Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Feb. 16, 2021 | Jun. 30, 2020 | |
Document and Entity Information | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2020 | ||
Entity File Number | 001-36182 | ||
Entity Registrant Name | Xencor, Inc | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 20-1622502 | ||
Entity Address, Address Line One | 111 West Lemon Avenue | ||
Entity Address, City or Town | Monrovia | ||
Entity Address, State or Province | CA | ||
Entity Address, Postal Zip Code | 91016 | ||
City Area Code | 626 | ||
Local Phone Number | 305-5900 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | XNCR | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 57,945,225 | ||
Entity Central Index Key | 0001326732 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Public Float | $ 1,843,897,240 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets | ||
Cash and cash equivalents | $ 163,544 | $ 50,312 |
Marketable securities | 434,156 | 479,470 |
Equity securities | 5,303 | |
Accounts receivable | 11,443 | 21,574 |
Income tax receivable | 502 | |
Contract asset | 12,500 | |
Prepaid expenses and other current assets | 10,726 | 6,547 |
Total current assets | 637,672 | 558,405 |
Property and equipment, net | 21,682 | 15,805 |
Patents, licenses, and other intangible assets, net | 15,977 | 14,421 |
Marketable securities - long term | 1,030 | 71,526 |
Carrying value | 16,071 | |
Income tax receivable | 402 | |
Right-of-use assets | 10,600 | 9,380 |
Other assets | 212 | 311 |
Total assets | 703,244 | 670,250 |
Current liabilities | ||
Accounts payable | 8,954 | 10,189 |
Accrued expenses | 17,603 | 8,995 |
Lease liabilities | 1,889 | 2,169 |
Deferred revenue | 92,615 | 45,205 |
Total current liabilities | 121,061 | 66,558 |
Lease liabilities, net of current portion | 9,739 | 8,565 |
Deferred revenue, net of current portion | 1,926 | |
Total liabilities | 130,800 | 77,049 |
Commitments and contingencies (see note 9) | ||
Stockholders' equity | ||
Preferred stock, $0.01 par value: 10,000,000 authorized shares; -0- issued and outstanding shares at December 31, 2020 and 2019 | ||
Common stock, $0.01 par value: 200,000,000 authorized shares; 57,873,444 issued and outstanding shares at December 31, 2020 and 56,902,301 issued and outstanding at December 31, 2019 | 580 | 569 |
Additional paid-in capital | 937,525 | 887,873 |
Accumulated other comprehensive income | 74 | 1,161 |
Accumulated deficit | (365,735) | (296,402) |
Total stockholders' equity | 572,444 | 593,201 |
Total liabilities and stockholders' equity | $ 703,244 | $ 670,250 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2020 | Dec. 31, 2019 |
Balance Sheets | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 57,873,444 | 56,902,301 |
Common stock, shares outstanding | 57,873,444 | 56,902,301 |
Statements of Comprehensive Inc
Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue | |||
Collaborations, licenses, milestones, and royalties | $ 122,694 | $ 156,700 | $ 40,603 |
Operating expenses | |||
Research and development | 169,802 | 118,590 | 97,501 |
General and administrative | 29,689 | 24,286 | 22,472 |
Total operating expenses | 199,491 | 142,876 | 119,973 |
Income (loss) from operations | (76,797) | 13,824 | (79,370) |
Other income (expense) | |||
Interest income, net | 7,264 | 13,619 | 9,086 |
Other income (expense), net | 200 | (256) | (125) |
Total other income, net | 7,464 | 13,363 | 8,961 |
Income (loss) before income tax | (69,333) | 27,187 | (70,409) |
Income tax expense | 0 | 312 | 0 |
Net income (loss) | (69,333) | 26,875 | (70,409) |
Other comprehensive income (loss) | |||
Net unrealized gain (loss) on marketable securities available-for-sale | (1,087) | 2,132 | 837 |
Comprehensive income (loss) | $ (70,420) | $ 29,007 | $ (69,572) |
Net income (loss) per share attributable to common stockholders: | |||
Basic net income (loss) (in dollars per share) | $ (1.21) | $ 0.48 | $ (1.31) |
Diluted net income (loss) (in dollars per share) | $ (1.21) | $ 0.46 | $ (1.31) |
Weighted average shares used to compute net income (loss) per share attributable to common stockholders: | |||
Basic (in shares) | 57,212,737 | 56,531,439 | 53,942,116 |
Diluted (in shares) | 57,212,737 | 58,467,880 | 53,942,116 |
Statement of Stockholders' Equi
Statement of Stockholders' Equity - USD ($) $ in Thousands | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | Total |
Balance at Dec. 31, 2017 | $ 470 | $ 570,670 | $ (1,808) | $ (252,868) | $ 316,464 |
Balance (in shares) at Dec. 31, 2017 | 47,002,488 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Sale of common stock, net of issuance cost | $ 84 | 245,420 | 245,504 | ||
Sale of common stock, net of issuance cost (in shares) | 8,395,000 | ||||
Issuance of common stock upon exercise of stock awards | $ 8 | 7,609 | 7,617 | ||
Issuance of common stock upon exercise of stock awards (in shares) | 824,731 | ||||
Issuance of common stock under the Employee Stock Purchase Plan | $ 1 | 1,119 | 1,120 | ||
Issuance of common stock under the Employee Stock Purchase Plan (in shares) | 57,323 | ||||
Comprehensive income (loss) | 837 | (70,409) | (69,572) | ||
Stock-based compensation | 20,548 | 20,548 | |||
Balance at Dec. 31, 2018 | $ 563 | 845,366 | (971) | (323,277) | 521,681 |
Balance (in shares) at Dec. 31, 2018 | 56,279,542 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Issuance of common stock upon exercise of stock awards | $ 5 | 9,264 | 9,269 | ||
Issuance of common stock upon exercise of stock awards (in shares) | 543,887 | ||||
Issuance of common stock under the Employee Stock Purchase Plan | $ 1 | 1,392 | 1,393 | ||
Issuance of common stock under the Employee Stock Purchase Plan (in shares) | 67,561 | ||||
Issuance of restricted stock units (in shares) | 11,311 | ||||
Comprehensive income (loss) | 2,132 | 26,875 | 29,007 | ||
Stock-based compensation | 31,851 | 31,851 | |||
Balance at Dec. 31, 2019 | $ 569 | 887,873 | 1,161 | (296,402) | 593,201 |
Balance (in shares) at Dec. 31, 2019 | 56,902,301 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Issuance of common stock upon exercise of stock awards | $ 9 | 16,608 | 16,617 | ||
Issuance of common stock upon exercise of stock awards (in shares) | 858,470 | ||||
Issuance of common stock under the Employee Stock Purchase Plan | $ 1 | 1,426 | 1,427 | ||
Issuance of common stock under the Employee Stock Purchase Plan (in shares) | 50,318 | ||||
Issuance of restricted stock units | $ 1 | (1) | |||
Issuance of restricted stock units (in shares) | 62,355 | ||||
Comprehensive income (loss) | (1,087) | (69,333) | (70,420) | ||
Stock-based compensation | 31,619 | 31,619 | |||
Balance at Dec. 31, 2020 | $ 580 | $ 937,525 | $ 74 | $ (365,735) | $ 572,444 |
Balance (in shares) at Dec. 31, 2020 | 57,873,444 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities | |||
Net income (loss) | $ (69,333) | $ 26,875 | $ (70,409) |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||
Depreciation and amortization | 5,794 | 4,298 | 3,251 |
Amortization of premium on marketable securities | (272) | (4,321) | (394) |
Stock-based compensation | 31,619 | 31,851 | 20,548 |
Abandonment of capitalized intangible assets | 535 | 221 | 239 |
Loss on disposal of assets | 4 | 8 | 102 |
Loss (gain) on sale of marketable securities available-for-sale | (153) | 74 | |
Equity received in connection with license agreement | (26,660) | ||
Cash redemption of equity received in connection with license agreement | 5,390 | ||
Change in fair value of equity security | (105) | ||
Changes in operating assets and liabilities: | |||
Accounts receivable | 10,131 | (11,321) | (9,045) |
Interest receivable | 1,190 | (387) | (535) |
Prepaid expenses and other current assets | (4,170) | 3,828 | (4,769) |
Income tax receivable | 895 | 704 | (84) |
Contract asset and deposits | (12,401) | (46) | |
Accounts payable | (1,235) | 6,392 | (3,072) |
Accrued expenses | 8,608 | (667) | 4,182 |
Deferred rent | (1,513) | 398 | |
Income tax payable | (157) | ||
Lease liabilities and ROU assets | (325) | 1,354 | |
Deferred revenue | 45,484 | 7,052 | (20,039) |
Net cash provided by (used in) operating activities | (5,004) | 64,374 | (79,756) |
Cash flows from investing activities | |||
Proceeds from sale and maturities of marketable securities available-for-sale | 757,617 | 456,923 | 222,125 |
Proceeds from sale of property and equipment | 1 | 9 | |
Purchase of marketable securities | (643,658) | (496,855) | (377,840) |
Purchase of intangible assets | (3,229) | (3,685) | (1,935) |
Purchase of property and equipment | (10,539) | (7,353) | (7,212) |
Proceeds from repayment of loan receivable | 86 | ||
Net cash provided by (used in) investing activities | 100,192 | (50,970) | (164,767) |
Cash flows from financing activities | |||
Proceeds from issuance of common stock upon exercise of stock awards | 16,617 | 9,269 | 7,617 |
Proceeds from issuance of common stock from Employee Stock Purchase Plan | 1,427 | 1,393 | 1,120 |
Proceeds from issuance of common stock | 260,245 | ||
Common stock issuance costs | (14,741) | ||
Net cash provided by financing activities | 18,044 | 10,662 | 254,241 |
Net increase in cash and cash equivalents | 113,232 | 24,066 | 9,718 |
Cash and cash equivalents, beginning of year | 50,312 | 26,246 | 16,528 |
Cash and cash equivalents, end of year | 163,544 | 50,312 | 26,246 |
Cash paid for: | |||
Interest | 15 | 11 | 16 |
Taxes | 400 | 233 | |
Supplemental Schedule of Noncash Investing Activities | |||
Net unrealized gain (loss) on marketable securities available-for-sale | $ (1,087) | $ 2,132 | $ 837 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Description of Business Xencor, Inc. (we, us, our, or the Company) was incorporated in California in 1997 and reincorporated in Delaware in September 2004. We are a clinical-stage biopharmaceutical company focused on discovering and developing engineered monoclonal antibody and cytokine therapeutics to treat patients with cancer and autoimmune diseases who have unmet medical needs. We create our product candidates using our proprietary XmAb technology platforms, which focus on the portion of an antibody that interacts with multiple segments of the immune system, referred to as the Fc domain, which is constant and interchangeable among antibodies. Our engineered Fc domains, the XmAb technology, can increase antibody immune inhibition, improve cytotoxicity, extend half-life and most recently are used to create bispecific antibodies and cytokines. Our operations are based in Monrovia, California and San Diego, California. Basis of Presentation The Company’s financial statements as of December 31, 2020, 2019, and 2018 and for the years then ended have been prepared in accordance with accounting principles generally accepted in the United States (U.S.). Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Significant estimates include useful lives of long-lived assets, the periods over which certain revenues and expenses will be recognized including collaboration revenue recognized from non-refundable upfront licensing payments, the amount of non-cash compensation costs related to share-based payments to employees and non-employees and the period over which these costs are expensed. Recent Accounting Pronouncements Pronouncements adopted in 2020 Effective January 1, 2020, the Company adopted ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, as well as ASU No, 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses. The standard amends guidance on reporting credit losses for assets held at amortized cost basis and also provides an available-for-sale (AFS) debt security impairment model that is a modified version of the other-than-temporary-impairment (OTTI) model. The AFS debt security impairment model no longer allows consideration of the length of time during which the fair value has been less than its amortized cost when determining whether a credit loss exists. The adoption of this standard did not have any impact on the Company’s financial statements. Effective January 1, 2020, the Company adopted ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement, which modifies the disclosures for transfers between Level 1 and Level 2 of the fair value hierarchy, modifies the Level 3 disclosure requirements for non-public entities and requires additional disclosure for Level 3 fair value hierarchy. The adoption of this standard did not have any impact on the Company’s financial statements. Effective January 1, 2020, the Company adopted ASU No. 2018-18, Collaborative Arrangements (Topic 808): Clarifying the Interaction Between Topic 808 and Topic 606, which provides guidance on how to assess whether certain transactions between collaborative arrangement participants should be accounted for within the revenue recognition standard. The adoption of this standard did not have any impact on the Company’s financial statements. Pronouncements not yet effective In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes In January 2020, the FASB issued ASU No. 2020-01, which clarifies that a company should consider observable transactions that require a company to either apply or discontinue the equity method of accounting under Topic 323, Investment – Equity Method and Joint Ventures, for the purposes of applying the measurement alternative in accordance with Topic 321, Investments – Equity Securities immediately before applying or upon discontinuing the equity method. The amendment is effective for fiscal years beginning after December 15, 2020. The Company does not anticipate that the standard will have a significant impact on its financial statements. In October 2020, the FASB issued ASU No. 2020-10, Codification Improvements Revenue Recognition We have, to date, earned revenue from research and development collaborations, which may include research and development services, licenses of our internally developed technologies, licenses of our internally developed drug candidates, or combinations of these. The terms of our license, research and development and collaboration agreements generally include non-refundable upfront payments, research funding, co-development payments and reimbursements, license fees, and milestone and other contingent payments to us for the achievement of defined collaboration objectives and certain clinical, regulatory and sales-based events, as well as royalties on sales of any commercialized products. The terms of our licensing agreements include non-refundable upfront fees, annual licensing fees, and contractual payment obligations for the achievement of pre-defined preclinical, clinical, regulatory and sales-based events by our partners. The licensing agreements also include royalties on sales of any commercialized products by our partners. We recognize revenue through the five-step process in accordance with ASC 606 Revenue Recognition when control of the promised goods or services is transferred to our customers in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. Deferred Revenue Deferred revenue arises from payments received in advance of the culmination of the earnings process. We have classified deferred revenue for which we stand ready to perform within the next 12 months as a current liability. We recognize deferred revenue as revenue in future periods when the applicable revenue recognition criteria have been met. The total amounts reported as deferred revenue were $92.6 million and $47.1 million at December 31, 2020 and 2019, respectively. Research and Development Expenses Research and development expenses include costs we incur for our own and for our collaborators’ research and development activities. Research and development costs are expensed as incurred. These costs consist primarily of salaries and benefits, including associated stock-based compensation, laboratory supplies, facility costs, and applicable overhead expenses of personnel directly involved in the research and development of new technology and products, as well as fees paid to other entities that conduct certain research development activities on our behalf. We estimate preclinical study and clinical trial expenses based on the services performed pursuant to the contracts with research institutions and clinical research organizations that conduct and manage preclinical studies and clinical trials on our behalf based on the actual time and expenses incurred by them. Further, we accrue expenses related to clinical trials based on the level of patient enrollment and activity according to the related agreement. We monitor patient enrollment levels and related activity to the extent reasonably possible and adjust estimates accordingly. We capitalize acquired research and development technology licenses and third-party contract rights where such assets have an alternative use and amortize the costs over the shorter of the license term or the expected useful life. We review the license arrangements and the amortization period on a regular basis and adjust the carrying value or the amortization period of the licensed rights if there is evidence of a change in the carrying value or useful life of the asset. Cash and Cash Equivalents We consider cash equivalents to be only those investments which are highly liquid, readily convertible to cash and which mature within three months from the date of purchase. Marketable and Equity Securities The Company has an investment policy that includes guidelines on acceptable investment securities, minimum credit quality, maturity parameters and concentration and diversification. The Company invests its excess cash primarily in marketable debt securities issued by investment grade institutions. The Company considers its marketable debt securities to be available-for-sale and does not intend to sell these securities, and it is not more likely than not the Company will be required to sell the securities before recovery of the amortized cost basis. These assets are carried at fair value and any impairment losses and recoveries related to the underlying issuer’s credit standing are recognized within other income (expense), while non-credit related impairment losses and recoveries are recognized within accumulated other comprehensive income (loss). There were no impairment losses or recoveries recorded for the years ended in December 31, 2020 and 2019, respectively. Accrued interest on marketable debt securities is included in marketable securities’ carrying value. Accrued interest was $1.4 million and $2.7 million at December 31, 2020 and 2019, respectively. Each reporting period, the Company reviews its portfolio of marketable debt securities, using both quantitative and qualitative factors, to determine if each security’s fair value has declined below its amortized cost basis. The Company receives equity securities in connection with certain licensing transactions with its partners. These investments in an equity security are carried at fair value with changes in fair value recognized each period and reported within other income (expense). For equity securities with a readily determinable fair value, the Company remeasures these equity investments at each reporting period until such time that the investment is sold or disposed. If the Company sells an investment, any realized gains or losses on the sale of the securities will be recognized within other income (expense) in the Statement of Comprehensive Income (Loss) in the period of sale. The Company also has an investment in an equity security without a readily determinable fair value, where the Company elects the measurement alternative to record at its initial cost minus impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. Concentrations of Risk Cash, cash equivalents and marketable debt securities are financial instruments that potentially subject the Company to concentrations of risk. We invest our cash in corporate debt securities and U.S. sponsored agencies with strong credit ratings. We have established guidelines relative to diversification and maturities that are designed to help ensure safety and liquidity. These guidelines are periodically reviewed to take advantage of trends in yields and interest rates. Cash and cash equivalents are maintained at financial institutions, and at times, balances may exceed federally insured limits. We have never experienced any losses related to these balances. Amounts on deposit in excess of federally insured limits at December 31, 2020 and 2019 approximated $163.3 million and $50.0 million, respectively. We have payables with one service provider that represent 49% of our total payables and with two service providers that represented 48% of our total payables at December 31, 2020 and 2019, respectively. We rely on three critical suppliers for the manufacture of our drug product for use in our clinical trials. While we believe that there are alternative vendors available, a change in manufacturing vendors could cause a delay in the availability of drug product and result in a delay of conducting and completing our clinical trials. No other vendor accounted for more than 10% of total payables at December 31, 2020 or 2019. Fair Value of Financial Instruments Our financial instruments primarily consist of cash and cash equivalents, marketable debt securities, accounts receivable, accounts payable and accrued expenses. Marketable debt securities and cash equivalents are carried at fair value. The fair value of the other financial instruments closely approximate their fair value due to their short maturities. The Company accounts for recurring and non-recurring fair value measurements in accordance with FASB Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures Level 1— Level 2— Level 3— The Company measures the fair value of financial assets using the highest level of inputs that are reasonably available as of the measurement date. The assets recorded at fair value are classified within the hierarchy as follows for the periods reported (in thousands): December 31, 2020 Total Fair Value Level 1 Level 2 Level 3 Money Market Funds in Cash and Cash Equivalents $ 158,937 $ 158,937 $ — $ — Corporate Securities 119,833 — 119,833 — Government Securities 315,353 — 315,353 — Equity Securities with Readily Determinable Fair Value 5,303 5,303 — — Equity Securities without Readily Determinable Fair Value 16,071 — — 16,071 $ 615,497 $ 164,240 $ 435,186 $ 16,071 December 31, 2019 Total Fair Value Level 1 Level 2 Level 3 Money Market Funds in Cash and Cash Equivalents $ 32,009 $ 32,009 $ — $ — Corporate Securities 281,751 — 281,751 — Government Securities 269,245 — 269,245 — $ 583,005 $ 32,009 $ 550,996 $ — The Company holds equity securities without readily determinable fair value as of December 31, 2020. The Company elects the measurement alternative to record at its initial cost minus impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. Property and Equipment Property and equipment are recorded at cost and depreciated using the straight-line method over the estimated useful lives of the assets. Expenditures for repairs and maintenance are charged to expense as incurred, while renewals and improvements are capitalized. Useful lives by asset category are as follows: Computers, software and equipment 3 - 5 years Furniture and fixtures 5 - 7 years Leasehold improvements 5 - 7 years or remaining lease term, whichever is less Patents, Licenses, and Other Intangible Assets The cost of acquiring licenses is capitalized and amortized on the straight-line basis over the shorter of the term of the license or its estimated economic life, ranging from 5 13 The carrying amount and accumulated amortization of patents, licenses, and other intangibles is as follows (in thousands): December 31, 2020 2019 Patents, definite life $ 12,038 $ 10,597 Patents, pending issuance 8,432 7,266 Licenses and other amortizable intangible assets 2,560 2,510 Nonamortizable intangible assets (trademarks) 399 399 Total gross carrying amount 23,429 20,772 Accumulated amortization—patents (5,791) (4,912) Accumulated amortization—licenses and other (1,661) (1,439) Total intangible assets, net $ 15,977 $ 14,421 Amortization expense for patents, licenses, and other intangible assets was $1.1 million, $0.9 million and $0.9 million for the years ended December 31, 2020, 2019 and 2018, respectively. Future amortization expense for patent, licenses, and other intangible assets recorded as of December 31, 2020, and for which amortization has commenced, is as follows: Year ended December 31, (in thousands) 2021 $ 947 2022 906 2023 829 2024 667 2025 589 Thereafter 3,208 Total $ 7,146 The above amortization expense forecast is an estimate. Actual amounts of amortization expense may differ from estimated amounts due to additional intangible asset acquisitions, impairment of intangible assets, accelerated amortization of intangible assets, and other events. As of December 31, 2020, the Company has $8.4 million of intangible assets which are in-process and have not been placed in service, and accordingly amortization on these assets has not commenced. Long-Lived Assets Management reviews long-lived assets which include fixed assets and amortizable intangibles for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset (or asset group) may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured as the amount by which the carrying amount of the assets exceeds the fair value of the assets. We did not recognize a loss from impairment for the years ended December 31, 2020, 2019 or 2018. Income Taxes We account for income taxes in accordance with accounting guidance which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities are computed annually for differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities. We assess our income tax positions and record tax benefits for all years subject to examination based upon our evaluation of the facts, circumstances and information available at the reporting date. For those tax positions where there is greater than 50% likelihood that a tax benefit will be sustained, we have recorded the largest amount of tax benefit that may potentially be realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where there is a 50% or less likelihood that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. We did not have any material uncertain tax positions at December 31, 2020 or 2019. Our policy is to recognize interest and penalties on taxes, if any, as a component of income tax expense. The Tax Cuts and Jobs Act of 2017 (TCJA) enacted on December 22, 2017 included several key provisions impacting the accounting for and reporting of income taxes. The most significant provisions reduced the U.S. corporate statutory tax rate from 35% to 21%, eliminated the corporate Alternative Minimum Tax (AMT) system, and made changes to the carryforward of net operating losses beginning on January 1, 2018. The tax reform provided for a refund of unused AMT carryforwards for years beginning after December 31, 2017. We received an income tax refund during the years ended December 31, 2020 and 2019 of $0.8 million each year related to our federal AMT carryforwards. Stock-Based Compensation We recognize compensation expense using a fair-value-based method for costs related to all share-based payments, including stock options, restricted stock units (RSUs), and shares issued under our Employee Stock Purchase Plan (ESPP). Stock-based compensation cost related to employees and directors is measured at the grant date, based on the fair-value-based measurement of the award using the Black-Scholes method, and is recognized as expense over the requisite service period on a straight-line basis. We account for forfeitures when they occur. We recorded stock-based compensation and expense for stock-based awards to employees, directors and consultants of approximately $31.6 million, $31.9 million and $20.5 million for the years ended December 31, 2020, 2019 and 2018 respectively. Included in the 2020, 2019, and 2018 balances for total compensation expense is $0.8 million, $0.7 million and $0.7 million, respectively, relating to our ESPP. Net Income (Loss) Per Share Basic net income (loss) per common share is computed by dividing the net income or loss by the weighted-average number of common shares outstanding during the period. Potentially dilutive securities were included in the diluted net income per common share calculation for 2019. We included 1,923,310 options to purchase shares of common stock and 13,131 shares of RSUs in the calculation of the weighted-average common shares outstanding used in computing diluted net income per common share. We excluded 1,022,623 shares of options and RSUs from the calculation for 2019 because the inclusion of such shares would have had an antidilutive effect. In 2020 and 2018, we excluded all options and awards from the calculations because we reported net losses in the periods, and the inclusion of such shares would have had an antidilutive effect. Year Ended December 31, 2020 2019 2018 (in thousands, except share and per share data) Basic Numerator: Net income (loss) attributable to common stockholders for basic net income (loss) per share $ (69,333) $ 26,875 $ (70,409) Denominator: Weighted-average common shares outstanding 57,212,737 56,531,439 53,942,116 Basic net income (loss) per common share $ (1.21) $ 0.48 $ (1.31) Diluted Numerator: Net income (loss) attributable to common stockholders for diluted net income (loss) per share $ (69,333) $ 26,875 $ (70,409) Denominator: Weighted average number of common shares outstanding used in computing basic net income (loss) per common share 57,212,737 56,531,439 53,942,116 Dilutive effect of employee stock options and ESPP — 1,936,441 — Weighted-average number of common shares outstanding used in computing diluted net income (loss) per common share 57,212,737 58,467,880 53,942,116 Diluted net income (loss) per common share $ (1.21) $ 0.46 $ (1.31) Segment Reporting The Company determines its segment reporting based upon the way the business is organized for making operating decisions and assessing performance. The Company has only one operating segment related to the development of pharmaceutical products . |
Comprehensive Income (Loss)
Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2020 | |
Comprehensive Income (Loss) | |
Comprehensive Income (Loss) | 2. Comprehensive Income (Loss) Comprehensive income (loss) is comprised of net income (loss) and other comprehensive income (loss). For the years ended December 31, 2020 and 2019, the only component of other comprehensive income (loss) is net unrealized gains on marketable debt securities. There were no material reclassifications out of accumulated other comprehensive loss during the year ended December 31, 2020. |
Marketable Securities
Marketable Securities | 12 Months Ended |
Dec. 31, 2020 | |
Marketable Securities | |
Marketable Securities | 3. Marketable Securities The Company’s marketable debt securities held as of December 31, 2020 and 2019 are summarized below: December 31, 2020 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Money Market Funds $ 158,937 $ — $ — $ 158,937 Corporate Securities 119,782 57 (6) 119,833 Government Securities 315,319 37 (3) 315,353 $ 594,038 $ 94 $ (9) $ 594,123 Reported as Cash and cash equivalents $ 158,937 Marketable securities 435,186 Total investments $ 594,123 December 31, 2019 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Money Market Funds $ 32,009 $ — $ — $ 32,009 Corporate Securities 281,586 195 (30) 281,751 Government Securities 268,239 1,006 — 269,245 $ 581,834 $ 1,201 $ (30) $ 583,005 Reported as Cash and cash equivalents $ 32,009 Marketable securities 550,996 Total investments $ 583,005 The maturities of the Company’s marketable debt securities as of December 31, 2020 are as follows: Amortized Estimated Cost Fair Value (in thousands) Mature in one year or less $ 434,071 $ 434,156 Mature after one year through five years 1,030 1,030 $ 435,101 $ 435,186 The unrealized losses on available-for-sale investments and their related fair values as of December 31, 2020 and 2019 are as follows: December 31, 2020 Less than 12 months 12 months or greater Fair value Unrealized losses Fair value Unrealized losses (in thousands) Corporate Securities $ 15,843 $ (6) $ — $ — Government Securities 40,802 (3) — — $ 56,645 $ (9) $ — $ — December 31, 2019 Less than 12 months 12 months or greater Fair value Unrealized losses Fair value Unrealized losses (in thousands) Corporate Securities $ 46,303 $ (24) $ 13,992 $ (6) The unrealized losses from the listed securities are due to a change in the interest rate environment and not a change in the credit quality of the securities. For the year ended December 31, 2020, the Company received shares of Aimmune common stock and MiRagen common stock in connection with the Aimmune and MiRagen Agreements (both as defined below). Aimmune common stock was redeemed for cash within the same year; MiRagen common stock is classified as equity securities with a readily determinable fair value at December 31, 2020. For the year ended December 31, 2020, the Company also received equity of a private company in connection with a licensing agreement. The Company elects measurement alternative to carry the investment at cost minus impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. There has not been any impairment or observable price changes related to this investment. We did not hold any equity securities in our investment portfolio during the year ended December 31, 2019. Net gains and losses during the year ended December 31, 2020 and 2019 consist of the following: Year Ended December 31, 2020 2019 Net gains recognized on equity securities $ 105 $ — Less: net gains recognized on equity securities redeemed 801 — Unrealized losses recognized on equity securities $ (696) $ — |
Sale of Additional Common Stock
Sale of Additional Common Stock | 12 Months Ended |
Dec. 31, 2020 | |
Sale of Additional Common Stock | |
Sale of Additional Common Stock | 4. Sale of Additional Common Stock In March 2018, we completed the sale of 8,395,000 shares of commons stock which included shares we issued pursuant to our underwriters’ exercise of their over-allotment option pursuant to a follow-on financing. We received net proceeds of $245.5 million, after underwriters’ discounts and offering expenses. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Property and Equipment | |
Property and Equipment | 5. Property and Equipment Property and equipment consist of the following: December 31, 2020 2019 (in thousands) Computers, software and equipment $ 31,229 $ 21,087 Furniture and fixtures 527 492 Leasehold and tenant improvements 6,957 6,831 38,713 28,410 Less accumulated depreciation and amortization (17,031) (12,605) $ 21,682 $ 15,805 Depreciation expense related to property and equipment in 2020, 2019 and 2018 was $4.7 million, $3.4 million and $2.4 million, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes | |
Income Taxes | 6. Inc ome Taxes Our effective tax rate differs from the statutory federal income tax rate, primarily as a result of the changes in valuation allowance. There was no provision for taxes for the years ended December 31, 2020 and December 31, 2018. The provision for income taxes for the year ended December 31, 2019 was $0.3 million, which represents the current state alternative minimum tax for the year. A reconciliation of the federal statutory income tax to our effective income tax is as follows (in thousands): Year Ended December 31, 2020 2019 2018 Federal statutory income tax $ (14,559) $ 5,709 $ (14,795) State and local income taxes (4,659) 2,549 (4,767) Research and development credit (9,669) (6,747) (6,170) Stock-based compensation 529 1,927 444 State credit — 1,725 — Other 56 (301) 414 Net change in valuation allowance 28,302 (4,550) 24,874 Income tax provision (benefit) $ — $ 312 $ — The tax effect of temporary differences that give rise to a significant portion of the deferred tax assets and liabilities at December 31, 2020 and 2019 is presented below (in thousands): December 31, 2020 2019 Deferred income tax assets Net operating loss carryforwards $ 56,182 $ 36,891 Research credits 38,047 28,415 Depreciation 137 334 Unrealized loss on securities 195 — Accrued compensation 8,464 4,788 Deferred revenue 11,925 11,215 State taxes — 64 Gross deferred income tax assets 114,950 81,707 Valuation allowance (105,995) (77,389) Net deferred income tax assets 8,955 4,318 Deferred income tax liabilities Patent costs (4,219) (3,736) Equity investment (4,497) — Licensing costs (194) (229) Capitalized legal costs (21) (26) Unrealized gain on securities (24) (327) Gross deferred income tax liabilities (8,955) (4,318) Net deferred income tax asset $ — $ — The Tax Cuts and Jobs Act of 2017 (TCJA) was enacted in December 2017 and made substantial changes in the U.S. tax system. One of the changes was elimination of the AMT tax system for corporations and allowance of an income tax refund for AMT tax credit carryforwards as of December 31, 2017. We have received an income tax refund of $0.8 million and $0.8 million for each year ended December 31, 2020 and 2019 for U.S. AMT credit carryforwards. We have net deferred tax assets relating primarily to net operating loss carryforwards and research and development tax credit carryforwards. Due to the uncertainty surrounding the realization of the benefits of our deferred tax assets in future tax periods, we have placed a valuation allowance against our deferred tax assets at December 31, 2020 and 2019. The Company recognizes valuation allowances to reduce deferred tax assets to the amount that is more likely than not to be realized. The Company’s net deferred income tax asset is not more likely than not to be realized due to the lack of sufficient sources of future taxable income and cumulative losses that have resulted over the years. During the year ended December 31, 2020, the valuation allowance increased by $28.6 million. The Company’s tax years starting in 2016 through 2019 remain open to potential examination by the U.S. and state taxing authorities due to carryforwards of net operating losses. As of December 31, 2020, we had cumulative net operating loss carryforwards for federal and state income tax purposes of $213.6 million and $161.4 million, respectively, and available tax credit carryforwards of approximately $26.7 million for federal income tax purposes and $14.3 million for state income tax purposes, which can be carried forward to offset future taxable income, if any. The federal net operating loss carryforwards consist of $68.0 million of losses incurred prior to January 1, 2018, which are subject to carryforward limitations and $145.6 million of losses incurred after January 1, 2018, which may be carried forward indefinitely. Our federal net operating loss carryforwards expire starting in 2026, state net operating loss carryforwards expire starting in 2035, and federal tax credit carryforwards began to expire in 2019. A total of $0.03 million in federal tax credits expired in 2019, and an additional $0.3 million will expire over the next five years if not utilized. Utilization of our net operating loss and tax credit carryforwards are subject to a substantial annual limitation under Section 382 of the Code due to the fact that we have experienced ownership changes. As a result of these changes, certain of our net operating loss and tax credit carryforwards may expire before we can use them. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2020 | |
Stock-Based Compensation | |
Stock-Based Compensation | 7. Stock-Based Compensation Our Board of Directors and the requisite stockholders previously approved the 2010 Equity Incentive Plan (the 2010 Plan). In October 2013, our Board of Directors approved the 2013 Equity Incentive Plan (the 2013 Plan), and in November 2013 our stockholders approved the 2013 Plan. The 2013 Plan provides for the grant of incentive stock options, nonstatutory stock options, stock appreciation rights, restricted stock awards, restricted stock unit awards, performance stock awards, performance cash awards, and other stock awards. The 2013 Plan became effective as of December 2, 2013, the date of the pricing of the Company’s initial public offering. As of December 2, 2013, we suspended the 2010 Plan, and no additional awards may be granted under the 2010 Plan. Any shares of common stock covered by awards granted under the 2010 Plan that terminate after December 2, 2013 by expiration, forfeiture, cancellation or other means without the issuance of such shares will be added to the 2013 Plan reserve. As of December 31, 2020, the total number of shares of common stock available for issuance under the 2013 Plan was 11,479,096. Unless otherwise determined by the Board, beginning January 1, 2014, and continuing until the expiration of the 2013 Plan, the total number of shares of common stock available for issuance under the 2013 Plan will automatically increase annually on January 1 by 4% of the total number of issued and outstanding shares of common stock as of December 31 of the immediately preceding year. On January 1, 2020, the total number of shares of common stock available for issuance under the 2013 Plan was increased by 1,138,046 shares, which is included in the number of shares available for issuance above. As of December 31, 2020, a total of 10,572,839 options have been granted under the 2013 Plan. As of December 31, 2020, the Company has awarded 453,787 RSUs to certain employees pursuant to the 2013 Plan. Vesting of these awards will be in three equal annual installments and is contingent on continued employment terms. The fair value of these awards is determined based on the intrinsic value of the stock on the date of grant and will be recognized as stock-based compensation expense over the requisite service period. In November 2013, our Board of Directors and stockholders approved the 2013 Employee Stock Purchase Plan (ESPP), which became effective as of December 5, 2013. Under the ESPP our employees may elect to have between 1-15% of their compensation withheld to purchase shares of the Company’s common stock at a discount. The ESPP had an initial two-year term that includes four six-month purchase periods, and employee withholding amounts may be used to purchase Company stock during each six-month purchase period. The initial two-year term ended in December 2015 and pursuant to the provisions of the ESPP, the second two-year term began automatically upon the end of the initial term. The total number of shares that can be purchased with the withholding amounts are based on the lower of 85% of the Company’s common stock price at the initial offering date or 85% of the Company’s stock price at each purchase date. We have reserved a total of 581,286 shares of common stock for issuance under the ESPP. Unless otherwise determined by our Board, beginning on January 1, 2014, and continuing until the expiration of the ESPP, the total number shares of common stock available for issuance under the ESPP will automatically increase annually on January 1 by the lesser of (i) 1% of the total number of issued and outstanding shares of common stock as of December 31 of the immediately preceding year, or (ii) 621,814 shares of common stock. On January 1, 2014, the total number of shares of common stock available for issuance under the ESPP was automatically increased by 313,545 shares, which is included in the number of shares reserved for issuance above. Pursuant to approval by our board, there were no increases in the number of authorized shares in the ESPP in years from 2015 to 2020. As of December 31, 2020, we have issued a total of 467,595 shares of common stock under the ESPP. Total employee, director and non-employee stock-based compensation expense recognized was as follows: Year Ended December 31, (in thousands) 2020 2019 2018 General and administrative $ 10,769 $ 8,854 $ 7,699 Research and development 20,850 22,997 12,849 $ 31,619 $ 31,851 $ 20,548 Year Ended December 31, (in thousands) 2020 2019 2018 Stock options $ 26,045 $ 30,502 $ 19,537 ESPP 804 687 744 RSUs 4,770 662 267 $ 31,619 $ 31,851 $ 20,548 Information with respect to stock options outstanding is as follows: December 31, 2020 2019 2018 Exercisable options 4,668,179 3,950,965 3,058,659 Weighted average exercise price per share of exercisable options $ 21.75 $ 17.79 $ 15.12 Weighted average grant date fair value per share of options granted during the year $ 16.96 $ 20.74 $ 18.06 Options available for future grants 3,346,092 3,975,160 3,576,574 Weighted average remaining contractual life 7.00 7.32 7.51 The following table summarizes stock option activity for the years ended December 31, 2020 and 2019: Weighted- Weighted- Average Average Remaining Exercise Contractual Aggregate Number of Price Term Intrinsic Value Shares (Per Share) (1) (in years) (in thousands) (2) Balances at December 31, 2018 5,966,928 19.71 7.51 $ 99,273 Options granted 2,142,228 35.80 Options forfeited (390,950) 32.23 Options exercised(3) (543,887) 17.04 Balances at December 31, 2019 7,174,319 24.03 7.32 $ 79,116 Options granted 1,679,324 33.08 Options forfeited (243,384) 32.93 Options exercised(3) (858,470) 19.36 Balances at December 31, 2020 7,751,789 $ 26.23 7.00 $ 134,941 As of December 31, 2020 Options vested and expected to vest 7,751,789 $ 26.23 7.00 $ 134,941 Exercisable 4,668,179 $ 21.75 5.91 $ 102,120 (1) The weighted average exercise price per share is determined using exercise price per share for stock options. (2) The aggregate intrinsic value is calculated as the difference between the exercise price of the option and the fair value of our common stock for in-the-money options at December 31, 2020 and 2019. (3) The total intrinsic value of stock options exercised was $16.3 million, $11.5 million and $23.6 million for the years ended December 31, 2020, 2019 and 2018 respectively. The stock options outstanding and exercisable by exercise price at December 31, 2020 are as follows: Stock Options Outstanding Stock Options Exercisable Weighted- Average Remaining Weighted- Weighted- Range of Contractual Average Average Exercise Number of Term Exercise Price Number of Exercise Price Prices Shares (in years) Per Share Shares Per Share $4.25 – $10.28 153,038 2.68 $ 4.29 153,038 $ 4.29 $10.52 – $15.78 1,639,702 4.30 $ 13.10 1,638,717 $ 13.10 $15.91 – $23.87 1,980,437 6.53 $ 22.75 1,654,609 $ 22.67 $23.96 – $35.94 2,330,771 8.65 $ 31.80 530,056 $ 30.12 $35.99 – $53.99 1,647,841 8.34 $ 37.63 691,759 $ 37.51 7,751,789 7.00 $ 26.23 4,668,179 $ 21.75 We estimated the fair value of employee and non-employee awards using the Black-Scholes valuation model. The fair value of employee stock options is being amortized on a straight-line basis over the requisite service period of the awards. Management estimates the probability of non-employee awards being vested based upon an evaluation of the non-employee achieving their specific performance goals. Options are issued at the fair market value of our stock on the date of grant. The fair value of employee stock options was estimated using the following weighted average assumptions for the years ended December 31, 2020, 2019 and 2018: Options 2020 2019 2018 Common stock fair value per share $ 20.69 - 45.91 $ 29.96 - 44.19 $ 21.80 - 43.16 Expected volatility 52.93% - 58.95% 60.67% - 61.33% 70.97% - 73.10% Risk-free interest rate 0.29% - 1.71% 1.37% - 2.60% 2.29% - 3.10% Expected dividend yield — — — Expected term (in years) 5.23 - 7.65 5.23 - 6.59 5.23 - 6.08 ESPP 2020 2019 2018 Expected term (years) 0.5 - 2.0 0.5 - 2.0 0.5 - 2.0 Expected volatility 50.77% - 66.37% 50.77% - 71.37% 57.04% - 71.37% Risk-free interest rate 0.09% - 1.65% 1.47% - 2.70% 1.47% - 2.70% Expected dividend yield — — — The expected term of stock options represents the average period the stock options are expected to remain outstanding. The expected stock price volatility for our stock options for the years ended December 31, 2020 and 2019 was determined using a blended volatility by examining the historical volatility for industry peer companies and the volatility of our stock from the effective date that our shares were publicly traded on a national stock exchange. For the year ended December 31, 2018, expected stock volatility was determined by examining the historical volatilities for industry peers and adjusting for differences in our life cycle and financing leverage. Industry peers consist of several public companies in the biopharmaceutical industry. We determined the average expected life of stock options based on the anticipated time period between the measurement date and the exercise date by examining the option holders’ past exercise patterns. The risk-free interest rate assumption is based on the U.S. Treasury instruments, for which the term was consistent with the expected term of our stock options. The expected dividend assumption is based on our history and expectation of dividend payouts. We have not paid dividends and did not have any dividend payout at December 31, 2020. The following table summarizes RSU activity for the years ended December 31, 2020: Weighted- Average Grant Date Number of Fair Value Shares (Per Unit) Unvested at December 31, 2018 33,933 $ 27.64 Granted 71,566 36.68 Vested (11,311) 27.64 Forfeited (4,182) 31.12 Unvested at December 31, 2019 90,006 $ 34.66 Granted 348,288 32.51 Vested (62,355) 32.61 Forfeited (17,114) 32.33 Unvested at December 31, 2020 358,825 $ 33.04 As of December 31, 2020 and 2019, the unamortized compensation expense related to unvested stock options was $48.9 million and $51.1 million, respectively. The remaining unamortized compensation expense will be recognized over the next 2.54 years. At December 31, 2020 and 2019, the unamortized compensation expense was $0.9 million and $1.4 million respectively under our ESPP. The remaining unamortized expense will be recognized over the next 0.94 years. At December 31, 2020 and 2019, the unamortized compensation expense related to unvested restricted stock units was $8.5 million and $2.5 million, respectively. The remaining unamortized compensation expense will be recognized over the next 2.13 years. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2020 | |
Leases | |
Leases | 8. Leases The Company leases office and laboratory space in Monrovia, CA under a lease that expired in June 2020. In April 2020 and in September 2020, the Company entered into amendments to the lease to extend the term of the lease under the original terms through October 2020. In November 2020, the Company entered into an amended lease for the space, which includes a 62-month term with an option to renew for an additional five years at then market rates. The Company also leased office space in San Diego, CA through July 2020 which included an option to renew for an additional five years. The lease expired and the Company did not exercise its option to extend the lease. The Company leases additional office space in San Diego, CA through August 2022, with an option to extend for an additional five years. The Company assesses that it is unlikely to exercise the option to extend the lease term. The Company’s lease agreements do not contain any residual value guarantees or restrictive covenants. As of December 31, 2020, the Company did not have additional operating leases that have not yet commenced. The following table reconciles the undiscounted cash flows for the operating leases at December 31, 2020 to the operating lease liabilities recorded on the balance sheet (in thousands): Years ending December 31, 2021 $ 2,429 2022 2,269 2023 1,415 2024 1,436 2025 1,396 Thereafter 5,342 Total undiscounted lease payments 14,287 Less: Imputed interest (2,659) Present value of lease payments $ 11,628 Lease liabilities - short-term $ 1,889 Lease liabilities - long-term 9,739 Total lease liabilities $ 11,628 The following table summarizes lease costs and cash disclosures for the years ended December 31, 2020 and 2019 (in thousands): Year Ended December 31, 2020 2019 Operating lease cost $ 2,503 $ 2,596 Variable lease cost 150 80 Total lease costs $ 2,653 $ 2,676 Cash paid for amounts included in the measurement of lease liabilities $ 2,233 $ 1,929 Rent expense for the year ended December 31, 2018 was $2.5 million. The 2020 lease amendments to the Monrovia, CA lease are lease modifications. Non-cash activities involving right of use assets related to the lease modification were $3.1 million. At December 31, 2020 and 2019, the weighted-average remaining lease terms for operating leases were 7.4 years and 5.5 years, respectively, and the weighted average discount rates for operating leases were both 5.5%. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies | |
Commitments and Contingencies | 9. Commitments and Contingencies Contingencies From time to time, the Company may be subject to various litigation and related matters arising in the ordinary course of business. The Company does not believe it is currently subject to any material matters where there is at least a reasonable possibility that a material loss may be incurred. We are obligated to make future payments to third parties under in-license agreements, including sublicense fees, royalties, and payments that become due and payable on the achievement of certain development and commercialization milestones. As the amount and timing of sublicense fees and the achievement and timing of these milestones are not probable and estimable, such commitments have not been included on our balance sheet. We have also entered into agreements with third party vendors which will require us to make future payments upon the delivery of goods and services in future periods. Guarantees In the normal course of business, we indemnify certain employees and other parties, such as collaboration partners and other parties that perform certain work on behalf of, or for the Company or take licenses to our technologies. We have agreed to hold these parties harmless against losses arising from our breach of representations or covenants, intellectual property infringement or other claims made against these parties in performance of their work with us. These agreements typically limit the time within which the party may seek indemnification by us and the amount of the claim. It is not possible to prospectively determine the maximum potential amount of liability under these indemnification agreements since we have not had any prior indemnification claims on which to base the calculation. Further, each potential claim would be based on the unique facts and circumstances of the claim and the particular provisions of each agreement. We are not aware of any potential claims and we did not record a liability as of December 31, 2020 and 2019. |
Collaboration and Licensing Agr
Collaboration and Licensing Agreements | 12 Months Ended |
Dec. 31, 2020 | |
Collaboration and Licensing Agreements | |
Collaboration and Licensing Agreements | 10. Collaboration and Licensing Agreements Following is a summary description of the material revenue arrangements, including arrangements that generated revenue in the period ended December 31, 2020, 2019, and 2018. The revenue reported for each agreement has been adjusted to reflect the adoption of ASC 606 for each period presented. Janssen Biotech, Inc. In November 2020, the Company entered into a Collaboration and License Agreement (the Janssen Agreement) with Janssen Biotech, Inc. (Janssen) pursuant to which Xencor and Janssen will conduct research and development activities to discover novel CD28 bispecific antibodies for the treatment of prostate cancer. Janssen and Xencor will conduct joint research activities for up to a three-year period to discover XmAb bispecific antibodies against CD28 and against an undisclosed prostate tumor-target with Janssen maintaining exclusive worldwide rights to develop and commercialize Licensed Products identified from the research activities. Under the Janssen Agreement, the Company will conduct research activities and apply its bispecific Fc technology to antibodies targeting prostate cancer provided by Janssen. Upon completion of the research activities Janssen will have a candidate selection option to advance an identified candidate for development and commercialization. The activities will be conducted under a research plan agreed to by both parties. Janssen will assume full responsibility for development and commercialization of the CD28 bispecific antibody candidate. Pursuant to the Janssen Agreement, the Company received an upfront payment of $50.0 million and is eligible to receive up to $662.5 million in milestones which include $161.9 million in development milestones, $240.6 million in regulatory milestones and $260.0 million in sales milestones. If commercialized, the Company is eligible to receive royalties on net sales that range from the high-single to low-double digit percentages. Pursuant to the Janssen Agreement, upon development of a bispecific candidate by Janssen through proof of concept, we have the right to opt-in to fund 20% of development costs and to perform 30% of detailing efforts in the U.S. If we exercise this right, we will be eligible to receive tiered royalties in the low-double digit to mid-teen percentage range. We evaluated the Janssen Agreement under ASC 606 and identified the performance obligation under the Agreement to be delivery of CD28 bispecific antibodies to Janssen from the research activities outlined in the research plan. The Company determined that the license to the bispecific antibodies is not a separate performance obligation because it is not capable of being distinct, the license to the antibodies cannot be separated from the underlying antibodies. Janssen will benefit from delivery of the bispecific antibodies upon completion of the research activities. The Company determined that the transaction price of the Janssen Agreement at inception was $50.0 million consisting of the upfront payment. The potential milestones are not included in the transaction price as these are contingent on future events and the Company would not recognize these in revenue until it is not probable that these would not result in significant reversal of revenue amounts in future periods. The candidate selection option payment is substantive and is a separate performance obligation. The Company will re-assess the transaction price at each reporting period and when event outcomes are resolved or changes in circumstances occur. The Company allocated the transaction price to the single performance obligation, delivery of CD28 bispecific antibodies to Janssen. The Company will recognize the $50.0 million transaction price as it satisfies its performance obligation to deliver CD28 bispecific antibodies to Janssen. The Company will recognize revenue related to the performance obligation over the expected period of time to complete and deliver the CD28 bispecific antibodies to Janssen using the expected input method which considers an estimate of the Company’s efforts to complete the research activities outlined in the Janssen Agreement. No revenue was recognized under this arrangement for the year ended December 31, 2020, and there is $50.0 million in deferred revenue as of December 31, 2020 related to our obligation to complete research activities and deliver CD28 bispecific antibodies under the Janssen Agreement. Aimmune Therapeutics, Inc. On February 4, 2020, the Company entered into a License, Development and Commercialization Agreement (the Aimmune Agreement) with Aimmune Therapeutics, Inc. (Aimmune) pursuant to which the Company granted Aimmune an exclusive worldwide license to XmAb7195, which was renamed AIMab7195. Under the Aimmune Agreement, Aimmune will be responsible for all further development and commercialization activities for XmAb7195. The Company received an upfront payment of $5.0 million and 156,238 shares of Aimmune common stock with an aggregate value of $4.6 million on the closing date. Under the Aimmune Agreement, the Company is also eligible to receive up to $385.0 million in milestones, which include $22.0 million in development milestones, $53.0 million in regulatory milestones and $310.0 million in sales milestones, and tiered royalties on net sales of approved products from high-single to mid-teen percentage range. Under the Aimmune Agreement, Aimmune received exclusive worldwide rights to manufacture, develop and commercialize XmAb7195. They also received the rights to all data, information and research materials related to the XmAb7195 program. The Company evaluated the Aimmune Agreement under the revenue recognition standard ASC 606 and identified the following performance obligations that it deemed to be distinct at the inception of the contract: ● license to the rights to the XmAb7195 drug candidate; and ● rights to material, data, and information that the Company had accumulated in connection with manufacturing, testing, and conducting clinical trials for the XmAb7195 program and intellectual property filings and information (XmAb7195 data). The Company considered the licenses as functional intellectual property as Aimmune has the right to use XmAb7195 at the time that the Company transfers such rights. The rights to the XmAb7195 data are not considered to be separate from the license to XmAb7195 as Aimmune cannot benefit from the license without the supporting data and documentation. The Company determined the transaction price at inception is $9.6 million which consists of the $5.0 million upfront payment and the 156,238 shares of Aimmune common stock which had a value of $4.6 million on the closing date. The Company determined that the transaction price is to be allocated to the performance obligations. The Aimmune Agreement includes variable consideration for potential future milestones and royalties that are contingent on future success factors for the XmAb7195 program. The Company used the “most likely amount” method to determine the variable consideration. None of the development, regulatory or sales milestones or royalties were included in the transaction price. The Company will re-evaluate the transaction price in each reporting period as uncertain events are resolved or other changes in circumstances occur. The Company determined the transaction price at inception of the Aimmune Agreement and allocated it to the performance obligation, delivery of the XmAb7195 license. The Company completed delivery of its performance obligations in March 2020. The license to XmAb7195 was transferred to Aimmune at inception of the Aimmune Agreement, and the XmAb7195 data were transferred to Aimmune in March 2020. The Company recognized $9.6 million of revenue related to the agreement for the year ended December 31, 2020. There is no deferred revenue as of December 31, 2020 related to this agreement. Genentech In February 2019, the Company entered into a collaboration and license agreement (the Genentech Agreement) with Genentech, Inc. and F. Hoffman-La Roche Ltd (collectively, Genentech) for the development and commercialization of novel IL-15 collaboration products (Collaboration Products), including XmAb306, the Company’s IL-15/IL15Rα-Fc candidate. Under the terms of the Genentech Agreement, Genentech received an exclusive worldwide license to XmAb306 and other Collaboration Products, including any new IL-15 programs identified during the joint research collaboration. Genentech and Xencor will jointly collaborate on worldwide development of XmAb306 and potentially other Collaboration Products. The Company received a $120.0 million upfront payment and is eligible to receive up to an aggregate of $160.0 million in clinical milestone payments for XmAb306 and up to $180.0 million in clinical milestone payments for each new Collaboration Product. The Company is also eligible to receive 45% share of net profits for sales of XmAb306 and other Collaboration Products, while also sharing in net losses at the same percentage rate. The parties will jointly share in development and commercialization costs for all programs designated as a development program under the Genentech Agreement at the same percentage rate, while Genentech will bear launch costs entirely. The initial 45% profit-cost share percentage is subject to a one-time downward adjustment at the Company’s discretion and convertible to a royalty under certain circumstances. Pursuant to the Genentech Agreement, XmAb306 is designated as a development program and all costs incurred for developing both XmAb306 is being shared with Genentech under the initial cost-sharing percentage. Under the Genentech Agreement, the Company and Genentech will conduct joint research activities for a two-year period to identify and discover additional IL-15 candidates developed from the Company’s cytokine and bispecific technologies. The two-year research term may be extended an additional year if both parties agree. The Company and Genentech are each responsible for their own costs in conducting the research activities. The Company is eligible for clinical milestone payments for new Collaboration Products identified from the research efforts. The Company evaluated the Genentech Agreement under the provisions of ASU No. 2014-09, Revenue from Contracts with Customers Collaborative Arrangements The Company identified the following performance obligations under the Genentech Agreement: (i) the license of XmAb306 and (ii) research services during a two-year period to identify up to potentially nine additional IL-15 candidates, each a separate research program and a separate performance obligation. The Company determined that the license and each of the potential research programs are separate performance obligations because they are capable of being distinct and are distinct in the context of the Genentech Agreement. The license to XmAb306 has standalone functionality as Genentech has exclusive worldwide rights to the program, including the right to sublicense to third parties. Upon the transfer of the license of XmAb306, Genentech could develop and commercialize XmAb306 without further assistance from the Company. The Company determined that the research services for each potential additional IL-15 candidate and research program were separate standalone performance obligations. The Genentech Agreement provides an outline of an integrated research plan for the programs to be conducted by the two companies, and the research activities are separate and distinct from the license to XmAb306. In October 2020, an additional program was declared a Collaboration Program under the Agreement, and the Company completed its performance obligation for that specific research program as the program and licensed rights were transferred to Genentech. The Company determined the standalone selling price of the license to be $114.4 million using the adjusted market assessment approach considering similar collaboration and license agreements and transactions. The standalone selling price for the research activities for all nine of the potential IL-15 programs to be performed during the research term was determined to be $8.5 million using the expected cost approach which was derived from the Company’s experience and information from providing similar research activities to other parties. The Company determined that the transaction price of the Genentech Agreement at inception was $120.0 million consisting of the upfront payment. The potential milestones are not included in the transaction price as these are contingent on future events and the Company would not recognize these in revenue until it is not probable that these would not result in significant reversal of revenue amounts in future periods. The Company will re-assess the transaction price at each reporting period and when event outcomes are resolved or changes in circumstances occur. The Company allocated the transaction price to each of the separate performance obligations using the relative standalone selling price with $111.7 million allocated to the license to XmAb306, $4.1 million allocated to the additional program and $4.2 million allocated to the research services. The Company recognized the $111.7 million allocated to the license when it satisfied its performance obligation and transferred the license to Genentech in March 2019. The license was transferred upon the effective date of the Genentech Agreement, and the $8.3 million allocated to the research activities is being recognized over a period of time through the end of the research term or the time that a program is delivered to Genentech. A total of $3.5 million and $2.2 million of revenue related to the research activities was recognized for the years ended December 31, 2020 and December 31, 2019, respectively. For the years ended December 31, 2020 and December 31, 2019, we recognized $3.5 million and $113.9 million of income, respectively from the Genentech Agreement. As of December 31, 2020, there is a $3.2 million payable related to cost-sharing development activities during the fourth quarter of 2020. There is $2.5 million in deferred revenue as of December 31, 2020 which reflects our obligation to perform research services during the remaining research term. Astellas Effective March 29, 2019, the Company entered into a Research and License Agreement (Astellas Agreement) with Astellas Pharma Inc. (Astellas) pursuant to which the Company and Astellas will conduct a discovery program to characterize compounds and products for development and commercialization. Under the Astellas Agreement, Astellas was granted a worldwide exclusive license, with the right to sublicense products in the field created by the research activities. Pursuant to the Astellas Agreement, the Company applied its bispecific Fc technology to research antibodies provided by Astellas to generate bispecific antibody candidates and returned the candidates to Astellas for further development and commercialization. The activities were conducted under a research plan agreed to by both parties to the Astellas Agreement. Astellas will assume full responsibility for development and commercialization of the antibody candidate. Pursuant to the Astellas Agreement, the Company received an upfront payment of $15.0 million and is eligible to receive up to $240.0 million in milestones, which include $32.5 million in development milestones, $57.5 million in regulatory milestones and $150.0 million in sales milestones. If commercialized, the Company is eligible to receive royalties on net sales that range from the high-single to low-double digit percentages. We evaluated the Astellas Agreement under ASC 606 and identified the performance obligations under the Agreement to be (i) delivery of bispecific antibodies to Astellas from the antigen provided by Astellas and (ii) research activities against the bispecific antibodies as outlined in the research plan. The Company determined the standalone selling price of the bispecific deliverable to be $17.1 million and the standalone selling price for the research activities to be performed was determined to be $1.4 million. The Company determined that the transaction price of the Astellas Agreement is $17.5 million consisting of the upfront payment and an initial milestone of $2.5 million for Astellas initiating an IND enabling study. The additional milestones are not included in the transaction price as these are contingent on future events, and the Company would not recognize these in revenue until it is not probable that these would not result in significant reversal of revenue amounts in future periods. The Company will re-assess the transaction price at each reporting period and when event outcomes are resolved or changes in circumstances occur. The Company allocated the transaction price to each of the separate performance obligations using the relative standalone selling price with $16.1 million allocated to delivery of the bispecific antibodies and the remainder of $1.4 million was allocated to the research activities. The Company recognized the $13.6 million allocated to the bispecific antibodies when it satisfied its performance obligation to Astellas in 2019 and recognized $2.5 million related to the milestone in 2020. The $1.4 million allocated to the research activities was recognized as the research services were completed. We recognized $3.5 million and $14.0 million of revenue under this arrangement for the years ended December 31, 2020 and December 31, 2019, respectively. There is a $2.5 million contract asset recorded at December 31, 2020 related to a milestone. There is zero and $1.0 million in deferred revenue as of December 31, 2020 and December 31, 2019, respectively. Novartis In June 2016, the Company entered into a Collaboration and License Agreement (Novartis Agreement) with Novartis Institutes for BioMedical Research, Inc. (Novartis), to develop and commercialize bispecific and other Fc engineered antibody drug candidates using the Company’s proprietary XmAb technologies and drug candidates. Pursuant to the Novartis Agreement: ● The Company granted Novartis certain exclusive rights to research, develop and commercialize XmAb14045 (vibecotamab) and XmAb13676 (plamotamab), two development stage products that incorporate the Company’s bispecific Fc technology; ● The Company will apply its bispecific technology in up to four target pair antibodies identified by Novartis (each a Global Discovery Program); and ● The Company will provide Novartis with a non-exclusive license to certain of its Fc technologies to apply against up to ten targets identified by Novartis. In December 2018, Novartis notified the Company it was terminating its rights with respect to the plamotamab program, which became effective June 2019. Under the Novartis Agreement, Novartis is responsible to fund its share of plamotamab development costs through June 2020. In November 2019, the Company and Novartis amended the Agreement, and Novartis paid the Company $1.4 million in settlement of its projected remaining cost-sharing due for the plamotamab program. We completed delivery of a Global Discovery Program in 2017 and delivery of a second Global Discovery Program in 2018. In December 2019, Novartis dosed a patient in a Phase 1 study with an undisclosed bispecific antibody that is a Global Discovery Program, and we received a $10.0 million milestone payment. Novartis will assume full responsibility for development and commercialization of each product candidate under each of the Global Discovery Programs. Under ASC 606, revenue is recognized at the time that the Company’s performance obligation for each Global Discovery is completed upon delivery of each discovery program to Novartis. The Company delivered a discovery program to Novartis in 2017 and recognized $20.1 million of revenue in the period of delivery. In the third quarter of 2018, the Company delivered a second discovery program to Novartis and recognized an additional $20.0 million of revenue. In the third quarter of 2019, Novartis received notice of approval for an investigational new study (IND) from the Food and Drug Administration (FDA) for an application submitted for a Global Discovery Program, and we recognized $10.0 million of revenue. During the year ended December 31, 2019 and 2018, the Company recognized $10.0 million and $20.0 million of revenue respectively. No revenue was recognized during the year ended December 31, 2020. There is a receivable of $0.9 million and $12.2 million as of December 31, 2020 and December 31, 2019, respectively, related to the arrangement, and we have recorded $40.1 million in deferred revenue as of December 31, 2020 related to the arrangement. Amgen Inc. In September 2015, the Company entered into a research and license agreement (the Amgen Agreement) with Amgen Inc. (Amgen) to develop and commercialize bispecific antibody product candidates using the Company’s proprietary XmAb® bispecific Fc technology. Under the Amgen Agreement, the Company granted an exclusive license to Amgen to develop and commercialize bispecific drug candidates from the Company’s preclinical CD38 Program. The Company also agreed to apply its bispecific technology to five previously identified Amgen provided targets (each a Discovery Program). The Company received a $45.0 million upfront payment and milestones totaling $15.5 million from Amgen and is eligible to receive up to $255.0 million in future development, regulatory and sales milestones in total for programs in development and is eligible to receive royalties on any global net sales of products. Amgen will assume full responsibility for development and commercialization of product candidates under each of the Discovery Programs. The Company evaluated the Amgen Agreement under ASC 606 and determined that it is a customer and that delivery of the CD38 Program and each of the five Discovery Programs represent the performance obligations under the contract. The Company determined the transaction price at inception is the $45.0 million upfront payment to be allocated to the performance obligations. The Amgen Agreement includes variable consideration for potential future milestones and royalties that were contingent on future success factors for development programs. The Company used the “most likely” method to determine the variable consideration. In 2019, the Company recognized a $5.0 million milestone related to one of the Discovery Programs. No other development, regulatory or sales milestones or royalties were included in the transaction price. The Company will re-evaluate the transaction price in each reporting period and as uncertain events are resolved or other changes in circumstances occur. The Company completed performance obligations under the Amgen Agreement. In the third quarter of 2019, a $5.0 million milestone was recognized in connection with a development milestone for a Discovery Program. During the years ended December 31, 2019 and 2018, the Company recognized $5.0 million and $0.6 million in revenue, respectively, under this arrangement. No revenue was recognized for the year ended December 31, 2020. As of December 31, 2020, there was no deferred revenue related to the arrangement. MorphoSys AG In June 2010, the Company entered into a Collaboration and License Agreement with MorphoSys AG (MorphoSys), which was subsequently amended in March 2012 and in 2020. The agreement provides MorphoSys with an exclusive worldwide license to the Company’s patents and know-how to research, develop, and commercialize the Company’s XmAb5574 product candidate (subsequently renamed MOR208 and tafasitamab) with the right to sublicense under certain conditions. If certain developmental, regulatory, and sales milestones are achieved, the Company is eligible to receive future milestone payments and royalties. The Company recognized a total of $37.5 million of milestone revenue related to regulatory submission and approval of MorphoSys’ tafasitamab in the U.S., now Monjuvi, and royalties of $1.5 million on net sales of Monjuvi for the year ended December 31, 2020. There were no revenues recognized under this arrangement for the years ended December 31, 2019 and 2018. As of December 31, 2020, the Company has no deferred revenue related to this agreement and has recorded a receivable of $1.2 million for royalties due. Alexion Pharmaceuticals, Inc. In January 2013, the Company entered into an option and license agreement with Alexion Pharmaceuticals, Inc. (Alexion). Under the terms of the agreement, the Company granted to Alexion an exclusive research license, with limited sublicensing rights, to make and use our Xtend technology. Alexion exercised its rights to include our technology in ALXN1210, which is now marketed as Ultomiris. The Company is eligible to receive contractual milestones for certain development, regulatory and commercial achievements, and the Company is also entitled to receive royalties based on a percentage of net sales of such products sold by Alexion, its affiliates or its sub licensees, which percentage is in the low single digits. Alexion’s royalty obligations continue on a product-by-product and country-by-country basis until the expiration of the last-to-expire valid claim in a licensed patent covering the applicable product in such country. In 2018, Alexion completed certain regulatory submissions and regulatory approvals for Ultomiris, and the Company received $20.0 million in milestone payments. In 2019, Alexion completed certain regulatory submissions for Ultomiris, and the Company received a total of $8.0 million in milestone payments. During 2019, the Company also recorded royalty revenue of $5.0 million in connection with reported net sales of Ultomiris by Alexion. In 2020, the Company received $10.0 million for the achievement of certain sales milestones of Ultomiris in 2020 and also recorded royalty revenue of $16.2 million on net sales. The total revenue recognized under this arrangement was $26.2 million, $13.0 million, and $20.0 million for the years ended December 31, 2020, 2019, and 2018, respectively. As of December 31, 2020, there is a receivable of $8.8 million, and there is no deferred revenue related to this agreement. Gilead Sciences, Inc. In January 2020, the Company entered into a Technology License Agreement (the Gilead Agreement) with Gilead Sciences, Inc. (Gilead), in which the Company provided Gilead an exclusive license to its Cytotoxic Fc and Xtend Fc technologies for an initial identified antibody and options for up to three additional antibodies directed to the same molecular target. Gilead is responsible for all development and commercialization activities for all target candidates. The Company received an upfront payment of $6.0 million and is eligible to receive up to $67.0 million in milestones, which include $10.0 million in development milestones, $27.0 million in regulatory milestones and $30.0 million in sales milestones for each product incorporating the antibodies selected. In addition, the Company is eligible to receive royalties in the low-single digit percentage range on net sales of approved products. In the second quarter of 2020, Gilead exercised options on three additional antibody compounds, and in April 2020, we received a total of $7.5 million in payment of the three options. The Company evaluated the Gilead Agreement under the revenue recognition standard ASC 606 and identified the following performance obligations that it deemed to be distinct at the inception of the contract: ● non-exclusive license to its Cytotoxic Fc and Xtend Fc technologies; and ● options for four exclusive commercial licenses to incorporate the licensed technologies on approved target compounds. The Company considered the licenses as functional intellectual property as Gilead has the right to use the technologies at the time that the Company transfers such rights. Each of the four options is considered a separate performance obligation as the arrangement does not confer material rights to the options without payment of the option exercise fee. Gilead will benefit from each option upon exercise of each of the four options and payment of each option fee as Gilead has access to each technology at inception of the arrangement and the rights are transferred upon payment of each option fee. The total transaction price is $13.5 million which includes the upfront payment of $6.0 million and the option fee payment of $7.5 million which was contractually due with the exercise of the three options by Gilead. The milestone payments are variable consideration to which the Company applied the “most likely amount” method and concluded at inception of the Gilead Agreement it is unlikely that the Company will collect such payments. The milestone payments were not included in the transaction price, and the Company will review this conclusion and update at each reporting period. The Company allocated $3.5 million of the transaction price to the licenses to the cytotoxic Fc and Xtend Fc technologies and recognized income for the licenses at inception of the arrangement when Gilead began benefiting access to them. The Company allocated $2.5 million to the initial option exercise which was effective at inception of the arrangement and payment of the upfront amount, and the Company allocated $7.5 million to the three remaining options which became effective in April 2020 when Gilead paid the option fees. The Company recognized $13.5 million of revenue related to the Gilead Agreement for the year ended December 31, 2020. There is no deferred revenue as of December 31, 2020 related to this agreement. Omeros Corporation In August 2020, the Company entered into a Technology License Agreement (the Omeros Agreement) with Omeros Corporation (Omeros), in which the Company provided Omeros a non-exclusive license to its Xtend Fc technology, an exclusive license to apply its Xtend technology to an initial identified antibody and options to apply its Xtend technology to three additional antibodies. Omeros is responsible for all development and commercialization activities for all target candidates. The Company received an upfront payment of $5.0 million and is eligible to receive up to $65.0 million in milestones, which include $15.0 million in development milestones, $25.0 million in regulatory milestones and $25.0 million in sales milestones for each product incorporating the antibodies selected. In addition, the Company is eligible to receive royalties in the mid-single digit percentage range on net sales of approved products. The Company evaluated the Omeros Agreement under the revenue recognition standard ASC 606 and identified the following performance obligations that it deemed to be distinct at the inception of the contract: ● non-exclusive license to its Xtend Fc technologies; and ● options for four exclusive commercial licenses to incorporate the licensed technologies on approved target compounds. The Company considered the license as functional intellectual property as Omeros has the right to use the technology at the time that the Company transfers such rights. Each of the four options is considered a separate performance obligation as the arrangement does not confer material rights to the options without payment of the option exercise fee. Omeros will benefit from each option upon exercise of each of the four options and payment of each option fee as Omeros has access to each technology at inception of the arrangement and the rights are transferred upon payment of each option fee. The total transaction price is $5.0 million, which includes the upfront payment. The milestone payments are variable consideration to which the Company applied the “most likely amount” method and concluded at inception of the Omeros Agreement it is unlikely that the Company will collect such payments. The milestone payments were not included in the transaction price and the Company will review this conclusion and update at each reporting period. The Company allocated $2.0 million of the transaction price to the licenses to the Xtend Fc technology and recognized income for the licenses at inception of the arrangement when Omeros began benefiting access to it. The Company allocated $3.0 million to the initial option exercise which was effective at inception of the arrangement. The Company recognized $5.0 million of revenue related to the Omeros Agreement for the year ended December 31, 2020. There is no deferred revenue as of December 31, 2020 related to this agreement. MiRagen Therapeutics, Inc./Vi |
401(k) Plan
401(k) Plan | 12 Months Ended |
Dec. 31, 2020 | |
401(k) Plan | |
401(k) Plan | 11. 401(k) Plan We have a 401(k)-plan covering all full-time employees. Employees may make pre-tax contributions up to the maximum allowable by the Internal Revenue Code. Effective January 1, 2018, the Company contributes 100% of the first 1% of participating employees’ contribution and 50% of the next 5% of participating employees’ contribution, for a maximum of 3.5% employer contribution. Effective March 31, 2020, the Company contributes 100% of the first 1% of participating employees’ contribution and 50% of the next 6% of participating employees’ contribution, for a maximum of 4.0% of employer contribution. Participants are immediately vested in their employee contributions; employer contributions are vested over a three-year period with one |
Condensed Quarterly Financial D
Condensed Quarterly Financial Data (unaudited) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Quarterly Financial Data (unaudited) | |
Condensed Quarterly Financial Data (unaudited) | 12. Condensed Quarterly Financial Data (unaudited) The following table contains selected unaudited financial data for each quarter of 2020 and 2019. The unaudited information should be read in conjunction with the Company’s financial statements and related notes included elsewhere in this Annual Report. The Company believes that the following information reflects all normal recurring adjustments necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period. Quarterly Financial Data (in thousands, except per share data): 2020 Quarter Ended March 31, June 30, September 30, December 31, Total revenue $ 32,385 $ 13,089 $ 35,366 $ 41,854 Loss from operations (8,777) (37,600) (16,722) (13,698) Net loss (8,074) (35,018) (12,550) (13,691) Basic net loss per common share (0.14) (0.61) (0.22) (0.24) Diluted net loss per common share (0.14) (0.61) (0.22) (0.24) 2019 Quarter Ended March 31, June 30, September 30, December 31, Total revenue $ 111,939 $ 19,485 $ 21,760 $ 3,516 Income (loss) from operations 78,244 (19,572) (14,276) (30,572) Net income (loss) 80,045 (16,034) (10,224) (26,912) Basic net income (loss) per common share 1.42 (0.28) (0.18) (0.47) Diluted net income (loss) per common share 1.38 (0.28) (0.18) (0.47) |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Polices) | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies | |
Basis of Presentation | Basis of Presentation The Company’s financial statements as of December 31, 2020, 2019, and 2018 and for the years then ended have been prepared in accordance with accounting principles generally accepted in the United States (U.S.). |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Significant estimates include useful lives of long-lived assets, the periods over which certain revenues and expenses will be recognized including collaboration revenue recognized from non-refundable upfront licensing payments, the amount of non-cash compensation costs related to share-based payments to employees and non-employees and the period over which these costs are expensed. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Pronouncements adopted in 2020 Effective January 1, 2020, the Company adopted ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, as well as ASU No, 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses. The standard amends guidance on reporting credit losses for assets held at amortized cost basis and also provides an available-for-sale (AFS) debt security impairment model that is a modified version of the other-than-temporary-impairment (OTTI) model. The AFS debt security impairment model no longer allows consideration of the length of time during which the fair value has been less than its amortized cost when determining whether a credit loss exists. The adoption of this standard did not have any impact on the Company’s financial statements. Effective January 1, 2020, the Company adopted ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement, which modifies the disclosures for transfers between Level 1 and Level 2 of the fair value hierarchy, modifies the Level 3 disclosure requirements for non-public entities and requires additional disclosure for Level 3 fair value hierarchy. The adoption of this standard did not have any impact on the Company’s financial statements. Effective January 1, 2020, the Company adopted ASU No. 2018-18, Collaborative Arrangements (Topic 808): Clarifying the Interaction Between Topic 808 and Topic 606, which provides guidance on how to assess whether certain transactions between collaborative arrangement participants should be accounted for within the revenue recognition standard. The adoption of this standard did not have any impact on the Company’s financial statements. Pronouncements not yet effective In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes In January 2020, the FASB issued ASU No. 2020-01, which clarifies that a company should consider observable transactions that require a company to either apply or discontinue the equity method of accounting under Topic 323, Investment – Equity Method and Joint Ventures, for the purposes of applying the measurement alternative in accordance with Topic 321, Investments – Equity Securities immediately before applying or upon discontinuing the equity method. The amendment is effective for fiscal years beginning after December 15, 2020. The Company does not anticipate that the standard will have a significant impact on its financial statements. In October 2020, the FASB issued ASU No. 2020-10, Codification Improvements |
Revenue Recognition | Revenue Recognition We have, to date, earned revenue from research and development collaborations, which may include research and development services, licenses of our internally developed technologies, licenses of our internally developed drug candidates, or combinations of these. The terms of our license, research and development and collaboration agreements generally include non-refundable upfront payments, research funding, co-development payments and reimbursements, license fees, and milestone and other contingent payments to us for the achievement of defined collaboration objectives and certain clinical, regulatory and sales-based events, as well as royalties on sales of any commercialized products. The terms of our licensing agreements include non-refundable upfront fees, annual licensing fees, and contractual payment obligations for the achievement of pre-defined preclinical, clinical, regulatory and sales-based events by our partners. The licensing agreements also include royalties on sales of any commercialized products by our partners. We recognize revenue through the five-step process in accordance with ASC 606 Revenue Recognition when control of the promised goods or services is transferred to our customers in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. |
Deferred Revenue | Deferred Revenue Deferred revenue arises from payments received in advance of the culmination of the earnings process. We have classified deferred revenue for which we stand ready to perform within the next 12 months as a current liability. We recognize deferred revenue as revenue in future periods when the applicable revenue recognition criteria have been met. The total amounts reported as deferred revenue were $92.6 million and $47.1 million at December 31, 2020 and 2019, respectively. |
Research and Development Expenses | Research and Development Expenses Research and development expenses include costs we incur for our own and for our collaborators’ research and development activities. Research and development costs are expensed as incurred. These costs consist primarily of salaries and benefits, including associated stock-based compensation, laboratory supplies, facility costs, and applicable overhead expenses of personnel directly involved in the research and development of new technology and products, as well as fees paid to other entities that conduct certain research development activities on our behalf. We estimate preclinical study and clinical trial expenses based on the services performed pursuant to the contracts with research institutions and clinical research organizations that conduct and manage preclinical studies and clinical trials on our behalf based on the actual time and expenses incurred by them. Further, we accrue expenses related to clinical trials based on the level of patient enrollment and activity according to the related agreement. We monitor patient enrollment levels and related activity to the extent reasonably possible and adjust estimates accordingly. We capitalize acquired research and development technology licenses and third-party contract rights where such assets have an alternative use and amortize the costs over the shorter of the license term or the expected useful life. We review the license arrangements and the amortization period on a regular basis and adjust the carrying value or the amortization period of the licensed rights if there is evidence of a change in the carrying value or useful life of the asset. |
Cash and Cash Equivalents | Cash and Cash Equivalents We consider cash equivalents to be only those investments which are highly liquid, readily convertible to cash and which mature within three months from the date of purchase. |
Marketable and Equity Securities | Marketable and Equity Securities The Company has an investment policy that includes guidelines on acceptable investment securities, minimum credit quality, maturity parameters and concentration and diversification. The Company invests its excess cash primarily in marketable debt securities issued by investment grade institutions. The Company considers its marketable debt securities to be available-for-sale and does not intend to sell these securities, and it is not more likely than not the Company will be required to sell the securities before recovery of the amortized cost basis. These assets are carried at fair value and any impairment losses and recoveries related to the underlying issuer’s credit standing are recognized within other income (expense), while non-credit related impairment losses and recoveries are recognized within accumulated other comprehensive income (loss). There were no impairment losses or recoveries recorded for the years ended in December 31, 2020 and 2019, respectively. Accrued interest on marketable debt securities is included in marketable securities’ carrying value. Accrued interest was $1.4 million and $2.7 million at December 31, 2020 and 2019, respectively. Each reporting period, the Company reviews its portfolio of marketable debt securities, using both quantitative and qualitative factors, to determine if each security’s fair value has declined below its amortized cost basis. The Company receives equity securities in connection with certain licensing transactions with its partners. These investments in an equity security are carried at fair value with changes in fair value recognized each period and reported within other income (expense). For equity securities with a readily determinable fair value, the Company remeasures these equity investments at each reporting period until such time that the investment is sold or disposed. If the Company sells an investment, any realized gains or losses on the sale of the securities will be recognized within other income (expense) in the Statement of Comprehensive Income (Loss) in the period of sale. The Company also has an investment in an equity security without a readily determinable fair value, where the Company elects the measurement alternative to record at its initial cost minus impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. |
Concentrations of Risk | Concentrations of Risk Cash, cash equivalents and marketable debt securities are financial instruments that potentially subject the Company to concentrations of risk. We invest our cash in corporate debt securities and U.S. sponsored agencies with strong credit ratings. We have established guidelines relative to diversification and maturities that are designed to help ensure safety and liquidity. These guidelines are periodically reviewed to take advantage of trends in yields and interest rates. Cash and cash equivalents are maintained at financial institutions, and at times, balances may exceed federally insured limits. We have never experienced any losses related to these balances. Amounts on deposit in excess of federally insured limits at December 31, 2020 and 2019 approximated $163.3 million and $50.0 million, respectively. We have payables with one service provider that represent 49% of our total payables and with two service providers that represented 48% of our total payables at December 31, 2020 and 2019, respectively. We rely on three critical suppliers for the manufacture of our drug product for use in our clinical trials. While we believe that there are alternative vendors available, a change in manufacturing vendors could cause a delay in the availability of drug product and result in a delay of conducting and completing our clinical trials. No other vendor accounted for more than 10% of total payables at December 31, 2020 or 2019. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Our financial instruments primarily consist of cash and cash equivalents, marketable debt securities, accounts receivable, accounts payable and accrued expenses. Marketable debt securities and cash equivalents are carried at fair value. The fair value of the other financial instruments closely approximate their fair value due to their short maturities. The Company accounts for recurring and non-recurring fair value measurements in accordance with FASB Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures Level 1— Level 2— Level 3— The Company measures the fair value of financial assets using the highest level of inputs that are reasonably available as of the measurement date. The assets recorded at fair value are classified within the hierarchy as follows for the periods reported (in thousands): December 31, 2020 Total Fair Value Level 1 Level 2 Level 3 Money Market Funds in Cash and Cash Equivalents $ 158,937 $ 158,937 $ — $ — Corporate Securities 119,833 — 119,833 — Government Securities 315,353 — 315,353 — Equity Securities with Readily Determinable Fair Value 5,303 5,303 — — Equity Securities without Readily Determinable Fair Value 16,071 — — 16,071 $ 615,497 $ 164,240 $ 435,186 $ 16,071 December 31, 2019 Total Fair Value Level 1 Level 2 Level 3 Money Market Funds in Cash and Cash Equivalents $ 32,009 $ 32,009 $ — $ — Corporate Securities 281,751 — 281,751 — Government Securities 269,245 — 269,245 — $ 583,005 $ 32,009 $ 550,996 $ — The Company holds equity securities without readily determinable fair value as of December 31, 2020. The Company elects the measurement alternative to record at its initial cost minus impairment, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. |
Property and Equipment | Property and Equipment Property and equipment are recorded at cost and depreciated using the straight-line method over the estimated useful lives of the assets. Expenditures for repairs and maintenance are charged to expense as incurred, while renewals and improvements are capitalized. Useful lives by asset category are as follows: Computers, software and equipment 3 - 5 years Furniture and fixtures 5 - 7 years Leasehold improvements 5 - 7 years or remaining lease term, whichever is less |
Patents, Licenses, and Other Intangible Assets | Patents, Licenses, and Other Intangible Assets The cost of acquiring licenses is capitalized and amortized on the straight-line basis over the shorter of the term of the license or its estimated economic life, ranging from 5 13 The carrying amount and accumulated amortization of patents, licenses, and other intangibles is as follows (in thousands): December 31, 2020 2019 Patents, definite life $ 12,038 $ 10,597 Patents, pending issuance 8,432 7,266 Licenses and other amortizable intangible assets 2,560 2,510 Nonamortizable intangible assets (trademarks) 399 399 Total gross carrying amount 23,429 20,772 Accumulated amortization—patents (5,791) (4,912) Accumulated amortization—licenses and other (1,661) (1,439) Total intangible assets, net $ 15,977 $ 14,421 Amortization expense for patents, licenses, and other intangible assets was $1.1 million, $0.9 million and $0.9 million for the years ended December 31, 2020, 2019 and 2018, respectively. Future amortization expense for patent, licenses, and other intangible assets recorded as of December 31, 2020, and for which amortization has commenced, is as follows: Year ended December 31, (in thousands) 2021 $ 947 2022 906 2023 829 2024 667 2025 589 Thereafter 3,208 Total $ 7,146 The above amortization expense forecast is an estimate. Actual amounts of amortization expense may differ from estimated amounts due to additional intangible asset acquisitions, impairment of intangible assets, accelerated amortization of intangible assets, and other events. As of December 31, 2020, the Company has $8.4 million of intangible assets which are in-process and have not been placed in service, and accordingly amortization on these assets has not commenced. |
Long-Lived Assets | Long-Lived Assets Management reviews long-lived assets which include fixed assets and amortizable intangibles for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset (or asset group) may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured as the amount by which the carrying amount of the assets exceeds the fair value of the assets. We did not recognize a loss from impairment for the years ended December 31, 2020, 2019 or 2018. |
Income Taxes | Income Taxes We account for income taxes in accordance with accounting guidance which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities are computed annually for differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities. We assess our income tax positions and record tax benefits for all years subject to examination based upon our evaluation of the facts, circumstances and information available at the reporting date. For those tax positions where there is greater than 50% likelihood that a tax benefit will be sustained, we have recorded the largest amount of tax benefit that may potentially be realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where there is a 50% or less likelihood that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. We did not have any material uncertain tax positions at December 31, 2020 or 2019. Our policy is to recognize interest and penalties on taxes, if any, as a component of income tax expense. The Tax Cuts and Jobs Act of 2017 (TCJA) enacted on December 22, 2017 included several key provisions impacting the accounting for and reporting of income taxes. The most significant provisions reduced the U.S. corporate statutory tax rate from 35% to 21%, eliminated the corporate Alternative Minimum Tax (AMT) system, and made changes to the carryforward of net operating losses beginning on January 1, 2018. The tax reform provided for a refund of unused AMT carryforwards for years beginning after December 31, 2017. We received an income tax refund during the years ended December 31, 2020 and 2019 of $0.8 million each year related to our federal AMT carryforwards. |
Stock-Based Compensation | Stock-Based Compensation We recognize compensation expense using a fair-value-based method for costs related to all share-based payments, including stock options, restricted stock units (RSUs), and shares issued under our Employee Stock Purchase Plan (ESPP). Stock-based compensation cost related to employees and directors is measured at the grant date, based on the fair-value-based measurement of the award using the Black-Scholes method, and is recognized as expense over the requisite service period on a straight-line basis. We account for forfeitures when they occur. We recorded stock-based compensation and expense for stock-based awards to employees, directors and consultants of approximately $31.6 million, $31.9 million and $20.5 million for the years ended December 31, 2020, 2019 and 2018 respectively. Included in the 2020, 2019, and 2018 balances for total compensation expense is $0.8 million, $0.7 million and $0.7 million, respectively, relating to our ESPP. |
Net Income (Loss) Per Share | Net Income (Loss) Per Share Basic net income (loss) per common share is computed by dividing the net income or loss by the weighted-average number of common shares outstanding during the period. Potentially dilutive securities were included in the diluted net income per common share calculation for 2019. We included 1,923,310 options to purchase shares of common stock and 13,131 shares of RSUs in the calculation of the weighted-average common shares outstanding used in computing diluted net income per common share. We excluded 1,022,623 shares of options and RSUs from the calculation for 2019 because the inclusion of such shares would have had an antidilutive effect. In 2020 and 2018, we excluded all options and awards from the calculations because we reported net losses in the periods, and the inclusion of such shares would have had an antidilutive effect. Year Ended December 31, 2020 2019 2018 (in thousands, except share and per share data) Basic Numerator: Net income (loss) attributable to common stockholders for basic net income (loss) per share $ (69,333) $ 26,875 $ (70,409) Denominator: Weighted-average common shares outstanding 57,212,737 56,531,439 53,942,116 Basic net income (loss) per common share $ (1.21) $ 0.48 $ (1.31) Diluted Numerator: Net income (loss) attributable to common stockholders for diluted net income (loss) per share $ (69,333) $ 26,875 $ (70,409) Denominator: Weighted average number of common shares outstanding used in computing basic net income (loss) per common share 57,212,737 56,531,439 53,942,116 Dilutive effect of employee stock options and ESPP — 1,936,441 — Weighted-average number of common shares outstanding used in computing diluted net income (loss) per common share 57,212,737 58,467,880 53,942,116 Diluted net income (loss) per common share $ (1.21) $ 0.46 $ (1.31) |
Segment Reporting | Segment Reporting The Company determines its segment reporting based upon the way the business is organized for making operating decisions and assessing performance. The Company has only one operating segment related to the development of pharmaceutical products . |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies | |
Schedule of assets recorded at fair value | The Company measures the fair value of financial assets using the highest level of inputs that are reasonably available as of the measurement date. The assets recorded at fair value are classified within the hierarchy as follows for the periods reported (in thousands): December 31, 2020 Total Fair Value Level 1 Level 2 Level 3 Money Market Funds in Cash and Cash Equivalents $ 158,937 $ 158,937 $ — $ — Corporate Securities 119,833 — 119,833 — Government Securities 315,353 — 315,353 — Equity Securities with Readily Determinable Fair Value 5,303 5,303 — — Equity Securities without Readily Determinable Fair Value 16,071 — — 16,071 $ 615,497 $ 164,240 $ 435,186 $ 16,071 December 31, 2019 Total Fair Value Level 1 Level 2 Level 3 Money Market Funds in Cash and Cash Equivalents $ 32,009 $ 32,009 $ — $ — Corporate Securities 281,751 — 281,751 — Government Securities 269,245 — 269,245 — $ 583,005 $ 32,009 $ 550,996 $ — |
Schedule of useful lives by asset category | Computers, software and equipment 3 - 5 years Furniture and fixtures 5 - 7 years Leasehold improvements 5 - 7 years or remaining lease term, whichever is less |
Schedule of finite-lived intangible assets | December 31, 2020 2019 Patents, definite life $ 12,038 $ 10,597 Patents, pending issuance 8,432 7,266 Licenses and other amortizable intangible assets 2,560 2,510 Nonamortizable intangible assets (trademarks) 399 399 Total gross carrying amount 23,429 20,772 Accumulated amortization—patents (5,791) (4,912) Accumulated amortization—licenses and other (1,661) (1,439) Total intangible assets, net $ 15,977 $ 14,421 |
Schedule of indefinite-lived intangible assets | The carrying amount and accumulated amortization of patents, licenses, and other intangibles is as follows (in thousands): December 31, 2020 2019 Patents, definite life $ 12,038 $ 10,597 Patents, pending issuance 8,432 7,266 Licenses and other amortizable intangible assets 2,560 2,510 Nonamortizable intangible assets (trademarks) 399 399 Total gross carrying amount 23,429 20,772 Accumulated amortization—patents (5,791) (4,912) Accumulated amortization—licenses and other (1,661) (1,439) Total intangible assets, net $ 15,977 $ 14,421 |
Future amortization expense for patents, licenses, and other intangible assets | Year ended December 31, (in thousands) 2021 $ 947 2022 906 2023 829 2024 667 2025 589 Thereafter 3,208 Total $ 7,146 |
Schedule of basic and diluted net income (loss) per common share | Year Ended December 31, 2020 2019 2018 (in thousands, except share and per share data) Basic Numerator: Net income (loss) attributable to common stockholders for basic net income (loss) per share $ (69,333) $ 26,875 $ (70,409) Denominator: Weighted-average common shares outstanding 57,212,737 56,531,439 53,942,116 Basic net income (loss) per common share $ (1.21) $ 0.48 $ (1.31) Diluted Numerator: Net income (loss) attributable to common stockholders for diluted net income (loss) per share $ (69,333) $ 26,875 $ (70,409) Denominator: Weighted average number of common shares outstanding used in computing basic net income (loss) per common share 57,212,737 56,531,439 53,942,116 Dilutive effect of employee stock options and ESPP — 1,936,441 — Weighted-average number of common shares outstanding used in computing diluted net income (loss) per common share 57,212,737 58,467,880 53,942,116 Diluted net income (loss) per common share $ (1.21) $ 0.46 $ (1.31) |
Marketable Securities (Tables)
Marketable Securities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Marketable Securities | |
Schedule of marketable securities | December 31, 2020 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Money Market Funds $ 158,937 $ — $ — $ 158,937 Corporate Securities 119,782 57 (6) 119,833 Government Securities 315,319 37 (3) 315,353 $ 594,038 $ 94 $ (9) $ 594,123 Reported as Cash and cash equivalents $ 158,937 Marketable securities 435,186 Total investments $ 594,123 December 31, 2019 Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value (in thousands) Money Market Funds $ 32,009 $ — $ — $ 32,009 Corporate Securities 281,586 195 (30) 281,751 Government Securities 268,239 1,006 — 269,245 $ 581,834 $ 1,201 $ (30) $ 583,005 Reported as Cash and cash equivalents $ 32,009 Marketable securities 550,996 Total investments $ 583,005 |
Schedule of maturities of marketable securities | Amortized Estimated Cost Fair Value (in thousands) Mature in one year or less $ 434,071 $ 434,156 Mature after one year through five years 1,030 1,030 $ 435,101 $ 435,186 |
Schedule of unrealized losses on available-for-sale investments | December 31, 2020 Less than 12 months 12 months or greater Fair value Unrealized losses Fair value Unrealized losses (in thousands) Corporate Securities $ 15,843 $ (6) $ — $ — Government Securities 40,802 (3) — — $ 56,645 $ (9) $ — $ — December 31, 2019 Less than 12 months 12 months or greater Fair value Unrealized losses Fair value Unrealized losses (in thousands) Corporate Securities $ 46,303 $ (24) $ 13,992 $ (6) |
Schedule of net gains and losses | Year Ended December 31, 2020 2019 Net gains recognized on equity securities $ 105 $ — Less: net gains recognized on equity securities redeemed 801 — Unrealized losses recognized on equity securities $ (696) $ — |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property and Equipment | |
Schedule of property and equipment | December 31, 2020 2019 (in thousands) Computers, software and equipment $ 31,229 $ 21,087 Furniture and fixtures 527 492 Leasehold and tenant improvements 6,957 6,831 38,713 28,410 Less accumulated depreciation and amortization (17,031) (12,605) $ 21,682 $ 15,805 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes | |
Reconciliation of the federal statutory income tax rate to our effective income tax rate | Year Ended December 31, 2020 2019 2018 Federal statutory income tax $ (14,559) $ 5,709 $ (14,795) State and local income taxes (4,659) 2,549 (4,767) Research and development credit (9,669) (6,747) (6,170) Stock-based compensation 529 1,927 444 State credit — 1,725 — Other 56 (301) 414 Net change in valuation allowance 28,302 (4,550) 24,874 Income tax provision (benefit) $ — $ 312 $ — |
Schedule of tax effect of temporary differences that give rise to a significant portion of the deferred tax assets and liabilities | December 31, 2020 2019 Deferred income tax assets Net operating loss carryforwards $ 56,182 $ 36,891 Research credits 38,047 28,415 Depreciation 137 334 Unrealized loss on securities 195 — Accrued compensation 8,464 4,788 Deferred revenue 11,925 11,215 State taxes — 64 Gross deferred income tax assets 114,950 81,707 Valuation allowance (105,995) (77,389) Net deferred income tax assets 8,955 4,318 Deferred income tax liabilities Patent costs (4,219) (3,736) Equity investment (4,497) — Licensing costs (194) (229) Capitalized legal costs (21) (26) Unrealized gain on securities (24) (327) Gross deferred income tax liabilities (8,955) (4,318) Net deferred income tax asset $ — $ — |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Stock-Based Compensation | |
Schedule of total employee, director and non-employee stock-based compensation expense recognized | Year Ended December 31, (in thousands) 2020 2019 2018 General and administrative $ 10,769 $ 8,854 $ 7,699 Research and development 20,850 22,997 12,849 $ 31,619 $ 31,851 $ 20,548 Year Ended December 31, (in thousands) 2020 2019 2018 Stock options $ 26,045 $ 30,502 $ 19,537 ESPP 804 687 744 RSUs 4,770 662 267 $ 31,619 $ 31,851 $ 20,548 |
Schedule of stock options outstanding | December 31, 2020 2019 2018 Exercisable options 4,668,179 3,950,965 3,058,659 Weighted average exercise price per share of exercisable options $ 21.75 $ 17.79 $ 15.12 Weighted average grant date fair value per share of options granted during the year $ 16.96 $ 20.74 $ 18.06 Options available for future grants 3,346,092 3,975,160 3,576,574 Weighted average remaining contractual life 7.00 7.32 7.51 |
Summary of stock option activity | Weighted- Weighted- Average Average Remaining Exercise Contractual Aggregate Number of Price Term Intrinsic Value Shares (Per Share) (1) (in years) (in thousands) (2) Balances at December 31, 2018 5,966,928 19.71 7.51 $ 99,273 Options granted 2,142,228 35.80 Options forfeited (390,950) 32.23 Options exercised(3) (543,887) 17.04 Balances at December 31, 2019 7,174,319 24.03 7.32 $ 79,116 Options granted 1,679,324 33.08 Options forfeited (243,384) 32.93 Options exercised(3) (858,470) 19.36 Balances at December 31, 2020 7,751,789 $ 26.23 7.00 $ 134,941 As of December 31, 2020 Options vested and expected to vest 7,751,789 $ 26.23 7.00 $ 134,941 Exercisable 4,668,179 $ 21.75 5.91 $ 102,120 |
Schedule of stock options outstanding and exercisable by exercise price | Stock Options Outstanding Stock Options Exercisable Weighted- Average Remaining Weighted- Weighted- Range of Contractual Average Average Exercise Number of Term Exercise Price Number of Exercise Price Prices Shares (in years) Per Share Shares Per Share $4.25 – $10.28 153,038 2.68 $ 4.29 153,038 $ 4.29 $10.52 – $15.78 1,639,702 4.30 $ 13.10 1,638,717 $ 13.10 $15.91 – $23.87 1,980,437 6.53 $ 22.75 1,654,609 $ 22.67 $23.96 – $35.94 2,330,771 8.65 $ 31.80 530,056 $ 30.12 $35.99 – $53.99 1,647,841 8.34 $ 37.63 691,759 $ 37.51 7,751,789 7.00 $ 26.23 4,668,179 $ 21.75 |
Schedule of weighted average assumptions used for estimation of fair value of stock options | Options 2020 2019 2018 Common stock fair value per share $ 20.69 - 45.91 $ 29.96 - 44.19 $ 21.80 - 43.16 Expected volatility 52.93% - 58.95% 60.67% - 61.33% 70.97% - 73.10% Risk-free interest rate 0.29% - 1.71% 1.37% - 2.60% 2.29% - 3.10% Expected dividend yield — — — Expected term (in years) 5.23 - 7.65 5.23 - 6.59 5.23 - 6.08 |
Schedule of weighted average assumptions used for estimation of fair value of ESPP | ESPP 2020 2019 2018 Expected term (years) 0.5 - 2.0 0.5 - 2.0 0.5 - 2.0 Expected volatility 50.77% - 66.37% 50.77% - 71.37% 57.04% - 71.37% Risk-free interest rate 0.09% - 1.65% 1.47% - 2.70% 1.47% - 2.70% Expected dividend yield — — — |
Summary of restricted stock unity activity | Weighted- Average Grant Date Number of Fair Value Shares (Per Unit) Unvested at December 31, 2018 33,933 $ 27.64 Granted 71,566 36.68 Vested (11,311) 27.64 Forfeited (4,182) 31.12 Unvested at December 31, 2019 90,006 $ 34.66 Granted 348,288 32.51 Vested (62,355) 32.61 Forfeited (17,114) 32.33 Unvested at December 31, 2020 358,825 $ 33.04 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases | |
Schedule of operating lease liabilities maturities | The following table reconciles the undiscounted cash flows for the operating leases at December 31, 2020 to the operating lease liabilities recorded on the balance sheet (in thousands): Years ending December 31, 2021 $ 2,429 2022 2,269 2023 1,415 2024 1,436 2025 1,396 Thereafter 5,342 Total undiscounted lease payments 14,287 Less: Imputed interest (2,659) Present value of lease payments $ 11,628 Lease liabilities - short-term $ 1,889 Lease liabilities - long-term 9,739 Total lease liabilities $ 11,628 |
Summary of lease costs and cash disclosures | Year Ended December 31, 2020 2019 Operating lease cost $ 2,503 $ 2,596 Variable lease cost 150 80 Total lease costs $ 2,653 $ 2,676 Cash paid for amounts included in the measurement of lease liabilities $ 2,233 $ 1,929 |
Collaboration and Licensing A_2
Collaboration and Licensing Agreements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Collaboration and Licensing Agreements | |
Schedule of revenue by licensees | The $122.7 million, $156.7 million, and $40.6 million of revenue recorded for the years ended December 31, 2020, 2019 and 2018, respectively, were earned principally from the following licensees (in millions): Year Ended December 31, 2020 2019 2018 Aimmune $ 9.6 $ — $ — Amgen — 5.0 0.6 Alexion 26.2 13.0 20.0 Astellas 3.5 14.0 — Genentech 3.5 113.9 — Gilead 13.5 — — MiRagen/Viridian 6.0 — — MorphoSys 39.0 — — Novartis — 10.0 20.0 Omeros 5.0 — — Vir 0.3 0.8 — Private BioCo 16.1 — — Total $ 122.7 $ 156.7 $ 40.6 |
Schedule of disaggregation of revenue | Year Ended December 31, 2020 2019 2018 Aimmune $ 9.6 $ — $ — Amgen — 5.0 0.6 Alexion 26.2 13.0 20.0 Astellas 3.5 14.0 — Genentech 3.5 113.9 — Gilead 13.5 — — MiRagen/Viridian 6.0 — — MorphoSys 39.0 — — Novartis — 10.0 20.0 Omeros 5.0 — — Vir 0.3 0.8 — Private BioCo 16.1 — — Total $ 122.7 $ 156.7 $ 40.6 |
Schedule of revenue from U.S. and Non U.S. sources | Year Ended December 31, 2020 2019 2018 U.S. Revenue $ 64.1 $ 142.7 $ 40.6 Non-U.S. Revenue 58.6 14.0 — Total $ 122.7 $ 156.7 $ 40.6 |
Condensed Quarterly Financial_2
Condensed Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Quarterly Financial Data (unaudited) | |
Schedule of Quarterly Financial Data | Quarterly Financial Data (in thousands, except per share data): 2020 Quarter Ended March 31, June 30, September 30, December 31, Total revenue $ 32,385 $ 13,089 $ 35,366 $ 41,854 Loss from operations (8,777) (37,600) (16,722) (13,698) Net loss (8,074) (35,018) (12,550) (13,691) Basic net loss per common share (0.14) (0.61) (0.22) (0.24) Diluted net loss per common share (0.14) (0.61) (0.22) (0.24) 2019 Quarter Ended March 31, June 30, September 30, December 31, Total revenue $ 111,939 $ 19,485 $ 21,760 $ 3,516 Income (loss) from operations 78,244 (19,572) (14,276) (30,572) Net income (loss) 80,045 (16,034) (10,224) (26,912) Basic net income (loss) per common share 1.42 (0.28) (0.18) (0.47) Diluted net income (loss) per common share 1.38 (0.28) (0.18) (0.47) |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Concentration Risk (Details) | 12 Months Ended | |
Dec. 31, 2020USD ($)customer | Dec. 31, 2019USD ($)customer | |
Concentrations of risk | ||
Deferred revenue | $ 92,600,000 | $ 47,100,000 |
Accrued interest | 1,400,000 | 2,700,000 |
Impairment loss or recoveries | 0 | 0 |
Amounts on deposit in excess of federally insured limits approximately | $ 163,300,000 | $ 50,000,000 |
Payables | Service providers or vendors | ||
Concentrations of risk | ||
Number of service providers | customer | 1 | 2 |
Concentration risk percentage | 49.00% | 48.00% |
Number of critical suppliers | customer | 3 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value of Financial Instruments | ||
Money Market Funds | $ 163,544 | $ 50,312 |
Marketable Securities | 435,186 | |
Equity Securities with Readily Determinable Fair Value | 5,303 | |
Equity Securities without Readily Determinable Fair Value | 16,071 | |
Money Market Funds | ||
Fair Value of Financial Instruments | ||
Money Market Funds | 158,937 | 32,009 |
Corporate Securities | ||
Fair Value of Financial Instruments | ||
Marketable Securities | 119,833 | 281,751 |
Government Securities | ||
Fair Value of Financial Instruments | ||
Marketable Securities | 315,353 | 269,245 |
Fair Value, Measurements, Recurring | ||
Fair Value of Financial Instruments | ||
Equity Securities with Readily Determinable Fair Value | 5,303 | |
Equity Securities without Readily Determinable Fair Value | 16,071 | |
Total Fair Value | 615,497 | 583,005 |
Fair Value, Measurements, Recurring | Money Market Funds | ||
Fair Value of Financial Instruments | ||
Money Market Funds | 158,937 | 32,009 |
Fair Value, Measurements, Recurring | Corporate Securities | ||
Fair Value of Financial Instruments | ||
Marketable Securities | 119,833 | 281,751 |
Fair Value, Measurements, Recurring | Government Securities | ||
Fair Value of Financial Instruments | ||
Marketable Securities | 315,353 | 269,245 |
Level 1 | Fair Value, Measurements, Recurring | ||
Fair Value of Financial Instruments | ||
Equity Securities with Readily Determinable Fair Value | 5,303 | |
Total Fair Value | 164,240 | 32,009 |
Level 1 | Fair Value, Measurements, Recurring | Money Market Funds | ||
Fair Value of Financial Instruments | ||
Money Market Funds | 158,937 | 32,009 |
Level 2 | Fair Value, Measurements, Recurring | ||
Fair Value of Financial Instruments | ||
Total Fair Value | 435,186 | 550,996 |
Level 2 | Fair Value, Measurements, Recurring | Corporate Securities | ||
Fair Value of Financial Instruments | ||
Marketable Securities | 119,833 | 281,751 |
Level 2 | Fair Value, Measurements, Recurring | Government Securities | ||
Fair Value of Financial Instruments | ||
Marketable Securities | 315,353 | $ 269,245 |
Level 3 | Fair Value, Measurements, Recurring | ||
Fair Value of Financial Instruments | ||
Equity Securities without Readily Determinable Fair Value | 16,071 | |
Total Fair Value | $ 16,071 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Property, Plant, and Equipment (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Computers, software and equipment | Minimum | |
Property and Equipment | |
Estimated useful lives of the assets | 3 years |
Computers, software and equipment | Maximum | |
Property and Equipment | |
Estimated useful lives of the assets | 5 years |
Furniture and fixtures | Minimum | |
Property and Equipment | |
Estimated useful lives of the assets | 5 years |
Furniture and fixtures | Maximum | |
Property and Equipment | |
Estimated useful lives of the assets | 7 years |
Leasehold improvements | Minimum | |
Property and Equipment | |
Estimated useful lives of the assets | 5 years |
Leasehold improvements | Maximum | |
Property and Equipment | |
Estimated useful lives of the assets | 7 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Intangibles (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Patents, licenses, and other intangible assets | |||
Number of primary criteria to determine capitalization of patent | item | 3 | ||
Abandonment costs | $ 535 | $ 221 | $ 239 |
Total gross carrying amount | 23,429 | 20,772 | |
Total intangible assets, net | 15,977 | 14,421 | |
Amortization expense for patents, licenses, and other intangible assets | 1,100 | 900 | $ 900 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||
2021 | 947 | ||
2022 | 906 | ||
2023 | 829 | ||
2024 | 667 | ||
2025 | 589 | ||
Thereafter | 3,208 | ||
Total | 7,146 | ||
Nonamortizable intangible assets (trademarks) | |||
Patents, licenses, and other intangible assets | |||
Nonamortizable intangible assets (trademarks) | $ 399 | 399 | |
Acquired licenses | Minimum | |||
Patents, licenses, and other intangible assets | |||
Estimated economic life | 5 years | ||
Acquired licenses | Maximum | |||
Patents, licenses, and other intangible assets | |||
Estimated economic life | 25 years | ||
Patents | |||
Patents, licenses, and other intangible assets | |||
Accumulated amortization | $ (5,791) | (4,912) | |
Patents | Minimum | |||
Patents, licenses, and other intangible assets | |||
Estimated economic life | 13 years | ||
Patents | Maximum | |||
Patents, licenses, and other intangible assets | |||
Estimated economic life | 20 years | ||
Patents, definite life | |||
Patents, licenses, and other intangible assets | |||
Amortizable intangible assets | $ 12,038 | 10,597 | |
Patents, pending issuance | |||
Patents, licenses, and other intangible assets | |||
Amortizable intangible assets | 8,432 | 7,266 | |
Licenses and other amortizable intangible assets | |||
Patents, licenses, and other intangible assets | |||
Amortizable intangible assets | 2,560 | 2,510 | |
Accumulated amortization | $ (1,661) | $ (1,439) |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes [Line Items] | ||||
US corporate tax rate | 21.00% | 21.00% | 21.00% | 35.00% |
Federal | ||||
Income Taxes [Line Items] | ||||
Income tax refund | $ 0.8 | $ 0.8 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Stock-Based Compensation | |||||||||||
Stock-based compensation expense | $ 31,619 | $ 31,851 | $ 20,548 | ||||||||
Basic numerator: | |||||||||||
Net income (loss) attributable to common stockholders | $ (69,333) | $ 26,875 | $ (70,409) | ||||||||
Denominator: | |||||||||||
Weighted average common shares outstanding, basic | 57,212,737 | 56,531,439 | 53,942,116 | ||||||||
Net income (loss) per common share, basic (in dollars per share) | $ (0.24) | $ (0.22) | $ (0.61) | $ (0.14) | $ (0.47) | $ (0.18) | $ (0.28) | $ 1.42 | $ (1.21) | $ 0.48 | $ (1.31) |
Diluted numerator: | |||||||||||
Net income (loss) attributable to common stockholders for diluted net income (loss) per share | $ (69,333) | $ 26,875 | $ (70,409) | ||||||||
Denominator | |||||||||||
Weighted average common shares outstanding, basic | 57,212,737 | 56,531,439 | 53,942,116 | ||||||||
Dilutive effect of employee stock options and ESPP | 1,936,441 | ||||||||||
Weighted average common shares outstanding, diluted | 57,212,737 | 58,467,880 | 53,942,116 | ||||||||
Net income (loss) per common share, diluted (in dollars per share) | $ (0.24) | $ (0.22) | $ (0.61) | $ (0.14) | $ (0.47) | $ (0.18) | $ (0.28) | $ 1.38 | $ (1.21) | $ 0.46 | $ (1.31) |
Employee stock options | |||||||||||
Net Income (Loss) Per Share | |||||||||||
Securities excluded in calculation of EPS | 1,022,623 | ||||||||||
Net Loss Per Share | |||||||||||
Securities included in calculation of EPS | 1,923,310 | ||||||||||
Securities excluded in calculation of EPS | 1,022,623 | ||||||||||
Employee stock options | |||||||||||
Stock-Based Compensation | |||||||||||
Stock-based compensation expense | $ 26,045 | $ 30,502 | $ 19,537 | ||||||||
Restricted stock units | |||||||||||
Stock-Based Compensation | |||||||||||
Stock-based compensation expense | 4,770 | $ 662 | 267 | ||||||||
Net Loss Per Share | |||||||||||
Securities included in calculation of EPS | 13,131 | ||||||||||
ESPP | |||||||||||
Stock-Based Compensation | |||||||||||
Stock-based compensation expense | $ 804 | $ 687 | $ 744 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Segments (Details) | 12 Months Ended |
Dec. 31, 2020segment | |
Segment Reporting | |
Number of Operating Segments | 1 |
Marketable Securities (Details)
Marketable Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Schedule of Available-for-sale Securities | ||
Cash and cash equivalents | $ 163,544 | $ 50,312 |
Investments, amortized cost | 594,038 | 581,834 |
Investments | 594,123 | 583,005 |
Total amortized cost | 435,101 | |
Gross unrealized gains | 94 | 1,201 |
Gross unrealized losses | (9) | (30) |
Marketable Securities | 435,186 | |
Marketable securities | ||
Schedule of Available-for-sale Securities | ||
Marketable Securities | 435,186 | 550,996 |
Money Market Funds | ||
Schedule of Available-for-sale Securities | ||
Cash and cash equivalents | 158,937 | 32,009 |
Corporate Securities | ||
Schedule of Available-for-sale Securities | ||
Total amortized cost | 119,782 | 281,586 |
Gross unrealized gains | 57 | 195 |
Gross unrealized losses | (6) | (30) |
Marketable Securities | 119,833 | 281,751 |
Government Securities | ||
Schedule of Available-for-sale Securities | ||
Total amortized cost | 315,319 | 268,239 |
Gross unrealized gains | 37 | 1,006 |
Gross unrealized losses | (3) | |
Marketable Securities | 315,353 | 269,245 |
Cash and Cash Equivalents | ||
Schedule of Available-for-sale Securities | ||
Cash and cash equivalents | $ 158,937 | $ 32,009 |
Marketable Securities - Maturit
Marketable Securities - Maturities (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Amortized Cost | |
Maturing in one year or less | $ 434,071 |
Maturing within two years | 1,030 |
Total amortized cost | 435,101 |
Estimate Fair Value | |
Maturing in one year or less | 434,156 |
Maturing within two years | 1,030 |
Total estimated fair value | $ 435,186 |
Marketable Securities - Unreali
Marketable Securities - Unrealized losses (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair value | ||
Fair value, less than 12 months | $ 56,645 | |
Unrealized losses | ||
Unrealized losses, Less than 12 months | (9) | |
Corporate Securities | ||
Fair value | ||
Fair value, less than 12 months | 15,843 | $ 46,303 |
Fair value, 12 months or greater | 13,992 | |
Unrealized losses | ||
Unrealized losses, Less than 12 months | (6) | (24) |
Unrealized gain (losses), 12 months or greater | $ (6) | |
Government Securities | ||
Fair value | ||
Fair value, less than 12 months | 40,802 | |
Unrealized losses | ||
Unrealized losses, Less than 12 months | $ (3) |
Marketable Securities - Net gai
Marketable Securities - Net gains and losses (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Marketable Securities | |
Net gains recognized on equity securities | $ 105 |
Less: net gains recognized on equity securities redeemed | 801 |
Unrealized losses recognized on equity securities | $ (696) |
Sale of Additional Common Sto_2
Sale of Additional Common Stock (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2018 | |
Proceeds from sale of common stock | $ 245,504 | |
Common Stock | ||
Sale of common stock | 8,395,000 | 8,395,000 |
Proceeds from sale of common stock | $ 245,504 | $ 84 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Property and equipment | |||
Property and equipment, gross | $ 38,713 | $ 28,410 | |
Less accumulated depreciation and amortization | (17,031) | (12,605) | |
Property and equipment, net | 21,682 | 15,805 | |
Depreciation and amortization expense | 4,700 | 3,400 | $ 2,400 |
Computers, software and equipment | |||
Property and equipment | |||
Property and equipment, gross | 31,229 | 21,087 | |
Furniture and fixtures | |||
Property and equipment | |||
Property and equipment, gross | 527 | 492 | |
Leasehold and tenant improvements | |||
Property and equipment | |||
Property and equipment, gross | $ 6,957 | $ 6,831 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of federal statutory income tax to effective income tax | |||
Federal statutory income tax rate | $ (14,559) | $ 5,709 | $ (14,795) |
State and local income taxes | (4,659) | 2,549 | (4,767) |
Research and development credit | (9,669) | (6,747) | (6,170) |
Stock based compensation | 529 | 1,927 | 444 |
State credit | 1,725 | ||
Other | 56 | (301) | 414 |
Net change in valuation allowance | 28,302 | (4,550) | 24,874 |
Income tax provision (benefit) | $ 0 | $ 312 | $ 0 |
Income Taxes - Deferred tax ass
Income Taxes - Deferred tax assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred income tax assets | ||
Net operating loss carryforwards | $ 56,182 | $ 36,891 |
Research credits | 38,047 | 28,415 |
Depreciation | 137 | 334 |
Unrealized loss on securities | 195 | |
Accrued compensation | 8,464 | 4,788 |
Deferred revenue | 11,925 | 11,215 |
State taxes | 64 | |
Gross deferred income tax assets | 114,950 | 81,707 |
Valuation allowance | (105,995) | (77,389) |
Net deferred income tax assets | 8,955 | 4,318 |
Deferred income tax liabilities | ||
Patent costs | (4,219) | (3,736) |
Equity investment | (4,497) | |
Licensing costs | (194) | (229) |
Capitalized legal costs | (21) | (26) |
Unrealized gain on securities | (24) | (327) |
Gross deferred income tax liabilities | $ (8,955) | $ (4,318) |
Income Taxes - TCJA and Net ope
Income Taxes - TCJA and Net operating loss carryforwards (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [Line Items] | ||
Increase (decrease) in deferred tax asset valuation allowance | $ 28,600 | |
Period to use tax credit carryforward | 5 years | |
Federal | ||
Income Taxes [Line Items] | ||
Income tax refund | $ 800 | $ 800 |
Cumulative net operating loss carryforwards | 213,600 | |
Tax credit carryforwards | 26,700 | |
Tax credits expired amount | 30 | |
Tax credits expiring in next five years | $ 300 | |
State | ||
Income Taxes [Line Items] | ||
Cumulative net operating loss carryforwards | 161,400 | |
Tax credit carryforwards | 14,300 | |
Years Prior to 2018 | Federal | ||
Income Taxes [Line Items] | ||
Cumulative net operating loss carryforwards | 68,000 | |
Tax Year 2018 | Federal | ||
Income Taxes [Line Items] | ||
Cumulative net operating loss carryforwards | $ 145,600 |
Stock-Based Compensation - Plan
Stock-Based Compensation - Plan details (Details) | Jan. 01, 2020shares | Jan. 01, 2014shares | Dec. 31, 2020item$ / sharesshares | Dec. 31, 2019$ / sharesshares | Dec. 31, 2018$ / sharesshares | Dec. 31, 2017shares | Dec. 31, 2016shares | Dec. 31, 2015shares | Nov. 30, 2013shares |
Stock options | |||||||||
Stock-based compensation | |||||||||
Total number of shares of common stock available for issuance | 3,346,092 | 3,975,160 | 3,576,574 | ||||||
Options granted (in shares) | 1,679,324 | 2,142,228 | |||||||
Information with respect to stock options outstanding | |||||||||
Exercisable options (in shares) | 4,668,179 | 3,950,965 | 3,058,659 | ||||||
Weighted-average exercise price per share of exercisable options (in dollars per share) | $ / shares | $ 21.75 | $ 17.79 | $ 15.12 | ||||||
Weighted average grant date fair value per share of options granted during the year (in dollars per share) | $ / shares | $ 16.96 | $ 20.74 | $ 18.06 | ||||||
Weighted-average remaining contractual life | 7 years | 7 years 3 months 25 days | 7 years 6 months 3 days | ||||||
ESPP | |||||||||
Stock-based compensation | |||||||||
Total number of shares of common stock available for issuance | 581,286 | ||||||||
Initial term of plan | 2 years | ||||||||
Second term of plan | 2 years | ||||||||
Number of six month purchase periods | item | 4 | ||||||||
Purchase period | 6 months | ||||||||
Increase in shares of common stock available for issuance (in shares) | 313,545 | 0 | 0 | 0 | 0 | 0 | 0 | ||
Awards issued under the plan (in shares) | 467,595 | ||||||||
ESPP | Minimum | |||||||||
Stock-based compensation | |||||||||
Percentage of compensation that employees may withhold to purchase stock at a discount | 1.00% | ||||||||
ESPP | Maximum | |||||||||
Stock-based compensation | |||||||||
Percentage of compensation that employees may withhold to purchase stock at a discount | 15.00% | ||||||||
Purchase price as percentage of stock price at the initial offering date | 85.00% | ||||||||
Purchase price as percentage of stock price at the purchase date | 85.00% | ||||||||
Annual percentage increase in shares of common stock available for issuance | 1.00% | ||||||||
Annual increase in shares of common stock available for issuance (in shares) | 621,814 | ||||||||
Restricted stock units | |||||||||
Stock-based compensation | |||||||||
Restricted stock granted (in shares) | 348,288 | 71,566 | |||||||
The 2010 Plan | |||||||||
Stock-based compensation | |||||||||
Total number of shares of common stock available for issuance | 0 | ||||||||
The 2013 Plan | |||||||||
Stock-based compensation | |||||||||
Total number of shares of common stock available for issuance | 11,479,096 | ||||||||
Annual percentage increase in shares of common stock available for issuance | 4.00% | ||||||||
Increase in shares of common stock available for issuance (in shares) | 1,138,046 | ||||||||
Awards issued under the plan (in shares) | 10,572,839 | ||||||||
The 2013 Plan | Restricted stock units | |||||||||
Stock-based compensation | |||||||||
Restricted stock granted (in shares) | 453,787 | ||||||||
Annual installment vesting periods | item | 3 |
Stock-Based Compensation - Empl
Stock-Based Compensation - Employee expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Stock-based compensation | |||
Total employee, director and non-employee stock-based compensation expense | $ 31,619 | $ 31,851 | $ 20,548 |
Employee stock options | |||
Stock-based compensation | |||
Total employee, director and non-employee stock-based compensation expense | 26,045 | 30,502 | 19,537 |
ESPP | |||
Stock-based compensation | |||
Total employee, director and non-employee stock-based compensation expense | 804 | 687 | 744 |
Restricted stock units | |||
Stock-based compensation | |||
Total employee, director and non-employee stock-based compensation expense | 4,770 | 662 | 267 |
General and administrative | |||
Stock-based compensation | |||
Total employee, director and non-employee stock-based compensation expense | 10,769 | 8,854 | 7,699 |
Research and development | |||
Stock-based compensation | |||
Total employee, director and non-employee stock-based compensation expense | $ 20,850 | $ 22,997 | $ 12,849 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity (Details) - Stock options - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Stock option activity, Number of Shares | |||
Balance at the beginning of the period (in shares) | 7,174,319 | 5,966,928 | |
Options granted (in shares) | 1,679,324 | 2,142,228 | |
Options forfeited (in shares) | (243,384) | (390,950) | |
Options exercised (in shares) | (858,470) | (543,887) | |
Balance at the end of the period (in shares) | 7,751,789 | 7,174,319 | 5,966,928 |
Options vested and expected to vest (in shares) | 7,751,789 | ||
Exercisable (in shares) | 4,668,179 | 3,950,965 | 3,058,659 |
Weighted Average Exercise Price (Per Share) | |||
Balance at the beginning of the period (in dollars per share) | $ 24.03 | $ 19.71 | |
Options granted (in dollars per share) | 33.08 | 35.80 | |
Options forfeited (in dollars per share) | 32.93 | 32.23 | |
Options exercised (in dollars per share) | 19.36 | 17.04 | |
Balance at the end of the period (in dollars per share) | 26.23 | 24.03 | $ 19.71 |
Options vested and expected to vest (in dollars per share) | 26.23 | ||
Exercisable (in dollars per share) | $ 21.75 | $ 17.79 | $ 15.12 |
Additional information | |||
Weighted-Average Remaining Contractual Term, Balance outstanding | 7 years | 7 years 3 months 25 days | 7 years 6 months 3 days |
Weighted-Average Remaining Contractual Term, Options vested and expected to vest | 7 years | ||
Weighted-Average Remaining Contractual Term, Exercisable | 5 years 10 months 28 days | ||
Aggregate Intrinsic Value, Balance outstanding | $ 134,941 | $ 79,116 | $ 99,273 |
Aggregate Intrinsic Value, Options vested and expected to vest | 134,941 | ||
Aggregate Intrinsic Value, Exercisable | 102,120 | ||
Intrinsic value of options exercised | $ 16,300 | $ 11,500 | $ 23,600 |
Stock-Based Compensation - Opti
Stock-Based Compensation - Options by exercise price (Details) | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Stock options outstanding and exercisable by exercise price | |
Stock Options Outstanding, Number of Shares | shares | 7,751,789 |
Stock Options Outstanding, Remaining Contractual Term | 7 years |
Stock Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 26.23 |
Stock Options Exercisable, Number of Shares | shares | 4,668,179 |
Stock Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 21.75 |
$4.25 - $10.28 | |
Stock options outstanding and exercisable by exercise price | |
Range of Exercise Prices, lower limit (in dollars per share) | 4.25 |
Range of Exercise Prices, upper limit (in dollars per share) | $ 10.28 |
Stock Options Outstanding, Number of Shares | shares | 153,038 |
Stock Options Outstanding, Remaining Contractual Term | 2 years 8 months 4 days |
Stock Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 4.29 |
Stock Options Exercisable, Number of Shares | shares | 153,038 |
Stock Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 4.29 |
$10.52 - $15.78 | |
Stock options outstanding and exercisable by exercise price | |
Range of Exercise Prices, lower limit (in dollars per share) | 10.52 |
Range of Exercise Prices, upper limit (in dollars per share) | $ 15.78 |
Stock Options Outstanding, Number of Shares | shares | 1,639,702 |
Stock Options Outstanding, Remaining Contractual Term | 4 years 3 months 18 days |
Stock Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 13.10 |
Stock Options Exercisable, Number of Shares | shares | 1,638,717 |
Stock Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 13.10 |
$15.91 - $23.87 | |
Stock options outstanding and exercisable by exercise price | |
Range of Exercise Prices, lower limit (in dollars per share) | 15.91 |
Range of Exercise Prices, upper limit (in dollars per share) | $ 23.87 |
Stock Options Outstanding, Number of Shares | shares | 1,980,437 |
Stock Options Outstanding, Remaining Contractual Term | 6 years 6 months 10 days |
Stock Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 22.75 |
Stock Options Exercisable, Number of Shares | shares | 1,654,609 |
Stock Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 22.67 |
$23.96 - $35.94 | |
Stock options outstanding and exercisable by exercise price | |
Range of Exercise Prices, lower limit (in dollars per share) | 23.96 |
Range of Exercise Prices, upper limit (in dollars per share) | $ 35.94 |
Stock Options Outstanding, Number of Shares | shares | 2,330,771 |
Stock Options Outstanding, Remaining Contractual Term | 8 years 7 months 24 days |
Stock Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 31.80 |
Stock Options Exercisable, Number of Shares | shares | 530,056 |
Stock Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 30.12 |
$35.99 - $53.99 | |
Stock options outstanding and exercisable by exercise price | |
Range of Exercise Prices, lower limit (in dollars per share) | 35.99 |
Range of Exercise Prices, upper limit (in dollars per share) | $ 53.99 |
Stock Options Outstanding, Number of Shares | shares | 1,647,841 |
Stock Options Outstanding, Remaining Contractual Term | 8 years 4 months 2 days |
Stock Options Outstanding, Weighted-Average Exercise Price (in dollars per share) | $ 37.63 |
Stock Options Exercisable, Number of Shares | shares | 691,759 |
Stock Options Exercisable, Weighted-Average Exercise Price (in dollars per share) | $ 37.51 |
Stock-Based Compensation - FV o
Stock-Based Compensation - FV of employee stock options (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Employee stock options | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Common stock fair value per share minimum | 20.69 | 29.96 | 21.80 |
Common stock fair value per share maximum | 45.91 | 44.19 | 43.16 |
Expected volatility, low end of range (as a percent) | 52.93% | 60.67% | 70.97% |
Expected volatility, high end of range (as a percent) | 58.95% | 61.33% | 73.10% |
Risk-free interest rate, low end of range (as a percent) | 0.29% | 1.37% | 2.29% |
Risk-free interest rate, high end of range (as a percent) | 1.71% | 2.60% | 3.10% |
Compensation expense | |||
Unamortized compensation expense related to unvested options | $ 48.9 | $ 51.1 | |
Period to recognize unamortized compensation expense | 2 years 6 months 14 days | ||
Employee stock options | Minimum | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected term (years) | 5 years 2 months 23 days | 5 years 2 months 23 days | 5 years 2 months 23 days |
Employee stock options | Maximum | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected term (years) | 7 years 7 months 24 days | 6 years 7 months 2 days | 6 years 29 days |
ESPP | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected volatility, low end of range (as a percent) | 50.77% | 50.77% | 57.04% |
Expected volatility, high end of range (as a percent) | 66.37% | 71.37% | 71.37% |
Risk-free interest rate, low end of range (as a percent) | 0.09% | 1.47% | 1.47% |
Risk-free interest rate, high end of range (as a percent) | 1.65% | 2.70% | 2.70% |
Compensation expense | |||
Unamortized compensation expense related to unvested options | $ 0.9 | $ 1.4 | |
Period to recognize unamortized compensation expense | 11 months 8 days | ||
ESPP | Minimum | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected term (years) | 6 months | 6 months | 6 months |
ESPP | Maximum | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected term (years) | 2 years | 2 years | 2 years |
Stock Based Compensation - Rest
Stock Based Compensation - Restricted stock units (Details) - Restricted stock units - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Stock-based compensation | ||
Beginning balance | 90,006 | 33,933 |
Granted | 348,288 | 71,566 |
Vested | (62,355) | (11,311) |
Forfeited | (17,114) | (4,182) |
Ending balance | 358,825 | 90,006 |
Weighted Average Grant Date Fair Value, Beginning Balance | $ 34.66 | $ 27.64 |
Weighted Average Grant Date Fair Value, Granted | 32.51 | 36.68 |
Weighted Average Grant Date Fair Value, Vested | 32.61 | 27.64 |
Weighted Average Grant Date Fair Value, Forfeited | 32.33 | 31.12 |
Weighted Average Grant Date Fair Value, Ending Balance | $ 33.04 | $ 34.66 |
Compensation expense | ||
Unamortized compensation expense related to unvested restricted stock units | $ 8.5 | $ 2.5 |
Period to recognize unamortized compensation expense | 2 years 1 month 17 days |
Leases (Details)
Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Nov. 30, 2020 | Jul. 31, 2017 | |
Lessee, Lease, Description [Line Items] | |||
Option to extend | true | ||
2021 | $ 2,429 | ||
2022 | 2,269 | ||
2023 | 1,415 | ||
2024 | 1,436 | ||
2025 | 1,396 | ||
Thereafter | 5,342 | ||
Total undiscounted lease payments | 14,287 | ||
Less: Imputed interest | (2,659) | ||
Present value of lease payments | $ 11,628 | ||
Monrovia, CA - office and laboratory space | |||
Lessee, Lease, Description [Line Items] | |||
Renewal term | 5 years | ||
Lease term | 62 months | ||
Monrovia, CA - office and laboratory space with additional space | |||
Lessee, Lease, Description [Line Items] | |||
Renewal term | 5 years | ||
San Diego, CA - office space | |||
Lessee, Lease, Description [Line Items] | |||
Renewal term | 5 years | ||
San Diego, CA - second office space | |||
Lessee, Lease, Description [Line Items] | |||
Renewal term | 5 years |
Leases - Operating lease liabil
Leases - Operating lease liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Leases | ||
Lease liability - short-term | $ 1,889 | $ 2,169 |
Lease liability - long-term | 9,739 | $ 8,565 |
Operating lease liabilities | $ 11,628 |
Leases - Lease costs (Details)
Leases - Lease costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Leases | |||
Operating lease cost | $ 2,503 | $ 2,596 | |
Variable lease cost | 150 | 80 | |
Total lease costs | 2,653 | 2,676 | |
Rent expense | $ 2,500 | ||
Cash paid for amounts included in the measurement of lease liabilities | 2,233 | $ 1,929 | |
ROU assets exchanged for lease liabilities | $ 3,100 | ||
Remaining lease term | 7 years 4 months 24 days | 5 years 6 months | |
Discount rate | 5.50% | 5.50% |
Collaboration and Licensing A_3
Collaboration and Licensing Agreements (Details) | Feb. 04, 2020USD ($)shares | Mar. 29, 2019USD ($) | Dec. 31, 2020USD ($)shares | Nov. 30, 2020USD ($)item | Aug. 31, 2020USD ($)itemOption | Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($)Optionitem | Dec. 31, 2019USD ($) | Nov. 30, 2019USD ($) | Mar. 31, 2019USD ($)itemcompany | Oct. 31, 2017USD ($)shares | Jun. 30, 2016item | Sep. 30, 2015USD ($)item | Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($)item | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Sep. 30, 2018USD ($) | Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($)Programitem | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Deferred revenue | $ 92,600,000 | $ 47,100,000 | $ 92,600,000 | $ 47,100,000 | $ 92,600,000 | $ 47,100,000 | ||||||||||||||||||||
Revenue recorded | 41,854,000 | $ 35,366,000 | $ 13,089,000 | $ 32,385,000 | 3,516,000 | $ 21,760,000 | $ 19,485,000 | $ 111,939,000 | 122,694,000 | 156,700,000 | $ 40,603,000 | |||||||||||||||
Carrying value | 16,071,000 | 16,071,000 | 16,071,000 | |||||||||||||||||||||||
Current portion of deferred revenue | 92,615,000 | 45,205,000 | 92,615,000 | 45,205,000 | 92,615,000 | 45,205,000 | ||||||||||||||||||||
Non Current portion of deferred revenue | 1,926,000 | 1,926,000 | 1,926,000 | |||||||||||||||||||||||
Licensing | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 50,200,000 | 112,200,000 | ||||||||||||||||||||||||
Royalty | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 17,800,000 | 5,000,000 | ||||||||||||||||||||||||
Milestone | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 50,200,000 | 23,200,000 | 20,500,000 | |||||||||||||||||||||||
Genentech | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 3,500,000 | 113,900,000 | ||||||||||||||||||||||||
Astellas | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | $ 3,500,000 | 14,000,000 | ||||||||||||||||||||||||
Novartis | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Number of performance obligations | item | 2 | |||||||||||||||||||||||||
Revenue recorded | 10,000,000 | 20,000,000 | ||||||||||||||||||||||||
Amgen, Inc. | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 5,000,000 | 600,000 | ||||||||||||||||||||||||
MorphoSys | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | $ 39,000,000 | |||||||||||||||||||||||||
Alexion | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 26,200,000 | 13,000,000 | 20,000,000 | |||||||||||||||||||||||
Vir | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 300,000 | 800,000 | ||||||||||||||||||||||||
Aimmune | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 9,600,000 | |||||||||||||||||||||||||
Gilead | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 13,500,000 | |||||||||||||||||||||||||
Omeros | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 5,000,000 | |||||||||||||||||||||||||
MiRagen/Viridian | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 6,000,000 | |||||||||||||||||||||||||
Private | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recorded | 16,100,000 | |||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 120,000,000 | 120,000,000 | ||||||||||||||||||||||||
Nonrefundable upfront payment | $ 120,000,000 | |||||||||||||||||||||||||
Percentage of profits on net sales of the product | 45.00% | |||||||||||||||||||||||||
Research license term | 2 years | |||||||||||||||||||||||||
Revenue recognized | 3,500,000 | 113,900,000 | ||||||||||||||||||||||||
Number of companies that conduct integrated research plan | company | 2 | |||||||||||||||||||||||||
Cost sharing receivable (payable) | (3,200,000) | (3,200,000) | $ (3,200,000) | |||||||||||||||||||||||
Number of programs | item | 9 | |||||||||||||||||||||||||
Term of revenue recognized | 1 year | |||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | XmAb306 | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 111,700,000 | 111,700,000 | ||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | XmAb435 | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 4,100,000 | 4,100,000 | ||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | Research service | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 8,300,000 | 4,200,000 | 8,300,000 | 4,200,000 | $ 8,300,000 | |||||||||||||||||||||
Revenue recognized | 3,500,000 | 2,200,000 | ||||||||||||||||||||||||
Deferred revenue | 2,500,000 | 2,500,000 | 2,500,000 | |||||||||||||||||||||||
Collaboration and License Agreement | Genentech | Licensing | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 111,700,000 | |||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | Maximum | XmAb306 | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 160,000,000 | 160,000,000 | ||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | Maximum | XmAb435 | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 180,000,000 | 180,000,000 | ||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | Cost approach | Research service | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Standalone selling price | 8,500,000 | 8,500,000 | ||||||||||||||||||||||||
Collaboration and License Agreement | Genentech | Cost approach | Licensing | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Standalone selling price | $ 114,400,000 | $ 114,400,000 | ||||||||||||||||||||||||
Collaboration and License Agreement | Novartis | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 0 | 10,000,000 | 20,000,000 | |||||||||||||||||||||||
Contract receivable | 900,000 | 12,200,000 | 900,000 | 12,200,000 | 900,000 | 12,200,000 | ||||||||||||||||||||
Deferred revenue | 40,100,000 | 40,100,000 | 40,100,000 | |||||||||||||||||||||||
Remaining cost sharing settlement amount | $ 1,400,000 | |||||||||||||||||||||||||
Collaboration and License Agreement | Novartis | Bispecific FC Technologies | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Number of development stage products | item | 2 | |||||||||||||||||||||||||
Collaboration and License Agreement | Novartis | Global Discovery Program | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Proceeds from milestone payments | 10,000,000 | |||||||||||||||||||||||||
Revenue recognized | 10,000,000 | $ 20,000,000 | $ 20,100,000 | |||||||||||||||||||||||
Collaboration and License Agreement | Novartis | Global Discovery Program | Maximum | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Number of antibody targets for which bispecific technology applied | item | 4 | |||||||||||||||||||||||||
Collaboration and License Agreement | Novartis | FC Licenses | Maximum | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Number of targets against which non-exclusive license is provided | item | 10 | |||||||||||||||||||||||||
Collaboration and License Agreement | MorphoSys | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 0 | 0 | ||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Collaboration and License Agreement | MorphoSys | Royalty | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 1,500,000 | |||||||||||||||||||||||||
Contract receivable | 1,200,000 | 1,200,000 | 1,200,000 | |||||||||||||||||||||||
Collaboration and License Agreement | MorphoSys | Milestone | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 37,500,000 | |||||||||||||||||||||||||
Collaboration and License Agreement | Janssen Biotech, Inc | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 50,000,000 | |||||||||||||||||||||||||
Nonrefundable upfront payment | 50,000,000 | |||||||||||||||||||||||||
Potential milestone payment | $ 662,500,000 | |||||||||||||||||||||||||
Revenue recognized | 0 | |||||||||||||||||||||||||
Deferred revenue | 50,000,000 | 50,000,000 | 50,000,000 | |||||||||||||||||||||||
Percentage of funding for development costs | 20.00% | |||||||||||||||||||||||||
Percentage of co-detailing activities | 30.00% | |||||||||||||||||||||||||
Research and License Agreement | Astellas | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 17,500,000 | |||||||||||||||||||||||||
Nonrefundable upfront payment | 15,000,000 | |||||||||||||||||||||||||
Potential milestone payment | 240,000,000 | |||||||||||||||||||||||||
Revenue recognized | 3,500,000 | |||||||||||||||||||||||||
Revenue recognized | 14,000,000 | |||||||||||||||||||||||||
Deferred revenue | 0 | 1,000,000 | 0 | 1,000,000 | 0 | 1,000,000 | ||||||||||||||||||||
Initial milestone | 2,500,000 | |||||||||||||||||||||||||
Research and License Agreement | Astellas | Bispecific | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 16,100,000 | |||||||||||||||||||||||||
Revenue recognized | 13,600,000 | |||||||||||||||||||||||||
Research and License Agreement | Astellas | Research service | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 1,400,000 | |||||||||||||||||||||||||
Revenue recognized | 1,400,000 | |||||||||||||||||||||||||
Research and License Agreement | Astellas | Milestone | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 2,500,000 | |||||||||||||||||||||||||
Contract receivable | 2,500,000 | 2,500,000 | 2,500,000 | |||||||||||||||||||||||
Research and License Agreement | Astellas | Income approach | Bispecific | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Standalone selling price | 17,100,000 | |||||||||||||||||||||||||
Research and License Agreement | Astellas | Cost approach | Research service | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Standalone selling price | 1,400,000 | |||||||||||||||||||||||||
Research and License Agreement | Amgen, Inc. | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 45,000,000 | |||||||||||||||||||||||||
Nonrefundable upfront payment | 45,000,000 | |||||||||||||||||||||||||
Potential milestone payment | 255,000,000 | |||||||||||||||||||||||||
Revenue recognized | 0 | 5,000,000 | 600,000 | |||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Research and License Agreement | Amgen, Inc. | Milestone | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Proceeds from milestone payments | $ 15,500,000 | |||||||||||||||||||||||||
Research and License Agreement | Amgen, Inc. | Discovery Program | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | $ 5,000,000 | $ 5,000,000 | ||||||||||||||||||||||||
Number of programs | item | 5 | |||||||||||||||||||||||||
Previous targets which bispecific technology will be applied | item | 5 | |||||||||||||||||||||||||
Number of delivered discover programs | Program | 1 | |||||||||||||||||||||||||
Milestones or royalties in transaction price | $ 0 | |||||||||||||||||||||||||
Option and License Agreement | Alexion | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 26,200,000 | 13,000,000 | $ 20,000,000 | |||||||||||||||||||||||
Contract receivable | 8,800,000 | 8,800,000 | 8,800,000 | |||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Option and License Agreement | Alexion | Royalty | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 16,200,000 | 5,000,000 | ||||||||||||||||||||||||
Option and License Agreement | Alexion | Milestone | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Revenue recognized | 10,000,000 | 8,000,000 | ||||||||||||||||||||||||
License Agreement | INmune | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 100,000 | |||||||||||||||||||||||||
Nonrefundable upfront payment | $ 100,000 | |||||||||||||||||||||||||
Revenue recognized | $ 100,000 | |||||||||||||||||||||||||
Shares received in noncash transaction | shares | 1,585,000 | |||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Additional equity interests (as a percentage) | 10.00% | |||||||||||||||||||||||||
Option payment | $ 10,000,000 | |||||||||||||||||||||||||
License Agreement | Private | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 16,100,000 | |||||||||||||||||||||||||
Revenue recognized | 16,100,000 | |||||||||||||||||||||||||
Value of share options or equity in noncash transaction | $ 16,100,000 | |||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Percentage of equity of private company | 15.00% | |||||||||||||||||||||||||
Number of drug candidates | item | 3 | |||||||||||||||||||||||||
Milestones or royalties in transaction price | $ 0 | |||||||||||||||||||||||||
License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 9,600,000 | |||||||||||||||||||||||||
Nonrefundable upfront payment | 5,000,000 | |||||||||||||||||||||||||
Potential milestone payment | $ 385,000,000 | |||||||||||||||||||||||||
Revenue recognized | 9,600,000 | |||||||||||||||||||||||||
Shares received in noncash transaction | shares | 156,238 | |||||||||||||||||||||||||
Value of share options or equity in noncash transaction | $ 4,600,000 | |||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Patent License Agreement | Vir | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 155,000,000 | 155,000,000 | 155,000,000 | |||||||||||||||||||||||
Revenue recognized | 300,000 | $ 800,000 | ||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Number of different target programs | item | 2 | |||||||||||||||||||||||||
Technology License Agreement | Gilead | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 13,500,000 | |||||||||||||||||||||||||
Nonrefundable upfront payment | 6,000,000 | |||||||||||||||||||||||||
Potential milestone payment | $ 67,000,000 | |||||||||||||||||||||||||
Revenue recognized | $ 7,500,000 | 13,500,000 | ||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Options exercised | 3 | 3 | ||||||||||||||||||||||||
Number of compounds | item | 3 | |||||||||||||||||||||||||
Number of commercial licenses | Option | 4 | |||||||||||||||||||||||||
Option fee | $ 7,500,000 | $ 7,500,000 | ||||||||||||||||||||||||
Technology License Agreement | Gilead | Cytotoxic Fc and Xtend Fc Technologies | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 3,500,000 | |||||||||||||||||||||||||
Technology License Agreement | Gilead | Initial Option Exercises | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 2,500,000 | |||||||||||||||||||||||||
Technology License Agreement | Omeros | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 5,000,000 | |||||||||||||||||||||||||
Nonrefundable upfront payment | $ 5,000,000 | |||||||||||||||||||||||||
Revenue recognized | 5,000,000 | |||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Number of commercial options | Option | 4 | |||||||||||||||||||||||||
Number of additional antibodies | item | 3 | |||||||||||||||||||||||||
Technology License Agreement | Omeros | Maximum | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 65,000,000 | |||||||||||||||||||||||||
Technology License Agreement | Omeros | Initial Option Exercises | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 3,000,000 | |||||||||||||||||||||||||
Technology License Agreement | Omeros | Xtend Fc Technology | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 2,000,000 | |||||||||||||||||||||||||
Technology License Agreement | MiRagen/Viridian | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | $ 6,000,000 | 6,000,000 | 6,000,000 | |||||||||||||||||||||||
Revenue recognized | 6,000,000 | |||||||||||||||||||||||||
Shares received in noncash transaction | shares | 322,407 | |||||||||||||||||||||||||
Value of share options or equity in noncash transaction | $ 6,000,000 | |||||||||||||||||||||||||
Deferred revenue | 0 | 0 | 0 | |||||||||||||||||||||||
Technology License Agreement | MiRagen/Viridian | Maximum | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 55,000,000 | 55,000,000 | 55,000,000 | |||||||||||||||||||||||
Technology License Agreement | MiRagen/Viridian | Xtend Fc Technology | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Performance obligation | 6,000,000 | 6,000,000 | 6,000,000 | |||||||||||||||||||||||
Development-based | Collaboration and License Agreement | Janssen Biotech, Inc | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 161,900,000 | |||||||||||||||||||||||||
Development-based | Research and License Agreement | Astellas | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 32,500,000 | |||||||||||||||||||||||||
Development-based | License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 22,000,000 | |||||||||||||||||||||||||
Development-based | Patent License Agreement | Vir | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 5,000,000 | 5,000,000 | $ 5,000,000 | |||||||||||||||||||||||
Development-based | Technology License Agreement | Gilead | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 10,000,000 | |||||||||||||||||||||||||
Development-based | Technology License Agreement | Omeros | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 15,000,000 | |||||||||||||||||||||||||
Development-based | Technology License Agreement | MiRagen/Viridian | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 10,000,000 | 10,000,000 | 10,000,000 | |||||||||||||||||||||||
Regulatory-based | Collaboration and License Agreement | Janssen Biotech, Inc | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 240,600,000 | |||||||||||||||||||||||||
Regulatory-based | Research and License Agreement | Astellas | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 57,500,000 | |||||||||||||||||||||||||
Regulatory-based | License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 53,000,000 | |||||||||||||||||||||||||
Regulatory-based | Patent License Agreement | Vir | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 30,000,000 | 30,000,000 | 30,000,000 | |||||||||||||||||||||||
Regulatory-based | Technology License Agreement | Gilead | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 27,000,000 | |||||||||||||||||||||||||
Regulatory-based | Technology License Agreement | Omeros | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 25,000,000 | |||||||||||||||||||||||||
Regulatory-based | Technology License Agreement | MiRagen/Viridian | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | 20,000,000 | 20,000,000 | 20,000,000 | |||||||||||||||||||||||
Sales-based | Collaboration and License Agreement | Janssen Biotech, Inc | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 260,000,000 | |||||||||||||||||||||||||
Sales-based | Research and License Agreement | Astellas | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 150,000,000 | |||||||||||||||||||||||||
Sales-based | License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 310,000,000 | |||||||||||||||||||||||||
Sales-based | Patent License Agreement | Vir | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 120,000,000 | $ 120,000,000 | $ 120,000,000 | |||||||||||||||||||||||
Sales-based | Technology License Agreement | Gilead | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 30,000,000 | |||||||||||||||||||||||||
Sales-based | Technology License Agreement | Omeros | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 25,000,000 | |||||||||||||||||||||||||
Sales-based | Technology License Agreement | MiRagen/Viridian | ||||||||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||||||||
Potential milestone payment | $ 25,000,000 | $ 25,000,000 | $ 25,000,000 |
Collaborative and Licensing Agr
Collaborative and Licensing Agreements - Revenue Recognition (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | $ 41,854 | $ 35,366 | $ 13,089 | $ 32,385 | $ 3,516 | $ 21,760 | $ 19,485 | $ 111,939 | $ 122,694 | $ 156,700 | $ 40,603 |
Deferred revenue | 92,600 | 47,100 | 92,600 | 47,100 | |||||||
Current portion of deferred revenue | 92,615 | 45,205 | 92,615 | 45,205 | |||||||
Non Current portion of deferred revenue | 1,926 | 1,926 | |||||||||
Research collaboration | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 4,500 | 16,300 | 20,100 | ||||||||
Milestone | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 50,200 | 23,200 | 20,500 | ||||||||
Licensing | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 50,200 | 112,200 | |||||||||
Royalty | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 17,800 | 5,000 | |||||||||
United States | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 64,100 | 142,700 | 40,600 | ||||||||
Non - United States | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 58,600 | 14,000 | |||||||||
Aimmune | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 9,600 | ||||||||||
Amgen, Inc. | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 5,000 | 600 | |||||||||
Alexion | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 26,200 | 13,000 | 20,000 | ||||||||
Astellas | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 3,500 | 14,000 | |||||||||
Genentech | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 3,500 | 113,900 | |||||||||
Gilead | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 13,500 | ||||||||||
MiRagen/Viridian | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 6,000 | ||||||||||
MorphoSys | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | $ 39,000 | ||||||||||
Novartis | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Number of performance obligations | item | 2 | ||||||||||
Revenue recorded | 10,000 | $ 20,000 | |||||||||
Omeros | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | $ 5,000 | ||||||||||
Vir | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | 300 | 800 | |||||||||
Private | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Revenue recorded | $ 16,100 | ||||||||||
Collaboration and License Agreement | Genentech | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Term of revenue recognized | 1 year | ||||||||||
Collaboration and License Agreement | MorphoSys | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Deferred revenue | 0 | $ 0 | |||||||||
Collaboration and License Agreement | MorphoSys | Royalty | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Contract receivable | 1,200 | 1,200 | |||||||||
Collaboration and License Agreement | Novartis | |||||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||||||||
Contract receivable | 900 | $ 12,200 | 900 | $ 12,200 | |||||||
Deferred revenue | $ 40,100 | $ 40,100 |
401(k) Plan (Details)
401(k) Plan (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Jan. 01, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined contribution plan employer matching contribution percent | 4.00% | 3.50% | |||
Employer contributions | $ 0.8 | $ 0.6 | $ 0.5 | ||
Vesting period | 3 years | ||||
Annual vesting percentage | 33.00% | ||||
1% of participating employee contributions | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of company matching to defined contribution plan | 100.00% | 100.00% | |||
Defined contribution plan employer matching contribution percent | 1.00% | 1.00% | |||
5% of participating employee contributions | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of company matching to defined contribution plan | 50.00% | ||||
Defined contribution plan employer matching contribution percent | 5.00% | ||||
6% of participating employee contributions | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of company matching to defined contribution plan | 50.00% | ||||
Defined contribution plan employer matching contribution percent | 6.00% |
Condensed Quarterly Financial_3
Condensed Quarterly Financial Data (unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Condensed Quarterly Financial Data (unaudited) | |||||||||||
Total revenue | $ 41,854 | $ 35,366 | $ 13,089 | $ 32,385 | $ 3,516 | $ 21,760 | $ 19,485 | $ 111,939 | $ 122,694 | $ 156,700 | $ 40,603 |
Income (loss) from operations | (13,698) | (16,722) | (37,600) | (8,777) | (30,572) | (14,276) | (19,572) | 78,244 | (76,797) | 13,824 | (79,370) |
Net income (loss) | $ (13,691) | $ (12,550) | $ (35,018) | $ (8,074) | $ (26,912) | $ (10,224) | $ (16,034) | $ 80,045 | $ (69,333) | $ 26,875 | $ (70,409) |
Basic net income (loss) (in dollars per share) | $ (0.24) | $ (0.22) | $ (0.61) | $ (0.14) | $ (0.47) | $ (0.18) | $ (0.28) | $ 1.42 | $ (1.21) | $ 0.48 | $ (1.31) |
Diluted net income (loss) (in dollars per share) | $ (0.24) | $ (0.22) | $ (0.61) | $ (0.14) | $ (0.47) | $ (0.18) | $ (0.28) | $ 1.38 | $ (1.21) | $ 0.46 | $ (1.31) |