Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Jun. 30, 2017 | Sep. 25, 2017 | Dec. 31, 2016 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Jun. 30, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | IsoRay, Inc. | ||
Entity Central Index Key | 728,387 | ||
Current Fiscal Year End Date | --06-30 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Smaller Reporting Company | ||
Entity Public Float | $ 31,910,103 | ||
Trading Symbol | ISR | ||
Entity Common Stock, Shares Outstanding | 55,017,419 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 5,932 | $ 10,139 |
Certificates of deposit (Note 3) | 3,039 | 2,247 |
Accounts receivable, net of allowance for doubtful accounts of $26 and $30, respectively | 726 | 605 |
Inventory | 323 | 334 |
Prepaid expenses and other current assets | 271 | 304 |
Total current assets | 10,291 | 13,629 |
Property and equipment, net | 1,054 | 577 |
Certificates of deposit, non-current (Note 3) | 0 | 2,973 |
Restricted cash | 181 | 181 |
Inventory, non-current | 513 | 591 |
Other assets, net of accumulated amortization | 230 | 151 |
Total assets | 12,269 | 18,102 |
Current liabilities: | ||
Accounts payable and accrued expenses | 630 | 612 |
Accrued protocol expense | 75 | 122 |
Accrued radioactive waste disposal | 125 | 177 |
Accrued payroll and related taxes | 138 | 72 |
Accrued vacation | 138 | 111 |
Total current liabilities | 1,106 | 1,094 |
Long-term liabilities: | ||
Warrant derivative liability | 0 | 27 |
Asset retirement obligation | 561 | 580 |
Total liabilities | 1,667 | 1,701 |
Commitments and contingencies (Note 15) | ||
Shareholders' equity: | ||
Common stock, $.001 par value; 192,998,329 shares authorized; 55,017,419 and 55,010,619 shares issued and outstanding | 55 | 55 |
Additional paid-in capital | 83,151 | 82,788 |
Accumulated deficit | (72,604) | (66,442) |
Total shareholders' equity | 10,602 | 16,401 |
Total liabilities and shareholders' equity | 12,269 | 18,102 |
Series A Preferred Stock [Member] | ||
Shareholders' equity: | ||
Preferred Stock, Value, Issued | 0 | 0 |
Series B Preferred Stock [Member] | ||
Shareholders' equity: | ||
Preferred Stock, Value, Issued | 0 | 0 |
Series C Preferred Stock [Member] | ||
Shareholders' equity: | ||
Preferred Stock, Value, Issued | 0 | 0 |
Series D Preferred Stock [Member] | ||
Shareholders' equity: | ||
Preferred Stock, Value, Issued | $ 0 | $ 0 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Allowance for Doubtful Accounts Receivable, Current | $ 26 | $ 30 |
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Preferred Stock, Shares Authorized | 7,001,671 | 7,001,671 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 192,998,329 | 192,998,329 |
Common Stock, Shares, Issued | 55,017,419 | 55,010,619 |
Common Stock, Shares, Outstanding | 55,017,419 | 55,010,619 |
Series A Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Series B Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized | 5,000,000 | 5,000,000 |
Preferred Stock, Shares Issued | 59,065 | 59,065 |
Preferred Stock, Shares Outstanding | 59,065 | 59,065 |
Series C Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Series D Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized | 1,671 | 1,671 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Product sales, net | $ 4,761 | $ 4,769 | $ 4,606 |
Cost of product sales | 3,923 | 4,640 | 4,439 |
Gross profit | 838 | 129 | 167 |
Research and development | |||
Proprietary research and development | 771 | 528 | 615 |
Collaboration arrangement, net of reimbursement (Note 15) | 194 | 0 | 0 |
Total research and development | 965 | 528 | 615 |
Sales and marketing | 2,310 | 1,353 | 1,488 |
General and administrative | 3,918 | 3,786 | 2,401 |
Change in estimate of asset retirement obligation (Note 9) | (48) | (456) | 0 |
Total operating expenses | 7,145 | 5,211 | 4,504 |
Operating loss | (6,307) | (5,082) | (4,337) |
Non-operating income (expense): | |||
Interest income | 118 | 218 | 283 |
Change in fair value of warrant derivative liability | 27 | 154 | 375 |
Financing and interest expense | 0 | (1) | (2) |
Non-operating income (expense), net | 145 | 371 | 656 |
Net loss | (6,162) | (4,711) | (3,681) |
Preferred stock dividends | (11) | (11) | (11) |
Net loss applicable to common shareholders | $ (6,173) | $ (4,722) | $ (3,692) |
Basic and diluted loss per share (in dollars per share) | $ (0.11) | $ (0.09) | $ (0.07) |
Weighted average shares used in computing net loss per share: | |||
Basic and diluted (in shares) | 55,016 | 55,015 | 54,882 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Preferred Stock [Member]Series B Preferred Stock [Member] | Preferred Stock [Member]Series D Preferred Stock [Member] | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] |
Balance at Jun. 30, 2014 | $ 23,956 | $ 0 | $ 0 | $ 55 | $ (8) | $ 81,959 | $ (58,050) |
Balance (shares) at Jun. 30, 2014 | 59,065 | 0 | 54,701,708 | 13,200 | |||
Issuance of common stock pursuant to exercise of warrants, net | 100 | $ 0 | 100 | ||||
Issuance of common stock pursuant to exercise of warrants, net, shares | 58,947 | ||||||
Issuance of common stock pursuant to exercise of options | $ 213 | $ 0 | 213 | ||||
Issuance of common stock pursuant to exercise of options, shares | 206,904 | 206,904 | |||||
Payment of dividend to preferred shareholders | $ (11) | (11) | |||||
Share-based compensation | 205 | 205 | |||||
Net loss | (3,681) | $ 0 | $ 0 | $ 0 | $ 0 | 0 | (3,681) |
Balance at Jun. 30, 2015 | 20,782 | $ 0 | $ 0 | $ 55 | $ (8) | 82,466 | (61,731) |
Balance (shares) at Jun. 30, 2015 | 59,065 | 0 | 54,967,559 | 13,200 | |||
Issuance of common stock pursuant to exercise of options | $ 50 | $ 0 | 50 | ||||
Issuance of common stock pursuant to exercise of options, shares | 56,260 | 56,260 | |||||
Retirement of treasury stock | $ 0 | $ 8 | (8) | ||||
Retirement of treasury stock, shares | (13,200) | (13,200) | |||||
Payment of dividend to preferred shareholders | (11) | (11) | |||||
Share-based compensation | 291 | 291 | |||||
Net loss | (4,711) | $ 0 | $ 0 | $ 0 | $ 0 | 0 | (4,711) |
Balance at Jun. 30, 2016 | 16,401 | $ 0 | $ 0 | $ 55 | $ 0 | 82,788 | (66,442) |
Balance (shares) at Jun. 30, 2016 | 59,065 | 0 | 55,010,619 | 0 | |||
Issuance of common stock pursuant to exercise of options | $ 2 | $ 0 | 2 | ||||
Issuance of common stock pursuant to exercise of options, shares | 6,800 | 6,800 | |||||
Payment of dividend to preferred shareholders | $ (11) | (11) | |||||
Share-based compensation | 372 | 372 | |||||
Net loss | (6,162) | $ 0 | $ 0 | $ 0 | $ 0 | 0 | (6,162) |
Balance at Jun. 30, 2017 | $ 10,602 | $ 0 | $ 0 | $ 55 | $ 0 | $ 83,151 | $ (72,604) |
Balance (shares) at Jun. 30, 2017 | 59,065 | 0 | 55,017,419 | 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net loss | $ (6,162) | $ (4,711) | $ (3,681) |
Adjustments to reconcile net loss to net cash used by operating activities: | |||
Allowance for doubtful accounts | (4) | 0 | (9) |
Depreciation expense | 68 | 471 | 576 |
(Gain) loss on equipment disposals | (2) | 7 | 0 |
Write-off of inventory associated with discontinued product | 0 | 72 | 0 |
Amortization of other assets | 45 | 107 | 37 |
Change in fair value of warrant derivative liability | (27) | (154) | (375) |
Accretion of asset retirement obligation | 29 | 89 | 81 |
Change in estimate of asset retirement obligation | (48) | (456) | 0 |
Share-based compensation | 372 | 290 | 205 |
Changes in operating assets and liabilities: | |||
Accounts receivable, gross | (184) | 444 | (127) |
Inventory | 89 | (23) | (144) |
Prepaid expenses and other current assets | 100 | (21) | (24) |
Accounts payable and accrued expenses | 18 | 112 | (77) |
Accrued protocol expense | (47) | (2) | 44 |
Accrued radioactive waste disposal | (52) | 48 | (12) |
Accrued payroll and related taxes | 66 | (141) | (23) |
Accrued vacation | 27 | (16) | 7 |
Net cash used by operating activities | (5,712) | (3,884) | (3,522) |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Additions to property and equipment | (549) | (479) | (133) |
Additions to other assets | (124) | (13) | (18) |
Proceeds from sale of equipment | 6 | 0 | 0 |
Proceeds from maturity of certificates of deposit | 2,296 | 15,492 | 15,873 |
Purchases of and interest from certificates of deposit | (115) | (6,243) | (14,938) |
Net cash provided by investing activities | 1,514 | 8,757 | 784 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Preferred dividends paid | (11) | (11) | (11) |
Proceeds from sales of common stock, pursuant to exercise of warrants, net | 0 | 0 | 82 |
Proceeds from sales of common stock, pursuant to exercise of options | 2 | 50 | 214 |
Net cash provided by (used in) financing activities | (9) | 39 | 285 |
Net increase (decrease) in cash and cash equivalents | (4,207) | 4,912 | (2,453) |
Cash and cash equivalents, beginning of fiscal year | 10,139 | 5,227 | 7,680 |
CASH AND CASH EQUIVALENTS, END OF YEAR | 5,932 | 10,139 | 5,227 |
Supplemental disclosures of cash flow information: | |||
Cash paid for interest | 0 | 1 | 2 |
Non-cash investing and financing activities: | |||
Retirement of treasury stock | 0 | 8 | 0 |
Reclassification of derivative warrant liability to equity upon exercise | $ 0 | $ 0 | $ 17 |
Organization
Organization | 12 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations [Text Block] | 1. Organization IsoRay, Inc. was incorporated in Minnesota in 1983. On July 28, 2005, IsoRay Medical, Inc. (Medical) became a wholly-owned subsidiary of IsoRay, Inc. (formerly known as Century Park Pictures Corporation) pursuant to a merger. Medical was formed under Delaware law on June 15, 2004 and on October 1, 2004 acquired two affiliated predecessor companies which began operations in 1998. Medical, a Delaware corporation, develops, manufactures and sells isotope-based medical products and devices for the treatment of cancer and other malignant diseases. Medical is headquartered in Richland, Washington. IsoRay International LLC (International), a Washington limited liability company, was formed on November 27, 2007 and is a wholly-owned subsidiary of IsoRay, Inc. International has entered into various international distribution agreements. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | 2. Summary of Significant Accounting Policies The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (GAAP), and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries (collectively the Company). All significant inter-company transactions and balances have been eliminated in consolidation. The Company considers currency on hand, demand deposits, time deposits, and all highly liquid investments with an original maturity of three months or less at the date of purchase to be cash and cash equivalents. Cash and cash equivalents are held in various financial institutions in the United States. Certificates of deposit with original maturities greater than three months and remaining maturities less than one year are classified as “Certificates of deposit” and included in current assets. Certificates of deposit with remaining maturities greater than one year are classified as “Certificates of deposit, non-current” and are included in noncurrent assets. Accounts receivable are stated at the amount that management of the Company expects to collect from outstanding balances. Management provides for probable uncollectible amounts through an allowance for doubtful accounts. Additions to the allowance for doubtful accounts are based on management’s judgment, considering historical experience with write-offs, collections and current credit conditions. Balances which remain outstanding after management has used reasonable collection efforts are written off through a charge to the allowance for doubtful accounts and a credit to the applicable accounts receivable. Payments received subsequent to the time that an account is written off are treated as bad debt recoveries. Inventory is reported at the lower of cost or market. Cost of raw materials is determined using the weighted average method. Cost of work in process and finished goods is computed using standard cost, which approximates actual cost, on a first-in, first-out basis. The cost of materials and production costs contained in inventory that are not useable due to the passage of time, and resulting loss of bio-effectiveness, are written off to cost of product sales at the time it is determined that the product is no longer useable. Materials contained in inventory that are components of a discontinued product are classified as a non-recurring charge to general and administrative expense. Fixed assets are capitalized and carried at cost less accumulated depreciation. Normal maintenance and repairs are charged to expense as incurred. When any assets are sold or otherwise disposed of, the cost and accumulated depreciation are reversed with any resulting gain or loss being recognized on the consolidated statement of operations. Production equipment 3 7 Office equipment 2 5 Furniture and fixtures 2 5 Leasehold improvements are amortized over the shorter of the lease term or the estimated useful life of the asset. Management periodically reviews the net carrying value of all of its long-lived assets on an asset by asset basis. An impairment loss is recognized if the carrying amount of a defined asset group is not recoverable and exceeds its fair value. Although management has made its best estimate of the factors that affect the carrying value based on current conditions, it is reasonably possible that changes could occur which could adversely affect management’s estimate of net cash flows expected to be generated from its assets that could result in an impairment adjustment. Prepaid expenses and other assets, which include website development costs, trademarks, patents and licenses, are stated at cost, less accumulated amortization. For website development, costs incurred in the planning stage are expensed as incurred whereas costs associated with the application and infrastructure development, graphics development, and content development are capitalized. Amortization of website development costs is computed using the straight-line method over the estimated economic useful lives of the asset. Trademarks and patents include costs, primarily legal, incurred in obtaining them. Amortization of trademarks and patents is computed using the straight-line method over the estimated economic useful lives of the assets. Licenses include costs related to licenses pertaining to the use of technology or operational licenses. These licenses are recorded at stated cost, less accumulated amortization. Amortization of licenses is computed using the straight-line method over the estimated economic useful lives of the assets. The Company periodically reviews the carrying values of other assets and evaluates the recorded basis for any impairment. Any impairment is recognized when the expected future operating cash flows to be derived from the licenses are less than their carrying value. The estimated fair value of the future retirement costs of the Company’s leased assets and the costs for the decontamination and reclamation of equipment located within the footprint leased asset are recorded as a liability on a discounted basis when a contractual obligation exists; an equivalent amount is capitalized to property and equipment. The initial recorded obligation is discounted using the Company's credit-adjusted risk-free rate and is reviewed periodically for changes in the estimated future costs underlying the obligation. The Company amortizes the initial amount capitalized to property and equipment and recognizes accretion expense in connection with the discounted liability over the estimated remaining useful life of the leased assets. The Company discloses the fair value of financial instruments, both assets and liabilities, recognized and not recognized in the balance sheet, for which it is practicable to estimate the fair value. The fair value of a financial instrument is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than a forced liquidation sale. At June 30, 2017 and 2016, the carrying value of financial instruments which include certificates of deposit and restricted cash, approximated fair value. When required to measure assets or liabilities at fair value, the Company uses a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used. The Company determines the level within the fair value hierarchy in which the fair value measurements in their entirety fall. The categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Level 1 uses quoted prices in active markets for identical assets or liabilities, Level 2 uses significant other observable inputs, and Level 3 uses significant unobservable inputs. The amount of the total gains or losses for the period are included in earnings that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date. The Company has no financial assets or liabilities that are adjusted to fair value on a recurring basis. At June 30, 2017 and 2016, there were no assets or liabilities measured at fair-value on a recurring basis which were measured using Level 3 inputs. The Company had a single liability, the derivative warrant liability, which was measured at fair value on a recurring basis using Level 2 inputs during the years ended June 30, 2016 and 2015. Certain assets and liabilities are measured at fair value on a non-recurring basis; that is, the instruments are not measured at fair value on an ongoing basis, but are subject to fair value adjustments only in certain circumstances (for example, when there is evidence of impairment). With the exception of the asset retirement obligation (Note 9), the Company had no assets or liabilities measured at fair value on a nonrecurring basis during the three years ended June 30, 2017. The following table sets forth the Company’s financial assets and liabilities measured at fair value on a recurring basis by level within the fair value hierarchy. Fair value at June 30, 2017 Total Level 1 Level 2 Level 3 Cash and cash equivalents $ 5,932 $ 5,932 $ - $ - Fair value at June 30, 2016 Total Level 1 Level 2 Level 3 Cash and cash equivalents $ 10,139 $ 10,139 $ - $ - Warrant derivative liability 27 - 27 - The Company’s cash and cash equivalent instruments are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices. The Company’s warrant derivative liability is valued using the Black-Scholes option pricing model which requires a variety of inputs. Such instruments are typically included in Level 2. For the warrant derivative liabilities which are measured at fair value on a recurring basis, the Company uses the Black-Scholes option valuation model to estimate fair value. The Company recognizes revenue related to product sales when (i) persuasive evidence of an arrangement exists, (ii) shipment has occurred, (iii) the fee is fixed or determinable, and (iv) collectability is reasonably assured. The Company recognizes revenue once the product has been shipped to the customer. Prepayments, if any, received from customers prior to the time that products are shipped are recorded as deferred revenue. In these cases, when the related products are shipped, the amount recorded as deferred revenue is then recognized as revenue. The Company accrues for sales returns and other allowances at the time of shipment. Shipping and handling costs include charges associated with delivery of goods from the Company’s facilities to its customers and are reflected in cost of product sales. Shipping and handling costs paid to the Company by its customers are classified as product sales. The Company measures and recognizes expense for all share-based payments at fair value. The Company uses the Black-Scholes option valuation model to estimate fair value for all stock options on the date of grant. For stock options that vest over time, the Company recognizes compensation cost on a straight-line basis over the requisite service period for the entire award. Research and Development - Proprietary Research and development costs, including salaries, research materials, administrative expenses and contractor fees, are charged to operations as incurred. The cost of equipment used in research and development activities which has alternative uses is capitalized as part of fixed assets and not treated as an expense in the period acquired. Depreciation of capitalized equipment used to perform research and development is classified as research and development expense in the year recognized . Research and Development - Collaborative Arrangeme nt Research and development costs incurred and shared in connection with a collaborative research and development project are separately stated in the consolidated statement of operation under “Research and development: Collaboration arrangements, net of reimbursement.” (In thousands) For the Years Ended June 30, 2017 2016 2015 Advertising and marketing costs expensed (including tradeshows) $ 323 $ 157 $ 151 At June 30, 2017 2016 Prepaid marketing expenses deferred until event occurs $ 11 $ 12 The Company records contingent liabilities resulting from asserted and unasserted claims against it, when it is probable that a liability has been incurred and the amount of the loss is reasonably estimable. Estimating probable losses requires analysis of multiple factors, in some cases including judgments about the potential actions of third-party claimants and courts. Therefore, actual losses in any future period are inherently uncertain. Currently, the Company does not believe any probable legal proceedings or claims will have a material adverse effect on its financial position or results of operations. However, if actual or estimated probable future losses exceed the Company’s recorded liability for such claims, it would record additional charges as other expense during the period in which the actual loss or change in estimate occurred. Income taxes are accounted for under the liability method. Under this method, the Company provides deferred income taxes for temporary differences that will result in taxable or deductible amounts in future years based on the reporting of certain costs in different periods for financial statement and income tax purposes. This method also requires the recognition of future tax benefits such as net operating loss carry-forwards, to the extent that realization of such benefits is more likely than not. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in operations in the period that includes the enactment of the change. In the event that the Company is assessed penalties and or interest, penalties will be charged to other operating expense and interest will be charged to interest expense in the period that they are assessed. Basic earnings per share is calculated by dividing net income (loss) available to common shareholders by the weighted average number of common shares outstanding, and does not include the impact of any potentially dilutive common stock equivalents, including preferred stock, common stock warrants or options that are potentially convertible into common stock, as those would be antidilutive due to the Company’s net loss position. June 30, 2017 2016 2015 Preferred stock 59,065 59,065 59,065 Common stock warrants - 230,087 385,800 Common stock options 3,379,191 2,925,059 2,418,282 Total potential dilutive securities 3,438,256 3,214,211 2,863,147 The preparation of consolidated financial statements in accordance with generally accepted accounting principles in the United States of America requires management of the Company to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes of the Company including the allowance for doubtful accounts receivable; net realizable value of the enriched barium inventory; the estimated useful lives used in calculating depreciation and amortization on the Company’s fixed assets, patents, trademarks and other assets; estimated amount and fair value of the asset retirement obligation related to the Company’s production facilities; and inputs to the Black-Scholes calculation used in determining the expense related to share-based compensation including volatility, estimated lives and forfeiture rates of options granted. Accordingly, actual results could differ from those estimates and affect the amounts reported in the financial statements. In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09 Revenue Recognition, replacing guidance currently codified in Subtopic 605-10 Revenue Recognition-Overall with various SEC Staff Accounting Bulletins providing interpretive guidance. The guidance establishes a new five step principle-based framework in an effort to significantly enhance comparability of revenue recognition practices across entities, industries, jurisdictions, and capital markets. The standard will be effective for the Company in the first quarter of its fiscal year 2019, but early adoption is permitted starting in the first quarter of fiscal year 2018. The Company intends to adopt the new standard in the first quarter of fiscal year 2019 and expects to use the modified retrospective method. The Company has evaluated the impact of the future adoption of ASU 2014-09 on its consolidated financial statements and does not currently expect significant changes in the timing of revenue recognition compared to the existing methodology. In July 2015, the FASB issued ASU No. 2015-11: Inventory. The guidance requires an entity’s management to measure inventory within the scope of this ASU at the lower of cost and net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The guidance is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. Early application is permitted. The ASU will be effective for the Company on July 1, 2017. This update is not expected to have a material impact on the Company’s consolidated financial statements upon adoption. In November 2015, the FASB issued an ASU 2015-17 to simplify the balance sheet classification of deferred taxes. This update requires all deferred tax assets and liabilities to be reported as non-current in the consolidated balance sheets. The ASU will be effective for the Company on July 1, 2017. This update is not expected to have a material impact on the Company’s consolidated financial statements upon adoption. In February 2016, the FASB issued ASU 2016-02 Leases (Subtopic 842), which will require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by most leases. The update is effective for annual and interim reporting periods beginning after December 15, 2018. Early adoption is permitted. The ASU will be effective for the Company in the first quarter of fiscal year 2020. We are currently evaluating the impact of the guidance on the Company’s consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The update provides guidance on classification for cash receipts and payments related to eight specific issues. The update is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of implementing this update on the consolidated financial statements. Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. The Company does not discuss recent pronouncements that are not anticipated to have an impact on or are unrelated to its financial condition, results of operations, cash flows or disclosures. |
Certificates of deposit
Certificates of deposit | 12 Months Ended |
Jun. 30, 2017 | |
Investments, All Other Investments [Abstract] | |
Cost-method Investments, Description [Text Block] | 3. Certificates of deposit Certificate of Deposit Account Registry Service (CDARS) is a system that allows the Company to invest in certificates of deposit through a single financial institution that exceed the $ 250,000 limit to be fully insured by the Federal Deposit Insurance Corporation (FDIC). That institution utilizes the CDARS system to purchase certificates of deposit at other financial Institutions while keeping the investment at each institution fully insured by the Federal Deposit Insurance Corporation (FDIC). (in thousands): Under 90 91 days to Six months to Greater days six months 1 year than 1 year CDARS, as of June 30, 2017 $ 3,039 $ - $ - $ - CDARS, as of June 30, 2016 $ - $ - $ 2,247 $ 2,973 |
Inventory
Inventory | 12 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | 4. Inventory (in thousands): June 30, 2017 2016 Raw materials $ 191 $ 155 Work in process 121 161 Finished goods 11 18 Total inventory $ 323 $ 334 June 30, 2017 2016 Enriched barium, non-current $ 470 $ 470 Raw materials, non-current 43 121 Total inventory, non-current $ 513 $ 591 Inventory, non-current is raw materials that were ordered in quantities to obtain volume cost discounts which based on current and anticipated sales volumes will not be consumed within an operating cycle and the enriched barium which will only be utilized if required to obtain volumes of isotope not able to be purchased from an existing source in the short or long-term. As of June 30, 2017, management did not anticipate utilizing the enriched barium within the current operating cycle. However, in August 2017, a consignment agreement and related services agreement was executed with a supplier which may result in use in production during the current operating cycle. See Note 19 for additional details of these service agreements. As of March 2016, the Company discontinued the GliaSite® RTS product line resulting in a write-off of GliaSite® RTS related inventory 72,000 . |
Prepaid Expenses and Other Curr
Prepaid Expenses and Other Current Assets | 12 Months Ended |
Jun. 30, 2017 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Current Assets [Text Block] | Prepaid Expenses and Other Current Assets (in thousands): June 30, 2017 2016 Prepaid insurance $ 52 $ 46 Other prepaid expenses 122 231 Other current assets 30 27 Other receivables 67 - $ 271 $ 304 |
Property & Equipment
Property & Equipment | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | 6. Property & Equipment June 30, 2017 2016 Land $ 366 $ 168 Equipment 3,776 3,606 Leasehold improvements 4,130 4,130 Other 1 373 214 Property and equipment 8,645 8,118 Less accumulated depreciation (7,591) (7,541) Property and equipment, net $ 1,054 $ 577 1. Plant and equipment, not placed in service are items that meet the capitalization threshold or which management believes will meet the threshold at the time of completion and which have yet to be placed into service as of the date of the balance sheet, and therefore, no depreciation expense has been recognized . Also included at June 30, 2017 and 2016 are costs associated with advance planning and design work on the Company’s new production facility of $ 207,000 121,000 |
Restricted Cash
Restricted Cash | 12 Months Ended |
Jun. 30, 2017 | |
Cash and Cash Equivalents [Abstract] | |
Restricted Assets Disclosure [Text Block] | 7. Restricted Cash The Washington Department of Health requires the Company to provide collateral for the decommissioning of its facility. To satisfy this requirement, the Company has a certificate of deposit (CD) with a balance of $ 181,000 |
Other Assets, net
Other Assets, net | 12 Months Ended |
Jun. 30, 2017 | |
Other Assets [Abstract] | |
Other Assets Disclosure [Text Block] | 8. Other Assets, net (in thousands): June 30, 2017 2016 Website development $ 90 $ 28 Licenses 552 518 Patents and trademarks 366 366 Total Other Assets 1,008 912 Less: Accumulated Amortization (778) (761) $ 230 $ 151 Year Ended June 30, 2017 2016 2015 Amortization expense on website development $ 12 $ - $ - Amortization expense on licenses 16 16 12 Amortization expense on patents and trademarks 17 18 25 Change in estimate on patents and trademarks 1 - 73 - Total amortization expense $ 45 $ 107 $ 37 1. The change in estimate is the result of the review of information contained in the amortization assumptions which is based on new information resulted in a non-recurring change in the amortization expense. FY2018 $ 47 FY2019 34 FY2020 24 FY2021 23 FY2022 23 Thereafter 79 $ 230 |
Asset Retirement Obligation
Asset Retirement Obligation | 12 Months Ended |
Jun. 30, 2017 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligation Disclosure [Text Block] | 9. Asset Retirement Obligation The Company has an asset retirement obligation (ARO) associated with the facility it currently leases. The ARO changed as follows (in thousands): Year Ended June 30, 2017 2016 Beginning balance $ 580 $ 947 Accretion of discount 29 89 Gain on change in ARO estimate (48) (456) Ending balance $ 561 $ 580 The original facility lease was scheduled to expire in the fourth quarter 2016. Upon the end of the original lease term, the initial asset retirement estimate was fully accreted and the related ARO asset was fully amortized. During the year ended June 30, 2016, the Company extended the lease term an additional three years thus extending the time before asset retirement costs would be incurred. In addition, management determined that the estimated cost to retire the facility was less than the original estimate. Both of these factors resulted in a decrease in the ARO balance to a fair value of $ 581 456 650 1.1 5.1 48 |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 10. Share-Based Compensation The Company currently provides share-based compensation under two equity incentive plans approved by the Board of Directors and the shareholders: § Amended and Restated 2006 Director Stock Option Plan (2006 Director Plan); and § 2017 Equity Incentive Plan (2017 Incentive Plan). The 2006 Director Plan allows the Board of Directors to grant options to purchase up to 1,000,000 Grants listed below made prior to fiscal 2017 were made pursuant to plans that have expired or were terminated. The Company previously provided share-based compensation under the 2014 Employee Stock Option Plan (“2014 Plan”) and 2016 Equity Incentive Plan (“2016 Plan”). On January 31, 2017, a putative class action complaint was filed against the Company and certain current and former directors in the Superior Court of the State of Washington in and for Benton County under the case caption Griffith v. IsoRay, Inc., Case No. 17-2-00194-2. The complaint alleged that the Company board permitted certain employee compensation plans to be implemented without receiving the requisite percentage of votes by IsoRay shareholders. In order to correct mistakes, if any, the Company agreed to seek approval of the 2014 Plan and approval of prior grants under the 2014 Plan, and cancel the 2016 Plan altogether. The Company held a Special Meeting of the Shareholders on June 15, 2017, primarily to seek approval of the 2014 Plan and related grants, as well as approval of a new equity incentive plan to replace the cancelled 2016 Plan. Neither the 2014 plan nor related grants were approved during the Special Meeting of the Shareholders. As a result, all options previously granted under the 2014 Plan were cancelled. No options had been granted under the 2016 Plan. The Company’s shareholders approved the 2017 Incentive Plan (“2017 Plan”) in June 2017. The 2017 Plan allows the Board of Directors to grant up to 4,000,000 A total of 1,179,164 494,000 51,000 was recognized in the year ended June 30, 2017. The Black-Scholes option valuation model was developed for use in estimating the fair value of traded options which have no vesting restrictions and are fully transferable. In addition, option valuation models require the input of highly subjective assumptions, including the expected stock price volatility. The Company uses the Black-Scholes option valuation model because management believes the model is appropriate for the Company. However, management understands that because changes in the subjective input assumptions can materially affect the fair value estimate, this valuation model does not necessarily provide a reliable single measure of the fair value of its stock options. The risk-free interest rate is based on the U.S. treasury security rate with an equivalent term in effect as of the date of grant. The expected option lives, volatility, and forfeiture assumptions are based on historical data of the Company. For the Year Ended June 30, 2017 2016 2015 Weighted average fair value $0.45 $0.60 $1.11 Options issued 2,150,000 1,185,500 395,000 Exercise price $0.55 to $0.84 $0.64 to $1.53 $1.47 Expected term (in years) 4 to 5 1 to 5 4 to 5 Risk-free rate 1.62% to 1.83% 0.51% to 1.62% 1.42% to 1.65% Volatility 101% - 103% 106% - 118% 107% The following table presents the share-based compensation expense (in thousands): For the Year Ended June 30, 2017 2016 2015 Cost of product sales $ 86 $ 71 $ 45 Research and development expense 60 14 17 Sales and marketing expense 86 23 11 General and administrative expense 140 182 132 Total share-based compensation $ 372 $ 290 $ 205 The total value of the stock options awards is expensed ratably over the vesting period of the employees receiving the awards. As of June 30, 2017, total unrecognized compensation cost related to stock-based options and awards was $ 857,000 1.50 Options Outstanding Price (a) Life (b) Value (c) Balance at June 30, 2014 2,314,422 $ 2.00 4.69 $ 3,187 Granted (d) 395,000 1.41 Expired/Forfeited (84,236) 4.15 Exercised (206,904) 1.03 Balance at June 30, 2015 2,418,282 $ 1.91 4.71 $ 692 Granted (d) 1,185,500 .87 Expired (459,594) 3.48 Forfeited (162,869) 1.67 Exercised (56,260) .89 Balance at June 30, 2016 2,925,059 $ 1.21 6.93 $ 263 Granted (d) 2,150,000 .61 Expired/Forfeited (509,904) 2.55 Voided (1,179,164) .94 Exercised (6,800) .26 Balance at June 30, 2017 3,379,191 $ 0.78 7.86 $ 151 Vested and expected to vest at June 30, 2017 3,274,591 $ 0.78 7.80 $ 148 Exercisable at June 30, 2017 1,800,441 $ 0.93 5.98 $ 111 (a) Weighted average exercise price per share. (b) Weighted average remaining contractual life. (c) Aggregate intrinsic value (in thousands). (d) All options granted had exercise prices equal to or greater than the ending closing market price of the Company’s common stock on the grant date. The options were granted to employees and management by the Compensation Committee For the Year Ended June 30, 2017 2016 2015 Aggregate intrinsic value of options exercised (in thousands) $ 3 $ 25 $ 307 The Company’s current policy is to issue new shares to satisfy option exercises. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Jun. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | Shareholders’ Equity The authorized capital structure of the Company consists of $. 001 001 Preferred Stock The Company’s Articles of Incorporation authorize 7,001,671 Series A At June 30, 2017 and 2016, there were Series B Series B preferred shares are entitled to a cumulative 15 4,000 On December 14, 2016, the Board of Directors declared a dividend on the Series B Preferred Stock of all outstanding and cumulative dividends through December 31, 2016. The total dividends of $ 11,000 59,065 5 Series C At June 30, 2017 and 2016, there 1,000,000 Series D Established in August 2013, Series D preferred shares are entitled to dividends in the same form as dividends actually paid on shares of common stock. Additionally, the Company shall not pay any dividends on shares of common stock (other than dividends in the form of common stock) unless the holders of Series D Convertible Preferred Stock shall first receive dividends on shares of Series D Convertible Preferred Stock held by them (on an as-if-converted-to-common-stock-basis) in an amount equal to and in the same form as any such dividends (other than dividends in the form of common stock) to be paid on shares of common stock. Except as required by law, shares of Series D Convertible Preferred Stock shall not have the right to vote on any matter other than those set forth in the Certificate of Designation with the potential to specifically adversely affect the Series D Convertible Preferred Stock. Series D Convertible Preferred shares are convertible into shares of common stock at the rate of 1,869.15 shares of common stock for each share of Series D Convertible Preferred Stock at any time at the option of the holder, provided that the holder will be prohibited from converting shares of Series D Convertible Preferred Stock into shares of our common stock if, as a result of the conversion, the holder, together with its affiliates, would beneficially own more than 9.99 Warrants Warrant derivative liability In prior years, management concluded that the warrants issued in the 2011 offering required derivative accounting resulting in a warrant liability being adjusted to fair value at the end of each reporting period. These warrants all expired during the year ended June 30, 2017. Change in fair value of the warrant derivative liability is as follows (in thousands): For the Year Ended June 30, 2017 2016 2015 Change in fair value of the warrant derivative liability $ 27 $ 154 $ 375 A summary of the change in fair value of derivative warrant liability is as follows for the fiscal years presented (in thousands except quantity) Quantity Amount Balance at June 30, 2014 238,296 $ 573 Change in fair value (375) Warrants exercised (13,209) (17) Balance at June 30, 2015 225,087 $ 181 Change in fair value (154) Balance at June 30, 2016 225,087 $ 27 Change in fair value (27) Warrants expired (225,087) - Balance at June 30, 2017 - $ - Warrants Price (a) Balance at June 30, 2014 444,747 1.43 Warrants exercised (58,947) 1.38 Balance at June 30, 2015 385,800 1.22 Warrants expired (155,713) 1.63 Balance at June 30, 2016 230,087 $ 0.94 Warrants expired (230,087) 0.94 Balance at June 30, 2017 - $ - (a) Weighted average exercise price per share. The Company had no common warrants outstanding as of June 30, 2017. |
Income Taxes
Income Taxes | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Income Taxes Due to net losses, the Company did not record an income tax provision or benefit for the years ending June 30, 2017, 2016 and 2015. The significant deferred tax components using 35 income tax rate for the years ended June 30, 2017 and 2016 are as follows (in thousands): As of June 30, 2017 2016 Fixed assets $ 519 $ 610 Share-based compensation 664 545 Reserves 9 13 Other accruals 33 119 Asset retirement obligation 196 203 Net operating loss carryforwards 21,302 19,110 Total deferred tax assets 22,723 20,600 Valuation allowance (22,723) (20,600) Total $ - $ - As management of the Company cannot determine that it is more likely than not that the Company will realize the benefit of the net deferred tax asset, a valuation allowance equal to 100 The Company has federal net operating loss carryforwards of approximately $ 61 The Company’s statutory rate reconciliation is as follows (in thousands): For the year ended June 30, 2017 2016 2015 Expected income tax benefit base on statutory rate of 35% $ (2,157) $ (1,649) $ (1,288) Meals and entertainment 17 7 10 Non-deductible penalties 16 21 19 Warrant derivative liability (9) (54) (131) Share-based compensation 10 - - Change in valuation allowance 2,123 1,675 1,390 Income tax expense (benefit) $ - $ - $ - The Company has reviewed the tax positions taken and concluded that it does not have to book a liability for uncertain tax positions. Currently, tax years 2015-2017 remain open for examination by United States taxing authorities. Net operating losses prior to 2015 could be adjusted during an examination of open |
401(k) and Profit Sharing Plan
401(k) and Profit Sharing Plan | 12 Months Ended |
Jun. 30, 2017 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | 401(k) and Profit Sharing Plan The Company has a 401(k) plan, which commenced in fiscal year 2007, covering all eligible full-time employees of the Company. Contributions to the 401(k) plan are made by the participants to their individual accounts through payroll withholding. The 401(k) plan also allows the Company to make contributions at the discretion of management. To date, the Company has not made any contributions to the 401(k) plan. |
Distribution Agreements
Distribution Agreements | 12 Months Ended |
Jun. 30, 2017 | |
Distribution Agreements [Abstract] | |
Significant Agreements Disclosure [Text Block] | 14. Distribution Agreements On June 18, 2014, the Company entered into an agreement with a Russian distributor. The agreement provided the distributor with the ability to sell the entire product line in the Russian Federation. As of June 30, 2017, this agreement is no longer effective. On July 14, 2017, the Company entered into an agreement with a new distributor in Russia that provides for the ability to sell the entire product line in the Russian Federation. The agreement has a one-year initial term with two additional one-year terms which automatically renew unless either party invoke their right to terminate earlier under the provisions of the agreement. On April 12, 2016, the Company terminated its agreement with the German distributor for distribution of the GliaSite ® . The Company reached agreement with a distributor for Greece during the fiscal year 2013 and has actively supported this distributor in achieving regulatory clearance in its distribution market. The agreement with the distributor for Greece was effective on May 1, 2013 but has now expired with no sales. The Company has been actively supporting a potential distributor through the regulatory clearance process in its distribution markets which include Italy and Switzerland. The Company and the distributor executed the distribution agreement on August 1, 2016. The agreement has a one-year initial term with two additional one-year terms which automatically renew unless either party invoke their right to terminate earlier under the provisions of the agreement. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jun. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | 15. Commitments and Contingencies Royalty Agreement for Invention and Patent Application A former employee and shareholder of the Company previously assigned his rights, title and interest in an invention to IsoRay Products LLC (a predecessor company) in exchange for a royalty equal to 1 The Company must also pay a royalty of 2 During fiscal years 2017, 2016 and 2015, the Company recorded royalty expenses of $ 21,000 18,000 14,000 Patent and Know-How Royalty License Agreement The Company is the holder of an exclusive license to use certain “know-how” developed by one of the founders of a predecessor to the Company and licensed to the Company by the Lawrence Family Trust, a Company shareholder. The terms of this license agreement require the payment of a royalty based on the Net Factory Sales Price, as defined in the agreement, of licensed product sales. Because the licensor’s patent application was ultimately abandoned, only a 1 The licensor of the “know-how” has disputed management’s contention that it is not using this “know-how.” On September 25, 2007 and again on October 31, 2007, the Company participated in nonbinding mediation regarding this matter; however, no settlement was reached with the Lawrence Family Trust. After additional settlement discussions, which ended in April 2008, the parties failed to reach a settlement. The parties may demand binding arbitration at any time. Irradiation Services Agreement On November 29, 2016, Medical, Isotope Purchase Agreement In December 2015, the Company completed negotiations with The Open Joint Stock Company (located in Russia) for the purchase of Cs-131 manufactured by the Institute of Nuclear Materials. The total purchase agreement, worth approximately $ 1 on March 31, 2017 In December 2016, the Company, together with The Open Joint Stock Company signed an addendum to the contract extending it until December 31, 2017 adding another approximately $ 854,000 1,862,000 504,000 Operating Lease Agreements The Company leases office and laboratory space under an operating lease. The lease may be terminated by either party with a six month written notice. The Company agreed to a modification which became effective November 1, 2016 to extend the lease termination date to April 30, 2021. The lease terms require monthly lease payments and include a contractually permitted annual rent increase based on changes in the CPI index. Future minimum lease payments under this operating lease are as follows (in thousands): Year ending June 30, Amount 2018 $ 285 2019 285 2020 285 2021 237 $ 1,092 For the Year Ended June 30, 2017 2016 2015 Rental expense $ 288 $ 292 $ 280 Royalty Agreements for Licensed Intellectual Property related to the GliaSite® RTS In June 2011, the Company entered into a license agreement with Dr. Reddy’s Laboratory Ltd for the exclusive use of its intellectual property related to the GliaSite® Radiation Therapy System (GliaSite® RTS). In April 2016, the Company provided to Dr. Reddy’s Laboratory Ltd notice of intent to terminate the license agreement. The license agreement termination was effective June 30, 2016 15 The Company recorded royalty expenses related to the licensed intellectual property utilized in the manufacture and sale of the GliaSite ® (in thousands): For the Year Ended June 30, 2017 2016 2015 Royalty expense $ - $ 28 $ 20 The Company’s royalty expenses related to the licensed intellectual property utilized in the manufacture and sale of the Iotrex ® . Research and Development - Collaborative Arrangement On March 13, 2017, Medical entered into a Collaborative Development Agreement (CDA) with GammaTile, LLC to further develop a brachytherapy medical device for the treatment of cancerous tumors in the brain and to seek regulatory approval for the new product. As the project manager, Medical will incur all costs in connection with the collaboration project which will be shared equally by both parties as of November 8, 2016 when they informally began the collaboration. In accordance with ASC 808 “Collaborative Arrangements”, this activity is accounted for as a collaborative arrangement and related costs are incurred, shared, and separately stated in connection with a collaborative research and development project. These costs are reported on the financial statements under “Research and development: Collaboration arrangements, net of reimbursement.” As of June 30, 2017, costs incurred in connection with the collaboration agreement total $ 387,000 194,000 128,000 Class Action Lawsuit Related to Press Release On May 22, 2015, the first of three lawsuits was filed against IsoRay, Inc. and two of its officers Dwight Babcock (the Company’s retired CEO) and Brien Ragle (former CFO who was later dismissed from the lawsuits) related to a press release on May 20, 2015 regarding a May 19 online publication of the peer-reviewed article in the journal Brachytherapy titled “ Analysis of Stereotactic Radiation vs. Wedge Resection vs. Wedge Resection Plus Cesium-131 Brachytherapy in Early-Stage Lung Cancer As IsoRay previously disclosed, on March 9, 2017, the parties settled this matter and the court entered an order and final judgment that (i) dismissed with prejudice and released the claims asserted in the complaint against the defendants, including IsoRay, and (ii) approved the payment of the $ 3,537,500 Derivative Complaint related to Shareholder Value On September 29, 2016, David M. Kitley, purportedly on behalf of IsoRay, filed a derivative lawsuit in the United States District Court for the District of Minnesota under the case caption Kitley v. IsoRay, Inc., Case No. 0:16-cv-03297-DTS. The complaint named as defendants current and former IsoRay directors Dwight Babcock, Thomas LaVoy, Philip J. Vitale and Michael W. McCormick, alleging that they violated their fiduciary duties to IsoRay in connection with a press release allegedly containing false and misleading statements concerning the results from a peer reviewed study of its Cesium-131 isotope seeds for the treatment of non-small cell lung cancers, thereby artificially inflating the price of IsoRay stock. The complaint sought unspecified damages, in an amount not presently determinable, among other forms of relief. On November 17, 2016, IsoRay moved to dismiss the complaint, arguing that plaintiff was not entitled to pursue his derivative claims due to his failure to serve a pre-suit demand on IsoRay’s board. Rather than respond to the motion to dismiss, plaintiff filed an amended complaint on January 23, 2017. The amended complaint alleges the same derivative claims as the original, and adds IsoRay director Alan Hoffmann as a defendant. Plaintiff seeks an award of damages and an order directing IsoRay to undertake reforms of its corporate governance and internal procedures. IsoRay moved to dismiss the amended complaint on March 9, 2017. Plaintiff responded on April 20, 2017, and IsoRay replied on May 17, 2017. The court heard oral argument on the motion on August 22, 2017, and took the matter under advisement at that time. As of the date of this Form 10-K, an order on the motion has not been filed. Class Action Lawsuit re Equity Plans On January 31, 2017, a putative class action complaint was filed against IsoRay and certain current and former directors in the Superior Court of the State of Washington in and for Benton County under the case caption Griffith v. IsoRay, Inc., Case No. 17-2-00194-2. The complaint alleged that IsoRay’s board permitted certain employee compensation plans to be implemented without receiving the requisite percentage of votes by IsoRay shareholders. On May 16, 2017, the parties executed a settlement for $ 195,000 Property Transaction between Medical and The Port of Benton On September 10, 2015, the Company’s operating subsidiary, Medical, entered into a Real Estate Purchase and Sale Agreement with The Port of Benton (Port), a municipal corporation of the State of Washington. The Agreement is for the Company’s purchase of undeveloped real property of approximately 4.2 located adjacent to the Company’s existing manufacturing facility and corporate offices. The initial purchase price was $ 168,000 Under the agreement, Medical was bound to comply with a Development Plan for a ten-year period, the requirements of which include but were not limited to: (1) Certain specified site configurations and design with a minimum of 12,000 4,000 (2) Completion of all construction in two years; (3) Use of facility as primary production facility for ten ( 10 (4) Provision of jobs for not less than 25 Subsequently, the Port Commissioners amended the Development Plan extending the date Medical would need to begin construction or be in default to January 31, 2017. Medical failed to comply with the covenant to begin construction by January 31, 2017. As a result, Medical was required to pay the Port the difference in the sales price and the appraised value of the property. On April 5, 2017 Medical received from the Port the appraisal report on the land indicating a fair market value of $ 365,900 168,000 197,900 |
Concentrations of Credit and Ot
Concentrations of Credit and Other Risks | 12 Months Ended |
Jun. 30, 2017 | |
Risks and Uncertainties [Abstract] | |
Concentration Risk Disclosure [Text Block] | 16. Concentrations of Credit and Other Risks The Company’s financial instruments that were exposed to concentrations of credit risk consist primarily of cash and cash equivalents, certificates of deposit, and accounts receivable. The Company’s certificates of deposit are maintained in the Certificate of Deposit Account Registry Service (CDARS®) through Alliance Bank of Arizona and at Columbia State Bank at June 30, 2017. The CDARS system provides the Company access to Federal Deposit Insurance Corporation (FDIC) guarantees on multi-million dollar CD deposits through a single financial institution. The Company’s cash and cash equivalents were maintained with high-quality financial institutions at June 30, 2017 and 2016, respectively. The accounts are guaranteed by the (FDIC) up to $ 250,000 Two groups of customers, facilities or physician practices have revenues that aggregate to greater than 10% of total Company product sales: Year ended June 30, Facility 2017 2016 2015 El Camino, Los Gatos, & other facilities 1 22.9 % 24.2 % 24.2 % Bon Secours DePaul and Maryview Medical Center 2 6.8 % 9.0 % 11.7 % 1. This group of facilities individually do not aggregate to more than 10% of total Company product sales. They are serviced by the same physician group, one of whom is our Medical Director. 2. These two facilities are part of the same network and currently share one physician who performs procedures in both facilities. Individually, these facilities would not meet the 10% criteria, however, in aggregate, they do. The Company routinely assesses the financial strength of its customers and provides an allowance for doubtful accounts as necessary. Inventories Most components used in the Company’s product are purchased from outside sources. Certain components are purchased from single suppliers. The failure of any such supplier to meet its commitment on schedule could have a material adverse effect on the Company’s business, operating results and financial condition. If a sole-source supplier, a supplier of Cs-131 or a supplier of irradiated barium were to go out of business or otherwise become unable to meet its supply commitments, the process of locating and qualifying alternate sources could require up to several months, during which time the Company’s production could be delayed. Such delays could have a material adverse effect on the Company’s business, operating results and financial condition. Sanctions placed on financial transactions with Russian banking institutions may interfere with the Company’s ability to transact business in Russia on a temporary or other basis resulting in an interruption of the Cs-131 supply which could have a temporary material adverse effect on the Company’s business, operating results and financial condition. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Jun. 30, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | 17. Related Party Transactions During the fiscal years 2016 and 2015, the Company engaged the services of APEX Data Systems, Inc. (APEX), owned by Dwight Babcock, former Chairman and Chief Executive Officer, to build and maintain a web interfaced data collection application to aggregate patient data in a controlled environment. An alternative vendor began providing these services beginning January 2016. For the fiscal year 2017, the Company incurred no costs attributed to APEX for any services. During fiscal year 2016, the Company incurred costs attributed to APEX for website modifications and maintenance of $ 6,000 12,000 6,000 12,000 0 0 During fiscal year 2017, the Company engaged GO Intellectual Capital, LLC (GO) for marketing services in support of the Company’s rebranding effort. Michael McCormick, a member of the Company Board of Directors, is a 1/3 owner of GO. A statement of work was developed defining the scope of the effort and the deliverables to the Company including a new logo with brand messaging and communication tools including a website, sales presentation tools and a public relations strategy. For the fiscal year 2017, the Company paid to GO $ 20,374 105,659 |
Quarterly Financial Data
Quarterly Financial Data | 12 Months Ended |
Jun. 30, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information [Text Block] | 18. Quarterly Financial Data (unaudited) (dollars and shares in thousands, except for per share amounts): Quarters ended September 30, December 31, March 31, June 30, 2016 2016 2017 2017 Net revenue $ 1,081 $ 1,028 $ 1,282 $ 1,370 Gross profit/(loss) $ 48 $ (1) $ 293 $ 498 Net loss $ (1,498) $ (1,450) $ (1,360) $ (1,854) Net loss per share basic and diluted $ (0.03) $ (0.03) $ (0.02) $ (0.03) Shares used in basic and diluted per share calculation 55,011 55,017 55,017 55,017 Quarters ended September 30, December 31, March 31, June 30, 2015 2015 2016 2016 Net revenue $ 1,261 $ 1,189 $ 1,198 $ 1,120 Gross profit/(loss) $ 83 $ 30 $ 66 $ (48) Net loss $ (1,019) $ (1,312) $ (1,195) $ (1,185) Net loss per share basic and diluted $ (0.02) $ (0.02) $ (0.02) $ (0.02) Shares used in basic and diluted per share calculation 55,013 55,014 55,023 55,012 1. Due to rounding, the total of the individual quarters and the year-end calculation on the Consolidated Statement of Operations may be different. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Jun. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | 19. Subsequent Events On August 25, 2017, the Company entered into a Consignment Agreement and related Services Agreement with MedikorPharma-Ural LLC to begin utilizing our enriched barium-130 carbonate inventory beginning in November 2017. Medical anticipates obtaining enough Cesium-131 under this arrangement to obtain over 4,000 curies of Cesium-131 over a ten-year period but there is no assurance as to whether the agreements will be terminated before this full amount is obtained and other supply sources are used, nor is there assurance that the agreements with the third-party Cesium-131 suppliers will be executed. |
Summary of Significant Accoun26
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (GAAP), and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries (collectively the Company). All significant inter-company transactions and balances have been eliminated in consolidation. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash Equivalents The Company considers currency on hand, demand deposits, time deposits, and all highly liquid investments with an original maturity of three months or less at the date of purchase to be cash and cash equivalents. Cash and cash equivalents are held in various financial institutions in the United States. |
Investment, Policy [Policy Text Block] | Certificates of Deposit Certificates of deposit with original maturities greater than three months and remaining maturities less than one year are classified as “Certificates of deposit” and included in current assets. Certificates of deposit with remaining maturities greater than one year are classified as “Certificates of deposit, non-current” and are included in noncurrent assets. |
Trade and Other Accounts Receivable, Policy [Policy Text Block] | Accounts Receivable Accounts receivable are stated at the amount that management of the Company expects to collect from outstanding balances. Management provides for probable uncollectible amounts through an allowance for doubtful accounts. Additions to the allowance for doubtful accounts are based on management’s judgment, considering historical experience with write-offs, collections and current credit conditions. Balances which remain outstanding after management has used reasonable collection efforts are written off through a charge to the allowance for doubtful accounts and a credit to the applicable accounts receivable. Payments received subsequent to the time that an account is written off are treated as bad debt recoveries. |
Inventory, Policy [Policy Text Block] | Inventory Inventory is reported at the lower of cost or market. Cost of raw materials is determined using the weighted average method. Cost of work in process and finished goods is computed using standard cost, which approximates actual cost, on a first-in, first-out basis. The cost of materials and production costs contained in inventory that are not useable due to the passage of time, and resulting loss of bio-effectiveness, are written off to cost of product sales at the time it is determined that the product is no longer useable. Materials contained in inventory that are components of a discontinued product are classified as a non-recurring charge to general and administrative expense. |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment Fixed assets are capitalized and carried at cost less accumulated depreciation. Normal maintenance and repairs are charged to expense as incurred. When any assets are sold or otherwise disposed of, the cost and accumulated depreciation are reversed with any resulting gain or loss being recognized on the consolidated statement of operations. Production equipment 3 7 Office equipment 2 5 Furniture and fixtures 2 5 Leasehold improvements are amortized over the shorter of the lease term or the estimated useful life of the asset. Management periodically reviews the net carrying value of all of its long-lived assets on an asset by asset basis. An impairment loss is recognized if the carrying amount of a defined asset group is not recoverable and exceeds its fair value. Although management has made its best estimate of the factors that affect the carrying value based on current conditions, it is reasonably possible that changes could occur which could adversely affect management’s estimate of net cash flows expected to be generated from its assets that could result in an impairment adjustment. |
Other Assets [Policy Text Block] | Prepaid Expenses and Other Assets Prepaid expenses and other assets, which include website development costs, trademarks, patents and licenses, are stated at cost, less accumulated amortization. For website development, costs incurred in the planning stage are expensed as incurred whereas costs associated with the application and infrastructure development, graphics development, and content development are capitalized. Amortization of website development costs is computed using the straight-line method over the estimated economic useful lives of the asset. Trademarks and patents include costs, primarily legal, incurred in obtaining them. Amortization of trademarks and patents is computed using the straight-line method over the estimated economic useful lives of the assets. Licenses include costs related to licenses pertaining to the use of technology or operational licenses. These licenses are recorded at stated cost, less accumulated amortization. Amortization of licenses is computed using the straight-line method over the estimated economic useful lives of the assets. The Company periodically reviews the carrying values of other assets and evaluates the recorded basis for any impairment. Any impairment is recognized when the expected future operating cash flows to be derived from the licenses are less than their carrying value. |
Asset Retirement Obligations, Policy [Policy Text Block] | Asset Retirement Obligation The estimated fair value of the future retirement costs of the Company’s leased assets and the costs for the decontamination and reclamation of equipment located within the footprint leased asset are recorded as a liability on a discounted basis when a contractual obligation exists; an equivalent amount is capitalized to property and equipment. The initial recorded obligation is discounted using the Company's credit-adjusted risk-free rate and is reviewed periodically for changes in the estimated future costs underlying the obligation. The Company amortizes the initial amount capitalized to property and equipment and recognizes accretion expense in connection with the discounted liability over the estimated remaining useful life of the leased assets. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Financial Instruments The Company discloses the fair value of financial instruments, both assets and liabilities, recognized and not recognized in the balance sheet, for which it is practicable to estimate the fair value. The fair value of a financial instrument is the amount at which the instrument could be exchanged in a current transaction between willing parties, other than a forced liquidation sale. At June 30, 2017 and 2016, the carrying value of financial instruments which include certificates of deposit and restricted cash, approximated fair value. |
Fair Value Measurement, Policy [Policy Text Block] | Fair Value Measurement When required to measure assets or liabilities at fair value, the Company uses a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used. The Company determines the level within the fair value hierarchy in which the fair value measurements in their entirety fall. The categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Level 1 uses quoted prices in active markets for identical assets or liabilities, Level 2 uses significant other observable inputs, and Level 3 uses significant unobservable inputs. The amount of the total gains or losses for the period are included in earnings that are attributable to the change in unrealized gains or losses relating to those assets and liabilities still held at the reporting date. The Company has no financial assets or liabilities that are adjusted to fair value on a recurring basis. At June 30, 2017 and 2016, there were no assets or liabilities measured at fair-value on a recurring basis which were measured using Level 3 inputs. The Company had a single liability, the derivative warrant liability, which was measured at fair value on a recurring basis using Level 2 inputs during the years ended June 30, 2016 and 2015. Certain assets and liabilities are measured at fair value on a non-recurring basis; that is, the instruments are not measured at fair value on an ongoing basis, but are subject to fair value adjustments only in certain circumstances (for example, when there is evidence of impairment). With the exception of the asset retirement obligation (Note 9), the Company had no assets or liabilities measured at fair value on a nonrecurring basis during the three years ended June 30, 2017. The following table sets forth the Company’s financial assets and liabilities measured at fair value on a recurring basis by level within the fair value hierarchy. Fair value at June 30, 2017 Total Level 1 Level 2 Level 3 Cash and cash equivalents $ 5,932 $ 5,932 $ - $ - Fair value at June 30, 2016 Total Level 1 Level 2 Level 3 Cash and cash equivalents $ 10,139 $ 10,139 $ - $ - Warrant derivative liability 27 - 27 - The Company’s cash and cash equivalent instruments are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices. The Company’s warrant derivative liability is valued using the Black-Scholes option pricing model which requires a variety of inputs. Such instruments are typically included in Level 2. |
Derivatives, Policy [Policy Text Block] | Warrant Derivative Liabilities For the warrant derivative liabilities which are measured at fair value on a recurring basis, the Company uses the Black-Scholes option valuation model to estimate fair value. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition The Company recognizes revenue related to product sales when (i) persuasive evidence of an arrangement exists, (ii) shipment has occurred, (iii) the fee is fixed or determinable, and (iv) collectability is reasonably assured. The Company recognizes revenue once the product has been shipped to the customer. Prepayments, if any, received from customers prior to the time that products are shipped are recorded as deferred revenue. In these cases, when the related products are shipped, the amount recorded as deferred revenue is then recognized as revenue. The Company accrues for sales returns and other allowances at the time of shipment. |
Shipping and Handling Cost, Policy [Policy Text Block] | Shipping and Handling Costs Shipping and handling costs include charges associated with delivery of goods from the Company’s facilities to its customers and are reflected in cost of product sales. Shipping and handling costs paid to the Company by its customers are classified as product sales. |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Share-Based Compensation The Company measures and recognizes expense for all share-based payments at fair value. The Company uses the Black-Scholes option valuation model to estimate fair value for all stock options on the date of grant. For stock options that vest over time, the Company recognizes compensation cost on a straight-line basis over the requisite service period for the entire award. |
Research and Development Expense, Policy [Policy Text Block] | Research and Development - Proprietary Research and development costs, including salaries, research materials, administrative expenses and contractor fees, are charged to operations as incurred. The cost of equipment used in research and development activities which has alternative uses is capitalized as part of fixed assets and not treated as an expense in the period acquired. Depreciation of capitalized equipment used to perform research and development is classified as research and development expense in the year recognized . Research and Development - Collaborative Arrangeme nt Research and development costs incurred and shared in connection with a collaborative research and development project are separately stated in the consolidated statement of operation under “Research and development: Collaboration arrangements, net of reimbursement.” |
Advertising Costs, Policy [Policy Text Block] | Advertising and Marketing Costs (In thousands) For the Years Ended June 30, 2017 2016 2015 Advertising and marketing costs expensed (including tradeshows) $ 323 $ 157 $ 151 At June 30, 2017 2016 Prepaid marketing expenses deferred until event occurs $ 11 $ 12 |
Commitments and Contingencies, Policy [Policy Text Block] | Legal Contingencies The Company records contingent liabilities resulting from asserted and unasserted claims against it, when it is probable that a liability has been incurred and the amount of the loss is reasonably estimable. Estimating probable losses requires analysis of multiple factors, in some cases including judgments about the potential actions of third-party claimants and courts. Therefore, actual losses in any future period are inherently uncertain. Currently, the Company does not believe any probable legal proceedings or claims will have a material adverse effect on its financial position or results of operations. However, if actual or estimated probable future losses exceed the Company’s recorded liability for such claims, it would record additional charges as other expense during the period in which the actual loss or change in estimate occurred. |
Income Tax, Policy [Policy Text Block] | Income Taxes Income taxes are accounted for under the liability method. Under this method, the Company provides deferred income taxes for temporary differences that will result in taxable or deductible amounts in future years based on the reporting of certain costs in different periods for financial statement and income tax purposes. This method also requires the recognition of future tax benefits such as net operating loss carry-forwards, to the extent that realization of such benefits is more likely than not. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in operations in the period that includes the enactment of the change. In the event that the Company is assessed penalties and or interest, penalties will be charged to other operating expense and interest will be charged to interest expense in the period that they are assessed. |
Earnings Per Share, Policy [Policy Text Block] | Income (Loss) Per Common Share Basic earnings per share is calculated by dividing net income (loss) available to common shareholders by the weighted average number of common shares outstanding, and does not include the impact of any potentially dilutive common stock equivalents, including preferred stock, common stock warrants or options that are potentially convertible into common stock, as those would be antidilutive due to the Company’s net loss position. June 30, 2017 2016 2015 Preferred stock 59,065 59,065 59,065 Common stock warrants - 230,087 385,800 Common stock options 3,379,191 2,925,059 2,418,282 Total potential dilutive securities 3,438,256 3,214,211 2,863,147 |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of consolidated financial statements in accordance with generally accepted accounting principles in the United States of America requires management of the Company to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes of the Company including the allowance for doubtful accounts receivable; net realizable value of the enriched barium inventory; the estimated useful lives used in calculating depreciation and amortization on the Company’s fixed assets, patents, trademarks and other assets; estimated amount and fair value of the asset retirement obligation related to the Company’s production facilities; and inputs to the Black-Scholes calculation used in determining the expense related to share-based compensation including volatility, estimated lives and forfeiture rates of options granted. Accordingly, actual results could differ from those estimates and affect the amounts reported in the financial statements. |
New Accounting Pronouncements, Policy [Policy Text Block] | In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09 Revenue Recognition, replacing guidance currently codified in Subtopic 605-10 Revenue Recognition-Overall with various SEC Staff Accounting Bulletins providing interpretive guidance. The guidance establishes a new five step principle-based framework in an effort to significantly enhance comparability of revenue recognition practices across entities, industries, jurisdictions, and capital markets. The standard will be effective for the Company in the first quarter of its fiscal year 2019, but early adoption is permitted starting in the first quarter of fiscal year 2018. The Company intends to adopt the new standard in the first quarter of fiscal year 2019 and expects to use the modified retrospective method. The Company has evaluated the impact of the future adoption of ASU 2014-09 on its consolidated financial statements and does not currently expect significant changes in the timing of revenue recognition compared to the existing methodology. In July 2015, the FASB issued ASU No. 2015-11: Inventory. The guidance requires an entity’s management to measure inventory within the scope of this ASU at the lower of cost and net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The guidance is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. Early application is permitted. The ASU will be effective for the Company on July 1, 2017. This update is not expected to have a material impact on the Company’s consolidated financial statements upon adoption. In November 2015, the FASB issued an ASU 2015-17 to simplify the balance sheet classification of deferred taxes. This update requires all deferred tax assets and liabilities to be reported as non-current in the consolidated balance sheets. The ASU will be effective for the Company on July 1, 2017. This update is not expected to have a material impact on the Company’s consolidated financial statements upon adoption. In February 2016, the FASB issued ASU 2016-02 Leases (Subtopic 842), which will require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by most leases. The update is effective for annual and interim reporting periods beginning after December 15, 2018. Early adoption is permitted. The ASU will be effective for the Company in the first quarter of fiscal year 2020. We are currently evaluating the impact of the guidance on the Company’s consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The update provides guidance on classification for cash receipts and payments related to eight specific issues. The update is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, with early adoption permitted. The Company is currently evaluating the impact of implementing this update on the consolidated financial statements. Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to have a material impact on the consolidated financial statements upon adoption. The Company does not discuss recent pronouncements that are not anticipated to have an impact on or are unrelated to its financial condition, results of operations, cash flows or disclosures. |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Schedule Of Estimated Useful Lives Of Assets [Table Text Block] | Depreciation is computed using the straight-line method over the following estimated useful lives: Production equipment 3 7 Office equipment 2 5 Furniture and fixtures 2 5 |
Fair Value Measurements, Recurring and Nonrecurring [Table Text Block] | Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. (In thousands) Fair value at June 30, 2017 Total Level 1 Level 2 Level 3 Cash and cash equivalents $ 5,932 $ 5,932 $ - $ - Fair value at June 30, 2016 Total Level 1 Level 2 Level 3 Cash and cash equivalents $ 10,139 $ 10,139 $ - $ - Warrant derivative liability 27 - 27 - |
Schedule of Other Operating Cost and Expense, by Component [Table Text Block] | Advertising costs are expensed as incurred except for the cost of tradeshows and related marketing materials which are deferred until the tradeshow occurs. (In thousands) For the Years Ended June 30, 2017 2016 2015 Advertising and marketing costs expensed (including tradeshows) $ 323 $ 157 $ 151 At June 30, 2017 2016 Prepaid marketing expenses deferred until event occurs $ 11 $ 12 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | Securities that could be dilutive in the future are as follows: June 30, 2017 2016 2015 Preferred stock 59,065 59,065 59,065 Common stock warrants - 230,087 385,800 Common stock options 3,379,191 2,925,059 2,418,282 Total potential dilutive securities 3,438,256 3,214,211 2,863,147 |
Certificates of deposit (Tables
Certificates of deposit (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Investments, All Other Investments [Abstract] | |
Schedule of Cost Method Investments [Table Text Block] | CDARs held by the Company at June 30, 2017 and 2016 are as follows (in thousands): Under 90 91 days to Six months to Greater days six months 1 year than 1 year CDARS, as of June 30, 2017 $ 3,039 $ - $ - $ - CDARS, as of June 30, 2016 $ - $ - $ 2,247 $ 2,973 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | Inventory consisted of the following (in thousands): June 30, 2017 2016 Raw materials $ 191 $ 155 Work in process 121 161 Finished goods 11 18 Total inventory $ 323 $ 334 |
Schedule of Inventory, Noncurrent [Table Text Block] | June 30, 2017 2016 Enriched barium, non-current $ 470 $ 470 Raw materials, non-current 43 121 Total inventory, non-current $ 513 $ 591 |
Prepaid Expenses and Other Cu30
Prepaid Expenses and Other Current Assets (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block] | Prepaid expenses and other current assets consisted of the following (in thousands): June 30, 2017 2016 Prepaid insurance $ 52 $ 46 Other prepaid expenses 122 231 Other current assets 30 27 Other receivables 67 - $ 271 $ 304 |
Property & Equipment (Tables)
Property & Equipment (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | Property & equipment consisted of the following (in thousands): June 30, 2017 2016 Land $ 366 $ 168 Equipment 3,776 3,606 Leasehold improvements 4,130 4,130 Other 1 373 214 Property and equipment 8,645 8,118 Less accumulated depreciation (7,591) (7,541) Property and equipment, net $ 1,054 $ 577 1. Plant and equipment, not placed in service are items that meet the capitalization threshold or which management believes will meet the threshold at the time of completion and which have yet to be placed into service as of the date of the balance sheet, and therefore, no depreciation expense has been recognized . Also included at June 30, 2017 and 2016 are costs associated with advance planning and design work on the Company’s new production facility of $ 207,000 121,000 |
Other Assets, net (Tables)
Other Assets, net (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Other Assets [Abstract] | |
Schedule of Other Assets [Table Text Block] | Other assets, net of accumulated amortization consisted of the following (in thousands): June 30, 2017 2016 Website development $ 90 $ 28 Licenses 552 518 Patents and trademarks 366 366 Total Other Assets 1,008 912 Less: Accumulated Amortization (778) (761) $ 230 $ 151 Year Ended June 30, 2017 2016 2015 Amortization expense on website development $ 12 $ - $ - Amortization expense on licenses 16 16 12 Amortization expense on patents and trademarks 17 18 25 Change in estimate on patents and trademarks 1 - 73 - Total amortization expense $ 45 $ 107 $ 37 1. The change in estimate is the result of the review of information contained in the amortization assumptions which is based on new information resulted in a non-recurring change in the amortization expense. |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | FY2018 $ 47 FY2019 34 FY2020 24 FY2021 23 FY2022 23 Thereafter 79 $ 230 |
Asset Retirement Obligation (Ta
Asset Retirement Obligation (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of Change in Asset Retirement Obligation [Table Text Block] | The ARO changed as follows (in thousands): Year Ended June 30, 2017 2016 Beginning balance $ 580 $ 947 Accretion of discount 29 89 Gain on change in ARO estimate (48) (456) Ending balance $ 561 $ 580 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The weighted average fair value of stock option awards granted and the key assumptions used in the Black-Scholes valuation model to calculate the fair value are as follows: For the Year Ended June 30, 2017 2016 2015 Weighted average fair value $0.45 $0.60 $1.11 Options issued 2,150,000 1,185,500 395,000 Exercise price $0.55 to $0.84 $0.64 to $1.53 $1.47 Expected term (in years) 4 to 5 1 to 5 4 to 5 Risk-free rate 1.62% to 1.83% 0.51% to 1.62% 1.42% to 1.65% Volatility 101% - 103% 106% - 118% 107% |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | The following table presents the share-based compensation expense (in thousands): For the Year Ended June 30, 2017 2016 2015 Cost of product sales $ 86 $ 71 $ 45 Research and development expense 60 14 17 Sales and marketing expense 86 23 11 General and administrative expense 140 182 132 Total share-based compensation $ 372 $ 290 $ 205 |
Schedule of Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding [Table Text Block] | A summary of stock option information within the Company’s share-based compensation plans during the fiscal years is presented below: Options Outstanding Price (a) Life (b) Value (c) Balance at June 30, 2014 2,314,422 $ 2.00 4.69 $ 3,187 Granted (d) 395,000 1.41 Expired/Forfeited (84,236) 4.15 Exercised (206,904) 1.03 Balance at June 30, 2015 2,418,282 $ 1.91 4.71 $ 692 Granted (d) 1,185,500 .87 Expired (459,594) 3.48 Forfeited (162,869) 1.67 Exercised (56,260) .89 Balance at June 30, 2016 2,925,059 $ 1.21 6.93 $ 263 Granted (d) 2,150,000 .61 Expired/Forfeited (509,904) 2.55 Voided (1,179,164) .94 Exercised (6,800) .26 Balance at June 30, 2017 3,379,191 $ 0.78 7.86 $ 151 Vested and expected to vest at June 30, 2017 3,274,591 $ 0.78 7.80 $ 148 Exercisable at June 30, 2017 1,800,441 $ 0.93 5.98 $ 111 (a) Weighted average exercise price per share. (b) Weighted average remaining contractual life. (c) Aggregate intrinsic value (in thousands). (d) All options granted had exercise prices equal to or greater than the ending closing market price of the Company’s common stock on the grant date. The options were granted to employees and management by the Compensation Committee For the Year Ended June 30, 2017 2016 2015 Aggregate intrinsic value of options exercised (in thousands) $ 3 $ 25 $ 307 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block] | Change in fair value of the warrant derivative liability is as follows (in thousands): For the Year Ended June 30, 2017 2016 2015 Change in fair value of the warrant derivative liability $ 27 $ 154 $ 375 A summary of the change in fair value of derivative warrant liability is as follows for the fiscal years presented (in thousands except quantity) Quantity Amount Balance at June 30, 2014 238,296 $ 573 Change in fair value (375) Warrants exercised (13,209) (17) Balance at June 30, 2015 225,087 $ 181 Change in fair value (154) Balance at June 30, 2016 225,087 $ 27 Change in fair value (27) Warrants expired (225,087) - Balance at June 30, 2017 - $ - |
Schedule of Stockholders Equity Note Warrants or Rights [Table Text Block] | The following table summarizes the activity of all stock warrants and weighted average exercise prices including the derivative warrants discussed above. Warrants Price (a) Balance at June 30, 2014 444,747 1.43 Warrants exercised (58,947) 1.38 Balance at June 30, 2015 385,800 1.22 Warrants expired (155,713) 1.63 Balance at June 30, 2016 230,087 $ 0.94 Warrants expired (230,087) 0.94 Balance at June 30, 2017 - $ - (a) Weighted average exercise price per share. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | As of June 30, 2017 2016 Fixed assets $ 519 $ 610 Share-based compensation 664 545 Reserves 9 13 Other accruals 33 119 Asset retirement obligation 196 203 Net operating loss carryforwards 21,302 19,110 Total deferred tax assets 22,723 20,600 Valuation allowance (22,723) (20,600) Total $ - $ - |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | For the year ended June 30, 2017 2016 2015 Expected income tax benefit base on statutory rate of 35% $ (2,157) $ (1,649) $ (1,288) Meals and entertainment 17 7 10 Non-deductible penalties 16 21 19 Warrant derivative liability (9) (54) (131) Share-based compensation 10 - - Change in valuation allowance 2,123 1,675 1,390 Income tax expense (benefit) $ - $ - $ - |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Year ending June 30, Amount 2018 $ 285 2019 285 2020 285 2021 237 $ 1,092 For the Year Ended June 30, 2017 2016 2015 Rental expense $ 288 $ 292 $ 280 |
Unrecorded Unconditional Purchase Obligations Disclosure [Table Text Block] | For the Year Ended June 30, 2017 2016 2015 Royalty expense $ - $ 28 $ 20 |
Concentrations of Credit and 38
Concentrations of Credit and Other Risks (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Risks and Uncertainties [Abstract] | |
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block] | Year ended June 30, Facility 2017 2016 2015 El Camino, Los Gatos, & other facilities 1 22.9 % 24.2 % 24.2 % Bon Secours DePaul and Maryview Medical Center 2 6.8 % 9.0 % 11.7 % 1. This group of facilities individually do not aggregate to more than 10% of total Company product sales. They are serviced by the same physician group, one of whom is our Medical Director. 2. These two facilities are part of the same network and currently share one physician who performs procedures in both facilities. Individually, these facilities would not meet the 10% criteria, however, in aggregate, they do. |
Quarterly Financial Data (Table
Quarterly Financial Data (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information [Table Text Block] | The following table provides the selected quarterly financial data for fiscal years 2017 and 2016 (dollars and shares in thousands, except for per share amounts): Quarters ended September 30, December 31, March 31, June 30, 2016 2016 2017 2017 Net revenue $ 1,081 $ 1,028 $ 1,282 $ 1,370 Gross profit/(loss) $ 48 $ (1) $ 293 $ 498 Net loss $ (1,498) $ (1,450) $ (1,360) $ (1,854) Net loss per share basic and diluted $ (0.03) $ (0.03) $ (0.02) $ (0.03) Shares used in basic and diluted per share calculation 55,011 55,017 55,017 55,017 Quarters ended September 30, December 31, March 31, June 30, 2015 2015 2016 2016 Net revenue $ 1,261 $ 1,189 $ 1,198 $ 1,120 Gross profit/(loss) $ 83 $ 30 $ 66 $ (48) Net loss $ (1,019) $ (1,312) $ (1,195) $ (1,185) Net loss per share basic and diluted $ (0.02) $ (0.02) $ (0.02) $ (0.02) Shares used in basic and diluted per share calculation 55,013 55,014 55,023 55,012 1. Due to rounding, the total of the individual quarters and the year-end calculation on the Consolidated Statement of Operations may be different. |
Summary of Significant Accoun40
Summary of Significant Accounting Policies (Details) | 12 Months Ended |
Jun. 30, 2017 | |
Production Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Production Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Office Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Office Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Summary of Significant Accoun41
Summary of Significant Accounting Policies (Details 1) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | $ 5,932 | $ 10,139 |
Warrant derivative liability | 27 | |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 5,932 | 10,139 |
Warrant derivative liability | 0 | |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Warrant derivative liability | 27 | |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | $ 0 | 0 |
Warrant derivative liability | $ 0 |
Summary of Significant Accoun42
Summary of Significant Accounting Policies (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Marketing and Advertising Expense [Line Items] | |||
Advertising and marketing costs expensed (including tradeshows) | $ 323 | $ 157 | $ 151 |
Prepaid marketing expenses deferred until event occurs | $ 11 | $ 12 |
Summary of Significant Accoun43
Summary of Significant Accounting Policies (Details 3) - shares | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 3,438,256 | 3,214,211 | 2,863,147 |
Common stock options [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 3,379,191 | 2,925,059 | 2,418,282 |
Preferred Stock [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 59,065 | 59,065 | 59,065 |
Common stock warrant [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 230,087 | 385,800 |
Certificates of deposit (Detail
Certificates of deposit (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Under 90 Days [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Investment Owned, at Cost | $ 3,039 | |
Six Months to 1 Year [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Investment Owned, at Cost | $ 2,247 | |
Greater than 1 Year [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Investment Owned, at Cost | $ 2,973 |
Certificates of deposit (Deta45
Certificates of deposit (Details Textual) | 12 Months Ended |
Jun. 30, 2017USD ($) | |
Certificates of deposit [Line Items] | |
Federal Deposit Insurance Corporation Limits On Deposits In Financial Institutions | $ 250,000 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Inventory [Line Items] | ||
Raw materials | $ 191 | $ 155 |
Work in process | 121 | 161 |
Finished goods | 11 | 18 |
Total inventory | 323 | 334 |
Total inventory, non-current | 513 | 591 |
Enriched Barium Inventory [Member] | ||
Inventory [Line Items] | ||
Total inventory, non-current | 470 | 470 |
Raw Materials [Member] | ||
Inventory [Line Items] | ||
Total inventory, non-current | $ 43 | $ 121 |
Inventory (Details Textual)
Inventory (Details Textual) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Mar. 31, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Inventory Write-down | $ 0 | $ 72,000 | $ 0 | |
GliaSite® RTS [Member] | ||||
Inventory Write-down | $ 72,000 |
Prepaid Expenses and Other Cu48
Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Prepaid Expenses and Other Current Assets [Line Items] | ||
Prepaid insurance | $ 52 | $ 46 |
Other prepaid expenses | 122 | 231 |
Other current assets | 30 | 27 |
Other receivables | 67 | |
Prepaid Expense and Other Assets, Current | $ 271 | $ 304 |
Property & Equipment (Details)
Property & Equipment (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Property and equipment | $ 8,645 | $ 8,118 | |
Less accumulated depreciation | (7,591) | (7,541) | |
Property and equipment , net | 1,054 | 577 | |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | 366 | 168 | |
Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | 3,776 | 3,606 | |
Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | 4,130 | 4,130 | |
Other [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | [1] | $ 373 | $ 214 |
[1] | Plant and equipment, not placed in service are items that meet the capitalization threshold or which management believes will meet the threshold at the time of completion and which have yet to be placed into service as of the date of the balance sheet, and therefore, no depreciation expense has been recognized. Also included at June 30, 2017 and 2016 are costs associated with advance planning and design work on the Company’s new production facility of $86,000 and $121,000 respectively. |
Property & Equipment (Details T
Property & Equipment (Details Textual) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Other Capitalized Property Plant and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property Plant And Equipment Preproduction Design facility Costs | $ 207,000 | $ 121,000 |
Restricted Cash (Details Textua
Restricted Cash (Details Textual) - USD ($) | Jun. 30, 2017 | Jun. 30, 2016 |
Restricted Cash and Cash Equivalents, Noncurrent | $ 181,000 | $ 181,000 |
Certificates of Deposit [Member] | ||
Restricted Cash and Cash Equivalents, Noncurrent | $ 181,000 |
Other Assets, net (Details)
Other Assets, net (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | ||
Finite-Lived Intangible Assets, Gross | $ 1,008 | $ 912 | ||
Less: Accumulated Amortization | (778) | (761) | ||
Finite-Lived Intangible Assets, Net | 230 | 151 | ||
Change in estimate on patents and trademarks | [1] | 0 | 73 | $ 0 |
Total amortization expense | 45 | 107 | 37 | |
Computer Software, Intangible Asset [Member] | ||||
Finite-Lived Intangible Assets, Gross | 90 | 28 | ||
Total amortization expense | 12 | 0 | 0 | |
Licensing Agreements [Member] | ||||
Finite-Lived Intangible Assets, Gross | 552 | 518 | ||
Total amortization expense | 16 | 16 | 12 | |
Intellectual Property [Member] | ||||
Finite-Lived Intangible Assets, Gross | 366 | 366 | ||
Total amortization expense | $ 17 | $ 18 | $ 25 | |
[1] | The change in estimate is the result of the review of information contained in the amortization assumptions which is based on new information resulted in a non-recurring change in the amortization expense. |
Other Assets, net (Details 1)
Other Assets, net (Details 1) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
FY2018 | $ 47 | |
FY2019 | 34 | |
FY2020 | 24 | |
FY2021 | 23 | |
FY2022 | 23 | |
Thereafter | 79 | |
Finite-Lived Intangible Assets, Net | $ 230 | $ 151 |
Asset Retirement Obligation (De
Asset Retirement Obligation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Asset Retirement Obligation [Line Items] | |||
Beginning balance | $ 580 | $ 947 | |
Accretion of discount | 29 | 89 | $ 81 |
Gain on change in ARO estimate | (48) | (456) | |
Ending balance | $ 561 | $ 580 | $ 947 |
Asset Retirement Obligation (55
Asset Retirement Obligation (Details Textual) - USD ($) | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Asset Retirement Obligation [Line Items] | ||
Asset Retirement Obligation, Period Increase Decrease In Estimate, Gain Loss | $ 48,000 | $ 456,000 |
Asset Retirement Obligation Assumed Inflation Factor | 1.10% | 1.10% |
Asset Retirement Obligation Assumed Credit-adjusted Risk Free Rate | 5.10% | 5.10% |
Asset Retirement Obligations, Noncurrent, Total | $ 561,000 | $ 580,000 |
Estimated Asset Retirement Cost | $ 650,000 | $ 650,000 |
Share-Based Compensation (Detai
Share-Based Compensation (Details) - $ / shares | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Options issued | 2,150,000 | 1,185,500 | 395,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 1.47 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate, Minimum | 1.62% | 0.51% | 1.42% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate, Maximum | 1.83% | 1.62% | 1.65% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate, Minimum | 101.00% | 106.00% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate, Maximum | 103.00% | 118.00% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 107.00% | ||
Equity Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Weighted average fair value | $ 0.45 | $ 0.60 | $ 1.11 |
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 0.84 | $ 1.53 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 5 years | 5 years | 5 years |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 0.55 | $ 0.64 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 4 years | 1 year | 4 years |
Share-Based Compensation (Det57
Share-Based Compensation (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total share-based compensation | $ 372 | $ 290 | $ 205 |
Cost of product sales [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total share-based compensation | 86 | 71 | 45 |
Research and Development Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total share-based compensation | 60 | 14 | 17 |
Sales and Marketing Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total share-based compensation | 86 | 23 | 11 |
General and Administrative Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total share-based compensation | $ 140 | $ 182 | $ 132 |
Share-Based Compensation (Det58
Share-Based Compensation (Details 2) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | ||
Number of Options | |||||
Beginning balance outstanding | 2,925,059 | 2,418,282 | 2,314,422 | ||
Granted | [1] | 2,150,000 | 1,185,500 | 395,000 | |
Expired/Forfeited | (509,904) | (84,236) | |||
Voided | (1,179,164) | ||||
Expired | (459,594) | ||||
Forfeited | (162,869) | ||||
Exercised | (6,800) | (56,260) | (206,904) | ||
Ending balance outstanding | 3,379,191 | 2,925,059 | 2,418,282 | 2,314,422 | |
Vested and expected to vest | 3,274,591 | ||||
Exercisable | 1,800,441 | ||||
Weighted Exercise Price | |||||
Begining balance outstanding | [2] | $ 1.21 | $ 1.91 | $ 2 | |
Granted | [1],[2] | 0.61 | 0.87 | 1.41 | |
Expired/Forfeited | [2] | 2.55 | 4.15 | ||
Voided | [2] | 0.94 | |||
Expired | [2] | 3.48 | |||
Forfeited | [2] | 1.67 | |||
Exercised | [2] | 0.26 | 0.89 | 1.03 | |
Ending balance outstanding | [2] | 0.78 | $ 1.21 | $ 1.91 | $ 2 |
Vested and expected to vest | [2] | 0.78 | |||
Exercisable | [2] | $ 0.93 | |||
Weighted Average Contractual Term | |||||
Outstanding | [3] | 7 years 10 months 10 days | 6 years 11 months 5 days | 4 years 8 months 16 days | 4 years 8 months 8 days |
Vested and expected to vest | [3] | 7 years 9 months 18 days | |||
Exercisable | [3] | 5 years 11 months 23 days | |||
Intrinsic Value | |||||
Outstanding | [4] | $ 151 | $ 263 | $ 692 | $ 3,187 |
Vested and expected to vest | [4] | 148 | |||
Exercisable | [4] | 111 | |||
Aggregate intrinsic value of options exercised | $ 3 | $ 25 | $ 307 | ||
[1] | All options granted had exercise prices equal to or greater than the ending closing market price of the Company’s common stock on the grant date. The options were granted to employees and management by the Compensation Committee and had vesting periods from immediate to five years. | ||||
[2] | Weighted average exercise price per share. | ||||
[3] | Weighted average remaining contractual life. | ||||
[4] | Aggregate intrinsic value (in thousands). |
Share-Based Compensation (Det59
Share-Based Compensation (Details Textual) | 12 Months Ended |
Jun. 30, 2017USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | $ | $ 857,000 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 6 months |
Share Based Compensation Arrangement By Share Based Payment Award Options Voided | shares | (1,179,164) |
Share Based Compensation Costs For Recognized | $ | $ 51,000 |
Share Based Compensation Costs For Replacement Options | $ | $ 494,000 |
Director [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | shares | 1,000,000 |
Directors Officers Employees And Consultants [Member] | Incentive Plan 2017 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | shares | 4,000,000 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Class of Warrant or Right [Line Items] | |||
Change in fair value of the warrant derivative liability | $ 27 | $ 154 | $ 375 |
Shareholders' Equity (Details 1
Shareholders' Equity (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Quantity | |||
Balance | 230,087 | 385,800 | 444,747 |
Warrants exercised | (58,947) | ||
Balance | 0 | 230,087 | 385,800 |
Value of warrants issued: | |||
Change in fair value | $ (27) | $ (154) | $ (375) |
Derivative Warrants [Member] | |||
Quantity | |||
Balance | 225,087 | 225,087 | 238,296 |
Warrants corrected | (13,209) | ||
Warrants exercised | (225,087) | ||
Balance | 0 | 225,087 | 225,087 |
Value of warrants issued: | |||
Balance | $ 27 | $ 181 | $ 573 |
Change in fair value | (27) | (154) | (375) |
Warrants corrected | 0 | (17) | |
Balance | $ 0 | $ 27 | $ 181 |
Shareholders' Equity (Details 2
Shareholders' Equity (Details 2) - $ / shares | 12 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | ||
Warrants | ||||
Balance | 230,087 | 385,800 | 444,747 | |
Warrants exercised | (58,947) | |||
Warrants expired | (230,087) | (155,713) | ||
Balance | 0 | 230,087 | 385,800 | |
Weighted average exercise price | ||||
Balance | [1] | $ 0.94 | $ 1.22 | $ 1.43 |
Warrants expired | [1] | 0.94 | 1.63 | 1.38 |
Balance | [1] | $ 0 | $ 0.94 | $ 1.22 |
[1] | Weighted average exercise price per share. |
Shareholders' Equity (Details T
Shareholders' Equity (Details Textual) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Jun. 30, 2017USD ($)$ / sharesshares | Jun. 30, 2016USD ($)$ / sharesshares | Jun. 30, 2015USD ($) | Aug. 31, 2013 | |
Preferred Stock, Par or Stated Value Per Share | $ / shares | $ 0.001 | $ 0.001 | ||
Common Stock, Par or Stated Value Per Share | $ / shares | $ 0.001 | $ 0.001 | ||
Preferred Stock, Shares Authorized | 7,001,671 | 7,001,671 | ||
Payments of Ordinary Dividends, Preferred Stock and Preference Stock | $ | $ 11 | $ 11 | $ 11 | |
Series A Preferred Stock [Member] | ||||
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 | ||
Preferred Stock, Shares Outstanding | 0 | 0 | ||
Series B Preferred Stock [Member] | ||||
Preferred Stock, Shares Authorized | 5,000,000 | 5,000,000 | ||
Convertible Preferred Stock Terms Of Forced Conversion | $ | $ 4,000 | |||
Preferred Stock, Dividend Rate, Percentage | 15.00% | |||
Preferred Stock, Shares Outstanding | 59,065 | 59,065 | ||
Preferred Stock, Amount of Preferred Dividends in Arrears | $ | $ 5 | |||
Series C Preferred Stock [Member] | ||||
Preferred Stock, Shares Authorized | 1,000,000 | 1,000,000 | ||
Preferred Stock, Shares Outstanding | 0 | 0 | ||
Series D Preferred Stock [Member] | ||||
Preferred Stock, Shares Authorized | 1,671 | 1,671 | ||
Preferred Stock, Shares Outstanding | 0 | 0 | ||
Convertible Preferred Stock Maximum Ownership Interest | 9.99% | |||
Convertible Preferred Stock Issuance Of Common Stock Upon Conversion Rate | 1,869.15 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Income Taxes Disclosure [Line Items] | ||
Fixed assets | $ 519 | $ 610 |
Share-based compensation | 664 | 545 |
Reserves | 9 | 13 |
Other accruals | 33 | 119 |
Asset retirement obligation | 196 | 203 |
Net operating loss carryforwards | 21,302 | 19,110 |
Total deferred tax assets | 22,723 | 20,600 |
Valuation allowance | (22,723) | (20,600) |
Total | $ 0 | $ 0 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Income Taxes Disclosure [Line Items] | |||
Expected income tax benefit base on statutory rate of 35% | $ (2,157) | $ (1,649) | $ (1,288) |
Meals and entertainment | 17 | 7 | 10 |
Non-deductible penalties | 16 | 21 | 19 |
Warrant derivative liability | (9) | (54) | (131) |
Share-based compensation | 10 | 0 | 0 |
Change in valuation allowance | 2,123 | 1,675 | 1,390 |
Income tax expense (benefit) | $ 0 | $ 0 | $ 0 |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Operating Loss Carryforwards [Line Items] | ||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 35.00% |
Internal Revenue Service (IRS) [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Assets Valuation Allowance Percentage | 100.00% | 100.00% |
Operating Loss Carryforwards | $ 61 | |
Internal Revenue Service (IRS) [Member] | Earliest Tax Year [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2027 | |
Internal Revenue Service (IRS) [Member] | Latest Tax Year [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating Loss Carryforwards, Expiration Date | Dec. 31, 2038 |
Commitments and Contingencies67
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Other Commitments [Line Items] | |||
2,018 | $ 285 | ||
2,019 | 285 | ||
2,020 | 285 | ||
2,021 | 237 | ||
Operating Leases, Future Minimum Payments Due | 1,092 | ||
Rental expense | $ 288 | $ 292 | $ 280 |
Commitments and Contingencies68
Commitments and Contingencies (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Gliasite Radiation Therapy System [Member] | |||
Other Commitments [Line Items] | |||
Royalty expense | $ 0 | $ 28 | $ 20 |
Commitments and Contingencies69
Commitments and Contingencies (Details Textual) | May 04, 2017USD ($) | Apr. 05, 2017USD ($) | May 16, 2017USD ($) | Mar. 09, 2017USD ($) | Jun. 30, 2017USD ($)ft²a | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Commitments and Contingencies [Line Items] | |||||||||
Payments to Acquire Land Held-for-use | $ 197,900 | $ 168,000 | $ 168,000 | ||||||
Area of Land | a | 4.2 | ||||||||
Number Of Employees Commitment | 25 | ||||||||
Percentage Of Royalty Rate Payable | 1.00% | ||||||||
Land | $ 365,900 | ||||||||
Purchase Obligation Expiration Date | Mar. 31, 2017 | ||||||||
Purchase Obligation Agreement Period | 1 year | ||||||||
Purchase Obligation | $ 854,000 | $ 1,000,000 | |||||||
Purchase Obligation, Due in Next Twelve Months | $ 504,000 | ||||||||
Litigation Settlement, Amount Awarded to Other Party | $ 195,000 | ||||||||
Research and Development Expense | 965,000 | $ 528,000 | $ 615,000 | ||||||
Payments for Legal Settlements | $ 3,537,500 | ||||||||
Total Amount of Purchase Obligation | 1,862,000 | ||||||||
Collaborative Development Agreement [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Research and Development Expense | 387,000 | ||||||||
Royalty Agreement For Invention And Patent Application [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Royalty Expense | $ 21,000 | 18,000 | $ 14,000 | ||||||
Patent Rights Knowhow And License Agreements [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Percentage Of Royalty Rate Payable | 1.00% | ||||||||
Royalty Agreement For Invention And Patent Application Sub Assignments [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Percentage Of Royalty Rate Payable | 2.00% | ||||||||
Dr. Reddy’s Laboratory Ltd [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
License Agreement Expiration Date | Jun. 30, 2016 | ||||||||
Accrued Royalties, Current | $ 15,000 | ||||||||
GammaTile LLC [Member] | Collaborative Development Agreement [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Research And Development Collaborative Arrangements Cost | $ 194,000 | ||||||||
Research And Development Collaborative Arrangements Cost Reimbursement | $ 128,000 | ||||||||
Capital Addition Purchase Commitments [Member] | Warehouse Space [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Minimum Building Size Specifications | ft² | 12,000 | ||||||||
Capital Addition Purchase Commitments [Member] | Office Space [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Minimum Building Size Specifications | ft² | 4,000 | ||||||||
Primary Use Agreement [Member] | |||||||||
Commitments and Contingencies [Line Items] | |||||||||
Unrecorded Unconditional Purchase Obligation, Term | 10 years |
Concentrations of Credit and 70
Concentrations of Credit and Other Risks (Details) - Sales [Member] - Customer Concentration Risk [Member] | 12 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | ||
El Camino, Los Gatos, & Other Facilities [Member] | ||||
Concentration Risk, Percentage | [1] | 22.90% | 24.20% | 24.20% |
Bon Secours DePaul and Maryview Medical Center [Member] | ||||
Concentration Risk, Percentage | [2] | 6.80% | 9.00% | 11.70% |
[1] | This group of facilities individually do not aggregate to more than 10% of total Company product sales. They are serviced by the same physician group, one of whom is our Medical Director. | |||
[2] | These two facilities are part of the same network and currently share one physician who performs procedures in both facilities. Individually, these facilities would not meet the 10% criteria, however, in aggregate, they do. |
Concentrations of Credit and 71
Concentrations of Credit and Other Risks (Details Textual) | Jun. 30, 2017USD ($) |
Guaranteed [Member] | |
Product Information [Line Items] | |
Cash, FDIC Insured Amount | $ 250,000 |
Related Party Transactions (Det
Related Party Transactions (Details Textual) - USD ($) | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Related Party Transaction [Line Items] | |||
Maintenance costs | $ 0 | $ 0 | |
Software implementation costs | 6,000 | 12,000 | |
Amount accrued for payment | $ 0 | 0 | |
Website modifications and maintenance | 6,000 | $ 12,000 | |
GO Intellectual Capital LLC [Member] | |||
Related Party Transaction [Line Items] | |||
Payments For Go To Market Services | $ 20,374 | $ 105,659 |
Quarterly Financial Data (Detai
Quarterly Financial Data (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |||||||||
Net revenue | $ 1,370 | $ 1,282 | $ 1,028 | $ 1,081 | $ 1,120 | $ 1,198 | $ 1,189 | $ 1,261 | $ 4,761 | $ 4,769 | $ 4,606 | ||||||||
Gross profit/(loss) | 498 | 293 | (1) | 48 | (48) | 66 | 30 | 83 | 838 | 129 | 167 | ||||||||
Net loss | $ (1,854) | $ (1,360) | $ (1,450) | $ (1,498) | $ (1,185) | $ (1,195) | $ (1,312) | $ (1,019) | $ (6,162) | $ (4,711) | $ (3,681) | ||||||||
Net loss per share - basic and diluted | $ (0.03) | [1] | $ (0.02) | [1] | $ (0.03) | [1] | $ (0.03) | [1] | $ (0.02) | [1] | $ (0.02) | [1] | $ (0.02) | [1] | $ (0.02) | [1] | $ (0.11) | $ (0.09) | $ (0.07) |
Shares used in basic and diluted per share calculation | 55,017 | 55,017 | 55,017 | 55,011 | 55,012 | 55,023 | 55,014 | 55,013 | 55,016 | 55,015 | 54,882 | ||||||||
[1] | Due to rounding, the total of the individual quarters and the year-end calculation on the Consolidated Statement of Operations may be different. |