DURECT (DRRX) 10-Q 5 Nov 13 2013 Q3 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Oct. 31, 2013
Document And Entity Information [Abstract]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	30-Sep-13	'
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q3	'
Trading Symbol	'DRRX	'
Entity Registrant Name	'DURECT CORP	'
Entity Central Index Key	'0001082038	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	102,073,368

Condensed_Balance_Sheets

Condensed Balance Sheets (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$9,558	$11,195
Short-term investments	7,583	17,337
Accounts receivable (net of allowances of $139 at September 30, 2013 and $154 at December 31, 2012)	1,374	2,166
Inventories	3,155	3,399
Prepaid expenses and other current assets	1,450	2,258
Total current assets	23,120	36,355
Property and equipment (net of accumulated depreciation of $20,315 and $19,956 at September 30, 2013 and December 31, 2012, respectively)	2,155	2,457
Goodwill	6,399	6,399
Intangible assets, net	22	36
Long-term restricted investments	300	400
Other long-term assets	228	288
Total assets	32,224	45,935
Current liabilities:	'	'
Accounts payable	522	1,785
Accrued liabilities	4,098	3,997
Contract research liabilities	186	483
Deferred revenue, current portion	255	662
Total current liabilities	5,061	6,927
Deferred revenue, non-current portion	1,360	1,480
Other long-term liabilities	1,635	1,197
Commitments	'	'
Stockholders' equity:	'	'
Common stock	10	10
Additional paid-in capital	379,851	375,658
Accumulated other comprehensive income	2	6
Accumulated deficit	-355,695	-339,343
Stockholders' equity	24,168	36,331
Total liabilities and stockholders' equity	$32,224	$45,935

Condensed_Balance_Sheets_Paren

Condensed Balance Sheets (Parenthetical) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Statement Of Financial Position [Abstract]	'	'
Allowances for accounts receivable	$139	$154
Accumulated depreciation on property and equipment	$20,315	$19,956

Condensed_Statements_of_Compre

Condensed Statements of Comprehensive Income (Loss) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Income Statement [Abstract]	'	'	'	'
Collaborative research and development and other revenue (see Note 2)	$358	$1,126	$2,176	$41,681
Product revenue, net	2,608	2,702	8,861	8,127
Total revenues	2,966	3,828	11,037	49,808
Operating expenses:	'	'	'	'
Cost of product revenues	1,114	1,037	3,804	3,616
Research and development	4,473	4,745	14,095	15,361
Selling, general and administrative	3,097	2,854	9,208	9,183
Total operating expenses	8,684	8,636	27,107	28,160
Income (loss) from operations	-5,718	-4,808	-16,070	21,648
Other income (expense):	'	'	'	'
Interest and other income	7	17	34	66
Interest and other expense	-313	-12	-316	-15
Net other income	-306	5	-282	51
Net income (loss)	-6,024	-4,803	-16,352	21,699
Net income (loss) per share	'	'	'	'
Basic	($0.06)	($0.05)	($0.16)	$0.25
Diluted	($0.06)	($0.05)	($0.16)	$0.25
Weighted-average shares used in computing net income (loss) per share	'	'	'	'
Basic	102,024	87,671	101,953	87,607
Diluted	102,024	87,671	101,953	87,726
Total comprehensive income (loss)	($6,025)	($4,796)	($16,356)	$21,700

Condensed_Statements_of_Cash_F

Condensed Statements of Cash Flows (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Cash flows from operating activities	'	'
Net income (loss)	($16,352)	$21,699
Adjustments to reconcile net income (loss) to net cash used in operating activities:	'	'
Depreciation and amortization	381	688
Stock-based compensation	2,610	3,287
Inventory write-off	546	101
Changes in assets and liabilities:	'	'
Accounts receivable	792	1,366
Inventories	-306	-152
Prepaid expenses and other assets	868	868
Accounts payable	-1,263	-489
Accrued liabilities	1,982	-696
Contract research liabilities	-297	-889
Deferred revenue	-527	-35,592
Total adjustments	4,786	-31,508
Net cash used in operating activities	-11,566	-9,809
Cash flows from investing activities	'	'
Purchases of property and equipment	-66	-110
Purchases of available-for-sale securities	-7,505	-18,330
Proceeds from maturities of available-for-sale securities	17,355	25,530
Net cash provided by investing activities	9,784	7,090
Cash flows from financing activities	'	'
Payments on equipment financing obligations	-7	-5
Net proceeds from issuances of common stock	152	113
Net cash provided by financing activities	145	108
Net decrease in cash and cash equivalents	-1,637	-2,611
Cash and cash equivalents, beginning of the period	11,195	8,896
Cash and cash equivalents, end of the period	$9,558	$6,285

Summary_of_Significant_Account

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2013
Accounting Policies [Abstract]	'
Summary of Significant Accounting Policies	'
	Note 1. Summary of Significant Accounting Policies
	Nature of Operations
	DURECT Corporation (the Company) was incorporated in the state of Delaware on February 6, 1998. The Company is a pharmaceutical company developing therapies based on its proprietary drug formulations and delivery platform technologies. The Company has several products under development by itself and with third party collaborators. The Company also manufactures and sells osmotic pumps used in laboratory research, and designs, develops and manufactures a wide range of standard and custom biodegradable polymers and excipients for pharmaceutical and medical device clients for use as raw materials in their products. In addition, the Company conducts research and development of pharmaceutical products in collaboration with third party pharmaceutical and biotechnology companies.
	Basis of Presentation
	The accompanying unaudited financial statements include the accounts of the Company. These financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (SEC), and therefore do not include all the information and footnotes necessary for a complete presentation of the Company’s results of operations, financial position and cash flows in conformity with U.S. generally accepted accounting principles (U.S. GAAP). The unaudited financial statements reflect all adjustments (consisting only of normal recurring adjustments) which are, in the opinion of management, necessary for a fair presentation of the financial position at September 30, 2013, the operating results and comprehensive income (loss) for the three and nine months ended September 30, 2013 and 2012, and cash flows for the nine months ended September 30, 2013 and 2012. The balance sheet as of December 31, 2012 has been derived from audited financial statements at that date but does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These financial statements and notes should be read in conjunction with the Company’s audited financial statements and notes thereto, included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2012 filed with the SEC.
	The results of operations for the interim periods presented are not necessarily indicative of results that may be expected for any other interim period or for the full fiscal year.
	Inventories
	Inventories are stated at the lower of cost or market, with cost determined on a first-in, first-out basis. The Company’s inventories consisted of the following (in thousands):
		September 30,			December 31,
		2013			2012
		(unaudited)
	Raw materials	$	1,071		$	1,149
	Work in process		1,104			1,011
	Finished goods		980			1,239
	Total inventories	$	3,155		$	3,399
	Revenue Recognition
	Revenue from the sale of products is recognized when there is persuasive evidence that an arrangement exists, the product is shipped and title transfers to customers, provided no continuing obligation on the Company’s part exists, the price is fixed or determinable and the collectability of the amounts owed is reasonably assured. The Company enters into license and collaboration agreements under which it may receive upfront license fees, research funding and contingent milestone payments and royalties. The Company’s deliverables under these arrangements typically consist of granting licenses to intellectual property rights and providing research and development services. The accounting standards contain a presumption that separate contracts entered into at or near the same time with the same entity or related parties were negotiated as a package and should be evaluated as a single agreement.
	Revenue on cost-plus-fee contracts, such as under contracts to perform research and development for others, is recognized as the related services are rendered as determined by the extent of reimbursable costs incurred plus estimated fees thereon.
	Comprehensive Income (Loss)
	Components of other comprehensive income (loss) are comprised entirely of unrealized gains and losses on the Company’s available-for-sale securities for all periods presented and are included in total comprehensive income (loss) as follows (in thousands).
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Net income (loss)	$	(6,024	)	$	(4,803	)	$	(16,352	)	$	21,699
	Net change in unrealized gain on available-for-sale investments, net of tax		(1	)		7			(4	)		1
	Comprehensive income (loss)	$	(6,025	)	$	(4,796	)	$	(16,356	)	$	21,700
	The tax effect of the changes in accumulated other comprehensive income (loss) was immaterial for the periods presented. Accumulated other comprehensive income as of September 30, 2013 and December 31, 2012 is entirely comprised of net unrealized gains and losses on available-for-sale securities.
	Net Income (Loss) Per Share
	Basic net income (loss) per share is calculated by dividing the net income (loss) by the weighted-average number of common shares outstanding. Diluted net income (loss) per share is computed using the weighted-average number of common shares outstanding and common stock equivalents (i.e., options to purchase common stock) outstanding during the period, if dilutive, using the treasury stock method for options and warrants.
	The numerators and denominators in the calculation of basic and diluted net income (loss) per share were as follows (in thousands except per share amounts):
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Numerators:
	Net income (loss)	$	(6,024	)	$	(4,803	)	$	(16,352	)	$	21,699
	Denominators:
	Outstanding dilutive securities not included in diluted net loss per share
	Weighted average shares used to compute basic net income (loss) per share		102,024			87,671			101,953			87,607
	Effect of dilutive securities:
	Dilution from stock options and shares from the employee stock purchase plan		—			—			—			119
	Dilutive common shares		—			—			—			119
	Weighted average shares used to compute basic net income (loss) per share		102,024			87,671			101,953			87,726
	Net income (loss) per share:
	Basic	$	(0.06	)	$	(0.05	)	$	(0.16	)	$	0.25
	Diluted	$	(0.06	)	$	(0.05	)	$	(0.16	)	$	0.25
	Options to purchase approximately 21.8 million and 21.7 million shares of common stock were excluded from the denominator in the calculation of diluted net loss per share for the three and nine months ended September 30, 2013, respectively, as the effect would be anti-dilutive. Options to purchase approximately 20.0 million and 20.9 million shares of common stock were excluded from the denominator in the calculation of diluted net income (loss) per share for the three and nine months ended September 30, 2012, as the effect would be anti-dilutive.

Strategic_Agreements

Strategic Agreements	9 Months Ended
	Sep. 30, 2013
Organization Consolidation And Presentation Of Financial Statements [Abstract]	'
Strategic Agreements	'
	Note 2. Strategic Agreements
	The collaborative research and development and other revenues associated with the Company’s major third-party collaborators are as follows (in thousands):
			Three months ended				Nine months ended
			September 30,				September 30,
			2013		2012		2013		2012
	Collaborator
	Zogenix, Inc. (Zogenix) (1)		$	103	$	179	$	602	$	1,816
	Pfizer Inc. (Pfizer) (2)			7		652		20		11,779
	Pain Therapeutics, Inc. (Pain Therapeutics)			2		13		3		14
	Hospira, Inc. (Hospira) (3)			—		—		—		23,726
	Nycomed Danmark, APS (Nycomed) (4)			—		—		—		3,705
	Others			246		282		1,551		641
	Total collaborative research and development and other revenue		$	358	$	1,126	$	2,176	$	41,681
	-1	Amounts related to the ratable recognition of upfront fees were $64,000 and $177,000 for the three and nine months ended September 30, 2013, respectively, compared to $78,000 and $234,000 for the corresponding periods in 2012.
	-2	Amounts related to the recognition of upfront fees were zero for the three and nine months ended September 30, 2013, respectively, compared to zero and $9.9 million for the corresponding periods in 2012. In February 2011, Pfizer acquired King Pharmaceuticals (King) and thereby assumed the rights and obligations of King under the agreements the Company formerly had in place with King; accordingly amounts attributed to King are now shown as Pfizer figures. In February 2012, the Company was notified that Pfizer was terminating the worldwide Development and License Agreement between Alpharma (acquired by King which subsequently was acquired by Pfizer) and the Company dated September 19, 2008 relating to the development and commercialization of ELADUR. As a result, the Company recognized as revenue all of the remaining upfront fees during the three months ended March 31, 2012 that had previously been deferred.
	-3	Amounts related to the recognition of upfront fees were zero for the three and nine months ended September 30, 2013, respectively, compared to zero and $21.8 million for the corresponding periods in 2012. In March 2012, the Company was notified that Hospira was terminating the Development and License Agreement between Hospira and the Company dated June 1, 2010 relating to the development and commercialization of POSIDUR in the United States and Canada. As a result, the Company recognized as revenue all of the remaining upfront fees during the three months ended March 31, 2012 that had previously been deferred.
	-4	Amounts related to the ratable recognition of upfront fees were zero for the three and nine months ended September 30, 2013, respectively, compared to zero and $3.7 million for the corresponding periods in 2012. In January 2012, the Company was notified that Nycomed was terminating the Development and License Agreement between Nycomed and the Company dated November 26, 2006, as amended relating to the development and commercialization of POSIDUR (SABER-Bupivacaine) in Europe and their other licensed territories. As a result, the Company recognized as revenue all of the remaining upfront fees during the three months ended March 31, 2012 that had previously been deferred.
	Agreement with Pain Therapeutics, Inc.
	In December 2002, the Company entered into an exclusive agreement with Pain Therapeutics, Inc. (Pain Therapeutics) to develop and commercialize on a worldwide basis REMOXY and other oral sustained release, abuse deterrent opioid products incorporating four specified opioid drugs, using the ORADUR technology. Total collaborative research and development revenue recognized under the agreements with Pain Therapeutics was $2,000 and $3,000 for the three and nine months ended September 30, 2013, respectively, compared with $13,000 and $14,000 for the corresponding periods in 2012. The cumulative aggregate payments received by the Company from Pain Therapeutics as of September 30, 2013 were $34.2 million under this agreement.
	Under the terms of this agreement, Pain Therapeutics paid the Company an upfront license fee of $1.0 million, with the potential for an additional $9.3 million in performance milestone payments based on the successful development and approval of the four ORADUR-based opioids. Of these potential milestones, $9.3 million are development-based milestones (of which $1.7 million had been achieved as of September 30, 2013). There are no sales-based milestones under the agreement.
	In March 2009, King assumed the responsibility for further development of REMOXY from Pain Therapeutics. As a result of this change, the Company continues to perform REMOXY-related activities in accordance with the terms and conditions set forth in the license agreement between the Company and Pain Therapeutics. Accordingly, King was substituted in lieu of Pain Therapeutics with respect to interactions with the Company in its performance of those activities including the obligation to pay the Company with respect to all REMOXY-related costs incurred by the Company. In February 2011, Pfizer acquired King and thereby assumed the rights and obligations of King with respect to REMOXY; accordingly amounts attributed to King are now shown as Pfizer figures. Total collaborative research and development revenue recognized for REMOXY-related work performed by the Company for Pfizer was $7,000 and $20,000 for the three and nine months ended September 30, 2013, respectively, compared with $611,000 and $1.8 million for the corresponding periods in 2012. Prior to March 2009, the Company recognized collaborative research and development revenue for REMOXY-related work under the agreements with Pain Therapeutics. The cumulative aggregate payments received by the Company from Pfizer and King as of September 30, 2013 were $7.1 million under this agreement.
	Long Term Supply Agreement with King (now Pfizer)
	In August 2009, the Company signed an exclusive long term excipient supply agreement with respect to REMOXY with King (now Pfizer). This agreement stipulates the terms and conditions under which the Company will supply to King, based on the Company’s manufacturing cost plus a specified percentage mark-up, two key excipients used in the manufacture of REMOXY. In February 2011, Pfizer acquired King and thereby assumed the rights and obligations of King under the agreements we formerly had in place with King; accordingly amounts attributed to King are now shown as Pfizer figures.
	Total revenues recognized related to these excipients were zero and $273,000 in the three and nine months ended September 30, 2013, compared to zero and $51,000 for the corresponding periods in 2012. The associated cost of goods sold was zero and $219,000 in the three and nine months ended September 30, 2013, compared to zero and $33,000 for the corresponding periods in 2012.
	Agreement with Zogenix, Inc.
	On July 11, 2011, the Company and Zogenix, Inc. (Zogenix) entered into a Development and License Agreement (the License Agreement). The Company and Zogenix had previously been working together under a feasibility agreement pursuant to which the Company’s research and development costs were reimbursed by Zogenix. Under the License Agreement, Zogenix will be responsible for the clinical development and commercialization of a proprietary, long-acting injectable formulation of risperidone using the Company’s SABER controlled-release formulation technology in combination with Zogenix’s DosePro® needle-free, subcutaneous drug delivery system. DURECT will be responsible for non-clinical, formulation and CMC development activities. The Company will be reimbursed by Zogenix for its research and development efforts on the product.
	Zogenix paid a non-refundable upfront fee to the Company of $2.25 million in July 2011. The Company’s research and development services are considered integral to utilizing the licensed intellectual property and, accordingly, the deliverables are accounted for as a single unit of accounting. The $2.25 million upfront fee is being recognized as collaborative research and development revenue ratably over the term of the Company’s continuing research and development involvement with Zogenix with respect to this product candidate. Zogenix is obligated to pay the Company up to $103 million in total future milestone payments with respect to the product subject to and upon the achievement of various development, regulatory and sales milestones. Of these potential milestones, $28 million are development-based milestones (none of which had been achieved as of September 30, 2013), and $75 million are sales-based milestones (none of which had been achieved as of September 30, 2013). Zogenix is also required to pay a mid single-digit to low double-digit percentage patent royalty on annual net sales of the product determined on a jurisdiction-by-jurisdiction basis. The patent royalty term is equal to the later of the expiration of all DURECT technology patents or joint patent rights in a particular jurisdiction, the expiration of marketing exclusivity rights in such jurisdiction, or 15 years from first commercial sale in such jurisdiction. After the patent royalty term, Zogenix will continue to pay royalties on annual net sales of the product at a reduced rate for so long as Zogenix continues to sell the product in the jurisdiction. Zogenix is also required to pay to the Company a tiered percentage of fees received in connection with any sublicense of the licensed rights.
	The Company granted to Zogenix an exclusive worldwide license, with sub-license rights, to the Company’s intellectual property rights related to the Company’s proprietary polymeric and non-polymeric controlled-release formulation technology to make and have made, use, offer for sale, sell and import risperidone products, where risperidone is the sole active agent, for administration by injection in the treatment of schizophrenia, bipolar disorder or other psychiatric related disorders in humans. The Company retains the right to supply Zogenix’s Phase 3 clinical trial and commercial product requirements on the terms set forth in the License Agreement.
	The Company retains the right to terminate the License Agreement with respect to specific countries if Zogenix fails to advance the development of the product in such country, either directly or through a sublicensee. In addition, either party may terminate the License Agreement upon insolvency or bankruptcy of the other party, upon written notice of a material uncured breach or if the other party takes any act impairing such other party’s relevant intellectual property rights. Zogenix may terminate the License Agreement upon written notice if during the development or commercialization of the product, the product becomes subject to one or more serious adverse drug experiences or if either party receives notice from a regulatory authority, independent review committee, data safety monitory board or other similar body alleging significant concern regarding a patient safety issue. Zogenix may also terminate the License Agreement with or without cause, at any time upon prior written notice.
	The following table provides a summary of collaborative research and development revenue recognized under the agreements with Zogenix (in thousands). The cumulative aggregate payments received by the Company as of September 30, 2013 were $10.6 million under these agreements.
			Three months ended				Nine months ended
			September 30,				September 30,
			2013		2012		2013		2012
	Ratable recognition of upfront payment		$	64	$	78	$	177	$	234
	Research and development expenses reimbursable by Zogenix			39		101		425		1,582
	Total collaborative research and development revenue		$	103	$	179	$	602	$	1,816

Financial_Instruments

Financial Instruments	9 Months Ended
	Sep. 30, 2013
Fair Value Disclosures [Abstract]	'
Financial Instruments	'
	Note 3. Financial Instruments
	Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Company’s valuation techniques used to measure fair value maximize the use of observable inputs and minimize the use of unobservable inputs. The Company follows a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value. These levels of inputs are the following:
		•		Level 1—Quoted prices in active markets for identical assets or liabilities.
		•		Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
		•		Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	The Company’s financial instruments are valued using quoted prices in active markets or based upon other observable inputs. Money market funds are classified as Level 1 financial assets. Certificates of deposit, commercial paper, corporate debt securities, and U.S. Government agency securities are classified as Level 2 financial assets. The fair value of the Level 2 assets is estimated using pricing models using current observable market information for similar securities. The Company’s Level 2 investments include U.S. government-backed securities and corporate securities that are valued based upon observable inputs that may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data including market research publications. The fair value of the Company’s commercial paper is based upon the time to maturity and discounted using the three-month treasury bill rate. The average remaining maturity of the Company’s Level 2 investments as of September 30, 2013 is less than twelve months and these investments are rated by S&P and Moody’s at AAA or AA- for securities and A1 or P1 for commercial paper.
	The following is a summary of available-for-sale securities as of September 30, 2013 and December 31, 2012 (in thousands):
			September 30, 2013
			Amortized		Unrealized		Unrealized		Estimated
			Cost		Gain		Loss		Fair
									Value
	Money market funds		$	5,649	$	—	$	—	$	5,649
	Certificates of deposit			300		—		—		300
	Corporate debt			1,021		—		—		1,021
	U.S. Government agencies			6,926		2		—		6,928
			$	13,896	$	2	$	—	$	13,898
	Reported as:
	Cash and cash equivalents		$	6,015	$	—	$	—	$	6,015
	Short-term investments			7,581		2		—		7,583
	Long-term restricted investments			300		—		—		300
			$	13,896	$	2	$	—	$	13,898
			December 31, 2012
			Amortized		Unrealized		Unrealized		Estimated
			Cost		Gain		Loss		Fair
									Value
	Money market funds		$	4,204	$	—	$	—	$	4,204
	Certificates of deposit			550		—		—		550
	Commercial paper			8,993		—		—		8,993
	Corporate debt			3,806		1		—		3,807
	U.S. Government agencies			10,045		5		—		10,050
			$	27,598	$	6	$	—	$	27,604
	Reported as:
	Cash and cash equivalents		$	9,867	$	—	$	—	$	9,867
	Short-term investments			17,331		6		—		17,337
	Long-term restricted investments			400		—		—		400
			$	27,598	$	6	$	—	$	27,604
	The following is a summary of the cost and estimated fair value of available-for-sale securities at September 30, 2013, by contractual maturity (in thousands):
			September 30, 2013
			Amortized		Estimated
			Cost		Fair
					Value
	Mature in one year or less		$	8,247	$	8,249
	Mature after one year through five years			—		—
			$	8,247	$	8,249
	There were no securities that have had an unrealized loss for more than 12 months as of September 30, 2013.
	As of September 30, 2013, unrealized losses on available-for-sale investments are not attributed to credit risk and are considered to be temporary. The Company believes that it is more-likely-than-not that investments in an unrealized loss position will be held until maturity or the recovery of the cost basis of the investment. To date, the Company has not recorded any impairment charges on marketable securities related to other-than-temporary declines in market value.

StockBased_Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2013
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]	'
Stock-Based Compensation	'
	Note 4. Stock-Based Compensation
	As of September 30, 2013, the Company has three stock-based compensation plans. The stock-based compensation cost that has been included in the statements of comprehensive income (loss) is shown as below (in thousands):
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Cost of product revenues	$	39		$	60		$	131		$	185
	Research and development		467			643			1,538			1,965
	Selling, general and administrative		308			338			941			1,137
	Total stock-based compensation	$	814		$	1,041		$	2,610		$	3,287
	As of September 30, 2013 and December 31, 2012, $15,000 and $23,000, respectively, of stock-based compensation cost was capitalized in inventory on the Company’s balance sheets.
	The Company uses the Black-Scholes option pricing model to value its stock options. The expected life computation is based on historical exercise patterns and post-vesting termination behavior. The Company considered its historical volatility in developing its estimate of expected volatility.
	The Company used the following assumptions to estimate the fair value of stock options granted and shares purchased under its employee stock purchase plan for the three and nine months ended September 30, 2013 and 2012:
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Stock options
	Risk-free rate		1.9-2.7	%		0.7-0.9	%		1.0-2.7	%		0.7-1.5	%
	Expected dividend yield		—			—			—			—
	Expected life of option (in years)		6.50-9.75			5.50-6.50			6.50-10.00			5.25-6.50
	Volatility		80-84	%		79-82	%		77-84	%		78-82	%
	Forfeiture rate		8.4	%		7.7	%		8.4	%		7.7	%
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Employee Stock Purchase Plan
	Risk-free rate		0.1	%		0.2	%		0.1-0.2	%		0.1-1.0	%
	Expected dividend yield		—			—			—			—
	Expected life of option (in years)		0.5			0.5			0.5			1.25
	Volatility		64	%		86	%		64-69	%		86-101	%

Operating_Leases

Operating Leases	9 Months Ended
	Sep. 30, 2013
Leases [Abstract]	'
Operating Leases	'
	Note 5. Operating Leases
	In August 2013, the Company entered into lease amendments on a 30,149 square foot facility in Cupertino, California and on a 24,634 square foot facility in Vacaville, California. The leases expire in February 2019 and in August 2018 respectively. Total lease payments are expected to be approximately $4.6 million and $942,000, respectively, during the extension terms.
	In October 2013, the Company deposited $150,000 in the form of a certificate of deposit with a financial institution as a letter of credit in connection with the lease amendment signed in August 2013 for the Company’s facility in Cupertino, California. The restriction on these funds will be released upon termination of the lease in February 2019.

Summary_of_Significant_Account1

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2013
Accounting Policies [Abstract]	'
Nature of Operations	'
	Nature of Operations
	DURECT Corporation (the Company) was incorporated in the state of Delaware on February 6, 1998. The Company is a pharmaceutical company developing therapies based on its proprietary drug formulations and delivery platform technologies. The Company has several products under development by itself and with third party collaborators. The Company also manufactures and sells osmotic pumps used in laboratory research, and designs, develops and manufactures a wide range of standard and custom biodegradable polymers and excipients for pharmaceutical and medical device clients for use as raw materials in their products. In addition, the Company conducts research and development of pharmaceutical products in collaboration with third party pharmaceutical and biotechnology companies.
Basis of Presentation	'
	Basis of Presentation
	The accompanying unaudited financial statements include the accounts of the Company. These financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (SEC), and therefore do not include all the information and footnotes necessary for a complete presentation of the Company’s results of operations, financial position and cash flows in conformity with U.S. generally accepted accounting principles (U.S. GAAP). The unaudited financial statements reflect all adjustments (consisting only of normal recurring adjustments) which are, in the opinion of management, necessary for a fair presentation of the financial position at September 30, 2013, the operating results and comprehensive income (loss) for the three and nine months ended September 30, 2013 and 2012, and cash flows for the nine months ended September 30, 2013 and 2012. The balance sheet as of December 31, 2012 has been derived from audited financial statements at that date but does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These financial statements and notes should be read in conjunction with the Company’s audited financial statements and notes thereto, included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2012 filed with the SEC.
	The results of operations for the interim periods presented are not necessarily indicative of results that may be expected for any other interim period or for the full fiscal year.
Inventories	'
	Inventories
	Inventories are stated at the lower of cost or market, with cost determined on a first-in, first-out basis. The Company’s inventories consisted of the following (in thousands):
			September 30,			December 31,
			2013			2012
			(unaudited)
	Raw materials		$	1,071		$	1,149
	Work in process			1,104			1,011
	Finished goods			980			1,239
	Total inventories		$	3,155		$	3,399
Revenue Recognition	'
	Revenue Recognition
	Revenue from the sale of products is recognized when there is persuasive evidence that an arrangement exists, the product is shipped and title transfers to customers, provided no continuing obligation on the Company’s part exists, the price is fixed or determinable and the collectability of the amounts owed is reasonably assured. The Company enters into license and collaboration agreements under which it may receive upfront license fees, research funding and contingent milestone payments and royalties. The Company’s deliverables under these arrangements typically consist of granting licenses to intellectual property rights and providing research and development services. The accounting standards contain a presumption that separate contracts entered into at or near the same time with the same entity or related parties were negotiated as a package and should be evaluated as a single agreement.
	Revenue on cost-plus-fee contracts, such as under contracts to perform research and development for others, is recognized as the related services are rendered as determined by the extent of reimbursable costs incurred plus estimated fees thereon.
Comprehensive Income (Loss)	'
	Comprehensive Income (Loss)
	Components of other comprehensive income (loss) are comprised entirely of unrealized gains and losses on the Company’s available-for-sale securities for all periods presented and are included in total comprehensive income (loss) as follows (in thousands).
			Three months ended						Nine months ended
			September 30,						September 30,
			2013			2012			2013			2012
	Net income (loss)		$	(6,024	)	$	(4,803	)	$	(16,352	)	$	21,699
	Net change in unrealized gain on available-for-sale investments, net of tax			(1	)		7			(4	)		1
	Comprehensive income (loss)		$	(6,025	)	$	(4,796	)	$	(16,356	)	$	21,700
	The tax effect of the changes in accumulated other comprehensive income (loss) was immaterial for the periods presented. Accumulated other comprehensive income as of September 30, 2013 and December 31, 2012 is entirely comprised of net unrealized gains and losses on available-for-sale securities.
Net Income (Loss) Per Share	'
	Net Income (Loss) Per Share
	Basic net income (loss) per share is calculated by dividing the net income (loss) by the weighted-average number of common shares outstanding. Diluted net income (loss) per share is computed using the weighted-average number of common shares outstanding and common stock equivalents (i.e., options to purchase common stock) outstanding during the period, if dilutive, using the treasury stock method for options and warrants.
	The numerators and denominators in the calculation of basic and diluted net income (loss) per share were as follows (in thousands except per share amounts):
			Three months ended						Nine months ended
			September 30,						September 30,
			2013			2012			2013			2012
	Numerators:
	Net income (loss)		$	(6,024	)	$	(4,803	)	$	(16,352	)	$	21,699
	Denominators:
	Outstanding dilutive securities not included in diluted net loss per share
	Weighted average shares used to compute basic net income (loss) per share			102,024			87,671			101,953			87,607
	Effect of dilutive securities:
	Dilution from stock options and shares from the employee stock purchase plan			—			—			—			119
	Dilutive common shares			—			—			—			119
	Weighted average shares used to compute basic net income (loss) per share			102,024			87,671			101,953			87,726
	Net income (loss) per share:
	Basic		$	(0.06	)	$	(0.05	)	$	(0.16	)	$	0.25
	Diluted		$	(0.06	)	$	(0.05	)	$	(0.16	)	$	0.25
	Options to purchase approximately 21.8 million and 21.7 million shares of common stock were excluded from the denominator in the calculation of diluted net loss per share for the three and nine months ended September 30, 2013, respectively, as the effect would be anti-dilutive. Options to purchase approximately 20.0 million and 20.9 million shares of common stock were excluded from the denominator in the calculation of diluted net income (loss) per share for the three and nine months ended September 30, 2012, as the effect would be anti-dilutive.
Fair Value Measurement	'
	Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Company’s valuation techniques used to measure fair value maximize the use of observable inputs and minimize the use of unobservable inputs. The Company follows a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value. These levels of inputs are the following:
		•		Level 1—Quoted prices in active markets for identical assets or liabilities.
		•		Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
		•		Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
	The Company’s financial instruments are valued using quoted prices in active markets or based upon other observable inputs. Money market funds are classified as Level 1 financial assets. Certificates of deposit, commercial paper, corporate debt securities, and U.S. Government agency securities are classified as Level 2 financial assets. The fair value of the Level 2 assets is estimated using pricing models using current observable market information for similar securities. The Company’s Level 2 investments include U.S. government-backed securities and corporate securities that are valued based upon observable inputs that may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data including market research publications. The fair value of the Company’s commercial paper is based upon the time to maturity and discounted using the three-month treasury bill rate. The average remaining maturity of the Company’s Level 2 investments as of September 30, 2013 is less than twelve months and these investments are rated by S&P and Moody’s at AAA or AA- for securities and A1 or P1 for commercial paper.

Summary_of_Significant_Account2

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2013
Accounting Policies [Abstract]	'
Summary of Components of Inventories	'
	Inventories are stated at the lower of cost or market, with cost determined on a first-in, first-out basis. The Company’s inventories consisted of the following (in thousands):
		September 30,			December 31,
		2013			2012
		(unaudited)
	Raw materials	$	1,071		$	1,149
	Work in process		1,104			1,011
	Finished goods		980			1,239
	Total inventories	$	3,155		$	3,399
Summary of Components of Comprehensive Income (Loss)	'
	Components of other comprehensive income (loss) are comprised entirely of unrealized gains and losses on the Company’s available-for-sale securities for all periods presented and are included in total comprehensive income (loss) as follows (in thousands).
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Net income (loss)	$	(6,024	)	$	(4,803	)	$	(16,352	)	$	21,699
	Net change in unrealized gain on available-for-sale investments, net of tax		(1	)		7			(4	)		1
	Comprehensive income (loss)	$	(6,025	)	$	(4,796	)	$	(16,356	)	$	21,700
Summary of Numerators and Denominators in Calculation of Basic and Diluted Net Income (Loss) Per Share	'
	The numerators and denominators in the calculation of basic and diluted net income (loss) per share were as follows (in thousands except per share amounts):
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Numerators:
	Net income (loss)	$	(6,024	)	$	(4,803	)	$	(16,352	)	$	21,699
	Denominators:
	Outstanding dilutive securities not included in diluted net loss per share
	Weighted average shares used to compute basic net income (loss) per share		102,024			87,671			101,953			87,607
	Effect of dilutive securities:
	Dilution from stock options and shares from the employee stock purchase plan		—			—			—			119
	Dilutive common shares		—			—			—			119
	Weighted average shares used to compute basic net income (loss) per share		102,024			87,671			101,953			87,726
	Net income (loss) per share:
	Basic	$	(0.06	)	$	(0.05	)	$	(0.16	)	$	0.25
	Diluted	$	(0.06	)	$	(0.05	)	$	(0.16	)	$	0.25

Strategic_Agreements_Tables

Strategic Agreements (Tables)	9 Months Ended
	Sep. 30, 2013
Organization Consolidation And Presentation Of Financial Statements [Abstract]	'
Summary of Collaborative Research and Development and Other Revenues Associated with Company's Major Third-Party Collaborators	'
	The collaborative research and development and other revenues associated with the Company’s major third-party collaborators are as follows (in thousands):
			Three months ended				Nine months ended
			September 30,				September 30,
			2013		2012		2013		2012
	Collaborator
	Zogenix, Inc. (Zogenix) (1)		$	103	$	179	$	602	$	1,816
	Pfizer Inc. (Pfizer) (2)			7		652		20		11,779
	Pain Therapeutics, Inc. (Pain Therapeutics)			2		13		3		14
	Hospira, Inc. (Hospira) (3)			—		—		—		23,726
	Nycomed Danmark, APS (Nycomed) (4)			—		—		—		3,705
	Others			246		282		1,551		641
	Total collaborative research and development and other revenue		$	358	$	1,126	$	2,176	$	41,681
	-1	Amounts related to the ratable recognition of upfront fees were $64,000 and $177,000 for the three and nine months ended September 30, 2013, respectively, compared to $78,000 and $234,000 for the corresponding periods in 2012.
	-2	Amounts related to the recognition of upfront fees were zero for the three and nine months ended September 30, 2013, respectively, compared to zero and $9.9 million for the corresponding periods in 2012. In February 2011, Pfizer acquired King Pharmaceuticals (King) and thereby assumed the rights and obligations of King under the agreements the Company formerly had in place with King; accordingly amounts attributed to King are now shown as Pfizer figures. In February 2012, the Company was notified that Pfizer was terminating the worldwide Development and License Agreement between Alpharma (acquired by King which subsequently was acquired by Pfizer) and the Company dated September 19, 2008 relating to the development and commercialization of ELADUR. As a result, the Company recognized as revenue all of the remaining upfront fees during the three months ended March 31, 2012 that had previously been deferred.
	-3	Amounts related to the recognition of upfront fees were zero for the three and nine months ended September 30, 2013, respectively, compared to zero and $21.8 million for the corresponding periods in 2012. In March 2012, the Company was notified that Hospira was terminating the Development and License Agreement between Hospira and the Company dated June 1, 2010 relating to the development and commercialization of POSIDUR in the United States and Canada. As a result, the Company recognized as revenue all of the remaining upfront fees during the three months ended March 31, 2012 that had previously been deferred.
	-4	Amounts related to the ratable recognition of upfront fees were zero for the three and nine months ended September 30, 2013, respectively, compared to zero and $3.7 million for the corresponding periods in 2012. In January 2012, the Company was notified that Nycomed was terminating the Development and License Agreement between Nycomed and the Company dated November 26, 2006, as amended relating to the development and commercialization of POSIDUR (SABER-Bupivacaine) in Europe and their other licensed territories. As a result, the Company recognized as revenue all of the remaining upfront fees during the three months ended March 31, 2012 that had previously been deferred.
Summary of Collaborative Research and Development Revenue Recognized	'
	The following table provides a summary of collaborative research and development revenue recognized under the agreements with Zogenix (in thousands). The cumulative aggregate payments received by the Company as of September 30, 2013 were $10.6 million under these agreements.
			Three months ended				Nine months ended
			September 30,				September 30,
			2013		2012		2013		2012
	Ratable recognition of upfront payment		$	64	$	78	$	177	$	234
	Research and development expenses reimbursable by Zogenix			39		101		425		1,582
	Total collaborative research and development revenue		$	103	$	179	$	602	$	1,816

Financial_Instruments_Tables

Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2013
Fair Value Disclosures [Abstract]	'
Summary of Available-for-Sale Securities	'
	The following is a summary of available-for-sale securities as of September 30, 2013 and December 31, 2012 (in thousands):
		September 30, 2013
		Amortized		Unrealized		Unrealized		Estimated
		Cost		Gain		Loss		Fair
								Value
	Money market funds	$	5,649	$	—	$	—	$	5,649
	Certificates of deposit		300		—		—		300
	Corporate debt		1,021		—		—		1,021
	U.S. Government agencies		6,926		2		—		6,928
		$	13,896	$	2	$	—	$	13,898
	Reported as:
	Cash and cash equivalents	$	6,015	$	—	$	—	$	6,015
	Short-term investments		7,581		2		—		7,583
	Long-term restricted investments		300		—		—		300
		$	13,896	$	2	$	—	$	13,898
		December 31, 2012
		Amortized		Unrealized		Unrealized		Estimated
		Cost		Gain		Loss		Fair
								Value
	Money market funds	$	4,204	$	—	$	—	$	4,204
	Certificates of deposit		550		—		—		550
	Commercial paper		8,993		—		—		8,993
	Corporate debt		3,806		1		—		3,807
	U.S. Government agencies		10,045		5		—		10,050
		$	27,598	$	6	$	—	$	27,604
	Reported as:
	Cash and cash equivalents	$	9,867	$	—	$	—	$	9,867
	Short-term investments		17,331		6		—		17,337
	Long-term restricted investments		400		—		—		400
		$	27,598	$	6	$	—	$	27,604
Summary of the Cost and Estimated Fair Value of Available-for-Sale Securities at by Contractual Maturity	'
	The following is a summary of the cost and estimated fair value of available-for-sale securities at September 30, 2013, by contractual maturity (in thousands):
		September 30, 2013
		Amortized		Estimated
		Cost		Fair
				Value
	Mature in one year or less	$	8,247	$	8,249
	Mature after one year through five years		—		—
		$	8,247	$	8,249

StockBased_Compensation_Tables

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2013
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]	'
Summary of Stock-Based Compensation Cost that has been Included in the Statements of Comprehensive Income (Loss)	'
	As of September 30, 2013, the Company has three stock-based compensation plans. The stock-based compensation cost that has been included in the statements of comprehensive income (loss) is shown as below (in thousands):
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Cost of product revenues	$	39		$	60		$	131		$	185
	Research and development		467			643			1,538			1,965
	Selling, general and administrative		308			338			941			1,137
	Total stock-based compensation	$	814		$	1,041		$	2,610		$	3,287
Summary of Assumptions Used to Estimate Fair Value of Options Granted and Shares Purchased	'
	The Company used the following assumptions to estimate the fair value of stock options granted and shares purchased under its employee stock purchase plan for the three and nine months ended September 30, 2013 and 2012:
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Stock options
	Risk-free rate		1.9-2.7	%		0.7-0.9	%		1.0-2.7	%		0.7-1.5	%
	Expected dividend yield		—			—			—			—
	Expected life of option (in years)		6.50-9.75			5.50-6.50			6.50-10.00			5.25-6.50
	Volatility		80-84	%		79-82	%		77-84	%		78-82	%
	Forfeiture rate		8.4	%		7.7	%		8.4	%		7.7	%
		Three months ended						Nine months ended
		September 30,						September 30,
		2013			2012			2013			2012
	Employee Stock Purchase Plan
	Risk-free rate		0.1	%		0.2	%		0.1-0.2	%		0.1-1.0	%
	Expected dividend yield		—			—			—			—
	Expected life of option (in years)		0.5			0.5			0.5			1.25
	Volatility		64	%		86	%		64-69	%		86-101	%

Summary_of_Significant_Account3

Summary of Significant Accounting Policies - Additional Information (Detail)	3 Months Ended		9 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Class of Stock [Line Items]	'	'	'	'
State of incorporation	'	'	'Delaware	'
Date of incorporation	'	'	6-Feb-98	'
Stock Options [Member]	'	'	'	'
Class of Stock [Line Items]	'	'	'	'
Options to purchase common stock excluded from the denominator in the calculation of diluted net income (loss) per share	21.8	20	21.7	20.9

Summary_of_Significant_Account4

Summary of Significant Accounting Policies - Summary of Components of Inventories (Detail) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Inventory Net [Abstract]	'	'
Raw materials	$1,071	$1,149
Work in process	1,104	1,011
Finished goods	980	1,239
Total inventories	$3,155	$3,399

Summary_of_Significant_Account5

Summary of Significant Accounting Policies - Summary of Components of Comprehensive Income (loss) (Detail) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Comprehensive Income Net Of Tax [Abstract]	'	'	'	'
Net income (loss)	($6,024)	($4,803)	($16,352)	$21,699
Net change in unrealized gain on available-for-sale investments, net of tax	-1	7	-4	1
Comprehensive income (loss)	($6,025)	($4,796)	($16,356)	$21,700

Summary_of_Significant_Account6

Summary of Significant Accounting Policies - Summary of Numerators and Denominators in Calculation of Basic and Diluted Net Income (Loss) Per Share (Detail) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Numerators:	'	'	'	'
Net income (loss)	($6,024)	($4,803)	($16,352)	$21,699
Outstanding dilutive securities not included in diluted net loss per share	'	'	'	'
Weighted average shares used to compute basic net income (loss) per share	102,024	87,671	101,953	87,607
Effect of dilutive securities:	'	'	'	'
Dilution from stock options and shares from the employee stock purchase plan	'	'	'	119
Dilutive common shares	'	'	'	119
Weighted average shares used to compute basic net income (loss) per share	102,024	87,671	101,953	87,726
Net income (loss) per share:	'	'	'	'
Basic	($0.06)	($0.05)	($0.16)	$0.25
Diluted	($0.06)	($0.05)	($0.16)	$0.25

Strategic_Agreements_Summary_o

Strategic Agreements - Summary of Collaborative Research and Development and Other Revenues Associated with the Company's Major Third-Party Collaborators (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Related Party Transaction [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	$358,000	$1,126,000	$2,176,000	$41,681,000
Zogenix, Inc. [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	103,000	179,000	602,000	1,816,000
Pfizer Inc. [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	7,000	652,000	20,000	11,779,000
Pain Therapeutics, Inc. [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	2,000	13,000	3,000	14,000
Hospira, Inc. [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	'	'	'	23,726,000
Nycomed Danmark, APS [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	'	'	'	3,705,000
Others [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	$246,000	$282,000	$1,551,000	$641,000

Strategic_Agreements_Summary_o1

Strategic Agreements - Summary of Collaborative Research and Development and Other Revenues Associated with the Company's Major Third-Party Collaborators (Parenthetical) (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Related Party Transaction [Line Items]	'	'	'	'
Amounts related to the ratable recognition of upfront fees	$64,000	$78,000	$177,000	$234,000
Pfizer Inc. [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Amounts related to the ratable recognition of upfront fees	0	0	0	9,900,000
Hospira, Inc. [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Amounts related to the ratable recognition of upfront fees	0	0	0	21,800,000
Nycomed Danmark, APS [Member]	'	'	'	'
Related Party Transaction [Line Items]	'	'	'	'
Amounts related to the ratable recognition of upfront fees	$0	$0	$0	$3,700,000

Strategic_Agreements_Additiona

Strategic Agreements - Additional Information (Detail) (USD $)	1 Months Ended	3 Months Ended		9 Months Ended
	Dec. 31, 2002	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
	Drug
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'	'
Total collaborative research and development and other revenue	'	$358,000	$1,126,000	$2,176,000	$41,681,000
Total revenues recognized	'	2,966,000	3,828,000	11,037,000	49,808,000
Cost of goods sold	'	1,114,000	1,037,000	3,804,000	3,616,000
Cumulative aggregate payments received by the Company	'	'	'	10,600,000	'
Agreement with Pain Therapeutics, Inc. [Member]	'	'	'	'	'
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'	'
Number of specified opioid drugs	4	'	'	'	'
Total collaborative research and development and other revenue	'	2,000	13,000	3,000	14,000
Net receivable from Nycomed	'	'	'	34,200,000	'
Upfront license fee	'	'	'	1,000,000	'
Performance milestone payments based on successful development	'	'	'	9,300,000	'
Development-based milestones	'	9,300,000	'	9,300,000	'
Revenue recognition milestone achieved	'	1,700,000	'	1,700,000	'
Future milestone payments	'	'	'	0	'
Agreement with Pfizer [Member]	'	'	'	'	'
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'	'
Total collaborative research and development and other revenue	'	7,000	611,000	20,000	1,800,000
Net receivable from Nycomed	'	'	'	'	7,100,000
Total revenues recognized	'	0	0	273,000	51,000
Cost of goods sold	'	0	0	219,000	33,000
Agreement with Zogenix, Inc. [Member]	'	'	'	'	'
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'	'
Total collaborative research and development and other revenue	'	103,000	179,000	602,000	1,816,000
Future milestone payments	'	'	'	103,000,000	'
Non-refundable upfront fee	'	'	'	2,250,000	'
Patent royalty term	'	'	'	'15 years	'
Agreement with Zogenix, Inc. [Member] | Development-based milestones [Member]	'	'	'	'	'
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'	'
Future milestone payments	'	'	'	28,000,000	'
Agreement with Zogenix, Inc. [Member] | Sales-based milestones [Member]	'	'	'	'	'
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'	'
Future milestone payments	'	'	'	$75,000,000	'

Strategic_Agreements_Summary_o2

Strategic Agreements - Summary of Collaborative Research and Development Revenue Recognized (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'
Total collaborative research and development and other revenue	$358,000	$1,126,000	$2,176,000	$41,681,000
Agreement with Zogenix, Inc. [Member]	'	'	'	'
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]	'	'	'	'
Ratable recognition of upfront payment	64,000	78,000	177,000	234,000
Research and development expenses reimbursable by the company	39,000	101,000	425,000	1,582,000
Total collaborative research and development and other revenue	$103,000	$179,000	$602,000	$1,816,000

Financial_Instruments_Summary_

Financial Instruments - Summary of Available-for-Sale Securities (Detail) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	$13,896	$27,598
Unrealized Gain	2	6
Unrealized Loss	'	'
Estimated Fair Value	13,898	27,604
Money market funds [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	5,649	4,204
Unrealized Gain	'	'
Unrealized Loss	'	'
Estimated Fair Value	5,649	4,204
Certificates of deposit [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	300	550
Unrealized Gain	'	'
Unrealized Loss	'	'
Estimated Fair Value	300	550
Commercial paper [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	'	8,993
Unrealized Gain	'	'
Unrealized Loss	'	'
Estimated Fair Value	'	8,993
Corporate debt [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	1,021	3,806
Unrealized Gain	'	1
Unrealized Loss	'	'
Estimated Fair Value	1,021	3,807
U.S. Government agencies [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	6,926	10,045
Unrealized Gain	2	5
Unrealized Loss	'	'
Estimated Fair Value	6,928	10,050
Cash and cash equivalents [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	6,015	9,867
Unrealized Gain	'	'
Unrealized Loss	'	'
Estimated Fair Value	6,015	9,867
Short-term investments [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	7,581	17,331
Unrealized Gain	2	6
Unrealized Loss	'	'
Estimated Fair Value	7,583	17,337
Long-term restricted investments [Member]	'	'
Schedule of Available-for-sale Securities [Line Items]	'	'
Amortized Cost	300	400
Unrealized Gain	'	'
Unrealized Loss	'	'
Estimated Fair Value	$300	$400

Financial_Instruments_Summary_1

Financial Instruments - Summary of the Cost and Estimated Fair Value of Available-for-Sale Securities at by Contractual Maturity (Detail) (USD $)	Sep. 30, 2013
In Thousands, unless otherwise specified
Investments Debt And Equity Securities [Abstract]	'
Mature in one year or less, Amortized Cost	$8,247
Mature after one year through five years, Amortized Cost	'
Amortized Cost	8,247
Mature in one year or less, Estimated Fair Value	8,249
Mature after one year through five years, Estimated Fair Value	'
Estimated Fair Value	$8,249

Financial_Instruments_Addition

Financial Instruments - Additional Information (Detail) (USD $)	Sep. 30, 2013
In Thousands, unless otherwise specified
Investments Debt And Equity Securities [Abstract]	'
Unrealized loss of securities	$0

StockBased_Compensation_Summar

Stock-Based Compensation - Summary of Stock-Based Compensation Cost that has been Included in the Statements of Comprehensive Income (Loss) (Detail) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Total stock-based compensation	$814	$1,041	$2,610	$3,287
Cost of product revenues [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Total stock-based compensation	39	60	131	185
Research and development [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Total stock-based compensation	467	643	1,538	1,965
Selling, general and administrative [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Total stock-based compensation	$308	$338	$941	$1,137

StockBased_Compensation_Additi

Stock-Based Compensation - Additional Information (Detail) (USD $)	9 Months Ended	12 Months Ended
	Sep. 30, 2013	Dec. 31, 2012
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]	'	'
Stock-based compensation cost capitalized in inventory	$15,000	$23,000

StockBased_Compensation_Summar1

Stock-Based Compensation - Summary of Assumptions Used to Estimate Fair Value of Options Granted and Shares Purchased (Detail)	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Stock options [Member]	'	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'	'
Risk-free rate, minimum	1.90%	0.70%	1.00%	0.70%
Risk-free rate, maximum	2.70%	0.90%	2.70%	1.50%
Expected dividend yield	'	'	'	'
Volatility, minimum	80.00%	79.00%	77.00%	78.00%
Volatility, maximum	84.00%	82.00%	84.00%	82.00%
Forfeiture rate	8.40%	7.70%	8.40%	7.70%
Stock options [Member] | Minimum [Member]	'	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'	'
Expected life of option (in years)	'6 years 6 months	'5 years 6 months	'6 years 6 months	'5 years 3 months
Stock options [Member] | Maximum [Member]	'	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'	'
Expected life of option (in years)	'9 years 9 months	'6 years 6 months	'10 years	'6 years 6 months
Employee Stock Purchase Plan [Member]	'	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]	'	'	'	'
Risk-free rate, minimum	0.10%	0.20%	0.10%	0.10%
Risk-free rate, maximum	'	'	0.20%	1.00%
Expected dividend yield	'	'	'	'
Expected life of option (in years)	'6 months	'6 months	'6 months	'1 year 3 months
Volatility, minimum	64.00%	86.00%	64.00%	86.00%
Volatility, maximum	'	'	69.00%	101.00%

Operating_Leases_Additional_In

Operating Leases - Additional Information (Detail) (USD $)	Oct. 31, 2013	Sep. 30, 2013	Aug. 31, 2013	Sep. 30, 2013	Aug. 31, 2013
	Financial institution letter of credit [Member]	Cupertino [Member]	Cupertino [Member]	Vacaville [Member]	Vacaville [Member]
	Subsequent Event [Member]		sqft		sqft
Operating Leased Assets [Line Items]	'	'	'	'	'
Area of leased office space	'	'	30,149	'	24,634
Total lease payments	'	$4,600,000	'	$942,000	'
Lease expiration date	'	28-Feb-19	'	31-Aug-18	'
Company deposited in the form of certificate of deposit	$150,000	'	'	'	'