Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Mar. 09, 2017 | Jun. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | DRRX | ||
Entity Registrant Name | DURECT CORP | ||
Entity Central Index Key | 1,082,038 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 141,892,834 | ||
Entity Public Float | $ 135,648,965 |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 5,404 | $ 3,583 |
Short-term investments | 19,600 | 25,457 |
Accounts receivable (net of allowances of $73 at December 31, 2016 and $161 at December 31, 2015) | 1,154 | 2,222 |
Inventories | 3,782 | 3,917 |
Prepaid expenses and other current assets | 2,486 | 3,142 |
Total current assets | 32,426 | 38,321 |
Property and equipment, net | 1,297 | 1,566 |
Goodwill | 6,399 | 6,399 |
Long-term restricted investments | 150 | 250 |
Other long-term assets | 236 | 236 |
Total assets | 40,508 | 46,772 |
Current liabilities: | ||
Accounts payable | 2,086 | 1,286 |
Accrued liabilities | 5,060 | 4,970 |
Contract research liabilities | 783 | 575 |
Deferred revenue, current portion | 968 | 616 |
Term loan, current portion, net | 19,853 | |
Total current liabilities | 28,750 | 7,447 |
Deferred revenue, non-current portion | 1,879 | 2,269 |
Term loan, non-current portion, net | 19,684 | |
Other long-term liabilities | 1,541 | 2,489 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock, $0.0001 par value: 10,000 shares authorized; none issued and outstanding | ||
Common stock, $0.0001 par value: 200,000 shares authorized; 141,297 and 121,839 shares issued and outstanding at December 31, 2016 and 2015, respectively | 14 | 12 |
Additional paid-in capital | 448,404 | 420,453 |
Accumulated other comprehensive income (loss) | (3) | (14) |
Accumulated deficit | (440,077) | (405,568) |
Stockholders’ equity | 8,338 | 14,883 |
Total liabilities and stockholders’ equity | $ 40,508 | $ 46,772 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Allowances for accounts receivable | $ 73 | $ 161 |
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 141,297,000 | 121,839,000 |
Common stock, shares outstanding | 141,297,000 | 121,839,000 |
Statements of Operations And Co
Statements of Operations And Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | |||
Collaborative research and development and other revenue | $ 1,880 | $ 7,832 | $ 8,256 |
Product revenue, net | 12,145 | 11,292 | 11,145 |
Total revenues | 14,025 | 19,124 | 19,401 |
Operating expenses: | |||
Cost of product revenues | 5,290 | 3,905 | 5,686 |
Research and development | 29,274 | 24,317 | 22,429 |
Selling, general and administrative | 11,825 | 11,566 | 12,284 |
Total operating expenses | 46,389 | 39,788 | 40,399 |
Loss from operations | (32,364) | (20,664) | (20,998) |
Other income (expense): | |||
Interest and other income | 143 | 237 | 39 |
Interest expense | (2,288) | (2,236) | (1,151) |
Net other income (expense) | (2,145) | (1,999) | (1,112) |
Net loss | (34,509) | (22,663) | (22,110) |
Net change in unrealized gain (loss) on available-for-sale securities, net of tax | 11 | (101) | 86 |
Total comprehensive loss | $ (34,498) | $ (22,764) | $ (22,024) |
Net loss per share | |||
Basic | $ (0.26) | $ (0.19) | $ (0.20) |
Diluted | $ (0.26) | $ (0.19) | $ (0.20) |
Weighted-average shares used in computing net loss per share | |||
Basic | 133,163 | 118,523 | 111,666 |
Diluted | 133,163 | 118,523 | 111,666 |
Statement of Stockholders' Equi
Statement of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional paid-in capital [Member] | Accumulated other comprehensive income [Member] | Accumulated deficit [Member] |
Beginning balance at Dec. 31, 2013 | $ 30,721 | $ 11 | $ 391,504 | $ 1 | $ (360,795) |
Beginning balance, shares at Dec. 31, 2013 | 110,409 | ||||
Issuance of common stock upon exercise of stock options and purchases of ESPP shares | 399 | 399 | |||
Issuance of common stock upon exercise of stock options and purchases of ESPP shares, shares | 416 | ||||
Issuance of common stock upon equity financings, net of issuance costs | 4,618 | 4,618 | |||
Issuance of common stock upon equity financings, net of issuance cost, shares | 2,908 | ||||
Stock-based compensation expense from stock options and ESPP shares | 4,801 | 4,801 | |||
Net loss | (22,110) | (22,110) | |||
Change in unrealized gain on available-for-sale securities, net of tax | 86 | 86 | |||
Ending balance at Dec. 31, 2014 | 18,515 | $ 11 | 401,322 | 87 | (382,905) |
Ending balance, shares at Dec. 31, 2014 | 113,733 | ||||
Issuance of common stock upon exercise of stock options and purchases of ESPP shares | 1,175 | 1,175 | |||
Issuance of common stock upon exercise of stock options and purchases of ESPP shares, shares | 1,039 | ||||
Issuance of common stock upon equity financings, net of issuance costs | 14,290 | $ 1 | 14,289 | ||
Issuance of common stock upon equity financings, net of issuance cost, shares | 7,067 | ||||
Stock-based compensation expense from stock options and ESPP shares | 3,667 | 3,667 | |||
Net loss | (22,663) | (22,663) | |||
Change in unrealized gain on available-for-sale securities, net of tax | (101) | (101) | |||
Ending balance at Dec. 31, 2015 | 14,883 | $ 12 | 420,453 | (14) | (405,568) |
Ending balance, shares at Dec. 31, 2015 | 121,839 | ||||
Issuance of common stock upon exercise of stock options and purchases of ESPP shares | 410 | 410 | |||
Issuance of common stock upon exercise of stock options and purchases of ESPP shares, shares | 413 | ||||
Issuance of common stock upon equity financings, net of issuance costs | 23,745 | $ 2 | 23,743 | ||
Issuance of common stock upon equity financings, net of issuance cost, shares | 19,045 | ||||
Stock-based compensation expense from stock options and ESPP shares | 3,798 | 3,798 | |||
Net loss | (34,509) | (34,509) | |||
Change in unrealized gain on available-for-sale securities, net of tax | 11 | 11 | |||
Ending balance at Dec. 31, 2016 | $ 8,338 | $ 14 | $ 448,404 | $ (3) | $ (440,077) |
Ending balance, shares at Dec. 31, 2016 | 141,297 |
Statement of Stockholders' Equ6
Statement of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement Of Stockholders Equity [Abstract] | |||
Stock issuance costs | $ 1,364 | $ 491 | $ 192 |
Statement of Cash Flows
Statement of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities | |||
Net loss | $ (34,509) | $ (22,663) | $ (22,110) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Depreciation and amortization | 416 | 425 | 601 |
Stock-based compensation | 2,655 | 2,660 | 3,080 |
Inventory write-off | 687 | 303 | 1,227 |
Amortization of debt issuance cost | 104 | 100 | 38 |
Loss on debt extinguishment | 9 | ||
Net accretion/amortization on investments | (216) | (278) | (351) |
Realized gain from sale of marketable equity security, net of tax | (117) | ||
Changes in assets and liabilities: | |||
Accounts receivable | 1,068 | (100) | 227 |
Inventories | (552) | (579) | (1,369) |
Prepaid expenses and other assets | 656 | (2,056) | 854 |
Accounts payable | 800 | 265 | 285 |
Accrued liabilities | 1,419 | 1,385 | 1,200 |
Contract research liability | 208 | 217 | 29 |
Deferred revenue | (38) | (395) | 1,729 |
Total adjustments | 7,216 | 1,830 | 7,550 |
Net cash used in operating activities | (27,293) | (20,833) | (14,560) |
Cash flows from investing activities | |||
Purchases of property and equipment | (147) | (225) | (204) |
Purchases of available-for-sale securities | (24,400) | (34,040) | (31,472) |
Proceeds from maturities of available-for-sale securities | 30,584 | 40,619 | 16,294 |
Proceeds from sales of short-term investment | 178 | ||
Net cash provided by (used in) investing activities | 6,037 | 6,532 | (15,382) |
Cash flows from financing activities | |||
Payments on equipment financing obligations | (19) | (21) | (17) |
Net proceeds from issuances of common stock upon exercise of stock options, and purchases of ESPP shares | 410 | 1,175 | 399 |
Net proceeds from issuances of common stock in connection with equity financings | 23,745 | 14,290 | 4,618 |
Payment of additional issuance cost for term loan | (173) | (240) | |
Payment of final payment for term loan | (886) | ||
Net proceeds from issuance of term loan | 19,786 | ||
Net cash provided by financing activities | 23,077 | 15,204 | 24,786 |
Net increase (decrease) in cash and cash equivalents | 1,821 | 903 | (5,156) |
Cash and cash equivalents at beginning of year | 3,583 | 2,680 | 7,836 |
Cash and cash equivalents at end of year | 5,404 | 3,583 | 2,680 |
Supplemental disclosure of cash flow information | |||
Cash paid for interest | $ 1,611 | $ 1,595 | $ 691 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 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 biopharmaceutical company with research and development programs broadly falling into two categories: (i) new chemical entities derived from our Epigenetics Regulator Program, in which we attempt to discover and develop molecules which have not previously been approved and marketed as therapeutics, and (ii) Drug Delivery Programs, in which we apply our formulation expertise and technologies largely to active pharmaceutical ingredients whose safety and efficacy have previously been established but which we aim to improve in some manner through a new formulation. 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 and Use of Estimates The Company’s financial statements have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, the reported amounts of revenue and expenses during the reported period and related disclosures. Actual results could differ materially from those estimates. Liquidity and Need to Raise Additional Capital As of December 31, 2016, the Company has an accumulated deficit of $440.1 million as well as negative cash flows from operating activities. Presently, the Company does not have sufficient cash resources to meet its plans for the next twelve months following the issuance of these financial statements. The Company will continue to require substantial funds to continue research and development, including clinical trials of its product candidates. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern for a period of one year from the issuance of these financial statements. Management’s plans in order to meet its operating cash flow requirements include seeking additional collaborative agreements for certain of its programs public offerings and There are no assurances that such additional funding will be obtained and that the Company will succeed in its future operations. If the Company cannot successfully raise additional capital and implement its strategic development plan, its liquidity, financial condition and business prospects will be materially and adversely affected, and the Company may have to cease operations. As further described in Note 8, the Company had reclassified its term loan as a current liability from a non-current liability on its balance sheet as of December 31, 2016. These financial statements have been prepared on a going concern basis and do not include any adjustments to the amounts and classification of assets and liabilities that may be necessary in the event the Company can no longer continue as a going concern. Cash, Cash Equivalents and Investments The Company considers all highly liquid investments with maturities of 90 days or less from the date of purchase to be cash equivalents. Investments with original maturities of greater than 90 days from the date of purchase but less than one year from the balance sheet date are classified as short-term investments, while investments with maturities in one year or beyond one year from the balance sheet date are classified as long-term investments. Management determines the appropriate classification of its cash equivalents and investment securities at the time of purchase and re-evaluates such determination as of each balance sheet date. Management has classified the Company’s cash equivalents and investments as available-for-sale securities in the accompanying financial statements. Available-for-sale securities are carried at fair value, with unrealized gains and losses reported as a component of accumulated other comprehensive loss. Realized gains and losses are included in interest income. There were no material realized gains or losses in the periods presented other than the gain realized from sale of a marketable equity security in the year ended December 31, 2015. The cost of securities sold is based on the specific identification method. The Company invests in debt instruments of government agencies and corporations, and money market funds with high credit ratings. The Company has established guidelines regarding diversification of its investments and their maturities with the objectives of maintaining safety and liquidity, while maximizing yield. Concentrations of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of interest-bearing investments and trade receivables. The Company maintains cash, cash equivalents and investments with various major financial institutions. The Company performs periodic evaluations of the relative credit standing of these financial institutions. In addition, the Company performs periodic evaluations of the relative credit quality of its investments. Pharmaceutical companies and academic institutions account for a substantial portion of the Company’s trade receivables. The Company provides credit in the normal course of business to its customers and collateral for these receivables is generally not required. The risk associated with this concentration is limited to a certain extent due to the large number of accounts and their geographic dispersion. The Company monitors the creditworthiness of its customers to which it grants credit terms in the normal course of business. The Company maintains reserves for estimated credit losses and, to date, such losses have been within management’s expectations. Customer and Product Line Concentrations A portion of the Company’s revenue is derived from its ALZET mini pump product line, LACTEL biodegradable polymer product line and the sale of certain excipients for REMOXY ER and one excipient that is included in a currently marketed animal health product. In 2016, revenue from the ALZET product line and the LACTEL product line accounted for 51% and 31% of total revenue, respectively. In 2015, revenue from the ALZET product line and the LACTEL product line accounted for 36% and 22% of total revenue, respectively. In 2014, revenue from the ALZET product line and the LACTEL product line accounted for 37% and 19% of total revenue, respectively. In 2016, Tolmar accounted for 15% of the Company’s total revenues. In 2015, Zogenix and Tolmar accounted for 26% and 11% of the Company’s total revenues. In 2014, Zogenix and Impax accounted for 23% and 11% of the Company’s total revenues. Total revenue by geographic region for the years 2016, 2015 and 2014 are as follows (in thousands): Year ended December 31, 2016 2015 2014 United States $ 9,082 $ 14,289 $ 15,532 Europe 1,945 1,817 1,986 Japan 1,413 1,897 898 Other 1,585 1,121 985 Total $ 14,025 $ 19,124 $ 19,401 Revenue by geography is determined by the location of the customer. Inventories Inventories are stated at the lower of cost or market, with cost determined on a first-in, first-out basis. Inventories, in part, include certain excipients that are sold to a customer for a currently marketed animal health product and included in several products in development or awaiting regulatory approval. These inventories are capitalized based on management’s judgment of probable sale prior to their expiration date which in turn is primarily based on non-binding forecasts from the Company’s customers as well as management’s internal estimates. The valuation of inventory requires management to estimate the value of inventory that may become expired prior to use. The Company may be required to expense previously capitalized inventory costs upon a change in management’s judgment due to, among other potential factors, a denial or delay of approval of a customer’s product by the necessary regulatory bodies, or new information that suggests that the inventory will not be saleable. In addition, these circumstances may cause the Company to record a liability related to minimum purchase agreements that the Company has in place for raw materials. In 2014, the Company recorded charges to cost of goods sold of approximately $1.6 million, of which approximately $1.1 million related to the write-down of the cost basis of inventory and $500,000 related to the accrual of a liability for the minimum purchase commitment for the excipients. In 2016, the Company recorded charges to cost of goods sold of approximately $926,000, of which approximately $426,000 related to the write-down of the cost basis of inventory and approximately $500,000 related to the write off of prepaid inventory for the minimum purchase commitment for an excipient. As of December 31, 2016, the remaining carrying value of the excipients in the Company’s inventory was $627,000. In addition, the Company has remaining unrecorded future purchase commitments totaling $1.0 million through 2018. In the event that management determines that the Company will not utilize all of these materials, there could be a potential write-off related to this inventory and a reserve for future purchase commitments. The Company’s inventories consisted of the following (in thousands): December 31, 2016 2015 Raw materials $ 745 $ 1,168 Work in-process 1,672 1,412 Finished goods 1,365 1,337 Total inventories $ 3,782 $ 3,917 Property and Equipment Property and equipment are stated at cost less accumulated depreciation, which is computed using the straight-line method over the estimated useful lives of the assets, which range from three to five years. Leasehold improvements are amortized using the straight-line method over the estimated useful lives of the assets, or the terms of the related leases, whichever are shorter. Acquired Intangible Assets and Goodwill Acquired intangible assets consist of patents, developed technology, trademarks and customer lists related to the Company’s acquisitions accounted for using the purchase method. Amortization of these purchased intangibles is calculated on a straight-line basis over the respective estimated useful lives of the assets ranging from four to seven years. The Company assesses goodwill for impairment at least annually. Impairment of Long-Lived Assets The Company reviews long-lived assets, including property and equipment, intangible assets, and other long-term assets, for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable. An impairment loss would be recognized when estimated undiscounted future cash flows expected to result from the use of the asset and its eventual disposition is less than its carrying amount. Impairment, if any, is calculated as the amount by which an asset’s carrying value exceeds its fair value, typically using discounted cash flows to determine fair value. Through December 31, 2016, there have been no material impairment losses. Stock-Based Compensation The Company accounts for share-based payments using a fair-value based method for costs related to all share-based payments, including stock options and stock issued under the Company’s employee stock purchase plan (ESPP). The Company estimates the fair value of share-based payment awards on the date of grant using an option-pricing model. See Note 9 for further information regarding stock-based compensation. 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. Research and development revenue related to services performed under the collaborative arrangements with the Company’s third-party collaborators is recognized as the related research and development services are performed. These research payments received under each respective agreement are not refundable and are generally based on reimbursement of qualified expenses, as defined in the agreements. Research and development expenses under the collaborative research and development agreements generally approximate or exceed the revenue recognized under such agreements over the term of the respective agreements. Deferred revenue may result when the Company does not expend the required level of effort during a specific period in comparison to funds received under the respective agreement. Milestone payments under collaborative arrangements are triggered either by the results of the Company’s research and development efforts or by specified sales results by a third-party collaborator. Milestones related to the Company’s development-based activities may include initiation of various phases of clinical trials, successful completion of a phase of development or results from a clinical trial, acceptance of a New Drug Application by the FDA or an equivalent filing with an equivalent regulatory agency in another territory, or regulatory approval by the FDA or by an equivalent regulatory agency in another territory. Due to the uncertainty involved in meeting these development-based milestones, the development-based milestones are considered to be substantial (i.e., not just achieved through passage of time) at the inception of the collaboration agreement. In addition, the amounts of the payments assigned thereto are considered to be commensurate with the enhancement of the value of the delivered intellectual property as a result of the Company’s performance. The Company’s involvement is generally necessary to the achievement of development-based milestones. The Company would account for development-based milestones as revenue upon achievement of the substantive milestone events. Milestones related to sales-based activities may be triggered upon events such as the first commercial sale of a product or when sales first achieve a defined level. Under the Company’s collaborative agreements, the Company’s third-party collaborators will take the lead in commercialization activities and the Company is typically not involved in the achievement of sales-based milestones. These sales-based milestones would be achieved after the completion of the Company’s development activities. The Company would account for the sales-based milestones in the same manner as royalties, with revenue recognized upon achievement of the milestone. In addition, upon the achievement of either development-based or sales-based milestone events, the Company has no future performance obligations related to any milestone payments. Research and Development Expenses Research and development expenses are primarily comprised of salaries and benefits associated with research and development personnel, overhead and facility costs, preclinical and non-clinical development costs, clinical trial and related clinical manufacturing costs, contract services, and other outside costs. Research and development costs are expensed as incurred. Research and development costs paid to third parties under sponsored research agreements are recognized as the related services are performed. In addition, net reimbursements of research and development expenses incurred by the Company’s partners are recorded as collaborative research and development revenue. Comprehensive Income (Loss) Accumulated other comprehensive income (loss) as of December 31, 2016, 2015 and 2014 is entirely comprised of unrealized gains or losses on available-for-sale securities. Segment Reporting The Company operates in one operating segment, which is the research, development and manufacturing of pharmaceutical products. Net Loss Per Share Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding. Diluted net loss per share is computed using the weighted-average number of common shares outstanding and common stock equivalents (i.e., options and warrants 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 loss per share were as follows (in thousands except per share amounts): Year Ended December 31, 2016 2015 2014 Numerators: Net loss $ (34,509 ) $ (22,663 ) $ (22,110 ) Denominators: Weighted average shares used to compute basic net loss per share 133,163 118,523 111,666 Effect of dilutive securities: Dilution from stock options — — — Dilution from ESPP — — — Dilutive common shares — — — Weighted average shares used to compute basic net loss per share 133,163 118,523 111,666 Net loss per share: Basic $ (0.26 ) $ (0.19 ) $ (0.20 ) Diluted $ (0.26 ) $ (0.19 ) $ (0.20 ) The computation of diluted net loss per share for the years ended December 31, 2016, 2015 and 2014 excludes the impact of options to purchase 18.7 million, 16.5 million and 20.0 million shares of common stock outstanding, respectively, at December 31, 2016, 2015 and 2014, as such impact would be antidilutive. Shipping and Handling Costs related to shipping and handling are included in cost of revenues for all periods presented. Operating Leases The Company leases administrative, manufacturing and laboratory facilities under operating leases. Lease agreements may include rent holidays, rent escalation clauses and tenant improvement allowances. The Company recognizes scheduled rent increases on a straight-line basis over the lease term beginning with the date the Company takes possession of the leased space. The Company records tenant improvement allowances as deferred rent liabilities and amortizes the deferred rent over the terms of the lease to rent expense on the statements of operations and comprehensive loss. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (ASU 2014-09), which amends the guidance in former ASC 605, Revenue Recognition. The core principle of the guidance is that an entity should recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The guidance provides companies with two implementation methods. Companies can choose to apply the standard retrospectively to each prior reporting period presented (full retrospective application) or retrospectively with the cumulative effect of initially applying the standard as an adjustment to the opening balance of retained earnings of the annual reporting period that includes the date of initial application (modified retrospective application). The standard is effective for the Company in the first quarter of 2018. Early adoption up to the first quarter of 2017 is permitted. The Company has not yet completed its final analysis of the impact of this guidance. To date, the Company’s revenues have been derived from product sales and from license and collaboration agreements. Based on the Company’s preliminary analysis, it does not currently anticipate a material quantitative impact on product revenue as the timing of revenue recognition for product sales is not expected to significantly change. For the Company’s license and collaboration agreements, the consideration the Company is eligible to receive under these agreements typically consists of upfront payments, research and development funding, milestone payments, and royalties. Each license and collaboration agreement is unique and will need to be assessed separately under the five-step process under the new standard. The Company continues to review the impact that this new standard will have on collaboration and license arrangements as well as on its financial statement disclosures. The Company has not yet concluded as to the method it will select to adopt the standard. In November 2015, the FASB issued Accounting Standards Update 2015-17(ASU 2015-17), Balance Sheet Classification of Deferred Taxes to simplify the presentation of deferred income taxes. The amendments in this update require that deferred tax liabilities and assets be classified as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. The Company adopted ASU 2015-17, on a prospective basis, for the year ended December 31, 2015. Prior periods were not retrospectively adjusted. There is no impact to the balance sheet amounts as a result of early adoption. In February 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-02, Leases (Topic 842), which amends the existing accounting standards for leases. The new standard requires lessees to record a right-of-use asset and a corresponding lease liability on the balance sheet (with the exception of short-term leases). For lessees, leases will continue to be classified as either operating or financing in the income statement. This ASU becomes effective for the Company in the first quarter of fiscal year 2019 and early adoption is permitted. This ASU is required to be applied with a modified retrospective approach and requires application of the new standard at the beginning of the earliest comparative period presented. The Company is currently evaluating the impact that ASU 2016-02 will have on its financial statements. In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting. ASU 2016-09 simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as equity or liabilities, an option to recognize gross share compensation expense with actual forfeitures recognized as they occur, as well as certain classifications on the statement of cash flows. The Company adopted ASU 2016-09 in the first quarter of 2017 which did not have a material impact on its financial statements. |
Strategic Agreements
Strategic Agreements | 12 Months Ended |
Dec. 31, 2016 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Strategic Agreements | 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): Year ended December 31, 2016 2015 2014 Collaborator Pain Therapeutics, Inc. (Pain Therapeutics) $ 670 $ 1,385 $ 1,359 Zogenix, Inc. (Zogenix) (1) 555 4,898 4,431 Santen Pharmaceutical Co. Ltd. (Santen) (2) 514 824 16 Impax Laboratories, Inc. (Impax) (3) — — 2,106 Pfizer Inc. (Pfizer) — — 118 Others 141 725 226 Total collaborative research and development and other revenue $ 1,880 $ 7,832 $ 8,256 (1) Amounts related to ratable recognition of upfront fees were $208,000 in 2016 and $255,000 in 2015 and 2014; the Company and Zogenix signed a license agreement effective July 11, 2011. (2) Amounts related to ratable recognition of upfront fees were $228,000 in 2016, $274,000 in 2015 and $15,000 in 2014, respectively; the Company and Santen signed a license agreement effective December 11, 2014. (3) Amounts related to recognition of upfront fees were zero in 2016 and 2015 and $2.0 million in 2014, respectively; the Company and Impax signed a license agreement effective January 3, 2014. As of March 9, 2017, the Company had potential milestones of up to $241.5 million that the Company may receive in the future under its collaborative arrangements, of which $73.5 million are development-based milestones and $168.0 million are sales-based milestones. Within the category of development-based milestones, $5.0 million are related to early stage clinical testing (defined as Phase 1 or 2 activities), $12.0 million are related to late stage clinical testing (defined as Phase 3 activities), $20.0 million are related to regulatory filings, and $36.5 million are related to regulatory approvals. No payments were received between December 31, 2016 and March 9, 2017. 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 ER 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 $670,000 in 2016, $1.4 million in 2015 and $1.4 million in 2014. In May 2015, Pain Therapeutics sent a letter to the Company that provided the Company with formal written notice that Pain Therapeutics was deleting, effective as of January 12, 2015, the opioid drug hydrocodone (and only hydrocodone) as a licensed product under the agreement. The letter did not alter the terms of the agreement regarding the remaining three licensed products (REMOXY ER, hydromorphone or oxymorphone) or otherwise amend the agreement. In December 2016, Pain Therapeutics returned to the Company all of Pain Therapeutics’ rights and was relieved of its obligations under the Company’s license agreement to develop and commercialize ORADUR-based formulations of hydromorphone and oxymorphone but without impacting the rights and obligations of the two parties with respect to REMOXY ER. Under the agreement with Pain Therapeutics, subject to and upon the achievement of predetermined development and regulatory milestones for REMOXY ER, the Company is entitled to receive milestone payments of up to $3.0 million in the aggregate. The cumulative aggregate payments received by the Company from Pain Therapeutics as of December 31, 2016 were $40.3 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 $3.0 million in performance milestone payments based on the successful development and approval of REMOXY ER. Of these potential milestones, all $3.0 million are development-based milestones. There are no sales-based milestones under the agreement. As of December 31, 2016, the Company had received $1.5 million in cumulative milestone payments. In March 2009, King Pharmaceuticals (King) assumed the responsibility for further development of REMOXY ER from Pain Therapeutics, and in February 2011, Pfizer acquired King and thereby assumed the rights and obligations of King with respect to REMOXY ER. In October 2014, Pfizer notified Pain Therapeutics that Pfizer had decided to discontinue development of REMOXY ER, and that Pfizer would return all rights, including responsibility for regulatory activities, to Pain Therapeutics and that Pfizer would continue ongoing activities under the agreement until the scheduled termination date in April 2015. The cumulative aggregate payments received by the Company from Pfizer and King as of December 31, 2016 were $7.1 million under this agreement. In July 2015, Pain Therapeutics stated that it had substantially completed the transition of REMOXY ER from Pfizer. In March 2016, Pain Therapeutics resubmitted the New Drug Application (NDA) to the U.S. Food and Drug Administration (FDA), and in September 2016, Pain Therapeutics received a Complete Response Letter from the FDA for REMOXY ER. Based on its review, the FDA has determined that the NDA cannot be approved in its present form and specifies additional actions and data that are needed for drug approval. Total collaborative research and development revenue recognized for REMOXY-related work performed by the Company for Pfizer was zero for the years ended December 31, 2016 and 2015 and $118,000 for the year ended December 31, 2014, respectively. Total collaborative research and development revenue recognized for REMOXY-related work performed by the Company for Pain Therapeutics was $170,000, $740,000 and zero for the years ended December 31, 2016, 2015 and 2014, respectively. Prior to March 2009 and after November 2014, the Company recognized collaborative research and development revenue for REMOXY-related work under the agreement with Pain Therapeutics. 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 ER with King. In February 2011, Pfizer acquired King and thereby assumed the rights and obligations of King with respect to this long term supply agreement. This agreement stipulated the terms and conditions under which the Company would 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 ER. The term of the agreement commenced in August 2009 and continued in effect until April 2015, when the related development and license agreement between Pain Therapeutics and King terminated. In 2016, 2015 and 2014, the Company recognized $653,000, $96,000 and $33,000 of product revenue, respectively, related to key excipients for REMOXY ER and the associated cost of goods sold was $216,000, $51,000 and zero, respectively. Recent orders for these excipients from Pain Therapeutics have been processed through mutually agreeable purchase orders, in the absence of an existing long-term contract. Pursuant to the Company’s 2002 agreement with Pain Therapeutics, the Company is to be the exclusive supplier of certain defined excipients for products in the collaboration. Agreement with Zogenix, Inc. On July 11, 2011, the Company and Zogenix, Inc. (Zogenix) entered into a Development and License Agreement (the Zogenix 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 Zogenix 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 potentially 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 developments, regulatory and sales milestones. Of these potential milestones, $28 million are development-based milestones (none of which has been achieved as of December 31, 2016), and $75 million are sales-based milestones (none of which has been achieved as of December 31, 2016). 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 III clinical trial and commercial product requirements on the terms set forth in the Zogenix Agreement. Zogenix may terminate the Zogenix Agreement without cause at any time upon prior written notice, and either party may terminate the Zogenix Agreement upon certain circumstances including written notice of a material uncured breach. 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 December 31, 2016 were $20.1 million under these agreements. Year Ended December 31, 2016 2015 2014 Ratable recognition of upfront payment $ 208 $ 255 $ 255 Research and development expenses reimbursable by Zogenix 347 4,643 4,176 Total collaborative research and development revenue $ 555 $ 4,898 $ 4,431 Agreement with Impax Laboratories, Inc. On January 3, 2014, the Company and Impax Laboratories, Inc. (Impax) entered into a definitive agreement (the Impax Agreement). Pursuant to the Impax Agreement, the Company granted Impax an exclusive worldwide license to the Company’s proprietary TRANSDUR transdermal delivery technology and other intellectual property to develop and commercialize ELADUR, the Company’s investigational transdermal bupivacaine patch for the treatment of pain associated with post-herpetic neuralgia (PHN), in addition to selling certain assets and rights in and related to the product. Impax will control and fund the development and commercialization programs, and the parties established a joint management committee to oversee, review and coordinate the development and commercialization activities of the parties under the Impax Agreement. Impax will reimburse the Company for certain future research and development it may be requested to conduct on the product. In connection with the Impax Agreement, Impax paid a non-refundable upfront fee to the Company of $2.0 million in January 2014. The Company’s technology transfer activities were considered integral to utilizing the licensed intellectual property and, accordingly, the deliverables were accounted for as a single unit of accounting. The $2.0 million upfront fee was recognized as collaborative research and development revenue in the first quarter of 2014 when the license to the intellectual property right was delivered and the technology transfer with respect to this product candidate was completed. Impax agreed to make contingent cash payments to the Company of up to $61.0 million payable based upon the achievement of predefined milestones, of which $31.0 million are development-based milestones and $30.0 million are sales-based milestones (none of which has been achieved as of December 31, 2016). Since the milestones are expected to be achieved at a point in time when there are no performance obligations or remaining deliverables of the Company, the milestones are expected to be recognized in full upon achievement. Upon the first commercialization of ELADUR by Impax, the Company would also receive a tiered mid single-digit to low double-digit royalty on annual net product sales determined on a country-by-country basis. Impax is also required to pay to the Company a percentage of fees received in connection with any sublicense of the licensed rights. Impax may terminate the Impax Agreement without cause at any time upon prior written notice, and either party may terminate the Impax Agreement upon certain circumstances including written notice of a material uncured breach. The following table provides a summary of collaborative research and development revenue recognized under the Impax Agreement (in thousands). The cumulative aggregate payments received by the Company as of December 31, 2016 were $2.1 million under the agreement. Year Ended December 31, 2016 2015 2014 Ratable recognition of upfront payment $ — $ — $ 2,000 Research and development expenses reimbursable by Impax — — 106 Total collaborative research and development revenue $ — $ — $ 2,106 Agreement with Santen Pharmaceutical Co., Ltd. On December 11, 2014, the Company and Santen Pharmaceutical Co., Ltd. (Santen) entered into a definitive agreement (the Santen Agreement). Pursuant to the Santen Agreement, the Company granted Santen an exclusive worldwide license to the Company’s proprietary SABER formulation platform and other intellectual property to develop and commercialize a sustained release product utilizing the Company’s SABER technology to deliver an ophthalmology drug. Santen controls and funds the development and commercialization program, and the parties established a joint management committee to oversee, review and coordinate the development activities of the parties under the Santen Agreement. In connection with the Santen agreement, Santen agreed to pay the Company an upfront fee of $2.0 million in cash and to make contingent cash payments to the Company of up to $76.0 million upon the achievement of certain milestones, of which $13.0 million are development-based milestones and $63.0 million are commercialization-based milestones including milestones requiring the achievement of certain product sales targets (none of which has been achieved as of December 31, 2016). Santen will also pay for certain Company costs incurred in the development of the licensed product. If the product is commercialized, the Company would also receive a tiered royalty on annual net product sales ranging from single-digit to the low double digits, determined on a country-by-country basis. As of December 31, 2016, the cumulative aggregate payments received by the Company under this agreement were $3.3 million. The following table provides a summary of collaborative research and development revenue recognized under the Santen Agreement (in thousands). Year Ended December 31, 2016 2015 2014 Ratable recognition of upfront payment $ 228 $ 274 $ 15 Research and development expenses reimbursable by Santen 286 550 1 Total collaborative research and development revenue $ 514 $ 824 $ 16 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | 3. Goodwill Goodwill totaled $6.4 million at December 31, 2016. The Company evaluates goodwill for impairment at least annually. In 2016, 2015 and 2014, goodwill was evaluated and no indicators of impairment were noted. Should goodwill become impaired, the Company may be required to record an impairment charge. To date, the Company has not recorded any impairment charge to goodwill. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments | 4. 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. The following table sets forth the fair value of the Company’s financial assets that were measured at fair value on a recurring basis as of December 31, 2016 (in thousands): Level 1 Level 2 Level 3 Total Money market funds $ 693 $ — $ — $ 693 Certificates of deposit — 150 — 150 Commercial paper — 4,947 — 4,947 Corporate debt — 2,643 — 2,643 U.S. Government agencies — 14,459 — 14,459 Total $ 693 $ 22,199 — $ 22,892 The following table sets forth the fair value of our financial assets that were measured at fair value on a recurring basis as of December 31, 2015 (in thousands): Level 1 Level 2 Level 3 Total Money market funds $ 81 $ — $ — $ 81 Certificates of deposit — 250 — 250 Commercial paper — 898 — 898 Corporate debt — 5,211 — 5,211 U.S. Government agencies — 19,548 — 19,548 Total $ 81 $ 25,907 $ — $ 25,988 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 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 December 31, 2016 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 December 31, 2016 and 2015 (in thousands): December 31, 2016 Amortized Cost Unrealized Gain Unrealized Loss Estimated Fair Value Money market funds $ 693 $ — $ — $ 693 Certificates of deposit 150 — — 150 Commercial paper 4,947 — — 4,947 Corporate debt 2,644 — (1 ) 2,643 U.S. Government agencies 14,461 1 (3 ) 14,459 $ 22,895 $ 1 $ (4 ) $ 22,892 Reported as: Cash and cash equivalents $ 3,142 $ — $ — $ 3,142 Short-term investments 19,603 1 (4 ) 19,600 Long-term restricted investments 150 — — 150 $ 22,895 $ 1 $ (4 ) $ 22,892 December 31, 2015 Amortized Cost Unrealized Gain Unrealized Loss Estimated Fair Value Money market funds $ 81 $ — $ — $ 81 Certificates of deposit 250 — — 250 Commercial paper 898 — — 898 Corporate debt 5,215 1 (5 ) 5,211 U.S. Government agencies 19,558 1 (11 ) 19,548 $ 26,002 $ 2 $ (16 ) $ 25,988 Reported as: Cash and cash equivalents $ 281 $ — $ — $ 281 Short-term investments 25,471 2 (16 ) 25,457 Long-term restricted investments 250 — — 250 $ 26,002 $ 2 $ (16 ) $ 25,988 The following is a summary of the cost and estimated fair value of available-for-sale securities at December 31, 2016, by contractual maturity (in thousands): December 31, 2016 Amortized Cost Estimated Fair Value Mature in one year or less $ 22,202 $ 22,199 Mature after one year through five years — — $ 22,202 $ 22,199 There were no securities that have had an unrealized loss for more than 12 months as of December 31, 2016. As of December 31, 2016, 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. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | 5. Property and Equipment Property and equipment consist of the following (in thousands): December 31, 2016 2015 Equipment $ 12,633 $ 12,372 Leasehold improvement 10,007 9,987 Construction-in-progress 33 178 22,673 22,537 Less accumulated depreciation and amortization (21,376 ) (20,971 ) Property and equipment, net $ 1,297 $ 1,566 Depreciation expense was $416,000, $425,000 and $582,000 in 2016, 2015 and 2014, respectively. Amortization expense was zero, $1,000 and $17,000 in 2016, 2015 and 2014 for assets held under capital leases, respectively. As of December 31, 2016, the Company has recorded $690,000 as a liability which was included in other long-term liabilities on its balance sheet for asset retirement obligations associated with the estimated restoration cost for its leased buildings. |
Restricted Investments
Restricted Investments | 12 Months Ended |
Dec. 31, 2016 | |
Text Block [Abstract] | |
Restricted Investments | 6. Restricted Investments As of December 31, 2016 and 2015, the Company had $150,000 and $250,000, respectively, recorded as restricted investments, which primarily served as collateral for letters of credit securing its leased facilities in Alabama and California. |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2016 | |
Text Block [Abstract] | |
Commitments | 7. Commitments Operating Leases The Company has lease arrangements for its facilities in California and Alabama. Under these leases, the Company is required to pay certain maintenance expenses in addition to monthly rent. Rent expense is recognized on a straight-line basis over the lease term for leases that have scheduled rental payment increases. Rent expense under all operating leases was $1.9 million, $1.9 million and $1.8 million, for the years ended December 31, 2016, 2015 and 2014, respectively. Future minimum payments under these noncancelable leases are as follows (in thousands): Year ending December 31, Operating Leases 2017 $ 2,000 2018 1,948 2019 539 2020 324 Thereafter 193 $ 5,004 Other Purchase Commitments In 2005, the Company entered into a supply agreement with a vendor. The remaining minimum purchase commitments under this agreement are $500,000 per year through 2018. The Company accrued $500,000 as a loss on a purchase obligation and recorded this amount as a charge in cost of goods of sold in the statement of operations and comprehensive income (loss) for the year ended December 31, 2014 and recorded a charge in cost of goods sold of $500,000 related to the write-off of prepaid inventory for the minimum purchase commitment in the year ended December 31, 2016. |
Term Loan
Term Loan | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Term Loan | 8. Term Loan On June 26, 2014, the Company entered into a Loan and Security Agreement (the “2014 Loan Agreement”) with Oxford Finance LLC, pursuant to which Oxford Finance provided a $20 million secured single-draw term loan to the Company with a maturity date of July 1, 2018. The term loan was fully drawn at close and the proceeds are to be used for working capital and general business requirements. The term loan repayment schedule provided for interest only payments for the first 18 months, followed by consecutive equal monthly payments of principal and interest in arrears starting on February 1, 2016 and continuing through the maturity date. The 2014 Loan Agreement provided for a 7.95% interest rate on the term loan, a $150,000 facility fee that was paid at closing and an additional payment equal to 8% of the principal amount of the term loan, which is due when the term loan becomes due or upon the prepayment of the facility. If the Company elects to prepay the loan, there is also a prepayment fee between 1% and 3% of the principal amount of the term loan depending on the timing and circumstances of prepayment. In connection with the term loan, the Company received proceeds of $19.8 million, net of debt offering/issuance costs. The debt offering/issuance costs had been recorded as debt discount on the Company’s balance sheet which together with the final $1.6 million payment and fixed interest rate payments was being amortized to interest expense throughout the life of the term loan using the effective interest rate method. In July 2015, the Company and Oxford Finance entered into the First Amendment of the 2014 Loan Agreement and modified the terms of the 2014 Loan Agreement to change the maturity date from July 1, 2018 to July 1, 2019 and to change the first principal payment date from February 1, 2016 to February 1, 2017. The interest rate remained unchanged, the Company paid a loan modification fee of $240,000 and the additional payment originally equal to 8% of the principal amount of the term loan, which was due when the term loan becomes due or upon the prepayment of the facility, was increased to 10%. Consistent with the accounting treatment noted above for the final payment, the loan modification fee has been recorded on the balance sheet as a debt discount and was being amortized to interest expense over the remaining life of the term loan using the effective interest method. In July 2016, the Company renegotiated the terms of its $20.0 million secured single-draw term loan with Oxford Finance with such renegotiated terms being formalized in a new Loan and Security Agreement (the “2016 Loan Agreement”). The 2016 Loan Agreement provides for interest only payments for the first 18 months, followed by consecutive monthly payments of principal and interest in arrears starting on March 1, 2018 and continuing through the maturity date of the term loan of August 1, 2020. The 2016 Loan Agreement also provides for a floating interest rate (7.95% initially) based on an index rate plus a spread, a $150,000 facility fee that was paid at closing and an additional payment equal to 9.25% of the principal amount of the term loan, which is due when the term loan becomes due or upon the prepayment of the facility. If the Company elects to prepay the loan, there is also a prepayment fee between 1% and 3% of the principal amount of the term loan depending on the timing of prepayment. The facility fee and other debt offering/issuance costs have been recorded as debt discount on the Company’s balance sheet and together with the final $1.9 million payment and interest rate payments are being amortized to interest expense during the life of the term loan using the effective interest rate method. In connection with this renegotiation, the Company also paid Oxford Finance $886,000, which represented a portion of the final payment under the 2014 Loan Agreement which would have been payable to Oxford Finance when that loan became due. Upon the repayment of the existing loan agreement in July 2016, the Company recognized a loss on debt extinguishment of approximately $9,000 in the year ended December 31, 2016 within other income (expense) in the Condensed Statements of Comprehensive Loss. The term loan is secured by substantially all of the assets of the Company, except that the collateral does not include any intellectual property (including licensing, collaboration and similar agreements relating thereto), and certain other excluded assets. The 2016 Loan Agreement contains customary representations, warranties and covenants by the Company, which covenants limit the Company’s ability to convey, sell, lease, transfer, assign or otherwise dispose of certain assets of the Company; engage in any business other than the businesses currently engaged in by the Company or reasonably related thereto; liquidate or dissolve; make certain management changes; undergo certain change of control events; create, incur, assume, or be liable with respect to certain indebtedness; grant certain liens; pay dividends and make certain other restricted payments; make certain investments; and make payments on any subordinated debt. The 2016 Loan Agreement also contains customary indemnification obligations and customary events of default, including, among other things, the Company’s failure to fulfill certain obligations of the Company under the 2016 Loan Agreement and the occurrence of a material adverse change which is defined as a material adverse change in the Company’s business, operations, or condition (financial or otherwise), a material impairment of the prospect of repayment of any portion of the loan, or a material impairment in the perfection or priority of lender’s lien in the collateral or in the value of such collateral. In the event of default by the Company under the 2016 Loan Agreement, the lender would be entitled to exercise its remedies thereunder, including the right to accelerate the debt, upon which the Company may be required to repay all amounts then outstanding under the 2016 Loan Agreement, which could harm the Company’s financial condition. The conditionally exercisable call option related to the event of default is considered to be an embedded derivative which is required to be bifurcated and accounted for as a separate financial instrument. In the periods presented, the value of the embedded derivative is not material, but could become material in future periods if an event of default became more probable than is currently estimated. As of December 31, 2016, the Company was in compliance with all material covenants under the Loan Agreement and there had been no material adverse change. In accordance with ASC 470-10-45-2, the term loan had been reclassified to a current liability from a non-current liability on the Company’s balance sheet as of December 31, 2016 due to recurring losses, liquidity concerns and a subjective acceleration clause in the Company’s 2016 Loan Agreement. The fair value of the term loan approximates the carrying value. Future maturities and interest payments under the term loan as of December 31, 2016, are as follows (in thousands): 2017 $ 1,612 2018 8,698 2019 8,724 2020 6,642 Total minimum payments 25,676 Less amount representing interest (5,676 ) Gross balance of term loan 20,000 Less unamortized debt discount (147 ) Carrying value of term loan 19,853 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Stockholders' Equity | 9. Stockholders’ Equity Common Stock In December 2013, the Company filed a shelf registration statement on Form S-3 with the SEC, which upon being declared effective in January 2014, allowed for the offer of up to $100.9 million of securities from time to time in one or more public offerings of common stock. In addition, the Company entered into a Controlled Equity Offering sales agreement with Cantor Fitzgerald & Co. (Cantor Fitzgerald), under which it may sell, subject to certain limitations, up to $25 million of common stock through Cantor Fitzgerald, acting as agent. In November 2015, we filed a new shelf registration statement on Form S-3 with the SEC, which upon being declared effective in November 2015, terminated the December 2013 registration statement and allowed us to offer up to $125.0 million of securities from time to time in one or more public offerings of our common stock. In addition, we entered into a Controlled Equity Offering sales agreement with Cantor Fitzgerald, under which we may sell, subject to certain limitations, up to $40 million of common stock through Cantor Fitzgerald, acting as agent. In 2014, the Company raised net proceeds (net of commissions) of approximately $4.7 million from the sale of approximately 2.9 million shares of common stock in the open market through the Controlled Equity Offering program with Cantor Fitzgerald at a weighted average price of $1.65 per share. In 2015, the Company raised net proceeds (net of commissions) of approximately $14.3 million from the sale of approximately 7.1 million shares of its common stock in the open market through the Controlled Equity Offering program with Cantor Fitzgerald at a weighted average price of $2.09 per share. In 2016, the Company raised net proceeds of approximately $16.1 million (after deducting underwriting discounts and commissions and offering expense) through the sale of approximately 13.8 million shares of its common stock in an underwritten public offering at a price to the public of $1.25 per share and raised net proceeds (net of commissions) of approximately $7.6 million from the sale of approximately 5.2 million shares of its common stock in the open market through the Controlled Equity Offering program with Cantor Fitzgerald at a weighted average price of $1.50 per share. Description of Stock-Based Compensation Plans 2000 Stock Plan (Incentive Stock Plan) In January 2000, the Company’s Board of Directors and stockholders adopted the DURECT Corporation 2000 Stock Plan, under which incentive stock options and non-statutory stock options and stock purchase rights may be granted to employees, consultants and non-employee directors. The 2000 Stock Plan was amended by written consent of the Board of Directors in March 2000 and written consent of the stockholders in August 2000. In April 2005, the Board of Directors approved certain amendments to the 2000 Stock Plan. At the Company’s annual stockholders meeting in June 2005, the stockholders approved the amendments of the 2000 Stock Plan to: (i) expand the types of awards that the Company may grant to eligible service providers under the Stock Plan to include restricted stock units, stock appreciation rights and other similar types of awards (including other awards under which recipients are not required to pay any purchase or exercise price) as well as cash awards; and (ii) include certain performance criteria that may be applied to awards granted under the Stock Plan. In April 2010, the Board of Directors approved certain amendments to the 2000 Stock Plan. At the Company’s annual stockholders meeting in June 2010, the stockholders approved the amendments of the 2000 Stock Plan to: (i) provide that the number of shares that remain available for issuance will be reduced by two shares for each share issued pursuant to an award (other than an option or stock appreciation right) granted on or after the date of the 2010 Annual Meeting; (ii) expand the types of transactions that might be considered repricings and option exchanges for which stockholder approval is required; (iii) provide that shares tendered or withheld in payment of the exercise price of an option or withheld to satisfy a withholding obligation, and all shares with respect to which a stock appreciation right is exercised, will not again be available for issuance under the Stock Plan; (iv) require that options and stock appreciation rights have an exercise price or base appreciation amount that is at least fair market value on the grant date, except in connection with certain corporate transactions, and that stock appreciation rights may not have longer than a 10-year term; (v) add new performance goals that may be used to provide “performance-based compensation” under the 2000 Stock Plan; (vi) extend the term of the 2000 Stock Plan to the date that is ten (10) years following the stockholders meeting; and (vii) expand the treatment of outstanding awards in connection with certain changes of control of the Company to cover mergers in which the consideration payable to stockholders is not solely securities of the successor corporation. In March 2011, the Board of Directors approved an amendment to the 2000 Stock Plan. At the Company’s annual stockholders meeting in June 2011, June 2014 and June 2016, the stockholders approved the amendment of the 2000 Stock Plan to increase the number of shares of the Company’s common stock available for issuance by 5,500,000 shares, 4,000,000 shares and 5,000,000 shares, respectively. A total of 33,995,077 shares of common stock have been reserved for issuance under this plan. The plan expires in June 2020. In April 2013, the Board of Directors approved certain amendments to the 2000 Stock Plan to: (i) increase the number of stock options granted to a non-employee director on the date which such person first becomes a director from 30,000 to 70,000 shares of common stock; each option shall have a ten-year term, become exercisable in installments of one-third of the total number of options granted on each anniversary of the grant and have a two-year period following termination of Director status in which the former director can exercise the option; (ii) modify the exercise period for future option grants to a non-employee director in which a former director can exercise the option following termination of Director status from a one year period to a two-year period. Options granted under the 2000 Stock Plan expire no later than ten years from the date of grant. Options may be granted with different vesting terms from time to time not to exceed five years from the date of grant. The option price of an incentive stock option granted to an employee or of a nonstatutory stock option granted to any person who owns stock representing more than 10% of the total combined voting power of all classes of stock of the Company (or any parent or subsidiary) shall be no less than 110% of the fair market value per share on the date of grant. The option price of an incentive stock option granted to any other employee shall be no less than 100% of the fair market value per share on the date of grant. As of December 31, 2016, 5,832,929 shares of common stock were available for future grant and options to purchase 28,162,148 shares of common stock were outstanding under the 2000 Stock Plan. 2000 Directors’ Stock Option Plan In March 2000, the Board of Directors adopted the 2000 Directors’ Stock Option Plan. A total of 300,000 shares of common stock had been reserved initially for issuance under this plan. The directors’ plan provides that each person who becomes a non-employee director of the Company after the effective date of the Company’s initial public offering will be granted a non-statutory stock option to purchase 20,000 shares of common stock on the date on which the optionee first becomes a non-employee director of the Company. This plan also provides that each option granted to a new director shall vest at the rate of one-third per year and each annual option of 5,000 shares shall vest in full at the end of one year. At the Company’s annual stockholders meeting in June 2002, the stockholders approved an amendment of the 2000 Directors’ Stock Option Plan to: (i) increase the number of stock options granted to a non-employee director on the date which such person first becomes a director from 20,000 to 30,000 shares of common stock; (ii) increase the number of stock options granted to each non-employee director on the date of each annual meeting of the stockholders after which the director remains on the Board from 5,000 to 12,000 shares of common stock; and (iii) reserve 200,000 additional shares of common stock for issuance under the 2000 Directors’ Stock Option Plan so that the total number of shares reserved for issuance is 500,000. In April 2005, the Board of Directors approved certain amendments to the 2000 Directors’ Stock Option Plan. At the Company’s annual stockholders meeting in June 2005, the stockholders approved the amendments of the 2000 Directors’ Stock Option Plan to: (i) increase the number of shares of common stock issuable under the Director’s Plan by an additional 425,000 shares, to an aggregate of 925,000 shares; (ii) increase the number of option shares issued to nonemployee directors annually in connection with their continued service on the Board from 12,000 shares to 20,000 shares; and (iii) modify the vesting of such annual option grants so that such shares vest completely on the day before the first anniversary of the date of grant. The plan expired in September 2010. Awards to our non-employee directors have been granted under the 2000 Stock Plan following that date. As of December 31, 2016, no shares of common stock were available for future grant and options to purchase 300,000 shares of common stock were outstanding under the 2000 Director’s Stock Option Plan. 2000 Employee Stock Purchase Plan In August 2000, the Company adopted the 2000 Employee Stock Purchase Plan. This purchase plan is implemented by a series of overlapping offering periods of 24 months’ duration, with new offering periods, other than the first offering period, beginning on May 1 and November 1 of each year and ending April 30 and October 31, respectively, two years later. The purchase plan allows eligible employees to purchase common stock through payroll deductions at a price equal to the lower of 85% of the fair market value of the Company’s common stock at the beginning of each offering period or at the end of each purchase period. The initial offering period commenced on the effectiveness of the Company’s initial public offering. In April 2010, the Board of Directors approved certain amendments to the 2000 Employee Stock Purchase Plan. At the Company’s annual stockholders meeting in June 2010, the stockholders approved the amendments of the 2000 Employee Stock Purchase Plan to: (i) increase the number of shares of our common stock authorized for issuance under the ESPP by 250,000 shares; (ii) extend the term of the ESPP to the date that is ten (10) years following the stockholders meeting; (iii) provide for six-month consecutive offering periods beginning on November 1, 2010; (iv) revise certain provisions to reflect the final regulations issued under Section 423 of the Code by the Internal Revenue Service; and (v) provide for the cash-out of options outstanding under an offering period in effect prior to the consummation of certain corporate transactions as an alternative to providing for a final purchase under such offering period. In March 2015, the Board of Directors approved certain amendments to the 2000 Employee Stock Purchase Plan. At the Company’s annual stockholders meeting in June 2015, the stockholders approved the amendments of the 2000 Employee Stock Purchase Plan to: (i) increase the number of shares of our common stock authorized for issuance under the ESPP by 350,000 shares; and (ii) extend the term of the ESPP to the date that is ten (10) years following the stockholders meeting. The plan expires in June 2025. A total of 2,550,000 shares of common stock have been reserved for issuance under this plan. As of December 31, 2016, 252,315 shares of common stock were available for future grant and 2,297,685 shares of common stock have been issued under the 2000 Employee Stock Purchase Plan. As of December 31, 2016, shares of common stock reserved for future issuance consisted of the following: December 31, 2016 Stock options outstanding 28,462,148 Stock options available for grant 5,832,929 Employee Stock Purchase Plan 252,315 34,547,392 A summary of stock option activity under all stock-based compensation plans is as follows: Number of Options Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Term (in Years) Aggregate Intrinsic Value (in millions) Outstanding at December 31, 2013 23,696,584 $ 2.73 5.45 $ 5.2 Options granted 3,747,428 $ 1.94 Options exercised (300,602 ) $ 0.99 Options forfeited (144,611 ) $ 1.50 Options expired (2,758,960 ) $ 2.95 Outstanding at December 31, 2014 24,239,839 $ 2.61 5.72 $ — Options granted 4,299,290 $ 1.09 Options exercised (925,636 ) $ 1.13 Options forfeited (15,990 ) $ 1.34 Options expired (299,050 ) $ 3.58 Outstanding at December 31, 2015 27,298,453 $ 2.41 5.39 $ 13.5 Options granted 3,872,958 $ 1.21 Options exercised (299,183 ) $ 0.97 Options forfeited (224,898 ) $ 1.23 Options expired (2,185,182 ) $ 4.78 Outstanding at December 31, 2016 28,462,148 $ 2.09 5.29 $ 3.9 Exercisable at December 31, 2016 24,631,826 $ 2.22 4.82 $ 3.1 Vested and expected to vest at December 31, 2016 28,297,959 $ 2.10 5.27 $ 3.9 The aggregate intrinsic value in the table above represents the total intrinsic value (i.e., the difference between the Company’s closing stock price on the last trading day of 2016 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their in-the-money options on December 31, 2016. This amount changes based on the fair market value of the Company’s common stock. The total intrinsic value of options exercised was $158,000, $985,000 and $178,000 for the years ended December 31, 2016, 2015 and 2014, respectively. In January 2016, 2015 and 2014, the Company granted its employees stock options to purchase 1.4 million, 1.5 million and 966,000 shares, respectively, of the Company’s common stock, which vested immediately on the grant date. These were granted in lieu of cash bonuses. The weighted-average grant-date fair value of all options granted with exercise prices equal to fair market value was $0.81 in 2016, $0.65 in 2015 and $1.53 in 2014 determined by the Black-Scholes option valuation method. There were no options granted with exercise prices lower than fair market value in 2016, 2015 and 2014. Expenses for non-employee stock options are recorded over the vesting period of the options, with the value determined by the Black-Scholes option valuation method and remeasured over the vesting term. As of December 31, 2016, the Company had three stock-based equity compensation plans, which are described above. The employee stock-based compensation cost that has been included in the statements of operations and comprehensive loss is shown as below (in thousands): Year ended December 31, 2016 2015 2014 Cost of product revenues $ 106 $ 108 $ 149 Research and development 1,433 1,400 1,697 Selling, general and administrative 1,116 1,152 1,234 $ 2,655 $ 2,660 $ 3,080 Because the Company had a net operating loss carryforward as of December 31, 2016, no excess tax benefits for the tax deductions related to stock-based compensation expense were recognized in the statement of operations. Additionally, no incremental tax benefits were recognized from stock options exercised during 2016, which would have resulted in a reclassification to reduce net cash provided by operating activities with an offsetting increase in net cash provided by financing activities. Determining Fair Value Valuation and Expense Recognition. The Company estimates the fair value of stock options granted using the Black-Scholes option valuation model. The Company recognizes the expense on a straight-line basis. The expense for options is recognized over the requisite service periods of the awards, which is generally the vesting period. Expected Term. The expected term of options granted represents the period of time that the options are expected to be outstanding. The Company determines the expected life using historical options experience. This develops the expected life by taking the weighted average of the actual life of options exercised and cancelled and assumes that outstanding options are exercised uniformly from the current holding period through the end of the contractual life. Expected Volatility. The Company estimates the volatility of its common stock at the date of grant based on the historical volatility of the Company’s common stock. Risk-Free Rate. The Company bases the risk-free rate that it uses in the Black-Scholes option valuation model on the implied yield in effect at the time of option grant on U.S. Treasury zero-coupon issues with substantially equivalent remaining terms. Dividends. The Company has never paid any cash dividends on its common stock and the Company does not anticipate paying any cash dividends in the foreseeable future. Consequently, the Company uses an expected dividend yield of zero in the Black-Scholes option valuation model. The Company used the following assumptions to estimate the fair value of options granted (including fully vested options issued in January 2016, 2015 and 2014) and shares purchased under its stock plans and employee stock purchase plan for the years ended December 31, 2016, 2015 and 2014: Year ended December 31, 2016 2015 2014 Stock Options Risk-free rate 1.3-2.4% 1.5-2.4% 1.9-2.8% Expected dividend yield — — — Expected term (in years) 6.5-10.0 6.5-10.0 6.5-10.0 Volatility 76-83% 78-85% 76-85% Forfeiture rate 4.2 % 6.0 % 7.2 % Year ended December 31, 2016 2015 2014 Employee Stock Purchase Plan Risk-free rate 0.3-0.6% 0.1-0.3% 0.1 % Expected dividend yield — — — Expected term (in years) 0.5 0.5 0.5 Volatility 65-81% 68-95% 60-81% There were 114,025, 113,625 and 115,412 shares purchased under the Company’s employee stock purchase plan during the years ended December 31, 2016, 2015 and 2014, respectively. Included in the statement of operations and comprehensive loss for the year ended December 31, 2016, 2015 and 2014 was $45,000, $62,000 and $43,000, respectively, in stock-based compensation expense related to the recognition of expenses related to shares purchased under the Company’s employee stock purchase plan. As of December 31, 2016, $2.8 million of total unrecognized compensation costs related to nonvested stock options is expected to be recognized over the respective vesting terms of each award through 2020. The weighted average term of the unrecognized stock-based compensation expense is 2.0 years. The following table summarizes information about stock options outstanding at December 31, 2016: Options Outstanding Options Exercisable Range of Exercise Price Number of Options Outstanding Weighted- Average Remaining Contractual Life (In years) Weighted- Average Exercise Price Number of Options Exercisable Weighted- Average Exercise Price $0.73 – 0.82 2,315,351 5.10 $ 0.78 2,315,351 $ 0.78 $0.88 – 0.88 3,175,642 7.88 $ 0.88 2,088,488 $ 0.88 $1.00 – 1.14 303,750 7.18 $ 1.05 234,187 $ 1.05 $1.16 – 1.16 2,979,930 8.97 $ 1.16 1,684,685 $ 1.16 $1.19 – 1.20 269,293 8.59 $ 1.19 77,293 $ 1.20 $1.21 – 1.21 3,474,526 6.08 $ 1.21 3,371,987 $ 1.21 $1.24 – 2.04 1,931,600 7.50 $ 1.47 1,434,047 $ 1.45 $2.09 – 2.09 3,893,646 5.69 $ 2.09 3,338,316 $ 2.09 $2.13 – 2.80 2,911,527 3.59 $ 2.27 2,880,589 $ 2.27 $3.01 – 6.30 7,206,883 1.98 $ 4.02 7,206,883 $ 4.02 $0.73 – 6.30 28,462,148 5.29 $ 2.09 24,631,826 $ 2.22 The Company received $290,000, $1.0 million and $299,000 in cash from option exercises under all stock-based compensation plans for the years ended December 31, 2016, 2015 and 2014, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. Income Taxes The Company accounts for income taxes using the liability method under ASC 740, Income Taxes The reconciliation of income tax expenses (benefit) at the statutory federal income tax rate of 34% to net income tax benefit included in the statements of operations and comprehensive loss for the years ended December 31, 2016, 2015 and 2014 is as follows (in thousands): Year Ended December 31, 2016 2015 2014 U.S. federal taxes provision (benefit) at statutory rate $ (11,733 ) $ (7,681 ) $ (7,502 ) State taxes — — — Change in valuation allowance 10,847 7,725 6,854 Stock-based compensation 2,045 530 1,139 Change in deferreds (3 ) 56 (2 ) Other (1,156 ) (577 ) (465 ) Total income tax provision $ 0 $ 53 $ 24 In 2016, 2015 and 2014, total income tax provision expense was zero, $53,000 and $24,000, respectively. The Company has presented zero, $53,000, and $24,000 of deferred income tax provision in interest and other income (expenses) in its statements of operation and comprehensive income (loss). Deferred tax assets and liabilities reflect the net tax effects of net operating loss and research and other credit carryforwards and the temporary differences between the carrying amounts of assets and liabilities for financial reporting and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands): December 31, 2016 2015 Deferred tax assets: Net operating loss carryforwards $ 123,107 $ 111,696 Research and other credits 13,441 12,001 Capitalized research and development expenses 10 132 Deferred revenue 874 1,045 Stock-based compensation 8,693 9,605 Other 3,405 3,645 Total deferred tax assets 149,530 138,124 Valuation allowance for deferred tax assets (149,530 ) (138,124 ) Deferred tax liabilities—Intangibles (397 ) (397 ) Net deferred tax assets and liabilities $ (397 ) $ (397 ) The Company recognizes deferred tax assets to the extent that the Company believes that these assets are more likely than not to be realized. In making such a determination, all available positive and negative evidence is considered, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If it is determined that the Company would be able to realize deferred tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. The recognition and measurement of tax benefits requires significant judgment. Judgments concerning the recognition and measurement of tax benefit might change as new information becomes available. Given the Company’s history of operating losses, the net deferred tax assets have been fully offset by a valuation allowance. The valuation allowance increased by $11.4 million, $7.2 million and $8.9 million during 2016, 2015 and 2014, respectively. As of December 31, 2016, the Company had net operating loss carryforwards for federal income tax purposes of approximately $327.2 million, which expire in the years 2019 through 2036, and federal research and development tax credits of approximately $11.1 million which expire at various dates beginning in 2018 through 2036, if not utilized. As of December 31, 2016, the Company had net operating loss carryforwards for state income tax purposes of approximately $215.9 million, which expire in the years 2017 through 2036, if not utilized, and state research and development tax credits of approximately $12.2 million, which do not expire. Utilization of the net operating losses may be subject to a substantial annual limitation due to federal and state ownership change limitations. The annual limitation may result in the expiration of net operating losses before utilization. At December 31, 2016 and December 31, 2015, the Company had unrecognized tax benefits of approximately $7.0 and $7.0 million, respectively (none of which, if recognized, would affect the Company’s effective tax rate). The Company does not believe there will be any material changes in its unrecognized tax positions over the next twelve months. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): December 31, 2016 2015 Balance at beginning of the year $ 6,965 $ 5,702 Increases (decrease) related to prior year tax positions (737 ) 737 Increases (decrease) related to current year tax positions 754 526 Settlements — — Reductions due to lapse of applicable statute of limitations — — Balance at end of the year $ 6,982 $ 6,965 Interest and penalty costs related to unrecognized tax benefits, if any, are classified as a component of interest income and other income (expense), net in the accompanying Statements of Operations and Comprehensive Loss. The Company did not recognize any interest and penalty expense related to unrecognized tax benefits for the years ended December 31, 2016, 2015 and 2014. The Company files income tax returns in the U.S. federal jurisdiction and various state jurisdictions. The Company is subject to U.S. federal and state income tax examination for calendar tax years ending 1998 through 2016 due to unutilized net operating losses and research credits. |
Unaudited Selected Quarterly Fi
Unaudited Selected Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Unaudited Selected Quarterly Financial Data | 11. Unaudited Selected Quarterly Financial Data (in thousands, except per share amounts) First Quarter Second Quarter Third Quarter Fourth Quarter 2016 2015 2016 2015 2016 2015 2016 2015 Revenue $ 3,608 $ 4,773 $ 3,157 $ 4,441 $ 3,743 $ 4,743 $ 3,517 $ 5,167 Net loss $ (7,852 ) $ (4,853 ) $ (9,014 ) $ (5,478 ) $ (8,832 ) $ (6,487 ) $ (8,811 ) $ (5,845 ) Basic net loss per share $ (0.06 ) $ (0.04 ) $ (0.07 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) Diluted net loss per share $ (0.06 ) $ (0.04 ) $ (0.07 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) |
Subsequent Event
Subsequent Event | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Event | 12. Subsequent Event As of March 9, 2017, the Company raised net proceeds (net of commissions) of approximately $731,000 from the sale of 573,612 shares of the Company’s common stock in the open market through the Controlled Equity Offering program with Cantor Fitzgerald at a weighted average price of $1.31 per share. As of March 9, 2017, the Company had up to approximately $29.5 million of common stock available for sale under the Controlled Equity Offering program and approximately $67.8 million of common stock available for sale under its shelf registration statement. |
Schedule II-Valuation and Quali
Schedule II-Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Valuation And Qualifying Accounts [Abstract] | |
Schedule II-Valuation and Qualifying Accounts | SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS Year Ended December 31, 2016, 2015 and 2014 (in thousands) Balance at beginning of the year Provision Recoveries/ Write-Offs Balance at end of the year December 31, 2016 Allowance for doubtful accounts $ 161 $ (70 ) $ (18 ) $ 73 December 31, 2015 Allowance for doubtful accounts $ 211 $ (38 ) $ (12 ) $ 161 December 31, 2014 Allowance for doubtful accounts $ 144 $ 88 $ (21 ) $ 211 |
Summary of Significant Accoun21
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
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 biopharmaceutical company with research and development programs broadly falling into two categories: (i) new chemical entities derived from our Epigenetics Regulator Program, in which we attempt to discover and develop molecules which have not previously been approved and marketed as therapeutics, and (ii) Drug Delivery Programs, in which we apply our formulation expertise and technologies largely to active pharmaceutical ingredients whose safety and efficacy have previously been established but which we aim to improve in some manner through a new formulation. 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 and Use of Estimates | Basis of Presentation and Use of Estimates The Company’s financial statements have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, the reported amounts of revenue and expenses during the reported period and related disclosures. Actual results could differ materially from those estimates. |
Liquidity and Need to Raise Additional Capital | Liquidity and Need to Raise Additional Capital As of December 31, 2016, the Company has an accumulated deficit of $440.1 million as well as negative cash flows from operating activities. Presently, the Company does not have sufficient cash resources to meet its plans for the next twelve months following the issuance of these financial statements. The Company will continue to require substantial funds to continue research and development, including clinical trials of its product candidates. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern for a period of one year from the issuance of these financial statements. Management’s plans in order to meet its operating cash flow requirements include seeking additional collaborative agreements for certain of its programs public offerings and There are no assurances that such additional funding will be obtained and that the Company will succeed in its future operations. If the Company cannot successfully raise additional capital and implement its strategic development plan, its liquidity, financial condition and business prospects will be materially and adversely affected, and the Company may have to cease operations. As further described in Note 8, the Company had reclassified its term loan as a current liability from a non-current liability on its balance sheet as of December 31, 2016. These financial statements have been prepared on a going concern basis and do not include any adjustments to the amounts and classification of assets and liabilities that may be necessary in the event the Company can no longer continue as a going concern. |
Cash, Cash Equivalents and Investments | Cash, Cash Equivalents and Investments The Company considers all highly liquid investments with maturities of 90 days or less from the date of purchase to be cash equivalents. Investments with original maturities of greater than 90 days from the date of purchase but less than one year from the balance sheet date are classified as short-term investments, while investments with maturities in one year or beyond one year from the balance sheet date are classified as long-term investments. Management determines the appropriate classification of its cash equivalents and investment securities at the time of purchase and re-evaluates such determination as of each balance sheet date. Management has classified the Company’s cash equivalents and investments as available-for-sale securities in the accompanying financial statements. Available-for-sale securities are carried at fair value, with unrealized gains and losses reported as a component of accumulated other comprehensive loss. Realized gains and losses are included in interest income. There were no material realized gains or losses in the periods presented other than the gain realized from sale of a marketable equity security in the year ended December 31, 2015. The cost of securities sold is based on the specific identification method. The Company invests in debt instruments of government agencies and corporations, and money market funds with high credit ratings. The Company has established guidelines regarding diversification of its investments and their maturities with the objectives of maintaining safety and liquidity, while maximizing yield. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject the Company to credit risk consist principally of interest-bearing investments and trade receivables. The Company maintains cash, cash equivalents and investments with various major financial institutions. The Company performs periodic evaluations of the relative credit standing of these financial institutions. In addition, the Company performs periodic evaluations of the relative credit quality of its investments. Pharmaceutical companies and academic institutions account for a substantial portion of the Company’s trade receivables. The Company provides credit in the normal course of business to its customers and collateral for these receivables is generally not required. The risk associated with this concentration is limited to a certain extent due to the large number of accounts and their geographic dispersion. The Company monitors the creditworthiness of its customers to which it grants credit terms in the normal course of business. The Company maintains reserves for estimated credit losses and, to date, such losses have been within management’s expectations. |
Customer and Product Line Concentrations | Customer and Product Line Concentrations A portion of the Company’s revenue is derived from its ALZET mini pump product line, LACTEL biodegradable polymer product line and the sale of certain excipients for REMOXY ER and one excipient that is included in a currently marketed animal health product. In 2016, revenue from the ALZET product line and the LACTEL product line accounted for 51% and 31% of total revenue, respectively. In 2015, revenue from the ALZET product line and the LACTEL product line accounted for 36% and 22% of total revenue, respectively. In 2014, revenue from the ALZET product line and the LACTEL product line accounted for 37% and 19% of total revenue, respectively. In 2016, Tolmar accounted for 15% of the Company’s total revenues. In 2015, Zogenix and Tolmar accounted for 26% and 11% of the Company’s total revenues. In 2014, Zogenix and Impax accounted for 23% and 11% of the Company’s total revenues. Total revenue by geographic region for the years 2016, 2015 and 2014 are as follows (in thousands): Year ended December 31, 2016 2015 2014 United States $ 9,082 $ 14,289 $ 15,532 Europe 1,945 1,817 1,986 Japan 1,413 1,897 898 Other 1,585 1,121 985 Total $ 14,025 $ 19,124 $ 19,401 Revenue by geography is determined by the location of the customer. |
Inventories | Inventories Inventories are stated at the lower of cost or market, with cost determined on a first-in, first-out basis. Inventories, in part, include certain excipients that are sold to a customer for a currently marketed animal health product and included in several products in development or awaiting regulatory approval. These inventories are capitalized based on management’s judgment of probable sale prior to their expiration date which in turn is primarily based on non-binding forecasts from the Company’s customers as well as management’s internal estimates. The valuation of inventory requires management to estimate the value of inventory that may become expired prior to use. The Company may be required to expense previously capitalized inventory costs upon a change in management’s judgment due to, among other potential factors, a denial or delay of approval of a customer’s product by the necessary regulatory bodies, or new information that suggests that the inventory will not be saleable. In addition, these circumstances may cause the Company to record a liability related to minimum purchase agreements that the Company has in place for raw materials. In 2014, the Company recorded charges to cost of goods sold of approximately $1.6 million, of which approximately $1.1 million related to the write-down of the cost basis of inventory and $500,000 related to the accrual of a liability for the minimum purchase commitment for the excipients. In 2016, the Company recorded charges to cost of goods sold of approximately $926,000, of which approximately $426,000 related to the write-down of the cost basis of inventory and approximately $500,000 related to the write off of prepaid inventory for the minimum purchase commitment for an excipient. As of December 31, 2016, the remaining carrying value of the excipients in the Company’s inventory was $627,000. In addition, the Company has remaining unrecorded future purchase commitments totaling $1.0 million through 2018. In the event that management determines that the Company will not utilize all of these materials, there could be a potential write-off related to this inventory and a reserve for future purchase commitments. The Company’s inventories consisted of the following (in thousands): December 31, 2016 2015 Raw materials $ 745 $ 1,168 Work in-process 1,672 1,412 Finished goods 1,365 1,337 Total inventories $ 3,782 $ 3,917 |
Property and Equipment | Property and Equipment Property and equipment are stated at cost less accumulated depreciation, which is computed using the straight-line method over the estimated useful lives of the assets, which range from three to five years. Leasehold improvements are amortized using the straight-line method over the estimated useful lives of the assets, or the terms of the related leases, whichever are shorter. |
Acquired Intangible Assets and Goodwill | Acquired Intangible Assets and Goodwill Acquired intangible assets consist of patents, developed technology, trademarks and customer lists related to the Company’s acquisitions accounted for using the purchase method. Amortization of these purchased intangibles is calculated on a straight-line basis over the respective estimated useful lives of the assets ranging from four to seven years. The Company assesses goodwill for impairment at least annually. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company reviews long-lived assets, including property and equipment, intangible assets, and other long-term assets, for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable. An impairment loss would be recognized when estimated undiscounted future cash flows expected to result from the use of the asset and its eventual disposition is less than its carrying amount. Impairment, if any, is calculated as the amount by which an asset’s carrying value exceeds its fair value, typically using discounted cash flows to determine fair value. Through December 31, 2016, there have been no material impairment losses. |
Stock-Based Compensation | Stock-Based Compensation The Company accounts for share-based payments using a fair-value based method for costs related to all share-based payments, including stock options and stock issued under the Company’s employee stock purchase plan (ESPP). The Company estimates the fair value of share-based payment awards on the date of grant using an option-pricing model. See Note 9 for further information regarding stock-based compensation. |
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. Research and development revenue related to services performed under the collaborative arrangements with the Company’s third-party collaborators is recognized as the related research and development services are performed. These research payments received under each respective agreement are not refundable and are generally based on reimbursement of qualified expenses, as defined in the agreements. Research and development expenses under the collaborative research and development agreements generally approximate or exceed the revenue recognized under such agreements over the term of the respective agreements. Deferred revenue may result when the Company does not expend the required level of effort during a specific period in comparison to funds received under the respective agreement. Milestone payments under collaborative arrangements are triggered either by the results of the Company’s research and development efforts or by specified sales results by a third-party collaborator. Milestones related to the Company’s development-based activities may include initiation of various phases of clinical trials, successful completion of a phase of development or results from a clinical trial, acceptance of a New Drug Application by the FDA or an equivalent filing with an equivalent regulatory agency in another territory, or regulatory approval by the FDA or by an equivalent regulatory agency in another territory. Due to the uncertainty involved in meeting these development-based milestones, the development-based milestones are considered to be substantial (i.e., not just achieved through passage of time) at the inception of the collaboration agreement. In addition, the amounts of the payments assigned thereto are considered to be commensurate with the enhancement of the value of the delivered intellectual property as a result of the Company’s performance. The Company’s involvement is generally necessary to the achievement of development-based milestones. The Company would account for development-based milestones as revenue upon achievement of the substantive milestone events. Milestones related to sales-based activities may be triggered upon events such as the first commercial sale of a product or when sales first achieve a defined level. Under the Company’s collaborative agreements, the Company’s third-party collaborators will take the lead in commercialization activities and the Company is typically not involved in the achievement of sales-based milestones. These sales-based milestones would be achieved after the completion of the Company’s development activities. The Company would account for the sales-based milestones in the same manner as royalties, with revenue recognized upon achievement of the milestone. In addition, upon the achievement of either development-based or sales-based milestone events, the Company has no future performance obligations related to any milestone payments. |
Research and Development Expenses | Research and Development Expenses Research and development expenses are primarily comprised of salaries and benefits associated with research and development personnel, overhead and facility costs, preclinical and non-clinical development costs, clinical trial and related clinical manufacturing costs, contract services, and other outside costs. Research and development costs are expensed as incurred. Research and development costs paid to third parties under sponsored research agreements are recognized as the related services are performed. In addition, net reimbursements of research and development expenses incurred by the Company’s partners are recorded as collaborative research and development revenue. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Accumulated other comprehensive income (loss) as of December 31, 2016, 2015 and 2014 is entirely comprised of unrealized gains or losses on available-for-sale securities. |
Segment Reporting | Segment Reporting The Company operates in one operating segment, which is the research, development and manufacturing of pharmaceutical products. |
Net Loss Per Share | Net Loss Per Share Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding. Diluted net loss per share is computed using the weighted-average number of common shares outstanding and common stock equivalents (i.e., options and warrants 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 loss per share were as follows (in thousands except per share amounts): Year Ended December 31, 2016 2015 2014 Numerators: Net loss $ (34,509 ) $ (22,663 ) $ (22,110 ) Denominators: Weighted average shares used to compute basic net loss per share 133,163 118,523 111,666 Effect of dilutive securities: Dilution from stock options — — — Dilution from ESPP — — — Dilutive common shares — — — Weighted average shares used to compute basic net loss per share 133,163 118,523 111,666 Net loss per share: Basic $ (0.26 ) $ (0.19 ) $ (0.20 ) Diluted $ (0.26 ) $ (0.19 ) $ (0.20 ) The computation of diluted net loss per share for the years ended December 31, 2016, 2015 and 2014 excludes the impact of options to purchase 18.7 million, 16.5 million and 20.0 million shares of common stock outstanding, respectively, at December 31, 2016, 2015 and 2014, as such impact would be antidilutive. |
Shipping and Handling | Shipping and Handling Costs related to shipping and handling are included in cost of revenues for all periods presented. |
Operating Leases | Operating Leases The Company leases administrative, manufacturing and laboratory facilities under operating leases. Lease agreements may include rent holidays, rent escalation clauses and tenant improvement allowances. The Company recognizes scheduled rent increases on a straight-line basis over the lease term beginning with the date the Company takes possession of the leased space. The Company records tenant improvement allowances as deferred rent liabilities and amortizes the deferred rent over the terms of the lease to rent expense on the statements of operations and comprehensive loss. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers (ASU 2014-09), which amends the guidance in former ASC 605, Revenue Recognition. The core principle of the guidance is that an entity should recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The guidance provides companies with two implementation methods. Companies can choose to apply the standard retrospectively to each prior reporting period presented (full retrospective application) or retrospectively with the cumulative effect of initially applying the standard as an adjustment to the opening balance of retained earnings of the annual reporting period that includes the date of initial application (modified retrospective application). The standard is effective for the Company in the first quarter of 2018. Early adoption up to the first quarter of 2017 is permitted. The Company has not yet completed its final analysis of the impact of this guidance. To date, the Company’s revenues have been derived from product sales and from license and collaboration agreements. Based on the Company’s preliminary analysis, it does not currently anticipate a material quantitative impact on product revenue as the timing of revenue recognition for product sales is not expected to significantly change. For the Company’s license and collaboration agreements, the consideration the Company is eligible to receive under these agreements typically consists of upfront payments, research and development funding, milestone payments, and royalties. Each license and collaboration agreement is unique and will need to be assessed separately under the five-step process under the new standard. The Company continues to review the impact that this new standard will have on collaboration and license arrangements as well as on its financial statement disclosures. The Company has not yet concluded as to the method it will select to adopt the standard. In November 2015, the FASB issued Accounting Standards Update 2015-17(ASU 2015-17), Balance Sheet Classification of Deferred Taxes to simplify the presentation of deferred income taxes. The amendments in this update require that deferred tax liabilities and assets be classified as noncurrent on the balance sheet instead of separating deferred taxes into current and noncurrent amounts. The Company adopted ASU 2015-17, on a prospective basis, for the year ended December 31, 2015. Prior periods were not retrospectively adjusted. There is no impact to the balance sheet amounts as a result of early adoption. In February 2016, the Financial Accounting Standards Board (FASB) issued ASU No. 2016-02, Leases (Topic 842), which amends the existing accounting standards for leases. The new standard requires lessees to record a right-of-use asset and a corresponding lease liability on the balance sheet (with the exception of short-term leases). For lessees, leases will continue to be classified as either operating or financing in the income statement. This ASU becomes effective for the Company in the first quarter of fiscal year 2019 and early adoption is permitted. This ASU is required to be applied with a modified retrospective approach and requires application of the new standard at the beginning of the earliest comparative period presented. The Company is currently evaluating the impact that ASU 2016-02 will have on its financial statements. In March 2016, the FASB issued ASU 2016-09, Improvements to Employee Share-Based Payment Accounting. ASU 2016-09 simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as equity or liabilities, an option to recognize gross share compensation expense with actual forfeitures recognized as they occur, as well as certain classifications on the statement of cash flows. The Company adopted ASU 2016-09 in the first quarter of 2017 which did not have a material impact on its financial statements. |
Summary of Significant Accoun22
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Total Revenue by Geographic Region | Total revenue by geographic region for the years 2016, 2015 and 2014 are as follows (in thousands): Year ended December 31, 2016 2015 2014 United States $ 9,082 $ 14,289 $ 15,532 Europe 1,945 1,817 1,986 Japan 1,413 1,897 898 Other 1,585 1,121 985 Total $ 14,025 $ 19,124 $ 19,401 |
Summary of Components of Inventories | The Company’s inventories consisted of the following (in thousands): December 31, 2016 2015 Raw materials $ 745 $ 1,168 Work in-process 1,672 1,412 Finished goods 1,365 1,337 Total inventories $ 3,782 $ 3,917 |
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 loss per share were as follows (in thousands except per share amounts): Year Ended December 31, 2016 2015 2014 Numerators: Net loss $ (34,509 ) $ (22,663 ) $ (22,110 ) Denominators: Weighted average shares used to compute basic net loss per share 133,163 118,523 111,666 Effect of dilutive securities: Dilution from stock options — — — Dilution from ESPP — — — Dilutive common shares — — — Weighted average shares used to compute basic net loss per share 133,163 118,523 111,666 Net loss per share: Basic $ (0.26 ) $ (0.19 ) $ (0.20 ) Diluted $ (0.26 ) $ (0.19 ) $ (0.20 ) |
Strategic Agreements (Tables)
Strategic Agreements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
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): Year ended December 31, 2016 2015 2014 Collaborator Pain Therapeutics, Inc. (Pain Therapeutics) $ 670 $ 1,385 $ 1,359 Zogenix, Inc. (Zogenix) (1) 555 4,898 4,431 Santen Pharmaceutical Co. Ltd. (Santen) (2) 514 824 16 Impax Laboratories, Inc. (Impax) (3) — — 2,106 Pfizer Inc. (Pfizer) — — 118 Others 141 725 226 Total collaborative research and development and other revenue $ 1,880 $ 7,832 $ 8,256 (1) Amounts related to ratable recognition of upfront fees were $208,000 in 2016 and $255,000 in 2015 and 2014; the Company and Zogenix signed a license agreement effective July 11, 2011. (2) Amounts related to ratable recognition of upfront fees were $228,000 in 2016, $274,000 in 2015 and $15,000 in 2014, respectively; the Company and Santen signed a license agreement effective December 11, 2014. (3) Amounts related to recognition of upfront fees were zero in 2016 and 2015 and $2.0 million in 2014, respectively; the Company and Impax signed a license agreement effective January 3, 2014. |
Agreement with Zogenix, Inc. [Member] | |
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 December 31, 2016 were $20.1 million under these agreements. Year Ended December 31, 2016 2015 2014 Ratable recognition of upfront payment $ 208 $ 255 $ 255 Research and development expenses reimbursable by Zogenix 347 4,643 4,176 Total collaborative research and development revenue $ 555 $ 4,898 $ 4,431 |
Agreement with Impax Laboratories, Inc. [Member] | |
Summary of Collaborative Research and Development Revenue Recognized | The following table provides a summary of collaborative research and development revenue recognized under the Impax Agreement (in thousands). The cumulative aggregate payments received by the Company as of December 31, 2016 were $2.1 million under the agreement. Year Ended December 31, 2016 2015 2014 Ratable recognition of upfront payment $ — $ — $ 2,000 Research and development expenses reimbursable by Impax — — 106 Total collaborative research and development revenue $ — $ — $ 2,106 |
Agreement with Santen Pharmaceutical Co., Ltd. [Member] | |
Summary of Collaborative Research and Development Revenue Recognized | The following table provides a summary of collaborative research and development revenue recognized under the Santen Agreement (in thousands). Year Ended December 31, 2016 2015 2014 Ratable recognition of upfront payment $ 228 $ 274 $ 15 Research and development expenses reimbursable by Santen 286 550 1 Total collaborative research and development revenue $ 514 $ 824 $ 16 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements of Assets and Liabilities | The following table sets forth the fair value of the Company’s financial assets that were measured at fair value on a recurring basis as of December 31, 2016 (in thousands): Level 1 Level 2 Level 3 Total Money market funds $ 693 $ — $ — $ 693 Certificates of deposit — 150 — 150 Commercial paper — 4,947 — 4,947 Corporate debt — 2,643 — 2,643 U.S. Government agencies — 14,459 — 14,459 Total $ 693 $ 22,199 — $ 22,892 The following table sets forth the fair value of our financial assets that were measured at fair value on a recurring basis as of December 31, 2015 (in thousands): Level 1 Level 2 Level 3 Total Money market funds $ 81 $ — $ — $ 81 Certificates of deposit — 250 — 250 Commercial paper — 898 — 898 Corporate debt — 5,211 — 5,211 U.S. Government agencies — 19,548 — 19,548 Total $ 81 $ 25,907 $ — $ 25,988 |
Summary of Money Market Funds and Available-for-Sale Securities | The following is a summary of available-for-sale securities as of December 31, 2016 and 2015 (in thousands): December 31, 2016 Amortized Cost Unrealized Gain Unrealized Loss Estimated Fair Value Money market funds $ 693 $ — $ — $ 693 Certificates of deposit 150 — — 150 Commercial paper 4,947 — — 4,947 Corporate debt 2,644 — (1 ) 2,643 U.S. Government agencies 14,461 1 (3 ) 14,459 $ 22,895 $ 1 $ (4 ) $ 22,892 Reported as: Cash and cash equivalents $ 3,142 $ — $ — $ 3,142 Short-term investments 19,603 1 (4 ) 19,600 Long-term restricted investments 150 — — 150 $ 22,895 $ 1 $ (4 ) $ 22,892 December 31, 2015 Amortized Cost Unrealized Gain Unrealized Loss Estimated Fair Value Money market funds $ 81 $ — $ — $ 81 Certificates of deposit 250 — — 250 Commercial paper 898 — — 898 Corporate debt 5,215 1 (5 ) 5,211 U.S. Government agencies 19,558 1 (11 ) 19,548 $ 26,002 $ 2 $ (16 ) $ 25,988 Reported as: Cash and cash equivalents $ 281 $ — $ — $ 281 Short-term investments 25,471 2 (16 ) 25,457 Long-term restricted investments 250 — — 250 $ 26,002 $ 2 $ (16 ) $ 25,988 |
Summary of Cost and Estimated Fair Value of Available-for-Sale Securities by Contractual Maturity | The following is a summary of the cost and estimated fair value of available-for-sale securities at December 31, 2016, by contractual maturity (in thousands): December 31, 2016 Amortized Cost Estimated Fair Value Mature in one year or less $ 22,202 $ 22,199 Mature after one year through five years — — $ 22,202 $ 22,199 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | Property and equipment consist of the following (in thousands): December 31, 2016 2015 Equipment $ 12,633 $ 12,372 Leasehold improvement 10,007 9,987 Construction-in-progress 33 178 22,673 22,537 Less accumulated depreciation and amortization (21,376 ) (20,971 ) Property and equipment, net $ 1,297 $ 1,566 |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Text Block [Abstract] | |
Schedule of Future Operating Lease Minimum Payments | Future minimum payments under these noncancelable leases are as follows (in thousands): Year ending December 31, Operating Leases 2017 $ 2,000 2018 1,948 2019 539 2020 324 Thereafter 193 $ 5,004 |
Term Loan (Tables)
Term Loan (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Future Maturities and Interest Payments under Term Loan | Future maturities and interest payments under the term loan as of December 31, 2016, are as follows (in thousands): 2017 $ 1,612 2018 8,698 2019 8,724 2020 6,642 Total minimum payments 25,676 Less amount representing interest (5,676 ) Gross balance of term loan 20,000 Less unamortized debt discount (147 ) Carrying value of term loan 19,853 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Summary of Shares of Common Stock Reserved for Future Issuance | As of December 31, 2016, shares of common stock reserved for future issuance consisted of the following: December 31, 2016 Stock options outstanding 28,462,148 Stock options available for grant 5,832,929 Employee Stock Purchase Plan 252,315 34,547,392 |
Summary of Stock Option Activity under all Stock-Based Compensation Plans | A summary of stock option activity under all stock-based compensation plans is as follows: Number of Options Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Term (in Years) Aggregate Intrinsic Value (in millions) Outstanding at December 31, 2013 23,696,584 $ 2.73 5.45 $ 5.2 Options granted 3,747,428 $ 1.94 Options exercised (300,602 ) $ 0.99 Options forfeited (144,611 ) $ 1.50 Options expired (2,758,960 ) $ 2.95 Outstanding at December 31, 2014 24,239,839 $ 2.61 5.72 $ — Options granted 4,299,290 $ 1.09 Options exercised (925,636 ) $ 1.13 Options forfeited (15,990 ) $ 1.34 Options expired (299,050 ) $ 3.58 Outstanding at December 31, 2015 27,298,453 $ 2.41 5.39 $ 13.5 Options granted 3,872,958 $ 1.21 Options exercised (299,183 ) $ 0.97 Options forfeited (224,898 ) $ 1.23 Options expired (2,185,182 ) $ 4.78 Outstanding at December 31, 2016 28,462,148 $ 2.09 5.29 $ 3.9 Exercisable at December 31, 2016 24,631,826 $ 2.22 4.82 $ 3.1 Vested and expected to vest at December 31, 2016 28,297,959 $ 2.10 5.27 $ 3.9 |
Summary of Employee Stock-Based Compensation Cost that has been Included in Statements of Operations and Comprehensive Loss | The employee stock-based compensation cost that has been included in the statements of operations and comprehensive loss is shown as below (in thousands): Year ended December 31, 2016 2015 2014 Cost of product revenues $ 106 $ 108 $ 149 Research and development 1,433 1,400 1,697 Selling, general and administrative 1,116 1,152 1,234 $ 2,655 $ 2,660 $ 3,080 |
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 options granted (including fully vested options issued in January 2016, 2015 and 2014) and shares purchased under its stock plans and employee stock purchase plan for the years ended December 31, 2016, 2015 and 2014: Year ended December 31, 2016 2015 2014 Stock Options Risk-free rate 1.3-2.4% 1.5-2.4% 1.9-2.8% Expected dividend yield — — — Expected term (in years) 6.5-10.0 6.5-10.0 6.5-10.0 Volatility 76-83% 78-85% 76-85% Forfeiture rate 4.2 % 6.0 % 7.2 % Year ended December 31, 2016 2015 2014 Employee Stock Purchase Plan Risk-free rate 0.3-0.6% 0.1-0.3% 0.1 % Expected dividend yield — — — Expected term (in years) 0.5 0.5 0.5 Volatility 65-81% 68-95% 60-81% |
Summary of Stock Options Outstanding | The following table summarizes information about stock options outstanding at December 31, 2016: Options Outstanding Options Exercisable Range of Exercise Price Number of Options Outstanding Weighted- Average Remaining Contractual Life (In years) Weighted- Average Exercise Price Number of Options Exercisable Weighted- Average Exercise Price $0.73 – 0.82 2,315,351 5.10 $ 0.78 2,315,351 $ 0.78 $0.88 – 0.88 3,175,642 7.88 $ 0.88 2,088,488 $ 0.88 $1.00 – 1.14 303,750 7.18 $ 1.05 234,187 $ 1.05 $1.16 – 1.16 2,979,930 8.97 $ 1.16 1,684,685 $ 1.16 $1.19 – 1.20 269,293 8.59 $ 1.19 77,293 $ 1.20 $1.21 – 1.21 3,474,526 6.08 $ 1.21 3,371,987 $ 1.21 $1.24 – 2.04 1,931,600 7.50 $ 1.47 1,434,047 $ 1.45 $2.09 – 2.09 3,893,646 5.69 $ 2.09 3,338,316 $ 2.09 $2.13 – 2.80 2,911,527 3.59 $ 2.27 2,880,589 $ 2.27 $3.01 – 6.30 7,206,883 1.98 $ 4.02 7,206,883 $ 4.02 $0.73 – 6.30 28,462,148 5.29 $ 2.09 24,631,826 $ 2.22 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of Income Tax Expenses (Benefit) | The reconciliation of income tax expenses (benefit) at the statutory federal income tax rate of 34% to net income tax benefit included in the statements of operations and comprehensive loss for the years ended December 31, 2016, 2015 and 2014 is as follows (in thousands): Year Ended December 31, 2016 2015 2014 U.S. federal taxes provision (benefit) at statutory rate $ (11,733 ) $ (7,681 ) $ (7,502 ) State taxes — — — Change in valuation allowance 10,847 7,725 6,854 Stock-based compensation 2,045 530 1,139 Change in deferreds (3 ) 56 (2 ) Other (1,156 ) (577 ) (465 ) Total income tax provision $ 0 $ 53 $ 24 |
Summary of Components of Company's Deferred Tax Assets | Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands): December 31, 2016 2015 Deferred tax assets: Net operating loss carryforwards $ 123,107 $ 111,696 Research and other credits 13,441 12,001 Capitalized research and development expenses 10 132 Deferred revenue 874 1,045 Stock-based compensation 8,693 9,605 Other 3,405 3,645 Total deferred tax assets 149,530 138,124 Valuation allowance for deferred tax assets (149,530 ) (138,124 ) Deferred tax liabilities—Intangibles (397 ) (397 ) Net deferred tax assets and liabilities $ (397 ) $ (397 ) |
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): December 31, 2016 2015 Balance at beginning of the year $ 6,965 $ 5,702 Increases (decrease) related to prior year tax positions (737 ) 737 Increases (decrease) related to current year tax positions 754 526 Settlements — — Reductions due to lapse of applicable statute of limitations — — Balance at end of the year $ 6,982 $ 6,965 |
Unaudited Selected Quarterly 30
Unaudited Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data | First Quarter Second Quarter Third Quarter Fourth Quarter 2016 2015 2016 2015 2016 2015 2016 2015 Revenue $ 3,608 $ 4,773 $ 3,157 $ 4,441 $ 3,743 $ 4,743 $ 3,517 $ 5,167 Net loss $ (7,852 ) $ (4,853 ) $ (9,014 ) $ (5,478 ) $ (8,832 ) $ (6,487 ) $ (8,811 ) $ (5,845 ) Basic net loss per share $ (0.06 ) $ (0.04 ) $ (0.07 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) Diluted net loss per share $ (0.06 ) $ (0.04 ) $ (0.07 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) $ (0.06 ) $ (0.05 ) |
Summary of Significant Accoun31
Summary of Significant Accounting Policies - Additional Information (Detail) shares in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($)Segmentshares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)shares | |
Summary Of Significant Accounting Policies [Line Items] | |||
State of incorporation | Delaware | ||
Date of incorporation | Feb. 6, 1998 | ||
Accumulated deficit | $ 440,077,000 | $ 405,568,000 | |
Highly liquid investments maturity period | 90 days or less | ||
Long-term investments maturity period | One year or beyond | ||
Realized gains or losses on cash, cash equivalents and investments | $ 0 | $ 0 | |
Cost of goods sold | 5,290,000 | 3,905,000 | 5,686,000 |
Write-down of the cost basis of inventory | 687,000 | 303,000 | $ 1,227,000 |
Minimum purchase commitment | 500,000 | ||
Inventories | 3,782,000 | $ 3,917,000 | |
Long-lived assets, impairment losses | $ 0 | ||
Number of operating segment | Segment | 1 | ||
Options to purchase common stock excluded from computation of diluted net loss per share | shares | 18.7 | 16.5 | 20 |
Agreement with Pain Therapeutics, Inc. [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Cost of goods sold | $ 926,000 | $ 1,600,000 | |
Write-down of the cost basis of inventory | 426,000 | 1,100,000 | |
Minimum purchase commitment | 500,000 | $ 500,000 | |
Inventories | 627,000 | ||
Remaining unrecorded future purchase commitments | $ 1,000,000 | ||
Sales Revenue Net [Member] | Customer Concentration Risk [Member] | Zogenix [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of revenue accounted in Company's total revenue | 26.00% | 23.00% | |
Sales Revenue Net [Member] | Customer Concentration Risk [Member] | Tolmar Inc. [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of revenue accounted in Company's total revenue | 15.00% | 11.00% | |
Sales Revenue Net [Member] | Customer Concentration Risk [Member] | Impax [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of revenue accounted in Company's total revenue | 11.00% | ||
Sales Revenue Net [Member] | ALZET Product Line [Member] | Product Concentration Risk [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of revenue accounted in Company's total revenue | 51.00% | 36.00% | 37.00% |
Sales Revenue Net [Member] | LACTEL Product Line [Member] | Product Concentration Risk [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of revenue accounted in Company's total revenue | 31.00% | 22.00% | 19.00% |
Minimum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Short-term investments maturity period | 90 days | ||
Property and equipment, estimated useful life | 3 years | ||
Acquired intangible assets, estimated useful life | 4 years | ||
Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Short-term investments maturity period | 1 year | ||
Property and equipment, estimated useful life | 5 years | ||
Acquired intangible assets, estimated useful life | 7 years |
Summary of Significant Accoun32
Summary of Significant Accounting Policies - Summary of Total Revenue by Geographic Region (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | $ 3,517 | $ 3,743 | $ 3,157 | $ 3,608 | $ 5,167 | $ 4,743 | $ 4,441 | $ 4,773 | $ 14,025 | $ 19,124 | $ 19,401 |
United States [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 9,082 | 14,289 | 15,532 | ||||||||
Europe [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 1,945 | 1,817 | 1,986 | ||||||||
Japan [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 1,413 | 1,897 | 898 | ||||||||
Other [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | $ 1,585 | $ 1,121 | $ 985 |
Summary of Significant Accoun33
Summary of Significant Accounting Policies - Summary of Components of Inventories (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Inventory Net [Abstract] | ||
Raw materials | $ 745 | $ 1,168 |
Work in-process | 1,672 | 1,412 |
Finished goods | 1,365 | 1,337 |
Total inventories | $ 3,782 | $ 3,917 |
Summary of Significant Accoun34
Summary of Significant Accounting Policies - Summary of Numerators and Denominators in Calculation of Basic and Diluted Net Loss per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Numerators: | |||||||||||
Net loss | $ (8,811) | $ (8,832) | $ (9,014) | $ (7,852) | $ (5,845) | $ (6,487) | $ (5,478) | $ (4,853) | $ (34,509) | $ (22,663) | $ (22,110) |
Denominators: | |||||||||||
Weighted average shares used to compute basic net loss per share | 133,163 | 118,523 | 111,666 | ||||||||
Effect of dilutive securities: | |||||||||||
Dilution from stock options | 0 | 0 | 0 | ||||||||
Dilution from ESPP | 0 | 0 | 0 | ||||||||
Dilutive common shares | 0 | 0 | 0 | ||||||||
Weighted average shares used to compute basic net loss per share | 133,163 | 118,523 | 111,666 | ||||||||
Net loss per share: | |||||||||||
Basic | $ (0.26) | $ (0.19) | $ (0.20) | ||||||||
Diluted | $ (0.06) | $ (0.06) | $ (0.07) | $ (0.06) | $ (0.05) | $ (0.05) | $ (0.05) | $ (0.04) | $ (0.26) | $ (0.19) | $ (0.20) |
Strategic Agreements - Summary
Strategic Agreements - Summary of Collaborative Research and Development and Other Revenues Associated with Company's Major Third-Party Collaborators (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development and other revenue | $ 1,880,000 | $ 7,832,000 | $ 8,256,000 |
Agreement with Zogenix, Inc. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development and other revenue | 555,000 | 4,898,000 | 4,431,000 |
Agreement with Impax Laboratories, Inc. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development and other revenue | 2,106,000 | ||
Agreement with Pain Therapeutics, Inc. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development and other revenue | 670,000 | 1,385,000 | 1,359,000 |
Agreement with Pfizer [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development and other revenue | 0 | 0 | 118,000 |
Agreement with Santen Pharmaceutical Co., Ltd. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development and other revenue | 514,000 | 824,000 | 16,000 |
Agreements With Other Third Party Collaborators [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development and other revenue | $ 141,000 | $ 725,000 | $ 226,000 |
Strategic Agreements - Summar36
Strategic Agreements - Summary of Collaborative Research and Development and Other Revenues Associated with Company's Major Third-Party Collaborators (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Agreement with Zogenix, Inc. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Amounts related to the ratable recognition of upfront fees | $ 208 | $ 255 | $ 255 |
Agreement with Santen Pharmaceutical Co., Ltd. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Amounts related to the ratable recognition of upfront fees | 228 | 274 | 15 |
Agreement with Impax Laboratories, Inc. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Amounts related to the ratable recognition of upfront fees | $ 0 | $ 0 | $ 2,000 |
Strategic Agreements - Addition
Strategic Agreements - Additional Information (Detail) - Subsequent event [Member] | Mar. 09, 2017USD ($) | Mar. 09, 2017USD ($) |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Milestone payments received | $ 0 | $ 0 |
Maximum [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | 241,500,000 | |
Early stage clinical testing [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Development-based milestones | 5,000,000 | 5,000,000 |
Late stage clinical testing [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Development-based milestones | 12,000,000 | 12,000,000 |
Regulatory filings [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Development-based milestones | 20,000,000 | 20,000,000 |
Regulatory approvals [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Development-based milestones | 36,500,000 | $ 36,500,000 |
Development-Based Milestones [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | 73,500,000 | |
Sales-Based Milestones [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | $ 168,000,000 |
Strategic Agreements - Agreemen
Strategic Agreements - Agreement with Pain Therapeutics, Inc. - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2002Drug | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($)License | Dec. 31, 2014USD ($) | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||
Total collaborative research and development and other revenue | $ 1,880,000 | $ 7,832,000 | $ 8,256,000 | |
Product revenue, net | 12,145,000 | 11,292,000 | 11,145,000 | |
Cost of goods sold | 5,290,000 | 3,905,000 | 5,686,000 | |
Agreement with Pain Therapeutics, Inc. [Member] | ||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||
Number of specified opioid drugs | Drug | 4 | |||
Total collaborative research and development and other revenue | 670,000 | $ 1,385,000 | 1,359,000 | |
Number of remaining licensed products | License | 3 | |||
Performance milestone payments based on successful development | 3,000,000 | |||
Cumulative aggregate payments received by the Company | 40,300,000 | |||
Upfront license fee | 1,000,000 | |||
Cost of goods sold | 926,000 | 1,600,000 | ||
Agreement with Pain Therapeutics, Inc. [Member] | REMOXY [Member] | ||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||
Total collaborative research and development and other revenue | 170,000 | $ 740,000 | 0 | |
Agreement with Pain Therapeutics, Inc. [Member] | Development-Based Milestones [Member] | ||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||
Performance milestone payments based on successful development | 3,000,000 | |||
Revenue recognition milestone achieved | 1,500,000 | |||
Agreement with Pain Therapeutics, Inc. [Member] | Sales-Based Milestones [Member] | ||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||
Performance milestone payments based on successful development | 0 | |||
Agreement with Pain Therapeutics, Inc. [Member] | Maximum [Member] | ||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||
Performance milestone payments based on successful development | 3,000,000 | |||
Agreement with Pfizer [Member] | ||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||||
Total collaborative research and development and other revenue | 0 | 0 | 118,000 | |
Cumulative aggregate payments received by the Company | 7,100,000 | |||
Product revenue, net | 653,000 | 96,000 | 33,000 | |
Cost of goods sold | $ 216,000 | $ 51,000 | $ 0 |
Strategic Agreements - Agreem39
Strategic Agreements - Agreement with Zogenix, Inc. - Additional Information (Detail) - Agreement with Zogenix, Inc. [Member] - USD ($) | 1 Months Ended | 12 Months Ended |
Jul. 31, 2011 | Dec. 31, 2016 | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | $ 103,000,000 | |
Patent royalty term | 15 years | |
Cumulative aggregate payments received by the Company | $ 20,100,000 | |
Development-Based Milestones [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | 28,000,000 | |
Revenue recognition milestone achieved | 0 | |
Sales-Based Milestones [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | 75,000,000 | |
Revenue recognition milestone achieved | 0 | |
Up-front Payment Arrangement [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Non-refundable upfront fee | $ 2,250,000 | $ 2,250,000 |
Strategic Agreements - Summar40
Strategic Agreements - Summary of Collaborative Research and Development Revenue Recognized (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Total collaborative research and development revenue | $ 1,880 | $ 7,832 | $ 8,256 |
Agreement with Zogenix, Inc. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Ratable recognition of upfront payment | 208 | 255 | 255 |
Research and development expenses reimbursable by the Company | 347 | 4,643 | 4,176 |
Total collaborative research and development revenue | 555 | 4,898 | 4,431 |
Agreement with Impax Laboratories, Inc. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Ratable recognition of upfront payment | 0 | 0 | 2,000 |
Research and development expenses reimbursable by the Company | 106 | ||
Total collaborative research and development revenue | 2,106 | ||
Agreement with Santen Pharmaceutical Co., Ltd. [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Ratable recognition of upfront payment | 228 | 274 | 15 |
Research and development expenses reimbursable by the Company | 286 | 550 | 1 |
Total collaborative research and development revenue | $ 514 | $ 824 | $ 16 |
Strategic Agreements - Agreem41
Strategic Agreements - Agreement with Impax Laboratories, Inc. - Additional Information (Detail) - Agreement with Impax Laboratories, Inc. [Member] - USD ($) | 1 Months Ended | 12 Months Ended | |
Jan. 31, 2014 | Dec. 31, 2016 | Jan. 03, 2014 | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Non-refundable upfront fee | $ 2,000,000 | ||
Future milestone payments | $ 61,000,000 | ||
Cumulative aggregate payments received by the Company | $ 2,100,000 | ||
Development-Based Milestones [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Future milestone payments | 31,000,000 | ||
Sales-Based Milestones [Member] | |||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||
Future milestone payments | $ 30,000,000 | ||
Revenue recognition milestone achieved | $ 0 |
Strategic Agreements - Agreem42
Strategic Agreements - Agreement with Santen Pharmaceutical Co., Ltd. - Additional Information (Detail) - Agreement with Santen Pharmaceutical Co., Ltd. [Member] - USD ($) | Dec. 11, 2014 | Dec. 31, 2016 |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Upfront license fee | $ 2,000,000 | |
Future milestone payments | 76,000,000 | |
Cumulative aggregate payments received by the Company | $ 3,300,000 | |
Development-Based Milestones [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | 13,000,000 | |
Commercialization-Based Milestones [Member] | ||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | ||
Future milestone payments | $ 63,000,000 | |
Revenue recognition milestone achieved | $ 0 |
Goodwill - Additional Informati
Goodwill - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
Goodwill | $ 6,399,000 | $ 6,399,000 | |
Goodwill impairment | $ 0 | $ 0 | $ 0 |
Financial Instruments - Fair Va
Financial Instruments - Fair Value Measurements of Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | $ 22,892 | $ 25,988 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 693 | 81 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 22,199 | 25,907 |
Money market funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 693 | 81 |
Money market funds [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 693 | 81 |
Certificates of deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 150 | 250 |
Certificates of deposit [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 150 | 250 |
Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 4,947 | 898 |
Commercial paper [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 4,947 | 898 |
Corporate debt [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 2,643 | 5,211 |
Corporate debt [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 2,643 | 5,211 |
U.S. Government agencies [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 14,459 | 19,548 |
U.S. Government agencies [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | $ 14,459 | $ 19,548 |
Financial Instruments - Summary
Financial Instruments - Summary of Money Market Funds and Available-for-Sale Securities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 22,895 | $ 26,002 |
Unrealized Gain | 1 | 2 |
Unrealized Loss | (4) | (16) |
Estimated Fair Value | 22,892 | 25,988 |
Money market funds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 693 | 81 |
Estimated Fair Value | 693 | 81 |
Certificates of deposit [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 150 | 250 |
Estimated Fair Value | 150 | 250 |
Commercial paper [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 4,947 | 898 |
Estimated Fair Value | 4,947 | 898 |
Corporate debt [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 2,644 | 5,215 |
Unrealized Gain | 1 | |
Unrealized Loss | (1) | (5) |
Estimated Fair Value | 2,643 | 5,211 |
U.S. Government agencies [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 14,461 | 19,558 |
Unrealized Gain | 1 | 1 |
Unrealized Loss | (3) | (11) |
Estimated Fair Value | 14,459 | 19,548 |
Cash and cash equivalents [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 3,142 | 281 |
Estimated Fair Value | 3,142 | 281 |
Short-term investments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 19,603 | 25,471 |
Unrealized Gain | 1 | 2 |
Unrealized Loss | (4) | (16) |
Estimated Fair Value | 19,600 | 25,457 |
Long-term restricted investments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 150 | 250 |
Estimated Fair Value | $ 150 | $ 250 |
Financial Instruments - Summa46
Financial Instruments - Summary of Cost and Estimated Fair Value of Available-for-Sale Securities by Contractual Maturity (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Investments Debt And Equity Securities [Abstract] | |
Mature in one year or less, Amortized Cost | $ 22,202 |
Mature after one year through two years, Amortized Cost | 0 |
Amortized Cost | 22,202 |
Mature in one year or less, Estimated Fair Value | 22,199 |
Mature after one year through two years, Estimated Fair Value | 0 |
Estimated Fair Value | $ 22,199 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) | Dec. 31, 2016USD ($) |
Investments Debt And Equity Securities [Abstract] | |
Unrealized loss of securities | $ 0 |
Property and Equipment - Proper
Property and Equipment - Property and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 22,673 | $ 22,537 |
Less accumulated depreciation and amortization | (21,376) | (20,971) |
Property and equipment, net | 1,297 | 1,566 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 12,633 | 12,372 |
Leasehold improvement [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 10,007 | 9,987 |
Construction-in-progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 33 | $ 178 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property Plant And Equipment [Abstract] | |||
Depreciation expense | $ 416,000 | $ 425,000 | $ 582,000 |
Amortization expense | 0 | $ 1,000 | $ 17,000 |
Restoration cost | $ 690,000 |
Restricted Investments - Additi
Restricted Investments - Additional Information (Detail) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Restricted Investments [Line Items] | ||
Restricted investments in connection with deposits on letters of credit | $ 150,000 | $ 250,000 |
Alabama and California [Member] | ||
Restricted Investments [Line Items] | ||
Restricted investments in connection with deposits on letters of credit | $ 150,000 | $ 250,000 |
Commitments - Additional Inform
Commitments - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commitments And Contingencies Disclosure [Abstract] | |||
Rent expenses of operating leases | $ 1,900,000 | $ 1,900,000 | $ 1,800,000 |
Remaining minimum purchase commitments | 500,000 | ||
Accrued loss on purchase obligation | 500,000 | ||
Write-off of prepaid inventory for minimum purchase commitment | $ 500,000 |
Commitments - Schedule of Futur
Commitments - Schedule of Future Operating Lease Minimum Payments (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Leases [Abstract] | |
2,017 | $ 2,000 |
2,018 | 1,948 |
2,019 | 539 |
2,020 | 324 |
Thereafter | 193 |
Total operating leases future minimum payments | $ 5,004 |
Term Loan - Additional Informat
Term Loan - Additional Information (Detail) - USD ($) | Jun. 26, 2014 | Jul. 31, 2016 | Jul. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2014 |
Debt Instrument [Line Items] | |||||
Proceeds from long term debt, net | $ 19,786,000 | ||||
Loss on debt extinguishment | $ 9,000 | ||||
Debt instrument, covenants in compliance | The Company was in compliance with all material covenants under the Loan Agreement and there had been no material adverse change. | ||||
Oxford Finance LLC Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Secured term loan | $ 20,000,000 | ||||
Term loan, maturity date | Jul. 1, 2018 | Jul. 1, 2019 | |||
Term loan repayment description | The term loan repayment schedule provided for interest only payments for the first 18 months, followed by consecutive equal monthly payments of principal and interest in arrears starting on February 1, 2016 | ||||
First principal payment date | Feb. 1, 2016 | Feb. 1, 2017 | |||
Interest rate on term loan | 7.95% | ||||
Facility fee paid at final payment | $ 150,000 | ||||
Percentage of an additional payment equal to principal amount | 8.00% | 10.00% | |||
Proceeds from long term debt, net | $ 19,800,000 | ||||
Debt offering/issuance costs | $ 1,600,000 | ||||
Loan modification fee | $ 240,000 | ||||
Oxford Finance LLC Term Loan [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment fee | 1.00% | ||||
Oxford Finance LLC Term Loan [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment fee | 3.00% | ||||
Oxford Finance 2016 Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Secured term loan | $ 20,000,000 | ||||
Term loan, maturity date | Aug. 1, 2020 | ||||
Term loan repayment description | The 2016 Loan Agreement provides for interest only payments for the first 18 months, followed by consecutive monthly payments of principal and interest in arrears starting on March 1, 2018 | ||||
First principal payment date | Mar. 1, 2018 | ||||
Interest rate on term loan | 7.95% | ||||
Facility fee paid at final payment | $ 150,000 | ||||
Percentage of an additional payment equal to principal amount | 9.25% | ||||
Debt offering/issuance costs | $ 1,900,000 | ||||
Term loan, floating interest rate basis | index rate plus a spread | ||||
Accrued amount of final payment | $ 886,000 | ||||
Oxford Finance 2016 Term Loan [Member] | Other Income (Expense) [Member] | |||||
Debt Instrument [Line Items] | |||||
Loss on debt extinguishment | $ 9,000 | ||||
Oxford Finance 2016 Term Loan [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment fee | 1.00% | ||||
Oxford Finance 2016 Term Loan [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of prepayment fee | 3.00% |
Term Loan - Schedule of Future
Term Loan - Schedule of Future Maturities and Interest Payments under Term Loan (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Future maturities and interest payments under the term loan: | |
2,017 | $ 1,612 |
2,018 | 8,698 |
2,019 | 8,724 |
2,020 | 6,642 |
Total minimum payments | 25,676 |
Less amount representing interest | (5,676) |
Gross balance of term loan | 20,000 |
Less unamortized debt discount | (147) |
Carrying value of term loan | $ 19,853 |
Stockholders' Equity - Common S
Stockholders' Equity - Common Stock - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Nov. 30, 2015 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Proceeds from sale of common stock, net of commission | $ 23,745 | $ 14,290 | $ 4,618 | ||
Controlled Equity Offering Program [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Proceeds from sale of common stock, net of commission | $ 7,600 | $ 14,300 | $ 4,700 | ||
Sale of common stock during period | 5.2 | 7.1 | 2.9 | ||
Common stock weighted average price | $ 1.50 | $ 2.09 | $ 1.65 | ||
Underwritten public offering [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Proceeds from sale of common stock, net of commission | $ 16,100 | ||||
Sale of common stock during period | 13.8 | ||||
Public offering price for common stock | $ 1.25 | ||||
Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Securities offered | $ 125,000 | $ 100,900 | |||
Cantor Fitzgerald Co [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Securities offered | $ 40,000 | $ 25,000 |
Stockholders' Equity - 2000 Sto
Stockholders' Equity - 2000 Stock Plan (Incentive Stock Plan) - Additional Information (Detail) - shares | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2016 | Jun. 30, 2014 | Apr. 30, 2013 | Jun. 30, 2011 | Mar. 31, 2000 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Reserved common stock for issuance | 34,547,392 | ||||||||
Options exercised, shares | 3,872,958 | 4,299,290 | 3,747,428 | ||||||
Shares available for future grant | 5,832,929 | ||||||||
Common stock outstanding | 28,462,148 | 27,298,453 | 24,239,839 | 23,696,584 | |||||
2000 Stock Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Maximum expiration term of stock appreciation rights | 10 years | ||||||||
Extended term of stock plan to the date | 10 years | ||||||||
Issuance of common stock upon equity financing, net of issuance cost | 5,000,000 | 4,000,000 | 5,500,000 | ||||||
Reserved common stock for issuance | 33,995,077 | ||||||||
Plan expiry date | Jun. 30, 2020 | ||||||||
Options exercised, shares | 70,000 | ||||||||
Option plan vesting period | 10 years | ||||||||
Options granted with different vesting terms | 5 years | ||||||||
Minimum percentage of total combined voting power of stock | 10.00% | ||||||||
Minimum exercise price as percentage of fair market value to holder of more than 10% voting power | 110.00% | ||||||||
Minimum exercise price as percentage of fair market value to holder of 10% or less voting power | 100.00% | ||||||||
Shares available for future grant | 5,832,929 | ||||||||
Common stock outstanding | 28,162,148 | ||||||||
2000 Stock Plan [Member] | Minimum [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Stock option exercisable period | 1 year | ||||||||
2000 Stock Plan [Member] | Maximum [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Stock option exercisable period | 2 years | ||||||||
2000 Stock Plan [Member] | Non-employee director [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Options exercised, shares | 30,000 |
Stockholders' Equity - 2000 Dir
Stockholders' Equity - 2000 Directors' Stock Option Plan - Additional Information (Detail) - shares | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Apr. 30, 2005 | Mar. 31, 2000 | Jun. 30, 2002 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares vested for annual option | 28,297,959 | ||||||
Options exercised, shares | 3,872,958 | 4,299,290 | 3,747,428 | ||||
Shares available for future grant | 5,832,929 | ||||||
Common stock outstanding | 28,462,148 | 27,298,453 | 24,239,839 | 23,696,584 | |||
2000 Directors' Stock Option Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Options shares reserved for issuance | 925,000 | 300,000 | 500,000 | ||||
Vesting percentage per year | 33.33% | ||||||
Number of shares vested for annual option | 5,000 | ||||||
Options exercised, shares | 12,000 | 5,000 | 30,000 | ||||
Stock option increase | 425,000 | 200,000 | |||||
Shares available for future grant | 0 | ||||||
Common stock outstanding | 300,000 | ||||||
Non-employee director [Member] | 2000 Directors' Stock Option Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Options shares reserved for issuance | 20,000 | ||||||
Options exercised, shares | 20,000 | 12,000 |
Stockholders' Equity - 2000 Emp
Stockholders' Equity - 2000 Employee Stock Purchase Plan - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | ||||||
Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2012 | Jan. 31, 2016 | Jan. 31, 2015 | Jan. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Share available for future grant | 5,832,929 | |||||||
Common stock, shares issued | 141,297,000 | 121,839,000 | ||||||
Options granted with exercise prices lower than fair market | $ 0 | $ 0 | $ 0 | |||||
Excess tax benefits recognized for tax deductions on stock based compensation | 0 | |||||||
Incremental tax benefits recognized from stock options exercised | $ 0 | |||||||
2000 Employee Stock Purchase Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||
Employee stock purchase plan | 24 months | |||||||
Exercise price as percentage of fair market value minimum | 85.00% | |||||||
Stock option increase | 350,000 | 250,000 | ||||||
Extended term of stock plan to the date | 10 years | 10 years | ||||||
Plan expiry date | Jun. 30, 2025 | |||||||
Options shares reserved for issuance | 2,550,000 | |||||||
Share available for future grant | 252,315 | 1,400,000 | 1,500,000 | 966,000 | ||||
Common stock, shares issued | 2,297,685 | |||||||
Intrinsic value of options exercised | $ 158,000 | $ 985,000 | $ 178,000 | |||||
Weighted-average grant-date fair value of all options granted with exercise prices | $ 0.81 | $ 0.65 | $ 1.53 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Shares of Common Stock Reserved for Future Issuance (Detail) - shares | Dec. 31, 2016 | Jan. 31, 2016 | Dec. 31, 2015 | Jan. 31, 2015 | Dec. 31, 2014 | Jan. 31, 2014 | Dec. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock options outstanding | 28,462,148 | 27,298,453 | 24,239,839 | 23,696,584 | |||
Stock options available for grant | 5,832,929 | ||||||
Shares of common stock reserved for future issuance | 34,547,392 | ||||||
2000 Employee Stock Purchase Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock options available for grant | 252,315 | 1,400,000 | 1,500,000 | 966,000 | |||
Shares of common stock reserved for future issuance | 252,315 |
Stockholders' Equity - Summar60
Stockholders' Equity - Summary of Stock Option Activity under all Stock-Based Compensation Plans (Detail) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||||
Outstanding, Number of Options, beginning balance | 27,298,453 | 24,239,839 | 23,696,584 | |
Options granted, Number of Options | 3,872,958 | 4,299,290 | 3,747,428 | |
Options exercised, Number of Options | (299,183) | (925,636) | (300,602) | |
Options forfeited, Number of Options | (224,898) | (15,990) | (144,611) | |
Options expired, Number of Options | (2,185,182) | (299,050) | (2,758,960) | |
Outstanding, Number of Options, ending balance | 28,462,148 | 27,298,453 | 24,239,839 | 23,696,584 |
Exercisable, Number of Options | 24,631,826 | |||
Vested and expected to vest, Number of Options | 28,297,959 | |||
Outstanding, Number of Options, Weighted Average Exercise Price Per Share, beginning balance | $ 2.41 | $ 2.61 | $ 2.73 | |
Options granted, Weighted Average Exercise Price Per Share | 1.21 | 1.09 | 1.94 | |
Options exercised, Weighted Average Exercise Price Per Share | 0.97 | 1.13 | 0.99 | |
Options forfeited, Weighted Average Exercise Price Per Share | 1.23 | 1.34 | 1.50 | |
Options expired, Weighted Average Exercise Price Per Share | 4.78 | 3.58 | 2.95 | |
Outstanding, Number of Options, Weighted Average Exercise Price Per Share, ending balance | 2.09 | $ 2.41 | $ 2.61 | $ 2.73 |
Exercisable, Number of Options, Weighted Average Exercise Price Per Share | 2.22 | |||
Vested and expected to vest, Number of Options, Weighted Average Exercise Price Per Share | $ 2.10 | |||
Outstanding, Number of Options, Weighted Average Remaining Contractual Term | 5 years 3 months 15 days | 5 years 4 months 21 days | 5 years 8 months 19 days | 5 years 5 months 12 days |
Exercisable, Number of Options, Weighted Average Remaining Contractual Term | 4 years 9 months 26 days | |||
Vested and expected to vest, Number of Options, Weighted Average Remaining Contractual Term | 5 years 3 months 7 days | |||
Outstanding, Number of Options, Aggregate Intrinsic Value | $ 3.9 | $ 13.5 | $ 5.2 | |
Exercisable, Number of Options, Aggregate Intrinsic Value | 3.1 | |||
Vested and expected to vest, Number of Options, Aggregate Intrinsic Value | $ 3.9 |
Stockholders' Equity - Summar61
Stockholders' Equity - Summary of Employee Stock-Based Compensation Cost that has been Included in Statements of Operations and Comprehensive Loss (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total employee stock-based compensation cost | $ 2,655 | $ 2,660 | $ 3,080 |
Cost of product revenues [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total employee stock-based compensation cost | 106 | 108 | 149 |
Research and development [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total employee stock-based compensation cost | 1,433 | 1,400 | 1,697 |
Selling, general and administrative [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total employee stock-based compensation cost | $ 1,116 | $ 1,152 | $ 1,234 |
Stockholders' Equity - Determin
Stockholders' Equity - Determining Fair Value - Additional Information (Detail) - 2000 Employee Stock Purchase Plan [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield in Black-Scholes option valuation model | $ 0 | ||
Shares purchased under Company's employee stock purchase plan | 114,025 | 113,625 | 115,412 |
Recognition of expenses on shares purchased under employee stock purchase plan | $ 45,000 | $ 62,000 | $ 43,000 |
Expected total unrecognized compensation costs related to nonvested stock options | $ 2,800,000 | ||
Weighted average term of unrecognized stock-based compensation expense | 2 years | ||
Cash received from option exercises under stock-based compensation plans | $ 290,000 | $ 1,000,000 | $ 299,000 |
Stockholders' Equity - Summar63
Stockholders' Equity - Summary of Assumptions Used to Estimate Fair Value of Options Granted and Shares Purchased (Detail) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Employees Stock Purchase Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free rate | 0.10% | ||
Risk-free rate, minimum | 0.30% | 0.10% | |
Risk-free rate, maximum | 0.60% | 0.30% | |
Expected term (in years) | 6 months | 6 months | 6 months |
Volatility, minimum | 65.00% | 68.00% | 60.00% |
Volatility, maximum | 81.00% | 95.00% | 81.00% |
Stock Option Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free rate, minimum | 1.30% | 1.50% | 1.90% |
Risk-free rate, maximum | 2.40% | 2.40% | 2.80% |
Volatility, minimum | 76.00% | 78.00% | 76.00% |
Volatility, maximum | 83.00% | 85.00% | 85.00% |
Forfeiture rate | 4.20% | 6.00% | 7.20% |
Stock Option Plan [Member] | Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (in years) | 6 years 6 months | 6 years 6 months | 6 years 6 months |
Stock Option Plan [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (in years) | 10 years | 10 years | 10 years |
Stockholders' Equity - Summar64
Stockholders' Equity - Summary of Stock Options Outstanding (Detail) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Range of Exercise Price, $0.73 - 0.82 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | $ 0.73 |
Options Outstanding, Range of Exercise Price, maximum | $ 0.82 |
Number of Options Outstanding | shares | 2,315,351 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 5 years 1 month 6 days |
Options Outstanding, Weighted-Average Exercise Price | $ 0.78 |
Number of Options Exercisable | shares | 2,315,351 |
Options Exercisable, Weighted-Average Exercise Price | $ 0.78 |
Range of Exercise Price, $0.88 - 0.88 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 0.88 |
Options Outstanding, Range of Exercise Price, maximum | $ 0.88 |
Number of Options Outstanding | shares | 3,175,642 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 7 years 10 months 17 days |
Options Outstanding, Weighted-Average Exercise Price | $ 0.88 |
Number of Options Exercisable | shares | 2,088,488 |
Options Exercisable, Weighted-Average Exercise Price | $ 0.88 |
Range of Exercise Price, $1.00 - 1.14 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 1 |
Options Outstanding, Range of Exercise Price, maximum | $ 1.14 |
Number of Options Outstanding | shares | 303,750 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 7 years 2 months 5 days |
Options Outstanding, Weighted-Average Exercise Price | $ 1.05 |
Number of Options Exercisable | shares | 234,187 |
Options Exercisable, Weighted-Average Exercise Price | $ 1.05 |
Range of Exercise Price, $1.16 - 1.16 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 1.16 |
Options Outstanding, Range of Exercise Price, maximum | $ 1.16 |
Number of Options Outstanding | shares | 2,979,930 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 8 years 11 months 19 days |
Options Outstanding, Weighted-Average Exercise Price | $ 1.16 |
Number of Options Exercisable | shares | 1,684,685 |
Options Exercisable, Weighted-Average Exercise Price | $ 1.16 |
Range of Exercise Price, $1.19 - 1.20 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 1.19 |
Options Outstanding, Range of Exercise Price, maximum | $ 1.20 |
Number of Options Outstanding | shares | 269,293 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 8 years 7 months 2 days |
Options Outstanding, Weighted-Average Exercise Price | $ 1.19 |
Number of Options Exercisable | shares | 77,293 |
Options Exercisable, Weighted-Average Exercise Price | $ 1.20 |
Range of Exercise Price, $1.21 - 1.21 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 1.21 |
Options Outstanding, Range of Exercise Price, maximum | $ 1.21 |
Number of Options Outstanding | shares | 3,474,526 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 6 years 29 days |
Options Outstanding, Weighted-Average Exercise Price | $ 1.21 |
Number of Options Exercisable | shares | 3,371,987 |
Options Exercisable, Weighted-Average Exercise Price | $ 1.21 |
Range of Exercise Price, $1.24 - 2.04 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 1.24 |
Options Outstanding, Range of Exercise Price, maximum | $ 2.04 |
Number of Options Outstanding | shares | 1,931,600 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 7 years 6 months |
Options Outstanding, Weighted-Average Exercise Price | $ 1.47 |
Number of Options Exercisable | shares | 1,434,047 |
Options Exercisable, Weighted-Average Exercise Price | $ 1.45 |
Range of Exercise Price, $2.09 - 2.09 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 2.09 |
Options Outstanding, Range of Exercise Price, maximum | $ 2.09 |
Number of Options Outstanding | shares | 3,893,646 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 5 years 8 months 9 days |
Options Outstanding, Weighted-Average Exercise Price | $ 2.09 |
Number of Options Exercisable | shares | 3,338,316 |
Options Exercisable, Weighted-Average Exercise Price | $ 2.09 |
Range of Exercise Price, $2.13 - 2.80 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 2.13 |
Options Outstanding, Range of Exercise Price, maximum | $ 2.80 |
Number of Options Outstanding | shares | 2,911,527 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 3 years 7 months 2 days |
Options Outstanding, Weighted-Average Exercise Price | $ 2.27 |
Number of Options Exercisable | shares | 2,880,589 |
Options Exercisable, Weighted-Average Exercise Price | $ 2.27 |
Range of Exercise Price, $3.01 - 6.30 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 3.01 |
Options Outstanding, Range of Exercise Price, maximum | $ 6.30 |
Number of Options Outstanding | shares | 7,206,883 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 1 year 11 months 23 days |
Options Outstanding, Weighted-Average Exercise Price | $ 4.02 |
Number of Options Exercisable | shares | 7,206,883 |
Options Exercisable, Weighted-Average Exercise Price | $ 4.02 |
Range of Exercise Price, $0.73 - 6.30 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options Outstanding, Range of Exercise Price, minimum | 0.73 |
Options Outstanding, Range of Exercise Price, maximum | $ 6.30 |
Number of Options Outstanding | shares | 28,462,148 |
Options Outstanding, Weighted-Average Remaining Contractual Life(In years) | 5 years 3 months 15 days |
Options Outstanding, Weighted-Average Exercise Price | $ 2.09 |
Number of Options Exercisable | shares | 24,631,826 |
Options Exercisable, Weighted-Average Exercise Price | $ 2.22 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Contingency [Line Items] | |||
Deferred tax liability | $ 397,000 | $ 397,000 | |
Deferred income tax provision | $ 0 | 85,000 | $ 320,000 |
Income tax expenses related to unrealized gain on a marketable equity security | $ 61,000 | ||
Statutory federal income tax rate | 34.00% | 34.00% | 34.00% |
Total income tax provision | $ 0 | $ 53,000 | $ 24,000 |
Increase in valuation allowance of net deferred tax assets | 11,400,000 | 7,200,000 | 8,900,000 |
Unrecognized tax benefits | 6,982,000 | 6,965,000 | 5,702,000 |
Interest and penalty expense related to unrecognized tax benefits | 0 | 0 | 0 |
State [Member] | |||
Income Tax Contingency [Line Items] | |||
Net operating loss carryforwards for income tax purposes | $ 215,900,000 | ||
Tax carryforwards expire date | 2017 through 2036 | ||
Federal [Member] | |||
Income Tax Contingency [Line Items] | |||
Net operating loss carryforwards for income tax purposes | $ 327,200,000 | ||
Tax carryforwards expire date | 2019 through 2036 | ||
Research [Member] | State [Member] | |||
Income Tax Contingency [Line Items] | |||
Research and development tax credits | $ 12,200,000 | ||
Research [Member] | Federal [Member] | |||
Income Tax Contingency [Line Items] | |||
Tax carryforwards expire date | 2018 through 2036 | ||
Research and development tax credits | $ 11,100,000 | ||
Interest and other income (expenses) [Member] | |||
Income Tax Contingency [Line Items] | |||
Deferred income tax provision | $ 0 | $ 53,000 | $ 24,000 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Tax Expenses (Benefit) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
U.S. federal taxes provision (benefit) at statutory rate | $ (11,733) | $ (7,681) | $ (7,502) |
State taxes | 0 | 0 | 0 |
Change in valuation allowance | 10,847 | 7,725 | 6,854 |
Stock-based compensation | 2,045 | 530 | 1,139 |
Change in deferreds | (3) | 56 | (2) |
Other | (1,156) | (577) | (465) |
Total income tax provision | $ 0 | $ 53 | $ 24 |
Income Taxes - Summary of Compo
Income Taxes - Summary of Components of Company's Deferred Tax Assets (Detail) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 123,107,000 | $ 111,696,000 |
Research and other credits | 13,441,000 | 12,001,000 |
Capitalized research and development expenses | 10,000 | 132,000 |
Deferred revenue | 874,000 | 1,045,000 |
Stock-based compensation | 8,693,000 | 9,605,000 |
Other | 3,405,000 | 3,645,000 |
Total deferred tax assets | 149,530,000 | 138,124,000 |
Valuation allowance for deferred tax assets | (149,530,000) | (138,124,000) |
Deferred tax liabilities—Intangibles | (397,000) | (397,000) |
Net deferred tax assets and liabilities | $ (397,000) | $ (397,000) |
Income Taxes - Reconciliation68
Income Taxes - Reconciliation of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Balance at beginning of the year | $ 6,965 | $ 5,702 |
Increases (decrease) related to prior year tax positions | (737) | 737 |
Increases (decrease) related to current year tax positions | 754 | 526 |
Settlements | 0 | 0 |
Reductions due to lapse of applicable statute of limitations | 0 | 0 |
Balance at end of the year | $ 6,982 | $ 6,965 |
Unaudited Selected Quarterly 69
Unaudited Selected Quarterly Financial Data - Selected Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Data [Abstract] | |||||||||||
Revenue | $ 3,517 | $ 3,743 | $ 3,157 | $ 3,608 | $ 5,167 | $ 4,743 | $ 4,441 | $ 4,773 | $ 14,025 | $ 19,124 | $ 19,401 |
Net loss | $ (8,811) | $ (8,832) | $ (9,014) | $ (7,852) | $ (5,845) | $ (6,487) | $ (5,478) | $ (4,853) | $ (34,509) | $ (22,663) | $ (22,110) |
Basic net loss per share | $ (0.06) | $ (0.06) | $ (0.07) | $ (0.06) | $ (0.05) | $ (0.05) | $ (0.05) | $ (0.04) | |||
Diluted net loss per share | $ (0.06) | $ (0.06) | $ (0.07) | $ (0.06) | $ (0.05) | $ (0.05) | $ (0.05) | $ (0.04) | $ (0.26) | $ (0.19) | $ (0.20) |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) - USD ($) | Mar. 09, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Subsequent Event [Line Items] | ||||
Proceeds from sale of common stock, net of commission | $ 23,745,000 | $ 14,290,000 | $ 4,618,000 | |
Subsequent event [Member] | ||||
Subsequent Event [Line Items] | ||||
Proceeds from sale of common stock, net of commission | $ 731,000 | |||
Sale of common stock during period | 573,612 | |||
Common stock weighted average price | $ 1.31 | |||
Securities offered | $ 67,800,000 | |||
Cantor Fitzgerald Co [Member] | Subsequent event [Member] | ||||
Subsequent Event [Line Items] | ||||
Securities offered | $ 29,500,000 |
Schedule II-Valuation and Qua71
Schedule II-Valuation and Qualifying Accounts (Detail) - Allowance for doubtful accounts [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at beginning of the year | $ 161 | $ 211 | $ 144 |
Provision | (70) | (38) | 88 |
Recoveries/Write- Offs | (18) | (12) | (21) |
Balance at end of the year | $ 73 | $ 161 | $ 211 |