Annual report pursuant to Section 13 and 15(d)

Organization and Summary of Significant Accounting Policies (Tables)

Organization and Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2019

Organization and Summary of Significant Accounting Policies


	As of December 31,
	2019		2018
Raw materials and supplies	$	563	$	510
Finished goods		435		752
	$	998	$	1,262

Summary of activity with respect to our product returns, and discounts and rebates

The following table provides a summary of activity with respect to our product returns and discounts and rebates, which are included on our balance sheets within accrued sales allowances, and allowance for doubtful accounts, which are included on our balance sheets within receivables (in thousands):


	Accrued Sales Allowances
			Discounts and				Allowance for
	Product Return		Rebates				Doubtful
	Allowance		Allowance		Total		Accounts
Balance at December 31, 2018	$	33	$	48	$	81	$	—
Provision		752		224		976		63
Payments/credits		(64)		(184)		(248)		—
Balance at December 31, 2019	$	721	$	88	$	809	$	63

Schedule of computation of basic and diluted net income (loss) per common share

The following table sets forth the reconciliation of the numerator and denominator used in the computation of basic and diluted net loss per common share for the years ended (in thousands, except per share amounts):


	December 31,
	2019		2018
Numerator:
Net loss used for basic earnings per share	$	(16,458)	$	(9,308)
Less change in fair value of warrant liability		—		—
Less change in fair value of derivatives		—		134
Net loss used for diluted earnings per share	$	(16,458)	$	(9,442)
Denominator:
Basic weighted-average outstanding common shares		22,957		5,688
Effect of dilutive potential common shares resulting from warrants		—		—
Weighted-average shares outstanding—diluted		22,957		5,688
Net loss per common share:
Basic	$	(0.72)	$	(1.64)
Diluted	$	(0.72)	$	(1.66)

Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share

The table below presents common shares underlying stock options and warrants that are excluded from the calculation of the weighted average number of shares of common stock outstanding used for the calculation of diluted net loss per common share. These are excluded from the calculation due to their anti-dilutive effect for the years ended (in thousands):


	December 31,
	2019	2018
Weighted-average anti-dilutive common shares resulting from stock awards	1,074	588
Weighted-average anti-dilutive common shares resulting from warrants	7,679	264
Convertible debt	1,444	—
	10,197	852

Schedule of Fair Value of Warrant Liability

The following table rolls forward the fair value of our warrant liability, the fair value of which is determined by Level 3 inputs for the year ended December 31, 2019 (in thousands):


Fair value, beginning of period	$	—
Issuance of warrants		1,430
Change in fair value		(1,110)
Fair value, end of period	$	320

During the year ended December 31, 2018, we did not have any warrant liability.

The following table rolls forward the fair value of our derivative liability, the fair value of which is determined by Level 3 inputs for the years ended (in thousands):


	December 31,
	2019		2018
Fair value, beginning of period	$	25	$	—
Issuance of derivative		—		159
Change in fair value		(25)		(134)
Fair value, end of period	$	—	$	25

Schedule of maturities of operating lease

The following table presents maturities of our operating lease as of December 31, 2019 (in thousands):


2020	$	308
2021		155
Total minimum lease payments (base rent)		463
Less: imputed interest		(41)
Total operating lease liabilities	$	422