Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2023 | May 04, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-39592 | |
Entity Registrant Name | Kronos Bio, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 82-1895605 | |
Entity Address, Address Line One | 1300 So. El Camino Real | |
Entity Address, Address Line Two | Suite 400 | |
Entity Address, City or Town | San Mateo | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94402 | |
City Area Code | 650 | |
Local Phone Number | 781-5200 | |
Title of 12(b) Security | Common stock, $0.001 par value per share | |
Trading Symbol | KRON | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 57,630,464 | |
Entity Central Index Key | 0001741830 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Condensed Balance Sheets (Unaud
Condensed Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | |
Current assets: | |||
Cash and cash equivalents | $ 61,646 | $ 75,973 | [1] |
Short-term investments | 164,756 | 162,212 | [1] |
Prepaid expenses and other current assets | 5,866 | 6,106 | [1] |
Total current assets | 232,268 | 244,291 | [1] |
Long-term investments | 14,885 | 9,762 | [1] |
Property and equipment, net | 12,529 | 12,985 | [1] |
Operating lease right-of-use assets | 24,123 | 24,707 | [1] |
Restricted cash | 4,051 | 2,026 | [1] |
Other noncurrent assets | 1,169 | 1,167 | [1] |
Total assets | 289,025 | 294,938 | [1] |
Current liabilities: | |||
Accounts payable | 6,039 | 5,047 | [1] |
Accrued expenses | 6,598 | 12,963 | [1] |
Current portion of operating lease liabilities | 3,032 | 2,347 | [1] |
Current portion of deferred revenue | 8,655 | 0 | |
Current portion of other liabilities | 940 | 1,129 | [1] |
Total current liabilities | 25,264 | 21,486 | [1] |
Noncurrent operating lease liabilities | 27,945 | 28,744 | [1] |
Deferred revenue, net of current portion | 10,124 | 0 | |
Other noncurrent liabilities | 87 | 209 | [1] |
Total liabilities | 63,420 | 50,439 | [1] |
Commitments and contingencies (Note 11) | [1] | ||
Stockholders’ equity (deficit): | |||
Common stock, $0.001 par value, 200,000,000 authorized as of March 31, 2023 and December 31, 2022; 57,353,754 and 56,967,436 shares issued and outstanding as of March 31, 2023 and December 31, 2022, respectively. | 57 | 57 | [1] |
Preferred stock, $0.001 par value; 10,000,000 authorized; no shares issued and outstanding. | [1] | ||
Additional paid-in capital | 648,334 | 641,422 | [1] |
Accumulated deficit | (422,426) | (396,188) | [1] |
Accumulated other comprehensive income (loss) | (360) | (792) | [1] |
Total stockholders' equity (deficit) | 225,605 | 244,499 | [1] |
Total liabilities and stockholders’ equity (deficit) | $ 289,025 | $ 294,938 | [1] |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Condensed Balance Sheets (Una_2
Condensed Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Mar. 31, 2023 | Dec. 31, 2022 |
Stockholders’ equity (deficit): | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, shares issued (in shares) | 57,353,754 | 56,967,436 |
Common stock, shares outstanding (in shares) | 57,353,754 | 56,967,436 |
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Condensed Statements of Operati
Condensed Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Income Statement [Abstract] | ||
Revenue | $ 1,221 | $ 0 |
Operating expenses: | ||
Research and development | 19,658 | 24,438 |
General and administrative | 10,056 | 11,927 |
Total operating expenses | 29,714 | 36,365 |
Loss from operations | (28,493) | (36,365) |
Other income (expense), net: | ||
Interest and other income, net | 2,255 | 102 |
Total other income (expense), net | 2,255 | 102 |
Net loss | (26,238) | (36,263) |
Other comprehensive income (loss): | ||
Net unrealized gain (loss) on available-for-sale securities | 432 | (131) |
Net comprehensive loss | $ (25,806) | $ (36,394) |
Net loss per share, basic (in dollars per share) | $ (0.46) | $ (0.65) |
Net loss per share, diluted (in dollars per share) | $ (0.46) | $ (0.65) |
Weighted-average shares of common stock, basic (in shares) | 57,147,253 | 55,839,336 |
Weighted-average shares of common stock, diluted (in shares) | 57,147,253 | 55,839,336 |
Condensed Statements of Stockho
Condensed Statements of Stockholders’ Equity (Deficit) (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | |
Common stock, beginning balance (in shares) at Dec. 31, 2021 | 55,703,327 | |||||
Beginning balance at Dec. 31, 2021 | $ 345,097 | $ 56 | $ 608,064 | $ (39) | $ (262,984) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock upon vesting and exercise of options and vesting of restricted stock (in shares) | 361,182 | |||||
Issuance of common stock upon vesting and exercise of options and vesting of restricted stock | 529 | 529 | ||||
Stock-based compensation expense | 7,788 | 7,788 | ||||
Net unrealized gain (loss) on available-for-sale securities | (131) | (131) | ||||
Net loss | (36,263) | (36,263) | ||||
Common stock, ending balance (in shares) at Mar. 31, 2022 | 56,064,509 | |||||
Beginning balance at Mar. 31, 2022 | 317,020 | $ 56 | 616,381 | (170) | (299,247) | |
Common stock, beginning balance (in shares) at Dec. 31, 2022 | 56,967,436 | |||||
Beginning balance at Dec. 31, 2022 | 244,499 | [1] | $ 57 | 641,422 | (792) | (396,188) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock upon vesting and exercise of options and vesting of restricted stock (in shares) | 386,318 | |||||
Issuance of common stock upon vesting and exercise of options and vesting of restricted stock | 305 | 305 | ||||
Stock-based compensation expense | 6,607 | 6,607 | ||||
Net unrealized gain (loss) on available-for-sale securities | 432 | 432 | ||||
Net loss | (26,238) | (26,238) | ||||
Common stock, ending balance (in shares) at Mar. 31, 2023 | 57,353,754 | |||||
Beginning balance at Mar. 31, 2023 | $ 225,605 | $ 57 | $ 648,334 | $ (360) | $ (422,426) | |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Condensed Statements of Cash Fl
Condensed Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Cash flows from operating activities: | ||
Net loss | $ (26,238) | $ (36,263) |
Adjustments to reconcile net loss to cash used in operating activities: | ||
Depreciation and amortization | 569 | 557 |
Net amortization/accretion on available-for-sale securities | (1,253) | 517 |
Change in accrued interest on available-for-sale securities | 212 | 343 |
Stock-based compensation expense | 6,607 | 7,788 |
Noncash lease expense | 585 | 534 |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other current assets | 274 | 406 |
Other long-term assets | (2) | (1) |
Accounts payable | 1,005 | 3,670 |
Accrued expenses | (6,365) | (505) |
Right-of-use operating assets and liabilities, net | (115) | (297) |
Deferred revenue | 18,779 | 0 |
Other liabilities | (5) | (233) |
Net cash provided by (used in) operating activities | (5,947) | (23,484) |
Cash flows from investing activities: | ||
Purchase of property and equipment | (126) | (366) |
Purchase of available-for-sale securities | (102,595) | (94,544) |
Maturities of marketable securities | 96,366 | 68,574 |
Net cash provided by (used in) investing activities | (6,355) | (26,336) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock upon exercise of stock options | 0 | 529 |
Net cash provided by (used in) financing activities | 0 | 529 |
Net increase (decrease) in cash and cash equivalents | (12,302) | (49,291) |
Cash, cash equivalents and restricted cash at beginning of period | 77,999 | 200,296 |
Cash, cash equivalents and restricted cash at end of period | 65,697 | 151,005 |
Supplemental disclosures of non-cash activities: | ||
Property and equipment additions included in accounts payable and accrued expenses | 7 | 47 |
Cash and cash equivalents at end of period | 61,646 | 148,979 |
Restricted cash at end of period | 4,051 | 2,026 |
Cash, cash equivalents and restricted cash at end of period | $ 65,697 | $ 151,005 |
Nature of Operations and Basis
Nature of Operations and Basis of Presentation | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NATURE OF OPERATIONS AND BASIS OF PRESENTATION | NATURE OF OPERATIONS AND BASIS OF PRESENTATION Kronos Bio, Inc. (Kronos or the Company), a Delaware corporation, was incorporated on June 2, 2017. The Company is an integrated discovery through clinical development biopharmaceutical company, with a focus on developing therapeutics that target the dysregulated transcription that causes cancer and other serious diseases. The Company operates in one business segment: the development of biopharmaceutical products. Basis of Presentation The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and pursuant to Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission (SEC). Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. Unaudited Interim Financial Information The accompanying condensed balance sheet as of March 31, 2023, the condensed statements of operations and comprehensive loss for the three months ended March 31, 2023 and 2022, the condensed statements of stockholders’ equity (deficit) as of March 31, 2023 and 2022, the condensed statements of cash flows for the three months ended March 31, 2023 and 2022, and the financial data and other financial information disclosed in the notes to the condensed financial statements are unaudited. The unaudited interim condensed financial statements have been prepared on a basis consistent with the Company’s audited annual financial statements and, in the opinion of management, reflect all adjustments, consisting solely of normal recurring adjustments, necessary for the fair presentation of the Company’s financial position as of March 31, 2023 and the results of its operations for the three months ended March 31, 2023 and 2022. The results for the three months ended March 31, 2023 are not necessarily indicative of results to be expected for the full year ending December 31, 2023, any other interim periods, or any future year or period. These condensed financial statements should be read in conjunction with the Company's audited financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2022, filed with the SEC on March 15, 2023 (Annual Report) Need for Additional Capital The Company has incurred net losses since its inception of $422.4 million as of March 31, 2023. The Company expects that its cash, cash equivalents and investments as of March 31, 2023 will be sufficient to fund its operations for a period of at least one year from the date of issuance of these condensed financial statements. Management expects to incur additional losses in the future to fund its operations and conduct product research and development and recognizes the need to raise additional capital. The Company intends to raise additional capital through the issuance of equity securities, debt financings or other sources in order to continue its operations. However, if such financing is not available when needed and at adequate levels, the Company will need to reevaluate its operating plan and may be required to delay the development of its product candidates. The future viability of the Company is dependent on its ability to generate cash from operating activities or to raise additional capital to finance its operations. The Company’s failure to raise capital as and when needed could have a material adverse effect on its financial condition and ability to pursue business strategies. The Company may not be able to obtain financing on acceptable terms, or at all, and the Company may not be able to enter into collaboration arrangements or obtain government grants. The terms of any financing may adversely affect the holdings or the rights of the Company’s stockholders. If the Company is unable to obtain funding, the Company could be forced to delay, reduce, or eliminate its research and development programs, product portfolio expansion or commercialization efforts, which could adversely affect its business prospects. In the event that the Company requires additional funding, there can be no assurance that it will be successful in obtaining sufficient funding on terms acceptable to the Company to fund its continuing operations, if at all. |
Significant Accounting Policies
Significant Accounting Policies, Estimates and Judgments | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES, ESTIMATES AND JUDGMENTS | SIGNIFICANT ACCOUNTING POLICIES, ESTIMATES AND JUDGMENTS Significant Accounting Policies In 2023, the Company began to recognize revenue related to licenses and research and development services. Refer below for a more detailed description of the revenue policy. There have been no additional changes to the accounting policies during the three months ended March 31, 2023, as compared to the significant accounting policies described in Note 2 of the “Notes to Financial Statements” of the Company’s audited financial statements included in its Annual Report for the year ended December 31, 2022. Use of Estimates The preparation of condensed financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of assets and liabilities at the date of the condensed financial statements and the reported amounts of expenses during the reporting periods. Significant estimates and assumptions reflected in these condensed financial statements include, but are not limited to, revenue, the accrual of research and development expenses, the fair value of investments, income tax uncertainties, the valuation of equity instruments and the incremental borrowing rate for determining the operating lease assets and liabilities. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Actual results could differ from the Company’s estimates. Revenue Recognition The Company recognizes revenue in accordance with the provisions of Accounting Standards Codification Topic 606, Revenue from Contracts with Customers (“ASC 606”). The Company recognizes revenue when the Company’s customer obtains control of promised goods or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods and services. To determine revenue recognition for arrangements within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when or as the Company satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration to which it is entitled in exchange for the goods or services it transfers to the customer The Company evaluates the promised goods or services in these agreements to determine which ones represent distinct performance obligations. These agreements may include the following types of promised goods or services: (i) grants of licenses and related transfer of know-how, (ii) performance of research and development services, and (iii) participation on joint research and/or development committees. They also may include options to obtain further research and development services and licenses to the Company’s intellectual property. The payment terms of these agreements may include nonrefundable upfront fees, payments for electing the contractual options, payments based upon the achievement of certain milestones, and royalty payments based on product sales derived from the collaboration. The Company exercises judgment in assessing those promised goods and services that are distinct and thus representative of performance obligations. To the extent the Company identifies multiple performance obligations in a contract, the Company must develop assumptions that require judgment to determine the estimated standalone selling price for each performance obligation in order to allocate the transaction price among the identified performance obligations. The transaction is allocated on a relative standalone selling price basis. Prior to recognizing revenue, the Company makes estimates of the transaction price, including variable consideration that is subject to a constraint. Amounts of variable consideration are included in the transaction price to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur and when the uncertainty associated with the variable consideration is subsequently resolved. These estimates are re-assessed each reporting period as required. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligations when or as the performance obligations are satisfied. For performance obligations satisfied over time, the Company estimates the efforts needed to complete the performance obligations and recognizes revenue by measuring the progress towards complete satisfaction of the performance obligations using an input measure. For arrangements that include sales-based royalties, including commercial milestone payments based on pre-specified level of sales, the Company recognizes revenue at the later of (i) when the related sales occur, or (ii) when the performance obligations to which some or all of the royalty has been allocated has been satisfied (or partially satisfied). Achievement of these royalties and commercial milestones may solely depend upon the performance of the licensee. Funds received in advance are recorded as deferred revenue and are recognized as the related performance obligations are satisfied. There are no performance, cancellation, termination, or refund provisions in any of the arrangements that contain material financial consequences to the Company. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS The Company follows authoritative accounting guidance, which among other things, defines fair value, establishes a consistent framework for measuring fair value and expands disclosure for each major asset and liability category measured at fair value on either a recurring or nonrecurring basis. Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. The Company measures and reports its cash equivalents and investments at fair value. Money market funds are measured at fair value on a recurring basis using quoted prices and are classified as Level 1. Investments measured at fair value based on inputs other than quoted prices that are derived from observable market data are classified as Level 2. Financial assets and liabilities subject to fair value measurements on a recurring basis and the level of inputs used in such measurements by major security type as of March 31, 2023 and December 31, 2022 were as follows: March 31, 2023 Level 1 Level 2 Level 3 Fair Value (in thousands) Financial Assets: Money market funds $ 51,948 $ — $ — $ 51,948 Certificates of deposit 976 — — $ 976 Commercial paper — 2,345 — $ 2,345 Corporate bonds — 25,188 — $ 25,188 U.S. agency securities — 2,494 — $ 2,494 U.S. treasury securities 148,878 — — $ 148,878 Total financial assets $ 201,802 $ 30,027 $ — $ 231,829 December 31, 2022 Level 1 Level 2 Level 3 Fair Value (in thousands) Financial Assets: Money market funds $ 49,003 $ — $ — $ 49,003 Certificates of deposit 490 — — 490 Commercial paper — 1,667 — 1,667 Corporate bonds — 30,657 — 30,657 U.S. agency securities — 13,000 — 13,000 U.S. treasury securities 138,734 — — 138,734 Total financial assets $ 188,227 $ 45,324 $ — $ 233,551 The carrying amounts of accounts payable and accrued expenses approximate their fair values due to their short-term maturities. The Company’s Level 2 securities are valued using third-party pricing sources. The pricing services utilize industry standard valuation models, including both income- and market-based approaches, for which all significant inputs are observable, either directly or indirectly. The Company did not have any financial assets or liabilities as of March 31, 2023 and December 31, 2022 that required Level 3 inputs. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENTS | INVESTMENTS The fair value and amortized cost of available-for-sale securities by major security type as of March 31, 2023 and December 31, 2022 were as follows: March 31, 2023 Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in thousands) Money market funds $ 51,948 $ — $ — $ 51,948 Certificates of deposit 980 — (4) 976 Commercial paper 2,345 — — 2,345 Corporate bonds 25,201 8 (21) 25,188 U.S. agency securities 2,500 — (6) 2,494 U.S. treasury securities 149,214 50 (386) 148,878 Total cash equivalents and investments $ 232,188 $ 58 $ (417) $ 231,829 December 31, 2022 Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in thousands) Money market funds $ 49,003 $ — $ — $ 49,003 Certificates of deposit 490 — — 490 Commercial paper 1,667 — — 1,667 Corporate bonds 30,683 3 (29) 30,657 U.S. agency securities 13,024 — (24) 13,000 U.S. treasury securities 139,477 4 (747) 138,734 Total cash equivalents and investments $ 234,344 $ 7 $ (800) $ 233,551 These available-for-sale securities were classified on the Company’s condensed balance sheets as of March 31, 2023 and December 31, 2022 as: Fair Value March 31, 2023 December 31, 2022 (in thousands) Cash equivalents $ 52,188 $ 61,577 Short-term investments 164,756 162,212 Long-term investments 14,885 9,762 Total cash equivalents and investments $ 231,829 $ 233,551 The fair values of available-for-sale securities by contractual maturity as of March 31, 2023 and December 31, 2022 were as follows: March 31, 2023 December 31, 2022 (in thousands) Due in 1 year or less $ 164,995 $ 174,786 Due in 1 to 2 years 14,885 9,762 Total cash equivalents and investments $ 179,880 $ 184,548 As of March 31, 2023 and December 31, 2022, the remaining contractual maturities of available-for-sale securities were less than two years, respectively. There have been no significant realized losses on available-for-sale securities for any of the periods presented in the accompanying condensed financial statements. As of March 31, 2023 and December 31, 2022, securities with a fair value of $9.8 million and zero, respectively, were in a continuous net unrealized loss position for more than 12 months. Unrealized losses on available-for-sale securities are not attributed to credit risk for any of the periods presented. The Company believes that it is more likely than not that investments in an unrealized loss position will be held until maturity and all interest and principal will be received. The Company believes that an allowance for credit losses is unnecessary because the unrealized losses on certain of the Company’s available-for-sale securities are due to market factors. To date, the Company has not recorded any impairment charges on available-for-sale securities. |
Prepaid Expenses And Other Curr
Prepaid Expenses And Other Current Assets | 3 Months Ended |
Mar. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
PREPAID EXPENSES AND OTHER CURRENT ASSETS | PREPAID EXPENSES AND OTHER CURRENT ASSETS Prepaid expenses and other current assets consisted of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Accrued interest on short-term available-for-sale securities $ 516 $ 572 Prepaid equipment service contracts 307 289 Prepaid external research and development and outside services 1,747 2,276 Prepaid software 1,297 905 Prepaid insurance 1,124 1,630 Other prepaid expenses 875 434 Total prepaid expenses and other current assets $ 5,866 $ 6,106 |
Property and Equipment, Net
Property and Equipment, Net | 3 Months Ended |
Mar. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT, NET | PROPERTY AND EQUIPMENT, NET Property and equipment, net consisted of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Property and equipment: Lab equipment $ 8,585 $ 8,475 Leasehold improvements 9,348 9,348 Furniture and fixtures 619 619 Computer equipment 61 58 Total property and equipment 18,613 18,500 Less: Accumulated depreciation and amortization (6,084) (5,515) Total property and equipment, net $ 12,529 $ 12,985 Depreciation and amortization expense was $0.6 million and $0.6 million for the three months ended March 31, 2023 and 2022, respectively. |
Accrued Expenses and Current Po
Accrued Expenses and Current Portion of Other Liabilities | 3 Months Ended |
Mar. 31, 2023 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES AND CURRENT PORTION OF OTHER LIABILITIES | ACCRUED EXPENSES AND CURRENT PORTION OF OTHER LIABILITIES Accrued expenses consisted of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Accrued compensation $ 1,238 $ 4,277 External research and development 4,139 7,694 Accrued outside services 916 945 Accrued taxes 40 $ 40 Other accrued expenses 265 7 Total accrued expenses $ 6,598 $ 12,963 Current portion of other liabilities consist of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Current portion of unvested early exercised share liability 708 891 ESPP withholdings 232 238 Total current portion of other liabilities $ 940 $ 1,129 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION 2020 Equity Incentive Plan In October 2020, the Company adopted its 2020 Equity Incentive Plan (the 2020 Plan) which replaced the 2017 Equity Incentive Plan (Prior Plan) upon completion of the IPO. The 2020 Plan provides for the grant of incentive stock options or nonqualified stock options, stock appreciation rights, restricted stock awards (“RSA”), restricted stock units (“RSU”), performance awards and other forms of awards to employees, directors, and consultants of the Company. The number of shares of common stock reserved for issuance under the 2020 Plan will automatically increase each year for a period of ten years, beginning in 2021 and continuing through 2030, in an amount equal to (1) 5.0% of the total number of shares of the Company’s common stock outstanding on December 31 of the immediately preceding year, or (2) a lesser number of shares determined by the Board of Directors no later than December 31 of the immediately preceding year. As of March 31, 2023, the maximum number of shares of common stock that may be issued was 20,417,192 shares. The Company recognizes the impact of forfeitures on stock-based compensation expense as forfeitures occur. The Company applies the straight-line method of expense recognition to all awards with only service-based vesting conditions. Options shall not have an exercise price less than 100% of the fair market value of the Company’s common stock on the grant date. Vesting periods are determined at the discretion of the Board of Directors. Stock options typically vest over four years. The maximum contractual term is 10 years. As of March 31, 2023, there were 4,170,000 shares reserved by the Company under the 2020 Plan for the future issuance of equity awards. Stock Options Stock option activity under the 2020 Plan as of March 31, 2023 is summarized as follows: Number of Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (in years) (in thousands) Balance, December 31, 2022 7,454,665 $ 11.83 Granted 2,385,324 2.08 Forfeited (504,408) 11.97 Exercised (82,094) 3.72 Balance, March 31, 2023 9,253,487 $ 9.38 7.98 $ 44 The aggregate intrinsic values of options outstanding was calculated as the difference between the exercise price of the options and the closing price of the Company’s common stock on the Nasdaq Global Select Market on March 31, 2023. There was no future tax benefit related to options exercised, as the Company had accumulated net operating losses as of March 31, 2023 and December 31, 2022. The weighted-average grant-date fair value per share of stock options granted, using the Black-Scholes option pricing model, was $1.49 during the three months ended March 31, 2023. As of March 31, 2023 and December 31, 2022, there was $29.8 million and $35.4 million of unrecognized stock-based compensation related to stock options, respectively, which is expected to be recognized over a weighted-average period of 2.20 and 2.25 years, respectively. 2020 Employee Stock Purchase Plan In October 2020, the Company adopted its 2020 Employee Stock Purchase Plan (ESPP), which initially reserved 688,000 shares of the Company’s common stock for employee purchase under terms and provisions established by the Board of Directors. The number of shares of our common stock reserved for issuance under the ESPP automatically increased in 2021 and continues to increase through 2030, by the lesser of (i) 1.0% of the total number of shares of common stock outstanding on December 31 of the immediately preceding year, and (ii) 1,376,000 shares, except before the date of any increase, the Board of Directors may determine that such increase will be less than the amount set forth in clauses (i) and (ii). The Company has 2,027,319 shares reserved for future issuance as of March 31, 2023 . Restricted Stock Restricted stock awards and units as of March 31, 2023 are summarized as follows: Number of Restricted Stock Weighted-Average Grant Date Fair Value Weighted-Average Remaining Vesting Life Aggregate Intrinsic Value (in years) (in thousands) Unvested, December 31, 2022 2,297,745 $ 9.18 Granted 1,209,648 2.08 Vested and converted to shares (304,224) 12.83 Forfeited (313,254) 6.24 Unvested, March 31, 2023 2,889,915 $ 6.15 1.93 $ 4,219 As of March 31, 2023, there was $13.7 million of unrecognized stock-based compensation related to RSUs, which is expected to be recognized over a weighted average period of 1.40 years. As of March 31, 2023, there was $0.2 million of unrecognized stock-based compensation related to RSAs, which is expected to be recognized over a weighted average period of 1.33 years. Stock-Based Compensation Summary Total stock-based compensation expense related to stock options, restricted stock units, restricted stock awards and the employee stock purchase plan for the three months ended March 31, 2023 and 2022 is as follows: Three months ended March 31, 2023 2022 (in thousands) Research and development expenses $ 3,112 $ 3,804 General and administrative expenses 3,495 3,984 Total stock-based compensation expense $ 6,607 $ 7,788 Early Exercised Options The Company allows certain of its employees and its consultants to exercise options granted under the Prior Plan prior to vesting. The shares related to early exercised stock options are subject to the Company’s lapsing repurchase right upon termination of employment or service on the Board of Directors at the lesser of the original purchase price or fair market value at the time of repurchase. In order to vest, the holders are required to provide continued service to the Company. The early exercise by an employee or consultant of a stock option is not considered to be a substantive exercise for accounting purposes, and therefore the payment received by the employer for the exercise price is recognized as a liability. For accounting purposes, unvested early exercised shares are not considered issued and outstanding and therefore not reflected as issued and outstanding in the accompanying balance sheets or the accompanying statements of stockholders' equity (deficit) until the awards vest. The deposits received are initially recorded in current portion of other liabilities and other noncurrent liabilities for the noncurrent portion. The liabilities are reclassified to common stock and paid-in capital as the repurchase right lapses. At March 31, 2023 and December 31, 2022, there was $0.7 million and $0.9 million recorded in current portion of other liabilities, and $0.1 million and $0.2 million recorded in other noncurrent liabilities, respectively, related to shares held by employees and nonemployees that were subject to repurchase. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The Company did not record any income tax expense for the three months ended March 31, 2023 and 2022. The Company has incurred net operating losses for all the periods presented and has not reflected any benefit of such net operating loss carryforwards in the accompanying condensed financial statements. The Company has recorded a full valuation allowance against all of its deferred tax assets as it is not more likely than not that such assets will be realized in the near future. It is the Company’s policy to record penalties and interest related to income taxes as a component of income tax expense. The Company has not recorded any interest or penalties related to income taxes during the three months ended March 31, 2023 and 2022. The Company has not identified any new uncertain tax positions as of March 31, 2023. Unrecognized tax benefits are not expected to change during the next 12 months. The reversal of the unrecognized tax benefits would not affect the effective tax rate. The Company is subject to examination by U.S. federal and state tax authorities for all years since its inception. |
Net Loss Per Share
Net Loss Per Share | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
NET LOSS PER SHARE | NET LOSS PER SHARE The following table summarizes the computation of basic and diluted net loss per share of the Company for the three months ended March 31, 2023 and 2022: Three months ended March 31, 2023 2022 (in thousands, except share and per share amounts) Net loss $ (26,238) $ (36,263) Weighted-average common stock outstanding, basic and diluted 57,147,253 55,839,336 Net loss per share, basic and diluted $ (0.46) $ (0.65) The Company’s potentially dilutive securities, which include options to purchase shares of the Company's common stock and restricted stock subject to future vesting, have been excluded from the computation of diluted net loss per share as the effect would be to reduce the net loss per share. Therefore, the weighted-average number of shares of common stock outstanding used to calculate both basic and diluted net loss per share is the same. The Company excluded the following potential shares of common stock, presented based on amounts outstanding at each stated period end, from the computation of diluted net loss per share for the periods indicated because including them would have had an anti-dilutive effect: March 31, 2023 March 31, 2022 Stock options to purchase common stock 9,031,255 7,539,416 Early exercised stock options subject to future vesting 222,232 578,662 Restricted stock awards subject to future vesting 45,725 80,016 Restricted stock units subject to future vesting 2,844,190 1,383,752 Expected shares to be purchased under Employee Stock Purchase Plan 1,075,994 380,500 Total 13,219,396 9,962,346 In addition to the potentially dilutive securities noted above, the Company also has the option under its agreement with Tempus to issue common shares upon the achievement of specified milestones (see Note 11). Because the necessary conditions for issuance of the shares had not been met as of March 31, 2023, the Company excluded these shares from the table above. |
Commitment and Contingencies
Commitment and Contingencies | 3 Months Ended |
Mar. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES R&D Services Agreement In October 2021, the Company entered into an agreement for research and development services (Tempus Agreement) with Tempus Labs, Inc. (Tempus), pursuant to which Tempus agreed to provide the Company with research and development services for a period of three years. The three primary services are analytical services, data licensing, and organoid services. The Company intends to utilize the services contemplated under the Tempus Agreement to advance the development of KB-0742 and lanraplenib. In consideration for the access to the services throughout the term of the Tempus Agreement, the Company has agreed to pay an annual minimum commitment of $1.5 million in year one, $2.0 million in year two, and $2.5 million in year three. Payments are made in quarterly installments. As of March 31, 2023 and December 31, 2022, the Company has paid $2.5 million and $1.1 million respectively under the Tempus Agreement. In addition, the Company is required to make milestone payments upon successful achievement of certain regulatory milestones for KB-0742, lanraplenib, and other discovery pipeline compounds up to a combined maximum of $22.4 million. For each milestone payment that becomes due, the Company has the right to pay up to 50% of such milestone payment amount in shares of its common stock as long as certain regulatory requirements are met. As of March 31, 2023 and December 31, 2022, the Company determined that achievement of the milestones is not probable and therefore no corresponding liability has been recorded. Asset Purchase Agreement In July 2020, the Company entered into an asset purchase agreement (Gilead Asset Purchase Agreement) with Gilead Sciences, Inc. (Gilead), pursuant to which the Company acquired certain assets from Gilead related to entospletinib and lanraplenib, and patents and other intellectual property covering or related to the development, manufacture and commercialization of entospletinib and lanraplenib. Under the agreement, the Company is required to make milestone and royalty payments upon successful achievement of certain regulatory and sales milestones for the acquired assets. We are currently unable to estimate the timing or likelihood of achieving remaining milestones or generating future product sales. Purchase Commitments In the normal course of business, the Company enters into contracts with CROs for preclinical and clinical studies and other vendors for services and products. These agreements generally provide for termination or cancellation, other than for costs already incurred and certain wind down costs that may be associated with the termination of a contract or clinical trial program. Contingencies In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties and provide for general indemnifications. The Company’s exposure under these agreements is unknown, because it involves claims that may be made against the Company in the future, but have not yet been made. The Company accrues a liability for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. Indemnification In accordance with the Company’s amended and restated certificate of incorporation and amended and restated bylaws, the Company has indemnification obligations to its officers and directors for certain events or occurrences, subject to certain limits, while they are serving in such capacity. There have been no claims to date, and the Company has a directors and officers liability insurance policy that may enable it to recover a portion of any amounts paid for future claims. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
LEASES | LEASESIn March 2020, the Company entered into an 11-year lease agreement to move its research and development operations from 21 Erie Street, Cambridge, Massachusetts, to a 40,514 square-feet facility at 301 Binney Street, Cambridge, Massachusetts (Cambridge facility). The lease commenced on February 28, 2020 with an initial annual base rent of $4.1 million. The initial rent payment was paid as of September 30, 2020, with rent payments escalating 3.0% annually after the initial 12 payments. The Company executed a letter of credit for $2.0 million in connection with the lease. The lease includes $3.7 million in certain tenant improvement allowances, which the Company included in its calculation of the right-of-use asset in the lease at commencement. As of March 31, 2023, $3.7 million in improvement costs incurred by the Company were reimbursed by the lessor and are now included within the total lease liability. In connection with the lease, the Company recognized an operating lease right-of-use asset of $21.5 million and $21.9 million and an aggregate lease liability of $27.5 million and $28.0 million as of March 31, 2023 and December 31, 2022, respectively. The remaining lease term is 7 years and 11 months, and the estimated incremental borrowing rate is 8.50%. In February 2021, the Company entered into a new lease agreement for its office space in San Mateo, California totaling 17,340 square-feet. The initial annual base rent for the new space was $1.2 million, and such amount increases by 3% annually on each anniversary of the new premises commencement date. In connection with the larger space leased, the Company made a one-time cash security deposit in the amount of $59,000. The lease commenced in April 2021 and terminates August 31, 2026. In connection with the lease, the Company recognized an operating lease right-of-use asset of $2.6 million and $2.8 million and an aggregate lease liability of $3.5 million and $3.7 million as of March 31, 2023 and December 31, 2022, respectively. The remaining lease term is 3 years and 3 months, and the estimated incremental borrowing rate is 11.18%. The following table summarizes the presentation of the Company’s operating leases in its balance sheets as of March 31, 2023 and December 31, 2022: Balance Sheet Caption March 31, 2023 December 31, 2022 (in thousands) Assets: Operating lease assets $ 24,123 $ 24,707 Liabilities: Current portion of operating lease liabilities $ 3,032 $ 2,347 Noncurrent operating lease liabilities 27,945 28,744 Total operating lease liabilities $ 30,977 $ 31,091 The following table summarizes the effect of operating lease costs in the Company’s statements of operations and comprehensive loss for the three months ended March 31, 2023 and 2022 : Statement of Operations and Comprehensive Loss Caption Three months ended March 31, 2023 2022 (in thousands) Research and development $ 767 $ 767 General and administrative 511 511 Total operating lease cost $ 1,278 $ 1,278 The Company made cash payments of $0.9 million and $1.0 million under the lease agreements during the three months ended March 31, 2023 and 2022, respectively. The undiscounted future non-cancellable lease payments under the Company's operating leases as of March 31, 2023 for the next five years and thereafter is expected to be as follows: Period Ending December 31, Amount (in thousands) 2023 $ 4,211 2024 5,749 2025 1,327 2026 5,405 2027 and thereafter 21,298 Total undiscounted lease payments 37,990 Less: Present value adjustment (7,013) Present value of operating lease liabilities $ 30,977 |
Related Parties
Related Parties | 3 Months Ended |
Mar. 31, 2023 | |
Related Party Transactions [Abstract] | |
RELATED PARTIES | RELATED PARTIES On December 1, 2017, the Company entered into a services agreement with Two River Consulting, LLC (Two River) to provide various clinical development, operational, managerial, accounting and financial, and administrative services to the Company. Arie Belldegrun, M.D., FACS, the Chairman of the Board of Directors, is the Chairman of Two River. Mr. Joshua Kazam and Mr. David Tanen, each a director of the Company, are each partners of Two River. Mr. Christopher Wilfong, a strategic advisor to the Company, is an Operating Partner of Two River and Mr. Sean Algeo, serving as a financial consultant to the Company, is the Chief Financial Officer of Two River. During the three months ended March 31, 2023 and 2022, the Company incurred expenses of $24,030 and $23,000, respectively, for these services. In 2019, the Company entered into a consulting agreement with Bellco Capital, LLC (Bellco) to provide various executive services to the Company. Arie Belldegrun, M.D., FACS, the Chairman of the Board of Directors, is the Chairman of Bellco. Rebecka Belldegrun, M.D., who served as a director of the Company through January 25, 2021, is the President and Chief Executive Officer of Bellco. During the three months ended March 31, 2023 and 2022, the Company incurred expense of $6,300 and $6,300, respectively, for these services. |
Collaboration and License Agree
Collaboration and License Agreement | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Collaboration and License Agreement | Collaboration and License Agreement On January 6, 2023, the Company entered into a Collaboration and License Agreement (the “Agreement”) with Genentech, Inc., a member of the Roche Group (“Genentech”). Pursuant to the Agreement, the parties have agreed to initially collaborate on two discovery research programs in oncology, each focused on a designated transcription factor, to discover small-molecule GLP-Tox-ready candidates that modulate transcription factor targets selected by Genentech. Each discovery research program will primarily consist of (i) a mapping phase with the goal of identifying the transcription regulatory network for such designated transcription factor, and (ii) a screening phase having the goal of identifying and characterizing multiple screening hits suitable for nomination as a preclinical development program. The Company will lead discovery and research activities under the discovery research programs and will use its proprietary drug discovery platform, including the small molecule microarray (SMM), for hit finding. Following the completion of initial discovery and research activities, Genentech will have the exclusive right to pursue further preclinical and clinical development and commercialization of compounds identified in the discovery research programs and designated by Genentech (each, a “Hit Program”). Pursuant to the Agreement, the Company received an upfront payment of $20.0 million from Genentech. In addition, the Company is eligible for additional milestone payments upon achievement of certain preclinical, clinical and regulatory (including first-sale) milestones, totaling up to $177 million for the first development candidate per Hit Program, and is eligible to receive net sales milestones of up to $100 million for the first licensed product per Hit Program. The Company is also eligible to receive tiered royalties in the low- to high-single digits on any products that are commercialized by Genentech as a result of the collaboration. The term of the discovery research programs under the Agreement will be up to 24 months, which may be extended by six months at the Company’s option subject to satisfying certain conditions. Unless earlier terminated, the Agreement will remain in effect for each product licensed under the Agreement until expiration of the royalty term for such licensed product. Genentech has the right to terminate this Agreement in its entirety, or with respect to a particular discovery research program or Hit Program, in its sole discretion, at any time by providing 60 days’ advance written notice to the Company. Each party may also terminate the Agreement upon the other party’s material breach that remains uncured for90 days (or 45 days in the event of nonpayment), or in the event of certain insolvency events involving the other party. The Company evaluated the agreement and determined it was within the scope of ASC 606. The Company determined there were performance obligations to perform research and development services. Each consists of various exclusive and non-exclusive licenses to use the Company’s intellectual property and know-how, initial discovery activities, and substitution of the designated transcription factor. The Company also identified customer options contained within the contract to perform further research and development services that were deemed a material right as these involved a discount to Genentech that they would not have otherwise received. As a result, the material rights for various options were recognized as separate performance obligations and the transaction price was allocated to the material rights based on the relative standalone selling price, the identified discount and the probability that the customer will exercise the option. Amounts allocated to a material right are not recognized as revenue until the option is exercised. The transaction price was determined to consist of the upfront payment of $20.0 million. Potential development and regulatory milestones have been fully constrained. Any consideration related to sales-based milestones (including royalties) will be recognized when the related sales occur as these amounts have been determined to relate predominantly to the license granted to Genentech. The Company determined that the performance obligations are satisfied over time, and therefore, the related revenue will be recognized as research and development services are provided. The Company recognized $1.2 million in revenue during the three months ended March 31, 2023 using the cost-based input model related to the research and development activities associated with the identified performance obligations. The remaining $18.8 million of the upfront payment is included in short and long-term deferred revenue as of March 31, 2023 and will be recognized as the performance obligations are satisfied. |
Significant Accounting Polici_2
Significant Accounting Policies, Estimates and Judgments (Policies) | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of condensed financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of assets and liabilities at the date of the condensed financial statements and the reported amounts of expenses during the reporting periods. Significant estimates and assumptions reflected in these condensed financial statements include, but are not limited to, revenue, the accrual of research and development expenses, the fair value of investments, income tax uncertainties, the valuation of equity instruments and the incremental borrowing rate for determining the operating lease assets and liabilities. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Actual results could differ from the Company’s estimates. |
Revenue from Contract with Customer | Revenue Recognition The Company recognizes revenue in accordance with the provisions of Accounting Standards Codification Topic 606, Revenue from Contracts with Customers (“ASC 606”). The Company recognizes revenue when the Company’s customer obtains control of promised goods or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods and services. To determine revenue recognition for arrangements within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when or as the Company satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration to which it is entitled in exchange for the goods or services it transfers to the customer The Company evaluates the promised goods or services in these agreements to determine which ones represent distinct performance obligations. These agreements may include the following types of promised goods or services: (i) grants of licenses and related transfer of know-how, (ii) performance of research and development services, and (iii) participation on joint research and/or development committees. They also may include options to obtain further research and development services and licenses to the Company’s intellectual property. The payment terms of these agreements may include nonrefundable upfront fees, payments for electing the contractual options, payments based upon the achievement of certain milestones, and royalty payments based on product sales derived from the collaboration. The Company exercises judgment in assessing those promised goods and services that are distinct and thus representative of performance obligations. To the extent the Company identifies multiple performance obligations in a contract, the Company must develop assumptions that require judgment to determine the estimated standalone selling price for each performance obligation in order to allocate the transaction price among the identified performance obligations. The transaction is allocated on a relative standalone selling price basis. Prior to recognizing revenue, the Company makes estimates of the transaction price, including variable consideration that is subject to a constraint. Amounts of variable consideration are included in the transaction price to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur and when the uncertainty associated with the variable consideration is subsequently resolved. These estimates are re-assessed each reporting period as required. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligations when or as the performance obligations are satisfied. For performance obligations satisfied over time, the Company estimates the efforts needed to complete the performance obligations and recognizes revenue by measuring the progress towards complete satisfaction of the performance obligations using an input measure. For arrangements that include sales-based royalties, including commercial milestone payments based on pre-specified level of sales, the Company recognizes revenue at the later of (i) when the related sales occur, or (ii) when the performance obligations to which some or all of the royalty has been allocated has been satisfied (or partially satisfied). Achievement of these royalties and commercial milestones may solely depend upon the performance of the licensee. Funds received in advance are recorded as deferred revenue and are recognized as the related performance obligations are satisfied. There are no performance, cancellation, termination, or refund provisions in any of the arrangements that contain material financial consequences to the Company. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | Financial assets and liabilities subject to fair value measurements on a recurring basis and the level of inputs used in such measurements by major security type as of March 31, 2023 and December 31, 2022 were as follows: March 31, 2023 Level 1 Level 2 Level 3 Fair Value (in thousands) Financial Assets: Money market funds $ 51,948 $ — $ — $ 51,948 Certificates of deposit 976 — — $ 976 Commercial paper — 2,345 — $ 2,345 Corporate bonds — 25,188 — $ 25,188 U.S. agency securities — 2,494 — $ 2,494 U.S. treasury securities 148,878 — — $ 148,878 Total financial assets $ 201,802 $ 30,027 $ — $ 231,829 December 31, 2022 Level 1 Level 2 Level 3 Fair Value (in thousands) Financial Assets: Money market funds $ 49,003 $ — $ — $ 49,003 Certificates of deposit 490 — — 490 Commercial paper — 1,667 — 1,667 Corporate bonds — 30,657 — 30,657 U.S. agency securities — 13,000 — 13,000 U.S. treasury securities 138,734 — — 138,734 Total financial assets $ 188,227 $ 45,324 $ — $ 233,551 |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments Classified by Contractual Maturity Date | The fair value and amortized cost of available-for-sale securities by major security type as of March 31, 2023 and December 31, 2022 were as follows: March 31, 2023 Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in thousands) Money market funds $ 51,948 $ — $ — $ 51,948 Certificates of deposit 980 — (4) 976 Commercial paper 2,345 — — 2,345 Corporate bonds 25,201 8 (21) 25,188 U.S. agency securities 2,500 — (6) 2,494 U.S. treasury securities 149,214 50 (386) 148,878 Total cash equivalents and investments $ 232,188 $ 58 $ (417) $ 231,829 December 31, 2022 Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in thousands) Money market funds $ 49,003 $ — $ — $ 49,003 Certificates of deposit 490 — — 490 Commercial paper 1,667 — — 1,667 Corporate bonds 30,683 3 (29) 30,657 U.S. agency securities 13,024 — (24) 13,000 U.S. treasury securities 139,477 4 (747) 138,734 Total cash equivalents and investments $ 234,344 $ 7 $ (800) $ 233,551 These available-for-sale securities were classified on the Company’s condensed balance sheets as of March 31, 2023 and December 31, 2022 as: Fair Value March 31, 2023 December 31, 2022 (in thousands) Cash equivalents $ 52,188 $ 61,577 Short-term investments 164,756 162,212 Long-term investments 14,885 9,762 Total cash equivalents and investments $ 231,829 $ 233,551 The fair values of available-for-sale securities by contractual maturity as of March 31, 2023 and December 31, 2022 were as follows: March 31, 2023 December 31, 2022 (in thousands) Due in 1 year or less $ 164,995 $ 174,786 Due in 1 to 2 years 14,885 9,762 Total cash equivalents and investments $ 179,880 $ 184,548 |
Prepaid Expenses And Other Cu_2
Prepaid Expenses And Other Current Assets (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Prepaid Expenses and Other Assets | Prepaid expenses and other current assets consisted of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Accrued interest on short-term available-for-sale securities $ 516 $ 572 Prepaid equipment service contracts 307 289 Prepaid external research and development and outside services 1,747 2,276 Prepaid software 1,297 905 Prepaid insurance 1,124 1,630 Other prepaid expenses 875 434 Total prepaid expenses and other current assets $ 5,866 $ 6,106 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property and equipment, net consisted of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Property and equipment: Lab equipment $ 8,585 $ 8,475 Leasehold improvements 9,348 9,348 Furniture and fixtures 619 619 Computer equipment 61 58 Total property and equipment 18,613 18,500 Less: Accumulated depreciation and amortization (6,084) (5,515) Total property and equipment, net $ 12,529 $ 12,985 |
Accrued Expenses And Current _2
Accrued Expenses And Current Portion Of Other Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued expenses consisted of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Accrued compensation $ 1,238 $ 4,277 External research and development 4,139 7,694 Accrued outside services 916 945 Accrued taxes 40 $ 40 Other accrued expenses 265 7 Total accrued expenses $ 6,598 $ 12,963 |
Other Current Liabilities | Current portion of other liabilities consist of the following as of March 31, 2023 and December 31, 2022: March 31, 2023 December 31, 2022 (in thousands) Current portion of unvested early exercised share liability 708 891 ESPP withholdings 232 238 Total current portion of other liabilities $ 940 $ 1,129 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Option Activity | Stock option activity under the 2020 Plan as of March 31, 2023 is summarized as follows: Number of Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value (in years) (in thousands) Balance, December 31, 2022 7,454,665 $ 11.83 Granted 2,385,324 2.08 Forfeited (504,408) 11.97 Exercised (82,094) 3.72 Balance, March 31, 2023 9,253,487 $ 9.38 7.98 $ 44 |
Schedule of Nonvested Share Activity | Restricted stock awards and units as of March 31, 2023 are summarized as follows: Number of Restricted Stock Weighted-Average Grant Date Fair Value Weighted-Average Remaining Vesting Life Aggregate Intrinsic Value (in years) (in thousands) Unvested, December 31, 2022 2,297,745 $ 9.18 Granted 1,209,648 2.08 Vested and converted to shares (304,224) 12.83 Forfeited (313,254) 6.24 Unvested, March 31, 2023 2,889,915 $ 6.15 1.93 $ 4,219 |
Stock-based Compensation, Classified in Statements of Operations | Total stock-based compensation expense related to stock options, restricted stock units, restricted stock awards and the employee stock purchase plan for the three months ended March 31, 2023 and 2022 is as follows: Three months ended March 31, 2023 2022 (in thousands) Research and development expenses $ 3,112 $ 3,804 General and administrative expenses 3,495 3,984 Total stock-based compensation expense $ 6,607 $ 7,788 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table summarizes the computation of basic and diluted net loss per share of the Company for the three months ended March 31, 2023 and 2022: Three months ended March 31, 2023 2022 (in thousands, except share and per share amounts) Net loss $ (26,238) $ (36,263) Weighted-average common stock outstanding, basic and diluted 57,147,253 55,839,336 Net loss per share, basic and diluted $ (0.46) $ (0.65) |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The Company excluded the following potential shares of common stock, presented based on amounts outstanding at each stated period end, from the computation of diluted net loss per share for the periods indicated because including them would have had an anti-dilutive effect: March 31, 2023 March 31, 2022 Stock options to purchase common stock 9,031,255 7,539,416 Early exercised stock options subject to future vesting 222,232 578,662 Restricted stock awards subject to future vesting 45,725 80,016 Restricted stock units subject to future vesting 2,844,190 1,383,752 Expected shares to be purchased under Employee Stock Purchase Plan 1,075,994 380,500 Total 13,219,396 9,962,346 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
Assets and Liabilities, Operating Leases, Lessee | The following table summarizes the presentation of the Company’s operating leases in its balance sheets as of March 31, 2023 and December 31, 2022: Balance Sheet Caption March 31, 2023 December 31, 2022 (in thousands) Assets: Operating lease assets $ 24,123 $ 24,707 Liabilities: Current portion of operating lease liabilities $ 3,032 $ 2,347 Noncurrent operating lease liabilities 27,945 28,744 Total operating lease liabilities $ 30,977 $ 31,091 |
Summary of Lease Costs | The following table summarizes the effect of operating lease costs in the Company’s statements of operations and comprehensive loss for the three months ended March 31, 2023 and 2022 : Statement of Operations and Comprehensive Loss Caption Three months ended March 31, 2023 2022 (in thousands) Research and development $ 767 $ 767 General and administrative 511 511 Total operating lease cost $ 1,278 $ 1,278 |
Schedule of Maturities on Lease Liabilities | The undiscounted future non-cancellable lease payments under the Company's operating leases as of March 31, 2023 for the next five years and thereafter is expected to be as follows: Period Ending December 31, Amount (in thousands) 2023 $ 4,211 2024 5,749 2025 1,327 2026 5,405 2027 and thereafter 21,298 Total undiscounted lease payments 37,990 Less: Present value adjustment (7,013) Present value of operating lease liabilities $ 30,977 |
Nature of Operations and Basi_2
Nature of Operations and Basis of Presentation (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2023 USD ($) segment | Dec. 31, 2022 USD ($) | [1] | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Number of operating segments | segment | 1 | ||
Accumulated deficit | $ | $ 422,426 | $ 396,188 | |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Fair Value, Recurring - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | $ 231,829 | $ 233,551 |
Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | 51,948 | 49,003 |
Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 976 | 490 |
Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 2,345 | 1,667 |
Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 25,188 | 30,657 |
U.S. agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 2,494 | 13,000 |
U.S. treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 148,878 | 138,734 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 201,802 | 188,227 |
Level 1 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | 51,948 | 49,003 |
Level 1 | Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 976 | 490 |
Level 1 | Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 1 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 1 | U.S. agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 1 | U.S. treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 148,878 | 138,734 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 30,027 | 45,324 |
Level 2 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | 0 | 0 |
Level 2 | Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 2 | Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 2,345 | 1,667 |
Level 2 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 25,188 | 30,657 |
Level 2 | U.S. agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 2,494 | 13,000 |
Level 2 | U.S. treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | 0 |
Level 3 | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | 0 | 0 |
Level 3 | Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 3 | Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 3 | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 3 | U.S. agency securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | 0 | 0 |
Level 3 | U.S. treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, fair value | $ 0 | $ 0 |
Investments - Fair Value and Am
Investments - Fair Value and Amortized Cost (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Money market funds, amortized cost | $ 52,188 | $ 61,577 |
Unrealized Gains | 58 | 7 |
Unrealized Losses | (417) | (800) |
Total cash equivalents and investments, amortized cost | 232,188 | 234,344 |
Total cash equivalents and investments, fair value | 231,829 | 233,551 |
Money market funds | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Money market funds, amortized cost | 51,948 | 49,003 |
Commercial paper | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 25,201 | 1,667 |
Unrealized Gains | 8 | 0 |
Unrealized Losses | (21) | 0 |
Fair Value | 25,188 | 1,667 |
Corporate bonds | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 980 | 30,683 |
Unrealized Gains | 0 | 3 |
Unrealized Losses | (4) | (29) |
Fair Value | 976 | 30,657 |
U.S. agency securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 2,500 | 13,024 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (6) | (24) |
Fair Value | 2,494 | 13,000 |
U.S. treasury securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 149,214 | 139,477 |
Unrealized Gains | 50 | 4 |
Unrealized Losses | (386) | (747) |
Fair Value | 148,878 | 138,734 |
Certificates of deposit | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 2,345 | 490 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | 0 | 0 |
Fair Value | $ 2,345 | $ 490 |
Investments - Balance Sheet (De
Investments - Balance Sheet (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |||
Cash equivalents | $ 52,188 | $ 61,577 | |
Short-term investments | 164,756 | 162,212 | [1] |
Long-term investments | 14,885 | 9,762 | [1] |
Total cash equivalents and investments | $ 231,829 | $ 233,551 | |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Investments - Contractual Matur
Investments - Contractual Maturity (Details) - USD ($) | Mar. 31, 2023 | Dec. 31, 2022 |
Investments, Debt and Equity Securities [Abstract] | ||
Due in 1 year or less | $ 164,995,000 | $ 174,786,000 |
Due in 1 to 2 years | 14,885,000 | 9,762,000 |
Total cash equivalents and investments | 179,880,000 | 184,548,000 |
Fair value of securities with continuous net unrealized loss position for more than 12 months | $ 9,800,000 | $ 0 |
Prepaid Expenses And Other Cu_3
Prepaid Expenses And Other Current Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||
Accrued interest on short-term available-for-sale securities | $ 516 | $ 572 | |
Prepaid equipment service contracts | 307 | 289 | |
Prepaid external research and development and outside services | 1,747 | 2,276 | |
Prepaid software | 1,297 | 905 | |
Prepaid insurance | 1,124 | 1,630 | |
Other prepaid expenses | 875 | 434 | |
Prepaid expenses and other current assets | $ 5,866 | $ 6,106 | [1] |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Property and Equipment, Net (De
Property and Equipment, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | ||
Property and equipment: | ||||
Property, plant and equipment, gross | $ 18,613 | $ 18,500 | ||
Less: Accumulated depreciation and amortization | (6,084) | (5,515) | ||
Total property and equipment, net | 12,529 | 12,985 | [1] | |
Depreciation and amortization | 569 | $ 557 | ||
Lab equipment | ||||
Property and equipment: | ||||
Property, plant and equipment, gross | 8,585 | 8,475 | ||
Leasehold improvements | ||||
Property and equipment: | ||||
Property, plant and equipment, gross | 9,348 | 9,348 | ||
Furniture and fixtures | ||||
Property and equipment: | ||||
Property, plant and equipment, gross | 619 | 619 | ||
Computer equipment | ||||
Property and equipment: | ||||
Property, plant and equipment, gross | $ 61 | $ 58 | ||
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Accrued Expenses And Current _3
Accrued Expenses And Current Portion Of Other Liabilities - Accrued Expenses (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |||
Accrued compensation | $ 1,238 | $ 4,277 | |
External research and development | 4,139 | 7,694 | |
Accrued outside services | 916 | 945 | |
Accrued taxes | 40 | 40 | |
Other accrued expenses | 265 | 7 | |
Total accrued expenses | $ 6,598 | $ 12,963 | [1] |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Accrued Expenses And Current _4
Accrued Expenses And Current Portion Of Other Liabilities - Current Other Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |||
Current portion of unvested early exercised share liability | $ 708 | $ 891 | |
ESPP withholdings | 232 | 238 | |
Total current portion of other liabilities | $ 940 | $ 1,129 | [1] |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended |
Oct. 31, 2020 | Mar. 31, 2023 | Dec. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average grant-date fair value, options granted (in dollars per share) | $ 1.49 | ||
Stock options, unrecognized cost | $ 29,800 | $ 35,400 | |
Current liabilities related to shares that were subject to repurchase | 708 | 891 | |
Current portion of other liabilities | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Current liabilities related to shares that were subject to repurchase | 700 | 900 | |
Other noncurrent liabilities | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non-current liabilities related to shares that were subject to repurchase | $ 100 | $ 200 | |
2020 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expiration period | 10 years | ||
Shares that may be issued, percent increase as total of common stock outstanding | 5% | ||
Number of shares that may have been issued (in shares) | 20,417,192 | ||
Options, exercise price, percent of fair market value | 100% | ||
Vesting period | 4 years | ||
Number of shares reserved for future issuance (in shares) | 4,170,000 | ||
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options recognized, weighted average period | 2 years 2 months 12 days | 2 years 3 months | |
Expected shares to be purchased under Employee Stock Purchase Plan | The ESPP | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares that may have been issued (in shares) | 688,000 | ||
Number of shares reserved for future issuance (in shares) | 2,027,319 | ||
Number of shares that may be issued, increase percentage | 1% | ||
Number of shares that may be issued, increase (in shares) | 1,376,000 | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options recognized, weighted average period | 1 year 4 months 24 days | ||
Unrecognized stock based compensation | $ 13,700 | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options recognized, weighted average period | 1 year 3 months 29 days | ||
Unrecognized stock based compensation | $ 200 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity (Details) $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 31, 2023 USD ($) $ / shares shares | |
Number of Options | |
Beginning Balance (in shares) | shares | 7,454,665 |
Granted (in shares) | shares | 2,385,324 |
Forfeited (in shares) | shares | (504,408) |
Exercised (in shares) | shares | (82,094) |
Ending Balance (in shares) | shares | 9,253,487 |
Weighted-Average Exercise Price | |
Beginning Balance (dollars per share) | $ / shares | $ 11.83 |
Granted (dollars per share) | $ / shares | 2.08 |
Forfeited (dollars per share) | $ / shares | 11.97 |
Exercised (dollars per share) | $ / shares | 3.72 |
Ending Balance (dollars per share) | $ / shares | $ 9.38 |
Stock Option Activity, Additional Disclosures | |
Weighted-Average Remaining Contractual Term | 7 years 11 months 23 days |
Aggregate Intrinsic Value | $ | $ 44 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock Awards Activity (Details) - Restricted Stock And Restricted Stock Units $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 31, 2023 USD ($) $ / shares shares | |
Number of Restricted Stock | |
Unvested Beginning Balance (in shares) | shares | 2,297,745 |
Granted - restricted stock awards and units (in shares) | shares | 1,209,648 |
Vested and converted to shares (in shares) | shares | (304,224) |
Forfeited (in shares) | shares | (313,254) |
Unvested Ending Balance (in shares) | shares | 2,889,915 |
Weighted-Average Grant Date Fair Value | |
Unvested Beginning Balance (in dollars per share) | $ / shares | $ 9.18 |
Granted - restricted stock awards and units (in dollars per share) | $ / shares | 2.08 |
Vested and converted to shares (in dollars per share) | $ / shares | 12.83 |
Forfeited (in dollars per share) | $ / shares | 6.24 |
Unvested Ending Balance (in dollars per share) | $ / shares | $ 6.15 |
Restricted Stock Awards, Additional Disclosures | |
Weighted-Average Remaining Vesting Life | 1 year 11 months 4 days |
Aggregate Intrinsic Value | $ | $ 4,219 |
Stock-Based Compensation - Re_2
Stock-Based Compensation - Restricted Stock Awards (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 6,607 | $ 7,788 |
Research and development expenses | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | 3,112 | 3,804 |
General and administrative expenses | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 3,495 | $ 3,984 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | ||
Income tax expense | $ 0 | $ 0 |
Net Loss Per Share (Details)
Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Earnings Per Share [Abstract] | ||
Net loss | $ (26,238) | $ (36,263) |
Weighted-average shares of common stock, basic (in shares) | 57,147,253 | 55,839,336 |
Weighted-average shares of common stock, diluted (in shares) | 57,147,253 | 55,839,336 |
Net loss per share, basic (in dollars per share) | $ (0.46) | $ (0.65) |
Net loss per share, diluted (in dollars per share) | $ (0.46) | $ (0.65) |
Net Loss Per Share - Antidiluti
Net Loss Per Share - Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 13,219,396 | 9,962,346 |
Stock 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, amount (in shares) | 9,031,255 | 7,539,416 |
Early exercised stock options subject to future vesting | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 222,232 | 578,662 |
Restricted stock awards subject to future vesting | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 45,725 | 80,016 |
Restricted stock units subject to future vesting | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 2,844,190 | 1,383,752 |
Expected shares to be purchased under Employee Stock Purchase Plan | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 1,075,994 | 380,500 |
Commitment and Contingencies -
Commitment and Contingencies - Narrative (Details) - Tempus Labs, Inc. $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended |
Oct. 31, 2021 USD ($) service | Mar. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Schedule Of Asset Acquisition [Line Items] | |||
Payments to purchase obligation | $ 2.5 | $ 1.1 | |
Research And Development Services | |||
Schedule Of Asset Acquisition [Line Items] | |||
Services contract term | 3 years | ||
Number of primary services | service | 3 | ||
Annual minimum commitment payment in year one | $ 1.5 | ||
Annual minimum commitment payment in year two | 2 | ||
Annual minimum commitment payment in year three | 2.5 | ||
Sales milestone payment | $ 22.4 | ||
Sales milestone payment in shares of common stock, percent threshold | 50% |
Leases - Additional Information
Leases - Additional Information (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | ||||
Feb. 28, 2021 USD ($) ft² | Mar. 31, 2020 USD ($) ft² | Mar. 31, 2023 USD ($) | Mar. 31, 2022 USD ($) | Dec. 31, 2022 USD ($) | ||
Lessee, Lease, Description [Line Items] | ||||||
Operating lease right-of-use assets | $ 24,123 | $ 24,707 | [1] | |||
Lease liabilities | 30,977 | 31,091 | ||||
Lease payments | 900 | $ 1,000 | ||||
301 Binney Street, Cambridge, Massachusetts | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Lease term | 11 years | |||||
Facility size | ft² | 40,514 | |||||
Initial annual base rent | $ 4,100 | |||||
Escalating rent payments, percent | 3% | |||||
Letter of credit | $ 2,000 | |||||
Tenant improvement allowances | $ 3,700 | |||||
Improvement costs incurred, reimbursed by lessor | 3,700 | |||||
Operating lease right-of-use assets | 21,500 | 21,900 | ||||
Lease liabilities | $ 27,500 | 28,000 | ||||
Remaining lease term | 7 years 11 months | |||||
Incremental borrowing rate | 8.50% | |||||
San Mateo, California. February 2021 Lease Agreement | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Facility size | ft² | 17,340 | |||||
Initial annual base rent | $ 1,200 | |||||
Escalating rent payments, percent | 3% | |||||
Operating lease right-of-use assets | $ 2,600 | 2,800 | ||||
Lease liabilities | $ 3,500 | $ 3,700 | ||||
Remaining lease term | 3 years 3 months | |||||
Incremental borrowing rate | 11.18% | |||||
Security deposit | $ 59 | |||||
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information - Operating Leases (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 | |
Assets: | |||
Operating lease assets | $ 24,123 | $ 24,707 | [1] |
Liabilities: | |||
Current portion of operating lease liabilities | 3,032 | 2,347 | [1] |
Noncurrent operating lease liabilities | 27,945 | 28,744 | [1] |
Total operating lease liabilities | $ 30,977 | $ 31,091 | |
[1]The balance sheet as of December 31, 2022 is derived from the audited financial statements as of that date. |
Leases - Summary of Lease Costs
Leases - Summary of Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Lessee, Lease, Description [Line Items] | ||
Operating lease cost | $ 1,278 | $ 1,278 |
Research and development expenses | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease cost | 767 | 767 |
General and administrative | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease cost | $ 511 | $ 511 |
Leases - Schedule of Maturities
Leases - Schedule of Maturities on Lease Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
2023 | $ 4,211 | |
2024 | 5,749 | |
2025 | 1,327 | |
2026 | 5,405 | |
2027 and thereafter | 21,298 | |
Total undiscounted lease payments | 37,990 | |
Less: Present value adjustment | (7,013) | |
Present value of operating lease liabilities | $ 30,977 | $ 31,091 |
Related Parties (Details)
Related Parties (Details) - Affiliated Entity - USD ($) | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Two River Consulting, LLC | ||
Related Party Transaction [Line Items] | ||
Expenses from transaction with related party | $ 24,030 | $ 23,000 |
Bellco Capital, LLC | ||
Related Party Transaction [Line Items] | ||
Expenses from transaction with related party | $ 6,300 | $ 6,300 |
Collaboration and License Agr_2
Collaboration and License Agreement (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jan. 06, 2023 | Mar. 31, 2023 | Mar. 31, 2022 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Revenue | $ 1,221 | $ 0 | |
Genentech, Inc. | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Collaboration and license agreement, termination notice period, prior written notice | 60 days | ||
Collaboration and license agreement, termination notice period, uncured material breach | 90 days | ||
Collaboration and license agreement, termination notice period, uncured material breach, nonpayment | 45 days | ||
Genentech, Inc. | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Expected timing of satisfaction, extension period | 6 months | ||
Genentech, Inc. | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-07 | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Expected timing of satisfaction, period | 24 months | ||
Genentech, Inc. | License | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Upfront payment | $ 20,000 | $ 18,800 | |
Maximum aggregate milestone payments | 177,000 | ||
Maximum aggregate milestone payments from net sales | $ 100,000 |