Quarterly report pursuant to Section 13 or 15(d)

Note 1 - The Company and Basis of Presentation

v3.10.0.1
Note 1 - The Company and Basis of Presentation
9 Months Ended
Sep. 30, 2018
Notes to Financial Statements  
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]
1.
The Company and Basis of Presentation
 
Viveve Medical, Inc. (“Viveve Medical”, the “Company”, “we”, “our”, or “us”) competes in the women’s intimate health industry in some countries by marketing the Viveve System as a way to improve the overall well-being and quality of life of women suffering from vaginal introital laxity, for improved sexual function, or stress urinary incontinence, depending on the relevant country-specific clearance or approval.  In the United States, the Viveve System is currently indicated for use in general surgical procedures for electrocoagulation and hemostasis.
 
Public Offerings
 
On
February 12, 2018,
in connection with the closing of a public offering (the
“February 2018
Offering”), the Company issued an aggregate of
11,500,000
shares of common stock, including the shares issued in connection with the exercise of the underwriters’ overallotment option, at a public offering price of
$3.00
per share for gross proceeds of approximately
$34,500,000.
The net proceeds to the Company, after deducting underwriting discounts and commissions and other offering expenses, were approximately
$32,213,000.
 
 
The Company established an “at-the-market” equity offering program through the filing of a prospectus supplement to its shelf registration statement on Form S-
3,
which was filed on
November 8, 2017,
under which the Company
may
offer and sell, from time-to-time, up to
$25,000,000
aggregate offering price of shares of its common stock (the
“November 2017
ATM Facility”). During the
three
and
nine
months ended
September 30, 2018,
the Company sold
3,720
shares and
277,249
shares of common stock under the
November 2017
ATM Facility for net proceeds of approximately
$11,000
and
$1,194,000.
As of
September 30, 2018,
the Company has sold
336,498
shares of common stock under the
November 2017
ATM Facility for net proceeds of approximately
$1,318,000.
 
On
March 22, 2017,
in connection with the closing of a public offering (the
“March 2017
Offering”), the Company issued an aggregate of
8,625,000
shares of common stock, including the shares issued in connection with the exercise of the underwriters’ overallotment option, at a public offering price of
$4.00
per share for gross proceeds of approximately
$34,500,000.
The net proceeds to the Company, after the deduction of underwriting discounts, commissions and other offering expenses, were approximately
$31,440,000.
 
  
Interim Unaudited Financial Information
 
The accompanying unaudited condensed consolidated financial statements of Viveve Medical have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and pursuant to the instructions to Form
10
-Q and Article 
8
-
03
of Regulation S-
X.
Accordingly, they do
not
include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation of the condensed consolidated financial statements have been included.
 
The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Annual Report on Form
10
-K for the year ended
December 31, 2017,
which was filed with the Securities and Exchange Commission on
March 16, 2018.
The results of operations for the
three
and
nine
months ended
September 30, 2018
are
not
necessarily indicative of the results for the year ending
December 
31,
2018
or any future interim period.
    
Liquidity
 
We expect to continue to meet our operating cash flow requirements through the sales of our products and by raising additional capital from equity or debt financings. We expect that our cash will be sufficient to fund our activities for at least the next
six
months; however, we
may
require additional capital from equity or debt financings to fully implement our plan of operation. As of
September 30, 2018,
we had cash and cash equivalents of
$20,097,000
and working capital of
$23,578,000.
We have incurred net losses since our inception, and as of
September 30, 2018
have an accumulated deficit of approximately
$141,893,000.
We expect to continue to incur operating losses and negative cash flows from operations through the foreseeable future. In the future, we expect to require additional capital to fund our ongoing operations, respond to business opportunities, challenges, acquisitions or unforeseen circumstances and
may
decide to engage in equity or debt financings or enter into credit facilities; however, we
may
not
be able to timely secure additional equity or debt financing or raise additional capital in the public markets on favorable terms or at all. If we are unable to obtain adequate financing or financing on terms satisfactory to us, when we require it, our ability to continue to grow or support our business and to respond to business challenges could be significantly limited.