Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2018 | Aug. 02, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | CALA | |
Entity Registrant Name | Calithera Biosciences, Inc. | |
Entity Central Index Key | 1,496,671 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 35,987,379 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 55,870 | $ 48,475 |
Short-term investments | 85,544 | 115,318 |
Receivables from collaborations | 2,511 | 1,142 |
Prepaid expenses and other current assets | 1,513 | 2,732 |
Total current assets | 145,438 | 167,667 |
Long-term investments | 10,828 | 22,361 |
Other assets | 638 | 228 |
Restricted cash | 440 | 440 |
Property and equipment, net | 1,631 | 1,759 |
Total assets | 158,975 | 192,455 |
Current liabilities: | ||
Accounts payable | 1,115 | 1,072 |
Accrued liabilities | 9,533 | 8,938 |
Current portion of deferred revenue | 29,017 | |
Total current liabilities | 10,648 | 39,027 |
Deferred revenue, less current portion | 2,028 | |
Deferred rent | 1,162 | 1,093 |
Total liabilities | 11,810 | 42,148 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Common stock, $0.0001 par value, 200,000 shares authorized as of June 30, 2018 and December 31, 2017; 35,963 and 35,759 shares issued and outstanding as of June 30, 2018 and December 31, 2017, respectively | 4 | 4 |
Additional paid-in capital | 305,235 | 300,906 |
Accumulated deficit | (157,823) | (150,333) |
Accumulated other comprehensive loss | (251) | (270) |
Total stockholders’ equity | 147,165 | 150,307 |
Total liabilities and stock and stockholders’ equity | $ 158,975 | $ 192,455 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 35,963,000 | 35,759,000 |
Common stock, shares outstanding | 35,963,000 | 35,759,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Revenue: | ||||
Total revenue | $ 17,065 | $ 7,255 | $ 22,254 | $ 11,447 |
Operating expenses: | ||||
Research and development | 17,305 | 10,142 | 32,798 | 16,782 |
General and administrative | 3,498 | 2,848 | 7,006 | 6,156 |
Total operating expenses | 20,803 | 12,990 | 39,804 | 22,938 |
Loss from operations | (3,738) | (5,735) | (17,550) | (11,491) |
Interest income, net | 663 | 541 | 1,269 | 710 |
Net loss | $ (3,075) | $ (5,194) | $ (16,281) | $ (10,781) |
Net loss per share, basic and diluted | $ (0.09) | $ (0.15) | $ (0.45) | $ (0.36) |
Weighted average common shares used to compute net loss per share, basic and diluted | 35,874 | 35,348 | 35,827 | 30,342 |
Collaboration Revenue | ||||
Revenue: | ||||
Total revenue | $ 17,065 | $ 7,255 | $ 22,254 | $ 11,447 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net loss | $ (3,075) | $ (5,194) | $ (16,281) | $ (10,781) |
Other comprehensive gain (loss): | ||||
Net unrealized gain (loss) on available-for-sale securities | 75 | (103) | 19 | (121) |
Total comprehensive loss | $ (3,000) | $ (5,297) | $ (16,262) | $ (10,902) |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | ||
Cash Flows Provided By (Used In) Operating Activities | |||
Net loss | $ (16,281) | $ (10,781) | |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | |||
Depreciation | 248 | 164 | |
Amortization of premiums on investments | 5 | 231 | |
Stock-based compensation | 3,801 | 2,503 | |
Loss on disposal of property and equipment | 6 | ||
Changes in operating assets and liabilities: | |||
Receivables from collaborations | (1,369) | (2,303) | |
Prepaid expenses and other current assets | 1,246 | (73) | |
Other assets | (410) | (35) | |
Accounts payable | (42) | 12 | |
Accrued liabilities | 595 | 931 | |
Deferred revenue | (22,254) | 45,553 | |
Deferred rent, non-current | 69 | 211 | |
Net cash provided by (used in) operating activities | (34,392) | 36,419 | |
Cash Flows Provided by (Used In) Investing Activities | |||
Purchases of investments | (41,349) | (146,268) | |
Proceeds from maturity of investments | 82,670 | 36,909 | |
Purchases of property and equipment | (62) | (227) | |
Net cash provided by (used in) investing activities | 41,259 | (109,586) | |
Cash Flows Provided By Financing Activities | |||
Proceeds from issuance of common stock upon public offering, net | 75,386 | ||
Proceeds from issuance of common stock under stock purchase agreement, net | 7,914 | ||
Proceeds from issuance of common stock through an at-the-market offering, net | 36,907 | ||
Proceeds from stock option exercises and employee stock plan purchases | 528 | 750 | |
Net cash provided by financing activities | 528 | 120,957 | |
Net increase in cash, cash equivalents, and restricted cash | 7,395 | 47,790 | [1] |
Cash, cash equivalents, and restricted cash at beginning of period | 48,915 | 10,647 | [1] |
Cash, cash equivalents, and restricted cash at end of period | 56,310 | $ 58,437 | [1] |
Supplemental Disclosure of Non-Cash Investing and Financing Information: | |||
Change in unpaid amounts related to property and equipment purchases | 58 | ||
Change in unpaid amounts related to deferred financing costs | $ 27 | ||
[1] | For the six-month period ended June 30, 2017, this line item, as originally reported, excluded restricted cash. |
Organization and Basis of Prese
Organization and Basis of Presentation | 6 Months Ended |
Jun. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Basis of Presentation | 1. Organization and Basis of Presentation Organization Calithera Biosciences, Inc. (the “Company”) was incorporated in the State of Delaware on March 9, 2010. The Company is a clinical-stage biopharmaceutical company focused on discovering and developing small molecule drugs that target novel and critical metabolic pathways in tumor and cancer-fighting immune cells. The Company’s principal operations are based in South San Francisco, California, and it operates in one segment. Presentation The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, Calithera Biosciences UK Limited. All significant intercompany accounts and transactions have been eliminated from the condensed consolidated financial statements. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Unaudited Interim Financial Information The interim condensed consolidated balance sheet as of June 30, 2018, the statements of operations and comprehensive loss for the three and six months ended June 30, 2018 and 2017, and the statements of cash flows for the six months ended June 30, 2018 and 2017, are unaudited. The unaudited interim condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and reflect, in the opinion of management, all adjustments of a normal and recurring nature that are necessary for the fair presentation of the Company’s condensed consolidated financial statements included in this report. The financial data and the other information disclosed in these notes to the condensed consolidated financial statements related to the six-month periods are also unaudited. The results of operations for the six months ended June 30, 2018 are not necessarily indicative of the results to be expected for the year ending December 31, 2018 or for any other future annual or interim period. The balance sheet as of December 31, 2017 included herein was derived from the audited consolidated financial statements as of that date. These condensed consolidated financial statements should be read in conjunction with the Company’s audited financial statements included in the Company’s Form 10-K as filed with the Securities and Exchange Commission (“SEC”). Use of Estimates The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, management evaluates its estimates, including those related to clinical trial accrued liabilities, revenue recognition, fair value of marketable securities, income taxes, and stock-based compensation. Management bases its estimates on historical experience and on various other market specific and relevant assumptions that management believes to be reasonable under the circumstances. Actual results could differ from those estimates. Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less at the date of purchase to be cash equivalents. Cash equivalents, which consist primarily of amounts invested in money market accounts, are stated at fair value. Investments All investments have been classified as “available-for-sale” and are carried at estimated fair value as determined based upon quoted market prices or pricing models for similar securities. Management determines the appropriate classification of its investments at the time of purchase and reevaluates such designation as of each balance sheet date. Unrealized gains and losses are excluded from earnings and are reported as a component of comprehensive loss. Realized gains and losses and declines in fair value judged to be other than temporary, if any, on available-for-sale securities are included in interest income, net. The cost of securities sold is based on the specific-identification method. Interest on marketable securities is included in interest income, net. Restricted Cash Restricted cash consists of money market funds held by the Company’s financial institution as collateral for the Company’s obligations under its facility lease for the Company’s corporate headquarters in South San Francisco, California. Concentrations of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash, cash equivalents, investments and restricted cash. The Company invests in a variety of financial instruments and, by its policy, limits these financial instruments to high credit quality securities issued by the U.S. government, U.S. government-sponsored agencies and highly rated banks and corporations, subject to certain concentration limits. The Company’s cash, cash equivalents, investments and restricted cash are held by financial institutions in the United States that management believes are of high credit quality. Amounts on deposit may at times exceed federally insured limits. All of the Company’s collaboration revenue and the majority of the Company’s receivables from collaborations are derived from its collaboration and license agreement with Incyte Corporation, or Incyte, as described in Note 9, Collaboration and Licensing Agreements - Incyte Collaboration and License Agreement . Revenue Recognition Effective January 1, 2018, the Company adopted Accounting Standards Codification, or ASC No. 2014-09, Revenue from Contracts with Customers (Topic 606), The Company has a collaboration and license agreement with Incyte, or the Incyte Collaboration Agreement, that is within the scope of ASC 606, under which it licenses certain rights to one of its product candidates to Incyte Corporation. The terms of this arrangement include payment to the Company of a non-refundable, upfront license fee, and potential development, regulatory and sales milestones, and sales royalties. Each of these payments results in collaboration revenues, except for revenues from royalties on net sales of licensed products, which would be classified as royalty revenues. In determining the appropriate amount of revenue to be recognized as it fulfills its obligations under its agreement, the Company performs the following steps: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. As part of the accounting for these arrangements, the Company must develop assumptions that require judgment to determine the stand-alone selling price for each performance obligation identified in the contract. Licenses of Intellectual Property: If the license to the Company’s intellectual property is determined to be distinct from the other performance obligations identified in the arrangement, the Company recognizes revenues from non-refundable, upfront fees allocated to the license when the license is transferred to the licensee and the licensee is able to use and benefit from the license. For licenses that are bundled with other promised goods or services, the Company utilizes judgment to assess the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue from non-refundable, upfront fees. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. Milestone Payments: At the inception of each arrangement that includes development, regulatory or commercial milestone payments, the Company evaluates whether the milestones are considered probable of being reached and estimates the amount to be included in the transaction price using the most likely amount method. If it is probable that a significant reversal of cumulative revenue would not occur, the associated milestone value is included in the transaction price. Milestone payments that are not within the control of the Company or the licensee, such as regulatory approvals, are not considered probable of being achieved until those approvals are received or the underlying activity has been completed . The transaction price is then allocated to each performance obligation on a relative stand-alone selling price basis, for which the Company recognizes revenue as or when the performance obligations under the contract are satisfied. At the end of each subsequent reporting period, the Company re-evaluates the probability of achievement of such development milestones and any related constraint, and if necessary, adjusts its estimate of the overall transaction price. Any such adjustments are recorded on a cumulative catch-up basis, which would affect collaboration revenue in the period of adjustment. Royalties: For arrangements that include sales-based royalties, including milestone payments based on the level of sales, and the license is deemed to be the predominant item to which the royalties relate, the Company recognizes revenue at the later of (i) when the related sales occur, or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied). To date, the Company has not recognized any royalty revenue resulting from any of its licensing arrangements. The following table summarizes the impact of adopting ASC 606 on select unaudited condensed statement of operations line items for the three and six months ended June 30, 2018 (in thousands, except per share data): Balances Without the Adoption of Three Months Ended June 30, 2018 As Reported Adjustments ASC 606 Collaboration revenue $ 17,065 $ 6,726 $ 23,791 Total revenue 17,065 6,726 23,791 (Loss) income from operations (3,738 ) 6,726 2,988 Net (loss) income (3,075 ) 6,726 3,651 Balances Without the Adoption of Six Months Ended June 30, 2018 As Reported Adjustments ASC 606 Collaboration revenue $ 22,254 $ 8,791 $ 31,045 Total revenue 22,254 8,791 31,045 Loss from operations (17,550 ) 8,791 (8,759 ) Net loss (16,281 ) 8,791 (7,490 ) Contract Balances Upfront payments and fees are recorded as deferred revenue upon receipt or when due, and may require deferral of revenue recognition to a future period until the Company performs its obligations under these arrangements. Amounts payable to the Company are recorded as accounts receivable when the Company’s right to consideration is unconditional. The Company does not assess whether a contract has a significant financing component if the expectation at contract inception is such that the period between payment by the licensees and the transfer of the promised goods or services to the licensees will be one year or less. The following table presents changes in the Company’s contract assets and liabilities for the six months ended June 30, 2018 (in thousands): Balance at Balance at Beginning of End of Six Months Ended June 30, 2018 Period Period Contract liabilities: Deferred revenue $ 29,017 $ — Deferred revenue, less current portion 2,028 — Deferred revenue related to the Incyte Collaboration Agreement, which was comprised of the $57 million transaction price including a $45 million upfront license payment and a $12 million development milestone achieved, less the collaboration revenue recognized from the effective date of the contract, was recognized as the combined performance obligation was satisfied. The Company had no contract assets as of June 30, 2018. During the six months ended June 30, 2018, the Company’s contract liabilities, which consisted of deferred revenue, decreased $31.0 million for the six months ended June 30, 2018, related to revenue recognized in the period related to amounts included in the contract liability at the beginning of the period. In addition, the Company recorded a cumulative adjustment to decrease accumulated deficit and deferred revenue by $8.8 million upon the adoption of ASC 606 on January 1, 2018, using the modified retrospective approach. For the three and six months ended June 30, 2018, the Company did not recognize any revenue from performance obligations satisfied in previous periods. Accrued Research and Development Costs The Company records accrued liabilities for estimated costs of research and development activities conducted by third-party service providers, which include the conduct of preclinical and clinical studies, and contract manufacturing activities. The Company records the estimated costs of research and development activities based upon the estimated amount of services provided but not yet invoiced, and includes these costs in accrued liabilities in the consolidated balance sheets and within research and development expense in the consolidated statements of operations. These costs are a significant component of the Company’s research and development expenses. The Company accrues for these costs based on factors such as estimates of the work completed and in accordance with agreements established with its third-party service providers under the service agreements. The Company makes significant judgments and estimates in determining the accrued liabilities balance in each reporting period. As actual costs become known, the Company adjusts its accrued liabilities. The Company has not experienced any material differences between accrued costs and actual costs incurred. However, the status and timing of actual services performed, number of patients enrolled, and the rate of patient enrollments may vary from the Company’s estimates, resulting in adjustments to expense in future periods. Changes in these estimates that result in material changes to the Company’s accruals could materially affect the Company’s results of operations. Net Loss Per Share Basic net loss per share is calculated by dividing the net loss by the weighted average number of shares of common stock outstanding during the period without consideration of common stock equivalents. Since the Company was in a loss position for all periods presented, basic net loss per share is the same as diluted net loss per share for all periods as the inclusion of all potential common shares outstanding would have been anti-dilutive. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued a comprehensive new standard on revenue from contracts with customers, ASC 606 The Company adopted the accounting standard update on January 1, 2018 using the modified retrospective approach for its collaboration and license agreement with Incyte. Therefore, comparative information was not adjusted and the impact of the transition is reflected in opening accumulated deficit. The consideration the Company is eligible to receive under this agreement includes upfront payments, research and development funding, milestone payments, and sales-based royalties. The new revenue recognition standard differs from the previous accounting in many respects, such as in the accounting for variable consideration and the measurement of progress toward completion of performance obligations. The most significant impact of the standard relates to the Company’s method of revenue recognition for performance obligations that are delivered over time. Under the new standard, milestone payments are included in the transaction price as variable consideration, subject to a constraint, and are allocated to the performance obligations in the contract. Therefore, the milestone payments are recognized over the performance period rather than when achieved. In addition, legacy guidance permitted straight-line recognition of revenue for performance obligations that are delivered over time. The new standard requires an entity to recognize revenue based on the pattern of transfer of the services. The impact of adoption resulted in the Company recording an adjustment to decrease the accumulated deficit and deferred revenue by $8.8 million at January 1, 2018 to reflect revenue being recognized based on a measurement of progress toward completion of the combined performance obligation, rather than on a straight-line basis. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash Payments, or ASC 230, to clarify how entities should present restricted cash and restricted cash equivalents in their statements of cash flows. Under this update, entities are required to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in their statements of cash flows. The Company adopted this standard on January 1, 2018 retrospectively. The adoption of this standard did not impact the Company’s unaudited condensed consolidated balance sheets, statements of operations, or statements of comprehensive loss. The following table summarizes the impact of adopting ASC 230 on select unaudited condensed statement of cash flows line items (in thousands) for the six-month period ended June 30, 2017: Balances With the As Originally Adoption of Reported Adjustments ASC 230 Change in restricted cash $ (394 ) $ 394 $ — Net cash provided by (used in) investing activities (109,980 ) 394 (109,586 ) Net increase in cash, cash equivalents and restricted cash * 47,396 394 47,790 Cash, cash equivalents and restricted cash at beginning of period * 10,601 46 10,647 Cash, cash equivalents and restricted cash at end of period * 57,997 440 58,437 * For the six-month period ended June 30, 2017, this line item, as originally reported, excluded restricted cash. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) was previously required to be applied with a modified retrospective approach to each prior reporting period presented. Leases (Topic 842) In June 2018, the FASB issued ASU No. 2018-07, Compensation – Stock Compensation Topic 718): Improvements to Nonemployee Share-Based Payment Accounting |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 3. Fair Value Measurements Fair value accounting is applied for all financial assets and liabilities that are recognized or disclosed at fair value in the condensed consolidated financial statements on a recurring basis (at least annually). Financial instruments include cash and cash equivalents, investments, receivables from collaborations, accounts payable, accrued liabilities and the current portion of deferred revenue that approximate fair value due to their relatively short maturities. Assets and liabilities recorded at fair value on a recurring basis in the balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The authoritative guidance on fair value measurements establishes a three tier fair value hierarchy for disclosure of fair value measurements as follows: Level 1 —Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date; Level 2 —Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities; and Level 3 —Unobservable inputs that are significant to the measurement of the fair value of the assets or liabilities that are supported by little or no market data. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Where quoted prices are available in an active market, securities are classified as Level 1. The Company classifies money market funds as Level 1. When quoted market prices are not available for the specific security, then the Company estimates fair value by using quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs obtained from various third party data providers, including but not limited to, benchmark yields, interest rate curves, reported trades, broker/dealer quotes and market reference data. The Company classifies its corporate notes and U.S. government agency securities as Level 2. Level 2 inputs for the valuations are limited to quoted prices for similar assets or liabilities in active markets and inputs other than quoted prices that are observable for the asset or liability. There were no transfers between Level 1 and Level 2 during the periods presented. The following table sets forth the fair value of our financial assets and liabilities, allocated into Level 1, Level 2 and Level 3, that was measured on a recurring basis (in thousands): June 30, 2018 Level 1 Level 2 Level 3 Total Financial Assets: Money market funds $ 14,123 $ — $ — $ 14,123 Corporate notes and commercial paper — 73,785 — 73,785 U.S. treasury securities — 25,410 — 25,410 U.S. government agency securities — 38,935 — 38,935 Total financial assets $ 14,123 $ 138,130 $ — $ 152,253 December 31, 2017 Level 1 Level 2 Level 3 Total Financial Assets: Money market funds $ 12,430 $ — $ — $ 12,430 Corporate notes and commercial paper — 85,492 — 85,492 U.S. treasury securities — 34,437 — 34,437 U.S. government agency securities — 53,691 — 53,691 Total financial assets $ 12,430 $ 173,620 $ — $ 186,050 |
Financial Instruments
Financial Instruments | 6 Months Ended |
Jun. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Financial Instruments | 4. Financial Instruments Cash equivalents and investments, all of which are classified as available-for-sale securities and restricted cash, consisted of the following (in thousands): June 30, 2018 December 31, 2017 Cost Unrealized Gain Unrealized (Loss) Estimated Fair Value Cost Unrealized Gain Unrealized (Loss) Estimated Fair Value Money market funds $ 14,123 $ — $ — $ 14,123 $ 12,430 $ — $ — $ 12,430 Corporate notes and commercial paper 73,843 — (58 ) 73,785 85,553 — (61 ) 85,492 U.S. treasury securities 25,438 — (28 ) 25,410 34,505 — (68 ) 34,437 U.S. government agency securities 39,100 — (165 ) 38,935 53,832 — (141 ) 53,691 $ 152,504 $ — $ (251 ) $ 152,253 $ 186,320 $ — $ (270 ) $ 186,050 Classified as: Cash equivalents $ 55,441 $ 47,931 Short-term investments 85,544 115,318 Long-term investments 10,828 22,361 Restricted cash 440 440 Total cash equivalents, restricted cash and investments $ 152,253 $ 186,050 At June 30, 2018, the remaining contractual maturities of available-for-sale securities were less than two years. There have been no significant realized gains or losses on available-for-sale securities for the periods presented. As of June 30, 2018, unrealized losses on cash equivalents and investments were $251,000 and the losses were deemed to be temporary. The gross unrealized loss that had been in a continuous loss position for 12 months or longer was not significant as of June 30, 2018. There were no investments in a continuous loss position for 12 months or longer as of December 31, 2017. The Company does not intend to sell its securities that are in an unrealized loss position, and it is unlikely that the Company will be required to sell its securities before recovery of their amortized cost basis, which may be maturity. Factors considered in determining whether a loss is temporary include the length of time and extent to which the fair value has been less than the amortized cost basis and whether the Company intends to sell the security or whether it is more likely than not that the Company would be required to sell the security before recovery of the amortized cost basis. As of June 30, 2018, the Company had a total of $152.7 million in cash, cash equivalents, restricted cash and investments, which includes $0.4 million in cash and $152.3 million in cash equivalents, restricted cash and investments. |
Accrued Liabilities
Accrued Liabilities | 6 Months Ended |
Jun. 30, 2018 | |
Payables And Accruals [Abstract] | |
Accrued Liabilities | 5. Accrued Liabilities Accrued liabilities consist of the following (in thousands): June 30, 2018 December 31, 2017 Accrued bonus and payroll expenses $ 2,509 $ 3,016 Accrued professional and consulting services 368 367 Accrued clinical and manufacturing expenses 6,393 4,845 Accrued preclinical and research expenses 207 469 Other 56 241 Total accrued liabilities $ 9,533 $ 8,938 |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2018 | |
Equity [Abstract] | |
Stockholders' Equity | 6. Stockholders’ Equity At-the-Market Offering In August 2017, the Company entered into a sales agreement with Cowen, as sales agent and underwriter, pursuant to which the Company could issue and sell shares of its common stock with an aggregate maximum offering price of $50.0 million under an at-the-market offering program (“ATM program”). The Company will pay Cowen up to 3% of gross proceeds for any common stock sold through the sales agreement. No shares were sold under the ATM program during the six months ended June 30, 2018. As of June 30, 2018, $48.3 million of common stock remained available for sale under the ATM program. |
Stock Based Compensation
Stock Based Compensation | 6 Months Ended |
Jun. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Based Compensation | 7. Stock Based Compensation A summary of stock option activity is as follows (in thousands, except weighted-average exercise price and contractual term amounts): Options Outstanding Number of Shares Underlying Outstanding Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term (Years) Aggregate Value Intrinsic Outstanding — December 31, 2017 3,571 $ 7.67 Options granted 1,143 $ 8.18 Options exercised (85 ) $ 1.85 Options cancelled (24 ) $ 7.99 Outstanding — June 30, 2018 4,605 $ 7.90 7.98 $ 2,616 Exercisable — June 30, 2018 2,164 $ 7.83 7.04 $ 1,642 Total stock-based compensation expense related to the Company’s 2010 Equity Incentive Plan, 2014 Equity Incentive Plan and the 2014 Employee Stock Purchase Plan was as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Research and development $ 1,025 $ 744 $ 2,008 $ 1,349 General and administrative 895 610 1,793 1,154 Total stock-based compensation $ 1,920 $ 1,354 $ 3,801 $ 2,503 |
Net Loss Per Share
Net Loss Per Share | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | 8. Net Loss per Share Since the Company was in a loss position for all periods presented, diluted net loss per share is the same as basic net loss per share for all periods as the inclusion of all potential common shares outstanding would have been anti-dilutive. Potentially dilutive securities that were not included in the diluted net loss per share calculations because they would be anti-dilutive were as follows (in thousands): June 30, 2018 2017 Options to purchase common stock 4,605 3,397 Employee stock plan purchases 66 37 Total 4,671 3,434 |
Collaboration and Licensing Agr
Collaboration and Licensing Agreements | 6 Months Ended |
Jun. 30, 2018 | |
Licensing Agreements [Abstract] | |
Collaboration and Licensing Agreements | 9. Collaboration and Licensing Agreements Incyte Collaboration and License Agreement On January 27, 2017, the Company entered into a collaboration and license agreement with Incyte (the “Incyte Collaboration Agreement”). Under the terms of the Incyte Collaboration Agreement, the Company granted Incyte an exclusive, worldwide license to develop and commercialize its small molecule arginase inhibitors for hematology and oncology indications. The parties are collaborating on and co-funding the development of the licensed products, with Incyte bearing 70% and the Company bearing 30% of global development costs. The parties will share profits and losses in the United States, with 60% to Incyte and 40% to the Company. The Company will have the right to co-detail the licensed products in the United States, and Incyte will pay the Company tiered royalties ranging from the low to mid-double digits on net sales of licensed products outside the United States. The Company may opt out of its co-funding obligation, in which case the United States profit sharing will no longer be in effect, and Incyte will pay the Company tiered royalties ranging from the low to mid-double digits on net sales of licensed products both in the United States and outside the United States, and additional royalties to reimburse the Company for previously incurred development costs. Under the Incyte Collaboration Agreement, the Company received an upfront payment of $45.0 million in February 2017. In March 2017, the Company achieved a development milestone of $12.0 million, for which the Company received payment in May of 2017. The Company is also eligible to receive up to an additional $418.0 million in potential development, regulatory and sales milestones. Incyte and the Company will share in any future United States net profits and losses, with the Company bearing 40% and Incyte bearing 60%, respectively, and outside the United States the Company will be eligible to receive from Incyte tiered royalties, with rates in the low to mid-teens of sales. The Incyte Collaboration Agreement also provides that the Company may choose to opt out of its co-funding obligations at any time. In this scenario, the potential development, regulatory and commercialization milestones from Incyte will be up to an additional $738.0 million. The Company would no longer be eligible to receive future United States profits and losses but would be eligible to receive tiered royalty payments on future global sales, including United States sales. In addition, if the Company opts out, the Company will receive an incremental 3% royalty on annual net sales in the United States of such licensed product until such incremental royalty equals 120% of previous development expenditures incurred by the Company. The Incyte Collaboration Agreement is considered to be under the scope of FASB Topic 808, Collaborative Arrangements The performance obligations under the Incyte Collaboration Agreement consist of intellectual property licenses and the performance of certain manufacturing and manufacturing technology transfer services. associated manufacturing and technology transfer services Prior to the adoption of ASC 606, the Company concluded that the delivered licenses did not have stand-alone value, and the rights conveyed to Incyte did not permit Incyte to perform all efforts necessary to use the Company’s technology to bring the compound through development and, upon regulatory approval, commercialization of the compound, without the associated manufacturing and technology transfer services. Accordingly, the Company combined these deliverables and allocated the upfront consideration of million to the combined unit of accounting. The Company recognized the $45.0 million upfront payment on a straight-line basis over the estimated period of performance under the Incyte Collaboration Agreement, and recognized the $12.0 million developmental milestone payment from Incyte on a straight-line basis over the remaining period of performance for the combined unit of accounting. For the three and six months ended June 30, 2017, Upon the adoption of ASC 606 on January 1, 2018 under the modified retrospective approach, the transaction price was determined to be $57.0 million, representing the $45.0 million upfront payment and the $12.0 million developmental milestone payment from Incyte that was earned in March 2017. The $57.0 million transaction price was being recognized over the performance period, based on the measure of progress toward completion for the combined performance obligation, rather than on a straight-line basis. The measure of progress towards completion was based on the effort of certain employees within the Company dedicating time to complete the manufacturing services and technology transfer to Incyte. As of June 30, 2018, the manufacturing services and technology transfer to Incyte were determined to be substantially complete. For the three and six months ended June 30, 2018, the Company recognized revenue from its collaboration with Incyte totaling $17.1 million and $22.3 million, respectively, related to the completion of the combined performance obligation. Net costs associated with co-development activities performed under the agreement are included in research and development expenses in the accompanying unaudited condensed consolidated statements of operations, with any reimbursement of costs by Incyte reflected as a reduction of such expenses. For the three and six months ended June 30, 2018, net costs reimbursable by Incyte were $1.5 million and $2.6 million, respectively. For the three and six months ended June 30, 2017, net costs reimbursable by Incyte were $2.1 million and $3.6 million, respectively. As of June 30, 2018, the receivable due from Incyte was $2.4 million. Symbioscience License Agreement In December 2014, the Company entered into an exclusive license agreement with Mars, Inc., by and through its Mars Symbioscience division (“Symbioscience”), under which the Company has been granted the exclusive, worldwide license to develop and commercialize Symbioscience’s portfolio of arginase inhibitors for use in human healthcare (“Symbioscience License Agreement”). There were no expenses related to its licensing arrangement with Mars Symbioscience recorded in the three and six months ended June 30, 2018. The Company may make future payments of up to $23.6 million contingent upon attainment of various development and regulatory milestones and $95.0 million contingent upon attainment of various sales milestones. Additionally, the Company will pay royalties on sales of the licensed product, if such product sales are ever achieved. If the Company develops additional licensed products, after achieving regulatory approval of the first licensed product, the Company would owe additional regulatory milestone payments and additional royalty payments based on sales of such additional licensed products. |
Summary of Significant Accoun16
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The interim condensed consolidated balance sheet as of June 30, 2018, the statements of operations and comprehensive loss for the three and six months ended June 30, 2018 and 2017, and the statements of cash flows for the six months ended June 30, 2018 and 2017, are unaudited. The unaudited interim condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and reflect, in the opinion of management, all adjustments of a normal and recurring nature that are necessary for the fair presentation of the Company’s condensed consolidated financial statements included in this report. The financial data and the other information disclosed in these notes to the condensed consolidated financial statements related to the six-month periods are also unaudited. The results of operations for the six months ended June 30, 2018 are not necessarily indicative of the results to be expected for the year ending December 31, 2018 or for any other future annual or interim period. The balance sheet as of December 31, 2017 included herein was derived from the audited consolidated financial statements as of that date. These condensed consolidated financial statements should be read in conjunction with the Company’s audited financial statements included in the Company’s Form 10-K as filed with the Securities and Exchange Commission (“SEC”). |
Use of Estimates | Use of Estimates The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, management evaluates its estimates, including those related to clinical trial accrued liabilities, revenue recognition, fair value of marketable securities, income taxes, and stock-based compensation. Management bases its estimates on historical experience and on various other market specific and relevant assumptions that management believes to be reasonable under the circumstances. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less at the date of purchase to be cash equivalents. Cash equivalents, which consist primarily of amounts invested in money market accounts, are stated at fair value. |
Investments | Investments All investments have been classified as “available-for-sale” and are carried at estimated fair value as determined based upon quoted market prices or pricing models for similar securities. Management determines the appropriate classification of its investments at the time of purchase and reevaluates such designation as of each balance sheet date. Unrealized gains and losses are excluded from earnings and are reported as a component of comprehensive loss. Realized gains and losses and declines in fair value judged to be other than temporary, if any, on available-for-sale securities are included in interest income, net. The cost of securities sold is based on the specific-identification method. Interest on marketable securities is included in interest income, net. |
Restricted Cash | Restricted Cash Restricted cash consists of money market funds held by the Company’s financial institution as collateral for the Company’s obligations under its facility lease for the Company’s corporate headquarters in South San Francisco, California. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk consist of cash, cash equivalents, investments and restricted cash. The Company invests in a variety of financial instruments and, by its policy, limits these financial instruments to high credit quality securities issued by the U.S. government, U.S. government-sponsored agencies and highly rated banks and corporations, subject to certain concentration limits. The Company’s cash, cash equivalents, investments and restricted cash are held by financial institutions in the United States that management believes are of high credit quality. Amounts on deposit may at times exceed federally insured limits. All of the Company’s collaboration revenue and the majority of the Company’s receivables from collaborations are derived from its collaboration and license agreement with Incyte Corporation, or Incyte, as described in Note 9, Collaboration and Licensing Agreements - Incyte Collaboration and License Agreement . |
Revenue Recognition | Revenue Recognition Effective January 1, 2018, the Company adopted Accounting Standards Codification, or ASC No. 2014-09, Revenue from Contracts with Customers (Topic 606), The Company has a collaboration and license agreement with Incyte, or the Incyte Collaboration Agreement, that is within the scope of ASC 606, under which it licenses certain rights to one of its product candidates to Incyte Corporation. The terms of this arrangement include payment to the Company of a non-refundable, upfront license fee, and potential development, regulatory and sales milestones, and sales royalties. Each of these payments results in collaboration revenues, except for revenues from royalties on net sales of licensed products, which would be classified as royalty revenues. In determining the appropriate amount of revenue to be recognized as it fulfills its obligations under its agreement, the Company performs the following steps: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. As part of the accounting for these arrangements, the Company must develop assumptions that require judgment to determine the stand-alone selling price for each performance obligation identified in the contract. Licenses of Intellectual Property: If the license to the Company’s intellectual property is determined to be distinct from the other performance obligations identified in the arrangement, the Company recognizes revenues from non-refundable, upfront fees allocated to the license when the license is transferred to the licensee and the licensee is able to use and benefit from the license. For licenses that are bundled with other promised goods or services, the Company utilizes judgment to assess the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue from non-refundable, upfront fees. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. Milestone Payments: At the inception of each arrangement that includes development, regulatory or commercial milestone payments, the Company evaluates whether the milestones are considered probable of being reached and estimates the amount to be included in the transaction price using the most likely amount method. If it is probable that a significant reversal of cumulative revenue would not occur, the associated milestone value is included in the transaction price. Milestone payments that are not within the control of the Company or the licensee, such as regulatory approvals, are not considered probable of being achieved until those approvals are received or the underlying activity has been completed . The transaction price is then allocated to each performance obligation on a relative stand-alone selling price basis, for which the Company recognizes revenue as or when the performance obligations under the contract are satisfied. At the end of each subsequent reporting period, the Company re-evaluates the probability of achievement of such development milestones and any related constraint, and if necessary, adjusts its estimate of the overall transaction price. Any such adjustments are recorded on a cumulative catch-up basis, which would affect collaboration revenue in the period of adjustment. Royalties: For arrangements that include sales-based royalties, including milestone payments based on the level of sales, and the license is deemed to be the predominant item to which the royalties relate, the Company recognizes revenue at the later of (i) when the related sales occur, or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied). To date, the Company has not recognized any royalty revenue resulting from any of its licensing arrangements. The following table summarizes the impact of adopting ASC 606 on select unaudited condensed statement of operations line items for the three and six months ended June 30, 2018 (in thousands, except per share data): Balances Without the Adoption of Three Months Ended June 30, 2018 As Reported Adjustments ASC 606 Collaboration revenue $ 17,065 $ 6,726 $ 23,791 Total revenue 17,065 6,726 23,791 (Loss) income from operations (3,738 ) 6,726 2,988 Net (loss) income (3,075 ) 6,726 3,651 Balances Without the Adoption of Six Months Ended June 30, 2018 As Reported Adjustments ASC 606 Collaboration revenue $ 22,254 $ 8,791 $ 31,045 Total revenue 22,254 8,791 31,045 Loss from operations (17,550 ) 8,791 (8,759 ) Net loss (16,281 ) 8,791 (7,490 ) Contract Balances Upfront payments and fees are recorded as deferred revenue upon receipt or when due, and may require deferral of revenue recognition to a future period until the Company performs its obligations under these arrangements. Amounts payable to the Company are recorded as accounts receivable when the Company’s right to consideration is unconditional. The Company does not assess whether a contract has a significant financing component if the expectation at contract inception is such that the period between payment by the licensees and the transfer of the promised goods or services to the licensees will be one year or less. The following table presents changes in the Company’s contract assets and liabilities for the six months ended June 30, 2018 (in thousands): Balance at Balance at Beginning of End of Six Months Ended June 30, 2018 Period Period Contract liabilities: Deferred revenue $ 29,017 $ — Deferred revenue, less current portion 2,028 — Deferred revenue related to the Incyte Collaboration Agreement, which was comprised of the $57 million transaction price including a $45 million upfront license payment and a $12 million development milestone achieved, less the collaboration revenue recognized from the effective date of the contract, was recognized as the combined performance obligation was satisfied. The Company had no contract assets as of June 30, 2018. During the six months ended June 30, 2018, the Company’s contract liabilities, which consisted of deferred revenue, decreased $31.0 million for the six months ended June 30, 2018, related to revenue recognized in the period related to amounts included in the contract liability at the beginning of the period. In addition, the Company recorded a cumulative adjustment to decrease accumulated deficit and deferred revenue by $8.8 million upon the adoption of ASC 606 on January 1, 2018, using the modified retrospective approach. For the three and six months ended June 30, 2018, the Company did not recognize any revenue from performance obligations satisfied in previous periods. |
Accrued Research and Development Costs | Accrued Research and Development Costs The Company records accrued liabilities for estimated costs of research and development activities conducted by third-party service providers, which include the conduct of preclinical and clinical studies, and contract manufacturing activities. The Company records the estimated costs of research and development activities based upon the estimated amount of services provided but not yet invoiced, and includes these costs in accrued liabilities in the consolidated balance sheets and within research and development expense in the consolidated statements of operations. These costs are a significant component of the Company’s research and development expenses. The Company accrues for these costs based on factors such as estimates of the work completed and in accordance with agreements established with its third-party service providers under the service agreements. The Company makes significant judgments and estimates in determining the accrued liabilities balance in each reporting period. As actual costs become known, the Company adjusts its accrued liabilities. The Company has not experienced any material differences between accrued costs and actual costs incurred. However, the status and timing of actual services performed, number of patients enrolled, and the rate of patient enrollments may vary from the Company’s estimates, resulting in adjustments to expense in future periods. Changes in these estimates that result in material changes to the Company’s accruals could materially affect the Company’s results of operations. |
Net Loss Per Share | Net Loss Per Share Basic net loss per share is calculated by dividing the net loss by the weighted average number of shares of common stock outstanding during the period without consideration of common stock equivalents. Since the Company was in a loss position for all periods presented, basic net loss per share is the same as diluted net loss per share for all periods as the inclusion of all potential common shares outstanding would have been anti-dilutive. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued a comprehensive new standard on revenue from contracts with customers, ASC 606 The Company adopted the accounting standard update on January 1, 2018 using the modified retrospective approach for its collaboration and license agreement with Incyte. Therefore, comparative information was not adjusted and the impact of the transition is reflected in opening accumulated deficit. The consideration the Company is eligible to receive under this agreement includes upfront payments, research and development funding, milestone payments, and sales-based royalties. The new revenue recognition standard differs from the previous accounting in many respects, such as in the accounting for variable consideration and the measurement of progress toward completion of performance obligations. The most significant impact of the standard relates to the Company’s method of revenue recognition for performance obligations that are delivered over time. Under the new standard, milestone payments are included in the transaction price as variable consideration, subject to a constraint, and are allocated to the performance obligations in the contract. Therefore, the milestone payments are recognized over the performance period rather than when achieved. In addition, legacy guidance permitted straight-line recognition of revenue for performance obligations that are delivered over time. The new standard requires an entity to recognize revenue based on the pattern of transfer of the services. The impact of adoption resulted in the Company recording an adjustment to decrease the accumulated deficit and deferred revenue by $8.8 million at January 1, 2018 to reflect revenue being recognized based on a measurement of progress toward completion of the combined performance obligation, rather than on a straight-line basis. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash Payments, or ASC 230, to clarify how entities should present restricted cash and restricted cash equivalents in their statements of cash flows. Under this update, entities are required to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents in their statements of cash flows. The Company adopted this standard on January 1, 2018 retrospectively. The adoption of this standard did not impact the Company’s unaudited condensed consolidated balance sheets, statements of operations, or statements of comprehensive loss. The following table summarizes the impact of adopting ASC 230 on select unaudited condensed statement of cash flows line items (in thousands) for the six-month period ended June 30, 2017: Balances With the As Originally Adoption of Reported Adjustments ASC 230 Change in restricted cash $ (394 ) $ 394 $ — Net cash provided by (used in) investing activities (109,980 ) 394 (109,586 ) Net increase in cash, cash equivalents and restricted cash * 47,396 394 47,790 Cash, cash equivalents and restricted cash at beginning of period * 10,601 46 10,647 Cash, cash equivalents and restricted cash at end of period * 57,997 440 58,437 * For the six-month period ended June 30, 2017, this line item, as originally reported, excluded restricted cash. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) was previously required to be applied with a modified retrospective approach to each prior reporting period presented. Leases (Topic 842) In June 2018, the FASB issued ASU No. 2018-07, Compensation – Stock Compensation Topic 718): Improvements to Nonemployee Share-Based Payment Accounting |
Summary of Significant Accoun17
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Summary Of Significant Accounting Policies [Line Items] | |
Summary of Changes in Contract Assets and Liabilities | The following table presents changes in the Company’s contract assets and liabilities for the six months ended June 30, 2018 (in thousands): Balance at Balance at Beginning of End of Six Months Ended June 30, 2018 Period Period Contract liabilities: Deferred revenue $ 29,017 $ — Deferred revenue, less current portion 2,028 — |
ASC 2014-09 | |
Summary Of Significant Accounting Policies [Line Items] | |
Summary of Impact of Adopting ASC 606 on Unaudited Condensed Statement of Operations | The following table summarizes the impact of adopting ASC 606 on select unaudited condensed statement of operations line items for the three and six months ended June 30, 2018 (in thousands, except per share data): Balances Without the Adoption of Three Months Ended June 30, 2018 As Reported Adjustments ASC 606 Collaboration revenue $ 17,065 $ 6,726 $ 23,791 Total revenue 17,065 6,726 23,791 (Loss) income from operations (3,738 ) 6,726 2,988 Net (loss) income (3,075 ) 6,726 3,651 Balances Without the Adoption of Six Months Ended June 30, 2018 As Reported Adjustments ASC 606 Collaboration revenue $ 22,254 $ 8,791 $ 31,045 Total revenue 22,254 8,791 31,045 Loss from operations (17,550 ) 8,791 (8,759 ) Net loss (16,281 ) 8,791 (7,490 ) |
ASC 2016-18 | |
Summary Of Significant Accounting Policies [Line Items] | |
Summary of Impact of Adopting ASC on Unaudited Condensed Statement of Cash Flows | The following table summarizes the impact of adopting ASC 230 on select unaudited condensed statement of cash flows line items (in thousands) for the six-month period ended June 30, 2017: Balances With the As Originally Adoption of Reported Adjustments ASC 230 Change in restricted cash $ (394 ) $ 394 $ — Net cash provided by (used in) investing activities (109,980 ) 394 (109,586 ) Net increase in cash, cash equivalents and restricted cash * 47,396 394 47,790 Cash, cash equivalents and restricted cash at beginning of period * 10,601 46 10,647 Cash, cash equivalents and restricted cash at end of period * 57,997 440 58,437 * For the six-month period ended June 30, 2017, this line item, as originally reported, excluded restricted cash. |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Assets and Liabilities | The following table sets forth the fair value of our financial assets and liabilities, allocated into Level 1, Level 2 and Level 3, that was measured on a recurring basis (in thousands): June 30, 2018 Level 1 Level 2 Level 3 Total Financial Assets: Money market funds $ 14,123 $ — $ — $ 14,123 Corporate notes and commercial paper — 73,785 — 73,785 U.S. treasury securities — 25,410 — 25,410 U.S. government agency securities — 38,935 — 38,935 Total financial assets $ 14,123 $ 138,130 $ — $ 152,253 December 31, 2017 Level 1 Level 2 Level 3 Total Financial Assets: Money market funds $ 12,430 $ — $ — $ 12,430 Corporate notes and commercial paper — 85,492 — 85,492 U.S. treasury securities — 34,437 — 34,437 U.S. government agency securities — 53,691 — 53,691 Total financial assets $ 12,430 $ 173,620 $ — $ 186,050 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of Available-for-Sale Securities | Cash equivalents and investments, all of which are classified as available-for-sale securities and restricted cash, consisted of the following (in thousands): June 30, 2018 December 31, 2017 Cost Unrealized Gain Unrealized (Loss) Estimated Fair Value Cost Unrealized Gain Unrealized (Loss) Estimated Fair Value Money market funds $ 14,123 $ — $ — $ 14,123 $ 12,430 $ — $ — $ 12,430 Corporate notes and commercial paper 73,843 — (58 ) 73,785 85,553 — (61 ) 85,492 U.S. treasury securities 25,438 — (28 ) 25,410 34,505 — (68 ) 34,437 U.S. government agency securities 39,100 — (165 ) 38,935 53,832 — (141 ) 53,691 $ 152,504 $ — $ (251 ) $ 152,253 $ 186,320 $ — $ (270 ) $ 186,050 Classified as: Cash equivalents $ 55,441 $ 47,931 Short-term investments 85,544 115,318 Long-term investments 10,828 22,361 Restricted cash 440 440 Total cash equivalents, restricted cash and investments $ 152,253 $ 186,050 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Payables And Accruals [Abstract] | |
Summary of Accrued Liabilities | Accrued liabilities consist of the following (in thousands): June 30, 2018 December 31, 2017 Accrued bonus and payroll expenses $ 2,509 $ 3,016 Accrued professional and consulting services 368 367 Accrued clinical and manufacturing expenses 6,393 4,845 Accrued preclinical and research expenses 207 469 Other 56 241 Total accrued liabilities $ 9,533 $ 8,938 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Stock Option Activity | A summary of stock option activity is as follows (in thousands, except weighted-average exercise price and contractual term amounts): Options Outstanding Number of Shares Underlying Outstanding Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term (Years) Aggregate Value Intrinsic Outstanding — December 31, 2017 3,571 $ 7.67 Options granted 1,143 $ 8.18 Options exercised (85 ) $ 1.85 Options cancelled (24 ) $ 7.99 Outstanding — June 30, 2018 4,605 $ 7.90 7.98 $ 2,616 Exercisable — June 30, 2018 2,164 $ 7.83 7.04 $ 1,642 |
2010 Equity Incentive Plan, 2014 Equity Incentive Plan and 2014 Employee Stock Purchase Plan | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Stock Based Compensation Expense | Total stock-based compensation expense related to the Company’s 2010 Equity Incentive Plan, 2014 Equity Incentive Plan and the 2014 Employee Stock Purchase Plan was as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Research and development $ 1,025 $ 744 $ 2,008 $ 1,349 General and administrative 895 610 1,793 1,154 Total stock-based compensation $ 1,920 $ 1,354 $ 3,801 $ 2,503 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Common Stock Excluded from Calculation of Diluted Net Loss Per Share | Potentially dilutive securities that were not included in the diluted net loss per share calculations because they would be anti-dilutive were as follows (in thousands): June 30, 2018 2017 Options to purchase common stock 4,605 3,397 Employee stock plan purchases 66 37 Total 4,671 3,434 |
Organization and Basis of Pre23
Organization and Basis of Presentation - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2018Segment | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
State of incorporation | Delaware |
Date of incorporation | Mar. 9, 2010 |
Number of operating segments | 1 |
Summary of Significant Accoun24
Summary of Significant Accounting Policies - Additional Information (Details) | Jan. 01, 2018USD ($) | Feb. 28, 2017USD ($) | Jun. 30, 2018USD ($)Product | Jun. 30, 2017USD ($) | Dec. 31, 2017USD ($) | Mar. 31, 2017USD ($) |
Summary Of Significant Accounting Policies [Line Items] | ||||||
Accumulated deficit | $ (157,823,000) | $ (150,333,000) | ||||
Deferred revenue | (22,254,000) | $ 45,553,000 | ||||
Contract assets | 0 | |||||
Revenue recognized included in contract liability at beginning period | (31,000,000) | |||||
Revenue recognized from performance obligations satisfied in previous periods | 0 | |||||
Incyte Collaboration Agreement | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Collaboration agreement transaction price | 57,000,000 | |||||
Upfront payment received | $ 45,000,000 | 45,000,000 | ||||
Development milestone achieved | $ 12,000,000 | $ 12,000,000 | ||||
ASC 2014-09 | Incyte Collaboration Agreement | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Collaboration agreement transaction price | $ 57,000,000 | |||||
ASC 2014-09 | Incyte Corporation | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Number of products covered under collaboration and licensing agreement | Product | 1 | |||||
Adjustments [Member] | ASC 2014-09 | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Accumulated deficit | (8,800,000) | |||||
Deferred revenue | $ (8,800,000) |
Summary of Significant Accoun25
Summary of Significant Accounting Policies - Summary of Impact of Adopting ASC 606 on Unaudited Condensed Statement of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total revenue | $ 17,065 | $ 7,255 | $ 22,254 | $ 11,447 |
(Loss) income from operations | (3,738) | (5,735) | (17,550) | (11,491) |
Net (loss) income | (3,075) | (5,194) | (16,281) | (10,781) |
Collaboration Revenue | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total revenue | 17,065 | $ 7,255 | 22,254 | $ 11,447 |
Adjustments [Member] | ASC 2014-09 | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total revenue | 6,726 | 8,791 | ||
(Loss) income from operations | 6,726 | 8,791 | ||
Net (loss) income | 6,726 | 8,791 | ||
Adjustments [Member] | Collaboration Revenue | ASC 2014-09 | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total revenue | 6,726 | 8,791 | ||
Balances Without the Adoption of ASC 606 [Member] | ASC 2014-09 | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total revenue | 23,791 | 31,045 | ||
(Loss) income from operations | 2,988 | (8,759) | ||
Net (loss) income | 3,651 | (7,490) | ||
Balances Without the Adoption of ASC 606 [Member] | Collaboration Revenue | ASC 2014-09 | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total revenue | $ 23,791 | $ 31,045 |
Summary of Significant Accoun26
Summary of Significant Accounting Policies - Summary of Changes in Contract Assets and Liabilities (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Contract liabilities: | |
Deferred revenue | $ 29,017 |
Deferred revenue, less current portion | $ 2,028 |
Summary of Significant Accoun27
Summary of Significant Accounting Policies - Summary of Impact of Adopting ASC 230 on Unaudited Condensed Statement of Cash Flows (Details) - USD ($) $ in Thousands | 6 Months Ended | |||
Jun. 30, 2018 | Jun. 30, 2017 | |||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Net cash provided by (used in) investing activities | $ 41,259 | $ (109,586) | ||
Net increase in cash, cash equivalents and restricted cash | 7,395 | 47,790 | [1] | |
Cash, cash equivalents, and restricted cash at beginning of period | 48,915 | 10,647 | [1] | |
Cash, cash equivalents, and restricted cash at end of period | $ 56,310 | 58,437 | [1] | |
As Originally Reported | ASC 2016-18 | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Change in restricted cash | (394) | |||
Net cash provided by (used in) investing activities | (109,980) | |||
Net increase in cash, cash equivalents and restricted cash | [1] | 47,396 | ||
Cash, cash equivalents, and restricted cash at beginning of period | [1] | 10,601 | ||
Cash, cash equivalents, and restricted cash at end of period | [1] | 57,997 | ||
Adjustments | ASC 2016-18 | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Change in restricted cash | 394 | |||
Net cash provided by (used in) investing activities | 394 | |||
Net increase in cash, cash equivalents and restricted cash | [1] | 394 | ||
Cash, cash equivalents, and restricted cash at beginning of period | [1] | 46 | ||
Cash, cash equivalents, and restricted cash at end of period | [1] | $ 440 | ||
[1] | For the six-month period ended June 30, 2017, this line item, as originally reported, excluded restricted cash. |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) | Jun. 30, 2018USD ($) |
Fair Value Disclosures [Abstract] | |
Fair value, assets, level 1 to level 2 transfers, amount | $ 0 |
Fair value, assets, level 2 to level 1 transfers, amount | 0 |
Fair value, liabilities, level 1 to level 2 transfers, amount | 0 |
Fair value, assets, level 1 to level 2 transfers, amount | $ 0 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | $ 152,253 | $ 186,050 |
Corporate notes and commercial paper | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 73,785 | 85,492 |
Money market funds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 14,123 | 12,430 |
U.S. treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 25,410 | 34,437 |
U.S. government agency securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 38,935 | 53,691 |
Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 14,123 | 12,430 |
Level 1 | Money market funds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 14,123 | 12,430 |
Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 138,130 | 173,620 |
Level 2 | Corporate notes and commercial paper | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 73,785 | 85,492 |
Level 2 | U.S. treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | 25,410 | 34,437 |
Level 2 | U.S. government agency securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial assets | $ 38,935 | $ 53,691 |
Financial Instruments - Summary
Financial Instruments - Summary of Available-for-Sale Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | $ 152,504 | $ 186,320 |
Unrealized (Loss) | (251) | (270) |
Estimated Fair Value | 152,253 | 186,050 |
Money market funds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | 14,123 | 12,430 |
Estimated Fair Value | 14,123 | 12,430 |
U.S. treasury securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | 25,438 | 34,505 |
Unrealized (Loss) | (28) | (68) |
Estimated Fair Value | 25,410 | 34,437 |
U.S. government agency securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | 39,100 | 53,832 |
Unrealized (Loss) | (165) | (141) |
Estimated Fair Value | 38,935 | 53,691 |
Corporate notes and commercial paper | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost | 73,843 | 85,553 |
Unrealized (Loss) | (58) | (61) |
Estimated Fair Value | 73,785 | 85,492 |
Cash Equivalents | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 55,441 | 47,931 |
Short-term Investments | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 85,544 | 115,318 |
Long-term investments | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 10,828 | 22,361 |
Restricted Cash | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | $ 440 | $ 440 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Details) | 6 Months Ended | |
Jun. 30, 2018USD ($) | Dec. 31, 2017Investment | |
Investments Debt And Equity Securities [Abstract] | ||
Remaining contractual maturities of available-for-sale-securities | less than two years | |
Realized gains (losses) on available-for-sale securities | $ 0 | |
Unrealized losses on cash equivalents and investments | 251,000 | |
Number of investments in continuous loss position for 12 months or longer | Investment | 0 | |
Cash, cash equivalents, restricted cash and investments | 152,700,000 | |
Cash portion included in cash, cash equivalents, restricted cash and investments | 400,000 | |
Cash equivalents, restricted cash and investments | $ 152,300,000 |
Accrued Liabilities - Summary o
Accrued Liabilities - Summary of Accrued Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Dec. 31, 2017 |
Payables And Accruals [Abstract] | ||
Accrued bonus and payroll expenses | $ 2,509 | $ 3,016 |
Accrued professional and consulting services | 368 | 367 |
Accrued clinical and manufacturing expenses | 6,393 | 4,845 |
Accrued preclinical and research expenses | 207 | 469 |
Other | 56 | 241 |
Total accrued liabilities | $ 9,533 | $ 8,938 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) - ATM Program - Cowen and Company LLC - USD ($) | 1 Months Ended | 6 Months Ended |
Aug. 31, 2017 | Jun. 30, 2018 | |
Class Of Stock [Line Items] | ||
Common stock value remained available for sale | $ 48,300,000 | |
Number of shares issued and sold | 0 | |
Common Stock | ||
Class Of Stock [Line Items] | ||
Aggregate maximum offering price | $ 50,000,000 | |
Maximum | Common Stock | ||
Class Of Stock [Line Items] | ||
Percentage of sales commission on gross proceeds for common stock sold through sales agreement | 3.00% |
Stock Based Compensation - Summ
Stock Based Compensation - Summary of Stock Option Activity (Details) $ / shares in Units, $ in Thousands | 6 Months Ended |
Jun. 30, 2018USD ($)$ / sharesshares | |
Number of Shares Underlying Outstanding Options | |
Outstanding at Beginning balance | shares | 3,571,000 |
Options granted | shares | 1,143,000 |
Options exercised | shares | (85,000) |
Options cancelled | shares | (24,000) |
Outstanding at Ending balance | shares | 4,605,000 |
Exercisable at End of Period | shares | 2,164,000 |
Weighted-Average Exercise Price | |
Outstanding at Beginning balance | $ / shares | $ 7.67 |
Options granted | $ / shares | 8.18 |
Options exercised | $ / shares | 1.85 |
Options cancelled | $ / shares | 7.99 |
Outstanding at Ending balance | $ / shares | 7.90 |
Exercisable at End of Period | $ / shares | $ 7.83 |
Weighted Average Remaining Contractual Term (Years) | |
Outstanding at Ending balance | 7 years 11 months 23 days |
Exercisable at End of Period | 7 years 14 days |
Outstanding | $ | $ 2,616 |
Exercisable at End of Period | $ | $ 1,642 |
Stock Based Compensation - Su35
Stock Based Compensation - Summary of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation | $ 3,801 | $ 2,503 | ||
2010 Equity Incentive Plan, 2014 Equity Incentive Plan and 2014 Employee Stock Purchase Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation | $ 1,920 | $ 1,354 | 3,801 | 2,503 |
2010 Equity Incentive Plan, 2014 Equity Incentive Plan and 2014 Employee Stock Purchase Plan | Research and Development | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation | 1,025 | 744 | 2,008 | 1,349 |
2010 Equity Incentive Plan, 2014 Equity Incentive Plan and 2014 Employee Stock Purchase Plan | General and Administrative | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation | $ 895 | $ 610 | $ 1,793 | $ 1,154 |
Net Loss Per Share - Common Sto
Net Loss Per Share - Common Stock Excluded from Calculation of Diluted Net Loss Per Share (Details) - shares shares in Thousands | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share | 4,671 | 3,434 |
Options to Purchase Common Stock | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share | 4,605 | 3,397 |
Employee Stock Plan Purchases | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share | 66 | 37 |
Collaboration and Licensing A37
Collaboration and Licensing Agreements - Additional Information (Details) - USD ($) | Jan. 27, 2017 | May 31, 2017 | Feb. 28, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | Jan. 01, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||||
Receivables from collaborations | $ 2,511,000 | $ 2,511,000 | $ 1,142,000 | |||||||
Mars, Inc. | ||||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||||
Potential license agreement fee | 23,600,000 | |||||||||
Additional potential payments based on sale of first licensed product | 95,000,000 | |||||||||
Initial license fee | 0 | 0 | ||||||||
Incyte Collaboration Agreement | ||||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||||
Percentage of sharing in global development cost | 30.00% | |||||||||
Future profits and losses share percentage | 40.00% | |||||||||
Upfront payment received | $ 45,000,000 | 45,000,000 | ||||||||
Development milestone achieved | 12,000,000 | 12,000,000 | $ 12,000,000 | |||||||
Development milestone received | $ 12,000,000 | |||||||||
Additional potential development, regulatory and sales milestones receivable | 418,000,000 | $ 418,000,000 | ||||||||
Future net profits and losses share percentage | 40.00% | |||||||||
Profit and loss sharing description | Incyte and the Company will share in any future United States net profits and losses, with the Company bearing 40% and Incyte bearing 60%, respectively, and outside the United States the Company will be eligible to receive from Incyte tiered royalties, with rates in the low to mid-teens of sales. | |||||||||
Upfront consideration allocated to combined unit of accounting | $ 45,000,000 | |||||||||
Development milestone recognized | 12,000,000 | |||||||||
Amortization of upfront fee and milestone | $ 7,300,000 | $ 11,400,000 | ||||||||
Collaboration agreement transaction price | 57,000,000 | 57,000,000 | ||||||||
Reduction of research and development expenses | 1,500,000 | $ 2,100,000 | 2,600,000 | $ 3,600,000 | ||||||
Receivables from collaborations | 2,400,000 | 2,400,000 | ||||||||
Incyte Collaboration Agreement | ASC 2014-09 | ||||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||||
Collaboration agreement transaction price | $ 57,000,000 | |||||||||
Collaboration revenue recognized related to completion of combined performance obligation | $ 17,100,000 | $ 22,300,000 | ||||||||
Incyte Collaboration Agreement | Opt Out of Co-Funding Obligations | ||||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||||
Additional potential development, regulatory and commercialization milestones receivable | $ 738,000,000 | |||||||||
Incremental royalty percentage on annual net sales | 3.00% | |||||||||
Maximum incremental royalty, percentage of previous development expenditure | 120.00% | |||||||||
Incyte Collaboration Agreement | Incyte | ||||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||||
Percentage of sharing in global development cost | 70.00% | |||||||||
Future profits and losses share percentage | 60.00% | |||||||||
Future net profits and losses share percentage | 60.00% |