Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 01, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | ATRS | |
Security Exchange Name | NASDAQ | |
Entity Registrant Name | ANTARES PHARMA, INC. | |
Entity Central Index Key | 0001016169 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Entity Common Stock, Shares Outstanding | 169,967,638 | |
Entity Shell Company | false | |
Entity Current Reporting Status | Yes | |
Entity File Number | 1-32302 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 41-1350192 | |
Entity Address, Address Line One | 100 Princeton South | |
Entity Address, Address Line Two | Suite 300 | |
Entity Address, City or Town | Ewing | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 08628 | |
City Area Code | 609 | |
Local Phone Number | 359-3020 | |
Entity Interactive Data Current | Yes | |
Document Quarterly Report | true | |
Document Transition Report | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Current Assets: | ||
Cash and cash equivalents | $ 45,126 | $ 53,137 |
Accounts receivable | 54,224 | 42,221 |
Inventories | 18,644 | 18,216 |
Contract assets | 5,725 | 8,140 |
Prepaid expenses and other current assets | 4,244 | 4,877 |
Total current assets | 127,963 | 126,591 |
Deferred tax assets, net | 45,249 | 46,982 |
Property and equipment, net | 25,590 | 24,020 |
Operating lease right-of-use assets | 4,014 | 4,621 |
Intangibles, net | 7,280 | 7,693 |
Other assets | 2,523 | 2,624 |
Total Assets | 212,619 | 212,531 |
Current Liabilities: | ||
Accounts payable | 15,797 | 16,194 |
Accrued expenses and other liabilities | 29,655 | 25,635 |
Long-term debt, current portion | 22,813 | 16,230 |
Operating lease liabilities, current portion | 1,035 | 1,203 |
Deferred revenue | 2,675 | 3,943 |
Total current liabilities | 71,975 | 63,205 |
Long-term debt | 3,338 | 24,669 |
Operating lease liabilities, long-term | 4,552 | 4,816 |
Other long-term liabilities | 726 | 726 |
Total liabilities | 80,591 | 93,416 |
Stockholders’ Equity: | ||
Preferred Stock: $0.01 par; 3,000 shares authorized, none outstanding | ||
Common Stock: $0.01 par; 300,000 shares authorized; 169,584 and 166,836 issued and outstanding at June 30, 2021 and December 31, 2020, respectively | 1,696 | 1,668 |
Additional paid-in capital | 345,431 | 340,756 |
Accumulated deficit | (214,413) | (222,626) |
Accumulated other comprehensive loss | (686) | (683) |
Total Stockholders' Equity | 132,028 | 119,115 |
Total Liabilities and Stockholders’ Equity | $ 212,619 | $ 212,531 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Jun. 30, 2021 | Dec. 31, 2020 |
Statement Of Financial Position [Abstract] | ||
Preferred Stock, par value | $ 0.01 | $ 0.01 |
Preferred Stock, shares authorized | 3,000,000 | 3,000,000 |
Preferred Stock, shares outstanding | 0 | 0 |
Common Stock, par value | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 300,000,000 | 300,000,000 |
Common Stock, shares issued | 169,584,000 | 166,836,000 |
Common Stock, shares outstanding | 169,584,000 | 166,836,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue: | ||||
Total revenue | $ 44,978 | $ 32,384 | $ 87,061 | $ 65,463 |
Operating expenses: | ||||
Research and development | 4,047 | 2,417 | 6,687 | 5,398 |
Selling, general and administrative | 17,704 | 14,448 | 35,311 | 30,870 |
Total operating expenses | 38,191 | 29,342 | 74,883 | 63,792 |
Operating income | 6,787 | 3,042 | 12,178 | 1,671 |
Other income (expense): | ||||
Interest expense | (1,135) | (967) | (2,097) | (2,028) |
Other, net | (89) | 100 | (135) | 176 |
Total other expense, net | (1,224) | (867) | (2,232) | (1,852) |
Net income (loss) before income taxes | 5,563 | 2,175 | 9,946 | (181) |
Income tax expense | (1,143) | (1,733) | ||
Net income (loss) | $ 4,420 | $ 2,175 | $ 8,213 | $ (181) |
Net income (loss) per common share, basic | $ 0.03 | $ 0.01 | $ 0.05 | $ 0 |
Net income (loss) per common share, diluted | $ 0.03 | $ 0.01 | $ 0.05 | $ 0 |
Weighted average common shares outstanding: | ||||
Basic | 169,043 | 165,703 | 168,436 | 165,566 |
Diluted | 174,813 | 169,228 | 174,851 | 165,566 |
Product sales [Member] | ||||
Revenue: | ||||
Total revenue | $ 27,904 | $ 24,665 | $ 57,039 | $ 51,762 |
Operating expenses: | ||||
Total cost of revenue | 11,630 | 10,927 | 24,128 | 24,941 |
Licensing and Development Revenue [Member] | ||||
Revenue: | ||||
Total revenue | 7,167 | 2,687 | 12,151 | 4,442 |
Royalties [Member] | ||||
Revenue: | ||||
Total revenue | 9,907 | 5,032 | 17,871 | 9,259 |
Cost of development revenue [Member] | ||||
Operating expenses: | ||||
Total cost of revenue | $ 4,810 | $ 1,550 | $ 8,757 | $ 2,583 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 4,420 | $ 2,175 | $ 8,213 | $ (181) |
Foreign currency translation adjustment | 7 | 4 | (3) | 6 |
Comprehensive income (loss) | $ 4,427 | $ 2,179 | $ 8,210 | $ (175) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] |
Balance at Dec. 31, 2019 | $ 54,500 | $ 1,652 | $ 332,377 | $ (278,827) | $ (702) |
Balance, shares at Dec. 31, 2019 | 165,221,000 | ||||
Common stock issued under equity compensation plan, net of shares withheld for taxes | (1,350) | $ 7 | (1,357) | ||
Common stock issued under equity compensation plan, net of shares withheld for taxes, shares | 669,000 | ||||
Exercise of options | 389 | $ 2 | 387 | ||
Exercise of options, shares | 195,000 | ||||
Share-based compensation | 3,965 | 3,965 | |||
Net income (loss) | (181) | (181) | |||
Other comprehensive income (loss) | 6 | 6 | |||
Balance at Jun. 30, 2020 | 57,329 | $ 1,661 | 335,372 | (279,008) | (696) |
Balance, shares at Jun. 30, 2020 | 166,085,000 | ||||
Balance at Mar. 31, 2020 | 53,798 | $ 1,656 | 334,025 | (281,183) | (700) |
Balance, shares at Mar. 31, 2020 | 165,560,000 | ||||
Common stock issued under equity compensation plan, net of shares withheld for taxes | (753) | $ 4 | (757) | ||
Common stock issued under equity compensation plan, net of shares withheld for taxes, shares | 451,000 | ||||
Exercise of options | 118 | $ 1 | 117 | ||
Exercise of options, shares | 74,000 | ||||
Share-based compensation | 1,987 | 1,987 | |||
Net income (loss) | 2,175 | 2,175 | |||
Other comprehensive income (loss) | 4 | 4 | |||
Balance at Jun. 30, 2020 | 57,329 | $ 1,661 | 335,372 | (279,008) | (696) |
Balance, shares at Jun. 30, 2020 | 166,085,000 | ||||
Balance at Dec. 31, 2020 | 119,115 | $ 1,668 | 340,756 | (222,626) | (683) |
Balance, shares at Dec. 31, 2020 | 166,836,000 | ||||
Common stock issued under equity compensation plan, net of shares withheld for taxes | (2,841) | $ 10 | (2,851) | ||
Common stock issued under equity compensation plan, net of shares withheld for taxes, shares | 942,000 | ||||
Exercise of options | 3,878 | $ 18 | 3,860 | ||
Exercise of options, shares | 1,806,000 | ||||
Share-based compensation | 3,666 | 3,666 | |||
Net income (loss) | 8,213 | 8,213 | |||
Other comprehensive income (loss) | (3) | (3) | |||
Balance at Jun. 30, 2021 | 132,028 | $ 1,696 | 345,431 | (214,413) | (686) |
Balance, shares at Jun. 30, 2021 | 169,584,000 | ||||
Balance at Mar. 31, 2021 | 126,225 | $ 1,688 | 344,063 | (218,833) | (693) |
Balance, shares at Mar. 31, 2021 | 168,798,000 | ||||
Common stock issued under equity compensation plan, net of shares withheld for taxes | (1,223) | $ 5 | (1,228) | ||
Common stock issued under equity compensation plan, net of shares withheld for taxes, shares | 525,000 | ||||
Exercise of options | 538 | $ 3 | 535 | ||
Exercise of options, shares | 261,000 | ||||
Share-based compensation | 2,061 | 2,061 | |||
Net income (loss) | 4,420 | 4,420 | |||
Other comprehensive income (loss) | 7 | 7 | |||
Balance at Jun. 30, 2021 | $ 132,028 | $ 1,696 | $ 345,431 | $ (214,413) | $ (686) |
Balance, shares at Jun. 30, 2021 | 169,584,000 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 8,213 | $ (181) |
Adjustments to reconcile net income (loss) to cash provided by operating activities: | ||
Stock-based compensation expense | 3,666 | 3,965 |
Depreciation and amortization | 1,815 | 1,132 |
Other | 353 | 519 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (12,007) | 785 |
Inventories | (427) | (3,605) |
Contract assets | 2,415 | 1,222 |
Prepaid expenses and other assets | 633 | (106) |
Deferred taxes | 1,733 | |
Accounts payable | (960) | 3,680 |
Accrued expenses and other liabilities | 4,242 | 1,247 |
Deferred revenue | (1,265) | 603 |
Net cash provided by operating activities | 8,411 | 9,261 |
Cash flows from investing activities: | ||
Purchases of property and equipment | (2,457) | (2,444) |
Proceeds from maturities of investment securities | 14,500 | |
Net cash provided by (used in) investing activities | (2,457) | 12,056 |
Cash flows from financing activities: | ||
Principal payments on long-term debt | (15,000) | |
Proceeds from exercise of stock options | 3,878 | 389 |
Taxes paid related to net share settlement of equity awards | (2,841) | (1,350) |
Net cash used in financing activities | (13,963) | (961) |
Effect of exchange rate changes on cash | (2) | 1 |
Net increase (decrease) in cash and cash equivalents | (8,011) | 20,357 |
Cash and cash equivalents: | ||
Beginning of period | 53,137 | 23,201 |
End of period | 45,126 | 43,558 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 1,719 | 1,810 |
Supplemental disclosure of non-cash investing activities: | ||
Purchases of property and equipment recorded in accounts payable and accrued expenses | $ 2,534 | $ 3,334 |
Description of Business
Description of Business | 6 Months Ended |
Jun. 30, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Description of Business | 1. Description of Business Antares Pharma, Inc. (“Antares,” “we,” “our,” “us” or the “Company”) is a specialty pharmaceutical company focused primarily on the development and commercialization of pharmaceutical products and technologies in targeted therapeutic areas. We develop, manufacture and commercialize, for ourselves or with partners, novel therapeutic products using our advanced drug delivery systems that are designed to provide commercial or functional advantages, such as improved safety and efficacy, convenience, improved tolerability, and enhanced patient comfort and adherence. We also seek product opportunities that complement and leverage our commercial platform. We have a portfolio of proprietary and partnered commercial products and ongoing product development programs in various stages of development. We have formed significant strategic alliances and partnership arrangements with industry leading pharmaceutical companies including Teva Pharmaceutical Industries, Ltd. (“Teva”), AMAG Pharmaceuticals, Inc. (“AMAG”), Pfizer Inc. (“Pfizer”) and Idorsia Pharmaceuticals Ltd (“Idorsia”). Our marketed proprietary products include: • XYOSTED ® • OTREXUP ® • NOCDURNA ® The Company is also party to various partnered product development and supply arrangements: • We developed and are the exclusive supplier of devices for Teva’s Epinephrine Injection USP products, the generic equivalent of EpiPen ® ® • Through our commercialization partner Teva, we sell Sumatriptan Injection USP, a generic equivalent to the Imitrex ® ® • In collaboration with AMAG, we developed a subcutaneous auto injector and are the exclusive supplier of devices and the final assembled and packaged commercial product of AMAG’s Makena ® • We developed and are the exclusive supplier of devices for Teva’s generic equivalent of Forsteo ® The Company is also developing two multi-dose pen injector products in collaboration with Teva, a combination drug device rescue pen in collaboration with Pfizer, a combination drug device product with Idorsia, and advancing other internal research and development programs. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the U.S. for interim financial information and with the instructions to Form 10-Q and Article 10 of the Securities and Exchange Commission's Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the U.S. for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The accompanying condensed consolidated financial statements and notes thereto should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. Operating results for the three and six months ended June 30, 2021 are not necessarily indicative of the results that may be expected for the year ending December 31 , 2021 . Reclassifications Certain reclassifications have been made to prior year amounts to conform with the current year presentation. Beginning as of and for the year ended December 31, 2020, the cost of product sales and the cost of development revenue are being classified under the heading Operating expenses in the accompanying consolidated statement of operations, and the corresponding prior period amounts have been reclassified to conform to this presentation. The reclassifications have no impact on the Company’s operating income (loss) or net income (loss) as previously reported . Cash and Cash Equivalents Cash and cash equivalents consist of demand deposits at commercial banks and highly liquid investments with an original maturity of three months or less. Cash equivalents, consisting of investments in money market funds, are remeasured and reported at fair value each reporting period, in accordance with ASC Topic 820, Fair Value Measurements Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined on a first-in, first-out basis. Certain components of the Company’s products are provided by a limited number of vendors, and the Company’s production, assembly, warehousing and distribution operations are outsourced to third-parties where substantially all of the Company’s inventory is located. Disruption of supply from key vendors or third-party suppliers may have a material adverse impact on the Company’s operations. Property and Equipment Property and equipment are stated at cost and depreciated using the straight-line method over their estimated useful lives as follows: Useful Life Computer equipment and software 3-5 Years Furniture, fixtures and office equipment 5-7 years Production molds, tooling and equipment 3-10 years Leasehold improvements Lesser of useful life or lease term Expenditures, including interest costs, for assets under construction that are not yet ready for their intended use are capitalized and will be depreciated based on the above guidelines when placed in service. Revenue Recognition The Company generates revenue from proprietary and partnered product sales, license and development activities and royalty arrangements. Revenue is recognized when or as the Company transfers control of the promised goods or services to its customers at the transaction price, which is the amount that reflects the consideration to which it expects to be entitled to in exchange for those goods or services. At inception of each contract, the Company identifies the goods and services that have been promised to the customer and each of those that represent a distinct performance obligation, determines the transaction price including any variable consideration, allocates the transaction price to the distinct performance obligations and determines whether control transfers to the customer at a point in time or over time. Variable consideration is 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 when the uncertainty associated with the variable consideration is subsequently resolved. The Company reassesses its reserves for variable consideration at each reporting date and makes adjustments if necessary, The Company has elected to recognize the cost for freight and shipping activities as fulfilment cost. Amounts billed to customers for shipping and handling are included as part of the transaction price and recognized as revenue when control of underlying goods are transferred to the customer. The related shipping and freight charges incurred by the Company are included in cost of product sales . Proprietary Product Sales The Company sells its proprietary commercial products primarily to wholesale and specialty distributors. Revenue is recognized when control has transferred to the customer, which is typically upon delivery, at the net selling price, which reflects the variable consideration for which reserves and sales allowances are established for estimated returns, wholesale distribution fees, prompt payment discounts, government rebates and chargebacks, plan rebate arrangements and patient discount and support programs. The determination of certain of these reserves and sales allowances require management to make a number of judgements and estimates to reflect the Company’s best estimate of the transaction price and the amount of consideration to which it believes it is ultimately entitled to receive. The expected value is determined based on unit sales data, contractual terms with customers and third-party payers, historical and expected utilization rates, any new or anticipated changes in programs or regulations that would impact the amount of the actual rebates, customer purchasing patterns, product expiration dates and levels of inventory in the distribution channel. Reserves for prompt payment discounts are recorded as a reduction in accounts receivable. Reserves for returns, rebates and chargebacks, distributor fees and customer co-pay support programs are included within current liabilities in the consolidated balance sheets. Partnered Product Sales The Company is party to several license, development, supply and distribution arrangements with pharmaceutical partners, under which the Company produces and is the exclusive supplier of certain products, devices and/or components. Revenue is recognized when or as control of the goods transfers to the customer as follows: The Company is the exclusive supplier of the Makena ® All other partnered product sales are recognized at the point in time in which control is transferred to the customer, which is typically upon shipment. Sales terms and pricing are governed by the respective supply and distribution agreements, and there is generally no right of return. Revenue is recognized at the transaction price, which includes the contractual per unit selling price and estimated variable consideration, such as volume-based pricing arrangements or profit sharing arrangements, if any. The Company recognizes revenue, including the estimated variable consideration it expects to receive for contract margin on future commercial sales, upon shipment of the goods to the Company’s partner. The estimated variable consideration is recognized at an amount the Company believes is not subject to significant reversal based on historical experience, and is adjusted at each reporting period if the most likely amount of expected consideration changes or becomes fixed. Licensing and Development Revenue The Company has entered into several license, development and supply arrangements with pharmaceutical partners under which the Company grants a license to its device technology and know-how and provides research and development services that often involve multiple performance obligations and highly customized deliverables. For such arrangements, the Company identifies each of the promised goods and services within the contract and the distinct performance obligations at inception, and allocates consideration to each performance obligation based on relative standalone selling price, which is generally determined based on the expected cost plus margin. If the contract includes an enforceable right to payment for performance completed to date and performance obligations are satisfied over time, the Company recognize s revenue over the development period using either the input or output method depending on which is most appropriate given the nature of the distinct deliverable. For other contracts that do not contain an enforceable right to payment for performance completed to date, revenue is recognized when control is transferred to the customer. Factors that may indicate that the transfer of control has occurred include the transfer of legal title, transfer of physical possession, the customer has obtained the significant risks and rewards of ownership of the assets and the Company has a present right to payment. The Company’s typical payment terms for development contracts may include an upfront payment equal to a percentage of the total contract value with the remaining portion to be billed upon completion and transfer of the individual deliverables or satisfaction of the individual performance obligations. The Company records a contract liability for cash received in advance of performance, which is presented within deferred revenue on the consolidated balance sheet and recognized as revenue when the associated performance obligations have been satisfied. The Company recognized $2,776 in licensing and development revenue in connection with contract liabilities that were outstanding as of December 31, 2020 and satisfied during the six months ended June 30, 2021. License fees and milestones received in exchange for the grant of a license to the Company’s functional intellectual property such as patented technology and know-how in connection with a partnered development arrangement are generally recognized at inception of the arrangement, or over the development period depending on the facts and circumstances, as the license is not generally distinct from the non-licensed goods or services to be provided under the contract. Milestone payments that are contingent upon the occurrence of future events are evaluated and recorded at the most likely amount, and to the extent that it is probable that a significant reversal will not occur when the associated uncertainty is resolved. Royalties The Company earns royalties in connection with licenses granted under license and development arrangements with partners. Royalties are based upon a percentage of commercial sales of partnered products with rates ranging from mid-single digit to low double digit and are tiered based on levels of net sales. These sales-based royalties, for which the license was deemed the predominant element to which the royalties relate, are estimated and recognized in the period in which the partners’ commercial sales occur. The royalties are generally reported and payable to the Company within 45 to 60 days of the end of the period in which the commercial sales are made. The Company bases its estimates of royalties earned on actual sales information from its partners when available or estimated prescription sales from external sources and estimated net selling price. If actual royalties received are different than amounts estimated, the Company would adjust the royalty revenue in the period in which the adjustment becomes known. Remaining Performance Obligations Remaining performance obligations represents the allocation of transaction price of firm orders and development contract deliverables for which work has not been completed or orders fulfilled, and excludes potential purchase orders under ordering-type supply contracts with indefinite delivery or quantity. As of June 30, 2021, the aggregate value of remaining performance obligations, excluding contracts with an original expected length of one year or less, was $14,409. The Company expects to recognize revenue on the remaining performance obligations over the next three years. |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2021 | |
Inventory Disclosure [Abstract] | |
Inventories | 3. Inventories Inventories consisted of the following: June 30, December 31, 2021 2020 Raw material $ 325 $ 325 Work in process 7,660 7,120 Finished goods 10,659 10,771 $ 18,644 $ 18,216 The Company provides a reserve for potentially excess, dated or obsolete inventories based on an analysis of inventory on hand compared to forecasts of future sales, which was $777 and $619 at June 30, 2021 and December 31, 2020, respectively. |
Property and Equipment
Property and Equipment | 6 Months Ended |
Jun. 30, 2021 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | 4. Property and Equipment The Company’s property and equipment consisted of the following: June 30, December 31, 2021 2020 Production molds, tooling and equipment $ 21,020 $ 20,260 Leasehold improvements 7,321 6,298 Furniture, fixtures and office equipment 877 865 Computer equipment and software 1,071 756 Construction and tooling in process 7,018 6,214 Less: accumulated depreciation (11,717 ) (10,373 ) $ 25,590 $ 24,020 |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | 5. Long-Term Debt In June 2017, the Company entered into a loan and security agreement (the “Loan Agreement”) with Hercules Capital, Inc. (the “Lender”), for a term loan of up to $35.0 million (the “Term Loan”), under which the Company initially borrowed $25.0 million (“Tranche I”.) The amortizing Term Loan is secured by substantially all of the Company’s assets, excluding intellectual property, accrues interest at a prime-based variable rate with a maximum of 9.5%, and initially provided for payments of interest-only until August 1, 2019 with a maturity date of July 1, 2022. In June 2019, the Company entered into a First Amendment (the “Amendment”) to the Loan Agreement, which increased the aggregate principal amount available under the Term Loan from $35.0 million to $50.0 million and extended the interest-only payment period of the Term Loan to August 1, 2021. Under the Amendment, the interest only period could be further extended to August 1, 2022 if the Company achieved a certain loan extension milestone, requested such extension by July 31, 2021, and paid an extension fee equal to one half of one percent of the principal amount outstanding. Upon signing of the Amendment, an additional $15.0 million (“Tranche II”) was funded to the Company. The Term Loan maturity date remained July 1, 2022, which could be extended to July 1, 2024. The Company is required to pay an end of term fee (“End of Term Charge”) equal to 4.25% of Tranche I and 3.95% of the borrowings under Tranche II, payable upon the earlier of July 1, 2022 or full repayment of the loan. The Loan Agreement also imposes a prepayment fee of 1.0% to 3.0% if any or all of the balance is prepaid prior to the maturity date. On June 30, 2021, the Company made a $15.0 million prepayment of principal and paid a 1.0% prepayment fee. The carrying value of the Term Loan was $26,151 and $40,899 as of June 30, 2021 and December 31, 2020, respectively, which consisted of the principal amounts outstanding and the End of Term Charge accrual, less unamortized debt issuance costs that are being amortized/accrued to interest expense over the term of the Term Loan using the effective interest method. As of June 30 2021, the future principal payments under the Term Loan consisted of $10,144 due in 2021 and $14,856 due in 2022, excluding the contractual End of Term Charges. In July 2021, having previously met the loan extension milestone, the Company requested that the interest-only period be extended to August 1, 2022 and the maturity date be extended to July 1, 2024 in accordance with the terms of the Amendment. The Lender granted the extension of the interest-only period and maturity date and waived the extension fee. |
Share Based Compensation
Share Based Compensation | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share Based Compensation | 6 . Share-Based Compensation The Company has an Equity Compensation Plan (the “Plan”), which allows for grants in the form of incentive stock options, nonqualified stock options, stock units, stock awards, stock appreciation rights, and other stock-based awards. The Plan was amended and restated in June 2021 to increase the total number of shares available for grant under the Plan by 10 million shares. The Company also has a long-term incentive program (“LTIP”), pursuant to which the Company’s senior executives have been awarded stock options, restricted stock units (“RSUs”) and performance stock units (“PSUs”). The following is a summary of stock option activity under the Plan as of and for the six months ended June 30, 2021: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Shares Price Term (Years) Value Outstanding at December 31, 2020 15,521 $ 2.49 Granted 2,572 4.40 Exercised (1,806 ) 2.15 Cancelled/Forfeited (195 ) 2.75 Outstanding at June 30, 2021 16,092 2.83 6.95 $ 24,824 Exercisable at June 30, 2021 11,094 $ 2.46 5.88 $ 21,060 The following is a summary of PSU and RSU award activity under the Plan as of and for the six months ended June 30, 2021: Performance Stock Units Restricted Stock Units Number of Shares Weighted Average Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Outstanding at December 31, 2020 1,641 $ 2.61 1,567 $ 2.77 Granted 243 5.55 769 4.42 Incremental shares earned 210 3.18 — — Vested/settled (766 ) 2.86 (832 ) 2.76 Outstanding at June 30, 2021 1,328 $ 3.04 1,504 $ 3.62 The LTIP awards that vested during the six months ended June 30, 2021 and 2020 were net-share settled such that the Company withheld shares with a value equivalent to the employees’ tax obligations for applicable income and other employment taxes, and remitted cash to the appropriate taxing authorities. The Company withheld 626 and 419 shares during the six months ended June 30, 2021 and 2020, respectively, to satisfy tax obligations, which was determined based on the fair value of the shares on their vesting date equal to the Company’s closing stock price on such date. The Company paid $2,841 and $1,350 during the six months ended June 30, 2021 and 2020, respectively, to taxing authorities for the employees’ tax obligations, which is reflected as a cash outflow from financing activities within the consolidated statements of cash flows. Net-share settlements have the effect of share repurchases by the Company as they reduce the number of shares that would have otherwise been issued as a result of the vesting. Members of the Company’s Board of Directors also receive grants of restricted stock units that vest in full one year from the date of grant. Directors may elect to defer receipt of vested shares until retirement or separation from the Board; 30 shares were vested and deferred during the six months ended June 30, 2021. In connection with Plan awards, the Company recognized share-based compensation expense for the three and six months ended June 30, 2021 and 2020 as follows: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Stock options $ 890 $ 875 $ 1,777 $ 1,756 Restricted stock units 607 525 1,172 1,082 Performance stock units 564 587 717 1,127 Total share-based compensation expense $ 2,061 $ 1,987 $ 3,666 $ 3,965 |
Revenues, Significant Customers
Revenues, Significant Customers and Concentrations of Risk | 6 Months Ended |
Jun. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Revenues, Significant Customers and Concentrations of Risk | 7 . Revenues, Significant Customers and Concentrations of Risk The following table presents the Company’s revenue on a disaggregated basis by types of goods and services and major product lines: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Proprietary product sales $ 18,953 $ 14,846 $ 37,685 $ 27,412 Partnered product sales 8,951 9,819 19,354 24,350 Total product revenue 27,904 24,665 57,039 51,762 Licensing and development revenue 7,167 2,687 12,151 4,442 Royalties 9,907 5,032 17,871 9,259 Total revenue $ 44,978 $ 32,384 $ 87,061 $ 65,463 Revenues disaggregated by customer location are as follows: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 United States of America $ 44,008 $ 31,798 $ 84,639 $ 64,268 Europe 970 586 2,422 1,195 $ 44,978 $ 32,384 $ 87,061 $ 65,463 The following table identifies customers from which the Company derived 10% or more of its total revenue in any of the periods presented: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Teva 44% 40% 43% 41% McKesson Corporation 12% 11% 12% 11% AmerisourceBergen Corporation 11% 13% 12% 13% Cardinal Health 11% 13% 11% 11% AMAG <10% <10% <10% 12% |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 8 . Income Taxes The Company’s gross unrecognized tax benefits as of June 30, 2021 was $2,127 and there were no material changes during the quarter and six months then ended. There are no interest or penalties accrued in relation to unrecognized tax benefits. The Company will classify any future interest and penalties as a component of income tax expense. The Company is subject to federal and state examinations for the years 2017 and thereafter |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings per Share | 9 . Earnings per Share Basic earnings or loss per common share is computed by dividing the net income or loss applicable to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted earnings per common share is computed in a similar manner, except that the weighted average number of shares outstanding is increased to reflect the potential dilution from the exercise or conversion of securities into common stock. Diluted earnings per share contemplate a complete conversion to common shares of all convertible instruments only if such instruments are dilutive in nature with respect to earnings per share. The following table sets forth the computation for basic and diluted net earnings (loss) per share for the three and six months ended June 30, 2021 and 2020: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Numerator Numerator for basic and diluted earnings (loss) per share $ 4,420 $ 2,175 $ 8,213 $ (181 ) Denominator Basic weighted average common shares outstanding 169,043 165,703 168,436 165,566 Dilutive effects of stock options and share-based awards issuable under equity compensation plans 5,770 3,525 6,415 — Diluted weighted average common shares outstanding 174,813 169,228 174,851 165,566 Computation of: Basic net earnings (loss) per share $ 0.03 $ 0.01 $ 0.05 $ (0.00 ) Diluted net earnings (loss) per share $ 0.03 $ 0.01 $ 0.05 $ (0.00 ) Anti-dilutive common stock equivalents (1) 849 6,361 530 5,145 (1) These common stock equivalents were outstanding for the period but were not included in the computation of diluted EPS for those periods as their inclusion would have had an anti-dilutive effect. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10 . Commitments and Contingencies Pending Litigation From time to time, the Company may be involved in various legal matters generally incidental to its business. Although the results of litigation and claims cannot be predicted with certainty, after discussion with legal counsel, management is not aware of any matters for which the likelihood of a loss is probable and reasonably estimable and which could have a material impact on its consolidated financial condition, liquidity, or results of operations. On October 23, 2017, Randy Smith filed a complaint in the District of New Jersey, captioned Randy Smith, Individually and on Behalf of All Others Similarly Situated v. Antares Pharma, Inc., Robert F. Apple and Fred M. Powell Smith ® ® Second Amended Class Action Complaint in its entirety. The court further ordered that plaintiff may file an amended complaint by May 29, 2020 and provide the court with a form of the amended complaint that indicates in what respect(s) it differs from the complaint which it proposes to amend. On May 29, 2020, plaintiff filed a Consolidated Third Amended Class Action Complaint and defendants filed a motion to dismiss on July 10, 2020. Briefing on defendants’ motion was complete on August 25, 2020. On February 26, 2021, the court granted defendants’ motion to dismiss with prejudice , and on March 29, 2021 the plaintiff file d a notice of appeal . On June 21, 2021, plaintiff-appellant filed his opening brief. Defendants-appellees’ response brief is due on August 4, 2021 and plaintiff-appellant’s reply is due on August 25, 2021. The Company believes that the claims in the Smith action lack merit and intends to continue to defend them vigorously. On January 12, 2018, a stockholder of the Company filed a derivative civil action, captioned Chiru Mackert, derivatively on behalf of Antares Pharma, Inc., v. Robert F. Apple, et al. Vikram Rao, Derivatively on Behalf of Antares Pharma, Inc. v. Robert F. Apple, et al. Smith Smith Smith On January 17, 2018, a stockholder of the Company filed a derivative civil action, captioned Robert Clark, Derivatively on Behalf of Antares Pharma, Inc. v. Robert F. Apple, et al. Clark Smith Clark Smith Smith Smith |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) in the U.S. for interim financial information and with the instructions to Form 10-Q and Article 10 of the Securities and Exchange Commission's Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the U.S. for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The accompanying condensed consolidated financial statements and notes thereto should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. Operating results for the three and six months ended June 30, 2021 are not necessarily indicative of the results that may be expected for the year ending December 31 , 2021 . |
Reclassifications | Reclassifications Certain reclassifications have been made to prior year amounts to conform with the current year presentation. Beginning as of and for the year ended December 31, 2020, the cost of product sales and the cost of development revenue are being classified under the heading Operating expenses in the accompanying consolidated statement of operations, and the corresponding prior period amounts have been reclassified to conform to this presentation. The reclassifications have no impact on the Company’s operating income (loss) or net income (loss) as previously reported . |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of demand deposits at commercial banks and highly liquid investments with an original maturity of three months or less. Cash equivalents, consisting of investments in money market funds, are remeasured and reported at fair value each reporting period, in accordance with ASC Topic 820, Fair Value Measurements |
Inventories | Inventories Inventories are stated at the lower of cost or net realizable value. Cost is determined on a first-in, first-out basis. Certain components of the Company’s products are provided by a limited number of vendors, and the Company’s production, assembly, warehousing and distribution operations are outsourced to third-parties where substantially all of the Company’s inventory is located. Disruption of supply from key vendors or third-party suppliers may have a material adverse impact on the Company’s operations. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost and depreciated using the straight-line method over their estimated useful lives as follows: Useful Life Computer equipment and software 3-5 Years Furniture, fixtures and office equipment 5-7 years Production molds, tooling and equipment 3-10 years Leasehold improvements Lesser of useful life or lease term Expenditures, including interest costs, for assets under construction that are not yet ready for their intended use are capitalized and will be depreciated based on the above guidelines when placed in service. |
Revenue Recognition | Revenue Recognition The Company generates revenue from proprietary and partnered product sales, license and development activities and royalty arrangements. Revenue is recognized when or as the Company transfers control of the promised goods or services to its customers at the transaction price, which is the amount that reflects the consideration to which it expects to be entitled to in exchange for those goods or services. At inception of each contract, the Company identifies the goods and services that have been promised to the customer and each of those that represent a distinct performance obligation, determines the transaction price including any variable consideration, allocates the transaction price to the distinct performance obligations and determines whether control transfers to the customer at a point in time or over time. Variable consideration is 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 when the uncertainty associated with the variable consideration is subsequently resolved. The Company reassesses its reserves for variable consideration at each reporting date and makes adjustments if necessary, The Company has elected to recognize the cost for freight and shipping activities as fulfilment cost. Amounts billed to customers for shipping and handling are included as part of the transaction price and recognized as revenue when control of underlying goods are transferred to the customer. The related shipping and freight charges incurred by the Company are included in cost of product sales . Proprietary Product Sales The Company sells its proprietary commercial products primarily to wholesale and specialty distributors. Revenue is recognized when control has transferred to the customer, which is typically upon delivery, at the net selling price, which reflects the variable consideration for which reserves and sales allowances are established for estimated returns, wholesale distribution fees, prompt payment discounts, government rebates and chargebacks, plan rebate arrangements and patient discount and support programs. The determination of certain of these reserves and sales allowances require management to make a number of judgements and estimates to reflect the Company’s best estimate of the transaction price and the amount of consideration to which it believes it is ultimately entitled to receive. The expected value is determined based on unit sales data, contractual terms with customers and third-party payers, historical and expected utilization rates, any new or anticipated changes in programs or regulations that would impact the amount of the actual rebates, customer purchasing patterns, product expiration dates and levels of inventory in the distribution channel. Reserves for prompt payment discounts are recorded as a reduction in accounts receivable. Reserves for returns, rebates and chargebacks, distributor fees and customer co-pay support programs are included within current liabilities in the consolidated balance sheets. Partnered Product Sales The Company is party to several license, development, supply and distribution arrangements with pharmaceutical partners, under which the Company produces and is the exclusive supplier of certain products, devices and/or components. Revenue is recognized when or as control of the goods transfers to the customer as follows: The Company is the exclusive supplier of the Makena ® All other partnered product sales are recognized at the point in time in which control is transferred to the customer, which is typically upon shipment. Sales terms and pricing are governed by the respective supply and distribution agreements, and there is generally no right of return. Revenue is recognized at the transaction price, which includes the contractual per unit selling price and estimated variable consideration, such as volume-based pricing arrangements or profit sharing arrangements, if any. The Company recognizes revenue, including the estimated variable consideration it expects to receive for contract margin on future commercial sales, upon shipment of the goods to the Company’s partner. The estimated variable consideration is recognized at an amount the Company believes is not subject to significant reversal based on historical experience, and is adjusted at each reporting period if the most likely amount of expected consideration changes or becomes fixed. Licensing and Development Revenue The Company has entered into several license, development and supply arrangements with pharmaceutical partners under which the Company grants a license to its device technology and know-how and provides research and development services that often involve multiple performance obligations and highly customized deliverables. For such arrangements, the Company identifies each of the promised goods and services within the contract and the distinct performance obligations at inception, and allocates consideration to each performance obligation based on relative standalone selling price, which is generally determined based on the expected cost plus margin. If the contract includes an enforceable right to payment for performance completed to date and performance obligations are satisfied over time, the Company recognize s revenue over the development period using either the input or output method depending on which is most appropriate given the nature of the distinct deliverable. For other contracts that do not contain an enforceable right to payment for performance completed to date, revenue is recognized when control is transferred to the customer. Factors that may indicate that the transfer of control has occurred include the transfer of legal title, transfer of physical possession, the customer has obtained the significant risks and rewards of ownership of the assets and the Company has a present right to payment. The Company’s typical payment terms for development contracts may include an upfront payment equal to a percentage of the total contract value with the remaining portion to be billed upon completion and transfer of the individual deliverables or satisfaction of the individual performance obligations. The Company records a contract liability for cash received in advance of performance, which is presented within deferred revenue on the consolidated balance sheet and recognized as revenue when the associated performance obligations have been satisfied. The Company recognized $2,776 in licensing and development revenue in connection with contract liabilities that were outstanding as of December 31, 2020 and satisfied during the six months ended June 30, 2021. License fees and milestones received in exchange for the grant of a license to the Company’s functional intellectual property such as patented technology and know-how in connection with a partnered development arrangement are generally recognized at inception of the arrangement, or over the development period depending on the facts and circumstances, as the license is not generally distinct from the non-licensed goods or services to be provided under the contract. Milestone payments that are contingent upon the occurrence of future events are evaluated and recorded at the most likely amount, and to the extent that it is probable that a significant reversal will not occur when the associated uncertainty is resolved. Royalties The Company earns royalties in connection with licenses granted under license and development arrangements with partners. Royalties are based upon a percentage of commercial sales of partnered products with rates ranging from mid-single digit to low double digit and are tiered based on levels of net sales. These sales-based royalties, for which the license was deemed the predominant element to which the royalties relate, are estimated and recognized in the period in which the partners’ commercial sales occur. The royalties are generally reported and payable to the Company within 45 to 60 days of the end of the period in which the commercial sales are made. The Company bases its estimates of royalties earned on actual sales information from its partners when available or estimated prescription sales from external sources and estimated net selling price. If actual royalties received are different than amounts estimated, the Company would adjust the royalty revenue in the period in which the adjustment becomes known. Remaining Performance Obligations Remaining performance obligations represents the allocation of transaction price of firm orders and development contract deliverables for which work has not been completed or orders fulfilled, and excludes potential purchase orders under ordering-type supply contracts with indefinite delivery or quantity. As of June 30, 2021, the aggregate value of remaining performance obligations, excluding contracts with an original expected length of one year or less, was $14,409. The Company expects to recognize revenue on the remaining performance obligations over the next three years. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Summary of Estimated Useful Lives of Property and Equipment | Property and equipment are stated at cost and depreciated using the straight-line method over their estimated useful lives as follows: Useful Life Computer equipment and software 3-5 Years Furniture, fixtures and office equipment 5-7 years Production molds, tooling and equipment 3-10 years Leasehold improvements Lesser of useful life or lease term The Company’s property and equipment consisted of the following: June 30, December 31, 2021 2020 Production molds, tooling and equipment $ 21,020 $ 20,260 Leasehold improvements 7,321 6,298 Furniture, fixtures and office equipment 877 865 Computer equipment and software 1,071 756 Construction and tooling in process 7,018 6,214 Less: accumulated depreciation (11,717 ) (10,373 ) $ 25,590 $ 24,020 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | Inventories consisted of the following: June 30, December 31, 2021 2020 Raw material $ 325 $ 325 Work in process 7,660 7,120 Finished goods 10,659 10,771 $ 18,644 $ 18,216 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Property Plant And Equipment [Abstract] | |
Summary of Estimated Useful Lives of Property and Equipment | Property and equipment are stated at cost and depreciated using the straight-line method over their estimated useful lives as follows: Useful Life Computer equipment and software 3-5 Years Furniture, fixtures and office equipment 5-7 years Production molds, tooling and equipment 3-10 years Leasehold improvements Lesser of useful life or lease term The Company’s property and equipment consisted of the following: June 30, December 31, 2021 2020 Production molds, tooling and equipment $ 21,020 $ 20,260 Leasehold improvements 7,321 6,298 Furniture, fixtures and office equipment 877 865 Computer equipment and software 1,071 756 Construction and tooling in process 7,018 6,214 Less: accumulated depreciation (11,717 ) (10,373 ) $ 25,590 $ 24,020 |
Share Based Compensation (Table
Share Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Option Activity | The following is a summary of stock option activity under the Plan as of and for the six months ended June 30, 2021: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Shares Price Term (Years) Value Outstanding at December 31, 2020 15,521 $ 2.49 Granted 2,572 4.40 Exercised (1,806 ) 2.15 Cancelled/Forfeited (195 ) 2.75 Outstanding at June 30, 2021 16,092 2.83 6.95 $ 24,824 Exercisable at June 30, 2021 11,094 $ 2.46 5.88 $ 21,060 |
Summary of PSU and RSU Award Activity Under Plan | The following is a summary of PSU and RSU award activity under the Plan as of and for the six months ended June 30, 2021: Performance Stock Units Restricted Stock Units Number of Shares Weighted Average Date Fair Value Number of Shares Weighted Average Grant Date Fair Value Outstanding at December 31, 2020 1,641 $ 2.61 1,567 $ 2.77 Granted 243 5.55 769 4.42 Incremental shares earned 210 3.18 — — Vested/settled (766 ) 2.86 (832 ) 2.76 Outstanding at June 30, 2021 1,328 $ 3.04 1,504 $ 3.62 |
Summary of Share Based Compensation Allocation Expense | In connection with Plan awards, the Company recognized share-based compensation expense for the three and six months ended June 30, 2021 and 2020 as follows: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Stock options $ 890 $ 875 $ 1,777 $ 1,756 Restricted stock units 607 525 1,172 1,082 Performance stock units 564 587 717 1,127 Total share-based compensation expense $ 2,061 $ 1,987 $ 3,666 $ 3,965 |
Revenues, Significant Custome_2
Revenues, Significant Customers and Concentrations of Risk (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Revenues Disaggregated by Types of Goods and Services and Major Product and Customer Location | The following table presents the Company’s revenue on a disaggregated basis by types of goods and services and major product lines: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Proprietary product sales $ 18,953 $ 14,846 $ 37,685 $ 27,412 Partnered product sales 8,951 9,819 19,354 24,350 Total product revenue 27,904 24,665 57,039 51,762 Licensing and development revenue 7,167 2,687 12,151 4,442 Royalties 9,907 5,032 17,871 9,259 Total revenue $ 44,978 $ 32,384 $ 87,061 $ 65,463 Revenues disaggregated by customer location are as follows: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 United States of America $ 44,008 $ 31,798 $ 84,639 $ 64,268 Europe 970 586 2,422 1,195 $ 44,978 $ 32,384 $ 87,061 $ 65,463 |
Summary of Significant Customers from which the Company Derived 10% or More of Total Revenue | The following table identifies customers from which the Company derived 10% or more of its total revenue in any of the periods presented: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Teva 44% 40% 43% 41% McKesson Corporation 12% 11% 12% 11% AmerisourceBergen Corporation 11% 13% 12% 13% Cardinal Health 11% 13% 11% 11% AMAG <10% <10% <10% 12% |
Earnings per Share (Tables)
Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Summary of Computation for Basic and Diluted Net Earnings (Loss) per Share | The following table sets forth the computation for basic and diluted net earnings (loss) per share for the three and six months ended June 30, 2021 and 2020: Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Numerator Numerator for basic and diluted earnings (loss) per share $ 4,420 $ 2,175 $ 8,213 $ (181 ) Denominator Basic weighted average common shares outstanding 169,043 165,703 168,436 165,566 Dilutive effects of stock options and share-based awards issuable under equity compensation plans 5,770 3,525 6,415 — Diluted weighted average common shares outstanding 174,813 169,228 174,851 165,566 Computation of: Basic net earnings (loss) per share $ 0.03 $ 0.01 $ 0.05 $ (0.00 ) Diluted net earnings (loss) per share $ 0.03 $ 0.01 $ 0.05 $ (0.00 ) Anti-dilutive common stock equivalents (1) 849 6,361 530 5,145 (1) These common stock equivalents were outstanding for the period but were not included in the computation of diluted EPS for those periods as their inclusion would have had an anti-dilutive effect. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Summary of Significant Accounting Policies [Line Items] | ||
Remaining performance obligations | $ 14,409 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Explanation | The Company expects to recognize revenue on the remaining performance obligations over the next three years. | |
Minimum [Member] | ||
Summary of Significant Accounting Policies [Line Items] | ||
Royalty payment period | 45 days | |
Maximum [Member] | ||
Summary of Significant Accounting Policies [Line Items] | ||
Royalty payment period | 60 days | |
Licensing and Development Revenue [Member] | ||
Summary of Significant Accounting Policies [Line Items] | ||
Revenue recognized | $ 2,776 | |
Level 1 Input [Member] | ||
Summary of Significant Accounting Policies [Line Items] | ||
Cash and cash equivalents, remeasured and reported at fair value | $ 36,140 | $ 36,133 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of Estimated Useful Lives of Property and Equipment (Details) | 6 Months Ended |
Jun. 30, 2021 | |
Computer Equipment and Software [Member] | Minimum [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Computer Equipment and Software [Member] | Maximum [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Furniture, Fixtures and Office Equipment [Member] | Minimum [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Furniture, Fixtures and Office Equipment [Member] | Maximum [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 7 years |
Production Molds, Tooling and Equipment [Member] | Minimum [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Production Molds, Tooling and Equipment [Member] | Maximum [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Leasehold Improvements [Member] | |
Property Plant And Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | Lesser of useful life or lease term |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Raw material | $ 325 | $ 325 |
Work in process | 7,660 | 7,120 |
Finished goods | 10,659 | 10,771 |
Inventory, Total | $ 18,644 | $ 18,216 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Inventory reserve | $ 777 | $ 619 |
Property and Equipment - Summar
Property and Equipment - Summary of Property and Equipment (Detail) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Property Plant And Equipment [Line Items] | ||
Less: accumulated depreciation | $ (11,717) | $ (10,373) |
Property and equipment, net | 25,590 | 24,020 |
Production Molds, Tooling and Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment | 21,020 | 20,260 |
Leasehold Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment | 7,321 | 6,298 |
Furniture, Fixtures and Office Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment | 877 | 865 |
Computer Equipment and Software [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment | 1,071 | 756 |
Construction and Tooling in Process [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment | $ 7,018 | $ 6,214 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) - USD ($) | 1 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2017 | Jun. 30, 2021 | Dec. 31, 2020 | May 30, 2019 | |
Debt Instrument [Line Items] | |||||
Carrying value of long term debt | $ 3,338,000 | $ 24,669,000 | |||
Hercules Capital, Inc [Member] | Loan Extension Milestone [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, payment terms | In July 2021, having previously met the loan extension milestone, the Company requested that the interest-only period be extended to August 1, 2022 and the maturity date be extended to July 1, 2024 in accordance with the terms of the Amendment. The Lender granted the extension of the interest-only period and maturity date and waived the extension fee. | ||||
Hercules Capital, Inc [Member] | Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt maturity date | Jul. 1, 2022 | ||||
Debt instrument, payment terms | initially provided for payments of interest-only until August 1, 2019 | ||||
Prepayment fee percentage on principal loan prepaid | 1.00% | ||||
Prepayment of principal | $ 15,000,000 | ||||
Carrying value of long term debt | 26,151,000 | $ 40,899,000 | |||
Future principal payments due in 2021 | 10,144,000 | ||||
Future principal payments due in 2022 | $ 14,856,000 | ||||
Hercules Capital, Inc [Member] | Term Loan [Member] | First Amendment [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term debt, face amount | $ 50,000,000 | $ 35,000,000 | |||
Debt instrument, payment terms | extended the interest-only payment period of the Term Loan to August 1, 2021. Under the Amendment, the interest only period could be further extended to August 1, 2022 if the Company achieved a certain loan extension milestone, requested such extension by July 31, 2021, and paid an extension fee equal to one half of one percent of the principal amount outstanding. | ||||
Hercules Capital, Inc [Member] | Tranche I Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term debt, borrowed amount | $ 25,000,000 | ||||
Percentage of loan fee on original principal amount | 4.25% | ||||
Hercules Capital, Inc [Member] | Tranche II [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of loan fee on original principal amount | 3.95% | ||||
Hercules Capital, Inc [Member] | Tranche II [Member] | First Amendment [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term debt, increase in face amount | $ 15,000,000 | ||||
Hercules Capital, Inc [Member] | Maximum [Member] | Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term debt, face amount | $ 35,000,000 | ||||
Prepayment fee percentage on principal loan prepaid | 3.00% | ||||
Hercules Capital, Inc [Member] | Minimum [Member] | Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Prepayment fee percentage on principal loan prepaid | 1.00% | ||||
Prime Based Variable Rate [Member] | Hercules Capital, Inc [Member] | Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, variable interest rate | 9.50% |
Share Based Compensation - Addi
Share Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares available for grant | 10,000,000 | |
Shares withheld to meet employees' statutory income tax obligation | 626,000 | 419,000 |
Amounts paid to taxing authorities for employees' tax obligations | $ 2,841 | $ 1,350 |
Board of Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares vested and deferred | 30 | |
Employees Tax Obligations [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Amounts paid to taxing authorities for employees' tax obligations | $ 2,841 | $ 1,350 |
Share Based Compensation - Summ
Share Based Compensation - Summary of Stock Option Activity (Detail) $ / shares in Units, $ in Thousands | 6 Months Ended |
Jun. 30, 2021USD ($)$ / sharesshares | |
Stockholders Equity Note [Abstract] | |
Number of Shares Outstanding, Beginning Balance | shares | 15,521,000 |
Number of Shares Granted | shares | 2,572,000 |
Number of Shares Exercised | shares | (1,806,000) |
Number of Shares Cancelled/Forfeited | shares | (195,000) |
Number of Shares Outstanding, Ending Balance | shares | 16,092,000 |
Number of Shares Exercisable, Ending Balance | shares | 11,094,000 |
Weighted Average Exercise Price Outstanding, Beginning Balance | $ / shares | $ 2.49 |
Weighted Average Exercise Price Granted | $ / shares | 4.40 |
Weighted Average Exercise Price Exercised | $ / shares | 2.15 |
Weighted Average Exercise Price Cancelled/Forfeited | $ / shares | 2.75 |
Weighted Average Exercise Price Outstanding, Ending Balance | $ / shares | 2.83 |
Weighted Average Exercise Price Exercisable, Ending Balance | $ / shares | $ 2.46 |
Weighted Average Remaining Contractual Term (Years) Outstanding, Ending Balance | 6 years 11 months 12 days |
Weighted Average Remaining Contractual Term (Years) Exercisable, Ending Balance | 5 years 10 months 17 days |
Aggregate Intrinsic Value Outstanding, Ending Balance | $ | $ 24,824 |
Aggregate Intrinsic Value Exercisable, Ending Balance | $ | $ 21,060 |
Share Based Compensation - Su_2
Share Based Compensation - Summary of PSU and RSU Award Activity Under Plan (Detail) | 6 Months Ended |
Jun. 30, 2021$ / sharesshares | |
Performance Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Beginning Balance | shares | 1,641,000 |
Number of Shares, Granted | shares | 243,000 |
Number of Shares, Incremental shares earned | shares | 210,000 |
Number of Shares, Vested/settled | shares | (766,000) |
Number of Shares, Ending Balance | shares | 1,328,000 |
Weighted Average Grant Date Fair Value, Beginning Balance | $ / shares | $ 2.61 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 5.55 |
Weighted Average Grant Date Fair Value, Incremental shares earned | $ / shares | 3.18 |
Weighted Average Grant Date Fair Value, Vested/settled | $ / shares | 2.86 |
Weighted Average Grant Date Fair Value, Ending Balance | $ / shares | $ 3.04 |
Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Beginning Balance | shares | 1,567,000 |
Number of Shares, Granted | shares | 769,000 |
Number of Shares, Vested/settled | shares | (832,000) |
Number of Shares, Ending Balance | shares | 1,504,000 |
Weighted Average Grant Date Fair Value, Beginning Balance | $ / shares | $ 2.77 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 4.42 |
Weighted Average Grant Date Fair Value, Vested/settled | $ / shares | 2.76 |
Weighted Average Grant Date Fair Value, Ending Balance | $ / shares | $ 3.62 |
Share Based Compensation - Su_3
Share Based Compensation - Summary of Share Based Compensation Allocation Expense (Detail) - Long Term Incentive Program [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense | $ 2,061 | $ 1,987 | $ 3,666 | $ 3,965 |
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense | 890 | 875 | 1,777 | 1,756 |
Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense | 607 | 525 | 1,172 | 1,082 |
Performance Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense | $ 564 | $ 587 | $ 717 | $ 1,127 |
Revenues, Significant Custome_3
Revenues, Significant Customers and Concentrations of Risk - Summary of Revenue Disaggregated by Types of Goods and Services and Major Product (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | $ 44,978 | $ 32,384 | $ 87,061 | $ 65,463 |
Total Product Revenue [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 27,904 | 24,665 | 57,039 | 51,762 |
Total Product Revenue [Member] | Proprietary Product [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 18,953 | 14,846 | 37,685 | 27,412 |
Total Product Revenue [Member] | Partnered Product [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 8,951 | 9,819 | 19,354 | 24,350 |
Licensing and Development Revenue [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | 7,167 | 2,687 | 12,151 | 4,442 |
Royalties [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenue | $ 9,907 | $ 5,032 | $ 17,871 | $ 9,259 |
Revenues, Significant Custome_4
Revenues, Significant Customers and Concentrations of Risk - Summary of Revenues Disaggregated by Customer Location (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | $ 44,978 | $ 32,384 | $ 87,061 | $ 65,463 |
United States of America [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 44,008 | 31,798 | 84,639 | 64,268 |
Europe [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | $ 970 | $ 586 | $ 2,422 | $ 1,195 |
Revenues, Significant Custome_5
Revenues, Significant Customers and Concentrations of Risk - Summary of Significant Customers from which the Company Derived 10% or More of Total Revenue (Detail) - Customer Concentration Risk [Member] | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Teva [Member] | ||||
Concentration Risk [Line Items] | ||||
Total revenue by customer, percentage | 44.00% | 40.00% | 43.00% | 41.00% |
McKesson Corporation [Member] | ||||
Concentration Risk [Line Items] | ||||
Total revenue by customer, percentage | 12.00% | 11.00% | 12.00% | 11.00% |
AmerisourceBergen Corporation [Member] | ||||
Concentration Risk [Line Items] | ||||
Total revenue by customer, percentage | 11.00% | 13.00% | 12.00% | 13.00% |
Cardinal Health [Member] | ||||
Concentration Risk [Line Items] | ||||
Total revenue by customer, percentage | 11.00% | 13.00% | 11.00% | 11.00% |
AMAG [Member] | ||||
Concentration Risk [Line Items] | ||||
Total revenue by customer, percentage | 12.00% | |||
AMAG [Member] | Maximum [Member] | ||||
Concentration Risk [Line Items] | ||||
Total revenue by customer, percentage | 10.00% | 10.00% | 10.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | Jun. 30, 2021USD ($) |
Income Tax Disclosure [Abstract] | |
Unrecognized tax benefits | $ 2,127,000 |
Unrecognized tax benefits, income tax penalties and interest accrued | $ 0 |
Earnings per Share - Summary of
Earnings per Share - Summary of Computation for Basic and Diluted Net Earnings (Loss) per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
Numerator | |||||
Numerator for basic and diluted earnings (loss) per share | $ 4,420 | $ 2,175 | $ 8,213 | $ (181) | |
Denominator | |||||
Basic weighted average common shares outstanding | 169,043 | 165,703 | 168,436 | 165,566 | |
Dilutive effects of stock options and share-based awards issuable under equity compensation plans | 5,770 | 3,525 | 6,415 | ||
Diluted weighted average common shares outstanding | 174,813 | 169,228 | 174,851 | 165,566 | |
Computation of: | |||||
Basic net earnings (loss) per share | $ 0.03 | $ 0.01 | $ 0.05 | $ 0 | |
Diluted net earnings (loss) per share | $ 0.03 | $ 0.01 | $ 0.05 | $ 0 | |
Anti-dilutive common stock equivalents | [1] | 849 | 6,361 | 530 | 5,145 |
[1] | These common stock equivalents were outstanding for the period but were not included in the computation of diluted EPS for those periods as their inclusion would have had an anti-dilutive effect. |