0000950170-23-002327 | 10-Q | XBRL Viewer

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Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Dec. 31, 2022	Feb. 01, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2022
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Trading Symbol	ONVO
Entity Registrant Name	Organovo Holdings, Inc.
Entity Central Index Key	0001497253
Current Fiscal Year End Date	--03-31
Entity Filer Category	Non-accelerated Filer
Entity Shell Company	false
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		8,714,590
Entity File Number	001-35996
Entity Current Reporting Status	Yes
Entity Tax Identification Number	27-1488943
Entity Address, Address Line One	11555 Sorrento Valley Rd
Entity Address, Address Line Two	Suite 100
Entity Address, City or Town	San Diego
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92121
City Area Code	858
Local Phone Number	224-1000
Entity Interactive Data Current	Yes
Title of 12(b) Security	Common Stock, $0.001 par value
Security Exchange Name	NASDAQ
Entity Incorporation, State or Country Code	DE
Document Quarterly Report	true
Document Transition Report	false

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2022	Mar. 31, 2022
Current Assets
Cash and cash equivalents	$ 20,196	$ 28,675
Accounts receivable	76	0
Investment in equity securities	554	0
Prepaid expenses and other current assets	788	858
Total current assets	21,614	29,533
Fixed assets, net	742	662
Restricted cash	143	143
Operating lease right-of-use assets	1,803	2,153
Prepaid expenses and other assets, net	777	805
Total assets	25,079	33,296
Current Liabilities
Accounts payable	242	415
Accrued expenses	646	489
Operating lease liability, current portion	488	479
Total current liabilities	1,376	1,383
Operating lease liability, net of current portion	1,414	1,704
Total liabilities	2,790	3,087
Stockholders’ Equity
Common stock, $0.001 par value; 200,000,000 shares authorized, 8,714,590 and 8,710,627 shares issued and outstanding at December 31, 2022 and March 31, 2022, respectively	9	9
Additional paid-in capital	339,817	337,940
Accumulated deficit	(317,539)	(307,739)
Accumulated other comprehensive income	3	0
Treasury stock, 46 shares at cost	(1)	(1)
Total stockholders’ equity	22,289	30,209
Total Liabilities and Stockholders’ Equity	$ 25,079	$ 33,296

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2022	Mar. 31, 2022
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	8,714,590	8,710,627
Common stock, shares outstanding	8,714,590	8,710,627
Treasury stock, shares	46	46

Unaudited Condensed Consolidated Statements of Operations and Other Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
Revenues
Total Revenues	$ 131	$ 0	$ 208	$ 0
Revenue From Contract With Customer Product And Service [Extensible List]	us-gaap:RoyaltyMember	us-gaap:RoyaltyMember	us-gaap:RoyaltyMember	us-gaap:RoyaltyMember
Research and development expenses	$ 1,185	$ 926	$ 3,436	$ 2,185
Selling, general and administrative expenses	2,305	2,574	6,724	7,381
Total costs and expenses	3,490	3,500	10,160	9,566
Loss from Operations	(3,359)	(3,500)	(9,952)	(9,566)
Other Income (Expense)
Loss on investment in equity securities	(48)	0	(123)	0
Interest income	143	2	277	6
Other income	0	0	0	25
Total Other Income	95	2	154	31
Income Tax Expense	0	(2)	(2)	(2)
Net Loss	(3,264)	(3,500)	(9,800)	(9,537)
Other comprehensive loss:
Unrealized gain on available-for-sale debt securities	3	0	3	0
Comprehensive loss	$ (3,261)	$ (3,500)	$ (9,797)	$ (9,537)
Net loss per common share basic	$ (0.37)	$ (0.40)	$ (1.13)	$ (1.10)
Net loss per common share diluted	$ (0.37)	$ (0.40)	$ (1.13)	$ (1.10)
Weighted average shares used in computing net loss per common share basic	8,713,617	8,705,503	8,712,294	8,702,959
Weighted average shares used in computing net loss per common share diluted	8,713,617	8,705,503	8,712,294	8,702,959

Unaudited Condensed Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Income [Member]
Beginning balance at Mar. 31, 2021	$ 39,196,000	$ 9,000	$ 335,479,000	$ (1,000)	$ (296,291,000)	$ 0
Beginning balance, Shares at Mar. 31, 2021		8,671		0
Issuance of common stock from public offering, net	251,000	$ 0	251,000	$ 0	0	0
Issuance of common stock from public offering, Shares		27
Stock-based compensation expense	415,000	$ 0	415,000	0	0	0
Net loss	(2,532,000)	0	0	0	(2,532,000)	0
Ending balance at Jun. 30, 2021	37,330,000	$ 9,000	336,145,000	$ (1,000)	(298,823,000)	0
Ending balance, Shares at Jun. 30, 2021		8,698		0
Beginning balance at Mar. 31, 2021	39,196,000	$ 9,000	335,479,000	$ (1,000)	(296,291,000)	0
Beginning balance, Shares at Mar. 31, 2021		8,671		0
Net loss	(9,537,000)
Ending balance at Dec. 31, 2021	31,293,000	$ 9,000	337,113,000	$ (1,000)	(305,828,000)	0
Ending balance, Shares at Dec. 31, 2021		8,705		0
Beginning balance at Jun. 30, 2021	37,330,000	$ 9,000	336,145,000	$ (1,000)	(298,823,000)	0
Beginning balance, Shares at Jun. 30, 2021		8,698		0
Issuance of common stock under employee and director stock option, RSU, and purchase plans	(45,000)	$ 0	(45,000)	$ 0	0	0
Issuance of common stock under employee and director stock option, restricted stock units, and purchase plans, Shares		7
Stock-based compensation expense	426,000	$ 0	426,000	0	0	0
Net loss	(3,505,000)	0	0	0	(3,505,000)	0
Ending balance at Sep. 30, 2021	34,206,000	$ 9,000	336,526,000	$ (1,000)	(302,328,000)	0
Ending balance, Shares at Sep. 30, 2021		8,705		0
Issuance of common stock under employee and director stock option, RSU, and purchase plans	(1,000)	$ 0	(1,000)	$ 0	0	0
Issuance of common stock under employee and director stock option, restricted stock units, and purchase plans, Shares		0
Stock-based compensation expense	588,000	$ 0	588,000	0	0	0
Net loss	(3,500,000)	0	0	0	(3,500,000)	0
Ending balance at Dec. 31, 2021	31,293,000	$ 9,000	337,113,000	$ (1,000)	(305,828,000)	0
Ending balance, Shares at Dec. 31, 2021		8,705		0
Beginning balance at Mar. 31, 2022	30,209,000	$ 9,000	337,940,000	$ (1,000)	(307,739,000)	0
Beginning balance, Shares at Mar. 31, 2022		8,711		0
Issuance of common stock under employee and director stock option, RSU, and purchase plans	0	$ 0	0	$ 0	0	0
Issuance of common stock under employee and director stock option, restricted stock units, and purchase plans, Shares		1
Stock-based compensation expense	660,000	$ 0	660,000	0	0	0
Net loss	(3,215,000)	0	0	0	(3,215,000)	0
Ending balance at Jun. 30, 2022	27,654,000	$ 9,000	338,600,000	$ (1,000)	(310,954,000)	0
Ending balance, Shares at Jun. 30, 2022		8,712		0
Beginning balance at Mar. 31, 2022	30,209,000	$ 9,000	337,940,000	$ (1,000)	(307,739,000)	0
Beginning balance, Shares at Mar. 31, 2022		8,711		0
Net loss	(9,800,000)
Ending balance at Dec. 31, 2022	22,289,000	$ 9,000	339,817,000	$ (1,000)	(317,539,000)	3,000
Ending balance, Shares at Dec. 31, 2022		8,714		0
Beginning balance at Jun. 30, 2022	27,654,000	$ 9,000	338,600,000	$ (1,000)	(310,954,000)	0
Beginning balance, Shares at Jun. 30, 2022		8,712		0
Issuance of common stock under employee and director stock option, RSU, and purchase plans	0	$ 0	0	$ 0	0	0
Issuance of common stock under employee and director stock option, restricted stock units, and purchase plans, Shares		1
Stock-based compensation expense	673,000	$ 0	673,000	0	0	0
Net loss	(3,321,000)	0	0	0	(3,321,000)	0
Ending balance at Sep. 30, 2022	$ 25,006,000	$ 9,000	339,273,000	$ (1,000)	(314,275,000)	0
Ending balance, Shares at Sep. 30, 2022		8,713		0
Issuance of common stock under employee and director stock option, RSU, and purchase plans		$ 0	0	$ 0	0	0
Issuance of common stock under employee and director stock option, restricted stock units, and purchase plans, Shares	0	1		0
Stock-based compensation expense	$ 544,000	$ 0	544,000	$ 0	0	0
Net loss	(3,264,000)	$ 0	0	0	(3,264,000)	0
Unrealized gain on available-for-sale debt securities	3,000		0	0	0	3,000
Unrealized gain on available-for-sale debt securities, Shares		0
Ending balance at Dec. 31, 2022	$ 22,289,000	$ 9,000	$ 339,817,000	$ (1,000)	$ (317,539,000)	$ 3,000
Ending balance, Shares at Dec. 31, 2022		8,714		0

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
Cash Flows From Operating Activities
Net loss	$ (3,264)	$ (3,500)	$ (9,800)	$ (9,537)
Adjustments to reconcile net loss to net cash used in operating activities:
Loss on investment in equity securities	48	0	123	0
Accretion on investments			(104)	0
Depreciation and amortization			234	96
Stock-based compensation	544	588	1,877	1,429
Increase (decrease) in cash resulting from changes in:
Accounts receivable			(76)	0
Prepaid expenses and other assets			18	288
Accounts payable			(173)	324
Accrued expenses			157	486
Operating lease right-of-use assets and liabilities, net			69	2
Net cash used in operating activities			(7,675)	(6,912)
Cash Flows From Investing Activities
Purchases of fixed assets			(234)	(356)
Purchases of investments			(9,893)	0
Maturities of investments			10,000	0
Purchases of equity securities			(1,061)	0
Sales of equity securities			384	0
Net cash used in investing activities			(804)	(356)
Cash Flows From Financing Activities
Proceeds from issuance of common stock, net			0	251
Employee taxes paid related to net share settlement of equity awards			0	(46)
Net cash provided by financing activities			0	205
Net decrease in cash, cash equivalents, and restricted cash			(8,479)	(7,063)
Cash, cash equivalents, and restricted cash at beginning of period			28,818	37,475
Cash, cash equivalents, and restricted cash at end of period	20,339	30,412	20,339	30,412
Reconciliation of cash, cash equivalents, and restricted cash to the condensed consolidated balance sheets
Cash and cash equivalents	20,196	30,269	20,196	30,269
Restricted cash	143	143	143	143
Cash, cash equivalents, and restricted cash at end of period	$ 20,339	$ 30,412	20,339	30,412
Supplemental Disclosure of Cash Flow Information:
Income taxes paid			$ (2)	$ (2)

Description of Business

9 Months Ended

Dec. 31, 2022

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Description of Business

Note 1. Description of Business

Nature of Operations

Organovo Holdings, Inc. (“Organovo Holdings,” “Organovo,” and the “Company”) is an early-stage biotechnology company that focuses on building high fidelity, 3D tissues that recapitulate key aspects of human disease. The Company uses these models to identify gene targets responsible for driving the disease and intends to initiate drug discovery programs around these validated targets. The Company is initially focusing on the intestine and has ongoing 3D tissue development efforts in ulcerative colitis (“UC”) and Crohn’s disease (“CD”). Recently, the Company announced that it has successfully advanced its first inflammatory bowel disease (“IBD”) model to the next step of target discovery and validation for CD. The Company intends to add additional tissues/diseases/targets to its portfolio over time. In line with these plans, the Company is building upon both its external and in house scientific expertise, which will be essential to its drug development effort.

The Company uses its proprietary technology to build functional 3D human tissues that mimic key aspects of native human tissue composition, architecture, function and disease. Organovo’s advances include cell type-specific compartments, prevalent intercellular tight junctions, and the formation of microvascular structures. Management believes these attributes can enable critical complex, multicellular disease models that can be used to develop clinically effective drugs across multiple therapeutic areas.

The Company’s NovoGen Bioprinters® are automated devices that enable the fabrication of 3D living tissues comprised of mammalian cells. The Company believes that the use of its bioprinting platform as well as complementary 3D technologies will allow it to develop an understanding of disease biology that leads to validated novel drug targets and therapeutics to those targets to treat disease.

The majority of the Company’s current focus is in IBD, including CD and UC. The Company is creating high fidelity disease models, leveraging its prior work including the work found in its peer-reviewed publication on bioprinted intestinal tissues (Madden et al. Bioprinted 3D Primary Human Intestinal Tissues Model Aspects of Native Physiology and ADME/Tox Functions. iScience. 2018 Apr 27;2:156-167. doi: 10.1016/j.isci.2018.03.015.) The Company’s current understanding of intestinal tissue models and IBD disease models leads it to believe that it can create models that provide greater insight into the biology of these diseases than are generally currently available. Using these disease models, the Company has identified and validated novel therapeutic targets and is actively focused on developing novel small molecule, antibody, or other therapeutic drug candidates to treat the disease, and advance these novel drug candidates towards an Investigational New Drug (“IND”) filing and potential future clinical trials.

The Company expects to broaden its work into additional therapeutic areas over time and is currently exploring specific tissues for development. In the Company’s work to identify the areas of interest, it evaluates areas that might be better served with 3D disease models than currently available models as well as the potential commercial opportunity.

Except where specifically noted or the context otherwise requires, references to “Organovo Holdings”, “the Company”, and “Organovo” in these notes to the unaudited condensed consolidated financial statements refers to Organovo Holdings, Inc. and its wholly owned subsidiaries, Organovo, Inc., and Opal Merger Sub, Inc.

COVID-19

Global health concerns relating to the COVID-19 pandemic continue to weigh on the macroeconomic environment, and the pandemic has significantly increased economic volatility and uncertainty.

The extent to which the coronavirus impacts the Company’s operations will depend on future developments, which are highly uncertain and cannot be predicted with confidence, including the rise of vaccine-resistant variants, the duration of the outbreak, and any travel bans and restrictions or other limitations that may be imposed in the future. In particular, the continued coronavirus pandemic could adversely impact various aspects of the Company’s operations, including among others, the ability to raise additional capital, the timing and ability to pursue the Company’s strategy, given the impact the pandemic may have on the manufacturing and supply chain, sales and marketing and clinical trial operations of potential strategic partners, and the ability to advance its research and development activities and pursue development of its pipeline products, each of which could have an adverse impact on the Company’s business and financial results. Company employees and consultants have returned to working at the office and lab when necessary. The Company has developed guidelines and protocols to handle exposures and infections to keep disruptions to operations to a minimum.

Summary of Significant Accounting Policies

9 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Note 2. Summary of Significant Accounting Policies

Basis of Presentation and Principles of Consolidation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not necessarily include all information and notes required by GAAP for complete financial statements. The condensed consolidated balance sheet at March 31, 2022 is derived from the Company’s audited consolidated balance sheet at that date.

The unaudited condensed consolidated financial statements include the accounts of Organovo and its wholly owned subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation. In the opinion of management, the unaudited financial information for the interim periods presented reflects all adjustments, which are only normal and recurring, necessary for a fair statement of the Company’s financial position, results of operations, stockholders’ equity and cash flows. These unaudited condensed consolidated financial statements should be read in conjunction with the audited financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended March 31, 2022, as filed with the Securities and Exchange Commission (“SEC”). Operating results for any interim period are not necessarily indicative of the operating results for any other interim period or the Company’s full fiscal year ending March 31, 2023 (see “Note 1. Description of Business”).

Liquidity

As of December 31, 2022, the Company had cash and cash equivalents of approximately $20.2 million, restricted cash of approximately $0.1 million and an accumulated deficit of approximately $317.5 million. The restricted cash was pledged as collateral for a letter of credit that the Company is required to maintain as a security deposit under the terms of the lease agreement for its facilities. The Company also had negative cash flows from operations of approximately $7.7 million during the nine months ended December 31, 2022.

Through December 31, 2022, the Company has financed its operations primarily through the sale of convertible notes, warrants, the private placement of equity securities, the sale of common stock through public and at-the-market (“ATM”) offerings, and through revenue derived from product and research service-based agreements, collaborative agreements, licenses, and grants. During the three and nine months ended December 31, 2022, the Company issued zero shares of its common stock through its ATM facility.

The Company believes its cash and cash equivalents on hand will be sufficient to meet its financial obligations for at least the next 12 months of operations. As the Company continues to focus its efforts on drug discovery and development, it will need to raise additional capital to implement this business plan. The Company cannot predict with certainty the exact amount or timing for any future capital raises. If required, the Company may seek to raise additional capital through debt or equity financings, or through some other financing arrangement. However, the Company cannot be sure that additional financing will be available if and when needed, or that, if available, it can obtain financing on terms favorable to its stockholders. Any failure to obtain financing when required will have a material adverse effect on the Company’s business, operating results, financial condition and ability to continue as a going concern.

Use of Estimates

The preparation of the financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Significant estimates used in preparing the unaudited condensed consolidated financial statements include those assumed in revenue recognition and the valuation of stock-based compensation expense. On an ongoing basis, management reviews these estimates and assumptions. Though the impact of the COVID-19 pandemic to its business and operating results presents additional uncertainty, the Company continues to use the best information available to inform its significant accounting estimates.

Investments

Investments consist of investments in debt securities, specifically in U.S. Treasury bills. Any investments that have original maturities of three months or less are classified as cash equivalents on the Condensed Consolidated Balance Sheets. Prior to December 31, 2022, the Company classified all investments as held-to-maturity. All investments previously classified as held-to-maturity matured prior to December 31, 2022. As of December 31, 2022, all investments are classified as available-for-sale, as the sale of such investments may be required prior to maturity to implement management strategies. Available-for-sale debt securities are recorded at fair value. Any unrealized gains and losses are included in accumulated other comprehensive income as a component of stockholders' equity until realized. As U.S. Treasury bills are risk-free, any declines in fair value are considered temporary.

Investments in equity securities consist of investments in the common stock of entities traded in active markets. The Company does not have the ability to exercise significant influence over any entities. Therefore, initial investments are recorded at cost, and are remeasured at fair value as of the balance sheet date. Any gains or losses resulting from the change in fair value are recorded in net income. The investments in equity securities are classified as current assets.

Fair value measurement

Financial assets and liabilities are measured at fair value, which is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The following is a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value:

•

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

•

Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices 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 assets or liabilities.

•

Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

As of December 31, 2022, the Company held investments in 3-month U.S. Treasury bills, which are all considered cash equivalents. These investments are classified as available-for-sale and recorded at fair value. Please refer to "Note 3. Investments” for further information. As the investments consist of U.S. Treasury bills from active markets, the fair value is measured using level 1 inputs.

The following table summarizes the Company's investments that are measured at fair value as of December 31, 2022 (in thousands):

Fair Value Measurements Using Quoted Prices in Active Markets (Level 1)


	Amortized costs basis		Gross unrealized gains		Gross unrealized losses		Fair value
As of December 31, 2022
Available-for-sale debt securities	$	9,951	$	3	$	—	$	9,954
Total investments (included in cash and cash equivalents)	$	9,951	$	3	$	—	$	9,954

As of December 31, 2022, the Company held investments in equity securities. As the investments in equity securities consist of common stock from active markets, the fair value is measured using level 1 inputs.

The following table presents the activity for investments in equity securities measured at fair value for the nine months ended December 31, 2022 (in thousands):

Fair Value Measurements Using Quoted Prices in Active Markets (Level 1)


	Investment in Equity Securities (in thousands)
Balance at March 31, 2022	$	—
Purchases at cost		1,061
Sales		(384	)
Loss on investment in equity securities		(123	)
Balance at December 31, 2022	$	554

Net Loss Per Share

Basic and diluted net loss per share has been computed using the weighted-average number of shares of common stock outstanding during the period. The weighted-average number of shares used to compute diluted loss per share excludes any assumed exercise of stock options, shares reserved for purchase under the Company’s 2016 Employee Stock Purchase Plan (“ESPP”), the assumed vesting of restricted stock units (“RSUs”), and shares subject to repurchase as the effect would be anti-dilutive. No dilutive effect was calculated for the three and nine months ended December 31, 2022 and 2021 as the Company reported a net loss for each respective period and the effect would have been anti-dilutive.

Common stock equivalents excluded from computing diluted net loss per share due to their anti-dilutive effect were approximately 1.5 million at December 31, 2022 and 1.1 million at December 31, 2021.

Revenue recognition

The Company generates revenues from the licensing of intellectual property.

Licenses

The Company has entered into a license agreement with a company that includes the following: (i) non-refundable upfront fees and (ii) royalties based on specified percentages of net product sales, if any. At the initiation of the agreement, the Company has analyzed whether it results in a contract with a customer under Topic 606.

The Company has considered a variety of factors in determining the appropriate estimates and assumptions under these arrangements, such as whether the Company is a principal vs. agent, whether the elements are distinct performance obligations, whether there are determinable stand-alone prices, and whether any licenses are functional or symbolic. The Company has evaluated each performance obligation to determine if it can be satisfied and recognized as revenue at a point in time or over time. Typically, non-refundable upfront fees have been considered fixed, while sales-based royalty payments have been identified as variable consideration which must be evaluated to determine if it has been constrained and, therefore, excluded from the transaction price. Please refer to “Note 5: Collaborative Research, Development, and License Agreements” for further information.

Recent Accounting Pronouncements

From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) or other standard setting bodies. Unless otherwise stated, the Company believes that the impact of the recently issued accounting pronouncements that are not yet effective will not have a material impact on its consolidated financial position or results of operations upon adoption.

Investments

9 Months Ended

Dec. 31, 2022

Investments All Other Investments [Abstract]

Investments

Note 3. Investments

Investments consist of investments in debt securities, specifically in U.S. Treasury bills. There were less than $0.1 million of unrealized gains recorded on investments for the three and nine months ended December 31, 2022. As of December 31, 2022, the Company held $10.0 million of investments in 3-month treasury bills (which are included in the $20.2 million of cash and cash equivalents). For the three and nine months ended December 31, 2022, there was less than $0.1 million and $0.2 million of interest income related to the investments, respectively.

Investments in equity securities consist of investments in the common stock of an entity traded in active markets. For the nine months ended December 31, 2022, there was $1.1 million of equity securities purchased, and $0.4 million of equity securities sold. As of December 31, 2022, the fair value of investment in equity securities was $0.6 million, resulting in a $0.1 million unrealized loss on investment in equity securities.

Stockholders' Equity

9 Months Ended

Dec. 31, 2022

Equity [Abstract]

Stockholders' Equity

Note 4. Stockholders’ Equity

Stock-based Compensation Expense and Valuation Information

Stock-based awards include stock options and RSUs under the Company’s 2022 Equity Incentive Plan ("2022 Plan"), Amended and Restated 2012 Equity Incentive Plan (“2012 Plan”), inducement awards, performance-based RSUs under an Incentive Award Performance-Based Restricted Stock Unit Agreement, the Company’s 2021 Inducement Equity Incentive Plan (“Inducement Plan”), and rights to purchase stock under the ESPP. The Company calculates the grant date fair value of all stock-based awards in determining the stock-based compensation expense.

Stock-based compensation expense for all stock-based awards consists of the following (in thousands):


	Three Months Ended		Three Months Ended		Nine Months Ended		Nine Months Ended
	December 31, 2022		December 31, 2021		December 31, 2022		December 31, 2021
Research and development	$	117	$	111	$	363	$	267
General and administrative	$	427	$	477	$	1,514	$	1,162
Total	$	544	$	588	$	1,877	$	1,429

The total unrecognized compensation cost related to unvested stock option grants as of December 31, 2022 was approximately $2.9 million and the weighted average period over which these grants are expected to vest is 2.16 years.

The total unrecognized compensation cost related to unvested RSUs (not including performance-based RSUs) as of December 31, 2022 was approximately $0.3 million, which will be recognized over a weighted average period of 1.41 years.

The Company uses either the Black-Scholes or Monte Carlo option-pricing models to calculate the fair value of stock options, depending on the complexity of the equity grants. Stock-based compensation expense is recognized over the vesting period using the straight-line method. The assumed dividend yield is based on the Company’s expectation of not paying dividends in the foreseeable future. The Company uses the Company-specific historical volatility rate as the indicator of expected volatility. The risk-free interest rate assumption is based on U.S. Treasury rates. The weighted average expected life of options was estimated using the average of the contractual term and the weighted average vesting term of the options. The measurement and classification of share-based payments to non-employees is consistent with the measurement and classification of share-based payments to employees. The fair value of stock options was estimated at the grant date using the following weighted average assumptions:


	Three Months Ended			Three Months Ended			Nine Months Ended			Nine Months Ended
	December 31, 2022			December 31, 2021			December 31, 2022			December 31, 2021
Dividend yield		—			—			—			—
Volatility		95.93	%		95.42	%		95.43	%		95.96	%
Risk-free interest rate		3.97	%		1.20	%		3.21	%		1.19	%
Expected life of options	6.00 years			5.69 years			6.00 years			5.70 years
Weighted average grant date fair value	$	1.23		$	5.20		$	1.96		$	5.23

The fair value of each RSU and performance-based RSU is recognized as stock-based compensation expense over the vesting term of the award. The fair value is based on the closing stock price on the date of the grant.

The Company uses the Black-Scholes valuation model to calculate the fair value of shares issued pursuant to the ESPP. Stock-based compensation expense is recognized over the purchase period using the straight-line method. The fair value of ESPP shares was estimated at the purchase period commencement date using the following assumptions:


	Three Months Ended			Three Months Ended			Nine Months Ended			Nine Months Ended
	December 31, 2022			December 31, 2021*			December 31, 2022			December 31, 2021*
Dividend yield		—			—			—			—
Volatility		0.00	%		0.00	%		86.58	%		0.00	%
Risk-free interest rate		0.00	%		0.00	%		3.34	%		0.00	%
Expected term		—			—		6 months				—
Grant date fair value	$	—		$	—		$	0.82		$	—

*There were no participants in the ESPP for the purchase periods beginning March 1, 2021 or September 1, 2021.

The assumed dividend yield is based on the Company’s expectation of not paying dividends in the foreseeable future. The Company uses the Company-specific historical volatility rate as the indicator of expected volatility. The risk-free interest rate assumption is based on U.S. Treasury rates. The expected life is the 6-month purchase period. There was one participant in the ESPP for the current purchase period (beginning September 1, 2022).

Preferred Stock

The Company is authorized to issue 25,000,000 shares of preferred stock. There are no shares of preferred stock currently outstanding, and the Company has no current plans to issue shares of preferred stock.

Common Stock

In March 2021, the Company's Board of Directors ("Board") approved the Inducement Plan. The Inducement Plan authorized the issuance of up to 750,000 shares of common stock for awards of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, RSUs, performance units, performance shares, and other stock or cash awards.

On October 12, 2022, the Company's stockholders and the Board approved the 2022 Plan, and it became effective on that date. The 2022 Plan replaced the 2012 Plan on the effective date. Upon the effective date, the Company ceased granting awards under the 2012 Plan and any shares remaining available for future issuance under the 2012 Plan were cancelled and are no longer available for future issuance. The 2012 Plan continues to govern awards previously granted under it. At the time the Board approved the 2022 Plan, an aggregate of 1,363,000 shares of the Company’s common stock was initially reserved for issuance under the 2022 Plan. The Company committed to reducing the new 2022 Plan share reserve by the number of shares that were granted under the 2012 Plan and the Inducement Plan between July 25, 2022 and October 12, 2022. From July 25, 2022 to October 12, 2022, the Company issued 126,262 shares of its common stock under the 2012 Plan. As a result, the number of shares reserved for future issuance under the 2022 Plan is 1,236,738 shares of common stock. The Company also committed to reducing the aggregate number of shares of its common stock issuable pursuant to the Inducement Plan from 750,000 shares to 51,000 shares (which includes 50,000 shares of its common stock issuable pursuant to an outstanding option to purchase common stock with an exercise price of $2.75 per share, leaving only 1,000 shares available for future issuance under the Inducement Plan) and the share reserve was reduced effective October 12, 2022.

The Company previously had an effective shelf registration statement on Form S-3 (File No. 333-222929) and the related prospectus previously declared effective by the SEC on February 22, 2018 (the “2018 Shelf”), which registered $100.0 million of common stock, preferred stock, warrants and units, or any combination of the foregoing, that was set to expire on February 22, 2021. On January 19, 2021, the Company filed a shelf registration statement on Form S-3 (File No. 333-252224) to register $150.0 million of the Company’s common stock, preferred stock, debt securities, warrants and units, or any combination of the foregoing (the “2021 Shelf”) and a related prospectus. The 2021 Shelf was declared effective by the SEC on January 29, 2021 and replaced the 2018 Shelf at that time.

On March 16, 2018, the Company entered into a Sales Agreement (“Sales Agreement”) with H.C. Wainwright & Co., LLC and Jones Trading Institutional Services LLC (each an “Agent” and together, the “Agents”). On January 29, 2021, the Company filed a prospectus supplement to the 2021 Shelf (the “ATM Prospectus Supplement”), pursuant to which the Company may offer and sell, from time to time through the Agents, shares of its common stock in ATM sales transactions having an aggregate offering price of up to $50.0 million. Any shares offered and sold will be issued pursuant to the 2021 Shelf. During the three and nine months ended December 31, 2022, the Company issued zero shares of common stock in ATM offerings under the ATM Prospectus Supplement. As of December 31, 2022, the Company has sold an aggregate of 1,580,862 shares of common stock in ATM offerings under the ATM Prospectus Supplement, with gross proceeds of approximately $21.7 million. As of December 31, 2022, there was approximately $100.0 million available for future offerings under the 2021 Shelf (excluding amounts available but not yet issued under the ATM Prospectus Supplement), and approximately $28.3 million available for future offerings through the Company’s ATM program under the ATM Prospectus Supplement.

RSUs

The following table summarizes the Company’s RSUs (not including performance-based RSUs) activity from March 31, 2022 through December 31, 2022:


	Number of Shares			Weighted Average Price
Unvested at March 31, 2022		15,500		$	10.58
Granted		117,642		$	1.53
Vested		(4,084	)	$	11.06
Cancelled / forfeited		—		$	—
Unvested at December 31, 2022		129,058		$	2.32

Stock Options

During the three and nine months ended December 31, 2022, under both the 2022 Plan and 2012 Plan, 9,553 and 209,474 stock options were granted at various exercise prices, respectively.

On October 7, 2021, the Company granted 30,000 and 7,500 stock options, respectively, to its Executive Chairman and its Chief Scientific Officer under the 2012 Plan. These stock options have unique vesting criteria based on specific Company performance conditions. The vesting criteria relates to the Company closing a seven-figure cash up front deal with a major pharmaceutical company. As of December 31, 2022, management estimated there was a 0% probability of achievement, and therefore no expense has been recorded to date.

The following table summarizes the Company’s stock option activity from March 31, 2022 to December 31, 2022:


	Options Outstanding			Weighted Average Exercise Price		Aggregate Intrinsic Value
Outstanding at March 31, 2022		1,203,671		$	7.36	$	71,650
Options granted		209,474		$	2.51	$	—
Options cancelled / forfeited		(6,092	)	$	5.38	$	—
Options exercised		—		$	—	$	—
Outstanding at December 31, 2022		1,407,053		$	6.65	$	—
Vested and Exercisable at December 31, 2022		487,477		$	7.28	$	—

The weighted average remaining contractual term of stock options exercisable and outstanding at December 31, 2022 was approximately 8.17 years.

Employee Stock Purchase Plan

In June 2016, the Board adopted, and in August 2016, the Company’s stockholders subsequently approved, the ESPP. The Company reserved 75,000 shares of common stock for issuance thereunder. The ESPP permits employees after five months of service to purchase common stock through payroll deductions, limited to 15 percent of each employee’s compensation up to $25,000 per employee per year or 500 shares per employee per six-month purchase period. Shares under the ESPP are purchased at 85 percent of the fair market value at the lower of (i) the closing price on the first trading day of the six-month purchase period or (ii) the closing price on the last trading day of the six-month purchase period. The initial offering period commenced in September 2016. At December 31, 2022, there were 59,435 shares available for purchase under the ESPP.

Common Stock Reserved for Future Issuance

Common stock reserved for future issuance consisted of the following at December 31, 2022:


Common stock issuable pursuant to options outstanding and reserved under the 2012 Plan			1,347,500
Common stock reserved under the 2012 Plan			—
Common stock issuable pursuant to options outstanding and reserved under the 2022 Plan			9,553
Common stock reserved under the 2022 Plan			1,115,635
Common stock reserved under the ESPP			59,435
Common stock reserved under the 2021 Inducement Equity Plan			1,000
Common stock issuable pursuant to restricted stock units outstanding under the 2012 Plan			11,416
Common stock issuable pursuant to restricted stock units outstanding under the 2022 Plan			117,642
Common stock issuable pursuant to options outstanding and reserved under the Inducement Plan			50,000
Total at December 31, 2022			2,712,181

Collaborative Research, Development, and License Agreements

9 Months Ended

Dec. 31, 2022

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Collaborative Research, Development, and License Agreements

Note 5. Collaborative Research, Development, and License Agreements

License Agreements

From June 2021 to February 2022, certain patents owned or sublicensed by the Company became the subject of IPR proceedings filed by Cellink AB and its subsidiaries, MatTek Incorporated and Visikol, Inc. (collectively, “BICO Group AB”). The Company and BICO Group AB were also engaged in litigation regarding patent infringement during the same time period. On February 22, 2022, the Company and BICO Group AB signed a settlement and patent license agreement (“License Agreement”) to close all matters noted above. In addition to closing all legal matters and patent disputes noted above, as part of the agreement, the Company agreed to grant a non-exclusive license to BICO Group AB to use the Company’s aforementioned patents for its business operations of manufacturing and selling bioprinters as well as bioinks. The Company concluded that the nature of the license granted represents functional intellectual property.

As part of the License Agreement, BICO Group AB agreed to pay the Company a one-time, nonrefundable upfront fee of $1,500,000. Based on Topic 606, the Company concluded that the performance obligation related to this upfront fee consisted of the Company filing stipulations of dismissal of all legal matters noted above, as well as the Company granting the non-exclusive license of the aforementioned patents within five days of receiving the upfront payment. The conditions of the performance obligation were satisfied, and therefore the Company recognized revenue of $1,500,000 on February 22, 2022, the executed date of the License Agreement.

Additionally, as part of the License Agreement, BICO Group AB agreed to pay the Company ongoing sales-based royalties (based on percentages of BICO Group AB’s net sales) for the use of the granted license. The sales-based royalties became effective beginning on February 22, 2022, the effective date of the License Agreement, and continue until the expiration of the last surviving licensed patent. As the sales-based royalties are required to be paid 45 days after the end of every quarter, there is variable consideration that must be estimated to determine royalty revenue within a given reporting period. For the three months ended December 31, 2022, the Company recorded $131,000 of royalty revenue based on sales-based royalties from the License Agreement. This recognized revenue is related to sales-based royalties earned from July 1, 2022 through December 31, 2022. In previous quarters, the Company recognized sales-based royalties on a one quarter lag due to constraints on the estimates of variable consideration. As of the current quarter, the Company began to estimate sales-based royalties earned during the quarter. Of the $131,000 royalty revenue recognized for the three months ended December 31, 2022, $61,000 relates to sales-based royalties earned from October 1, 2022 through December 31, 2022. For the nine months ended December 31, 2022, the Company recorded $208,000 royalty revenue based on sales-based royalties from the License Agreement. This recognized revenue is related to sales-based royalties earned from February 22, 2022 through December 31, 2022.

Also as part of the License Agreement, certain patents involved in the agreement are sublicensed by the Company from the University of Missouri and Clemson University. See below for further information.

University of Missouri

In March 2009, the Company entered into a license agreement with the Curators of the University of Missouri to in-license certain technology and intellectual property relating to self-assembling cell aggregates and to intermediate cellular units. The Company received the exclusive worldwide rights to commercialize products comprising this technology for all fields of use. The Company is required to pay the University of Missouri royalties ranging from 1% to 3% of net sales of covered tissue products, and of the fair market value of covered tissues transferred internally for use in the Company’s commercial service business, depending on the level of net sales achieved by the Company each year. The Company paid minimum annual royalties of $25,000 in January 2022 and January 2021 for their respective calendar years, which is credited against royalties due during the subsequent twelve months. No payments have been made in excess of the minimum annual royalties in the years ended March 31, 2022 and 2021.

The license agreement with the University of Missouri also includes an additional sales royalty of 3% of all revenue received from a sublicensee, when such sublicense is entered pursuant to settlement of litigation. Such revenue shall include, but not be limited to, all option fees, license issue fees (up-front payments), license maintenance fees, equity, and all royalty payments. Such revenue shall not include research funding provided to licensee by sublicensee. However, per the agreement, in the event that the Company defends the technology by litigation, it can offset any royalties due by legal expenses incurred. As of December 31, 2022, the Company’s legal expenses exceeded royalties owed from the upfront payment and sales-based royalties related to the License Agreement. Therefore, no royalty expense to the University of Missouri was recorded for the nine months ended December 31, 2022. No royalty expense related to sales-based royalties has been recorded to date.

On December 5, 2022, the Company amended the license agreement with the University of Missouri, whereas the Company agreed to pay a single, up-front payment of $50,000 to the University of Missouri in exchange for the aforementioned licensed intellectual property to be fully paid up by the Company. As a result, the Company will continue to have rights to the licensed intellectual property until its expiration, but will no longer owe minimum annual royalty payments, royalty payments based on net sales, or any other payments (other than patent annuities and any prosecution costs) in the future.

Clemson University

In May 2011, the Company entered into a license agreement with Clemson University Research Foundation to in-license certain technology and intellectual property relating to ink-jet printing of viable cells. The Company received the exclusive worldwide rights to commercialize products comprising this technology for all fields of use. The Company is required to pay the university royalties ranging from 1.5% to 3% of net sales of covered tissue products and the fair market value of covered tissues transferred internally for use in the Company’s commercial service business, depending on the level of net sales reached each year. The license agreement terminates upon expiration of the patents licensed, which are expected to expire in May 2024, and is subject to certain conditions as defined in the license agreement. Minimum annual royalty payments of $20,000 were due for each of the two years beginning with calendar 2014, and $40,000 per year beginning with calendar 2016. Royalty payments of $40,000 were made in each of the years ended March 31, 2022 and 2021. The annual minimum royalty is creditable against royalties owed during the same calendar year.

In addition to the annual royalties noted above, the University is owed 40% of all payments including but not limited to, upfront payments, license fees, issue fees, maintenance fees, and milestone payments received from third parties, including sublicensees, in consideration for sublicensing rights to licensed products. However, per the agreement, in the event that the Company defends the technology by litigation, it can offset any royalties due by legal expenses incurred. As of December 31, 2022, the Company’s legal expenses exceeded royalties owed from the upfront payment and sales-based royalties related to the License Agreement. Therefore, no royalty expense to Clemson University was recorded for the nine months ended December 31, 2022. No royalty expense related to sales-based royalties has been recorded to date.

Commitments and Contingencies

9 Months Ended

Dec. 31, 2022

Commitments And Contingencies Disclosure [Abstract]

Commitments and Contingencies

Note 6. Commitments and Contingencies

Legal Matters

In addition to commitments and obligations in the ordinary course of business, the Company may be subject, from time to time, to various claims and pending and potential legal actions arising out of the normal conduct of its business.

The Company assesses contingencies to determine the degree of probability and range of possible loss for potential accrual in its financial statements. Because litigation is inherently unpredictable and unfavorable resolutions could occur, assessing litigation contingencies is subjective and requires judgments about future events. When evaluating contingencies, the Company may be unable to provide a meaningful estimate due to a number of factors, including the procedural status of the matter in question, the presence of complex or novel legal theories, and/or the ongoing discovery and development of information important to the matters. In addition, damage amounts claimed in litigation against it may be unsupported, exaggerated or unrelated to possible outcomes, and as such are not meaningful indicators of its potential liability.

The Company regularly reviews contingencies to determine the adequacy of its accruals and related disclosures. During the period presented, the Company has not recorded any accrual for loss contingencies associated with any claims or legal proceedings. However, the outcome of legal proceedings and claims brought against the Company is subject to significant uncertainty. Therefore, although management considers the likelihood of such an outcome to be remote, if one or more legal matters were resolved against the Company in a reporting period, the Company’s consolidated financial statements for that reporting period could be materially adversely affected.

Leases

9 Months Ended

Dec. 31, 2022

Leases [Abstract]

Leases

Note 7. Leases

After the initial adoption of Accounting Standards Codification Topic 842 (“ASC 842”), on an on-going basis, the Company evaluates all contracts upon inception and determines whether the contract contains a lease by assessing whether there is an identified asset and whether the contract conveys the right to control the use of the identified asset in exchange for consideration over a period of time. If a lease is identified, the Company will apply the guidance from ASC 842 to properly account for the lease.

Operating Leases

From October 2019 to July 2021, the Company rented office space in Solana Beach, California. This agreement was a month-to-month contract and could be terminated at-will by either party at any time. As such, the Company concluded that this agreement did not contain a lease and was expensed as incurred (referred to as “rent expense”). Monthly rental payments were approximately $4,000 per month.

On November 23, 2020, the Company entered into two lease agreements, pursuant to which the Company temporarily leased approximately 3,212 square feet of lab and office space (the “Temporary Lease”) in San Diego and permanently leased approximately 8,051 square feet of lab and office space (the “Permanent Lease”) in San Diego once certain tenant improvements for the Company’s permanent premises were completed by the landlord and the premises were ready for occupancy. Additionally, on November 17, 2021, the Permanent Lease was amended to add an additional 2,892 square feet of office space in the same building. The Temporary Lease commenced on November 27, 2020 and served as temporary premises until the Permanent Lease was ready for occupancy. The Permanent Lease commenced on December 17, 2021 and is intended to serve as the Company’s permanent premises for approximately sixty-two months. Monthly rental payments will be approximately $40,800 with 3% annual escalators.

The Company determined that the Temporary Lease is considered a short term lease under ASC 842 and therefore elected an accounting policy for short term leases to recognize lease payments as an expense on a straight-line basis over the lease term (referred to as “short term lease expense”). Variable lease expenses related to the short term lease, such as payments for additional monthly fees to cover the Company’s share of certain facility expenses (common area maintenance, or CAM) are expensed as incurred.

The Company determined that the Permanent Lease is considered an operating lease under ASC 842, and therefore upon the lease commencement date of December 17, 2021, recognized lease liabilities and corresponding right-of-use assets of $2.3 million. The Company records operating lease expense on a straight-line basis over the life of the lease (referred to as “operating lease expense”). Variable lease expenses associated with the Company’s leases, such as payments for additional monthly fees to cover the Company’s share of certain facility expenses (common area maintenance, or CAM) are expensed as incurred.

The table below summarizes the Company’s lease liabilities and corresponding right-of-use assets as of December 31, 2022 (in thousands):


	December 31, 2022
ASSETS
Operating lease right-of-use assets	$	1,803
Total lease right-of-use assets	$	1,803

LIABILITIES
Current
Operating lease liability	$	488
Noncurrent
Operating lease liability, net of current portion	$	1,414
Total lease liabilities	$	1,902

Weighted average remaining lease term:	4.08 years
Weighted average discount rate:		6	%

The Company recorded no rent expense for the three and nine months ended December 31, 2022, respectively, and approximately $0 and $18,000 for the three and nine months ended December 31, 2021, respectively. Variable lease expense was approximately $34,000 and $110,000 for the three and nine months ended December 31, 2022, respectively, and approximately $9,000 and $27,000 for the three and nine months ended December 31, 2021, respectively. For the three and nine months ended December 31, 2022, short term lease expense was $0, respectively, and approximately $39,000 and $117,000 for the three and nine months ended December 31, 2021, respectively. Lastly, operating lease expense was approximately $114,000 and $373,000 for the three and nine months ended December 31, 2022, respectively, and $43,000 for the three and nine months ended December 31, 2021.

Cash flows associated with the Company’s operating lease for the three and nine months ended December 31, 2022 was approximately $59,000 and $304,000, respectively.

Future lease payments relating to the Company’s operating lease liabilities as of December 31, 2022, are as follows (in thousands):


Fiscal year ending March 31, 2023	$	126
Fiscal year ending March 31, 2024		508
Fiscal year ending March 31, 2025		522
Fiscal year ending March 31, 2026		538
Fiscal year ending March 31, 2027		460
Total future lease payments		2,154
Less: Imputed interest		(252	)
Total lease obligations		1,902
Less: Current obligations		(488	)
Noncurrent lease obligations	$	1,414

Concentrations

9 Months Ended

Dec. 31, 2022

Risks And Uncertainties [Abstract]

Concentrations

Note 8. Concentrations

Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of temporary cash and short-term investments. The Company maintains cash and investment balances at various financial institutions located within the United States. Accounts at these institutions are secured by the Federal Deposit Insurance Corporation. Balances may exceed federally insured limits. The Company has not experienced losses in such accounts and management believes that the Company is not exposed to any significant credit risk with respect to its cash and cash equivalents and short-term investments.

Related Parties

9 Months Ended

Dec. 31, 2022

Related Parties

Note 9. Related Parties

From time to time, the Company will enter into an agreement with a related party in the ordinary course of its business. These agreements are ratified by the Board or a committee thereof pursuant to its related party transaction policy.

Viscient Biosciences (“Viscient”) is an entity for which Keith Murphy, the Company’s Executive Chairman, serves as the Chief Executive Officer and President. Dr. Jeffrey Miner, the Company’s Chief Scientific Officer, is also the Chief Scientific Officer of Viscient, and Thomas Jurgensen, the Company’s General Counsel, previously served as outside legal counsel to Viscient through his law firm, Optima Law Group, APC.

On December 28, 2020, the Company entered into an intercompany agreement (the “Intercompany Agreement”) with Viscient and Organovo, Inc., the Company’s wholly-owned subsidiary, which included an asset purchase agreement for certain lab equipment. Pursuant to the Intercompany Agreement, the Company agreed to provide Viscient certain services related to 3D bioprinting technology, which includes, but is not limited to, histology services, cell isolation, and proliferation of cells and Viscient agreed to provide the Company certain services related to 3D bioprinting technology, including bioprinter training, bioprinting services, and qPCR assays, in each case on payment terms specified in the Intercompany Agreement and as may be further determined by the parties. In addition, the Company and Viscient each agreed to share certain facilities and equipment and, subject to further agreement, to each make certain employees available for specified projects for the other party at prices to be determined in good faith by the parties. The Company evaluated the accounting for the Intercompany Agreement and concluded that any services provided by Viscient to the Company will be expensed as incurred, and any compensation for services provided by the Company to Viscient will be considered a reduction of personnel related expenses. Any services provided to Viscient do not fall under Topic 606 as the Intercompany Agreement is not a contract with a customer. For the three and nine months ended December 31, 2022, the Company incurred no consulting expenses from Viscient. Additionally, for the three and nine months ended December 31, 2022, the Company provided approximately $17,000 and $44,000 of histology services to Viscient, respectively.

Subsequent Events

9 Months Ended

Dec. 31, 2022

Subsequent Events [Abstract]

Subsequent Events

Note 10. Subsequent Events

On February 8, 2023, the Company entered into a binding term sheet with Metacrine, Inc., pursuant to which the parties have agreed to negotiate a definitive asset purchase agreement (the "Term Sheet"). The Term Sheet contemplates that the Company will acquire Metacrine's FXR program from Metacrine in consideration of cash payments totaling $4 million. The proposed transaction is subject to certain contingencies, including completion of due diligence and the execution of a definitive agreement. The parties expect to sign and close the transaction prior to March 31, 2023.

Summary of Significant Accounting Policies (Policies)

9 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

Basis of Presentation and Principles of Consolidation

Liquidity

Use of Estimates

Investments

Fair value measurement

•

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

•

Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The following table summarizes the Company's investments that are measured at fair value as of December 31, 2022 (in thousands):

Fair Value Measurements Using Quoted Prices in Active Markets (Level 1)


	Amortized costs basis		Gross unrealized gains		Gross unrealized losses		Fair value
As of December 31, 2022
Available-for-sale debt securities	$	9,951	$	3	$	—	$	9,954
Total investments (included in cash and cash equivalents)	$	9,951	$	3	$	—	$	9,954

The following table presents the activity for investments in equity securities measured at fair value for the nine months ended December 31, 2022 (in thousands):

Fair Value Measurements Using Quoted Prices in Active Markets (Level 1)


	Investment in Equity Securities (in thousands)
Balance at March 31, 2022	$	—
Purchases at cost		1,061
Sales		(384	)
Loss on investment in equity securities		(123	)
Balance at December 31, 2022	$	554

Net Loss Per Share

Common stock equivalents excluded from computing diluted net loss per share due to their anti-dilutive effect were approximately 1.5 million at December 31, 2022 and 1.1 million at December 31, 2021.

Revenue recognition

The Company generates revenues from the licensing of intellectual property.

Licenses

Recent Accounting Pronouncements

- Definition

Disclosure of accounting policy for revenue from contract with customer.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 17
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130561-203045

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 20
-Subparagraph (d)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130566-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130563-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI https://asc.fasb.org/topic&trid=49130388

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 20
-Subparagraph (c)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130566-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130563-203045

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section 50
-Paragraph 4
-Subparagraph (e)
-URI https://asc.fasb.org/extlink&oid=126899994&loc=d3e18823-107790

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 20
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130566-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 19
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130564-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 20
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126920106&loc=SL49130566-203045

+ Details

Summary of Significant Accounting Policies (Tables)

9 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

Summary of Investments that are Measured at Fair Value

The following table summarizes the Company's investments that are measured at fair value as of December 31, 2022 (in thousands):

Fair Value Measurements Using Quoted Prices in Active Markets (Level 1)


	Amortized costs basis		Gross unrealized gains		Gross unrealized losses		Fair value
As of December 31, 2022
Available-for-sale debt securities	$	9,951	$	3	$	—	$	9,954
Total investments (included in cash and cash equivalents)	$	9,951	$	3	$	—	$	9,954

Schedule of Activity for Investments in Equity Securities Measured at Fair Value

The following table presents the activity for investments in equity securities measured at fair value for the nine months ended December 31, 2022 (in thousands):

Fair Value Measurements Using Quoted Prices in Active Markets (Level 1)


	Investment in Equity Securities (in thousands)
Balance at March 31, 2022	$	—
Purchases at cost		1,061
Sales		(384	)
Loss on investment in equity securities		(123	)
Balance at December 31, 2022	$	554

Stockholders' Equity (Tables)

9 Months Ended

Dec. 31, 2022

Class Of Stock [Line Items]

Schedule of Stock-based Compensation Expense

Stock-based compensation expense for all stock-based awards consists of the following (in thousands):


	Three Months Ended		Three Months Ended		Nine Months Ended		Nine Months Ended
	December 31, 2022		December 31, 2021		December 31, 2022		December 31, 2021
Research and development	$	117	$	111	$	363	$	267
General and administrative	$	427	$	477	$	1,514	$	1,162
Total	$	544	$	588	$	1,877	$	1,429

Fair Value of Employee Stock Options

The fair value of stock options was estimated at the grant date using the following weighted average assumptions:


	Three Months Ended			Three Months Ended			Nine Months Ended			Nine Months Ended
	December 31, 2022			December 31, 2021			December 31, 2022			December 31, 2021
Dividend yield		—			—			—			—
Volatility		95.93	%		95.42	%		95.43	%		95.96	%
Risk-free interest rate		3.97	%		1.20	%		3.21	%		1.19	%
Expected life of options	6.00 years			5.69 years			6.00 years			5.70 years
Weighted average grant date fair value	$	1.23		$	5.20		$	1.96		$	5.23

Summary of Stock Option Activity

The following table summarizes the Company’s stock option activity from March 31, 2022 to December 31, 2022:


	Options Outstanding			Weighted Average Exercise Price		Aggregate Intrinsic Value
Outstanding at March 31, 2022		1,203,671		$	7.36	$	71,650
Options granted		209,474		$	2.51	$	—
Options cancelled / forfeited		(6,092	)	$	5.38	$	—
Options exercised		—		$	—	$	—
Outstanding at December 31, 2022		1,407,053		$	6.65	$	—
Vested and Exercisable at December 31, 2022		487,477		$	7.28	$	—

Common Stock Reserved for Future Issuance

Common stock reserved for future issuance consisted of the following at December 31, 2022:


Common stock issuable pursuant to options outstanding and reserved under the 2012 Plan			1,347,500
Common stock reserved under the 2012 Plan			—
Common stock issuable pursuant to options outstanding and reserved under the 2022 Plan			9,553
Common stock reserved under the 2022 Plan			1,115,635
Common stock reserved under the ESPP			59,435
Common stock reserved under the 2021 Inducement Equity Plan			1,000
Common stock issuable pursuant to restricted stock units outstanding under the 2012 Plan			11,416
Common stock issuable pursuant to restricted stock units outstanding under the 2022 Plan			117,642
Common stock issuable pursuant to options outstanding and reserved under the Inducement Plan			50,000
Total at December 31, 2022			2,712,181

Restricted stock units (RSUs) [Member]

Class Of Stock [Line Items]

Summary of Company's RSUs Activity and Performance-Based RSUs Activity

The following table summarizes the Company’s RSUs (not including performance-based RSUs) activity from March 31, 2022 through December 31, 2022:


	Number of Shares			Weighted Average Price
Unvested at March 31, 2022		15,500		$	10.58
Granted		117,642		$	1.53
Vested		(4,084	)	$	11.06
Cancelled / forfeited		—		$	—
Unvested at December 31, 2022		129,058		$	2.32

ESPP Shares [Member]

Class Of Stock [Line Items]

Fair Value of Employee Stock Options

The fair value of ESPP shares was estimated at the purchase period commencement date using the following assumptions:


	Three Months Ended			Three Months Ended			Nine Months Ended			Nine Months Ended
	December 31, 2022			December 31, 2021*			December 31, 2022			December 31, 2021*
Dividend yield		—			—			—			—
Volatility		0.00	%		0.00	%		86.58	%		0.00	%
Risk-free interest rate		0.00	%		0.00	%		3.34	%		0.00	%
Expected term		—			—		6 months				—
Grant date fair value	$	—		$	—		$	0.82		$	—

Leases (Tables)

9 Months Ended

Dec. 31, 2022

Leases [Abstract]

Schedule of Lease Liabilities and Corresponding Right-of-use Assets

The table below summarizes the Company’s lease liabilities and corresponding right-of-use assets as of December 31, 2022 (in thousands):


	December 31, 2022
ASSETS
Operating lease right-of-use assets	$	1,803
Total lease right-of-use assets	$	1,803

LIABILITIES
Current
Operating lease liability	$	488
Noncurrent
Operating lease liability, net of current portion	$	1,414
Total lease liabilities	$	1,902

Weighted average remaining lease term:	4.08 years
Weighted average discount rate:		6	%

Schedule of Future Lease Payments

Future lease payments relating to the Company’s operating lease liabilities as of December 31, 2022, are as follows (in thousands):


Fiscal year ending March 31, 2023	$	126
Fiscal year ending March 31, 2024		508
Fiscal year ending March 31, 2025		522
Fiscal year ending March 31, 2026		538
Fiscal year ending March 31, 2027		460
Total future lease payments		2,154
Less: Imputed interest		(252	)
Total lease obligations		1,902
Less: Current obligations		(488	)
Noncurrent lease obligations	$	1,414

Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021	Mar. 31, 2022
Summary Of Significant Accounting Policies [Line Items]
Cash and cash equivalents	$ 20,196,000	$ 30,269,000	$ 20,196,000	$ 30,269,000	$ 28,675,000
Restricted cash	143,000	143,000	143,000	143,000	143,000
Accumulated deficit	$ (317,539,000)		(317,539,000)		$ (307,739,000)
Cash flow from operations			$ 7,675,000	6,912,000
Issuance of common stock	8,714,590		8,714,590		8,710,627
Dilutive effect	$ 0	$ 0	$ 0	$ 0
Common stock equivalents excluded from computing diluted net loss per share			1,500,000	1,100,000
At-The-Market Facility [Member]
Summary Of Significant Accounting Policies [Line Items]
Issuance of common stock	0		0

Summary of Significant Accounting Policies - Summary of Investments that are Measured at Fair Value (Detail) - Investments (Included in Cash and Cash Equivalents) [Member] $ in Thousands	Dec. 31, 2022 USD ($)
Debt Securities, Available-for-Sale [Line Items]
Amortized costs basis	$ 9,951
Gross unrealized gains	3
Gross unrealized losses	0
Fair value	9,954
Available-for-Sale Debt Securities [Member]
Debt Securities, Available-for-Sale [Line Items]
Amortized costs basis	9,951
Gross unrealized gains	3
Gross unrealized losses	0
Fair value	$ 9,954

Summary of Significant Accounting Policies - Schedule of Activity for Investments in Equity Securities Measured at Fair Value (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
Schedule of Investments in Equity Securities Measured at Fair Value [Line Items)
Purchases at cost			$ 1,061,000	$ 0
Sales			(384,000)	0
Loss on investment in equity securities	$ (48,000)	$ 0	(123,000)	$ 0
Level 1 [Member]
Schedule of Investments in Equity Securities Measured at Fair Value [Line Items)
Balance at March 31, 2022			0
Purchases at cost			1,061,000
Sales			(384,000)
Loss on investment in equity securities			(123,000)
Balance at December 31, 2022	$ 554,000		$ 554,000

Investments - Additional Information (Detail) - USD ($)	3 Months Ended	9 Months Ended
Investments - Additional Information (Detail) - USD ($)	Dec. 31, 2022	Dec. 31, 2022	Dec. 31, 2021	Mar. 31, 2022
Investments [Line Items]
Cash and cash equivalents	$ 20,196,000	$ 20,196,000	$ 30,269,000	$ 28,675,000
Purchase of equity securities		1,061,000	0
Sale of equity securities		384,000	$ 0
Fair value of investment in equity securities	600,000	600,000
Unrealized loss on investment in equity securities		100,000
Maximum [Member]
Investments [Line Items]
Unrealized gains on short-term investments	100,000	100,000
Interest income on investments	100,000	200,000
Three Month Treasury Bills [Member]
Investments [Line Items]
Investments	$ 10,000,000.0	$ 10,000,000.0

Stockholders' Equity - Schedule of Stock-based Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 544	$ 588	$ 1,877	$ 1,429
Research and development
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	117	111	363	267
General and administrative
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Total stock-based compensation expense	$ 427	$ 477	$ 1,514	$ 1,162

Stockholders' Equity - Stock-based Compensation Expense and Valuation Information - Additional Information (Detail) $ in Millions	3 Months Ended		9 Months Ended
	Dec. 31, 2022 USD ($) Participant	Dec. 31, 2021	Dec. 31, 2022 USD ($) Participant	Dec. 31, 2021
Class Of Stock [Line Items]
Total unrecognized compensation cost related to unvested stock option grants	$ 2.9		$ 2.9
Expected term	6 years	5 years 8 months 8 days	6 years	5 years 8 months 12 days
2016 Employee Stock Purchase Plan [Member]
Class Of Stock [Line Items]
Expected term			6 months
Participants enrolled into the employee stock purchase plan \| Participant	1		1
Stock options [Member]
Class Of Stock [Line Items]
Total unrecognized compensation cost related, weighted average period			2 years 1 month 28 days
Restricted stock units (RSUs) [Member]
Class Of Stock [Line Items]
Total unrecognized compensation cost related, weighted average period			1 year 4 months 28 days
Unrecognized stock-based compensation expense	$ 0.3		$ 0.3

Stockholders' Equity - Fair Value of Employee Stock Options (Detail) - $ / shares	3 Months Ended		6 Months Ended	9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Dividend yield	0.00%	0.00%		0.00%	0.00%
Volatility	95.93%	95.42%		95.43%	95.96%
Risk-free interest rate	3.97%	1.20%	1.19%	3.21%
Expected life of options	6 years	5 years 8 months 8 days		6 years	5 years 8 months 12 days
Weighted average grant date fair value	$ 1.23	$ 5.20		$ 1.96	$ 5.23

Stockholders' Equity - Fair Value of ESPP Shares (Detail) - $ / shares	3 Months Ended		6 Months Ended	9 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Dividend yield	0.00%	0.00%		0.00%	0.00%
Volatility	95.93%	95.42%		95.43%	95.96%
Risk-free interest rate	3.97%	1.20%	1.19%	3.21%
Expected life of options	6 years	5 years 8 months 8 days		6 years	5 years 8 months 12 days
Weighted average grant date fair value	$ 1.23	$ 5.20		$ 1.96	$ 5.23
ESPP Shares [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Dividend yield	0.00%	0.00%		0.00%	0.00%
Volatility	0.00%	0.00%		86.58%	0.00%
Risk-free interest rate	0.00%	0.00%		3.34%	0.00%
Expected life of options				6 months
Weighted average grant date fair value	$ 0	$ 0		$ 0.82	$ 0

Stockholders' Equity - Preferred Stock - Additional Information (Detail)	Dec. 31, 2022 shares
Equity [Abstract]
Preferred stock, shares authorized	25,000,000
Preferred stock, shares outstanding	0

Stockholders' Equity - Common Stock - Additional Information (Detail) - USD ($)	3 Months Ended	9 Months Ended
	Oct. 12, 2022	Dec. 31, 2022	Jul. 25, 2022	Jan. 29, 2021	Jan. 19, 2021
Class Of Stock [Line Items]
Securities authorized for offer and sale, amount					$ 150,000,000.0
2021 Inducement Equity Plan [Member]
Class Of Stock [Line Items]
Common shares authorized to be issued		750,000
Equity Incentive Plan 2022 [Member]
Class Of Stock [Line Items]
Common shares authorized to be issued	1,363,000		750,000
Excercise price per share	$ 2.75
Equity Incentive Plan 2022 [Member] \| Common Stock [Member]
Class Of Stock [Line Items]
Common shares authorized to be issued	50,000
Equity Incentive Plan 2012 [Member]
Class Of Stock [Line Items]
Common shares authorized to be issued	1,236,738
Common stock shares issued	126,262
2022 Inducement Equity Plan [Member]
Class Of Stock [Line Items]
Common shares authorized to be issued	1,000
Maximum [Member] \| Equity Incentive Plan 2022 [Member] \| Common Stock [Member]
Class Of Stock [Line Items]
Common shares authorized to be issued	51,000
2018 Sales Agreement [Member]
Class Of Stock [Line Items]
Equity sales agreement expiration date		Feb. 22, 2021
ATM Prospectus Supplement [Member]
Class Of Stock [Line Items]
Issuance of common stock from stock options exercises, net, Shares		1,580,862
Value of shares sold under equity distribution agreement		$ 21,700,000
2021 Shelf [Member]
Class Of Stock [Line Items]
Common stock value reserved for future issuance		100,000,000.0
IPO [Member]
Class Of Stock [Line Items]
Securities authorized for offer and sale, amount		100,000,000.0
At-The-Market Facility [Member] \| ATM Prospectus Supplement [Member]
Class Of Stock [Line Items]
Common stock value reserved for future issuance		$ 28,300,000
Issuance of common stock from stock options exercises, net, Shares		0
At-The-Market Facility [Member] \| ATM Prospectus Supplement [Member] \| Maximum [Member]
Class Of Stock [Line Items]
Common stock value reserved for future issuance				$ 50,000,000.0

Stockholders' Equity - Summary of Company's RSUs Activity and Performance-Based RSUs Activity (Detail) - Restricted stock units (RSUs) [Member]	9 Months Ended
	Dec. 31, 2022 $ / shares shares
Class Of Stock [Line Items]
Beginning balance, Unvested, Number of Shares \| shares	15,500
Granted, Number of Shares \| shares	117,642
Vested, Number of Shares \| shares	(4,084)
Canceled / forfeited, Number of Shares \| shares	0
Ending balance, Unvested, Number of Shares \| shares	129,058
Beginning balance, Unvested, Weighted Average Price \| $ / shares	$ 10.58
Granted, Weighted Average Price \| $ / shares	1.53
Vested, Weighted Average Price \| $ / shares	11.06
Canceled / forfeited, Weighted Average Price \| $ / shares	0
Ending balance, Unvested, Weighted Average Price \| $ / shares	$ 2.32

Stockholders' Equity - Stock Options and Employee Stock Purchase Plan - Additional Information (Detail) - USD ($)		3 Months Ended		9 Months Ended
	Oct. 07, 2021	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021
Class Of Stock [Line Items]
Vesting criteria probability of achievement percentage				0.00%
Expense recorded				$ 0
Weighted-average remaining contractual term of stock options exercisable				8 years 2 months 1 day
Weighted-average remaining contractual term of stock options outstanding				8 years 2 months 1 day
Number of common stock shares approved under ESPP		2,712,181		2,712,181
Expected term		6 years	5 years 8 months 8 days	6 years	5 years 8 months 12 days
2012 Plan [Member]
Class Of Stock [Line Items]
Stock options granted				209,474
2012 Plan [Member] \| Executive Chairman [Member]
Class Of Stock [Line Items]
Stock options granted	30,000
2012 Plan [Member] \| Chief Scientific Officer [Member]
Class Of Stock [Line Items]
Stock options granted	7,500
2016 Employee Stock Purchase Plan [Member]
Class Of Stock [Line Items]
Number of common stock shares approved under ESPP		75,000		75,000
Employee subscription rate		15.00%		15.00%
Compensation amount per employee				$ 25,000
Number of shares per employee				500
Fair market value at discount				85.00%
Purchase period				6 months
Initial offering period				2016-09
Description of plan				Shares under the ESPP are purchased at 85 percent of the fair market value at the lower of (i) the closing price on the first trading day of the six-month purchase period or (ii) the closing price on the last trading day of the six-month purchase period.
Expected term				6 months
Shares available for purchase under ESPP		59,435		59,435
Equity Incentive Plan 2022 [Member]
Class Of Stock [Line Items]
Stock options granted		9,553
Number of common stock shares approved under ESPP		1,115,635		1,115,635

Stockholders' Equity - Summary of Stock Option Activity (Detail)	9 Months Ended
	Dec. 31, 2022 USD ($) $ / shares shares
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Options Outstanding, Beginning balance \| shares	1,203,671
Granted, Options Outstanding \| shares	209,474
Cancelled / forfeited, Options Outstanding \| shares	(6,092)
Exercised, Options Outstanding \| shares	0
Options Outstanding, Ending balance \| shares	1,407,053
Vested and Exercisable, Options Outstanding \| shares	487,477
Weighted-Average Exercise Price, Options Beginning balance \| $ / shares	$ 7.36
Options granted, Weighted-Average Exercise Price \| $ / shares	2.51
Options cancelled / forfeited, Weighted-Average Exercise Price \| $ / shares	5.38
Options exercised, Weighted-Average Exercise Price \| $ / shares	0
Weighted-Average Exercise Price, Options Ending balance \| $ / shares	6.65
Vested and Exercisable, Weighted-Average Exercise Price \| $ / shares	$ 7.28
Aggregate Intrinsic Value, Options Beginning balance \| $	$ 71,650
Options Exercised, Aggregate Intrinsic Value \| $	0
Aggregate Intrinsic Value, Options Ending balance \| $	0
Vested and Exercisable, Aggregate Intrinsic Value \| $	$ 0

Stockholders' Equity - Common Stock Reserved for Future Issuance (Detail)	Dec. 31, 2022 shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	2,712,181
Equity Incentive Plan 2012 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	0
2016 Employee Stock Purchase Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	75,000
Equity Incentive Plan 2022 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	1,115,635
Stock options [Member] \| Equity Incentive Plan 2012 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	1,347,500
Stock options [Member] \| 2016 Employee Stock Purchase Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	59,435
Stock options [Member] \| 2021 Inducement Equity Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	1,000
Stock options [Member] \| Incentive Award Plan [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	50,000
Stock options [Member] \| Equity Incentive Plan 2022 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	9,553
Restricted stock units (RSUs) [Member] \| Equity Incentive Plan 2012 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	11,416
Restricted stock units (RSUs) [Member] \| Equity Incentive Plan 2022 [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for future issuance	117,642

Collaborative Research, Development, and License Agreements - Additional Information (Detail) - USD ($)			1 Months Ended						3 Months Ended		9 Months Ended		12 Months Ended		140 Months Ended	166 Months Ended
	Dec. 05, 2022	Feb. 22, 2022	Mar. 31, 2022	Jan. 31, 2022	Mar. 31, 2021	Jan. 31, 2021	May 31, 2011	Mar. 31, 2009	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2022	Dec. 31, 2022	Mar. 31, 2016	Mar. 31, 2015	Mar. 31, 2014
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Total Revenues									$ 131,000	$ 0	$ 208,000	$ 0
Sales Based Royalties [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Total Revenues									61,000
BICO Group AB [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Nonrefundable upfront fee paid		$ 1,500,000
Total Revenues		$ 1,500,000							$ 131,000		208,000
University of Missouri [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Royalty fees percentage minimum								1.00%
Royalty fees percentage maximum								3.00%
Minimum annual royalty paid				$ 25,000		$ 25,000
Excess of minimum annual royalties payment			$ 0		$ 0
Upfront payment	$ 50,000,000										$ 0					$ 0
University of Missouri [Member] \| Sublicense Agreements [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Percentage of royalty revenue from sublicensee											3.00%
Clemson University [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Minimum annual royalty paid													$ 40,000	$ 40,000
Upfront payment											$ 0				$ 0
Minimum annual royalty payment due																	$ 40,000	$ 20,000	$ 20,000
Clemson University [Member] \| Sublicense Agreements [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Percentage of royalty revenue from sublicensee											40.00%
Clemson University [Member] \| Licensing Agreements [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Royalty fees percentage minimum							1.50%
Royalty fees percentage maximum							3.00%
Expected expiration year of license agreement							2024-05

Leases - Additional Information (Details)			3 Months Ended		9 Months Ended		22 Months Ended
Leases - Additional Information (Details)	Nov. 17, 2021 ft²	Nov. 23, 2020 USD ($) ft² Agreement	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Jul. 31, 2021 USD ($)	Dec. 17, 2021 USD ($)
Operating Lease [Line Items]
Monthly rental payments							$ 4,000
Number of lease agreement \| Agreement		2
Operating lease, liability			$ 1,902,000		$ 1,902,000			$ 2,300,000
Rent expense			0	$ 0	0	$ 18,000
Variable lease expense			34,000	9,000	110,000	27,000
Short term lease cost			0	39,000	0	117,000
Operating Lease, Expense			114,000	$ 43,000	373,000	$ 43,000
Operating cash flows from operating leases			$ 59,000		$ 304,000
San Diego Temporary Lease [Member]
Operating Lease [Line Items]
Lab and Office space under lease agreement \| ft²		3,212
San Diego Permanent Lease [Member]
Operating Lease [Line Items]
Lab and Office space under lease agreement \| ft²	2,892	8,051
Lease term		62 months
Monthly rental payments		$ 40,800
Base rent escalators		3.00%

Leases - Schedule of Lease Liabilities and Corresponding Right-of-use Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Mar. 31, 2022	Dec. 17, 2021
Assets
Operating lease right-of-use assets	$ 1,803
Total lease right-of-use assets	1,803	$ 2,153
Current Liabilities
Operating lease liability, current portion	488	479
Noncurrent
Operating lease liability, net of current portion	1,414	$ 1,704
Total lease liabilities	$ 1,902		$ 2,300
Weighted average remaining lease term:	4 years 29 days
Weighted average discount rate:	6.00%

Leases - Schedule of Future Lease Payments (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Mar. 31, 2022	Dec. 17, 2021
Leases [Abstract]
Fiscal year ending March 31, 2023	$ 126
Fiscal year ending March 31, 2024	508
Fiscal year ending March 31, 2025	522
Fiscal year ending March 31, 2026	538
Fiscal year ending March 31, 2027	460
Total future lease payments	2,154
Less: Imputed interest	(252)
Total lease liabilities	1,902		$ 2,300
Less: Current obligations	(488)	$ (479)
Operating lease liability, net of current portion	$ 1,414	$ 1,704

Related Parties - Additional Information (Detail) - Viscient [Member] - USD ($)	3 Months Ended	9 Months Ended
	Dec. 31, 2022	Dec. 31, 2022
Related Party Transaction [Line Items]
Consulting expenses	$ 0	$ 0
Histology services to related parties	$ 17,000	$ 44,000

Subsequent Events - Additional Information (Detail) $ in Millions	Feb. 08, 2023 USD ($)
Subsequent Event [Member] \| Metacrine, Inc. [Member] \| Metacrine's FXR Program [Member] \| Term Sheet [Member]
Subsequent Event [Line Items]
Consideration of cash payments	$ 4