Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 25, 2019 | Jun. 30, 2018 | |
Document And Entity Information | |||
Entity Registrant Name | Accelerate Diagnostics, Inc. | ||
Entity Central Index Key | 727,207 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2018 | ||
Amendment Flag | false | ||
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 | Large Accelerated Filer | ||
Entity Shell Company | false | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | true | ||
Entity Public Float | $ 667.7 | ||
Entity Common Stock, Shares Outstanding | 54,426,623 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2,018 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 66,260 | $ 28,513 |
Investments | 100,218 | 80,648 |
Trade accounts receivable | 1,860 | 1,946 |
Inventory | 7,746 | 8,063 |
Prepaid expenses | 980 | 850 |
Other current assets | 576 | 468 |
Total current assets | 177,640 | 120,488 |
Property and equipment, net | 7,303 | 4,890 |
Intellectual property, net | 114 | 134 |
Other non-current assets | 208 | 0 |
Total assets | 185,265 | 125,512 |
Current liabilities: | ||
Accounts payable | 1,322 | 2,080 |
Accrued liabilities | 4,962 | 3,636 |
Accrued Interest | 1,262 | 0 |
Deferred revenue and income | 217 | 1,071 |
Total current liabilities | 7,763 | 6,787 |
Other long term liabilities | 53 | 21 |
Convertible notes | 120,074 | 0 |
Total liabilities | 127,890 | 6,808 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred shares, $0.001 par value | 0 | 0 |
Common stock, $0.001 par value | 54 | 56 |
Contributed capital | 432,885 | 360,620 |
Treasury stock | (45,067) | 0 |
Accumulated deficit | (330,348) | (241,972) |
Accumulated other comprehensive (loss) | (149) | 0 |
Total stockholders' equity | 57,375 | 118,704 |
Total liabilities and stockholders' equity | $ 185,265 | $ 125,512 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Preferred shares, par value (dollars per share) | $ 0.01 | $ 0.01 |
Preferred shares, shares authorized | 5,000,000 | 5,000,000 |
Preferred shares, shares issued | 0 | 0 |
Preferred shares, shares outstanding | 0 | 0 |
Common stock, par value (dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 75,000,000 | 75,000,000 |
Common stock, shares issued | 54,231,909 | 55,673,810 |
Common stock, shares outstanding | 54,231,909 | 55,673,810 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Statement [Abstract] | |||
Net sales | $ 5,670 | $ 4,177 | $ 246 |
Cost of sales | 3,187 | 1,002 | 0 |
Gross profit | 2,483 | 3,175 | 246 |
Costs and expenses: | |||
Research and development | 27,638 | 22,301 | 29,564 |
Sales, general and administrative | 55,214 | 45,058 | 37,183 |
Total costs and expenses | 82,852 | 67,359 | 66,747 |
Loss from operations | (80,369) | (64,184) | (66,501) |
Other income (expense): | |||
Interest expense | (10,113) | 0 | 0 |
Foreign currency exchange loss | (450) | (75) | (77) |
Interest and dividend income | 2,845 | 908 | 494 |
Interest expense | (28) | (184) | (23) |
Total other income (expense), net | (7,746) | 649 | 394 |
Net loss before income taxes | (88,115) | (63,535) | (66,107) |
Provision for income taxes | (211) | (493) | (267) |
Net loss | $ (88,326) | $ (64,028) | $ (66,374) |
Basic and diluted net loss per share (dollars per share) | $ (1.62) | $ (1.18) | $ (1.29) |
Weighted average shares outstanding (shares) | 54,494 | 54,073 | 51,276 |
Other comprehensive loss: | |||
Net loss | $ (88,326) | $ (64,028) | $ (66,374) |
Net unrealized gain (loss) on available-for-sale investments | 23 | (117) | (64) |
Foreign currency translation adjustment | (172) | 321 | (128) |
Comprehensive loss | $ (88,475) | $ (63,824) | $ (66,566) |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Contributed Capital | Accumulated Deficit | Treasury stock | Accumulated Other Comprehensive Income (Loss) |
Beginning Balance, amount at Dec. 31, 2015 | $ 133,018 | $ 51 | $ 243,894 | $ (110,915) | $ 0 | $ (12) |
Beginning Balance (shares) at Dec. 31, 2015 | 51,191,000 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net loss | (66,374) | (66,374) | ||||
Exercise of options, warrants and awards | 1,497 | $ 1 | 1,496 | |||
Exercise of options, warrants and awards (shares) | 314,000 | |||||
Issuance of common stock under employee purchase plan | 226 | 226 | ||||
Issuance of common stock under employee purchase plan (shares) | 11,000 | |||||
Short swing profits (net of costs) | 866 | 866 | ||||
Unrealized loss on available-for-sale securities | (64) | (64) | ||||
Foreign currency translation adjustment | (128) | (128) | ||||
Equity-based compensation | 8,775 | 8,775 | ||||
Ending Balance, amount at Dec. 31, 2016 | 77,816 | $ 52 | 255,257 | (177,289) | 0 | (204) |
Ending Balance (shares) at Dec. 31, 2016 | 51,516,000 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net loss | (64,028) | (64,028) | ||||
Issuance of common stock | 83,224 | $ 3 | 83,221 | |||
Issuance of common stock (shares) | 3,085,000 | |||||
Exercise of options, warrants and awards | $ 6,606 | $ 1 | 6,605 | |||
Exercise of options, warrants and awards (shares) | 656,846 | 1,045,000 | ||||
Issuance of common stock under employee purchase plan | $ 597 | 597 | ||||
Issuance of common stock under employee purchase plan (shares) | 28,000 | |||||
Unrealized loss on available-for-sale securities | (117) | (117) | ||||
Foreign currency translation adjustment | 321 | 321 | ||||
Equity-based compensation | 14,940 | 14,940 | ||||
Ending Balance, amount at Dec. 31, 2017 | 118,704 | $ 56 | 360,620 | (241,972) | 0 | 0 |
Ending Balance (shares) at Dec. 31, 2017 | 55,674,000 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Cumulative impact of accounting change | (655) | (655) | ||||
Net loss | (88,326) | (88,326) | ||||
Exercise of options, warrants and awards | $ 3,749 | $ 0 | 3,749 | |||
Exercise of options, warrants and awards (shares) | 357,373 | 382,000 | ||||
Issuance of common stock under employee purchase plan | $ 583 | 583 | ||||
Issuance of common stock under employee purchase plan (shares) | 35,000 | |||||
Unrealized loss on available-for-sale securities | 23 | 23 | ||||
Foreign currency translation adjustment | (172) | (172) | ||||
Repurchase of common stock under Prepaid Forward contract | $ (45,069) | $ (2) | (45,067) | |||
Repurchase of common stock under Prepaid Forward contract (shares) | (1,858,500) | (1,859,000) | ||||
Issuance of convertible note | $ 53,283 | 53,283 | ||||
Equity-based compensation | 14,650 | 14,650 | ||||
Ending Balance, amount at Dec. 31, 2018 | $ 57,375 | $ 54 | $ 432,885 | $ (330,348) | $ (45,067) | $ (149) |
Ending Balance (shares) at Dec. 31, 2018 | 54,232,000 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | |||
Net loss | $ (88,326) | $ (64,028) | $ (66,374) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Depreciation and amortization | 2,561 | 2,196 | 2,351 |
Amortization of investment discount | (621) | 326 | 374 |
Equity-based compensation | 14,422 | 13,933 | 8,775 |
Amortization of debt discount and issuance costs | 6,849 | 0 | 0 |
Realized gain on available-for-sale securities | 0 | 0 | (6) |
Loss on disposal of property and equipment | 678 | 240 | 23 |
(Increase) decrease in assets: | |||
Accounts receivable | 86 | (1,912) | 43 |
Inventory | (4,223) | (7,759) | 0 |
Prepaid expense and other assets | (250) | (459) | 1,121 |
Increase (decrease) in liabilities: | |||
Accounts payable | (748) | 1,064 | (1,242) |
Accrued liabilities | 1,426 | 596 | 1,619 |
Accrued interest | 1,262 | 0 | 0 |
Deferred revenue and income | (904) | 36 | (92) |
Deferred compensation | 32 | 21 | 0 |
Net cash used in operating activities | (67,756) | (55,746) | (53,408) |
Cash flows from investing activities: | |||
Purchases of equipment | (998) | (2,966) | (2,409) |
Purchase of marketable securities | (120,556) | (82,333) | (74,075) |
Proceeds from sales of marketable securities | 3,000 | 11,522 | 9,716 |
Maturities of marketable securities | 98,416 | 48,049 | 17,200 |
Net cash used in investing activities | (20,138) | (25,728) | (49,568) |
Cash flows from financing activities: | |||
Proceeds from exercise of warrants and options | 3,749 | 6,606 | 1,497 |
Common stock issuance cost | 0 | 0 | (814) |
Proceeds from issuance of common stocks and warrants | 583 | 83,821 | 226 |
Recovery of related party short-swing profits | 0 | 0 | 866 |
Payments on capital lease obligations | 0 | 0 | (13) |
Proceeds from issuance of convertible note | 171,500 | 0 | 0 |
Prepayment of forward stock repurchase transaction | (45,069) | 0 | 0 |
Payment of debt issuance costs | (4,992) | 0 | 0 |
Net cash provided by financing activities | 125,771 | 90,427 | 1,762 |
Effect of exchange rate on cash | (130) | 316 | (127) |
Increase (decrease) in cash and cash equivalents | 37,747 | 9,269 | (101,341) |
Cash and cash equivalents, beginning of period | 28,513 | 19,244 | 120,585 |
Cash and cash equivalents, end of period | 66,260 | 28,513 | 19,244 |
Non-cash investing activities: | |||
Transfer of instruments from inventory to property and equipment | 4,767 | 0 | 0 |
Interest Paid, Excluding Capitalized Interest, Operating Activities | 2,001 | 0 | 0 |
Income Taxes Paid | $ 651 | $ 0 | $ 0 |
Organization and Nature of Busi
Organization and Nature of Business; Basis of Presentation; Principles of Consolidation | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Business; Basis of Presentation; Principles of Consolidation | NOTE 1. ORGANIZATION AND NATURE OF BUSINESS; BASIS OF PRESENTATION; PRINCIPLES OF CONSOLIDATION Accelerate Diagnostics, Inc. (“we” or “us” or “our” or “Accelerate” or “the Company”) is an in vitro diagnostics company dedicated to providing solutions that improve patient outcomes and lower healthcare costs through the rapid diagnosis of serious infections. Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles, (“U.S. GAAP”), and applicable rules and regulations of the United States Securities and Exchange Commission (“SEC”), regarding annual financial reporting. All amounts are rounded to the nearest thousand dollars unless otherwise indicated. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries after elimination of intercompany transactions and balances. Reclassification Certain prior year amounts have been reclassified for consistency with the current year presentation and had no effect on our net income, stockholders’ equity or cash flows. In the current period presentation and the revised prior period presentation, depreciation and amortization expenses are reported as a component of the individual costs and expenses as part of the statements of operations and comprehensive loss. The amount of depreciation and amortization expenses now reported as a component of research and development costs for the years ended December 31, 2018 , 2017 and 2016 , were $0.8 million , $1.1 million and $1.4 million , respectively. The amount of depreciation and amortization expenses now reported as a component of sales, general and administrative costs for the years ended December 31, 2018 , 2017 and 2016 , were $1.2 million , $0.6 million and $1.0 million , respectively. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of the Company’s consolidated financial statements requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The more significant areas requiring the use of management estimates and assumptions relate to accounts receivable, inventory, property and equipment, intangible assets, accrued liabilities, warranty liabilities, tax valuation accounts and equity–based compensation. Actual results could differ materially from those estimates. Estimated Fair Value of Financial Instruments The Company follows ASC 820 , Fair Value Measurement, which has defined fair value and requires the Company to establish a framework for measuring fair value and disclose fair value measurements. The framework requires the valuation of assets and liabilities subject to fair value measurements using a three tiered approach and fair value measurement be classified and disclosed in one of the following three categories: • Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; • Level 2: Quoted prices for similar assets and liabilities in active markets, quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; • Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e. supported by little or no market activity). The carrying amounts of financial instruments such as cash and cash equivalents, trade accounts receivable, prepaid expenses, other current assets, accounts payable, accrued liabilities, and other current liabilities approximate the related fair values due to the short-term maturities of these instruments. See Note 5, Fair Value of Financial Instruments , for further information and related disclosures regarding the Company’s fair value measurements. The estimated fair value of the Company’s long-term debt represents a Level 2 measurement. See Note 11, Convertible Notes for further detail on the Company’s long-term debt. Cash and Cash Equivalents All highly liquid investments with an original maturity of three months or less at time of purchase are considered to be cash equivalents. Cash and cash equivalents include overnight repurchase agreement accounts and other investments. As part of our cash management process, excess operating cash is invested in overnight repurchase agreements with our bank. Repurchase agreements and other investments classified as cash and cash equivalents are not deposits and are not insured by the U.S. Government, the FDIC or any other government agency and involve investment risk including possible loss of principal. We believe however, that the market risk arising from holding these financial instruments is minimal. Investments The Company invests in various investments which are primarily held in the custody of major financial institutions. Investments consist of certificates of deposit, U.S. government and agency securities, commercial paper, asset-backed securities, and corporate notes and bonds. Management classifies its investments as available-for-sale investments and records these investments in the consolidated balance sheet at fair value. The Company considers all available-for-sale securities, including those with maturity dates beyond 12 months, as available to support current operational liquidity needs. Unrealized gains or losses for available-for-sale securities are included in accumulated other comprehensive income (loss), a component of stockholders’ equity. The Company classifies its investments as current based on the nature of the investments and their availability for use in current operations. The Company assesses whether an other-than-temporary impairment loss has occurred due to declines in fair value or other market conditions when an investment’s fair value remains less than its cost for more than twelve months. This assessment includes a determination of whether the investment is expected to recover in value and whether the Company has the intent and ability to hold the investment until the anticipated recovery in value occurs. When an investment is identified as having an other-than-temporary impairment loss, we adjust the cost basis of the investment down to fair value resulting in a realized loss. The new cost basis is not changed for subsequent recoveries in fair value and temporary future increases or decreases in fair value are included in other comprehensive income (loss) . Inventory Inventory is stated at the lower of cost or market value (net realizable value). The Company determines the cost of inventory using the first-in, first out method. The Company estimates the recoverability of inventory by reference to internal estimates of future demands and product life cycles, including expiration. The Company periodically analyzes its inventory levels to identify inventory that may expire prior to expected sale or has a cost basis in excess of its estimated realizable value and records a charge to expense for such inventory as appropriate. Accounts Receivable Accounts receivable consist of amounts due to the Company for sales to customers and are recorded net of an allowance for doubtful accounts. Receivables are written off if reasonable collection efforts prove unsuccessful. The Company provides for allowances on a specific account basis by recording charges to bad debt expense reported in sales, general, and administrative expenses. No allowance were recorded at December 31, 2018 and 2017 . Property and Equipment Property and equipment are recorded at cost. Maintenance and repairs are charged to expense as incurred and expenditures for major improvements are capitalized. Gains and losses from retirement or replacement are included in costs and expenses. Depreciation of property and equipment is computed using the straight-line method over the estimated useful life of the assets, ranging from one to seven years. Leasehold improvements are depreciated over the remaining life of the lease or the life of the asset, whichever is less. Property and equipment includes Accelerate Pheno™ systems (also referred to as instruments) used for sales demonstrations, instruments under rental agreements and instruments used for research and development. Depreciation expense for instruments used for sales demonstrations is recorded as a component of sales, general and administrative expense. Depreciation expense for instruments placed at customer sites pursuant to reagent rental agreements is recorded as a component of cost of sales. Depreciation expense for instruments used in our laboratory and research is recorded as a component of research and development expense. The Company retains title to these instruments and depreciates them over five years. See Note 8, Property and Equipment , for further information and related disclosures. Long-lived Assets Long-lived assets and certain identifiable intangibles to be held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company continuously evaluates the recoverability of its long-lived assets based on estimated future cash flows from and the estimated fair value of such long-lived assets, and provides for impairment if such undiscounted cash flows or the estimated fair value are insufficient to recover the carrying amount of the long-lived asset. Warranty Reserve Instruments are typically sold with a one year limited warranty, while kits and accessories are typically sold with a sixty days limited warranty. Accordingly, a provision for the estimated cost of the limited warranty repair is recorded at the time revenue is recognized. Our estimated warranty provision is based on our estimate of future repair events and the related estimated cost of repairs. The Company periodically assesses the adequacy of the warranty reserve and adjusts the amount as necessary. The expense incurred for these provisions is included in cost of sales on the consolidated statements of operations and comprehensive loss. Product warranty reserve activity for the years ended December 31 is as follows (in thousands): 2018 2017 2016 Beginning balance $ 192 $ 1 $ — Provisions 420 331 18 Warranty expenses incurred (397 ) (140 ) (17 ) $ 215 $ 192 $ 1 Convertible Notes The Company issued convertible notes that had conversion prices which resulted in an embedded beneficial conversion feature. The intrinsic value of the beneficial conversion feature was recorded as a debt discount with the corresponding amount recorded to contributed capital. The debt discount is amortized to interest expense over the life of the convertible notes using the effective interest method. Revenue Recognition The Company recognizes revenue when control of the promised good or service is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Sales taxes are excluded from revenues. We determine revenue recognition through the following steps: • Identification of the contract with a customer • Identification of the performance obligations in the contract • Determination of the transaction price • Allocation of the transaction price to the performance obligations • Recognition of revenue as we satisfy a performance obligation Product revenue is derived from the sale or rental of our instruments and sales of related consumable products. When an instrument is sold, revenue is generally recognized upon installation of the unit consistent with contract terms, which do not include a right of return. When a consumable product is sold, revenue is generally recognized upon shipment. Invoices are generally issued when revenue is recognized. Service revenue is derived from the sale of extended service agreements which are generally non-cancellable. This revenue is recognized on a straight-line basis over the contract term beginning on the effective date of the contract because the Company is standing ready to provide services. Invoices are generally issued annually and coincide with the beginning of individual service terms. Our contracts with customers may include multiple performance obligations. For such arrangements, we allocate revenue to each performance obligation based on its relative standalone selling price. We generally determine relative standalone selling prices based on the price charged to customers for each individual performance obligation. We also provide instruments to customers under “reagent rental” agreements, which are typically five years or less. Under these agreements, we install the instrument in the customer’s facility, provide service and the customer agrees to purchase consumable products at a stated price over the term of the agreement. Under reagent rental agreements, the Company’s customers pay an additional instrument rental fee for each consumable test kit purchased which varies based on the monthly volume of consumable test kits purchased. The instrument rental fee and consumable test kits are recognized as contingent rental payments and are included in net sales in the Company’s consolidated financial statements. Contracts sometimes have renewal clauses, but such clauses do not provide for a bargain renewal option or penalize the customer if they do not renew. The instrument remains the Company’s property throughout the term of the agreement and there is no transfer of title upon expiration. Our payment terms vary by the type and location of our customers and the product or services offered and range between 30 and 150 days . Sales commissions earned by our sales force are considered incremental and recoverable costs of obtaining a contract with a customer. The Company has determined these costs would have an amortization period of less than one year and has elected to recognize them as an expense when incurred. Contract asset opening and closing balances were immaterial for the year ended December 31, 2018 . Cost of Sales Cost of sales includes cost of materials, direct labor, equity-based compensation, facility and other manufacturing overhead costs for consumable tests and instruments sold to customers. Cost of sales for instruments also includes depreciation on revenue generating instruments that have been placed with our customers under a reagent rental agreement. Cost of sales includes repair and maintenance cost for instruments covered by a service agreement or instruments covered by a reagent rental agreement. Cost of sales also includes warranty related expenses. Shipping and Handling Shipping and handling costs billed to customers are included as a component of revenue. The corresponding expense incurred with third party carriers is included as a component of sales, general and administrative costs on the consolidated statements of operations and comprehensive loss. Leases The Company currently accounts for leases in accordance with ASC 840, Leases, which requires leases to be classified as either operating or capital leases. The Company classifies leases as capital leases when there is either a transfer of ownership at the end of the lease term, the lease contains a bargain purchase option, the lease term is seventy-five percent or more of the estimated economic life of the leased property or the minimum lease payments are ninety percent or more of the fair value of the leased property at lease inception. The Company has entered into reagent rental agreements that qualify as sales-type leases. In those instances, the present value of the minimum lease payments, computed at the interest rate implicit in the lease, is recorded as the sales price and a lease investment is recorded in current and non-current assets. Other leases are classified as operating leases. Operating lease rent is recorded as an operating expense on a monthly basis. For capital leases, both an asset and liability are recorded at the inception of the lease based on the present value of lease payments. The asset is included with property and equipment on the consolidated balance sheet and amortization is recorded on a straight-line basis over the term of the lease with the amortization expense included with depreciation on the statements of operations and comprehensive loss. For the liability, the amount due within the next year is recorded as a current liability and the amount due in more than a year is recorded as a long-term liability on the consolidated balance sheet. Interest expense is recorded based on the implicit or explicit interest rate used in the lease and is included as non-operating interest expense on the statements of operations and comprehensive loss. As of December 31, 2018 and 2017 , the Company did not carry any capital leases. Equity-Based Compensation The Company may award stock options, restricted stock units (“RSUs”), performance-based options and other equity-based instruments to its employees, directors and consultants. Compensation cost related to equity-based instruments is based on the fair value of the instrument on the grant date, and is recognized over the requisite service period on a straight-line basis over the vesting period for each tranche (an accelerated attribution method) except for performance-based options. Performance-based stock options vest based on the achievement of performance targets. Compensation costs associated with performance-based option awards are recognized over the requisite service period based on probability of achievement. Performance-based stock options require management to make assumptions regarding the likelihood of achieving performance targets. The Company estimates the fair value of service based and performance based stock option awards, including modifications of stock option awards, using the Black-Scholes option pricing model. This model derives the fair value of stock options based on certain assumptions related to expected stock price volatility, expected option life, risk-free interest rate and dividend yield. • Volatility: The expected volatility is based on the historical volatility of the Company's stock price over the most recent period commensurate with the expected term of the stock option award. • Expected term: The estimated expected term for employee awards is based on the calculation published by the SEC in SAB110 for use when there is not a sufficient history of employee exercise patterns. For consultant awards, the estimated expected term is the same as the life of the award. • Risk-free interest rate: The risk-free interest rate is based on published U.S. Treasury rates for a term commensurate with the expected term. • Dividend yield: The dividend yield is estimated as zero as the Company has not paid dividends in the past and does not have any plans to pay any dividends in the foreseeable future. The Company records the fair value of RSUs or Stock Grants (“SGs”) based on published closing market price on the day before the grant date. The company accounts for forfeitures as they occur rather than on an estimated basis. The Company also has an employee stock purchase program whereby eligible employees can elect payroll deductions that are subsequently used to purchase common stock at a discounted price. There is no compensation recorded for this program as (i) the purchase discount does not exceed the issuance costs that would have been incurred to raise a significant amount of capital by a public offering, (ii) substantially all employees that meet limited employment qualifications may participate on an equitable basis, and (iii) the plan doesn't incorporate option features that would require compensation to be recorded. See Note 16, Employee and Consultant Equity-Based Compensation for further information. Deferred Tax Assets Deferred tax assets and liabilities are recorded for the estimated future tax effects of temporary differences between the tax basis of assets and liabilities and amounts reported in the accompanying balance sheets. The change in deferred tax assets and liabilities for the period represents the deferred tax provision or benefit for the period. Effects of changes in enacted tax laws in deferred tax assets and liabilities are reflected as an adjustment to the tax provision or benefit in the period of enactment. The Company follows the provisions of ASC 740, Income Taxes , to account for any uncertainty in income taxes with respect to the accounting for all tax positions taken (or expected to be taken) on any income tax return. This guidance applies to all open tax periods in all tax jurisdictions in which the Company is required to file an income tax return. Under U.S. GAAP, in order to recognize an uncertain tax benefit the taxpayer must be more likely than not certain of sustaining the position, and the measurement of the benefit is calculated as the largest amount that is more likely than not to be realized upon resolution of the position. Interest and penalties, if any, would be recorded within tax expense. Foreign Currency Translation and Foreign Currency Transactions Adjustments resulting from translating foreign functional currency financial statements into U.S. Dollars are included in the foreign currency translation adjustment, a component of accumulated other comprehensive income (loss) in the consolidated statements of stockholders’ equity. The Company has assets and liabilities, including receivables and payables, which are denominated in currencies other than their functional currency. These balance sheet items are subject to re-measurement, the impact of which is recorded in foreign currency exchange gain and loss, within the consolidated statement of operations and comprehensive loss. Earnings (Loss) Per Share Basic earnings (loss) per share includes no dilution and is computed by dividing income (loss) available to common stockholders by the weighted average number of common shares outstanding for the period. Potentially dilutive common shares consist of shares issuable from stock options, unvested RSUs and warrants. Potentially dilutive common shares would also include common shares that would have been outstanding if notes convertible at the balance sheet date were converted. Diluted earnings are not presented when the effect of adding such additional common shares is antidilutive. Earnings per share are restated when certain transactions or events, including rights offerings determined to have bonus elements have occurred. See Note 15, Earnings (Loss) Per Share , for further information. Comprehensive Loss In addition to net loss, comprehensive loss includes all changes in equity during a period, except those resulting from investments by and distributions to owners. The Company holds investments classified as available-for-sale securities and records the change in fair market value as a component of comprehensive income (loss). The Company also has adjustments resulting from translating foreign functional currency financial statements into U.S. Dollars which is included as a component of comprehensive income (loss). Recent Accounting Pronouncements Standards that were adopted In March 2018, the FASB issued ASU 2018-05, Income Taxes (Topic 740); Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118. ASU 2018-05 provides guidance regarding the recording of tax impacts where uncertainty exists, in the period of adoption of the 2017 U.S. Tax Cuts and Jobs Act (the “Tax Act”). In accordance with this guidance, the Company’s financial results reflect provisional amounts for those specific income tax effects of the Tax Act for which the accounting under ASC 740 is incomplete but a reasonable estimate could be determined. During the year ended December 31, 2018, the Company did not recognize any changes to the provisional amounts recorded in its 2017 Annual Report on Form 10-K in connection with the Tax Act. Additionally, the Company filed its 2017 U.S. income tax return in the fourth quarter of 2018. In May of 2017, the FASB issued ASU 2017-09, Compensation-Stock Compensation (Topic 718); Scope of Modification Accounting, which provides guidance on which changes to the terms or conditions of a share-based payment award requires an entity to apply modification accounting. The amendments in this update will be applied prospectively to an award modified on or after the adoption date. We adopted the amendments of this ASU as of January 1, 2018 and concluded that they do not have a material impact on our consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740); Intra-Entity Transfers of Assets Other Than Inventory. ASU 2016-16 is effective for periods after December 15, 2017 and eliminates the requirement that the Company recognize the income tax consequences of an intra-entity transfer of an asset upon transfer other than inventory, eliminating the current recognition requirement. The Company adopted this ASU on January 1, 2018. In adopting this ASU, the Company recorded no cumulative-effect adjustment to retained earnings at January 1, 2018. As the U.S. and the consolidated group are in a net operating loss position, no prepaid tax has been recorded. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Topic 825); Recognition and Measurement of Financial Assets and Financial Liabilities. ASU 2016-01 requires equity investments, with some exceptions, be measured at fair value with valuation changes recognized in net income, simplifies the impairment assessment of some equity investments, eliminates the requirement to disclose the methods and significant assumptions used to estimate the fair value for financial instruments measured at amortized cost, requires the use of the exit price notion when measuring the fair value of financial instruments, requires separate presentation of some changes in other comprehensive income, requires separate presentation of financial assets and financial liabilities by measurement category and form of financial assets, and clarifies the need for a valuation allowance on some deferred tax assets. The Company adopted this ASU on January 1, 2018, and the adoption did not have a material impact on the Company’s consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606); an updated standard on revenue recognition. The new standard provides enhancements to the quality and consistency of how revenue is reported under the principle that revenue should be recognized in an amount that reflects the consideration to which the Company expects to be entitled in exchange for the transfer of promised goods or services. The Company adopted Topic 606 using the modified retrospective method applied to those contracts that were not fully performed by the Company as of January 1, 2018 . We recorded a decrease to opening retained earnings and an increase in deferred revenue of $0.1 million as of January 1, 2018 due to the cumulative impact of adopting Topic 606. The impact to revenues for the year ended December 31, 2018 was not material as a result of applying Topic 606. The reported results for 2017 and prior were prepared and are presented under the guidance of ASC 605, Revenue Recognition . Standards not yet adopted In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820); Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 modifies the disclosure requirements for fair value measurements. This ASU is effective for us on January 1, 2020, with early adoption permitted. We are currently assessing the impact this will have on our consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation - Stock Compensation (Topic 718); Improvements to Nonemployee Share-Based Payment Accounting. ASU 2018-07 simplifies the accounting for share-based payments made to nonemployees so the accounting for such payments is substantially the same as those made to employees. Under this ASU, share-based awards to nonemployees will be measured at fair value on the grant date of the awards, entities will need to assess the probability of satisfying performance conditions if any are present, and awards will continue to be classified according to ASC 718 upon vesting, which eliminates the need to reassess classification upon vesting, consistent with awards granted to employees. This ASU is effective for us on January 1, 2019. This update will not have an effect on our consolidated financial statements because all share-based awards granted to nonemployees are fully vested. In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220); Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (AOCI). ASU 2018-02 allows a reclassification from accumulated other comprehensive income to retained earnings for tax effects resulting from the Tax Act that the FASB refers to as having been stranded in AOCI. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company does not plan to reclassify these stranded tax effects and therefore, does not expect this standard to have an impact on its consolidated financial statements. In March 2017, the FASB issued ASU 2017-08, Receivable - Nonrefundable Fees and Other Costs (Topic 310-20); Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium. Specifically, the amendment requires premiums to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The amendments should be applied on a modified retrospective basis, with a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. This ASU is effective for us on January 1, 2019. This update will not have an effect on our consolidated financial statements because we do not carry any callable securities held at a premium. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326); Measurement of Credit Losses on Financial Instruments. In November 2018, ASU 2018-19 was issued which amended the standard. ASU 2016-13 amends the guidance on measuring credit losses on financial assets (including trade accounts receivable and available for sale debt securities) held at amortized cost. Currently, an “incurred loss” methodology is used for recognizing credit losses which delays recognition until it is probable a loss has been incurred. The amendment requires assets valued at amortized cost to be presented at the net amount expected to be collected using an allowance for credit losses. Reversal of credit losses on available for sale debt securities will be recorded in the current period net income. This ASU is effective for us on January 1, 2020, with early adoption permitted. We do not anticipate this guidance will have a significant impact on our consolidated financial statements. In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02 “Leases,” which together with subsequent amendments is included in ASC 842. ASC 842 requires a lessee to recognize a liability to make lease payments and an asset with respect to its right to use the underlying asset for the lease term. ASC 842 also addresses accounting and reporting by lessors, which is not significantly different from current accounting and reporting, and further provides for qualitative and quantitative disclosures. We currently plan to adopt ASC 842 on January 1, 2019 using the optional transition method allowed by ASU 2018-11. This optional transition method allows entities to apply the new leases standard at the adoption date (January 1, 2019 for the Company) and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. For contracts where we are the lessee, we will record lease liabilities and right of use assets for contracts in effect on January 1, 2019 based on the facts and circumstances as of that date. The Company will elect not to reassess whether any expired or existing contracts are or contain leases, not to reassess the lease classification for any expired or existing leases, not to reassess initial direct costs for any existing leases, and not to separate the lease components from the non-lease components for all classes of underlying assets . While we continue to evaluate certain provisions of ASC 842, based on our current estimates, we expect to recognize right of use assets and lessee lease liabilities of approximately $0.6 million with respect to operating leases. We do not believe the adoption of ASC 842 will have a material effect on our consolidated financial position, results of operations or cash flows. |
Concentration of Credit Risk
Concentration of Credit Risk | 12 Months Ended |
Dec. 31, 2018 | |
Risks and Uncertainties [Abstract] | |
Concentration of Credit Risk | NOTE 3. CONCENTRATION OF CREDIT RISK Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash equivalents, short-term investments and accounts receivable, including receivables from major customers. The Company has financial institutions for banking operations that hold 10% or more of the Company’s cash and cash equivalents. As of December 31, 2018 , two of the Company's financial institutions held 43% and 46% of the Company’s cash and cash equivalents, respectively. As of December 31, 2017 , two of the Company's financial institutions held 82% and 12% of the Company’s cash and cash equivalents, respectively. The Company grants credit to domestic and international clients in various industries. Exposure to losses on accounts receivable is principally dependent on each client's financial position. The Company had one customer that accounted for 10% of the Company’s net accounts receivable balance as of December 31, 2018 , and one customer that accounted for 24% of the Company's net accounts receivable balance as of December 31, 2017 . Customers who represented 10% or more of the Company’s total revenue consisted of the following at December 31 (in thousands). 2018 2017 2016 Customer A * 13% * Customer B * 18% * Customer C * * 87% * Less than 10% for the period indicated |
FDA Clearance
FDA Clearance | 12 Months Ended |
Dec. 31, 2018 | |
Research and Development [Abstract] | |
FDA Clearance | NOTE 4. FDA CLEARANCE On January 1, 2017 , the regulatory review process had progressed to a point that objective and persuasive evidence of approval was sufficiently probable and a future economic benefit existed. Inventory produced after that date has been capitalized, and before that date has been expensed. On February 23, 2017 , the U.S. Food and Drug Administration (“FDA”) granted Accelerate’s de novo request to market the Accelerate Pheno™ system and Accelerate PhenoTest™ BC kit for identification and antibiotic susceptibility testing of pathogens directly from positive blood culture samples. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | NOTE 5. FAIR VALUE OF FINANCIAL INSTRUMENTS The following tables represent the financial instruments measured at fair value on a recurring basis on the financial statements of the Company and the valuation approach applied to each class of financial instruments at December 31 (see Note 2, Summary of Significant Accounting Policies for further information): 2018 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash and cash equivalents: Money market funds $ 38,444 $ — $ — $ 38,444 Commercial paper — 1,493 — 1,493 Total cash and cash equivalents $ 38,444 $ 1,493 $ — $ 39,937 Investments: Certificates of deposit — 10,787 — 10,787 US Treasury securities 22,120 — — 22,120 US Agency securities — 7,980 — 7,980 Commercial paper — 17,025 — 17,025 Asset-backed securities — 11,998 — 11,998 Corporate notes and bonds — 30,308 — 30,308 Total investments 22,120 78,098 — 100,218 Total assets measured at fair value $ 60,564 $ 79,591 $ — $ 140,155 2017 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash and cash equivalents: Money market funds $ 7,832 $ — $ — $ 7,832 Investments: Certificates of deposit — 13,441 — 13,441 US Treasury securities 14,716 — — 14,716 US Agency securities — 8,459 — 8,459 Commercial paper — 9,171 — 9,171 Asset-backed securities — 3,025 — 3,025 Corporate notes and bonds — 31,836 — 31,836 Total investments 14,716 65,932 — 80,648 Total assets measured at fair value $ 22,548 $ 65,932 $ — $ 88,480 Highly liquid investments with an original maturity of three months or less at time of purchase are included in cash and cash equivalents on the consolidated balance sheet. Level 1 assets are priced using quoted prices in active markets for identical assets which include money market funds and U.S. Treasury securities as these specific assets are liquid. Level 2 available-for-sale securities are priced using quoted market prices for similar instruments or nonbinding market prices that are corroborated by observable market data. The Company uses inputs such as actual trade data, benchmark yields, broker/dealer quotes, and other similar data, which are obtained from quoted market prices, independent pricing vendors, or other sources, to determine the ultimate fair value of these assets and liabilities. The Company uses such pricing data as the primary input to make its assessments and determinations as to the ultimate valuation of its investment portfolio and has not made, during the periods presented, any material adjustments to such inputs. There were no transfers between levels during the year ended December 31, 2018 . On March 27, 2018 , the Company issued $150 million aggregate principal amount of 2.50% Convertible Senior Notes due 2023 (“Notes”). In connection with the offering of the Notes, the Company granted the initial purchasers of the Notes a 13 -day option to purchase up to an additional $22.5 million aggregate principal amount of the Notes on the same terms and conditions. On April 4, 2018 the option was partially exercised, which resulted in $21.5 million of additional proceeds, for total proceeds of $171.5 million , as described in Note 11, Convertible Notes . The calculated fair value of the Notes, of $121.4 million , is highly correlated to the Company’s stock price and as a result, significant changes to the Company’s stock price will have a significant impact on the calculated fair value of the Notes. The fair value of the Notes are classified as Level 2 within the fair value hierarchy. For certain other financial assets and liabilities, including accounts receivable, accounts payable and other current liabilities, the carrying amounts approximate their fair value due to the relatively short maturity of these balances. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | NOTE 6. INVESTMENTS The following tables summarize the Company’s available-for-sale investments at December 31 (in thousands): AVAILABLE-FOR-SALE INVESTMENTS 2018 (in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Certificates of deposit $ 10,787 $ — $ — $ 10,787 US Treasury securities 22,185 1 (66 ) 22,120 US Agency securities 8,024 1 (45 ) 7,980 Commercial paper 17,025 — — 17,025 Asset-backed securities 12,007 — (9 ) 11,998 Corporate notes and bonds 30,361 — (53 ) 30,308 Total $ 100,389 $ 2 $ (173 ) $ 100,218 AVAILABLE-FOR-SALE INVESTMENTS 2017 (in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Certificates of deposit $ 13,441 $ — $ — $ 13,441 US Treasury securities 14,787 — (71 ) 14,716 US Agency securities 8,510 — (51 ) 8,459 Commercial paper 9,171 — — 9,171 Asset-backed securities 3,026 — (1 ) 3,025 Corporate notes and bonds 31,906 — (70 ) 31,836 Total $ 80,841 $ — $ (193 ) $ 80,648 The following table summarizes the maturities of the Company’s available-for-sale securities at December 31 (in thousands): AVAILABLE-FOR-SALE INVESTMENT MATURITIES (in thousands) 2018 2017 Amortized Cost Fair Value Amortized Cost Fair Value Due in less than 1 year $ 83,030 $ 82,893 $ 55,801 $ 55,735 Due in 1-5 years 17,359 17,325 25,040 24,913 Total $ 100,389 $ 100,218 $ 80,841 $ 80,648 Proceeds from sales of marketable securities (including principal paydowns) for the years ended December 31, 2018 and 2017 were $3.0 million and $11.5 million , respectively. The Company determines gains and losses of marketable securities based on specific identification of the securities sold. There were no material realized gains or losses from sales of marketable securities for the years ended December 31, 2018 , 2017 and 2016 . No material balances were reclassified out of accumulated other comprehensive income (loss) for the years ended December 31, 2018 , 2017 and 2016 . The Company monitors investments for other-than-temporary impairment. It was determined that unrealized gains and losses as of December 31, 2018 and 2017 are temporary in nature because the change in market value for those securities has resulted from fluctuating interest rates rather than a deterioration of the credit worthiness of the issuers. The Company does not intend to sell investments and it is more likely than not that we will not be required to sell investments before recovering the amortized cost. Additional information regarding the fair value of our financial instruments is included in Note 5, Fair Value of Financial Instruments . |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Inventory | NOTE 7. INVENTORY Inventories consisted of the following at December 31 (in thousands): 2018 2017 Raw materials $ 4,064 $ 4,220 Work in process 495 377 Finished goods 3,187 3,466 Inventory, net $ 7,746 $ 8,063 See Note 4, FDA Clearance for further information related to 2017 inventory balances. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | NOTE 8. PROPERTY AND EQUIPMENT Property and equipment are recorded at cost and consisted of the following at December 31 (in thousands). PROPERTY AND EQUIPMENT (in thousands) 2018 2017 Computer equipment $ 2,700 $ 2,756 Technical equipment 3,868 3,348 Facilities 4,037 3,621 Instruments 5,318 1,400 Capital projects in progress 91 349 Total property and equipment $ 16,014 $ 11,474 Accumulated depreciation (8,711 ) (6,584 ) Net property and equipment $ 7,303 $ 4,890 Depreciation expense (which includes amortization of capital lease assets) for the years ended December 31, 2018 , 2017 and 2016 was $2.5 million , $2.2 million and $2.3 million , respectively. During the year ended December 31, 2018 , $1.9 million of systems in the field were reclassified out of inventory and into property and equipment, which included $0.1 million of systems in the field as a component of inventory at December 31, 2017 . These transfers were the result of a change in the Company’s principal model for instrument acquisition from outright sales of systems to placing systems with customers and recovering that cost through the sale of test kits pursuant to reagent rental agreements. The reclassification from inventory to property and equipment did not have an effect on prior period net income, and the systems will be depreciated going forward. |
License Agreements and Grants
License Agreements and Grants | 12 Months Ended |
Dec. 31, 2018 | |
Research and Development [Abstract] | |
License Agreements and Grants | NOTE 9. LICENSE AGREEMENTS AND GRANTS National Institute of Health Grant In February 2015, the National Institute of Health awarded Denver Health and the Company a five -year, $5.0 million grant to develop a fast and reliable identification and categorical susceptibility test for carbepenem-resistant Enterobacteriaceae directly from whole blood. The cumulative award amount under these subawards is $1.1 million . The amounts invoiced for the years ended December 31, 2018 , 2017 and 2016 was $0.2 million , $0.2 million and $0.1 million , respectively. Arizona Commerce Authority Grant In August 2012, the Company entered into a Grant Agreement (the “Grant Agreement”) with the Arizona Commerce Authority, an agency of the State of Arizona (the “Authority”), pursuant to which the Authority provided certain state and county sponsored incentives for the Company to relocate its corporate headquarters to, and expand its business within, the State of Arizona (the “Project”). Pursuant to the Grant Agreement, the Authority agreed to provide a total grant in the amount of $1.0 million (the “Grant”) for the use by the Company in the advancement of the Project. The Grant is payable out of an escrow account in four installments, upon the achievement of the following milestones: • Milestone 1 – Relocation of Company’s operations and corporate headquarters to Arizona and creation of 15 Qualified Jobs (as defined below). • Milestone 2 – Creation of 30 Qualified Jobs (including Qualified Jobs under Milestone 1). • Milestone 3 – Creation of 40 Qualified Jobs (including Qualified Jobs under Milestones 1 and 2). • Milestone 4 – Creation of 65 Qualified Jobs (including Qualified Jobs under Milestones 1, 2 and 3) and capital investment of at least $4.5 million . For purposes of the Grant Agreement, a “Qualified Job” is a job that is permanent, full-time, new to Arizona, and for which the Company pays average (across all Qualified Jobs identified by the Company in its discretion) annual wages of at least $63,000 and offers health insurance benefits and pays at least 65% of the premiums associated with such benefits. The amount of each installment payment will be determined in accordance with a formula specified in the Grant Agreement. The Grant Agreement also contains other customary provisions, including representations, warranties and covenants of both parties. As of December 31, 2017 , the full amount was collected and recorded in current deferred revenue and income. In January 2018 , the full amount was recognized due to the economic development provisions of the grant being satisfied in full, with the “claw-back” provisions expiring. The $1.0 million was recognized as an offset to expense. Further details are included in Note 10, Deferred Revenue, Income and Remaining Performance Obligations . Arizona R&D Refundable Tax Credit Program The Company has applied for and met the program requirements to receive a “Certificate of Qualification” from the Authority, which allows the Company to be eligible for a partial refund of research and development investments (“Arizona R&D Refundable Tax Credit Program”). The amounts collected under this program for the year ended December 31, 2016 was $1.2 million and was recorded as an offset to research and development expenses. No amounts were collected for the years ended December 31, 2018 and 2017 . If the amount received for this program is later determined to be incorrect or invalid, the excess may need to be repaid. |
Deferred Revenue, Income and Re
Deferred Revenue, Income and Remaining Performance Obligations | 12 Months Ended |
Dec. 31, 2018 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Revenue, Income and Remaining Performance Obligations | NOTE 10. DEFERRED REVENUE, INCOME AND REMAINING PERFORMANCE OBLIGATIONS Deferred revenue consists of amounts received for products or services not yet delivered or earned. Deferred income consists of amounts received for commitments not yet fulfilled. If we anticipate that the revenue or income will not be earned within the following twelve months, the amount is reported as long-term deferred income. A summary of the balances as of December 31 follows (in thousands): 2018 2017 Products and services not yet delivered $ 217 $ 71 Arizona Commerce Authority grant — 1,000 Deferred revenue and income $ 217 $ 1,071 As described in Note 9, License Agreements and Grants , we received $1.0 million in milestone payments from the Authority pursuant to the Grant Agreement. During the year ended December 31, 2018 , the “claw-back” provisions expired and the $1.0 million was recognized as an offset to expense. We recognized $26,000 of revenues during the year ended December 31, 2018 that were included in the contract liabilities balances at the beginning of the period. No material amount of revenue recognized during the current period was from performance obligations satisfied in prior periods. Transaction Price Allocated to Remaining Performance Obligations As of December 31, 2018 , $1.7 million of revenue is expected to be recognized from remaining performance obligations. This balance primarily relates to executed service contracts that begin as warranty periods expire. These service contracts typically provide for four-year terms and revenue is recognized on a straight-line basis. The balance also includes product shipments for reagent rental, sales-type lease agreements. The agreements have between two and four year terms and revenue is recognized as product is shipped, typically in a straight-line pattern. The Company elects not to disclose the value of unsatisfied performance obligations for (i) contracts with an expected length of less than one year and (ii) contracts for which we recognize revenue at the amount to which we have the right to invoice for services performed. |
Convertible Notes
Convertible Notes | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Convertible Notes | NOTE 11. CONVERTIBLE NOTES On March 27, 2018 , the Company issued $150.0 million aggregate principal amount of 2.50% Senior Convertible Notes due 2023. In connection with the offering of the Notes, the Company granted the initial purchasers of the Notes a 13 -day option to purchase up to an additional $22.5 million aggregate principal amount of the Notes on the same terms and conditions. On April 4, 2018 the option was partially exercised, which resulted in $21.5 million of additional proceeds, for total proceeds of $171.5 million . The Notes are the Company's senior unsecured obligations and mature on March 15, 2023 (the “Maturity Date”), unless earlier repurchased or converted into shares of common stock under certain circumstances described below. The Notes are convertible into shares of the Company’s common stock, can be repurchased for cash, or a combination thereof, at the Company’s election, at an initial conversion rate of 32.3428 shares of common stock per $1,000 principal amount of the Notes, which is equivalent to an initial conversion price of approximately $30.92 per share of common stock, subject to adjustment. The Company will pay interest on the Notes semi-annually in arrears on March 15 and September 15 of each year. The $171.5 million of proceeds received from the issuance of the Notes were allocated between long-term debt (the “liability component”) of $116.6 million and contributed capital (the “equity component”) of $54.9 million . The fair value of the liability component was measured using rates determined for similar debt instruments without a conversion feature. The carrying amount of the equity component, representing the conversion option, was determined by deducting the fair value of the liability component from the aggregate face value of the Notes. The liability component will be accreted up to the face value of the Notes of $171.5 million , which will result in additional non-cash interest expense being recognized through the Maturity Date. The equity component will not be remeasured as long as it continues to meet the conditions for equity classification. The Company incurred approximately $5.0 million of issuance costs related to the issuance of the Notes, of which $3.4 million and $1.6 million were recorded to long-term debt and contributed capital, respectively. The $3.4 million of issuance costs recorded as long-term debt on the consolidated balance sheet are being amortized over the five -year contractual term of the Notes using the effective interest method. The effective interest rate on the Notes, including accretion of the Notes to par and debt issuance cost amortization, is 11.52% . The Notes include customary terms and covenants, including certain events of default upon which the Notes may be due and payable immediately. Holders have the option to convert the Notes in multiples of $1,000 principal amount at any time prior to December 15, 2022, but only in the following circumstances: • if the Company’s stock price exceeds 130% of the conversion price for 20 of the last 30 trading days of any calendar quarter after June 30, 2018; • during the 5 business day period after any 5 consecutive trading day period in which the Notes’ trading price is less than 98% of the product of the common stock price times the conversion rate; or • the occurrence of certain corporate events, such as a change of control, merger or liquidation. At any time on or after December 15, 2022 , a holder may convert its Notes in multiples of $1,000 principal amount. Holders of the Notes who convert their Notes in connection with a make-whole fundamental change (as defined in the Indenture pursuant to which the Notes were issued) are, under certain circumstances, entitled to an increase in the conversion rate. In addition, in the event of a fundamental change or event of default prior to the Maturity Date, holders will, subject to certain conditions, have the right, at their option, to require the Company to repurchase for cash all or part of the Notes at a repurchase price equal to 100% of the principal amount of the Notes to be repurchased, plus accrued and unpaid interest up to, but excluding, the repurchase date. As of December 31, 2018 , the outstanding principal amount on the Notes was $171.5 million , the unamortized debt discount was $48.4 million , the unamortized debt issuance cost was $3.0 million and the net carrying amount of the liability component was $120.1 million , which was recorded as convertible notes within the consolidated balance sheet. The Company recorded $3.3 million for contractual coupon interest during the year ended December 31, 2018 . The Company made its first cash interest expense payment in September 2018 for $2.0 million . The Company also recorded $399,000 for amortization of debt issuance costs during the year ended December 31, 2018 , and $6.5 million for amortization of the debt discount during the year ended December 31, 2018 . As of December 31, 2018 , no Notes were convertible pursuant to their terms. As of December 31, 2018 , the if-converted value of the Notes did not exceed the principal value of those notes. In connection with the debt issuance, the Company entered into a prepaid forward stock repurchase transaction (“Prepaid Forward”) with a financial institution (“Forward Counterparty”). Pursuant to the Prepaid Forward, the Company used approximately $45.1 million of the net proceeds from its issuance of the Notes to fund the Prepaid Forward. The aggregate number of shares of the Company’s common stock underlying the Prepaid Forward was approximately 1,858,500 . The expiration date for the Prepaid Forward is March 15, 2023 , although it may be settled earlier in whole or in part. Upon settlement of the Prepaid Forward, at expiration or upon any early settlement, the Forward Counterparty will deliver to the Company the number of shares of common stock underlying the Prepaid Forward or the portion thereof being settled early. The shares purchased under the Prepaid Forward are treated as treasury stock and not outstanding for purposes of the calculation of basic and diluted earnings per share, but will remain outstanding for corporate law purposes, including for purposes of any future stockholders’ votes, until the Forward Counterparty delivers the shares underlying the Prepaid Forward to the Company. The Company’s Prepaid Forward hedge transaction exposes the Company to credit risk to the extent that its counterparty may be unable to meet the terms of the transaction. The Company mitigates this risk by limiting its counterparty to a major financial institution. |
Stock Purchase
Stock Purchase | 12 Months Ended |
Dec. 31, 2018 | |
Securities Financing Transactions Disclosures [Abstract] | |
Stock Purchase | NOTE 12. STOCK PURCHASE In 2012, we entered into a Securities Purchase Agreement with Abeja Ventures, LLC (“Abeja”), pursuant to which the Company agreed to sell and issue to Abeja at a purchase price of $1.03 per share for an aggregate purchase price of $14.4 million ; (i) 14.0 million shares of the Company’s common stock (“Common Stock”); (ii) a warrant to purchase 7.0 million shares of Common Stock at an exercise price of $1.03 per share (the “ $1.03 Warrant”); and (iii) another warrant to purchase 7.0 million shares of Common Stock at an exercise price of $2.00 per share (the “ $2.00 Warrant”), with each warrant exercisable prior to the fifth anniversary of the closing of the transactions contemplated by the Securities Purchase Agreement (collectively, the “Investment”). The purchase of Common Stock and warrants pursuant to the Investment, which was consummated in June 2012, qualified for equity treatment. The respective values of the warrants and Common Stock were calculated using their relative fair values and both are classified under Contributed Capital. The value therefore recorded for the warrants was $5.9 million and for the Common Stock was $8.5 million . Both warrants were exercisable until June 26, 2017, which was the fifth anniversary of the date on which the warrants were issued. In 2013, Abeja exercised in full the $1.03 Warrant. On the same date, Abeja also exercised 92% of the $2.00 Warrant (Abeja exercised such warrant for 6.4 million shares, leaving 571,160 shares unexercised on that date). The Company received aggregate funds of $20.1 million in connection with such exercises. Shares issued by the Company in connection with the warrant exercises were issued directly to the members of Abeja on a pro rata basis in accordance with their membership interests and written exercise instructions provided to the Company by Abeja. Immediately after giving effect to the warrant exercises, Abeja also distributed in kind to its members (on a pro rata basis in accordance with their membership interests) the remaining shares of Common Stock held by that entity. In 2016, warrants to purchase 155,289 shares were exercised at an exercise price of $2.00 leaving 415,871 warrants for shares unexercised at December 31, 2017 . The Company received funds totaling $311,000 in connection with these exercises which are recorded as common stock and contributed capital in the consolidated balance sheet. In 2017, warrants to purchase 370,307 shares were exercised at an exercise price of $2.00 leaving 45,564 warrants for shares unexercised. The Company received funds totaling $0.7 million in connection with these exercises which are recorded as common stock and contributed capital in the Consolidated Balance Sheet. The remaining 45,564 warrants for shares expired on June 26, 2017 and went unexercised. At December 31, 2018 the Company did not carry any warrants for shares due to all warrants for shares being exercised or expired. |
Public Offering
Public Offering | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Public Offering | NOTE 13. PUBLIC OFFERING On May 15, 2017 , the Company closed an underwritten public offering (the “Public Offering”) of 2,750,000 shares of its common stock at a public offering price of $28.85 per share with underwriting discounts and commissions of $1.73 per share. In connection with the Public Offering, the Company granted the underwriters of the Public Offering a 30-day option to purchase up to an additional 412,500 shares of its common stock at the public offering price, less the underwriting discounts and commissions. On June 8, 2017 , the underwriters partially exercised their option to purchase an additional 335,484 shares of common stock. The underwriters’ partial exercise of their option to purchase additional shares resulted in a total of 3,085,484 shares of common stock sold in the Public Offering and total gross proceeds of $89.0 million less underwriting discounts, commissions and other costs of $5.8 million , for net proceeds of $83.2 million to the Company . |
Related Party Transaction
Related Party Transaction | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transaction | NOTE 14. RELATED PARTY TRANSACTION In June 2016 , the Company recorded a net amount of $0.9 million related to the recovery of short-swing profits under Section 16(b) of the Securities Exchange Act of 1934, as amended. The Company recognized these related party proceeds as an increase to contributed capital on the consolidated balance sheet. In connection with Note 11, Convertible Notes , an affiliate of one member of the Company's board of directors purchased an aggregate of $30.0 million of the Notes. The affiliated entity is a Qualified Institutional Buyer which continues to hold the Notes as of December 31, 2018 . |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | NOTE 15. EARNINGS (LOSS) PER SHARE Basic net loss per common share was determined by dividing net loss applicable to common stockholders by the weighted average common shares outstanding during the period. Basic and diluted net loss per share are the same because all outstanding common stock equivalents have been excluded, as they are anti-dilutive due to the Company’s losses. The following potentially issuable common shares were not included in the computation of diluted net loss per share because they would have an anti-dilutive effect due to net losses at of the following at December 31 (in thousands): 2018 2017 2016 Shares issuable upon the release of warrants — — 416 Shares issuable upon the release of restricted stock awards 76 24 40 Shares issuable upon exercise of stock options 8,091 7,328 6,857 8,167 7,352 7,313 As discussed in Note 11, Convertible Notes , the Company issued $171.5 million of Notes due 2023. The Notes are convertible into shares of the Company’s common stock, can be repurchased for cash, or a combination thereof, at the Company’s election, at an initial conversion rate of 32.3428 shares of common stock per $1,000 principal amount of the Notes. As of December 31, 2018 , no Notes were convertible pursuant to their terms. The maximum number of shares issuable upon conversion of the Notes is 5.5 million shares. In connection with the Notes, the Company entered into a prepaid forward stock repurchase transaction. The aggregate number of shares of the Company’s common stock underlying the Prepaid Forward was approximately 1,858,500 . The shares purchased under the Prepaid Forward are treated as treasury stock and not outstanding for purposes of the calculation of basic and diluted earnings per share, but will remain outstanding for corporate law purposes, including for purposes of any future stockholders’ votes, until the Forward Counterparty delivers the shares underlying the Prepaid Forward to the Company. |
Employee and Consultant Equity-
Employee and Consultant Equity-Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Employee and Consultant Equity-Based Compensation | NOTE 16. EMPLOYEE AND CONSULTANT EQUITY-BASED COMPENSATION The Company has three equity based compensation plans, which are discussed below: Non-Qualified Stock Option Plan The Non-Qualified Stock Option Plan (the “Non-Qualified Plan”) was a stockholder-approved plan that provided for stock option grants to independent contractors, technical advisors and directors of the Company. The exercise price of each option, which has a maximum 10 year life, was established by the Company's Compensation Committee on the date of grant. As of December 31, 2017 , there were 280,000 options exercised under the Non-Qualified Plan and 0 that remain outstanding. The Non-Qualified Plan has been replaced by the 2012 Omnibus Equity Incentive Plan, so no further options are available for grant. 2004 Omnibus Stock Option Plan In December 2004, the Company’s stockholders approved the Omnibus Stock Option Plan and reserved 500,000 shares of its authorized but unissued Common Stock for stock options to be granted to employees, independent contractors, technical advisors and directors of the Company. The authorized shares in this plan were increased by 5,000,000 shares to an aggregate amount of 5,500,000 upon stockholder approval during the fiscal year ended July 31, 2012. As of December 31, 2018 , there were 757,975 options exercised under the 2004 Omnibus Stock Option Plan and 3,182,025 that remain outstanding. The 2004 Omnibus Stock Option Plan has been replaced by the 2012 Omnibus Equity Incentive Plan, so no further options are available for grant. 2012 Omnibus Equity Incentive Plan In December 2012, the Company’s stockholders approved the Company’s 2012 Omnibus Equity Incentive Plan to replace all prior plans (“Prior Plans”). The Prior Plans remain in effect until all awards granted under those plans have been exercised, forfeited, canceled, expired or otherwise terminated. In connection with the approval of such plan, all stock options, totaling 1,677,500 formerly available for new awards under the Prior Plans were transferred to the 2012 Omnibus Equity Incentive Plan. During the Company's Annual Meeting of Stockholders, stockholders approved amendments to the Company's 2012 Omnibus Equity Incentive Plan increasing the number of shares of Common Stock reserved and available for grant by 4,000,000 in May 2014 and 2,000,000 in May 2017 resulting in a total of 7,677,500 reserved shares. Stock options granted under this plan vest either (i) upon achievement of a specified performance goal, (ii) immediately, (iii) one year after grant date, (iv) monthly over a one year period, (v) annually over a five year period, or (vi) 40% two years after grant date and the remaining 60% monthly over the next three years. The maximum term is ten years. RSUs granted under this plan vest either (i) immediately, (ii) annually over a three year period, (iii) annually over a five year period, or (iv) 40% two years after grant date and the remaining 60% monthly over the next three years. SGs granted under this plan vest immediately. As of December 31, 2018 , there were 879,608 options exercised as well as 42,161 RSUs and SGs issued under the 2012 Omnibus Equity Incentive Plan. There were 4,984,611 shares remaining outstanding, leaving 1,771,120 available for grant. Combined Stock Option Plans The following table summarizes option activity under all plans during the years ending December 31, 2018 , and 2017 and shows the exercisable shares as of December 31, 2018 : Stock Option Activity Number of Shares Weighted Average Exercise Price per Share Options Outstanding January 1, 2017 6,857,124 $ 7.72 Granted 1,208,542 23.84 Forfeited (79,962 ) 17.82 Exercised (656,846 ) 8.93 Expired (727 ) 24.45 Options Outstanding December 31, 2017 7,328,131 10.16 Granted 1,390,014 24.46 Forfeited (230,779 ) 21.47 Exercised (357,373 ) 10.49 Expired (39,357 ) 22.24 Options Outstanding December 31, 2018 8,090,636 12.22 Exercisable December 31, 2018 5,824,748 8.39 The cash received from the exercise of options during the year ending December 31, 2018 was $3.7 million and the tax benefit realized was $0 for the same period. Upon exercise, shares are issued from shares authorized and held in reserve. The intrinsic value of options exercised was $4.6 million , $12.1 million and $2.2 million for the years ending December 31, 2018 , 2017 and 2016 , respectively. The total fair value of options vesting during the period was $13.4 million , $12.0 million , and $6.6 million for the years ending December 31, 2018 , 2017 and 2016 , respectively. The Company accounts for all option grants using the Black-Scholes option pricing model. The table below summarizes the inputs used to calculate the estimated fair value of options awarded for the years ended December 31 : Black-Scholes Assumptions for Options Granted 2018 2017 2016 Expected term (in years) 6.01 6.23 6.43 Volatility 66 % 77 % 86 % Expected dividends — — — Risk free interest rates 2.7 % 2.1 % 1.6 % Estimated forfeitures — % — % 8.5 % Weighted average fair value $ 14.87 $ 16.24 $ 10.35 In general, option awards have a requisite service period and unvested options are forfeited upon employee or consultant termination. In years prior to 2016, the Company estimated a forfeiture rate which was applied to outstanding options to determine options expected to be forfeited with the remaining outstanding options being those expected to vest. Effective January 2017, the Company implemented ASU 2016-09, Compensation-Stock Compensation (Topic 718); Improvements to Employee Share-Based Payment Accounting, and made a policy election to account for forfeitures as they occur. The following table shows summary information for outstanding options and options that are exercisable (vested) as of December 31, 2018 : Stock Option Supplemental Information Options Outstanding Options Exercisable Number of options 8,090,636 5,824,748 Weighted average remaining contractual term (in years) 5.67 4.56 Weighted average exercise price $ 12.22 $ 8.39 Weighted average fair value $ 8.44 $ 5.92 Aggregate intrinsic value (in millions) $ 33.9 $ 33.9 The aggregate intrinsic value in the table above represents the total pretax intrinsic value that would have been received by the option holders had all option holders exercised their options on that date. It is calculated as the difference between the Company’s closing stock price of $11.50 on the last trading day of 2018 and the exercise price multiplied by the number of shares for options where the exercise price is below the closing stock price. This amount changes based on the fair market value of the Company’s stock. The following table summarizes RSU and SG activity during the years ending December 31, 2018 and 2017 : RSU and SG Activity Number of Shares Weighted Average Grant Date Fair Value per Share RSUs & SGs Outstanding January 1, 2017 40,250 $ 20.91 Granted 1,911 22.40 Forfeited — — Vested/released (18,011 ) 21.07 RSUs & SGs outstanding December 31, 2017 24,150 20.91 Granted 76,000 17.33 Forfeited — — Vested/released (24,150 ) 16.58 RSUs & SGs outstanding December 31, 2018 76,000 18.70 The total fair value of RSUs and SGs vested and released during the period was $0.4 million , $0.4 million , and $0 for the years ending December 31, 2018 , 2017 and 2016 , respectively. The Company records compensation cost based on the fair value of the award. The table below summarizes the weighted average fair value of RSUs and SGs awarded for the years ending December 31 : RSU and SG Grants 2018 2017 2016 Weighted average fair value $ 17.33 $ 22.40 $ — The expense and tax benefits recognized on the Company’s consolidated statements of operations and comprehensive loss related to options for the years ending December 31 (in thousands): Equity-Based Compensation Expenses and Tax Benefit (in thousands) 2018 2017 2016 Cost of Sales $ 189 $ 99 $ — Research and development 4,760 3,738 1,585 Sales, general and administrative 9,473 10,096 7,190 Total equity-based compensation expense $ 14,422 $ 13,933 $ 8,775 Recognized tax benefit $ — $ — $ — As of December 31, 2018 and 2017 , $0.1 million and $0.3 million of equity-based compensation expense was capitalized to inventory, respectively. As of December 31, 2018 and 2017 , $0.1 million and $48,000 of equity-based compensation expense was capitalized to property and equipment, respectively. As of December 31, 2018 , unrecognized equity-based compensation cost related to unvested stock options, and unvested RSUs was $18.0 million and $1.3 million , respectively. This is expected to be recognized over the years 2019 through 2023 . Included in the above-noted stock option grants and stock compensation expense are performance-based stock options which vest only upon the achievement of certain targets. Performance-based options are generally granted at-the-money, contingently vest over a period of 1 to 2 years, depending on the nature of the performance goal, and have contractual lives of 10 years . These options were valued in the same manner as the time-based options, with the assumption that performance goals will be achieved. The inputs for expected volatility, expected dividends, and risk-free rate used in estimating those options’ fair value are the same as the time-based options issued under the plan. The expected term for performance-based options granted in 2018 is 5 to 6 years. However, the Company only recognizes stock compensation expense to the extent that the targets are determined to be probable of being achieved, which triggers the vesting of the performance options. In August 2018, the Company granted 225,000 performance based-options to certain employees. The performance obligations were met for 50,000 options as of December 31, 2018 and no options were exercised during the year then ended. 175,000 options were outstanding as of December 31, 2018 for which the performance obligations had not been met. Of the options outstanding, no expense has been recorded for 150,000 options as achievement of the performance obligations were not probable as of December 31, 2018 . The Company recognized $0.7 million of stock compensation expense for the year ended December 31, 2018 , for performance-based stock options. No performance-based stock options were granted before 2018 . |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 17. INCOME TAXES The components of the pretax loss from operations for the years ended December 31 are as follows (in thousands): 2018 2017 2016 U.S. Domestic $ (67,508 ) $ (46,849 ) $ (48,539 ) Foreign (20,607 ) (16,686 ) (17,568 ) Net loss before income taxes $ (88,115 ) $ (63,535 ) $ (66,107 ) The components of the provision for income taxes for the years ended December 31 is presented in the following table: 2018 2017 2016 Current: Federal $ — $ — $ — State 14 — — Foreign 197 493 267 Total current provision 211 493 267 Deferred: Federal — — — State — — — Foreign — — — Total deferred provision — — — Total provision $ 211 $ 493 $ 267 On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was signed into law. The Tax Act, among other things, reduced the corporate tax rate from the maximum federal statutory rate of 35% to 21%. The Tax Act states that the 21% corporate tax rate is effective for tax years beginning on or after January 1, 2018. However, existing tax law, which was not amended under the Tax Act, governs when a change in tax rate is effective. Existing tax law provides that if the taxable year includes the effective date of any rate change (unless the change is the first date of the taxable year), taxes should be calculated by applying a blended rate to the taxable income for the year. For the Company, the net deferred tax assets for U.S. purposes have been revalued to 21% as of December 31, 2017 with a corresponding adjustment to the valuation allowance. Therefore, the reduction in the U.S. corporate tax rate had no impact to the Company's earnings. In conjunction with the Tax Act, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Act, providing one year to gather information for such analyses. As of December 31, 2018 , we have completed our assessment of the impact of the Tax Act and as a result, there were no changes to the provisional amounts recorded as of December 31, 2017. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s net deferred income taxes for the years ended December 31 are as follows (in thousands): 2018 2017 Deferred tax assets: Net operating loss carryforward $ 53,189 $ 41,086 Property & equipment 648 524 Inventory 395 58 Stock options 11,473 8,195 Intangible assets, definite-lived 40 42 General business credit 9,300 6,651 Deferred revenue 23 253 Other 24 45 Total deferred income tax assets 75,092 56,854 Valuation allowance (63,060 ) (56,854 ) Deferred tax assets $ 12,032 $ — Deferred income tax liabilities: Debt amortization $ (12,032 ) $ — Total deferred income tax liabilities $ (12,032 ) $ — Net deferred income taxes $ — $ — As of December 31, 2018 , the Company generated regular tax federal net operating losses of approximately $221.5 million . The Company's ability to realize tax benefit from the net operating loss is subject to annual limitation under Internal Revenue Code Section 382. The Company will never get the benefit of $4.2 million of the net operating losses generated prior to June 26, 2012. The deferred tax asset has been adjusted to reflect the Section 382 limitation. The net operating losses available for future use are approximately $217.3 million . As a result of the Tax Act, for U.S. income tax purposes, net operating losses generated prior to December 31, 2017 can still be carried forward for up to 20 years, but net operating losses generated after December 31, 2017 carry forward indefinitely, but are limited to 80% utilization against taxable income. Of our total federal net operating loss of $221.5 million , $170.6 million will begin to expire in 2023 and $52.1 million will not expire but will only offset 80 percent of future taxable income. As of December 31, 2018 , the Company has generated state net operating losses of approximately $197.4 million . The Company's state net operating losses will begin to expire in 2033. The net deferred tax asset valuation allowance is $63.1 million as of December 31, 2018 , compared to $56.9 million as of December 31, 2017 . The valuation allowance is based on management’s assessment that it is more likely than not that the Company will not have taxable income in the foreseeable future. Due to the Company's consolidated loss position, the Company maintains a valuation allowance against its net deferred tax assets. During 2018, the Company recognized $14.0 million of the initial deferred tax liability related to the 2018 convertible debt with an adjustment to equity in accordance with ASC 740. The establishment of the deferred tax liability resulted in the reduction of the Company's valuation allowance on existing deferred tax assets. The Company has recorded the reduction of the valuation allowance as an offsetting adjustment in equity. As a result, no net entry to equity was recorded for the 2018 convertible debt in 2018. Subsequent changes in the deferred tax liability related to the convertible debt would be recorded as a component of income tax expense or benefits. The Company began commercialization of its products in Europe in 2016 and has subsidiaries in the Netherlands, France, Germany, Italy, Spain, Russia, and the United Kingdom. The Company intends to treat earnings from its foreign subsidiaries as permanently reinvested. The difference between the U.S. federal statutory income tax rate and the Company’s effective tax rate for years ending December 31 is as follows: 2018 2017 2016 U.S. federal statutory income tax rate (21.00 )% (34.00 )% (34.00 )% State taxes, net of federal tax benefit (3.07 ) (2.62 ) (1.69 ) Permanent and other differences (0.26 ) (2.31 ) (0.17 ) Change in tax rates (0.41 ) (1.02 ) 0.67 Tax rate differential 4.92 8.99 8.62 Tax cuts and jobs act — 38.46 — Unrecognized tax benefits 0.81 1.20 1.09 Nondeductible equity and other compensation (0.17 ) (4.31 ) 1.17 Credit for increased research activities (3.12 ) (4.42 ) (3.31 ) Change in Valuation allowance 22.54 0.81 28.02 0.24 % 0.78 % 0.40 % The Company's uncertain tax positions at December 31 as follows (in thousands): 2018 2017 2016 Balance at beginning of year $ 2,141 $ 1,101 $ 343 Increases for prior positions 70 97 37 Increases for current year positions 775 943 721 Other increases — — — Decreases due to settlements — — — Expiration of the statute of limitations for the assessment of taxes — — — Other decreases (3 ) — — Balance at end of year $ 2,983 $ 2,141 $ 1,101 These uncertain positions are not expected to change within the next twelve months. Of the $3.0 million of uncertain tax positions, $0.1 million would impact the effective tax rate, if reversed. The Company accounts for interest on uncertain tax positions within tax expense. The Company's foreign subsidiaries are subject to applicable jurisdiction examination for all years of operations. The Company did not accrue interest or penalties for these uncertain tax positions as of December 31, 2018 . The Company incurred net operating losses since inception that are subject to adjustment under IRS and state examination. The Company has not experienced any adjustments to date and is not currently subject to audit in any jurisdiction. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 18. COMMITMENTS AND CONTINGENCIES Leases The Company has entered into lease agreements, lease amendments, and lease extensions (“Lease Agreements”) for office, laboratory and manufacturing space located in Tucson, Arizona and Europe. Total rent expense including common area charges was $1.4 million , $1.3 million and $1.1 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Future minimum lease payments under these agreements are as follows (in thousands): 2019 $ 334 2020 154 2021 97 2022 22 Thereafter — Total $ 607 Clinical Trial Agreements The Company has entered into master agreements with clinical trial sites in which we typically pay a set amount for start-up costs and then pay for work performed. These agreements typically indemnify the clinical trial sites from any and all losses arising from third party claims as a result of the Company's negligence, willful misconduct or misrepresentation. The expense incurred as part of the clinical trial is included in research and development on the Company's consolidated statements of operations and comprehensive loss. Marketing Study The Company has entered into marketing study agreements with research institutions and hospitals in which we typically pay a set amount for start-up costs and then pay for work performed. These agreements typically indemnify the sites from any and all losses arising from third party claims as a result of the Company's negligence, willful misconduct or misrepresentation. |
Industry, Geographic and Revenu
Industry, Geographic and Revenue Disaggregation | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Industry, Geographic and Revenue Disaggregation | NOTE 19. INDUSTRY, GEOGRAPHIC, AND REVENUE DISAGGREGATION The Company operates as one operating segment. Sales to customers outside the U.S. represented 27% , 28% and 3% of total revenue for the years ended December 31, 2018 , 2017 and 2016 , respectively. As of December 31, 2018 and 2017 , balances due from foreign customers, in U.S. dollars, were $1.0 million and $1.1 million , respectively. The following presents long-lived assets (excluding intangible assets) by geographic territory at December 31 (in thousands): 2018 2017 Domestic $ 6,309 $ 3,779 Foreign 994 1,111 $ 7,303 $ 4,890 The following presents total net sales by geographic territory for the years ended December 31 (in thousands): 2018 2017 2016 Domestic $ 4,153 $ 3,016 $ 238 Foreign 1,517 1,161 8 Net sales $ 5,670 $ 4,177 $ 246 The following presents total net sales by line of business for the years ended December 31 (in thousands): 2018 2017 2016 Accelerate Pheno™ revenue $ 5,547 $ 4,057 $ 163 Other revenue 123 120 83 Net sales $ 5,670 $ 4,177 $ 246 The following presents total net sales by products and services for the years ended December 31 (in thousands): 2018 2017 2016 Products $ 5,576 $ 4,157 $ 246 Services 94 20 — Net sales $ 5,670 $ 4,177 $ 246 Lease income included in net sales for the year ended December 31, 2018 was $0.4 million , which does not represent revenues recognized from contracts with customers. Lease income included in net sales for the years ended December 31, 2017 and 2016 is immaterial. |
Supplemental Data (Unaudited)
Supplemental Data (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Supplemental Data (Unaudited) | NOTE 20. SUPPLEMENTAL DATA (UNAUDITED) The following is a summary of unaudited selected quarterly financial information for the three months ended 2018 (in thousands, except per share data): December 31, September 30, June 30, March 31, Revenue $ 1,822 $ 1,355 $ 1,692 $ 801 Gross profit $ 524 $ 675 $ 975 $ 309 Loss from operations $ (19,759 ) $ (19,369 ) $ (20,415 ) $ (20,826 ) Net loss $ (22,191 ) $ (22,098 ) $ (23,225 ) $ (20,812 ) Basic and diluted net loss per share $ (0.41 ) $ (0.41 ) $ (0.43 ) $ (0.37 ) The following is a summary of unaudited selected quarterly financial information for the three months ended 2017 (in thousands, except per share data): December 31, September 30, June 30, March 31, Revenue $ 2,120 $ 828 $ 699 $ 530 Gross profit $ 1,470 $ 637 $ 564 $ 504 Loss from operations $ (16,136 ) $ (17,315 ) $ (16,423 ) $ (14,310 ) Net loss $ (16,296 ) $ (17,075 ) $ (16,457 ) $ (14,200 ) Basic and diluted net loss per share $ (0.29 ) $ (0.31 ) $ (0.31 ) $ (0.27 ) |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 21. SUBSEQUENT EVENTS |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles, (“U.S. GAAP”), and applicable rules and regulations of the United States Securities and Exchange Commission (“SEC”), regarding annual financial reporting. All amounts are rounded to the nearest thousand dollars unless otherwise indicated. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries after elimination of intercompany transactions and balances. |
Reclassification | Reclassification Certain prior year amounts have been reclassified for consistency with the current year presentation and had no effect on our net income, stockholders’ equity or cash flows. In the current period presentation and the revised prior period presentation, depreciation and amortization expenses are reported as a component of the individual costs and expenses as part of the statements of operations and comprehensive loss. |
Use of Estimates | Use of Estimates The preparation of the Company’s consolidated financial statements requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The more significant areas requiring the use of management estimates and assumptions relate to accounts receivable, inventory, property and equipment, intangible assets, accrued liabilities, warranty liabilities, tax valuation accounts and equity–based compensation. Actual results could differ materially from those estimates. |
Estimated Fair Value of Financial Instruments | Estimated Fair Value of Financial Instruments The Company follows ASC 820 , Fair Value Measurement, which has defined fair value and requires the Company to establish a framework for measuring fair value and disclose fair value measurements. The framework requires the valuation of assets and liabilities subject to fair value measurements using a three tiered approach and fair value measurement be classified and disclosed in one of the following three categories: • Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; • Level 2: Quoted prices for similar assets and liabilities in active markets, quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; • Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e. supported by little or no market activity). The carrying amounts of financial instruments such as cash and cash equivalents, trade accounts receivable, prepaid expenses, other current assets, accounts payable, accrued liabilities, and other current liabilities approximate the related fair values due to the short-term maturities of these instruments. |
Cash and Cash Equivalents | Cash and Cash Equivalents All highly liquid investments with an original maturity of three months or less at time of purchase are considered to be cash equivalents. Cash and cash equivalents include overnight repurchase agreement accounts and other investments. As part of our cash management process, excess operating cash is invested in overnight repurchase agreements with our bank. Repurchase agreements and other investments classified as cash and cash equivalents are not deposits and are not insured by the U.S. Government, the FDIC or any other government agency and involve investment risk including possible loss of principal. We believe however, that the market risk arising from holding these financial instruments is minimal. |
Investments | Investments The Company invests in various investments which are primarily held in the custody of major financial institutions. Investments consist of certificates of deposit, U.S. government and agency securities, commercial paper, asset-backed securities, and corporate notes and bonds. Management classifies its investments as available-for-sale investments and records these investments in the consolidated balance sheet at fair value. The Company considers all available-for-sale securities, including those with maturity dates beyond 12 months, as available to support current operational liquidity needs. Unrealized gains or losses for available-for-sale securities are included in accumulated other comprehensive income (loss), a component of stockholders’ equity. The Company classifies its investments as current based on the nature of the investments and their availability for use in current operations. The Company assesses whether an other-than-temporary impairment loss has occurred due to declines in fair value or other market conditions when an investment’s fair value remains less than its cost for more than twelve months. This assessment includes a determination of whether the investment is expected to recover in value and whether the Company has the intent and ability to hold the investment until the anticipated recovery in value occurs. When an investment is identified as having an other-than-temporary impairment loss, we adjust the cost basis of the investment down to fair value resulting in a realized loss. The new cost basis is not changed for subsequent recoveries in fair value and temporary future increases or decreases in fair value are included in other comprehensive income (loss) . |
Inventory | Inventory Inventory is stated at the lower of cost or market value (net realizable value). The Company determines the cost of inventory using the first-in, first out method. The Company estimates the recoverability of inventory by reference to internal estimates of future demands and product life cycles, including expiration. The Company periodically analyzes its inventory levels to identify inventory that may expire prior to expected sale or has a cost basis in excess of its estimated realizable value and records a charge to expense for such inventory as appropriate. |
Accounts Receivable | Accounts Receivable Accounts receivable consist of amounts due to the Company for sales to customers and are recorded net of an allowance for doubtful accounts. Receivables are written off if reasonable collection efforts prove unsuccessful. The Company provides for allowances on a specific account basis by recording charges to bad debt expense reported in sales, general, and administrative expenses. No allowance were recorded at December 31, 2018 and 2017 . |
Property and Equipment | Property and Equipment Property and equipment are recorded at cost. Maintenance and repairs are charged to expense as incurred and expenditures for major improvements are capitalized. Gains and losses from retirement or replacement are included in costs and expenses. Depreciation of property and equipment is computed using the straight-line method over the estimated useful life of the assets, ranging from one to seven years. Leasehold improvements are depreciated over the remaining life of the lease or the life of the asset, whichever is less. Property and equipment includes Accelerate Pheno™ systems (also referred to as instruments) used for sales demonstrations, instruments under rental agreements and instruments used for research and development. Depreciation expense for instruments used for sales demonstrations is recorded as a component of sales, general and administrative expense. Depreciation expense for instruments placed at customer sites pursuant to reagent rental agreements is recorded as a component of cost of sales. Depreciation expense for instruments used in our laboratory and research is recorded as a component of research and development expense. The Company retains title to these instruments and depreciates them over five years. |
Long-lived Assets | Long-lived Assets Long-lived assets and certain identifiable intangibles to be held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company continuously evaluates the recoverability of its long-lived assets based on estimated future cash flows from and the estimated fair value of such long-lived assets, and provides for impairment if such undiscounted cash flows or the estimated fair value are insufficient to recover the carrying amount of the long-lived asset. |
Warranty Reserve | Warranty Reserve Instruments are typically sold with a one year limited warranty, while kits and accessories are typically sold with a sixty days limited warranty. Accordingly, a provision for the estimated cost of the limited warranty repair is recorded at the time revenue is recognized. Our estimated warranty provision is based on our estimate of future repair events and the related estimated cost of repairs. The Company periodically assesses the adequacy of the warranty reserve and adjusts the amount as necessary. The expense incurred for these provisions is included in cost of sales on the consolidated statements of operations and comprehensive loss. |
Revenue Recognition, Cost of Sales and Shipping and Handling | Revenue Recognition The Company recognizes revenue when control of the promised good or service is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Sales taxes are excluded from revenues. We determine revenue recognition through the following steps: • Identification of the contract with a customer • Identification of the performance obligations in the contract • Determination of the transaction price • Allocation of the transaction price to the performance obligations • Recognition of revenue as we satisfy a performance obligation Product revenue is derived from the sale or rental of our instruments and sales of related consumable products. When an instrument is sold, revenue is generally recognized upon installation of the unit consistent with contract terms, which do not include a right of return. When a consumable product is sold, revenue is generally recognized upon shipment. Invoices are generally issued when revenue is recognized. Service revenue is derived from the sale of extended service agreements which are generally non-cancellable. This revenue is recognized on a straight-line basis over the contract term beginning on the effective date of the contract because the Company is standing ready to provide services. Invoices are generally issued annually and coincide with the beginning of individual service terms. Our contracts with customers may include multiple performance obligations. For such arrangements, we allocate revenue to each performance obligation based on its relative standalone selling price. We generally determine relative standalone selling prices based on the price charged to customers for each individual performance obligation. We also provide instruments to customers under “reagent rental” agreements, which are typically five years or less. Under these agreements, we install the instrument in the customer’s facility, provide service and the customer agrees to purchase consumable products at a stated price over the term of the agreement. Under reagent rental agreements, the Company’s customers pay an additional instrument rental fee for each consumable test kit purchased which varies based on the monthly volume of consumable test kits purchased. The instrument rental fee and consumable test kits are recognized as contingent rental payments and are included in net sales in the Company’s consolidated financial statements. Contracts sometimes have renewal clauses, but such clauses do not provide for a bargain renewal option or penalize the customer if they do not renew. The instrument remains the Company’s property throughout the term of the agreement and there is no transfer of title upon expiration. Our payment terms vary by the type and location of our customers and the product or services offered and range between 30 and 150 days . Sales commissions earned by our sales force are considered incremental and recoverable costs of obtaining a contract with a customer. The Company has determined these costs would have an amortization period of less than one year and has elected to recognize them as an expense when incurred. Contract asset opening and closing balances were immaterial for the year ended December 31, 2018 . Cost of Sales Cost of sales includes cost of materials, direct labor, equity-based compensation, facility and other manufacturing overhead costs for consumable tests and instruments sold to customers. Cost of sales for instruments also includes depreciation on revenue generating instruments that have been placed with our customers under a reagent rental agreement. Cost of sales includes repair and maintenance cost for instruments covered by a service agreement or instruments covered by a reagent rental agreement. Cost of sales also includes warranty related expenses. Shipping and Handling Shipping and handling costs billed to customers are included as a component of revenue. The corresponding expense incurred with third party carriers is included as a component of sales, general and administrative costs on the consolidated statements of operations and comprehensive loss. |
Leases | Leases The Company currently accounts for leases in accordance with ASC 840, Leases, which requires leases to be classified as either operating or capital leases. The Company classifies leases as capital leases when there is either a transfer of ownership at the end of the lease term, the lease contains a bargain purchase option, the lease term is seventy-five percent or more of the estimated economic life of the leased property or the minimum lease payments are ninety percent or more of the fair value of the leased property at lease inception. The Company has entered into reagent rental agreements that qualify as sales-type leases. In those instances, the present value of the minimum lease payments, computed at the interest rate implicit in the lease, is recorded as the sales price and a lease investment is recorded in current and non-current assets. Other leases are classified as operating leases. Operating lease rent is recorded as an operating expense on a monthly basis. For capital leases, both an asset and liability are recorded at the inception of the lease based on the present value of lease payments. The asset is included with property and equipment on the consolidated balance sheet and amortization is recorded on a straight-line basis over the term of the lease with the amortization expense included with depreciation on the statements of operations and comprehensive loss. For the liability, the amount due within the next year is recorded as a current liability and the amount due in more than a year is recorded as a long-term liability on the consolidated balance sheet. Interest expense is recorded based on the implicit or explicit interest rate used in the lease and is included as non-operating interest expense on the statements of operations and comprehensive loss. As of December 31, 2018 and 2017 , the Company did not carry any capital leases. |
Equity-Based Compensation | Equity-Based Compensation The Company may award stock options, restricted stock units (“RSUs”), performance-based options and other equity-based instruments to its employees, directors and consultants. Compensation cost related to equity-based instruments is based on the fair value of the instrument on the grant date, and is recognized over the requisite service period on a straight-line basis over the vesting period for each tranche (an accelerated attribution method) except for performance-based options. Performance-based stock options vest based on the achievement of performance targets. Compensation costs associated with performance-based option awards are recognized over the requisite service period based on probability of achievement. Performance-based stock options require management to make assumptions regarding the likelihood of achieving performance targets. The Company estimates the fair value of service based and performance based stock option awards, including modifications of stock option awards, using the Black-Scholes option pricing model. This model derives the fair value of stock options based on certain assumptions related to expected stock price volatility, expected option life, risk-free interest rate and dividend yield. • Volatility: The expected volatility is based on the historical volatility of the Company's stock price over the most recent period commensurate with the expected term of the stock option award. • Expected term: The estimated expected term for employee awards is based on the calculation published by the SEC in SAB110 for use when there is not a sufficient history of employee exercise patterns. For consultant awards, the estimated expected term is the same as the life of the award. • Risk-free interest rate: The risk-free interest rate is based on published U.S. Treasury rates for a term commensurate with the expected term. • Dividend yield: The dividend yield is estimated as zero as the Company has not paid dividends in the past and does not have any plans to pay any dividends in the foreseeable future. The Company records the fair value of RSUs or Stock Grants (“SGs”) based on published closing market price on the day before the grant date. The company accounts for forfeitures as they occur rather than on an estimated basis. The Company also has an employee stock purchase program whereby eligible employees can elect payroll deductions that are subsequently used to purchase common stock at a discounted price. There is no compensation recorded for this program as (i) the purchase discount does not exceed the issuance costs that would have been incurred to raise a significant amount of capital by a public offering, (ii) substantially all employees that meet limited employment qualifications may participate on an equitable basis, and (iii) the plan doesn't incorporate option features that would require compensation to be recorded. |
Deferred Tax Assets | Deferred Tax Assets Deferred tax assets and liabilities are recorded for the estimated future tax effects of temporary differences between the tax basis of assets and liabilities and amounts reported in the accompanying balance sheets. The change in deferred tax assets and liabilities for the period represents the deferred tax provision or benefit for the period. Effects of changes in enacted tax laws in deferred tax assets and liabilities are reflected as an adjustment to the tax provision or benefit in the period of enactment. The Company follows the provisions of ASC 740, Income Taxes , to account for any uncertainty in income taxes with respect to the accounting for all tax positions taken (or expected to be taken) on any income tax return. This guidance applies to all open tax periods in all tax jurisdictions in which the Company is required to file an income tax return. Under U.S. GAAP, in order to recognize an uncertain tax benefit the taxpayer must be more likely than not certain of sustaining the position, and the measurement of the benefit is calculated as the largest amount that is more likely than not to be realized upon resolution of the position. Interest and penalties, if any, would be recorded within tax expense. |
Foreign Currency Translation and Foreign Currency Transactions | Foreign Currency Translation and Foreign Currency Transactions Adjustments resulting from translating foreign functional currency financial statements into U.S. Dollars are included in the foreign currency translation adjustment, a component of accumulated other comprehensive income (loss) in the consolidated statements of stockholders’ equity. The Company has assets and liabilities, including receivables and payables, which are denominated in currencies other than their functional currency. These balance sheet items are subject to re-measurement, the impact of which is recorded in foreign currency exchange gain and loss, within the consolidated statement of operations and comprehensive loss. |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Basic earnings (loss) per share includes no dilution and is computed by dividing income (loss) available to common stockholders by the weighted average number of common shares outstanding for the period. Potentially dilutive common shares consist of shares issuable from stock options, unvested RSUs and warrants. Potentially dilutive common shares would also include common shares that would have been outstanding if notes convertible at the balance sheet date were converted. Diluted earnings are not presented when the effect of adding such additional common shares is antidilutive. Earnings per share are restated when certain transactions or events, including rights offerings determined to have bonus elements have occurred. |
Comprehensive Loss | Comprehensive Loss In addition to net loss, comprehensive loss includes all changes in equity during a period, except those resulting from investments by and distributions to owners. The Company holds investments classified as available-for-sale securities and records the change in fair market value as a component of comprehensive income (loss). The Company also has adjustments resulting from translating foreign functional currency financial statements into U.S. Dollars which is included as a component of comprehensive income (loss). |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Standards that were adopted In March 2018, the FASB issued ASU 2018-05, Income Taxes (Topic 740); Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 118. ASU 2018-05 provides guidance regarding the recording of tax impacts where uncertainty exists, in the period of adoption of the 2017 U.S. Tax Cuts and Jobs Act (the “Tax Act”). In accordance with this guidance, the Company’s financial results reflect provisional amounts for those specific income tax effects of the Tax Act for which the accounting under ASC 740 is incomplete but a reasonable estimate could be determined. During the year ended December 31, 2018, the Company did not recognize any changes to the provisional amounts recorded in its 2017 Annual Report on Form 10-K in connection with the Tax Act. Additionally, the Company filed its 2017 U.S. income tax return in the fourth quarter of 2018. In May of 2017, the FASB issued ASU 2017-09, Compensation-Stock Compensation (Topic 718); Scope of Modification Accounting, which provides guidance on which changes to the terms or conditions of a share-based payment award requires an entity to apply modification accounting. The amendments in this update will be applied prospectively to an award modified on or after the adoption date. We adopted the amendments of this ASU as of January 1, 2018 and concluded that they do not have a material impact on our consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740); Intra-Entity Transfers of Assets Other Than Inventory. ASU 2016-16 is effective for periods after December 15, 2017 and eliminates the requirement that the Company recognize the income tax consequences of an intra-entity transfer of an asset upon transfer other than inventory, eliminating the current recognition requirement. The Company adopted this ASU on January 1, 2018. In adopting this ASU, the Company recorded no cumulative-effect adjustment to retained earnings at January 1, 2018. As the U.S. and the consolidated group are in a net operating loss position, no prepaid tax has been recorded. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Topic 825); Recognition and Measurement of Financial Assets and Financial Liabilities. ASU 2016-01 requires equity investments, with some exceptions, be measured at fair value with valuation changes recognized in net income, simplifies the impairment assessment of some equity investments, eliminates the requirement to disclose the methods and significant assumptions used to estimate the fair value for financial instruments measured at amortized cost, requires the use of the exit price notion when measuring the fair value of financial instruments, requires separate presentation of some changes in other comprehensive income, requires separate presentation of financial assets and financial liabilities by measurement category and form of financial assets, and clarifies the need for a valuation allowance on some deferred tax assets. The Company adopted this ASU on January 1, 2018, and the adoption did not have a material impact on the Company’s consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606); an updated standard on revenue recognition. The new standard provides enhancements to the quality and consistency of how revenue is reported under the principle that revenue should be recognized in an amount that reflects the consideration to which the Company expects to be entitled in exchange for the transfer of promised goods or services. The Company adopted Topic 606 using the modified retrospective method applied to those contracts that were not fully performed by the Company as of January 1, 2018 . We recorded a decrease to opening retained earnings and an increase in deferred revenue of $0.1 million as of January 1, 2018 due to the cumulative impact of adopting Topic 606. The impact to revenues for the year ended December 31, 2018 was not material as a result of applying Topic 606. The reported results for 2017 and prior were prepared and are presented under the guidance of ASC 605, Revenue Recognition . Standards not yet adopted In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820); Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 modifies the disclosure requirements for fair value measurements. This ASU is effective for us on January 1, 2020, with early adoption permitted. We are currently assessing the impact this will have on our consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation - Stock Compensation (Topic 718); Improvements to Nonemployee Share-Based Payment Accounting. ASU 2018-07 simplifies the accounting for share-based payments made to nonemployees so the accounting for such payments is substantially the same as those made to employees. Under this ASU, share-based awards to nonemployees will be measured at fair value on the grant date of the awards, entities will need to assess the probability of satisfying performance conditions if any are present, and awards will continue to be classified according to ASC 718 upon vesting, which eliminates the need to reassess classification upon vesting, consistent with awards granted to employees. This ASU is effective for us on January 1, 2019. This update will not have an effect on our consolidated financial statements because all share-based awards granted to nonemployees are fully vested. In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220); Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (AOCI). ASU 2018-02 allows a reclassification from accumulated other comprehensive income to retained earnings for tax effects resulting from the Tax Act that the FASB refers to as having been stranded in AOCI. This ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company does not plan to reclassify these stranded tax effects and therefore, does not expect this standard to have an impact on its consolidated financial statements. In March 2017, the FASB issued ASU 2017-08, Receivable - Nonrefundable Fees and Other Costs (Topic 310-20); Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium. Specifically, the amendment requires premiums to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The amendments should be applied on a modified retrospective basis, with a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. This ASU is effective for us on January 1, 2019. This update will not have an effect on our consolidated financial statements because we do not carry any callable securities held at a premium. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326); Measurement of Credit Losses on Financial Instruments. In November 2018, ASU 2018-19 was issued which amended the standard. ASU 2016-13 amends the guidance on measuring credit losses on financial assets (including trade accounts receivable and available for sale debt securities) held at amortized cost. Currently, an “incurred loss” methodology is used for recognizing credit losses which delays recognition until it is probable a loss has been incurred. The amendment requires assets valued at amortized cost to be presented at the net amount expected to be collected using an allowance for credit losses. Reversal of credit losses on available for sale debt securities will be recorded in the current period net income. This ASU is effective for us on January 1, 2020, with early adoption permitted. We do not anticipate this guidance will have a significant impact on our consolidated financial statements. In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02 “Leases,” which together with subsequent amendments is included in ASC 842. ASC 842 requires a lessee to recognize a liability to make lease payments and an asset with respect to its right to use the underlying asset for the lease term. ASC 842 also addresses accounting and reporting by lessors, which is not significantly different from current accounting and reporting, and further provides for qualitative and quantitative disclosures. We currently plan to adopt ASC 842 on January 1, 2019 using the optional transition method allowed by ASU 2018-11. This optional transition method allows entities to apply the new leases standard at the adoption date (January 1, 2019 for the Company) and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. For contracts where we are the lessee, we will record lease liabilities and right of use assets for contracts in effect on January 1, 2019 based on the facts and circumstances as of that date. The Company will elect not to reassess whether any expired or existing contracts are or contain leases, not to reassess the lease classification for any expired or existing leases, not to reassess initial direct costs for any existing leases, and not to separate the lease components from the non-lease components for all classes of underlying assets . While we continue to evaluate certain provisions of ASC 842, based on our current estimates, we expect to recognize right of use assets and lessee lease liabilities of approximately $0.6 million with respect to operating leases. We do not believe the adoption of ASC 842 will have a material effect on our consolidated financial position, results of operations or cash flows. |
Concentration of Credit Risk | Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash equivalents, short-term investments and accounts receivable, including receivables from major customers. The Company grants credit to domestic and international clients in various industries. Exposure to losses on accounts receivable is principally dependent on each client's financial position. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Warranty Reserve | Product warranty reserve activity for the years ended December 31 is as follows (in thousands): 2018 2017 2016 Beginning balance $ 192 $ 1 $ — Provisions 420 331 18 Warranty expenses incurred (397 ) (140 ) (17 ) $ 215 $ 192 $ 1 |
Concentration of Credit Risk (T
Concentration of Credit Risk (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Risks and Uncertainties [Abstract] | |
Schedule of Customer Concentration | Customers who represented 10% or more of the Company’s total revenue consisted of the following at December 31 (in thousands). 2018 2017 2016 Customer A * 13% * Customer B * 18% * Customer C * * 87% * Less than 10% for the period indicated |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | The following tables represent the financial instruments measured at fair value on a recurring basis on the financial statements of the Company and the valuation approach applied to each class of financial instruments at December 31 (see Note 2, Summary of Significant Accounting Policies for further information): 2018 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash and cash equivalents: Money market funds $ 38,444 $ — $ — $ 38,444 Commercial paper — 1,493 — 1,493 Total cash and cash equivalents $ 38,444 $ 1,493 $ — $ 39,937 Investments: Certificates of deposit — 10,787 — 10,787 US Treasury securities 22,120 — — 22,120 US Agency securities — 7,980 — 7,980 Commercial paper — 17,025 — 17,025 Asset-backed securities — 11,998 — 11,998 Corporate notes and bonds — 30,308 — 30,308 Total investments 22,120 78,098 — 100,218 Total assets measured at fair value $ 60,564 $ 79,591 $ — $ 140,155 2017 (in thousands) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets: Cash and cash equivalents: Money market funds $ 7,832 $ — $ — $ 7,832 Investments: Certificates of deposit — 13,441 — 13,441 US Treasury securities 14,716 — — 14,716 US Agency securities — 8,459 — 8,459 Commercial paper — 9,171 — 9,171 Asset-backed securities — 3,025 — 3,025 Corporate notes and bonds — 31,836 — 31,836 Total investments 14,716 65,932 — 80,648 Total assets measured at fair value $ 22,548 $ 65,932 $ — $ 88,480 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Available-for-sale Investments | The following tables summarize the Company’s available-for-sale investments at December 31 (in thousands): AVAILABLE-FOR-SALE INVESTMENTS 2018 (in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Certificates of deposit $ 10,787 $ — $ — $ 10,787 US Treasury securities 22,185 1 (66 ) 22,120 US Agency securities 8,024 1 (45 ) 7,980 Commercial paper 17,025 — — 17,025 Asset-backed securities 12,007 — (9 ) 11,998 Corporate notes and bonds 30,361 — (53 ) 30,308 Total $ 100,389 $ 2 $ (173 ) $ 100,218 AVAILABLE-FOR-SALE INVESTMENTS 2017 (in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Certificates of deposit $ 13,441 $ — $ — $ 13,441 US Treasury securities 14,787 — (71 ) 14,716 US Agency securities 8,510 — (51 ) 8,459 Commercial paper 9,171 — — 9,171 Asset-backed securities 3,026 — (1 ) 3,025 Corporate notes and bonds 31,906 — (70 ) 31,836 Total $ 80,841 $ — $ (193 ) $ 80,648 |
Summary of Maturities of Available-for-sale Investments | The following table summarizes the maturities of the Company’s available-for-sale securities at December 31 (in thousands): AVAILABLE-FOR-SALE INVESTMENT MATURITIES (in thousands) 2018 2017 Amortized Cost Fair Value Amortized Cost Fair Value Due in less than 1 year $ 83,030 $ 82,893 $ 55,801 $ 55,735 Due in 1-5 years 17,359 17,325 25,040 24,913 Total $ 100,389 $ 100,218 $ 80,841 $ 80,648 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of Components of Inventories | Inventories consisted of the following at December 31 (in thousands): 2018 2017 Raw materials $ 4,064 $ 4,220 Work in process 495 377 Finished goods 3,187 3,466 Inventory, net $ 7,746 $ 8,063 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and equipment are recorded at cost and consisted of the following at December 31 (in thousands). PROPERTY AND EQUIPMENT (in thousands) 2018 2017 Computer equipment $ 2,700 $ 2,756 Technical equipment 3,868 3,348 Facilities 4,037 3,621 Instruments 5,318 1,400 Capital projects in progress 91 349 Total property and equipment $ 16,014 $ 11,474 Accumulated depreciation (8,711 ) (6,584 ) Net property and equipment $ 7,303 $ 4,890 |
Deferred Revenue, Income and _2
Deferred Revenue, Income and Remaining Performance Obligations (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Revenue and Income Summary | A summary of the balances as of December 31 follows (in thousands): 2018 2017 Products and services not yet delivered $ 217 $ 71 Arizona Commerce Authority grant — 1,000 Deferred revenue and income $ 217 $ 1,071 The following presents total net sales by line of business for the years ended December 31 (in thousands): 2018 2017 2016 Accelerate Pheno™ revenue $ 5,547 $ 4,057 $ 163 Other revenue 123 120 83 Net sales $ 5,670 $ 4,177 $ 246 The following presents total net sales by products and services for the years ended December 31 (in thousands): 2018 2017 2016 Products $ 5,576 $ 4,157 $ 246 Services 94 20 — Net sales $ 5,670 $ 4,177 $ 246 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Potentially Issuable Common Shares Excluded from Computation of Diluted Net Loss Per Share | The following potentially issuable common shares were not included in the computation of diluted net loss per share because they would have an anti-dilutive effect due to net losses at of the following at December 31 (in thousands): 2018 2017 2016 Shares issuable upon the release of warrants — — 416 Shares issuable upon the release of restricted stock awards 76 24 40 Shares issuable upon exercise of stock options 8,091 7,328 6,857 8,167 7,352 7,313 |
Employee and Consultant Equit_2
Employee and Consultant Equity-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Option Activity | The following table summarizes option activity under all plans during the years ending December 31, 2018 , and 2017 and shows the exercisable shares as of December 31, 2018 : Stock Option Activity Number of Shares Weighted Average Exercise Price per Share Options Outstanding January 1, 2017 6,857,124 $ 7.72 Granted 1,208,542 23.84 Forfeited (79,962 ) 17.82 Exercised (656,846 ) 8.93 Expired (727 ) 24.45 Options Outstanding December 31, 2017 7,328,131 10.16 Granted 1,390,014 24.46 Forfeited (230,779 ) 21.47 Exercised (357,373 ) 10.49 Expired (39,357 ) 22.24 Options Outstanding December 31, 2018 8,090,636 12.22 Exercisable December 31, 2018 5,824,748 8.39 |
Black-Scholes Assumptions for Option Granted | The table below summarizes the inputs used to calculate the estimated fair value of options awarded for the years ended December 31 : Black-Scholes Assumptions for Options Granted 2018 2017 2016 Expected term (in years) 6.01 6.23 6.43 Volatility 66 % 77 % 86 % Expected dividends — — — Risk free interest rates 2.7 % 2.1 % 1.6 % Estimated forfeitures — % — % 8.5 % Weighted average fair value $ 14.87 $ 16.24 $ 10.35 |
Stock Option Supplemental Information | The following table shows summary information for outstanding options and options that are exercisable (vested) as of December 31, 2018 : Stock Option Supplemental Information Options Outstanding Options Exercisable Number of options 8,090,636 5,824,748 Weighted average remaining contractual term (in years) 5.67 4.56 Weighted average exercise price $ 12.22 $ 8.39 Weighted average fair value $ 8.44 $ 5.92 Aggregate intrinsic value (in millions) $ 33.9 $ 33.9 |
Restricted Stock Activity | The following table summarizes RSU and SG activity during the years ending December 31, 2018 and 2017 : RSU and SG Activity Number of Shares Weighted Average Grant Date Fair Value per Share RSUs & SGs Outstanding January 1, 2017 40,250 $ 20.91 Granted 1,911 22.40 Forfeited — — Vested/released (18,011 ) 21.07 RSUs & SGs outstanding December 31, 2017 24,150 20.91 Granted 76,000 17.33 Forfeited — — Vested/released (24,150 ) 16.58 RSUs & SGs outstanding December 31, 2018 76,000 18.70 |
Weighted Average Fair Value of RSU's and SG's Awarded | The table below summarizes the weighted average fair value of RSUs and SGs awarded for the years ending December 31 : RSU and SG Grants 2018 2017 2016 Weighted average fair value $ 17.33 $ 22.40 $ — |
Equity-Based Compensation Expense and Tax Benefit | The expense and tax benefits recognized on the Company’s consolidated statements of operations and comprehensive loss related to options for the years ending December 31 (in thousands): Equity-Based Compensation Expenses and Tax Benefit (in thousands) 2018 2017 2016 Cost of Sales $ 189 $ 99 $ — Research and development 4,760 3,738 1,585 Sales, general and administrative 9,473 10,096 7,190 Total equity-based compensation expense $ 14,422 $ 13,933 $ 8,775 Recognized tax benefit $ — $ — $ — |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Pretax Loss from Operations | The components of the pretax loss from operations for the years ended December 31 are as follows (in thousands): 2018 2017 2016 U.S. Domestic $ (67,508 ) $ (46,849 ) $ (48,539 ) Foreign (20,607 ) (16,686 ) (17,568 ) Net loss before income taxes $ (88,115 ) $ (63,535 ) $ (66,107 ) |
Schedule of Provision for Income Taxes | The components of the provision for income taxes for the years ended December 31 is presented in the following table: 2018 2017 2016 Current: Federal $ — $ — $ — State 14 — — Foreign 197 493 267 Total current provision 211 493 267 Deferred: Federal — — — State — — — Foreign — — — Total deferred provision — — — Total provision $ 211 $ 493 $ 267 |
Deferred Income Tax Components | Significant components of the Company’s net deferred income taxes for the years ended December 31 are as follows (in thousands): 2018 2017 Deferred tax assets: Net operating loss carryforward $ 53,189 $ 41,086 Property & equipment 648 524 Inventory 395 58 Stock options 11,473 8,195 Intangible assets, definite-lived 40 42 General business credit 9,300 6,651 Deferred revenue 23 253 Other 24 45 Total deferred income tax assets 75,092 56,854 Valuation allowance (63,060 ) (56,854 ) Deferred tax assets $ 12,032 $ — Deferred income tax liabilities: Debt amortization $ (12,032 ) $ — Total deferred income tax liabilities $ (12,032 ) $ — Net deferred income taxes $ — $ — |
Effective Tax Rate | The difference between the U.S. federal statutory income tax rate and the Company’s effective tax rate for years ending December 31 is as follows: 2018 2017 2016 U.S. federal statutory income tax rate (21.00 )% (34.00 )% (34.00 )% State taxes, net of federal tax benefit (3.07 ) (2.62 ) (1.69 ) Permanent and other differences (0.26 ) (2.31 ) (0.17 ) Change in tax rates (0.41 ) (1.02 ) 0.67 Tax rate differential 4.92 8.99 8.62 Tax cuts and jobs act — 38.46 — Unrecognized tax benefits 0.81 1.20 1.09 Nondeductible equity and other compensation (0.17 ) (4.31 ) 1.17 Credit for increased research activities (3.12 ) (4.42 ) (3.31 ) Change in Valuation allowance 22.54 0.81 28.02 0.24 % 0.78 % 0.40 % |
Uncertain Tax Positions | The Company's uncertain tax positions at December 31 as follows (in thousands): 2018 2017 2016 Balance at beginning of year $ 2,141 $ 1,101 $ 343 Increases for prior positions 70 97 37 Increases for current year positions 775 943 721 Other increases — — — Decreases due to settlements — — — Expiration of the statute of limitations for the assessment of taxes — — — Other decreases (3 ) — — Balance at end of year $ 2,983 $ 2,141 $ 1,101 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Operating Leases Obligations | Future minimum lease payments under these agreements are as follows (in thousands): 2019 $ 334 2020 154 2021 97 2022 22 Thereafter — Total $ 607 |
Industry, Geographic and Reve_2
Industry, Geographic and Revenue Disaggregation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Long-lived Assets by Geographic Territory | The following presents long-lived assets (excluding intangible assets) by geographic territory at December 31 (in thousands): 2018 2017 Domestic $ 6,309 $ 3,779 Foreign 994 1,111 $ 7,303 $ 4,890 |
Total Net Sales by Geographic Territory | The following presents total net sales by geographic territory for the years ended December 31 (in thousands): 2018 2017 2016 Domestic $ 4,153 $ 3,016 $ 238 Foreign 1,517 1,161 8 Net sales $ 5,670 $ 4,177 $ 246 |
Disaggregation of Revenue | A summary of the balances as of December 31 follows (in thousands): 2018 2017 Products and services not yet delivered $ 217 $ 71 Arizona Commerce Authority grant — 1,000 Deferred revenue and income $ 217 $ 1,071 The following presents total net sales by line of business for the years ended December 31 (in thousands): 2018 2017 2016 Accelerate Pheno™ revenue $ 5,547 $ 4,057 $ 163 Other revenue 123 120 83 Net sales $ 5,670 $ 4,177 $ 246 The following presents total net sales by products and services for the years ended December 31 (in thousands): 2018 2017 2016 Products $ 5,576 $ 4,157 $ 246 Services 94 20 — Net sales $ 5,670 $ 4,177 $ 246 |
Supplemental Data (Unaudited) (
Supplemental Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information | The following is a summary of unaudited selected quarterly financial information for the three months ended 2018 (in thousands, except per share data): December 31, September 30, June 30, March 31, Revenue $ 1,822 $ 1,355 $ 1,692 $ 801 Gross profit $ 524 $ 675 $ 975 $ 309 Loss from operations $ (19,759 ) $ (19,369 ) $ (20,415 ) $ (20,826 ) Net loss $ (22,191 ) $ (22,098 ) $ (23,225 ) $ (20,812 ) Basic and diluted net loss per share $ (0.41 ) $ (0.41 ) $ (0.43 ) $ (0.37 ) The following is a summary of unaudited selected quarterly financial information for the three months ended 2017 (in thousands, except per share data): December 31, September 30, June 30, March 31, Revenue $ 2,120 $ 828 $ 699 $ 530 Gross profit $ 1,470 $ 637 $ 564 $ 504 Loss from operations $ (16,136 ) $ (17,315 ) $ (16,423 ) $ (14,310 ) Net loss $ (16,296 ) $ (17,075 ) $ (16,457 ) $ (14,200 ) Basic and diluted net loss per share $ (0.29 ) $ (0.31 ) $ (0.31 ) $ (0.27 ) |
Organization and Nature of Bu_2
Organization and Nature of Business; Basis of Presentation; Principles of Consolidation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Depreciation and amortization expense | $ 2.5 | $ 2.2 | $ 2.3 |
Reclassification | Research and development | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Depreciation and amortization expense | 0.8 | 1.1 | 1.4 |
Reclassification | Sales, general and administrative | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Depreciation and amortization expense | $ 1.2 | $ 0.6 | $ 1 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | Jan. 01, 2018 | Dec. 31, 2018 | Jan. 01, 2019 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||||
Instrument warranty term | 1 year | |||
Kits and accessories warranty term | 60 days | |||
Bundled rental agreement, term (under) | 5 years | |||
Deferred revenue and income | $ 217 | $ 1,071 | ||
Dividend yield (percent) | 0.00% | |||
Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, useful life | 1 year | |||
Payment terms | 30 days | |||
Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, useful life | 7 years | |||
Payment terms | 150 days | |||
Diagnostic instruments | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, useful life | 5 years | |||
ASU 2014-09 | ||||
Property, Plant and Equipment [Line Items] | ||||
Opening retained earnings adjustment | $ 100 | |||
Deferred revenue and income | $ 100 | |||
Expected | Subsequent Event | ASU 2016-02 | ||||
Property, Plant and Equipment [Line Items] | ||||
Right of use assets | $ 600 | |||
Lessee lease liabilities | $ 600 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies Warranty Reserve (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | |||
Beginning balance | $ 192 | $ 1 | $ 0 |
Provisions | 420 | 331 | 18 |
Warranty expenses incurred | (397) | (140) | (17) |
Ending balance | $ 215 | $ 192 | $ 1 |
Concentration of Credit Risk (D
Concentration of Credit Risk (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Total revenue | One Customer | |||
Concentration Risk [Line Items] | |||
Risk concentration | 27.00% | 28.00% | 3.00% |
Customer concentration | Accounts Receivable | One Customer | |||
Concentration Risk [Line Items] | |||
Risk concentration | 10.00% | 24.00% | |
Customer concentration | Total revenue | Customer A | |||
Concentration Risk [Line Items] | |||
Risk concentration | 13.00% | ||
Customer concentration | Total revenue | Customer B | |||
Concentration Risk [Line Items] | |||
Risk concentration | 18.00% | ||
Customer concentration | Total revenue | Customer C | |||
Concentration Risk [Line Items] | |||
Risk concentration | 87.00% | ||
Financial Institution A | Concentration of Credit Risk | Cash and Cash Equivalents | |||
Concentration Risk [Line Items] | |||
Risk concentration | 43.00% | 82.00% | |
Financial Institution B | Concentration of Credit Risk | Cash and Cash Equivalents | |||
Concentration Risk [Line Items] | |||
Risk concentration | 46.00% | 12.00% |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Schedule of Fair Value Measurement (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Investment [Line Items] | ||
Total investments | $ 100,218 | $ 80,648 |
Recurring | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 39,937 | |
Total investments | 100,218 | 80,648 |
Total assets measured at fair value | 140,155 | 88,480 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 38,444 | |
Total investments | 22,120 | 14,716 |
Total assets measured at fair value | 60,564 | 22,548 |
Recurring | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 1,493 | |
Total investments | 78,098 | 65,932 |
Total assets measured at fair value | 79,591 | 65,932 |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 0 | |
Total investments | 0 | 0 |
Total assets measured at fair value | 0 | 0 |
Recurring | Certificates of deposit | ||
Investment [Line Items] | ||
Total investments | 10,787 | 13,441 |
Recurring | Certificates of deposit | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Certificates of deposit | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total investments | 10,787 | 13,441 |
Recurring | Certificates of deposit | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | US Treasury securities | ||
Investment [Line Items] | ||
Total investments | 22,120 | 14,716 |
Recurring | US Treasury securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total investments | 22,120 | 14,716 |
Recurring | US Treasury securities | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | US Treasury securities | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | US Agency securities | ||
Investment [Line Items] | ||
Total investments | 7,980 | 8,459 |
Recurring | US Agency securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | US Agency securities | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total investments | 7,980 | 8,459 |
Recurring | US Agency securities | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Commercial paper | ||
Investment [Line Items] | ||
Total investments | 17,025 | 9,171 |
Recurring | Commercial paper | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Commercial paper | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total investments | 17,025 | 9,171 |
Recurring | Commercial paper | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Asset-backed securities | ||
Investment [Line Items] | ||
Total investments | 11,998 | 3,025 |
Recurring | Asset-backed securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Asset-backed securities | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total investments | 11,998 | 3,025 |
Recurring | Asset-backed securities | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Corporate notes and bonds | ||
Investment [Line Items] | ||
Total investments | 30,308 | 31,836 |
Recurring | Corporate notes and bonds | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Corporate notes and bonds | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total investments | 30,308 | 31,836 |
Recurring | Corporate notes and bonds | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total investments | 0 | 0 |
Recurring | Money market funds | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 38,444 | 7,832 |
Recurring | Money market funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 38,444 | 7,832 |
Recurring | Money market funds | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 0 | 0 |
Recurring | Money market funds | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 0 | $ 0 |
Recurring | Commercial paper | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 1,493 | |
Recurring | Commercial paper | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 0 | |
Recurring | Commercial paper | Significant Other Observable Inputs (Level 2) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | 1,493 | |
Recurring | Commercial paper | Significant Unobservable Inputs (Level 3) | ||
Investment [Line Items] | ||
Total cash and cash equivalents | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Narrative (Details) - USD ($) | Apr. 06, 2018 | Mar. 27, 2018 | Dec. 31, 2018 |
Debt Instrument [Line Items] | |||
Over-allotment option, term | 13 days | ||
Over-allotment option | $ 22,500,000 | ||
Additional proceeds | $ 21,500,000 | ||
Unsecured obligations | 2.50% Convertible notes due 2023 | |||
Debt Instrument [Line Items] | |||
Aggregate principal amount | $ 150,000,000 | ||
Interest rate | 2.50% | ||
Long-term debt | $ 116,600,000 | $ 171,500,000 | |
Fair value | $ 121,400,000 |
Investments - Schedule of Avail
Investments - Schedule of Available-for-sale Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Investment [Line Items] | ||
Total | $ 100,389 | $ 80,841 |
Gross Unrealized Gains | 2 | 0 |
Gross Unrealized Losses | (173) | (193) |
Fair Value | 100,218 | 80,648 |
Certificates of deposit | ||
Investment [Line Items] | ||
Total | 10,787 | 13,441 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 10,787 | 13,441 |
US Treasury securities | ||
Investment [Line Items] | ||
Total | 22,185 | 14,787 |
Gross Unrealized Gains | 1 | 0 |
Gross Unrealized Losses | (66) | (71) |
Fair Value | 22,120 | 14,716 |
US Agency securities | ||
Investment [Line Items] | ||
Total | 8,024 | 8,510 |
Gross Unrealized Gains | 1 | 0 |
Gross Unrealized Losses | (45) | (51) |
Fair Value | 7,980 | 8,459 |
Commercial paper | ||
Investment [Line Items] | ||
Total | 17,025 | 9,171 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 17,025 | 9,171 |
Asset-backed securities | ||
Investment [Line Items] | ||
Total | 12,007 | 3,026 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (9) | (1) |
Fair Value | 11,998 | 3,025 |
Corporate notes and bonds | ||
Investment [Line Items] | ||
Total | 30,361 | 31,906 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (53) | (70) |
Fair Value | $ 30,308 | $ 31,836 |
Investments - Schedule of Ava_2
Investments - Schedule of Available-For-Sale Investment Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Amortized Cost | ||
Due in less than 1 year | $ 83,030 | $ 55,801 |
Due in 1-5 years | 17,359 | 25,040 |
Total | 100,389 | 80,841 |
Fair Value | ||
Due in less than 1 year | 82,893 | 55,735 |
Due in 1-5 years | 17,325 | 24,913 |
Total | $ 100,218 | $ 80,648 |
Investments - Narrative (Detail
Investments - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |||
Proceeds from sales of marketable securities | $ 3,000 | $ 11,522 | $ 9,716 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 4,064 | $ 4,220 |
Work in process | 495 | 377 |
Finished goods | 3,187 | 3,466 |
Inventory, net | $ 7,746 | $ 8,063 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 16,014 | $ 11,474 | |
Accumulated depreciation | (8,711) | (6,584) | |
Net property and equipment | 7,303 | 4,890 | |
Systems reclassified from inventory | 1,900 | ||
Depreciation expense | 2,500 | 2,200 | $ 2,300 |
Inventory Transfers | |||
Property, Plant and Equipment [Line Items] | |||
Systems reclassified from inventory | 100 | ||
Computer equipment | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 2,700 | 2,756 | |
Technical equipment | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 3,868 | 3,348 | |
Facilities | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 4,037 | 3,621 | |
Instruments | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 5,318 | 1,400 | |
Capital projects in progress | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 91 | $ 349 |
License Agreements and Grants -
License Agreements and Grants - National Institute of Health Grant (Details) - National Institute of Health Grant - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | 35 Months Ended | ||
Feb. 28, 2015 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2017 | |
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Length of project (years) | 5 years | ||||
Total grant funding | $ 5 | $ 0.2 | $ 0.2 | $ 0.1 | |
Cumulative sub-award | $ 1.1 |
License Agreements and Grants_2
License Agreements and Grants - Arizona Commerce Authority Grant and R&D Refundable Tax Credit Program (Details) | 1 Months Ended | 12 Months Ended | |||
Jan. 31, 2018USD ($) | Aug. 31, 2012USD ($)jobmilestone | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Research and Development [Abstract] | |||||
Arizona Commerce Authority grant | $ 1,000,000 | $ 1,000,000 | |||
Number of milestones | milestone | 4 | ||||
Qualified jobs created, milestone 1 | job | 15 | ||||
Qualified jobs created, milestone 2 | job | 30 | ||||
Qualified jobs created, milestone 3 | job | 40 | ||||
Qualified jobs created, milestone 4 | job | 65 | ||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Deferred revenue recognized | $ 1,000,000 | ||||
Offset to research and development project | $ 0 | $ 0 | $ 1,200,000 | ||
Minimum | |||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Capital investment milestone | $ 4,500,000 | ||||
Grant related minimum annual wages | $ 63,000 | ||||
Percent of company paid premiums | 65.00% |
Deferred Revenue, Income and _3
Deferred Revenue, Income and Remaining Performance Obligations (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Aug. 31, 2012 | |
Disaggregation of Revenue [Line Items] | ||||
Current deferred revenue and income | $ 1,071 | $ 1,071 | ||
Arizona Commerce Authority grant | 0 | $ 1,000 | ||
Current deferred revenue and income | 217 | |||
Milestone payments received | 1,000 | $ 1,000 | ||
Revenues recognized included in contract liabilities balances | 1,000 | 26 | ||
Revenue expected to be recognized from remaining performance obligations | $ 1,700 | |||
Contact period | The service contracts typically provide for four-year terms and revenue is recognized on a straight-line basis. The bundled lease agreements have between two and four year terms and revenue is recognized as product is shipped, typically in a straight-line pattern. | |||
Products and services not yet delivered | ||||
Disaggregation of Revenue [Line Items] | ||||
Current deferred revenue and income | $ 71 | $ 71 | ||
Current deferred revenue and income | $ 217 |
Convertible Notes (Details)
Convertible Notes (Details) | Apr. 06, 2018USD ($)day | Apr. 04, 2018USD ($) | Mar. 27, 2018USD ($)$ / shares | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($)shares | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2012$ / shares |
Debt Instrument [Line Items] | ||||||||
Proceeds from issuance of convertible note | $ 171,500,000 | $ 0 | $ 0 | |||||
Over-allotment option, term | 13 days | |||||||
Over-allotment option | $ 22,500,000 | |||||||
Additional proceeds | $ 21,500,000 | |||||||
Conversion ratio | 0.0323428 | |||||||
Initial conversion price (usd per share) | $ / shares | $ 1.03 | |||||||
Stock price conversion threshold, percentage | 130.00% | |||||||
Consecutive trading days | day | 20 | |||||||
Threshold trading days | 30 | |||||||
Trading price threshold, percentage | 98.00% | |||||||
Repurchase principal balance, percent | 100.00% | |||||||
Unamortized debt discount | 48,400,000 | |||||||
Debt issuance costs, net | 3,000,000 | |||||||
Interest expense | 3,300,000 | |||||||
Amortization of debt issuance costs | 399,000 | |||||||
Amortization of the debt discount | $ 6,500,000 | |||||||
Interest paid | $ 2,000,000 | |||||||
Net proceeds from notes to fund Prepaid Forward | $ 45,100,000 | |||||||
Aggregate number of shares | shares | 1,858,500 | |||||||
Unsecured obligations | 2.50% Convertible notes due 2023 | ||||||||
Debt Instrument [Line Items] | ||||||||
Proceeds from issuance of convertible note | $ 171,500,000 | |||||||
Aggregate principal amount | $ 150,000,000 | |||||||
Interest rate | 2.50% | |||||||
Conversion multiple | 1,000 | |||||||
Initial conversion price (usd per share) | $ / shares | $ 30.92 | |||||||
Long-term debt | 116,600,000 | $ 171,500,000 | ||||||
Equity component | 54,900,000 | |||||||
Debt issuance costs | $ 5,000,000 | |||||||
Contractual term | 5 years | |||||||
Effective interest rate | 11.52% | |||||||
Net carrying amount | $ 120,100,000 | |||||||
Unsecured obligations | 2.50% Convertible notes due 2023 | Long-term debt | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt issuance costs | $ 3,400,000 | |||||||
Unsecured obligations | 2.50% Convertible notes due 2023 | Contributed Capital | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt issuance costs | $ 1,600,000 |
Stock Purchase (Details)
Stock Purchase (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | Dec. 31, 2013USD ($)$ / shares$ / warrantshares | Dec. 31, 2012USD ($)$ / shares$ / warrantshares | Jun. 26, 2017shares | |
Securities Financing Transactions Disclosures [Abstract] | |||||
Price per share (dollars per share) | $ / shares | $ 1.03 | ||||
Stock and warrants purchase price | $ | $ 14,400 | ||||
Shares of common stock (shares) | 14,000,000 | ||||
Warrants to purchase common stock (shares) | 7,000,000 | ||||
Price per warrant (dollars per share) | $ / warrant | 1.03 | 1.03 | |||
Additional warrant to purchase common stock (shares) | 7,000,000 | ||||
Price per warrant (dollars per share) | $ / warrant | 2 | ||||
Value of warrants | $ | $ 5,900 | ||||
Value of common stock | $ | $ 8,500 | ||||
Exercised warrants (percent) | 92.00% | ||||
Price per warrant (dollars per share) | $ / shares | $ 2 | $ 2 | $ 2 | ||
Additional exercised warrant per purchase agreement (shares) | 6,400,000 | ||||
Unexercised warrants (shares) | 415,871 | 571,160 | 45,564 | ||
Proceeds from warrants | $ | $ 700 | $ 311 | $ 20,100 | ||
Additional exercised warrant per purchase agreement (shares) | 370,307 | 155,289 |
Public Offering (Details)
Public Offering (Details) - USD ($) $ / shares in Units, $ in Millions | Jun. 14, 2017 | May 15, 2017 | May 09, 2017 | Dec. 31, 2017 |
Common stock | ||||
Class of Stock [Line Items] | ||||
Issuance of common stock and warrants (shares) | 3,085,000 | |||
Shares to the public | ||||
Class of Stock [Line Items] | ||||
Sale of stock (shares) | 2,750,000 | |||
Underwriters | ||||
Class of Stock [Line Items] | ||||
Sale of stock (shares) | 335,484 | |||
Underwriters | Common stock | ||||
Class of Stock [Line Items] | ||||
Issuance of common stock and warrants (shares) | 412,500 | |||
Public offering | ||||
Class of Stock [Line Items] | ||||
Public offering price (dollars per share) | $ 28.85 | |||
Underwriting discounts and commissions (dollars per share) | $ 1.73 | |||
Gross proceeds from sale of common stock | $ 89 | |||
Underwriting discounts, commissions and other costs | 5.8 | |||
Net proceeds | $ 83.2 |
Related Party Transaction (Deta
Related Party Transaction (Details) - USD ($) | 1 Months Ended | |
Jun. 30, 2016 | Mar. 27, 2018 | |
Recovery of short-swing profit | ||
Related Party Transaction [Line Items] | ||
Recovery of related party short-swing profits | $ 900,000 | |
2.50% Convertible notes due 2023 | Unsecured obligations | ||
Related Party Transaction [Line Items] | ||
Aggregate principal amount | $ 150,000,000 | |
2.50% Convertible notes due 2023 | Unsecured obligations | Company affiliates with a member of the board | ||
Related Party Transaction [Line Items] | ||
Aggregate principal amount | $ 30,000,000 |
Earnings (Loss) Per Share (Deta
Earnings (Loss) Per Share (Details) | Mar. 27, 2018 | Dec. 31, 2018USD ($)shares | Dec. 31, 2017shares | Dec. 31, 2016shares | Apr. 06, 2018USD ($) |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive common stock instruments outstanding (shares) | 8,167,000 | 7,352,000 | 7,313,000 | ||
Conversion ratio | 0.0323428 | ||||
Shares issued | 0 | ||||
Repurchase of common stock under Prepaid Forward contract (shares) | 1,858,500 | ||||
Shares issuable upon the release of warrants | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive common stock instruments outstanding (shares) | 0 | 0 | 416,000 | ||
Shares issuable upon the release of restricted stock awards | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive common stock instruments outstanding (shares) | 76,000 | 24,000 | 40,000 | ||
Shares issuable upon exercise of stock options | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive common stock instruments outstanding (shares) | 8,091,000 | 7,328,000 | 6,857,000 | ||
Maximum | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Shares issued | 5,500,000 | ||||
Unsecured obligations | 2.50% Convertible notes due 2023 | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Long-term debt | $ | $ 171,500,000 | $ 116,600,000 | |||
Conversion multiple | $ | $ 1,000 |
Employee and Consultant Equit_3
Employee and Consultant Equity-Based Compensation - Non-Qualified Stock Option Plan (Details) - shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise of options (shares) | 357,373 | 656,846 | |
Outstanding (shares) | 8,090,636 | 7,328,131 | 6,857,124 |
Non-Qualified Stock Option Plan | Shares issuable upon exercise of stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expiration period | 10 years | ||
Exercise of options (shares) | 280,000 | ||
Outstanding (shares) | 0 | ||
Options available (shares) | 0 |
Employee and Consultant Equit_4
Employee and Consultant Equity-Based Compensation - 2004 Omnibus Stock Option Plan (Details) - shares | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Jul. 31, 2012 | Dec. 31, 2016 | Dec. 31, 2004 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercise of options (shares) | 357,373 | 656,846 | |||
Outstanding (shares) | 8,090,636 | 7,328,131 | 6,857,124 | ||
2004 Omnibus Stock Option Plan | Shares issuable upon exercise of stock options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares authorized (shares) | 5,500,000 | 500,000 | |||
Additional shares authorized (shares) | 5,000,000 | ||||
Exercise of options (shares) | 757,975 | ||||
Outstanding (shares) | 3,182,025 | ||||
Options available (shares) | 0 |
Employee and Consultant Equit_5
Employee and Consultant Equity-Based Compensation - 2012 Omnibus Equity Incentive Plan (Details) - shares | 1 Months Ended | 12 Months Ended | ||||
May 30, 2017 | May 31, 2014 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Options exercised (shares) | 357,373 | 656,846 | ||||
Outstanding (shares) | 8,090,636 | 7,328,131 | 6,857,124 | |||
RSU's and SG's | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Released (shares) | 24,150 | 18,011 | ||||
2012 Omnibus Equity Incentive Plan | Shares issuable upon exercise of stock options | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Options available (shares) | 7,677,500 | 1,771,120 | 1,677,500 | |||
Additional shares authorized (shares) | 2,000,000 | 4,000,000 | ||||
Expiration period | 10 years | |||||
Options exercised (shares) | 879,608 | |||||
Released (shares) | 42,161 | |||||
Outstanding (shares) | 4,984,611 | |||||
2012 Omnibus Equity Incentive Plan | Shares issuable upon exercise of stock options | Vesting terms (i), cliff vesting | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting period | 1 year | |||||
2012 Omnibus Equity Incentive Plan | Shares issuable upon exercise of stock options | Vesting terms (ii), monthly vesting | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting period | 1 year | |||||
2012 Omnibus Equity Incentive Plan | Shares issuable upon exercise of stock options | Vesting terms (iv), annual vesting | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting period | 5 years | |||||
2012 Omnibus Equity Incentive Plan | Shares issuable upon exercise of stock options | Vesting terms (iv), two years after grant date | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting period | 2 years | |||||
Vesting percentage | 40.00% | |||||
2012 Omnibus Equity Incentive Plan | Shares issuable upon exercise of stock options | Vesting terms (iv), monthly over next three years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting period | 3 years | |||||
Vesting percentage | 60.00% |
Employee and Consultant Equit_6
Employee and Consultant Equity-Based Compensation - Stock Option Activity (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Number of Shares | |||
Outstanding, beginning balance (shares) | 7,328,131 | 6,857,124 | |
Granted (shares) | 1,390,014 | 1,208,542 | |
Forfeited (shares) | (230,779) | (79,962) | |
Exercised (shares) | (357,373) | (656,846) | |
Expired (shares) | (39,357) | (727) | |
Outstanding, ending balance (shares) | 8,090,636 | 7,328,131 | 6,857,124 |
Exercisable, ending balance (shares) | 5,824,748 | ||
Weighted Average Exercise Price per Share | |||
Outstanding, beginning balance (dollars per share) | $ 10.16 | $ 7.72 | |
Granted (dollars per share) | 24.46 | 23.84 | |
Forfeited (dollars per share) | 21.47 | 17.82 | |
Exercised (dollars per share) | 10.49 | 8.93 | |
Expired (dollars per share) | 22.24 | 24.45 | |
Outstanding, ending balance (dollars per share) | 12.22 | $ 10.16 | $ 7.72 |
Exercisable, ending balance (dollars per share) | $ 8.39 | ||
Cash received from the exercise of options | $ 3,700,000 | ||
Tax benefit from share-based compensation | 0 | ||
Intrinsic value of options exercised | 4,600,000 | $ 12,100,000 | $ 2,200,000 |
Fair value of shares vesting | $ 13,400,000 | $ 12,000,000 | $ 6,600,000 |
Employee and Consultant Equit_7
Employee and Consultant Equity-Based Compensation - Black-Scholes Assumptions for Option Granted (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Expected term (in years) | 6 years 4 days | 6 years 2 months 23 days | 6 years 5 months 5 days |
Volatility | 66.00% | 77.00% | 86.00% |
Expected dividends | $ 0 | $ 0 | $ 0 |
Risk free interest rates | 2.70% | 2.10% | 1.60% |
Estimated forfeitures | 0.00% | 0.00% | 8.50% |
Weighted average fair value (in dollars per share) | $ 14.87 | $ 16.24 | $ 10.35 |
Employee and Consultant Equit_8
Employee and Consultant Equity-Based Compensation - Stock Option Supplemental Information (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate intrinsic value (in millions) | $ 5.9 | |
Share price (dollars per share) | $ 11.50 | |
Options Outstanding | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of options (shares) | 8,090,636 | |
Weighted average remaining contractual term (in years) | 5 years 8 months 1 day | |
Weighted average exercise price (dollars per share) | $ 12.22 | |
Weighted average fair value (dollars per share) | $ 8.44 | |
Aggregate intrinsic value (in millions) | $ 33.9 | |
Options Exercisable | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of options (shares) | 5,824,748 | |
Weighted average remaining contractual term (in years) | 4 years 6 months 22 days | |
Weighted average exercise price (dollars per share) | $ 8.39 | |
Weighted average fair value (dollars per share) | $ 5.92 | |
Aggregate intrinsic value (in millions) | $ 33.9 |
Employee and Consultant Equit_9
Employee and Consultant Equity-Based Compensation - RSU and SG Activity (Details) - RSU's and SG's - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Number of Shares | |||
Beginning balance (shares) | 24,150 | 40,250 | |
Granted (shares) | 76,000 | 1,911 | |
Forfeited (shares) | 0 | 0 | |
Vested/Released (shares) | (24,150) | (18,011) | |
Ending balance (shares) | 76,000 | 24,150 | 40,250 |
Weighted Average Grant Date Fair Value per Share | |||
Beginning balance (dollars per share) | $ 20.91 | $ 20.91 | |
Granted (dollars per share) | 17.33 | 22.40 | $ 0 |
Forfeited (dollars per share) | 0 | 0 | |
Vested/released (dollars per share) | 16.58 | 21.07 | |
Ending balance (dollars per share) | $ 18.70 | $ 20.91 | $ 20.91 |
Employee and Consultant Equi_10
Employee and Consultant Equity-Based Compensation - Weighted Average Fair Value of RSU's and SG's Awarded (Details) - RSU's and SG's - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted (dollars per share) | $ 17.33 | $ 22.40 | $ 0 |
Fair value of units released | $ 400,000 | $ 400,000 | $ 0 |
Employee and Consultant Equi_11
Employee and Consultant Equity-Based Compensation - Equity-Based Compensation Expense and Tax Benefit and Narrative (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Aug. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation expense | $ 14,422,000 | $ 13,933,000 | $ 8,775,000 | |
Recognized tax benefit | 0 | 0 | 0 | |
Unrecognized equity-based compensation cost | 18,000,000 | |||
RSU's | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized equity-based compensation cost | 1,300,000 | |||
Performance-based stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation expense | 700,000 | |||
Unrecognized equity-based compensation cost | $ 0 | |||
Contractual life | 10 years | |||
Granted (shares) | 225,000 | |||
Vested (shares) | 50,000 | |||
Exercised (shares) | 0 | |||
Outstanding (shares) | 175,000 | |||
Nonvested (shares) | 150,000 | |||
Cost of Sales | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation expense | $ 189,000 | 99,000 | 0 | |
Research and development | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation expense | 4,760,000 | 3,738,000 | 1,585,000 | |
Sales, general and administrative | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation expense | 9,473,000 | 10,096,000 | $ 7,190,000 | |
Capitalized inventory | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation expense | 100,000 | 300,000 | ||
Property and equipment | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation expense | $ 100,000 | $ 48,000 | ||
Minimum | Performance-based stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Maximum | Performance-based stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 2 years | |||
Granted in 2018 | Minimum | Performance-based stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 5 years | |||
Granted in 2018 | Maximum | Performance-based stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 6 years |
Income Taxes - Components of th
Income Taxes - Components of the Pretax Loss From Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
U.S. Domestic | $ (67,508) | $ (46,849) | $ (48,539) |
Foreign | (20,607) | (16,686) | (17,568) |
Net loss before income taxes | $ (88,115) | $ (63,535) | $ (66,107) |
Income Taxes - Provision for In
Income Taxes - Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current: | |||
Federal | $ 0 | $ 0 | $ 0 |
State | 14 | 0 | 0 |
Foreign | 197 | 493 | 267 |
Total current provision | 211 | 493 | 267 |
Deferred: | |||
Federal | 0 | 0 | 0 |
State | 0 | 0 | 0 |
Foreign | 0 | 0 | 0 |
Total deferred provision | 0 | 0 | 0 |
Total provision | $ 211 | $ 493 | $ 267 |
Income Taxes - Deferred Income
Income Taxes - Deferred Income Taxes Components (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets: | ||
Net operating loss carryforward | $ 53,189 | $ 41,086 |
Property & equipment | 648 | 524 |
Inventory | 395 | 58 |
Stock options | 11,473 | 8,195 |
Intangible assets, definite-lived | 40 | 42 |
General business credit | 9,300 | 6,651 |
Deferred revenue | 23 | 253 |
Other | 24 | 45 |
Total deferred income tax assets | 75,092 | 56,854 |
Valuation allowance | (63,060) | (56,854) |
Deferred tax assets | 12,032 | 0 |
Deferred income tax liabilities: | ||
Debt amortization | (12,032) | 0 |
Total deferred income tax liabilities | (12,032) | 0 |
Net deferred income taxes | $ 0 | $ 0 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Operating Loss Carryforwards [Line Items] | ||||
Valuation allowance | $ 63,060 | $ 56,854 | ||
Initial deferred tax liability related to 2018 convertible debt | 12,032 | 0 | ||
Unrecognized tax benefits | 2,983 | $ 2,141 | $ 1,101 | $ 343 |
Uncertain tax positions that would impact the effective tax rate | 100 | |||
Domestic Tax Authority | Internal Revenue Service (IRS) | ||||
Operating Loss Carryforwards [Line Items] | ||||
Operating loss carryforwards | 221,500 | |||
Operating loss carryforwards, Sec. 382 limitation | 4,200 | |||
Net operating loss carryforwards | 217,300 | |||
Operating loss carryforwards, subject to expiration | 170,600 | |||
Operating loss carryforwards, not subject to expiration | 52,100 | |||
State and Local Jurisdiction | Arizona Department of Revenue | ||||
Operating Loss Carryforwards [Line Items] | ||||
Operating loss carryforwards | 197,400 | |||
Convertible debt | ||||
Operating Loss Carryforwards [Line Items] | ||||
Initial deferred tax liability related to 2018 convertible debt | $ 14,000 |
Income Taxes - Effective Tax Ra
Income Taxes - Effective Tax Rate (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
U.S. federal statutory income tax rate | (21.00%) | (34.00%) | (34.00%) |
State taxes, net of federal tax benefit | (3.07%) | (2.62%) | (1.69%) |
Permanent and other differences | (0.26%) | (2.31%) | (0.17%) |
Change in tax rates | (0.41%) | (1.02%) | 0.67% |
Tax rate differential | 4.92% | 8.99% | 8.62% |
Tax cuts and jobs act | 0.00% | 38.46% | 0.00% |
Unrecognized tax benefits | 0.81% | 1.20% | 1.09% |
Nondeductible equity and other compensation | (0.17%) | (4.31%) | 1.17% |
Credit for increased research activities | (3.12%) | (4.42%) | (3.31%) |
Change in Valuation allowance | 22.54% | 0.81% | 28.02% |
Effective tax rate | 0.24% | 0.78% | 0.40% |
Income Taxes - Uncertain Tax Po
Income Taxes - Uncertain Tax Positions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Uncertain Tax Positions | |||
Balance at beginning of year | $ 2,141 | $ 1,101 | $ 343 |
Increases for prior positions | 70 | 97 | 37 |
Increases for current year positions | 775 | 943 | 721 |
Other increases | 0 | 0 | 0 |
Decreases due to settlements | 0 | 0 | 0 |
Expiration of the statute of limitations for the assessment of taxes | 0 | 0 | 0 |
Other decreases | (3) | 0 | 0 |
Balance at end of year | $ 2,983 | $ 2,141 | $ 1,101 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Rent expense | $ 1.4 | $ 1.3 | $ 1.1 |
Commitments and Contingencies_2
Commitments and Contingencies - Operating Lease Obligations (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,019 | $ 334 |
2,020 | 154 |
2,021 | 97 |
2,022 | 22 |
Thereafter | 0 |
Total | $ 607 |
Industry, Geographic and Reve_3
Industry, Geographic and Revenue Disaggregation - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($) | Dec. 31, 2016 | |
Segment Reporting [Abstract] | |||
Number of operating segments | segment | 1 | ||
Concentration Risk [Line Items] | |||
Lease Income | $ 400 | ||
Property and equipment, net | $ 7,303 | $ 4,890 | |
Total revenue | One Customer | |||
Concentration Risk [Line Items] | |||
Risk concentration | 27.00% | 28.00% | 3.00% |
Property and equipment | Geographic Concentration | |||
Concentration Risk [Line Items] | |||
Property and equipment, net | $ 7,303 | $ 4,890 | |
Property and equipment | Geographic Concentration | Outside the U.S. | |||
Concentration Risk [Line Items] | |||
Property and equipment, net | $ 994 | $ 1,111 |
Industry, Geographic and Reve_4
Industry, Geographic and Revenue Disaggregation - Long-lived Assets and Total Net Revenue by Geographic Territory (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | $ 7,303 | $ 4,890 |
Geographic Concentration | Long-lived assets | ||
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | 7,303 | 4,890 |
Geographic Concentration | Domestic | Long-lived assets | ||
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | 6,309 | 3,779 |
Geographic Concentration | Foreign | Long-lived assets | ||
Geographic Areas, Long-Lived Assets [Abstract] | ||
Long-lived assets | $ 994 | $ 1,111 |
Industry, Geographic and Reve_5
Industry, Geographic and Revenue Disaggregation - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | $ 1,822 | $ 1,355 | $ 1,692 | $ 801 | $ 2,120 | $ 828 | $ 699 | $ 530 | $ 5,670 | $ 4,177 | $ 246 |
Accelerate Pheno™ revenue | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 5,547 | 4,057 | 163 | ||||||||
Other revenue | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 123 | 120 | 83 | ||||||||
Products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 5,576 | 4,157 | 246 | ||||||||
Services | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 94 | 20 | 0 | ||||||||
Domestic | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 4,153 | 3,016 | 238 | ||||||||
Foreign | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | $ 1,517 | $ 1,161 | $ 8 |
Supplemental Data (Unaudited)_2
Supplemental Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenue | $ 1,822 | $ 1,355 | $ 1,692 | $ 801 | $ 2,120 | $ 828 | $ 699 | $ 530 | $ 5,670 | $ 4,177 | $ 246 |
Gross profit | 524 | 675 | 975 | 309 | 1,470 | 637 | 564 | 504 | 2,483 | 3,175 | 246 |
Loss from operations | (19,759) | (19,369) | (20,415) | (20,826) | (16,136) | (17,315) | (16,423) | (14,310) | (80,369) | (64,184) | (66,501) |
Net loss | $ (22,191) | $ (22,098) | $ (23,225) | $ (20,812) | $ (16,296) | $ (17,075) | $ (16,457) | $ (14,200) | $ (88,326) | $ (64,028) | $ (66,374) |
Basic and diluted net loss per share (dollars per share) | $ (0.41) | $ (0.41) | $ (0.43) | $ (0.37) | $ (0.29) | $ (0.31) | $ (0.31) | $ (0.27) |
Uncategorized Items - axdx-2018
Label | Element | Value |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (50,000) |
Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (50,000) |