Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2021 | Apr. 26, 2021 | |
Document and Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Mar. 31, 2021 | |
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 $0.01 per share | |
Trading Symbol | XNCR | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 58,224,616 | |
Entity Central Index Key | 0001326732 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Current assets | ||
Cash and cash equivalents | $ 176,965 | $ 163,544 |
Marketable securities | 368,878 | 434,156 |
Equity securities | 6,136 | 5,303 |
Accounts receivable | 12,525 | 11,443 |
Contract asset | 12,500 | 12,500 |
Prepaid expenses and other current assets | 14,164 | 10,726 |
Total current assets | 591,168 | 637,672 |
Property and equipment, net | 22,301 | 21,682 |
Patents, licenses, and other intangible assets, net | 15,550 | 15,977 |
Marketable securities - long term | 25,082 | 1,030 |
Equity securities - long term | 28,219 | 16,071 |
Other assets | 10,417 | 10,812 |
Total assets | 692,737 | 703,244 |
Current liabilities | ||
Accounts payable | 7,663 | 8,954 |
Accrued expenses | 12,513 | 17,603 |
Lease liabilities | 1,934 | 1,889 |
Deferred revenue | 77,821 | 92,615 |
Total current liabilities | 99,931 | 121,061 |
Lease liabilities, net of current portion | 9,194 | 9,739 |
Total liabilities | 109,125 | 130,800 |
Commitments and contingencies | ||
Stockholders' equity | ||
Preferred stock, $0.01 par value: 10,000,000 authorized shares; -0- issued and outstanding shares at March 31, 2021 and December 31, 2020 | ||
Common stock, $0.01 par value: 200,000,000 authorized shares at March 31, 2021 and December 31, 2020; 58,221,953 issued and outstanding at March 31, 2021 and 57,873,444 issued and outstanding at December 31, 2020 | 583 | 580 |
Additional paid-in capital | 951,154 | 937,525 |
Accumulated other comprehensive income | 97 | 74 |
Accumulated deficit | (368,222) | (365,735) |
Total stockholders' equity | 583,612 | 572,444 |
Total liabilities and stockholders' equity | $ 692,737 | $ 703,244 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
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 | 58,221,953 | 57,873,444 |
Common stock, shares outstanding | 58,221,953 | 57,873,444 |
Statements of Comprehensive Inc
Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Revenue | ||
Collaborations, licenses, milestones, and royalties | $ 33,965 | $ 32,385 |
Operating expenses | ||
Research and development | 41,411 | 33,943 |
General and administrative | 8,226 | 7,219 |
Total operating expenses | 49,637 | 41,162 |
Loss from operations | (15,672) | (8,777) |
Other income (expense) | ||
Interest income, net | 215 | 3,039 |
Other income (expense), net | 12,970 | (2,336) |
Total other income, net | 13,185 | 703 |
Net loss | (2,487) | (8,074) |
Other comprehensive income (loss) | ||
Net unrealized gain (loss) on marketable securities available-for-sale | 23 | (105) |
Comprehensive loss | $ (2,464) | $ (8,179) |
Net loss per share attributable to common stockholders: | ||
Basic and diluted net loss (in dollars per share) | $ (0.04) | $ (0.14) |
Weighted average shares used to compute net loss per share attributable to common stockholders: | ||
Basic and diluted (in shares) | 57,997,313 | 56,946,714 |
Statements of Stockholders' Equ
Statements of Stockholders' Equity - USD ($) $ in Thousands | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | Total |
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 | $ 1 | 1,470 | 1,471 | ||
Issuance of common stock upon exercise of stock awards (in shares) | 79,930 | ||||
Issuance of restricted stock units (in shares) | 19,022 | ||||
Comprehensive income (loss) | (105) | (8,074) | (8,179) | ||
Stock-based compensation | 6,512 | 6,512 | |||
Balance at Mar. 31, 2020 | $ 570 | 895,855 | 1,056 | (304,476) | 593,005 |
Balance (in shares) at Mar. 31, 2020 | 57,001,253 | ||||
Balance at Dec. 31, 2020 | $ 580 | 937,525 | 74 | (365,735) | 572,444 |
Balance (in shares) at Dec. 31, 2020 | 57,873,444 | ||||
Increase (Decrease) in Stockholders' Equity | |||||
Issuance of common stock upon exercise of stock awards | $ 2 | 5,337 | 5,339 | ||
Issuance of common stock upon exercise of stock awards (in shares) | 230,701 | ||||
Issuance of restricted stock units | $ 1 | (1) | |||
Issuance of restricted stock units (in shares) | 117,808 | ||||
Comprehensive income (loss) | 23 | (2,487) | (2,464) | ||
Stock-based compensation | 8,293 | 8,293 | |||
Balance at Mar. 31, 2021 | $ 583 | $ 951,154 | $ 97 | $ (368,222) | $ 583,612 |
Balance (in shares) at Mar. 31, 2021 | 58,221,953 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Cash flows from operating activities | ||
Net loss | $ (2,487) | $ (8,074) |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ||
Depreciation and amortization | 1,638 | 1,373 |
Amortization of premium (accretion of discount) on marketable securities | 865 | (573) |
Stock-based compensation | 8,293 | 6,512 |
Abandonment of capitalized intangible assets | 193 | 28 |
Equity received in connection with license agreement | (4,589) | |
Change in fair value of equity security | (12,980) | 2,336 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (1,082) | 14,749 |
Interest receivable | 311 | 215 |
Contract asset and deposits | (62) | |
Prepaid expenses and other current assets | (3,438) | 71 |
Accounts payable | (1,291) | 124 |
Accrued expenses | (5,090) | (1,703) |
Lease liabilities and right-of-use (ROU) assets | (42) | (54) |
Deferred revenue | (14,794) | (955) |
Net cash (used in) provided by operating activities | (29,966) | 9,460 |
Cash flows from investing activities | ||
Purchase of marketable securities | (84,139) | (142,477) |
Purchase of intangible assets | (72) | (538) |
Purchase of property and equipment | (1,951) | (2,073) |
Proceeds from maturities and sale of marketable securities | 124,210 | 157,653 |
Net cash provided by investing activities | 38,048 | 12,565 |
Cash flows from financing activities | ||
Proceeds from issuance of common stock upon exercise of stock awards | 5,339 | 1,471 |
Net cash provided by financing activities | 5,339 | 1,471 |
Net increase in cash and cash equivalents | 13,421 | 23,496 |
Cash and cash equivalents, beginning of year | 163,544 | 50,312 |
Cash and cash equivalents, end of year | 176,965 | 73,808 |
Cash paid during the period for: | ||
Interest | 4 | 6 |
Supplemental disclosures of non-cash investing activities | ||
Net unrealized gain (loss) on marketable securities available-for-sale | $ 23 | $ (105) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2021 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited interim financial statements for Xencor, Inc. (the Company, Xencor, we or us) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information. The financial statements include all adjustments (consisting only of normal recurring adjustments) that the management of the Company believes are necessary for a fair presentation of the periods presented. The preparation of interim financial statements requires the use of management’s estimates and assumptions that affect reported amounts of assets and liabilities at the date of the interim financial statements and the reported revenues and expenditures during the reported periods. These interim financial results are not necessarily indicative of the results expected for the full fiscal year or for any subsequent interim period. The accompanying unaudited interim financial statements and related notes should be read in conjunction with the audited financial statements and notes thereto included in the Company’s 2020 Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on February 24, 2021. Use of Estimates The preparation of interim financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, other comprehensive gain (loss) and the related disclosures. On an ongoing basis, management evaluates its estimates, including estimates related to its accrued clinical trial and manufacturing development expenses, stock-based compensation expense, intangible assets and related amortization. Significant estimates in these interim financial statements include estimates: made for royalty revenue, accrued research and development expenses, stock-based compensation expenses, intangible assets and related amortization, estimated standalone selling price of performance obligations, estimated time for completing delivery of performance obligations under certain arrangements, the likelihood of recognizing variable consideration, and recoverability of deferred tax assets. Intangible Assets The Company maintains definite-lived intangible assets related to certain capitalized costs of acquired licenses and third-party costs incurred in establishing and maintaining its intellectual property rights to its platform technologies and development candidates. These assets are amortized over their useful lives, which are estimated to be the remaining patent life or the contractual term of the license. The straight-line method is used to record amortization expense. The Company assesses its intangible assets for impairment if indicators are present or changes in circumstances suggest that impairment may exist. There were no impairment charges recorded for the three months ended March 31, 2021 and 2020. The Company capitalizes certain in-process intangible assets that are then abandoned when they are no longer pursued or used in current research activities. There was no material abandonment of in-process intangible assets during the three months ended March 31, 2021 and 2020. 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 that 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 three months ended March 31, 2021 and 2020, respectively. Accrued interest on marketable debt securities is included in marketable securities’ carrying value. 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 Statements of Comprehensive Income (Loss) in the period of sale. The Company also has investments in equity securities without readily determinable fair values, 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. Recent Accounting Pronouncements Pronouncements Adopted in 2021 Effective January 1, 2021, the Company adopted ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes Effective January 1, 2021, the Company adopted 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 adoption of this standard did not have a significant impact on the Company’s financial statements. Effective January 1, 2021, the Company adopted ASU No. 2020-10, Codification Improvements There have been no other material changes to the significant accounting policies previously disclosed in the Company’s 2020 Annual Report on Form 10-K. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value of Financial Instruments | |
Fair Value of Financial Instruments | 2. Fair Value of Financial Instruments Financial instruments included in the financial statements include 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 approximates their fair value due to their short-term 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): March 31, 2021 (unaudited) December 31, 2020 Total Total Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Money Market Funds $ 165,350 $ 165,350 $ — $ — $ 158,937 $ 158,937 $ — $ — Corporate Securities 73,929 — 73,929 — 119,833 — 119,833 — Government Securities 320,031 — 320,031 — 315,353 — 315,353 — Equity Securities with Readily Determinable Fair Value 6,136 6,136 — — 5,303 5,303 — — Equity Securities without Readily Determinable Fair Value 28,219 — — 28,219 16,071 — — 16,071 $ 593,665 $ 171,486 $ 393,960 $ 28,219 $ 615,497 $ 164,240 $ 435,186 $ 16,071 Our policy is to record transfers of assets between Level 1 and Level 2 at their fair values as of the end of each reporting period, consistent with the date of the determination of fair value. During the three months ended March 31, 2021 and 2020, there were no transfers between Level 1 and Level 2. During the three months ended March 31, 2021, an equity investment without a readily determinable fair value was transferred to Level 1 from Level 3. The Company held equity securities without readily determinable fair value at March 31, 2021 and December 31, 2020, respectively. 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. |
Net Loss Per Share
Net Loss Per Share | 3 Months Ended |
Mar. 31, 2021 | |
Net Loss Per Share | |
Net Loss Per Share | 3. Net Loss Per Share Basic net loss per common share is computed by dividing the net loss attributable to common stockholders by the weighted-average number of common shares outstanding during the period without consideration of common stock equivalents. Diluted net loss per share is computed by dividing the net loss attributable to common stockholders by the weighted-average number of common stock equivalents outstanding for the period. Potentially dilutive securities consisting of stock issuable under options, ESPP and RSUs and are not included in the per common share calculation in periods when the inclusion of such shares would have an anti-dilutive effect. Basic and diluted net loss per common share is computed as follows: Three Months Ended March 31, 2021 2020 (in thousands, except share and per share data) Numerator: Net loss attributable to common stockholders $ (2,487) $ (8,074) Denominator: Weighted-average common shares outstanding used in computing basic and diluted net loss 57,997,313 56,946,714 Basic and diluted net loss per common share $ (0.04) $ (0.14) For the three months ended March 31, 2021 and 2020, all outstanding potentially dilutive securities have been excluded from the calculation of diluted net loss per common share as the effect of including such securities would have been anti-dilutive. |
Comprehensive Loss
Comprehensive Loss | 3 Months Ended |
Mar. 31, 2021 | |
Comprehensive Loss | |
Comprehensive Loss | 4. Comprehensive Loss Comprehensive loss is comprised of net loss and other comprehensive income (loss). For the three months ended March 31, 2021 and 2020, the only component of other comprehensive income (loss) is net unrealized gain (loss) on marketable securities. There were no material reclassifications out of accumulated other comprehensive income (loss) during the three months ended March 31, 2021 and 2020. |
Marketable Securities
Marketable Securities | 3 Months Ended |
Mar. 31, 2021 | |
Marketable Securities | |
Marketable Securities | 5. Marketable and Equity Securities The Company’s marketable debt securities held as of March 31, 2021 and December 31, 2020 are summarized below: Gross Gross Amortized Unrealized Unrealized March 31, 2021 Cost Gains Losses Fair Value (in thousands) Money Market Funds $ 165,350 $ — $ — $ 165,350 Corporate Securities 73,922 12 (5) 73,929 Government Securities 319,931 107 (7) 320,031 $ 559,203 $ 119 $ (12) $ 559,310 Reported as Cash and cash equivalents $ 165,350 Marketable securities 393,960 Total investments $ 559,310 Gross Gross Amortized Unrealized Unrealized December 31, 2020 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 The maturities of the Company’s marketable debt securities are as follows: Amortized Estimated March 31, 2021 Cost Fair Value (in thousands) Mature in one year or less $ 368,762 $ 368,878 Mature within two years 25,091 25,082 $ 393,853 $ 393,960 The unrealized losses on available-for-sale investments and their related fair values as of March 31, 2021 and December 31, 2020 are as follows: Less than 12 months 12 months or greater Unrealized Unrealized March 31, 2021 Fair value losses Fair value losses (in thousands) Corporate Securities $ 4,102 $ (2) $ 3,066 $ (3) Government Securities — — 14,990 (7) $ 4,102 $ (2) $ 18,056 $ (10) Less than 12 months 12 months or greater Unrealized Unrealized December 31, 2020 Fair value losses Fair value losses (in thousands) Corporate Securities $ 15,843 $ (6) $ — $ — Government Securities 40,802 (3) — — $ 56,645 $ (9) $ — $ — The unrealized losses from the listed securities are primarily due to a change in the interest rate environment and not a change in the credit quality of the securities. In 2020, the Company received shares of common stock of Aimmune Therapeutics, Inc. (Aimmune) and shares of common stock of Viridian Therapeutics, Inc. (Viridian, formerly MiRagen Therapeutics, Inc.) in connection with the Aimmune and Viridian licensing arrangements (both as defined below). The Aimmune common stock was redeemed for cash within the same year; the Viridian common stock is classified as equity securities with a readily determinable fair value at March 31, 2021. In 2020, the Company also received equity of Zenas BioPharma Limited (Zenas), a private company, in connection with a licensing agreement. The Company elected the measurement alternative to carry the Zenas equity 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. In 2018, the Company received equity shares in Quellis Biosciences, Inc. (Quellis), a private company, in connection with a licensing transaction. The Company recorded the Quellis equity as securities not having a readily determinable fair value, and the investment was recorded at its original cost. In 2021, Quellis merged into Catabasis Pharmaceuticals, Inc. (Catabasis), and the Company received equity shares in Catabasis, which common shares have a readily determinable fair value. The adjustment in the fair value of the Catabasis equity has been recorded in other income (loss) for the three months ended March 31, 2021. Net gains and losses during the year ended March 31, 2021 and 2020 consist of the following: Three Months Ended March 31, 2021 2020 Net gains (losses) recognized on equity securities $ 12,981 $ (2,336) Less: net gains recognized on equity securities redeemed (1) — Unrealized gains (losses) recognized on equity securities $ 12,980 $ (2,336) |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2021 | |
Stock-Based Compensation | |
Stock-Based Compensation | 6. Stock Based Compensation Our Board of Directors (the Board) and the requisite stockholders previously approved the 2010 Equity Incentive Plan (the 2010 Plan). In October 2013, the Board approved the 2013 Equity Incentive Plan (the 2013 Plan), and in November 2013, our stockholders approved the 2013 Plan, which became effective as of December 3, 2013. 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 March 31, 2021, the total number of shares of common stock available for issuance under the 2013 Plan is 13,445,524, which includes 2,684,456 shares of common stock that were available for issuance under the 2010 Plan as of the effective date of the 2013 Plan. 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 of each year by 4% of the total number of issued and outstanding shares of common stock as of December 31 of the immediately preceding year. Pursuant to approval by the Board, the total number of shares of common stock available for issuance under the 2013 Plan was increased by 2,314,937 shares on January 1, 2021. As of March 31, 2021, a total of 11,894,756 options have been granted under the 2013 Plan. In November 2013, the Board and our stockholders approved the 2013 Employee Stock Purchase Plan (ESPP), which became effective as of December 5, 2013. We have reserved a total of 581,286 shares of common stock for issuance under the ESPP. Unless otherwise determined by the Board, beginning on January 1, 2014, and continuing until the expiration of the ESPP, the total number of 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. Pursuant to approval by our Board of Directors, there was no increase in the number of authorized shares in the ESPP from 2015 to 2020. As of March 31, 2021, we have issued a total of 467,595 shares of common stock under the ESPP. During the three months ended March 31, 2021, the Company awarded 247,050 restricted stock units (RSUs) to certain employees. The standard vesting of these awards is generally in three equal annual installments and is contingent on continued service to the Company. 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. As of March 31, 2021, we have granted a total of 700,837 shares of common stock issuable upon the vesting of RSUs. Total employee, director and non-employee stock-based compensation expense recognized for the three months ended March 31, 2021 and 2020 are as follows (in thousands): Three Months Ended March 31, 2021 2020 General and administrative $ 2,737 $ 2,291 Research and development 5,556 4,221 $ 8,293 $ 6,512 Three Months Ended March 31, 2021 2020 Stock options $ 6,530 $ 5,882 ESPP 248 194 RSUs 1,515 436 $ 8,293 $ 6,512 The following table summarizes option activity under our stock plans and related information: Weighted Weighted Average Average Number of Exercise Remaining Aggregate Shares Subject Price Contractual Intrinsic to Outstanding (Per Term Value Options Share) (in years) (in thousands) Balance at December 31, 2020 7,751,789 $ 26.23 7.00 $ 134,941 Options granted 1,321,917 $ 43.24 Options forfeited (64,824) $ 33.00 Options exercised (230,701) $ 23.14 Balance at March 31, 2021 8,778,181 $ 28.82 7.25 $ 125,395 Exercisable 4,963,607 $ 22.73 5.95 $ 100,938 We calculate the intrinsic value as the difference between the exercise price of the options and the closing price of common stock of $43.06 per share as of March 31, 2021. Weighted-average fair value of options granted during the three-month periods ended March 31, 2021 and 2020 were $22.83 and $16.64 per share, respectively. There were 1,137,420 options granted during the three-month period ended March 31, 2020. We estimated the fair value of each stock option using the Black-Scholes option-pricing model based on the date of grant of such stock option with the following weighted average assumptions for the three months ended March 31, 2021 and 2020: Options Three Months Ended March 31, 2021 2020 Expected term (years) 6.2 6.3 Expected volatility 55.6 % 53.9 % Risk-free interest rate 1.02 % 1.71 % Expected dividend yield — % — % ESPP Three Months Ended March 31, 2021 2020 Expected term (years) 0.5 - 2.0 0.5 - 2.0 Expected volatility 50.8 - 66.4 % 50.8 % Risk-free interest rate 0.09 - 1.65 % 1.56 - 1.65 % Expected dividend yield — % — % As of March 31, 2021, the unamortized compensation expense related to unvested stock options was $71.4 million. The remaining unamortized compensation expense will be recognized over the next 3.0 years. As of March 31, 2021, the unamortized compensation expense under our ESPP was $0.7 million. The remaining unamortized expense will be recognized over the next 0.7 years. The following table summarizes the RSU activity for the three-month period ended March 31, 2021: Weighted Restricted Average Grant Stock Date Fair Value Units (Per unit) Unvested RSUs at December 31, 2020 358,825 $ 33.04 Granted 247,050 43.11 Vested (117,808) 31.75 Forfeited (9,071) 32.36 Unvested RSUs at March 31, 2021 478,996 $ 38.56 As of March 31, 2021, the unamortized compensation expense related to unvested RSUs was $17.3 million. The remaining unamortized expense will be recognized over the next 2.6 years. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2021 | |
Leases | |
Leases | 7. Leases The Company leases office and laboratory space in Monrovia, CA under a lease that expires in December 2025 with an option to renew for an additional five years at then market rates. In July 2017, under a separate lease agreement, the Company entered into a lease for additional space in the same building with a lease that continues through September 2022, also with an option to renew for an additional five years . The Company assesses that it is likely to exercise both options of the lease term extensions. 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 March 31, 2021, 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 March 31, 2021 to the operating lease liabilities recorded on the balance sheet (in thousands): Years ending December 31, For the remainder of 2021 $ 1,773 2022 2,269 2023 1,415 2024 1,436 2025 1,396 2026 1,480 Thereafter 3,861 Total undiscounted lease payments 13,630 Less: Imputed interest (2,502) Present value of lease payments $ 11,128 Lease liabilities - short-term $ 1,934 Lease liabilities - long-term 9,194 Total lease liabilities $ 11,128 The following table summarizes lease costs and cash disclosures for the three months ended March 31, 2021 and 2020 (in thousands): Three Months Ended March 31, 2021 2020 Operating lease cost $ 614 $ 648 Variable lease cost 10 22 Total lease costs $ 624 $ 670 Cash paid for amounts included in the measurement of lease liabilities $ 499 $ 557 As of March 31, 2021, the weighted-average remaining lease term for operating leases is 7.3 years, and the weighted-average discount rate for operating leases is 5.5% |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies | |
Commitments and Contingencies | 8. Commitments and 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. The Company is 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 the Company’s balance sheet. The Company has 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. |
Collaboration and Licensing Agr
Collaboration and Licensing Agreements | 3 Months Ended |
Mar. 31, 2021 | |
Collaboration and Licensing Agreements | |
Collaboration and Licensing Agreements | 9. Collaboration and Licensing Agreements The following is a summary description of the material revenue arrangements, including arrangements that generated revenue in the three months ended March 31, 2021 and 2020. Aimmune Therapeutics, Inc. On February 4, 2020, the Company entered into a License, Development and Commercialization Agreement (the Aimmune Agreement) with 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 determined the transaction price at inception of the Aimmune Agreement and allocated it to the performance obligation, delivery of the XmAb7195 license. In March 2020, the Company completed delivery of its performance obligations when the license to XmAb7195 was transferred to Aimmune. No revenue was recognized in the three months ended March 31, 2021. The Company recognized $9.6 million of revenue related to the agreement for the three months ended March 31, 2020. There is no deferred revenue as of March 31, 2021 related to this agreement. Alexion Pharmaceuticals, Inc. In January 2013, the Company entered into an Option and License Agreement (the Alexion Agreement) with Alexion Pharmaceuticals, Inc. (Alexion). Under the terms of the Alexion Agreement, the Company granted to Alexion an exclusive research license, with limited sublicensing rights, to make and use the Company’s Xtend technology to evaluate and advance compounds. Alexion exercised its rights to one target program, ALXN1210, which is now marketed as Ultomiris®. The Company is eligible to receive contractual milestones for certain commercial achievements and is also entitled to receive royalties based on a percentage of net sales of Ultomiris sold by Alexion, its affiliates or its sublicensees, 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. At December 31, 2020, the Company recorded a contract asset of $10.0 million related to a contractual sales milestone; the Company received payment for this milestone during the three-month period ended March 31, 2021. Under ASC 606, Revenue from Contracts with Customers 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 the rights to our CD38 x CD3 preclinical program and developed AMG 424. Amgen also applied our bispecific Fc technology to create AMG 509, a STEAP1 x CD3 XmAb 2+1 bispecific antibody. In May 2020, Amgen notified the Company that it was terminating its rights with respect to the CD38 x CD3 program, including AMG 424 (now XmAb698). Under the terms of the Amgen Agreement, the rights to the AMG 424 program reverted to the Company in connection with the termination. The Company plans to support studies of XmAb698 in 2021. No revenue was recognized under the arrangement during the three months ended March 31, 2021 or 2020. As of March 31, 2021, there is no deferred revenue related to the arrangement. Astellas Pharma Inc. Effective March 29, 2019, the Company entered into a Research and License Agreement (the 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. 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. The Company recognized the $13.6 million allocated to the bispecific antibodies when it satisfied its performance obligation and transferred the bispecific antibodies to Astellas in June 2019. The $1.4 million allocated to the research activities is being recognized as the research services are being completed over the period of time the Company expects to complete the activities under the research plan. The Company completed the remaining activities under the research plan during the second quarter of 2020. At December 31, 2020, the Company recorded a contract asset of $2.5 million related to a development milestone; the Company received payment for this milestone in the three-month period ended March 31, 2021. The Company did not recognize revenue related to the arrangement for the three months ended March 31, 2021. The Company recognized $0.3 million revenue for the three months ended March 31, 2020. There is no deferred revenue as of March 31, 2021 related to the arrangement. Atreca, Inc. In July 2020, the Company entered into a Collaboration and License Agreement (the Atreca Agreement) with Atreca, Inc. (Atreca), to research, develop and commercialize novel CD3 bispecific antibodies as potential therapeutics in oncology. Under the Atreca Agreement, the companies will engage in a three-year research program in which Atreca will provide antibodies against novel tumor targets through its discovery platform from which the Company will engineer XmAb bispecific antibodies that also bind to the CD3 receptor on T cells. The two companies will share research costs equally during the research term. Up to two joint programs are eligible to be mutually selected for further development and commercialization, with each partner sharing fifty percent of costs and profits. Each company has the option to lead development, regulatory and commercialization activities for one of the joint programs. In addition, the agreement allows each partner the option to pursue up to two programs independently, with a mid-to high-single digit percentage royalty payable on net sales to the other partner. Catabasis Pharmaceuticals, Inc. / Quellis Biosciences, Inc. In May 2018, the Company entered into an agreement with Quellis, pursuant to which the Company provided Quellis a non-exclusive license to its Xtend Fc technology to apply to an identified antibody. Quellis is responsible for all development and commercialization activities. The Company received an equity interest in Quellis and is eligible to receive up to $66.0 million in milestones, which include $6.0 million in development milestones, $30.0 million in regulatory milestones and $30.0 million in sales milestones. In addition, the Company is eligible to receive royalties in the mid-single digit percentage range on net sales of approved products. In January 2021, Quellis merged into Catabasis, and the Company received common and preferred stock of Catabasis stock in exchange for its equity in Quellis. The Company recognized an increase in the fair value of its equity interest for the exchange of shares which is recorded as other income for the three months ended March 31, 2021. The Company recognized other income of $12.9 million for the three months ended March 31, 2021. There is no deferred revenue as of March 31, 2021 related to this agreement. Genentech, Inc. and F. Hoffmann-La Roche Ltd. 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 (also named RG6323), the Company’s IL-15/IL-15Ra candidate. The Genentech Agreement became effective March 8, 2019. Pursuant to the Genentech Agreement, XmAb306 is designated as a development program and all costs incurred for developing XmAb306 from March 8, 2019, the effective date of the Genentech Agreement, are being shared with Genentech under the initial cost-sharing percentage of 45%. In October 2020, a second candidate, a targeted IL-15 candidate, was designated as a development candidate, and all development costs incurred from the date of designation are also being shared with Genentech under the initial cost-sharing percentage of 45%. Pursuant to the Genentech Agreement, the Company and Genentech are conducting 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 currently in negotiations to extend the research term for an additional year. 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 recognized the $111.7 million allocated to the license when it satisfied its performance obligation and transferred the license to Genentech in March 2019. A total of $8.3 million of the transaction price was allocated to the research activities and is being recognized over a period of time through the end of the research term that services are rendered. For the three months ended March 31, 2021 and 2020, the Company recognized $0.2 million and $0.7 million of income, respectively, from the Genentech Agreement. As of March 31, 2021, there is a $2.9 million payable related to cost-sharing development activities during the first quarter of 2021 for the XmAb306 and the targeted IL-15 program. There is $2.3 million in deferred revenue as of March 31, 2021, which reflects the Company’s obligation to perform research services. 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 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. The Company retains the right to grant licenses for other antibodies directed to the target, subject to the Company’s approval. 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. The Company did not recognize any revenue related to the Gilead Agreement for the three months ended March 31, 2021. The Company recognized $6.0 million revenue for the three months ended March 31, 2020. There is no deferred revenue as of March 31, 2021 related to this agreement. INmune Bio, Inc. In October 2017, the Company entered into a License Agreement (the INmune Agreement) with INmune Bio, Inc. (INmune). Under the terms of the INmune Agreement, the Company provided INmune with an exclusive license to certain rights to a proprietary protein, XPro1595. In connection with the agreement the Company received 1,585,000 shares of INmune common stock and an option to acquire additional shares of INmune. The option has a six-year term from the date of the INmune Agreement and provides the Company the option to purchase up to 10% of the fully diluted outstanding shares of INmune for $10.0 million. The Company has recorded its equity interest in INmune at cost pursuant to ASC 323, Investments – Equity Method and Joint Ventures . The Company did not record its share of the net loss from INmune during the three months ended March 31, 2021 or 2020, respectively, as the carrying value of this investment has been reduced to zero . The Company did not recognize any revenue related to the INmune Agreement for the three months ended March 31, 2021 or 2020. There is no deferred revenue as of March 31, 2021 related to this agreement. 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. The Company 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. 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 is recognizing the $50.0 million transaction price as it satisfies its performance obligation to deliver CD28 bispecific antibodies to Janssen. The Company is using the expected input method, which considers an estimate of the Company’s efforts to complete the research activities outlined in the Janssen Agreement. The Company recognized $14.6 million of revenue under this arrangement for the three months ended March 31, 2021, and there is $35.4 million in deferred revenue as of March 31, 2021 related to our obligation to complete research activities and deliver CD28 bispecific antibodies under the Janssen Agreement. MiRagen Therapeutics, Inc./Viridian Therapeutics, Inc. In December 2020, the Company entered into a Technology License Agreement (Viridian Agreement) with Viridian (formerly MiRagen), pursuant to which the Company provided Viridian a non-exclusive license to its Xtend Fc technology and an exclusive license to apply its Xtend Fc technology to antibodies targeting IGF-1R. Viridian is responsible for all development and commercialization activities. The Company received an upfront payment of 322,407 shares of Viridian common stock valued at $6.0 million and is eligible to receive up to $55.0 million in milestones, which include $10.0 million in development milestones, $20.0 million in regulatory milestones and $25.0 million in sales milestones. If commercialized, the Company is eligible to receive royalties on net sales in the mid-single digit percentage range. The Company recognized revenue of $6.0 million from the Viridian Agreement in 2020, which includes the upfront payment of 322,407 Viridian shares at their fair value at the date of the Agreement. The shares are recorded at their fair value and adjusted to their fair value at the end of each reporting period. The Company reported unrealized gain in other income of $0.1 million for the three months ended March 31, 2021 related to the Viridian shares. The Company did not recognize revenue for the three months ended March 31, 2021, and there is no deferred revenue as of March 31, 2021, related to this agreement. MorphoSys AG In June 2010, the Company entered into a Collaboration and License Agreement with MorphoSys AG (MorphoSys), which was subsequently amended. Under the agreement, we granted MorphoSys an exclusive worldwide license to the Company’s patents and know-how to research, develop and commercialize the 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. In February 2020, the U.S. Food and Drug Administration (FDA) accepted MorphoSys’ Biologics License Application (BLA) for tafasitamab and the Company received a milestone payment of $12.5 million. The Company recognized the payment as revenue in the period that the milestone event occurred. On July 31, 2020, the FDA granted accelerated approval to MorphoSys’ BLA for tafasitamab (now Monjuvi®) for marketing in the United States. In connection with the approval, the Company received a milestone payment of $25.0 million. In the three months ended March 31, 2021, MorphoSys reported to us its plans to initiate additional clinical studies of Monjuvi, and the Company recorded a contract asset of $12.5 million as an adjustment to the total transaction price. In April 2021, MorphoSys and Incyte announced the dosing of the first patient in one of their planned clinical studies – a Phase 3 study (inMIND) evaluating the addition of tafasitamab to lenalidomide and rituximab in patients with relapsed or refractory follicular lymphoma or marginal zone lymphoma, and the contract asset was recorded as a receivable. The Company is eligible to receive royalties in the high-single to low-double digit percentage range on approved sales of Monjuvi. Under ASC 606, the Company recognizes revenue for sales-based royalties upon the subsequent sale of the product. The Company recorded royalties for Monjuvi based on an estimate of sales to be reported by MorphoSys for the three months ended March 31, 2021. The Company recognized $12.5 million of milestone revenue under this arrangement for the three months ended March 31, 2020. The Company recognized $1.4 million of royalty revenue and an additional $12.5 million of milestone revenue during the three months ended March 31, 2021. As of March 31, 2021, there is a contract asset of $12.5 million for a development milestone and a receivable of $1.4 million related to estimated royalties due under the arrangement. As of March 31, 2021, there is no deferred revenue related to this agreement. Novartis Institute for Biomedical Research, Inc. In June 2016, the Company entered into a Collaboration and License Agreement (the 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. Under the Novartis Agreement, the Company and Novartis are co-developing vibecotamab worldwide and sharing development costs. No revenue was recognized during the three months ended March 31, 2021 or 2020 from the Novartis Agreement. As of March 31, 2021, there is a receivable of $0.9 million related to cost-sharing of development activities for the first quarter of 2021 for the vibecotamab program and $40.1 million in deferred revenue related to the obligation to deliver two additional Global Discovery Programs to Novartis under the arrangement. 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 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 did Vir Biotechnology, Inc. In the third quarter of 2019, the Company entered into a Patent License Agreement (the Vir Agreement) with Vir Biotechnology, Inc. (Vir) pursuant to which the Company provided a non-exclusive license to its Xtend technology for up to two targets. Under the terms of the Vir Agreement, the Company received an upfront payment and is eligible to receive total milestones of $155.0 million which include $5.0 million of development milestones, $30.0 million of regulatory milestones and $120.0 million of sales milestones. In addition, the Company is eligible to receive royalties on the net sales of approved products in the low single digit percentage range. The Company evaluated the Vir Agreement and determined that the single performance obligation was access to a non-exclusive license to certain patents of the Company, which were transferred to Vir upon execution of the Vir Agreement in July 2019. In March 2020, the Company entered into a second Patent License Agreement (the Second Vir Agreement) with Vir pursuant to which the Company provided a non-exclusive license to its Xtend technology to extend the half-life of novel antibodies Vir is investigating as potential treatments for patients with COVID-19. Under the terms of the Second Vir Agreement, Vir is responsible for all research, development, regulatory and commercial activities for the antibodies, and the Company is eligible to receive royalties on the net sales of approved products in the mid-single digit percentage range. The Company determined that the Second Vir Agreement was a modification of the original agreement and the transfer of the license occurred at inception of the Vir Agreement. The total consideration under the arrangement did not change with the Second Vir Agreement as the Company will potentially receive additional royalty revenue which is variable consideration and is not included in the transaction price. In February 2021, the Company entered into the Vir Amendment No. 1 to the Vir Agreement and the Vir Amendment No. 1 to the Second Vir Agreement (collectively, the Vir Amendments), in which the Company provided a non-exclusive license to additional Fc technology for the targets previously identified in the Vir Agreement and the Second Vir Agreement. If Vir incorporates additional Fc technologies in the identified targets, the Company is eligible to receive additional royalties on net sales of approved products from low to mid-single digit range. The Company determined that the Second Vir Agreement and the Vir Amendments were modifications of the original Vir Agreement, and the transfer of the license occurred at inception of the Vir Agreement. The total consideration under the arrangement did not change with the Amended Vir Agreement as the Company will potentially receive additional royalty revenue which is variable consideration and is not included in the transaction price. The Company did not recognize revenue for the three months ended March 31, 2021 or 2020, and there is no deferred revenue as of March 31, 2021 related to this agreement. Zenas BioPharma Limited License Agreement In November 2020, the Company entered into a License Agreement (the Zenas Agreement) with Zenas, pursuant to which the Company granted Zenas exclusive worldwide rights to develop and commercialize three preclinical-stage Fc-engineered drug candidates: XmAb6755, XPro9523 and XmAb10717. Under the Zenas Agreement, Zenas will be responsible for all further development and commercialization activities for the candidates. The Company received a 15% equity interest in Zenas with a fair value of $16.1 million, and the Company is eligible to receive royalties on net sales of approved products in the mid-single digit to mid-teen percentage range. The total transaction price is $16.1 million, which includes the upfront payment of 15% of the equity of Zenas at its fair value at the date of the Zenas Agreement. The Company recorded licensing revenue of $16.1 million for the Zenas Agreement for the three months ended December 31, 2020. The equity in Zenas is recorded at the fair value at the date of the Zenas Agreement and is reviewed each reporting period for impairment or other evidence of change in value. The Company did not record an impairment or change in the value of the Zenas equity at March 31, 2021. The Company did not recognize any revenue related to the agreement for the three months ended March 31, 2021. There is no deferred revenue as of March 31, 2021 related to this agreement. Revenue earned The revenues recorded for the three months ended March 31, 2021 and 2020 were earned principally from the following licensees (in millions): Three Months Ended March 31, 2021 2020 Aimmune $ — $ 9.6 Alexion 5.3 3.3 Astellas — 0.3 Genentech 0.2 0.7 Gilead — 6.0 Janssen 14.6 — MorphoSys 13.9 12.5 Total $ 34.0 $ 32.4 The table below summarizes the disaggregation of revenue recorded for the three months ended March 31, 2021 and 2020 (in millions): Three Months Ended March 31, 2021 2020 Research collaboration $ 14.8 $ 1.0 Milestone 12.5 12.5 Licensing — 15.6 Royalties 6.7 3.3 Total $ 34.0 $ 32.4 Remaining Performance Obligations and Deferred Revenue The Company’s remaining performance obligations are delivery of two Global Discovery Programs under the Novartis Agreement and conducting research activities pursuant to research plans under the Genentech and Janssen Agreements. The Company has completed its performance obligations for research activities pursuant to the Astellas Agreement in the second quarter of 2020. As of March 31, 2021 and 2020, the Company has deferred revenue of $77.8 million and $46.2 million, respectively. All deferred revenue is classified as current liabilities as the Company’s obligations to perform services are due on demand when requested by Novartis under the Novartis Agreement and by Janssen under the Janssen Agreement. The Company’s obligation to perform research services to Genentech will end upon expiration of the research term. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2021 | |
Income Taxes | |
Income Taxes | 10. Income taxes There was no provision for income taxes for the three months ended March 31, 2021 or 2020. As of March 31, 2021, the Company’s deferred income tax assets, consisting primarily of net operating loss and tax credit carryforwards, have been fully offset by a valuation allowance. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Polices) | 3 Months Ended |
Mar. 31, 2021 | |
Summary of Significant Accounting Policies | |
Basis of Presentation | Basis of Presentation The accompanying unaudited interim financial statements for Xencor, Inc. (the Company, Xencor, we or us) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information. The financial statements include all adjustments (consisting only of normal recurring adjustments) that the management of the Company believes are necessary for a fair presentation of the periods presented. The preparation of interim financial statements requires the use of management’s estimates and assumptions that affect reported amounts of assets and liabilities at the date of the interim financial statements and the reported revenues and expenditures during the reported periods. These interim financial results are not necessarily indicative of the results expected for the full fiscal year or for any subsequent interim period. The accompanying unaudited interim financial statements and related notes should be read in conjunction with the audited financial statements and notes thereto included in the Company’s 2020 Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on February 24, 2021. |
Use of Estimates | Use of Estimates The preparation of interim financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, other comprehensive gain (loss) and the related disclosures. On an ongoing basis, management evaluates its estimates, including estimates related to its accrued clinical trial and manufacturing development expenses, stock-based compensation expense, intangible assets and related amortization. Significant estimates in these interim financial statements include estimates: made for royalty revenue, accrued research and development expenses, stock-based compensation expenses, intangible assets and related amortization, estimated standalone selling price of performance obligations, estimated time for completing delivery of performance obligations under certain arrangements, the likelihood of recognizing variable consideration, and recoverability of deferred tax assets. |
Intangible Assets | Intangible Assets The Company maintains definite-lived intangible assets related to certain capitalized costs of acquired licenses and third-party costs incurred in establishing and maintaining its intellectual property rights to its platform technologies and development candidates. These assets are amortized over their useful lives, which are estimated to be the remaining patent life or the contractual term of the license. The straight-line method is used to record amortization expense. The Company assesses its intangible assets for impairment if indicators are present or changes in circumstances suggest that impairment may exist. There were no impairment charges recorded for the three months ended March 31, 2021 and 2020. The Company capitalizes certain in-process intangible assets that are then abandoned when they are no longer pursued or used in current research activities. There was no material abandonment of in-process intangible assets during the three months ended March 31, 2021 and 2020. |
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 that 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 three months ended March 31, 2021 and 2020, respectively. Accrued interest on marketable debt securities is included in marketable securities’ carrying value. 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 Statements of Comprehensive Income (Loss) in the period of sale. The Company also has investments in equity securities without readily determinable fair values, 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. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Pronouncements Adopted in 2021 Effective January 1, 2021, the Company adopted ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes Effective January 1, 2021, the Company adopted 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 adoption of this standard did not have a significant impact on the Company’s financial statements. Effective January 1, 2021, the Company adopted ASU No. 2020-10, Codification Improvements There have been no other material changes to the significant accounting policies previously disclosed in the Company’s 2020 Annual Report on Form 10-K. |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value of Financial Instruments | |
Schedule of assets recorded at fair value | March 31, 2021 (unaudited) December 31, 2020 Total Total Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Money Market Funds $ 165,350 $ 165,350 $ — $ — $ 158,937 $ 158,937 $ — $ — Corporate Securities 73,929 — 73,929 — 119,833 — 119,833 — Government Securities 320,031 — 320,031 — 315,353 — 315,353 — Equity Securities with Readily Determinable Fair Value 6,136 6,136 — — 5,303 5,303 — — Equity Securities without Readily Determinable Fair Value 28,219 — — 28,219 16,071 — — 16,071 $ 593,665 $ 171,486 $ 393,960 $ 28,219 $ 615,497 $ 164,240 $ 435,186 $ 16,071 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Net Loss Per Share | |
Schedule of basic and diluted net loss per common share | Three Months Ended March 31, 2021 2020 (in thousands, except share and per share data) Numerator: Net loss attributable to common stockholders $ (2,487) $ (8,074) Denominator: Weighted-average common shares outstanding used in computing basic and diluted net loss 57,997,313 56,946,714 Basic and diluted net loss per common share $ (0.04) $ (0.14) |
Marketable Securities (Tables)
Marketable Securities (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Marketable Securities | |
Schedule of marketable securities | Gross Gross Amortized Unrealized Unrealized March 31, 2021 Cost Gains Losses Fair Value (in thousands) Money Market Funds $ 165,350 $ — $ — $ 165,350 Corporate Securities 73,922 12 (5) 73,929 Government Securities 319,931 107 (7) 320,031 $ 559,203 $ 119 $ (12) $ 559,310 Reported as Cash and cash equivalents $ 165,350 Marketable securities 393,960 Total investments $ 559,310 Gross Gross Amortized Unrealized Unrealized December 31, 2020 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 |
Schedule of maturities of marketable securities | Amortized Estimated March 31, 2021 Cost Fair Value (in thousands) Mature in one year or less $ 368,762 $ 368,878 Mature within two years 25,091 25,082 $ 393,853 $ 393,960 |
Schedule of unrealized losses on available-for-sale investments | The unrealized losses on available-for-sale investments and their related fair values as of March 31, 2021 and December 31, 2020 are as follows: Less than 12 months 12 months or greater Unrealized Unrealized March 31, 2021 Fair value losses Fair value losses (in thousands) Corporate Securities $ 4,102 $ (2) $ 3,066 $ (3) Government Securities — — 14,990 (7) $ 4,102 $ (2) $ 18,056 $ (10) Less than 12 months 12 months or greater Unrealized Unrealized December 31, 2020 Fair value losses Fair value losses (in thousands) Corporate Securities $ 15,843 $ (6) $ — $ — Government Securities 40,802 (3) — — $ 56,645 $ (9) $ — $ — |
Schedule of net gains and losses | Three Months Ended March 31, 2021 2020 Net gains (losses) recognized on equity securities $ 12,981 $ (2,336) Less: net gains recognized on equity securities redeemed (1) — Unrealized gains (losses) recognized on equity securities $ 12,980 $ (2,336) |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Stock-Based Compensation | |
Schedule of total employee, director and non-employee stock-based compensation expense recognized | Three Months Ended March 31, 2021 2020 General and administrative $ 2,737 $ 2,291 Research and development 5,556 4,221 $ 8,293 $ 6,512 Three Months Ended March 31, 2021 2020 Stock options $ 6,530 $ 5,882 ESPP 248 194 RSUs 1,515 436 $ 8,293 $ 6,512 |
Summary of stock option activity | Weighted Weighted Average Average Number of Exercise Remaining Aggregate Shares Subject Price Contractual Intrinsic to Outstanding (Per Term Value Options Share) (in years) (in thousands) Balance at December 31, 2020 7,751,789 $ 26.23 7.00 $ 134,941 Options granted 1,321,917 $ 43.24 Options forfeited (64,824) $ 33.00 Options exercised (230,701) $ 23.14 Balance at March 31, 2021 8,778,181 $ 28.82 7.25 $ 125,395 Exercisable 4,963,607 $ 22.73 5.95 $ 100,938 |
Schedule of weighted average assumptions used for estimation of fair value of stock options | Options Three Months Ended March 31, 2021 2020 Expected term (years) 6.2 6.3 Expected volatility 55.6 % 53.9 % Risk-free interest rate 1.02 % 1.71 % Expected dividend yield — % — % |
Schedule of weighted average assumptions used for estimation of fair value of ESPP | ESPP Three Months Ended March 31, 2021 2020 Expected term (years) 0.5 - 2.0 0.5 - 2.0 Expected volatility 50.8 - 66.4 % 50.8 % Risk-free interest rate 0.09 - 1.65 % 1.56 - 1.65 % Expected dividend yield — % — % |
Summary of restricted stock unity activity | Weighted Restricted Average Grant Stock Date Fair Value Units (Per unit) Unvested RSUs at December 31, 2020 358,825 $ 33.04 Granted 247,050 43.11 Vested (117,808) 31.75 Forfeited (9,071) 32.36 Unvested RSUs at March 31, 2021 478,996 $ 38.56 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Leases | |
Schedule of operating lease liabilities maturities | The following table reconciles the undiscounted cash flows for the operating leases at March 31, 2021 to the operating lease liabilities recorded on the balance sheet (in thousands): Years ending December 31, For the remainder of 2021 $ 1,773 2022 2,269 2023 1,415 2024 1,436 2025 1,396 2026 1,480 Thereafter 3,861 Total undiscounted lease payments 13,630 Less: Imputed interest (2,502) Present value of lease payments $ 11,128 Lease liabilities - short-term $ 1,934 Lease liabilities - long-term 9,194 Total lease liabilities $ 11,128 |
Summary of lease costs and cash disclosures | Three Months Ended March 31, 2021 2020 Operating lease cost $ 614 $ 648 Variable lease cost 10 22 Total lease costs $ 624 $ 670 Cash paid for amounts included in the measurement of lease liabilities $ 499 $ 557 |
Collaboration and Licensing A_2
Collaboration and Licensing Agreements (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Collaboration and Licensing Agreements | |
Schedule of revenue by licensees | The revenues recorded for the three months ended March 31, 2021 and 2020 were earned principally from the following licensees (in millions): Three Months Ended March 31, 2021 2020 Aimmune $ — $ 9.6 Alexion 5.3 3.3 Astellas — 0.3 Genentech 0.2 0.7 Gilead — 6.0 Janssen 14.6 — MorphoSys 13.9 12.5 Total $ 34.0 $ 32.4 |
Schedule of disaggregation of revenue | The table below summarizes the disaggregation of revenue recorded for the three months ended March 31, 2021 and 2020 (in millions): Three Months Ended March 31, 2021 2020 Research collaboration $ 14.8 $ 1.0 Milestone 12.5 12.5 Licensing — 15.6 Royalties 6.7 3.3 Total $ 34.0 $ 32.4 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Summary of Significant Accounting Policies | ||
Impairment of intangible assets | $ 0 | $ 0 |
Impairment loss or recoveries | $ 0 | $ 0 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 |
Fair Value of Financial Instruments | |||
Money Market Funds | $ 176,965 | $ 163,544 | |
Marketable Securities | 393,960 | ||
Equity Securities with Readily Determinable Fair Value | 6,136 | 5,303 | |
Equity Securities without Readily Determinable Fair Value, Amount | 28,219 | 16,071 | |
Total Fair Value | 593,665 | 615,497 | |
Transfers from level 1 to level 2 | 0 | $ 0 | |
Transfers from level 2 to level 1 | 0 | $ 0 | |
Money Market Funds | |||
Fair Value of Financial Instruments | |||
Money Market Funds | 165,350 | 158,937 | |
Corporate Securities | |||
Fair Value of Financial Instruments | |||
Marketable Securities | 73,929 | 119,833 | |
Government Securities | |||
Fair Value of Financial Instruments | |||
Marketable Securities | 320,031 | 315,353 | |
Level 1 | |||
Fair Value of Financial Instruments | |||
Equity Securities with Readily Determinable Fair Value | 6,136 | 5,303 | |
Total Fair Value | 171,486 | 164,240 | |
Level 1 | Money Market Funds | |||
Fair Value of Financial Instruments | |||
Money Market Funds | 165,350 | 158,937 | |
Level 2 | |||
Fair Value of Financial Instruments | |||
Total Fair Value | 393,960 | 435,186 | |
Level 2 | Corporate Securities | |||
Fair Value of Financial Instruments | |||
Marketable Securities | 73,929 | 119,833 | |
Level 2 | Government Securities | |||
Fair Value of Financial Instruments | |||
Marketable Securities | 320,031 | 315,353 | |
Level 3 | |||
Fair Value of Financial Instruments | |||
Equity Securities without Readily Determinable Fair Value, Amount | 28,219 | 16,071 | |
Total Fair Value | $ 28,219 | $ 16,071 |
Net Loss Per Share (Details)
Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Numerator: | ||
Net loss attributable to common stockholders | $ (2,487) | $ (8,074) |
Denominator: | ||
Weighted-average common shares outstanding used in computing basic and diluted net loss | 57,997,313 | 56,946,714 |
Basic and diluted net loss (in dollars per share) | $ (0.04) | $ (0.14) |
Marketable Securities (Details)
Marketable Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Schedule of Available-for-sale Securities | ||
Cash and cash equivalents | $ 176,965 | $ 163,544 |
Investments, amortized cost | 559,203 | 594,038 |
Investments | 559,310 | 594,123 |
Total amortized cost | 393,853 | |
Gross unrealized gains | 119 | 94 |
Gross unrealized losses | (12) | (9) |
Marketable Securities | 393,960 | |
Marketable securities | ||
Schedule of Available-for-sale Securities | ||
Marketable Securities | 393,960 | 435,186 |
Money Market Funds | ||
Schedule of Available-for-sale Securities | ||
Cash and cash equivalents | 165,350 | 158,937 |
Corporate Securities | ||
Schedule of Available-for-sale Securities | ||
Total amortized cost | 73,922 | 119,782 |
Gross unrealized gains | 12 | 57 |
Gross unrealized losses | (5) | (6) |
Marketable Securities | 73,929 | 119,833 |
Government Securities | ||
Schedule of Available-for-sale Securities | ||
Total amortized cost | 319,931 | 315,319 |
Gross unrealized gains | 107 | 37 |
Gross unrealized losses | (7) | (3) |
Marketable Securities | 320,031 | 315,353 |
Cash and Cash Equivalents | ||
Schedule of Available-for-sale Securities | ||
Cash and cash equivalents | $ 165,350 | $ 158,937 |
Marketable Securities - Maturit
Marketable Securities - Maturities (Details) $ in Thousands | Mar. 31, 2021USD ($) |
Amortized Cost | |
Maturing in one year or less | $ 368,762 |
Maturing within two years | 25,091 |
Total amortized cost | 393,853 |
Estimate Fair Value | |
Maturing in one year or less | 368,878 |
Maturing within two years | 25,082 |
Total estimated fair value | $ 393,960 |
Marketable Securities - Unreali
Marketable Securities - Unrealized losses (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Fair value | ||
Fair value, less than 12 months | $ 4,102 | $ 56,645 |
Fair value, 12 months or greater | 18,056 | |
Unrealized losses | ||
Unrealized losses, Less than 12 months | (2) | (9) |
Unrealized losses, 12 months or greater | (10) | |
Corporate Securities | ||
Fair value | ||
Fair value, less than 12 months | 4,102 | 15,843 |
Fair value, 12 months or greater | 3,066 | |
Unrealized losses | ||
Unrealized losses, Less than 12 months | (2) | (6) |
Unrealized losses, 12 months or greater | (3) | |
Government Securities | ||
Fair value | ||
Fair value, less than 12 months | 40,802 | |
Fair value, 12 months or greater | 14,990 | |
Unrealized losses | ||
Unrealized losses, Less than 12 months | $ (3) | |
Unrealized losses, 12 months or greater | $ (7) |
Marketable Securities - Net gai
Marketable Securities - Net gains and losses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Marketable Securities | ||
Net gains (losses) recognized on equity securities | $ 12,981 | $ (2,336) |
Less: net gains recognized on equity securities redeemed | (1) | |
Unrealized gains (losses) recognized on equity securities | $ 12,980 | $ (2,336) |
Stock Based Compensation (Detai
Stock Based Compensation (Details) | Dec. 02, 2013shares | Mar. 31, 2021itemshares | Mar. 31, 2020shares | Mar. 31, 2021shares | Jan. 01, 2021shares |
Employee stock options | |||||
Stock-based compensation | |||||
Options granted (in shares) | 1,321,917 | 1,137,420 | |||
ESPP | |||||
Stock-based compensation | |||||
Total number of shares of common stock available for issuance | 581,286 | 581,286 | |||
Awards issued under the plan (in shares) | 467,595 | ||||
Increase in shares of common stock available for issuance (in shares) | 0 | ||||
ESPP | Maximum | |||||
Stock-based compensation | |||||
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 | |||||
Awards issued under the plan (in shares) | 700,837 | ||||
Granted | 247,050 | ||||
Annual installment vesting periods | item | 3 | ||||
The 2013 Plan | |||||
Stock-based compensation | |||||
Total number of shares of common stock available for issuance | 13,445,524 | 13,445,524 | 2,314,937 | ||
Annual percentage increase in shares of common stock available for issuance | 4.00% | ||||
Awards issued under the plan (in shares) | 11,894,756 | ||||
Increase in shares of common stock available for issuance (in shares) | 2,314,937 | ||||
The 2010 Plan | |||||
Stock-based compensation | |||||
Total number of shares of common stock available for issuance | 2,684,456 | 2,684,456 | |||
Options granted (in shares) | 0 |
Stock-Based Compensation - Empl
Stock-Based Compensation - Employee expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Stock-based compensation | ||
Total employee, director and non-employee stock-based compensation expense | $ 8,293 | $ 6,512 |
Employee stock options | ||
Stock-based compensation | ||
Total employee, director and non-employee stock-based compensation expense | 6,530 | 5,882 |
ESPP | ||
Stock-based compensation | ||
Total employee, director and non-employee stock-based compensation expense | 248 | 194 |
Restricted stock units | ||
Stock-based compensation | ||
Total employee, director and non-employee stock-based compensation expense | 1,515 | 436 |
General and administrative | ||
Stock-based compensation | ||
Total employee, director and non-employee stock-based compensation expense | 2,737 | 2,291 |
Research and development | ||
Stock-based compensation | ||
Total employee, director and non-employee stock-based compensation expense | $ 5,556 | $ 4,221 |
Stock-Based Compensation - Opti
Stock-Based Compensation - Option activity (Details) - USD ($) $ / shares in Units, $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 | Dec. 02, 2013 | Mar. 31, 2021 | Mar. 31, 2020 |
Employee stock options | |||||
Number of Shares subject to outstanding options | |||||
Balance at the beginning of the period (in shares) | 7,751,789 | ||||
Options granted (in shares) | 1,321,917 | 1,137,420 | |||
Options forfeited (in shares) | (64,824) | ||||
Options exercised (in shares) | (230,701) | ||||
Balance at the end of the period (in shares) | 8,778,181 | 7,751,789 | 8,778,181 | ||
Exercisable options (in shares) | 4,963,607 | 4,963,607 | |||
Weighted Average Exercise Price (Per Share) | |||||
Balance at the beginning of the period (in dollars per share) | $ 26.23 | ||||
Options granted (in dollars per share) | 43.24 | ||||
Options forfeited (in dollars per share) | 33 | ||||
Options exercised (in dollars per share) | 23.14 | ||||
Balance at the end of the period (in dollars per share) | $ 28.82 | $ 26.23 | 28.82 | ||
Exercisable (in dollars per share) | $ 22.73 | $ 22.73 | |||
Weighted-average remaining contractual life | 7 years 3 months | 7 years | |||
Weighted-average remaining contractual life of awards exercisable | 5 years 11 months 12 days | ||||
Aggregate intrinsic value of options outstanding | $ 125,395 | $ 134,941 | $ 125,395 | ||
Aggregate intrinsic value of options exercisable | $ 100,938 | $ 100,938 | |||
Closing price of common stock (in dollars per share) | $ 43.06 | $ 43.06 | |||
Weighted average fair value of options granted (in dollars per share) | $ 22.83 | $ 16.64 | |||
The 2010 Plan | |||||
Number of Shares subject to outstanding options | |||||
Options granted (in shares) | 0 |
Stock-Based Compensation - FV o
Stock-Based Compensation - FV of employee stock options (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Mar. 31, 2021 | Mar. 31, 2020 |
Employee stock options | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected volatility (as a percent) | 55.60% | 53.90% | |
Risk-free interest rate (as a percent) | 1.02% | 1.71% | |
Expected term (years) | 6 years 2 months 12 days | 6 years 3 months 18 days | |
Compensation expense | |||
Unamortized compensation expense related to unvested options | $ 71.4 | $ 71.4 | |
Period to recognize unamortized compensation expense | 3 years | ||
ESPP | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected volatility, low end of range (as a percent) | 50.80% | ||
Expected volatility, high end of range (as a percent) | 66.40% | ||
Expected volatility (as a percent) | 50.80% | ||
Risk-free interest rate, low end of range (as a percent) | 0.09% | 1.56% | |
Risk-free interest rate, high end of range (as a percent) | 1.65% | 1.65% | |
Compensation expense | |||
Unamortized compensation expense related to unvested options | $ 0.7 | $ 0.7 | |
Period to recognize unamortized compensation expense | 8 months 12 days | ||
ESPP | Minimum | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected term (years) | 6 months | 6 months | |
ESPP | Maximum | |||
Weighted average assumptions for estimated fair value of employee stock options | |||
Expected term (years) | 2 years | 2 years |
Stock Based Compensation - Rest
Stock Based Compensation - Restricted stock units (Details) - Restricted stock units $ / shares in Units, $ in Thousands | Mar. 31, 2021USD ($)$ / sharesshares | Mar. 31, 2021USD ($)$ / sharesshares |
Stock-based compensation | ||
Beginning balance | shares | 358,825 | |
Granted | shares | 247,050 | |
Vested | shares | (117,808) | |
Forfeited | shares | (9,071) | |
Ending balance | shares | 478,996 | 478,996 |
Weighted Average Grant Date Fair Value, Beginning Balance | $ / shares | $ 33.04 | |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 43.11 | |
Weighted Average Grant Date Fair Value, Vested | $ / shares | 31.75 | |
Weighted Average Grant Date Fair Value, Forfeited | $ / shares | 32.36 | |
Weighted Average Grant Date Fair Value, Ending Balance | $ / shares | $ 38.56 | $ 38.56 |
Compensation expense | ||
Unamortized compensation expense related to unvested restricted stock units | $ | $ 17,300 | $ 17,300 |
Period to recognize unamortized compensation expense | 2 years 7 months 6 days |
Leases (Details)
Leases (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Nov. 30, 2020 | Jul. 31, 2017 |
Lessee, Lease, Description [Line Items] | |||
For the remainder of 2021 | $ 1,773 | ||
2022 | 2,269 | ||
2023 | 1,415 | ||
2024 | 1,436 | ||
2025 | 1,396 | ||
2026 | 1,480 | ||
Thereafter | 3,861 | ||
Total undiscounted lease payments | 13,630 | ||
Less: Imputed interest | (2,502) | ||
Present value of lease payments | $ 11,128 | ||
Monrovia, CA - office and laboratory space | |||
Lessee, Lease, Description [Line Items] | |||
Renewal term | 5 years | ||
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 |
Leases - Operating lease liabil
Leases - Operating lease liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Leases | ||
Lease liability - short-term | $ 1,934 | $ 1,889 |
Lease liability - long-term | 9,194 | $ 9,739 |
Operating lease liabilities | $ 11,128 |
Leases - Lease costs (Details)
Leases - Lease costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Leases | ||
Operating lease cost | $ 614 | $ 648 |
Variable lease cost | 10 | 22 |
Total lease costs | 624 | 670 |
Cash paid for amounts included in the measurement of lease liabilities | $ 499 | $ 557 |
Remaining lease term | 7 years 3 months 18 days | |
Discount rate | 5.50% |
Collaboration and Licensing A_3
Collaboration and Licensing Agreements (Details) | Feb. 04, 2020USD ($)shares | Mar. 29, 2019USD ($) | Mar. 08, 2019 | Dec. 31, 2020USD ($)shares | Nov. 30, 2020USD ($)item | Aug. 31, 2020USD ($)item | Jul. 31, 2020USD ($)Program | Feb. 29, 2020USD ($) | Jan. 31, 2020USD ($)item | Jun. 30, 2019USD ($) | Feb. 28, 2019 | Oct. 31, 2017USD ($)shares | Jan. 31, 2013Program | Mar. 31, 2021USD ($)item | Dec. 31, 2020USD ($) | Mar. 31, 2020USD ($) | Sep. 30, 2019USD ($)item | Dec. 31, 2020USD ($) | Mar. 31, 2019USD ($) | May 31, 2018USD ($) |
Collaboration research and licensing agreements | ||||||||||||||||||||
Other income | $ 12,970,000 | $ (2,336,000) | ||||||||||||||||||
Deferred revenue | 77,800,000 | 46,200,000 | ||||||||||||||||||
Receivable | $ 11,443,000 | $ 12,525,000 | $ 11,443,000 | $ 11,443,000 | ||||||||||||||||
Atreca, Inc. | Collaboration and License Agreement | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Research license term | 3 years | |||||||||||||||||||
Sharing percent of costs and profits | 50.00% | |||||||||||||||||||
Novartis | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Number of performance obligations | 2 | |||||||||||||||||||
License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Nonrefundable upfront payment | $ 5,000,000 | |||||||||||||||||||
Revenue recognized | $ 0 | 9,600,000 | ||||||||||||||||||
Shares received in noncash transaction | shares | 156,238 | |||||||||||||||||||
Purchase amount of share options or equity in noncash transaction | $ 4,600,000 | |||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
License, Development, and Commercialization Agreement | Aimmune | Maximum | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 385,000,000 | |||||||||||||||||||
Option and License Agreement | Alexion | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Receivable | 9,500,000 | |||||||||||||||||||
Number of different target programs | Program | 1 | |||||||||||||||||||
Option and License Agreement | Alexion | Royalty | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | 5,300,000 | 3,300,000 | ||||||||||||||||||
Option and License Agreement | Alexion | Milestone | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Contract asset | 10,000,000 | 10,000,000 | 10,000,000 | |||||||||||||||||
Research and License Agreement | Amgen, Inc. | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | 0 | 0 | ||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Research and License Agreement | Astellas | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Nonrefundable upfront payment | $ 15,000,000 | |||||||||||||||||||
Potential milestone payment | 240,000,000 | |||||||||||||||||||
Revenue recognized | 0 | 300,000 | ||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Research and License Agreement | Astellas | Bispecific | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | $ 13,600,000 | |||||||||||||||||||
Research and License Agreement | Astellas | Research service | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Performance obligation | 1,400,000 | |||||||||||||||||||
Research and License Agreement | Astellas | Milestone | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Contract asset | 2,500,000 | 2,500,000 | 2,500,000 | |||||||||||||||||
Research and License Agreement | Vir | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 155,000,000 | |||||||||||||||||||
Revenue recognized | 0 | 0 | ||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Number of different target programs | item | 2 | |||||||||||||||||||
Collaboration and License Agreement | Atreca, Inc. | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Number of programs | Program | 1 | |||||||||||||||||||
Number of different target programs | Program | 2 | |||||||||||||||||||
Collaboration and License Agreement | Genentech | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Initial cost-sharing percentage | 45.00% | |||||||||||||||||||
Research license term | 2 years | |||||||||||||||||||
Revenue recognized | 200,000 | 700,000 | ||||||||||||||||||
Collaboration and License Agreement | Genentech | XmAb24306 | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Cost sharing receivable (payable) | (2,900,000) | |||||||||||||||||||
Collaboration and License Agreement | Genentech | Research service | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Performance obligation | $ 8,300,000 | |||||||||||||||||||
Deferred revenue | 2,300,000 | |||||||||||||||||||
Collaboration and License Agreement | Genentech | Licensing | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Performance obligation | $ 111,700,000 | |||||||||||||||||||
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 | 14,600,000 | |||||||||||||||||||
Deferred revenue | 35,400,000 | |||||||||||||||||||
Collaboration and License Agreement | MorphoSys | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | $ 25,000,000 | |||||||||||||||||||
Contract asset | 12,500,000 | |||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Collaboration and License Agreement | MorphoSys | Royalty | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | 1,400,000 | |||||||||||||||||||
Receivable | 1,400,000 | |||||||||||||||||||
Collaboration and License Agreement | MorphoSys | Milestone | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | $ 12,500,000 | 12,500,000 | 12,500,000 | |||||||||||||||||
Collaboration and License Agreement | Novartis | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | 0 | 0 | ||||||||||||||||||
Deferred revenue | 40,100,000 | |||||||||||||||||||
Cost sharing receivable (payable) | $ 900,000 | |||||||||||||||||||
Collaboration and License Agreement | Novartis | Discovery Program | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Number of performance obligations | item | 2 | |||||||||||||||||||
Technology License Agreement | Quellis | Maximum | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 66,000,000 | |||||||||||||||||||
Technology License Agreement | Catabasis | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Other income | $ 12,900,000 | |||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Technology License Agreement | Gilead | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Nonrefundable upfront payment | $ 6,000,000 | |||||||||||||||||||
Potential milestone payment | $ 67,000,000 | |||||||||||||||||||
Revenue recognized | 0 | 6,000,000 | ||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Number of compounds | item | 3 | |||||||||||||||||||
Technology License Agreement | MiRagen/Viridian | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 55,000,000 | 55,000,000 | 55,000,000 | |||||||||||||||||
Other income | 100,000 | |||||||||||||||||||
Revenue recognized | 0 | 6,000,000 | ||||||||||||||||||
Shares received in noncash transaction | shares | 322,407 | |||||||||||||||||||
Purchase amount of share options or equity in noncash transaction | $ 6,000,000 | |||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Technology License Agreement | Omeros | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Nonrefundable upfront payment | $ 5,000,000 | |||||||||||||||||||
Potential milestone payment | $ 65,000,000 | |||||||||||||||||||
Revenue recognized | 0 | |||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Number of additional antibodies | item | 3 | |||||||||||||||||||
License Agreement | INmune | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | 0 | 0 | ||||||||||||||||||
Shares received in noncash transaction | shares | 1,585,000 | |||||||||||||||||||
Purchase amount of share options or equity in noncash transaction | $ 10,000,000 | |||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Equity securities | 0 | $ 0 | ||||||||||||||||||
Option term | 6 years | |||||||||||||||||||
License Agreement | INmune | Maximum | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Additional equity interests (as a percentage) | 10.00% | |||||||||||||||||||
License Agreement | Zenas Bio Pharma Limited | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Performance obligation | 16,100,000 | |||||||||||||||||||
Revenue recognized | 0 | |||||||||||||||||||
Purchase amount of share options or equity in noncash transaction | $ 16,100,000 | |||||||||||||||||||
Deferred revenue | 0 | |||||||||||||||||||
Percentage of equity of private company | 15.00% | |||||||||||||||||||
Number of drug candidates | item | 3 | |||||||||||||||||||
License Agreement | Zenas Bio Pharma Limited | Licensing | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Revenue recognized | 16,100,000 | |||||||||||||||||||
Development-based | License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 22,000,000 | |||||||||||||||||||
Development-based | Research and License Agreement | Astellas | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 32,500,000 | |||||||||||||||||||
Development-based | Research and License Agreement | Vir | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 5,000,000 | |||||||||||||||||||
Development-based | Collaboration and License Agreement | Janssen Biotech, Inc | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 161,900,000 | |||||||||||||||||||
Development-based | Collaboration and License Agreement | MorphoSys | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Contract asset | $ 12,500,000 | |||||||||||||||||||
Development-based | Technology License Agreement | Quellis | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 6,000,000 | |||||||||||||||||||
Development-based | Technology License Agreement | Gilead | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 10,000,000 | |||||||||||||||||||
Development-based | Technology License Agreement | MiRagen/Viridian | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 10,000,000 | 10,000,000 | 10,000,000 | |||||||||||||||||
Development-based | Technology License Agreement | Omeros | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 15,000,000 | |||||||||||||||||||
Regulatory-based | License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 53,000,000 | |||||||||||||||||||
Regulatory-based | Research and License Agreement | Astellas | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 57,500,000 | |||||||||||||||||||
Regulatory-based | Research and License Agreement | Vir | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 30,000,000 | |||||||||||||||||||
Regulatory-based | Collaboration and License Agreement | Janssen Biotech, Inc | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 240,600,000 | |||||||||||||||||||
Regulatory-based | Technology License Agreement | Quellis | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 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 | MiRagen/Viridian | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 20,000,000 | 20,000,000 | 20,000,000 | |||||||||||||||||
Regulatory-based | Technology License Agreement | Omeros | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | 25,000,000 | |||||||||||||||||||
Sales-based | License, Development, and Commercialization Agreement | Aimmune | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 310,000,000 | |||||||||||||||||||
Sales-based | Research and License Agreement | Astellas | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 150,000,000 | |||||||||||||||||||
Sales-based | Research and License Agreement | Vir | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 120,000,000 | |||||||||||||||||||
Sales-based | Collaboration and License Agreement | Janssen Biotech, Inc | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 260,000,000 | |||||||||||||||||||
Sales-based | Technology License Agreement | Quellis | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 30,000,000 | |||||||||||||||||||
Sales-based | Technology License Agreement | Gilead | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 30,000,000 | |||||||||||||||||||
Sales-based | Technology License Agreement | MiRagen/Viridian | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 25,000,000 | $ 25,000,000 | $ 25,000,000 | |||||||||||||||||
Sales-based | Technology License Agreement | Omeros | ||||||||||||||||||||
Collaboration research and licensing agreements | ||||||||||||||||||||
Potential milestone payment | $ 25,000,000 |
Collaborative and Licensing Agr
Collaborative and Licensing Agreements - Revenue Recognition (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | $ 33,965 | $ 32,385 |
Deferred revenue | 77,800 | 46,200 |
Research collaboration | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 14,800 | 1,000 |
Milestone | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 12,500 | 12,500 |
Licensing | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 15,600 | |
Royalty | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 6,700 | 3,300 |
Aimmune | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 9,600 | |
Alexion | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 5,300 | 3,300 |
Astellas | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 300 | |
Genentech | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 200 | 700 |
Gilead | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 6,000 | |
Janssen | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | 14,600 | |
MorphoSys | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Revenue recorded | $ 13,900 | $ 12,500 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Reconciliation of federal statutory income tax to effective income tax | ||
Income tax expense | $ 0 | $ 0 |