax benefits on the income tax expense line in the accompanying consolidated statement of operations. Accrued interest and penalties are included on the related tax liability line in the Consolidated Balance Sheet. The Company reviews its uncertain tax positions regularly. An uncertain tax position represents the Company’s expected treatment of a tax position taken in a filed return, or planned to be taken in a future tax return or claim that has not been reflected in measuring income tax expense for financial reporting purposes. The Company recognizes the tax benefit from an uncertain tax position when it is more-likely-than-not that the position will be sustained upon examination on the basis of the technical merits or the statute of limitations for the relevant taxing authority to examine and challenge the tax position has expired. Cash and Cash Equivalents Consists of cash held at deposit institutions and cash equivalents. Cash equivalents consist of short-term highly liquid investments with original maturities of three months or less from the date of purchase and consist primarily of money market funds. The Company holds cash at deposit institutions in the amount of $4.1 million, $4.4 million and $54.2 million of which $737,000 and $203,000 and $273,000 is denominated in foreign currencies in foreign institutions as of December 31, 2022, December 31, 2021, and June 30, 2021 respectively. As of December 31, 2022, December 31, 2021, and June 30, 2021, the Company held cash equivalents in the amount of $14.1 million and $51.1 million, and $56.5 million, respectively. Restricted Cash Pursuant to a contractual agreement with American Express to maintain the business credit card, the Company was required to maintain restricted cash deposits which amounted to approximately $201,000 as of December 31, 2021 and June 30, 2021. As of December 31, 2022, the Company is no longer required to maintain a balance. Concentrations Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, trade receivables, BARDA receivables and other receivables. As of December 31, 2022, December 31, 2021 and June 30, 2021, substantially all of the Company’s cash was deposited in accounts at financial institutions, and amounts may exceed federally insured limits. Management believes that the Company is not exposed to significant credit risk due to the financial strength of the depository institutions in which its cash is held. As of December 31, 2022 and December 31, 2021, one commercial customer accounted for approximately 10% of net accounts receivable. As of June 30, 2021, no single commercial customer accounted for more than 10% of accounts receivable. For the year-ended December 31, 2022, one commercial customer accounted for more than 10% of total revenues. For the transition period ended December 31, 2021 and the year-ended June 30, 2021, no single commercial customer accounted for more than 10% of total revenues. BARDA revenues for the procurement of the RECELL system accounted for approximately 1%, 1% and 27% of total revenues for the year-ended December 31, 2022, the transition period ended December 31, 2021 and the year-ended June 30, 2021, respectively. BARDA receivables for the procurement of the RECELL system and emergency preparedness accounted for approximately 2%, 3%, and 91% of BARDA receivables as of December 31, 2022, December 31, 2021 and June 30, 2021, respectively. As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 BARDA procurement and emergency preparedness services $ 16 $ 9 $ 3,583 BARDA expense reimbursements 882 299 353 Total $ 898 $ 308 $ 3,936 Fair Value of Financial Instruments The carrying values of the Company’s financial instruments, consisting of cash and cash equivalents, marketable securities, trade receivables, prepaids and other receivables, accounts payable, accrued liabilities and contract liabilities, approximate fair value due to the relative short-term nature of these instruments. Marketable Securities We classify all highly liquid investments with original maturities of three months or less from the date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months as marketable securities. The Company classifies marketable securities as short-term when they have remaining contractual maturities of one year or less from the balance sheet date, and as long-term when the investments have remaining contractual maturities of more than one year from the balance sheet date. Classification is determined at the time of purchase and re-evaluated each balance sheet date. Short-term marketable securities represent investment of cash available for current operations. We account for our marketable securities as available-for-sale securities. All marketable securities, which consist of corporate debt securities, asset backed securities, U.S treasury and commercial paper are denominated in the U.S. dollars, have been classified as “available for sale”, and are carried at fair value. Unrealized gains and losses, net of any related tax effects, are excluded from earnings and are included in other comprehensive income (loss) and reported as a separate component of stockholders equity until realized. Realized gains and losses on marketable securities are included in interest and other income, net, in the accompanying Consolidated Statements of Operations. The cost of any marketable securities sold is based on the specific identification method. The amortized cost of marketable securities is adjusted for amortization of premiums and accretion of discounts to maturity. Interest on marketable securities is included in other income. In accordance with the Company’s investment policy, management invests to diversify credit risk and only invests in securities with high credit quality, including U.S. government securities, and the maximum final maturity from the date of purchase is thirty-seven months. If necessary, the Company will recognize an allowance for credit losses on available-for-sale debt securities on an individual basis, and will no longer consider other than-temporary impairment or immediately reduce the cost basis of the investment provided that it is more likely than not that the security will be held to recovery or maturity. Further, the Company will recognize any improvements in estimated credit losses on available-for-sale debt securities immediately in earnings and reduce the existing allowance for credit losses. The Company will disaggregate its available-for-sale debt securities into the following categories: commercial paper, corporate debt, government and agency securities and money market funds. The Company’s corporate bonds are comprised of predominantly high-grade corporate bonds while its government and agency securities are U.S. treasury bonds, and U.S. agency bonds. The Company has analyzed both corporate bonds and government and agency securities and identified that both types of securities have similar risk characteristics in that they are traded infrequently and have contractual interest rates and maturity dates. To evaluate for impairment, management reviews credit rating changes, securities trends, interest rate movements and unrealized loss at the security level of the Company’s available for sale debt securities. If any of these give rise to a potential credit concern, the Company performs a discounted cash flow analysis to determine the credit portion of the impairment. The discounted cash flow analysis will be performed either internally or through the assistance of a qualified third party. Once the credit component of the impairment is determined, the Company will record the impaired amount as an allowance to the available-for-sale debt securities balance and as a charge to other income in the accompanying Consolidated Statements of Operations, not to exceed the amount of the unrealized loss. The Company assesses expected credit losses at the end of each reporting period and adjusts the allowance through other income. Accounts Receivable Accounts receivable are recorded net of customer allowances for doubtful accounts. The Company estimates an allowance for expected credit losses (i.e., the inability of our customers to make required payments). These estimates are based on a combination of past experience and current trends. In estimating the allowance for expected credit losses, consideration is given to the current aging of receivables, a specific review for potential bad debts and an evaluation of historic write-offs. The resulting bad debt expense is included in sales and marketing expenses in the Consolidated Statement of Operations. Receivables are written-off when deemed uncollectible. As of December 31, 2022, December 31,2021, and June 30, 2021, the allowance for doubtful accounts was $24,000 $28,000, and $30,000, respectively. A rollforward of the activity in the Company’s allowance for doubtful account is as follows (in thousands): Year-ended Transition Period Ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Allowance for doubtful accounts, at beginning of year $ 28 $ 30 $ 18 Bad debt expense 5 2 12 Deductions (9 ) (4 ) - Allowance for doubtful accounts, at end of year $ 24 $ 28 $ 30 BARDA Income and Receivables The Company was awarded a BARDA grant in September 2015. Under this grant BARDA supports the Company’s research and development for the Company’s product, including the ongoing U.S. clinical regulatory program targeted towards FDA PMA, our compassionate use program, clinical and health economics research, and U.S. pediatric burn programs. Consideration received under the BARDA grant is earned and recognized under a cost-plus-fixed-fee arrangement in which the Company is reimbursed for direct costs incurred plus allowable indirect costs and a fixed-fee earned. Billings under the contracts are based on approved provisional indirect billing rates, which permit recovery of fringe benefits, general and administrative expenses and a fixed fee. The Company has concluded that grants under the BARDA grant are not within the scope of ASC 606, as they do not meet the definition of a contract with a “customer.” The Company has further concluded that Subtopic 958-605, Not-for-Profit-Entities-Revenue Recognition Accounting for Government Grants and Disclosure of Government Assistance, Inventory Inventory is valued at the lower of cost or estimated net realizable value and is reflected in cost of sales. Costs incurred in bringing each product to its present location and condition are accounted for at purchase cost on a first-in, first-out basis (“ FIFO Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and costs to complete the sale. Leases The Company has operating leases for corporate office space, manufacturing and warehouse facility. The Company has finance leases for equipment and furniture, which are not material to the consolidated financial statements. The Company’s operating leases have remaining lease terms of one year to two years, some of which include options to renew the lease. At contract inception, the Company determines whether the contract is a lease or contains a lease. A contract contains a lease if the Company is both able to identify an asset and can conclude it has the right to control the identified asset for a period of time. Leases with an initial term of twelve months or less are not recorded on the Consolidated Balance Sheet. Right-of-use (“ ROU IBR The Company’s lease terms are only for periods in which it has enforceable rights. A lease is no longer enforceable when both the lessee and the lessor each have the right to terminate the lease without permission from the other party with no more than an insignificant penalty. The Company has options to renew some of these leases for three years after their expiration. The Company considers these options, which may be elected at the Company’s sole discretion, in determining the lease term on a lease-by-lease basis. Lease expense is recognized on a straight-line basis over the lease term and is primarily included in general and administrative expenses in the accompanying consolidated statements of operations. The Company has lease agreements with lease and non-lease components, which are accounted for as a single lease component for all underlying asset classes. Some leases require variable payments for common area maintenance, property taxes, parking, insurance and other variable costs. The variable portion of lease payments is not included in operating lease assets or liabilities. Variable lease costs are expensed when incurred. Property, Plant and Equipment The Company’s property, plant and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation is computed based on the straight-line method over the estimated useful lives of the various asset classes, generally three to seven years. Leasehold improvements are amortized over the shorter of the life of the related asset or the remaining term of the lease. Costs associated with customized internal-use software systems that have reached the application development stage and meet recoverability tests are capitalized and include external direct costs utilized in developing or obtaining the applications and payroll and payroll-related expenses for employees who are directly associated with the application development. Maintenance and repairs are expensed as incurred. Intangible Assets The Company maintains definite-lived intangible assets related to patents initially measured at cost and amortized over estimated useful lives of approximately 3—20 years. The Company had capitalized patent costs of $558,000, $673,000 and $700,000 as of December 31, 2022, December 31, 2021, and June 30, 2021 respectively, related to regulatory approval of the RECELL System, and are being amortized over their estimated useful lives. Impairment of Long-Lived Assets The Company evaluates long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the sum of the estimated, undiscounted future cash flows is less than the carrying amount of the asset, then an impairment is recognized for the amount by which the carrying value of the asset exceeds its estimated fair value. Fair value is determined using the market, income, or cost approaches as appropriate for the asset. Any write-downs are treated as permanent reductions in the carrying amount of the asset and recognized as an operating loss. The Company recorded $42,000 of impairments intangible assets during the transition period ended December 31, 2021. There were no impairments of long-lived assets for the year-ended December 31, 2022 and June 30, 2021. Sales and Marketing Expenses Sales and marketing expenses consist primarily of compensation and employee benefits of sales and marketing personnel and related field sales organization, marketing events, advertising costs, travel, trade shows and other marketing materials. The Company expenses all selling and marketing costs as incurred. Advertising expenses were $216,000, $16,000, and $73,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021, respectively. Research and Development Expenses Research and development expenses represent costs incurred to develop the Company’s products. Research and development expenses consist primarily of salaries and other personnel costs, clinical trial costs, regulatory costs and manufacturing costs for non-commercial products. The Company expenses all research and development costs in the periods in which they are incurred. Stock-Based Compensation The Company records compensation expense for stock options and RSUs based on the fair market value of the awards on the date of grant. The fair value of stock-based compensation awards is amortized over the vesting period of the award. Compensation expense for performance-based awards is measured based on the number of shares ultimately expected to vest, estimated at each reporting date based on management’s expectations regarding the relevant performance criteria, if any. The Black-Scholes option pricing model and Monte Carlo Simulation were used to estimate the fair value of the time-based and performance-based options, respectively. Under ASU 2016-09, Compensation – Stock Compensation (“ASC 718”) Improvements to Employee Share-Based Payment Accounting The following assumptions were used in the valuation of stock options. • Expected volatility – determined using the average of the historical volatility using daily intervals over the expected term and the derived volatility using the longest term available of 12 months. • Expected dividends – none, based on the fact that the Company has never paid cash dividends and does not expect to pay any cash dividends in the foreseeable future. • Expected term – the expected term of the Company’s stock options for tenure only vesting has been determined utilizing the “simplified” method as described in the SEC’s Staff Accounting Bulletin No. 107 relating to share-based compensation. The simplified method was chosen because the Company has limited historical option exercise experience due to its short operating history of awards granted, with the first plan being established in 2016 which was primarily used for executive awards. Further, the Company does not have sufficient history of exercises in the U.S. market given the Company’s redomiciliation from Australia to the United States in 2020. The expected term of options with a performance condition or market condition was set to the contractual term of 10 years. The contractual term was used for options with a performance or market condition as these are primarily awarded to executives and the Company assumes that they will hold them longer than rank and file employees. • Risk-free interest rate – t he risk-free interest rate is based on the U.S. Treasury yield in effect at the time of grant for a period approximately equal to the expected term of the award. Loss per Share Basic net loss per share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period, assuming potentially dilutive ordinary shares from option exercises, employee share awards, and other dilutive instruments that have been issued. For periods where the Company has presented a net loss, potentially dilutive securities are excluded from the computation of diluted net loss per share as they would be anti-dilutive. I n accordance with ASC 710-10, shares of common stock held by the rabbi trust are excluded from the denominator in the basic and diluted EPS calculations. Non-Qualified Deferred Compensation Plan Liability and Corporate-Owned Life Insurance Asset The Company’s non-qualified deferred compensation plan (the "NQDC plan"), which became effective in October 2021, allows highly compensated key employees to elect to defer a portion of their salary, bonus, commissions and RSU awards to later years. Management determined that the cash deferrals under the NQDC plan shall be accounted for similarly to a defined benefit plan under ASC 715, Compensation – Retirement Benefits, and should follow accounting treatment that is similar to a cash balance plan. Management determined that the employee portion and employer portion of the deferred compensation should be recognized as a compensation expense with a corresponding credit to deferred compensation liability. The matching contribution will be accrued over the vesting period of two years with 25% vesting in the first year and 75% vesting in the second year. Employees aged 55 or older immediately vest in employer matching contributions. The change in the liability between each reporting period is accounted for as compensation expense with a corresponding adjustment to deferred compensation liability. Upon distribution, the Company will record the distribution as a decrease to compensation liability with a corresponding credit to cash. The Company funds the NQDC plan through a Corporate-Owned Life Insurance (“COLI”). Per the ASC 325-30-25-1A, Investments – Other, COLI is recorded as an asset in on the Consolidated Balance Sheets as it does not meet the definition of a plan asset under ASC 715. The Company invests in COLI policies relating to its deferred compensation plan. Investments in COLI policies are recorded at their cash surrender values as of each balance sheet date. Changes in the cash surrender value during the period are recorded as a gain or loss in the statements of operations in Other income. Rabbi Trust During April 2022, we established a rabbi trust for a select group of participants in which share awards granted under the 2020 Omnibus Incentive Plan (“2020 Plan”) and deferred under the NQDC plan may be deposited. In addition to the deferral of shares, the rabbi trust holds the assets in the COLI for the NQDC plan. The rabbi trust is an irrevocable trust and no portion of the trust fund may be used for any purpose other than the delivery of those assets to the participants. The assets held in the rabbi trust are subject to the claims of our general creditors in the event of bankruptcy or insolvency. The value of the assets of the rabbi trust is consolidated into our financial statements. The NQDC plan permits diversification of vested shares (common stock) into other equity securities subject to a six-month and one day holding period subsequent to vesting. Per ASC 710-10-25-15, accounting for deferred common stock will be under plan type C or D. Accounting will depend on whether or not the employee has diversified the common stock. Under Plan type C, diversification is permitted but the employee has not diversified. Under Plan type D, diversification is permitted and the employee has diversified. For common stock that have not been diversified, the employer stock held in the rabbi trust |
Accounting Standards Update
Accounting Standards Update | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Changes And Error Corrections [Abstract] | |
Accounting Standards Update | 3. Accounting Standards Update Recently Adopted Accounting Pronouncements In November 2021, the FASB issued ASU 2021-10, “ Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes Income Taxes The Company adopted this standard as of January 1, 2022. The adoption did not have a material impact on the consolidated financial statements. Recent Accounting Pronouncements Not Yet Adopted All other newly issued but not yet effective accounting pronouncements have been deemed to be not applicable or immaterial to the Company. |
Marketable Securities
Marketable Securities | 12 Months Ended |
Dec. 31, 2022 | |
Available For Sale Securities [Abstract] | |
Marketable Securities | 4. Marketable Securities The following table summarizes the amortized cost and estimates fair values of debt securities available for sale: As of December 31, 2022 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Carrying Value (in thousands) Cash equivalents: Money market funds $ 14,089 $ - $ - $ 14,089 Current marketable securities: U.S Treasury securities $ 43,092 $ 1 $ (393 ) $ 42,700 Commercial paper 12,743 - - 12,743 Corporate debt securities 3,865 - (23 ) 3,842 U.S Government agency obligations 1,901 - (8 ) 1,893 Total current marketable securities $ 61,601 $ 1 $ (424 ) $ 61,178 Long-term marketable securities: Asset backed securities $ 3,568 $ 7 $ (3 ) $ 3,572 U.S Treasury securities 2,416 - (6 ) 2,410 U.S Government agency obligations 949 - (1 ) 948 Total long-term marketable securities $ 6,933 $ 7 $ (10 ) $ 6,930 As of December 31, 2021 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Carrying Value (in thousands) Cash equivalents: Money market funds $ 51,112 $ - $ - $ 51,112 Current marketable securities: Commercial paper $ 19,586 $ - $ - $ 19,586 Corporate debt securities 7,068 - (7 ) 7,061 Asset backed securities 3,002 - - 3,002 Total current marketable securities $ 29,656 $ - $ (7 ) $ 29,649 Long-term marketable securities: U.S Treasury securities $ 18,043 $ - $ (89 ) $ 17,954 Corporate debt securities 1,746 - (8 ) 1,738 Total long-term marketable securities $ 19,789 $ - $ (97 ) $ 19,692 The maturities of debt securities available for sale are summarized in the following table using contractual maturities. Actual maturities may differ from contractual maturities due to obligations that are called or prepaid. As of December 31, 2022 As of December 31, 2021 Amortized Cost Carrying Value Amortized Cost Carrying Value Due in one year or less $ 61,601 $ 61,178 $ 29,656 $ 29,649 Due after one year through three years $ 6,933 $ 6,930 $ 19,789 $ 19,692 Gross unrealized gains and losses on the Company’s marketable securities were an unrealized gain of $8,000 and an unrealized loss of $434,000 as of December 31, 2022 which resulted in a net unrealized loss of $426,000. Gross unrealized gains and losses on the Company’s marketable securities were an unrealized gain of $0 and an unrealized loss of $104,000 as of December 31, 2021 which resulted in a net unrealized loss of $104,000. During the year-ended December 31, 2022 and the transition period ended December 31, 2021, the Company did not recognize credit losses. The Company did not have any marketable securities as of June 30, 2021. The Company has accrued interest income of $168,000, $72,000 and $0 as of December 31, 2022 and, 2021 and June 30, 2021, recorded in Prepaids and Other Current Assets. Money market funds were |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 5. Fair Value Measurements The authoritative guidance on fair value measurements establishes a framework with respect to measuring assets and liabilities at fair value on a recurring basis and non-recurring basis. Under the framework, fair value is defined as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants, as of the measurement date. The framework also establishes a three-tier hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability and are developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the factors market participants would use in valuing the asset or liability and are developed based on the best information available in the circumstances. The hierarchy consists of the following three levels: Level 1: Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date. Level 2: Inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3: Inputs are unobservable inputs for the asset or liability The following tables present information about the Company’s financial assets measured at fair value on a recurring basis, based on the three-tier fair value hierarchy: As of December 31, 2022 (in thousands) Level 1 Level 2 Level 3 Total Cash equivalents: Money market funds $ 14,089 $ - $ - $ 14,089 Current marketable securities: U.S Treasury securities - 42,700 - 42,700 Commercial paper - 12,743 - 12,743 Corporate debt securities - 3,842 - 3,842 U.S Government agency obligations - 1,893 - 1,893 Total current marketable securities - 61,178 - 61,178 Long-term marketable securities: Asset backed securities - 3,572 - 3,572 U.S Treasury securities - 2,410 - 2,410 U.S Government agency obligations - 948 - 948 Total long-term marketable securities - 6,930 - 6,930 Total marketable securities and cash equivalents $ 14,089 $ 68,108 $ - $ 82,197 As of December 31, 2021 (in thousands) Level 1 Level 2 Level 3 Total Cash equivalents: Money market funds $ 51,112 $ - $ - $ 51,112 Current marketable securities: Commercial paper - 19,586 - 19,586 Corporate debt securities - 7,061 - 7,061 Asset backed securities - 3,002 - 3,002 Total current marketable securities - 29,649 - 29,649 Long-term marketable securities: U.S Treasury securities - 17,954 - 17,954 Corporate debt securities - 1,738 - 1,738 Total long-term marketable securities - 19,692 - 19,692 Total marketable securities and cash equivalents $ 51,112 $ 49,341 $ - $ 100,453 The Company’s Level 1 assets include money market instruments and are valued based upon observable market prices. Level 2 assets consist of commercial paper, asset back securities and corporate debt securities, U.S. Government Agency obligations and U.S Treasury securities. Level 2 securities are valued based upon observable inputs that include reported trades, broker/dealer quotes, bids and offers. As of December 31, 2022 and December 31, 2021, the Company had no investments that were measured using unobservable (Level 3) inputs. There were no transfers between fair value measurement levels during the year-ended December 31, 2022 and the transition period ended December 31, 2021. For the year-ended June 30, 2021, the Company did not have any marketable securities. Cash equivalents consist of money market funds and are classified as a Level 1. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Leases | 6. Leases During August 2021, the Company remeasured the lease liability for an office lease due to a change in the lease term. As a result of the remeasurement of the lease liability, there was an increase of approximately $392,000 to the operating lease ROU assets and operating lease liabilities. There was no impact on earnings as a result of the modification. The following table sets forth the Company’s operating lease expenses which are included in general and administrative expenses in the Consolidated Statements of Operations (in thousands): Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Operating lease cost $ 775 $ 284 $ 731 Variable lease cost 51 25 48 Total lease cost $ 826 $ 309 $ 779 Supplemental cash flow information related to operating leases was as follows (in thousands): Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows from operating leases $ 803 $ 288 735 Supplemental balance sheet information, related to operating leases was as follows (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Reported as: Operating lease right-of-use assets $ 851 $ 1,544 $ 1,480 Total right-of-use assets $ 851 $ 1,544 $ 1,480 Other current liabilities: Operating lease liabilities, short-term $ 612 $ 720 $ 702 Operating lease liabilities, long term 306 918 878 Total operating lease liabilities $ 918 $ 1,638 $ 1,580 Operating lease weighted average remaining lease term (years) 1.44 2.30 2.67 Operating lease weighted average discount rate 6.71 % 6.51 % 6.70 % As of December 31, 2022, maturities of the Company’s operating lease liabilities are as follows (in thousands): Operating Leases 2023 649 2024 314 Total lease payments 963 Less imputed interest (45 ) Total operating lease liabilities $ 918 At December 31, 2022 there were no leases entered into that had not yet commenced. On February 1, 2023, the Company executed the fifth amendment to the lease of the administrative and office space in Valencia, California. The lease was extended for 39 months and is currently leased through October 31, 2026, with an average monthly base rent charge of approximately $37,000. |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Inventory | 7. Inventory The composition of inventories is as follows (in thousands): As of December 31, 2022 December 31, 2021 June 30, 2021 Raw materials $ 1,131 $ 1,222 $ 982 Work in process 384 176 241 Finished goods 610 734 424 Total inventory $ 2,125 $ 2,132 $ 1,647 The Company has reduced the carrying value of its inventories to reflect the lower of cost or net realizable value. Charges for estimated excess and obsolescence are recorded in cost of sales in the Consolidated Statement of Operations and were $375,000, $44,000 and $226,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021, respectively. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 8. Intangible Assets The composition of intangible assets is as follows (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Weighted Average Life Gross Amount Accumulated Amortization Net Carry Amount Gross Amount Accumulated Amortization Net Carry Amount Gross Amount Accumulated Amortization Net Carry Amount Patent 1 2 $ 17 $ (16 ) $ 1 $ 209 $ (182 ) $ 27 $ 264 $ (190 ) $ 74 Patent 2 13 137 (28 ) 109 123 (18 ) 105 138 (16 ) 122 Patent 3 14 194 (39 ) 155 192 (25 ) 167 163 (19 ) 144 Patent 5 19 89 (6 ) 83 46 (3 ) 43 46 (2 ) 44 Patent 6 20 43 (4 ) 39 39 (2 ) 37 39 (1 ) 38 Patent 7 13 2 - 2 2 - 2 - - - Patent 8 19 13 - 13 3 - 3 3 - 3 Patent 10 19 3 - 3 3 - 3 - - - Patent 11 19 6 - 6 6 - 6 - - - Trademarks Indefinite 54 - 54 50 - 50 47 - 47 Total intangible assets $ 558 $ (93 ) $ 465 $ 673 $ (230 ) $ 443 $ 700 $ (228 ) $ 472 During the year-ended December 31, 2022, the Company did not identify any events or changes in circumstances that indicated the carrying value of its intangibles may not be recoverable. As such, there was no impairment of intangibles assets recognized for the year-ended December 31, 2022. During the transition period ended December 31, 2021, the Company recorded impairment charge of $42,000 in general and administrative expenses. During the year-ended June 30, 2021, the Company did not identify any events or changes in circumstances that indicated the carrying value of its intangibles may not be recoverable. As such, there was no impairment of intangibles assets recognized for the year-ended June 30, 2021. Amortization expense of intangibles included in the Consolidated Statements of Operations was $58,000, $56,000 and $109,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021 and the year-ended June 30, 2021, respectively. The Company expects the future amortization of amortizable intangible assets held at December 31, 2022 to be (in thousands): Estimated Amortization Expense 2023 $ 34 2024 33 2025 33 2026 33 2027 33 Thereafter 245 Total $ 411 |
Property and Equipment, net
Property and Equipment, net | 12 Months Ended |
Dec. 31, 2022 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment, net | 9. Property and Equipment, net The composition of property and equipment, net is as follows (in thousands): Useful Lives As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Computer equipment 3 years $ 755 $ 740 $ 722 Computer software 3 years 871 811 775 Construction in progress 258 29 48 Furniture and fixtures 7 years 439 440 440 Laboratory equipment 5 years 643 566 523 Leasehold improvements Lesser of life or lease term 257 242 242 RECELL Moulds 5 years 129 129 129 Less: accumulated amortization and depreciation (2,152 ) (1,695 ) (1,421 ) Total plant and equipment, net $ 1,200 $ 1,262 $ 1,458 Depreciation expense related to plant and equipment was $510,000, $274,000 and $606,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021, respectively. |
Prepaids and Other Current Asse
Prepaids and Other Current Assets and Other Long-Term Assets | 12 Months Ended |
Dec. 31, 2022 | |
Prepaids And Other Current Assets And Other Long Term Assets [Abstract] | |
Prepaids and Other Current Assets and Other Long—Term Assets | 10. Prepaids and Other Current Assets and Other Long—Term Assets Prepaids and other current assets consisted of the following (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Prepaid expenses $ 921 $ 1,124 $ 853 Lease deposits 110 2 - Accrued investment income 168 72 - BARDA contract costs 252 - - Other receivables 127 15 480 Total prepaids and other current assets $ 1,578 $ 1,213 $ 1,333 Prepaid expenses primarily consist of prepaid benefits and insurance. Other long-term assets consisted of the following (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 BARDA contract costs $ - $ 504 $ 613 Long-term lease deposits 25 124 126 Long-term prepaids 97 10 22 Total other long-term assets $ 122 $ 638 $ 761 Other current liabilities consisted of the following (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Operating lease liability $ 612 $ 720 $ 702 Other current liabilities 262 355 170 BARDA deferred costs 194 - 77 Total other current liabilities $ 1,068 $ 1,075 $ 949 |
Reporting Segment and Geographi
Reporting Segment and Geographic Information | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Reporting Segment and Geographic Information | 11. Reporting Segment and Geographic Information The Company views its operations and manages its business in one reporting segment. Long-lived assets were primarily located in the United States as of December 31, 2022, December 31, 2021, and June 30, 2021, with an insignificant amount located in Australia and the United Kingdom. Revenue by region were as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Revenue: United States $ 33,257 $ 13,764 $ 28,955 Foreign: Japan 729 - - Australia 275 136 207 United Kingdom 160 56 70 Total $ 34,421 $ 13,956 $ 29,232 Revenue by Customer type were as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Revenue: Commercial sales 34,051 13,771 $ 21,483 BARDA: Product sales — — 7,595 Services for emergency preparedness 370 185 154 Total $ 34,421 $ 13,956 $ 29,232 Cost of sales by Customer type were as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Cost of sales Commercial cost $ 5,573 $ 2,017 $ 3,931 BARDA: Product cost 130 (278 ) 1,889 Emergency preparedness service cost 338 166 129 Total $ 6,041 $ 1,905 $ 5,949 |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | 12. Contingencies The Company is subject to certain contingencies arising in the ordinary course of business. The Company records accruals for these contingencies to the extent that a loss is both probable and reasonably estimable. If some amount within a range of loss appears to be a better estimate than any other amount within the range, that amount is accrued. Alternatively, when no amount within a range of loss appears to be a better estimate than any other amount, the lowest amount in the range is accrued. The Company expenses legal costs associated with loss contingencies as incurred. As of December 31, 2022, the Company does not have any outstanding or threatened litigation that would have a material impact to the financial statements. |
Common and Preferred Stock
Common and Preferred Stock | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Common and Preferred Stock | 13. Common and Preferred Stock The Company’s CDIs are quoted on the ASX under AVITA Medical’s previous ASX ticker code, “AVH”. The Company’s shares of common stock are quoted on Nasdaq under AVITA Medical’s previous Nasdaq ticker code, “RCEL”. One share of common stock on Nasdaq is equivalent to five CDIs on the ASX. The Company is authorized to issue 200,000,000 shares of common stock, par value $0.0001 per share, and 10,000,000 shares of preferred stock, par value $0.0001 per share, issuable in one or more series as designated by the Company’s board of directors. No other class of capital stock is authorized. The Company has 25,208,436, 24,925,743, and 24,895,864 shares of common stock issued and outstanding as of December 31, 2022, December 31, 2021, and June 30, 2021, respectively. The Company has no shares of preferred stock outstanding during any period. On March 1, 2021, the Company issued 3,214,250 shares of common stock at the offering price of $21.50 per share. The gross proceeds from the offering were approximately $69.1 million while the Company incurred $5.1 million in capital issuance expenses. The offering was made pursuant to a shelf registration statement on Form S-3 (File No. 333-249419) that was previously filed with the Securities and Exchange Commission (the “SEC”) on October 9, 2020, and declared effective on October 16, 2020. It was also publicly released on the ASX. The final prospectus supplement relating to and describing the terms of the offering was filed with the SEC on February 25, 2021 (in the United States) and released on the ASX on March 1, 2021 (in Australia). |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2022 | |
Revenue Performance Obligation [Abstract] | |
Revenue | 14. Revenue The Company’s revenue consists of sale of the RECELL System to hospitals or other treatment centers, COSMOTEC and to BARDA (collectively “ customers Performance Obligations For commercial contracts, we identified the hospital or treatment center and COSMOTEC as the customer in Step 1 of the ASC 606 5 step model and have determined a contract exists with those customers in Step 1. As these contracts typically have a single performance obligation (i.e. product delivery), no allocation of the transaction price is required in Step 4 of the model. Control of the product is transferred to the customer at a point in time. Specifically, we determined the customer obtains control of the product at point in time at which the goods are either shipped or delivered to our customers’ facilities, depending on the terms of the contract. The transaction price is stated within the contract and is therefore fixed consideration. The transaction price does not include the sales tax that are imposed by governmental authorities. For the contract with BARDA, the Company identified two performance obligations (i) the procurement of 5,614 RECELL units, (ii) emergency preparedness services. expected to be recovered are capitalized and amortized on a straight-line basis over the term of the contract. As of December 31, 2022 , contract cost of $ 252,000 are included in other current assets. As of December 31, 2021 and June 30, 2021 contract costs of $ 504,000 , and $ 613,000 are included in other long-term assets, respectively. Remaining Performance Obligations Revenues from remaining performance obligations are calculated as the dollar value of the remaining performance obligations on executed contracts and relate to BARDA and COSMOTEC. The estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) pursuant to the Company’s existing customer agreements is $698,000, $952,000, and $1.1 million as of December 31, 2022, December 31, 2021, and June 30, 2021, respectively. As of December 31, 2022, December 31, 2021 and June 30, 2021, the Company had $274,000, $517,000 and $665,000, respectively, in contract liabilities related to our contract with BARDA for the purchase, delivery and storage of the RECELL system for emergency response preparedness. The Company expects to recognize this amount as services are provided to BARDA. We are contracted to manage this inventory of product until the federal government requests shipment or at contract termination on December 31, 2023. Related to the contract with COSMOTEC, the Company had $424,000, $435,000, and $435,000 in contract liabilities as of December 31, 2022, December 31, 2021, and June 30, 2021, respectively. The Company expects to recognize revenue on a straight-line basis over the term of the contract commencing with the generation of commercial sales to COSMOTEC. Variable Consideration The Company evaluates its contracts with customers for forms of variable consideration, which may require an adjustment to the transaction price based on their estimated impact. For commercial customers, revenue from the sale of goods is recognized net of volume discounts. The Company uses the expected value method when estimating variable consideration. Revenue is only recognized to the extent that it is probable that a significant reversal will not occur. Variable consideration under the BARDA contract is not material to the consolidated financial statements. Volume Discounts — The Company generally provides contracted customers with volume discounts that are explicitly stated in the Company’s customer contracts. The RECELL system is sold with respective volume discounts based on aggregated sales over a 12-month period on a customer-by-customer basis. Revenue from these sales is recognized based on the price specified in the contract, net of estimated volume discounts, and net of any sales tax charged. Goods sold are not eligible for return. The Company has determined such discounts are not distinct from the Company’s sale of products to the customer and, therefore, these payments have been recorded as a reduction of revenue and as a reduction to accounts receivable, net. Contract Assets and Contract Liabilities Contract assets include amounts related to the Company’s contractual right to consideration for both completed and partially completed performance for which the Company does not have the right to payment. As of December 31, 2022, December 31, 2021 and June 30, 2021 the Company does not have any contract assets. Contract liabilities are recorded when the Company receives payment prior to satisfying its obligation to transfer goods to a customer. The Company had $698,000, $952,000, and $1.1 million of contract liabilities as of December 31, 2022, December 31, 2021, and June 30, 2021, respectively. The balance relates to the unsatisfied performance obligation for emergency preparedness under the BARDA contract and COSMOTEC. Performance obligation will be recognized over time over the term of the contract. For the year-ended December 31, 2022 and the transition period ended December 31, 2021, the Company recognized $370,000, and $185,000 of BARDA revenue from amounts included in the beginning balance of contract liabilities. For the year-ended June 30, 2021, amounts recognized were not significant. The Company recognized $11,000 of revenue for COSMOTEC for amounts included in the beginning balance of contract liabilities. The Company did not recognize any revenue for the transition period ended December 31, 2021 and the year-ended June 30, 2021 related to COSMOTEC for amounts included in the beginning balance of contract liabilities. Cost to Obtain and Fulfill a Contract Contract fulfillment costs include commissions and shipping expenses. The Company has opted to immediately expense the incremental cost of obtaining a contract when the underlying related asset would have been amortized over one year or less. The Company generally does not incur costs to obtain new contracts. BARDA Contract Costs Cost to fulfil the BARDA emergency preparedness performance obligation, which primarily consist of billed costs to BARDA incurred in connection with the emergency deployment services, are incremental and expected to be recovered. Costs are capitalized and amortized on a straight-line basis over the term of the contract. As of December 31, 2022, the Company had $252,000 of contract costs included in other current assets. As of 2021 and June 30, 2021, the Company had Disaggregated Revenue The Company disaggregates revenue from contracts with customers into geographical regions and by customer type. As noted in the segment footnote, the Company’s business consists of one reporting segment. A reconciliation of disaggregated revenue by geographical region and customer type is provided in Segment Note 11. |
Share-Based Payment Plans
Share-Based Payment Plans | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Payment Plans | 15. Share-Based Payment Plans Overview of Employee Share-Based Compensation Plans Our former parent company, AVITA Medical, adopted the Employee Share Plan and the Incentive Option Plan (collectively, the “ 2016 Plans 2020 Plan Former CEO”) The 2020 Plan provides for the grant of the following Grants: (a) Incentive Stock Options, (b) Nonstatutory Stock Options, (c) Stock Appreciation Rights, (d) Restricted Stock Grants, (e) Restricted Stock Unit Grants, (f) Performance Grants, and (g) Other Grants. The 2020 Plan will be administered by the Compensation Committee or by the Board acting as the Compensation Committee. Subject to the general purposes, terms and conditions of the 2020 Plan, applicable law and any charter adopted by the Board governing the actions of the Compensation Committee, the Compensation Committee will have full power to implement and carry out the 2020 Plan. Without limitation, the Compensation Committee will have the authority to interpret the plan, approve persons to receive grants, determine the terms and number of shares of the grants, determine vesting and exercisability of grants, and make all other determinations necessary or advisable in connection with the administration of this Plan. The contractual term of awards granted under the 2020 Plan is ten years from the date of its grant. Unless otherwise specified, the vesting period of awards under the 2020 Plan was: (i) vest over a four-year The following table summarizes information about the Company’s share-based award plans as of December 31, 2022: Outstanding Options Outstanding Restricted Stock Units Shares available for future issuance 2016 Equity Incentive Plan 885,095 - - 2020 Equity Incentive Plan 1,079,875 398,596 - 2021 AGM Awards 22,600 11,566 244,675 2022 AGM Awards 247,876 50,356 - Share-Based Payment Expenses Share-based payment transactions are recognized as compensation expense based on the fair value of the instrument on the date of grant. The Company uses the graded-vesting method to recognize compensation expense The Company has included share-based compensation expense as part of operating expenses in the accompanying Consolidated Statements of Operations as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Sales and marketing expenses $ 1,393 $ 663 $ 925 General and administrative expenses 4,668 2,318 4,095 Research and development expenses 937 607 644 Total $ 6,998 $ 3,588 $ 5,664 A summary of share option activity as of December 31, 2022 and changes during the year then ended is presented below: Service Only Share Options Performance Based Share Options Market Awards Total Share Options Weighted -Average Exercise Price Weighted -Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Exercisable at December 31, 2021 1,129,126 599,994 27,600 1,756,720 $ 14.86 7.83 $ 5,118,309 Granted 737,676 - - 737,676 5.57 Exercised (75,125 ) (75,000 ) - (150,125 ) 5.99 Expired (10,425 ) (6,900 ) - (17,325 ) 14.60 Forfeited (57,000 ) (6,900 ) (27,600 ) (91,500 ) 12.95 Outstanding shares at December 31, 2022 1,724,252 511,194 - 2,235,446 12.47 7.71 1,530,263 Exercisable at December 31, 2022 682,749 310,858 - 993,607 $ 12.40 6.17 $ 587,632 The weighted-average grant-date fair value of options granted during the year-ended December 31, 2022, transition period ended December 31, 2021, and the year-ended June 30, 2021 was $4.64, $10.35, and $14.08, respectively. The total intrinsic value of options exercised during the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021 was $179,000, $13,000, and $221,000 and, respectively. Intrinsic value is measured using the fair market value at the date of exercise for options exercised, or at balance sheet date for outstanding options, less the applicable exercise price. Cash received from the exercise of options was approximately $ 900,000 , $ 7,000 , and $ for the year - ended December 31, 2022, transition period ended December 31, 2021 , and the year - ended June 30, 202 1 , respectively . As of December 31, 2022, there was approximately $5.4 million of total unrecognized compensation cost related to share-based compensation expense. Of this amount $4.3 million relates to service only share options to be recognized over a weighted average period of 1.65 years, $1.1 million related to performance-based share options to be recognized over a weighted average period of 1.60 years. Restricted Stock Units Restricted stock units (“ RSUs A summary of the status of the Company’s unvested RSUs as of December 31, 2022, and changes that occurred during the year is presented below: Unvested Shares Service Condition RSU Performance Condition RSU Market Condition Total RSU's Weighted Average Grant Date Fair Value per Unit Unvested RSUs outstanding at December 31, 2021 114,757 135,093 47,640 297,490 $ 19.66 Granted 384,806 - - 384,806 5.28 Vested (75,041 ) (57,527 ) - (132,568 ) 26.43 Forfeited (29,650 ) (11,920 ) (47,640 ) (89,210 ) 7.71 Unvested RSUs outstanding at December 31, 2022 394,872 65,646 - 460,518 $ 6.30 The weighted-average grant-date fair value of the RSUs granted during the year-ended December 31, 2022, transition period ended December 31, 2021, and the year-ended June 30, 2021 were $5.28, $13.57, and $22.65 per unit, respectively. The total fair value of shares vested during the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021 were $894,000, $599,000, $4.9 million, respectively. As of December 31, 2022, there was $1.9 million of total unrecognized compensation cost related to RSU awards. Of this amount $1.6 million relates to service only RSUs to be recognized over a weighted average period of 1.53 years, $341,000 related to performance-based awards to be recognized over a weighted average period of 1.51 years. 2019 On November 2019, the equivalent of 395,542 RSUs were issued to the Former CEO with the following vesting terms: a) Tenure – the equivalent of 142,521 RSUs with a vesting period of three-years b) Milestone performance – 253,021 of the RSUs will vest upon satisfaction of various performance conditions. During the first quarter of 2022 the last performance milestone was achieved, the RSUs vested and were appropriately released. 2021 AGM Awards On December 22, 2021, as part of the Company's 2021 AGM, the Company's stockholders approved the grant of stock option awards and RSUs to the Former CEO and the Board of Directors. These awards are referred to as the 2021 AGM awards. Awards to the Former CEO under the 2021 AGM Awards On December 22, 2021, the Former CEO was issued an aggregate 150,480 options and RSUs comprising: • 37,600 • 37,640 • Performance condition for 11,920 RSUs and 6,900 options was met during fiscal year 2022. RSUs for vested shares were appropriately released. Vested and unexercised options expired 3 months subsequent to termination of employment. • Performance condition for 11,920 RSUs and 6,900 options were not met. These awards were unvested as of the date of termination of the Former CEO’s employment. • 75,240 In accordance with the terms of the RSU Agreement and Option Agreements with the Former CEO, unvested performance-based and market condition RSUs were forfeited on the date of termination and unvested performance-based and market conditions options expired on the date of termination. Per the terms of the RSU and Option Agreements, RSUs and options that were granted and are tenure-based only will continue to vest as long as the Former CEO continues to provide services to the Company as a Board Member. The Former CEO’s term as a Board Member ended on December 12, 2022, and unvested RSUs were forfeited. Awards to the Board of Directors under the 2021 AGM Awards The Board of Director awards consist of an aggregate 68,600 options and RSUs as follows: • 41,400 • 6,900 • 27,200 1/3 • 13,600 2022 AGM Awards Awards to the CEO under the 2022 AGM Awards • On December 12, 2022, the CEO was issued an aggregate 226,296 options with 25% of those options vesting annually commencing on September 28, 2023. Awards to the Board of Directors under the 2022 AGM Awards • The Board of Director awards consist of an aggregate 71,936 options and RSUs (21,580 options and 50,356 RSUs) vesting 12-months from the grant date. • 17,984 Option Pricing Model The Company estimates the fair value of tenure-based share options using the Black-Scholes option pricing model on the date of grant. The Company estimates the fair value of options with a performance condition and market conditions using the Monte-Carlo simulation model. The valuation of the options is affected by the Company's share price as well as assumptions regarding a number of highly complex and subjective variables. These variables include, but are not limited to, expected share price volatility over the term of the awards and actual and projected employee share option exercise behaviors. The risk-free rate is based on the U.S. Treasury rate for the expected life at the time of grant, volatility is based on the average historical and implied volatility. For tenure-based options, the expected life is based on the estimated average of the life of options using the simplified method as prescribed by SAB 107. The Company utilizes the simplified method for plain vanilla options to determine the expected life of the options due to insufficient exercise activity during recent years . 10 years The expected dividend assumption is based on the Company’s history and expectation of dividend payouts. Included in the following table is a summary of the related assumptions used in the Black-Scholes Option pricing model and Monte-Carlo simulation for the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021. Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Expected volatility 72% - 113% 68% - 75% 65% - 80% Weighted-average volatility 103 % 69 % 73 % Expected dividends 0 % 0 % 0 % Expected term (in years) 5 - 9.8 5 - 10 5 - 10 Risk-free interest rate 1.42% - 3.94% 0.88% - 1.46% 0.77% - 1.64% |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 16. Income Taxes Geographic sources of loss before income taxes are as follows: Year- Ended Transition Period Ended Year- Ended (amounts in thousands) December 31, 2022 December 31, 2021 June 30, 2021 United States $ (26,764 ) $ (14,490 ) $ (26,478 ) Foreign 135 88 (67 ) Loss before income taxes $ (26,629 ) $ (14,402 ) $ (26,545 ) The income tax expense as shown in the accompanying Consolidated Statements of Operations includes the following: Year-Ended Transition Period Ended Year-Ended (amounts in thousands) December 31, 2022 December 31, 2021 June 30, 2021 Current: Federal $ - $ - $ - State 36 25 38 Foreign - - - Total current 36 25 38 Deferred: Federal - - - State - - - Foreign - - - Total deferred - - - Total income tax expense $ 36 $ 25 $ 38 The provision for income taxes differs from the tax computed using the statutory United States federal income tax rate of 21% for the year-ended December 31, 2022, transition period ended December 31, 2021, and year-ended June 30, 2021 as a result of the following items: Year-Ended Transition Period Ended Year-Ended (amounts in thousands) December 31, 2022 December 31, 2021 June 30, 2021 Tax expense (benefit) at U.S. statutory rate $ (5,592 ) $ (3,024 ) $ (5,574 ) State income taxes 35 25 36 Foreign rate differential 5 5 (5 ) Share-based compensation 719 997 (27 ) Permanent differences (30 ) 29 233 Net change in valuation allowance 4,899 1,993 5,375 Income tax expense (benefit) $ 36 $ 25 $ 38 A summary of deferred income tax assets is as follows (in thousands): Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Deferred tax liabilities ROU Asset $ (229 ) $ (404 ) $ (389 ) Intangible assets (11 ) (25 ) — Property, plant and equipment - (5 ) (5 ) Total deferred tax liabilities $ (240 ) $ (434 ) $ (394 ) Deferred tax assets Property, plant and equipment $ 3 $ — $ — Accrued expenses 1,833 1,151 686 Intangible assets — — 262 Stock based compensation 3,405 2,739 3,215 Lease liability 247 428 415 Research and development 2,215 — — Net operating loss carryforward 48,413 46,918 44,282 Other 630 483 609 Total deferred tax assets $ 56,746 $ 51,719 $ 49,469 Less valuation allowance (56,506 ) (51,285 ) (49,075 ) Net deferred tax assets $ 240 $ 434 $ 394 Net deferred tax assets / (liabilities) $ — $ — $ — At December 31, 2022, the Company and its subsidiaries had net operating loss carryforwards for federal, state, United Kingdom, and Australia income tax purposes of $129.5 million, $83.5 million, $28.4 million and $36.0 million respectively. The net operating loss carryforwards may be subject to limitation regarding their utilization against taxable income in future periods due to “change of ownership” provisions of the Internal Revenue Code and similar state and foreign provisions. Of these carryforwards, $21.7 million will expire, if not utilized, between 2026 through 2038. The remaining carryforwards have no expiration. In assessing the recoverability of its deferred tax assets, the Company considers whether it is more likely than not that its deferred assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in those periods in which temporary differences become deductible and/or net operating losses can be utilized. The Company considers all positive and negative evidence when determining the amount of the net deferred tax assets that are more likely than not to be realized. This evidence includes, but is not limited to, historical earnings, scheduled reversal of taxable temporary differences, tax planning strategies and projected future taxable income. Based upon the weight of available evidence including the uncertainty regarding the Company’s ability to utilize certain net operating losses and tax credits in the future, the Company has established a valuation allowance against its net deferred tax assets of $56.5 million and $51.3 million as of December 31, 2022, December 31, 2021, respectively. The Company has established a valuation allowance against its net deferred tax asset of $49.1 million as of June 30, 2021. The deferred tax assets are primarily net operating loss carryforwards for which management has determined it is more likely than not that the deferred tax assets will not be realized. The Company recognizes the tax benefit from an uncertain tax positions only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities based on the technical merits of the position. The tax benefits recognized in the consolidated financial statements related to a particular tax position are measured based on the largest benefit that has a greater than a 50% likelihood of being realized upon settlement. The amount of unrecognized tax benefits is adjusted as appropriate for changes in facts and circumstances, such as significant amendments to existing tax law, new regulations or interpretations by the taxing authorities, new information obtained during a tax examination, or resolution of an examination. The Company has not identified any uncertain tax positions as of December 31, 2022, December 31, 2021, and June 30, 2021. The Company files income tax returns in the U.S. federal, California and certain other state and foreign jurisdictions. The Company remains subject to income tax examinations for its U.S. federal and state income taxes generally for fiscal years ended June 30, 2006 and forward. The Company also remains subject to income tax examinations for international income taxes for fiscal years ended June 30, 2018 through December 31, 2021, and for certain other U.S. state and local income taxes generally for the fiscal years ended June 30, 2018 through December 31, 2021. |
Loss Per Share
Loss Per Share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Loss Per Share | 17. Loss per Share The following is a reconciliation of the basic and diluted loss per share computations: Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 (in thousands, except per share amounts) Net Loss $ 26,665 $ 14,427 $ 26,583 Weighted-average common shares—outstanding, basic 25,000 24,915 22,674 Weighted-average common shares—outstanding, diluted 25,000 24,915 22,674 Net loss per common share, basic $ 1.07 $ 0.58 $ 1.17 Net loss per common share, diluted $ 1.07 $ 0.58 $ 1.17 The Company’s basic net loss per share is calculated by dividing the net loss by the weighted-average number of shares of common stock outstanding for the relevant period. In accordance with ASC 710-10, 17,927 shares of common stock held by the rabbi trust are excluded from the denominator in the basic and diluted EPS calculations. For details on shares of common stock held by the rabbi trust refer to Note 18. For the purposes of the calculation of diluted net loss per share, options to purchase common stock, restricted stock units and unvested shares of common stock issued upon the early exercise of stock options have been excluded from the calculation of diluted net loss per share as their effect is anti-dilutive. As the Company has reported a net loss for all periods presented diluted net loss per common share is the same as the basic net loss per share. |
Retirement Plans
Retirement Plans | 12 Months Ended |
Dec. 31, 2022 | |
Compensation And Retirement Disclosure [Abstract] | |
Retirement Plans | 18. Retirement Plans The Company offers a 401(k)-retirement savings plan (the “ 401(k) Plan Non-qualified deferred compensation plan The Company’s non-qualified deferred compensation plan (the " NQDC plan two-year The Company established a COLI to fund the NQDC plan. Amounts in the COLI are invested in a number of funds. The securities are carried at the cash surrender value on the Consolidated Balance Sheets. We record investment gains and losses of the COLI as other income. The fair values of the Company’s deferred compensation plan assets and liability are included in the table below. Note that the Company did not have NQDC plan for the year-ended June 30, 2021. For additional information on the fair value hierarchy and the inputs used to measure fair value, see Note 5, Fair Value Measurements. Fair Value as of December 31, 2022 Fair Value as of December 31, 2021 (in thousands) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Corporate-owned life insurance policies (1) - 1,238 - 1,238 - 304 - 304 Non-qualified deferred compensation plan liability - 1,348 - 1,348 - 262 - 262 (1) The corporate-owned life insurance contracts are recorded at cash surrender value, which is provided by a third party and reflects the net asset value of the underlying publicly traded mutual funds and are categorized as Level 2. (2) Non-qualified deferred compensation plan liability is measured at fair value based on quoted prices of identical instruments to the investment vehicles selected by the participants. Rabbi Trust During April 2022, we established a rabbi trust to hold the assets of the NQDC plan. The rabbi trust holds the COLI asset and the common stock from deferred RSU awards that have vested. The NQDC permits diversification of fully vested shares into other equity securities subject to a six month and one day holding period. In accordance with ASR 268, Redeemable Preferred Stock Compensation — Stock Compensation 17,927 Vested shares are converted to common stock and are reclassified to permanent equity. Common stock held in the rabbi trust is classified in a manner similar to treasury stock and presented separately on the Consolidated Balance Sheets as Common stock held by the NQDC plan. A total of 17,927 shares were vested at the redemption value of $127,000. The following table summarizes the eligible share award activity as of December 31, 2022. There was no activity as of December 31, 2021 and June 30, 2021. As of (in thousands) December 31, 2022 Non-qualified deferred compensation share awards: Balance at inception/beginning of period - Change in classification of deferred compensation share awards 192 Share-based compensation expense 471 Change in redemption value 21 Vesting of share awards held by NDQC (127 ) Ending Balance 557 |
Deed of Cross Guarantee
Deed of Cross Guarantee | 12 Months Ended |
Dec. 31, 2022 | |
Guarantees [Abstract] | |
Deed of Cross Guarantee | 19. Deed of Cross Guarantee The Company (as the parent entity of the AVITA Group) is party to a deed of cross guarantee dated June 29, 2020 (“ Deed • AVITA Medical Pty Ltd (ACN 058 466 523); • C3 Operations Pty Ltd (ACN 090 161 505); • Visiomed Group Pty Ltd (ACN 003 010 580); and • Infamed Pty Limited (ACN 084 800 653), (together, the “ Australian Subsidiaries The Company and the Australian Subsidiaries were the only parties to the Deed at December 31, 2022 and comprise the “closed group” for the purposes of the Deed (and also the “extended closed group”). No parties were added to or removed from the Deed, or subject to a notice of disposal, during or since the financial year-ended December 31, 2022. Since December 31, 2022, there has been no change in ownership of any of the Australian Subsidiaries. By entering into the Deed, the Company and the Australian Subsidiaries have guaranteed the debts of each other. Relief under ASIC Corporations (Wholly-owned Companies) Instrument 2016/785 By entering into the Deed, the Australian Subsidiaries have been relieved from the requirement to prepare a financial report and directors’ report for the financial year-ended December 31, 2022 under ASIC Corporations (Wholly-owned Companies) Instrument 2016/785 Consolidated financial information of parties to the Deed The financial statements below are additional disclosure items specifically required by the Australian Securities and Investments Commission and represent the consolidated financial statements of the entities that are party to the Deed only (being the ‘closed group’ and also the ‘extended closed group’ under the Deed). Year-ended (in thousands) December 31, 2022 Revenues $ 568 Cost of sales (243 ) Gross profit 325 Operating Expenses: Sales and marketing expenses (231 ) General and administrative expenses (14 ) Product development expense (9 ) Total operating expenses (254 ) Other Income 1 Net loss $ 72 As of (in thousands) December 31, 2022 ASSETS Cash $ 337 Accounts receivable, net 2 Prepaids and other current assets 1,440 Inventory 46 Total assets 1,825 LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable and accrued liabilities 7 Accrued wages and fringe benefits 75 Other current liabilities 1,728 Total liabilities 1,810 Contributed equity 232,747 Reserves 31,476 Accumulated deficit (264,208 ) Total stockholders' equity (deficit) 15 Total liabilities and stockholders' equity (deficit) $ 1,825 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | 20. Subsequent Events The Company has considered all events occurring subsequent to December 31, 2022, and has concluded that all significant events have been disclosed in the financial statements and accompanying notes. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated upon consolidation. |
Reclassification of Prior Year Presentation | Reclassification of prior year presentation Certain prior year amounts within other long-term assets and other long-term liabilities have been reclassified to Corporate-owned life insurance asset and Non-qualified deferred compensation plan liability, respectively, in the Consolidated Balance Sheets and Consolidated Statement of Cash flows, for consistency with current period presentation. These reclassifications had no effect on the reported results of operations or financial position or net cash used in operations. |
Use of Estimates | Use of Estimates The preparation of the accompanying consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts (including doubtful accounts, carrying value of long-lived asset, the useful lives of long-lived assets, accounting for marketable securities, income taxes, stock-based compensation and the stand-alone selling price for the BARDA contract) and related disclosures. Estimates have been prepared on the basis of the current and available information. However, actual results could differ from estimated amounts. |
Foreign Currency Translation and Foreign Currency Transactions | Foreign Currency Translation and Foreign Currency Transactions The financial position and results of operations of the Company’s operating non-U.S. subsidiaries are generally determined using the respective local currency as the functional currency of that subsidiary. Assets and liabilities of these subsidiaries are translated at the exchange rate in effect at each period end. Income statement accounts are translated at the average rate of exchange prevailing during the period. Adjustments arising from the use of differing exchange rates from period to period are included in accumulated other comprehensive gain (loss) in shareholders’ equity. Gains and losses resulting from foreign currency transactions are included in general and administrative expenses and were gain of $91,000 and $35,000 and a loss of $97,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021 and the year-ended June 30, 2021, respectively. The Company’s subsidiaries that use the U.S. dollar as their functional currency remeasure monetary assets and liabilities at exchange rates in effect at the end of each period, nonmonetary assets and liabilities at historical rates. Gains and losses resulting from these remeasurements and foreign currency transactions are included in general and administrative expenses and were a loss of $6,000 a gain $37,000 and a loss of $131,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021 and the year-ended June 30, 2021, respectively. |
Comprehensive Loss | Comprehensive Loss The components of comprehensive loss consist of net loss, foreign currency translation adjustments from its subsidiaries not using the U.S. dollar as their functional currency and unrealized gains and losses in investments available for sale. The Company did not have reclassifications from other comprehensive loss to net loss during the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue when its customers obtain control of promised goods or services, in an amount that reflects the consideration which the Company expects to be entitled in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of Topic 606, the Company performs the following five steps: 1. Identify the contract with a customer 2. Identify the performance obligations 3. Determine the transaction price 4. Allocate the transaction price to the performance obligations 5. Recognize revenue when/as performance obligation(s) are satisfied In order for an arrangement to be considered a contract, it must be probable that the Company will collect the consideration to which it is entitled for goods or services to be transferred. Once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised with each contract, determines whether those are performance obligations and the related transaction price. The Company then recognizes the sale of goods based on the transaction price that is allocated to the respective performance obligation when the performance obligation is satisfied. The Company’s revenue consists primarily of the sale of the RECELL System to hospitals or other treatment centers, COSMOTEC and to BARDA (collectively, “customers”), predominately in the United States. The Company evaluated the BARDA contract and concluded that a portion of the arrangement, such as the procurement of the RECELL system and the emergency preparedness, represents a transaction with a customer and as such are in the scope of ASC 606. Amounts received from BARDA for the research and development of the Company’s product are classified as BARDA income in the consolidated statement of operations and are accounted for under International Accounting Standards 20 (“ IAS 20 Revenues for commercial customers (hospitals, treatment centers and COSMOTEC) are recognized as control of the product is transferred to customers, at an amount that reflects the consideration expected to be received in exchange for the product. Revenues are recognized net of volume discounts. As such, revenue is recognized only to the extent a significant reversal of revenues is not expected to occur in subsequent periods. For the Company’s contracts that have an original duration of one year or less, the Company elected the practical expedient applicable to such contracts and does not consider the time value of money. Further, because of the short duration of these contracts, the Company has not disclosed the transaction price for the remaining performance obligations as of each reporting period or when the Company expects to recognize this revenue. The Company has further applied the practical expedient to exclude sales tax in the transaction price and expense contract fulfilment costs such as commissions and shipping and handling expenses as incurred. For revenues related to the BARDA contract within the scope of ASC 606, the Company identified two performance obligations (i) the procurement of 5,614 RECELL units, (ii) emergency preparedness services. Through this contract the Company promises to procure the product through a vendor management inventory arrangement and to stand ready to provide emergency deployment services related to the product. Emergency preparedness services include procuring necessary storage containers, housing, and maintaining the containers (and product), and providing shipping and handling services in the event of an emergency situation. This stand ready obligation is a series of distinct services that are substantially the same and have the same pattern of transfer to the customer, overtime as services are consumed. The total transaction price for the portion of the BARDA contract that is with in the scope of ASC 606, was determined to be $9.2 million. The transaction price was allocated on a stand-alone selling price basis as follows: $7.6 million to the procurement of the RECELL product, which is classified as revenues when recognized in the consolidated statement of operations and $1.6 million to the emergency deployment services which is classified as revenues when recognized in the consolidated statement of operations. The $1.6 million for emergency deployment includes variable consideration which is deemed immaterial to the contract as a whole. The Company estimated the stand-alone selling price of the procurement of the RECELL product based on historical pricing of the Company’s product at the initial execution of the contract. The Company estimated the stand-alone selling price of the emergency deployment services performed based on the Company’s projected cost of providing the services plus an applicable profit margin as denoted in the contract. The Company’s performance obligations are either satisfied at a point in time or over time as services are provided. Securities and Exchange Commission (SEC) Interpretation, Commission Guidance regarding Accounting for Sale of Vaccines and BioTerror Countermeasures to the Federal Government for Placement into the Pediatric Vaccine Stockpile or the Strategic National Stockpile (SNS). VMI |
Contract Liabilities | Contract Liabilities The Company receives payments from customers based on contractual terms. Trade receivables are recorded when the right to consideration becomes unconditional. The Company satisfies its performance obligation on product sales when the products are shipped or delivered, depending on the terms of the sale. Payment terms on invoiced amounts are typically 30-90 days, and do not include a financing component. Contract liabilities are recorded when the Company receives payment prior to satisfying its obligation to transfer goods to a customer. |
Cost of Sales | Cost of Sales Cost of sales related to products includes costs to manufacture or purchase, package, and ship the Company’s products. Costs also include relevant production overhead and depreciation and amortization. These costs are recognized when control of the product is transferred to the customer and revenue is recognized. |
Income Taxes | Income Taxes Income taxes are accounted for using the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income or loss in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in operations in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance if it is more likely than not that a portion of the deferred tax asset will not be realized. We recognize interest and penalties related to unrecognized tax benefits on the income tax expense line in the accompanying consolidated statement of operations. Accrued interest and penalties are included on the related tax liability line in the Consolidated Balance Sheet. The Company reviews its uncertain tax positions regularly. An uncertain tax position represents the Company’s expected treatment of a tax position taken in a filed return, or planned to be taken in a future tax return or claim that has not been reflected in measuring income tax expense for financial reporting purposes. The Company recognizes the tax benefit from an uncertain tax position when it is more-likely-than-not that the position will be sustained upon examination on the basis of the technical merits or the statute of limitations for the relevant taxing authority to examine and challenge the tax position has expired. |
Cash and Cash Equivalents | Cash and Cash Equivalents Consists of cash held at deposit institutions and cash equivalents. Cash equivalents consist of short-term highly liquid investments with original maturities of three months or less from the date of purchase and consist primarily of money market funds. The Company holds cash at deposit institutions in the amount of $4.1 million, $4.4 million and $54.2 million of which $737,000 and $203,000 and $273,000 is denominated in foreign currencies in foreign institutions as of December 31, 2022, December 31, 2021, and June 30, 2021 respectively. As of December 31, 2022, December 31, 2021, and June 30, 2021, the Company held cash equivalents in the amount of $14.1 million and $51.1 million, and $56.5 million, respectively. |
Restricted Cash | Restricted Cash Pursuant to a contractual agreement with American Express to maintain the business credit card, the Company was required to maintain restricted cash deposits which amounted to approximately $201,000 as of December 31, 2021 and June 30, 2021. As of December 31, 2022, the Company is no longer required to maintain a balance. |
Concentrations | Concentrations Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, trade receivables, BARDA receivables and other receivables. As of December 31, 2022, December 31, 2021 and June 30, 2021, substantially all of the Company’s cash was deposited in accounts at financial institutions, and amounts may exceed federally insured limits. Management believes that the Company is not exposed to significant credit risk due to the financial strength of the depository institutions in which its cash is held. As of December 31, 2022 and December 31, 2021, one commercial customer accounted for approximately 10% of net accounts receivable. As of June 30, 2021, no single commercial customer accounted for more than 10% of accounts receivable. For the year-ended December 31, 2022, one commercial customer accounted for more than 10% of total revenues. For the transition period ended December 31, 2021 and the year-ended June 30, 2021, no single commercial customer accounted for more than 10% of total revenues. BARDA revenues for the procurement of the RECELL system accounted for approximately 1%, 1% and 27% of total revenues for the year-ended December 31, 2022, the transition period ended December 31, 2021 and the year-ended June 30, 2021, respectively. BARDA receivables for the procurement of the RECELL system and emergency preparedness accounted for approximately 2%, 3%, and 91% of BARDA receivables as of December 31, 2022, December 31, 2021 and June 30, 2021, respectively. As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 BARDA procurement and emergency preparedness services $ 16 $ 9 $ 3,583 BARDA expense reimbursements 882 299 353 Total $ 898 $ 308 $ 3,936 |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying values of the Company’s financial instruments, consisting of cash and cash equivalents, marketable securities, trade receivables, prepaids and other receivables, accounts payable, accrued liabilities and contract liabilities, approximate fair value due to the relative short-term nature of these instruments. |
Marketable Securities | Marketable Securities We classify all highly liquid investments with original maturities of three months or less from the date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months as marketable securities. The Company classifies marketable securities as short-term when they have remaining contractual maturities of one year or less from the balance sheet date, and as long-term when the investments have remaining contractual maturities of more than one year from the balance sheet date. Classification is determined at the time of purchase and re-evaluated each balance sheet date. Short-term marketable securities represent investment of cash available for current operations. We account for our marketable securities as available-for-sale securities. All marketable securities, which consist of corporate debt securities, asset backed securities, U.S treasury and commercial paper are denominated in the U.S. dollars, have been classified as “available for sale”, and are carried at fair value. Unrealized gains and losses, net of any related tax effects, are excluded from earnings and are included in other comprehensive income (loss) and reported as a separate component of stockholders equity until realized. Realized gains and losses on marketable securities are included in interest and other income, net, in the accompanying Consolidated Statements of Operations. The cost of any marketable securities sold is based on the specific identification method. The amortized cost of marketable securities is adjusted for amortization of premiums and accretion of discounts to maturity. Interest on marketable securities is included in other income. In accordance with the Company’s investment policy, management invests to diversify credit risk and only invests in securities with high credit quality, including U.S. government securities, and the maximum final maturity from the date of purchase is thirty-seven months. If necessary, the Company will recognize an allowance for credit losses on available-for-sale debt securities on an individual basis, and will no longer consider other than-temporary impairment or immediately reduce the cost basis of the investment provided that it is more likely than not that the security will be held to recovery or maturity. Further, the Company will recognize any improvements in estimated credit losses on available-for-sale debt securities immediately in earnings and reduce the existing allowance for credit losses. The Company will disaggregate its available-for-sale debt securities into the following categories: commercial paper, corporate debt, government and agency securities and money market funds. The Company’s corporate bonds are comprised of predominantly high-grade corporate bonds while its government and agency securities are U.S. treasury bonds, and U.S. agency bonds. The Company has analyzed both corporate bonds and government and agency securities and identified that both types of securities have similar risk characteristics in that they are traded infrequently and have contractual interest rates and maturity dates. To evaluate for impairment, management reviews credit rating changes, securities trends, interest rate movements and unrealized loss at the security level of the Company’s available for sale debt securities. If any of these give rise to a potential credit concern, the Company performs a discounted cash flow analysis to determine the credit portion of the impairment. The discounted cash flow analysis will be performed either internally or through the assistance of a qualified third party. Once the credit component of the impairment is determined, the Company will record the impaired amount as an allowance to the available-for-sale debt securities balance and as a charge to other income in the accompanying Consolidated Statements of Operations, not to exceed the amount of the unrealized loss. The Company assesses expected credit losses at the end of each reporting period and adjusts the allowance through other income. |
Accounts Receivable | Accounts Receivable Accounts receivable are recorded net of customer allowances for doubtful accounts. The Company estimates an allowance for expected credit losses (i.e., the inability of our customers to make required payments). These estimates are based on a combination of past experience and current trends. In estimating the allowance for expected credit losses, consideration is given to the current aging of receivables, a specific review for potential bad debts and an evaluation of historic write-offs. The resulting bad debt expense is included in sales and marketing expenses in the Consolidated Statement of Operations. Receivables are written-off when deemed uncollectible. As of December 31, 2022, December 31,2021, and June 30, 2021, the allowance for doubtful accounts was $24,000 $28,000, and $30,000, respectively. A rollforward of the activity in the Company’s allowance for doubtful account is as follows (in thousands): Year-ended Transition Period Ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Allowance for doubtful accounts, at beginning of year $ 28 $ 30 $ 18 Bad debt expense 5 2 12 Deductions (9 ) (4 ) - Allowance for doubtful accounts, at end of year $ 24 $ 28 $ 30 |
BARDA Income and Receivables | BARDA Income and Receivables The Company was awarded a BARDA grant in September 2015. Under this grant BARDA supports the Company’s research and development for the Company’s product, including the ongoing U.S. clinical regulatory program targeted towards FDA PMA, our compassionate use program, clinical and health economics research, and U.S. pediatric burn programs. Consideration received under the BARDA grant is earned and recognized under a cost-plus-fixed-fee arrangement in which the Company is reimbursed for direct costs incurred plus allowable indirect costs and a fixed-fee earned. Billings under the contracts are based on approved provisional indirect billing rates, which permit recovery of fringe benefits, general and administrative expenses and a fixed fee. The Company has concluded that grants under the BARDA grant are not within the scope of ASC 606, as they do not meet the definition of a contract with a “customer.” The Company has further concluded that Subtopic 958-605, Not-for-Profit-Entities-Revenue Recognition Accounting for Government Grants and Disclosure of Government Assistance, |
Inventory | Inventory Inventory is valued at the lower of cost or estimated net realizable value and is reflected in cost of sales. Costs incurred in bringing each product to its present location and condition are accounted for at purchase cost on a first-in, first-out basis (“ FIFO Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and costs to complete the sale. |
Leases | Leases The Company has operating leases for corporate office space, manufacturing and warehouse facility. The Company has finance leases for equipment and furniture, which are not material to the consolidated financial statements. The Company’s operating leases have remaining lease terms of one year to two years, some of which include options to renew the lease. At contract inception, the Company determines whether the contract is a lease or contains a lease. A contract contains a lease if the Company is both able to identify an asset and can conclude it has the right to control the identified asset for a period of time. Leases with an initial term of twelve months or less are not recorded on the Consolidated Balance Sheet. Right-of-use (“ ROU IBR The Company’s lease terms are only for periods in which it has enforceable rights. A lease is no longer enforceable when both the lessee and the lessor each have the right to terminate the lease without permission from the other party with no more than an insignificant penalty. The Company has options to renew some of these leases for three years after their expiration. The Company considers these options, which may be elected at the Company’s sole discretion, in determining the lease term on a lease-by-lease basis. Lease expense is recognized on a straight-line basis over the lease term and is primarily included in general and administrative expenses in the accompanying consolidated statements of operations. The Company has lease agreements with lease and non-lease components, which are accounted for as a single lease component for all underlying asset classes. Some leases require variable payments for common area maintenance, property taxes, parking, insurance and other variable costs. The variable portion of lease payments is not included in operating lease assets or liabilities. Variable lease costs are expensed when incurred. |
Property, Plant and Equipment | Property, Plant and Equipment The Company’s property, plant and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation is computed based on the straight-line method over the estimated useful lives of the various asset classes, generally three to seven years. Leasehold improvements are amortized over the shorter of the life of the related asset or the remaining term of the lease. Costs associated with customized internal-use software systems that have reached the application development stage and meet recoverability tests are capitalized and include external direct costs utilized in developing or obtaining the applications and payroll and payroll-related expenses for employees who are directly associated with the application development. Maintenance and repairs are expensed as incurred. |
Intangible Assets | Intangible Assets The Company maintains definite-lived intangible assets related to patents initially measured at cost and amortized over estimated useful lives of approximately 3—20 years. The Company had capitalized patent costs of $558,000, $673,000 and $700,000 as of December 31, 2022, December 31, 2021, and June 30, 2021 respectively, related to regulatory approval of the RECELL System, and are being amortized over their estimated useful lives. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company evaluates long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the sum of the estimated, undiscounted future cash flows is less than the carrying amount of the asset, then an impairment is recognized for the amount by which the carrying value of the asset exceeds its estimated fair value. Fair value is determined using the market, income, or cost approaches as appropriate for the asset. Any write-downs are treated as permanent reductions in the carrying amount of the asset and recognized as an operating loss. The Company recorded $42,000 of impairments intangible assets during the transition period ended December 31, 2021. There were no impairments of long-lived assets for the year-ended December 31, 2022 and June 30, 2021. |
Sales and Marketing Expenses | Sales and Marketing Expenses Sales and marketing expenses consist primarily of compensation and employee benefits of sales and marketing personnel and related field sales organization, marketing events, advertising costs, travel, trade shows and other marketing materials. The Company expenses all selling and marketing costs as incurred. Advertising expenses were $216,000, $16,000, and $73,000 for the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021, respectively. |
Research and Development Expenses | Research and Development Expenses Research and development expenses represent costs incurred to develop the Company’s products. Research and development expenses consist primarily of salaries and other personnel costs, clinical trial costs, regulatory costs and manufacturing costs for non-commercial products. The Company expenses all research and development costs in the periods in which they are incurred. |
Stock-Based Compensation | Stock-Based Compensation The Company records compensation expense for stock options and RSUs based on the fair market value of the awards on the date of grant. The fair value of stock-based compensation awards is amortized over the vesting period of the award. Compensation expense for performance-based awards is measured based on the number of shares ultimately expected to vest, estimated at each reporting date based on management’s expectations regarding the relevant performance criteria, if any. The Black-Scholes option pricing model and Monte Carlo Simulation were used to estimate the fair value of the time-based and performance-based options, respectively. Under ASU 2016-09, Compensation – Stock Compensation (“ASC 718”) Improvements to Employee Share-Based Payment Accounting The following assumptions were used in the valuation of stock options. • Expected volatility – determined using the average of the historical volatility using daily intervals over the expected term and the derived volatility using the longest term available of 12 months. • Expected dividends – none, based on the fact that the Company has never paid cash dividends and does not expect to pay any cash dividends in the foreseeable future. • Expected term – the expected term of the Company’s stock options for tenure only vesting has been determined utilizing the “simplified” method as described in the SEC’s Staff Accounting Bulletin No. 107 relating to share-based compensation. The simplified method was chosen because the Company has limited historical option exercise experience due to its short operating history of awards granted, with the first plan being established in 2016 which was primarily used for executive awards. Further, the Company does not have sufficient history of exercises in the U.S. market given the Company’s redomiciliation from Australia to the United States in 2020. The expected term of options with a performance condition or market condition was set to the contractual term of 10 years. The contractual term was used for options with a performance or market condition as these are primarily awarded to executives and the Company assumes that they will hold them longer than rank and file employees. • Risk-free interest rate – t he risk-free interest rate is based on the U.S. Treasury yield in effect at the time of grant for a period approximately equal to the expected term of the award. |
Loss per Share | Loss per Share Basic net loss per share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period, assuming potentially dilutive ordinary shares from option exercises, employee share awards, and other dilutive instruments that have been issued. For periods where the Company has presented a net loss, potentially dilutive securities are excluded from the computation of diluted net loss per share as they would be anti-dilutive. I n accordance with ASC 710-10, shares of common stock held by the rabbi trust are excluded from the denominator in the basic and diluted EPS calculations. |
Non-Qualified Deferred Compensation Plan Liability and Corporate-Owned Life Insurance Asset | Non-Qualified Deferred Compensation Plan Liability and Corporate-Owned Life Insurance Asset The Company’s non-qualified deferred compensation plan (the "NQDC plan"), which became effective in October 2021, allows highly compensated key employees to elect to defer a portion of their salary, bonus, commissions and RSU awards to later years. Management determined that the cash deferrals under the NQDC plan shall be accounted for similarly to a defined benefit plan under ASC 715, Compensation – Retirement Benefits, and should follow accounting treatment that is similar to a cash balance plan. Management determined that the employee portion and employer portion of the deferred compensation should be recognized as a compensation expense with a corresponding credit to deferred compensation liability. The matching contribution will be accrued over the vesting period of two years with 25% vesting in the first year and 75% vesting in the second year. Employees aged 55 or older immediately vest in employer matching contributions. The change in the liability between each reporting period is accounted for as compensation expense with a corresponding adjustment to deferred compensation liability. Upon distribution, the Company will record the distribution as a decrease to compensation liability with a corresponding credit to cash. The Company funds the NQDC plan through a Corporate-Owned Life Insurance (“COLI”). Per the ASC 325-30-25-1A, Investments – Other, COLI is recorded as an asset in on the Consolidated Balance Sheets as it does not meet the definition of a plan asset under ASC 715. The Company invests in COLI policies relating to its deferred compensation plan. Investments in COLI policies are recorded at their cash surrender values as of each balance sheet date. Changes in the cash surrender value during the period are recorded as a gain or loss in the statements of operations in Other income. |
Rabbi Trust | Rabbi Trust During April 2022, we established a rabbi trust for a select group of participants in which share awards granted under the 2020 Omnibus Incentive Plan (“2020 Plan”) and deferred under the NQDC plan may be deposited. In addition to the deferral of shares, the rabbi trust holds the assets in the COLI for the NQDC plan. The rabbi trust is an irrevocable trust and no portion of the trust fund may be used for any purpose other than the delivery of those assets to the participants. The assets held in the rabbi trust are subject to the claims of our general creditors in the event of bankruptcy or insolvency. The value of the assets of the rabbi trust is consolidated into our financial statements. The NQDC plan permits diversification of vested shares (common stock) into other equity securities subject to a six-month and one day holding period subsequent to vesting. Per ASC 710-10-25-15, accounting for deferred common stock will be under plan type C or D. Accounting will depend on whether or not the employee has diversified the common stock. Under Plan type C, diversification is permitted but the employee has not diversified. Under Plan type D, diversification is permitted and the employee has diversified. For common stock that have not been diversified, the employer stock held in the rabbi trust is classified in a manner similar to treasury stock and presented separately on the Consolidated Balance Sheets as Company common stock held by the non-qualified deferred compensation plan. Common stock will be recorded at fair value of the stock at the time it vested, subsequent changes in the value of the common stock will not be recognized. The deferred compensation obligation is measured independently at fair value of the common stock with a corresponding charge or credit to compensation cost. Fair value is determined as the product of the common stock and the closing price of the stock each reporting period. Under plan type D, assets held by the rabbi trust are subject to applicable GAAP. As diversified common stock will be invested in mutual funds, assets held by the rabbi trust will be subject to accounting in ASC 321 - Investments - Equity Securities. The deferred compensation obligation is measured independently at fair value of the underlying assets. As of December 31, 2022, deferred common stock has not been diversified. |
Non-qualified Deferred Compensation Share Awards | Non-qualified deferred compensation share awards In accordance with ASC 718, Compensation — Stock Compensation, the deferred RSU awards under the NQDC plan are classified as an equity instrument and changes in fair value of the amount owed to the participant are not recognized. As the plan permits diversification, presentation outside of permanent equity in accordance with ASR 268, Redeemable Preferred Stock is appropriate. The redemption amounts are based on the vested percentage and are recorded outside of equity as non-qualified deferred compensation share awards on the Consolidated Balance Sheets. Deferred awards will be presented outside of permanent equity until the awards are vested. The redemption value of unvested and deferred RSU awards is Company common stock held by the non-qualified deferred compensation plan in the Consolidated Balance Sheets. |
Segment Reporting | Segment Reporting Operating segments are defined as components of an enterprise for which separate discrete financial information is available for evaluation by the chief operating decision-maker in making decisions regarding resource allocation and assessing performance. The Company’s chief operating decision-maker is its Chief Executive Officer. To date, the Company has viewed its operations and manages its business as one segment. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Other Receivables | See table below for breakdown of BARDA receivables (in thousands). As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 BARDA procurement and emergency preparedness services $ 16 $ 9 $ 3,583 BARDA expense reimbursements 882 299 353 Total $ 898 $ 308 $ 3,936 |
Summary of Allowance For Doubtful Account | A rollforward of the activity in the Company’s allowance for doubtful account is as follows (in thousands): Year-ended Transition Period Ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Allowance for doubtful accounts, at beginning of year $ 28 $ 30 $ 18 Bad debt expense 5 2 12 Deductions (9 ) (4 ) - Allowance for doubtful accounts, at end of year $ 24 $ 28 $ 30 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Available For Sale Securities [Abstract] | |
Summary of Amortized Cost and Estimated Fair Values of Debt Securities Available for Sale | The following table summarizes the amortized cost and estimates fair values of debt securities available for sale: As of December 31, 2022 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Carrying Value (in thousands) Cash equivalents: Money market funds $ 14,089 $ - $ - $ 14,089 Current marketable securities: U.S Treasury securities $ 43,092 $ 1 $ (393 ) $ 42,700 Commercial paper 12,743 - - 12,743 Corporate debt securities 3,865 - (23 ) 3,842 U.S Government agency obligations 1,901 - (8 ) 1,893 Total current marketable securities $ 61,601 $ 1 $ (424 ) $ 61,178 Long-term marketable securities: Asset backed securities $ 3,568 $ 7 $ (3 ) $ 3,572 U.S Treasury securities 2,416 - (6 ) 2,410 U.S Government agency obligations 949 - (1 ) 948 Total long-term marketable securities $ 6,933 $ 7 $ (10 ) $ 6,930 As of December 31, 2021 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Carrying Value (in thousands) Cash equivalents: Money market funds $ 51,112 $ - $ - $ 51,112 Current marketable securities: Commercial paper $ 19,586 $ - $ - $ 19,586 Corporate debt securities 7,068 - (7 ) 7,061 Asset backed securities 3,002 - - 3,002 Total current marketable securities $ 29,656 $ - $ (7 ) $ 29,649 Long-term marketable securities: U.S Treasury securities $ 18,043 $ - $ (89 ) $ 17,954 Corporate debt securities 1,746 - (8 ) 1,738 Total long-term marketable securities $ 19,789 $ - $ (97 ) $ 19,692 |
Summary of Maturities of Debt Securities Available for Sale | The maturities of debt securities available for sale are summarized in the following table using contractual maturities. Actual maturities may differ from contractual maturities due to obligations that are called or prepaid. As of December 31, 2022 As of December 31, 2021 Amortized Cost Carrying Value Amortized Cost Carrying Value Due in one year or less $ 61,601 $ 61,178 $ 29,656 $ 29,649 Due after one year through three years $ 6,933 $ 6,930 $ 19,789 $ 19,692 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of Financial Assets Measured at Fair Value on Recurring Basis | The following tables present information about the Company’s financial assets measured at fair value on a recurring basis, based on the three-tier fair value hierarchy: As of December 31, 2022 (in thousands) Level 1 Level 2 Level 3 Total Cash equivalents: Money market funds $ 14,089 $ - $ - $ 14,089 Current marketable securities: U.S Treasury securities - 42,700 - 42,700 Commercial paper - 12,743 - 12,743 Corporate debt securities - 3,842 - 3,842 U.S Government agency obligations - 1,893 - 1,893 Total current marketable securities - 61,178 - 61,178 Long-term marketable securities: Asset backed securities - 3,572 - 3,572 U.S Treasury securities - 2,410 - 2,410 U.S Government agency obligations - 948 - 948 Total long-term marketable securities - 6,930 - 6,930 Total marketable securities and cash equivalents $ 14,089 $ 68,108 $ - $ 82,197 As of December 31, 2021 (in thousands) Level 1 Level 2 Level 3 Total Cash equivalents: Money market funds $ 51,112 $ - $ - $ 51,112 Current marketable securities: Commercial paper - 19,586 - 19,586 Corporate debt securities - 7,061 - 7,061 Asset backed securities - 3,002 - 3,002 Total current marketable securities - 29,649 - 29,649 Long-term marketable securities: U.S Treasury securities - 17,954 - 17,954 Corporate debt securities - 1,738 - 1,738 Total long-term marketable securities - 19,692 - 19,692 Total marketable securities and cash equivalents $ 51,112 $ 49,341 $ - $ 100,453 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Summary Of Lease Cost | The following table sets forth the Company’s operating lease expenses which are included in general and administrative expenses in the Consolidated Statements of Operations (in thousands): Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Operating lease cost $ 775 $ 284 $ 731 Variable lease cost 51 25 48 Total lease cost $ 826 $ 309 $ 779 |
Summary Of Supplemental Cash Flow Information Related To Operating Leases | Supplemental cash flow information related to operating leases was as follows (in thousands): Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows from operating leases $ 803 $ 288 735 |
Summary Of Supplemental Balance Sheet Information Related To Operating Leases | Supplemental balance sheet information, related to operating leases was as follows (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Reported as: Operating lease right-of-use assets $ 851 $ 1,544 $ 1,480 Total right-of-use assets $ 851 $ 1,544 $ 1,480 Other current liabilities: Operating lease liabilities, short-term $ 612 $ 720 $ 702 Operating lease liabilities, long term 306 918 878 Total operating lease liabilities $ 918 $ 1,638 $ 1,580 Operating lease weighted average remaining lease term (years) 1.44 2.30 2.67 Operating lease weighted average discount rate 6.71 % 6.51 % 6.70 % |
Summary Of Maturities Of The Company's Operating Lease Liabilities | As of December 31, 2022, maturities of the Company’s operating lease liabilities are as follows (in thousands): Operating Leases 2023 649 2024 314 Total lease payments 963 Less imputed interest (45 ) Total operating lease liabilities $ 918 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Summary Of Composition Of Inventories | The composition of inventories is as follows (in thousands): As of December 31, 2022 December 31, 2021 June 30, 2021 Raw materials $ 1,131 $ 1,222 $ 982 Work in process 384 176 241 Finished goods 610 734 424 Total inventory $ 2,125 $ 2,132 $ 1,647 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary Of Composition Of Intangible Assets | The composition of intangible assets is as follows (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Weighted Average Life Gross Amount Accumulated Amortization Net Carry Amount Gross Amount Accumulated Amortization Net Carry Amount Gross Amount Accumulated Amortization Net Carry Amount Patent 1 2 $ 17 $ (16 ) $ 1 $ 209 $ (182 ) $ 27 $ 264 $ (190 ) $ 74 Patent 2 13 137 (28 ) 109 123 (18 ) 105 138 (16 ) 122 Patent 3 14 194 (39 ) 155 192 (25 ) 167 163 (19 ) 144 Patent 5 19 89 (6 ) 83 46 (3 ) 43 46 (2 ) 44 Patent 6 20 43 (4 ) 39 39 (2 ) 37 39 (1 ) 38 Patent 7 13 2 - 2 2 - 2 - - - Patent 8 19 13 - 13 3 - 3 3 - 3 Patent 10 19 3 - 3 3 - 3 - - - Patent 11 19 6 - 6 6 - 6 - - - Trademarks Indefinite 54 - 54 50 - 50 47 - 47 Total intangible assets $ 558 $ (93 ) $ 465 $ 673 $ (230 ) $ 443 $ 700 $ (228 ) $ 472 |
Summary Of Future Amortization Of Amortizable Intangible Assets Held | The Company expects the future amortization of amortizable intangible assets held at December 31, 2022 to be (in thousands): Estimated Amortization Expense 2023 $ 34 2024 33 2025 33 2026 33 2027 33 Thereafter 245 Total $ 411 |
Property and Equipment, net (Ta
Property and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property Plant And Equipment [Abstract] | |
Summary Of Composition Of Property And Equipment | The composition of property and equipment, net is as follows (in thousands): Useful Lives As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Computer equipment 3 years $ 755 $ 740 $ 722 Computer software 3 years 871 811 775 Construction in progress 258 29 48 Furniture and fixtures 7 years 439 440 440 Laboratory equipment 5 years 643 566 523 Leasehold improvements Lesser of life or lease term 257 242 242 RECELL Moulds 5 years 129 129 129 Less: accumulated amortization and depreciation (2,152 ) (1,695 ) (1,421 ) Total plant and equipment, net $ 1,200 $ 1,262 $ 1,458 |
Prepaids and Other Current As_2
Prepaids and Other Current Assets and Other Long-Term Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Prepaids And Other Current Assets And Other Long Term Assets [Abstract] | |
Summary of Prepaids and Other Current Assets | Prepaids and other current assets consisted of the following (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Prepaid expenses $ 921 $ 1,124 $ 853 Lease deposits 110 2 - Accrued investment income 168 72 - BARDA contract costs 252 - - Other receivables 127 15 480 Total prepaids and other current assets $ 1,578 $ 1,213 $ 1,333 |
Summary of Other Long Term Assets | Other long-term assets consisted of the following (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 BARDA contract costs $ - $ 504 $ 613 Long-term lease deposits 25 124 126 Long-term prepaids 97 10 22 Total other long-term assets $ 122 $ 638 $ 761 |
Summary of Other Current Liabilities | Other current liabilities consisted of the following (in thousands): As of December 31, 2022 As of December 31, 2021 As of June 30, 2021 Operating lease liability $ 612 $ 720 $ 702 Other current liabilities 262 355 170 BARDA deferred costs 194 - 77 Total other current liabilities $ 1,068 $ 1,075 $ 949 |
Reporting Segment and Geograp_2
Reporting Segment and Geographic Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule Of Revenue By Region and Customer Type/Cost of Sales By Customer Type | Revenue by region were as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Revenue: United States $ 33,257 $ 13,764 $ 28,955 Foreign: Japan 729 - - Australia 275 136 207 United Kingdom 160 56 70 Total $ 34,421 $ 13,956 $ 29,232 Revenue by Customer type were as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Revenue: Commercial sales 34,051 13,771 $ 21,483 BARDA: Product sales — — 7,595 Services for emergency preparedness 370 185 154 Total $ 34,421 $ 13,956 $ 29,232 Cost of sales by Customer type were as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Cost of sales Commercial cost $ 5,573 $ 2,017 $ 3,931 BARDA: Product cost 130 (278 ) 1,889 Emergency preparedness service cost 338 166 129 Total $ 6,041 $ 1,905 $ 5,949 |
Share-Based Payment Plans (Tabl
Share-Based Payment Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Company Share Based Award Plans | The following table summarizes information about the Company’s share-based award plans as of December 31, 2022: Outstanding Options Outstanding Restricted Stock Units Shares available for future issuance 2016 Equity Incentive Plan 885,095 - - 2020 Equity Incentive Plan 1,079,875 398,596 - 2021 AGM Awards 22,600 11,566 244,675 2022 AGM Awards 247,876 50,356 - |
Summary Of Stock-based Compensation Is Reflected In The Statements Of Operations | The Company has included share-based compensation expense as part of operating expenses in the accompanying Consolidated Statements of Operations as follows (in thousands): Year-ended Transition period ended Year-ended December 31, 2022 December 31, 2021 June 30, 2021 Sales and marketing expenses $ 1,393 $ 663 $ 925 General and administrative expenses 4,668 2,318 4,095 Research and development expenses 937 607 644 Total $ 6,998 $ 3,588 $ 5,664 |
Summary Of Share Option Activity | A summary of share option activity as of December 31, 2022 and changes during the year then ended is presented below: Service Only Share Options Performance Based Share Options Market Awards Total Share Options Weighted -Average Exercise Price Weighted -Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Exercisable at December 31, 2021 1,129,126 599,994 27,600 1,756,720 $ 14.86 7.83 $ 5,118,309 Granted 737,676 - - 737,676 5.57 Exercised (75,125 ) (75,000 ) - (150,125 ) 5.99 Expired (10,425 ) (6,900 ) - (17,325 ) 14.60 Forfeited (57,000 ) (6,900 ) (27,600 ) (91,500 ) 12.95 Outstanding shares at December 31, 2022 1,724,252 511,194 - 2,235,446 12.47 7.71 1,530,263 Exercisable at December 31, 2022 682,749 310,858 - 993,607 $ 12.40 6.17 $ 587,632 |
Summary of Valuation Assumptions Used in Share Options | Included in the following table is a summary of the related assumptions used in the Black-Scholes Option pricing model and Monte-Carlo simulation for the year-ended December 31, 2022, the transition period ended December 31, 2021, and the year-ended June 30, 2021. Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Expected volatility 72% - 113% 68% - 75% 65% - 80% Weighted-average volatility 103 % 69 % 73 % Expected dividends 0 % 0 % 0 % Expected term (in years) 5 - 9.8 5 - 10 5 - 10 Risk-free interest rate 1.42% - 3.94% 0.88% - 1.46% 0.77% - 1.64% |
Non Option Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Share Option Activity | A summary of the status of the Company’s unvested RSUs as of December 31, 2022, and changes that occurred during the year is presented below: Unvested Shares Service Condition RSU Performance Condition RSU Market Condition Total RSU's Weighted Average Grant Date Fair Value per Unit Unvested RSUs outstanding at December 31, 2021 114,757 135,093 47,640 297,490 $ 19.66 Granted 384,806 - - 384,806 5.28 Vested (75,041 ) (57,527 ) - (132,568 ) 26.43 Forfeited (29,650 ) (11,920 ) (47,640 ) (89,210 ) 7.71 Unvested RSUs outstanding at December 31, 2022 394,872 65,646 - 460,518 $ 6.30 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Geographic Sources of Loss Before Income Taxes | Geographic sources of loss before income taxes are as follows: Year- Ended Transition Period Ended Year- Ended (amounts in thousands) December 31, 2022 December 31, 2021 June 30, 2021 United States $ (26,764 ) $ (14,490 ) $ (26,478 ) Foreign 135 88 (67 ) Loss before income taxes $ (26,629 ) $ (14,402 ) $ (26,545 ) |
Summary Of Income Tax Expense | The income tax expense as shown in the accompanying Consolidated Statements of Operations includes the following: Year-Ended Transition Period Ended Year-Ended (amounts in thousands) December 31, 2022 December 31, 2021 June 30, 2021 Current: Federal $ - $ - $ - State 36 25 38 Foreign - - - Total current 36 25 38 Deferred: Federal - - - State - - - Foreign - - - Total deferred - - - Total income tax expense $ 36 $ 25 $ 38 |
Summary Of Provision For Income Taxes | The provision for income taxes differs from the tax computed using the statutory United States federal income tax rate of 21% for the year-ended December 31, 2022, transition period ended December 31, 2021, and year-ended June 30, 2021 as a result of the following items: Year-Ended Transition Period Ended Year-Ended (amounts in thousands) December 31, 2022 December 31, 2021 June 30, 2021 Tax expense (benefit) at U.S. statutory rate $ (5,592 ) $ (3,024 ) $ (5,574 ) State income taxes 35 25 36 Foreign rate differential 5 5 (5 ) Share-based compensation 719 997 (27 ) Permanent differences (30 ) 29 233 Net change in valuation allowance 4,899 1,993 5,375 Income tax expense (benefit) $ 36 $ 25 $ 38 |
Summary Of Deferred Income Tax | A summary of deferred income tax assets is as follows (in thousands): Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 Deferred tax liabilities ROU Asset $ (229 ) $ (404 ) $ (389 ) Intangible assets (11 ) (25 ) — Property, plant and equipment - (5 ) (5 ) Total deferred tax liabilities $ (240 ) $ (434 ) $ (394 ) Deferred tax assets Property, plant and equipment $ 3 $ — $ — Accrued expenses 1,833 1,151 686 Intangible assets — — 262 Stock based compensation 3,405 2,739 3,215 Lease liability 247 428 415 Research and development 2,215 — — Net operating loss carryforward 48,413 46,918 44,282 Other 630 483 609 Total deferred tax assets $ 56,746 $ 51,719 $ 49,469 Less valuation allowance (56,506 ) (51,285 ) (49,075 ) Net deferred tax assets $ 240 $ 434 $ 394 Net deferred tax assets / (liabilities) $ — $ — $ — |
Loss Per Share (Tables)
Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Summary Of Reconciliation Of The Basic And Diluted Loss Per Share | The following is a reconciliation of the basic and diluted loss per share computations: Year-Ended Transition Period Ended Year-Ended December 31, 2022 December 31, 2021 June 30, 2021 (in thousands, except per share amounts) Net Loss $ 26,665 $ 14,427 $ 26,583 Weighted-average common shares—outstanding, basic 25,000 24,915 22,674 Weighted-average common shares—outstanding, diluted 25,000 24,915 22,674 Net loss per common share, basic $ 1.07 $ 0.58 $ 1.17 Net loss per common share, diluted $ 1.07 $ 0.58 $ 1.17 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Compensation And Retirement Disclosure [Abstract] | |
Summary of Fair Values of Company's Deferred Compensation Plan Assets and Liability | The fair values of the Company’s deferred compensation plan assets and liability are included in the table below. Note that the Company did not have NQDC plan for the year-ended June 30, 2021. For additional information on the fair value hierarchy and the inputs used to measure fair value, see Note 5, Fair Value Measurements. Fair Value as of December 31, 2022 Fair Value as of December 31, 2021 (in thousands) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Corporate-owned life insurance policies (1) - 1,238 - 1,238 - 304 - 304 Non-qualified deferred compensation plan liability - 1,348 - 1,348 - 262 - 262 (1) The corporate-owned life insurance contracts are recorded at cash surrender value, which is provided by a third party and reflects the net asset value of the underlying publicly traded mutual funds and are categorized as Level 2. (2) Non-qualified deferred compensation plan liability is measured at fair value based on quoted prices of identical instruments to the investment vehicles selected by the participants. |
Summary of Eligible Share Award Activity | The following table summarizes the eligible share award activity as of December 31, 2022. There was no activity as of December 31, 2021 and June 30, 2021. As of (in thousands) December 31, 2022 Non-qualified deferred compensation share awards: Balance at inception/beginning of period - Change in classification of deferred compensation share awards 192 Share-based compensation expense 471 Change in redemption value 21 Vesting of share awards held by NDQC (127 ) Ending Balance 557 |
Deed of Cross Guarantee (Tables
Deed of Cross Guarantee (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Guarantees [Abstract] | |
Consolidated Income Statement Of The Parties To The Deed | The financial statements below are additional disclosure items specifically required by the Australian Securities and Investments Commission and represent the consolidated financial statements of the entities that are party to the Deed only (being the ‘closed group’ and also the ‘extended closed group’ under the Deed). Year-ended (in thousands) December 31, 2022 Revenues $ 568 Cost of sales (243 ) Gross profit 325 Operating Expenses: Sales and marketing expenses (231 ) General and administrative expenses (14 ) Product development expense (9 ) Total operating expenses (254 ) Other Income 1 Net loss $ 72 |
Consolidated Balance Sheet Of The Parties To The Deed | As of (in thousands) December 31, 2022 ASSETS Cash $ 337 Accounts receivable, net 2 Prepaids and other current assets 1,440 Inventory 46 Total assets 1,825 LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable and accrued liabilities 7 Accrued wages and fringe benefits 75 Other current liabilities 1,728 Total liabilities 1,810 Contributed equity 232,747 Reserves 31,476 Accumulated deficit (264,208 ) Total stockholders' equity (deficit) 15 Total liabilities and stockholders' equity (deficit) $ 1,825 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) | 6 Months Ended | 12 Months Ended | |||
Jul. 31, 2020 | Dec. 31, 2021 USD ($) | Dec. 31, 2022 USD ($) PerformanceObligation | Jun. 30, 2021 USD ($) | Jun. 30, 2020 USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |||||
Gain (loss) on foreign currency transactions | $ 72,000 | $ 85,000 | $ (228,000) | ||
Contract description | For revenues related to the BARDA contract within the scope of ASC 606, the Company identified two performance obligations (i) the procurement of 5,614 RECELL units, (ii) emergency preparedness services. | ||||
Cash at deposit institutions | 4,400,000 | $ 4,100,000 | 54,200,000 | ||
Cash in foreign institutions | 203,000 | 737,000 | 273,000 | ||
Cash equivalents held | 51,100,000 | 14,100,000 | 56,500,000 | ||
Restricted cash | 201,000 | 201,000 | |||
Allowance for doubtful accounts | 28,000 | $ 24,000 | 30,000 | $ 18,000 | |
Lease renewal period | 3 years | ||||
Capitalized patent costs | 673,000 | $ 558,000 | 700,000 | ||
Impairment of intangible assets | $ 42,000 | ||||
Impairment, Intangible Asset, Indefinite-Lived (Excluding Goodwill), Statement of Income or Comprehensive Income [Extensible Enumeration] | Operating Income Loss | ||||
Impairments of long-lived assets | 0 | 0 | |||
Advertising expenses | $ 16,000 | 216,000 | $ 73,000 | ||
Expected dividends | $ 0 | ||||
Contractual term | 10 years | ||||
Deferred Compensation Plans | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Employer matching contributions, Vesting period | 2 years | ||||
Vesting on Year One | Deferred Compensation Plans | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Employer matching contributions, Vesting percentage | 25% | ||||
Vesting on Year Two | Deferred Compensation Plans | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Employer matching contributions, Vesting percentage | 75% | ||||
Accounts Receivable | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Concentration risk, customer | one | one | no | ||
Accounts Receivable | Customer Concentration Risk | Commercial Customer | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Concentration risk, percentage | 10% | 10% | 10% | ||
Revenue Benchmark | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Concentration risk, customer | no | one | no | ||
Revenue Benchmark | Customer Concentration Risk | Commercial Customer | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Concentration risk, percentage | 10% | 10% | 10% | ||
Minimum | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Revenue, performance obligation, description of payment terms | 30 days | ||||
Remaining lease terms | 1 year | ||||
Estimated useful lives of intangible assets | 3 years | ||||
Contractual term | 5 years | 5 years | 5 years | ||
Minimum | Property, Plant and Equipment | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | three years | ||||
Maximum | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Revenue, performance obligation, description of payment terms | 90 days | ||||
Remaining lease terms | 2 years | ||||
Estimated useful lives of intangible assets | 20 years | ||||
Contractual term | 10 years | 9 years 9 months 18 days | 10 years | ||
Maximum | Property, Plant and Equipment | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | seven years | ||||
BARDA | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Number of performance obligations | PerformanceObligation | 2 | ||||
Total transaction price of contract | $ 9,200,000 | ||||
BARDA | Revenue Benchmark | Customer Concentration Risk | Commercial Customer | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Concentration risk, percentage | 1% | 1% | 27% | ||
BARDA | Accounts Receivable Revenue | Customer Concentration Risk | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Concentration risk, percentage | 3% | 2% | 91% | ||
RECELL system | BARDA | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Number of units will be delivered | 5,614 | ||||
Transaction price allocated on a stand alone selling price basis | $ 7,600,000 | ||||
Emergency Deployment | BARDA | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Transaction price allocated on a stand alone selling price basis | 1,600,000 | ||||
General and Administrative Expense | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Gain (loss) on foreign currency transactions | $ 37,000 | (6,000) | $ (131,000) | ||
General and Administrative Expense | Non-US | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Gain (loss) on foreign currency transactions | $ 35,000 | 91,000 | $ (97,000) | ||
Revenue | RECELL system | BARDA | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Transaction price allocated on a stand alone selling price basis | $ 1,600,000 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of Other Receivables (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Other Receivables Net Current [Abstract] | |||
BARDA procurement and emergency preparedness services | $ 16 | $ 9 | $ 3,583 |
BARDA expense reimbursements | 882 | 299 | 353 |
Total | $ 898 | $ 308 | $ 3,936 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Summary of Allowance for Doubtful Account (Detail) - USD ($) | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Allowance For Credit Loss [Abstract] | |||
Allowance for doubtful accounts, at beginning of year | $ 30,000 | $ 28,000 | $ 18,000 |
Bad debt expense | 2,000 | 5,000 | 12,000 |
Deductions | (4,000) | (9,000) | |
Allowance for doubtful accounts, at end of year | $ 28,000 | $ 24,000 | $ 30,000 |
Marketable Securities - Summary
Marketable Securities - Summary of Amortized Cost and Estimates Fair Values of Debt Securities Available for Sale (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost, Current marketable securities | $ 61,601 | $ 29,656 |
Gross Unrealized Holding Gains, Current marketable securities | 1 | |
Gross Unrealized Holding Losses, Current marketable securities | (424) | (7) |
Carrying Value, Current marketable securities | 61,178 | 29,649 |
Amortized Cost, Long-term marketable securities | 6,933 | 19,789 |
Gross Unrealized Holding Gains, Long-term marketable securities | 7 | |
Gross Unrealized Holding Losses, Long-term marketable securities | (10) | (97) |
Carrying Value, Long-term marketable securities | 6,930 | 19,692 |
Money Market Funds | Cash Equivalents | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 14,089 | 51,112 |
Carrying Value | 14,089 | 51,112 |
U.S Treasury Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost, Current marketable securities | 43,092 | |
Gross Unrealized Holding Gains, Current marketable securities | 1 | |
Gross Unrealized Holding Losses, Current marketable securities | (393) | |
Carrying Value, Current marketable securities | 42,700 | |
Amortized Cost, Long-term marketable securities | 2,416 | 18,043 |
Gross Unrealized Holding Losses, Long-term marketable securities | (6) | (89) |
Carrying Value, Long-term marketable securities | 2,410 | 17,954 |
Commercial Paper | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost, Current marketable securities | 12,743 | 19,586 |
Carrying Value, Current marketable securities | 12,743 | 19,586 |
Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost, Current marketable securities | 3,865 | 7,068 |
Gross Unrealized Holding Losses, Current marketable securities | (23) | (7) |
Carrying Value, Current marketable securities | 3,842 | 7,061 |
Amortized Cost, Long-term marketable securities | 1,746 | |
Gross Unrealized Holding Losses, Long-term marketable securities | (8) | |
Carrying Value, Long-term marketable securities | 1,738 | |
Asset-backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost, Current marketable securities | 3,002 | |
Carrying Value, Current marketable securities | $ 3,002 | |
Amortized Cost, Long-term marketable securities | 3,568 | |
Gross Unrealized Holding Gains, Long-term marketable securities | 7 | |
Gross Unrealized Holding Losses, Long-term marketable securities | (3) | |
Carrying Value, Long-term marketable securities | 3,572 | |
U.S Government Agency Obligations | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost, Current marketable securities | 1,901 | |
Gross Unrealized Holding Losses, Current marketable securities | (8) | |
Carrying Value, Current marketable securities | 1,893 | |
Amortized Cost, Long-term marketable securities | 949 | |
Gross Unrealized Holding Losses, Long-term marketable securities | (1) | |
Carrying Value, Long-term marketable securities | $ 948 |
Marketable Securities - Summa_2
Marketable Securities - Summary of Maturities of Debt Securities Available for Sale (Detail) - Contractual Maturities - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule Of Available For Sale Securities [Line Items] | ||
Available for sale securities, Due in one year or less, Amortized cost | $ 61,601 | $ 29,656 |
Due after one year through three years | 6,933 | 19,789 |
Available for sale securities, Due in one year or less, Carrying value | 61,178 | 29,649 |
Due after one year through three years | $ 6,930 | $ 19,692 |
Marketable Securities - Additio
Marketable Securities - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | |
Schedule Of Available For Sale Securities [Line Items] | |||
Unrealized gain on marketable securities | $ 8,000 | $ 0 | |
Unrealized loss on marketable securities | 434,000 | 104,000 | |
Net unrealized loss on marketable securities | 426,000 | 104,000 | |
Credit loss recognized | 0 | 0 | |
Prepaids and Other Current Assets | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Accrued interest income | $ 168,000 | $ 72,000 | $ 0 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Financial Assets Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | $ 61,178 | $ 29,649 |
Total long-term marketable securities | 6,930 | 19,692 |
Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 61,178 | 29,649 |
Total long-term marketable securities | 6,930 | 19,692 |
Total marketable securities and cash equivalents | 82,197 | 100,453 |
Fair Value on Recurring Basis | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total marketable securities and cash equivalents | 14,089 | 51,112 |
Fair Value on Recurring Basis | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 61,178 | 29,649 |
Total long-term marketable securities | 6,930 | 19,692 |
Total marketable securities and cash equivalents | 68,108 | 49,341 |
Money Market Funds | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 14,089 | 51,112 |
Money Market Funds | Fair Value on Recurring Basis | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 14,089 | 51,112 |
U.S Treasury Securities | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 42,700 | |
Total long-term marketable securities | 2,410 | 17,954 |
U.S Treasury Securities | Fair Value on Recurring Basis | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 42,700 | |
Total long-term marketable securities | 2,410 | 17,954 |
Commercial Paper | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 12,743 | 19,586 |
Commercial Paper | Fair Value on Recurring Basis | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 12,743 | 19,586 |
Asset-backed Securities | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 3,572 | 3,002 |
Asset-backed Securities | Fair Value on Recurring Basis | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 3,572 | 3,002 |
Corporate Debt Securities | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 3,842 | 7,061 |
Total long-term marketable securities | 1,738 | |
Corporate Debt Securities | Fair Value on Recurring Basis | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 3,842 | 7,061 |
Total long-term marketable securities | $ 1,738 | |
US Government Corporations and Agencies Securities | Fair Value on Recurring Basis | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 1,893 | |
Total long-term marketable securities | 948 | |
US Government Corporations and Agencies Securities | Fair Value on Recurring Basis | Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total short-term marketable securities | 1,893 | |
Total long-term marketable securities | $ 948 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) | Feb. 01, 2023 | Aug. 31, 2021 |
Leases [Abstract] | ||
Increase in operating lease ROU assets and operating lease liabilities | $ 392,000 | |
Average monthly base rent charge | $ 37,000 | |
Lessee, operating lease, extended term | 39 months |
Leases - Summary Of Lease Cost
Leases - Summary Of Lease Cost (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Lease Cost [Abstract] | |||
Operating lease cost | $ 284 | $ 775 | $ 731 |
Variable lease cost | 25 | 51 | 48 |
Total lease cost | $ 309 | $ 826 | $ 779 |
Leases - Summary Of Supplementa
Leases - Summary Of Supplemental Cash Flow Information Related To Operating Leases (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Disclosure Of Supplemental Cash Flow Information Related To Operating Leases [Abstract] | |||
Operating cash outflows from operating leases | $ 288 | $ 803 | $ 735 |
Leases - Summary Of Supplemen_2
Leases - Summary Of Supplemental Balance Sheet Information Related To Operating Leases (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Disclosure Of Supplemental Balance Sheet Information Related To Operating Leases [Abstract] | |||
Operating lease right-of-use assets | $ 851 | $ 1,544 | $ 1,480 |
Total right-of-use assets | 851 | 1,544 | 1,480 |
Operating lease liabilities, short-term | $ 612 | $ 720 | $ 702 |
Operating Lease Liability Current Statement Of Financial Position Extensible List | Other current liabilities | Other current liabilities | Other current liabilities |
Operating lease liabilities, long term | $ 306 | $ 918 | $ 878 |
Total operating lease liabilities | $ 918 | $ 1,638 | $ 1,580 |
Operating lease weighted average remaining lease term (years) | 1 year 5 months 8 days | 2 years 3 months 18 days | 2 years 8 months 1 day |
Operating lease weighted average discount rate | 6.71% | 6.51% | 6.70% |
Leases - Summary Of Maturities
Leases - Summary Of Maturities Of The Company's Operating Lease Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Operating Lease Liabilities Payments Due [Abstract] | |||
2023 | $ 649 | ||
2024 | 314 | ||
Total lease payments | 963 | ||
Less imputed interest | (45) | ||
Total operating lease liabilities | $ 918 | $ 1,638 | $ 1,580 |
Inventory - Summary Of Composit
Inventory - Summary Of Composition Of Inventories (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Inventory Disclosure [Abstract] | |||
Raw materials | $ 1,131 | $ 1,222 | $ 982 |
Work in process | 384 | 176 | 241 |
Finished goods | 610 | 734 | 424 |
Total inventory | $ 2,125 | $ 2,132 | $ 1,647 |
Inventory - Additional Informat
Inventory - Additional Information (Detail) - USD ($) | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Inventory Disclosure [Abstract] | |||
Inventory impairments | $ 44,000 | $ 375,000 | $ 226,000 |
Intangible Assets - Summary Of
Intangible Assets - Summary Of Composition Of Intangible Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | |
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Finite Lived Intangible Assets, Accumulated Amortization | $ (93) | $ (230) | $ (228) |
Finite Lived Intangible Assets, Net Carrying Amount | 411 | ||
Gross Amount | 558 | 673 | 700 |
Intangible assets, net | 465 | 443 | 472 |
Intangible Assets, Net (Excluding Goodwill) | 465 | 443 | 472 |
Trademarks | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Indefinite-lived Intangible Assets (Excluding Goodwill) | $ 54 | 50 | 47 |
Patent 1 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 2 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 17 | 209 | 264 |
Finite Lived Intangible Assets, Accumulated Amortization | (16) | (182) | (190) |
Finite Lived Intangible Assets, Net Carrying Amount | $ 1 | 27 | 74 |
Patent 2 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 13 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 137 | 123 | 138 |
Finite Lived Intangible Assets, Accumulated Amortization | (28) | (18) | (16) |
Finite Lived Intangible Assets, Net Carrying Amount | $ 109 | 105 | 122 |
Patent 3 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 14 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 194 | 192 | 163 |
Finite Lived Intangible Assets, Accumulated Amortization | (39) | (25) | (19) |
Finite Lived Intangible Assets, Net Carrying Amount | $ 155 | 167 | 144 |
Patent 5 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 19 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 89 | 46 | 46 |
Finite Lived Intangible Assets, Accumulated Amortization | (6) | (3) | (2) |
Finite Lived Intangible Assets, Net Carrying Amount | $ 83 | 43 | 44 |
Patent 6 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 20 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 43 | 39 | 39 |
Finite Lived Intangible Assets, Accumulated Amortization | (4) | (2) | (1) |
Finite Lived Intangible Assets, Net Carrying Amount | $ 39 | 37 | 38 |
Patent 7 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 13 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 2 | 2 | |
Finite Lived Intangible Assets, Net Carrying Amount | $ 2 | 2 | |
Patent 8 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 19 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 13 | 3 | 3 |
Finite Lived Intangible Assets, Net Carrying Amount | $ 13 | 3 | $ 3 |
Patent 10 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 19 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 3 | 3 | |
Finite Lived Intangible Assets, Net Carrying Amount | $ 3 | 3 | |
Patent 11 | |||
Schedule Of Intangible Assets Excluding Goodwill [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 19 years | ||
Finite Lived Intangible Assets, Gross Amount | $ 6 | 6 | |
Finite Lived Intangible Assets, Net Carrying Amount | $ 6 | $ 6 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
Impairment of intangible assets | $ 42,000 | $ 0 | $ 0 |
Amortization of intangible assets | $ 56,000 | $ 58,000 | $ 109,000 |
Intangible Assets - Summary o_2
Intangible Assets - Summary of Future Amortization of Amortizable Intangible assets held (Detail) $ in Thousands | Dec. 31, 2022 USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2023 | $ 34 |
2024 | 33 |
2025 | 33 |
2026 | 33 |
2027 | 33 |
Thereafter | 245 |
Finite Lived Intangible Assets, Net Carrying Amount | $ 411 |
Property and Equipment, net - S
Property and Equipment, net - Summary Of Composition Of Property And Equipment (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Less: accumulated amortization and depreciation | $ (2,152) | $ (1,695) | $ (1,421) |
Total plant and equipment, net | $ 1,200 | 1,262 | 1,458 |
Computer Equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Useful Life | 3 years | ||
Property, Plant and Equipment, Gross | $ 755 | 740 | 722 |
Computer Software | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Useful Life | 3 years | ||
Property, Plant and Equipment, Gross | $ 871 | 811 | 775 |
Construction In Progress | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $ 258 | 29 | 48 |
Furniture And Fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Useful Life | 7 years | ||
Property, Plant and Equipment, Gross | $ 439 | 440 | 440 |
Laboratory Equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Useful Life | 5 years | ||
Property, Plant and Equipment, Gross | $ 643 | 566 | 523 |
Leasehold Improvements | |||
Property, Plant and Equipment [Line Items] | |||
Useful Lives | Lesser of life or lease term | ||
Property, Plant and Equipment, Gross | $ 257 | 242 | 242 |
RECELL Moulds | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Useful Life | 5 years | ||
Property, Plant and Equipment, Gross | $ 129 | $ 129 | $ 129 |
Property and Equipment, net - A
Property and Equipment, net - Additional Information (Detail) - USD ($) | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Property Plant And Equipment [Abstract] | |||
Depreciation | $ 274,000 | $ 510,000 | $ 606,000 |
Prepaids and Other Current As_3
Prepaids and Other Current Assets and Other Long-Term Assets - Summary of Prepaids and Other Current Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Prepaids And Other Current Assets And Other Long Term Assets [Abstract] | |||
Prepaid expenses | $ 921 | $ 1,124 | $ 853 |
Lease deposits | 110 | 2 | |
Accrued investment income | 168 | 72 | |
BARDA contract costs | 252 | ||
Other receivables | 127 | 15 | 480 |
Total prepaids and other current assets | $ 1,578 | $ 1,213 | $ 1,333 |
Prepaids and Other Current As_4
Prepaids and Other Current Assets and Other Long-Term Assets - Summary of Other Long Term Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Other Assets Noncurrent Disclosure [Abstract] | |||
BARDA contract costs | $ 504 | $ 613 | |
Long-term lease deposits | $ 25 | 124 | 126 |
Long-term prepaids | 97 | 10 | 22 |
Total other long-term assets | $ 122 | $ 638 | $ 761 |
Prepaids and Other Current As_5
Prepaids and Other Current Assets and Other Long-Term Assets - Summary of Other Current Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Other Liabilities Current [Abstract] | |||
Operating lease liabilities, short-term | $ 612 | $ 720 | $ 702 |
Other current liabilities | 262 | 355 | 170 |
BARDA deferred costs | 194 | 77 | |
Total other current liabilities | $ 1,068 | $ 1,075 | $ 949 |
Reporting Segment and Geograp_3
Reporting Segment and Geographic Information - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2022 Segment | |
Segment Reporting [Abstract] | |
Number of reporting segment | 1 |
Reporting Segment and Geograp_4
Reporting Segment and Geographic Information - Schedule Of Revenue By Region and Customer Type/Cost of Sales By Customer Type (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Revenue: | |||
Revenues | $ 13,956 | $ 34,421 | $ 29,232 |
Cost of sales | |||
Cost of sales | 1,905 | 6,041 | 5,949 |
Cost of sales | (278) | 130 | 343 |
Commercial Sales | |||
Revenue: | |||
Revenues | 13,771 | 34,051 | 21,483 |
Product Sales | |||
Revenue: | |||
Revenues | 7,595 | ||
Services For Emergency Preparedness | |||
Revenue: | |||
Revenues | 185 | 370 | 154 |
Commercial Cost | |||
Cost of sales | |||
Cost of sales | 2,017 | 5,573 | 3,931 |
Product Cost | |||
Cost of sales | |||
Cost of sales | (278) | 130 | 1,889 |
Emergency Preparedness Service Cost | |||
Cost of sales | |||
Cost of sales | 166 | 338 | 129 |
United States | |||
Revenue: | |||
Revenues | 13,764 | 33,257 | 28,955 |
Foreign | Japan | |||
Revenue: | |||
Revenues | 729 | ||
Foreign | Australia | |||
Revenue: | |||
Revenues | 136 | 275 | 207 |
Foreign | United Kingdom | |||
Revenue: | |||
Revenues | $ 56 | $ 160 | $ 70 |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) | Dec. 31, 2022 USD ($) |
Threatened Litigation | |
Litigation liability | $ 0 |
Common and Preferred Stock - Ad
Common and Preferred Stock - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Mar. 01, 2021 | Jun. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2020 | |
Class Of Stock [Line Items] | |||||
Common stock shares authorized | 200,000,000 | 200,000,000 | 200,000,000 | ||
Common stock par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||
Preferred stock shares authorized | 10,000,000 | 10,000,000 | 10,000,000 | ||
Preferred stock par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||
Common stock shares issued | 24,895,864 | 25,208,436 | 24,925,743 | 24,925,743 | |
Common stock shares outstanding | 24,895,864 | 25,208,436 | 24,925,743 | ||
Preferred stock shares outstanding | 0 | 0 | 0 | ||
Stock issued during period, value, new issues | $ 69,106 | ||||
Common Stock | |||||
Class Of Stock [Line Items] | |||||
Stock issued during period, shares, new issues | 3,214,250 | 3,214,250 | |||
Sale of stock issue price per share | $ 21.50 | ||||
Stock issued during period, value, new issues | $ 69,100 | ||||
Capital issuance expenses | $ 5,100 | ||||
Shareholders Of Avita Medical | ADRS | |||||
Class Of Stock [Line Items] | |||||
Reverse stock split ratio, description | One share of common stock on Nasdaq is equivalent to five CDIs on the ASX. |
Revenue - Additional Informatio
Revenue - Additional Information (Detail) | 6 Months Ended | 12 Months Ended | ||
Jul. 31, 2020 | Dec. 31, 2021 USD ($) | Dec. 31, 2022 USD ($) PerformanceObligation | Jun. 30, 2021 USD ($) | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Contract description | For revenues related to the BARDA contract within the scope of ASC 606, the Company identified two performance obligations (i) the procurement of 5,614 RECELL units, (ii) emergency preparedness services. | |||
Capiitalized fulfilment costs | $ 504,000 | $ 613,000 | ||
Performance obligation estimated revenue expected to be recognised | 952,000 | $ 698,000 | 1,100,000 | |
Contract liabilities | 952,000 | 698,000 | 1,075,000 | |
Contract with customer assets | 0 | 0 | ||
Contract with customers non current liability | 952,000 | 698,000 | 1,075,000 | |
Contract cost amortization | 167,000 | 338,000 | 129,000 | |
Contract cost impairment loss | 0 | 0 | 0 | |
Cost of Sales | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Contract cost amortization | 167,000 | 338,000 | 129,000 | |
Other Current Assets | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Capiitalized fulfilment costs | $ 252,000 | |||
Other Long-term Assets | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Capiitalized fulfilment costs | 504,000 | 613,000 | ||
BARDA | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Contract description | For the contract with BARDA, the Company identified two performance obligations (i) the procurement of 5,614 RECELL units, (ii) emergency preparedness services. | |||
Number of performance obligations | PerformanceObligation | 2 | |||
Contract with customer liability revenue recognized | 185,000 | $ 370,000 | ||
BARDA | Other Current Liabilities | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Deferred cost current | 0 | 194,000 | 77,000 | |
BARDA | Other Long-term Liabilities | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Deferred cost non current | 64,000 | 0 | 266,000 | |
BARDA | RECELL system | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Number of units will be delivered | 5,614 | |||
Product replacement obligation cost | 0 | |||
Deferred cost | 64,000 | 194,000 | 343,000 | |
Services recognised | 185,000 | 370,000 | 154,000 | |
Contract liabilities | 517,000 | 274,000 | 665,000 | |
Contract with customers non current liability | 517,000 | 274,000 | 665,000 | |
COSMOTEC | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Contract with customer liability revenue recognized | 0 | 11,000 | 0 | |
COSMOTEC | RECELL system | Contract Liabilities | ||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||||
Performance obligation estimated revenue expected to be recognised | $ 435,000 | $ 424,000 | $ 435,000 |
Share-Based Payment Plans - Add
Share-Based Payment Plans - Additional Information (Detail) - USD ($) | 1 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
Dec. 12, 2022 | Jun. 01, 2022 | Dec. 22, 2021 | Jun. 30, 2020 | Nov. 30, 2019 | Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | Nov. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share-based compensation | $ 3,588,000 | $ 6,998,000 | $ 5,664,000 | ||||||
Income tax benefit (expense) | 0 | 0 | 0 | ||||||
Proceeds from exercise of stock options | $ 7,000 | $ 900,000 | $ 63,000 | ||||||
Share based compensation by share based payment arrangement other than option weighted average grant date fair value | $ 5.28 | ||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 384,806 | ||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, vested | 132,568 | ||||||||
Milestone performance awards to CEO | 297,490 | 460,518 | |||||||
Milestone performance awards to CEO | 1,756,720 | 2,235,446 | |||||||
Contractual term | 10 years | ||||||||
Performance Based Share Options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 599,994 | 511,194 | |||||||
Contractual term | 10 years | ||||||||
Market Awards | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 27,600 | ||||||||
Contractual term | 10 years | ||||||||
Restricted Stock Units (RSUs) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement other than option weighted average grant date fair value | $ 13.57 | $ 5.28 | $ 22.65 | ||||||
Share based compensation by share based payment arrangement other than options total fair value of shares vested | $ 599,000 | $ 894,000 | $ 4,900,000 | ||||||
Unrecognized share based compensation compensation expense relating to RSUs | $ 1,900,000 | ||||||||
Non Options Service Based Restricted Stock Units | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Unrecognized share based compensation compensation expense relating to stock options weighted average period of recognition | 1 year 6 months 10 days | ||||||||
Unrecognized share based compensation compensation expense relating to RSUs | $ 1,600,000 | ||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 384,806 | ||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, vested | 75,041 | ||||||||
Milestone performance awards to CEO | 114,757 | 394,872 | |||||||
Non Option Performance Based Restricted Stock Units | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Unrecognized share based compensation compensation expense relating to RSUs | $ 341,000 | ||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, vested | 57,527 | ||||||||
Milestone performance awards to CEO | 135,093 | 65,646 | |||||||
Non Option Market Condition | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Unrecognized share based compensation compensation expense relating to stock options weighted average period of recognition | 1 year 6 months 3 days | ||||||||
Milestone performance awards to CEO | 47,640 | ||||||||
2020 Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement contractual term of awards | 10 years | ||||||||
Share based compensation by share based payment arrangement vesting period | 4 years | ||||||||
2020 Plan | Vesting Period One | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting percentage | 25% | ||||||||
2020 Plan | Vesting Period Two | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting percentage | 25% | ||||||||
2020 Plan | Vesting Period Three | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting percentage | 25% | ||||||||
2020 Plan | Vesting Period Four | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting percentage | 25% | ||||||||
2020 Plan | Common Stock [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement number of shares authorised for issuance | 1,750,000 | ||||||||
Employee Share Plan And Incentive Option Plan Two Thousand And Sixteen | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Reverse stock split | reverse stock split of 100:1 | ||||||||
Share based compensation by share based payment arrangement weighted average grant date of fair value of options granted | $ 10.35 | $ 4.64 | $ 14.08 | ||||||
Share based compensation by share based payment arrangement intrinsic value of options exercised | $ 13,000 | $ 179,000 | $ 221,000 | ||||||
Proceeds from exercise of stock options | $ 7,000 | 900,000 | $ 63,000 | ||||||
Unrecognized share based compensation compensation expense relating to stock options | 5,400,000 | ||||||||
Employee Share Plan And Incentive Option Plan Two Thousand And Sixteen | Service Only | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Unrecognized share based compensation compensation expense relating to stock options | $ 4,300,000 | ||||||||
Unrecognized share based compensation compensation expense relating to stock options weighted average period of recognition | 1 year 7 months 24 days | ||||||||
Employee Share Plan And Incentive Option Plan Two Thousand And Sixteen | Performance Based Share Options | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Unrecognized share based compensation compensation expense relating to stock options | $ 1,100,000 | ||||||||
Unrecognized share based compensation compensation expense relating to stock options weighted average period of recognition | 1 year 7 months 6 days | ||||||||
Employee Share Plan And Incentive Option Plan Two Thousand And Sixteen | Restricted Stock Units (RSUs) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement contractual term of awards | 10 years | ||||||||
Long Term Incentive Plan | Restricted Stock Units (RSUs) | Chief Executive Officer | |||||||||
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 | 395,542 | ||||||||
Long Term Incentive Plan | Restricted Stock Units (RSUs) | Chief Executive Officer | Service Based Milestone | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting period | 3 years | ||||||||
Tenure RSU awards to CEO | 142,521 | ||||||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, vested | 47,507 | ||||||||
Long Term Incentive Plan | Restricted Stock Units (RSUs) | Chief Executive Officer | Patient Visit For Treatment And Regulatory Approval | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO on Nov 2019 | 253,021 | ||||||||
2021 AGM Awards | Chief Executive Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting percentage | 25% | ||||||||
Aggregate number of options and RSU | 150,480 | ||||||||
Tenure awards to CEO | 37,600 | ||||||||
Tenure option awards to CEO | 13,800 | ||||||||
2021 AGM Awards | Performance Based Share Options | Chief Executive Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 37,640 | ||||||||
Milestone performance awards to CEO | 13,800 | ||||||||
2021 AGM Awards | Performance Based Share Options | Chief Executive Officer | Share-Based Payment Arrangement, Tranche One | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 6,900 | ||||||||
Description of the milestone to be achieved for vesting of restricted stock awards | Performance condition for 11,920 RSUs and 6,900 options was met during fiscal year 2022. RSUs for vested shares were appropriately released. Vested and unexercised options expired 3 months subsequent to termination of employment. | ||||||||
2021 AGM Awards | Performance Based Share Options | Chief Executive Officer | Share-Based Payment Arrangement, Tranche Two | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 6,900 | ||||||||
Description of the milestone to be achieved for vesting of restricted stock awards | Performance condition for 11,920 RSUs and 6,900 options were not met. These awards were unvested as of the date of termination of the Former CEO’s employment. | ||||||||
2021 AGM Awards | Market Awards | Chief Executive Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 75,240 | ||||||||
Milestone performance awards to CEO | 27,600 | ||||||||
2021 AGM Awards | Restricted Stock Units (RSUs) | Chief Executive Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Tenure RSU awards to CEO | 23,800 | ||||||||
2021 AGM Awards | Non Option Performance Based Restricted Stock Units | Chief Executive Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 23,840 | ||||||||
2021 AGM Awards | Non Option Performance Based Restricted Stock Units | Chief Executive Officer | Share-Based Payment Arrangement, Tranche One | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 11,920 | ||||||||
2021 AGM Awards | Non Option Performance Based Restricted Stock Units | Chief Executive Officer | Share-Based Payment Arrangement, Tranche Two | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 11,920 | ||||||||
2021 AGM Awards | Non Option Market Condition | Chief Executive Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 47,640 | ||||||||
Two Thousand And Twenty One A G M Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 22,600 | ||||||||
Two Thousand And Twenty One A G M Plan | Board of Director | Service Period Milestone | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting period | 12 months | ||||||||
Aggregate number of options and RSU | 68,600 | ||||||||
Tenure awards to Board of Director | 41,400 | ||||||||
Tenure option awards to Board of Director | 15,300 | ||||||||
Tenure awards granted to Board of Director | 6,900 | ||||||||
Tenure option awards granted to Board of Director | 2,550 | ||||||||
Two Thousand And Twenty One A G M Plan | Board of Director | Vesting Percentage Milestone | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting percentage | 33.33% | ||||||||
Tenure awards to Board of Director | 27,200 | ||||||||
Tenure option awards to Board of Director | 9,850 | ||||||||
Tenure awards granted to Board of Director | 13,600 | ||||||||
Tenure option awards granted to Board of Director | 4,925 | ||||||||
Two Thousand And Twenty One A G M Plan | Restricted Stock Units (RSUs) | Board of Director | Service Period Milestone | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Tenure RSU awards to Board of Director | 26,100 | ||||||||
Tenure RSU awards granted to Board of Director | 4,350 | ||||||||
Two Thousand And Twenty One A G M Plan | Restricted Stock Units (RSUs) | Board of Director | Vesting Percentage Milestone | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Tenure RSU awards to Board of Director | 17,350 | ||||||||
Tenure RSU awards granted to Board of Director | 8,675 | ||||||||
2021 AGM Awards | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 247,876 | ||||||||
2021 AGM Awards | Chief Executive Officer | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting percentage | 25% | ||||||||
Milestone performance awards to CEO | 226,296 | ||||||||
2021 AGM Awards | Board of Director | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation by share based payment arrangement vesting period | 12 months | ||||||||
Aggregate number of options and RSU | 71,936 | ||||||||
Milestone performance awards to CEO | 21,580 | ||||||||
Tenure awards to Board of Director | 17,984 | ||||||||
Tenure option awards to Board of Director | 5,359 | ||||||||
2021 AGM Awards | Restricted Stock Units (RSUs) | Board of Director | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Milestone performance awards to CEO | 50,356 | ||||||||
Tenure RSU awards to Board of Director | 12,589 |
Share-Based Payment Plans - Sum
Share-Based Payment Plans - Summary Of Company Share Based Award Plans (Detail) - shares | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule Of Company Stock Based Award Plans [Line Items] | ||
Outstanding Options | 2,235,446 | 1,756,720 |
2016 Equity Incentive Plan | ||
Schedule Of Company Stock Based Award Plans [Line Items] | ||
Outstanding Options | 885,095 | |
2020 Equity Incentive Plan | ||
Schedule Of Company Stock Based Award Plans [Line Items] | ||
Outstanding Options | 1,079,875 | |
Outstanding Restricted Stock Units | 398,596 | |
Two Thousand And Twenty One A G M Plan | ||
Schedule Of Company Stock Based Award Plans [Line Items] | ||
Outstanding Options | 22,600 | |
Outstanding Restricted Stock Units | 11,566 | |
Shares available for future issuance | 244,675 | |
2021 AGM Awards | ||
Schedule Of Company Stock Based Award Plans [Line Items] | ||
Outstanding Options | 247,876 | |
Outstanding Restricted Stock Units | 50,356 |
Share-Based Payment Plans - S_2
Share-Based Payment Plans - Summary Of Stock-based Compensation Is Reflected In The Statements Of Operations (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Share-based Payment Arrangement, Expense | $ 3,588 | $ 6,998 | $ 5,664 |
Selling and Marketing Expense | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Share-based Payment Arrangement, Expense | 663 | 1,393 | 925 |
General and Administrative Expense | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Share-based Payment Arrangement, Expense | 2,318 | 4,668 | 4,095 |
Research and Development Expense | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Share-based Payment Arrangement, Expense | $ 607 | $ 937 | $ 644 |
Share-Based Payment Plans - S_3
Share-Based Payment Plans - Summary Of Share Option Activity (Detail) - USD ($) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning balance | 1,756,720 | |
Granted | 737,676 | |
Exercised | (150,125) | |
Expired | (17,325) | |
Forfeited | (91,500) | |
Ending balance | 1,756,720 | 2,235,446 |
Exercisable | 993,607 | |
Weighted Average exercise price beginning balance | $ 14.86 | |
Weighted Average exercise price granted | 5.57 | |
Weighted Average exercise price exercised | 5.99 | |
Weighted Average exercise price expired | 14.60 | |
Weighted Average exercise price forfeited | 12.95 | |
Weighted Average exercise price ending balance | $ 14.86 | 12.47 |
Weighted Average exercise price exercisable | $ 12.40 | |
Weighted average contractual term | 7 years 9 months 29 days | 7 years 8 months 15 days |
Weighted average contractual term in exercisable | 6 years 2 months 1 day | |
Aggregate intrinsic value | $ 5,118,309 | $ 1,530,263 |
Aggregate intrinsic value of exercisable | $ 587,632 | |
Service Only Share Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning balance | 1,129,126 | |
Granted | 737,676 | |
Exercised | (75,125) | |
Expired | (10,425) | |
Forfeited | (57,000) | |
Ending balance | 1,129,126 | 1,724,252 |
Exercisable | 682,749 | |
Performance Based Share Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning balance | 599,994 | |
Exercised | (75,000) | |
Expired | (6,900) | |
Forfeited | (6,900) | |
Ending balance | 599,994 | 511,194 |
Exercisable | 310,858 | |
Market Awards | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning balance | 27,600 | |
Forfeited | (27,600) | |
Ending balance | 27,600 |
Share-Based Payment Plans - S_4
Share-Based Payment Plans - Summary Of Company Unvested RSUs (Detail) | 12 Months Ended |
Dec. 31, 2022 $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested RSUs beginning balance | 297,490 |
Unvested RSUs granted | 384,806 |
Unvested RSUs vested | (132,568) |
Unvested RSUs forfeited | (89,210) |
Unvested RSUs ending balance | 460,518 |
Weighted average grant date fair value per unit beginning balance | $ / shares | $ 19.66 |
Weighted average grant date fair value per unit granted | $ / shares | 5.28 |
Weighted average grant date fair value per unit vested | $ / shares | 26.43 |
Weighted average grant date fair value per unit forfeited | $ / shares | 7.71 |
Weighted average grant date fair value per unit ending balance | $ / shares | $ 6.30 |
Non Options Service Based Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested RSUs beginning balance | 114,757 |
Unvested RSUs granted | 384,806 |
Unvested RSUs vested | (75,041) |
Unvested RSUs forfeited | (29,650) |
Unvested RSUs ending balance | 394,872 |
Non Option Performance Based Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested RSUs beginning balance | 135,093 |
Unvested RSUs vested | (57,527) |
Unvested RSUs forfeited | (11,920) |
Unvested RSUs ending balance | 65,646 |
Non Option Market Condition | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested RSUs beginning balance | 47,640 |
Unvested RSUs forfeited | (47,640) |
Unvested RSUs ending balance |
Share-based Payment Plans - S_5
Share-based Payment Plans - Summary of Valuation Assumptions Used in Share Options (Detail) | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Schedule Of Share Based Payment Award Stock Options Valuation Assumptions [Line Items] | |||
Expected volatility minimum | 68% | 72% | 65% |
Expected volatility maximum | 75% | 113% | 80% |
Weighted-average volatility | 69% | 103% | 73% |
Expected dividends | 0% | 0% | 0% |
Contractual term | 10 years | ||
Risk-free interest rate minimum | 0.88% | 1.42% | 0.77% |
Risk-free interest rate maximum | 1.46% | 3.94% | 1.64% |
Minimum | |||
Schedule Of Share Based Payment Award Stock Options Valuation Assumptions [Line Items] | |||
Contractual term | 5 years | 5 years | 5 years |
Maximum | |||
Schedule Of Share Based Payment Award Stock Options Valuation Assumptions [Line Items] | |||
Contractual term | 10 years | 9 years 9 months 18 days | 10 years |
Income Taxes - Geographic Sourc
Income Taxes - Geographic Sources of Loss Before Income Taxes (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (14,490) | $ (26,764) | $ (26,478) |
Foreign | 88 | 135 | (67) |
Loss before income taxes | $ (14,402) | $ (26,629) | $ (26,545) |
Income Taxes - Summary Of Incom
Income Taxes - Summary Of Income Tax Expense (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Current: | |||
State | $ 25 | $ 36 | $ 38 |
Total current | 25 | 36 | 38 |
Deferred: | |||
Total income tax expense | $ 25 | $ 36 | $ 38 |
Income Taxes - Summary of Provi
Income Taxes - Summary of Provision For Income Taxes (Parenthetical) (Detail) | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory income tax rate | 21% | 21% | 21% |
Income Taxes - Summary of Pro_2
Income Taxes - Summary of Provision For Income Taxes (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |||
Tax expense (benefit) at U.S. statutory rate | $ (3,024) | $ (5,592) | $ (5,574) |
State income taxes | 25 | 35 | 36 |
Foreign rate differential | 5 | 5 | (5) |
Share-based compensation | 997 | 719 | (27) |
Permanent differences | 29 | (30) | 233 |
Net change in valuation allowance | 1,993 | 4,899 | 5,375 |
Income tax expense (benefit) | $ 25 | $ 36 | $ 38 |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Income Tax (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Deferred tax liabilities | |||
ROU Asset | $ (229) | $ (404) | $ (389) |
Intangible assets | (11) | (25) | |
Property, plant and equipment | (5) | (5) | |
Total deferred tax liabilities | (240) | (434) | (394) |
Deferred tax assets | |||
Property, plant and equipment | 3 | ||
Accrued expenses | 1,833 | 1,151 | 686 |
Intangible assets | 262 | ||
Stock based compensation | 3,405 | 2,739 | 3,215 |
Lease liability | 247 | 428 | 415 |
Research and development | 2,215 | ||
Net operating loss carryforward | 48,413 | 46,918 | 44,282 |
Other | 630 | 483 | 609 |
Total deferred tax assets | 56,746 | 51,719 | 49,469 |
Less valuation allowance | (56,506) | (51,285) | (49,075) |
Net deferred tax assets | 240 | 434 | 394 |
Net deferred tax assets / (liabilities) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | |
Income Tax Disclosure [Line Items] | |||
Deferred tax assets valuation allowance | $ 56,506,000 | $ 51,285,000 | $ 49,075,000 |
Unrecognized income tax benefits | $ 0 | $ 0 | $ 0 |
Tax Cut And Jobs Act | |||
Income Tax Disclosure [Line Items] | |||
Percentage of tax amount likely to be realised | 50% | ||
Tax Year 2026 through 2038 | |||
Income Tax Disclosure [Line Items] | |||
Net operating loss carryforwards | $ 21,700,000 | ||
Earliest Tax Year | |||
Income Tax Disclosure [Line Items] | |||
Open tax year | 2026 | ||
Latest Tax Year | |||
Income Tax Disclosure [Line Items] | |||
Open tax year | 2038 | ||
Internal Revenue Service (IRS) | |||
Income Tax Disclosure [Line Items] | |||
Net operating loss carryforwards | $ 129,500,000 | ||
State and Local Jurisdiction | |||
Income Tax Disclosure [Line Items] | |||
Net operating loss carryforwards | 83,500,000 | ||
Her Majesty's Revenue and Customs (HMRC) | |||
Income Tax Disclosure [Line Items] | |||
Net operating loss carryforwards | 28,400,000 | ||
Australian Taxation Office | |||
Income Tax Disclosure [Line Items] | |||
Net operating loss carryforwards | $ 36,000,000 |
Loss per Share - Summary of Rec
Loss per Share - Summary of Reconciliation of The Basic And Diluted Loss Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |||
Net Loss | $ 14,427 | $ 26,665 | $ 26,583 |
Weighted-average common shares—outstanding, basic | 24,915,414 | 25,000,180 | 22,674,313 |
Weighted-average common shares—outstanding, diluted | 24,915,414 | 25,000,180 | 22,674,313 |
Net loss per common share, basic | $ 0.58 | $ 1.07 | $ 1.17 |
Net loss per common share, diluted | $ 0.58 | $ 1.07 | $ 1.17 |
Loss per Share - Additional Inf
Loss per Share - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2022 shares | |
Earnings Per Share [Abstract] | |
Common stock excluded from calculation of basic and diluted EPS | 17,927 |
Retirement Plans - Additional I
Retirement Plans - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined contribution plan employers matching contribution percentage of employees pay | 6% | |||
Employers contribution to retirement plan | $ 966,000 | $ 1,027,000 | $ 733,000 | |
Non-qualified deferred compensation liability | 262,000 | $ 1,270,000 | ||
Number of shares awards deferred, unvested | 253,048 | |||
Deferred compensation arrangement with individual, shares vested | 17,927 | 17,927 | ||
Deferred compensation arrangement with individual, vested redemption value | $ 127,000 | |||
Non-qualified Deferred Compensation Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Employer matching contributions, Vesting period | 2 years | |||
Employer contributions to deferred compensation plan | 16,000 | $ 258,000 | ||
Deferred compensation plan liability | 262,000 | 1,348,000 | ||
Non-qualified deferred compensation liability | $ 262,000 | 1,348,000 | ||
Non-qualified Deferred Compensation Plans | Non-qualified Deferred Compensation Liability | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Non-qualified deferred compensation liability | 1,270,000 | |||
Non-qualified Deferred Compensation Plans | Other Current Liabilities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Non-qualified deferred compensation liability | $ 78,000 | |||
Non-qualified Deferred Compensation Plans | Vesting on Year One | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Employer matching contributions, Vesting percentage | 25% | |||
Non-qualified Deferred Compensation Plans | Vesting on Year Two | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Employer matching contributions, Vesting percentage | 75% | |||
Non-qualified Deferred Compensation Plans | Minimum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined contribution plan employers matching contribution percentage of employees pay | 4% | |||
Non-qualified Deferred Compensation Plans | Maximum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined contribution plan employers matching contribution percentage of employees pay | 6% |
Retirement Plans - Summary of F
Retirement Plans - Summary of Fair Values of Company's Deferred Compensation Plan Assets and Liability (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Non-qualified deferred compensation liability | $ 1,270 | $ 262 | |
Non-qualified Deferred Compensation Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Corporate-owned life insurance policies | [1] | 1,238 | 304 |
Non-qualified deferred compensation liability | 1,348 | 262 | |
Non-qualified Deferred Compensation Plans | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Corporate-owned life insurance policies | [1] | 1,238 | 304 |
Non-qualified deferred compensation liability | $ 1,348 | $ 262 | |
[1]The corporate-owned life insurance contracts are recorded at cash surrender value, which is provided by a third party and reflects the net asset value of the underlying publicly traded mutual funds and are categorized as Level 2. |
Retirement Plans - Summary of E
Retirement Plans - Summary of Eligible Share Award Activity (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Change in classification of deferred compensation share awards | $ (192) | ||
Share-based compensation | $ 3,588 | 6,998 | $ 5,664 |
Non-qualified | Deferred Compensation Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Change in classification of deferred compensation share awards | 192 | ||
Share-based compensation | 471 | ||
Change in redemption value | 21 | ||
Vesting of share awards held by NDQC | (127) | ||
Ending Balance | $ 557 |
Deed of Cross Guarantee - Conso
Deed of Cross Guarantee - Consolidated Income Statement Of The Parties To The Deed (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2022 | Jun. 30, 2021 | |
Consolidated income statement of the parties to the deed [Line Items] | |||
Revenues | $ 13,956 | $ 34,421 | $ 29,232 |
Cost of sales | (1,905) | (6,041) | (5,949) |
Gross profit | 12,051 | 28,380 | 23,283 |
Operating Expenses: | |||
Sales and marketing expenses | (8,472) | (21,913) | (14,660) |
General and administrative expenses | (10,996) | (23,330) | (22,400) |
Product development expense | (7,586) | (13,857) | (14,818) |
Total operating expenses | (27,054) | (59,100) | (51,878) |
Net loss | $ (14,427) | (26,665) | $ (26,583) |
Avita Medical And Australian Wholly Owned Subsidaries Closed Group | |||
Consolidated income statement of the parties to the deed [Line Items] | |||
Revenues | 568 | ||
Cost of sales | (243) | ||
Gross profit | 325 | ||
Operating Expenses: | |||
Sales and marketing expenses | (231) | ||
General and administrative expenses | (14) | ||
Product development expense | (9) | ||
Total operating expenses | (254) | ||
Other Income | 1 | ||
Net loss | $ 72 |
Deed of Cross Guarantee - Con_2
Deed of Cross Guarantee - Consolidated Balance Sheet Of The Parties To The Deed (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Jun. 30, 2020 |
ASSETS | ||||
Cash and cash equivalents | $ 18,164 | $ 55,511 | $ 110,746 | |
Accounts receivable, net | 3,515 | 3,118 | 3,467 | |
Prepaids and other current assets | 1,578 | 1,213 | 1,333 | |
Inventory | 2,125 | 2,132 | 1,647 | |
Total assets | 98,264 | 116,015 | 125,501 | |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable and accrued liabilities | 3,002 | 2,708 | 3,120 | |
Accrued wages and fringe benefits | 6,623 | 5,363 | 3,321 | |
Other current liabilities | 1,068 | 1,075 | 949 | |
Total liabilities | 12,967 | 11,391 | 9,846 | |
Accumulated deficit | (262,588) | (235,923) | (221,496) | |
Total shareholders' equity | 84,740 | 104,624 | 115,655 | $ 72,401 |
Total liabilities and stockholders' equity (deficit) | 98,264 | $ 116,015 | $ 125,501 | |
Avita Medical And Australian Wholly Owned Subsidaries Closed Group | ||||
ASSETS | ||||
Cash and cash equivalents | 337 | |||
Accounts receivable, net | 2 | |||
Prepaids and other current assets | 1,440 | |||
Inventory | 46 | |||
Total assets | 1,825 | |||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable and accrued liabilities | 7 | |||
Accrued wages and fringe benefits | 75 | |||
Other current liabilities | 1,728 | |||
Total liabilities | 1,810 | |||
Contributed equity | 232,747 | |||
Reserves | 31,476 | |||
Accumulated deficit | (264,208) | |||
Total shareholders' equity | 15 | |||
Total liabilities and stockholders' equity (deficit) | $ 1,825 |