Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

v2.4.1.9
Summary of Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2014
Accounting Policies [Abstract]  
Summary of Fair Value Liabilities Measured on Recurring Basis

The following table summarizes fair value measurements by level at December 31, 2013 for the liabilities measured at fair value on a recurring basis:

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock warrant liability

$

 

 

$

 

 

$

260

 

 

$

260

 

Total liabilities

$

 

 

$

 

 

$

260

 

 

$

260

 

 

Summary of Fair Value Measurements using Significant Level 3 Inputs

The following table summarizes the fair value measurements using significant Level 3 inputs, and changes therein, for the years ended December 31, 2014 and 2013:

 

 

Warrant

liability

 

Balance as of December 31, 2012

$

164

 

Fair value of preferred stock warrants exercised

 

(166

)

Change in fair value

 

262

 

Balance as of December 31, 2013

 

260

 

Fair value of preferred stock warrants exercised

 

(148

)

Change in fair value

 

(36

)

Reclassification of liability to additional paid in capital

 

(76

)

Balance as of December 31, 2014

$

 

 

Breakdown of Company's Revenue from U.S. and Non-U.S. Sources

A portion of revenue is earned from sales outside the United States. Non-U.S. revenue is denominated in U.S. dollars. A breakdown of the Company’s revenue from U.S. and non-U.S. sources for the years ended December 31, 2014, 2013 and 2012 is as follows:

 

 

 

Years ended December 31,

 

 

 

2014

 

 

2013

 

 

2012

 

U.S. revenue

 

$

88,094

 

 

$

58,677

 

 

$

35,538

 

Non-U.S. revenue

 

 

24,443

 

 

 

16,766

 

 

 

13,038

 

Total revenue

 

$

112,537

 

 

$

75,443

 

 

$

48,576

 

 

Schedule of Inventories

Inventories consist of the following:

 

 

 

December 31,

 

 

 

2014

 

 

2013

 

Raw materials and work-in-progress

 

$

6,774

 

 

$

3,783

 

Finished goods

 

 

983

 

 

 

565

 

Less: reserves

 

 

(141

)

 

 

(100

)

Inventories

 

$

7,616

 

 

$

4,248

 

 

Computation of Depreciation and Amortization using Straight Line Method Over Estimated Useful Lives of Assets

Property and equipment are stated at cost. Depreciation and amortization are calculated using the straight-line method over the assets estimated useful lives as follows:

 

Rental equipment

 

1.5-5 years

Manufacturing equipment and tooling

 

5 years

Computer equipment and software

 

3 years

Furniture and equipment

 

3-5 years

Leasehold improvements

 

Shorter of 3-10 years or life of underlying lease

 

Summary of Depreciation and Amortization Expense of Property and Equipment and Rental Equipment

Depreciation and amortization expense related to property and equipment and rental equipment is summarized below for the years ended December 31, 2014, 2013 and 2012, respectively.

 

 

 

Years ended December 31,

 

 

 

2014

 

 

2013

 

 

2012

 

Rental equipment

 

$

10,339

 

 

$

7,132

 

 

$

4,056

 

Other property and equipment

 

 

1,591

 

 

 

1,209

 

 

 

630

 

Total depreciation and amortization

 

$

11,930

 

 

$

8,341

 

 

$

4,686

 

 

Summary of Property Plant and Equipment and Rental Equipment with Related Accumulated Depreciation

Accumulated depreciation related to property and equipment and rental equipment is summarized below for the years ended December 31, 2014 and 2013, respectively.

 

 

 

Years ended December 31,

 

Property and equipment

 

2014

 

 

2013

 

Rental equipment, net of allowance

 

$

48,359

 

 

$

37,573

 

Other property and equipment

 

 

9,408

 

 

 

8,105

 

Property and equipment

 

 

57,767

 

 

 

45,678

 

 

 

 

 

 

 

 

 

 

Accumulated depreciation

 

 

 

 

 

 

 

 

Rental equipment

 

 

21,084

 

 

 

12,545

 

Other property and equipment

 

 

4,756

 

 

 

3,411

 

Accumulated depreciation

 

 

25,840

 

 

 

15,956

 

 

 

 

 

 

 

 

 

 

Net property and equipment

 

 

 

 

 

 

 

 

Rental equipment

 

 

27,275

 

 

 

25,028

 

Other property and equipment

 

 

4,652

 

 

 

4,694

 

Property and equipment, net

 

$

31,927

 

 

$

29,722

 

 

Computation of Earnings Per Share

The computation of EPS is as follows:

 

 

 

Years ended December 31,

 

 

 

2014

 

 

2013

 

 

2012

 

Numerator—basic:

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

6,826

 

 

$

25,435

 

 

$

564

 

Less deemed dividend on redeemable convertible preferred stock

 

 

(987

)

 

 

(7,278

)

 

 

(5,781

)

Net income (loss) before preferred rights dividend

 

 

5,839

 

 

 

18,157

 

 

 

(5,217

)

Less preferred rights dividend

 

 

 

 

 

(7,165

)

 

 

 

Less:  undistributed earnings to preferred stock - basic

 

 

(567

)

 

 

(10,781

)

 

 

 

Net income (loss) attributable to common stockholders - basic

 

$

5,272

 

 

$

211

 

 

$

(5,217

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Numerator—diluted:

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

6,826

 

 

$

25,435

 

 

$

564

 

Less deemed dividend on redeemable convertible preferred stock

 

 

(987

)

 

 

(7,278

)

 

 

(5,781

)

Net income (loss) before preferred rights dividend

 

 

5,839

 

 

 

18,157

 

 

 

(5,217

)

Less preferred rights dividend

 

 

 

 

 

(7,165

)

 

 

 

Less undistributed earnings to preferred stock - diluted

 

 

(514

)

 

 

(9,625

)

 

 

 

Net income (loss) attributable to common stockholders - diluted

 

$

5,325

 

 

$

1,367

 

 

$

(5,217

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average common shares - basic common stock

 

 

16,182,569

 

 

 

276,535

 

 

 

261,268

 

Weighted-average common shares - diluted common stock

 

 

18,037,498

 

 

 

2,008,156

 

 

 

261,268

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share - basic common stock

 

$

0.33

 

 

$

0.76

 

 

$

(19.97

)

Net income (loss) per share - diluted common stock

 

$

0.30

 

 

$

0.68

 

 

$

(19.97

)

Shares excluded from diluted income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

Warrants

 

 

 

 

 

 

 

 

233,611

 

Preferred convertible stock

 

 

 

 

 

 

 

 

14,057,509

 

Stock options

 

 

546,142

 

 

 

 

 

 

1,646,223

 

Shares excluded from diluted net income (loss)

 

 

546,142

 

 

 

 

 

 

15,937,343

 

Denominator calculation from basic to diluted:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average common shares - basic common stock

 

 

16,182,569

 

 

 

276,535

 

 

 

261,268

 

Warrants

 

 

128,016

 

 

 

219,766

 

 

 

 

Stock Options

 

 

1,726,913

 

 

 

1,511,855

 

 

 

 

Weighted-average common shares - diluted common stock

 

 

18,037,498

 

 

 

2,008,156

 

 

 

261,268