2015 Q2 Form 10-Q Financial Statement

#000119312515283091 Filed on August 07, 2015

View on sec.gov

Income Statement

Concept 2015 Q2 2014 Q4 2014 Q2
Revenue $8.830M $9.587M $8.601M
YoY Change 2.66% 3.85% -15.26%
Cost Of Revenue $7.028M $6.590M $4.752M
YoY Change 47.9% 33.43% -17.31%
Gross Profit $1.802M $2.997M $3.849M
YoY Change -53.18% -30.19% -12.58%
Gross Profit Margin 20.41% 31.26% 44.75%
Selling, General & Admin $12.06M $10.69M $10.08M
YoY Change 19.67% 43.88% 26.73%
% of Gross Profit 669.42% 356.69% 261.89%
Research & Development $5.213M $5.190M $4.722M
YoY Change 10.4% 12.39% 34.68%
% of Gross Profit 289.29% 173.17% 122.68%
Depreciation & Amortization $400.0K $430.0K $290.0K
YoY Change 37.93% 26.47% 163.64%
% of Gross Profit 22.2% 14.35% 7.53%
Operating Expenses $17.33M $15.93M $14.85M
YoY Change 16.66% 31.66% 29.03%
Operating Profit -$15.53M -$12.93M -$11.00M
YoY Change 41.09% 65.68% 54.81%
Interest Expense $301.0K -$6.910M $34.00K
YoY Change 785.29% -483.89% -68.22%
% of Operating Profit
Other Income/Expense, Net -$2.482M -$240.0K $3.459M
YoY Change -171.75% -112.01% 689.73%
Pretax Income -$18.01M -$20.08M -$7.545M
YoY Change 138.66% 245.79% 13.12%
Income Tax -$2.035M $110.0K $44.00K
% Of Pretax Income
Net Earnings -$15.97M -$20.18M -$7.589M
YoY Change 110.46% 244.4% 12.86%
Net Earnings / Revenue -180.88% -210.51% -88.23%
Basic Earnings Per Share -$0.17 -$0.26 -$0.10
Diluted Earnings Per Share -$0.17 -$0.26 -$0.16
COMMON SHARES
Basic Shares Outstanding 95.73M shares 78.27M shares 72.90M shares
Diluted Shares Outstanding 95.73M shares 74.52M shares

Balance Sheet

Concept 2015 Q2 2014 Q4 2014 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $110.9M $51.29M $49.70M
YoY Change 123.16% -11.1% -14.6%
Cash & Equivalents $35.06M $22.78M $28.56M
Short-Term Investments $75.85M $28.51M $21.10M
Other Short-Term Assets $1.411M $1.932M $1.416M
YoY Change -0.35% 337.1% 608.0%
Inventory $13.68M $14.96M $13.38M
Prepaid Expenses $1.009M $1.210M $1.353M
Receivables $5.425M $5.493M $4.478M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $144.5M $74.89M $70.32M
YoY Change 105.45% -4.18% -9.58%
LONG-TERM ASSETS
Property, Plant & Equipment $3.816M $3.781M $3.615M
YoY Change 5.56% 72.73% 120.29%
Goodwill $1.316M $1.316M $1.316M
YoY Change 0.0% 0.0% 0.0%
Intangibles $1.041M $1.142M $1.243M
YoY Change -16.25% -15.03% -13.98%
Long-Term Investments
YoY Change
Other Assets $140.0K $144.0K $51.00K
YoY Change 174.51% 105.71% -29.17%
Total Long-Term Assets $6.935M $6.891M $6.532M
YoY Change 6.17% 31.83% 36.71%
TOTAL ASSETS
Total Short-Term Assets $144.5M $74.89M $70.32M
Total Long-Term Assets $6.935M $6.891M $6.532M
Total Assets $151.4M $81.78M $76.85M
YoY Change 97.01% -1.92% -6.9%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $5.765M $9.882M $3.169M
YoY Change 81.92% 74.16% -37.06%
Accrued Expenses $6.914M $8.444M $10.62M
YoY Change -34.89% -13.95% 21.39%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $2.500M $0.00 $0.00
YoY Change -100.0% -100.0%
Total Short-Term Liabilities $22.22M $29.19M $21.71M
YoY Change 2.38% -25.97% -17.72%
LONG-TERM LIABILITIES
Long-Term Debt $17.40M $9.900M $9.800M
YoY Change 77.55%
Other Long-Term Liabilities $1.160M $1.081M $987.0K
YoY Change 17.53% 0.75% -13.8%
Total Long-Term Liabilities $1.160M $1.081M $987.0K
YoY Change 17.53% 0.75% -13.8%
TOTAL LIABILITIES
Total Short-Term Liabilities $22.22M $29.19M $21.71M
Total Long-Term Liabilities $1.160M $1.081M $987.0K
Total Liabilities $40.88M $40.26M $32.64M
YoY Change 25.22% -0.82% 18.26%
SHAREHOLDERS EQUITY
Retained Earnings -$567.4M -$541.9M -$511.0M
YoY Change 11.03% 7.7% 7.17%
Common Stock $670.4M $583.5M $74.00K
YoY Change 905878.38% 6.87% 5.71%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $110.5M $41.52M $44.21M
YoY Change
Total Liabilities & Shareholders Equity $151.4M $81.78M $76.85M
YoY Change 97.01% -1.92% -6.9%

Cashflow Statement

Concept 2015 Q2 2014 Q4 2014 Q2
OPERATING ACTIVITIES
Net Income -$15.97M -$20.18M -$7.589M
YoY Change 110.46% 244.4% 12.86%
Depreciation, Depletion And Amortization $400.0K $430.0K $290.0K
YoY Change 37.93% 26.47% 163.64%
Cash From Operating Activities -$14.73M -$8.630M -$9.610M
YoY Change 53.28% 32.16% 68.89%
INVESTING ACTIVITIES
Capital Expenditures -$270.0K -$80.00K -$590.0K
YoY Change -54.24% -63.64% 293.33%
Acquisitions
YoY Change
Other Investing Activities $17.89M -$3.790M $2.970M
YoY Change 502.36% -683.08% -29800.0%
Cash From Investing Activities $17.61M -$3.870M $2.380M
YoY Change 639.92% -1000.0% -1587.5%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 14.24M 12.93M 11.81M
YoY Change 20.58% 15.14% -331.12%
NET CHANGE
Cash From Operating Activities -14.73M -8.630M -9.610M
Cash From Investing Activities 17.61M -3.870M 2.380M
Cash From Financing Activities 14.24M 12.93M 11.81M
Net Change In Cash 17.12M 430.0K 4.580M
YoY Change 273.8% -91.62% -141.79%
FREE CASH FLOW
Cash From Operating Activities -$14.73M -$8.630M -$9.610M
Capital Expenditures -$270.0K -$80.00K -$590.0K
Free Cash Flow -$14.46M -$8.550M -$9.020M
YoY Change 60.31% 35.5% 62.82%

Facts In Submission

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us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
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2432000 shares
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
11587000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
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us-gaap Earnings Per Share Basic
EarningsPerShareBasic
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EarningsPerShareDiluted
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us-gaap Payments For Royalties
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us-gaap Comprehensive Income Net Of Tax
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us-gaap Repayments Of Long Term Debt
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us-gaap Available For Sale Securities Gross Realized Gains
AvailableForSaleSecuritiesGrossRealizedGains
0
us-gaap Interest Expense
InterestExpense
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us-gaap Operating Expenses
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us-gaap Net Cash Provided By Used In Financing Activities Continuing Operations
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us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
101000
us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
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us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
82000
us-gaap Proceeds From Maturities Prepayments And Calls Of Available For Sale Securities
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10299000
us-gaap Proceeds From Lines Of Credit
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us-gaap Research And Development Expense Excluding Acquired In Process Cost
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us-gaap Proceeds From Issuance Or Sale Of Equity
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2859000
us-gaap Increase Decrease In Deferred Revenue
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us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
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us-gaap Cash And Cash Equivalents Period Increase Decrease
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us-gaap Impairment Of Investments
ImpairmentOfInvestments
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us-gaap Allocated Share Based Compensation Expense
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us-gaap Share Based Compensation
ShareBasedCompensation
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us-gaap Impairment Of Long Lived Assets Held For Use
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0
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us-gaap Increase Decrease In Accrued Liabilities
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743000
us-gaap Other Than Temporary Impairment Losses Investments Availableforsale Securities
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0
us-gaap Impairment Of Intangible Assets Finitelived
ImpairmentOfIntangibleAssetsFinitelived
0
us-gaap Acquired Finite Lived Intangible Assets Weighted Average Useful Life
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us-gaap Net Cash Provided By Used In Investing Activities Continuing Operations
NetCashProvidedByUsedInInvestingActivitiesContinuingOperations
5378000
us-gaap Cost Of Goods Sold
CostOfGoodsSold
8909000
cers Warrant Liability Revaluation Gain Loss
WarrantLiabilityRevaluationGainLoss
12500000
cers Payment For Manufacturing Of Entity Products
PaymentForManufacturingOfEntityProducts
9500000
dei Document Type
DocumentType
10-Q
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Expirations In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpirationsInPeriod
3000 shares
dei Trading Symbol
TradingSymbol
CERS
dei Entity Central Index Key
EntityCentralIndexKey
0001020214
dei Document Period End Date
DocumentPeriodEndDate
2015-06-30
us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
1106000 shares
us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<div> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 18pt"> <b>Reclassifications</b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 6pt"> Certain reclassifications have been made to prior period reported amounts to conform to the current period presentations. Previously the Company had presented the amortization of premium and accretion of any discount resulting from the purchase of fixed income securities as a component of &#x201C;Interest expense&#x201D; on the unaudited condensed consolidated statements of operations. For the three and six months ended June&#xA0;30, 2014, the Company has reclassified approximately $0.1 million and $0.3 million, respectively, of the amortization of premium resulting from the purchase of fixed income securities as a component of &#x201C;Other income, net&#x201D; on the unaudited condensed consolidated statements of operations. This reclassification had no impact on net loss, total assets or total stockholders&#x2019; equity.</p> </div>
dei Entity Filer Category
EntityFilerCategory
Accelerated Filer
us-gaap Number Of Operating Segments
NumberOfOperatingSegments
1 Segment
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
5793000 shares
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod
74000 shares
dei Current Fiscal Year End Date
CurrentFiscalYearEndDate
--12-31
dei Document Fiscal Period Focus
DocumentFiscalPeriodFocus
Q2
us-gaap Concentration Risk Credit Risk
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<div> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 18pt"> <b>Concentration of Credit Risk</b></p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 6pt"> Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash equivalents, short-term investments and accounts receivable.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt"> Pursuant to the Company&#x2019;s investment policy, substantially all of the Company&#x2019;s cash, cash equivalents and non-equity short-term investments are maintained at major financial institutions of high credit standing. The Company monitors the financial credit worthiness of the issuers of its investments and limits the concentration in individual securities and types of investments that exist within its investment portfolio. Generally, all of the Company&#x2019;s investments are investment grade and carry high credit quality ratings, which is in accordance with its investment policy. At June&#xA0;30, 2015, the fair value of the Company&#x2019;s marketable equity securities of Aduro is subject to the underlying volatility of Aduro&#x2019;s stock price. At June&#xA0;30, 2015, the Company does not believe there is significant financial risk from non-performance by the issuers of the Company&#x2019;s cash equivalents.</p> <p style="MARGIN-BOTTOM: 0px; FONT-SIZE: 1px; MARGIN-TOP: 12px"> &#xA0;</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 0pt"> Concentrations of credit risk with respect to trade receivables exist. On a regular basis, including at the time of sale, the Company performs credit evaluations of its significant customers that it expects to sell to on credit terms. Generally, the Company does not require collateral from its customers to secure accounts receivable. To the extent that the Company determines specific invoices or customer accounts may be uncollectible, the Company establishes an allowance for doubtful accounts against the accounts receivable on its unaudited condensed consolidated balance sheets and records a charge on its unaudited condensed consolidated statements of operations as a component of selling, general and administrative expenses. At June&#xA0;30, 2015 and December&#xA0;31, 2014, the Company had not recorded any reserves for potentially uncollectible accounts.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt"> The Company had two customers and one customer that accounted for more than 10% of the Company&#x2019;s outstanding trade receivables at each of June&#xA0;30, 2015 and December&#xA0;31, 2014, respectively. These customers cumulatively represented approximately 43% and 36% of the Company&#x2019;s outstanding trade receivables at June&#xA0;30, 2015, and December&#xA0;31, 2014, respectively. To date, the Company has not experienced collection difficulties from these customers.</p> </div>
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice
4.54
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
94576000 shares
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
4.51
us-gaap Net Cash Provided By Used In Operating Activities Continuing Operations
NetCashProvidedByUsedInOperatingActivitiesContinuingOperations
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dei Amendment Flag
AmendmentFlag
false
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice
2.90
us-gaap Stock Issued During Period Shares Stock Options Exercised
StockIssuedDuringPeriodSharesStockOptionsExercised
261000 shares
us-gaap Number Of Reportable Segments
NumberOfReportableSegments
1 Segment
us-gaap Guarantees Indemnifications And Warranties Policies
GuaranteesIndemnificationsAndWarrantiesPolicies
<div> <p style="margin-top:18pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> <b>Guarantee and Indemnification Arrangements</b></p> <p style="margin-top:6pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> The Company recognizes the fair value for guarantee and indemnification arrangements issued or modified by the Company. In addition, the Company monitors the conditions that are subject to the guarantees and indemnifications in order to identify if a loss has occurred. If the Company determines it is probable that a loss has occurred, then any such estimable loss would be recognized under those guarantees and indemnifications. Some of the agreements that the Company is a party to contain provisions that indemnify the counter party from damages and costs resulting from claims that the Company&#x2019;s technology infringes the intellectual property rights of a third party or claims that the sale or use of the Company&#x2019;s products have caused personal injury or other damage or loss. The Company has not received any such requests for indemnification under these provisions and has not been required to make material payments pursuant to these provisions.</p> <p style="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> The Company generally provides for a one-year warranty on certain of its INTERCEPT blood-safety products covering defects in materials and workmanship. The Company accrues costs associated with warranty obligations when claims are probable. The Company has not experienced significant or systemic warranty claims nor is it aware of any existing current warranty claims and does not carry a warranty claim liability at June&#xA0;30, 2015 and December&#xA0;31, 2014.</p> </div>
dei Entity Registrant Name
EntityRegistrantName
CERUS CORP
us-gaap Earnings Per Share Basic
EarningsPerShareBasic
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us-gaap Use Of Estimates
UseOfEstimates
<div> <p style="margin-top:18pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> <b>Use of Estimates</b></p> <p style="margin-top:6pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman"> The preparation of financial statements requires management to make estimates, assumptions and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosures of contingent assets and liabilities. On an ongoing basis, management evaluates its estimates, which are based on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Actual results may differ from those estimates under different assumptions or conditions.</p> </div>
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256000
us-gaap Fair Value Adjustment Of Warrants
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us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Liability Settlements
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2918000
us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
7000
dei Document Fiscal Year Focus
DocumentFiscalYearFocus
2015
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5.87
us-gaap Weighted Average Number Of Diluted Shares Outstanding
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95682000 shares
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EarningsPerShareDiluted
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ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
3151000 shares
us-gaap Increase Decrease In Other Operating Assets
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0
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us-gaap Interest Expense
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us-gaap Depreciation Depletion And Amortization
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cers Safety Product Warranty Period
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3600000
cers Work In Process Inventory Life Period
WorkInProcessInventoryLifePeriod
P1Y
cers Minimum Term Of Non Cancelable Operating Leases
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P1Y
cers Payment For Manufacturing Of Entity Products
PaymentForManufacturingOfEntityProducts
9400000
cers Prior Written Notice Period For Termination Of Agreement
PriorWrittenNoticePeriodForTerminationOfAgreement
P24M
cers Expiration Of Non Cancelable Operating Leases Maximum Year
ExpirationOfNonCancelableOperatingLeasesMaximumYear
2019
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PaymentsForRoyalties
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cers Inventory Life Finished Goods Period
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2085000
CY2015Q1 us-gaap Stock Issued During Period Shares New Issues
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1100000
CY2014Q2 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
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1618000 shares
CY2014Q2 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
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CY2015Q2 us-gaap Goodwill Other Changes
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CY2014Q2 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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CY2014Q2 us-gaap Dilutive Securities
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CY2014Q2 us-gaap Nonoperating Income Expense
NonoperatingIncomeExpense
3459000
CY2014Q2 us-gaap Net Income Loss
NetIncomeLoss
-7589000
CY2014Q2 us-gaap Other Sales Revenue Net
OtherSalesRevenueNet
1100000
CY2014Q2 us-gaap Gross Profit
GrossProfit
3849000
CY2015Q2 us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
8830000
CY2015Q2 us-gaap Nonoperating Income Expense
NonoperatingIncomeExpense
-2482000
CY2015Q2 us-gaap Net Income Loss
NetIncomeLoss
-15972000
CY2015Q2 us-gaap Other Sales Revenue Net
OtherSalesRevenueNet
500000
CY2015Q2 us-gaap Gross Profit
GrossProfit
1802000
CY2015Q2 us-gaap Other Comprehensive Income Unrealized Holding Gain Loss On Securities Arising During Period Net Of Tax
OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodNetOfTax
7493000
CY2015Q2 us-gaap Available For Sale Securities Gross Realized Gains
AvailableForSaleSecuritiesGrossRealizedGains
0
CY2015Q2 us-gaap Interest Expense
InterestExpense
301000
CY2015Q2 us-gaap Operating Expenses
OperatingExpenses
17327000
CY2015Q2 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
51000
CY2015Q2 us-gaap Other Comprehensive Income Unrealized Holding Gain Loss On Securities Arising During Period Tax
OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodTax
4552000
CY2015Q2 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
-2035000
CY2015Q2 us-gaap Research And Development Expense Excluding Acquired In Process Cost
ResearchAndDevelopmentExpenseExcludingAcquiredInProcessCost
5213000
CY2015Q2 us-gaap Fair Value Adjustment Of Warrants
FairValueAdjustmentOfWarrants
2707000
CY2015Q2 us-gaap Impairment Of Investments
ImpairmentOfInvestments
0
CY2015Q2 us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
1704000
CY2015Q2 us-gaap Impairment Of Long Lived Assets Held For Use
ImpairmentOfLongLivedAssetsHeldForUse
0
CY2015Q2 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
12063000
CY2015Q2 us-gaap Other Than Temporary Impairment Losses Investments Availableforsale Securities
OtherThanTemporaryImpairmentLossesInvestmentsAvailableforsaleSecurities
0
CY2015Q2 us-gaap Impairment Of Intangible Assets Finitelived
ImpairmentOfIntangibleAssetsFinitelived
0
CY2015Q2 us-gaap Cost Of Goods Sold
CostOfGoodsSold
7028000
CY2015Q2 cers Warrant Liability Revaluation Gain Loss
WarrantLiabilityRevaluationGainLoss
-2700000
CY2015Q2 cers Payment For Manufacturing Of Entity Products
PaymentForManufacturingOfEntityProducts
4700000

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