Note 4 - Balance Sheet Components

6 Months Ended

Jun. 30, 2019

Notes to Financial Statements

Supplemental Balance Sheet Disclosures [Text Block]

NOTE 

4

.  

Balance Sheet Components

(a) Cash and Cash Equivalents  

Cash and cash equivalents comprises the following:

	June 30, 2019		December 31, 2018
	(in thousands)
Cash at banks	$	16,243	$	11,441
Restricted cash		—		50
Money market funds		15		15
Total cash and cash equivalents	$	16,258	$	11,506

(b) Accounts Receivable  

Accounts receivable comprises the following:

	June 30, 2019		December 31, 2018
	(in thousands)
Royalties receivable	$	15	$	1,776
Government contract - billed		20		20
Accounts receivable	$	35	$	1,796

The Company has provided

no

allowance for uncollectible accounts as of 

June 30, 2019

or

December 31, 2018

.

(c) Property and Equipment, Net

Property and equipment, net consists of the following:

	June 30, 2019			December 31, 2018
	(in thousands)
Laboratory equipment	$	2,775		$	2,076
Office and computer equipment		227			227
Leasehold improvements		340			333
Total property and equipment		3,342			2,636
Less: accumulated depreciation		(1,825	)		(1,570	)
Property and equipment, net	$	1,517		$	1,066

Depreciation expense was

$125,000

and

$121,000

for the 

three

months ended

June 30,

 

2019

and

2018

, respectively, and

$255,000

and

$219,000

for the

six

months ended

June 30,

2019

and

2018

, respectively. There were

no

impairments of the Company’s property and equipment recorded in the 

six

months ended

June 30,

2019

or

2018

.

(d) Right-of-Use Assets , Net

Right-of-use assets, net consists of the following:

	June 30, 2019
	(in thousands)
Facilities	$	557
Office equipment		8
Right-of-use assets, net	$	565

(e) Intangible Assets

Intangible assets comprise developed technology, intellectual property and, until it was considered fully impaired, in-process research and development. Intangible assets are carried at cost less accumulated amortization. Amortization is computed using the straight-line method over useful lives ranging from

1.3

to

11.75

years for developed technology and

20

 years for intellectual property. Intangible assets consist of the following:

	June 30, 2019			December 31, 2018
	(in thousands)
Purchased technology	$	22,100		$	22,100
Intellectual property		80			80
Total cost		22,180			22,180
Less: accumulated amortization		(4,221	)		(2,767	)
Intangible assets, net	$	17,959		$	19,413

Intangible asset amortization expense for the 

three

months ended

June 30,

 

2019

and

2018

, was

$675,000

and

$805,000

respectively, and for the 

six

months ended

June 30,

2019

and

2018

, was

$1,454,000

and

$1,218,000,

respectively. Following the results of Phase

2

trials of teslexivir in

June 2018,

the in-process research and development was assessed as fully impaired in the

three

months ended

June 

30,

2018,

with the related

$1.6

million acquired in the Merger (see Note

1

) being charged to operating expenses.

As of

June 30, 2019

, the estimated future amortization expense by year is as follows (in thousands):

Year Ending December 31,	Amount
2019 (six months remaining)	$	866
2020		1,732
2021		1,732
2022		1,732
2023		1,731
Thereafter		10,166
Total	$	17,959

(f) Accrued Liabilities

Accrued liabilities consist of the following:

	June 30, 2019		December 31, 2018
	(in thousands)
Accrued compensation	$	773	$	632
Accrued clinical and manufacturing expenses		18		75
Accrued professional and consulting services		48		166
Reserve for return of royalties		339		339
Deferred rent and lease loss accrual, current portion		—		111
Other liabilities, current portion		307		195
Total	$	1,485	$	1,518