8. Stockholders' Equity

3 Months Ended

Sep. 30, 2019

Equity [Abstract]

Stockholders' Equity

8. Stockholders’ Equity

Public Offering

On September 18, 2018, we entered into an underwriting agreement with Needham & Company, LLC and Lake Street Capital Markets, LLC (the “Underwriters”) relating to the offer and sale of 2,500,000 shares of our common stock, par value $0.0001 per share, to the public at a price of $4.00 per share. We also granted the Underwriters a 30-day option to purchase up to 375,000 additional shares of our common stock to cover over-allotments, if any (the “Option Shares”). Pursuant to the underwriting agreement, we sold an aggregate of 2,700,000 shares, including 200,000 Option Shares, to the Underwriters and received proceeds net of underwriting discounts and expenses of approximately $9,774,000.

Stock Incentive Plans

Our stock incentive plans permit the granting of stock options (both incentive and nonqualified stock options), restricted stock units (“RSUs”), stock appreciation rights, non-vested stock, and performance shares to certain employees, directors and consultants. As of September 30, 2019, no stock appreciation rights, non-vested stock, or performance shares were outstanding.

Stock Options

The following table presents a summary of activity during the three months ended September 30, 2019 with respect to our stock options:

				Weighted-
				Average
	Number of			Exercise Price
	Shares			per Share
	(In thousands)
Balance of options outstanding at June 30, 2019		3,147		$	2.29
Granted		3			3.36
Forfeited		(8	)		2.75
Exercised		(218	)		1.85
Balance of options outstanding at September 30, 2019		2,924		$	2.32

Restricted Stock Units

The following table presents a summary of activity during the three months ended September 30, 2019 with respect to our RSUs:

				Weighted-
				Average
				Grant Date
	Number of			Fair Value
	Shares			per Share
		(In thousands)
Balance of RSUs outstanding at June 30, 2019		866		$	4.24
Granted		217			3.34
Vested		(120	)		5.06
Forfeited		(1	)		5.32
Balance of RSUs outstanding at September 30, 2019		962		$	3.93

Employee Stock Purchase Plan

Our 2013 Employee Stock Purchase Plan (“ESPP”) is intended to provide employees with an opportunity to purchase our common stock through accumulated payroll deductions at the end of a specified purchase period. Each of our employees (including officers) is eligible to participate in our ESPP, subject to certain limitations as set forth in our ESPP.

The following table presents a summary of activity under our ESPP during the three months ended September 30, 2019:

	Number of
	Shares
	(In thousands)
Shares available for issuance at June 30, 2019		517
Shares issued		–
Shares available for issuance at September 30, 2019		517

Share-Based Compensation Expense

The following table presents a summary of share-based compensation expense included in each functional line item on our accompanying unaudited condensed consolidated statements of operations:

	Three Months Ended September 30,
	2019		2018
	(In thousands)
Cost of revenue	$	24	$	17
Selling, general and administrative		459		400
Research and development		95		61
Total share-based compensation expense	$	578	$	478

The following table presents the remaining unrecognized share-based compensation expense related to our outstanding share-based awards as of September 30, 2019:

	Remaining		Remaining
	Unrecognized		Weighted-
	Compensation		Average Years
	Expense		To Recognize
	(In thousands)
Stock options	$	1,805		2.7
RSUs	$	3,515		3.4
Stock purchase rights under ESPP	$	23		0.1
	$	5,343

If there are any modifications or cancellations of the underlying unvested share-based awards, we may be required to accelerate, increase or cancel remaining unearned share-based compensation expense. Future share-based compensation expense and unearned share-based compensation will increase to the extent that we grant additional share-based awards.