View Filing Data

Print Document View Excel Document

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Dec. 31, 2018	Jan. 30, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2018
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Trading Symbol	SRDX
Entity Registrant Name	SURMODICS INC
Entity Central Index Key	0000924717
Current Fiscal Year End Date	--09-30
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		13,482,275

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Current Assets:
Cash and cash equivalents	$ 14,402	$ 23,318
Restricted cash		350
Available-for-sale securities	31,453	41,352
Accounts receivable, net of allowance for doubtful accounts of $164 and $147 as of December 31, 2018 and September 30, 2018, respectively	9,761	8,877
Contract assets - royalties and license fees	6,707
Inventories, net	4,168	4,016
Income tax receivable	1,244	1,152
Prepaids and other	2,941	2,462
Total Current Assets	70,676	81,527
Deferred tax assets	4,778	6,304
Property and equipment, net	29,898	30,143
Intangible assets, net	16,874	17,683
Goodwill	26,834	27,032
Other assets	1,602	1,446
Total Assets	150,662	164,135
Current Liabilities:
Accounts payable	2,754	2,546
Accrued liabilities:
Compensation	1,892	5,635
Accrued other	5,053	6,265
Deferred revenue	7,391	9,646
Contingent consideration	3,326	11,041
Total Current Liabilities	20,416	35,133
Contingent consideration, less current portion		3,425
Deferred revenue, less current portion	10,913	11,247
Other long-term liabilities	5,712	5,720
Total Liabilities	37,041	55,525
Commitments and Contingencies (Note 15)
Stockholders’ Equity:
Series A Preferred stock- $.05 par value, 450,000 shares authorized; no shares issued and outstanding
Common stock- $.05 par value, 45,000,000 shares authorized; 13,482,139 and 13,397,647 shares issued and outstanding as of December 31, 2018 and September 30, 2018, respectively	674	670
Additional paid-in capital	6,340	7,607
Accumulated other comprehensive income	2,184	2,718
Retained earnings	104,423	97,615
Total Stockholders’ Equity	113,621	108,610
Total Liabilities and Stockholders’ Equity	$ 150,662	$ 164,135

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Statement Of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 164	$ 147
Series A Preferred stock, par value	$ 0.05	$ 0.05
Series A Preferred stock, shares authorized	450,000	450,000
Series A Preferred stock, shares issued	0	0
Series A Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.05	$ 0.05
Common stock, shares authorized	45,000,000	45,000,000
Common stock, shares issued	13,482,139	13,397,647
Common stock, shares outstanding	13,482,139	13,397,647

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Revenue:
Research, development and other	$ 2,394	$ 1,849
Total revenue	$ 22,241	$ 17,013
Operating costs and expenses:
Type of Cost, Good or Service [Extensible List]	us-gaap:ProductMember	us-gaap:ProductMember
Product costs	$ 3,523	$ 2,891
Research and development	11,486	7,831
Selling, general and administrative	5,949	5,188
Acquired intangible asset amortization	606	618
Contingent consideration (gain) expense	(35)	1,118
Total operating costs and expenses	21,529	17,646
Operating income (loss)	712	(633)
Other income:
Investment income, net	316	121
Interest expense	(37)
Foreign exchange gain (loss)	136	(186)
Gain on strategic investment and other	7	177
Other income, net	422	112
Income (loss) before income taxes	1,134	(521)
Income tax provision	176	(1,035)
Net income (loss)	$ 1,310	$ (1,556)
Basic net income (loss) per share	$ 0.10	$ (0.12)
Diluted net income (loss) per share	$ 0.09	$ (0.12)
Weighted average number of shares outstanding:
Basic	13,367	13,064
Diluted	13,827	13,064
Product Sales [Member]
Revenue:
Revenue	$ 9,751	$ 8,088
Royalties and License Fees [Member]
Revenue:
Revenue	$ 10,096	$ 7,076

Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Statement Of Income And Comprehensive Income [Abstract]
Net income (loss)	$ 1,310	$ (1,556)
Other comprehensive (loss) income:
Unrealized holding gains (losses) on available-for-sale securities, net of tax	4	(14)
Foreign currency translation adjustments	(538)	631
Other comprehensive (loss) income	(534)	617
Comprehensive income (loss)	$ 776	$ (939)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Condensed Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive Income [Member]	Retained Earnings [Member]
Beginning balance at Sep. 30, 2017	$ 111,557	$ 655	$ 5,413	$ 3,417	$ 102,072
Beginning balance, shares at Sep. 30, 2017		13,095
Net (loss) income	(1,556)				(1,556)
Other comprehensive income (loss), net of tax	617			617
Issuance of common stock		$ 6	(6)
Issuance of common stock, shares		123
Common stock options exercised, net	155	$ 1	154
Common stock options exercised, net, shares		13
Purchase of common stock to pay employee taxes	(1,129)	$ (2)	(1,127)
Purchase of common stock to pay employee taxes, shares		(35)
Stock-based compensation	903		903
Ending balance at Dec. 31, 2017	110,547	$ 660	5,337	4,034	100,516
Ending balance, shares at Dec. 31, 2017		13,196
Beginning balance at Sep. 30, 2018	108,610	$ 670	7,607	2,718	97,615
Beginning balance, shares at Sep. 30, 2018		13,398
Net impact from adoption of ASC Topic 606 (Note 2)	5,498				5,498
Net (loss) income	1,310				1,310
Other comprehensive income (loss), net of tax	(534)			(534)
Issuance of common stock		$ 6	(6)
Issuance of common stock, shares		128
Common stock options exercised, net	36	$ 0	36
Common stock options exercised, net, shares		1
Purchase of common stock to pay employee taxes	(2,530)	$ (2)	(2,528)
Purchase of common stock to pay employee taxes, shares		(44)
Stock-based compensation	1,231		1,231
Ending balance at Dec. 31, 2018	$ 113,621	$ 674	$ 6,340	$ 2,184	$ 104,423
Ending balance, shares at Dec. 31, 2018		13,483

Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands

3 Months Ended

Dec. 31, 2018

Dec. 31, 2017

Operating Activities:

Net income (loss)

$ 1,310

$ (1,556)

Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities:

Depreciation and amortization

1,756

1,520

Stock-based compensation

1,231

903

Payment of contingent consideration obligations in excess of acquisition-date value

(2,041)

Contingent consideration (gain) expense

(35)

1,118

Unrealized foreign exchange (gain) loss

180

Deferred taxes

^[1]

310

1,714

Gain on strategic investment

(7)

(177)

Provision for bad debts

Other

(7)

Change in operating assets and liabilities:

Accounts receivable and contract asset

^[1]

(762)

484

Inventories

(161)

(345)

Prepaids and other

(649)

(1,188)

Accounts payable

190

(63)

Accrued liabilities

(3,737)

(2,232)

Income taxes

^[1]

(496)

190

Deferred revenue

^[1]

(2,389)

Net cash (used in) provided by operating activities

(5,405)

614

Investing Activities:

Purchases of property and equipment

(2,066)

(1,298)

Purchases of available-for-sale securities

(10,098)

(11,364)

Maturities of available-for-sale securities

20,000

18,400

Cash received from sale of strategic investment

Net cash provided by investing activities

7,843

5,738

Financing Activities:

Issuance of common stock

155

Payments for taxes related to net share settlement of equity awards

(2,661)

(1,130)

Payment of contingent consideration obligations

(9,064)

Net cash used in financing activities

(11,689)

(975)

Effect of exchange rate changes on cash, restricted cash and cash equivalents

(15)

Net change in cash, restricted cash and cash equivalents

(9,266)

5,412

Cash, Restricted Cash and Cash Equivalents:

Beginning of period

23,668

16,534

End of period

14,402

21,946

Supplemental Information:

Cash paid for income taxes

Noncash transactions from investing and financing activities:

Acquisition of property and equipment, net of refundable credits in other current assets and liabilities

$ 147

187

Strategic investment gain receivable included in other current assets

$ 177

[1]	Amounts presented are net of impact from adoption of ASC Topic 606

Basis of Presentation

3 Months Ended

Dec. 31, 2018

Accounting Policies [Abstract]

Basis of Presentation

1. Basis of Presentation

The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S.”) (“GAAP”) and, in the opinion of management, reflect all adjustments, consisting of normal recurring adjustments, needed to fairly present the financial results of Surmodics, Inc. and subsidiaries (“Surmodics” or the “Company”) for the periods presented. These financial statements include amounts that are based on management’s best estimates and judgments. These estimates may be adjusted as more information becomes available, and any adjustment could be significant. The impact of any change in estimates is included in the determination of net income (loss) in the period in which the change in estimate is identified. The results of operations for the three months ended December 31, 2018 are not necessarily indicative of the results that may be expected for the entire 2019 fiscal year.

In accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”), the Company has omitted footnote disclosures that would substantially duplicate the disclosures contained in the audited consolidated financial statements of the Company. These unaudited condensed consolidated financial statements should be read together with the audited consolidated financial statements for the fiscal year ended September 30, 2018, and footnotes thereto included in the Company’s Form 10-K as filed with the SEC on November 30, 2018.

New Accounting Pronouncements

Recently Adopted

In May 2014, the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) issued Update No. 2014-09, Revenue from Contracts with Customers (“ASC Topic 606”). The core principal of ASC Topic 606 is to recognize revenue in a manner that depicts the transfer of goods or services to customers in amounts that reflect the consideration an entity expects to be entitled to in exchange for those goods or services. The guidance also requires expanded disclosures relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers, as well as significant judgements and changes in judgements, which are described in Note 2 to the condensed consolidated financial statements. The Company adopted ASC Topic 606 in the first quarter of fiscal year 2019 using the modified retrospective method and applied the new revenue standard to all new customer contracts initiated on or after the effective date and contracts which had remaining performance obligations as of the effective date.

The adoption of ASC Topic 606 resulted in an acceleration of minimum license fees and sales-based royalty revenue earned under the Company’s hydrophilic coating technology license agreements by approximately one quarter. Prior to the adoption of ASC Topic 606, sales-based royalties were recognized in the period the Company’s customers reported the underlying sales, which is generally one quarter after the sales occurred. Additionally, minimum royalties were recognized in the period they were contractually owed to the Company. Upon adoption of ASC Topic 606, sales-based royalties are recognized in the period the underlying customer sale occurs, while the minimum royalties are recognized at each renewal of the license contract, which generally occurs on the last day of the quarter for minimum royalties contractually due in the following quarter. The adoption of ASC Topic 606 resulted in cumulative-effect adjustments to opening retained earnings, contract assets, deferred tax assets and income tax receivable.

The impact of the adoption of ASC Topic 606 on the opening consolidated balance sheet as of October 1, 2018, as compared with the consolidated balance sheet previously reported as of September 30, 2018, was as follows:

(Dollars in thousands)	September 30, 2018, As Reported		Adjustments for Adoption of Topic 606			October 1, 2018 Opening Balance
Assets
Contract assets - royalties and license fees	$	—	$	6,904		$	6,904
Deferred income taxes		6,304		(1,215	)		5,089
Income tax receivable		1,152		(390	)		762

Liabilities and Stockholders' Equity
Deferred revenue, current portion		9,646		(18	)		9,628
Deferred revenue, less current portion		11,247		(181	)		11,066
Retained earnings		97,615		5,498			103,113

The impact of adoption of Topic 606 to the Company’s condensed consolidated statements of operations for three months ended December 31, 2018 was a reduction of royalty and license fee revenue of $0.2 million and reduced income tax benefit of less than $0.1 million.

Not Yet Adopted

In February 2016, the FASB issued Accounting Standards Update ASU 2016-02, Leases (ASC Topic 842). The new guidance primarily affects lessee accounting, while accounting by lessors will not be significantly impacted by the update. The update maintains two classifications of leases: finance leases, which replace capital leases, and operating leases. Lessees will need to recognize a right-of-use asset and a lease liability on the statement of financial position for those leases previously classified as operating leases under the old guidance. The liability will be equal to the present value of remaining contractual lease payments. The asset will be based on the liability, subject to adjustment, such as for direct costs. The accounting standard will be effective for the Company beginning the first quarter of fiscal year 2020 (October 1, 2019) and will be applied using a modified retrospective approach. The Company is currently evaluating the impact that the adoption of this standard will have on the Company’s results of operations, cash flows and financial position. The Company believes the impact will be material due to the right-of-use assets and lease liabilities that will be recorded on the Company’s consolidated balance sheets upon adoption of the standard.

In June 2016, the FASB issued ASU No 2016-13, Financial Instruments – Credit Losses (ASC Topic 326), Measurement of Credit Losses on Financial Statements. This ASU requires a financial asset (or a group of financial assets) measured at an amortized cost basis to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset(s) to present the net carrying value at the amount expected to be collected on the financial asset. The accounting standard will be effective for the Company beginning in the first quarter of fiscal 2020 (October 1, 2019). Early adoption is permitted and the guidance will be applied using a modified retrospective approach. The Company is currently evaluating the impact that the adoption of this standard will have on the Company’s results of operations, cash flows and financial position.

No other new accounting pronouncement issued or effective has had, or is expected to have, a material impact on the Company’s condensed consolidated financial statements.

Revenue

3 Months Ended

Dec. 31, 2018

Revenue From Contract With Customer [Abstract]

Revenue

2. Revenue

Effective October 1, 2018 the Company adopted ASC Topic 606 using the modified retrospective adoption method. Revenue is recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to be entitled to receive in exchange for those goods or services.

The following tables presents our revenues disaggregated by product classification and by operating segment, excluding sales taxes collected and remitted to governmental authorities (in thousands, unaudited).

	Three Months Ended
	December 31,
(In thousands)	2018		2017
Medical Device	(Unaudited)
Product sales	$	4,778	$	3,850
Royalties		7,685		7,042
Research, development and other		2,384		1,848
License fees		2,411		34
Total Revenue - Medical Device		17,258		12,774
IVD
Product sales		4,973		4,237
Other		10		2
Total Revenue - IVD		4,983		4,239
Total Revenue	$	22,241	$	17,013

Performance Obligations

The Company derives its revenue from three primary sources: (1) product revenues from the sale of reagent chemicals to licensees, the sale of stabilization products, antigens, substrates and surface coatings to the diagnostic and biomedical research markets as well as the sale of medical devices and related products (such as balloons and catheters) to original equipment manufacturer (OEM) suppliers and distributors; (2) royalties and license fees from licensing our proprietary surface modification and device drug delivery technologies to customers; and (3) research and commercial development fees generated on customer projects.

The Company recognizes revenue when control is transferred to the customer. The transfer of control varies by revenue classification and is described below.

Product sales – Revenue from product sales is recognized at the point in time control of the products is transferred, generally upon shipment based upon the standard contract terms. Shipping and handling activities are considered to be fulfillment activities rather than promised services and are not, therefore, considered to be separate performance obligations. The Company’s sales terms provide no right of return outside of a standard warranty policy and returns are generally not significant. Payment terms for product sales are generally set at 30-45 days after the consideration becomes due and payable.

Royalties – Royalty revenue consists of sales-based and recurring minimum royalties earned under licenses of our surface modification technologies. Performance obligations under these licenses, which consist of the right to use the Company’s proprietary technology, are satisfied at a point in time corresponding with delivery of the underlying technology rights to the customer, which is generally upon transfer of the licensed technology to the customer. Sales-based royalty revenue represents variable consideration under the license agreements and is recognized in the period a customer sells products incorporating the Company’s licensed technologies. The Company estimates sales-based royalty revenue earned but unpaid at each reporting period using the expected value method based on historical sales information, adjusted for known changes such as product launches and patent expirations. The Company's license arrangements also often provide for recurring fees (minimum royalties) which the Company recognizes at the later of the satisfaction of the underlying performance obligation or upon renewal of the contract, which is generally done on a quarterly basis. Sales-based and minimum royalties are generally due within 45 days of the end of each quarter.

License fees – For distinct license performance obligations, upfront license fees are recognized when the Company satisfies the underlying performance obligation. This generally occurs upon transfer of the right to use the Company’s licensed technology to the customer, with the exception of the license of the Company’s SurVeil® drug-coated balloon (the “SurVeil DCB”) disclosed below and in Note 3 to the condensed consolidated financial statements. Certain license arrangements include contingent milestone payments, which are due following achievement by our customers of specified sales or regulatory milestones. Contingent milestone payment terms vary by contract. The Company has generally fulfilled its performance obligation prior to achievement of these milestones. However, because of the uncertainty of the milestone achievement, and/or the dependence on sales of our customers, variable consideration for contingent milestones is fully constrained and excluded from the contract price until the milestone is achieved by our customer, to the extent collectability is reasonably certain.

Pursuant to the terms of the collaborative arrangement contract with Abbott Vascular, Inc. (“Abbott”) disclosed in Note 3 (the “Abbott Agreement”), the Company received an upfront payment of $25 million in fiscal 2018 and may receive up to $67 million of additional payments due upon achievement of various clinical and regulatory milestones. The performance obligation identified in this arrangement includes delivery of our licensed technology and completion of research and development activities, primarily clinical trial activities (together, “R&D and Clinical Activities”). These promises are not distinct performance obligations because the product necessary for completion of the R&D and Clinical Activities is currently only able to be manufactured by the Company due to the exclusive proprietary know-how and certain regulatory requirements associated with the manufacture of the product. The customer (Abbott) simultaneously receives and consumes the benefits of the R&D and Clinical Activities as study data are generated to support regulatory approval submissions. Control is effectively transferred over time as we complete the TRANSCEND clinical study of our SurVeil DCB . Revenue related to this contract is recognized using the cost-to-cost method which measures progress based on costs incurred to date relative to the expected total cost of the services, as the Company believes this represents a faithful depiction of the satisfaction of its performance obligation. Use of the cost-to-cost method requires significant estimates including the total cost of the TRANSCEND study, which is expected to be completed over the next six years. Revenue is recorded based on the cost-to-cost completion estimate relative to the transaction price, which is equal to the total upfront fee plus the expected value of the clinical and regulatory milestones. As of December 31, 2018, consideration from the clinical and regulatory milestones has been fully constrained and excluded from the contract price, due to the high level of uncertainty as to the achievement of the underlying regulatory approval(s) and/or clinical milestones. Significant judgment is used to estimate total revenue and cost at completion for this contract.

Research and development – The Company performs third-party research and development activities, which are typically charged to customers on a time-and-materials basis. Generally, revenue for research and development is recorded over time as the services are provided to the customer in the amount to which the Company has the right to invoice. These services are generally charged to the customer as they are provided. Payment terms for R&D services are generally set at 30-45 days after the consideration becomes due and payable.

If a contract contains more than one distinct performance obligation, the transaction price is allocated to each performance obligation based on relative standalone selling price.

Contract Assets, Deferred Revenue and Remaining Performance Obligations

Contract assets are generally short in duration given the nature of products produced and services provided by the Company. Contract assets consist of sales-based and minimum royalty revenue earned for which unconditional right to payment does not exist as of the balance sheet date. These assets are comprised of estimated sales-based royalties earned, but not yet reported by the Company’s customers, minimum royalties on non-cancellable contracts, and contingent milestones earned but not yet billable based on the terms of the contract. The decrease in contract assets from October 1, 2018 to December 31, 2018 resulted primarily from changes in estimated sales-based royalties earned but not collected at each balance sheet date.

The Company records a contract liability, or deferred revenue, when there is an obligation to provide a product or service to the customer and payment is received or due in advance of performance, or when payment is received for a period outside the contract term. The Company’s deferred revenue at December 31, 2018 and September 30, 2018 is primarily related to the upfront payment received pursuant to the Abbott Agreement (Note 3).

Remaining performance obligations include deferred revenue and amounts the Company expects to receive for goods and services that have not yet been delivered or provided under existing, noncancellable contracts. For contracts that have an original duration of one year or less, the Company has elected the practical expedient applicable to such contracts and does not disclose the transaction price for remaining performance obligations at the end of each reporting period and when the Company expects to recognize this revenue. At December 31, 2018, the estimated revenue expected to be recognized in future periods related to performance obligations that are unsatisfied for executed contracts with an original duration of one year or more was approximately $18.3 million. This revenue is entirely related to the R&D and Clinical Services performance obligation in the Abbott Agreement from the upfront payment received in fiscal 2018 and does not include revenue from potential contingent milestone payments that may be received throughout the course of the agreement. The Company expects to recognize the remaining revenue from this performance obligation over the next six years as the services, which are primarily comprised of the TRANSCEND clinical study, are completed.

Collaborative Arrangement

3 Months Ended

Dec. 31, 2018

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Collaborative Arrangement

3. Collaborative Arrangement

Under the Abbott Agreement, Abbott will have exclusive worldwide commercialization rights for the SurVeil DCB to treat the superficial femoral artery, which is currently being evaluated in a U.S. pivotal clinical trial. Separately, Abbott also received options to negotiate agreements for Surmodics' below-the-knee and arteriovenous (AV) fistula DCB products, which are currently in pre-clinical development and a first-in human clinical study, respectively. Surmodics is responsible for conducting all necessary clinical trials and other activities required to achieve U.S. and European Union regulatory clearances for the SurVeil DCB, including completion of the ongoing TRANSCEND clinical trial. Abbott and Surmodics will participate on a joint development committee charged with providing guidance on the Company’s clinical and regulatory activities with regard to the SurVeil product.

The Company has received a $25 million upfront fee and may receive up to $67 million of additional payments upon achievement of various clinical and regulatory milestones. For the three months ended December 31, 2018, the Company recognized revenue totaling $2.4 million from the Abbott arrangement, all of which was previously included in deferred revenue. As of December 31, 2018, $18.3 million remains in deferred revenue from the upfront payment received. Upon the commercialization of the SurVeil DCB, Surmodics will be responsible for the manufacture and supply of clinical and commercial quantities of the product. Revenue from these product sales, including a set transfer price and a share of net profits resulting from third-party sales by Abbott, will be recognized if and when these products are shipped and control is transferred to the customer.

Fair Value Measurements

3 Months Ended

Dec. 31, 2018

Fair Value Disclosures [Abstract]

Fair Value Measurements

4. Fair Value Measurements

The accounting guidance on fair value measurements defines fair value, establishes a framework for measuring fair value under GAAP, and expands disclosures about fair value measurements. The guidance is applicable for all financial assets and financial liabilities and for all nonfinancial assets and nonfinancial liabilities recognized or disclosed at fair value in the financial statements on a recurring basis (at least annually). Fair value is defined as the exchange price that would be received from selling an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact and also considers assumptions that market participants would use when pricing the asset or liability, such as inherent risk, transfer restrictions and risk of nonperformance.

Fair Value Hierarchy

Accounting guidance on fair value measurements requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories:

Level 1 — Quoted (unadjusted) prices in active markets for identical assets or liabilities.

The Company did not have any Level 1 assets as of December 31, 2018 and September 30, 2018.

Level 2 — Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability.

The Company’s Level 2 assets as of December 31, 2018 and September 30, 2018 consisted of money market funds, commercial paper instruments and corporate bonds.

Level 3 — Unobservable inputs to the valuation methodology that are supported by little or no market activity and that are significant to the measurement of the fair value of the assets or liabilities. Level 3 assets and liabilities include those whose fair value measurements are determined using pricing models, discounted cash flow methodologies or similar valuation techniques, as well as significant management judgment or estimation.

The Level 3 liability as of December 31, 2018 consisted of contingent consideration obligations related to the fiscal 2016 acquisition of NorMedix, Inc. (“NorMedix”). Level 3 liabilities as of September 30, 2018 consisted of contingent consideration obligations related to the fiscal 2016 acquisitions of Creagh Medical Ltd. (“Creagh Medical”) and NorMedix. Consideration owed to the sellers of Creagh Medical upon achievement of revenue and value-creating milestones through September 30, 2018, was paid during the quarter ending December 31, 2018. Consideration owed to the sellers of NorMedix upon achievement of revenue and value-creating milestones through September 30, 2019, if any, is due to be paid in first quarter of fiscal 2020. Contingent consideration included in current liabilities of $3.3 million and $11.0 million as of December 31, 2018 and September 30, 2018, respectively, represents the Company’s estimated fair value of amounts expected to be paid within one year of each respective balance sheet date. During the three months ended December 31, 2018, the Company paid contingent consideration obligations related to the Creagh Medical acquisition totaling $11.0 million, including $9.1 million included in cash flows used in financing activities on the condensed consolidated statement of cash flows. The financing portion of the contingent consideration payment is equal to the acquisition-date value of the contingent consideration obligation, in accordance with ASC 230 Statements of Cash Flows.

In valuing assets and liabilities, the Company is required to maximize the use of quoted market prices and minimize the use of unobservable inputs.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

In instances where the inputs used to measure fair value fall into different levels of the fair value hierarchy, the fair value measurement has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular item to the fair value measurement in its entirety requires judgment, including the consideration of inputs specific to the asset or liability.

The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2018:

(Dollars in thousands)	Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)			Total Fair Value as of December 31, 2018
Assets
Cash equivalents	$	—	$	—	$	—		$	—
Available-for-sale securities		—		31,453		—			31,453
Total assets	$	—	$	31,453	$	—		$	31,453

Liabilities
Contingent consideration	$	—	$	—	$	(3,326	)	$	(3,326	)
Total liabilities	$	—	$	—	$	(3,326	)	$	(3,326	)

The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of September 30, 2018:

(Dollars in thousands)	Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)			Total Fair Value as of September 30, 2018
Assets
Cash equivalents	$	—	$	13,999	$	—		$	13,999
Available-for-sale securities		—		41,352		—			41,352
Total assets	$	—	$	55,351	$	—		$	55,351

Liabilities
Contingent consideration	$	—	$	—	$	(14,466	)	$	(14,466	)
Total liabilities	$	—	$	—	$	(14,466	)	$	(14,466	)

The following table summarizes the changes in the contingent consideration liabilities measured at fair value using Level 3 inputs for the three months ended December 31, 2018 and 2017:

	Three Months Ended
	December 31,
(Dollars in thousands)	2018			2017
Beginning balance	$	14,466		$	14,864
Additions		—			—
Fair value adjustments		(149	)		1,019
Settlements		(10,979	)		—
Interest accretion		114			99
Foreign currency translation (gain) loss		(126	)		180
Ending balance	$	3,326		$	16,162

There were no transfers of assets or liabilities between amounts measured using Level 1, Level 2, or Level 3 fair value measurements during fiscal 2019 to date, or fiscal 2018.

Valuation Techniques

The valuation techniques used to measure the fair value of assets are as follows:

Cash equivalents — These assets are classified as Level 2 and are carried at historical cost which is a reasonable estimate of fair value because of the relatively short time between origination of the instrument and its expected realization.

Available-for-sale securities — Fair market values for these assets are based on quoted vendor prices and broker pricing in active markets underlying the securities where all significant inputs are observable. To ensure the accuracy of quoted vendor prices and broker pricing, the Company performs regular reviews of investment returns to industry benchmarks and sample tests of individual securities to validate quoted vendor prices with other available market data.

Contingent consideration obligations — The values of the contingent consideration liabilities were determined based on discounted cash flow analyses that included revenue estimates, probability of strategic milestone achievement and a discount rate, which are considered significant unobservable inputs. For the NorMedix revenue-based milestones, the Company discounted forecasted revenue by 20.5%, which represents the Company’s weighted average cost of capital for this transaction, adjusted for the short-term nature of the cash flows. The present value of forecasted revenue was used as an input into an option pricing approach, which also considered the Company’s risk of non-payment of the NorMedix revenue-based milestones. Non-revenue milestones for the NorMedix acquisition that have not already been achieved were projected to have a 5%-95% probability of achievement and expected payments were discounted using the Company’s estimated cost of debt of 6.0%. To the extent that actual results differ from these estimates, the fair value of the contingent consideration liabilities could change significantly during the contingency periods. Accretion expense is recorded as an increase to the contingent consideration liabilities due to the passage of time. Fair value adjustments represent changes in the value of the obligations related to adjustments to forecasted revenue and probability of strategic milestone completion. The contingent consideration liability related to the Creagh Medical acquisition was denominated in Euros. Foreign currency translation gains and losses are recorded as this obligation is marked to exchange rates at period-end and on the date of settlement.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Investments

3 Months Ended

Dec. 31, 2018

Investments Debt And Equity Securities [Abstract]

Investments

5. Investments

Investments consisted principally of commercial paper and corporate bond securities and are classified as available-for-sale as of December 31, 2018 and September 30, 2018. These available-for-sale securities are reported at fair value with unrealized gains and losses, net of tax, excluded from the condensed consolidated statements of operations and reported in the condensed consolidated statements of comprehensive income (loss) as well as a separate component of stockholders’ equity in the condensed consolidated balance sheets, except for other-than-temporary impairments, which are reported as a charge to current earnings as they occur. A loss would be recognized when there is an other-than-temporary impairment in the fair value of any individual security classified as available-for-sale, with the associated net unrealized loss reclassified out of accumulated other comprehensive income with a corresponding adjustment to other income. This adjustment would result in a new cost basis for the investment. Interest earned on debt securities, including amortization of premiums and accretion of discounts, is included in investment income, net within other income. Realized gains and losses from the sales of debt securities, which are included in other income, are determined using the specific identification method. Investment purchases are accounted for on the date the trade is executed, which may not be the same as the date the transaction is cash settled.

The amortized cost, unrealized holding gains and losses, and fair value of available-for-sale securities were as follows:

	December 31, 2018
(Dollars in thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
Short-term commercial paper and corporate bonds	$	31,501	$	—	$	(48	)	$	31,453
Total	$	31,501	$	—	$	(48	)	$	31,453

	September 30, 2018
(Dollars in thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
Short-term commercial paper and corporate bonds	$	41,403	$	—	$	(51	)	$	41,352
Total	$	41,403	$	—	$	(51	)	$	41,352

Inventories

3 Months Ended

Dec. 31, 2018

Inventory Disclosure [Abstract]

Inventories

6. Inventories

Inventories are principally stated at the lower of cost or market using the specific identification method and include direct labor, materials and overhead, with cost of product sales determined on a first-in, first-out basis. Inventories consisted of the following components:

	December 31,		September 30,
(Dollars in thousands)	2018		2018
Raw materials	$	1,961	$	1,890
Work-in process		753		780
Finished products		1,454		1,346
Total	$	4,168	$	4,016

Other Assets

3 Months Ended

Dec. 31, 2018

Investments All Other Investments [Abstract]

Other Assets

7. Other Assets

Other assets consist of the following:

	December 31,		September 30,
(Dollars in thousands)	2018		2018
ViaCyte, Inc.	$	479	$	479
Other noncurrent assets		1,123		967
Other assets, net	$	1,602	$	1,446

The Company has invested a total of $5.3 million in ViaCyte, Inc. (“ViaCyte”), a privately-held California-based biotechnology firm that is developing a unique treatment for diabetes using coated islet cells, the cells that produce insulin in the human body. The balance of the investment of $0.5 million, which is net of previously recorded other-than-temporary impairments of $4.8 million, is accounted for under the cost method and represents less than a 1% ownership interest. The Company does not exert significant influence over ViaCyte’s operating or financial activities.

The carrying value of each cost method investment is reviewed quarterly for changes in circumstances or the occurrence of events that suggest the Company’s investment may not be recoverable. The fair value of cost method investments is not adjusted if there are no identified events or changes in circumstances that may have a material effect on the fair value of the investment.

Intangible Assets

3 Months Ended

Dec. 31, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Intangible Assets

8. Intangible Assets

Intangible assets consist principally of acquired patents and technology, customer lists and relationships, licenses and trademarks. The Company recorded amortization expense of $0.7 million for both the three-month periods ended December 31, 2018 and 2017.

Intangible assets consisted of the following:

	December 31, 2018
(Dollars in thousands)	Weighted Average Original Life (Years)		Gross Carrying Amount		Accumulated Amortization			Net
Definite-lived intangible assets:
Customer lists and relationships		8.9	$	17,922	$	(9,717	)	$	8,205
Developed technology		11.5		9,618		(2,575	)		7,043
Non-compete		5.0		230		(161	)		69
Patents and other		16.5		2,321		(1,607	)		714
Subtotal				30,091		(14,060	)		16,031
Unamortized intangible assets:
In-process research and development				263		—			263
Trademarks and trade names				580		—			580
Total			$	30,934	$	(14,060	)	$	16,874

	September 30, 2018
(Dollars in thousands)	Weighted Average Original Life (Years)		Gross Carrying Amount		Accumulated Amortization			Net
Definite-lived intangible assets:
Customer lists and relationships		8.9	$	18,086	$	(9,377	)	$	8,709
Developed technology		11.5		9,656		(2,361	)		7,295
Non-compete		5.0		230		(150	)		80
Patents and other		16.5		2,321		(1,569	)		752
Subtotal				30,293		(13,457	)		16,836
Unamortized intangible assets:
In-process research and development				267		—			267
Trademarks and trade names				580		—			580
Total			$	31,140	$	(13,457	)	$	17,683

Based on the intangible assets in service as of December 31, 2018, excluding any possible future amortization associated with acquired in-process research and development (“IPR&D”), which has not met technological feasibility as of December 31, 2018, estimated amortization expense for the remainder of fiscal 2019 and each of the next five fiscal years is as follows (in thousands):

Remainder of 2019	$	2,000
2020		2,491
2021		2,352
2022		2,313
2023		1,725
2024		1,631

Future amortization amounts presented above are estimates. Actual future amortization expense may be different as a result of future acquisitions, impairments, completion or abandonment of IPR&D intangible assets, changes in amortization periods, foreign currency translation rates, or other factors.

The Company defines IPR&D as the value of technology acquired for which the related projects have substance and are incomplete. IPR&D acquired in a business acquisition is recognized at fair value and requires the IPR&D to be capitalized as an indefinite-lived intangible asset until completion of the IPR&D project or abandonment. Upon completion of the development project (generally when regulatory approval to market the product is obtained), an impairment assessment is performed prior to amortizing the asset over its estimated useful life. If the IPR&D projects are abandoned, the related IPR&D assets would be written off.

Goodwill

3 Months Ended

Dec. 31, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill

9. Goodwill

Goodwill represents the excess of the cost of an acquired entity over the fair value assigned to the assets purchased and liabilities assumed in connection with a business acquisition. Goodwill is not amortized but is subject, at a minimum, to annual tests for impairment in accordance with accounting guidance for goodwill. The carrying amount of goodwill is evaluated annually, and between annual evaluations if events occur or circumstances change indicating that the carrying amount of goodwill may be impaired.

Goodwill as of December 31, 2018 and September 30, 2018 totaled $26.8 million and $27.0 million, respectively. Goodwill in the Medical Device reporting unit represents the gross value from the fiscal 2016 acquisitions of Creagh Medical and NorMedix. Goodwill in the In Vitro Diagnostics reporting unit represents the gross value from the acquisition of BioFX Laboratories, Inc. (“BioFX”) in fiscal 2007.

Goodwill was not impaired in either reporting unit based on the outcome of the fiscal 2018 annual impairment test, and there have been no events or circumstances that have occurred in the first three months of fiscal 2019 to indicate that goodwill has been impaired.

The change in the carrying amount of goodwill by segment for the three months ended December 31, 2018 was as follows:

(Dollars in thousands)	In Vitro Diagnostics		Medical Device			Total
Balance as of September 30, 2018	$	8,010	$	19,022		$	27,032
Currency translation adjustment		—		(198	)		(198	)
Balance as of December 31, 2018	$	8,010	$	18,824		$	26,834

Accrued Liabilities

3 Months Ended

Dec. 31, 2018

Payables And Accruals [Abstract]

Accrued Liabilities

10. Accrued Liabilities

Accrued liabilities consisted of the following:

	December 31,		September 30,
	2018		2018
Accrued professional fees	$	433	$	311
Accrued clinical study expense		2,460		2,839
Accrued purchases		782		533
Customer claim		1,000		1,000
Construction in progress		33		1,199
Deferred rent		123		121
Other		222		262
Total	$	5,053	$	6,265

Stock-based Compensation

3 Months Ended

Dec. 31, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Stock-based Compensation

11. Stock-based Compensation

The Company has stock-based compensation plans under which it grants stock options, restricted stock awards, performance share awards, restricted stock units and deferred stock units. Accounting guidance requires all share-based payments to be recognized as an operating expense, based on their fair values, over the requisite service period.

The Company’s stock-based compensation expenses were allocated to the following expense categories:

	Three Months Ended
	December 31,
(Dollars in thousands)	2018		2017
Product costs	$	32	$	(6	)
Research and development		213		158
Selling, general and administrative		986		751
Total	$	1,231	$	903

As of December 31, 2018, approximately $9.8 million of total unrecognized compensation costs related to non-vested awards is expected to be recognized over a weighted average period of approximately 2.7 years. The unrecognized compensation costs above include $0.5 million, remaining to be expensed over the life of the awards, based on payout levels associated with performance share awards that are currently anticipated to be fully expensed because the performance conditions are expected to exceed minimum threshold levels.

Stock Option Awards

The Company uses the Black-Scholes option pricing model to determine the weighted average grant date fair value of stock options granted. The weighted average per share fair values of stock options granted during the three months ended December 31, 2018 and 2017 were $18.30 and $10.57, respectively.

	Three Months Ended
	December 31,
	2018			2017
Risk-free interest rates		2.9	%		2.0	%
Expected life (years)		4.5			4.8
Expected volatility		33.2	%		33.0	%
Dividend yield		0.0	%		0.0	%

The risk-free interest rate assumption was based on the U.S. Treasury’s rates for U.S. Treasury zero-coupon bonds with maturities similar to those of the expected term of the awards. The expected life of options granted was determined based on the Company’s experience. Expected volatility was based on the Company’s stock price movement over a period approximating the expected term. Based on management’s judgment, dividend yields were expected to be 0.0% for the expected life of the options. The Company also estimated forfeitures of options granted, which were based on historical experience.

Non-qualified stock options are granted at fair market value on the date of grant. Non-qualified stock options expire in seven to ten years or upon termination of employment or service as a Board member. With respect to members of our Board, non-qualified stock options generally become exercisable on a pro-rata basis within the one-year period following the date of grant. With respect to our employees, non-qualified stock options generally become exercisable with respect to 25% of the shares on each of the first four anniversaries following the grant date. The stock-based compensation table above includes stock option expenses recognized related to these awards, which totaled $0.5 million and $0.4 million for the three months ended December 31, 2018 and 2017.

The total pre-tax intrinsic value of options exercised during the three months ended December 31, 2018 and 2017 was less than $0.1 million and $0.3 million, respectively. The intrinsic value represents the difference between the Company’s common stock fair market value on the date of exercise and the option’s exercise price.

Restricted Stock Awards

The Company has entered into restricted stock agreements with certain key employees, covering the issuance of common stock (“Restricted Stock”). Under accounting guidance, these shares are considered to be non-vested shares. The Restricted Stock is released to the key employees if they are employed by the Company at the end of the vesting period. Restricted Stock vesting periods range from one to three years. During the three months ended December 31, 2018 and 2017, the Company awarded 42,248 and 57,635 Restricted Stock shares, respectively, to certain key employees and officers. Forfeiture of 507 and 2,220 Restricted Stock shares occurred during the three months ended December 31, 2018 and 2017, respectively. As of December 31, 2018 and September 30, 2018, 94,624 and 85,424 Restricted Stock shares were outstanding, respectively. Compensation expense has been recognized for the estimated fair value of the common shares, net of estimated forfeitures, and is being charged to operating expenses over the vesting term. The stock-based compensation expense table includes Restricted Stock expenses recognized related to these awards, which totaled $0.4 million and $0.2 million for the three months ended December 31, 2018 and 2017, respectively.

Performance Share Awards

The Company has entered into performance share agreements with certain key employees covering the issuance of common stock (“Performance Shares”). Performance Shares vest upon the achievement of all or a portion of certain performance objectives (which may include financial or project objectives), which must be achieved during the performance period. The Organization and Compensation Committee of the Board of Directors (the “Committee”) approves the performance objectives used for our executive compensation programs, which objectives were cumulative revenue and cumulative earnings before interest, income taxes, depreciation and amortization (“EBITDA”) for the three-year performance periods for awards granted in fiscal 2016 (2016 – 2018) and fiscal 2017 (2017 – 2019). The fiscal 2017 awards also include performance objectives related to achievement of the Company’s strategic initiatives. Assuming that the minimum performance level is attained, the number of shares that may actually vest will vary based on performance from 20% (minimum) to 200% (maximum) of the target number of shares. Shares will be issued to participants as soon as practicable following the end of each performance period, subject to Committee approval and verification of results. Awards granted in fiscal 2016 were finalized in the three months ended December 31, 2018 and resulted in the issuance of 76,396 shares (maximum was 132,676 shares) based on the performance objectives relative to actual results achieved during the performance period. The per share compensation cost for each award is fixed on the grant date. Compensation expense is recognized in each period based on management’s estimate of the achievement level of actual and forecasted results, as appropriate, compared with the specified performance objectives and the related impact on the number of Performance Shares expected to vest. The stock-based compensation expense table includes Performance Shares expenses recognized related to these awards, which totaled $0.2 million in each of the three-month periods ended December 31, 2018 and 2017.

The fair values of the Performance Shares, at target, were $1.2 million for awards granted in fiscal 2017. There were no Performance Share awards granted in fiscal 2018.

The aggregate number of shares that could be awarded to our executives if the minimum, target and maximum performance goals are met, based on the fair value at the date of grant is as follows as of December 31, 2018, taking into account the aforementioned forfeiture of Performance Shares:

Performance Period

Minimum Shares

Target Shares

Maximum Shares

Fiscal 2017 – 2019

9,352

46,758

93,516

Employee Stock Purchase Plan

Under the Employee Stock Purchase Plan (“Stock Purchase Plan”), the Company is authorized to issue up to 600,000 shares of common stock. All full-time and part-time U.S. employees can choose to have up to 10% of their annual compensation withheld, with a limit of $25,000, to purchase the Company’s common stock at purchase prices defined within the provisions of the Stock Purchase Plan. As of December 31, 2018 and September 30, 2018, there was $0.1 million of employee contributions included in accrued liabilities in the condensed consolidated balance sheets. Stock compensation expense recognized related to the Stock Purchase Plan for the three months ended December 31, 2018 and 2017 totaled less than $0.1 million in each respective period. The stock-based compensation table includes the Stock Purchase Plan expenses.

Restricted Stock and Deferred Stock Units

During the three months ended December 31, 2018 and 2017, the Company awarded 6,206 and 5,626 restricted stock units (“RSUs”), respectively, to non-employee directors and certain key employees in foreign jurisdictions. As of December 31, 2018 and September 30, 2018, 57,387 and 60,182 RSUs were outstanding, respectively. RSU awards are not considered issued or outstanding common stock of the Company until they vest. Compensation expense has been recognized for the estimated fair value of the common shares and is being charged to operating expenses over the vesting term. The estimated fair value of the RSUs was calculated based on the closing market price of Surmodics’ common stock on the grant date. The stock-based compensation table includes RSU expenses recognized related to these awards, which totaled $0.1 million for the both the three months ended December 31, 2018 and 2017.

Directors may elect to receive their annual fees for services to the Board in deferred stock units (“DSUs”). Certain directors elected this option beginning on January 1, 2013 with subsequent deferral elections updated quarterly. During the three months ended December 31, 2018 and 2017, 751 and 500 units, respectively, were issued with a total fair value of less than $0.1 million in each period. As of December 31, 2018 and September 30, 2018, outstanding, fully vested DSUs totaled 27,742 and 26,991, respectively. Stock-based compensation expense related to DSU awards totaled less than $0.1 million for both the three-month periods ended December 31, 2018 and 2017.

Net Income (Loss) Per Share Data

3 Months Ended

Dec. 31, 2018

Earnings Per Share [Abstract]

Net Income (Loss) Per Share Data

12. Net Income (Loss) Per Share Data

Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted net income per common share is computed by dividing net income by the weighted average number of common and dilutive common equivalent shares outstanding during the period. The Company’s potentially dilutive common shares are those that result from dilutive common stock options, non-vested stock relating to restricted stock awards, restricted stock units, deferred stock units and performance shares. Options to purchase shares of common stock as well as unvested restricted stock and performance stock units are considered to be potentially dilutive common shares. However, these shares have been excluded from the calculation of diluted net loss per share as their effect is antidilutive for the three months ended December 31, 2017, as a result of the net losses incurred for the period. Therefore, diluted weighted average number of shares outstanding and diluted net loss per share were the same as basic weighted average number of shares outstanding and net loss per share for the three months ended December 31, 2017.

The following table sets forth the denominator for the computation of basic and diluted net income (loss) per share (in thousands):

	Three Months Ended
	December 31,
	2018		2017
Net income (loss) available to common shareholders	$	1,310	$	(1,556	)
Basic weighted average shares outstanding		13,367		13,064
Dilutive effect of outstanding stock options, non-vested restricted stock, restricted stock units, deferred stock units and performance shares		460		—
Diluted weighted average shares outstanding		13,827		13,064

The Company’s Board of Directors has authorized the repurchase of up to $25.3 million of the Company’s outstanding common stock. This authorization does not have an expiration date.

Income Taxes

3 Months Ended

Dec. 31, 2018

Income Tax Disclosure [Abstract]

Income Taxes

13. Income Taxes

For interim income tax reporting, the Company estimates its annual effective tax rate and applies it to year-to-date pretax income (loss), excluding unusual or infrequently occurring discrete items. Tax jurisdictions with losses for which tax benefits cannot be realized are excluded. The Company recorded income tax (benefit) provision of $(0.2) million and $1.0 million for the three months ended December 31, 2018 and 2017, respectively. In December 2017, the Tax Cuts and Jobs Act tax legislation was signed into law, which reduced the U.S. Federal statutory tax rate from 35% to 21%, among other changes. As a result of the enactment of this legislation, the tax provision for the first three months of fiscal 2018 included discrete tax expense of $1.2 million from the Company’s net deferred tax assets revaluation based on the enacted tax rate of 21%, as compared with the previous rate of 35%.

The effective income tax rate for the three months ended December 31, 2018 differs from the U.S. federal statutory tax rate of 21% primarily due to the favorable impacts of stock award activity and increased U.S. federal research and development tax credits. These benefits were partly offset by non-deductible acquired intangible asset amortization, as well as operating losses incurred in Ireland, where tax benefits are offset by a valuation allowance. The effective income tax rate for the three months ended December 31, 2017 differs from the U.S. federal statutory tax rate of 24.5% primarily due to operating losses incurred in Ireland, where tax benefits are offset by a valuation allowance, and non-deductible acquired intangible asset amortization, contingent consideration accretion, including fair value adjustments, as well as unrealized foreign currency translation losses on Euro-denominated contingent consideration liabilities. These increases to the effective income tax rate were partially offset by the U.S. federal research and development income tax credit. The effective income tax rate for the three months ended December 31, 2018 and 2017 was impacted by discrete tax benefits of $0.5 million and $0.2 million, respectively, related to share awards vested, expired, cancelled and exercised during the periods.

The total amount of unrecognized tax benefits, excluding interest and penalties that, if recognized, would affect the effective tax rate is $1.7 million and $1.4 million as of December 31, 2018 and September 30, 2018, respectively. Interest and penalties related to unrecognized tax benefits are recorded in the income tax (benefit) provision.

The Company files income tax returns, including returns for its subsidiaries, in the U.S. federal jurisdiction and in various state jurisdictions as well as several non-U.S. jurisdictions. Uncertain tax positions are related to tax years that remain subject to examination. U.S. income tax returns for years prior to fiscal 2015 are no longer subject to examination by federal tax authorities. For tax returns for state and local jurisdictions, the Company is no longer subject to examination for tax years generally before fiscal 2007. For tax returns for non-U.S. jurisdictions, the Company is no longer subject to income tax examination for years prior to 2012. Additionally, the Company has been indemnified of liability for any taxes relating to Creagh Medical and NorMedix for periods prior to their respective acquisition dates, pursuant to the terms of the related share purchase agreements. As of December 31, 2018 and September 30, 2018, there were no undistributed earnings in foreign subsidiaries. The Internal Revenue Service (“IRS”) completed an examination of our fiscal 2016 U.S. federal income tax return in the third quarter of fiscal 2018, with a payment made associated primarily with timing adjustments.

Segment and Geographical Information

3 Months Ended

Dec. 31, 2018

Segment Reporting [Abstract]

Segment and Geographical Information

14. Segment and Geographical Information

The Company’s management evaluates performance and allocates resources based on reported results for two reportable segments, as follows: (1) the Medical Device unit, which is comprised of manufacturing balloons and catheters used for a variety of interventional cardiology, peripheral and other applications, surface modification coating technologies to improve access, deliverability, and predictable deployment of medical devices, as well as drug delivery coating technologies to provide site-specific drug delivery from the surface of a medical device, with end markets that include coronary, peripheral, and neurovascular, and urology, among others, and (2) the In Vitro Diagnostics unit, which consists of component products and technologies for diagnostic immunoassay as well as molecular tests and biomedical research applications, with products that include protein stabilization reagents, substrates, antigens and surface coatings.

The tables below present segment revenue, operating income (loss) and depreciation and amortization, as follows:

	Three Months Ended
	December 31,
(Dollars in thousands)	2018			2017
Revenue:
Medical Device	$	17,258		$	12,774
In Vitro Diagnostics		4,983			4,239
Total revenue	$	22,241		$	17,013

Operating income (loss):
Medical Device	$	357		$	(389	)
In Vitro Diagnostics		2,455			1,670
Total segment operating income		2,812			1,281
Corporate		(2,100	)		(1,914	)
Total operating income (loss)	$	712		$	(633	)

Depreciation and amortization:
Medical Device	$	1,388		$	1,272
In Vitro Diagnostics		116			90
Corporate		252			158
Total depreciation and amortization	$	1,756		$	1,520

The Corporate category includes expenses that are not fully allocated to Medical Device and In Vitro Diagnostics segments. These Corporate costs are related to functions, such as executive management, corporate accounting, legal, human resources and Board of Directors. Corporate may also include expenses, such as litigation, which are not specific to a segment and thus not allocated to the operating segments.

Asset information by operating segment is not presented because the Company does not provide its chief operating decision maker assets by operating segment, as the data is not readily available or significant to the decision-making process.

Commitments and Contingencies

3 Months Ended

Dec. 31, 2018

Commitments And Contingencies Disclosure [Abstract]

Commitments and Contingencies

15. Commitments and Contingencies

Litigation. From time to time, the Company may become involved in various legal actions involving its operations, products and technologies, including intellectual property and employment disputes. The outcomes of these legal actions are not within the Company’s complete control and may not be known for prolonged periods of time. In some actions, the claimants seek damages as well as other relief, including injunctions barring the sale of products that are the subject of the lawsuit, which if granted, could require significant expenditures or result in lost revenue. The Company records a liability in the condensed consolidated financial statements for these actions when a loss is known or considered probable and the amount can be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate, the minimum amount of the range is accrued. If a loss is possible but not known or probable, and can be reasonably estimated, the estimated loss or range of loss is disclosed. In most cases, significant judgment is required to estimate the amount and timing of a loss to be recorded.

In April 2018, a customer notified the Company that it believes it overpaid hydrophilic coating royalties to the Company from January 2009 through December 2017. During fiscal 2018, the Company recorded $1.0 million in selling, general and administrative expenses related to this claim. These amounts are included in other accrued liabilities on the condensed consolidated balance sheet as of December 31, 2018 and September 30, 2018.

InnoCore Technologies BV. In March 2006, the Company entered into a license agreement whereby Surmodics obtained an exclusive license to a drug delivery coating for licensed products within the vascular field which included peripheral, coronary and neurovascular biodurable stent products. The license requires an annual minimum payment of 200,000 euros (equivalent to $229,000 using a euro to US dollar exchange rate of $1.1444 to the Euro as of December 31, 2018) until the last patent expires which is currently estimated to be September 2027. The total minimum future payments associated with this license are approximately $2.1 million as of December 31, 2018. The license is currently utilized by one of the Company’s drug delivery customers.

Operating Leases. The Company leases certain facilities under noncancelable operating lease agreements. Rent expense for the three months ended December 31, 2018 and 2017 was $0.1 million for both periods. In November 2017, the Company executed a lease for a 36,000 square feet facility in Eden Prairie, Minnesota. This facility will consolidate substantially all of our whole products solutions research and development operations into one location. Payments under the lease agreement over the ten-year lease term commenced in May 2018. In connection with this lease, the Company deposited $0.4 million into a restricted cash account, which was returned to the Company during the three months ended December 31, 2018. Annual commitments pursuant to operating lease agreements in place as of December 31, 2018 for the remainder of fiscal 2019 and each of the next five fiscal years are as follows (in thousands):

Remainder of 2019	$	337
2020		458
2021		396
2022		391
2023		399
2024		407
Thereafter		1,526
Total minimum lease payments	$	3,914

Asset Acquisition. In May 2018, the Company entered into an asset purchase agreement with Embolitech, LLC to acquire certain intellectual property assets (the “Embolitech Transaction”). As part of the Embolitech Transaction, the Company paid the sellers $5.0 million during fiscal 2018. Additionally, the Company is obligated to pay $3.5 million in several installments beginning December 2019 and ending December 2023. These payments may be accelerated upon the occurrence of certain sales and regulatory milestones. An additional $2.0 million payment is contingent upon the achievement of certain regulatory milestones within a contingency period ending in 2033. As of December 31, 2018 and September 30, 2018, $3.0 million and $2.9 million, respectively, is included in other long-term liabilities on the condensed consolidated balance sheets related to the Embolitech Transaction.

Basis of Presentation (Policies)

3 Months Ended

Dec. 31, 2018

Accounting Policies [Abstract]

New Accounting Pronouncements

Recently Adopted

(Dollars in thousands)	September 30, 2018, As Reported		Adjustments for Adoption of Topic 606			October 1, 2018 Opening Balance
Assets
Contract assets - royalties and license fees	$	—	$	6,904		$	6,904
Deferred income taxes		6,304		(1,215	)		5,089
Income tax receivable		1,152		(390	)		762

Liabilities and Stockholders' Equity
Deferred revenue, current portion		9,646		(18	)		9,628
Deferred revenue, less current portion		11,247		(181	)		11,066
Retained earnings		97,615		5,498			103,113

Not Yet Adopted

No other new accounting pronouncement issued or effective has had, or is expected to have, a material impact on the Company’s condensed consolidated financial statements.

Revenue

	Three Months Ended
	December 31,
(In thousands)	2018		2017
Medical Device	(Unaudited)
Product sales	$	4,778	$	3,850
Royalties		7,685		7,042
Research, development and other		2,384		1,848
License fees		2,411		34
Total Revenue - Medical Device		17,258		12,774
IVD
Product sales		4,973		4,237
Other		10		2
Total Revenue - IVD		4,983		4,239
Total Revenue	$	22,241	$	17,013

Performance Obligations

The Company recognizes revenue when control is transferred to the customer. The transfer of control varies by revenue classification and is described below.

If a contract contains more than one distinct performance obligation, the transaction price is allocated to each performance obligation based on relative standalone selling price.

Contract Assets, Deferred Revenue and Remaining Performance Obligations

Basis of Presentation (Tables)

3 Months Ended

Dec. 31, 2018

Accounting Policies [Abstract]

Impact of Adoption of ASC Topic 606 on Consolidated Balance Sheet

(Dollars in thousands)	September 30, 2018, As Reported		Adjustments for Adoption of Topic 606			October 1, 2018 Opening Balance
Assets
Contract assets - royalties and license fees	$	—	$	6,904		$	6,904
Deferred income taxes		6,304		(1,215	)		5,089
Income tax receivable		1,152		(390	)		762

Liabilities and Stockholders' Equity
Deferred revenue, current portion		9,646		(18	)		9,628
Deferred revenue, less current portion		11,247		(181	)		11,066
Retained earnings		97,615		5,498			103,113

Revenue (Tables)

3 Months Ended

Dec. 31, 2018

Revenue From Contract With Customer [Abstract]

Summary of Revenues Disaggregated by Product Classification and Operating Segment

	Three Months Ended
	December 31,
(In thousands)	2018		2017
Medical Device	(Unaudited)
Product sales	$	4,778	$	3,850
Royalties		7,685		7,042
Research, development and other		2,384		1,848
License fees		2,411		34
Total Revenue - Medical Device		17,258		12,774
IVD
Product sales		4,973		4,237
Other		10		2
Total Revenue - IVD		4,983		4,239
Total Revenue	$	22,241	$	17,013

Fair Value Measurements (Tables)

3 Months Ended

Dec. 31, 2018

Fair Value Disclosures [Abstract]

Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2018:

(Dollars in thousands)	Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)			Total Fair Value as of December 31, 2018
Assets
Cash equivalents	$	—	$	—	$	—		$	—
Available-for-sale securities		—		31,453		—			31,453
Total assets	$	—	$	31,453	$	—		$	31,453

Liabilities
Contingent consideration	$	—	$	—	$	(3,326	)	$	(3,326	)
Total liabilities	$	—	$	—	$	(3,326	)	$	(3,326	)

The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of September 30, 2018:

(Dollars in thousands)	Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)			Total Fair Value as of September 30, 2018
Assets
Cash equivalents	$	—	$	13,999	$	—		$	13,999
Available-for-sale securities		—		41,352		—			41,352
Total assets	$	—	$	55,351	$	—		$	55,351

Liabilities
Contingent consideration	$	—	$	—	$	(14,466	)	$	(14,466	)
Total liabilities	$	—	$	—	$	(14,466	)	$	(14,466	)

Schedule of Contingent Consideration Liabilities Measured at Fair Value

The following table summarizes the changes in the contingent consideration liabilities measured at fair value using Level 3 inputs for the three months ended December 31, 2018 and 2017:

	Three Months Ended
	December 31,
(Dollars in thousands)	2018			2017
Beginning balance	$	14,466		$	14,864
Additions		—			—
Fair value adjustments		(149	)		1,019
Settlements		(10,979	)		—
Interest accretion		114			99
Foreign currency translation (gain) loss		(126	)		180
Ending balance	$	3,326		$	16,162

Investments (Tables)

3 Months Ended

Dec. 31, 2018

Investments Debt And Equity Securities [Abstract]

Amortized Cost, Unrealized Holding Gains and (Losses) and Fair Value of Available-for-sale Securities

The amortized cost, unrealized holding gains and losses, and fair value of available-for-sale securities were as follows:

	December 31, 2018
(Dollars in thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
Short-term commercial paper and corporate bonds	$	31,501	$	—	$	(48	)	$	31,453
Total	$	31,501	$	—	$	(48	)	$	31,453

	September 30, 2018
(Dollars in thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
Short-term commercial paper and corporate bonds	$	41,403	$	—	$	(51	)	$	41,352
Total	$	41,403	$	—	$	(51	)	$	41,352

Inventories (Tables)

3 Months Ended

Dec. 31, 2018

Inventory Disclosure [Abstract]

Components of Inventories

Inventories consisted of the following components:

	December 31,		September 30,
(Dollars in thousands)	2018		2018
Raw materials	$	1,961	$	1,890
Work-in process		753		780
Finished products		1,454		1,346
Total	$	4,168	$	4,016

Other Assets (Tables)

3 Months Ended

Dec. 31, 2018

Investments All Other Investments [Abstract]

Summary of Other Assets

Other assets consist of the following:

	December 31,		September 30,
(Dollars in thousands)	2018		2018
ViaCyte, Inc.	$	479	$	479
Other noncurrent assets		1,123		967
Other assets, net	$	1,602	$	1,446

Intangible Assets (Tables)

3 Months Ended

Dec. 31, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Schedule of Intangible Assets

Intangible assets consisted of the following:

	December 31, 2018
(Dollars in thousands)	Weighted Average Original Life (Years)		Gross Carrying Amount		Accumulated Amortization			Net
Definite-lived intangible assets:
Customer lists and relationships		8.9	$	17,922	$	(9,717	)	$	8,205
Developed technology		11.5		9,618		(2,575	)		7,043
Non-compete		5.0		230		(161	)		69
Patents and other		16.5		2,321		(1,607	)		714
Subtotal				30,091		(14,060	)		16,031
Unamortized intangible assets:
In-process research and development				263		—			263
Trademarks and trade names				580		—			580
Total			$	30,934	$	(14,060	)	$	16,874

	September 30, 2018
(Dollars in thousands)	Weighted Average Original Life (Years)		Gross Carrying Amount		Accumulated Amortization			Net
Definite-lived intangible assets:
Customer lists and relationships		8.9	$	18,086	$	(9,377	)	$	8,709
Developed technology		11.5		9,656		(2,361	)		7,295
Non-compete		5.0		230		(150	)		80
Patents and other		16.5		2,321		(1,569	)		752
Subtotal				30,293		(13,457	)		16,836
Unamortized intangible assets:
In-process research and development				267		—			267
Trademarks and trade names				580		—			580
Total			$	31,140	$	(13,457	)	$	17,683

Estimated Amortization Expense

Remainder of 2019	$	2,000
2020		2,491
2021		2,352
2022		2,313
2023		1,725
2024		1,631

Goodwill (Tables)

3 Months Ended

Dec. 31, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Schedule Of Carrying Amount Of Goodwill By Segment

The change in the carrying amount of goodwill by segment for the three months ended December 31, 2018 was as follows:

(Dollars in thousands)	In Vitro Diagnostics		Medical Device			Total
Balance as of September 30, 2018	$	8,010	$	19,022		$	27,032
Currency translation adjustment		—		(198	)		(198	)
Balance as of December 31, 2018	$	8,010	$	18,824		$	26,834

Accrued Liabilities (Tables)

3 Months Ended

Dec. 31, 2018

Payables And Accruals [Abstract]

Schedule of Accrued Liabilities

Accrued liabilities consisted of the following:

	December 31,		September 30,
	2018		2018
Accrued professional fees	$	433	$	311
Accrued clinical study expense		2,460		2,839
Accrued purchases		782		533
Customer claim		1,000		1,000
Construction in progress		33		1,199
Deferred rent		123		121
Other		222		262
Total	$	5,053	$	6,265

Stock-based Compensation (Tables)

3 Months Ended

Dec. 31, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Stock-Based Compensation Expenses

The Company’s stock-based compensation expenses were allocated to the following expense categories:

	Three Months Ended
	December 31,
(Dollars in thousands)	2018		2017
Product costs	$	32	$	(6	)
Research and development		213		158
Selling, general and administrative		986		751
Total	$	1,231	$	903

Assumptions Used in Stock Option Plans

	Three Months Ended
	December 31,
	2018			2017
Risk-free interest rates		2.9	%		2.0	%
Expected life (years)		4.5			4.8
Expected volatility		33.2	%		33.0	%
Dividend yield		0.0	%		0.0	%

Schedule of Fair Value at the Date of Grant

Performance Period

Minimum Shares

Target Shares

Maximum Shares

Fiscal 2017 – 2019

9,352

46,758

93,516

Net Income (Loss) Per Share Data (Tables)

3 Months Ended

Dec. 31, 2018

Earnings Per Share [Abstract]

Denominator for Computation of Basic and Diluted Net Income (Loss) Per Share

The following table sets forth the denominator for the computation of basic and diluted net income (loss) per share (in thousands):

	Three Months Ended
	December 31,
	2018		2017
Net income (loss) available to common shareholders	$	1,310	$	(1,556	)
Basic weighted average shares outstanding		13,367		13,064
Dilutive effect of outstanding stock options, non-vested restricted stock, restricted stock units, deferred stock units and performance shares		460		—
Diluted weighted average shares outstanding		13,827		13,064

Segment and Geographical Information (Tables)

3 Months Ended

Dec. 31, 2018

Segment Reporting [Abstract]

Segment Revenue, Operating Income (Loss) and Depreciation and Amortization

The tables below present segment revenue, operating income (loss) and depreciation and amortization, as follows:

	Three Months Ended
	December 31,
(Dollars in thousands)	2018			2017
Revenue:
Medical Device	$	17,258		$	12,774
In Vitro Diagnostics		4,983			4,239
Total revenue	$	22,241		$	17,013

Operating income (loss):
Medical Device	$	357		$	(389	)
In Vitro Diagnostics		2,455			1,670
Total segment operating income		2,812			1,281
Corporate		(2,100	)		(1,914	)
Total operating income (loss)	$	712		$	(633	)

Depreciation and amortization:
Medical Device	$	1,388		$	1,272
In Vitro Diagnostics		116			90
Corporate		252			158
Total depreciation and amortization	$	1,756		$	1,520

Commitments and Contingencies (Tables)

3 Months Ended

Dec. 31, 2018

Commitments And Contingencies Disclosure [Abstract]

Summary of Annual Commitments Pursuant to Operating Lease Agreements

Annual commitments pursuant to operating lease agreements in place as of December 31, 2018

Remainder of 2019	$	337
2020		458
2021		396
2022		391
2023		399
2024		407
Thereafter		1,526
Total minimum lease payments	$	3,914

Basis of Presentation - Impact of Adoption of ASC Topic 606 on Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Oct. 01, 2018	Sep. 30, 2018
Assets
Contract assets - royalties and license fees	$ 6,707
Deferred income taxes	4,778		$ 6,304
Income tax receivable	1,244		1,152
Liabilities and Stockholders' Equity
Deferred revenue, current portion			9,646
Deferred revenue, less current portion			11,247
Retained earnings	$ 104,423		$ 97,615
Adoption of ASC Topic 606 [Member]
Assets
Contract assets - royalties and license fees		$ 6,904
Deferred income taxes		5,089
Income tax receivable		762
Liabilities and Stockholders' Equity
Deferred revenue, current portion		9,628
Deferred revenue, less current portion		11,066
Retained earnings		103,113
Adjustments \| Adoption of ASC Topic 606 [Member]
Assets
Contract assets - royalties and license fees		6,904
Deferred income taxes		(1,215)
Income tax receivable		(390)
Liabilities and Stockholders' Equity
Deferred revenue, current portion		(18)
Deferred revenue, less current portion		(181)
Retained earnings		$ 5,498

Basis of Presentation - Additional Information (Detail) - USD ($)	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Income tax benefit	$ (176,000)	$ 1,035,000
Impact of Adoption [Member] \| Adoption of ASC Topic 606 [Member]
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Revenue	$ 200,000
Type of Revenue [Extensible List]	us-gaap:RoyaltyMember
Impact of Adoption [Member] \| Adoption of ASC Topic 606 [Member] \| Maximum [Member]
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Income tax benefit	$ 100,000

Revenue - Summary of Revenues Disaggregated by Product Classification and Operating Segment (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Disaggregation Of Revenue [Line Items]
Research, development and other	$ 2,394	$ 1,849
Total Revenue	22,241	17,013
Royalties [Member]
Disaggregation Of Revenue [Line Items]
Revenue	10,096	7,076
Operating Segments [Member]
Disaggregation Of Revenue [Line Items]
Total Revenue	22,241	17,013
Operating Segments [Member] \| Medical Device [Member]
Disaggregation Of Revenue [Line Items]
Research, development and other	2,384	1,848
Total Revenue	17,258	12,774
Operating Segments [Member] \| Medical Device [Member] \| Product Sales [Member]
Disaggregation Of Revenue [Line Items]
Revenue	4,778	3,850
Operating Segments [Member] \| Medical Device [Member] \| Royalties [Member]
Disaggregation Of Revenue [Line Items]
Revenue	7,685	7,042
Operating Segments [Member] \| Medical Device [Member] \| License Fees [Member]
Disaggregation Of Revenue [Line Items]
Revenue	2,411	34
Operating Segments [Member] \| In Vitro Diagnostics [Member]
Disaggregation Of Revenue [Line Items]
Total Revenue	4,983	4,239
Operating Segments [Member] \| In Vitro Diagnostics [Member] \| Product Sales [Member]
Disaggregation Of Revenue [Line Items]
Revenue	4,973	4,237
Operating Segments [Member] \| In Vitro Diagnostics [Member] \| Other [Member]
Disaggregation Of Revenue [Line Items]
Revenue	$ 10	$ 2

Revenue - Additional Information (Detail) - USD ($)	3 Months Ended	12 Months Ended
Revenue - Additional Information (Detail) - USD ($)	Dec. 31, 2018	Sep. 30, 2018
Abbott [Member]
Disaggregation Of Revenue [Line Items]
Upfront fee received	$ 25,000,000	$ 25,000,000
Abbott [Member] \| SurVeil DCB [Member]
Disaggregation Of Revenue [Line Items]
Clinical study completion period	6 years
Minimum [Member]
Disaggregation Of Revenue [Line Items]
Product sales payment terms	30 days
Payment period set for R&D services	30 days
Maximum [Member]
Disaggregation Of Revenue [Line Items]
Product sales payment terms	45 days
Sales-based and minimum royalties due period	45 days
Payment period set for R&D services	45 days
Maximum [Member] \| Abbott [Member]
Disaggregation Of Revenue [Line Items]
Collaborative arrangement additional potential milestone payments receivable	$ 67,000,000

Revenue - Additional Information (Detail 1) - Abbott [Member] - R&D and Clinical Services [Member] - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-01-01 $ in Millions	Dec. 31, 2018 USD ($)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Estimated revenue to be recognized in future	$ 18.3
Expected period to recognize the remaining revenue	6 years

Collaborative Arrangement - Additional Information (Detail) - Abbott [Member] - USD ($)	3 Months Ended	12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Upfront fee received	$ 25,000,000	$ 25,000,000
Collaboration revenue recognized	2,400,000
Upfron fee payment included in deferred revenue	18,300,000
Maximum [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Collaborative arrangement additional potential milestone payments receivable	$ 67,000,000

Fair Value Measurements - Additional Information (Detail)	3 Months Ended	12 Months Ended
	Dec. 31, 2018 USD ($)	Sep. 30, 2018 USD ($)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Contingent consideration liability, current	$ 3,326,000	$ 11,041,000
Payment of contingent consideration obligations	9,064,000
Transfers in or out Level 3, Assets	0	0
Transfers in or out Level 3, Liabilities	0	0
Transfers out of Level 1 to Level 2, Assets	0	0
Transfers into Level 1 out of Level 2, Assets	0	0
Transfers out of Level 1 to Level 2, Liabilities	0	0
Transfers into Level 1 out of Level 2, Liabilities	$ 0	0
Minimum [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Percentage of Probability Achievement of Contingent Consideration payment.	5.00%
Maximum [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Percentage of Probability Achievement of Contingent Consideration payment.	95.00%
Contingent Consideration [Member] \| Non Revenue Based Milestones [Member] \| Discount Rate [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Fair value measurement inputs	6.0
Creagh Medical Ltd [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Payment of contingent consideration obligations	$ 9,100,000
Contingent consideration liability	$ 11,000,000
NorMedix [Member] \| Contingent Consideration [Member] \| Revenue Based Milestones [Member] \| Discount Rate [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Fair value measurement inputs	20.5
Level 3 Liabilities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Contingent consideration liability, current	$ 3,300,000	$ 11,000,000

Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Assets and Liabilities Measured at Fair Value on a Recurring Basis [Member] - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	$ 31,453	$ 55,351
Liabilities measured at fair value	(3,326)	(14,466)
Available-for-sale securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	31,453	41,352
Cash equivalents [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value		13,999
Contingent consideration [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Liabilities measured at fair value	(3,326)	(14,466)
Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	31,453	55,351
Significant Other Observable Inputs (Level 2) [Member] \| Available-for-sale securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value	31,453	41,352
Significant Other Observable Inputs (Level 2) [Member] \| Cash equivalents [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Assets measured at fair value		13,999
Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Liabilities measured at fair value	(3,326)	(14,466)
Significant Unobservable Inputs (Level 3) [Member] \| Contingent consideration [Member]
Fair Value, Assets and Liabilities Measured on Recurring Basis [Line Items]
Liabilities measured at fair value	$ (3,326)	$ (14,466)

Fair Value Measurements - Schedule of Contingent Consideration Liabilities Measured at Fair Value (Detail) - Contingent Consideration [Member] - Significant Unobservable Inputs (Level 3) [Member] - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Beginning balance	$ 14,466	$ 14,864
Fair value adjustments	(149)	1,019
Settlements	(10,979)
Interest accretion	114	99
Foreign currency translation (gain) loss	(126)	180
Ending balance	$ 3,326	$ 16,162

Investments - Amortized Cost, Unrealized Holding Gains and (Losses) and Fair Value of Available-for-sale Securities (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost	$ 31,501	$ 41,403
Unrealized Losses	(48)	(51)
Fair Value	31,453	41,352
Short-term commercial paper and corporate bonds [Member]
Schedule Of Available For Sale Securities [Line Items]
Amortized Cost	31,501	41,403
Unrealized Losses	(48)	(51)
Fair Value	$ 31,453	$ 41,352

Inventories - Components of Inventories (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Inventory Disclosure [Abstract]
Raw materials	$ 1,961	$ 1,890
Work-in process	753	780
Finished products	1,454	1,346
Total	$ 4,168	$ 4,016

Other Assets - Summary of Other Assets (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Schedule of Investments [Line Items]
Other assets, net	$ 1,602	$ 1,446
ViaCyte, Inc. [Member]
Schedule of Investments [Line Items]
Other assets, net	479	479
Other Noncurrent Assets [Member]
Schedule of Investments [Line Items]
Other assets, net	$ 1,123	$ 967

Other Assets - Additional Information (Detail) - ViaCyte, Inc. [Member] $ in Millions	3 Months Ended
	Dec. 31, 2018 USD ($)
Schedule of Investments [Line Items]
Equity method investment	$ 5.3
Other than temporary impairment loss on investment	4.8
Cost method of investment	$ 0.5
Maximum [Member]
Schedule of Investments [Line Items]
Company's ownership percentage	1.00%

Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Goodwill And Intangible Assets Disclosure [Abstract]
Amortization expense	$ 0.7	$ 0.7

Intangible Assets - Schedule of Intangible Assets (Detail) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018
Intangible Assets [Line Items]
Definite-lived intangible assets, Accumulated Amortization	$ (14,060)	$ (13,457)
Intangible assets, Gross Carrying Amount	30,934	31,140
Intangible assets, Net	$ 16,874	$ 17,683
Customer Lists and Relationships [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Weighted Average Original Life (Years)	8 years 10 months 24 days	8 years 10 months 24 days
Definite-lived intangible assets, Gross Carrying Amount	$ 17,922	$ 18,086
Definite-lived intangible assets, Accumulated Amortization	(9,717)	(9,377)
Definite-lived intangible assets, Net	$ 8,205	$ 8,709
Developed Technology [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Weighted Average Original Life (Years)	11 years 6 months	11 years 6 months
Definite-lived intangible assets, Gross Carrying Amount	$ 9,618	$ 9,656
Definite-lived intangible assets, Accumulated Amortization	(2,575)	(2,361)
Definite-lived intangible assets, Net	$ 7,043	$ 7,295
Non-compete [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Weighted Average Original Life (Years)	5 years	5 years
Definite-lived intangible assets, Gross Carrying Amount	$ 230	$ 230
Definite-lived intangible assets, Accumulated Amortization	(161)	(150)
Definite-lived intangible assets, Net	$ 69	$ 80
Patents and Other [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Weighted Average Original Life (Years)	16 years 6 months	16 years 6 months
Definite-lived intangible assets, Gross Carrying Amount	$ 2,321	$ 2,321
Definite-lived intangible assets, Accumulated Amortization	(1,607)	(1,569)
Definite-lived intangible assets, Net	714	752
Definite-Lived Intangible Assets [Member]
Intangible Assets [Line Items]
Definite-lived intangible assets, Gross Carrying Amount	30,091	30,293
Definite-lived intangible assets, Accumulated Amortization	(14,060)	(13,457)
Definite-lived intangible assets, Net	16,031	16,836
In-Process Research and Development [Member]
Intangible Assets [Line Items]
Indefinite-lived intangible assets, Net	263	267
Trademarks and Trade Names [Member]
Intangible Assets [Line Items]
Indefinite-lived intangible assets, Net	$ 580	$ 580

Intangible Assets - Estimated Amortization Expense (Detail) $ in Thousands	Dec. 31, 2018 USD ($)
Goodwill And Intangible Assets Disclosure [Abstract]
Remainder of 2019	$ 2,000
2020	2,491
2021	2,352
2022	2,313
2023	1,725
2024	$ 1,631

Goodwill - Additional Information (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill	$ 26,834	$ 27,032

Goodwill - Schedule Of Carrying Amount of Goodwill by Segment (Detail) $ in Thousands	3 Months Ended
	Dec. 31, 2018 USD ($)
Goodwill [Line Items]
Balance as of September 30, 2018	$ 27,032
Currency translation adjustment	(198)
Balance as of December 31, 2018	26,834
In Vitro Diagnostics [Member]
Goodwill [Line Items]
Balance as of September 30, 2018	8,010
Balance as of December 31, 2018	8,010
Medical Device [Member]
Goodwill [Line Items]
Balance as of September 30, 2018	19,022
Currency translation adjustment	(198)
Balance as of December 31, 2018	$ 18,824

Accrued Liabilities - Schedule of Accrued Liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Accrued Liabilities Current [Abstract]
Accrued professional fees	$ 433	$ 311
Accrued clinical study expense	2,460	2,839
Accrued purchases	782	533
Customer claim	1,000	1,000
Construction in progress	33	1,199
Deferred rent	123	121
Other	222	262
Total	$ 5,053	$ 6,265

Stock-based Compensation - Stock-based Compensation Expenses (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 1,231	$ 903
Product costs [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	32	(6)
Research and development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	213	158
Selling, general and administrative [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 986	$ 751

Stock-based Compensation - Additional Information (Detail) - USD ($)	3 Months Ended		12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2016
Stock-Based Compensation Activity [Line Items]
Unrecognized compensation costs related to non-vested awards	$ 9,800,000
Weighted average period for recognition of compensation costs related to non-vested awards	2 years 8 months 12 days
Performance share awards fully expensed	$ 500,000
Weighted average per share fair value of stock options	$ 18.30	$ 10.57
Dividend yield	0.00%	0.00%
Vesting period			3 years	3 years	3 years
Stock compensation expenses recognized	$ 1,231,000	$ 903,000
Fiscal 2016 (2016 - 2018) [Member]
Stock-Based Compensation Activity [Line Items]
Performance period start year	2016
Performance period end year	2018
Fiscal 2017 (2017 - 2019) [Member]
Stock-Based Compensation Activity [Line Items]
Performance period start year	2017
Performance period end year	2019
Maximum [Member]
Stock-Based Compensation Activity [Line Items]
Total pre-tax intrinsic value of options exercised	$ 100,000	300,000
Nonqualified Stock Options [Member]
Stock-Based Compensation Activity [Line Items]
Stock compensation expenses recognized	$ 500,000	$ 400,000
Nonqualified Stock Options [Member] \| Employee [Member]
Stock-Based Compensation Activity [Line Items]
Vesting period	4 years
Nonqualified Stock Options [Member] \| Minimum [Member] \| Board of Director [Member]
Stock-Based Compensation Activity [Line Items]
Stock option expiration term upon expiration of employment or service	7 years
Nonqualified Stock Options [Member] \| Maximum [Member] \| Board of Director [Member]
Stock-Based Compensation Activity [Line Items]
Stock option expiration term upon expiration of employment or service	10 years
Stock option exercisable on a pro-rata basis	1 year
Restricted Stock Awards [Member]
Stock-Based Compensation Activity [Line Items]
Number of stock units awarded	42,248	57,635
Number of stock units forfeited	507	2,220
Number of stock units outstanding	94,624	85,424
Restricted stock expense	$ 400,000	$ 200,000
Restricted Stock Awards [Member] \| Minimum [Member]
Stock-Based Compensation Activity [Line Items]
Vesting period	1 year
Restricted Stock Awards [Member] \| Maximum [Member]
Stock-Based Compensation Activity [Line Items]
Vesting period	3 years
Performance Shares [Member]
Stock-Based Compensation Activity [Line Items]
Stock compensation expenses recognized	$ 200,000	200,000
Issuance of common stock, shares	76,396
Performance Shares [Member] \| Fiscal 2017 (2017 - 2019) [Member]
Stock-Based Compensation Activity [Line Items]
Fair value of performance shares for grants awarded				$ 1,200,000
Performance Shares [Member] \| Fiscal 2018 (2018 - 2020) [Member]
Stock-Based Compensation Activity [Line Items]
Fair value of performance shares for grants awarded			$ 0
Performance Shares [Member] \| Maximum [Member]
Stock-Based Compensation Activity [Line Items]
Issuance of common stock, shares	132,676
Employee Stock Purchase Plan [Member]
Stock-Based Compensation Activity [Line Items]
Annual compensation withheld, maximum limit	$ 25,000
Employee Stock Purchase Plan [Member] \| Maximum [Member]
Stock-Based Compensation Activity [Line Items]
Stock compensation expenses recognized	$ 100,000	100,000
Common stock authorized, shares	600,000
Annual compensation withheld	10.00%
Employee contributions	$ 100,000		$ 100,000
Restricted Stock Units (RSUs) [Member] \| 2009 Equity Incentive Plan [Member]
Stock-Based Compensation Activity [Line Items]
Stock compensation expenses recognized	$ 100,000	$ 100,000
Number of stock units awarded	6,206	5,626
Number of stock units outstanding	57,387		60,182
Deferred Stock Units [Member] \| 2009 Equity Incentive Plan [Member] \| Director [Member]
Stock-Based Compensation Activity [Line Items]
Stock compensation expenses recognized	$ 100,000	$ 100,000
Number of stock units awarded	751	500
Number of stock units outstanding	27,742		26,991
Deferred Stock Units [Member] \| Maximum [Member] \| 2009 Equity Incentive Plan [Member] \| Director [Member]
Stock-Based Compensation Activity [Line Items]
Number of stock units outstanding estimated fair value	$ 100,000	$ 100,000
Vesting Anniversary [Member] \| Nonqualified Stock Options [Member] \| Employee [Member]
Stock-Based Compensation Activity [Line Items]
Vesting percentage	25.00%
Performance Level [Member] \| Minimum [Member]
Stock-Based Compensation Activity [Line Items]
Vesting percentage	20.00%
Performance Level [Member] \| Maximum [Member]
Stock-Based Compensation Activity [Line Items]
Performance share awards, estimated vesting percentage	200.00%

Stock-based Compensation - Assumptions Used in Stock Option Plans (Detail)	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Risk-free interest rates	2.90%	2.00%
Expected life (years)	4 years 6 months	4 years 9 months 18 days
Expected volatility	33.20%	33.00%
Dividend yield	0.00%	0.00%

Stock-based Compensation - Schedule of Fair Value at the Date of Grant (Detail) - Fiscal 2017 (2017 - 2019) [Member]	3 Months Ended
	Dec. 31, 2018 shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Minimum Shares	9,352
Target Shares	46,758
Maximum Shares	93,516

Net Income (Loss) Per Share Data - Denominator for Computation of Basic and Diluted Net Income (Loss) Per Share (Detail) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Earnings Per Share [Abstract]
Net income (loss) available to common shareholders	$ 1,310	$ (1,556)
Basic weighted average shares outstanding	13,367	13,064
Dilutive effect of outstanding stock options, non-vested restricted stock, restricted stock units, deferred stock units and performance shares	460
Diluted weighted average shares outstanding	13,827	13,064

Net Income (Loss) Per Share Data - Additional Information (Detail)	Nov. 05, 2014 USD ($)
Accelerated Share Repurchase Program [Member]
Earnings Loss Per Share [Line Items]
Maximum payments for repurchase of common stock	$ 25,300,000

Income Taxes - Additional Information (Detail) - USD ($)	1 Months Ended	3 Months Ended			12 Months Ended
	Dec. 31, 2017	Dec. 31, 2018	Jun. 30, 2018	Dec. 31, 2017	Sep. 30, 2018
Income Tax Disclosure [Line Items]
Income tax (benefit) provision		$ (176,000)		$ 1,035,000
Discrete tax expense				$ 1,200,000
U.S. federal statutory tax rate	21.00%			35.00%	24.50%
Discrete tax benefit		500,000		$ 200,000
Unrecognized tax benefits excluding interest and penalties that would impact effective tax rate		1,700,000			$ 1,400,000
Undistributed earnings in foreign subsidiaries		$ 0			$ 0
IRS [Member]
Income Tax Disclosure [Line Items]
Income tax examination, year under examination			2016

Segment and Geographical Information - Additional Information (Detail)	3 Months Ended
	Dec. 31, 2018 Segment
Segment Reporting [Abstract]
Number of operating segments	2

Segment and Geographical Information - Segment Revenue, Operating Income (Loss) and Depreciation and Amortization (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Segment Reporting Information [Line Items]
Total revenue	$ 22,241	$ 17,013
Operating income (loss)	712	(633)
Depreciation and amortization	1,756	1,520
Operating Segments [Member]
Segment Reporting Information [Line Items]
Total revenue	22,241	17,013
Operating income (loss)	2,812	1,281
Operating Segments [Member] \| Medical Device [Member]
Segment Reporting Information [Line Items]
Total revenue	17,258	12,774
Operating income (loss)	357	(389)
Depreciation and amortization	1,388	1,272
Operating Segments [Member] \| In Vitro Diagnostics [Member]
Segment Reporting Information [Line Items]
Total revenue	4,983	4,239
Operating income (loss)	2,455	1,670
Depreciation and amortization	116	90
Corporate [Member]
Segment Reporting Information [Line Items]
Operating income (loss)	(2,100)	(1,914)
Depreciation and amortization	$ 252	$ 158

Commitments and Contingencies - Additional Information (Detail)	1 Months Ended	3 Months Ended			12 Months Ended	49 Months Ended
	Nov. 30, 2017 USD ($) ft²	Dec. 31, 2018 USD ($) € / $	Dec. 31, 2018 EUR (€)	Dec. 31, 2017 USD ($)	Sep. 30, 2018 USD ($)	Dec. 31, 2023 USD ($)
Commitments And Contingencies [Line Items]
License agreement commencement date		2006-03	2006-03
Annual minimum payments for licenses		$ 229,000	€ 200,000
Exchange rate relating to license payment \| € / $		1.1444
Future minimum payments associated with license		$ 2,100,000
Rent expense related to operating leases		100,000		$ 100,000
Other long-term liabilities		$ 5,712,000			$ 5,720,000
Eden Prairie Minnesota [Member]
Commitments And Contingencies [Line Items]
Square feet facility \| ft²	36,000
Operating lease agreement term	10 years
Operating lease agreement commencement date	2018-05
Amount deposited into restricted cash account	$ 400,000
Patents [Member]
Commitments And Contingencies [Line Items]
Patent expiry date		2027-09	2027-09
Intellectual Property [Member] \| Embolitech LLC [Member]
Commitments And Contingencies [Line Items]
Payments to acquire intellectual property assets		$ 5,000,000
Installment payment beginning period		2019-12	2019-12
Installment payment ending period		2023-12	2023-12
Contingent payments upon achievement of regulatory milestones		$ 2,000,000
Contingency period ending year		2033	2033
Other long-term liabilities		$ 3,000,000			2,900,000
Intellectual Property [Member] \| Embolitech LLC [Member] \| Scenario Forecast [Member]
Commitments And Contingencies [Line Items]
Estimated additional payment to acquire intellectual property assets						$ 3,500,000
Selling, general and administrative [Member]
Commitments And Contingencies [Line Items]
Claim accrual recorded in selling, general and other administrative expenses					1,000,000
Other Accrued Liabilities [Member]
Commitments And Contingencies [Line Items]
Claim accrual recorded in other accrued liabilities		$ 1,000,000			$ 1,000,000

Commitments and Contingencies - Summary of Annual Commitments Pursuant to Operating Lease Agreements (Detail) $ in Thousands	Dec. 31, 2018 USD ($)
Commitments And Contingencies Disclosure [Abstract]
Remainder of 2019	$ 337
2020	458
2021	396
2022	391
2023	399
2024	407
Thereafter	1,526
Total minimum lease payments	$ 3,914